S T A T E O F N E W Y O R K
________________________________________________________________________
5647
2009-2010 Regular Sessions
I N S E N A T E
May 26, 2009
___________
Introduced by Sen. KRUGER -- (at request of the Governor) -- read twice
and ordered printed, and when printed to be committed to the Committee
on Finance
AN ACT to amend chapter 59 of the laws of 2009, amending the environ-
mental conservation law and the economic development law, relating to
including additional beverage containers as returnable containers, in
relation to the effectiveness of certain provisions thereof; to amend
the environmental conservation law, in relation to returnable beverage
containers; and to repeal certain provisions of the environmental
conservation law relating thereto
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 16 of part SS of chapter 59 of the laws of 2009,
amending the environmental conservation law and the economic development
law relating to including additional beverage containers as returnable
containers, is amended to read as follows:
S 16. This act shall take effect immediately, provided however, that:
1. sections two and three of this act shall take effect April 1, 2009;
2. sections four, five, six, seven, nine, and eleven of this act shall
take effect June 1, 2009; and
3. section eight of this act shall take effect on April 1, 2009 except
that the requirements to make deposits, file reports and make with-
drawals and payments under section 27-1012 of the environmental conser-
vation law, as added by section eight of this act, with respect to
containers defined as beverage containers prior to April 1, 2009, shall
first apply to the period beginning on April 15, 2009 and ending May 31,
2009, and with respect to all other beverage containers shall first
apply to the period beginning on [June] JULY 1, 2009 and ending August
31, 2009, provided that such other beverage containers will not be
required to have a refund value as required under section 27-1005 of the
environmental conservation law, as added by section four of this act,
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD12058-06-9
S. 5647 2
NOR SHALL A PERSON BE CONSIDERED A DEPOSIT INITIATOR FOR SUCH BEVERAGE
CONTAINERS until [June] JULY 1, 2009. However, no refunds shall be paid
to a deposit initiator pursuant to paragraph b of subdivision 4 of
section 27-1012 of the environmental conservation law, as added by
section eight of this act prior to March 1, 2010.
S 2. Subdivision 1, the opening paragraph of subdivision 2 and subdi-
visions 4 and 6 of section 27-1007 of the environmental conservation
law, as added by section 4 of part SS of chapter 59 of the laws of 2009,
are amended to read as follows:
1. (a) A dealer shall accept at his or her place of business from a
redeemer any empty beverage containers of the design, shape, size,
color, composition and brand sold or offered for sale by the dealer, and
shall pay to the redeemer the refund value of each such beverage
container as established in section 27-1005 of this title. Redemptions
of refund value must be in legal tender, or a scrip or receipt from a
reverse vending machine, provided that the scrip or receipt can be
exchanged for legal tender for a period of not less than [sixty] THIRTY
days without requiring the purchase of other goods. The use or presence
of a reverse vending machine shall not relieve a dealer of any obli-
gations imposed pursuant to this section. If a dealer utilizes a reverse
vending machine to redeem containers, the dealer shall provide redemp-
tion of beverage containers when the reverse vending machine is full,
broken, under repair or does not accept a type of beverage container
sold or offered for sale by such dealer and may not limit the hours or
days of redemption except as provided by subdivision three of this
section.
(b) Beginning March first, two thousand ten, a dealer whose place of
business is part of a chain engaged in the same general field of busi-
ness which operates ten or more units in this state under common owner-
ship and whose business [exceeds]: (i) IS AT LEAST forty thousand
square feet but is less than sixty thousand square feet shall install
and maintain at least three reverse vending machines at the dealer's
place of business; (ii) IS AT LEAST sixty thousand square feet but is
less than eighty-five thousand square feet shall install and maintain at
least four reverse vending machines at the dealer's place of business;
or (iii) IS AT LEAST eighty-five thousand square feet shall install and
maintain at least eight reverse vending machines at the dealer's place
of business; provided, however, that the requirements of this paragraph
to install and maintain reverse vending machines shall not apply to a
dealer that sells only [refrigerated] beverage containers of twenty
ounces or less where each beverage container is sold as an individual
container that is not connected to or packaged with any other beverage
container.
(c) A DEALER MAY APPLY FOR AND THE DEPARTMENT MAY GRANT AN EXEMPTION
IN WHOLE OR IN PART FROM THE REQUIREMENTS OF SUBPARAGRAPHS (I), (II),
AND (III) OF PARAGRAPH (B) OF THIS SUBDIVISION. AN APPLICATION FOR SUCH
AN EXEMPTION SHALL BE ACCOMPANIED BY SUCH INFORMATION AS THE DEPARTMENT
REQUIRES AND MAY INCLUDE BUT NEED NOT BE LIMITED TO INFORMATION RELATING
TO THE APPLICANT'S RETAIL BEVERAGE SALES VOLUME, PATTERNS AND RATES OF
REDEMPTION, AND THE CAPACITY OF REVERSE VENDING MACHINES USED OR OTHER
FORM OF REDEMPTION TECHNOLOGY TO BE USED. EXEMPTIONS MAY BE LIMITED TO A
SPECIFIC TIME PERIOD, SUBJECT TO RENEWAL, AMENDMENT AND REVOCATION, AND
MAY INCLUDE REPORTING REQUIREMENTS TO ASSURE ADEQUATE MANAGEMENT OF
REDEEMED CONTAINERS.
