Mack Trucks offers financing options to waste market - Waste Today

2022-09-02 19:08:38 By : Mr. Iris Sun

Company’s COVID-19-related programs include “Trash into Cash” finance option for waste and recycling haulers.

Greensboro, North Carolina-based Mack Financial Services (MFS) is offering several what it calls “enhanced and unique” finance programs designed to help its customers during the COVID-19 coronavirus situation. One of the four new programs is targeted specifically toward the waste and recycling hauling sector.

The Trash into Cash Finance Program is for customers in the refuse segment who want to purchase a Mack LR or TerraPro model, says MFS. Qualified buyers will have 90 days to make the first payment and will receive chassis, engine and exhaust aftertreatment systems (EATS) coverage, plus what Mack calls competitive finance rates and flexible payment options.

“We’ve always recognized how vital trucking is to society, but it’s never been as evident to the general population as it is now,” says Tom Guse, president of MFS in the U.S. “It’s critical that deliveries are made and construction projects continue, so Mack Financial Services developed these enhanced finance programs to help our customers with their operations during the current situation.”

MFS is offering three more finance programs, each of which extends the first payment date for qualified buyers. In addition to the LR and TerraPro models, programs are for model year 2020 and 2019 Mack Anthem, Pinnacle and Granite trucks. The other three programs are:

“Mack appreciates what our customers are doing on a daily basis to keep our stores stocked and our construction projects moving,” says Jonathan Randall, Mack Trucks senior vice president of North American sales and marketing. “These programs will help customers manage cash flow and keep up with the current delivery demands.”

Wheelabrator, NWRA initially filed lawsuit against the city for the Baltimore Clean Air Act.

The U.S. District Court for the District of Maryland struck down the Baltimore Clean Air Act on March 27, and the court ruled that the requirements in the ordinance conflicted with existing federal and state laws and regulations. 

According to a news release from Arlington, Virginia-based National Waste & Recycling Association (NWRA), Wheelabrator Baltimore L.P., a waste-to-energy facility located in Baltimore, and Curtis Bay Energy L.P., a medical waste incinerator in Maryland, brought this action along with the NWRA as well as the Energy Recovery Council, Washington, and TMS Hauling LLC, Baltimore, to invalidate Baltimore’s attempt to force the closure of the Wheelabrator and Curtis Bay facilities through the imposition of extraordinary emission limits and operational requirements that Baltimore had no power to impose. The initial lawsuit was filed in May 2019.

“NWRA is pleased with the court’s decision. We agree with Judge [George] Russell’s view that state and federal regulations already in place protect the public’s health and that allowing the Baltimore City Council to replace those state and federal regulations with its own ordinance is not in alignment with spirit of those existing state and federal regulations,” says NWRA President and CEO Darrell Smith. 

“We thank Judge Russell for issuing his ruling on the key preemption issues in an expeditious manner given the September 2020 deadlines for implementation of the Baltimore Clean Air Act that would have forced the closure, at least temporarily, of the Wheelabrator Baltimore facility,” says Jim Riley, NWRA’s chief counsel and senior vice president for government affairs. “Baltimore’s attempt to do this disregarded nearly 50 years of federal and state primacy in directing a uniform system to regulate air pollution and imposed unprecedented emission limits that lacked scientific, technical or factual bases.” 

The emission limits and other requirements of the Baltimore ordinance directly conflicted with the emission limits and provisions in the Federal Clean Air Act, EPA’s regulations and the Title V operating permits granted to Wheelabrator and Curtis Bay, NWRA reports. Additionally, the ordinance criminalized conduct allowed under federal law and, as the ordinance’s sponsor admitted, was passed with the intent to shut down these facilities under the guise of regulation.

The facility would serve Colorado’s Western Slope.

Nonprofit research institute Sustainable Development Strategies Group (SDSG ), Gunnison, Colorado, is seeking support to conduct a feasibility study for a plastics processing and manufacturing facility in Colorado’s Western Slope region. The facility would buy recovered plastics from local recycling programs across the Western Slope.

The study design includes discussing the state of the plastics market with people working in the plastics industry, reviewing waste publications and meeting with regional economic development offices. Economic development officers agree it would be a great loss not to salvage rural recycling programs and the latent value of these materials, SDSG says.

Elyse Ackerman-Casselberry, community and economic development director for Colorado’s Delta County, says, “Although recycling has always been a struggle in our area, people are motivated to recycle, and there is a lot of potential for these materials. We have discussed the issue in depth with commissioners and in a working group and would like to hear more from prospective entrepreneurs and industry.”

