Cover Page
Cover Page - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 13, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-14267 | ||
Entity Registrant Name | REPUBLIC SERVICES, INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 65-0716904 | ||
Entity Address, Address Line One | 18500 North Allied Way | ||
Entity Address, City or Town | Phoenix | ||
Entity Address, State or Province | AZ | ||
Entity Address, Postal Zip Code | 85054 | ||
City Area Code | 480 | ||
Local Phone Number | 627-2700 | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | ||
Trading Symbol | RSG | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 48.4 | ||
Entity Common Stock, Shares Outstanding (in shares) | 314,610,579 | ||
Documents Incorporated by Reference | Portions of the Registrant’s Proxy Statement relative to the 2024 Annual Meeting of Shareholders are incorporated by reference in Part III hereof. | ||
Entity Central Index Key | 0001060391 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor Information [Abstract] | |
Auditor Name | Ernst & Young LLP |
Auditor Location | Phoenix, Arizona |
Auditor Firm ID | 42 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 140 | $ 143.4 |
Accounts receivable, less allowance for doubtful accounts and other of $83.2 and $51.9, respectively | 1,768.4 | 1,677.2 |
Prepaid expenses and other current assets | 472.6 | 536.5 |
Total current assets | 2,381 | 2,357.1 |
Restricted cash and marketable securities | 163.6 | 127.6 |
Property and equipment, net | 11,350.9 | 10,744 |
Goodwill | 15,834.5 | 14,451.5 |
Other intangible assets, net | 496.2 | 347.2 |
Other assets | 1,183.9 | 1,025.5 |
Total assets | 31,410.1 | 29,052.9 |
Current liabilities: | ||
Accounts payable | 1,411.5 | 1,221.8 |
Notes payable and current maturities of long-term debt | 932.3 | 456 |
Deferred revenue | 467.3 | 443 |
Accrued landfill and environmental costs, current portion | 141.6 | 132.6 |
Accrued interest | 104.1 | 79 |
Other accrued liabilities | 1,171.5 | 1,058.3 |
Total current liabilities | 4,228.3 | 3,390.7 |
Long-term debt, net of current maturities | 11,887.1 | 11,329.5 |
Accrued landfill and environmental costs, net of current portion | 2,281 | 2,141.3 |
Deferred income taxes and other long-term tax liabilities, net | 1,526.8 | 1,528.8 |
Insurance reserves, net of current portion | 348.8 | 315.1 |
Other long-term liabilities | 594.6 | 660.7 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, par value $0.01 per share; 50 shares authorized; none issued | 0 | 0 |
Common stock, par value $0.01 per share; 750 shares authorized; 320.7 and 320.3 issued including shares held in treasury, respectively | 3.2 | 3.2 |
Additional paid-in capital | 2,900.8 | 2,843.2 |
Retained earnings | 8,433.9 | 7,356.3 |
Treasury stock, at cost; 6.1 and 4.2 shares, respectively | (783.5) | (504.6) |
Accumulated other comprehensive income, net of tax | (12.1) | (12.1) |
Total Republic Services, Inc. stockholders’ equity | 10,542.3 | 9,686 |
Non-controlling interests in consolidated subsidiary | 1.2 | 0.8 |
Total stockholders’ equity | 10,543.5 | 9,686.8 |
Total liabilities and stockholders’ equity | $ 31,410.1 | $ 29,052.9 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Allowance for doubtful accounts | $ 83.2 | $ 51.9 |
Stockholders’ equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 750,000,000 | 750,000,000 |
Common stock, shares issued (in shares) | 320,700,000 | 320,300,000 |
Treasury stock, shares (in shares) | 6,100,000 | 4,200,000 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Revenue | $ 14,964,500 | $ 13,511,300 | $ 11,295,000 |
Expenses: | |||
Cost of operations | 8,942,200 | 8,205,000 | 6,737,700 |
Depreciation, amortization and depletion | 1,501,400 | 1,351,600 | 1,185,500 |
Accretion | 97,900 | 89,600 | 82,700 |
Selling, general and administrative | 1,608,700 | 1,454,300 | 1,195,800 |
Adjustment to withdrawal liability for multiemployer pension funds | 4,500 | (1,600) | 0 |
(Gain) loss on business divestitures and impairments, net | (3,600) | (6,300) | 500 |
Restructuring charges | 33,200 | 27,000 | 16,600 |
Operating income | 2,780,200 | 2,391,700 | 2,076,200 |
Interest expense | (508,200) | (395,600) | (314,600) |
Loss from unconsolidated equity method investments | (94,300) | (165,600) | (188,500) |
Loss on extinguishment of debt | (200) | 0 | 0 |
Interest income | 6,500 | 3,300 | 2,500 |
Other income (expense), net | 7,500 | (2,300) | (500) |
Income before income taxes | 2,191,500 | 1,831,500 | 1,575,100 |
Provision for income taxes | 460,100 | 343,900 | 282,800 |
Net income | 1,731,400 | 1,487,600 | 1,292,300 |
Net income attributable to non-controlling interests in consolidated subsidiary | (400) | 0 | (1,900) |
Net income attributable to Republic Services, Inc. | $ 1,730,985 | $ 1,487,586 | $ 1,290,405 |
Basic earnings per share attributable to Republic Services, Inc. stockholders: | |||
Basic earnings per share (in dollars per share) | $ 5.47 | $ 4.70 | $ 4.05 |
Weighted average common shares outstanding (in shares) | 316,182 | 316,530 | 318,811 |
Diluted earnings per share attributable to Republic Services, Inc. stockholders: | |||
Diluted earnings per share (in dollars per share) | $ 5.47 | $ 4.69 | $ 4.04 |
Weighted average common and common equivalent shares outstanding (in shares) | 316,665 | 317,080 | 319,425 |
Cash dividends per common share ( in dollars per share) | $ 2.06 | $ 1.91 | $ 1.77 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 1,731.4 | $ 1,487.6 | $ 1,292.3 |
Hedging activity: | |||
Realized (income) loss reclassified into earnings | (9.3) | 1.1 | 4.6 |
Unrealized gain | 14 | 8.4 | 0 |
Pension activity: | |||
Change in funded status of pension plan obligations | (0.3) | (2) | (6.8) |
Foreign currency activity: | |||
Unrealized loss on foreign currency translation | (4.4) | (5) | 0 |
Other comprehensive income (loss), net of tax | 0 | 2.5 | (2.2) |
Comprehensive income | 1,731.4 | 1,490.1 | 1,290.1 |
Comprehensive income attributable to non-controlling interests | (0.4) | 0 | (1.9) |
Comprehensive income attributable to Republic Services, Inc. | $ 1,731 | $ 1,490.1 | $ 1,288.2 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Loss, Net of Tax | Non-controlling Interests In Consolidated Subsidiary |
Beginning balance (in shares) at Dec. 31, 2020 | 318.8 | ||||||
Treasury stock beginning balance (in shares) at Dec. 31, 2020 | 0 | ||||||
Balance at beginning of period at Dec. 31, 2020 | $ 8,488.8 | $ 3.2 | $ 2,741.4 | $ 5,751.8 | $ (0.1) | $ (12.4) | $ 4.9 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 1,292.3 | 1,290.4 | 1.9 | ||||
Change in the value of derivative instruments, net of tax | 4.6 | 4.6 | |||||
Employee benefit plan liability adjustments, net of tax | (6.8) | (6.8) | |||||
Loss on foreign currency translation | 0 | ||||||
Cash dividends declared | (563) | (563) | |||||
Issuances of common stock (in shares) | 0.8 | 0.2 | |||||
Issuances of common stock | (12) | 10.5 | $ (22.5) | ||||
Stock-based compensation | 56.7 | 60.3 | (3.6) | ||||
Purchase of common stock for treasury (in shares) | (2.2) | ||||||
Purchase of common stock for treasury | (252.2) | $ (252.2) | |||||
Purchase of minority interest | (27.5) | (22.7) | (4.8) | ||||
Distributions paid | (1.2) | (1.2) | |||||
Ending balance (in shares) at Dec. 31, 2021 | 319.6 | ||||||
Treasury stock ending balance (in shares) at Dec. 31, 2021 | 2.4 | ||||||
Balance at end of period at Dec. 31, 2021 | 8,979.7 | $ 3.2 | 2,789.5 | 6,475.6 | $ (274.8) | (14.6) | 0.8 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 1,487.6 | 1,487.6 | |||||
Change in the value of derivative instruments, net of tax | 9.5 | 9.5 | |||||
Employee benefit plan liability adjustments, net of tax | (2) | (2) | |||||
Loss on foreign currency translation | (5) | (5) | |||||
Cash dividends declared | (603.4) | (603.4) | |||||
Issuances of common stock (in shares) | 0.7 | 0.2 | |||||
Issuances of common stock | (13.6) | 12.7 | $ (26.3) | ||||
Stock-based compensation | 38.3 | 41.8 | (3.5) | ||||
Purchase of common stock for treasury (in shares) | (1.6) | ||||||
Purchase of common stock for treasury | (203.5) | $ (203.5) | |||||
Distributions paid | $ (0.8) | (0.8) | |||||
Ending balance (in shares) at Dec. 31, 2022 | 320.3 | ||||||
Treasury stock ending balance (in shares) at Dec. 31, 2022 | 4.2 | 4.2 | |||||
Balance at end of period at Dec. 31, 2022 | $ 9,686.8 | $ 3.2 | 2,843.2 | 7,356.3 | $ (504.6) | (12.1) | 0.8 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 1,731.4 | 1,731 | 0.4 | ||||
Change in the value of derivative instruments, net of tax | 4.7 | 4.7 | |||||
Employee benefit plan liability adjustments, net of tax | (0.3) | (0.3) | |||||
Loss on foreign currency translation | (4.4) | (4.4) | |||||
Cash dividends declared | (650) | (650) | |||||
Issuances of common stock (in shares) | 0.4 | 0.1 | |||||
Issuances of common stock | (1.2) | 13.7 | $ (14.9) | ||||
Stock-based compensation | 40.5 | 43.9 | (3.4) | ||||
Purchase of common stock for treasury (in shares) | (1.8) | ||||||
Purchase of common stock for treasury | (264) | $ (264) | |||||
Distributions paid | $ 0 | 0 | |||||
Ending balance (in shares) at Dec. 31, 2023 | 320.7 | ||||||
Treasury stock ending balance (in shares) at Dec. 31, 2023 | 6.1 | 6.1 | |||||
Balance at end of period at Dec. 31, 2023 | $ 10,543.5 | $ 3.2 | $ 2,900.8 | $ 8,433.9 | $ (783.5) | $ (12.1) | $ 1.2 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - Accumulated Other Comprehensive Loss, Net of Tax - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Change in value of derivative instrument, tax | $ 1.7 | $ 3.4 | $ 1.6 |
Employee benefit plan liability adjustments, tax | $ (0.1) | $ (0.7) | $ (2.4) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash provided by operating activities: | |||
Net income | $ 1,731.4 | $ 1,487.6 | $ 1,292.3 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Depreciation, amortization, depletion and accretion | 1,599.3 | 1,441.2 | 1,268.2 |
Non-cash interest expense | 85.8 | 71.6 | 70.5 |
Stock-based compensation | 40.9 | 38.8 | 57 |
Deferred tax provision (benefit) | 101.7 | 181.1 | (15.5) |
Provision for doubtful accounts, net of adjustments | 53.2 | 41.5 | 19.9 |
Loss on extinguishment of debt | 0.2 | 0 | 0 |
(Gain) loss on disposition of assets and asset impairments, net | (1.2) | (9.2) | 0.4 |
Environmental adjustments | 2 | 2.9 | 0.5 |
Loss from unconsolidated equity method investments | 94.3 | 165.6 | 188.5 |
Other non-cash items | (1.6) | (0.1) | (1.1) |
Change in assets and liabilities, net of effects from business acquisitions and divestitures: | |||
Accounts receivable | (71.3) | (198.8) | (135.4) |
Prepaid expenses and other assets | (29.8) | (83.8) | (57) |
Accounts payable | 82.8 | 106.4 | 113.8 |
Capping, closure and post-closure expenditures | (60.8) | (64.6) | (59.6) |
Remediation expenditures | (54.9) | (54.7) | (57.1) |
Other liabilities | 43.4 | 64.5 | 101.3 |
Payments from retirement of certain hedging relationships | 2.4 | 0 | 0 |
Cash provided by operating activities | 3,617.8 | 3,190 | 2,786.7 |
Cash used in investing activities: | |||
Purchases of property and equipment | (1,631.1) | (1,454) | (1,316.3) |
Proceeds from sales of property and equipment | 29.2 | 32.8 | 19.5 |
Cash used in acquisitions and investments, net of cash and restricted cash acquired | (2,065.3) | (3,038.5) | (1,221.7) |
Cash received from business divestitures | 6.4 | 50.6 | 46.3 |
Purchases of restricted marketable securities | (28.9) | (19.6) | (30.8) |
Sales of restricted marketable securities | 13.1 | 19.7 | 37.9 |
Other | 9.8 | (14) | (1) |
Cash used in investing activities | (3,666.8) | (4,423) | (2,466.1) |
Cash provided by (used in) financing activities: | |||
Proceeds from credit facilities and notes payable, net of fees | 39,221.1 | 16,446.3 | 5,154.3 |
Proceeds from issuance of senior notes, net of discount and fees | 2,172.3 | 0 | 692.3 |
Payments of credit facilities and notes payable | (40,410.8) | (14,281.7) | (5,304.5) |
Issuances of common stock, net | (1.2) | (13.6) | (12) |
Purchases of common stock for treasury | (261.8) | (203.5) | (252.2) |
Cash dividends paid | (638.1) | (592.9) | (552.6) |
Distributions paid to non-controlling interests in consolidated subsidiary | 0 | (0.8) | (33.2) |
Contingent consideration payments | (19.6) | (9.6) | (21.3) |
Cash provided by (used in) financing activities | 61.9 | 1,344.2 | (329.2) |
Effect of foreign exchange rate changes on cash | 0.3 | (2.5) | 0 |
Increase (decrease) in cash, cash equivalents, restricted cash and restricted cash equivalents | 13.2 | 108.7 | (8.6) |
Cash, cash equivalents, restricted cash and restricted cash equivalents at beginning of year | 214.3 | 105.6 | 114.2 |
Cash, cash equivalents, restricted cash and restricted cash equivalents at end of year | $ 227.5 | $ 214.3 | $ 105.6 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | BASIS OF PRESENTATION Republic Services, Inc., a Delaware corporation, and its consolidated subsidiaries (also referred to collectively as Republic, the Company, we, us, or our), is one of the largest providers of environmental services in the United States, as measured by revenue. Our senior management evaluates, oversees and manages the financial performance of our operations through three field groups, referred to as Group 1, Group 2 and Group 3. Group 1 is our recycling and waste business operating primarily in geographic areas located in the western United States. Group 2 is our recycling and waste business operating primarily in geographic areas located in the southeastern and mid-western United States, the eastern seaboard of the United States, and Canada. Group 3 is our environmental solutions business operating primarily in geographic areas located across the United States and Canada. These groups represent our reportable segments, which each provide integrated environmental services, including but not limited to collection, transfer, recycling, and disposal. Prior to the third quarter of 2022, our environmental services operating segment, now referred to as our Group 3 reportable segment, was aggregated with Corporate entities and other. The consolidated financial statements include the accounts of Republic Services, Inc. and its wholly owned and majority owned subsidiaries in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). We account for investments in entities in which we do not have a controlling financial interest under the equity method of accounting or, for investments that do not meet the criteria to be accounted for under the equity method, we reflect these investments at their fair value when it is readily determinable. If fair value is not readily determinable, we use an alternative measurement approach. All material intercompany accounts and transactions have been eliminated in consolidation. For comparative purposes, certain prior year amounts have been reclassified to conform to the current year presentation. All dollar amounts in tabular presentations are in millions, except per share amounts and unless otherwise noted. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Management’s Estimates and Assumptions In preparing our financial statements, we make numerous estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. We must make these estimates and assumptions because certain information we use is dependent on future events, cannot be calculated with a high degree of precision from data available or simply cannot be readily calculated based on generally accepted methodologies. In preparing our financial statements, the more critical and subjective areas that deal with the greatest amount of uncertainty relate to our accounting for our long-lived assets, including recoverability, landfill development costs and final capping, closure and post-closure costs; our valuation allowances for accounts receivable and deferred tax assets; our liabilities for potential litigation, claims and assessments; our liabilities for environmental remediation, multiemployer pension plans, employee benefit plans, deferred taxes, uncertain tax positions and insurance reserves; and our estimates of the fair values of assets acquired and liabilities assumed in any acquisition. Each of these items is discussed in more detail elsewhere in these Notes to Consolidated Financial Statements. Our actual results may differ significantly from our estimates. Cash and Cash Equivalents We consider liquid investments with a maturity at the date of acquisition of three months or less to be cash equivalents. We may have net book credit balances in our primary disbursement accounts at the end of a reporting period. We classify such credit balances as accounts payable in our consolidated balance sheets as checks presented for payment to these accounts are not payable by our banks under overdraft arrangements, and, therefore, do not represent short-term borrowings. As of December 31, 2023 and 2022, there were net book credit balances of $148.0 million and $143.5 million, respectively, in our primary disbursement accounts that were classified as accounts payable on our consolidated balance sheets. Concentration of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, trade accounts receivable and derivative instruments. We place our cash and cash equivalents with high quality financial institutions. Such balances may be in excess of FDIC insured limits. To manage the related credit exposure, we continually monitor the credit worthiness of the financial institutions where we have deposits. Concentrations of credit risk with respect to trade accounts receivable are limited due to the wide variety of customers and markets in which we provide services, as well as the dispersion of our operations across many geographic areas. We provide services to small-container, large-container, municipal and residential and environmental solutions customers primarily in the United States and Canada. We perform ongoing credit evaluations of our customers, but generally do not require collateral to support customer receivables. We establish an allowance for doubtful accounts based on various factors including the credit risk of specific customers, age of receivables outstanding, historical trends, economic conditions and other information. Accounts Receivable, Net Accounts receivable represents receivables from customers for environmental services, including collection and processing of recyclable materials, collection, transfer and disposal of solid waste and environmental solutions. Our receivables are recorded when billed or when the related revenue is earned and represent claims against third parties that will be settled in cash. The carrying value of our receivables, net of the allowance for doubtful accounts and customer credits, represents their estimated net realizable value. We establish an allowance for doubtful accounts based on various factors including the age of receivables outstanding, historical trends, economic conditions and other information. We also review outstanding balances on an account-specific basis based on the credit risk of the customer. We determined that all of our accounts receivable share similar risk characteristics. We monitor our credit exposure on an ongoing basis and assess whether assets in the pool continue to display similar risk characteristics. We perform ongoing credit evaluations of our customers, but generally do not require collateral to support customer receivables. The following table reflects the activity in our allowance for doubtful accounts for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 51.9 $ 38.5 $ 34.7 Additions charged to expense 53.2 41.5 19.9 Accounts written-off (21.9) (28.1) (16.1) Balance at end of year $ 83.2 $ 51.9 $ 38.5 Restricted Cash and Marketable Securities As of December 31, 2023 and 2022, we had $163.6 million and $127.6 million, respectively, of restricted cash and marketable securities, of which $120.4 million and $88.5 million, respectively, supports our insurance programs for workers' compensation, commercial general liability and commercial auto liability. Additionally, we obtain funds through the issuance of tax-exempt bonds for the purpose of financing qualifying expenditures at our landfills, transfer stations, collection and recycling centers. The funds are deposited directly into trust accounts by the bonding authorities at the time of issuance. As the use of these funds is contractually restricted, and we do not have the ability to use these funds for general operating purposes, they are classified as restricted cash and marketable securities in our consolidated balance sheets. In the normal course of business, we may be required to provide financial assurance to governmental agencies and a variety of other entities in connection with, among other things, municipal residential collection contracts, closure or post-closure of landfills, environmental remediation, environmental permits and business licenses and permits as a financial guarantee of our performance. At several of our landfills, we satisfy financial assurance requirements by depositing cash into restricted trust funds or escrow accounts. Property and Equipment We record property and equipment at cost. Expenditures for major additions and improvements to facilities are capitalized, while maintenance and repairs are charged to expense as incurred. When property is retired or otherwise disposed, the related cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is reflected in the consolidated statements of income. We revise the estimated useful lives of property and equipment acquired through business acquisitions to conform with our policies. We depreciate assets over their estimated useful lives using the straight-line method. We assume no salvage value for our depreciable property and equipment. The estimated useful lives of our property and equipment are as follows: Buildings and improvements 5 - 30 years Vehicles 5 - 20 years Landfill equipment 5 - 7 years Other equipment 3 - 25 years Furniture and fixtures 3 - 10 years Landfill development costs also are included in property and equipment. Landfill development costs include direct costs incurred to obtain landfill permits and direct costs incurred to acquire, construct and develop sites, as well as final capping, closure and post-closure assets. These costs are amortized or depleted based on consumed airspace. All indirect landfill development costs are expensed as incurred. For additional information, see Note 8, Landfill and Environmental Costs . Capitalized Interest We capitalize interest on all landfill cell construction and other construction or development projects. Interest is capitalized on qualified assets while they undergo activities to ready them for their intended use. Capitalization of interest ceases once an asset is placed into service or if construction activity is suspended for more than a brief period of time. Our interest capitalization rate is based on our weighted average cost of indebtedness. Interest capitalized was $7.8 million for the year ended December 31, 2023 and $5.0 million for each of the years ended December 31, 2022 and 2021. Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, restricted cash and marketable securities, interest rate hedges and other derivatives, long-term debt, contingent consideration arrangements and assets in our defined benefit pension plan. Accounting standards include disclosure requirements around fair values used for certain financial instruments and establish a fair value hierarchy. The hierarchy prioritizes valuation inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of three levels: • Level 1 – inputs are based upon unadjusted quoted prices for identical instruments traded in active markets. • Level 2 – inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 – inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models and similar techniques. See Note 12, Employee Benefit Plans, and Note 18, Financial Instruments, for fair value disclosures related to our defined benefit pension plan investments and financial instruments, respectively. Investments Other Than Derivatives Investments other than derivatives primarily include money market funds, common stock, mutual funds, United States government and agency securities, municipal and corporate bonds and foreign government bonds. In general, and where applicable, we use quoted prices in active markets for identical assets or liabilities to determine fair value. This pricing methodology applies to our Level 1 investments, such as money market funds, common stock and certain mutual funds. If quoted prices in active markets for identical assets or liabilities are not available to determine fair value, then we use quoted prices for similar assets and liabilities or inputs other than the quoted prices that are observable either directly or indirectly. These investments are included in Level 2 and consist primarily of corporate bonds, foreign government bonds, real estate investment trusts and certain agency securities. Derivative Financial Instruments We use derivative financial instruments to manage our risk associated with changing interest rates by creating offsetting market exposures. In prior periods, we entered into multiple agreements designated as cash flow hedges to lock interest rates in anticipation of future debt issuance. In connection with our acquisition of US Ecology, Inc. (US Ecology), in the second quarter of 2022, we acquired and novated a floating-to-fixed interest rate swap agreement that is designated as a cash flow hedge. All derivatives are measured at fair value using standard valuation models with assumptions about prices and other relevant information based on those observed in the underlying markets (Level 2 in the fair value hierarchy). These instruments are recognized in the balance sheet as assets or liabilities, as appropriate. The estimated fair values of derivatives used to hedge risks fluctuate over time and should be viewed in relation to the underlying hedged transactions. For derivatives designated as cash flow hedges, changes in fair value of the effective portions of derivative instruments are reported in stockholders’ equity as components of other comprehensive income until the forecasted transaction occurs or is not probable of occurring. When the forecasted transaction occurs or is not probable of occurring, the realized net gain or loss is then recognized in the consolidated statements of income. Changes in fair value of the ineffective portions are recognized currently in earnings . Landfill and Environmental Costs Life Cycle Accounting We use life-cycle accounting and the units-of-consumption method to recognize certain landfill costs over the life of the site. In life cycle accounting, all current and future capitalized costs to acquire and construct a site are calculated, and charged to expense based on the consumption of cubic yards of available airspace. Costs and airspace estimates are developed at least annually by engineers. We use these estimates to adjust the rates we use to deplete capitalized costs. Changes in these estimates primarily relate to changes in cost estimates, available airspace, inflation and applicable regulations. Changes in available airspace include, but are not limited to, changes due to the addition of airspace attributable to probable expansion areas, airspace consumed and changes in engineering estimates. Probable Expansion Airspace We classify landfill disposal capacity as either permitted (having received the final permit from the applicable regulatory agency) or as probable expansion airspace. Before airspace included in an expansion area is determined to be probable expansion airspace and, therefore, is included in our calculation of total available disposal capacity, all of the following criteria must be met: • We own the land associated with the expansion airspace or control it pursuant to an option agreement; • We are committed to supporting the expansion project financially and with appropriate resources; • There are no identified fatal flaws or impediments associated with the project, including political impediments; • Progress is being made on the project; • The expansion is attainable within a reasonable time frame; and • We believe it is likely the expansion permit will be received. Upon meeting our expansion criteria, the rates used at each applicable landfill to expense costs to acquire, construct, cap, close and maintain a site during the post-closure period are adjusted to include both the probable expansion airspace and the additional costs to be capitalized or accrued associated with that expansion airspace. We have identified three steps that landfills generally follow to obtain expansion permits. These steps are as follows: • Obtaining approval from local authorities; • Submitting a permit application to state authorities; and • Obtaining permit approval from state authorities. We continually monitor our progress toward obtaining permits for each of our sites with probable airspace. If we determine that a landfill expansion area no longer meets our criteria, the probable expansion airspace is removed from the landfill’s total available capacity and the rates used at the landfill to deplete costs to acquire, construct, cap, close and maintain a site during the post-closure period are adjusted accordingly. In addition, any amounts capitalized for the probable expansion airspace are charged to expense in the period in which it is determined that the criteria are no longer met. Capitalized Landfill Costs Capitalized landfill costs include expenditures for land, permitting, cell construction and environmental structures. Capitalized permitting and cell construction costs are limited to direct costs relating to these activities, including legal, engineering and construction costs associated with excavation, natural and synthetic liners, construction of leachate collection systems, installation of methane gas collection and monitoring systems, installation of groundwater monitoring wells and other costs associated with the development of the site. Interest is capitalized on landfill construction projects while the assets are undergoing activities to ready them for their intended use. Capitalized landfill costs also include final capping, closure and post-closure assets and are depleted as airspace is consumed using the units-of-consumption method. Costs related to acquiring land, excluding the estimated residual value of unpermitted, non-buffer land, and costs related to permitting and cell construction are depleted as airspace is consumed using the units-of-consumption method. Capitalized landfill costs also may include an allocation of purchase price paid for landfills. For landfills purchased as part of a group of assets, the purchase price assigned to the landfill is determined based on the estimated fair value of the landfill. If the landfill meets our expansion criteria, the purchase price is further allocated between permitted airspace and expansion airspace based on the respective ratios to total available airspace. Landfill purchase price is amortized using the units-of-consumption method over the total available airspace, including probable expansion airspace, where appropriate. Final Capping, Closure and Post-Closure Costs Final capping We have future obligations for final capping, closure and post-closure costs with respect to the landfills we own or operate as set forth in applicable landfill permits. The permit requirements are based on the Subtitle C and Subtitle D regulations of the Resource Conservation and Recovery Act, as implemented and applied on a state-by-state basis. We define final capping as activities required to permanently cover a portion of a landfill that has been completely filled with waste. Final capping typically includes installing flexible membrane and geosynthetic clay liners, drainage and compact soil layers and topsoil and is constructed over an area of the landfill where total airspace capacity has been consumed and waste disposal operations have ceased. These final capping activities occur in phases as needed throughout the operating life of a landfill as specific areas are filled to capacity and the final elevation for that specific area is reached in accordance with the provisions of the operating permit. We consider final capping events to be discrete activities that are recognized as asset retirement obligations separately from other closure and post-closure obligations. As a result, we use a separate rate per ton for recognizing the principal amount of the liability and related asset associated with each capping event. We amortize the asset recorded pursuant to this approach as waste volume related to the capacity covered by the capping event is placed into the landfill based on the consumption of cubic yards of available airspace. Closure and post-closure Closure and post-closure activities occur after the entire landfill ceases to accept waste and closes. These activities involve methane gas control, leachate management and groundwater monitoring, surface water monitoring and control and other operational and maintenance activities that occur after the site ceases to accept waste. Obligations associated with monitoring and controlling methane gas migration and emissions are set forth in applicable landfill permits and these requirements are based on the provisions of the Clean Air Act. The post-closure period generally runs for 30 years after final site closure for municipal solid waste landfills and a shorter period for construction and demolition landfills and inert landfills. We recognize asset retirement obligations and the related amortization expense for closure and post-closure (excluding obligations for final capping) using the units-of-consumption method over the total remaining capacity of the landfill, including probable expansion airspace, where appropriate. Estimated future expenditures Estimates of future expenditures for final capping, closure and post-closure are developed at least annually by engineers. Management reviews these estimates and our operating and accounting personnel use them to adjust the rates used to capitalize and amortize these costs. These estimates involve projections of costs that will be incurred during the remaining life of the landfill for final capping activities, after the landfill ceases operations and during the legally required post-closure monitoring period. As of December 31, 2023, we had 126 closed landfills. Fair value measurements In general, we engage third parties to perform most of our final capping, closure and post-closure activities. Accordingly, the fair value of these activities is based on quoted and actual prices paid for similar work. We also perform some of our final capping, closure and post-closure activities using internal resources. Where we expect internal resources to be used to fulfill an asset retirement obligation, we add a profit margin to the estimated cost of such services to better reflect their fair value. If we perform these services internally, the added profit margin is recognized as a component of operating income in the period the obligation is settled. Our estimates of costs to discharge asset retirement obligations for landfills are developed in today’s dollars. These costs are inflated each year to reflect a normal escalation of prices up to the year they are expected to be paid. Our inflation rate was 2.0%, 1.9% and 1.7% for the years ended December 31, 2023, 2022 and 2021, respectively, which is primarily based on the ten-year historical moving average increase of the United States Consumer Price Index. These estimated costs are then discounted to their present values using a credit-adjusted, risk-free interest rate. Changes in assets retirement obligations A liability for an asset retirement obligation is recognized in the period in which it is incurred and is initially measured at fair value. The offset to the liability is capitalized as part of the carrying amount of the related long-lived asset. Changes in the liabilities due to revisions to estimated future cash flows are recognized by increasing or decreasing the liabilities with the offsets adjusting the carrying amounts of the related long-lived assets, and may also require immediate adjustments to amortization expense in the consolidated statements of income. Upward revisions in the amount of undiscounted estimated cash flows used to record a liability are discounted using the credit-adjusted, risk-free interest rate in effect at the time of the change. Downward revisions in the amount of undiscounted estimated cash flows used to record a liability are discounted using the credit-adjusted, risk-free rate that existed when the original liability was recognized. Changes in asset retirement obligations due to the passage of time are measured by recognizing accretion expense in a manner that results in a constant effective interest rate being applied to the average carrying amount of the liability. The effective interest rate used to calculate accretion expense is our credit-adjusted, risk-free interest rate in effect at the time the liabilities were recorded. We review our calculations with respect to landfill asset retirement obligations at least annually. If there is a significant change in the facts and circumstances related to a landfill during the year, we will review our calculations for the landfill as soon as practical after the change has occurred. Landfill operating expenses Costs associated with daily maintenance activities and environmental compliance during the operating life of the landfill are expensed as incurred. These costs include, among other things, leachate treatment and disposal, methane gas and groundwater monitoring and systems maintenance, interim cap maintenance, costs associated with the application of daily cover materials and the legal and administrative costs of ongoing environmental compliance. Environmental Liabilities We are subject to an array of laws and regulations relating to the protection of the environment, and we remediate sites in the ordinary course of our business. Under current laws and regulations, we may be responsible for environmental remediation at sites that we either own or operate, including sites that we have acquired, or sites where we have (or a company that we have acquired has) delivered waste. Our environmental remediation liabilities primarily include costs associated with remediating groundwater, surface water and soil contamination, as well as controlling and containing methane gas migration and the legal costs related to these remediation efforts. To estimate our ultimate liability at these sites, we evaluate several factors, including the nature and extent of contamination at each identified site, the required remediation methods, timing of expenditures, the apportionment of responsibility among the potentially responsible parties and the financial viability of those parties. We accrue for costs associated with environmental remediation obligations when such costs are probable and reasonably estimable in accordance with accounting for loss contingencies. We periodically review the status of all environmental matters and update our estimates of the likelihood of and future expenditures for remediation as necessary. Changes in the liabilities resulting from these reviews are recognized currently in earnings in the period in which the adjustment is known. Adjustments to estimates are reasonably possible in the near term and may result in changes to recorded amounts. With the exception of those obligations assumed in certain business combinations, environmental obligations are recorded on an undiscounted basis. Adjustments arising from changes in amounts and timing of estimated costs and settlements may result in increases or decreases in these obligations and are calculated on a discounted basis as they were initially estimated on a discounted basis. These adjustments are charged to operating income when they are known. We perform a comprehensive review of our environmental obligations annually and also review changes in facts and circumstances associated with these obligations at least quarterly. We have not reduced the liabilities we have recorded for recoveries from other potentially responsible parties or insurance companies. Business Combinations We acquire businesses in the environmental services industry as part of our growth strategy. Businesses are included in the consolidated financial statements from the date of acquisition. We recognize, separately from goodwill, the identifiable assets acquired and liabilities assumed at their estimated acquisition-date fair values. We measure and recognize goodwill as of the acquisition date as the excess of: (1) the aggregate of the fair value of consideration transferred, the fair value of any non-controlling interest in the acquiree (if any) and the acquisition date fair value of our previously held equity interest in the acquiree (if any), over (2) the fair value of assets acquired and liabilities assumed. If information about facts and circumstances existing as of the acquisition date is incomplete by the end of the reporting period in which a business combination occurs, we report provisional amounts for the items for which the accounting is incomplete. The measurement or allocation period ends once we receive the information we are seeking; however, this period will generally not exceed one year from the acquisition date. Any material adjustments recognized during the measurement period will be reflected retrospectively in the consolidated financial statements of the subsequent period. We recognize third-party transaction-related costs as expense in the period in which they are incurred. Goodwill and Other Intangible Assets We evaluate goodwill for impairment annually as of October 1st, or when an indicator of impairment exists, at the reporting unit level. Our reporting units are our three field groups: Group 1, Group 2 and Group 3. We may use both qualitative and quantitative approaches when testing goodwill for impairment. If, after assessing qualitative factors, we determine it is more likely than not that a reporting unit's goodwill is impaired, then we perform a quantitative test for that reporting unit. The quantitative impairment test for goodwill encompasses calculating a fair value of goodwill and comparing the fair value to its carrying value. If the carrying value exceeds the fair value, impairment is recognized for the difference. As of October 1, 2023, we utilized a qualitative approach and performed an evaluation of circumstances and events impacting our reporting units to determine the likelihood of goodwill impairment. Examples of such events or circumstances include: (1) a significant adverse change in legal factors or in the business climate; (2) an adverse action or assessment by a regulator; (3) a more likely than not expectation that a reporting unit or a significant portion thereof will be sold; (4) continued or sustained losses at a reporting unit; (5) a significant decline in our market capitalization as compared to our book value; or (6) we conclude that we may not recover a significant asset group within the reporting unit. We determined it was more likely than not that the fair values of our reporting units exceeded their carrying amounts. No impairment losses were recorded for goodwill during the years ended December 31, 2023, 2022 or 2021. Other intangible assets include values assigned to customer relationships, non-compete agreements and trade names and are amortized generally on a straight-line basis over periods ranging from 1 to 15 years. Asset Impairments We continually consider whether events or changes in circumstances have occurred that may warrant revision of the estimated useful lives of our long-lived assets (other than goodwill) or whether the remaining balances of those assets should be evaluated for possible impairment. Long-lived assets include, for example, capitalized landfill costs, other property and equipment and identifiable intangible assets. Events or changes in circumstances that may indicate that an asset may be impaired include the following: • A significant decrease in the market price of an asset or asset group; • A significant adverse change in the extent or manner in which an asset or asset group is being used or in its physical condition; • A significant adverse change in legal factors or in the business climate that could affect the value of an asset or asset group, including an adverse action or assessment by a regulator; • An accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset; • A current period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset or asset group; • A current expectation that, more likely than not, a long-lived asset or asset group will be sold or otherwise disposed of significantly before the end of its previously estimated useful life; or • An impairment of goodwill at a reporting unit. There are certain indicators listed above that require judgment and understanding of the environmental services industry when applied to landfill development or expansion. For example, a regulator may initially deny a landfill expansion permit application though the expansion permit is ultimately granted. In addition, management may periodically divert waste from one landfill to another to conserve remaining permitted landfill airspace. Therefore, certain events could occur in the ordinary course of business and not necessarily be considered indicators of impairment due to the unique nature of the environmental services industry. If indicators of impairment exist, the asset or asset group is reviewed to determine whether its recoverability is impaired. We assess the recoverability of the asset or asset group by comparing its carrying value to an estimate (or estimates) of its undiscounted future cash flows over its remaining life. If the estimated undiscounted cash flows are not sufficient to recover the carrying value of the asset or asset group, we measure an impairment loss as the amount by which the carrying amount of the asset exceeds its fair value. The loss is recorded in the consolidated statements of income in the period in which such impairment is identified. Estimating future cash flows requires significant judgment, and our projections of future cash flows and remaining useful lives may vary materially f |
