1. TOGETHER, WE WILL MAKE A CHANGE 1

2. Pillars of Action ▶ Lead by example. ▶ Measure and analyze. ▶ Market development. ▶ Increase access and participation. ▶ Education and outreach. 2 The Michigan Department of Environmental Quality (MDEQ) was appropriated $1MM in October 2014 (FY 2015), and with an additional $1MM in October 2015 (FY 2016), is implementing the Governor’s Recycling Initiative by focusing on five pillars of action:

3. ▶ Governor Snyder’s April 2014 Recycling Initiative to double the recycling rate from 15% to over 30% within the next two years. ▶ Which approach provides for the most robust recycling infrastructure that will support continued end market growth? 3 The Challenge We Face

4. ▶ Public sector top-down approach 4 Two Approaches to Infrastructure Expansion ▶ Business-driven bottom-up approach

5. Recycle by Design 5 ▶ Is a challenge created to ignite the development of innovative new partnerships over the total value chain in the waste management sector, including the development of end markets for recycled material. ▶ Local, regional, and state level teams comprised of private and public sector partners will be encouraged to advance ”outside the box” thinking; leading to solid business driven proposals. ▶ Recycle by Design is a strategy for growing an innovative market development platform combined with public private funding mechanisms.

6. Built on a Foundation of Working Together 6 REBUILD BY DESIGN Placed local communities and civic leaders together at the heart of a robust, interdisciplinary, creative process to generate implementable solutions for a more resilient New York metro region. This is the foundation of Recycle by Design.

7. Beneficial Public Private Partnerships 7

8. 8 Earlier Market Involvement Creates Increased Value DB DBFO Design Engineering ConceptProblem O&M Build Market Consultation RbD Challenge Design Engineering ConceptProblem O&M Build Design Engineering Concept Problem O&M Build Design Engineerin g ConceptProblem O&M Build Ability to create valueCumulative project cost

9. A Platform for Innovation ▶ The implementation contributes significantly to the increase of the state recycling rate. ▶ The participating team presents a solid business case and has project financing arranged (through private or public private funding). ▶ The participating team is able and willing to implement the proposal with the support of Recycle by Design. ▶ The participating team can demonstrate that their proposal has the support of the local community or communities via active local participation in the design development. 9 RECYCLE BY DESIGN Creating an open platform for developing innovative new proposals that meet the following criteria:

10. Conceptual Design Moves to Innovation ▶ Encouraging innovative approaches towards materials & markets resulting in a stronger, more durable recycling infrastructure. ▶ Technically and financially supporting the most robust solutions that will collectively contribute to a significant increase of the recycling rate in Michigan. ▶ Taking 5-7 design proposals with the strongest business cases into the implementation phase to serve as models for sustainable growth. 10

11. Team-Delivered Positive Impacts ▶ Developing new long-term skilled and unskilled job opportunities. ▶ Strengthening local and regional workforce development. ▶ Providing a meaningful waste flow data base for each region. ▶ Introducing “best practices” resource management. ▶ Reinforcing and supporting the growth of sustainable waste practices. ▶ Improving overall environmental quality now and for future generations 11 RECYCLE BY DESIGN aims to build stronger more robust regional economies whose positive impacts will be realized within your own individual communities.

12. Investment in a Stronger, More Resilient Michigan 12 The end result of the Recycle by Design Challenge is the implementation of 5-7 of the most promising design proposals as chosen by the Selection Committee. We anticipate $210M-260M is needed to achieve a doubling of the recycling rate and Recycle by Design provides the framework to attract the necessary investments; bolstering not only new and expanded infrastructure but also the development and support of stronger, more resilient end markets within the state.

13. 13 The Challenge Timeline (4 phase program with pre-launch period leading up to Feb 2016 kick-off) Recycle by Design Team Challenge kick-off on Feb 15 th Formulation of community and regionally focused teams Formulation of conceptual proposals submitted for review by RbD Selection Committee TEAM DEVELOPMENT 1 Teams receive financial support for internal R&D costs Study local and regional challenges and vulnerability Engage with local community groups via publicly-held meetings Access to electronic data room Identify potential opportunities RESEARCH & COMMUNITY ENGAGEMENT 2 d Teams receive financial support for detailed design development costs Teams work closely with local public officials, community leaders and expert advisors in the field Push innovation while maintaining local regional priorities 5-7 most promising projects move to Implementation DEVELOPMENT & SELECTION OF PROPOSALS 3 Build new more resilient recycling infrastructure through smarter design Drive change through how we design, build, and legislate for the future IMPLEMENTATION OF WINNING PROPOSALS 4 4 months3 months5 months3+ months

14. Investment in a Stronger, More Resilient Michigan 14 $210-$260MM is needed to achieve a doubling of the recycling rate Recycle by Design provides the statewide framework to unlock this investment potential Bolstering new and expanded infrastructure and the development and support of stronger, more resilient end markets within the state. There is no single winner.

15. Reaching Out Over the coming weeks, we will be communicating more detailed information on Recycle by Design – engaging at the local and regional level to encourage involvement in the Challenge. We have a website where we regularly provide updated information: www.recycle-by-design.com Our Facebook page just went live last week: www.facebook.com/RecyclebyDesignP3 We also have a Twitter handle that we use to communicate important information 140 characters at a time: @RbD_Michigan For further information: Kerrin O’Brien, Executive Director Michigan Recycling Council: kobrien@michiganrecycles.org Jeff George IMG Rebel: jgeorge@imgrebel.com 15

16. Visualize a Future Michigan… 16 Five counties in a northern Michigan rural area with a tourist-based economy collaborate… A Michigan-based manufacturer looking to secure recycled feedstock for their manufacturing process partners with… The primary hauler for eight smaller communities sets up a regional partnership…