States Lose Millions Annually Due to Recycling Fraud
The state of Michigan, which features the nation’s only 10 cent deposit on carbonated drink containers, is looking at ways to prevent out-of-state redemption since it lost approximately $10 million to fraudulent recycling, according to the Associated Press.
Michigan is one of 11 states with a “bottle bill” law, in which stores charge a fee when recyclables are purchased that is refunded when the containers are brought in for recycling. Michigan, along with other bottle bill states such as California, is surrounded by several states that do not participate in the law. This means consumers can buy containers in other states, without paying a fee, and recycle them in states with bottle bills, for a profit.
One of the solutions being considered is for containers sold in states with bottle bills to have a symbol or code that would be scanned by redemption machines, thereby rejecting out-of-state cans and bottles. The article claims that Michigan is losing $10 million a year due to this fraud that could be spent on environmental initiatives and California is losing $11 million.
Other participating states are also addressing the issue. Maine has undercover officials in “border towns” and $100 fines for illegal containers. California has prosecuted at least a dozen people, who, in some cases, were driving in flatbed trucks filled with crushed cans.
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Dave
posted on October 29th, 2008 at 12:33 pm
The figure sounds large enough to be notable.
How about a federal bottle bill based on the Michigan model? Then the cops can spend their time doing something more valuable than staking out the state border crossings looking for long distance recyclers. The excess deposit funds could be spent on environmental initiatives to clean up all the states.
To make this happen, we’d just need an enlightened progressive policy promoting sustainable “cradle-to-cradle” producer takeback economics. It’s not like bottle bills are a new idea…
Note: in my heignboring tate of Ohio, this AM on my 4.5 mile bike ride to work I picked up and recycled 10 plastic bottles, 13 aluminum cans and a shopping bag full of other fast food cups, straws and other trash. Litter is an ongoing problem threatening our watersheds with stormwater pollution, and lack of recycling is adding to our collective eco-footprint.
Kristen
posted on October 30th, 2008 at 10:17 am
I just wanted to say recyling is something people shouldn’t comiitt fraud to. It’s a serious activity
Douglas
posted on November 1st, 2008 at 3:10 pm
Hold on, I thought the overhead of the transit cost ruined the margin, at least that’s what Kramer said. Ooooh, check the mail trucks!
Jessica S.
posted on November 3rd, 2008 at 8:26 am
I was unaware that you had to get the bottles from that certain state that you were selling them back to. That makes sense now that I have read the article. I think it should be inforced because the town is losing money that they could be using to clean up litter and pollution, which are serious problems all around the world. People have lost all respect for the Earth, which I think is extremely sad! It takes two seconds to toss your can, bottle or piece of paper into the recycling bin, and yet people still throw it into the trash. Think of all the energy the World could save if we just recycled instead of starting all over! It doesnt take much to make a difference people. If we would all work together, just think of the differences we could make!
Baboo
posted on November 3rd, 2008 at 7:39 pm
An easy way is to color the UPC code a different color. If you don’t pay a deposit then it is black. If you do in State A the ne the code will be Blue, and Red in State B.
Scott Tumperi
posted on December 20th, 2008 at 10:07 am
Has anyone ever seriously considered having a nationwide deposit? With the new leadership in Washington, it may be possible. It would probably violate some interstate commerce or other law, but if every state could agree on 5 cents or 10 cents, then the fraud could go away and more people would recycle. Who might be interested in introducing such a bill?
Of course, the border issue would come up, but I would hope that the border people could look for it while looking for other stuff. I don’t think people would go to that length just to smuggle aluminum cans.
Blkice
posted on December 29th, 2008 at 3:12 pm
I have to agree with Scoot Tumperi.
If all state had the same redemption fees, then there would be no “FRAUD” people recycle for 2 reasons:
1. for the money
2. For the enviroment
So to encourage more recycling all states should incorporate a program where all containers are the same CRV value no matter where they come from, and ALL Recyclable materials have a Refund Value including wine and alcohol bottles and drinking glass.
bopeep
posted on January 14th, 2009 at 2:59 pm
The original intent of bottle return was not recycling, but reuse – a level higher on the hierarchy for sure.. Bottles were washed, sanitized and refilled. With today’s advanced materials like aluminum and plastics, it is more of an anti-litter movement. That’s good, too, but more difficult to sell since Iron Eyes Cody died. We may need to find another crying Indian guy.
