A significant controversy is developing between air quality and water quality issues as they relate to waste-to-energy and landfill disposal options for solid waste management. This controversy is most visible in areas in the United States with high rainfall and high groundwater levels such as the Pacific Northwest, Florida and the upper Midwest around the Great Lakes. The controversy involves regulations governing both air emissions and water quality. At the center of the conflict is the question of the relative strictness of air and water quality standards. Economics and siting are the most controversial issues. This article presents a case history illustrating regulatory agency actions and the economic consequences of waste-to-energy and landfill options in Marion County, Oregon.