Would be financially unable to continue recycling if reimbursements disappeared

According to the state Department of Environmental Protection (DEP), $17.8 million in Recycling Performance Grants were issued in 2010, with $300,000 in grants issued in the last days of the year.

The Recycling Performance Grant Program, created in 1988 by Act 101, issues grants based on how much a municipality or county agency records it has recycled. The act requires municipalities to impose a fee of $2 per ton for commercial and residential waste. The county agency or municipality then applies to the state Department of Environmental Protection (DEP) which adjusts the cost based on the local population before awarding a “reimbursement” grant back to the municipality.

If there is only commercial waste, the fee imposed by the DEP is raised to $10 per ton.

Without state government grants to reimburse the program, municipalities would de-prioritize recycling and waste management in light of more pressing fiscal concerns, said Brinda Carroll Pinyak, deputy director of the County Commissioner’s Association of Pennsylvania’s Government Relations Policy Team.

“It’d be very difficult for counties to continue the program or any program they’re doing without support from the state,” said Ms. Pinyak. “The strain on the finances is something for which counties have seen less available money over the course of a couple of years.”

The program was initially set to expire in 2012 but the most recent legislative session extended the program to operate until 2020, said a spokesperson for state Sen. Andrew Dinniman (D – Chester).

In his press release announcing the 2010 grant beneficiaries, Mr. Dinniman praised the program.

“Recycling is a simple and efficient way to protect the environment and reduce waste,” Mr. Dinniman said. “Chester County and its municipalities have come a long way in encouraging recycling and re-using materials, and we can continue to do more. These grants are a great incentive to ensure that we do.”

Eric Epstein, a political coordinator for Rock the Capital, a grassroots organization, said he supports government accountability and regular review of government programs, including the Recycling Performance Grant Program.

“I think you have to look at this as a cost avoidance issue,” said Mr. Epstein. “A lot of people don’t factor in the externalities. The question is whether the metrics should change based on the municipalities’ performance. It’s very difficult to ascertain what has been removed from the waste stream.”

Mr. Epstein also drew parallels between the Recycling Performance Grant Program and state government assistance for other waste management programs, such as sewage and landfills.

“A lot of municipalities aggregate with waste collection,” said Mr. Epstein. “Let’s say the program goes away and you’re a rural municipality. Where does that oil that’s not being recycled go? Down the drain. Where do those batteries go? In the landfill. These are significant costs down the road.”

Trey Granger, spokesperson for Earth 911, a recycling organization, said the organization does not calculate for cost effectiveness of the recycling programs but pointed out programs similar to the Recycling Performance Grant Program exist across the country.

“There’s a lot of processors in the Southeast and the Midwest for materials,” said Mr. Granger, “so those states can have a lot of local options for where to send this material. If they’re taking the plastics or extra paper, they have more local options because there are increasing facilities going up in the southeastern part of the U.S.”

He also said over time, recycling markets have been created in response to the waste management programs, leading to a diversification of recycling. According to Mr. Epstein and Ms. Pinyak, that could go away if the state grants are discontinued as part of the expected budget cuts for fiscal year 2010-2011.

“We find in talking with a lot of these local programs that they can become handcuffed with what they’re able to accept,” said Mr. Granger, drawing a contrast between local and state funded programs. “A program where the city or county is being rewarded for the amount it recycles will…look for more programs outside their local sphere, if they knew they were going to get more money at the end of the year for taking more material.”