...yeah they mention the Seinfeld episode, you hipsters...

Rampant recycling fraud is draining California cash

Fraud rings bring cans and bottles from other states and illicitly 'redeem' deposits that were never paid. And some private recycling centers might claim bigger reimbursements than they deserve.



Just over 8.5 billion recyclable cans were sold in California last year. The number redeemed for a nickel under California's recycling law: 8.3 billion.



That's a return rate of nearly 100%.



That kind of success isn't just impressive, it's unbelievable. But the recycling rate for certain plastic containers was even higher: 104%.



California's generous recycling redemption program has led to rampant fraud. Crafty entrepreneurs are driving semi-trailers full of cans from Nevada or Arizona, which don't have deposit laws, across the border and transforming their cargo into truckfuls of nickels. In addition, recyclers inside the state are claiming redemptions for the same containers several times over, or for containers that never existed.



The illicit trade is draining the state's $1.1-billion recycling fund. Government officials recently estimated the fraud at $40 million a year, and an industry expert said it could exceed $200 million. It's one reason the strapped fund paid out $100 million more in expenses last year than it took in from deposits and other sources.



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We have it in maine, and they make abig deal about it, but the amount returned is a good bit less then paid in so they stilll make a profit.

And profit is the reason for the program in the first place. Don't think for a minute that the legislators weren't told all about getting cash up front and only having to pay back a fraction of it "based on historical redemption rates".

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Yeah, THAT'S what is responsible for California being broke....

Hhhmmm...an abused government program... Nev'ah been done before

Criminals are always enterprising when it comes to criminal enterprise.



Put them in jail and give them cookies and snacks and that becomes currency to barter, gamble and steal.



The biggest criminals are still in Washington, DC.

Is it illegal?

The local recycler here is also the garbage collection company. That fucker has to be mobbed up.

Good - bottle deposits are a scam.

We all have recycle bins - the bottle deposit is nothing more than a way to fleece the consumer.

I thought this was going to be the story about organized crime collecting government subsidies to run recycling pick-up and processing programs, then just hauling all of the stuff to the landfill.

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At least the bottles/cans ARE being recycled.

Do you think the majority cares about that?

Fuck Commiefornia!

In HI, the homeless support themselves through recycling.  They have trash can/recycling bin routes that they walk during the day.  Better than begging I guess...
 

Small change to increase accuracy.

Time to start microstamping cans and bottles...they will; just wait.  

So paying out what people paid in is "draining the state".  I guess "recycling to save the planet" wasn't the reason they created the deposit then.  They created it to make money, just like what those evil corporations do.

Why can't California just fall into the ocean already?

But the State of California is paying more than they are inherently worth.  The nickel you pay, every time you purchase a Coca-Cola is a tax.......pure and simple.  Now some clever entrepreneurs have found a way to "tax" the state. Perfectly legal.  I don't see the problem.

Unintended consequences........the typical scenario following MOST .gov programs.

I can hardly wait to see what kind of legislation is proposed to "fix" this.

I like it as a kid I would look for bottles while riding my bike and would take them to the store to help pay for my coke when I was out of money