Certain communities on the Western Slope have been designated as Opportunity Zones. This qualifies enterprises locating there for certain kinds of federal tax incentives. Some of these Opportunity Zones are in need of more industrial traffic on their rail lines to justify the line maintenance. Delta County features Opportunity Zones and is on a rail line.

SDSG says the confluence of these economically transitioning communities that are in need of employment and with recycling programs that are increasingly challenged economically with emerging plastics technologies creates the space for a plastics manufacturer seeking an opportune location.

The Eco-Cycle and Colorado Public Interest Research Group Foundation’s 2019 report, “The State of Recycling in Colorado,” highlights the need for more local markets for remanufacturing to make recycling in Colorado environmentally and economically efficient. This report explains how recycling businesses are poised for growth in Colorado with support from NextCycle, a business incubator designed to “improve the end markets for recovered commodities and organic materials in Colorado,” and the Recycling Resources Economic Opportunity grants program from the Colorado Department of Public Health and Environment. These programs are outgrowths of Colorado’s solid waste diversion goals and the work of the state legislature’s Zero Waste Interim Committee.

Michelle Haynes, executive director for Region 10, a community development nonprofit located on the Western Slope, says, “Region 10 has heard from several of our communities regarding the challenges for recycling, particularly related to transportation.  A regional facility would provide the means to improve recycling programs as well as create additional jobs and economic impact for the region.”

Spurred to foster economic development in recycling, different communities in Colorado are making headway on convenient curbside recycling, minimizing contamination and passing legislation for increased tipping fees for Front Range communities. The Front Range is more urban, much of it neighboring Denver, where remanufacturing industries make their homes in Colorado. However, the Western Slope, with a capable workforce, viable tax incentives and receptive local governments is fertile ground for the advent of a new plastics processing and remanufacturing enterprise, SDSG says.

How the waste management industry has reacted to the COVID-19 pandemic in the U.S.

The first case of the COVID-19 virus in the U.S. was diagnosed on Jan. 20. By March 26, the United States became the epicenter of the pandemic as domestic cases surpassed those in China and Italy for the first time. In the process, the steady uptick of domestic infections set in motion the nationwide closure of countless businesses and schools, cancelation of travel, and shelter in place orders.

As life has abruptly been put on hold for many Americans, waste and environmental services professionals have been called on to help deal with shifting solid waste collection demands,  suddenly unpredictable volumes and the emergency need for decontamination services.

Selin Hoboy, vice president of government affairs and compliance at Bannockburn, Illinois-based Stericycle, says that the virus has altered the makeup of its incoming medical waste stream. Although the company is seeing some higher volumes from hospitals combating the disease, the delay in elective procedures and enforcement of stay-and-home ordinances has helped balance out the overall demand.

“We’re seeing some increase in medical waste produced due to heightened use of personal protective equipment (PPE) in diagnosing and treating COVID-19 patients, and some non-traditional waste is also sometimes being managed as regulated medical waste,” Hoboy says. “However, increases in waste from COVID-19 may be offset by continued declines of elective surgeries or temporary closures of smaller healthcare practices. The impact of the pandemic is changing day to day and hour to hour, and we are closely monitoring the situation with federal, state and local agencies to determine next steps.”

Hoboy says that medical waste from COVID-19 patients and workers is managed as Category B waste. This means that once it is discarded, it is to be treated as normal regulated medical waste that is subject to the same treatment and disposal guidelines as most other potentially infectious medical waste.

Although the waste is treated the same and rendered innocuous through standard medical waste treatment methods, Hoboy says that the company has changed its protocols for hospital waste collections to minimize the risk of workers coming into contact with patients who are potentially infected.

“We have updated protocols and procedures for in-hospital services. For example, Stericycle service technicians will not be entering any patient isolation rooms regardless of isolation room signage, and technicians will be checking in at nurses’ stations to ask about any rooms they should not be entering,” Hoboy says. “Additionally, our team members are authorized to deny pickup of non-conforming waste from our customers who are not following our waste acceptance protocols or packaging guidelines.”

Hoboy says because of the rapidly changing nature of the virus, forecasting labor requirements is challenging, but that the company is able to add additional shifts for its workers and expand capacity if necessary.

Bob Cappadona, president and COO of Boston-based Veolia North America, says that the demand for the company’s services relative to COVID-19 has varied depending on the client. 

