Bill Text: TX SB1276 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to public health improvement and pollution reduction through recycling incentives; assessing a fee.
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2021-03-18 - Referred to Natural Resources & Economic Development [SB1276 Detail]
Download: Texas-2021-SB1276-Introduced.html
87R8192 JAM-F | ||
By: Taylor | S.B. No. 1276 |
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relating to public health improvement and pollution reduction | ||
through recycling incentives; assessing a fee. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle B, Title 5, Health and Safety Code, is | ||
amended by adding Chapter 375 to read as follows: | ||
CHAPTER 375. TEXAS CLEAN AND HEALTHY PROGRAM | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 375.0101. DEFINITIONS. In this chapter: | ||
(1) "Beverage" means a nonalcoholic, carbonated, or | ||
noncarbonated drink prepared in liquid, ready-to-drink form and | ||
intended for human consumption. The term includes: | ||
(A) soda; | ||
(B) water, including mineral water and vitamin | ||
water; | ||
(C) carbonated water, including carbonated | ||
mineral water; | ||
(D) carbonated soft drinks; | ||
(E) noncarbonated soft drinks and sport drinks; | ||
(F) noncarbonated fruit drinks; | ||
(G) energy drinks; | ||
(H) coffee and tea drinks; and | ||
(I) carbonated fruit drinks. | ||
(2) "Beverage container" means a plastic vessel that: | ||
(A) is made of polyethylene terephthalate and has | ||
the plastic resin symbol 1 as described by Section 369.002(d); | ||
(B) is hermetically sealed or capped; and | ||
(C) contains a beverage at the time it is sold or | ||
offered for sale. | ||
(3) "Consumer" means a person who purchases or | ||
receives for the person's own use or consumption a beverage | ||
container, single-use bag, or single-use cup. | ||
(4) "Council" means the Texas Clean and Healthy | ||
Advisory Council. | ||
(5) "Eligible material" means a beverage container, | ||
single-use bag, single-use cup, plastic film or wrap or other | ||
flexible plastic packaging, or other material subject to a fee and | ||
eligible for a rebate under this chapter. The term does not include | ||
a beverage container that: | ||
(A) has a capacity of more than one gallon; or | ||
(B) contains medical food or infant formula. | ||
(6) "Medical food" means a food or beverage that is | ||
formulated to be consumed or administered under the supervision of | ||
a physician and that is intended for specific dietary management of | ||
diseases or health conditions for which distinctive nutritional | ||
requirements, based on recognized scientific principles, are | ||
established by medical evaluation. The term also includes any | ||
product that meets the definition of "medical food" under Section | ||
5(b)(3), the Federal Food, Drug, and Cosmetic Act (21 U.S.C. | ||
Section 360ee). | ||
(7) "Processor" means an entity that sells eligible | ||
material to a recycler, material recovery facility, or baling | ||
center. | ||
(8) "Program" means the Texas clean and healthy | ||
program. | ||
(9) "Rebate" means a payment by a rebate center under | ||
Section 375.0402 to a person who presents eligible material at the | ||
rebate center. | ||
(10) "Rebate center" means an operation approved by | ||
the council to accept eligible material and issue a cash rebate or a | ||
redeemable credit slip with a value not less than the material's | ||
rebate value. | ||
(11) "Recycler" means an entity that purchases | ||
eligible material from a processor for the purposes of recycling. | ||
(12) "Retailer" means a person who sells or provides | ||
to a consumer a beverage container, single-use bag, or single-use | ||
cup. The term includes the owner or operator of a beverage vending | ||
machine. | ||
(13) "Rural area" means an area that is not designated | ||
as urbanized by the Bureau of the Census or under rules adopted by | ||
the comptroller. | ||
(14) "Single-use bag" means a bag provided by a | ||
business establishment to a consumer at the point of sale for the | ||
purpose of transporting a purchase. The term does not include a | ||
carryout bag that: | ||
(A) is specifically designed and manufactured to | ||
be used multiple times; | ||
(B) displays highly visible language on the | ||
exterior of the bag describing the bag's ability to be reused and | ||
recycled; | ||
(C) has a handle; and | ||
(D) is constructed out of cloth or other durable | ||
materials whether woven or nonwoven. | ||
(15) "Single-use cup" means a cup made of plastic, | ||
including polystyrene, paper, or laminate material used to contain | ||
a beverage purchased from a retailer. | ||
(16) "Urban area" means an area that is designated as | ||
urbanized by the Bureau of the Census or under rules adopted by the | ||
comptroller. | ||
Sec. 375.0102. ADMINISTRATION AND RULES. (a) The | ||
