An Act to Clarify the
Maine Legislature, Session 132, LD 2036
Committee Amendment CA_A_H915 (House)
Amends: 38 MRSA §3107, 38 MRSA §3108-A, 38 MRSA §3119

COMMITTEE AMENDMENT "/\ »to H,P. 1366, L.D. 2036, "An Act to Clarify the
Approval Process for and the Operation of the Comminglmg Program for the Management
of Beverage Containers"
Amend the bill by inserting after the title and before the enacting clause the following;
'Emergency preamble. Whereas, acts and resolves of the Legislature do not
become effective until 90 days after adjournment unless enacted as emergencies; and
Whereas, under the laws governing manufacturers, distributors and dealers of
beverage containers, the single commmgling program for the management of beverage
containers to be implemented by the commingling cooperative must facilitate the transition
from beverage container sorting at redemption centers by brand to sorting by material type
based upon a tuneline specified in law; and
Whereas, this legislation must take effect before the expiration of the 90-day period
so that certain changes to the plan requirements for and operation of the single commingling
program can be implemented to tunely facilitate that sortmg transition; and
Whereas, in the judgment of the Legislahire, these facts create an emergency within
the meaning of the Constitution of Maine and require the followmg legislation as
immediately necessary for the preservation of the public peace, health and safety; now,
therefore;
Amend the bill by striking out everything after the enacting clause and inserting the
following;
'See. 1. 38 MRSA §3107, sub-§3-B, fB, as amended by PL 2025, c. 241, §§7 and
8, is further amended to read:
B. By January 15, 2025, the cooperative shall submit a plan for the operation of the
program to the department for review and approval. The submitted plan must be signed
by each member of the cooperative's board unless the board s bylaws authonze an
4 agent to sien the plan on behalf of a board member. Each member of the cooperative's
board, or aythorjzed aeent of a member, that siens the plan must include a written
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " A. " to H.P. 1366, L.D. 2036
"A. "to]
certification stipulatmg that the member will comply with the plan followmfi
department approval and upon implementation. The plan must include, but is not
limited to:
(1) The method by which the program will facilitate and, no later than October 1,
2026, complete the transition from beverage container sorting at redemption
centers by brand to sorting by material type and, for redemption centers that
manually sort containers, by size and deposit value within each material type. The
program may facilitate the negotiation of agreements with redemption centers to
gather brand data through use of reverse vending machines, account-based bulk
processing programs or similar technology as long as the cost of such data
collection is paid by the program;
(2) Standards to provide for fair apportionment of costs among the comminglmg
groups and initiators of deposit included in the program, which may be based on:
(a) The combined beverage container sales by the initiators of deposit that are
members of each commingling group;
(b) The unit or brand counts generated by reverse vending machines or
account-based bulk processmg programs as long as the reverse vending
machines or account-based bulk processing programs are subject to periodic
3rd-party audits on a schedule approved by the department and with the costs
of those audits paid by the program; and
(c) The rates of redemption, as determined pursuant to the method set forth in
subparagraph (3) and in accordance with the requirements of subparagraph
(5),
The plan must include a descrbtion of the methods by which initiators of deaosit
will report to the cooperative or to the initiator of deposit's respective commiaglinR
group sales data and other mformation necessary for determining cost
apportionment. An initiator of deposit that fails to report that information to the
cooperative or to the initiator of deposit's respective commingline erouo m
accordance with the applicable requirements of the deDartment-aDDroYed_Drogram
0 plan commits a violation of this chapter as described in paragraph I;
(3) A method for determining the rate of redemption for beverage containers,
which must be verified through a 3rd party audit an independent review, conducted
in accordance with generally accepted accounting principles and paid for by the
cooperative, expressed as a percentage of the beverage containers redeemed that
are available for redemptionf and the rate of redemption by beverage type and by
6 beverage container material type; and, to the maxunum extent practicable, regional
redemption rates in the State. The method for determining the redemption rate
may not include in its calculation any unredeemed beverage containers collected
or processed by municipal or other recycling programs. The program must ensure
that a single redemption rate, determined by the method specified in the plan, is
used by all commingling groups and initiators of deposit to determine cost
apportionment pursuant to subparagraph (2);
(4) A An estimated budget for the program that includes, but is not limited to,
identification of any start up costs for tho program that will not be ongoing,
Page2-132LR2845(02)
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Q
including, but not limited to, the costs of the study described m paragraph F, and a
description of the method by which the cooperative will determine and collect
payments fi'om oomminglmg groups to cover the program s Qtart up ooots;
(5) The method by which the cooperative will eetteet ensure that all deposits &effl
initiators of deposit for nonrefillable beverage oontauiers and handling fees fe?
