TECHNICAL ADVISORY COMMITTEE (TAC)MEETING THURSDAY, June 6, 2019 at 2:00 P.M

TECHNICAL ADVISORY COMMITTEE (TAC)MEETING THURSDAY, June 6, 2019 at 2:00 p.m. San Carlos Library, Conference Room A/B 610 Elm Street, San Carlos, CA 94070 AGENDA 1. Call to Order/Roll Call

2. Public Comment Persons wishing to address the Board on matters NOT on the posted agenda may do so. Each speaker is limited to two minutes. If there are more than five individuals wishing to speak during public comment, the Chairman will draw five speaker cards from those submitted to speak during this time. The balance of the Public Comment speakers will be called upon at the end of the Board Meeting. If the item you are speaking on is not listed on the agenda, please be advised that the Board may briefly respond to statements made or questions posed as allowed under The Brown Act (Government Code Section 54954.2). The Board's general policy is to refer items to staff for attention, or have a matter placed on a future Board agenda for a more comprehensive action or report and formal public discussion and input at that time.

3. Executive Director’s Update p. 3

4. Approval of Consent Calendar Consent Calendar item(s) are considered to be routine and will be enacted by one motion. There will be no separate discussion on these items unless members of the Board, staff or public request specific items be removed for separate action. Items removed from the Consent Calendar will be moved to the end of the agenda for separate discussion. A. Approval of Minutes from the May 9, 2019 TAC Meeting p. 7

5. Update on CalRecycle Electronic Annual Reports p. 11 by Nanette Hansel Ascent Environmental via phone

6. Staff Update on SB1383 p. 15

7. Final TAC Discussion on Long Range Plan p. 16 Attachment: DRAFT Long-Range Plan

8. Presentation by San Mateo County on the proposed Disposable Food Service Ware Ordinance p. 21 by Eun-Soo Lim, Senior Sustainability Coordinator

9. Feedback on Community Shred and E-Scrap events p. 59

10. Contractor Updates A. Recology B. South Bay Recycling p. 61

11. TAC Member Comments

12. Adjourn

MEMBER AGENCIES ATHERTON * BELMONT * BURLINGAME * EAST PALO ALTO * FOSTER CITY * HILLSBOROUGH * MENLO PARK * REDWOOD CITY * SAN CARLOS * SAN MATEO * COUNTY OF SAN MATEO * WEST BAY SANITARY DISTRICT FULL PACKET PAGE 1 of 63 FULL PACKET PAGE 2 of 63 3

Agenda Item 3 Executive Director’s Update

No Staff Report: Verbal Presentation Only at the 06/06/2019 TAC Meeting

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CONSENT CALENDAR

Agenda Item 4

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DRAFT MINUTES SOUTH BAYSIDE WASTE MANAGEMENT AUTHORITY SPECIAL MEETING OF THE TECHNICAL ADVISORY COMMITTEE May 9, 2019 – 2:00PM.

San Carlos Library Conference Room A Call to Order: 2:10PM 1. Roll Call

Agency Present Absent Agency Present Absent

Atherton X Menlo Park X Belmont X Redwood City X Burlingame X San Carlos X East Palo Alto X San Mateo X Foster City X County of San Mateo X Hillsborough X West Bay Sanitary District X

3. Executive Director’s Update

Executive Director La Mariana welcomed everyone to the meeting and made the following announcements:  By the May Board Meeting the disposal numbers will be a known entity for financial and operational planning.  The Bond Refunding project now has 4 Member Agencies who’ve approved the bonds, and by the Board meeting 11 of the 12 will have voted on the bonds. He noted that Atherton has decided to solicit for collection services and they would not be voting on the bond refunding.  The new financial services contract begins July 1 with the City of Redwood City, and staff is working on the transition.

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 The June TAC meeting will be the final TAC discussion on the Long-Range Plan, the County will give a presentation on their plastic server ware ban, the 2018 Cal Recycle EARs will be reviewed, and there will be an update on SB1383. Executive Director La Mariana asked TAC members to send an alternate if they were not able to attend.

Motion/Second: Ramirez/Daher Voice Vote: All in Favor

5. Discussion on Draft Long-Range Plan

Staff Ligon thanked TAC members for their survey feedback. He gave a Power Point presentation and went over the process to date, project highlights and revised timeline. He asked for feedback on the use of icons, expanded realms and revised mission statement.

The TAC Members gave mission statement feedback, noting that a mission statement doesn’t need examples those should be saved for principles. They liked putting public health above economics and thought the mission statement should be listed in order of priority. They liked the term solid waste management, not recycling programs, and they didn’t like the term rot.

The TAC members discussed the proposed guiding principles. They didn’t like the word strive and discussed if the goal of zero waste should be a goal or not but not to use the word strive. They noted that premium choices come at a higher cost, and there may be ways to word the guiding principles to meet in the middle. They noted that broader language helps to keep the Agency more agile and allows for Member Agencies’ climate action plans to push the SBWMA’s programs and policies.

The TAC discussed the zero waste principles and gave feedback. Overall, they agreed that the bullet points should be in priority order. They also wanted to prioritize leveraging resources and zero waste infrastructure. They didn’t like the phrase “adhere to” and wanted an active word instead of adhere. They wanted to prioritize the principles that had to do with meeting mandates before those that went further.

The TAC discussed whether as a group they wanted the Long-Range Plan to focus on zero waste principles, so they would have that consistently in their thoughts when giving feedback on the draft long- range plan. Generally, they agreed with the zero waste principles but there was concern over how achievable it would be, knowing that there isn’t a market for all of the material now, and how to reduce what already exists. Steve Sherman suggested that the Long-Range Plan include waste reduction targets on a pounds per person per day or volume. Another suggestion was to go carbon free or carbon reduction instead of zero waste.

Staff Ligon asked for feedback on the one page hand out as soon as possible and that the full draft would be available for feedback by May 22.

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6. Discussion on the Shoreway Operations Agreement with South Bay Recycling (SBR) expiring 12/31/20

Executive Director La Mariana introduced the item, and Staff Gans gave the details. He noted that the contract expires in 1 ½ years, there is extension language in the contract that the agency can decide to execute at the current term for 1 to 3 years. So, the Agency needs to make a decision about going out to RFP or extending. He gave some details of the SBR contract:  The SBWMA has a good deal with SBR. In 2009 there were 7 bidders and SBR was over $1M lower than the next lowest bid, and it’s not a cost plus contract, the contract is only increased by CPI.  SBR has provided excellent services, they are able to move large volumes of material on a reliable basis.  SBR has had a cooperative approach with the SBWMA, noting their response after the fire, and the China commodity market issue, as well as their assistance in developing the capital projects being funding by the bonds.  There are no obvious better alternatives.  The operations agreement document is a robust and precise instrument that is working really well.  Now is not the best time to go into negotiations with the commodity markets at their lowest given the revenue share approach to these contracts.  There is a benefit to doing construction and facility upgrades with a competent experienced operator, and if the three-year option was exercised SBR would be the operator until the completion of the MRF upgrades.  An RFP makes more sense after the capital upgrades are complete. Staff Gans then asked for the TAC’s feedback.

Executive Director La Mariana added that the SBR contract is with the SBWMA on the Member Agency’s behalf not with the individual Member Agencies. He noted that there are two decisions to make. 1) do we exercise the 3-year options or not, and 2) what about after those options should the be exercised.

Dwight Herring of SBR added that SBR is interested in continuing the relationship that has been collaborative and positive and would like to continue the partnership for as long as possible. He did note that the CPI adjustment is a federal CPI, and they would like to look at a more local CPI adjustment.

The TAC agreed that with the risky time to go out to RFP, and the great partnership with SBR the extension options should be exercised. They did ask to see if there were comparable RFPs out there to compare to, to show rate payers that due diligence was done. They suggested a presentation to the Board on what SBR’s responsibilities are and the value they bring to the SBWMA.

7. Discussion on Amendment One Modifications to the Model Recology Amended and Restated Franchise Agreement A. Presentation by C/CAG Countywide Stormwater Program Manager, Matt Fabry

Matt Fabry gave background and overview of the Stormwater pollution regulations affecting the Franchise Agreement Amendment One discussion. He noted that the regulations are coming from the state control board that issues the Municipal Regional Permit, which covers everything that can cause a problem with stormwater. One of those is trash which has been targeted by the regulating board and in the second

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term of the permit the regulations required a 70% reduction by July 1, 2018, and 80% by July 1 of 2020. He added there is a goal which falls outside of the existing term of the permit to get to 100% by July 2022. He discussed what 100% means, noting that in 2009 baseline numbers were established by the Bay Area Storm Management Associations via assessments of how much trash was in catch basins, visual assessments, and using other factors like land use types and socio economic factors to create land use space loading maps to figure out how much trash was coming off the urban environment. The Water Board has accepted these maps which have been categorized from low, which is green, moderate, which is yellow, high, which is red, and very high which is purple. The goal of 100% is to change the maps everywhere to green. He added that there are different sources of trash litter, but they do know that the collection process especially with overfilled bins is part of the problem of contributing trash into the environment. And this Franchise Agreement Extension process is an ideal time to get the recommended language into the Franchise Agreements to reduce litter happening through the collection process. He concluded that there are two ways to get to green on the maps. 1) Install full trash capture devices, areas where these are installed are automatically green, and 2) If trash capture won’t work in your Agency’s system, there is a combination of things that count like bag bans, but then Agency’s are responsible for going out and doing inspections to verify that the measures in place are actually reducing litter in the landscape.

Executive Director La Mariana gave an overview of the 7 recommended Franchise Agreement Extension changes that are part of the Amendment One decision process, and specifically the 5 that are related to litter reduction as part of the storm water regulations.

The TAC discussed the issue of cameras for overages in containers. Cameras are very expensive. Member Daher wants the photos to document the overages especially for repeat and excessive overage. Executive Director La Mariana noted that the cameras would not be immediate. They wouldn’t able to be implemented until the fleet needed to be replaced and the cost is not just the cameras, but the software and the management and all the back-end reporting.

The County is trying to get to a county wide number on how much storm water compliance is costing, so Member Lee asked that those cost be broken down by jurisdiction. The TAC then discussed the costs associated with storm water compliance and asked about a County wide tax to help pay for compliance. Matt Fabry noted that there isn’t a storm water utility with a Prop 218 process, which is why they suggested the approach of paying for it through the garbage rate and street sweeping infrastructure that already exists. Anything storm water specific would have to go through the balloting process.

Vice Chair Murray noted that San Mateo’s Franchise Agreement says that lids must be closed, and no overages are allowed, and they’ve also upgraded the street sweeping. Matt Fabry concluded that there a lot of different tools in the toolbox the Agencies can use to get credit toward meeting the regulations in the Permit.

8. Contractor Updates A. Recology – No Report B. South Bay Recycling – No Report

9. TAC Member Comments

10. Adjourn 4:00PM

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Agenda Item 5 Update on Cal Recycle Electronic Annual Reports

No Staff Report

Nanette Hansell will discuss the 2018 Cal Recycle Electronic Annual Reports via phone

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STAFF UPDATE SB 1383

Agenda Item 6

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STAFF REPORT To: SBWMA TAC Members From: Julia Au, Recycling Outreach Programs Manager Date: June 6, 2019 Technical Advisory Committee Meeting Subject: Staff Update on SB 1383

Summary Staff will provide an update SB 1383 planning and discuss a request for information from HF&H Consultants that has been requested from all Member Agencies.

