The Law & BFI
BFI is a major violator. Do not let them dump garbage, risking children and families.
BFI Services violated Clean Water act(1996)
   * BFI dumped millions of gallons of raw sewage in Philadelphia
   * BFI gave false water samples to public agencies
   * BFI paid millions in fines and restitution(17,19)

BFI tampered with a monitoring device at a Pennsylvania incinerator(1995)
   *After admitting to the tampering it shut down the incinerator(20)

BFI operated an illegal transfer station in Florida(1997)(20)

BFI illegally dumped biomedical waste in Washington, DC(1997)
   *BFI was fined $1.5
million dollars(22)

BFI suppressed reports regarding landfill gas and dumping beyond permitted boundaries in Minnesota(1990)

   *After admitting that it suppressed the reports, BFI abandoned plans to expand the landfill(23,24)

BFI continually broke the law at a landfill in Louisiana(1990)
   *B
FI failed to apply proper cover material
   *BFI illegally disposed of infectious waste
   *BFI failed to keep litter from blowing off the landfill
   *BFI allowed
contaminated liquid to seep from the landfill
   *BFI was eventually forced to close the landfill(25-27)

The following BFI landfills have been the subject of legal or administrative actions:
   * San Antonio Texas: Garbage and Sludge odors, dust and blowing debris, odors and mud
      spread by garbage trucks(1996-97)(28-29)
   * Donna Texas: air and water pollution(1995)(30)
   * Baltimore, Maryland: water pollution (1994(32)
   * Reading, Pennsylvania:
water pollution(1994)(34)
   * Cleveland Ohio: odor and noise(1992,1997)(34,35)
   * San Mateo, California: storm water runoff destroys streambed(1993)(36)
   * Pittsburgh, California: Odors, blowing dust, blowing trash(1993)(37)
   * Ohio, Alabama, and New York: illegal burying of sludge(1991(38)
   * Louisiana: odors and noise; 1400 violations of Hazardous waste regulations :
     (1989, 1990,1993) (39,40)
   * Illinois: depositing waste in excess of permit level(1997)(41)
   * Virginia: odors(1997)(42)Problems/Violations

BFI and its subsidiaries have a long-checkered past when it comes to both polluting the environment and dealing fairly with competition. BFI's violations range from illegal disposal of hazardous wastes to price fixing/ anti-trust violations; and, state officials have pled guilty to accepting bribes from BFI. Recently, BFI compiled a ten-year history of their company and presented it to Pennsylvania's DER in response to questions about the company's integrity with regards to a proposed 154-acre landfill in Berks county. They admitted to the following:270 civil penalties, administrative orders, permit or license suspensions and revocations, as well as bond forfeiture actions, 10 misdemeanor or felony convictions and pleas; 24 court decrees or settlement orders and one pending courtcase.10.  (It must be noted that this is merely covers the period from 1981-1991.) In addition, BFI and subsidiaries have disclosed more than $75.5 million in fines and settlements from 1972-1994. (11)  This is by no means a comprehensive list. Complete data concerning fines on numerous violations are simply unavailable. This data serves to illustrate the scope BFI's violations and its history of disregard for the law.

Anti-Trust/Miscellaneous Violations

BFI's violations in this respect tend to center on illegal attempts to take over/monopolize individual markets by forcing out competitors. In more than one instance, BFI and/state officials involved with their permits or applications have plead guilty to, or paid penalties to settle charges of bribery.

1984: $3 million settlement to avoid inclusion in list of defendants being sued by NJ for price fixing and bribery of state officials.(12)

1984: Approximately $6 million out of court settlement with Conservation Management concerning a lawsuit by Conservation which alleged that BFI had bribed a Texas state senator who was to help defeat Conservation's landfill application.(13)

1985: $130,000 settlement with state of Georgia, concerning charges of price fixing, bid rigging and customer allocation designed to undercut competitors.(14)

1987: Guilty plea and $1 million fine to the Dept. of Justice for price fixing and customer allocation conspiracy with WMI in Ohio and Michigan.(15)

1988: $350,000 settlement with the state of Ohio, in Toledo to settle price fixing charges.(16)

1988: $6.5 million civil court judgment in Burlington Vt., for anti-trust activities including predatory pricing.(17)

1989: A New Jersey grand jury indicted John A. Pinto (BFI regional vice president,1975-1981) for customer allocation and coercion in price fixing scheme from 1970-1984. In 1989, Pinto plead guilty and paid a $50,00 fine. Pinto continued to receive $125,000/year until 1984 when he retired. "As set forth in testimony before the New York State Assembly Committee, Pinto clearly had ties to organized crime, and was appointed by and reported directly to, John Drury, BFI's president."(18)

1990: $30.5 million out of court settlement resulting from a class action lawsuit brought by customers against BFI and WMI alleging price fixing and customer allocation.(19)

1994: $4.2 million fine in Kane County. IL, for price fixing.(20)