redoomed oontamoro, whether directly from the initiator of deposit or through the
commingling group of which the initiator of deposit is a member are paid to
redemption centers by the cooperative, the commineling groups or their pick-up
agents on behalf of the initiators of deposit in a manner that fairly aooortions the
amount of those payments among all initiators of deposit. The program must
ensure that an initiator of deposit is not required to pay any handling fees for its
beverage contamers that exceeds the applicable redemption rate for those
containers as calculated pursuant to subparagraph (3);
(6) A description of how the cooperative intends to segregate, maintain, calculate
and esepeftd report expenditures of unclaimed beverage container deposits in.
accordance with section 310 8-A;
(7) A description of how the cooperative will provide a consistent beverage
container pick-up schedule for each redemption center m accordance with the pick-
up requirements of section 3106, subsection 8-A and the rules adopted pursuant to
that subsection. The program must ensure that pick-up schedules are designed to
reduce transportation distances and minimize costs but must allow each
commingling group to provide for beverage container pickup of the commmgling
group's equivalent container material;
(8) Information on how the cooperative will be responsible for and ensure payment
to a dealer or redemption center within 10 calendar days of any beverage container
pickup of all applicable deposits and handling fees for the beverage containers
picked up from the dealer or redemption center, except as otherwise provided under
a written agreement entered into by the cooperative or a member comminglmg
group and the dealer or redemption center, and the applicable costs of plastic bags
provided to the dealer or redemption center in accordance with section 3106,
subsection 9;
(9) Information on how the cooperative will ensure that each comminglmg group
3 and each initiator of deposit that is a member of the commingling group maintams
ownership over the commingling group's and initiator of deposit's share of the
beverage containers redeemed, collected and processed for recycling under the
program;
(10) Information on how the cooperative will calculate the base rates offered for
the processing of beverage containers using an account-based bulk processing
program or pick-up agents;
(11) A certification that the cooperative will not share, except with the department
as necessary, mformation provided by a commingling group or initiator of deposit
that is proprietaiy information and that is identified by the commingling group or
initiator of deposit as proprietaiy information, which must be handled by the
department as proprietary information consistent with paragraph H, The
COMMITTEE AMENDMENT
(ff COMMITTEE AMENDMENT " ^ " to H.P. 1366, L.D. 2036
certification must include a description of the methods by which the cooperative
intends to ensure the confidentiality of that information;
(12) Information on how the cooperative will maintain a publicly accessible
website regarding the program that includes, at a minimum, the following:
(a) A searchable list of all uiitiators of deposit and beverage container label
registrations, including for beverages sold directly to consumers in the State,
in a manner that allows redemption centers, dealers and consumers to obtain
up-to-date information regarding whether a particular beverage is authorized
for sale and redemption in the State;
(b) A search function through which consumers can identify nearby dealers or
redemption centers offering redemption services based on information made
available to the cooperative by the department; and
(c) The base rates for the processing of beverage containers by container type
as determined in accordance with subparagraph (10);
(13) A proposed timeline for implementation of the program plan, if approved,
designed to ensure implementation of the plan on or before January 15, 2026 and
a description of how the cooperative will notify commingling groups, mitiators of
deposit, dealers, distributors, pick-up agents and other affected entities regarding
program implementation, which must include, but is not limited to, posting of
information relating to program implementation on the website described in
subparagraph (12);
(14) A description of how the cooperative will support the development of
infrastructure throughout the State for the collection and sanitization of refillable
beverage containers and for the return of those refillable beverage containers to
initiators of deposit of refillable beverage containers for refilling and sale, That
mfrastmcture development may involve redemption centers, centralized washing
and sanitization facilities and other methods;
(15) Information regardmg the advisory group fanned by the board in accordance
with paragraph A, including, but not limited to, its membership and the length of
0 the terms of its members, a proposed meeting schedule and a description of the role
and responsibilities of the advisory group, which may include, but are not limited
to, advising the board regarding the development of the plan submitted under this
paragraph;
(16) A description of how the cooperative will operate the program in a manner
designed to achieve an overall statewide redemption rate for all beverage
containers subject to the requirements of this chapter, as determined in accordance
with subparagraph (3), of 75% by January 1,2027; of 80% by January 1,2032; and
