BEVERAGE CONTAINERS
Initiated Law of 1976
A petition to initiate legislation to provide for the use of returnable containers for soft drinks, soda water,
carbonated natural or mineral water, other nonalcoholic carbonated drink, and for beer, ale, or other malt
drink of whatever alcoholic content, and for certain other beverage containers; to provide for the use of
unredeemed bottle deposits; to prescribe the powers and duties of certain state agencies and officials; and toprescribe penalties and provide remedies.
History: 1976, Initiated Law, Eff. Dec. 3, 1978;Am. 1996, Act 384, Imd. Eff. July 24, 1996.
Compiler's note: This initiated law was submitted to and approved by the people at the general election held on November 2, 1976,
and took effect on December 3, 1976, pursuant to Mich. Const., Art. 2, § 9. But see § 445.576.
The petition to initiate this legislation was headed by the following statement:“A petition to initiate legislation to provide for the use of returnable containers for soft drinks, soda water, carbonated natural or
mineral water or other non-alcoholic carbonated drink; beer, ale or other malt drink of whatever alcoholic content.” See Newsome v
Board of State Canvassers, 69 Mich App 725 (1976).
Popular name: Bottle Bill

The People of the State of Michigan enact:445.571 Definitions.
Sec. 1. As used in this act:(a) “Beverage” means a soft drink, soda water, carbonated natural or mineral water, or other nonalcoholiccarbonated drink; beer, ale, or other malt drink of whatever alcoholic content; or a mixed wine drink or amixed spirit drink.
(b) “Beverage container” means an airtight metal, glass, paper, or plastic container, or a container
composed of a combination of these materials, which, at the time of sale, contains 1 gallon or less of abeverage.
(c) “Empty returnable container” means a beverage container which contains nothing except the residue of
its original contents.
(d) “Returnable container” means a beverage container upon which a deposit of at least 10 cents has been
paid, or is required to be paid upon the removal of the container from the sale or consumption area, and forwhich a refund of at least 10 cents in cash is payable by every dealer or distributor in this state of thatbeverage in beverage containers, as further provided in section 2.
(e) “Nonreturnable container” means a beverage container upon which no deposit or a deposit of less than
10 cents has been paid, or is required to be paid upon the removal of the container from the sale orconsumption area, or for which no cash refund or a refund of less than 10 cents is payable by a dealer or
distributor in this state of that beverage in beverage containers, as further provided in section 2.
(f) “Person” means an individual, partnership, corporation, association, or other legal entity.
(g) “Dealer” means a person who sells or offers for sale to consumers within this state a beverage in abeverage container, including an operator of a vending machine containing a beverage in a beveragecontainer.
(h) “Operator of a vending machine” means equally its owner, the person who refills it, and the owner or
lessee of the property upon which it is located.
(i) “Distributor” means a person who sells beverages in beverage containers to a dealer within this state,
and includes a manufacturer who engages in such sales.
(j) “Manufacturer” means a person who bottles, cans, or otherwise places beverages in beverage containers
for sale to distributors, dealers, or consumers.
(k) “Within this state” means within the exterior limits of the state of Michigan, and includes the territory
within these limits owned by or ceded to the United States of America.
(l) “Commission” means the Michigan liquor control commission.
(m) “Sale or consumption area” means the premises within the property of the dealer or of the dealer's
lessor where the sale is made, within which beverages in returnable containers may be consumed without
payment of a deposit, and, upon removing a beverage container from which, the customer is required by the
dealer to pay the deposit.
(n) “Nonrefillable container” means a returnable container which is not intended to be refilled for sale by amanufacturer.
(o) “Mixed wine drink” means a drink or similar product marketed as a wine cooler and containing lessthan 7% alcohol by volume, consisting of wine and plain, sparkling, or carbonated water and containing any 1
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or more of the following:(i) Nonalcoholic beverages.
(ii) Flavoring.
(iii) Coloring materials.
(iv) Fruit juices.
(v) Fruit adjuncts.
(vi) Sugar.
(vii) Carbon dioxide.
(viii) Preservatives.
(p) “Mixed spirit drink” means a drink containing 10% or less alcohol by volume consisting of distilled
spirits mixed with nonalcoholic beverages or flavoring or coloring materials and which may also containwater, fruit juices, fruit adjuncts, sugar, carbon dioxide, or preservatives; or any spirits based beverage,
regardless of the percent of alcohol by volume, that is manufactured for sale in a metal container.
History: 1976, Initiated Law, Eff. Dec. 3, 1978;Am. 1982, Act 39, Imd. Eff. Mar. 16, 1982;Am. 1982, Act 266, Imd. Eff. Oct. 5,
1982;Am. 1986, Act 235, Eff. June 1, 1989;Am. 1989, Act 93, Imd. Eff. June 20, 1989.
Popular name: Bottle Bill

