MECKLENBURG COUNTY, NORTH CAROLINA

Transcription

1 November In conjunction with MECKLENBURG COUNTY, NORTH CAROLINA GENERATION, RECYCLING, AND DISPOSAL ANALYSIS OF WOOD PALLETS AND UNTREATED WOOD WASTE IN THE COMMERCIAL AND C&D SECTORS Final Report December 2008 MID ATLANTIC SOLID WASTE CONSULTANTS 625 Sawyer Road, New Market, MD / Spring Island Way, Orlando, FL / Chestnut Street, Camp Hill, PA /

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3 ACKNOWLEDGEMENTS The MSW Team would like to thank the following parties for their assistance during various stages of this project. Mecklenburg County pallet recyclers, with special thanks to Doug Reiner, Custom Pallet; R.J. Brewer, Metromont; Cheryl Gamble and Bill Hawley, Gamble Pallet Company; Melvin Simpson, Simpson Wood Products, Inc.; and Jim Neal, Neal s Pallet Company Builders who participated in two County focus groups (names and companies have been withheld because of an agreement that the participants would remain confidential) Other recyclers contacted as part of this research, with special thanks to Steve Davis of Union Gypsum and to FCR Recycling Mike Griffin, President, Griffin Brothers Industries (owner, North Mecklenburg Landfill) Roger Barnes, Operations Manager, North Mecklenburg Landfill Shawn Brady, General Manager, Charlotte Division Republic Services (owner, Queen City Transfer Station) Joe Hack, Solid Waste Services Manager, Mecklenburg County Terry McCarver, Operations Manager, Foxhole Landfill Steve Elliott, Yard Waste Operations Manager, Compost Central Paul H. Martin, Geospatial Information Services, Mecklenburg County Michael Talbert, Project Manager of Study, Construction and Demolition Waste Recycling, Mecklenburg County Stewart Espey, Senior Environmental Specialist, Mecklenburg County Laurette Hall, Environmental Manager, Mecklenburg County Bruce Gledhill, Mecklenburg County Solid Waste Director This study would not have been successful without their ongoing cooperation. Prime Contractor MidAtlantic Solid Waste Consultants, LLC 6225 Sawyer Road, New Market, MD (301) Spring Island Way, Orlando, FL (407) Chestnut Street, Camp Hill, PA (717) Subcontractor DSM Environmental Services P.O. Box 2, 15 State Street, Windsor, VT (802)

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5 TABLE OF CONTENTS EXECUTIVE SUMMARY... 1 ES 1. Introduction...1 ES 2. Key Questions...1 ES 3. Generation...2 ES 4. Existing Recycling and Reuse Infrastructure...4 ES 4.1. Wood Pallets...4 ES 4.2. Clean Wood...6 ES 5. Gaps and Strategies...7 ES 5.1. Small/Damaged Pallets and Pallets from Small Quantity Generators...7 ES 5.2. Separation of Clean Wood from Mixed C&D...8 ES 5.3. Separation at the Job Site...8 ES 5.4. Mixed C&D Processing...8 ES 6. Development of New Markets for Clean Wood...11 ES 7. Recommendations INTRODUCTION Background Materials Targeted in Study Report Organization BACKGROUND INFORMATION County Waste Management System Database of Commercial Businesses Wood Pallet Research Pallet Manufacturing Pallet Recycling Material Densities C&D Waste Composition METHODOLOGY Introduction Commercial Generator Sector Approach Hauler Surveys QCTS Survey of Commercial Vehicles Commercial Generator Research and Surveying Telephone Surveys On-site Surveys InfoUSA Database Accuracy Targeted Commercial Load Observation Mecklenburg County Pallet/Woodwaste Report i

6 TABLE OF CONTENTS 3.3. Construction and Demolition Sector Approach Hauler Surveys C&D Waste Characterization Study Builder Focus Groups Recycling Market Research Approach Collection Infrastructure Research Surveys of Market Infrastructure Other Information Sources WOOD PALLETS AND UNTREATED WOOD Introduction Wood Pallet Generation, Recycling and Disposition Commercial Sector C&D Sector Pallet Recycling/Reuse Market Research Untreated Wood Generation, Recycling and Disposition Commercial Sector C&D Sector Summary Discussion Transportation and Recycling Market Infrastructure Collection and Transportation Pallet Recyclers/Rebuilders Grinders Gap Analysis and Implications of the Pallet Ban Landfills Generators Commercial Haulers Scavengers Pallet Recyclers C&D Processors Clean Wood Markets Conclusion OTHER TARGETED MATERIALS Introduction Old Corrugated Cardboard Generation and Recycling in Commercial Waste Recycling Market Infrastructure Film Plastic Generation and Recycling in Commercial Waste Disposal in C&D Waste Stream Recycling Market Infrastructure Vinyl Siding ii Mecklenburg County Pallet/Woodwaste Report

7 TABLE OF CONTENTS Disposal in C&D Waste Stream Recycling Market Infrastructure Gypsum Drywall Disposal in C&D Waste Stream Recycling Market Infrastructure Asphalt Roofing Disposal in C&D Waste Stream Recycling Market Infrastructure Conclusion APPENDIX A PALLET REFERENCE APPENDIX B COMMERCIAL GENERATOR SURVEY INSTRUMENT APPENDIX C QCTS COMMERCIAL WASTE OBSERVATION DATA APPENDIX D NAICS CODE ASSIGNMENTS APPENDIX E HAULER SURVEY AND RESPONSES APPENDIX F MECKLENBURG COUNTY C&D WASTE CHARACTERIZATION RESULTS APPENDIX G BUILDER FOCUS GROUP NOTES List of Figures Figure 2-1 Disposition of Recycled Pallets, Figure 3-1 Expected Pallet/Clean Wood Generation by Industry (No. of Businesses) Figure 3-2 Expected Pallet/Clean Wood Generation by Industry (Employment) Figure 4-1 & Figure 4-2 Pallets Awaiting Collection Figure 4-3 Pallets as a Percent of Disposed Commercial Waste Figure 4-4 Proportion of Waste Received at QCTS Figure 4-5 Mecklenburg County Pallet Disposition and Recycling Summary Figure 4-6 Clean Wood as a Percent of Disposed Commercial Waste Figure 4-7 Mecklenburg County Clean Wood Disposition and Recycling Summary Figure 4-8 Pallet Collection and Transportation at Surveyed Businesses Figure 4-9 Recovered Wood from C&D Processing Plant (Massachusetts) List of Tables Table 1-1 Summary of Targeted Materials by Sector Table 2-1 Mecklenburg County Waste Disposal, FY Mecklenburg County Pallet/Woodwaste Report iii

8 TABLE OF CONTENTS Table 2-2 Summary of Mecklenburg County Commercial Businesses Table 2-3 Top 10 Pallet Sizes in North America in Table 2-4 Average Weight of Medium Duty 48 x 40 Pallets Table 2-5 Survey Data Units and Conversion Factors Table 2-6 Targeted Materials Disposed in C&D Waste Stream Table 3-1 Mecklenburg County Businesses Likely to Generate Pallets/Wood Table 3-2 Mecklenburg County Businesses that Possibly Generate Pallets/Wood Table 3-3 Mecklenburg County Businesses not Surveyed Table 3-4 Research Methods for Commercial Sub-Sectors Table 3-5 Summary of Commercial Generator Phone Surveys Table 3-6 Summary of Phone and On-site Survey Responses Table 3-7 Comparison of On-site Surveys and Total Likely Generator Businesses in Mecklenburg County Table 3-8 Visual Survey Waste Generation Table 3-9 Mecklenburg County C&D Waste Composition Summary Table 3-10 Summary of Pallet/Wood Market Infrastructure Participants Table 4-1 On-Site and Telephone Surveys of Likely Pallet Generators Table 4-2 Phone Survey of Possible Pallet Generators Table 4-3 Generator Coefficients of Likely Pallet Generators Based on On-site Surveys (pallets/employee/year) Table 4-4 Generator Coefficients of Possible Pallet Generators Based on Phone Surveys (pallets/employee/year) Table 4-5 Pallet Generation from Likely Pallet Generators Based on On-site Surveys (No. of Pallets) Table 4-6 Pallet Generation from Possible Pallet Generators Based on Phone Surveys (No. of Pallets) Table 4-7 Total Pallet Generation in the Commercial Sector Table 4-8 Summary of Commercial Waste Deliveries to QCTS Table 4-9 Wood Pallets in C&D Waste Stream Table 4-10 Characterization of Wood Pallets in C&D Loads Table 4-11 Summary of C&D Debris Deliveries to QCTS Table 4-12 Estimated Annual Pallet Recycling by Mecklenburg County Infrastructure Table 4-13 Mecklenburg County Pallet Disposition and Recycling Summary Table 4-14 Survey Results of Likely Clean Wood Generators Table 4-15 Survey Results of Possible Clean Wood Generators Table 4-16 Generator Coefficients of Likely Wood Generators Based on On-site Surveys (lbs/employee/year) Table 4-17 Wood Generation from Likely Generators Based on On-site Surveys (tons) Table 4-18 Summary of Commercial Debris Deliveries to QCTS Table 4-19 Clean Wood in C&D Waste Stream Table 4-20 Summary of Clean Wood in C&D Debris Deliveries to QCTS iv Mecklenburg County Pallet/Woodwaste Report

9 TABLE OF CONTENTS Table 4-21 Mecklenburg County Clean Wood Disposition and Recycling Summary Table 5-1 Surveys of OCC Generation Among Likely Pallet/Clean Wood Generators Table 5-2 OCC Generator Coefficients Based on On-site Surveys of Likely Pallet Generators (lbs/employee/year) Table 5-3 OCC Generation among Likely Pallet Generators Based on On-site Surveys (tons) Table 5-4 Generation of Film Plastic Among Likely Pallet/Wood Generators Table 5-5 Film Plastic Generator Coefficients from Likely Pallet Generators Based on On-site Surveys (lbs/employee/year) Table 5-6 Film Plastic Generation from Likely Pallet Generators Based on On-site Surveys (tons) 5-5 Table 5-7 Film Plastic in C&D Waste Stream Table 5-8 Vinyl Siding in C&D Waste Stream Table 5-9 Gypsum Drywall in C&D Waste Stream Table 5-10 Asphalt Roofing in C&D Waste Stream Mecklenburg County Pallet/Woodwaste Report v

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11 ES 1. INTRODUCTION EXECUTIVE SUMMARY In late 2005, House Bill (HB) 1465 was ratified by the General Assembly of North Carolina and signed into law to add wood pallets to the list of materials that are banned from disposal in the state s municipal solid waste (MSW) landfills. The MSW landfill ban on pallets as described in HB 1465 is scheduled to go into effect on October 1, To assess the potential impact of the pallet ban, and to improve its understanding of the management and potential for increased diversion of wood pallets and clean wood, Mecklenburg County issued Request for Proposals (RFP) in November The County subsequently retained the Project Team of MidAtlantic Solid Waste Consultants (MSW Consultants) and DSM Environmental Services (DSM) (collectively, MSW Team) to perform a comprehensive analysis of pallet and untreated wood waste disposal and reuse/recycling in Mecklenburg County. Wood Pallets Clean Wood The final project approach encompassed both the commercial waste stream and the construction and demolition (C&D) waste stream generated within the County, and also added old corrugated cardboard (OCC), plastic film, gypsum drywall, vinyl siding, and asphalt shingles to the scope of the study. Research methods used in the study included analysis of existing County data and business database resources, disposal site sampling of commercial and C&D wastes, on-site and telephone surveys of commercial generators, hauler interviews, focus groups of builders, phone and in-person meetings with recycled material markets, and research into the performance and dynamics of related case studies of diversion programs and strategies targeting these materials that have been implemented elsewhere within the industry. ES 2. KEY QUESTIONS This research effort sought to provide defensible data to answer the following questions relating to diversion of wood pallets and untreated wood waste in Mecklenburg County: Mecklenburg County Pallet/Woodwaste Report 1

12 EXECUTIVE SUMMARY Generation (SUPPLY): How many pallets, and what types (size, use, condition) of pallets, are generated in Mecklenburg County currently? Are these pallets being generated in the commercial waste stream, the C&D waste stream, or both? How much clean, untreated wood waste is being generated in the County s commercial and C&D waste streams? Existing Reuse, Recycling, and Disposal (SUPPLY): What is currently happening to the wood pallets and clean wood being generated in commercial and C&D waste in Mecklenburg County? How many pallets are being recovered for reuse by pallet remanufacturers, and how much clean wood either directly from commercial or C&D generators, or else un-reusable wood pallet scrap is being beneficially recovered? Conversely, how many pallets and what quantity of clean wood is being discarded in municipal solid waste (MSW) or C&D landfills? Existing Collection and Recovery Infrastructure (DEMAND): What organizations collectors, remanufacturers, wood grinders, and others currently make up the infrastructure for reuse, recycling, and recovery of wood pallets and clean wood, and what volume of materials are they handling currently? To the extent there are large quantities of wood pallets and clean wood waste that are not currently being recovered for beneficial reuse, what are the shortfalls, or gaps, of the existing infrastructure? Strategies for Increasing Diversion (SUPPLY and DEMAND): To the extent the current infrastructure for separating, collecting, reusing, remanufacturing, recycling, or otherwise beneficially recovering wood pallets and clean wood is deficient in one or more areas, what strategies exist to bolster this infrastructure and increase diversion of wood pallets and clean wood waste? This executive summary seeks to answer these questions in summary fashion. Note that this executive summary focuses predominantly on wood pallets and clean wood waste. Other materials old corrugated cardboard (OCC), plastic films, gypsum drywall, vinyl siding, and asphalt shingles were peripherally investigated as part of this project. Detailed information about these other materials can be found in Section 5 of the full report. ES 3. GENERATION A combined 258,500 tons of wood pallets and clean wood were found to be generated in Mecklenburg County. Notable breakdowns of this figure include: Pallets: Over 7.6 million pallets, or 190,000 tons, were generated in the County. Fifty-six percent, or almost 4.3 million pallets, were generated by large chain stores and retailers with the ability to manage pallets through internal logistics systems that allowed for backhaul of pallets from individual outlets to central warehouses and distribution centers (which in turn dealt directly with remanufacturers). These pallets were considered to be in use, and were not researched further as part of this study. Another 2.6 million pallets (34 percent) were aggregated by individual commercial businesses and hauled (usually by a third party hauler) directly to a pallet remanufacturer for reuse. The remaining ten percent of pallets were disposed, with a slightly higher number being disposed in MSW landfills (generated by commercial businesses) than in C&D landfills (generated by C&D-related activities). Figure ES-1 provides a breakdown by industry of the origin of almost 76,000 tons 3.14 million pallets generated within the commercial sector. 2 Mecklenburg County Pallet/Woodwaste Report

13 EXECUTIVE SUMMARY Figure ES-1 Commercial Sector Wood Pallet Generation* by Industry 75,960 tons (3.14 million pallets) * Excludes back-hauled pallets Clean Wood: Over 68,000 tons of clean wood was found to be generated in the County. Unlike pallets, which are generated throughout the commercial and C&D sectors and may flow through a number of parties on their way to reuse, recycling and disposal, clean wood was almost entirely generated in the C&D waste stream, and disposed as part of C&D waste. Over 62,000 tons of clean wood (91 percent) was generated in the C&D stream and was disposed in a C&D landfill. Figure ES-1 presents a visual summary of wood pallet and clean wood generation and disposition, and detailed data are shown in Table ES-1. Mecklenburg County Pallet/Woodwaste Report 3

14 EXECUTIVE SUMMARY Figure ES-2 Mecklenburg County Wood Pallet and Clean Wood Generation and Disposition Table ES-1 Mecklenburg County Wood Pallet and Clean Wood Generation and Disposition Pallets Clean Wood Current Disposition Number Tons Percent Tons Percent Disposed in MSW LF 445,102 11, % 3, % Disposed in C&D LF 310,593 7, % 62, % Recycled (including grind) 2,594,894 64, % 2, % Backhaul for Recycle 4,263, , % N/A N/A Total 7,613, , % 68, % ES 4. EXISTING RECYCLING AND REUSE INFRASTRUCTURE The current infrastructure for pallet and clean wood recycling spans numerous organizations, public and private, large and small. This study found the following infrastructure to be in place in Mecklenburg County to manage wood pallets and clean wood. ES 4.1. WOOD PALLETS Commercial Collection: Wood pallets are collected and transported to remanufacturers by a surprising range of entities. Not surprisingly, commercially licensed haulers collect and deliver the largest number of pallets, through standard roll-off collection service. 4 Mecklenburg County Pallet/Woodwaste Report

15 EXECUTIVE SUMMARY Commercial haulers were found to collect and deliver 80 percent of the pallets recycled directly from their point of generation. Unregulated Collection: Interestingly, a majority of pallet generating businesses in Mecklenburg County (estimated at 63 percent) are served not by licensed commercial haulers, but by a large network of unregulated scavengers who collect small quantities of pallets (and sometimes OCC and other valuable recyclables) from local small quantity generators who might not otherwise generate enough pallets to warrant source separation and recycling by commercial haulers. One pallet recycler estimated that there may be over 100 such entities operating in the County. As shown in Figure ES-3, these scavengers use pick-up trucks to collect wood pallets for which it was reported they are paid between $1 and $2 by local remanufacturers. Although these scavengers predominantly target the most common (and therefore most reusable) sized pallets and pallets that exceed 40 inches in at least one diameter, some businesses reported that they have made arrangements with these small haulers to accept off-spec and damaged pallets as a condition of taking the desirable, standard-size pallets. Given the extremely high recycling rate for pallets that already exists, this network of small collectors is very effective at aiding the beneficial recovery of wood pallets in Mecklenburg County. Figure ES-3 Unregulated Hauler of Wood Pallets Pallet Remanufacturers: Mecklenburg County is home to 16 pallet remanufacture/recycling businesses. These establishments sort, grade, rebuild, and resell pallets to a wide range of customers spanning many industries. As described above, the County s pallet remanufacturers are currently estimated to manage roughly 7 million pallets (over 4 million of which are from distribution centers and warehouses that backhaul pallets and employ the pallet remanufacturer directly). All of the pallet remanufacturers surveyed indicated having the capacity for taking on additional pallets of suitable dimension. The relatively small percentage of pallets not being recovered from commercial generators at the current time roughly 11,000 tons are those generated at Mecklenburg County Pallet/Woodwaste Report 5

16 EXECUTIVE SUMMARY small quantity generators that are not targeted by the scavenging community because they are highly damaged and/or smaller in size than standard pallets. 1 Grinders: There are four operations in Mecklenburg County, including the County s site at the Foxhole Landfill and three pallet remanufacturers, that grind clean wood and that therefore accept wood pallets for grinding. Much of the pallet (and clean wood) grind is currently being transported locally to a relatively saturated boiler fuel market. The companies grinding pallets were generally found to be doing so only to avoid the disposal fee for their own un-recoverable pallets; these companies charged for grinding pallets from other generators, essentially to cover the cost of grinding plus transporting ground wood to boiler fuel markets. One grinder reported having markets for up to 10,500 tons of additional clean wood (outside of boilers), and the County s Compost Central site indicated mulch sales could be increased by approximately 2,000 tons per year above current levels. Available capacity to absorb ground clean wood therefore appears to total roughly 12,500 tons annually. ES 4.2. CLEAN WOOD As illustrated, clean wood is predominantly generated in the C&D waste stream. Ultimately, to the extent clean wood is source separated, it is delivered to the same grinders along with pallets for grinding and use in local boiler fuel and mulch markets. However, relatively little clean wood is being source separated at the current time. Clean wood recycling infrastructure includes: Source Separation by Generators: Builder focus groups conducted as part of this project yielded excellent insight into the barriers to increasing clean wood recovery from construction sites. Barriers to pallet and clean wood recycling were numerous, and included (roughly in order of priority): builders of residential homes believe that recycling costs more than traditional disposal methods, space constraints for additional containers for source separation, limited ability to effectively manage recycling with subcontractors, insufficient industry recycling incentives (such as LEED 2 certified projects or owner requirements for on-the-job recycling) especially for residential builders, and no support from local haulers for job site recycling. There was consensus that any initiatives to improve pallet and/or clean wood recycling from C&D sites would have to be mandatory for all builders to assure a level playing field. Collection: Unlike pallets, collection and transportation of clean wood from generators whether commercial or C&D is generally only provided by commercial haulers for customers who generate full loads. The clean wood therefore incurs a lower tip fee compared to disposal, making it worthwhile for the generator. With no direct payments 1 One of the medium sized pallet recyclers reported that they recycle the following size pallets (in inches): 48x40, 48x48, 44x44, 45x45, and 36x36. Because the standard pallet (often called a GMA pallet because it is the standard size for Grocery Manufacturers Association stores) is typically a 48x40 inch pallet, any pallet with one dimension equal to, or longer then, 40 inches can generally be used to refurbish other pallets especially the standard pallet. As these sizes listed above indicate, pieces from a 48x48 pallet can be used to refurbish all of the pallet sizes that this pallet recycler refurbishes, while a 36x36 pallet can only be used to refurbish the same or a smaller pallet. For this reason, pallets smaller than 48x40 are the most difficult to recycle, and therefore are the pallets most likely to be thrown away. 2 Leadership in Energy and Environmental Design (LEED) 6 Mecklenburg County Pallet/Woodwaste Report

17 EXECUTIVE SUMMARY for delivery of clean wood, the informal community of pallet scavengers is not interested in this material. Grinders: Grinders are discussed above. Wood Chip Users: Local companies who purchase ground wood chips for use as boiler fuel include Bowater, which pays $6 to $7 per ton (and is 28 miles distant), Chester Wood Products paying $14 per ton (40 miles), and Stone paying $14 per ton (110 miles). These users were found to have access to their full capacity for clean wood chips from current suppliers of clean wood chips. Several grinders reported using wood chips for mulching products. ES 5. GAPS AND STRATEGIES Mecklenburg County clearly sustains a robust pallet recycling infrastructure, one that has the capacity to accept additional pallets for reuse to the extent such pallets can be collected and delivered. Conversely, if all of the clean wood that is currently being disposed over 62,000 tons were suddenly diverted, current processors and end markets could not absorb this material. There are significant barriers to recovering a large fraction of the 62,000 tons that are currently generated. This section attempts to concisely identify specifically where wood pallet and clean wood waste recovery face challenges, and to what degree such challenges can be overcome. Such gaps are described below. ES 5.1. SMALL/DAMAGED PALLETS AND PALLETS FROM SMALL QUANTITY GENERATORS Given the already high recycling rate of reusable pallets, as well as the record for limited enforcement of disposal bans for other materials, it is not expected that an MSW landfill disposal ban on pallets will markedly change the current flow of used pallets. In other words, roughly the same number of wood pallets will continue to be disposed after the ban is implemented. However, if enforcement of the disposal ban is strictly enforced, it will impose additional costs on very small quantity generators of wood pallets, as well as on businesses that generate primarily small and/or damaged pallets. Scavengers do not take such pallets, but currently these generators can dispose of small/damaged pallets in their commercial waste. Strict enforcement might require such generators to incur extra cost for separate collection service for pallets. It is likely that the existing network of commercial haulers and unregulated scavengers would develop appropriate service rates to provide the required collection services. As stated above, the existing pallet recycling infrastructure can absorb as many standard pallets as become available to the system. Further, even if every one of the 445,000 pallets (11,000 tons) currently being disposed in MSW landfills were too small or damaged for reuse, and were therefore diverted and delivered to local grinders, our research indicates that there are sufficient markets to absorb this volume of wood chips. Mecklenburg County Pallet/Woodwaste Report 7

18 EXECUTIVE SUMMARY ES 5.2. SEPARATION OF CLEAN WOOD FROM MIXED C&D With over 62,000 tons of clean wood being disposed in the C&D waste stream, it would appear that this stream could be aggressively targeted for recovery. However, before more clean wood can be recovered, two things must happen: 1) It must be separated at the point of generation (the job site), or it must be separated at a processing facility, and 2) There must be one or more markets to absorb increased volumes of clean wood at a rate which is economically competitive with existing options (i.e., C&D landfill disposal). Clean wood (and pallets) can be separated from C&D debris in one of two ways. Source separation whereby builders place a separate container on their job site exclusively for clean wood would assure the cleanest material, and also provide access to the widest number of potential markets for clean wood. Alternatively, many regions of the country have seen the establishment of mixed C&D processing facilities that accept mixed loads of C&D wastes, and use a range of conveyors, screens, separation equipment, and sorting personnel to recover wood and other materials (typically concrete, metals, and OCC). Both of these recovery strategies for clean wood are problematic. ES 5.3. SEPARATION AT THE JOB SITE Builders who participated in focus groups as part of this study indicated numerous barriers to on-site recycling. Lining up markets and containers, sequencing material recycling, supervising sub-contractors and training employees to recycle all add time and cost, and also require space at the job site. At a minimum, any requirements imposed by the County to require source separation at the job site would be likely to encounter resistance from the building community because of the increased costs that such requirements would impose. However, residential builder feedback also suggests that as long as any such requirements are mandatory and apply equally to all builders, then the impact on competition for building projects will be minimized. ES 5.4. MIXED C&D PROCESSING In some parts of the country, mixed C&D processing facilities have been developed to increase diversion of wastes from the C&D stream. These facilities typically require high capital investment in grinders, conveyors, screens and trommels, and sorting stations needed to process a high volume waste stream. These facilities accept and process mixed loads of C&D, as shown in Figure ES-3, and separate recoverable materials. In Mecklenburg County, there are several businesses that are recovering some C&D from mixed C&D loads. However, these businesses are driven primarily by builders seeking LEED certification, and employ primarily hand sorting of materials in their own enclosed buildings. These facilities are not considered large scale mixed C&D processors and have a limited throughput (and target only the easiest materials to recover). 8 Mecklenburg County Pallet/Woodwaste Report

19 Figure ES-4 Mixed C&D Awaiting Processing EXECUTIVE SUMMARY The quantity of clean wood and other potentially recyclable materials in C&D waste suggest that establishment of C&D processing would greatly increase recovery. However, of equal importance, establishment of C&D processing capacity involves capital investment and increased operating costs that must be considered within the local disposal and recycled material market dynamics. While it was beyond the scope of this project to develop a Countyspecific solution for C&D processing infrastructure that would significantly increase recycling of clean wood as well as other C&D materials, experiences with C&D recovery in other geographic markets and under other regulatory conditions across the nation suggest certain important characteristics for such projects: Regulatory Mandates: State-level mandates to process C&D prior to disposal, or else meet high recycling goals, drive the development of a C&D processing infrastructure in many regions of the country. In some cases, individual jurisdictions have also implemented local ordinances that make C&D diversion from construction sites a requirement of the permitting process, thereby establishing a strong incentive towards compliance (e.g., occupancy permit is not issued until C&D diversion is documented). Neither the State of North Carolina nor Mecklenburg County have such regulatory mandates at this time. High-Cost Local Disposal Markets: Often, the reason for governmental mandates in these regions is that disposal capacity is becoming scarce, and local disposal tip fees are high. Case studies in Massachusetts, California, and South Florida are mentioned in the body of the report, and in each of these cases disposal tip fees are at $75 per ton or higher because of the scarcity of local landfill airspace. The local disposal tip fee is important because it establishes the opportunity cost of simply disposing of C&D without Mecklenburg County Pallet/Woodwaste Report 9

20 EXECUTIVE SUMMARY processing. Higher cost disposal makes C&D processing and recovery more economically attractive. In the Mecklenburg County region, fees range from approximately $35 to $45 per ton. These tip fees may be too low to encourage capital investment for high throughput C&D processing facilities. Moderate Recovery Rates: Excluding the large fraction of fines and ground C&D debris that comes out the back of a typical C&D processor, recovery rates of C&D materials are well below 50 percent, and in many cases are closer to 20 or 30 percent (or lower). Because most clean wood applications have very low tolerances for painted, stained and especially pressure treated wood, sorters must err on the side of caution and let much clean wood go as potential painted or stained wood. Figure ES-4 shows the output of the wood sorting line at a C&D processor in Massachusetts. This picture shows the combination of clean wood with engineered and painted/stained wood, all of which is ground for Northeast boiler fuel markets. 2 Figure ES-5 Recovered Wood from Mixed C&D Processing Based on the Project Team s experience with these C&D processing case studies, it is believed that actual clean wood recovery from C&D processing in Mecklenburg County would be closer to the 20 percent range of all clean wood in the C&D waste stream. Further, the cost 2 The primary implication of mixing clean wood with painted/stained/engineered wood in a boiler fuel application is that the ash from these facilities must be landfilled. Ash from incinerated clean wood can be land applied at a much lower cost or even sold as a soil amendment. The boiler operators in and around Mecklenburg are currently able to source clean wood chips, so it is unlikely they would convert to a feedstock comprised of painted/stained/engineered wood that would generate ash requiring more costly disposal. 10 Mecklenburg County Pallet/Woodwaste Report

21 EXECUTIVE SUMMARY to divert this material would be close to double the current local disposal rates available in the County. It is hypothesized that the development of both C&D processing infrastructure and the establishment of regulatory mandates that would require the private building and hauling community in Mecklenburg County to use such a higher cost disposal option would be politically challenging. ES 6. DEVELOPMENT OF NEW MARKETS FOR CLEAN WOOD Mecklenburg County s local market was found to be able to absorb roughly 12,500 additional tons of clean wood among its existing infrastructure for grinding and beneficial reuse (as either boiler fuel or mulch). However, if the MSW landfill ban on wood pallets is strictly enforced (driving up to 11,000 tons of wood pallets to grinders), and the County ultimately does pursue a strategy of mixed C&D processing (resulting in 12,500 tons of clean wood generated by C&D generators, plus additional painted/stained/engineered wood), additional markets will be needed to absorb another 11,000 tons of clean wood. This gap is shown in Figure ES-5. Figure ES-6 Maximum Potential Gap in Markets for Clean Wood Should it ever become necessary to close the gap as shown above, there are a variety of options that may be considered. These include new bio-fuel boiler demand, wood pellet manufacturing, erosion control fabrics, particle board; and mulch (including colorized mulch and compost). Experience in other geographic regions suggests significant technical and/or lead time issues associated with developing wood pellet manufacturing, erosion control, and particle board markets. Our best estimate is that the establishment of C&D processing to recover clean wood, as well as associated regulations that would compel use of such a facility despite lower-cost local disposal options, would have to either involve the development of new bio-fuel combustion capacity and/or a significant increase in the demand for compost and colored mulch. Mecklenburg County Pallet/Woodwaste Report 11

22 EXECUTIVE SUMMARY ES 7. RECOMMENDATIONS The data above have been provided to highlight the most critical findings about wood pallets and clean wood waste. The full study also provides additional findings about the generation and recycling of old corrugated cardboard, film plastic, gypsum drywall, vinyl siding, and asphalt shingles. The bullets below summarize the recommendations that emerge from the extensive research conducted for this project: Wood Pallets: Mecklenburg County is home to an extensive infrastructure for the collection, remanufacture, and recycling of wood pallets. This infrastructure already achieves extremely high recycling/reuse rates for pallets. In the absence of strict enforcement of the pallet ban when it goes into effect, it is unlikely there will be any material changes to the flow of pallets. For this reason, it is recommended that the County take no action in advance of the pallet ban beyond its customary role of recycling advocacy and public education messaging. Clean Wood: The high recycling rate for pallets results in a significant supply of odd size and un-reusable pallet pieces which are currently ground to produce clean wood chips. These wood chips, combined with clean wood grinding by the County, produce enough ground wood to supply existing markets. For this reason the County does not currently have the demand to significantly expand clean wood recycling and reuse. While existing grinders can handle any excess pallet scrap that may result from the pallet ban, and the local market for mulch and compost appears capable of absorbing some additional clean wood, significant increases in clean wood recycling and reuse must be preceded by development of a market for such material. This market could take the form of one or more new bio-fuel combustion facilities capable of accommodating wood chips containing painted/engineered wood, or possibly by luring a large scale particle board manufacturer to the area capable of using ground wood chips. In the absence of significant new demand for wood chips, neither a ban on clean wood disposal nor development of mixed C&D processing capacity is recommended. Rather, the County s near term efforts should focus on continued public education about its existing clean wood recycling infrastructure, as well as on development of additional mulch or compost markets. OCC: This project only evaluated OCC recycling among large businesses that also generate pallets, rather than the entire universe of commercial businesses. These largepallet-generating businesses also tend to be large-quantity OCC generators. The recycling rate of OCC is already high among these businesses. However, several site visits as well as several hundred phone survey responses suggest that there is still a significant quantity of OCC being disposed among those businesses that were classified as Possible pallet generators. These Possible pallet generators include almost 19,000 mid-sized and smaller businesses of all types (and, the 13,000 smallest businesses in the County were not surveyed for this project). The County should continue to target commercially generated OCC for increased recycling through available means. Plastic Films: Given the challenges associated with acquiring additional source separated, uncontaminated plastic films from either the commercial or C&D sectors, it does not appear that the County can or should expend significant resources to improve film plastic recycling at this time. Further, markets for the dirtier film that is generated at 12 Mecklenburg County Pallet/Woodwaste Report

23 EXECUTIVE SUMMARY C&D sites limited in the best of times have disappeared in the current economy. The County should therefore continue in its role as a clearinghouse for recycling market information, informing businesses especially of film recycling opportunities in the course of its ongoing public education campaigns. Asphalt Shingles: No known asphalt shingle recycling is currently occurring in Mecklenburg County. However, asphalt shingle recycling presents a legitimate opportunity for expanding C&D recycling. Asphalt shingles are often kept separate at the construction site, and markets for ground asphalt have been proven viable in other states that have addressed and overcome certain technical barriers. One such potential barrier to expanded asphalt shingle recycling (in addition to relatively low tipping fees at County landfills) is the potential risk of asbestos contamination in the material, and from the ensuing requirements that may be imposed on shingle recyclers by state or local regulatory agencies. Given the potential for uncertainty introduced by unresolved health issues related to grinding of asphalt shingles for recycling, the Mecklenburg County Solid Waste Department should actively engage appropriate County and State agencies to make a determination on what processes, if any, must be implemented to establish recycling of the material. Once local and state regulatory policies have deemed asphalt shingles safe to recycle, the County can begin in earnest the process of establishing specifications for the use of recycled asphalt shingles (RAS) in pavement and other applications, as well as subsequent market development activities. Gypsum Drywall: Mecklenburg County is fortunate to have one of the innovators in gypsum drywall recycling Union Gypsum operating a recycling plant in close proximity to the County. Yet potential barriers nonetheless exist to expanding gypsum recycling. Given the potential for increased hydrogen sulfide generation associated with gypsum disposed in landfills, it is recommended that the County closely monitor the on-going research effort that several northeastern states are funding to determine the exact cause of hydrogen sulfide emissions, while simultaneously supporting the efforts of Union Gypsum to expand alternative uses for ground gypsum drywall. The County should also initiate discussions with new gypsum drywall manufacturers in the County with respect to the potential for these facilities to accept gypsum drywall waste for recycling. Vinyl Siding: Although vinyl siding recycling programs are in place elsewhere in North Carolina, the small quantity of this material in the C&D waste stream diminishes the focus on this material for recycling Mecklenburg County. Establishment of a vinyl siding recycling program would likely require active involvement by the County in establishment of a central collection, inspection/cleaning, and densification location. It would appear that this opportunity should be placed on the bottom of the County s list of recycling priorities until such time as a vinyl recycler moves into the region independently. Mixed C&D Processing: Companies that recycle some of the components of the C&D waste stream (e.g., metals, corrugated cardboard, concrete, untreated/unpainted wood, gypsum wallboard) require that the materials be delivered relatively free of contaminants. This requires that builders and contractors either sort the materials at the building/demolition site or have them sorted elsewhere by a facility that is set-up to do so (mixed C&D processing). There are two levels of processing. The first is a relatively low-throughput method which requires less capital equipment. With these low throughput systems, selected C&D loads Mecklenburg County Pallet/Woodwaste Report 13

24 EXECUTIVE SUMMARY that are rich in recyclable materials are basically dumped on the ground and sorted by hand, sometimes with the assistance of a front loader. In the Mecklenburg region, there are currently three companies that provide this lower level of processing. A high throughput system targeting any and all loads of C&D waste requires much more capital investment to purchase sorting systems consisting of magnets, screening and conveyance systems, sorting stations and other equipment. In return, these systems are capable of processing a much larger quantity of material. There are currently no high throughput systems in the region. This is likely due to a combination of factors, including the relatively low disposal costs for C&D wastes, the number and location of disposal facilities, the market demand for such services, and the absence of recycling mandates. Mecklenburg County should support and promote the mixed-waste processors already operating in the County along with the other markets for source-separated materials. The County should continue to monitor the state and costs of high-throughput technologies and evaluate if such systems would be viable in the future. At the appropriate time, the County could consider what policies it might implement to facilitate the development of high-throughput systems. 14 Mecklenburg County Pallet/Woodwaste Report

