RivCo Supes Scrutinize Waste Hauler Contract Renewals: Rates May Rise

RIVERSIDE COUNTY, CA — The Board of Supervisors Tuesday scheduled a Sept. 10 public hearing to consider proposed agreements with the four waste haulers under contract with the county, all of whom are seeking 10-year-long compacts to continue servicing unincorporated communities at higher rates.

"There are significant improvements (in the agreements) for the benefit of our constituents," Supervisor Kevin Jeffries said ahead of the 5-0 vote to confirm the initial hearing. "There will be faster pickup of illegally dumped items. Also, there will be accountability, and customers who do not have their trash picked up on any given week but still have to pay for it will have credit placed on their bills for services not received. But I would caution my colleagues ... to be prepared to answer questions from constituents because of the rate increases."

Burrtec Waste, CR&R Inc., Desert Valley Disposal and Waste Management Inc. are all seeking new contracts that run from Oct. 1, 2024 to Sept. 30, 2034, and the new compacts, if approved, would begin with higher charges for rubbish retrieval and disposal.

Residential rates would be rising anywhere from 16% to 30%, depending on the franchise service area, according to data posted to the board's agenda.

"I'm very concerned about the (proposed) rate increases for those who are about to be impacted," Jeffries said. "On one street, the customer would be paying one rate, while across the street, the customer might be paying a different rate. That's exclusive to our franchise agreements."

The supervisor referenced the defined boundaries of each service zone.

Burrtec Waste's area encompasses unincorporated communities abutting Indian Wells, Indio, Palm Desert and Rancho Mirage. Desert Valley Disposal's area is split, encompassing everything north and immediately south of Desert Hot Springs, as well as the unincorporated space southwest of Palm Springs.

CR&R is spread countywide, as is Waste Management.

Communities they serve include Anza, East Hemet, French Valley, Homeland, Idyllwild, Lakeland Village, Nuevo and Winchester.

The Burrtec hike would boost residential customers' monthly rates from an average $27.00 to $36.88. Residents serviced by CR&R would see their bills go up from $26.98 to $37.96. Desert Valley Disposal customers would bear an average monthly cost of $37.96, compared to $26.98 currently, and Waste Management's new fee structure would increase from $31.55 to $36.80, according to the Department of Environmental Health.

Commercial rates would be far higher. In Desert Valley Disposal's area, businesses may be shelling out anywhere from $51 to $306 per 96-gallon cart, depending on the number of retrievals per week. A 2-yard "bin" could run from $150 to $903 per month. Similar rates would apply under the other haulers' proposed contracts.

Environmental Health Director Jeff Johnson pointed out in documents posted to the board's agenda that the new agreements take into account the costs of the state mandates with which the county and waste haulers are required to comply.

On Jan. 1, 2022, Senate Bill 1383 took effect, mandating that organic waste -- mostly discarded food -- be reduced, or diverted, to conserve space and reduce methane pollution. The state target is a 75% reduction from 2014 levels of organic waste in landfills by 2025.

Franchisees are additionally required to maintain recycling systems, set aside materials for composting and carry out other actions, in partnership with counties, to reduce landfill use.

Waste haulers are permitted to seek rate adjustments every year based on rising landfill, transportation and other costs.

Most of the existing franchise agreements have been in place since the 1990s.