(1) The commission shall allow solid waste collection companies collecting recyclable materials to retain up to fifty percent of the revenue paid to the companies for the material if the companies submit a plan to the commission that is certified by the appropriate local government authority as being consistent with the local government solid waste plan and that demonstrates how the revenues will be used to increase recycling. The remaining revenue shall be passed to residential customers.
(2) By December 2, 2005, the commission shall provide a report to the legislature that evaluates:
(a) The effectiveness of revenue sharing as an incentive to increase recycling in the state; and
(b) The effect of revenue sharing on costs to customers.