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Senate approves amended hazardous-waste trust and fee changes after floor debate

Utah State Senate · February 28, 2001
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Summary

The Utah Senate passed a second substitute to House Bill 370 on Feb. 28, 2001, approving a phased fee structure and creation of a perpetual-care trust for a hazardous-waste facility after prolonged debate over fee levels, long-term stewardship and fiscal impacts. The measure goes back to the House for further action.

SALT LAKE CITY — The Utah Senate on Feb. 28 approved a second substitute to House Bill 370, a measure revising how a proposed hazardous-waste facility would fund long-term maintenance and closure costs, after an extended floor debate about fees and fiscal responsibility.

The bill establishes a trust intended to accumulate funds during the facility's operating life — described in committee and on the floor as about 30 years — to finance closure and perpetual maintenance thereafter. Sponsor Senator Hickman said the structure calls for the operator to build a fund during the active life of the plant so the state will not bear unanticipated costs later.

"During that 30-year period, we are attempting to build up a perpetual care fund that will take care of it after the state gets takes ownership," Hickman said during floor discussion, explaining the 30-year operating timeline and a subsequent 100-year owner responsibility period before state ownership.

Debate focused on how much the fee would raise and where the money would be directed. Senator Allen pressed the sponsor on projected revenues and on how much money would be needed to protect the site when operations cease: "How much money is this bill going to raise?" he asked, pressing for fiscal clarity. The sponsor said a definitive dollar figure required the updated fiscal note.

Senators also argued over the per-unit fee for incoming waste. The floor considered a range of fee levels discussed earlier in committee and on the floor (the original bill text had varied between higher amounts and a proposed 10 cents per cubic foot). After amendments and a series of votes, the chamber adopted changes that reduced a previously proposed $2-per-cubic-foot amount down to the original 10 cents per cubic foot for most calculations and adjusted the portion that flows into the perpetual-care fund.

Senator Allen and others said they were concerned the lower fee might not produce sufficient funds for closure and long-term maintenance, while supporters emphasized the bill's pragmatic, stepwise approach and the inclusion of ongoing oversight. The adopted floor action included an amendment to revert the fee to 10 cents per cubic foot and changes to the allocation into the perpetual-care trust.

A roll-call tally reported by the clerk showed the second substitute passed by the narrow margin of 15 yeas to 14 nays; the substitute will be transmitted back to the House for further action.

What happens next: The House will receive the amended substitute for concurrence or further action. Lawmakers and staff requested updated fiscal notes to identify the likely revenue stream and whether the trust will reach targeted balances during the facility's operating life.