THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST WPA TODAY THE NEWSLETTER OF THE WESTERN PLASTICS ASSOCIATION

WWW.WESTERNPLASTICS.ORG APRIL 2018

WPA CONFERENCE HIGHLIGHTS: INTERNATIONAL TRADE ATTORNEY TO DISCUSS NAFTA, TRUMP TRADE POLICIES

The WPA Annual Conference is Orava’s speech will be timely and ment on Subsidies and Counter- quickly approaching and we’re provide a dynamic look at what vailing Measures, the General pleased to welcome renowned is happening in DC and around Agreement on Tariffs and Trade, Steve Orava, featured speaker at WPA’s Annual DC trade attorney Steve Orava the world: the Agreement on Agriculture, as a featured speaker. Steve is the Agreement on Technical Conference, May 2018. Trade and Trump–What are the a partner at the Washington, DC Barriers to Trade and the objectives underlying the Admin- law firmKing & Spalding and Anti-Dumping Agreement. istration’s trade policy? Chair of the firm’s International In addition, Steve advises clients Trade practice. Deploying Old Instruments for in anti-dumping, countervailing New Policy–How is the Trump Our Annual Conference is being duty (anti-subsidy) and safeguard Administration using old trade held at The Lodge at Sonoma proceedings in Australia, Brazil, instruments to implement its May 21–23. Last year’s confer- China, the EU, India, Mexico, objectives? ence drew a great crowd, and the U.S. and other countries in a this year’s conference may hit Trade Negotiations–What is the broad range of sectors, including an all-time record. Hotel rooms status of ongoing (re)negotia- chemicals, steel, textiles, agricul- are filling up quickly and the tions of NAFTA and other trade ture and high-tech products. deadline for making your hotel agreements? Steve is Co-Chair of the Board of reservation is April 30. Early-bird Orava focuses on international Advisors for the Georgetown Uni- IN THIS ISSUE: reservation ends May 7. [See trade and related regulatory and versity Law Center’s Institute for page 2 for agenda and reserva- policy matters, including litigation Conference Speaker 1 International Economic Law, and tions information.] and enforcement, and represents a frequent author and speaker WPA Annual Conference 2 Other speakers and relevant clients in a wide range of trade at international trade and WTO President’s Report 3 topics are also on the agenda: disputes. He advises clients on seminars worldwide. He has WPA Pacific Northwest 4 Reusable Bag Law, Enforcement international trade, markets, been recognized as a leading Marine Debris 5 and Implementation; Ecommerce investment, climate change and practitioner in international trade other regulatory/policy matters. by Chambers USA, Chambers Recycling 15 Packaging; Sustainable Flexible Packaging; PCR and Plastic Ma- Steve has substantial experience Global, Legal 500 U.S., Legal 500 Sustainability 20 rine Debris; Extended Producer with market access and dispute Switzerland, Who’s Who Legal Bags 26 Responsibility–Europe and Can- settlement proceedings under Trade and Customs and others. Legislation 38 ada; and other great topics. the various agreements of the In 2012, Steve was given the inaugural MVP award for Interna- Member News 63 With the new administration World Trade Organization, with tional Trade by Law360. proposals on trade and tariffs, a particular focus on the Agree- • 1 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

WPA Annual Conference May 21–23, 2018 Sonoma, California Join us again in California’s beautiful wine country for a fun-filled getaway • The Lodge at Sonoma Renaissance Resort & Spa • 1325 Broadway, Sonoma, Califormia

Since 2014, support for this conference has grown every year and is a “Must Attend” meeting filled with timely, pertinent information and great opportunities.

Monday, May 21 5:30 pm Early Opening Reception (leaving you time to make your own dinner plans)

Tuesday, May 22 8–11:30 am Conference Program Noon–6 pm On your own: Golf, Wine Tasting, Relaxation 6 pm Reception and Dinner Program

Wednesday, May 23 8:30 am–Noon Conference Program

EARLY-BIRD REGISTRATION ENDS MAY 7, SO REGISTER SOON!

REGISTER ONLINE NOW > BOOK YOUR ROOM ONLINE >

Or call / email Amy Quist to register: Rooms and special rates are limited: room cut-off April 30. [email protected] | 916.930.1938 Note: The resort fee will be $15 per day, not the $32 displayed on the online reservation confirmation.

For Sponsorship Opportunities, contact Amy Quist at the WPA office: 916.930.1938.

2 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

PRESIDENT’S REPORT: THERE’S HOPE WE CAN HALT AND REVERSE THE MARINE DEBRIS PROBLEM IN THE NEAR FUTURE

Last month I was able to attend I mention this because it gives • Remember that the land and CalRecycle’s monthly meeting me hope that we will be able sea, no matter where you are, to address a number of issues to halt and reverse the growing are connected. John Picciuto, President including regulations for the marine debris problem in some of the Western Plastics • Reduce the amount of waste certification of reusable grocery measurable way in the near Association we produce. bags. One of the items on the future. Just as the Tire Recycling agenda that day concerned the Act in California dramatically • Avoid single use items. reuse of tires. This made me increased the number of waste • Recycle as much as possible. reflect back some 30 years and tires diverted from landfills, our Thank you for being a WPA sup- the seemingly insurmountable industry might need to accept porter! We hope to see you at the task of what to do with all of the some form of regulation if we Annual Conference in Sonoma unwanted used tires found along hope to reduce the plastic in our May 21-23. We have a great roadsides or in abandoned lots. oceans and waterways. lineup for speakers, and Laurie is Today, these very same used Additionally, here are some working on the entertainment for tires are recycled at a 90% rate things you and I can do based on Tuesday night. Don’t miss out on to make new tires, playground recommendations from NOAA: this one! surfaces, rubberized asphalt and • many useful products. • Get involved! Participate in local cleanups in your area.

THANK YOU CONFERENCE SPONSORS!

PLATINUM SPONSORS

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3 UPCOMING WPA PROGRAM: PACIFIC NORTHWEST

LEARN THE LATEST Packaging for the Future APRIL 18, 2018

JOIN WPA IN THE PACIFIC NORTHWEST FOR OUR PACKAGING UPDATE: • NOVA chemicals technology and products • Sustainable packaging for the future • Importance of collaboration in developing new solutions

Guest Speaker: Rob Clare, Applications Development Specialist, NOVA Chemicals Rob Clare is an Applications Development Specialist with NOVA Chemicals, where he’s responsible for developing new pack- aging concepts and working on collaborative customer projects including NOVA Chemicals All PE stand up pouch development. Rob joined the company in 2014 with 25 years of experience in the packaging industry. Rob’s prior experience includes 15 years with Amcor Medical Packaging as a Technical Service Engineer, and 4 years with Mondi Food Packaging as an Application Engineer, as well as earlier roles at precision engineering companies. He holds a patent for child-resistant medical packaging.

THANK YOU TO OUR MEETING SPONSOR: OSTERMAN & COMPANY Osterman & Company is a tier one resin distributor for the Americas and beyond. Osterman has over 40 years of experience, transacting over a billion pounds of material annually. Globally we are active in over 30 countries. We have a proven track record and reputation of integrity. We offer complete lines of polyethylene, polypropylene, polystyrene and ETPs. The focus at Osterman is developing long- term relationships, not just making a deal. To find out more, visit us at www.osterman-co.com.

EVENT SPONSORSHIP: WHEN: COST: Sponsoring an upcoming WPA program is a great way to increase Wednesday, April 18, 2018 RSVP by April 10, 2018 your firm’s visibility to hundreds of 5:30 pm Registration/Networking WPA Member: $70 decision-makers within our industry. 6:30 pm Dinner/Meeting First-time Attendee: $70

WPA would like to add your com- Non-WPA Member: $100 pany’s name to our prestigious list WHERE: of supporters! There’s a sponsorship Richmond Country Club RSVP after April 10, 2018 option for every need and every 9100 Steveston Hwy WPA Member: $90 budget. Richmond, BC V7A 1M5 First-time Attendee: $90 Contact Laurie Hansen for details on Non-WPA Member: $120 how your company can market its services and products to key industry Walk-ins at the event: Add $10. professionals. Cancellation Policy: Cancellations must be made 48 hours prior to the event. Registration is non-transferable to another 916.930.1938 or event; send a substitute if you are unable to attend. No-shows [email protected] will be billed. RSVP today: [email protected] or 916.930.1938 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MARINE DEBRIS: THE KNOWN UNKNOWNS OF PLASTIC POLLUTION BY THE ECONOMIST

Introduction by Robert Bateman: ing below the surface remains though the timing and conditions For those of us who have long unknown and film waste does required are unknown. It has been concerned about plastic contribute to this. been demonstrated that pollution of the oceans, this microbes, or is it bugs, are evolv- The California Coastal Commis- article provides an objective ing to handle polyethylene. More sion’s 2017 collection and analy- perspective although it is hardly knowledge of this process could sis of waste left on the beaches reassuring. be useful in guiding policy and showed that plastic carrier bags, action. The article challenges the com- which had previously always SO FAR, IT SEEMS mon assumption that what is been in the top five items, were The industry is now taking a LESS BAD THAN unknown about plastic marine no longer in the top 10 and that more proactive approach to the OTHER KINDS debris will, when known, inev- the weight of plastic carrier bags ocean debris issue than was the OF POLLUTION itably turn out to reinforce the was reduced by over 95% from case a decade ago when this dangers of plastic pollution previous years. So, it is now issue became the primary driver (ABOUT WHICH even though the assessment known that the disposable gro- of policy relating to regulating LESS FUSS IS of the dangers is not based on cery bag ban made a significant plastic products in California. MADE). research. CFECA, the predecessor difference in terms of litter on But, there continues to be scant of the WPA, was pressing the beaches although the effect on regard for the obvious need to industry to finance research into overall plastic marine waste was invest significant funds, perhaps the known unknowns of marine minuscule. It is also now known a percent of the total worldwide debris twenty years ago. The that this will be the case with plastic revenue, to reduce the need is even more urgent now. further bans of disposable film steady flow of plastic into the products in first world countries. oceans, deal with its conse- In addition, it is generally quences and conduct the re- assumed that plastic debris is There is little known about the search into both the known the most important issue facing health risks posed by the floating unknowns and the unknown our oceans, the article confirms micro plastic particles, although unknowns. Unless this commit- that it is known that pollution this is likely to be low unless ment is made in the next decade, from agriculture, particularly they act as vectors for toxins and plastic ocean debris will become fertilizer run off, and over fishing the extent of this is unknown. an existential risk. are causing much more damage Recent research has shown that and present much higher long- over 90% of the bottled water we Reprinted from The Economist: term risks than plastic. drink contains plastic particles. Mr. McGuire had just one word That does not seem to do us for young Benjamin, in “The At least we now know that most much harm. Graduate”: plastics. It was 1967, plastic ocean debris, other than and chemical engineers had discarded fishing nets that make One known unknown that is spent the previous decade devis- up over 40% of the floating de- ignored in the article is whether ing cheap ways to splice different bris, comes from a few rivers in and how plastic degrades. hydrocarbon molecules from Asia and that the contribution of There is evidence that polyeth- petroleum into strands that could plastic carrier bags is insignifi- ylene film when wet and broken be moulded into anything from cant. The amount and source of into micro particles does degrade (Continued, see Unknowns, page 6) the micro plastic particles float- and is absorbed by microbes al-

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PLASTICS KNOWN UNKNOWNS [CONT’D] drinks bottles to Barbie dolls. Michael Gove, mused about pro- Since then global plastic produc- hibiting plastic straws altogether. tion has risen from around 2m Fearful for their reputations, big tonnes a year to 380m tonnes, companies are shaping up. Coca- nearly three times faster than Cola has promised to collect and world GDP. recycle the equivalent of all the Unfortunately, of the 6.3bn drinks containers it shifts each tonnes of plastic waste produced year, including 110bn plastic since the 1950s only 9% has bottles. Consumer-goods giants been recycled and another 12% such as Unilever and Procter & incinerated. The rest has been Gamble vow to use more recy- dumped in landfills or the natural cled plastics. McDonald’s plans environment. Often, as with dis- to make all its packaging from posable coffee cups, drinks bot- recycled or renewable sources tles, sweet wrappers and other by 2025, up from half today, and ough that aired in Britain last becomes virtually irretrievable, packets that account for much of wants every one of its restau- October and in America in Janu- especially once it has fragmented the plastic produced in Europe rants to recycle straws, wrap- ary, made the case beautifully. into microplastics. Computer and America, this happens after pers, cups and the like. But the truth is that little is models suggest that seas hold a brief, one-off indulgence. If known about the environmental as many as 51trn microplastic The perception of plastics as the stuff ends up in the sea, it consequences of plastic—and particles. Some are the product ugly, unnatural, inauthentic and can wash up on a distant beach what is known doesn’t look of larger pieces breaking apart; disposable is not new. Even in or choke a seal. Exposed to salt hugely alarming. others, like microbeads added to “The Graduate” they symbolised water and ultraviolet light, it can toothpaste or face scrubs, were America’s consumerism and A load of rubbish fragment into “microplastics” designed to be tiny. moral emptiness. Visible plastic We can be surest about how small enough to find their way pollution is an old complaint, too much plastic is produced and Whereas salt and sunlight can into fish bellies. From there, it (years ago, plastic bags caught in where it ends up. In a paper cause plastics physically to break seems only a short journey to trees were nicknamed “witches’ published last year in Science apart into smaller pieces, chemi- dinner plates. knickers”). What is new is the Advances, Roland Geyer of the cally the hydrocarbons linked to- Countries as varied as Bangla- suspicion that microplastics are University of California, Santa gether into the polymer chains of desh, France and Rwanda have causing widespread harm to Barbara, and his colleagues put which plastics are made do not duly banned plastic bags. Since humans and the environment in the cumulative amount of solid spontaneously decompose into last year anyone offering them in an invisible, insidious manner. plastic waste produced since the other compounds. Like crude oil, Kenya risks four years in prison “Blue Planet 2”, a nature series 1950s that has not been burned from which most polymers are or a fine of up to $40,000. In presented by Sir David Attenbor- or recycled at 4.9bn tonnes (see derived, that happens only if they January China barred imports of chart 1). It could all have been are burned at a high temperature plastic waste, while the Euro- dumped in a landfill 70 metres to release mainly carbon dioxide pean Union launched a “plastics deep and 57 square kilometres and water. In normal conditions strategy”, aiming, among other in area—that is to say, the size plastic simply accumulates in the things, to make all plastic pack- of Manhattan. environment, much as carbon aging recyclable by 2030 and dioxide does in the atmosphere. If only it had all remained on raise the proportion that is recy- land, or even washed up on Even if the flow of plastic into cled from 30% to 55% over the beaches, where it could be col- the sea, totalling perhaps 10m next seven years. A British levy lected. A bigger environmental tonnes a year, was instantly on plastic shopping bags, intro- worry is that much plastic has stanched, huge quantities would duced in 2015, helped cut use of ended up in the ocean, where, remain. And the flow will not them by 85%. On February 22nd dispersed by currents, the stuff (Continued, see Unknowns, page 7) Britain’s environment secretary,

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PLASTICS KNOWN UNKNOWNS [CONT’D] stop. Most of the plastic in the On land, the damage from litter, mussels. Unlike fish, bivalves are producing and transporting plas- ocean comes not from tidy which exercises many anti-plastic eaten whole, guts and all. tic. Another third comes from the Europe and America, but from campaigners, is limited. Most impact of associated air, water Munching moules-frites sea- countries in fast-developing East refuse does not spread too far and land pollution on health, soned with a pinch of plastic Asia, where waste-collection sys- beyond population centres, crops and the environment, plus may sound unappetising but it tems are flawed or non-existent where (at least in principle) it the cost of waste disposal. is hard to say if it is dangerous, (see map). Last October scien- can be managed. At sea, most says Stephanie Wright, who To put that into perspective, the tists at the Helmholtz Centre for plastics end up in vast rubbish studies the subject at King’s United Nations Development Environmental Research, in patches fed by ocean circulation College, London. Polymers are Programme says that the costs Germany, found that ten rivers patterns, the biggest of which chemically inert, and so do not of overfishing and fertiliser —two in Africa and the rest in can be found in the north Pacific. themselves present a health risk. run-off amount to some $50bn Asia—discharge 90% of all plas- Mid-ocean gyres are fortunately Some common additives such as and $200bn-800bn a year, tic marine debris. The Yangtze neither especially rich in fauna phthalates (which soften PVC) respectively. By 2100 ocean alone carries 1.5m tonnes a year. nor particularly biodiverse. The or bisphenol-A (which hardens acidification, which is caused On current trends, by 2050 there effects of plastics on busier bits many types of plastic used in by atmospheric carbon dioxide could be more plastic in the of the ocean, such as reefs, have consumer goods) are chemically dissolving into water, could cost world’s waters than fish, mea- been little studied. One paper, akin to human hormones, and $1.2trn a year. The costs of rapid sured by weight. Such numbers published this year in Science by might therefore disrupt them ocean warming caused by human- frighten people and change their Joleah Lamb of Cornell University in high concentrations. For induced climate change are hard behaviour. Nine in ten Europeans and colleagues, linked plastic decades both have been licensed to fathom but are likely to be worry about plastic’s impact on litter to coral disease near Indo- for use in everything from pipes enormous. the environment. More than half nesia and Myanmar. But little to shampoo bottles because The overall cost of plastic pollu- told pollsters for Eurobarometer similar work exists for other sed- human exposure was unlikely to tion compares favourably with in 2017 that they try to forgo entary species, let alone slippery exceed safe limits. America now other sorts of man-made harm plastic bags when shopping. By migratory ones. bans some phthalates in toys mostly because plastics are light. comparison, only one-tenth con- and child-care products because Researchers have identified 400 Making a kilogram of virgin plas- sider fuel-efficiency when buying of potential harm to growing species of animal whose mem- tic releases 2-3kg of carbon diox- a new car. Unlike other kinds of children. bers either ingested plastics or ide, about as much as the same pollution, plastic is an eyesore, got entangled in it. It is known Weighing the damage amount of steel and five times notes Liz Goodwin of the World that because polymers repel Trucost, a research arm of Stan- more than wood. But a product Resources Institute, a think- water (which is why droplets dard & Poor’s, a financial-infor- made of plastic can weigh a frac- tank. Yet if a comprehensive form on their surface), plastic mation provider, has estimated tion of a comparable one made league-table of environmental particles also attract certain that marine litter costs $13bn a of other materials. ills existed—which it does not— compounds from their surround- year, mainly through its adverse plastics would not top it. That is why replacing plastic with ings. Some of these could be effect on fisheries, tourism and other things could raise environ- Just 10% of 3.6m tonnes of solid toxic. Laboratory studies have biodiversity. It puts the overall mental costs at least fourfold, waste discarded each day the shown that if swallowed by fish, social and environmental cost according to Trucost’s analysts. world over is plastic. Whereas compounds in plastic fragments of plastic pollution at $139bn This is even true of the various filthy air kills 7m people a year, can be absorbed from the diges- a year. Of that half arises from virtue-signalling alternatives to nearly all of them in low- and tive tract into flesh. However, the climate effects of green- plastic bags. A British govern- middle-income countries, plastic no studies have so far been house-gas emissions linked to (Continued, see Unknowns, page 8) pollution is not directly blamed performed to test whether such for any. A report last year by the toxins concentrate up the food Lancet Commission on pollution chain, as mercury does in fish. and health, which put the total The only direct evidence of plas- number of pollution-related tic entering the human diet is a deaths at 9m, mentions plastics study by Belgian scientists who once in its 45 pages. discovered plastic fragments in

