THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

INTRODUCED BY PRESTON, BRADFORD, BRENNAN, CALTAGIRONE, DONATUCCI, FRANKEL, HARHAI, HORNAMAN, KORTZ, KULA, MAHONEY, MELIO, MILLARD, MILNE, PALLONE, PASHINSKI, SAINATO, SIPTROTH, SOLOBAY, VULAKOVICH AND YOUNGBLOOD, JUNE 17, 2009

REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, JUNE 17, 2009  

AN ACT

Providing for public notice of the use of donated household

items proffered at publicly available collection bins.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Collection

Bin Public Notice Act.

Section 2.  Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Collection bin."  A receptacle put in public places for the

collection of household items donated by the public.

"Household item."  Any clothing, kitchen utensils, bedding,

small furniture, small appliances, toys, games and other items

commonly used or available to members of a household. The term

does not include food, medicines, consumable grooming products

or cosmetics.

Section 3.  Regulation of collection bin purposes.

(a)  Collections by for-profit entities.--It shall be an

unfair or deceptive act or practice for a for-profit entity to

obtain donations of household items in a collection bin and

resell the items:

(1)  For profit, unless the collection bin prominently

displays a nonremovable statement in boldface capital letters

at least three inches high and one inch wide stating

"Donations are not for charitable purposes and will be resold

for profit."

(2)  Where some or all of the proceeds from the sale are

given directly to a nonprofit entity, as defined under

section 501(c)(3) of the Internal Revenue Code of 1986

(Public Law 99-514, 26 U.S.C. § 501(c)(3)), unless the

collection bin prominently displays a nonremovable statement

in boldface capital letters at least three inches high and

one inch wide stating "Donations to (Name of collecting

entity), a for-profit company, are resold for profit and

(insert amount) % of all proceeds are donated to (Name of

donee charitable Internal Revenue Code § 501(c)(3)

organization)."

(b)  Collections by nonprofit entities.--

(1)  It shall be an unfair or deceptive act or practice

for a for-profit entity, as defined under § 501(c)(3) of the

Internal Revenue Code of 1986, to obtain donations of

household items in a collection bin and resell the items,

where 75% or less of the proceeds from the resale of these

donated items are used for charitable purposes, unless the

collection bin prominently displays a nonremovable statement

in boldface capital letters at least three inches high and

one inch wide stating "Donations to (Name of collecting

nonprofit entity), a nonprofit entity, are resold for profit

and (insert amount) % of all proceeds are donated to (Name of

beneficiary), a nonprofit entity."

(2)  Where more than 75% of the proceeds from the resale

of these donated items are used for charitable purposes, the

collection bin shall prominently display a nonremovable

statement in boldface capital letters at least three inches

high and one inch wide stating "This collection bin is

operated by (Name of collecting nonprofit entity), a

nonprofit entity, on behalf of (Name of beneficiary). All

donated items or proceeds from the resale of donated items

are used for charitable purposes."

Section 4.  Penalties.

(a)  Violation.--A violation of this act shall be deemed an

unfair or deceptive act or practice in violation of the act of

December 17, 1968 (P.L.1224, No.387), known as the Unfair Trade

Practices and Consumer Protection Law.

(b)  Duty of Attorney General.–-The Attorney General shall

have the exclusive authority to bring an action for a violation

of this act.

(c)  Exception.--This act does not apply to paper, glass or

aluminum products that are donated for the purpose of recycling

these items in the manufacture of other products.

Section 5.  Effective date.

This act shall take effect in 60 days.