Business Acquisitions, Investme
Business Acquisitions, Investments and Restructuring Charges | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Business Acquisitions, Investments and Restructuring Charges | BUSINESS ACQUISITIONS, INVESTMENTS AND RESTRUCTURING CHARGES We acquired various environmental services businesses during the years ended December 31, 2023 and 2022. The purchase price paid for these business acquisitions and the allocations of the purchase price follows: 2023 2022 Purchase price: Cash used in acquisitions, net of cash acquired of $23.2 and $65.9, respectively $ 1,756.3 $ 2,668.6 Holdbacks 19.1 17.2 Fair value, future minimum lease payments 0.6 15.6 Total $ 1,776.0 $ 2,701.4 Allocated as follows: Restricted cash $ — $ 0.7 Accounts receivable 67.4 250.7 Prepaid expenses 5.6 15.7 Landfill development costs 49.1 565.4 Property and equipment 374.3 540.0 Operating right-of-use lease assets 14.4 61.1 Interest rate swap — 29.1 Other assets 0.3 40.7 Inventory 2.9 10.7 Accounts payable (20.6) (112.4) Deferred revenue (10.6) (28.2) Environmental remediation liabilities (5.7) (57.5) Closure and post-closure liabilities (10.9) (173.3) Operating right-of-use lease liabilities (14.4) (57.1) Deferred income tax liabilities (25.0) (109.3) Other liabilities (12.6) (58.5) Fair value of tangible assets acquired and liabilities assumed 414.2 917.8 Excess purchase price to be allocated $ 1,361.8 $ 1,783.6 Excess purchase price allocated as follows: Other intangible assets $ 203.9 $ 132.9 Goodwill 1,157.9 1,650.7 Total allocated $ 1,361.8 $ 1,783.6 Certain of the purchase price allocations are preliminary and based on information existing at the acquisition dates. Accordingly, the purchase price allocations are subject to change. For the acquisitions that closed during 2023, we expect that a majority of the goodwill and intangible assets recognized as a result of these acquisitions will be deductible for tax purposes. Excluding the US Ecology acquisition discussed below, substantially all of the goodwill and intangible assets recorded for acquisitions that closed during 2022 are deductible for tax purposes. These acquisitions are not material to the Company's results of operations, individually or in the aggregate. As a result, no pro forma financial information is provided. On May 2, 2022, we acquired all outstanding equity of US Ecology in a transaction valued at $2.2 billion. US Ecology is a leading provider of environmental solutions offering treatment, recycling and disposal of hazardous, non-hazardous and specialty waste. As of, June 30, 2023, we finalized the purchase price allocation. We did not step-up the tax basis of the assets recognized in connection with the US Ecology acquisition, and do not expect the goodwill and intangible assets will be deductible for tax purposes. In 2023 and 2022 , we incurred $33.5 million and $77.3 million, respectively, of acquisition integration and deal costs in connection with the acquisition of US Ecology. The 2023 costs primarily related to the integration of certain software systems as well as rebranding of the business, and the 2022 costs included certain costs to close the acquisition and integrate the business. In June 2023, we acquired a vertically-integrated set of operations located primarily in Colorado from GFL Environmental Inc., including recycling, hauling, transfer and landfill operations. The purchase price allocation is preliminary and remains subject to revision as additional information is obtained about the facts and circumstances that existed at the valuation date. The preliminary allocation of purchase price, including the value assigned to tangible and intangible assets acquired as well as certain landfill and environmental liabilities assumed, is based on the best estimates of management and is subject to revision based on the final valuations. We expect our final valuations to be completed in 2024. In November 2023, we acquired all of the issued and outstanding capital stock or other ownership interests of Advanced Chemical Transport LLC (ACT). ACT's environmental solutions operations are primarily located in the western United States and provide us with additional growth opportunities in our environmental solutions line of business. The purchase price allocation is preliminary and remains subject to revision as additional information is obtained about the facts and circumstances that existed at the valuation date. The preliminary allocation of purchase price, including the value assigned to tangible and intangible assets acquired, is based on the best estimates of management and is subject to revision based on the final valuations. We expect our final valuations to be completed in 2024. In December 2023, we acquired all of the issued and outstanding membership and other equity interests of Central Texas Refuse, LLC and an affiliate thereof (CTR). CTR's vertically integrated recycling and waste services operations are located in and around Austin, Texas and provide us with the opportunity to re-enter the high growth Austin market. The purchase price allocation is preliminary and remains subject to revision as additional information is obtained about the facts and circumstances that existed at the valuation date. The preliminary allocation of purchase price, including the value assigned to tangible and intangible assets acquired as well as certain landfill and environmental liabilities assumed, is based on the best estimates of management and is subject to revision based on the final valuations. We expect our final valuations to be completed in 2024. Investments In 2022, we acquired a non-controlling equity interest in a joint venture with a landfill gas-to-energy developer to construct a number of renewable natural gas projects at our landfills across the United States. As of December 31, 2023 and 2022, we had an investment of approximately $170 million and $100 million, respectively, in the joint venture. During the year ended December 31, 2023, we invested approximately $68 million in the joint venture. The investment is accounted for under the equity method of accounting. In 2022, we acquired a non-controlling equity interest in a joint venture with Ravago, Blue Polymers, LLC, intended to help create vertical integration in the recycling market, and to further advance circularity by acquiring all olefins produced by the Company's Polymer Centers and produce custom blended pellets for food-grade and non-food-grade packaging. As of December 31, 2023 and 2022, we had an investment of approximately $19 million and $10 million, respectively, in the joint venture. During the year ended December 31, 2023 we invested approximately $9 million in the joint venture. The investment is accounted for under the equity method of accounting. In 2023 and 2022, we acquired non-controlling equity interests in certain limited liability companies that qualified for investment tax credits under Section 48 of the Internal Revenue Code. In exchange for our non-controlling interests, we made capital contributions of approximately $222 million and $205 million, which were recorded to other assets in our December 31, 2023 and 2022 consolidated balance sheets, respectively. During 2023 and 2022, we reduced the carrying value of these investments by approximately $102 million and $158 million, respectively, as a result of cash distributions and our share of income and loss pursuant to the terms of the limited liability company agreements. Additionally, our tax provisions reflect benefits of approximately $87 million and $139 million for the years end December 31, 2023 and 2022, respectively, due to the tax credits related to these investments. For further discussion of the income tax benefits, refer to Note 11, Income Taxes, in Part II, Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2023. Restructuring Charges In 2023 and 2022, we incurred restructuring charges of $33.2 million and $27.0 million , respectively. Of the 2023 charges, $9.5 million related to early termination of certain leases and $23.7 million related to the redesign of our asset management, and customer and order management software systems, and the 2022 charges primarily related to the redesign of our general ledger, budgeting and procurement enterprise resource planning systems which was completed with systems being placed into production in 2022. We paid $39.4 million and $19.8 million during 2023 and 2022, respectively, related to these restructuring efforts. |
Property and Equipment, Net
Property and Equipment, Net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | PROPERTY AND EQUIPMENT, NET A summary of property and equipment, net as of December 31 follows: 2023 2022 Land $ 878.1 $ 779.7 Landfill development costs 9,911.2 9,574.2 Vehicles and equipment 10,231.9 9,465.3 Buildings and improvements 1,921.9 1,704.6 Construction-in-progress – landfill 350.4 358.3 Construction-in-progress – other 553.6 358.6 $ 23,847.1 $ 22,240.7 Less: accumulated depreciation, depletion and amortization Landfill development costs $ (5,516.2) $ (5,058.9) Vehicles and equipment (6,147.7) (5,679.9) Buildings and improvements (832.3) (757.9) (12,496.2) (11,496.7) Property and equipment, net $ 11,350.9 $ 10,744.0 Depreciation, amortization and depletion of property and equipment was $1,368.4 million, $1,245.6 million and $1,111.7 million for the years ended December 31, 2023, 2022 and 2021, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets, Net | GOODWILL AND OTHER INTANGIBLE ASSETS, NET Goodwill A summary of the activity and balances in goodwill accounts by reporting segment follows: Balance as of December 31, 2022 Acquisitions Divestitures Adjustments to Balance as of December 31, 2023 Group 1 $ 6,637.9 $ 675.4 $ — $ (0.9) $ 7,312.4 Group 2 6,238.3 208.2 (1.9) 0.9 6,445.5 Group 3 1,575.3 274.3 — 227.0 2,076.6 Total $ 14,451.5 $ 1,157.9 $ (1.9) $ 227.0 $ 15,834.5 Balance as of December 31, 2021 Acquisitions Divestitures Adjustments to Balance as of December 31, 2022 Group 1 $ 6,549.7 $ 95.2 $ — $ (7.0) $ 6,637.9 Group 2 5,994.2 239.0 (3.7) 8.8 6,238.3 Group 3 282.1 1,316.5 (0.3) (23.0) 1,575.3 Total $ 12,826.0 $ 1,650.7 $ (4.0) $ (21.2) $ 14,451.5 Adjustments to acquisitions during the year ended December 31, 2023 primarily related to changes in our valuation of tangible assets acquired and certain environmental liabilities assumed in connection with our acquisition of US Ecology. Adjustments to acquisitions during the year ended December 31, 2022 primarily related to changes in our valuation of tangible and intangible assets as well as certain landfill leases and environmental liabilities assumed as a result of obtaining new information regarding the acquisitions that closed in 2021. Other Intangible Assets, Net Other intangible assets, net, include values assigned to customer relationships, non-compete agreements and trade names, and are amortized over periods ranging from 1 to 15 years. A summary of the activity and balances by intangible asset type follows: Gross Intangible Assets Accumulated Amortization Other Intangible Assets, Net as of December 31, 2023 Balance as of December 31, 2022 Acquisitions Adjustments and Other Balance as of December 31, 2023 Balance as of December 31, 2022 Additions Adjustments and Other Balance as of December 31, 2023 Customer relationships $ 1,013.5 $ 197.3 $ (579.1) $ 631.7 $ (709.1) $ (53.7) $ 597.1 $ (165.7) $ 466.0 Non-compete agreements 67.9 4.2 (41.7) 30.4 (50.9) (6.5) 41.7 (15.7) 14.7 Other intangible assets 77.0 2.4 (56.2) 23.2 (51.2) (6.1) 49.6 (7.7) 15.5 Total $ 1,158.4 $ 203.9 $ (677.0) $ 685.3 $ (811.2) $ (66.3) $ 688.4 $ (189.1) $ 496.2 Gross Intangible Assets Accumulated Amortization Other Intangible Assets, Net as of December 31, 2022 Balance as of December 31, 2021 Acquisitions Adjustments and Other Balance as of December 31, 2022 Balance as of December 31, 2021 Additions Adjustments and Other Balance as of December 31, 2022 Customer relationships $ 898.4 $ 109.2 $ 5.9 $ 1,013.5 $ (666.8) $ (42.3) $ — $ (709.1) $ 304.4 Non-compete agreements 60.4 7.7 (0.2) 67.9 (44.6) (6.3) — (50.9) 17.0 Other intangible assets 58.0 16.0 3.0 77.0 (45.9) (5.3) — (51.2) 25.8 Total $ 1,016.8 $ 132.9 $ 8.7 $ 1,158.4 $ (757.3) $ (53.9) $ — $ (811.2) $ 347.2 Based on the amortizable intangible assets recorded in the consolidated balance sheet as of December 31, 2023, amortization expense for each of the next five years is estimated as follows: 2024 $ 73.5 2025 $ 68.7 2026 $ 64.9 2027 $ 58.5 2028 $ 55.2 |
Other Assets
Other Assets | 12 Months Ended |
Dec. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Other Assets | OTHER ASSETS Prepaid Expenses and Other Current Assets A summary of prepaid expenses and other current assets as of December 31 follows: 2023 2022 Income taxes receivable $ 126.3 $ 214.0 Prepaid expenses 123.0 114.3 Inventories 97.3 96.6 Other non-trade receivables 63.2 59.8 Reinsurance receivable 35.4 31.9 Prepaid fees for cloud-based hosting arrangements, current 17.0 14.4 Derivative and hedging assets 4.2 — Other current assets 6.2 5.5 Total $ 472.6 $ 536.5 Other Assets A summary of other assets as of December 31 follows: 2023 2022 Investments $ 469.4 $ 281.4 Operating right-of-use lease assets 238.1 275.1 Deferred compensation plan 112.7 100.6 Deferred contract costs and sales commissions 82.5 80.2 Reinsurance receivable 92.1 84.1 Derivative and hedging assets 74.1 105.8 Prepaid fees and capitalized implementation costs for cloud-based hosting arrangements 67.6 51.4 Amounts recoverable for capping, closure and post-closure obligations 21.9 20.5 Deferred financing costs 3.6 5.1 Other 21.9 21.3 Total $ 1,183.9 $ 1,025.5 |
Other Liabilities
Other Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Other Liabilities | OTHER LIABILITIES Other Accrued Liabilities A summary of other accrued liabilities as of December 31 follows: 2023 2022 Accrued payroll and benefits $ 350.5 $ 342.6 Insurance reserves, current portion 216.6 187.5 Accrued fees and taxes 182.9 168.5 Accrued dividends 168.3 156.4 Operating right-of-use lease liabilities, current portion 54.8 57.9 Ceded insurance reserves, current portion 35.4 32.0 Accrued professional fees and legal settlement reserves 17.9 8.6 Derivative and hedging liabilities 8.3 1.2 Other 136.8 103.6 Total $ 1,171.5 $ 1,058.3 Other Long-Term Liabilities A summary of other long-term liabilities as of December 31 follows: 2023 2022 Operating right-of-use lease liabilities $ 194.9 $ 238.0 Deferred compensation plan liability 114.7 98.6 Ceded insurance reserves 92.1 84.1 Derivative and hedging liabilities 71.3 99.7 Contingent purchase price and acquisition holdbacks 59.1 60.5 Withdrawal liability - multiemployer pension funds 19.6 20.0 Other 42.9 59.8 Total $ 594.6 $ 660.7 Insurance Reserves Our liabilities for unpaid and incurred but not reported claims as of December 31, 2023 and 2022 (which include claims for workers’ compensation, commercial general and auto liability and employee-related health care benefits) were $565.4 million and $502.6 million, respectively, under our risk management program and are included in other accrued liabilities and insurance reserves, net of current portion, in our consolidated balance sheets. While the ultimate amount of claims incurred depends on future developments, we believe the recorded reserves are adequate to cover the future payment of claims; however, it is possible that these recorded reserves may not be adequate to cover the future payment of claims. Adjustments, if any, to estimates recorded resulting from ultimate claim payments will be reflected in our consolidated statements of income in the periods in which such adjustments are known. The following table summarizes the activity in our insurance reserves for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 502.6 $ 497.4 $ 449.3 Additions charged to expense 666.9 568.7 552.4 Payments (636.5) (593.8) (531.8) Accretion expense 0.1 0.2 0.3 Premium written for third party risk assumed 43.4 35.3 36.5 Reclassified to ceded insurance reserves (11.1) (5.2) (9.3) Balance at end of year 565.4 502.6 497.4 Less: current portion (216.6) (187.5) (193.5) Long-term portion $ 348.8 $ 315.1 $ 303.9 |
Landfill and Environmental Cost
Landfill and Environmental Costs | 12 Months Ended |
Dec. 31, 2023 | |
Environmental Remediation Obligations [Abstract] | |
Landfill and Environmental Costs | LANDFILL AND ENVIRONMENTAL COSTS As of December 31, 2023, we owned or operated 207 active landfills with total available disposal capacity estimated to be 5.1 billion in-place cubic yards. Additionally, we have post-closure responsibility for 126 closed landfills. Accrued Landfill and Environmental Costs A summary of our accrued landfill and environmental liabilities as of December 31 follows: 2023 2022 Landfill final capping, closure and post-closure liabilities $ 1,937.2 $ 1,786.4 Environmental remediation 485.4 487.5 Total accrued landfill and environmental costs 2,422.6 2,273.9 Less: current portion (141.6) (132.6) Long-term portion $ 2,281.0 $ 2,141.3 Final Capping, Closure and Post-Closure Costs The following table summarizes the activity in our asset retirement obligation liabilities, which includes liabilities for final capping, closure and post-closure, for the years ended December 31: 2023 2022 2021 Asset retirement obligation liabilities, beginning of year $ 1,786.4 $ 1,507.3 $ 1,346.4 Non-cash additions 61.4 60.1 47.2 Acquisitions, net of divestitures and other adjustments 12.3 173.5 32.1 Asset retirement obligation adjustments 40.1 20.0 58.5 Payments (60.8) (64.6) (59.6) Accretion expense 97.9 89.6 82.7 Foreign currency translation (0.1) 0.5 — Asset retirement obligation liabilities, end of year 1,937.2 1,786.4 1,507.3 Less: Current portion (72.4) (75.2) (68.4) Long-term portion $ 1,864.8 $ 1,711.2 $ 1,438.9 We review annually, in the fourth quarter, and update as necessary, our estimates of asset retirement obligation liabilities. As a result, we increased amortization expense by $5.2 million, $5.8 million and $6.9 million for the years ended December 31, 2023, 2022 and 2021, respectively, primarily related to changes in estimates and assumptions concerning the anticipated waste flow, cost and timing of future final capping, closure and post-closure activities. The expected future payments for final capping, closure and post-closure as of December 31, 2023 follows: 2024 $ 72.4 2025 96.5 2026 91.9 2027 116.7 2028 120.9 Thereafter 7,020.0 $ 7,518.4 The estimated remaining final capping, closure and post-closure expenditures presented above are not inflated and not discounted and reflect the total estimated future payments for liabilities which include those incurred and recorded as of December 31, 2023 as well as liabilities yet to be incurred over the remaining life of our landfills. Environmental Remediation Liabilities We accrue for remediation costs when they become probable and can be reasonably estimated. There can sometimes be a range of reasonable estimates of the costs associated with remediation of a site. In these cases, we use the amount within the range that constitutes our best estimate. If no amount within the range appears to be a better estimate than any other, we use the amount that is at the low end of such range. It is reasonably possible that we will need to adjust the liabilities recorded for remediation to reflect the effects of new or additional information, to the extent such information impacts the costs, timing or duration of the required actions. If we used the reasonably possible high ends of our ranges, our aggregate potential remediation liability as of December 31, 2023 would be approximately $375 million higher than the amounts recorded. Future changes in our estimates of the cost, timing or duration of the required actions could have a material adverse effect on our consolidated financial position, results of operations and cash flows. The following table summarizes the activity in our environmental remediation liabilities for the years ended December 31: 2023 2022 2021 Environmental remediation liabilities, beginning of year $ 487.5 $ 454.9 $ 462.8 Net additions charged to expense 2.0 2.9 0.5 Payments (54.9) (54.7) (57.1) Accretion expense (non-cash interest expense) 18.2 17.3 17.1 Acquisitions, net of divestitures and other adjustments 32.6 67.1 31.6 Environmental remediation liabilities, end of year 485.4 487.5 454.9 Less: current portion (69.2) (57.4) (56.1) Long-term portion $ 416.2 $ 430.1 $ 398.8 The expected undiscounted future payments for remediation costs as of December 31, 2023 follows: 2024 $ 69.2 2025 65.3 2026 54.7 2027 42.9 2028 29.6 Thereafter 281.0 $ 542.7 The following is a discussion of certain of our significant remediation matters: Bridgeton Landfill. During the year ended December 31, 2023, we paid $13.6 million related to management and monitoring of the remediation area for our closed Bridgeton Landfill in Missouri. We continue to work with state and federal regulatory agencies on our remediation efforts. From time to time, this may require us to modify our future operating timeline and procedures, which could result in changes to our expected liability. As of December 31, 2023, the remediation liability recorded for this site was $73.6 million, of which approximately $13.2 million is e xpected to be paid during 2024. We believe the remaining reasonably possible high end of our range would be approximately $141 million higher than the amount recorded as of December 31, 2023. West Lake Landfill Superfund Site . Our subsidiary Bridgeton Landfill, LLC is one of several currently designated Potentially Responsible Parties for the West Lake Landfill Superfund site (West Lake) in Missouri. On September 27, 2018, the United States Environmental Protection Agency (EPA) issued a Record of Decision Amendment for West Lake that includes a total undiscounted cost estimate of $229 million over a four |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | DEBT The carrying value of our credit facilities, finance leases and long-term debt as of December 31, 2023 and 2022 is listed in the following table, and is adjusted for the fair value of interest rate swaps, unamortized discounts, deferred issuance costs and the unamortized portion of adjustments to fair value recorded in purchase accounting. Original issue discounts and adjustments to fair value recorded in purchase accounting are amortized to interest expense over the term of the applicable instrument using the effective interest method. December 31, 2023 December 31, 2022 Maturity Interest Rate Principal Adjustments Carrying Value Principal Adjustments Carrying Value Credit facilities: Uncommitted Credit Facility Variable $ — $ — $ — $ — $ — $ — $3.5 billion - August 2026 Variable 297.1 — 297.1 250.0 — 250.0 Term Loan Variable 500.0 — 500.0 1,000.0 — 1,000.0 Commercial Paper Variable 496.0 (0.7) 495.3 1,000.0 (1.8) 998.2 Senior notes: May 2023 4.750 — — — 300.0 (2.5) 297.5 August 2024 2.500 900.0 (1.2) 898.8 900.0 (3.0) 897.0 March 2025 3.200 500.0 (0.9) 499.1 500.0 (1.6) 498.4 November 2025 0.875 350.0 (1.2) 348.8 350.0 (1.9) 348.1 July 2026 2.900 500.0 (1.6) 498.4 500.0 (2.2) 497.8 November 2027 3.375 650.0 (2.5) 647.5 650.0 (3.1) 646.9 May 2028 3.950 800.0 (8.9) 791.1 800.0 (10.7) 789.3 April 2029 4.875 750.0 (6.9) 743.1 — — — March 2030 2.300 600.0 (4.5) 595.5 600.0 (5.2) 594.8 February 2031 1.450 650.0 (6.2) 643.8 650.0 (7.1) 642.9 February 2032 1.750 750.0 (5.4) 744.6 750.0 (6.0) 744.0 March 2033 2.375 700.0 (6.5) 693.5 700.0 (7.1) 692.9 December 2033 5.000 650.0 (8.9) 641.1 — — — April 2034 5.000 800.0 (10.7) 789.3 — — — March 2035 6.086 181.9 (11.5) 170.4 181.9 (12.2) 169.7 March 2040 6.200 399.9 (3.3) 396.6 399.9 (3.4) 396.5 May 2041 5.700 385.7 (4.7) 381.0 385.7 (4.8) 380.9 March 2050 3.050 400.0 (6.8) 393.2 400.0 (7.0) 393.0 Debentures: September 2035 7.400 148.1 (28.8) 119.3 148.1 (30.0) 118.1 Tax-exempt: 2024 - 2053 3.750 - 4.900 1,289.1 (8.5) 1,280.6 1,189.1 (7.1) 1,182.0 Finance leases: 2024 - 2063 0.806 - 9.750 251.3 — 251.3 247.5 — 247.5 Total Debt $ 12,949.1 $ (129.7) 12,819.4 $ 11,902.2 $ (116.7) 11,785.5 Less: current portion (932.3) (456.0) Long-term portion $ 11,887.1 $ 11,329.5 Future Maturities of Debt Aggregate principal maturities of notes payable, finance leases and other long-term debt as of December 31, 2023 follow: 2024 $ 932.3 2025 1,364.5 2026 1,385.9 2027 660.6 2028 841.4 Thereafter 7,634.7 $ 12,819.4 Loss on Extinguishment of Debt and Other Related Costs In 2023, we incurred a loss on the early extinguishment of debt related to the early repayment of a portion of our Term Loan Facility (as defined below). We incurred non-cash charges related to the proportional share of unamortized deferred issuance costs of $0.2 million. Credit Facilities Uncommitted Credit Facility In January 2022, we entered into a $200.0 million unsecured uncommitted revolving credit facility (the Uncommitted Credit Facility). The Uncommitted Credit Facility bears interest at an annual percentage rate to be agreed upon by both parties. Borrowings under the Uncommitted Credit Facility can be used for working capital, letters of credit and other general corporate purposes. The agreement governing our Uncommitted Credit Facility requires us to comply with certain covenants. The Uncommitted Credit Facility may be terminated by either party at any time. As of December 31, 2023 and 2022, we had no borrowings outstanding under our Uncommitted Credit Facility. The Credit Facility In August 2021, we entered into a $3.0 billion unsecured revolving credit facility (the Credit Facility). Borrowings under the Credit Facility mature in August 2026. As permitted by the Credit Facility, we have the right to request two one-year extensions of the maturity date, but none of the lenders are committed to participate in such extensions. The Credit Facility also includes a feature that allows us to increase availability, at our option, by an aggregate amount of up to $1.0 billion through increased commitments from existing lenders or the addition of new lenders. In October 2023, we completed an upsize of the Credit Facility to $3.5 billion. In February 2023, we entered into Amendment No. 1 to the Credit Facility (the Credit Facility Amendment) to add our subsidiary, USE Canada Holdings, Inc. (the Canadian Borrower), as an additional borrower under the Credit Facility. The Credit Facility Amendment provides that the aggregate of (i) all loans to the Canadian Borrower and (ii) all loans denominated in Canadian dollars cannot exceed $1.0 billion (the Canadian Sublimit). The Canadian Sublimit is part of, and not in addition to, the aggregate commitments under the Credit Facility. Borrowings under the Credit Facility in United States dollars bear interest at a Base Rate, a daily floating SOFR or a term SOFR plus a current applicable margin of 0.910% based on our Debt Ratings (all as defined in the Credit Facility agreement). The Canadian dollar-denominated loans bear interest based on the Canadian Prime Rate or the Canadian Dollar Offered Rate plus a current applicable margin of 0.910% based on our Debt Ratings. As of December 31, 2023, C$201.5 million was outstanding against the Canadian Sublimit, with an average interest rate of 6.364%. The Credit Facility is subject to facility fees based on applicable rates defined in the Credit Facility agreement and the aggregate commitment, regardless of usage. The Credit Facility can be used for working capital, capital expenditures, acquisitions, letters of credit and other general corporate purposes. The Credit Facility agreement requires us to comply with financial and other covenants. We may pay dividends and repurchase common stock if we are in compliance with these covenants. We had $297.1 million and $250.0 million outstanding under our Credit Facility as of December 31, 2023 and 2022, respectively. We had $336.5 million and $347.6 million of letters of credit outstanding under our Credit Facility as of December 31, 2023 and 2022, respectively. We also had $495.3 million and $1.0 billion of principal borrowings outstanding (net of related discount on issuance) under our commercial paper program as of December 31, 2023 and 2022, respectively. As a result, availability under our Credit Facility was $2,371.2 million and $1,402.4 million as of December 31, 2023 and 2022, respectively. Term Loan Facility On April 29, 2022, we entered into a $1.0 billion Term Loan Facility. The Term Loan Facility will mature on April 29, 2025 and bears interest at a base rate or a forward-looking SOFR, plus an applicable margin based on our debt ratings. The interest rate for borrowings outstanding as of December 31, 2023 was 6.256%. We may prepay, without penalty, all or any part of the borrowings under the Term Loan Facility at any time. On May 2, 2022, we completed the acquisition of US Ecology using proceeds from the Term Loan Facility and borrowings under the Credit Facility. We had $500.0 million and $1.0 billion of borrowings outstanding under the Term Loan Facility as of December 31, 2023 and 2022, respectively. Commercial Paper Program In May 2022, we entered into a commercial paper program for the issuance and sale of unsecured commercial paper in an aggregate principal amount not to exceed $500.0 million outstanding at any one time (the Commercial Paper Cap). In August 2022, the Commercial Paper Cap was increased to $1.0 billion, and in October 2023, was increased to $1.5 billion. The weighted average interest rate for borrowings outstanding as of December 31, 2023 is 5.508% with a weighted average maturity of approximately 18 days. We had $496.0 million and $1.0 billion principal value of commercial paper issued and outstanding under the program as of December 31, 2023 and 2022, respectively. In the event of a failed re-borrowing, we currently have availability under our Credit Facility to fund amounts currently borrowed under the commercial paper program until they are re-borrowed successfully. Accordingly, we have classified these borrowings as long-term in our consolidated balance sheet as of December 31, 2023 and 2022, respectively. Senior Notes In March 2023, we issued $400.0 million of 4.875% senior notes due 2029 (the Existing 2029 Notes) and $800.0 million of 5.000% senior notes due 2034 (the 2034 Notes, and together, the Notes). The Notes are unsecured and unsubordinated and rank equally with our other unsecured obligations. We used the proceeds from the Notes for general corporate purposes, including the repayment of a portion of amounts outstanding under the Uncommitted Credit Facility, the Commercial Paper Program, the Credit Facility, and the Term Loan Facility. As a result of the Term Loan Facility repayment, we incurred a non-cash loss on the early extinguishment of debt related to the ratable portion of unamortized deferred issuance costs of $0.2 million. In December 2023, we issued an additional $350.0 million of 4.875% senior notes due 2029 (the New 2029 Notes, and together with the Existing 2029 Notes, the 2029 Notes). After giving effect to the issuance of the New 2029 Notes, $750.0 million in aggregate principal amount of the 2029 Notes is outstanding. The New 2029 Notes are fungible with the Existing 2029 Notes, and taken together, the 2029 Notes are treated as a single series. In December 2023, we also issued $650.0 million of 5.000% senior notes due 2033 (the 2033 Notes). Similar to the Notes above, the proceeds of these new senior notes were used for general corporate purposes, including the repayment of a portion of amounts outstanding under the Uncommitted Credit Facility, the Commercial Paper Program, the Credit Facility, and the Term Loan Facility. Interest Rate Swap and Lock Agreements Our ability to obtain financing through the capital markets is a key component of our financial strategy. Historically, we have managed risk associated with executing this strategy, particularly as it relates to fluctuations in interest rates, by using a combination of fixed and floating rate debt. From time to time, we also have entered into interest rate swap and lock agreements to manage risk associated with interest rates, either to effectively convert specific fixed rate debt to a floating rate (fair value hedges), or to lock interest rates in anticipation of future debt issuances (cash flow hedges). Fair Value Hedges During the second half of 2013, we entered into various interest rate swap agreements (the 2013 Interest Rate Swaps) relative to our 4.750% fixed rate senior notes due in May 2023 (4.750% Notes). The goal was to reduce overall borrowing costs and rebalance our debt portfolio's ratio of fixed-to-floating interest rates. These swap agreements settled in May 2023 along with our 4.750% Notes and are no longer included in our consolidated balance sheet. Contemporaneously with the $250.0 million partial redemption of the 4.750% Notes in November 2020, we dedesignated the proportional share of these swap agreements as fair value hedges. There was no ineffectiveness recognized in the dedesignation of these fair value hedges. Following the dedesignation, the fair value of these free-standing derivatives was determined using standard valuation models with assumptions about interest rates being based on those observed in underlying markets (Level 2 in the fair value hierarchy). As of December 31, 2022, these free-standing derivatives were reflected at their fair value of a $1.0 million liability and were included in other accrued liabilities in our consolidated balance sheet. These free-standing derivatives settled and matured in May 2023. For the years ended December 31, 2023, 2022 and 2021, we recognized a gain of $1.0 million and losses of $5.0 million and $4.4 million, respectively, directly in earnings as an adjustment to non-cash interest expense attributable to the change in fair value of the free-standing derivatives. As of December 31, 2022, the 2013 Interest Rate Swaps that were designated as fair value hedges are reflected at their fair value of a $1.2 million liability and included in other accrued liabilities in our consolidated balance sheet. We recognized net interest expense of $2.2 million and net interest income of $2.9 million and $7.9 million, respectively, during 2023, 2022 and 2021, related to net swap settlements for these interest rate swap agreements, which is included in interest expense in our consolidated statements of income. For the years ended December 31, 2023, 2022 and 2021, we recognized losses of $2.3 million and gains of $2.7 million and $5.2 million, respectively, related to the impact of changes in the benchmark interest rate on the fair value of the hedged senior notes. For the years ended December 31, 2023, 2022 and 2021, we recognized offsetting gains of $1.2 million and offsetting losses of $6.0 million and $5.2 million, respectively, on the related interest rate swaps attributable to changes in the benchmark interest rate. The difference of these fair value changes for the years ended December 31, 2023, 2022 and 2021 was recorded directly in earnings as an adjustment to interest expense in our consolidated statements of income. For further detail regarding the effect of our fair value hedging on interest expense, see Note 18, Financial Instruments , of the notes to our audited consolidated financial statements in Part II, Item 8 of this Annual Report on Form 10-K. Cash Flow Hedges We have historically entered into multiple swap agreements designated as cash flow hedges to manage exposure to fluctuations in interest rates in anticipation of planned future issuances of senior notes. Upon the expected issuance of senior notes, we terminate the interest rate locks and settle with our counterparties. These transactions were accounted for as cash flow hedges. The fair value of our interest rate locks is determined using standard valuation models with assumptions