indiana

- Kathleen McLaughlin, August 4, 2014, Indianapolis Business Journal

[[{"type":"media","view_mode":"media_large","fid":"240","attributes":{"alt":"","class":"media-image","style":"width: 222px; height: 148px; margin: 3px 10px; float: left;","title":"Photo: Indianapolis Business Journal"}}]]The city of Indianapolis faces financial penalties if it launches alternative recycling programs, under a pending deal with incinerator operator Covanta.

The Indianapolis Board of Public Works will vote Wednesday on an agreement that’s worth more than $112 million in revenue to Covanta, which would become the city’s main residential recycling provider for the next 14 years.

Covanta is proposing to build a $45 million recycling facility next to its incinerator on Harding Street. Under the deal negotiated by Republican Mayor Greg Ballard's administration, the city would continue to send all household waste to Covanta, but the company would pluck out recyclables and sell them on the commodities market.

Companies that rely on recycled goods oppose the deal because they say Covanta’s facility would generate sub-par material for their industries. But the Department of Public Works says it’s a way to boost the city’s overall recycling rate without requiring residents to sign up for a separate curbside service.

Curbside recycling is currently available for an additional monthly fee through Republic Services, but participation is low.

Democrats on the City-County Council want the city to pursue other alternatives, but that would be impossible under terms of the Covanta deal, which were made available to the Board of Public Works on Friday.