comptroller shall administer the program with the advice of the | ||
council. | ||
(b) In administering the program, the comptroller shall: | ||
(1) approve rebate centers under Section 375.0401; | ||
(2) enforce compliance with the provisions of this | ||
chapter; | ||
(3) develop and implement a marketing plan to provide | ||
information and educate consumers about the program; | ||
(4) develop and maintain a publicly accessible | ||
Internet website to provide information about the program, | ||
including the location of rebate centers; | ||
(5) develop a system for: | ||
(A) approval of rebate centers and processors; | ||
and | ||
(B) reimbursement of deposits and rebates and for | ||
distribution of handling fees; | ||
(6) develop a system for monitoring the amount of | ||
eligible material sold by retailers and the amount of eligible | ||
material returned to rebate centers; | ||
(7) develop a system to prevent fraudulent use of the | ||
program; | ||
(8) administer the fund as provided by Section | ||
375.0303; and | ||
(9) adopt procedures and forms necessary to implement | ||
this chapter. | ||
(c) After consultation with the council, the comptroller | ||
may adopt rules necessary to implement this chapter. | ||
(d) The comptroller may delegate to the council duties | ||
described by Subsection (b) to the extent authorized by law. | ||
Sec. 375.0103. REPORT TO LEGISLATURE. Not later than | ||
December 1st of each even-numbered year, the comptroller shall | ||
deliver a report to the lieutenant governor, the speaker of the | ||
house of representatives, and the committee in each house of the | ||
legislature that has primary jurisdiction over environmental | ||
matters about the progress and success of the program. | ||
SUBCHAPTER B. TEXAS CLEAN AND HEALTHY ADVISORY COUNCIL | ||
Sec. 375.0201. TEXAS CLEAN AND HEALTHY ADVISORY COUNCIL. | ||
(a) The council is formed to advise the comptroller in | ||
administering the program. | ||
(b) The council consists of 17 members appointed by the | ||
comptroller as follows: | ||
(1) one producer of beverage containers; | ||
(2) one producer of single-use bags; | ||
(3) one producer of single-use cups; | ||
(4) one retailer who sells beverage containers; | ||
(5) one retailer who uses single-use bags; | ||
(6) one retailer who uses single-use cups; | ||
(7) one processor of beverage containers; | ||
(8) one processor of plastic film; | ||
(9) one processor of single-use cups; | ||
(10) one recycler of beverage containers; | ||
(11) one recycler of plastic film; | ||
(12) one recycler of single-use cups; | ||
(13) one representative of the packaging industry that | ||
uses recycled material; | ||
(14) one representative of a rural rebate center; | ||
(15) one representative of an urban rebate center; | ||
(16) one representative of a statewide nonprofit | ||
organization devoted to litter prevention; and | ||
(17) one member of the public. | ||
(b-1) To form the initial council, the comptroller shall | ||
appoint members as described by Subsection (b) except that the | ||
offices for the representatives described by Subsections (b)(14) | ||
and (15) must remain vacant until one or more rural rebate centers | ||
and urban rebate centers are formed and operating. | ||
(c) The members serve staggered terms of two years with | ||
eight or nine members' terms, as applicable, expiring February 1 of | ||
each year. | ||
(d) The members shall designate one member of the council to | ||
serve as presiding officer. | ||
Sec. 375.0202. COUNCIL DUTIES. The council shall make | ||
recommendations to the comptroller with respect to: | ||
(1) additional materials eligible for inclusion in the | ||
program; | ||
(2) a fee paid by consumers for eligible material; | ||
(3) changes to the value of the rebate paid to | ||
consumers for eligible material; | ||
(4) standards for rebate centers; | ||
(5) changes to the value of the handling fee paid to | ||
processors; | ||
(6) the establishment of a system for approving | ||
processors; | ||
(7) the establishment of a system for approving | ||
recyclers; | ||
(8) the education of consumers, rebate centers, | ||
processors, and recyclers about the program; | ||
(9) eligibility criteria for program development | ||
grants; and | ||
(10) the establishment of standards for eligible | ||
material that contains postconsumer recycled content. | ||
Sec. 375.0203. DELEGATION OF COUNCIL DUTIES. The | ||
comptroller may delegate council duties to a cooperative | ||
organization or commodity board that the comptroller determines | ||
represents retailers, processors, and recyclers of eligible | ||
material. An entity designated under this section may retain money | ||
from the fund established under Section 375.0303 to administer and | ||
manage the program, as determined by the comptroller. | ||
SUBCHAPTER C. COLLECTION OF FEE | ||
Sec. 375.0301. COLLECTION OF FEE BY RETAILER; EXCEPTIONS. | ||
