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HomeMy WebLinkAbout01 - - SB-1383 Organic Waste Collection and Pro - 1/12/20211 STUDY SESSION AGENDA REPORT MEETING DATE: JANUARY 12, 2021 ITEM NUMBER: SUBJECT: SB 1383: ORGANIC WASTE COLLECTION AND PROCESSING, AND RECYCYLING PROGRAMS - REGULATORY IMPACTS AND REQUIRED ACTIONS DATE: JANUARY 5, 2021 FROM: PUBLIC SERVICES DEPARTMENT / ADMINISTRATION PRESENTATION BY: RAJA SETHURAMAN, PUBLIC SERVICES DIRECTOR SALEM AFEWORKI, ENERGY AND SUSTAINABILITY SERVICES MANAGER FOR FURTHER INFORMATION CONTACT: SALEM AFEWORKI, LEED GA, ENV SP ENERGY AND SUSTAINABILITY SERVICES MANAGER, (714) 754-5343 RECOMMENDATION: Provide direction on actions required to achieve compliance with SB 1383, mandating Organic Waste collection and processing, and recycling programs. BACKGROUND: Senate Bill 32 (Pavley, Chapter 249, Statutes of 2016) established regulations related to sources of emissions of greenhouse gases (GHG), as follow-up regulations to the California Global Warming Solutions Act, also known as Assembly Bill 32 of 2006. SB 32 requires that there be a reduction in GHG emissions to 40% below the 1990 levels by 2030. This builds on AB 32’s existing mandate to reduce statewide emissions to 1990 levels by 2020. Senate Bill 1383 (Lara, Chapter 395, Statutes of 2016) codifies the California Air Resources Board's Short-Lived Climate Pollutant Reduction Strategy, as it relates to reduction in the emissions of short-lived climate pollutants such as methane from solid wastes. SB 1383 final regulations that was approved by the Office of Administrative Law on November 3, 2020, prescribe specific actions local jurisdictions must take to reduce short-lived climate pollutants related to solid waste collection and processing, and includes new stipulations on acceptable waste segregation and processing practices, as well as City procurement responsibilities. 2 ANALYSIS: SB 1383 is the most significant waste reduction mandate the State of California has adopted in the last 30 years. It requires the State to reduce organic waste by 75% by 2025, which equates to over 20 million tons annually. The law also requires the State to increase edible food recovery by 20%. Since the law establishes statewide targets, a prescriptive approach to compliance is being used. This is very different from AB 939 (Integrated Waste Management Act), which set jurisdictional waste diversion mandates and allowed local governments to develop their own programs for reaching compliance. Mandatory commercial recycling (AB 341, Chesbro, Chapter 476, Statutes of 2011) and mandatory commercial organics recycling (AB 1826, Chesbro, Chapter 727, Statutes of 2014) are incorporated into SB 1383 regulations. Both these mandates (AB 341 and AB 1826) make local jurisdictions ultimately responsible for ensuring 100% compliance. SB 1383 further stipulates the implementation of residential organic waste recycling programs and make local jurisdictions directly responsible for the following actions, starting on January 1, 2022:  Providing organic waste collection to all mandated residents and businesses.  Establishing an edible food recovery program.  Conducting outreach and education to all affected parties.  Performing capacity planning covering 15 years for organic waste diversion from landfills.  Procuring recycled organic waste products (i.e. compost, mulch and renewable natural gas) at levels to be prescribed by the State annually. Such procurement standards must also be incorporated into a new City ordinance.  Establishing (via ordinance and otherwise) all required enforcement protocols that include a schedule of fines for non-compliant entities. This ordinance must match State-developed standards, including minimum fine structure. Failure by a local jurisdiction to enact and undertake all SB 1383 responsibilities will result in it being deemed non-compliant and thus subject to fines of up to $10,000 per day. While the State is suggesting that 2022 and 2023 will be non-adversarial years where the State will only provide guidance and technical assistance, the regulations do not preclude fines during this “grace” period. Waste Collection and Recycling Programs in Costa Mesa The Public Services Department oversees all commercial waste collection and recycling services while the Costa Mesa Sanitary District administers residential waste collection services for single-family and multi-family up to four units. The City uses a non-exclusive franchise system, consisting of 11 haulers, to manage trash and recycling service to multi- family (5 or more units) and business properties, as well as any for-hire hauling of temporary waste collection containers from construction and deconstruction projects. Six (6) of these haulers provide recurring collection service to businesses and multi-family properties under SB 1383 regulations. The City also has a permit system that allows contractors to self-haul the waste generated by their primary business activity (i.e. roofing, land grading, etc.). Both the commercial non-exclusive franchise and the contractor self-haul permit system provide competition to keep collection service rates among the lowest in the County. 3 City staff is responsible for monitoring and reporting the implementing of various citywide programs to comply with the State solid waste and recycling mandates including AB 339, AB 341, AB 1826 and now with SB 1383. To date, the City has complied with the requirement to provide organic waste collection. The City has allowed businesses and multi- family commercial properties (under the City franchise) to voluntarily comply with both AB 341 and AB 1826. Due to the voluntary nature of the requirement, the City compliance rate is currently under 60%. Prior to the adoption of SB 1383 regulations, the City notified all permitted haulers that voluntary compliance efforts among their customers must show substantial year-over-year improvements (prior to issuance of both calendar year 2019 and 2020 permits). In early 2020, staff determined that voluntary efforts were proving insufficient, as shown in the table below: Work then began on investigating alternatives from among those previously developed through discussions with the State (CalRecyle), and was presented to haulers in 2019 and 2020 during the annual permit renewal process. Staff shared the following options with City permitted haulers as contemplated City actions to get to 100% compliance: 1. Require haulers to offer AB 1826 compliance program to specific customers and report the status of these efforts to the City’s consultant. This requirement will have a set timeline (estimated at 30 days) and will result in either program implementation or disclosure by the hauler of the reason why their customer declined to come into compliance. 2. City established targets for customer compliance with AB 341 and AB 1826. Under this option, the City would set and periodically increase a minimum percentage of customers that each hauler is required to have in compliance with State recycling mandates. Haulers failing to meet these requirements will be noticed and if the required level of compliance is not reached in the subsequent quarter; their permit will be revoked. 3. Require all haulers to institute all-inclusive service pricing, thus eliminating voluntary specific subscription service options/costs for AB 341 and AB 1826 compliant programs. All customers under this franchise would then be required to have programs provided by their hauler to bring them into compliance with all State mandated recycling programs. The only exemptions to this all-inclusive pricing requirement would be locations that can demonstrate, to the City’s satisfaction, that they have internal or third party programs that are fully compliant with State mandates or locations that are exempted from State mandates. All such exemptions must be reported to and approved by the City. These locations would then be able to subscribe to lesser hauler-provided services and avoid all-inclusive pricing. Haulers failing to meet these requirements will have their permits revoked. 