Chapter 7Financial Provisions

Section § 14580

Explanation

This law explains how money from beverage container redemption payments and other revenues is managed by California. The revenue is placed in the California Beverage Container Recycling Fund, which is used to pay refund amounts and administrative fees to processors. It also allows for a small reserve fund for unexpected needs and requires the funds to be used only for the specific recycling purposes outlined. Funds can only be spent without the usual budget process for certain recycling activities, but other administrative expenses require legislative approval. Any penalties collected are put into a separate Penalty Account, only used for specific division purposes. The law stresses the fund must be maintained for its designated purpose and not used for anything else.

(a)CA Public Resources Code § 14580(a) Except as provided in subdivision (d), the department shall deposit all amounts paid as redemption payments by distributors pursuant to Section 14574 and all other revenues received into the California Beverage Container Recycling Fund, which is hereby created in the State Treasury. Notwithstanding Section 13340 of the Government Code, the money in the fund is hereby continuously appropriated to the department for expenditure without regard to fiscal year for the following purposes:
(1)CA Public Resources Code § 14580(a)(1) The payment of refund values and administrative fees to processors pursuant to Section 14573.
(2)CA Public Resources Code § 14580(a)(2) For a reserve for contingencies, which shall not be greater than an amount equal to 5 percent of the total amount paid to processors pursuant to Section 14573 during the preceding calendar year, plus the interest earned on that amount.
(b)CA Public Resources Code § 14580(b) The money in the fund may be expended by the department for the administration of this division only upon appropriation by the Legislature in the annual Budget Act.
(c)CA Public Resources Code § 14580(c) After setting aside funds estimated to be needed for expenditures authorized pursuant to this section, the department shall set aside funds on a quarterly basis for the purposes specified in Section 14581. Notwithstanding Section 13340 of the Government Code, that money is hereby continuously appropriated to the department, without regard to fiscal year, for the purposes specified in Section 14581.
(d)CA Public Resources Code § 14580(d) The department shall deposit all civil penalties or fines collected pursuant to this division into the Penalty Account, which is hereby created in the fund. The money in the Penalty Account may be expended by the department only upon appropriation by the Legislature, for purposes of this division.
(e)CA Public Resources Code § 14580(e) The Legislature finds and declares that the maintenance of the fund is of the utmost importance to the state and that it is essential that any money in the fund be used solely for the purposes authorized in this division and should not be used, loaned, or transferred for any other purpose.
beverage container recycling redemption payments California Beverage Container Recycling Fund administrative fees reserve fund processors civil penalties Penalty Account legislative appropriation reuse of funds contingency reserve recycling purposes refund values State Treasury budget appropriation
(Amended by Stats. 2010, 8th Ex. Sess., Ch. 5, Sec. 4. (AB 7 8x) Effective March 8, 2010.)

Section § 14581

Explanation

This section outlines how California's Department of Resources Recycling and Recovery (CalRecycle) should allocate funds from a specific fund to support recycling programs, based on available money. CalRecycle spends money each year on handling fee payments, curbside and drop-off recycling programs, and recycling and litter cleanup activities by cities and counties. They also fund public education campaigns, grants for recycling, and incentive programs for glass recycling.

Cities and counties must submit a funding request form to receive funds, specifying how they will use the money for recycling activities. CalRecycle can withhold funds from areas restricting supermarket recycling sites. Additionally, there's a provision for market development and pilot projects meant to enhance recycling efforts statewide.

If funds are insufficient, CalRecycle must notify the legislature and reduce payments as needed. The law also requires CalRecycle to consult with an advisory committee before undertaking any educational campaigns.

