Establishes a recycling program for containers of adult-use cannabis sold in New York; requires such containers to be made of at least fifty percent recycled materials.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6830
SPONSOR: Fahy
 
TITLE OF BILL:
An act to amend the environmental conservation law, in relation to
establishing a recycling program for containers of adult-use cannabis
sold in New York, and requiring such containers to be made of at least
fifty percent recycled materials
 
PURPOSE:
Establishes a recycling program for containers of adult-use cannabis
sold in New York
 
SUMMARY OF PROVISIONS:
Section 1: Article 27-1001 of the environmental conservation is law is
amended to included language and definition relating to single-use plas-
tic containers for adult-use recreational marijuana.
Section 2: Amends subdivisions 4, 5-a, 6 ,7 ,8,9 and 10 of section
27-1003, subdivisions 4, 7, 8, and 10 as added by chapter 200 of the
laws of 1982, and subdivision 5-a as added and subdivisions 6 and 9 as
amended by section 3 of part SS of chapter 59 of the laws of 2009, are
amended and three new subdivisions 2-b, 14 and 15 are added to set forth
rules and regulations related to the establishment of a recycling
program for single-use plastic containers for adult-use recreational
marijuana.
Section 3: Amends section 27-1005 of the environmental conservation law
as added by section 4 part SS of chapter 59 of the laws of 2009 to set
forth rule regarding the refund value for a returned plastic container
used for recreational cannabis.
Section 4: Amends section 27-1007 of the environmental conservation law
as added by section 4 of part SS of chapter 459 of the laws of 2011, and
subdivision 12 as added by section 3 of part F of chapter 58 of the laws
of 2013 to provide for the conditions under which a legal retailer of
cannabis must accept returned empty containers of cannabis for which a
deposit was paid.
Section 5: Amends section 27-1009 of the environmental conservation law
as amended by section 4 of part F of chapter 58 of the laws of 2013 to
set penalties for the refusal of acceptance of an empty container of
cannabis by a legal retailer.
Section 6: Adds new section 27-1010 to the environmental conservation
law to set forth requirements for labeling and packaging for the
purposes of recycling.
Section 7: Amends subdivisions 1, 8, 9, and 12 of section 27-2012 of the
environmental conservation law, and subdivision 1, 8 an 9 as added by
section 8 of part SS of chapter 59 of the laws of 2009 and paragraph v
of subdivision 9 and 12 as amended by section 6 of part F of chapter 58
of the laws of 2013 to provide for the administration of such a deposit
program.
Section 8: Amends subdivisions 1, 3, and 4 of section 27-1013 of the
environmental conservation law, subdivisions 1 and 3 as amended and
subdivision 4 as added by section 7 of part F of chapter 58 of the laws
of 2013 to grant to commissioner the authority to promulgate rules and
regulations necessary for the administration of such a program.
Section 9: Amends subdivisions 3, 4, and 6 of section 27-1015 of the
environmental conservation law, subdivisions 3 and 4 as amended and
subdivision 6 as added by section 8 of part F of chapter 58 of the laws
of 2013 to set penalties for the return of containers for which no
deposit has been paid.
Section 10: Amends section 27-1016 of the environment conservation law
as added by section 12 of part SS of chapter 59 of the laws of 2009 to
provide for public education regarding the marijuana container recycling
deposit program.
Section 11: Amends section 27-1018 of the environmental conservation law
as added by section 13 of part SS of chapter 59 of the laws of 2009 to
create a cannabis container assistance program.
Section 12: Sets the effective date.
 
JUSTIFICATION:
Should New York legalize adult-use recreational marijuana, our state,
like all states with legal recreational marijuana, would have important
packaging requirements applied to these products. However, an unfortu-
nate externality of requirements such as childproof or resealable pack-
aging is that they cause the legal marijuana industry to have an
outsized plastics footprint and to become a notable environmental
consideration. The legal cannabis industry in the United States produces
about 150 million tons of waste each year. Even when marijuana packaging
is recycled at home, it is often sorted out by recyclers and taken to
landfills. While no industry is blameless in the plastic pollution
crisis, New York has a unique opportunity to prevent a new source of
plastic pollution as we consider the legalization of recreational mari-
juana.
This legislation is modeled after New York's bottle bill and would
require any lawfully permitted recreational marijuana retailer to charge
a one-dollar deposit on single-use plastic containers for recreational
marijuana products. The retailer would assume responsibility for
collecting used packaging and recycling it, as well as reimbursing
deposits.
 
LEGISLATIVE HISTORY:
New Bill.
 
FISCAL IMPLICATIONS:
To be determined
 
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
6830
2021-2022 Regular Sessions
IN ASSEMBLY
April 12, 2021
___________
Introduced by M. of A. FAHY, SIMON -- read once and referred to the
Committee on Environmental Conservation
AN ACT to amend the environmental conservation law, in relation to
establishing a recycling program for containers of adult-use cannabis
sold in New York, and requiring such containers to be made of at least
fifty percent recycled materials
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 27-1001 of the environmental conservation law, as
2 amended by section 1 of part SS of chapter 59 of the laws of 2009, is
3 amended to read as follows:
4 § 27-1001. Legislative findings.
