City seeks feedback on option for trash service signup

Published 8:35 am Friday, June 29, 2018

NILES — City officials are considering a proposed plan to offer residents the option to sign up with a trash hauler contracted by the city. However, residents will still be permitted the chance to shop around and choose their own refuse provider if they wish.

The topic was discussed Monday night during a committee of the whole meeting. Public Works Director Joe Ray said the proposal’s aim is to offer people a convenience and provide a measure to motivate people to actually sign up for trash service so that garbage is disposed of properly.

“The main goal of that, which was discussed a couple of years ago, was to encourage residents to subscribe to some type of refuse collection, so it doesn’t end up in garages or in basements or backyards,” Ray said.

City Administrator Ric Huff said city officials have seen a number of complaints in regards to this issue.

“What we’re hoping is that when people come in and enroll for their electric and waste water service with the city, at the same time we are offering them a chance to sign up for garbage services,” Huff said.

The city put out a request for proposals and has identified three potential bidders, including Niles’ Michiana Recycling & Disposal, Waste-Away in Elkhart and Republic Services, of Stevensville. The selected bidder would enter into a five-year contract with the city and provide, commercial, residential, downtown and yard debris and brush collection services. Though, Ray said the city could select two bidders and divide some of the tasks to get the best price for those different services.

Republic Services has also offered to provide a volume discount. If 2,000 people sign up, the rate will be $16 a month. If more than 3,000 homes sign on, the cost could be $13 a month. However, Republic Services said these rates do not include the cost for recycling services.

“It kind of tells me that if there is some volume, we could possibly offer residents a lower rate than they could buy individually, but it would take 3,000 residents to get there,” Ray said.

No matter which bidder is selected, the city will add a 50-cent fee on the service cost to help fund a customer service role within the city.

About two years ago, city council members discussed how to address refuse issues and save wear and tear on roads by potentially selecting a single-hauler that would be responsible for all trash. During a public hearing, residents and business owners mostly expressed concerns that this would take away customers’ freedom to choose their own service provide and eliminate other local trash hauler’s business in the city.

Though this proposal will allow residents to choose whether they want a contracted service, 

council member John DiCostanzo said he thinks that it could still interfere with the market by giving the selected bidder an advantage against the other companies. 

“We are going into competition with private businesses that have invested in our community,” DiCostanzo said. “What we are attempting to do is compete with them.”

Council member Gretchen Bertschy disagreed. 

“No. We are asking them to compete with each other,” Bertschy said.

She said the service could provide consumers yet another option and give them a voice on the issue.

But Mayor Nick Shelton questioned whether the proposal would achieve the city’s ultimate goal.

“I just don’t know that the deal is attractive enough for someone to sign on,” Shelton said. “If I saw that I had to pay 50 cents more a month, that is not a lot, but I would not do it. I would rather just do a separate bill.”

He also questioned whether the city had the manpower to take this on, especially if it continues to grow. 

The issue will be presented on the council’s next agenda. Their next meeting will take place at 6 p.m. July 9, at the Niles Fire Station Complex, 1345 E. Main St. The community is welcome to come and provide feedback on the proposal.