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Hub and Spoke Grant

Division of Solid Waste Management

Eligible Applicants:

The Hub and Spoke Grants are available for all Tennessee counties, municipalities, and organizations which have been determined to be tax exempt nonprofit recycling organizations who are designated as 501(c)(3) by the Internal Revenue Service may apply for grants under T.C.A. § 68-211-825.

As stated in the overview, priority for the Hub and Spoke Grant will be given to entities that provide written agreements with three or more local governments and entities requesting funding for programs in the Northwest Tennessee or First Tennessee Development Districts. Also consideration will be given to applicants demonstrating public / private partnerships.

Eligible Projects: 

The requested equipment or facilities must be included in the 2016 update to the Region’s Solid Waste Plan and submitted by the due date of March 31, 2017. Eligible equipment includes key equipment needed for collection, hauling, sorting, processing, baling, or other operations to prepare recovered materials for transport and marketing.

Eligible Spoke equipment includes, but is not limited to equipment used to collect and recover materials such as recycling carts made with recycled content and embedded RFID tags, containers, compactor/receivers for single stream collection, and walking floor trailers. Collection trucks with a gross vehicle weight rating (GVWR) of 10,000 pounds or higher will be considered. There are limited infrastructure developments available to spokes, such as supplying 3-phase power for compactors at convenience centers, whose eligibility will be at the discretion of TDEC. All infrastructural developments must be directly related to the collection and transportation of recyclable materials. Applicants applying for consideration as spokes will be deemed ineligible if they list hub equipment.

Eligible Hub projects may request equipment or facilities to process recovered materials such as high capacity balers, glass crushers, densifiers, sorting systems, fork lifts, scales, and other equipment or facilities that are used to prepare materials for market. Hubs may also request funding support for infrastructure development or improvements.

Equipment that causes the applicant to directly compete with existing private enterprises in the applicant’s geographical area (T.C.A. § 68-211-825(a)) is not eligible under this grant. Other ineligible requests include collection trucks with a gross vehicle weight rating (GVWR) less than 10,000 pounds and any equipment that aides in increased disposal of materials in Class I municipal solid waste disposal facilities.

Furthermore, applicants previously awarded a Hub and Spoke Grant or a Waste Reduction Grant from the Solid Waste Management Fund in the last two years that are currently under contract with open balances or who have failed to meet the obligations of additional Division of Solid Waste grant contracts in the last two years are ineligible. In addition, projects that require land will need to demonstrate that the necessary land is secured for the project prior to the final execution of the grant contract.

Funding & Matching Requirements:

The FY2016-17 Hub and Spoke Grant is divided into two competitive funding allocations for applicants.

Applications for existing or newly awarded hub facilities. Total grant offering for hub projects is $1,000,000. Funding maximum per applicant is $1,000,000. All hub applications will be pooled and will compete with each other for available funding.
Applications for spoke programs to existing or newly awarded hub facilities. Total grant offering for spoke projects is $1,000,000. Funding maximum per applicant is $300,000. All spoke applications will be pooled and will compete with each other for available funding.

A local match of 10%-50% is required based on an economic index that includes factors such as per capita income and property values in the jurisdiction to be served.

Grant awards will be made based on the estimates included in the grant application and will not be increased. It is important that applicants research the equipment and services they are seeking to purchase and implement and obtain accurate price information and delivery periods prior to submitting their application. Only items, services, and equipment identified in the application may be funded, so proper planning and research should be done by the applicant before submitting application.  The State reserves the right to partially fund projects based on the application pool to attain objectives of this grant.  If specific services or equipment are fundamental to the project, these should be clearly indicated by the applicant in the application.

To see other Division of Solid Waste Management grants  currently being offered please click here.