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Council approves solid-waste rate increase and directs outsourcing study to lower long-term costs
Summary
After a staff presentation and public hearing, the council approved Ordinance 2025-20 to raise solid-waste rates and authorized staff to pursue outsourcing options; staff warned that current reserves could be depleted by 2027 without a rate increase or outsourcing.
Finance and solid-waste staff presented a consultant-backed financial analysis recommending rate increases for the solid-waste utility. Staff said the city has not had a substantive rate increase since 2018 (aside from CPI adjustments), that operating reserves are projected to run out by 2027 under current net revenue, and that staff have been authorized to explore outsourcing the service to seek cost efficiencies.
"We would deplete our operating reserves by 2027 if we continue to operate where we're at," Diane (finance/solid waste) told the council. After questions about whether rate increases would raise acquisition costs for a prospective outside provider, staff said they expect outsourcing could lower rates by achieving operating efficiencies; the council moved and voted to adopt Ordinance 2025-20 adjusting solid-waste rates and continuing outsourcing work.
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