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PLASTICS KNOWN UNKNOWNS [CONT’D] ment analysis from 2011 calcu- in grants for plastics-related buy. With costs of some recycled landfilling is not as bad as it lated that a cotton tote bag must research. Erik van Sebille, of plastic competitive with virgin looks, so long as additives that be used 131 times before green- Utrecht University in the Neth- stuff, “supply is a bigger issue might leach out of the polymers house-gas emissions from mak- erlands, recalls that a few years than cost,” says Virginie Helias, are prevented from escaping. ing and transporting it improve ago a seminar on ocean plastic Procter & Gamble’s vice-presi- Plasma recycling, where refuse on disposable plastic bags. The pollution organised by America’s dent for sustainability. In other is heated to as much as 5,000°C, figure rises to 173 times if 40% National Oceanic and Atmo- words, erratic demand appears turning it into unadulterated of the plastic bags are reused as spheric Administration drew per- to dampen supply while insuf- hydrocarbons plus a solid bin liners, reflecting the propor- haps 200 participants. This year ficient supply inhibits demand. residue, looks promising but tion in Britain that are so repur- organisers had to cap attendance Recyclers everywhere face that remains some way from commer- posed. The carbon footprint of a at 600 and turn people away. problem. There is no guarantee cialisation. paper bag that is not recycled is that targets like the EU’s will While researchers get a better To be disposed of, though, four times that of a plastic bag. solve it. handle on the science, cam- plastic waste must be collected. And other materials could not paigners badger politicians and China’s import ban may provide In Europe, America and other replace plastics in all circum- browbeat consumers to kick the the necessary jolt. Introduced as developed places, virtually all of stances. Imagine a hospital polymer habit. They often invoke part of a broader clampdown on it is. To eliminate marine litter in without surgical gloves, or pro- the precautionary principle. If the pollution, it took waste exporters particular, more rubbish needs miscuity without condoms. By impact of something is uncertain by surprise. In 2017 European to be picked in the leaky Asian keeping food fresh for longer, but could be great, the argument countries shipped a sixth of countries. plastic packaging substantially goes, better forestall it just in their plastic waste for disposal China’s anti-pollution drive may reduces organic waste, itself a case. As the proliferation of plas- abroad. Most sailed to China. In bring about improvements, growing environmental concern. tic bans and strategies suggest, the short run some surplus waste although the country now pays In 2015 J. Sainsbury, a British they are having some success. can go to Malaysia or India, but more attention to filthy air and grocer, reduced waste in a beef- those countries’ capacity is a PET peeves water, which are more press- steak line by more than half by fraction of China’s. Eventually, Much of this activity makes ing concerns. Indonesia has using plastic vacuum packaging. refuse exporters will have to deal scarcely a dent in the world’s launched its own National Action with more of it at home. Plastic pollution “is not the plastic pollution problem, how- Plan on marine plastic. The other Earth’s most pressing problem”, ever. Some has unintended Building recycling capacity is one big polluters are eyeing similar in the words of one European of- consequences. Making plastics option. Incineration is falling out measures. What happens there ficial. But, he immediately adds, biodegradable, by adding corn of favour for heating or electricity over the next few decades will just because plastics may not starch or vegetable oil to petro- generation as coal-fired plants matter more than any number of be the biggest problem facing leum-derived hydrocarbons, are replaced with gas, which Western plastic-bag bans. • humanity does not make them renders them harder to recycle. emits less greenhouse gases Reprinted from economist.com, trouble-free. As scientists never Recyclers already struggle to than waste-to-energy plants. March 3, 2018. tire of repeating, more research invest in capacity or innovation From an ecological standpoint, is needed. It is the absence of even in countries that collect evidence about how plastics lots of their rubbish. Periodic influence health rather than declines in the oil price, which evidence of absence that makes virgin plastic cheaper, explains their bit part in the can bankrupt recyclers, many Lancet Commission report, says of which are small or medium- Philip Landrigan of the Icahn sized companies, says Peter School of Medicine in New York, Borkey of the OECD, a rich- who chaired it. country think-tank. Fresh science may be forthcom- Meanwhile consumer-goods ing. In the past two years Ms firms sometimes say that too lit- Wright has noticed an uptick tle recycled plastic is available to

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MARINE DEBRIS: THE GREAT PACIFIC GARBAGE PATCH COUNTS 1.8 TRILLION PIECES OF TRASH, MOSTLY PLASTIC BY AMINA KHAN, L.A. TIMES

The Great Pacific Garbage Patch nothing out there, and we still Lebreton and his colleagues is getting greater. Twice the size leave traces as a society.” decided a bird’s-eye view would of Texas, the floating mass of help. The scientist recalled how The GPGP is just one of many about 79,000 metric tons of plas- it felt to fly low over this expanse large garbage patches in the tic is up to 16 times larger than of ocean, so far from human civi- world’s oceans, seeded and fed previously thought, according lization, and still see its mark. MORE THAN by humans who manufacture and to scientists who performed an 87,000 TONS OF then discard plastic products. “It is a deep blue ocean, the aerial survey. water is super clear, and you just OCEAN PLASTIC Plastics are meant to last, and The results, published Thursday see all those things just floating ARE FLOATING that’s great for carrying your in the journal Scientific Reports, around,” he said. “It just feels INSIDE THE GREAT groceries in thin bags or holding reveal that this plastic blight in so random.” PACIFIC GARBAGE a six-pack. It’s not so great when the Pacific Ocean is still growing those plastics end up in the guts In addition to their aerial surveys, PATCH, A FIGURE at what the researchers called an of sea turtles or strangle birds. the team also dispatched boats UP TO 16 TIMES “exponential” pace. to sample the debris and bring it HIGHER THAN Large or small, plastics of all The Great Pacific Garbage Patch, back to shore for analysis. PREVIOUSLY sizes can harm ocean life. Recent or GPGP for short, is an accumu- studies show that biofouled The researchers split the plastic ESTIMATED. lation of junk that has collected plastic can attract fish and sea- they collected into four size cat- in the waters between California birds and end up in the food egories: microplastic (0.05 to 0.5 and Hawaii. The concentration chain. While the full effects of centimeters), mesoplastic (0.5 to of floating plastic in the patch this aren’t yet known, scientists 5 cm), macroplastic (5 to 50 cm) ranges from tens to hundreds of worry that this can lead to mal- and megaplastic (bigger than kilograms per square kilometer. nutrition and other problems. 50 cm). But much of it is hidden from the naked eye, partly because some Researchers have tried to get a Previous accounts of the debris of the plastic has been broken handle on the GPGP by dragging have focused on the amount of down into smaller and smaller nets through parts of the patch microplastics in the Great Pacific bits over time. (It is not, as its and sampling the plastic they Garbage Patch. In this analysis, name may suggest, an island.) find. But this only gives them microplastics did make up 94% a partial view. For one thing, a of the estimated 1.8 trillion “It’s quite frightening,” said lead team of boats can only see so pieces in the patch, but they only author Laurent Lebreton, an much. For another, the mouths accounted for 8% of the total oceanographer with the Ocean of the samplers they use are mass. Cleanup Foundation based in the often too small to catch larger (Continued, see Patch, page 10) Netherlands. “Out in the stretch pieces of debris. of these blue seas, we’re so far from any human activity, there’s

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GREAT PACIFIC GARBAGE PATCH [CONT’D]

More than three-quarters of the pieces had words from nine None of this, of course, counts all junk actually came from larger different languages—a third the plastics that may have sunk fragments: mesoplastic and were in Japanese and a third to the bottom of the ocean. macroplastic. were in Chinese. “Levels of plastic pollution in Part of the reason that larger The researchers think some of deep water layers and seafloor plastics outweighed the other the patch’s recent growth may below the GPGP remain unknown,” categories was the preponder- have been fueled by the 2011 the study authors wrote. ance of fishing nets, which Tohoku tsunami, which report- That’s the next step, Lebreton accounted for 46% of the gar- edly washed 4.5 million metric said—to measure how much bage patch’s mass. Fishing nets tons of debris into the sea. Sci- plastic lies far below the are made to be durable, and entists estimate that more than surface. when they float through the 30% of it could have been moved • ocean, they entangle and kill across the ocean surface. Reprinted from latimes.com, animals in their path. March 22, 2018. The plastic that lived in the Fifty plastic items had readable patch also shared certain char- production dates: One from acteristics, such as a small 1977, seven from the 1980s, surface-to-volume ratio. Plastics 17 from the 1990s, 24 from the with high surface-to-volume 2000s and one from 2010. (It’s ratios, such as sheets and films, not clear how long these items were probably biofouled or bro- were actually in the water, Leb- ken down into smaller fragments reton pointed out.) Some 386 that did make it into the patch.

CARL GILLIG President

E-mail | [email protected] Mobile | +1.847.778.6760

Randy White SYNCRO USA, LLC Area Sales Manager 223 W. Depot Street Reifenhauser Incorporated Antioch, IL 60002 12260 W 53rd Street North, Maize Kansas 67101 Phone +1.888.778.9804 - Fax +1.847.556.6099 M 714 742-2205, O 316-260-2122, F 316-260-8033 E-mail [email protected] [email protected]

10 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MARINE DEBRIS: MORE SUPPORTERS JOIN $150 MILLION MARINE DEBRIS PROJECT BY COLIN STAUB, RESOURCE RECYCLING

An industry-funded ocean plas- The initiative launched last collection, sorting and end mar- tics prevention initiative has fall with the goal of raising $150 ket development for scrap plastic received support from a number million to fund waste manage- in the region. of new partners, including brand ment and recycling infrastructure The new partners join a handful owners, a chemicals giant and an in Southeast Asia. The region of initial supporters, including intergovernmental group. was targeted because it is the 3M, the American Chemistry top contributor to marine plastic Closed Loop Partners announced Council, Ocean Conservancy, CLOSED LOOP debris. The group says roughly last week that the collaborative PepsiCo, Procter & Gamble, the eight million metric tons of plas- OCEAN EFFORT Closed Loop Ocean effort has Trash Free Seas Alliance and the tic enters the ocean each year ANNOUNCES added The Coca-Cola Company, World Plastics Council. from five rapidly growing econo- • NEW PARTNERS. Dow Chemical Company, Kim- mies: China, Indonesia, the Phil- Reprinted from resource-recy- berly-Clark, and Partnerships in ippines, Thailand and Vietnam. cling.com, March 13, 2018. Environmental Management for the Seas of East Asia (PEMSEA) Closed Loop Ocean is focusing as supporters. on funding projects to improve

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RECYCLING: WHY BERRY GLOBAL WILL HELP FUND RECYCLING EFFORTS BY JARED PABEN, RESOURCE RECYCLING

Plastic packaging producer Berry being extremely important in our to directly educate households Global has joined The Recycling efforts to be socially responsible. with high contamination levels in Partnership, a move it sees a non-confrontational way. What are the biggest issues in bringing direct benefits to the the recycling system that The How can spending money to company and improvements to Recycling Partnership is able support an outside group such the recycling system as a whole. to tackle? as The Recycling Partnership Evansville, Ind.-headquartered The Recycling Partnership is directly benefit Berry Global? Berry Global (formerly known as addressing several of the biggest One component is that our cus- THE RECYCLING Berry Plastics) recently joined the challenges to the recycling indus- tomers often ask us about incor- PARTNERSHIP recycling nonprofit group as a try, including access, participa- porating PCR into their products. IS HELPING funding partner. The publicly tion and quality. The Recycling Partnership is traded company, which is an working to increase not only the COMMUNITIES Recycling really starts with integrated plastics reclaimer quantity of material recycled, but IMPROVE THEIR access. If consumers don’t have and end user, has more than 130 they are also trying to decrease access to recycle an item, then it RECYCLING locations around the world and contamination to improve the is lost from the system. The Recy- EDUCATION. 23,000-plus employees. quality of the recycling stream. cling Partnership is working with Their efforts in both of these Robert Flores, Berry’s director of communities to expand access, areas should make recycling sustainability, recently explained not just in terms of households more economical, which is why the company decided to join served but also in terms of mate- important since the hurdle to The Recycling Partnership. rials accepted. using more PCR for some of our How does joining The Recycling In many cases consumers have customers is the cost versus Partnership fit into Berry Global’s access but don’t participate, virgin resin. larger sustainability plans? whether because they have Also, plastics typically use less Our sustainability program access but it isn’t convenient natural resources, require less has four focus areas: natural access or because of confusion energy to produce and ultimately resources, climate change, about what is and isn’t recycla- have a lower environmental waste and social responsibility. ble. The Recycling Partnership is impact compared to alternative Recycling really touches all four. really data driven. They have lots materials, but plastics aren’t By recycling more materials, we of data on what does and doesn’t normally seen as being environ- will use less natural resources. work, and they are partnering mentally friendly by consumers. Producing post-consumer resin with communities to implement That is partly due to low recycling (PCR) has been shown to gener- best practices to drive participa- rates for plastics. As a global ate less greenhouse gas emis- tion and increase pounds recy- manufacturer of plastic products, sions than virgin plastic, thereby cled per household. we wanted to take an active role decreasing impacts on climate In terms of quality, contamina- with this issue, which is why we change. Recycling is obviously tion is a major issue affecting the are excited to partner with other very closely related to waste and recycling industry. The Recycling leaders throughout the packag- our efforts to keep our products Partnership is helping communi- ing value chain to improve out of landfills, or even worse, ties improve their recycling edu- recycling. the natural environment. And • cation. One of my favorite things finally, for social responsibility, Reprinted from resource-recy- they have done is “Oops!” tags we see encouraging recycling as cling.com, January 3, 2018. 15 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING: PRF ENVISIONED FOR PACIFIC NORTHWEST BY JARED PABEN, RESOURCE RECYCLING

A Portland, Ore. reclaimer is mak- newspaper spoke with company recovery facilities (MRFs). They ing plans for a facility that would founder and chairman Dennis are being talked about more as sort out less commonly recycled Denton, who said they’re work- a solution for boosting domestic plastics coming from across the ing to negotiate a guaranteed markets. A new facility, ReVital region. supply of material for a PRF. Polymers, recently opened in On- tario. Some, including plants run The Inlander newspaper reports Nicole Janssen, president of by QRS in Baltimore and Georgia, Denton Plastics is looking at Denton Plastics, also spoke at a have encountered financial and building a plastics recycling facil- recent meeting of the Association operational difficulties. PRFS TAKE IN ity (PRF) to sort, wash and grind of Oregon Recyclers about the • MIXED PLASTICS recycled plastics. The facility company’s aspirations to build a Reprinted from resource-recy- THAT AREN’T would feed material to the com- PRF in the next couple of years. cling.com, December 12, 2017. pany’s current location, which OFTEN TARGETED PRFs take in mixed plastics and produces pellets for molding into BY MRFS. sort out and sell resins that a variety of applications. The aren’t often targeted by materials

RECYCLING: JUDGE’S RULING SETTLES CLAIM AGAINST COSTCO, NORTHERN CALIFORNIA COFFEE FIRM BY GEORGE KELLY, EAST BAY TIMES

Retail giant Costco and a North- “California consumers trying and the plastic bags they came ern California coffee company to help reduce the problem of in were labeled “97% biode- will jointly pay $500,000 in civil plastic waste in landfills are gradable” and “biodegradable,” penalties after a superior court often misled to believe that despite a legal ban on such judge’s ruling settled a consumer plastic products labeled as products’ sale, as well as protection action, the Alameda ‘biodegradable’ will break down compostable without meeting BIODEGRADABILITY County District Attorney’s office in municipal trash,” District At- standards. • said Monday. torney Nancy O’Malley said in a AND COMPOSTA- Copyright ©2018 The Contra statement. “But most landfills BILITY CLAIMS JBR Inc. of Roseville, which does Costa Times (Walnut Creek, prevent biodegradation. In order ON LABELS CAME business as San Francisco Bay Calif). All Rights Reserved. Re- to prevent misleading consum- Gourmet Coffee and the Rogers printed from eastbaytimes.com, INTO QUESTION. ers, the Legislature banned the Family Company, drew the action March 19, 2018. sale of plastic products labeled after biodegradability and com- with language implying they will postability claims on labels for biodegrade.” its plastic coffee pods came into question. Costco had been sell- Plastic coffee pods sold by San ing JBR’s coffee pods. Francisco Bay Gourmet Coffee

16 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

RECYCLING: DEALING WITH CHANGING CONSUMER ATTITUDES, GETTING SERIOUS ABOUT RECYCLING BY DON LOEPP, EDITOR OF PLASTICS NEWS

Are you looking over your sea turtles, birds and mammals aging also prevents food waste shoulder yet? eating or getting entangled in and keeps consumers safe from plastic trash. diseases caused by contamina- Until recently, just a few plastic tion and spoilage. products have been under seri- Activists have had some success ous pressure from environmen- in banning single-use plastic Also, some industry leaders won- talists and legislators. Plastic bags in California, Hawaii and der why plastics are demonized ACTIVISTS ARE bags, coffee cups and polysty- some scattered cities. But they’re when the marine debris problem SUGGESTING NO rene takeout packaging have aware that despite the legislative is the result of littering and poor been the biggest targets. victories, plastics consumption waste disposal practices. Don’t MORE THROW- is growing, the marine debris blame the material, they say; Suddenly more products are AWAY CULTURE. problem is getting worse, and blame consumers. under fire. Plastic straws, clo- there are millions of pounds of sures and water bottles are high That’s all true, and the argument new resin production coming on on the list. One grocery chain will help stem the tide against stream in North America, thanks in the United Kingdom that spe- some product bans. But not all to low-priced natural gas from cializes in frozen food has even of them. Remember, critics aren’t fracking. made a commitment to eliminate suggesting replacing plastics plastics packaging from its own On top of all that, China is restric- with single-use paper, metal brands by the end of 2023. ting imports of plastic waste. or glass alternatives. They’re There’s a fear that plastics that pushing for completely changing A grocery chain without plastics have been recycled now will end consumer behavior. No more packaging? What’s going on? up in landfills, or worse, in the throw-away culture. Public concern about single-use environment. In response, some How serious is the threat to plastics packaging has been sim- people are pushing for more plastics? mering for decades. But lately product bans. there’s been more interest from Despite some of the rhetoric, Is this all misguided? the news media, nongovernmen- plastics aren’t going to disap- tal organizations and legislators. That’s a common reaction from pear. In many applications, they There’s a growing awareness the plastics industry. Plastics are the best choice. Brand own- of marine debris, which has be- save energy and material, so ers will fight to continue to use come synonymous with plastics: banning plastics and replacing plastics … to a point. floating bags, microplastics and them with other materials could But there will be pressure. In the microbeads. end up creating more waste and United Kingdom, Prime Minister using more energy. Plastics pack- When people think of plastics Theresa May supports a tax on packaging, they’re not thinking bottles and coffee cups. The about convenience and food European Union is pushing a safety. They’re thinking about (Continued, see Attitudes, page 18)

17 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

CHANGING CONSUMER ATTITUDES [CONT’D] regional plan to make all packag- I’ve watched the industry react Plastics recyclers can help, but pounds. That’s not going to be ing either reusable or recyclable to these types of challenges be- they’ll need a commitment from enough. This time, the industry by 2030. Consumer product fore. This time, just announcing brand owners and processors needs to get serious. • companies including Coca-Cola a recycling goal isn’t going to be that this is a serious goal. In the Copyright ©1995-2018 Crain Co. and Unilever are on board. enough. Plastics processors will past, I’ve seen some brand own- Communications Inc. All Rights Plastics packaging is going to need to adjust to changing laws ers invest a bit of money in pilot Reserved. Reprinted from www. change, especially products like and shifting consumer prefer- projects to prove a product can plasticsnews.com, January 31, multilayer pouches that have ences. be recycled, then walk away after 2018. rarely been recycled. collecting just a few thousand

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18 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

19 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

SUSTAINABILITY: PLASTIC: FRIEND OR FOE? BY PETER MADDOX, WRAP,DIRECTOR OF GOVERNMENT PROGRAMMES

Sir David Attenborough recently durable molecular masterpieces together—fast-moving consumer called for the world to act on —and there are good reasons goods companies, retailers, man- plastic, after witnessing its im- why they are used so widely. ufacturers, reprocessors, local pacts on marine life during the Take health care, for example. government and citizens—to filming of his latest stunning TV Most disposable medical items— collaborate to create sustainable series Blue Planet II. And when insulin pens, IV tubes, inhalation supply chains. we see images of a turtle chasing masks, and so on—use plastic Create circular solutions a plastic bag, a pelican feeding as a core component because What we need are circular solu- its chick a plastic meal, or a it is sterile and reduces the risk tions embracing how we select blanket of plastic trash choking of infection. Without plastics, polymers, how we design plastic the ocean, it’s easy to appreci- our food waste problem and PLASTICS ARE packaging, how we label it so ate why people are increasingly the associated environmental people know it can be recycled, AMAZING, AND concerned about plastic and its impacts would be much worse. how we collect it for recycling, THERE ARE GOOD impacts. Plastic packaging preserves and how we sort and reprocess it, REASONS WHY protects food. According to the While it’s heartening to see this and how we put them back into US Flexible Packaging Associa- THEY ARE USED rising desire for change, the solu- the economy, ensuring that recy- tion (FPA), plastic film extends SO WIDELY. tions put forward to the problem cling plastic is economically via- the shelf life of a cucumber from of plastic waste are often piece- ble. This isn’t just about keeping three days to 14, for example. meal. Recent initiatives such as plastics out of our oceans and off those by Procter & Gamble and Before joining WRAP in 2006, our streets, it’s about using our Ecover to create bottles from I worked for BP for 17 years, precious resources sustainably. ocean plastic are important, but mostly on the manufacture of It takes 75 percent less energy to it’s even better if plastic never plastics. I was amazed by the make a plastic bottle from recy- gets into the ocean in the first versatility of polymers and how cled plastic compared with using place. Commitments by big this helped to make them the virgin materials. companies such as Coca-Cola material of choice in a wide array In my early days with WRAP, we to make bottles containing a of markets. But the problem with made good progress working higher percentage of recycled plastics is that the very things with government and industry, plastic represent an excellent that make them useful—their working together to create cir- step forward, but we also need versatility, low cost, light weight cular solutions – for example, to design plastic packaging to and durability—also make them enabling plastic milk bottles to be reused and recycled. Deposit ubiquitous and hard to dispose be recycled back into bottles. But return schemes may be benefi- of. Towards the end of my time this work is not finished. WRAP is cial and it’s right that we look at at BP, I got interested in the envi- still working to create a sustain- evidence of their effectiveness ronmental impact of plastics. able plastics supply chain. On and explore how we can design So I was intrigued when the the design front, we are working them to complement existing opportunity arose to join WRAP with brands, retailers and manu- infrastructure. to work on plastics recycling facturers to improve recyclability —my first job with the organisa- Don’t demonise plastics and rationalise packaging for- tion. What appealed to me then Nor is cutting back on plastics mats to focus on those for which as now about the way WRAP always the best solution. We there is a steady end market. approaches this kind of chal- need to consider the context. (Continued, see Circular, page 21) lenge is that it brings everyone Plastics are amazing—versatile,

20 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

CREATE CIRCULAR SOLUTIONS [CONT’D]

There has been significant prog- Drive change at scale Renewed concern about waste ress in the collection of plastic Earlier this year, the Ellen Mac- plastics presents us with a bottles. Nearly all UK local Arthur Foundation released fantastic opportunity to mobil- authorities (99 per cent) now its report, The New Plastics ise and motivate fast-moving collect plastic bottles for recy- Economy: Rethinking the Future consumer goods companies, WRAP IS STILL cling at the kerbside. As a result, of Plastics, which attempts to retailers, manufacturers, repro- WORKING TO the recycling rate for plastic bot- reconcile the approaches of in- cessors, local government and CREATE A tles has increased dramatically dustry and activists. The report citizens to come together to cre- SUSTAINABLE from just 5 per cent in 2000 to had input from environmental ate a truly sustainable plastics PLASTICS 58 per cent in 2016. Of course, groups such as Ocean Conser- supply chain that benefits the SUPPLY CHAIN. we want to go further. There are vancy as well as companies such economy and the environment. gaps in consumers’ knowledge as Unilever. This is the kind of It also represents an opportunity and behaviours. Recycling is systems thinking that drives real for the UK Government and de- increasingly the norm, but many change at scale, and which we volved administrations to put in consumers do not realise that look forward to seeing more of place the policy mechanisms that plastic bottles from the bath- in the future. We anticipate that will really make a difference. The room and under the sink can be the publication of a new EU dedi- solutions lie in convening all the recycled, for example. And there cated plastics strategy, currently relevant players and working are gaps in provision, especially being prepared, will help Europe collaboratively to identify and for recycling ‘on the go’. We need improve recycling, cut marine implement practical solutions. more recycling bins in public litter, and remove potentially Let’s do it together! • spaces where waste arises, as dangerous chemicals from the Reprinted from wrap.org.uk, well as to encourage consumers supply chain, providing further November 23, 2017. to recycle outside the home. impetus for change.

