Waste Management 2014 Annual Report Download - page 91

• In December 2014, the EPA issued a final rule regulating the disposal and beneficial use of coal
combustion residuals (“CCR”). The regulations encourage beneficial use of CCR in encapsulated uses
(e.g., used in cement or wallboard), and use according to established industry standards (e.g.,
application of sludge for agricultural enrichment). The EPA also deemed disposal and beneficial use of
CCR at permitted municipal solid waste landfills exempt from the new regulations because the RCRA
Subtitle D standards applicable at municipal solid waste landfills provide at least equivalent protection.
The new standards are consistent with our approach to handling CCR at our sites currently, and we
believe the new standards will provide a potential growth opportunity for the Company. States may
impose standards more stringent than the federal program, and we will be monitoring state
implementation to determine impact.
State, Provincial and Local Regulations
There are also various state or provincial and local regulations that affect our operations. Each state and
province in which we operate has its own laws and regulations governing solid waste disposal, water and air
pollution, and, in most cases, releases and cleanup of hazardous substances and liabilities for such matters. States
and provinces have also adopted regulations governing the design, operation, maintenance and closure of
landfills and transfer stations. Some counties, municipalities and other local governments have adopted similar
laws and regulations. Our facilities and operations are likely to be subject to these types of requirements.
Our landfill operations are affected by the increasing preference for alternatives to landfill disposal. Several
state and local governments mandate recycling and waste reduction at the source and prohibit the disposal of
certain types of waste, such as yard and food waste, at landfills. The number of cities with food waste recycling
requirements and disposal bans continues to grow, while the logistics and economics of food waste recycling
remain challenging.
Various states have enacted, or are considering enacting, laws that restrict the disposal within the state of
solid waste generated outside the state. While laws that overtly discriminate against out-of-state waste have been
found to be unconstitutional, some laws that are less overtly discriminatory have been upheld in court. From time
to time, the United States Congress has considered legislation authorizing states to adopt regulations, restrictions,
or taxes on the importation of out-of-state or out-of-jurisdiction waste. Additionally, several state and local
governments have enacted “flow control” regulations, which attempt to require that all waste generated within
the state or local jurisdiction be deposited at specific sites. In 1994, the United States Supreme Court ruled that a
flow control ordinance that gave preference to a local facility that was privately owned was unconstitutional, but
in 2007, the Court ruled that an ordinance directing waste to a facility owned by the local government was
constitutional. The United States Congress’ adoption of legislation allowing restrictions on interstate
transportation of out-of-state or out-of-jurisdiction waste or certain types of flow control, or courts’
interpretations of interstate waste and flow control legislation, could adversely affect our solid and hazardous
waste management services.
Additionally, regulations establishing extended producer responsibility (“EPR”) are being considered or
implemented in many places around the world, including in Canada and the U.S. EPR regulations are designed to
place either partial or total responsibility on producers to fund the post-use life cycle of the products they create.
Along with the funding responsibility, producers may be required to take over management of local recycling
programs by taking back their products from end users or managing the collection operations and recycling
processing infrastructure. There is no federal law establishing EPR in the U.S. or Canada; however, state,
provincial and local governments could, and in some cases have, taken steps to implement EPR regulations. If
wide-ranging EPR regulations were adopted, they could have a fundamental impact on the waste, recycling and
other streams we manage and how we operate our business, including contract terms and pricing.
Many states, provinces and local jurisdictions have enacted “fitness” laws that allow the agencies that have
jurisdiction over waste services contracts or permits to deny or revoke these contracts or permits based on the
14