about interest rates being based on those observed in underlying markets (Level 2 in the fair value hierarchy). As of December 31, 2023 and 2022, our previously terminated interest rate locks were recorded as components of accumulated other comprehensive loss of $15.9 million and $21.4 million, respectively , net of tax. The effective portion of the interest rate locks is amortized as an adjustment to interest expense over the life of the issued debt using the effective interest method. D uring 2023, 2022 and 2021, we recognized losses, net of tax of $3.8 million, $4.4 million and $4.6 million, respectively, as a result of this amortization. Over the next 12 months, we expect to amortize $2.7 million, net of tax, from accumulated other comprehensive loss to interest expense as a yield adjustment of our senior notes. In connection with our acquisition of US Ecology, in the second quarter of 2022, we acquired and novated a floating-to-fixed interest rate swap agreement (the 2022 Interest Rate Swap) with an initial effective date of March 6, 2020 and an initial notional amount of $500 million relative to our Term Loan Facility and an initial fair value of $29.1 million. The initial fair value is reclassified into earnings as non-cash interest expense on a systematic basis over the life of the interest rate swap. As of December 31, 2023, and 2022, the 2022 Interest Rate Swap has a notional value of $350 million and $390 million, respectively. The interest rate swap matures in November 2026. The goal was to reduce overall borrowing costs. Under the terms of the acquired agreement, we pay interest at a fixed interest rate of 0.832% and received interest at floating rates based on changes in LIBOR. The interest rate swap is designated as a cash flow hedge. In May 2022, following the closing of the acquisition, we amended the reference rate from a floating rate based on LIBOR to a SOFR rate. In accordance with ASU 2020-04, the amendment of the reference rate did not result in dedesignation of the cash flow hedge. Changes in the fair value of the interest rate swap are recorded as a component of accumulated other comprehensive loss and are recognized in interest expense in the period in which the payment is settled. The fair value of our floating-to-fixed swap is determined using standard valuation models with assumptions about interest rates being based on those observed in underlying markets (Level 2 in the fair value hierarchy). As of December 31, 2023 and 2022, the 2022 Interest Rate Swap was recorded at its fair value of $24.3 million and $36.0 million, respectively, and is included in other assets in our consolidated balance sheets. During the years ended December 31, 2023 and 2022, we recognized unrealized gains of $12.2 million and $8.4 million, respectively, in accumulated other comprehensive loss for the 2022 Interest Rate Swap. As of December 31, 2023 and 2022, the 2022 Interest Rate Swap was recorded as a gain within accumulated other comprehensive loss of $4.3 million and $5.1 million, respectively, net of tax. The effective portion of the Interest Rate Swap is amortized as an adjustment to interest expense over the life of the instrument using the effective interest method. During the years ended December 31, 2023 and 2022, we recognized gains, net of tax, of $13.1 million and $3.3 million, respectively, as a result of this amortization. Over the next 12 months, we expect to amortize approximately $5 million, net of tax, from accumulated other comprehensive loss related to this instrument as an offset to interest expense in the period in which payments are settled. For further detail regarding the effect of our cash flow hedging on interest expense, see Note 18, Financial Instruments , of the notes to our audited consolidated financial statements in Part II, Item 8 of this Annual Report on Form 10-K. Derivative Contracts Extended Interest Rate Locks, Offsetting Interest Rate Swaps Contemporaneously with the issuance of our 2.300% Notes in February 2020, we amended interest rate lock agreements with an aggregate notional value of $550.0 million, extending the mandatory maturity date from 2020 to 2030, and dedesignated them as cash flow hedges (2020 Extended Interest Rate Locks). Contemporaneously with the issuance of our 2.500% Notes in August 2019, we amended interest rate lock agreements with an aggregate notional value of $375.0 million, extending the mandatory maturity date from 2019 to 2024, and dedesignated them as cash flow hedges (2019 Extended Interest Rate Locks and collectively with the 2020 Extended Interest Rate Locks referred to as the Extended Interest Rate Locks). There was no ineffectiveness recognized in the termination of these cash flow hedges. In addition, we entered into offsetting interest rate swaps to offset future exposures to fair value fluctuations of the Extended Interest Rate Locks (2019 Offsetting Interest Rate Swap and the 2020 Offsetting Interest Rate Swap, or collectively the Offsetting Interest Rate Swaps). The fair value of these free-standing derivatives was determined using standard valuation models with assumptions about interest rates being based on those observed in underlying markets (Level 2 in the fair value hierarchy). As of December 31, 2023, the fair value of the Extended Interest Rate Locks were assets of $54.0 million, which were included in prepaid and other current assets and other assets in our consolidated balance sheets. As of December 31, 2022, the fair value of the Extended Interest Rate Locks were assets of $69.8 million, which were included in other assets in our consolidated balance sheets. As of December 31, 2023, the fair value of the Offsetting Interest Rate Swaps were liabilities of $78.2 million, which were included in other accrued liabilities and other long-term liabilities in our consolidated balance sheets. As of December 31, 2022, the fair value of the Offsetting Interest Rate Swaps were liabilities of $99.7 million, which were included in other long-term liabilities in our consolidated balance sheets. For the year ended December 31, 2023, we recognized a loss of $15.4 million on the change in fair value of the Extended Interest Rate Locks, with an offsetting gain of $13.5 million, on the change in fair value of the Offsetting Interest Rate Swaps. For the year ended December 31, 2022, we recognized a gain of $109.4 million on the change in fair value of the Extended Interest Rate Locks, with an offsetting loss of $107.3 million, on the change in fair value of the Offsetting Interest Rate Swaps. The changes in fair value were recorded directly in earnings as an adjustment to interest expense in our consolidated statements of income. Tax-Exempt Financings As of December 31, 2023, we had $1,280.6 million of certain variable rate tax-exempt financings outstanding, with maturities ranging from 2024 to 2053. As of December 31, 2022, we had $1,182.0 million of variable rate tax-exempt financings outstanding, with maturities ranging from 2023 to 2051. In September 2023, the California Municipal Finance Authority issued, for our benefit, $100 million of Solid Waste Disposal Revenue Bonds. The proceeds from the issuance, after deferred issuance costs, were used to fund the acquisition, construction, improvement, installation, and/or equipping of certain solid waste disposal facilities located within California. The initial remarketing period for this tax-exempt financing is 10 years. Our remaining tax-exempt financings are remarketed either quarterly or semiannually by remarketing agents to effectively maintain a variable yield. The holders of the bonds can put them back to the remarketing agents at the end of each interest period. If the remarketing agent is unable to remarket our bonds, the remarketing agent can put the bonds to us. In the event of a failed remarketing, we currently have availability under our Credit Facility to fund these bonds until they are remarketed successfully. Accordingly, we classified these borrowings as long-term in our consolidated balance sheets as of December 31, 2023 and 2022. Finance Leases As of December 31, 2023, we had finance lease liabilities of $251.3 million with maturities ranging from 2024 to 2063. As of December 31, 2022, we had finance lease liabilities of $247.5 million with maturities ranging from 2023 to 2063. Interest Paid Interest paid, excluding net swap settlements for our fair value hedges, was $422.9 million , $311.5 million and $249.4 million for the years ended December 31, 2023, 2022 and 2021 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | LEASES A summary of the lease classification on our consolidated balance sheet as of December 31, 2023 and 2022 follows: 2023 2022 Assets Operating right-of-use lease assets Other assets $ 238.1 $ 275.1 Finance lease assets Property and equipment, net 286.7 288.3 Total leased assets $ 524.8 $ 563.4 Liabilities Current Operating Other accrued liabilities $ 54.8 $ 57.9 Finance Notes payable and current maturities of long-term debt 12.9 14.3 Long-term Operating Other long-term liabilities 194.9 238.0 Finance Long-term debt, net of current maturities 238.4 233.2 Total lease liabilities $ 501.0 $ 543.4 A summary of the lease cost reflected in our consolidated statements of income for the years ended December 31, 2023 and 2022 follow: 2023 2022 Operating lease cost Fixed lease cost Cost of operations $ 60.2 $ 55.5 Short-term lease cost Cost of operations 89.5 70.4 Variable lease cost Cost of operations 26.8 26.6 Finance lease cost Amortization of leased assets Depreciation amortization and depletion 15.6 15.2 Interest on lease liabilities Interest expense 8.8 12.0 Variable lease cost Interest expense 21.8 17.4 Total lease cost $ 222.7 $ 197.1 During the years ended December 31, 2023 and 2022, we recognized changes in our operating right-of-use lease liabilities and assets, resulting from the recognition of non-cash lease expense of $47.8 million and $46.2 million, respectively. As of December 31, 2023, maturities for operating and finance lease liabilities were as follows: Operating Leases Finance Leases Total 2024 $ 62.4 $ 22.4 $ 84.8 2025 52.7 18.4 71.1 2026 42.9 17.1 60.0 2027 31.8 16.4 48.2 2028 27.9 17.5 45.4 Thereafter 72.7 341.8 414.5 Total lease payments 290.4 433.6 724.0 Less: interest (40.7) (182.3) (223.0) Present value of lease liabilities $ 249.7 $ 251.3 $ 501.0 A summary of the weighted-average remaining lease term and weighted-average discount rate as of December 31, 2023 and 2022 follows: 2023 2022 Weighted-average remaining lease term (years) Operating leases 6.9 7.2 Finance leases 27.1 29.6 Weighted-average discount rate Operating leases 2.9 % 3.1 % Finance leases 4.4 % 4.4 % Supplemental cash flow and other non-cash information for the years ended December 31, 2023 and 2022 follow: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 176.5 $ 151.6 Operating cash flows from finance leases $ 30.7 $ 29.4 Financing cash flows from finance leases $ 12.3 $ 33.6 Leased assets obtained in exchange for new finance lease liabilities $ 17.0 $ 31.7 Leased assets obtained in exchange for new operating lease liabilities $ 33.4 $ 73.9 |
Leases | LEASES A summary of the lease classification on our consolidated balance sheet as of December 31, 2023 and 2022 follows: 2023 2022 Assets Operating right-of-use lease assets Other assets $ 238.1 $ 275.1 Finance lease assets Property and equipment, net 286.7 288.3 Total leased assets $ 524.8 $ 563.4 Liabilities Current Operating Other accrued liabilities $ 54.8 $ 57.9 Finance Notes payable and current maturities of long-term debt 12.9 14.3 Long-term Operating Other long-term liabilities 194.9 238.0 Finance Long-term debt, net of current maturities 238.4 233.2 Total lease liabilities $ 501.0 $ 543.4 A summary of the lease cost reflected in our consolidated statements of income for the years ended December 31, 2023 and 2022 follow: 2023 2022 Operating lease cost Fixed lease cost Cost of operations $ 60.2 $ 55.5 Short-term lease cost Cost of operations 89.5 70.4 Variable lease cost Cost of operations 26.8 26.6 Finance lease cost Amortization of leased assets Depreciation amortization and depletion 15.6 15.2 Interest on lease liabilities Interest expense 8.8 12.0 Variable lease cost Interest expense 21.8 17.4 Total lease cost $ 222.7 $ 197.1 During the years ended December 31, 2023 and 2022, we recognized changes in our operating right-of-use lease liabilities and assets, resulting from the recognition of non-cash lease expense of $47.8 million and $46.2 million, respectively. As of December 31, 2023, maturities for operating and finance lease liabilities were as follows: Operating Leases Finance Leases Total 2024 $ 62.4 $ 22.4 $ 84.8 2025 52.7 18.4 71.1 2026 42.9 17.1 60.0 2027 31.8 16.4 48.2 2028 27.9 17.5 45.4 Thereafter 72.7 341.8 414.5 Total lease payments 290.4 433.6 724.0 Less: interest (40.7) (182.3) (223.0) Present value of lease liabilities $ 249.7 $ 251.3 $ 501.0 A summary of the weighted-average remaining lease term and weighted-average discount rate as of December 31, 2023 and 2022 follows: 2023 2022 Weighted-average remaining lease term (years) Operating leases 6.9 7.2 Finance leases 27.1 29.6 Weighted-average discount rate Operating leases 2.9 % 3.1 % Finance leases 4.4 % 4.4 % Supplemental cash flow and other non-cash information for the years ended December 31, 2023 and 2022 follow: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 176.5 $ 151.6 Operating cash flows from finance leases $ 30.7 $ 29.4 Financing cash flows from finance leases $ 12.3 $ 33.6 Leased assets obtained in exchange for new finance lease liabilities $ 17.0 $ 31.7 Leased assets obtained in exchange for new operating lease liabilities $ 33.4 $ 73.9 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The components of the provision for income taxes for the years ended December 31 follow: 2023 2022 2021 Current: Federal $ 281.2 $ 72.4 $ 234.9 State 108.5 81.5 67.3 Deferred: Federal 72.3 164.2 (34.1) State 29.1 16.9 18.6 Uncertain tax positions and interest and other (31.0) 8.9 (3.9) Provision for income taxes $ 460.1 $ 343.9 $ 282.8 The reconciliations of the statutory federal income tax rate to our effective tax rate for the years ended December 31 follow: 2023 2022 2021 Federal statutory rate 21.0 % 21.0 % 21.0 % State income taxes, net of federal benefit 4.4 4.6 4.5 Non-deductible expenses 1.2 1.1 1.0 Uncertain tax position taxes and interest (0.8) 0.2 0.1 Investment tax credits (4.0) (7.6) (8.0) Other, net (0.8) (0.5) (0.6) Effective income tax rate 21.0 % 18.8 % 18.0 % During 2023, we acquired non-controlling interests in limited liability companies established to own renewable energy assets that qualified for investment tax credits under Section 48 of the Internal Revenue Code. We account for these investments using the equity method of accounting and recognize our share of income or loss and other reductions in the value of our investment in loss from unconsolidated equity method investments within our consolidated statements of income. For further discussion regarding our equity method accounting, see Note 3, Business Acquisitions, Investments and Restructuring Charges . Our 2023 tax provision reflects a benefit of $86.9 million due to the tax credits related to these investments. In addition, during 2023 we resolved IRS examinations for our 2014 to 2018 tax years, that in the aggregate, reduced our tax provision by approximately $20.8 million . Our 2022 tax provision was reduced by $139.0 million related to the tax credits from our non-controlling interests in limited liability companies established to own renewable energy assets. Our 2021 tax provision was reduced by $126.0 million related to the tax credits from our non-controlling interests in limited liability companies established to own renewable energy assets. During 2022 , the Inflation Reduction Act (IRA) was signed into law. The IRA, among other things, implemented a 15% minimum tax on financial statement income of certain large corporations, a 1% excise tax on stock repurchases and extended, enhanced and created several tax incentives to promote clean energy. We continue to evaluate the IRA and additional regulations as they are released by the U.S. Treasury. At present, we do not expect the 15% minimum tax to have an impact on the Company. However, we do expect to regularly incur a non-deductible excise tax as we continue to repurchase our shares. This charge is reflected as a component of treasury stock in our consolidated balance sheet. With respect to various energy credits in the IRA, we expect to benefit in subsequent years for credits related to commercial electric vehicles, carbon capture and renewable natural gas. Additional benefits may be identified as subsequent guidance is released by the U.S. Treasury and/or additional climate technologies are identified or advanced in future years. We made income tax payments (net of refunds) of $343.0 million, $184.7 million and $300.4 million for 2023, 2022, and 2021, respectively. Income taxes paid in 2023, 2022, and 2021 reflect benefits from tax credits from our continuing investments in renewable energy. For 2023 and 2022 cash taxes paid also reflects benefits from bonus depreciation on qualified assets. The components of the net deferred income tax asset and liability as of December 31 follow: 2023 2022 Deferred tax liabilities relating to: Differences between book and tax basis of property and equipment $ (1,229.4) $ (1,252.7) Difference between book and tax basis of intangible assets (582.8) (521.7) Operating right-of-use lease assets (59.3) (74.3) Basis difference due to redemption of partnership interests (81.8) (82.0) Total liabilities $ (1,953.3) $ (1,930.7) Deferred tax assets relating to: Environmental reserves $ 235.9 $ 253.0 Accruals not currently deductible 104.6 94.6 Net operating loss carryforwards 75.1 88.5 Difference between book and tax basis of other assets 14.1 14.4 Operating right-of-use lease liabilities 59.9 80.5 Other 17.5 15.2 Total assets 507.1 546.2 Valuation allowance (48.6) (43.1) Net deferred tax asset 458.5 503.1 Net deferred tax liabilities $ (1,494.8) $ (1,427.6) Changes in the deferred tax valuation allowance for the years ended December 31 follow: 2023 2022 2021 Valuation allowance, beginning of year $ 43.1 $ 43.7 $ 43.8 Additions charged to provision for income taxes 3.3 1.9 0.4 Deferred tax assets realized or written-off 0.3 (6.4) 0.1 Other, net 1.9 3.9 (0.6) Valuation allowance, end of year $ 48.6 $ 43.1 $ 43.7 We have deferred tax assets related to state net operating loss carryforwards. We provide a partial valuation allowance due to uncertainty surrounding the future utilization of these carryforwards in the taxing jurisdictions where the loss carryforwards exist. When determining the need for a valuation allowance, we consider all positive and negative evidence, including recent financial results, scheduled reversals of deferred tax liabilities, projected future taxable income and tax planning strategies. The weight given to the positive and negative evidence is commensurate with the extent such evidence can be objectively verified. We adjust the valuation allowance in the period management determines it is more likely than not that deferred tax assets will or will not be realized. The majority of our valuation allowance is associated with state loss carryforwards. The realization of our deferred tax asset for state loss carryforwards ultimately depends upon the existence of sufficient taxable income in the appropriate state taxing jurisdictions in future periods. We continue to regularly monitor both positive and negative evidence in determining the ongoing need for a valuation allowance. We have deferred tax assets related to state net operating loss carryforwards with an estimated tax effect of $64.5 million available as of December 31, 2023. These state net operating loss carryforwards expire at various times between 2024 and 2043. We believe that it is more likely than not that the benefit from some of our state net operating loss carryforwards will not be realized due to limitations on these loss carryforwards in certain states. In recognition of this risk, as of December 31, 2023, we have provided a valuation allowance of $43.4 million. We are subject to income tax in the United States, as well as income tax in multiple state and foreign jurisdictions. Our compliance with income tax rules and regulations is periodically audited by tax authorities. These authorities may challenge the positions taken in our tax filings. Thus, to provide for certain potential tax exposures, we maintain liabilities for uncertain tax positions for our estimate of the final outcome of the examinations. Our federal statute of limitations is closed for 2018 through 2019 and all years prior to 2015. For tax years 2015 through 2017 we have resolved all open issues with IRS Appeals while the applicable statutes of limitation will expire in early 2024. In addition, we are currently under state examination or administrative review in various jurisdictions for tax years 2012 through 2021. The following table summarizes the activity in our gross unrecognized tax benefits for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 111.0 $ 101.5 $ 101.1 Additions for tax positions of current year 1.2 7.1 — Additions for tax positions of prior years 2.6 2.4 0.5 Reductions for tax positions of prior years (7.5) — (0.1) Reductions for tax positions resulting from lapse of statute of limitations (0.1) — — Settlements (65.7) — — Balance at end of year $ 41.5 $ 111.0 $ 101.5 During 2023, we settled our 2014-2018 tax years with the Internal Revenue Service. These settlements reduced our gross unrecognized tax benefits by $65.7 million. Included in our gross unrecognized tax benefits as of December 31, 2023, 2022 and 2021 are $32.5 million, $96.5 million and $93.6 million, respectively, of unrecognized tax benefits (net of the federal benefit) that, if recognized, would affect our effective income tax rate in future periods. However, we are unable to estimate the resolution of these matters over the next 12 months. We recognize interest and penalties as incurred within the provision for income taxes in our consolidated statements of income. Related to the unrecognized tax benefits previously noted, we recorded a reduction to interest expense of $1.3 million during 2023 and, in total as of December 31, 2023, have recognized a liability for penalties of $0.3 million and interest of $13.5 million. During 2022, we recorded interest expense of $1.1 million and, in total as of December 31, 2022, had recognized a liability for penalties of $0.3 million and interest of $15.2 million. During 2021, we recorded interest expense of $0.8 million and, in total as of December 31, 2021, had recognized a liability for penalties of $0.3 million and interest of $13.7 million. We believe the recorded liabilities for uncertain tax positions are adequate. However, a significant assessment against us in excess of the liabilities recorded could have a material adverse effect on our consolidated financial position, results of operations and cash flows. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Employee Benefit Plans | EMPLOYEE BENEFIT PLANS Stock-Based Compensation In October 2020, our Board of Directors amended and restated the Republic Services, Inc. Executive Incentive Plan (the 2021 Plan) to remove references to the performance-based compensation exception that was previously permitted but is no longer applicable under Section 162(m) of the Code. The purposes of the 2021 Plan are to promote the success of the Company; to provide designated Executive Officers with an opportunity to receive incentive compensation dependent upon that success; and to attract, retain and motivate such individuals. We currently have 11.7 million shares of common stock reserved for future grants under the 2021 Plan. In February 2007, our Board of Directors approved the 2007 Stock Incentive Plan (the 2007 Plan); in May 2007 our shareholders approved the 2007 Plan. In March 2011, our Board of Directors approved the Amended and Restated 2007 Stock Incentive Plan (the Amended and Restated 2007 SIP); in May 2011 our shareholders approved the Amended and Restated 2007 SIP. In March 2013, our Board of Directors approved the Republic Services, Inc. Amended and Restated 2007 Stock Incentive Plan (the Republic Amended and Restated 2007 SIP); in May 2013 our shareholders approved the Republic Amended and Restated 2007 SIP (the 2007 Plan, the Amended and Restated 2007 SIP and the Republic Amended and Restated 2007 SIP are collectively referred to as the Amended and Restated 2007 Stock Incentive Plan). No further awards will be made under the Amended and Restated 2007 Stock Incentive Plan. Restricted Stock Units The following table summarizes restricted stock unit (RSU) activity for the years ended December 31, 2023, 2022 and 2021: Number of Weighted-Average Weighted-Average Aggregate Unissued as of December 31, 2020 1,212.1 $ 69.47 Granted 358.0 $ 91.21 Vested and issued (434.5) $ 74.69 Forfeited (44.8) $ 87.43 Unissued as of December 31, 2021 1,090.8 $ 77.19 Granted 258.8 $ 122.54 Vested and issued (388.4) $ 74.34 Forfeited (47.5) $ 110.92 Unissued as of December 31, 2022 913.7 $ 85.43 Granted 249.7 $ 133.03 Vested and issued (207.8) $ 95.24 Forfeited (40.4) $ 117.54 Unissued as of December 31, 2023 915.2 $ 93.35 0.7 $ 150.9 Vested and unissued as of December 31, 2023 424.9 $ 64.96 During the years ended December 31, 2023, 2022 and 2021 , we awarded our non-employee directors 20,324, 18,689 and 26,328 RSUs, respectively, which vested upon issuance. During the years ended December 31, 2023, 2022 and 2021 , we awarded 216,610, 226,108 and 312,602 RSUs, respectively, to executives and employees that vest in four equal annual installments beginning on the anniversary date of the original grant or cliff vest after three During the years ended December 31, 2023, 2022 and 2021 , we granted an additional 12,751, 13,969 and 19,049 RSUs, respectively, as dividend equivalents. The RSUs do not carry any voting or dividend rights, except the right to receive additional RSUs in lieu of dividends. Compensation Expense The fair value of RSUs is based on the closing market price on the date of the grant. The compensation expense related to RSUs is amortized ratably over the vesting period, or to the employee's retirement eligible date, if earlier. During the years ended December 31, 2023, 2022 and 2021 , compensation expense related to RSUs tota led $24.1 million, $22.8 million and $32.5 million, respectively. In 2021, we recognized approximately $6 million of compensation expense related to the accelerated vesting of RSUs previously granted to Donald W. Slager that were previously scheduled to vest in 2022 and beyond as a result of his retirement as Chief Executive Officer (CEO) of Republic Services, Inc. in June 2021. As of December 31, 2023, total unrecognized compensation expense related to outstanding RSUs was $37.1 million, which will be recognized over a weighted average period of 2.6 years. Performance Shares The following table summarizes performance stock unit (PSU) activity for the years ended December 31, 2023, 2022 and 2021: Number of Weighted Average Outstanding as of December 31, 2020 853.6 $ 76.14 Granted 313.1 $ 91.01 Vested and issued (287.0) $ 65.35 Forfeited (22.4) $ 91.20 Outstanding as of December 31, 2021 857.3 $ 84.79 Granted 156.6 $ 124.29 Vested and issued (233.4) $ 76.24 Forfeited (24.3) $ 109.62 Outstanding as of December 31, 2022 756.2 $ 95.19 Granted 199.5 $ 138.03 Vested and issued (227.1) $ 100.06 Forfeited (40.9) $ 123.30 Outstanding and Exercisable as of December 31, 2023 687.7 $ 101.48 During the years ended December 31, 2023, 2022 and 2021, we awarded 80,452 , 79,043 and 181,322 PSUs to our executive officers, respectively. These awards are performance-based as the number of shares ultimately earned depends on performance against pre-determined targets for return on invested capital (ROIC), cash flow value creation (CFVC) and total shareholder return relative to the S&P 500 index (RTSR). The PSUs are payable 50% in shares of common stock and 50% in cash after the end o f a three-year performance period, when our financial performance for the entire performance period is reported, typically in February of the succeeding year. At the end of the performance period, the number of PSUs awarded can range from 0% to 150% of the targeted amount, depending on the performance against the pre-determined targets. During the years ended December 31, 2023, 2022 and 2021, we awarded 108,560, 66,296 and 118,168 PSUs to our employees other than our executive officers, respectively. The PSUs are payable 100% in shares of common stock after the end of a three-year performance period, when our financial performance for the entire performance period is reported, typically in February of the succeeding year. At the end of the performance period, the number of PSUs awarded can range from 0% to 150% of the targeted amount, depending on the performance against the pre-determined targets. D uring the years ended December 31, 2023, 2022 and 2021, we granted an additi onal 10,511, 11,304 and 13,586 PSU s to our executive officers, respectively, as dividend equivalents. The PSUs do not carry any voting or dividend rights, except the right to accumulate additional PSUs in lieu of dividends. Compensation Expense For the stock-settled portion of the award that vests based on future ROIC and CFVC performance, compensation expense is measured using the fair value of our common stock at the grant date. For the cash-settled portion of the award that vests based on future ROIC and CFVC performance, compensation expense is recorded based on the fair value of our common stock at the end of each reporting period. Compensation expense is recognized ratably over the performance period based on our estimated achievement of the established performance criteria. Compensation expense is only recognized for the portion of the award that we expect to vest, which we estimate based on an assessment of the probability that the performance criteria will be achieved. For the stock-settled portion of the award that vests based on RTSR, the grant date fair value is based on a Monte Carlo valuation and compensation expense is recognized on a straight-line basis over the vesting period. For the cash-settled portion of the award that vests based on RTSR, compensation expense also incorporates the fair value of our PSUs at the end of each reporting period. Compensation expense is recognized for the RTSR portion of the award whether or not the market conditions are achieved. D uring the years ended December 31, 2023, 2022 and 2021 , compensation expense related to PSUs tot aled $29.2 million, $22.1 million and $47.1 million, respectively. In 2021, we recognized approximately $16 million of compensation expense related to the accelerated vesting of PSUs previously granted to Mr. Slager that were previously scheduled to vest in 2022 and beyond as a result of his retirement in June 2021. As of December 31, 2023, total unrecognized compensation expense related to outstanding PSUs was $21.9 million, which will be recognized over a weighted average period of approximately one year. Defined Benefit Pension Plan We currently have one qualified defined benefit pension plan, the BFI Retirement Plan (the Plan). The Plan covers certain employees in the United States, including some employees subject to collective bargaining agreements. The Plan benefits are frozen. Interest credits continue to be earned by participants in the Plan, and participants whose collective bargaining agreements provide for additional benefit accruals under the Plan continue to receive those credits in accordance with the terms of their bargaining agreements. The Plan was converted from a traditional defined benefit plan to a cash balance plan in 1993. Prior to the conversion to the cash balance design, benefits payable as a single life annuity under the Plan were based on the participant’s highest five years of earnings out of the last ten years of service. Upon conversion to the cash balance plan, the existing accrued benefits were converted to a lump-sum value using the actuarial assumptions in effect at the time. Participants’ cash balance accounts are increased until retirement by certain benefit and interest credits under the terms of their bargaining agreements. Participants may elect early retirement with the attainment of age 55 and completion of ten years of credited service at reduced benefits. Participants with 35 years of service may retire at age 62 without any reduction in benefits. Our pension contributions are made in accordance with funding standards established by the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code, as amended by the Pension Protection Act enacted in 2006 (the PPA). No contributions were made in 2023 or 2022. We must separately recognize the overfunded or underfunded status of the Plan as an asset or liability. The funded status represents the difference between the projected benefit obligation (PBO) and the fair value of the Plan assets. The PBO is equal to the accumulated benefit obligation (ABO) as the Plan is frozen and the present value of liabilities is not affected by future salary increases. We use a measurement date that coincides with our year end of December 31. The following table presents the ABO and reconciliations of the changes in the PBO, the Plan assets and the accounting funded status of our defined benefit pension plan for the years ended December 31: Defined Benefit 2023 2022 Accumulated benefit obligation $ 166.1 $ 172.3 Change in projected benefit obligation: Projected benefit obligation at beginning of year $ 172.3 $ 215.1 Interest cost 8.5 5.7 Actuarial loss (gain) 2.5 (32.6) Benefits paid (17.2) (15.9) Projected benefit obligation at end of year $ 166.1 $ 172.3 Change in plan assets: Fair value of plan assets at beginning of year $ 178.2 $ 221.8 Actual return on plan assets 12.2 (26.3) Estimated expenses (2.0) (1.4) Benefits paid (17.2) (15.9) Fair value of plan assets at end of year $ 171.2 $ 178.2 Over funded status $ 5.1 $ 5.9 Amounts recognized in the statement of financial position consist of: Noncurrent assets $ 5.1 $ 5.9 Net amount recognized $ 5.1 $ 5.9 Weighted average assumptions used to determine benefit obligations: Discount rate 4.94 % 5.13 % Rate of compensation increase N/A N/A The amounts included in accumulated other comprehensive income on the consolidated balance sheets that have not yet been recognized as components of net periodic benefit cost as of December 31, 2023 and 2022 were $11.4 million and $11.8 million, respectively. The components of the net periodic benefit income for the years ended December 31 are summarized below: 2023 2022 2021 Components of net periodic benefit income: Interest cost $ 8.5 $ 5.7 $ 4.7 Expected return on plan assets (7.5) (7.0) (6.0) Net periodic benefit loss (income) $ 1.0 $ (1.3) $ (1.3) Weighted average assumptions used to determine net periodic benefit income: Discount rate 4.94 % 5.13 % 2.77 % Expected return on plan assets 5.40 % 5.40 % 4.10 % Rate of compensation increase N/A N/A N/A We determine the discount rate used in the measurement of our obligations based on a model that matches the timing and amount of expected benefit payments to maturities of high quality bonds priced as of the Plan measurement date. When that timing does not correspond to a published high-quality bond rate, our model uses an expected yield curve to determine an appropriate current discount rate. The yields on the bonds are used to derive a discount rate for the liability. The term of our obligation, based on the expected retirement dates of our workforce, is approximately six years. In developing our expected rate of return assumption, we have evaluated the actual historical performance and long-term return projections of the Plan assets, which give consideration to the asset mix and the anticipated timing of the Plan outflows. We primarily utilize fixed income investments to minimize the volatility of the difference between the market value of the Plan assets and the present value of the obligation. Risk tolerance is established through careful consideration of Plan liabilities, Plan funded status and our financial condition. Derivatives may be used to gain market exposure in an efficient and timely manner; however, derivatives may not be used to leverage the portfolio beyond the market value of the underlying investments. Investment risk is measured and monitored on an ongoing basis through annual liability measurements, periodic asset and liability studies and quarterly investment portfolio reviews. The following table summarizes our target asset allocation as of December 31, 2023 and the actual asset allocation as of December 31, 2023 and 2022 for our Plan: December 31, 2023 December 31, 2023 December 31, 2022 Target Actual Actual Debt securities 100 % 100 % 100 % Total 100 % 100 % 100 % Asset allocations are reviewed and rebalanced periodically based on funded status. For 2024, the investment strategy for Plan assets is to maintain a portfolio designed to achieve our target of an average long-term rate of return of 5.40%. While we believe we can achieve a long-term average return of 5.40%, we cannot be certain that the portfolio will perform to our expectations. Assets are strategically allocated among fixed income and cash portfolios to achieve a diversification level that reduces fluctuations in investment returns. Asset allocation target ranges and strategies are reviewed periodically with the assistance of an independent external consulting firm. The Plan assets are measured at fair value. The following table summarizes, by level, within the fair value hierarchy, the investments of the Plan at fair value as of December 31, 2023 and 2022: Fair Value Measurements Using December 31, 2023 Quoted Significant Significant Money market accounts and U.S. government securities $ 49.5 $ 49.5 $ — $ — Fixed income securities 121.7 — 121.7 — Total assets $ 171.2 $ 49.5 $ 121.7 $ — Fair Value Measurements Using December 31, 2022 Quoted Significant Significant Money market accounts $ 23.6 $ 23.6 $ — $ — Mutual funds 154.6 — 154.6 — Total assets $ 178.2 $ 23.6 $ 154.6 $ — Estimated future benefit payments for the next ten years under the Plan follow: 2024 $ 15.7 2025 $ 15.4 2026 $ 15.6 2027 $ 15.5 2028 $ 14.6 2029 through 2033 $ 61.7 Collective Bargaining Agreements As of December 31, 2023, approximately 23% of our workforce was covered by collective bargaining agreements (CBAs), and approximately 3% of our workforce was covered by CBAs that will expire during 2024. Multiemployer Pension Plans We participate in multiemployer pension plans that generally provide retirement benefits to participants of contributing employers. We do not administer these plans. In general, these plans are managed by a board of trustees with the unions appointing certain trustees and other contributing employers of the plan appointing certain members. We generally are not represented on the board of trustees. Based on the information available to us, we believe that some of the multiemployer plans to which we contribute are either critical or endangered as those terms are defined in the Pension Protection Act (PPA). The PPA requires underfunded pension plans to improve their funding ratios within prescribed intervals based on the level of their underfunding. Until the plan trustees develop the funding improvement plans or rehabilitation plans as required by the PPA, we cannot determine the amount of any additional contribution or other financial obligations that we may be subject to, if any. Accordingly, we cannot presently determine the effect that the PPA may have on our consolidated financial position, results of operations or cash flows. Furthermore, under current law regarding multiemployer benefit plans, a plan’s termination, our voluntary withdrawal (which we consider from time to time), or the mass withdrawal from any under-funded multiemployer pension plan would require us to make payments to the plan for our proportionate share of the multiemployer plan’s unfunded vested liabilities. During the course of operating our business, we may incur withdrawal events regarding certain of the multiemployer pension plans in which we participate. We accrue for such events when losses become probable and reasonably estimable. Republic’s participation in individually significant multiemployer pension plans for the year ended December 31, 2023 is outlined in the table below. Only with respect to multiemployer pension plans, we considered contributions in excess of $3.5 million in any period disclosed to be individually significant. The most recent PPA zone status available in 2023 and 2022 is for the plans’ year ended September 30, or December 31, 2022 and 2021, respectively. The status is based on information that Republic received from the plans and is certified by the plans’ actuary. Among other factors, plans in the critical red zone are generally less than 65% funded, plans in the endangered yellow zone are less than 80% funded and plans in the safe green zone are at least 80% funded. Plans in the critical and declining zone are classified as critical and projected to be insolvent in the current year or any of the 14 following plan years. The last column lists the expiration dates of the CBAs to which the plans are subject. Pension Protection Funding Republic Surcharge Expiration Dates Legal Plan Name EIN 2023 2022 Implemented 2023 2022 2021 Imposed of CBAs Western Conference of 91-6145047 Safe Safe No $ 69.5 $ 61.2 $ 52.2 No Various dates through 6/30/2028 Local No. 731 I.B. of 36-6513567 Safe Safe No 8.5 8.1 8.7 No Various dates through 9/30/2028 New England Teamsters & 04-6372430 Critical & Declining Critical & Declining No 5.1 3.3 2.1 No 6/30/2025 Individually significant 83.1 72.6 63.0 All other plans N/A N/A N/A N/A 16.0 13.5 13.4 N/A Total $ 99.1 $ 86.1 $ 76.4 We are listed in the Form 5500 for Local No. 731, I.B. of T. Pension Fund as providing more than 5% of the total contributions. At the date these financial statements were issued, Forms 5500 were not available for the plan years ended in 2023. Defined Contribution Plan We maintain the Republic Services 401(k) Plan (the 401(k) Plan), which is a defined contribution plan covering all eligible employees. Under the 401(k) Plan, participants may direct us to defer a portion of their compensation to the 401(k) Plan, subject to Internal Revenue Code limitations. We provide for an employer matching contribution equal to 100% of the first 3.0% of eligible compensation and 50.0% of the next 2.0% of eligible compensation contributed by each employee, which is funded in cash. All contributions vest immediately. Total expense recorded for matching 401(k) contributions in 2023 , 2022 and 2021 was $82.3 million, $73.7 million and $62.4 million, respectively. Deferred Compensation Plan We provide eligible Republic employees, officers and directors with the opportunity to voluntarily defer base salary, bonus payments, long-term incentive awards and other compensation, as applicable, on a pre-tax basis through the Republic Services, Inc. Deferred Compensation Plan (the DCP). The DCP is a nonqualified deferred compensation plan that conforms to Section 409A of the Internal Revenue Code. Eligible participants can defer up to 80% of base salary and up to 100% of bonus, long-term compensation and directors’ fees. Under the DCP, some participants also are eligible for matching contributions. The matching contribution under the DCP is equal to the lesser of 2% of the participant’s compensation over established 401(k) limits or 50% of the amount the participant has deferred. The DCP participants have no ownership or security interest in any of the amounts deferred or the measurement funds under the DCP. The right of each participant in the DCP is solely that of a general, unsecured creditor of Republic with respect to his or her own interest under the DCP. Deferred amounts may be subject to forfeiture and are deemed invested among investment funds offered under the DCP, as directed by each participant. Payments of deferred amounts are payable following separation from service or at a date or dates elected by the participant when the deferral is elected. Payments of deferred amounts are made in either a lump sum or in annual installments over a period not exceeding 15 years. Republic invested in corporate-owned life insurance policies to satisfy future obligations under the DCP. These corporate-owned life insurance policies are held in a Rabbi Trust and are recorded at the amount that can be realized under insurance contracts at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. The aggregate cash surrender value of these life insurance policies was $112.7 million and $100.6 million as of December 31, 2023 and 2022, respectively, and is classified in other assets in our consolidated balance sheets. The DCP liability was $114.7 million and $98.6 million as of December 31, 2023 and 2022, respectively, and is classified in other long-term liabilities in our consolidated balance sheets. Employee Stock Purchase Plan Republic employees are eligible to participate in an employee stock purchase plan. The plan allows participants to purchase our common stock for 95% of its quoted market price on the last day of each calendar quarter. For the years ended December 31, 2023, 2022 and 2021, issuances under this plan totaled 103,706 shares, 99,680 shares and 104,217 shares, respectively. As of December 31, 2023, shares reserved for issuance to employees under this plan totaled 2.4 million and Republic held employee contributions of $3.2 million for the purchase of common stock. |
