Laws, Regulations and Annotations

Search

Business Taxes Law Guide—Revision 2024

Covered Electronic Waste Recycling Fee

Public Resources Code

Division 30. Waste Management
Part 3. State Programs
Chapter 8.5. Electronic Waste Recycling
Article 3. Covered Electronic Waste Recycling Fees and Covered Battery-Embedded Waste Recycling Fees

Section 42464


42464. Covered electronic waste recycling fees and covered battery-embedded waste recycling fee. (a) On and after January 1, 2005, or as otherwise provided by Section 25214.10.1 of the Health and Safety Code, a consumer shall pay a covered electronic waste recycling fee upon the purchase of a new or refurbished covered electronic device, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463 in the following amounts:

(1) Six dollars ($6) for each covered electronic device, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463, with a screen size of less than 15 inches measured diagonally.

(2) Eight dollars ($8) for each covered electronic device, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463, with a screen size greater than or equal to 15 inches but less than 35 inches measured diagonally.

(3) Ten dollars ($10) for each covered electronic device, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463, with a screen size greater than or equal to 35 inches measured diagonally.

(b) (1) On and after January 1, 2026, a consumer shall pay a covered battery-embedded waste recycling fee in an amount determined by CalRecycle pursuant to paragraph (3) upon the purchase of a new or refurbished covered electronic device, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463.

(2) Beginning on August 1, 2028, CalRecycle, in collaboration with DTSC, may establish more than one covered electronic waste recycling fee for covered battery-embedded waste recycling fee for covered electronic devices, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463, based on categories of covered battery-embedded products, as determined by CalRecycle in collaboration with DTSC.

(3) On or before October 1, 2025, and on or before October 1 each year thereafter, CalRecycle shall establish a covered electronic waste recycling fee based on the reasonable regulatory costs to administer covered electronic waste recycling. The fee shall be imposed upon the purchase of a new or refurbished covered electronic device, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463. The fee shall go into effect on January 1 of each calendar year after the fee is adopted. The maximum fee shall be adjusted annually based on the California Consumer Price Index as compiled and reported by the Department of Industrial Relations.

(c) Except as provided in subdivision (e), a retailer shall collect from the consumer a covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, at the time of the retail sale of a covered electronic device.

(d) (1) A retailer may retain 3 percent of the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, as reimbursement for all costs associated with collecting the fee and shall transmit the remainder of the fee to the state pursuant to Section 42464.4.

(2) If a retailer makes an election pursuant to paragraph (2) of subdivision (e), and the conditions of subparagraphs (A), (B), and (C) of paragraph (2) of subdivision (e) are met, the vendor, in lieu of the retailer, may retain 3 percent of the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, as reimbursement for all costs associated with collecting the fee and the vendor shall transmit the remainder of the fee to the state pursuant to Section 42464.4.

(e) (1) If a retailer elects to pay the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, on behalf of the consumer, the retailer shall provide an express statement to that effect on the receipt given to the consumer at the time of sale. If a retailer elects to pay the covered electronic waste recycling fee on behalf of the consumer, the fee is a debt owed by the retailer to the state, and the consumer is not liable for the fee.

(2) A retailer may elect to pay the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, on behalf of the consumer by paying the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, to the retailer’s vendor, but only if all of the following conditions are met:

(A) The vendor is registered with CDTFA to collect and remit the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, pursuant to this chapter.

(B) The vendor holds a valid seller's permit pursuant to Article 2 (commencing with Section 6066) of Chapter 2 of Part 1 of Division 2 of the Revenue and Taxation Code.

(C) The retailer pays the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, to the vendor that is separately stated on the vendor’s invoice to the retailer.

(D) The retailer provides an express statement on the invoice, contract, or other record documenting the sale that is given to the consumer, that the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, has been paid on behalf of the consumer.

(3) For the purpose of making the election in paragraph (2), if the conditions set forth in subparagraphs (A), (B), (C), and (D) of paragraph (2), are met, the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, is a debt owed by the vendor to the state, and the retailer is not liable for the fee.

(f) The retailer shall separately state the covered electronic waste recycling fee or covered battery-embedded waste recycling fee, as applicable, on the receipt given to the consumer at the time of sale.

(g) On or before August 1, 2005, and, thereafter, no more frequently than annually, and no less frequently than biennially, CalRecycle, in collaboration with DTSC, shall review, at a public hearing, the covered electronic waste recycling fee outlined in subdivision (a) and shall make any adjustments to the fee to ensure that there are sufficient revenues in the Covered Electronic Waste Recycling Fee Subaccount to fund the covered electronic waste recycling program, as related to covered electronic devices, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463 and the resulting covered e-waste, established pursuant to this chapter. Adjustments to the fee that are made on or before August 1, shall apply to the calendar year beginning the following January 1. CalRecycle shall base an adjustment of the covered electronic waste recycling fees on both of the following factors:

(1) The sufficiency, and any surplus, of revenues in the Covered Electronic Waste Recycling Fee Subaccount to fund the collection, consolidation, and recycling of covered electronic waste resulting from covered electronic devices, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463, and the resulting covered e-waste, that is projected to be recycled in the state.

