Waste Management 2013 Annual Report Download - page 152

(b) These amounts include 1.5 million tons at December 31, 2013 and 1.3 million tons at December 31, 2012,
that were received at our landfills but were used for beneficial purposes and generally were redirected from
the permitted airspace to other areas of the landfill. Waste types that are frequently identified for beneficial
use include green waste for composting and clean dirt for on-site construction projects.
When a landfill we own or operate receives certification of closure from the applicable regulatory agency,
we generally transfer the management of the site, including any remediation activities, to our closed sites
management group. As of December 31, 2013, our closed sites management group managed 212 closed landfills.
Landfill Assets — We capitalize various costs that we incur to prepare a landfill to accept waste. These costs
generally include expenditures for land (including the landfill footprint and required landfill buffer property),
permitting, excavation, liner material and installation, landfill leachate collection systems, landfill gas collection
systems, environmental monitoring equipment for groundwater and landfill gas, directly related engineering,
capitalized interest, and on-site road construction and other capital infrastructure costs. The cost basis of our
landfill assets also includes estimates of future costs associated with landfill final capping, closure and post-
closure activities, which are discussed further below.
The following table reflects the total cost basis of our landfill assets and accumulated landfill airspace
amortization as of December 31, 2013 and 2012, and summarizes significant changes in these amounts during
2013 (in millions):
Cost Basis of
Landfill Assets
Accumulated
Landfill Airspace
Amortization Landfill Assets
December 31, 2012 .......................... $13,266 $(7,188) $6,078
Capital additions ............................ 397 — 397
Asset retirement obligations incurred and
capitalized ............................... 59 — 59
Acquisitions ............................... 88 — 88
Amortization of landfill airspace ............... — (400) (400)
Foreign currency translation ................... (96) 27 (69)
Asset retirements and other adjustments ......... (298) 43 (255)
December 31, 2013 .......................... $13,416 $(7,518) $5,898
As of December 31, 2013, we estimate that we will spend approximately $400 million in 2014, and
approximately $800 million in 2015 and 2016 combined, for the construction and development of our landfill
assets. The specific timing of landfill capital spending is dependent on future events, and spending estimates are
subject to change due to fluctuations in landfill waste volumes, changes in environmental requirements and other
factors impacting landfill operations.
Landfill and Environmental Remediation Liabilities — As we accept waste at our landfills, we incur
significant asset retirement obligations, which include liabilities associated with landfill final capping, closure
and post-closure activities. These liabilities are accounted for in accordance with authoritative guidance
associated with accounting for asset retirement obligations and are discussed in Note 3 of our Consolidated
Financial Statements. We also have liabilities for the remediation of properties that have incurred environmental
damage, which generally was caused by operations or for damage caused by conditions that existed before we
acquired operations or a site. We recognize environmental remediation liabilities when we determine that the
liability is probable and the estimated cost for the likely remedy can be reasonably estimated.
62