Analysis On March 28th, a study session was held at the Board meeting providing a summary of the impending program and timing elements that are mandated by SB 1383 (California’s Super Pollutants Act of 2016). This information can be reviewed at these links:

Staff Report: https://www.rethinkwaste.org/uploads/media_items/032819-study-session.original.pdf PPT Slides: https://www.rethinkwaste.org/uploads/media_items/032819-8-sb1383-presentation.original.pdf

SB 1383 requires many other programmatic adjustments to the SBWMA’s comprehensive range of solid waste services, and the costs and benefits will be much better understood when the regulations are finalized. Staff has been advised that this process could continue through the end of this CY. In the meantime, please be assured that Staff continues to monitor the current SB 1383 formal rulemaking process to make appropriate recommendations to the FY 19/20 Operations Budget (and those beyond) as well as factoring these programmatic adjustments into the new Long Range Plan development process. Note that CalRecycle will present a new revised draft of the SB 1383 regulations on June 18, 2019.

In April 2019, SBWMA entered into contract with HF&H Consultants to provide SB 1383 planning support due to the nature of the planning involved to be prepared for SB 1383. HF&H’s contract includes assessing baseline conditions, evaluating potential solutions and developing and presenting a SB 1383 Action Plan. As part of the assessing baseline conditions, HF&H has requested from SBWMA specific information, some of which is directed towards the Member Agencies. Please see Attachment A for the requested information that is due by June 19, 2019.

Background Since it was passed into law on September 19th, 2016, SB 1383 has significant unknown implementation regulations that have been shaped by broad sweeping CalRecycle-hosted public workshops and comment periods. This process appears to be approaching completion as CalRecycle Staff has advised our Agency that its enforcement regs will be finalized by December 31st. Based on our extensive participation and engagement in the process, it appears that the core elements of these regs are now in place, and any further adjustments between now and the end of the year are not expected to deviate from these elements.

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Beyond the actual operational aspects of diverting significantly more organic materials from landfills to other higher and better use processing options, major programmatic changes are required of every jurisdiction involving reporting, monitoring, enforcement and other related topics. There are interesting discussion and decisions ahead for the Agency on these topics.

Fiscal Impact The full scope of implementing SB 1383’s specific fiscal impacts are unknown at this time, largely because this law’s enforcement regulations are not yet finalized. Staff and the Agency’s Legislative and Regulatory contractor (often referred to as our “lobbyist”), Environmental & Energy Consulting (EEC) remains highly engaged in the rulemaking process and will make appropriate assumptions during the FY19/20 Operating Budget development and Long Range Plan/Capital Projects planning processes.

Attachments:

Attachment A: Member Agency Ordinance and Purchasing Policy Questions

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FULL PACKET PAGE 16 of 63 SBWMA SB 1383 Planning Project Member Agency Ordinance and Purchasing Policy Questions

Ordinance or Response Municipal Code Section Reference 1 General Information Member Agency name Population 2 Solid Waste and Recycling Ordinance/Municipal Code Provisions

2A Single-Family Generator Requirements 1 Are residents required to subscribe to collection services? (Yes or No) 2 If so, what exceptions are there (e.g., self-hauling)? 3 Are residents required to separate and recycle recyclables? (Yes or No) 4 If so, how are recyclables defined? 5 Are residents required to separate and recycle organics? (Yes or No) 6 If so, how are organics defined (e.g., include green waste, wood waste, food waste)? 7 Are there are other relevant provisions? If so, describe briefly. 8 Does your jurisdiction take enforcement actions against non-compliant generators? 9 If so, what are the specific actions (warnings, notices of violation, penalties) and related ordinance provisions? 2B Multi-Family Generator Requirements 1 Are multi-family generators required to subscribe to collection services? (Yes or No) 2 If so, what exceptions are there (e.g., self-hauling)? 3 Are residents required to separate and recycle recyclables? (Yes or No) 4 If so, how are recyclables defined? 5 Are residents required to separate and recycle organics? (Yes or No) 6 If so, how are organics defined (e.g., include green waste, wood waste, food waste)? 7 Are property managers required to provide recycling containers? (Yes or No) 8 If so, what are the specific requirements? 9 Are property managers required to provide organics containers? (Yes or No) 10 If so, what are the specific requirements? 11 Are property managers required to provide recycling education to tenants? (Yes or No) 12 If so, what are the specific requirements? 13 Are there are other relevant provisions? If so, describe briefly. 14 Does your jurisdiction take enforcement actions against non-compliant generators? 15 If so, what are the specific actions (warnings, notices of violation, penalties) and related ordinance provisions?

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Ordinance or Response Municipal Code Section Reference 2C Commercial Generator Requirements 1 Are commercial generators required to subscribe to collection services? (Yes or No) 2 If so, what exceptions are there (e.g., self-hauling)? 3 Are commercial generators required to separate and recycle recyclables? (Yes or No) 4 If so, how are recyclables defined? 5 Are commercial required to separate and recycle organics? (Yes or No) 6 If so, how are organics defined (e.g., include green waste, wood waste, food waste)? 7 Are commercial generators required to provide recycling containers? (Yes or No) 8 If so, what are the specific requirements? 9 Are property mgs/business owners required to provide organics containers? (Yes or No) 10 If so, what are the specific requirements? 11 Are property mgs/business owners required to provide recycling education to employees, tenants, contractors? 12 If so, what are the specific requirements? 13 Are commercial edible food generators required to recovery edible food? 14 If so, what are the specific requirements? 15 Are there are other relevant provisions? If so, describe briefly. 16 Does your jurisdiction take enforcement actions against non-compliant generators? 17 If so, what are the specific actions (warnings, notices of violation, penalties) and related ordinance provisions? 2D Self-Haul Requirements 1 Are self-haulers required to register or secure a permit? (Yes or No) 2 If so, does this apply to single-family, multi-family, and/or commercial self-haulers? 3 If so, does this apply to back haulers? 4 If so, does it apply to solid waste, recycling, and/or organics? 5 If so, how does the registration process work? 6 Are self-haulers required to report to the jurisdiction? (Yes or No) 7 If so, does this apply to single-family, multi-family, and/or commercial self-haulers? 8 If so, does this apply to back haulers? 9 If so, does it apply to solid waste, recycling, and/or organics? 10 If so, what is the required reporting frequency?

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Ordinance or Response Municipal Code Section Reference 3 C&D Ordinance a Has a C&D ordinance been adopted? b If so, is it compliant with the 2016 CALGreen requirements? c If so, does it require 65% C&D diversion for new construction and nearly all remodeling, additions, and alternation projections to comply with CALGreen (Sections 4.408.1 and 5.408.1 of the California Green Building Standards Code)? d If so, does it require provision of adequate space for recycling containers to comply with CALGreen (Sections 4.410.2 and 5.410.1 of the California Green Building Standards Code)? e If the ordinance is not compliant with the CALGreen C&D recycling requirements, how many additional C&D projects are estimated to be covered under a compliant ordinance? f What is the average number of hours staff incurs administering each C&D project, and what is the hourly rate of the staff person including benefits and overhead? 4 Paper Purchasing for Paper Products and Printing and Writing Paper (see definitions below of form) a What, if any, recycled-content paper purchasing policies are in place? b What was the total annual quantity of paper products and printing and writing papers purchased in 2018 or most recent 12 months? c What percentage of the annual total purchases are purchases of recycled-content paper? d What is the minimum percentage of post-consumer material in the recycled-content paper? 5 Compost Purchasing a What, if any, compost purchasing policies are in place? b How much compost was used or purchased by your agency in 2018, if any? c What was the per-ton or per-cubic yard cost for the compost? 6 Renewable Transportation Fuel Purchasing (see definition at bottom of form) a What, if any, renewable fuel purchasing policies are in place? b How much renewable transportation fuel was used by your agency in 2018, if any? c What was per-unit price of the fuel? d Brief description of the type and source of the fuel and what agency vehicles use the fuel. N/A SB 1383 Definitions 1 "Paper products" include, but are not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, and hanging files, building insulation and panels, corrugated boxes, tissue, and toweling.

2 "Printing and writing papers" include, but are not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications.

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Ordinance or Response Municipal Code Section Reference 3 “Renewable transportation fuel” means fuel derived from renewable gas from organic waste that has been diverted from a landfill and processed at an in-vessel digestion facility.

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Agenda Item 7 Discussion on Draft Long Range Plan

No Staff Report: Attachment Only

Attachment A: DRAFT Long-Range Plan

This is a working draft, which is still subject to additional edits, some of which will be based on feedback at the 06/06/19 TAC Meeting.

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DRAFT

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Acknowledgements...... 1

1. Agency Mission and Guiding Principles...... 2 A. Mission...... 2 B. Guiding Principles...... 2

2. Plan Use ...... 3 A. Purpose...... 3 B. Scope...... 3 C. Guidelines For Use of Plan...... 4

3. Plan Development Process...... 5 A. Timeline...... 5 B. Summary Of Stakeholder Input...... 6

4. Agency Action Key Drivers...... 6 A. Policies...... 6 a. International...... 6 c. Regional ...... 7 B. Economics And Markets...... 8 C. Climate Change And Adaptation...... 9 D. Member Agency and Other Considerations ...... 9

5. Key Sections...... 9 A. Section 1: Waste Reduction and Reuse Programs and Policies...... 10 a. Overview ...... 10 b. Single-Use Foodware and Packaging Reduction...... 11 c. Edible Food Recovery and Other Organics...... 12 d. Other Materials and Considerations...... 13 B. Section 2: Collection Programs and Policies...... 14 a. New and Amended Franchise Agreement Key Elements...... 14 b. SB 1383: Mandatory Monitoring, Enforcement and other Oversight of Improved Recycling and Organics Collection...... 16 c. Alternative Fuel for Collection Vehicles...... 17 d. Expanding Battery Collection...... 18 e. Extended Producer Responsibility Policy Support...... 19 f. Collection:DRAFT Other Topics...... 19

b RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p2 FULL PACKET PAGE 23 of 63 C. Section 3: Processing and Transfer Programs and Policies...... 21 a. Upgrading Shoreway Recycling Facilities...... 21 b. Expanding Organics to Energy Processing...... 22 c. Shoreway Operations Agreement...... 23 d. Landfill Disposal Contract ...... 24 D. Section 4: Operations and Management Programs and Policies...... 25 a. Managing Battery Fire Risk...... 25 b. Disaster and Resiliency Planning...... 26 c. Environmental Education Center Activities...... 27 d. Facilities: Additional Topics...... 28 e. Financial Management...... 29

6. Project Milestones and Timing ...... 30 A. Overview...... 30

7. List Of Key Sources Of Information...... 31 A. SBWMA Sources...... 31 B. State of California and Regional Sources...... 31 C. Additional Sources...... 31

DRAFT

c RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p3 FULL PACKET PAGE 24 of 63 Acknowledgements

Several organizations and individuals deserve acknowledgement for their roles in plan preparation. Table 1 identifies members of the South Bayside Waste Management Authority (SBWMA) Board of Directors (who are elected officials who represent their respective jurisdictions), Technical Advisory Committee (TAC) and other committees, which are comprised of representatives of the SBWMA Joint Powers Authority’s 12 Member Agencies.

Table 1. Board of Directors, Technical Advisory Committee and other (Sub)Committee members.

