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HomeMy WebLinkAboutResolutions - 1982.08.05 - 13895August 5th, 1982 Miscellaneous Resolution # 8229 By Planning and Building Committee - Anne M. Hobart ; Chairperson In re: Solid Waste Management Plan for Oakland County, Michigan TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Mr. Chairperson, Ladies and Gentlemen: WHEREAS Act 641 of the Public Acts of 1978 requires in part the preparation of county solid waste management plans; and WHEREAS this Board, with the adoption of Miscellaneous Resolution #8905 on April 5th, 1979, filed a Notice of Intent to prepare such a plan with the Director of the Michigan Department of Natural Resources (MDNR); and WHEREAS said resolution also selected the county executive to act as the designated planning agency responsible for the preparation of the plan; and WHEREAS this Board on January 10th, 1980, appointed a thirteen (13) person Solid Waste Planning Committee (SWPC) to act in an advisory capacity during the preparation of the proposed plan; and WHEREAS the proposed plan consists of a 552-page primary document dated November 1981, released for public comment on December 7th, 1981, and a 38-page Appendix dated May 1982 embodying certain amendments or clarifications to the primary document as a result of public comment received during the Public Hearing process; and WHEREAS after twenty-four (24) public meetings, including the Public Hearing on March 23rd, 1982, SWPC hos approved the proposed pion and in accordance with Act 641, has forwarded it to this Board for approval; and WHEREAS the Planning and Building Committee, after meetings involving the review of the proposed plan on June 10th and June 24th, 1982, found certain objections or needs for further modification or clarification in the plan; and WHEREAS on July 12th, 1982, SVVPC reviewed the objections and made recommendations in their regard (see attached items a through 0 .; and WHEREAS on July 22nd, 1982, the Planning and Building Committee again reviewed the proposed plan along with the recommendations of the SWPC (see attached items a through f); and Page 2 WHEREAS as a result of the review of the public comment record and additional testimony received on June 10th and June 24th, 1982, the Planning and Building Committee objected to the designation of the proposed Weber Sanitary Landfill as a 190-acre site (item a). The Planning and Building Committee believes the sanitary landfill designation in the proposed County Plan should only be for the 28 acres currently permitted by the Michigan Department of Natural Resources. The legality of current construction permit is being contested in the Courts by the Township of Orion, Should the Township prevail, then the Planning and Building Committee feels the 28-acre site should also he removed from designation in the proposed County Plon: and WHEREAS the Planning and Building Committee requested that the General Motors letters dated July 22nd and July 12th, 1982, (letters attached) be considered by the Oakland County Board of Commissioners in conjunction with their review of Item F. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby approves the proposed plan with the inclusion of the recommendations (items b through F) made by the Solid Waste Planning Committee (SWPC) from their meeting of July 12th, 1982, (see attachments) with the following objections 1) the Oakland County Board of Commissioners objects to the inclusion of the Weber Sanitary Landfill as a 190-acre site and recommends that the Weber Sanitary Landfill should be included in the plan for only the 28 acres currently licensed by the DNIR and that, should the Township of Orion's lawsuit prevail, then the entire Weber Site should be deleted, and 2) the Oakland County Board of Commissioners objects to the fact that local input is insufficient and recommends the addition of the following statement: "To foster local input into inspections of sanitary landfills, the chief elected official in the host municipality will be afforded the opportunity to request to accompany the certified health department :,.Oakland County Environmental Health Division) or the Michigan DNR during any site visit. The chief elected official may designate a representative to act in his behalf for this purpose. The intent of this procedure is to make the certified health department or the Michigan DNR aware of the local perspective pertaining to any problem or possible problem before the certified health department or the Michigan DNR makes any field decision or decisions required by Act 641, Public Acts of 1978 or rules promulgated thereunder. BE IT FURTHER RESOLVED that the SWPC is hereby requested to make their final recommendations directly to this Board by August 26th, 1982, regarding these changes, as provided in Act 641, MR, CHAIRPERSON, on behalf of the Planning and Building Committee, I move the adoption of the foregoing resolution, PLANNING AND BUILDING COMMITTEE Item a.) S.W.P.C. Meeting of July 