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Development of a Strategic Plan for the Marketing of Recyclable Materials in North Carolina Project

Technical and Market Development Analysis for Compost Materials in North Carolina

Final Report

North Carolina Department of Economic and Community Development Energy Division

430 North Salisbury Street Raleigh, NC 2761 1

9191133-2230

Prepared by

The UNC Institute for Transportation Research and Education (ITRE) 1100 Navaho Drive, Suite 201

Raleigh, NC 27609 919/878-8080

and

E & A Environmental Consultants, Inc. 1135 Kildaire Farm Road, Suite 200

Cary, NC 275 11 9191469-6266

April 1,1991

Printed on Recycled Paper

DISCLAIMER

This project was sponsoredbytheEnergyDivision.NorthCarolinaDepartmentofEconomicandCommunity Development in cooperation with The University of North Carolina Institute for Transportation Research and Education (ITRE). However, any opinions, findings, conclusions or recommendations expressed herein are those of the authods) and do not necessarily reflect the views of the Energy Division, NC Department of Economic and Community Development. This report was prepared by lTRE and the subcontracting firm of E & A Envimmental Consultants, Inc. with review and comments from the subcontracting firms of Hazen & Sawyer, P.C.. and Mt. Aubum Associates. ITRE was provided with funds from the Energy Division, NC Department of Economic and Community Development (NCDECD). Any opinions. findings, conclusions, or recommendations expressed herein are those of the author@) and do not necessarily represent fdings, policies and procedures of ITRE or the University. ITRE has made every effort to make this repod and the information contained herein as accurate as possible. Some infomation may have been changed since data was originally collected.

UNC-ITRE NC Recyding Market Development Strategic Plan Projed Page ii 41191 Compost Materials Repod

Development of a Strategic Plan for the Marketing of Recyclable Materials in North Carolina Project

Proiect Manaaement Team AI Ebron, Energy Division, NCDECD Larry W. Minor, ITRE Phillip Kemelor, ITRE Betsy Dom, Hazen & Sawyer, P.C. Andrew Reamer, FkD., M t Aubum Associates

Prolect Review Committee Tom Allen, GDS Recycling Services, Inc. Paul Crissman, Solid Waste Management Division, NCDEHNR John Dorman, NC Department of Administration Anthony Doster, Businesshdustry Development Division, NCDECD AI Ebron, Energy Division, NCDECD Butch Gunnels, NC Soft Drink Association Terry Henderson, NC League of Municipalities William Lane, NC Department of Economic and Community Development Steve Levetan, Resource Services Steve Levitas, NC Environmental Defense Fund Scott Mouw, Franklin County Govemment Mary Beth Powell, Ofice of Waste Reduction, NCDEHNR Richard Quinlan, Intemational Trade Division, NCDECD Ed Regan, NC Association of County Commissioners Bob Shepard, Land-of-Sky Council of Governments Jerry Williams, NC Restaurant Association

Page ii NC Recyding Market Development Strategic Plan Projed UNC-ITRE Compost Materials Report 4 m i

ACKNOWLEDGMENTS

SPONSOR North Carolina Department of Economic and Community Development (NCDECD)

James T. Broyhill,, Secretary Mickey L. Hutchins, Deputy Secretary William F. Lane, Assistant Secretary Margot M. Flood, Assistant Secretary

Carson D. Culbreth, Director Jan Stanford, Chief, Conservation Section Tim Butler, Assistant Chief, Conservation Section AI Ebron, Local Government Specialist

Energy Division, NCDECD

CONTRACTOR The UNC Institute for Transportation Research and Education (ITRE)

Gorman Gilbert, Director Robert L. Martin, Associate Director and Project Director Larry W. Minor, Assistant Director and Project Manager Phillip Kemelor, Research Associate and Project Leader

Editorial review and assistance was provided by Katie McDermott. Adminiswtive and research support was provided by Pam Minschew and Anne LaPierre. Additional administrative support was provided by Rosalie Neville and Joanne Kemp.

P E & A Environmental Consultants, Inc.

Eliot Epstein, President Joel Alpert, Vice-President Todd Williams, P.E., Senior Engineer and Subcontract Manager Nerissa Wu. Scientist

Additional editorial review and assistance was provided by Cindy Salter. Hazen and Sawyer, P.C.; Tom Glendinning, Wastek; Jim Oliver, Agribusiness Advisor, NCDECD; Suzanne Malloy, Solid Waste Section, NCDEHNR; Jim Stevens, Plant Industry Division, NCDA; and Dr. Tom Hobgood, NCSU Agricultural Extension Service.

A special thanks to Betsy Dorn, Hazen and Sawyer, P.C., Andy Reamer, Mt. Aubum Associates, and AI Ebron, Energy Division, for the excellent feedback, guidance, and support throughout this project.

UNC-ITRE NC Recyding Market Development Strategic Plan Projed Page iv 4/1/91 Compost Materials Report

TABLE OF CONTENTS ~

1.0 INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . i

2.0 DEFINITIONS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 . ~~~

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. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.0 DESCRIPTION OF PRODUCTS MADE 3 - 3.1 Sludgecomposts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3.2 Leaf and Yard Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3.3 Municipal Solid Waste Composts 3.4 Agricultural Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3.5 Industrial Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 3.6 Current Compost Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4

4.0 MAJOR SOURCES OF FEEDSTOCK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 4.1 Common Feedstock Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 4.2 Materials Potentidy Treatable by Composting . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 4.3 Non-Compostables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 4.4 Feedstocks in North Carolina . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6

5.0 TYPES OF COMPOSTING SYSTEMS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 5.1 Windrowsystems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 5.2 Static Pile Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 5.3 In-vesselSystems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8

6.0 PROCESSING REQUIRED FOR SPECIFIC PRODUCTS . . . . . . . . . . . . . . . . . . . . . . . 9 6.1 Sewagesludge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 6.2 Municipal Solid Waste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 6.3 Leafandyardwaste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9

6.3.1 Backyard Composting . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 6.3.2 Centralized Composting 10

6.4 Agriculturalwaste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 6.5 Industrialwaste . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

7.0 COMPOST LEGISLATION AND STANDARDS . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 7.1 Sewage Sludge Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 7.2 Municipal Solid Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 7.3 Yardwastecomposts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 7.4 Agricultural Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 7.5 Industrial Waste Composts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 7.6 Composting Council Guidelines . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 7.7 North Carolina Soil Pmducts Regulations . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

8.0 ESTIMATED POTENTIAL AMOUNT OF COMPOST GENERATED . . . . . . . . . . . . . . . 17

9.0 ESTIMATED DEMAND FOR COMPOST MATERIAL . . . . . . . . . . . . . . . . . . . . . . . 19 9.1 In.State . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 9.2 Out-of-state . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

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Table of Contents (cont’d)

10.0 LOCAL, GOVERNMENT MARKETING CONSIDERATIONS . . . . . . . . . . . . . . . . . . . 24 10.1 Development and Selection of A Private Sector Marketing Program . . . . . . . . . . . . . . 24 ____

10.2 Development of a Public Sector Marketing Program . . . . . . . . . . . . . . . . . . . . . . . 25 10.3 Affiliations and Infrastructure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25

11.0 CRITICALISSUES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26

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12.0 RECOM~ENDATIONS FOR MARKET DEVELOPMENT . . . . . . . . . . . . . . . . . . . . . 27 12.1 Estimate Demand for Composted Material . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

12.1.1 Identify Prospective BuyersKJsers . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 12.1.2 Interview Buyersmsers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 12.1.3 Estimate Compost Demand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30

12.3 Provide Technical Assistance to Local Governments . . . . . . . . . . . . . . . . . . . . . . 31

12.5 Provide On-Going Research . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 12.6 EstablishProductStandards . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 12.7 EstabIish A Statewide Advocacy Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 12.8 Implement Policies and Regulations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33

13.0SUMh4ARY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35

APPENDICES

12.2 Survey Local Governments . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

12.4 Educate Users . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31

Appendix A -. Compost Glossary Appendix B -- References

Page vi NC Recyding Market Development Strategic Plan Project UNCITRE Campost Materials Report 4/1/91

LIST OF TABLES ~

Table # P a 1 Summary of MSW Composting Standards/Guidelines . . . . . . . . . . . . . . . . . . . . . . . . 14

2 TheSolid WasteCompostingCouncilRecommendedCompostClassifications . . . . . . . . . . 15

3 Estimated Quantities of North Carolina Generated Compost . . . . . . . . . . . . . . . . . . . . 18

4 Major Categories of Potential Compost Users . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

5 Potential Compost Use on Turfgrass in North Carolina . . . . . . . . . . . . . . . . . . . . . . . 21

6 North Carolina 1990 Farm Harvested Acreages . . . . . . . . . . . . . . . . . . . . . . . . . . . 23

7 Summary ofMethodology to Estimate Compost Demand at the Local Area Level . . . . . . . . . 28

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UNCITRE NC Recyding Market Development Sbategic Plan Project Page vii 4/1/91 Compost Materials Report

1.0 INTRODUCTION ~

The purpose of this report is to provide the findings and results of the market development analysis for compost material markets in North Carolina and to fulfii Senate Bill 11 1 mandates for composted material. The major feedstocks which are considered as part of this report are sewage sludge; municipal solid wastes (MSW), including food waste; yard wastes; agricultural wastes; and industrial wastes.

This report identifies material types which may be legally and efficiently composted, current and potential markets for composted materials and provides recommendations for marketing and enhancing composting marketing activities within North Carolina.

It is recommended that all generation rates and subsequent data presented throughout this report be re-evaluated, upon the completion of the NC Waste Characterization Study. This study is part of the NC Recycling and Waste Management Plan Project which is currently under development for the Office of Waste Reduction and the Solid Waste Section of the North Caroliia Department of Environmental Health and Natural Resources (NCDEHNR).

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2.0 DEFINITIONS ~

In the composting industry, the lack of uniform terminology often leads to confusion or misunderstanding. Compost and mulch are two terms about which there is some confusion. Compost can be produced from a variety of organic materials by the biological decomposition process known as composting which occurs under controlled conditions. Compost is a stabilized product of composting which is beneficial to plant growth. Compost is a soil

composted material is a uniform matrix of particles with a faint soil-like odor. Compost should not be confused with other chemical, thermal, or othewise stabilized products or unconaolled stockpiles of waste materials.

Mulch includes a range of materials, but generally refers to ground wood, tree stumps, and land clearing debris or pattially decomposed leaves and woody material. It is used as a top dressing around shrubs or trees but is not blended into soil. Mulch, as defied by the NC Department of Agri~ulture. is a substance composed primarily of plant remains, and cannot be classified and used as a compost unless it complies with the rigorous requirements as such.

