S1500

SENATE, No. 1500

STATE OF NEW JERSEY

INTRODUCED SEPTEMBER 19, 1996

By Senator SCHLU TER

An Act concerning land-based sludge disposal facilities, and supplementing P.L.1970, c.39 (C.13:1E-1 et seq.).

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. As used in this act:

"Department" means the Department of Environmental Protection.

"Host county" means any county in which two or more nonpublic facilities for the land-based disposal or processing of sludge are located, and in which the nonpublic facilities are situated within one mile of each other and accept out-of-county sludge for disposal or processing.

"Host municipality" means any municipality in which two or more nonpublic facilities for the land-based disposal or processing of sludge are located, and in which the nonpublic facilities are situated within one mile of each other and accept out-of-county sludge for disposal or processing.

"Land-based disposal" means the application of wet or dry sludge that meets the land-based sludge management criteria on privately-owned lands permitted or approved by the department for such operations.

"Land-based sludge management criteria" means those standards established by the department in the Statewide Sludge Management Plan adopted pursuant to the "Solid Waste Management Act," P.L.1970, c.39 (C.13:1E-1 et seq.), or established pursuant to the Federal Water Pollution Control Act Amendments of 1972 (33 U.S.C. §1251 et seq.), or any regulations adopted pursuant thereto.

"Out-of-county sludge" means any sludge accepted for land-based disposal or processing which was generated outside the county in which a nonpublic facility for the land-based disposal or processing of sludge is located.

"Processing of sludge" means the use of sludge for the commercial production of energy, fertilizer or other useful materials, but shall not include the receipt, packaging or sale of sludge derived products.

"Sludge" or "sewage sludge" means the solid residue and associated liquid resulting from physical, chemical, or biological treatment of domestic or industrial wastewaters.

"Wastewater" means residential, commercial, industrial, or agricultural liquid waste, sewage, stormwater runoff, or any combination thereof, or other residue discharged to or collected by a sewerage system.

2. a. Commencing January 1, 1996 and each year thereafter, any municipality wherein two or more operational nonpublic facilities for the land-based disposal or processing of sludge approved by the department are located, which nonpublic facilities are situated within one mile of each other and accept out-of-county sludge for disposal or processing, shall be entitled to an annual economic benefit not less than the equivalent of $6.00 per dry ton of sludge for that portion of the total daily permitted capacity utilized for out-of-county sludge disposal or processing as determined by the department.

Every owner or operator of a nonpublic facility for the land-based disposal or processing of sludge shall annually pay to the host municipality the full amount due under this subsection and each host municipality is empowered to anticipate this amount for the purposes of preparing its annual budget. For the purposes of calculating the payments, the owner or operator of a nonpublic facility may, subject to the prior agreement of the governing body of the host municipality, provide the host municipality with any of the following benefits in consideration for the use of land within its municipal boundaries as the location of a nonpublic facility for the land-based disposal or processing of out-of-county sludge:

(1) The receipt of annual sums of money in lieu of taxes on the land used for the nonpublic facility;

(2) The exemption from all fees and charges for the land-based disposal or processing of sewage sludge generated within its boundaries;

(3) The receipt of a lump sum cash payment; or

(4) Any combination thereof.

b. In the event that land-based sludge disposal operations and sludge processing operations are conducted on the same site, the site shall be considered a single nonpublic facility for the purposes of the annual payments required pursuant to subsection a. of this section.

c. All moneys received by any host municipality pursuant to this section shall be appropriated and utilized for the following purposes: (1) Extra police, fire or environmental protection costs, whether for salaries, equipment, administrative expenses or enforcement purposes, which are necessitated by the operations of the nonpublic facility for the land-based disposal or processing of out-of-county sludge;

(2) Any local odor monitoring program costs incurred by the local board of health or the governing body of the host municipality, as the case may be, which are necessitated by the operations of the nonpublic facility for the land-based disposal or processing of out-of-county sludge;

(3) Road construction, repair or maintenance costs which are necessitated by the transportation of out-of-county sludge through the host municipality to the nonpublic facility for the land-based disposal or processing of out-of-county sludge; or

(4) Other municipal expenses directly or indirectly related to the environmental impact of the nonpublic facility for the land-based disposal or processing of out-of-county sludge on the host municipality the annual payments required pursuant to subsection a. of this section.

d. The Commissioner of Environmental Protection may, upon the petition of the owner or operator of a nonpublic facility for the land-based disposal or processing of out-of-county sludge or upon the commissioner's own motion, direct that the amount of the annual payments to be paid by that owner or operator pursuant to subsection a. of this section be reduced to a lower amount if, after affording the affected host municipality notice of the petition or the commissioner's intent to decrease the amount of the annual payments and an opportunity to be heard thereon, the commissioner finds that the number and frequency of certifiable odor complaints made by local residents to the county health department, or the local board of health, as the case may be, have decreased during the two most recent consecutive six-month periods.

e. Any action taken by the Commissioner of Environmental Protection pursuant to subsection d. of this section shall be considered to be final agency action thereon for the purposes of the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.), and shall be subject only to judicial review as provided in the Rules of Court.