12, 1982 As a result of the review of the Public comment record and additional testimony received on June 10 and June 24, 1982 the Planning and Building Committee objected to the designation of the proposed Weber Sanitary Land- fill as a 190 acre site. The Planning and Building Committee believes the sanitary landfill designation in the proposed County Plan should only be for the 28 acres currently permitted by the Michigan Department of Natural Resources. The legality of current construction pelmit is being contested in the Courts by the Township of Orion. Should the Township prevail, then the Planning and Building Committee feels the 28 acre site should also be removed from designation in the proposed County Plan. S.W.P.C. Recommendations: After due consideration no action was taken to change the size of the proposed Weber Type II sanitary landfill. Therefore, the Weber sanitary landfill continues to be recommended for designation bythe S.W.P.C. as a potential 190 acre site in the proposed County Plan. Note Add this to Appendix, Page 6 -1- Item b.) S.W.P.C. Meeting of July 12, 1982 As a result of the request of the City of Pontiac and additional discussion with County Staff on June 10 and June 24, 1982 the Planning and Building Committee objected to the requirement in the proposed County Plan that type III building demolition waste's originating within the City of Pontiac had to be disposed of in the City's Collier Road sanitary land- fill. SWPC Recommendation In order to preserve the longevity of the Collier Road sanitary and construction landfill, type III building demolition/wastes originating in the City of Pontiac will be permitted to be disposed of in the County sub-system, provided payment is made for the standard, established fee in the County sub-system. Note Add to Appendix, Page 17 --2- Item c.) - S.W.P.C. Meeting of July 12, 1982 As a result of public comment, the Planning and Building Committee on June 24, 1982 requested further clarification and specificity to the language limiting the number of sanitary landfills in a township. S.W.P.C. Recommendation: Language is improved by adding the following to the Appendix: Sanitary landfills may not be expanded beyond those descrip- - tions or acreage as designated in the proposed County Plan for the twenty year life of the plan unless the Township by action of its Board of Trustees specifically authorizes the expansion or expansions and the County Plan is amended accordingly. Any Township haying one or more designated sanitary landfill sites in the proposed County Plan ma opt for additional sanitary landfill sites at any time in the future upon concurrence of its Board of Trustees and amendment of the County Plan. Note: Add to Appendix, Page 18 -3- Item S.W.P.C. Meeting of July 12, 1982. As a result of public comment, the Planning and Building Committee on June 24, 1982 requested further clarification and modification to flow control implications for the member municipalities of the Southeastern Oakland County Incinerator Authority (S.O.C.I.A.) and the City of Pontiac. S.W.P.C, Recommendation: Items 2., A. thru H. on pages 22 and :23 of the Appendix are improved to better reflect existing situations in S.O.C.I.A. and the City of Pontiac by adding the following: Member municipalities of the Southeastern Oakland County Incinerator Authority and the City of Pontiac,sub-systems, in view of existing collection and disposal practices and agreements may choose to participate fully, participate in a limited manner, or not to participate at all in flow control aspects outlined in the proposed County Plan. Note: Add to Appendix, Page 23 Item e.) S.W.P.C. Meeting of July 12, 1982 As a result of public comment, the Planning and Building Com- mittee on June 24, 1982 requested additional language in the proposed County Plan to better protect the environment and insure the health, welfare, and safety of the people in Oakland County by requiring coopera- tion between the sub -systems for back-up disposal in case of emergency or short-term disposal problems. S.W.P.C. Recommendation: In the best planned and operated solid waste disposal systems and sub-systems emergency or short-term disposal problems can and do occur. They may arise out of strikes, bad weather, fire, mechanical breakdowns, etc. It makes sense to have a cooperativeagreement by and between the sub-systems in the proposed County -Plan providing for emergency or short-term disposal assistance. The following language is recommended to be added to the Appendix: It is understood and agreed that proper collection and disposal of solid wastes is a vital concern to the health, welfare, and safety of all people in all the municipalities in Oakland County. To that end should any sub-system to the County Plan encounter emergency or short-term problems with solid waste disposal, the other sub-systems will provide back-up disposal for the duration of the emergency. Longer term alternate disposal arrangements will require amendment of the County