Some basic d e f ~ t i o n s (see Appendix A for Compost Glossary) are provided for the readers’ understanding of this document. The d e f ~ t i o n s presented in Appendix A are basic concepts which have been adapted from various documents including a study for the Common European Community (CEC), called Compost Specifications for the Production and Characterization of Compost from Municipal Solid Waste.

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amendment which resembles peat or humus. There is no remaining physical similarity to the feedstock Well- -

UNCITRE NC Recyding Market Development Strategic Plan Project Page 2 4/1/91 Compost Materials Report

3.0 TYPES OF COMPOST ~

Some types of compost currently being generated in North Carolina are sewage sludge, leaf and yard waste, municipal solid waste, agricultural waste and industrial waste-based composts. ~

3.1 SEWAGE SLUDGE COMPOSTS Sewage sludge can be composted to provide a high quality compost product that has many beneficial uses. Currently, four composting facilities in North Carolma process sewage sludge. Two facilities (in Morganton and Valdese) utilize the static pile method of composting, and the cities of Hickory and Lexington utilize the in-vessel composting system (see Section 5.0 on Composting Systems). The quantities of sludge processed at these facilities are 14 dry tons per day at Hickory, four dry tons per day at Morganton, two dry tons per day at Lexington and one dry ton per day at Valdese. The amount of sludge compost being generated at these facilities is estimated at 17,000 to 22,OOOcubic yards annually. These municipalities own and operate these facilities. No private entities currently compost sewage sludge in North Carolina.

Several major metropolitan areas in the state, including the City of Raleigh and Mecklenburg County, are in the design or construction phase of sludge composting facilities. When these facilities are built, the amount of sludge compost which must be marketed in the state will be approximately four times that which is currently generated.

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3.2 LEAF AND YARD WASTE COMPOSTS Because landfiiing of leaf and yard wastes will be. banned in North Carolina as of January 1,1993, virtually all communities are moving towards a yard waste mulching and/or composting operation. Many communities have already embarked upon wood waste and leaf mulching, and/or composting operations. Some communities. such as Buncombe County, Mecklenburg County, Wilmington and others, have active brush and wood waste mulching operations. Some communities have leaf stockpiling or, at best, mulching facilities. Only a few communities, such as Jacksonville, Wilmington and Mecklenburg County, are actively composting leaves. Where composting of yard wastes ispracticed. the unaerated windrow technology (to be discussed in Section 5.1) is generally applied.

3.3 MUNICIPAL SOLID WASTE COMPOSTS Currently. no municipal solid waste (MSW) composting facilities are operating in North Carolina. However, several municipalities are very interested in composting large portions of their waste streams. For example, Montgomery County is currently in the permitting process for an MSW composting operation. Also, a multi-jurisdictal solid waste authority for the tri-county area of Craven, Carteret and Pamlico counties is in the final planning stages of a MSW composting operation.

3.4 AGRICULTURAL WASTE COMPOSTS Currently, poultry manures are being composted by private sector operators in North Carolina. The quantity of poultry wastes being composted has not been assessed because this information is not readily available without performing a detailed survey. One private composting company (Wastek) estimates production of 24.ooO cubic yards of agricultural waste compost in fiscal 1991-1992. Other processors likely produce significant quantities of compost, the amount of which cannot be accurately estimated without performing a detailed survey. Other agricultural wastes, such as vegetative crop wastes, animal manures or other materials, may be treated by composting. but the quantity of agricultural waste material being composted is not known.

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Page 3 NC Recyding Market Development Strategic Plan Project UNClTRE CMnpost Malerii Report 4/1/91

3.5 INDUSTRIAL WASTE COMPOSTS Although many compostable industrial wastes are generated in North Carolina by the paper and allied products, food processing, textile, and the chemicals and allied products industries. limited composting of these wastes is practiced in the state.

3.6 CURRENT COMPOST MARKETING Current efforts for marketing compost and mulch generated in North Carolina are not highly structured. Most compost marketing efforts consist of the use of brochures and word of mouth by previous users. Sales revenues from these products range from giveaways to as much as $9 per cubic yard, depending upon material type and quantity. Compost products which are blended into specialty soil products are being marketed at upwards of $35-$40 per cubic yard ($70-$80 per ton) on a bulk basis and at a significantly higher unit price when packaged. More detailed information (e.g., volumes, market service areas, processing capabilities, etc.) should be collected and compiled by the state and disseminated to local govemments and other interested parties.

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UNCITRE NC Recyding Market Development Strategic Plan Projecl Page 4 4/1/91 Compost Materials Report

4.0 MAJOR SOURCES OF FEEDSTOCK ~

4.1 COMMON FEEDSTOCK MATERIALS ~

There is a wide range of organic materials in the waste stream which may be used effectively as feedstock for composting. The most common materials include the following:

Sewage sludge - Municipal solid waste - Leaf and yard waste Agriculturalwaste - Industrial organic waste sludge Animalwaste

Other feedstocks which are included in the Compost Council’s roster of compost categories are food waste, biogenic wasre, which refers to a mixture of food and yard waste, wood waste from industrial sources, land clearing debris and paper waste. The term co-composring refers to a mixture of MSW and sewage sludge which can be composted together. The source of these materials is either municipal govemments which may control wastewater treatment plants, landfills and leaf collection programs or industries which generate both solid waste and sludge. Food waste f” the household stream. manure or ‘koodoo” from farms or parks, or wood or food waste from indusvy processes can all be segregated from their respective waste streams and composted for a more uniform quality product. Agricultural waste is one of the segregated waste streams that has already been addressed in North Carolina. The Agricultural Extension Sewice of NC State University is developing a “mortality management program” for farms involving the composting of deceased poulvy. More research should be done to determine the feasibility of this and similar programs.

4.2 MATERIALS POTENTIALLY TREATABLE BY COMPOSTING Other materials which have been treated using composting include soil contaminated by oils and other degradable organics. Contaminated soils in and of themselves are not compostable per se. However, if a source of carbon and nutrients are added in proper amounts and the soil is ventilated, biodegradation of hazardous materials within the soil can be accomplished. Examples of some potentially toxic materials which have been biodegraded include pesticides, petroleum products and explosives. If the soil mixture is treated at or near ambient temperature conditions, the treatment process is termed bioremediation, or bioaugmentation. If the temperatures in such a mixture climb to the mesophilic or thermophilic range, then the treatment is considered to be composting. Obviously treatment of contaminated soils by composting requires a thorough understanding of the process and extensive testing and controls to insure that the hazardous compound(s) being treated are sufficiently degraded and do not result in intermediate toxic compounds.

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4.3 NON-COMPOSTABLES Inorganic materials or mixes of inorganics with low levels of organics are not good candidates for composting unless organic substances are added. Materials which when composted produce a product which exceeds regulatory heavy metal contents are also not good candidates for composting. One example is sewage sludge which has a high concentration of metal contaminants due to industrial discharges in the collection system. Inorganic sludge from industrial waste processes (like electroplating or painting operations) is another example of waste contaminated with high metal concentrations that may be toxic. However, inorganic materials such as coal or wood ash, water treatment sludge derived from aluminum salts (alum) and lime, while low in organics, could be composted with yard waste, sewage sludge or other organic waste and still produce an acceptable and usable compost product.

Pap 5 NC Recyding Market Development Sbabgic Plan Pmjed UNCITRE h p m l Malerii Re@ 4/1/91

4.4 FEEDSTOCKS IN NORTH CAROLINA Sewage sludge often includes the residual from both municipal and industrial wastewater treatment as most plants receive some industrial wastewater. Based on national per capita figures of 0.1 to 0.2 dry pounds per person per day, it is estimated that between 330 and 660 dry tons of sewage sludge was generated daily in North Carolina in 1990. This translates to a total annual production of between 120,000 and 240,000 dry tons of sewage sludge per year. If the entire quantity of sewage sludge generated were composted, approximately 600,OOO to 1.5 million cubic yards of sludge compost could be generated each year in North Carolina.

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Municipal solid waste, which includes both residential and commercial streams, is generated at an estimated rate of four pounds per person per year. With a 1990 population of more than 6.6 million, the state generated an estimated seven million tons of MSW in 1990. If all this material were composted (after recycling components such as glass, metals and plastics) more than two and one half million tons of MSW compost could be produced each year in North Carolina.

Although leaf and yard waste is one component of MSW, it is often regarded and regulated separately because of its lower potential contamination and because yard waste requires less processing and environmental controls. An estimated 10 to 25 percent of MSW is leaf and yard waste; the number of leaf and yard waste composting facilities continues to increase as states ban yard waste from l a n f l l . Landfills in North Carolina will not be accepting yard waste as of January 1, 1993. Untreated wood waste is included in NCDEHNR’s definition of yard waste. This ban could divert between 470,000 and 785,000 tons of yard waste annually to altemative disposal methods including composting.

Agricultural waste is typically managed on the same farm where it is generated. However, as agricultural production increases, so does the waste which is generated. While the tonnage of agricultural waste generated is not readily available, the amount of waste is substantial. For example, North Carolina produced the loth largest total receipts from farm marketings in the United States in 1990. Broiler production is ranked number four, and turkey production is ranked number one for all states in the United States. Along with these production figures come equally high rankings in waste production that must be managed. Composting is a suitable technology to treat much of the agricultural waste. Examples of agricultural waste which could be managed through composting include poultry litter, lagooned liquid manures such as hog and poultry wastes, tobacco sweepings, plant and grain hulls, cotton wastes and other residues.

IndustrialandotherwastematerialquantitiesproducedinNorthC~linaarenotfullyassessedaspartofthisstudy. However, as previously noted, substantial quantities of waste are being generated by the paper and allied products, food processing, textile and chemicals and allied products industries in North Carolina.

One compost processor (Wastek) in the state estimates that waste such as yard waste, wood waste, clean construction debris, mixed paper, paperboard, poultry litter, industrial waste such as cotton, tobacco sweepings, lumber product residues and other similar waste (not including MSW) could result in nearly b e million tons being diverted to composting and mulching operations by the year 2000.

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NC Recyding Market Development Strategic P h Project

5.0 TYPES OF COMPOSTING SYSTEMS ~

Three types of composting systems are commonly used around the world. These are described generically below and discussed in more detail in the following sections on specific materials.

The three types of composting systems are

Windrow - - Staticpile In-vessel systems

Selection of the best system for a particular waste stream depends on parameters such as the amount of waste to be composted, facility location, the space available for a compost facility, the type of material to be composted and the potential for odors to develop.

