Code Section Group

Public Resources Code - PRC

DIVISION 30. WASTE MANAGEMENT [40000 - 49620]

  ( Division 30 added by Stats. 1989, Ch. 1096, Sec. 2. )

PART 3. STATE PROGRAMS [42000 - 42999]

  ( Part 3 added by Stats. 1989, Ch. 1096, Sec. 2. )

CHAPTER 22. Waste Diversion and Greenhouse Gas Reduction Financial Assistance [42995 - 42999]
  ( Chapter 22 added by Stats. 2014, Ch. 36, Sec. 19. )

42995.
  

For purposes of this chapter, the following terms have the following meanings:

(a) “Loan fund” means the CalRecycle Greenhouse Gas Reduction Revolving Loan Fund established pursuant to Section 42996.

(b) “Revolving loan program” means the CalRecycle Greenhouse Gas Reduction Revolving Loan Program established pursuant to Section 42997.

(Added by Stats. 2014, Ch. 36, Sec. 19. (SB 862) Effective June 20, 2014.)

42996.
  

(a) The CalRecycle Greenhouse Gas Reduction Revolving Loan Fund is hereby created in the State Treasury.

(b) Notwithstanding Section 13340 of the Government Code and Section 39718 of the Health and Safety Code, the funds deposited in the loan fund are hereby continuously appropriated, without regard to fiscal year, to the department for expenditure without regard to fiscal year.

(c) The sum of five million dollars ($5,000,000) is hereby transferred from the Greenhouse Gas Reduction Fund, established pursuant to Section 16428.8 of the Government Code, to the loan fund for the 2014–15 fiscal year and an additional five million dollars ($5,000,000) for the 2015–16 fiscal year to be used by the department for any of the following:

(1) To make loans pursuant to the revolving loan program.

(2) To pay costs necessary to protect the state’s position as a lender and creditor. These costs shall include, but are not limited to, foreclosure expenses, auction fees, title searches, appraisals, real estate brokerage fees, attorney’s fees, mortgage payments, insurance payments, utility costs, repair costs, removal and storage costs for repossessed equipment and inventory, and additional expenditures to purchase a senior lien in foreclosure or bankruptcy proceedings.

(3) To pay costs to administer the revolving loan program, upon appropriation by the Legislature.

(d) The Controller shall disburse moneys in the loan fund for the purposes of this chapter, as authorized by the department.

(Added by Stats. 2014, Ch. 36, Sec. 19. (SB 862) Effective June 20, 2014.)

42997.
  

(a) The CalRecycle Greenhouse Gas Reduction Revolving Loan Program is hereby established and shall be administered by the department.

(b) (1) The department shall expend the moneys transferred pursuant to subdivision (c) of Section 42996, and any additional moneys appropriated by the Legislature for the purposes of this subdivision, to provide loans to reduce the emissions of greenhouse gases by promoting in-state development of infrastructure or other projects to reduce organic waste or process organic and other recyclable materials into new value-added products. The moneys shall be expended consistent with the requirements of Article 9.7 (commencing with Section 16428.8) of Chapter 2 of Part 2 of Division 4 of Title 2 of the Government Code and Chapter 4.1 (commencing with Section 39710) of Part 2 of Division 26 of the Health and Safety Code.

(2) For a loan made pursuant to this subdivision, the department shall expend the moneys in the loan fund to provide loans to public and private entities for in-state infrastructure projects or other projects that reduce the emissions of greenhouse gases by any of the following:

(A) Organics composting.

(B) Organics in-vessel digestion.

(C) Recyclable material manufacturing.

(D) Activities that expand and improve waste diversion and recycling, including, but not limited to, food waste prevention.

(3) For purposes of this subdivision, eligible infrastructure projects that reduce greenhouse gas emissions include, but are not limited to, any of the following:

(A) Capital investments in new facilities and increased throughput at existing facilities for activities, such as converting windrow composting to aerated-static-pile composting to use food waste as feedstock.