Plan. Emergency or short-term problem users of another sub-systems disposal facilities will be expected to pay those charges ordinarily 'imposed on the host sill- system. Note: Add to Appendix, Pages 23 or 23A Item f.) S.W.P.C. Meeting of July 12, 1982 On June 17, 1982, General Motors Corporation submitted a paper entitled "Comments On The Proposed Oakland County Solid Waste Management Plan" to the Planning and Building Committee. The Planning and Building Committee on June24, 1982 referred that paper to the Solid Waste Planning Committee (S.W.P.C.) for consideration and recommendation concerning General Motors comments. Staff Comments: General Motors objects to the flowrcontrol'and uniform system fee aspects of the proposed County plan and believes that fees should be based upon the cost of services provided. They also believe that the plan should allow for exportation of solid wastes outside the COunty. Staff's position is that flow control is necessary to insure the proper; disposal of solid waste throughout the County system and to secure the financing necessary to construct the facili- ties of the proposed system. Flow control will insure that solid waste is directed to the proper disposal facilities and not delivered in disproportionate amounts to some facilities while other facilities are not properly utilized. During the day-to-day operations of the proposed energy recovery facilities, it may be necessary to occasionally change the disposal site for collectors and haulers to compensate for varying volumes of waste and for operational problems. A uniform system fee will spread the costs and benefits of the total system equitably among the users of the system. . A variable fee system would be totally unmanageable. On some days wastes from a municipality could go to a landfill, transfer station or resource recovery facility or any combination of the three. On other occasions it may be necessary to change the disposal sites for that municipality. A variable fee system would require charging a different fee for each load delivered, depending on the site of disposal. Under a variable -6- fee system a municipality that delivered its waste to a transfer station or resource recovery facility would feel it was being discriminated against because it was being charged more for disposal than those municipalities that disposed of their wastes at a sanitary landfill. In order for solid wastes generated in one county to be disposed of in another county, the solid waste management plans of both counties must recognize that fact. This would require knowledge of where General Motors wishes to dispose of its waste and the cooperation and approval of the re- cipient county or counties. This information is not available. Allowing exportation of solid wastes havoc with the planning and projections for was a provision that the generator'of those to another county would raise the County facilities unless there identified exported solid wastes could never dispose of those identified wastes in the County system without a plan amendment. The generator that exports solid wastes would do so for economic reasons, to find the cheapest disp change its disposal site depending on where sal possible. It would continually it could find the lowest rates. This would make it impossible to plan and predict the capacity required in Oakland County's system or in the systems of other counties. During the first several years of the planning period, General Motors will be in the City of Pontiac sub-system and will not be subject to the flow control and system fee requirements of the County sub-system. When and if that situation changes a plan amendment will be necessary and these issues may be considered at that time. General Motors believes the flow control and uniform fee approach may be legally indefensible, being monopolistic and in violation of anti-trust laws. That opinion has been expressed by their attornies and attornies repre- senting other private solid waste industry interests. Conversely, our legal -7- consultants, various other attornies and the Kent County (Grand Rapids) Corporation Counsel hold that flow control and uniform system fees are legal. These issues will have to be resolved by the courts; they cannot be resolved at this level of government. Without flow control and a uniform system fee, there will be no solid waste management plan embodying resource recovery. There will be no way to assure the financing for the construction and operation of resource recovery facilities, transfer stations or sanitary landfills. With- out flow control and uniform system fees, the County plan would rely on sanitary landfills, business as usual; a municipality would dispose of its solid wastes in any facility or fashion that it desired. That is contrary to the mandate of Act 641. General Motors believes that the County plan should provide for the phased implementation of energy recovery facilities, that initially a small facility should be developed and later, additional