5.1 WINDROW SYSTEMS Compost windrows are piles of the sludge, yard waste and MSW or other materials which are triangular or trapezoidal in shape, typically four feet to nine feet high and 12 feet to 20 feet wide at their base. These piles usually extend horizontally for distances up to 600 feet. Front-end loaders or windrow machines are used to aerate and mix the material being composted in windrow piles in order to hasten organic decomposition. Supplemental aeration is sometimes provided (for sludge and MSW systems) through sunken aeration trenches beneath the windrows which are serviced by a blower system. These aeration trenches also reduce odor problems. Windrow operations are quite susceptible to environmental effects (e.g., precipitation, wind) if not at least partially covered. Unless windrow composting is carried out in an enclosed building, it is more susceptible to odor problems than are other composting systems. A number of European facilities have, however, operated for years with no measurable odor problems from windrow co-composting of sludge and MSW. Windrow compost systems are frequently used in conjunction with other MSW compost technoIogies to finish the composting process.

The majority of yard waste composting systems in use today employ the windrow system. The level of windrow system technology used can vary considerably based on the type of yard waste being composted. quantities, site location, etc. Leaf waste and yard waste are generally windrow composted outdoors on graded sites using existing soils as the composting "pad." The level of technology used can vary from a system with no active monitoring and turning of piles every few months with a front-end loader to a highly optimized system where piles are monitored for temperatures regularly, tumed frequently with a turning machine and adjusted for moisture content. Low-level technologies will turn out a fully stabilized product in 18 months or more, whereas a highly optimized system can produce finished composts in six months or less.

The windrow compost system is probably the most widely utilized MSW composting technology in the world. Themainreasonforthepopularityofthe windrow systemforMSWcompostingisthatitprovidesexcellentmixing and additional particle size reduction. Capital costs for windrow compost facilities are quite variable, depending on the level of technology employed but are *enerally less costly than in-vessel systems. The major drawback with windrow composting systems is the relatively large land area requirement. These systems have also been prone to odor problems when composting sludge or MSW due to the large surface area of the active windrow piles.

Most sludge and MSW windrow systems utilize windrow compost machine agitation, at least for several weeks initially, to partially stabilize the material. The windrow machine travels the length of the windrow as its hardened teeth shred, break up and mix the material. These agitation machines can straddle the windrow and place the material behind the machine or discharge the product into an adjacent windrow. Windrow machines can be retrofitted with water addition capability to rewet the windrows if they dry out too much during the composting process. The windrow machines have the advantage of being efficient mixers of material, but historically have required considerable maintenance due to the abrasive nature of the compost mixture. Another disadvantage to

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the use of windrow equipment is the large area requirements for the windrows, since most equipment can build piles only five to seven feet high. Several vendors have developed machines that can tum higher piles, but windrow systems still require more land than other systems.

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5.2 STATIC PILE SYSTEMS In static pile composting, the aeration system consists of a series of perforated pipes or trenches runningundemeath each pile connected to a blower that draws or blows air through the piles. The compost mixture is placed on top of the aeration system to form a pile. The piles are covered with fhshed compost for insulation to help maintain uniform temperatures throughout the mass during composting and to reduce the odor potential. Most static pile systems are constructed on an impervious surface to prevent migration of the leachate and condensate to the groundwater and to facilitate equipment operation. Static pile systems require less land than windrow systems and tend to have better odor control. The primary disadvantage with the static pile method is that no agitation or particle size reduction occurs during the process, and the addition of moisture in the static pile, if necessary, is difficult. For these two reasons, windrow or agitated bed systems are more typically used in MSW or co- compost applications. However, static pile systems are highly effective in composting sludge where agitation is not necessary to break down material fibers. Yard wastes can be composted in a static pile system only after considerable size reductions and proper mixing of constituents are accomplished. The majority of municipal sewage sludge composting operations are static pile systems. The primary advantages of a static pile system are its ease of implementation, good waste stabilization, and relatively low capital and operating costs. As with the windrow system, the capital costs are impacted primarily by the degree to which the system is enclosed and mechanized.

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5.3 IN-VESSEL SYSTEMS In-vessel compost systems take many forms and shapes. These systems are a l l unique in their own particular way and are manufactured by numerous vendors. The primary reason for using these in-vessel systems is that they can be less labor intensive than windrow or static pile systems. They may also require less land area and, due to their enclosed nature, have better potential for environmental and odor conaol. The disadvantages of these systems are their relatively high capital costs, higher maintenance costs due to specialized mechanical equipment, and less process and operational flexibility. Many of these systems are suitable for MSW, sludge or co-cornposting operations. In- vessel systems typically are not used to compost yard wastes due to their high cost

UNCITRE NC Recyding Market Development Strategic Plan Projed Page 8 Y1191 Compost Materials Report

6.0 PROCESSING REQUIRED FOR SP ECI FI C PRODUCTS

6.1 SEWAGE SLUDGE Sewage sludge is the product of wastewater treatment and may be in the form of a liquid, semi-solid or solid. It contains organic and inorganic matter as well as contaminants such as heavy metals, toxic organics and human pathogens. For efficient and economical composting, sewage sludge should be dewatered to a \semi-solid consistency. It is then mixed with a bulking agent or amendment which provides porosity for proper aeration and carbon if needed. Chipped yard waste is commonly used as a bulking agent, increasing the volume of waste diverted from disposal. The cornposting process involves several steps and requires certain equipment to fulfii both the technical and the regulatory requirements. After composting is completed, the material should be cured to ensure its stability. The curing process is an extension of the composting process. During the curing process, composted material is stockpiled and allowed to continue to degrade under less controlled conditions. If a recoverable bulking agent such as wood chips is used, it can be screened for reuse.

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6.2 MUNICIPAL SOLID WASTE The input into an MSW composting facility can be any component of the waste stream; the quality of the input material will affect the characteristics of the compost produced. Many facilities are Wing planned in conjunction with recycling. Glass, plastics and metals can be removed at the source or during in-facility processing. Food waste can be separated from the waste stream and processed alone or with yard waste to produce a cleaner compost. The contents of the MSW determine the type. and extent of processing needed to produce compost.

The three majorpre-compostingprocessing steps are particle size reduction, removalof recyclables and undesirable components. and adjustment of the moisture content of the material Particle size reduction is accomplished by shredders or cylinders containing knives. Removal of undesirable components, such as femus metals, glass, plastics, andotherobjectsthathavenotbeenremovedbyrecycling orsorting, isperformedprincipally withscreens, air classifiers and magnetic separators. Following this step, water, septage or sewage sludge is added to bring the mixture to approximately 50 percent total solids and maximize composting efficiency. The actual mmposting process can be performed with any of the h e systems described above; however, MSW is often composted in windrows because of the extra particle size reduction and mixing that is achieved through agitation.

The product quality depends on the input material and the amount of processing which the compost undergoes. Input material quality can be greatly affected by the presence of household hazardous waste recovery, curbside recycling, material recycling facilities or other programs. MSW compost typically contains a lower concenmtion of heavy metals than sludge, but also has a lower nutrient content. The addition of sewage sludge as a moisture source can increase both the contamination and the fertilizer value of the compost.

6.3 LEAF AND YARD WASTE -

6.3.1 Backyard Composting Backyard composting is a waste reduction strategy because the yard waste does not enter the waste stream. In addition to backyard composting, educating people not to collect grass clippings, but rather to allow the clippings to remain (contact the local Agricultural Extension Service for recommendations). is a particularly good reduction strategy. This is especially true in southeastem United States where grass clippings may account for nearly two- thirds of all yard waste generated.

In urban areas, it is generally more difficult to motivate people to start and maintain a compost pile because house lots tend to be smaller and have less landscaping requirements (is., less waste generated). In suburban and rural

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Page 9 NC Recyding Market Development Slrategic Plan Project UNCITRE Compost Materiis Report 4/1191

areas, there is greaterpotential for backyard composting and/ormanagement of yard waste to be successful because more yard waste is generated, more space is available fora compost pile and/ordisposal area (e.g., a wooded area), and more potential end uses exist for compost.

Unfortunately, backyard composting alone is not expected to significantly reduce the total volume of yard waste material which must be handled in North Carolina. Listed below are a number of reasons for this:

Not everyone has a large enough yard to allow for backyard composting. - Not everyone will be interested in expending the effort to do backyard composting. Only leaves and grass, not brush, are readily handled in backyard composting. Not everyone is involved in gardening and/or needs mulch, so these people may not be interested in producing a compost. - Not everyone is pleased with the aesthetics of a backyard compost pile and may not want to invest in an enclosed composter. Not all yard waste is generated by homeowners (is., landscapem), and other commercial operations may require a facility to manage these wastes. . Backyard composting, if not done properly, can result in odors.

Due to changes in homeowner’s attitudes, time availability and mobility, there is no assurance that backyard composting can be solely depended upon as a long-term solid waste management alternative. In essence, backyard composting is beyond the control of the public sectorthat traditionally has the ultimate responsibility for ensuring proper disposal of wastes.

Some positive benefits of backyard composting are the fostering of individual responsibility for handling waste generated (is., ownership of waste) and promoting changes in attitudes which may carry over into other waste reductionefforts.

However, because of the above factors, it would be unreasonable to expect that amajority of the yard waste stream could be managed by backyard composting, even with the best educational efforts. Therefore, centralized composting of yard waste should be required. Some examples of fairly successful backyard composthg programs are located in Seattle, Washington and Toronto, Canada.

6.3.2 Centralized Composting Leaves do not require processing before being placed into compost piles. However, the shredding of leaves prior to composting increases the surface area available and thus enhances the speed of degradation. Brush requires grinding prior to composting. Stockpiled yard waste can quickly begin to compost anaerobically, producing odor-causing compounds. To avoid this situation, yard waste must be stacked in aerated piles as soon as possible. Due to its highly putrescible nature, grass clippings can also be very odorous. Grass clippings are difficult to compost alone because they tend to form anaerobic clumps and because they contain alarge percentage ofnitrogen. Incoming grass should be mixed immediately with leaves or shredded brush in order to combat these problems and to provide a proper compost feedstock.

After size reduction measures, the moisture level in the yard waste should be adjusted to maximize composting. As with MSW. sludge or septage can be used as well as water to add moisture, but the addition of sludge to a mix classifies the process as sludge and yard waste co-composting, and mandates that the facility comply with sludge composting regulations. After processing, the material is built into piles and composted. Leaf compost does not require screening. but can be screened to obtain a finer product. Yard waste compost may require screening to remove large wood chips and other pieces of wood for most high-grade uses.