Share Repurchases and Dividends
Share Repurchases and Dividends | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Share Repurchases and Dividends | SHARE REPURCHASES AND DIVIDENDS Available Shares We currently have approximately 11.7 million shares of common stock reserved for future grants under the Republic Services, Inc. 2021 Stock Incentive Plan. Share Repurchases In October 2020, our Board of Directors approved a $2.0 billion share repurchase authorization effective starting January 1, 2021 and extending through December 31, 2023. In October 2023, our Board of Directors approved a $3.0 billion share repurchase authorization effective starting January 1, 2024 and extending through December 31, 2026. Share repurchases under the program may be made through open market purchases or privately negotiated transactions in accordance with applicable federal securities laws. While the Board of Directors has approved the program, the timing of any purchases, the prices and the number of shares of common stock to be purchased will be determined by our management, at its discretion, and will depend upon market conditions and other factors. The share repurchase program may be extended, suspended or discontinued at any time. On a quarterly basis, our Board of Directors reviews the intrinsic value of our stock and the parameters around which we repurchase our shares. Share repurchase activity during the years ended December 31, 2023, 2022 and 2021 follows (in millions except per share amounts): 2023 2022 2021 Number of shares repurchased 1.8 1.6 2.2 Amount paid $ 261.8 $ 203.5 $ 252.2 Weighted average cost per share $ 145.72 $ 124.02 $ 116.09 The average price paid per share, total repurchase costs and approximate maximum dollar value of the shares that may yet be purchased under the plans or programs exclude a 1% excise tax. As of December 31, 2023, 2022 and 2021 there were no repurchased shares pending settlement. As of December 31, 2023, the remaining authorized purchase capacity under our October 2023 repurchase program was $3.0 billion. Dividends In October 2023, our Board of Directors approved a quarterly dividend of $0.535 per share. Aggregate cash dividends declared were $650.0 million , $603.4 million and $563.0 million for the years ended December 31, 2023 , 2022 and 2021, respectively. As of December 31, 2023, we recorded a quarterly dividend payable of $168.3 million to shareholders of record at the close of business on January 2, 2024. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE Basic earnings per share is computed by dividing net income attributable to Republic Services, Inc. by the weighted average number of common shares (including vested but unissued RSUs and PSUs) outstanding during the period. Diluted earnings per share is based on the combined weighted average number of common shares and common share equivalents outstanding, which include, where appropriate, the assumed exercise of employee stock options, unvested RSUs and unvested PSUs at the expected attainment levels. We use the treasury stock method in computing diluted earnings per share. Earnings per share for the years ended December 31, 2023 , 2022 and 2021 are calculated as follows (in thousands, except per share amounts): 2023 2022 2021 Basic earnings per share: Net income attributable to Republic Services, Inc. $ 1,730,985 $ 1,487,586 $ 1,290,405 Weighted average common shares outstanding 316,182 316,530 318,811 Basic earnings per share $ 5.47 $ 4.70 $ 4.05 Diluted earnings per share: Net income attributable to Republic Services, Inc. $ 1,730,985 $ 1,487,586 $ 1,290,405 Weighted average common shares outstanding 316,182 316,530 318,811 Effect of dilutive securities: Unvested RSU awards 104 152 266 Unvested PSU awards 379 398 348 Weighted average common and common equivalent shares outstanding 316,665 317,080 319,425 Diluted earnings per share $ 5.47 $ 4.69 $ 4.04 During each of the years ended December 31, 2023, 2022 and 2021 |
Segment Reporting
Segment Reporting | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segment Reporting | SEGMENT REPORTING Our senior management evaluates, oversees and manages the financial performance of our operations through three field groups, referred to as Group 1, Group 2 and Group 3. Group 1 is our recycling and waste business operating primarily in geographic areas located in the western United States. Group 2 is our recycling and waste business operating primarily in geographic areas located in the southeastern and mid-western United States, the eastern seaboard of the United States, and Canada. Group 3 is our environmental solutions business operating in geographic areas located across the United States and Canada. These groups are presented below as our reportable segments, which each provide integrated environmental services, including but not limited to collection, transfer, recycling and disposal. Prior to the third quarter of 2022, our environmental services operating segment, now referred to as our Group 3 reportable segment, was aggregated with Corporate entities and other. We generated $169.9 million and $90.2 million of revenue in Canada for the years ended December 31, 2023 and 2022, respectively. There was no revenue generated in Canada during 2021. As of December 31, 2023 and 2022, we had $136.8 million and $47.7 million, respectively, of long-lived assets in Canada. The remainder of our revenue and assets were related to our United States operations. Adjusted EBITDA is the single financial measure our chief operating decision maker (CODM) uses to evaluate operating segment profitability and determine resource allocations. Summarized financial information concerning our reportable segments for the years ended December 31, 2023, 2022 and 2021 follows: Group 1 Group 2 Recycling & Waste Subtotal (1) Group 3 Corporate entities and other Total 2023 Gross Revenue $ 7,769.2 $ 7,563.2 $ 15,332.4 $ 1,703.6 $ 242.7 $ 17,278.7 Intercompany Revenue (1,170.8) (1,008.4) (2,179.2) (58.8) (76.2) (2,314.2) Revenue Allocations 95.8 90.6 186.4 (19.9) (166.5) — Net Revenue $ 6,694.2 $ 6,645.4 $ 13,339.6 $ 1,624.9 $ — $ 14,964.5 Adjusted EBITDA $ 2,134.7 $ 1,964.0 $ 4,098.7 $ 348.4 $ — $ 4,447.1 Capital Expenditures $ 707.4 $ 540.1 $ 1,247.5 $ 146.2 $ 237.4 $ 1,631.1 Total Assets $ 13,665.1 $ 10,959.5 $ 24,624.6 $ 4,481.3 $ 2,304.2 $ 31,410.1 2022 Gross Revenue $ 7,106.6 $ 7,028.6 $ 14,135.2 $ 1,262.5 $ 247.5 $ 15,645.2 Intercompany Revenue (1,089.6) (945.0) (2,034.6) (46.6) (52.7) (2,133.9) Revenue Allocations 103.5 99.0 202.5 (7.7) (194.8) — Net Revenue $ 6,120.5 $ 6,182.6 $ 12,303.1 $ 1,208.2 $ — $ 13,511.3 Adjusted EBITDA $ 1,967.4 $ 1,750.8 $ 3,718.2 $ 211.1 $ — $ 3,929.3 Capital Expenditures $ 620.1 $ 533.5 $ 1,153.6 $ 141.7 $ 158.7 $ 1,454.0 Total Assets $ 12,418.1 $ 10,509.8 $ 22,927.9 $ 4,086.3 $ 2,038.7 $ 29,052.9 2021 Gross Revenue $ 6,511.1 $ 6,338.0 $ 12,849.1 $ 242.4 $ 229.6 $ 13,321.1 Intercompany Revenue (1,056.8) (919.3) (1,976.1) (19.5) (30.5) (2,026.1) Revenue Allocations 102.6 96.5 199.1 — (199.1) — Net Revenue $ 5,556.9 $ 5,515.2 $ 11,072.1 $ 222.9 $ — $ 11,295.0 Adjusted EBITDA $ 1,812.8 $ 1,526.1 $ 3,338.9 $ 44.6 $ — $ 3,383.5 Capital Expenditures $ 601.9 $ 541.8 $ 1,143.7 $ 50.8 $ 121.8 $ 1,316.3 Total Assets $ 12,199.2 $ 9,926.9 $ 22,126.1 $ 1,211.6 $ 1,617.3 $ 24,955.0 (1) The Recycling & Waste Subtotal represents the combined results of our Group 1 and Group 2 reportable segments. Corporate functions include legal, tax, treasury, information technology, risk management, human resources, closed landfills, and other administrative functions. National Accounts revenue included in Corporate entities and other represents the portion of revenue generated from nationwide and regional contracts in markets outside our operating areas where the associated material handling is subcontracted to local operators. Revenue and overhead costs of Corporate entities and other are either specifically assigned or allocated on a rational and consistent basis among our reportable segments to calculate Adjusted EBITDA. As presented in the tables below, Adjusted EBITDA reflects certain adjustments for US Ecology, Inc., acquisition, integration and deal costs, (income) losses from unconsolidated equity method investments, losses on extinguishment of debt, adjustments to withdrawal liabilities for a multiemployer pension fund and restructuring expenses. This presentation is consistent with how our CODM reviews results of operations to make resource allocation decisions. Intercompany revenue reflects transactions within and between segments that generally are made on a basis intended to reflect the market value of such services. Capital expenditures for Corporate entities and other primarily include vehicle inventory acquired but not yet assigned to operating locations and facilities. A reconciliation of the Company's single measure of segment profitability (segment Adjusted EBITDA) to Income before income tax provision in the Consolidated Statements of Net Income is as follows for the years ended December 31, 2023, 2022 and 2021 (in millions of dollars and as a percentage of revenue): 2023 2022 2021 Group 1 Adjusted EBITDA $ 2,134.7 $ 1,967.4 $ 1,812.8 Group 2 Adjusted EBITDA 1,964.0 1,750.8 1,526.1 Group 3 Adjusted EBITDA 348.4 211.1 44.6 Total Adjusted EBITDA 4,447.1 3,929.3 3,383.5 Other expense (income), net (7.5) 2.3 0.5 Interest income (6.5) (3.3) (2.5) Interest expense 508.2 395.6 314.6 Depreciation, amortization and depletion 1,501.4 1,351.6 1,185.5 Accretion 97.9 89.6 82.7 Loss from unconsolidated equity method investments 94.3 165.6 188.5 Adjustment to withdrawal liability for multiemployer pension funds 4.5 (1.6) — Restructuring charges 33.2 27.0 16.6 (Gain) loss on business divestitures and impairments, net (3.6) (6.3) 0.5 US Ecology, Inc. acquisition integration and deal costs 33.5 77.3 — Accelerated vesting of compensation expense for CEO transition — — 22.0 Loss on extinguishment of debt and other related costs 0.2 — — Income before income taxes $ 2,191.5 $ 1,831.5 $ 1,575.1 |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | REVENUE Our operations primarily consist of providing environmental services. The following table disaggregates our revenue by service line for the years ended December 31 (in millions of dollars and as a percentage of revenue): 2023 2022 2021 Collection: Residential $ 2,822.7 18.9 % $ 2,642.6 19.5 % $ 2,452.8 21.7 % Small-container 4,438.4 29.7 3,945.7 29.2 3,417.7 30.3 Large-container 2,922.4 19.5 2,701.1 20.0 2,355.6 20.8 Other 69.4 0.4 53.9 0.4 52.1 0.5 Total collection 10,252.9 68.5 9,343.3 69.1 8,278.2 73.3 Transfer 1,699.1 1,574.5 1,490.0 Less: intercompany (933.7) (849.8) (814.4) Transfer, net 765.4 5.1 724.7 5.4 675.6 6.0 Landfill 2,885.4 2,681.7 2,516.6 Less: intercompany (1,206.0) (1,131.9) (1,092.8) Landfill, net 1,679.4 11.2 1,549.8 11.5 1,423.8 12.6 Environmental solutions 1,701.4 1,262.1 242.4 Less: intercompany (76.5) (53.9) (19.5) Environmental solutions, net 1,624.9 10.9 1,208.2 8.9 222.9 2.0 Other: Recycling processing and commodity sales 312.3 2.1 359.1 2.7 420.5 3.7 Other non-core 329.6 2.2 326.2 2.4 274.0 2.4 Total other 641.9 4.3 685.3 5.1 694.5 6.1 Total revenue $ 14,964.5 100.0 % $ 13,511.3 100.0 % $ 11,295.0 100.0 % Other non-core revenue consists primarily of revenue from National Accounts, which represents the portion of revenue generated from nationwide or regional contracts in markets outside our operating areas where the associated material handling is subcontracted to local operators. Consequently, substantially all of this revenue is offset with related subcontract costs, which are recorded in cost of operations. Environmental solutions revenue includes revenue generated by US Ecology following our acquisition of the business on May 2, 2022. The factors that impact the timing and amount of revenue recognized for each service line may vary based on the nature of the service performed. Generally, we recognize revenue at the time we perform a service. In the event that we bill for services in advance of performance, we recognize deferred revenue for the amount billed and subsequently recognize revenue at the time the service is provided. Depending on the nature of the contract, we may also generate revenue through the collection of fuel recovery fees and environmental fees which are designed to recover our internal costs of providing services to our customers. See Note 15, Segment Reporting , for additional information regarding revenue by reportable segment. Revenue by Service Line Collection Services Our collection business involves the collection of material for transport to transfer stations, or directly to landfills or recycling centers. Our collection services business includes both recurring and temporary customer relationships. Our standard contract duration is three years In general, small-container and residential collection fees are billed monthly or quarterly in advance. Substantially all of the deferred revenue recognized as of December 31, 2022 was recognized as revenue during 2023 when the service was performed. Our large-container customers are typically billed on a monthly basis based on the nature of the services provided during the period. Revenue recognized under these agreements is variable in nature based on the number of residential homes or businesses serviced during the period, the frequency of collection and the volume of material collected. In addition, certain of our contracts have annual price escalation clauses that are tied to changes in an underlying base index such as a consumer price index which are unknown at contract inception. Transfer Services Revenue at our transfer stations is primarily generated by charging tipping or disposal fees. The fees received for transfer services are based primarily on the market, type and volume or weight of the material accepted, the distance to the disposal facility and the cost of disposal. In general, fees are billed and revenue is recognized at the time the service is performed. Revenue recognized under these agreements is variable in nature based on the volume and nature of the material accepted at the transfer station. Landfill Services Revenue at our landfills is primarily generated by charging tipping fees to third parties based on the volume disposed and the nature of the waste. In general, fees are variable in nature and revenue is recognized at the time the waste is disposed at the facility. Environmental Solutions Environmental solutions revenue is primarily generated from the fees we charge for the collection, treatment, consolidation, disposal and recycling of hazardous and non-hazardous waste, field and industrial services, equipment rental, emergency response and standby services and in-plant services, such as transportation and logistics, including at our transfer, storage and disposal facilities (TSDF). Activity for this service line varies across markets and reflects the regulatory environment, pricing and disposal alternatives available in any given market. Revenue recognized under these agreements is variable in nature and primarily based on the volume and type of waste accepted or processed during the period. For certain field and industrial services contracts, we have a right to consideration from our customers in an amount that corresponds directly with the value to the customer of the Company's performance completed to date. Therefore, we have applied the practical expedient to recognize revenue in the amount to which we have the right to invoice. Recycling Processing and Commodity Sales Our recycling centers generate revenue through the processing and sale of old corrugated cardboard (OCC), old newsprint (ONP), aluminum, glass and other materials at market prices. In certain instances, we issue recycling rebates to our municipal or large-container customers, which can be based on the price we receive upon the final sale of recycled commodities, a fixed contractual rate or other measures. We also receive rebates when we dispose of recycled commodities at third-party facilities. The fees received are based primarily on the market, type and volume or weight of the materials sold. In general, fees are billed and revenue is recognized at the time title is transferred. Revenue recognized under these agreements is variable in nature based on the volume and type of materials sold. In addition, the amount of revenue recognized is based on commodity prices at the time of sale, which are unknown at contract inception. Revenue Recognition Our service obligations of a long-term nature, e.g., certain collection service contracts, are satisfied over time, and we recognize revenue based on the value provided to the customer during the period. The amount billed to the customer is based on variable elements such as the number of residential homes or businesses for which collection services are provided, the volume of material collected, treated, transported and disposed, and the nature of the material accepted. We do not disclose the value of unsatisfied performance obligations for these contracts as our right to consideration corresponds directly to the value provided to the customer for services completed to date and all future variable consideration is allocated to wholly unsatisfied performance obligations. Additionally, certain elements of our long-term customer contracts are unknown upon entering into the contract, including the amount that will be billed in accordance with annual price escalation clauses, our fuel recovery fee program and commodity prices. The amount to be billed is often tied to changes in an underlying base index such as a consumer price index or a fuel or commodity index, and revenue can be recognized once the index is established for the period. Deferred Contract Costs We incur certain upfront payments to acquire customer contracts which are recognized as other assets in our consolidated balance sheet, and we amortize the asset over the respective contract life. In addition, we recognize sales commissions that represent an incremental cost of the contract as other assets in our consolidated balance sheet, and we amortize the asset over the average life of the customer relationship. As of December 31, 2023 and 2022, we recognized $82.5 million and $80.2 million, respectively, of deferred contract costs and capitalized sales commissions. During the years ended December 31, 2023, 2022 and 2021, we amortized $14.5 million, $13.4 million and $12.5 million, respectively, of capitalized sales commissions to selling, general and administrative expenses, and $5.1 million, $5.7 million and $6.4 million, respectively, of other deferred contract costs as a reduction of revenue. |
Changes in Accumulated Other Co
Changes in Accumulated Other Comprehensive Loss by Component | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component | CHANGES IN ACCUMULATED OTHER COMPREHENSIVE LOSS BY COMPONENT A summary of changes in accumulated other comprehensive loss, net of tax, by component, for the years ended December 31, 2023, 2022 and 2021 follows: Cash Flow Defined Benefit Pension Plan Foreign Currency Translation Total Balance as of December 31, 2020 $ (30.4) $ 18.0 $ — $ (12.4) Other comprehensive loss before reclassifications — (5.8) — (5.8) Amounts reclassified from accumulated other comprehensive loss 4.6 (1.0) — 3.6 Net current-period other comprehensive income (loss) 4.6 (6.8) — (2.2) Balance as of December 31, 2021 (25.8) 11.2 — (14.6) Other comprehensive income (loss) before reclassifications 8.4 (1.6) (5.0) 1.8 Amounts reclassified from accumulated other comprehensive loss 1.1 (0.4) — 0.7 Net current-period other comprehensive income (loss) 9.5 (2.0) (5.0) 2.5 Balance as of December 31, 2022 (16.3) 9.2 (5.0) (12.1) Other comprehensive income (loss) before reclassifications 14.0 0.1 (4.4) 9.7 Amounts reclassified from accumulated other comprehensive loss (9.3) (0.4) — (9.7) Net current-period other comprehensive income (loss) 4.7 (0.3) (4.4) — Balance as of December 31, 2023 $ (11.6) $ 8.9 $ (9.4) $ (12.1) A summary of reclassifications out of accumulated other comprehensive loss for the years ended December 31, 2023, 2022 and 2021 follows: Amount Reclassified from Accumulated Other Comprehensive Loss Details about Accumulated Other Comprehensive Loss Components 2023 2022 2021 Affected Line Item in the Statement Where Net Income is Presented Gain (loss) on cash flow hedges: Terminated interest rate locks $ (5.1) $ (5.9) $ (6.2) Interest expense 2022 Interest Rate Swap 17.7 4.4 — Interest expense Total before tax 12.6 (1.5) (6.2) Tax (provision) benefit (3.3) 0.4 1.6 Net of tax 9.3 (1.1) (4.6) Pension gains: Pension settlement 0.6 0.5 1.3 Other income Tax provision (0.2) (0.1) (0.3) Net of tax 0.4 0.4 1.0 Total income (loss) reclassified into earnings, net of tax $ 9.7 $ (0.7) $ (3.6) |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Financial Instruments | FINANCIAL INSTRUMENTS The effect of our derivative instruments in fair value and cash flow hedging relationships on the consolidated statements of income for the years ended December 31, 2023, 2022 and 2021 follows (in millions): Classification and Amount of (Loss) Gain Recognized in Income on Fair Value and Cash Flow Hedging Relationships 2023 2022 2021 Interest Expense Interest Expense Interest Expense Total amounts of expense line items presented in the consolidated statements of income in which the effects of fair value or cash flow hedges are recorded $ (508.2) $ (395.6) $ (314.6) The effects of fair value and cash flow hedging relationships in Subtopic 815-20: (Loss) gain on fair value hedging relationships: Interest rate swaps: Net swap settlements $ (2.2) $ 2.9 $ 7.9 Net periodic loss $ (1.1) $ (3.3) $ (0.1) (Loss) gain on cash flow hedging relationships: Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax Interest rate swap locks $ (3.8) $ (4.4) $ (4.6) 2022 Interest Rate Swap $ 13.1 $ 3.3 $ — The effects of derivative instruments not in Subtopic 815-20: Gain (loss) on free-standing derivative instruments: Interest rate swaps: Gain (loss) on change in fair value of free-standing derivative instruments $ 1.0 $ (5.0) $ (4.4) Interest rate contract: Net (loss) gain on change in fair value of free-standing derivative instruments $ (1.9) $ 2.1 $ 0.3 Fair Value Measurements In measuring fair values of assets and liabilities, we use valuation techniques that maximize the use of observable inputs (Level 1) and minimize the use of unobservable inputs (Level 3). We also use market data or assumptions that we believe market participants would use in pricing an asset or liability, including assumptions about risk when appropriate. The carrying value for certain of our financial instruments, including cash, accounts receivable, accounts payable and certain other accrued liabilities, approximates fair value because of their short-term nature. As of December 31, 2023 and 2022, our assets and liabilities that are measured at fair value on a recurring basis include the following: December 31, 2023 Fair Value Carrying Amount Total Quoted Significant Significant Assets: Money market mutual funds - restricted cash and marketable securities and other assets $ 43.1 $ 43.1 $ 43.1 $ — $ — Bonds - restricted cash and marketable securities and other assets 76.3 76.3 — 76.3 — Derivative and hedging assets - other assets, prepaid expenses and other current assets 78.3 78.3 — 78.3 — Total assets $ 197.7 $ 197.7 $ 43.1 $ 154.6 $ — Liabilities: Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities $ 79.6 $ 79.6 $ — $ 79.6 $ — Contingent consideration - other accrued liabilities and other long-term liabilities 63.6 63.6 — — 63.6 Total liabilities $ 143.2 $ 143.2 $ — $ 79.6 $ 63.6 December 31, 2022 Fair Value Carrying Amount Total Quoted Significant Significant Assets: Money market mutual funds $ 38.3 $ 38.3 $ 38.3 $ — $ — Bonds - restricted cash and marketable securities and other assets 56.9 56.9 — 56.9 — Derivative and hedging assets - other assets 105.8 105.8 — 105.8 — Total assets $ 201.0 $ 201.0 $ 38.3 $ 162.7 $ — Liabilities: Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities $ 102.0 $ 102.0 $ — $ 102.0 $ — Contingent consideration - other accrued liabilities and other long-term liabilities 65.1 65.1 — — 65.1 Total liabilities $ 167.1 $ 167.1 $ — $ 102.0 $ 65.1 Total Debt As of December 31, 2023 and 2022, the carrying value of our total debt was $12.8 billion and $11.8 billion, respectively, and the fair value of our total debt was $12.5 billion and $11.1 billion, respectively. The estimated fair value of our fixed rate senior notes and debentures is based on quoted market prices. The fair value of our remaining notes payable, tax-exempt financings and borrowings under our credit facilities approximates the carrying value because the interest rates are variable. The fair value estimates -are based on Level 2 inputs of the fair value hierarchy as of December 31, 2023 and 2022. See Note 9, Debt , for further information related to our debt. Contingent Consideration In 2015, we entered into a waste management contract with the County of Sonoma, California to operate the county's waste management facilities. As of December 31, 2023, the Sonoma contingent consideration represents the fair value of $58.8 million payable to the County of Sonoma based on the achievement of future annual tonnage targets through the expected remaining capacity of the landfill. The potential undiscounted amount of all future contingent payments that we could be required to make under the waste management contract is estimated to be between approximately $81 million and $114 million. During 2023, the activity in the contingent consideration liability included accretion, which was offset by concession payments made in the ordinary course of business. There were no changes to the estimate of fair value. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Legal Proceedings We are subject to extensive and evolving laws and regulations and have implemented safeguards to respond to regulatory requirements. In the normal course of our business, we become involved in legal proceedings. Some may result in fines, penalties or judgments against us, or settlements, which may impact earnings and cash flows for a particular period. Although we cannot predict the ultimate outcome of any legal matter with certainty, we do not believe the outcome of any of our pending legal proceedings will have a material adverse impact on our consolidated financial position, results of operations or cash flows. As used herein, the term legal proceedings refers to litigation and similar claims against us and our subsidiaries, excluding: (1) ordinary course accidents, general commercial liability and workers' compensation claims, which are covered by insurance programs, subject to customary deductibles, and which, together with insured employee health care costs, are discussed in Note 7, Other Liabilities ; and (2) environmental remediation liabilities, which are discussed in Note 8, Landfill and Environmental Costs. We accrue for legal proceedings when losses become probable and reasonably estimable. We have recorded an aggregate accrual of approximately $18 million relating to our outstanding legal proceedings as of December 31, 2023. As of the end of each applicable reporting period, we review each of our legal proceedings and, where it is probable that a liability has been incurred, we accrue for all probable and reasonably estimable losses. Where we can reasonably estimate a range of losses we may incur regarding such a matter, we record an accrual for the amount within the range that constitutes our best estimate. If we can reasonably estimate a range but no amount within the range appears to be a better estimate than any other, we use the amount that is the low end of such range. If we had used the high ends of such ranges, our aggregate potential liability would be approximately $11 million higher than the amount recorded as of December 31, 2023. Multiemployer Pension Plans We participate in multiemployer pension plans that generally provide retirement benefits to participants of contributing employers. We do not administer these plans. Under current law regarding multiemployer pension plans, our withdrawal (which we consider from time to time) or the mass withdrawal from any under-funded multiemployer pension plan (each, a Withdrawal Event) could require us to make payments to the plan for our proportionate share of the plan’s unfunded vested liabilities. During the course of operating our business, we incur Withdrawal Events regarding certain of the multiemployer pension plans in which we participate. We accrue for such events when losses become probable and reasonably estimable. Unconditional Purchase Commitments Royalties We have entered into agreements to pay royalties to prior landowners or host communities, based on, among other things, revenue received and waste tonnage disposed at specified landfills. These royalties are generally payable quarterly and amounts incurred, but not paid, are accrued in our consolidated balance sheets. Royalties are accrued as revenue is received or tonnage is disposed of, as applicable, in the landfills. Disposal Agreements We have several agreements that require us to dispose of a minimum number of tons at third-party disposal facilities. Under these put-or-pay agreements, we must pay for agreed-upon minimum volumes regardless of the actual number of tons placed at the facilities. Our unconditional purchase commitments have varying expiration dates, with some extending through the remaining life of the respective landfill. Future minimum payments under unconditional purchase commitments, consisting primarily of (1) disposal related agreements, which include fixed or minimum royalty payments, host agreements and take-or-pay and put-or-pay agreements, and (2) other obligations including committed capital expenditures and consulting service agreements, as of December 31, 2023 are as follows: 2024 $ 205.2 2025 159.4 2026 109.7 2027 76.6 2028 49.7 Thereafter 373.7 $ 974.3 Cash and Cash Equivalents and Restricted Cash and Marketable Securities Restricted cash and restricted cash equivalents are included with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statements of cash flows. Beginning-of-period and end-of-period cash, cash equivalents, restricted cash and restricted cash equivalents as presented in the statements of cash flows are reconciled as follows: December 31, 2023 December 31, 2022 December 31, 2021 Cash and cash equivalents $ 140.0 $ 143.4 $ 29.0 Restricted cash and marketable securities 163.6 127.6 139.0 Less: restricted marketable securities (76.1) (56.7) (62.4) Cash, cash equivalents, restricted cash and restricted cash equivalents $ 227.5 $ 214.3 $ 105.6 Our restricted cash and marketable securities includes amounts pledged to regulatory agencies and governmental entities as financial guarantees of our performance under certain collection, landfill and transfer station contracts and permits and relating to our final capping, closure and post-closure obligations at our landfills and restricted cash and marketable securities related to our insurance obligations. The following table summarizes our restricted cash and marketable securities as of December 31: 2023 2022 Capping, closure and post-closure obligations $ 43.2 $ 39.1 Insurance 120.4 88.5 Total restricted cash and marketable securities $ 163.6 $ 127.6 We must provide financial assurance to governmental agencies and a variety of other entities under applicable environmental regulations relating to our landfill operations for capping, closure and post-closure costs and our performance under certain collection, landfill and transfer station contracts. We satisfy our financial assurance requirements by providing surety bonds, letters of credit, insurance policies or trust deposits. The amount of the financial assurance requirements for capping, closure and post-closure costs is determined by applicable state environmental regulations, which vary by state. The financial assurance requirements for capping, closure and post-closure costs can either be for costs associated with a portion of the landfill or the entire landfill. Generally, states will require a third-party engineering specialist to determine the estimated capping, closure and post-closure costs that are used to determine the required amount of financial assurance for a landfill. The amount of financial assurance required can, and generally will, differ from the obligation determined and recorded under U.S. GAAP. The amount of the financial assurance requirements related to contract performance varies by contract. Additionally, we are required to provide financial assurance for our insurance program and collateral for certain performance obligations. We had the following financial instruments and collateral in place to secure our financial assurances as of December 31: 2023 2022 Letters of credit $ 466.9 $ 475.0 Surety bonds $ 4,677.1 $ 4,322.3 We had $336.5 million and $347.6 million of letters of credit outstanding under our Credit Facility as of December 31, 2023 and 2022, respectively. Surety bonds subject to expiration will expire on various dates through 2029. These financial instruments are issued in the normal course of business and are not classified as debt. Because we currently have no liability for this financial assurance, it is not reflected in our consolidated balance sheets. However, we have recorded capping, closure and post-closure obligations and insurance reserves as they are incurred. We own a 19.9% interest in a company that, among other activities, issues financial surety bonds to secure capping, closure and post-closure obligations for companies operating in the environmental services industry. We account for this investment using an alternative measurement approach. There have been no identified events or changes in circumstances that may have a significant adverse effect on the recoverability of this investment. This investee company and the parent company of the investee had written surety bonds for us relating primarily to our landfill operations for capping, closure and post-closure, of which $1,737.6 million were outstanding as of December 31, 2023. Our reimbursement obligations under these bonds are secured by an indemnity agreement with the investee and a surety bond. Off-Balance Sheet Arrangements We have no off-balance sheet debt or similar obligations, other than short-term operating leases and financial assurances, which are not classified as debt. We have no transactions or obligations with related parties that are not disclosed, consolidated into or reflected in our reported financial position or results of operations. We have not guaranteed any third-party debt. Guarantees We enter into contracts in the normal course of business that include indemnification clauses. Indemnifications relating to known liabilities are recorded in the consolidated financial statements based on our best estimate of required future payments. Certain of these indemnifications relate to contingent events or occurrences, such as the imposition of additional taxes due to a change in the tax law or adverse interpretation of the tax law and indemnifications made in divestiture agreements where we indemnify the buyer for liabilities that relate to our activities prior to the divestiture and that may become known in the future. We do not believe that these contingent obligations will have a material effect on our consolidated financial position, results of operations or cash flows. We have entered into agreements with property owners to guarantee the value of property that is adjacent to certain of our landfills. These agreements have varying terms. We do not believe that these contingent obligations will have a material effect on our consolidated financial position, results of operations or cash flows. Other Matters Our business activities are conducted in the context of a developing and changing statutory and regulatory framework. Governmental regulation of the environmental services industry requires us to obtain and retain numerous governmental permits to conduct various aspects of our operations. These permits are subject to revocation, modification or denial. The costs and other capital expenditures that may be required to obtain or retain the applicable permits or comply with applicable regulations could be significant. Any revocation, modification or denial of permits could have a material adverse effect on us. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) | $ 1,730,985 | $ 1,487,586 | $ 1,290,405 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Management's Estimates and Assumptions | Management’s Estimates and Assumptions In preparing our financial statements, we make numerous estimates and assumptions that affect the amounts reported in these financial statements and accompanying notes. We must make these estimates and assumptions because certain information we use is dependent on future events, cannot be calculated with a high degree of precision from data available or simply cannot be readily calculated based on generally accepted methodologies. In preparing our financial statements, the more critical and subjective areas that deal with the greatest amount of uncertainty relate to our accounting for our long-lived assets, including recoverability, landfill development costs and final capping, closure and post-closure costs; our valuation allowances for accounts receivable and deferred tax assets; our liabilities for potential litigation, claims and assessments; our liabilities for environmental remediation, multiemployer pension plans, employee benefit plans, deferred taxes, uncertain tax positions and insurance reserves; and our estimates of the fair values of assets acquired and liabilities assumed in any acquisition. Each of these items is discussed in more detail elsewhere in these Notes to Consolidated Financial Statements. Our actual results may differ significantly from our estimates. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider liquid investments with a maturity at the date of acquisition of three months or less to be cash equivalents. |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist of cash and cash equivalents, trade accounts receivable and derivative instruments. We place our cash and cash equivalents with high quality financial institutions. Such balances may be in excess of FDIC insured limits. To manage the related credit exposure, we continually monitor the credit worthiness of the financial institutions where we have deposits. Concentrations of credit risk with respect to trade accounts receivable are limited due to the wide variety of customers and markets in which we provide services, as well as the dispersion of our operations across many geographic areas. We provide services to small-container, large-container, municipal and residential and environmental solutions customers primarily in the United States and Canada. We perform ongoing credit evaluations of our customers, but generally do not require collateral to support customer receivables. We establish an allowance for doubtful accounts based on various factors including the credit risk of specific customers, age of receivables outstanding, historical trends, economic conditions and other information. |
