United States
Environmental Protection
Agency
Solid Waste
and Emergency Response
(5306W)
EPA530-F-97-041
August 1997
http://www.epa.gov
JOBS
THROUGH
RECYCLING
report
ECONOMIC
DEVELOPMENT
DEPARTMENT
For more information, visit the EPA
Region 10 Web site at
http://www.epa.gov/r10earth/offices/
owcnVjtr94or.htm.
JTR Grantee Series
Oregon
Prior to the Jobs Through Recycling (JTR) grant, limited recycling market devel-
opment activity existed at the Oregon Economic Development Department
(OEDD) or at the Oregon Department of Environmental Quality (DEQ).
Metro, the Portland-area regional government, initiated recycling market devel-
opment activities in 1991.
The overall goal for the Recycling Economic Development Advocate (REDA) was to
increase the ability of Oregon businesses, com-
munities, and tribes to foster recycling and reuse
businesses. These businesses would utilize recy-
clable and reusable materials that would other-
wise be incinerated or landfilled. In addition, the
businesses would stimulate economic develop-
ment and create jobs. To achieve these goals, the
REDA established four objectives:
• Facilitate the development of intermediate pro-
cessing and end-use manufacturing capacities
to meet the supply of reusable and recyclable
materials generated.
Glance
Grant Type: REDA
Office Awarded:
Oregon Economic
Development Department
Project Partners:
Metro, Oregon Recycling
Market Development Council
• Coordinate and integrate state and tribal activi-
ties for recycling and reuse market development
with state/tribal activities for business develop-
ment, economic growth, and job creation.
• Develop partnerships with industry to take
advantage of industry networks for major sec-
ondary materials.
• Provide financial, technical, and business
development assistance to businesses to maxi-
mize value from secondary materials.
PROGRAM ACTIVITIES
The REDAs primary role was to facilitate market
development through direct assistance to businesses.
Business planning was a major focus of the REDA
program in Oregon, and the grantee was most
successful in providing direction to companies in
their strategic planning and marketing. The grantee
also focused efforts on expanded and improved
recycling collection and transportation issues.
Year Awarded: 1994
Finding:
$ 74,000 in EPA funding
$ 56,000 in state/local
funding
$130,000 in total funding
Materials Targeted:
Plastic Glass
Tires Waste paper
Multimaterial
Contact Information:
William Bree
Senior Policy Analyst
(Former REDA)
Oregon Department of
Environmental Quality
Solid Waste Policy and
Programs Development
811 Southwest Sixth
Portland, OR 97204
Phone: 503 299-6046
Fax: 503 229-6954
E-mail: bree.william.r@
deq.state.onus
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JOBS THROUGH RECYCLING
In March 1996, the REDA helped
coordinate the Oregon Recycling Market
Development Summit, bringing togeth-
er haulers, processors, manufacturers,
nonprofits, and governmental agencies
Business planning was a
major focus of the REDA
program in Oregor\
and the grantee was most
suaoessful in providing
direction to aarrpanies in
their strategic planning
and marketing.
involved in recycling for a 1-day work
session. The purpose of the summit was
to evaluate the status of recycling mar-
ket development in the state and to make
recommendations for future efforts.
CHALLENGES OVERCOME
The REDA overcame a major challenge
of meeting the volume of business
requests during the grant period. The
demand for one-on-one business assis-
tance was higher than originally antici-
pated and began within the first week of
the project. OEDD highly valued
responsiveness and customer service. In
order to meet customer needs, the pro-
gram had to devote more time to indi-
vidual businesses. Consequently, some of
the outreach materials called for in the
workplan could not be developed. Prior
to development, the REDA assessed the
value of each material and the availabili-
ty of similar documents. In some cases,
the REDA could substitute existing
materials from one or more of the pro-
ject partners for newly created docu-
ments. For example, rather than devel-
oping a catalogue of collection pro-
grams, the REDA used existing collec-
tion program information from DEQ
and other organizations and provided
customers direct access (to collection ser-
vice providers) on a case-by-case basis.
