Litter Prevention and Recycling Grant Programs

The Code of Virginia provides for the following annual litter taxes to be collected and deposited in an interest earning account: the Litter Control and Recycling Trust Fund (Fund):

• Litter Tax -- Section 58.1-1707
  $10.00 per year for each location of manufacturers, wholesalers, distributors or retailers of consumer products and an additional $15.00 per year per location where groceries, soft drinks and beer are sold.
• Excise Tax on Soft Drinks -- Section 58.1-1702
  A gross receipts tax on wholesalers.
• Excise Tax on Beer and Wine Coolers -- Section 4.1-236
  2% of the taxes collected go to the Fund.
• Litter Control and Recycling Fund -- Section 10.1-1422.01
  Stipulates that revenues are distributed each year according to the following allocation formula, amended by legislation in 2008 and effective July 1, 2009.

Specific information on the payment of Virginia's Litter Taxes can be obtained by contacting the Customer Service for Businesses Section of the Virginia Department of Taxation at 804.367.8037.

Additional information can also be found at the Virginia Department of Taxation's Web Site at www.tax.virginia.gov. 

 In Fiscal Year 2011 (July 1, 2010 through June 30, 2011), the litter taxes generated $1,893,314. The FY 2011 Fund included the following revenues:

Litter Tax =          $844,640
Soft Drink Tax =  $172,174
Beer Tax  =         $876,500
 $1,522,627 was disbursed among 197 applications. Since 1981, Virginia businesses have contributed $50,143,833 to the Fund.

Annual Local Government Non-CompetitiveGrants Program

The Virginia Department of Environmental Quality  (DEQ) provides funds for litter prevention and recycling grants to localities under a non-competitive grant program based on population and road miles. These grants have been awarded annually, since 1980, to localities for local litter prevention and recycling program implementation, continuation, and/or expansion. The grant cycle is July 1 - June 30. New applications are made available on May 1 of each year.

To be eligible to receive this annual grant funding, the application  MUST be postmarked by June 30, 2012.  The Performance Report must be submitted by August 1, 2012. On-line submission is strongly encouraged; however, local governments may submit a paper version.  The Accounting Report MUST be postmarked by August 1, 2012.  The Performance and Accounting Reports document how each jurisdiction spent the grant funding and presents an overview of its litter prevention and recycling efforts.  The Performance and Accounting Reports complete the annual grant application process. 

2009 Legislation, HB 1973: Section 10.1-1422.01 of the Code of Virginia Litter Control and Recycling Fund stipulates that revenues are distributed each year according to the following allocation formula, amended by legislation in 2008 and effective July 1, 2009:

• 95% - Local Government Non-competitive Litter Prevention and Recycling Grants to each Virginia locality; and;
• up to 5% to the Department of Environmental Quality to administer the grant program and provide support for the Litter Control and Recycling Fund Advisory Board (Fund Board) . The Fund Board provides recommendations to the Director on grant funding policy for both litter and recycling programs/projects in the Commonwealth.

Authorized and Unauthorized Use of Funds from Guidelines:

The grant shall be used for litter prevention and recycling program implementation, continuation, and/or expansion. 

1. Salaries, wages, or other personnel costs
2. Office supplies, postage, telephone
3. Printing and program materials
4. Travel expenses
5. Locally conducted meetings, workshops, and awards
6. Audiovisual material on litter or recycling
7. Equipment such as: educational, litter receptacles, recycling, source reduction, and reuse equipment, audiovisual, safety, and the renting of such equipment
8. Award materials
9. Cleanup supplies
10. Litter collection and/or recycling collection contracts
11. Solid Waste Disposal fees, fuel and transportation ONLY ASSOCIATED with a volunteer cleanup. 
12. Professional Memberships (Maximum limit of $100 of the grant may be used for professional membership).

Definitions of Authorized Grant Fund Expenses:
The Non-Competitive Litter Prevention and Recycling Grant Funds are to be used ONLY to support the activities of the litter and recycling programs in the localities. Funding is to be used primarily for educational activities that support anti-littering and pro-recycling efforts. Purchasing equipment such as computers, cell phones, desks, etc. is no longer permissible because it is possible for this type of equipment to be used to support programs other than just the litter and recycling program.