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21 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

SUSTAINABILITY: AS ACC ADVOCATES STEWARD- SHIP ON STRAWS, WHY STOP THERE? BY STEVE TOLOKEN, NEWS EDITOR, PLASTICS NEWS

On Jan. 26, we saw a point of It’s unusual for business groups OK, that’s not a serious sugges- agreement on plastics waste: the to advocate using less of any of tion. And I admit I haven’t seen American Chemistry Council and their products. One of the rea- the film. But here’s a serious the Plastic Pollution Coalition sons they exist is to advocate for question: Why should the plas- now both agree that we should their industry’s products. tics industry’s product steward- all use fewer plastic straws. ship positions stop at straws? So I was struck by how the indus- OK, it’s not exactly a “stop the try position is now partly similar If it’s the right thing to do for AMERICAN presses, we have a Middle East to the “Last Plastic Straw” cam- straws, isn’t it also the right thing CHEMISTRY peace agreement,” kind of news. paign from the Plastic Pollution to do with plastic bags, polysty- COUNCIL It’s only straws. Coalition. rene foam clamshell containers and other highly disposable ENCOURAGES But it’s worth unpacking for a PPC advocates that consumers: products? CONSUMERS minute. ACC’s Plastics division 1. Say “no straw please.” TO USE FEWER announced Jan. 26 that it’s taken With widespread concern about PLASTIC STRAWS. a formal product stewardship 2. Contact local restaurants and plastic waste and marine pol- position aimed at encouraging ask them to only give straws on lution, a stewardship position consumers to use fewer plastic request. on those products seems a no- straws. [See page 23.] 3. Encourage them to use brainer. “It’s the right thing to do,” said non-plastic straws. I asked ACC what other product Steve Russell, vice president of 4. Screen “Straws the Film.” stewardship positions it had the ACC plastics unit, in a state- taken on plastics, and it said it PPC, though, is more forceful ment that linked it to ACC’s work had one in 2015 on microbeads, than ACC. Its website, for exam- with the Ocean Conservancy and and an announcement on marine ple, includes a hard-to-watch other non-governmental organi- litter. video of a plastic straw being zations on reducing plastics pulled from a sea turtle’s nose, There’s another level to consider: going into waterways. with blood running down the un- How about asking the industry to “As a member of the Trash Free fortunate turtle’s face. fund public service ad campaigns Seas Alliance, we support many encouraging people to use fewer On points of agreement, I’m initiatives that help prevent straws or plastic bags? guessing ACC would go along marine litter, and we believe pro- with 1 and 2, but draw the line That may seem like a crazy way viding straws through an ‘on- at 3 and 4. (Although I wonder for an industry to spend its demand’ system gives customers if this latest step from the plas- money, but some in the Euro- choice and helps prevent waste tics industry would open up the pean plastics sector debated that by ensuring that straws are dis- chance for a joint ACC-PPC film last year, when the PlasticsEu- tributed only to those who need screening.) rope association considered them,” Russell said. (Continued, see Straws, page 23)

22 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

USE FEWER PLASTIC STRAWS [CONT’D] whether it should support some The plastics industry advocates ample, and the European Union with better packaging, still make sort of public education effort to recycling its products, but what in January adopted an ambitious homes more energy efficient and reduce plastic bag use. PlasticsEurope was debating was plastics strategy targeting single still can make infrastructure bet- taking it to another level: public use products. ter, to give a few examples. One leader in the group com- education aimed at reducing pared it to the alcohol industry I can imagine a worried industry But if it’s the right thing, as ACC consumption in the first place. funding advertising campaigns reaction here. Isn’t it bad to ad- says, to reduce use of straws, it’s to encourage people to drink The European association also vocate less consumption of my also the right thing for industry responsibly. told us that it is OK with charging products? Won’t sales go down? to advocate less use of plastic people for plastic bags. I think it bags and other single-use The 3 R’s of the waste manage- But to me, advocating less con- would be very hard for the U.S. packaging. ment hierarchy—reduce, reuse sumption of single-use products • plastics industry to take that and recycle—rank them in order does not change the larger value Copyright ©1995-2018 Crain position. The European plastics of importance. In that thinking, of plastics to society, particularly Communications Inc. All Rights industry clearly faces more we should try to reduce before in longer-lasting products. Reserved. Reprinted from www. public pressure. National gov- we recycle. plasticsnews.com, February 8, ernments there are actively Plastics still make cars lighter 2018. considering bottle bills, for ex- and save fuel and vehicle pol- lution, still reduce food waste

ACC ANNOUNCES PRODUCT STEWARDSHIP POSITION FOR STRAWS BY AMERICAN CHEMISTRY COUNCIL If you don’t need a straw, don’t Alliance, we support many ini- Since 2011, America’s Plastics TSFA brings together thought take one. That’s the premise of tiatives that help prevent marine Makers® have partnered in leaders to work toward the the latest product stewardship litter, and we believe providing many efforts to research and immediate goal of reducing the position announced by the straws through an ‘on-demand’ prevent marine debris around amount of plastic waste enter- American Chemistry Council’s system gives customers choice the world under our “Declara- ing the ocean annually by 50 (ACC) Plastics Division. ACC and helps prevent waste by tion of the Global Plastics Asso- percent by 2025. • developed its position as part of ensuring that straws are ciations for Solutions on Marine American Chemistry Council ongoing efforts to help promote distributed only to those who Litter,” which has been signed press release, January 26, 2018. the responsible use of valuable need them.” by 70 plastics associations in plastic materials and in accor- 35 countries. Our 2016 Progress ACC’s position on straws is dance with our commitment to Report lists 260 projects that designed to help avoid waste- the Trash Free Seas Alliance® have been completed or are in ful use by recommending that (TFSA). progress in various parts of the straws not be provided unless world since the effort began. “It’s the right thing to do,” said customers ask for them. At the Steve Russell, vice president of same time, it acknowledges that ACC’s Plastics Division. “As a there are circumstances where member of the Trash Free Seas straws enhance safety and sani- tary conditions.

23 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

SUSTAINABILITY: GLOBAL CAMPAIGN CHALLENGES STARBUCKS TO KEEP PROMISE TO CURB PLASTIC POLLUTION, CREATE 100% RECYCLABLE CUP BY STAND.EARTH

Today, more than a dozen lead- “Starbucks serves an astounding Starbucks part of global plastic ing environmental organizations, 4+ billion paper cups each year, pollution problem including Stand.earth, announced most of which end up in the Starbucks cups, lids, and iconic the launch of “Starbucks: Break trash because their plastic lining green straws make up a visible Free From Plastic” —a global makes them unrecyclable in portion of the catastrophic plas- STARBUCKS campaign demanding that Star- most places. That’s a disgraceful tic pollution in our oceans. In the PLEDGED TO bucks take accountability for its amount of plastic pollution end- marine environment, plastics contribution to the growing plas- ing up in our local landfills. It’s break down into small indigest- MAKE A 100% tic pollution crisis. Click here to time for Starbucks to start living ible particles that birds and RECYCLABLE sign the petition. up to its promises.” -–Ross Ham- marine animals mistake for food, PAPER CUP mond, Stand.earth. resulting in illness and death. The campaign formed ahead of BY 2015. Starbucks’ 2018 annual share- Starbucks plans massive global “Each minute, the equivalent of a holder meeting happening March growth garbage truck full of plastic ends 21 in Seattle, where the coffee Despite knowing its environ- up in the ocean, and by 2050, giant is urging its shareholders mental impact, Starbucks has there is projected to be more to vote “no” on a sustainability pledged to dramatically expand plastic in the ocean than fish proposal by As You Sow. The pro- its presence in Asia in 2018— by weight. Starbucks needs to posal asks Starbucks to address with no plan to address its plastic take immediate steps to #break- its plastic pollution problem by waste. Because of this inaction, freefromplastic before our global developing stronger efforts to governments are being forced to plastic pollution problem over- move toward sustainable pack- step up. A parliamentary commit- whelms our oceans and marine aging. tee in the UK recently proposed a life.” —Von Hernandez, Break “latte levy” on single-use cups to Free From Plastic Starbucks fails on sustainability help address the growing plastic pledges The campaign is calling on Star- pollution problem. The campaign is being launched bucks to address its plastic pol- amidst a backdrop of corporate “Starbucks has pledged to lution in 5 specific ways: pledges to address plastic pollu- open one store every 15 hours • Create a 100% recyclable paper tion, including from McDonald’s in China in 2018. CEO Kevin John- cup without a plastic lining. and Coca-Cola. In 2008, Star- son continues to turn a blind eye bucks pledged to make a 100% to his company’s contribution • Reduce plastic pollution by recyclable paper cup and sell to our global plastic pollution eliminating single-use plastics 25% of drinks in reusable cups problem even as the coffee giant like straws. by 2015. To date, Starbucks has continues to open stores at an • Promote reusable cups and failed to produce a 100% recy- astonishing pace.” —Sondhya encourage customers to change clable paper cup, and currently Gupta, SumOfUs their habits. serves only 1.4% of drinks in (Continued, see Starbucks, page 25) reusable cups.

24 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

ENVIRONMENTAL CAMPAIGN TARGETS STARBUCKS [CONT’D]

• Recycle cups and food packag- CREDO, Greenpeace USA, Plas- Heirs to Our Oceans, Wild at ing in all stores worldwide. tic Pollution Coalition, Stand. Heart Taiwan, and a variety of earth, The Story of Stuff Project, organizations participating under • Report publicly on the type SumOfUs, Texas Campaign for the Break Free From Plastic and amount of plastics used in the Environment, UPSTREAM, global movement. packaging. • Hannah4Change, Captain Planet Reprinted from prnewswire.com, The campaign includes 5 Gyres, Foundation, Kokua Hawai’i Foun- March 6, 2018. Care2, Clean Water Action, dation, Plastik Diet Kantong,

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25 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

BAGS: BAG BAN BATTLES REMAIN INTENSE BY STEVE TOLOKEN, NEWS EDITOR, PLASTICS NEWS

The fights over plastic bag bans Ohio and South Carolina are also “Really where that comes from and fees are expected to continue expected to be battlegrounds, is that’s where the strongest full force in 2018 as the debates with local governments there organization of groups like the move to some new ground. pushing bans and fees. Surfrider Foundation are, in a place where they haven’t already The shift will be partly geographic. The plastics industry is respond- achieved some regulation, like After years of fights on the West ing by lobbying state legislators California,” Seaholm said. Coast, the focus will move to the to pass laws limiting the power Northeast, industry lobbyists of cities and counties to restrict Surfrider, which is based in San A GROWING say, following Boston’s adoption bags, in effect pursuing state- Clemente, Calif., has 80 chapters NETWORK of a bag ban in late 2017. wide “bans of bans” that would nationwide. It made plastics override local laws. waste one of its four priorities TARGETS “New England in general is re- this year and considers plastic SINGLE-USE ally what we see in 2018 … [and] State legislatures in Arizona, pollution “one of the greatest where we anticipate the most Florida, Idaho, Indiana, Iowa, PLASTICS AND threats to the health of our ocean amount of effort to regulate our Michigan, Minnesota, Missouri PROMOTES ecosystems.” ZERO-WASTE products,” said Matt Seaholm, and Wisconsin in recent years executive director of the Wash- put such laws in place, according The group said on its website its PRINCIPLES. ington-based American Progres- to the National Conference of focuses this year include banning sive Bag Alliance. State Legislatures. plastic bags in Massachusetts and polystyrene foam in Califor- The battles also are shifting more In short, it promises to be an nia and working with restaurants into the legal system, with cases active year. to reduce single-use plastics. in Florida and Texas. Bag battles heat up “Plastic pollution is a priority for In a closely watched case, the For their part, supporters of the organization this year along Texas ​Supreme Court heard oral tougher laws against bags say with our water quality work,” arguments Jan. 11 in a lawsuit they see growing interest, driven said Surfrider Legal Director challenging the city of Laredo’s by public concern over litter, by Angela Howe in an email. “This 2014 bag ban. a desire to protect the oceans is the first year that we are priori- and wildlife and by cities wanting The case has some unusual fault tizing in this manner.” to reduce cleanup and drainage lines. Retailers, merchants and costs associated with bags. Howe said there’s a growing the Texas Attorney General are network of groups addressing trying to stop Laredo, arguing Seaholm sees the political bat- plastics, including targeting sin- the city went beyond what state tleground as more balanced, gle-use plastics, promoting ze- law allows. But other business with the industry’s successes in ro-waste principles and opposing groups support Laredo. The stopping bag laws not getting as incineration of plastic trash. state’s cotton-growing industry much attention. and some ranchers, worried “I think there is a trend toward APBA argues that support for bag about wind-blown bags hurting bag bans activating in areas that bans and fees is most active in the value of their crops and cat- have not already done so,” Howe states where the environmental tle harming themselves by eating said. “The rest of the nation have group Surfrider Foundation has bags, have filed court briefs join- (Continued, see Battles, page 27) the strongest local chapters, ing with environmentalists and including in New England. other cities to side with Laredo. 26 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

BAG BAN BATTLES HEAT UP [CONT’D] noted places like Hawaii and Cal- Cedzo calls state pre-emption The industry also is hinting at The conservation league in South ifornia that have these policies in bad policy: “Local governments legal challenges: APBA said Bos- Carolina had a budget of $3.4 place and are enjoying a cleaner have the right to solve local prob- ton’s new bag ordinance violates million in 2015. But that, too, is environment because of it.” lems with local solutions.” the Massachusetts constitution spread over many campaigns. because it requires stores to Both APBA and Surfrider identify Seaholm, however, said APBA APBA, while a nonprofit, is not keep the fee charged on some South Carolina as one such hot pushes for statewide laws be- required to release a tax return bags and not give the money to spot. cause bags or packaging should because it operates as part of the the government. be regulated at the state level. Plastics Industry Association in A few coastal communities in the Otherwise, there will be a patch- Seaholm said the Massachusetts Washington. state have passed plastic bag work of differing local rules. attorney general has previously restrictions, and others, includ- But the industry has shown it can APBA refers to such bills as challenged other bag ordinances ing several in Beaufort County, muster resources when needed. uniformity legislation. on similar grounds. are moving to enact similar laws, Public records in California show said Emily Cedzo, the land, water APBA argues bag bans and fees He said New York, as well, is ex- the plastic bag industry spent at and wildlife program director for are misguided because bags are pected to take up bag fees again least $5.5 million urging voters the South Carolina Coastal Con- recyclable and can have a lower after Gov. Andrew Cuomo signed to reject California’s statewide servation League, in Charleston. carbon footprint than many alter- a bill last year to temporarily bag ban in 2016. natives, including reusable bags. block a 5-cent bag fee adopted “There is an extremely significant Ultimately, though, that industry by the New York City Council. amount of momentum locally to Seaholm said the bag debate campaign failed, and California better protect resources and reg- in South Carolina is driven by While Cuomo supported the tem- voters approved the ban by a 53 ulate plastics better,” she said. Surfrider and the conservation porary block on New York City— to 47 percent margin. The conservation league has league. it expired at the end of 2017, and While new bag laws or defeats made plastic pollution one of the city is free to try again—the “This is a great example of why is like California’s attract a lot of its priorities. governor has also publicly said there an issue in South Carolina: attention, Seaholm argues that he favors a statewide solution Even cities that do not restrict It’s because there’s an organized some of the industry’s lobbying to the “plastic bag problem.” bags have concerns, she said, effort to do something. It comes successes do not get as much noting that the mayor of Charles- down to two groups,” he said. As the debates heat up, Seaholm attention. ton, the state’s largest city, “They’ve made this just part of argues that environmental “We’re effective in a lot of convened a task force in 2016 to their agenda to go out and pro- groups can bring more resources. places, and those are wins. But study minimizing plastic bags. mote bag bans of all sorts.” “Our members are very generous they’re less publicized because Cedzo believes the industry’s Playing defense in New England with their resources, but we are what typically happens is the push for a state law overruling Even with the push in the South, no match to what the environ- ordinance just kind of goes cities, also known as pre-emp- it’s New England where Seaholm mental organizations have at away,” he said. “There isn’t tion, comes because industry expects the most activity this their disposal,” Seaholm said. fanfare about an ordinance not sees bag bans and fees picking year, and not necessarily favor- being taken up.” It’s difficult to independently up support. able to the bag industry. assess that claim. Overall, he says the two sides “As they are seeing local commu- “I would characterize New are evenly matched: “I think the Under tax returns required to nities passing these ordinances, England as a little bit more game is still being played, and I be made public as part of their I think they feel the need to push us playing defense,” he said. think we’re probably pretty close nonprofit status, Surfrider, for even harder on the pre-emption to being tied right now.” More than 40 cities in Massachu- example, had an annual budget • bill,” she said. setts now have plastic bag bans of $6.1 million in 2015, the last Copyright ©1995-2018 Crain The pre-emption bill was nar- or restrictions, which could set year figures are available. But Communications Inc. All Rights rowly stalled last year, in the up momentum for a statewide that’s spread over many cam- Reserved. Reprinted from www. South Carolina House, in a ban as retailers grow concerned paigns, including water quality plasticsnews.com, January 12, “tough fight,” she said, and is about differing local laws. and offshore drilling. 2018. expected to return for this year’s legislative session.