LESSONS LEARNED
This project yielded a number of useful
lessons that may result in better plan-
ning and results for others, including
new JTR grantees:
• Keep yourself focused when work-
ing with limited resources. The
grantee concentrated efforts on one-
on-one direct business assistance in
order to maximize resources.
• Begin planning early to obtain fund-
ing after the 18-month grant period.
Be aware of larger political and orga-
nizational dynamics in the state that
will affect future funding, and be crea-
tive in addressing them. This may
involve organizing a market develop-
ment summit or other means to devel-
op a strategic plan for continuing the
program. Also, look to nongovernmen-
tal sources of funding.
• Remember that business recruit-
ment is a long-term process. The
REDA provided a full range of assis-
tance to Unocal, which planned to
build an oil re-refinery in Oregon.
Key accomplishments include help-
ing the company to obtain environ-
mental permits and secure bond
financing. According to Unocal, the
company would have spent $50,000
to $60,000, or $85 per hour, on out-
side consulting fees without the assis-
tance of the REDA. To date, Unocal
has selected an appropriate technology
and has completed the site engineer-
ing work, but has not yet built the
facility. Thus, grantees need to keep
in mind that business recruitment
can take several years.
Be aware of larger
political and organizational
dynamics in the state that
will affect future funding,
and be creative
in addressing them
ACCOMPLISHMENTS
The REDA assisted businesses in the
creation of more than 70 jobs and a
capital investment of nearly $82 mil-
lion. The assistance also resulted in
82,000 tons of new capacity. The
REDA augmented the credibility of
end-use manufacturing of recyclables in
the state, where most attention had
been focused on recycling collection.
Of the major projects undertaken by
the REDA, 13 have reached the point
of project commitment and/or imple-
mentation. The businesses implement-
ing these projects recover, recycle, or
manufacture products containing used
paper, plastic, tires, wood, or multiple
materials. Results from these projects
include the following:
• A material recovery facility, with
assistance from the REDA and OEDD,
obtained a $4-million industrial devel-
opment revenue bond to construct a
new solid waste recovery facility. This
facility will create 18 new jobs and
have the capacity to process 45,000 tons
of materials for recycling annually.
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JTR GRANTEE SERIES: OREGON
A small, out-of-state plastic recycler
is relocating and expanding its busi-
ness in Oregon. The company is
investing $3 million and will provide
five new jobs. The REDA facilitated
the siting of a new facility and assist-
ed the company in applying for tax
credits. The company has a growing
supply and customer base, as well as
extensive plastic recycling and engi-
neering experience.
The REDA increased the
credibility of end-use
manufacturing of
recydables in the state,
where most attention
had been focused on
recyding collection.
A small tire recycling company
developed a building material prod-
uct manufactured from old tires and
sought assistance in implementing its
simple, low-cost process.
Through the REDA,
OEDD provided services
related to siting, financing,
and business plan develop-
ment. The recycler will invest
$150,000 in its new operations, cre-
ating four new jobs and 500 tons of
capacity. A market for the alternative
building material is still needed.
PROGRAM FUTURE
Due to legislative budget pressures,
OEDD and DEQ were unable to pro-
vide resources to continue the REDA
program. OEDD went through a major
reorganization during the last 6 months
of the REDA project because of pres-
sure from the state legislature.
The agency refocused its core programs,
and recycling was not considered a pri-
ority area. The term of the REDA pro-
gram also cross-cut two state legislative
sessions, making it difficult to generate
legislative support. The REDA pro-
gram began too late to target legislators
during the first session and too early to
do so during the second session.
Currently, less than one-quarter full-
time equivalent (FTE) staff member is
devoted to recycling market develop-
ment in DEQ, and there is no FTE in
OEDD. The Oregon Recycling Market
Development Council has been reau-
thorized to continue for another 6 years
but has not yet secured funding.
