Questions and Answers: Organics Grant Program (ORG4) (FYs 2018–19 and 2019–20)

General

1. Are all administration costs considered indirect costs and subject to the 5 percent limit? Example: Is the admin work specific to managing the deliverables on this grant still indirect costs?

Administration costs are considered indirect costs, and include operating and maintaining facilities, accounting services, and administrative salaries.  These costs are limited to the five percent cap of the total amount requested. CalRecycle grant administration, such as quarterly reporting and grant payment requests, are not indirect costs. Design and engineering costs are not indirect costs but are limited to a separate five percent cap of the total amount requested. For more information, please refer to the “Indirect Costs” section in the Procedures and Requirements Revised April 2020.

2. Are match funds (GHG Loan funds, applicant funds etc.) subject to the ineligible/indirect cost criteria that is in the solicitations? Or are the solicitation criteria meant only for the CalRecycle reimbursable funds? Example 1: The applicant wishes to contribute its own funds to food rescue partnership (ineligible cost). Can this be in the budget as long as Grant funds are not paying for it?  Example 2: The Applicant’s indirect costs exceed 5 percent of total project costs. Can this be included as match on the budget as long as the CalRecycle reimbursable is only 5 percent of requested amount. Are installation costs eligible for reimbursement?

We suggest applicants submit detailed Budgets clearly indicating which entities intend to fund all line items associated with the project. Ineligible and indirect cost restrictions only apply to CalRecycle grant funds.  Funds provided by entities other than the CalRecycle grant can be applied to ineligible and indirect costs. Installation of CalRecycle grant-funded equipment is an eligible expenditure.

3. Can we count tonnage from feedstock suppliers who currently send their waste to a site that will no longer be accepting waste, forcing them to landfill the material in the near future?  For example, if a company sends its waste to a composting site that will no longer be composting, can we use a feedstock certificate or letter of intent showing that they will send the material to the project being submitted for the grant as an alternative to sending it to a landfill?

No.  Eligible projects must result in permanent, annual, and measurable increases in the quantity (tons) of green materials or food materials, newly diverted from landfill disposal or alternative daily cover (ADC) use in California, that are either composted or digested.  For purposes of this program, “newly diverted” means the tons of materials currently being landfilled or used as ADC that will instead be diverted as a result of the project.  Tonnage delivered from feedstock suppliers that are already sending the green or food materials to a composting site would not be considered new diversion.

4. How can I sign up to receive updates on Organics Grant Program FY 2018–19 and 2019–20 (ORG4) application?

You can receive updates on the Organics Grant Program by subscribing to the Greenhouse Gas Reduction Programs Listserv.

5.What is the rationale for limiting the means to process organic and food waste to composting and digestions? 

CalRecycle receives Greenhouse Gas Reduction Fund (GGRF) funding for the Organics Grant Program through California Climate Investments.  CalRecycle is restricted by statute to award waste diversion projects for this program that use composting or in-vessel digestion technologies. Refer to California Public Resources Code Section 42999.

6. Is it possible to include, as a small element of the grant, a paper study that will help our team increase long term benefits to the state by identifying how to better target and implement our future in-state commercialization process?  Could this element be funded by CalRecycle funds? 

No, grant funds cannot be used for funding research studies.  Grant funding is limited to the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC) to make compost, soil amendments, fertilizers, biofuels, or bioenergy. 

Eligibility

1. Are these funds available to all food waste generators i.e. restaurants, hotels / resorts, colleges / universities, grocery stores, etc. irrespective of how much food waste they generate i.e. 1,000 lbs. / day or 5 tons / day?

While there is no minimum tonnage, eligible applications will be competitively scored, and one of the scoring criteria is the amount of organic material diverted from landfills through composting or digestion. For more information about eligible applicants, please refer to the “Eligible Applicants” section in the Application Guidelines and Instructions. For more information on scoring, please refer to the Scoring Criteria.

2. Are these funds available for on-site dehydration technology and equipment that reduces food waste on-site by approximately 90 percent and generates a highly concentrated organic (HCO) that can then be converted into: (i) a soil-like amendment, (ii) compost accelerant, (iii) animal feed, or (iv) fuel pellets?

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC) to make compost, soil amendments, fertilizers, biofuels, or bioenergy. Dehydration technology is eligible only if the applicant shares the same parent company or governing body as the composting or digestion entity that will be processing the dehydrated feedstocks (i.e., they are vertically integrated), or is part of a cooperative agreement in which the composting or digestion entity is Lead Participant and meets all other requirements.

