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BACKGROUND The California Integrated Waste Management Act, (AB 939) passed in 1989, requires municipalities to divert 50% of its solid waste from landfills by December 31, 2000. In 1990, as a partial response to AB 939, Alameda County voters approved the Alameda County Waste Reduction and Recycling Act of 1990 which established a countywide goal of diverting 75% of all solid waste generated in the county by 2010. This act, commonly referred to as Measure D, also established the Source Reduction and Recycling Board (Recycling Board) as part of the Alameda County Waste Management Authority (Authority). The Authority was formed in 1976 as a public joint-powers agency comprised of the County of Alameda, each of the fourteen cities within the county, and two sanitary districts that also provide refuse collection and recycling services. The Authority is governed by a Board of Directors made up of elected officials appointed by each member agency. Councilmember Sullivan is the City's current representative on the Board. The Recycling Board is made up of five elected officials from the Authority and six professional experts in specified areas of waste reduction who are appointed by the Alameda County Board of Supervisors. Councilmember Sullivan also serves on the Recycling Board. The Source Reduction and Recycling Board and the Alameda County Waste Management Authority operate collectively as StopWaste.org. In addition to establishing the Recycling Board, Measure D established a funding mechanism for recycling programs based on a per ton surcharge at landfills or incinerator facilities. The current surcharge is approximately $7.50 per ton. A total of 50% of this revenue is required to be distributed to participating agencies for maintenance and expansion of municipal recycling programs. The remaining 50% is budgeted by the Recycling Board in prescribed areas of grants to non-profits, source reduction, market development, recycled products and administration. The City receives approximately $235,000 annually from Measure D. In addition to allocating Measure D revenue, the Authority maintains an agreement with the City and County of San Francisco requiring payment of and "Waste Import Mitigation Fee" to the Authority for use of capacity at the Altamont Landfill. Since entering into this agreement in 1994, the Authority has annually distributed approximately $1 million among it member agencies. Historically, these funds have been targeted to non- residential recycling or any new waste diversion programs. The City anticipates receiving $68,000 annually from this funding source. This past year, the Authority notified its agencies (Attachment 1) that it was establishing new criteria for receipt of this funding in FY2008/09. The criteria require an agency to meet four of five measures: . Establishment of a residential food scrap program . Adoption of a Civic Green building ordinance . Adoption of a 75% waste diversion goal Adoption Bay Friendly landscape guidelines Enactment of Commercial and Demolition Debris Ordinance Page 2 of 5