Member Agency Board of Directors Member Technical Advisory Committee Member

Atherton Bill Widmer, Mayor (F)(Z) George Rodericks, City Manager

Belmont Davina Hurt, Mayor (P)(Z) Afshin Oskoui*, Chair and Public Works Director

Burlingame Michael Brownrigg, Council Member Carol Augustine, Finance Director and Treasurer (F)(Z) (F)

East Palo Alto Ruben Abrica, Council Member Michelle Daher, Environmental Programs Management Analyst

Foster City Herb Perez, Vice Mayor Andra Lorenz, Senior Management Analyst (P)

Hillsborough Jay Benton, Chair and Council Member Jan Cooke, Finance Director (F*)(E)(L)

Menlo Park Catherine Carlton, Council Member Rebecca Lucky, Sustainability Manager

Redwood City Alicia Aguirre, Vice Chair and Council Terence Kyaw, Public Works Director Member (E)(L)

San Carlos Adam Rak, Council Member Steven Machida, Public Works Director

San Mateo Rick Bonilla, Council Member (Z) Roxanne Murray**, Vice Chair and Solid Waste/ Recycling Programs Coordinator (P)

Unincorporated County Carole Groom, President of the Board of Danielle Lee, Deputy Director Office of Supervisors Sustainability; Gordon Tong, Program Manager (Alternate) (P)

West Bay Sanitary District Fran Dehn, President Sergio Ramirez, Maintenance Superintendent

Committees: Executive Committee (E), Legislative/Regulatory Committee (L), Finance Committee (F), Zero Waste (previously Zero Landfill) Committee (Z), and Public Education/Outreach Subcommittee (P), with * indicating Chair of Committee and ** indicating Vice-Chair. DRAFT

Staff and BOD members (2018).

1 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p4 FULL PACKET PAGE 25 of 63 In addition, the contributions of the following contractors and staff must be acknowledged: • SBWMA’s major service contractors, Recology San Mateo County (Recology) and South Bay Recycling (SBR), and their senior staff representatives: Recology: Mike Kelly, Tammy del Bene, Anthony Crescenti, Jeannette Haskell, and Gino Gasparini; and SBR: Dwight Herring and Daniel Domonske • SBWMA management and staff, operations, finance, and programs managers: Joe La Mariana, Hilary Gans, John Mangini, Grant Ligon, Julia Au, Emi Hashizume, and Cyndi Urman. • SBWMA’s Long-Range Plan consultant: Steven Sherman Consulting.

1. Agency Mission and Guiding Principles

A. Mission

The SBWMA’s Mission Statement is hereby updated by the Board of Directors to read:

To serve as community and industry leaders and support our Member Agencies’ public health, safety, economic, climate action plan, and zero waste priorities, by providing innovative programs that flexibly and cost-effectively stimulate waste reduction, product reuse, recycling and composting through education, technical assistance, infrastructure, and enforcement.

The revised Mission Statement reflects significant changes that have occurred in recent years in State of California policy, recyclable commodity markets, and Board of Directors guidance drivers. This Mission Statement may be modified by the Board of Directors periodically to address Member Agency, regulatory, or other emerging key issue drivers such as climate change mitigation, adaptation, and resiliency, to align with Member Agency environmental and other priorities.

B. Guiding Principles

As shown below, the SBWMA’s Guiding Principles are hereby updated by the Board of Directors. These principles are to be used to evaluate and make priorities regarding proposed policy, program and infrastructure enhancements considered in this Long-Range Plan.

• Maintain and Support an Economically Sustainable Materials Management System a. Leverage existing Shoreway facility infrastructure and all partner organization resources and capabilities. b. Duly consider cost structures, rate stability and predictability when developing and evaluating programs, policies and infrastructure. c. Comply with all applicable local, state and national laws and regulations. d. Advocate for and support product stewardship policies and initiatives. e. Support demonstration projects that reduce or sequester carbon emissions. f. Develop emergency and contingency plans to govern operations of the materials management system during and after natural disasters, such as earthquakes, fires, and floods. g. Reduce and mitigate landfill and other facility impacts, such as byeliminating the disposal of recyclableDRAFT and compostable materials at landfills. h. Enhance environmental education to maximize public participation in materials reduction, reuse and recovery programs and services.

2 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p5 FULL PACKET PAGE 26 of 63 • Adhere to Zero Waste Principles a. Pursue, in priority sequence, waste reduction, reuse, recycling, composting, and landfilling, in line with highest and best use of discarded products and packaging. b. Promote the long-term behavior change needed to recover 90% of recyclable and compostable materials by 2030, through education, training, recognition, economic incentives, policy measures, monitoring, and enforcement. c. Develop collection and processing systems that are adaptable, flexible, scalable, and resilient. d. Recognize the importance of materials conservation, litter abatement, and embedded energy in developing priorities for waste reduction and recycling efforts. e. Minimize greenhouse gas emissions associated with collection and transfer of materials, such as by using low-emission vehicle fuels and reducing the need for materials collection and transfer of materials, to help the Agency achieve net-zero emissions status. f. Reduce the toxicity of, and other hazards associated with, products and packaging that enter the solid waste system, and effectively manage such toxicity and hazards so that people, property, and the environment are protected. g. Support robust buy-recycled efforts and local economic development, using reused, repaired, or recycled items, where possible.

2. Plan Use

A. Purpose

The overarching objective of this long-range plan (the “Plan”) is to provide the Board, Technical Advisory Committee (TAC) members, staff, and agency stakeholders with a primary planning and guidance document for developing key agency programs and operations, capital improvements, and policies over the coming five-year period. It is envisioned that specific projects and programs, and their associated goals and costs, will be presented for consideration during the annual budget process. Time-sensitive mandates or other critical decisions that do not sync with this process will be presented through normal Board meeting channels. Unlike monthly or annual staff reports to the Board, the Plan provides a longer- term perspective that is needed to help navigate the major changes (“drivers”) which have occurred in or to the solid waste and recycling industry in recent years.

B. Scope

This Plan is designed as an easy-to-read, handy reference for practical implementation in line with the SBWMA’s Mission Statement and Guiding Principles. The Plan focuses on the following key topics, generally at an overview level:

• Understanding of key market, economic, environmental, and legal drivers that will shape Agency policy and planning priorities;

• Identification of resulting necessary major capital investment projects and programs for collection and processing;DRAFT • Addressing approaches to the possible expiration or extension of the Shoreway operations and other contracts;

• Operational and financial risk management, to address system risks and planning.

3 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p6 FULL PACKET PAGE 27 of 63 C. Guidelines For Use of Plan

The Plan provides concise discussion and guidance regarding external factors (Key Drivers) that prompt certain actions, undergirded by central themes (Mission, Guiding Principles), with attention to major programmatic and policy areas and activities of interest (Sections). Icons are used to help the reader rapidly identify key drivers, goals, policies, anticipated costs, and other salient features (see Table 2 below), with that corresponding text marked in bold adjacent to the icon(s).

Table 2. Icons Used in the Plan.

Concept Symbol Explanation/Notes

Projected relative cost (red: cost; green: savings) of an activity Cost ($: $10,000 to <$100,000; $$: $100,000 to <$1M; $$$: >$1M).

Climate change driver or projected relative emissions savings of an activity (1 to 3 of GHG Emissions the icons indicates low, medium or high relative greenhouse gas emissions reduction,

respectively).

Reduction and Activities related to waste reduction and reuse. Reuse

Recycling and Activities related to recycling, composting or other innovative waste management Composting strategies (e.g. anaerobic digestion).

Policies Policies, as a driver of certain activities.

Markets Market forces, as a driver of certain activities.

Contracts Activities related to new or revised contracts.

Collaboration Regional collaboration activities.

Lobbying Policy advocacy activities.

Outreach Public outreach activities.

Education Public education activities.

DRAFT

4 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p7 FULL PACKET PAGE 28 of 63 3. Plan Development Process

A. Timeline

Various governing and advisory committees provided review and comment of draft themes, concepts and specific details during early stages of the Plan’s development. The schedule and main results of meetings with Plan stakeholders (and draft revision dates) are summarized below in Table 3.

Table 3. Stakeholder Meetings/Involvement and Results.

Date Meeting/Activity Results

Public Education and Outreach Input session #1: Suggested engagement/collaboration March 12 Committee meeting strengthening, topic headings, and other improvements

Input session #2: Prioritized and edited/added to topics in March 14 TAC meeting Plan Outline, in-person and via survey

Input session #3: Capital Improvement Planning, refined March 28 Zero Waste Committee meeting Mission Statement and Guiding Principles

Input session #4: Refined Mission Statement and Guiding April 11 Finance Committee meeting Principles

Public Education and Outreach Input session #5: Refined Pilot Programs and Outreach April 15 Committee meeting Plan sections

Input session #6: Refined Collection Section and other April 16 Franchised Hauler (Recology) Input Session activities/focus areas

Input session #7: Refined Processing and Operations April 19 Contracted Processor (SBR) Input Session Section and other activities/focus areas

Input session #8: Discussed process, incorporating May 9 TAC meeting feedback, Mission Statement and Guiding Principles, and timeline to develop draft and final Plan

TAC and Contractors receive first draft Input from all four Committees and major Contractors: May 31 of Plan processed into first draft for TAC review

Input to be processed for refining Draft for Board/other June 5 TAC and Contractors’ feedback due review: all level of detail/comments encouraged

June 6 TAC meeting Input session #9: Draft Plan review and discussion

Input session #10: Board’s first review of (second) Draft June 27 Board of Directors meeting Plan (Study session format)

September 12 TAC meeting Input session #11 (if necessary)

2020 Long-Range Plan Consideration: Board approval September 26 Board of Directors meeting of Plan

2020 Long-Range Plan Consideration, Option #2 (if November 21 Board of Directors meeting necessary) January 1, 2020 DRAFTMid-Year Budget Revised 2020 Long-Range Plan: Implementation Date

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p8 FULL PACKET PAGE 29 of 63 B. Summary Of Stakeholder Input

Various Board Committees and stakeholders provided valuable input through the many sessions as described above. TAC members, as the main conduit for understanding and representing their Member Agency Board Members’ views, provided the most frequent and detailed input through a survey on proposed Plan topics and areas of emphasis, roundtable discussions, review of the Mission Statement and Guiding Principles, and review of the draft Plan. Their interpretation and suggestions for how to proceed and operationalize the agency’s Mission and Guiding Principles helped to better define the Sections and to focus on activities within each of them.

Grant to add more based on Full Draft review from TAC/Recology/SBR/BOD

4. Agency Action Key Drivers

A. Policies a. International

Over the past several years, China’s National Sword and related international policies have drastically curtailed export markets for recyclable commodities generated in the United States. On March 1, 2018, China established a highly stringent standard for the amount of allowable physical contaminants in recyclable commodities. Subsequently, several other major importing countries of recyclable commodities in Southeast Asia have followed suit or have expressed intent to do so in due course. As a result, the value of exported recyclable commodities has plummeted, and in some cases, now has a negative value (i.e., exporters pay importers to receive goods). This has recently decreased SBWMA revenues from exporting recyclable commodities.

Dwight/Dan to review/supplement as necessary. b. State

California State Bill 1383 (SB1383) Short-Lived Climate Pollutants Act (2016) represents a comprehensive agenda that directly links waste reduction, recycling, composting, and landfilling to efforts to reduce the generation of greenhouse gases associated with disposal. This landmark legislation places responsibility on local governments or their designees for following the law’s provisions, including but not limited to: • expanded recycling and composting collection programs or achievement of high rates of recovery via high-diversion materials processing facilities; • an enforcement structure with specific monetary penalties for non-compliance; • local government procurement of recycled-content products; and other provisions.

