REPORT TO COUNCIL
SUBJECT
Title
Action to Authorize the City Manager to Complete Negotiations and Execute a Third Phase Agreement for the Purchase of Renewable Energy with Zero Waste Energy Development Company, LLC, for Compliance with Senate Bill 1383
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure
Promote Sustainability and Environmental Protection
BACKGROUND
In 2016, California Senate Bill 1383 (SB 1383) was adopted, setting goals to divert organic waste from landfills to reduce greenhouse gas emissions. The final SB 1383 regulations require jurisdictions to:
* Provide organics collection services to residents and businesses
* Establish an edible food recover program
* Conduct education and outreach to the community
* Monitor compliance and conduct enforcement
* Procure recyclable and recovered organic products
The City has implemented measures towards achieving these requirements and is looking for a more cost-effective way to meet the procurement requirements for the recyclable and recovered organic products (procurement requirements). The procurement requirements are designed to help build markets for the products derived from organic recycling facilities. The California Department of Resources, Recycling and Recovery (CalRecycle) established annual procurement targets based on a city's 2021 estimated population multiplied by a 0.08 ton per capita factor. Santa Clara's annual recovered waste procurement target is 10,460 tons of organic waste based on a population of 130,746. The City of Santa Clara is required to meet this target as follows:
* 30 percent (3,138 tons) of the recovered waste target on or after January 1, 2023
* 65 percent (6,799 tons) of the recovered waste target on or after January 1, 2024
* 100 percent (10,460 tons) of the recovered waste target on or after January 1, 2025
The annual procurement mandates can be achieved with purchases of compost, mulch, electricity, or renewable fuel f...
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