C&D Recycler Challenges Franchise Law

C&D Recycler Challenges Franchise Law

A C&D debris recycling company is challenging a California community’s franchise hauling law that restricts the flow of construction and demolition debris to recyclers.

Chip It Recycling Inc., an Oakley, Calif.-based recycler of construction and demolition materials, is appealing an order this week entered by the Contra Costa County Superior Court prohibiting Chip It from continuing any recycling activities in the City of Antioch based on Antioch’s solid waste and recycling ordinances.

Chip It is arguing that federal transportation law preempts any local regulation of the transportation of recyclable materials from commercial and industrial sites to downstream manufacturers and other recycling and reuse processing facilities. Chip It also argues that the injunction violates state of California public policy because it allows solid waste hauler Pleasant Hill Bayshore Disposal Inc to landfill substantial quantities of materials previously recycled by Chip It.

Bruce McChesney, president of Chip It, says the city’s ordinances and exclusive franchise contract with Pleasant Hill “violate common sense and public policy. The City is ignoring its duty to promote recycling, and the garbage company is just trying to increase its monopoly profits. The city shouldn’t allow [Pleasant Hill] to force developers and contractors to pay inflated garbage rates for hauling commercially valuable material to landfill.”

Pleasant Hill argues that it has the exclusive right to transport loads of recyclable wood, concrete, stucco, and other construction material from construction sites and manufacturers within the City of Antioch, including cases where materials are taken directly to third-party manufacturers or processing facilities for recycling and re-use.

Several “friends of the court” briefs have been filed on behalf of one side or the other by groups such as the Association of California Recycling Industries, Californians Against Waste, California Resource Recovery Association, Grass Roots Recycling Network, Independent Recyclers Council, and the Northern California Recycling Association as well as by the California Refuse Removal Council and the Cities of Alhambra, Antioch, Camarillo, Irwindale, Palm Springs, San Jose, Signal Hill, Sunnydale, and Vacaville.

A similar appeal is pending before the Ninth Circuit Court of Appeals in an Oregon case where the United States District Court found that federal law preempted local regulation of the transportation of recyclable construction and demolition materials.

Chip It has collected and transported recyclable C&D materials, including wood, concrete, stucco, gypsum, metal, and cardboard, from commercial sites for subsequent recycling and re-use since 1987.