SB 1383 will greatly influence local program activities and policies for the coming generation, similar to how AB939 (1989) guided the development of voluntary home composting and curbside recycling and composting collection programs during the period from 1990 to 2020. Organic materials, including food scraps and edible food, receive particular attention under SB 1383. As shown in Figure 1, organic materials compriseDRAFT the majority of landfilled materials in California. Key elements of SB 1383 are modeled upon groundbreaking policies enacted and programs developed over the past 20 years by the City of San Francisco and the Alameda County Waste Management Authority.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p9 FULL PACKET PAGE 30 of 63 Figure 1. California Organic Waste Breakdown by Type (CalRecycle). California Generates Approximately 20-23 Million Tons of Organic Waste Every Year

12% Lumber 18% Paper

19% Other Organics

33% Non-Organic Waste

18% Food Edible Food ? c. Regional

Regional sustainability-related goals, such as energy and water conservation, pollution prevention, and litter reduction efforts stemming from stormwater requirements, are helping to inform and propel RethinkWaste’s actions. As shown in the Sections that follow, these actions include a combination of expanded efforts to reduce the emissions, energy use and other environmental impacts associated with SBWMA’s operations (collection, processing and transfer), to reduce the amount of material that needs collection and processing, to reduce the toxicity of landfilled waste, and to recover recyclable and compostable materials. That could include improving the Shoreway site beyond its current Leadership in Energy and Environmental Design (LEED) gold-level certification (see Figure 2). Regarding litter reduction, single-use packaging reduction ordinances have been or are anticipated to be enacted within the next five years by local and regional governments throughout the region, especially those that drain to San Francisco Bay. The San Francisco Regional Water Quality Control Board through the Municipal Regional Permit (MRP) 2.0 has mandated that all Bay Area jurisdictions must prevent all litter from entering their stormwater systems by 2022. In part to address those MRP conditions, local and regional ordinances are expected to target – through the imposition of fees, restrictions, bans, and required use of reusables – single-use food serviceware, including but not limited to cups, lids, straws, stirrers, cutlery, condiment packets, food containers, and bags. Two path-breaking examples are from the City of Berkeley (2019) and the City of Alameda (2017). Additionally, San Mateo County (Unincorporated) is considering passing a plastic/single-use foodware reduction ordinance.

Figure 2. Accepting LEED Gold certification for Shoreway (left, with Dwight Herring and Hilary Gans holding certificate),DRAFT based largely on Shoreway rooftop solar installation (right).placeholder

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p10 FULL PACKET PAGE 31 of 63 B. Economics And Markets

The restrictive recyclable regulations initiated by China as per the above have led to higher overall standards enacted by importers of recyclable commodities, lower demand for average-quality recyclables, and lower prices. Two unrelated trends are also impacting recycling markets: 1) increased use of composite packaging, such as paper containers with plastic liners, which cannot be easily recycled at present; and 2) growing use of cardboard and other packaging that is not taken back through distribution channels for reuse or recycling by product retailers (known colloquially as “the Amazon effect”, and seen in the prevalence of brown cardboard in the bales in Figure 3). As a result, SBWMA’s processing of new materials – e.g. cardboard fines instead of newspaper, a declining feedstock which the Shoreway MRF was designed in the late 2000’s to address in large part – now has to meet previously-infeasible contamination standards.

Figure 3. Processed bales at Shoreway full of brown cardboard.

The SBWMA intends to use this significant, unexpected shift in international recycling commodity markets – which are far beyond the SBWMA’s control - as a stimulant to emphasize greater recovery of recyclable materials that enter California markets, such as food scraps, yard trimmings, and construction materials. Collectively, these materials represent a high fraction of generated solid waste within the SBWMA service area. In the spirit of risk reduction and local control, the market situation above suggests the urgent need to develop or augment efforts to reduce waste and to recover products for reuse and repair. Source reduction eliminates commodity market risk completely; reuse and repair programs, like Fix-It Clinics canDRAFT support a wide network of small local businesses and nonprofit organizations.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p11 FULL PACKET PAGE 32 of 63 C. Climate Change And Adaptation

Given the increasing severity and awareness of climate change impacts, ranging from extreme weather events like droughts or floods to wildfires and sea level rise, actions that help the Agency mitigate and adapt to climate change have become higher priority since the development of the 2015 Long-Range Plan. SBWMA Member Agencies have been similarly affected. Most of their Climate Action Plans (CAPs, see Sources section) describe solid waste management as a major Figure 4. Sea Level Rise contributor to greenhouse gas emissions (GHGe). They also point to Map of Area Surrounding waste reduction, recycling and and composting as highly beneficialCHAPTER 3BShoreway | VULNERABILITY Environmental DATA ANALYSIS AND DISCUSSION ways to reduce such emissions. Indeed, such measures often offer one Center (SMCOOS, 2018). FigureFigure 3B.8 3B.8Hazardous Hazardous Material Sites in Material Project Area Sites in Project Area of the clearest pathways to reduce GHGe in their CAPs. Desire to reduce GHGe has also driven focus on recovering organics for use as LEGEND County Project Area soil products and renewable energy (reducing methane building up in Outside of County Project Area landfills), as well as on Zero Waste Committee goals of net-zero GHGe Built Assets Daly City !( Closed Landfills status and zero recyclables to landfill. Brisbane ") Active Solid Waste Facilities # Superfund Sites Colma $+ Hazardous Materials In terms of climate change adaptation, wildfires, flooding, sea level XW Underground Storage Tanks rise, excessive heat and other impacts couldSouth all San Franciscoadversely affect the ! Cleanup Sites Sea Level Rise (SLR) Scenarios SBWMA service area and thus Agency activities. For example, sea Baseline Scenario (1% annual chance storm)* Mid-Level Scenario (Baseline + 3.3 feet SLR) level rise of 3.3 feet paired with a one-in-one-hundred-year storm High-End Scenario (Baseline + 6.6 feet SLR) San Bruno would inundate the Shoreway facility, i.e. the yellow square circled at Future Erosion Pacifica bottom left of map in Figure 4 created by the San Mateo County Office of Sustainability (SMCOOS). Sea level and precipitation,Millbrae storm surge Burlingame and flooding could also block collection routes and site access, while excessive heat could overheat Recology collection vehicles and MRF Foster City Hillsborough sorting equipment, requiring additional cooling capacity expenses and operations (USAID, 2012). GivenMontara the potential severity of theseSan Mateo impacts, developing a robustMoss Disaster Beach Plan and considering climate Belmont resiliency has been prioritized, whichEl Granada comprises a major component of this Long-Range Plan as viewedPrinceton in Section 5.D.b below. San Carlos

Redwood City Half Moon Bay North Menlo Park Fair Oaks D. Member Agency and Other Considerations East Woodside Palo Alto With the recent passage of SB 1383 and other solid-waste related state laws, MemberAtherton Agencies face increased legal demands for program compliance. This is driving the SBWMA to become even more of a technical resource and aide to Member Agencies. For example, Member Agencies are anticipated to enlist the SBWMA for help with extensive new SB 1383-related monitoring and enforcement activities,¯ related buy-recycled or organics tracking, regional advertising, and other related compliance0 activities.1.5 3 6

1 INCH= 3 MILES Service Layer Credits: Esri, HERE, DeLorme, MapmyIndia, © OpenStreetMap contributors, and the GIS user community Data source: County of San Mateo 2015; David Ford Consulting Engineers Report 2013; California Department of Water Resources; Risk Characterization Study; California Water Board; United States Environmental Protection Agency. 5. Key SectionsThis map is intended to improve sea level rise awareness and preparedness by providing a regional-scale illustration of inundation and coastal flooding due to specific sea level rise and storm surge scenarios. This map is not detailed to the parcel-scale and should not be used for navigation, permitting, regulatory, or other legal uses. *1% annual chance storm is a storm that has a 1 in 100 chance of occurring in any given year, and on the Bayside generally results in about a 42 inch increase of total water levels. On The following Key Sectionsthe Coastside, and the Section water level increase Topics could be greater are due to wavechosen action. in order to review the key processes and Note on erosion modeling: Erosion modeling used in this study does not consider shoreline armoring due to a lack of information on the condition and life expectancy of existing structures.The 2009 Philip Williams and Associates study recognizes that future shoreline protection is likely in general but could not predict where and how these would appear. In this activities going from Reduction/Reusecase, developing predictive erosional to modelsCollection is impractical and exceedinglyand Processing difficult. and associated Operations. Waste

Reduction/Reuse (Section 1), as the first two of the “4 R’s” (the last two beingSEA LEVEL Recycle RISE VULNERABILITY and Rot, ASSESSMENT in other | 77 words, Composting),DRAFT takes precedence as the most cost/environmentally-effective of the Sections. The second and third Sections mirror that division of projects used in the 2015 Plan. Finally, Operations and Management Section 4 gathers initiatives that need new/renewed focus for managing battery/disaster risks, Shoreway education programs, and financial planning and GHGe.

9 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p12 FULL PACKET PAGE 33 of 63 A. Section 1: Waste Reduction and Reuse Programs and Policies a. Overview

Waste reduction encompasses a suite of approaches, including source reduction, reuse, repair, design for recyclability, and others. Waste reduction is the best way to reduce materials collection and processing costs associated with landfilling, recycling and composting. Waste reduction also has a much greater positive effect, on a per ton basis, on resource conservation, toxicity loading in landfills, and GHGe than recycling or composting.

Therefore, the SBWMA targets the need to reduce the per capita generation of solid waste (whether disposed, recycled, or composted). SBWMA service-area residents generated an average of 5.7 pounds of discarded materials per day in 2018. Increasing reduction and reuse can continue the trend toward and emphasis on decreasing MSW received at Shoreway, which also often correlates with decreases in the other 3 material types’ tonnages as shown in Figure 5.

These reports provide the SBWMA insight into policy, program, education, outreach and infrastructure needs, while also offering a single State-required and clear metric by which to measure and report results on a level that is understandable locally at the household level. Results will be presented by staff to the Board annually, and changes in results over time will be highlighted in education and outreach communications. Specifically in 2020, staff will prepare, for Board consideration, proposed annual goals for reduction in per capita disposal, through 2025. Starting in 2020, they will also submit an annual menu of options and recommendations for policies and programs.

Broadly speaking, the SBWMA can achieve its waste reduction goals through various strategies that challenge the cultural norms of rapid and planned wasting of natural resources. Three prominent segments of the waste stream that can be addressed through multi-pronged efforts to change behavior include: • reduction of single-use packaging from the food service industry; • edible food recovery from the grocery and food service industries; • utilizing reusable shipping and delivery containers in various industries’ supply chains and from on-line retailers.

Figure 5. Shoreway Tonnages by Waste Type (2017-18).

250,000 221,940 220,593 200,000

150,000 122,305 120,427 100,000 80,813 79,446 Tons Collected Tons 52,709 50,814 50,000

0 DRAFT Solid Waste Recycling Bulky Item, Organics (MSW) (MRF) C&D materials (Transfer Station) 2017 2018

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p13 FULL PACKET PAGE 34 of 63 Efforts can include a mix of policy initiatives (e.g., SBWMA ordinances or technical support for local ordinances), education/outreach, training, and rate-based incentives. Examples such as those discussed below have emerged or are emerging in various Bay Area communities, and can be evaluated for their cost-effectiveness and environmental benefits to inform potential related policy and program initiatives during the 2020-2024 period. b. Single-Use Foodware and Packaging Reduction

Single-use foodware, ranging from plastic straws to plastic utensils, plates and takeout containers, has become a topic of advocacy, fees and bans, like Berkeley’s (see Sources for link). SBWMA can collaborate with Member Agencies, including SMCOOS who started this process with their 2018 Next Gen Foodware Ordinances Workshop and Model Ordinance, in drafting model ordinance language similar to Berkeley’s and other communities’, and otherwise supporting Member Agencies in the development and implementation of such ordinances. This could start by assisting the SMCOOS and the non-profit Clean Water Action’s effort to support Reuse Ambassador citizen volunteers in conducting door-to-door surveys at locally-owned and operated restaurants in the County. They aim to better understand those business’ opportunities to use reusable food service ware, and thus reduce the amount of disposable food and beverage packaging being served.

Figure 6. Recycling bin overflowing with (Amazon) cardboard packaging.

