Submitted By
Marcella Bondie Keenan, Chief Sustainability Officer
Reviewed By
Ahmad M. Zayyad, Deputy Village Manager / Interim Director of Development Customer Services
Agenda Item Title
Title
An Ordinance Amending Chapter 20 (“Public Health”), Article 14 (“Retail Single-Use Bag”) of the Oak Park Village Code to Add a New Section 20-14-10 (“Exemption”) to Provide for an Exemption from the Payment of the Village’s Single-Use Plastic Bag Fee for Persons Participating in a Governmental Food Assistance Program
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Overview
Overview
The Ordinance amends the Village Code to provide for an exemption from the payment of the Village’s single-use plastic bag fee for persons participating in a governmental food assistance program.
End
Recommendation
Recommendation
Adopt the Ordinance.
Background
In 2018, the Village Board adopted an Ordinance to charge customers ten cents for each single-use paper or plastic bag provided at checkout. This is limited to retail stores which are 5,000 square feet or larger. Half of the fee is remitted to the Village and provides revenue to the Sustainability Fund. Half of the revenue is retained by retailers.
In October 2022, the Village Board directed staff to develop an Ordinance to further reduce single-use plastics, with an emphasis on food ware and food packaging. From November 2022 through January 2023, staff facilitated three (3) workshops that led community members through a collaborative design-thinking process, including policy and case study literature review, data collection (local business owner and subject matter interviews and community surveys), identifying potential adverse and beneficial impacts, evaluating policy proposals, and conceptualizing supportive programming. The group was comprised of Office of Sustainability and Resilience and Environmental Services Division staff; representatives from the Environment and Energy Commission, Disability Access Commission and Business Advisory Council; local restaurant owners; and representatives from OPRF Chamber of Commerce, League of Women Voters OPRF, and Progress Center for Independent Living.
Disability community members participating in the plastics workshops identified the single-use bag fee as a burden on low-income customers. This concern has been validated by other community members who have reached out to Village staff regarding this issue. For example, in September 2022, Finance staff were contacted by a Jewel customer who complained that she was being charged a bag fee even though she used a SNAP card, and threatened to file a complaint with the Attorney General and contact the media. Finance staff suggested amending the Ordinance at that time.
Neighboring communities exempt customers making purchases using government assistance programs.
Office of Sustainability and Resiliency staff conducted a limited review of regional legislation regarding single-use bags.
|
Jurisdiction |
Policy |
Requirements |
|
City of Chicago |
Chicago Checkout Bag Tax |
The Bag Tax does not apply to bags that are used to carry items purchased pursuant to the Supplemental Nutritional Assistance Program (“SNAP”), the Illinois LINK card or a similar governmental food assistance program (Code Section 3-5-110). |
|
City of Evanston |
Retail Single Use Bag Tax |
The Tax portion of the Ordinance does not apply to bags that are used to carry items purchased pursuant to the Supplemental Nutritional Assistance Program (SNAP), the Illinois LINK card, or a similar governmental food assistance program. |
|
Village of Northbrook |
Single-Use Bag Tax |
Exemptions: customers that participate in a federal food assistance program (e.g. Supplemental Nutrition Assistance Program [SNAP] and Women, Infants, and Children [WIC]) or an Illinois food assistance program. |
Local businesses can comply with a bag fee exemption without undue burden.
Office of Sustainability and Resiliency staff reached out to each of the seventeen local businesses impacted by the Village’s existing Single-Use Bag Fee Ordinance, to inquire whether it would be a burden to exempt customers paying with government assistance funds. The following feedback was provided.
|
Business Name |
Feedback |
|
Target |
Can easily accommodate an exception for customers. |
|
CVS |
Can easily accommodate an exception for customers. |
|
Sugar Beet |
Can easily accommodate an exception for customers. |
|
Pete’s Fresh Market |
The City of Chicago already has this requirement, but it has been an issue. They have had to exempt people from all bags even if they have a split transaction (some items under LINK, some not). She said it would require programming to write a module to split the tender, and it would require a cost for them to do that. |
|
Dollar Tree |
They also have the exemption in Chicago. If a customer has a split transaction, they would be fully exempt from the bag fee. This circumstance doesn’t come up often. |
Based on the feedback from Pete’s Fresh Market and Dollar Tree, staff recommends an exemption from the full transaction, in order to avoid undue burden to businesses.
Staff also recommends a future study session to review the bag fee, the covered building definition, and the permitted bag material type.
Fiscal Impact
This new exemption is expected to result in a nominal reduction of Village revenue, due to the small number of covered stores which sell items eligible for government assistance benefits. This can be balanced by reducing the current reusable bag program, in which the Village purchases reusable bags at bulk and then provides them to the general public via locations at Village Hall and Public Works, and to community partners such as the Oak Park Township, Oak Park School District 97, and nonprofits providing social services, and/or increasing the per bag fee amount.
DEI Impact
The proposed exemption will advance Village values and policy goals for diversity, equity, and inclusion by eliminating a regressive tax on very low-income individuals purchasing basic necessities authorized by government assistance programs such as LINK, SNAP, and WIC.
Alternatives
1.) Seek additional information from Staff.
