House committee considers bill on hazardous waste designation

US Ecology, a radioactive waste treatment site outside of Grandview, presented a report to the House Environment, Energy and Technology Committee this week. The Grandview site is one of five facilities the company operates in North America, employing more than 100 Idahoans.
President Jim Baumgardner noted that the sites' revenue has been impacted by the slowing economy, and short term projections are for 2011 to look a great deal like 2010 in terms of the volume of radioactive material they transport, treat and dispose of.

As these revenues have fallen, Baumgardner noted, so too have the tipping fees that the company pays into the general fund, which amount to about $2 million each year. It costs the state about half of that to monitor the site. The company is also currently covering costs to maintain the road between the site and the rail line, which normally would be a function of the Mountain Home Highway District.

The site’s biggest customer is the Army Corps of Engineers, which sends primarily low level radioactive material, such as soils from site clean-ups and other debris. This is non-regulated radioactive material, rated as exempt by the NRC.

While Baumgardner expects both clean-up projects and base business to improve throughout the year with the economy, which will ultimately improve revenue and earnings slowly but steadily over time, he says economic conditions are not robust and signs of weakness remain in the market.

Immediately following the presentation, Roy Eiguren presented a bill to the committee that would effect a technical correction to the Idaho Waste Management Act. The bill anticipates a federal change in designation of material that is hazardous waste, but also exempt for the purpose of treatment by the Grandview facility.

“What we’d like to do is allow the State to continue to accept by-product consistent with the federal act of 2005,” Eiguren said. “It would not expand the type of waste currently coming into the facility, but prevent a change in designation.”

Eiguren noted that historically about 20,000 tonnes of this material has come into the facility. Should the facility not be allowed to accept this waste, it would result in a loss of about $100,000 annually in fees to the general fund.

The bill was sent to the floor with a do-pass recommendation.