(a)CA Public Resources Code § 14581(a) Subject to the availability of funds and in accordance with subdivision (b), the department shall expend the moneys set aside in the fund, pursuant to subdivision (c) of Section 14580, for the purposes of this section in the following manner:
(1)CA Public Resources Code § 14581(a)(1) For each fiscal year, the department may expend the amount necessary to make the required handling fee payment pursuant to Section 14585.
(2)CA Public Resources Code § 14581(a)(2) Fifteen million dollars ($15,000,000) shall be expended annually for payments for curbside programs and neighborhood dropoff programs pursuant to Section 14549.6.
(3)Copy CA Public Resources Code § 14581(a)(3)
(A)Copy CA Public Resources Code § 14581(a)(3)(A) Ten million five hundred thousand dollars ($10,500,000) may be expended annually for payments of five thousand dollars ($5,000) to cities and ten thousand dollars ($10,000) for payments to counties for beverage container recycling and litter cleanup activities, or the department may calculate the payments to counties and cities on a per capita basis, and may pay whichever amount is greater, for those activities.
(B)CA Public Resources Code § 14581(a)(3)(A)(B) Eligible activities for the use of these funds may include, but are not necessarily limited to, support for new or existing curbside programs, neighborhood dropoff programs, public education promoting beverage container recycling, litter prevention, and cleanup, cooperative regional efforts among two or more cities or counties, or both, or other beverage container recycling programs.
(C)CA Public Resources Code § 14581(a)(3)(A)(C) These funds shall not be used for activities unrelated to beverage container recycling or litter reduction.
(D)CA Public Resources Code § 14581(a)(3)(A)(D) To receive these funds, a city, county, or city and county shall fill out and return a funding request form to the department. The form shall specify the beverage container recycling or litter reduction activities for which the funds will be used.
(E)CA Public Resources Code § 14581(a)(3)(A)(E) The department shall annually prepare and distribute a funding request form to each city, county, or city and county. The form shall specify the amount of beverage container recycling and litter cleanup funds for which the jurisdiction is eligible. The form shall not exceed one double-sided page in length, and may be submitted electronically. If a city, county, or city and county does not return the funding request form within 90 days of receipt of the form from the department, the city, county, or city and county is not eligible to receive the funds for that funding cycle.
(F)CA Public Resources Code § 14581(a)(3)(A)(F) For the purposes of this paragraph, per capita population shall be based on the population of the incorporated area of a city or city and county and the unincorporated area of a county. The department may withhold payment to any city, county, or city and county that has prohibited the siting of a supermarket site, caused a supermarket site to close its business, or adopted a land use policy that restricts or prohibits the siting of a supermarket site within its jurisdiction.
(4)CA Public Resources Code § 14581(a)(4) One million five hundred thousand dollars ($1,500,000) may be expended annually in the form of grants for beverage container recycling and litter reduction programs.
(5)Copy CA Public Resources Code § 14581(a)(5)
(A)Copy CA Public Resources Code § 14581(a)(5)(A) The department shall expend the amount necessary to pay the processing payment established pursuant to Section 14575. The department shall establish separate processing fee accounts in the fund for each beverage container material type for which a processing payment and processing fee are calculated pursuant to Section 14575, or for which a processing payment is calculated pursuant to Section 14575 and a voluntary artificial scrap value is calculated pursuant to Section 14575.1, into which account shall be deposited both of the following:
(i)CA Public Resources Code § 14581(a)(5)(A)(i) All amounts paid as processing fees for each beverage container material type pursuant to Section 14575.
(ii)CA Public Resources Code § 14581(a)(5)(A)(ii) Funds equal to the difference between the amount in clause (i) and the amount of the processing payments established in subdivision (b) of Section 14575, and adjusted pursuant to paragraph (2) of subdivision (c) of, and subdivision (f) of, Section 14575, to reduce the processing fee to the level provided in subdivision (e) of Section 14575, or to reflect the agreement by a willing purchaser to pay a voluntary artificial scrap value pursuant to Section 14575.1.
