9226_Shotwell_Tonnage_NORR_20210903

September 3, 2021
Sent via email: [e-mail]

Josh Daher, Area President Meridian Waste
424 Warehouse Dr.
Raleigh, North Carolina 27610
Subject: Notice of Regulatory Requirement
Disposal Tonnage Investigation Shotwell Landfill, Inc.
Shotwell C&D Landfill
Permit No. 9226-CDLF-2020 Wake County

Dear Mr. Daher:

Chapter 130, Article 9 of the North Carolina General Statutes, authorizes and directs the Division of Waste
Management (DWM) to establish a statewide solid waste management program, and to provide oversight of the
activities and operations of permitted solid waste management facilities through the adoption and enforcement
of rules to implement said program. As the owner and operator of Shotwell Landfill, Inc. (Shotwell), a Meridian
Waste North Carolina, LLC company, you are required to comply with all aspects of the law and rules under which
you are permitted.

Beginning earlier this year, the Solid Waste Section (Section) began an investigation in part, into discrepancies
in the reported tonnage being disposed of at the reference landfill in response to numerous inquiries to both the
Section and Wake County. In addition, around the same time, HODGES, HARBIN, NEWBERRY & TRIBBLE, INC
on behalf of Shotwell requested the Section provide a status report of compliance to assist in answering
questions for a proposed action to seek an amendment to the facility’s franchise agreement with Wake County.

Shotwell has been cooperative in providing responses to our questions on your operations, including a site visit
and meeting at the facility with both local and state representatives on June 17, 2021. As noted in that meeting
and subsequent correspondence, one specific area of the operation referred to as the C&D Sorting area in
approved operations plans, draws concern for the Section.

All waste entering the facility is weighed on certified scales. Several materials such as loads of inerts (concrete, etc), glass fines, and land clearing waste are diverted to areas of the facility where they are later processed and
utilized for roadbed construction, landscaping, landfill cover mixtures, etc. as allowed by law or rule. These
materials are reported as recyclables and therefore are not subject to the disposal tax or the disposal limits imposed by the franchise agreement and facility permit. Other construction and demolition waste is sent to the
working face of the landfill for disposal. At the working face, facility staff sort out materials that are easily
recovered and the engineered wood wastes are then being ground on site and reused in the landfill footprint for tipping pads, traction control, etc. This specific material is provided an estimated volume and reported by the
facility as recyclables not subject to the tax or tonnage limits. This activity as it is occurring conflicts with what
is approved in the facility’s operations plans which states these engineered wood materials will be containerized and removed from the site monthly.

Shotwell Landfill, Inc. Disposal Tonnage Investigation
Page 2 of 3
September 3, 2021

Information submitted to the Section as part of the statutory required annual reporting process for the timeframe
of July 2020 – June 2021, shows overall receipt of 161,192 tons of waste and a reported disposal tonnage of
78,112 tons. Of that 83,080 tons the facility reports to be recycling, an estimated 44,450 tons is attributed to
this wood waste activity. This represents an increase in both tonnage numbers over past years.

Based on information gained during that meeting as well as a review of the information provided by the facility,
the facility’s permit and the applicable laws and rules, the Section has made the determination that the current
activity of pulling engineered construction and demolition wood wastes, subsequently grinding the material, and
returning them to the landfill under a claim of reuse as a substitute for construction materials needed for berms,
tipping pads, roadways, etc, constitutes disposal under the law.
The Section does not draw this conclusion lightly as we prioritize recycling and waste reduction over disposal,
however recycling is meant to remove waste from the disposal stream. In this case, the engineered wood waste
materials still end up disposed in a landfill regardless of temporary use, no different that materials deemed not suitable for recycling. An alternative conclusion would be an inconsistent application of the rules by the Section.

We understand Shotwell’s stated position and desire for cost savings by utilizing readily available materials onsite, however its implementation is a misapplication of the applicable laws, rules, and guidance for managing
C&D waste in NC, and it is inconsistent with your permit. The disposal of ground or pulverized C&D waste without
prior approval is itself, a violation of 15A NCAC 13B .0542. As such, this activity creates an operational advantage for this facility as it sidesteps permit conditions, applicable solid waste laws and guidance, the laws
governing the Solid Waste Disposal Tax and applicable guidance provided by the Department of Revenue, and
the allowed tonnage under the current franchise agreement with Wake County. In addition, the grinding and placement of wood waste in this manner contributes to discrepancies in compaction rates, landfill capacity
reporting, and enhances the leachability of potentially hazardous substances.
The Section is hereby directing Shotwell to:

1. Cease the grinding of mixed C&D wood waste, and the reporting of such as recycling tonnage in order to comply with the currently approved operations plan to remove the material for recycling. The facility
may submit a permit modification requesting the Section evaluate individual materials and uses that
may be allowed at the landfill. This request however must involve weighing, not estimating tonnages, and ensure that waste tonnages do not exceed permit limits moving forward.

Please provide a written response and plan of action to the Section no later than September 30, 2021. The Section encourages Shotwell to move forward with construction and operation of the on-site materials recovery
facility already permitted by the Section. This will allow the facility the ability to more accurately track volumes
of waste and recyclables diverted from the waste stream and either reused or sent to a recycling vendor. It will likely also mean more efficient waste placement and cover operations within the landfill itself.

Failure to come into or maintain compliance with the Statutes, Rules, and/or other regulatory requirements applicable to these facilities subject all responsible parties to enforcement action. Be advised that pursuant to
N.C.G.S. 130A-22, an administrative penalty of up to $15,000 per day may be assessed for each violation of the
Solid Waste Laws, Regulations, Conditions of a Permit, or Order under Article 9 of Chapter 130A of the N.C. General Statutes. Further, the facility and/or all responsible parties may also be subject to enforcement actions
including penalties, injunction from operation of a solid waste management facility or a solid waste collection
service and any such further relief as may be necessary to achieve compliance with the North Carolina Solid Waste Management Act and Rules.

We appreciate your attention and prompt response in this matter. Should you have any questions concerning this letter, please do not hesitate to contact me at [phone]or [e-mail]; or Jason Watkins
at [phone] or [e-mail].
Shotwell Landfill, Inc. Disposal Tonnage Investigation
Page 3 of 3
September 3, 2021

Sincerely,

Edward Mussler, PE
Solid Waste Section Chief

Copies (email only): Michael Scott, DWM Director
Jason Watkins, SW Field Operations Sherri Stanley, SW Permitting
Drew Hammonds, SW Field Operations
Davy Conners, SW Field Operations Wendy Worley, Material Management Section Chief, DEACS
Walter Hall, Meridian Waste
Mary O’Brien, Meridian Waste Michael Stubbs, HHNT
John Roberson, Wake County