Bill Text: NJ A1643 | 2010-2011 | Regular Session | Introduced
Bill Title: "Plastic Carryout Bag Reduction Act."
Sponsorship: Partisan Bill (Democrat 1)
Status: (Introduced - Dead) 2010-01-12 - Introduced, Referred to Assembly Environment and Solid Waste Committee [A1643 Detail]
Download: New_Jersey-2010-A1643-Introduced.html
STATE OF NEW JERSEY
214th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2010 SESSION
Sponsored by:
Assemblywoman CONNIE WAGNER
District 38 (Bergen)
SYNOPSIS
"Plastic Carryout Bag Reduction Act."
CURRENT VERSION OF TEXT
Introduced Pending Technical Review by Legislative Counsel
An Act concerning plastic carryout bags and supplementing Title 13 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. This act shall be known and may be cited as the "Plastic Carryout Bag Reduction Act."
2. The Legislature finds and declares that:
a. It is the public policy of the State of New Jersey to reduce environmental pollution, to reduce the toxicity of waste materials in the solid waste stream directed to solid waste disposal facilities, and to maximize the removal of plastic carryout bags from the waste stream;
b. Plastic carryout bags do not biodegrade, ultimately breaking down into smaller toxic pieces that enter the ecosystem and contaminate soil and waterways; and these pieces of plastic cause illness, injury and death to animal and marine life by entangling them or contaminating their food supplies;
c. Each year, an estimated 500 billion to one trillion plastic bags are used worldwide, which is over one million bags per minute, and billions of bags end up as litter each year; and in New Jersey, an estimated 2.6 billion plastic carryout bags are used annually;
d. The production of plastic bags worldwide has significant environmental impacts each year, including the use of over 12 million barrels of oil;
e. Plastic carryout bags affect the fertility of soil and water percolation and block storm drains, causing floods; and
f. Plastic carryout bags are among the 12 items of debris most often found in coastal cleanups; nationally, consumers utilize an estimated 100 billion plastic shopping bags annually with an estimated cost to retailers of four billion dollars; the production of plastic bags wastes petroleum, a precious finite resource; and only 1% of the 100 billion tons of plastic products produced annually are recycled nationwide.
3. As used in this act:
"Department" means the Department of Environmental Protection.
"Division" means the Division of Taxation in the Department of the Treasury.
"Manufacturer" means the producer of a plastic carryout bag sold to a store.
"Operator" means a person in control of, or having daily responsibility for, the daily operation of a store, which may include, but is not limited to, the owner of the store.
"Plastic carryout bag" means a plastic bag provided by a store at the point of sale for customers to carry their goods out of the store.
"Reusable bag" means: (1) a bag made of cloth or other machine washable fabric that has handles; or (2) a durable plastic bag with handles that is at least 2.25 mils thick and is specifically designed and manufactured for multiple reuse.
"Store" means a convenience store, drugstore, supermarket or retail establishment that has over 1,000 square feet of retail space and that provides plastic carryout bags to its customers as a result of the sale of a product.
4. a. Beginning January 1, 2011, every store operator shall:
(1) impose a $0.02 fee on every plastic carryout bag that is provided to a customer; and
(2) provide an opportunity for the customer to purchase a reusable bag.
b. The fee imposed under paragraph (1) of subsection a. of this section shall be collected by the store and shall be separately stated on any bill, receipt, invoice or similar document provided to the purchaser, but shall not be considered part of the receipt for purpose of determining tax pursuant to the "Sales and Use Tax Act," P.L.1966, c.30 (C.54:32B-1 et seq.).
c. A person required to collect the fee imposed by paragraph (1) of subsection a. of this section shall be personally liable for the fee imposed, collected, or required to be collected under this section. Any such person shall have the same right in respect to collecting the fee from a purchaser as if the fee were a part of the sales price and payable at the same time.
d. The fee imposed by this section shall be governed by the provisions of the "State Uniform Tax Procedure Law," R.S.54:48-1 et seq.
e. In carrying out the provisions of this section, the Director of the Division of Taxation in the Department of the Treasury shall have all of the powers and authority granted in P.L.1966, c.30. The fee shall be filed and paid in a manner prescribed by the director. The director shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), such rules and regulations as the director determines are necessary to effectuate the provisions of this section.
f. Notwithstanding any provision of P.L.1968, c.410 to the contrary, the director may adopt immediately upon filing with the Office of Administrative Law such rules and regulations as the director deems necessary to implement the provisions of this act, which shall be effective for a period not to exceed 180 days following the date of enactment of P.L. , c. (C. ) (pending before the Legislature as this bill) and may thereafter be amended, adopted or readopted by the director in accordance with the requirements of P.L.1968, c.410.
g. A person subject to the plastic carryout bag fee, pursuant to this section, who fails to file a return when due or to pay any fee when it becomes due, shall be subject to such penalties and interest as provided in the "State Uniform Tax Procedure Law," R.S.54:48‑1 et seq. If the director determines that the failure to comply with any provision of this section was excusable under the circumstances, the director may remit that part or all of the penalty as shall be appropriate under the circumstances. If the violation is of a continuing nature, each day during which it continues constitutes an additional, separate, and distinct offense.
