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With law, recycling burdensome to businesses

Aaron Igdalsky

Issue date: 3/3/09 Section: Commentary
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Last week, the Connecticut General Assembly passed a bill expanding the existing five-cent deposit law to bottled water (previously, the nickel deposit only applied to carbonated beverages like soda, beer, etc.). Since the state gets to keep all of the deposits that are never redeemed, it is estimated that the new law will net an extra $13 million annually for the state's coffers. Though the addition of bottled water to the list of five-cent deposit items is rightfully being hailed by environmentalists as a step in the right direction towards increasing recycling, the new deposit policy is going to cause severe problems for many grocery stores, particularly small/independent establishments, who will now have to find a way to handle the imminent deluge of bottles. At a time when small businesses are feeling the economic pinch more than anywhere else, the last thing they need is an additional burden.

In the wake of a multi-billion dollar budget shortfall, our elected officials here in Connecticut are doing all they can to increase state revenue, and they are pursuing every possible avenue to accomplish that task. However, when one considers that the state budget is expected to be several billion dollars in the red for the next several years, the prospect of raising an additional $13 million per year is not, by any means, going to amount to anything significant financially. Adding a five-cent deposit had been debated in the General Assembly for many years in the past, and it always faced significant opposition because of its potentially devastating consequences for food and beverage retailers. Those very real concerns have now been overlooked in the quest to produce a relatively insignificant amount of revenue for the state.

As a former employee of a small, independent grocery store, I can attest to the extreme burden a water-bottle deposit will cause for small grocery stores. Many establishments do not have bottle and can return machines, which are extremely expensive and frequently require expensive maintenance. As such, those small establishments will be obligated to either purchase the costly machines, or hire additional employees to work bottle redemption. At a time when small businesses are struggling, the last thing they need is an additional expense like bottle machines.
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