(B)CA Public Resources Code § 14581(a)(5)(A)(B) Notwithstanding Section 13340 of the Government Code, the moneys in each processing fee account are hereby continuously appropriated to the department for expenditure without regard to fiscal years, for purposes of making processing payments pursuant to Section 14575.
(6)CA Public Resources Code § 14581(a)(6) Up to five million dollars ($5,000,000) may be expended annually by the department for the purposes of undertaking a statewide public education and information campaign aimed at promoting increased recycling of beverage containers.
(7)CA Public Resources Code § 14581(a)(7) Up to fifteen million dollars ($15,000,000) may be expended annually by the department for quality incentive payments for empty glass beverage containers pursuant to Section 14549.1.
(8)Copy CA Public Resources Code § 14581(a)(8)
(A)Copy CA Public Resources Code § 14581(a)(8)(A) For the 2019–20 fiscal year to the 2025–26 fiscal year, inclusive, the department may expend funds for market development payments to reclaimers and product manufacturers, pursuant to Section 14549.2.
(B)CA Public Resources Code § 14581(a)(8)(A)(B) For purposes of this paragraph, the definitions in subdivision (a) of Section 14549.2 apply.
(9)Copy CA Public Resources Code § 14581(a)(9)
(A)Copy CA Public Resources Code § 14581(a)(9)(A) For the 2019–20 fiscal year to the 2025–26 fiscal year, inclusive, the department may expend up to a total of five million dollars ($5,000,000) to support the pilot projects created pursuant to Section 14571.9.
(B)CA Public Resources Code § 14581(a)(9)(A)(B) Taking into consideration the recent closure of many of California’s recycling centers, the Legislature finds and declares that the appropriation provided for in Chapter 793 of the Statutes of 2019 is necessary in order to ensure the continued support of, and to bolster, consumer redemption opportunities.
(10)CA Public Resources Code § 14581(a)(10) The department may expend up to four million dollars ($4,000,000) annually for glass processing incentive grants authorized pursuant to Section 14543.
(11)CA Public Resources Code § 14581(a)(11) The department may expend up to four million dollars ($4,000,000) annually for empty glass beverage container grants authorized pursuant to Section 14544.
(12)CA Public Resources Code § 14581(a)(12) The department may expend up to one million dollars ($1,000,000) annually for grants to facilitate the transportation of empty glass beverage containers authorized pursuant to Section 14545.
(13)Copy CA Public Resources Code § 14581(a)(13)
(A)Copy CA Public Resources Code § 14581(a)(13)(A) The department may expend up to sixty million dollars ($60,000,000) annually for glass market development payments for glass authorized pursuant to Section 14549.7.
(B)CA Public Resources Code § 14581(a)(13)(A)(B) This paragraph shall become inoperative on January 1, 2028.
(b)Copy CA Public Resources Code § 14581(b)
(1)Copy CA Public Resources Code § 14581(b)(1) If the department determines, pursuant to a review made pursuant to Section 14556, that there may be inadequate funds to pay the payments required by this division, the department shall immediately notify the appropriate policy and fiscal committees of the Legislature regarding the inadequacy.
(2)CA Public Resources Code § 14581(b)(2) On or before 180 days, but not less than 80 days, after the notice is sent pursuant to paragraph (1), the department may reduce or eliminate expenditures, or both, from the funds as necessary, according to the procedure set forth in subdivision (c).
(c)CA Public Resources Code § 14581(c) If the department determines that there are insufficient funds to make the payments specified pursuant to this section and Section 14575, the department shall reduce all payments proportionally.
(d)CA Public Resources Code § 14581(d) Before making an expenditure pursuant to paragraph (6) of subdivision (a), the department shall convene an advisory committee consisting of representatives of the beverage industry, beverage container manufacturers, environmental organizations, the recycling industry, nonprofit organizations, and retailers to advise the department on the most cost-effective and efficient method of the expenditure of the funds for that education and information campaign.
handling fee payments curbside recycling drop-off recycling recycling grants public education litter cleanup funding request form supermarket recycling incentive programs glass recycling market development payments pilot projects advisory committee insufficient funds fund allocation
(Amended by Stats. 2022, Ch. 610, Sec. 32. (SB 1013) Effective January 1, 2023.)

