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HomeMy WebLinkAbout13B_.1800_HearingOfficersReport[am HEARING OFFICER'S REPORT OF PROCEEDINGS OF PUBLIC HEARING AND COMMENT PERIOD Readoption and Amendments to 15A NCAC 13B .0546, .1105, .1111, .1628, and Section .1800 Financial Assurance Requirements for Solid Waste Management Facilities Environmental Management Commission May 7, 2020 C-2 Basic Information Commission: Environmental Management Commission Groundwater and Waste Management Committee Agency Department of Environmental Quality, Division of Waste Management, Solid Waste Section Title Financial Assurance Requirements for Solid Waste Management Facilities Citations 15A NCAC 13B .0546, .1105, .1111, .1628, and .1801 - .1806 Description of the It is the responsibility of the Division of Waste Management Solid Waste Proposed Rules Section to regulate how solid waste is managed within the state under the statutory authority of the Solid Waste Management Act, Article 9 of Chapter 130A of the General Statutes. State rules governing solid waste management are found in Title 15A, Subchapter 13B of the North Carolina Administrative Code. Existing rules adopted under the authority of 130A- 295.2 which establish standards for financial assurance requirements for solid waste management facilities are found in Subchapter 1313, Rules .0546, .1111, and .1628. Agency Contact Jessica Montie Environmental Program Consultant Jessica.Montie@ncdenr.gov (919) 707-8247 Authority G.S. 130A-295.2; G.S. 15013-21.3A Statement of Necessity Rules .0546 and .1628 are proposed for readoption in accordance with G.S. 15013-21.3A. Rule .1105 is proposed for amendment to incorporate some requirements from Rule .1111, which is proposed for readoption as a repeal in accordance with G.S. 15013-21.3A. Rules .1801 - .1806 are proposed for adoption as a part of the readoption process in accordance with G.S. 15013- 21.3A, with the majority of the requirements in existing Rules .0546, .1111, and .1628 being moved to Section .1800. Hearing Officer EMC Commissioner John McAdams Comment Period February 17, 2020 to April 17, 2020 Public Hearing March 3, 2020 Comment Summary One comment was received on the proposed rules at the public hearing in general support of the rule changes. Two written comment letters were received on the proposed rules during the public comment period. One comment letter was received prior to the comment period and the comments were addressed in the amendments made prior to publication. Appendices 1 — Agency Head Certification 2 — Hearing Officer Designation Memo 3 — Hearing Attendance Sheet and Transcript 4 — Written Comments Received During the Comment Period C-3 Rule Summary and Backaround It is the responsibility of the Division of Waste Management (Division) Solid Waste Section (Section) to regulate how solid waste is managed within the state under the statutory authority of the Solid Waste Management Act, Article 9 of Chapter 130A of the General Statutes. State rules governing solid waste management are found in Title 15A, Subchapter 13B of the North Carolina Administrative Code. Existing rules adopted under the authority of 130A-295.2 which establish standards for financial assurance requirements for solid waste management facilities are found in Subchapter 13B, Rules .0546, .1111, and .1628. Rules .0546, .1105, and .1628 are proposed for readoption in accordance with G.S. 150B-21.3A. Rule .1111 is proposed for readoption as a repeal in accordance with G.S. 150B-21.3A. The existing rules are required to be readopted by the Environmental Management Commission (EMC) by the deadline established by the Rules Review Commission (RRC) of April 30, 2021. General amendments to the rules include consolidation of most of the requirements in existing Rules .0546, .1111, and .1628 into proposed new Section .1800. Rule .1111 will be repealed, while Rules .0546, .1105, and .1628 will be amended to reference the requirements in general statute for financial responsibility and financial assurance, and to also reference new Section .1800 for standards for financial assurance. New Section .1800 is proposed to apply to all solid waste management facilities as required by general statute. The North Carolina Office of State Budget and Management approved the Regulatory Impact Analysis for these rules on October 11, 2019, and the analysis indicated no impacts to state or local governments and no substantial economic impact as a result of the amendments. Public Comment and Hearing The proposed rules and the Regulatory Impact Analysis were approved by the EMC to proceed to public comment and hearing at the January 9, 2020 EMC meeting, and Commissioner John McAdams was designated as the hearing officer. The Agency Certification and Hearing Officer Designation Memo are included in Appendices 1 and 2, respectively. The proposed rules were published in the NC Register, and the proposed rules and Regulatory Impact Analysis were published on the Department