(B) Designing and constructing organics in-vessel digestion facilities to produce products, such as biofuels, bioenergy, and soil amendments.

(C) Designing and constructing facilities for processing recyclable materials.

(4) For a loan made pursuant to this subdivision, both of the following apply:

(A) The terms and conditions of an approved loan shall be specified in a loan agreement and related documents between the borrower and the department. These terms and conditions shall include reporting requirements that include, but are not limited to, reporting the information specified in Section 16428.9 of the Government Code.

(B) The department shall approve only those loan applications that demonstrate the applicant’s ability to repay the loan.

(5) The department may establish additional requirements that it determines to be necessary or useful to achieve the revolving loan program’s objectives, including, but not limited to, ensuring repayment ability.

(Amended by Stats. 2016, Ch. 368, Sec. 12. (SB 859) Effective September 14, 2016.)

42998.
  

(a) The department may establish and collect fees to fund the costs of administering the revolving loan program, including, but not limited to, an application fee and loan closing points.

(b) Moneys collected by the department from loan repayments and fees shall be deposited in the loan fund. Loan repayments and fees include, but are not limited to, any of the following:

(1) Principal and interest repayments.

(2) Fees and loan closing points.

(3) Recovery of collection costs.

(4) Income earned on an asset recovered pursuant to a loan default.

(5) Moneys collected through foreclosure and other collection actions.

(Added by Stats. 2014, Ch. 36, Sec. 19. (SB 862) Effective June 20, 2014.)

42999.
  

(a) Any additional funds appropriated by the Legislature from the Greenhouse Gas Reduction Fund, established pursuant to Section 16428.8 of the Government Code, to the department shall be used to administer a grant program to provide financial assistance to reduce the emissions of greenhouse gases by promoting in-state development of infrastructure, food waste prevention, or other projects to reduce organic waste or process organic and other recyclable materials into new, value-added products. The moneys shall be expended consistent with the requirements of Article 9.7 (commencing with Section 16428.8) of Chapter 2 of Part 2 of Division 4 of Title 2 of the Government Code and Chapter 4.1 (commencing with Section 39710) of Part 2 of Division 26 of the Health and Safety Code.

(b) From moneys appropriated for purposes of this section, the department shall provide grants, incentive payments, contracts, or other funding mechanisms to public and private entities for in-state infrastructure projects or other projects that reduce the emissions of greenhouse gases by any of the following:

(1) Organics composting.

(2) Organics in-vessel digestion.

(3) Recyclable material manufacturing.

(4) Activities that expand and improve waste diversion and recycling, including, but not limited to, food waste prevention.

(c) For purposes of this section, eligible infrastructure projects that reduce greenhouse gas emissions include, but are not limited to, any of the following:

(1) Capital investments in new facilities and increased throughput at existing facilities for activities, such as converting windrow composting to aerated-static-pile composting to use food waste as feedstock.

(2) Designing and constructing organics in-vessel digestion facilities to produce products, such as biofuels, bioenergy, and soil amendments.

(3) Designing and constructing facilities for processing recyclable materials.

(d) In awarding a grant for organics composting or anaerobic digestion pursuant to this section, the department shall consider all of the following:

(1) The amount of greenhouse gas emissions reductions that may result from the project.

(2) The amount of organic material that may be diverted from landfills as a result of the project.

(3) If, and how, the project may benefit disadvantaged communities.

(4) For a grant awarded for an anaerobic digestion project, if, and how, the project maximizes resource recovery, including the production of clean energy or low-carbon or carbon negative transportation fuels.

(5) Project readiness and permitting that the project may require.

(6) Air and water quality benefits that the project may provide.

(e) To the degree that funds are available, the department may provide larger grant awards for large-scale regional integrated projects that provide cost-effective organic waste diversion and maximize environmental benefits.

(Amended by Stats. 2016, Ch. 368, Sec. 13.5. (SB 859) Effective September 14, 2016. Operative January 1, 2017, pursuant to Stats. 2016, Ch. 368, Sec. 17.)

PRCPublic Resources Code - PRC