Wegmans predicts 30 percent jump in volume

Tom Tobin writes in today’s Democrat and Cronicle - “Local supermarkets and convenience stores say they’re preparing for a major increase in the volume of plastic bottles redeemed when a new state law adds water drinks to the recycling stream.

The law sweetens the handling costs that retailers may recover when the containers are redeemed. But questions remain whether that will be enough to compensate for the higher volume and other related costs.

“Our systems are in place, I think,” said Dave Breen, owner of Herrema’s Food Market in Irondequoit. “What bothers me most about this is we’re taking in people’s garbage at the grocery store. Curbside recycling is the answer.”

A federal judge next month is expected to lift an injunction against adding bottled water to the 5-cent deposit law that now covers carbonated beverages, wine coolers and beer. A hearing is scheduled Oct. 22 to hear arguments from the bottled-water industry that some small companies are not ready for the change. But retailers in this region are getting ready for the most significant increase in the flow of redeemable products in years.”

To read the rest of the story click here.

Michael Vertanen of the Associated Press writes in the PressRepublican.com - “Mandatory deposits on water bottles are expected to start this fall in New York, while the Paterson administration considers changes that would extend them to other beverages, including sugared water, iced tea and sports drinks.

“It’s something we’re seriously considering,” said Judith Enck, chief environmental adviser to Gov. David Paterson, with backing of at least one major bottling company. Another possible addition to the law would make deposit bottles redeemable at all stores, not just those that sell a particular brand, which would make returns easier, she said.

The exception for water containing sugar has drawn sharp criticism, especially because Paterson’s public policy goals include battling obesity. The exception doesn’t apply to artificial sweeteners.”

To read the rest of the story click here.

Joseph Spector reports in today’s pressconnects.com - “A federal judge Wednesday issued an injunction that stops the state from charging a nickel deposit on bottles of water starting next week.

Bottlers last week filed a lawsuit seeking to halt the law from going into effect, saying they will not have enough time to implement it and put New York- specific bar codes on all bottles and cans.

U.S. District Court Judge Thomas Griesa agreed and ruled from the bench that the state and the bottlers need to work on a reasonable time frame to start the new law.

“This gives us some breathing room to set an effective date that will work,” said Tom Lauria, a spokesman for the International Bottled Water Association, one of the plaintiffs along with Nestle Waters North America, Inc. and The Polar Corporation.”

To read the rest of the story click here.

The following op-ed by Robert F. Kennedy Jr. appears in today’s New York Times.

“THIRTY-EIGHT years ago, Oregon passed America’s first bottle deposit law, leading the way for states like New York and Connecticut to enact their own bills to reduce litter from single-serving containers. Those first laws, aimed at soft drinks and beer, then the most prevalent canned and bottled beverages, succeeded spectacularly, generating redemption rates reaching 70 percent…

A good new deposit bill could encourage recycling of new classes of beverage bottles and also provide financing for curbside programs that capture other kinds of recyclable waste, like juice cartons, ketchup bottles and mayonnaise jars. These are all made from the same plastic and glass as soda, beer and water bottles, yet fewer than one in five of them are being recycled. Since such containers are not subject to deposit laws, their recycling is driven only by moral imperative or local ordinances, and these incentives function best when supported by robust curbside recycling programs or other easy recycling options.

Unfortunately, the New York Legislature passed a bottle law last month that not only fails to accomplish these goals but will actually harm the recycling programs New York has. It is an ugly sausage that was cooked up by lobbyists for makers of sugared drinks and their allies in the Legislature. Instead of requiring deposits for all the new beverage categories, as Gov. David Paterson originally proposed, New York’s new bottle law covers bottled water only — unless that water contains added sugar. ”

To read the entire op-ed click here.

Cathy Woodruff reports in the Times Union today - “Gov. David Paterson on Wednesday proposed amending the expanded bottle law passed last month to eliminate the requirement for a New York-only UPC bar code on returnable containers.

Retailers, distributors and bottlers are vexed by the bar code mandate, now scheduled to take effect June 1. They say it would be virtually impossible to implement by June and would add costly complications to production and distribution systems.”

To read the rest of the story click here.

The Business Council supports this legislation, which makes several amendments to the expanded “bottle bill” approved as part of the FY 2010 budget.

Importantly, this bill repeals the mandate for a New York State-specific “universal product code” on all beverage containers subject to the state’s deposit law.

This provision would impose significant costs, and significant disruptions in the product delivery chain. The Business Council supports its repeal.

To read the entire bill memo click here.

LI beer distributors protest bottle deposit law
Newsday posted on their website the following story and video.

“Long Island beer wholesalers unhappy with the expanded bottle deposit law in this year’s state budget staged rallies Thursday outside offices of Democratic Assembly members who voted for the bill.

Bottlers and beverage distributors say the expansion places an unfair burden on their businesses that could lead to layoffs and job losses. “It’s a huge concern,” said Christine Dunne of Clare Rose, a large Long Island wholesaler.

The protests came as Gov. David A. Paterson signaled a willingness to negotiate a possible amendment to some of the bill’s terms, such as delaying the date when redeemable containers must carry a New York-specific UPC code. That provision is meant to stop people from redeeming bottles purchased in neighboring states without deposit laws.

The bill, already signed into law, adds a nickel deposit on water bottles and increases the handling fee paid to businesses where the containers are returned from 2 cents to 3.5 cents. It also gives the state 80 percent of unclaimed deposits, formerly kept by the beverage industry.

The budget again proposes to expand the state’s bottle bill to non-carbonated beverages, and capture unclaimed deposits for the EPF. This estimated $110 million in new revenue from this proposal, if approved, who replace, rather than add to, current EPF revenue sources (primarily, a share of the state’s real property transfer tax.) The Business Council has opposed the so-called “bigger better bottle bill” for several reasons. It imposes new costs and burdens on bottlers, distributors and retailers. It has the effect of a regressive sales tax on groceries. And while purporting to provide financial support to municipal recycling efforts, this proposal will in fact take valuable post-consumer materials out of municipal recycling programs, and divert those materials to store-based recycling.

Touted as an environmental measure, this is in reality a hidden tax on New York State manufacturers, bottlers, distributors and ultimately consumers. This Bill’s added costs will eventually lead to higher prices.