Accounts Receivable, Net | Accounts Receivable, Net Accounts receivable represents receivables from customers for environmental services, including collection and processing of recyclable materials, collection, transfer and disposal of solid waste and environmental solutions. Our receivables are recorded when billed or when the related revenue is earned and represent claims against third parties that will be settled in cash. The carrying value of our receivables, net of the allowance for doubtful accounts and customer credits, represents their estimated net realizable value. |
Restricted Cash and Marketable Securities | Restricted Cash and Marketable Securities As of December 31, 2023 and 2022, we had $163.6 million and $127.6 million, respectively, of restricted cash and marketable securities, of which $120.4 million and $88.5 million, respectively, supports our insurance programs for workers' compensation, commercial general liability and commercial auto liability. Additionally, we obtain funds through the issuance of tax-exempt bonds for the purpose of financing qualifying expenditures at our landfills, transfer stations, collection and recycling centers. The funds are deposited directly into trust accounts by the bonding authorities at the time of issuance. As the use of these funds is contractually restricted, and we do not have the ability to use these funds for general operating purposes, they are classified as restricted cash and marketable securities in our consolidated balance sheets. In the normal course of business, we may be required to provide financial assurance to governmental agencies and a variety of other entities in connection with, among other things, municipal residential collection contracts, closure or post-closure of landfills, environmental remediation, environmental permits and business licenses and permits as a financial guarantee of our performance. At several of our landfills, we satisfy financial assurance requirements by depositing cash into restricted trust funds or escrow accounts. |
Property and Equipment | Property and Equipment We record property and equipment at cost. Expenditures for major additions and improvements to facilities are capitalized, while maintenance and repairs are charged to expense as incurred. When property is retired or otherwise disposed, the related cost and accumulated depreciation are removed from the accounts and any resulting gain or loss is reflected in the consolidated statements of income. We revise the estimated useful lives of property and equipment acquired through business acquisitions to conform with our policies. We depreciate assets over their estimated useful lives using the straight-line method. We assume no salvage value for our depreciable property and equipment. The estimated useful lives of our property and equipment are as follows: Buildings and improvements 5 - 30 years Vehicles 5 - 20 years Landfill equipment 5 - 7 years Other equipment 3 - 25 years Furniture and fixtures 3 - 10 years |
Capitalized Interest | Capitalized Interest |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, restricted cash and marketable securities, interest rate hedges and other derivatives, long-term debt, contingent consideration arrangements and assets in our defined benefit pension plan. Accounting standards include disclosure requirements around fair values used for certain financial instruments and establish a fair value hierarchy. The hierarchy prioritizes valuation inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of three levels: • Level 1 – inputs are based upon unadjusted quoted prices for identical instruments traded in active markets. • Level 2 – inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities. • Level 3 – inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models and similar techniques. |
Investments Other Than Derivatives | Investments Other Than Derivatives Investments other than derivatives primarily include money market funds, common stock, mutual funds, United States government and agency securities, municipal and corporate bonds and foreign government bonds. In general, and where applicable, we use quoted prices in active markets for identical assets or liabilities to determine fair value. This pricing methodology applies to our Level 1 investments, such as money market funds, common stock and certain mutual funds. If quoted prices in active markets for identical assets or liabilities are not available to determine fair value, then we use quoted prices for similar assets and liabilities or inputs other than the quoted prices that are observable either directly or indirectly. These investments are included in Level 2 and consist primarily of corporate bonds, foreign government bonds, real estate investment trusts and certain agency securities. |
Derivative Financial Instruments | Derivative Financial Instruments We use derivative financial instruments to manage our risk associated with changing interest rates by creating offsetting market exposures. In prior periods, we entered into multiple agreements designated as cash flow hedges to lock interest rates in anticipation of future debt issuance. In connection with our acquisition of US Ecology, Inc. (US Ecology), in the second quarter of 2022, we acquired and novated a floating-to-fixed interest rate swap agreement that is designated as a cash flow hedge. All derivatives are measured at fair value using standard valuation models with assumptions about prices and other relevant information based on those observed in the underlying markets (Level 2 in the fair value hierarchy). These instruments are recognized in the balance sheet as assets or liabilities, as appropriate. The estimated fair values of derivatives used to hedge risks fluctuate over time and should be viewed in relation to the underlying hedged transactions. For derivatives designated as cash flow hedges, changes in fair value of the effective portions of derivative instruments are reported in stockholders’ equity as components of other comprehensive income until the forecasted transaction occurs or is not probable of occurring. When the forecasted transaction occurs or is not probable of occurring, the realized net gain or loss is then recognized in the consolidated statements of income. Changes in fair value of the ineffective portions are recognized currently in earnings |
Landfill and Environmental Costs | Landfill and Environmental Costs Life Cycle Accounting We use life-cycle accounting and the units-of-consumption method to recognize certain landfill costs over the life of the site. In life cycle accounting, all current and future capitalized costs to acquire and construct a site are calculated, and charged to expense based on the consumption of cubic yards of available airspace. Costs and airspace estimates are developed at least annually by engineers. We use these estimates to adjust the rates we use to deplete capitalized costs. Changes in these estimates primarily relate to changes in cost estimates, available airspace, inflation and applicable regulations. Changes in available airspace include, but are not limited to, changes due to the addition of airspace attributable to probable expansion areas, airspace consumed and changes in engineering estimates. |
Probable Expansion Airspace | Probable Expansion Airspace We classify landfill disposal capacity as either permitted (having received the final permit from the applicable regulatory agency) or as probable expansion airspace. Before airspace included in an expansion area is determined to be probable expansion airspace and, therefore, is included in our calculation of total available disposal capacity, all of the following criteria must be met: • We own the land associated with the expansion airspace or control it pursuant to an option agreement; • We are committed to supporting the expansion project financially and with appropriate resources; • There are no identified fatal flaws or impediments associated with the project, including political impediments; • Progress is being made on the project; • The expansion is attainable within a reasonable time frame; and • We believe it is likely the expansion permit will be received. Upon meeting our expansion criteria, the rates used at each applicable landfill to expense costs to acquire, construct, cap, close and maintain a site during the post-closure period are adjusted to include both the probable expansion airspace and the additional costs to be capitalized or accrued associated with that expansion airspace. We have identified three steps that landfills generally follow to obtain expansion permits. These steps are as follows: • Obtaining approval from local authorities; • Submitting a permit application to state authorities; and • Obtaining permit approval from state authorities. We continually monitor our progress toward obtaining permits for each of our sites with probable airspace. If we determine that a landfill expansion area no longer meets our criteria, the probable expansion airspace is removed from the landfill’s total available capacity and the rates used at the landfill to deplete costs to acquire, construct, cap, close and maintain a site during the post-closure period are adjusted accordingly. In addition, any amounts capitalized for the probable expansion airspace are charged to expense in the period in which it is determined that the criteria are no longer met. |
Capitalized Landfill Costs | Capitalized Landfill Costs Capitalized landfill costs include expenditures for land, permitting, cell construction and environmental structures. Capitalized permitting and cell construction costs are limited to direct costs relating to these activities, including legal, engineering and construction costs associated with excavation, natural and synthetic liners, construction of leachate collection systems, installation of methane gas collection and monitoring systems, installation of groundwater monitoring wells and other costs associated with the development of the site. Interest is capitalized on landfill construction projects while the assets are undergoing activities to ready them for their intended use. Capitalized landfill costs also include final capping, closure and post-closure assets and are depleted as airspace is consumed using the units-of-consumption method. Costs related to acquiring land, excluding the estimated residual value of unpermitted, non-buffer land, and costs related to permitting and cell construction are depleted as airspace is consumed using the units-of-consumption method. Capitalized landfill costs also may include an allocation of purchase price paid for landfills. For landfills purchased as part of a group of assets, the purchase price assigned to the landfill is determined based on the estimated fair value of the landfill. If the landfill meets our expansion criteria, the purchase price is further allocated between permitted airspace and expansion airspace based on the respective ratios to total available airspace. Landfill purchase price is amortized using the units-of-consumption method over the total available airspace, including probable expansion airspace, where appropriate. |
Final Capping, Closure and Post-Closure Costs & Environmental Liabilities | Final Capping, Closure and Post-Closure Costs Final capping We have future obligations for final capping, closure and post-closure costs with respect to the landfills we own or operate as set forth in applicable landfill permits. The permit requirements are based on the Subtitle C and Subtitle D regulations of the Resource Conservation and Recovery Act, as implemented and applied on a state-by-state basis. We define final capping as activities required to permanently cover a portion of a landfill that has been completely filled with waste. Final capping typically includes installing flexible membrane and geosynthetic clay liners, drainage and compact soil layers and topsoil and is constructed over an area of the landfill where total airspace capacity has been consumed and waste disposal operations have ceased. These final capping activities occur in phases as needed throughout the operating life of a landfill as specific areas are filled to capacity and the final elevation for that specific area is reached in accordance with the provisions of the operating permit. We consider final capping events to be discrete activities that are recognized as asset retirement obligations separately from other closure and post-closure obligations. As a result, we use a separate rate per ton for recognizing the principal amount of the liability and related asset associated with each capping event. We amortize the asset recorded pursuant to this approach as waste volume related to the capacity covered by the capping event is placed into the landfill based on the consumption of cubic yards of available airspace. Closure and post-closure Closure and post-closure activities occur after the entire landfill ceases to accept waste and closes. These activities involve methane gas control, leachate management and groundwater monitoring, surface water monitoring and control and other operational and maintenance activities that occur after the site ceases to accept waste. Obligations associated with monitoring and controlling methane gas migration and emissions are set forth in applicable landfill permits and these requirements are based on the provisions of the Clean Air Act. The post-closure period generally runs for 30 years after final site closure for municipal solid waste landfills and a shorter period for construction and demolition landfills and inert landfills. We recognize asset retirement obligations and the related amortization expense for closure and post-closure (excluding obligations for final capping) using the units-of-consumption method over the total remaining capacity of the landfill, including probable expansion airspace, where appropriate. Estimated future expenditures Estimates of future expenditures for final capping, closure and post-closure are developed at least annually by engineers. Management reviews these estimates and our operating and accounting personnel use them to adjust the rates used to capitalize and amortize these costs. These estimates involve projections of costs that will be incurred during the remaining life of the landfill for final capping activities, after the landfill ceases operations and during the legally required post-closure monitoring period. As of December 31, 2023, we had 126 closed landfills. Fair value measurements In general, we engage third parties to perform most of our final capping, closure and post-closure activities. Accordingly, the fair value of these activities is based on quoted and actual prices paid for similar work. We also perform some of our final capping, closure and post-closure activities using internal resources. Where we expect internal resources to be used to fulfill an asset retirement obligation, we add a profit margin to the estimated cost of such services to better reflect their fair value. If we perform these services internally, the added profit margin is recognized as a component of operating income in the period the obligation is settled. Our estimates of costs to discharge asset retirement obligations for landfills are developed in today’s dollars. These costs are inflated each year to reflect a normal escalation of prices up to the year they are expected to be paid. Our inflation rate was 2.0%, 1.9% and 1.7% for the years ended December 31, 2023, 2022 and 2021, respectively, which is primarily based on the ten-year historical moving average increase of the United States Consumer Price Index. These estimated costs are then discounted to their present values using a credit-adjusted, risk-free interest rate. Changes in assets retirement obligations A liability for an asset retirement obligation is recognized in the period in which it is incurred and is initially measured at fair value. The offset to the liability is capitalized as part of the carrying amount of the related long-lived asset. Changes in the liabilities due to revisions to estimated future cash flows are recognized by increasing or decreasing the liabilities with the offsets adjusting the carrying amounts of the related long-lived assets, and may also require immediate adjustments to amortization expense in the consolidated statements of income. Upward revisions in the amount of undiscounted estimated cash flows used to record a liability are discounted using the credit-adjusted, risk-free interest rate in effect at the time of the change. Downward revisions in the amount of undiscounted estimated cash flows used to record a liability are discounted using the credit-adjusted, risk-free rate that existed when the original liability was recognized. Changes in asset retirement obligations due to the passage of time are measured by recognizing accretion expense in a manner that results in a constant effective interest rate being applied to the average carrying amount of the liability. The effective interest rate used to calculate accretion expense is our credit-adjusted, risk-free interest rate in effect at the time the liabilities were recorded. We review our calculations with respect to landfill asset retirement obligations at least annually. If there is a significant change in the facts and circumstances related to a landfill during the year, we will review our calculations for the landfill as soon as practical after the change has occurred. Landfill operating expenses Costs associated with daily maintenance activities and environmental compliance during the operating life of the landfill are expensed as incurred. These costs include, among other things, leachate treatment and disposal, methane gas and groundwater monitoring and systems maintenance, interim cap maintenance, costs associated with the application of daily cover materials and the legal and administrative costs of ongoing environmental compliance. Environmental Liabilities We are subject to an array of laws and regulations relating to the protection of the environment, and we remediate sites in the ordinary course of our business. Under current laws and regulations, we may be responsible for environmental remediation at sites that we either own or operate, including sites that we have acquired, or sites where we have (or a company that we have acquired has) delivered waste. Our environmental remediation liabilities primarily include costs associated with remediating groundwater, surface water and soil contamination, as well as controlling and containing methane gas migration and the legal costs related to these remediation efforts. To estimate our ultimate liability at these sites, we evaluate several factors, including the nature and extent of contamination at each identified site, the required remediation methods, timing of expenditures, the apportionment of responsibility among the potentially responsible parties and the financial viability of those parties. We accrue for costs associated with environmental remediation obligations when such costs are probable and reasonably estimable in accordance with accounting for loss contingencies. We periodically review the status of all environmental matters and update our estimates of the likelihood of and future expenditures for remediation as necessary. Changes in the liabilities resulting from these reviews are recognized currently in earnings in the period in which the adjustment is known. Adjustments to estimates are reasonably possible in the near term and may result in changes to recorded amounts. With the exception of those obligations assumed in certain business combinations, environmental obligations are recorded on an undiscounted basis. Adjustments arising from changes in amounts and timing of estimated costs and settlements may result in increases or decreases in these obligations and are calculated on a discounted basis as they were initially estimated on a discounted basis. These adjustments are charged to operating income when they are known. We perform a comprehensive review of our environmental obligations annually and also review changes in facts and circumstances associated with these obligations at least quarterly. We have not reduced the liabilities we have recorded for recoveries from other potentially responsible parties or insurance companies. |
Business Combinations | Business Combinations We acquire businesses in the environmental services industry as part of our growth strategy. Businesses are included in the consolidated financial statements from the date of acquisition. We recognize, separately from goodwill, the identifiable assets acquired and liabilities assumed at their estimated acquisition-date fair values. We measure and recognize goodwill as of the acquisition date as the excess of: (1) the aggregate of the fair value of consideration transferred, the fair value of any non-controlling interest in the acquiree (if any) and the acquisition date fair value of our previously held equity interest in the acquiree (if any), over (2) the fair value of assets acquired and liabilities assumed. If information about facts and circumstances existing as of the acquisition date is incomplete by the end of the reporting period in which a business combination occurs, we report provisional amounts for the items for which the accounting is incomplete. The measurement or allocation period ends once we receive the information we are seeking; however, this period will generally not exceed one year from the acquisition date. Any material adjustments recognized during the measurement period will be reflected retrospectively in the consolidated financial statements of the subsequent period. We recognize third-party transaction-related costs as expense in the period in which they are incurred. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets We evaluate goodwill for impairment annually as of October 1st, or when an indicator of impairment exists, at the reporting unit level. Our reporting units are our three field groups: Group 1, Group 2 and Group 3. We may use both qualitative and quantitative approaches when testing goodwill for impairment. If, after assessing qualitative factors, we determine it is more likely than not that a reporting unit's goodwill is impaired, then we perform a quantitative test for that reporting unit. The quantitative impairment test for goodwill encompasses calculating a fair value of goodwill and comparing the fair value to its carrying value. If the carrying value exceeds the fair value, impairment is recognized for the difference. As of October 1, 2023, we utilized a qualitative approach and performed an evaluation of circumstances and events impacting our reporting units to determine the likelihood of goodwill impairment. Examples of such events or circumstances include: (1) a significant adverse change in legal factors or in the business climate; (2) an adverse action or assessment by a regulator; (3) a more likely than not expectation that a reporting unit or a significant portion thereof will be sold; (4) continued or sustained losses at a reporting unit; (5) a significant decline in our market capitalization as compared to our book value; or (6) we conclude that we may not recover a significant asset group within the reporting unit. We determined it was more likely than not that the fair values of our reporting units exceeded their carrying amounts. No impairment losses were recorded for goodwill during the years ended December 31, 2023, 2022 or 2021. Other intangible assets include values assigned to customer relationships, non-compete agreements and trade names and are amortized generally on a straight-line basis over periods ranging from 1 to 15 years. |
Asset Impairments | Asset Impairments We continually consider whether events or changes in circumstances have occurred that may warrant revision of the estimated useful lives of our long-lived assets (other than goodwill) or whether the remaining balances of those assets should be evaluated for possible impairment. Long-lived assets include, for example, capitalized landfill costs, other property and equipment and identifiable intangible assets. Events or changes in circumstances that may indicate that an asset may be impaired include the following: • A significant decrease in the market price of an asset or asset group; • A significant adverse change in the extent or manner in which an asset or asset group is being used or in its physical condition; • A significant adverse change in legal factors or in the business climate that could affect the value of an asset or asset group, including an adverse action or assessment by a regulator; • An accumulation of costs significantly in excess of the amount originally expected for the acquisition or construction of a long-lived asset; • A current period operating or cash flow loss combined with a history of operating or cash flow losses or a projection or forecast that demonstrates continuing losses associated with the use of a long-lived asset or asset group; • A current expectation that, more likely than not, a long-lived asset or asset group will be sold or otherwise disposed of significantly before the end of its previously estimated useful life; or • An impairment of goodwill at a reporting unit. There are certain indicators listed above that require judgment and understanding of the environmental services industry when applied to landfill development or expansion. For example, a regulator may initially deny a landfill expansion permit application though the expansion permit is ultimately granted. In addition, management may periodically divert waste from one landfill to another to conserve remaining permitted landfill airspace. Therefore, certain events could occur in the ordinary course of business and not necessarily be considered indicators of impairment due to the unique nature of the environmental services industry. If indicators of impairment exist, the asset or asset group is reviewed to determine whether its recoverability is impaired. We assess the recoverability of the asset or asset group by comparing its carrying value to an estimate (or estimates) of its undiscounted future cash flows over its remaining life. If the estimated undiscounted cash flows are not sufficient to recover the carrying value of the asset or asset group, we measure an impairment loss as the amount by which the carrying amount of the asset exceeds its fair value. The loss is recorded in the consolidated statements of income in the period in which such impairment is identified. Estimating future cash flows requires significant judgment, and our projections of future cash flows and remaining useful lives may vary materially from actual results. |
Insurance Reserves | Insurance Reserves Our insurance programs for workers' compensation, commercial general and auto liability, environmental and remediation liability and employee-related health care benefits are subject to high deductible insurance policies. Accruals for insurance reserves are based on claims filed and estimates of claims incurred but not reported. We consider our past claims experience, including both frequency and settlement amount of claims, in determining these estimates. It is possible that recorded reserves may not be adequate to fund the future payment of claims. Adjustments, if any, to estimates recorded resulting from ultimate claim payments will be reflected in the consolidated statements of income in the periods in which such adjustments are known. In general, our insurance reserves are recorded on an undiscounted basis; however, the insurance liabilities we assumed in business combinations are recorded at estimated fair value, and therefore have been discounted to present value based on our estimate of the timing of the related cash flows. |
Costs Associated with Exit Activities | Costs Associated with Exit Activities We record costs associated with exit activities such as employee termination benefits that represent a one-time benefit when management approves and commits to a plan of termination, and communicates the termination arrangement to the employees, or over the future service period, if any. Other costs associated with exit activities may include contract termination costs, including facility and employee relocation costs. |
Contingent Liabilities | Contingent Liabilities We are subject to various legal proceedings, claims and regulatory matters, the outcomes of which are subject to significant uncertainty. In general, we determine whether to disclose or accrue for loss contingencies based on an assessment of whether the risk of loss is remote, reasonably possible or probable, and whether it can be reasonably estimated. We assess our potential liability relating to litigation and regulatory matters based on information available to us. Management develops its assessment based on an analysis of possible outcomes under various strategies. We accrue for loss contingencies when such amounts are probable and reasonably estimable. If a contingent liability is only reasonably possible, we disclose the potential range of the loss, if estimable. Contingent liabilities recorded in purchase accounting are recorded at their fair values. These fair values may be different from the values we would have otherwise recorded, had the contingent liability not been assumed as part of an acquisition of a business. |
Accumulated Other Comprehensive Income and Share Repurchases | Accumulated Other Comprehensive Income Accumulated other comprehensive income is a component of stockholders’ equity and includes the effective portion of the net changes in fair value of our cash flow hedges, amortization of our interest rate locks, certain adjustments to liabilities associated with our employee defined benefit pension plan liabilities, net of tax, and foreign currency translation adjustments. Share Repurchases |
Revenue Recognition | Revenue Recognition We generally provide services under contracts with municipalities or individual customers. Municipal and small-container contracts are generally long-term and often have renewal options. Environmental solutions revenue may be billed in advance of the service being performed, such as the treatment or disposal of the waste. Advance billings are recorded as deferred revenue, and revenue is recognized over the period services are provided. We recognize revenue when control is transferred to the customer, generally at the time we provide a service. Revenue is measured as the amount of consideration we expect to receive in exchange for providing a service. We make payments to certain of our customers, including payments to our municipal customers or commodity rebates to customers in our recycling business, which reduce the amount of revenue we recognize. |
Income Taxes | Income Taxes We account for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, we record deferred income taxes to reflect the effects of temporary differences between the carrying amounts of assets and liabilities and their tax bases using enacted tax rates that we expect to be in effect when the taxes are actually paid or recovered. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. We record net deferred tax assets to the extent we believe these assets will more likely than not be realized. In making these determinations, we consider all available positive and negative evidence, including scheduled reversals of deferred tax liabilities, tax planning strategies, projected future taxable income and recent financial operating results. The weight given to the positive and negative evidence is commensurate with the extent such evidence can be objectively verified. If we determine that we would be able to realize a deferred income tax asset in the future in excess of its net recorded amount, we would make an adjustment to the valuation allowance, which would reduce the provision for income taxes. We record uncertain tax positions in accordance with ASC 740. A tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolution of any related appeals or litigation processes, based on the technical merits. Income tax positions must meet a more-likely-than-not recognition threshold at the effective date to be recognized. We recognize interest and penalties related to uncertain tax positions in the provision for income taxes in the accompanying consolidated statements of income. Accrued interest and penalties are included in other accrued liabilities, deferred income taxes and other long-term tax liabilities in the consolidated balance sheets. We use the flow-through method to account for investment tax credits earned on eligible development expenditures. Under this method, the investment tax credits are recognized as a reduction to income tax expense in the year they are earned. |
Defined Benefit Pension Plan | Defined Benefit Pension Plan We currently have one qualified defined benefit pension plan, the BFI Retirement Plan (the Plan). The Plan covers certain current and former employees of Allied Waste Industries, LLC (formerly Allied Waste Industries, Inc.) (Allied) in the United States, including some employees subject to collective bargaining agreements. The Plan’s benefit formula is based on a percentage of compensation as defined in the Plan document. However, the benefits of all current Plan participants are frozen. Our pension contributions are made in accordance with funding standards established by the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code, as amended by the Pension Protection Act of 2006. The Plan’s assets have been invested as determined by our Employee Benefits Committee. The Employee Benefits Committee reviews and adjusts the Plan’s asset allocation as deemed necessary. The benefit obligation and associated income or expense related to the Plan are determined using annually established assumptions for discount rates, expected rates of return and mortality rates. We determine the discount rate based on a model that matches the timing and amount of expected benefit payments to maturities of high quality bonds priced as of the pension plan measurement date. When that timing does not correspond to a published high-quality bond rate, our model uses an expected yield curve to determine an appropriate current discount rate. The yields on the bonds are used to derive a discount rate for the liability. In developing our expected rate of return assumption, we evaluate long-term expected and historical actual returns on the Plan assets, giving consideration to the asset mix and the anticipated duration of our Plan obligations. The average rate of compensation increase reflects our expectations of average pay increases over the period benefits are earned. Our assumptions are reviewed annually and adjusted as deemed necessary. |
Equity-Based Compensation Plans | Equity-Based Compensation Plans Compensation expense associated with our restricted share units is recognized ratably over the vesting period, or to the employee's retirement eligible date, if earlier. The fair value of restricted share units is based on the closing market price on the date of the grant. Compensation expense associated with our performance shares that vest based on future performance targets is measured using the fair value of our common stock at the grant date for the stock-settled, equity classified awards and the fair value of our common stock at the end of each reporting period for the cash-settled, liability classified awards. Compensation expense is recognized ratably over the performance period based on our estimated achievement of the established performance criteria. Compensation expense is only recognized for those awards that we expect to vest, which we estimate based on an assessment of the probability that the performance criteria will be achieved. |
Leases | Leases We lease property and equipment in the ordinary course of business under various lease agreements. The most significant lease obligations are for real property and equipment specific to our industry, including property operated as a landfill or transfer station and operating equipment. Our leases have varying terms. Some may include renewal or purchase options, escalation clauses, restrictions, penalties or other obligations that we consider in determining minimum lease payments. Our lease terms include options to renew the lease when it is reasonably certain that we will exercise the option. Certain leases require payments that are variable in nature based on volume measurements, e.g. a fixed rate per ton at our landfills. In addition, certain rental payments are adjusted annually based on changes in an underlying base index such as a consumer price index. Variable lease payments are recognized in our consolidated statements of income in the period incurred. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. We generally account for lease components separately from non-lease components. Leases are classified as either operating leases or finance leases, as appropriate. Leases with an initial term of 12 months or less are not recorded on our consolidated balance sheet. Operating Leases Many of our leases are operating leases. Operating lease classification generally can be attributed to either (1) relatively low fixed minimum lease payments (including, for example, real property lease payments that are not fixed and vary based on the volume of material we receive or process), or (2) minimum lease terms that are shorter than the asset's economic useful life. We expect that, in the ordinary course of business, our operating leases will be renewed, replaced by other leases, or replaced with capital expenditures. We recognize rent expense for these leases on a straight-line basis over the lease term. We recognize a right-of-use liability and right-of-use asset for leases classified as operating leases in our consolidated balance sheet upon lease commencement. The right-of-use liability represents the present value of the remaining lease payments. An implicit rate is often not readily available for these leases. As such, we use our incremental borrowing rate at the commencement date to determine the present value of the lease payments. Our incremental borrowing rate represents the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in a similar economic environment. In addition, we recognize a corresponding right-of-use asset, which represents our right to use an underlying asset for the lease term. The right-of-use asset is adjusted for certain favorable or unfavorable leases recognized through acquisition, prepaid or accrued rent, asset impairments and lease incentives, including but not limited to cash incentives, rent abatement or leasehold improvements paid by the lessor. Finance Leases We capitalize assets acquired under finance leases at lease commencement and amortize them to depreciation expense over the lesser of the useful life of the asset or the lease term on either a straight-line or a units-of-consumption basis, depending on the asset leased. We record the present value of the related lease payments as a debt obligation. Our finance lease liabilities relate primarily to real property, including certain long-term landfill operating agreements that require minimum lease payments with offsetting finance lease assets recorded as part of the landfill development costs. |
