EGLE officials outline materials management programs, warn of funding risks for hazardous-waste oversight

LANSING — Acting Materials Management Division Director Tracy Cascametti and Michigan Department of Environment, Great Lakes, and Energy (EGLE) Deputy Director Travis Bosco briefed the House Appropriations Subcommittee on Environment, Great Lakes, and Energy on the division’s programs and financing, saying the agency faces budget pressure that could affect hazardous-waste oversight.

Cascametti said the division manages three “buckets” of work: regulatory waste-management programs (hazardous and solid waste, and newly-regulated materials utilization facilities), sustainability programs (recycling, materials-management planning, pollution prevention and energy programs) and radiological protection (emergency preparedness, radiological materials and indoor radon). “The point of the hazardous-waste program is to not have contaminated sites in Michigan,” Cascametti said.

Why it matters: Cascametti and Bosco told the subcommittee that roughly half the division’s funding comes from fees and restricted funds that fluctuate with waste volumes, and another significant portion comes from federal grants. They warned that recent declines or proposed cuts in those revenue sources would strain staff capacity for inspections, permitting and monitoring that support public health and environmental compliance statewide.

Key facts and funding

- The Materials Management Division has 54 full-time employees, Cascametti said, with nearly half of staff having fewer than five years’ experience. - EGLE reported a FY25 budget of about $47 million and FY24 of about $42 million; about half of that is operating while much of the remainder is grant funding distributed to communities and businesses. - The hazardous-waste program is approximately a $7 million program with about 50 staff; Cascametti said fees fund roughly half the program and an EPA grant funds most of the rest. - About 20,000 facilities in Michigan generate hazardous waste; roughly 500 are large-quantity generators, about 2,000 are in the middle category and the remainder are very small generators, Cascametti said. - Michigan has 14 active hazardous-waste treatment, storage and disposal facilities; EGLE inspects those facilities at least quarterly and performs engineering, operational and environmental-monitoring reviews. - EGLE said 67 solid-waste landfills operated in Michigan; last year about 24 million tons of solid waste were landfilled in the state and roughly 20% of that tonnage came from out of state.

Program priorities and proposals

Cascametti described recent statutory changes and program shifts: Part 115 amendments enacted in 2022 created a regulatory framework for materials utilization (recycling and composting) and required counties to prepare materials-management plans. Counties receive $60,000 per year plus population and collaboration adjustments, and those planning funds can be used for implementation.

EGLE reported statewide curbside recycling at about 25% in 2024 with a goal of 30% by 2029. The department manages a Next Cycle Michigan program that provides about $2 million in support for recycled-material markets. Cascametti said pollution-prevention work has a new emphasis on food-waste reduction, with a statewide objective to reduce food waste by 50% and local pilots (Southfield was cited as a municipal pilot toward “zero food waste”).

On radiological issues, Cascametti said EGLE’s radiological staff handle emergency-preparedness coordination with the Nuclear Regulatory Commission (NRC), FEMA and the Department of Energy around the state’s nuclear plants, environmental baseline monitoring, and management of so-called TENORM (technologically enhanced naturally occurring radioactive material). Cascametti described a radon outreach program funded by an EPA grant and a small pilot — $50,000 in the Western Upper Peninsula — to assist low-income households with radon-mitigation systems that cost roughly $2,000 per home.

Funding risk and fee proposals

Both Cascametti and Bosco told the committee the hazardous-waste program’s funding is at risk if federal categorical grants are reduced and fee revenue continues to fall. “If the EPA grant does not come through next year — about $2.5 million a year — we won’t be able to make payroll,” Bosco said, explaining the grant/fee mix that supports about 50 program staff. Cascametti said user fees tied to waste volumes have dropped as volumes fall; the division proposed raising user fees, including a structure that would generate roughly $5 million in additional revenue and add staff to carry out increased inspections and site work.

Committee members asked about a separate revenue source tied to the bottle-deposit law. Cascametti explained that a voter-initiated law directs 75% of unclaimed deposits to EGLE. Of that 75%, 80% goes to the Clean-up and Redevelopment Fund (used for contaminated-site cleanups), 10% to a Community Pollution Prevention Fund (statute currently allows spending only of interest earned) and 10% to a Clean-up and Redevelopment Trust Fund that the agency cannot touch until it reaches a $200 million statutory balance. Cascametti said the unclaimed deposits have materially expanded contaminated-site funding, citing “over $300 million” allocated for contaminated-site work across the state.

Other programs highlighted

Bosco and Cascametti noted the Renewables Ready Communities program (federal grant funding reported at about $129.9 million) and said the Senate supplemental appropriations make related funds available to communities for non-regulatory resilience and public-safety projects (fire trucks, road paving, building rehabilitation) if the Legislature releases appropriations. They also said one-time federal funds have supported the Michigan Home Energy Rebate Program and other energy-efficiency initiatives; the executive budget proposed two FTEs to help manage energy-program workloads that will continue after initial grants end.

Questions from lawmakers

Representatives questioned the department about the bottle-deposit “Take Them Back” campaign, its $1 million spend and why redemption rates declined after COVID-era highs; Cascametti said the campaign was a legislatively directed expenditure and said multiple factors — changing consumer behavior, increased at-home recycling convenience, and pandemic effects — likely contributed to lower redemption rates. Committee members also asked about how increases in tipping fees might affect out-of-state tonnage; Cascametti said about 20% of Michigan’s landfill tonnage is from out of state and that the economic effect of higher fees would depend on transportation and market factors.

What the subcommittee heard: discussion, not a vote

Committee members asked for quarterly legislative reports on how contaminated-site funds are spent; Cascametti said EGLE already provides a legislative report and offered to share it with the committee. The meeting recorded no formal motions or votes on budget language or fee changes; committee members were informed of executive and legislative budget proposals and of EGLE program activity and needs.

Ending note

Cascametti and Bosco concluded by urging continued attention to program funding and staff capacity for inspections, permitting and technical assistance. “A big landfill requires a certain amount of oversight whether or not waste volumes fluctuate,” Cascametti said, summarizing the budget pressure that underpins the division’s fee proposals and staffing requests.