The city of Hawthorne, Calif. signed agreements with eight firms that authorize them to provide refuse and recycling services to businesses in the city. The service is expected to begin May 1.
In his letter to businesses, Hawthorne’s Mayor Larry Guidi notes “The prices proposed by these firms are expected to save Hawthorne businesses collectively over $2 million dollars each year.” He concluded his letter by noting, “The City is proud that we can provide you with more services and lower costs for your solid waste and recycling services.”
H&C Disposal currently provides all refuse, recycling and yard waste collection and disposal from residential and commercial sectors as the exclusive city contractor. The new system will allow 8 haulers to compete to collect all those materials from businesses in Hawthorne, under semi-exclusive franchises.
Seven firms have been awarded agreements to provide commercial services, five firms have been awarded agreements to provide services to multi-family dwellings, and five firms have been awarded agreements to provide roll-off service to businesses and residents (see list with attached letter from the Mayor).
H&C was selected earlier this year to continue to provide residential services on an exclusive basis.
Commercial franchisees are required to offer recycling services, but those costs are not included in the proposed rates, as they will have to compete with independent recyclers to provide those services. Businesses will be asked to reduce their wastes by 50 perrcent, and they will be able to choose whether their waste hauler or other recyclers can do the best recycling for them.
Franchisees authorized to provide service to multi-family dwellings are required to provide free recycling services to all these accounts. This was done to offer the maximum amount of recycling services to multi-family dwellings, to divert more wastes from landfill from this challenging sector.
Businesses and multi-family complexes that divert more wastes will also immediately reduce their refuse collection costs.
Hawthorne has authorized maximum Service Fees that can be charged by these firms. Franchisees will be able to offer even lower rates to compete. But they cannot charge any more than what they proposed during the first two years of the contract.
Companies who received a franchise to haul solid waste include the following seven companies: BFI Waste Systems, Consolidated Disposal Services, Gemini Services/United Pacific Waste, H&C Disposal/Sharp, Solid Waste Recycling & Disposal, Universal Waste Services, and Waste Management.
Companies awarded contracts to provide multi-family services include: Consolidated Disposal Services, H&C Disposal/Sharp, Solid Waste Recycling & Disposal, Universal Waste Services, and Waste Management.
Companies awarded contracts to provide roll-off services include: BFI Waste Systems, H&C Disposal/Sharp, Klistoff & Sons, Universal Waste Services, and Waste Management.