“The core of our work [relating to COVID-19] has been at organizations that are involved in research,” he says. “A very significant group of customers for us is the pharmaceutical and biotechnology sector … and in some cases, we’re working at some of the key companies that are doing COVID-19 research. [And these customers] are looking for additional manpower support from us. They’re extremely busy with the research work that they’re doing in pursuit of therapies and cures. So, as we’ve reached out to our customers, they’ve wanted assurances that we’re going to be there for them, and we’ve signed a lot of emergency response-type agreements and support agreements for these companies.”

Conversely, due to the number of businesses being suddenly shut down across the country, Cappadona says some of Veolia’s smaller medical service clients have seen volumes decline.

“If you’re looking at the total spectrum of those who generate waste and ship it to us, half of them are very busy and half of them are closed. Many of the medical waste customers that ship into our facilities will be a family physician, a dentist or various types of clinics. And many of these facilities have closed or slowed considerably, so our level of activity with this group may be down. And then in some of the larger facilities, we may see slight volume increases, but at this point we haven’t seen anything dramatic,” Cappadona says.

As evidenced by the increased demand for cleaning products and the shortage of available hand sanitizers at retailers from coast to coast, sanitation and decontamination are top of mind for many Americans. This is especially true for locations and businesses that have, or suspect to have, come into contact with those carrying the virus.

Currently, Cappadona says Veolia is providing industrial decontamination services mostly for its core clients, but is able to heed the call to serve a larger demographic through its nationwide emergency response group should the need arise.

US Ecology CEO Jeff Feeler says that his company has seen a 500 percent increase in demand for its decontamination services over the latter half of March due to COVID-19 concerns.

“We are currently providing decontamination services for a wide variety of public and private sector customers across the U.S., including retailers and pharmacies, cruise lines, airlines, schools, large industry, building services companies, government agencies and utilities,” Feeler says. “This service includes decontamination of sites that have had direct or potential exposure to the virus, or proactive preventative cleaning of high-traffic areas or frequently touched surfaces.”

Feeler says the Boise, Idaho-based company’s decontamination and preventative cleaning services include: wipe downs of horizontal surfaces and high-traffic/touchpoint areas; the use of portable fogger machines filled with decontamination solution for smaller areas; the use of a portable hydrogen peroxide disinfectant system for larger areas; and proper consolidation, transportation and disposal of all waste including used PPE.

While Feeler says the company’s estimated response times vary depending on several factors including volume of incoming calls, the company’s average response from receipt of initial calls to personnel arriving on-site has historically averaged from two to three hours. Even as demand increases along with the number of COVID-19 cases, Feeler says his team is prepared to meet the demand for its services.

“As the virus continues to spread and more businesses are facing the realities of long-term operational restrictions from local, state and federal regulators, they realize they must have a plan in place to safely resume day-to-day operations. … Our operations are staffed and equipped to handle multiple large-scale responses simultaneously.  We have provided response services for nearly every major natural disaster and viral outbreak over the last two decades and are doing the same for COVID-19,” Feeler says.

Waste management companies both big and small are working to adjust to shifting customer needs. If they haven’t experienced it already, many are anticipating the potential for significant shakeups in the form of increased residential waste volumes as more Americans are forced to stay in and work from home, a drop off in commercial and C&D volume amid massive businesses closures, and changes in medical waste volumes.

Stifel, St. Louis, released an industry update March 22 titled, “Solid Waste: Revising Models for C-19, Volume Down, Price Durable, Deal Flow Slows, FCF Stands Out.” In the update, the investment banking firm outlines the projected impact of the COVID-19 pandemic on solid waste industry participants.

“What public/private company avoids any sales pressure due to COVID-19? None,” the report states. “We believe the impact on solid waste will look like both 9/11 and the Great Recession. The former was a shock-and-awe [event], the consumer paused. The latter, the U.S./North American economies were over-levered, which it is not now, but wholesale business shutdowns had a volume impact. Today, solid waste has more control of cost/capital than ever before. Social distancing and big urban settings forcing closure of food, beverage, hospitality and entertainment leads to a big drop in collected volume and commercial customers asking for service on-hold/cancellations. We assume an annual 15 percent hit to volume of 10 percent for third-party commercial, C&D and special waste volume and 5 percent direct commercial collection sales cut in half for two months. Residential volumes will be up, and in many cases, contracts allow for charging for extra bin/bag pickups.”

A Republic Services spokesperson corroborated Stifel’s projections on anticipated escalations in residential volumes, stating that the Phoenix-based company is preparing for residential waste volumes to increase and is suspending bulk and yard waste pickup in some communities to be better prepared to service customers.

