Beverage Container Redemption Innovation Grant Program, Cycle 6 - Bag Drop

The Beverage Container Redemption Innovation Grant Program, Cycle 6 - Bag Drop, is administered by the California Department of Resources Recycling and Recovery (CalRecycle). The grant program was established pursuant to Senate Bill 101 and Assembly Bill 107 to expand California Refund Value beverage container redemption opportunities throughout the state through innovative recycling solutions. Specifically, the program focuses on supporting startup and infrastructure costs associated with bag drop recycling systems, which allow consumers to deposit eligible beverage containers in sealed bags or receptacles for redemption processing. The grant seeks to improve accessibility to redemption services in underserved areas and to modernize beverage container collection systems through scalable and consumer-friendly recycling models. The funding opportunity supports projects located within unserved convenience zones or areas without an existing redemption zone unless the applicant already operates the recycling center serving the zone or is the sole recycling center within the zone. Eligible projects include the establishment of new Bag Drop Recycling Centers certified under Section 2045 of the California Code of Regulations, as well as upgrades to existing recycling centers utilizing bag drop receptacles. A bag drop receptacle is defined as a recycling mechanism allowing consumers to drop off empty beverage containers in sealed bags, boxes, or similar secured receptacles for redemption. Funding is intended to cover startup and operational implementation costs associated with expanding redemption infrastructure and improving collection accessibility. A total of $22,000,000 is available for fiscal years 2023-24 and 2024-25. Individual grant awards must request a minimum of $500,000 and may request up to $2,500,000. Applicants may include costs related to administrative operations, education and outreach, media, materials, equipment, software tied directly to equipment, installation, shipping, and personnel. However, non-infrastructure costs such as permitting, outreach, personnel, and general administration are capped at 20 percent of the total grant request. Applicants are also required to provide supporting budget documentation, including quotes, estimates, bids, or permits for expenses exceeding $5,000. Failure to provide adequate documentation may result in disqualification. Eligible applicants include existing certified recycling centers and new recycling center businesses intending to become certified prior to issuance of the Notice to Proceed email. Organizational types eligible to apply include nonprofit organizations registered under sections 501(c)(3), 501(c)(6), or 501(c)(10), California cities and counties, Joint Powers Authorities, private entities and for-profit businesses, public colleges and universities, and qualifying tribal entities. Private entities must be authorized to conduct business in California and remain in good standing with applicable state agencies. Nonprofit organizations must additionally maintain registration with the California Department of Justice Registry of Charities and Fundraisers unless exempt. Joint Powers Authorities must submit signed agreements identifying participating members and confirming authority over solid waste management activities. Applications must be submitted through CalRecycle's Grants Management System. Applicants are required to complete several application tabs including summary information, participant details, budget entries, project site information, contacts, and uploaded documentation. Required application materials include the Application Certification, Budget, Narrative Proposal, Work Plan, Conditional Lease Agreement or proof of site control, Quotes, and Resolution or Letter of Commitment. Existing recycling centers must also provide current recycling center certification documentation. Applicants must maintain or adopt an Environmentally Preferable Purchasing and Practices Policy no later than the secondary due date. Electronic signatures are permitted if submitted through approved certified digital signature formats. The application timeline includes a Questions and Answers period ending May 27, 2026, with answers tentatively posted June 2, 2026. Applications are due June 23, 2026, by 11:59 p.m. through the Grants Management System. Secondary documentation, including resolutions and authorization documents, must be submitted by July 21, 2026. Conditional grant awards are tentatively expected in October 2026. The grant term begins upon issuance of the Notice to Proceed email and continues through April 1, 2028, which is also the deadline for final reporting and payment requests. CalRecycle requires quarterly reporting throughout the grant period and retains 10 percent of reimbursement payments until final approval of all reports and supporting documentation. Applications are reviewed for completeness, eligibility, and project viability. CalRecycle may conduct virtual interviews with applicants during the review process. If applications exceed available funding, priority consideration will be given to qualifying tribal entities, projects in rural convenience zones, projects serving unserved convenience zones, and applicants not previously awarded Beverage Container Redemption Innovation Grants. Remaining oversubscription determinations may be resolved through random selection. Questions regarding the grant program may be submitted to BevContainerGrants@calrecycle.ca.gov, while technical assistance regarding the Grants Management System may be directed to grantassistance@calrecycle.ca.gov or by phone at (916) 341-6375. The grant program is expected to operate as a recurring funding initiative based on previous RIG funding cycles and continuing state support for beverage container redemption infrastructure improvements.

Ensure all CalRecycle templates are used without alteration; Provide complete quotes and budget support for costs exceeding $5000; Confirm project location eligibility within unserved or no-zone convenience areas; Submit all required authorization documents by the secondary due date; Monitor Questions and Answers updates regularly for clarifications