4. The City will issue a RFP and select a single hauler to provide all multi-family service under an exclusive franchise. Mandated Mandated Businesses Multi-Family Compliance Year Businesses Multi-Family Total in Compliance in Compliance Total % 2019 566 540 1106 84 540 624 56.42% AB 1826 Compliance Tracking 4 5. The City will issue a RFP and select a single hauler to provide all commercial service under an exclusive franchise. City staff initially considered the combination of mandating haulers to provide State-required programs to all their customers under all-inclusive pricing (Option 3 above), and developing an exclusive franchise for commercial multi-family service (Option 4 above). However, following a series of meetings with permitted haulers and discussions with the City Attorney’s Office regarding the evergreen provisions of the City’s current permit system (7-year automatic renewal), and the extensive new service, monitoring, and reporting requirements contained in recently approved SB 1383, revisions to the above alternatives was required. With the concurrence of all permitted haulers, the development of a non-exclusive franchise agreement covering all services (business and multi-family) in connection with to revisions to the provisions of the Costa Mesa Municipal Code (CMMC) governing solid waste collection as needed pursuant to SB 1383. See CMMC Title 8, Chapter IV (Garbage, Rubbish and Weeds). This new agreement will incorporate all SB 1383 requirements, which cover both business and multi-family service. It will also incorporate facility capacity guarantees that are needed from all haulers, not just those providing multi-family service. Regarding pricing structure, this agreement will establish a uniform organic waste collection program with established rates for various organic waste recycling containers and service frequencies. This structure will still allow hauler competition in both trash and recycling rates. Since all haulers can transition to the new agreement structure, concerns regarding the evergreen permit will be eliminated by design. The new franchise agreement is the much-needed vehicle to address abandoned and bulky item collection in City-franchise areas, establish a uniform Christmas tree collection program, and developing more uniform and consistent program messaging throughout the City. Staff suggests the following schedule for meeting SB 1383 requirements by the January 1, 2022 date:  January and February 2021 - Draft model franchise agreement circulated to all interested haulers for review and comment.  February and March 2021 – Have meetings with each hauler to finalize the language of the model agreement.  February and March 2021 – Develop the City’s SB 1383 “enforcement” and “procurement” ordinances, following the CalRecycle (State) model.  March and April 2021 - Prepare SB 1383 compliance package for City Council’s input, review and approval. The package will include the model proposed hauler franchise agreement and the two (2) ordinances required by SB 1383.  April 2021 - New franchise agreement starts. All Tier 1 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City to provide third Party/Internal Program Form for locations asserting compliance independent of hauler programs. 5  July 2021 - All Tier 2 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City provides third Party/Internal Program Form for locations who may wish to assert compliance independent of hauler programs. City to determine if hauler compliance program(s) is required. If not, then quarterly reporting of third Party/Internal Program diversion is required to maintain exemption from mandatory service.  August 2021 - All Tier 3 and Tier 4 locations notified of mandatory service requirements. Both exemption forms and third Party/Internal program forms provided with notice that mandatory service will begin rollout at Tier 3 locations on September 15, 2021 and Tier 4 locations on October 15, 2021. City must approve a submitted form prior to these dates or containers will be delivered and program charges incurred.  Mid-September 2021 - All Tier 3 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  Mid-October 2021 - All Tier 4 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  October 2021 - All commercial multi-family properties notified of mandatory food waste recycling service starting on January 1, 2022, with program rollout commencing in November/December depending upon property size (largest first). Each location also provided third Party/Internal Program form and notified that contracted landscaper name and diversion facility used is required to avoid addition green waste service and related charges. Annual tonnage and compliance verification required to avoid mandatory green waste service in future years.  January 1, 2022 - All commercial business and multi-family food waste recycling containers in place. Another component of the new franchise agreement is instituting a new compliance and agreement support fee to offset a portion of the new costs being placed upon the City by this unfunded SB 1383 mandate. Those costs include the previously mentioned mandatory procurement amounts to be issued by the State annually; the costs of inspection, monitoring and reporting on all organic waste collection and processing; the creation, promotion, and ultimate financial support for an edible food donation program; and additional reporting to the State on a number of new organic waste program elements. Staff is seeking City Council’s input on the above-proposed actions. Based on Council’s direction, staff, working with the City Attorney’s Office, will implement the changes to commercial and multi-family waste hauling program to meet State mandates. ALTERNATIVES CONSIDERED: The City may consider continuing to operate its waste collection and recycling program as is. However, this will lead to incompliance with the State regulations and mandates, which will lead to subsequent fines. It will also limit the City’s capacity to receive State grants and incentives to implement new programs. Staff does not recommend this option. 6 FISCAL REVIEW: Fiscal impact is not known at this time. LEGAL REVIEW: The City Attorney’s Office has reviewed SB 1383 regulations, model franchise agreements the State has provided and has been involved in the various alternatives City staff has considered to date. CITY COUNCIL GOALS & PRIORITIES: This project supports the following City Council Goals –  Goal 2: Improve our Neighborhoods and Quality of Life  Goal 3: Keep the City Fiscally Sustainable CONCLUSION This staff report is to inform the City Council on the recently approved SB 1383 regulations and the significant impacts it will have on the City and its solid waste collection and recycling programs. Staff recommends that the City Council allow staff to proceed with the suggested alternative, utilizing a formal franchise agreement to secure needed SB 1383 compliance assistance from current permitted haulers coupled with revisions to the CMMC. Staff will bring the necessary ordinance as well as the franchise agreements to Council before the end of the first quarter 2021 for consideration and approval. _____________________________ _____________________________ SALEM AFEWORKI RAJA SETHURAMAN Energy and Sustainability Manager Public Services Director _____________________________ ______________________________ CAROL MOLINA KIMBERLY HALL BARLOW Finance Director City Attorney ATTACHMENT: 1. Presentation: An Overview of SB 1383’s Organic Waste Reduction Requirements AGENDA – SPECIAL CLOSED SESSION – January 12, 2021 – PAGE 1 SPECIAL AGENDA CITY OF COSTA MESA CITY COUNCIL AND SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY* *NOTE: ALL AGENCY MEMBERSHIPS ARE REFLECTED IN THE TITLE “COUNCIL MEMBER.” TUESDAY, JANUARY 12, 2021 CITY COUNCIL CHAMBERS, 77 FAIR DRIVE SPECIAL CLOSED SESSION – 4:00 P.M. In order to minimize the spread of the COVID-19 virus, Governor Newsom has issued Executive Orders that temporarily suspend requirements of the Brown Act which allows Council Members to attend City Council meetings remotely. Given the health risks associated with COVID-19, the City Council Chambers will be closed to the public until further notice. If you would like to participate in this meeting, you can participate via the following options: 1. Members of the public can view the City Council meetings live on COSTA MESA TV (SPECTRUM CHANNEL 3 AND AT&T U-VERSE CHANNEL 99) AND ONLINE AT youtube.com/costamesatv. 