City of Spokane
Response Page
Related
Articles:
Life & Times of WTE
Balance Due
Rising from the Ash
Waste Management
Web Posts
Recycling?
Letters to the Editor
5/30/06
7/16/06
Letters to Spokane City Council and others
NEW SWAC
PROPOSAL: LIMIT
CITY CONTROL OF SOLID WASTE SYSTEM
View Document (pdf)
Spokane Waste
of Energy Financial Model
2007 - 2030
We tried to sell the WTE Plant on
eBay -
View
|
|
|
Spokane Waste of
Energy
Shedding Light on
Spokane's overpriced Solid Waste System
|
|
Why are
Spokane County's dump fees nearly the highest in the nation? |
All the garbage from the entire Spokane County is under the strict monopoly
control of an organization called the Spokane Regional Solid Waste System
(aka "the System"), which has the power to levy fines for
non-compliance of System rules. The System is staffed and managed solely by
the City of Spokane, even though the majority of Spokane County's population
live outside Spokane city limits. Not surprisingly, the System
insists that all garbage in Spokane County must go to the City of Spokane's
waste-to-energy plant, at the outrageous price of $100 per ton! (County
residents can't vote in City elections - Spokane sets the rates, and we can't
vote them out of office. Taxation without representation?) Why $100 per ton,
when the national average is just $45 per ton? Because the System pays the City of Spokane over $10
million ($27/ton) to run the transfer stations, and for administration fees, rebates,
perks, etc., plus another $17 million ($57/ton) to pay for the city's
peculiar debt scheme on the
waste-to-energy plant. The System also pays
Wheelabrator $14 million ($47/ton) to operate
Spokane's waste-to-energy plant, and then pays
Rabanco $4
million ($45/ton) to haul ash from the plant to a landfill. That's $45
million ($140/ton) in costs to produce $13 million in electricity
sales. We've
been doing this for 15 years, with 5 years to go, and we still owe $85
million dollars on the plant. Even worse, the waste-to-energy plant is already running at
full capacity, and it will cost anther $70 million dollars to expand the
facility.
If all
the money wasted on the waste-to-energy (WTE) plant had been modestly
invested, it would be worth $500,000,000.00 (that's half a Billion) by the year 2010. Instead,
Spokane will own an
incinerator that dumps nearly
175 million pounds of carbon into the atmosphere
every year. That's more than
TWICE the carbon a coal fired plant releases, and equivalent to an extra
40,000 cars on the road! They also pollute us with tons of sulfur
and nitrous oxides, plus hundreds of pounds of mercury and lead. They say
they're tuning waste to energy, but....only 12% of the energy from the plant gets converted
to electricity.
Now that's a waste of energy!
They also claim the waste-to-energy plant produces enough electricity for
about 13,000 homes. OK, but the $35 million spent on the plant could buy
enough electricity for 52,000 homes.
It begs us to ask the question....
What was Spokane's logic for building this boondoggle?
"...a waste-to-energy facility was determined to be
environmentally and financially the best option."
(spokanesolidwaste.org)
In reality, it's a huge money pit that's environmentally
dangerous. It's just one of many bad decisions the Spokane City
Council has made in the last couple of decades. Unfortunately
this bad decision affects the entire county.
|
|
Spokane Regional Solid Waste System has a $50 million dollar
budget, and a mandate to represent the entire county. Here's where they
spend the money:
The amount of money given to the City of Spokane dwarfs the amount that the county
receives. What else would you
expect when the Director and staff of
the Spokane Regional Solid Waste System are all employees of the City
of Spokane? This situation is the definition of Conflict of
Interest.
|
An overview of Spokane Regional Solid Waste System's annual
budget:
Income: |
|
1. Waste To Energy Plant electricity (175M KWH to
Puget Sound Electric) |
$12,800,000 |
2. 330,000 tons of trash ($100 /ton) |
$33,000,000 |
3. 45,000 tons of "Clean Green" |
$1,500,000 |
4. Misc. income, grants, etc. |
$2,000,000 |
5. 10,000 tons ferrous materials |
$800,000 |
Total Income |
$50,100,000 |
Expenses |
|
1. Wheelabrator management fees.
Waste Management |
$14,000,000 |
2. 120,000 tons of ash & bypass ($45 /ton)
Rabanco |
$5,400,000 |
3. Litter Control (1/2 for
City of Spokane) |
$600,000 |
4. Transfer Stations (52 employees)
City of Spokane |
$4,300,000 |
5. 45,000 tons "Clean Green" to Oregon Waste Management |
$2,000,000 |
6. Administration, City of
Spokane |
$1,000,000 |
7. Misc. programs, waste, graft & taxes
(mostly City of Spokane) |
$3,000,000 |
8. Rebate to City of Spokane |
$1,600,000 |
9. Payment to Regional Cities |
$250,000 |
10. Debt service on Facilities ($85M)
City of Spokane |
$17,500,000 |
Total Expenses |
$49,650,000 |
When we first looked into the numbers for the Spokane
Regional Solid Waste System (SRSWS), our initial impression was
that something illegal must be going on. Upon further
investigation, we may not be able to rule out criminal activity,
but we do believe SRSWS is operating under one of the most
inept business plans ever conceived. The main beneficiaries of
this bizarre scheme are Wheelabrator (Waste Management), and the
City of Spokane, which uses the System to increase it's tax base
and as it's own private money borrowing source. Analysis: Solid waste is delivered, and
the ash is hauled away at no cost to the Facility, and yet SRSWS
spends $14 Million to
operate
the WTE Facility to produces $13
Million worth of
electricity. When the lucrative contract* with Puget Sound Electric
expires, it's highly probable that the Facility will produce even less
revenue (around $7 million at today's rates). It is our opinion that the Facility will never produce
enough revenue to pay for it's own operation. Placing a Waste to
Energy Plant in an area flush with cheap electricity seems like
an odd decision. $100 a ton "tipping fees" are the highest in
the State (and still rising), and one of the highest in the
entire Nation. Of that $100 dollars, $86 dollars ends up benefiting only the City of Spokane
or Waste Management (expenses in red above).
Sadly, only $1.20 of every $100 benefits the County (Litter
Control & Regional City payments) Non-city residents of
Spokane County will have paid over 50% of the
$300,000,000 to finance the Waste to Energy Facility, and will have
0% ownership. It will be
fully owned by the City of Spokane. It is our opinion that
Regional Cities and the County should break with the City of
Spokane and form a more coherent and efficient Solid Waste
Disposal System. |
*Puget Sound Electric's basic rate to it's
customers is 6.75 cents/kwh, but has to buy it from SRSWS for 9.5
cents. PSE would be nuts to
renew that contract. We'll be lucky if they don't try to break
the current one. For comparison, Avista customer rates are
around 5 cents/kwh. |
We beg anyone from the City of Spokane that wishes to comment to
please do so. We will post your comments or correct any information as
soon as we receive it. PLEASE!
Garbage, Solid Waste, Trash, Dump,
Landfill etc.
|
Web hosted by
Osprey Communications
Missing Tribe Inc
XM
|