UNClTRE NC Recyding Market Development Strategic Plan Project Page 10 4/1/91 Compost Materials Report

6.4 AGRICULTURAL WASTE Agricultural waste such as manure, livestock "litter," field crop waste, etc., is highly degradable. Most of the materials which comprise. agricultural waste need only to be placed in windrows and homogenized which initiates and the composting process. The physical make-up of these materials may need to be altered through the addition of bulking materials to provide porosity and adjust the moisture content, or to reduce particle size. Agricultural waste such as manure is good conditioner for co- composting with yard waste. The manure provides nitrogen for the process and enhances the value of an end-product compost while the yard waste (especially woody waste) provides a carbon source, improves porosity and adjusts the moisture content favorably.

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6.5 INDUSTRIAL WASTE Papermill sludge, gelatin waste from f i i manufacturing and food processing waste are some examples of the types of industrial waste which have been successfuIly composted. As with sewage sludge, industrial waste may contain contaminants such as heavy metals and toxic organics. The processing required depends on the type of waste which is produced. In the case of liquid waste, such as papermill sludge, dewatering and the addition of a bulking agent is necessary. If the waste is more like MSW, such as food processing waste or wood manufacturing waste, it must undergo size reduction and be moistened to enhance composting. A proper nutrient balance is more critical with industrial waste because it is generally carbon rich and nitmgen poor. Additional research is needed to determine the compostability of other industrial waste materials.

Page 11 NC Recyding Market Development Shategic Phn Project UNClTRE Compobt Materials Report 411 191

7.0 COMPOST LEGISLATION AND STANDARDS

Composting facilities and compost distribution are regulated to varying degrees under federal and state legislation. In addition, a recently formed national organization known as The Solid Waste Compost Council has issued

specifically for compost. Federal and many state standards address compost only indirectly as a form of sludge or solid waste. This is changing as the need to address solid waste management grows. A recent E&A Environmental Consultants, Inc. review of state regulations shows that many states are promulgating new compost regulations.

recommendations for different marketing grades for compost. Currently, very few regulations are written -

7.1 SEWAGE SLUDGE COMPOSTS EPA’s 40 CFR 257 criteria are the current federal standards for solid waste and sludge reuse techniques, including composting. Facility processing standards are regulated by what is known as a “process to further reduce pathogens,” or PFRP requirements for the production of a hygienic product Allowable land application rates for solid waste-derived materials are based on cadmium and PCB concenaations. The EPA has proposed sludge land application regulations (40 CFR 503) which are scheduled to take effect by early 1992. These new regulations base allowable use rates on a list of 19 priority pollutants, including 9 heavy metals and 10 organic contaminants. In addition, sludge may not be applied in excess of the nunient needs of the vegetation. Sludge reuse is regulated in two categories: land application ofliquid sludge, and distribution and marketing, which applies to compost. The regulations mandate record keeping and product labeling.

Many states do not address compost as a separate product, but rather as a form of sludge application. This is rapidly changing as many states are in the process of formulating new regulations as waste management becomes anational priority. As with federal regulations, allowable compost use is generally based on concentrations of heavy metals including cadmium, chromium, copper. lead, mercury, nickel and zinc. Here, as in all compost products, the key is quality of the compost If a material is of high quality and a crop requires a small rate of application, the life span of the application to a certain plot of cropland will be extended. If the opposite is true, then the life span is shortened considerably. Compost use is usually categorized by the potential for human contact and environmental degradation. Most states disallow or limit the use of compost on crops for direct human consumption, but allow other agricultural uses with certain restrictions.

NC sludge compost regulations under the NCDEHNR are currently undergoing revisions. Prior to these changes, compost was treated as a form of sludge and handled accordingly. Sludge composting facilities are permitted, as is any other sludge management facility. Once the compost has attained the temperature levels required to fulfiu a process to further reduce pathogens (PFRP), the facility can submit a marketing plan to NCDEHNR. and if it is accepted, distribute compost for public use. These user groups do not need permitting, but material must be labeled with recommended use and buffer zones outlined. The NCDEHNR is authorized to reduce the mandatory buffer zones of sludge application to lower requirements for compost if they meet PFRP and will not cause any environmental risk.

7.2 MUNICIPAL SOLID WASTE COMPOSTS Only a handful of states have developed regulations for municipal solid waste composts. New Jersey, New York, Florida and Minnesota have regulations specifically for MSW compost. Many other states are in the process of developing standards. MSW compost regulations are similar to those of sludge compost but may include additional parameters, such as particle size limits and product maturity requirements.

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UNCITRE NC Recyding Market Developmenl Strategic Plan Project Page 12 4/1/91 Compost Materids Report

Draft regulations regarding the composting of municipal solid waste are due in May 1991. Current plans by the Division of Solid Waste are to publicize draft rules in the NC Register by June 14.1991, for public comment. The regulations will coverprocess requirements and product standards forphysical and chemical characteristics. Table 1 is a sununary of some of the MSW regulations and guidelies currently in effect or in draft form.

7.3 YARD WASTE COMPOSTS Yard waste composting facilities, particularly small ones, are often exempt from the rigorous regulations imposed on sludge or MSW facilities. Some states require a permit application to be filed for operation of the facility but do not restrict product usage.

Yard waste composting operations inNC are regulated by the Solid Waste Section of the Solid WasteManagement Division, NCDEHNR. New regulations which became effective on February 1, 1991, address the requirements for maintaining a yard waste facility which produces a compost or mulch product from landscaping or land clearing debris or untreated wood wastes. Yard waste facilities are classified by the state as follows:

which include backyard composting, fanning operations and mulching operations

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under one acre in size.

facilities which process less than 6000 cubic yards quarterly. . @rations which need onlv t o m ' the Division and follow requirements for facility siting, including

-which must maintain records and report to the Division annually. . Yard waste compost distribution is unrestricted as long as directions for compost application are provided to each user.

7.4 AGRICULTURAL WASTE COMPOSTS Composting of agricultural waste is unregulated in North Carolina as long as the operation does not produce any unusual (odor) conditions and as long as the ground water quality is not degraded. Marketing of composted manure may fall under the NC Department of Agriculture's jurisdiction as part of the NC Fertilizer Law (see Section 7.7 for more details).

7.5 INDUSTRIAL WASTE COMPOSTS There are. very few regulations which specifically address industrial waste compost. Some New England states include industrial waste in sewage sludge regulations and limit its use according to heavy metal concentrations. Additional parameters of concem are dioxin, which has been detected in papermill sludge, and other organics, which may come from pesticide or other chemical treatments. No NC regulations exist specifically for industrial waste composts. The NCDEHNR regulates industrial waste composts on a case-by-case basis.

7.6 COMPOSTING COUNCIL GUIDELINES TheSolid Waste Composting Council is anon-govemmentalagencymadeupofmembersfmmindustry,academia, federal and state agencies and other sectors. The pulpose of the council is to promote composting. One of its tasks was to produce a set of guidelines relating to compost use. The guidelines hold no regulatory authority but are useful to states which are writing standards for compost.

The council recommends classification of compost into different grades: potting grade compost, polling media amendment grade, lime fortified potting media amendment grade, top dressing grade, soil amendment grade and lime fortified soil amendment grade. Composts are classified based on physical characteristics such as particle size and the percentage of inorganic particles. Chemical characteristics, such as pH, soluble salt level, metals analysis, and maturity level of the compost, are also factors in determining the appropriate use of the compost. Table 2 shows the range of quality and the recommended characteristics. The council is working to standardize tests to assess these characteristics.

Page 13 NC Recyding Market Development Strategic Plan Project UNCmRE Compost Materids Repart 411191

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TABLE I - SUMMARY OF MSW COMPOSTING STANDARDSIGUIDELINES

European Econ. Council: very fine fine medium coarse

Austria: biowaste MSW

Florida: Type A (unrestricted) Type B (limited public exposure) Type C (no public exposure) Type D (landfill or reclamation)

Minnesota: Class I'

New York Class I' Class I1

Maine (draft): A (public contact) B (minimal contact) C (landfill cover)

NOTES:

PARTICLE PATHOGENS - SIZE (INCHES)

8 16 24 40

10 15 25 25

10 25

10 90% < 13 80% <25

limited by concentration for salmonella, e. coli and f. streptococci

PFRP = 53'C for 5 days, 55'C for 3 days, or 7OoC for I12 hour

PFRP = 55°C for 3-7

KEY HEAVY METALS LIMITS Imm) - Z n B Q c r - Ni

1000 1000 1000 1000

300 1500

900 1800 loo00 loo00

1000

750 750 750 750

200 900

500 1000 1500 1500

500

300 300 300 300

100 1000

450 900 3000 3000

500

150 50 150 50 150 50 150 50

30 30 300 200

50 100 500 500

1000 100 days dependmg on tech.

PFRP = 55°C for3 2500 250 1000 1000 200 consecutive days 2500 1000 1000 1000 200

PFRP = 55°C for 2000 700 1000 1000 200 3-15 days depending 2000 700 1000 loo0 200 upon technology

H K C d

5 5 5 5 5 5 5 5

1 1 4 6

15 30 100 100

5 10

10 1 10 25

10 10 10 IO

Other parameters which are not included in this table are percentage inert materials. percent moisture, inorganic nutrient concentration, pH, carbon and nitrogen ration, and the salinity. These standards are present in most European regulations, but not in those in the United States. 1. Class I1 compost is any material which contains sewage sludge or does not comply with Class I standards. Use of Class I1 is determined by the state

agency on a case by case basis. 2. Many state regulations also regulate the PCB Concentration in compost. Maine also regulates other organic contaminants.

TABLE 2 - THE SOLID WASTE COMPOSTING COUNCIL RECOMMENDED COMPOST CLASSIFICATIONS

Potting Grade Compost

Potting Media Amendment

Lime Fortified Potting Media Amendment

Top Dressing

Soil Amendment

MAXIMUM PARTICLE SIZE

< 1/2

< 112

< 112

< 112

< 112

Lime Fortified Soil Amendment < 112

& SOLUBLE SALT MAXIMUM DRY LEVEL (mmhoslcm) WEIGHT (%)

5-7.6 <2.5 1

5-7.6 <6 1

5-7.6 <6 1

5-7.6 <5

5-7.6 < 20

2

5

5-7.6 < 30 5

* maximum dry weight of glass, plastic, and metal particles 118 to 112 inch in size.