Janette Micelli, director of external affairs at Waste Management, says the Houston-based company has tried to take a proactive approach to adapt to changes in commercial volume.

“Customer needs are changing by the day—we’re all working diligently to right-size customers based on current volumes and provide them with the solutions they need to run their businesses,” Micelli says. “We are helping [some of] our customers reduce service appropriately, but also rapidly increase service for grocery stores, residential buildings and healthcare facilities. There’s no one-size-fits-all approach, so we are laser focused on meeting these evolving needs. … Our neighborhoods and businesses rely on us. Ultimately, our goal is to partner with our customers and do our part to provide some relief and help minimize the impact of the pandemic on their communities and businesses.”

While construction and demolition contractors have remained active in many parts of the country, slowdowns are expected to constrain C&D volumes in some areas, with some recyclers having already reported decreases in incoming volumes.

Despite the Centers for Disease Control and Prevention (CDC) and the World Health Organization (WHO) not calling for any additional steps in handling MSW or recycling during the outbreak, some municipalities and haulers have altered their services in accordance with the spread of the virus.

There have been numerous reports of suspended curbside and drop-off recycling programs for both safety and demand reasons. Some MRFs have also temporarily halted operations due to safety concerns.

Micelli says that Waste Management has used the emergence of the virus as an opportunity to remind its workers of safety best practices.

“We instruct all employees handling any waste or recycling to follow our safety procedures, including wearing proper gloves and eye protection,” she says. “We’ve also created new procedures at our facilities to ensure social distancing and the elimination of group meetings. Employees not required to be on-site are working from home. As leaders in our highly regulated industry, we follow strict policies and procedures every day when managing solid waste, including medical waste, to protect our employees, our customers and the communities we serve.”

Similarly, Cappadona says that while little has changed in how its workers manage waste, the company has reemphasized its established safety protocols with staff to make sure workers are observing proper due diligence on the job.

“You assume that you need to protect yourself from [the virus]. So, that means not opening containers; ensuring that you’ve got appropriate PPE on whether that’s gloves, coveralls or respirators; and observing other general practices that we have in place. … We do an awful lot of total waste management programs where we go to a customer and we manage their medical waste, hazardous waste, radioactive waste, etc., which means our employees need to have hazard awareness. And with hazard awareness comes universal precautions of just making sure that you’re doing what’s called a mental safety assessment, which is where two or three seconds before you do something, you assess what the potential risks are and ensure that you have all the protections in place to manage that risk.”

As you often see in times of crisis, the rise of COVID-19 cases in the U.S. hasn’t just brought challenges, it’s helped shine a light on those doing good within their companies and communities.

Waste Management CEO Jim Fish told the Wall Street Journal on March 22 that it would continue to pay workers for a 40-hour week regardless of whether services were cut or suspended, Republic Services says it is working to support local restaurants and thank its employees by providing meals to workers and their families from local establishments, and several companies such as Veolia are donating surgical masks to hospital workers in need.

Waste management and environmental services professionals don’t often get rewarded or recognized for the essential services they provide, but helping life go on as normal as possible for the communities in which they operate is something that merits attention. And even though the future might be clouded in uncertainty, organizations are working to maintain the status quo by showing up and coming together.

“This is something I don’t think any of us ever could have imagined,” Cappadona says. “So, [at Veolia] we’re trying to ensure that we’re helping people through the process of understanding what’s occurring and also providing a service that helps our customers as we all manage through this crisis together.”

The author is the editor of Waste Today and can be contacted at aredling@gie.net.

Late October event in Istanbul will address multiple waste and recycling topics.

The Organizing Committee of the 5th EurAsia Waste Management Symposium is seeking presenters and presentations for its event, which will take place Oct. 26-28 in Istanbul.

The symposium is being organized by the Environmental Engineering Department of Yildiz Technical University and waste management firm ISTAC Inc. in collaboration with Turkey’s Ministry of Environment and Urbanization and the Hamburg, Germany-based International Waste Working Group (IWWG).

“EurAsia Waste Management Symposium will provide the opportunity to discuss and evaluate the current and future regional waste management strategies and recycling projects face to face,” say the organizers.

Nearly three dozen topics have been identified that can be addressed in abstracts to be considered as presentations, including:

Abstracts should be submitted via an online submission system on or before April 17. The length of the abstract should not exceed 9,000 characters and should be in English, which is the official language of the symposium. More information on how to submit an abstract can be found at www.eurasiasymposium.com