Council Eyes Dumpster Rates

The Olney City Council said it will likely raise commercial dumpster rates in order to cover the City’s growing losses on waste removal services.

During the March 24 meeting, Mayor Rue Rogers and City Secretary Tammy Hourigan presented information showing that the city is currently losing nearly $5,000 per month because of a gap between what it charges local businesses and what the city pays its trash provider, Waste Connections.

The City’s current contract with Waste Connections, now in its third year, includes rising costs for commercial dumpster service that have not yet been passed on to Olney businesses. Council members opted not to increase those rates when costs first went up over a year ago, citing concerns about burdening businesses and residents amid other rising expenses, including water surcharges and property taxes.

However, Mayor Rogers said the City can no longer absorb the shortfall.

“This is not sustainable,” he told the Council. “We’ve done it in good faith, trying to extend some savings to the businesses and citizens at a time when other costs were going up. But it’s part of the cost of doing business, and we’ve got to do it.” For a six-yard dumpster picked up once per week, the City currently charges $70 per month, but Waste Connections is charging the city $128.40 for the same service. Olney currently has 18 customers using that specific service, city officials said.

The Council discussed the possibility of notifying affected customers in advance and setting a proposed rate increase to take effect May 1. The adjustment would apply primarily to commercial dumpster customers and some residential customers living outside city limits who use city waste services.

Council members expressed general support for the rate adjustment and directed City staff to prepare a letter to notify affected customers and bring a formal proposal to the next Council meeting.

“We’re not trying to make money on this,” Mayor Rogers said. “But we have to cover our costs.”

A vote on the rate increase is expected at the Council’s next regular meeting.