3. Please clarify if a preprocessor (Company A) can apply as part of a Cooperative Application, if a compost/AD (Company B) is part of the cooperative application. If so, does Company B have to be the Lead Applicant?

Preprocessing projects are eligible only if the applicant shares the same parent company or governing body as the composting or digestion entity (i.e., they are vertically integrated), or is part of a cooperative agreement in which the composting or digestion entity is Lead Participant and meets all other requirements.

4. If the project has a short-term lease agreement, but has other properties in which the project could relocate to if needed, then is this project eligible for the grant?

The Organics Grant Program intention is to fund lasting infrastructure in California to divert organic material from landfill. In order to ensure the infrastructure will last, a legally binding long-term commitment is required for facilities on non-owned property. The location of the facility is critical to determine the diversion of material from landfill, 1550 Community Benefits, and other scoring criteria during the evaluation process.

5. Do small scale startup businesses qualify?

Businesses are eligible applicants. Eligible applications will be competitively scored, and one of the scoring criteria is the amount of organic material diverted from landfills through composting or digestion. For more information, please refer to the “Eligible Applicants” and “Available Funds” sections in the Application Guidelines and Instructions.

6. Given the collapse of the recycle market and given the fact that the goal of this grant program appears to be the diversion of material to landfills, is it not realistic and reasonable to provide the broadest definition to the terms, “green material” and food material”?

For CalRecycle’s Organics grants, please refer to the regulatory definitions of green material and food material from 14 CFR, Division 7, Chapter 3.1 Section 17852 below:

(20) “Food Material” means a waste material of plant or animal origin that results from the preparation or processing of food for animal or human consumption and that is separated from the municipal solid waste stream.  Food material includes, but is not limited to, food waste from food facilities as defined in Health and Safety Code section 113789 (such as restaurants), food processing establishments as defined in Health and Safety Code section 111955, grocery stores, institutional cafeterias (such as prisons, schools and hospitals), and residential food scrap collection. Food material does not include any material that is required to be handled only pursuant to the California Food and Agricultural Code and regulations adopted pursuant thereto.

(21) “Green Material” means any plant material except food material and vegetative food material that is separated at the point of generation, contains no greater than 1.0 of percent physical contaminants by dry weight, and meets the requirements of section 17868.5. Green material includes, but is not limited to, tree and yard trimmings, untreated wood wastes, natural fiber products, wood waste from silviculture and manufacturing, and construction and demolition wood waste. Green material does not include food material, vegetative food material, biosolids, mixed material, material separated from commingled solid waste collection or processing, wood containing lead-based paint or wood preservative, or mixed construction and demolition debris. Agricultural material, as defined in this section 17852(a)(5), that meets this definition of “green material” may be handled as either agricultural material or green material.

7. I wanted to know if our project would be feasible under this grant program before applying. We are an urban forest management company that works in over 200 California municipalities. We are in charge of almost all of the green waste from tree trimming and removals. Would a mulch or biochar processing project be fundable under this grant program?

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC).  Projects which chip and grind materials into mulch, but do not compost them, are not eligible. Projects making biochar are also ineligible.

8. Can grant funds be used to purchase organics collection bins? The material is currently being discarded as trash, however if we could secure funding for bins, we could collect the organic materials (food waste) separately and have it composted offsite by our waste hauler in Southern California.

Containers for the collection of feedstocks are not eligible for the Organics Grant Program. For more information, please refer to the “Ineligible Costs” section in the Application Guidelines and Instructions.

9. I am a Food Service Director for a School District in Northern California and I am considering applying for the Organics Grant Program to fund a project that would include establishing a district-wide compost program and district farm. Does this sound like a viable project for this funding source?

Eligible projects include composting or digestion of green materials or food materials that would otherwise go to landfill disposal or be used as alternative daily cover (ADC). In addition, school districts (K–12) are not eligible applicants for this grant cycle. For more information, please refer to the “Eligible Applicants” section in the Application Guidelines and Instructions.

10. Are pilot programs eligible under this program?

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC). While pilot projects are eligible, applications will be competitively scored, and one of the scoring criteria is the amount of organic material diverted from landfills through composting or digestion. For more information, please refer to the “Project Requirements” and “Eligible Projects” sections in the Application Guidelines and Instructions.