COMMENTS

ready to use as a growing medium

used for formulating potting di for crops that require a pH < 7

used for formulating potting media for crops that require a pH >6.5

used for the top dressing turf

used for the establishment and maintenance of landscape plantings for crops that require a pH <7

used for the establishment and maintenance of landscape plantings for crops that require a pH >6.5

7.7 NORTH CAROLINA SOIL PRODUCTS REGULATIONS The NC Deparhnent of Agriculture (NCDA) regulates the sale and distribution of fertilizers, soil additives, liming agents and pesticides in the state. The NCDA currently does not specifically regulate compost products by name in the NC Fertilizer Law, the NC Liming Law or the NC Soil Additives Act; however, substances composed primarily of excreta, plant remains or mixtures of such substances which have been processed in any manner are defined as a "manipulated manure" under the NC Fertilizer Law. If no claims are made regarding nutrient content orsoilamendmentproperties,the compostcouldbemarketed asanunfertilizedmulch(not compost), andtherefore, not require registration with the NCDA. Accordingly, materials which do claim a nutrient value should be

Strict adherence to the definitions mentioned above may bring composted sewage sludge and composted yard waste which has been mixed with animal manure under the jurisdiction of the NC Fertilizer Law. Composted or mulched yard waste to which no plant food has been added and for which no value as a plant food is claimed will most likely be classified as a mulch, and therefore, be exempt from registration or regulation by the NCDA.

Some aspects of the soil product regulations mentioned above may run counter to the state's recycling mandate by discouraging rather than encouraging the manufacture and use of compost products. Current NCDA regulations are being interpreted by some govemment entities or private businesses as too restrictive to pursue the development of a large scale composting operation. Finally, most of the waste materials which are composted in North Carolina are cumntly regulated by the NCDEHNR. Consequently, regulation of the use of composted waste products may be more appropriately administered through the NCDEHNR with input from the NCDA.

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registered with the NCDA and must have a minimum nitrogen-phosphorus-potassium (N-P-K) nutritive value. -

UNCITRE NC Recyding Market Development Strategic P h Project Page 16 4/1/91 Compost Materials Report

8.0 ESTIMATED POTENTIAL AMOUNT OF COMPOST GENERATED

The quantity of composted products currently produced and marketed in North Carolina is not known. In order to determine an accurate estimate of the quantity of composted products produced and utilized, a detailed market survey would be required. Such a survey is beyond this scope of work. However, it is important to try to establish the quantity of compost currently produced and anticipated to be produced, and then compare that quantity against current compost product markets. Such a survey would help to reveal which industries are using the bulk of composted products and what their product quality requirements are, and to determine to what extent marketing of compost products would need to expand to accommodate these products. Recent marketing surveys performed in specific regional areas of North Catulina indicate that almost every nurseryman and landscaper contacted is interested in learning more about the use of compost. These potential users are generally interested in trying compost on an introductory basis so that they can evaluate the material and determine if it meets their needs regarding nutritional value and use as a soil conditioner.

In lieu of performing such a survey, a very general approximation of the potential quantity of compost which could be generated and utilized has been attempted.

Table 3 shows the estimated quantity of composted products which potentially could be generated in the state over the next five to ten years. These products are in addition to composted manure which is currently being generated at an unknown quantity. The. quantity of compost which could be generated from sewage sludge, MSW (including food waste) and yard waste is quantified. Agricultural and industrial waste-generated composts are. not included and will result in an increase of compost to be generated.

The amount of sludge compost is estimated based on current production levels and anticipated levels from communities which are planning sludge composting programs. The amount of yard waste compost can be estimated, assuming that 60 percent of the yard waste stream is composted in a centralized facility and that a 50 percent tonnage reduction occurs through composting. The quantity of yard waste generated assumes 237 pounds per capita per year. The generation rate is based on Franklii Associates’ projections applied to 1990 state population figures. The amount of solid waste compost to be generated is estimated based on 10 to 20 percent of the remaining waste stream being composted within the next five to ten years.

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Page 17 NC Recyding Market Development Strategic Plan Project UNCITRE Compost Materials Report 411191

TABLE 3 - ESTIMATED QUANTITIES OF NORTH CAROLINA GENERATED COMPOST (THOUSANDS OF CUBIC YARD PER YEAR)

- 1995 - 2000

Sewage. Sludge Compost' 68 - 88 75 - 97

Y d waste ComposP 495 515

MSW Compod 250 - 500 270 - 820

TOTAL' 813 - 1083 860 - 1432

NOTES: 1. 2.

Based on current sludge compost production in North Carolina and estimated growth rates. Based on per capita generation rate of 237 pounds per person, 60 percent recovery, and SO percent tonnage reduction thmugh "pos t ing . Mulch could make up between 20 and 50 percent of all yard waste compost production. Bnsed on five to ten percent of MSW being composted in 1995 and five to 15 percent of MSW being composted in 2000 including food and paper wastes. Does not include composts generated from agriculture such as manures or industrial wastes.

3.

4.

UNCITRE NC Recyding Market Development Slrategic Plan Project Page 18 41191 Compost Materials Report

9.0 ESTIMATED DEMAND FOR COMPOST MATERIALS

9.1 IN-STATE Table 4 shows the major categories of potential compost users. If a statewide survey were to be conducted, a representative sampling from each of these categories could be performed. Two of the biggest sectors of organic soil supplements users in North Carolina are the landscaping industry and the nursery industry. The quantity of soils and/or soil amendments used by these sectors is not known. However, it has been estimated by the Agricultural Extension Service that the quantity of soil material utilized annually in the nursery industry to grow containerized crops is approximately 500,OOO cubic yards. Assuming a 15 to 30 percent substitution of compost products, this industry alone could consume between 75.00 and 150,ooO cubic yards of composts annually. However, most nurserymen are hesitant to utilize compost without performing extensive testing first In addition, the lack of product standardization, composition and physical characteristics data is a major impediment to any large scale use of composts in this user group.

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The landscaping industry, on the other hand, is generally willing to try new products if pricing is competitive over traditional products. This user group requires less shingent product standards and will tend to be a large volume user.

Potential large volume users of composted products are state or local government agencies, including the NC Department of Transportation (NCDOT) and the Parks and Recreation Division, NCDEHNR. SBI 11 mandates that all state agencies procure compost products in place of other materials whenever substitution is possible and the compost fulfills specifications and standards. This legislation affects all state projects including highway construction and planting projects, erosion control and other projects. In response to this bill, the NCDOT has been doing research regarding different products available to the department and their effectiveness as landscaping materials or for erosion control. Thus far woody waste, mulches and other organic materials have been applied, but results of the research is are not yet available. Compost would be a suitable material for this type of work, and the NCDOT could become a large market for compost. The NCDOT estimates that they landscape 3,405 acres annually due to contracted highway construction activities. Approxiyately 5,100 cubic yards of mulch products and an additional 448.OOO bales of straw are currently procured through private bidders for these projects. In addition, the NCDOT performs significant roadside maintenance projects where soil amendments are required. One private composter estimates a potential demand of approximately 200,OOO cubic yards of medium to high quality compost to replace fertilizer, lime, straw, seeding operations and soil amendments forplantings. However, the exact quantity of soil-related products used in highway maintenance activities is not available.

Turfgrass is another sector where large volumes of compost may be used. According to a 1986 survey, there are 2.1 million acres of maintained turf in North Carolina. This category includes lawns and other small areas and potentially large compost users, such as airports and roadsides. Table 5 summarizes the potential compost use on these areas based on a 20 tons-per-acre estimated rate of application, assuming application on only 10 percent of the available acreage. It should be noted that many sectors included in the maintained turf category are also listed as potential markets under the NCDOT or landscapers. These should not be double counted in a summation of markets.

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Page 19 NC Recyding Market Development Strategic Pian Projed UNCITRE Compost Matefials Report 4/1191

TABLE 4- MAJOR CATEGORIES OF POTENTIAL COMPOST USERS

PRIVATE SECTOR

GROWERS:

Golf courses Greenhouse Landscape contractors Lawn maintenance Nursery Plants Seeds and bulbs Sod and sod service

PROCESSORS:

Fertilizer contractors Fertilizer manuf./supply Topsoil Sand and gravel

SERVICES:

Landscape planning Landscape design

RE-WHOLESALEIRETAIL:

Garden center Greenhouse equipment and supply Lawn and garden equipment and supply Nursery equipment and supply

PUBLIC SECTOR

BULK USERS:

Landfill cover and closure Parks and playing fields Roadsides Agricultural Mine reclamation

OTHER:

Schools and universities Hospitals Cemeteries Golf Courses

NOTES:

Growers prefer a relined compost product to meet specific chemical and physical criteria. Potential for use as Field or potting soil amendment.

Processors will refine the compost product to their chemical and physical specifications. Some will necessitate strict quality control on the part of the compost producer.

Re-wholesaleRetsi1 markets generally prefer a bagged product for resale.

Bulk users represent businesses or operations that consume compost at disposal rates on large acreages or volumes.

Service businesses are in a position to specify the use of compost on building and landscaping construction and maintenance projects.

State and Regional Transportation Department engineers are also positioned to increase the specification of compost use in highway and other projects.

UNCITRE NC Reqding Market Development Sbatqic Plan Project Page x) 4/1/91 Compost Materials Report

TABLE 5 -POTENTIAL COMPOST USE ON TURFGRASS IN NORTH CAROLINA BASED ON 1986 NORTH CAROLINA TURFGRASS SURVEY

SEGMENT

Airports

Athletic fields

Cemeteries

TURF AREA 9% OF TOTAL /ACRES)

Churches 18,000

Commercial/Municipal Dwellings 144,000

Golf Courses 58,800

Homes

Institutions

Landscapers

Lam Care Firms

Parks

Roadside

Schools

sod farmers

TOTAL

2.0

.3

.1

.8

6.9

2.8

1,285,800 61.4

43,800 2.1

99,700 4.8

16,170 .8

43,500 2.1

297,000 14.2

34,100 1.6

1,900 .1

2,092,830 100

COMPOST USE - (2 TONSIACRE)

82,000

12,120

6,000

36,000

288,000

117,600

2,571,600

87,600

199,400

32,340

87,000

594,000

68,200

3,800

4,185,660 TONS

Page 21 NC Recyding Market Development Strategic Plan Project UNCITRE Compmt Maleriis Report 4/1/91

An area which is not typically considered a traditional market is the agricultural sector. While most farmers may not be willing to pay for compost, there could be substantial interest in utilizing various composts (such as yard waste compost) to increase the organic content of present soils. In 1990, over 4.4 million acres of land had harvestable crops grown on them (see Table 6). If only one percent of this farmland were applied with 20 tons of compost per acre (a moderately low application rate), all of the state-generated compost would be consumed in this use alone. Obviously, compost quality and use issues must be addressed. However, such an evaluation demonstrates the great potential marketplace for composted products in North Carolina.

