City trash fees may increase

It may cost residents and businesses more to get rid of what they don’t want, starting next year.

The City Council on Tuesday directed the city manager to forge ahead on negotiations for an extension of the city’s contract with Waste Management of Orange County. The proposed contract includes rate hikes for residential and commercial customers, as well as promises by the long-time city trash collector of new and expanded services.

“We have been your service provider for over 30 years,” said David Ross, the company’s senior district manager. “Waste Management has 15 vehicles in Laguna, and we plan to replace them [within] the new contract term.”

The proposed contract stipulated conversion of the trucks to natural gas or other pollution-reduction mechanisms by the end of the fifth year of the contract. Conversion is mandated by the Air Quality Management District, Councilwoman Elizabeth Schneider said.

“Waste Management has an 89% rating in customer satisfaction [in Laguna] and that is about as good as it gets,” Mayor Toni Iseman said. “But having said that, is there anything you can do to speed up the diesel conversion?”

Ross agreed to have the trucks converted by the end of the fourth year.

“And I thought Ken [City Manager Frank] was a tough negotiator,” Ross said.

There was no public comment on the proposed fee increases, which Assistant City Manager John Pietig described as “substantial.”

However, the staff report noted that the city has among the lowest residential and commercial rates in the county, and that serving Laguna Beach costs the operator more than any other city because of the need for special, smaller trucks to navigate small streets. Under the terms of the proposed contract, residents will pay 5% more for their trash collection, starting July 1, 2008. Another 5% will be tacked on, effective July 1, 2009.

Commercial customers and owners of residential complexes with more than six units will be asked to pay 12% more, starting July 1, for all bin and commercial can services. The commercial rate will jump another 10% on July 1, 2008.

Starting July 1, 2009, and for each year of the contract thereafter, commercial rates will increase by 90% of the change in the Orange County Area — Los Angeles, Riverside and Orange counties — Consumer Price Index with a 5% cap.

Besides the fuel conversion for its trucks, Waste Management promised to provide recycling education for businesses and multi-family complexes; expand recycling programs; and reach out to contractors, self-haulers, developers and other businesses to encourage recycling of construction debris.

Residential services will be expanded to include cell phone and empty inkjet printer cartridge recycling by mail; an additional week of Christmas tree pick-ups; and the construction and operation of a Buy Back Center in Irvine.