Public Works presents energy, recycling and fleet plans; proposes small reallocations and a bubbler subsidy

David Simpson, director of the Department of Public Works, told the Financial Affairs Committee on Oct. 7 that the department is proposing a series of modest budget adjustments for 2026 focused on stabilizing fleet reserves, maintaining service levels and continuing energy- and diversion-related gains.

Key budget moves and metrics

Simpson presented multi-year metrics the department is tracking: cumulative energy savings from LED conversions and solar arrays since 2017, a near-50% landfill diversion rate that includes composting and recycling, and a relatively flat general-refuse tonnage trend. He told the committee the city has added significant solar capacity and expects additional arrays to come online next year.

Fleet reserve and vehicle purchasing

To address rising vehicle and equipment replacement costs driven by inflation and longer lead times, the department included a 5% escalator in fleet-reserve contributions for 2026. Simpson said the change should help avoid borrowing from capital to replace vehicles and reduce the risk of operating older equipment. He also described a group of rear-loader trucks used for yard/leaf/debris removal that are 18–20 years old and not covered by a dedicated fleet reserve; replacement estimates for these trucks are roughly $350,000–$400,000 each.

Recycling and stabilization fund

The department recommended an upward adjustment to the assumed value the city receives for recycled materials (from $55/ton to $65/ton), which it estimates would save roughly $20,000 in the 2026 budget. Simpson also said the city has a recycling-stabilization fund intended to smooth commodity-value swings and that extra recycling revenue this year could be directed to move that fund toward its target.

Personnel reallocations and rates

Simpson said the traffic and electrical superintendent position — last held by Randy Michaels before retirement — has shifted in duties toward electrical design and oversight. The budget would reallocate roughly half of that salary into engineering and hire an electrical engineer in the engineering division rather than replacing the role in traffic; the net FTE count does not increase. Simpson also said the engineering division will convert a co-op position to a year-round civil-engineer entry-level position paid from capital budgets and that hourly reimbursement rates for developer plan reviews would rise to $110 per hour (with outside-contract work billed at $130 per hour).

Bubbler funding request

The department proposed adding $10,000 to the city’s contribution for the regional Bubbler bikeshare program to help the operator manage rising costs related to e-bikes and insurance; staff said Milwaukee and other municipalities are being asked for higher per-station contributions. Committee members requested additional usage and cost-per-resident data before approving the increase.

Next steps

Committee members asked for follow-up materials on Bubbler usage and the long-term plan for fleet replacement. Simpson said several purchases have already been made because of long equipment lead times and that the department will return with more details and options where the committee requests them.