Council approves roll-off exceptions to GreenWaste franchise; staff to return with options on absorbing 2026 rate increase

The Atherton Town Council approved amendments to the town’s franchise agreement with GreenWaste Recovery that clarify exceptions to the company’s exclusive right to collect construction and demolition (C&D) debris beginning Jan. 1, 2026.

Staff said the amendments formalize exemptions in situations where materials are self-hauled in compliance with local code, transported in company-owned dump trucks, or handled entirely within a trade-specific operation using the trade’s own containers. Town staff and GreenWaste told the Refuse and Recycling Committee they will use an initial six-month education-and-outreach period before warnings or citations are issued for noncompliance.

Council members also discussed the franchise fee and how the town might reduce the immediate rate impact on residents from a contractually required 11% price adjustment effective Jan. 1, 2026. The town’s existing franchise fee is 5%, which generates about $237,000 annually in town revenue at current rates, staff said. Committee members and councilors discussed options including using the rate stabilization fund (staff mentioned a balance roughly around $450,000) to offset some of the increase while staff return in November with concrete numbers and recommendations.

Staff described the background: a 2020 agreement granted GreenWaste exclusive rights for C&D debris collection effective Jan. 1, 2026, with exceptions listed in section 3.2 and additional clarifications proposed in the current amendment (items O, P and Q in the staff report). The changes are intended to remove ambiguity about lawful exceptions for non-hazardous material handling outside traditional roll-off bin service.

During council discussion staff said haulers, contractors and builders’ round tables have been notified of the upcoming exclusive-franchise date and the proposed clarifications. Staff reiterated the two-stage compliance approach: six months of education and outreach, then enforcement through code enforcement and administrative citations if necessary. Council members asked about enforcement thresholds and the administrative-citation fines discussed; staff said the initial follow-up would be education and outreach then warnings, with administrative citations handled by the code-enforcement process if needed.

A motion to approve the contract amendments carried unanimously in the meeting’s recorded voice vote. Separately, the council provided direction to staff to return with numbers and options for addressing the contractual rate increase, including potential use of the rate stabilization fund to reduce resident impacts.