of Environmental Quality's (DEQ) website throughout the public comment period from February 17, 2020 through April 17, 2020. The Notice of Text as published in the NC Register (Volume 34 Issue 16, page 1470) can be viewed at the following website address: httos://files.nc.aov/ncoah/documents/files/Volume-34-Issue-16-Februarv-17-2020.Ddf. The Division also sent a link to the published notice and regulatory impact analysis for public comment to interested parties including industry stakeholders, environmental groups, solid waste management organizations, licensing boards, the League of Municipalities, and the Association of County Commissioners via e-mail on February 14, 2020. Public Hearing The public hearing took place on March 3, 2020 at 3:00 p.m. at 217 West Jones Street, Raleigh. Commissioner John McAdams served as the hearing officer for the public hearing. The hearing for this rule set was combined with the hearing for the remaining rules in 15A NCAC 13B Rules .0531-.0547 and Section .1600 pertaining to construction and demolition debris landfills (C&DLFs) and municipal solid waste landfills (MSWLFs). The hearing attendance sheet and transcript can be found in Appendix 3. The hearing was attended by multiple stakeholders in the regulated community, including those representing the North Carolina chapters of the Solid Waste Association of North America (SWANA) and the National Waste and Recycling Association (NWRA). C-4 One comment was provided at the hearing by Mr. Joe Hack with Mecklenburg County on behalf of NC SWANA, thanking staff for their collaboration on the draft rule changes and indicating that written comments would be submitted at a later date. (Note that the written comments later provided by NC SWANA did not contain any comments pertaining to the rules regarding financial assurance, but only to the other rules regarding C&DLFs and MSWLFs.) Written Public Comments Received Durina the Comment Period The following two written comment letters were received during the comment period. Copies of the comment letters are included in Appendix 4. Comment Letter #1 Submitted By: Deanna Coble Martin, Coble's Sandrock, Inc. (Owner/Operator, Coble's C&DLF, Permit # 0105-CDLF-1998) Date Received: March 16, 2020 Comment: "This letter is in opposition of the Published Rulemaking Notice and Information including the Proposed Rule Text and the two Regulatory Impact and Fiscal Analysis documents for the following rules: 15A NCAC 13B .0531-.0547 and Section .1600 for C&D and MSW Landfills; and Rules .0546, .1105, .1111, .1628, and new Section .1800 for Financial Assurance for all Solid Waste Management Facilities. These changes are an overreach and unnecessary. Many landfills are private and some public landfills are located in small, sparsely populated counties. This change in the rules would put many out of business. All permitted landfills are regulated, tested and monitored. These rules would cause the increase in the number of illegal, unregulated landfills if the permitted ones are not able to operate. Imagine the pollution the world would have if there were no regulated landfills. I understand, somewhat, of your reasons for this. However, I believe it would be more beneficial to support the permitted landfills rather than work against them. Another reason this is a bad idea is that the money the landfills are spending in securing financial assurance bonds, they could hire more workers. In turn, that would help the economy more by decreasing unemployment." Agency Response: While the agency understands that regulatory requirements do impose a cost to landfill facility owners and operators, G.S. 130A-294(b) states in part: "The Commission shall adopt and the Department shall enforce rules to implement a comprehensive statewide solid waste management program. The rules shall be consistent with applicable State and federal law; and shall be designed to protect the public health, safety, and welfare; preserve the environment; and provide for the greatest possible conservation of cultural and natural resources. Rules for the establishment, location, operation, maintenance, use, discontinuance, recordation, post -closure care of solid waste management facilities also shall be based upon recognized public health practices and procedures, including applicable epidemiological research and studies; hydrogeological research and studies; sanitary engineering research and studies; and current technological development in equipment and methods." Financial assurance for solid waste management facilities is required by G.S. 130A-295.2(f), and may be established using the following allowable mechanisms or a combination thereof: insurance, irrevocable letters of credit, trusts, surety bonds, corporate financial tests, or any other financial device as allowed pursuant to 40 Code of Federal Regulations § 258.74 (July 1, 2010 Edition), as reflected in the rules in Section .1800. The rules in 15A NCAC 13B are required to be readopted by the EMC