of 85% by January 1, 2037;and
(17) Any other information required by the department,
Sec. 2. 38 MRSA §3107, sub-§3-B, ^E, as enacted by PL 2023, c. 482, §26, is
amended by amending subparagraph (4) to read:
(4) A description of the education and outreach efforts implemented under the
program in the previous calendar year to encourage participation m the beverage
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " A. " to H,P. 1366, L,D. 2036
C9
container redemption program, reduce instances of fraud m redemption and
j& 2 educate businesses and consumers on the value and safety of refillable beverage
containers. The report must include the results of un assessment, completed by an
independent 3rd party, of the effeotivenesa of the efforts;
Sec. 3. 38 MRSA §3107, sub-§3-B, ^E, as enacted by PL 2023, c, 482, §26,is
amended by amendmg subparagraph (6) to read:
(6) A financial report on the program, as determined through a 3rd party fmanoial
audit an independent review. conducted iti accordance with generally accepted
accounting prmciples, that identifies the total cost of implementmg and operatme
the program and the specific admmistration, collection, transportation, disposition
and communication costs for the program, including all costs associated with
payment of handling fees, and an anticipated budget for the subsequent program
year; and
Sec. 4. 38 MRSA §3107, sub-§3-B, ^F, as enacted by PL 2023, c. 482, §26, is
amended to read:
F, Within 90 120 days of receiving approval of a program plan from the department
under paragraph C, the cooperative, in consultation with the department, shall contract
with an independent 3rd party to conduct a study; examining operating costs for
redemption centers of a variety of sizes, m a variety of geographical locations and using
a variety of redemption technologies; analyzmg the effects that eliminating brand
sorting of beverage containers may have on transportation costs and redemption center
operating costs, including, but not limited to, labor and utilities costs; recommending
a handling fee schedule and payment schedule designed to facilitate a stable and
sustainable redemption system; and recommending other recycling-related services
that may be provided at redemption centers to support statewide recycling efforts and
diversify the redemption center business model.
(1) In consultation with the department, the cooperative shall ensure that the study
contract specifies the scope of the study and provides for publication of an interim
progress report or reports and a fmal report. All costs associated with the study
0 must be paid by the cooperative,
(2) The cooperative shall provide any interim progress reports and the final report
under subparagraph (1) to the department and, after receipt of the final report, the
department shall provide a copy of the final report, along with any additional
comments or recommendations of the department, to the joint standing committee
of the Legislatu-e having jurisdiction over environment and natural resources
6 matters, The final report and any additional comments or recommendations of the
department may be included in the report required pursuant to section 3115,
subsection 3. After reviewmg the fmal report and the department's additional
comments or recommendations, if any, the committee may report out legislation
relating to the final report or to the department's comments or recommendations.
Sec. 5. 38 MRSA §3107, sub-§3-B, ^F-l, as enacted by PL 2023, c. 529, §1, is
amended to read;
F-l. After consultation with the department and interested persons, the cooperative
shall contract with a Srd-party entity to complete a study by July 15, 2026 to determine
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT "^ " to H.P. 1366, L.D. 2036
the feasibility of achieving goals of 5% refillable and reusable beverage containers sold
d 2 m the State by 2030, by 2040 and by 2050 and 10% refillable and reusable beverage
containers sold in the State by 2030, by 2040 and by 2050 and to determine the
infrastructure and investments that would be necessary to support those goals and shall
provide the results of the study, along with any related recommendations, to the
department. The study requu-ed by this paragraph must be initiated by December 31.
2026 and completed by July 15.2027. After reviewing the results of the shidy and any
recommendations of the cooperative, the department shall include the results of the
study, along with any additional comments or recommendations from the department,
in the report required by section 3115, subsection 3 that is due by February 15, SOW-
2028.
Sec. 6. 38 MRSA §3107, sub-§3-B, ^G, as amended by PL 2025, c. 241, §10, is
further amended by amending subparagraph (2) to read:
(2) On or before April 1, 2026, and annually thereafter, the cooperative shall pay
to the department the annual fee under this paragraph to cover the department's
costs for review of the cooperative's annual report under paragraph E and the
department's costs in the previous calendar year for its oversight, admmistration
and enforcement of the commmgling program implemented under this subsection^
including, but not limited to. enforcement activities relating to fraudulent
redemution of beverage containers and relating to initiator of deRosit
noncompliance under paragraph I. The cooperative shall pay the fee required
pursuant to this subparagraph at the time it submits the annual report required
pursuant to paragraph E.
