Merced supervisors postpone vote on terminating solid-waste contracts after haulers warn of SB 1383 costs

The Merced County Board of Supervisors on July 22 postponed consideration of a proposal to terminate existing solid-waste franchise agreements after waste haulers told the board early termination would shift large costs to residents and employees.

Hauler representatives said contracts renegotiated recently anticipated a long rollout to meet state recycling and organics requirements under SB 1383 and that terminating or shortening terms would accelerate depreciation of vehicles and carts and could raise rates.

“WM has already invested millions of dollars into this partnership,” Vanessa Barberis, a Waste Management representative, told the board. “If a termination notice is issued now, we will still be carrying 40% of that investment, costs that were meant to be recovered over a 10 year period. Accelerating that depreciation to a 5 year timeline could create additional cost pressures, which may result in higher rates for residents in the years ahead.”

Savannah…