MEMPHIS TIRE CONFERENCE

 

December 5,6, 2002

 

SLIDE # 1

COLT

 

SLIDE # 2

A SOLUTION

 

SLIDE # 3

DISCLAIMER

 

·       STATEMENTS MADE IN THE FOLLOWING PRESENTATION, ABOUT SOME PARTICIPANTS IN THE SCRAP TIRE INDUSTRY, ABSOLUTELY DO NOT APPLY TO ALL PARTICIPANTS.

 

·       OBSERVATIONS MADE ARE THOSE OF THE PRESENTER, AND DO NOT NECESSARILY REPRESENT THE POSITION OF ANY ORGANIZATION OR ASSOCIATION WITH WHICH THE PRESENTER IS AFFILIATED.

 

OPENING

 

To often we as processors are perceived as adversaries in our dealings with regulatory agencies. Some of the remarks I will make today may be taken in that light but I assure you they are only made in the context of putting forth a CONCEPT that does address every aspect of solving the scrap tire problem. A processor, the element in the process that invests millions of dollars to become the most viable part of a long term “TOTAL SOLUTION”, we seek only to become your partner, not an adversary. A stable, level playing field is what we seek in order for us to handle the problem NOW and to make the investments that will be required to take it to the next level.

 

1.      THERE IS NOT A TIRE RECYCLING PROBLEM IN THIS COUNTRY!  THE PROBLEM IS FINDING THE MONEY TO PAY FOR IT.

 

2.      IN EVERY STATE THE TIRE CONSUMER PAYS FOR TIRE RECYCLING EVERY TIME THEY LEAVE A SCRAP TIRE WITH A TIRE DEALER. (ONE WAY OR THE OTHER)

 

3.      THE TIRE CONSUMER COULD BE PAYING AS MUCH AS $5 TO HAVE THEIR TIRES RECYCLED.

 

4.      THE PROBLEM IS THAT SOMETIMES THE AMOUNT THAT GETS TO THE PROCESSOR COULD BE AS SMALL AS 50 CENTS OF THAT $5.

 

5.      SCRAP TIRE PROCESSOR MUST BE PAID A REASONABLE UP FRONT TIP FEE.

 

6.      IN SOME CASES IT COST MORE TO PRODUCE THE PRODUCT FROM A TIRE THAN THE MARKET IS WILLING TO PAY FOR THE PRODUCT.

 

7.      THIS GOES AGAINST THE GENERAL PERCEPTION THAT TIRE RECYCLERS ARE DOUBLE DIPPING BECAUSE WE GET PAID UP FRONT AND ARE PAID AGAIN WHEN THE TIRE IS PROCESSED AND DELIVERED TO MARKET.

 

TO OFTEN, THE TWO NUMBERS ADDED   TOGETHER   (TIP FEE AND REVENUE FROM MARKETS) DO NOT ADD UP TO ENOUGH TO COVER THE COST OF DEALING WITH A SCRAP TIRE.

 

SLIDE # 4

LOUISIANA PROGRAM

 

8.      ALTHOUGH IT IS STILL “A WORK IN PROGRESS”, IT IS THE MOST SUCCESSFUL TIRE RECYCLING PROGRAM IN THE COUNTRY.

 

9.      IT IS THE PROGRAM THAT SOLVES 100% OF THE PROBLEM.

 

10.IT IS A CONCEPT THAT HAS THE ABILITY TO SATISFY EVERY ASPECT OF DEALING WITH THE SCRAP TIRE PROBLEM.

 

11.IT CONTROLS CURRENT GENERATED SCRAP TIRES BETWEEN THE DEALER, THE PROCESSOR AND THE MARKETS.

 

SLIDE #5

LOUISIANA SUCCESS

 

·       In place for almost SEVEN YEARS

 

·       TIRES in STOCKPILES

 

·       A FEW

 

STRONG MARKETS

 

·       No TIRES illegally dumped

 

·       All elements are HAPPY

 

·       TIRE CONSUMER gets what they pay for.

