Agenda - Council - 11/25/1980 - Laserfiche WebLink

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- 38- 3. CONCLUSIONS MOSt Of the financing methods discussed are for large-scale pro- jects, probably to be developed at the county level or in some of the larger municipalities. Moreover, such projects involve some financial risk. At a time when the public is wary of spending large amounts of money on new projects, expenditures could be more difficult to approve. For this reason, it seems that some of the financin9 approaches might be more feasible when combined with private industry financial participation. One technique for involving the business and industrial sector is through a set of incentives. This is the subject of the next section. D. ECONOMIC INCENTIVES This section discusses two different aspects of financial incentives that may encourage private sector participation in abatement pro- grams. There are incentivgs provided by state and federal sources and those the county or city can to exercise. Some of these may be viewed as disincentives for not pursuing abatement practices. 1. AVAILABLE INCENTIVES a. State and Federal The State of Minnesota offers a five-percent pollution control credit to eligible individuals or local governments. The credit can be used on purchase of sites, construction, equip- ment purchase, etc. There is also available a 10-percent fed- eral tax credit on any new recycling equipment on similar terms to the state credit. The federal government also pro- rides exemptions from real estate taxes on sites where a facility is engaged in any kind of pollution control opera- tion. The loans mentioned in the preceding section might also be considered incentives because they make it less costly for a business to undertake abatement projects. b. County and Municipal Where haulers contract with the city to transport waste or the city does its own hauling, it may be possible to work out an arrangement whereby charges to haulers who recycle would be lessened. Similarly, counties or cities could charge haulers a~ extra fee to use landfills, with the revenue raised by the surcharge going to recycling centers. Also, low-interest loans could be provided to haulers for modifying trucks for separated wastes. Low-interest loans could also be made avail- able to individuals operating waste reduction and recovery projects.