The Mayor’s Office and Meridian Waste have reached a mutually agreeable resolution regarding the Northside (Area II) residential solid waste contract, avoiding legal action and ensuring long-term service stability. The resolution includes a compensation agreement that will be presented as a one-cycle emergency bill at tonight’s City Council meeting, where it will be reviewed and potentially adopted.
The agreement focuses on several key objectives: guaranteeing high-quality waste services for the Northside, minimizing the financial impact on the fiscal year 2024-2025 budget, preventing costly and time-consuming litigation for both parties, and improving the rate review process for future administrations.
The proposed contract amendment includes the following key provisions:
- Contract Extension: The term of the contract will be extended by six years, now expiring on September 30, 2033. This extension will bring long-term stability to budgeting and planning for both the City and Meridian Waste.
- Locked Base Rate: The base rate for solid waste services will be set at $22.39 per unit for FY 2024-2025, with annual adjustments based on the Consumer Price Index (CPI), capped at 5% per year for the remainder of the contract.
- Rate Review Elimination: The amendment removes the Rate Review process in all subsequent years, saving hundreds of staff hours across multiple City departments and streamlining the overall process.
- Deferred Payment: A portion of the base rate payment ($1.03 per unit) will be deferred for a 12-month period (Oct. 1, 2024 – Sept. 30, 2025) until October 31, 2025. This deferred payment plan will help with budgeting for FY 2025-2026 and minimize the impact on the City’s Reserve Funds. Meridian Waste will receive a retroactive payment for services rendered from Oct. 1, 2024, to Mar. 31, 2025, by April 30, 2025.
- Community Partnership Investment: Meridian Waste will contribute $150,000 over the next three years, starting in FY 2025-2026, to support various City initiatives, including economic development, health services, human services, environmental projects, and beautification efforts.
Mayor Donna Deegan expressed appreciation for the collaborative effort with Meridian Waste, highlighting that the agreement ensures long-term financial stability for the City while maintaining the high-quality services that residents depend on.
“Together, we have made this process more efficient for future administrations and councils, delivered long-term financial stability for all parties, and ensured that Meridian Waste will continue providing the same high-quality service that our citizens have come to expect,” said Mayor Deegan.
Dave Shepler, Meridian Waste’s Area President for Florida, emphasized that the company views the contract as a partnership and believes the amendment supports both the City’s and the company’s goals for long-term, fiscally responsible service to the Northside.
It’s important to note that the proposed changes only affect the Area II (Northside) Residential Solid Waste Contract and will not impact the services or contracts for Area I (Westside) or Area III (Southside).
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