27 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

BAGS: IS CALIFORNIA’S PLASTIC BAG BAN WORKING? BY DAVID TAUB, GV WIRE

Is California’s statewide plastic regulated entities,” CalRecy- tic bag producers. Voters kept bag ban working? The propo- cle spokesman Mark Oldfield the law, with 52% in favor. nents enthusiastically say yes. said. “Although stores are not Many local jurisdictions already required to report information But it’s impossible to determine had a ban, making the state- regarding bag sales and usage to what grocers are doing with the wide ban moot in those areas. CalRecycle, staff is preparing a 10 cents they’re collecting for But for places like Fresno, the legislative report (due by March every paper bag they sell. decades-old grocery store prac- 1, 2018) that will include the tice of bags at no extra charge Initially passed in 2014 as SB results of an informal survey THE LAW ceased. Most of the local juris- 270, most grocery stores could conducted by the department.” dictions banning bags were in HAD SPECIFIC no longer give away plastic CalRecycle said its role in reg- southern California, the Central REQUIREMENTS bags. Only recycled plastic bags ulating the bag ban is to certify Coast or the Bay Area; none was ON HOW THE meeting certain environmental third-party manufacturers of in the Central Valley. DIME PER BAG standards and paper bags would reusable bags. Those regulations be allowed. Plus stores would “The bag ban has been a clear COULD BE should come out this year. SPENT. charge a minimum of a dime win for our environment and per bag. The law mandated that The law also had specific require- our economy, as less taxpayer the recycled plastic bags shall ments on how the dime per bag dollars are spent cleaning up be constructed to be used 125 could be spent, namely only on pollution and litter caused by times. recovering the actual costs of the plastic bags.”—California Secre- bags or spending on a “store’s tary of State Alex Padilla Moreover, the law goes beyond educational materials or educa- just grocery stores. Pharmacies, The California Grocers Associa- tional campaign encouraging the convenience stores and liquor tion, the trade group represent- use of reusable grocery bags.” stores are included. Local cities ing grocery stores, supported and counties could impose GV Wire asked many of the SB 270. One reason was to have tighter restrictions, but that state’s major retailers, such as a uniform bags standard across hasn’t been done in Fresno and Target, SaveMart, Albertsons the state. the Central Valley. and Smart & Final for figures “Since its implementation one on how many bags they sold San Francisco became the first year ago, the grocery industry and what they have done with city to set local rules, passing a has seen little change resulting the money. They either failed to bag ban in 2007. from the statewide law regarding reply to GV Wire’s request for carryout bags. When the law went The law specifies what bags can information or outright refused into effect there were already and cannot be used, and how the to answer. nearly 150 California cities and money stores collect is supposed Implementation initially counties (almost half of the state’s to be used. However, there is no delayed population) that had implemen- system to track progress or con- The law’s implementation was ted their own ordinance,” said duct audits. delayed until a statewide refer- Ron Fong, President/CEO of “The Single-Use Carryout Bag endum (Proposition 67) in the CGA. Ban statute does not include November 2016, pushed by plas- (Continued, see Year, page 29) any reporting requirements for

28 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

CALIFORNIA’S BAG BAN ONE YEAR LATER [CONT’D]

“Because of this, many Califor- “California is quickly moving than many of us thought,” Cashing in? nians understood their options past the era of single-use plastic Murray said. One of the arguments used by well before the law came into ef- bags,” he continued. “For too Prop. 67 opponents was that California Manufacturers & fect statewide. This allowed both long, plastic blight plagued our grocery stores would profit from Technology Association opposed consumers and stores to quickly coastline and inland commu- collecting a dime per bag. Prop. 67, but declined to com- adjust to the new process—with nities alike. These bags wreak ment on its effectiveness one Despite silence from the grocery many shoppers choosing to bring havoc on our ecosystems, threat- year later. store industry, Murray says that their own reusable bag with little ening wildlife and California’s 10 cents is about what it costs fanfare and many grocers already natural beauty. Cleanup stats to implement the reusable bag having systems in place to com- Many of the plastic bag ban Mark Murray is executive director program. ply with the law.” supporters pointed to statistics of Californians Against Waste, provided from the annual Coastal He noted that customers used 35 Praise for the law which supported Prop. 67. The Cleanup Day as proof of the million single-use plastic bags a But the lack of record keeping group is happy about the early ban’s effectiveness. day; now they don’t. does not bother the bill’s author, results. Alex Padilla, now the California In 2010, volunteers picked up “Those single-use bags are “Overall, this was a big transfor- Secretary of State. 65,736 bags in and around gone,” Murray said. mation. A state of 39 million • beaches. That was the No. 2 “The bag ban has been a clear people went from having single- Reprinted from gvwire.com, item collected. win for our environment and use plastic grocery bags that January 8, 2018. our economy, as less taxpayer they’ve had for four decades to Seven years later in 2017, 11,847 dollars are spent cleaning up now moving to reusable bags, were found, falling to No. 10 on pollution and litter caused by recycled paper bags. The tran- the list. plastic bags,” Padilla said. sition has gone quite smoother

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29 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

BAGS: CALRECYCLE BEGINS REGULATORY DEVELOPMENT FOR REUSABLE BAGS

SB 270 Reusable Grocery Bag to establish the administrative Documents Certification Fee: Description fee schedule. Once the regula- • First draft regulations, October On November 8, 2016, California tions are approved, reusable 2017 voters approved Proposition 67, grocery bag producers must pay • First draft certification fee which lifted a referendum that a fee when they submit proof of concepts, October 2017 suspended the enactment of SB certification documents to Cal- 270 (Padilla, Chapter 850, Stat- Recycle, and they must re-certify • October 2017 Public Workshop utes of 2014) and upheld the na- reusable grocery bags sold in the Presentation CALRECYCLE tion’s first statewide single-use state on a biennial basis. • October 25 (Sacramento) video plastic bag ban. As a result, SB NOW PRESENTS Affected regulatory code • Second draft regulations, March 270, the original bag ban legisla- PROPOSED sections 2018 [See page 31 for proposed tion, went into immediate effect. REGULATORY California Code of Regulations, regulatory text] Because of this new law, most Title 14, Division 7, Chapter 4, TEXT, MARCH grocery stores, retail stores with Stakeholder input Article 7, commencing with 2018 DRAFT. a pharmacy, convenience stores, Public comments on first draft section 17988. food marts, and liquor stores regulations. Current status and documents may no longer provide single-use Contact CalRecycle staff presented up- plastic carryout bags to their CalRecycle staff can be contacted dated, proposed regulations and customers. Instead, these stores at [email protected]. may provide a certified reusable a request for approval to begin grocery bag or recycled paper the formal rulemaking process at More information bag to a customer at the point the monthly public meeting on For more information regarding of sale for a charge of at least 10 March 20, 2018. More informa- the requirements of the law and cents. tion can be found on the Public to review commonly asked ques- Notice. For more information on tions, see the SB 270 FAQ. Pursuant to the passage of the the regulatory process, please law, CalRecycle is currently ac- To receive updates, including visit the Office of Administrative cepting third-party certifications notices regarding rulemaking, Law’s website. of reusable grocery bags through please subscribe to the Reus- the Reusable Grocery Bag The following schedule is a able Grocery Bag Certification Reporting System(RGBRS) and tentative estimate of the rule- (SB270) Listserv. is maintaining a list of certified making timeline and is subject reusable grocery bag producers to change. on its website. Additionally, • Public workshop on draft regu- CalRecycle must establish an latory text: October 25, 2017 administrative certification • Initiate the rulemaking process: fee schedule. The certification First quarter 2018 fees must be sufficient to cover CalRecycle’s ongoing costs of • Adoption of the regulations: implementing its statutory re- Late 2018 or Early 2019 sponsibilities. CalRecycle will • Implementation of certification promulgate regulations in order fee: July 2019

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LEGISLATION: CALCHAMBER RELEASES ANNUAL LIST OF ‘JOB KILLERS’ BY CALCHAMBER ADVOCACY

The California Chamber of Com- are not comparable to personal AB 2527 (Muratsuchi; D-Tor- merce has released its annual list services. It also provides the De- rance) Costly Litigation Against of job killer bills, calling attention partment of Industrial Relations Small Employers—Exposes small to the negative impact that 21 with extraordinary authority to business who are seeking finan- proposed measures would have value companies, determine cial investors in their company to on California’s job climate and “similar services” to be included devastating class action litigation economic recovery should they under the provisions of this bill, by banning the use of arbitration become law. and what constitutes “area agreements, which is preempted income.” by the Federal Arbitration Act, The list of 2018 job killer bills ITS HISTORY IS prohibiting class action waivers, follows: AB 2069 (Bonta; D-Oakland) allowing for the award of treble ARCHIVED ON Medical Marijuana in Employ- AB 1745 (Ting; D-San Francisco) damages, punitive damages, and A WEBSITE ment—Undermines employer’s Vehicle Ban—Bans the sale of attorney’s fees, and interferes DEVOTED TO ability to provide a safe and combustion engine vehicles in with contractual negotiations THE ISSUE, drug-free workplace by creating the state by prohibiting the reg- between sophisticated parties by CAJOBKILLERS. a new protected classification of istration of a new vehicle in the dictating the choice of forum and COM. employees who use marijuana state after 2040 unless it is choice of law for such litigation. for medical purposes, and ex- a zero emission vehicle. posing employers to costly and AB 2571 (Gonzalez Fletcher; AB 1761 (Muratsuchi; D-Torrance) unnecessary litigation under the D-San Diego) PERS Investment Customer Blacklist and Hotel Fair Employment and Housing Policy—Seeks to publicly shame Workers Panic Button—Denies Act (FEHA) whenever the em- investment managers and the hotel guests due process, by ployer terminates an employee in hospitality companies in which requiring hotels to create a this new protected class who has they invest, by forcing them to blacklist of guests who have created a safety hazard in the submit an annual report subject been accused, yet not proven, to workplace. to a public review, that discloses have engaged in inappropriate employee wage information AB 2351 (Eggman; D-Stockton) behavior towards hotel employ- according to gender, ethnicity, Targeted Tax on High Earners — ees, and precludes the hotel and race, exposing such compa- Unfairly increases the personal from allowing those guests on nies to costly litigation. income tax rate from 13.3% the blacklist to enter their prop- – which is already, by far, the AB 2765 (Low; D-Campbell) erties for three years. highest income tax rate in the Portable Benefits for The Gig AB 1902 (Levine; D-San Rafael) country – to 14.3% for one cat- Economy—Imposes onerous and Interference with Contracts— egory of taxpayers (including costly mandates on companies in Discourages and reduces some proprietors), who already the gig economy labeled as the “personal service contracts” as pay half of California’s income “digital marketplace” by adding defined, by unfairly increasing taxes, forcing them to mitigate them under the provisions of the contract price for these ser- these costs through means that the Fair Employment and Hous- vices based upon an undefined include reducing workforce, in ing Act (FEHA), expanding the and unspecified “area income” order to provide more funding for protected classifications under rate that presumably will include higher education. FEHA for contractors of the wages from different industries (Continued, see Killers, page 39) and different occupations that

38 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

CALCHAMBER’S ‘JOB KILLERS’ FOR 2018 [CONT’D] digital marketplace to include employers to unfair public crit- for the purpose of improving leading to costly litigation over “familial status,” and creates icism, enforcement measures, public infrastructure and afford- preemption by the Federal Arbi- further confusion and uncertainty and significant litigation costs to able housing, which creates an tration Act. regarding the use and classifi- defend against meritless claims. opportunity for discriminatory SB 562 (Lara; D-Bell Gar- cation of independent contrac- and higher taxes to be imposed SB 1300 (Jackson; D-Santa dens) Government-Run Health tors. These new mandates will against disfavored industries and Barbara) Removes Legal Stand- Care—Penalizes responsible dramatically increase the amount commercial property owners. ing and Prohibits Release of employers and individuals and of frivolous litigation under FEHA Claims—Significantly increases ACA 11 (Caballero; D-Salinas) results in significant new taxes and the Private Attorneys Gen- litigation by removing standing Targeted Retail Industry Tax on all Californians and California eral Act (PAGA) for the digital requirement for plaintiff alleg- Increase—Exposes the retail businesses by creating a new marketplace. ing failure to prevent harass- industry to increased taxes by single-payer government-run, AB 3080 (Gonzalez Fletcher; ment or discrimination when no imposing a quarter-cent sales multibillion-dollar health care D-San Diego) Ban on Settlement harassment even occurs, limits tax increase to fund affordable system financed by an unspeci- Agreements and Arbitration the use of severance agree- housing and homeless shelters, fied and undeveloped “revenue Agreements—Significantly ments, and prohibits the use of without creating greatly needed plan.” expands employment litigation a general release or nondispar- market rate housing. SB 774 (Leyva; D-Chino) and increases costs for employ- agement clause in employer/ SB 49 (de León; D-Los Ange- Increased Permitting Fees and ers and employees by banning employee contracts. les) Creates Uncertainty and Delayed Permitting—Exposes settlement agreements for labor SB 1398 (Skinner; D-Berkeley) Increases Potential Litigation permittees to unknown, and employment claims as well Increased Tax Rate—Threatens Regarding Environmental Stan- increased fees by providing the as arbitration agreements made to significantly increase the dards—Creates uncertainty Department of Toxic Substances as a condition of employment, corporate tax rate on publicly by giving broad and sweeping Control (DTSC) a blank check to which is likely preempted under held corporations and financial discretion to State agencies to impose additional fees on per- the Federal Arbitration Act and institutions up to 15% according adopt rules and regulations more mittees to implement and per- will only delay the resolution of to the wages paid to employees stringent than the federal rules form its statutory requirements claims. Banning such agreements in the United States, and threat- and regulations in effect on when its primary sources of fund- benefits the trial attorneys, not ens to increase that rate by 50% January 19, 2017 through an ing have structural deficits and the employer or employee. thereafter, if the corporation or expedited administrative pro- creates substantial uncertainty ACA 22 (McCarty; D-Sacramento) institution reduces its workforce cedure without public partici- and delay of facility permitting by Middle Class Fiscal Relief Act— in the United States and simulta- pation or input, when the State interjecting a new board into the Unnecessarily increases Califor- neously increases its contractors. agencies determine that federal organizational structure. nia’s 8.84% corporate tax rate, action leads to less stringent 2017 JOB KILLER CARRY- SCA 6 (Wiener; D-San Francisco) already one of the highest in the laws and regulations than those OVER BILLS Lowers Vote Requirement for nation, to 18.84%, which will in effect on January 19, 2017; and AB 127 (Committee on Budget) Tax Increases—Unnecessarily encourage companies to leave increases the potential for costly Threatens Energy Reliability— reduces the voter threshold from the state and discourage compa- litigation by creating private Threatens energy reliability and two-thirds to 55% for local gov- nies from expanding or relocat- rights of action under California will lead to the elimination of ernments to enact special taxes, ing here. law, which may be triggered jobs by mandating the closure including parcel taxes, for the when a State agency takes the SB 1284 (Jackson; D-Santa Bar- of the Aliso Canyon natural gas purpose of providing transpor- foregoing discretionary action. bara) Disclosure of Company Pay storage facility. tation services, which creates an Data—Unfairly requires Califor- ACA 4 (Aguiar-Curry; D-Winters) SB 538 (Monning; D-Carmel) opportunity for discriminatory nia employers to submit pay data Lowers Vote Requirement for Arbitration Discrimination— and higher taxes to be imposed to the Department of Industrial New Tax Increases—Unnecessar- Unfairly and unlawfully dis- against disfavored industries and Relations creating a false impres- ily reduces the voter threshold criminates against arbitration commercial property owners. • sion of wage discrimination or agreements by restricting the from two-thirds to 55% for local Reprinted from advocacy.calcham- unequal pay where none exists formation of antitrust arbitration governments to enact special ber.com, January 29, 2018 and, therefore, subjecting taxes including parcel taxes, agreements in hospital contracts,

39 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: ENVIRONMENTALISM OR ‘NANNY STATE’? BY BILLY KOBIN, SACRAMENTO BEE

Environmental advocates in Cal- similar ban again this year and to would impose “overarching ifornia who successfully pushed keep up the effort to limit plastic restrictions on everyone.” for a ban on single-use plastic bottle cap waste. “Instead of going after people bags have expanded their fight Stone said he would like to see littering, we are going to make against plastic waste, targeting lawmakers and private industry law-abiding citizens have restric- straws and bottle caps and call- put together a comprehensive tions on their straws. It is really ing on the state to increase the plan to address plastic waste ludicrous,” Fleischman said. amount of recycled material in overall, but disagreements have “If you use a little bit of public plastic water and soda bottles. EFFORTS TO hindered that process. Until that education, people will do the REGULATE The efforts face stiff opposition happens, Stone said, “we’re left right thing without there having PLASTIC IN from the beverage and plastic with policies around individual to be legislation.” industries, however, and oppo- products.” CALIFORNIA These recent legislative pro- nents buried one bill on Monday. TAKE OFF. Joining the push to limit plas- posals follow several steps the Assembly Bill 319, introduced tic waste is Assemblyman Ian Legislature has taken in the by Assemblyman Mark Stone, Calderon, D-Whittier, who in- past few years to reduce plastic D-Scotts Valley, aimed to reduce troduced a bill last month that waste, such as bans on plastic plastic bottle cap waste by pro- would prohibit dine-in restau- microbeads in cosmetics and hibiting retailers from selling rants from giving plastic straws plastic bags. bottled beverages with a cap not to customers unless customers Bottled water, soft drink and tethered to the container. Lack- request them. Calderon says the plastic producers have opposed ing enough support from fellow bill would not ban straws but the efforts that target plastic Assembly Democrats, he decided would attempt to limit their use bottles, saying that consumers to let the measure die without and protect the environment. and producers would face a vote. “We need to create awareness increased costs. Stone said the resistance from around the issue of one-time-use The beverage industry, which the beverage industry on his plastic straws and its detrimental argued a tethered cap require- tethered cap bill was strong effects on our landfills, water- ment would be expensive and and featured the use of mislead- ways and oceans,” Calderon said inconvenient for companies ing tactics. in a news release announcing to implement, has previously the bill. “We expected that pushback poured millions into blocking from the industry,” Stone said. Republicans have blasted the proposals in California that tar- “But at some point, we really effort as unnecessary and an geted its industry, such as efforts owe it to ourselves to pursue a example of the worst kind of to tax soda and put warning comprehensive strategy to limit restrictive “nanny government.” labels on sugary drinks. overall plastic usage.” Jon Fleischman, a conservative The American Beverage Associa- Stone has made efforts in the blogger and former state GOP tion led the effort against AB 319. past to restrict individual plastic official, said while littering “The best way to improve on cap products, including unsuccessful should be punished, Calderon’s recycling is with public service attempts to ban plastic cigarette proposal is “nonsensical” and (Continued, see Regulate, page 41) filters. He plans to propose a

40 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

EFFORTS TO REGULATE PLASTIC [CONT’D] reminders that get people to The group says taking these bottles were sold in California, ‘Keep the Caps On!’ when dis- steps will support green jobs and 8.6 billion of those bottles carding containers in recycling in California and help the state were recycled, resulting in a 72 bins,” said Fredericka McGee, reach its goal of slashing green- percent recycling rate, according the group’s vice president of house gas emissions to 40 to data from CalRecycle, the PLASTIC California government affairs percent of 1990 levels by 2030, department that oversees the BEVERAGE and operations. according to the coalition. state’s recycling program. CONTAINERS The association spent nearly The California Plastics Recyclers Some beverage companies, such HAVE NO $400,000 last year to lobby bills Coalition includes five California as Naked Juice, are already pro- MINIMUM and other legislative matters, companies that take recycled ducing plastic bottles with higher RECYCLED including opposing AB 319, plastic water and soft drink amounts of recycled content than CONTENT according to filings submitted bottles and turn them into new the mandate would establish, MANDATE. to the California secretary of products. Their push for a re- said Paula Treat, a lobbyist for state. Opponents also are ac- cycled plastic content mandate the recyclers’ coalition. Treat tive contributors to legislative received a boost Monday, when said the minimum content man- campaigns. The ABA donated state senators approved Senate date would likely range from $52,300 last year to various Bill 168 to direct CalRecycle to 15 to 35 percent but could reach California lawmaker election establish minimum recycled con- 50 percent. campaigns, according to filings. tent standards for beverage con- Jacob Barron, senior manager of Pepsico gave more than $350,000 tainers, including plastic bottles, communications for the Plastics to legislative campaigns and the by 2023. Industry Association, said big two major political parties in the California currently mandates beverage companies are already 2015-16 election cycle. that glass containers are made making strides in using recycled Mark Murray, executive director with at least 35 percent recycled content. of Californians Against Waste, material and newsprint with at “We’re big supporters of using said the opposition helped least 50 percent recycled mate- more recycled content, but we’re sway some lawmakers against rial. Plastic beverage containers concerned a mandate might kind Stone’s bill. have no minimum recycled con- of smother that ongoing effort,” tent mandate. “(Lawmakers) told us, ‘Oh, I’ve Barron said. got a Coke facility in my district,’ Sen. Bob Wieckowski, D-Fre- The American Beverage Associa- or ‘Oh, I’ve got a bottled water mont, introduced SB 168 last tion believes a recycled content facility in my district,’ ” Murray year. The bill, which passed mandate would not increase said. “At the end of the day, I’m the Senate 28-6, will help give recycling rates in California, not sure legislators were all that momentum to the state’s McGee said. focused on the substance of recycling efforts and generate (Stone’s bill).” economic and environmental “No additional bottles will be benefits, Wieckowski said. collected or recycled as a result A coalition of plastic recycling of this minimum content require- companies is part of the push “We need to do more to improve ment,” McGee said. “It would to mandate the use of recycled recycling,” Wieckowski said. “I only shift recycled (plastic) in plastic—possibly as much as think it’s important that if we are use today from one product 50 percent—in the manufactur- going to be the leaders interna- to another product and raise ing of new plastic bottles and to tionally that we have these stan- the cost.” extend a program that supports dards that are higher.” California companies that make Apart from SB 168, other law- Californians buy a lot of plastic new products from recycled makers are planning on introduc- bottles. For the 2016-17 fiscal plastic bottles. ing legislation to revive a state year, about 11.88 billion plastic (Continued, see Regulate, page 42)

