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Dripping Springs council approves five-year contract and exclusive franchise for Texas Disposal Systems
Summary
The council approved a five-year contract with Texas Disposal Systems (TDS) to provide solid-waste services inside city limits, and adopted an ordinance granting TDS an exclusive franchise; the contract includes set residential rates, a 7% franchise fee, CPI-based increases requiring council approval and a July 1 service start for residents.
Dripping Springs City Council voted June 17 to approve a five-year solid-waste services agreement with Texas Disposal Systems (TDS) and to adopt an ordinance granting the company an exclusive franchise to operate residential and nonresidential refuse collection inside city limits.
City staff, noting the contract followed a competitive RFP and a prior council selection, summarized key terms: a 96-gallon residential trash cart collected once per week at $14.80 and optional recycling at $6.75; a 7% franchise fee remains in place; rate increases are tied to CPI and must be presented to council for approval. "TDS would officially take over July 1," staff told council during the presentation.
Staff also described operational limits negotiated in the contract designed to reduce traffic and noise: no cart collection on FM 12/290 during school pick-up hours, and defined operating windows in commercial areas to limit early-morning or late-evening pickups. The contract includes community benefits such as trash pickup at city events and a resident discount at a local Gardenville retail facility for soil and mulch products.
Council members asked questions about transition logistics and communications for residents; staff said TDS had mailed letters and prepared email notifications and that carts would be assembled and staged at a laydown yard for distribution. Staff warned of expected transition hiccups and said communications would include QR codes on carts and a packet on the city website explaining when and how carts will be swapped.
The council approved a motion to accept the agreement and, in a separate voice vote, adopted an ordinance amending Article 10.04 to grant TDS (and successors/assigns) the right to operate and maintain trash and refuse routes within the city.
The ordinance and contract apply only to properties inside the city limits and do not cover the extraterritorial jurisdiction (ETJ). TDS is scheduled to assume service operations beginning July 1; the city will continue to coordinate billing and resident notices during the handoff.
The agreement was approved by a voice vote; the ordinance was adopted by a subsequent voice vote. The city and TDS will proceed with the transition steps described by staff.