in [M.7 accordance with G.S. 15013-21.3A by the deadline established by the Rules Review Commission of April 30, 2021. For additional information regarding the need for financial assurance at solid waste management facilities, and sanitary landfills such as C&DLF, MSWLF, and industrial solid waste landfills in particular, please see the discussion below in response to Comment Letter #2, Rule .1804(b)(1). Comment Letter #2 Submitted By: Phil Carter, Legislative Committee Chair on behalf of the North Carolina Chapter of the National Waste & Recycling Association (NWRA) Date Received: April 15, 2020 Comment: "I am writing on behalf of the North Carolina Chapter of the National Waste & Recycling Association (NWRA). NWRA is a trade association representing the private sector waste & recycling industry. Our members include companies operating in the North Carolina. These companies play a significant role in providing the infrastructure that allows for safe and effective management of waste and recycling in the State of North Carolina. 15A NCAC 138 .1801 These rules should not be adopted until the definitions in Rule .0101 of this Subchapter have been adopted. If these rules are adopted without the accompanying definitions, there is a likelihood of confusion and misinterpretation. The Environmental Management Commission should delay the adoption of these rules until such time as Subchapter .0100 can be simultaneously adopted. 15A NCAC 13B .1803(c) We object to the proposed rule because the rule does not provide for any expiration date of financial assurance for post -closure care. The rule should expressly terminate the post -closure financial assurance requirement 30 years after issuance of the closure letter, unless released earlier. 15A NCAC 13B .1804(b)(1) We object to this rule because it is our opinion that an annual adjustment of the cost for potential assessment and corrective action for inflation is excessive. N.C.G.S. 130A-295.2(h) requires minimum $2 million for potential assessment and corrective action at sanitary landfills. In our opinion, an adjustment to a cost that is merely speculative based on a potential for action is not necessary. 15A NCAC 13B .1805(e)(3)(A) We object to the proposed rule because the rule does not specify that the standby trust fund is a zero - balance fund until such time as funds are deposited by the financial institution." Agency Response: Response to Comment Regarding Rule .1801 Rule .0101 is also required to be readopted by the EMC in accordance with G.S. 130A-21.3A by the deadline of April 30, 2021, so this rule will be published for public comment and considered by the EMC within the next year, and is scheduled to begin the rulemaking process at the GWWMC in May 2020. If the amendments to this Rule are thought to have any effect on the financial assurance rules, a comment may be submitted to address the issue during the public comment period for Rule .0101. The EMC has the ability to adopt additional amendments or clarifications to any of the financial assurance rules based on comments received on Rule .0101 at a later date, if it is determined to be necessary. C-6 None of the terms in existing Rule .0101 are used in the proposed text of Rules .0546, .1105, .1628, or .1801 - .1806, with the exception of the terms "industrial solid waste landfill" and "compost" in Rule .1801. While the Division intends to propose adding some additional definitions for the facility types named in Rule .1801 (a) and (b) to Rule .0101, the intended definitions would only reference or copy the existing definitions for those facility types in their respective Sections in the Subchapter, so that the use of facility names in other locations in the Subchapter are clear. Therefore, the amendments that the Division intends to propose to the EMC in Rule .0101 will not affect or change the application or enforcement of the requirements in proposed Rules .1801 - .1806. Response to Comment Regarding Rule .1803(c) Proposed Rule .1803(c) states in part: "The owner and operator shall provide continuous coverage for post -closure care until released from financial assurance requirements for post -closure care by demonstrating compliance with the facility's permit and post -closure care plan, with the closure letter issued to the facility by the Division, and with Rule .0543 of this Subchapter for construction and demolition landfill facilities and Rule .1627(d) of this Subchapter for municipal solid waste landfill facilities." The Division is proposing to have Rule .1803(c) refer only to the requirements for the length of post - closure care period in other rules in the Subchapter instead of putting a specific timeframe in this rule to be consistent with the same requirement that is in existing Rules .0546(c)(4) and .1628(c)(2), which also refer to Rules .0543 and .1627(d) to determine the end of the post -closure care period. The Division proposes to retain this language to avoid a future circumstance where financial