CT’s recycling market collapses

A new report about the collapse of the state’s recycling industry supports the expansion of cans and bottles eligible for deposits. A new report about the collapse of the state’s recycling industry supports the expansion of cans and bottles eligible for deposits. Photo: Erik Trautmann / Hearst Connecticut Media Buy photo Photo: Erik Trautmann / Hearst Connecticut Media Image 1 of / 59 Caption Close CT’s recycling market collapses 1 / 59 Back to Gallery

The sudden collapse of the market for recyclables means that sidewalk collections are no longer making money for cities and towns, according to a new report from the Connecticut Conference of Municipalities that indicates the crisis is not going to end anytime soon.

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For Fairfield First Selectman Michael Tetreau, a revenue stream of about $25 a ton, will become a $75-per-ton expense on July 1, with no ceiling in sight. “We don’t know where that stops,” he said Monday. “Some of it’s a moving target. A month ago the numbers were different than they are today.”

The CCM report, released Monday morning, calls for the development of in-state recycling facilities, along with new technologies, and even the development of new markets.

The organization of towns and cities called for a new tax on, or the outright elimination of, plastic straws and bags; an expansion of the list of glass and plastic deposit containers; better education of the public on recycling; and restrictions the availability of packing materials.

The cause of the market failure is China’s recent refusal to accept recycled materials with half a percent or more contamination. China has also embarked on its own recycling campaign.

“This change will result in significant cost increases for local governments and a potential higher tax bill for local property taxpayers,” said Joe DeLong, CCM’s executive director. “This also represents yet another example of emerging costs for towns that gives further testimony about the need for the state to provide other local revenue sources for towns other than the property tax. CCM is shedding light on these cost increases as towns prepare their budgets for next fiscal year and the state struggles with the level of state aid coming back to towns and cities beginning July 1.”

“Everything’s been flipped on its head,” said Milford Mayor Ben Blake, noting that until last summer, Bridgeport-area communities were receiving about $20 a ton for recyclables. But now, the cost is $75 a ton for about 5,000 tons of glass, paper and plastic. It’s actually costing his city more to recycle waste than collect trash for the mass-burn plant in Bridgeport.

“We need to identify a secondary market for recycling,” Blake said in a phone interview. He said that some companies are able to use glass in mixes for concrete. In Florida, glass is used to nourish beaches. “We need to get the state behind innovative uses of recyclables and incentivize companies,” Blake said.

“Recycling went from a positive to negative.” said Bethel First Selectman Matt Knickerbocker. “The market is collapsing right before our very eyes.”

Tetreau said that in particular, there is no market at all for glass, as well as some other materials. He said that the state needs some kind of agency to look at the recycling laws and decide what can be done to offer more flexibility to towns and cities.

CCM pointed out that compared to this fiscal year, Bridgeport is projected to experience a half-million-dollar swing, from a net-revenue source to a more than $394,000 cost.

From revenue to an expense In one year: Bridgeport: Shifting from $129,5125 in profits to projected $394,380 in expense. Stamford: From $95,000 in revenue to a $700,000 expense. Waterbury - Shifting from $15,022 in revenues to $330,000 in expenses. Fairfield - Shifting from over a $50,000 profit center to a $525,561 cost center. Milford - Shifting from $85,000 in revenue to $250,000 in costs. Stratford -- Shifting from a $64,000 profit center to a $240,000 cost center. Hamden -- Shifting from no net expense to a $190,000 cost item. Seymour - Shifting from $12,000 in revenues to $171,316 cost item North Haven - Previously incurred no cost or revenue from recycling and now will have to pay $70 per ton. Plymouth -- Previously received $9.05 per ton for recycles and now will have to pay $70 a ton - that is an $80,000 swing from a revenue item to and expense item. Wilton -- Previously received $20 per ton for recycles and now will have to pay $65 a ton - that is an $85 per ton swing from a revenue item to and expense item. Naugatuck: -- Was being paid $16 a ton for recycling, but now have to pay $23 a ton. *Source: Connecticut Conference of Municipalities

Some towns and cities might end up banning certain items from the recyclable stream, such as glass. The CCM said that the state is too invested in recycling to stop it.