2. Members of the public who wish to make a comment on a specific Closed Session agenda item, may submit your comment via email to the City Clerk at cityclerk@costamesaca.gov. The comments will be provided to City Council and the City Clerk will read the comments into the record. 3. Please know that it is important for the City to allow public participation at this meeting. If you are unable to participate in the meeting via the processes set forth above, please contact the City Clerk at 714-754-5225 or cityclerk@costamesaca.gov and staff will attempt to accommodate you. While the City does not expect there to be any changes to the above process for participating in this meeting, if there is a change, the City will post the information as soon as possible to the City’s website. Please note that records submitted by the public will not be redacted in any way and will be posted online as submitted, including any personal contact information. Note regarding agenda-related documents provided to a majority of the City Council after distribution of the City Council agenda packet (GC §54957.5): Any related documents provided to a majority of the City Council after distribution of the City Council Agenda Packets will be made available for public inspection. Such documents will be posted on the city’s website at www.costamesaca.gov or by clicking here. The City of Costa Mesa’s goal is to comply with the Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a participant at this meeting, you will need special assistance beyond what is normally provided, we will attempt to accommodate you in every reasonable manner. Please contact the City Clerk’s office 24 hours prior to the meeting to inform us of your particular needs and to determine if accommodation is feasible 714-754-5225 or at cityclerk@costamesaca.gov. El objetivo de la ciudad de Costa Mesa es cumplir con la ley de Estadounidenses con Discapacidades (ADA) en todos los aspectos. Si como asistente o participante en esta reunión, usted necesita asistencia especial, más allá de lo que normalmente se proporciona, intentaremos de complacer en todas las maneras. Favor de comunicarse a la oficina del Secretario de la Ciudad con 24 horas de anticipación para informarnos de sus necesidades y determinar si alojamiento es realizable al 714-754-5225 o cityclerk@costamesaca.gov AGENDA – SPECIAL CLOSED SESSION – January 12, 2021 – PAGE 2 TUESDAY, JANUARY 12, 2021 CITY COUNCIL CHAMBERS, 77 FAIR DRIVE SPECIAL CLOSED SESSION – 4:00 P.M. KATRINA FOLEY Mayor MANUEL CHAVEZ ANDREA MARR Council Member Mayor Pro Tem LOREN GAMEROS DON HARPER Council Member Council Member JEFFREY HARLAN ARLIS REYNOLDS Council Member Council Member City Attorney City Manager Kimberly Hall Barlow Lori Ann Farrell Harrison SPECIAL CLOSED SESSION 4:00 P.M. CALL TO ORDER ROLL CALL PUBLIC COMMENTS CLOSED SESSION ITEMS: 1. CONFERENCE WITH LEGAL COUNSEL - EXISTING LITIGATION Pursuant to Subdivision (d)(1) of Section 54956.9, California Government Code Barnes v. The Superior Court of Orange, Fourth District Court of Appeal, Case No. G059764 (on appeal from Campbell, et al. v. Barnes, Orange County Superior Court Case No. 30-2020-01141117-CU-WM-CXC). 2. CONFERENCE WITH LEGAL COUNSEL - ANTICIPATED LITIGATION – ONE CASE - Pursuant to Subdivision (d)(4) of Section 54956.9, California Government Code, Potential Litigation. 3. THREAT TO SECURITY Pursuant to subdivision (a) of Section 54957, California Government Code Consultation with: Costa Mesa Director of Emergency Services, and City Manager, Lori Ann Farrell Harrison; Bryan Glass, Police Chief; Dan Stefano, Fire Chief; and Jason Dempsey, Emergency Services Administrator. The City Council and Successor Agency to the Redevelopment Agency will recess for Closed Session at the conclusion of public comments. 2 ANALYSIS: SB 1383 is the most significant waste reduction mandate the State of California has adopted in the last 30 years. It requires the State to reduce organic waste by 75% by 2025, which equates to over 20 million tons annually. The law also requires the State to increase edible food recovery by 20%. Since the law establishes statewide targets, a prescriptive approach to compliance is being used. This is very different from AB 939 (Integrated Waste Management Act), which set jurisdictional waste diversion mandates and allowed local governments to develop their own programs for reaching compliance. Mandatory commercial recycling (AB 341, Chesbro, Chapter 476, Statutes of 2011) and mandatory commercial organics recycling (AB 1826, Chesbro, Chapter 727, Statutes of 2014) are incorporated into SB 1383 regulations. Both these mandates (AB 341 and AB 1826) make local jurisdictions ultimately responsible for ensuring 100% compliance. SB 1383 further stipulates the implementation of residential organic waste recycling programs and make local jurisdictions directly responsible for the following actions, starting on January 1, 2022:  Providing organic waste collection to all mandated residents and businesses.  Establishing an edible food recovery program.  Conducting outreach and education to all affected parties.  Performing capacity planning covering 15 years for organic waste diversion from landfills.  Procuring recycled organic waste products (i.e. compost, mulch and renewable natural gas) at levels to be prescribed by the State annually. Such procurement standards must also be incorporated into a new City ordinance.  Establishing (via ordinance and otherwise) all required enforcement protocols that include a schedule of fines for non-compliant entities. This ordinance must match State-developed standards, including minimum fine structure. Failure by a local jurisdiction to enact and undertake all SB 1383 responsibilities will result in it being deemed non-compliant and thus subject to fines of up to $10,000 per day. While the State is suggesting that 2022 and 2023 will be non-adversarial years where the State will only provide guidance and technical assistance, the regulations do not preclude fines during this “grace” period. Waste Collection and Recycling Programs in Costa Mesa The Public Services Department oversees all commercial waste collection and recycling services while the Costa Mesa Sanitary District administers residential waste collection services for single-family and multi-family up to four units. The City uses a non-exclusive franchise system, consisting of 11 haulers, to manage trash and recycling service to multi- family (5 or more units) and business properties, as well as any for-hire hauling of temporary waste collection containers from construction and deconstruction projects. Six (6) of these haulers provide recurring collection service to businesses and multi-family properties under SB 1383 regulations. The City also has a permit system that allows contractors to self-haul the waste generated by their primary business activity (i.e. roofing, land grading, etc.). Both the commercial non-exclusive franchise and the contractor self-haul permit system provide competition to keep collection service rates among the lowest in the County. 