11. Could this grant help fund the construction of a dishwashing room and the initial purchase of reusable clamshells/plates/cups, etc. to kick off a new program?

No.  Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC).

However, CalRecycle will be administering a Pilot Reuse Grant Program that will be implemented in 2020. For more information, please refer to the Pilot Reuse Grant Program webpage, which includes contact information.

12. The solicitation does not specifically mention sewage sludge / wastewater biosolids. In what instances is sewage sludge / biosolids an eligible feedstock?  What if it is currently being used as alternative daily cover? What if it is being currently landfilled? What if it is being disposed of in another manner?

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative daily cover (ADC). Projects which compost or digest only sewage sludge and biosolids are not eligible. However, projects that co-digest eligible landfill-diverted food or green waste as a feedstock may include further processing of the resulting digestate or biosolids.

13. Is wood waste considered “Green Material” for net tons diverted from a landfill?

For CalRecycle’s Organics grants, please read the regulatory definition of green material from 14 CFR, Division 7, Chapter 3.1 Section 17852 below:

(21) “Green Material” means any plant material except food material and vegetative food material that is separated at the point of generation, contains no greater than 1.0 of percent physical contaminants by dry weight, and meets the requirements of section 17868.5. Green material includes, but is not limited to, tree and yard trimmings, untreated wood wastes, natural fiber products, wood waste from silviculture and manufacturing, and construction and demolition wood waste. Green material does not include food material, vegetative food material, biosolids, mixed material, material separated from commingled solid waste collection or processing, wood containing lead-based paint or wood preservative, or mixed construction and demolition debris. Agricultural material, as defined in this section 17852(a)(5), that meets this definition of “green material” may be handled as either agricultural material or green material.

14. Regarding “lead participants,” Agency A is a public regional agency (Waste Management Authority) whose property hosts a MRF, landfill, and composting operation. Company B is a private company that operates the composting facility on Agency A’s property. Company C is a private company that will apply for the ORG4 grant to develop, own, and operate an organics decontamination system on Agency A’s property. Decontaminated organics will be diverted from Agency A’s landfill to the composting facility operated by Company B. Can Company C be the Lead Participant for the grant even if it’s not doing the composting?  If not, can Agency A be the Lead Participant since it owns & directs the composting site?

For a stand-alone preprocessing project to be eligible, the lead applicant must be the same entity that will be composting or digesting the preprocessed material. This means that the lead applicant must be either vertically integrated, or that it must share the same parent company or governing body.

15. Is a composting facility that diverts dairy manure from local dairies to make compost using static, aerobic piles, that is then fed to worms in aerobic digesters eligible for this grant?

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of green materials or food materials that would otherwise go to landfill disposal or are used as alternative     daily cover (ADC).  Consequently, projects which compost or digest dairy manure are not eligible unless the project is also digesting or composting eligible landfill-diverted food or green waste. For more information, please refer to the “Project Requirements” and “Eligible Projects” sections in the Application Guidelines and Instructions.

16. Would development of a small-scale community compost hub fit in the parameters?

Eligible projects are those that construct, renovate, or expand facilities to increase in-state infrastructure for the composting or digestion of organics into compost, soil amendments, fertilizers, biofuels, or bioenergy. Eligible projects must result in permanent, annual, and measurable increases in the quantity (tons) of green materials or food materials, newly diverted from landfill disposal or ADC use in California, that are either composted or digested. Small-scale projects are eligible.  However, all eligible applications will be competitively scored, with one criterion being the amount of organic material diverted from landfills through composting or digestion.  CalRecycle will be opening a new grant program soon that is aimed at community composting. For more information, please see The Community Composting Grant Program  webpage and sign up for the Community Composting Grant Listserv to stay informed on the criteria, project requirements, and timing of the upcoming application.

17. For a stand-alone preprocessing project (Company A, Site Y), is the project eligible if the compost facility (Site Z) is owned 50 percent by Company A and 50 percent by Company B when Company B owns no part of the pre-processing project (Site Y)?  Company A and Company B only share ownership of Site Z, the composting facility.

For a stand-alone preprocessing project to be eligible, the lead applicant must be the same entity that will be composting or digesting the preprocessed material.  This means that the lead applicant must be either vertically integrated, or that it must share the same parent company or governing body.  The stand-alone preprocessing project would be eligible if the owner of the preprocessor owns 50 percent or more of the composting facility.