(2) The sufficiency of revenues in the Covered Electronic Waste Recycling Fee Subaccount for CalRecycle and DTSC to administer, enforce, and promote the program established pursuant to this chapter, as related to covered electronic devices, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463 and the resulting covered e-waste, plus a prudent reserve not to exceed 5 percent of the amount in the Covered Electronic Waste Recycling Fee Subaccount.

(h) Following the setting of the covered battery-embedded waste recycling fee pursuant to paragraph (3) of subdivision (b), on or before August 1, 2027, and, thereafter, no more frequently than annually, and no less frequently than biennially, CalRecycle, in collaboration with DTSC, shall review, at a public hearing, the covered battery-embedded waste recycling fee outlined in subdivision (b) and shall make any fair and reasonable adjustments to the fee to ensure that there are sufficient revenues in the Covered Battery-Embedded Waste Recycling Fee Subaccount to fund the covered electronic waste recycling program established pursuant to this chapter related to covered electronic devices, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463, and the resulting covered e-waste. Adjustments to the fee that are made on or before August 1, shall apply to the calendar year beginning the following January 1. CalRecycle shall base an adjustment of the covered battery-embedded waste recycling fees on both of the following factors:

(1) The sufficiency, and any surplus, of revenues in the Covered Battery-Embedded Waste Recycling Fee Subaccount to fund the collection, consolidation, and recycling of covered electronic waste resulting from discarded covered electronic devices, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463, that is projected to be recycled in the state.

(2) The sufficiency of revenues in the Covered Battery-Embedded Waste Recycling Fee Subaccount for CalRecycle and DTSC to administer, enforce, and promote the program established pursuant to this chapter, related to covered electronic devices, as defined in subparagraph (B) of paragraph (1) of subdivision (g) of Section 42463, and the resulting covered e-waste, plus a prudent reserve not to exceed 5 percent of the amount in the Covered Battery-Embedded Waste Recycling Fee Subaccount.

History—Amended by Stats. 2004, Ch. 863 (SB 50), in effect September 29, 2004. Stats. 2005, Ch. 59 (AB 575), in effect July 18, 2005, designated existing subdivision (c) as paragraph (1); added paragraph (2) to subdivision (c); designated existing subdivision (d) as paragraph (1); added paragraph (2) to subdivision (d); added paragraph (3) to subdivision (d); inserted comma after "August 1" in second sentence of subdivision (f); and substituted "an" for "any" in third sentence of subdivision (f). Stats. 2022, Ch. 370 (SB 1215), in effect January 1, 2023, added "as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463" after "device" in subdivision (a); added ", as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463" after "device" in and paragraphs (1), (2) and (3) of subdivision (a); added new subdivision (b); relettered subdivisions (b) – (e) as subdivisions (c) – (f), respectively; substituted "(e)" for "(d)" after "subdivision" and added "or covered battery-embedded waste recycling fee, as applicable," after "recycling fee" in relettered subdivision (c); added "or covered battery-embedded waste recycling fee, as applicable," after "recycling fee", substituted "collecting" for "the collection of" in paragraph (1) of relettered subdivision (d); substituted "(e)" for "(d)" throughout the paragraph, added "or covered battery-embedded waste recycling fee, as applicable," after "recycling fee", substituted "collecting" for "the collection of" in paragraph (2) of relettered subdivision (d); added "or covered battery-embedded waste recycling fee, as applicable," after "recycling fee", throughout relettered subdivision (e); substituted "CDTFA" for "the State Board of Equalization" before " to collect" in subparagraph (A) of relettered subdivision (e); added "or covered battery-embedded waste recycling fee, as applicable," after "recycling fee" in relettered subdivision (f); substituted "CalRecycle" for "the board after "biennially,", substituted "DTSC" for "the department" after "collaboration with", added "outlined in subdivision (a)" after "recycling fee", substituted "Covered Electronic Waste Recycling Fee Subaccount" for "account" before "to fund", added ", as related … covered e-waste," before "established" in the first sentence of the first paragraph, substituted "CalRecycle" for "The board" before "shall", substituted "fees" for "fee" after "recycling" and deleted "the" before "both" in the second sentence of the first paragraph, substituted "Covered Electronic Waste Recycling Fee Subaccount" for "account" before "to fund", added "resulting from … resulting covered e-waste," after "waste" in paragraph (1) of relettered subdivision (g); substituted "Covered Electronic Waste Recycling Fee Subaccount" for "account" after "in the", substituted "CalRecycle" for "the board" after "for", substituted "DTSC" for "the department" before "to administer", added "as related to covered electronic devices, as defined in subparagraph (A) of paragraph (1) of subdivision (g) of Section 42463 and the resulting covered e-waste," after "this chapter,", and substituted "Covered Electronic Waste Recycling Fee Subaccount" for "account" before "." paragraph (2) of relettered subdivision (g); added subdivision (h).