Colorado’s effort to make packaging companies pay more of the cost of recycling is facing a legal challenge that could complicate the rollout just as cities, counties, and recycling operators begin relying on the new funding.
The state’s producer responsibility program, created through House Bill 22-1355, shifts some recycling costs away from households and local governments and toward companies that sell packaging and paper products in Colorado.
Under the system, producers pay fees based partly on the amount and type of packaging they put into the market. The money is managed by the nonprofit Circular Action Alliance and used to reimburse local governments, private haulers and recycling facilities for eligible costs such as collection, processing, education and some capital expenses…