41 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

EFFORTS TO REGULATE PLASTIC [CONT’D] program that supported plastic “I think you’re going to see more The incentive program also sup- said China’s ban, coupled with recycling companies, Treat said. recyclers going out of business, ported in-state recycling, Murray the stalled plastic market de- as virgin plastics are cheaper,” said. More than 204,500 tons velopment program, results in a The state directed $10 million Treat said. of plastic containers were sold “double whammy” where recy- per year toward the program, in the state in 2016 alone, and cled materials are left sitting in which began in 2007 and encour- The program provided plastic more than 96,000 tons of those California with no demand aged plastic recyclers like the recycling companies with a $150 containers were recycled and for them. CPRC members to manufacture rebate for every ton of material processed in California for a 47 products from recycled plastic processed in state and paid man- Environmental advocates said percent in-state recycling rate, containers. However, the pro- ufacturers who make products taking steps to limit plastic waste according to CalRecycle. gram payments stopped at the out of the recycled material. It is necessary, but they acknowl- beginning of this year, and state helped attract more than $500 CPRC members want to increase edge how important and preva- lawmakers have yet to reautho- million in private investment for that in-state recycling rate, as lent plastic is in California. rize the program. the recycling industry, said Rich bottles are otherwise shipped “The reality is plastic is not going Costa, director of procurement, out of state or overseas, often Without the incentive program, away,” Stone said. “It’s every- sustainability and government to China, and used to make coalition members could face where.” affairs for CarbonLite Industries, products there. • difficult futures, and the use of a Riverside-based plastic Reprinted from www.sacbee.com, recycled material in making new But China implemented a ban recycling plant that is part of February 2, 2018. products could decrease, Treat on imports of recycled materials the CPRC. said. at the beginning of 2018. Costa

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surfaceAd.indd 1 2/27/2017 10:58:04 AM 42 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: CALIFORNIA RULES: NO MORE NO. 1 RESIN CODE FOR PETG BY JIM JOHNSON, PLASTICS NEWS

When is PET not PET? When it PETG flakes, when recycled, end Plastic Packaging Container Law, is PETG. up glomming on to PET flake to which assesses fees to container- create clumps that disrupt pro- makers based on the resin used, To the typical consumer, the cesses and equipment. Alexander explained. difference between PET and glycol-modified PET is simply “PETG is a copolymer. So it’s “There’s a huge financial incen- a letter. a polyester. But it’s a different tive to label your product any- composition than the PET that’s thing but a [No.] 7, if you will, so But to a polymer scientist worth used to make injection stretch that’s certainly a part of it. But her molecular weight, there’s a blow molded bottles, which are there’s also, I guess you would PET AND PETG huge difference. Especially when what a Coke bottle, a Pepsi bot- say, the negative connotation PERFORM it comes to recycling. DIFFERENTLY tle, a single-serve water bottle of a 7 being less than optimally And that’s why the Association [are made from],” Standish said. recyclable,” Alexander said. DURING THE of Plastic Recyclers worked for The introduction of glycol to PETG, he said, “wasn’t a 1, that’s RECYCLING years to clarify that difference create PETG from PET creates all we were saying, and the legis- PROCESS. in California, culminating in the a distinct material, one that per- lature agreed with us.” recent passage of a new law forms differently during process- that defines exactly what “We’ve probably been com- ing as well as recycling. constitutes PET. plaining about it for six or seven PETG, in the thermoformed con- years. We struggled to come up A workhorse of the container tainer market, is used in food with a solution,” the executive business, PET is the most recy- packaging. It’s also frequently director said. cled resin, especially in bottle used to package medical devices bill states like California, where Earlier work involved trying to and electronics. there is a financial incentive to create change through the ASTM recapture the material. It’s typically a shade of blue in industry standards process, but thermoformed medical applica- that didn’t go anywhere. The resin identification code for tions, and not typically found in years has labeled PET as a No. 1. “We just decided to take a shot the recycling stream, Standish But some PETG-container makers legislatively, and we were able explained. also have been putting a No. 1 to be successful. It’s been a rec- code on their products. “All we really did in California, we ognized problem for quite a long introduced a piece of legislation time,” Alexander said. And that’s a problem because that really clarified their existing PET and PETG perform differently “We created legislation that law,” APR Executive Director during the recycling process, simply was the definition of what Steve Alexander said. “All we did explained APR Technical Director PET is. It doesn’t even mention was just reinforce the definition John Standish. PETG. There could be other of what PET was for the purposes potential contaminants we elim- “It’s distinctly different,” he said. of the resin identification code inated as well, but PETG was the “It might sound silly, but people in California.” primary one we were focusing go, ‘It’s polyester, and all polyes- California emerged as an impor- on,” he said. ters are the same.’ And no, they tant market to make the dis- (Continued, see PETG, page 44) are not.” tinction due to the state’s Rigid

43 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

PETG RECYCLING [CONT’D]

It’s no surprise that polymer “Polyethylene terephthalate gly- “Because both PET and PETG are terephthalate to exclude PETG so chemistry can get confusing to col-modified (PETG) refers to PET comprised of polyethylene tere- that the materials can be effec- the layman, so here’s the lan- plastic resin with the addition of phthalate, they are both required tively sorted prior to recycling,” guage from the new law, AB 906: glycol. PETG eliminates hazing to be labeled with the ‘1’ resin the analysis states. that can occur when manufac- code. However, PET has a much “Polyethylene terephthalate is The new law, which becomes turing PET containers and is less higher processing temperature generally referred to as PET; it effective Oct. 1, defines PET brittle than PET. PETG also pro- than PETG. This creates signif- is also known as PETE, which is through certain characteristics, duces a softer and more pliable icant challenges for recycling. used in California statute. PET including its “melting peak tem- exterior surface, which is viewed When processed together, PETG is widely used in water and soft perature.” by some as more comfortable to melts and becomes sticky while • drink bottles and is used for a hold for consumers. Unlike PET, PET remains solid. This results in Copyright © 1995-2018 Crain variety of other products. PET is PETG does not have a consistent PETG sticking to PET chips, form- Communications Inc. All Rights recyclable; PET flakes and pellets melting point and becomes mol- ing large clumps that cannot be Reserved. Reprinted from plastics- are commonly recycled into other ten when heated. processed. This bill revises the news.com, February 27, 2018. types of packaging and fiber definition of polyethylene (e.g., carpet and microfiber).

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44 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: WHY SINGLE-PAYER WON’T WORK IN CALIFORNIA. YET BY ANGELA HART, SACRAMENTO BEE

Betty Doumas-Toto’s health The idea is not new. Republican Tremendous uncertainty exists insurance premium rose nearly Gov. Earl Warren suggested a over how a state-based single- 48 percent in January, to $800 taxpayer-financed universal payer system would work. No per month for an Affordable Care health care system in 1945. Voters matter how it’s crafted, the costs Act plan. She and her husband considered and defeated a ver- would be steep. Californians are both Los Angeles freelancers sion of universal care in 2004. likely would face huge increases in the film industry and are drain- Gov. Arnold Schwarzenegger to their tax bills—both to pay for ing their savings trying to keep vetoed a single-payer bill in 2006. it initially and to cover inevitable up with their monthly payments. cost increases in the future. CREATING SUCH Now there is renewed interest, A SYSTEM WOULD A Pomona mother of five named as proponents like Sen. Kamala Creating such a system would MORE THAN Claudia, who is undocumented, Harris and gubernatorial cost $400 billion per year, more DOUBLE THE can’t get health insurance candidate Gavin Newsom see than double the state budget, because of her immigration single-payer as the solution to according to an estimate by the STATE BUDGET. status. She’s losing her hearing, Republican-led efforts to unravel nonpartisan Legislative Analyst’s but can’t afford tests a doctor Obamacare. Evidence already Office, one the nurses dispute. ordered because the costs are shows the law is collapsing California taxpayers would be too high. under the weight of soaring on the hook for at least $200 out-of-pocket costs and fewer At an elder care home in the billion, with the expectation that affordable coverage options. Sacramento suburbs, small they would also no longer pay for business owners Harue Seki and As a result, Americans are spend- health care premiums, co-pays or her father Nori Seki say their 13 ing more of their income on med- insurance deductibles. employees largely use Medi-Cal ical care, delaying treatments Making that trade-off, both and rely on the emergency room or rationing medicine. Some are politically and financially, would when they get sick. opting out of purchasing insur- be difficult to achieve. ance altogether. “We’d really like to be able to On average, a person with pri- offer them health care ... but we “What happens when our sav- vate insurance now pays $6,690 can’t afford it, Harue Seki said. ings is gone? I get scared,” a year in premiums, according to “It makes it very difficult to com- Doumas-Toto said. “Democrats the Kaiser Family Foundation. pete as a small business owner.” in California have a chance to do something about that. They need The estimated tax increases The three women hope California to be brave.” needed to pay for a new sys- will lead the nation in building tem would be unprecedented. the first universal, taxpayer- The idea is being strenuously Under one scenario, the average financed “single payer” health pushed in the Legislature by the statewide sales tax rate would care system independent from California Nurses Association, have to jump from 8.5 percent the federal government. The but has stalled amid Democratic to nearly 37 percent to generate state would take over the busi- opposition in the Assembly and the amount of revenue needed. ness of health care, cut out in- is most likely dead for the year. Under another, California would surance companies and become No one has made a detailed have to create a new 15 percent the sole payer for all services, proposal with a financing plan. (Continued, see Trade-off, page 46) including primary care, surgeries Gov. Jerry Brown is skeptical. and prescription drugs.

45 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

TRADE-OFF WOULD BE DIFFICULT TO ACHIEVE [CONT’D] payroll tax, withholding $150 To capture the $200 billion in “No legislator is going to vote for and professor of economics at from a $1,000-a-week paycheck. public money currently spent on a system that passes those costs Harvard. “People aren’t going to Medi-Cal, Medicare and federal on to consumers in the form of say ‘Ooh goody, let’s let a large “The tax increases we’re talking Covered California subsidies higher taxes,” he said. “That’s a share of the population go with- about are so ridiculously high and divert it to a state-based very tough sell to anyone from out health care.” that you can’t assume there single-payer system, lawmakers any political party.” wouldn’t be significant behav- Some see an opportunity for would have to secure numerous ioral responses—people earning American costs are the highest the state to go even further federal waivers, legal exemptions less income or leaving the state,” of the world’s industrialized than Obamacare, which doesn’t to the Affordable Care Act and said Alan Auerbach, a UC Berke- counties. include people like Claudia, the controversial changes to regula- ley economist who directs its undocumented Pomona mom. tions governing private insurance The United States spent nearly Robert D. Burch Center for Tax plans—highly unlikely under $3.5 trillion on health care “When I feel pain or something, Policy and Public Finance. President Donald Trump and the last year—more than $10,000 I just hope it goes away,” she Harue Seki said she’d be willing Republican-controlled Congress. per-capita—and spending is said. Claudia is afraid her family to pay higher taxes in exchange expected to climb 5.5 percent will be targeted by an Immigra- Voters would likely have to agree for single-payer. each year from now until 2026, tion and Customs Enforcement to raise the state’s constitutional according to the Centers for raid, so The Sacramento Bee “I’m already paying 700 bucks spending cap and alter the state’s Medicare and Medicaid. agreed to not use her last name. a month for a policy. I’d rather school spending guarantee. Two- “If I need blood work or I get have it be to a state system be- thirds of lawmakers would have “Overwhelmingly, the reason we sick, the first thing that comes to cause the state is not going to to approve any tax hikes needed spend so much more is not be- mind is ‘I’m going to have to take have a big profit motive,” Seki to raise $200 billion a year. cause we use more health care, some money from another bill or said. “I’ve tried private insurance but because we pay higher prices Even that might not be enough. rent to pay for it.’” this long, and it’s not working. in California and across the U.S. Health care costs are continuing Single-payer wouldn’t be perfect, —higher prices for drugs, higher A single-payer system could to soar, fueled by uncontrolled but at least it’d be controlled by prices for hospital care, higher cover her, yet without a way to prices in America’s market-driven a government entity with some prices for physician care,” said control rising costs, even greater system. public oversight and not a giant Larry Levitt, a health economist year-over-year tax increases corporation.” The state of Vermont learned and co-executive director for the would be required to operate a that lesson when its Democratic Program for the Study of Health universal, single-payer system. California currently spends governor tried to implement his Reform and Private Insurance at Unlike the federal government, roughly $400 billion per year on version of single-payer four years the Kaiser Family Foundation. California cannot operate with a health care, according to a Sac- ago. Former Vermont Gov. Peter “Every other country has some budget deficit. ramento Bee analysis of national Shumlin abandoned his plans in kind of government mechanism health expenditure data from the Major changes to state law 2014, despite winning majority to control prices.” Centers for Medicare and Medic- would be needed to forestall support from liberal legislators in aid, projections by state health The Trump administration, mean- even greater tax hikes, including a deep-blue state that produced care analysts and independent while, is working to dismantle deep payment cuts to medical Sen. Bernie Sanders, who has health economists. Obamacare and undo regulations providers, state-regulated caps championed a national “Medi- put in place under former Pres- on total health spending and Half of that comes from taxpay- care-for-all” single-payer plan. ident Barack Obama aimed at large-scale transformations in ers, in the form of federal and “My critics say I abandoned sin- controlling costs, sparking the way providers are paid, to state funding for Medi-Cal, the gle-payer because it was too ex- renewed urgency in California a structure that rewards better health insurance program for the pensive,” Shumlin said. “That’s for a single-payer system. health outcomes rather than poor, Medicare for people 65 and not accurate. I abandoned sin- more care and expensive older and Covered California pre- “The more Republicans destroy gle-payer because health care in procedures. mium subsidies. Most of the rest the Affordable Care Act, the America is too expensive. Until is in the commercial market, with more people decide single-payer Single-payer proponents argue we get costs under control, there more than 15 million Californians is what they want,” said David the government can achieve is no system that we can afford.” covered through their employers. Cutler, a health policy expert (Continued, see Trade-off, page 47)

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TRADE-OFF WOULD BE DIFFICULT TO ACHIEVE [CONT’D] widespread savings by providing —including advertising, billing A coalition of pharmacy, hospi- everyone with access to pre- and profits—are 1 to 2 percent of tal and doctor groups formed ventive care, negotiating lower total program costs, compared this year to kill any remaining provider rates, bulk purchasing to 11 percent for employer-spon- chances to revive a Democratic of pharmaceuticals and cutting sored insurance and up to 20 proposal to create a single-payer THE HEALTH health industry overhead— percent of for individual insur- system for California. The Coa- CARE SYSTEM executive pay, profits, marketing ance, according to an estimate lition to Protect Access to Care HAS BECOME budgets and other administra- by the Kaiser Family Foundation. includes the California Medical AN INDUSTRY tive costs. Association, Kaiser Permanente “When you eliminate all that WHERE MONEY and the California Pharmacists The nurses are convinced those complexity, which is causing all IS THE METRIC Association, among others. major changes would bring down these inefficiencies, you get the OF GOOD current costs and control them in biggest chunk of savings,” said Members have been meeting MEDICINE. the future. Jim Kahn, a doctor and professor with lawmakers and thanking at the University of California, them publicly on Twitter for “The reason we take this on is San Francisco School of Medi- opposing the single-payer because the health care system cine. “When every patient has proposal, Senate Bill 562, still has become an industry where exactly the same coverage, you languishing in the Legislature. money is the metric of good med- get rid of that back-and-forth They say they want to #SaveT- icine,” said Michael Lighty, direc- discussion with insurance com- heACA, and include doctors who tor of public policy for the nurses panies about ‘Why didn’t you pay ultimately think a single-payer association. “Simply providing for this, why you didn’t pay for system is the wrong way to go. insurance to everyone will not that?’” solve these problems.” Supporters say they may just Still, some argue the savings have to wait for a different gover- Their projections come from would not be nearly enough to nor and a friendly federal admin- University of Massachusetts counter rising costs. The alterna- istration. Amherst economist Robert Pollin, tive? Rationing care. who co-authored a 2017 nurses “If you try and change things too study on a single-payer bill that “I don’t think you can just take fast, it will cause problems and stalled in the Legislature last it on faith that costs will be con- the public won’t like it. They’ll year. The study estimated total trolled,” Levitt said. “Otherwise worry about what will happen spending of $331 billion per year. you’ve got tremendous cost with their health insurance,” said over-runs and taxes have to keep Stephen Tarzynski, a practicing No clear consensus concludes going up, or you’ve got to cut doctor and president of the Cal- how much savings a single- back on care if you don’t have ifornia Physicians Alliance. “You payer system could achieve. But the money to pay for it.” want to bring people along with according to more than a dozen you, not create resentment and experts The Sacramento Bee in- The political hurdles would be opposition.” terviewed, including economists, monumental, with the insurance • health care analysts and doctors, industry, pharmaceutical com- Reprinted from sacbee.com, some evidence shows that the panies and hospitals opposed to March 13, 2018 approach could result in savings. the concept. It’s already inviting backlash from those who would For traditional Medicare, for rather fix the current problems example, administrative costs with Obamacare.