An emerging challenge for which no policy response has yet been enacted in California is the vast amount of packaging (primarily cardboard and plastic) that stems from the burgeoning use of on-line delivery services, such as Amazon. With the SBWMA investing approximately $15M on MRF upgrades, capturing growing amounts of cardboard, often from such on-line delivery services, is a significant cost for the SBWMA (see recycling cart overflowing with Amazon Prime and other packaging in Figure 6). From an Extended Producer Responsibility (EPR) vantage point, such corporate behavior – foisting the costs of DRAFTdisposal or recycling of packaging on customers and local governments – is irresponsible. It also points to the need for public policies that shift the burden of clean-up (whether disposal or recycling) from the public to the very companies that have externalized this cost, that have already demonstrated enormous skill in logistics, and that are best equipped to develop effective and efficient

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p14 FULL PACKET PAGE 35 of 63 reserve logistics and waste reduction efforts for their packaging. In the short-term the SBWMA can aim to mirror or support local waste agency StopWaste’s (Alameda County) packaging waste-focused “Use Resuables” Campaign (see Sources), in which technical assistance is offered to encourage supply chains to shift from the use of cardboard and easily-breakable wooden crates to reusable totes and other structures that reduce waste. c. Edible Food Recovery and Other Organics

Given the preponderance of food waste remaining in waste streams, increased politicizing and visibility (if not frequency) of homelessness and need for food, and the introduction of SB 1383 requirements that require that 20% of potentially-recoverable food waste is recovered by 2025, the Agency can develop and support local programs to enable food recovery and organics diversion. That includes collaborating with partners like SMCOOS in their expanding food waste recovery and food donation program. The County has expressed interest in leading regional edible food rescue programs and documenting results in compliance with SB1383, and the SBWMA will continue to provide strong support to that effort. Research into and piloting local food recovery apps could also leverage private sector capabilities to meet ambitious SB 1383 targets, which could require the SBWMA supporting the SMCOOS in their likely role in the middle of the conceptual ring of food recovery stakeholders seen in Figure 7. That would link together all relevant parties – likely requiring ample outreach – in pursuit of maximal food recovery. Other partnerships and pilots to explore include supporting SMC Environmental Health’s Share Table Program to minimize school lunch food waste, and to further support composting (e.g. SMCOOS’ Home Compost Workshops) and gardens at schools and other public and community locations. Those provide places to use compost while reducing food waste, and thus food-related single-use packaging.

Figure 7. Stakeholders in Food Recovery Efforts to be engaged by SBWMA and/or SMCOOS (CalRecycle).

DRAFT

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p15 FULL PACKET PAGE 36 of 63 Other organic wastes can also be reduced by composting, such as plant and grass clippings. Those can also be minimized through using mulch (to reduce weed growth, along with watering needs) and grass-cycling, in which trimmings are retained on the yard post-mowing, often through modern “mulching” mowers (Santa Barbara County, 2019). Green waste can also be reduced simply by avoiding grass and garden growth in the first place. This is beneficial from both resource- and water- conservation perspectives, and financially as well, with rebates such as California Water Service’s prior Turf Replacement Rebate Program and Bay Area Water Supply & Conservation Agency’s similar Rebate Program often offered. d. Other Materials and Considerations

Other materials that can be reduced or reused include Commercial and Demolition (C&D) debris (seen in Figure 8) and electronics. For the former, the Agency could incentivize: • preserving existing buildings instead of demolishing them; • optimizing the size of them, designing them with adaptability (for future tenants) in mind; • encouraging purchasing agreements or conditions within construction plans to prevent excess material from entering the site; • using construction methods and materials that facilitate disassembly (and deconstruction) as well as alternative framing techniques; and • reducing interior finishes among other initiatives (USEPA, 2019).

Electronics reduction and reuse can be supported by promotion of Right to Repair policies through lobbying and support of Member Agency development of model policies and ordinances. Right to Repair refers to legislation that allows consumers the ability to repair and modify their electronic devices or other products through easy disassembly, repair and other refurbishment, in contrast to many manufacturers’ requirements to use only their repair services (otherwise warranties can be voided).

Figure 8. C&D Debris at Shoreway. Figure 9. Fix-It Clinic at Shoreway. DRAFT

13 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p16 FULL PACKET PAGE 37 of 63 Reuse and reduction in the above and other materials (e.g., textiles) can also be achieved with targeted strategic outreach, such as by supporting pre-existing programs led by partners such as Bay Area Recycling Outreach Coalition (BayROC), the SMCOOS, etc. That can be done by further facilitating - and expanding in terms of type and frequency – community events like the following: • SMC OOS-run Fix-It Clinics - which encourage reuse of various electronics and contraptions, like the one hosted at Shoreway as seen in Figure 9 – and Textile Reuse and Repair workshops; • workshops focused on the 4R’s themes (particularly on the first two R’s, i.e. Reduce and Reuse); and • contests like the Trash-to-Art school children competition (awarding prizes annually to several creative artistic dioramas and other forms of waste reuse, further described in Section 5.D.c), and developing an Artist in Residence program to create additional Reuse-based works in and around Shoreway. B. Section 2: Collection Programs and Policies

The SBWMA, through its contractor Recology, collects over 450,000 tons of MSW, recyclables, bulky items, and organics annually. That collection service is governed by Franchise Agreements between Recology and each of the 12 Member Agencies. a. New and Amended Franchise Agreement Key Elements

SBWMA exercises its franchising powers for the collection of residential and commercial trash, recyclables, and organics through 12 individually executed Franchise Agreements (FAs) between Recology and each Member Agency via a restated and amended contract. This restated and amended FA term is from January 1, 2021 through December 31, 2034. Beyond managing Recology’s core collection operations programs and their delivery of materials to Shoreway, providing required outreach to residential and commercial customers (conducted jointly with SBWMA), and other related activities, the FAs can, by mutual agreement, always be modified as circumstances dictate through the form of FA amendments. These options will be continually reviewed and researched as necessary based on the introduction of new regulatory mandates or other Member Agency concerns. FA Amendment One, for example, adds important bulky item and abandoned waste collection program capacity to meet growing customer demand (as seen in Figure 10) and implements more stringent litter-abatement activities. The latter allows Member Agencies to better meet their MRP-mandated stormwater compliance responsibilities in collaboration with Member Agency staff.

Figure 10. Bulky items for collection. DRAFT

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p17 FULL PACKET PAGE 38 of 63 The restated and amended FAs also require that the SBWMA and Recology collaboratively develop Three-Year Public Education (PE) Plans, beginning in 2021. The current 2019-2020 PE Plan comprehensively details the strategic outreach efforts of both RethinkWaste and Recology San Mateo County to ensure that all residents and businesses are knowledgeable of and actively participating in all the franchised programs and services available to them in the service area. The current PE Plan also emphasizes the responsible handling of lithium-ion batteries and maximizing organics diversion programs. These mandated and strategic goals are facilitated through ratepayer bill inserts, service notices, other materials distribution, and community events, as well as biannual Rethinker newsletters (see part of Spring/Summer 2019 one in Figure 11), advertisements, social media, residential, multi- family and commercial outreach, and strengthened tracking and evaluation mechanisms, along with website and Shoreway Tour improvements.

Figure 11. Rethinker Spring/Summer 2019 newsletter.

RETHINKER Spring/Summer 2019 Are You Composting Correctly? Here are the items you can put in your green Compost cart:

If you do not have compost services, contact Recology San Mateo County at

(650) 595-3900, [email protected] or visit Recology.com.

Printed on recycled paper with soy-based inks soy-based with paper recycled on Printed

610 Elm Street, Suite 202 | San Carlos, CA 94070 CA Carlos, San | 202 Suite Street, Elm 610

RethinkWaste Administrative Offices Administrative RethinkWaste

livable communities. livable

waste from the landfill and maintain healthy, maintain and landfill the from waste

your help, we can meet our goal of diverting of goal our meet can we help, your

waste reduction, reuse, and recycling. With recycling. and reuse, reduction, waste

educating residents and businesses regarding businesses and residents educating The Rethinker newsletter is dedicated to dedicated is newsletter Rethinker The

KNOW YOUR HOUSEHOLD BATTERIES? It’s important to recognize these common batteries found in many of your everyday household items: SINGLE USE RECHARGEABLE Common, non-rechargeable batteries typically found Common batteries that can be recharged and reused up in small items around the home. to 1,000 times. Alkaline: Basic AA, AAA, C, D, and 9-volt batteries. Ni-Cad (Nickle Cadmium): Least expensive Button cell: Used in small items when long rechargeable battery. continuous service is required. Ni-MH (Nickle Metal Hydride): Performs well in high- Found in: drain devices. • Cordless Phones SSLA/Pb (Small Sealed Lead Acid): Hold a charge for a • Flashlights very long time. • Greeting Cards Found in: • Hearing Aids • Cordless Power Drills • Remote Controls • Security Systems • Toys • Vehicles LITHIUM PRIMARY LITHIUM-ION Non-rechargeable but long-lasting, these batteries Rechargeable batteries that contain lithium-ion and react violently with water and must remain highly flammable electrolytes, which are vulnerable manufacturer sealed. May be marked as “lithium” or to overheating and exploding if they short-circuit or “lithium cell” batteries. become damaged. May be marked as “lithium-ion Found in: (Li-Ion)” or “lithium polymer (Li-Po)” batteries. • Drones Found in: • House Alarms • Cell Phones • Pacemakers • Digital Cameras • Remote Car Locks • Laptops • Watches DRAFT• Power Tools Recology offers a free & convenient battery disposal program for residents that live in a single-family home or an apartment/condo. Residents can also drop-off used batteries at select neighborhood hardware stores and the Shoreway Public Recycling Center at 333 Shoreway Rd, San Carlos. For more information, visit rethinkwaste.org/batteries NOM77i

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p18 FULL PACKET PAGE 39 of 63 Beyond the current PE Plan, future FA-related and other outreach can target other important topic areas and cross-promote Member Agencies’ related programs. New topics can be elicited by conducting customer surveys and focus groups, which can also reveal how well outreach is reaching certain audiences and uncover motivators and barriers for customer uptake of SBMWA messaging and 4R’s practices. Future focus areas in PE Plans and other outreach could center on:

• Amendment One-related topics, such as disposal and even reuse of bulky items and abandoned waste, or using vouchers for such, and how to limit overages likely to be more strictly defined and enforced; • Customer success profiles, for example through revamped BizSMART award program; • The SMCOOS Green Business program run through their contractor Ecology Action, which can further drive diversion and recognize additional business “eco” champions; • Reaching wider audiences – and folks less motivated to learn more about SBMWA through tours, perusing the website etc. – through editorials and other printed messages, or additional outreach targeted at schools; • Communities speaking Spanish and Chinese as primary language, by providing broader translations of SBWMA outreach materials into those languages, and perhaps even targeted-language events; • MFDs and Commercial customers on SB 1383/organics diversion requirements, to further support source separation, composting, food recovery and other related activities; • Targeting high-volume commercial accounts with relatively low (or no) recycling and/or organics program participation; • Mixed Use Developments, which are becoming more relevant for many Member Agencies and cause issues of service sharing and disaggregation. b. SB 1383: Mandatory Monitoring, Enforcement and other Oversight of Improved Recycling and Organics Collection

The State’s final SB 1383 regulations are anticipated to be codified by the end of 2019, with a first-phase of implementation set for January 2022. These new regulations are expected to target a wide range of organic materials for diversion from landfills, including: yard trimmings, food scraps, and new organic material categories, such as edible food, wood, paper (recyclable or compostable), biosolids, and textiles. SB 1383 represents a seismic shift from a largely voluntary organics management system with some required elements, to an all-encompassing enforcement model for local governments, generators, haulers, and processors. While the requirements associated with SB 1383 are numerous and far- reaching, SB 1383 does not explicitly impose on local jurisdictions a specific target or requirement for the diversion of organic materials (in other words, a 75% goal is placed on the state as a whole, not on local jurisdictions themselves). This law will require, however, strong mandatory enforcement elements for every jurisdiction in California, including the SBWMA’s 12 Member Agencies.