445.572 Nonreturnable containers; prohibitions; means for return and refund; regional
redemption centers; acceptance of containers and payment of refunds; indicating refund
value and name of state on container; exception; metal containers with detachable partsprohibited; deposit previously refunded; refund upon reuse; maximum daily refund;agreement on deposit; refund by manufacturer.
Sec. 2. (1) A dealer within this state shall not sell, offer for sale, or give to a consumer a nonreturnablecontainer or a beverage in a nonreturnable container.
(2) A dealer who regularly sells beverages for consumption off the dealer's premises shall provide on thepremises, or within 100 yards of the premises on which the dealer sells or offers for sale a beverage in a
returnable container, a convenient means whereby the containers of any kind, size, and brand sold or offered
for sale by the dealer may be returned by, and the deposit refunded in cash to, a person whether or not theperson is the original customer of that dealer, and whether or not the container was sold by that dealer.
(3) Regional centers for the redemption of returnable containers may be established, in addition to but notas substitutes for, the means established for refunds of deposits prescribed in subsection (2).
(4) Except as provided in subsections (5) and (7), a dealer shall accept from a person an empty returnablecontainer of any kind, size, and brand sold or offered for sale by that dealer and pay to that person its fullrefund value in cash.
(5) A dealer who does not require a deposit on a returnable container when the contents are consumed in
the dealer's sale or consumption area is not required to pay a refund for accepting that empty container.
(6) Except as provided in subsection (7), a distributor shall accept from a dealer an empty returnablecontainer of any kind, size, and brand sold or offered for sale by that distributor and pay to the dealer its fullrefund value in cash.
(7) Each beverage container sold or offered for sale by a dealer within this state shall clearly indicate byembossing or by a stamp, a label, or other method securely affixed to the beverage container, the refund valueof the container and the name of this state. A dealer or distributor may, but is not required to, refuse to accept
from a person an empty returnable container which does not state on the container the refund value of thecontainer and the name of this state. This subsection does not apply to a refillable container having a refund
value of not less than 10 cents, having a brand name permanently marked on it, and having a securely affixed
method of indicating that it is a returnable container.
(8) A dealer within this state shall not sell, offer for sale, or give to consumers a metal beverage container,
any part of which becomes detached when opened.
(9) A person, dealer, distributor, or manufacturer shall not return an empty container to a dealer for arefund of the deposit if a dealer has already refunded the deposit on that returnable container. This subsection
does not prohibit a dealer from refunding the deposit on an empty returnable container each time thereturnable container is sanitized by the manufacturer and reused as a beverage container.
(10) A dealer may accept, but is not required to accept, from a person, empty returnable containers for arefund in excess of $25.00 on any given day.
(11) A manufacturer licensed by the commission shall not require a distributor licensed by the commission
to pay a deposit to the manufacturer on a nonrefillable container. However, a manufacturer licensed by thecommission and a distributor licensed by the commission may enter into an agreement providing that either orRendered Thursday, July 05, 2007

