Rhode IslandH62072025 Regular SessionHouseWALLET

AN ACT RELATING TO HEALTH AND SAFETY .

Sponsored By: Carol Hagan McEntee (Democratic)

Signed by Governor

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Free to download

Bill Overview

Analyzed Economic Effects

22 provisions identified: 8 benefits, 5 costs, 9 mixed.

Free container returns closer to home

The beverage refund program must fund accessible, clearly marked sites accepting covered and reusable containers free of charge. Towns below 1,000 residents per square mile need one site, plus one within a mile of a store larger than 10,000 square feet located within three miles of town borders; towns above that density need two sites. Towns with more than 25,000 but fewer than 75,000 residents also need a site in each ZIP code tabulation area. Sites must open at least eight hours on weekdays and one weekend day, except federal holidays; an accessible website must list sites, hours, eligible containers, plans, reports, noncompliant producers, and a membership list updated monthly. State-approved access standards must address transportation, income, environmental justice, and immediate refunds, with access audits at least every five years; two straight years of missed standards can trigger rulemaking.

Packaging businesses face new sales rules

After January 1, 2030, producers need a written agreement with a producer group operating under an approved plan to introduce covered materials. After January 1, 2032, sales require approved services and materials meeting reuse, refill, recyclable-list, or compostable-list rules; proven market or technical barriers allow an initial two-year extension and further annual extensions. Responsibility generally follows brand ownership, licensing, importing, or first distribution; online shippers are responsible for packaging they use. Private-label producers can take responsibility by agreement and membership in a registered producer group; franchisors are responsible when franchisees have a Rhode Island commercial presence. Government entities and registered 501(c)(3) and 501(c)(4) groups are excluded.

Residents get statewide packaging drop-off access

Packaging producer groups must offer year-round statewide collection for materials on the alternative collection list. Every municipality must have at least one drop-off site, with service levels based on county population and density. Operators must educate the public, track collections and targets, and send materials to responsible markets. Separately, the department can excuse a limited number of beverage return sites from site requirements to lower costs or add locations.

Producer funding rules protect household wallets

Packaging plans must fund program costs through producer fees, not new fees charged to households, businesses, service providers, or governments. This ban does not cover refundable deposits or service-provider charges, and it does not limit product-price changes. Neither packaging nor beverage-refund program operators can use producer fees for lobbying. Beverage-refund operators can spend unclaimed deposits only on education, outreach, more return sites, or plan activities directly supporting performance targets.

Beverage recycling faces rising return targets

Beverage refund plans are due September 1, 2027, and every five years, covering at least glass bottles, rigid plastic bottles, and metal cans from 40 milliliters to one gallon. The first approved plan must start by July 1, 2028, or within six months of approval, whichever is later; later plans start within six months of approval. Draft plans and amendments first go to the advisory council, and the organization must address comments received within 60 days. Annual return rates must exceed 65% starting in 2031 and 85% starting in 2034, while reuse targets must rise with each later plan. After missing a required return or access standard, the organization must explain why and propose fixes within 90 days after filing its annual report.

Packaging programs must meet rising recycling targets

Packaging producer groups must collect above 50% and recycle above 40% of covered materials annually starting in 2033. The rates rise above 65% collected and 55% recycled in 2037, then above 75% and 65% in 2041. The department can adjust targets by up to 10 percentage points or delay them up to two years for feasibility, cost, or other considerations. Recycling means collecting, moving, sorting, and processing material as feedstock for new products. Landfill disposal, landfill cover or other landfill uses, and energy or fuel production do not count.

Recycling programs face public oversight checks

Beginning April 1, 2030, recovery and drop-off facilities receiving covered materials must annually report origins, amounts, sales, waste, and responsible-market checks. Packaging groups must report materials, results, costs, fees, spending, audits, and compliance. Missed targets require an explanation and proposed plan amendment within 90 days after the annual report; performance audits occur every fourth year after plan approval. Accessible websites must publish plans, reports, needs assessments, noncompliant brands, service contacts, exemptions, and recycling guidance, with member lists updated at least monthly. The department must appoint the refund advisory council by March 1, 2026, with the required membership categories and department support. The council reviews plans, reports, and audits, advises the department, and meets at least twice yearly.