facilities be constructed as required. Staff believes that, in fact, the facilities proposed in the plan will be developed in phases. In all probability one or both of the modular combustion units (MCIJ's) proposed in the plan will be constructed early in the planning period. As required disposal capacities are better defined with addi- tional studies based on actual experience and the passage of time, the capacity of the central resource recovery facility will be adjusted as required during its design. It will not be constructed until there is a demonstrated guaranteed quantity of solid waste available to justify its economic feasibility. If there are no steam users available to execute contracts for the pur- chase of steam from the MCUTs, the MCU's will not be constructed. In that event, the central resource recovery facility would be designed and constructed only when the necessary energy-user contracts can be executed and final sizing accurately determined. The plan does not impose a rigid time-table for the -8- sizing and construction of these facilities but rather allows them to be phased into the program as dictated by existing conditions. General Motors objects to the aspect of the plan that requires that the designation and construction of a new solid waste disposal facility be- subjected to the lengthy plan amendment process, including the public hearing requirements of Act 641. This issue has been discussed by the Solid Waste Planning Committee. The most sensitive issue pertaining to the proposed County plan is the siting of solid waste disposal facilities particularly sanitary land fills. The siting of solid waste disposal facilities is such an important issue that the public should be allowed and encouraged to provide all the input possible into the site selection process. Therefore, it 18 necessary that the siting of solid waste disposal facilities be Made subject to the public hearing require- ments, S.W.P.C. approval, Board of Commissioners approval, and approval by 67% of the municipalities in the county in accordance with Act 641. S.W.P.C. Recommendation After hearing another presentation by General Motors, the S.W.P..C. took no action to recommend any additional changes to the proposed County Plan. Note Add this to Appendix, Page 15 General Motors Corporation Statement on Oakland County Solid Waste Management Plan before the Planning and Building Committee of the Oakland County Board of Commissioners Pontiac, Michigan July 22, 1982 Good morning ladies and gentlemen. I am Samuel N. Oaks, Manager Municipal Affairs for General Motors Industry-Government Relations Staff. Earlier this week you should have received from me a copy of our statement presented at the last meeting of the Solid Waste Planning Committee. In that statement, General Motors suggested an alternate approach for the County which would not require "flow control and uniform fees." I would like to summarize, briefly, our position by making three primary points: First, the GM suggested alternate approach would accomplish the same goal as the County's proposed plan -- minimizing the use of landfills and maxim- izing resource recovery. Our approach would rely on voluntary agreements with the municipalities and commercial and industrial fiLms, for which there are participation incentives. Our alternate approach would, though, avoid the possible legal disputes associated with "flow control". Secondly, several members o Solid Waste Planning the Committee, at the last meeting, indicated that they objected to "flow control". :Similarly, the cities of Farmington, Farmington Hills, Novi and Southfield, in a letter to you dated June 23, 1982, raised some of the same issues GM has raised. It would appear that we are not the only waste generators objecting to the "flow control and uniform fee" approach in the plan. Third, the County's financial consultant (Blyth Eastman Paine Webber) issued a report projecting costs for landfills, resource recovery and uniform fees. That report shows within two years after the start of the resource recovery incinerator, the users of the incinerator will be subsidizing the costs of the land- fill users with the uniform fee approach. To put this into perspective, those commercial and industrial establishments, which generate non-burnable wastes and must use landfills, will be paying lower fees because the users of the incinerator would be subsidizing _3_ the costs. It would appear that such an approach works against the plan's goal of minimizing the use of landfills. General Motors believes that the goal of adequate and environ- mentally sound disposal of solid waste in Oakland County can be achieved without the use of "flow control and uniform fees." Since the Solid Waste Planning Committee has not accepted our alternate approach, we ask you, the Planning and Building Committee, to recommend to the Oakland County Board of Commis- sioners that they amend the plan according to our alternate approach. ****** A Presentation of General Motors