Related Party Transactions | Related Party Transactions It is our policy that transactions with related parties must be on terms that, on the whole, are no less favorable than those that would be available from unaffiliated parties. |
New Accounting Pronouncements | New Accounting Pronouncements Accounting Standards Adopted Disclosure of Supplier Finance Program Obligations In September 2022, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2022-04, Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations. The ASU requires buyers to disclose information about their supplier finance programs. Interim and annual requirements include the disclosure of outstanding amounts under the obligations as of the end of the reporting period, and annual requirements include a roll-forward of those obligations for the annual reporting period, as well as a description of payment and other key terms of the programs. This update is effective for annual periods beginning after December 15, 2022, and interim periods within those fiscal years, except for the requirement to disclose roll-forward information, which is effective for fiscal years beginning after December 15, 2023. The adoption of ASU 2022-04 on January 1, 2023 did not have a material impact on our consolidated financial statements. Through December 31, 2023, certain of our vendors chose to opt into our vendor supply finance agreement. This agreement allows a vendor to choose, on an invoice by invoice basis, to receive an earlier payment instead of a payment based on its original contracted terms (which, depending on the vendor, could extend up to 90 days or longer). As of December 31, 2023 and December 31, 2022, the amounts outstanding under these programs were not material. Accounting Standards Updates Issued but not yet Adopted as of December 31, 2023 Codification Amendments in Response to the SEC's Disclosure Update and Simplification Initiative In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendments in Response to the SEC's Disclosure Update and Simplification Initiative (ASU 2023-06). ASU 2023-06 modifies the disclosure or presentation requirements of a variety of topics, which will allow users to more easily compare entities subject to the SEC's existing disclosures with those entities that were not previously subject to the SEC's requirements, and to align the requirements in the FASB accounting standard codification with the SEC's regulations. The effective date for each amendment will be the date on which the SEC's removal of the related disclosure from Regulation S-X or Regulation S-K becomes effective, with early adoption prohibited. The Company is currently evaluating the provisions of the amendments and the impact on its future consolidated financial statements. Improvements to Reportable Segment Disclosures In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures (ASU 2023-07) . ASU 2023-07 improves the reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. The amendments in this update are effective for fiscal years beginning after December 15, 2024. We are currently assessing the effect this guidance may have on our consolidated financial statements. Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09). ASU 2023-09 requires entities to provide additional information in the rate reconciliation and additional disclosures about income taxes paid. The amendments in this update are effective for fiscal years beginning after December 15, 2024. We are currently assessing the effect this guidance may have on our consolidated financial statements. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of activity in allowance for doubtful accounts | The following table reflects the activity in our allowance for doubtful accounts for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 51.9 $ 38.5 $ 34.7 Additions charged to expense 53.2 41.5 19.9 Accounts written-off (21.9) (28.1) (16.1) Balance at end of year $ 83.2 $ 51.9 $ 38.5 |
Schedule of estimated useful lives of our property and equipment | The estimated useful lives of our property and equipment are as follows: Buildings and improvements 5 - 30 years Vehicles 5 - 20 years Landfill equipment 5 - 7 years Other equipment 3 - 25 years Furniture and fixtures 3 - 10 years A summary of property and equipment, net as of December 31 follows: 2023 2022 Land $ 878.1 $ 779.7 Landfill development costs 9,911.2 9,574.2 Vehicles and equipment 10,231.9 9,465.3 Buildings and improvements 1,921.9 1,704.6 Construction-in-progress – landfill 350.4 358.3 Construction-in-progress – other 553.6 358.6 $ 23,847.1 $ 22,240.7 Less: accumulated depreciation, depletion and amortization Landfill development costs $ (5,516.2) $ (5,058.9) Vehicles and equipment (6,147.7) (5,679.9) Buildings and improvements (832.3) (757.9) (12,496.2) (11,496.7) Property and equipment, net $ 11,350.9 $ 10,744.0 |
Business Acquisitions, Invest_2
Business Acquisitions, Investments and Restructuring Charges (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of aggregate purchase price and allocation of purchase price in other acquisitions | The purchase price paid for these business acquisitions and the allocations of the purchase price follows: 2023 2022 Purchase price: Cash used in acquisitions, net of cash acquired of $23.2 and $65.9, respectively $ 1,756.3 $ 2,668.6 Holdbacks 19.1 17.2 Fair value, future minimum lease payments 0.6 15.6 Total $ 1,776.0 $ 2,701.4 Allocated as follows: Restricted cash $ — $ 0.7 Accounts receivable 67.4 250.7 Prepaid expenses 5.6 15.7 Landfill development costs 49.1 565.4 Property and equipment 374.3 540.0 Operating right-of-use lease assets 14.4 61.1 Interest rate swap — 29.1 Other assets 0.3 40.7 Inventory 2.9 10.7 Accounts payable (20.6) (112.4) Deferred revenue (10.6) (28.2) Environmental remediation liabilities (5.7) (57.5) Closure and post-closure liabilities (10.9) (173.3) Operating right-of-use lease liabilities (14.4) (57.1) Deferred income tax liabilities (25.0) (109.3) Other liabilities (12.6) (58.5) Fair value of tangible assets acquired and liabilities assumed 414.2 917.8 Excess purchase price to be allocated $ 1,361.8 $ 1,783.6 Excess purchase price allocated as follows: Other intangible assets $ 203.9 $ 132.9 Goodwill 1,157.9 1,650.7 Total allocated $ 1,361.8 $ 1,783.6 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment, net | The estimated useful lives of our property and equipment are as follows: Buildings and improvements 5 - 30 years Vehicles 5 - 20 years Landfill equipment 5 - 7 years Other equipment 3 - 25 years Furniture and fixtures 3 - 10 years A summary of property and equipment, net as of December 31 follows: 2023 2022 Land $ 878.1 $ 779.7 Landfill development costs 9,911.2 9,574.2 Vehicles and equipment 10,231.9 9,465.3 Buildings and improvements 1,921.9 1,704.6 Construction-in-progress – landfill 350.4 358.3 Construction-in-progress – other 553.6 358.6 $ 23,847.1 $ 22,240.7 Less: accumulated depreciation, depletion and amortization Landfill development costs $ (5,516.2) $ (5,058.9) Vehicles and equipment (6,147.7) (5,679.9) Buildings and improvements (832.3) (757.9) (12,496.2) (11,496.7) Property and equipment, net $ 11,350.9 $ 10,744.0 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of the activity and balances in goodwill accounts, net, by operating segment | A summary of the activity and balances in goodwill accounts by reporting segment follows: Balance as of December 31, 2022 Acquisitions Divestitures Adjustments to Balance as of December 31, 2023 Group 1 $ 6,637.9 $ 675.4 $ — $ (0.9) $ 7,312.4 Group 2 6,238.3 208.2 (1.9) 0.9 6,445.5 Group 3 1,575.3 274.3 — 227.0 2,076.6 Total $ 14,451.5 $ 1,157.9 $ (1.9) $ 227.0 $ 15,834.5 Balance as of December 31, 2021 Acquisitions Divestitures Adjustments to Balance as of December 31, 2022 Group 1 $ 6,549.7 $ 95.2 $ — $ (7.0) $ 6,637.9 Group 2 5,994.2 239.0 (3.7) 8.8 6,238.3 Group 3 282.1 1,316.5 (0.3) (23.0) 1,575.3 Total $ 12,826.0 $ 1,650.7 $ (4.0) $ (21.2) $ 14,451.5 |
Schedule of the activity and balances by intangible asset type | A summary of the activity and balances by intangible asset type follows: Gross Intangible Assets Accumulated Amortization Other Intangible Assets, Net as of December 31, 2023 Balance as of December 31, 2022 Acquisitions Adjustments and Other Balance as of December 31, 2023 Balance as of December 31, 2022 Additions Adjustments and Other Balance as of December 31, 2023 Customer relationships $ 1,013.5 $ 197.3 $ (579.1) $ 631.7 $ (709.1) $ (53.7) $ 597.1 $ (165.7) $ 466.0 Non-compete agreements 67.9 4.2 (41.7) 30.4 (50.9) (6.5) 41.7 (15.7) 14.7 Other intangible assets 77.0 2.4 (56.2) 23.2 (51.2) (6.1) 49.6 (7.7) 15.5 Total $ 1,158.4 $ 203.9 $ (677.0) $ 685.3 $ (811.2) $ (66.3) $ 688.4 $ (189.1) $ 496.2 Gross Intangible Assets Accumulated Amortization Other Intangible Assets, Net as of December 31, 2022 Balance as of December 31, 2021 Acquisitions Adjustments and Other Balance as of December 31, 2022 Balance as of December 31, 2021 Additions Adjustments and Other Balance as of December 31, 2022 Customer relationships $ 898.4 $ 109.2 $ 5.9 $ 1,013.5 $ (666.8) $ (42.3) $ — $ (709.1) $ 304.4 Non-compete agreements 60.4 7.7 (0.2) 67.9 (44.6) (6.3) — (50.9) 17.0 Other intangible assets 58.0 16.0 3.0 77.0 (45.9) (5.3) — (51.2) 25.8 Total $ 1,016.8 $ 132.9 $ 8.7 $ 1,158.4 $ (757.3) $ (53.9) $ — $ (811.2) $ 347.2 |
Schedule of amortization expense | Based on the amortizable intangible assets recorded in the consolidated balance sheet as of December 31, 2023, amortization expense for each of the next five years is estimated as follows: 2024 $ 73.5 2025 $ 68.7 2026 $ 64.9 2027 $ 58.5 2028 $ 55.2 |
Other Assets (Tables)
Other Assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of prepaid expenses and other current assets | A summary of prepaid expenses and other current assets as of December 31 follows: 2023 2022 Income taxes receivable $ 126.3 $ 214.0 Prepaid expenses 123.0 114.3 Inventories 97.3 96.6 Other non-trade receivables 63.2 59.8 Reinsurance receivable 35.4 31.9 Prepaid fees for cloud-based hosting arrangements, current 17.0 14.4 Derivative and hedging assets 4.2 — Other current assets 6.2 5.5 Total $ 472.6 $ 536.5 |
Schedule of other assets | A summary of other assets as of December 31 follows: 2023 2022 Investments $ 469.4 $ 281.4 Operating right-of-use lease assets 238.1 275.1 Deferred compensation plan 112.7 100.6 Deferred contract costs and sales commissions 82.5 80.2 Reinsurance receivable 92.1 84.1 Derivative and hedging assets 74.1 105.8 Prepaid fees and capitalized implementation costs for cloud-based hosting arrangements 67.6 51.4 Amounts recoverable for capping, closure and post-closure obligations 21.9 20.5 Deferred financing costs 3.6 5.1 Other 21.9 21.3 Total $ 1,183.9 $ 1,025.5 |
Other Liabilities (Tables)
Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of other accrued liabilities | A summary of other accrued liabilities as of December 31 follows: 2023 2022 Accrued payroll and benefits $ 350.5 $ 342.6 Insurance reserves, current portion 216.6 187.5 Accrued fees and taxes 182.9 168.5 Accrued dividends 168.3 156.4 Operating right-of-use lease liabilities, current portion 54.8 57.9 Ceded insurance reserves, current portion 35.4 32.0 Accrued professional fees and legal settlement reserves 17.9 8.6 Derivative and hedging liabilities 8.3 1.2 Other 136.8 103.6 Total $ 1,171.5 $ 1,058.3 |
Schedule of other long-term liabilities | A summary of other long-term liabilities as of December 31 follows: 2023 2022 Operating right-of-use lease liabilities $ 194.9 $ 238.0 Deferred compensation plan liability 114.7 98.6 Ceded insurance reserves 92.1 84.1 Derivative and hedging liabilities 71.3 99.7 Contingent purchase price and acquisition holdbacks 59.1 60.5 Withdrawal liability - multiemployer pension funds 19.6 20.0 Other 42.9 59.8 Total $ 594.6 $ 660.7 |
Schedule of activity of self insurance reserves | The following table summarizes the activity in our insurance reserves for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 502.6 $ 497.4 $ 449.3 Additions charged to expense 666.9 568.7 552.4 Payments (636.5) (593.8) (531.8) Accretion expense 0.1 0.2 0.3 Premium written for third party risk assumed 43.4 35.3 36.5 Reclassified to ceded insurance reserves (11.1) (5.2) (9.3) Balance at end of year 565.4 502.6 497.4 Less: current portion (216.6) (187.5) (193.5) Long-term portion $ 348.8 $ 315.1 $ 303.9 |
Landfill and Environmental Co_2
Landfill and Environmental Costs (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Environmental Remediation Obligations [Abstract] | |
Schedule of landfill and environmental liabilities | A summary of our accrued landfill and environmental liabilities as of December 31 follows: 2023 2022 Landfill final capping, closure and post-closure liabilities $ 1,937.2 $ 1,786.4 Environmental remediation 485.4 487.5 Total accrued landfill and environmental costs 2,422.6 2,273.9 Less: current portion (141.6) (132.6) Long-term portion $ 2,281.0 $ 2,141.3 |
Schedule of activity in asset retirement obligation liabilities, which includes liabilities for final capping, closure and post-closure | The following table summarizes the activity in our asset retirement obligation liabilities, which includes liabilities for final capping, closure and post-closure, for the years ended December 31: 2023 2022 2021 Asset retirement obligation liabilities, beginning of year $ 1,786.4 $ 1,507.3 $ 1,346.4 Non-cash additions 61.4 60.1 47.2 Acquisitions, net of divestitures and other adjustments 12.3 173.5 32.1 Asset retirement obligation adjustments 40.1 20.0 58.5 Payments (60.8) (64.6) (59.6) Accretion expense 97.9 89.6 82.7 Foreign currency translation (0.1) 0.5 — Asset retirement obligation liabilities, end of year 1,937.2 1,786.4 1,507.3 Less: Current portion (72.4) (75.2) (68.4) Long-term portion $ 1,864.8 $ 1,711.2 $ 1,438.9 |
Schedule of expected future payments for final capping, closure, and post-closure | The expected future payments for final capping, closure and post-closure as of December 31, 2023 follows: 2024 $ 72.4 2025 96.5 2026 91.9 2027 116.7 2028 120.9 Thereafter 7,020.0 $ 7,518.4 |
Schedule of activity in environmental remediation liabilities | The following table summarizes the activity in our environmental remediation liabilities for the years ended December 31: 2023 2022 2021 Environmental remediation liabilities, beginning of year $ 487.5 $ 454.9 $ 462.8 Net additions charged to expense 2.0 2.9 0.5 Payments (54.9) (54.7) (57.1) Accretion expense (non-cash interest expense) 18.2 17.3 17.1 Acquisitions, net of divestitures and other adjustments 32.6 67.1 31.6 Environmental remediation liabilities, end of year 485.4 487.5 454.9 Less: current portion (69.2) (57.4) (56.1) Long-term portion $ 416.2 $ 430.1 $ 398.8 |
Schedule of expected undiscounted future payments for remediation costs | The expected undiscounted future payments for remediation costs as of December 31, 2023 follows: 2024 $ 69.2 2025 65.3 2026 54.7 2027 42.9 2028 29.6 Thereafter 281.0 $ 542.7 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of notes payable, capital leases and long-term debt | The carrying value of our credit facilities, finance leases and long-term debt as of December 31, 2023 and 2022 is listed in the following table, and is adjusted for the fair value of interest rate swaps, unamortized discounts, deferred issuance costs and the unamortized portion of adjustments to fair value recorded in purchase accounting. Original issue discounts and adjustments to fair value recorded in purchase accounting are amortized to interest expense over the term of the applicable instrument using the effective interest method. December 31, 2023 December 31, 2022 Maturity Interest Rate Principal Adjustments Carrying Value Principal Adjustments Carrying Value Credit facilities: Uncommitted Credit Facility Variable $ — $ — $ — $ — $ — $ — $3.5 billion - August 2026 Variable 297.1 — 297.1 250.0 — 250.0 Term Loan Variable 500.0 — 500.0 1,000.0 — 1,000.0 Commercial Paper Variable 496.0 (0.7) 495.3 1,000.0 (1.8) 998.2 Senior notes: May 2023 4.750 — — — 300.0 (2.5) 297.5 August 2024 2.500 900.0 (1.2) 898.8 900.0 (3.0) 897.0 March 2025 3.200 500.0 (0.9) 499.1 500.0 (1.6) 498.4 November 2025 0.875 350.0 (1.2) 348.8 350.0 (1.9) 348.1 July 2026 2.900 500.0 (1.6) 498.4 500.0 (2.2) 497.8 November 2027 3.375 650.0 (2.5) 647.5 650.0 (3.1) 646.9 May 2028 3.950 800.0 (8.9) 791.1 800.0 (10.7) 789.3 April 2029 4.875 750.0 (6.9) 743.1 — — — March 2030 2.300 600.0 (4.5) 595.5 600.0 (5.2) 594.8 February 2031 1.450 650.0 (6.2) 643.8 650.0 (7.1) 642.9 February 2032 1.750 750.0 (5.4) 744.6 750.0 (6.0) 744.0 March 2033 2.375 700.0 (6.5) 693.5 700.0 (7.1) 692.9 December 2033 5.000 650.0 (8.9) 641.1 — — — April 2034 5.000 800.0 (10.7) 789.3 — — — March 2035 6.086 181.9 (11.5) 170.4 181.9 (12.2) 169.7 March 2040 6.200 399.9 (3.3) 396.6 399.9 (3.4) 396.5 May 2041 5.700 385.7 (4.7) 381.0 385.7 (4.8) 380.9 March 2050 3.050 400.0 (6.8) 393.2 400.0 (7.0) 393.0 Debentures: September 2035 7.400 148.1 (28.8) 119.3 148.1 (30.0) 118.1 Tax-exempt: 2024 - 2053 3.750 - 4.900 1,289.1 (8.5) 1,280.6 1,189.1 (7.1) 1,182.0 Finance leases: 2024 - 2063 0.806 - 9.750 251.3 — 251.3 247.5 — 247.5 Total Debt $ 12,949.1 $ (129.7) 12,819.4 $ 11,902.2 $ (116.7) 11,785.5 Less: current portion (932.3) (456.0) Long-term portion $ 11,887.1 $ 11,329.5 |
Schedule of future maturities of debt | Aggregate principal maturities of notes payable, finance leases and other long-term debt as of December 31, 2023 follow: 2024 $ 932.3 2025 1,364.5 2026 1,385.9 2027 660.6 2028 841.4 Thereafter 7,634.7 $ 12,819.4 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Assets and liabilities, lessee | A summary of the lease classification on our consolidated balance sheet as of December 31, 2023 and 2022 follows: 2023 2022 Assets Operating right-of-use lease assets Other assets $ 238.1 $ 275.1 Finance lease assets Property and equipment, net 286.7 288.3 Total leased assets $ 524.8 $ 563.4 Liabilities Current Operating Other accrued liabilities $ 54.8 $ 57.9 Finance Notes payable and current maturities of long-term debt 12.9 14.3 Long-term Operating Other long-term liabilities 194.9 238.0 Finance Long-term debt, net of current maturities 238.4 233.2 Total lease liabilities $ 501.0 $ 543.4 |
Lease, cost | A summary of the lease cost reflected in our consolidated statements of income for the years ended December 31, 2023 and 2022 follow: 2023 2022 Operating lease cost Fixed lease cost Cost of operations $ 60.2 $ 55.5 Short-term lease cost Cost of operations 89.5 70.4 Variable lease cost Cost of operations 26.8 26.6 Finance lease cost Amortization of leased assets Depreciation amortization and depletion 15.6 15.2 Interest on lease liabilities Interest expense 8.8 12.0 Variable lease cost Interest expense 21.8 17.4 Total lease cost $ 222.7 $ 197.1 A summary of the weighted-average remaining lease term and weighted-average discount rate as of December 31, 2023 and 2022 follows: 2023 2022 Weighted-average remaining lease term (years) Operating leases 6.9 7.2 Finance leases 27.1 29.6 Weighted-average discount rate Operating leases 2.9 % 3.1 % Finance leases 4.4 % 4.4 % Supplemental cash flow and other non-cash information for the years ended December 31, 2023 and 2022 follow: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows from operating leases $ 176.5 $ 151.6 Operating cash flows from finance leases $ 30.7 $ 29.4 Financing cash flows from finance leases $ 12.3 $ 33.6 Leased assets obtained in exchange for new finance lease liabilities $ 17.0 $ 31.7 Leased assets obtained in exchange for new operating lease liabilities $ 33.4 $ 73.9 |
Lessee, operating lease, liability, maturity | As of December 31, 2023, maturities for operating and finance lease liabilities were as follows: Operating Leases Finance Leases Total 2024 $ 62.4 $ 22.4 $ 84.8 2025 52.7 18.4 71.1 2026 42.9 17.1 60.0 2027 31.8 16.4 48.2 2028 27.9 17.5 45.4 Thereafter 72.7 341.8 414.5 Total lease payments 290.4 433.6 724.0 Less: interest (40.7) (182.3) (223.0) Present value of lease liabilities $ 249.7 $ 251.3 $ 501.0 |
Finance lease, liability, maturity | As of December 31, 2023, maturities for operating and finance lease liabilities were as follows: Operating Leases Finance Leases Total 2024 $ 62.4 $ 22.4 $ 84.8 2025 52.7 18.4 71.1 2026 42.9 17.1 60.0 2027 31.8 16.4 48.2 2028 27.9 17.5 45.4 Thereafter 72.7 341.8 414.5 Total lease payments 290.4 433.6 724.0 Less: interest (40.7) (182.3) (223.0) Present value of lease liabilities $ 249.7 $ 251.3 $ 501.0 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of the provision for income taxes | The components of the provision for income taxes for the years ended December 31 follow: 2023 2022 2021 Current: Federal $ 281.2 $ 72.4 $ 234.9 State 108.5 81.5 67.3 Deferred: Federal 72.3 164.2 (34.1) State 29.1 16.9 18.6 Uncertain tax positions and interest and other (31.0) 8.9 (3.9) Provision for income taxes $ 460.1 $ 343.9 $ 282.8 |
Schedule of reconciliations of the statutory federal income tax rate to our effective tax rate | The reconciliations of the statutory federal income tax rate to our effective tax rate for the years ended December 31 follow: 2023 2022 2021 Federal statutory rate 21.0 % 21.0 % 21.0 % State income taxes, net of federal benefit 4.4 4.6 4.5 Non-deductible expenses 1.2 1.1 1.0 Uncertain tax position taxes and interest (0.8) 0.2 0.1 Investment tax credits (4.0) (7.6) (8.0) Other, net (0.8) (0.5) (0.6) Effective income tax rate 21.0 % 18.8 % 18.0 % |
Schedule of components of the net deferred income tax asset and liability | The components of the net deferred income tax asset and liability as of December 31 follow: 2023 2022 Deferred tax liabilities relating to: Differences between book and tax basis of property and equipment $ (1,229.4) $ (1,252.7) Difference between book and tax basis of intangible assets (582.8) (521.7) Operating right-of-use lease assets (59.3) (74.3) Basis difference due to redemption of partnership interests (81.8) (82.0) Total liabilities $ (1,953.3) $ (1,930.7) Deferred tax assets relating to: Environmental reserves $ 235.9 $ 253.0 Accruals not currently deductible 104.6 94.6 Net operating loss carryforwards 75.1 88.5 Difference between book and tax basis of other assets 14.1 14.4 Operating right-of-use lease liabilities 59.9 80.5 Other 17.5 15.2 Total assets 507.1 546.2 Valuation allowance (48.6) (43.1) Net deferred tax asset 458.5 503.1 Net deferred tax liabilities $ (1,494.8) $ (1,427.6) |
Schedule of changes in the deferred tax valuation allowance | Changes in the deferred tax valuation allowance for the years ended December 31 follow: 2023 2022 2021 Valuation allowance, beginning of year $ 43.1 $ 43.7 $ 43.8 Additions charged to provision for income taxes 3.3 1.9 0.4 Deferred tax assets realized or written-off 0.3 (6.4) 0.1 Other, net 1.9 3.9 (0.6) Valuation allowance, end of year $ 48.6 $ 43.1 $ 43.7 |
Schedule of activity in our gross unrecognized tax benefits | The following table summarizes the activity in our gross unrecognized tax benefits for the years ended December 31: 2023 2022 2021 Balance at beginning of year $ 111.0 $ 101.5 $ 101.1 Additions for tax positions of current year 1.2 7.1 — Additions for tax positions of prior years 2.6 2.4 0.5 Reductions for tax positions of prior years (7.5) — (0.1) Reductions for tax positions resulting from lapse of statute of limitations (0.1) — — Settlements (65.7) — — Balance at end of year $ 41.5 $ 111.0 $ 101.5 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of restricted stock unit and restricted stock activity | The following table summarizes restricted stock unit (RSU) activity for the years ended December 31, 2023, 2022 and 2021: Number of Weighted-Average Weighted-Average Aggregate Unissued as of December 31, 2020 1,212.1 $ 69.47 Granted 358.0 $ 91.21 Vested and issued (434.5) $ 74.69 Forfeited (44.8) $ 87.43 Unissued as of December 31, 2021 1,090.8 $ 77.19 Granted 258.8 $ 122.54 Vested and issued (388.4) $ 74.34 Forfeited (47.5) $ 110.92 Unissued as of December 31, 2022 913.7 $ 85.43 Granted 249.7 $ 133.03 Vested and issued (207.8) $ 95.24 Forfeited (40.4) $ 117.54 Unissued as of December 31, 2023 915.2 $ 93.35 0.7 $ 150.9 Vested and unissued as of December 31, 2023 424.9 $ 64.96 |
Schedule of performance shares award outstanding activity | The following table summarizes performance stock unit (PSU) activity for the years ended December 31, 2023, 2022 and 2021: Number of Weighted Average Outstanding as of December 31, 2020 853.6 $ 76.14 Granted 313.1 $ 91.01 Vested and issued (287.0) $ 65.35 Forfeited (22.4) $ 91.20 Outstanding as of December 31, 2021 857.3 $ 84.79 Granted 156.6 $ 124.29 Vested and issued (233.4) $ 76.24 Forfeited (24.3) $ 109.62 Outstanding as of December 31, 2022 756.2 $ 95.19 Granted 199.5 $ 138.03 Vested and issued (227.1) $ 100.06 Forfeited (40.9) $ 123.30 Outstanding and Exercisable as of December 31, 2023 687.7 $ 101.48 |
Schedule of accumulated benefit obligation and reconciliations of the changes of defined benefit pension plan | The following table presents the ABO and reconciliations of the changes in the PBO, the Plan assets and the accounting funded status of our defined benefit pension plan for the years ended December 31: Defined Benefit 2023 2022 Accumulated benefit obligation $ 166.1 $ 172.3 Change in projected benefit obligation: Projected benefit obligation at beginning of year $ 172.3 $ 215.1 Interest cost 8.5 5.7 Actuarial loss (gain) 2.5 (32.6) Benefits paid (17.2) (15.9) Projected benefit obligation at end of year $ 166.1 $ 172.3 Change in plan assets: Fair value of plan assets at beginning of year $ 178.2 $ 221.8 Actual return on plan assets 12.2 (26.3) Estimated expenses (2.0) (1.4) Benefits paid (17.2) (15.9) Fair value of plan assets at end of year $ 171.2 $ 178.2 Over funded status $ 5.1 $ 5.9 Amounts recognized in the statement of financial position consist of: Noncurrent assets $ 5.1 $ 5.9 Net amount recognized $ 5.1 $ 5.9 Weighted average assumptions used to determine benefit obligations: Discount rate 4.94 % 5.13 % Rate of compensation increase N/A N/A |
Schedule of net periodic benefit costs | The components of the net periodic benefit income for the years ended December 31 are summarized below: 2023 2022 2021 Components of net periodic benefit income: Interest cost $ 8.5 $ 5.7 $ 4.7 Expected return on plan assets (7.5) (7.0) (6.0) Net periodic benefit loss (income) $ 1.0 $ (1.3) $ (1.3) Weighted average assumptions used to determine net periodic benefit income: Discount rate 4.94 % 5.13 % 2.77 % Expected return on plan assets 5.40 % 5.40 % 4.10 % Rate of compensation increase N/A N/A N/A |
Schedule of target asset allocation and actual asset allocation for defined benefit pension plans | The following table summarizes our target asset allocation as of December 31, 2023 and the actual asset allocation as of December 31, 2023 and 2022 for our Plan: December 31, 2023 December 31, 2023 December 31, 2022 Target Actual Actual Debt securities 100 % 100 % 100 % Total 100 % 100 % 100 % |
Schedule of changes in the fair value of the Plan's investment | The Plan assets are measured at fair value. The following table summarizes, by level, within the fair value hierarchy, the investments of the Plan at fair value as of December 31, 2023 and 2022: Fair Value Measurements Using December 31, 2023 Quoted Significant Significant Money market accounts and U.S. government securities $ 49.5 $ 49.5 $ — $ — Fixed income securities 121.7 — 121.7 — Total assets $ 171.2 $ 49.5 $ 121.7 $ — Fair Value Measurements Using December 31, 2022 Quoted Significant Significant Money market accounts $ 23.6 $ 23.6 $ — $ — Mutual funds 154.6 — 154.6 — Total assets $ 178.2 $ 23.6 $ 154.6 $ — |
Schedule of estimated future benefit payments | Estimated future benefit payments for the next ten years under the Plan follow: 2024 $ 15.7 2025 $ 15.4 2026 $ 15.6 2027 $ 15.5 2028 $ 14.6 2029 through 2033 $ 61.7 |
Schedule of individually significant multiemployer pension plans | Republic’s participation in individually significant multiemployer pension plans for the year ended December 31, 2023 is outlined in the table below. Only with respect to multiemployer pension plans, we considered contributions in excess of $3.5 million in any period disclosed to be individually significant. The most recent PPA zone status available in 2023 and 2022 is for the plans’ year ended September 30, or December 31, 2022 and 2021, respectively. The status is based on information that Republic received from the plans and is certified by the plans’ actuary. Among other factors, plans in the critical red zone are generally less than 65% funded, plans in the endangered yellow zone are less than 80% funded and plans in the safe green zone are at least 80% funded. Plans in the critical and declining zone are classified as critical and projected to be insolvent in the current year or any of the 14 following plan years. The last column lists the expiration dates of the CBAs to which the plans are subject. Pension Protection Funding Republic Surcharge Expiration Dates Legal Plan Name EIN 2023 2022 Implemented 2023 2022 2021 Imposed of CBAs Western Conference of 91-6145047 Safe Safe No $ 69.5 $ 61.2 $ 52.2 No Various dates through 6/30/2028 Local No. 731 I.B. of 36-6513567 Safe Safe No 8.5 8.1 8.7 No Various dates through 9/30/2028 New England Teamsters & 04-6372430 Critical & Declining Critical & Declining No 5.1 3.3 2.1 No 6/30/2025 Individually significant 83.1 72.6 63.0 All other plans N/A N/A N/A N/A 16.0 13.5 13.4 N/A Total $ 99.1 $ 86.1 $ 76.4 |
Share Repurchases and Dividen_2
Share Repurchases and Dividends (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' Equity Note [Abstract] | |
Schedule of share repurchase activity | Share repurchase activity during the years ended December 31, 2023, 2022 and 2021 follows (in millions except per share amounts): 2023 2022 2021 Number of shares repurchased 1.8 1.6 2.2 Amount paid $ 261.8 $ 203.5 $ 252.2 Weighted average cost per share $ 145.72 $ 124.02 $ 116.09 The average price paid per share, total repurchase costs and approximate maximum dollar value of the shares that may yet be purchased under the plans or programs exclude a 1% excise tax. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings per share for the years ended December 31, 2023 , 2022 and 2021 are calculated as follows (in thousands, except per share amounts): 2023 2022 2021 Basic earnings per share: Net income attributable to Republic Services, Inc. $ 1,730,985 $ 1,487,586 $ 1,290,405 Weighted average common shares outstanding 316,182 316,530 318,811 Basic earnings per share $ 5.47 $ 4.70 $ 4.05 Diluted earnings per share: Net income attributable to Republic Services, Inc. $ 1,730,985 $ 1,487,586 $ 1,290,405 Weighted average common shares outstanding 316,182 316,530 318,811 Effect of dilutive securities: Unvested RSU awards 104 152 266 Unvested PSU awards 379 398 348 Weighted average common and common equivalent shares outstanding 316,665 317,080 319,425 Diluted earnings per share $ 5.47 $ 4.69 $ 4.04 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Summarized financial information concerning our reportable segments | Summarized financial information concerning our reportable segments for the years ended December 31, 2023, 2022 and 2021 follows: Group 1 Group 2 Recycling & Waste Subtotal (1) Group 3 Corporate entities and other Total 2023 Gross Revenue $ 7,769.2 $ 7,563.2 $ 15,332.4 $ 1,703.6 $ 242.7 $ 17,278.7 Intercompany Revenue (1,170.8) (1,008.4) (2,179.2) (58.8) (76.2) (2,314.2) Revenue Allocations 95.8 90.6 186.4 (19.9) (166.5) — Net Revenue $ 6,694.2 $ 6,645.4 $ 13,339.6 $ 1,624.9 $ — $ 14,964.5 Adjusted EBITDA $ 2,134.7 $ 1,964.0 $ 4,098.7 $ 348.4 $ — $ 4,447.1 Capital Expenditures $ 707.4 $ 540.1 $ 1,247.5 $ 146.2 $ 237.4 $ 1,631.1 Total Assets $ 13,665.1 $ 10,959.5 $ 24,624.6 $ 4,481.3 $ 2,304.2 $ 31,410.1 2022 Gross Revenue $ 7,106.6 $ 7,028.6 $ 14,135.2 $ 1,262.5 $ 247.5 $ 15,645.2 Intercompany Revenue (1,089.6) (945.0) (2,034.6) (46.6) (52.7) (2,133.9) Revenue Allocations 103.5 99.0 202.5 (7.7) (194.8) — Net Revenue $ 6,120.5 $ 6,182.6 $ 12,303.1 $ 1,208.2 $ — $ 13,511.3 Adjusted EBITDA $ 1,967.4 $ 1,750.8 $ 3,718.2 $ 211.1 $ — $ 3,929.3 Capital Expenditures $ 620.1 $ 533.5 $ 1,153.6 $ 141.7 $ 158.7 $ 1,454.0 Total Assets $ 12,418.1 $ 10,509.8 $ 22,927.9 $ 4,086.3 $ 2,038.7 $ 29,052.9 2021 Gross Revenue $ 6,511.1 $ 6,338.0 $ 12,849.1 $ 242.4 $ 229.6 $ 13,321.1 Intercompany Revenue (1,056.8) (919.3) (1,976.1) (19.5) (30.5) (2,026.1) Revenue Allocations 102.6 96.5 199.1 — (199.1) — Net Revenue $ 5,556.9 $ 5,515.2 $ 11,072.1 $ 222.9 $ — $ 11,295.0 Adjusted EBITDA $ 1,812.8 $ 1,526.1 $ 3,338.9 $ 44.6 $ — $ 3,383.5 Capital Expenditures $ 601.9 $ 541.8 $ 1,143.7 $ 50.8 $ 121.8 $ 1,316.3 Total Assets $ 12,199.2 $ 9,926.9 $ 22,126.1 $ 1,211.6 $ 1,617.3 $ 24,955.0 (1) The Recycling & Waste Subtotal represents the combined results of our Group 1 and Group 2 reportable segments. |
Schedule of Adjusted EBITDA and EBITDA Margin | A reconciliation of the Company's single measure of segment profitability (segment Adjusted EBITDA) to Income before income tax provision in the Consolidated Statements of Net Income is as follows for the years ended December 31, 2023, 2022 and 2021 (in millions of dollars and as a percentage of revenue): 2023 2022 2021 Group 1 Adjusted EBITDA $ 2,134.7 $ 1,967.4 $ 1,812.8 Group 2 Adjusted EBITDA 1,964.0 1,750.8 1,526.1 Group 3 Adjusted EBITDA 348.4 211.1 44.6 Total Adjusted EBITDA 4,447.1 3,929.3 3,383.5 Other expense (income), net (7.5) 2.3 0.5 Interest income (6.5) (3.3) (2.5) Interest expense 508.2 395.6 314.6 Depreciation, amortization and depletion 1,501.4 1,351.6 1,185.5 Accretion 97.9 89.6 82.7 Loss from unconsolidated equity method investments 94.3 165.6 188.5 Adjustment to withdrawal liability for multiemployer pension funds 4.5 (1.6) — Restructuring charges 33.2 27.0 16.6 (Gain) loss on business divestitures and impairments, net (3.6) (6.3) 0.5 US Ecology, Inc. acquisition integration and deal costs 33.5 77.3 — Accelerated vesting of compensation expense for CEO transition — — 22.0 Loss on extinguishment of debt and other related costs 0.2 — — Income before income taxes $ 2,191.5 $ 1,831.5 $ 1,575.1 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of disaggregation of revenue | The following table disaggregates our revenue by service line for the years ended December 31 (in millions of dollars and as a percentage of revenue): 2023 2022 2021 Collection: Residential $ 2,822.7 18.9 % $ 2,642.6 19.5 % $ 2,452.8 21.7 % Small-container 4,438.4 29.7 3,945.7 29.2 3,417.7 30.3 Large-container 2,922.4 19.5 2,701.1 20.0 2,355.6 20.8 Other 69.4 0.4 53.9 0.4 52.1 0.5 Total collection 10,252.9 68.5 9,343.3 69.1 8,278.2 73.3 Transfer 1,699.1 1,574.5 1,490.0 Less: intercompany (933.7) (849.8) (814.4) Transfer, net 765.4 5.1 724.7 5.4 675.6 6.0 Landfill 2,885.4 2,681.7 2,516.6 Less: intercompany (1,206.0) (1,131.9) (1,092.8) Landfill, net 1,679.4 11.2 1,549.8 11.5 1,423.8 12.6 Environmental solutions 1,701.4 1,262.1 242.4 Less: intercompany (76.5) (53.9) (19.5) Environmental solutions, net 1,624.9 10.9 1,208.2 8.9 222.9 2.0 Other: Recycling processing and commodity sales 312.3 2.1 359.1 2.7 420.5 3.7 Other non-core 329.6 2.2 326.2 2.4 274.0 2.4 Total other 641.9 4.3 685.3 5.1 694.5 6.1 Total revenue $ 14,964.5 100.0 % $ 13,511.3 100.0 % $ 11,295.0 100.0 % |
Changes in Accumulated Other _2
Changes in Accumulated Other Comprehensive Loss by Component (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Summary of changes in accumulated other comprehensive income (loss) by component | A summary of changes in accumulated other comprehensive loss, net of tax, by component, for the years ended December 31, 2023, 2022 and 2021 follows: Cash Flow Defined Benefit Pension Plan Foreign Currency Translation Total Balance as of December 31, 2020 $ (30.4) $ 18.0 $ — $ (12.4) Other comprehensive loss before reclassifications — (5.8) — (5.8) Amounts reclassified from accumulated other comprehensive loss 4.6 (1.0) — 3.6 Net current-period other comprehensive income (loss) 4.6 (6.8) — (2.2) Balance as of December 31, 2021 (25.8) 11.2 — (14.6) Other comprehensive income (loss) before reclassifications 8.4 (1.6) (5.0) 1.8 Amounts reclassified from accumulated other comprehensive loss 1.1 (0.4) — 0.7 Net current-period other comprehensive income (loss) 9.5 (2.0) (5.0) 2.5 Balance as of December 31, 2022 (16.3) 9.2 (5.0) (12.1) Other comprehensive income (loss) before reclassifications 14.0 0.1 (4.4) 9.7 Amounts reclassified from accumulated other comprehensive loss (9.3) (0.4) — (9.7) Net current-period other comprehensive income (loss) 4.7 (0.3) (4.4) — Balance as of December 31, 2023 $ (11.6) $ 8.9 $ (9.4) $ (12.1) |
Schedule of reclassifications out of accumulated other comprehensive income (loss) | A summary of reclassifications out of accumulated other comprehensive loss for the years ended December 31, 2023, 2022 and 2021 follows: Amount Reclassified from Accumulated Other Comprehensive Loss Details about Accumulated Other Comprehensive Loss Components 2023 2022 2021 Affected Line Item in the Statement Where Net Income is Presented Gain (loss) on cash flow hedges: Terminated interest rate locks $ (5.1) $ (5.9) $ (6.2) Interest expense 2022 Interest Rate Swap 17.7 4.4 — Interest expense Total before tax 12.6 (1.5) (6.2) Tax (provision) benefit (3.3) 0.4 1.6 Net of tax 9.3 (1.1) (4.6) Pension gains: Pension settlement 0.6 0.5 1.3 Other income Tax provision (0.2) (0.1) (0.3) Net of tax 0.4 0.4 1.0 Total income (loss) reclassified into earnings, net of tax $ 9.7 $ (0.7) $ (3.6) |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of fair value hedging instruments | The effect of our derivative instruments in fair value and cash flow hedging relationships on the consolidated statements of income for the years ended December 31, 2023, 2022 and 2021 follows (in millions): Classification and Amount of (Loss) Gain Recognized in Income on Fair Value and Cash Flow Hedging Relationships 2023 2022 2021 Interest Expense Interest Expense Interest Expense Total amounts of expense line items presented in the consolidated statements of income in which the effects of fair value or cash flow hedges are recorded $ (508.2) $ (395.6) $ (314.6) The effects of fair value and cash flow hedging relationships in Subtopic 815-20: (Loss) gain on fair value hedging relationships: Interest rate swaps: Net swap settlements $ (2.2) $ 2.9 $ 7.9 Net periodic loss $ (1.1) $ (3.3) $ (0.1) (Loss) gain on cash flow hedging relationships: Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax Interest rate swap locks $ (3.8) $ (4.4) $ (4.6) 2022 Interest Rate Swap $ 13.1 $ 3.3 $ — The effects of derivative instruments not in Subtopic 815-20: Gain (loss) on free-standing derivative instruments: Interest rate swaps: Gain (loss) on change in fair value of free-standing derivative instruments $ 1.0 $ (5.0) $ (4.4) Interest rate contract: Net (loss) gain on change in fair value of free-standing derivative instruments $ (1.9) $ 2.1 $ 0.3 |
Schedule of cash flow hedging instruments | The effect of our derivative instruments in fair value and cash flow hedging relationships on the consolidated statements of income for the years ended December 31, 2023, 2022 and 2021 follows (in millions): Classification and Amount of (Loss) Gain Recognized in Income on Fair Value and Cash Flow Hedging Relationships 2023 2022 2021 Interest Expense Interest Expense Interest Expense Total amounts of expense line items presented in the consolidated statements of income in which the effects of fair value or cash flow hedges are recorded $ (508.2) $ (395.6) $ (314.6) The effects of fair value and cash flow hedging relationships in Subtopic 815-20: (Loss) gain on fair value hedging relationships: Interest rate swaps: Net swap settlements $ (2.2) $ 2.9 $ 7.9 Net periodic loss $ (1.1) $ (3.3) $ (0.1) (Loss) gain on cash flow hedging relationships: Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax Interest rate swap locks $ (3.8) $ (4.4) $ (4.6) 2022 Interest Rate Swap $ 13.1 $ 3.3 $ — The effects of derivative instruments not in Subtopic 815-20: Gain (loss) on free-standing derivative instruments: Interest rate swaps: Gain (loss) on change in fair value of free-standing derivative instruments $ 1.0 $ (5.0) $ (4.4) Interest rate contract: Net (loss) gain on change in fair value of free-standing derivative instruments $ (1.9) $ 2.1 $ 0.3 |
