The Nickel Report

As participation in Extended Producer Responsibility (EPR) programs continues to grow in the US, the financial burden of developing recycling infrastructure is being transferred to producers of products that fall under the EPR mandates. Since our last update in January, several key developments across multiple jurisdictions have occurred, including the beginning of several state programs.

Legislative Developments

When we last reported at the start of 2025, five states had passed EPR legislation: Maine, Oregon, Colorado, California, and Minnesota. The tally has now reached seven. Following the publication of its needs assessment in February, Maryland passed SB 901 in May, establishing a full EPR program for packaging. Washington, one of the states already imposing post-consumer recycled content and other requirements for plastic product packaging, enacted SB 5284 on May 17, establishing the seventh EPR program.  

Momentum continues to grow in additional states. Since the beginning of 2025, two states, Hawaii and Rhode Island, have passed legislation tasking state environmental agencies with conducting needs assessments to evaluate the potential for an EPR program. Hawaii Governor Josh Green signed HB 750 on May 27. Rhode Island Governor Daniel McKee signed H6207 on June 30. In addition, in Massachusetts, an EPR Commission was established to recommend and propose EPR policies to the General Court, Massachusetts’s legislative body. The commission will host six public meetings and make initial recommendations and related findings no later than January 15, 2026.

Meanwhile, some states with existing EPR programs are exploring updates to their statutory programs. On June 20, Maine, the first state in the nation to pass an EPR for packaging law in 2021, passed SP 579, updating the program with the intent of reducing regulatory costs associated with the program, aligning the program with other states’ programs, and clarifying select definitions. On March 17, Minnesota introduced SF 2619 in an attempt to exempt all paper products from the list of materials covered under Minnesota’s EPR program. Despite initial buzz, the bill has not moved out of committee.

New York, which has been working on passing EPR legislation for several years, again failed to pass an EPR program this legislative session; however, the bill will remain active for the 2026 session.

Regulatory Developments

States with existing EPR legislation have been working on developing their regulatory programs. After California Governor Gavin Newsom declined to accept draft regulations in March, citing high costs for small businesses, CalRecycle went back to the drawing board. On August 22, CalRecycle  submitted to the Office of Administrative Law a new proposed rule aimed at simplifying fee structures, clarifying definitions, and expanding product exemptions. The public comment period is open until October 7.

Multiple states continue to refine their plans regarding what materials must be collected by municipalities and the fees that will be required from producers for different packaging categories. These decisions depend, in large part, on whether circular solutions are currently available or whether more resources (generated from producer fees) are still needed to develop them. In August, Maine’s Department of Environmental Protection held a stakeholder meeting on the updated draft Packaging Material Types List that was issued in July.  This list designates which types of packaging will be considered “readily recyclable,” “reusable,” and “compostable.” Similarly, on August 15, CAA issued a proposal that seeks to amend the “responsible end market” provisions in Oregon. This proposal is undergoing public comment until October 15.

Ecomodulation provisions are another area of ongoing activity. On May 16, Circular Action Alliance (CAA) issued a proposal seeking to amend the ecomodulation provisions of the Oregon Producer Responsibility Organization (PRO) plan. This proposal, which underwent public comment and is now awaiting a decision by the Department of Environmental Quality, would create “bonus” opportunities for producers that transition from single-use packaging to refillable packaging. On August 14, the Colorado Department of Public Health and Environment (CDPHE) opened a public comment period on draft amendments to the regulations focusing on ecomodulation. The proposed amendments specify the circumstances under which producer fees may be reduced (e.g., use of post-consumer recycled (PCR) content produced in Colorado, among other criteria). Notably, although the Advisory Board recommended approval of the proposal, its recommendation letter noted “significant concern” with CAA’s proposal to use mass balance accounting to support claims that covered materials contain PCR content and recommended that CDPHE request the Solid and Hazardous Waste Commission to conduct a rulemaking process on the allowance or disallowance of free allocation accounting in verifying PCR content. The outcome of this process could have a substantial impact on producers’ ability to claim incorporation of PCR into plastic packaging sold in Colorado.

Programmatic Developments

So far, Circular Action Alliance has largely cornered the market as the PRO in states with EPR programs, having now been selected in Colorado, Oregon, California, and Minnesota. There may be growing potential for sector-specific PROs to advance more tailored compliance plans, however. In August, Colorado approved the Lubricants Packaging Management Association as a PRO for certain petroleum and automotive products.

Oregon leads the nation on implementation of its program plan and its first disbursement of funds to communities. Producers reported data to CAA earlier this year, and CAA anticipates the program will cover 415,000 tons of material over the course of the two-and-a-half years covered by the current PRO Plan (ending in December 2027). In Colorado, producers were required to report by the end of July.  Minnesota producers had to register with CAA by July 1, and CAA “encouraged” California producers to register by December 5.

Key Tasks for Producers

Producers should continue to focus on the following tasks in 2025:

• Develop or refine data collection plans.
• Assess opportunities for fee reduction by leveraging ecomodulation provisions and lifecycle assessments.
• Identify “pain points” or areas of programmatic ambiguity that may warrant engagement with CAA or state agencies.
• Monitor state enforcement activity.
• Continue to monitor new legislation, regulatory processes, and updates from CAA.

*Manasvini Venkatesh is not a lawyer.