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HB474 Alabama 2022 Session

Updated Feb 22, 2026

Summary

Session
Regular Session 2022
Title
Recycling, authorizing the Dept. of Environmental Management to issue transferable recycle credits to users of recyclable materials and for off setting solid waste disposal costs, to administer all transactions, to impose civil penalties for fraud
Summary

HB474 would create a transferable recycle credit program in Alabama, allowing credits for using recyclables to be issued, traded, and used to offset solid waste disposal costs at landfills.

What This Bill Does

The Alabama Department of Environmental Management would issue recycle credits for every ton of recyclable materials used to make a new product or energy source. The credits could be sold or transferred on a market and used to offset disposal fees at public or private landfills in the state. The department would set rules, oversee all transactions, and distribute funds from registration fees and penalties. The bill also creates civil penalties for fraud related to recycle credits or certificates.

Who It Affects
  • Recyclers and businesses that use recyclable materials to produce products or energy; they would receive recycle credits and can transfer or use them to offset disposal costs.
  • Operators of public or private landfills and other disposal facilities that would accept credits to offset disposal fees, and entities involved in credit transfers who must follow registration rules and could face penalties for fraud.
Key Provisions
  • Establishes a Recycle Credit Program by the Department of Environmental Management to issue one recycle credit for each ton of recyclable material used to create a new product or energy source.
  • Credits are transferable and may be sold or used to offset disposal fees at Alabama landfills; the price is determined by a bilateral agreement, with the department providing the form of the agreement.
  • Credits expire on the third anniversary of issuance or on transfer to the department by a disposal facility operator, whichever occurs first.
  • Transfers must be registered with the department within 30 days, with a registration form and fee set by the department.
  • The program cannot issue more than 50 million credits or certificates per calendar year.
  • Civil penalties up to $1,000 per violation for falsifying a recycle credit certificate or fraudulent transfers.
  • Funds from registration fees and penalties are distributed monthly: 40% to the Solid Waste Program, 40% to the Recycle Credits Program, and 20% to the Recycling Fund.
  • The department may adopt rules and administer all recycle credit transactions.
AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects
Recycling

Bill Actions

H

Pending third reading on day 24 Favorable from Ways and Means General Fund

H

Read for the second time and placed on the calendar

H

Read for the first time and referred to the House of Representatives committee on Ways and Means General Fund

Bill Text

Documents

Source: Alabama Legislature