An official website of the United States government.

This is not the current EPA website. To navigate to the current EPA website, please go to www.epa.gov. This website is historical material reflecting the EPA website as it existed on January 19, 2021. This website is no longer updated and links to external websites and some internal pages may not work. More information »

Managing and Transforming Waste Streams – A Tool for Communities

Contracting Best Practices: Innovations Clause

Including an "Innovations" clause in a contract can allow an agency flexibility to address issues and change service terms to take advantage of innovation without having to renegotiate the entire agreement.

Innovations could include additional materials for recovery (e.g., rigid plastics, textiles, cartons); collection changes such as wet/dry routing; or new technology, such as anaerobic digestion for food scraps. If the contractor cannot or does not want to provide new services, consider allowing third parties to perform the service.

Case Studies: Fresno Case Study | San Jose Case Study

Advantages

  • Flexibility: An innovations clause allows contracts to adapt with market changes and new innovations.

Disadvantages

  • Local government staff workload: An innovations clause would involve additional contractual uncertainty and a review and approval process.