9226_Hall - Response to Watkins Tonnage Email 8-12-2022

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August 12, 2022

Mr. Jason Watkins
Field Operations Branch Head
Division of Waste Management – Solid Waste Section
North Carolina Department of Environmental Quality
217 West Jones Street
Raleigh, NC 27603

Dear Mr. Watkins:

Meridian Waste received your email dated August 9, 2022. Please note that Meridian Waste believes
that the Shotwell C&D Landfill is in full compliance with its current solid waste permit. Below is a brief
outline of how Meridian Waste is maintaining compliance.

1. Meridian Waste is continuing to operate under the current state solid waste permit that
lists the maximum annual tons accepted for disposal as 91,250 in accordance with the
franchise. This is based on the franchise ordinance that was issued for the time period
when this state permit was issued, and the facility has operated under this understanding
of the franchise and solid waste permit since issuance. July is the first month of the
reporting period for the new year, and it is not unexpected that tonnages are generally
up this time of year with economic conditions and lots of building activity in the region.
Under the current approved permit, Meridian Waste reported the following for the month
of July 2022:
a. Total Tons received – 14,055.933
b. Total Tons recycled – 4,087.38
c. Total tons disposed of – 9,968.553
d. Note: These number are in line with past conditions. Meridian Waste will manage
the tons to comply with the permit.

2. Meridian Waste will continue to report and recycle in accordance with the current state
permit and approved recycling and operations plans and will maintain compliance with
the current permit until a new permit is issued.

3. As you are aware, a new Wake County franchise ordinance was approved in May of
2022 that allows 365,000 tons to be received at the site which will include those tons that
are disposed of and recycled. For simplicity and at the suggestion of Meridian Waste to
Wake County, the amended franchise included both the change in definition and the
annual acceptance limit of 365,000 tons to simplify reporting going forward. In addition,
the amended franchise allowed the site to begin construction on a MRF facility to increase
C&D recycling in the area.

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4. This revised franchise ordinance was referenced and provided to the NCDEQ along with a
permit application for a revision to amend the solid waste permit to match the new limits
outlined in the franchise. This application was submitted with all back up documentation to
the state on May 17, 2022. Currently, the company is awaiting all NCDEQ review
comments and/or publishing the notice of draft permit. Based on conversations with the
state, we believe that the permit would take about 90 days to be amended and become
final, and that is still our current understanding.

5. Once the new permit is issued by the state, Meridian Waste will convert over to the new
permit conditions and definitions and comply with annual reporting status. Despite the
revised franchise being issued by Wake County, Meridian Waste must still comply with the
conditions of the previously approved franchise until a new NCDEQ-issued solid waste
permit is issued that will be consistent with the new revised franchise conditions. Therefore,
Meridian Waste is continuing to maintain compliance with the current solid waste permit
issued by the state which is based on the previous Wake County franchise conditions.

6. As it relates to the last statement in your email, regarding the change in definition on tons
disposed versus tons accepted, we believe the state’s apparent interpretation is in error.
The franchise agreement was amended to reflect a “tons accepted” definition under the
condition that the tonnage is increased to 365,000 tons received per year. These
conditions are not mutually exclusive of one another as the email seems to imply. These
conditions are in fact joined.

7. As we expect when the state solid waste permit is revised and issued, Meridian Waste will
immediately change the reporting as defined in the new franchise and new annual
acceptance rate. This is expected to result in the reporting year for July 1, 2022 to June
30, 2023 to be under this forum once the state permit is amended.

Meridian Waste requests a meeting with you and Mr. Mussler to discuss this matter further. The assertion
that Meridian Waste is not complying with its current permit by the state is surprising and, we believe,
incorrect. It is also at odds with Meridian Waste’s actions and cooperation with the state since taking
over the site. Meridian Waste was further surprised that this type of email would be sent without the
courtesy of a phone call to discuss any questions on the operation of the site. I look forward to the
opportunity to meet in the next few weeks.

Sincerely,
Walter “Wally” Hall
Chief Executive Officer
Shotwell Landfill, Inc.
Meridian Waste Acquisitions, LLC

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[e-mail]
[phone]

CC: Mr. Ed Mussler, [e-mail]
Ms. Sherri Stanley, [e-mail] Mr. Bill Ross, Brooks Pierce, [e-mail]