Wicomico County work session backs plan to raise landfill tipping fee in stages, outlines steps to fund Cell 7

Wicomico County officials at a May 22 work session directed staff to prepare a resolution to raise the county landfill tipping fee to $84 per ton effective July 1 and to $88 per ton on Jan. 1, 2026, and outlined steps to fund design and construction for a new cell (Cell 7).

County finance staff, landfill managers and council members spent the bulk of the meeting evaluating landfill operations, projected revenues and a shortfall of disposal capacity. County staff said continuing current rates would produce an operating loss; raising the fee to $84 in July and then to $88 in January would produce an estimated modest net profit of about $170,000 under the assumptions presented to council, while a single increase to $88 in January was modeled to produce a projected loss of approximately $276,000 for the next fiscal year.

The county’s environmental services director described plans to pursue design and state funding for a pump-station project to discharge landfill leachate into the Salisbury sewer system and called for forward-funding engineering fees that must be paid before state reimbursements are available. Staff said the FY26 budget includes a forward-funded design and permitting budget of $850,000 for the multi-year West Side Regional/Parsonsburg-Pittsville sanitary projects and small sewer extension work, with ongoing annual CIP amounts reduced after the design phase.

Why it matters: the county is operating near capacity. Staff reported current estimates that, at current disposal volumes, available landfill capacity could be exhausted in March or April next year and that the new cell will not be open until August. Without additional space, county officials warned of constrained operations and higher costs if trash must be transferred out of county.

Most of the work-session discussion centered on three topics: (1) near-term revenue policy to reduce incoming volume and build capital for Cell 7, (2) capital and operating costs tied to construction of Cell 7 and adjacent cells, and (3) operational changes and contingency options to reduce flow into the Wicomico facility.

Key details and staff direction

- Tipping-fee schedule: Staff recommended and council asked staff to prepare a resolution to adopt $84 per ton starting July 1, 2025, and $88 per ton on Jan. 1, 2026, to begin rebuilding a small operating margin and fund capital costs tied to Cell 7 design and construction.

- Capacity and schedule: Staff said current forecasts show the landfill could run out of permitted disposal space in March–April 2026 if volumes continue at recent rates; construction of Cell 7 is expected to be complete in August 2026 on the current schedule, leaving a risk window. That schedule depends on permitting and weather.

- Funding and grants: County staff explained that engineering and permitting (design phase) must be forward-funded even when construction is expected to be supported by state grants and loans such as the State Revolving Fund (SRF) and Bay Restoration Fund reimbursements. Staff also noted they are exploring congressional direct spending (earmarks) as a possible funding source but cautioned award timing and availability are uncertain.

- Operational and capital needs: The landfill budget request includes: additional consultants and PFAS-related testing requirements (consultant budget rising from $200,000 to $400,000), a diesel fuel tank to allow purchase of dyed off-road diesel, a new tarpomatic to reduce daily soil cover use, and replacement/maintenance of compactors. Staff said the current tarpomatic may soon fail and that increasing use of alternative cover (tarp) preserves disposal space.

- Demand management options: Staff and council discussed deterrent strategies to reduce out-of-county loads, including staged fee increases to encourage haulers to use home-county landfills, differential credits for waste demonstrably generated inside Wicomico County, scheduling constraints (restricted hauler days), and possible GPS-based enforcement or voucher/credit programs. Legal counsel and staff said the county’s code currently does not prohibit acceptance of out-of-county waste and any geographic restrictions would require legal review.

- Contingency planning: Council and staff discussed short-term operational options if space becomes critical, such as restricting commercial dumping, limiting convenience-center access, or scheduling hauler access. Staff warned these are worst-case options and emphasized the county does not want to stop accepting household waste.

- Cost/benefit for haulers: Staff described how commercial haulers operate on fixed-route economics; small per-ton changes at Wicomico’s gate sometimes do not change routes, but larger increases (e.g., $88 vs. $80) are more likely to cause haulers to alter routes and destinations. Staff and council noted neighboring counties’ rates (Worcester County at $80 per ton, Dorchester cited at ~$82.83) when weighing deterrence vs. fairness to local contractors.

Quotes

"At $84 then $88 we are going to make a tiny profit of about a hundred and $70,000," Pamela Olin, finance director, said when describing staff modeling of phased increases. "If we do $88 in January just on a financial basis means that we're going to lose ... $276,000 for next fiscal year."

"We are talking about the SRF application processes, the consulting, the design work, and all that before you get to construction," Adam Corey, executive director of environmental services, said of the Parsonsburg/Pittsville/West Side regional projects.

Follow-up actions and council direction

- Staff was directed to prepare a resolution to set the tipping fee at $84 (July 1, 2025) and $88 (Jan. 1, 2026) and to prepare any required budget impact documentation so the council can consider the formal action at a legislative session.

- Staff was directed to continue pursuing SRF and Bay Restoration Fund reimbursement, explore congressional direct-spending opportunities, and identify any forward-funding needs that must be covered in FY26.

- Staff was asked to return with additional detail on proposed credits/administrative mechanisms (for example, credits for waste demonstrably generated in Wicomico County), contingency plans for near-term capacity shortages, and vendor/hauler engagement options.

Community and fiscal impacts

- Impact groups: commercial haulers, municipal collection contracts, residents who pay waste collection fees, and surrounding counties’ landfills.

- Budgetary note: Staff estimated the phased increase to produce a small operating margin; precise impacts depend on haul volumes, hauler behavior, and whether contingency measures are enacted.

- Implementation risk: High if Cell 7 permitting or construction is delayed; near-term capacity limits create immediate operational risk.

Provenance

- topicintro: excerpt beginning when landfill tipping-fee and solid waste finances are first discussed (transcript time ~1236.47): "And $88 in January just on a financial basis means that we're gonna lose..." - topfinish: final related remarks and direction to prepare a resolution (transcript time ~3973.915): "80 4 80 8 is what I will prepare it at at the moment. Yeah."