Resource Recycling
  • The Latest
  • Analysis
    • All
    • Certification Scorecard
    • Industry Announcements
    • Opinion

    AI and the changing economics of retired hardware

    Certification Scorecard — Week of June 8, 2026

    ITAD is moving past its adolescent phase: beyond end-of-life

    Rainforest

    Inside the Circle: What the rainforest can teach us about EPR

    Closeup of a printed circuitboard

    Hardware demand puts new focus on parts harvesting

    Rare look inside the world’s largest plastics recycler

    Mass balance matters: Why different rules can lead to different outcomes 

  • Conferences
    • Resource Recycling Conference
    • Plastics Recycling Conference
    • E-Scrap: The Longevity Conference
    • Textiles Recovery Summit
  • Publications
    • E-Scrap News
    • Plastics Recycling Update
    • Policy Now
    • Resource Recycling
    • Other Topics
      • All Topics
      • Brand Owners
      • Critical Minerals
      • Glass
      • Grant Watch / RFPs
      • Markets
      • Organics
      • Packaging
      • Research
      • Technology
      • Textiles
Subscribe
No Result
View All Result
Resource Recycling
  • The Latest
  • Analysis
    • All
    • Certification Scorecard
    • Industry Announcements
    • Opinion

    AI and the changing economics of retired hardware

    Certification Scorecard — Week of June 8, 2026

    ITAD is moving past its adolescent phase: beyond end-of-life

    Rainforest

    Inside the Circle: What the rainforest can teach us about EPR

    Closeup of a printed circuitboard

    Hardware demand puts new focus on parts harvesting

    Rare look inside the world’s largest plastics recycler

    Mass balance matters: Why different rules can lead to different outcomes 

  • Conferences
    • Resource Recycling Conference
    • Plastics Recycling Conference
    • E-Scrap: The Longevity Conference
    • Textiles Recovery Summit
  • Publications
    • E-Scrap News
    • Plastics Recycling Update
    • Policy Now
    • Resource Recycling
    • Other Topics
      • All Topics
      • Brand Owners
      • Critical Minerals
      • Glass
      • Grant Watch / RFPs
      • Markets
      • Organics
      • Packaging
      • Research
      • Technology
      • Textiles
Subscribe
No Result
View All Result
Resource Recycling
No Result
View All Result
Home Recycling

Analysis says California’s atypical regulations hurt bottle redemption centers

Colin StaubbyColin Staub
May 9, 2017
in Recycling

The Golden State’s container redemption program differs from bottle bills in other states, and according to a new study, that might be bringing it down.

More than 300 collection centers, which accept drink containers covered by the California Redemption Value (CRV) program, have closed their doors in the past 16 months, according to the state Legislative Analyst’s Office (LAO).

In light of that trend, the nonpartisan agency released an analysis last month looking at the unintended consequences of the way the state program is set up. The review pointed to a few aspects peculiar to California’s program and contrasted them with programs in nine other deposit states.

The CRV program adds a 5- or 10-cent surcharge on drink containers, with the amount depending on their size. The charge is refunded when the container is returned for recycling. Most returns are done through collection centers, also known as redemption or recycling centers.

The CRV program collects an immense number of containers. From July 2015 through June 2016 – the most recent 12-month period for which figures are available – the state redeemed 8.6 billion PET containers, 7.5 billion aluminum cans and 2.4 billion glass bottles, out of more than 18.7 billion beverage containers altogether.

Collection center closures

As of early April there were 1,692 collection centers operating, down from 1,832 one year earlier. The CRV program establishes “convenience zones” that cover a half-mile around supermarkets with annual sales of more than $2 million. If there is no collection center in these areas, the supermarket is responsible for redeeming covered containers or paying a daily fee to opt out.

The percentage of convenience zones unserved by a collection center statewide jumped from 14 percent to 25 percent from March 2016 to March 2017. That impacts businesses, which become legally obligated to redeem or pay the fee, and consumers, who have fewer options for redemption.

Lagging handling fees

California collection centers are responsible for selling containers to processors, as opposed to other states in which beverage distributors fund that process. That means collection centers have to absorb the cost when scrap values fall. The LAO noted that often hits collection centers harder than it does distributors, which tend to be larger companies.

That’s why collection centers located within convenience zones receive payments from the California Department of Resources Recycling and Recovery (CalRecycle) to offset the difference between scrap values and collection costs. This is similar to the handler fee paid to redemption centers in many other states, except for how the fee is set. Rather than an amount set by lawmakers, California’s payments are based on the average cost to collection centers.