3 City staff is responsible for monitoring and reporting the implementing of various citywide programs to comply with the State solid waste and recycling mandates including AB 339, AB 341, AB 1826 and now with SB 1383. To date, the City has complied with the requirement to provide organic waste collection. The City has allowed businesses and multi- family commercial properties (under the City franchise) to voluntarily comply with both AB 341 and AB 1826. Due to the voluntary nature of the requirement, the City compliance rate is currently under 60%. Prior to the adoption of SB 1383 regulations, the City notified all permitted haulers that voluntary compliance efforts among their customers must show substantial year-over-year improvements (prior to issuance of both calendar year 2019 and 2020 permits). In early 2020, staff determined that voluntary efforts were proving insufficient, as shown in the table below: Work then began on investigating alternatives from among those previously developed through discussions with the State (CalRecyle), and was presented to haulers in 2019 and 2020 during the annual permit renewal process. Staff shared the following options with City permitted haulers as contemplated City actions to get to 100% compliance: 1. Require haulers to offer AB 1826 compliance program to specific customers and report the status of these efforts to the City’s consultant. This requirement will have a set timeline (estimated at 30 days) and will result in either program implementation or disclosure by the hauler of the reason why their customer declined to come into compliance. 2. City established targets for customer compliance with AB 341 and AB 1826. Under this option, the City would set and periodically increase a minimum percentage of customers that each hauler is required to have in compliance with State recycling mandates. Haulers failing to meet these requirements will be noticed and if the required level of compliance is not reached in the subsequent quarter; their permit will be revoked. 3. Require all haulers to institute all-inclusive service pricing, thus eliminating voluntary specific subscription service options/costs for AB 341 and AB 1826 compliant programs. All customers under this franchise would then be required to have programs provided by their hauler to bring them into compliance with all State mandated recycling programs. The only exemptions to this all-inclusive pricing requirement would be locations that can demonstrate, to the City’s satisfaction, that they have internal or third party programs that are fully compliant with State mandates or locations that are exempted from State mandates. All such exemptions must be reported to and approved by the City. These locations would then be able to subscribe to lesser hauler-provided services and avoid all-inclusive pricing. Haulers failing to meet these requirements will have their permits revoked. 4. The City will issue a RFP and select a single hauler to provide all multi-family service under an exclusive franchise. Mandated Mandated Businesses Multi-Family Compliance Year Businesses Multi-Family Total in Compliance in Compliance Total % 2019 566 540 1106 84 540 624 56.42% AB 1826 Compliance Tracking 4 5. The City will issue a RFP and select a single hauler to provide all commercial service under an exclusive franchise. City staff initially considered the combination of mandating haulers to provide State-required programs to all their customers under all-inclusive pricing (Option 3 above), and developing an exclusive franchise for commercial multi-family service (Option 4 above). However, following a series of meetings with permitted haulers and discussions with the City Attorney’s Office regarding the evergreen provisions of the City’s current permit system (7-year automatic renewal), and the extensive new service, monitoring, and reporting requirements contained in recently approved SB 1383, revisions to the above alternatives was required. With the concurrence of all permitted haulers, the development of a non-exclusive franchise agreement covering all services (business and multi-family) in connection with to revisions to the provisions of the Costa Mesa Municipal Code (CMMC) governing solid waste collection as needed pursuant to SB 1383. See CMMC Title 8, Chapter IV (Garbage, Rubbish and Weeds). This new agreement will incorporate all SB 1383 requirements, which cover both business and multi-family service. It will also incorporate facility capacity guarantees that are needed from all haulers, not just those providing multi-family service. Regarding pricing structure, this agreement will establish a uniform organic waste collection program with established rates for various organic waste recycling containers and service frequencies. This structure will still allow hauler competition in both trash and recycling rates. Since all haulers can transition to the new agreement structure, concerns regarding the evergreen permit will be eliminated by design. The new franchise agreement is the much-needed vehicle to address abandoned and bulky item collection in City-franchise areas, establish a uniform Christmas tree collection program, and developing more uniform and consistent program messaging throughout the City. Staff suggests the following schedule for meeting SB 1383 requirements by the January 1, 2022 date:  January and February 2021 - Draft model franchise agreement circulated to all interested haulers for review and comment.  February and March 2021 – Have meetings with each hauler to finalize the language of the model agreement.  February and March 2021 – Develop the City’s SB 1383 “enforcement” and “procurement” ordinances, following the CalRecycle (State) model.  March and April 2021 - Prepare SB 1383 compliance package for City Council’s input, review and approval. The package will include the model proposed hauler franchise agreement and the two (2) ordinances required by SB 1383.  April 2021 - New franchise agreement starts. All Tier 1 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City to provide third Party/Internal Program Form for locations asserting compliance independent of hauler programs. 5  July 2021 - All Tier 2 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City provides third Party/Internal Program Form for locations who may wish to assert compliance independent of hauler programs. City to determine if hauler compliance program(s) is required. If not, then quarterly reporting of third Party/Internal Program diversion is required to maintain exemption from mandatory service.  August 2021 - All Tier 3 and Tier 4 locations notified of mandatory service requirements. Both exemption forms and third Party/Internal program forms provided with notice that mandatory service will begin rollout at Tier 3 locations on September 15, 2021 and Tier 4 locations on October 15, 2021. City must approve a submitted form prior to these dates or containers will be delivered and program charges incurred.  Mid-September 2021 - All Tier 3 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  Mid-October 2021 - All Tier 4 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  October 2021 - All commercial multi-family properties notified of mandatory food waste recycling service starting on January 1, 2022, with program rollout commencing in November/December depending upon property size (largest first). Each location also provided third Party/Internal Program form and notified that contracted landscaper name and diversion facility used is required to avoid addition green waste service and related charges. Annual tonnage and compliance verification required to avoid mandatory green waste service in future years.  