(a) Except as provided by Subsections (b), (c), and (d), a retailer | ||
shall collect a fee of one cent from a consumer for each item of | ||
eligible material that the retailer sells or distributes to the | ||
consumer. | ||
(b) A retailer is not required to collect a fee for a | ||
single-use bag, a single-use cup, or a beverage container if the | ||
retailer pays to the comptroller an amount that is equivalent to the | ||
fees that would be collected for 95 percent of the single-use bags, | ||
single-use cups, or beverage containers purchased by the retailer | ||
for sale or distribution to consumers. | ||
(c) A retailer may not collect a fee from a consumer under | ||
this chapter if the consumer demonstrates that the consumer | ||
receives assistance from: | ||
(1) the supplemental nutrition assistance program | ||
established under Chapter 33, Human Resources Code; | ||
(2) the federal special supplemental nutrition | ||
program for women, infants, and children authorized by 42 U.S.C. | ||
Section 1786; or | ||
(3) another food assistance program recognized by the | ||
comptroller. | ||
(d) The comptroller may suspend the collection of a fee | ||
under this chapter during a state of disaster declared by: | ||
(1) the president of the United States under the | ||
Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 | ||
U.S.C. Section 5121 et seq.); | ||
(2) the governor under Section 418.014, Government | ||
Code; or | ||
(3) the presiding officer of the governing body of a | ||
political subdivision under Section 418.108, Government Code. | ||
Sec. 375.0302. REMITTANCE OF FEES BY RETAILER. A retailer | ||
shall remit to the comptroller the fees collected by the retailer | ||
under Section 375.0301. | ||
Sec. 375.0303. TEXAS CLEAN AND HEALTHY PROGRAM FUND. (a) | ||
The Texas clean and healthy program fund is a special fund in the | ||
treasury outside the general revenue fund. Section 404.071, | ||
Government Code, does not apply to the fund. Interest earned and | ||
other earnings on the investment of money in the fund are credited | ||
to the fund. | ||
(b) Fees collected under this chapter and money collected | ||
under Section 375.0301(b) shall be deposited to the credit of the | ||
Texas clean and healthy program fund maintained by the comptroller. | ||
Money in the fund may be allocated only for: | ||
(1) reimbursements and handling fees paid to rebate | ||
centers or processors, as applicable; | ||
(2) administration of this chapter; | ||
(3) the provision of information and education of | ||
consumers about the program; and | ||
(4) the purposes authorized under this chapter. | ||
SUBCHAPTER D. REBATE CENTERS AND HANDLING FEES | ||
Sec. 375.0401. ESTABLISHMENT OF REBATE CENTER. | ||
(a) Subject to Subsection (b), any person may establish, own, and | ||
operate a rebate center at which empty eligible material may be | ||
returned for rebate value. A rebate center may be located in | ||
another business or engage in other forms of business. | ||
(b) A person must file an application for approval of a | ||
rebate center with the council. The application must provide any | ||
information the comptroller requires as necessary or convenient for | ||
the implementation of this section. | ||
(c) The comptroller shall provide for expedited review and | ||
approval of applications for rebate centers associated with a | ||
school, school district, or disadvantaged community, including a | ||
community without collection systems for eligible material. | ||
(d) The council at any time may review its approval of a | ||
rebate center. | ||
Sec. 375.0402. REBATE FOR ELIGIBLE MATERIAL. (a) Except | ||
as provided by Subsection (b), and subject to any additional | ||
antifraud requirements developed by the comptroller under Section | ||
375.0102(b)(7), a rebate center shall accept eligible material and | ||
shall pay the rebate value of the material established by Section | ||
375.0403 in cash, check, or, if permitted by rule, voucher to the | ||
person presenting the material. | ||
(b) A rebate center may refuse to accept eligible material | ||
for rebate for reasons established by the comptroller. | ||
Sec. 375.0403. REBATE VALUE. All eligible material | ||
distributed, sold, or offered for sale in this state has a rebate | ||
value of 25 cents per pound or a value set by the comptroller. | ||
Sec. 375.0404. REIMBURSEMENT OF REBATE CENTER. On | ||
submission of a completed invoice of rebates paid by a rebate center | ||
on a form adopted by the comptroller, the comptroller shall pay to | ||
the rebate center an amount equal to the rebate value established by | ||
Section 375.0403 plus a handling fee, if applicable. | ||
Sec. 375.0405. HANDLING FEE TO PROCESSORS. (a) The | ||
comptroller shall pay to an approved processor a handling fee of: | ||
(1) 60 cents per pound of eligible material processed | ||
in an urban area; and | ||
(2) 90 cents per pound of eligible material processed | ||
