Report Title:

Deposit Beverage Container Program



Extends the reverse vending machine rebate program and increases the financial incentives.  Appropriates moneys to the counties to plan and operate county recycling programs.


H.B. NO.














relating to the deposit beverage container program.





     SECTION 1.  The legislature finds that the deposit beverage container program has encouraged increased recycling of glass, plastic, and aluminum beverage containers in the State.  However, the legislature finds that more could be done to make the recycling program easier and more accessible to the public, thereby encouraging yet more recycling of containers.  The legislature finds that access to recycling facilities could be improved by increasing the number of redemption centers and reverse vending machines that are available to the public.  Currently, the department of health offers a rebate to qualified persons who install a reverse vending machine and maintain operations as a redemption center.  However, this rebate program will expire on June 30, 2009.  The legislature finds that recycling throughout the State may be increased by extending the reverse vending machine rebate program and increasing its financial incentives.  Additionally, the legislature finds that each county has the potential to increase recycling by planning and operating its own recycling programs.

     Accordingly, the purpose of this Act is to:

     (1)  Extend the reverse vending machine rebate program and increase the financial incentives offered by the program; and

     (2)  Appropriate moneys to the counties to plan and operate county recycling programs.

SECTION 2.  Act 228, Session Laws of Hawaii 2005, as amended by Act 231, Session Laws of Hawaii 2006, is amended by amending section 6 to read as follows:

     "SECTION 6.  This Act shall take effect upon its approval; provided that:

     (1)  This Act shall be repealed on June 30, [2009,] 2012, and section 342G-104, Hawaii Revised Statutes, shall be reenacted in the form in which it read on the day before the effective date of this Act; and

     (2)  Any action initiated by the department of health pursuant to section 342G-A(e), Hawaii Revised Statutes, shall be allowed to continue until final resolution of the action is achieved."

     SECTION 3.  Section 342G-102.5, Hawaii Revised Statutes, is amended by amending subsections (a) and (b) to read as follows:

     "(a)  The department shall provide a rebate of [fifty] one hundred per cent of the actual cost of each reverse vending machine, including shipping and general excise tax, and up to seventy-five per cent of the operating cost during the first two years for each reverse vending machine purchased by a person:

     (1)  That agrees to maintain operations as a certified redemption center for a minimum period of two years; or

     (2)  That is serviced by a recycler that is a certified redemption center; and

     (3)  That has entered into a service agreement with the recycler for a minimum period of two years;

provided that rebates shall not exceed $3,000,000 in the aggregate in any fiscal year.

     (b)  A rebate provided under this section shall be granted for a reverse vending machine that:

     (1)  Is installed and operational by December 31, [2007;] 2012;

     (2)  Is accessible to the general public; and

     (3)  Tenders vouchers or receipts for the returned containers that are redeemable by the person at a location on the person's premises that is accessible to the general public."

     SECTION 4.  There is appropriated out of the deposit beverage container deposit special fund the sum of $1,750,000        or so much thereof as may be necessary for fiscal year 2009-2010 for grants-in-aid to the several counties to plan and operate county recycling programs designed to increase recycling rates.  The specific county appropriations are as follows:

     (1)  City and County of Honolulu           $1,000,000

     (2)  Hawaii county                           $250,000

     (3)  Maui county                             $250,000

     (4)  Kauai county                            $250,000

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect on July 1, 2009, provided that section 2 of this Act shall take effect on June 29, 2009.