For reporting purposes, authorized expenses are categorized into 5 main areas.  

1. Salary, Wages and Fringe Benefits
   Money paid for personnel costs to support the litter and recycling program manager(s).
   
2. Essential Supplies
   Includes office supplies, postage and telephone expenses necessary to administer the program or premiums to promote the litter and recycling program.  Essential supplies can include litter and recycling materials and supplies such as litter grabbers, trash can liners and lids, premiums and any other expendable supplies used solely in the litter and recycling program that are deemed as essential for educating the public about litter prevention and recycling. Items such as food, t-shirts, ponchos, etc. are not considered essential and the grant funds may not be used for non-essential items. Trash cans and recycling bins may be purchased if they are part of the grantee’s anti-littering campaign or pro-recycling campaign and they serve to educate the public as to how and where to appropriately dispose of litter or teach the public about recycling.
   
3. Contractual Services
   Funding to vendors to support the litter and recycling program. Includes contracts to groups/individuals/businesses for conducting litter cleanups, household hazardous waste day collections, tire amnesty programs, arrangements made with groups to conduct litter cleanups or sorting of recycling. Contractual services may include payments for school programs such as assemblies with litter and recycling themes and payment for printing educational materials. Although the litter and recycling money cannot be used for payment of ongoing waste disposal fees; if the waste disposal fee is directly related to a volunteer litter cleanup, the money may be used for the disposal of the collected litter. If waste disposal fees are incurred as an expense from a volunteer cleanup event, the event must be listed on the accounting report.  Contractual Services may also include the rental of backhoes or dump trucks in association with volunteer litter cleanups.
   
4. Travel
   Includes registration for litter and recycling conferences and workshops including mileage reimbursement, lodging and meals. All travel related expenditures are required to meet state guidelines. Refer to the state guidelines on the Virginia Department of Accounts website for reimbursable mileage rates for use of vehicles, and other travel information.
   
5. Other
   Any other expenses associated with the litter and recycling program that are allowable in the guidelines. For questions about whether or not an item may or may not be included, contact the non-competitive litter prevention and recycling grant coordinator at (804) 698-4055 or email Sheila Barnett at Sheila.barnett@deq.virginia.gov or her designee.

Unauthorized Uses of Grant Funds:

1. Meals associated with award events. Applicants are encouraged to use other sources of funds for such purposes.
2. Purchase of mass media time or space.
3. For any project or item not directly related to litter prevention or recycling, including (but not limited to):

• Beautification projects, landscaping, purchase of trees or shrubs, or lawn services.
• Purchase of equipment or fuel for lawn maintenance or waterway operations or for collection, transportation, and disposal of solid waste.

Grant Program Reporting:

At the conclusion of each grant year, the non-competitive grant recipients must submit Performance and Accounting Reports on the activities and expenses for which the grant funds were used. DEQ compiles the information that is submitted by the grant recipients and certified by one of their authorized agents and submits it to the Board for their review and consideration. Prior Performance and Accounting Reports on the non-competitive grant program can be accessed through the following links:

• Performance and Accounting Report - FY 2011
• Performance and Accounting Report - FY 2010
• Performance and Accounting Report - FY 2009
• Performance and Accounting Report - FY 2008
• Performance and Accounting Report - FY 2007

The Litter Control and Fund Advisory Board:

The grant programs are governed by the Litter Control and Recycling Fund Advisory Board (Fund Board). The Fund Board is appointed by the Governor and consists of five members as follows: one representative for each of the three types of entities required to pay the litter taxes, one local litter or recycling coordinator, and one member from the general public. The Fund Board meets at least twice throughout the year to track the status of the Fund and the progress of the annual grant programs.

Questions about the grants may be directed to Sheila Barnett, Environmental Educator, Virginia Office of Environmental Education at 804-698-4055 or via email at sheila.barnett@deq.virginia.gov.