5 The legislature hereby finds that litter composed of discarded bever-
6 age containers and other single use containers is a growing problem of
7 state concern and a direct threat to the health and safety of the citi-
8 zens of this state. Discarded beverage containers and other single use
9 containers create a hazard to vehicular traffic, a source of physical
10 injury to pedestrians and farm animals, a hazard to farm and other
11 machinery and an unsightly accumulation of litter which must be disposed
12 of at increasing public expense. Beverage containers and other single
13 use containers also create an unnecessary addition to the state's and
14 municipalities' already overburdened solid waste and refuse disposal
15 systems. Unsegregated disposal of such containers creates an impediment
16 to the efficient operation of resource recovery plants. Further, the
17 legislature finds that the uninhibited discard of beverage containers
18 and other single use containers constitutes a waste of both mineral and
19 energy resources. The legislature hereby finds that requiring a deposit
20 on all beverage containers and single use cannabis containers, along
21 with certain other facilitating measures, will provide a necessary
22 incentive for the economically efficient and environmentally benign
23 collection and recycling of such containers.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10541-01-1
A. 6830 2
1 § 2. Subdivisions 4, 5-a, 6, 7, 8, 9 and 10 of section 27-1003, subdi-
2 visions 4, 7, 8 and 10 as added by chapter 200 of the laws of 1982, and
3 subdivision 5-a as added and subdivisions 6 and 9 as amended by section
4 3 of part SS of chapter 59 of the laws of 2009, are amended and three
5 new subdivisions 2-b, 14 and 15 are added to read as follows:
6 2-b. "Cannabis packager" means a person, firm or corporation who
7 bottles, cans or otherwise packages cannabis in cannabis containers
8 except that if such packaging is for any other person, firm or corpo-
9 ration having the right to bottle, can or otherwise package the same
10 brand of cannabis, then such other person, firm or corporation shall be
11 the cannabis packager.
12 4. "Dealer" means:
13 a. every person, firm or corporation who engages in the sale of bever-
14 ages in beverage containers to a consumer for off premises consumption
15 in this state; or
16 b. every person, firm or corporation licensed under the laws of this
17 state to engage in the sale of cannabis to an adult for use in this
18 state.
19 5-a. A "deposit initiator" for each beverage or cannabis container for
20 which a refund value is established under section 27-1005 of this title
21 means:
22 a. the bottler of the beverage in such container, or the packager of
23 cannabis in such container;
24 b. the distributor of such container if such distributor's purchase of
25 such container was not, directly or indirectly, from a registered depos-
26 it initiator;
27 c. a dealer of such container who sells or offers for sale such
28 container in this state, whose purchase of such container was not,
29 directly or indirectly, from a registered deposit initiator; or
30 d. an agent acting on behalf of a registered deposit initiator.
31 6. "Distributor" means:
32 a. any person, firm or corporation which engages in the sale or offer
33 for sale of beverages in beverage containers to a dealer; or
34 b. any person, firm or corporation licensed under the laws of this
35 state to engage in the wholesale sale of cannabis to dealers in this
36 state.
37 7. "Place of business" means the location at which a dealer sells or
38 offers for sale beverages in beverage containers or cannabis in cannabis
39 containers to consumers.
40 8. "Redeemer" means every person who demands the refund value provided
41 for herein in exchange for the empty beverage or cannabis container, but
42 shall not include a dealer as defined in subdivision four of this
43 section.
44 9. "Redemption center" means any person offering to pay the refund
45 value of an empty beverage or cannabis container to a redeemer, or any
46 person who contracts with one or more dealers or distributors to
47 collect, sort and obtain the refund value and handling fee of empty
48 beverage or cannabis containers for, or on behalf of, such dealer or
49 distributor under the provisions of section 27-1013 of this title.
50 10. "Use or consumption" means the exercise of any right or power
51 incident to the ownership of a beverage or cannabis, other than the sale
52 or the keeping or retention of a beverage or cannabis for the purpose of
53 sale.
54 14. "Cannabis" means all parts of the plant of the genus cannabis,
55 which has been authorized for distribution and sale for adult-use in
56 this state.
A. 6830 3
1 15. "Cannabis container" means the sealed glass, metal, aluminum,
2 steel or plastic bottle, can or jar used for containing cannabis
3 intended for adult-use in this state.
4 § 3. Section 27-1005 of the environmental conservation law, as added
5 by section 4 of part SS of chapter 59 of the laws of 2009, is amended to
6 read as follows:
7 § 27-1005. Refund value.
8 No person shall sell or offer for sale a beverage or cannabis contain-
9 er in this state unless the deposit on such beverage or cannabis
10 container is or has been collected by a registered deposit initiator and
11 unless such container has a refund value of not less than five cents
12 which is clearly indicated thereon as provided in section 27-1010 or
13 27-1011 of this title.