Section § 14581.1

Explanation

This law section explains that each year, a specific amount of money from a fund is allotted for grants aimed at reducing litter from beverage containers and boosting recycling efforts. These grants support educational and outreach programs and are given to certain community conservation corps in California.

These conservation corps must either have a long-standing existence or meet specific operational criteria, like being designated by large cities or counties for litter and recycling work. The funds allocated amount to around $20,974,000, adjusted for inflation, but not more than 75% of a corps' budget can come from these grants.

The base funding level refers to the fiscal year 2014-15 and is subject to adjustment based on cost-of-living changes. Additionally, there was a one-time increase of $7.5 million for that fiscal year.

(a)CA Public Resources Code § 14581.1(a) The department shall expend in each fiscal year, from the moneys set aside in the fund pursuant to subdivision (c) of Section 14580, twenty million nine hundred seventy-four thousand dollars ($20,974,000), plus the cost-of-living adjustment, as provided in subdivision (c), less fifteen million dollars ($15,000,000), in the form of grants for beverage container litter reduction programs and recycling programs, including education and outreach, issued to either of the following:
(1)CA Public Resources Code § 14581.1(a)(1) Certified community conservation corps that were in existence on September 30, 1999, or that are formed subsequent to that date, that are designated by a city or a city and county to perform litter abatement, recycling, and related activities, if the city or the city and county has a population, as determined by the most recent census, of more than 250,000 persons.
(2)CA Public Resources Code § 14581.1(a)(2) Community conservation corps that are designated by a county to perform litter abatement, recycling, and related activities, and are certified by the California Conservation Corps as having operated for a minimum of two years and as meeting all other criteria of Section 14507.5.
(b)CA Public Resources Code § 14581.1(b) The grants provided pursuant to this section shall not comprise more than 75 percent of the annual budget of a community conservation corps.
(c)CA Public Resources Code § 14581.1(c) The amount of twenty million nine hundred seventy-four thousand dollars ($20,974,000) that is referenced in subdivision (a) is a base amount for the 2014–15 fiscal year, and the department shall adjust that amount annually to reflect any increases or decreases in the cost of living as measured by the Department of Labor or a successor agency of the federal government.
(d)CA Public Resources Code § 14581.1(d) For the 2014–15 fiscal year only, the amount to be expended from the fund for the purposes specified in subdivision (a) shall be increased by seven million five hundred thousand dollars ($7,500,000).
beverage container litter reduction recycling programs community conservation corps grants litter abatement population over 250 000 California Conservation Corps cost-of-living adjustment education and outreach fiscal budget funding adjustment county designation city designation operational criteria 2014-15 fiscal year
(Added by Stats. 2014, Ch. 35, Sec. 144. (SB 861) Effective June 20, 2014.)

Section § 14582

Explanation

This law creates a special account for recycling infrastructure loans within the California Beverage Container Recycling Fund. The funds are meant exclusively for guaranteeing loans aimed at building new recycling facilities in California.

The department can only provide these loan guarantees if the project increases recycling capacity, turns beverage containers into new products, and follows all relevant laws.

The Recycling Infrastructure Loan Guarantee Account is hereby created as a revolving account in the California Beverage Container Recycling Fund, and the funds in that account are continuously appropriated to the department to issue loan guarantees for capital expenditures for new recycling infrastructure located in the state. The department may issue a loan guarantee from the account only if the department determines that the new recycling infrastructure adds recycling capacity, results in remanufacturing and reuse of beverage containers into new products, and complies with all applicable laws and regulations.
Recycling Infrastructure Loan Guarantee California Beverage Container Recycling Fund loan guarantees capital expenditures recycling facilities recycling capacity remanufacturing reuse of beverage containers new recycling infrastructure compliance with regulations
(Added by Stats. 2003, Ch. 753, Sec. 18. Effective January 1, 2004.)