 

 

SLIDE #6

A CONCEPT

 

     This concept MAY NOT BE THE ONLY SOLUTION to the problem—but it does represent the only CONCEPT I’ve seen that has the ABILITY TO SATISFY EVERY ASPECT of the SCRAP TIRE PROBLEM--- this opinion is offered from experiences I’ve had from almost 20 years as a SCRAP TIRE RECYCLER.

 

 

12.I AM NOT SUGGESTING WE REINVENT THE WHEEL, RATHER THAT WE CONSIDER A CONCEPT THAT HAS BEEN IN PLACE FOR MANY YEARS.

 

13.THIS IS A CONCEPT THAT HAS BEEN SUCCESSFUL DEALING WITH A SIMILAR PROBLEM.

 

14.THE MONEY PAID FOR SERVICES RENDERED, PAID BY CONSUMERS FOR THAT SERVICE, IS NOT A SUBSIDY.

 

SLIDE #7

NOT NEW

 

SLIDE #8

FEE BASED PROGRAMS

 

OPPONENTS SAY:

 

“WE DON’T WANT THE GOVERNMENT INVOLVED IN OUR BUSINESS”.

 

 

IF YOU’RE IN THE SCRAP TIRE BUSINESS, THE GOVERNMENT IS PROBABLY INVOLVED IN YOUR BUSINESS!

 

 

15.     I THINK IT’S SAFE TO SAY THAT THE LOUISIANA DEQ. WITH A FEE BASED PROGRAM, IS NO MORE INTRUSIVE IN OUR BUSINESS THAN ANY OTHER STATE AGENCY AROUND THE COUNTRY THAT REGULATE SCRAP TIRES.

 

16.     THE DIFFERENCE IS, IN LOUISIANA, THERE IS ENOUGH MONEY IN THE SYSTEM TO PAY EVERY ONE IN THE PROGRAM WHO HANDLES LOUISIANA TIRES AND ALSO PAYS FOR ANY MANDATES PLACED ON US BY THE AGENCY.

 

SLIDE #9

NOT A SUBSIDY

 

MONEY PAID BY THE TIRE CONSUMER TO HAVE THEIR TIRES RECYCLED IS NOT A SUBSIDY.

 

17.     THE SAME MONEY IS NOT CALLED A SUBSIDY WHEN WE COLLECT IT DIRECTLY FROM THE TIRE DEALER.

 

THE MONEY IS PAID BY THE TIRE CONSUMER FOR TIRE RECYCLING; IT DOES NOT COME FROM OTHER RESOURCES IN THE GOVERNMENT.

 

 

18.     THE IDEA THAT WHEN THE FEE GOES AWAY EVERYTHING THE “FEE” ACCOMPLISHED WILL GO AWAY.

 

19.     BELIEVE THERE WILL ALWAYS BE A NEED FOR UP FRONT TIP FEES TO DEAL WITH A SCRAP TIRE AS LONG AS AUTOMOBILE RIDES AROUND ON FOUR OF THEM.

 

20.     SAME THING WITH WASTE, AS LONG AS WE HAVE WASTE, WE’LL HAVE TO PAY TO GET RID OF IT.

 

SLIDE #10

TEXAS

 

TEXAS HAD A FEE BASED PROGRAM FROM 1992 TO 1997.

 

 

 

21.     TEXAS HAS BEEN “HELD OUT” FOR YEARS AS ONE EXAMPLE OF WHY A FEE BASED PROGRAM WILL NOT WORK.

 

22.     BECAUSE I WAS A PROCESSOR EARLY IN THE PROGRAM AND ONE OF IT’S EARLY CASUALTIES, I WOULD LIKE TO TRY AND DISPEL SOME OF THE MISTRUTHS THAT I’VE HEARD NOW FOR YEARS.

 

IN MY OPINION IT IS A GOOD EXAMPLE OF WHAT NOT TO DO TO MAKE A FEE BASED PROGRAM WORK.

 

 

 

23.     “PROCESSORS STACKED UP THE RUBBER”.