14 § 4. Section 27-1007 of the environmental conservation law, as added
15 by section 4 of part SS of chapter 59 of the laws of 2009, paragraph (b)
16 of subdivision 1 as amended by chapter 459 of the laws of 2011, and
17 subdivision 12 as added by section 3 of part F of chapter 58 of the laws
18 of 2013, is amended to read as follows:
19 § 27-1007. Mandatory acceptance.
20 Except as provided in section 27-1009 of this title:
21 1. (a) A dealer shall accept at his or her place of business from a
22 redeemer any empty beverage or cannabis containers of the design, shape,
23 size, color, composition and brand sold or offered for sale by the deal-
24 er, and shall pay to the redeemer the refund value of each such beverage
25 or cannabis container as established in section 27-1005 of this title.
26 Redemptions of refund value must be in legal tender, or a scrip or
27 receipt from a reverse vending machine, provided that the scrip or
28 receipt can be exchanged for legal tender for a period of not less than
29 sixty days without requiring the purchase of other goods. The use or
30 presence of a reverse vending machine shall not relieve a dealer of any
31 obligations imposed pursuant to this section. If a dealer utilizes a
32 reverse vending machine to redeem containers, the dealer shall provide
33 redemption of beverage or cannabis containers when the reverse vending
34 machine is full, broken, under repair or does not accept a type of
35 beverage or cannabis container sold or offered for sale by such dealer
36 and may not limit the hours or days of redemption except as provided by
37 subdivision three of this section.
38 (b) Beginning March first, two thousand ten, a dealer under paragraph
39 a of subdivision four of section 27-1003 of this title whose place of
40 business is part of a chain engaged in the same general field of busi-
41 ness which operates ten or more units in this state under common owner-
42 ship and whose business has at least: (i) forty thousand but less than
43 sixty thousand square feet devoted to the display of merchandise for
44 sale to the public shall install and maintain at least two reverse vend-
45 ing machines at the dealer's place of business for the collection of
46 beverage containers; (ii) sixty thousand but less than eighty-five thou-
47 sand square feet devoted to the display of merchandise for sale to the
48 public shall install and maintain at least three reverse vending
49 machines for the collection of beverage containers at the dealer's place
50 of business; or (iii) eighty-five thousand square feet devoted to the
51 display of merchandise for sale to the public shall install and maintain
52 at least four reverse vending machines for the collection of beverage
53 containers at the dealer's place of business. The requirements of para-
54 graph (b) of this subdivision to install and maintain reverse vending
55 machines shall not apply to a dealer that: (i) sells only beverage
56 containers of twenty ounces or less where such beverage containers are
A. 6830 4
1 packaged in quantities fewer than six; (ii) sells beverage containers
2 and devotes no more than five percent of its floor space to the display
3 and sale of consumer commodities, as defined in section two hundred
4 fourteen-h of the agriculture and markets law; [or] (iii) obtains a
5 waiver from the commissioner authorizing dealers to provide consumers
6 with an alternative technology that: (A) determines if the container is
7 redeemable, (B) provides protections against fraud through a system that
8 validates each container redeemed by reading the universal product code
9 and, except with respect to refillable containers, renders the container
10 unredeemable, (C) accumulates information regarding containers redeemed,
11 and (D) issues legal tender, or a scrip, receipt, or other form of cred-
12 it for the refund value, that can be exchanged for legal tender for a
13 period of not less than sixty days without requiring the purchase of
14 other goods; or (iv) is a dealer under paragraph b of subdivision four
15 of section 27-1003 of this title. Notwithstanding the foregoing, if the
16 alternative technology does not allow consumers to immediately obtain
17 the refund value of the redeemed container, a dealer shall be permitted
18 to deploy such alternative technology only if it also offers an alterna-
19 tive that allows consumers to conveniently and immediately obtain such
20 refund value through a reverse vending machine or other alternative
21 method.
22 (c) A dealer to which paragraph (b) of this subdivision does not apply
23 and whose place of business is at least forty thousand square feet which
24 does not utilize reverse vending machines to process empty beverage or
25 cannabis containers for redemption shall: (i) establish and maintain a
26 dedicated area within such business to accept beverage or cannabis
27 containers for redemption; (ii) adequately staff such area to facilitate
28 efficient acceptance and processing of such containers during business
29 hours; and (iii) post one or more conspicuous signs conforming to the
30 size and color requirements described in subdivision two of this section
31 at each public entrance to the business which describes where in the
32 business the redemption area is located. The commissioner may establish
33 in rules and regulations additional standards for the efficient process-
34 ing of beverage and cannabis containers by such dealers.
35 (d) For the purposes of this subdivision on any day that a dealer is
36 open for less than twenty-four hours, the dealer may restrict or refuse
37 the payment of refund values during the first and last hour the dealer
38 is open for business.