Key regulatory requirements are expected to include compliance and enforcement of the topics within Figure 12. It is likely that Member Agencies will want the SBWMA to develop an agreement with their franchised hauler, Recology, to provide any expanded collection services and monitoring that are not currently covered by the FA. It is also presumed that Member Agencies will request that the SBWMA provide centralized enforcement support (with the benefit of consistency as well). The Agency is not currently setDRAFT up to provide these services, and will likely need to coordinate that with Member Agencies’ Code Enforcement officials. On behalf of the Member Agencies, the SBWMA is working closely with SMCOOS to support its edible food rescue program, with such collaboration envisioned to continue and expand in the future.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p19 FULL PACKET PAGE 40 of 63 Figure 12. SB 1383 Jurisdiction Responsibilities (CalRecycle). JURISDICTION RESPONSIBILITIES

Provide Organics Conduct Education Secure Access to Collection Services to All and Outreach to Recycling Capacity Residents and Businesses Community

Establish Edible Procure Recyclable Monitor Compliance Food Recovery and Recovered and Conduct Program Organic Products Enforcement

SB 1383 will also require all Member Agencies to adopt local ordinances by January 1, 2022 that impose a specific State-determined compliance structure.Enforcement must begin by January 2024, after which CalRecycle will be able to fine non-compliant local jurisdictions up to $10,000 per day. This mandate could motivate the Agency to adopt a Mandatory Organics and Recycling Ordinance with a standardized template (possibly from CalRecycle) for Member Agencies’ adoption.

The draft regulations also call for organics (newly defined under SB 1383) to be diverted from many more commercial businesses and apartment complexes than in prior legislation. This could translate into a near universal roll-out of a three-bin system that relies on monitored and enforced source separation by January 2022, or reliance on a high-diversion mixed waste processing facility that by January 1, 2025 must achieve 75% diversion (by weight) of the organics categories previously identified (including food scraps and recyclable paper). Costs and programmatic needs can be approximated initially by the end of 2019 in coordination with finalization of the regulations, and can be refined in 2021 in accordance with the final regulations and key decisions regarding collection and processing services, monitoring, reporting, and enforcement. c. Alternative Fuel for Collection Vehicles

During the Plan period, SBWMA can meet and confer with Recology’s senior management regarding the potential use of cleaner-burning, alternative fuels just prior to the acquisition of their collection vehicle replacement fleet that will be used in the duration of the FA term. This collaborative decision can focus on the equipment’s operational performance, the Agency’s GHGe reduction goals and, if Organics-to- Energy project pro forma goals are fully realized (discussed in section 5.C.b), the use of Bio-Compressed Natural Gas (CNG) generated from this program to fuel part or all of Recology’s 140+ collections vehicles (see example in Figure 13) while servicing their 120+ daily routes. Should this bio-gas fueling vision be realized, a significant Bio-CNG fuel supply system capital project would be required in the near future (2022-23) at Shoreway. That could include site improvements such as the removal of the existing diesel storage (undergroundDRAFT tanks) and dispensing system, installation of an aboveground diesel storage, pumping and dispensing system (for SBR transfer trailer fleet still to be using diesel), electrical and gas connections from the Bio-CNG system to PG&E utility lines, Maintenance Shop upgrades, piping to fuel dispensers, and more.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p20 FULL PACKET PAGE 41 of 63 Figure 13. Recology San Mateo County collection truck.

If the Organics-to-Energy pilot and full-scale projects meet expectations as anticipated, a more cost- effective Bio-CNG fuel – likely trucked from partner agency Silicon Valley Clean Water to Shoreway – could be used rather than procuring diesel (or bio-diesel as an interim step) at market rates based on global availability. Thus, the roll-out of Bio-CNG collection trucks would likely start pending the O2E Pilot conclusions in late 2020, with retrofits to the fuel island and other aforementioned equipment required prior to full roll-out. Also, the phase-in of new trucks would likely start on a pilot scale to prove the concept and identify and address operational issues as they might arise, before scaling-up to a system-wide rollout of new Bio-CNG collection trucks. SBWMA and Recology look forward to developing this partnership in the near future to pursue collective cost-effectiveness and sustainability goals.

Hilary to add in cost and GHGe savings text. d. Expanding Battery Collection

Recology currently offers two method for SBWMA residents to handle their used household batteries safely. Single-family dwelling residents can put sealed bagged batteries on top of their black carts (see Figure 14), which are safely handled by Recology and SBR until they’re shipped to industry partners for disassembly and material recovery. MFD residents can request an orange bucket to be placed in common spaces and property managers/owners can call Recology for pick up and swap out of full buckets. The SBWMA Board has provided clear direction to Staff and Recology to continue expanding these multi-family battery collection bucket locations with an ultimate goal of 100% participation.

To expand participation of these recently-implemented programs, SBWMA can continue its proper battery disposal outreach to include campaigns that cover a wide variety of outreach methods including, but no limited to, print and digital advertisements, editorials, social media, newsletter and bill insert messaging, and further focus messaging on reaching MFDs. The Agency can also continue to advocate for safe lithium-ion battery handling and regulatory enforcement, EPR (see the next section), andDRAFT further installation of local used battery take-back options and locations (see SMC Environmental Health’s 2019 Final Battery Resting Place brochure, which describes how to learn more about those 70+ locations). Ultimately, all of the above are crucial elements in the preservation of MRF worker safety and facilities, as per Section 5.D.a.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p21 FULL PACKET PAGE 42 of 63 Figure 14. Orange battery collection bag placed correctly on top of black garbage bin.

e. Extended Producer Responsibility Policy Support

The SBWMA has long supported EPR programs, where manufacturers take responsibility for the end-of life management of problematic products and packaging that shifts costs away from local operators and governments. SBWMA can continue to support efforts to improve existing EPR regulations, including successful campaigns for mattresses, carpet, paint and medicines/sharps, as well as support new EPR efforts for products, including, but not limited to, batteries, solar panels and fluorescent lights.

Specifically, the SBWMA can accomplish this through the strategic work of its legislative and regulatory lobbyist (currently Environmental and Energy Consulting). This effort also includes supporting provisions that make EPR laws effective to include minimum collection rates, progressively increasing collection targets and local preemption clauses. The SBWMA can also accomplish these efforts through its strong support of partner groups like the California Product Stewardship Council (CPSC), California Resource Recovery Association (CRRA), Solid Waste Association of North America (SWANA) CA Legislative Task Force, and Californians Against Waste (CAW) at the State level. EPR initiatives can also continue to comprise a large portion of the SBWMA’s Legislative and Regulatory Platform, which for 2019-20 identifies 12 priority areas of legislative importance. f. Collection: Other Topics

The Agency can continue to identify, research, plan and potentially pilot and scale-up initiatives that enhance collection efficiency and diversion program options to meet state mandates and stated agency environmental goals. Examples of such initiatives include the 2018-19 In-Schools and Public Spaces Pilots. In the former, nine schools in Redwood City were provided with internal recycling/ composting bins, student/staff training and technical support (see Figure 15), and environmental education to drive participation and diversion. Data and metrics collected throughout the program roll-out process demonstrated success, as seen in Figure 15. In May 2019, the Board directed the further scale-up of the program to all jurisdictions. Similarly, the 2018-19 Public Spaces Pilot in two park/downtown areas in the cities of Redwood City and San Carlos proved successful. Bins and signage wereDRAFT added and improved (see Figure 16) and resulting public participation, diversion, contamination and operational impacts and costs were assessed, showing comprehensive text/ image-heavy messaging is preferable to simple messaging. In May 2019, the Board also directed the cost-effective scale-up of public spaces bin/messaging, pending collaboration with Recology.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p22 FULL PACKET PAGE 43 of 63 Figure 15. Advising students on sorting at Hoover Community School (left) and In-Schools Pilot data from 9/18 – 4/19 (right).

Figure 16. Improved bins and signage at Figure 17. Tours extension presentation, Burton Park in San Carlos. XXXXX School. Grant to ask Dennis.

For the In-Schools potential scale-up, that could entail close coordination with partner organizations Recology, San Mateo County’s Office of Sustainability and Departments of Environmental Health and Education, etc. for curriculum development, participating in the Share Table program, and offering assistance with (and compost for) school gardens and worm composting and regular recognition of Green Champions (students/groups excelling within their school’s program). Such activities can also be coordinated with the SBWMA’s Tours program extension into more service area schools (see Figure 17). In 2018 that saw the Agency host 29 classroom presentations and assemblies, reaching an additional 1,168 students at seven schools. The environmental curriculum focused on the 4R’s and instruction about correctDRAFT waste sorting habits and product purchasing decision-making.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p23 FULL PACKET PAGE 44 of 63 C. Section 3: Processing and Transfer Programs and Policies

The Shoreway Materials Recovery Facility (MRF) sorts and processes 80,000 tons of recyclable materials annually. MSW, recyclables and organics are sorted and transferred to a landfill, organics and C&D debris recovery, and recyclable wholesalers in and around the Bay and California. a. Upgrading Shoreway Recycling Facilities

In response to the need to improve fiber commodity quality to ensure market outlets, SBWMA, SBR and Bulk Handling Systems, Inc. (BHS) staff will design and install advanced automation MRF sorting equipment and processes (see Figure 18) as a key strategy towards the goal of improving material quality. To this end, four projects with financial, commodity market, and operational benefits – for example, with strong returns on investments on the order of 20% – were selected for installation over the next several years iteratively. That way, improvements in commodity quality can be factored into the next project’s design.

The first, Optical Sorting of Small Fiber, will sort more contamination (cardboard and containers) out of mixed paper to capture higher commodity revenues and clean Mixed paper to higher-value High- Grade paper standards. The second project, Robotic Sorting of Residue/QC System, will install a robotic sorting system with advanced recognition and AI technology to identify and sort a wide variety of materials. This will facilitate lowering sort labor expenses, increasing the capture of recyclable materials and recording/reporting fiber composition and quality (at the end of all fiber sort lines) to enable the complete optical sort system to meet the fiber quality standard for high grade paper. The third project, the Enhanced Glass Cleanup System, as the last of MRF Phase I upgrades, will remove glass system contaminants like batteries (limiting their fire risk) and increase commodity revenue through a combination of magnets, screening and air jets. The fourth project, sort system MRF Phase II upgrades, will transition the MRF to high-speed optical sorting technology from manual sorting to further remove contamination (i.e., materials that can be isolated and sold at a premium) and meet new paper quality standards. Six-optical sorters will replace manual sort labor, and facilitate the upgrade of mixed paper to High-Grade paper and recovery of additional recyclables.

Grant to try using March/thereabouts BOD PPT slide that gives table presenting these 4 projects, for better aesthetics.

Overall, these 2 phases of MRF sorting improvements can reconfigure the system to look like that in Figure 18’s graphic, changing it from current configuration which has only one optical sorter (red box) upstream of the container line. These innovative and crucial projects will be funded by the issuance of 2019A Bonds and the use of Agency capital reserves (labeled B and CR, respectively in Figure 19 below). DRAFT

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p24 FULL PACKET PAGE 45 of 63 Figure 18. MRF upgrades will take system from primarily manual-sorting (left) to automated-sorting (right).

