HD13 - A Fee Recovery System for the Hazardous Waste Management Program

  • Published: 1983
  • Author: Commissioner of Health
  • Enabling Authority: Chapter 684 (Regular Session, 1982)

Executive Summary:
The study, mandated by the General Assembly as part of its consideration of Item 422 in the budget bill for FY's 83 and 84, provides an overall review of experience in other states in application of fees to hazardous waste programs. Increased resource requirements are identified for the hazardous waste management program to undertake a full permitting program, facility inspection with a 1-4 year frequency, emergency response and program administration. Current staffing, responsibilities and program tasks are reviewed.

Issues that have been identified with regards to fee systems are the impact on enforcement, equity of fee distribution, setting fees by level of service, full vs. partial funding, declining federal program fundi ng, and inaccuracy of revenue projections because of waste projection errors. All of these considerations are used in the evaluation of fees and will be essential modifiers in the final rate setting for any fee system authorized. The fees proposed would be for permitting, monitoring and surveillance and hazardous waste response.

The report concludes that a fee system for funding a portion of the hazardous waste management program is possible and can be implemented by July 1, 1984, that legislative authority is required, and that additional general fund appropriations are required for FY 1983-84 with increased full time employee requirements of 10 positions in FY 1983-84 and 6 positions in FY 1984-85.

The report proposes an implementation schedule, with the initial fee collections scheduled for July 1984, a report to the 1985 General Assembly and annual review of fee schedules in April-May, 1985 and every year thereafter.

The report recommends:

• Amendment to Title 32.1, Section 32.1-178 authorizing the Board of Health to assess fees on generators, transporters and treatment/storage/disposal facility operators for the financing of the hazardous waste management program.

• Continued general fund appropriation.

• Authorization of 10 positions for the permitting program with funding from the general fund, the special fund based on fee collections and EPA federal funds appropriated for future years.

• Board of Health adoption of regulations and fee schedule to be effective by July 1984.

• Increased general fund authorization of $221,700 for FY 1983-84 to initiate and fund the permitting program to allow for implementation of a fee system in the FY 1984-85.

• Implementation of funding for the hazardous waste management program by the funding alternative of general fund appropriations and special fees with EPA matching grants.