39 2. a. A dealer under paragraph a of subdivision four of section
40 27-1003 of this title shall post a conspicuous sign, at the point of
41 sale, that states:
42 "NEW YORK BOTTLE BILL OF RIGHTS
43 STATE LAW REQUIRES US TO REDEEM EMPTY RETURNABLE BEVERAGE CONTAINERS OF
44 THE SAME TYPE AND BRAND THAT WE SELL OR OFFER FOR SALE
45 YOU HAVE CERTAIN RIGHTS UNDER THE NEW YORK STATE RETURNABLE CONTAINER
46 ACT:
47 THE RIGHT to return your empties for refund to any dealer who sells
48 the same brand, type and size, whether you bought the beverage from the
49 dealer or not. It is illegal to return containers for refund that you
50 did not pay a deposit on in New York state.
51 THE RIGHT to get your deposit refund in cash, without proof of
52 purchase.
A. 6830 5
1 THE RIGHT to return your empties any day, any hour, except for the
2 first and last hour of the dealer's business day (empty containers may
3 be redeemed at any time in 24-hour stores).
4 THE RIGHT to return your containers if they are empty and intact.
5 Washing containers is not required by law, but is strongly recommended
6 to maintain sanitary conditions.
7 The New York state returnable container act can be enforced by the New
8 York state department of environmental conservation, the New York state
9 department of agriculture and markets, the New York state department of
10 taxation and finance, the New York state attorney general and/or by your
11 local government."
12 Such sign must be no less than eight inches by ten inches in size and
13 have lettering a minimum of one quarter inch high, and of a color which
14 contrasts with the background. The department shall maintain a toll free
15 telephone number for a "bottle bill complaint line" that shall be avail-
16 able from 9:00 a.m. to 5:00 p.m. each business day to receive reports of
17 violations of this title. The telephone number shall be listed on any
18 sign required by this section.
19 b. A dealer under paragraph b of subdivision four of section 27-1003
20 of this title shall post a conspicuous sign, at the point of sale, that
21 states:
22 "NEW YORK CANNABIS CONTAINER BILL OF RIGHTS
23 STATE LAW REQUIRES US TO REDEEM EMPTY RETURNABLE CANNABIS CONTAINERS OF
24 THE SAME TYPE AND BRAND THAT WE SELL OR OFFER FOR SALE
25 YOU HAVE CERTAIN RIGHTS UNDER THE NEW YORK STATE RETURNABLE CONTAINER
26 ACT:
27 THE RIGHT to return your empties for refund to any dealer who sells
28 the same brand, type and size, whether you bought the cannabis from the
29 dealer or not. It is illegal to return containers for refund that you
30 did not pay a deposit on in New York state.
31 THE RIGHT to get your deposit refund in cash, without proof of
32 purchase.
33 THE RIGHT to return your empties any day, any hour, except for the
34 first and last hour of the dealer's business day (empty containers may
35 be redeemed at any time in 24-hour stores).
36 THE RIGHT to return your containers if they are empty and intact.
37 Washing containers is not required by law, but is strongly recommended
38 to maintain sanitary conditions.
39 The New York state returnable container act can be enforced by the New
40 York state department of environmental conservation, the New York state
41 department of agriculture and markets, the New York state department of
42 taxation and finance, the New York state attorney general and/or by your
43 local government."
44 Such sign must be no less than eight inches by ten inches in size and
45 have lettering a minimum of one quarter inch high, and of a color which
46 contrasts with the background. The department shall maintain a toll free
47 telephone number for a "cannabis container return complaint line" that
48 shall be available from 9:00 a.m. to 5:00 p.m. each business day to
49 receive reports of violations of this title. The telephone number shall
50 be listed on any sign required by this section.
51 3. On or after June first, two thousand nine, a dealer may limit the
52 number of empty beverage or cannabis containers to be accepted for
A. 6830 6
1 redemption at the dealer's place of business to no less than seventy-two
2 containers per visit, per redeemer, per day, provided that:
3 (a) The dealer has a written agreement with a redemption center, be it
4 either at a fixed physical location within the same county and within
5 one-half mile of the dealer's place of business, or a mobile redemption
6 center, operated by a redemption center, that is located within one-
7 quarter mile of the dealer's place of business. The redemption center
8 must have a written agreement with the dealer to accept containers on
9 behalf of the dealer; and the redemption center's hours of operation
10 must cover at least 9:00 a.m. through 7:00 p.m. daily or in the case of
11 a mobile redemption center, the hours of operation must cover at least
12 four consecutive hours between 8:00 a.m. and 8:00 p.m. daily. The deal-
13 er must post a conspicuous, permanent sign, meeting the size and color
14 specifications set forth in subdivision two of this section, open to
15 public view, identifying the location and hours of operation of the
16 affiliated redemption center or mobile redemption center; and
17 (b) The dealer provides, at a minimum, a consecutive two hour period
18 between 7:00 a.m. and 7:00 p.m. daily whereby the dealer will accept up
19 to two hundred forty containers, per redeemer, per day, and posts a
20 conspicuous, permanent sign, meeting the size and color specifications
21 set forth in subdivision two of this section, open to public view, iden-
22 tifying those hours. The dealer may not change the hours of redemption
23 without first posting a thirty day notice; and
24 (c) The dealer's primary business is:
25 (i) the sale of food or beverages for consumption off-premises, and
26 the dealer's place of business is less than ten thousand square feet in
27 size; or
28 (ii) the sale of cannabis to adults for use in this state, as licensed
29 or otherwise authorized to do so under the laws of this state.
