AGs join lawsuit challenging California Plastics Act

CHARLESTON – West Virginia Attorney General J.B. McCuskey has joined 15 other state AGs and the National Association of Wholesaler-Distributors in challenging California’s Plastics Act.

McCuskey’s office says the lawsuit intends to stop a regulatory scheme that would drive up costs on everyday goods to consumers, making basic necessities more expensive for everyone.

California’s Plastics Act imposes requirements on manufacturers, distributors and companies that package or ship products in plastic containers or use other types of packaging materials that incorporate plastics. It regulates aluminum, cardboard, paper, glass and even wood.

The AGs say the act conditions access to California’s markets on radical changes to packaging design, production and waste disposal and imposes fees that discriminate against out-of-state businesses. They also say the economic ramifications are significant, adding the “onerous requirements” are expected to drive up prices on everyday goods for the American people. 

“When West Virginians are already struggling with the rising cost of fuel and products, the last thing they need is another state’s extreme environmental policies driving those costs even higher,” McCuskey said. “This office will not stand by and let that happen.”

Texas AG Ken Paxton also signed onto the complaint.

“I am challenging California's Plastics Act to protect businesses from unnecessary regulations and Texans from higher costs on the products they use every day,” Paxton said. “Texas has always been a place where businesses can thrive, and I will ensure it remains that way. I will not allow California lawmakers to harm Texas businesses.” 

The president and CEO of NAW agreed.

“California is not entitled to pronounce nationwide policies,” Eric Hoplin said. “Because the cct extends California’s regulatory reach far beyond its borders and brings within its sweep conduct wholly unconnected to California, the act violates principles of federalism, the horizontal separation of powers and due process.” 

In the complaint, the coalition also raises concerns about the act’s delegation of regulatory and enforcement authority to the Circular Action Alliance, which they say is an unelected, privately controlled organization operating with minimal state oversight.

They say the alliance is empowered to collect up to $500 million annually from businesses seeking access to California's market, with little transparency or accountability to the public or to the businesses it regulates.

The lawsuit seeks to stop the enforcement of the act with a declaratory judgment that it violates both the United States Constitution and the California Constitution. 

Joining McCuskey and Paxton in the complaint are the AGs of Alabama, Florida, Georgia, Idaho, Iowa, Louisiana, Missouri, Montana, Nebraska, North Dakota, Oklahoma, South Carolina, South Dakota and Utah.