United States
                              Environmental Protection
                          Solid Waste
                          and Emergency Response
        September 1998
                             JTR  Grantee Series
        The U.S. Environmental Protection Agency's (EPA's) Jobs Through Recycling
        (JTR) grant awarded to the state of Delaware in 1994 was the beginning of a
        new era for environmental programs in the state. Prior to receiving the JTR
        grant, Delaware did not have resources to promote recycling markets or indi-
vidually assist businesses in manufacturing products from recycled materials. Despite the
signing of a statewide executive order in July 1990 recommending recycling as a means
of reducing waste materials and mandating the
establishment of a comprehensive recycling pro-
gram, the state did not set measurable goals until
it received the JTR grant.
At the outset, the Delaware Recycling Economic
Development Advocate (REDA) established the
following goals:
• Double the number of Green Industries
  Initiative (Gil) businesses statewide.
      Types  REDA
Office Avuarctect
Delaware Economic
 Development Office
                             • Create 125 new jobs.

                             • Facilitate the investment of $5 million in
                               recycling capital.
                             • Gain a statewide consensus on recycling
                               market development.

                             Under the JTR grant, the REDA expanded the
                             state's Gil to retain and create more than 150
                             quality jobs, generated capital investments for
                             recycling-based businesses worth over $10 million,
                             and increased business participation from 7 to  24
                             approved applicants.

                             PROGRAM ACTIVITIES
                             The Delaware REDA provided assistance to busi-
                             ness in the following two primary areas:
                             Technical and Financial Assistance
                             Established prior to the JTR grant, Gil embod-
                             ied the first real attempt to promote recycling-
                             related industry in Delaware. Begun as a coopera-
                             tive effort between the Department of Natural
                             Resources and Environmental Control (DNREC)
                             and the Delaware Economic Development Office
                             (DEDO) in 1992, Gil was strengthened through
                             the 1994 JTR grant.
                                          Delaware Department of
                                           Natural Resources and
                                           Environmental Control

                                          Year Awarded: 1994

                                          $74,000 in EPA funding
                                          $25,000 in state funding
                                          $99,000 in total funding

                                          Materials Targeted:
                                          Organics and Compost
                                          Waste Tires
                                          Evadne Giannini
                                          Delaware Economic
                                           Development Office
                                          99 Kings Highway
                                          Dover, DE 19901-7305
                                          Phone: 302 739-4271
                                          Fax: 302 739-5749
                                          E-mail: egiannini@state.de.us
                                          Web site: www.state.de.us/

                    OBS THROUGH  RECYCLING
The technical and financial assistance
provided by the grant fostered recycling
markets and promoted the further
establishment of Gil businesses.

Gil requires businesses to demonstrate
a serious commitment to recycling and
environmental issues in exchange for
technical and  financial assistance.
Businesses provide information to the
REDA on what efforts are being made
to increase recycling, including adding
recycled-content feedstock to a manu-
facturing process or opening a recy-
clable commodity processing facility.
Through Gil, the REDA provided
technical assistance including siting,
employee training, expedited environ-
mental permitting, and marketing assis-
tance. In addition, the REDA provided
assistance in obtaining tax abatement
and credits, loans, and financing. The
REDA assisted scrap tire processor
Magnus Environmental,  for example,
with siting, locating feedstock, and per-
mitting. As a result, Magnus added 21
full-time employees to its staff. That
facility also helped alleviate stockpiles
of waste tires throughout the state.
  The REDA believes that
      outreach  changed
  industry's perception of
  the state  and enhanced
      the profit-making
       capability of the
      recycling  industry.
In addition to recycling market devel-
opment information, the REDA assist-
ed businesses with equipment, sourc-
ing, and commodity information and,
thus, became Delaware's designated
state recycling expert.

