Bill
SB 901
Maryland shifts packaging and paper recycling costs to producers through producer responsibility plans to fund collection, processing, and outreach.
Chapter 431 (2025)
Summary
SB 901 establishes a comprehensive extended producer responsibility (EPR) framework in Maryland for packaging and paper products. The law requires producers (individually or through a producer responsibility organization, “PRO”) to submit and implement approved producer responsibility plans to shift financial and operational responsibility for collection, recycling, organics recovery, and related outreach from local governments to producers. The Act also strengthens Maryland Department of the Environment (MDE) oversight, requires periodic statewide recycling needs assessments, and sets registration, reporting, and enforcement requirements.
Purpose and intent
- Minimize environmental and human‑health impacts of packaging.
- Increase recycling rates and recycled content; modernize recycling and waste systems.
- Make producers financially responsible for infrastructure investments and reimburse local governments/service providers for covered-material costs.
Key provisions
- Applicability: Covers “covered materials” — packaging and paper products sold, offered for sale, imported, or distributed in Maryland (with specified exemptions, e.g., certain medical/infant formulas, certain federally regulated products, refillable LPG containers, some newsprint/magazine products; full list in statute).
- Producer definition: Generally includes brand owners, manufacturers, importers, and entities responsible for placing packaging or paper products into the State market (including e‑commerce sellers). Certain entities are excluded (state/federal agencies, political subdivisions, registered 501(c)(3)/(c)(4) charities, de minimis producers — <1 ton introduced or global revenues < $2 million, specified mills, small in‑state food businesses, single-location retailers with no online sales, etc.).
- Plans and timing:
- PROs must begin annual registration with MDE July 1, 2026.
- Each producer (or PRO on behalf of producers) must submit a producer responsibility plan to MDE by July 1, 2028 (or develop an approved alternative collection program where allowed).
- Once MDE sets an implementation date, producers may not sell, offer, distribute, or import covered materials into Maryland unless an approved plan is on file.
- Approved plans must be implemented within a statutorily required timeframe after approval (statute/regs specify timing).
- MDE duties:
- Develop a statewide list of covered materials (with a producer petition/exemption process).
- Review and approve plans (in consultation with the Producer Responsibility Advisory Council) and adopt implementing regulations.
- Require PROs to pay certain MDE costs related to plan review/oversight.
- Require registration of certain service providers and create enforcement mechanisms; allow local governments/service providers to seek reimbursement from responsible producers for transport/collection/processing costs.
- Statewide recycling needs assessment: Office of Recycling must hire an independent contractor to perform a statewide recycling and reuse needs assessment (report due by July 30, 2034 and every 10 years thereafter) covering waste/recycling streams, infrastructure capacity, labor conditions, equity and economic opportunity, and costs/benefits of EPR.
Who is affected
- Producers: brand owners, manufacturers, importers, online/e‑commerce sellers, and PROs.
- Service providers: local governments, haulers, materials recovery facilities (MRFs), composting/processing facilities.
- Consumers and businesses: potential cost impacts via producer fees, changes to collection systems, and product design incentives.
- Small businesses: may be meaningfully affected; some narrow exclusions provided.
Fiscal and procedural highlights
- Enacted: Signed by Governor May 29, 2025; effective September 1, 2025 (Chapter 431).
- Implementation deadlines: PRO registration starts July 1, 2026; plan submissions due July 1, 2028; MDE to set date after which sales require approved plans.
- Fiscal note (Department of Legislative Services): Special fund expenditures rise by about $212,800 in FY2026 and by larger amounts in later years to staff and contract costs; special fund revenues increase ($667,000 in FY2026) from fees charged to PROs/producers. State expenditures across funds may increase beginning FY2029; local government finances may be affected (likely not before FY2029).
Regulatory and enforcement
- MDE must adopt implementing regulations and may enforce compliance (including prohibitions on sales without approved plans and reimbursement obligations).
- The statute preserves local authority to sell recycled materials and to make recycling infrastructure decisions; it does not prevent a separate beverage container deposit program.
For full statutory language, implementing regulations, and lists of covered/exempt materials, consult the enacted Chapter 431 (2025) and subsequent MDE rulemaking.
Compiled from official sources — confirm details with the bill’s official record.
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