30 4. A deposit initiator shall accept from a dealer or operator of a
31 redemption center any empty beverage or cannabis container of the
32 design, shape, size, color, composition and brand sold or offered for
33 sale by the deposit initiator, and shall pay the dealer or operator of a
34 redemption center the refund value of each such beverage or cannabis
35 container as established by section 27-1005 of this title. A deposit
36 initiator shall accept and redeem all such empty beverage or cannabis
37 containers from a dealer or redemption center without limitation on
38 quantity.
39 5. A deposit initiator's or distributor's failure to pick up empty
40 beverage or cannabis containers, including containers processed in a
41 reverse vending machine, from a redemption center, dealer or the opera-
42 tor of a reverse vending machine, shall be a violation of this title.
43 6. In addition to the refund value of a beverage or cannabis container
44 as established by section 27-1005 of this title, a deposit initiator
45 shall pay to any dealer or operator of a redemption center a handling
46 fee of three and one-half cents for each beverage or cannabis container
47 accepted by the deposit initiator from such dealer or operator of a
48 redemption center. Payment of the handling fee shall be as compensation
49 for collecting, sorting and packaging of empty beverage or cannabis
50 containers for transport back to the deposit initiator or its designee.
51 Payment of the handling fee may not be conditioned on the purchase of
52 any goods or services, nor may such payment be made out of the refund
53 value account established pursuant to section 27-1012 of this title. A
54 distributor who does not initiate deposits on a type of beverage or
55 cannabis container is considered a dealer only for the purpose of
56 receiving a handling fee from a deposit initiator.
A. 6830 7
1 7. A deposit initiator on a brand shall accept from a distributor who
2 does not initiate deposits on that brand any empty beverage or cannabis
3 containers of that brand accepted by the distributor from a dealer or
4 operator of a redemption center and shall reimburse the distributor the
5 refund value of each such beverage or cannabis container, as established
6 by section 27-1005 of this title. In addition, the deposit initiator
7 shall reimburse such distributor for each such beverage or cannabis
8 container the handling fee established under subdivision six of this
9 section. Without limiting the rights of the department or any person,
10 firm or corporation under this subdivision or any other provision of
11 this section, a distributor shall have a civil right of action to
12 enforce this subdivision, including, upon three days notice, the right
13 to apply for temporary and preliminary injunctive relief against contin-
14 uing violations, and until arrangements for collection and return of
15 empty containers or reimbursement of such distributor for such deposits
16 and handling fees are made.
17 8. It shall be the responsibility of the deposit initiator or distrib-
18 utor to provide to a dealer or redemption center a sufficient number of
19 bags, cartons, or other suitable containers, at no cost, for the packag-
20 ing, handling and pickup of empty beverage or cannabis containers that
21 are not redeemed through a reverse vending machine. The bags, cartons,
22 or containers must be provided by the deposit initiator or distributor
23 on a schedule that allows the dealer or redemption center sufficient
24 time to sort the empty beverage or cannabis containers prior to pick up
25 by the deposit initiator or distributor. In addition:
26 (a) When picking up empty beverage or cannabis containers, a deposit
27 initiator or distributor shall not require a dealer or redemption center
28 to load their own bags, cartons or containers onto or into the deposit
29 initiator's or distributor's vehicle or vehicles or provide the staff or
30 equipment needed to do so.
31 (b) A deposit initiator or distributor shall not require empty
32 containers to be counted at a location other than the redemption center
33 or dealer's place of business. The dealer or redemption center shall
34 have the right to be present at the count.
35 (c) A deposit initiator or distributor shall pick up empty beverage or
36 cannabis containers from the dealer or redemption center at reasonable
37 times and intervals as determined in rules or regulations promulgated by
38 the department.
39 9. No person shall return or assist another to return to a dealer or
40 redemption center an empty beverage or cannabis container for its refund
41 value if such container had previously been accepted for redemption by a
42 dealer, redemption center, or deposit initiator who initiates deposits
43 on beverage or cannabis containers of the same brand.
44 10. A redeemer, dealer, distributor or redemption center shall not
45 knowingly redeem an empty beverage or cannabis container on which a
46 deposit was never paid in New York state.
47 11. Notwithstanding the provisions of subdivision two of section
48 27-1009 of this title, a deposit initiator or distributor shall accept
49 and redeem beverage or cannabis containers as provided in this title, if
50 the dealer or operator of a redemption center shall have accepted and
51 paid the refund value of such beverage or cannabis containers.
52 12. No person shall intentionally program, tamper with, render inaccu-
53 rate, or circumvent the proper operation of a reverse vending machine to
54 wrongfully elicit deposit monies when no valid, redeemable beverage or
55 cannabis container has been placed in and properly processed by the
56 reverse vending machine.
