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Amend the bill by inserting after section 1 the following:
‘Sec. 2. 38 MRSA §3106, sub-§7, as enacted by PL 2015, c. 166, §14, is amended to read:
 
7. Reimbursement of handling costs.   Reimbursement of handling costs is governed by this subsection.
 
A. In addition to the payment of the refund value, the initiator of the deposit under section 3103, subsections 1, 2 and 4 shall reimburse the dealer or local redemption center for the cost of handling beverage containers subject to section 3103, in an amount that equals at least 3¢ per returned container for containers picked up by the initiator before March 1, 2004, at least 3 1/2¢ for containers picked up on or after March 1, 2004 and before March 1, 2010 and, at least 4¢ for containers picked up on or after March 1, 2010 and before March 1, 2019 and at least 4 1/2¢ for containers picked up on or after March 1, 2019. The initiator of the deposit may reimburse the dealer or local redemption center directly or indirectly through a party with which it has entered into a commingling agreement.
 
B. In addition to the payment of the refund value, the initiator of the deposit under section 3103, subsection 3 shall reimburse the dealer or local redemption center for the cost of handling beverage containers subject to section 3103 in an amount that equals at least 3¢ per returned container for containers picked up by the initiator before March 1, 2004, at least 3 1/2¢ for containers picked up on or after March 1, 2004 and before March 1, 2010 and, at least 4¢ for containers picked up on or after March 1, 2010 and before March 1, 2019 and at least 4 1/2¢ for containers picked up on or after March 1, 2019. The initiator of the deposit may reimburse the dealer or local redemption center directly or indirectly through a contracted agent or through a party with which it has entered into a commingling agreement.
 
C. The reimbursement that the initiator of the deposit is obligated to pay the dealer or redemption center pursuant to paragraph A or B must be reduced by 1/2¢ for any returned container that is subject to a qualified commingling agreement that allows the dealer or redemption center to commingle beverage containers of like product group, material and size. A commingling agreement is qualified for purposes of this paragraph if the department determines that 50% or more of the beverage containers of like product group, material and size for which the deposits are being initiated in the State are covered by the commingling agreement or that the initiators of deposit covered by the commingling agreement are initiators of deposit for wine containers who each sell no more than 100,000 gallons of wine or 500,000 beverage containers that contain wine in a calendar year. Once the initiator of deposit has established a qualified commingling agreement for containers of a like product group, material and size, the department shall allow additional brands to be included from a different product group if they are of like material. The State, through the Department of Administrative and Financial Services, Bureau of Alcoholic Beverages and Lottery Operations, shall make every reasonable effort to enter into a qualified commingling agreement under this paragraph with every other initiator of deposit for beverage containers that are of like product group, size and material as the beverage containers for which the State is the initiator of deposit.
 
D. Paragraphs A, B and C do not apply to a brewer who annually produces no more than 50,000 gallons of its product or a bottler of water who annually sells no more than 250,000 containers each containing no more than one gallon of its product. In addition to the payment of the refund value, an initiator of deposit under section 3103, subsections 1 to 4 who is also a brewer who annually produces no more than 50,000 gallons of its product or a bottler of water who annually sells no more than 250,000 containers each containing no more than one gallon of its product shall reimburse the dealer or local redemption center for the cost of handling beverage containers subject to section 3103 in an amount that equals at least 3¢ per returned container for containers picked up before March 1, 2019 and at least 3 1/2¢ for containers picked up on or after March 1, 2019.
Sec. 3. Appropriations and allocations. The following appropriations and allocations are made.
 
ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF
 
Alcoholic Beverages - General Operation 0015
 
Initiative: Provides an allocation for reimbursement payments to agency liquor stores for the difference between the deposits on spirits purchased before March 1, 2019 and the refund value on those same purchases still unsold or returned after that date.

STATE ALCOHOLIC BEVERAGE FUND	2017-18	2018-19	
All Other	$0	$60,000	
			
STATE ALCOHOLIC BEVERAGE FUND TOTAL	$0	$60,000	

Alcoholic Beverages - General Operation 0015
 
Initiative: Provides an allocation for an increase in the rate of handling cost reimbursement paid by the initiator of deposit to a dealer or local redemption center.

STATE ALCOHOLIC BEVERAGE FUND	2017-18	2018-19	
All Other	$0	$147,000	
			
STATE ALCOHOLIC BEVERAGE FUND TOTAL	$0	$147,000	

ADMINISTRATIVE AND FINANCIAL SERVICES, DEPARTMENT OF			
DEPARTMENT TOTALS	2017-18	2018-19	
			
STATE ALCOHOLIC BEVERAGE FUND	$0	$207,000	
			
DEPARTMENT TOTAL - ALL FUNDS	$0	$207,000	
 
Sec. 4. Effective date. That section of this Act that repeals and replaces the Maine Revised Statutes, Title 38, section 3103, subsection 4 takes effect March 1, 2019.’
 
SUMMARY
This amendment, which is a minority report of the committee, amends the bill as follows:
1. It retains the provision of the bill that creates a uniform refund value of not more than 5¢ for all wine and spirits containers but provides that this uniform refund value does not take effect until March 1, 2019;
2. Effective March 1, 2019, it increases by 1/2¢ the per container handling fee to be paid by an initiator of deposit to a dealer or local redemption center; and
3. It adds an appropriations and allocations section.
FISCAL NOTE REQUIRED
(See attached)