(D) A dealer to which paragraph (b) of this subdivision does not apply
and whose place of business is at least forty thousand square feet which
S. 5647 3
does not utilize reverse vending machines to process empty beverage
containers for redemption shall: (i) establish and maintain a dedicated
area within such business to accept beverage containers for redemption;
(ii) adequately staff such area to facilitate efficient acceptance and
processing of such containers during business hours; and (iii) post one
or more conspicuous signs conforming to the size and color requirements
described in subdivision two of this section at each public entrance to
the business which describes where in the business the redemption area
is located. The commissioner may establish in rules and regulations
additional standards for the efficient processing of beverage containers
by such dealers.
[(d)] (E) For the purposes of this subdivision on any day that a deal-
er is open for less than twenty-four hours, the dealer may restrict or
refuse the payment of refund values during the first and last hour the
dealer is open for business.
A dealer shall post a conspicuous sign, at the [point] POINTS of
[sale] REDEMPTION, that states:
4. A deposit initiator OR DISTRIBUTOR shall accept from a dealer or
operator of a redemption center any empty beverage container of the
design, shape, size, color, composition and brand sold or offered for
sale by the deposit initiator OR DISTRIBUTOR, and shall pay the dealer
or operator of a redemption center the refund value of each such bever-
age container as established by section 27-1005 of this title. A deposit
initiator OR DISTRIBUTOR shall accept and redeem all such empty beverage
containers from a dealer or redemption center without limitation on
quantity.
6. In addition to the refund value of a beverage container as estab-
lished by section 27-1005 of this title, a deposit initiator OR DISTRIB-
UTOR shall pay to any dealer or operator of a redemption center a handl-
ing fee [of three and one-half cents] for each beverage container
accepted by the deposit initiator OR DISTRIBUTOR from such dealer or
operator of a redemption center. Payment of the handling fee shall be
as compensation for collecting, sorting and packaging of empty beverage
containers for transport back to the deposit initiator OR DISTRIBUTOR or
its designee. PRIOR TO OCTOBER FIRST, TWO THOUSAND NINE, THE HANDLING
FEE SHALL BE TWO CENTS. ON AND AFTER OCTOBER FIRST, TWO THOUSAND NINE,
THE HANDLING FEE SHALL BE PAYABLE IN THE FOLLOWING AMOUNTS:
(A) TO AN OPERATOR OF A REDEMPTION CENTER WHO IS NOT A DEALER: THREE
AND ONE-HALF CENTS FOR EACH BEVERAGE CONTAINER ACCEPTED FROM SUCH
REDEMPTION CENTER;
(B) TO A DEALER WHO IS A LICENSEE PURSUANT TO SECTION FIFTY-THREE OF
THE ALCOHOLIC BEVERAGE CONTROL LAW: THREE AND ONE-HALF CENTS FOR EACH
BEVERAGE CONTAINER ACCEPTED FROM SUCH DEALER;
(C) TO A DEALER OTHER THAN ONE DESCRIBED IN PARAGRAPH (B) OF THIS
SUBDIVISION WHOSE PLACE OF BUSINESS IS LESS THAN TEN THOUSAND SQUARE
FEET: THREE AND ONE-HALF CENTS FOR EACH BEVERAGE CONTAINER ACCEPTED FROM
SUCH PLACE OF BUSINESS;
(D) TO A DEALER OTHER THAN ONE DESCRIBED IN PARAGRAPH (B) OF THIS
SUBDIVISION WHOSE PLACE OF BUSINESS IS TEN THOUSAND SQUARE FEET OR
GREATER: TWO AND ONE-HALF CENTS FOR EACH BEVERAGE CONTAINER ACCEPTED
FROM SUCH PLACE OF BUSINESS.
A DEALER SHALL DISCLOSE THE SQUARE FOOTAGE OF ITS PLACE OF BUSINESS UPON
THE REQUEST OF A DEPOSIT INITIATOR, A DISTRIBUTOR, OR THE DEPARTMENT.
Payment of the handling fee may not be conditioned on the purchase of
any goods or services, nor may such payment be made out of the refund
value account established pursuant to section 27-1012 of this title. A
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distributor who does not initiate deposits on a type of beverage
container is considered a dealer only for the purpose of receiving a
handling fee from a deposit initiator.