A. 6830 8
1 § 5. Section 27-1009 of the environmental conservation law, as amended
2 by section 4 of part F of chapter 58 of the laws of 2013, is amended to
3 read as follows:
4 § 27-1009. Refusal of acceptance.
5 1. A dealer or operator of a redemption center may refuse to accept
6 from a redeemer, and a deposit initiator or distributor may refuse to
7 accept from a dealer or operator of a redemption center any empty bever-
8 age or cannabis container which does not state thereon a refund value as
9 established by section 27-1005 and provided by [section] sections
10 27-1010 and 27-1011 of this title.
11 2. A dealer or operator of a redemption center may also refuse to
12 accept any broken bottle, corroded, crushed or dismembered container, or
13 any beverage or cannabis container which contains a significant amount
14 of foreign material, as determined in rules and regulations to be
15 promulgated by the commissioner.
16 § 6. The environmental conservation law is amended by adding a new
17 section 27-1010 to read as follows:
18 § 27-1010. Cannabis container requirements.
19 1. a. Every cannabis container sold or offered for sale in this state
20 shall clearly indicate by permanently marking or embossing the container
21 or by printing as part of the product label the refund value of the
22 container and the words "New York" or the letters "NY".
23 b. Such embossing or permanent imprinting on the cannabis container
24 shall be the responsibility of the person, firm or corporation which
25 packages a cannabis container or a brand owner for whose exclusive
26 account private label cannabis is packaged.
27 2. No deposit initiator, distributor or dealer shall sell or offer for
28 sale, at wholesale or retail in this state, any cannabis container that
29 does not consist of at least fifty percent recycled materials.
30 § 7. Subdivisions 1, 8, 9 and 12 of section 27-1012 of the environ-
31 mental conservation law, subdivisions 1, 8 and 9 as added by section 8
32 of part SS of chapter 59 of the laws of 2009, and paragraph b of subdi-
33 vision 9 and subdivision 12 as amended by section 6 of part F of chapter
34 58 of the laws of 2013, are amended to read as follows:
35 1. Each deposit initiator shall deposit in a refund value account an
36 amount equal to the refund value initiated under section 27-1005 of this
37 title which is received with respect to each beverage or cannabis
38 container sold by such deposit initiator. Such deposit initiator shall
39 hold the amounts in the refund value account in trust for the state. A
40 refund value account shall be an interest-bearing account established in
41 a banking institution located in this state, the deposits in which are
42 insured by an agency of the federal government. Deposits of such amounts
43 into the refund value account shall be made not less frequently than
44 every five business days. All interest, dividends and returns earned on
45 the refund value account shall be paid directly into said account. The
46 monies in such accounts shall be kept separate and apart from all other
47 monies in the possession of the deposit initiator. The commissioner of
48 taxation and finance may specify a system of accounts and records to be
49 maintained with respect to accounts established under this subdivision.
50 8. The commissioner of taxation and finance may require the mainte-
51 nance of such accounts, records or documents relating to the sale of
52 beverage or cannabis containers, by any deposit initiator, bottler,
53 cannabis packager, distributor, dealer or redemption center as such
54 commissioner may deem appropriate for the administration of this
55 section. Such commissioner may make examinations, including the conduct
56 of facility inspections during regular business hours, with respect to
A. 6830 9
1 the accounts, records or documents required to be maintained under this
2 subdivision. Such accounts, records and documents shall be preserved for
3 a period of three years, except that such commissioner may consent to
4 their destruction within that period or may require that they be kept
5 longer. Such accounts, records and documents may be kept within the
6 meaning of this subdivision when reproduced by any photographic, photos-
7 tatic, microfilm, micro-card, miniature photographic or other process
8 which actually reproduces the original accounts, records or documents.
9 9. a. Any person required to be registered under this section who,
10 without being so registered, sells or offers for sale beverage or canna-
11 bis containers in this state, in addition to any other penalty imposed
12 by this title, shall be subject to a penalty to be assessed by the
13 commissioner of taxation and finance in an amount not to exceed five
14 hundred dollars for the first day on which such sales or offers for sale
15 are made, plus an amount not to exceed five hundred dollars for each
16 subsequent day on which such sales or offers for sale are made, not to
17 exceed twenty-five thousand dollars in the aggregate.
18 b. Any deposit initiator who fails to file reports, make quarterly
19 payments or maintain accounts or records pursuant to this section,
20 unless it is shown that such failure was due to reasonable cause and not
21 due to negligence or willful neglect, in addition to any other penalty
22 imposed by this title, shall be subject to a penalty to be assessed by
23 the commissioner of taxation and finance of not more than one thousand
24 dollars for each quarter during which such failure occurred, and an
25 additional penalty of not more than one thousand dollars for each quar-
26 ter such failure continues.