Promotion and Publicity

The REDA promoted available recy-
clable commodities to businesses that
could use them in their manufacturing
processes. In addition, the REDA
helped develop all facets of the recy-
cling business (i.e., collection, process-
ing, and marketing). The REDA's abili-
ty to network with state businesses and
create new alliances allowed a building
of trust that facilitated significant gains
in recycling market development

• Strained public and private relation-
  ships. Prior to the grant, Delaware
  business and industry organizations
  had difficulty finding reliable infor-
  mation on recycling issues. Slow
  response to that issue by the state left
  strained relations between the public
  and private sectors. The REDA
  addressed the issue by offering tech-
  nical assistance to businesses request-
  ing information. The REDA believes
  that outreach changed industry's per-
  ception of the state and enhanced
  the profit-making capability of the
  recycling industry.

• Lack of tracking tools. Once at the
  Economic Development Office, the
  REDA had no means of tracking
  recycling efforts electronically.  The
  REDA understood,  however, the
  need to keep track of assistance and
  core measures and kept a diary of
  contacts and activity to help track
  assistance and followup. The con-
  tact diary formed the basis of the
  networking database the REDA
  now uses to gather the data neces-
  sary (e.g., jobs, investment, arid
  recovery rates) to measure success.
The REDA partnered with the fol-
lowing organizations to promote
economic development opportuni-
ties with recycling:
• DNREC—DNREC was the
  grantee's primary program partner,
  providing permitting support for
  Gil businesses and prospects. The
  REDA worked with  several sec-
  tions of DNREC, including solid
  waste, air quality, and wetlands, to
  find recycling options or markets
  for waste materials. Successful
  cooperative efforts ranged from
  permitting to identifying compost
  supplies for wetlands mitigation
  projects implemented due to road
  projects in the state.

• University of Delaware (UD)
  Extension—UD Extension worked
  with the grantee on the creation of
  the Composting Association of
  Delaware (CAD). CAD is dedicat-
  ed to promoting composting in
  Delaware and is composed of 35
  active organizations representing
  commercial, municipal, university,
  and other interests.

• Delaware Manufacturing
  Alliance (DMA)—DMA worked
  with the REDA to promote recy-
  cling options for  manufacturers in
  Delaware. The REDA  developed
  business waste assessment pro-
  gramming for DMA members
  using EPA WasteWise program
  materials. The REDA also worked
  with DMA to find answers to a
  pallet waste issue that plagued
  Delaware manufacturers. Waste
  reduction opportunities included
  pallet repair and reuse as well as
  composting of scrap pallets.

• Find your network. It is important
  to expand business and industry
  contact networks to ensure successful
  recycling economic development
  programs. Networks can educate,
  generate leads, and set up potential
  outreach  opportunities.

• Position the recycling industry as a
  legitimate enterprise. The needs of
  the recycling industry must be taken
  seriously  by the state. The REDA's
  approach was to "only talk about
  commodities, not solid waste." This
  approach put the REDA in a better
  position (by avoiding the use of the
  terms "trash" or "waste"), because of
  the emphasis on the value of recy-
  clable materials and recycling's viabil-
  ity for Delaware industries.
  Networks can educate,
  generate leads, and set
   up potential outreach

 I Gather and maintain quality
  data. Accurate assessment of
  recyclable commodity ton-
  nages within the state is
  essential for the recruit-
  ment of new businesses.
  Without accurate avail-
  able feedstock informa-
  tion, new prospects
  cannot assess actual
  market status and
  opportunities. Prospects are more
  likely to invest in recycling opportu-
  nities within a state that maintains
  accurate information.

The REDA believes that the institu-
tionalizatiori of Gil was the greatest
accomplishment of the 1994 JTR
grant. In addition, the REDA notes
two major environmental benefits dur-
ing the 1994 grant period. First, help-
ing site a processing facility for waste
tires addressed the nagging problem of
tire stockpiles, which had caused tire
fires in the past. Second, increasing
recyclable materials diversion from
Delaware landfills benefited the state by
extending landfill life and promoting
more efficient use of resources.