assurance coverage is lost or released even though the post -closure care period for a facility has not ended due to the requirements of these other rules in the Subchapter. This provides flexibility so that if the Division determines pursuant to 40 CFR 258.61(b)(2) and Rules .0543 and .1627(d) that an increase to the post - closure care period is necessary to protect human health and the environment for reasons such as non- compliance with their post -closure care plans or the rules of the Subchapter, or if there are changes to the general statutes or federal regulations in the future, the financial assurance rules will remain applicable. To state in this rule that financial assurance will be released after 30 years would be in conflict with the requirements for the post -closure care period in the Rules .0543 and .1627(d), and would not comply with G.S. 130A-295.2(f), which states in part: "The applicant and permit holder for a solid waste management facility shall establish financial assurance by a method or combination of methods that will ensure that sufficient funds for closure, post -closure maintenance and monitoring, and any corrective action that the Department may require will be available during the active life of the facility, at closure, and for any post -closure period of time that the Department may require even if the applicant or permit holder becomes insolvent or ceases to reside, be incorporated, do business, or maintain assets in the State." The flexibility also allows financial assurance to be released earlier than expected if the listed requirements have been met, and if the Division approves a demonstration by the owner or operator that a reduced post -closure care period is sufficient to protect human health and the environment pursuant to 40 CFR 258.61(b)(1) and Rules .0543 and .1627(d). Response to Comment Regarding Rule .1804(b)(1) Proposed Rule .1804(b)(1) states in part: C-7 "During the active life of the facility, the owner and operator shall annually adjust the cost estimates for the corrective action program and potential assessment and corrective action and the amount of financial assurance for inflation." Existing Rules .0546(c) and .1628(b), (c), and (d) establish the requirement to annually adjust for inflation the financial assurance amounts for closure, post -closure care, and existing corrective action programs. The proposed language in Rules. 1802 - .1804 retains these existing requirements for annual adjustments for inflation for C&DLFs and MSWLFs. G.S. 130A-295.2 was revised in 2007 to add a requirement in to establish financial assurance for potential assessment and corrective action (PACA) at sanitary landfills in the amount of $2 million, in addition to the amounts for closure, post -closure care, and any existing corrective action program. This statute was revised again in 2014 to lower the financial assurance amount for C&DLFs to $1 million, while retaining the amount of $2 million for other sanitary landfills (which would include MSWLFs and industrial solid waste landfills). Because of these statute changes, the financial assurance rule requirements, mechanisms, and template language needed to be amended to include consideration for PACA, which the Division is doing concurrently with the periodic readoption of the rules. The amendments include adding PACA to the existing requirements to annually adjust the financial assurance amounts for closure, post -closure care, and current corrective action programs for inflation. Since the statute changes, the Division has in practice been requiring facilities to annually adjust PACA for inflation in accordance with the statute; therefore, this would not impose a new cost on facilities to add to the rule. There are approximately 110 active and 147 closed sanitary landfills in North Carolina. The Division is aware of approximately 13 sanitary landfills that are currently in corrective action programs due to exceedances of the groundwater quality standards in 15A NCAC 13B 02L. Most of these facilities are only being required to conduct the minimum or least expensive corrective actions, such as monitoring for natural attenuation. The cost estimates submitted to the Division by the owner/operators to cover financial assurance amounts for these 13 existing corrective action programs indicate that the minimum costs for corrective action average between $1 million and $2 million in today's dollars. The Division is aware of an additional 52 active and closed sanitary landfills that are currently conducting assessment monitoring; and have an increased potential to end up in corrective action programs. G.S. 130A-294 was recently changed in 2015 to require that the Division issue permits for sanitary landfills for the life -of -site up to 60 years. This does not include the post -closure care period, which would likely add another 30 years, for a potential total of 90 years of active life and post -closure care for each sanitary landfill. The State