STAND. COM. REP. NO 85

 

Honolulu, Hawaii

                

 

RE:    S.B. No. 353

 

 

 

Honorable Donna Mercado Kim

President of the Senate

Twenty-Eighth State Legislature

Regular Session of 2015

State of Hawaii

 

Madam:

 

     Your Committee on Energy and Environment, to which was referred S.B. No. 353 entitled:

 

"A BILL FOR AN ACT RELATING TO RECYCLING,"

 

begs leave to report as follows:

 

     The purpose and intent of this measure is to:

 

     (1)  Amend the advance disposal fee for glass containers to a tiered structure based on the interior volume of the glass container; and

 

     (2)  Require the State Auditor to audit the advance disposal fee program at the earliest opportunity and again five years later and submit the results to the Legislature.

 

     Your Committee received testimony in support of this measure from the County of Hawaii Department of Environmental Management.  Your Committee received testimony in opposition to this measure from the Wine Institute.  Your Committee received comments on this measure from the State Office of the Auditor, Department of Health, Tax Foundation of Hawaii, and Hawaii Food Industry Association.

 

     Your Committee finds that the cost of recycling glass containers far exceeds the revenue that the State receives through the advance disposal fee, which is imposed on sealed glass containers that are not glass deposit beverage containers.  The result is a shortfall in payment for glass recycling or stoppages in the recycling of glass containers.

     Your Committee further finds that the advance disposal fee of 1.5 cents per glass container has not been increased since it was established on September 1, 1994.  Also, there is a huge disparity in weight between small glass containers and larger glass containers, which cost more to recycle.  This measure revises the advance disposal fee for glass containers to a fairer, more reasonable tiered structure based on the interior volume of the glass container.

 

     As affirmed by the record of votes of the members of your Committee on Energy and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 353 and recommends that it pass Second Reading and be referred to the Committee on Ways and Means.

 

Respectfully submitted on behalf of the members of the Committee on Energy and Environment,

 

 

 

____________________________

MIKE GABBARD, Chair