Key issues regarding the widespread use of composts in the agricultural sector are as follows:

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- * Changes in the NC Fertilizer Law and/or the development of appropriate compost standards and use

regulations * Field trial research and demonstrations by NC State University into the impacts of compost use such as

crop performance, soil fertility, migration of pollutants in soil and other factors - Developing the full support of the agricultural community into expanding compost markets

Developing support of the agri-business community so that existing businesses do not act onthe perception that compost products will threaten their market.

The use of compost products in the agricultural sector would not quantifiably reduce fertilizer sales in the state since the amount of compost necessary for farmland greatly exceeds the amount of compost which could be produced. In addition, the value of most composts as a soil amendment is much greater than its fertilizer value. Hence, fertilizer use in conjunction with compost use may be a better management practice than the application of either product individually.

9.2 OUT-OF-STATE In addition to in-state markets, user groups from surrounding states can be explored. Transportation costs and competition from other products are the most prohibitive issues. Additional costs of transporting compost over long distances will make a NC product less competitive in a market of locally produced materials. Competition for the compost market is a growing deterrent to export activity. States throughout the country are beginning to see composting as a high priority option for waste management and a way to meet high recycling goals. For example, Virginia as well as many other states has banned yard waste from the landfii. One result of such legislation is that both withinNorth Carolina and across state boundaries. many compost products will be produced and be competing for users. Intemational markets are relatively unexplored. Compost can be used to stimulate crop growth and revegetate soils. Transportation costs are again prohibitive. Long distance transportation by truck, rail or barge would add to the cost of the production of compost. This extra cost would either be absorbed by the producers or passed onto the price of the compost, which would reduce its merit as an inexpensive soil additive. Typically, marketing of compost products on a bulk basis is limited to a 50-mile radius of the point of generation due to transportation costs. Bagged compost products are typically marketed within a 250-mile radius of the point of generation unless backhauling arrangements are available.

UNCITRE NC Recyding Market Development Sbategic Plan Projecl Page 22 4/1/91 Compost Materials Report

TABLE 6 - NORTH CAROLINA 1990 FARM HARVESTED ACREAGES (THOUSANDS OF ACRES)

-

CROP Field crops' Hay crops Vegetables Potatoes Fruits and nuts

3,850 470 3 52 68 -

TOTAL 4.443

NOTES: 1.

SOURCE: North Carolina Farm Report 1990 Annual Crop Summary, January 28, 1991.

Field crops include com, soybeans, peanuts, wheat oats, barley, rye, sorghum, cotton, and tobacco.

Page 23 NC Recyding Market Development Strategic Plan Project UNCITRE Compost Materials Report 4/1/91

10.0 LOCAL GOVERNMENT MARKETING CONSIDERATIONS

Marketing of composts produced in North Carolina may be accomplished through a local government agency, the producer or by utilizing the services of a compost broker. A compost broker is a person or firm that takes the responsibility of marketing all or a fixed amount of compost produced at a facility. This method of marketing is utilized by a number of composting facilities throughout the United States. The following generalizations can be made concerning the marketing of compost:

Leaf and yard waste compost is most commonly distributed through public marketing programs. - MSW compost produced by publicly-owned facilities is currently being given away or used in public projects. - Privately-owned and operated composting facilities assume responsibility for compost marketing. Sludge composts are being distributed through public marketing programs and broker-type marketing programs. - Very large communities, such as Los Angeles, Califomia and Philadelphia, Pennsylvania, utilize the services of a compost broker to market their products.

The advantages and disadvantages of public sector marketing are economic in nature. The advantages include the avoided expense of developing marketing expertise and a rapid m o v e r of finished product, which would allow municipalities to quickly obtain and consequently maintain peak production. The main disadvantage of brokering is the reduced revenue each compost producer can expect to receive.

-

10.1 DEVELOPMENT AND SELECTION OF A PRIVATE SECTOR

The marketing of compost entails a variety of responsibilities, each of which must be thoroughly researched and implemented. These responsibilities include developing brand name recognition, identifying uses and users, setting sale price. packaging the material (if desired), transporting the product to the end user and collecting revenue for the product. To satisfy aIl of these functions, the sellerbarketer should utilize consultants who have a knowledge of the markets, marketing experience, an ability to vansport the material, an area to store the f ~ s h e d product (if this is desired) and sufficient capital resources to accomplish all of the above. Ha broker is utilized for marketing compost, the local government’s responsibilities could be reduced to maintaining a quality control program and producing an agreed upon quantity of product.

MARKETING PROGRAM

UNClTRE NC Recyding Market Development Strategic Plan Project Page 24 4/1/91 Compost Materials Report

10.2 DEVELOPMENT OF A PUBLIC SECTOR

If a local government decides to market compost and other waste-derived products itself, it may need to perform the following tasks:

MARKETING PROGRAM

- Generate a small volume of compost to use as a sample Hire a compost market coordinator/consultant

Develop namehdentity for the product(s) Develop marketing brochures/iiomation Develop marketing strategy

Develop compost products use demonstrations -

Compost can be packaged and sold in bags or left unbagged and sold in bulk. A bagged compost will have a different product image; the public may see it as a more appealing product if it resembles commercially produced and sold soil amendments. However, bagged compost has several major disadvantages. Bagging adds another step to the process and requires more equipment and labor. A bag would be typically marketed in 40-pound units. This may limit large users such as landscapers, nurseries and other agricultural industries from using a product; these businesses utilize thousands of cubic yards of material and would most likely prefer a material which was deliverable in bulk. A bulk material is sold for less per unit than a bagged product. but the primary concem of a composting facility is to move the material to market. Most compost facilities market the majority of their compost produced in a bulk form in order to move large quantities to market quickly. Facilities which bag compost (in the municipal area) typically do so as a public relations gesture and only with a small portion of the total product quantity which is generated.

10.3 AFFILIATIONS AND INFRASTRUCTURE Several groups exist which could be helpful in embarking on a compost marketing program. The NC Association of Nurserymen (NCAN) which maintains a membership list of approximately 875 businesses around the state is a good staxting place. The NCDA maintains a list of 1,555 certified nurseries and plant collectors in the state as well. In addition to a list which can be used as a base for a survey pool, the association provides a forum for the introduction and discussion of a new product. Any newsletter, meetings or horticultural shows which are held or sponsored by the NCAN can be used as a vehicle to promote the use of compost.

The Agricultural Extension Service is also a vital participant. The Extension Service is a well-known resource for information on statewide practices, the state of the industry and the types and volumes of soil products which are currently used. Published information regarding compost-related growth trials and demonstrations from the Agricultural Extension Service are important in expanding the market for compost. Extension agents around the state are generally well versed in backyard composting and other composting activities. Extension offices are an excellent resource to disseminate information on backyard and commercial composting issues.

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11 .O CRITICAL ISSUES

This section will identify the critical issues regarding the development of compost markets in North Carolina. The critical issues include the following:

Lack of knowledge about the potential market for compost in North Carolina, in terms of quality and

Lack of information/education onthe part of potential users of compost regarding its qualities and benefits Lack of knowledge of current plans of local government with regard to how they plan to deal with leaf and yard waste and sludge Unmet research needs - The need for consistent compost quality

Lack of product standards Lack of an organized constituency for compost market development

quantity needed -

Impact of existing NC regulations on compost market development and practices

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12.0 RECOMMENDATIONS FOR MARKET DEVELOPMENT

This section gives the following recommendations regarding the development of compost markets in North Carolina:

Estimate demand for composted material Survey local governments regarding their needs and plans Provide technical assistance to local governments as needed - Educateusers - Provide on-going research - Develop product standards - Establish a statewide advocacy p u p Implement policies and regulations

12.1 ESTIMATE DEMAND FOR COMPOSTED MATERIAL Composting is steadily increasing on a national scale and in North Carolina. Current mnds in waste management indicate that compost production within the state will continue to grow. In order to develop markets which can absorb the compost produced, local and state governments must take a role in familiarizing the public and industry with composting and thereby fostering an acceptance of compost use. An outline of some of the basic steps which can be taken to build a compost market follows. (Table 7 summarizes these steps.)

12.1.1 Identify Prospective BuyerslUsers The first step in the methodology is to identify the businesses and organizations that should be contacted within the local area. User p u p s can generally include the following:

Government - Municipal, county, state and federal government agencies which operate landfills, or apply organic materials to public gardens, park land or along highways are included here. Each governmental body should especially evaluate usage potential within its various agencies.

Soil Processors - Firms that mix organic materials for any user, such as landscapers or nursery operators. This group may include existing composting operators.

Commercial a n d o r Residential Landscapers -Businesses which provide the service of landscaping to any other business or homeowner.

Yard and Garden Retailers - Businesses that sell bagged and bulk compost or mulch products to end users, typically homeowners and gardeners, and hobby farmers.

FarmerdForesters - Commercial scale farmers and foresters who apply organic materials to open fields and tree plantations. This group may include livestock ranchers, dairy operators, turfgrass or seed producers, organic crop producers and others.

Special Purpose Users - This category includes such diverse prospective users as land developers who control on-site/off-site soil erosion, businesses that perform other erosion control services, schools. environmental hawclean-up companies, mines and landfill operators.

Page 27 NC Recyding Market Development Strategic Plan ProjecC UNCITRE Compt Materials Report 4/1M

TABLE I - SUMMARY OF METHODOLOGY TO ESTIMATE COMPOST DEMAND AT THE LOCAL AREA LEVEL

STEe

No. 1 - Identify Prospective Users by Buyer/User Group

KEY DECISIONS & AClTONS FOR ANALYSIS

-Define market area (50 mile radius for buk products) - Collect fidorganization nams in all group

- Decide if homeowner contacts are necessary categories

No. 2 - Interview BuyerNser - Decide if in-person, telephone or mail survey will

-Decide on coverage (1M)%, 5046, etc.) of users in

- Prepare the survey instrument, pre-test if possible,

beused

each category to survey

and then survey all targeted respondents

No. 3 - Estimate Demand Level For Organic Product -Estimate totalorganic product use for eachbuyeduser

- Take care to avoid double counting - Interpret responses to survey and use market share

- Offer a range in the estimtes and evaluate

Use With Separate Estimates for Compost Use category

approach to estimate future compost demand

alternative scenarios

UNCITRE NC Recyding Market Development Strategic Pbn Project Page 28 4/1/91 Canpost Maleriis Report

Generally, it is not necessary to contact individual homeowners or gardeners for estimates of their usage. This is because the survey of landscapers and yard and garden retailers is sufficient to obtain estimates of final usage by these end consumers. The information sources for obtaining the names and telephone numbers of the compost users are quite varied. To facilitate the survey, an individual's name and his/herposition in the business or organization is needed. Generally these information sources are helpful:

____

Local economic development officials Chamber of commerce directory of business - Local public works staff and landfill operators

* Agricultural Extension Service horticultural specialists

Community college horticultural departments Bark and nursery/yard/garden wholesale distributors and retailers - Yellow pages f" telephone books under the appropriate headings

The list of potential users for compost distributed in bulk should stay within a set radius. The local market for bulk products is generally defined as the region within a 50-mile radius of the central compost facility or key point of consumption. Note that market areas do not follow county or city boundaries. Physical distance is the key for defining market area. Past studies have determined that compost can be a competitive product in small geographical areas near the point of production because it is of relatively low value in relationship to its weight and volume.

