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Vol. 3, Num. 7

July 2002

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Ice cream cone maker cited for sloppiness

Wastewater violations at Flagstaff’s Joy Cone plant lead to fines

By Lisa Rayner
Tea Party Publisher

An ice cream cone factory located at the city’s Pulliam Airport Office Park has been found to be discharging industrial wastewater that violates local and federal pollution standards. The plant has apparently been in violation since it opened in 1999. The plant, operated by Joy Cone, has exceeded effluent limits for Biochemical Oxygen Demand, Total Suspended Solids and pH levels on a number of occasions over the past three years. The city discharge limit for BOD is 300 mg/l and is 350 mg/l for TSS. Water may not exceed a pH level of 6.0–12.5.

The city of Flagstaff and Joy Cone signed a Settlement and Compliance Schedule Agreement on June 6. The Agreement was passed by the Flagstaff City Council.

The Agreement states that the wastewater violations “have resulted from an inadequate testing site. In addition, the city’s records indicate that Joy Cone has failed to submit monthly self-monitoring reports for July, August, October and December 2001, and has failed to perform adequate biannual sampling.” Joy Cone’s wastewater permit requires the company to “submit to the city on a regular schedule, self-monitoring reports documenting the results of Joy Cone’s representative sampling and testing of its wastewater prior to its discharge to the wastewater system.”

Joy Cone is potentially liable for fines and surcharges totaling $30,025. However, the Agreement includes a fine of only $2,432. Furthermore, “Joy Cone shall maintain a monthly wastewater monitoring schedule for the discharge of BOD, TSS, and pH.” The company will “submit a formal written report on the results of such sampling to the City within five days from the last day of each month.” In addition, Joy Cone will “design and install on-site wastewater pretreatment facilities at its Flagstaff facility.” If the company fails to meet the construction timeline of one year, or continues to violate local wastewater regulations, additional fines and surcharges will be assessed up to $30,025.

Joy Cone Co., a private company established in 1918 by the George family, is the largest cone manufacturer in the United States and Canada. Company headquarters are located in Hermitage, Pa. Joy Cone supplies more than 1 billion cones per year, and has a near monopoly of the U.S. ice cream cone market. The company supplies all of the cones sold by McDonald’s, and also sells to chains such as Dairy Queen and Safeway.

David George, Joy Cone's western operations manager said in a Daily Sun business article on April 4, 2000, "We wanted to be close to two large markets — that being California and Texas — and since we're a bakery, we didn't want to be located in Phoenix, where it gets awfully hot in the summer time. … We wanted to be in a community that was similar to the one we have back in Pennsylvania, and we think Flagstaff is the type of community we want to be in. There's a strong work ethic, and people seem to take pride in their community here."

Joy Cone hoped at the time that the Flagstaff plant would ultimately have 10 cake cone ovens producing about 1.2 million cones per day, resulting in $15–20 million in annual revenue for the company.

The plant was highly touted by the Greater Flagstaff Economic Council and the Arizona Daily Sun as a success story for Flagstaff economic development efforts.

The Daily Sun article said, “There's something sweet about the beginning of the Joy Cone Co.'s operation in Flagstaff, and it has more to do with the ice cream cone manufacturer's promising start here than the tasty aroma of the baking cake cones wafting through the facility. … The scoop on Flagstaff's newest mass-production manufacturer is nothing but promising.”

The 63,000-square-foot plant was the first resident of the Pulliam Airport Business Center. The 106-acre manufacturing/office park offers public/private partnerships between developers and the city of Flagstaff. Residents of the business center now include Peabody Energy and several other large businesses.

At the time of Joy Cone’s opening, The Arizona Department of Commerce awarded Joy Cone a $40,000 job training grant “contingent upon the company's plan to hire at least 40 employees and offer a competitive pay scale,” according to the Daily Sun. Joy Cone Co. was the first qualified manufacturer to locate in the Coconino County Enterprise Zone. Due to the Enterprise Zone designation, Joy Cone also qualified for state income tax credits of $3,000 per new job created over three years, and a state property tax abatement of 40 percent to 60 percent over five years. In addition, Joy Cone received two Certificates of Investment from the Arizona Department of Commerce that are good for up to five years.

For more information about Joy Cone, visit www.joycone.com.