Legislation and Lawsuits

DeAnne Toto

The National Solid Wastes Management Association (NSWMA), as well as certain members and nonmembers of the association, filed suit against the city of Dallas in U.S. District Court in mid-November, making Dallas the latest battle ground for flow control.

The suit calls flow control "an anti-free-enterprise action by the city that is contrary to both state and federal law." NSWMA attorney Jim Harris of the law firm Thompson & Knight adds, "It is clear from the history of this ordinance that its sole purpose is to generate revenue, and not to address any health or safety issues or any other problem with the recycling or disposal of commercial waste in the city." He alleges, "Instead of increasing recycling, the ordinance will actually decrease recycling and may even endanger the city's residential recycling program."

Beginning Jan. 2, 2012, commercial trash haulers must dispose of all the solid waste collected in the city of Dallas to the city's McCommas Bluff Landfill.

Tom Brown, Texas chair of the NSWMA, says the flow control ordinance would "rewrite long-term contracts the haulers have with the city that allow them to get the best deal for their customers by using competitive landfills and other existing recycling facilities." He also alleges that the city is using the ordinance to address budget shortfalls by creating a monopoly at McCommas Bluff landfill.

According to NSWMA, its members have estimated that flow control will cost businesses in Dallas $19 million more per year.

The city's recycling program could be affected by the flow control ordinance as well, according to the lawsuit, because the ordinance allows for loads that consist "solely" of recyclables to be taken to facilities other than the city's landfill. However, according to NSWMA, "industry experts say even the city's own residential recycling program would be upended by this provision because even residential recyclables contain some waste."

In related news, Organic Energy Corp. (OEC), with locations in Clayton, Calif., and Dallas, is seeking to build a recycling facility at the McCommas Bluff Landfill. A press release issued by OEC states, "The first facility represents a nearly $100 million investment directly into South Dallas and would create a public/private partnership, while the city's only input would be a commitment to provide the garbage and lease some land." The company's George Gitschel told city officials OEC would provide the city $50 million per year in revenue from the facility, according to local news reports.

Recyclers and haulers will be watching with interest as the U.S. District Court determines the future of the city of Dallas' flow control ordinance.

DeAnne Toto