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LEGISLATION: IMMIGRANT WORKER PROTEC- TION ACT (AB 450) FAQ

The California Labor Commis- sioner have exclusive authority to a nonpublic area of a place sioner and California Attorney to enforce this new law. of labor? General provide this joint guid- Yes. Employers that violate this Which employers are subject to ance on AB 450. provision are subject to civil the provisions of AB 450? penalties of $2,000 to $5,000 for What is the Immigrant Worker The provisions of this law apply a first violation, and $5,000 to Protection Act (AB 450)? to all public and private employ- $10,000 for each subsequent Starting January 1, 2018, the ers. violation. For purposes of this Immigrant Worker Protection What does this law prohibit penalty, a “violation” means Act (AB 450) imposes various employers from doing if an each incident when it is found prohibitions and requirements THIS LAW immigration enforcement agent that a violation occurred, regard- on employers with regard to APPLIES TO seeks to enter the employer’s less of the number of employees, worksite inspections by immigra- ALL PUBLIC place of business? the number of immigration en- tion enforcement agents. AND PRIVATE The law prohibits employers, forcement agents involved in the EMPLOYERS. The law sets forth certain prohi- or persons acting on behalf of incident, or the number of loca- bitions on employer conduct if an the employer, from providing tions affected in a day. immigration enforcement agent “voluntary consent” to the entry However, an employer would not seeks to enter the employer’s of an immigration enforcement be subject to this penalty provi- place of business or requests agent to “any nonpublic areas of sion if the immigration enforce- employee records, subject to a place of labor.” ment agent provides a judicial certain specified exceptions. It Accordingly, there is no violation warrant. also mandates that employers of this provision if the agent en- comply with specific notice re- See Government Code Section ters a nonpublic area without the quirements to employees if the 7285.1. consent of the employer or other employer receives notice from an person in control of the place What does it mean to provide immigration agency of an upcom- of labor. In addition, employers “voluntary” consent to the entry ing inspection of I-9 Employment are not precluded from taking of an immigration enforcement Eligibility Verification Forms or an agent to a nonpublic area if agent? other employment records. employees are not present in In general, for consent to be Finally, it prohibits employers the nonpublic area; the agent is voluntary, it should not be the from reverifying employment taken to the nonpublic area for result of duress or coercion, eligibility of any current employ- the purpose of verifying whether either express or implied. ee at a time or in a manner not the agent has a judicial warrant; required by federal immigration An example of providing “vol- and no consent to search the law. The details of employer ob- untary” consent to enter a nonpublic area is given in the ligations under these provisions, nonpublic area could be freely process. which trigger certain penalties asking or inviting an immigration for their violation, are discussed See Government Code Section enforcement agent to enter that more fully below. 7285.1. area. This could be indicated by words and/or by the act of freely Who is charged with enforcing Is there any penalty if an opening doors to that area for AB 450? employer provides voluntary the agent, for instance. The California Attorney General consent to the entry of an immi- (Continued, see FAQ, page 49) and California Labor Commis- gration enforcement agent

48 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FAQ FOR ASSEMBLY BILL 450 [CONT’D]

It is important for employers to “public” is not dispositive. It is Is there any penalty if an tion 7285.1) does not apply if the understand that whether or not important to recognize that every employer provides voluntary agent provides a judicial warrant. voluntary consent was given by place of employment is different consent to an immigration However, in the case where an the employer is a factual, case- and whether or not a business enforcement agent to access, immigration agent seeks to ac- by-case determination that will premise, or any part thereof, review, or obtain employee cess, obtain, or review employee be made based on the totality of constitutes a “nonpublic” area records? records from the employer, the circumstances in each specific of a place of labor is a factual, Yes. Employers that violate this penalty provision (under Govt. situation. case-by-case determination that provision are subject to civil Code Section 7285.2) does not will depend on an assessment penalties of $2,000 to $5,000 for apply if the agent provides either This law does not require phys- of all the circumstances in any a first violation, and $5,000 to a subpoena or judicial warrant ically blocking or physically given situation. $10,000 for each subsequent vio- for the employee records, or a interfering with the entry of an lation. For purposes of assessing Notice of Inspection for I-9 forms immigration enforcement agent Employers may wish to consult this penalty, a “violation” means and other documents. Employers in order to show that voluntary with their own legal counsel each incident when it is found may wish to consult with their consent was not provided. about their specific situation. that a violation occurred, regard- own legal counsel about com- Separate from understanding What is a “nonpublic” area of less of the number of employ- pliance with federal immigration what is required under AB 450, a place of labor? ees, the number of immigration law, and any legal obligations employers may also wish to The statute does not define the enforcement agents involved in if an immigration enforcement consult with their own legal meaning of “nonpublic” area nor the incident, or the number of agent issues a Notice of Inspec- counsel about any constitutional otherwise indicate that the term employee records accessed, tion, subpoena, or judicial war- protections that may apply to “nonpublic” should be given reviewed, or obtained. rant for employee records. their situation (and how to safe- anything but its usual or ordinary guard any such protections) if an However, an employer would not See Government Code Section meaning. A “nonpublic” area is immigration enforcement agent be subject to this penalty provi- 7285.2. one that the general public is not shows up at the employer’s place sion if: normally free to enter or access. What does it mean to provide of business. For example, this could be an • The immigration enforcement “voluntary” consent to an immi- office where payroll or personnel What does this law prohibit an agent provides a subpoena for gration enforcement agent to records are kept, or an area that employer from doing if a federal the employee records; or access, review, or obtain an employer designates (for in- immigration agent tries to access, employee records? • The agent provides a judicial stance, by posting signs or keep- review, or obtain employee In general, for consent to be warrant for the employee re- ing doors closed) as restricted records? voluntary, it should not be the cords; or to employees or management The law prohibits employers, or result of duress or coercion, of the business. persons acting on behalf of the • The employee records accessed, either express or implied. employer, from providing “volun- reviewed, or obtained by the The prohibition under AB 450 Examples of providing “volun- tary consent” to an immigration immigration enforcement agent against providing voluntary tary” consent could be freely enforcement agent “to access, are I-9 Employment Eligibility consent to the entry of an immi- stating to an immigration en- review, or obtain the employer’s Verification forms and other gration enforcement agent does forcement agent that the agent employee records.” documents that are requested not apply to a “public” area of a may look at employee records, in a Notice of Inspection issued place of labor—an area that the Accordingly, there is no violation freely telling the agent where under federal law. general public is normally free to of this provision if the agent to find employee records, or enter and access—such as the accesses, reviews, or obtains Employers need to be aware that freely turning on a computer or dining room of a restaurant or employee records without the the new law sets out different opening a file cabinet (in which the sales floor of a store during consent of the employer or other and distinct exceptions to its employee records are kept) for business hours. person in control of the place penalty provisions. In the case the agent. of labor. where an immigration agent Under AB 450, an employer’s It is important for employers to seeks to enter a nonpublic area designation (or non-designation) See Government Code Section understand that whether or not of a place of labor, the penalty of an area as “nonpublic” or 7285.2. (Continued, see FAQ, page 50) provision (under Govt. Code Sec-

49 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FAQ FOR ASSEMBLY BILL 450 [CONT’D] voluntary consent was given by obligations (separate from any poena is limited to the situation are separate matters that are not the employer is a factual, case- obligations under AB 450) if where the agent seeks to access, addressed by AB 450. by-case determination that will presented with either type of obtain, or review employee re- Under AB 450, what are the be made based on the totality of warrant. An employer may also cords (under Govt. Code Section notice requirements that an circumstances in each specific wish to consult with their own 7285.2). In the case where an employer must follow? situation. legal counsel about any consti- immigration enforcement agent The new state law requires that tutional protections that may enters a nonpublic area of a This law does not require phys- an employer must provide the apply to their specific situation place of labor with the voluntary ically blocking or physically following written notices to em- (and how to safeguard any such consent of the employer, there interfering with an immigration ployees regarding an inspection protections). is no statutory exception to the enforcement agent in order to by an immigration agency of I-9 separate penalty (under Govt. show that voluntary consent was Click here for a sample of a judi- Employment Eligibility Verifica- Code Section 7285.1) if the agent not provided. cial warrant. Employers should tion forms (“I-9 forms”) or other has a subpoena. (For questions understand that not all warrants employment records, including AB 450 refers to a “judicial war- on AB 450 requirements regard- will appear the same, and that the results of any such inspec- rant.” What type of document ing entry of an agent into a non- they may wish to consult with tion: qualifies as a judicial warrant? public area of a place of labor, their own attorney when pre- A judicial warrant is a warrant please see FAQs 4-7.) (1) Notice of inspection of I-9 sented with a purported warrant. that has been reviewed and forms or other employment re- Click here for a sample of a sub- signed by a judge upon a finding AB 450 also refers to a “sub- cords. Within 72 hours of receiv- poena. Employers should under- of probable cause. The name of poena.” What is a subpoena? ing a Notice of Inspection of I-9 stand that not all subpoenas will the issuing court will appear at A subpoena is a legal demand for forms or other employment re- appear the same, and that they the top of the warrant. the appearance of a witness or cords by an immigration agency, may wish to consult with their the production of documents or an employer must provide notice Documents issued by a govern- own attorney when presented other evidence at a specific time of the inspection to each current ment agency but not issued by a with a purported subpoena. and place. It can be issued under employee, and to the employee’s court and signed by a judge are the authority of a government As an employer, what should exclusive collective bargaining not judicial warrants. An immi- agency or an attorney without I do if an immigration enforce- representative (if any). The no- gration enforcement agent may the need for prior court approval ment agent provides a subpoena tice to employees must include show up with something called if the agency or attorney is au- or judicial warrant for employee the name of the immigration an “administrative warrant” or thorized to issue subpoenas records? agency conducting the inspec- a “warrant of deportation or under the law. A subpoena must When confronted with a sub- tion; the date the employer re- removal.” These documents are describe the particular informa- poena or judicial warrant for em- ceived the Notice of Inspection; not judicial warrants. tion sought. ployee records by an immigration the nature of the inspection to Under AB 450, both of the pen- enforcement agent, employers the extent known; and a copy of Employers need to be aware alty provisions noted above may wish to consult with their the Notice of Inspection. that AB 450 sets out different (under Govt. Code Sections own legal counsel about their and distinct exceptions to its This notice to employees must 7285.1 and 7285.2) do not apply legal rights and obligations, in penalty provisions. Under the be posted by the employer in the when an immigration enforce- order to evaluate the request and new law, where an immigration language normally used by the ment agent provides the em- to determine how to respond. enforcement agent seeks to ac- employer to communicate em- ployer with a judicial warrant. cess, obtain, or review employee AB 450 specifies that it does not ployment-related information to There is no statutory exception records, the penalty provision prohibit an employer, or person the employee. to the penalty if the agent pro- noted above (under Govt. Code acting on behalf of an employer, vides an administrative warrant. The Labor Commissioner has Section 7285.2) does not apply from challenging the validity of provided a template posting that Employers may wish to consult if the agent provides a subpoena a subpoena or judicial warrant employers may use to comply with their own legal counsel (or a judicial warrant or Notice in court. with this provision. to understand the differences of Inspection for I-9 forms and Any challenge to, or compliance between judicial warrants and other documents). This penalty Upon reasonable request, an with, a subpoena or judicial administrative warrants, and exception when an immigration employer must also provide an warrant for employee records the employer’s legal rights and enforcement agent has a sub- (Continued, see FAQ, page 51) 50 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

FAQ FOR ASSEMBLY BILL 450 [CONT’D] affected employee with a copy of An “affected employee” to whom Is there any penalty if an required by federal law” and do the Notice of Inspection from the notice of the above must be employer fails to comply with not restrict or limit an employer’s immigration agency. provided by the employer is an the foregoing notice provisions compliance with any memoran- employee identified by the immi- relating to an inspection by an dum of understanding governing (2) Notices relating to inspec- gration agency’s inspection to be immigration agency of I-9 forms use of the federal E-Verify tion results. Within 72 hours of an employee who may lack work or other employment records? system. receiving written notice from the • authorization, or whose work au- Yes. An employer who fails to immigration agency of the results Press release reprinted from thorization documents have been provide the required notices of the inspection of I-9 forms or California Attorney General’s identified as having deficiencies. is subject to civil penalties of other employment records, an office and California Department $2,000 to $5,000 for a first vio- employer must also provide to See Labor Code Section 90.2. of Industrial Relations. lation, and $5,000 to $10,000 for each current affected employee, Is the 72-hour time period for each subsequent violation. and to the employee’s exclusive posting a notice to employees collective bargaining representa- However, the penalty will not of an inspection of I-9 forms or tive (if any): apply if an employer fails to pro- other employment records trig- vide notice to an employee at the • A copy of the written notice gered by a visit by immigration express and specific direction or from the immigration agency that enforcement agents? request of the federal govern- provides the results of the in- No. Under the new state law, the ment. spection of the I-9 forms or other triggering event for the 72-hour employment records; and period to post a notice is the See Labor Code Section 90.2. receipt of a Notice of Inspection • Written notice of the obliga- Is there any other employer of I-9 forms or other employ- tions of the employer and the af- conduct that is prohibited under ment records. While a Notice fected employee arising from the AB 450? of Inspection is often delivered results of the inspection, which Yes. AB 450 also prohibits an during a visit from immigration must include a description of employer, or a person acting enforcement agents, it could also any and all deficiencies or other on behalf of an employer, from be delivered or served without items identified by the immigra- reverifying the employment eligi- an actual visit from govern- tion agency (in its written notice bility of any current employee at ment agents. It is important for of inspection results) that relate a time or in a manner that is not employers to understand both to the affected employee; the required by Section 1324a(b) of that a visit from immigration time period for correcting any po- Title 8 of the United States Code. enforcement agents does not tential deficiencies identified by Violation of this prohibition automatically trigger the 72-hour the immigration agency; the time subjects the employer to a civil period unless they serve a Notice and date of any meeting with the penalty up to $10,000. of Inspection seeking I-9 and/or employer to correct any iden- other employment records during See Labor Code Section 1019.2. tified deficiencies; and notice such a visit, and that the 72-hour that the employee has the right Does AB 450 require employers period can be triggered without to representation during any to defy federal requirements? any visit at all from immigration meeting scheduled with the em- No. Compliance with AB 450 authorities if a Notice of Inspec- ployer. Each affected employee’s does not compel any employer tion is delivered by some means notice shall relate only to that to violate federal law. Rather, it other than in person. Under AB individual affected employee, may require employers in some 450, regardless of how it is deliv- and must be delivered to the em- instances to decline requests for ered, a valid Notice of Inspection ployee by hand at the workplace voluntary cooperation by federal requires employers to post a if possible, or by mail and e-mail agents. However, the statute notice to all current employees (if known) if hand delivery is not makes clear that its provisions within 72 hours of receipt. possible. only apply “[e]xcept as otherwise

51 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: IT’S TIME TO PHASE OUT ALL SINGLE USE PLASTIC BY L.A. TIMES EDITORIAL BOARD

Faced with an unholy tonnage phasing out all single-use plastic, threat. Also, it puts makers of of chip bags, soda bottles, not just the most pernicious. disposable plastic on notice, so takeout containers and other they can’t complain they didn’t That’s right, all of it. If that disposable plastic items flowing have time to adapt or move into sounds like a pipe dream, con- into our landfills and our waters, other, less harmful product lines. sider what’s happening across winding up in wildlife, drinking the pond. Last month, British If we don’t cut back now, there water and food, policymakers in Prime Minister Theresa May out- will eventually be more plastic California have tried reining in lined a plan to eliminate plastic than fish in the ocean. AN ITEM-BY-ITEM, plastic waste bit by bit. For ex- waste by 2042. Queen Elizabeth CITY-BY-CITY ample, more than 100 cities have But even forewarned, the plastic II kicked it off this month by ban- adopted restrictions on polysty- industry isn’t likely to take an APPROACH ning plastic straws and bottles rene takeout containers, and assault on its bottom line well. ISN’T GOING from royal estates, and the the state has banned single-use Plastic makers spent millions of TO CUT IT. Church of England supported a plastic grocery bags. dollars trying to stop the state nascent social media campaign, from banning single-use plastic Considering the magnitude of the #plasticlesslent, to encourage its bags. Imagine what they might problem, however, this item-by- flock to give up plastic for Lent unleash if all their disposable item, city-by-city approach isn’t this year. Simultaneously, the plastic products were threat- going to cut it. European Union announced its ened. As part of that, they will no own plan to significantly reduce The state and local rules cer- doubt argue, as they did in the plastic waste, including adopting tainly have raised public aware- plastic bag fight, that the efforts a possible plastic tax, in a direct ness about the problem. Denying to clean up plastic waste would response to the news that China, free plastic bags at checkout or mean lost jobs. the largest importer of plastic re- providing plastic straws only on cyclable material, was no longer But it’s not a zero-sum game. request sends consumers an accepting “foreign garbage.” Cutting jobs on a disposable important message that there’s plastic product line doesn’t au- a bigger cost to these everyday We don’t expect President Trump tomatically translate into fewer items than they may have con- or Congress to follow suit, even people employed. If the door sidered. But the actual flow of though it’s impossible to pretend closes on polystyrene takeout trash has been disrupted only that the trash filling up in the containers, for example, it will modestly. ocean is naturally occurring. That open for cardboard and other leaves it to states like California It’s going to take more than a biodegradable alternatives. to step in. One strategy is for smattering of bans on single lawmakers to adopt a reduction No one expects consumers to items to cure society of its goal, as they did for greenhouse give up convenience completely. disposable-plastic habit. The gas emissions and energy de- In fact, the market for bio-plastic sheer volume of plastic trash rived from fossil fuels, and then alternatives, which are made now littering Earth has become to adopt specific programs to from corn starch and other bio- impossible to ignore. It’s time for meet that goal. It’s a simple but degradable sources, is already environmentalists, policymakers effective approach to tackling growing thanks to public aware- and elected officials to start such a formidable environmental (Continued, see Phase, page 53) planning a broader response:

52 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

PHASE OUT ALL SINGLE-USE PLASTIC [CONT’D] ness and the sporadic efforts around a reusable bag or worry to curb plastic waste. about a paper drinking straw falling apart mid…. Oh, wait. Opponents will insist that the No, it’s not. Knowing that every answer is just to encourage more piece of plastic manufactured on recycling. Not only is recycling Earth is still with us and that if not the answer (see China’s we don’t cut back now, there will diminished appetite for imported eventually be more plastic than plastic trash), it has only enabled fish in the ocean—that’s the truly our addiction to convenient, frightening thought.” disposable plastic packaging to • deepen for some 60 years. Reprinted from latimes.com, February 20, 2018. Yes, it’s scary to think about a world where one has to carry

53 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: MALIBU BANS RESTAURANTS FROM GIVING OUT PLASTIC STRAWS, STIRRERS, UTENSILS BY ALENE TCHEKMEDYIAN, L.A. TIMES

During every visit to the beach, “This is the right thing to do,” carded per day across the nation. Sheila Morovati, her husband said Mayor Rick Mullen. Even if Turns out, that number is based and their two kids each pick up people have to “pay a little more on research conducted by a teen- at least 10 pieces of trash. Al- for something to do the right ager who, in 2011, when he was most always, every item is made thing, it’s the right thing to do.” 9 years old, asked manufacturers of plastic: straws, bottle caps, how many straws they produce The new law marks the beach lids, forks. a day. It’s unclear how valid his MALIBU’S BAN town’s latest move to crack down figure is, but environmentalists ON STRAWS, So last year, Morovati helped on the distribution of single-use say it’s probably not far off. STIRRERS AND lead a campaign to get rid of plastics. Malibu was early to UTENSILS TAKES plastic straws in the city of adopt a plastic shopping bag “Give or take a couple hundred EFFECT JUNE 1. Malibu. The effort culminated ban, passing an ordinance in or thousands, it’s still an incred- Monday night with the City Coun- 2008 to keep bags from drifting ible number of straws per day,” cil banning the seaside town’s into the ocean and killing George said. roughly 65 restaurants and food marine life. Environmental activists said plas- vendors from offering or selling Los Angeles followed suit five tic is especially harmful when it plastic straws, stirrers and uten- years later, and eventually the winds up in the ocean because sils to customers. bag ban went statewide. Sup- it’s not biodegradable. “This is a community based on porters of the latest restrictions “It gets into smaller and smaller its ocean and beaches and we on plastic cutlery and straws in and smaller pieces, but it doesn’t want to protect those,” said Malibu hope it takes root in a go away,” said Harlin Savage, Craig George, the city’s environ- similar way. communications director for the mental sustainability director. “If Malibu is doing it, so many nonprofit recycler Eco-Cycle. “Individual cities have to decide other cities will follow suit,” “All plastic trash is winding up how they’re going to protect the Morovati said. in landfills, littering the country- earth,” he said. “We’ve got to side, in the oceans.” Critics say the ban will have far- start somewhere. If we can start reaching impacts on business This may not be the last ban on locally, that’s the best place to owners who may struggle to single-use plastics in the coastal start.” find—and pay for—viable alter- enclave. As a next step, Malibu Businesses have until June 1, natives, which are more expen- has its eye on another item often when the ban takes effect, to sive, in bulk. collected during beach cleanups: make the change, swapping out plastic lids. In a city report on the new law, • the plastic items for ones made officials cited a figure widely Reprinted from latimes.com, of paper, wood or bamboo. used by environmentalists when February 26, 2018. Diners are also encouraged to advocating for people to ditch use reusable straws and cutlery plastic straws: that 500 million made of metal or glass. single-use plastic straws are dis-

54 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: CALIFORNIA LAWMAKER TARGETS PLASTIC STRAWS AT RESTAURANTS BY MELODY GUTIERREZ, SAN FRANCISCO CHRONICLE

Three years after California finding a compostable paper Manhattan Beach (Los Angeles banned single-use plastic bags, straw that wouldn’t end up in the County) has a ban on all dispos- a state lawmaker is attempting bay and other waterways. able plastics, including straws. to make plastic straws the next Berkeley is considering a ban on Beverage manager Daniel Parks taboo item. plastic straws, while Santa Cruz said that in the time since Pagan does not allow plastic straws Assemblyman Ian Calderon, Idol made the change, he’s seen in to-go orders. Other cities are THE VOLUNTARY D-Whittier (Los Angeles County), a number of other bars and considering limiting the use of APPROACH TO introduced a bill this month that restaurants switch too, a move plastic straws, including Los would require servers at sit- environmentalists say is needed SOLVING THE Angeles. ENVIRONMEN- down restaurants to ask custom- to curb one of the leading causes of plastic pollution in the state. In San Francisco, the Golden TAL ISSUE WITH ers if they want a straw before providing one. It’s a small step, Gate Restaurant Association is “It started with plastic bags, and STRAWS IS MORE but Calderon said it’s in the right partnering with the Surfrider this is an important thing to get PALATABLE THAN direction. Foundation to highlight alterna- away from, too,” Parks said. STATE MANDATE. tives to plastic straws during its The bill would not apply to fast- Lewis said what was learned Restaurant Week, which began food restaurants, cafes or delis, from California’s plastic-bag ban Monday. or any takeout orders, where was that cities and counties had straws are far more likely to be Golden Gate Restaurant Associa- to take up the fight first before improperly disposed. It’s far tion executive director Gwyneth state lawmakers could muster short of a ban on plastic straws Borden said that kind of vol- enough votes in the Legislature. that environmental groups are untary approach to solving the pushing for, but its limited scope “It took years for the Legislature environmental issue with straws may make it easier to accept for to pass a ban on plastic bags,” is far more palatable than a state potential opponents, such as the Lewis said. “I don’t know if the mandate. restaurant industry. same will be true of straws.” “Not everything needs to be “Really, what’s at stake here is a Calderon’s bill, AB1884, is similar legislated,” Borden said. “The in- few moments of convenience cre- to city ordinances adopted in dustry will be more creative and ating a years-long environmental San Luis Obispo and Davis last innovative if given the opportu- threat,” said David Lewis, execu- year. Stan Gryczko, the assistant nity to come up with a solution.” tive director of Save the Bay. public works director in Davis, Borden questioned how AB1884 said that since the ordinance Some restaurants and bars have would be enforced. went into effect in the city in already taken steps to cut back September, there have been no “Will there be secret straw inves- or eliminate plastic-straw use. complaints. tigators?” Borden joked. It has been almost a year since Pagan Idol tiki bar in San Fran- “It’s been very quiet,” Gryczko “They don’t need to create a law cisco’s Financial District stopped said. around it,” she said. “You aren’t using plastic straws, instead (Continued, see Steps, page 56)

55 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

SOME HAVE ALREADY TAKEN STEPS [CONT’D] really even tackling where the Those that have stopped using The California Coastal Commis- Parks said there is a bit of a mass usage happens. The seg- plastic straws, such as Pagan sion’s annual coastal cleanup learning curve when a new cus- ment of the restaurant industry Idol, said they did not want to be days—where the type of trash tomer uses a paper straw for the that is struggling the most is part of a serious problem. found is logged— have found first time. full-service restaurants, and this plastic straws and stirrers the Millions of straws are used once “It’s almost like you have to law singles them out.” sixth-most- common type of litter and then discarded in the United teach them,” Parks said. on state beaches. Between 1989 Sharokina Shams, a vice presi- States each day, with some op- and 2014, the cleanup efforts Don’t handle the straw, he dent at the California Restaurant erations like the National Park yielded 736,000 straws and recommends. Paper straws are Association, said her industry Service saying some 500 million stirrers. not great for poking at ice or group has not had a chance to straws are discarded a day. And leaving in a drink for too long. look at the impacts of the bill or yet straws are not recycled, “We are aware of the problem take a position yet. in part because of the type of we’ve created with plastic and “That challenges our bartender plastic they are made from, and wanted to get away from it as to make the drinks absolutely “But I can say that the assem- because it’s too costly. much as possible,” said Parks, delicious,” Parks said. blyman’s approach is preferable • the beverage manager at to an outright ban of a product,” Straws end up in landfills, and Reprinted from sfchronicle.com, Pagan Idol. Shams said. “If it ultimately when improperly disposed, January 22, 2018. supports the idea of helping the oceans and waterways, where environment while also allowing they can break down into smaller consumers and businesses some pieces that are mistaken for food cost-effective choices, then it by fish and other marine life. could be workable.”

