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Dallas businesses may face $19 million in higher costs

Businesses throughout Dallas should be prepared to fork over an additional $19 million per year if the City of Dallas flow control program is ever put into effect. The figure comes from the National Solid Wastes Management Association (NSWMA) whose members collect and dispose of 77 percent of the commercial waste in the city.

“Flow control will impact every city council district,” said Tom Brown, Texas NSWMA president. “While flow control would certainly have a negative impact on District 8 it will make the entire city less competitive because it will cost more to do business throughout Dallas.”

  • Flow control will net only $6,594,000 per year in income to the city at a cost of $19,500,000 to area businesses. It will cost businesses almost $3 for each $1 the city receives from flow control.
  • Businesses in Southern Dallas are closer to the McCommas Bluff landfill but currently have access to less expensive alternatives. Disposal cost for wastes generated in Southern Dallas would increase by 29.4 percent under flow control.
  • Costs for the 16,800 Dallas customers will increase by 20 percent due to higher disposal fees, transportation, labor and capital costs.
  • Flow control will reduce competition from smaller waste haulers who will not be able to afford the high cost of additional trucks and other equipment needed because of the inefficiencies imposed by flow control.

“The additional costs of flow control for a local minority owned waste hauler are dramatic,” said Brown. “The company would have to invest more than $1.2 million in new equipment and would see the cost of running a typical route increase by $50,000 per year.”

The McCommas Bluff landfill has been described as a vault holding valuable materials that can be mined for later use in waste to energy or recycling projects. Landfill mining involves any number of complex issues including costs, environmental impact and demand for recyclables. Flow control will immediately increase costs to Dallas businesses. Landfill mining, if it ever becomes economically feasible, is decades away from implementation.

Dallas can move forward now, without flow control, on a wide variety of green initiatives at McCommas Bluff that will generate economic activity in Southern Dallas.