Redlands City Council approves landfill contract

REDLANDS, May 20, 2009 (Redlands Daily Facts - McClatchy-Tribune Information Services via COMTEX) -- RSG | Quote | Chart | News | PowerRating -- A private waste management company will dump trash -- imported from Colton -- at the California Street Landfill for at least the next five years.

The City Council voted 3-2 Tuesday to award a contract to Colton-based waste management company Republic Services. The contract will allow Republic Services to dump up to 175 tons per day into the California Street Landfill. The company will pay a tipping fee of $27.50 per ton, with a minimum of 75 tons per day for the first 180 days of the contract. The company will have to pay the same fee for a minimum of 125 tons per day after the initial 180-day period.

The council approved the contract with a 3-2 vote. Councilmembers Jerry Bean and Mick Gallagher voted against it.

The contract will put about $1 million in city coffers through each of the contract's five years. The money could come in handy, as the city is staring at a $5.5 million budget shortfall heading into the 2009-10 fiscal year, which begins July 1.

But Republic Services will be doubling the amount of trash in the landfill over the five years of the contract, which could shorten the landfill's life.

"The central policy issue is whether or not the city should import waste as a means of enhancing revenue for the General Fund," said Gary Van Dorst, director of the city's Quality of Life Department.

Before voting to approve the contract, councilmembers expressed concern the city would grow accustomed to the flow

of cash that could dry up when the contract concludes five years from now.

"The worst thing is that we will become dependent on this $1 million (per year)," Bean said. "It will be very difficult in the future."

Mayor Jon Harrison and Aguilar expressed their support for the contract early in the council discussion and Bean and Gallagher expressed their misgivings.

Gilbreath waited until all other councilmembers cast their votes before making her move.

And the money won.

"I'm not prepared to give away $5 million in revenue for the city in this short period of time," Gilbreath said. "We're in desperate need."

Before the vote, City Manger N. Enrique Martinez acknowledged the difficulty of deciding to sell landfill capacity to benefit the city's lagging General Fund.

"The city is in a difficult financial situation," Martinez said. "And there will be some difficult choices that we will all face. This is one."

The contract was awarded to Republic Services without a bidding process, a fact that bothered Bean.

"I don't know how far out any kind of inquiries were made," Bean said. "but it clearly should have been bid."

Gallagher said he would have supported the contract, but he felt that the tipping fees were too low.

"(This contract) is probably not a bad thing for us to really consider," Gallagher said. "I would be in favor of this if (the tipping fee) were the same as anywhere else. At $35 to $38 (per ton) is probably the target we should be in. And I think we probably could get that."

Bean also doubted that the city was getting the proper price for the tipping fee.

E-mail Staff Writer Jesse B. Gill at jgill@redlandsdailyfacts.com

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