Bottle bill states and how they work

Currently, 10 states throughout the U.S. have bottle bills (legislation for deposit return schemes for drink container recycling) in place. Learn more about how these bottle bill states work, the scope of containers included, and the results they have achieved.

Bottle bills, also known as container deposit return laws, are the practice of adding a small deposit on top of the price of a beverage. This is repaid to the consumer when the empty can or bottle is returned to a retailer or redemption center for recycling. Think of it as buying the beverage, and borrowing the packaging. By giving people an incentive to return their recyclables, this method has been proven to reduce litter and increase the recycling rates of containers.

Currently, 10 states throughout the U.S. have a bottle bill: California, Connecticut, Hawaii, Iowa, Maine, Massachusetts, Michigan, New York, Oregon, and Vermont. In 1953, Vermont became the first state to pass a bottle bill, which prohibited the sale of beer in non-refillable bottles. While this law differed from bottle bills as we know them today, it raised awareness of litter, conservation and waste management issues. In 1971, Oregon became the first state to pass a bill that required all beer and soft drink containers to have refundable deposits as a litter-control measure.

Check out the below infographic to learn more about how the bottle bill works in each state.

Bottle bill states infographic

Bottle bill states' results and impact

Bottle bills are known for reaching 90%+ return rates among eligible containers. For example, Michigan’s average return rate since 1990 has been 93%.* Today, Oregon, Maine and Michigan have the highest return rates of the U.S. bottle bill states, achieving 87%, 77% and 73% respectively. This is largely attributed to the higher 10-cent deposit in Oregon and Michigan, which offers a compelling incentive to return used beverage containers. Michigan’s return rate dropped significantly since the pandemic when redemption was banned by the state for several months whereas other states only limited redemption in minor ways. 

On the other end of the spectrum, Massachusetts achieves a 43% redemption rate. Experts attribute this to the low five-cent deposit value relative to local consumer’s purchasing power, and an underfunded redemption system. In recognition of similar issues, Connecticut recently voted to overhaul its system, including updating the deposit value from 5 to 10 cents. Within the first six months of the change, the number of returned containers increased by 30% year over year. 

In terms of the percentage of beverage containers sold in the state that are eligible for a cash deposit refund, Maine's bottle bill covers 93% of all beverage containers sold, giving the consumer a vast range of containers to recycle. This contrasts with Massachusetts, where 41% of containers sold in the state are eligible for a deposit refund.

To take a deeper dive into how high-performing deposit systems operate around the world, download TOMRA’s free whitepaper, Rewarding Recycling.

*Return rate = the number of containers returned for the deposit refund divided by the number of containers sold that are eligible for a deposit refund. A return rate is also referred to as a “redemption rate”.

TOMRA has over 50 years' experience in deposit return systems, working in 40 deposit markets, in every part of the value chain. With approximately 85,000 installations across 60+ markets, TOMRA’s reverse vending machines capture over 46 billion used drink containers each year for recycling.