Newark is one step closer to parting with Waste Management.
City council voted Thursday to allow city staff to move forward with partnering with Allied Waste for garbage and recycling services for Newark residents.
City staff’s recommendation to contract with Allied Waste comes after a months-long review of services and fees from four companies who applied to provide the city with waste collection services, according to city documents.
The four companies who submitted applications to contract with the City of Newark were: Alameda County Industries, Allied Waste Services, GreenWaste Recovery and Waste Management.
According to Thursday’s agenda, staff suggested the city begin negotiating a contract with Allied Waste because the organization’s “proposal best addresses the requirements” for services and is aligned with priorities community members addressed in a survey about waste and recycling services that was conducted in August and September.
The City of Newark is seeking to establish a 10-year contract with a new waste and recycling collection company, which would begin on June 1, 2013 and last until May 31, 2023.
City documents outline that the overall cost of services from Allied Waste is estimated at $14.5 million. The other companies anticipated overall costs between $16 million and $18 million. The overall cost of Waste Management, which is the company that currently provides collection services to Newark, was projected at $17.4 million.
Allied Waste has 35 years of local experience and currently provides waste services to Fremont and Union City, as well as the City of Piedmont and more than a dozen cities in Contra Costa and Santa Clara counties.
If negotiations with Allied Waste stall, city staff plan to seek a contract with GreenWaste Recovery, whose overall cost is projected to be $16 million.
The search for a new provider came after the city’s contract with Waste Management of Alameda County expired.
City council decided to extend the franchise agreement it has with Waste Management for one year in February. Waste Management’s new one-year contract includes a rate increase of approximately 24 percent that became effective on June 1, according to previous city documents.
The fee hike means an increase of a little more than $5 for typical 35-gallon residential service and an increase of about $54 for an average commercial 3-yard bin.
A final agreement is scheduled to be presented and voted on in December.
Also at the city council meeting:
- Retired Newark Police Cmdr. Tom Milner was commended by Mayor Al Nagy. Milner served the Newark Police Department for 10 years. Also recognized during presentations were Newark Days committee members and the winners of the Silliman Activity and Family Aquatic Center’s Recycling Poster Design Contest.
For more information about city council meetings, visit http://www.newark.org.
What do you think of Newark's plan to seek services from Allied Waste? Do you think the service fees from Waste Management are too high or are they reasonable? Share your thoughts in our comments section below.