Riverside trustees OK long-term extension for trash hauling
The Riverside Trustees voted 5-0 on June 18 to renew the village’s garbage disposal contract with Flood Brothers Disposal Co., agreeing on a seven-year contract that freezes customer tariffs for 2020 and offers residents additional services free of charge.
From 2021, the rates will increase by 2.75 percent annually. The contract is retroactive to June 1 and expires on June 30, 2027.
Single-family home customers will continue to be billed $ 41.96 a bimonthly for roadside trash, recycling, and garden waste collection for the first year of the contract. Backdoor pickup is available for both garbage and recycling for an additional fee of $ 6.15 per billing cycle.
Seniors receive a 15 percent discount on waste transport services.
In order to enter into a long-term contract with the village, Flood Brothers agreed to offer all single-family and multi-family home customers the mixed collection of garden waste and food waste for composting at no additional cost. Composting was a service that Flood Brothers previously charged for.
The company has also agreed to host pumpkin composting events annually for the village at no extra charge, as well as holding a free-of-charge event to mince and collect dangerous household items. It will continue to offer recycling of electronics, lightbulbs and batteries.
While the trustees unanimously approved the deal, the owner of an apartment building met protests complaining that multi-family customers were wrongly charged fees that subsidized waste transportation for other customers in Riverside.
Thomas Weaver, president of a real estate and administration company that owns a 26-unit home on Lincoln Avenue and Park Place, was surprised at the cost of shipping multi-family waste.
For buildings of eight or more units, Flood Brothers charges $ 17.49 per unit for collecting garbage twice a week. Recycle pickup is weekly and costs $ 4.10 per unit.
Weaver said his buildings were big enough not to use individual dumpsters, but dumpsters for garbage collection. However, the cost of Flood Brothers collecting trash from its dumpsters is way above the cost the company charges commercial customers who use dumpsters.
Those extra garbage disposal costs are passed on to tenants, Weaver says, resulting in higher rents.
“We are asking you to add a line that allows the owner to rate the price as commercial or not,” said Weaver. “We would choose advertising because we are using a commercial service.”
Michael Flood, city administrator for Flood Brothers, told trustees that the multi-family building tariff structure that Flood Brothers negotiated when it was awarded the contract in 2015 preceded his company’s engagement in Riverside. The previous waste transporter had a similar tariff structure, he said.
According to Flood, Riverside and its multi-family customers will have access to additional services, such as composting, not available to municipal customers elsewhere.
Trustee Edward Hannon said the tariff structure for apartment buildings is not a new concept and he understands that Flood Brothers must split costs so that they work best to meet their revenue target.
If multi-family homeowners looked for lower tariffs, those costs would either be passed on to the rest of Riverside’s customers or the company would have to eliminate additional services.
“It’s a zero-sum game,” said Hannon. Flood Brothers is looking for an ending number and the question I want to ask the homeowners is, what additional services are they willing to cut back on? … What would you put on the table to offset this rate cut? Or is this just a way to avoid slashing margins or making the decision to increase rental rates. “
Weaver said his point is that he wanted apartment house owners to be treated equally.
“We just want to be treated like anyone else who uses this type of service,” said Weaver.