18. In the Application Guidelines and Instructions, under “Facilities on Non-Owned Property,” it states that “applicants that want to establish facilities or expand existing facilities on property not owned by the applicant must prove a legally binding long-term commitment.”  For the purposes of this grant, what do you define as a minimum long-term commitment (e.g., two years, five years, etc.)?

A long-term commitment is one that covers at least the length of the Grant Term, but ideally would cover the life of the facility.

19. Our project is essentially a proof-of-concept pilot that demonstrates the viability of a community food waste drop-off program.  However, as a feasibility demonstration program, this does not seem like the infrastructure development program envisioned with ORG4.  Please comment and provide guidance on other sources of state funding if applicable.

Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of green materials or food materials that would otherwise go to landfill disposal or be used as alternative daily cover (ADC).  While pilot projects are eligible, applications will be competitively scored, and one of the scoring criteria is the amount of organic material diverted from landfills through composting or digestion.  For more information, please refer to the “Project Requirements” and “Eligible Projects” sections in the Application Guidelines and Instructions [link to PDF].

CalRecycle will be opening a new grant program soon that is aimed at community composting.  For more information, please see the Community Composting Grant Program webpage and sign up for the Community Composting Grant Listserv [link to https://www2.calrecycle.ca.gov/Listservs/Subscribe/160] to stay informed on the criteria, project requirements, and timing of the upcoming application.

20. Will projects that divert organics from landfill into animal feed be considered for this program?

Animal feed is not eligible under the Organics Grant Program.

21. Will a project involving the conversion of food waste to black soldier fly protein be an acceptable outcome?  Black soldier fly protein is used as a feed ingredient and as a sustainable alternative to wild caught fishmeal.

Animal feed, including black soldier fly protein, is not eligible under the Organics Grant Program.

22. Regarding the definition of ‘rural’: can a project’s rural/non-rural determination be made at a more local level than county?  If not, projects in rural areas of large, non-rural counties may be penalized.

For purposes of the Organics Grant Program, “rural” is defined in statute (Public Resources Code 40184) as a county annually disposing no more than 200,000 tons of solid waste.  To determine if the County where the facility is located disposes less than or equal to 200,000 tons of waste in a year, applicants must generate a Single-year Countywide Origin Detail Disposal Reporting System. 

23. We have a project that is located near an AB 1550 priority population, but not within that population.  We would still like to support the nearby (greater than 2 miles away) AB 1550 priority population.  Please describe to what extent there could be a scoring benefit if our project were to provide benefits to a nearby AB 1550 priority population area even if our main project site is not located directly within that area.

A project not located in, or adjacent to, an AB 1550 community may be eligible for up to five bonus points by submitting a Community Benefits Agreement with an AB 1550 community, as long as that AB 1550 community shares a nexus with the project (e.g., it is located along a trucking route, or is the site of waste generation).

24. Funds from another government agency are being asked for the same project.  However, the feedstock used for the project includes other types of feedstock rather than just residues originated from California-generated waste that was otherwise going to landfill.  In this case, how could we proceed to be eligible for obtaining a CalRecycle Organics Grant?

Projects can utilize funding from other sources and differentiate the feedstock used as well.  However, application scoring will only consider the California-generated green materials or food materials diverted from landfill disposal or alternative daily cover (ADC). 

25. What is considered green and food material?  If a sludge that is routinely disposed of in a landfill is used as a feedstock in the project for which funds are being asked, is this project eligible for obtaining a CalRecycle Organics Grant?

Sludge is not an eligible feedstock for the purposes of CalRecycle’s Organics grants.  Please refer to the regulatory definitions of green material and food material from 14 CFR, Division 7, Chapter 3.1 Section 17852 below:

(20) “Food Material” means a waste material of plant or animal origin that results from the preparation or processing of food for animal or human consumption and that is separated from the municipal solid waste stream. Food material includes, but is not limited to, food waste from food facilities as defined in Health and Safety Code section 113789 (such as restaurants), food processing establishments as defined in Health and Safety Code section 111955, grocery stores, institutional cafeterias (such as prisons, schools and hospitals), and residential food scrap collection. Food material does not include any material that is required to be handled only pursuant to the California Food and Agricultural Code and regulations adopted pursuant thereto.

