Patrick - The truth in your story is sad. Here in Rochester NY some middleman or jobber has created a cabal which every shop and recycler I checked, seems to have silently joined. Back in the early 90's when I first got into the refurbishing/recycling game, you could get used hard drives at reasonable cost and RAM & power supplies to a lesser extent. Today you might easily catch an online deal at equal or better price, and also get warranty. Today, unless you check specifically, you might pay the new item price and get a used item.
With today's security concerns, many donations come without hard drives, which drives up cost of the rebuild beyond where many who need the equipment can't afford it. I'm not convinced data removal, beyond recovery, cannot be accomplished using higher bit incription and the better current wiping software. - Jim