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Los Banos council opts for ‘clean closure’ of Las Palmas landfill and seeks financing plan
Summary
After hearing cost comparisons, the City Council directed staff to pursue a clean closure for the Las Palmas solid-waste disposal site; staff presented a clean-closure cost estimate of about $16.8 million vs. a cap option of about $6.75 million plus long-term monitoring costs, and recommended private financing repaid from the solid waste fund.
The Los Banos City Council on July 16 directed staff to pursue a clean closure of the Las Palmas solid waste disposal site and asked staff to return with financing details.Staff presented two closure options for the city-owned parcel east of the Ag Sports Complex: a cap (prescriptive cover) option that leaves waste in place and installs a permanent cover and monitoring, and a clean-closure option that removes landfill material and allows wider future site uses.
Why it matters: The site contains historic disposal material and is subject to state closure requirements. The choice affects upfront costs, long-term monitoring obligations and future land use for roughly 11.6 acres that were used for waste disposal.
Staff and consultant summaries: City staff and consultant Sarah Stevenson explained that a cap would cost an estimated $6,750,000 up front, with state-required post-closure monitoring estimated at roughly $90,000 per year (about $2.7 million over 30 years). By contrast, staff estimated the clean-closure option at about $16,820,000; proponents said that removal would reduce long-term environmental liability and enable site redevelopment or sale. Acting city and regional landfill representatives noted uncertainties such as potential additional contaminated material found during excavation and the need to coordinate hauling with the Billy Wright facility.
Regional Waste Authority Director James Moore, who has overseen similar clean-closure efforts in the region, told the council that excavations often proceed without discovery of widespread unexpected hazardous materials, but cautioned that hauling logistics and timing could affect contract schedules. Moore also warned that thirty years of post-closure monitoring under a cap is a regulatory minimum and not a guaranteed end to monitoring obligations.
Financing considerations: Staff proposed using solid waste fund reserves and a private loan repaid from the solid waste fund (an enterprise rate-funded account). The solid waste fund held roughly $10.07 million in reserves; staff estimated the clean-closure option would require financing beyond that reserve and presented a 20-year loan example with an annual payment of about $538,844. Staff also noted the possibility of offsetting some costs with the sale of non-contaminated acreage, subject to completing closure work.
Council action and next steps: After questions from council about haul routes, monitoring obligations and potential saleable acreage, Councilmember moved and seconded a motion directing staff to pursue clean closure and bring back detailed financing and implementation steps. The motion passed by voice vote.
Ending: With council direction to pursue clean closure, staff will proceed with coordination with state regulators, the Regional Waste Authority (for hauling and tipping logistics) and return with formal financing proposals and an implementation timeline.