(21) “Green Material” means any plant material except food material and vegetative food material that is separated at the point of generation, contains no greater than 1.0 of percent physical contaminants by dry weight, and meets the requirements of section 17868.5. Green material includes, but is not limited to, tree and yard trimmings, untreated wood wastes, natural fiber products, wood waste from silviculture and manufacturing, and construction and demolition wood waste. Green material does not include food material, vegetative food material, biosolids, mixed material, material separated from commingled solid waste collection or processing, wood containing lead-based paint or wood preservative, or mixed construction and demolition debris. Agricultural material, as defined in this section 17852(a)(5), that meets this definition of “green material” may be handled as either agricultural material or green material.

26. By virtue of our business model, collected biomass may be converted into an acceptable finished product either at a facility in California or in a nearby state.  Our relationships with these facilities are primarily fee-for-service based, where the downstream facility, as our subcontractor, processes feedstock owned by us into a finished product owned by us.  Is a toll processing contracting structure such as this suitable for out of state biomass processing, or would it only be permitted at in state facilities?  Note that we expect to use funds for preprocessing equipment and facilities within California, but the ultimate processing/conversion facility may be located out of state and under different ownership, but we hold title to the biomass/finished product at all times.  We do not anticipate expending grant funds at the out of state facilities. 

Biomass conversion is not considered an eligible project type for the Organics Grant Program, and projects must be located in California.  Eligible projects are the construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of California-generated green materials or food materials that would otherwise go to landfill disposal or be used as alternative daily cover (ADC). 

27. Our understanding is that grant-funded equipment has to be installed and utilized at the site(s) identified in the application.  However, if we have to procure a shredder truck which will be needed at multiple client locations (on-site processing), then is it considered an eligible expense?  In this example, the shredder truck will be remotely pre-processing feedstock to be delivered to the applicant facility.
Mobile preprocessing equipment is eligible.  However, the lead applicant must be the same entity that will be composting or digesting the preprocessed material.  This means that the lead applicant must be either vertically integrated, or that it must share the same parent company or governing body. In addition, all real and personal property, including equipment and supplies, acquired with grant funds shall be used by the grantee only for the purposes for which CalRecycle approved their acquisition for so long as such property is needed for such purposes, regardless of whether the grantee continues to receive grant funds from CalRecycle for such purposes.

28. Can we apply for funding for a project which would fall under the ‘research’ permitting exemption which, per permitting regulation, may not technically be a permanent facility? 

While research permitted projects are eligible, all facilities must be permitted through the Grant Term.  Applications will be competitively scored, and one criterion of scoring is the amount of organic material diverted from landfills through composting or digestion.  Another criterion of scoring is Experience and Project Viability. For more information, please refer to the “Project Requirements” and “Eligible Projects” sections in the Application Guidelines and Instructions. Please also refer to the Scoring Criteria.

29. We are located in a California city that borders Nevada and all of our California-generated materials go to Nevada landfills or one of two composters in the Nevada region.  While the materials diverted would not be diverted from a California landfill, the materials will be diverted, nonetheless.  As there are no state barriers to GHG emissions, the GHG emissions reductions will still be made from our local composting project.  Is this eligible even though our materials are currently brought to the nearest landfill, which is out of state in Nevada?

Eligibility for the Organics Grant Program requires projects to be located in California and result in new diversion of California-generated green or food materials from landfill disposal or alternative daily cover (ADC) use in California.  A project resulting in new diversion from a Nevada landfill is ineligible.

Funding

1. We are wondering whether the grant has to be for the full amount of $3 million or if it can be a lower amount?

$3 million is the maximum grant award amount, and there is no minimum. The amount of grant funding requested must match the eligible expenditures in the application budget sheet.

2. When does the FY 2018–2019 begin and end, since the bulk of the funding appears to be available then? When does the FY 2019–2020 begin and end?

The fiscal years refer only to the sources of money allocated during each year from the Greenhouse Gas Reduction Fund (GGRF).  Cycle 4 Organics Grant Program (ORG4) awarded projects begin when the involved entities execute the grant agreement. All ORG4 grants end on April 1, 2022. For more information, please refer to the “Timeline” section in the Application Guidelines and Instructions.

Application

1. What is the appropriate contact information at the top of the document for our Letter of Commitment, Letters of Support, etc. in response to Organics Grant Program FY 2018–19 and 2019–20 (ORG4)?

Letters of Commitment and Letters of Support must be on official letterhead and may be address to CalRecycle.  The letters should be uploaded with the application and do not need to be mailed.  The signature block should include the name and the signature of the authorized signatory.