of North Carolina could end up having to take responsibility for a corrective action program for any of these facilities if the owner/operator becomes insolvent or ceases to reside, be incorporated, do business, or maintain assets in the State. If any of the 52 facilities that are currently in assessment were to end up in corrective action at any point between 15 and 90 years from now, and the State was left responsible to conduct corrective action, those same cost estimates could be between $1,250,232 and $7,637,897 per facility in future dollars. (assuming an annual implicit price deflator/multiplier of 1.015, which is an average of the US Dept of Commerce Bureau of Economic Analysis Gross Domestic Product implicit price deflator for the last 10 years). This would leave the State of North Carolina responsible for any costs over the $1 to $2 million minimum required by statute if the amounts are not adjusted annually for inflation. While the requirement to obtain and maintain financial assurance for closure, post -closure care, and potential assessment and corrective action does impose a cost to the regulated community, its purpose is to protect the interests of the taxpayers of the state. North Carolina is fortunate in that we have yet to have had to call in an instrument because a facility has been abandoned. Other states in the southeast have, and the effects have been substantial losses to state program funds. The agencies had to take over the management and closure of the site to protect public health and the environment. Had financial assurance instruments been in place, the cost would have been less to handle the problem. [W] Response to Comment Regarding Rule .1805(e)(3)(A) Proposed Rule .1805(e)(3)(A) states: "The owner and operator shall establish a standby trust fund. The standby trust fund shall meet the requirements of 40 CFR 258.74(a) except the requirements for initial payment and subsequent annual payments specified in 40 CFR 258.74(a)(2), (3), (4), and (5). Payments made under the terms of the letter of credit shall be deposited by the financial institution directly into the standby trust fund." 40 CFR 258.74(a)(2), (3), (4), and (5) contain the requirements for the owner or operator to make initial and annual payments into the standby trust fund. The underlined rule language above exempts the owner or operator from the requirement to make these payments, which exempts them from directly funding the trust. Because the owner or operator is not required to fund the account, it remains a zero - balance account until such time that the Division would be required to enact the terms of the letter of credit. If the Division were required to enact the terms of the letter of credit, the proposed rule language would then require the financial institution, not the owner or operator, to deposit the funds into the standby trust fund in accordance with the terms of the letter of credit, so that the funds are able to be accessed by the Division directly. Note that without the standby trust account, the Division would not have a means to access the funds from the letter of credit. G.S. 130A-295.2(f) states in part: "Assets used to meet the financial assurance requirements of this section shall be in a form that will allow the Department to readily access funds for the purposes set out in this section." This proposed rule language is not a change from the same requirement that is in existing Rule .1628(e)(1)(C)(v), except that it is referring to the same language in the CFR instead of the rule, since the majority of this proposed rule now references the language in CFR instead of repeating CFR language in the rule. Summary Only three comments were received on 15A NCAC 13B Rules .0546, .1105, .1111, .1628, and .1801 - .1806 during the public comment period. One comment submitted at the public hearing on behalf of NC SWANA thanked staff for their collaboration on the draft rules and indicated that written comments would be submitted at a later date; however, the written comments later submitted by NC SWANA were not regarding the above -mentioned rules, but were regarding other rules in Sections .0500 and .1600 for landfills which will be addressed in a separate Hearing Officer's Report for those rules. One written comment was received which objected to the rules and the rule changes in general, the regulatory impact analysis, and the statutory requirement for financial assurance. The written comment did not include an objection to any specific rule requirement(s), and did not request any specific changes to the rules. A second written comment was received containing four comments which are addressed above. No additional changes were made to 15A NCAC 13B Rules .0546, .1105, .1111, .1628 and .1801 - .1806 following the public comment period. Hearing Officer's Recommendation The Hearing Officer's Recommendation is that the Environmental Management Commission adopt 15A NCAC 13B Rules .0546, .1105, .1628, and .1801 - .1806, and