Did you realize that over 26 states in the United States have at least one jurisdictions with a mandatory recycling law? Further, nearly every state in the United States has prohibited disposing of at least one item at solid waste facilities. Some of the most commonly banned materials include:
Regulations are increasing, which can impact commercial real estate operators and other businesses as well. According to Thomson Reuters, in the decade between 2008 and 2018, those regulations increased by 550 percent.
Some might argue that this is where sustainability really starts, with compliance, but keep in mind compliance means you are doing the bare minimum. You are not adding value; you are only doing what you have to do to avoid fines or other legal consequences. Hardly a hill worth planting your flag as the pride of your organization. Investors and employees tend to look at the value proposition and look for a return on their investment. Be that investment of time, careers, or money - they are looking for a return. They are looking for the ability to proudly display the company logo and tell others how they contribute to the greater good.
But that journey still generally starts with compliance. When it comes to waste management and recycling, a lot of compliance started with the California Integrated Waste Management Act of 1989, or AB 939.
AB 939 set the concept of meeting diversion goals and provided the oversight board now known as CalRecycle. With oversight comes the concept of planning documents and diversion goals; each requires the ability to associate metrics to waste and recycling. After all, how can you set a diversion goal of 25% by 1995 and 50% by 2000 if you don’t measure your diversion rate?
Under the umbrella of local government, several municipalities set up ordinances to satisfy those planning document requirements and mechanisms to reach or exceed the diversion goals within each jurisdiction.
It’s probably timely to point out, while I am picking on California at the moment, this isn’t only a California thing. Similarly, scripted legislation has surfaced from Alabama to Washington, from New York to New Mexico.
It is the burden of any real estate organization to understand what regulations may impact their assets; recycling and waste regulations are no different. Failure to comply can result in risk and potentially place the property in legal jeopardy. The larger the organization, the more complicated this becomes, as the legislation can differ greatly from jurisdiction to jurisdiction.
Partnering with a trusted advisor with exposure to each local jurisdictional regulation can become an important step for those operations that expand into multiple jurisdictions.
How big of a deal are these ordinances? Let’s take a look at San Francisco’s Mandatory Recycling and Composting Ordinance (Environmental Code Chapter 19). Effective July 1, 2019, large waste generators are required to have their refuse streams audited every three years. Each stream has a set contamination rate. If a property fails an audit due to higher contamination in any covered stream, the Refuse Separation Ordinance (No. 180646) requires them to engage (contract) the services of a Zero Waste Facilitator (approved third party sorting company basically) for a period of 24 months. Failure to engage a Zero Waste Facilitator within 60 days of the city order can expose the property to fines of up to $1000 per day for each day of non-compliance.
That is a pretty serious consequence for a utility that often gets little or no attention.
Similarly, in California, SB 1383 received the official stamp of approval, placing into effect regulations that require on January 1, 2022, local jurisdictions must provide organic composting services to all residents and businesses and related outreach and education. We can anticipate that local jurisdictions will pass supporting ordinances, similar to Alameda County’s Stop-Waste Enforcement Ordinance, which requires businesses, institutions, and multi-family properties to subscribe to the recycling and organics service offered in the local jurisdiction.
The warning shot has been fired across the bow; pay attention, or we will get your attention through regulation. Communities in California have taken notice, and if benchmarking ordinances are any guide, you can expect similar measures to be considered in cities facing increased pressures around waste management.
Have you faced similar regulations in your real estate operations? Have you taken steps to mitigate this risk? Is there a technology play that might be able to assist? Do you know if your properties are in compliance?
You can help reduce the impact of the built environment by sharing this blog with your peers. Together we can impact the 39% of greenhouse gasses attributed to the built environment. It starts with awareness, and we succeed with teamwork.
Stay well!
Chris Laughman is the ThirtyNine Blog author, a blog dedicated to reducing the impact of the built environment. When not blogging, Chris is helping the real estate industry reduce energy and water impact as the Vice President of Sustainability for Conservice, the Utility Experts. Whether Multifamily, Single Family, Student Housing, Commercial, or Military, we simplify utility billing and expense management by doing it for you. Our insight into your utility consumption provides an opportunity to identify risks. Leveraging innovation and experience, we ignite solutions with real impacts and track performance to ensure the trendline stays laser-focused on the goal. To get there, we must build relationships within our organizations and outside of our organizations building the critical mass needed to truly make a difference. We have before us a tremendous opportunity. Standing shoulder to shoulder, we will get this done. Contact me at claughman@conservice.com for more information.
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