1995: Texas state employee with The Natural Resource Conservation Commission pleads guilty to accepting a bribe from BFI in exchange for a favorable permit ruling.(21)

1996: Settlement reached by BFI and WMI with Justice Dept. in Memphis Tenn., Georgia, Iowa and Louisiana for illegal contracts and other anti-trust violations. BFI agreed to stop the practices and no penalties were assessed. Concerning BFI's practices, the Justice Dept said, BFI "intentionally used restrictive contracts to inhibit competition and enhance its power over commercial customers".(22)

1998: BFI reached an agreement with the US Dept. of Labor. The company was cited for gender discrimination against 11 women who had applied for positions as truck drivers. The agreement included $213,754 in back wages and guaranteed employment for the women. (23)

1998: BFI reached a $682,000 settlement with the Solid Waste Authority in Contra Costa County California, considerably less than the fines of $1.5 million originally proposed by the Waste Authority.(24)

1998: BFI was sued by the federal Equal Opportunity Employment Commission in Pittsburgh Pa. The suit alleges that BFI discriminated against a job applicant because of his age, and that the company hired a younger, less qualified applicant.(25)

1998: BFI was fined $331,000 for missed pickups in Jefferson Parish, La.(26)

1999: BFI paid Daughtery Township Pa, $800,000 to settle a lawsuit filed in federal court. The township had accused BFI of avoiding tax payments by illegally altering the manner in which it calculated gross receipts for a landfill. (27)

Environmental Violations

The Clarion Ledger, (Jackson Miss.) had this to say about BFI after concluding a ten month investigative report into environmental problems resulting from the company's waste disposal practices: "BFI's purring Cadillac could be more hearse then limousine" and "BFI and its analogs offer essential services. BFI's role is not at issue: its performance is."(28)

1976: $200,000 statutory civil penalty in Texas for selling toxic waste sludge as oil to be applied to state roads.(29)

1985: $64,200 in fines paid to EPA for groundwater monitoring violations at Missoula, Montana hazardous waste landfill.(30)

1987: $23,000 in penalties for accepting inadequately protected radioactive waste at Beatty, Nev.(31)

1987: $25,000 fine for an illegal landfill expansion in Randolph, Mass.(32)

1987: $200,000 for various violations at solid and bio-medical waste facility in Crescent Acres, LA.(33)

1987: $104,000 in Hutchins Texas for failure to renew leach ate discharge permit at solid waste landfill.(34)

1988: $41,870 in penalties paid to State of Illinois and EPA for contamination of groundwater.(35)

1988: $150,000 in Randolph Mass. for land filling more waste than permitted.(36)

1988: $2.5 million in penalties paid to state and EPA for over 2,500 violations in Livingston, La., hazardous waste landfill.(37)

1989: $280,00 for non hygienic operating conditions at Crescent Acres, La., Solid/Medical Waste facility.(38)

1990: $3.525 million in penalties paid in a plea bargain arrangement where BFI pleaded guilty to discharging hazardous waste into drinking water supplies in Williamsburg Ohio.(39)

1990: $1.55 million for over 1,400 violations at hazardous waste landfill in Calcasieu, La.(40)

1990: $659,000 in penalties to EPA for failure to obey post closure monitoring requirements of solid waste landfill in South Brunswick NJ.(41)

1993: $1.1 million settlement with state of California for the bay area's worst sediment spill ever, which resulted from a BFI landfill and severely damaged two streams.(42)

1996: Part of $11 million settlement in Johnson County KS., to clean up Doepke-Holliday landfill that had been used from 1950-1970 to store waste from homes, pesticides plants, oil refineries etc.(43)

1997: $5+million in fines and restitution in West Chester, PA for illegal disposal of wastewater treatment sludge from 1989-1992. Previously, BFI had pled guilty to a 23-count indictment charging them with conspiracy, mail fraud, and Clean Water Act charges involving the illegal disposal of the sludge at five plants in Pennsylvania and Delaware by BFI Services West Chester waste hauling operation. BFI was ordered not only to pay $3 million, but restitution of $6.4 million to four wastewater  treatment plants, as well as $1.5 million to organizations that handle environmental concerns of the PA/DE region.(44)

1998: $1.5 million in penalties paid by BFI for violations of the Clean Water Act in Washington D.C. by its Maryland subsidiary. BFI admitted three criminal violations stemming from the release of wastewater contaminated with improperly treated medical waste. BFI corporate spokeswoman, Barbara Brescian said the company settled, "in the interest of putting this two year old situation behind us. BFI vigorously maintains our subsidiary committed no wrong."(45)

Organizing Tips

Determine if your state has a "bad boy" law which prevents companies with felony convictions from opening landfills or other waste disposal operations. Share BFI's background, (particularly their record of bribery), with friendly media sources and encourage them to look into this. With regards to landfills, determine the approved capacity of the landfill and attempt to determine if BFI is exceeding landfill capacity. (This seems to be a pattern common to the waste industry; keep dumping while waiting for a landfill expansion permit and/or just overfill approved capacity.) For more on strategy, see our Generic Strategy Guide.