Schedule of carrying amount and fair value of financial instruments | As of December 31, 2023 and 2022, our assets and liabilities that are measured at fair value on a recurring basis include the following: December 31, 2023 Fair Value Carrying Amount Total Quoted Significant Significant Assets: Money market mutual funds - restricted cash and marketable securities and other assets $ 43.1 $ 43.1 $ 43.1 $ — $ — Bonds - restricted cash and marketable securities and other assets 76.3 76.3 — 76.3 — Derivative and hedging assets - other assets, prepaid expenses and other current assets 78.3 78.3 — 78.3 — Total assets $ 197.7 $ 197.7 $ 43.1 $ 154.6 $ — Liabilities: Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities $ 79.6 $ 79.6 $ — $ 79.6 $ — Contingent consideration - other accrued liabilities and other long-term liabilities 63.6 63.6 — — 63.6 Total liabilities $ 143.2 $ 143.2 $ — $ 79.6 $ 63.6 December 31, 2022 Fair Value Carrying Amount Total Quoted Significant Significant Assets: Money market mutual funds $ 38.3 $ 38.3 $ 38.3 $ — $ — Bonds - restricted cash and marketable securities and other assets 56.9 56.9 — 56.9 — Derivative and hedging assets - other assets 105.8 105.8 — 105.8 — Total assets $ 201.0 $ 201.0 $ 38.3 $ 162.7 $ — Liabilities: Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities $ 102.0 $ 102.0 $ — $ 102.0 $ — Contingent consideration - other accrued liabilities and other long-term liabilities 65.1 65.1 — — 65.1 Total liabilities $ 167.1 $ 167.1 $ — $ 102.0 $ 65.1 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum payments under unconditional purchase commitments | Future minimum payments under unconditional purchase commitments, consisting primarily of (1) disposal related agreements, which include fixed or minimum royalty payments, host agreements and take-or-pay and put-or-pay agreements, and (2) other obligations including committed capital expenditures and consulting service agreements, as of December 31, 2023 are as follows: 2024 $ 205.2 2025 159.4 2026 109.7 2027 76.6 2028 49.7 Thereafter 373.7 $ 974.3 |
Schedule of cash, cash equivalents, restricted cash and restricted cash equivalents | Beginning-of-period and end-of-period cash, cash equivalents, restricted cash and restricted cash equivalents as presented in the statements of cash flows are reconciled as follows: December 31, 2023 December 31, 2022 December 31, 2021 Cash and cash equivalents $ 140.0 $ 143.4 $ 29.0 Restricted cash and marketable securities 163.6 127.6 139.0 Less: restricted marketable securities (76.1) (56.7) (62.4) Cash, cash equivalents, restricted cash and restricted cash equivalents $ 227.5 $ 214.3 $ 105.6 |
Schedule of restricted cash and marketable securities | The following table summarizes our restricted cash and marketable securities as of December 31: 2023 2022 Capping, closure and post-closure obligations $ 43.2 $ 39.1 Insurance 120.4 88.5 Total restricted cash and marketable securities $ 163.6 $ 127.6 |
Schedule of financial instruments and collateral in place | We had the following financial instruments and collateral in place to secure our financial assurances as of December 31: 2023 2022 Letters of credit $ 466.9 $ 475.0 Surety bonds $ 4,677.1 $ 4,322.3 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 3 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Details) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) pension_plan segment landfill | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Concentration Risk [Line Items] | |||
Net book credit balances in our primary disbursement accounts | $ 148,000,000 | $ 143,500,000 | |
Restricted cash and marketable securities | 163,600,000 | 127,600,000 | $ 139,000,000 |
Insurance | 120,400,000 | 88,500,000 | |
Capitalized interest | $ 7,800,000 | $ 5,000,000 | $ 5,000,000 |
Post-closure period | 30 years | ||
Number of closed landfills | landfill | 126 | ||
Asset retirement obligation, costs to discharge, inflation rate | 2% | 1.90% | 1.70% |
Years of historical moving average increase of the U.S. Consumer Price Index used as our basis for inflation rate | 10 years | 10 years | 10 years |
Number of operating segments | segment | 3 | ||
Goodwill impairment losses | $ 0 | $ 0 | $ 0 |
Number of qualified defined pension plans | pension_plan | 1 | ||
Minimum | |||
Concentration Risk [Line Items] | |||
Amortization period for other intangible assets | 1 year | ||
Maximum | |||
Concentration Risk [Line Items] | |||
Amortization period for other intangible assets | 15 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Allowance for Doubtful Accounts) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | |||
Balance at beginning of year | $ 51.9 | $ 38.5 | $ 34.7 |
Additions charged to expense | 53.2 | 41.5 | 19.9 |
Accounts written-off | (21.9) | (28.1) | (16.1) |
Balance at end of year | $ 83.2 | $ 51.9 | $ 38.5 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Property and Equipment) (Details) | Dec. 31, 2023 |
Buildings and improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Buildings and improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 30 years |
Vehicles | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Vehicles | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 20 years |
Landfill equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Landfill equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 7 years |
Other equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Other equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 25 years |
Furniture and fixtures | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 3 years |
Furniture and fixtures | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Business Acquisitions, Invest_3
Business Acquisitions, Investments and Restructuring Charges (Acquisitions) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Purchase price: | |||
Cash used in acquisitions, net of cash acquired of $23.2 and $65.9, respectively | $ 2,065.3 | $ 3,038.5 | $ 1,221.7 |
Excess purchase price allocated as follows: | |||
Goodwill | 15,834.5 | 14,451.5 | $ 12,826 |
Series of Individually Immaterial Business Acquisitions | |||
Purchase price: | |||
Cash used in acquisitions, net of cash acquired of $23.2 and $65.9, respectively | 1,756.3 | 2,668.6 | |
Cash acquired | 23.2 | 65.9 | |
Holdbacks | 19.1 | 17.2 | |
Fair value, future minimum lease payments | 0.6 | 15.6 | |
Total | 1,776 | 2,701.4 | |
Allocated as follows: | |||
Restricted cash | 0 | 0.7 | |
Accounts receivable | 67.4 | 250.7 | |
Prepaid expenses | 5.6 | 15.7 | |
Landfill development costs | 49.1 | 565.4 | |
Property and equipment | 374.3 | 540 | |
Operating right-of-use lease assets | 14.4 | 61.1 | |
Interest rate swap | 0 | 29.1 | |
Other assets | 0.3 | 40.7 | |
Inventory | 2.9 | 10.7 | |
Accounts payable | (20.6) | (112.4) | |
Deferred revenue | (10.6) | (28.2) | |
Environmental remediation liabilities | (5.7) | (57.5) | |
Closure and post-closure liabilities | (10.9) | (173.3) | |
Operating right-of-use lease liabilities | (14.4) | (57.1) | |
Deferred income tax liabilities | (25) | (109.3) | |
Other liabilities | (12.6) | (58.5) | |
Fair value of tangible assets acquired and liabilities assumed | 414.2 | 917.8 | |
Excess purchase price to be allocated | 1,361.8 | 1,783.6 | |
Excess purchase price allocated as follows: | |||
Other intangible assets | 203.9 | 132.9 | |
Goodwill | 1,157.9 | 1,650.7 | |
Total allocated | $ 1,361.8 | $ 1,783.6 |
Business Acquisitions, Invest_4
Business Acquisitions, Investments and Restructuring Charges (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
May 02, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | ||||
US Ecology, Inc. acquisition integration and deal costs | $ 33.5 | $ 77.3 | $ 0 | |
Loss from unconsolidated equity method investments | 94.3 | 165.6 | 188.5 | |
Restructuring charges | 33.2 | 27 | $ 16.6 | |
Restructuring expenditures | 39.4 | 19.8 | ||
Contract Termination | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Restructuring charges | 9.5 | |||
Redesign Of Software Systems | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Restructuring charges | 23.7 | |||
Investment Tax Credit Carryforward | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Income tax benefits | 87 | 139 | ||
Other Noncurrent Assets | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Capital contributions to noncontrolling equity interest | 222 | 205 | ||
Joint Venture with Landfill Gas to Energy Developer | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investments | 170 | 100 | ||
Capital contributions to noncontrolling equity interest | 68 | |||
Certain Limited Liability Companies | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Loss from unconsolidated equity method investments | 102 | 158 | ||
Ravago, Blue Polymers | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Equity method investments | 19 | $ 10 | ||
Capital contributions to noncontrolling equity interest | $ 9 | |||
US Ecology | ||||
Schedule of Equity Method Investments [Line Items] | ||||
Business combination, consideration transferred | $ 2,200 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 23,847.1 | $ 22,240.7 |
Less: accumulated depreciation, depletion and amortization | (12,496.2) | (11,496.7) |
Property and equipment, net | 11,350.9 | 10,744 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 878.1 | 779.7 |
Landfill development costs | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 9,911.2 | 9,574.2 |
Less: accumulated depreciation, depletion and amortization | (5,516.2) | (5,058.9) |
Vehicles and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 10,231.9 | 9,465.3 |
Less: accumulated depreciation, depletion and amortization | (6,147.7) | (5,679.9) |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,921.9 | 1,704.6 |
Less: accumulated depreciation, depletion and amortization | (832.3) | (757.9) |
Construction-in-progress – landfill | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 350.4 | 358.3 |
Construction-in-progress – other | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 553.6 | $ 358.6 |
Property and Equipment, Net (Na
Property and Equipment, Net (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation, amortization and depletion | $ 1,501.4 | $ 1,351.6 | $ 1,185.5 |
Property, Plant and Equipment | |||
Property, Plant and Equipment [Line Items] | |||
Depreciation, amortization and depletion | $ 1,368.4 | $ 1,245.6 | $ 1,111.7 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets, Net (Schedule of Goodwill) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Summary of the activity and balances in goodwill accounts, net, by operating segment [Roll forward] | ||
Goodwill, Beginning Balance | $ 14,451.5 | $ 12,826 |
Acquisitions | 1,157.9 | 1,650.7 |
Divestitures | (1.9) | (4) |
Adjustments to Acquisitions | 227 | (21.2) |
Goodwill, ending balance | 15,834.5 | 14,451.5 |
Group 1 | ||
Summary of the activity and balances in goodwill accounts, net, by operating segment [Roll forward] | ||
Goodwill, Beginning Balance | 6,637.9 | 6,549.7 |
Acquisitions | 675.4 | 95.2 |
Divestitures | 0 | 0 |
Adjustments to Acquisitions | (0.9) | (7) |
Goodwill, ending balance | 7,312.4 | 6,637.9 |
Group 2 | ||
Summary of the activity and balances in goodwill accounts, net, by operating segment [Roll forward] | ||
Goodwill, Beginning Balance | 6,238.3 | 5,994.2 |
Acquisitions | 208.2 | 239 |
Divestitures | (1.9) | (3.7) |
Adjustments to Acquisitions | 0.9 | 8.8 |
Goodwill, ending balance | 6,445.5 | 6,238.3 |
Group 3 | ||
Summary of the activity and balances in goodwill accounts, net, by operating segment [Roll forward] | ||
Goodwill, Beginning Balance | 1,575.3 | 282.1 |
Acquisitions | 274.3 | 1,316.5 |
Divestitures | 0 | (0.3) |
Adjustments to Acquisitions | 227 | (23) |
Goodwill, ending balance | $ 2,076.6 | $ 1,575.3 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets, Net (Narrative) (Details) | Dec. 31, 2023 |
Minimum | |
Finite-Lived Intangible Assets [Line Items] | |
Amortization period for other intangible assets | 1 year |
Maximum | |
Finite-Lived Intangible Assets [Line Items] | |
Amortization period for other intangible assets | 15 years |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets, Net (Finite-lived Intangible Assets) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Gross Intangible Assets | ||
Beginning Balance | $ 1,158.4 | $ 1,016.8 |
Acquisitions | 203.9 | 132.9 |
Adjustments and Other | (677) | 8.7 |
Ending Balance | 685.3 | 1,158.4 |
Accumulated Amortization | ||
Beginning Balance | (811.2) | (757.3) |
Additions Charged to Expense | (66.3) | (53.9) |
Adjustments and Other | 688.4 | 0 |
Ending Balance | (189.1) | (811.2) |
Other Intangible Assets, Net | 496.2 | 347.2 |
Customer relationships | ||
Gross Intangible Assets | ||
Beginning Balance | 1,013.5 | 898.4 |
Acquisitions | 197.3 | 109.2 |
Adjustments and Other | (579.1) | 5.9 |
Ending Balance | 631.7 | 1,013.5 |
Accumulated Amortization | ||
Beginning Balance | (709.1) | (666.8) |
Additions Charged to Expense | (53.7) | (42.3) |
Adjustments and Other | 597.1 | 0 |
Ending Balance | (165.7) | (709.1) |
Other Intangible Assets, Net | 466 | 304.4 |
Non-compete agreements | ||
Gross Intangible Assets | ||
Beginning Balance | 67.9 | 60.4 |
Acquisitions | 4.2 | 7.7 |
Adjustments and Other | (41.7) | (0.2) |
Ending Balance | 30.4 | 67.9 |
Accumulated Amortization | ||
Beginning Balance | (50.9) | (44.6) |
Additions Charged to Expense | (6.5) | (6.3) |
Adjustments and Other | 41.7 | 0 |
Ending Balance | (15.7) | (50.9) |
Other Intangible Assets, Net | 14.7 | 17 |
Other intangible assets | ||
Gross Intangible Assets | ||
Beginning Balance | 77 | 58 |
Acquisitions | 2.4 | 16 |
Adjustments and Other | (56.2) | 3 |
Ending Balance | 23.2 | 77 |
Accumulated Amortization | ||
Beginning Balance | (51.2) | (45.9) |
Additions Charged to Expense | (6.1) | (5.3) |
Adjustments and Other | 49.6 | 0 |
Ending Balance | (7.7) | (51.2) |
Other Intangible Assets, Net | $ 15.5 | $ 25.8 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets, Net (Future Amortization Expense) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | |
2024 | $ 73.5 |
2025 | 68.7 |
2026 | 64.9 |
2027 | 58.5 |
2028 | $ 55.2 |
Other Assets (Prepaid Expenses
Other Assets (Prepaid Expenses and Other Current Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Income taxes receivable | $ 126.3 | $ 214 |
Prepaid expenses | 123 | 114.3 |
Inventories | 97.3 | 96.6 |
Other non-trade receivables | 63.2 | 59.8 |
Reinsurance receivable | 35.4 | 31.9 |
Prepaid fees for cloud-based hosting arrangements, current | 17 | 14.4 |
Derivative and hedging assets | 4.2 | 0 |
Other current assets | 6.2 | 5.5 |
Total | $ 472.6 | $ 536.5 |
Other Assets (Other Assets) (De
Other Assets (Other Assets) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Other Assets | ||
Investments | $ 469.4 | $ 281.4 |
Operating right-of-use lease assets | 238.1 | 275.1 |
Deferred compensation plan | 112.7 | 100.6 |
Deferred contract costs and sales commissions | 82.5 | 80.2 |
Reinsurance receivable | 92.1 | 84.1 |
Derivative and hedging assets | 74.1 | 105.8 |
Prepaid fees and capitalized implementation costs for cloud-based hosting arrangements | 67.6 | 51.4 |
Amounts recoverable for capping, closure and post-closure obligations | 21.9 | 20.5 |
Deferred financing costs | 3.6 | 5.1 |
Other | 21.9 | 21.3 |
Total | $ 1,183.9 | $ 1,025.5 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Total | Total |
Other Liabilities (Other Accrue
Other Liabilities (Other Accrued and Other Long-Term Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Other Accrued Liabilities | |||
Accrued payroll and benefits | $ 350.5 | $ 342.6 | |
Insurance reserves, current portion | 216.6 | 187.5 | $ 193.5 |
Accrued fees and taxes | 182.9 | 168.5 | |
Accrued dividends | 168.3 | 156.4 | |
Operating right-of-use lease liabilities, current portion | 54.8 | 57.9 | |
Ceded insurance reserves, current portion | 35.4 | 32 | |
Accrued professional fees and legal settlement reserves | 17.9 | 8.6 | |
Derivative and hedging liabilities | 8.3 | 1.2 | |
Other | 136.8 | 103.6 | |
Total | 1,171.5 | 1,058.3 | |
Other Long-Term Liabilities | |||
Operating right-of-use lease liabilities | 194.9 | 238 | |
Deferred compensation plan liability | 114.7 | 98.6 | |
Ceded insurance reserves | 92.1 | 84.1 | |
Derivative and hedging liabilities | 71.3 | 99.7 | |
Contingent purchase price and acquisition holdbacks | 59.1 | 60.5 | |
Withdrawal liability - multiemployer pension funds | 19.6 | 20 | |
Other | 42.9 | 59.8 | |
Total | $ 594.6 | $ 660.7 |
Other Liabilities (Narrative) (
Other Liabilities (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Other Liabilities Disclosure [Abstract] | ||||
Liabilities for unpaid and incurred but not reported claims | $ 565.4 | $ 502.6 | $ 497.4 | $ 449.3 |
Other Liabilities (Insurance Re
Other Liabilities (Insurance Reserves) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Self Insurance Reserve | |||
Balance at beginning of year | $ 502.6 | $ 497.4 | $ 449.3 |
Additions charged to expense | 666.9 | 568.7 | 552.4 |
Payments | (636.5) | (593.8) | (531.8) |
Accretion expense | 0.1 | 0.2 | 0.3 |
Premium written for third party risk assumed | 43.4 | 35.3 | 36.5 |
Reclassified to ceded insurance reserves | (11.1) | (5.2) | (9.3) |
Balance at end of year | 565.4 | 502.6 | 497.4 |
Less: current portion | (216.6) | (187.5) | (193.5) |
Long-term portion | $ 348.8 | $ 315.1 | $ 303.9 |
Landfill and Environmental Co_3
Landfill and Environmental Costs (Narrative) (Details) $ in Millions, cubicYard in Billions | 12 Months Ended | ||||
Sep. 27, 2018 USD ($) | Dec. 31, 2023 USD ($) cubicYard landfill | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Environmental Exit Cost [Line Items] | |||||
Number of active solid waste landfills | landfill | 207 | ||||
Total available disposal capacity (billion in-place cubic feet) | cubicYard | 5.1 | ||||
Number of closed landfills | landfill | 126 | ||||
Net increase (decrease) in amortization expense | $ 5.2 | $ 5.8 | $ 6.9 | ||
Aggregate potential remediation liability, amount higher than amount recorded | 375 | ||||
Payments for management and monitoring of remediation area | 54.9 | 54.7 | 57.1 | ||
Remediation liability | 485.4 | $ 487.5 | $ 454.9 | $ 462.8 | |
Loss contingency expected to be paid in year one | 69.2 | ||||
Bridgeton Closed Landfill | |||||
Environmental Exit Cost [Line Items] | |||||
Payments for management and monitoring of remediation area | 13.6 | ||||
Remediation liability | 73.6 | ||||
Loss contingency expected to be paid in year one | 13.2 | ||||
Bridgeton Closed Landfill | Maximum | |||||
Environmental Exit Cost [Line Items] | |||||
Range of loss for remediation costs | $ 141 | ||||
West Lake Landfill Superfund Site | |||||
Environmental Exit Cost [Line Items] | |||||
Anticipated remediation costs | $ 229 | ||||
West Lake Landfill Superfund Site | Minimum | |||||
Environmental Exit Cost [Line Items] | |||||
Time period allotted for remediation | 4 years | ||||
West Lake Landfill Superfund Site | Maximum | |||||
Environmental Exit Cost [Line Items] | |||||
Time period allotted for remediation | 5 years |
Landfill and Environmental Co_4
Landfill and Environmental Costs (Accrued Landfill and Environmental Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Environmental Remediation Obligations [Abstract] | ||||
Landfill final capping, closure and post-closure liabilities | $ 1,937.2 | $ 1,786.4 | $ 1,507.3 | $ 1,346.4 |
Environmental remediation | 485.4 | 487.5 | $ 454.9 | $ 462.8 |
Total accrued landfill and environmental costs | 2,422.6 | 2,273.9 | ||
Less: current portion | (141.6) | (132.6) | ||
Long-term portion | $ 2,281 | $ 2,141.3 |
Landfill and Environmental Co_5
Landfill and Environmental Costs (Asset Retirement Obligation Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Activity in Asset Retirement Obligation Liabilities | |||
Asset retirement obligation liabilities, beginning of year | $ 1,786.4 | $ 1,507.3 | $ 1,346.4 |
Non-cash additions | 61.4 | 60.1 | 47.2 |
Acquisitions, net of divestitures and other adjustments | 12.3 | 173.5 | 32.1 |
Asset retirement obligation adjustments | 40.1 | 20 | 58.5 |
Payments | (60.8) | (64.6) | (59.6) |
Accretion expense | 97.9 | 89.6 | 82.7 |
Foreign currency translation | (0.1) | 0.5 | 0 |
Asset retirement obligation liabilities, end of year | 1,937.2 | 1,786.4 | 1,507.3 |
Less: Current portion | (72.4) | (75.2) | (68.4) |
Long-term portion | $ 1,864.8 | $ 1,711.2 | $ 1,438.9 |
Landfill and Environmental Co_6
Landfill and Environmental Costs (Expected Future Payments for Final Capping, Closure and Post-Closure) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Environmental Remediation Obligations [Abstract] | |
2024 | $ 72.4 |
2025 | 96.5 |
2026 | 91.9 |
2027 | 116.7 |
2028 | 120.9 |
Thereafter | 7,020 |
Total future payments for final capping, closure and post-closure | $ 7,518.4 |
Landfill and Environmental Co_7
Landfill and Environmental Costs (Environmental Remediation Liabilities) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Activity in environmental remediation liabilities | |||
Environmental remediation liabilities, beginning of year | $ 487.5 | $ 454.9 | $ 462.8 |
Net additions charged to expense | 2 | 2.9 | 0.5 |
Payments | (54.9) | (54.7) | (57.1) |
Accretion expense (non-cash interest expense) | 18.2 | 17.3 | 17.1 |
Acquisitions, net of divestitures and other adjustments | 32.6 | 67.1 | 31.6 |
Environmental remediation liabilities, end of year | 485.4 | 487.5 | 454.9 |
Less: current portion | (69.2) | (57.4) | (56.1) |
Long-term portion | $ 416.2 | $ 430.1 | $ 398.8 |
Environmental Loss Contingency, Statement of Financial Position [Extensible Enumeration] | Accrued Capping, Closure, Post-closure and Environmental Costs, Long-term portion | Accrued Capping, Closure, Post-closure and Environmental Costs, Long-term portion | Accrued Capping, Closure, Post-closure and Environmental Costs, Long-term portion |
Environmental Loss Contingency, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Capping, Closure, Post-closure and Environmental Costs | Accrued Capping, Closure, Post-closure and Environmental Costs | Accrued Capping, Closure, Post-closure and Environmental Costs |
Environmental Loss Contingency, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term portion | Long-term portion | Long-term portion |
Landfill and Environmental Co_8
Landfill and Environmental Costs (Expected Undiscounted Future Payments for Remediation Costs) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Environmental Remediation Obligations [Abstract] | |
2024 | $ 69.2 |
2025 | 65.3 |
2026 | 54.7 |
2027 | 42.9 |
2028 | 29.6 |
Thereafter | 281 |
Total expected undiscounted future payments for remediation costs | $ 542.7 |
Debt (Carrying Value of Debt) (
Debt (Carrying Value of Debt) (Details) - USD ($) | Dec. 31, 2023 | Oct. 31, 2023 | Dec. 31, 2022 | Aug. 31, 2022 | May 31, 2022 | Jan. 31, 2022 | Aug. 31, 2021 | Mar. 06, 2020 |
Debt Instrument [Line Items] | ||||||||
Finance lease, liability | $ 251,300,000 | $ 247,500,000 | ||||||
Long-term debt, gross and lease obligation | 12,949,100,000 | 11,902,200,000 | ||||||
Adjustments | (129,700,000) | (116,700,000) | ||||||
Total long term debt maturities | 12,819,400,000 | |||||||
Total Debt | 12,819,400,000 | 11,785,500,000 | ||||||
Less: current portion | (932,300,000) | (456,000,000) | ||||||
Long-term portion | 11,887,100,000 | 11,329,500,000 | ||||||
Credit facilities: Uncommitted facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility maximum borrowing capacity | $ 200,000,000 | |||||||
Principal | 0 | 0 | ||||||
Adjustments | 0 | 0 | ||||||
Total long term debt maturities | 0 | 0 | ||||||
Line Of Credit Due August 2026 | ||||||||
Debt Instrument [Line Items] | ||||||||
Principal | 297,100,000 | 250,000,000 | ||||||
Adjustments | 0 | 0 | ||||||
Total long term debt maturities | 297,100,000 | 250,000,000 | ||||||
Line Of Credit Due August 2026 | Line of Credit | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility maximum borrowing capacity | $ 3,500,000,000 | $ 3,000,000,000 | ||||||
Term Loan Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 0.832% | |||||||
Principal | 500,000,000 | 1,000,000,000 | ||||||
Adjustments | 0 | 0 | ||||||
Total long term debt maturities | 500,000,000 | 1,000,000,000 | ||||||
Commercial Paper Facility | ||||||||
Debt Instrument [Line Items] | ||||||||
Credit facility maximum borrowing capacity | $ 1,500,000,000 | $ 1,000,000,000 | $ 500,000,000 | |||||
Principal | 496,000,000 | 1,000,000,000 | ||||||
Adjustments | (700,000) | (1,800,000) | ||||||
Total long term debt maturities | $ 495,300,000 | 998,200,000 | ||||||
Senior notes: May 2023 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 4.75% | |||||||
Principal | $ 0 | 300,000,000 | ||||||
Adjustments | 0 | (2,500,000) | ||||||
Total long term debt maturities | $ 0 | 297,500,000 | ||||||
Senior notes: August 2024 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 2.50% | |||||||
Principal | $ 900,000,000 | 900,000,000 | ||||||
Adjustments | (1,200,000) | (3,000,000) | ||||||
Total long term debt maturities | $ 898,800,000 | 897,000,000 | ||||||
Senior notes: March 2025 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 3.20% | |||||||
Principal | $ 500,000,000 | 500,000,000 | ||||||
Adjustments | (900,000) | (1,600,000) | ||||||
Total long term debt maturities | $ 499,100,000 | 498,400,000 | ||||||
Senior notes: November 2025 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 0.875% | |||||||
Principal | $ 350,000,000 | 350,000,000 | ||||||
Adjustments | (1,200,000) | (1,900,000) | ||||||
Total long term debt maturities | $ 348,800,000 | 348,100,000 | ||||||
Senior notes: July 2026 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 2.90% | |||||||
Principal | $ 500,000,000 | 500,000,000 | ||||||
Adjustments | (1,600,000) | (2,200,000) | ||||||
Total long term debt maturities | $ 498,400,000 | 497,800,000 | ||||||
Senior notes: November 2027 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 3.375% | |||||||
Principal | $ 650,000,000 | 650,000,000 | ||||||
Adjustments | (2,500,000) | (3,100,000) | ||||||
Total long term debt maturities | $ 647,500,000 | 646,900,000 | ||||||
Senior notes: May 2028 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 3.95% | |||||||
Principal | $ 800,000,000 | 800,000,000 | ||||||
Adjustments | (8,900,000) | (10,700,000) | ||||||
Total long term debt maturities | $ 791,100,000 | 789,300,000 | ||||||
Senior notes: April 2029 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 4.875% | |||||||
Principal | $ 750,000,000 | 0 | ||||||
Adjustments | (6,900,000) | 0 | ||||||
Total long term debt maturities | $ 743,100,000 | 0 | ||||||
Senior notes: March 2030 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 2.30% | |||||||
Principal | $ 600,000,000 | 600,000,000 | ||||||
Adjustments | (4,500,000) | (5,200,000) | ||||||
Total long term debt maturities | $ 595,500,000 | 594,800,000 | ||||||
Senior notes: February 2031 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 1.45% | |||||||
Principal | $ 650,000,000 | 650,000,000 | ||||||
Adjustments | (6,200,000) | (7,100,000) | ||||||
Total long term debt maturities | $ 643,800,000 | 642,900,000 | ||||||
Senior notes: February 2032 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 1.75% | |||||||
Principal | $ 750,000,000 | 750,000,000 | ||||||
Adjustments | (5,400,000) | (6,000,000) | ||||||
Total long term debt maturities | $ 744,600,000 | 744,000,000 | ||||||
Senior notes: March 2033 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 2.375% | |||||||
Principal | $ 700,000,000 | 700,000,000 | ||||||
Adjustments | (6,500,000) | (7,100,000) | ||||||
Total long term debt maturities | $ 693,500,000 | 692,900,000 | ||||||
Senior notes: December 2033 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 5% | |||||||
Principal | $ 650,000,000 | 0 | ||||||
Adjustments | (8,900,000) | 0 | ||||||
Total long term debt maturities | $ 641,100,000 | 0 | ||||||
Senior notes: April 2034 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 5% | |||||||
Principal | $ 800,000,000 | 0 | ||||||
Adjustments | (10,700,000) | 0 | ||||||
Total long term debt maturities | $ 789,300,000 | 0 | ||||||
Senior notes: March 2035 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 6.086% | |||||||
Principal | $ 181,900,000 | 181,900,000 | ||||||
Adjustments | (11,500,000) | (12,200,000) | ||||||
Total long term debt maturities | $ 170,400,000 | 169,700,000 | ||||||
Senior notes: March 2040 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 6.20% | |||||||
Principal | $ 399,900,000 | 399,900,000 | ||||||
Adjustments | (3,300,000) | (3,400,000) | ||||||
Total long term debt maturities | $ 396,600,000 | 396,500,000 | ||||||
Senior notes: May 2041 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 5.70% | |||||||
Principal | $ 385,700,000 | 385,700,000 | ||||||
Adjustments | (4,700,000) | (4,800,000) | ||||||
Total long term debt maturities | $ 381,000,000 | 380,900,000 | ||||||
Senior notes: March 2050 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 3.05% | |||||||
Principal | $ 400,000,000 | 400,000,000 | ||||||
Adjustments | (6,800,000) | (7,000,000) | ||||||
Total long term debt maturities | $ 393,200,000 | 393,000,000 | ||||||
Debentures: September 2035 | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 7.40% | |||||||
Principal | $ 148,100,000 | 148,100,000 | ||||||
Adjustments | (28,800,000) | (30,000,000) | ||||||
Total long term debt maturities | 119,300,000 | 118,100,000 | ||||||
Tax-exempt: 2024 - 2053 | ||||||||
Debt Instrument [Line Items] | ||||||||
Principal | 1,289,100,000 | 1,189,100,000 | ||||||
Adjustments | (8,500,000) | (7,100,000) | ||||||
Total long term debt maturities | $ 1,280,600,000 | $ 1,182,000,000 | ||||||
Tax-exempt: 2024 - 2053 | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 3.75% | |||||||
Tax-exempt: 2024 - 2053 | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 4.90% | |||||||
Finance leases: 2024 - 2063 | Minimum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 0.806% | |||||||
Finance leases: 2024 - 2063 | Maximum | ||||||||
Debt Instrument [Line Items] | ||||||||
Interest Rate | 9.75% |
Debt (Future Maturities of Debt
Debt (Future Maturities of Debt) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Future maturities of debt | |
2024 | $ 932.3 |
2025 | 1,364.5 |
2026 | 1,385.9 |
2027 | 660.6 |
2028 | 841.4 |
Thereafter | 7,634.7 |
Total long term debt maturities | $ 12,819.4 |
Debt (Credit Facilities) (Detai
Debt (Credit Facilities) (Details) $ in Millions | 1 Months Ended | 12 Months Ended | |||||||||
Aug. 31, 2021 USD ($) extension | Dec. 31, 2023 USD ($) | Dec. 31, 2023 CAD ($) | Oct. 31, 2023 USD ($) | Feb. 28, 2023 USD ($) | Dec. 31, 2022 USD ($) | Aug. 31, 2022 USD ($) | May 31, 2022 USD ($) | Apr. 29, 2022 USD ($) | Jan. 31, 2022 USD ($) | Mar. 06, 2020 | |
Line of Credit Facility [Line Items] | |||||||||||
Write-off of deferred issuance costs | $ 200,000 | ||||||||||
Long-term debt | 12,819,400,000 | ||||||||||
Letters of credit outstanding under Credit Facilities | 336,500,000 | $ 347,600,000 | |||||||||
Balance availability under Credit Facilities | 2,371,200,000 | 1,402,400,000 | |||||||||
Credit facilities: Uncommitted facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 200,000,000 | ||||||||||
Long-term debt | 0 | 0 | |||||||||
Principal | 0 | 0 | |||||||||
Line Of Credit Due August 2026 | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | 297,100,000 | 250,000,000 | |||||||||
Principal | 297,100,000 | 250,000,000 | |||||||||
Term Loan Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | 500,000,000 | 1,000,000,000 | |||||||||
Interest rate | 0.832% | ||||||||||
Principal | 500,000,000 | 1,000,000,000 | |||||||||
Commercial Paper Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 1,500,000,000 | $ 1,000,000,000 | $ 500,000,000 | ||||||||
Long-term debt | 495,300,000 | 998,200,000 | |||||||||
Principal | $ 496,000,000 | 1,000,000,000 | |||||||||
Weighted average interest rate | 5.508% | 5.508% | |||||||||
Commercial Paper Facility | Weighted Average | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Weighted average maturity term | 18 days | ||||||||||
Senior notes: April 2029 | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | $ 743,100,000 | 0 | |||||||||
Interest rate | 4.875% | 4.875% | |||||||||
Principal | $ 750,000,000 | 0 | |||||||||
Senior notes: April 2029 March Issuance | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Principal | 400,000,000 | ||||||||||
Senior notes: April 2029 December Issuance | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Principal | 350,000,000 | ||||||||||
Senior notes: April 2034 | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | $ 789,300,000 | 0 | |||||||||
Interest rate | 5% | 5% | |||||||||
Principal | $ 800,000,000 | 0 | |||||||||
Senior notes: December 2033 | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | $ 641,100,000 | 0 | |||||||||
Interest rate | 5% | 5% | |||||||||
Principal | $ 650,000,000 | 0 | |||||||||
Revolving Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Long-term debt | $ 297,100,000 | $ 250,000,000 | |||||||||
Revolving Credit Facility | Canadian Sublimit | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 1,000,000,000 | ||||||||||
Long-term debt | $ 201.5 | ||||||||||
Interest rate | 6.364% | 6.364% | |||||||||
Line of Credit | Line Of Credit Due August 2026 | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 3,000,000,000 | $ 3,500,000,000 | |||||||||
Line of Credit | Revolving Credit Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Number of available extensions | extension | 2 | ||||||||||
Extension period | 1 year | ||||||||||
Accordion feature, increase limit (up to) | $ 1,000,000,000 | ||||||||||
Basis spread on variable rate | 0.91% | ||||||||||
Term Loan Facility | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Principal amount | $ 1,000,000,000 | ||||||||||
Term Loan Facility | US Ecology | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Weighted average interest rate | 6.256% | 6.256% |
Debt (Fair Value Hedges) (Detai
Debt (Fair Value Hedges) (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2020 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Freestanding Derviatives | ||||
Debt Instrument [Line Items] | ||||
Derivative liability | $ 1 | |||
Freestanding Derviatives | Interest Expense | ||||
Debt Instrument [Line Items] | ||||
Gain (loss) on change in fair value of free-standing derivative instruments | $ 1 | (5) | $ (4.4) | |
2022 Interest Rate Swap | ||||
Debt Instrument [Line Items] | ||||
Interest rate derivative liability at fair value | 1.2 | |||
Gain (loss) on interest rate swaps | 1.2 | (6) | (5.2) | |
Net swap settlements | ||||
Debt Instrument [Line Items] | ||||
Gain (loss) on interest rate swaps | (2.2) | 2.9 | 7.9 | |
Hedged Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Gain (loss) on interest rate swaps | $ (2.3) | $ 2.7 | $ 5.2 | |
Senior notes: May 2023 | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 4.75% | |||
Debt retired | $ 250 |
Debt (Cash Flow Hedges) (Detail
Debt (Cash Flow Hedges) (Details) - USD ($) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Mar. 06, 2020 | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Realized gain (loss) on interest rate swap locks | $ 9.3 | $ (1.1) | $ (4.6) | ||
Unrealized gain | 14 | 8.4 | 0 | ||
Term Loan Facility | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Interest rate | 0.832% | ||||
Interest rate swap locks | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
AOCI, cumulative gain (loss), after tax | (15.9) | (21.4) | |||
Effective portion of interest rate locks amortized as an adjustment to Interest expense expected over the next twelve months | 2.7 | ||||
Interest rate swap locks | Cash Flow Hedging | Interest Expense | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Realized gain (loss) on interest rate swap locks | (3.8) | (4.4) | $ (4.6) | ||
2022 Interest Rate Swap | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
AOCI, cumulative gain (loss), after tax | 4.3 | 5.1 | |||
Unrealized gain | 12.2 | 8.4 | |||
2022 Interest Rate Swap | Term Loan Facility | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative assets | 24.3 | 36 | |||
2022 Interest Rate Swap | Term Loan Facility | Forecast | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Effective portion of interest rate locks amortized as an adjustment to Interest expense expected over the next twelve months | $ 5 | ||||
2022 Interest Rate Swap | Term Loan Facility | US Ecology | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Derivative, notional amount | 350 | 390 | $ 500 | ||
Derivative assets | $ 29.1 | ||||
2022 Interest Rate Swap | Cash Flow Hedging | Interest Expense | |||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | |||||
Realized gain (loss) on interest rate swap locks | $ 13.1 | $ 3.3 |
Debt (Derivative Contracts) (De
Debt (Derivative Contracts) (Details) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Feb. 29, 2020 | Aug. 31, 2019 | |
Extended Interest Rate Swaps | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Terminated derivative, notional amount | $ 550 | $ 375 | ||
Derivative assets | $ 54 | $ 69.8 | ||
Net gain (loss) on change in fair value of derivative instruments | (15.4) | 109.4 | ||
Offsetting Interest Rate Swap | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Derivative liability | 78.2 | 99.7 | ||
Net gain (loss) on change in fair value of derivative instruments | $ 13.5 | $ (107.3) | ||
Senior notes: March 2030 | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Interest rate | 2.30% | |||
Senior notes: August 2024 | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Interest rate | 2.50% |
Debt (Tax-Exempt Financings) (D
Debt (Tax-Exempt Financings) (Details) - USD ($) $ in Millions | 1 Months Ended | ||
Sep. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Instrument [Line Items] | |||
Long-term debt | $ 12,819.4 | ||
Tax-exempt: 2024 - 2053 | |||
Debt Instrument [Line Items] | |||
Long-term debt | 1,280.6 | $ 1,182 | |
Principal | $ 1,289.1 | $ 1,189.1 | |
Solid Waste Disposal Revenue Bonds | |||
Debt Instrument [Line Items] | |||
Principal | $ 100 | ||
Weighted average maturity term | 10 years |
Debt (Finance Leases) (Details)
Debt (Finance Leases) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Finance lease, liability | $ 251.3 | $ 247.5 |
Debt (Interest Paid) (Details)
Debt (Interest Paid) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |||
Interest paid | $ 422.9 | $ 311.5 | $ 249.4 |
Leases (Leased Assets and Liabi
Leases (Leased Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Operating right-of-use lease assets | $ 238.1 | $ 275.1 |
Finance lease assets | 286.7 | 288.3 |
Total leased assets | 524.8 | 563.4 |
Current | ||
Operating | 54.8 | 57.9 |
Finance | 12.9 | 14.3 |
Long-term | ||
Operating | 194.9 | 238 |
Finance | 238.4 | 233.2 |
Total lease liabilities | $ 501 | $ 543.4 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Assets, Noncurrent | Other Assets, Noncurrent |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Other Accrued Liabilities, Current | Other Accrued Liabilities, Current |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible List] | Long-Term Debt and Lease Obligation, Current | Long-Term Debt and Lease Obligation, Current |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Long-term portion | Long-term portion |
Leases (Lease Cost) (Details)
Leases (Lease Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Operating lease cost | ||
Fixed lease cost | $ 60.2 | $ 55.5 |
Short-term lease cost | 89.5 | 70.4 |
Variable lease cost | 26.8 | 26.6 |
Finance lease cost | ||
Amortization of leased assets | 15.6 | 15.2 |
Interest on lease liabilities | 8.8 | 12 |
Variable lease cost | 21.8 | 17.4 |
Total lease cost | $ 222.7 | $ 197.1 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Leases [Abstract] | ||
Non-cash lease expense | $ 47.8 | $ 46.2 |
Leases (Maturity Schedule) (Det
Leases (Maturity Schedule) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Operating Leases | ||
2024 | $ 62.4 | |
2025 | 52.7 | |
2026 | 42.9 | |
2027 | 31.8 | |
2028 | 27.9 | |
Thereafter | 72.7 | |
Total lease payments | 290.4 | |
Less: interest | (40.7) | |
Operating lease, liability | 249.7 | |
Finance Leases | ||
2024 | 22.4 | |
2025 | 18.4 | |
2026 | 17.1 | |
2027 | 16.4 | |
2028 | 17.5 | |
Thereafter | 341.8 | |
Total lease payments | 433.6 | |
Less: interest | (182.3) | |
Finance lease, liability | 251.3 | $ 247.5 |
Total | ||
2024 | 84.8 | |
2025 | 71.1 | |
2026 | 60 | |
2027 | 48.2 | |
2028 | 45.4 | |
Thereafter | 414.5 | |
Total lease payments | 724 | |