2.) Direct Staff to modify the Ordinance as specified.
3.) Do not adopt the Ordinance.
Previous Board Action
• In 2018, the Board of Trustees considered whether to restrict the use of plastic straws in Oak Park. On May 7, 2018, the Board referred the issue of plastic straws to the Environment and Energy Commission (MOT 18-323). The EEC, in collaboration with the Interfaith Green Network and the League of Women Voters OPRF, conducted a five-month review of the environmental impact of plastic straws, including stakeholder engagement with local restaurants, community members, and environmental and disability organizations. Significant regional and national conversations occurred at that time about the adverse impact that a straw ban would have on the disability community.
• On February 11, 2019, the Board received a report from the EEC related to the use of plastic straws (ID 19-51). The EEC recommended educating restaurant staff on only dispensing single-use plastics upon request. The Board directed staff to create a formal program with estimated campaign costs.
• On May 20, 2019, the Board passed a motion to concur with the EEC related to creating a single-use plastic reduction “Plastic Free July” campaign program (MOT 19-68). In July 2019, EEC conducted a Plastic Free July campaign, with participation from local restaurants. See attached link to the campaign.
• On November 18, 2019, the Board passed a motion to receive the EEC’s recommendation to adopt an Ordinance prohibiting the use of single-use plastics that include polystyrene foam by all eating establishments and schedule a special meeting for review (MOT 19-114).
• On February 20, 2020, the Board passed a motion to concur with the EEC’s recommendation to prohibit the use of single-use plastics that include polystyrene foam by all eating establishments and direct staff to bring forward the necessary Ordinance (MOT 20-009). In March 2020, the COVID-19 pandemic was declared in the United States, which impacted the immediate priorities of Village staff, and reframed the conversation around disposable serving ware. Consequently, staff did not bring forward an Ordinance.
• On August 23, 2022, the League of Women Voters OPRF delivered a letter to the Village Board President, describing a petition which collected 500 signatures in July 2022, and proposed legislation that includes the following: 1.) Replacing single-use plastics in restaurants with biodegradable alternatives OR only supplying these items on request; 2.) Allowing restaurant customers to bring their own containers for leftovers; 3.) Eliminating polystyrene foam containers; and 4.) Banning latex and mylar balloons.
• On October 17, 2022, the Board heard a presentation from the Environment and Energy Commission recommending the adoption of a single-use plastic food ware Ordinance that mirrors the adopted City of Chicago Ordinance. Trustees requested further consideration to phase out plastic bags and polystyrene (“Styrofoam”) at restaurants. There was a consensus from the Trustees for the recommendations, including a ban on polystyrene. (ID 22-173)
• On May 15, 2023, the Board voted to concur with the Environment and Energy Commission and adopt an Ordinance amending Chapter 20 (“Public Health”) of the Oak Park Village Code to add a new article 8 (“Single-Use Plastic Foodware and Polystyrene Food Packaging”). This Ordinance requires plastic food ware to be offered upon request and bans polystyrene food packaging for restaurant takeout and delivery. (ORD 23-8)
• On June 20, 2023, the Board voted to adopt an Ordinance amending Chapter 20 ("Public Health"), Article 8 ("Single-Use Plastic Foodware and Polystyrene Foam Packaging"), Section 20-8-4 ("Polystyrene Foam Packing Prohibited") and Section 20-8-6 ("Penalty") of the Oak Park Village Code. The Ordinance delays the enforcement timeline. (ORD 23-50).
Citizen Advisory Commission Action
• In December 2019, the Environment & Energy Commission (EEC) drafted a single-use plastic Ordinance and a recommendation on straw use regulation in Oak Park (ID 19-51). The proposed Ordinance language included: 1). Educate restaurant staff and villagers on the use of straws and other single-use plastics; 2.) Standardize to “upon request only” dispensing for single-use plastic items; and 3.) Implement data collection of single-use plastic inventory.
• In September 2019, EEC approved a motion to recommend that the Board pass an Ordinance to ban single-use plastics that include polystyrene foam for all eating establishments.
• In January 2020, the EEC added additional recommendations for the Board.
• On March 8, 2022, the EEC approved a motion to recommend that the Board adopt a single-use plastics Ordinance that mirrors the City of Chicago Ordinance, with an implementation date of July 1st, 2022. The meeting minutes and the City of Chicago Ordinance are attached.
• On October 12, 2022, the EEC’s recommendation was presented to the Business Advisory Council (BAC) for input.
• On October 17, 2022, the EEC presented its recommendation to the Board.
• Between November 2022 and January 2023, representatives of the BAC, EEC, and Disability Access Commission (DAC) participated in a series of community policy design workshops facilitated by Village staff.
• On February 15, 2023, staff presented the revised plastics reduction Ordinance recommendations to the BAC for input, including a recommendation to exempt customers paying using government assistance funds.
Anticipated Future Actions/Commitments
Following the adoption of the Ordinance by the Village Board, direct Staff to implement an awareness campaign for impacted businesses.
Staff also recommends a future study session to review the bag fee, the covered building definition, and the permitted bag material type.
Intergovernmental Cooperation Opportunities
Continue to collaborate with intergovernmental partners and community partners to support zero-waste options for under-resourced households.