in a rural area. | ||
(b) The comptroller may adjust the rates provided by | ||
Subsection (a) as necessary to reflect changes in market | ||
conditions. | ||
(c) To receive payment under this section, a processor must | ||
submit to the comptroller a report demonstrating the processed | ||
material was sold for recycling. Information contained in the | ||
report submitted under this section is confidential and may not be | ||
disclosed by the comptroller unless required by law. | ||
(d) A processor may engage in other forms of business, | ||
including the operation of a rebate center. | ||
SUBCHAPTER E. OTHER PROGRAMS AND RELATED ACCOUNTS | ||
Sec. 375.0501. LITTER ENFORCEMENT AND EDUCATION GRANT | ||
PROGRAM AND ACCOUNT. (a) The litter enforcement and education | ||
grant program is established to provide grants to counties to | ||
develop and implement litter and illegal dumping abatement and | ||
enforcement programs. | ||
(b) The grant program established by this section is | ||
administered by the comptroller. The comptroller may partner with | ||
or designate a statewide litter prevention nonprofit organization | ||
to administer the program established under this section. | ||
(c) The litter enforcement and education account is an | ||
account in the Texas clean and healthy program fund established by | ||
Section 375.0303. The account consists of: | ||
(1) revenue from the program allocated by the | ||
comptroller; and | ||
(2) interest earned and other earnings on the | ||
investment of money in the account. | ||
(d) Money in the account may be appropriated only to award | ||
grants to counties as provided by this section. | ||
(e) The comptroller shall develop an application process | ||
for the submission by counties of applications to receive grants | ||
provided under this section. | ||
(f) The comptroller shall issue to a county receiving a | ||
grant under this section: | ||
(1) not less than $100,000 per year; and | ||
(2) for every 500,000 persons residing in the county, | ||
an additional $100,000 per year. | ||
(g) Grants awarded by the comptroller under this section may | ||
be used only for: | ||
(1) the abatement and enforcement of violations of | ||
Chapters 341, 343, and 365 of this code and Chapter 7, Water Code; | ||
(2) the establishment and management of litter | ||
control, solid waste management, or recycling systems; and | ||
(3) the support of litter prevention, solid waste | ||
management, and recycling education programs. | ||
(h) A county receiving a grant under the program may | ||
coordinate with the appropriate council of government to: | ||
(1) use personnel to administer this section; and | ||
(2) establish training programs to implement this | ||
section. | ||
Sec. 375.0502. PROGRAM DEVELOPMENT GRANT ACCOUNT. (a) The | ||
program development grant account is an account in the Texas clean | ||
and healthy program fund established by Section 375.0303. Section | ||
404.071, Government Code, does not apply to the account. | ||
(b) The account consists of any available funds | ||
appropriated for the purposes of this section. | ||
(c) The program development grant account shall be used to | ||
provide grants for the construction of rebate centers. | ||
(d) This section expires and the program development grant | ||
account is abolished September 1, 2027. | ||
Sec. 375.0503. PUBLIC HEALTH EMERGENCY ACCOUNT. (a) The | ||
public health emergency account is an account in the Texas clean and | ||
healthy program fund established by Section 375.0303. Section | ||
404.071, Government Code, does not apply to the account. | ||
(b) The account consists of: | ||
(1) the balance of program money not allocated to the | ||
litter enforcement and education grant program established by | ||
Section 375.0501 or another purpose provided by this chapter; and | ||
(2) interest earned and other earnings on the | ||
investment of money in the account. | ||
(c) The comptroller may disburse money in the account to | ||
assist prevention, mitigation, or recovery programs related to | ||
public health emergency declarations. | ||
(d) The balance of the account may not exceed $1 billion. | ||
Any amount, including interest earned, in excess of $1 billion | ||
shall be deposited to the credit of the Texas clean and healthy | ||
program fund established by Section 375.0303. | ||
SECTION 2. (a) Not later than September 1, 2022, the | ||
comptroller of public accounts shall appoint members of the Texas | ||
Clean and Healthy Advisory Council and, after consultation with the | ||
Texas Clean and Healthy Advisory Council, shall adopt any rules | ||
necessary to implement Chapter 375, Health and Safety Code, as | ||
added by this Act. | ||
(b) The requirements of Chapter 375, Health and Safety Code, | ||
as added by this Act, do not apply to any person before March 1, | ||
2023. | ||
SECTION 3. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2021. |