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<br /> The Program will be largely impacted when the State's Beverage Container Deposit <br /> Program is implemented on January 1, 2005 as it is anticipated that 65% of the glass <br /> containers currently covered by the Glass ADF Recycling Program are eligible deposit <br /> containers under this new law. Therefore, after FY 2004-05, the amount of funds <br /> available to Counties to administer Glass ADF Recycling Programs will be reduced to <br /> approximately 35% of current levels as the eligible glass beverage containers (glass <br /> containers 64 fluid ounces or less containing beer, soda, juice, water, tea, or coffee) are <br /> expected to be handled under the Beverage Container Deposit Program wherein <br /> recycling vendors operating redemption centers will be reimbursed $0.03 per eligible <br /> container (approximately $0.06 per pound for eligible glass containers). <br /> Paragraph 8 of the Scope of Service relating to the Program states that the County is to <br /> pave the equivalent of two (2) miles of roadway. It has been difficult to acquire <br /> cooperation from either of this County's two major suppliers of road paving material on a <br /> demonstration glasphalt project since incorporating glass aggregate into a hot asphalt <br /> mix requires production modifications that impact regular scheduled orders. With <br /> construction projects queuing up due to a high level of construction activity, there is <br /> currently little interest in pursuing a demonstration project. Since none of the glass <br /> recycled in the County under this year's Program was shipped off-island and all was <br /> used for local private construction projects, the County feels it is complying with the <br /> intent of the Program guidelines to establish viable local markets for recycled glass <br /> through developing new end uses. Until the supply of crushed glass exceeds the local <br /> demand for the product as a substitute for construction aggregate and landscape cover, <br /> additional demonstration projects do not appear necessary. <br /> The next fiscal year will present new challenges in order to continue to increase <br /> diversion rates through a combination of the Program and the mid-year implementation <br /> of the Beverage Container Deposit Program. Uncertainties regarding the future of the <br /> "Bottle Bill" as it is known, which persisted until June 2004, have made it difficult for both <br /> the State DOH and the Counties to properly assist the recycling industry in preparing for <br /> implementation of a new program. It is anticipated that although recycling vendors who <br /> choose to operate redemption centers will receive less per pound ($0.06) for eligible <br /> beverage deposit glass containers over the amount previously received through the <br /> Glass ADF Recycling Program ($0.10 - FY 2003-04), participation in the State's <br /> Beverage Container Deposit Program will be more lucrative as costs will be off-set by <br /> higher profits in recycling aluminum beverage containers. Currently there are no <br /> government subsidies paid for aluminum recycling, which has value in recycling <br /> commodity markets. Under the State's new Beverage Container Deposit Program, over <br /> one-half of the eligible containers are expected to be aluminum cans and the handling <br /> fee paid to redemption center operators will be $0.03 on each eligible aluminum, glass, <br /> or plastic container. <br /> 4 <br /> <br />