S 3. Subdivision 1 of section 27-1011 of the environmental conserva-
tion law, as amended by chapter 149 of the laws of 1983, is amended to
read as follows:
1. a. Every beverage container sold or offered for sale in this state
by a DEPOSIT INITIATOR, distributor or dealer shall clearly indicate by
permanently marking or embossing the container or by printing as part of
the product label the refund value of the container and the words "New
York" or the letters "NY"; provided, however, [in the case of] private
label beverages SHALL COMPLY WITH THIS LABELING REQUIREMENT BY NO LATER
THAN OCTOBER FIRST, TWO THOUSAND NINE; UNTIL SUCH TIME such information
may be embossed or printed on a label which is securely or permanently
affixed to the beverage container. Private label beverages shall be
defined as beverages purchased from a [beverage manufacturer] BOTTLER in
beverage containers bearing a brand name or trademark for sale at retail
directly by the owner or licensee of such brand name or trademark; or
through retail dealers affiliated with such owner or licensee by a coop-
erative or franchise agreement.
b. Such embossing or permanent imprinting on the beverage container
shall be the responsibility of the person, firm or corporation which
bottles, cans or otherwise fills or packages a beverage container or a
brand owner for whose exclusive account private label beverages are
bottled, canned or otherwise packaged; provided, however, that the duly
authorized agent of any such person, firm or corporation may indicate
such refund value by a label securely affixed on any beverage container
containing beverages imported into the United States.
C. BEGINNING OCTOBER FIRST, TWO THOUSAND NINE, EVERY BEVERAGE CONTAIN-
ER SOLD OR OFFERED FOR SALE IN THIS STATE BY A DEPOSIT INITIATOR,
DISTRIBUTOR OR DEALER SHALL, IN ADDITION TO THE REQUIREMENTS OF PARA-
GRAPHS A AND B OF THIS SUBDIVISION, ALSO BEAR A UNIVERSAL PRODUCT CODE.
S 4. Subdivision 12 of section 27-1012 of the environmental conserva-
tion law is REPEALED.
S 5. Paragraph a of subdivision 7 of section 27-1012 of the environ-
mental conservation law, as added by section 8 of part SS of chapter 59
of the laws of 2009, is amended to read as follows:
a. [Any person who is a deposit initiator under this title before
April first, two thousand nine, must apply by June first, two thousand
nine to the commissioner of taxation and finance for registration as a
deposit initiator. Any person who becomes a deposit initiator on or
after April first, two thousand nine shall apply for registration prior
to collecting any deposits as such a deposit initiator.] ANY PERSON WHO,
PRIOR TO JUNE FIRST, TWO THOUSAND NINE, IS A DEPOSIT INITIATOR WITH
RESPECT TO CONTAINERS DEFINED AS BEVERAGE CONTAINERS BEFORE APRIL FIRST,
TWO THOUSAND NINE, MUST APPLY BY JUNE FIRST, TWO THOUSAND NINE TO THE
COMMISSIONER OF TAXATION AND FINANCE FOR REGISTRATION AS A DEPOSIT
INITIATOR. ANY PERSON WHO BECOMES A DEPOSIT INITIATOR ON OR AFTER JUNE
FIRST, TWO THOUSAND NINE WITH RESPECT TO CONTAINERS DEFINED AS BEVERAGE
CONTAINERS PRIOR TO APRIL FIRST, TWO THOUSAND NINE SHALL APPLY FOR
REGISTRATION PRIOR TO COLLECTING ANY DEPOSITS AS SUCH A DEPOSIT INITI-
ATOR. ANY PERSON WHO BECOMES A DEPOSIT INITIATOR WITH RESPECT TO
CONTAINERS FIRST DEFINED AS BEVERAGE CONTAINERS ON OR AFTER APRIL FIRST,
TWO THOUSAND NINE SHALL APPLY FOR REGISTRATION BY THE LATER OF JULY
FIRST, TWO THOUSAND NINE OR PRIOR TO COLLECTING ANY DEPOSITS AS SUCH A
DEPOSIT INITIATOR. Such application shall be in a form prescribed by the
S. 5647 5
commissioner of taxation and finance and shall require such information
deemed to be necessary for proper administration of this title. The
commissioner of taxation and finance may require that applications for
registration must be submitted electronically. The commissioner of taxa-
tion and finance shall electronically issue a deposit initiator regis-
tration certificate in a form prescribed by the commissioner of taxation
and finance within fifteen days of receipt of such application or may
take an additional ten days if the commissioner of taxation and finance
deems it necessary to consult with the commissioner before issuing such
registration certificate. A registration certificate issued pursuant to
this subdivision may be issued for a specified term of not less than
three years and shall be subject to renewal in accordance with proce-
dures specified by the commissioner of taxation and finance. The commis-
sioner of taxation and finance shall furnish to the commissioner a
complete list of registered deposit initiators and shall continually
update such list as warranted. The commissioner shall share any informa-
tion with the commissioner of taxation and finance that is necessary for
the administration of this subdivision.
S 6. This act shall take effect immediately; provided, however that:
(a) the amendments to chapter 59 of the laws of 2009 made by section
one of this act and the amendments made to sections 27-1011 and 27-1012
of the environmental conservation law by sections three and five of this
act shall be deemed to have been in full force and effect on and after
April 1, 2009; and
(b) the amendments to section 27-1007 of the environmental conserva-
tion law made by section two of this act shall take effect on the same
date and in the same manner as section 4 of part SS of chapter 59 of the
laws of 2009, as amended, takes effect.