An exclusive survey from Aggregates Manager reveals what producers can expect when seeking their next permit.

by Therese Dunphy, Editor-in-Chief

For years, the permitting process has remained predictable. A producer seeks a permit for a new aggregate operation or the expansion of an existing one. A group of local citizens or regulators oppose the permit. Community pressure is brought to bear upon the elected officials sitting on the zoning board. They either cave to said pressure or develop a costly laundry list of requirements if a permit is granted.

Typically, the important uses of aggregates such as the construction of highways, bridges, homes, schools, and hospitals are lost among concerns about blast vibrations, groundwater concerns, and noise and dust complaints. Urban legend (or at least industry lore) suggests that years may pass and millions of dollars may be spent in order to secure a permit. So what’s the real picture? How long does it take to secure a permit? What does it cost? How do those factors vary based on operation size and location? These are some of the questions tackled by the Aggregates Manager Permitting Survey.

In May, the survey was sent to a select portion of our readership including many company owners and executives. More than 400 responses were returned, including responses from every state with the nation. In terms of production, 49.3 percent of respondents produced less than 500,000 tons per year or less, while 16.2 percent produced more than 3 million tons per year. Slightly fewer than 70 percent of respondents worked for small, independent companies and slightly more than 30 percent worked for a site that was a subsidiary or part of a larger company.

The buck stops here

One goal of the survey was to capture industry sentiment about whether the permitting climate has changed during recent years. Rather than rely on anecdotal evidence, we sought specific information about producer experiences with this issue. On a scale of 1 to 5 (1 represents strongly disagree, 5 represents strongly agree), 75.1 percent of producers said they believe that permitting has become more difficult during the last decade. Not surprisingly, the West demonstrated the sharpest response to this question with 88.0 percent of respondents strongly agreeing that permitting was indeed tougher now than 10 years ago.

In terms of cost, 77.2 percent of respondents said that permitting has become more expensive during the last decade. In contrast 0.2 percent disagreed with that premise. Again, the West chimed in with the strongest reaction; 87.7 percent there strongly agreed with the statement. In terms of production, sand and gravel producers edged out crushed stone producers with 80.0 percent and 79.7 percent, respectively, agreeing with the assumption.