Recycling Market Development Zone Revolving Loan Program
🏛 Department of Resources Recycling and Recovery (California)
✓ Free, no account · Source: California Grants Portal · Last verified Sep 13, 2026
Can you apply?
This grant is for California entities addressing urgent drinking water needs or pollution cleanup when responsible parties are unavailable. Public water systems, local governments, tribal nations, and nonprofits serving water systems may apply. Projects must address contamination, drought-related water shortages, or other drinking water emergencies. Cleanup or abatement of water pollution is also eligible when no viable responsible party exists.
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Program description
The Department of Resources Recycling and Recovery (CalRecycle) administers a Recycling Market Development Zone Loan Program to encourage California-based recycling businesses located within California financing businesses that prevent, reduce, or recycle recovered waste materials through value-added processing or manufacturing. The purpose and importance of the RMDZ Program is set forth in Section 42001 of the California Public Resources Code: “The purpose of this chapter [is] to stimulate the use of postconsumer waste materials and secondary waste materials generated in California as raw materials used as feedstock by private business, industry, and commerce.”
Who can apply
Eligible applicants
How to apply
Application links
Key dates & requirements
Required documents
- Project narrative describing contamination, urgency, and scope
- Budget and cost estimate (itemized)
- Evidence that responsible parties are unavailable
- Documentation of water quality or drinking water impact
- Applicant organization information and proof of legal status
Program contact
- 📧 loans@calrecycle.ca.gov
- 📞 1-916-341-6199
Funding track record
Past applications & awards under this program (California Grants Portal) — how competitive it is.
By fiscal year
| Fiscal year | Applications | Awarded | Award rate |
|---|---|---|---|
| 2020-2021 | 8 | 5 | 63% |
| 2021-2022 | 8 | 4 | 50% |
| 2022-2023 | 10 | 6 | 60% |
| 2023-2024 | 3 | 3 | 100% |
| 2024-2025 | 5 | 2 | 40% |
| 2025-2026 | 4 | 3 | 75% |
Source: California Grants Portal
FAQ
Who can apply for this grant?
Public agencies, water systems, local governments, tribal nations, and nonprofits involved in drinking water or water quality work. Private individuals and for-profit companies generally cannot apply.
What types of projects are eligible?
Urgent drinking water projects addressing contamination, drought, or emergencies. Cleanup or abatement of pollution in state waters when no responsible party is available.
Is there a deadline?
This program operates on a rolling basis. No fixed deadline. Submit applications when your project is ready.
How much funding can I request?
The program pool is $9.7 million statewide. Individual awards vary by project scope and urgency. Contact SWRCB for guidance on your request amount.
Do I need to provide matching funds?
No cost-sharing is required. The full project cost may be funded by this program.
💡 Tips for applicants
- Focus on urgent need. Emphasize why immediate action is required (contamination spreading, drought impact, emergency declaration).
- Document lack of responsible parties. Show why EPA or liable parties cannot fund the work.
- Build strong partnerships with Regional Water Boards early. They review applications and recommend awards.
- Get clear cost estimates. Detailed, itemized budgets improve competitiveness and speed review.
- Align with state water priorities. Reference California's water quality and drinking water strategic goals in your proposal.
⚠️ Common mistakes
Applications lack documentation of responsible party search or explain inadequately why private parties cannot fund work. Proposals underestimate project costs or provide vague budgets without line-item detail. Applicants fail to demonstrate genuine urgency or emergency conditions warranting CAA funding over other sources.
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