5. a. There is established in the General Fund a special account, to be known as the "Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account." The State Treasurer shall credit to this account the amount from the State revenue annually collected from the fee imposed pursuant to paragraph (1) of subsection a. of section 4 of this act, except that the revenues from the fee on plastic carryout bags may first be used to:
(1) defray the costs of implementation and enforcement of this act by the department; and
(2) reimburse the division for costs incurred for the collection of the fee imposed pursuant to section 4 of this act.
b. In each State fiscal year, the State Treasurer shall transfer for deposit into the Garden State Green Acres Preservation Trust Fund, established pursuant to section 19 of P.L.1999, c.152 (C.13:8C-19), 65% of the amount that is available from the Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account plus any interest or other income earned on that amount prior to transfer pursuant to this subsection. The moneys so transferred and deposited pursuant to this subsection shall be appropriated and expended only for the same purposes as established for that trust fund by law.
c. In each State fiscal year, the State Treasurer shall transfer for deposit into the Garden State Farmland Preservation Trust Fund, established pursuant to section 20 of P.L.1999, c.152 (C.13:8C-20), 35% of the amount that is available from the Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account plus any interest or other income earned on that amount prior to transfer pursuant to this subsection. The moneys so transferred and deposited pursuant to this subsection shall be appropriated and expended only for the same purposes as established for that trust fund by law.
d. Notwithstanding the provisions of any other law or rule or regulation adopted pursuant thereto, to the contrary, the moneys credited to the Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account, created pursuant to subsection a. of this section, and credited to the Garden State Green Acres Preservation Trust Fund and the Garden State Farmland Preservation Trust Fund shall not be used for payments related to bonds, notes or other obligations.
6. Beginning July 1, 2011, and annually thereafter, every store operator shall submit a report to the department for the purpose of tracking plastic carryout bag volume in the State, and at the same time shall pay to the division the dollar equivalent of the amount collected from customers as plastic carryout bag fees. The report shall document the number of plastic carryout bags purchased from each manufacturer and the total fees collected from the distribution of plastic carryout bags.
7. Each manufacturer and store operator distributing plastic carryout bags shall, in consultation with the department, develop educational materials to encourage the reduction, reuse, and recycling of plastic bags and shall make those materials available to a store required to comply with the provisions of this act.
8. A store operator who violates paragraph (2) of subsection a. of section 4 of this act or section 7 of this act, or a manufacturer who violates section 7 of this act, shall be subject to a fine of not less than $250 for the first offense, not less than $500 for the second offense and not less than $1,000 for each subsequent offense, to be collected in a civil action by a summary proceeding under the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.). If the violation is of a continuing nature, each day during which it continues constitutes an additional, separate, and distinct offense.
The department may also institute a civil action for injunctive relief to enforce paragraph (2) of subsection a. of section 4 of this act or section 7 of this act.
9. The department, in collaboration with the division, shall be responsible for the implementation and enforcement of this act, and shall adopt, pursuant to the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B‑1 et seq.), rules and regulations as are necessary to effectuate the purposes of this act.
10. This act shall take effect immediately.
STATEMENT
This bill, to be known as the "Plastic Carryout Bag Reduction Act," would require certain retail establishments to charge consumers $0.02 per each single-use plastic carryout bag.
Under the bill, every store operator would impose the $0.02 per plastic bag fee beginning January 1, 2011 and would be required to provide an opportunity for the customer to purchase a reusable bag. The fee would be collected by the store and separately stated on any bill, receipt, invoice or similar document provided to the purchaser, but would not be considered part of the receipt for the purpose of determining the sales tax. A person required to collect the fee imposed would be personally liable for the fee imposed, and would have the same right in respect to collecting the fee from a purchaser as if the fee were a part of the sales price and payable at the same time.
A person subject to the plastic carryout bag fee who fails to file a return when due or to pay any fee when it becomes due would be subject to such penalties and interest as provided in the "State Uniform Tax Procedure Law." If the Director of the Division of Taxation, in the Department of the Treasury, determines that the failure to comply was excusable under the circumstances, the director may remit that part or all of the penalty as appropriate. If the violation is of a continuing nature, each day during which it continues would constitute an additional, separate, and distinct offense.
The bill would establish the "Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account," a special account in the General Fund credited with all revenues collected from the fee imposed on plastic carryout bags. In each State fiscal year, the amount credited to the Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund Account would be used only for open space and farmland preservation purposes, except that the revenues from the fees on plastic carryout bags may first be used to: (1) defray the costs of implementation and enforcement of this bill by the Department of Environmental Protection (DEP); and (2) reimburse the Division of Taxation in the Department of the Treasury for costs incurred for the collection of the fee imposed.
In each State fiscal year, the State Treasurer would transfer for deposit 65% of the revenues received into the Garden State Green Acres Preservation Trust Fund and 35% into the Garden State Farmland Preservation Trust Fund, plus any interest or other income earned on that total amount prior to transfer. The moneys so transferred and deposited would be appropriated and expended only for the same purposes as established for that trust fund by law. Additionally, the bill provides that the Plastic Carryout Bag Reduction Open Space and Farmland Trust Fund monies could not be used for payments related to bonds, notes or other obligations.
Furthermore, beginning July 1, 2011 and annually thereafter, every store operator would submit a report to the DEP for the purpose of tracking plastic carryout bag volume in the State, and at the same time would pay to the Division of Taxation the dollar equivalent of the amount collected from customers as plastic carryout bag fees. The report would document the number of plastic carryout bags purchased from each manufacturer and the total fees collected from the distribution of plastic carryout bags.
