Waste-to-Energy Facility Monitoring Group (FMG)
Background:
The
Alexandria/Arlington Waste-to-Energy Facility located at 5301 Eisenhower Avenue
in Alexandria was jointly developed by the City of Alexandria and Arlington
County (the Jurisdictions) to handle the waste from the two Jurisdictions. It has been in continuous operation since
February 1988, is operated by Covanta Arlington/Alexandria, Inc. (Covanta), and
is capable of handling 975 tons of waste each day, while producing 21 megawatts
(MW) of energy. The Facility was determined to be the most environmentally
sustainable means of disposing of waste generated by the Jurisdictions after
reduction, reuse and recycling, and has had a stellar environmental record,
achieving emissions well below United States Environmental Protection Agency
(EPA) permitted levels.
In January 2012, the Jurisdictions entered into a new Waste Disposal and Services Agreement (WDSA) with Covanta
for processing waste at the Facility at a rate considered to be below market
rate, beginning in January 2013, once the original bonds which were used to
finance the facility and various air quality improvements were paid off. This Agreement was approved unanimously by
both the City Council and the County Board, originally for a period through
June 30, 2019. The WDSA also provided
the Jurisdictions the unilateral right to extend the agreement through December
31, 2038, and that extension was subsequently entered into in November 2013,
since it was found to be economically beneficial to both Jurisdictions.
The WDSA addresses numerous issues including requirements for waste delivery, including
what waste is acceptable or not acceptable, recourse if the plant is
unavailable, how changes in law are handled, how fees are handled including fees
to be charged if the Jurisdictions exceed annual tonnage limits, payment
methods, limitations on liability, protocols to be followed in extraordinary events
such as hurricanes, radiation-detection protocols, and continued community
outreach by the Company, among others.
Overview:
The Facility Monitoring Group (FMG) was established in January 2013 by the City of Alexandria and Arlington County (the Jurisdictions) to be the single point of contact for Covanta, the owner and operator of the waste-to-energy facility, to handle the routine operational monitoring, financial management and maintenance
of the facility.
The FMG is governed by the Inter-jurisdictional Joint Action Agreement Regarding the Arlington/Alexandria Waste-to-Energy Facility, which describes the rights and duties of the Jurisdictions under the WDSA, and describes the details of the relationship between the City
and County, and how the group will function. The FMG meets on a quarterly basis to discuss the operation of the facility, which is based upon operational data provided by Covanta, which is reviewed and supplemented by a quarterly inspection of the facility. Major
environmental and/or capital repairs and improvements, changes-in-law and other major issues revolving around the facility are also discussed at these meetings. Since the facility currently serves both Jurisdictions by providing for an environmentally sound means of disposal for its solid waste, and both the
facility and the property that it sits on will revert back to Jurisdictional ownership in 2038, the continued maintenance and upkeep of this Jurisdictional asset is key to having a reliable means of waste disposal into the future.
Meeting Information:
The FMG meets quarterly at the Covanta Waste-to-Energy facility , located at 5301 Eisenhower Avenue.
2018
Meetings:
May 2, 2018
- Agenda
- Minutes
- Quarterly Report
February 12, 2018
2017
Alexandria/Arlington Waste-to-Energy Facility
Fiscal Year 2017 Annual Report
Meetings:
November 8, 2017
August 9, 2017
May 10, 2017
February 8, 2017
2016
November 9, 2016
August 10, 2016
May 11, 2016
February 10, 2016
2015
November 10, 2015
August 5, 2015
May 13, 2015
February 11, 2015
2014
November 12, 2014
August 8, 2014
May 6, 2014
February 12, 2014
2013
November 13, 2013
August 21, 2013
June 12, 2013
March 20, 2013
January 9, 2013
Group Members:
- Jeffrey F. DuVal, City of Alexandria, Deputy Director, Department of Transportation & Environmental Services (T&ES)
- Morgan Routt, City of Alexandria, Assistant Director, Office of Management & Budget
- Matthew Hurley, Arlington County, Budget & Finance Office
- Erik Grabowsky, Arlington County, Division Chief, Solid Waste Bureau
Extension of Waste Disposal and Service Agreement
In January 2012, Alexandria and Arlington entered into a new Waste Disposal and Service Agreement with Covanta Energy for processing the Jurisdictions' solid waste. This contract had been approved unanimously by both the City Council and County Board and established an initial term through 2019.
However, this new Agreement left open several decisions that needed to be made for the continued use of the facility by the Jurisdictions. So, as part of the 2012 approval process the Council and Board directed staff to conduct a third-party economic analysis to evaluate the agreement, extension options and costs of waste disposal alternatives to support their decision-making process. The analysis was completed in 2013, with the goal of deciding whether or not the jurisdictions should extend the term of the agreement, and if so, in what time frame.
As a result of that analysis, both Jurisdictions determined that it was in their best financial interest to extend the term of the WDSA, by extending the site lease with Covanta from 2025 through 2038. The site where the facility resides will return to the Jurisdictions in 2038, and the per ton fee which the Jurisdictions pay to Covanta for disposal of their waste will not increase from the rate paid in FY2014, and will drop to $0 during the period from 2025 to 2038, as per Section 2.3c of the WDSA.
- Extension of Waste Disposal and Service Agreement
- Presentation - (10/29/13)
- Frequently Asked Questions (FAQ)
- Overview Information
- Abridged—Economic Analysis of Covanta Extended Term Agreement
- Full Report—Economic Analysis of Covanta Extended Term Agreement
Background Resources:
- City of Alexandria's Solid Waste Management Plan
- City of Alexandria's Guide to Recycling, Yard Waste, and Trash Collection Services
- Maximizing Resources & Minimizing Waste Brochure
- City of Alexandria Letter for Covanta FY2016 Schedule
For additional information, please contact:
Jeffrey F. DuVal
Deputy Director
Department of Transportation & Environmental Services (T&ES)
703.746.4103