Section § 14583

Explanation

Starting July 1, 2012, California will not provide funds or grants to any city or county that blocks recycling centers from being set up or running near supermarkets. This rule applies if the city or county has put land use restrictions in place that prevent these centers from operating as required by other regulations.

Notwithstanding Section 14581, on and after July 1, 2012, the department shall not make any payments, grants, or loans, as provided in that section, to a city, county, or city and county, if the city, county, or city and county has adopted or is enforcing a land use restriction that prevents the siting or operation of a certified recycling center at a supermarket site, as defined in Section 14526.6, as may be required pursuant to Section 14571.
recycling centers supermarket site land use restriction sitings operation ban payments halt city restrictions county land use funding criteria enforcement of restrictions grant eligibility loans certified recycling center prevent establishment 14571 compliance
(Added by Stats. 2011, Ch. 576, Sec. 1. (AB 712) Effective January 1, 2012.)

Section § 14584

Explanation

This law allows operators of reverse vending machines and recyclers to apply to the California Pollution Control Financing Authority for funding. The funding helps them establish convenient recycling networks. It also permits corporations, companies, or individuals to apply for loans and grants from a specific energy account so they can demonstrate new recycling equipment.

(a)CA Public Resources Code § 14584(a) Operators of reverse vending machines or processors may apply to the California Pollution Control Financing Authority for financing pursuant to Section 44526 of the Health and Safety Code, as a means of obtaining capital for establishment of a convenience network. For purposes of Section 44508 of the Health and Safety Code, “project” includes the establishing of a recycling location pursuant to the division.
(b)CA Public Resources Code § 14584(b) Corporations, companies, or individuals may apply for loan and grant funds from the Energy Technologies Research, Development, and Demonstration Account specified in Section 25683 by applying to the State Energy Resources Conservation and Development Commission for the purpose of demonstrating equipment for enhancing recycling opportunities.
reverse vending machines recycling financing convenience network Pollution Control Financing Authority Energy Technologies Research Account recycling location establishment funding applications capital for recycling State Energy Resources Commission demonstrating recycling equipment grant funds for recycling recycling opportunities loan applications recycling network support California recycling incentives
(Added by Stats. 1986, Ch. 1290, Sec. 2. Effective September 29, 1986.)

Section § 14585

Explanation

This law sets up how the Department of Recycling in California gives out handling fees to those who collect and recycle empty beverage containers. These fees aim to motivate recycling services, especially in convenience zones like supermarkets and rural areas. Fees are based on the number of containers recycled and are paid monthly, with specific rules on how to calculate eligibility. Sites with larger volumes of recyclables get their fees first if there's a limit to funds. If the place recycling is happening has to shut down temporarily, handlers can still apply for fees for three months afterwards, as long as they notify the department.

The department is tasked with determining rates based on actual costs, and has to do surveys every two years to keep this cost data updated. From now until 2026, fees can't drop below what they were in 2023, and changes for cost of living must be made yearly. Regulations to establish these calculations need to be in place by mid-2026. Emergency rules might be adopted as needed to speed up these processes and maintain efficiency.

