§ 25-17-505 — Carryout bag fee - disposition of money

Colorado § 25-17-505

• Jurisdiction: Colorado
• Title 25: Public
• Art.: Waste Diversion and Recycling

Text

(1) Repealed.

(2) (a) On and after January 1, 2024, a store may provide a customer with one
or more recycled paper carryout bags at the point of sale only if the customer pays
a carryout bag fee of ten cents per recycled paper carryout bag, or a higher fee if a
municipality or county in which the store is located raises the fee amount by
ordinance or resolution. For each carryout bag fee collected pursuant to this
subsection (2), the store shall:

(I) Remit, in accordance with subsection (3)(d) of this section, sixty percent to
the municipality within which the store is located or, if the store is not located
within a municipality, to the county within which the store is located, which
municipality or county shall use the remitted fee to pay:

(A) Its administrative and enforcement costs incurred as a result of this
section; and

(B) For any recycling, composting, or other waste diversion programs and
related outreach and education activities; and

(II) Retain forty percent, which portion of the fee does not count as revenue
for the purpose of calculating sales tax.

(b) The carryout bag fee set forth in subsection (2)(a) of this section does not
apply to a customer that provides evidence to the store that the customer is a
participant in a federal or state food assistance program.

(c) Repealed.

(3) In providing carryout bags for a fee pursuant to this section, a store shall:

(a) For each customer provided a carryout bag for a fee, provide on the
customer's transaction receipt a record of the number of carryout bags provided as
part of the transaction and the total amount of fees charged for the carryout bags
provided, itemized by type of carryout bag;

(b) Not refund to the customer any portion of the carryout bag fee, either
directly or indirectly, or advertise or otherwise convey to customers that any portion
of the carryout bag fee will be refunded;

(c) Conspicuously display a sign in a location inside or outside the store,
which sign alerts customers about the carryout bag fee; and

(d) (I) On a quarterly basis, remit from the total amount of carryout bag fees
collected in the previous quarter the amount that is owed to the municipality or
county:

(A) To the finance department or division or equivalent agency of the
municipality within which the store is located; or

(B) If the store is not located within a municipality, to the finance department
or division or equivalent agency of the county within which the store is located.

(II) A store need not remit carryout bag fees collected in any quarter in which
the collected fees total less than twenty dollars. The store shall retain those
collected fees until the store has more than twenty dollars worth of collected fees
to remit and shall remit those fees as part of the next quarterly remittance.

(III) If a municipality or county has not established a process to accept fees
remitted pursuant to subsection (3)(d)(I) of this section, the store shall retain and
use the portion of the fees collected in the previous quarter that would have been
remitted to the municipality or county for the purposes listed in subsections
(1)(a)(I)(B) and (2)(a)(I)(B) of this section and to purchase reusable bags.

Legislative History

Source: L. 2021: Entire part added, (HB 21-1162), ch. 440, p. 2913, � 2, effective July 6. L. 2023: IP(3)(d)(I) amended and (3)(d)(III) added, (HB 23-1285), ch. 295, p. 1771, � 1, effective June 1.