25 1.1. BACKGROUND 1. INTRODUCTION In late 2005, House Bill (HB) 1465 was ratified by the General Assembly of North Carolina and signed into law to add wood pallets to the list of materials 1 that are banned from disposal in the state s municipal solid waste (MSW) landfills. As defined in HB 1465, wood pallets are considered wooden object[s] consisting of a flat or horizontal deck or platform supported by structural components that is [sic] used as a base for assembling, stacking, handling, and transporting goods." HB 1465 further allowed wood pallets to be properly disposed of in a landfill that is permitted to only accept construction and demolition (C&D) debris. However, a county or a city may petition for a waiver if they can show that prohibiting the disposal of wood pallets in an MSW landfill would constitute an economic hardship. The MSW landfill ban on pallets as described in HB 1465 is scheduled to go into effect on October 1, Mecklenburg County has a population of approximately 827,000 residents and is home to a thriving business community. Located at the intersection of Interstates 77 and 85, the County is experiencing a high population and economic growth rate within its borders and in surrounding areas. Given that pallet use is believed to be extensive throughout the local business and construction sectors, the County was concerned that the ban on MSW landfill disposal of pallets could create an economic hardship. At a minimum, concern existed that a broad cross section of local businesses would have to incur extra costs to manage damaged or odd-sized pallets that would be destined for disposal. Of equal importance, upholding the ban could potentially require the County itself to incur additional costs to create policies, services, and enforcement capabilities to support the ban. Although the County s Solid Waste Management department supports commercial and C&D recycling throughout the County, there existed little quantifiable data about the prevalence of wood pallets and the ways in which end-of-life pallets are currently being managed. To improve its understanding of the wood pallet waste stream, Mecklenburg County issued Request for Proposals (RFP) in November 2006 to retain a consultant not only to analyze wood pallets, but also to investigate untreated wood waste (as this material can be recycled/reused in many similar end markets as pallets). The original RFP contained a series of questions to be answered: How many pallets and how much untreated wood waste generated in Mecklenburg County is being disposed in municipal solid waste and C&D landfills? Describe the size, type, condition, and sources of these discarded pallets and discarded clean wood. What is the existing infrastructure for the collection, processing and reuse of pallets and clean wood? Can this infrastructure absorb additional quantities? If so, how much more pallets and clean wood could be recycled and why are they not currently being recycled? 1 A previous ban existed on the disposal of used oil, yard waste, white goods, antifreeze, aluminum cans, scrap tires and lead acid batteries from landfills; in addition to wood pallets, HB 1465 also prohibits the disposal of motor oil filters, rigid plastic containers and oyster shells. Mecklenburg County Pallet/Woodwaste Report 1-1

26 1. INTRODUCTION What are the gaps (if any) between scrap pallet and scrap wood supply and demand? What strategies could be applied to reduce or eliminate these gaps? The County subsequently retained the Project Team of MidAtlantic Solid Waste Consultants (MSW Consultants) and DSM Environmental Services (DSM) (collectively, MSW Team) to perform a comprehensive analysis of pallet and untreated wood waste disposal and reuse/recycling in Mecklenburg County. The MSW Team worked with Mecklenburg County to develop and refine a project approach to analyze wood pallet and untreated wood waste generation, recycling and re-use. Based on input from all parties during the scoping process, this approach ultimately was expanded to encompass several additional elements. These included a full characterization study of the C&D waste stream, 2 as well as the inclusion of some other materials that are believed to be recoverable from the waste stream and are often generated by entities that generate pallets and/or untreated wood waste. The final project approach encompassed both the commercial waste stream and the construction and demolition (C&D) waste stream generated within the County. For purposes of this study, commercial waste was broadly defined to include waste from non-residential businesses, institutions, and industries, but excluding construction and demolition activities. 3 Research methods used in the study included analysis of existing County data and business database resources, disposal site visual sampling of commercial and C&D wastes, telephone and on-site surveys of those commercial generators potentially generating pallets, focus groups of builders, and phone and in-person meetings with recycled material markets MATERIALS TARGETED IN STUDY Table 1-1 summarizes the materials that were ultimately targeted for study. Note that wood pallets and clean wood waste remained the focal point of the analysis; information about the other materials was gathered to the extent it could be obtained in the process of researching potential generators of wood pallets and clean wood waste. Table 1-1 Summary of Targeted Materials by Sector Material Definition Commercial Waste Stream Wood Pallets Wooden object[s] consisting of a flat or horizontal deck or platform supported by structural components that is used as a base for assembling, stacking, handling, and transporting goods C&D Waste Stream 2 Mecklenburg County Construction and Demolition Debris Composition Study, September A more precise definition of commercial businesses based on North American Industry Classification System (NAICS) codes is provided in Section Mecklenburg County Pallet/Woodwaste Report

27 1. INTRODUCTION Material Definition Commercial Waste Stream Clean (Untreated) Wood Waste OCC Film Plastic Vinyl Siding Gypsum Drywall Asphalt Shingles Non-treated processed wood for building, manufacturing, landscaping, packaging. Examples include dimensional lumber, lumber cutoffs, wood scraps, wood shake roofing, and wood siding. May contain nails or other trace contaminants, although may not be painted, treated, stained or coated in any way. Wood pallets that are too small or too damaged to be repaired/reused are also considered clean wood. Paperboard containers consisting of Kraft (brown) linerboard with corrugated (fluted medium) fillings. Includes yellow and waxed corrugated boxes and Kraft paper such as bags or wrapping paper. Any recyclable polyethylene (high density, low density, linear low density) film plastic including sheet plastic, shrink wrap, and some tarping. An engineered product, manufactured primarily from polyvinyl chloride resin, giving vinyl siding its name. Comprised of other ingredients that establish color, opacity, gloss, impact resistance, flexibility, and durability. It is the most commonly installed exterior cladding for residential construction. Unpainted gypsum wallboard or interior wall covering made of a sheet of gypsum sandwiched between paper layers. Includes used or unused, broken or whole sheets. Gypsum board may also be called sheetrock, drywall, plasterboard, gypsum board, gyproc. Material that is used for roofing any structure. Examples include composite shingles, attached roofing tar and tar paper, asphalt shingles. C&D Waste Stream For each of the materials in the above table, the project sought to: Identify in greater detail the specific commercial sectors from which these materials are being generated, recycled, and disposed, as well as related generator coefficients for use in subsequent analysis and recycling planning efforts; Mecklenburg County Pallet/Woodwaste Report 1-3

28 1. INTRODUCTION Quantify the amount generated in Mecklenburg County and disposed in MSW or C&D landfills; 4 Identify and quantify the capacity of local and regional processors and end markets for these materials; Identify opportunities for, as well as barriers against, increasing diversion of these materials; and With regard to wood pallets, describe to what extent the HB 1465 ban on wood pallets in MSW landfills will (or will not) impose economic hardship on County businesses or the County itself REPORT ORGANIZATION The remainder of this report describes the many facets of research and analysis that were performed to achieve these objectives, and is divided into the following sections: Section 2 Background Information: This section provides an overview of Mecklenburg County s waste management system in terms of programs, material volumes, haulers, and other participants that may be influenced in this study. It summarizes the sources of County business data that were relied upon to inform and guide research into the commercial sector of the County. It provides a general overview of wood pallets, including their manufacture, dimensions, useful life and weight data; and finally references pertinent data from prior waste characterization studies, including the C&D waste composition analysis that was performed in parallel to this project. Section 3 Methodology: This project involved numerous tasks to investigate wood pallet and clean wood waste generation, handling, disposal, recycling and reuse. This section summarizes the multiple approaches that were employed to gain a full understanding of the system and to compile defensible data about the quantity and movement of materials. This section describes the following elements of the overall approach: Commercial Generator Surveying encompassing field observations of commercial waste deliveries at local MSW disposal facilities, as well as telephone and field surveys of commercial generators to compile data about generation and recycling of targeted materials. Hauler Surveys of both County-licensed haulers and the unregulated businesses involved in collecting wood pallets from County businesses. C&D Waste Characterization at two County C&D landfills to estimate the quantity of targeted materials in disposed C&D waste. Focus Group meetings with County builders and contractors to learn about the opportunities and barriers to recycling from residential and commercial construction sites. 4 It should be noted that the Project Team only attempted to quantify total generation and disposal for those generators likely to be generating wood pallets and clean wood, not from all commercial generators. 1-4 Mecklenburg County Pallet/Woodwaste Report

29 1. INTRODUCTION Recycling Infrastructure Research to identify and quantify the capacity for recycling and processing of the materials targeted in the study. Gap Analysis, a term that is intended to convey the notion that markets for the materials targeted in this study do not have the capacity to receive and process the volume of materials that could potentially be diverted and reused or recycled hence there is a gap in market capacity. The Gap Analysis attempts to tie together the generator research with the recycling infrastructure research to address the existence of any gaps and to discuss how such gaps or other barriers to increased diversion may be overcome. Section 4 Wood Pallet and Clean Wood Results: Wood pallets and clean wood are generated by similar types of generators in both the commercial and C&D sectors, and the markets for end use of the two materials overlap. Because these two materials were the focal point of this study, every element of the project approach was designed to flesh out our understanding of the generation, collection, disposal, and recycling/reuse of these materials. The results of our research for these two materials therefore warrants its own section of the report. For both wood pallets and clean wood, this section estimates the amount of material generated as well as pertinent characteristics (e.g., types and sizes of pallets); identification of the material flows to disposal, reuse and recycling; a summary of the current market(s) for recovery of the material; and a discussion of any deficiencies in the current recycled material markets. Finally, this section discusses the gaps between current infrastructure and longer term infrastructure needs for increasing diversion of these materials, including a discussion about the likely impact of the HB 1465 pallet ban on local businesses. Section 5 Results for Other Targeted Materials: This study targeted additional materials that were researched in conjunction with the wood pallet and clean wood research. This section of the report presents our findings for the other targeted materials. Appendices: Appendices contain a wide range of field data collection forms, summary data, and other information that may be of interest. Mecklenburg County Pallet/Woodwaste Report 1-5

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31 2. BACKGROUND INFORMATION 2.1. COUNTY WASTE MANAGEMENT SYSTEM Mecklenburg County, home to the City of Charlotte and the Towns of Cornelius, Davidson, Huntersville, Matthews, Mint Hill and Pineville, manages a large integrated waste management system to provide a wide range of collection, recycling and disposal services to its residents and businesses. Each of the incorporated municipalities in the County provide for the collection and disposal of residentially generated waste, although residents in the unincorporated areas subscribe for residential collection with a private hauler. Residential waste is delivered (or caused to be delivered) to the BFI Charlotte Motor Speedway Landfill located in Cabarrus County, where the County has procured disposal capacity until 2012 for the benefit of itself and its incorporated municipalities (which benefit under the terms of an interlocal agreement). Information about generation and recycling of materials from the residential waste stream is available and considered to be highly accurate, given the local government involvement in the management of residential waste. With the exception of the small businesses serviced by the City of Charlotte and Town of Davidson, all commercial and construction and demolition (C&D) waste generated in the County is collected by one of the private garbage haulers servicing the area. There are currently 28 permitted haulers that provide residential and commercial garbage and C&D debris collection service within the County limits. In addition to the BFI-Speedway Landfill, commercial haulers have several disposal facilities from which to choose for disposal of commercial wastes, including Republic Wastes Queen City Transfer Station in Charlotte, and several other landfills and a transfer station in adjacent counties. The majority of C&D debris is disposed at either the Mecklenburg County Foxhole Landfill at the County s southern border or at the privately owned North Mecklenburg Landfill in Huntersville. Meaningful quantities of C&D are also delivered to the BFI-Lake Norman C&D Landfill in Lincoln County. Mecklenburg County opened the Foxhole Landfill in the spring of 2000 and although the landfill is permitted to dispose of MSW, due to the contract with Allied/BFI, the Foxhole Landfill is limited to the disposal and recycling of construction and demolition waste and as a public convenience center for solid waste management at this time. North Carolina regulations also allow certain waste disposal to take place in land clearing and inert debris (LCID) landfills. The North Carolina Department of Environment and Natural Resources (DENR) website shows that Mecklenburg County has 38 LCID landfills open at the current time, although the County identified only six of these as being active. At the outset of this project, County inspectors queried the known LCID landfill operators and determined that these facilities were not receiving meaningful quantities of wood pallets and clean wood. For this reason, these facilities have been omitted from further study. DENR requires that MSW and C&D disposal facilities report annual disposed quantities by county of origin. Further, Mecklenburg County tracks residential wastes through its contractual arrangements for residential collection. Table 2-1 summarizes the annual waste generation quantities for the most recently reported three years. Mecklenburg County Pallet/Woodwaste Report 2-1

32 2. BACKGROUND INFORMATION Table 2-1 Mecklenburg County Waste Disposal, FY Waste Stream 2005 (1) 2006 (1) 2007 (2) Residential Waste 348, , ,151 Commercial Waste 548, , ,106 C&D Debris 388, , ,120 Total Waste Disposed 1,285,489 1,315,357 1,538,377 (1) Source: Mecklenburg County Solid Waste Management Plan, , Tables 2.1.2, 2.3.2, 2.3.3, and (2) Source: FY2007 Data provided by Mecklenburg County. In 2005, the County performed an analysis of the composition of commercial wastes generated in the County. 1 Because it was not possible to obtain access to the BFI-Speedway Landfill to conduct a physical characterization study as part of this effort, the analysis relied on a desktop evaluation (i.e., using comparative analysis and estimations rather than field analysis or sorting/weighing). Commercial waste composition was estimated based on commercial waste composition in other similar counties. This desktop evaluation suggested the following details about the County s commercial waste: According to an analysis of a database of Mecklenburg County commercial businesses developed by business marketing company InfoUSA, 2 there were 33,455 establishments with total employment of 534,858; The County generated 601,862 tons of commercial waste; Wood pallets were estimated to comprise 2.6 percent of the commercial waste stream, totaling 15,869 tons; Untreated wood waste was estimated to comprise 6.5 percent, or 39,169 tons of commercial waste. While this study was informative for planning purposes, it acknowledges that the absence of field verification of commercial waste composition is a limitation to the methodology used. Given the requirement to accurately and defensibly quantify the generation of wood pallets resulting from the pallet ban, it was necessary to perform more detailed analysis of these materials DATABASE OF COMMERCIAL BUSINESSES At the outset of this project, Mecklenburg County had acquired an updated database of commercial businesses from InfoUSA, the same third party data provider that supplied the underlying data for the County s Commercial Waste Characterization Study (as described above). The MSW Team relied on this database (2007 Database) to guide several of the 1 Mecklenburg County Commercial Waste Characterization Study, R. W. Beck, January The InfoUSA database used in the Commercial Waste Characterization Study was provided by the Charlotte Chamber of Commerce. A more recent database from InfoUSA was provided by Mecklenburg County for this study, and will be discussed later. 2-2 Mecklenburg County Pallet/Woodwaste Report

33 2. BACKGROUND INFORMATION research elements of this project. This section describes the contents of the InfoUSA database made available to the MSW Team for use in this project. According to the 2007 InfoUSA database, there are 41,879 total businesses in the County. This figure in itself is of interest when compared to the 33,455 establishments contained in the InfoUSA database used for the Commercial Waste Characterization Study (2005 Database). Further, the 2007 Database reflected 585,986 employees compared to the 534,858 in the 2005 Database. In summary, there were 25 percent more commercial establishments in the 2007 Database compared to the 2005 Database, but only 9.5 percent more employees. While it was beyond the scope of this study to research the differences between the two databases, it appears that either (a) there has been significant growth in small businesses in Mecklenburg County in recent years, or (b) InfoUSA has improved its ability to capture information about these small businesses. Of particular interest to this study, the InfoUSA database contains the North American Industrial Classification System (NAICS) code for each business. The NAICS code denotes the type of activity performed by each business. Further, the InfoUSA 2007 Database contains other business descriptors that are useful in evaluating the business waste generation and waste management characteristics, including: Number of Employees (Actual): identifies the number of employees who work at this location or business. Square Footage Used: estimate of the square footage the location or business occupies. Work-at-Home (Cottage Code): identifies home businesses. Table 2-2 summarizes the total number of Mecklenburg County businesses by 2-digit NAICS code. Home businesses were excluded from this table. Table 2-2 Summary of Mecklenburg County Commercial Businesses NAICS 2-Digit Code Description Count of Businesses Total Employees Total Square Footage (1) 11 Agriculture, Forestry, Fishing and Hunting , Mining, Quarrying, and Oil and Gas Extraction , Utilities 31 7, , Construction 3,890 37,962 25,310, Manufacturing 1,558 42,815 34,301, Wholesale Trade 2,321 39,092 45,642, Retail Trade 5,588 76,822 53,952, Transportation and Warehousing ,355 18,188, Information ,131 15,660, Finance and Insurance 2,668 37,930 16,593, Real Estate and Rental and Leasing 2,533 19,754 17,390, Professional, Scientific, and Technical Services 5,254 43,640 29,376, Management of Companies and Enterprises 33 11, , Admin / Support / Waste Management 2,041 25,728 13,248, Educational Services ,106 16,781,250 Mecklenburg County Pallet/Woodwaste Report 2-3

34 2. BACKGROUND INFORMATION NAICS 2-Digit Code Description Count of Businesses Total Employees Total Square Footage (1) 62 Health Care and Social Assistance 3,214 44,209 25,872, Arts, Entertainment, and Recreation 637 8,638 7,935, Accommodation and Food Services 2,375 46,175 16,918, Other Services (except Public Administration) 4,814 29,297 34,592, Public Administration ,304 10,637, Unclassified Establishments ,000 NA Not available (2) 1,598 7,277 38,320,000 Total 41, , ,506,250 Source: InfoUSA 2007 Database. (1) NAICS identifies each business as having a square footage of 0 to 2,499; 2,500 to 9,999; 10,000 to 39,999; or 40,000 or greater. For purposes of this analysis, MSW Consultants has assumed the midpoint of the each range for businesses identified as having 39,999 square feet or less. For businesses identified has having 40,000 square feet or more, MSW Consultants has assumed the business has 50,000 square feet (2) Represents the businesses which did not have a NAICS code according to the 2007 Database Although only the 2-digit NAICS codes are shown in the table above, the NAICS code for each business in the County contains a total of five digits. Each successive digit of the NAICS code improves the specification of the type of business. For example: The 2-digit code for Construction is 23; The 3-digit code 236 specifies Construction of Buildings The 4-digit code 2362 is yet another subset: Nonresidential Building Construction The 5-digit code is the most specific description, e.g., Commercial and Institutional Building Construction Specific usage of the InfoUSA 2007 Database is described in later sections of this report WOOD PALLET RESEARCH As one of the two primary focal points of the study, wood pallets warrant some additional background. This section provides a brief introduction to wood pallets, and also advances several default assumptions about the size, dimensions, and weight of pallets that are used throughout this report PALLET MANUFACTURING Almost everything manufactured, imported or purchased in the United States has been on a pallet during shipment at some time or another. Wood is the material that is used to construct the vast majority of these pallets. Wood combines strength, abundance as a raw material, and relatively low cost, and is among the easiest materials to manufacture and repair compared to other materials used for pallet construction. 3 Broadly speaking, a pallet consists of a platform 3 Plastic lumber, paper, and metal are also used to manufacture pallets. 2-4 Mecklenburg County Pallet/Woodwaste Report

35 2. BACKGROUND INFORMATION or series of slats (known as the deck ) on which payload rests, supported by a frame that enables transport of the pallet by a forklift. Pallets can be defined by a uniform set of characteristics that include: 4 Pallet Class: Pallets are classified as either stringer-class or block-class to denote the type of framing that supports the deckboards or panel. Stringers run the length of the pallet and are more sturdy, while blocks simply connect top deck to bottom deck. Stringer-class pallets are the strongest and most commonly used pallet. Usage Profile: Pallets can be either Multiple Use (M) or Limited Use (L). Multiple use pallets are intended to be used at least 10 times before needing their first repair, and are also known as returnable or special use pallets. Limited use pallets are for an average of up to nine trips, and are also known as shipping or general service pallets. Both multiple and limited use pallets are designed with the assumption that the pallet will be moved five times during one shipment with average handling during each trip. Pallet Type: Pallets are further classified as being two-way, partial four-way, or four-way to denote the number of sides of the pallet which can be accessed by a forklift for movement of the pallet. Two way entry accepts lift equipment from the front and back of the pallet only. Partial four way entry has equipment entry at both ends and only partial entry on the sides. A full four way entry pallet allows full equipment entry in front, rear, and both sides. Decks: Pallets can be single or double faced. Single face pallets have slats only on the top, while double face pallets have slats on both the top and the bottom. Reversibility: Double faced pallets can be reversible if both the top and bottom deck are designed to hold payload. Otherwise a pallet is nonreversible. Dimensions: The length and width of a pallet are based on the direction of the deckboards. The pallet s width is measured as the length of the deckboard, while the length is measured as the length of the stringerboards (or top stringerboard for block-class pallets). Appendix A contains a Pallet Classification reference document that describes pallet characteristics in full detail. 4 Various sources: Uniform Standard for Wood Pallets, National Wood Pallet and Container Association, 2005; and Pallet Classification. Mecklenburg County Pallet/Woodwaste Report 2-5

36 2. BACKGROUND INFORMATION In 2004 there were about 450 million new pallets produced in the United States and Canada. About 1.9 billion were in use at any given time 5. The 48 x 40 inch pallet is the most common pallet used in the United States. Table 2-3 below shows the 10 most common sizes and the typical industries that use each size. Table 2-3 Top 10 Pallet Sizes in North America in 2000 Pallet Size (in.) Production Rank Typical Industry 48 x40 1 Grocery, common in many other industries 42 x 42 2 Telecommunications, and Paint 48 x 48 3 Drums 40 x 48 4 DOD, Cement 48 x 42 5 Chemical and Beverage 40 x 40 6 Dairy 48 x 45 7 Automotive 44 x 44 8 Drums and Chemical 36 x 36 9 Beverage 48 x Beverage, Shingles, and Package Paper Source: Pallets 101: Industry Overview and Wood, Plastic, Paper, and Metal Options by John Clarke, Technical Sales Director, Grate Pallet, Inc The list totals about 60 percent of the annual pallet manufacturing with the 10 th most common size in use for less than two percent of the market. The remaining 40 percent of the pallets manufactured are specific to shipping customer needs. Because waste generation and disposal is measured in terms of weight (tons), the MSW Team attempted to research the average weight of a pallet for use in conversion from pallet counts to weight. There are a number of sources that provide weight data about pallets. The weight of a typical 48 x 40 x 5 inch stringer partial four-way multiple use pallet from the manufacture the most common pallet is about 59 pounds. 6 However, the weights of a pallet depends on many factors, including pallet dimensions; class; usage, and style; species of wood (or other material) used in construction; and the moisture content (MC) of the wood. It is of particular interest that the weight of a pallet varies significantly over the life of the pallet depending on the moisture content. 5 Pallets 101: Industry Overview and Wood, Plastic, Paper, and Metal Options by John Clarke, Technical Sales Director, Grate Pallet, Inc Pallet Design System Version 4.0 Pallet Physical Proper Analysis National Wooden Pallet and Container Association (NWPCA) in cooperation with: Pallet and Container Research Laboratory, Virginia Tech Department of Wood Science and Forest Products; USDA Forest Service and Forest Products Laboratory; APA The engineered Wood Association; Software Technologies Laboratory, Virginia Tech Department of Industrial and Systems Engineering Mecklenburg County Pallet/Woodwaste Report

37 2. BACKGROUND INFORMATION Table 2-4 below shows the average weight of a medium duty stringer pallet as described above. Table 2-4 Average Weight of Medium Duty 48 x 40 Pallets Moisture Content (MC) Weight (lbs) At Manufacture 59 25% MC 41 19% MC 39 15% MC 38 12% MC 37 As shown in the table, the weight of a pallet declines significantly from manufacture (assuming green wood). For this study, MSW Consultants reviewed prior published data about pallet weight, and also consulted with pallet researchers at the U.S. Forest Service s Southern Research Station (SRS), who are in the process of completing a survey conducted in 2006 about the pallet recycling industry. Based on these sources of information, we have used 50 pounds as a reasonable estimate for the weight of a pallet in Mecklenburg County at the current time PALLET RECYCLING The SRS is a leading expert on pallet recycling. SRS pallet research dates back to the early 1990s, with updates issued sporadically as funding is available. The SRS released its most recent comprehensive survey of pallet manufacturing and recycling in 1999, and is currently finalizing another update. However, at this time the 1999 data is the most recent that is available. Based on extrapolations from the 1999 SRS study, various sources mention that between 400 and 500 million new pallets were manufactured annually in the U.S. during the 2001 to 2002 timeframe. More recent data was not found. In 1999, 300 million of these pallets were being captured for recycling and reuse. Once pallets reached the recycler, the vast majority were beneficially used. Most pallets are reused either as-is or after some repair (or re-use of parts). Unusable pallet parts are most often ground, and only a very small percentage are landfilled. These breakdowns are shown in Figure 2-1. Mecklenburg County Pallet/Woodwaste Report 2-7

38 2. BACKGROUND INFORMATION Figure 2-1 Disposition of Recycled Pallets, 1999 Source: Recovery, Reuse and Recycling by the United States Wood Packaging Industry: 1993 to 2006, by Robert Bush, Philip Araman, and E. Brad Hager MATERIAL DENSITIES Throughout the research and analysis performed in this study, MSW Team members relied on volumetric estimates to collect data in the field. Volume-based estimates were used for (a) vehicle compartments, (b) commercial container sizes, (c) and the volume of targeted materials within a load or loose. Volumetric estimates are the only reasonable way to gather much data in the solid waste and recycling industry, simply because the amount, in-situ conditions, and characteristics of waste and recyclables (especially wood pallets and clean wood) prevents the use of scales to obtain defensible weights. 2-8 Mecklenburg County Pallet/Woodwaste Report

39 2. BACKGROUND INFORMATION It was therefore necessary throughout our analysis to be able to reasonably convert from volume to weight-based measurements. Table 2-5 below shows the density conversion and other related factors that were used to estimate the quantity of targeted materials throughout this analysis. Table 2-5 Survey Data Units and Conversion Factors Material Wood Pallets Clean Wood Old Corrugated Cardboard (OCC) Film Plastic Conversion Factors 50 lbs per pallet 5.5 pallets per cubic yard (CY) Loose: 300 lbs/cy Loose: 50 lbs/cy Flattened: 150 lbs/cy Bales: 600 lbs each Baled odd size: 1,000 lbs/cy Compacted: 400 lbs/cy Loose: 30 lbs/cy 1 CY in compactor = 4 CY loose 1 pallet s worth of wrap = 1/6 loose CY 2.7. C&D WASTE COMPOSITION One of the objectives of this study was to defensibly estimate the quantity of wood pallets, clean wood, and other targeted materials being disposed in the C&D waste stream. To accomplish this objective, the MSW Team performed a full characterization study of Mecklenburg County s C&D waste stream. This study involved visual surveying of incoming loads of C&D debris at two in-county facilities (Mecklenburg County s Foxhole Landfill and the North Mecklenburg C&D Landfill) that together receive approximately 80 percent of the C&D debris reported to be disposed from Mecklenburg County. Mecklenburg County Pallet/Woodwaste Report 2-9

40 2. BACKGROUND INFORMATION A separate report was developed to present the full results of this county-wide C&D waste characterization study 7 (C&D Composition Study). However, pertinent results of the C&D Composition Study are shown in Table 2-6 below. Table 2-6 Targeted Materials Disposed in C&D Waste Stream Targeted Material Categories Mean 90% Conf. Interval Standard Deviation Lower Upper Annual Quantity Plastic Film 0.3% 0.1% 0.2% 0.4% 1,281 Vinyl Siding 0.1% 0.0% 0.0% 0.1% 194 Pallets 2.1% 0.3% 1.6% 2.5% 7,752 Crates 0.5% 0.3% 0.0% 0.9% 1,853 Untreated Wood 16.5% 1.4% 14.1% 18.8% 62,145 Drywall - Unpainted 6.8% 1.1% 5.0% 8.7% 25,762 Asphalt Roofing 6.4% 1.2% 4.4% 8.4% 24,043 Total Targeted Materials 32.7% 123,030 Non-Targeted C&D Debris 67.3% 254,090 Source: Mecklenburg County C&D Debris Composition Study, 2008 As shown above, the targeted materials make up almost 33 percent of the total C&D waste stream, with untreated wood waste accounting for almost half of the total. A complete summary of the methodology that derived these results can be found in the C&D Composition Study. 7 Mecklenburg County Construction & Demolition Debris Composition Study, May Mecklenburg County Pallet/Woodwaste Report

41 3.1. INTRODUCTION 3. METHODOLOGY Because of the scope and complexity of the market for generating, collection, and processing or disposing of pallet and clean wood waste, the project methodology contained a number of complimentary tasks aimed at deriving defensible findings. This section describes the approach that was ultimately developed to comprehensively research the generation, recovery and disposal of wood pallets, clean wood, and the other materials targeted in the study. Generally, separate approaches were pursued for the commercial sector and the construction and demolition (C&D) sectors. Specific steps of the project approach for each generator sector are described below COMMERCIAL GENERATOR SECTOR APPROACH As described in Section 2 of this report, the commercial sector has been defined in this study as every non-home-based business other than businesses classified as NAICS code 23 (Construction). Almost 42,000 such entities exist in Mecklenburg County. Because of the diversity of the commercial sector in terms of both business function and size the MSW Team used multiple strategies to gather information about pallet and clean wood generation. Our approach for researching the commercial sector encompassed the following efforts: Hauler surveys to inquire about the incidence of pallet and clean wood generators, alternative disposal options, and procedures for collecting pallets from commercial accounts; Visual observations of commercial waste deliveries to local disposal facilities to estimate the breadth of pallet and clean wood disposal; Commercial business on-site research included extensive on-site observations and interviews of businesses identified as being likely pallet generators; and Telephone surveys of a representative cross section of County businesses. Specific research performed for the commercial sector are described below HAULER SURVEYS At the time of the study, there were a total of seven permitted haulers 1 that were collecting commercial waste in Mecklenburg County. It was not known how many of these haulers were aware of the impending pallet ban, which could potentially impact their ability to accept wood pallets from their small business customers for disposal if the ban were to be enforced. It further was hypothesized that these haulers would potentially be able to provide insight into the generation, collection, and recycling/disposal of wood pallets and clean wood, and that some of the haulers may even be providing collection service for these source separated items. However, it was also acknowledged that private haulers may not be willing to respond to a 1 Another 11 haulers were reported to only collect residential wastes, and 10 haulers collect only C&D debris. Mecklenburg County Pallet/Woodwaste Report 3-1

42 3. METHODOLOGY direct survey, for a variety of reasons including concern about the confidentiality of their business and a lack of time to respond. In an attempt to capture some insight from the commercial haulers doing business in the commercial (and C&D) sectors, the MSW Team conducted a brief survey of all seven commercial waste haulers (as well as the C&D haulers). The MSW Team developed a cover letter and survey instrument to guide the responses, and contacted haulers by phone and e- mail to request participation. Five of the seven commercial waste haulers provided at least some feedback from the survey, with the other two commercial haulers not responding to our inquiries or else declining to participate. Appendix B contains the survey instrument and a matrix of survey responses QCTS SURVEY OF COMMERCIAL VEHICLES Mecklenburg County s commercial waste is delivered primarily to one of two facilities: the BFI-Speedway Landfill just across the border in Cabarrus County, and the Queen City Transfer Station (QCTS), owned by Republic Services, in Charlotte. BFI-Speedway is estimated to receive almost 70 percent of all Mecklenburg County waste (residential, commercial and C&D), while QCTS receives approximately 16 percent of all waste (which is predominantly commercial). Commercial waste is also being hauled to several other landfills and transfer stations in surrounding counties and in South Carolina. It is the opinion of the MSW Team that a full commercial waste stream characterization study, including field sampling and physical sorting of a representative sample of incoming commercial waste loads, is the preferred method for documenting the quantity of wood pallets, untreated wood waste, and other targeted materials being disposed in the County s commercial waste stream. Prior to the outset of this project, MSW Consultants approached facility management at both BFI-Speedway and QCTS to request access to each site for the purpose of performing physical sampling and sorting of commercial wastes. Access was denied by BFI-Speedway, which limits any ability to conduct a representative physical characterization study of commercial wastes given the large proportion of Mecklenburg County commercial waste received at that facility. Limited access was, however, granted at the QCTS. Because of space limitations at this transfer station, it was not possible to conduct physical sampling and sorting of incoming commercial waste. Because the study was primarily targeting wood pallets and untreated wood waste, the MSW Team opted to perform a visual survey of incoming commercial waste loads to identify the incidence of wood pallets and untreated wood. The MSW team conducted visual observations of incoming loads on August 7 and 8, 2007, from 7:00 A.M. until 3:00 P.M. The facility (which is open from 6:00 AM to 6:00 PM) received a total of 411 incoming vehicles over these two days, of which we made detailed visual observations of 147 (36 percent). An nth truck selection process was applied, and it is noteworthy that a significant number of incoming loads contained pure C&D debris as well as commercial waste. The MSW field supervisor recorded the following information about each load based on visual observation: The vehicle type of the incoming load (frontload vehicle, roll-off compactor box, roll-off open top box) and the size of the container (in cubic yards); A qualitative assessment of the type of waste; 3-2 Mecklenburg County Pallet/Woodwaste Report

43 3. METHODOLOGY The percentage fullness of the tipped load relative to the size of the truck or box that delivered the load (e.g., 75 percent full); A count of the number of pallets and crates that were visible within the load, as well as an estimate of the percentage of the load containing pallets/crates. For purposes of converting to weight pallets were assumed to weigh 50 pounds each; An estimate of the percentage of the load containing untreated wood waste. For purposes of analysis, clean wood was assumed to have a density of 309 pounds per cubic yard. The hauler and truck number were also recorded for each load to allow, at the end of the day, weigh tickets for each observed load to be obtained from the facility scalehouse. Haulerrelated data was not preserved at the request of QCTS management. Although the methodology for performing the visual observations of commercial waste loads was consistently applied, and the MSW Team believes the data provided by this exercise is meaningful, it should be noted that visual surveying was limited by three factors. Limited Space: Because of the space limitations, it was not possible to walk around tipped loads to clearly observe all sides of the load. Although the QCTS entry bays are open and the tipping floor is well lit, the MSW Team field supervisor for this effort was required to remain outside the unloading bays and could not approach the tipped loads. It was therefore only possible to observe three sides of the tipped load both sides could be observed, as well as the front of the load (i.e., the portion of the tipped load closest to the cab). To the extent wood pallets or clean wood was contained in the rear of a tipped load (i.e., the portion of the load at the back of the truck), the MSW field supervisor may not have been able to clearly observe these items. No Spreading of Loads: In a related matter, because of the space limitation and high traffic volume, it was not possible to spread out the tipped loads to improve the ability of the field supervisor to observe the interior contents of the loads. Such spreading has been shown to improve the accuracy of visual characterization (and was performed in the full C&D characterization study). Driver Interviews Prohibited: At the request of QCTS facility management, the MSW field supervisor was not permitted to talk to the drivers of incoming vehicles. This requirement is understandable and was intended to minimize the impact of this study on QCTS s customers. In analyzing the results, the MSW Team has applied its professional opinion to identify the sources of incoming loads of waste at the QCTS, and to estimate the quantity of wood pallets and untreated wood waste. However, given the limitations described above, we cannot be certain that our results achieve a degree of accuracy that would be possible if no such limitations existed. The raw data obtained from this analysis is contained in Appendix C COMMERCIAL GENERATOR RESEARCH AND SURVEYING Because of the limitations to commercial sampling, visual surveying, and sorting, the MSW Team devoted extensive resources to direct surveying of businesses to research wood pallet and untreated wood waste generation, disposal, and recycling. Data on corrugated cardboard Mecklenburg County Pallet/Woodwaste Report 3-3

44 3. METHODOLOGY and recyclable plastic films were also obtained at those businesses targeted for surveying. This section describes the research undertaken as well as the findings. As described previously, the InfoUSA database of Mecklenburg County businesses contained almost 42,000 businesses in the County. This database was used as a starting point for classifying businesses for follow-up research. There are over digit NAICS codes that describe the exact nature of a business. The MSW Team reviewed the 5-digit NAICS codes and the business data contained in the InfoUSA database in detail. Based on this analysis, the following logical steps were applied to subdivide the InfoUSA database into meaningful groupings. The intended result was a reasonable strategy to obtain representative coverage of all Mecklenburg County businesses through a combination of phone surveys and on-site research, while focusing the majority of our efforts on those businesses that are most likely to generate wood pallets and/or clean wood. The MSW Team undertook the following steps to identify pallet/wood generators: Excluded 1,598 of businesses that contained no NAICS code. This represents approximately 3.8 percent of all businesses in the database. For the sake of simplicity, we will assume that the results we obtain for the remainder of the database will apply to these unspecified companies. Although this assumption may not be entirely valid, the relatively small fraction of unspecified businesses does not warrant more rigorous treatment, in our professional opinion. Excluded 35 of businesses identified as NAICS code 99, unclassified establishments. Excluded 3,757 of home-based businesses. Businesses in the Construction industry (NAICS code 23) were excluded. Pallet and wood generation in the construction and demolition industry were researched through a full C&D waste characterization analysis performed in conjunction with this project. The 5-digit NAICS codes were reviewed in detail and a determination was made as to the likelihood that those businesses would generate pallets and/or clean wood. A total of digit NAICS codes (33 percent of the total) were identified as industries that would be likely to generate pallets and/or clean wood. As a final step, we considered the employment and square footage of the businesses that are likely to generate pallets and/or clean wood. It was reasoned that a very small business (i.e., one with few employees and low square footage of their building) would not be likely to generate pallets and/or clean wood in any significant volume. For the purposes of completing the analysis of the InfoUSA database, we established a threshold of five or fewer employees with less than 2,499 total square footage. Table 3-1 summarizes the number, employment, and square footage of the businesses in Mecklenburg County that remained in the database after application of the filtering rules described above. A detailed accounting of these businesses is provided in Appendix D. Note that although many of the larger businesses/high pallet generators are likely to have pallet recycling programs in place, there was still a need to survey these firms because it is likely that the recovery rate would not be 100 percent, and therefore these large businesses could be both large recyclers and large disposers of pallets. 3-4 Mecklenburg County Pallet/Woodwaste Report

