Information for...
Beverage Container Recycling
2010 Processing Fees
December 15, 2009
NOTICE
To: All Interested Parties
Subject: 2010 Processing Fees
Section 14575 of the Public Resources Code (PRC) requires the
Department of Conservation (Department) to establish a
processing payment and a processing fee for any beverage
container type that has a scrap value less than the cost of
recycling. The Department makes processing payments to
processors. Processors pay recyclers the entire processing
payment. Beverage manufacturers pay processing fees to the
Department. This notice announces the 2010 processing fees.
Pursuant to PRC Section 14575, the calculation of the 2010
processing payments is based on the difference between the scrap
values offered to recyclers and the sum of the actual costs of
recycling for certified recycling centers, excluding centers
receiving handling fees, plus a reasonable financial return.
Scrap values are based on the average scrap values paid to
recyclers for the period between October 1, 2008, and September
30, 2009.
Other than as specified in Section 14575(f), Section 14575(e)
provides that a processing fee will equal 65 percent of the
processing payment. Section 14575(f) provides that a processing
fee be equal to a specified percentage of a processing payment
based on the recycling rate for the specified material.
Section 14575(k) directs the Department to reduce total
processing fees for glass and PET plastic if sufficient surplus
funds remain in the respective processing fee accounts and if
the recycling rates equaled or exceeded 45 percent in the
preceding calendar year. Since there are insufficient funds in
the respective processing fee accounts, no reduction for glass
and PET will be provided.
Due to the inadequacy of monies in the Beverage Container
Recycling Fund to make all the payments specified in PRC
Sections 14575 and 14581, the Department was required to
proportionally reduce by 100 percent all transactions that occur
on and after November 1, 2009. The new 2010 processing fees will
continue to include the 100 percent proportionate reduction.
The processing fees shown below become effective January 1,
2010.
| Material | Processing Fee |
|---|---|
| Glass | $0.01373 |
| #1 PET Plastic (Polyethylene Terephthalate) | $0.00569 |
| #2 HDPE Plastic (High Density Polyethylene) | $0.01821 |
| #3 PVC Plastic (Polyvinyl Chloride) | $0.02768 |
| #4 LDPE Plastic (Low Density Polyethylene) | $0.00982 |
| #5 PP Plastic (Polypropylene) | $0.10857 |
| #6 PS Plastic (Polystyrene) | $0.00176 |
| #7 Other Plastic | $0.05009 |
| Bimetal | $0.04526 |
Table 1, attached, shows the following detailed information
for glass, plastic, and bimetal beverage containers:
The cost of recycling
The scrap value paid to recyclers
The processing payment (if any)
The processing fee payable by manufacturers (if any)
Note to beverage manufacturers: Pursuant to PRC Section
14575(h), beverage manufacturers shall pay applicable processing
fees for each container sold or transferred to a distributor or
dealer within 40 days of the sale.
To review notices of changes impacting participants in the
beverage container recycling program, please visit the
Department’s Beverage Container Recycling Program website at
www.consrv.ca.gov/dor/index.htm or call the Division of
Recycling at (916) 323-3836.
For further information on the determination of processing fees,
please contact
Mr. Hieu Le, Operations Branch, Division of Recycling, at (916)
323-1493. If you have any questions concerning processing fee
reporting requirements, please contact your assigned account
representative in the Client Services Section at (916) 327-7361.
Bridgett Luther
Director
Attachment
|
Table I |
|||||||||
|
Plastic |
|||||||||
|
Glass |
PET |
HDPE |
Vinyl |
LDPE |
PP |
PS |
Other |
Bimetal |
|
|
Cost of Recycling per Ton with Reasonable Financial Return |
$86.30 |
$451.34 |
$530.57 |
$834.62 |
$1,190.65 |
$1,068.17 |
$661.63 |
$724.92 |
$668.64 |
|
Scrap Value per Ton |
$6.06 |
$188.95 |
$199.97 |
$0.00 |
$1.08 |
($0.82) |
$11.36 |
$0.52 |
$14.12 |
|
Processing Payments to Recyclers |
|||||||||
|
Processing Payment Per Ton Redeemed |
$80.24 |
$262.39 |
$330.60 |
$834.62 |
$1,189.57 |
$1,068.99 |
$650.27 |
$724.40 |
$654.52 |
|
Processing Payment Per Pound Redeemed |
$0.04012 |
$0.13120 |
$0.16530 |
$0.41731 |
$0.59479 |
$0.53450 |
$0.32514 |
$0.36220 |
$0.32726 |
|
Containers Per Pound |
1.90 |
15.0 |
5.9 |
9.8 |
39.4 |
3.2 |
120.2 |
4.7 |
4.7 |
|
Processing Payment Per Container |
$0.02112 |
$0.00875 |
$0.02802 |
$0.04258 |
$0.01510 |
$0.16703 |
$0.00270 |
$0.07706 |
$0.06963 |
|
Processing Fees to be Paid by Beverage Manufacturers |
|||||||||
|
Manufacturers' Percentage of Processing Payment |
10% |
11% |
10% |
65% |
65% |
65% |
65% |
65% |
65% |
|
Processing Fee Pursuant to Section 14575(f) |
$0.00211 |
$0.00096 |
$0.00280 |
$0.02768 |
$0.00981 |
$0.10857 |
$0.00176 |
$0.05009 |
$0.04526 |
|
Processing Fee to be Paid by Beverage Manufacturers after 100% Proportional Reduction (Processing Payment Per Container x 65%) |
$0.01373 |
$0.00569 |
$0.01821 |
$0.02768 |
$0.00982 |
$0.10857 |
$0.00176 |
$0.05009 |
$0.04526 |
Beverage Container Recycling, http://www.calrecycle.ca.gov/BevContainer/
Contacts: http://www.calrecycle.ca.gov/BevContainer/Contacts.htm