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Home My WebLink AboutRes 96-54 Inclusion of Certain Areas Riverside Recycling Market Development Zone 41411 I. x PALM DESERT REDEVELOPMENT AGENCY INTEROFFICE MEMORANDUM DATE: August 22, 1996 TO: THE CITY MANAGER, HONORABLE MAYOR AND CITY COUNCIL FROM: PAUL SHILLCOCK, ECONOMIC DEVELOPMENT MANAGER SUBJECT: PALM DESERT INCLUSION IN THE RIVERSIDE RECYCLING MARKET DEVELOPMENT ZONE Recommendation: By Resolution, request inclusion of certain areas of Palm Desert in the Riverside County Recycling Market Development Zone. Background: Between the years 1992 and 1995, 40 Recycling Market Development Zones (RMDZs) were designated by the State of California. These zones include 225 local jurisdictions and represent 66% of the state's population. When the Riverside County RMDZ was created in 1993, the City of Palm Desert did not request inclusion and only Coachella, Cathedral City and Indio are currently participating Coachella Valley Communities. The RMDZs were designated as an Economic Development tool to encourage, through limited available incentives, manufacturing or assembly businesses to utilize recycled materials in their production process. This in turn will impact demand for recycling and recycled materials and create jobs in assembly or manufacturing industries. Since all RMDZs were approved between 1992 and 1995, the only way for a community to obtain a designation and be able to offer the incentives is through the expansion of an existing zone. Riverside County will consider applications for inclusion in their RMDZ at this time. In light of our interest in the development of high-tech industry and the constantly increasing use of recycled materials (see attached article) in the manufacture of high-tech products, staff recommends approval to apply for inclusion in the Riverside County RMDZ for the specific geographic areas of: Cook Street Industrial Area; Private property bordering on Cal State Campus site to the north; Industrial zoned land north of Gerald Ford Drive (between Monterey Avenue and Portola Avenue); Washington Street Business Park (Washington Street/Country Club Drive). CITY COUNCIL ACTION: REVIEWED AND CONCUR PPROVED / \._ �ic IVED OTHERDENIED PAUL SHILLCOCK MEETING DATE Economic Development MA•r r Attachment: as noted '-,RIFTED BY • y nab. onPia t. o ,rt u'laxk'a Offi.ce RIVERSIDE COUNTY 414110 EDA RECEIVE® AUG - 5 1996 ECONOMIC DEAGENCYT PALM DESERT REDEVELOPMENT AGENCY July 30, 1996 Mr.Paul Shillcock Economic Development Manager City of Palm Desert 73510 Fred Waring Drive Palm Desert,CA 92260 Dear Mr. Shillcock: RE: RIVERSIDE COUNTY RECYCLING MARKET DEVELOPMENT ZONE Each city in the county was previously offered the opportunity to be included in the Riverside County Recycling Market Development Zone(RMDZ)when it was created in 1993.We have recently received several requests from cities wishing to participate in the State Waste Management Board designated RMDZ. As a result of these recent requests,the county and the existing zone jurisdictions are considering a zone expansion. By participating in the RMDZ,cities and counties are able to offer two primary economic development incentives to companies using recycled materials in their manufacturing process. • One incentive is the ability to take advantage of a State Waste Management Board loan program for companies locating within the zone that produce a value added product from recycyled materials; • Also available is a Southern California Edison(SCE)rate reduction based on a sliding scale for a period of three years, provided that the company meets the minimum usage threshold and is not currently within a SCE service area. Currently,the cities of Hemet,San Jacinto,Moreno Valley,Perris,Blythe,Coachella,Cathedral City,Indio and the County of Riverside are participating in the Riverside County RMDZ. The State of California is no longer creating new Zones. Therefore,any cities within the county wishing to offer the incentives described above as a means of attracting and retaining manufacturing firms,must apply for expansion of the Riverside County RMDZ. In order to participate in the RMDZ,your city must prepare and submit the following items: 1. A resolution (sample attached) from your city requesting the addition of city territory into the Riverside County Recycling Market Development Zone; 2. A legal description of the area within the city that you are requesting to be included in the zone; 3. A CEQA Environmental Assessment addressing any impacts in the proposed area. Economic Development • Redevelopment • Housing • Private Industry Council • Community Development 3499 Tenth Street • Riverside,CA 92501 • (909)275-8916 • Fax(909)275-6686 • S. IND Mr.Paul Shillcock July 30, 1996 Page 2 These applications will be reviewed and must be approved unanimouslybythe countyas well as those cities PP PP currently participating in the RMDZ. I have enclosed information further describing the RMDZ,as well as information on the RMDZ loan program incentive mentioned above. Also included is a copy of a sample resolution and a map of the current zone for your review. Applications should be received by the Riverside County Economic Development Agency by August 31, 1996. Should you have any questions,or require further information,please contact me at(909)275-6693. Sincerely, Brad S. Alewine Development Specialist cc. Kevin Palmer Sharon Merritt Lori Moss 1410 400 Recycling Market Development Zone Facts I. RMDZ Project Background: g The State of California Integrated Waste Management Board(CIWB)goal of creating 40 RMDZs by 1996 was met a year earlier than anticipated as a result of such favorable interest and response. The