repeal Rule .1111 as published in the NC Register during the public comment period. C-9 /_1»=I'191KV45l Agency Head Certification C-10 CERTIFICATION OF THE AGENCY HEAD REGARDING COMPLETION OF A FISCAL NOTE AND RULE ANALYSIS IN RE: 15A NCAC 13B .0546, .1105, .1111, .1628, and .1801 - .1806 "Financial Assurance Requirements for Solid Waste Management Facilities" FINDINGS The Chair of the North Carolina Environmental Management Commission ("the Commission") is appointed by the Governor to guide and coordinate the activities of the Commission in fulfilling its duties. G.S. § 143B-284. The Commission has the power and duty to promulgate rules to be followed in the protection, preservation, and enhancement of the water and air resources of the State. G.S. § 143B-282(a). The undersigned Chair of the North Carolina Environmental Management Commission hereby certifies that the attached rules comply with the rulemaking principles set out in Executive Order No. 70 as amended by Executive Order No. 48 (2014). The Chair specifically certifies the following: 1. The attached rules are necessary because the rules are required by federal law, citation: x required by state law, citation: G.S. 150B-21.3A x deemed necessary by the agency to serve the public interest 2. These rules were based on sound, reasonably available scientific, technical, economic, and other relevant information that can be found in the rulemaking record. The rulemaking record can be found in the minutes of the Commission and in supporting documents. Those documents can be found on the Division of Waste Resource's webpage at http://deq.nc.gov/about/divisions/water-resources/water- resources-commissions/environmental-management-commission or may be requested from the Clerk of the North Carolina Environmental Management Commission at EMCclerk@ncdenr.gov. 3. The fiscal impacts of the rules have been analyzed and appropriate action taken as follows: X The Commission determined that no fiscal note was required under G.S. § 15013-21.4; or A fiscal note has been prepared and approved by the Office of State Budget and Management in accordance with G.S. § 150B-21.4. A copy of the fiscal note can be found in the rulemaking record at the locations described in (2) above. 4. The rules meet all other requirements of Executive Order No. 70. C-11 Based upon the foregoing Findings, and pursuant to the requirements of the North Carolina Administrative Procedures Act and Executive Order No. 70, the undersigned makes the following: CERTIFICATION The following proposed rules, 15A NCAC 13B .0546, .1105, .1111, .1628, and .1801 - .1806 entitled "Financial Assurance Requirements for Solid Waste Management Facilities" are in compliance with Executive Order No. 70. This, the 9th day of January 2020 at Raleigh, North Carolina. Chair North Carolina Environmental Management Commission C-12 /_1»=I'LlIQK K Hearing Officer Designation Memo ENVIRONMENTAL MANAGEMENT COMMISSION Roy Cooper, Governor Michael S. Regan, Secretary NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY January 23, 2020 To: EMC Commissioner John McAdams From: Dr. A. Stan Meiburg, Chairma,14 Subject: Hearing Officer Appointment David W. Anderson Shannon M. Arata Yvonne C. Bailey Charles Carter Donna L. Davis Marion Deerhake C-13 Dr. A. Stan Meiburg Chairman Dr. Suzanne Lazorick Vice -Chair Robert Gillespie Patrick K. Harris Steve Keen John McAdams Margaret C. Monast Dr. Donald van der Vaart A public hearing has been scheduled for March 3, 2020 at 3:00 PM in Room 1201 at the DEQ Green Square Building, 217 West Jones Street in Raleigh, NC. The purpose of this hearing is to receive comments on the readoption and amendments to several solid waste management rules in 15A NCAC 13B .0500, .1600, and .1800 as required by G.S. 15013- 21.3A for the Periodic Review and Expiration of Existing Rules. I am hereby appointing you to serve as hearing officer for these hearings. Please receive all relevant public comment and report your findings and recommendations to the Environmental Management Commission. Jessica Montie with the Division of Waste Management, Solid Waste Section will provide staff support for you. If you have any questions, please feel free to contact Jessica Montie at 919-707-8247, or me. cc: Lois Thomas Jessica Montie Hearing Record File C-14 APPENDIX 3 Hearing Attendance Sheet and Transcript W 0 z y a J _Q Ci z Q W z W �- J p Z � Q W J N J_ a" c a < O N c� p z z a a W � = V V � J p m LL O d O = 00 0 ru p � a 0 o O N t0 O r N N M z V O � V Q W N p F— Z W Q = T V) T W V Q � p � z . N W J D G W O IL O w IL m O LL. a z a W 2 V J m IL C7 W J N O N rM Q W W 2 W V Z Q C z LU Q �ul m9 LL 0 N co V W W'm m Y d W J W m W. IL 'C \� m v .J m V o W ++ t a V • L r Not O 0 v O O L v � Z\�V7 O m LL 1 LL Q � . W ` Q ` z fv� Nz IL a �J U Ih Co C) O r N M It LA O ti O Ql O r N T r T N N N N N N N N N N M M M C-17 SECTION 1— INTRODUCTION AND OVERVIEW I am calling this public hearing to order. My name is John McAdams and I am a member of the