People have forgotten about how this movement started in our own backyards and seem to have moved into a mode of blaming the industry that has already done a great job of slimming down their waste piles. We need to look at our own and take our turn. The best and easiest way to reduce waste in the US by 300 million pounds is for everyone to reduce their own waste by one pound.
Plays in Dirt
posted on January 29th, 2009 at 7:01 am
I agree, Dave and Scott, a federal bottle bill would solve the problem. Everyone SHOULD be recycling, but it’s amazing the # of people who don’t. Something like this would give them financial incentive to recycle.
Goedeck
posted on May 4th, 2009 at 9:33 pm
I know that here in OR the cans may have different UPC codes so only certain cans will be accepted by the machine. For example, Pepsi cans from WA have a different UPC code than OR Pepsi cans.
Douglas: I was hoping somebody would mention Newman and Kramer in the mail truck. lololol XD
S.Grant
posted on June 26th, 2009 at 10:36 pm
They did a sting once a few months ago for people bringing in recyclables from other states, and it was amazing the result. But that was the end of it I guess. I live in Barstow, Ca, where the inspectation station coming into california is located only a few miles away, My friend who works there said the inspectors are really bothered about the amount of this that comes into Calif. and there is nothing they can do even if they see it, no one has told them to stop or detain these trucks, about 4 a day, packed tight with aluminum from Nevada and elsewhere, that come through and cash this in and take it out of state, This is a lot of California money being stolen and no one is even trying to stop them. I don’t know if it would be up to the CHP to stop them and send them back out of state or arrest them, whatever, but in the meantime these people are freely coming here everyday and leaving with our money. What happened with the sting? Was that the end of it? It has not stopped but it seems this is one of those things that kind of falls between the cracks, so to speak, it is illegal, but with no one to enforce this, they can continue this daily, I guess forever, What agency is it up to to make sure the things turned in came from California, or even better to stop and not allow this to come into the state in the first place. These employees know what is happening, but have no power or authority to stop them as they go through the Agricultural Inspection. That is not their job so they do not have to do anything about this, or maybe they can’t do anything, For whatever reason, people are stealing California money, and we have the perfect way to stop then, but the inspection station has no authority like I said, Why doesn’t someone tell the inspectors they can detain and call the CHP at least. After all we go after anyone else who even jaywalks, and these people just do this and no one cares? it is sort of funny how they will not let any bugs into California, and that is regulated and done exactly like they are supposed to do, But, people can bring non food items into this state illegally and as long as it does not have “BUGS” they just drive right on in and steal our money, The bad part is we know this is happening and are powerless to even stop it, when doing so would be so easy if someone gave them the authority to simply make a phone call, If we don’t have enough CHP, maybe we need one more, If this is how California handles things, no wonder we are going broke…Alll the above ideas are good, but is anyone going to really do something or just talk about it, while day after day, these thieves continue their thing, These are mostly large UHaul or Box trucks, but there is a lot of money that can be made from one load of cans, There are at least 4 a day, sometimes more.and that is just coming in at this station. No telling how many come through the other stations in Calif, Just wanted to make a comment, and maybe someone who has the right connections, can do something about this, The inspectors would simply have to make a phone call and maybe record it, but no extra work for them really., Is there no one who does these things? How are they going to stop this, or are they?
Bill
posted on July 7th, 2009 at 10:18 pm
I think this is entrepreneurialism at its best! I live in California and I think this is great that these guys are taking advantage of an opportunity!
Recycling Fraud | Lincoln at Fairlane Town Center
posted on November 1st, 2009 at 1:14 pm
[...] More on this article. [...]
Bottle & can recycling in Las Vegas. - Nevada (NV) - Page 2 - City-Data Forum
posted on February 3rd, 2010 at 11:58 am
[...] them in. CA has the CRV, which is about 2.5 cents per container, IIRC. Of course, that would be illegal, so I would never recommend it. Just [...]
DJ
posted on February 10th, 2010 at 3:03 pm
Listen to you people… “smuggle” aluminum? Anyone believe in unintended consequences? Here’s a thought. If you don’t want people trucking aluminum cans into your state to collect a bounty, stop paying the bounty. Federal law for redemption value? Have you all lost total control of your common sense?
Michael Marks
posted on June 17th, 2010 at 10:29 am
I’m not a fan of a federal bill because it would take away some of the potential funding for the non-profit, Recycling for Food. We need the cash value of these cans to help people, and this would discourage people from supporting our mission.