SENATE ENVIRONMENT AND ENERGY COMMITTEE

STATEMENT TO

SENATE, No. 226

with committee amendments

STATE OF NEW JERSEY

DATED:  MAY 13, 2024

      The Senate Environment and Energy Committee reports favorably and with committee amendments Senate Bill No. 226.

      This bill would limit the size of shipping boxes that can be utilized by large online retailers and major retailers in the State to ship products to consumers.

      Specifically, the bill would prohibit any large online retailer or major retailer in the State from utilizing a shipping box to ship a product to a consumer that is greater than two times the volume of the product being shipped.  As defined in the bill, "large online retailer" means a business that sells goods over the internet, sends goods by mail or parcel delivery, and has annual gross sales equal to or greater than one million dollars in or into the State, "major retailer" means a retail establishment that occupies at least 75,000 square feet and has 50 or more employees, and "shipping box" means a cardboard or corrugated container that has a flat base and sides and is utilized by retailers to ship products to consumers by mail.

      A large online retailer or major retailer that violates the bill's provisions would be subject to a civil penalty of not less than $250 nor more than $500 for each offense.  In the case of a continuing violation, each day during which the violation continues would constitute an additional, separate, and distinct offense.  The bill authorizes the Department of Environmental Protection, the Division of Consumer Affairs in the Department of Law and Public Safety, a county, a municipality, or any entity certified pursuant to the "County Environmental Health Act," P.L.1977, c.443 (C.26:3A2-21 et seq.), to institute a summary civil action for a civil penalty or injunctive relief to enforce the bill's provisions or prohibit and prevent a violation.

      This bill was prefiled for introduction in the 2024-2025 session pending technical review.  As reported, the bill includes the changes required by technical review, which has been performed.

COMMITTEE AMENDMENTS:

      The committee amendments to the bill would:

      (1)  clarify that shipping boxes would still be required to conform to any minimum size requirements established by the United States Postal Service, or a private shipping company, as applicable; and

      (2)  exempt consumer electronics products from the bill's provisions and add a definition thereof.