 

24.     THE REASON THE RUBBER WAS STACKED UP WAS BECAUSE TNRCC WOULD NOT APPROVE MARKETS.

 

25.     THIS EFFECTIVELY PUT A LOT OF PROCESSOR OUT OF BUSINESS ONCE THEY FILLED UP THEIR STORAGE FACILITY.

 

26.     ALL THE MARKETS YOU FIND ON TNRCC WEB SITE THAT ARE NOW “APPROVED MARKETS” WERE IN FACT MARKETS THAT WERE AVAILABLE IN 1992 BUT WE COULD NOT GET TNRCC’s APPROVAL IN 1992.

 

27.     ANOTHER EXAMPLE WAS THE REQUIREMENT THAT 25% OF TIRES PROCESSED EACH MONTH HAD TO COME FROM STOCK PILES ASSIGNED BY TNRCC.

 

28.     SOME OF THOSE STOCK PILES WERE HUNDREDS OF MILES FROM THE PROCESSING FACILITY. THE TIRES WERE IN CREEKS, RAVINES, RIVERS, IN SWAMPS, YOU GET THE IDEA, AND YOU KNOW WHERE YOU FIND ILLEGAL TIRE DUMPS.

 

29.     IN A LOT OF CASES THE .85 CENTS WE WERE PAID WOULD NOT PAY THE FREIGHT TO THE PROCESSING FACILITY.

 

30.     THE OTHER COST INVOLVED CAME OUT OF THE PROCESSORS POCKET.

 

31.     15 OF THE 17 ORIGINAL PROCESSORS DID NOT SURVIVE.

 

32.     THE LOUISIANA PROGRAM DID NOT HAVE THIS PROBLEM BECAUSE THE AGENCY ISSUED RFP’S AS THE FUND RECEIVED THE MONEY TO PAY FOR ABATEMENTS. THE CLEAN UP OF EACH STOCKPILE WAS BID ON ITS OWN MERITS.

 

COMMON SENSE IS THE MOST IMPORTANT ELEMENT NEEDED TO MAKE THIS CONCEPT WORK.

 

SLIDE # 11

CANADA

 

33.     CANADA EVIDENTLY HAS PROGRAMS THAT ARE WORKING FOR THEM!

 

34.     THEIR PROGRAM COLLECTS AS MUCH AS $4 FROM THE TIRE CONSUMER IN ORDER TO PAY FOR TIRE RECYCLING.

 

THEIR PROGRAM GIVES THEIR CRUMB RUBBER PRODUCERS THE ABILITY TO COMPETE IN U. S. MARKETS.

 

 

35.     WHY DO WE IN THIS COUNTRY HAVE A PROBLEM WITH A PROGRAM THAT PAYS THE PROCESSORS WHO PARTICIPATE IN THAT PROGRAM ENOUGH MONEY SO THAT THEY ARE ABLE TO REACH MARKETS THROUGHOUT THE U.S. AND WHO KNOWS WHERE ELSE.

 

THE LOUISIANA CONCEPT WILL GIVE ITS CRUMB RUBBER PRODUCERS THE ABILITY TO COMPETE IN WORLD MARKETS.

 

 

36.     INSTEAD OF COMPLAINING ABOUT A PROGRAM THAT WORKS, WOULDN’T IT MAKE MORE SENSE FOR US TO IMPLEMENT A PROGRAM THAT WILL, NOT ONLY SOLVE THE SCRAP TIRE PROBLEM IN OUR COUNTRY BUT WOULD PAY OUR CRUMB RUBBER PRODUCERS ENOUGH SO THAT THEY CAN COMPETE NOT ONLY IN THE U.S., BUT POSSIBLY GIVE THEM THE ABILITY TO COMPETE AROUND THE WORLD.

 

SLIDE #12

USING THE MONEY

 

PAY ME NOW

 

OR

 

PAY ME MORE LATER

 

 

THE MOST COST EFFECTIVE PLACE TO HANDLE A SCRAP TIRE IS WHEN IT IS REMOVED FROM A TIRE DEALER RETAIL STORE, NOT AFTER ITS BEEN THROWN IN A DITCH.

