The Tennessee Beverage Container Recycling Act
1. VITAL STATISTICS
The bill number is SB1404 and HB1167. You can see it at http://www.legislature.state.tn.us/; type in either of the bill numbers in the search box called "Find Legislation." IMPORTANT NOTE: An amendment has been filed that reduces the distributors' fee to 1/8¢ (we started out at 1¢), but as of this morning it has not yet appeared on the website.
2. BEST BOTTLE BILL EVER!
I know I say this every year, but this time I absolutely mean it. This year's bill:
· Places no new cost on beverage distributors
· Will generate hundreds of small businesses ("redemption centers")
· Will create as many as 2,000 new jobs
· Has the support of major industries and industry trade groups
· Will eventually recover 85% of 4.5 billion containers a year, compared to 10% now
· Will create access to recycling even in rural areas
· Will dramatically reduce litter while preserving the existing litter grants program
· Will keep 200,000+ tons of valuable container material out of landfills
· Will save local governments millions in waste-hauling and landfill tipping costs
· Will avoid the equivalent of 150,000 metric tons of greenhouse gases
· Will save enough energy to power 85,000 homes for a year
· Will create job training, jobs and income opportunity for nonprofits and their clients
· Has bipartisan legislative support
· Has 80% public support (UT survey)
3. WHAT YOU CAN DO
The first thing you can do is send an e-mail to Governor Phil Bredesen; to your own state senator and state representative; and to the members of the key committees (Environment, Conservation and Tourism in the Senate, and State and Local Government in the House). The bill has not been "put on notice" yet, but we expect hearings could begin by late March.
You'll want to keep your message brief, but consider pointing out that this bill addresses every legitimate concern that has been raised by legislators, the beverage companies, the retailers, the recyclers, the manufacturers, the counties, the state's solid waste professionals and the consumers.
Legislators love to hear from their own constituents, so if your legislator happens to be on one of these committees, that is great. However, since committees are the "gatekeepers" deciding which bills make it to a vote by the full legislature, committee members expect to hear from the rest of us. To see who they are, check the list at the bottom of this e-mail. To find your legislators, go to http://www.legislature.state.tn.us/. Under "Find my legislator," enter your street address and city.
4. NO NEW COST TO DISTRIBUTORS
Last year's bill required distributors to pay a container-recovery fee of 3¢ per container to fund program operations and compensate "redemption centers." (Redemption centers are what keep the empty containers out of the grocery stores.)
Last year's hearings, however, convinced us that legislators will not accept a 3¢ fee. So we've spent the intervening months conferring and researching and crunching numbers, and have now determined that we can run the deposit program with a fee of just 1/8¢ from the distributors. This happens to be almost precisely what they will NO LONGER BE PAYING in "litter taxes" on beer and soda.In effect, therefore, there will be no new cost to distributors at all.
(And keep in mind that though the litter taxes will be eliminated under this bill, Tennessee will still have its litter programs, including Keep Tennessee Beautiful and litter crews from the county jails, because the bill requires that these programs now be funded with unclaimed deposits.)
In order to reduce the cost to distributors, we had to retool the compensation to redemption centers. They will now be paid a maximum of 1.5¢ per container, which will come almost entirely out of the unclaimed deposits, as available, plus accrued interest. At the same time, redemption centers will now sell the aluminum, plastic and glass to processors. (In past bills, the processors got the scrap for free.) Scrap prices are down right now due to the economy, but in normal years, bottle-bill scrap collectively works out to an average of about 1.5¢ per container, depending on quantities and other factors.
5. INDUSTRY SUPPORT
As I mentioned in an earlier e-mail, container deposits now have the backing of some major industries and their trade groups, including the Aluminum Association, the Glass Packaging Institute and the Association of Postconsumer Plastic Recyclers. These three associations together represent more than 200 processors and manufacturers, from Alcoa to Mohawk to Owens-Illinois. Some of them are actively helping to lobby this bill in Nashville.
6. OTHER KINDS OF RECYCLING
Because redemption centers are now authorized to sell their scrap to processors, at least some of them may want to become collection sites for other recyclables as well, such as cardboard. This offers an immediate, cost-effective solution to the lack of recycling in Tennessee, especially in rural counties. It also defuses the beverage industry's latest argument that "what Tennessee really needs is comprehensive recycling via curbside collection."
Curbside recycling is a good thing, but it is not a magic bullet. Curbside programs can be expensive (in contrast to redemption centers, which cost local governments nothing). They aren't practical in rural areas (in contrast to redemption centers, which will be everywhere). Without some kind of incentive, such as "pay-as-you-throw" restrictions on weight or number of bags or certain items, curbside (especially in the South) tends to have low participation rates (in contrast to bottle bills, which have participation rates that average 80% nationwide).