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both may originate a deposit or any portion of a deposit on a nonrefillable container if the agreement isentered into freely and without coercion.
(12) A manufacturer shall refund the deposit paid on any container returned by a distributor for which a
deposit has been paid by a distributor to the manufacturer.
(13) Subsections (4), (6), and (7) apply only to a returnable container that was originally sold in this state
as a filled returnable container.
History: 1976, Initiated Law, Eff. Dec. 3, 1978;Am. 1977, Act 270, Eff. Mar. 30, 1978;Am. 1982, Act 39, Imd. Eff. Mar. 16,
1982;Am. 1982, Act 266, Imd. Eff. Oct. 5, 1982;Am. 1986, Act 235, Eff. June 1, 1989;Am. 1998, Act 473, Eff. Apr. 1, 1999.
Popular name: Bottle Bill

445.573 Certification of beverage containers.
Sec. 3. (1) To promote the use in this state of reusable beverage containers of uniform design, and to
facilitate the return of containers to manufacturers for reuse as a beverage container, the commission shallcertify beverage containers which satisfy the requirements of this section.
(2) A beverage container shall be certified if:(a) It is reusable as a beverage container by more than 1 manufacturer in the ordinary course of business.
(b) More than 1 manufacturer will in the ordinary course of business accept the beverage container forreuse as a beverage container and pay the refund value of the container.
(3) The commission shall not certify more than 1 beverage container of a particular manufacturer in eachsize classification. The commission shall by rule establish appropriate size classifications in accordance withthe purposes set forth in subsection (1), each of which shall include a size range of at least 3 liquid ounces.
(4) A beverage container shall not be certified under this section:(a) If by reason of its shape or design, or by reason of words or symbols permanently inscribed thereon,
whether by engraving, embossing, painting, or other permanent method, it is reusable as a beverage container
in the ordinary course of business only by a manufacturer of a beverage sold under a specific brand name.
(b) If the commission finds that its use by more than 1 manufacturer is not of sufficient volume to promote
the purposes set forth in subsection (1).
(5) Unless an application for certification under this section is denied by the commission within 60 days
after the application is filed, the beverage container shall be deemed certified.
(6) The commission may at any time review certification of a beverage container. If, upon the review, after
written notice and hearing afforded to the person who filed the original application for certification of thebeverage container under this section, the commission determines that the beverage container is no longer
qualified for certification, it shall withdraw certification. Withdrawal of certification shall be effective on adate specified by the commission, but not less than 30 days after written notice to the person who filed theoriginal application for certification of the beverage container under this section, and to the manufacturer
referred to in subsection (2).
History: 1976, Initiated Law, Eff. Dec. 3, 1978.
Popular name: Bottle Bill
Administrative rules: R 445.1 et seq. of the Michigan Administrative Code.

445.573a Report; filing; form and contents.
Sec. 3a. (1) Not later than March 1, 1991 and not later than March 1 of each year thereafter, a distributor or
manufacturer who originates a deposit on a beverage container shall file a report with the department oftreasury containing the information required by subsection (2).
(2) The report required to be filed pursuant to subsection (1) shall indicate for the period of January 1,
1990 to December 31, 1990, and for the time period of January 1 to December 31 of each year thereafter, thedollar value of both the total deposits collected by the distributor or manufacturer on beverage containers soldwithin this state and total refunds made upon beverage containers redeemed by the distributor or manufacturer
within this state.
(3) The reports required to be filed pursuant to subsection (1) shall be similar to the following and containthe following information:
REPORTDEPOSITS ORIGINATED AND REFUNDS GRANTEDON BEVERAGE CONTAINERS
Reporting Period: ____________
Company Name: _________________________________
Company Address: ______________________________
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Number and Street______________________________
City, State, Zip$__________________ - $_______________________ = $____________(Value of Deposits (Value of Refunds Made) (Difference)
Originated)$______________ - $_______________________ = $_________________(Difference) (Overredemption Credit, (Amount Owed to
if Applicable) Department ofTreasury)
The undersigned states that the above information is true andaccurate.
_________________________________
Signature - Owner or President_________________________________
Date
History: Add. 1989, Act 148, Eff. July 27, 1989.
Popular name: Bottle Bill