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56 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

57 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

58 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: WASHINGTON IS FIRST STATE TO BAN FLUORINATED CHEMICALS IN FOOD PACKAGING BY SONYA LUNDER, SENIOR ANALYST EWG

On Wednesday, Washington In 2017, EWG collaborated with The Washington ban takes effect Gov. Jay Inslee signed the first several national environmental in 2022 if the state’s Department state law to ban toxic fluorinated organizations and academic of Ecology has identified viable chemicals in food packaging, scientists to test fast food wrap- safer replacements for food such as microwave popcorn pers. The tests identified fluo- packaging by 2020. It marks bags, pizza boxes and fast-food rinated chemicals in 40 percent an important shift away from PFAS CHEMICALS wrappers. The ban—conditioned of the 327 wrappers, including regulating one chemical at a on the state identifying a safer packaging for sandwiches, pizza, time, to removing a whole class CAN MIGRATE alternative—is a major defeat fried chicken and pastries. of fluorinated chemicals in food OUT OF FOOD for the chemical and packaging Recent tests by the Center for packaging. WRAPPERS TO industries, which have quashed Environmental Health found EWG urges consumers who CONTAMINATE similar proposed bans in other fluorinated chemicals in every want to reduce their exposure states. microwave popcorn bag tested FOOD. to PFASs to tell the FDA to ban as well as in many types of take- The chemicals, known as PFASs these chemicals in food pack- out food containers, including or PFCs, have been linked to aging, and ask restaurants and those marked as compostable. cancer, thyroid disease, reduced food companies to stop using effectiveness of childhood vac- For decades, chemical compa- products with PFASs. You should cines and other serious health nies covered up the mounting support legislative efforts in your problems. PFAS chemicals are evidence that PFAS chemicals city or state, and groups working a family of greaseproof, water- were harmful to human health for PFAS bans, such as Toxic-Free proof and nonstick industrial and the environment. Under Future, which—along with other compounds used in hundreds pressure from the EPA, some Washington state advocates— of consumer products including PFASs were phased out, but the was instrumental in passing the Teflon, Scotchgard and Gore-Tex. replacement chemicals, including groundbreaking law. those used in food packaging, As early as 2008, tests by the In the meantime, pop your own are very similar in structure Food and Drug Administration popcorn on the stovetop, and and may be no safer. A recent found that PFAS chemicals could eat less packaged food and fast analysis by the Environmental migrate out of food wrappers foods. If you purchase dispos- Defense Fund shows the FDA has to contaminate food. In 2007, able products that touch food for rubber-stamped several dozens tests by the Environmental Pro- a cafe, restaurant or cafeteria, of PFAS chemicals for use in food tection Agency detected PFASs in check out the Center for Environ- packaging. the air released from just-heated mental Health’s report, which popcorn bags, suggesting people The public scrutiny on PFASs identifies PFAS-free products might also inhale these chem- puts pressure on food companies for commercial and institutional icals when eating microwave and restaurant chains to use purchasers. • popcorn. non-fluorinated wrappers. In the Reprinted from ewg.org, March absence of federal regulations, 22, 2018. states are leading the way.

59 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

LEGISLATION: CALIFORNIA LEGISLATIVE REPORT BY LAURIE HANSEN, WPA LEGISLATIVE DIRECTOR

The California Legislature is fac- leadership, not much attention include notices about the poten- ing deadlines at the end of April is being paid to legislative work. tial for the fabric to shed plastic to report bills out of policy com- microfibers, and a new form of But the focus on plastics is still mittees to keep the bills “alive” product stewardship for the EPS alive and well in the marine to the next step in the process. foodservice ware industry in the debris area, mandated post Laurie Hansen, Executive 2018 is the end of a two year form of an industry self funded consumer content and bans on and Legislative Director for session, so bills that don’t make council to fund EPS recycling Western Plastics Association polystyrene foam. Bills that were it to the Governor by September efforts statewide. introduced in February include will really be “dead.” legislation to limit access to Following is a synopsis of the With all of the anti-Trump actions plastic straws by customers in current bills. Click on the bill CLICK ON THE being taken by the State’s restaurants, labeling require- number to read the bill in its BILL NUMBER Attorney General and Legislative ments for polyester fabrics to latest form. • TO READ THE BILL IN ITS WPA TRACKED BILLS LATEST FORM. AB 1884 (Calderon D) Solid waste: single-use plastic straws. Location: 2/5/2018-A. NAT. RES. Summary: Current law establishes state programs for the regulation of various solid waste, including, among others, plastic products, tires, and electronics. Current law also imposes health and sanitation standards for retail food facilities, as defined, including restaurants. This bill would prohibit a food facil- ity, as specified, where food may be consumed on the premises from providing single-use plastic straws to consumers unless requested by the consumer, as specified. Position: Watch

AB 1933 (Maienschein R) Greenhouse Gas Reduction Fund: appropriations: recycling infrastructure projects. Location: 2/22/2018-A. NAT. RES. Summary: Would appropriate $200,000,000 from the Greenhouse Gas Reduction Fund to the Depart- ment of Resources Recycling and Recovery for organic waste recycling infrastructure projects that reduce greenhouse gas emissions and solid waste recycling infrastructure projects that reduce greenhouse gas emissions. Position: Watch

AB 2379 (Bloom D) Waste management: polyester microfiber. Location: 3/8/2018-A. NAT. RES. Summary: Would require that clothing made from fabric that is composed of more than 50% synthetic material bear a conspicuous label that is visible to the consumer at the point of sale, in the form of a sticker, hang tag, or any other label type, with specified information, including a statement that the gar- ment sheds plastic microfibers when washed. The bill would require clothing with that material composi- tion, if a care label is required pursuant to federal law, to include additional information on the care label, including that same statement. The bill would prohibit a person from selling or offering for sale clothing made from fabric that is composed of more than 50% synthetic material that does not bear those labels. The bill would make these provisions effective on January 1, 2020. Position: Watch

(Continued, see page 61)

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AB 2411 (McCarty D) Solid waste: use of compost: planning. Location: 4/2/2018-A. NAT. RES. Summary: Would require the Department of Resources Recycling and Recovery, on or before December 31, 2019, to develop and imple- ment a plan to maximize the use of compost for slope stabilization and establishing vegetation in the course of providing debris removal services following a fire and, in coordination with the Department of Transportation, to identify best practices of each of the Department of Transportation’s 12 districts regarding the cost-effective use of compost along roadways and develop a plan to expand the identified best practices to the other districts. Position: Watch

AB 2766 (Berman D) California Beverage Container Recycling and Litter Reduction Act: market development payments. Location: 3/8/2018-A. NAT. RES. Summary: Moneys in the California Beverage Container Recycling Fund are continuously appropriated to the Department of Resources Recycling and Recovery for certain payments, including, until January 1, 2018, market development payments. Former law authorized the department, until January 1, 2018, (1) to annually expend up to $10,000,000 from the fund to make market development payments to an entity certified by the department as a recycling center, processor, or dropoff or collection program for empty plastic beverage containers that are subsequently washed and processed into flake, pellet, or other form, and made usable for the manufacture of a plastic product, or to a product manufacturer for empty plastic beverage containers that are subsequently washed and processed into flake, pellet, or other form, and used by that product manufacturer to manufacture a product, and (2) to expend additional amounts to make market develop- ment payments, calculated as provided. This bill would authorize the department to again expend those amounts to make market develop- ment payments from January 1, 2018, until January 1, 2024. Position: Watch

AB 2921 (Low D) Polystyrene Food Service Packaging Recovery and Recycling Act. Location: 3/8/2018-A. NAT. RES. Summary: Would enact the Polystyrene Food Service Packaging Recovery and Recycling Act, which would authorize polystyrene food ser- vice packaging (PFP) manufacturers and polystyrene resin producers to form or designate an organization consisting of PFP manufacturers and resin producers, to be known as the Polystyrene Food Service Packaging Recycling Organization. Position: Watch

AB 3178 (Rubio D) Integrated waste management plans: source reduction and recycling element: diversion requirements. Location: 3/19/2018-A. NAT. RES. Summary: Would make findings that the storage of recyclable materials in amounts that exceed the design capacity or permitted capacity of a solid waste facility can pose a threat to public health and safety. The bill, notwithstanding the above-described diversion requirements, would authorize a jurisdiction to temporarily arrange for the disposal of recyclable material if the disposal is necessary for the facility to operate within its design or permit storage limits. This bill contains other related provisions and other existing laws. Position: Watch

AB 3232 (Friedman D) Zero-emissions buildings and sources of heat energy. Location: 3/15/2018-A. NAT. RES. Summary: Would require the commission, by January 1, 2020, to establish a plan to achieve the goal that all new residential and nonresi- dential buildings built on or after January 1, 2030, to be zero-emission buildings, as defined, and to develop a strategy to achieve the goal that the emissions of greenhouse gases from the state’s residential and nonresidential building stock shall be reduced to at least 50% below 1990 levels by January 1, 2030. Position: Watch

SB 71 (Wiener D) Solid waste: disposal. Location: 2/26/2018-A. U. & E. Summary: Current law authorizes a court, in a civil action by a recycling agent against a person alleged to have violated these laws, to ei- ther allow treble damages or award a civil penalty, as specified, against the unauthorized person removing the recyclable material, and to allow treble damages or award a higher civil penalty, as specified, against a person for a second violation and subsequent violations. This bill, where a city, county, or other local government agency has authorized a solid waste enterprise to handle solid waste, would subject an unauthorized person to these same damages for collecting, removing, or transporting solid waste generated by another person on residential, commercial, or industrial premises, except in compliance with applicable law. Position: Watch

(Continued, see page 62)

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SB 168 (Wieckowski D) Recycling: beverage containers. Location: 1/29/2018-A. DESK Summary: Current law requires each glass container manufacturer to use a minimum percentage of 35% of postfilled glass in the manufac- turing of its glass food, drink, or beverage containers. This bill would require the Department of Resources Recycling and Recovery, on or before January 1, 2023, to establish minimum content standards, as defined, for beverage containers that are constructed of metal, glass, or plastic, or other material, or any combination thereof, except as specified in the above provision. The bill would require the department, on or before January 1, 2020, to provide to the Legislature a report on the establishment and implementation of an extended producer responsibility program to replace the current California beverage container recycling program, as specified. Position: Watch

SB 993 (Hertzberg D) Sales tax: services. Location: 2/14/2018-S. GOV. & F. Summary: Would, on and after January 1, 2019, expand the Sales and Use Tax Law to impose a tax on the purchase of services by busi- nesses in California at a specified percentage of the sales price of the service. The bill would require the tax to be collected and remitted by the seller of the purchased services. The bill would exempt certain types of services, including health care services, from the tax and would exempt from the tax a business with gross receipts of less than $100,000 in the previous 4 quarters. Position: Watch

SB 1142 (Skinner D) Recycling: beverage containers. Location: 2/14/2018-S. RLS. Summary: Current law establishes the California Beverage Container Recycling and Litter Reduction Act, which requires that every bever- age container sold or offered for sale in this state have a minimum refund value. The act requires a beverage distributor to pay a redemp- tion payment to the Department of Resources Recycling and Recovery for every beverage container sold or offered for sale in the state to a dealer, and requires the department to deposit those amounts in the California Beverage Container Recycling Fund. This bill would make nonsubstantive changes to the provision naming the act. Position: Watch

SB 1335 (Allen D) Solid waste: disposable food service packaging: state agencies and large state facilities. Location: 3/1/2018-S. E.Q. Summary: Would enact the Sustainable Packaging for the State of California Act of 2018, which would prohibit a food service facility in a state agency or large state facility, on and after January 1, 2021, from dispensing prepared food to a customer using disposable food service packaging unless the type of disposable food service packaging is accepted for recovery by the recycling or composting program serving the state agency or large state facility and it has been demonstrated to the satisfaction of the department that the type of dispos- able food service packaging is recovered for recycling or composting at a rate of 75% or more.

62 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: AVANGARD INNOVATIVE NAMES JON STEPHENS NEW COO

Kicking off the new year with Mr. Stephens has made a few a bang, Jon Stephens took the personal commitments as well reins as the company’s new Chief in his new role. He is committed Operating Officer. Stephens’ to leading his team to feel long-standing tenure with Avan- empowered and inspired to gard Innovative (AI) began in learn. Ensuring that individuals 1997 when he started his career grow in their careers and find in sales in plastic scrap mar- personal fulfillment at AI will lead keting. His position grew along to even greater success for the with the company into recycling, company, and he is invested in AVANGARD equipment sales, OCC, metals new role as COO, he is spear- making that happen. and eventually landed him the heading the opening of the INNOVATIVE IS AVANGARD INNOVATIVE role of Executive Vice President Natura PCR™ (Post-Consumer THE LARGEST Avangard Innovative is the of Sales and Marketing before Resin) Plant based in Houston WASTE AND largest waste and recycling being named COO. as his most recent project. Ste- RECYCLING optimization company of its kind phens stated, “Our PCR plant is a OPTIMIZATION When asked what he is most in the Americas and employs a state of the art facility, where we COMPANY IN proud of over the past 20 years little more than 750 team mem- have invested in technology to of service with AI, he responded, bers worldwide within the 13 THE AMERICAS. provide a high-quality pellet for “I am most proud of the growth countries it operates in. For more the film and extrusion markets of this company that has become information, please visit www. to further our industry’s Circular a leader within an industry which avaicg.com. Economy goals.” He is equally • continues to evolve itself.” excited about the opportunities Press release reprinted from Jon eagerly looks forward to this to come from the launch of AI’s avaicg.com, January 22, 2018. new role and the opportunities new analytics software, Sus- it brings. Despite the challenges tayn™. This high-tech applica- that arise from a rapidly growing tion will allow Team AI to better company in an ever-changing serve its Environmental Partners industry, he is determined to on all levels of the recycling push the envelope of where AI process. can grow as a company. In this

63 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: BERRY INVESTING $70 MILLION IN INDIANA EXPANSION BY JIM JOHNSON, PLASTICS NEWS

Berry Global Group Inc. is invest- The installation will take place in BERRY GLOBAL GROUP INC. ing more than $70 million in its existing space at Berry’s facility Berry makes a variety of plastics hometown for a thermoforming in downtown Evansville. products including rigid, flexible expansion that’s expected to “Berry has enjoyed a long history and nonwoven offerings. The create up to 150 jobs. of operating in Evansville. During company had sales of $7.1 billion The Evansville, Ind.-based plas- that time we have pursued many in fiscal 2017. In thermoform- tics products company will install expansion projects in Evansville, ing, Berry ranks No. 7 in North four new thermoforming lines in for which both the city and state America in the latest Plastics EQUIPMENT existing space. have been supportive,” Galvez News ranking, with sales of said. $403 million. INSTALLATION “We’re partnering with certain IS EXPECTED TO customers within our core food Berry is receiving $1.5 million in The company has about 24,000 BEGIN IN THE service portfolio to address conditional tax credits from the employees around the world, including about 3,200 in NEAR TERM. unmet needs, introducing a new Indiana Economic Development proprietary advanced solution Corp. as well as $100,000 in job Indiana. • to the market, at a lower cost, training funds. The money is Reprinted from plasticsnews. with improved functionality and described as performance-based com, March 16, 2018. sustainability,” said Jean-Marc and tied to job creation. Galvez, president of Berry’s “Because of support such as this Consumer Packaging Division, we are able to, in turn, meet our in an email interview. customers’ increased demands, Berry expects to add about 50 while providing fulfilling and new employees each year during competitive jobs to local resi- the next three years. Equipment dents,” CEO Tom Salmon said installation is expected to “begin in a statement. in the near-term,” he said.

64 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: DELTA PLASTICS AND COMMAND PACKAGING HAVE MERGED

We are excited to announce that spectrum of environmentally DELTA PLASTICS OF Delta Plastics of the South has conscious, reusable carryout THE SOUTH acquired Command Packaging bags with the ability to execute We want you to know that we and Encore Recycling effective high quality, custom printing. deeply value our relationship January 30, 2018. with you as a trade partner and Encore Recycling, headquartered will continue to look to you to Command Packaging, headquar- in Salinas, California, was estab- provide the same high-quality tered in Vernon, California, has lished with a vision of creating materials and service going for- been a family owned manufac- high-quality PCR, sourced from ward. A smooth transition and turer that offers market leading contaminated ag plastics from continued efficient operations flexible packaging solutions. The the Central Valley to use in Com- THIS CHANGE are our highest priority. We hope company’s product line is used mand’s manufacturing process. this change will only create more WILL CREATE by major airlines, grocery chains, Although there are differences in opportunities for you to grow MORE OPPOR- retailers, and food service end machinery and methodology, the and expand with us. TUNITIES FOR markets who are looking for basis for their recycling opera- GROWTH. sustainable solutions tailored tions is not too dissimilar to our Thank you for your continued to their business needs. Com- Stuttgart plant. support of our business, and mand’s product offering is a full please do not hesitate to contact me with any questions or con- cerns. • Press release reprinted from Delta Plastics of the South, February 1, 2018.