45 NAICS 2- Digit Code 3. METHODOLOGY Table 3-1 Mecklenburg County Businesses Likely to Generate Pallets/Wood Description Count of Businesses Total Employees Total Square Footage [1] 11 Agriculture, Forestry, Fishing and Hunting , Manufacturing 1,268 34,951 28,142, Wholesale Trade 2,083 29,769 41,758, Retail Trade 1,384 27,088 18,426, Transportation and Warehousing ,284 13,600, Administrative and Support and Waste 55 5, ,250 Management and Remediation Services 62 Health Care and Social Assistance ,678 6,900, Arts, Entertainment, and Recreation 81 4,389 1,288,750 Total 5, , ,563,750 Source: InfoUSA [1] InfoUSA identifies a range of square footage for each business (i.e., it does not specify the exact square footage) The ranges shown in the InfoUSA database are: 0 to 2,499 square feet; 2,500 to 9,999 square feet; 10,000 to 39,999 square feet; or 40,000 square feet and above. To estimate the total square footage attributable to businesses in each NAICS code, MSW Consultants used the midpoint of each range (and a value of 50,000 square feet was assumed for businesses whose square footage exceeded 40,000). As shown in the table above, there were 5,702 businesses (roughly 14 percent of the total), with employment of 130,534 (roughly 24% of total) and total square footage of 110,563,750 (roughly 24% of total) that were believed to be the most likely generators of pallets and clean wood. These businesses were concentrated in the manufacturing and the wholesale and retail industries, although some businesses were identified in transportation/warehousing, health care, and other industries. Mecklenburg County Pallet/Woodwaste Report 3-5

46 3. METHODOLOGY Conversely, there remained in the database a large number of businesses that were deemed less likely to generate pallets/clean wood. MSW Consultants applied a similar test based on size of the business to eliminate business that had 5 or fewer employees and less than 2,499 square feet. Table 3-2 summarizes the 18,857 businesses (roughly 45% of total businesses) in the County that passed the screening for size and square footage that possibly generate wood pallets and/or clean wood, but are in industries that are not believed to generate a significant number of pallets. A summary of the below businesses by NAICS 5-digit code is provided in Appendix D. Table 3-2 Mecklenburg County Businesses that Possibly Generate Pallets/Wood NAICS 2- Digit Code Description Count of Businesses Total Employees Total Square Footage [1] 11 Agriculture, Forestry, Fishing and Hunting , Mining, Quarrying, and Oil and Gas Extraction , Utilities 31 7, , Manufacturing 218 7,648 6,068, Wholesale Trade 176 9,145 3,806, Retail Trade 2,742 46,397 33,698, Transportation and Warehousing 303 4,808 4,440, Information ,105 15,646, Finance and Insurance 1,826 35,751 15,541, Real Estate and Rental and Leasing 1,360 16,102 15,923, Professional, Scientific, and Technical 2,661 37,706 26,135,000 Services 55 Management of Companies and Enterprises 33 11, , Administrative and Support and Waste 1,184 18,413 11,815,000 Management and Remediation Services 61 Educational Services ,823 16,573, Health Care and Social Assistance 1,453 26,038 17,123, Arts, Entertainment, and Recreation 404 4,016 6,456, Accommodation and Food Services 1,849 44,539 16,261, Other Services (except Public Administration) 2,530 24,122 31,737, Public Administration ,304 10,637,500 Total 18, , ,711,250 Source: InfoUSA [1] InfoUSA identifies a range of square footage for each business (i.e., it does not specify the exact square footage) The ranges shown in the InfoUSA database are: 0 to 2,499 square feet; 2,500 to 9,999 square feet; 10,000 to 39,999 square feet; or 40,000 square feet and above. To estimate the total square footage attributable to businesses in each NAICS code, MSW Consultants used the midpoint of each range (and a value of 50,000 square feet was assumed for businesses whose square footage exceeded 40,000). As shown, the Possible Generator businesses span virtually all industry groups. 3-6 Mecklenburg County Pallet/Woodwaste Report

47 3. METHODOLOGY Table 3-3 below, summarizes the 13,430 businesses that were not researched further, due primarily to their being (a) too small to generate significant quantities of pallets/wood; (b) in industries that do not generate these materials; or (c) were unclassifiable. Appendix D provides a detailed summary of businesses in Table 3-3. Table 3-3 Mecklenburg County Businesses not Surveyed NAICS 2- Digit Code Description Count of Businesses Total Employees Total Square Footage [2] 11 Agriculture, Forestry, Fishing and Hunting , Mining, Quarrying, and Oil and Gas Extraction Utilities Manufacturing , Wholesale Trade , Retail Trade 1,462 3,337 1,827, Transportation and Warehousing , Information , Finance and Insurance 842 2,179 1,052, Real Estate and Rental and Leasing 1,173 3,652 1,466, Professional, Scientific, and Technical Services 2,593 5,934 3,241, Management of Companies and Enterprises Administrative and Support and Waste 802 1,981 1,002,500 Management and Remediation Services 61 Educational Services , Health Care and Social Assistance 1,479 4,493 1,848, Arts, Entertainment, and Recreation , Accommodation and Food Services 526 1, , Other Services (except Public Administration) 2,284 5,175 2,855, Public Administration Unclassified Establishments ,000 NA Not available [3] 1,598 7,277 38,320,000 Total 13,430 37,709 53,921,250 Source: InfoUSA [1] InfoUSA identifies a range of square footage for each business (i.e., it does not specify the exact square footage) The ranges shown in the InfoUSA database are: 0 to 2,499 square feet; 2,500 to 9,999 square feet; 10,000 to 39,999 square feet; or 40,000 square feet and above. To estimate the total square footage attributable to businesses in each NAICS code, MSW Consultants used the midpoint of each range (and a value of 50,000 square feet was assumed for businesses whose square footage exceeded 40,000). In conclusion, out of the 41,879 businesses in the County, the screening process used in this study identified: Mecklenburg County Pallet/Woodwaste Report 3-7

48 3. METHODOLOGY Likely Generators: 5,702 businesses, employing 24 percent of county employees, that appeared likely to generate pallets and clean wood; Possible Generators: 18,857 businesses, employing 64 percent of county employees, that were not believed to be significant generators of pallets and clean wood, but that were arguably large enough to generate these materials in small quantities; and Non-Generators: 13,430 businesses, employing seven percent of county employees, that were both too small (in terms of employment and square footage) and also in industries that are not known for generating pallets and/or clean wood waste, such as professional offices and small retail establishments. Figures 3-1 and 3-2 show the breakdown of the number of Mecklenburg County businesses and employment, respectively, in each of the above categories. Figure 3-1 Expected Pallet/Clean Wood Generation by Industry (No. of Businesses) Not available [3] Unclassified Establishments Public Administration Other Services (except Public Administration) Accommodation and Food Services Arts, Entertainment, and Recreation Health Care and Social Assistance Educational Services Administrative / Support / Waste Management Management of Companies and Enterprises Professional, Scientific, and Technical Services Real Estate and Rental and Leasing Finance and Insurance Information Transportation and Warehousing Retail Trade Wholesale Trade Manufacturing Utilities Mining, Quarrying, and Oil and Gas Extraction Agriculture, Forestry, Fishing and Hunting 0 1,000 2,000 3,000 4,000 5,000 6,000 Likely Pallet/Wood Generators Unlikely Pallet/Wood Generators Number of Businesses Possible Pallet/Wood Generators 3-8 Mecklenburg County Pallet/Woodwaste Report

49 3. METHODOLOGY Figure 3-2 Expected Pallet/Clean Wood Generation by Industry (Employment) Not available [3] Unclassified Establishments Public Administration Other Services (except Public Administration) Accommodation and Food Services Arts, Entertainment, and Recreation Health Care and Social Assistance Educational Services Administrative / Support / Waste Management Management of Companies and Enterprises Professional, Scientific, and Technical Services Real Estate and Rental and Leasing Finance and Insurance Information Transportation and Warehousing Retail Trade Wholesale Trade Manufacturing Utilities Mining, Quarrying, and Oil and Gas Extraction Agriculture, Forestry, Fishing and Hunting 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 Likely Pallet/Wood Generators Unlikely Pallet/Wood Generators Employment Possible Pallet/Wood Generators As shown in the Figure above, when measured by employment, the Likely and Possible generator strata are shown to comprise the majority of Mecklenburg County, and this is where our commercial sector research was focused. In summary, our direct research encompassed over 90 percent of the County s non-construction employment base. The MSW Team used a combination of telephone surveying, on-site research, and visual analysis of commercial waste loads to investigate pallet and clean wood generation, disposal, and recycling among the subsets of Mecklenburg County businesses. Table 3-4 identifies the research strategies used to further investigate each sector. Table 3-4 Research Methods for Commercial Sub-Sectors Subsector Number of Businesses On-site Research Observation of Targeted Loads Phone Surveying Likely Generators 5,702 Yes Yes Yes Possible Generators 18,857 No No Yes Non-Generators 13,430 No No No Mecklenburg County Pallet/Woodwaste Report 3-9

50 3. METHODOLOGY The universe of Likely Generator and Possible Generator businesses subject to random sampling for telephone and/or on-site surveys totaled 24,559 businesses, or 59 percent of total businesses, representing 88 percent of total employment. A discussion of the phone survey, on-site research, and targeted commercial load research methodology is presented below TELEPHONE SURVEYS The MSW Team believes that the most effective, accurate, and meaningful way to gather information about waste management and recycling behaviors of commercial businesses is through on-site observation and research, combined with interviews with business operational personnel. However, given the size and diversity of the universe of businesses in Mecklenburg County, it was beyond available resources to complete this project strictly through on-site research. Telephone surveys, while less in depth, provide a way to contact many more businesses to collect basic information about waste management and recycling practices. In an attempt to balance the need for in-depth research with available budgeted resources, the MSW Team completed telephone surveys of 526 Mecklenburg County businesses to inquire about their generation of wood pallets, clean wood, OCC, and film plastics. Businesses were selected from the InfoUSA database, as described above. The majority of the telephone surveys 365 commercial businesses targeted the commercial establishments believed to be Possible pallet/clean wood generators. This allowed the Project Team to concentrate our on-site research on the businesses most likely to generate pallets, and therefore most likely to be impacted by a landfill ban on pallets. The result was that the Project Team relied on telephone surveys to develop estimates of the generation and disposition of targeted materials for Possible generators, and concentrated our on-site research and analysis on Likely generators. Telephone surveys of 161 Likely generators were also conducted to expand the universe of Likely generators surveyed. Although onsite research was the primary means of data collection for the Likely generators, the telephone surveys were intended to supplement on-site research and enable some comparison between the accuracy and completeness of telephone survey data relative to onsite research. To perform the telephone survey, the MSW Team randomly selected 1,000 likely businesses and 3,000 possible businesses. Phone surveyors began contacting companies sequentially, making up to three attempts to reach the appropriate person at each business contacted. Incorrect or disconnected phone numbers, as well as businesses that were unresponsive after three attempts, were not surveyed. Surveyors proceeded through the randomly selected list of businesses until sampling targets were achieved. Table 3-5 summarizes the phone surveys, and a copy of the telephone survey instrument is attached in Appendix B Mecklenburg County Pallet/Woodwaste Report

51 Table 3-5 Summary of Commercial Generator Phone Surveys Likely Generators 3. METHODOLOGY Possible Generators Number of Businesses in Universe 5,702 18,857 Randomly Selected Businesses 1,000 [1] 3,000 [1] Responses (Response Rate) 161 (16%) 365 (12%) [1] Surveyors progressed through their randomly selected list of companies until reaching prescribed response targets. Not every business was contacted. At the outset of this task, the telephone surveys of the Likely generators were intended to be used as a mechanism to contact businesses who would be targets for further on-site research to be conducted at a later stage of the project. However, given the logistical challenges associated with mapping out and visiting Likely generators for on-site research, phone surveys were ultimately performed strictly to supplement the on-site research. Survey responses were compiled by 2-digit NAICS code. For each 2-digit NAICS code, the MSW Team calculated the total number of businesses surveyed, as well as the employment represented by those businesses. Further, generation rates were calculated for each 2-digit NAICS code. Table 3-5 summarizes the number of responses received by 2-digit NAICS code for both the Likely and the Possible generators ON-SITE SURVEYS The MSW Team believed that on-site observations at business establishments, coupled with interviews of business personnel, would provide the best characterization of wood pallet and clean wood generation and management practices. For this reason, extensive business on-site observations were performed by experienced recycling professionals. In preparation for on-site generator surveys, the MSW Team (lead by DSM Environmental Services) sorted the list of Likely Generators by zip code and street address. Once on the ground in Mecklenburg County, the MSW Team chose geographic regions of high commercial and industrial activity to survey each day, with the goal of surveying Likely Generators in each broad NAICS category, as well as generators geographically dispersed throughout the County (in the event that behavior varied geographically as well as by size and NAICS code). Ultimately, the MSW Team conducted on-site generator observations during two separate one-week field data collection events that took place in November and December During each week, two to three MSW Team members (lead by DSM professional staff) canvassed the County to collect data. The MSW Team walked into businesses that were either on the Likely Generator list, or had pallets visible on their premises. The MSW Team introduced the purpose of the survey and attempted to speak face to face with the employee/business manager most likely to know about pallet generation and disposal. Visual inspections of storage areas and dumpsters were sought and, in most cases, performed at those sites that agreed to the survey. To assure consistency of data collection, the same survey instrument as was used in the phone survey was used as a starting point for on-site observations and interviews (see Appendix B). Mecklenburg County Pallet/Woodwaste Report 3-11

52 3. METHODOLOGY However, the face-to-face dialog, as well as the opportunity to visually confirm or further explore certain responses, provided the field interview team with the ability to ask further clarification questions in response to what was observed at the site. In each case, the MSW Team worked with the company s representative to establish estimates of generation and how each material was managed. Often this involved a series of questions about generation, recycling and disposal for each material, with prompts from DSM as appropriate to assist the company representative with estimating generation. Over the course of two separate extended field visits, a total of 281 businesses were included in the on-site observations and interviews. Table 3-6 summarizes the distribution of businesses by 2-digit NAICS code captured in the on-site generator surveys. Table 3-6 Summary of Phone and On-site Survey Responses NAICS 2- Digit Code Description Number of Responses from Likely Generators Number of Responses from Possible Generators On-site Survey Responses 11 Agriculture, Forestry, Fishing and Hunting Mining, Quarrying, and Oil and Gas Extraction NA 1 NA 22 Utilities NA 2 NA Manufacturing Wholesale Trade Retail Trade Transportation and Warehousing Information NA 17 NA 52 Finance and Insurance NA 36 NA 53 Real Estate and Rental and Leasing NA 35 NA 54 Professional, Scientific, and Technical NA 52 3 [1] Services 55 Management of Companies and Enterprises NA 1 NA 56 Administrative and Support and Waste Management and Remediation Services 61 Educational Services NA 7 NA 62 Health Care and Social Assistance Arts, Entertainment, and Recreation Accommodation and Food Services NA 41 NA 81 Other Services (except Public Administration) NA 36 3 [1] Total [1] These NAICS codes were not initially targeted in the on-site surveys; rather, these establishments were observed to have pallets awaiting recycling or disposal and were added to the list of on-site surveys while the field study was in progress Mecklenburg County Pallet/Woodwaste Report

53 3. METHODOLOGY In total, 807 Mecklenburg County businesses were surveyed either by phone or on-site in the performance of this project. These businesses were contacted in proportion to the distribution of business types as defined by the NAICS code system INFOUSA DATABASE ACCURACY As described in Section 2, research into the universe of commercial businesses in Mecklenburg County necessarily relied on an underlying database of businesses. A database of businesses generated by InfoUSA was used for this purpose. It should be noted that any database of businesses would be expected to contain errors and inaccuracies simply because of the challenges associated with maintaining real-time data for such a large population. Although it was beyond the scope of this study to analyze the reason for InfoUSA inaccuracies, we can reasonably hypothesize that errors arise because of the time lag between new business registrations or closures; acquisition of one business by another; integration of records from multiple underlying sources; and human error. Prior to surveying, the MSW Team reviewed the InfoUSA database to identify potential shortfalls in the data. This review identified the following: Missing Business Addresses: A critical part of performing field observations, is to be able to have the addresses for the commercial generators. There were 2,489 businesses (6.0% of the total businesses in InfoUSA) that had neither a primary nor a secondary address in the database and therefore could not be targeted for field survey (or otherwise verified). Duplicate Listings: In evaluating the entire InfoUSA database, the MSW Team found only 223 businesses (0.5%) with the identical business name and primary address, which suggests that these may be duplicates. For example, Bi-Lo Grocery Stores appears twice in the InfoUSA database with an identical address (9815 Rose Commons Drive), NAICS, employee counts, and square footage this is likely a duplicate entry. However, the degree of duplication of records is harder to discern for another fraction of businesses in the database. This was the case where there was a relatively large building (or buildings) with multiple commercial services being provided. For example, Rooms To Go Clearance and Rooms To Go Warehouse are both located at 2730 South Interstate Service Road (abbreviated differently in the InfoUSA Database) with identical NAICS. However, InfoUSA reports different employee counts and square footage for Rooms To Go Clearance and Rooms To Go Warehouse, so this may reflect two separate divisions of a business with the same mailing address. Our review of the database suggests that between two and four percent of listings may be full or partial duplicate listings. PO Box for Both the Primary Address and Secondary Address: A PO Box as a primary address and secondary address prevented a businesses from being selected for field observation. Only 315 businesses were found to have only a PO Box address as both a primary address and a secondary address or a PO Box address as a primary address and no secondary address. The use of PO boxes did not appear to be a significant problem. The MSW Team attempted to evaluate the accuracy of the InfoUSA database during both the phone and on-site surveys. During the phone survey, an effort was made to validate the employment and square footage data contained in the database. On average, the self-reported employment by survey respondents was between five and 11 percent less than the employment reported in the InfoUSA database. This may be attributable to the fact that the Mecklenburg County Pallet/Woodwaste Report 3-13

54 3. METHODOLOGY survey sought to capture the number of full-time equivalent (FTE) employees, while the InfoUSA database may have reported total employees. Although the MSW Team at first attempted to also validate the square footage and the NAICS code reported in the InfoUSA database, survey respondents were predominately unable to confirm these items. Accuracy of the InfoUSA data was also validated during on-site surveys. Of the 281 surveyed locations, all but seven businesses surveyed by the MSW Team were ultimately found in the InfoUSA database, which suggests that the database is reasonably complete. However, inaccuracies in the employment and square footage data in the InfoUSA database caused some businesses to be misclassified during the screening process for Likely and Possible Generators. During field surveys, the MSW Team noted: Inaccuracy in Employment Information: Of the businesses for which employment was confirmed with the local representative, 65 percent reported a number of employees that varied by 15 percent above or below the count of employees specified in the InfoUSA database, with 19 percent reporting employment that varied by 50 percent or more. Total employment in the InfoUSA database seems reasonable at the macro level based on other comparable data sources, but inaccuracies clearly exist throughout individual company listings. Inaccuracy of Square Footage: Approximately 50 percent of businesses surveyed in site reported a square footage that fell outside the Info USA database square footage range assigned to the business. It was beyond the scope of this study to investigate the discrepancies in the InfoUSA database. Because total employment seems the most reasonable in the database, and because the MSW Team has no basis for validating the total square footage in the InfoUSA database, for the remainder of this study we have relied on employment as a better basis for extrapolating results TARGETED COMMERCIAL LOAD OBSERVATION For the most part, on-site surveys provided the best glimpse into the disposed waste stream at a wide range of businesses, and MSW Team members were able to both interview business personnel and visually observe the contents of material streams targeted for both disposal and recycling/reuse. Most commercial businesses use dumpsters as their primary container for refuse, and it was possible to open and visually scan the contents of dumpsters during the onsite surveys. However, some of the larger establishments utilize roll-off compactor boxes for refuse. These boxes can be as large as 30 yards, and are entirely enclosed except for the in-feed chute. Compactor boxes are prevalent at establishments like big box stores, grocery stores, and certain manufacturers, all of which are believed to generate wood pallets as well as other targeted materials. As a consequence of these containers being enclosed, it was not possible for on-site surveyors to view the contents of the disposed waste stream at these establishments to evaluate pallet, clean wood, cardboard and plastic film generation. To determine how best to target compactor box loads for further visual observation, the MSW Team reviewed the distribution of responses to the on-site surveys compared to the overall distribution of establishments in the County. Table 3-7 compares the on-site surveys completed against the percent of establishments in the Likely Generator categories based on the InfoUSA database. The table shows the relative percentage of each 2-digit NAICS in the 3-14 Mecklenburg County Pallet/Woodwaste Report

55 3. METHODOLOGY on-site surveys versus that found in the entire universe of Likely Generators. While these allocations tracked reasonably well, the manufacturing, transportation, and health care sectors were found to be slightly under-represented, and were subsequently targeted for further observation. Table 3-7 Comparison of On-site Surveys and Total Likely Generator Businesses in Mecklenburg County Generator Types On-site Surveys Number of On-site Surveys % of Total On-site Surveys % of Total Likely Generator Businesses [1] Wholesale % 36.5% Retail % 24.4% Manufacturing % 22.3% Transportation % 9.4% Healthcare 6 2.3% 4.9% Arts 3 1.1% 1.4% Admin 3 1.1% 1.0% Agriculture 1 0.4% 0.1% Total % 100.0% [1] Source: InfoUSA Ultimately, the MSW Team did not attempt to make arrangements with healthcare entities due to the potential sensitivity among Foxhole Landfill neighboring communities to having these wastes tipped at the facility. Rather, some additional big box retailers (such as Wal-Mart and Sears) were added to supplement our on-site survey data. The MSW Team made arrangements with local haulers to acquire and deliver compactor box loads to the Foxhole Landfill, where they could be tipped and visually surveyed. In preparation for the visual sampling of these targeted commercial loads, the MSW Team contacted county permitted haulers to recruit delivery of these loads. The County offered to waive the tip fee as an incentive. Local haulers Republic Waste, Hawk Sanitation, Allied Waste, and All-Points Waste ultimately cooperated in delivering compactor box loads from targeted Mecklenburg County establishments. From February 4 th through 7 th, 2008, an MSW Team member was on-site at Foxhole Landfill to receive, confirm, and visually survey the incoming loads. Haulers were asked to provide the name, address, type of business, and the frequency of pulls from each establishment. MSW Team members spoke directly with dispatch to line up appropriate loads. The on-site MSW Team visual surveyor photographed and logged each incoming vehicle onto a field sample sheet. Drivers of these trucks were instructed to announce to the scale attendant (fee collector) that he/she was delivering a load for the visual survey, and were given instructions to tip in the designated area for visual observation. Weigh tickets were obtained from the scalehouse for each load. Mecklenburg County Pallet/Woodwaste Report 3-15

56 3. METHODOLOGY The MSW Team subsequently consulted the InfoUSA database to obtain estimated employment for each targeted load, and also requested service level data from the participating haulers. Table 3-8 summarizes the employment, container yardage, and service levels for each of the 33 commercial organizations that were captured in the study (one of which was sampled twice). Table 3-8 Visual Survey Waste Generation Business Name NAICS 2- Digit Number of Employees Container Yardage Container Type[1] Annual Pulls Contemporary Classics CC 156 Sia Abrasives CC 9 Intelicoat Technologies# CC 104 Stock Building Supply CC 104 CCL Label CC 156 Cadmus Specialty Packaging CC 312 Rutland plastic SC 104 Sun Chemical SC 104 Pelton & Crane OT 156 Aplix (sampled twice) SC 104 Jacobsen CC 52 Pelton Crane CC 156 Carocraft Cabinets OT 156 United Supply CC 24 Scandura/Fenner Dunlap CC 52 Home Depot OT 52 Sears CC 17 Building Center Inc CC 17 Harris Teeter SC 52 Value City CC 60 Lowes Food CC 52 Family Dollar DC Box CC 52 Family Dollar DC Box CC 104 Costco SC 104 Stein Mart CC 18 Belk Dist Ctr CC 52 Wal-Mart SC 52 Canteen Vending OT 104 Marshall's CC 156 Wal-mart SC 36 FedEx Ground SC 52 Britax SC 26 IPEX SC 156 [1] OT = Open Top; CC = Compacter; SE = Self-Contained Compactor The results of these targeted loads were integrated into the on-site survey data to develop combined results Mecklenburg County Pallet/Woodwaste Report

57 3. METHODOLOGY 3.3. CONSTRUCTION AND DEMOLITION SECTOR APPROACH The construction and demolition sector has been defined in this study to include all construction, renovation, and demolition activities taking place in Mecklenburg County where C&D debris is generated. The MSW Team used multiple strategies to gather information about the generation and management of pallets and clean wood (as well as the other targeted materials) in the C&D sector. Our approach for researching the C&D sector encompassed the following efforts: Hauler surveys to inquire about the incidence of generation, alternative disposal options, and procedures for collecting pallets and clean wood from C&D sites; Full C&D characterization analysis that took place at two C&D disposal facilities in Mecklenburg County that collectively receive about 80 percent of the total C&D waste generated; and Builder focus group meetings were used to get direct feedback from builders and developers who are active in both residential and commercial development and construction in the County. Specific research performed for the commercial sector is described below HAULER SURVEYS At the time of the study, there were a total of 15 permitted haulers 2 that were collecting C&D waste in Mecklenburg County. The vast majority of the C&D debris being collected by these haulers was likely to be delivered to C&D landfills (or facilities other than MSW landfills), so it was not believed that the wood pallet ban in MSW landfills would be as problematic for these haulers and their customers. However, in an attempt to capture some insight about on-site management practices for wood pallets and clean wood from C&D haulers, the MSW Team conducted a brief survey of the C&D haulers. MSW developed a cover letter and survey instrument to guide the responses, and contacted haulers by phone and to request participation. Twelve of the 15 C&D waste haulers provided at least some feedback from the survey, with the other three not responding to our inquiries or declining to participate. Appendix B contains the survey instrument and a matrix of survey responses C&D WASTE CHARACTERIZATION STUDY Over the past several years, Mecklenburg County has generated roughly 350,000 tons per year of C&D that has been disposed in landfills. C&D waste is known to contain a large fraction of materials that can be recycled and, according to the County s 2006 Solid Waste Master Plan, C&D represents the greatest single opportunity for waste reduction. As part of this overall study of wood pallets, clean wood, and other materials, MSW Consultants conducted a full C&D waste characterization study to investigate the composition of County-generated C&D being disposed in landfills. This study was performed to achieve the following objectives: 2 Eleven of these haulers were reported to only collect C&D wastes, with four collecting from all sectors. Mecklenburg County Pallet/Woodwaste Report 3-17

58 3. METHODOLOGY Develop statistically defensible estimates of the annual composition of C&D waste generated in Mecklenburg County and disposed in landfills; Identify opportunities for increasing diversion from this sector; and Establish a baseline snapshot of the composition of Mecklenburg County s C&D waste stream against which future studies can be compared for the purpose of evaluating future programmatic changes. According to C&D disposal data that were compiled from annual landfill reports to the North Carolina Department of Environment and Natural Resources (DENR), Mecklenburg County generated 377,120 tons of C&D waste in FY2007. This C&D was reported by eight different C&D landfills inside and outside of Mecklenburg County. However, 76 percent of Countygenerated C&D was reported to be disposed at two facilities: the County s Foxhole Landfill on Mecklenburg County s southern border, and the North Mecklenburg Landfill in Cornelius, serving the northern part of the County. In the Summer and early Fall of 2007, MSW Consultants arranged and conducted a total of three weeks of on-site sampling of incoming C&D loads at these two facilities. During field data collection, a total of 246 loads were randomly selected for sampling. For each load, MSW Consultants applied a visual surveying protocol to identify the prevalence of 30 discrete materials in the C&D waste stream. The visual surveying protocol required a professional field supervisor with solid waste industry experience to: Measure the dimensions of the incoming truck or container; Estimate how full the container is on a percentage basis; Systematically identify and estimate the volume-percent of the constituents in the load; and Acquire the actual weight ticket from the facility scalehouse indicating the actual weight of the load. Volume-based estimates were converted to weights based on industry-standard density factors, and the resulting estimated weight was normalized based on the actual known weight of the load. Landfill based sampling of incoming waste streams are believed to render the most accurate picture of the composition of these waste streams. A separate, comprehensive report was developed to summarize the methodology and results of the Mecklenburg County C&D waste characterization study. For the convenience of the reader, detailed tabular results of the entire C&D waste stream are shown in Table 3-9, and the results section of the full C&D report is included in Appendix F to this volume Mecklenburg County Pallet/Woodwaste Report

59 3. METHODOLOGY Table 3-9 Mecklenburg County C&D Waste Composition Summary 90% Conf. Interval Annual Standard Quantity Material Categories Mean Deviation Lower Upper (Tons) OCC/Kraft 3.8% 0.4% 3.1% 4.5% 14,302 Other Paper 0.7% 0.1% 0.6% 0.9% 2,817 Paper Subtotal 4.5% 0.5% 3.7% 5.3% 17,119 PVC Pipe 0.1% 0.0% 0.1% 0.2% 457 Plastic Film 0.3% 0.1% 0.2% 0.4% 1,283 Vinyl Siding 0.1% 0.0% 0.0% 0.1% 194 Other Plastic 0.6% 0.1% 0.5% 0.7% 2,191 Plastic Subtotal 1.1% 0.1% 0.9% 1.3% 4,125 Glass 0.9% 0.1% 0.7% 1.1% 3,420 Glass Subtotal 0.9% 0.1% 0.7% 1.1% 3,420 Appliances 0.1% 0.0% 0.0% 0.1% 217 Other Ferrous Metals 5.6% 0.7% 4.4% 6.8% 21,174 HVAC Ducting 0.1% 0.0% 0.0% 0.1% 290 Other Non-Ferrous Metals 1.1% 0.1% 0.9% 1.4% 4,321 Metal Subtotal 6.9% 0.8% 5.6% 8.2% 26,003 Land Clearing / Limbs / Stumps 0.9% 0.3% 0.4% 1.4% 3,514 Other Yard Waste 1.1% 0.2% 0.7% 1.5% 4,162 Green Waste Subtotal 2.0% 0.4% 1.4% 2.7% 7,676 Concrete/ Block/ Brick/ Stone/ Tile 23.3% 3.1% 18.2% 28.4% 87,846 Dirt/Sand/Gravel 6.1% 1.3% 4.0% 8.2% 23,046 Inerts Subtotal 29.4% 3.4% 23.9% 34.9% 110,892 Pallets 2.1% 0.3% 1.6% 2.5% 7,765 Crates 0.5% 0.3% 0.0% 0.9% 1,856 Untreated Wood 16.5% 1.4% 14.2% 18.8% 62,252 Oriented Strandboard (OSB) 6.0% 0.8% 4.7% 7.3% 22,488 Treated/ Painted/ Processed Wood 6.8% 0.7% 5.7% 7.8% 25,505 Wood Subtotal 31.8% 2.2% 28.2% 35.4% 119,865 Drywall - Unpainted 6.8% 1.1% 5.0% 8.7% 25,806 Drywall - Painted 0.4% 0.2% 0.1% 0.7% 1,613 Asphalt Roofing 6.4% 1.2% 4.4% 8.4% 24,084 Insulation 0.8% 0.2% 0.5% 1.0% 2,888 Ceiling Tiles 0.1% 0.0% 0.0% 0.1% 292 Carpet & Carpet Backing 5.3% 1.0% 3.7% 7.0% 20,167 C&D Materials Subtotal 19.8% 1.9% 16.7% 23.0% 74,850 Bagged MSW 1.3% 0.2% 1.0% 1.6% 4,867 Electronics 0.0% 0.0% 0.0% 0.1% 173 Bulky Wastes/ Furniture 0.9% 0.2% 0.6% 1.2% 3,344 Mixed C&D/ Other Unclassified 1.3% 0.2% 1.0% 1.6% 4,784 Bulky/Other Subtotal 3.5% 0.4% 2.9% 4.1% 13,168 TOTAL 100.0% 377,120 Mecklenburg County Pallet/Woodwaste Report 3-19

60 3. METHODOLOGY BUILDER FOCUS GROUPS As a final task to gain qualitative feedback from the building community on recycling in general and on the issue of pallet and clean wood recycling specifically, the MSW Team, in cooperation with Mecklenburg County, hosted two focus group meetings attended by local builders. The first focus group meeting was held on December 11, 2007, and was attended primarily by commercial builders. The second focus group meeting was held on December 13, 2007, and was attended by residential builders. Prior to each focus group meeting, the MSW Team prepared an agenda and a list of questions to be covered in the meeting. A copy of the focus group agenda and questions is included in Appendix F. The MSW Team supplied a solid waste industry senior professional with extensive facilitation experience, as well as a note taker, to support each focus group meeting. Focus group meetings were also attended by one or more County representatives, as well as one or more members of the MSW Team to observe. During each meeting, the MSW Team spent several hours progressing through the questions and soliciting responses from attendees. Attendees were addressed by their first names, and no company-specific information was retained beyond a general description of the type of construction in which each builder specialized. In general, the focus group attendees were believed to be reasonably open and frank in their responses, a summary of which can be found in Appendix F RECYCLING MARKET RESEARCH APPROACH As described previously, a significant percentage of this study focused on characterizing the generation and on-site management of wood pallets, clean wood, and the other targeted materials. The remaining focus of the project was to research and assess the available infrastructure within the Mecklenburg County regional market area for collecting, reusing and recycling the targeted materials. This infrastructure consists of: Permitted and non-permitted collectors (and self-haulers) of these materials; Re-manufacturing/reuse facilities for wood pallets; Wood grinders who chip pallets for use in mulch/landscaping and boiler fuel applications; and Processors or end-users who may use the other targeted materials as a feedstock or otherwise prepare any of the targeted materials for resale to end users. It should be noted that at the current time there are no material recovery facilities (MRFs) in Mecklenburg County that target the C&D waste stream. Additionally, other than OCC, there are no local MRFs that accept mixed loads containing the remaining targeted materials that have not been source separated. The following sections describe the market research performed COLLECTION INFRASTRUCTURE RESEARCH As described above, the MSW Team made inquiries to the licensed haulers in Mecklenburg County to gain feedback. However, the bulk of the research on the collection infrastructure was secondary in nature and was based on comments made by pallet and wood generators 3-20 Mecklenburg County Pallet/Woodwaste Report

61 3. METHODOLOGY and/or by the pallet recyclers in the County that receive small (pick-up truck) loads of pallets from a relatively large number of unlicensed individuals that earn incremental revenue by scavenging pallets. Due to the fact that these scavengers are not listed in the phone book, and in most cases the pallet generators did not know specifics, the MSW Team has not surveyed these entities SURVEYS OF MARKET INFRASTRUCTURE Mecklenburg County has a robust pallet recycling and rebuilding industry. Based on the list of pallet recyclers provided by the County, and confirmed in the field, there are 16 pallet recyclers serving the region, seven of which are large operations each handling between approximately 200,000 and 2 million pallets per year. The MSW Team performed on-site visits to six of the seven large recyclers, and developed estimates of how many used pallets each recycled annually. An estimate for the seventh (which declined to participate in this study) was generated using data the company provided on their web site. Of the remaining pallet remanufacturers, four were interviewed by telephone, and seven were not contacted. The MSW Team also contacted and in some cases visited other clean wood (grind) end users. Table 3-10 summarizes the primary research conducted for local pallet and clean wood markets. Mecklenburg County Pallet/Woodwaste Report 3-21

62 3. METHODOLOGY Table 3-10 Summary of Pallet/Wood Market Infrastructure Participants Material Company Name Contacted Notes Wood Pallet Markets Users of grind Custom Pallet Visited Also grind wood Gamble Visited Remanufacture only IFCO Visited Remanufacture only Metromont Visited Also grind wood Neal's Visited Also grind wood Simpson Visited Remanufacture only Starnes Data obtained from web page Remanufacture only LA Brick Phone Small volume remanufacturer Pallets and Such Phone Small volume remanufacturer Accu-Pak Not contacted Small volume remanufacturer Blue Ridge Not contacted Small volume remanufacturer Hwy 49 Not contacted Small volume remanufacturer Johnny Brown Not contacted Small volume remanufacturer Statesville Not contacted Small volume remanufacturer Tree Brand Not contacted Small volume remanufacturer Workmans Not contacted Small volume remanufacturer Edwards Phone Virgin pallet producer only First Alliance Phone Broker only Piedmont AmWare Visited Closed system Foxhole Landfill Stone Bowater Chester Conweb Biofuels Inc Sunoco Data provided by County Phone Phone Phone Phone Phone Phone Pallet and clean wood grind Compost Central Visited Does not accept pallets [1] These NAICS codes were not initially targeted in the on-site surveys; rather, these establishments were observed to have pallets awaiting recycling or disposal and were added to the list of on-site surveys while the field study was in progress. In addition to the markets for wood pallets and clean wood, the MSW Team also contacted end markets or processors for the other materials targeted in the study to inquire about 3-22 Mecklenburg County Pallet/Woodwaste Report

