The Observer. (La Grande, Or.) 1968-current, November 12, 2020, Page 16, Image 16

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    8A — THE OBSERVER
THURSDAY, NOVEMBER 12, 2020
STATE
State audit recommends diverting unclaimed Bott le Bill funds
absorb that, and they would
have to pass it on to their
customers. All in all, it
would mean the end of the
BottleDrop system as we
know it and that Orego-
nians have come to rely on,”
he said.
The cooperative, which
By Michael Kohn
Oregon Capital Bureau
EO Media Group/Colin Murphy, File
A recycling bin full of glass products sits among several
for public use at the Astoria Transfer Station on July 24,
2018. State auditors say Oregon has a chance to collect
more deposits from bottles and cans and use the money
for environmental and recycling programs.
Hospitalizations
skyrocket in Oregon
By Brad Schmidt
The Oregonian
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into the system.
“If the state had taken all
those unredeemed deposits,
it would have increased
costs in the system by 69%
for our members,” said
Bailey. “Frankly, our mem-
bers would not be able to
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SALEM — Oregon’s
battle to slow coronavirus
fell further behind over the
weekend by virtually every
key metric, with average
daily cases, hospitalizations
and test positivity rates
climbing to record levels.
The Oregon Health
Authority on Monday, Nov.
9, reported four new deaths
and 723 coronavirus cases,
pushing the state’s daily
average from the past week
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Active hospitalizations
skyrocketed to 269. And
Oregon’s test positivity rate
from over the weekend was
a concerning 14.4%.
Each indicator has nearly
doubled from two weeks
ago, underscoring a trou-
bling trajectory that shows
no sign of stalling.
What’s more, the rate
of transmission appears to
be increasing, with Oregon
ranking sixth and ninth
highest in the country,
according to coronavirus
tracking websites previ-
ously cited by the state
health authority.
Hoping to slow spread,
Gov. Kate Brown on Friday
announced a two-week
“pause” on social gath-
erings in Multnomah,
Marion, Jackson, Umatilla
and Malheur counties, and
Monday added Washington,
Clackamas, Baker and
Union counties.
But with infections
already circulating, and the
new restrictions not going
into effect until Wednesday,
the state likely is poised
to see more infections and
hospitalizations ahead.
Throughout the pan-
demic, Oregon has
recorded fewer cases
and deaths per capita
than almost any state in
America. The state’s latest
upswing mirrors surging
cases and hospitalizations
across the country.
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TY
deemed deposits were col-
lected last year by beverage
distributors. Bryant Haley,
alcohol spokesperson for
the state’s Liquor Control
Commission, said most of
that went to the Oregon
Beverage Recycling Coop-
erative, and the remaining
funds were collected by
other distributors.
Of the 10 states that have
a bottle bill, eight collect
unredeemed deposits to
support environmental pro-
grams or the general fund.
The state auditors also rec-
ommended expanding the
scope of the bottle bill to
include wine and liquor
sales.
“Oregon has an oppor-
tunity to enhance state
revenues by adopting the
practices of other states by
collecting unredeemed con-
tainer deposits,” according
to the audit. “Natural
resource programs are
facing budget shortfalls
and unredeemed containers
could help solve some of the
gap.”
The cooperative, which
operates the Bottle Drop
recycling centers, is largely
funded by the current
system and has the most at
stake if changes are made
to the way unredeemed
deposits are handled.
Around 10% of bottles are
not redeemed, according to
the cooperative.
In 2019 the recycling
cooperative had a $44 mil-
lion budget and received
$18.2 million in funding
from unredeemed deposits
in Oregon, said Jules
Bailey, chief steward-
ship offi cer for the recy-
cling co-op. That shortfall
required co-op members
to pay nearly $26 million
fornia just announced their
redemption rate has fallen
to almost 60%. As a result,
other states are looking
to copy Oregon’s success
and program, not the other
way around,” according
to a statement from the
cooperative.
N
SALEM — Orego-
nians recycle lots of bot-
tles and cans, but those
that are picked up curb-
side, or are just lost, are
never redeemed for their
deposit. State auditors now
say Oregon has a chance to
collect those deposits and
use the money for envi-
ronmental and recycling
programs.
That’s according to
the report the Secretary
of State’s Audits Division
issued Tuesday, Nov. 10,
which called for a mod-
ernization of the ground-
breaking Bottle Bill, pro-
duced nearly 50 years ago.
Those deposits could add
tens of millions of dollars to
the state’s budget.
Under the current
system, beverage distrib-
utors keep unredeemed
deposits. The proposed
changes would allow the
state to collect the deposits
as uncollected property —
a potential boon for govern-
ment environmental pro-
grams but at the same time
a fi nancial hit for beverage
distributors.
The changes stem from
Oregon’s bottle bill, a land-
mark program developed in
1971 to help combat ram-
pant litter piling up in for-
ests and along highways.
Lawmakers at the time saw
the idea of a deposit as the
best incentive to get Ore-
gonians to return their cans
and bottles.
The 5-cent deposit per
can was signifi cant in 1971,
when a six-pack of beer cost
around $1.05, or about 39%
of the sales price. A six-
pack of beer today averages
around $10, so the existing
10-cent deposit per can rep-
resents only around 6% of
the sales price.
Nine other states and
British Columbia have since
followed Oregon in imple-
menting their bottle deposit
rules.
But Oregon is facing
budget cuts in upcoming
years, according to the
audit, and it recommends
the Oregon Liquor Control
Commission work with the
unclaimed property division
to pursue unclaimed prop-
erty related to the Bottle
Bill.
According to the state
audit, $30.6 million in unre-
has more than 200 mem-
bers, argues states that
claim unredeemed deposits
achieve less success com-
pared to Oregon, with lower
can and bottle return rates.
“Most of those systems
are struggling, with return
rates below 70%. Cali-
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