Corporation to the Oakland County Act 641 Solid waste Planning Committee (SWPC) Joseph P. Chu, July 12, 1982 1., The SWPC, with its thirteen members, has done an admirable job in the development of the proposed Solid Waste Management Plan for the County. The goal of the Plan is to establish a coordinated system of landfills, transfer stations, and energy generating incinerators, including a large resource recovery facility, for minimizing the dependency of landfill disposal of solid wastes generated within the County. In the light of the performance of the SWPC, we believe its activity should not be terminated upon the completion of the Plan. We.suggest that the SWPC be continued as an advisory group for assisting the County in future improvements to solid waste management. 2. GM agrees with, and supports, the goal of the plan because we believe the reliance on landfills must be minimized. However, we have recommended some alternatives to improve the means of achieving the goal. 3. The purpose of this presentation is to provide you with some details concerning a few points mentioned in GM's comments as submitted to the Planning and Building Committee of the County Board of Commissioners on June 17 and reviewed by that Committee on June 24. We understand that copies of those comments were provided to the SWPC by the County administration. 4. We have pointed out that, in our opinion, the use of a 'flow control and uniform fee' approach may put the County in a position that is not legally defensible under the antitrust laws. This legal issue will not be addressed today. However, I would like to point out that one reason GM commented on this matter is because of our belief that such a legal dispute can be avoided by the use of our recommended alternative approach. 5. GM understands that the Plan calls for the resource recovery facility to be established in phases. Under the Plan, a 'flow control and uniform fee' approach would be implemented as a pre- condition for this phased establishment. During the early 1980's solid wastes would be disposed of at approved landfills, and as incineration and resource recovery capacity becomes available in mid-1980's, more wastes would be directed to such facilities by the County. The most important point in our June 17 comments is the alternative which matches the phased facility establishment with the capacity or quantity of solid wastes committed. For example, we said that the first phase of the resource recovery facility, which may begin operation in 1986, should be established to provide a capacity for receiving residential wastes from committed municipalities. Many municipalities are now controlling the flow of residential wastes by providing solid waste pick-up service. Similar commitments can also be made by commercial and industrial firms who are not served by municipal pick-up service. This alternative utilizes waste commitments and does not require "flow control" by the County. Our recommended approach can be incorporated in the Plan to include the following steps: a. For the large resource recovery facility, the County should identify a facility with a minimum economically feasible capacity. For the sake of discussion, assume the capacity is 600 tons per day of burnable solid wastes. The tipping fee, in $/ton on the basis of 600 tons/day, should be projected based on capital, operation, and maintenance costs as well as incomes from the sale of energy (steam and/or electricity). b. The County should request municipalities, commercial establishments, and industrial companies to commit contractually their solid wastes to the facility. The incentive for such commitments is a guaranted disposal capacity and a guaranted maximum fee, in $/ton as projected. It is our understanding that the fee for the sanitary landfill in Waterford is about $12/ton while the County's consultant (Blyth Eastman Paine Webber) projected, in a June 15, 1982 letter, that by 1986 the tipping fee for the planned resource recovery facility will be about $13/ton. Therefore there is a substantial economic incentive for contractual commitments. The facility would only be constructed after a minimum capacity, such as 600 tons/day, has been reached by commitments. Further, if commitments of more than the minimum capacity are received, a lower tipping fee may be charged. Commitments in purchasing the energy generated by the facility should also be obtained. All commitments received by the County and the projected incomes from the tipping fee and energy sales resulting from such commitments can be used to backup the financing of the facility. The "flow control and uniform fee" approach should not be used for many reasons. One reason is that the operators providing such services do not have an incentive and may not be easily held accountable for cost-effective operation. We agree that, at the present, some landfills charge a fee lower than energy generating resource recovery facilities. However we believe that when landfills are upgraded to meet federal and state requirements, and when landfill sites become more difficult to find, this disposal option may be more expensive than energy recovering incinerators. A consultant for the County (Blyth Eastman Paine Weber) projected that beginning in 1988, landfill disposal in the County will be more expensive 2 than the option of using the resource recovery facility. We concur with this trend as projected by the County's consultant. Therefore, if the County has such a facility in operation by 1986, within about two years, users of the resource recovery facility would be subsidizing users of landfills. Such type of subsidy, of course, is inconsistent with the goal of minimizing landfills. 