63 3. METHODOLOGY current capacity, barriers and opportunities for expansion, and other pertinent data about the local market for these materials. In all, the MSW Team contacted over a dozen entities that potentially serve as a market for gypsum, plastic film, OCC, vinyl siding, or asphalt shingles OTHER INFORMATION SOURCES To supplement the primary research described above, the MSW Team was also provided a copy of relevant reports and data sets to supplement the research that was undertaken for this project: The Recovery of Construction and Demolition Wood Waste for Use as a Boiler Fuel, April 2007: This is an engineering report that evaluates the use of C&D wood waste as a boiler fuel for coal-fired power plants. It identified Duke Power as a potential user of this alternative fuel, provided a C&D material recovery facility is developed in the County. Commercial Waste Characterization Study, Mecklenburg County, January 2006: This study relied on a desktop estimate of the likely generation and composition of commercial waste. While the study appeared well researched and useful for planning purposes, it acknowledges that disposal site sampling of commercial wastes would be preferable to develop County-specific data. Mecklenburg County Solid Waste Management Plan : This document was consulted for waste generation data and projections for the commercial and C&D generator sectors. County-managed Surveys of C&D and Commercial Generators: The County is active in promoting recycling, reuse and source reduction practices within its commercial and C&D sectors, and has made outreach efforts in the past. Copies of relevant survey data was provided for review by the MSW Team. Where applicable, these studies were used to supplement the findings of this project. Mecklenburg County Pallet/Woodwaste Report 3-23

64 3. METHODOLOGY This page intentionally left blank Mecklenburg County Pallet/Woodwaste Report

65 4. WOOD PALLETS AND UNTREATED WOOD 4.1. INTRODUCTION The primary focus of this project was to document the generation, collection, recycling/reuse, and disposal of wood pallets and clean wood waste. This section presents the breadth of information that was derived in this study on these two materials. Further, this section attempts to draw conclusions about the ability of the recycled market infrastructure to manage these materials, with special focus on the impending ban on wood pallet disposal in municipal solid waste landfills which goes into effect on October 1, The section is organized in the following subsections: Wood Pallet Generation, Disposition and Recycling, Untreated Wood Waste Generation, Disposition and Recycling, Transportation and Recycling Market Infrastructure Analysis, and Gap Analysis and Implications of the Pallet Ban WOOD PALLET GENERATION, RECYCLING AND DISPOSITION While pallet generation was documented for a wide range of industries, wood pallets were found to be generated in large numbers among a relatively small number of commercial sectors, as well as to a significant degree within the construction and demolition waste stream. This section summarizes the results of our analyses of pallet generation and disposition COMMERCIAL SECTOR Survey Results On-site and telephone surveys were used in combination as the primary means of assessing pallet generation, recycling, and disposal in the commercial sector. Significant amounts of data were generated in the course of these survey efforts. Findings of note are provided in tabular and graphical format. Recall that the approach for this project involved segregating the universe of businesses into three strata: Likely Generators, Possible Generators, and Unlikely Generators (i.e., businesses not surveyed). Results of the surveys for both the Likely and the Possible Generators are shown. Table 4-1 summarizes the percentage of respondents to both the telephone and on-site surveys of the Likely generators that reported or were found to generate wood pallets. Mecklenburg County Pallet/Woodwaste Report 4-1

66 4. WOOD PALLETS AND UNTREATED WOOD NAICS Code Table 4-1 On-Site and Telephone Surveys of Likely Pallet Generators Phone Surveys Industry Surveyed Generate Pallets On-site Surveys Percent Surveyed Generate Pallets Percent Manufacturing % % 42 Wholesale Trade % % Retail Trade % % Transportation/Warehousing % % 56 Admin/Support/Waste Mgmt % % 62 Health Care % % 71 Arts/Recreation % % Total % % As illustrated in Table 4-1, the on-site surveys reflect a significantly higher incidence of pallet generation within the same universe of Likely Generators compared to the telephone surveys. In total, on-site surveys identified pallet generation at 60 percent more businesses compared to the phone survey (stated another way, for every one business identified as generating pallets in the phone survey, 1.6 businesses were identified as generating pallets via on-site survey). This outcome suggests that on-site surveyors were much better able to identify that pallet generating activities are taking place, and it can be inferred that subsequent survey responses are more accurate and comprehensive as well. For this reason, the Project Team has relied on the on-site survey results for use in our analysis of Likely generators. No on-site surveys were conducted at businesses pre-classified as Possible Generators. Rather, more extensive phone surveying was conducted for these businesses. Table 4-2 summarizes the results of the Possible Generator phone survey. Note that, as expected based on the random selection process that was used to select businesses, the phone surveys were distributed across all of the industry groups in Mecklenburg County in rough proportion to the number of businesses in each industry group. Table 4-2 Phone Survey of Possible Pallet Generators NAICS Code Phone Surveys Industry Surveyed Generate Pallets Percent 21 Mining/Quarry/Oil/Gas % 22 Utilities % Manufacturing % 42 Wholesale Trade % Retail Trade % Transportation/Warehousing % 51 Information % 52 Finance/Insurance % 4-2 Mecklenburg County Pallet/Woodwaste Report

67 4. WOOD PALLETS AND UNTREATED WOOD NAICS Code Phone Surveys Industry Surveyed Generate Pallets Percent 53 Real Estate/Rental/Leasing % 54 Prof./Scientific/Technical % 55 Management % 56 Admin/Support/Waste Mgmt % 61 Educational Services % 62 Health Care/Social Svc % 71 Arts/Entertainment/Recreation % 72 Accommodation/Food Services % 81 Other Services % Total % As shown in the Table 4-2, the incidence of pallet generation among the Possible Generators decreases significantly compared to that of the Likely Generators. Whereas 45 percent of the Likely Generators contacted via the phone survey reported generating pallets, only 11 percent of the Possible generators contacted by phone reported generating pallets. However, as illustrated in Table 4-1, above, it is likely that the telephone respondents underreported the generation of pallets, with 45 percent of Likely Generators reporting that they generated pallets in the telephone survey, while 75 percent said they generated pallets based on the on-site surveys. Although the MSW Team s surveyors were trained to coach a respondent in best answering survey questions, phone survey responses could not be visually verified. The MSW team believes that there is a systematic difference between on-site and phone surveys, and that the responses shown in Table 4-2 undercount the number of Possible Generator businesses generating pallets. To make up for this under-reporting, the MSW Team has adjusted the phone survey responses from the Possible Generators upward based on the difference between the Likely Generator phone and on-site surveys. Specifically, the results for Possible Generators have been increased by 64.5 percent. Based on both the phone surveys (for Possible Generators) and on-site survey responses (for Likely Generators), the MSW team calculated pallet generation coefficients for each industry group for which a sufficient number of samples were obtained. Generator coefficients are stated in terms of the number of pallets per employee per year, and were calculated based on the weighted average generation rate at each of the businesses surveyed. Note that it was not an objective of this study to provide statistically defensible results down to the industry level, and no confidence intervals are reported. (More rigorous statistical treatment of the data would also greatly complicate the presentation of information.) Table 4-3 presents pallet generation coefficients for Likely Generators derived from over 280 on-site surveys of Mecklenburg County businesses. Mecklenburg County Pallet/Woodwaste Report 4-3

68 4. WOOD PALLETS AND UNTREATED WOOD Table 4-3 Generator Coefficients of Likely Pallet Generators Based on On-site Surveys (pallets/employee/year) NAICS Code Industry Disposed Sent to Recycler Sent to Chipper Total Generation Manufacturing Wholesale Trade Retail Trade Transportation/Warehousing Admin/Support/Waste Mgmt Arts/Recreation Note that the expertise of the on-site surveyor and the ability to discern different outlets for pallets provided a clearer view of how to best quantify pallet disposal and recycling. On-site surveys could readily discern whether pallets were being disposed or recycled, and/or if backhauling was occurring. The decision was made not to focus on backhauled pallets because they were not entering the waste stream and therefore would not be impacted by a ban on disposal. It should be noted however, that the larger pallet recyclers managed large quantities of backhauled pallets over and above the pallets collected through recycling efforts. Pallets destined for disposal or recycling (whether remanufacture or grinding) were more commonly queued outside the actual facilities where they could be observed and quantified. These pallets were either stacked for pick-up or else may have been placed in roll-off containers for collection. Figures 4-1 and 4-2 show several examples of pallets awaiting collection for disposal or recycling. Figure 4-1 & Figure 4-2 Pallets Awaiting Collection Pallets were deemed to be disposed if they were placed in a mixed waste container (dumpster or open-top box). Pallets that were being source separated for recycling were further classified by on-site surveyors as going to a pallet recycler or to a chipper (most commonly to the Foxhole Landfill). Table 4-4 presents the pallet generator coefficients for Possible Generators based on the adjusted telephone survey results. These results are the direct result of the structure of the phone survey instrument (contained in Appendix D) which, in an attempt to remain simple 4-4 Mecklenburg County Pallet/Woodwaste Report

69 4. WOOD PALLETS AND UNTREATED WOOD enough to be completed quickly over the phone, asked respondents to indicate (a) whether or not pallets were generated at their business, and (b) if so, how the pallets were disposed. The choices for pallet disposition on the survey instrument were given as: Disposed: Pallets were placed in or around the dumpster for collection with the refuse; Recycled: Pallets were segregated and collected for delivery to a company that recycles pallets Backhaul: Pallets were transported, via the company s supply chain, back to a distribution center for centralized bulk management; or Reuse: Unloaded pallets were essentially re-loaded and used to transport new (or repacked) goods for further shipment. In reality, most businesses may manage pallets in multiple ways, with the intact pallets being reused or back-hauled, the damaged but still salvageable pallets being sent to a pallet recycler, and the pallets that have been damaged beyond repair possibly being disposed. Recognizing that a phone survey would be unlikely to discern so many possible nuances about pallet management, responses were assigned to the pallet management outcome that represented the most pallets. For example, if a company said they both backhaul and recycle, the survey would indicate only the response that was believed to capture the most pallets. Table 4-4 Generator Coefficients of Possible Pallet Generators Based on Phone Surveys (pallets/employee/year) NAICS Code Industry Disposed Recycled Backhaul Reuse Total Generation Manufacturing Wholesale Trade Retail Trade Transportation/Warehousing Real Estate/Rental/Leasing Prof./Scientific/Technical Admin/Support/Waste Mgmt Health Care/Social Svc Arts/Entertainment/Recreation Accommodation/Food Services Other Services Note that these generation rates are significantly below the generation rates of the Likely generators. Of particular interest, pallets were found to be generated in the same industry groups among the Possible Generators. So, although a wholesale trade, retail trade, or transportation/warehousing business might have been screened into the Possible Generator list based on their relatively low employment and small square footage, these establishments were still found in the phone survey to be generating pallets (albeit at lower rates than larger establishments of the same industry group). Mecklenburg County Pallet/Woodwaste Report 4-5

70 4. WOOD PALLETS AND UNTREATED WOOD Note once again that uncertainty on the part of the respondent about technical details of both generation and disposal or recycling is inherent in phone surveying. Specifically, in many cases the most knowledgeable respondent within a particular company may be able to answer questions conceptually, but cannot quantify the response. For example, many businesses knew they generated pallets; however, it was beyond the ability of the respondent to estimate the number of these pallets; or it was not truly known what fraction of pallets were managed via disposal, backhaul, recycling, or other disposition. The following tables apply the pallet generator coefficients to the known employment within each industry group to calculate the total number of pallets generated in Mecklenburg County. Tables 4-5 and 4-6 show the totals for the Likely and Possible Generators, respectively. The Likely Generator totals are based on the on-site surveys, while the Possible Generator totals are based on the adjusted phone survey results. Table 4-5 Pallet Generation from Likely Pallet Generators Based on On-site Surveys (No. of Pallets) NAICS Code Industry Disposed Sent to Recycler Sent to Chipper Total Generation Manufacturing 34,235 83,478 1,228,271 23,918 1,335, Wholesale Trade 29, , , , , Retail Trade 25,193 54, ,377 5, , Transportation/Warehousing 15, , ,679 3, , Admin/Support/Waste Mgmt 5,292 14,112 1, , Health Care 13, Arts/Recreation 4,171 6,581 16, ,265 Total Pallets 122, ,641 2,295, ,708 3,016,708 Tons 10,866 57,384 7,168 75,418 As shown in Table 4-5, on-site surveys of Likely Generators found that disposal was the least common means of pallet disposition by far, with 85 percent of the pallets either recycled or sent for chipping. This would be considered a very high recovery rate for any material being recycled, and is indicative of the robust pallet recycling infrastructure in place in Mecklenburg County. Most pallets that were not backhauled (or reused) were recycled, with a much smaller fraction observed to be delivered to a wood grinding facility. Table 4-6 Pallet Generation from Possible Pallet Generators Based on Phone Surveys (No. of Pallets) NAICS Code Industry Employment Employment Disposed Recycled Backhaul Reuse Total Generation Manufacturing Wholesale Trade , , Retail Trade 2, ,970 4,822 13,505 20, Real Estate/Rental/Leasing 1, , ,435 7, Prof./Scientific/Technical 2, Admin/Support/Waste Mgmt 1, Mecklenburg County Pallet/Woodwaste Report

71 4. WOOD PALLETS AND UNTREATED WOOD NAICS Code Industry Employment Disposed Recycled Backhaul Reuse Total Generation 62 Health Care/Social Svc. 1, , , Arts/Entertainment/Recreation Accommodation/Food Services 1, Other Services 2, ,371 19,613 Total Pallets 14, ,268 4,826 4,313 55,996 Tons ,400 Possible Generators generated a much lower number of pallets per employee compared to Likely Generators, based on phone survey responses. Even accounting for the larger employment in this stratum (360,000 compared to 130,000 employees), the absolute number of pallets generated by Possible Generators was a fraction of the Likely Generators. Table 4-7 summarizes the pallets being disposed and recycled in Mecklenburg County, based on the analysis above. Note that several assumptions were made to define the term recycled from the phone and on-site surveys. Pallets were defined to be recycled if they went to either a pallet remanufacturer or to a chipper (including the Foxhole Landfill) 1 during the on-site survey. For the phone surveys, the decision was made to include pallets that were reported to be destined for recycling or backhaul, but not for reuse, in the recycled total. This decision was based on the qualitative judgment that survey respondents tended to mention these two responses more frequently and that these responses were more interchangeable. 1 A strict definition of recycling would exclude the use of wood chips for boiler fuel. For this analysis any beneficial reuse of wood pallets was included in the definition of recycling for the sake of simplicity. Mecklenburg County Pallet/Woodwaste Report 4-7

72 NAICS Code 4. WOOD PALLETS AND UNTREATED WOOD Industry Table 4-7 Total Pallet Generation in the Commercial Sector Likely Generators Disposed Possible Generators Total Likely Generators Recycled Possible Generators Manufacturing 83, ,478 1,252, ,252, Wholesale Trade 160, , ,443 5, , Retail Trade 54, , ,702 6, , Transportation/Warehousing 115, , , , Real Estate/Rental/Leasing 0 0 6,220 6, Prof./Scientific/Technical #VALUE! 56 Admin/Support/Waste Mgmt 14, ,317 1, , Health Care/Social Svc ,780 1, Arts/Entertainment/Recreation 6, ,581 16, , Accommodation/Food Services Other Services Total Total Pallets 434, ,230 2,582,067 21,095 2,603,162 Tons 10, ,881 64, ,079 Percent of Total 14.3% 85.7% As noted in Table 4-7, approximately 3 million pallets were estimated to be discarded through means other than back-hauling by commercial pallet generators in Mecklenburg County. Eighty-six percent of these pallets were being recycled, with the vast majority being recycled by Mecklenburg County s relatively robust pallet recycling infrastructure. Only 14.3 percent of the pallets that are discarded from Mecklenburg County businesses are estimated to have been disposed in MSW landfills. Note that this is a conservative estimate because it is possible that some of these pallets were being delivered to C&D landfills. To be conservative, on-site surveyors classified all pallets in mixed waste boxes as being commercial waste. However, there were some boxes that appeared to contain only materials that are accepted at C&D facilities. It should be noted that the above estimates exclude pallets generated by the construction industry, which is accounted for below. As a final exercise, Figure 4-3 below shows the portion of the overall Mecklenburg County commercial waste stream comprised of wood pallets. 4-8 Mecklenburg County Pallet/Woodwaste Report

73 4. WOOD PALLETS AND UNTREATED WOOD Figure 4-3 Pallets as a Percent of Disposed Commercial Waste As shown in Figure 4-3, the 10,900 tons of pallets that were estimated to be disposed in MSW landfills represent only 1.4% of the 773,000-ton commercial waste stream. This is of interest because it suggests that pallet disposal in MSW landfills is a relatively minor concern at the current time. It may also be of interest that these results suggest that there are fewer pallets in the commercial waste stream compared to prior studies conducted by the County. In the County s 2006 desktop commercial waste characterization study (i.e., the study relied on comparative analysis and estimations but did not include field sampling, sorting, and weighing), it was estimated that there were 15,869 tons of pallets (out of 601,862 tons of commercial waste), or 2.6 percent QCTS Results While a complete disposal site characterization study was not possible to quantify pallets in commercial waste, the MSW Team was able to perform two days of visual observation at the Queen City Transfer Station (QCTS). The QCTS, located in Charlotte, receives not only commercial waste but also some C&D debris. Figure 4-4 shows the fraction of incoming weight of commercial waste and C&D debris at the QCTS, based only on the two days of field observation performed. The classification of waste as being commercial or C&D was based on the professional judgment of the MSW field supervisor, as it was not possible to interview the driver to confirm the origin of the load. Mecklenburg County Pallet/Woodwaste Report 4-9

74 4. WOOD PALLETS AND UNTREATED WOOD Figure 4-4 Proportion of Waste Received at QCTS As shown, the majority of wastes received at QCTS were found to be commercial waste, which was the focus of our study. However, 16 percent of wastes appeared to have originated from C&D related activities. A total of 117 loads of commercial waste were observed over two days at QCTS. Table 4-8 summarizes the quantities of pallets that were observed to be in commercial wastes. Table 4-8 Summary of Commercial Waste Deliveries to QCTS Frontloaders Open Top Rolloffs Compactors Percent of Commercial Deliveries 31% 40% 29% Average Weight per Load 7.8 tons 2.3 tons 5.8 tons Average Number of Pallets per Load Pallets as Percent of Load (by Weight) 2.5% As shown in the table, the facility receives a relatively even mix of frontload, open top roll-off and compactor deliveries containing commercial waste, although the frontloaders and compactor boxes weighing significantly more than the open top boxes. However, wood pallets were observed to be much more prevalent in the open top debris boxes, with an average of 12 pallets per commercial box. Fewer than one pallet was observed, on average, in frontloaders and compactors. Despite the limitations associated with making these visual observations at QCTS, it is notable that wood pallets were observed in the commercial stream at a roughly comparable level to the findings of the on-site surveys. The MSW Team believes that the QCTS visual 4-10 Mecklenburg County Pallet/Woodwaste Report

75 4. WOOD PALLETS AND UNTREATED WOOD observations support the belief that results of the on-site generator surveys are, ultimately, the most accurate data for use in our projections Hauler Feedback Mecklenburg County haulers were asked to provide information about wood pallets generated by their customers and managed by each hauler. The following bullets summarize this feedback: Two of the respondents reported that wood pallets are not generated by their clients (which could be interpreted as being placed in the dumpster for disposal). The other haulers reported that some customers generated pallets; None of the responding haulers reported pallets in dumpsters as being problematic; The fraction of commercial customers reported to dispose of pallets in refuse dumpsters was no more than 10 percent, and in most cases in the low single digits; Warehouses were cited by responding haulers as the primary generator of pallets placed in dumpster for disposal. Only one hauler reported any customers having a recycling program for pallets. This was interpreted by the MSW Team to mean that that hauler collected source-separated pallets for delivery to a pallet recycler; Haulers reported delivering pallets to multiple pallet recyclers, although Custom Pallets was mentioned most frequently; Multiple reasons were given for why customers do not recycle wood pallets, and there was no clear consensus. The detailed results of the hauler survey are shown in Appendix E C&D SECTOR Quantitative information on the C&D waste stream was drawn from a full C&D waste characterization study that was performed as part of this project. This information was supplemented by qualitative feedback from two focus group meetings conducted with area builders, as well as by limited interviews with local permitted haulers. Relevant findings are described below C&D Waste Characterization Analysis Table 4-9 summarizes the estimated quantity of wood pallets found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be 90 percent sure that the true quantity of pallets lies within the lower and upper bounds shown in the table. Mecklenburg County Pallet/Woodwaste Report 4-11

76 4. WOOD PALLETS AND UNTREATED WOOD Table 4-9 Wood Pallets in C&D Waste Stream Percent of C&D Waste Tons of Pallets Number of Pallets Minimum (90%) 1.6% 6, ,739 Average 2.1% 7, ,593 Maximum (90%) 2.5% 9, ,448 Source: Mecklenburg County C&D Waste Characterization Study, September The C&D characterization study also provided an opportunity to more closely analyze the size, type and condition of pallets being delivered in this waste stream. Specifically, the MSW Team attempted to individually tabulate pallets being delivered in mixed C&D waste loads. It is important to note that the majority of the pallets arriving in mixed C&D loads were commingled with a variety of debris and it was difficult or dangerous to retrieve and measure these pallets consistently. Furthermore, when the compactor or dozer spread out the tipped loads of C&D, this action effectively damaged many or most of the pallets embedded in the debris pile. Despite these obstacles which limited the MSW Team s ability to physically extract and characterize pallets from the C&D stream, MSW Consultants tabulated summary shown in Table 4-10, based on visual assessment of over 500 pallets observed during the C&D characterization study Mecklenburg County Pallet/Woodwaste Report

77 4. WOOD PALLETS AND UNTREATED WOOD Table 4-10 Characterization of Wood Pallets in C&D Loads Characteristic Breakdown No. of Pallets Percent Size [1] Standard Size and Construction % Standard Size, non-standard Construction % Small % Oversize % Subtotal % Condition Undamaged % Intact but Broken Parts % Not Intact % Subtotal % Reusability [2] Reusable for Remanufacture % Not Reusable (chip/grind only) % Subtotal % [1]Pallets could not be uniformly measured for access and safety reasons, and the size tabulations shown in the table are based on best visual estimate of the pallets, rather than precise measurements. [2]Pallets were classified as being reusable if they were standard sized and intact (including those with some broken parts). Pallets were classified as being not reusable if they were not intact or if they were smaller than standard size. In practice the larger than standard size pallets may be recoverable for use as replacement parts. As shown in the table above, at an observed rate of 88 percent, wood pallets delivered for disposal in the C&D waste are predominantly reusable for remanufacture of new pallets. However, recovery of pallets from C&D sites would be increased if pallets were source separated and delivered to a pallet remanufacturer prior to collection and delivery to a C&D landfill. While most pallets appeared to be recoverable during our observations, the process of physically removing pallets from mixed C&D waste would be expected to further damage at least a fraction of the pallets observed. Although the full C&D characterization study provides the most thorough and defensible results, a second data point was obtained based on the QCTS observations. Concurrent with the commercial waste observations at the QCTS, the MSW Team performed a similar analysis on a smaller number of C&D loads. Table 4-11 summarizes the incidence of pallets in the C&D loads entering the QCTS. Mecklenburg County Pallet/Woodwaste Report 4-13

78 4. WOOD PALLETS AND UNTREATED WOOD Table 4-11 Summary of C&D Debris Deliveries to QCTS Frontloaders Open Top Rolloffs Compactors Percent of C&D Deliveries 0% 100% 0% Average Weight per Load NA 4.7 tons NA Average Number of Pallets per Load NA 0.59 NA Pallets as Percent of Load (by Weight) NA 0.3% NA It is of interest that these results differ significantly from the full C&D visual characterization study data. While this is not surprising the sample size at the QCTS was far too small to be considered representative and it was also not possible to see all sides of each load it is indicative of the potential error associated with attempting to use non-statistical approaches to defensibly analyze waste compositions. The MSW Team believes the results of the full C&D characterization study are the most accurate and defensible for planning purposes Hauler Feedback Mecklenburg County C&D haulers were asked to provide information about wood pallets generated at C&D sites and managed by each hauler. The following bullets summarize this feedback: Residential construction was most commonly cited as the most common generator of pallets. Only one hauler indicated a non-construction generator of pallets from manufacturing/industrial plants - in open top roll-off as being prevalent; Only three haulers out of the 13 respondents indicated that they collect pallets from their roll-off customers for recycling. Pallet recycling was provided to between 1 and 15 percent of roll-off customers (which may expand beyond C&D customers); and Responding haulers generally did not provide where they take pallets for recycling. The detailed results of the hauler survey are shown in Appendix E Builder Feedback Two builder focus groups were held to obtain input from builders as to the opportunities and constraints to increasing recycling of C&D materials, including wood pallets and clean wood. The first focus group included builders who focus primarily on commercial construction. The second focus group included builders who focus primarily on residential construction. Both groups included a mix of large and small builders, and all in attendance were active participants. The following bullets highlight notable feedback received from the commercial and residential builders who attended the focus groups Commercial Builder Focus Group Highlights Commercial builders reported that on average 25 percent of their customers required recycling primarily for LEED purposes. On non-leed projects the commercial builders typically only recycle metal, which has value, although they will often attempt to send OCC and wood pallets back with the 4-14 Mecklenburg County Pallet/Woodwaste Report

79 4. WOOD PALLETS AND UNTREATED WOOD vendors. They also reported looking for an alternative for concrete because it is costly to dispose of at a landfill. At least one commercial builder reported that disposal of wood pallets can be a problem on small jobs. On LEED projects the commercial builders recycle a wide array of materials clean wood, concrete, gypsum, carpet, ceiling tile, light fixtures, metals, and OCC were the items reported most frequently. Because weight is important to the recycling rate for LEED projects, the heavier materials are preferred. No commercial builder reported recycling film plastic, vinyl siding, or asphalt. When asked what motivates them to recycle the builders reported, in order of importance: (1) money; (2) LEED certification requirements; (3) customer requirement; and, (4) good publicity. Only one builder reported doing it because it was the right thing to do. When asked about the importance of cost, there was general consensus that the extra cost of recycling was a deterrent to recycling in many cases. In many cases it is hard to justify the added cost of supervision, container rental, and employee compliance when local landfill tip fees are so low. Another important barrier noted by builders was the lack of sufficient space to place additional storage containers on many job sites. Finally, the builders reported that a lack of good information on markets was an issue. Although they recognized county publications existed, they cited the difficulty in contacting markets in real time. When asked to identify markets for clean wood, about one-half said that with landfill costs so low there was no incentive to recycle wood. Most believed that the primary market was the Compost Central grinder, or another grinder. When asked about gypsum, builders cited the high cost of transport to the market, as well as the risk of illicit dumping in the roll-off container which contaminated the load. Contamination was reported to be deposited in the containers either by sub-contractors or by the general public (especially over the weekend) unless the dumpster was fenced Residential Builder Focus Group Highlights Residential builders were much less likely to recycle than the commercial builders. This is primarily because maintaining low costs was more of a factor for residential construction, and because of the lack of LEED certification incentives. The most likely items to be recycled were concrete (because of high cost of disposal) and metals (because of its value). A number of builders did report that they try to reuse materials or use reuse stores if possible, although both the commercial and residential builders reported that new building and fire code requirements often discouraged reuse because the old materials (e.g., doors) would not meet the new codes. Large residential builders reported that a big deterrent to recycling is the time required to recycle. While they are motivated to not create the waste in the first place, recycling increases supervisor time and responsibility a typical supervisor on a large residential development might have 25 to 30 houses under supervision. Lining up markets and Mecklenburg County Pallet/Woodwaste Report 4-15

80 4. WOOD PALLETS AND UNTREATED WOOD containers, sequencing material recycling, supervising sub-contractors and training employees to recycle would add time which is more valuable managing the construction process to reduce cycle time (the time from start to finish of each house). The builders reported that the waste management companies, while neutral to recycling, do not provide recycling services as a general part of their service. All of the builders reported that if the County wanted to increase recycling they would have to regulate it so that there was a level playing field. The residential builders reported that if they had a separate container they would concentrate on OCC, clean wood, and/or gypsum. However they all pointed out that illicit disposal in waste dumpsters is already a large problem especially on weekends when there are no workers on site. It was suggested that placing additional containers for recycling would only add to the problem and create significant contamination. When asked about banning clean wood from disposal, the residential builders raised a series of questions about what constituted clean wood with nails(?), finger jointed with glues(?), oriented strand board and plywood(?). All reported that it would increase their costs and the time for construction so that it would have to be regulated so that all builders had the same restriction. A number of builders reported that they do make sub-contractors responsible for their own wastes if possible. There was general agreement that on larger projects waste disposal costs were about one percent of costs, and therefore relatively insignificant. However, there was not a lot of incentive to recycle and potentially increase costs. As with the commercial builders, wood pallets were rarely mentioned as a significant waste management issue. Complete builder focus group notes are contained in Appendix G PALLET RECYCLING/REUSE MARKET RESEARCH As a final step in quantifying the pallet stream in Mecklenburg County, and to assess the potential for the market to absorb additional pallets if they were banned form landfills, the MSW Team performed on-site visits to six of the seven large pallet recyclers and estimated recycled quantities from the seventh using data that company provided on their web site. Telephone surveys were made to four additional pallet recyclers (one the largest new pallet manufacturer in the County, and three small recyclers) to round out the data. Based on the surveys, the MSW Team made an informed assumption (based on the 80/20 percent rule of thumb concerning large and small operations) that the remaining smaller pallet recyclers recycle 20 percent of the total. Table 4-12 shows our estimate of the number of pallets that are handled by the recycling infrastructure annually Mecklenburg County Pallet/Woodwaste Report

81 4. WOOD PALLETS AND UNTREATED WOOD Table 4-12 Estimated Annual Pallet Recycling by Mecklenburg County Infrastructure Pallet Recyclers Number of Companies Estimated Number of Used Pallets Accepted per Year Large Recyclers (1) 7 5,715,000 Small Recyclers (2) 9 1,143,000 Total 16 6,858,000 (1) Large recyclers were defined as those that handle between 175,000 and 2.2 million pallets each. (2) Small recyclers handled less than 175,000 and were assumed to handle 20% of pallets. As shown, it is estimated that 6.8 million pallets (rounded) were recycled in 2007 in Mecklenburg County. This number excludes a relatively small number of pallets that may be getting sent directly to wood chipping operations (such as the Foxhole Landfill). It is important to note that the field research focused on the fraction of these pallets that were being hauled to these pallet recyclers directly from generator sites. Large companies and chains with multiple locations typically have in place sufficient logistical management systems to backhaul their pallets to a central site, and will either manage pallet remanufacture there or else will contract with a pallet manufacturer to perform this function. Our research could not estimate the quantity of pallets that were backhauled out of Mecklenburg County (we did conduct a telephone survey of one firm whom manages pallets from Mecklenburg County in the Chicago area), but we can estimate the number pallets backhauled to Mecklenburg County pallet recyclers by subtracting the number estimated to be hauled directly to the pallet recyclers from the total reported to be handled by the pallet recyclers. Figure 4-5 and Table 4-13 illustrate the number of pallets estimated to be generated in Mecklenburg County, as well as their final disposition. Figure 4-5 Mecklenburg County Pallet Disposition and Recycling Summary Mecklenburg County Pallet/Woodwaste Report 4-17

82 4. WOOD PALLETS AND UNTREATED WOOD Table 4-13 Mecklenburg County Pallet Disposition and Recycling Summary Number of Pallets Tons Percent Disposed in MSW LF 445,333 11, % Disposed in C&D LF 310,593 7, % Recycled (including grind) 2,603,162 65, % Backhaul for Recycle 4,254, , % Total 7,613, , % Note that in practice, the number of pallets generated in Mecklenburg County may be smaller than shown above for two reasons. First, some of the pallets estimated to be landfilled at C&D landfills may have come from the pallet recyclers. Second, most pallets probably progress through the recycling stage multiple times during the year, and it is not believed that the figures reported by the pallet recycling infrastructure were adjusted for multiple uses of a single pallet. However, for the purpose of estimating the total number of pallets, the MSW Team believes these figures are informative and reasonably reflect the relative disposition of pallets among disposal at landfills or through recycling and reuse UNTREATED WOOD GENERATION, RECYCLING AND DISPOSITION Unlike pallets, which were somewhat ubiquitous within certain industry groups and within the C&D waste stream, untreated wood was found to be generated primarily in the C&D sector. (Note also that wood pallets that are too small or too damaged for remanufacture are considered clean wood.) This section summarizes the results of our analyses of clean wood generation and disposition COMMERCIAL SECTOR Survey Results The stratification of commercial businesses into Likely Generators and Possible Generators, is described above in the pallet discussion. Businesses were characterized inclusive of the likelihood of generating pallets or untreated wood. In other words, Likely Generators included businesses that were deemed likely to generate pallets; or business that were likely to generate clean wood; or both Mecklenburg County Pallet/Woodwaste Report

83 4. WOOD PALLETS AND UNTREATED WOOD Results of the phone and on-site surveys for both the Likely and the Possible Generators are shown in Table Table 4-14 Survey Results of Likely Clean Wood Generators NAICS Code Phone Surveys Industry Surveyed Generate Wood On-site Surveys Percent Surveyed Generate Wood Percent Manufacturing % % 42 Wholesale Trade % % Retail Trade % % Transportation/Warehousing % % 56 Admin/Support/Waste Mgmt % % 62 Health Care % % 71 Arts/Recreation % % Total % % Consistent with the pallet results, the on-site surveys reflect a significantly higher incidence of clean wood generation within the same universe of Likely Generators compared to the phone survey. This once again confirms the MSW Team s belief that on-site surveyors can better quantify wood generating activities and related management of wood. No on-site surveys were conducted at businesses pre-classified as Possible Generators; rather, phone surveys were used to inform about wood generation from this stratum of commercial establishments. Table 4-15 summarizes the results of the Possible Generator phone survey. Table 4-15 Survey Results of Possible Clean Wood Generators NAICS Code Phone Surveys Industry Surveyed Generate Wood Percent 21 Mining/Quarry/Oil/Gas % 22 Utilities % Manufacturing % 42 Wholesale Trade % Retail Trade % Transportation/Warehousing % 51 Information % 52 Finance/Insurance % 53 Real Estate/Rental/Leasing % 54 Prof./Scientific/Technical % 55 Management % 56 Admin/Support/Waste Mgmt % Mecklenburg County Pallet/Woodwaste Report 4-19

84 4. WOOD PALLETS AND UNTREATED WOOD NAICS Code Phone Surveys Industry Surveyed Generate Wood Percent 61 Educational Services % 62 Health Care/Social Svc % 71 Arts/Entertainment/Recreation % 72 Accommodation/Food Services % 81 Other Services % Total % It is of particular interest that virtually no businesses across the universe of those surveyed reported any untreated wood generation. While we can be relatively certain that generation would have been underestimated by phone survey respondents, it is nonetheless apparent that untreated wood is not nearly so prevalent in the commercial waste stream as wood pallets. Based on the on-site survey responses, the MSW Team calculated untreated wood generation coefficients for each industry group for which a sufficient number of samples were obtained. Generator coefficients are stated in terms of the pounds of clean wood per employee per year, and were calculated based on the weighted average generation rate at each of the businesses surveyed Table 4-16 shows the clean wood generation coefficients derived from over 280 on-site surveys of Mecklenburg County businesses. It should be noted in reviewing Table 4-16 that it is likely that the Retail Trade coefficients are skewed by certain types of retail trade that generate large amounts of wood, including a wood stove store, hardware and lumber stores, and nurseries that sell a lot of breakable clay pots Mecklenburg County Pallet/Woodwaste Report

85 4. WOOD PALLETS AND UNTREATED WOOD Table 4-16 Generator Coefficients of Likely Wood Generators Based on On-site Surveys (lbs/employee/year) NAICS Code Industry Disposed Recycled Total Generation Manufacturing Wholesale Trade Retail Trade Transportation/Warehousing Admin/Support/Waste Mgmt Health Care Arts/Recreation Again, the prevalence of clean wood found in the commercial waste stream, even among Likely Generators, was relatively low. Because of the consistent lack of reported clean wood generation among the Possible Generators, no generator coefficients have been developed and are assumed for the sake of simplicity to be zero. In practice, there is some clean wood being generated by these businesses, but it was not found to be at a level of significance. The following tables apply the clean wood generator coefficients to the known employment within each industry group to estimate the total quantity of clean wood generated in Mecklenburg County s commercial sector. Table 4-17 shows the totals for the Likely generators based on the on-site surveys. Although we can reasonably speculate that de mimimus quantities of clean wood are generated in the Possible Generator stratum, we have made no attempt to estimate this amount. Table 4-17 Wood Generation from Likely Generators Based on On-site Surveys (tons) NAICS Code Industry Employment Disposed Recycled Total Generation Manufacturing 34, , Wholesale Trade 29,169 1, , Retail Trade 25,193 1,339 1,248 2, Transportation/Warehousing 15, Admin/Support/Waste Mgmt 5, Health Care 13, Arts/Recreation 4, Total Clean Wood 126,829 3,853 2,084 5,937 Percent of Total 64.9% 35.1% It is notable that over 35 percent of the quantity of clean wood being generated in the commercial sector was found to be destined for beneficial use of some kind. The recycled figure in the above Table includes both chipping as well as a range of alternative uses that Mecklenburg County Pallet/Woodwaste Report 4-21

