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LAO Report: BCRF Projected to Be Insolvent in 2014-15, Absent Corrective Action

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In a report dated April 11, 2012, the California Legislative Analyst's Office (LAO) presented an "Overview of the Beverage Container Recycling Fund." The report highlights the continuing structural deficit in the Beverage Container Recycling Fund (BCRF) and states that the "BCRF’s reserves will ultimately be depleted, and the fund is projected to face insolvency in 2014-15, absent corrective action."

According to the LAO, the "breakeven" recycling rate "where expenditures equal revenues is about 72 percent. The recycling rate has increased from 58 percent in 2003-04 to 85 percent in 2010-11."

The report states that although "the BCRF is currently operating with a structural deficit (operating expenditures exceed revenues by around 12 percent)", it remains solvent mainly "due to the repayments of loans made from BCRF to the General Fund."

You can find the full report at 

Mandatory Commercial Recycling regulation update

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This just in from CalRecycle:

Climate Change

As you know, CalRecycle and the Air Resources Board (ARB) had intended to address the proposed Mandatory Commercial Recycling regulations at the ARB meeting on Oct. 20-21, 2011, where ARB was to hold a public hearing to consider adoption of the proposed regulations.

However, as a result of Assembly Bill (AB) 341 being signed into law by Governor Brown on Oct. 6, 2011, please be advised that this public hearing on the proposed regulations has been cancelled.

Instead, at the same Oct. 20-21 ARB meeting, CalRecycle and ARB will present an informational item on our collaborative efforts to date, the new direction resulting from enactment of AB 341, and CalRecycle's plans to implement AB 341's mandatory commercial recycling provision. This informational item also will include discussion of opportunities to expand recycling services and recycling manufacturing in California, and of future collaboration with ARB on other AB 32 Scoping Plan measures.

AB 341 provides authority to CalRecycle to implement the mandatory commercial recycling program, and as a result, the department will commence its own rulemaking to implement the statute. These regulations will reflect the statutory provisions and provide additional procedural clarifications.

Because of the extensive stakeholder input received at eight public workshops and numerous stakeholder meetings over the past two years, CalRecycle plans to initiate the formal rulemaking with a 45-day comment period beginning in early November and a subsequent public hearing. The exact timing will depend on our ability to submit a new regulatory package to the Office of Administrative Law (OAL) and receive its approval to begin the rulemaking.

We look forward to starting this rulemaking as quickly as possible and to receiving your continued input and support during the process, which will include additional public hearings and 15-day comment periods as needed. To stay updated on this, please be sure to sign up for our listserv and visit our web page at

Once the final regulation is adopted by CalRecycle and approved by OAL, CalRecycle will provide guidance to jurisdictions and businesses in the form of frequently asked questions (FAQs), workshops, and consultations as needed. CalRecycle also will provide tools such as sample educational outreach materials developed in conjunction with the Institute for Local Government, as well as CalRecycle's Commercial Recycling Cost Calculator.

For more information, please contact CalRecycle's Mandatory Commercial Recycling Team at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

Legislative Update - ACRI Opposes AB 950

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ACRI has joined a coalition of small and large employers throughout California opposing AB 950 (Perez-D & Swanson-D). AB 950 mandates that for purposes of state employment law, a drayage truck owner/operator would be deemed an "employee" rather than an independent "contractor." AB 950 would lead to the loss of hundreds of small businesses and will increase already high unemployment rates and the cost of goods throughout California.

Click here to view ACRI's letter in opposition to AB 950.

ACRI will continue to track AB 950 and provide updates. If you would like to submit a letter opposing AB 950 feel free to use language included in the ACRI opposition letter, on your company letterhead. Please fax the letter to the California State Assembly Committee on Labor and Employment at (916) 319-2191.

Legislative Update - ACRI Supports AB 712

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ACRI is supporting AB 712 (Williams-D).  AB 712 recognizes the critical need for recycling facilities to be easily accessible in all communities.  If California is to be successful in meeting its current recycling/diversion requirements, every effort must be made to ensure that the appropriate level of recycling collection facilities are zoned and approved.

Legislative Update - ACRI Opposes AB 508

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ACRI is opposing AB 508 (Swanson-D).  AB 508 would prevent bid-winning companies from retaining existing employees when providing contract services.  Such an action unfairly penalizes those employees who have a long standing relationship with a company that is awarded a public bid - placing jobs at risk.  At a time when our state is facing an unprecedented high unemployment level, AB 508 translates into additional job losses in California.

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