June 16, 2016 - Beginning on August 6, 2016, retailers in Arizona are no longer limited to the amount they can charge consumers for a refundable deposit on the purchase of a new lead acid battery.
With the passage of HB 2132, sponsored by CAWA ( as the Arizona Automotive Wholesalers Association) and enacted during the 2016 legislative session, the previous $15 cap has been eliminated and replaced with the authority that allows retailers to charge a deposit on a new lead acid battery that reflects a market-based approach.
As before, the deposit is fully refundable upon the return of a used lead acid battery within 45 days from the date of purchase of the new battery. Under the new law, market prices will determine the amount of the fully refundable deposit charged to consumers by retailers.
The intent of the law is to protect retailers from being financially penalized in the transactions involving the sale of batteries. While the legislation does not establish an amount for the consumer's deposit, CAWA encourages retailers to use discretion in establishing refundable deposits for lead acid batteries that reflect the amount being charged by the manufacturer to a retailer for not returning a used lead battery core in exchange for the selling of a new battery.
The legislation maintained the broader public policy focus of keeping used lead acid batteries out of the landfill.
For further information contact CAWA's Legislative Advocate in Phoenix, Stuart Goodman at [email protected] or 602.277.0911.
Sincerely,
Rodney Pierini President & CEO
CAWA- Representing the Auto Parts Industry
800.332.2292, ext. 1
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