 

 

SLIDE # 13

HOW MUCH TIP FEE

 

37.     THE AMOUNT OF THE TIP FEE SHOULD BE DETERMINED BY WHAT YOU WANT THE PROGRAM TO ACCOMPLISH.

 

38.     IT NEEDS TO PAY FOR COLLECTING-PROCESSING-MARKETING

 

39.     I UNDERSTAND THAT THIS WILL DEPEND ON YOUR ABILITY TO CONVINCE YOUR LEGISLATORS TO COLLECT OR RAISE THE FEE, WHICH WILL NOT BE EASY.

 

40.     BUT THE EVIDENCE IS THERE TO SHOW YOUR LEGISLATORS THAT THEIR CONSTITUENTS ARE ALREADY PAYING, IN MOST CASES, MORE THAN YOUR AGENCY WILL REQUIRE TO SOLVE THE PROBLEM.

 

41.     MAKING SURE THE TIRE CONSUMER GETS WHAT THEY ARE PAYING FOR SHOULD BE THE MAIN CONCERN OF THE LEGISLATOR.

 

42.     THE MONEY COLLECTED FOR SCRAP TIRE RECYCLING SHOULD BE PLACED IN A DEDICATED FUND.

 

43.     THE LOUISIANA PROGRAM DEALS WITH A LOT. IT PAYS TO COLLECT, PROCESS AND DELIVER TO MARKETS, PASSENGER, TRUCK, ATV, OTR’S, INCLUDING ALMOST ALL FARM TRACTOR TIRES.

 

SLIDE #14

TIRE DEALER

 

44.     DEALER COLLECTS MONEY FROM THE TIRE CONSUMER AND SENDS ALL OF IT TO THE STATE AGENCY.

 

45.     GIVES TIRE DEALER FREE RECYCLING.

 

46.     THE TIRE DEALER NO LONGER HAS TO NEGOTIATE A PRICE WITH A TRANSPORTER IN ORDER TO HAVE THEIR TIRES REMOVED; THEY SIMPLY PICK THE PERSON TO REMOVE THEIR SCRAP TIRES BASED ON THE BEST SERVICE.

 

47.     TIRE DEALERS DO NOT MIND COLLECTING THE MONEY THAT WILL PAY TO SOLVE THE PROBLEM, BUT THEY DO WANT THE MONEY SPENT TO SOLVE THE TIRE PROBLEM, NOT FOR SOMETHING ELSE THAT HAS NOTHING TO DO WITH TIRES.

 

SLIDE #15

AGENCY

 

HOW SHOULD AN AGENCY BE JUDGED ON THE SUCCESS OF ITS PROGRAM?

 

 

IS IT BY HOW MANY SCRAP TIRE PILES IT   SUCCESSFULLY CLEANS UP YEAR AFTER YEAR?

 

OR

 

 

 

IS IT BY HOW EFFECTIVE IT DEALS WITH CURRENT GENERATED SCRAP TIRES SO THAT THERE ARE NO STOCK PILES TO CLEAN UP?

 

 

48.     I’VE LEARNED IN THE LOUISIANA PROGRAM, IT IS NOT A PROGRAM THAT WILL OPERATE ON AUTOMATIC PILOT.

 

49.     ONE OF THE THINGS WE’VE LEARNED IS THAT THERE SHOULD BE A DEDICATED GROUP WITHIN THE AGENCY THAT ADMINISTERS THIS PROGRAM. THE COST OF THAT GROUP IS PAID FROM THE DEDICATED FUND.

 

50.     IF THIS CONCEPT IS IMPLEMENTED PROPERLY IT SHOULD GIVE THE AGENCY MORE MONEY AND TIME TO MANAGE THE SCRAP TIRE PROGRAM.

