Just days after a contract was rejected, Houston Mayor Sylvester Turner and Waste Management Inc. (NYSE: WM) have reached an agreement to continue recycling services in Houston. Houston City Council is expected to approve the new agreement after returning from spring break. The current contract is set to expire on March 16, but Waste Management agreed to an extension until March 23, so recycling services will be provided without disruption. The newly proposed two-year contract includes a $90-per-ton processing fee and a guarantee to Waste Management of at least 75 percent of the city’s revenue stream. … Previously, the original negotiated agreement would have locked the city into a six-year contract with a cost of $95 per ton. Mayor Turner then proposed a two-year offer at $104 per ton in case market conditions improve. Waste Management then countered with a deal that would have cost $11.5 million over three years, including $7.6 million over the first two years.
Editorial: Cutting trash: Long-term sustainability shouldn’t be sacrificed for short-term savings.
Source: Houston Chronicle, March 11, 2016
Mayor Sylvester Turner did say that Houston would have to sacrifice, but who could have guessed that recycling bins would be the first to face the potential incinerator? After all, if you look back a few years ago, City Hall was actually making money from its recycling contract with Waste Management.
City of Houston rejects Waste Management’s recycling contract, seeks alternatives
Source: Laura Furr, Houston Business Journal, March 11, 2016
Mayor Sylvester Turner and the Houston City Council rejected Waste Management Inc.’s (NYSE: WM) recycling contract and are seeking other bidders, various media reports confirm. Turner said the Houston-based recycling services provider had submitted an $18 million contract, up several million dollars from the previous one, that would last six years, according to Houston Public Media. The mayor said he proposed to share the increased contract cost with Waste Management or gain a contract for a shorter amount of time, but negotiations were unsuccessful. … Under the company’s rejected contract, the city of Houston would pay $95 per ton to process and resell Houston’s recyclables for at least four years, according to the Houston Chronicle. The current contract charges only $65 per ton. Turner had proposed paying $104 per ton for one year, but that contract was rejected by Waste Management, according to the Chronicle. …
More customers step up to complain against Houston trash company
Source: Keli Rabon, KTRK, August 17, 2015
From Spring to Sweeny, Jersey Village to the Galleria, customers of Houston-based Waste Corporation of America, or WCA, say they pay good money for trash pick-up, but they’re getting rotten service in return. … On Thursday, ABC-13 exposed WCA’s inconsistent pickups and unresponsive customer service. Of the 38 Houston-area complaints WCA customers filed with the Better Business Bureau in the last year, 23 remain unanswered. … “It’s overflowing, plastic bags are laying on the ground, feral cats are digging into them,” Taliaferro said. Like many customers we’ve talked to, he’s tired of paying for a service he can’t count on. “WCA’s maximizing their bottom line, at the expense of the customers,” Taliaferro said.
Residents accuse Houston trash company of taking their money, leaving their trash
Source: Keli Rabon, KTRK, August 13, 2015
When Spring resident Sena Bethke hauls her trash can to the street on pickup day, many times she pulls it back home still full. “Rotten shrimp, crab legs, oysters, cat litter,” Bethke says. “Sitting out in a hot can for a week or two, it’s nauseating!” A few months ago, Bethke’s trash provider, Royal, merged with trash-giant Waste Corporation of America, a Houston-based company serving 300,000 local homes. … Bethke pays for once-a-week pickup, but at times she’s waited more than two weeks for WCA to take her trash. And when she called to complain, Bethke says she received more excuses than answers. … From Magnolia to Brazoria, WCA customers have complained to the Better Business Bureau about similar problems. Of the 38 Houston-area complaints filed in the last year, 23 remain unanswered.