But the LAO pointed out the handler fee amount is only updated quarterly, which often fails to keep up with quickly fluctuating commodity prices. Other unexpected economic changes can take even longer to factor into the handler fee. For instance, the report cited a recent raise in the minimum wage and explained that “these increases will not fully be reflected in the handling fee amount for several years until data can be collected and incorporated in the next cost survey completed following those increases – likely in 2020.”

Lacking flexibility

Finally, the LAO report took note of the operational flexibility redemption outlets enjoy in other states, compared with the relative rigidity of California’s redemption center requirements. Along with simple requirements such as mandated hours of operation, California prohibits certain departures from standard bottle collection systems that have been implemented in other states. As examples, mobile collection programs, such as those in Hawaii and New York, are not allowed. Bulk collection, in which customers can drop off bags full of containers for redemption, is also limited.

“Removing requirements that are costly or not effective could make additional closures less likely,” the report concluded. “If there is concern that eliminating some requirements might reduce consumer convenience, the Legislature could consider using pilot projects to collect data and monitor the effects of the change before implementing them statewide.”

 

NovoTec 

Tags: CaliforniaCollectionContainer DepositsLegislation & Enforcement
TweetShare
Colin Staub

Colin Staub

Colin Staub was a reporter and associate editor at Resource Recycling until August 2025.

Related Posts

Rare look inside the world’s largest plastics recycler

TRP launches fund to boost recycling

byIsabella Burke
June 12, 2026

The Recycling Partnership announced the Recycling Participation Fund.

Australia battery recycling sector could reach A$6.9bn by 2050

Colorado and California bills take aim at battery recycling gaps

byStefanie Valentic
June 12, 2026

Colorado's EV battery EPR law and California's SB 501 together represent a push to bring the full battery supply chain...

Goodwill, WM partner for textile recycling pilot

CiCLO co-creator helps forge path to sustainability

byPaul Lane
June 11, 2026

Andrea Ferris says her additives, which can make synthetic fabrics biodegradable, can help companies improve their environmental footprints while meeting...

Aluminum can bale close up.

Aluminum scrap exports face scrutiny under HB 9161

byStefanie Valentic
June 9, 2026

A new House bill would direct the US International Trade Commission to investigate whether US aluminum scrap exports to adversarial...

Three-bill package aims to revamp Michigan’s bottle return system

byStefanie Valentic
June 9, 2026

Michigan lawmakers introduced a bipartisan three-bill package aimed at strengthening consumer access to bottle deposit refunds and clarifying retailer obligations...

How electronics legislation fared this legislative season

NY sends repairability labeling bill to governor

byPaul Lane
June 8, 2026

New York would become the first state in the US with an electronic device repairability labeling requirement law.

Load More
Next Post

Keys to rolling out an effective mandatory recycling ordinance

More Posts

House resolution aims to make recyclability central to product design

NY EPR bill fails to advance after third try

June 8, 2026
Various PET thermoform containers.

Thermoform recovery soars, PCR content falls

June 10, 2026
CalRecycle withdraws proposed regs for SB 54

Oceana, NRDC, CAW sue CalRecycle over SB 54 regs

June 5, 2026

Three-bill package aims to revamp Michigan’s bottle return system

June 9, 2026
Circular Materials to supply PlasCred chem recycling plant

Circular Materials to supply PlasCred chem recycling plant

June 4, 2026
Rare look inside the world’s largest plastics recycler

Mass balance matters: Why different rules can lead to different outcomes 

June 5, 2026

Battery fires still a major risk to recyclers: report

June 9, 2026
Recycling industry addresses Beyond Plastics report

Recycling industry addresses Beyond Plastics report

May 26, 2026
Rainforest

Inside the Circle: What the rainforest can teach us about EPR

June 8, 2026
How electronics legislation fared this legislative season

NY sends repairability labeling bill to governor

June 8, 2026
Load More

About & Publications

About Us

Staff

Archive

Magazine

Work With Us

Advertise
Jobs
Contact
Terms and Privacy

Newsletter

Get the latest recycling news and analysis delivered to your inbox every week. Stay ahead on industry trends, policy updates, and insights from programs, processors, and innovators.

Subscribe

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Add New Playlist

No Result
View All Result
  • The Latest
  • Analysis
  • Recycling
  • E-Scrap
  • Plastics
  • Policy Now
  • Conferences
    • E-Scrap Conference
    • Plastics Recycling Conference
    • Resource Recycling Conference
    • Textiles Recovery Summit
  • Magazine
  • About Us
  • Advertise
  • Archive
  • Jobs
  • Staff
Subscribe
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.