86 4. WOOD PALLETS AND UNTREATED WOOD were variously reported. Examples of other recycling include: delivery of wood to other manufacturers; distribution of wood to local contractors or employees; and backhauling of wood pieces (which, unlike pallets, were recorded as recycled). As a final exercise, Figure 4-6 shows the portion of the overall Mecklenburg County commercial waste stream comprised of clean wood. Figure 4-6 Clean Wood as a Percent of Disposed Commercial Waste As shown in the Figure, the 3,853 tons of clean wood that were estimated to be disposed in MSW landfills represent only 0.5 percent of the 773,000 ton commercial waste stream. This is far below estimates contained in a prior commercial waste characterization study conducted by the County. In the County s 2006 desktop commercial waste characterization study, it was estimated that there were 39,196 tons of clean wood (out of 601,862 tons of commercial waste), or 6.5 percent QCTS Results A total of 117 loads of commercial waste were observed over two days at QCTS. Table 4-18 summarizes the quantity of clean wood that was observed to be in commercial wastes Mecklenburg County Pallet/Woodwaste Report

87 4. WOOD PALLETS AND UNTREATED WOOD Table 4-18 Summary of Commercial Debris Deliveries to QCTS Frontloaders Open Top Rolloffs Compactors Percent of C&D Deliveries 31% 40% 29% Average Weight per Load 7.8 tons 2.3 tons 5.8 tons Average Weight of Clean Wood per Load 63 lbs 318 lbs 69 lbs Clean Wood as Percent of Load (by Weight) 1.7% Clean wood, like pallets, was observed to be much more prevalent in the open top debris boxes, with an average of over 300 pounds per commercial box. Very little wood was observed in frontloaders and compactors. It is perhaps noteworthy that the visual observations of commercial waste reflect slightly higher percentage of clean wood in commercial deliveries compared to the results of the on-site and phone surveys. The MSW Team believes that the results of the on-site generator surveys are, ultimately, the more accurate data compared to the QCTS observations Hauler Feedback Mecklenburg County haulers were asked to provide information about clean wood generated by their customers and managed by each hauler. Only two of the haulers providing commercial (dumpster) collection service reported collecting dumpsters with wood from time to time, with estimates that less than five percent of commercial customers disposed of clean wood. None of the haulers responded that clean wood waste problematic. The detailed results of the hauler survey are shown in Appendix E C&D SECTOR Relevant findings about clean wood from the full C&D characterization study and from builder focus groups are described below C&D Waste Characterization Analysis Table 4-19 summarizes the estimated quantity of clean wood found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be 90 percent sure that the true quantity of clean wood lies within the lower and upper bounds shown in the table. Mecklenburg County Pallet/Woodwaste Report 4-23

88 4. WOOD PALLETS AND UNTREATED WOOD Table 4-19 Clean Wood in C&D Waste Stream Percent of C&D Waste Tons of Wood Minimum (90%) 14.2% 53,443 Average 16.5% 62,252 Maximum (90%) 18.8% 71,060 Source: Mecklenburg County C&D Waste Characterization Study, September Although the full C&D characterization study provides the most thorough and defensible results, a second data point was obtained based on the QCTS observations. Concurrent with the commercial waste observations at the QCTS, the MSW Team performed a similar analysis on a smaller number of C&D loads. Table 4-20 summarizes the incidence of clean wood in the C&D loads entering the QCTS. Table 4-20 Summary of Clean Wood in C&D Debris Deliveries to QCTS Frontloaders Open Top Rolloffs Compactors Percent of C&D Deliveries 0% 100% 0% Average Weight per Load NA 4.7 tons NA Average Weight of Clean Wood per Load NA 552 lbs NA Clean Wood as Percent of Load (by Weight) 5.9% Similar to the pallet results, the amount of clean wood observed during the QCTS observations was significantly lower than the full C&D characterization study. Although some of the difference could be attributable to the small sample size the QCTS, it is more likely that the obstacles to accurate visual observations played a more important role. The MSW Team believes the results of the full C&D characterization study are the most accurate and defensible for planning purposes Hauler Feedback Mecklenburg County C&D haulers were asked to provide information about clean wood generated at C&D sites and managed by each hauler. The following bullets summarize this feedback: Haulers indicated that between zero and 100 percent of their C&D customers generate wood pallets, and several haulers could not estimate the percentage; and Only three haulers indicated that they collect clean wood from their roll-off customers for recycling, and two of these haulers indicated minimal quantities of clean wood. One hauler reported recycling wood from 20 percent of their roll-off clients (which may expand beyond C&D customers). The detailed results of the hauler survey are shown in Appendix E 4-24 Mecklenburg County Pallet/Woodwaste Report

89 4. WOOD PALLETS AND UNTREATED WOOD Builder Feedback The majority of builders reported that they did not recycle clean wood, primarily because of the relatively low cost of landfill disposal. For a complete discussion of the factors impacting clean wood recycling, see Section SUMMARY DISCUSSION This study attempted to estimate the quantity of clean wood generated in Mecklenburg County through a combination of methods. Of the methods used, the on-site surveying of generators was most effective for the commercial sector, while the full C&D characterization study worked best for the C&D waste stream. Figure 4-7 and Table 4-21 illustrate the quantity of clean wood estimated to be generated in Mecklenburg County, as well as their final disposition. Figure 4-7 Mecklenburg County Clean Wood Disposition and Recycling Summary Table 4-21 Mecklenburg County Clean Wood Disposition and Recycling Summary Tons Percent Disposed in MSW LF 3, % Disposed in C&D LF 62, % Recycled (including grind) 2, % Total 68, % As shown, the vast majority of clean wood appears to be being disposed, mostly in C&D landfills. Mecklenburg County Pallet/Woodwaste Report 4-25

90 4. WOOD PALLETS AND UNTREATED WOOD 4.4. TRANSPORTATION AND RECYCLING MARKET INFRASTRUCTURE Being constructed of clean wood (predominantly), pallets have a longer and more varied life cycle than clean wood and as shown above, can be reused multiple times before reaching the end of their useful life as pallets. However, both pallets and clean wood share certain options for beneficial use at the end of their life. This section discusses the collection and recycling market infrastructure for both pallets and clean wood COLLECTION AND TRANSPORTATION Mecklenburg County is home to a robust pallet remanufacturing industry, and also offers several outlets for the grinding and recovery of clean wood. These markets are served by both permitted haulers as well as (for pallets) a surprisingly large community of small, unlicensed scavengers. This section explores the infrastructure for collection and delivery of pallets and clean wood to the various end markets in and around the Mecklenburg County region. During the on-site survey of Likely generators, the MSW Team attempted to record how pallets were collected and transported to recycling companies (exclusive of backhauling for reuse). The collection of pallets was found to be provided by contractual collection, self-haul, and an informal scavenging system. The breakdown of businesses reporting each type of collection is shown in Figure 4-8. Note that this figure tabulates the breakdown of collection method based on the number of businesses, not by the number of pallets being transported (scavengers collect a much smaller fraction of the absolute number of pallets). Note also that this figure excludes back-haul transportation, which was assumed to be performed by equipment and/or other transportation contracts in place with the Mecklenburg County business and its regional distribution center. Figure 4-8 Pallet Collection and Transportation at Surveyed Businesses 4-26 Mecklenburg County Pallet/Woodwaste Report

91 4. WOOD PALLETS AND UNTREATED WOOD For smaller generators, there exists a significant informal scavenging system. The system consists of many individuals driving around in their own pick-up trucks collecting pallets from loading docks and other areas where they collect at businesses. The scavengers take the pallets to a pallet recycler who pays money for the pallets usually between $1 and $2 for a standard 40x48 in good condition. Some of these individuals do this as an income supplement, while there are also some who have made it their sole vocation. Over 60 percent of pallet-recycling businesses visited as part of the on-site surveys knew that this informal infrastructure existed, and placed their waste pallets in locations where they knew pallets would be taken. This practice was widespread throughout the County. Estimates from pallet recyclers are that about 20 percent of pallets come in to their facilities via this informal system. One pallet recycler reported that he deals with 20 or more of the individual collectors himself, while another estimated that there are over 100 in the County. It is of interest that, although scavengers were found to collect from over 60 percent of businesses, they are handling only approximately 20 percent of the total volume of pallets. Broadly speaking, the informal scavenging system appears to be providing a clear benefit to the County as a means of recovering used pallets that would otherwise be disposed. It was beyond the scope of this study to investigate the appropriateness of the scavenging or the rationale for regulating such scavenging in any way. Conversely, based on feedback received, one of the limitations with this informal system is that many of the scavengers will only collect pallets for which they can be paid. While there are certain sizes of pallets that are more commonly used and therefore more desirable (discussed below), a rule of thumb is that a pallet must have at least one dimension of 40 inches to be re-usable in any manner. Therefore, the scavengers were found to leave behind broken and undersized pallets, which would then be destined for the dumpster, given the relatively low cost of disposal. It was also of interest that several businesses reported developing their own policy for working effectively with scavengers. These businesses demanded that any scavenger of pallets be required to take the bad ones along with the good ones. While this strategy was found to assure removal of small and broken pallets from the generator property, it was reported by pallet recyclers that the result is often illicit disposal of the pallets that they do not purchase PALLET RECYCLERS/REBUILDERS Based on the list of pallet recyclers provided by the County, and confirmed in the field, there are 16 pallet recyclers serving the region, seven of which are large operations each handling between approximately 200,000 and 2 million pallets per year. As discussed, these Mecklenburg County recyclers are estimated to recycle roughly 6.8 million pallets annually. The majority of the pallets brought to the pallet recyclers are refurbished and resold. Refurbishment might consist of simply sorting by size and reselling; repair of one or more broken slats; or cutting the pallet apart for use in refurbishing other pallets. The size of the pallet is important with respect to the ability of a pallet recycler to use the pallet. One of the medium sized pallet recyclers reported that they recycle the following size pallets (in inches): 48x40 Mecklenburg County Pallet/Woodwaste Report 4-27

92 4. WOOD PALLETS AND UNTREATED WOOD 48x48 44x44 45x45 36x36 Because the standard pallet (often called a GMA pallet because it is the standard size for Grocery Manufacturers Association stores) is typically a 48x40 inch pallet, any pallet with one dimension equal to, or longer then, 40 inches can generally be used to refurbish other pallets especially the standard pallet. As these sizes listed above indicate, pieces from a 48x48 pallet can be used to refurbish all of the pallet sizes that this pallet recycler refurbishes, while a 36x36 pallet can only be used to refurbish the same or a smaller pallet. For this reason, pallets smaller than 48x40 are the most difficult to recycle, and therefore are the pallets most likely to be thrown away. According to one of the pallet recyclers, roughly 20 percent of pallets are smaller than the standard pallet (48x40). Since more than one pallet recycler reported recycling smaller sized pallets, it is probably reasonable to assume, therefore, that less than 10 percent of all pallets available for recycling are not being recycled because of their small size. These pallets are typically ground (see below). In addition, pallets that are made with less than standard thickness slats, or are made of particle board or oriented strand board (OSB) are also very difficult to recycle, and therefore are more likely to be thrown away. However, according to one of the largest pallet recyclers in Mecklenburg County, these off-spec pallets typically make up less than five percent of the pallets in use. In summary, from 85 to 88 percent of all pallets generated in Mecklenburg County can be recycled directly either through repair, or by tearing them apart for use in refurbishing other pallets. The remainder would need to be ground for other uses. Of this amount, national studies have estimated that five percent of pallets are too damaged to reuse and are chipped, with less than one percent landfilled GRINDERS There are currently four primary grinding operations in Mecklenburg County: Compost Central (County owned); Metromont, Neals Pallet Company, and Custom Pallet. Metromont and Neals Pallet Company both sell the bulk of their ground material to Bowater as boiler fuel. At the time of our interviews with these two companies, Bowater was only paying $6 to $7 per ton for the ground material. According to both Metromont and Neals Pallet Company, this is essentially what it costs to grind a ton of pallets/clean wood (estimated 2 Source: Recovery, Reuse and Recycling by the United States Wood Packaging Industry: 1993 to 2006, by Robert Bush, Philip Araman, and E. Brad Hager Mecklenburg County Pallet/Woodwaste Report

93 4. WOOD PALLETS AND UNTREATED WOOD at $3/ton) and transport it to Bowater. As a consequence, companies grinding pallets are doing so only to avoid the disposal fee, if the pallets are their own, or they have to charge other pallet recyclers to grind the material. Custom Pallet has recently expanded their grinding operation, and is actively seeking higher value outlets for the ground material than for boiler fuel. They are currently 3 looking for an additional 40 tons per day of clean wood and pallets for grinding. They are charging $60 per 45 cubic yard trailer dropped off at their yard. Compost Central currently charges $16.50 per ton to accept wood for grinding. They are currently selling 10,000 cubic yards per year of ground wood as mulch, with all the remaining ground material delivered to one of three boilers: Bowater: 28 miles away, paying $7 per ton; Stone: 110 miles away, paying $14 per ton; and, Chester Wood Products: 40 miles away paying $14 per ton. According to Steve Elliot, Yard Waste Operations Manager, all three of these facilities are at capacity. In order to free up capacity, Steve believes that he can increase sales of mulch (colored and natural) by an additional 10,000 cubic yards (roughly 2,000 tons at 400 lbs/yard) over the next several years, thereby reducing the supply to the three boilers which would then be available for other grinders. All of the grinding operations interviewed by the MSW Team would support a ban on pallets to MSW landfills. They believe that this would allow them to charge a fair price for grinding, making it worthwhile to continue to grind clean wood. The key is to find alternative markets for the ground material. As discussed above, Custom Pallet believes that they have markets for an additional 40 tons of ground clean wood per day. This is roughly equivalent to 10,550 tons per year. In addition, Compost Central believes that they can increase mulch sales by roughly 2,000 tons per year, for a combined total new demand of 12,500 (rounded) tons of ground wood. This is equivalent to roughly all of the pallets currently estimated to be going to MSW landfills from likely pallet generators (445,102 pallets per year) GAP ANALYSIS AND IMPLICATIONS OF THE PALLET BAN One of the primary objectives of this study was to determine the potential impacts of the October 2009 pallet ban. In theory, if the collection and recycling infrastructure were perfect, in other words if all pallets could be collected and either recycled or otherwise ground for beneficial end use, there would be no gap between the generation of pallets and the ability of the market to collect and use (reuse) the pallets. In practice, even though pallets are largely recycled already, there are still pallets that do not get diverted from MSW landfill disposal and therefore would be the target of the pallet ban. This section identifies the entities that stand to be impacted by the ban, and attempts to 3 correspondence, April 9, 2008 Mecklenburg County Pallet/Woodwaste Report 4-29

94 4. WOOD PALLETS AND UNTREATED WOOD quantify the impact. Because pallets have overlapping end uses with clean wood, the market for clean wood processing is interrelated and is also discussed here. It should be noted again that the County already enjoys a very high recycling rate for pallets. At 87 percent, the pallet recycling rate is already enviable and compares favorably with the recycling rates of most other targeted recyclables. So in some respects, this is a moot issue, and it is highly unlikely that the recycling rate would increase greatly after the ban takes effect. The only condition which might trigger a meaningful change in the current pallet recycling rate would be the use of strict, aggressive and costly enforcement methods. For example, if enforcement officials were stationed at the tipping face of MSW landfills, and were empowered to fine commercial haulers a meaningful dollar amount for every pallet that was unloaded, it is possible that this would have the trickle down effect of pushing pallets to other disposal or recycling locations (as haulers would have economic incentive to effectively educate their customers to manage their pallets). Given that current material disposal bans in North Carolina receive little enforcement effort, it is not likely that the pallet ban will differ, and therefore it is not believed a significant gap exists between pallet generation and the pallet reuse/recycling market infrastructure. As described throughout this section, there are six stakeholders in the pallet and clean wood recycling, reuse, and disposal market which are discussed below: Landfills; Generators; Commercial Haulers; Scavengers; Pallet Recyclers; C&D Processors; and Clean Wood Markets. The largest potential negative impact associated with a ban on pallets to MSW landfills would be on the small generator, who would stand to see costs increase when they can no longer place their pallets in their commercial dumpster. This will require these generators to contract with a separate company to collect the pallets, or to rent a second dumpster in which to place pallets. As stated above, it is likely in the absence of strict enforcement, some pallets will continue to be disposed in MSW landfills. The second largest impact will be on the disposal of broken pallet pieces, off-spec pallets (made of non-conventional materials), and small sized pallets, which can not be repaired, or used to refurbish other pallets. While many of these pallets are already ground, more will now need to be ground and sold primarily for fuel. The problem is that local boiler fuel users are currently only buying ground clean wood as opposed to ground wood that includes painted, stained and engineered wood (which boiler fuel buyers in the Northeast purchase). 4 Thus, there is limited tolerance for pallets made from engineered wood or painted wood by the grinders, which will require that such wood and pallets will have to go to C&D landfills. 4 Companies burning a mix of green chips and clean waste wood can sell their resulting ash, while companies burning waste wood containing painted, stained and engineered wood would have to landfill the ash, increasing costs Mecklenburg County Pallet/Woodwaste Report

95 4. WOOD PALLETS AND UNTREATED WOOD Even if all pallets destined for MSW landfills (estimated at 445,000 pallets per year) were to be diverted to pallet recyclers, this would still only represent six percent of total pallet recycling capacity in the County, for which sufficient capacity exists at pallet recyclers to handle this material (see Pallet Recyclers below). The biggest barrier to compliance with a disposal ban lies in the collection costs vis-à-vis the low value of pallets from small quantity generators, off-spec and off-size pallets. Small quantity generators are going to find per-unit costs of hiring a commercial hauler to separately handle their pallets to be high compared to simply throwing the pallets in with MSW, and it is unlikely that the scavengers will be willing to pick up off-spec and off-size pallets because the scavengers are not generally paid for off-size pallets. Given the legitimate challenges associated with enforcing a pallet ban, and also on the likelihood that a small number of pallets (off-spec or small sized) will continue to be generated by commercial businesses where disposal in the municipal solid waste stream is cost-effective and not abusive of the intent of the ban, it would appear that an allowance for de minimus quantities would be reasonable. Note that is, in effect, how the current ban on OCC disposal works, with small generators exempt from the ban. An exemption for de minimus generators and the difficulty of enforcement will reduce the incremental diversion potential of enacting the ban. Given the frequent non-compliance the MSW Team witnessed in the field regarding the County s cardboard source separation ordinance 5 (cardboard is a more valuable and pervasive material), high compliance rates with the pallet ban could not reasonably be expected without rigorous outreach and enforcement. Additional impacts are discussed below LANDFILLS MSW landfills would lose tip fee revenues related to the disposal of pallets. Assuming all 445,000 pallets estimated to be going to MSW landfills were eliminated from MSW landfills (an unreasonable assumption) the pallet ban would cause a loss of $445,000 annually based on an average tip fee of $40 per ton. MSW landfill owners were not contacted for this report. However, it is not believed that the quantity of pallets is large enough to have a meaningful impact on MSW landfills from loss of tip fee revenues. MSW landfills may also incur some additional costs if the ban is aggressively enforced. As with any regulatory action, effectiveness of the pallet ban is expected to be proportional to the degree to which the ban is enforced. If enforced aggressively, such that MSW landfills are at risk of financial or other penalties for non-compliance, MSW landfills may need to take steps to closely monitor incoming deliveries and to develop incremental fees to cover the cost of pallet removal from incoming loads. It is likely, however, that such costs would be passed on to landfill customers. Conversely, it may be expected that at least some pallets from commercial sources find their way into C&D landfills. This is especially true of businesses that generate loads of mixed inert debris and other wastes that qualify for disposal in C&D landfills. 5 Mecklenburg County has an ordinance requiring businesses that contract for 16 yards/week or more of waste disposal to separate OCC and office paper for recycling. Mecklenburg County Pallet/Woodwaste Report 4-31

96 4. WOOD PALLETS AND UNTREATED WOOD GENERATORS As shown in the results of our phone and on-site surveys, pallets are widely generated across certain industry types. However, the majority of these pallets (and virtually all pallets generated by the largest entities) are already being backhauled or recycled. Even moderate sized generators, or those generators that generate common sized pallets, stand to receive service from pallet scavengers, reducing the impact of the pallet ban. Small quantity generators, especially those in industries that do not regularly generate pallets or that generate off-size pallets, would be expected to incur the most negative impact of a ban on pallets to MSW landfills. Although builders of smaller, residential homes were found to generate pallets that could not be diverted, builders and other pallet generators in the construction industry will be largely immune from the ban because their mixed wastes are disposed at C&D landfills, which are not included in the ban. Our phone and on-site surveys did not attempt to study pallet generation among 13,430 businesses (with only 38,000 employees) deemed to be Unlikely pallet generators. To the extent these businesses generated pallets, it is hypothesized that such generation would be rare and sporadic and is therefore unlikely they would even be aware of a pallet ban. It is assumed that such businesses would incur extra costs for pallet disposal (i.e., they would be required to pay a third party to collect their pallets), but that the incidence of pallet generation among these businesses would minimize the number of times, and therefore the cost, of needing such a service. On a related note, the pallet ban may also increase friction between small quantity generators and local commercial waste haulers. Haulers generally responded to our survey that a pallet ban at MSW landfills would necessitate their taking steps to keep pallets out of commercial dumpsters, through policy changes and even fines or back-charged to the small business. Such fees may be perceived as unfriendly towards customers at first. However, it is likely that over time any customers that generate pallets would be, out of necessity, informed by their haulers of the limitations of pallet disposal with other commercial refuse. Another comment that can be made about the generators is that the pallet ban will impact generators of off-spec pallets more so than standard pallets COMMERCIAL HAULERS Licensed haulers that provide dumpster and roll-off service did not appear to be concerned about the pallet ban. Pallets and clean wood were not reported in either the phone or hauler surveys to be prevalent in commercial waste at the current time, so it appears unlikely that haulers will perceive their enforcement of the ban to be an impact on a wide number of customers. Conversely, such a ban may even drive the need for separate collections, and hence more business, from large pallet generators. To the extent their customers cannot economically support a separate container for pallet/clean wood collection (or for mixed wastes that can be disposed at a C&D landfill instead of an MSW landfill), haulers indicated that it may be necessary to impose a policy of no pallets. This could lead to friction between haulers and some customers, but it is likely that such friction would dissipate as word of the pallet ban spread (including through communications by the haulers to their customers) Mecklenburg County Pallet/Woodwaste Report

97 4. WOOD PALLETS AND UNTREATED WOOD Ultimately, while it cannot be predicted how aggressive haulers would be, we can speculate that it will be in direct proportion to the rigorousness of enforcement of the ban at local landfills. As with any other regulatory action, low priority given to enforcement may undermine the regulation. If the pallet ban is not enforced, or if it is possible to discount the ban by allowing some de minimus disposal of pallets, then haulers may simply continue business as usual with little to no effect SCAVENGERS The pallet scavenging business in Mecklenburg County appears to be functioning effectively at the current time given current market conditions. These scavengers are currently unlicensed, and it was beyond the scope of this project to comment on the pros and cons of an unlicensed scavenging industry. While it was not possible to identify and comprehensively survey from the ranks of pallet scavengers (some of whom do so only recreationally for extra cash and some who have staked out entire businesses on the service), the MSW Team received feedback from several stakeholders that enable us to discuss some potential impacts of a pallet ban. In general, scavengers exist because of the opportunity to derive incremental revenue from pallets. If pallets were banned, it appears that the scavenging community would be up to the task of absorbing additional pallets that could be sold for recycling. On-site observations, as well as national statistics, suggest that at least half of all pallets would be constructed of sizes that are recoverable within the scavenging community. However, it is unlikely that scavengers would collect small, damaged, or otherwise off-spec pallets from small generators in the absence of a negotiated agreement with the local business (e.g., they can only take the good pallets if they also take the bad), or unless a market developed for these unwanted pallets (and parts). In a related matter, it was reported by a number of the pallet recyclers that they would be willing to collect and process these small quantities of unusual sized or broken pallets, but only if they were paid to collect the pallets. Most generators simply find it less costly to throw them into the dumpster than to pay an extra cost (even if it is nominal) for someone to collect their pallets separately. If pallets were banned, it appears that at least some incremental diversion could be achieved, especially if enforcement were aggressive enough to make proper handling of pallets more financially desirable. However, as demonstrated in this study the pallets being disposed already represent a small fraction of the overall number of pallets generated, which suggests decreasing returns PALLET RECYCLERS As discussed above, a ban on disposal of pallets at MSW landfills would result on an estimated 445,000 additional pallets requiring alternative recycling or disposal. Based on discussions with pallet recyclers, wood grinding operations, and mulch producers, sufficient capacity exists to handle all of these pallets. In fact, interviews with the pallet recyclers indicate that there is significant demand for rebuilt/recycled pallets, and that the demand exists for increasing the quantity of pallets collected for recycling. None of the pallet recyclers interviewed felt that a ban on pallets to landfill would have a negative impact on them. Mecklenburg County Pallet/Woodwaste Report 4-33

98 4. WOOD PALLETS AND UNTREATED WOOD However, on-site observation suggest that some fraction of these pallets could not be reused because of their size and/or condition. Even if every pallet could be collected and delivered to a remanufacturer, some discard would be inevitable. National statistics show that roughly five percent of all pallets are chipped for these reasons. As stated above, it is not reasonable to assume that a ban on pallets to MSW landfills will result in 100 percent diversion of these pallets. Some percentage will still end up at MSW landfills, some will move to C&D landfills, some to pallet recyclers, and some percent to pallet grinding operations. A rough estimate might be that 50 percent of the 445,000 pallets estimated to be landfilled at MSW landfills now would end up being delivered to pallet recyclers, either for recycling or grinding. This would require the existing pallet recycling infrastructure to handle roughly 225,000 more pallets per year, or less then four percent of the current pallet recycling infrastructure. This would not present a problem for the pallet recyclers, although it would increase the pressure on the grinders to find new markets for the additional ground material (see below) C&D PROCESSORS At the current time, there is no high volume, large-scale facility in Mecklenburg County where mixed loads of C&D waste are processed and sorted, with various materials recovered prior to disposal. 6 The quantity of clean wood and other potentially recyclable materials in C&D waste suggest that establishment of C&D processing would greatly increase recovery. However, of equal importance, establishment of C&D processing capacity involves capital investment and increased operating costs that must be considered within the local disposal and recycled material market dynamics. While it was beyond the scope of this project to develop a Countyspecific solution for C&D processing infrastructure that would indubitably increase recycling of clean wood as well as other C&D materials, experiences with C&D recovery in other geographic markets and under other regulatory conditions across the nation suggest certain important boundaries for such projects. The following three case studies are provided as background Massachusetts Case Study The state of Massachusetts implemented a ban on the landfilling of unprocessed C&D waste three years ago. At the current time, there are 15 C&D processors now taking Massachusetts C&D waste, both in the state and in surrounding states. Based on on-site surveys conducted by Project Team member DSM at all of these processors, actual recovery rates for clean wood are significantly lower than might be intuitively expected. On average, only 20 percent of the clean wood generated in Massachusetts was recovered as clean wood and only 50 percent of painted, stained, and engineered wood was recovered for boiler fuel. In total, only 27 percent of all C&D wood was recovered in Massachusetts for beneficial use, with the remainder being landfilled (either as fines or as ground C&D). Notably, this recovery cost roughly $75 to $85 per ton net of the sale of the material. 6 However, there are several warehouse-type facilities that utilize manual floor sorting of certain loads of mixed C&D waste to achieve diversion of some recyclables to meet LEED certification. These facilities do not target all mixed C&D waste and are not considered to be mixed C&D waste processing facilities of the type found in other regions of the country (to which this section refers) Mecklenburg County Pallet/Woodwaste Report

99 4. WOOD PALLETS AND UNTREATED WOOD The primary problem in Massachusetts associated with recovering clean wood is that once clean wood ages, it looks like aged pressure treated or stained wood. This can be seen in Figure 4-9. Figure 4-9 Recovered Wood from C&D Processing Plant (Massachusetts) Because most clean wood applications have very low tolerances for painted, stained and especially pressure treated wood, sorters must err on the side of caution and let much clean wood go as potential painted or stained wood. The only way to increase the recovery of clean wood would be to source separate it. However, very little source separation was occurring in Massachusetts because of the added cost of separate containers, combined with confusion as to what could be placed in the source separated container (see the above comments from the builders for a discussion of similar concerns in Mecklenburg County) California Case Study California s Integrated Waste Management Act (Assembly Bill or AB 939) requires municipalities throughout the state to achieve a minimum 50 percent diversion rate. This applies to the overall waste stream, including both municipal solid wastes and C&D debris. Not surprisingly, C&D processing facilities have become an integral part of the recycling infrastructure in California, especially in the urban/suburban areas where construction activity is high. As might be expected, AB 939 establishes a range of definitions for what activities constitute allowable diversion of materials for state reporting purposes. Of particular interest, the state Mecklenburg County Pallet/Woodwaste Report 4-35

100 4. WOOD PALLETS AND UNTREATED WOOD considers post-processed, ground C&D debris used as landfill alternate daily cover (ADC) to be included in the calculations for total diversion. Available data suggests that California C&D processors recover anywhere between 20 and 90 percent of their C&D debris. However, for those facilities reporting high diversion rates, post-processed C&D and fines used for ADC make up half or more of the recovered amount. In total, California municipalities received recycling credit for 383,000 tons of post-processed C&D waste disposed in landfills in It must also be noted that disposal tip fees in most of California s more densely populated areas range frequently exceed $75 per ton. In more rural areas of the state, where disposal tip fees are lower, C&D processing facilities have not been developed South Florida Case Study The Miami-Dade Department of Solid Waste Management operates a network of six waste transfer and disposal facilities to serve its 300,000 households in a highly urbanized area. Miami-Dade has established waste-to-energy (WTE) as its primary waste disposal strategy. WTE facilities have many benefits, among them the energy recovery from and volume reduction of wastes prior to final disposal of ash. However, WTE facilities cannot process large quantities of C&D debris due to the bulky, heavy, non-combustible materials such concrete and metals. C&D debris therefore must bypass the WTE and find another outlet for disposal. At the current time, there are no regulatory requirements for C&D processing in Florida or Miami-Dade County. However, because of the dearth of disposal capacity in Miami-Dade for C&D debris (which cannot be processed at the County s WTE and therefore includes higher transportation costs because there are no local C&D landfills with attractive tip fees), tip fees for C&D disposal have begun to exceed $80 per ton. While new disposal facilities are extremely difficult, if not impossible, to permit, the state of Florida permits recycling facilities more readily. The high C&D disposal tip fees and more lenient recycling facility permitting process have lead to the establishment of erstwhile C&D recovery operations within the County by local entrepreneurs. Based on local research conducted by Project Team member MSW Consultants, these C&D recyclers are primarily pulling only the cleanest, easiest to divert materials prior to densification and long-range transportation of the C&D debris for disposal. Concrete, metals, some OCC and some clean wood is removed for recovery, although diversion rates were anecdotally reported to be less than 20 percent of total C&D. In practice, the C&D recovery operations in South Florida were found to primarily be densifying the debris for more economical long haul transport of the debris to lower cost landfills that were located between 30 and 200 miles distant. Recovered recyclables represented a slight boost because of the reduced transportation and disposal cost, as well as incremental material revenues, but were not the primary objective of the operations C&D Recycling Ordinances/Permit Requirements One final strategy for encouraging C&D diversion warrants mention. Some jurisdictions have implemented local ordinances that require builders to be responsible for C&D diversion from their job sites. There are several strategies contained in such ordinances, including developing a C&D diversion plan as part of their application for receiving a building permit, or requiring pre-payment towards C&D recovery with a refund issued only after diversion has been 4-36 Mecklenburg County Pallet/Woodwaste Report

101 4. WOOD PALLETS AND UNTREATED WOOD documented. Such ordinances may require builders to document the waste generation and diversion management practices on a job-by-job basis. Although such ordinances necessarily create more paperwork and therefore increase the cost of building and renovation projects, they have been successful in many jurisdictions when approval of the permit is tied to compliance with submission of and execution of the C&D recycling plan. It should be noted that such aggressive local ordinances have primarily been implemented in geographic regions where C&D processing facilities exist to manage the stream of recycled material-rich loads of C&D debris that are generated as a result of such a plan Summary The Project Team notes several recurring themes among these C&D processing case studies. First, two of the three case studies are driven by state regulation requiring either C&D processing or else mandated diversion rates. Second, disposal tip fees in all three cases are at or above the $75 per ton range. This is important because it establishes the opportunity cost of simply disposing of C&D without processing. Third, recovery rates of C&D materials, excluding ground C&D and/or fines coming off the end of the processing line, are well below 50 percent, and in many cases closer to 20 or 30 percent (or lower). Based on the Project Team s experience with these C&D processing case studies, it is believed that actual clean wood recovery from C&D processing in Mecklenburg County would be closer to the 20 percent range (as in Massachusetts) of all clean wood in the C&D waste stream if the County were to pursue a strategy of high-tech processing of all (or most) C&D waste. Further, the cost to divert this material via high-capital-investment C&D processing facilities, such as those described in the case studies above, would be close to double the current local disposal rates available in the County. In the near term, the low-tech floor sorting operations for C&D that have been established in the County to remove concrete, block, metals, drywall and some wood (and possibly other materials) from selected C&D loads that are rich in these materials should continue to develop at a pace dictated by the local market (which is currently driven primarily by LEED recycling requirements for commercial construction projects). It is hypothesized that the establishment of both high-tech C&D processing infrastructure and the associated costs to be imposed on the private building and hauling community in Mecklenburg County to require them to use such a higher cost disposal option would be more challenging CLEAN WOOD MARKETS A ban on disposal of pallets at MSW landfills, if strictly enforced, would take up most of the remaining existing recycling capacity for ground clean wood. If the ban were extended to clean wood, significant additional capacity would need to be developed for ground wood. Potential markets include: New bio-fuel boiler demand; Wood pellets; Erosion control fabric; Particle Board; and Mecklenburg County Pallet/Woodwaste Report 4-37

102 4. WOOD PALLETS AND UNTREATED WOOD Mulch. These are discussed below Bio-Fuel Demand The demand for waste wood for boiler fuel is driven primarily by the higher BTU value of the waste wood when compared to green chips (7,380 BTU/lb for waste wood compared with 4,500 BTU/lb for green chips 7 ) coupled with a lower price for the waste wood. That means that a buyer for a biomass boiler can purchase roughly 40 percent fewer tons of wood waste than green chips to supply the same amount of heat value to the boiler. This, when combined with a price per ton for waste wood which is reported to be about one-half of that for green chips means that a ton of waste wood is roughly 80 to 90 percent cheaper per BTU than a green chip. At the time that this study was undertaken, owners of bio fuel boilers were only taking ground clean wood not ground painted, stained or engineered wood. And, the existing bio-fuel boilers were all at capacity. Therefore, pushing significant new quantities of clean wood out of landfills would require that either new bio-fuel combustion facilities be constructed, or that other uses for ground clean wood be developed. As stated above, Steve Elliot of Compost Central believes that he can increase the sale of colored mulch to free up another 2,500 tons of bio-fuel capacity, but that is less then five percent of the total estimated clean wood going to C&D landfills Wood Pellets Wood pellet manufacturers can afford to pay more than boiler operators for clean wood. However, because they are extruding the wood through a pelletizer, they require a very clean wood with no metal or other contaminants. They also can not accept anything other than clean wood, which restricts grinders from grinding pallets or other clean wood that might contain particle board, plywood, or oriented strand board. Experience in the Northeast suggests that wood pellet manufacturers cannot use ground waste wood on a consistent basis because of these limitations Erosion Control Fabrics One of the wood waste grinders had been sending ground wood to a firm producing erosion control fabric. They paid a premium compared to ground wood sold for boiler fuel. However, they also required a cleaner material. As of the date of the interview the firm had switched to waste Cyprus wood and was no longer purchasing ground waste wood Particle Board Tafisa in Lac-Megantic, Quebec is the largest particle board production plant in North America. Tafisa is currently in the final stages of construction of a new line which will have the capability to utilize up to 40 percent waste wood in the production of particle board. If start-up goes as planned, Tafisa believes that it will eventually have the capability to utilize up to 275,000 tons per year of waste wood. 7 University of New Hampshire Life-Cycle Assessment of C&D Derived Biomass/Wood Waste Management, September 7, Mecklenburg County Pallet/Woodwaste Report

