STAND. COM. REP. NO. 18

Honolulu, Hawaii

RE: S.B. No. 184

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2025

State of Hawaii

Sir:

Your Committee on Agriculture and Environment, to which was referred S.B. No. 184 entitled:

"A BILL FOR AN ACT RELATING TO THE DEPOSIT BEVERAGE CONTAINER PROGRAM,"

begs leave to report as follows:

The purpose and intent of this measure is to increase the deposit and refund value for beverage containers from 5 cents to 10 cents under the state Deposit Beverage Container Program.

Your Committee received testimony in support of this measure from the County of Kauaʻi Department of Public Works and Reynolds Recycling, Inc.

Your Committee received testimony in opposition to this measure from the American Beverage Association, Hawaii Food Industry Association, and four individuals.

Your Committee received comments on this measure from the Department of Health, Department of Human Services, and Tax Foundation of Hawaii.

Your Committee finds that the Deposit Beverage Container Program (Program) is one of the most effective waste diversion programs in the State because it provides an incentive to recycle. Although the Program had high redemption rates of nearly seventy-nine percent in 2009, recent redemption rates have been less than sixty percent. Your Committee notes that after Oregon increased its refund fee from 5 cents to 10 cents in 2017, their recycling rate saw a significant increase from sixty-four percent to 90.5 percent. Accordingly, increasing the State's refund fee for beverage containers would increase participation, reducing the amount of recyclable material currently landfilled.

As affirmed by the record of votes of the members of your Committee on Agriculture and Environment that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 184 and recommends that it pass Second Reading and be referred to your Committee on Ways and Means.

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

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MIKE GABBARD, Chair