6. Under our recommended approach, communities, commercial establishments, and industrial companies not located in the County area should also be allowed to enter contractual commitments for utilizing the County's resource recovery facility. There also will be no need for the County to prevent solid wastes generated within the County from being disposed of at locations outside the County when such wastes have not been committed to the County's resource recovery facility. Under our approach, those communities or industries that had not committed to the County resource recovery facility would likely dispose of their wastes at licensed landfills or other resource recovery facilities. Therefore, allowing (or not prohibiting) disposal outside the County would have the effect of preserving landfill space within the County. 7. GM is requesting SWPC consider the inclusion of our recommended alternative in the Plan. We would also like to point out that the cities of Farmington, Farmington Hills, Novi, and Southfield raised issues similar to those raised by GM in a June 23, 1982 letter to the County Board of Commissioners. 8. We further wish to point out that should the "flow control and uniform fee" approach be selected by the County and for such an approach to become legally viable, GM stated in our June 17 comments that there must be a clearly articulated legislative intent to displace private competition and a procedure for public and state participation in establishing and regulating the fee setting procedures and the fees to be charged. The plan does not presently articulate who will approve rates, what procedures will be followed for public input (opportunity for public comments, evidentiary hearings, etc.), and whether the various contractual arrangements contemplated by the County will be subject to public review and comments before being established. want to thank you for permitting GM with this opportunity to discuss our June 17 comments. 3 82228 AIqt 5, this 5t day of 7-) August 1982 Moved by Hobart supported by Whitlock the resolution be adopted. Moved by Moffitt supported by Cagney the resolution be amended on page 2, the NOW THEREFORE BE IT RESOLVED paragraph, Section 2, line 4 after "host municipality", delete "will be afforded the opportunity to request to", and insert "shall be notified and have the right to accompany the certified . .". Also in Section 2, line 7 after "during site visit,", delete the following sentence and substitute the following: "Furthermore, the chief elected official shall have the right to inspect the landfill at any time and may designate a representative to act in his behalf for this purpose." AYES: Olsen, Page, Patterson, Peterson, Price, Whitlock, Wilcox, Aaron, Caddell, Cagney, Calandro, Doyon, Fortino, Gosling, Hobart, Kasper, Lanni, McDonald, Moffitt, Moore. (20) NAYS: Perinoff, Pernick, DiGlovanni. (3) A sufficient majority having voted therefor, the amendment carried. Moved by Perinoff supported by Aaron the resolution be amended in the NOW THEREFORE BE IT RESOLVED paragraph by deleting objection #I. AYES: Perinoff, Pernick, Aaron, DiGiovanni. (4) NAYS: Page, Patterson, Peterson, Price, Whitlock, Wilcox, Caddell, Cagney, Calandra, Doyon, Fortino, Gosling, Hobart, Kasper, Lanni, McDonald, Moffitt, Moore, Olsen, (19) A sufficient majority not having voted therefor, the amendment failed. Discussion followed, Vote on resolution as amended: AYES: Patterson, Perinoff, Pernick, Peterson, Price, Whitlock, Wilcox, Aaron, Caddell, Cagney, Calandro, DiGiovanni, Doyon, Fortino, Gosling, Hobart, Kasper, Lanni, Montante, Moore, Page. (21) NAYS: McDonald, Moffitt, Olsen. (3) A sufficient majority having voted therefor, the resolution as amended was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lynn D. Allen, Clerk ofthe County of Oakland and having a seal, do hereby certify that I have compared the annexed copy of Miscellaneous Resolution #82228 adopted by the Oakland County Board of ommissioners at their meeting held on Aug st 5, 1982 with the orginial record thereof now remaining in my office, and that it is a. true and correct transcript therefrom, and of the whole thereof. In Testimony Whereof, I have hereunto set my hand and affixed the seal of said County at Pontiac, Michigan Counh Clerk/Register of Deeds