27 12. a. Each deposit initiator shall provide a report to the department
28 describing all the types of beverage or cannabis containers on which it
29 initiates deposits. The report shall include the product name, type of
30 beverage if applicable, size and composition of the beverage or cannabis
31 container, universal product code, and any other information the depart-
32 ment may require. Upon request, a deposit initiator shall also provide
33 to the department a copy of the container label or a picture of any
34 beverage or cannabis container sold or offered for sale in this state on
35 which it initiates a deposit. Such information shall be provided in a
36 form as prescribed by the department. The department may require that
37 such forms be filed electronically.
38 b. A bottler may place on a beverage or cannabis container a universal
39 product code or other distinctive marking that is specific to the state
40 or used only in the state and any other states with laws substantially
41 similar to this title as a means of preventing the sale or redemption of
42 beverage or cannabis containers on which no deposit was initiated.
43 c. A bottler or deposit initiator shall notify the department, in a
44 form prescribed by the department, whenever a beverage or cannabis
45 container or beverage or cannabis container label is revised by altering
46 the universal product code, or whenever the container on which a
47 universal product code appears is changed in size, composition or glass
48 color, or whenever the container or container label on which a universal
49 product code appears is changed to include a universal product code that
50 is unique to the state or used only in the state and any other states
51 with laws substantially similar to this title.
52 § 8. Subdivisions 1, 3 and 4 of section 27-1013 of the environmental
53 conservation law, subdivisions 1 and 3 as amended and subdivision 4 as
54 added by section 7 of part F of chapter 58 of the laws of 2013, are
55 amended to read as follows:
A. 6830 10
1 1. The commissioner is hereby empowered to promulgate rules and regu-
2 lations governing (a) the circumstances in which deposit initiators,
3 dealers and distributors, individually or collectively, are required to
4 accept the return of empty beverage or cannabis containers, including
5 beverage or cannabis containers processed through reverse vending
6 machines and make payment therefor; (b) the sorting of the containers
7 which a deposit initiator or distributor may require of dealers and
8 redemption centers; (c) the collection of returned beverage or cannabis
9 containers by deposit initiators or distributors, including the party to
10 whom such expense is to be charged, the frequency of such pick ups and
11 the payment for refunds and handling fees thereon; (d) the right of
12 dealers to restrict or limit the number of containers redeemed, the
13 rules for redemption at the dealers' place of business, and the redemp-
14 tion of containers from a beverage for which sales have been discontin-
15 ued; (e) to issue registrations to persons, firms or corporations which
16 establish redemption centers, subject to applicable provisions of local
17 and state laws, at which redeemers and dealers may return empty beverage
18 or cannabis containers and receive payment of the refund value of such
19 beverage or cannabis containers. Such registrations shall be issued at
20 no cost. Should the department require by regulations adopted pursuant
21 to this paragraph that redemption centers must obtain a registration as
22 a condition of operation, any redemption center in business as of March
23 first, two thousand thirteen that previously provided the department
24 with the notification information required by regulations in effect as
25 of such date may continue to operate as if the department had issued
26 such redemption center a registration required by regulations adopted
27 under this paragraph; provided, however, that such redemption center
28 shall provide the department with any other information required by
29 regulations adopted pursuant to this paragraph. The department may,
30 after due notice and opportunity of hearing, pursuant to the provisions
31 of section 71-1709 of this chapter, deny an application or revoke a
32 registration. In determining whether or not to revoke a registration the
33 commissioner shall at a minimum, take into consideration the compliance
34 history of a violator, good faith efforts of a violator to comply, any
35 economic benefit from noncompliance and whether the violation was proce-
36 dural in nature. The commissioner's determination to revoke a registra-
37 tion is subject to review under article seventy-eight of the civil prac-
38 tice law and rules; and (f) the operation of mobile redemption centers
39 in order to ensure that to the best extent practicable containers are
40 not proffered for redemption to a deposit initiator or distributor
41 outside of the geographic area where such deposit initiator sells
42 containers and initiates deposits.
43 3. No dealer or distributor, as defined in section 27-1003 of this
44 title, shall be required to obtain a permit to operate a redemption
45 center at the same location as the dealer's or distributor's place of
46 business. Operators of such redemption centers shall receive payment of
47 the refund value of each beverage or cannabis container from the appro-
48 priate deposit initiator or distributor as provided under section
49 27-1007 of this title.
50 4. Each dealer and redemption center shall require any person tender-
51 ing for redemption more than two thousand five hundred containers at one
52 time to such dealer or redemption center to provide such person's name
53 and address and the license plate of the vehicle used to transport the
54 containers, or, in the case of an agent or employee of a not-for-profit
55 corporation, a sales tax exemption certificate. The dealer or redemption
56 center redeeming the beverage or cannabis containers shall keep the
A. 6830 11
1 information on file for a minimum of twelve months and provide same to
2 the department upon request.
3 § 9. Subdivisions 3, 4 and 6 of section 27-1015 of the environmental
4 conservation law, subdivisions 3 and 4 as amended and subdivision 6 as
5 added by section 8 of part F of chapter 58 of the laws of 2013, are
6 amended to read as follows:
7 3. It shall be unlawful for a distributor or deposit initiator, acting
8 alone or aided by another, to return any empty beverage or cannabis
9 container to a dealer or redemption center for its refund value if the
10 distributor or deposit initiator had previously accepted such beverage
11 or cannabis container from any dealer or operator of a redemption center
12 or if such container was previously accepted by a reverse vending
13 machine. A violation of this subdivision shall be a misdemeanor punisha-
14 ble by a fine of not less than five hundred dollars nor more than one
15 thousand dollars and an amount equal to two times the amount of money
16 received as a result of such violation.
