Waste Tire Management in Virginia
Problem Statement
Waste tires have been a major management and disposal problem in Virginia for decades. Recapping of tires, once a viable business utilizing millions of tires, has essentially ceased. Recycling opportunities were practically non-existent until the 1990's. Dumping became commonplace because landfilling was expensive (tires had to be cut apart before disposal). Tires were also dumped in hundreds of locations throughout Virginia for erosion control purposes or temporary “storage”, awaiting the day when tires would be valuable for their petroleum content. All of these activities were legal in Virginia at the time.
Solution Overview
During the recycling legislative studies and initiatives of the late 1980s, waste tires were deemed "hard-to-recycle" items, and needed governmental action to stop the dumping and to encourage recycling. In response, the 1989 General Assembly enacted a 50 cents per tire fee on tires sold at retail (Section 58.1-641 of the Code of Virginia) and DEQ was directed to develop and implement a plan (Section 10.1-1422 of the Code of Virginia) for the transportation and management of all waste tires generated in the Commonwealth. The funds were placed in the Waste Tire Trust Fund (Section 10.1-1422.D of the Code of Virginia). The 2003 General Assembly increased the fee to $1.00 per tire, beginning July 1, 2003 and now running through June 30, 2011, with all extra revenue dedicated to tire pile cleanups.
The purpose of the Fund and Plan was to transform the struggling waste tire management system into a viable, long-term enterprise, capable of vastly improving the 1991 recycling level of 10%. The Plan called for convenient recycling opportunities designed to prevent the creation of new tire dumps. With recycling in place, DEQ could then begin the process of ridding Virginia of the millions of tires in dumps.
Sources of Waste Tires
A. Current flow tires
“Current flow” waste tires come from daily automotive activities, predominantly at retail tire dealers, auto repair shops, auto dealers, discount stores and trucking opertions. All are subject to the tire fee, with annual sales of approximately 5.3 million tires. Other sources not subject to the recycling fee include industrial and off-the-road (OTR) tires and tires from salvage opertions. With no revenue stream, these quantities are unknown. However, industy experts estimate that total generation in Virginia from all these sources is approximately 7.5 million tires annually.
The annual retail tire sales level of 5.3 million tires is estimated from the fee revenue. Of the $1.00 fee on each new tire, the retailer may retain 5 percent, or 5 cents for expenses, for a net fee of 95 cents per tire (regardless of size). Using this figure, retail sales of new tires since 1990 are estimated as follows:
| Fiscal Year | Actual Tax Collections | Estimated Retail Tire Sales |
|---|---|---|
| FY 1990 | $361,130 | 760,274 |
| FY 1991 | $1,976,172 | 4,160,362 |
| FY 1992 | $2,092,021 | 4,404,255 |
| FY 1993 | $2,149,575 | 4,525,421 |
| FY 1994 | $2,283,594 | 4,807,566 |
| FY 1995 | $2,259,484 | 4,756,878 |
| FY 1996 | $2,434,167 | 5,124,562 |
| FY 1997 | $2,502,120 | 5,267,621 |
| FY 1998 | $2,443,771 | 5,144,781 |
| FY 1999 | $2,540,573 | 5,348,575 |
| FY 2000 | $2,647,782 | 5,574,278 |
| FY 2001 | $2,645,210 | 5,568,863 |
| FY 2002 | $2,553,082 | 5,374,909 |
| FY 2003 | $2,559,944 | 5,389,461 |
| FY 2004 | $4,506,041 | 5,439,848 |
| FY 2005 | $5,219,392 | 5,494,097 |
| FY 2006 | $5,055,608 | 5,321,693 |
| FY 2007 | $5,104,702 | 5,373,370 |
| FY 2008 | $5,026,764 | 5,291,330 |
| TOTAL | $56,361,182 | 93,128,074 |
B. Tires in Piles
DEQ began locating tire dumps with a comprehensive state-wide survey in 1993. That year, 731 piles containing over 17 million tires were indentified, quantified and certified. Since then, almost 500 additional new piles (“new finds”) containing approximately 8 million tires have been located and documented. New finds are reported regularly, with 21 in 2007 alone. Thus, DEQ has been tasked with dealing with 25 million tires in over 1,200 locations throughout the Commonwealth. The tire pile cleanup program continues today.