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Town reports 2,141 recycling subscribers; billing tiers and enterprise‑fund option discussed
Summary
Southern Pines staff reported 2,141 recycling subscribers as of June 24 and explained Meridian’s tiered billing (1,951–2,600 customers). Staff projected annual subscriber billing of roughly $225,600–$245,000 depending on growth and CPI and flagged a possible $15,000–$20,000 positive margin this first year; council discussed counting of second carts and the option of an enterprise fund.
Town staff gave a mid‑year update on the curbside recycling subscription program at the June 24 work session.
Staff reported 2,141 customers enrolled (finance shows 2,141 signed subscribers; operational billing numbers show 2,192 in some internal tallies), with a $10 per month subscription fee for residential customers and the same base charge for commercial customers (commercials may add a second cart for an extra $10). Staff said Meridian treats a second cart as an extra 'slot' for tier calculations even if residential customers are not charged an additional $10, which affects which tier the town falls into under Meridian’s pricing schedule.
The town is currently being billed by Meridian $19,006 per month under the tier that covers 1,951–2,600 slots. Staff said June billing reflected $20,430 collected from subscribers (billing lags cause small differences in the numbers). Staff projected, after a planned 4% CPI increase in October and modest customer growth, that the town could bill roughly $225,601 this calendar year (an optimistic projection rose to just under $245,000 in a higher‑growth scenario) and estimated a modest net positive against Meridian’s billed amount of about $15,000–$20,000 for the year, while noting out‑of‑pocket town costs (bins, staff time) remain.
Council and staff discussed whether the recycling fees and associated revenues should be placed into an enterprise fund to better isolate and demonstrate that subscription revenue is used for recycling costs, including amortization of vehicles and purchase of carts. Staff said carts were budgeted in public works ($50,000 for FY25–26 for garbage and recycling carts) and agreed to continue tracking operational metrics and return with recommendations once more routine data are available.
No formal action was taken; staff will continue to monitor enrollment, billing lags and costs and return recommendations to council as appropriate.