445.573b Unclaimed bottle deposits; audit, assessment, and collection by department oftreasury; payment by underredeemer; overredemption credit; applying credit against prioryears; definitions; report.
Sec. 3b. (1) The department of treasury may audit, assess, and collect the amount of money reflecting
unclaimed bottle deposits owed to this state, and enforce the obligation to pay the amount of money reflecting
unclaimed bottle deposits owed to this state, in the same manner as revenues and according to the provisionsof 1941 PA 122, MCL 205.1 to 205.31.
(2) Not later than March 1, 1991 and not later than March 1 of each year thereafter, an underredeemer shall
pay to the department of treasury that amount of money by which its annual total value of deposits exceeds its
annual total value of refunds made on redeemed beverage containers, subject to the overredemption credit
contained in this section.
(3) After March 1, 1991, an underredeemer who becomes an overredeemer in a subsequent year may credit
the value of the overredemption in order to reduce the amount of money owed to the department of treasury
under this section in 1 or more subsequent years as a result of that person again becoming an underredeemer.
The value of the overredemption may be carried forward for not more than 3 years or until the credit grantedin this section is completely depleted, whichever occurs first.
(4) A manufacturer who no longer originates deposits may carry the value of an overredemption back forprior years in order to utilize its credit, and reduce the amount of underredemption owed to the department oftreasury under this section on a 1-time basis only. Utilization of this 1-time credit may be applied against
underredemption amounts owed for reporting years commencing in 1990.
(5) As used in this section:(a) “Overredeemer” means a distributor or manufacturer whose annual total value of deposits collected on
beverage containers sold within this state is less than the annual total value of refunds made upon beveragecontainers redeemed within this state.
(b) “Underredeemer” means a distributor or manufacturer whose annual total value of deposits collected on
beverage containers sold within this state exceeds annual total value of refunds made upon beveragecontainers redeemed within this state.
(6) In addition to the report prescribed in section 3a, if an underredeemer purchases empty returnablecontainers from an overredeemer, that purchase shall be reported by the underredeemer as a “refund made”
and shall be reported by the overredeemer as a “deposit originated” in the report prescribed by section 3a. The
report made by an underredeemer shall include the name and address of each overredeemer and the refund
value of the empty returnable beverage containers purchased from each overredeemer. The report made by anoverredeemer shall include the name and address of each underredeemer who purchased the returnablecontainers from that overredeemer and the refund value of the empty returnable beverage containers sold. The
total consideration paid by an underredeemer to an overredeemer as authorized by this subsection shall equal
the redemption value of the container.
(7) A purchase or sale made under subsection (6) during January of each year shall be included in thereport for the previous calendar year only.
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History: Add. 1989, Act 148, Eff. July 27, 1989;Am. 1996, Act 384, Imd. Eff. July 24, 1996;Am. 1998, Act 473, Eff. Apr. 1,
1999.
Popular name: Bottle Bill

445.573c Bottle deposit fund; creation; administration; deposits; annual disbursement;
report of information; rules.
Sec. 3c. (1) There is created in the department of treasury a bottle deposit fund which is a revolving fundadministered by the department of treasury. The money in the bottle deposit fund shall not revert to thegeneral fund.
(2) The amount paid to the department of treasury by underredeemers shall be deposited by the departmentof treasury in the bottle deposit fund created in subsection (1) for annual disbursement by the department oftreasury in the following manner:(a) Seventy-five percent to the cleanup and redevelopment trust fund created in section 3e.
(b) Twenty-five percent to dealers to be apportioned to each dealer on the basis of the number of empty
returnable containers handled by a dealer as determined by the department of treasury.
(3) Not later than June 1 of each year, the department of treasury shall publish and make available to the
public information related to section 3b(1) and send a report of that information to the legislature.
(4) The department of treasury may promulgate rules to implement sections 3a to 3d pursuant to theadministrative procedures act of 1969, Act No. 306 of the Public Acts of 1969, being sections 24.201 to
24.328 of the Michigan Compiled Laws, if the department of treasury determines that rules are needed toproperly implement and administer sections 3a to 3d.
History: Add. 1989, Act 148, Eff. July 27, 1989;Am. 1996, Act 73, Imd. Eff. Feb. 26, 1996;Am. 1996, Act 384, Imd. Eff. July24, 1996.
Popular name: Bottle Bill