65 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: PLASTIC SUPPLIERS, INC. ANNOUNCES $35 MILLION IN NEW EXPANSION FINANCING

Plastic Suppliers, Inc. announced “EarthFirst® UL is a big win including the materials used to today new financing facilities of for consumers, municipalities, make packaging, have been pro- $35 million including funding for retailers, brand owners, and duced, processed and handled capital expansion of $23 million packaging converters alike.” according to the highest stan- to increase capacity in 2018 and cites George Thomas, CEO of dards. Chief Technical Officer, 2019 in response to growing PSI. “It reduces packaging vol- Francisco Cavalcanti noted, “Al- demand for its EarthFirst® sus- ume entering the waste stream, though not a requirement of film tainable packaging and label lowers packaging-to-product manufacturers, our new films are THE COMPANY film businesses. Funding for the ratios, makes the entire supply in direct contact with food and WILL ALSO expansion comes from two facil- chain more cost effective, and is we see ourselves as an integral INVEST OVER ities: an $8 million facility to ex- compostable. We have a pipeline part of the final product. We feel pand and add manufacturing to of new sustainable products that it is critical that we elevate our $750,000 its Ghent Belgium site and a $27 build on this technical platform. manufacturing operations to the FOR SQF million facility to fund growth The capital will be used to ex- same food safety standards as CERTIFICATION. and add additional production pand our capabilities, enhance the food processors.” capacity to its Columbus Ohio our quality and R&D processes, PLASTIC SUPPLIERS, INC. manufacturing facilities. and meet the growing demand PSi is a global manufacturer of for innovative and sustainable Last October PSi, a pioneer in thin gauge films for the pack- packaging in the future.” developing films manufactured aging, food, beverage, medical, from renewable resources, an- KeyBank will provide funding personal care, office products, nounced the introduction of a for the Columbus expansion and other CPG segments with new, patented, ultra-lightweight and growth projects. “Key Bank offices in Columbus, Ohio, and film, EarthFirst® UL made from has earned our business and Ghent, Belgium. The company sugar cane, corn, and tapioca we are thrilled to have them as markets products in over 50 roots. The Company plans to add our banking partner,” cites PSi’s countries in The Americas, two new, high-speed production CFO, Michael DuFrayne. “They Europe, Asia, Africa, and lines and significantly increase have been extremely creative in The Middle East. • the capacity of a third line over adapting these facilities to our Reprinted from Plastic Suppliers the next 18 months. The new specific needs.” Inc press release, April 3, 2018. film replaces legacy petrochem- In addition to the new equip- ical-based films used today in ment, the company will invest flexible packaging applications. over $750,000 for SQF certifica- It not only reduces the amount tion by mid-year. SQF certifica- of film used in flexible packaging tion assures food retailers, brand by as much as 40%, but it is also owners, food processors, and less expensive and has the low- packaging converters that food, est carbon footprint of any film available today.

66 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: TEMKIN INSTALLS PCMC’S MERIDIAN LASER ANILOX CLEANER

Paper Converting Machine Com- more expensive base inks to PAPER CONVERTING pany (PCMC), part of Barry-Weh- achieve color, as well as creating MACHINE COMPANY miller, is pleased to announce downtime to tone ink. With the PCMC specializes in the design that Temkin International Inc.— Meridian laser anilox cleaner, and manufacture of high-per- a leader in the flexible film pack- rolls are cleaned to near full formance converting machinery aging industry located in Payson, volume minus wear, which elim- for the tissue, nonwovens and Utah—has completed its instal- inates our need for adding base package-printing industries lation of PCMC’s Meridian laser and toning time.” worldwide. Our comprehensive anilox cleaner. PCMC IS A A worldwide leader in the design product offerings include re- winding, laminating, printing, WORLDWIDE Formerly known as the Graph- and manufacture of inline and CI Bury laser anilox cleaner, the presses, PCMC also offers cus- embossing, perforating and LEADER IN THE packaging equipment for tis- DESIGN AND Meridian uses a powerful laser to tomers a commitment to quality and a dedication to service. The sue and towels; folding and MANUFACTURE clean anilox cells without dam- aging them, by vaporizing depos- company acquired Graphbury converting machines; and a OF INLINE AND ited particles inside of the cells. Machines in August of 2017. complete range of flexographic CI PRESSES. It deeply cleans chrome and printing presses, serving the flex- “The decision to buy from PCMC ceramic rolls of any line screen ible-packaging, prime-label and was an easy one,” continued without causing surface wear. carton-converting industries. Cowens. “The Meridian has The result is a superior clean, im- BARRY-WEHMILLER advanced laser technology and proved print quality and a longer Barry-Wehmiller is a diversified is backed by PCMC’s superior life for anilox rolls. global supplier of engineering customer service and support.” consulting and manufacturing “The addition of the Meridian “I’m thrilled that Temkin Interna- technology for the packaging, laser anilox cleaner has sig- tional has had such exceptional corrugating, sheeting and nificantly saved us time and results with the Meridian laser paper-converting industries. By money,” commented John Cow- anilox cleaner,” said Rich Stratz, blending people-centric leader- ens, Director of Printing and Regional Sales Manager at ship with disciplined operational Prepress at Temkin International. PCMC. “The Meridian is a great strategies and purpose-driven “Using our old cleaning method, compliment to the other PCMC growth, Barry-Wehmiller has we would lose volume over time, machines that Temkin runs.” become a $2.8 billion organiza- which would require us to use tion with more than 11,000 team members united by a common belief: to use the power of busi- ness to build a better world. CEO Bob Chapman shares the story of the company’s transformation in his new book, Everybody Mat- ters: The Extraordinary Power of Caring for Your People Like Family.• Reprinted from PCMC press release, January 4, 2018.

67 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: SHIP & SHORE JOINS FORCES WITH UC IRVINE SCHOOL OF PHYSICAL SCIENCES

Ship & Shore Environmental Inc., leaders who are primarily their a leading U.S. pollution abate- company’s top decision-makers. ment firm, announced today Through special programs and that it has joined forces with UC peer-to-peer networking, busi- Irvine to commence a program ness leaders gain direct access of collaboration, exchange of to UC Irvine’s leadership, the best practices, research and intellectual capital of its faculty professional engagements. In and students, and its research. CEO OSKOUIAN addition, S&SE’s CEO Anoosheh Correspondingly, the university’s Oskouian has become a member leadership and students benefit JOINS UCI’S of UC Irvine’s School of Physical from liaisons with businesses LEADERSHIP Sciences Dean’s Leadership that can expand learning, accel- COUNCIL AND Council as well as UCI’s Execu- the world, including F. Sherwood erate research, and build pipe- EXECUTIVE tive Roundtable, a gateway to Rowland who discovered CFC lines to the marketplace. mutually beneficial cooperation ozone depletion. The AirUCI cen- ROUNDTABLE. SHIP & SHORE and knowledge transfer between ter (Atmospheric Integrated Re- Ship & Shore Environmental, the business community and the search) is acclaimed for leading Inc. is a Long Beach, Calif.-based university. research to understand and solve air pollution and other climate woman-owned, certified busi- “I am delighted and honored issues, and our Department of ness specializing in air pollution to begin this new journey with Earth System Science was the capture and control systems UC Irvine. We have been in dis- first in the nation established to for industrial applications. Ship cussion for months on how we exclusively study the scientific & Shore helps major manufac- can collaborate and share best basis of global environmental turers meet Volatile Organic practices. UC Irvine is truly a problems.” Compounds (VOC) abatement stellar academic and research challenges by providing cus- institution which seeks to ad- UCI’s School of Physical Sci- tomized energy-efficient air vance in the areas of science and ences trains the future scientific pollution abatement systems for technology, and we are honored trailblazers and performs inter- various industries, resulting in that they would like to join forces disciplinary research to catalyze improved operational efficiency with us,” said Anoosheh Osk- breakthrough solutions to some and tailored “green” solutions. ouian, CEO of Ship & Shore. of our time’s most existential Since 2000, Ship & Shore has challenges and exciting ques- been prepared to handle and “We are thrilled to partner with tions: human disease, climate advise on the full spectrum of Ship & Shore Environmental change and advancing humanity environmental needs with its and look forward to exploring through a deeper understanding complete array of engineering new insight and solutions to the of the world around us. and manufacturing capabilities ever critical environmental chal- and multiple offices around the lenges the world is facing,” said The UCI Executive Roundtable U.S., Canada, Europe and, most Kenneth C. Janda, Dean of the was founded in 1986 to advance recently, China. UCI School of Physical Sciences. the alliance between UC Irvine • “Since inception, our School has and Orange County business Reprinted from Ship and Shore been home to some of the most leaders. It is comprised of about Environmental press release, renowned climate scientists in 70 Orange County business February 13, 2018.

68 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: SHIP & SHORE EXPANDS TEAM TO SUPPORT RECENT GROWTH

Ship & Shore Environmental Inc., As Senior Sales Engineering for manufacturers and help a leading U.S. pollution abate- Manager at S&SE, Mike Paw- expand the international market ment firm, announced today the lowski brings four decades of for S&SE. expansion of its sales force to experience in sales and engineer- S&SE’s technologies reduce meet the growing market demand ing of sustainable energy solu- pollution in safe and controlled for pollution solutions and the tions, thermal oxidizers, process, environments while increasing ever-increasing demand by local project, maintenance, and plant operational efficiency, decreas- regulatory agencies. Each of the engineering in commodity chemi- ing costs and minimizing envi- newest additions are key players cals within the power generation, ronmental effects. Recent growth in the company’s 2018 sector plastics, specialty chemical and has drawn in exceptional talent diversification strategy and will consumer product markets. THE NEWEST that is sure to take the company support the rise in activities APPOINTMENTS As Senior Technical Sales Man- into new levels of success. generated from the company’s WILL PLAY A ager at S&SE, Gunnar Peterson recent boom. SHIP & SHORE will be providing unmatched MAJOR ROLE IN Ship & Shore Environmental, Ship & Shore Environmental experience in the remediation S&SE’S SECTOR Inc. is a Long Beach, Calif.-based is pleased to announce the ap- sector. Throughout his career, DIVERSIFICATION woman-owned, certified busi- pointments of Mike Pawlowski, Gunnar has been intricately STRATEGY. ness specializing in air pollution Gunnar Peterson and Michael involved with all types of site capture and control systems Rupp as Senior Sales Managers cleanup goals by integrating for industrial applications. Ship representing the company in the proper treatment solutions & Shore helps major manufac- geographical locations across to cost effectively and safely turers meet Volatile Organic the United States. These gen- treat a broad range of con- Compounds (VOC) abatement tlemen will assist the company taminated water, soil and air challenges by providing cus- with their ongoing sales efforts in process streams. He specializes tomized energy-efficient air various industries and lead them in applications where sites are pollution abatement systems for into new sectors including Oil contaminated with chlorinated various industries, resulting in & Gas, Remediation, Soil Vapor or hydrocarbon and co-mingled improved operational efficiency Extraction, and the Sustainability VOCs and in-organics. He has not and tailored “green” solutions. industries. only assisted with equipment Since 2000, Ship & Shore has remediation solutions but has “In 2018, we decided to strengthen been prepared to handle and installed, optimized, upgraded, our team with proven industry advise on the full spectrum of and repaired a wide range of leaders that fit our sector di- environmental needs with its groundwater treatment systems. versification strategy, allowing complete array of engineering us to rapidly address the field As Head of Oxidizer and After- and manufacturing capabilities of opportunities in each of our market Sales at S&SE, Michael and multiple offices around the core markets,” said Anoosheh Rupp brings over two decades of U.S., Canada, Europe and, most Oskouian, CEO of Ship & Shore sales and engineering experience recently, China. • Environmental, Inc. “I am excited in Regenerative Thermal Oxidiz- Reprinted from Ship and Shore about the talent that we have ers (RTOs) and VOC Concentrator Environmental press release, brought to our sales organization systems. He will educate the March 20, 2018. with the addition of these gen- industry on our pollution tech- tlemen.” nology and innovative solutions

69 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: SHIP & SHORE SIGNS FIVE NEW DEALS

Ship & Shore Environmental Inc., In 2017, company leadership Ship & Shore also signed a deal a pioneer in pollution abatement traveled back and forth to China with a major German printing solutions, today announced to continue to open that market company to provide a 15,000 strong results for 2017 with an for Ship & Shore, resulting in SCFM RTO for a personal hy- overall growth of 15%—a trend the signing of two major global giene company located in the that continued into the first quar- contracts. Ship & Shore further U.S. Other U.S. projects include ter of 2018 with five new projects grew its presence in the flexog- the supply and fabrication for a to kick off the year. Company raphic and packaging industries 30,000 SCFM RTO for a packag- CEO Anoosheh Oskouian attri- by assisting manufacturers in ing & printing company in Min- butes these results to a growing, this space with meeting the nesota, a 35,000 SCFM RTO for SHIP AND SHORE highly professional and experi- latest EPA Regulations. Specifi- a coating & finishing company in ANNOUNCES enced team of engineers and cally, in September 2017, S&SE Texas, as well as another project STRONG OVERALL advisors and to the ROI that launched a “Keeping Up with the right here in California. Ship & Shore’s solutions provide EPA Campaign” effort to help GROWTH OF 15% SHIP & SHORE current customers and new man- companies address concerns and Ship & Shore Environmental, FOR 2017. ufacturers across the globe. meet regulations, while saving Inc. is a Long Beach, Calif.-based time and energy. “Ship & Shore “Despite the general perception woman-owned, certified busi- Environmental has hundreds of relaxed EPA rules at the fed- ness specializing in air pollution of customers, but the company eral level, we have witnessed a capture and control systems signed a significant amount of tightening of rules at the state for industrial applications. Ship new ones in 2017 due to our ex- level as well as a larger-than-ever & Shore helps major manufac- perienced team of engineers and demand from manufacturers. turers meet Volatile Organic advisors that tirelessly provide They realize that operating Compounds (VOC) abatement unmatched end-to-end pollution sustainably, with innovative challenges by providing cus- abatement services,” said COO, solutions that respect the tomized energy-efficient air Anu Vij. environment, not only reduces pollution abatement systems for pollution but is also beneficial Ship & Shore Environmental various industries, resulting in for business. We could not be closed five major projects this improved operational efficiency more proud to announce that month (January 2018) from dif- and tailored “green” solutions. Ship & Shore just closed five new ferent markets, reflecting the Since 2000, Ship & Shore has deals—we have grown as a com- overall accelerated demand for been prepared to handle and pany and as a team, and our goal green technology on a global advise on the full spectrum of remains the same: to help busi- scale. One of these ventures environmental needs with its nesses protect the environment,” involves work with a company in complete array of engineering said Anoosheh Oskouian, CEO of Dubai to provide a 10,000 SCFM and manufacturing capabilities Ship & Shore Environmental. In Regenerative Thermal Oxidizer and multiple offices around the addition to the new projects in (RTO). A more solidified partner- U.S., Canada, Europe and, most different parts of the globe, this ship with this Dubai company is recently, China. • year the company will be focus- in the works, allowing for Ship & Reprinted from Ship and Shore ing on new markets including the Shore’s entrance into the Middle Environmental press release, water and oil & gas sectors. & Far East markets. January 31, 2018.

70 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: KENDALL PACKAGING ADDS 10C MIRAFLEX II AM PRESS

Kendall Packaging, a provider impact on brand value through food, nonretail and personal care of high-quality flexible packag- consistency, repeatability and products. Unique and efficient ing solutions serving a variety overall package integrity. By packaging designs and high-im- of markets inside the food, partnering with W&H, we are pact print quality ensures that personal care, and pet food able to further address our end products will grab consumer industries, has completed the broader corporate sustainability attention. Our superior package expansion of its Pittsburg, KS goals, including general waste integrity and 100-percent on-time plant with the installation of a reduction, lower energy con- delivery show our commitment 10c MIRAFLEX II AM press from sumption and better overall to total customer satisfaction. Windmoeller & Hoelscher. environmental stewardship.” Locations in Jefferson, Wisconsin, and Pittsburg, Kansas, provide THE NEW PRESS The new press is just one part of The MIRAFLEX II AM in the Pitts- quality, efficient solutions with IS PART OF A a $10 million dollar expansion, burg plant is Kendall’s fourth state-of-the-art printing presses $10 MILLION which added 59,000 ft2 and W&H press and the first such and laminating and slitting EXPANSION state-of-the-art machinery, also model sold in North America. It equipment. AT KENDALL including solvent-free laminating is equipped with W&H’s fully in- PACKAGING. and slitting to the existing facil- tegrated VISION web inspection WINDMÖLLER & HÖLSCHER ity. With the expansion complete, system with Defect Check and Windmöller & Hölscher, a family Kendall now has two plants with Color Check, which Erickson is owned company, is world leader identical platforms— in Pittsburg looking forward to having as a for machinery and systems for and in Jefferson, WI, giving the part of the company’s diagnos- the manufacturing and con- company the unique benefit of tic capabilities. An additional verting of flexible packaging. being its own back-up. feature on the new press is the The product portfolio includes award-winning TURBOCLEAN high-performance machines “It’s important that Kendall ADVANCED E inking and for film extrusion, printing and Packaging continues to evolve wash-up system with electric converting. As a global company and remain on the vanguard of pulsation-free pumps, which W&H offers its clients everything the flexible packaging industry significantly reduce both ink from a single source: from expert for the benefit of our customers and energy consumption. consultation and engineering to and brand owners,” said Kendall the delivery of high quality ma- President, Eric G. Erickson III. ABOUT KENDALL chines and complete packaging He added, “Our most recent Headquartered in Mequon, production lines. Approximately investment in the MIRAFLEX Wisconsin, Kendall Packaging is 2,700 employees create optimal press technology insures that we a world-class supplier of inno- solutions for the individual pro- will continue to have a positive vative packaging solutions for duction tasks of flexible pack- aging producers. Machines from W&H are in use in over 130 coun- tries by over 5,000 customers. • Reprinted from Windmoeller & Hoelscher press release, January 23, 2018.

The Kendall Team in front of their new MIRAFLEX II A (l to r) Kenny Stephens (Material Handler), Jayson Brazda (Press Operator), Joe Williams (Assistant Press Operator), Jack Trostle (Pittsburg Plant Manager), Eric Erickson (CEO/President), Jerry Newport (Assistant Press Operator), Russell Schneider (COO) and Michael Sallmann (CFO). 71 THE VOICE OF THE PLASTICS INDUSTRY IN THE WEST

MEMBER NEWS: FASTER JOB CHANGES FOR EXISTING BLOWN FILM LINES WITH TURBOCLEAN RETROFIT

In film extrusion, smaller jobs cost savings that result from from a single source: from expert and frequent material change- faster job changes. “Retrofitting consultation and engineering to overs are commonplace. Given machines can be completed with the delivery of high quality ma- the time required for a conven- a straightforward “plug & play” chines and complete packaging tional changeover, unusable solution, which takes between production lines. Approximately film is produced and machine one and two days per extruder,” 2,700 employees create optimal productivity decreases. With this explains Buch. solutions for the individual pro- in mind, Windmöller & Hölscher duction tasks of flexible pack- With TURBOCLEAN, material developed the TURBOCLEAN aging producers – bringing the THE TURBOCLEAN changes are almost completely automation module, which corporate philosophy “Passion AUTOMATION automated. For the machine op- purges resin from all extruders for Innovation“ to life. Machines MODULE PURGES erator, this means that he no lon- and gravimetric hoppers simulta- from Windmöller & Hölscher RESIN FROM ALL ger has to manually purge resin neously, dramatically decreasing are in use in over 130 countries EXTRUDERS AND one extruder at a time. Instead, the time required to change out and by more than 5,000 custom- the work steps are automated GRAVIMETRIC material. “By using TURBOCLEAN ers. In 2016 the Windmöller & and run simultaneously, requir- HOPPERS on a blown film line, changeovers Hölscher Group with its head- ing the operator only to change SIMULTANEOUSLY. can take as little as 12 minutes quarters in Lengerich, Germany the suction lance from one resin instead of up to 40 minutes,” reached sales of approximately port to the next. explains Javeed Buch, VP of Ser- 785 million EUR. • vice at Windmoeller & Hoelscher WINDMÖLLER & HÖLSCHER Reprinted from Windmöller in North America. Windmöller & Hölscher, a family & Hölscher press release, owned company, is world leader TURBOCLEAN was introduced February 8, 2018. for machinery and systems for to the market at K 2015 at which the manufacturing and con- time it was only available on new verting of flexible packaging. VAREX II systems. Now, existing The product portfolio includes W&H VAREX II and VAREX I lines high-performance machines built in or after 2010 can be ret- for film extrusion, printing and rofitted with the TURBOCLEAN converting. As a global company module allowing film manufac- W&H offers its clients everything turers to benefit from significant

72 WPA LEADERSHIP FOR 2018: OFFICERS JOHN PICCIUTO, PRESIDENT H Muehlstein & Co.

KEVIN KELLY, VICE PRESIDENT Emerald Packaging

MICHAEL HAILFINGER, TREASURER INX International Ink Co.

HARALD GOEPPERT, SECRETARY Hudson-Sharp Machine Company

WPA TODAY published by: BOARD OF DIRECTORS Western Plastics Association BRUCE CARTER Great American Packaging 1107 9th Street, Suite 930 STEVE DESPAIN Reifenhauser Sacramento, CA 95814 DOMINIC BARNES Windmoeller & Hoelscher 916.930.1938 Office RANDY HOLMES Heritage Bag [email protected] www.westernplastics.org RAY HUFNAGEL Plastic Express Editor: Laurie Hansen DAVID MCKINNEY ISOFLEX PACKAGING Disclaimer: Western Plastics ANNETTE SAUDER/JARED SAUDER Layfield Group Association (WPA) does not ROXANNE VAUGHAN Roplast Industries endorse or recommend other than those officially endorsed by WPA, any individual or company that we mention in this newsletter. Any business conducted is between the member and the individual or company. Any state- ments made in this newsletter are those of the authors and do not necessarily reflect the views of WPA or its Board of Directors.

©2018 Western Plastics Association