Although the REDA program did not
receive continued funding, there is still
Leadership is needed at the
state level to follow
through on the success of
the summit to establish a
long-term program
potential for a formal market develop-
ment effort at the state level. The
Recycling Market Development
Summit laid the foundation and pro-
vided guidance for such an effort,
strategizing the roles of state organiza-
tions and potential activities. According
to the REDA, leadership is needed at
the state level to follow through on the
success of the summit to establish a long-
term program.
FTEs Created:
Amount of Capital Invested:
Volume of New Capacity Created:
Plastic
Tires
Multimaterials
Total:
71 jobs
$81.7 million
1,35Otons per year
1,OOO tons per year
SOtOOOtons per year
82,350 tons per year
Volume of Secondary Materials Actually Used:
Plastic 85O tons per year
Tires 1,OOOtons per year
Multimaterials aO^OOOtons per year
Total: 81,85Otons per year
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JOBS THROUGH RECYCLING
Partners
METRO
"The REDA was a key player on our market development team."
DOUG ANDERSON
Waste Reduction Manager, Metro
The Oregon REDA and Metro, a regional govern-
ment in the Portland metropolitan area, worked
cooperatively to provide targeted business develop-
ment and financing assistance to recycling entrepre-
neurs in the state. Metro oversees solid waste and recycling
activities in the three counties and 24 cities that comprise the
Portland metropolitan area, representing half of the population
of Oregon. The Metro and REDA market development programs were similar
except that the REDA was operating at the state level.
Metro and the REDA collaborated in providing assistance to a variety of business-
es. For example, they worked together with an intermediate processor of foam
plastic. This company was seeking financing for its efforts to create a
manufacturing feedstock from recovered foam plastic. Together, the REDA and
Metro facilitated meetings with the local economic development agency and
helped educate economic development officials about the recycling industry.
According to Doug Anderson, Waste Reduction Manager at Metro, the joint
efforts helped add credibility and legitimacy to the company seeking assistance.
This company was eventually awarded a grant from Metro.
Metro and the REDA also worked together to provide financing assistance to E-Z
Drain Company, LLC, a subsurface drainage company that uses recovered poly-
styrene. They reviewed the various financing options available to the company (e.g.,
grants, loans, and tax credits); the company was eventually awarded a grant from
Metro. E-Z Drain is located next to Western Insulation Foam, a company that
manufactures polystyrene billets (i.e., blocks of polystyrene). The two companies
have developed a mutually beneficial relationship. Western Insulation Foam's foam
scraps serve as feedstock to E-Z Drain, creating savings in disposal costs and stor-
age space. Since the two companies are located on the same property, Western
Insulation Foam simply drives a loaded forklift directly from the forming line
across the storage lot to E-Z Drain's facility, creating a closed-loop system.
Not only did the REDA and Metro assist businesses, they also coordinated efforts
to ensure that recycling market development efforts continue into the future. Both
organizations assisted in the development of the Oregon Recycling Market
Development Summit, which was attended by 110 haulers, processors, manufac-
turers, nonprofits, and government agencies.
The Oregon REDA partnered with
a number of organizations to pro-
mote recycling economic develop-
ment opportunities:
• Metro—Metro is a regional gov-
ernment in the Portland metro-
politan area. The REDA and
Metro communicated regularly to
coordinate market development
efforts and refer businesses to one
another.
• DEQ—DEQ manages regulatory
issues related to market develop-
ment, such as issuing permits and
administering a tax credit pro-
gram. The REDA worked closely
with DEQ headquarters and
regional staff in response to spe-
cific customer requests.
• Oregon Recycling Market
Development Council—The
Council focuses on monitoring
and tracking markets for scrap
paper, green glass, and plastics, as
well as policy and legislative
issues. The Oregon REDA partic-
ipated in the Council's full coun-
cil, division, and task force
meetings.
• Service Corps of Retired
Executives (SCORE)—SCORE
is a small business assistance cen-
ter. The REDA gave presenta-
tions to the two largest SCORE
chapters in Oregon and held reg-
ular meetings with the SCORE
JTR coordinator.
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