Waste Industry Applauds Arizona Legislation that Promotes Fair Competition Between Municipal and Private Waste and Recycling Services
WASHINGTON, April 3, 2015 /3BL Media/ — The National Waste & Recycling Association (NWRA) applauded Wednesday’s signing of SB1187 by Arizona Governor Doug Ducey, legislation that will expand laws requiring fair competition between municipalities and private waste and recycling companies in the state. The Arizona chapter of NWRA led efforts to adopt this legislation working closely with state legislators, member companies and communities to further level the playing field for all waste and recycling service providers in Arizona.
In 2000, the chapter succeeded in passing legislation that requires municipalities, when collecting waste outside their jurisdiction, to pay a fee on those revenues comparable with taxes that private companies are forced to pay. SB1187, the legislation signed into law on Wednesday, built upon the success of the 2000 law to expand payment in-lieu of taxes requirements to post-collection activities. Post collection includes material recycling facilities, transfer stations and landfills.
“This bill will now fully assure a level playing field when public sector operators chose to compete outside their political jurisdiction with the private sector,” said Chris Coyle, Chair of the Arizona Chapter.
Now covering all post-collection activity, the new law calls for any city or town that provides waste or garbage collection services outside of its boundaries to “make an in-lieu contribution to all state, city, town, county and other taxing districts equal to the taxes that would be required of private garbage collection and disposal companies performing the same service.” This contribution would include not only the value of taxes for land and equipment dedicated to providing services outside of its boundaries and for any net income generated from providing services outside its boundaries, but also requires that the municipality make an in-lieu contribution to the recycling fund equal to the federal taxes that would be required of private companies that deliver the same services.
“We are very pleased that Governor Ducey and the Arizona legislature closed the loop, putting an end to unfair business advantages that municipalities previously had over private entities that delivered the same valuable and important services to Arizona households every day,” said Sharon H. Kneiss, President & CEO, NWRA. “Our member companies employ thousands of Arizona residents providing them with meaningful and well-compensated opportunities to serve their communities. This legislation builds upon our chapters successful efforts in the year 2000 and now truly allows our members to further grow, work and contribute. We look forward to more states learning from this great victory in Arizona and doing their part for all players in our industry to succeed.”
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The National Waste & Recycling Association is the trade association that represents the private sector waste and recycling services industry. Association members conduct business in all 50 states and include companies that collect and manage garbage, recycling and medical waste, equipment manufacturers and distributors and a variety of other service providers. For more information about NW&RA, visit www.wasterecycling.org.