Trash Pickup Issue Put on Fastrack
Representatives of Allied Services, Inc. of Galena, KS pretty much gave the City Council a trashy ultimatum at Tuesday night's meeting: Pay more for half the service, or say goodbye effective Oct. 1.
However City Attorney Ron Cates said their current contract does not allow for such changes and a new contract would be required. "The existing contract may only be adjusted 3% upwards and the company should have given the city 60 days notice prior to Sept. 3," he said. "You have changed the deal and we need to re-bid," he added.
So now the issue is on a fast track with Council, which must make decisions quickly or the city may be faced with no trash pickup Oct. 1.
Wayne Crouse, owner of Jerry's Dock Service, went into the trash collection business two years ago and said he could provide the service at less cost than Allied Services "because they have huge overhead, insurance expenses, corporate shareholders and heavy executive payroll." Crouse said he has already been given loan approval by a local bank to acquire additional trucks and can have 500 commercial containers here in 30 days. He said the income from his service would remain in this area and not be exported to Nashville and other cities where Allied has offices.
Allied had proposed an increase to $9.02 per month per residence for once weekly service, or $14.50 per month per residence for twice weekly service.
Council voted 5-0 to direct staff to seek other bids and not accept the Allied Services proposal. Galletly said they would be working on it "tomorrow morning."
However City Attorney Ron Cates said their current contract does not allow for such changes and a new contract would be required. "The existing contract may only be adjusted 3% upwards and the company should have given the city 60 days notice prior to Sept. 3," he said. "You have changed the deal and we need to re-bid," he added.
So now the issue is on a fast track with Council, which must make decisions quickly or the city may be faced with no trash pickup Oct. 1.
Wayne Crouse, owner of Jerry's Dock Service, went into the trash collection business two years ago and said he could provide the service at less cost than Allied Services "because they have huge overhead, insurance expenses, corporate shareholders and heavy executive payroll." Crouse said he has already been given loan approval by a local bank to acquire additional trucks and can have 500 commercial containers here in 30 days. He said the income from his service would remain in this area and not be exported to Nashville and other cities where Allied has offices.
Allied had proposed an increase to $9.02 per month per residence for once weekly service, or $14.50 per month per residence for twice weekly service.
Council voted 5-0 to direct staff to seek other bids and not accept the Allied Services proposal. Galletly said they would be working on it "tomorrow morning."
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