 

51.     DON’T FORGET, THIS CONCEPT WILL ALWAYS BE A WORK IN PROGRESS AND WILL ALWAYS REQUIRE PROPER MANAGEMENT.

 

52.     OUR FRIENDS AT THE REGULATORY AGENCIES HAVE TO TALK TO WHO EVER SHOW UP. THEY GET PULLED IN ALL DIRECTIONS AND IT’S EASY TO BE CONFUSED BY SPECIAL INTEREST GROUPS AND/OR THOSE WHO HAVE THEIR OWN AGENDA.

 

53.     OUR INDUSTRY LOOKS SIMPLE, BUT IN FACT IT IS VERY COMPLICATED.  

 

SLIDE #16

PROCESSOR

 

54.     WITH THE PROPER CHECKS AND BALANCES IN PLACE FOR THE PROCESSORS, IT GIVES THE AGENCY AN EXCELLENT PLACE TO WATCH THE PROGRAM.

 

55.     IF A TRANSPORTER OR PROCESSOR COMMITS FRAUD, A RED FLAG SHOULD SHOW UP FIRST AT THE PROCESSOR BECAUSE EVERY THING THAT HAPPENS IN THE PROGRAM MOVES THRU THE PROCESSOR.

 

56.     THE LOUISIANA CONCEPT ALSO ADDRESSES THE PROBLEM WITH PROCESSORS WHO BUILD UP STOCKPILES AND GO OUT OF BUSINESS.

 

57.     IN MOST PROGRAMS THIS CAUSES THE NEED FOR SUBSTANTIAL BONDING AND/OR FINANCIAL ASSURANCE SO THE AGENCY WILL HAVE THE MONEY TO CLEAN UP THE MESS.

 

58.     WITH THE LOUISIANA CONCEPT THE MONEY PAID BY THE TIRE CONSUMER IS STILL IN THE BANK. BECAUSE NO MONEY IS PAID OUT UNTIL TIRES HAVE BEEN DELIVERED TO MARKET. LARGE BONDS AND/OR FINANCIAL ASSURANCE ARE NOT REQUIRED.

 

IN LOUISIANA IT’S EASIER TO WATCH FOUR [4] PROCESSORS THAN IT IS TO CHASE AROUND AFTER 110 TRANSPORTERS.

 

 

 

SLIDE #17

WHY THE PROCESSOR GETS THE MONEY

 

LARGEST INVESTOR TOWARD A “TOTAL SOLUTION”.

 

 

ONLY ENTITY IN THE PROGRAM THAT CAN OFFER AN ON GOING “TOTAL SOLUTION” BECAUSE OF OUR ABILITY TO SERVE DIVERSE MARKETS.

 

 

SLIDE #18

TRANSPORTER

 

THIS ELEMENT HAS TO BE CONTROLLED IF YOU’RE GOING TO SOLVE THE PROBLEM.

 

 

59.     THIS CONCEPT ELIMINATES WHAT WE REFER TO AS “THE BACK END PART OF THE PROBLEM”, ILLEGAL DUMPS AND/OR STOCKPILES.

 

CAN THEY BE CONTROLLED WITH ENFORCEMENT?

 

                                                                                                                     

60.     I DON’T THINK THEY CAN. A TRANSPORTER WHO WANTS TO DUMP ILLEGALLY WILL FIND A WAY.

 

61.     CALIFORNIA MIGHT BE A GOOD EXAMPLE OF WHY REGISTRATION/ENFORCEMENT WILL NOT SOLVE THE PROBLEMS CAUSED BY THE TRANSPORTER WHO DOES NOT WANT TO BE LEGAL.

 

62.     A RECENT ARTICLE IN SCRAP TIRE NEWS POINTED OUT THAT 10 OUT OF 23 TIRE HAULERS STOPPED BY CHP WERE NOT IN COMPLIANCE WITH CALIFORNIA’S WASTE TIRE HAULER LAW CREATED IN 1993 AND PLACED IN EFFECT IN 1995. THAT’S ONLY BEEN SEVEN [7] YEARS.

