Could the CIRCLE Act aid recycling rates?

In these deeply polarized political times, bipartisan actions can be a welcome and refreshing sight.

When such action is aimed at the United States’ recycling infrastructure, it becomes even more encouraging.

In July, Reps. Brian Fitzpatrick of Pennsylvania and Tom Suozzi of New York introduced the Cultivating Investment in Recycling and Circular Local Economies (CIRCLE) Act. The bill would establish a tax credit for up to 30 percent of investments in new and upgraded recycling infrastructure, including machinery, equipment or software to recycle plastic, paper, metals, glass and other materials.

Fitzpatrick is a Republican, Suozzi a Democrat, and they agree residential recycling in the U.S. needs a boost that also will ease the financial burden on local governments and taxpayers who typically bear the brunt of collection costs.

"When [bipartisan] action is aimed at the United States’ recycling infrastructure, it becomes even more encouraging.”

In addition to easing the tax liability on private entities making recycling investments, the bill gives municipalities eligibility for a rebate equal to the credit.

“We can’t talk about building a 21st-century economy without investing in 21st century recycling infrastructure,” Fitzpatrick says in a news release. “The bipartisan CIRCLE Act tackles this head-on, providing a new investment credit to help communities like ours in PA-1 modernize outdated systems, strengthen domestic supply chains and compete globally. It’s a fiscally smart, environmentally responsible solution and part of my broader effort to grow our local economies and protect our environment, our workforce and the future we owe our next generation.”

The Recycling Partnership (TRP), Washington, has been an advocate of the legislation, building a coalition of supporters, including organizations such as the Recycled Materials Association, the World Wildlife Fund and the Association of Plastic Recyclers and brands like Keurig Dr Pepper.

According to TRP, the tax credit could help return $8.8 billion in valuable materials to the U.S. economy for use in new packaging and products, create as many as 200,000 jobs, help governments and taxpayers save as much as $9.4 billion as fewer materials are landfilled or incinerated and provide more support for recycling in rural and urban communities.

Consider TRP’s own research from its “State of Recycling: Present and Future of Residential Recycling in the U.S.” report published last year, which claims only 21 percent of residential recyclables actually are captured for recycling, while 76 percent of residential recyclables are lost at the household level. The report also says only 43 percent of U.S. households participate in recycling programs.

Will the CIRCLE Act help raise recycling rates if enacted? The answer is unclear, but such percentages make it clear that building better recycling infrastructure is an outcome worth pursuing. On that, we can all agree.