Businesses seek open market for trash services

Instead of the mandatory services provided by Allied Waste, more than 30 Jefferson City businesses are seeking an open market for their commercial trash services. The city's solid waste contract, which began in 2009 and expires in October, will be re-bid in the next few months.
Instead of the mandatory services provided by Allied Waste, more than 30 Jefferson City businesses are seeking an open market for their commercial trash services. The city's solid waste contract, which began in 2009 and expires in October, will be re-bid in the next few months.

More than 30 Jefferson City businesses are seeking an open market for their commercial trash services instead of the mandatory service currently provided by Allied Waste.

At the Public Works and Planning Committee meeting Thursday, committee members heard comments about the city's solid waste contract, which will be re-bid in the next few months. Marjorie Beenders, with Beenders Walker Group, presented a list of 38 business owners, known as the Jefferson City Commercial Trash Alliance, who support an open market for commercial, not residential, trash hauling, adding businesses want to be able to decide and negotiate their own trash contracts.

"They would like to be able to negotiate the service," Beenders said.

In November 2009, the city entered into a six-year contract with Allied Waste for exclusive service to city residents. Though several companies had expressed an interest in bidding on the service, Allied was the only bid received by the city. An ordinance passed earlier that year made the service mandatory, and not subscribing to it is a violation of city code.

Beenders said her firm sent surveys out to hundreds of local businesses on the issue. Of the 97 who responded, she said 88 percent were advocates of an open market.

She also presented a comparison of collection rates with 10 other Missouri cities for both residential and commercial, including whether the city operated under an exclusive contract or an open market. Nearly every city listed was marked as having some type of open market for commercial trash services.

"Almost every community in this state has an open market for commercial services," Beenders said.

Third Ward Councilman Bob Scrivner, who also acts as committee chair, said many residents have made the same justifications as the businesses for an open market.

"I think everyone can make those same arguments," Scrivner said.

Rick Graham, manager of Allied Waste Services, said the comparison Beenders handed out does not look at what each contract provides, noting the current contract with Jefferson City includes the annual bulky pickup, free landfill disposal for city departments and free pickup of trash containers on city property. If those items are removed from the contract, he said, rates would absolutely decrease.

"This contract is unique," Graham said. "We didn't push (rates) high. ... All we did was bid on a contract. We're not the bad guys here."

The current contract with Allied Waste ends Oct. 31 and city staff has been working for the past few months to put together a new scope of services for a request for proposals.

The committee took no action Thursday, but went through several decision points staff had laid out for consideration in a new contract. The full council will hold a work session at 5:30 p.m. Feb. 9 to further discuss those points, as well as direct staff on the request for proposals. Public comments also will be heard at the Feb. 9 work session at City Hall.

By March, the council will need to approve the scope of services, and staff will begin the request for bids in April. The Public Works and Planning Committee will review the bids received around May or June, and public hearings on the proposals will be held at City Council meetings in July. By the end of September, the council is expected to select the solid waste provider.

Click here for documents on Jefferson City's trash service.

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