103 4. WOOD PALLETS AND UNTREATED WOOD While it is unlikely that wood waste grinders in North Carolina will be able to ship waste wood to Quebec economically, if Tafisa is successful additional capacity closer to Mecklenburg County could be constructed. Even if this were the case, however, it would be years away given the development time for such a facility Mulch Mecklenburg County has recently completed a study of the potential demand for mulch and compost. While that study has not been made available, an internal draft indicated that there was significant potential demand for additional mulch, compost (which uses ground wood as a carbon source) and for the residential construction industry (which applies the material around the completed foundation of a new house to prevent mud from splattering on the foundation). As discussed above, Compost Central believes that it can double the amount of ground wood sold as mulch, and that it can also increase sales of compost, and therefore use of ground wood. Other local grinders indicate capacity for more clean wood. These uses would absorb 12,500 tons of clean wood, which would be sufficient to manage increases resulting from a strictly enforced pallet ban. However, greater increases in the market for mulch may not be as readily available in Mecklenburg County, and it is doubtful that the currently disposed quantities of clean wood could be converted into mulch and beneficially used CONCLUSION The issue of pallet and clean wood recovery in Mecklenburg County appears to be one of short and long-term considerations. The County is already home to a developed pallet recycling industry, and our studies suggest that not only are over 87 percent of all pallets already recycled or otherwise beneficially reused in Mecklenburg County, but the current pallet recycling infrastructure, as well as the impending expansion to the local uses for clean wood, is sufficient to absorb the 445,000 pallets (11,128 tons) that are estimated to be disposed in MSW landfills (for either reuse or grinding for fuel, mulch, or other purposes). Collection/recycling costs and enforceability of the ban for small quantity and off-size/offspec pallet generators are the limiting factors to closing the gap and eliminating disposal of pallets in MSW landfills. Longer term, any meaningful initiatives to capture the large fraction of clean wood that is currently being disposed, especially in C&D landfills as a result of construction activities, would need to occur hand in hand with growth in new markets for use of the clean wood. Our best estimate is that the establishment of C&D processing to recover clean wood, as well as associated regulations that would compel use of such a facility despite lower-cost local disposal options, would result in an additional 13,000 tons of clean wood being separated for recycling. Combined with the ban on disposal of pallets in MSW landfills, the end result would be that roughly 11,000 tons of new demand would have to be created in the County for clean wood. As discussed above, this would have to either involve the development of new bio-fuel combustion capacity and/or a significant increase in the demand for compost and colored mulch. Mecklenburg County Pallet/Woodwaste Report 4-39

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105 5.1. INTRODUCTION 5. OTHER TARGETED MATERIALS Although the primary focus of this project was on wood pallets and clean wood, it was economical to gather information on several other materials in conjunction with the pallet/clean wood research. This section summarizes the data and information gathered for the following materials: Old Corrugated Cardboard (OCC) in the commercial waste stream; Plastic Films in the commercial and C&D waste streams; Gypsum Wallboard in the C&D waste stream; Vinyl Siding in the C&D waste stream; and Asphalt Shingles in the C&D waste stream. Throughout this section, it is important to note that the Likely and Possible Generators were defined strictly in terms of wood pallet and clean wood research. No attempt was made to broaden our research to representatively capture generation across the entire commercial waste stream for the materials in this section. Consequently, we have not attempted to derive the total quantity of these materials in the commercial waste stream. Further, based on our review of phone survey responses compared to on-site survey responses for the Likely Generators, the MSW Team does not believe the phone survey-derived generation and recycling rates from Possible Generators can be relied upon to reflect the incidence of OCC and Plastic Film in the commercial sector. For this reason, only the results of the on-site surveys of commercial generators are shown. Mecklenburg County Pallet/Woodwaste Report 5-1

106 5. OTHER TARGETED MATERIALS 5.2. OLD CORRUGATED CARDBOARD GENERATION AND RECYCLING IN COMMERCIAL WASTE Old corrugated cardboard is broadly generated across the commercial sector. The MSW Team was able to collect data on OCC generation, recycling, and disposal as part of its phone and on-site surveys. Table 5-1 summarizes the percentage of respondents to both the telephone and on-site surveys of the Likely pallet/wood generators that reported or were found to generate OCC. Table 5-1 Surveys of OCC Generation Among Likely Pallet/Clean Wood Generators NAICS Code Phone Surveys Industry Surveyed Generate OCC On-site Surveys Percent Surveyed Generate OCC Percent Manufacturing % % 42 Wholesale Trade % % Retail Trade % % Transportation/Warehousing % % 56 Admin/Support/Waste Mgmt % % 62 Health Care % % 71 Arts/Recreation % % Total % % Interestingly, the phone and on-site surveys reflect similar incidence of OCC generation within the same universe of Likely Generators. Based on the on-site survey responses, the MSW team calculated the OCC generation coefficients for each industry group for which a sufficient number of samples were obtained. Generator coefficients are stated in terms of the number of pounds of OCC per employee per year, and were calculated based on the weighted average generation rate at each of the businesses surveyed. On-site surveys enjoy the benefit of having a knowledgeable recycling professional quantify the OCC based on direct visual observation. Not only can the on-site surveyor ask questions, but can subsequently (with cooperative businesses) explore the answers to clarify and improve accuracy. For this reason, on-site surveys are believed by the MSW Team to reflect the most accurate portrayal of OCC generation, recycling and disposal. Table 5-2 shows the OCC generation coefficients derived from over 280 on-site surveys of Mecklenburg County businesses. 5-2 Mecklenburg County Pallet/Woodwaste Report

107 5. OTHER TARGETED MATERIALS Table 5-2 OCC Generator Coefficients Based on On-site Surveys of Likely Pallet Generators (lbs/employee/year) NAICS Code Industry Total Generation Disposed Recycled Percent Recycled Manufacturing % 42 Wholesale Trade % Retail Trade 3, , % Transportation/Warehousing % 56 Admin/Support/Waste Mgmt % 62 Health Care [1] % 71 Arts/Recreation 1, , % [1] Data from the health care sector are from too small a sample to be significant. Table 5-3 applies the OCC generator coefficients to the known employment within each industry group to calculate the quantity of OCC generated in each stratum of businesses among Likely Generators. Table 5-3 OCC Generation among Likely Pallet Generators Based on On-site Surveys (tons) NAICS Code Industry Employment Disposed Recycled Total Generation Manufacturing 34, ,382 15, Wholesale Trade 29,169 3,335 9,868 13, Retail Trade 25,193 4,063 40,090 44, Transportation/Warehousing 15, ,681 2, Admin/Support/Waste Mgmt 5, ,312 2, Health Care 13, Arts/Recreation 4, ,423 3,652 Total 122,658 9,186 71,758 80,942 Likely pallet/wood generators generated a significant amount of OCC with the vast majority being recycled. This is not surprising in light of the current market prices for recovered OCC, the existing landfill disposal ban for OCC generated from larger businesses, 1 and County outreach to businesses. However it is interesting to note that the recycling rate (estimated to average 89% over the seven sectors) is only two percentage points higher than the current estimated recycling rate for pallets (without a landfill ban).. 1 Defined to include any commercial entity that generates more than 16 cubic yards of waste per week or more than 500 pounds per month of office paper and OCC combined. Mecklenburg County Pallet/Woodwaste Report 5-3

108 5. OTHER TARGETED MATERIALS RECYCLING MARKET INFRASTRUCTURE There are ample markets for OCC available in Mecklenburg County. The primary limitation is the cost of keeping OCC separate, storing until there is a sufficient quantity for recycling, and arranging for a firm to collect the material. It is not unusual for hauling firms to charge a rental fee for the OCC container, and charge for pickup. These charges often reduce the economic incentive to recycle OCC, especially when there are relatively low landfill costs as is the case in Mecklenburg County. However, the County does have a program where they will provide free containers for small generators, reducing one of the impediments to recycling. It is also interesting to note that along with a large pallet scavenging community, there are informal collectors of OCC sometimes in conjunction with pallets, but often a separate entity with a panel van or box truck. This significantly increases the ability of small generators to set aside OCC for recycling without incurring the cost of dumpster rental. Given current markets for OCC it is our opinion that recycling of OCC will remain viable for all but the smallest businesses given regulatory requirements to recycle OCC. OCC prices have been high (currently averaging roughly $120 per ton for baled OCC), but even in periods of low demand OCC still has significant value (the low over the past five years has been $60 per ton, and the average has been closer to $100 per ton FILM PLASTIC Film plastic was analyzed in both the commercial and C&D waste streams GENERATION AND RECYCLING IN COMMERCIAL WASTE Results of the phone and on-site surveys for plastic film generation among both the Likely and the Possible pallet/wood generators are shown in Table 5-4. Table 5-4 Generation of Film Plastic Among Likely Pallet/Wood Generators NAICS Code Phone Surveys Industry Surveyed Generate Film On-site Surveys Percent Surveyed Generate Film Percent Manufacturing % % 42 Wholesale Trade % % Retail Trade % % Transportation/Warehousing % % 56 Admin/Support/Waste Mgmt % % 62 Health Care % 6 0 0% 71 Arts/Recreation % 3 0 0% Total % % Consistent with results for other materials, the on-site surveys reflect a significantly higher incidence of film plastic generation within the same universe of Likely Generators compared 5-4 Mecklenburg County Pallet/Woodwaste Report

109 5. OTHER TARGETED MATERIALS to the phone survey. This confirms the MSW Team s belief that on-site surveyors can better quantify film plastic generating activities and related management. Table 5-5 shows the film plastic generation coefficients derived from over 280 on-site surveys of Mecklenburg County businesses. Table 5-5 Film Plastic Generator Coefficients from Likely Pallet Generators Based on On-site Surveys (lbs/employee/year) NAICS Code Industry Disposed Recycled Total Generation Manufacturing Wholesale Trade Retail Trade Transportation/Warehousing Admin/Support/Waste Mgmt Health Care Arts/Recreation Table 5-6 applies the film plastic generator coefficients to the known employment within each industry group to calculate the quantity of film generated within each stratum of Likely Generators. Table 5-6 Film Plastic Generation from Likely Pallet Generators Based on On-site Surveys (tons) NAICS Code Industry Employment Disposed Recycled Total Generation Manufacturing 7, Wholesale Trade 9, Retail Trade 46,397 2, , Transportation/Warehousing 4, Admin/Support/Waste Mgmt 18, Health Care 26, Arts/Recreation 4, Total Film Plastic 116,465 3, ,735 As shown, relatively little film plastic (roughly two percent) appears to be getting recycled by the businesses visited as part of the on-site surveys. This is not unusual because of the high volume and low density of film which makes it difficult to store and transport at reasonable cost. Only in the case where balers are available and there is a large volume of a homogeneous clean film will it be economical to recycle the plastic film. This is the case despite its relatively high value (currently ranging from $600 to $800 per ton for truck load bales). That is why the majority of recycling was reported by the manufacturing and wholesale trade sectors. Mecklenburg County Pallet/Woodwaste Report 5-5

110 5. OTHER TARGETED MATERIALS DISPOSAL IN C&D WASTE STREAM Table 5-7 summarizes the estimated quantity of film plastic found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be 90 percent sure that the true quantity of film plastic lies within the lower and upper bounds shown in the table. Table 5-7 Film Plastic in C&D Waste Stream Percent of C&D Waste Tons of Film Plastic Minimum (90%) 0.2% 926 Average 0.3% 1,283 Maximum (90%) 0.4% 1,640 Source: Mecklenburg County C&D Waste Characterization Study, September RECYCLING MARKET INFRASTRUCTURE Based on prior experience, the MSW Team is aware that film is widely recyclable under the conditions that it is clean and can be aggregated economically through backhaul. We offer the following observations based on our prior experience, discussions with a local recycler, and based on feedback received from the builder focus groups conducted for this project. In the commercial sector, film plastic recycling takes place (as supported in the research to this project) at establishments where retail bags and shrink wrap (usually either HDPE, LDPE, or linear LDPE) are used on site or else returned by customers in a large enough volume to support separation, densification, and backhaul of the material. Retail bag recycling is offered by many grocery and home improvement stores, and indeed there are many states and jurisdictions that are actively considering taking action to improve recycling (by requiring onsite take-back programs) or to limit or ban the use of retail bags. In the C&D sector, the focus groups with builders indicated that none of the builders who attended the focus groups were currently recycling film. This is consistent with the behavior of construction firms in other areas of the country. Ultimately, there are two primary reasons for low recycling of film plastic. First, film is a relatively small part of the overall commercial and construction waste stream. Most commercial waste characterization studies vastly overestimate the actual weight of disposed film, simply because they do not correct for moisture and particulate contamination. A 2005 study by New York City found that over two-thirds of the unadjusted weight of disposed film plastic (in the residential waste stream) was actually moisture and particle contamination. And according to the Mecklenburg County C&D waste characterization study, plastic film makes up only 0.3 percent of C&D on a weight basis. Second, while markets for clean PE film exist throughout North America, there are limitations to the ability of commercial businesses, municipal collection programs, recycling facilities, and construction companies to recycle films because of the following constraints: Contamination: The high surface volume to weight ratio allows for significant contamination from dirt, grit, water, and organic matter. It is not unusual for dirt and 5-6 Mecklenburg County Pallet/Woodwaste Report

111 5. OTHER TARGETED MATERIALS water on the film to weigh more than the PE film once it has been used for most applications. Collection and transportation: Film is typically recycled by commercial and industrial establishments that either have a baler for collection and storage of film, or have access to relatively low backhaul costs to a central distributor with baling capabilities. This is not the case for smaller commercial establishments or for construction firms. As a consequence it is difficult to design a system that the vast majority of businesses and construction firms can use to store and transport film economically especially given the relatively limited quantities generated by these establishments at any given time. Mixed films: Especially construction firms tend to generate a mix of films. Some of the film is clear PE film, which has value, but a significant amount of the film in the construction industry consists of the blue tarps. These films cannot be mixed with clear PE film, making it even more difficult for construction firms to collect, store and transport film for recycling. MSW Team member DSM is an American Plastics Council Technical Assistance Program provider for the Northeast, and has been working to increase plastic film recycling for the past ten years. Specifications for accepting plastic film vary but generally restrict moisture and dirt contamination, as well as restrict the mixing of resins. However each processor has different specifications and conditions for acceptance based on their capacity to wash, and the markets to which they are selling. As state above, typical plastic film sent for disposal may average two-thirds of the weight as moisture and dirt. This is not acceptable for recycling in most cases. That is why the manufacturing and wholesale sectors are most likely to recycle plastic film because it is typically homogenous, generated in sufficient quantities, and can be kept dry and relatively contaminant-free. None of these circumstances exist in the construction industry. As such, it is unlikely that plastic film will be recycled by the construction industry given all of the other materials that they can recycle first that weigh more and have less limitations on moisture and contamination VINYL SIDING Vinyl siding was evaluated only in the C&D waste stream (but not in commercial waste) DISPOSAL IN C&D WASTE STREAM Table 5-8 summarizes the estimated quantity of vinyl siding found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be 90 percent sure that the true quantity of vinyl siding lies within the lower and upper bounds shown in the table. Table 5-8 Vinyl Siding in C&D Waste Stream Percent of C&D Waste Tons Minimum (90%) 0.02% 70 Average 0.05% 194 Maximum (90%) 0.08% 318 Mecklenburg County Pallet/Woodwaste Report 5-7

112 5. OTHER TARGETED MATERIALS Source: Mecklenburg County C&D Waste Characterization Study, September Very little vinyl siding was found in the disposed C&D waste stream RECYCLING MARKET INFRASTRUCTURE Approximately 6 percent of the vinyl siding is disposed of at a typical construction site. This material is typically clean and readily recyclable if it can be kept separate from other waste materials and cost effectively transported to a vinyl recycler. None of the builders who attended the two focus groups were currently recycling vinyl siding. The MSW Team did, however, contact all of the potential vinyl recyclers listed in Mecklenburg County s Resource Guide, as well as two companies suggested by the Vinyl Recycling Institute to determine the potential demand and specification for vinyl siding scrap. In general, none of the vinyl recyclers in Mecklenburg are taking vinyl siding scrap. Most reported that they concentrate on clean industrial scrap and had limited capability to clean vinyl siding from construction job sites. The only regional vinyl recycler who is currently accepting vinyl siding from construction sites is Reily Recovery in Chapel Hill. Kevin Reily has been involved in vinyl siding recycling since 1996, and is one of the innovators in this field. Mr. Reily reported that they will provide containers to job sites in areas near Chapel Hill for a fee of $20. They will collect the containers at no cost and process the material provided that it is relatively free of dirt and contamination. Their containers are typically four cubic yard containers (7 x4 x4 ) and can be loaded with roughly 800 pounds of vinyl siding if the siding is stacked in the containers. Mr. Reily reported that he would need to collect a full truck load of containers if he were to collect material from Mecklenburg County. Harmony Industries, in High Point, NC currently does not recycle vinyl siding. However, David Pendlebury reported that they would be willing to purchase vinyl siding for 5 cents per pound provided it were delivered in minimum load sizes of 5,000 to 10,000 pounds, and that contamination was minimal. Finally, Custom Polymers of Charlotte reported that while they currently do not take vinyl siding, they would be willing to consider accepting the material if it were clean and baled. In conclusion, while vinyl siding recycling is currently not occurring in Mecklenburg County, the potential exists for development of a vinyl siding recycling infrastructure. It is likely that it would require active involvement by the County in establishment of a central collection, inspection/cleaning, and densification location. Markets for the collected material would then appear to be readily available GYPSUM DRYWALL DISPOSAL IN C&D WASTE STREAM Table 5-9 summarizes the estimated quantity of gypsum drywall found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be Mecklenburg County Pallet/Woodwaste Report

113 5. OTHER TARGETED MATERIALS percent sure that the true quantity of gypsum drywall lies within the lower and upper bounds shown in the table. Both unpainted and painted gypsum are shown Table 5-9 Gypsum Drywall in C&D Waste Stream Unpainted Gypsum Percent of C&D Waste Tons Painted Gypsum Percent of C&D Waste Tons Minimum (90%) 5.0% 18, % 448 Average 6.8% 25, % 1,613 Maximum (90%) 8.7% 32, % 2,778 Source: Mecklenburg County C&D Waste Characterization Study, September As shown, the vast majority of drywall disposed in C&D landfills in Mecklenburg County is unpainted. This follows from the largely new construction market in the Mecklenburg region. Over time, as the County gets built out and development slows, painted drywall resulting from renovation and demolition will begin to increase RECYCLING MARKET INFRASTRUCTURE Gypsum has become a significant issue associated with the recovery and disposal of C&D wastes. According to GreenYes Archives, March 2006, Gypsum has been identified as a leading contributor of hydrogen sulphides (H 2 S) production in landfills where it is disposed. H 2 S is produced in a landfill when sulfur compounds decompose in the presence of moisture and absence of oxygen. Under anaerobic conditions, sulfate reducing bacteria produce H 2 S from the sulfate (SO 2-4 ) in gypsum and the organic carbon waste materials H 2 S is both an odor issue (it is typically one of the primary odors that people associate with methane production at landfills, although methane is odorless) and a public health issue (Ohio has had to evacuate neighbors to a C&D landfill associated with high levels of H 2 S, and the U.S. EPA has regulatory thresholds for H 2 S emissions at landfills). The issue of H 2 S emissions from landfills has grown significantly with the grinding of C&D waste for use as alternative daily cover (ADC), and with the landfilling of fines from the grinding and processing of C&D wastes. This is because gypsum wallboard is friable and breaks into small pieces easily when ground or crushed with C&D materials. The resulting gypsum ends up mixed with small pieces of wood (organics) which is the second ingredient needed by the sulfate reducing bacteria. The final ingredients are water and anaerobic conditions, both of which are present in abundance in eastern landfills. H 2 S is not only an aesthetic issue. In higher concentrations it can be a health hazard, both to workers on the landfill, and even to surrounding residences. The U.S. EPA was forced to take corrective action against the Regus Industries landfill in Warren, Ohio due to hazardous levels of H 2 S migrating off-site to neighboring residences. This landfill accepted ground C&D materials (in violation of Ohio EPA regulations), and landfilling was occurring below the water table. Gypsum can be recovered for recycling. Most common uses include: Recycling to new gypsum wallboard; Mecklenburg County Pallet/Woodwaste Report 5-9

114 5. OTHER TARGETED MATERIALS Land application as a soil amendment (especially in high clay content soils where crusting is an issue); As an additive to compost; and, In cement production as an additive to stucco or gunite. Potential uses include: In flea powder; Mushroom compost; As a bulking agent or sludge drying compound; As a flocculating agent in water treatment; and As an oil and grease absorber Paper, which represents between 10 and 15 percent of the gypsum wallboard, can also be recovered and used as animal bedding and/or pelletized for fuel pellets. Mecklenburg County is fortunate to have one of the innovators in gypsum recycling located nearby. Union Gypsum is currently recycling 80 tons of gypsum per day and expects to increase that to 140 tons per day over the next several years as they develop additional markets for the ground material. Union Gypsum s primary criteria is that the gypsum be kept separate from other construction materials, be dry, and not be contaminated by paint or wallpaper. However, there are a number of issues associated with gypsum recycling which limit its success. First and foremost is that it is extremely difficult to recover gypsum once it has been mixed with other C&D wastes. It simply breaks too easily and disintegrates during handling of the C&D materials. Second, while there are a number of uses for clean gypsum, the number of uses associated with painted or wallpapered gypsum is significantly less. Third, and most importantly, gypsum is a relatively low cost material. The cost of mined gypsum delivered to a wallboard manufacturing plant is roughly $10 per ton. More importantly, sulfur dioxide controls (flue gas desulphurization or FGD) on coal fired power plants results in a perfect gypsum slurry for use in gypsum wallboard manufacturing. Thus, a number of new gypsum wallboard plants are being constructed adjacent to coal fired power plants, where the gypsum slurry can be obtained for roughly one-half of the cost of mined gypsum and the gypsum has already been calcinated during the coal combustion. At these low costs for the raw material associated with gypsum wallboard production, it is difficult to keep gypsum separate, crush it, remove the paper, and deliver the resulting material to a gypsum wallboard plant for a cost that is competitive with new gypsum. It has been reported to DSM that the maximum distance that recycled gypsum can be transported is roughly 30 miles before the transport cost alone makes recycling non-competitive. Thus, it is likely that significant quantities of gypsum will be recycled only if gypsum is not allowed in landfills due to H 2 S issues Mecklenburg County Pallet/Woodwaste Report

115 5.6. ASPHALT ROOFING DISPOSAL IN C&D WASTE STREAM 5. OTHER TARGETED MATERIALS Table 5-10 summarizes the estimated quantity of asphalt roofing found in the C&D waste stream. The table shows the average, or best estimate, as well as the lower and upper confidence intervals at a 90 percent level of confidence. This means that we can be 90 percent sure that the true quantity of asphalt roofing lies within the lower and upper bounds shown in the table. Table 5-10 Asphalt Roofing in C&D Waste Stream Percent of C&D Waste Tons Minimum (90%) 4.8% 16,596 Average 6.4% 24,084 Maximum (90%) 8.4% 31,571 Source: Mecklenburg County C&D Waste Characterization Study, September Asphalt roofing was found to make up a significant portion of C&D waste. However, as shown by the relatively wide confidence intervals, asphalt roofing material is not widely dispersed among incoming loads but rather is contained in large quantities in a subset of all C&D loads RECYCLING MARKET INFRASTRUCTURE The MSW Team made several attempts to contact local asphalt roofing recyclers during the course of the project. These phone calls to potential asphalt roofing recyclers serving Mecklenburg County were not returned. However, as noted in the discussion of the builder focus groups, none of the builders were recycling asphalt shingles in Mecklenburg County, which would indicate that there is currently not a viable asphalt shingle recycling program. This is an area where effort by the County could yield additional recycling for four reasons: 1. Asphalt shingles are often already, as reported above, delivered separately to landfills (or with a small amount of wood and plastic contamination). 2. Asphalt shingles (unlike plastic film) are heavy and therefore more expensive to dispose of than light weight materials. 3. Recycled asphalt shingles (RAS) contain ingredients that hot mix asphalt producers purchase to enhance their paving mixtures including: asphalt cement (or AC binder) and mineral aggregate. Asphalt shingles also contain a fibrous mat made from organic felt (cellulose) or fiberglass that can also be valuable as fiber in some paving mixes. 2 2 Recycling Tear-Off Asphalt Shingles: Best Practices Guide, Construction Materials Recycling Association, October 11, Data on asphalt shingle recycling contained in this section is excerpted from this guide which was funded in part by the U.S. Environmental Protection Agency. Mecklenburg County Pallet/Woodwaste Report 5-11

116 5. OTHER TARGETED MATERIALS 4. Eight states (including South Carolina) already have a Department of Transportation specification for use of RAS in hot mix asphalt (typically at a maximum rate of five percent of the asphalt). As such, significant data already exist on the use of RAS in hot mix asphalt. In addition to use in asphalt paving, other potential markets 3 include: Cement kilns; Coal-fired power plants; Shingle-to-shingle recycling; A supplement for road base and sub-base; and Cold patch. There are essentially three primary obstacles that would have to be overcome for Mecklenburg County to drive an asphalt recycling program forward. First, the County would need to work with existing hot mix asphalt producers to develop specifications for the RAS. Because of the large amount of work that has already gone on in this area, as well in the use of recycled asphalt paving (RAP) in new hot mix asphalt, this would primarily be a case of providing data on existing specifications and research. For example, the American Association of State Highway and Transportation Officials published a new provisional specification and recommended practice for shingle recycling into hot mix asphalt in December, MSW Team member DSM learned in Delaware that the hot mix asphalt paving producers are anxious to reduce their input costs and are typically prepared to use recycled material in lower specification applications, such as parking lots first, and then move to base course applications, and then finally to County and State road applications as the Departments of Transportation become comfortable with the specifications. Second, an asphalt grinding location would have to be established where asphalt roofing companies could deliver source separated asphalt shingles. A key issue would be to price the grinding below the landfill cost. This would require an economic analysis of the cost of grinding and transport to the hot mix asphalt producer, minus the value of the ground material which will typically replace virgin asphalt cement. Third, and most importantly, the County would need to develop a procedure for dealing with the lingering issue of asbestos contamination. U.S. manufacturers discontinued the use of asbestos asphalt shingles more than thirty years ago. Since asphalt shingles have a lifetime of less then 20 years, tear off shingles should not contain asbestos. However, because asphalt shingles can be applied over one course of old shingles, it is possible that shingles containing asbestos could be delivered to a recycling facility. More importantly, asbestos may be present at low frequency and in small amounts in other related roofing materials such as roofing felt and mastic. 5 3 Ibid. 4 Ibid. See R2005A-TS-2c: Provisional Standard Recommended Practice for Design Considerations when using Reclaimed Asphalt Shingles in New Hot Mix Asphalt 5 Townsend, Dr. Timothy, Xu, Dr. Chad, Powell, Jon. (October 2007) Environmental Issues Associated with Asphalt Shingle Recycling Mecklenburg County Pallet/Woodwaste Report

117 5. OTHER TARGETED MATERIALS MSW Team member DSM surveyed asphalt shingle recyclers in Massachusetts. They are required by state regulation to test for asbestos. This adds to the cost of recycling the asphalt shingles and requires that storage of delivered asphalt be segregated so that if asbestos is found during testing that the material containing the asbestos can be identified and landfilled. It was reported to DSM by one of the largest asphalt recyclers in Massachusetts that asbestos has only been found on one or two occasions, and in both cases in very low concentrations. While the cost to test is not great, the procedure for establishing a sampling protocol that is sufficient to address this issue could be difficult, and may be the largest single deterrent to recycling asphalt shingles CONCLUSION The materials discussed in this section were targeted opportunistically based on the research approach that was developed to investigate wood pallets and clean wood. For this reason, the results shown here are not intended to portray a detailed, County-wide analysis of the generation, recycling and disposal of these materials. However, the following observations can be made based on the research performed: OCC appears to be widely recycled among the businesses targeted for investigation in this project, although over 9,000 tons of OCC was still found to be disposed from these businesses. It is perhaps noteworthy that the County s prior commercial waste characterization study projected over 57,000 tons of OCC being disposed as MSW. Over 3,600 tons of recyclable film plastics were found to be disposed within the universe of commercial businesses studied. The County s prior commercial waste characterization study estimated 1,200 tons of transport packaging film (as well as xxx tons of all films). Another 1,300 tons of plastic films were disposed in C&D landfills. Both OCC and film plastics are likely to be generated broadly among the Possible Generator and the Unlikely Generator strata, as defined in this study. These results should not be considered representative of OCC and film plastic generation, disposal and recycling across the remaining universe of County businesses. It was beyond the scope of this project to project total OCC and film plastic generation, but it is likely that both materials are generated ubiquitously with recycling of these materials becoming more challenging as the generator gets smaller. Collection and disposal of C&D debris in Mecklenburg County continues to be governed by the relative low cost of mixed wastes being disposed in C&D landfills in the region. While there are highly recyclable materials contained in the C&D, the cost of source separating and separately collecting/transporting has reduced the incentive to recycle at the current time. As discussed in the pallet/wood results section, C&D recycling could be positively impacted by recycling/diversion regulations that apply uniformly to all builders, so as to place all stakeholders on a level playing field. With the exception of asphalt shingles, the cleanliness of the potentially recyclable material will be among the factors that influences the recyclability of the material. Film plastic (especially), drywall, and vinyl recyclers all require a relatively clean feedstock, so excessive contamination of these materials may eliminate recycling opportunities (or else increase the handling cost sufficiently to eliminate any financial gain). Mecklenburg County Pallet/Woodwaste Report 5-13

118 5. OTHER TARGETED MATERIALS Asphalt shingle recycling could potentially be developed by the County, provided that the cost to store, grind, test for asbestos and transport to a hot mix asphalt producer are competitive with landfill costs after the sale of the ground asphalt Mecklenburg County Pallet/Woodwaste Report

119 APPENDIX A Pallet Nomenclature (Source: National Wooden Pallet & Container Association) Mecklenburg County Pallet/Woodwaste Report

120 Mecklenburg County Pallet/Woodwaste Report

121 Pallet Classification Pallet Classification defines Pallet Size, Class, Type, Style, Construction, and Use Category. Terminology is consistent with the NWPCA Uniform Standard for Wood Pallets. Pallet ID is your own name or identification for this pallet design (maximum 60 characters). It will be displayed on all printouts and drawings for this pallet. Pallet Size is the overall pallet dimensions expressed as Pallet Length Pallet Width. Pallet Length is the length of the Stringers (Stringer-class pallets) or Top Stringerboards (Block-class pallets). For Panel-deck Block-class pallets without stringerboards, Pallet Length is typically the pallet dimension parallel to the Top Panel Deck strong axis. Pallet Length Pallet Width is the length of the Top Deckboards. For Panel-deck pallets, Pallet Width is the Top Panel Deck dimension perpendicular to Pallet Length. Pallet Width Pallet Class defines the basic pallet design class: Stringer-class pallets utilize rectangular stringers (or runners) - wood components that run the full length of the pallet. The top deck is fastened to the top edge of the stringers. For Double-face pallets, the bottom deck is fastened to the bottom edge of the stringers. Block-class pallets utilize rectangular blocks (or cylindrical posts), which separate the top deck from bottom deck (if Double-Face). Block-class pallets with lumber decks have top stringerboards, which run the full length of the pallet and are fastened to the blocks. 1

122 The Pallet Use Category is defined in the NWPCA Uniform Standard for Wood Pallets: Multiple-Use Pallets are intended for repeated uses for more than one unit load. Multiple- Use Pallets are also referred to as Returnable Pallets. Limited-Use Pallets are intended for use with a single unit load. Limited-Use Pallets are also referred to as Shipping Pallets. Pallet Style defines the basic construction style of the pallet: Single-Face pallets have only one deck and are also referred to as Skids. Single-Face Double-Face Non-Reversible pallets have a specific top face and a specific bottom face, which are not interchangeable. Double-Face Non-Reversible Double-Face Reversible pallets have a top and bottom deck which are identical, so the pallet can be used "reversibly". Double-Face Reversible 2

123 Entry Type further defines the pallet design and indicates how the pallet may be entered by forklift and pallet jack equipment: 2-Way pallet designs are Stringer-Class pallets without stringer notches. They can be entered and lifted by forklift and pallet jack from only the two ends, thus the term 2-Way entry. 2-Way Partial 4-Way pallet designs include Stringer-Class pallets with stringers notched for fork tine entry. These notches are rarely sized to accommodate pallet jacks, which can only enter the pallet from the ends. Only forklifts can enter and lift the pallet from the sides as well as ends, thus the term Partial 4-Way entry. Partial 4-Way Partial 4-Way pallet designs also include Block-Class pallets with an Overlap Base. The overlapped bottom stringerboards and bottom deckboards typically prevents the entry of pallet jack wheels over the bottom stringerboards (without damaging the pallet), but pallet jacks can enter the pallet over the bottom deckboards. Only forklifts can enter and lift the pallet from all 4 directions, thus the term Partial 4-Way entry. Partial 4-Way Full 4-Way pallet designs are Single-Face Block-Class pallets or Double-Face Non- Reversible Block-Class pallets with a Panel Base, Perimeter Base, or Unidirectional Base. The single layer bottom deck (if present) and potentially large openings between blocks (or posts) allows entry of forklifts or pallet jacks from all pallet sides and ends, thus the term Full 4-Way entry. Full 4-Way 3

124 PDS allows the following Top Deck Constructions for each Pallet Class: Stringer-Class: Deckboard Panel Block-Class: Deckboard/Stringerboard Panel Panel/Stringerboard Deckboard Top Deck Constructions apply to Stringer-class pallets with lumber Top Deckboards. Deckboard Stringer Deckboard/Stringerboard Top Deck Constructions apply to Block-class pallets with lumber Top Deckboards attached to Top Stringerboards. Deckboard Stringerboard Block Top Panel Deck Constructions apply to Stringer-class pallets and Block-class pallets without Top Stringerboards. Panel Stringer Panel Block Panel/Stringerboard Top Deck Constructions apply to Block-class pallets with a Top Panel Deck attached to Top Stringerboards. Panel Stringerboard Block 4

125 PDS allows the following Bottom Deck Constructions for each Pallet Class: Stringer-Class: Deckboard Panel Base Block-Class: Panel Base Perimeter Base Overlap Base Unidirectional Base Deckboard Bottom Deck Constructions apply to Stringer-class pallets with lumber Bottom Deckboards. Stringer Deckboard Panel Base Bottom Deck Constructions apply to Stringer-class pallets or Block-class pallets with a bottom deck panel. Stringer Panel Block Panel Perimeter Base Bottom Deck Constructions may be used on Block-class pallets and are characterized by boards oriented in both directions but in the same plane. There are boards continuously around the bottom deck perimeter - hence the term Perimeter Base. 5

126 Overlap Base Bottom Deck Constructions may be used on Block-class pallets and are characterized by bottom deckboards and bottom stringerboards oriented in opposite directions. The deckboards and stringerboards are overlapped at the blocks - hence the term Overlap Base. Unidirectional Base Bottom Deck Constructions may be used on Block-class pallets. They are characterized by having bottom deckboards that may be oriented along the pallet length or the pallet width. The deckboards run in only one direction - hence the term Unidirectional Base. Deck Style further defines construction style of pallet decks. Flush: ends of deckboards and edges of panels are Flush with stringer or stringerboard edge. For Panel Deck Block-class pallets without stringerboards, panel edges are Flush with block edges. Single-Wing: ends of top deckboards and edges of top panels overhang stringer or stringerboard edge. Bottom Deck, if present, is Flush. Double-Wing: ends of top and bottom deckboards and edges of top and bottom panels overhang stringer or stringerboard edge. Bottom Wing must be Top Wing. 6

127 Stringerboard Style further defines construction style of Block-class pallets with stringerboards. Flush: ends of stringerboards are Flush with ends of blocks. Single-Cantilever: ends of top stringerboards overhang ends of blocks. Ends of bottom stringerboards, if present, are Flush with ends of blocks. Double-Cantilever: Overlap Base Block-class pallets only. Ends of top and bottom stringerboards overhang ends of blocks. Top and bottom stringerboards must be parallel, and Bottom Cantilever must be Top Cantilever. Bottom Deck Orientation may be specified for Block-class pallets. Overlap Base or Unidirectional Base: Bottom Deckboards may be Parallel or Perpendicular to Pallet Length. Perimeter Base: Butted Boards may be Parallel or Perpendicular to Pallet Length. Outer Boards will be oriented opposite direction. 7

128 Parallel to Pallet Length Length Width Length Width Length Width Perpendicular to Pallet Length Length Width Length Width Length Width 8

