Connecticut’s “Nickel-per-Nip Environmental Fee” program has brought in $25 million for local municipalities since its inception five years ago, with $2.56 million in its latest six-month distribution, officials said this week.
Under this program, a 5-cent surcharge is added to the price of each miniature (50 mL) bottle of liquor, commonly referred to as “nips,” at the liquor store. Every city and town in Connecticut receives the 5 cents for each bottle sold within its borders. Wholesalers then disburse the funds to municipalities every six months, in April and October, based on the number of nips sold.
The first payout was made to municipalities in April 2022 after an update to the state’s bottle bill.
Based on the $25 million figure for total fees generated so far, at least 500 million nip bottles have been sold in Connecticut over the past five years. More than 51 million nips were sold in the past six months.
New Haven, Hartford, Bridgeport, and Waterbury top the list of payouts in the last six months. New Haven sold more than 2.36 million bottles and received $118,115; Hartford, 1.87 million bottles for $93,469; Bridgeport, 1.7 million bottles for $84,854; and Waterbury, 1.66 million bottles for $83,176.
Cities and towns are required to use the funds for environmental purposes like litter eradication, as nips frequently end up discarded on roadsides and along sidewalks. The bottles cannot be redeemed for a refund and cannot be effectively recycled due to their size.
“This latest distribution puts another $2.5 million directly into the hands of our cities and towns to address local environmental needs,” said Larry Cafero, executive director and general counsel of the Wine and Spirit Wholesalers of CT. “The program is giving communities meaningful resources to tackle litter and keep public spaces clean.”
In the past, municipalities have used the funding for community cleanups by nonprofit organizations, street sweeper purchases, food composting programs, and hiring recycling personnel, officials said. However, there is currently no system in place to track how the money is being spent, Cafero said.
Lawmakers have discussed additional options during past legislative sessions, from adding a bottle deposit to outright banning nips, but some lawmakers have said banning them would be extreme and a violation of consumers’ freedom.
“We appreciate the continued partnership of legislators and local leaders who have helped make this program a success,” Cafero said. “Our shared goal is to ensure these dollars make a visible difference in communities across Connecticut.”
Smaller Connecticut towns received smaller payouts for nips in the past six months. The towns that got the least were Woodbridge with $412, Sherman with $341, Weston with $300, Warren with $254, and Woodstock with $49.
In all, 162 towns received payments in the latest distribution, varying in size depending on how many nips were sold.
Bridgewater, Colebrook, Eastford, Easton, Hartland, Lyme, and Union sold no nips in the past six months and received no payments, records show.
Colebrook, Eastford, Easton, Hartland, Lyme, and Union do not have any liquor stores that sell wine or spirits.
Bridgewater, located in southwestern Litchfield County, is considered Connecticut’s last “dry town,” and alcohol cannot be sold within the town’s borders.
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