Environmental Management Commission. I am the presiding officer for this evening's hearing. This public hearing is being held by the Environmental Management Commission to solicit written and oral comments on rules relating to Solid Waste Management Facilities. The Environmental Management Commission is granted authority in the North Carolina General Statutes to adopt certain rules following the procedures specified in General Statute 150B. Accordingly, a public notice containing the proposed rules under consideration was published in the February 17, 2020 edition of the North Carolina Register and on the Department of Environmental Quality (DEQ) website, and was sent by e-mail to interested parties including, but not limited to, advocacy groups, local government contacts, and industry contacts. The audio of this hearing is being recorded for the record. The purpose of this hearing is to receive public comments on 15A NCAC 13B Rules .0531 - .0547, .1105, .1111, and Sections .1600 and .1800 for Construction and Demolition and Municipal Solid Waste Landfill Facilities and Financial Assurance for Solid Waste Management Facilities. These rules collectively establish standards for the permitting procedures, siting, design, performance standards, operation, closure, and post -closure of these two types of solid waste landfills, and for financial assurance for all solid waste management facilities permitted under Subchapter 13B. Amendments to these rules are being considered by the Environmental Management Commission as part of the readoption process pursuant to G.S. 150B-21.3A, which requires that existing rules be reviewed every 10 years. As the hearing officer, it is my responsibility to listen to your comments and assist in the preparation of the hearing report, which summarizes the information presented tonight, all comments received tonight and throughout the comment period, and provides recommendations to the Commission on the proposed rule - making. The Commission will make the decision on the final action, which may be to accept the hearing officer's recommendations, modify them, or take a different course of action. As it now stands, the Commission should consider the adoption of the proposed rules at their May 14, 2020 meeting in Raleigh. C-18 The Commission is interested in your comments on these rules to help them decide what the final rule language should be for their consideration. The Commission is not only seeking your comments on the proposed rule language, but also on the two Regulatory Impact Analysis documents. Information on these rules has been available on the DEQ website since February 17, 2020. The documents on the website include proposed wording of the rules, an explanation of the rules, information on the public comment period and contact information for submitting written comments, and information on the possible impacts from the rules as provided in the two Regulatory Impact Analysis documents. If anyone has written comments they would like to provide, including any speakers who have written copies of their comments, please provide them to the staff before leaving today. Written comments prepared after the hearing may be submitted by e-mail or US Mail to Jessica Montie at the address provided in the information available at the back of the room or in the Proposed Rule Notice on the DEQ website's Proposed Rule Library. All comments received by April 17, 2020 will be included in the public comment record. Equal weight is given to both written and oral comments. appreciate everyone's attendance and would like to take this time to recognize any public officials in attendance today. (Introduce any public officials or other EMC members that wish to be recognized. Staff will provide a list if any public officials sign in) Now I would like to invite any additional public or elected officials to stand and introduce themselves. would also like to recognize members of the DEQ staff that are here. Will you please raise your hands? C-19 SECTION 2 — HEARING PROCEDURES (If attendance is minimal, you may wish to pass over this Section and proceed to Section 3) At this time, I will provide an overview of how the meeting will be conducted: 1. 1 will call on speakers in the order they signed up to speak. If you wish to speak and have not yet signed up, you still have the opportunity to do so at the table in the entryway. 2. When your name is called, please come to the microphone, and clearly state your name and any group you may be representing or affiliated with. 3. Each speaker will be limited to 3 - 5 minutes so that everyone who wishes to speak has an opportunity to do so. Staff will keep track of the time and raise a sign to indicate when you have 1 minute remaining and when you have 30 seconds remaining to finish your comments. (Adjust the time limit as needed if a very large crowd attends.) 4. All public comments will be directed to me as the hearing officer. 5. 1 ask that everyone respect the right of others to speak without interruption. 