January 1, 2022 - All commercial business and multi-family food waste recycling containers in place. Another component of the new franchise agreement is instituting a new compliance and agreement support fee to offset a portion of the new costs being placed upon the City by this unfunded SB 1383 mandate. Those costs include the previously mentioned mandatory procurement amounts to be issued by the State annually; the costs of inspection, monitoring and reporting on all organic waste collection and processing; the creation, promotion, and ultimate financial support for an edible food donation program; and additional reporting to the State on a number of new organic waste program elements. Staff is seeking City Council’s input on the above-proposed actions. Based on Council’s direction, staff, working with the City Attorney’s Office, will implement the changes to commercial and multi-family waste hauling program to meet State mandates. ALTERNATIVES CONSIDERED: The City may consider continuing to operate its waste collection and recycling program as is. However, this will lead to incompliance with the State regulations and mandates, which will lead to subsequent fines. It will also limit the City’s capacity to receive State grants and incentives to implement new programs. Staff does not recommend this option. 6 FISCAL REVIEW: Fiscal impact is not known at this time. LEGAL REVIEW: The City Attorney’s Office has reviewed SB 1383 regulations, model franchise agreements the State has provided and has been involved in the various alternatives City staff has considered to date. CITY COUNCIL GOALS & PRIORITIES: This project supports the following City Council Goals –  Goal 2: Improve our Neighborhoods and Quality of Life  Goal 3: Keep the City Fiscally Sustainable CONCLUSION This staff report is to inform the City Council on the recently approved SB 1383 regulations and the significant impacts it will have on the City and its solid waste collection and recycling programs. Staff recommends that the City Council allow staff to proceed with the suggested alternative, utilizing a formal franchise agreement to secure needed SB 1383 compliance assistance from current permitted haulers coupled with revisions to the CMMC. Staff will bring the necessary ordinance as well as the franchise agreements to Council before the end of the first quarter 2021 for consideration and approval. _____________________________ _____________________________ SALEM AFEWORKI RAJA SETHURAMAN Energy and Sustainability Manager Public Services Director _____________________________ ______________________________ CAROL MOLINA KIMBERLY HALL BARLOW Finance Director City Attorney ATTACHMENT: 1. Presentation: An Overview of SB 1383’s Organic Waste Reduction Requirements 1 STUDY SESSION AGENDA REPORT MEETING DATE: JANUARY 12, 2021 ITEM NUMBER: SUBJECT: SB 1383: ORGANIC WASTE COLLECTION AND PROCESSING, AND RECYCYLING PROGRAMS - REGULATORY IMPACTS AND REQUIRED ACTIONS DATE: JANUARY 5, 2021 FROM: PUBLIC SERVICES DEPARTMENT / ADMINISTRATION PRESENTATION BY: RAJA SETHURAMAN, PUBLIC SERVICES DIRECTOR SALEM AFEWORKI, ENERGY AND SUSTAINABILITY SERVICES MANAGER FOR FURTHER INFORMATION CONTACT: SALEM AFEWORKI, LEED GA, ENV SP ENERGY AND SUSTAINABILITY SERVICES MANAGER, (714) 754-5343 RECOMMENDATION: Provide direction on actions required to achieve compliance with SB 1383, mandating Organic Waste collection and processing, and recycling programs. BACKGROUND: Senate Bill 32 (Pavley, Chapter 249, Statutes of 2016) established regulations related to sources of emissions of greenhouse gases (GHG), as follow-up regulations to the California Global Warming Solutions Act, also known as Assembly Bill 32 of 2006. SB 32 requires that there be a reduction in GHG emissions to 40% below the 1990 levels by 2030. This builds on AB 32’s existing mandate to reduce statewide emissions to 1990 levels by 2020. Senate Bill 1383 (Lara, Chapter 395, Statutes of 2016) codifies the California Air Resources Board's Short-Lived Climate Pollutant Reduction Strategy, as it relates to reduction in the emissions of short-lived climate pollutants such as methane from solid wastes. SB 1383 final regulations that was approved by the Office of Administrative Law on November 3, 2020, prescribe specific actions local jurisdictions must take to reduce short-lived climate pollutants related to solid waste collection and processing, and includes new stipulations on acceptable waste segregation and processing practices, as well as City procurement responsibilities. 2 ANALYSIS: SB 1383 is the most significant waste reduction mandate the State of California has adopted in the last 30 years. It requires the State to reduce organic waste by 75% by 2025, which equates to over 20 million tons annually. The law also requires the State to increase edible food recovery by 20%. Since the law establishes statewide targets, a prescriptive approach to compliance is being used. This is very different from AB 939 (Integrated Waste Management Act), which set jurisdictional waste diversion mandates and allowed local governments to develop their own programs for reaching compliance. Mandatory commercial recycling (AB 341, Chesbro, Chapter 476, Statutes of 2011) and mandatory commercial organics recycling (AB 1826, Chesbro, Chapter 727, Statutes of 2014) are incorporated into SB 1383 regulations. Both these mandates (AB 341 and AB 1826) make local jurisdictions ultimately responsible for ensuring 100% compliance. SB 1383 further stipulates the implementation of residential organic waste recycling programs and make local jurisdictions directly responsible for the following actions, starting on January 1, 2022:  Providing organic waste collection to all mandated residents and businesses.  Establishing an edible food recovery program.  Conducting outreach and education to all affected parties.  Performing capacity planning covering 15 years for organic waste diversion from landfills.  Procuring recycled organic waste products (i.e. compost, mulch and renewable natural gas) at levels to be prescribed by the State annually. Such procurement standards must also be incorporated into a new City ordinance.  Establishing (via ordinance and otherwise) all required enforcement protocols that include a schedule of fines for non-compliant entities. This ordinance must match State-developed standards, including minimum fine structure. Failure by a local jurisdiction to enact and undertake all SB 1383 responsibilities will result in it being deemed non-compliant and thus subject to fines of up to $10,000 per day. While the State is suggesting that 2022 and 2023 will be non-adversarial years where the State will only provide guidance and technical assistance, the regulations do not preclude fines during this “grace” period. Waste Collection and Recycling Programs in Costa Mesa The Public Services Department oversees all commercial waste collection and recycling services while the Costa Mesa Sanitary District administers residential waste collection services for single-family and multi-family up to four units. The City uses a non-exclusive franchise system, consisting of 11 haulers, to manage trash and recycling service to multi- family (5 or more units) and business properties, as well as any for-hire hauling of temporary waste collection containers from construction and deconstruction projects. Six (6) of these haulers provide recurring collection service to businesses and multi-family properties under SB 1383 regulations. The City also has a permit system that allows contractors to self-haul the waste generated by their primary business activity (i.e. roofing, land grading, etc.). Both the commercial non-exclusive franchise and the contractor self-haul permit system provide competition to keep collection service rates among the lowest in the County. City staff is responsible for monitoring and reporting the implementing of various citywide programs to comply with the State solid waste and recycling mandates including AB 339, 3 AB 341, AB 1826 and now with SB 1383. To date, the City has complied with the requirement to provide organic waste collection. The City has allowed businesses and multi- family commercial properties (under the City franchise) to voluntarily comply with both AB 341 and AB 1826. Due to the voluntary nature of the requirement, the City compliance rate is currently under 60%. Prior to the adoption of SB 1383 regulations, the City notified all permitted haulers that voluntary compliance efforts among their customers must show substantial year-over-year improvements (prior to issuance of both calendar year 2019 and 2020 permits). In early 2020, staff determined that voluntary efforts were proving insufficient, as shown in the table below: Work then began on investigating alternatives from among those previously developed through discussions with the State (CalRecyle), and was presented to haulers in 2019 and 2020 during the annual permit renewal process. Staff shared the following options with City permitted haulers as contemplated City actions to get to 100% compliance: 1. Require haulers to offer AB 1826 compliance program to specific customers and report the status of these efforts to the City’s consultant. This requirement will have a set timeline (estimated at 30 days) and will result in either program implementation or disclosure by the hauler of the reason why their customer declined to come into compliance. 