2. On the Work Plan, are not all tasks “Grant related” as this project is requesting a grant?  Or, does this only refer to the Progress Reports and other grant requirements?  Or, only tasks the grant is funding (i.e., equipment procurement and construction?

The Work Plan should include all activities required to complete the project.  Some of those actives may be funded by other sources.  Grant-related tasks are activities funded by the CalRecycle grant, activities installing or constructing CalRecycle grant funded items, or activities directly related to successful composting or digestion of diverted food or green waste.  Tasks in the Work Plan should correlate with specific categories and line items in the Budget.  We suggest applicants submit detailed Budgets, clearly indicating which entities intend to fund all line items associated with the project.

3. Is there any page limit on the Narrative Proposal?

The Narrative Proposal does not have a page limit.  However, each section in the Narrative Proposal has a 4,000-character limit, and all sections must have a response.

4. Are financial statements required for the application?

Financial statements are not required application documents for the Organics Grant Program, Cycle 4 (ORG4).

5. I would like to know what the application process is and what is required to include.

Please refer to the “Application Instructions” section in the Application Guidelines and Instructions, located on the Organics Grant Program Notice of Funds Available webpage.  The required application documents are located in the Grant Management System (GMS).

6. In the Organics Grant Guidelines, it does not mention the CalRecycle General Checklist 669 as a required document, although that form was required in past years.  Can you confirm that this form is not needed this year?

The General Checklist of Business Permits, Licenses and Filings (CalRecycle Form 669) is not a required application document for the Organics Grant Program, Cycle 4 (ORG4).

7. The facility is not located in a priority population.  However, we can demonstrate that the majority (over 50 percent) of the tons are sourced from priority populations and the operation is providing direct benefits to those priority populations; therefore, those locations (where tons are collected) can be used to complete the tables in “Waste Diversion and Utilization” in the Community Benefits Worksheet.  If our operations have discovered there is a community need to reduce noise, as an example, and will be constructing and investing in significant noise mitigation strategies, can those benefits be added to Step 3 of the “Waste Diversion and Utilization” in the Community Benefits Worksheet?  If so, can we be provided with a sheet that allows us to include those additional benefits? 

Projects that divert a majority (over 50 percent) of the tons sourced from a landfill or landfills located within an AB 1550 community meet Step 1: Identify the Priority Population(s) of the Community Benefits Worksheet. Community needs, such as reducing noise, may be addressed in Step 2: Address a Need of the Community Benefits Worksheet, and in the “Community Benefits” section of the Narrative Proposal. For Step 3: Provide a Benefit, projects cannot claim a benefit when the project is diverting waste material from one AB 1550 community into another AB 1550 community. 

Alternative or additional benefits cannot be added to the Community Benefits Worksheet. The actions listed in the question above may be addressed in the “Community Benefits” section of the Narrative Proposal.

8. If the facility is not located in a priority population, is it possible to still apply for the bonus points “Community Benefits Agreement” where the facility will demonstrate 1) clear and ongoing communication with the facility and its neighbors, actions the reduce facility impacts, monitoring and complaint reporting and 2) other community benefits to a) nearby priority populations and/or b) priority populations where the waste materials are collected?

If the facility is not within or adjacent to an AB1550 community, the agreement may be with an AB 1550 community that is directly impacted by the project, such as along truck routes, etc.

9. For the Community Benefits Agreement, can the agreement be between the City, or other regulatory authority, with residents of an AB 1550 community and the applicant?  What if no community group representing the AB 1550 community exists? 

The Community Benefits Agreement must be signed by the project applicant and a group representing residents of a priority population (AB 1550 community) surrounding the facility. If no such group exists, it may not be possible for a project to obtain bonus points for having a signed Community Benefits Agreement. A city or local government should only sign the agreement if it is the applicant. 

10. Does a Community Benefits Agreement count if it is with a community that is not an AB 1550 community?  For example, the project is not located within or near an AB 1550 community yet has a benefits agreement with the surrounding community.

The Community Benefits Agreement must be with an AB 1550 community sharing a nexus with the project (e.g., along a trucking route, as the site of waste generation). If the project is located within or adjacent to an AB 1550 community, the Community Benefits Agreement must be a neighboring (adjacent) community. If the project is not located within or adjacent to an AB 1550 community, the Community Benefits Agreement must be with an AB 1550 community sharing a nexus with the project (e.g., along a trucking route, as the site of waste generation).

