Tustin : Haulers Lower Rate for Longer Contract

After hearing mostly favorable comments during an hourlong public hearing, the City Council this week unanimously accepted Great Western Reclamation’s offer to reduce trash rates in exchange for a contract extension.

“The deal is good,” said Mayor Jim Potts, a critic of the exclusive contract with Great Western Reclamation. “But I still feel we should have stuck to our guns and see what the rates will be when we open the contract to bid.”

Residential trash rates will be reduced from $10.66 to $10.61 monthly, effective immediately. Commercial rates will stay at current levels until June, 1994. In addition, Great Western Reclamation will not impose an 81-cent increase for fiscal 1993-94 that was allowed under the contract.

In return, the trash hauling company’s contract, set to expire in 1998, was extended to June 30, 2000.

“We want to send a clear message to the community that we want their business,” said David Ross, Great Western Reclamation general manager. “During these tough economic times, we are not beyond belt-tightening ourselves.”

He said the rate reduction and freeze in commercial rates will cost the trash company about $13,000 a month in 1993-94.

The new rates will go into the tax rolls the city will submit to the county, according to City Manager William A. Huston. He said Tustin’s trash collection fees are added to property taxes. The city pays Great Western Reclamation about $75,000 a month for residential service, he said.

“The citizens came out on top on this one,” Councilman Jeff Thomas said.