2. City established targets for customer compliance with AB 341 and AB 1826. Under this option, the City would set and periodically increase a minimum percentage of customers that each hauler is required to have in compliance with State recycling mandates. Haulers failing to meet these requirements will be noticed and if the required level of compliance is not reached in the subsequent quarter; their permit will be revoked. 3. Require all haulers to institute all-inclusive service pricing, thus eliminating voluntary specific subscription service options/costs for AB 341 and AB 1826 compliant programs. All customers under this franchise would then be required to have programs provided by their hauler to bring them into compliance with all State mandated recycling programs. The only exemptions to this all -inclusive pricing requirement would be locations that can demonstrate, to the City’s satisfaction, that they have internal or third party programs that are fully compliant with State mandates or locations that are exempted from State mandates. All such exemptions must be reported to and approved by the City. These locations would then be able to subscribe to lesser hauler-provided services and avoid all-inclusive pricing. Haulers failing to meet these requirements will have their permits revoked. 4. The City will issue a RFP and select a single hauler to provide all multi -family service under an exclusive franchise. 5. The City will issue a RFP and select a single hauler to provide all commercial service under an exclusive franchise. Mandated Mandated Businesses Multi-Family Compliance Year Businesses Multi-Family Total in Compliance in Compliance Total % 2019 566 540 1106 84 540 624 56.42% AB 1826 Compliance Tracking 4 City staff initially considered the combination of mandating haulers to provide State-required programs to all their customers under all-inclusive pricing (Option 3 above), and developing an exclusive franchise for commercial multi-family service (Option 4 above). However, following a series of meetings with permitted haulers and discussions with the City Aattorney’s Office regarding the evergreen provisions of the City’s current permit system (7- year automatic renewal), and the extensive new service, monitoring, and reporting requirements contained in recently approved SB 1383, revisions to the above alternatives was required. With the concurrence of all permitted haulers, the development of a non-exclusive franchise agreement covering all services (business and multi-family) is now the recommended alternative. in connection with revisions to the provisions of the Costa Mesa Municipal Code (CMMC) governing solid waste collection as needed pursuant to SB 1383. See CMMC Title 8, Chapter IV (Garbage, Rubbish and Weeds). This new agreement will incorporate all SB 1383 requirements, which cover both business and multi-family service. It will also incorporate facility capacity guarantees that are needed from all haulers, not just those providing multi-family service. Regarding pricing structure, this agreement will establish a uniform organic waste collection program with established rates for various organic waste recycling containers and service frequencies. This structure will still allow hauler competition in both trash and recycling rates. Since all haulers can transition to the new agreement structure, concerns regarding the evergreen permit will be eliminated by design. The new franchise agreement is the much-needed vehicle to address abandoned and bulky item collection in City-franchise areas, establish a uniform Christmas tree collection program, and developing more uniform and consistent program messaging throughout the City. Staff suggests the following schedule for meeting SB 1383 requirements by the January 1, 2022 date:  End January andof January February 2021 - Draft model franchise agreement circulated to all interested haulers for review and comment.  February and March 2021 – Have meetings with each hauler to finalize and executethe language of their new the model agreements.  February and March 2021 – Develop the City’s SB 1383 “enforcement” and “procurement” ordinances, following the CalRecycle (State) model.  March and April 2021 - Prepare SB 1383 compliance package for City Council’s input, review and approval. The package will include thea model executed proposed hauler franchise agreements and the two (2) ordinances required by SB 1383.  April 2021 - New franchise agreement starts. All Tier 1 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City to provide third Party/Internal Program Form for locations asserting compliance independent of hauler programs.  July 2021 - All Tier 2 (AB 1826) commercial properties start mandatory compliance service through franchised haulers (both AB 341 and AB 1826). City provides third Party/Internal Program Form for locations who may wish to assert compliance 5 independent of hauler programs. City to determine if hauler compliance program(s) is required. If not, then quarterly reporting of third Party/Internal Program diversion is required to maintain exemption from mandatory service.  August 2021 - All Tier 3 and Tier 4 locations notified of mandatory service requirements. Both exemption forms and third Party/Internal program forms provided with notice that mandatory service will begin rollout at Tier 3 locations on September 15, 2021 and Tier 4 locations on October 15, 2021. City must approve a submitted form prior to these dates or containers will be delivered and program charges incurred.  Mid-September 2021 - All Tier 3 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  Mid-October 2021 - All Tier 4 (AB 1826) locations start mandatory compliance service through franchised haulers (both AB 341 and AB 1826).  October 2021 - All commercial multi-family properties notified of mandatory food waste recycling service starting on January 1, 2022, with program rollout commencing in November/December depending upon property size (largest first). Each location also provided third Party/Internal Program form and notified that contracted landscaper name and diversion facility used is required to avoid addition green waste service and related charges. Annual tonnage and compliance verification required to avoid mandatory green waste service in future years.  