MI SB1285

Requires publishers, distributors, and dealers to collect deposits equal to one-half the retail price of newspapers sold in Michigan, rounded up to the nearest cent.

Establishes that publishers must operate one or more regional redemption centers where customers can return newspapers with more than 50% of pages intact and receive a full refund of the deposit in cash.

Requires publishers to file annual reports by March 1 showing total deposits collected and refunds made; publishers owing more deposits than refunds ("underreemers") must pay the difference to the Department of Treasury.

Creates a newspaper deposit fund administered by the Department of Treasury that receives payments from underredeemers and annually disburses all money to the state school aid fund.

Establishes penalties including civil fines of $100-$1,000 for general violations, and criminal penalties up to 93 days jail and $500 fine for returning out-of-state or non-deposited newspapers for refunds.