445.573d Unclaimed deposits.
Sec. 3d. Unclaimed deposits on returnable containers are considered to be the property of the personpurchasing the returnable container and are not the property of the distributor or manufacturer who originatedthe deposit.
History: Add. 1989, Act 148, Eff. July 27, 1989.
Popular name: Bottle Bill

445.573e Cleanup and redevelopment fund.
Sec. 3e. (1) The cleanup and redevelopment trust fund is created within the state treasury.
(2) The state treasurer may receive money or other assets from any source for deposit into the trust fund.
The state treasurer shall direct the investment of the trust fund. The state treasur er shall credit to the trust
fund interest and earnings from fund investments.
(3) Money in the trust fund at the close of the fiscal year shall remain in the trust fund and shall not lapse
to the general fund.
(4) The state treasurer shall annually disburse the following amounts from the trust fund:(a) For each of the state fiscal years 1996-1997, 1997-1998, and 1998-1999, up to $15,000,000.00 eachyear of money in the trust fund to the cleanup and redevelopment fund created in section 20108 of part 201(environmental remediation) of the natural resources and environmental protection act, Act No. 451 of the
Public Acts of 1994, being section 324.20108 of the Michigan Compiled Laws.
(b) In addition to the disbursements under subdivision (a), each state fiscal year, 80% of the revenues
received by the trust fund from disbursements under section 3c to the cleanup and redevelopment fund and
10% to the community pollution prevention fund created in section 3f.
(5) All money in the trust fund that is not disbursed pursuant to subsection (4) shall remain in the trust funduntil the trust fund reaches an accumulated principal of $200,000,000.00. After the trust fund reaches anaccumulated principal of $200,000,000.00, interest and earnings of the trust fund only shall be expended,
upon appropriation, for the purposes specified in section 20113(4) of part 201 (environmental remediation) of
the natural resources and environmental protection act, Act No. 451 of the Public Acts of 1994, being section
324.20113 of the Michigan Compiled Laws.
(6) As used in this section, “trust fund” means the cleanup and redevelopment trust fund created insubsection (1).
History: Add. 1996, Act 384, Imd. Eff. July 24, 1996.
Popular name: Bottle Bill
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445.573f Community pollution prevention fund.
Sec. 3f. (1) The community pollution prevention fund is created within the state treasury.
(2) The state treasurer may receive money or other assets from any source for deposit into the community
pollution prevention fund. The state treasurer shall direct the investment of the community pollution
prevention fund. The state treasurer shall credit to the community pollution prevention fund interest andearnings from fund investments.
(3) Money in the community pollution prevention fund at the close of the fiscal year shall remain in thecommunity pollution prevention fund and shall not lapse to the general fund.
(4) The department of environmental quality shall expend interest and earnings of the community pollution
prevention fund only, upon appropriation, for grants for the purpose of preventing pollution, with an emphasison the prevention of groundwater contamination and resulting risks to the public health, ecological risks, andpublic and private cleanup costs. The department of environmental quality shall enter into contractual
agreements with grant recipients, who shall include county governments, local health departments,
municipalities, and regional planning agencies. Activities to be performed by grant recipients and program
objectives and deliverables shall be specified in the contractual agreements. Grant recipients shall provide afinancial match of not less than 25% nor more than 50%. Not more than $100,000.00 may be granted in any
fiscal year to a single recipient. Eligible pollution prevention activities include all of the following:(a) Drinking water wellhead protection, including the delineation of wellhead protection areas andimplementation of wellhead protection plans pursuant to the safe drinking water act, Act No. 399 of the
Public Acts of 1976, being sections 325.1001 to 325.1023 of the Michigan Compiled Laws.
(b) The review of pollution incident prevention plans prepared by, and the inspection of, facilities whose
storage or handling of hazardous materials may pose a risk to the groundwater.
(c) The identification and plugging of abandoned wells other than oil and gas wells.
(d) Programs to educate the general public and businesses that use or handle hazardous materials on
pollution prevention methods, technologies, and processes, with an emphasis on the direct reduction of toxic
material releases or disposal at the source.
(5) The department of environmental quality shall annually prepare a report summarizing the grants madeunder this section, contractual commitments made and achieved, and a preliminary evaluation of theeffectiveness of this section not later than September 30, 1997, and September 30 of each year thereafter, andshall provide a copy of this report to the chairs of the house and senate appropriations subcommittees for the
department of environmental quality.
History: Add. 1996, Act 384, Imd. Eff. July 24, 1996.
Popular name: Bottle Bill

