How Municipalities Can Accelerate Reuse: Create Carrots, Not Just Sticks

As cities and states pursue ambitious zero-waste and climate goals, reuse stands out as one of the most effective and scalable strategies to cut single-use packaging waste. But while regulations often focus on restricting bad behavior, the real acceleration of reuse happens when cities incentivize good behavior.

From our experience working with venues, campuses, and businesses across the country, the fastest growth happens when reuse is supported with policy alignment, funding, and consistent demand — not when participation is forced. When rules feel punitive, businesses tend to file for exemptions or delay adoption. When participation is rewarded, they lean in.

Here’s what cities and states can do to make reuse thrive across their business community:

Policy & Incentives

1. Recognize Reuse as Critical Infrastructure
Reuse should be a core strategy under Extended Producer Responsibility (EPR) legislation — not an afterthought. Oregon’s MIRROR fund, created by ODEQ, is a leading example of how EPR dollars can be reinvested into public benefits like converting schools, public events, and city spaces to durable systems. These funds help cover the upfront investment in equipment and staffing needed to make the transition possible.

2. Fund the Transition (CAPEX Grants & Tipping Fee Models)
Municipalities can accelerate adoption by providing small grants that help local businesses, venues, and events make the switch — funding shared citywide inventory pools, collection bins, basic equipment, and event stipends.

Cities can also establish ongoing funding mechanisms through modest allocations from landfill tipping fees. The Mid-America Regional Council (MARC) has modeled this approach successfully — reinvesting these funds into waste reduction grants that have directly supported large-scale transitions, including the Kansas City Chiefs’ move to composting and reusables.

We’re already seeing this strategy work in places like Reuse Seattle, where reuse is becoming the standard across local venues and events. Return rates continue to improve, and public surveys consistently show 100% approval ratings for reuse initiatives.

3. Align Tax Codes to Reward Reuse
Today, many companies can avoid sales tax when purchasing single-use items under reseller exemptions — but in some states, reused rental products or even the washing of reusable materials are taxed. That means businesses pay 10% or more in added cost to do the right thing. Cities and states can easily fix this by adding carve-outs for reusables so it can receive equal treatment to its single-use competition. 

4. Incentivize and Simplify Participation
Offer tax credits or rebates to businesses that reduce packaging waste and divert material from landfill. These credits can be leveraged to pay for important infrastructure like return bins, sorting equipment, or signage — the foundational systems that make reuse scalable.

5. Lead by Example
Governments have historically been the first customers to drive adoption of transformative technologies — from early investments in the internet, to renewable energy and electric vehicles. Cities can do the same with reuse. Start by mandating reusable systems at city-run venues, facilities, and events — and create visible examples that local businesses can follow.

💡 Why It Matters

When the right policies and incentives are in place, third-party reuse systems — the kind needed to serve our largest consumers of single-use packaging — can be cost-comparable or even cheaper than disposable alternatives.

At Bold Reuse, our north star is achieving a $0.15 per-unit cost to the end consumer — a target well within reach once 5 million or more units flow through our systems annually. That level of scale is only possible when cities, schools, and major venues act as anchor customers.

With that collective demand, the economics of reuse flip — benefiting everyone through reduced waste, lower hauling costs, and a stronger local circular economy.