New legislation can be complicated. We've covered the basics on Cal Recycle's newest bill so you can prepare for the changes in the new year.

Wine Sold in California Will Be Impacted Next Year

The California wine industry is preparing for a significant change set to roll out in January 2024. With sustainability at the forefront of consumer and industry concerns, California has taken a bold step by implementing a new recycling bill that will substantially impact wineries across the state. SB 1013 was approved by Governor Gavin Newsome in 2023. The bill brings wine and distilled spirits into the California Beverage Container Recycling Program (BCRP) starting January 1, 2024.

Understanding the New Cal Recycling Bill

The primary objective of the Beverage Container Recycling Program is to attain an 80% recycling rate for aluminum, glass, plastic, and bimetal beverage containers sold within California, thereby diminishing the prevalence of littered beverage containers in the state. Starting in January 2024, wineries will be responsible for redemption payments on bottles sold. These redemption payment proceeds are then placed into the California Beverage Container Recycling Fund (Fund). This Fund distributes disbursements to consumers through California Refund Value (CRV) when they return empty beverage containers to officially certified recycling centers.

What Fees Can Wineries Expect for E-Commerce, Club, and POS Sales in California?

The fees are currently $0.05/container if less than 24 oz. $0.10/container for 24 oz or more. For the wine industry, this translates to paying $0.05 for 355ml cans and 375 ml bottles and $0.10 for 750ml and magnum bottles sold in California. Interestingly, passing along part or all of the CRV fees to customers is optional. If wineries choose to charge customers for the fee, it must be shown as a separate line item, and sales tax must also be paid on the fee.

Important Dates to Keep in Mind

January 1, 2024 - Wineries need to register with Cal Recycle. They need to collect and keep track of number of bottles, cans, etc. sold in California. 

March 1, 2024 - Wineries must start reporting those sales and paying CRV to Cal Recycle. 

July 1, 2025 - Wineries need to have a label on each bottle referring to CRV.‍

Explore VinesOS wine club software for better customer retention.

https://www.vinesos.com/blogs/is-the-new-cal-recycle-bill-over-your-head

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