(a)CA Public Resources Code § 14585(a) The department shall adopt guidelines and methods for paying handling fees to supermarket sites, nonprofit convenience zone recyclers, or rural region recyclers to provide an incentive for the redemption of empty beverage containers in convenience zones. The guidelines shall include, but not be limited to, all of the following:
(1)CA Public Resources Code § 14585(a)(1) Handling fees shall be paid on a monthly basis, in the form and manner adopted by the department. The department shall require that claims for the handling fee be filed with the department not later than the first day of the second month following the month for which the handling fee is claimed as a condition of receiving any handling fee.
(2)CA Public Resources Code § 14585(a)(2) The department shall determine the number of eligible containers per site for which a handling fee will be paid in the following manner:
(A)CA Public Resources Code § 14585(a)(2)(A) Each eligible site’s combined monthly volume of glass and plastic beverage containers shall be divided by the site’s total monthly volume of all empty beverage container types.
(B)CA Public Resources Code § 14585(a)(2)(B) If the quotient determined pursuant to subparagraph (A) is equal to, or more than, 10 percent, the total monthly volume of the site shall be the maximum volume that is eligible for a handling fee for that month.
(C)CA Public Resources Code § 14585(a)(2)(C) If the quotient determined pursuant to subparagraph (A) is less than 10 percent, the department shall divide the volume of glass and plastic beverage containers by 10 percent. That quotient shall be the maximum volume that is eligible for a handling fee for that month.
(3)Copy CA Public Resources Code § 14585(a)(3)
(A)Copy CA Public Resources Code § 14585(a)(3)(A) On and after the effective date of the act amending this section during the 2023–24 Regular Session, and until June 30, 2026, the department shall pay a handling fee per eligible container in the amount determined pursuant to subdivisions (f) and (g).
(B)CA Public Resources Code § 14585(a)(3)(A)(B) On and after July 1, 2026, the department shall pay a handling fee per eligible container in the amount determined pursuant to subdivision (f).
(4)CA Public Resources Code § 14585(a)(4) If the eligible volume in any given month would result in handling fee payments that exceed the allocation of funds for that month, as provided in subdivision (b), sites with higher eligible monthly volumes shall receive handling fees for their entire eligible monthly volume before sites with lower eligible monthly volumes receive any handling fees.
(5)Copy CA Public Resources Code § 14585(a)(5)
(A)Copy CA Public Resources Code § 14585(a)(5)(A) If a dealer where a supermarket site, nonprofit convenience zone recycler, or rural region recycler is located ceases operation for remodeling or for a change of ownership, the operator of that supermarket site, nonprofit convenience zone recycler, or rural region recycler shall be eligible to apply for handling fees for that site for a period of three months following the date of the closure of the dealer.
(B)CA Public Resources Code § 14585(a)(5)(A)(B) Every supermarket site operator, nonprofit convenience zone recycler, or rural region recycler shall promptly notify the department of the closure of the dealer where the supermarket site, nonprofit convenience zone recycler, or rural region recycler is located.
(C)CA Public Resources Code § 14585(a)(5)(A)(C) Notwithstanding subparagraph (A), any operator who fails to provide notification to the department pursuant to subparagraph (B) shall not be eligible to apply for handling fees.
(b)CA Public Resources Code § 14585(b) The department may allocate the amount authorized for expenditure for the payment of handling fees pursuant to paragraph (1) of subdivision (a) of Section 14581 on a monthly basis and may carry over any unexpended monthly allocation to a subsequent month or months. However, unexpended monthly allocations shall not be carried over to a subsequent fiscal year for the purpose of paying handling fees but may be carried over for any other purpose pursuant to Section 14581.
(c)Copy CA Public Resources Code § 14585(c)
(1)Copy CA Public Resources Code § 14585(c)(1) The department shall not make handling fee payments to more than one certified recycling center in a convenience zone. If a dealer is located in more than one convenience zone, the department shall offer a single handling fee payment to a supermarket site located at that dealer. This handling fee payment shall not be split between the affected zones. The department shall stop making handling fee payments if another recycling center certifies to operate within the convenience zone without receiving payments pursuant to this section, if the department monitors the performance of the other recycling center for 60 days and determines that the recycling center is in compliance with this division. Any recycling center that locates in a convenience zone, thereby causing a preexisting recycling center to become ineligible to receive handling fee payments, is ineligible to receive any handling fee payments in that convenience zone.
(2)CA Public Resources Code § 14585(c)(2) The department shall offer a single handling fee payment to a rural region recycler located anywhere inside a convenience zone, if that convenience zone is not served by another certified recycling center and the rural region recycler does either of the following:
(A)CA Public Resources Code § 14585(c)(2)(A) Operates a minimum of 30 hours per week in one convenience zone.
(B)CA Public Resources Code § 14585(c)(2)(B) Serves two or more convenience zones, and meets all of the following criteria:
(i)CA Public Resources Code § 14585(c)(2)(B)(i) Is the only certified recycler within each convenience zone.
(ii)CA Public Resources Code § 14585(c)(2)(B)(ii) Is open and operating at least eight hours per week in each convenience zone and is certified at each location.
(iii)CA Public Resources Code § 14585(c)(2)(B)(iii) Operates at least 30 hours per week in total for all convenience zones served.