Special Thanks to EBIC intern Hillary Hollier for her work on this project.

References
1. Crooks, Harold. Giants of Garbage. 1993. p. 37.
2. Browning-Ferris Industries: A Corporate Profile. Will Collette, Brian Patterson, Brian Lipsett.
July 1987, p. 1.
3. Crooks, Giants, p. 38.
4. Crooks, Giants, p. 38.
5. Crooks, Giants, p. 40
6. Ibid, p.50, 58-59
7. Ibid, p.59
8. Ibid, p.59
9. Ibid, p.59
10. Brown, Andrea S. "BFI, the Waste Disposal company has long record of fines, suits, penalties." Lancaster New Era, 07/27/92
11. Form C Compliance History: Browning Ferris Industries Inc. and Subsidiaries, filed with Commonwealth of Pennsylvania, Dept. OF environmental Resources, Bureau of Solid Waste Management, July 1, 1992.
12. Cumberland Farms, et. al vs. Browning Ferris Industries, Plaintiff's Memorandum in Opposition to Defendant's Motion for Summary Judgment, United States District Court for the Eastern District of Pennsylvania, No. 87-3717, p.62
13. Ibid, p.66.
14. Ibid, pp.24-28.
15. Ibid, p. 13.
16. Ibid, p.13
17. Ibid, p.69
18. Ibid, p.61-62
19. Zuckerman, Laura . Trash Talk: BFI. The Hutchinson News, 09/22/96. p. 13
20. Yip, Pamela. Feb. 24, 1994. Browning Ferris Hit with Anti-trust Ruling. The Houston Chronicle, The Houston Chronicle Publishing Company.
21. The Dallas Morning News, "Ex-Panel Employee Given Probation" July, 1,1995
22. Conner, Charles, Commercial Appeal, "BFI Sued Here on Monopoly Charges"
February 16, 1996, p.1.
23. Turner, Missy. Browning-Ferris Comes to Terms with Labor Department. The San Antonio Business Journal, 07/24/98.
24. Schevitz, Tanya. Free pickup for Garbage Customers Hit by Strike. The San Francisco Chronicle, 10/24/98
25. McKay, Jim. Waste Hauler Sued by EEOC. Pittsburgh Post Gazette 10/01/98.
26. Pompilio, Natalie. Council OK's Waste Contract in Jeff; Recycling Costs Up 7cents a Month. The Times Picayune, 11/19/98.
27. Pittsburgh Post-Gazette. 01/13/99
28. Crooks, Giants pp.53-54
29. Ibid, p.54
30. Form C Compliance History: Browning Ferris Industries Inc. and Subsidiaries, filed with Commonwealth of Pennsylvania, Dept. of Environmental Resources, Bureau of Solid Waste Management, July 1, 1992 p.60
31. Barette, Partial List of Fines and Convictions Imposed on BFI and Filials. 1995
32. Form C Compliance History: Browning Ferris Industries Inc. and Subsidiaries, filed with Commonwealth of Pennsylvania, Dept. of Environmental Resources, Bureau of Solid Waste
Management, July 1, 1992. p. 65.
33. Ibid, p.66
34. Barette, Partial List of Fines and Convictions Imposed on BFI and Filials. 1995.
35. Form C Compliance History: Browning Ferris Industries Inc. and Subsidiaries, filed with Commonwealth of Pennsylvania, Dept. of Environmental Resources, Bureau of Solid Waste Management, July 1, 1992. p. 73
36. Ibid, p. 77
37. Ibid, p. 124
38. Form C Compliance History: Browning Ferris Industries Inc. and Subsidiaries, filed with Commonwealth of Pennsylvania, Dept. of Environmental Resources, Bureau of Solid Waste Management, July 1, 1992 p.86
39. Ibid, p. 47 and 126
40. Ibid p. 127
41. Barette, Partial List of Fines and Convictions Imposed on BFI and Filials. 1995.
42. The San Francisco Chronicle, October 21, 1993. "1.1 Million Settlement in Sediment Spill"
43. Business Communications Company Inc., Waste Treatment Technology News: "Companies Agree to Clean Kansas Site" No. 7, Vol. 12, April 1, 1996.
44. Enviro-Bytes, The Environmental Protection Agency. "West Chester, PA company pays fines in disposal scam." Mid-Atlantic Region July 25, 1997.
45. Miller, Bill. Firm to Pay $1.5 Million for Violating Water Act: Medical Waste Flowed Into Sewers. The Washington Post, 06/02/98
The federal Government sued BFI for attempting to monopolize waste hauling in states such as Tennesee(1996)(43) 

As of 1992 BFI had admitted to at least:
  - 270 civil penalties, administrative orders, permit or license suspensions and revocations and
     bond
forfeiture acts.
  - 10 misdemeanor or felony convictions and pleas
  - 24 court decrees or settlement orders(44)

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