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PERFORMANCE AUDIT REPORT 100-Hour Audit Plumb Thicket

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PERFORMANCE AUDIT REPORT 100-Hour Audit Plumb Thicket PERFORMANCE AUDIT REPORT 100-Hour Audit Plumb Thicket Landfill Application: Determining Whether KDHE’s Review Complied with Applicable Laws and Regulations A Report to the Legislative Post Audit Committee By the Legislative Division of Post Audit State of Kansas June 2004 04-18 Legislative Post Audit Committee Legislative Division of Post Audit THE LEGISLATIVE POST Audit Committee and tors or committees should make their requests its audit agency, the Legislative Division of Post for performance audits through the Chairman or Audit, are the audit arm of Kansas government. any other member of the Committee. Copies of The programs and activities of State government all completed performance audits are available now cost about $9 billion a year. As legislators from the Division’s office. and administrators try increasingly to allocate tax dollars effectively and make government work more efficiently, they need information to evalu- ate the work of governmental agencies. The LEGISLATIVE POST AUDIT COMMITTEE audit work performed by Legislative Post Audit helps provide that information. Senator Derek Schmidt, Chair Senator Bill Bunten We conduct our audit work in accor- Senator Anthony Hensley dance with applicable government auditing stan- Senator Dave Kerr dards set forth by the U.S. General Accounting Senator Chris Steineger Office. These standards pertain to the auditor’s professional qualifications, the quality of the au- Representative John Edmonds, Vice-Chair dit work, and the characteristics of professional Representative Tom Burroughs and meaningful reports. The standards also Representative Bill McCreary have been endorsed by the American Institute Representative Frank Miller of Certified Public Accountants and adopted by Representative Dan Thimesch the Legislative Post Audit Committee. The Legislative Post Audit Committee LEGISLATIVE DIVISION OF POST AUDIT is a bipartisan committee comprising five sena- tors and five representatives. Of the Senate 800 SW Jackson members, three are appointed by the President Suite 1200 of the Senate and two are appointed by the Sen- Topeka, Kansas 66612-2212 ate Minority Leader. Of the Representatives, Telephone (785) 296-3792 three are appointed by the Speaker of the House FAX (785) 296-4482 and two are appointed by the Minority Leader. E-mail: [email protected] Website: Audits are performed at the direction of http://kslegislature.org/postaudit the Legislative Post Audit Committee. Legisla- Barbara J. Hinton, Legislative Post Auditor The Legislative Division of Post Audit supports full access to the services of State government for all citizens. Upon request, Legislative Post Audit can provide its audit reports in large print, audio, or other appropriate alternative format to accommodate persons with visual impairments. Persons with hearing or speech disabilities may reach us through the Kansas Relay Center at 1-800-766-3777. Our office hours are 8:00 a.m. to 5:00 p.m., Monday through Friday. LEGISLATURE OF KANSAS LEGISLATIVE DIVISION OF POST AUDIT 800 SOUTHWEST JACKSON STREET, SUITE 1200 TOPEKA, KANSAS 66612-2212 TELEPHONE (785) 296-3792 FAX (785) 296-4482 E-MAIL: [email protected] June 9, 2004 To: Members, Legislative Post Audit Committee Senator Derek Schmidt, Chair Representative John Edmonds, Vice-Chair Senator Bill Bunten Representative Tom Burroughs Senator Anthony Hensley Representative Bill McCreary Senator Dave Kerr Representative Frank Miller Senator Chris Steineger Representative Dan Thimesch This report contains the findings, conclusions, and recommendations from our completed performance audit, Plumb Thicket Landfill Application: Determining Whether the Department of Health and Environment’s Review Complied with Applicable Laws and Regulations. We would be happy to discuss the findings presented in this report with any legislative committees, individual legislators, or other State officials. Barbara J. Hinton Legislative Post Auditor Get the Big Picture Read these Sections and Features: 1. Executive Summary - an overview of the questions we asked and the answers we found. 2. Conclusion and Recommendations - are referenced in the Executive Summary and appear in a box after each question in the report. 