(d)CA Public Resources Code § 14585(d) The department may require an operator of a supermarket site, or an operator of a rural region recycler, receiving handling fees to maintain records for each location where beverage containers are redeemed, and may require the supermarket site or rural region recycler to take any other action necessary for the department to determine that the supermarket site or rural region recycler does not receive an excessive handling fee.
(e)CA Public Resources Code § 14585(e) The department may determine and use a standard container per pound rate, for each material type, for purposes of calculating volumes and making handling fee payments.
(f)Copy CA Public Resources Code § 14585(f)
(1)Copy CA Public Resources Code § 14585(f)(1) On or before January 1, 2008, and every two years thereafter, the department shall conduct a survey pursuant to this subdivision of a statistically significant sample of handling fee payment recipients to determine the actual cost incurred for the redemption of empty beverage containers by those handling fee payment recipients. The department shall conduct these cost surveys in conjunction with the cost surveys performed by the department pursuant to subdivision (b) of Section 14575 to determine processing payments and processing fees. The department shall include, in determining the actual costs, only those allowable costs contained in the regulations adopted pursuant to this division that are used by the department to conduct cost surveys pursuant to subdivision (b) of Section 14575.
(2)CA Public Resources Code § 14585(f)(2) Using the information obtained pursuant to paragraph (1), the department shall then determine the statewide weighted average cost incurred for the redemption of empty beverage containers, per empty beverage container, by handling fee payment recipients.
(3)CA Public Resources Code § 14585(f)(3) Except as provided in subdivision (g), the department shall determine the amount of the handling fee to be paid for each empty beverage container as follows:
(A)CA Public Resources Code § 14585(f)(3)(A) Until June 30, 2027, and except as provided in subparagraph (B), the amount shall be determined using a methodology established by the department reflecting the cost of providing and maintaining recycling in convenience zones by handling fee recipients, including transportation, labor, volume, consumer convenience, and increasing recycling rates. The methodology may include tiered handling fee rates reflecting differing costs within convenience zones or regions based on respective volume or location. This subparagraph shall become inoperative on July 1, 2027.
(B)CA Public Resources Code § 14585(f)(3)(B) On and after June 30, 2026, and if the department has not established a method pursuant to subparagraph (A), the amount shall be determined by subtracting the amount of the statewide weighted average cost per container to redeem empty beverage containers by handling fee payment recipients that do not receive handling fees from the amount of the statewide weighted average cost per container determined pursuant to paragraph (2).
(4)CA Public Resources Code § 14585(f)(4) The department shall adjust the statewide average cost determined pursuant to paragraph (2) for each beverage container annually to reflect changes in the cost of living, as measured by the Bureau of Labor Statistics of the United States Department of Labor or a successor agency of the United States government.
(5)CA Public Resources Code § 14585(f)(5) The cost information collected pursuant to this section for handling fee payment recipients shall not be used in the calculation of the processing payments determined pursuant to Section 14575.
(g)Copy CA Public Resources Code § 14585(g)
(1)Copy CA Public Resources Code § 14585(g)(1) On and after the effective date of the act amending this section during the 2023–24 Regular Session, and until June 30, 2026, the per-container handling fee shall not be less than the amount of the per-container handling fee that was in effect on July 1, 2023. If the effective date of the act amending this section during the 2023–24 Regular Session is after July 1, 2024, the department shall pay eligible handling fee payment recipients the difference between the handling fee in effect on July 1, 2024, and the handling fee that was in effect on July 1, 2023, so that the per-container handling fee for the 2025–26 fiscal year is no less than the handling fee that was in effect on July 1, 2023.
(2)CA Public Resources Code § 14585(g)(2) The department shall adjust the handling fee established by this subdivision annually to reflect changes in the cost of living, as measured by the Bureau of Labor Statistics of the United States Department of Labor or a successor agency of the United States government.
(h)Copy CA Public Resources Code § 14585(h)
(1)Copy CA Public Resources Code § 14585(h)(1) The department shall adopt emergency regulations that establish the methodology described in subparagraph (A) of paragraph (3) of subdivision (f) and to establish a handling fee calculated pursuant to the methodology. The regulations shall take effect no later than July 1, 2026.
(2)CA Public Resources Code § 14585(h)(2) Until June 30, 2027, the adoption of regulations described in paragraph (1) shall be deemed to be an emergency and necessary for the immediate preservation of the public peace, health and safety, or general welfare for purposes of Sections 11346.1 and 11349.6 of the Government Code, and the department is hereby exempted from the requirement that it describe facts showing the need for immediate action. Notwithstanding Section 11346.1 of the Government Code, the emergency regulations adopted pursuant to this subdivision shall remain in effect through June 30, 2027.
handling fees recycling incentives convenience zone recyclers monthly payments container redemption supermarket sites nonprofit recyclers rural region recyclers recycling volume assessment volume eligibility temporary closure notification fee calculation survey statewide cost survey emergency regulations cost of living adjustment
(Amended by Stats. 2024, Ch. 72, Sec. 41. (SB 156) Effective July 2, 2024.)

