Centerville reviews Ace trash contract increases and considers future purchase of city-owned blue cans
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Summary
The city’s sanitation provider proposed a 5% contract increase; staff recommended absorbing the cost this year without a rate change but asked council to consider whether to buy resident blue cans or seek contractual transfer at the next contract renewal.
Centerville staff reported that Ace (the city’s contracted sanitation provider) has proposed a 5% rate increase; staff recommended absorbing the increase this year without an immediate rate change but flagging potential policy decisions about purchasing and owning blue recycling/garbage carts.
Why it matters: The trash contract and can ownership affect long‑term flexibility and the city’s leverage when bidding a future contract. If the city owns blue cans, it can open competition between haulers without the cost barrier of leaving behind vendor‑owned carts.
Contract and fund balance: Staff noted the sanitation fund has roughly $200,000 in fund balance and proposed using a modest portion to cover current increases rather than seeking an immediate rate increase. Staff estimated purchasing an entire city set of blue cans would cost roughly $200,000; council and staff discussed phased approaches and whether to require a rate increase next year if vendor negotiations fail.
Next steps: Staff will pursue additional negotiation and research, will examine other cities’ models for cart ownership and RFP structures, and will bring cost and subsidy options to the next budget cycle. Council requested staff return with concrete cost estimates and proposals on whether to purchase cans now, spread the cost over several years, or negotiate obtaining carts at the end of a new contract.