Recycling facilities receive temporary container payments

Monthly payments to recycling and drop-off facilities begin after the first full month covered containers are sold with a refund value. Each qualifying container earns at least 50% of its refund value after transfer for further processing or to an end market. Containers must meet quality standards, and material recovery facilities must share payments with customers as their supply agreements require. Facilities must report prior-month incoming and transferred tonnage and use industry-standard scales; the program must publish its tons-to-container conversion method. Payments end six months after the packaging program plan begins implementation.

Stores can choose paid redemption hosting

Retailers do not have to host a beverage-container collection site. Stores that choose to host one may receive a self-service voucher kiosk at no charge. The refund organization must fairly pay hosts for occupied space. It must also repay retailers for valid customer vouchers they redeem.

Beverage makers pay new recycling fees

After July 1, 2026, covered beverage producers must join a registered refund organization, follow its plan, and register container barcodes and product codes. The organization must set startup fees by September 1, 2026, applying until its plan is approved. Producers pay material-based fees for registration and program costs left after scrap revenue and unclaimed deposits. Fees reflect material-management costs and may vary with recycled content, recyclability, labels, and design; very small producers must have a flat-fee option. Extra collections must improve the program, and producers that remain out of compliance after efforts to fix problems must be expelled.

Producer groups fund state recycling oversight

The beverage refund organization owes a one-time state fee by November 1, 2026, then annual fees starting July 1, 2027. The packaging organization owes a one-time payment by November 1, 2027, then annual fees starting July 1, 2028. Packaging payment notices are due August 1, 2027, for startup and May 1 for annual fees; both programs limit fees to estimated state costs and reconcile actual costs through credits, refunds, or added payments. A separate packaging account keeps fees, appropriations, transfers, and earnings available across budget years for reasonable state administration costs. The refund account holds all state program receipts for implementation, administration, and enforcement, with spending authorized only by the environmental director, subject to allotment procedures but requiring no appropriation.

Recycling operators pay cost-based registration fees

Packaging and beverage-refund program operators must pay annual registration fees set by the department. Fees cannot exceed estimated administration and enforcement costs and must reflect each operator’s share of those costs. The department compares fees with actual costs and issues credits, refunds, or added payment requirements.

Recycling violations bring fines and fixes

Violators face fines up to $1,000 per violation per day initially and $10,000 for later violations. For producer organizations, the higher tier applies to second and later violations within a calendar year. The state must first send certified-mail notice, and producers cannot be fined until 60 days after receiving written notice. The state can also order fixes, demand reports or revised plans, revoke plan approval, or require continued operations without an approved plan. After consulting an advisory council, it can require either organization to pay for available, relevant, reasonably priced independent certification with at least six months' notice.

Customers get redemption bag costs credited

Stores larger than 20,000 square feet must sell redemption-program bags at the program's set price. Customers pay upfront and receive a credit for the purchase cost when their returned bag is processed. Standard plastic-film bags must contain at least 50% postconsumer recycled content and carry recycling instructions. The program must show that these bags reach responsible recycling markets when the state requests proof.

Shoppers pay refundable ten-cent container deposits

Beginning July 1, 2029, shoppers pay a separately listed $0.10 deposit on each covered beverage container and can reclaim it. Refunds are not required for containers with unidentifiable brands, suspected out-of-state purchases, suspected prior refunds, or contamination beyond water, original contents, or ordinary dust. These exclusions do not replace required payments to recycling and drop-off facilities. The Department of Environmental Management can raise the deposit after redemption targets are missed in both prior calendar years. Department-initiated changes are limited to once every ten years, in consultation with the program operator; operator-requested changes to once every five years.

Beverage sellers face bans and penalties

After July 1, 2029, sellers cannot sell covered beverage containers from producers outside the registered refund program or violating its rules. Sellers continuing a penalized producer’s sales 60 days after written warning face a penalty: twice the containers’ value or $500, whichever is greater. The department must waive that penalty when the seller verifies sales or distribution stopped within 30 days after assessment. Recycling fraud also carries a possible penalty of twice the money received or $500, whichever is greater.

