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City moves to contract anew for garbage pickup
[07/08/08]
By Lauchlin Fields
A six-year contract with Waste Management Inc., the Houston-based waste service company, is coming to an end and Vicksburg officials are requesting new proposals for curbside garbage and rubbish collection along city streets.
The city has three contracts with Waste Management, all of which began Nov. 1, 2002. The first includes garbage pickup twice a week for the city's residential and small commercial business customers, who were provided with 96-gallon city-supplied containers. Smaller containers are also offered for the elderly or disabled, and a second container is available for an additional $5 a month. The first contract includes garbage collection for downtown businesses, which is picked up four times a week at a rate of $43.53 a month.
The city's second contract is for removal of rubbish, or tree limbs and piles of debris, which may be placed in the 96-gallon containers.
A third contract is for Waste Management to have a transfer station, which the city pays for based on the amount of waste brought in by the ton, said purchasing director Tim Smith. Local waste is trucked to approved landfills elsewhere.
The existing contracts have cost-escalation features, as future contracts will also likely have.
In 2002, garbage collection rates went up by $1.55, from $11.05 to $12.60, when the new contract went into effect, reflecting the cost of the mandatory city-supplied containers. Due to a surge in energy costs, municipal garbage collection fees have continued to rise for the 9,600 customers. The most recent increase was in January when customers began paying $17.89 monthly, which is up from $16.80 in 2006. The flat fee is collected through municipal water, gas and sewer bills.
City Attorney Nancy Thomas said the contract with Waste Management ends in October and state law requires all municipalities to advertise for proposals before contracting for garbage and trash collection services. Variables other than cost are examined when the city chooses a service.
The city pays Waste Management about $1.3 million each year for residential, small commercial and downtown, which includes businesses in the 1100 to 1500 blocks of Washington Street, curbside garbage and rubbish pick-up. In addition to that, the city pays about $400,000 a year for the transfer stations, which fluctuates based on the tonnage, Smith said.
Whom city officials choose to provide waste services will be based on the returned proposals and whether the company can meet the scope of work the city needs.
"We want to know, 'Are you big enough to handle it?'" Smith said. "That's why we do an RFP. We want to know what the person is. It's as much a health concern as it is a price. We have to deal with the bigger fish. We don't want to take a chance."
Even though Monday's motion was the first official step in securing the service for next year and beyond, Smith said companies across the state are already inquiring about the service.
"We already have companies out there waiting for this to be advertised," he said.
The city, however, will allow plenty of time to make sure it's the right price, as well as the right service.
"That's why we're trying to (start) now - so we'll have plenty of time to negotiate," he said.
In Warren County, outside Vicksburg, garbage and rubbish disposal is left up to residents, who contract on their own with companies or individuals allowed by the county to collect and haul garbage. Still, Waste Management is the largest contractor in the county with about 3,400 customers contracting its services.
The city has three contracts with Waste Management, all of which began Nov. 1, 2002. The first includes garbage pickup twice a week for the city's residential and small commercial business customers, who were provided with 96-gallon city-supplied containers. Smaller containers are also offered for the elderly or disabled, and a second container is available for an additional $5 a month. The first contract includes garbage collection for downtown businesses, which is picked up four times a week at a rate of $43.53 a month.
The city's second contract is for removal of rubbish, or tree limbs and piles of debris, which may be placed in the 96-gallon containers.
A third contract is for Waste Management to have a transfer station, which the city pays for based on the amount of waste brought in by the ton, said purchasing director Tim Smith. Local waste is trucked to approved landfills elsewhere.
The existing contracts have cost-escalation features, as future contracts will also likely have.
In 2002, garbage collection rates went up by $1.55, from $11.05 to $12.60, when the new contract went into effect, reflecting the cost of the mandatory city-supplied containers. Due to a surge in energy costs, municipal garbage collection fees have continued to rise for the 9,600 customers. The most recent increase was in January when customers began paying $17.89 monthly, which is up from $16.80 in 2006. The flat fee is collected through municipal water, gas and sewer bills.
City Attorney Nancy Thomas said the contract with Waste Management ends in October and state law requires all municipalities to advertise for proposals before contracting for garbage and trash collection services. Variables other than cost are examined when the city chooses a service.
The city pays Waste Management about $1.3 million each year for residential, small commercial and downtown, which includes businesses in the 1100 to 1500 blocks of Washington Street, curbside garbage and rubbish pick-up. In addition to that, the city pays about $400,000 a year for the transfer stations, which fluctuates based on the tonnage, Smith said.
Whom city officials choose to provide waste services will be based on the returned proposals and whether the company can meet the scope of work the city needs.
"We want to know, 'Are you big enough to handle it?'" Smith said. "That's why we do an RFP. We want to know what the person is. It's as much a health concern as it is a price. We have to deal with the bigger fish. We don't want to take a chance."
Even though Monday's motion was the first official step in securing the service for next year and beyond, Smith said companies across the state are already inquiring about the service.
"We already have companies out there waiting for this to be advertised," he said.
The city, however, will allow plenty of time to make sure it's the right price, as well as the right service.
"That's why we're trying to (start) now - so we'll have plenty of time to negotiate," he said.
In Warren County, outside Vicksburg, garbage and rubbish disposal is left up to residents, who contract on their own with companies or individuals allowed by the county to collect and haul garbage. Still, Waste Management is the largest contractor in the county with about 3,400 customers contracting its services.
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