County Signs Final Sale of Recology Landfill

The sale of the Crestline landfill by Recology to Lincoln County is now complete. District Attorney Daniel Hooge said with the signing by commissioners of the final closing purchase and assumption agreements, Lincoln County took possession on Sept. 7.

It brings to a close the second contract the county had signed with Recology in 2006 and the 49-year lease agreement for the landfill.

Hooge, who was part of the negotiating committee, along with Commissioners Paul Mathews and Adam Katschke, said, “Recology wanted out. They were not making any money with their solid waste business in the county, in large part because of their failure to get a once promised solid waste contract with the City of Los Angeles.”

Recology suddenly stopped hauling garbage in Lincoln County June 19, and Hooge said the specially formed subcommittee first met with the company July 7 in Las Vegas. Previously, Recology was requesting almost $800,000 a year to maintain garbage collection and disposal operations, something the county simply was not going to be able to do.

He said, “We didn’t know what to think, and were greatly surprised when they told us they wanted to sell and get out.”

Since that time, Lincoln County had made arrangement with Western Elite to haul municipal garbage for the remainder of this year and will seek to make further arrangements.

Hooge said the contract sale price is $200,000 for the 320-acre landfill site, $36,000 for the bins, $100,000 for
landfill equipment, $50,000 for six collection trucks and other miscellaneous closing fees.

An amount of $396,000 was already paid and the remaining balance is $18,852, which Hooge said “is mostly because of the rental price from August 9 to Sept. 7.”

He explained the transfer of assets in the closing statement of the purchase agreement during the county commission meeting this week. “The County receives 320-acres, all the landfill and collection equipment and roll off trucks, but with no warranties attached, just “as is condition,” plus the propane-powered generator for the well pump, along with the titles and keys.”

As far as liabilities, Hooge explained the county is “assuming all the liabilities of the landfill, plus the closing and post-closing costs.” The current employees at the landfill will remain. Recology has 30 days to remove any piece of equipment Lincoln County did not buy.

He said he and Planning Director Cory Lytle were “finishing the permit transfer application through the Nevada Department of Environmental Protection.”

An agreement had previously been worked out with the City of Caliente to haul trash through the rest of the fiscal year, and things can be renegotiated at that time, if necessary.

The county also purchased 12.9 acre feet of water from the Crestline well, which is not on the property the county now owns but does have a five-year easement to the well. Hooge said, “So we have five years to move Recology’s well off their property to ours.” The well uses a propane-powered pump, and the county would like to drill their own well and bring in electricity.

In concluding, Hooge said Western Elite is doing a good job. “They have been a great partner to work with, been good to us, have helped us out through this tough ordeal, which has put them in a tough position, too. Normally, they handle just construction and demolition wastes, so they have gone out on a limb for us to haul municipal solid waste.”

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