3. a. Commencing January 1, 1996 and each year thereafter, any county wherein two or more operational nonpublic facilities for the land-based disposal or processing of sludge approved by the department are located, which nonpublic facilities are situated within one mile of each other and accept out-of-county sludge for disposal or processing, shall be entitled to an annual economic benefit not less than the equivalent of $2.00 per dry ton of sludge for that portion of the total daily permitted capacity utilized for out-of-county sludge disposal or processing as determined by the department in consideration for the use of county roads for the transportation of the out-of-county sludge.

Every owner or operator of a nonpublic facility for the land-based disposal or processing of sludge shall annually pay to the host county a lump sum cash payment for the full amount due under this subsection and each host county is empowered to anticipate this amount for the purposes of preparing its annual budget.

c. All moneys received by any host county pursuant to this section shall be appropriated and utilized for the following purposes:

(1) Road construction, repair or maintenance costs which are necessitated by the use of county roads for the transportation of out-of-county sludge to the nonpublic facility for the land-based disposal or processing of out-of-county sludge; or

(2) Other county expenses directly or indirectly related to the environmental impact of the nonpublic facility for the land-based disposal or processing of out-of-county sludge on the host county, including any odor monitoring program costs incurred by the county board of health.

4. This act shall take effect immediately.

STATEMENT

This bill provides that any municipality within which: (1) two or more operational nonpublic facilities for the land-based disposal or processing of sludge approved by the Department of Environmental Protection are located; (2) the facilities are situated within one mile of each other; and (3) the facilities accept sludge from out-of-county sources for disposal or processing, is entitled to an annual economic benefit not less than the equivalent of $6.00 per ton of sludge for that portion of the total daily permitted capacity utilized for out-of-county sludge disposal or processing.

All moneys received by any host municipality would be appropriated and utilized for the following purposes:

(1) Extra police, fire or environmental protection costs, whether for salaries, equipment, administrative expenses or enforcement purposes, which are necessitated by the operations of the nonpublic facility for the land-based disposal or processing of out-of-county sludge;

The bill also provides that the Commissioner of Environmental Protection may, upon the petition of the owner or operator of a nonpublic facility for the land-based disposal or processing of out-of-county sludge or upon the commissioner's own motion, direct that the amount of the annual payments to be paid by that owner or operator to a host municipality be reduced to a lower amount if, after affording the affected host municipality notice of the petition or the commissioner's intent to decrease the amount of the annual payments and an opportunity to be heard thereon, the commissioner finds that the number and frequency of certifiable odor complaints made by local residents to the county health department, or the local board of health, as the case may be, have decreased during the two most recent consecutive six-month periods.

The bill provides further that any county within which: (1) two or more operational nonpublic facilities for the land-based disposal or processing of sludge approved by the Department of Environmental Protection are located; (2) the facilities are situated within one mile of each other; and (3) the facilities accept sludge from out-of-county sources for disposal or processing, is entitled to an annual economic benefit not less than the equivalent of $2.00 per ton of sludge for that portion of the total daily permitted capacity utilized for out-of-county sludge disposal or processing.

All moneys received by any host county would be appropriated and utilized for the following purposes:

The bill provides that if land-based sludge disposal operations and sludge processing operations are conducted on the same site, that site would be considered a single facility for the purposes of the annual economic benefit payments required under the bill.

The safe land-based disposal or processing of sewage sludge has become a crucial aspect of the State's sludge management and environmental policies. State law mandating the termination of ocean sludge disposal after March 17, 1991 has necessitated the establishment of land-based disposal and processing practices and has created enormous pressures for the rapid development of land application technologies and the siting of requisite regional sludge disposal or processing facilities. The ability to implement land-based sludge management technologies depends on the availability of sites at which these regional facilities may be located. Annual economic benefits to host municipalities and counties are intended to provide the impetus needed to convince municipalities and counties to support the location of needed regional sludge disposal or processing facilities within their respective jurisdictions.

Provides annual economic benefit to municipalities and counties wherein certain nonpublic sludge disposal or processing facilities are located.