zones were created through a competitive process in four cycles. In 1992,the Board designated 12 RMDZs,followed by 5 in 1993 and 12 in 1994. The final 11 RMDZs were designated in February of 1995. There are now 225 local jurisdictions,including 66%of the state's population participating in the RMDZ program. Because only 40 of these zones were to be created and being that this goal has been achieved,the only option left for jurisdictions wishing to participate in the RMDZ program is to find aneighboringRMDZwilling to expand. As of January 1996,3 zones have expanded to include 11 additional jurisdictions. Currently, 11 more zones are working on future expansions. II. The objectives of the RMDZ program are as follows: 1. Encourage job creation and increased private investment by manufacturers locating within the RMDZ; 2. Market to manufacturers requiring project financing within the RMDZ the CIWB RMDZ revolving loan program; 3. Increase the use of recycled materials by manufacturers located within the RMDZ; 4. Attract new recycling-based businesses to Riverside County to locate within the RMDZ; 5. Encourage the expansion of existing businesses that utilize recycled material. III. The Riverside County Recycling Development Zone(RCRMDZ) The Riverside County Recycling Market Development Zone(RCRMDZ)was formed in 1993 with the cities of Hemet,San Jacinto,Moreno Valley,Perris,Coachella,Cathedral City,Indio and the County of Riverside agreeing to participate. The RCRMDZ Market Development program is designed to increase the use of recycled feedstock,stimulate new investment and create new jobs in the Zone. RCRMDZ will encourage the expansion of existing businesses and will recruit businesses that use targeted feedstock(paper,glass,green/wood waste, plastic and inert solids) to relocate and/or expand into the RMDZ, and provide site location assistance to the businesses. Each entity that is a part of RCRMDZ will work together in a complementary and cooperative manner to provide a region wide Market Development service to encourage creation and retention of jobs as well as to support the philosophy of recycling. In addition to supporting the nationwide ities program,Ford is a stakeholder in SO • 10 alitions including Colorado Springs, Colorado;Chicago,Illinois;Louisville, Kentucky;the Florida Gold Coast,and upcom- ing Clean Cities in Richmond,Virginia and New jersey. About 94 percent of all cars and trucks scrapped in the United States are dismantled and shredded and 75 percent of their weight content is recycled. "With our recycling initiatives,we are going after the other 25 percent of the car that currently isn't in the recycling chain,includ- ing plastics,textiles,rubber,adhesives,paint, FORD'S RECYCUNG (Continued from page 3) glass and composites,"said Susan Day,Ford's recycled into new luggage racks and door padding. The program will use nearly 2 million 'Throw-aways' recycl ew car parts Some familiar=nurserp,oa s an the9e9a,b.9.,,. pounds of recycled plastic each year,saving (1 , r`°"1kdac 4:47�r rr,� '°d with. approximately 500,000 pounds of post-consumer SODA 9on1ES: 4t47-- .., OW products from landfills. I W. r a+. " Novo Wimps Burs The company's policy to purchase recycled • e� materials if the price and performance are equal _ow ►! _ to nonrecycledgoods has encouraged manyof its t� cY g ." suppliers to offer recycled and recyclable parts A � •� :• and supplies. Ford may see longer term cost c e Tr reductions in its operations c&ales - . WAlER as a result of reduced USED TIRES: BTQES: I x r" Brake pedal pads i 8: Splash shields • scrap materials,according to spokesperson Karen v• aK. Holtschneider. n or:.t Ford's work with Michelin is an example of •' - i the auto maker's resolve to work with its suppli- s . ers on recycling issues. Each year,approximately Diagram illustrating Ford's recycling of used automobile parts. 250 million tires are discarded and less than 5 percent are recycled. To reduce this problem, Ford teamed up with Michelin to develop tires vehicle recycling coordinator."When people that use up to 10 percent recycled rubber tire think about recycling,they usually think about content. Ford and Michelin estimate that recy cling scrap tires could spare 30 million tires from soda bottles and newspapers,"Day said. "At going to landfills each year. FORD'S RECYCLING PROGRAM INFLUENCES Ford,we are looking for new,creative,recycled g g OTHERCustomers have noticed Ford's interest in BUSINESSES materials that meet our tough performance stan- The vast U.S.car market does more than dards and reduce the amount of waste sent to recycling and have taken time to comment pollute the air—it also overwhelms landfills. our landfills each year." and make suggestions to the company at Like all manufacturers,Ford Motor Company The used computer and telephone housings environmental expos and other forums. "No wants new cars on the road. However,Ford are collected from several North American con- longer does the public see Ford as simply a company that makes cars,"said Holtschneider. builds them with materials such as recycled corn- sumer and business distribution centers. The " puter and telephone housings,plastic bottles and plastics are separated.ground and re-pelletized They see we are trying to minimize the effects rubber tires. Ford's recycling program is a first for use in grilles for new F-Series pickup trucks of our business on the environment. One-half of for the industry and works through a cooperative and Econoline vans. Plastic soda bottles are also the research at our Dearborn[Michigan] laboratory is devoted to environmental research." effort with some of its major material suppliers. (Continued on page 41