Sec. 7. 38 MRSA §3108-A, sub-§2, as amended by PL 2025,c. 241, § 13, is further
amended to read;
2. Commingling cooperative; unclaimed deposits. Except as provided m paragraph
D, if a department-approved program plan is implemented pursuant to section 3107,
subsection 3-B, paragraph C, unclaimed deposits for nonrefillable beverage containers
subject to the requirements of this chapter are the property of the cooperative and, m
accordance with rules adopted by the department pursuant to subsection 3, must be
deposited and maintained accounted for by the cooperative in a separate aoceHtrt-ep
accounts and expended only in accordance with this subsection.
A. The cooperative shall expend unclaimed deposit amounts as provided in paragraphs
B and C and may not expend unclaimed deposit amounts to offset legal or lobbying
fees or fines incurred by the cooperative, a commingling group or an initiator of
deposit.
B. The cooperative shall expend unclaimed deposit amounts for the following
purposes;
(1) Payment of the annual fee to the department as provided in section 3107,
subsection 3-B, paragraph G;
(2) Reasonable costs of administering the program under section 3107, subsection
3-B, including, but not limited to, staffmg costs and office operating costs;
(3) Costs of educational materials and signage provided to dealers and redemption
centers regarding redemption instructions and other information, including
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT "A " to H.P. 1366, L.D, 2036
w
Q 1 information regarding the fraudulent redemption of beverage containers in
accordance with section 3 106, subsection 10;
(4) Reimbursement to dealers and redemption centers of the costs of plastic bags
pursuant to section 3 106, subsection 9;
(4-A) Funding of activities and mfrastructure designed to increase the use of
refillable and reusable beverage containers and reusable beverage packaging in the
State. The cooperative may expend funds under this subparagraph to support
activities and mfrastructure designed to increase the use of other types of reusable
packaging in the State. The cooperative shall make available a minimum of
$500,000 per calendar year for these activities, which may mclude, but are not
lunited to:
(a) Activities and mfrastructure relating to the development and
implementation of models for refillable beverage container washing
techniques, including, but not limited to, mobile washing stations, in-house
washing stations and the establishment of a fixed washing facility in the State;
(b) Development of or other activities relatmg to container, adhesive and label
options for refillable beverage containers; and
(c) Outreach to manufacturers, retailers, restaurants and consumers regarding
the benefits ofrefillable beverage containers and the methods available for
ensuring such contamers may be safely reused; and
(5) Payment of $500,000 annually to the department for deposit into and use in
accordance with the Cost and Carbon Efficient Technology Fund established in
section 3114-A,
The cooperative shall include in its annual report required under section 3107,
subsection 3-B, paragraph E any recommendations for a reduction in or other
amendment to the payment required under this subparagraph that the cooperative
believes necessary due to a reduction in the amount of unclaimed deposits available
for expenditire in accordance with paragraph C, a surplus ofundistributed funding
within the Cost and Carbon Efficient Technology Fund established in section
3114-A or for other reasons specified by the cooperative.
C, Any deposits determmed by the cooperative to be unclaimed in accordance with
the mles adopted by the department pursuant to subsection 3 that are not expended by
the cooperative as otherwise required by this section may be expended by the
cooperative to offset other costs incurred by the program, mcluding, but not limited to,
costs of beverage container pickups and payment to dealers or redemption centers of
required handling fees under section 3106, subsection 7, as long as such expenditures
are designed to equitably offset those costs incurred by each member commmgling
group as determined pursuant to the approved program plan under section 3107,
subsection 3-B, paragraph B, subparagraph (2).
D. Notwithstanding any provision of this section to the contrary, if the cooperative
fails to implement a department-approved program plan pursuant to section 3107,
subsection 3-B, paragraph C by January 15, 2026, until the cooperative implements a
department-approved program plan pursuant to section 3107, subsection 3-B,
paragraph C or for any period of time in which a department-approved program plan
COMMITTEE AMENDMENT
^ ' COMMITTEE AMENDMENT "/\ " to H.P. 1366, L.D. 2036
K
is not implemented, unclaimed deposits for nonreflllable beverage containers subject
to the requirements of this chapter must be deposited and maintained by the
cooperative, or, in the event the cooperative has not been established, by each
commmgling group, in a separate account or accounts and in the manner directed by
the department must be paid to the department for deposit into and use in accordance
with the Beverage Container Enforcement Fund established under section 3114.
Sec. 8. 38 MR8A §3108-A, sub-§3, ^A, as enacted by PL 2023, c, 482, §28 and
affected by §43, is repealed.