11. For rural projects, will a Community Benefits Agreement be eligible for all five bonus points if the community is not an AB 1550 community, but located within the rural community?

A rural community is not the same as an AB 1550 community.  Projects located in rural counties (defined for this program as a county with less than 200,000 tons of disposal per year) will be given priority funding in order to ensure that at least one rural project is funded. If the project is not located within or adjacent to an AB 1550 community, the Community Benefits Agreement must be with an AB 1550 community sharing a nexus with the project (e.g., along a trucking route, as the site of waste generation).

12. If the applicant is a corporation, is it appropriate to submit a Letter of Commitment, rather than a resolution?

A company that has a governing body may submit a resolution.  Or, some publicly held businesses or private companies with a governing body may submit a Letter of Commitment under the condition that the signatory is an individual authorized to contractually bind the applicant for the conditions of the grant award.  For more information, please refer to the “Resolution” and “Letter of Commitment” sections in the Application Guidelines and Instructions.

13. In the Application Guidelines and Instructions, it states, “The Supplemental Business Information is an optional document and will not be scored as part of your application. Completing this document may help CalRecycle provide your company with business assistance.”  It refers to a “document,” but I do not see a template or instructions in the online application documents.  Can you provide information about what should be included as Supplemental Business Information?

A fillable Supplemental Business Information document is now available in the Application Documents section of the Summary tab. 

14. Are the ‘Community Benefits Worksheet’ and the ‘Community Benefits Agreement’ two separate documents or the same thing?

The Community Benefits Worksheet and Community Benefits Agreement are two separate documents.  

The Community Benefits Worksheet is a required application document that is used to determine whether the project meaningfully addresses an important community need, and whether it provides direct, meaningful, and assured benefits to priority populations.  The Community Benefits Worksheet is available in the Application Documents section of the Summary tab in the Grants Management System. 

The Community Benefits Agreement is an optional application document eligible for up to five bonus points. The agreement must be signed by both the applicant and the group representing the residents of an AB 1550 community surrounding the facility.  The agreement shall include, at minimum: a description of clear and ongoing communication between the facility and its neighbors; actions that will be taken to reduce facility impacts, including litter and odors; monitoring and complaint reporting protocols; as well as other community benefits (e.g., free compost or mulch, financial assistance, etc.).

15. The instructions reference a ‘Budget template’ and has an example table.  Is there a separate excel file template to be used to meet this requirement? If so, where is it located?

The Budget template is available in the Application Documents section of the Summary tab in the Grant Management System.

16. Can CalRecycle provide a sample of what a Letter of Commitment should look like?
Resolution and letter examples are available on the CalRecycle website. 

CalRecycle staff is available to review your draft letter to ensure that it meets the requirements of the Organics Grant Program. You can send your draft letter to Grant.Assistance@CalRecycle.ca.gov.

17. In the Site tab there is a field that must be filled called “Site Name.”  Is the site name the same as the “Applicant name”?

No.  The site name is the name of the facility in which the proposed grant project will be located. This name may be different from the applicant name.

18. In the Narrative Proposal, regarding question 5 of the Community Benefits section, is it necessary to inform which institution will be giving the industry-recognized credential?

Training programs, in regard to community benefits, must be industry-recognized.  Please include the institution or entity providing the training program.

19. In the Community Benefits document, under Step 1, it indicates that “for projects that divert waste from landfills, the project location may be determined by the source of the majority of the waste.”  Does “project location” mean the numerous clients that originate waste and locations where waste is diverted from landfills?  If so, then does “majority of the waste” mean certain percentage minimums (i.e., less than 50 percent)?

With regards to Step 1: Identify the Priority Population(s) in the Community Benefits Worksheet, project location refers to the physical location of the compost or digestion facility.  Project location may be determined by the location of the landfill in which the majority of the waste is being diverted.  Majority of waste equates to the eligible feedstock that constitutes more than 50 percent of waste being diverted from landfill in an AB 1550 community. 

20. If submitting a cooperative application, wherein composting is a joint activity, is only one application required for Company A (Lead Participant) and Company B?  We’re assuming that Company B will be listed as an additional location. 

One application should be submitted if two partnering entities are submitting a cooperative application where one entity will be the lead and the other entity will be a partner. If grant funds are going to both companies then both companies should be listed in the Applicant tab of the application with Company A marked as the lead.  If grant funds are not going to both companies then the additional location only needs to be listed in the Site tab. 