The REDA's position received state
funding in June 1996. The position is
now being sustained within the
Economic Development Office, which
continues to advocate the Green
Industries Initiative and recycling mar-
ket development. The REDA now plans
to search for another niche in which to
develop quantifiable results. With state
backing assured, the REDA will contin-
ue to prove the importance of recycling
market development in Delaware.

Prospects  are more  likely to
      invest in recycling
opportunities within a state
   that maintains accurate

Delaware also received a 1997 JTR
grant from  EPA. Several major  activities
are planned under the new grant includ-
ing development of a recycled commod-
ity resource information system, market
development efforts for construction
and demolition waste material,  and a
plastics conversion project.
    Full-Time Equivalents Created:

    Part-Time Jobs Created:

    Amount of Capital Invested:

    Volume of New Capacity Created:

    Weight of Waste Diverted  From Disposal:
    Short-Term Assistance
    In-Depth Assistance
          154 jobs


         $1(X1  nrillicnin new
         capital  investment

          SO^OOOtons per year
          1QOOO tons per year
          15,000 tons per year
          SQOOOtons per year
         1O5,OOO tons per year

         228,508 tons per year
         68 businesses assisted
         15 businesses assisted


    Chrysler Corporation manufactures automobiles at its Newark, Delaware, assembly
    plant. Gary Eberhard, Solid Waste Specialist for Chrysler, began coordinating the
    waste management effort at the Newark plant in 1990. At that time, Chrysler was
spending $1.2 million annually for disposal of waste materials. Within the first year,
Chrysler saved $800,000. In 1997, Chrysler spent only $240,000 on disposal charges.

The Delaware REDA assisted Chrysler in the following ways:

• Finding Wooden Pallet Markets and Durable Pallet Manufacturers. The REDA worked to find
  reuse, recycling, and durable pallet options. Prior to the REDA's assistance, Chrysler disposed of
  3,000 pallets daily. The REDA helped trim that number down to 900 outsourced for repair and
  reuse. The REDA found Chrysler a pallet refurbisher, which now receives 33 tons of pallets daily
  from Chrysler. The exchange created two new jobs at the pallet processing facility.

• Finding Tire Disposal Alternatives. One notable waste reduction effort transforms waste tires
  into a commodity. Six hundred tires per year are sent to a tire reprocessing facility.
                                                                               "The REDA is an
                                                                               important part of
                                                                          Chrysler's efforts to find
                                                                           markets for recyclable
                                                                               GARY EBERHARD
                                                                               Solid Waste Specialist,
                                                                               Chrysler Corporation,
                                                                             Newark Assembly Plant

                                                                              Gary Eberhard
                                                                              Solid Waste Specialist
                                                                              Chrysler Corporation
                                                                              550 South College Avenue
                                                                              RO. Box 6040
                                                                              Newark, DE19714
                                                                              Phone: 302 453-5251
                                                                              Fax: 302 453-5122

irst State Recycling is a processor arid broker of preconsurner plastics and other
materials including film and corrugated containers. The REDA assisted First
State with the following two major tasks:
   "The financing assistance the
 REDA helped us find was cru-
cially important to our decision
        to locate in Delaware."
      President, First Stale Recycling
  Siting and Funding. The REDA met two entrepreneurs interested in starting a recycling business
  in New Jersey or Delaware in 1995. The REDA helped them apply for the Gil and secure a state
  subsidized loan of $65,000, which provided important startup capital. The REDA also worked
  with the entrepreneurs in finding their first location and working out the details to make their
  startup relatively smooth.

  Markets and Promotion. The REDA assisted First State in expanding its base of markets by net-
  working the company with the REDA's in-state contacts. The REDA also helped promote the
  company in the state business journal.
                                                                                Richard M. Bastian
                                                                                First State Recycling
                                                                                36 Germany Drive
                                                                                Wilmington, DE 19804