Sec. 9. 38 MRSA §3119, first % as enacted by PL 2019, c. 526, §14, is amended
to read:
This section establishes annual reporting requirements for initiators of deposit and for
pick up agents that are not initiators of deposit designated pick-up entities.
Sec. 10. 38 MRSA §3119, sub-§l, as amended by PL 2025,c. 241, §18, is further
amended by enactmg a new first blocked paragraph to read:
An initiator of deposit that fails to report annually to the department in accordance with the
requirements of this subsection commits aviolationQf_this chapter, is subiect to penalties
under section 3111 and. as lone as the violation exists, is prohibited from selline or
distributing in the State any beverage container subject to the requirements of this chapter,
A distributor or dealer may not sell or distribute in the State any such contamers of the
initiator of deposit, and the department may remove from sale any such containers of the
initiator.
Sec. 11. 38 MRSA §3119, sub-§2, as amended by PL 2025,c. 241, §19, is further
amended to read;
2. Pick-up agent annual entity report. Each pick up agent that is not an initiator of
deposit designated pick-up entity that picks up beverage containers from dealers or
redemption centers in accordance with section 3106. subsection 8-A shall report annually
by March 1st to the department concerning the redemptions for each initiator of deposit it
served in the preceding calendar year and the redemptions it picked up from each dealer or
redemption center. The report must be in a form prescribed by the department and must
include the number of nonrefillable oontamers returned by the pick up agent to each
initiator of deposit it served by redomption value, except that the pick up agent may report
by average weight and total weight of beverage containers returned by material type-for
containors managed pursuant to a qualified oommingling agreoment under section 3107.
As used in this section. designatedj:)ick-UB_ entity" has the same meaning as in section
3106. subsection 8-A.
Sec. 12. Retroactivity. That section of this Act that amends the Maine Revised
Statutes, Title 38, section 3107, subsection 3-B, paragraph B applies retroactively to
January 1, 2025.
Emergency clause. In view of the emergency cited m the preamble, this legislation
takes effect when approved,'
Amend the bill by relettering or renumbering any nonconsecutive Part letter or section
number to read consecutively,
COMMITTEE AMENDMENT
COMMITTEE AMENDMENT " /\ " to H.P. 1366, L.D. 2036
w" —-—-.-— ^ .-„....-^,-
g 1 SUMMARY
This amendment, which is the minority report of the committee, replaces the bill, adds
an emergency preamble and emergency clause and makes the following changes to the laws
governing beverage contamer redemption.
1, It makes a number of changes to the requirements for the single commingling
program plan required to be submitted by the commingling cooperative to the Department
of Environmental Protection for review and approval. The amendment makes these
changes to the single commmgling program plan requirements retroactive to January 1,
2025.
2. It makes changes to the provisions of law regulating unclaimed beverage container
deposits to remove language requiring the comminglmg cooperative to deposit and
maintain unclaimed deposits in a separate, segregated account or accounts.
3. It amends the provision of law requiring annual reporting by initiators of deposit
regarding deposit transactions to provide that an initiator that fails to submit that annual
report to the department commits a violation of the beverage container redemption laws, is
subject to applicable penalties under those laws and, as long as the violation exists, is
prohibited from selling or distributing in the State any beverage container subject to the
requirements of this chapter, A distributor or dealer may not sell or distribute in the State
any such containers of the initiator, and the department may remove from sale any such
containers of the iaitiator. The amendment provides a similar enforcement mechanism
available to the department if an mitiator of deposit fails to report similar information to
the cooperative as required under the department-approved program plan.
4, It amends the provision of law requiring annual reporting by pick-up agents
regarding the redemptions for each initiator of deposit it served m the preceding calendar
year to instead require reporting of similar information by "designated pick-up entities," a
defmed term under the beverage container redemption laws.
FISCAL NOTE REQUIRED
(See attached)
COMMITTEE AMENDMENT
Approved: 03/20/26 1'Kt-
LD 2036 LR 2845(02)
An Act to Clarify the Approval Process for and the Operation of the Commingling Program for the
Management of Beverage Containers
Fiscal Note for Bill as Amended by Committee Amendment 74' ( Y\ '
Committee: Environment and Natural Resources
Fiscal Note Required: Yes
Fiscal Note
Minor cost increase - Other Special Revenue Funds
Fiscal Detail and Notes
Any additional costs to the Department of Environmental Protection from the provisions of this bill are expected to b'
minor and can be absorbed within existing budgeted resources,
LR2845(02) - Fiscal Note - Page 1 of 1