 

63.     ANY ONE WHO HAS DEALT WITH A TIRE HAULER KNOWS THEY PROBABLY JUST NEED A LITTLE MORE TIME TO GET LEGAL.

 

64.     IN THE ALMOST 20 YEARS WE’VE BEEN IN THE BUSINESS, THIS CONCEPT IS THE ONLY WAY WE’VE SEEN THAT CONTROLS THE TRANSPORTER AND CONTROLS 100% OF THE TIRES.

 

65.     TRANSPORTERS DO HAVE TO BE CONTROLLED.            

 

THEY CAN BE CONTROLLED WITH MONEY!

 

PAY THEM ONLY WHEN THEY DELIVER TIRES TO THE PROPER RECYCLING FACILITY.

 

 

                                                                  

SLIDE #19

JOCKEY

 

SLIDE #20

WHY JOCKEY IS A PROBLEM

 

PROCESSORS INVEST MILLIONS of dollars in facilities and equipment to become the MOST VIABLE part of a total solution to the SCRAP TIRE problem. In order to PAY BACK the investment HE/SHE relies almost totally on a reasonable UP FRONT tip fee.

 

 

A TIRE JOCKEY CAN BUY A 1977 PICK UP AND ESTABLISH WHAT THAT TIP FEE WILL BE IN THE MARKET PLACE.

 

 

66.     GIVING MONEY AND THE TIRE TO SOMEONE IN 1977 PICK UP CAUSES MOST OF THE PROBLEMS THAT HAVE TO BE ADDRESSED BY AN AGENCY DEALING WITH SCRAP TIRES.

 

67.     THIS GUY REMOVES ALL POSSIBILITY OF STABILITY NEEDED TO MAKE A PROGRAM SUCCESSFUL.

 

68.     IT DOES NOT CREATE A LEVEL PLAYING FIELD WHEN SOMEONE WHO INVEST MILLIONS OF DOLLARS TO RECYCLE A TIRE HAS TO COMPETE WITH SOMEONE WHO INVEST A FEW THOUSAND DOLLARS AND COULD CARE LESS WHERE THE TIRE ENDS UP, USUALLY SOME WHERE IN A DITCH.

 

SLIDE #21

ENFORCEMENT

 

“TNRCC investigators discovered that tire transporters paid by retail stores to properly dispose of used tires had instead dumped their shipments on rented property. About 4,000 car and truck tires were found.”

(TNRCC Web Site,

Natural Outlook, Fall 2001

“Taking Stock of Used Tires”)

 

 

SLIDE #22

MARKETS

 

MARKETS CAN NOT BE FORCED---THEY HAVE TO EVOLVE

 

 

69.     AS I SAID SCRAP TIRE PROCESSOR MUST BE PAID AN UP FRONT TIP FEE.

 

70.     THE REASON IS MOST MARKETS ARE NEGATIVE MARKETS. THE PRICE WE RECEIVE FOR TIRE RUBBER COMPETES WITH OTHER PRODUCTS USED IN THE SAME APPLICATION.

 

71.     FOR INSTANCE, WHEN TIRE RUBBER IS USED FOR FUEL IT COMPETES AGAINST THE PRICE OF NATURAL GAS, COAL, HAZARDOUS WASTE, ETC.

 

72.     IN CIVIL ENGINEERING MARKETS OUR RUBBER COMPETES WITH SAND, GRAVEL, OTHER LIGHT WEIGHT AGGREGATES.

 

WHO SHOULD SPEND THE MONEY TO FIND OR CREATE MARKETS?

 

73.     PROCESSORS KNOW WHAT PRODUCT THEIR EQUIPMENT WILL PRODUCE. PAY US THE MONEY AND LET US IDENTIFY THE MARKETS WE CAN SERVE WITH THE PRODUCT WE PRODUCE.

 

WHAT MARKETS SHOULD BE APPROVED?

 

 

74.     THE SUPPORT WE NEED FROM THE REGULATORY AGENCY IS PROMPT APPROVAL OF THE MARKETS THAT WE FIND.

 

75.     THIS WOULD REQUIRE A COMMON SENSE APPROACH FOR THE TIMELY APPROVAL OF MARKETS BY THE REGULATORY AGENCY IN EACH STATE.