The market may extend beyond a 50-mile radius if the product is bagged for branded retail sale or if it is highly processed for a special purpose such as erosion conml or hydroseeding, and if suitable transportation is available (e.g., backhauliig by freight carries, etc.). Under these conditions, a larger market area may be identified.

12.1.2 Interview BuyerslUsers Interviews with buyers and users is the most credible method of estimating organic material usage by the individual firms and organizations identified in Section 11.1. Note that the survey will be collecting data on total organic material use, not just compost product use. In many cases, prospective compost buyers are not presently using compost This is because compost use is still in a very early stage of market development in Nonh Carolina.

To the extent that the budget and time permit, the buyers and users should be interviewed in person. This will result in the greatest understanding of local market opportunities and constraints. For personal interviews, it is important to show the respondents actual samples of compost. If all interviews cannot be conducted in person, then it is st i l l advisable to interview at least some compost buyers/users in person. with telephone interviews for the remainder of the respondents. Mail surveying is the least satisfactory method. The rate of response is typically very low, and the potential is high that respondents will misinterpret questions or not respond to important questions.

Inareas withrelatively few prospectiveusersorbuyers, it is recommended that allprospectiveusersbeinterviewed. Otherwise, some rules of thumb can be applied. Based on past experience in conducting compost market surveys in local areas, it is recommended that a minimum of 50 percent of landscape, nursery, and ydga rden retail users be interviewed. All soil processors and prospective govemment agency users should be interviewed (there are typically very few in this category). All special purpose users should be interviewed. The number of farmers and forestland owners who are interviewed will depend on the degree of interest received from this group. Usually a small number of these users need to be interviewed to assess the prospect of offering them compost on either a paid or "free-use" basis. ~

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Page 29 NC Recyding Market Developmenl Strategic Plan Project UNClTRE Compost Materiis Report 4/1191

To properly tabulate responses (whetherthe survey is administered in person, by telephone or by mail), the survey questions should be formerly prepared and documented for each person contacted. The form should include at a minimum the items below: - The personltitle/company or organization

Date of survey Type of firdorganization and location

Description of current organic products used and volumes used or re-sold of each product * Major customers of the respondent (by name if respondent will provide, othelwise, the class of user

they sell to) - Prices paid for products they procure (need complete description of products) Attitudes on advantages and disadvantages of products used Key product characteristics required Attitudes on use of compost Volume of self-generated compost used, if any

If possible, it is advisable to pre-test the survey instrument, using buyers of organic material. The pre-test is used to modify the survey if any questions are difficult to understand or other difficulties arise.

12.1.3 Estimate Compost Demand The fmal task is to utilize the survey data to estimate fmal demand for compost within the market area. The estimationprocedurebegins bytab~atingthevolumesgivenfortotalorganicmaterialandsubcategoriesofmaterial by category of user. As an example, for each group. the quantities of organic material purchases (in units of tons or cubic yards) would be tabulated for bark, three-way soil mix, mushroom compost, manure, sawdust and any other identified material.

It is important that volume tabulations are made with care to avoid double counting of organic material usage. The potential for double counting exists because the buyerhser groups listed in Section 11.1 are in different levels of the marketing channel, from processors to wholesale distributors (e.g., landscapers) and retailers.

Therefore, counting all organic material sales volumes at the processor level and then adding total wholesale and retail sales volumes would overstate the actual sales level. This is why it is important for the surveyor to determine what companies or class of users procure products from the survey respondent, so that these sales volumes can be netted out of sales at the next level in the market channel.

One other factor comes into consideration in order to avoid the prospect of double counting. Some operations utilize their own self-generated organic material in the volume they utilize and market. Any self-generated compost volumes should be excluded from these calculations of volume, unless there is a specific reason to believe that in the future such volumes will be replaced by purchased compost. Prior surveys show that some nursery operators and organic farmers will only use compost to the extent that they personally provide the raw material feedstock in use and they control the composting process. For these users, purchased compost is not an option, and their use of self-generated compost should be differentiated from commercial compost.-

Aggregating the final calculations of net volume of organic materials used by survey respondents is the next step. If for example, 50 percent of all landscapers were surveyed, and they were thought to represent a random sample of the various size and type of landscapers. then the quantities provided in the survey could be doubled to give the estimates of total organic produce used by landscapers in the area.

-

UNCITRE NC Recyding Market Development Strategic Plan Project Page 30 41191 Compost Materials Report

The most difficult aspect of this step is to use judgment in estimating the potential for future replacement of organic products like peat moss and bark by compost. These projections are "more art than science." One key is the interpretation of survey responses on advantages and disadvantages of existing products, attitudes of current and prospective users toward compost. Second, and this may be more difficult, is to evaluate retail prices for compost versus other organic materials and consider how much substitution potential,exists at the expected price levels.

Probable scenarios should be considered. If, for example, it is likely that in a local area compost will be offered by a government supplier at a zero price, and bark prices are projected to escalate by 10 to 2Opercent or more due to future reductions in regional timber supply, then the rate of substitution will be high. In a five-year time period, it would be reasonable to expect a 25 percent (or more) share of bark sales to be captured by compost under this

It is recommended that projections of future market demand for compost be based upon market share. rather than percentage rate of growth. Using market share provides a more realistic approach because it explicitly considers overall product demand and emphasizes the competitiveness among alternative organic products which vie for sales. The more simplistic approach of using annual average rate of compost sales growth does not as explicitly consider this condition of product displacement when projections for compost sales are made.

Projections should be made in a range, rather than in single absolute numbers. This helps dispel any misinterpretation that precise projection estimates are possible. It would also be interesting and useful for the reader to be given a set of projections that use scenarios for overall demand growth. and supply substitutionbeween compost and other products.

From this broad-based comparison of potential quantities of compost which could be produced in North Carolina to the potential markets and the quantity of compost which could be utilized, it appears that there is sufficient markets to consume the compost if

- SCeMriO.

Product quality standards are established - Compost is made available to users at a reasonable price Transportation requirements from the point of generation to the point of use can be met Appropriate research and education is conducted to establish proper usage of compost and mulched products

12.2 SURVEY LOCAL GOVERNMENTS A survey of local govemments should be conducted by the appropriate NCDEHNR state agency to determine how they plan to deal with leaf and yard waste and sludge to better estimate supply. This survey should also address theirneedforinformationandtechnicalassistanceinsettingupcompostingandmarketing operations. Input should be obtained from other state agencies and organizations involved in influencing and supporting compost market development activities before conducting this survey.

12.3 PROVIDE TECHNICAL ASSISTANCE TO LOCAL GOVERNMENTS Technical assistance should be provided to local governments as needed, for both composting and marketing, including assistance in developing regional consortia. Technical assistance could be provided by one or more state agencies and other organizations involved in influencing and supporting compost market development activities. One agency cumntly involved in providing technical assistance is the Agricultural Extension Service.

__

12.4 EDUCATE USERS Education of the general public and potential compost users is a major need in North Carolina. There is a basic lack ofunderstanding about what compost is, what its benefits are. where it comes from and how it should be used. Educationcanbe performed by local govemmentsorprivateenterprisesinvolved withcomposting,the Agricultural

~

Page 31 NC Reqding Market Development Strategic Pbn Project UNClTRE Compost Materiis Rem 4/1191

Extension Service or other university entities, regulators and/or other groups, such as a compost advocacy group. Demonstration projects should be set up around the state to educate people on

Back yard composting - Sludge and solid waste composting - Compostusers

12.5 PROVIDE ON-GOING RESEARCH ~

The state should sponsor research regarding compost production and use work through groups such as the Agricultural Extension Service, universities and professional societies to conduct this research.

There are a host of research needs with regard to the proper use of composted products. Information on the use of yard waste compost or mulch is extremely lacking. In particular, the fate of pesticidesherbicides in yard waste composts derived from grass clippings needs to be determined. Information on the use of sewage sludge compost is more available. Research comparing the characteristics of various types of composts is severely needed. This is especially true of MSW-generated composts. The quality of compost derived from source-separated waste (e.g., as food waste, yard waste, etc.) as compared to compost derived from mixed waste and its impact on plant growth and soils should be demonstrated in controlled evaluations. Other specific areas needing on-going research are (1) the fate and transport of pollutants in compost amended soils and (2) the biological effects of nutrients in compost amended soils. Research could also be performed in conjunction with these efforts to develop new uses for compost such as beach restoration, erosion control. soundhoise barriers, etc. Ultimately, the results of this research effort could be used to develop a meaningful compost classification system.

12.6 DEVELOP PRODUCT STANDARDS currently, no uniform compost product standards exist in the United States. The Solid Waste Composting Council is inthe early stages of developing recommendations for standards. Some state regulatory agencies have developed standards. North Carolina has standards for yard waste composting and is currently in the process of developing standards for solid waste composts (Solid Waste Section) and sludge composts (Division of Environmental Management). However, product standards need to be developed 30 that users around the state can procure composted products of known quality. In addition, a standard product name can be developed for each grade of product which connotes a positive product image and its usefulness. ,Product standards should be adapted based on national standards to the greatest extent possible. However, where research results specific to North Carolina indicate otherwise, standards should be modified accordingly. hoduct standards should address as a min ium the following: - Particle size gradation

Percent of organic matter Concentration of contaminants (e.g.. metals, organics)

pH,salts Stability Pathogens and weed seeds Inclusions (e.g.. glass, metal fragments, etc.)

UNCITRE NC Recyding Market Development Strategic Plan Project Page 32 4/1191 Compost Materiis Rem

12.7 ESTABLISH A STATEWIDE ADVOCACY GROUP The state should establish a statewide advocacy group to promote compost market development and acceptable composting practices in North Carolina. This group could be used to foster communication between different groups that are involved in supporting and influencing compost market development. Some potential needs that could be addressed by the statewide compost advocacy group are

~

- Establishing compost marketing programs for local governments Developing compost quality standards for the state Establishing priorities for compost market development Coordinating compost market development efforts

~

The membership and objectives of a statewide advocacy group are important for determining its role in market development. For example the organization could be comprised solely of private sector firms. This entity should act as a trade association to support expansion of their marketing oppormnities. There are some clear advantages for the private sector to organize itself in this manner. However, at this early stage it would appear that such a trade group may have difficulty addressing all the market development issues. Furthermore, private industry alone would be hard-pressed to adequately fund the desired activities. Consequently, this group should include representation from both the private and public sectors, regulators and academicians.