129 APPENDIX B Commercial Generator Survey Instrument Mecklenburg County Pallet/Woodwaste Report

130 Mecklenburg County Pallet/Woodwaste Report

131 Business Name: Address: ID # : NAICS Code: NAICS Business Type: Square Footage: # of Employees: # of Full Time Employees: MECKLENBURG COUNTY Wood Pallet and Clean Wood Waste Recycling Study Mecklenburg County has retained MidAtlantic Solid Waste Consultants to conduct a study of wood pallet and clean wood recycling within the County. As part of the study, we are contacting businesses in the county to gain insight on the issue. We are requesting your participation and feedback in this study. Please provide responses to Veronica Roof of MSW Consultants ( VRoof@MSWConsultants.us; phone 888/MSW-9220; fax 301/ ). Thank you for your assistance on this important County project. I. GENERAL INFORMATION 1. Please confirm the accuracy of the information above and make corrections as necessary. Enter the number of Full-time Equivalent (FTE) employees if different from the number of employees shown. 2. Where is your business located? In its own stand alone building (continue survey) In an Office Building with other businesses 3. Do you contract directly for garbage and recycling collection services or does a property manager contract for collection services on behalf of your business? II. TARGETED RECYCLABLE MATERIALS This survey is targeting the following recyclable materials: In a strip mall/commercial building complex In a Home Office (survey complete) Business contracts for collection services Property manager contracts for collection services on our behalf Wood Pallet: Flat structure made of wood which can support a variety of goods in a stable fashion while being lifted by any mobile forklift device. Clean Wood: Any uncontaminated natural or untreated wood such as wood scraps and dimensional lumber. Does not include wood that has been treated, painted, stained, coated, engineered with glues or resins, or chemically changed in some way. Film Plastics: Includes shrink wrap, stretch wrap, tarps, shopping bags and other plastic films made out of #2 HPDE or #4 LDPE. Corrugated Cardboard: Includes boxes and other packaging products made out of brown paper, with two heavy outer layers and a fluted inner layer to provide strength. 4. Please check which of the following materials your business generates as a waste material. III. SPECIFIC GENERATION INFORMATION Wood Pallets Clean Wood Film Plastics Corrugated Cardboard None of the above Please answer only the questions in this section that are applicable to the materials generated by your business as identified in Question 4 above. 5. If your business generates Wood Pallets Please estimate how many wood pallets your business generates on average. We generate approximately wood pallets (enter number of pallets) per week/month/year (circle one). Does your business currently recycle wood pallets? No Yes - my pallets are recycled by: A pallet recycling company Name of company: Other Name of company: 6225 Sawyer Road, New Market, MD, (301) Spring Island Way, Orlando, FL (407) Limehurst Drive, Atlanta, GA (404)

132 6. If your business generates Clean Wood Please estimate how much clean wood your business generates on average. Does your business currently recycle clean wood? We generate approximately cubic yards of clean wood per week/month/year (circle one). No Yes - my clean wood is recycled by: A recycling company Name of company: Other Name of company: 7. If your business generates Film Plastic Please estimate how much film plastic your business generates on average. Volume or weight (please specify a number): Bales (average dimension is L x W x H inches) Bags or other containers (average size is gallons) Uncompacted cubic yards Compacted cubic yards Pounds Per unit of time week month year Or, describe how much film plastic you generate: Does your business recycle film plastic? No 8. If your business generates Corrugated Cardboard Yes How does your business recycle film plastic? Please Volume or weight (please specify a number): estimate how Per unit of time much Bales (average dimension is L x W x H inches) corrugated Containers (average size is cubic yards) week cardboard Uncompacted cubic yards your business month Compacted cubic yards generates on year average. Pounds Or, describe how much corrugated cardboard you generate: Does your business have a baler or separate container outside from which recycled cardboard is collected? IV. OTHER GENERAL INFORMATION 9. Would you be willing to assist the County further its research into the generation and recycling of pallets, clean wood, film plastic and corrugated cardboard? Baler Separate Container Yes, I would participate in another phone call to discuss recycling of these items in more detail. Yes, a County recycling representative may visit our business for on-site research into the recycling of these materials. No, please do not contact me again. 10. Please provide your contact information (or that of the appropriate staff member) if you are willing to assist us further. Name: Phone Number: Title: Address: Page 2 of 2

133 APPENDIX C QCTS Commercial Waste Observation Data Mecklenburg County Pallet/Woodwaste Report

134 Mecklenburg County Pallet/Woodwaste Report

135 Appendix C Queen City Transfer Station Observation Raw Data Line # Sheet # Time of Delivery Date Truck # Net Weight (tons) Truck Type Rolloff Type Size of Truck (CY) Pct Full MSW or C&D Load Pallets: % of Load # of Pallets (reusable & not usable) # of Crates Clean Wood: % of Load Describe Clean Wood Waste 1 1 6:53 8/7/2007 WM FL 40 75% MSW 0% 0 0% Commercial Route 2 1 6:58 8/7/2007 REP RO SC 20 50% MSW 0% 0 0% Restaurant 3 1 6:59 8/7/2007 WM RO OT 30 75% MSW 50% % Farm Industrial Location Packing Cra 4 1 7:01 8/7/2007 AP RO C % MSW 0% 0 0% Retail Store 5 1 7:08 8/7/2007 WM RO SC 30 90% MSW <1 1 <1 Retail? 6 1 7:13 8/7/2007 AP FL 35 50% MSW <1 1 0% Commercial Route 7 1 7:20 8/7/2007 REP RO OT 30 95% C&D 0% 0 0% Construction Demo 8 1 7:25 8/7/2007 REP RO OT 30 90% C&D 0% 0 80% Particle board from cabinet maker 9 1 7:39 8/7/2007 WM RO SC 30 95% MSW 0% 0 0% Industrial (MFG) :49 8/7/2007 REP FL % MSW <1 3 10% Lumber (cut-off 2 x4 and 2x :06 8/7/2007 AP RO SC 30 75% MSW 0% 0 0% Hotel and Restaurant :10 8/7/2007 REP RO OT 20 95% C&D 0% 0 0% Demolition (drywall / carpet) :20 8/7/2007 AP RO C 40 80% MSW 5% 8 1% 2 x :29 8/7/2007 NS RO C 40 20% MSW 0% 0 0% Retail :45 8/7/2007 WM FL 40 65% MSW 0% 0 0% Commercial Route (fair amount of O 1 2 8:46 8/7/2007 REP FL 40 50% MSW <1 1 0% 5% OCC Commercial Route 2 2 8:55 8/7/2007 REP RO OT 40 58% MSW 70% 8 0% Industrial 3 2 9:07 8/7/2007 SHA RO OT 30 95% MSW 0% 0 0% OCC 8% 4 2 9:15 8/7/2007 REP RO OT 40 65% MSW 1% 4 0% Industrial 5 2 9:25 8/7/2007 AC RO OT 10 95% C&D 0% 0 95% Clean wood construction 6 2 9:35 8/7/2007 WM RO OT % MSW 5% 8 5% Woodworking shop janitorial 7 2 9:45 8/7/2007 WM FL 40 60% MSW 0% 0 0% OCC 25% 8 2 9:52 8/7/2007 REP RO OT 30 95% MSW 10% 10 0% Industrial 9 2 9:59 8/7/2007 REP RO OT 30 95% C&D 1% 2 75% Lumber from construction :15 8/7/2007 REP RO SC 30 95% MSW <1 1 0% Grocery 5% OCC :20 8/7/2007 REP RO OT % MSW 5% 6 2% Lumber :25 8/7/2007 WM RO C % MSW <1 2 1% Lumber / Plywood :30 8/7/2007 REP RO OT % MSW 80% % :38 8/7/2007 REP FL 40 35% MSW 0% 0 0% Commercial Route :42 8/7/2007 REP FL 40 70% MSW <1 3 0% Commercial Route :43 8/7/2007 AP RO SC 40 80% MSW 1% 4 0% Commercial? :56 8/7/2007 REP FL 40 80% MSW <1 1 0% Commercial Route :07 8/7/2007 AP FL 40 75% MSW 0% 0 1% Lumber Commercial Route 5% OCC :10 8/7/2007 REP RO C 40 90% MSW 0% 0 0% 40% OCC :13 8/7/2007 REP RO OT 30 85% MSW 5% 11 0% Industrial? :16 8/7/2007 WM RO OT 30 80% MSW 4% 8 0% 15% OCC :22 8/7/2007 WM RO OT 30 90% MSW 2% 2 1 0% Industrial? Page 1 of 5

136 Appendix C Queen City Transfer Station Observation Raw Data Line # Sheet # Time of Delivery Date Truck # Net Weight (tons) Truck Type Rolloff Type Size of Truck (CY) Pct Full MSW or C&D Load Pallets: % of Load # of Pallets (reusable & not usable) # of Crates Clean Wood: % of Load Describe Clean Wood Waste :28 8/7/2007 REP FL OT 40 50% MSW 1% 3 2% Commercial Route Lumber :36 8/7/2007 WM RO OT 30 90% MSW 0% 0 0% Residential Cleanout :43 8/7/2007 REP FL OT 40 50% MSW 2% 3 2% Commercial Route Lumber :45 8/7/2007 REP FL OT 40 50% MSW 2% 5 4% New lumber scraps :45 8/7/2007 WM RO OT 30 90% MSW <1 1 6% 30% OCC :46 8/7/2007 REP RO OT 30 70% MSW <1 8 2% Lumber :50 8/7/2007 REP RO OT 30 80% C&D <1 1 0% Asphalt :24 8/7/2007 WM RO OT 30 95% MSW 15% 5 1 0% 10% OCC :45 8/7/2007 REP FL 40 65% MSW 0% 0 2% Lumber :46 8/7/2007 REP RO C % MSW 0% 0 0% 35% OCC :49 8/7/2007 CWS RO OT 10 95% C&D 0% 0 0% 25% Fake rock :50 8/7/2007 AP RO SC 30 90% MSW 0% 0 0% Grocery :55 8/7/2007 WM RO OT 40 90% MSW 0% 0 0% 10% Metal :58 8/7/2007 REP RO OT 30 95% MSW 5% 5 0% 10% OCC :00 8/7/2007 REP FL 40 75% MSW 1% 3 0% Commercial Route 5% OCC :05 8/7/2007 WM FL 40 85% MSW 1% 2 0% Loaded with glass (beer bottles) :08 8/7/2007 REP RO OT 30 80% MSW 2% 2 0% 35% OCC :13 8/7/2007 REP RO OT 30 85% MSW 4% 2 2 0% 40% OCC Industrial :23 8/7/2007 WM RO OT 30 90% MSW 3% 1 1 0% 20% OCC :30 8/7/2007 AP RO C 40 80% MSW 2% 2 0% 40% 30% OCC :31 8/7/2007 REP RO C 40 95% MSW 1% 3 0% 70% OCC 2 1 6:53 8/8/2007 WM FL 40 80% MSW 2% 4 0% 10% OCC Commercial Route 1 1 6:55 8/8/2007 WM FL 35 20% MSW 0% 0 0% 40% OCC Commercial Route 3 1 7:05 8/8/2007 WM FL 40 80% MSW 0% 0 0% Commercial Rout 4 1 7:10 8/8/2007 REP RO SC 30 25% MSW 0% 0 0% Restaurant 5 1 7:11 8/8/2007 AP RO SC 30 40% MSW <1 1 0% Hotel 6 1 7:15 8/8/2007 REP RO OT 40 80% MSW 100% 25 0% Industrial 7 1 7:17 8/8/2007 WM RO OT 20 65% C&D 10% 3 2% Lumber 8 1 7:21 8/8/2007 WM RO OT 30 90% MSW 1% 2 0% 20% OCC 9 1 7:22 8/8/2007 WM RO SC 30 80% MSW 0% 0 0% Hospital :30 8/8/2007 REP RO C 40 75% MSW <1 1 0% Industrial :32 8/8/2007 AP RO SC 40 95% MSW 0% 0 0% Grocery 5% OCC :41 8/8/2007 REP RO OT 40 90% MSW 80% 25 0% Industrial :42 8/8/2007 REP RO OT 30 95% MSW 100% 42 0% Industrial :43 8/8/2007 REP OR OT 30 90% C&D 0% 0 0% C&D Carpet 5% 1 2 7:45 8/8/2007 CWS RO OT 30 95% C&D <1 1 0% :46 8/8/2007 REP RO OT 20 95% C&D 0% 0 0% 80% Painted Wood Page 2 of 5

137 Appendix C Queen City Transfer Station Observation Raw Data Line # Sheet # Time of Delivery Date Truck # Net Weight (tons) Truck Type Rolloff Type Size of Truck (CY) Pct Full MSW or C&D Load Pallets: % of Load # of Pallets (reusable & not usable) # of Crates Clean Wood: % of Load Describe Clean Wood Waste 2 2 7:50 8/8/2007 REP FL 40 10% MSW 1% 3 0% Commercial Route 3 2 7:58 8/8/2007 WM RO OT 30 95% MSW 25% 11 0% 25% OCC 4 2 8:01 8/8/2007 REP FL % MSW 1% 2 2% 5 2 8:05 8/8/2007 AP FL % MSW <1 1 0% Commercial Route 6 2 8:08 8/8/2007 REP FL % MSW 100% 3 0% Commercial Route 5% OCC 7 2 8:09 8/8/2007 REP RO SC % MSW 0% 0 0% Industrial 10% OCC 8 2 8:11 8/8/2007 REP RO OT 30 95% C&D 0% 0 0% Demolition (painted wood) 9 2 8:12 8/8/2007 REP FL % MSW 0% 0 0% 5% OCC :15 8/8/2007 WP RO OT 30 95% MSW 90% 26 0% 5% OCC Industrial :22 8/8/2007 REP RO OT 30 95% MSW 5% 6 35% :25 8/8/2007 WM RO C 40 95% MSW 0% 0 0% 10% OCC Industrial or Retail :26 8/8/2007 AP FL 40 80% MSW 0% 0 0% :28 8/8/2007 REP FL % MSW <1 1 0% Commercial Route :30 8/8/2007 WM FL 40 95% MSW <1 1 0% Commercial Route 1 3 8:40 8/8/2007 REP RO OT 40 85% C&D 0% 0 0% Demolition (painted wood) 2 3 8:42 8/8/2007 REP RO OT 30 90% MSW <1 1 0% Retail 40% OCC 3 3 8:45 8/8/2007 AP FL % MSW <1 1 0% Commercial Route 5 to 10% OCC 4 3 8:50 8/8/2007 CWS RO OT 30 95% MSW 15% 6 25% Building shop clean lumber & plywoo 5 3 8:55 8/8/2007 WM RO SC 30 60% MSW 0% 0 0% 40% OCC Industrial 6 3 8:58 8/8/2007 WM RO OT 30 85% MSW 0% 0 0% 20% OCC Industrial 7 3 8:58 8/8/2007 REP FL 40 95% MSW <1 2 0% Commercial Route 8 3 9:00 8/8/2007 AP RO SC 30 85% MSW 0% 0 0% Grocery 9 3 9:06 8/8/2007 REP RO OT 30 95% C&D 0% 0 5% Lumber scrap 10% OCC :08 8/8/2007 REP RO OT 30 95% MSW 5% 5 2% Lumber scraps :12 8/8/ RO OT 40 90% MSW 1% 1 0% 10% OCC :15 8/8/2007 WM RO OT 30 95% MSW <1 1 0% 20% OCC :16 8/8/2007 WM RO OT 40 95% MSW 75% % :18 8/8/2007 WM RO OT 20 90% MSW 0% 0 0% :20 8/8/2007 REP RO OT 30 95% MSW 45% 14 15% 1 4 9:40 8/8/2007 REP RO OT 30 80% MSW 10% 5 0% 20% OCC 2 4 9:50 8/8/2007 REP RO OT 40 90% MSW 3% 4 0% 3 4 9:55 8/8/2007 REP FL 40 85% MSW 0% 0 0% :57 8/8/2007 AP RO SC 30 95% MSW 0% 0 0% Grocery :00 8/8/2007 WM RO C 40 90% MSW 20% 6 20% 25% OCC :02 8/8/2007 REP RO SC 30 95% MSW 0% 0 0% 10% OCC :05 8/8/2007 REP RO C 40 75% MSW 0% 0 0% Retail 25% OCC 25% :06 8/8/2007 REP RO OT 30 95% C&D 0% 0 0% 20% Dirt Page 3 of 5

138 Appendix C Queen City Transfer Station Observation Raw Data Line # Sheet # Time of Delivery Date Truck # Net Weight (tons) Truck Type Rolloff Type Size of Truck (CY) Pct Full MSW or C&D Load Pallets: % of Load # of Pallets (reusable & not usable) # of Crates Clean Wood: % of Load Describe Clean Wood Waste :12 8/8/2007 REP FL 40 90% MSW 0% 0 0% 10% OCC :16 8/8/2007 REP RO OT 40 90% MSW 65% 18 5% 5% OCC Broken wood from pallets :20 8/8/2007 REP RO OT 30 95% MSW 0% 0 5% Demolition (sheet rock 30%) Plywoo :20 8/8/2007 REP FL % MSW <1 1 0% Commercial Route :27 8/8/2007 WM RO OT 30 95% MSW 20% 8 5% Clean wood from broken pallets :30 8/8/2007 WM FL 40 80% MSW 0% 0 0% Commercial Route :35 8/8/2007 REP FL 40 45% MSW 0% 3 5% Commercial Route (cabinet maker) :40 8/8/2007 WM FL 40 80% MSW <1 1 0% :45 8/8/2007 CWS RO OT 30 85% C&D 1% 2 0% Demolition :45 8/8/2007 AP RO OT 40 95% MSW 75% 8 5 0% Industrial :48 8/8/2007 AP RO SC 30 90% MSW <1 2 0% Retail 5% OCC :50 8/8/2007 WM RO C 40 85% MSW 10% 9 0% 30% OCC :50 8/8/2007 CWS RO OT 30 85% MSW 20% 6 0% 10% OCC :50 8/8/2007 WM RO OT 40 90% MSW 90% % Plywood/OSB :55 8/8/2007 WM RO OT 40 90% C&D 10% 9 20% Lumber :55 8/8/2007 REP RO OT 30 95% C&D 0% 0 0% 5% OCC :55 8/8/2007 REP RO OT 40 95% MSW 1% 2 0% 75% OCC :05 8/8/2007 WM RO OT 30 80% MSW 100% 42 0% :05 8/8/2007 REP RO OT 30 95% MSW 20% 10 85% + lumber :10 8/8/2007 REP RO OT 30 95% C&D 0% 0 0% Painted wood Demolition 5% stained :12 8/8/2007 REP FL 40 60% MSW 3% 5 0% 5% OCC Commercial Route :15 8/8/2007 WM RO C % MSW 0% 0 0% 5% OCC 3% Office paper :25 8/8/2007 WM RO SC 30 80% MSW 0% 0 0% Grocery :27 8/8/2007 REP RO OT 30 95% C&D 0% 0 0% Demolition 25% Painted wood 5% O :30 8/8/2007 WM FL 40 75% MSW 0% 0 0% :30 8/8/2007 AP RO C 40 90% MSW <1 2 0% Industrial :34 8/8/2007 AWG RO OT % C&D 0% 0 0% 50% OCC 5% metal :40 8/8/2007 REP RO OT % C&D 0% 0 0% Old furniture 50% :43 8/8/2007 WM RO SC 20 45% MSW 0% 0 0% Office 5% OCC :48 8/8/2007 CWS RO OT 30 85% MSW 25% 7 0% :55 8/8/2007 REP RO OT 30 45% C&D 0% 0 0% 25% Yard waste 20% concrete & dir :57 8/8/2007 REP RO OT 40 90% C&D 2% 2 0% 90% sheet rock :00 8/8/2007 REP FL 40 45% MSW 0% 0 0% :00 8/8/2007 REP RO OT 30 95% C&D 10% 6 5% 5% OCC lumber cutoffs :05 8/8/2007 WM RO OT 40 85% MSW 0% 0 0% Grocery :08 8/8/2007 AP RO SC 30 85% MSW 1% 3 0% Page 4 of 5

139 Appendix C Queen City Transfer Station Observation Raw Data Line # Sheet # Time of Delivery Date Truck # Net Weight (tons) Truck Type Rolloff Type Size of Truck (CY) Pct Full MSW or C&D Load Pallets: % of Load # of Pallets (reusable & not usable) # of Crates Clean Wood: % of Load Describe Clean Wood Waste Total incoming Trucks on 8/7/ Total incoming Trucks on 8/8/07 to 3:00 P.M. 171 Total Trucks 411 Total Trucks Observed 147 Percent Trucks Observ 36% Abbreviations RO = Roll-off FL = Frontloader OT = Open Top Roll-off SC= Self Contained Compactor Roll-off C= Compactor Roll-off Page 5 of 5

140

141 APPENDIX D NAICS Code Assignment Exhibits Mecklenburg County Pallet/Woodwaste Report

142 Mecklenburg County Pallet/Woodwaste Report

143 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Nursery and Floriculture Production , Flour Milling and Malt Manufacturing , Starch and Vegetable Fats and Oils Manufacturing , Sugar Manufacturing 1 2 6, Dairy Product (except Frozen) Manufacturing , Ice Cream and Frozen Dessert Manufacturing , Animal Slaughtering and Processing , Seafood Product Preparation and Packaging , Bread and Bakery Product Manufacturing , Cookie, Cracker, and Pasta Manufacturing , Snack Food Manufacturing 4 1, , Coffee and Tea Manufacturing , All Other Food Manufacturing , Soft Drink and Ice Manufacturing 9 1, , Breweries , Tobacco Product Manufacturing , Fiber, Yarn, and Thread Mills , Broadwoven Fabric Mills , Narrow Fabric Mills and Schiffli Machine Embroidery , Nonwoven Fabric Mills , Knit Fabric Mills , Textile and Fabric Finishing Mills , Fabric Coating Mills , Carpet and Rug Mills , Curtain and Linen Mills , Textile Bag and Canvas Mills , All Other Textile Product Mills , Hosiery and Sock Mills , Men's and Boys' Cut and Sew Apparel Manufacturing , Apparel Accessories and Other Apparel Manufacturing , Other Leather and Allied Product Manufacturing , Sawmills and Wood Preservation , Veneer, Plywood, and Engineered Wood Product Manufacturing ,000 Page 1 of 7

144 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Millwork , Wood Container and Pallet Manufacturing , All Other Wood Product Manufacturing , Paper Mills , Paperboard Mills , Paperboard Container Manufacturing , Paper Bag and Coated and Treated Paper Manufacturing , Stationery Product Manufacturing , Other Converted Paper Product Manufacturing , Printing 251 3,964 3,693, Support Activities for Printing , Petroleum Refineries , Asphalt Paving, Roofing, and Saturated Materials Manufacturing , Industrial Gas Manufacturing , Synthetic Dye and Pigment Manufacturing , Other Basic Inorganic Chemical Manufacturing , Other Basic Organic Chemical Manufacturing , Resin and Synthetic Rubber Manufacturing , Artificial and Synthetic Fibers and Filaments Manufacturing 1 4 6, Fertilizer Manufacturing , Pesticide and Other Agricultural Chemical Manufacturing 1 1 6, Pharmaceutical and Medicine Manufacturing , Paint and Coating Manufacturing , Adhesive Manufacturing , Soap and Cleaning Compound Manufacturing , Toilet Preparation Manufacturing , Printing Ink Manufacturing , All Other Chemical Product and Preparation Manufacturing 28 1, , Plastics Packaging Materials and Unlaminated Film and Sheet Manufacturing , Plastics Pipe, Pipe Fitting, and Unlaminated Profile Shape Manufacturing , Laminated Plastics Plate, Sheet (except Packaging), and Shape Manufacturing , Urethane and Other Foam Product (except Polystyrene) Manufacturing , Other Plastics Product Manufacturing ,750 Page 2 of 7

145 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Tire Manufacturing 5 2, , Rubber and Plastics Hoses and Belting Manufacturing , Other Rubber Product Manufacturing , Pottery, Ceramics, and Plumbing Fixture Manufacturing , Clay Building Material and Refractories Manufacturing , Glass and Glass Product Manufacturing , Cement Manufacturing , Ready-Mix Concrete Manufacturing , Concrete Pipe, Brick, and Block Manufacturing , Other Concrete Product Manufacturing , Gypsum Product Manufacturing , Abrasive Product Manufacturing , All Other Nonmetallic Mineral Product Manufacturing , Iron and Steel Mills and Ferroalloy Manufacturing , Cutlery and Handtool Manufacturing , Plate Work and Fabricated Structural Product Manufacturing 26 1, , Ornamental and Architectural Metal Products Manufacturing , Hardware Manufacturing , Spring and Wire Product Manufacturing , Machine Shops ,043, Turned Product and Screw, Nut, and Bolt Manufacturing , Metal Valve Manufacturing , All Other Fabricated Metal Product Manufacturing 22 1, , Agricultural Implement Manufacturing , Sawmill and Woodworking Machinery Manufacturing , Computer and Peripheral Equipment Manufacturing , Telephone Apparatus Manufacturing , Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing , Other Communications Equipment Manufacturing , Audio and Video Equipment Manufacturing , Semiconductor and Other Electronic Component Manufacturing , Navigational, Measuring, Electromedical, and Control Instruments Manufacturing , Manufacturing and Reproducing Magnetic and Optical Media ,000 Page 3 of 7

146 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Electric Lamp Bulb and Part Manufacturing , Lighting Fixture Manufacturing , Small Electrical Appliance Manufacturing , Electrical Equipment Manufacturing , Battery Manufacturing , Communication and Energy Wire and Cable Manufacturing , All Other Electrical Equipment and Component Manufacturing , Motor Vehicle Electrical and Electronic Equipment Manufacturing , Motor Vehicle Seating and Interior Trim Manufacturing , Other Motor Vehicle Parts Manufacturing , Aerospace Product and Parts Manufacturing , Wood Kitchen Cabinet and Countertop Manufacturing ,718, Household and Institutional Furniture Manufacturing , Office Furniture (including Fixtures) Manufacturing , Mattress Manufacturing , Blind and Shade Manufacturing , Medical Equipment and Supplies Manufacturing 51 1,996 1,256, Jewelry and Silverware Manufacturing , Sporting and Athletic Goods Manufacturing , Doll, Toy, and Game Manufacturing , Office Supplies (except Paper) Manufacturing , Sign Manufacturing , All Other Miscellaneous Manufacturing 61 1,852 1,743, Motor Vehicle Supplies and New Parts Merchant Wholesalers ,506, Tire and Tube Merchant Wholesalers , Motor Vehicle Parts (Used) Merchant Wholesalers , Furniture Merchant Wholesalers ,018, Lumber, Plywood, Millwork, and Wood Panel Merchant Wholesalers ,193, Brick, Stone, and Related Construction Material Merchant Wholesalers , Roofing, Siding, and Insulation Material Merchant Wholesalers , Other Construction Material Merchant Wholesalers , Photographic Equipment and Supplies Merchant Wholesalers , Office Equipment Merchant Wholesalers 52 1, ,500 Page 4 of 7

147 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Computer and Computer Peripheral Equipment and Software Merchant Wholesalers , Other Commercial Equipment Merchant Wholesalers , Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers , Ophthalmic Goods Merchant Wholesalers , Other Professional Equipment and Supplies Merchant Wholesalers , Metal Service Centers and Other Metal Merchant Wholesalers ,356, Coal and Other Mineral and Ore Merchant Wholesalers , Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers 244 3,643 6,093, Electrical and Electronic Appliance, Television, and Radio Set Merchant Wholesalers , Other Electronic Parts and Equipment Merchant Wholesalers , Hardware Merchant Wholesalers ,281, Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers , Warm Air Heating and Air-Conditioning Equipment and Supplies Merchant Wholesalers , Farm and Garden Machinery and Equipment Merchant Wholesalers , Industrial Machinery and Equipment Merchant Wholesalers 215 2,677 4,731, Industrial Supplies Merchant Wholesalers 74 1,096 1,806, Service Establishment Equipment and Supplies Merchant Wholesalers ,150, Transportation Equipment and Supplies (except Motor Vehicle) Merchant Wholesalers , Sporting and Recreational Goods and Supplies Merchant Wholesalers , Toy and Hobby Goods and Supplies Merchant Wholesalers , Recyclable Material Merchant Wholesalers ,075, Jewelry, Watch, Precious Stone, and Precious Metal Merchant Wholesalers , Other Miscellaneous Durable Goods Merchant Wholesalers 235 3,098 4,868, Printing and Writing Paper Merchant Wholesalers , Stationery and Office Supplies Merchant Wholesalers , Industrial and Personal Service Paper Merchant Wholesalers , Drugs and Druggists' Sundries Merchant Wholesalers , Piece Goods, Notions, and Other Dry Goods Merchant Wholesalers , Men's and Boys' Clothing and Furnishings Merchant Wholesalers , Women's, Children's, and Infants' Clothing and Accessories Merchant Wholesalers , Footwear Merchant Wholesalers , General Line Grocery Merchant Wholesalers , Packaged Frozen Food Merchant Wholesalers 31 1, ,750 Page 5 of 7

148 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Dairy Product (except Dried or Canned) Merchant Wholesalers , Confectionery Merchant Wholesalers , Fish and Seafood Merchant Wholesalers , Meat and Meat Product Merchant Wholesalers , Fresh Fruit and Vegetable Merchant Wholesalers , Other Grocery and Related Products Merchant Wholesalers 27 1, , Plastics Materials and Basic Forms and Shapes Merchant Wholesalers , Other Chemical and Allied Products Merchant Wholesalers ,337, Petroleum and Petroleum Products Merchant Wholesalers (except Bulk Stations and Terminals) , Beer and Ale Merchant Wholesalers , Wine and Distilled Alcoholic Beverage Merchant Wholesalers , Farm Supplies Merchant Wholesalers , Flower, Nursery Stock, and Florists' Supplies Merchant Wholesalers , Paint, Varnish, and Supplies Merchant Wholesalers , Other Miscellaneous Nondurable Goods Merchant Wholesalers , Furniture Stores 190 2,174 4,218, Floor Covering Stores , Other Home Furnishings Stores , Appliance, Television, and Other Electronics Stores 194 2,323 1,387, Computer and Software Stores 221 4,910 1,906, Home Centers 61 3,021 1,968, Paint and Wallpaper Stores , Hardware Stores , Other Building Material Dealers 270 3,027 4,987, Outdoor Power Equipment Stores , Nursery, Garden Center, and Farm Supply Stores , Supermarkets and Other Grocery (except Convenience) Stores 129 9,202 1,870, Scheduled Air Transportation 31 2, , Nonscheduled Air Transportation , Rail Transportation , Inland Water Transportation , General Freight Trucking, Local 168 1,899 3,925, Used Household and Office Goods Moving 1 1 6,250 Page 6 of 7

149 Exhibit 1: 5-Digit NAICS Codes Identified as Likely Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Specialized Freight (except Used Goods) Trucking, Long-Distance 211 8,835 5,112, Airport Operations , Other Support Activities for Air Transportation , Support Activities for Rail Transportation , Other Support Activities for Water Transportation 1 1 6, General Warehousing and Storage ,300, Refrigerated Warehousing and Storage , Farm Product Warehousing and Storage , Other Warehousing and Storage , Packaging and Labeling Services 40 5, , Convention and Trade Show Organizers , General Medical and Surgical Hospitals 29 4,168 1,287, Nursing Care Facilities 42 3,906 1,350, Community Care Facilities for the Elderly 48 3,574 1,043, Other Residential Care Facilities , Child and Youth Services 117 1,535 2,537, Services for the Elderly and Persons with Disabilities , Spectator Sports , Zoos and Botanical Gardens , Nature Parks and Other Similar Institutions , Amusement and Theme Parks 6 2, , Golf Courses and Country Clubs 26 1, ,500 Total 5, , ,563,750 Page 7 of 7

150 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Noncitrus Fruit and Tree Nut Farming , Cotton Farming , All Other Crop Farming , Dairy Cattle and Milk Production , Other Poultry Production 1 2 6, Hunting and Trapping 1 1 6, Support Activities for Crop Production , Support Activities for Animal Production , Support Activities for Forestry , Oil and Gas Extraction , Coal Mining , Stone Mining and Quarrying , Sand, Gravel, Clay, and Ceramic and Refractory Minerals Mining and Quarrying , Other Nonmetallic Mineral Mining and Quarrying , Support Activities for Mining , Electric Power Generation , Electric Power Transmission, Control, and Distribution 13 7, , Natural Gas Distribution , Water Supply and Irrigation Systems , Rolling and Drawing of Purchased Steel , Alumina and Aluminum Production and Processing , Copper Rolling, Drawing, Extruding, and Alloying , Ferrous Metal Foundries , Nonferrous Metal Foundries , Forging and Stamping , Metal Tank (Heavy Gauge) Manufacturing , Metal Can, Box, and Other Metal Container (Light Gauge) Manufacturing , Coating, Engraving, Heat Treating, and Allied Activities , Construction Machinery Manufacturing , Other Industrial Machinery Manufacturing , Commercial and Service Industry Machinery Manufacturing ,750 Page 1 of 11

151 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Ventilation, Heating, Air-Conditioning, and Commercial Refrigeration Equipment Manufacturing , Metalworking Machinery Manufacturing , Engine, Turbine, and Power Transmission Equipment Manufacturing , Pump and Compressor Manufacturing , Material Handling Equipment Manufacturing , All Other General Purpose Machinery Manufacturing , Motor Vehicle Body and Trailer Manufacturing , Automobile and Other Motor Vehicle Merchant Wholesalers , Home Furnishing Merchant Wholesalers , Construction and Mining (except Oil Well) Machinery and Equipment Merchant Wholesalers 45 6,944 1,250, Business to Business Electronic Markets , Wholesale Trade Agents and Brokers 93 1,519 1,650, New Car Dealers 99 5,754 3,400, Used Car Dealers ,650, Recreational Vehicle Dealers , Motorcycle, Boat, and Other Motor Vehicle Dealers , Automotive Parts and Accessories Stores 154 1,472 1,006, Tire Dealers , Camera and Photographic Supplies Stores , Convenience Stores 97 1, , Meat Markets , Fish and Seafood Markets , Fruit and Vegetable Markets , Other Specialty Food Stores , Beer, Wine, and Liquor Stores , Pharmacies and Drug Stores 162 2,624 3,906, Cosmetics, Beauty Supplies, and Perfume Stores , Optical Goods Stores , Other Health and Personal Care Stores , Other Gasoline Stations , Men's Clothing Stores ,000 Page 2 of 11

152 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Women's Clothing Stores , Children's and Infants' Clothing Stores ,118, Family Clothing Stores 116 2,417 2,893, Clothing Accessories Stores , Other Clothing Stores ,168, Shoe Stores 124 1, , Jewelry Stores , Luggage and Leather Goods Stores , Sporting Goods Stores 109 1, , Hobby, Toy, and Game Stores , Sewing, Needlework, and Piece Goods Stores , Musical Instrument and Supplies Stores , Book Stores and News Dealers , Prerecorded Tape, Compact Disc, and Record Stores , Department Stores ,834 5,450, All Other General Merchandise Stores 52 2, , Florists , Office Supplies and Stationery Stores 53 1, , Gift, Novelty, and Souvenir Stores , Used Merchandise Stores , Pet and Pet Supplies Stores , Art Dealers , Manufactured (Mobile) Home Dealers 1 6 1, All Other Miscellaneous Store Retailers , Electronic Shopping and Mail-Order Houses , Vending Machine Operators , Fuel Dealers , Other Direct Selling Establishments 60 2,369 1,362, Urban Transit Systems , Interurban and Rural Bus Transportation , Taxi Service ,250 Page 3 of 11

153 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Limousine Service , School and Employee Bus Transportation , Charter Bus Industry , Other Transit and Ground Passenger Transportation , Pipeline Transportation of Crude Oil , Scenic and Sightseeing Transportation, Water , Scenic and Sightseeing Transportation, Other 1 5 6, Navigational Services to Shipping , Motor Vehicle Towing , Freight Transportation Arrangement , Other Support Activities for Transportation , Postal Service ,075, Couriers and Express Delivery Services , Newspaper Publishers 33 2, , Periodical Publishers 50 1,329 1,168, Book Publishers , Directory and Mailing List Publishers , Other Publishers , Software Publishers , Motion Picture and Video Production , Motion Picture and Video Distribution , Motion Picture and Video Exhibition , Music Publishers , Sound Recording Studios , Other Sound Recording Industries , Radio Broadcasting 37 1, , Television Broadcasting 15 1, , Cable and Other Subscription Programming , Wired Telecommunications Carriers 55 1,688 1,487, Wireless Telecommunications Carriers (except Satellite) 175 1,514 3,875, Other Telecommunications ,000 Page 4 of 11

154 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage ,075, Data Processing, Hosting, and Related Services ,881, News Syndicates , Libraries and Archives 36 1, , All Other Information Services , Commercial Banking 318 3,224 2,031, Savings Institutions , Credit Unions , Other Nondepository Credit Intermediation 622 7,590 5,131, Financial Transactions Processing, Reserve, and Clearinghouse Activities , Other Activities Related to Credit Intermediation , Investment Banking and Securities Dealing 32 3, , Securities Brokerage , Commodity Contracts Brokerage , Miscellaneous Intermediation , Portfolio Management , Investment Advice 358 2,002 2,281, All Other Financial Investment Activities , Direct Life, Health, and Medical Insurance Carriers , Direct Insurance (except Life, Health, and Medical) Carriers , Insurance Agencies and Brokerages ,988 2,193, Other Insurance Related Activities , Pension Funds , , Other Financial Vehicles , Lessors of Residential Buildings and Dwellings 498 2,475 3,375, Lessors of Nonresidential Buildings (except Miniwarehouses) ,318, Lessors of Miniwarehouses and Self-Storage Units ,950, Lessors of Other Real Estate Property , Offices of Real Estate Agents and Brokers 312 8,355 3,577, Real Estate Property Managers ,250 Page 5 of 11