Section § 14585.5

Explanation

If a recycling location at a supermarket doesn't redeem all types of empty beverage containers in the same spot, it won't get handling fee payments. On the other hand, if a supermarket's recycling spot collects all container types together and gives customers a voucher that's redeemable at a nearby business, it can qualify for these payments.

(a)CA Public Resources Code § 14585.5(a) The department shall not make handling fee payments to a supermarket site if the department determines that all empty beverage container types are not redeemed at the same physical location within the recycling location.
(b)CA Public Resources Code § 14585.5(b) A supermarket site that redeems all empty beverage container types at the same physical location within the recycling location, and issues script to consumers which is required to be redeemed at a nearby host business, is eligible to receive handling fee payments.
supermarket recycling handling fee payments empty beverage containers redemption location recycling script vouchers for recycling container redemption recycling eligibility host business redemption recycling program requirements
(Amended by Stats. 1994, Ch. 620, Sec. 5. Effective January 1, 1995.)

Section § 14586

Explanation

This section explains that California isn't obligated to keep providing a certain amount of financial support to local conservation groups, community corps, or nonprofit agencies. It means there's no promise of ongoing state funding for these entities.

This division does not create any guarantee of a continuing level of support, or other obligation on the part of the State of California, the department, or any agency thereof, to pay any specified amount to any local conservation organization, community conservation corps, or statewide nonprofit private agency.
financial support state obligation local conservation organizations community conservation corps nonprofit agency funding ongoing funding specified amount state funding conservation support funding guarantee California state responsibility conservation funding commitments funding obligations nonprofit support community corps funding
(Added by Stats. 1986, Ch. 1290, Sec. 2. Effective September 29, 1986.)

Section § 14587

Explanation

This law section explains that financial payments made to local conservation organizations, community conservation corps, or statewide nonprofit agencies in one fiscal year do not need to be repeated or increased in future years. Simply put, there's no obligation to maintain or increase funding from one fiscal year to the next.

This division does not require or create any obligation that payments made pursuant to this division to any local conservation organization, community conservation corps, or statewide nonprofit private agency in any given fiscal year be made in any subsequent fiscal year at the same or greater level.
local conservation organizations community conservation corps statewide nonprofit agencies funding obligations fiscal year payments conservation funding nonprofit agency funding payment consistency funding continuity financial obligations funding variability environmental funding fiscal year funding conservation corps payments
(Added by Stats. 1986, Ch. 1290, Sec. 2. Effective September 29, 1986.)