And unlike a bottle bill, which produces an extremely "pure" scrap (i.e., properly sorted by material and color), curbside materials tend to be of considerably lower quality, because they cannot avoid being contaminated by other materials (e.g., broken glass baled with newspaper). This is especially true in the much-touted "single-stream" type of curbside, because once you've thrown everything into a single bin, it's impossible to completely "unscramble the egg" at the sorting plant. So while citizens may like single-stream for its convenience, communities find that the materials generate less revenue and are harder to sell. Indeed, some processors won't buy scrap from single-stream programs because of the potential damage to their processing equipment. In some cases, the community winds up paying to landfill the very materials it just paid to collect!
7. DON'T IGNORE LITTER
One other key limitation of curbside is that while it addresses municipal solid waste, it does nothing to address litter. Bottle bills do both. Because beverage containers account for roughly half of Tennessee's litter, and because each container will now be worth a nickel, we can expect to see container littering in particular drop by 80% to 90%, resulting in an overall litter reduction of around 40%. After a few more years, we could see an overall reduction of 60%. And if we are like Maine, Vermont, Iowa, Oregon and the other deposit states, we can ultimately look forward to the day when litter is no more than an occasional eyesore.
Compare this to what we have here in Tennessee under our current litter-control system, which is based on a stubborn insistence that education alone changes littering behavior. For almost three years now, Tennessee has been paying for an aggressive anti-litter campaign, known as "STOP IT," that features billboards, TV ads, radio spots, t-shirts, placards and so on.
How effective has this campaign been? Not so much, judging by the latest litter figures from the county litter grants program. Since the campaign was launched, Tennessee's litter has increased by 15%--from 22.3 million pounds in 2005-2006, to 25.9 million pounds in 2007-2008.
8. MORE SUPPORT FOR NONPROFITS
After seeing thriving nonprofit redemption centers in other states, we've decided to set an informal goal of having 25 percent of redemption centers in Tennessee owned by nonprofits such as Goodwill Industries or Habitat for Humanity. While the bill doesn't actually stipulate any goal, it does allow program funds to be used to help redemption centers get up and running. If we make the effort, I think Tennessee can become a national model for nonprofit redemption centers, thus providing social services while relieving the strain on public coffers.
9. COMMITTEE INFO
The bottle bill has been assigned to the Environment, Conservation and Tourism Committee in the Senate, and to the State Government Subcommittee of the State and Local Government Committee in the House. Here are the members:
Senate Environment, Conservation and Tourism Committee
LP= Legislative Plaza WMB= War Memorial Building Area Code (615)
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D-22
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Cheatham, Houston, Montgomery
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305 WMB
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741-2374
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D-15
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Cumberland, Jackson, Overton, Pickett, Putnam, White
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304 WMB
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741-3978
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R-4
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Claiborne, Grainger, Hancock, Hawkins, Jefferson, Union
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11A LP
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741-2061
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D-25
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Dickson, Giles, Hickman, Humphreys, Lawrence, Lewis
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741-4499
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R-23
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Williamson, part of Davidson
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10A LP
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741-2495
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R-1
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Cocke, Greene, Hamblen, Unicoi
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10 LP
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741-3851
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D-14
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Franklin, Bledsoe, Coffee, Grundy, Sequatchie, Van Buren, Warren
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310A WMB
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741-6694
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R-6
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Knox
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6 LP
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741-1648
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R-12
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Campbell, Fentress, Morgan, Rhea, Roane, Scott
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3 LP
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741-1449
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House State and Local Government Committee
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R-48
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part of Rutherford
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205 WMB
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741-2180
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D-64
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part of Maury
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23 LP
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741-3005
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R-97
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part of Shelby
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207 WMB
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741-8201
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R-66
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Robertson
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207 WMB
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741-2860
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R-14
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part of Knox
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203 WMB
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741-2264
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D-98
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part of Shelby
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35 LP
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741-4575
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D-10
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Hamblen
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17 LP
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741-6877
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R-26
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part of Hamilton
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117 WMB
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741-2548
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D-88
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part of Shelby
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20 LP
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741-4453
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D-50
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part of Davidson
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35 LP
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741-4317
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D-58
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part of Davidson
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25 LP
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741-3853
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R-20
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part of Blount
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207 WMB
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741-3560
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R-25
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Cumberland & Bledsoe
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202 WMB
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741-2343
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D-13
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Knoxville
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33 LP
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741-2031
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R-95
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Shelby
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209 WMB
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741-1866
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R-22
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Meigs, Polk, part of Bradley
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205 WMB
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741-7799
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D-60
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part of Davidson
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108 WMB
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741-6959
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D-11
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Cocke and part of Greene
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35 LP
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741-6871
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THANKS!!!
Marge Davis, Ph.D.
Coordinator, Pride of Place/Tennessee Bottle Bill Project
A Project of Scenic Tennessee, Inc.
45 Burris Court
Mt. Juliet, TN 37122
home (615) 758-8647
fax (615) 754-0966
cell (615) 294-2651