21. We have a scenario wherein our future facility is not yet built; it is currently at the permitting phase.  However, a critical role of this facility will be diverting organic waste from landfills and using a digester.  Our timeline shows that this digester and related equipment will need to be purchased by late Fall of 2020.  As such, can we submit an application under digestate for this grant cycle? 

Applicants are required to provide proof that they are in direct communication with the appropriate permitting agencies, and that they have made adequate progress towards obtaining the required permits in order to be eligible for the grant. Please see the Application Documents section of the Application Guidelines and Instructions for additional information. Awarded projects are required to complete the California Environmental Quality Act (CEQA) process within three (3) months of the award date or face possible grant termination.

Eligible projects include construction, renovation, or expansion of facilities to increase in-state infrastructure for the composting or digestion of California-generated food materials or green materials.  Digestate is not an eligible feedstock. 
Awarded grant projects must be completed (equipment purchased, installed, and processing) by the April 1, 2022. Grant expenditures are only acceptable after the grantee receives their Notice to Proceed and by the end of the Grant Term.

22. In the Application Guidelines and Instructions, under ineligible costs, it says that “the purchase of retrofitting of vehicles or containers for collection” is not eligible.  This sentence is very confusing.  Is it saying, “the retrofitting of vehicles or containers,” or is it saying, “the purchase of vehicles for collection…”?  Can you please clarify what you mean here?

This is a typo in the Application Guidelines and Instructions.  For purposes of the Organics Grant Program, the purchase or retrofitting of either vehicles or containers for the collection of feedstock is considered an ineligible cost. Eligible expenditures are infrastructure costs and not expenses associated with the collection of feedstock material.

23. Regarding the Work Plan, is the box that says, “Grant Related” only to be checked for tasks that are directly funded by the CalRecycle grant, or all tasks that fall within the grant term?  For example, Progress Reports per the Procedures and Requirements are a grant-related task; however, unless the applicant requests indirect costs to cover this administrative work will not be funded by the grant.  Similarly, there may be some construction work that is grant related but covered by the applicant.  Would the Progress Report tasks in the Work Plan have the “Grant Related” box checked on the Work Plan, or not checked?

The “Grant Related” box should be checked in the Work Plan for all project items related to the grant, such as reporting, procurement, and installation of grant-funded equipment; or construction of grant-funded line items listed in the Budget. Tasks included in the Work Plan that do not require a checked “Grant Related” box include items not funded directly by the grant, or tasks being implemented within the project that will take place subsequent to grant-related items.

Greenhouse Gas Calculations

1. For preprocessing projects, will an alternative methodology be required, or will these projects use the end processer (e.g. composter or digester) to calculate GHG with the CARB approved FY 2018–2019 quantification method?

Pre-processing projects should use the ARB-approved quantification methodology for the selected eligible end-use, either anaerobic digestion or composting. Pre-processing projects are only eligible if the lead applicant is the same entity that will compost or digest the pre-processed material to make compost, soil amendments, fertilizers, biofuels, or bioenergy.  Applicants that propose eligible projects that cannot be calculated using the GHG quantification methodology must propose an alternative GHG quantification method. For more information on the alternative GHG quantification method procedure, please refer to the “Alternative Methodology Request and Process” section in the Application Guidelines and Instructions.

2. I am inquiring about the Alternative Greenhouse Gas Methodology Program.  I would like to see if our project qualifies.  Please let me know what information I can provide to better answer my question.

For more information on the alternative GHG quantification method procedure, please refer to the “Alternative Methodology Request and Process” section in the Application Guidelines and Instructions.

3. Is there a reason there is no in-vessel composter option in the CARB GHG reduction calculator? I am planning on using an in-vessel aerobic composter for my project. Is there a GHG reduction calculation methodology that CalRecycle recommends?

The California Air Resources Board states that the emission reduction factor (ERF) difference between an in-vessel aerobic composter and an aerated static pile (ASP) composting technology is very small. It is recommended that in-vessel aerobic composting systems should use the ASP ERF calculator unless the applicant can demonstrate better emissions reduction. If the proposed project is outside of the scope of the calculator, and the applicant would like to use an alternative methodology, please submit a request by Thursday, October 31, 2019. For more information, please refer to page 18 of the Application Guidelines and Instructions.