6. Please keep your comments concise and limit them to the proposed rulemaking. 7. At the end of the meeting, if time remains, we will ask if anyone who did not sign up would now like the chance to speak. C-20 SECTION 3 — CALLING OF SPEAKERS will now call on speakers that signed up to give comments. (No attendees signed up to give comment) Is there anyone else who did not sign up to speak but would now like to provide a comment on the rules? Joe Hack with Mecklenburg County, and representing NC SWANA, provided a comment thanking DWM staff for the collaboration on these rule changes, and stating that NC SWANA would be submitting their written comments at a later date. SECTION 4 — CLOSING THE HEARING would like to thank everyone for attending tonight's hearing. Your input is greatly appreciated. If there are no more comments, then this hearing is closed. The public comment period will remain open until April 17, 2020. Written comments may be submitted to Jessica Montie at the email address or mailing address provided in the information available at the back of the room. C-21 /_1»= I'1QVt! Written Comments Received During the Comment Period C-22 Deanna Martin 5404 Foster Store Rd Liberty, NC 27298 336-264,4894 3/1Bf 2D Jessica Montle, Sc1Ld Waste Section NC DFQ Division of'Waste Management 1646 Mail Service Center Raleigh, NIC 27699-1646> To Whom It May Concern: This letter is in oppDsibon of the Published Ruleinaldng Not:ce and Information including the Proposed ]yule Text and the two Regulatory Inipacc and Fiscal Analysis docwnents for the following males; 15A NCAC. 13B .0531-,0547 and Section .1600 for C&D and MSW Landfills, and Rules ,0 546, ,1105, ,1111, ,16.2 8, and new S action .1800 for Financial Assurance for all Solid Waste Management Facilities, T'hes e changes are an overre ach and unnecessary. Many landfills are private and sauce public landfills are located in sinall, sparsely populated counties. This change in the rules would put n3any out crf business. All pem-iLtted landfills are regulated, tested and me nitore d, These rules would cause the increase in the dumber of illegal, unregulated landfills if the pen itted ones air not able to op-erate. Imagine the pollution the world would have if there were no eegulatd landfills. I understand, somewhat, of your reasons for this. Ho-�%rever, I believe it %vould be more beneficial to support the pern fitted landfills rather than ivork against them. Another reason, this is a bad idea is that the money the landfills are spending in securing finmicial as rurance bonds, they could hire insure workers. In turn., that woLdd help the Economy more by decreasing unemployment. Sincerely, Dea;vla Deanna Martin 0 C-23 Carolinas• - April 13, 2020 Jessica Montie N.C. Department of Environmental Quality Division of Waste Management 1646 Mail Service Center Raleigh, NC 27699-1646 Re: Comments on proposed rules 15 NCAC 13B .1800 Financial Assurance for Solid Waste Management Facilities Dear Jessica: I am writing on behalf of the North Carolina Chapter of the National Waste & Recycling Association (NWRA). NWRA is a trade association representing the private sector waste & recycling industry. Our members include companies operating in the North Carolina. These companies play a significant role in providing the infrastructure that allows for safe and effective management of waste and recycling in the State of North Carolina. Comments: 15A NCAC 13B .1801 These rules should not be adopted until the definitions in Rule .0101 of this Subchapter have been adopted. If these rules are adopted without the accompanying definitions, there is a likelihood of confusion and misinterpretation. The Environmental C-24 Management Commission should delay the adoption of these rules until such time as Subchapter .0100 can be simultaneously adopted. 15A NCAC 13B .1803 (c) We object to the proposed rule because the rule does not provide for any expiration date of financial assurance for post -closure care. The rule should expressly terminate the post -closure financial assurance requirement 30 years after issuance of the closure letter, unless released earlier. 15A NCAC 13B .1804 (b)(1) We object to this rule because it is our opinion that an annual adjustment of the cost for potential assessment and corrective action for inflation is excessive. N.C.G.S. 130A- 295.2(h) requires minimum $2 million for potential assessment and corrective action at sanitary landfills. In our opinion, an adjustment to a cost that is merely speculative based on a potential for action is not necessary. 15A NCAC 13B .1805 (e)(3)(A) We object to the proposed rule because the rule does not specify that the standby trust fund is a zero -balance fund until such time as funds are deposited by the financial institution. We appreciate the opportunity to submit comments on these very important rules. Sincerely, Phil Carter Legislative Committee Chair North Carolina Chapter National Waste & Recycling Association