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Officials say new garbage contract increases costs; administration says locking rate avoids bigger hikes
Summary
A resident questioned a large sanitation contract; city officials responded that a new five‑year contract increases costs roughly $2.5 million over prior terms, and that locking a multi‑year rate was intended to limit future increases.
A resident during public comment raised concerns about the city’s new garbage collection contract and said the amount appeared significantly larger than prior years.
Business Administrator Rick Fernandez and the mayor responded that the city received the lowest responsible bid for collection but that contract prices have risen statewide. Fernandez said the most recent contract represented “about a half a million dollars a year” increase relative to the prior period and that the city opted to lock in rates for multiple years to avoid potentially higher bids in future rebids.
The administration said bids that came in for the contract ranged as high as more than $1 million and that the selected contract—roughly $2,500,000 over five years as discussed at the meeting—was the lowest responsible bid. The mayor said locking a multi‑year rate is intended to reduce exposure to further increases when the contract is rebid.
Ending: Officials said they will continue to manage budget impacts and that the finance officer and purchasing staff worked to identify the lowest reasonable cost in the then‑current market.
