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Managing and Transforming Waste Streams – A Tool for Communities

Contracting Best Practices: Direct Materials to Local Markets

Local governments can retain the rights/access to reusable, recyclable and compostable materials to direct the materials to local uses for community, environmental and economic development benefits. This type of clause can be made optional, so the contractor can direct materials to any market unless the local government requires the materials be directed to a specific market.

Case Study: San Jose, CA


  • Local market development and job creation: Communities can direct materials markets to support the local economy and local green job development.


  • Local government workload and capacity: Some communities may not have sufficient resources to or facilities to process materials locally.
  • Costs: Local, directed market costs may higher than open market costs.