January 1, 2022 - All commercial business and multi-family food waste recycling containers in place. Another component of the new franchise agreement is instituting a new compliance and agreement support fee to offset a portion of the new costs being placed upon the City by this unfunded SB 1383 mandate. Those costs include the previously mentioned mandatory procurement amounts to be issued by the State annually; the costs of inspection, monitoring and reporting on all organic waste collection and processing; the creation, promotion, and ultimate financial support for an edible food donation program; and additional reporting to the State on a number of new organic waste program elements. Staff is seeking City Council’s input on the above-proposed actions. Based on Council’s direction, staff, working with the City Attorney’s Office, will implement the changes to commercial and multi-family waste hauling program to meet State mandates. ALTERNATIVES CONSIDERED: The City may consider continuing to operate its waste collection and recycling program as is. However, this will lead to incompliance with the State regulations and mandates, which will lead to subsequent fines. It will also limit the City’s capacity to receive State grants and incentives to implement new programs. Staff does not recommend this option. FISCAL REVIEW: Fiscal impact is not known at this time. 6 LEGAL REVIEW: The City Attorney’s Office has reviewed SB 1383 regulations, model franchise agreements the State has provided and has been involved in the various alternatives City staff has considered to date. CITY COUNCIL GOALS & PRIORITIES: This project supports the following City Council Goals –  Goal 2: Improve our Neighborhoods and Quality of Life  Goal 3: Keep the City Fiscally Sustainable CONCLUSION This staff report is to inform the City Council on the recently approved SB 1383 regulations and the significant impacts it will have on the City and its solid waste collection and recycling programs. Staff recommends that the City Council allow staff to proceed with the suggested alternative, utilizing a formal franchise agreement to secure needed SB 1383 compliance assistance from current permitted haulers coupled with revisions to the CMMC. Staff will bring executed agreements, the necessary and the procurement and enforcement ordinance as well as the franchise agreements s to Council before the end of the first quarter 2021 for consideration and approval. _____________________________ _____________________________ SALEM AFEWORKI RAJA SETHURAMAN Energy and Sustainability Manager Public Services Director _____________________________ ______________________________ CAROL MOLINA KIMBERLY HALL BARLOW Finance Director City Attorney ATTACHMENT: 1. Presentation: An Overview of SB 1383’s Organic Waste Reduction Requirements DISTRIBUTION: City Manager Assistant City Manager City Attorney City Clerk Staff File SB 1383 Reducing Short-Lived Climate Pollutants in California An Overview of SB 1383’s Organic Waste Reduction Requirements Organic Waste Is the Largest Waste Stream in California CALIFORNIA DISPOSED OF APPROXIMATELY 27 MILLION TONS OF ORGANIC WASTE IN 2017 California’s Waste Stream Non-Organic Waste 33% Other Organics 19% Paper 18% Food 18% Lumber 12% IN CALIFORNIA, MILLIONS ARE FOOD INSECURE 1 IN 8 CALIFORNIANS 1 IN 5 CHILDREN CALIFORNIA THROWS AWAY MORE THAN 6 MILLION TONS OF FOOD WASTE EVERY YEAR! CLIMATE CHANGE NEGATIVELY IMPACTS CALIFORNIA Landfilled Organic Waste Emits Methane Gas— A Super Pollutant More Powerful than C02 Methane Gas Contributes to Climate Change in California 20 PERCENT INCREASE IN RECOVERY OF CURRENTLY DISPOSED EDIBLE FOOD2025 75 PERCENT REDUCTION IN LANDFILLED ORGANIC WASTE (5.7 Million Tons Allowed Organic Waste Disposal)2025 REGULATIONS TAKE EFFECT2022 50 PERCENT REDUCTION IN LANDFILLED ORGANIC WASTE (11.5 Million Tons Allowed Organic Waste Disposal)2020 SB 1383 Requirements SB 1383 Key Implementation Dates 2016-2019 September 2016 SB 1383 Adopted Jan. 2019 Two Years of Informal Rulemaking Ends. Formal Rulemaking Begins Late 2019/Early 2020 20% Increase in Edible Food Recovery 75% Reduction in Organics Disposal January 1, 2025 2025 Regulations Require Local Governments to Take Enforcement Jan. 1, 2024 20242023 Regulations Take Effect and State Enforcement Begins Jan. 1, 2022 20222021 50 Percent Reduction in Organic Waste Disposal Jan. 1, 2020 2020 Regulations Adopted Starting January 1, 2024 Jurisdictions must take action against non compliant entities 2024 Capacity Planning Procurement Conduct Education and Outreach Establish Edible Food Recovery Program Provide Organics Collection Service to All Residents and Businesses 2022 SB 1383 Key Jurisdiction Dates Monitor Compliance and Conduct Enforcement Secure Access to Recycling and Edible Food Recovery Capacity Procure Recyclable and Recovered Organic Products Conduct Education and Outreach to Community Establish Edible Food Recovery Program Provide Organics Collection Services to All Residents and Businesses Jurisdiction Responsibilities –Where We Are Makes Haulers an Active Partner in Monitoring & Reporting Allows City to Contractually Establish Organic Waste Recovery Capacity Credit for RNG Use by Hauler Fleets Against City Procurement Requirements Requires Haulers to Conduct Education and Outreach to Community Requires Haulers to Report on Edible Food Recovery Program Provides Needed Collection, Service & Monitoring Assistance Formal City Franchise Agreement Solution https://www.calrecycle.ca.gov/organics/slcp City Compliance –What Has Been Done January 2016 •City adopted its AB 1826 program as required by CalRecycle 2017-2019 •City added various permit requirements to keep in compliance with AB 1826. City adopts new ordinance establishing contractor self -haul permit program to ensure CalGreen compliance. Performed all required education and outreach and showed year-over-year progress. 2020 •Developed required informal plan with CalRecycle staff. Held meetings to discuss SB 1383 compliance steps with haulers. Sent out notices to all haulers ending current “evergreen” permit (6 years remaining). Built 100% support of recurring service haulers to opt-out of permit and execute formal franchise agreement. 3rd & 4th Quarter 2020 •Developed draft code revisions to support new franchise agreement. Obtained State model ordinances for SB 1383 compliant procurement and enforcement. Presenting SB 1383 requirements to City Manager. Provide City attorney with draft franchise agreement and State model agreement containing all SB 1383 regulatory requirements. https://www.calrecycle.ca.gov/organics/slcp Timeline to Ensure City Compliance 1st Quarter 2021 City finalizes agreements with all haulers. City Council approves code revision and new hauler agreements. City begins lobbying County for surcharge & countywide edible food donation program. City approves new procurement and enforcement ordinances. 2nd Quarter 2021 Waste hauling franchise (under new agreement) starts. Tier 1 (large organic waste generators) falls under hauler-mandate to provide all required service. Forms to certify third-party and/or internal recycling programs concurrently provided to Tier 1 generators. City approved forms or hauler services in place at 100% of these locations. 3rd Quarter 2021 Tier 2 (4 cyd organic waste generators) have mandated service. Edible food donation reporting requirement starts for Tier 1 & 2 locations. Exemption form distributed to Tier 2 objecting to mandatory program. Third-party form distributed to all Tier 2 locations. City approved forms or mandated service in place. Tier 3 & 4 notified and forms provided. 