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Recycling Market Development Zone (RMDZ)

As the ability to recycle increases, new opportunities/markets for recycled materials are developed. The Recycling Market Development Zone (RMDZ) program is one fundamental step to creating these markets. Watch the video and take a look at the information below!

The RMDZ program provides:

  • Attractive loans with competitive rates and terms
  • Technical assistance
  • Free product marketing

What is the purpose of the RMDZ?

Starting or running a business using recycled-content materials or using creative methods to reduce waste that goes to the landfill can be a challenging proposition, but can be very successful and rewarding. The RMDZ program was created to provide low-interest loans to eligible businesses using secondary (post consumer or post industrial) waste materials to manufacture new products or that reduce the waste resulting from the manufacturing of a product.

Who is eligible?

  • Private, for-profit entities
  • Nonprofit organizations (except private schools)
  • Local government entities
    • Cities, counties, and cities and counties
    • Regional or local sanitation agencies, waste agencies, and joint powers authority

Eligible businesses must present projects that are innovative and transition the state from a disposable to a fully circular economy such as:

  • Projects that use recycled content to manufacture products that are also recyclable, or
  • Projects that use recycled content to manufacture products that have a lifespan of 10 years or more, or
  • Projects that recycle organics and other materials into high value recycled products
  • and provide jobs and community benefits.

How much money is available?

The amount of funding available in the RMDZ program varies, and is based on how many applications and projects are active and approved.

What can the RMDZ loan dollars be used for?

  • Machinery and equipment
  • Working capital
  • Real estate purchase
  • Real estate improvements
  • Refinancing of onerous debt (debt with high interest rates and/or short terms) that jeopardizes and causes a negative impact on the borrowers cash flow
  • Loan closing points

For more information on this program, please contact the City’s Economic Development Division at (661) 255-4347 or Environmental Services Division at (661) 286-4098, or visit the State of California RMDZ webpage.

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