 

ARE THERE MARKETS THAT WILL PAY FOR TIRE RECYCLING WITHOUT A TIP FEE?

 

 

76.     ITS NICE TO COME TOGETHER AT THESE MEETINGS AND TALK ABOUT FUTURE MARKETS THAT WILL POSSIBLY PAY FOR TIRE RECYCLING WITHOUT A TIP FEE.

 

77.     BUT I BELIEVE THE JURY IS STILL OUT AS TO WHETHER OR NOT THERE IS A MARKET SOMEWHERE IN THE FUTURE THAT WILL PAY FOR TIRE RECYCLING.

 

78.     ONE THING I DO KNOW FOR SURE IS THAT THERE ARE A LOT OF TIRES THAT WILL HAVE BE DEALT WITH WHILE THOSE MARKETS DEVELOP, IF THEY DO DEVELOP.

 

79.     AS A PROCESSOR WE HAVE TO DEAL WITH THOSE TIRES NOW, IN LARGE QUANTITIES EVERY DAY. THAT SERVICE REQUIRES AN UP FRONT TIP FEE.

 

80.     AS REGULATORS WE HOPE YOU WILL UNDERSTAND THAT AS SOON AS OTHER MARKETS ARE AVAILABLE AND WE HAVE THE CHOICE OF SELLING OUR PRODUCT FOR $180 A TON AS OPPOSED TO $25 A TON. WE WILL BE SENDING OUR RUBBER TO THE $180 TON MARKET.

 

81.     I THINK APPROVING A MARKET SHOULD BE AS SIMPLE AS, “IF IT IS ENVIRONMENTALLY SAFE AND SOMEONE WANTS TO USE IT, APPROVE IT AS A MARKET.

 

SLIDE #23

DIVERSITY OF MARKETS

 

A PROCESSOR SHOULD HAVE AT LEAST (5) FIVE MARKETS TO INSURE IT’S ABILITY TO DELIVER PRODUCT WITHOUT INTERRUPTION.

 

 

 

82.     THIS CONCEPT MIGHT NOT HAVE WORKED THREE YEARS AGO BECAUSE OF AVAILABILITY OF MARKETS.

 

83.     MARKETS HAVE IMPROVED, THANKS TO DANA; TO THE POINT WHERE I BELIEVE THE REQUIREMENT TO DELIVER PRODUCT TO MARKET BEFORE THE PROCESSOR IS PAID COULD WORK IN ANY STATE.

 

THE PROCESSOR NEEDS TO DETERMINE THE MARKET IT WANTS TO PURSUE.

 

 

A FEW EXAMPLES OF MARKETS THAT SHOULD BE STANDARD IN EVERY STATE ARE: TIRE DERIVED FUEL--- SEPTIC SYSTEMS---EMBANKMENT FILL--- ALT.DAILY COVER AT LANDFILLS--- MULCH--- CRUMB RUBBER PRODUCTS--- LAND RECLAMATION--- LAND FILL CONSTRUCTION---AND MORE

 

THE PROCESSOR IS THE MOST VIABLE PART OF A PROGRAM THAT OFFERS “A TOTAL SOLUTION” BECAUSE OF THEIR ABILITY TO SERVE DIVERSE MARKETS.

 

 

 

 

SLIDE #24

ENCOURAGE MARKETS

 

NOT PART OF LOUISIANA PROGRAM

 

 

 

  $50 / ton to any facility which reduces TIRE RUBBER into CRUMB RUBBER or any other PROCESS that separates TIRE components sold into markets.

 

 

 

SLIDE #25

WHY THE CONCEPT WORKS

 

Everyone gets PAID for what they contribute

 

 

TIRE DEALER gets FREE TIRE recycling.

 

 

 

AGENCY PAID to administer program.

 

 

Transporter PAID to deliver tires to

TIRE RECYCLER.

 

&