2017 ORS 459A.718¹
Distributor cooperatives
  • requirements
  • compliance
  • rules

(1) Two or more distributors or importers may establish a distributor cooperative for the purposes of:

(a) Collecting the refund value of beverage containers specified in ORS 459A.705 (Refund value) from distributors or importers and refunding to dealers the amount the dealers paid for the refund value of empty beverage containers;

(b) Paying the refund value specified in ORS 459A.705 (Refund value) for beverage containers sold in this state; and

(c) Processing beverage containers sold in this state.

(2) A distributor cooperative established under this section must service a majority of the dealers in this state.

(3) If a distributor cooperative is established, a dealer that uses the distributor cooperative to redeem and process beverage containers sold in this state is not required to return beverage containers to a distributor or importer that does not participate in the distributor cooperative, provided that the dealer or the distributor cooperative provides an accounting to the distributor or importer of the beverage containers by brand and kind that were distributed by the distributor or importer and subsequently redeemed by the dealer or distributor cooperative.

(4) Upon receipt of the accounting required by subsection (3) of this section, a distributor or importer that does not participate in the distributor cooperative must pay the refund value of the redeemed beverage containers specified in the accounting to the dealer or distributor cooperative that provided the accounting.

(5)(a) For purposes of this subsection, beverage container return data is the number of beverage containers returned for the refund value specified in ORS 459A.705 (Refund value) in Oregon during the calendar year and the number of beverage containers that carry a refund value specified in ORS 459A.705 (Refund value) sold in Oregon during the calendar year, calculated separately.

(b) By July 1 of each calendar year, a distributor cooperative shall provide the Oregon Liquor Control Commission with a report that lists, in aggregate form for all distributors and importers that participate in the distributor cooperative, the previous calendar year’s beverage container return data, calculated separately for glass, metal and plastic beverage containers.

(c) By July 1 of each calendar year, a distributor or importer that does not participate in a distributor cooperative shall provide the commission with a report that lists the distributor’s or the importer’s beverage container return data for the previous calendar year, calculated separately for glass, metal and plastic beverage containers.

(6)(a) By August 1 of each calendar year, using the beverage container return data provided in subsection (5)(b) of this section, the Oregon Liquor Control Commission shall calculate the previous calendar year’s percentage of beverage containers returned for the refund value specified in ORS 459A.705 (Refund value) for each distributor cooperative. The commission shall carry out the calculation separately for glass, metal and plastic beverage containers and shall post the percentages on the commission’s website.

(b) By August 1 of each calendar year, using the beverage container return data provided in subsection (5)(c) of this section, the commission shall calculate the previous calendar year’s percentage of beverage containers returned for the refund value specified in ORS 459A.705 (Refund value) for each distributor or importer that does not participate in a distributor cooperative. The commission shall carry out the calculation separately for glass, metal and plastic beverage containers and shall post the percentages on the commission’s website.

(c) By August 1 of each calendar year, using the beverage container return data provided in subsection (5)(b) and (c) of this section, the commission shall calculate the previous calendar year’s percentage of beverage containers returned for the refund value specified in ORS 459A.705 (Refund value) for all distributors and importers in Oregon. The commission shall carry out the calculation for all beverage containers, and separately for glass, metal and plastic beverage containers, and shall post the percentages on the commission’s website.

(d) Except for the percentages described in paragraphs (a) to (c) of this subsection or in a proceeding under ORS 459A.717 (Civil penalties) for a violation of subsection (5) of this section, the commission may not disclose any information provided by a distributor, an importer or a distributor cooperative under subsection (5) of this section.

(7)(a) In order to determine compliance with the provisions of subsection (5) of this section, within six months of the date that the commission receives a report described in subsection (5)(b) and (c) of this section, the commission may review or audit the records of each reporting distributor cooperative, or each reporting distributor or importer that does not participate in a distributor cooperative.

(b)(A) If in the course of a review described in paragraph (a) of this subsection the commission determines that an audit of a distributor cooperative, distributor or importer is necessary, the commission shall require the distributor cooperative, distributor or importer to retain an independent financial audit firm to determine the accuracy of information contained in the report. The distributor cooperative, distributor or importer that is the subject of review shall pay the costs of the audit. The audit must be limited to the records described in paragraph (a) of this subsection.

(B) The commission shall adopt rules to carry out the provisions of this paragraph. [2012 c.100 §2; 2013 c.157 §4]

(formerly 459.810 to 459.890)

Notes of Decisions

The “bottle bill” is a valid exercise of Oregon’s police power and is valid under the U.S. Constitu­tion and the Oregon Constitu­tion. Am. Can Co. v. Ore. Liquor Control Comm., 15 Or App 618, 517 P2d 691 (1973)

Atty. Gen. Opinions

Effect of constitu­tional pro­vi­sion requiring pay­ments based on govern­ment regula­tions restricting use of prop­erty, (2001) Vol 49, p 284

Law Review Cita­tions

53 OLR 479-482 (1974); 4 EL 419-427 (1974); 54 OLR 175 (1975)

(formerly 459.165 to 459.200)

Law Review Cita­tions

15 EL 387 (1985)

1 Legislative Counsel Committee, CHAPTER 459A—Reuse and Recycling, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ors459A.­html (2017) (last ac­cessed Mar. 30, 2018).
 
2 Legislative Counsel Committee, Annotations to the Oregon Revised Stat­utes, Cumulative Supplement - 2017, Chapter 459A, https://­www.­oregonlegislature.­gov/­bills_laws/­ors/­ano459A.­html (2017) (last ac­cessed Mar. 30, 2018).
 
3 OregonLaws.org assembles these lists by analyzing references between Sections. Each listed item refers back to the current Section in its own text. The result reveals relationships in the code that may not have otherwise been apparent.