Closed Loop Partners Releases New Guidelines to Strengthen U.S. Recycling Operations as Extended Producer Responsibility Laws Gain Momentum in the U.S.

October 14, 2025, New York, NY – Today, Closed Loop Partners’ Center for the Circular Economy (“the Closed Loop Center”), in collaboration with American Beverage, releases a new best practices guide for materials recovery facilities (MRFs) in the U.S., supporting MRFs in their work to optimize recovery rates, increase material quality and foster resilient operations. The guide, Materials Recovery Facilities: Effective Operation, Design and Management in Theory and in Practice, draws on insights from leading public and private MRF operators, recycling equipment vendors, recycling industry experts and others, establishing the industry standards needed to improve U.S. recycling infrastructure.

The guide is being released as Extended Producer Responsibility (EPR) laws gain momentum across the U.S.—with seven states already implementing them and more actively evaluating adoption. As these laws expand, there will be a growing need for transparency, performance-based metrics, and targeted education and funds to help MRFs adapt. This guide was created to aid MRF management personnel in identifying areas of improvement at their facilities and optimizing operations to maximize recovery of material streams and strengthen financial outcomes.

“The U.S. recycling industry is at a critical point, with policy changes shifting the status quo and creating opportunities for materials recovery facilities to operate at their highest capacity,” said Kate Daly, Managing Partner and CEO of the Center for the Circular Economy at Closed Loop Partners. “This guide’s insights help lay the foundation for stronger infrastructure, positioning U.S. recyclers to accelerate their critical work building resilient material supply chains.”

“Collaboration with MRF operators, commitment to high standards, innovation and transparency are essential for Producer Responsibility Organizations to achieve EPR targets,” said Jeffrey Fielkow, Chief Executive Officer, Circular Action Alliance. “Circular Action Alliance supports this playbook by Closed Loop Partners’ Center for the Circular Economy, as a practical guide for collaboration to maximize recovery and deliver program compliance and measurable results for a circular economy.”

MRFs play a critical role in managing residential recyclables, and with the right operational strategies, their recovery rates can improve dramatically. The guide outlines proven approaches to material flow design, equipment configurations, maintenance routines, municipal contract updates and staff training, among other areas. Developed through direct engagement with MRF operators—both public and private—as well as equipment manufacturers, the manual draws on site visits, real-world testing and case studies to highlight what works. This guide delivers actionable insights to help MRFs increase material capture, reduce residuals, and enhance both environmental and financial performance.

In addition to the guide itself, a set of complementary templates are available for download and can be utilized by MRFs to establish best practices in their facilities, with key guidance on areas including:

• Metrics and Performance Optimization
• Equipment Maintenance and Spare Parts Management
• Facility Management and Staff Organization
• Industry Relations

The Closed Loop Center commissioned Resource Recycling Systems (RRS) to support this work. “Materials recovery facilities are at the center of how communities recycle, and this guide equips them with clear, tactical practices to optimize performance in today’s evolving policy landscape,” said RRS Co-CEO Resa Dimino. “Through this collaboration with Closed Loop Partners and American Beverage, we’re underscoring practical ways operators can increase material capture, reduce residuals, and strengthen both environmental and financial outcomes as EPR programs expand.”

“One of America’s beverage companies’ highest priorities is creating a circular economy for our valuable, recyclable bottles and cans, and supporting the infrastructure that makes this possible,” said Kevin Keane, CEO of American Beverage. “Through this new guide, we aim to support key players along the recycling value chain to be well-positioned for success.”

This report is part of Closed Loop Partners’ broader work to support recycling and circular economy infrastructure in the U.S. across its platform. Closed Loop Partners’ innovation firm, the Center for the Circular Economy, has partnered with several leading recycling facilities across the country to test the recovery of packaging materials. Closed Loop Partners’ investment firm, Closed Loop Capital Management, has catalyzed millions of dollars to bolster regional recycling infrastructure, stabilize recycling businesses during volatile times, and support novel technologies and facility expansions. And Closed Loop Partners’ operating group, Closed Loop Builders, launched Circular Services, one of the largest private recycling and circular economy infrastructure companies in the U.S., serving many of the fastest-growing markets and largest companies in the country.

Following the release of this report, Closed Loop Partners will continue to collaborate with and invest in recycling programs, facilities and infrastructure across the country. Through this work, the firm aims to support recycling operators who are critical to keeping valuable materials in circulation and building a circular economy.

Download the full report here and learn more about Closed Loop Partners’ broader work to advance material recovery here.

About the Center for the Circular Economy at Closed Loop Partners

Closed Loop Partners is at the forefront of building the circular economy. The firm is comprised of three key businesses that create a platform for systems change. Closed Loop Capital Management is the firm’s investment group, managing venture capital, and catalytic capital & private credit investment strategies on behalf of global corporations, financial institutions and family offices. Closed Loop Builders is the firm’s operating group, incubating, building and scaling circular economy infrastructure and services.

The Center for the Circular Economy is the firm’s innovation center. The Center executes research and analytics, unites organizations to tackle complex material challenges and implements systemic change that advances the circular economy. The Center’s expertise spans circularity across the full lifecycle of materials, connecting upstream innovation to downstream recovery infrastructure and end markets.

Learn more about the Center for the Circular Economy at https://www.closedlooppartners.com/the-center/.

About the American Beverage Association

American Beverage is the national trade organization representing America’s leading non-alcoholic beverage companies. We represent a broad spectrum of beverage producers, distributors and franchise companies that make American products with American workers in America’s hometowns. Together, they provide more than 275,000 family-supporting careers and deliver $324 billion in economic impact nationwide. Visit AmericanBeverage.org for more information.

About Resource Recycling Systems

Resource Recycling Systems (RRS) is a sustainability consulting firm specializing in circular economy and materials management solutions for businesses, communities, and the broader future. With four decades of experience, RRS’s team of diverse experts delivers comprehensive services focused on reducing waste, enhancing recycling processes, and minimizing environmental impacts across supply chains. RRS serves North American and global markets, including MRFs, recyclers, brands, manufacturers, government, and institutions. Learn more at recycle.com.