445.574 Violation; penalty; separate offense.
Sec. 4. Except as provided in sections 4a and 4b, a person, dealer, distributor, or manufacturer who violates
this act is subject to a fine of not less than $100.00 or more than $1,000.00 and is liable for the costs ofprosecution. Each day a violation occurs, a separate offense is committed.
History: 1976, Initiated Law, Eff. Dec. 3, 1978;Am. 1982, Act 39, Imd. Eff. Mar. 16, 1982;Am. 1998, Act 473, Eff. Apr. 1,
1999.
Popular name: Bottle Bill

445.574a Prohibited return; violation; penalty.
Sec. 4a. (1) A person shall not return or attempt to return to a dealer for a refund 1 or more of thefollowing:(a) A beverage container that the person knows or should know was not purchased in this state as a filled
returnable container.
(b) A beverage container that the person knows or should know did not have a deposit paid for it at thetime of purchase.
(2) A person who violates subsection (1) is subject to 1 of the following:(a) If the person returns 25 or more but not more than 100 nonreturnable containers, the person is guilty ofa misdemeanor punishable by a fine of not more than $100.00.
(b) If the person returns more than 100 nonreturnable containers or violates subdivision (a) for a second or
subsequent time, the person is guilty of a misdemeanor punishable by imprisonment for not more than 93
days or a fine of not more than $500.00, or both.
(c) A person found guilty under this subsection shall be ordered by the court to pay restitution equal to theamount of loss caused by the violation.
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History: Add. 1998, Act 473, Eff. Apr. 1, 1999.
Popular name: Bottle Bill

445.574b Posting notice on dealer's premises; failure to comply; penalty.
Sec. 4b. In that portion of the dealer's premises where returnable containers are redeemed, a dealer shallpost a notice that says substantially the following: “A person who returns for refund an out-of-state
nonreturnable container is subject to penalties of up to 93 days in jail and a fine of $500.00 and restitution.”.
A dealer who fails to comply with this section is subject to a fine of not more than $50.00.
History: Add. 1998, Act 473, Eff. Apr. 1, 1999.
Popular name: Bottle Bill

445.575 Repeal of § 445.191.
Sec. 5. Act No. 142 of the Public Acts of 1971, being section 445.191 of the Compiled Laws of 1970, isrepealed.
History: 1976, Initiated Law, Eff. Dec. 3, 1978.
Popular name: Bottle Bill

445.576 Effective date.
Sec. 6. This act shall take effect two years after it becomes law.
History: 1976, Initiated Law, Eff. Dec. 3, 1978.
Popular name: Bottle Bill

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