4th Quarter 2021 Tier 3 & 4 (small volume organic waste generators) fall under mandated service or are granted City-issued exemptions. All new monitoring and reporting programs installed. CY 2022 procurement planning. Select and start City-based food donation program if efforts with the County are not successful. Deep Dive –For Later Review Public Transportation Fleets Environmental Health Public Parks Public Works Purchasing Finance Legal City Manager CAO City Council Board of Supervisors SB 1383 doesn’t just apply to waste management and recycling departments. Every local department plays a role in SB 1383 implementation. SB 1383 IN ACTION LOCAL GOVERNMENT ROLES AND RESPONSIBILITIES •Minimum contamination monitoring and reduction requirements •Collection waivers authorized for certain documented circumstances One-Container Collection Service •One container for collection of mixed waste (subject to 75% organic content recovery standard) Two-Container Collection Service •One container for collection of segregated organic waste •One container for collection of mixed waste (subject to 75% organic content recovery standard) Three-Container “source separated” Collection Service •Organics prohibited from black container •All organic waste segregated for collection and recycling Organic Waste Collection Services Provide organics collection service to all residents and businesses SB 1383 IN ACTION JURISDICTION REQUIREMENTS Ensure Commercial Edible Food Generators Have Access to Food Recovery Services Monitor Commercial Edible Food Generators for Compliance Expand Existing Food Recovery Capacity (if needed) Identify Existing Food Recovery Capacity JURISDICTION REQUIREMENTS Establish Edible Food Recovery Program SB 1383 IN ACTION EDIBLE FOOD RECOVERY PROGRAM Appropriate educational material must be provided to linguistically isolated households Jurisdictions May Supplement with Direct Communication. Jurisdictions must provide print or electronic communication. Annually educate all organic waste generators, commercial edible food generators, and self-haulers about relevant requirements JURISDICTION REQUIREMENTS Conduct Education and Outreach to Community SB 1383 IN ACTION EDUCATION REQUIREMENTS Close the Loop PAPER PROCUREMENT REQUIREMENTS •Recycled Content •Recyclability COMPOST, RNG & ELECTRICITY •Minimum Procurement JURISDICTION REQUIREMENTS Procure Recycled and Recovered Organic Products SB 1383 IN ACTION PROCUREMENT REQUIREMENTS Model Water Efficient Landscape Ordinance (MWELO) requirements for compost and mulch application. Recycling organic waste commingled with C&D debris, to meet CalGreen 65% requirement for C&D recycling in both residential and non-residential projects Construction & Landscaping Requirements SB 1383 Requires 50-100 New or Expanded Organic Waste Recycling Facilities ORGANIC WASTE RECYCLING INFRASTRUCTURE Evaluating Current Infrastructure and Planning New Compost and AD Facilities and Edible Food Recovery SB 1383 IN ACTION INFRASTRUCTURE REQUIREMENTS Annual Compliance Reviews Route Reviews, Inspections, Notice of Violations, Penalties for Violators Compliance Monitoring & Enforcement 2024 Annual Compliance Reviews, Route Reviews, Inspections Educate Violators Compliance Monitoring & Education 2022-2024 Adopt an Ordinance (Enforceable Mechanism) Including Enforcement Ordinance 2022 JURISDICTION REQUIREMENTS Monitor Compliance and Conduct Enforcement SB 1383 IN ACTION INSPECTION AND ENFORCEMENT REQUIREMENTS Requirements Harmonize with AB 1826 and Don’t Establish a Minimum Quantity of Physical Inspections Must Have Enforcement and Inspection Program that Includes: •Annual Compliance Review •Commercial Businesses that Generate >2 Cubic Yards/week •Verify Businesses are: •Subscribed to Service or Self-hauling •2 or 3 Container Collection Service: Route Reviews of Commercial/Residential Areas to Verify Service and Inspect for Contamination •Single Unsegregated Collection Service: Verify Businesses are subscribed to a service that is Transporting Contents to a High Diversion Organic Waste Processing Facility J URISDICTIONENFORCEMENTREQUIREMENTS Commercial Edible Food Generator Inspections Can Be Combined with Existing Mandatory Inspections Must Have Enforcement and Inspection Program that Includes: •Inspections to verify: •Edible food Recovery arrangements •Tier 1 Commercial Edible Food Generators by 2022 •Tier 2 Commercial Edible Food Generators by 2024 J URISDICTIONENFORCEMENTREQUIREMENTSONCOMMERCIALFOODGENERATORS Jurisdiction Inspection & Enforcement Commercial Edible Food Generators Recycled Paper Procurement Recycled Organic Waste Procurement Edible Food Recovery Program Education & Outreach WaiversContamination Minimization Hauler Program Organic Collection Services Recordkeeping Requirements: Maintain Records and Report to CalRecycle SB 1383 INACTION JURISDICTION REQUIREMENTS If Violations •Issue Notices of Violation •May Authorize Corrective Action Plan •Allows up to 24 months to address barriers outside of a jurisdiction’s control Oversee and Monitor for Compliance Jurisdiction Review •Conduct joint inspections with jurisdictions •Review Implementation Record Authorize Waivers •Low Population •Rural Areas Emergency Circumstances Oversee and Monitor •State Agencies and Facilities •Local Education Agencies CALRECYCLE OVERSIGHT (BEGINS IN 2022) STATE ENFORCEMENT 1/ 11/2021 Re: SB 1383 Organic Waste Collection and Processing, and Recycling Programs - Regulatory Impacts and Required Actions Dear City Council, The staff report is well written. I hope Costa Mesa will provide other Cities a more sustainable and effective example to comply with SB 1383. There’s an increasing ur gency to address organic waste, landfill diversion, methane and other greenhouse gas reduction measures. According to the U.S. Food & Drug Administration, “In the United States, food waste is estimated at between 30–40 percent of the food supply.” In addition, a big problem with organic waste is huge methane emissions from landfills of which a sizable fraction escape, California Air Resources Board reports 8.63 million tons CO2eq annually escape. According to the U.S. Environmental Protection Agency, “Methane is the second most abundant anthropogenic GHG after carbon dioxide (CO 2), accounting for about 20 percent of global emissions. Methane is more than 25 times as potent as carbon dioxide at trapping heat in the atmosphere .” According to Environmental Defense Fund, “In the first two decades after its release, methane is 84 times more potent than carbon dioxide.” The EPA also stated, “Because methane is both a powerful greenhouse gas and short-lived compared to carbon dioxide, achieving significant reductions would have a rapid and significant effect on atmospheric warming potential.” Fortunately, CR&R provides a world class solution with their anaerobic digestion (AD) facility in Perris, that helps us meet important climate goals. I have a few thoughts on the procurement requirements by SB 1383 as shown in the CalRecycle PowerPoint: Recycled Paper: Please start buying recycled paper products immediately. For example, Sprouts sells 100% recycled toilet paper, wrapped in paper, not plastic. (And this is Buy Local.) Renewable Natural Gas (RNG): Thanks to Mayor Pro Tem Andrea Marr for explaining why SoCal Gas’s RNG is problematic at the 2/29/2019 council meeting after SoCal Gas’s presentation. (So far, at least 13 Cities in OC have adopted SoCal Gas’s balanced energy resolution, which is the gas company’s attempt to perpetuate the use of fracked fossil natural gas.) Unfortunately, there are issues with distribution of CR&R’s RNG from Perris because of likely leaks in the gas transmission pipes. UC Davis reported: "Use of landfill gas on-site instead of being sent elsewhere via pipeline reduces carbon emissions by up to 67%, indicatin g a clear climate benefit to avoiding pipeline transmission." Due to the potential leakage through the pipeline from Perris to Costa Mesa , I hope some kind of improvement can be done, all the gas can be used onsite to make energy and fuel trucks. Compost: Does CR&R mixes anything with the organic waste it collects? At LA County Sanitation Districts’ AD facility, “the food waste is mixed with the sewage sludge, so the resulting compost is not suitable to use directly on many food crops.” Ideally, the digestate remaining after anaerobic digestion at the Perris facility is ready to be used as good quality compost for growing more food. This is what we all want, closing the recycling loop for true sustainability. Thank you! Hoiyin Ip STAY ENGAGED https://www2.calrecycle.ca.gov/Listservs/ Subscribe/152 https://www.calrecycle.ca.gov/organics/slcp Michael Balliet City Consultant