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City staff recommends franchise for Frontier Waste Solutions; council to hear final vote after 30 days

2292195 · February 12, 2025
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Summary

Staff recommended granting Frontier Waste Solutions a commercial solid waste franchise in Conroe with a 3% monthly franchise fee; the ordinance requires two readings separated by at least 28–30 days and final consideration in March.

City staff recommended on Feb. 12 that the Conroe City Council approve a commercial solid waste franchise for Frontier Waste Solutions, allowing the company to provide commercial garbage collection within the city under the existing franchise fee structure.

Why it matters: The franchise process governs which commercial haulers can operate inside Conroe, requires payment of a franchise fee that supports city services and preserves an open market for commercial refuse haulers.

Carl Brosh, a city staff presenter, described the city’s current approach: residential and small-commercial collections are contracted by the city, while large commercial customers that require dumpsters or roll-off services may select any city-approved franchise hauler. The franchise ordinance requires a 3% monthly fee on gross receipts for franchise operators in Conroe. Staff recommended approval for Frontier to operate as a commercial hauler and said final adoption requires two readings of the ordinance separated by the statutory interval; the item will return to council in March for final passage.

Brosh said the franchise term would initially run for one year from the effective date and then continue month to month unless revised. He noted the ordinance procedure requires the franchise be read at two separate regular meetings and that final passage cannot occur until 30 days after first reading.

Council members questioned collection reporting and oversight. A council member asked about average monthly franchise collections; Brosh said collections vary by the number of accounts a hauler serves in the city and provided a range of roughly $3,000 to $6,000 per month per account based on existing franchise accounts. Council members said they want monthly reporting from franchise operators listing their accounts so the city can verify franchise-fee remittances and ensure the city receives its full revenue share.

Brosh identified other haulers already operating in Conroe, including Waste Management, Nexus and Waste Connections, and said there is no exclusivity; the franchise process creates an open market for commercial haulers that go through the city’s approval process.

What’s next: Staff will return the franchise ordinance for a second reading and final council action in March, per the ordinance’s required interval. Council directed staff to consider monthly reporting requirements for franchise accounts to ensure fee collection and compliance.

Ending: No final franchise ordinance vote occurred at the workshop; the item will be brought back for final consideration at the March council meetings per the ordinance timeline.