Less: interest | (223) | |
Total lease liabilities | $ 501 | $ 543.4 |
Leases (Aggregate Principal Pay
Leases (Aggregate Principal Payments) (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Weighted-average remaining lease term (years) | ||
Operating leases | 6 years 10 months 24 days | 7 years 2 months 12 days |
Finance leases | 27 years 1 month 6 days | 29 years 7 months 6 days |
Weighted-average discount rate | ||
Operating leases | 2.90% | 3.10% |
Finance leases | 4.40% | 4.40% |
Leases (Cash Flow) (Details)
Leases (Cash Flow) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Cash paid for amounts included in the measurement of lease liabilities | ||
Operating cash flows from operating leases | $ 176.5 | $ 151.6 |
Operating cash flows from finance leases | 30.7 | 29.4 |
Financing cash flows from finance leases | 12.3 | 33.6 |
Leased assets obtained in exchange for new finance lease liabilities | 17 | 31.7 |
Leased assets obtained in exchange for new operating lease liabilities | $ 33.4 | $ 73.9 |
Income Taxes (Provision for Inc
Income Taxes (Provision for Income Taxes) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ 281.2 | $ 72.4 | $ 234.9 |
State | 108.5 | 81.5 | 67.3 |
Deferred: | |||
Federal | 72.3 | 164.2 | (34.1) |
State | 29.1 | 16.9 | 18.6 |
Uncertain tax positions and interest and other | (31) | 8.9 | (3.9) |
Provision for income taxes | $ 460.1 | $ 343.9 | $ 282.8 |
Income Taxes (Effective Tax Rat
Income Taxes (Effective Tax Rate) (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliations of the statutory federal income tax rate to our effective tax | |||
Federal statutory rate | 21% | 21% | 21% |
State income taxes, net of federal benefit | 4.40% | 4.60% | 4.50% |
Non-deductible expenses | 1.20% | 1.10% | 1% |
Uncertain tax position taxes and interest | (0.80%) | 0.20% | 0.10% |
Investment tax credits | (4.00%) | (7.60%) | (8.00%) |
Other, net | (0.80%) | (0.50%) | (0.60%) |
Effective income tax rate | 21% | 18.80% | 18% |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Contingency [Line Items] | |||
Tax credit related to investment | $ 139 | $ 126 | |
Tax settlement, reduction in tax provision | $ 20.8 | ||
Income taxes paid, net of refunds received | 343 | 184.7 | 300.4 |
Net operating loss carryforwards | 64.5 | ||
Settlements | 65.7 | 0 | 0 |
Unrecognized tax benefits if recognized that would impact effective tax rate | 32.5 | 96.5 | 93.6 |
Interest on income taxes accrued | (1.3) | 1.1 | 0.8 |
Accrued liability for penalties | 0.3 | 0.3 | 0.3 |
Accrued liability for interest related to uncertain tax positions and penalties | 13.5 | $ 15.2 | $ 13.7 |
State and Local Jurisdiction | SEC Schedule, 12-09, Valuation Allowance, Operating Loss Carryforward | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards | 43.4 | ||
Equity Method Investment, Nonconsolidated Investee or Group of Investees | |||
Income Tax Contingency [Line Items] | |||
Tax credit related to investment | $ 86.9 |
Income Taxes (Deferred Income T
Income Taxes (Deferred Income Tax Asset and Liability) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax liabilities relating to: | ||
Differences between book and tax basis of property and equipment | $ (1,229.4) | $ (1,252.7) |
Difference between book and tax basis of intangible assets | (582.8) | (521.7) |
Operating right-of-use lease assets | (59.3) | (74.3) |
Basis difference due to redemption of partnership interests | (81.8) | (82) |
Total liabilities | (1,953.3) | (1,930.7) |
Deferred tax assets relating to: | ||
Environmental reserves | 235.9 | 253 |
Accruals not currently deductible | 104.6 | 94.6 |
Net operating loss carryforwards | 75.1 | 88.5 |
Difference between book and tax basis of other assets | 14.1 | 14.4 |
Operating right-of-use lease liabilities | 59.9 | 80.5 |
Other | 17.5 | 15.2 |
Total assets | 507.1 | 546.2 |
Valuation allowance | (48.6) | (43.1) |
Net deferred tax asset | 458.5 | 503.1 |
Net deferred tax liabilities | $ (1,494.8) | $ (1,427.6) |
Income Taxes (Deferred Tax Valu
Income Taxes (Deferred Tax Valuation Allowance) (Details) - Valuation Allowance of Deferred Tax Assets - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Movement in Deferred Tax Valuation Allowances [Roll Forward] | |||
Balance at beginning of year | $ 43.1 | $ 43.7 | $ 43.8 |
Additions charged to provision for income taxes | 3.3 | 1.9 | 0.4 |
Deferred tax assets realized or written-off | 0.3 | (6.4) | 0.1 |
Other, net | 1.9 | 3.9 | (0.6) |
Balance at end of year | $ 48.6 | $ 43.1 | $ 43.7 |
Income Taxes (Unrecognized Tax
Income Taxes (Unrecognized Tax Benefits) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Balance at beginning of year | $ 111 | $ 101.5 | $ 101.1 |
Additions for tax positions of current year | 1.2 | 7.1 | 0 |
Additions for tax positions of prior years | 2.6 | 2.4 | 0.5 |
Reductions for tax positions of prior years | (7.5) | 0 | (0.1) |
Reductions for tax positions resulting from lapse of statute of limitations | (0.1) | 0 | 0 |
Settlements | (65.7) | 0 | 0 |
Balance at end of year | $ 41.5 | $ 111 | $ 101.5 |
Employee Benefit Plans (Stock-B
Employee Benefit Plans (Stock-Based Compensation Narrative) (Details) shares in Millions | Dec. 31, 2023 shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Reserve for stock issuance (in shares) | 2.4 |
2021 Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Reserve for stock issuance (in shares) | 11.7 |
Employee Benefit Plans (Restric
Employee Benefit Plans (Restricted Stock Unit Activity) (Details) - Restricted Stock Units (RSUs) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of RSUs (in thousands) | |||
Beginning balance (in shares) | 913,700 | 1,090,800 | 1,212,100 |
Granted (in shares) | 249,700 | 258,800 | 358,000 |
Vested and issued (in shares) | (207,800) | (388,400) | (434,500) |
Forfeited (in shares) | (40,400) | (47,500) | (44,800) |
Beginning balance (in shares) | 915,200 | 913,700 | 1,090,800 |
Number of Restricted Stock Units, Vested and unissued (in shares) | 424,900 | ||
Weighted-Average Grant Date Fair Value per Share | |||
Unissued, beginning balance (in dollars per share) | $ 85.43 | $ 77.19 | $ 69.47 |
Granted (in dollars per share) | 133.03 | 122.54 | 91.21 |
Vested and Issued (in dollars per share) | 95.24 | 74.34 | 74.69 |
Forfeited (in dollars per share) | 117.54 | 110.92 | 87.43 |
Unissued, ending balance (in dollars per share) | 93.35 | $ 85.43 | $ 77.19 |
Weighted Average Grant Date Fair Value per Share, Vested and unissued (in dollars per share) | $ 64.96 | ||
Weighted Average Remaining Contractual Term (years), Unissued | 8 months 12 days | ||
Aggregate Intrinsic Value, Unissued | $ 150.9 |
Employee Benefit Plans (Restr_2
Employee Benefit Plans (Restricted Stock Units) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 249,700 | 258,800 | 358,000 |
Compensation expense | $ 24.1 | $ 22.8 | $ 32.5 |
Total unrecognized compensation expense related to outstanding restricted stock units and restricted shares | $ 37.1 | ||
Weighted average period for compensation expense recognition | 2 years 7 months 6 days | ||
Restricted Stock Units (RSUs) | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of increments vested | 3 years | ||
Restricted Stock Units (RSUs) | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of increments vested | 4 years | ||
Restricted Stock Unit Earned As Dividend Equivalents | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 12,751 | 13,969 | 19,049 |
Director | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 20,324 | 18,689 | 26,328 |
Executives and Employees | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 216,610 | 226,108 | 312,602 |
Chief Executive Officer | Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 6 |
Employee Benefit Plans (Perform
Employee Benefit Plans (Performance Shares Activity) (Details) - Performance Share Units (PSUs) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of PSUs (in thousands) | |||
Beginning balance (in shares) | 756,200 | 857,300 | 853,600 |
Granted (in shares) | 199,500 | 156,600 | 313,100 |
Vested and issued (in shares) | (227,100) | (233,400) | (287,000) |
Forfeited (in shares) | (40,900) | (24,300) | (22,400) |
Beginning balance (in shares) | 687,700 | 756,200 | 857,300 |
Weighted-Average Grant Date Fair Value per Share | |||
Beginning balance (in dollars per share) | $ 95.19 | $ 84.79 | $ 76.14 |
Granted (in dollars per share) | 138.03 | 124.29 | 91.01 |
Vested and Issued (in dollars per share) | 100.06 | 76.24 | 65.35 |
Forfeited (in dollars per share) | 123.30 | 109.62 | 91.20 |
Ending balance (in dollars per share) | $ 101.48 | $ 95.19 | $ 84.79 |
Employee Benefit Plans (Perfo_2
Employee Benefit Plans (Performance Shares and Compensation Expense) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 199,500 | 156,600 | 313,100 |
Percentage of award paid in stock | 50% | ||
Percentage of award paid in cash | 50% | ||
Performance period | 3 years | ||
Compensation expense | $ 29.2 | $ 22.1 | $ 47.1 |
Total unrecognized compensation expense related to outstanding restricted stock units and restricted shares | $ 21.9 | ||
Weighted average period for compensation expense recognition | 1 year | ||
Performance Share Units (PSUs) | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded after performance period, as a percentage of targeted amount | 0% | ||
Performance Share Units (PSUs) | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded after performance period, as a percentage of targeted amount | 150% | ||
Performance Shares Earned as Dividend Equivalents | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 10,511 | 11,304 | 13,586 |
Executive Officer | Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 80,452 | 79,043 | 181,322 |
Employees Other Than Named Executive Officers | Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares awarded (in shares) | 108,560 | 66,296 | 118,168 |
Percentage of award paid in stock | 100% | ||
Chief Executive Officer | Performance Share Units (PSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 16 |
Employee Benefit Plans (Defined
Employee Benefit Plans (Defined Benefit Pension Plan) (Details) | 12 Months Ended | ||
Dec. 31, 2023 USD ($) pension_plan | Dec. 31, 2022 USD ($) | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | |||
Number of qualified defined pension plans | pension_plan | 1 | ||
Benefits payable calculation, highest earnings service period | 5 years | ||
Benefits payable calculation, service period | 10 years | ||
Age limit for early retirement of participants under cash balance plan | 55 years | ||
Completion period of credited service for participants under cash balance plan | 10 years | ||
Years of consecutive service to be eligible to retire with full benefits | 35 years | ||
Minimum employee retirement age to receive full benefits | 62 years | ||
Pension contributions | $ 0 | $ 0 | |
Amount included in accumulated other comprehensive income not yet recognized as components of net periodic benefit cost | $ 11,400,000 | $ 11,800,000 | |
Term of obligation based on expected retirement dates | 6 years | ||
Expected return on plan assets | 5.40% | 5.40% | 4.10% |
Employee Benefit Plans (Accumul
Employee Benefit Plans (Accumulated Benefit Obligation) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | |||
Accumulated benefit obligation | $ 166.1 | $ 172.3 | |
Change in projected benefit obligation: | |||
Projected benefit obligation at beginning of year | 172.3 | 215.1 | |
Interest cost | 8.5 | 5.7 | $ 4.7 |
Actuarial loss (gain) | 2.5 | (32.6) | |
Benefits paid | (17.2) | (15.9) | |
Projected benefit obligation at end of year | 166.1 | 172.3 | 215.1 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 178.2 | 221.8 | |
Actual return on plan assets | 12.2 | (26.3) | |
Estimated expenses | (2) | (1.4) | |
Benefits paid | (17.2) | (15.9) | |
Fair value of plan assets at end of year | 171.2 | 178.2 | $ 221.8 |
Over funded status | 5.1 | 5.9 | |
Amounts recognized in the statement of financial position consist of: | |||
Noncurrent assets | 5.1 | 5.9 | |
Net amount recognized | $ 5.1 | $ 5.9 | |
Weighted average assumptions used to determine benefit obligations: | |||
Discount rate | 4.94% | 5.13% |
Employee Benefit Plans (Net Per
Employee Benefit Plans (Net Periodic Benefit Cost) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Components of net periodic benefit income: | |||
Interest cost | $ 8.5 | $ 5.7 | $ 4.7 |
Expected return on plan assets | (7.5) | (7) | (6) |
Net periodic benefit loss (income) | $ 1 | $ (1.3) | $ (1.3) |
Weighted average assumptions used to determine net periodic benefit income: | |||
Discount rate | 4.94% | 5.13% | 2.77% |
Expected return on plan assets | 5.40% | 5.40% | 4.10% |
Defined Benefit Plan, Net Periodic Benefit (Cost), Credit Interest Cost, Statement Of Income Or Comprehensive Income, Extensible List, Not Disclosed Flag | Interest cost | Interest cost | Interest cost |
Defined Benefit Plan, Net Periodic Benefit (Cost), Credit Expected Return (Loss), Statement Of Income Or Comprehensive Income, Extensible List, Not Disclosed Flag | Expected return on plan assets | Expected return on plan assets | Expected return on plan assets |
Employee Benefit Plans (Target
Employee Benefit Plans (Target Asset Allocation) (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Defined Benefit Plan Disclosure [Line Items] | ||
Target Asset Allocation | 100% | |
Actual Asset Allocation | 100% | 100% |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Target Asset Allocation | 100% | |
Actual Asset Allocation | 100% | 100% |
Employee Benefit Plans (Fair Va
Employee Benefit Plans (Fair Value Measurements) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 171.2 | $ 178.2 | $ 221.8 |
Quoted Prices in Active Markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 49.5 | 23.6 | |
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 121.7 | 154.6 | |
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | 0 | |
Money market accounts and U.S. government securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 49.5 | ||
Money market accounts and U.S. government securities | Quoted Prices in Active Markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 49.5 | ||
Money market accounts and U.S. government securities | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Money market accounts and U.S. government securities | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Money market accounts | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 23.6 | ||
Money market accounts | Quoted Prices in Active Markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 23.6 | ||
Money market accounts | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Money market accounts | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Fixed income securities | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 121.7 | ||
Fixed income securities | Quoted Prices in Active Markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Fixed income securities | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 121.7 | ||
Fixed income securities | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 0 | ||
Mutual funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 154.6 | ||
Mutual funds | Quoted Prices in Active Markets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 0 | ||
Mutual funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | 154.6 | ||
Mutual funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Fair value of plan assets | $ 0 |
Employee Benefit Plans (Estimat
Employee Benefit Plans (Estimated Future Benefit Payments) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Estimated future benefit payments | |
2024 | $ 15.7 |
2025 | 15.4 |
2026 | 15.6 |
2027 | 15.5 |
2028 | 14.6 |
2029 through 2033 | $ 61.7 |
Employee Benefit Plans (Collect
Employee Benefit Plans (Collective Bargaining Agreements and Multiemployer Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2023 | |
Multiemployer Plans [Line Items] | ||
Percentage of workforce covered by collective bargaining agreement | 23% | |
Individually insignificant, contributions in excess of | $ 3.5 | |
Percentage of funded status of pension protection act critical zone maximum, less than | 65% | |
Percentage of funded status of pension protection act endangered zone maximum, less than | 80% | |
Percentage of funded status of pension protection act Safe zone minimum, at least | 80% | |
Percent of total contributions that we are listed as providing more than for Local 731 Private Scavengers and Garage Attendants Pension Trust Fund | 5% | |
Collective Bargaining Arrangements That Will Expire | ||
Multiemployer Plans [Line Items] | ||
Percentage of workforce covered by collective bargaining agreement | 3% |
Employee Benefit Plans (Pension
Employee Benefit Plans (Pension Plans) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | $ 99.1 | $ 86.1 | $ 76.4 |
Individually significant plans | |||
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | 83.1 | 72.6 | 63 |
Western Conference of Teamsters Pension Plan | |||
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | 69.5 | 61.2 | 52.2 |
Local No. 731 I.B. of T., Pension Fund | |||
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | 8.5 | 8.1 | 8.7 |
New England Teamsters & Trucking Industry Pension | |||
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | 5.1 | 3.3 | 2.1 |
All other plans | |||
Multiemployer Plans [Line Items] | |||
Republic Contributions to Plan | $ 16 | $ 13.5 | $ 13.4 |
Employee Benefit Plans (Defin_2
Employee Benefit Plans (Defined Contribution Plan) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | |||
Percentage of employer contribution as percentage of first three percentage of eligible compensation | 100% | ||
Percentage of eligible compensation contributed by employer | 3% | ||
Percentage of employer contribution as percentage of next two percentage of eligible compensation | 50% | ||
Percentage of additional eligible compensation contributed by each employee | 2% | ||
Total expense recorded for matching 401(k) contributions | $ 82.3 | $ 73.7 | $ 62.4 |
Employee Benefit Plans (Deferre
Employee Benefit Plans (Deferred Compensation Plan) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Deferred compensation plan, employee base salary deferral, maximum percentage (up to) | 80% | |
Deferred compensation plan, employee bonus deferral, maximum percentage (up to) | 100% | |
Deferred compensation plan, maximum contractual term | 15 years | |
Deferred compensation plan | $ 112.7 | $ 100.6 |
Deferred compensation plan liability | $ 114.7 | $ 98.6 |
Employer Matching, Option 1 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Deferred compensation plan, employer matching contribution based on participant's compensation over established 401K limits | 2% | |
Employer Matching, Option 2 | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Deferred compensation plan, employer matching contribution based on percent of amount deferred | 50% |
Employee Benefit Plans (Employe
Employee Benefit Plans (Employee Stock Purchase Plan) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement [Abstract] | |||
Percentage of quoted market price on the last day of each calendar quarter at which employee stock purchase plan allows participants to purchase the Company's common stock | 95% | ||
Stock issuances under stock purchase plan (in shares) | 103,706 | 99,680 | 104,217 |
Reserve for stock issuance (in shares) | 2,400,000 | ||
Total employee contributions | $ 3.2 |
Share Repurchases and Dividen_3
Share Repurchases and Dividends (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 01, 2024 | Oct. 31, 2020 | |
Equity, Class of Treasury Stock [Line Items] | ||||||
Reserve for stock issuance (in shares) | 2,400,000 | 2,400,000 | ||||
Share repurchase authorized amount | $ 2,000 | |||||
Number of shares repurchased (in shares) | 1,800,000 | 1,600,000 | 2,200,000 | |||
Amount paid | $ 261.8 | $ 203.5 | $ 252.2 | |||
Weighted average cost per share (in dollars per share) | $ 145.72 | $ 124.02 | $ 116.09 | |||
Stock repurchased and pending settlement (in shares) | 0 | 0 | 0 | 0 | ||
Remaining authorized purchase capacity | $ 3,000 | $ 3,000 | ||||
Quarterly dividend per share (in dollars per share) | $ 0.535 | $ 2.06 | $ 1.91 | $ 1.77 | ||
Cash dividends declared | $ 650 | $ 603.4 | $ 563 | |||
Quarterly dividend payable | $ 168.3 | 168.3 | 156.4 | |||
Retained Earnings | ||||||
Equity, Class of Treasury Stock [Line Items] | ||||||
Cash dividends declared | $ 650 | $ 603.4 | $ 563 | |||
Subsequent Event | ||||||
Equity, Class of Treasury Stock [Line Items] | ||||||
Share repurchase authorized amount | $ 3,000 | |||||
2021 Plan | ||||||
Equity, Class of Treasury Stock [Line Items] | ||||||
Reserve for stock issuance (in shares) | 11,700,000 | 11,700,000 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Basic earnings per share: | |||
Net income attributable to Republic Services, Inc. | $ 1,730,985 | $ 1,487,586 | $ 1,290,405 |
Weighted average common shares outstanding (in shares) | 316,182 | 316,530 | 318,811 |
Basic earnings per share (in dollars per share) | $ 5.47 | $ 4.70 | $ 4.05 |
Diluted earnings per share: | |||
Net income attributable to Republic Services, Inc. | $ 1,730,985 | $ 1,487,586 | $ 1,290,405 |
Weighted average common shares outstanding (in shares) | 316,182 | 316,530 | 318,811 |
Effect of dilutive securities: | |||
Weighted average common and common equivalent shares outstanding (in shares) | 316,665 | 317,080 | 319,425 |
Diluted earnings per share (in dollars per share) | $ 5.47 | $ 4.69 | $ 4.04 |
Antidilutive securities not included in the diluted earnings per share calculations (in shares) (less than) | 100 | 100 | 100 |
Restricted Stock Units (RSUs) | |||
Effect of dilutive securities: | |||
Unvested awards (in shares) | 104 | 152 | 266 |
Performance Share Units (PSUs) | |||
Effect of dilutive securities: | |||
Unvested awards (in shares) | 379 | 398 | 348 |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Number of operating segments | segment | 3 | ||
Revenue | $ 14,964.5 | $ 13,511.3 | $ 11,295 |
Canada | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Revenue | 169.9 | 90.2 | $ 0 |
Long-lived assets | $ 136.8 | $ 47.7 |
Segment Reporting (Summarized F
Segment Reporting (Summarized Financial Information) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Gross Revenue | $ 17,278.7 | $ 15,645.2 | $ 13,321.1 |
Intercompany Revenue | (2,314.2) | (2,133.9) | (2,026.1) |
Revenue Allocations | 0 | 0 | 0 |
Net Revenue | 14,964.5 | 13,511.3 | 11,295 |
Adjusted EBITDA | 4,447.1 | 3,929.3 | 3,383.5 |
Capital Expenditures | 1,631.1 | 1,454 | 1,316.3 |
Total Assets | 31,410.1 | 29,052.9 | 24,955 |
Recycling & Waste Subtotal | |||
Segment Reporting Information [Line Items] | |||
Gross Revenue | 15,332.4 | 14,135.2 | 12,849.1 |
Intercompany Revenue | (2,179.2) | (2,034.6) | (1,976.1) |
Revenue Allocations | 186.4 | 202.5 | 199.1 |
Net Revenue | 13,339.6 | 12,303.1 | 11,072.1 |
Adjusted EBITDA | 4,098.7 | 3,718.2 | 3,338.9 |
Capital Expenditures | 1,247.5 | 1,153.6 | 1,143.7 |
Total Assets | 24,624.6 | 22,927.9 | 22,126.1 |
Group 1 | |||
Segment Reporting Information [Line Items] | |||
Gross Revenue | 7,769.2 | 7,106.6 | 6,511.1 |
Intercompany Revenue | (1,170.8) | (1,089.6) | (1,056.8) |
Revenue Allocations | 95.8 | 103.5 | 102.6 |
Net Revenue | 6,694.2 | 6,120.5 | 5,556.9 |
Adjusted EBITDA | 2,134.7 | 1,967.4 | 1,812.8 |
Capital Expenditures | 707.4 | 620.1 | 601.9 |
Total Assets | 13,665.1 | 12,418.1 | 12,199.2 |
Group 2 | |||
Segment Reporting Information [Line Items] | |||
Gross Revenue | 7,563.2 | 7,028.6 | 6,338 |
Intercompany Revenue | (1,008.4) | (945) | (919.3) |
Revenue Allocations | 90.6 | 99 | 96.5 |
Net Revenue | 6,645.4 | 6,182.6 | 5,515.2 |
Adjusted EBITDA | 1,964 | 1,750.8 | 1,526.1 |
Capital Expenditures | 540.1 | 533.5 | 541.8 |
Total Assets | 10,959.5 | 10,509.8 | 9,926.9 |
Group 3 | |||
Segment Reporting Information [Line Items] | |||
Gross Revenue | 1,703.6 | 1,262.5 | 242.4 |
Intercompany Revenue | (58.8) | (46.6) | (19.5) |
Revenue Allocations | (19.9) | (7.7) | 0 |
Net Revenue | 1,624.9 | 1,208.2 | 222.9 |
Adjusted EBITDA | 348.4 | 211.1 | 44.6 |
Capital Expenditures | 146.2 | 141.7 | 50.8 |
Total Assets | 4,481.3 | 4,086.3 | 1,211.6 |
Corporate entities and other | |||
Segment Reporting Information [Line Items] | |||
Gross Revenue | 242.7 | 247.5 | 229.6 |
Intercompany Revenue | (76.2) | (52.7) | (30.5) |
Revenue Allocations | (166.5) | (194.8) | (199.1) |
Net Revenue | 0 | 0 | 0 |
Adjusted EBITDA | 0 | 0 | 0 |
Capital Expenditures | 237.4 | 158.7 | 121.8 |
Total Assets | $ 2,304.2 | $ 2,038.7 | $ 1,617.3 |
Segment Reporting (Reconciliati
Segment Reporting (Reconciliation of Adjusted EBITDA to Income Before Income Tax Provision) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting [Abstract] | |||
Adjusted EBITDA | $ 4,447.1 | $ 3,929.3 | $ 3,383.5 |
Other expense (income), net | (7.5) | 2.3 | 0.5 |
Interest income | (6.5) | (3.3) | (2.5) |
Interest expense | 508.2 | 395.6 | 314.6 |
Depreciation, amortization and depletion | 1,501.4 | 1,351.6 | 1,185.5 |
Accretion | 97.9 | 89.6 | 82.7 |
Loss from unconsolidated equity method investments | 94.3 | 165.6 | 188.5 |
Adjustment to withdrawal liability for multiemployer pension funds | 4.5 | (1.6) | 0 |
Restructuring charges | 33.2 | 27 | 16.6 |
(Gain) loss on business divestitures and impairments, net | (3.6) | (6.3) | 0.5 |
US Ecology, Inc. acquisition integration and deal costs | 33.5 | 77.3 | 0 |
Accelerated vesting of compensation expense for CEO transition | 0 | 0 | 22 |
Loss on extinguishment of debt and other related costs | 0.2 | 0 | 0 |
Income before income taxes | $ 2,191.5 | $ 1,831.5 | $ 1,575.1 |
Revenue (Revenue by Service Lin
Revenue (Revenue by Service Line) (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 14,964.5 | $ 13,511.3 | $ 11,295 |
Revenue as a percentage of total revenue | 1 | 1 | 1 |
Transfer | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 765.4 | $ 724.7 | $ 675.6 |
Revenue as a percentage of total revenue | 0.051 | 0.054 | 0.060 |
Landfill | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 1,679.4 | $ 1,549.8 | $ 1,423.8 |
Revenue as a percentage of total revenue | 0.112 | 0.115 | 0.126 |
Environmental Solutions Service Line | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 1,624.9 | $ 1,208.2 | $ 222.9 |
Revenue as a percentage of total revenue | 0.109 | 0.089 | 0.020 |
Recycling processing and commodity sales | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 312.3 | $ 359.1 | $ 420.5 |
Revenue as a percentage of total revenue | 0.021 | 0.027 | 0.037 |
Other non-core | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 329.6 | $ 326.2 | $ 274 |
Revenue as a percentage of total revenue | 0.022 | 0.024 | 0.024 |
Other | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 641.9 | $ 685.3 | $ 694.5 |
Revenue as a percentage of total revenue | 0.043 | 0.051 | 0.061 |
Operating Segments | Residential | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 2,822.7 | $ 2,642.6 | $ 2,452.8 |
Revenue as a percentage of total revenue | 0.189 | 0.195 | 0.217 |
Operating Segments | Small-container | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 4,438.4 | $ 3,945.7 | $ 3,417.7 |
Revenue as a percentage of total revenue | 0.297 | 0.292 | 0.303 |
Operating Segments | Large-container | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 2,922.4 | $ 2,701.1 | $ 2,355.6 |
Revenue as a percentage of total revenue | 0.195 | 0.200 | 0.208 |
Operating Segments | Other | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 69.4 | $ 53.9 | $ 52.1 |
Revenue as a percentage of total revenue | 0.004 | 0.004 | 0.005 |
Operating Segments | Collection Service Line | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 10,252.9 | $ 9,343.3 | $ 8,278.2 |
Revenue as a percentage of total revenue | 0.685 | 0.691 | 0.733 |
Operating Segments | Transfer | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ 1,699.1 | $ 1,574.5 | $ 1,490 |
Operating Segments | Landfill | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 2,885.4 | 2,681.7 | 2,516.6 |
Operating Segments | Environmental Solutions Service Line | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | 1,701.4 | 1,262.1 | 242.4 |
Intersegment Eliminations | Transfer | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | (933.7) | (849.8) | (814.4) |
Intersegment Eliminations | Landfill | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | (1,206) | (1,131.9) | (1,092.8) |
Intersegment Eliminations | Environmental Solutions Service Line | |||
Disaggregation of Revenue [Line Items] | |||
Revenue | $ (76.5) | $ (53.9) | $ (19.5) |
Revenue (Narrative) (Details)
Revenue (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Capitalized Contract Cost [Line Items] | |||
Revenue from Contract with Customer, Duration [Extensible Enumeration] | Long-Term Contract with Customer [Member] | ||
Deferred contract costs and sales commissions | $ 82.5 | $ 80.2 | |
Capitalized sales commissions to selling, general and administrative expenses | |||
Capitalized Contract Cost [Line Items] | |||
Capitalized contract cost, amortization | 14.5 | 13.4 | $ 12.5 |
Other deferred contract costs as a reduction of revenue | |||
Capitalized Contract Cost [Line Items] | |||
Capitalized contract cost, amortization | $ 5.1 | $ 5.7 | $ 6.4 |
Changes in Accumulated Other _3
Changes in Accumulated Other Comprehensive Loss by Component (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | $ 9,686.8 | $ 8,979.7 | $ 8,488.8 |
Other comprehensive income (loss) before reclassifications | 9.7 | 1.8 | (5.8) |
Amounts reclassified from accumulated other comprehensive loss | (9.7) | 0.7 | 3.6 |
Net current-period other comprehensive income (loss) | 0 | 2.5 | (2.2) |
Balance at end of period | 10,543.5 | 9,686.8 | 8,979.7 |
Total | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | (12.1) | (14.6) | (12.4) |
Balance at end of period | (12.1) | (12.1) | (14.6) |
Cash Flow Hedges | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | (16.3) | (25.8) | (30.4) |
Other comprehensive income (loss) before reclassifications | 14 | 8.4 | 0 |
Amounts reclassified from accumulated other comprehensive loss | (9.3) | 1.1 | 4.6 |
Net current-period other comprehensive income (loss) | 4.7 | 9.5 | 4.6 |
Balance at end of period | (11.6) | (16.3) | (25.8) |
Defined Benefit Pension Plan | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | 9.2 | 11.2 | 18 |
Other comprehensive income (loss) before reclassifications | 0.1 | (1.6) | (5.8) |
Amounts reclassified from accumulated other comprehensive loss | (0.4) | (0.4) | (1) |
Net current-period other comprehensive income (loss) | (0.3) | (2) | (6.8) |
Balance at end of period | 8.9 | 9.2 | 11.2 |
Foreign Currency Translation | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | (5) | 0 | 0 |
Other comprehensive income (loss) before reclassifications | (4.4) | (5) | 0 |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | 0 |
Net current-period other comprehensive income (loss) | (4.4) | (5) | 0 |
Balance at end of period | $ (9.4) | $ (5) | $ 0 |
Changes in Accumulated Other _4
Changes in Accumulated Other Comprehensive Loss by Component (Reclassifications) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Gain (loss) on cash flow hedges: | |||
Interest expense | $ (508.2) | $ (395.6) | $ (314.6) |
Total before tax | 2,191.5 | 1,831.5 | 1,575.1 |
Tax (provision) benefit | (460.1) | (343.9) | (282.8) |
Pension gains: | |||
Other income | 7.5 | (2.3) | (0.5) |
Tax provision | (460.1) | (343.9) | (282.8) |
Net income | 1,731.4 | 1,487.6 | 1,292.3 |
Amount Reclassified from Accumulated Other Comprehensive Loss | |||
Pension gains: | |||
Net income | 9.7 | (0.7) | (3.6) |
Amount Reclassified from Accumulated Other Comprehensive Loss | Cash Flow Hedges | |||
Gain (loss) on cash flow hedges: | |||
Total before tax | 12.6 | (1.5) | (6.2) |
Tax (provision) benefit | (3.3) | 0.4 | 1.6 |
Pension gains: | |||
Tax provision | (3.3) | 0.4 | 1.6 |
Net income | 9.3 | (1.1) | (4.6) |
Amount Reclassified from Accumulated Other Comprehensive Loss | Cash Flow Hedges | Terminated interest rate locks | |||
Gain (loss) on cash flow hedges: | |||
Interest expense | (5.1) | (5.9) | (6.2) |
Amount Reclassified from Accumulated Other Comprehensive Loss | Cash Flow Hedges | 2022 Interest Rate Swap | |||
Gain (loss) on cash flow hedges: | |||
Interest expense | 17.7 | 4.4 | 0 |
Amount Reclassified from Accumulated Other Comprehensive Loss | Defined Benefit Pension Plan | |||
Gain (loss) on cash flow hedges: | |||
Tax (provision) benefit | (0.2) | (0.1) | (0.3) |
Pension gains: | |||
Other income | 0.6 | 0.5 | 1.3 |
Tax provision | (0.2) | (0.1) | (0.3) |
Net income | $ 0.4 | $ 0.4 | $ 1 |
Financial Instruments (Outstand
Financial Instruments (Outstanding Costless Collar Hedges) (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative [Line Items] | |||
Interest expense | $ (508.2) | $ (395.6) | $ (314.6) |
Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax | |||
Realized gain (loss) on interest rate swap locks | 9.3 | (1.1) | (4.6) |
Net swap settlements | |||
Interest rate swaps: | |||
(Loss) gain on interest rate swaps | 2.2 | (2.9) | (7.9) |
2022 Interest Rate Swap | |||
Interest rate swaps: | |||
(Loss) gain on interest rate swaps | (1.2) | 6 | 5.2 |
Interest Expense | Net swap settlements | Fair Value Hedging | |||
Interest rate swaps: | |||
(Loss) gain on interest rate swaps | (2.2) | 2.9 | 7.9 |
Interest Expense | Net periodic loss | Fair Value Hedging | |||
Interest rate swaps: | |||
(Loss) gain on interest rate swaps | (1.1) | (3.3) | (0.1) |
Interest Expense | Interest rate swap locks | Cash Flow Hedging | |||
Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax | |||
Realized gain (loss) on interest rate swap locks | (3.8) | (4.4) | (4.6) |
Interest Expense | 2022 Interest Rate Swap | Cash Flow Hedging | |||
Amount of (loss) gain reclassified from accumulated other comprehensive loss into earnings, net of tax | |||
Realized gain (loss) on interest rate swap locks | 13.1 | 3.3 | 0 |
Interest Expense | Freestanding Derviatives | |||
Gain (loss) on free-standing derivative instruments: | |||
Gain (loss) on change in fair value of free-standing derivative instruments | 1 | (5) | (4.4) |
Interest Expense | Interest Rate Contract | |||
Gain (loss) on free-standing derivative instruments: | |||
Net (loss) gain on change in fair value of free-standing derivative instruments | $ (1.9) | $ 2.1 | $ 0.3 |
Financial Instruments (Fair Val
Financial Instruments (Fair Value of Assets and Liabilities) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Assets: | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Current, Other Assets, Noncurrent | Other Assets, Current, Other Assets, Noncurrent |
Liabilities: | ||
Contingent consideration - other accrued liabilities and other long-term liabilities | $ 59.1 | $ 60.5 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Accrued Liabilities, Current, Other Liabilities, Noncurrent | Other Accrued Liabilities, Current, Other Liabilities, Noncurrent |
Fair Value, Measurements, Recurring | ||
Assets: | ||
Derivative and hedging assets - other assets | $ 78.3 | $ 105.8 |
Total assets | 197.7 | 201 |
Liabilities: | ||
Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities | 79.6 | 102 |
Contingent consideration - other accrued liabilities and other long-term liabilities | 63.6 | 65.1 |
Total liabilities | 143.2 | 167.1 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets (Level 1) | ||
Assets: | ||
Derivative and hedging assets - other assets | 0 | 0 |
Total assets | 43.1 | 38.3 |
Liabilities: | ||
Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities | 0 | 0 |
Contingent consideration - other accrued liabilities and other long-term liabilities | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Derivative and hedging assets - other assets | 78.3 | 105.8 |
Total assets | 154.6 | 162.7 |
Liabilities: | ||
Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities | 79.6 | 102 |
Contingent consideration - other accrued liabilities and other long-term liabilities | 0 | 0 |
Total liabilities | 79.6 | 102 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Derivative and hedging assets - other assets | 0 | |
Total assets | 0 | 0 |
Liabilities: | ||
Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities | 0 | 0 |
Contingent consideration - other accrued liabilities and other long-term liabilities | 63.6 | 65.1 |
Total liabilities | 63.6 | 65.1 |
Fair Value, Measurements, Recurring | Money market accounts | ||
Assets: | ||
Money market mutual funds | 43.1 | 38.3 |
Fair Value, Measurements, Recurring | Money market accounts | Quoted Prices in Active Markets (Level 1) | ||
Assets: | ||
Money market mutual funds | 43.1 | 38.3 |
Fair Value, Measurements, Recurring | Money market accounts | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Money market mutual funds | 0 | 0 |
Fair Value, Measurements, Recurring | Money market accounts | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Money market mutual funds | 0 | 0 |
Fair Value, Measurements, Recurring | Bonds | ||
Assets: | ||
Bonds - restricted cash and marketable securities and other assets | 76.3 | 56.9 |
Fair Value, Measurements, Recurring | Bonds | Quoted Prices in Active Markets (Level 1) | ||
Assets: | ||
Bonds - restricted cash and marketable securities and other assets | 0 | 0 |
Fair Value, Measurements, Recurring | Bonds | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Bonds - restricted cash and marketable securities and other assets | 76.3 | 56.9 |
Fair Value, Measurements, Recurring | Bonds | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Bonds - restricted cash and marketable securities and other assets | 0 | 0 |
Carrying Amount | ||
Assets: | ||
Derivative and hedging assets - other assets | 78.3 | 105.8 |
Total assets | 197.7 | 201 |
Liabilities: | ||
Derivative and hedging liabilities - other accrued liabilities and other long-term liabilities | 79.6 | 102 |
Contingent consideration - other accrued liabilities and other long-term liabilities | 63.6 | 65.1 |
Total liabilities | 143.2 | 167.1 |
Carrying Amount | Money market accounts | ||
Assets: | ||
Money market mutual funds | 43.1 | 38.3 |
Carrying Amount | Bonds | ||
Assets: | ||
Bonds - restricted cash and marketable securities and other assets | $ 76.3 | $ 56.9 |
Financial Instruments (Fair V_2
Financial Instruments (Fair Value Measurements) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, carrying value | $ 12,819,400,000 | $ 11,785,500,000 |
Long-term debt | 12,819,400,000 | |
Contingent purchase price and acquisition holdbacks | 59,100,000 | 60,500,000 |
Waste Management Contract, Sonoma County | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent purchase price and acquisition holdbacks | 58,800,000 | |
Potential undiscounted future contingent liability payments, minimum | 81,000,000 | |
Potential undiscounted future contingent liability payments, maximum | 114,000,000 | |
Change in amount of contingent consideration, liability | 0 | |
Estimate of Fair Value Measurement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt | $ 12,500,000,000 | $ 11,100,000,000 |
Commitments and Contingencies_2
Commitments and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | ||
Losses accrued related to legal proceedings | $ 18 | |
Loss contingency additional potential liability | 11 | |
Letters of credit utilizing availability our credit facilities | $ 336.5 | $ 347.6 |
Percentage of ownership interest in company | 19.90% | |
Outstanding amount for land fill operations | $ 1,737.6 |
Commitments and Contingencies_3
Commitments and Contingencies (Unconditional Purchase Commitments) (Details) $ in Millions | Dec. 31, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2024 | $ 205.2 |
2025 | 159.4 |
2026 | 109.7 |
2027 | 76.6 |
2028 | 49.7 |
Thereafter | 373.7 |
Total | $ 974.3 |
Commitments and Contingencies_4
Commitments and Contingencies (Schedule of Cash, Cash Equivalents and Restricted Cash) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Commitments and Contingencies Disclosure [Abstract] | ||||
Cash and cash equivalents | $ 140 | $ 143.4 | $ 29 | |
Restricted cash and marketable securities | 163.6 | 127.6 | 139 | |
Less: restricted marketable securities | (76.1) | (56.7) | (62.4) | |
Cash, cash equivalents, restricted cash and restricted cash equivalents | $ 227.5 | $ 214.3 | $ 105.6 | $ 114.2 |
Commitments and Contingencies_5
Commitments and Contingencies (Restricted Cash and Marketable Securities) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Commitments and Contingencies Disclosure [Abstract] | |||
Capping, closure and post-closure obligations | $ 43.2 | $ 39.1 | |
Insurance | 120.4 | 88.5 | |
Total restricted cash and marketable securities | $ 163.6 | $ 127.6 | $ 139 |
Commitments and Contingencies_6
Commitments and Contingencies (Financial Instruments and Collateral) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Letters of credit | ||
Debt Instrument [Line Items] | ||
Securities collateral | $ 466.9 | $ 475 |
Surety bonds | ||
Debt Instrument [Line Items] | ||
Securities collateral | $ 4,677.1 | $ 4,322.3 |