Army Corps dumps
sign that Gregory Canyon Ltd. is in financial trouble
J. Harry Jones, April 28, 2014
Another blow to the proposed Gregory Canyon landfill
was delivered Monday by the U.S. Army Corps of Engineers,
which announced it will cease work on a crucial permit for
the project because the developers havent provided information
needed to keep the process moving.
withdrawal of the Clean Water Act Section 404 permit application
is a significant hurdle in the 20-year effort to get the landfill
built. Most of the approvals needed for the project are predicated
on the Corps permit; the other applications cant move
forward with it.
company behind the landfill, Gregory Canyon Ltd., has suffered
a series of financial and procedural setbacks over the last
Canyon spokeswoman Nancy Chase said Monday the company is
very close to securing new financing and when
it does it will reinstate the application with the Corps.
couldnt keep it open after a certain period of time
and we havent had the financing to continue the work,
Chase said. But the good news is we can reinstate with
no loss of time and no dollar penalties. We wont go
predicted new financing will be obtained within the next 60
photoA recent court decision may delay the opening of the
Gregory Canyon landfill.
proposed dump has been bitterly opposed by environmental groups
and neighboring property owners, including the Pala Band of
Corps has been working on Gregory Canyons permit application
for more than four years and has authority over the project
because of the sites proximity to the San Luis Rey River.
The agency issued a draft environmental report on dump in
then, the developer has not provided the necessary additional
resources and information essential for the Corps to complete
its evaluation and make an informed permit decision,
the agency said in a news release Monday.
spokesman Greg Fuderer said dropping the application means
the Corps wont make a decision on the permit. He said
it has been several months since any work has been done on
the application because requested information was not forthcoming.
Corps is not making a decision at this time as we do not have
the information we need to conclude the analysis, said
David Castanon, chief of the districts Regulatory Division
in the news release.
said should Gregory Canyon Ltd., chose to continue the permit
evaluation process, it may resubmit an application package,
including updated technical information for the Corps to consider.
we still view the reports that were done previously as being
accurate and applicable at the time someone may decided to
resurrect this, then we would accept them. But if a significant
amount of time has elapsed
then those report studies
would have to be redone.
said it is not unusual for the Corps to withdraw applications
when they dont get needed information.
ones just a little more public, a little more in the
spotlight then most of them are, he said. But
its not a unique situation to withdraw an application.
with Gregory Canyon Ltd. have said its investors have poured
more than $62 million into the project since it was first
proposed more than two decades ago.
month bankruptcy proceedings were dismissed because the company
failed to retain an attorney or file any necessary paperwork
the time, Chase characterized the dismissal of the bankruptcy
as a good thing and said the company was working
on obtaining new financing.
January, the countys Air Pollution Control District
suspended work on a different dump-related application because
the district was owed at least $320,000 for work that had
already been done plus penalties.
landfill would be built on land roughly three miles east of
Interstate 15 and just south of state Route 76 in a canyon
just west of the Pala Indian Reservation. Environmental groups,
the Pala tribe, and several municipalities who get some of
their water from the San Luis Rey River have long opposed
another indication this project is drawing its last breath,
said attorney Everett DeLano, an environmental lawyer who
has fought the dump plans for many years.
think clearly its more evidence they cant pay
their bills and cant find new investors. And thats
because the project doesnt pencil out, added Walter
Rusinek, a lawyer who represents the Pala tribe. I assume
they owe the Corps money or the Corps contractors money.