A statewide advocacy group is needed ensure that the activities listed above are conducted in an organized, systematic fashion. There is a great need for experts within the state to come to a consensus with regard to product identity and use. Organizations such as the NCDA, Agricultural Extension Service, NCDEHNR and others must work together to modify their existing structures, programs, rules and regulations so that a stronger composting advocacy and, hence, a reuse/recycling strategy may be developed in the state. The Solid Waste Section, NCDEHNR, has founded a Solid Waste Composting Committee to g&n input from some of these organizations in the development of solid waste composting rules. This is a short-lived group with specific goals. A similar group, with broader goals and objectives, would help to promote with greaterdiversity the professionalcomposting industry throughout the state.

The advocacy group could help organize a list of certified composters in the state similar to the NCDA’s list of certified plant growers and nurserymen. By beiig a certified compost operation, users would know that product standards are being met for compost which is produced and sold.

12.8 IMPLEMENT POLICIES AND REGULATIONS The state can also bolster composbhg and compost marketing through policy and legislation. Recycling and composting goals for the state and the existing landfill ban on leaf and yard waste will encourage municipalities and industries to prioritize composting as a waste management strategy. SB 11 1 mandates the procurement of compost for all state agencies, such as the NCDOT. Department of Administration and units of local govemment, for use as a substitute for other soil amendments whenever compost does not cost more and meets the required state standards, specifications and rules. This will greatly increase the market for compost, and perhaps influence other large soil product users to accept compost as a new product. Types of compost which meet NCDOT and NCDOA requirements should be specifically mentioned in future legislation (i.e., sewage sludge composts, yard waste composts, MSW composts. etc.). -

Page 33 NC Recyding Market Development Sbatqic Plan Project UNClTRE Compost Materials Report 4/1191

Some areas of policy and regulation recommended for further study by the state follow:

Encourage the growth of the compost market. The state should pursue actions to ensure that adequate increasing quantities of yard debris, food waste and paper are available to processors. Mandatory recycling and fee incentives for composting at a landfill or at municipal or regional levels are two examples of possible government actions. Establish compost quality standards. Markets will develop at a more optimum rate if the compost offered has consistent quality. Some of the actions that should be carefully reviewed by agencies are devising efficient collection systems for source-separated materials, offering frequent compost testing,establishing product grade/classification programs with various grades/recommended usage guidelines and certifying compost facilities. Work with compost generators to expand and encourage market growth. - Encourage the development of incentive fee structures to further encourage composting as a component of recycling. Economic incentives can also encourage compost use. Develop new and/or modify cumnt regulations so that compost products are not subjected to the same standards as chemically derived fertilizer or soil additive products. Section 7.7 of this report provides specific suggestions as to how this can be accomplished. - Encourage the use of compost products in the agricultural community throughlegislation, research funding and educational efforts as outlined in Section 9.1 of this report.

~

~

-

UNClTRE NC Recyding Market Development Strategic Phn Project page 34 4/1/91 Compost Materials Report

There is a steadily increasing trend towards composting within North Carolina. Composting in North Carolina is a very beneficial waste management strategy due to the large quantities of potentially compostable waste materials which would otherwise be handled through traditional means (e.g.. landfilling, etc.). In addition, compost use in the largely "organic poor" soils that are characteristic of North Carolina will have significant benefits to the soils and crops grown in the state.

Compost generation will sharply rise over the next few years as industries and municipalities look for environmentally sound waste management technologies. However, the final quantities of compost products produced in the state will depend on the decisions of local govemments, industries and private processors to use the composting technology as a waste reduction methcd. By working now to establish compost-friendly markets, NorthCarolinacanhelpbothcompostgeneratorsandusers incorporatethisemerging technology and theassociated products more easily.

Assessment of currently available compost markets can be performed on a local, regional, and statewide basis. Before a community implements a composting program, a complete market study should be performed. A strong market development program can help a community familiarize people with compost and work towards a successful program.

North Carolina has already made great progress towards this goal. With the establishment of mandatory recycling (including composting) levels and SB 11 1 which mandates compost use among state agencies, the state has made compost market expansion a strong priority. The state can clarify this position and encourage participation in composting programs by implementing the recommendations given in Section 12.0, especially in the area of establishing standards and "friendly" markets. A statewide compost advocacy group is needed to ensure that these and other market development activities are conducted in an organized systematic fashion and Chat the efforts of different interests (e.g.. regulators. industry. local govemment, researchers, etc.) are coordinated.

~

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Page 35 NC Recycling Market Development Strategic Phn Project UNCITRE Compost Materials Report 4/1/91

APPENDIX A: COMPOSTING GLOSSARY

Aeration

Aerobic Respiration

Artificial Soil

Biodegradation

Biooxidation

The introduction of air into the composting mass either through turning or ventilation to provide microbial aerobic metabolism @io-oxidation).

The energy-yielding chemical reaction in which the final electron acceptor is oxygen.

Growth medium for plants obtained by mixing soil, or inert soil substitutes with stabilized organic matter.

The biological decomposition of organic matter. During this process microbial energy in the form of heat is produced. This energy can be used to kill pathogens, destroy weed seeds, evaporate water and supply precursors for the biosynthesis of cell material.

Aerobic microbial metabolism which involves the oxidation of organic compounds to decompose and stabilize these compounds.

-

C/N Ratio (carbon to nitrogen ratio) Ratio of organic-carbon to organic-nitrogen in compost or in the organic matter of origin.

Compost

Compost Classification

Compost Grade

Composting

The stabilized product resulting from composting. In the mature stages, it is an excellent material for plant growth It has undergone significant decomposition, and the rate of decomposition is slow.

Division into fresh. mature and cured compost, according to the degree of stabilization.

Division into very fme, fine, medium and coarse compost according to its physical and chemical characteristics.

Controlled biodegradation or decomposition of the organic matter in waste. Composting can occur under mesophilic or thermophilic phases and leads to the production of carbon dioxide, water and stabilized organic matter (compost).

Controlled Composting A process in which most the important operating factors are controlled for the purpose of achieving maximum efficiency, reducing process time and decomposing the organic mass.

Co-composting

Cured Compost

A composting process which contains more than one type of feedstock; typically, co-composting is associated with the composting of MSW and sewage sludge.

A highly stabilized product which results from exposing compost to a prolonged period of humification and mineralization.

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Decomposition The degradation of an organic substrate. It is characterized by processes of destabilization of the pre-existing structure. In properly controlled composting, decomposition is conducive to a subsequent stage of stabilization (humification and mineralization).

Fresh Compost

Fresh Organic Matter

Hazardous Compounds

Humification

Inerts

Mature Compost

Mesophilic Phase

Mulch

Municipal Solid Waste (MSW)

Organic Matter

Organic Soil Conditioner

Pathogen

Phytotoxins

Sanitization

Sewage Sludge

Stabilization

Thermophilic Phase

Toxicity

Organic matter that has gone through initial stages of composting. It has undergone a partial decomposition, but it has not yet stabilized.

Raw organic substrate forcomposting before undergoing decomposition (or at the beginning of it).

Any organic or inorganic compound that may endanger human or animal life or health or negatively impact the environment Poisons, heavy metals,pesticides, etc.. whichmay be found in waste belong to this group.

The microbial synthesis of three-dimensional polymers of saccharides and phenols resembling gums and lignin. It is a process of storing organic energy into compounds of high molecular weight which are slowly biodegradable.

Non-biodegradable products contained in waste, such as glass, plastic, metals, etc.

Synonym of “Compost.”

Phase of composting during which the temperature of the organic mass is between 30 and 45 degrees centigrade.

A substance composed primarily of plant remains, used generally as a top dressing around shrubs or trees, but not blended into the soil.

Residential and commercial solid waste generated within a community.

Includes natural and synthetic organic materials.

Stabilized organic matter marketed for improving the soil’s physical properties. It also improves certain chemical and biological properties of the soil.

-

Any microorganism or virus that can cause disease.

Toxins which may endanger plant viability or functionality.

The reduction of disease-producing organisms below the level of health risk.

Waste material derived from the treatment of sewage, including septage.

Second stage of composting (following decomposition). It is characterized by slow metabolic processes, lower heat production and the formation of humus. - Phase of composting during which the temperature of the mass exceeds 45 degrees Centigrade.

Reversible adverse biological effect due to toxins and other compounds. ~

Pa!p 37 NC Recyding Market Development Strategic Plan Project UNClTRE Compost Materials Report 4/1m

Toxin

Yard Waste

Unstable poison-like compounds of biological origin which may cause a reduction of viability or functionality in living organisms.

(defmed by NCDEHNR) Includes stumps, limbs, leaves, grass and untreated wood.

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APPENDIX B: REFERENCES

Henry, Charles L., Melina Knoop, and Katie Cutler-Talbott. Review of Composfing Literature. October 12,1990.

Northwest Economics Associates. Washington Compost Market Assessment. September 1.1990. - Solid Waste Composting Council. Correspondence. November 1990.

USEPA. Characterization of Municipal Solid Waste in the United States: 1990 Update. June 13, 1990.

Zucconi. Franc0 and de Bertoldi, M m . Compost Specijications for the Production and Characterization of Compost from Municipal Solid Waste.

E & A Environmental Consultants, Inc. Internal Reports and Drafts. NC Agricultural Statistics. 1990 Annual Crop Summary. 28 January 1991.

NCDEHNR Policy Memorandum #14: Yard Waste Facility Requirements (Contact Solid Waste Section, NCDEHNR for more details).

NC Fertilizer Law (Contact Plant lndumy Division, NCDA for more details).

NC Senate Bill 11 1 (Section 5 Dealing with Compost) (ContactSolid WasteSection, NCDEHNR formore details).

NC Soil Additives Act of 1977 (Contact Plant Indusny Division, NCDA for more details).

The Turfgrass Council of North Carolina. North Carolina Tu?fgrass Survey. 1986.

Interviews with: NC State University Agricultural Extension Service NC Department of Agriculture, Plant Industry Division NC Department of Agriculture, Statistics Division

NC Department of Transportation - NC Department of Environment, Health &Natural Resources, Solid Waste Section NC Department of Environment, Health & Natural Resources, Water Quality Section Compost Operators throughout North Carolina

Page 39 NC Recyding Market Development Sbategic Phn Project UNCITRE Compost Materials Report 4/1191