3. Agency Response - also referenced in the Executive Summary and is the last Appendix. Helpful Tools for Getting to the Detail ƒ In most cases, an “At a Glance” description of the agency or department appears within the first few pages of the main report. ƒ Side Headings point out key issues and findings. ƒ Charts/Tables may be found throughout the report, and help provide READER’S GUIDE a picture of what we found. ƒ Narrative text boxes can highlight interesting information, or provide detailed examples of problems we found. ƒ Appendices may include additional supporting documentation, along with the audit Scope Statement and Agency Response(s). Legislative Division of Post Audit 800 SW Jackson Street, Suite 1200, Topeka, KS 66612-2212 Phone: 785-296-3792 E-Mail: [email protected] Web: www.kslegislature.org/postaudit EXECUTIVE SUMMARY LEGISLATIVE DIVISION OF POST AUDIT Overview of the Proposed Plumb Thicket Landfill A California company called Waste Connections has proposed a ................. page 2 229-acre landfill to be located on a 950-acre site in northern Harper County about 45 miles southwest of Wichita. The area in Harper County is referred to as Plumb Thicket. Because of the site’s proximity to the Chikaskia River, which is a source of drinking water for about 25,000 people in southern Kansas and northern Oklahoma, local residents have raised numerous concerns about the proposed landfill’s effect on the environment. They have gone to court to challenge decisions made by local officials to zone the property for a landfill. Currently, the validity of that zoning decision remains under appeal, and the Secretary of Health and Environment has directed his staff to suspend all further review of the landfill application, pending the outcome of the court case. Did KDHE Follow State Laws and Regulations in Considering the Application For the Plumb Thicket Landfill? In general, KDHE followed State law in reviewing the permit ................. page 5 application for the Plumb Thicket landfill. KDHE’s review is just one part of the application process. Before KDHE can begin its review, local officials must approve the landfill. Also, the public has an opportunity to provide input before a permit is issued. Harper County officials approved the landfill and provided the necessary certifications to the Department. Our review showed only one area where the Department didn’t strictly adhere to State law: the Department didn’t consult with local health authorities in determining whether the proposed facility complied with laws, regulations, and standards. Department officials told us they didn’t think the law required them to contact local health officials. For the most part, it appeared KDHE did a reasonable job ................. page 9 pointing out deficiencies in the application and making sure the applicant addressed them. State landfill regulations are numerous and often technical in nature. The application materials for the Plumb Thicket Landfill were more than 2 feet thick. We determined that Waste Connections’ application for the Plumb Thicket Landfill included all the materials that were required at the time. Because of the technical nature of some of those materials, we couldn’t say whether KDHE had questioned all the right things. KDHE staff did spend more than 6 months reviewing the application materials, and raised more than 150 issues that Waste Connections officials were required to address. Waste Connections amended the application materials several times to respond to those issues. We did note 2 potential weaknesses in the Department’s review. Although the application indicated that underground explosive tests had been done during the 1950s at the proposed landfill site, that information didn’t draw the attention of KDHE staff until the public comment phase of EXECUTIVE SUMMARY i Legislative Division of Post Audit June 2004 the application review. Also, KDHE didn’t contact the Corporation Commission about Waste Connections’ assertion that the Commission no longer maintained records of abandoned oil wells and pipeline, a claim we found to be untrue. The Department’s review process could be improved in ............... page 11 several areas. KDHE needs to provide more formal guidance for its staff to follow in reviewing landfill applications. In addition, its review process should include some checks of the accuracy of information the applicant submits. Local citizens expressed several concerns about KDHE’s ............... page 11 objectivity regarding the landfill. Among the things they questioned: Why KDHE was involved in the zoning hearings before they received an application for a landfill permit? We found that Department officials attended zoning meetings at the request of local officials. Why the director of the Bureau of Waste Management wrote a letter to a local newspaper seemingly in support of the landfill? The Director told us he never submitted a letter to the newspaper, but rather the newspaper reprinted an informational article from a KDHE newsletter and formatted it as a letter to the editor. Doesn’t the Department have a conflict of interest because it would benefit financially from fees collected from the landfill? For KDHE to benefit from additional fees from the landfill, it would need to import waste from other states. Since the landfill
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