17 4. Any person who willfully tenders to a dealer, distributor, redemp-
18 tion center or deposit initiator more than forty-eight empty beverage or
19 cannabis containers for which such person knows or should reasonably
20 know that no deposit was paid in New York state may be assessed by the
21 department a civil penalty of up to one hundred dollars for each
22 container or up to twenty-five thousand dollars for each such tender of
23 containers. At each location where a person tenders containers for
24 redemption, dealers and redemption centers must conspicuously display a
25 sign in letters that are at least one inch in height with the following
26 information: "WARNING: Persons tendering for redemption containers on
27 which a deposit was never paid in this state may be subject to a civil
28 penalty of up to one hundred dollars per container or up to twenty-five
29 thousand dollars for each such tender of containers." Any civil penalty
30 may be assessed following a hearing or opportunity to be heard.
31 6. (a) Any person who willfully violates or directs another to violate
32 the requirements to collect or charge the refund value imposed by
33 section 27-1005 or paragraph a of subdivision nine of section 27-1012 of
34 this title on five thousand or more beverage or cannabis containers in
35 one or more separate transactions within one year shall be guilty of a
36 class B misdemeanor.
37 (b) Any person, having previously been convicted of a violation of
38 paragraph (a) of this section within the past three years, who willfully
39 violates or directs another to violate the requirements to collect or
40 charge the refund value imposed by section 27-1005 or paragraph a of
41 subdivision nine of section 27-1012 of this title on five thousand or
42 more beverage or cannabis containers in one or more separate trans-
43 actions within one year shall be guilty of a class A misdemeanor.
44 (c) Any person who willfully violates or directs another to violate
45 the requirements to collect or charge the refund value imposed by
46 section 27-1005 or paragraph a of subdivision nine of section 27-1012 of
47 this title on twenty thousand or more beverage or cannabis containers in
48 one or more separate transactions within one year shall be guilty of a
49 class E felony.
50 Nothing in this subdivision shall apply to common or contract carriers
51 or warehousemen while engaged in lawfully transporting or storing such
52 containers as merchandise, nor to any employee of such carrier or ware-
53 houseman acting within the scope of his or her employment.
54 § 10. Section 27-1016 of the environmental conservation law, as added
55 by section 12 of part SS of chapter 59 of the laws of 2009, is amended
56 to read as follows:
A. 6830 12
1 § 27-1016. Public education.
2 The commissioner shall establish a public education program to dissem-
3 inate information regarding implementation of this title. Such informa-
4 tion shall include, but not be limited to, publication of the New York
5 Bottle Bill of Rights and the New York Cannabis Container Bill of Rights
6 as specified in subdivision two of section 27-1007 of this title; publi-
7 cation of information specifying the procedures necessary to establish a
8 redemption center as provided in section 27-1013 of this title, includ-
9 ing information regarding financial assistance available for the estab-
10 lishment of redemption centers as provided in section 27-1018 of this
11 title; publication of information delineating the relevant rights and
12 responsibilities of deposit initiators, distributors, dealers, redemp-
13 tion centers and redeemers under the provisions of this title; publica-
14 tion of information regarding the requirement that deposit initiators
15 register with the department of taxation and finance; and publication of
16 information on the general benefits of recycling.
17 § 11. Section 27-1018 of the environmental conservation law, as added
18 by section 13 of part SS of chapter 59 of the laws of 2009, is amended
19 to read as follows:
20 § 27-1018. Beverage or cannabis container assistance program.
21 Notwithstanding any other provision of law to the contrary, within the
22 limits of appropriations therefor, the commissioner shall make state
23 assistance payments to municipalities, businesses and not-for-profit
24 organizations located in the state for the cost of reverse vending
25 machines located or to be located in the state. Such state assistance
26 payments shall not exceed fifty percent of the costs of equipment,
27 and/or the acquisition and/or rehabilitation of real property or struc-
28 tures located or to be located in the state related to the collecting,
29 sorting, and packaging of empty beverage or cannabis containers subject
30 to the provisions of this title. Such payments may include costs related
31 to the establishment of redemption centers, including mobile redemption
32 centers. For the purposes of this section, municipalities and not-for-
33 profit organizations shall have the meaning as defined in section
34 54-0101 of this chapter and businesses shall mean a dealer, distributor
35 or redemption center as defined in this title that employs less than
36 fifty employees.
37 § 12. This act shall take effect on the one hundred eightieth day
38 after it shall have become a law. Effective immediately, the addition,
39 amendment and/or repeal of any rule or regulation necessary for the
40 implementation of this act on its effective date are authorized to be
41 made and completed on or before such effective date.