Solid‑waste RFI finds one vendor; city staff say in‑house residential collection remains cheaper overall

City public‑works staff told the council on March 25 that a request for information (RFI) on managed competition for residential solid‑waste collection drew one vendor response and that an apples‑to‑apples comparison showed Peoria’s in‑house residential program is currently less costly when broader services and landfill contract obligations are included.

Deputy City Manager Kevin Burke and Public Works Director Rhonda Humbles presented an RFI summary and municipal cost comparison. The RFI sought market feedback on dividing the city’s residential collection by day and allowing the private sector to compete for parts of the system while the city’s own division would also compete. Burke said the city received a single response (Waste Management) that proposed a different collection model — splitting the area into five zones with multiple collection days — and estimated a household cost of $26.55 under that model.

Why it matters: staff said Peoria’s full residential service package includes bulk trash pickup, household hazardous‑waste events, education and outreach, billing and administrative ‘indirect’ charges. When those services and landfill fees are included, staff estimated the city’s total residential cost at around $22.59 per household. Strip out ancillary services and landfill costs and staff calculated a collection‑only cost near $10.22 per household.

Staff analysis and next steps: staff compared Peoria’s numbers to nearby cities that contract for collection and found a range of contract prices; Buckeye’s contracted rate of $20.68 per household and Queen Creek’s $13.18 were among the comparisons. Burke and Humbles said the vendor was reluctant to bid on a single day of collection and that switching to the vendor’s suggested model would change pick‑up days for many residents and could increase truck activity within neighborhoods. Staff recommended more analysis before initiating procurement and noted the need to protect existing disposal‑contract minimums that keep landfill fees low.

Council comments: Councilmember Dunn urged a full request‑for‑proposals (RFP) to get more detailed offers, including hiring arrangements for current employees and lifecycle costs; several council members echoed the need for additional analysis before a policy decision. Staff said the RFI was intended to gather market feedback, not to start a privatization process immediately.

Ending: no direction to issue an RFP was recorded at the study session; staff said they would return with further analysis if council asks.