155 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Offices of Real Estate Appraisers , Other Activities Related to Real Estate , Passenger Car Rental and Leasing , Truck, Utility Trailer, and RV (Recreational Vehicle) Rental and Leasing , Consumer Electronics and Appliances Rental , Formal Wear and Costume Rental , Video Tape and Disc Rental , Other Consumer Goods Rental , General Rental Centers , Construction, Transportation, Mining, and Forestry Machinery and Equipment Rental and Leasing , Office Machinery and Equipment Rental and Leasing , Other Commercial and Industrial Machinery and Equipment Rental and Leasing , Lessors of Nonfinancial Intangible Assets (except Copyrighted Works) , Offices of Lawyers 122 2, , Other Legal Services , Accounting, Tax Preparation, Bookkeeping, and Payroll Services 120 3, , Architectural Services 80 2, , Landscape Architectural Services , Engineering Services 234 3,823 1,637, Drafting Services , Building Inspection Services , Geophysical Surveying and Mapping Services , Surveying and Mapping (except Geophysical) Services , Testing Laboratories , Interior Design Services ,450, Graphic Design Services 11 2,068 82, Other Specialized Design Services , Computer Systems Design and Related Services 317 3,428 4,562, Management Consulting Services 475 7,937 3,625, Environmental Consulting Services , Other Scientific and Technical Consulting Services ,750 Page 6 of 11

156 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Research and Development in the Physical, Engineering, and Life Sciences 98 1, , Research and Development in the Social Sciences and Humanities , Advertising Agencies 140 1, , Public Relations Agencies , Media Representatives , Display Advertising , Direct Mail Advertising ,693, Advertising Material Distribution Services ,287, Other Services Related to Advertising ,762, Marketing Research and Public Opinion Polling , Photographic Services 23 1, , Translation and Interpretation Services , Veterinary Services , All Other Professional, Scientific, and Technical Services ,425, Management of Companies and Enterprises 33 11, , Office Administrative Services ,343, Employment Placement Agencies and Executive Search Services 102 2, , Temporary Help Services ,193, Professional Employer Organizations , Telephone Call Centers , Business Service Centers , Collection Agencies , Credit Bureaus , Other Business Support Services , Travel Agencies , Tour Operators , Other Travel Arrangement and Reservation Services , Investigation, Guard, and Armored Car Services 83 4,083 1,218, Security Systems Services , Exterminating and Pest Control Services , Janitorial Services 222 1,714 1,431,250 Page 7 of 11

157 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Landscaping Services 62 2, , Carpet and Upholstery Cleaning Services , Other Services to Buildings and Dwellings , All Other Support Services 132 1,391 1,000, Waste Collection , Waste Treatment and Disposal , Remediation Services , Materials Recovery Facilities , All Other Waste Management Services , Elementary and Secondary Schools ,640 12,625, Junior Colleges , Colleges, Universities, and Professional Schools 38 3,642 1,318, Business and Secretarial Schools , Computer Training , Professional and Management Development Training , Technical and Trade Schools , Fine Arts Schools , Sports and Recreation Instruction , Language Schools , All Other Schools and Instruction , Educational Support Services , Offices of Physicians 289 4,400 1,740, Offices of Dentists , Offices of Chiropractors , Offices of Optometrists , Offices of Mental Health Practitioners (except Physicians) , Offices of Physical, Occupational and Speech Therapists, and Audiologists , Offices of All Other Health Practitioners , Family Planning Centers , Other Outpatient Care Centers 62 1, , Medical and Diagnostic Laboratories ,000 Page 8 of 11

158 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Home Health Care Services 84 2,507 2,231, Ambulance Services , All Other Ambulatory Health Care Services 115 1, , Psychiatric and Substance Abuse Hospitals , Specialty (except Psychiatric and Substance Abuse) Hospitals 1 5 6, Other Individual and Family Services 275 6,530 6,687, Community Food Services , Community Housing Services , Vocational Rehabilitation Services 64 1,512 1,531, Child Day Care Services 334 5,032 2,131, Theater Companies and Dinner Theaters , Musical Groups and Artists , Other Performing Arts Companies , Promoters of Performing Arts, Sports, and Similar Events with Facilities , Promoters of Performing Arts, Sports, and Similar Events without Facilities , Agents and Managers for Artists, Athletes, Entertainers, and Other Public Figures , Independent Artists, Writers, and Performers , Museums , Historical Sites , Amusement Arcades , Other Gambling Industries 1 3 6, Skiing Facilities 1 6 6, Marinas , Fitness and Recreational Sports Centers 187 1,754 3,993, Bowling Centers , All Other Amusement and Recreation Industries , Hotels (except Casino Hotels) and Motels 215 7,237 5,918, Other Traveler Accommodation , RV (Recreational Vehicle) Parks and Recreational Camps , Rooming and Boarding Houses , Full-Service Restaurants 93 1, ,250 Page 9 of 11

159 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Limited-Service Eating Places 1,381 33,185 8,316, Food Service Contractors , Caterers , Drinking Places (Alcoholic Beverages) , Automotive Mechanical and Electrical Repair and Maintenance 146 1, , Automotive Body, Paint, Interior, and Glass Repair 162 1,117 1,112, Other Automotive Repair and Maintenance , Electronic and Precision Equipment Repair and Maintenance , Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance , Home and Garden Equipment and Appliance Repair and Maintenance , Reupholstery and Furniture Repair , Other Personal and Household Goods Repair and Maintenance , Hair, Nail, and Skin Care Services 269 3, , Other Personal Care Services , Funeral Homes and Funeral Services , Cemeteries and Crematories , Coin-Operated Laundries and Drycleaners , Drycleaning and Laundry Services (except Coin-Operated) , Linen and Uniform Supply , Pet Care (except Veterinary) Services , Photofinishing , Parking Lots and Garages , All Other Personal Services , Religious Organizations 1,032 6,582 21,025, Grantmaking and Giving Services , Social Advocacy Organizations 182 2,690 1,468, Civic and Social Organizations 150 2,192 1,462, Business Associations , Professional Organizations , Labor Unions and Similar Labor Organizations ,750 Page 10 of 11

160 Exhibit 2: 5-Digit NAICS Codes Identified as Possible Generators of Wood Pallets and/or Clean Wood NAICS 5-Digit Count of Total Total Square Code Title Businesses Employees Footage Other Similar Organizations (except Business, Professional, Labor, and Political Organizations) , Executive Offices , Legislative Bodies 193 5,866 2,431, Public Finance Activities , Other General Government Support , Courts , Police Protection 41 4,638 1,625, Legal Counsel and Prosecution , Correctional Institutions , Parole Offices and Probation Offices , Fire Protection 61 4,544 1,556, Other Justice, Public Order, and Safety Activities 1 5 6, Administration of Education Programs , Administration of Public Health Programs , Administration of Human Resource Programs (except Education, Public Health, and Veterans' Affairs Programs) , Administration of Veterans' Affairs , Administration of Air and Water Resource and Solid Waste Management Programs , Administration of Conservation Programs , Administration of Urban Planning and Community and Rural Development , Administration of General Economic Programs , Regulation and Administration of Transportation Programs 29 1, , Regulation and Administration of Communications, Electric, Gas, and Other Utilities , Regulation of Agricultural Marketing and Commodities , Regulation, Licensing, and Inspection of Miscellaneous Commercial Sectors , National Security , International Affairs ,000 Total 18, , ,711,250 Page 11 of 11

161 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Nursery and Floriculture Production , All Other Crop Farming , Support Activities for Animal Production , Bread and Bakery Product Manufacturing , Wineries , Asphalt Paving, Roofing, and Saturated Materials Manufacturing 1 3 1, Tire Manufacturing , Ornamental and Architectural Metal Products Manufacturing 1 1 1, Other Industrial Machinery Manufacturing , Manufacturing and Reproducing Magnetic and Optical Media 1 1 1, Medical Equipment and Supplies Manufacturing , Motor Vehicle Supplies and New Parts Merchant Wholesalers 1 1 1, Motor Vehicle Parts (Used) Merchant Wholesalers , Other Construction Material Merchant Wholesalers , Petroleum and Petroleum Products Merchant Wholesalers (except Bulk Stations and Terminals) , Flower, Nursery Stock, and Florists' Supplies Merchant Wholesalers 1 2 1, New Car Dealers 3 3 3, Used Car Dealers , Recreational Vehicle Dealers 4 4 5, Other Home Furnishings Stores , Appliance, Television, and Other Electronics Stores , Camera and Photographic Supplies Stores 1 1 1, Outdoor Power Equipment Stores , Nursery, Garden Center, and Farm Supply Stores , Supermarkets and Other Grocery (except Convenience) Stores , Convenience Stores , Meat Markets , Fish and Seafood Markets , Fruit and Vegetable Markets , Other Specialty Food Stores , Beer, Wine, and Liquor Stores ,750 Page 1 of 6

162 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Cosmetics, Beauty Supplies, and Perfume Stores , Optical Goods Stores , Other Health and Personal Care Stores , Other Gasoline Stations , Women's Clothing Stores , Jewelry Stores , Sporting Goods Stores , Sewing, Needlework, and Piece Goods Stores 1 1 1, Book Stores and News Dealers , Prerecorded Tape, Compact Disc, and Record Stores , All Other General Merchandise Stores , Florists , Gift, Novelty, and Souvenir Stores , Used Merchandise Stores , Pet and Pet Supplies Stores 7 8 8, Art Dealers , Manufactured (Mobile) Home Dealers , All Other Miscellaneous Store Retailers , Other Direct Selling Establishments 1 1 1, Nonscheduled Air Transportation 1 2 1, Taxi Service , Limousine Service , Other Transit and Ground Passenger Transportation 4 6 5, Scenic and Sightseeing Transportation, Water 3 5 3, Scenic and Sightseeing Transportation, Other 4 6 5, Motor Vehicle Towing , Postproduction Services and Other Motion Picture and Video Industries 1 1 1, Radio Broadcasting , Other Nondepository Credit Intermediation , Financial Transactions Processing, Reserve, and Clearinghouse Activities , Investment Banking and Securities Dealing ,000 Page 2 of 6

163 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Securities Brokerage , Commodity Contracts Dealing 1 3 1, Miscellaneous Intermediation 5 8 6, Direct Insurance (except Life, Health, and Medical) Carriers , Reinsurance Carriers , Insurance Agencies and Brokerages 627 1, , Other Insurance Related Activities , Lessors of Other Real Estate Property , Offices of Real Estate Agents and Brokers 940 3,139 1,175, Real Estate Property Managers , Offices of Real Estate Appraisers , Other Activities Related to Real Estate , Passenger Car Rental and Leasing , Truck, Utility Trailer, and RV (Recreational Vehicle) Rental and Leasing , Formal Wear and Costume Rental , Offices of Lawyers 1,182 2,714 1,477, Other Legal Services , Accounting, Tax Preparation, Bookkeeping, and Payroll Services 503 1, , Architectural Services , Landscape Architectural Services , Engineering Services , Surveying and Mapping (except Geophysical) Services , Graphic Design Services , Management Consulting Services , Media Representatives , Photographic Services , Veterinary Services , Employment Placement Agencies and Executive Search Services , Temporary Help Services 2 4 2, Document Preparation Services , Other Business Support Services ,000 Page 3 of 6

164 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Travel Agencies , Other Travel Arrangement and Reservation Services 1 1 1, Investigation, Guard, and Armored Car Services , Security Systems Services , Exterminating and Pest Control Services , Landscaping Services , Other Services to Buildings and Dwellings 1 2 1, Waste Collection , Waste Treatment and Disposal 3 5 3, Materials Recovery Facilities 1 1 1, All Other Waste Management Services 3 5 3, Professional and Management Development Training , Technical and Trade Schools , Fine Arts Schools , Sports and Recreation Instruction , Language Schools 1 2 1, All Other Schools and Instruction , Educational Support Services 4 5 5, Offices of Physicians 525 1, , Offices of Dentists 327 1, , Offices of Chiropractors , Offices of Optometrists , Offices of Mental Health Practitioners (except Physicians) , Offices of Physical, Occupational and Speech Therapists, and Audiologists , Offices of All Other Health Practitioners , Other Outpatient Care Centers , Ambulance Services 1 1 1, Child Day Care Services , Musical Groups and Artists , Other Performing Arts Companies , Promoters of Performing Arts, Sports, and Similar Events with Facilities 1 2 1,250 Page 4 of 6

165 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Independent Artists, Writers, and Performers , Historical Sites 2 4 2, Amusement Arcades , Other Gambling Industries 1 2 1, Golf Courses and Country Clubs 1 1 1, Marinas , All Other Amusement and Recreation Industries , RV (Recreational Vehicle) Parks and Recreational Camps 2 5 2, Full-Service Restaurants , Limited-Service Eating Places 391 1, , Food Service Contractors , Caterers , Drinking Places (Alcoholic Beverages) , Automotive Mechanical and Electrical Repair and Maintenance , Other Automotive Repair and Maintenance , Electronic and Precision Equipment Repair and Maintenance , Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance , Home and Garden Equipment and Appliance Repair and Maintenance , Reupholstery and Furniture Repair , Footwear and Leather Goods Repair , Other Personal and Household Goods Repair and Maintenance , Hair, Nail, and Skin Care Services 974 2,422 1,217, Other Personal Care Services , Cemeteries and Crematories , Coin-Operated Laundries and Drycleaners , Drycleaning and Laundry Services (except Coin-Operated) , Pet Care (except Veterinary) Services , Photofinishing 5 6 6, All Other Personal Services , Political Organizations 3 7 3,750 Page 5 of 6

166 Exhibit 3: 5-Digit NAICS Codes for Mecklenburg County Businesses not Surveyed (Unlikely Generators) NAICS 5- Digit Code Title Count of Businesses Total Employees Total Square Footage Other Similar Organizations (except Business, Professional, Labor, and Political Organizations) 1 1 1, ,000 NA Not available [3] 1,598 7,277 38,320,000 Total 13,430 37,709 53,921,250 Page 6 of 6

167 APPENDIX E Hauler Survey Responses Mecklenburg County Pallet/Woodwaste Report

168 Mecklenburg County Pallet/Woodwaste Report

169 Both Both Both Both Commercial Complete Complete Complete Complete Complete Commercial Hauler Survey Responses for Question 1 through Survey Responses Completed Survey Declined to Complete Survey Failed to Return Messages Busy/Disconnected/Fax Number Services Provided Dumpster Roll-Off Residential Only 1 Do any of your current front load customers place clean wood or pallets in their dumpsters? Wood Pallets 1 1 Clean Wood Both Wood Pallets and Clean Wood 1 Neither 1 1 Don't know Do not provide dumpster service 2 If some of your current front load customers place pallets in the dumpsters,, does collecting wood pallets present any collection problems? Yes No Not Applicable If some of your current front load customers place clean wood in the dumpsters, does collecting clean wood present any collection problems? Yes No Not Applicable Please estimate the percentage of your Front Load Customers that dispose of wood pallets or clean wood in their dumpsters. Wood Pallets 0% 5-10% 10% 1% Clean Wood 0% >5% 0% >1% Don't know Not Applicable 1 3 Please estimate the percentage of your Roll-Off Customers that dispose of wood pallets or clean wood in their roll-off containers. Wood Pallets 100% 20% > or = 10% 80% 1% Clean Wood 0% 75% > or = 10% 70% >1% Don't know Not Applicable Page 1 of 3

170 Commercial Hauler Survey Responses for Question 1 through Typically, what types of Front Load customers are the major generators of pallets? Of clean wood? Wood Pallets Trucking Warehouses Warehouses Warehouses It is random Clean Wood Supply Houses Wood Shops/ Frame Shops NA It is random Not Applicable 4 Typically, what types of Roll-Off customers are the major generators of pallets? Of clean wood? Wood Pallets Construction Plant and Industry Warehouse Homebuilders It is random Clean Wood Construction Residential New Construction Warehouse Homebuilders It is random Not Applicable 5 Do you collect recyclables from any of your customers? Yes No 6 Please estimate what percentage of your current Front Load Customers have recycling collection of the following recyclable materials. Old Corrugated Cardboard 100% 15-20% 10% see Table 2 65% Wood Pallets <1% Clean Wood <1% Gypsum Wallboard Other- White Paper 35% Other- Aluminum Cans Please estimate what percentage of your current Roll-Off Customers have recycling collection of the following recyclable materials. Old Corrugated Cardboard 10% 10% 40% 80% Wood Pallets 15% 5% Clean Wood 20% <5% Gypsum Wallboard 25% Other- Newspaper 10% Other- Concrete 30% Other- Plastic 20% Other- Metal 7% 20% Other- Aluminum Cans >1% 7 If you provide Wood Pallet recycling collection services, please indicate where you take the Wood Pallets for recycling or reuse. Name 4 Locations but could only think of Custom Pallets Custom Pallet LA Pallets Location Grand Street Charlotte Charlotte Not Applicable 1 7 If you provide Clean Wood recycling collection services, please indicate where you take the Clean Wood for recycling or reuse. Name Foxhole Landfill Foxhole Landfill LA Pallets Location Charlotte Not Applicable 1 Page 2 of 3

171 Commercial Hauler Survey Responses for Question 1 through What do you believe are the reasons your customers do not recycle Wood Pallets? Please check all that apply. Lack of storage place Cost/2nd dumpster 1 1 Small volume generator 1 Service not available Lack of recycling knowledge 1 1 Not enough Other quantity. Not Applicable 1 8 What do you believe are the reasons your customers do not recycle Clean Wood? Please check all that apply. Lack of storage place 1 Cost/2nd dumpster Small volume generator 1 Service not available Lack of recycling knowledge 1 Customers do not need the service. Not enough Other quantity. Not Applicable 1 Answers for Questions 9 and 10 and other comments are located in Table 2. Customers do not need the service. Page 3 of 3

172 Commercial Hauler Survey Responses for Question 9 and 10 and Other Comments 9. What steps do you recommend the County take to ensure compliance with the 2009 landfill ban on wood pallets? (1) Facility should charge less to take pallets. (2) County needs to develop a MRF that can sort separate and has equipment that can grind and mulch the wood pallets. According to the Hauler, the equipment to grind and mulch costs a half million dollars. (4) Hauler stated that this is up to the County. (5) Hauler recommends the County find some where else to take them. (12) Hauler doesn't know what the County should do. County should just have haulers be careful. 10. What steps would you take to prevent customers from putting wood pallets in their dumpster? (1) Hauler will inform customers; however, Hauler will not fine customers for noncompliance. Hauler is opposed to fines. Hauler will just stop accepting wood pallets. (2) Hauler will tell his customers they are not allowed to put wood pallets in their dumpsters. In addition, Hauler will fine customers $5 per pallet. (4) Hauler will inform the customers through the Hauler's sales department. (5) Haul will not haul the dumpster if there are wood pallets in the dumpster. (12) Hauler will no take the wood pallets. Hauler will recycle them. General Comments: (2) The only way this will work is if you build a MRF. Hauler has some ideas and some plans that they need the County's help with to make it work. (2) No one knows what to do with wood pallets. Hauler believes the best option is grind the pallets and spray the material red and call it wood chips for new homes. However, the market got too costly and home builders are only interested in making the most money possible. 1

173 (12) Hauler only services commercial buildings. Comments About Specific Questions: 1. Do any of your current front load customers place clean wood or pallets in their dumpsters? (4) Hauler stated that it is hard to tell if there is clean wood but the Hauler is sure there is some. (12) Every now and then the Hauler's front load customers place wood pallets in their dumpsters. However, the wood pallets disposed by the Hauler's customers are usually very broken. According to the Hauler, wood pallets are placed in its dumpsters only 2-3 times per year. If a wood pallet is placed in the Hauler's dumpster, the Hauler pulls the pallet out and a private contractor, Johnny Brown, collects and repairs the pallets. 2. If some of your current front load customers place clean wood or pallets in the dumpsters, does collecting clean wood or pallets present any collection problems? (5) Hauler stated that collecting wood pallets is not a problem as long as the customer breaks the wood pallets down. 3. Please estimate the percentage of your customers that dispose of wood pallets or clean wood in their dumpsters or roll-off containers. (2) Hauler does a lot of temporary construction work. Wood pallets are a sore spot in this industry. (4) Hauler stated that the estimate is a wild guess. 5. Do you collect recyclables from any of your customers? (5) A private company empties and hauls OCC from the Hauler's front-end load customers. The private company provides OCC recycling to approximately 90% of Hauler's front-end load customers. 7. If you provide pallet and/or clean wood recycling collection services, please indicate where you take the clean wood or pallets for recycling or reuse. 2

174 (2) Hauler will provide recycling for roll-off customers only if they sign up for green project. Hauler quoted the cost of green project to a roll-off customer and the customer elected against it due to the cost. 8. What do you believe are the reasons your customers do not recycle pallets and clean wood? Please check all that apply. (2) Hauler is in the process of doing a recycling facility for wood pallets. 3

175 C&D C&D C&D C&D Complete Complete Complete Complete Roll-off Hauler Survey Responses for Question 1 through Survey Responses Completed Survey Declined to Complete Survey Failed to Return Messages Busy/Disconnected/Fax Number Services Provided Dumpster Roll-Off Residential Only 1 Do any of your current front load customers place clean wood or pallets in their dumpsters? Wood Pallets 1 Clean Wood Both Wood Pallets and Clean Wood 1 Neither 1 Don't know Do not provide dumpster service 1 2 If some of your current front load customers place pallets in the dumpsters,, does collecting wood pallets present any collection problems? Yes No 1 1 Not Applicable If some of your current front load customers place clean wood in the dumpsters, does collecting clean wood present any collection problems? Yes No 1 1 Not Applicable Please estimate the percentage of your Front Load Customers that dispose of wood pallets or clean wood in their dumpsters. Wood Pallets 1% Clean Wood 100% Don't know 1 Not Applicable Please estimate the percentage of your Roll-Off Customers that dispose of wood pallets or clean wood in their roll-off containers. Wood Pallets 20% 0% Clean Wood 100% 100% Don't know 1 Not Applicable 1 Page 1 of 6

176 Roll-off Hauler Survey Responses for Question 1 through 8 Survey Responses Completed Survey Declined to Complete Survey Failed to Return Messages Busy/Disconnected/Fax Number Services Provided Dumpster Roll-Off Residential Only 1 Do any of your current front load customers place clean wood or pallets in their dumpsters? Wood Pallets Clean Wood Both Wood Pallets and Clean Wood Neither Don't know Do not provide dumpster service 2 If some of your current front load customers place pallets in the dumpsters,, does collecting wood pallets present any collection problems? Yes No Not Applicable 2 If some of your current front load customers place clean wood in the dumpsters, does collecting clean wood present any collection problems? Yes No Not Applicable 3 Please estimate the percentage of your Front Load Customers that dispose of wood pallets or clean wood in their dumpsters. Wood Pallets Clean Wood Don't know Not Applicable 3 Please estimate the percentage of your Roll-Off Customers that dispose of wood pallets or clean wood in their roll-off containers. Wood Pallets Clean Wood Don't know Not Applicable C&D C&D C&D C&D Complete Complete Complete Complete % >5% 5% 5% >5% 0% 1 1 Page 2 of 6

177 Roll-off Hauler Survey Responses for Question 1 through Typically, what types of Front Load customers are the major generators of pallets? Of clean wood? Wood Pallets Dellweb Construction Clean Wood Dellweb Construction Not Applicable Typically, what types of Roll-Off customers are the major generators of pallets? Of clean wood? Wood Pallets Construction NA 5 Do you collect recyclables from any of your customers? 6 Please estimate what percentage of your current Front Load Customers have recycling collection of the following recyclable materials. Old Corrugated Cardboard Wood Pallets Clean Wood Gypsum Wallboard Other- White Paper Other- Aluminum Cans 6 Please estimate what percentage of your current Roll-Off Customers have recycling collection of the following recyclable materials. Clean Wood Construction New Construction Not Applicable 1 Yes 1 1 No 1 1 Provides OCC recycling but could not estimate % Provides OCC recycling but could not estimate % Old Corrugated Cardboard Wood Pallets Clean Wood Gypsum Wallboard Other- Newspaper Other- Concrete Other- Plastic Other- Metal 1% Other- Aluminum Cans 7 If you provide Wood Pallet recycling collection services, please indicate where you take the Wood Pallets for recycling or reuse. Name Location Not Applicable If you provide Clean Wood recycling collection services, please indicate where you take the Clean Wood for recycling or reuse. Name Location Not Applicable 1 1 Page 3 of 6

178 Roll-off Hauler Survey Responses for Question 1 through 8 4 Typically, what types of Front Load customers are the major generators of pallets? Of clean wood? Wood Pallets Clean Wood Not Applicable 4 Typically, what types of Roll-Off customers are the major generators of pallets? Of clean wood? Wood Pallets 5 Do you collect recyclables from any of your customers? Clean Wood Not Applicable 6 Please estimate what percentage of your current Front Load Customers have recycling collection of the following recyclable materials. Yes No Commercial Warehouses Triad Homebuilders Commercial Warehouses Triad NA Construction Old Corrugated Cardboard Wood Pallets Clean Wood Gypsum Wallboard Other- White Paper Other- Aluminum Cans 6 Please estimate what percentage of your current Roll-Off Customers have recycling collection of the following recyclable materials. Old Corrugated Cardboard Wood Pallets Clean Wood Gypsum Wallboard Other- Newspaper Other- Concrete Other- Plastic Other- Metal Other- Aluminum Cans 7 If you provide Wood Pallet recycling collection services, please indicate where you take the Wood Pallets for recycling or reuse. Name Location Not Applicable 7 If you provide Clean Wood recycling collection services, please indicate where you take the Clean Wood for recycling or reuse. Name Location Not Applicable <1% 15% 5% 1 1 <1% <1% <1% Metromont Natural Recycling Center Charlotte Metromont Natural Recycling Center Charlotte Page 4 of 6

179 Roll-off Hauler Survey Responses for Question 1 through What do you believe are the reasons your customers do not recycle Wood Pallets? Please check all that apply. Lack of storage place Cost/2nd dumpster Small volume generator Service not available Lack of recycling knowledge 1 Customers send wood pallets back to where it came from Other thus no need for recycling. No time and not on their mind Not Applicable What do you believe are the reasons your customers do not recycle Clean Wood? Please check all that apply. Lack of storage place Cost/2nd dumpster 1 Small volume generator Service not available Lack of recycling knowledge Customers send clean wood back to where it came from thus no need for Other recycling. Not Applicable 1 Answers for Questions 9 and 10 and other comments are located in Table 2. Can't think for the customers. Space on the job site. No market and no advantage to separating wood clean wood. Page 5 of 6

180 Roll-off Hauler Survey Responses for Question 1 through 8 8 What do you believe are the reasons your customers do not recycle Wood Pallets? Please check all that apply. Lack of storage place Cost/2nd dumpster Small volume generator Service not available Lack of recycling knowledge Other Not Applicable 8 What do you believe are the reasons your customers do not recycle Clean Wood? Please check all that apply. Lack of storage place Cost/2nd dumpster Small volume generator Service not available Lack of recycling knowledge Workers' don t' care and they contaminate it. Convenience Other Not Applicable Answers for Questions 9 and 10 and other comments are located in Table 2. Workers' don t care and they contaminate it. Convenience Not and issue Laziness. Companies do not want to recycle. Page 6 of 6

181 Roll-off Hauler Survey Responses for Question 9 and 10 and Other Comments 9. What steps do you recommend the County take to ensure compliance with the 2009 landfill ban on wood pallets? (3) Hauler believes the County should keep their nose out of the hauler's and the customers' business. (6) Hauler stated that the County needs to set something up for wood pallets. (7) Hauler believes the County should make it more feasible for the people to recycle. (8) Hauler believes that a wood pallet landfill ban can be done but need to find a market for the wood pallets. County needs to do something to develop a market that can compete with landfill costs. (9) Hauler doesn't know what the County should do to ensure compliance. (10) Hauler recommends the County find private landfills that will take the wood pallets. (11) County should use mailings. 10. What steps would you take to prevent customers from putting wood pallets in their dumpster? (3) The Hauler does whatever the customers requires. Everything is market driven and if the market required wood pallet recycling then it would naturally occur. Therefore, more government is not required in this situation. (7) Hauler will back charge the customer or use other means. (8) County needs to look at markets such as generating power fuel and wood chips. County should look at New York. Hauler stated that New York burns the wood pallets with tires. According to the Hauler, it took New York 3 years to get power plant to look at it. It is worth it if you had market below landfill cost. (9) Hauler will not take any steps to prevent customers from putting wood pallets in their dumpsters. (10) Hauler can pass the cost along to the customers. (11) Hauler will use mailings. 1

182 General Comments: (6) Hauler is really excited about the wood pallet ban. Hauler was not aware of the ban prior to the survey. (9) County should lower landfill fees. (10) Hauler was not aware of new law prior to the survey. Hauler believes the problem is it will cost more. Wood recycling has never been a money maker for anyone and only makes sense to those who want to save the earth. Wood is a huge item. Comments About Specific Questions: 1. Do any of your current front load customers place clean wood or pallets in their dumpsters? (3) Hauler's customers do not throw away good pallets or wood. Hauler's customers throw away junk. (7) Hauler stated that customers dispose of wood pallets every now an then. As for clean wood, customers dispose of left over clean wood. 2. If some of your current front load customers place clean wood or pallets in the dumpsters, does collecting clean wood or pallets present any collection problems? (7) Even though Hauler answered no to the question, Hauler stated that the collection of wood pallets and clean wood wears and tears equipment and adds to disposal costs. (10) More like 1% 3. Please estimate the percentage of your customers that dispose of wood pallets or clean wood in their dumpsters or roll-off containers. (7) Wood pallets are not a big issue because the Hauler services construction sites a lot. (9) Clean wood that is disposed is cut up. 5. Do you collect recyclables from any of your customers? (6) Hauler use to provide recycling services but customers kept mixing garbage with the recyclables. 2

183 (7) Hauler just began green projects. 6. Please estimate what percentage of your current customers have recycling collection of the following recyclable materials. (10) Hauler has a customer who recycles wood pallets and clean wood. 8. What do you believe are the reasons your customers do not recycle pallets and clean wood? Please check all that apply. (7) Customer has done recycling; however, the Hauler's customer base isn't the type for recycling. 3

184

185 APPENDIX F Mecklenburg County C&D Waste Characterization Results Mecklenburg County Pallet/Woodwaste Report

186 Mecklenburg County Pallet/Woodwaste Report

187 3. RESULTS INTRODUCTION This section presents the results of the Mecklenburg County construction and demolition (C&D) waste composition study. Further, this section describes the underlying assumptions, analytical techniques, and statistical analysis that was performed to generate the results. Specifically, this section discusses: Volume-to-Weight Conversion, Statistical Measures, and Results. VOLUME-TO-WEIGHT CONVERSION As described in the Methodology section, all of the field data collection relied on volumetric estimates of the composition of each incoming load of C&D waste that was representatively selected for sampling. For each load, the container volume, percent full, and estimated fraction of each C&D material category was estimated and recorded. While the methodology used for visual surveying was performed consistently and accurately, and relied on quantitative measurements for some portion of the estimate, in practice there is potential for error to be introduced because certain steps of visual characterization are, by nature, somewhat imprecise. For example, two well trained solid waste professionals with field experience may observe a fraction of drywall in the same sample, yet their estimate of the percent of that drywall may vary, in some cases by five percent (or more if there is a lot of drywall). Human judgment is a necessary obstacle of precise visual surveying. Fortunately, for each load surveyed, it was possible in this study to obtain a copy of the weigh ticket from the scalehouse at each host facility. Because landfill scales must be calibrated on a regular basis to assure accurate reporting of incoming waste flows, the measured weight of each load from the scalehouse are highly defensible data points. The first exercise to tabulating the results was therefore to convert volumetric estimates for each sample into weigh-based estimates. Doing so required the following process: 1. Research and compile the raw density factors for all of the material categories defined for the study. Raw density factors were compiled based on available literature (primarily other C&D characterization studies and various recycled material manuals) as well as on MSW Consultants experience in conducting prior waste characterization studies; 2. Convert volumetric estimates to weight-based estimates by applying the raw density factors; 3. Compare the weight of the raw volume-to-weight conversion against the actual weight of each load as shown on the weigh tickets; 4. Apply targeted statistical analysis to identify the density factors that contribute to the variance between the calculated (item 2) and the actual (item 3) weights; and Mecklenburg County C&D Composition Study 3-1

188 3. RESULTS 5. Develop adjusted density factors that, when applied to the volumetric estimates observed in the field, yield calculated weights that are, in the aggregate, within acceptable tolerances of the actual weights Table 3-1 presents the density factors compiled for this analysis. The raw and adjusted density factors are shown, as well as the adjustment that was applied. Table 3-1 C&D Material Density Factors (Lbs/Cubic Yard) Raw and Adjusted Material Material Category Raw Adjusted Adjustment Group Paper OCC/Kraft Other Paper Plastic PVC Pipe Plastic Film Vinyl Siding Other Plastic Glass All Glass Metal Appliances Other Ferrous Metals HVAC Ducting Other Non-Ferrous Metals Green Waste Land Clearing/Limbs/Stumps Other Yard Waste Inerts Concrete/Block/Brick/Stone/Tile 1,500 1,275 (225) Dirt/Sand/Gravel 1,500 1,275 (225) Wood Pallets 50 lbs/pallet 150 lbs/crate 50 lbs/pallet 150 lbs/crate 0 0 Untreated Wood (55) Oriented Strandboard (OSB) (55) Treated/Painted/Processed Wood (55) C&D 276 (49) Drywall - Unpainted Materials 325 Drywall - Painted (49) Asphalt Roofing 1,250 1,063 (187) Insulation Ceiling Tiles Carpet & Carpet Backing (135) Other Wastes Bagged MSW Electronics Bulky Wastes/Furniture Mixed C&D/Other Unclassified An interesting result of this exercise is that all of the variance between the estimated weight (calculated by applying raw density factors to the observed volumetric estimates) and the actual weight could be minimized by downwardly adjusting the density of nine of the Mecklenburg County C&D Composition Study

189 3. RESULTS material categories. It is noteworthy that these nine categories are among the denser materials in C&D waste. This suggests that either (a) the industry literature on material density seems to overestimate the density of these material types, or (b) in the judgment of the field surveyor, the volume of these more dense materials was routinely overestimated. While it is not possible to assert that the density adjustments that are shown in Table 3-1 assure complete accuracy of the results, MSW Consultants believes that the step of normalizing the volumetric estimates to align closely with the known weight of the samples improves the accuracy of the overall study results. STATISTICAL MEASURES Once each sample is converted from volume to weight and normalized (as described above), the following statistical measures are calculated to determine the overall composition of C&D waste. Sample Mean: The sample mean, or average, composition is considered the most likely fraction for each material category in the aggregate C&D waste stream. The sample mean is determined by (i) summing the weight of each material in each sample; (ii) summing the total weigh of all samples, and (iii) dividing the first value by the second value to determine the percent-by-weight composition. Note that the sample mean, while a good estimate, is unlikely to be identical to the population mean value. The meaningfulness of the sample mean is enhanced by the following statistical measures. Standard Deviation: The standard deviation measures how widely values within the data set are dispersed from the sample mean. A higher standard deviation denotes higher variation in the underlying samples for each material, while a lower standard deviation reflects lower variation among the individual samples. The standard deviation is stated in the same unit as the sample mean, which in this case is percent by weight. Confidence Intervals: When a sample of data is obtained, it is analyzed in an attempt to determine certain values that describe the entire population of data under analysis. For example, in a poll of likely voters, the intent of the poll is to determine the percentage of all voters who support a given candidate, not simply the percentage of voters in the poll who support that candidate. The percentage of voters who support a given candidate in the poll can easily vary from sample to sample; but the percentage of all voters who support that candidate is a fixed value. In our sample of incoming loads of C&D waste, we are not primarily interested in the percentage composition of the sampled loads, but rather in trying to determine what the composition of the sampled loads tells us about the composition of all C&D waste generated in Mecklenburg County. A confidence interval is a statistical concept that attempts to indicate the likely range within which the true value lies. The confidence intervals reflect the upper and lower range within which the population mean can be expected to fall. Confidence intervals require the following "inputs": The "level of confidence", or how sure one wants to be that the interval being constructed will actually encompass the population mean; The sample mean, around which the confidence interval will be constructed; Mecklenburg County C&D Composition Study 3-3

190 3. RESULTS The sample standard deviation, which is used as a measure of the variability of the population from which the sample was obtained; and The number of sampling units that comprised the sample (a.k.a. sample size). Throughout this section, confidence intervals have been calculated at a 90 percent level of confidence, meaning that we can be 90 percent sure that the population mean falls within the upper and lower confidence intervals shown. (The converse is also true: that there is a 10 percent chance that the population mean falls outside of the sample mean.) In general, as the number of samples increases, the width of the confidence intervals decreases, although the more variable the underlying waste stream composition, the less noticeable the improvement for adding incremental samples. RESULTS Figure 3-1 presents a graphical breakdown of the major material categories of Mecklenburg County C&D waste being disposed at local landfills. As shown in the Figure, Wood and Inert materials each comprise almost one-third of disposed C&D, with Other C&D Materials contributing another 20 percent of the overall waste. Figure 3-1 Mecklenburg-Generated C&D Waste Disposed (annual tons) 3-4 Mecklenburg County C&D Composition Study