Figure 19. Timeline and major projected funding sources/amounts for coming five years of major Capital Improvement Projects.placeholder

b. Expanding Organics to Energy Processing

SBWMA implementation of the Anaergia organics extrusion (OREX) system aims to turn source separated organics and black bin MSW liquid and organic waste into slurry for biodigestion. As a $5M project, it is supported by a $3M Recology SF-originated CalRecycle grant for OREX purchase and SMCOOS $1M grant. It is complemented by SBWMA purchase of the downstream polishing equipment to remove grit, glass, and other contaminants prior to washing and preparaation of the resulting slurry for further treatment. The pilot phase is expected to process around 50 tons of source-separated organics that are currently sent to a composting facility along with 25 tons of black-bin trash. The processing compresses waste into a wet fraction with minimal contaminants (see output at right in Figure 20) and dry reject. The former is to be extruded into a slurry to be trucked to and anaerobically digested at nearby Silicon Valley Clean Water (SVCW) or East Bay Municipal Utility District Wastewater Treatment PlantsDRAFT into solid sludge residuals and methane for Bio-CNG or electricity production.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p25 FULL PACKET PAGE 46 of 63 and the shaft will stop rotating. The full drivetrain will keep moving while the controls stop the machine, allowing manual intervention.

The large diameter shafts and screens are also designed to minimize downtime. While large diameter spacers between the stars minimize wrapping, the large diameter sprockets reduce force on the chains.

2.2. OREXTM The Organics Extrusion Press (OREXTM) uses high pressure to separate waste into two components: a putrescible organic fraction and a reject fraction. The unique extraction process ensures that contaminants in the valuable wet fraction (such as plastics, glass and packaging) are minimized, while the reject fraction is made dry. The OREX recovers more than 90% of putriscible organics, producing a pumpable organic fraction that is highly degradable in anaerobic digesters.

System Advantages • Highly biodegradable putrescible organic fraction is produced - ideal for renewable energy production by Figure 4: Anaergia OREX 500 located at Recology that anaerobic digestion will be moved to SBWMA as part of this project.

• Residual fraction has a low moisture content, high density and high calorific value

Figure• Modular 20. design OREX and extrusion construction inputs, suitable processing for both new equipmentand existing recovery and outputs.facilities

The 6-12 months pilot phase can provide data to demonstrate the projected benefits of reduced hauling costs and GHG emissions (relative to current composting-only of organics). Other benefits include providing green power for a local WWTP to become more energy independent, and helping ratepayers through integration of services between solid waste and wastewater treatment providers, among others.5 Assuming it shows promising results, the pilot could then be scaled up to extract energy (via anaerobic digestion of food waste) from 700 or more tons per day of trash, yielding 200 tons per day to the WWTP offtaker.

Hilary to check this section. c. Shoreway Operations Agreement

The current Shoreway Operations Agreement contract with SBR, which processes SBWMA materials within the Shoreway MRF and Transfer Station and transports them for disposal and recylables processing elsewhere, expires on December 31, 2020, with possible extensions at the SBWMA’s discretion through 12/31/2023. At Board direction, the Agency may meet with SBR to discuss if/how to proceed with those extensions, and how to manage the decision to put forth an RFP for this essential contract in the near future. These discussions can also center on initiatives aligned with the Board’s goals in which SBR could add value to the existing and potential future contracts, for example through pursuing energy efficiency and emissions reduction measures like rolling stock overhaul and alternative fuels for SBR transfer fleet conversion (e.g. biodiesel or Bio-CNG). Elements that require special focus in that consideration are:

• the potential need to incorporate language to cover operation of the full scale Organics-to-Energy project;

• the need to apply for new permits (e.g. for stormwater MRP compliance) if site impervious surface or other features are altered;

• methods to mitigate risk associated with shifting and diminishing markets for plastic and fiber recyclables (and potentially other types) that govern how they manage material (as in Figure 21); • strengtheningDRAFT understanding of and agreements with secondary contractors in the case that primary ones – like for landfill or C&D disposal – fail and materials need to be moved elsewhere.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p26 FULL PACKET PAGE 47 of 63 Figure 21. SBR operations at MRF and Transfer Station.

d. Landfill Disposal Contract

The current contract with BFI for disposal at Ox Mountain Landfill in Half Moon Bay was extended following the 2018-19 RFP process (eliciting two bids). BFI’s proposal offered the better overall value, based in large part on close proximity of the Ox Mountain Landfill site,entailing less truck miles and thus GHGe. In total, the extended contract carries a net present value cost of roughly $14.8M per year for the SBWMA. Negotiations brought potential options for leasing at low/no-cost up to 3 acres on-site for SBR transfer vehicle storage and accepting other material types. e. Engaging with Regional Facilities: Wastewater Treatment Plants, Construction & Demolition Operations, and Composting Facilities

Beyond the aforementioned contracts, the SBWMA has a variety of contracts with other businesses to manage MSW, green waste (see Figure 22), and other wastes, as shown all together in Table 4. Given escalating costs for C&D and organics waste processing facilities – particularly around the Bay, and with SB1383 driving increased demand for organics treatment – it is imperative that the Agency continue researching all related contracts and potential alternative service providers, in order to facilitate locking up cost-effective materials management capacity early.

Figure 22. Green Waste and MSW at Transfer Station. DRAFT

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p27 FULL PACKET PAGE 48 of 63 Table 4. JPA Contracts’ Details and Status/Future Plans.

Contract Company/Agency Expiration Cost/Yr Status/Future Plans

Collection Amendments besides One may be Recology (with Franchise December 31, 2036 $64M required for SB1383 monitoring, other Member Agencies) Agreements policy/market-driven needs

Shoreway Three 1-year possible agreement Operations SBR December 31, 2020 $21M extensions through 2023 Agreement

San Carlos Tied with Shoreway’s Franchise City of San Carlos $2M No action necessary Conditional Use Permit Agreement

Shoreway License Runs concurrently with Collection Recology December 31, 2036 $0M Agreement Franchise Agreements

Disposal Possible extensions through Agreement (Ox BFI December 31, 2029 $15M 12/31/2035 Mountain)

Initial agreement set up like tipping Organic Slurry SVCW and EBMUD TBD (starting in ~2021) TBD fee to be expanded with potential Processing WWTPs scale-up, based on pro-forma

Organics Two 1-year agreement extensions BFI Newby Island December 31, 2022 $4M Processing possible through 2024

Organics RFP for new contract to be initiated in Recology-Grover December 31, 2020 $3M Processing mid-2020

Renewed, with extensions likely to C&D Processing Zanker Road January 31, 2019 $4M be used through 2022

D. Section 4: Operations and Management Programs and Policies a. Managing Battery Fire Risk

The Shoreway MRF fire in 2016, likely due to a lithium-ion battery, shut down the MRF for 3 months – bringing $8.5M in restoration costs and new insurance policy challenges. This drove the SBMWA to step up fire suppression measures and protocols to address the dangers from lithium-ion and other batteries, propane tanks and other flammable materials delivered to the MRF. The former in particular are an increasing threat due to the proliferation of rechargeable lithium batteries across many markets. Also, batteries’ small size, misleading labeling and thus public misunderstanding of their (limited) recyclability further facilitates their improper disposal into the blue bins, accounting for about 25% of the total of around 620,000 per year collected by SBWMA.

In addition to mitigating battery fire risk at the program level through improved collection and customer education (see bill insert letter sent out in 2018 in Figure 23) and policy level through EPR and other means (like expanding industry programs like Call2Recycle), the Agency can continue to implement and further study facility level improvements such structural and operational enhancements. The former can include piloting a remote fire detection and monitoring system to supplement the additional fire sprinkler and extinguisher capacity recently added, while the latter can include building on the Fire Hazard Mitigation Plan, training, and material removal/housekeeping measures strengthenedDRAFT or implemented following the 2016 fire. Overall, the Agency will continue to bolster the safety infrastructure and culture necessary to minimize fire risk, ultimately protecting Shoreway worker lives as well as SBWMA rate-payers against major one-time and annual financial losses from increasingly costly insurance coverage.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p28 FULL PACKET PAGE 49 of 63 Figure 23. Green Waste and MSW at Transfer Station.

b. Disaster and Resiliency Planning

To better prepare for emergency scenarios, for example an earthquake, flood, or fire similar to the 2016 battery-induced one, the SBWMA will prioritize developing, implementing and seeking training regarding Emergency Planning in collaboration with Shoreway Operator (now SBR) and local partners by 2020. Those partners can include County Office of Emergency Services (host of the County’s Emergency Operations Center), City County Association of Governments, SMCOOS and the SMC Flood and Sea Level Rise Resiliency Agency on this critically important regional issue, and can work together to seek grant funding to support activities as well, when relevant and available. This can involve working with the major collection, processing and disposal contractors to understand and plan for what happens when Shoreway or their off-site equipment and facilities are rendered unusable.

Longer-term, in line with various predictions for several feet of sea level rise over the remainder of this century, the Agency can better assess how to plan for and mitigate that hazard (and others related to climate resiliency, such extreme heat and precipitation for short-term flooding) bycollaborating with researchers and partners like SMCOOS. Their 2018 Sea Level Rise Vulnerability Assessment showed that Shoreway facilities can be subjected to inundation with 3.3 feet of sea level rise and precipitation from a 100-year storm (see Figure 4 in Section 4.c). This could underscore the need for a Shoreway-specificDRAFT Vulnerability Assessment to be led by an outside expert/firm.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p29 FULL PACKET PAGE 50 of 63 c. Environmental Education Center Activities

At the LEED Gold-certified Shoreway Environmental Education Center, the Agency will continue to host frequent tours for schoolchildren and public groups alike, having educated almost 40,000 visitors since 2011 on waste reduction and recycling (see Figure 24). Given changes in policy/market drivers, MRF equipment and other aspects, messaging can be continually refined and further targeted to under-served schools and other constituencies in Member Agencies’ jurisdictions. These shifts can also drive the further evolution of RethinkWaste community events and activities, such as Fix-It Clinics, Earth Day at Shoreway, Rethink Recycling Day (hosting various events at Shoreway concurrent with America Recycles Day, see Figure 25), and the Trash-to-Art and Poster Contests (for local 3rd to 5th graders, with 2019 winners shown in Figure 26). For all Tours and activities, the Agency can also improve systems for collecting feedback (e.g. through reinstituting post-tour surveys) that can strengthen the Agency’s ability to harness participants’ suggestions and passion. Education space and facility needs can also be further studied, including the likely need for new outdoor tour-initiation space due to how the current space can likely be used for the Organics-to-Energy project slurry vats.

Figure 24. MRF/Transfer Station Tour.

Figure 25. 2018 Rethink Recycling Day (left) and 2019 Earth Day (right). DRAFT

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p30 FULL PACKET PAGE 51 of 63 Figure 26. Individual (right) and class (left) and winners of 2019 Trash-to Art contest.

d. Facilities: Additional Topics

The SBWMA can continue to study potential Shoreway projects that have been proposed in the past and/or contribute to the Guiding Principles, particularly those related to cost effectiveness and limiting recyclables sent to landfill and agency-wide GHGe. Initiatives could include scoping for site improvements or potential pilot programs such as:

• leasing additional land nearby for necessary or pilot program expansion, which could include coordinating coordinating with partners like the County (which holds land surrounding Shoreway and across Holly St by the San Carlos Airport) and private owners of nearby parcels like parking sections, or Landfill Disposal Contractor BFI;

• on-site Resource Recovery Park implementation for self-haul/other material reuse (similar to the long-established Monterey Regional Waste Management District’s Last Chance Mercantile store), perhaps in collaboration with local Habitat for Humanity, Goodwill, EHP, or St. Vincent de Paul;

• problem materials’ processing ventures, such as plastics processing pilots; and

• measures such as energy efficiency, peak-load shaving battery installation, re-powering solar or adding more capacity to further power Shoreway operations such as on the Recology administrative and shop buildings, and other upgrades.

