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Council approves seven-year no-bid contract with AJ Waste; recycling costs to shift to town over term
Summary
The Town Council unanimously approved a seven-year contract with AJ Waste Systems LLC for refuse and recycling services. The contract phases shifting recycling-cost responsibility to the town and includes updated line-item rates and optional bulky-waste collection terms the council can invoke in later years.
The Town Council on May 13 voted unanimously to waive formal bidding and award a seven-year contract to AJ Waste Systems LLC for residential refuse and recycling collection from July 1, 2025 through June 30, 2032.
What the council approved: Town staff and the council presented an amended resolution approving a seven-year agreement with AJ Waste to provide curbside refuse, recycling and optional bulky-waste and organics services. The contract includes an escalator schedule and line-item rates for curbside service, condominium and dumpster services, municipal accounts, and optional programs (for example, curbside bulky collection) that the council could invoke in later years.
Key contractual shift on recycling costs: Under the negotiated arrangement the town will phase in responsibility for the volatile cost of recycling disposal. Council discussion and staff presentations described a phased cost share: year 1 a 50/50 split of recycling disposal costs, year 2 a 75% town / 25% AJ split, and from year 3 onward the town assumes 100% of recycling disposal costs. Staff explained that the prior agreement capped the town’s responsibility at $30 per ton; the new schedule phases the town to assume market-disposal risk.
Council discussion: Council members acknowledged concerns about resident-facing fees at AJ Waste’s private drop-off facility and urged staff to continue discussions with AJ about preferential resident rates. Public Works Director Dan Bombero explained the line-item increases and said the contract carries forward many terms from the previous agreement while clarifying indemnification and other contract language.
Bulky-waste and other optional services: The contract includes menu pricing for optional bulky-waste collection and municipal container services. Councilors discussed past bulky-waste events, tipping fees and the total cost borne by the town when bulky collection was invoked; staff noted those costs depend on marketplace tipping rates when a program runs and on the volume of material collected.
Vote and outcome: The council unanimously approved the waiver of bidding and the AJ Waste contract. Staff said the contract retains operational continuity for curbside services while giving council and staff options to deploy additional programs under defined rates.
Ending: Town officials said they will continue negotiating with AJ Waste on potential resident-friendly pricing at the AJ facility and will present contract implementation details to the council and public as the July 1 start date approaches.
