The New Jersey Assembly Environment and Solid Waste Committee on Monday gave the green light to a bill that would require a deposit on all plastic and glass bottles and aluminum cans, and dedicate 75 percent of the unclaimed deposits to lead abatement and remediation programs in Jersey schools and local communities.

The so-called “Smart Container Act” sponsored by Assemblywoman Valerie Vainieri Huttle (D-Bergen) would require a 10-cent deposit on all plastic and glass bottles and aluminum cans (other than refillable containers) less than 24 ounces, and a 20-cent deposit on such beverage containers over 24 ounces up to 3 liters.

The legislation, which would apply to all beer, wine, juice, sports drinks, soda and bottled waters containers, was released by the panel after two hours of testimony, discussion and debate.

According to Ann Vardeman, program director for New Jersey Citizen Acton, this legislation would make New Jersey more environmentally friendly could help alleviate the lead crisis in New Jersey.

“This is not just a problem in Newark. Just a few days ago it came out that elevated levels of lead were found in the Paterson public schools, and Camden public schools have been spending $75,000 a year to bring in bottled water because there was high levels of lead found in several elementary schools,” she said.

Vardeman pointed out elevated levels of lead in drinking water “can cause not only damage in the brain and nervous system. It slows growth and development. It can cause learning, behavioral, speech and hearing problems, lower IQ. Lead-poisoned children are seven times more likely to drop out of school — five and six times more likely to become involved in the juvenile justice system.”

She stressed cleaning up lead in drinking water will cost billions of dollars over time, but “we must start somewhere.”

Michael Halfacre, the executive director of the Beer Wholesalers Association of New Jersey and former director of the New Jersey Division of Alcoholic Beverage Control, does not believe Smart Container Act makes sense.

“The proposed bill, if enacted, will do irreparable damage, not only to our members, but to the fragile New Jersey economy as a whole,” he said. "It will raise prices across the board, it will increase operating costs for wholesalers and retailers, it will create and does create additional bureaucracy and paperwork, and frankly it does not further the very noble goal of remediating lead in our drinking water.”

He stressed “you’ve created a bill that will only raise money for non-compliance; it’s a low blow for the environment and for small businesses across New Jersey.”

Kevin Dietly, a partner at Northbridge Environmental Consultants, told members of the panel the proposed law would require the establishment of a brand new recycling infrastructure, essentially the creation of a separate new redemption system that would exist in retail stores.

He said doing this would hurt local, municipal recycling programs financially because it would divert aluminum cans, among the most valuable materials, away from those recycling streams.

“This is just a shell game,” he said. “Moving revenue away from recycling is not good for sustainable recycling, and it’s not good for the retailers.”

He also said it wouldn't be a good environmental policy from a fiscal perspective, because “you aren’t going to get any revenue. I hear everybody divvying up money to spend on the lead problem, but the experience we have with other deposit states is, you aren’t going to have any dimes left over. You can only get revenue from the system if people don’t return their containers.”

He pointed out in Michigan, the only state with a comparable 10-cent per-container charge, is averaging 97 percent redemption rates, which means only a very small percentage of people are not returning their containers.

The measure will heads to the full Assembly for consideration.

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