Related to those GHGe reduction measures, the SBWMA is poised to continue conducting GHGe inventories (such as those previously reported to and registered with The Climate Registry). These typically capture Scope 1 emissions (direct, from mobile combustion via Recology’s over 140 collection trucks, SBR’s 23 big rig trucks, and stationary combustion of natural gas and other fuel used at the Shoreway MRF and Transfer Station, and fugitive emissions from refrigerant and other systems) and Scope 2 emissions (indirect, from imported electricity). The Scope 1 and Scope 2 combined Emissions Inventory for the Agency’s activities can be seen in Figure 27 (for 2016). Beyond starting to update and publish the inventories and results annually, the Agency can start developing life-cycle analyses using the US Environmental Protection Agency’s open source Waste Reduction Model (WARM) tool. That tool estimatesDRAFT the emissions produced from creating, using and disposing of relevant materials types based on Agency waste management processes. By cataloging and publishing these emissions and WARM analyses more in-depth, the Agency can further prioritize emissions-reducing measures for Shoreway and other activities as per Member Agency and Board/Committee goals.

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______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p31 FULL PACKET PAGE 52 of 63 Figure 27. Agency Emissions (in MTCO2E, 2016)

664 Shoreway Other Use

2979 SBR Diesel Use

7581 Recology Diesel Use

e. Financial Management

The SBWMA continuously plans for capital and operational project/program implementation and resource needs, in order to best understand and minimize impacts to rate-payers in the coming years with FA transition and potential further materials market turbulence. Along those lines, the SBWMA can present and annually update five year financial plans starting with that in Figure 28 (to be updated for 2020-24 in 2020). This table goes beyond the major project implementation budget plan table shown in section 5.C.a, to cover all revenues and expenses and depict the fullest picture possible of the Agency’s near term financial outlays and position. Beyond presenting and updating financial projections, it is also important to consider how tools like rate structures and contract mechanisms can incentivize better performance in recycling, materials management etc. In particular, the Agency will continue to study how residential and commercial rate structures can be crafted to motivate such customers to increasingly reduce, reuse and recycle (or compost) their waste, similar to how rates have been adjusted in San Francisco, Menlo Park and other MA or nearby jurisdictions.

Figure 28. Five-year financial projection table (2019 Bond Offering Preliminary Official Statement).

TABLE 8 SOUTH BAYSIDE WASTE MANAGEMENT AUTHORITY PROJECTED REVENUES, EXPENSES AND DEBT SERVICE COVERAGE (Calendar Year) 2019 2020 2021 2022 2023 Operating Revenue Tip Fee Revenue $48,945,467 $50,633,000 $52,338,601 $54,360,020 $56,671,523 Sales of Recyclable Materials 5,995,336 6,546,110 7,845,872 8,639,978 8,687,424 Interest Income 266,036 328,538 381,241 357,768 320,546 Other Revenue - - - - - Transfer from Rate Stabilization Fund - - - - - Total Operating Revenue $55,206,839 $57,507,649 $60,565,713 $63,357,766 $65,579,493

Operating Expenses Shoreway Operations $33,648,888 $34,451,305 $36,456,286 $36,887,430 $38,089,329 MSW Disposal 9,083,761 11,949,243 12,371,442 12,810,046 13,265,773 Authority Program Administration 3,131,956 3,257,234 3,354,951 3,438,825 3,524,796 Total Operating Expenses $45,864,604 $49,657,783 $52,182,679 $53,136,301 $54,879,898

Total Net Revenues $9,342,235 $7,849,866 $8,383,034 $10,221,465 $10,799,596

Debt Service DRAFT$4,124,500 $4,142,483 $4,139,000 $4,138,250 $4,139,000

Debt Service Coverage 2.27x 1.89x 2.03x 2.47x 2.61x

Ending Unreserved Fund Balance

Sensitivity Analyses. The Authority conducted various pro forma sensitivity analyses on the assumed revenues and expenditures included in the Projected Operating Results shown in Table 8. The pro forma sensitivity analyses are provided to evaluate how changes to specific assumptions set forth in Table 8 impact projected debt service coverage levels from Calendar Year 2019 through 2023 (the “Projection Period”) assuming all other values set forth in Table 8 remain constant.

The pro forma sensitivity analyses reflect29 changesRethinkWaste to the specific assumptions 2020 ,Long-Range and debt service Plan (2020–2024) coverage, described below:

______Reduced Revenues From______the Sale of Recovered Materials ______. The first pro forma sensitivity analysis SBWMA TACassumes PACKET that revenues 06/06/2019 from the sale of recovered materials in future years remain at the levels assumed AGENDAfor ITEM: 7 ATTACHMENT A - p32 Calendar Year 2019 (and do not increase as assumedFULL in Table PACKET 8). The PAGE impact 53of thisof 63adjustment results in projected debt service coverage ratios that are lower over the projection period by 0.12x to 0.61x as compared to the Projected Operating Results set forth in Table 8. Under this pro forma sensitivity analysis, the lowest projected debt service coverage ratio of 1.60x occurs in Calendar Year 2020 and the debt service coverage ratio in the final projection year of 2023 would be 2.0x.

Reduced Revenues From the Sale of Recovered Materials and Increased Labor Costs. The second pro forma sensitivity analysis assumes that (i) revenues from the sale of recovered materials in future years remain at the levels assumed for Calendar Year 2019 (and do not increase as assumed in Table 8) and (ii) the 2019 Project and the other capital improvement described herein only achieve 50% of the operational efficiencies which are assumed in Table 8. The Projected Operating Results in Table 8 assume that the MRF Equipment Improvements will generate operational efficiencies of approximately $102,000 beginning in Calendar Year 2020 and increase to approximately $692,000 by Calendar Years 2022 and 2023; thus, the sensitivity analysis

______SBWMA BOD PACKET 05/23/2019 AGENDA ITEM: 5A ATTACHMENT E - p43 6. Project Milestones and Timing A. Overview

Table 5 summarizes the timing for the above Sections’ key activities by year and subactivity, It offers planning guidance and as such is subject to change the further out time progresses from 2020.

Table 5. Program and Policy Types and Implementation Timing.

Programs and Policies Timing 2020 2021 2022 2023 2024 WASTE REDUCTION/REUSE PROGRAMS Model Food Reusable Reduction and reuse programs Foodware Recovery Packaging with local partners Ordinance Initiative Pilot COLLECTION PROGRAMS Full Full Full Franchise Agreement: 3 Bin Pilot Bin Scale Bin Scale Bin Scale Bin Rollout, Monitoring and Other Rollout & Rollout & Rollout & Rollout & SB1383-related Amendments Monitoring Monitoring Monitoring Monitoring Franchise Agreement: 3 Year 2019-20 PE 2021-23 PE 2021-23 PE 2021-23 PE 2024-26 PE Outreach Plan Development and Plan Plan Plan Plan Plan Activities SB1383-required Enforcement: Full Scale Full Scale Full Scale Fines and Ordinance Pilot Fines & Fines Fines Development Ordinances Start truck procure- Collection Fleet Alternative Fuel Continue Continue ment, fuel Conversion Project both both station replacement Expand to Expand to Expanded Battery Collection more EFDs more EFDs Extended Producer Track Propose Propose Propose Propose Responsibility Policy Support SB1509 other bills other bills other bills other bills PROCESSING AND TRANSFER STATION PROGRAMS Shoreway Improvements: MRF Phase I Phase II

Phases I-II 4 projects (3 projects) (1 project) Complete Pilot Start full Full Scale Full Scale Organics to Energy Processing full scale Operations scale install Operations Operations install Possible Possible End of Possible Possible SBR new Shoreway Operations Contract current SBR SBR SBR extension, contract agreement extension extension RFP for based on future RFP Start 2019-signed Landfill Disposal Contract Continue Continue Continue Continue 10 year agreement Consider Consider Consider New C&D Consider C&D C&D Other Contracts (C&D debris C&D agreement, C&D exten, extension, extension, and Organics) RFP, Org new Org new Org agr new Org Org extension agreement agreement extension OPERATIONS AND MANAGEMENT PROGRAMS Improve Battery Risk andDRAFT Disaster Plan battery/

Implementation disaster programs Improvem Env Ed Center Activities scheduling/ events

30 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p33 FULL PACKET PAGE 54 of 63 7. List Of Key Sources Of Information

A. SBWMA Sources

Key SBWMA information, previous Board Meeting files, and other materials can generally be found at the Agency website https://www.rethinkwaste.org/. For example, the prior (2015) Plan can be found here: https://www.rethinkwaste.org/about/board-of-directors/long-range-plan.

B. State of California and Regional Sources

Senate Bill 1383 Short-Lived Climate Pollutants Act (2016). https://www.calrecycle.ca.gov/climate/slcp.

Assembly Bill 341 California’s Mandatory Commercial Recycling Act (2014). https://www.calrecycle.ca.gov/recycle/commercial.

Assembly Bill 1826 California’s Mandatory Organics Recycling Act (2014). https://www.calrecycle.ca.gov/recycle/commercial/organics.

City of Alameda (2017). Straw Free (and Disposal Food Service Ware Reduction) Initiative. https://www.alamedaca.gov/GOVERNMENT/Initiatives/Straw-Free-Initiative.

City of Berkeley (2019). Berkeley Single Use Foodware and Litter Reduction Ordinance. https://www.cityofberkeley.info/Public_Works/Zero_Waste/Berkeley_Single_Use_Foodware_and_Litter_ Reduction_Ordinance.aspx.

County of Santa Barbara (2019). Yard Waste Reduction. http://lessismore.org/materials/188-yard-waste-reduction/.

SF Environment (various dates). Policies Related to Zero Waste. https://sfenvironment.org/zero-waste-legislation.

San Mateo County Environmental Health (2019). Final Resting Place. https://issuu.com/news_review/docs/smbatt_032019?e=2059002/68562344.

San Mateo County Office of Sustainability (SMC OOS) (2018). County of San Mateo Sea Level Rise Vulnerability Assessment. https://seachangesmc.org/wp-content/uploads/2018/03/2018-03-05-mp-SLR_ VA_Report_2.2018_v4_WEB.pdf.

San Mateo County Water Pollution Prevention Program (2018). Litter Reduction Toolkit for Multi-Family Dwellings. https://www.flowstobay.org/node/1974.

StopWaste (2019). Reduce Packaging Waste (“Use Reusables” Campaign). http://www.stopwaste.org/at-work/reduce-and-reuse/reduce-packaging-waste.

C. Additional Sources

USAID (2012). Solid Waste Management: Addressing Climate Change Impacts on Infrastructure – Preparing for Change. https://www.climatelinks.org/sites/default/files/asset/document/Infrastructure_ SolidWasteManagement.pdfDRAFT. USEPA (2019). Sustainable Management of Construction and Demolition Materials. https://www.epa.gov/smm/sustainable-management-construction-and-demolition-materials.

31 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p34 FULL PACKET PAGE 55 of 63 DRAFT

32 RethinkWaste 2020 Long-Range Plan (2020–2024)

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p35 FULL PACKET PAGE 56 of 63 DRAFT

RethinkWaste.org

______SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 7 ATTACHMENT A - p36

FULL PACKET PAGE 57 of 63 FULL PACKET PAGE 58 of 63 8

Agenda Item 8 Presentation by San Mateo County on the proposed Disposable Food Service Ware Ordinance

No Staff Report: Presentation Only

SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 8 – p1 FULL PACKET PAGE 59 of 63 FULL PACKET PAGE 60 of 63 9

Agenda Item 9 Feedback on Community Shred and E-Scrap Events

No Staff Report: Discussion Item Only

SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 9 – p1 FULL PACKET PAGE 61 of 63 FULL PACKET PAGE 62 of 63 10

Agenda Item 10 Contractor Updates

No Staff Report: Discussion Item Only

SBWMA TAC PACKET 06/06/2019 AGENDA ITEM: 10 – p1 FULL PACKET PAGE 63 of 63