Fluidized bed combustors help clean up sulfur and nitrogen oxide emissions. I'm not aware that they do anything for mercury, lead, or other heavy metals, but municipal waste is probably no worse off than coal in that regards.
I didn't know about the Portland-area plant, even though I lived there for a decade - Very interesting. I was expecting them to burn quite a bit of natural gas to aid the incineration, but the EIA data lists almost no natural gas consumption:
http://www.eia.gov/electricity/data....A&columnchart=ELEC.PLANT.GEN.50630-ALL-ALL.A
That data also indicates they get an average of 7 million net BTU/ton of "biogenic" waste (food, paper, yard waste, etc, ~2/3 of the waste) and 12 million BTU/ton for "non-biogenic" waste (mostly plastics, ~1/3 of the waste). That's significantly less than wood at 17 million BTU/ton, but more than I was expecting, despite the fact that the county seems to have decent recycling participation, too (reportedly about half their total waste gets recycled), which would remove a lot of the drier potential fuel.
It doesn't produce a lot of electricity - probably less 2% of what the county needs, so burning waste won't close many coal plants. I'm sure it's a lot more expensive to operate than a coal or gas plant, too.
However, the elimination of the waste has a pretty high value that might be enough to offset their operating costs. Using $30/ton for haul-away and landfilling as an alternative, the avoided cost of disposal works out to about $0.06/kWh, and the avoided cost of fuel compared to natural gas is around $0.03/kWh. My rough estimate here suggests it could cost them four times as much to operate as a coal plant while still selling their electricity for the same price.
They also say they use magnets recover another 3,000 tons of scrap iron from the ash per year, which should have a recycling value of ~$1/4 million and knock another fraction of a penny off their effective cost of electricity. A fraction of a penny doesn't sound like much, but when you follow the energy industry, you learn quickly that very small numbers can add up to a lot of money.