Packaging makers fund statewide recycling services

After July 1, 2027, packaging and paper producers must join a producer organization, follow its plan, and report prior-year material amounts. Startup fees must be set by September 1, 2027; annual fees reflect prior-year material amounts, program costs, material-sale value, environmental impacts, and reserves. Producers with annual global revenue below $2 million are exempt from annual packaging fees through January 1, 2030, with the threshold inflation-adjusted afterward. Extra revenue must improve program results or reduce producer fees under an approved plan. The organization must expel persistently noncompliant producers and notify the state, answer advisory comments within 90 days, report specified leadership or contact changes within 30 days, and contract with providers directly and pay them on time.

Packaging recycling plans address service gaps

The packaging organization must assess services, waste rates, markets, service gaps, and investment needs by June 1, 2028, then every five years, consulting affected groups. Information holders must supply needed data on request; the contractor must combine and anonymize it, except location details needed for the review. If an assessment remains deficient after its second resubmission, the organization must pay for corrective work scoped by the state. Program plans are due January 1, 2030, and every five years, covering targets, services, budgets, fees, investments, provider standards, and outreach; multiple organizations must submit one shared plan. State approval is required before launch: the first plan starts by January 1, 2031, or within six months of approval, whichever is later, and later plans start within six months of approval.

Recycling groups gain protection with limits

Producer groups must publicly seek competitive bids for infrastructure investments in approved plans. Preference goes to existing Rhode Island facilities, service providers, and service-account holders. Groups generally cannot own that infrastructure; exceptions cover fully disclosed producer stakes held before enactment and cases receiving no service-provider bids. Organizations arranging required waste-reduction and recovery services can coordinate despite competition limits only as necessary to meet the law’s obligations. That necessary conduct is protected from Rhode Island antitrust, restraint-of-trade, and unfair-trade-practices liability.

Recycling providers get funding and fee limits

Producer organizations must directly contract to pay 100% of covered service costs for covered materials, excluding exempt materials. Rates must update yearly and account for expected material-sale revenue and collection, transfer, processing, administration, reuse, and refill costs. Providers keep material-sale revenue but may charge service fees only for costs producer payments leave uncovered, including needed investment and returns. Contracts must require service standards, responsible markets, and material tracking; providers seeking reimbursement must register annually starting January 1, 2027, with contact, address, and applicable prior-year billing information. Both producer programs must offer outside mediation for payment disputes.

State approves and coordinates recycling managers

The state must accept beverage refund administrator applications by January 1, 2026, and may approve one by April 1, 2026. Packaging administrator applications open July 1, 2026, with one organization eligible for approval by October 1, 2026. Each approval lasts at most 10 years and requires an independent tax-exempt nonprofit with suitable industry representation, financial controls, and operating ability; packaging approval can be revoked after four straight years of missed targets without reasonable progress. The state may allow multiple packaging organizations after the first plan expires, or appoint one organization to run both programs with separate governance. Separate administrators must create a coordination plan by January 1, 2029, covering consumer messages, payments between programs, package allocation, shared processing and markets, and reuse or refill infrastructure.

Packaging must meet new environmental standards

Rhode Island's environmental department must set packaging requirements for composting, reuse, returns, waste reduction, and recycled content. It must identify which covered materials are recyclable or compostable in Rhode Island and provide a process for adding materials. Statewide standards and deadlines must account for available markets, service needs, the state waste plan, and health, safety, environmental, and technical factors. Producers can request exemptions when health or safety rules prevent compliant packaging. Each exemption lasts no more than two years and can be renewed.

Sponsors & Cosponsors

Sponsor

Carol Hagan McEntee
Democratic • House

Cosponsors

David A. Bennett
Democratic • House
Jennifer Boylan
Democratic • House
Lauren H. Carson
Democratic • House
Terri Cortvriend
Democratic • House
Susan R. Donovan
Democratic • House
Arthur Handy
Democratic • House
Katherine S. Kazarian
Democratic • House
Jason Knight
Democratic • House
Michelle E. McGaw
Democratic • House

Roll Call Votes

All Roll Calls

Yes: 122 • No: 12

House vote • 6/20/2025

REDEMPTION AND RECYCLING PLAN PASSAGE AS AMENDED

Yes: 58 • No: 11