Irvine extends Waste Management contract with glowing approval

The Irvine council directed city staff to negotiate a contract extension with Waste Management Inc., the city’s disposal service since 1985, citing

a 30-year history of excellent service at a price guaranteed to be the lowest in Orange County.

The unanimous vote grants the company another term of 10 years or more beyond the expiration of the current deal in 2017.

“To sum it up, don’t fix it if it ain’t broken,” said Mayor Steven Choi.

The directive circumvents the more standard process of soliciting competitive bids for city contracts but is consistent with how Irvine has dealt with disposal services in the past.

“Normally I’m opposed to contracts without going out to bid,” said Mayor Pro Tem Jeffrey Lalloway, who’s served on the council since 2010, “but Waste Management has been such a great help in the community, such a good corporate partner.”

The current contract provides for Waste Management exclusivity in residential and “village” commercial garbage collection, or businesses that are connected to residential areas. The deal guarantees residents a collection rate that is the lowest in the county and businesses a rate that is among the lowest one-third. The franchise fees paid to the city over the 10-year deal were estimated to bring in an average of $212,000 in annual revenue.

Twenty-two other waste disposal companies registered in Irvine are eligible to contract for larger commercial and business zone collections.

By extension, Waste Management has essentially been the residential garbage service for much of Irvine’s existence. The city was incorporated in the 1970s. The company acquired the previous collection provider, Dewey’s Rubbish, in 1985.

Public discussion of the motion consisted only of a representative of Waste Management presenting a public relations video outlining the company’s commitment to community service and evolving techniques designed to comply with newer state regulations on recycling and renewable energy initiatives.

Noting that she had not received one complaint about trash collection in her 15-years as an elected official in Irvine, Councilwoman Beth Krom expressed her support as long as the negotiated agreement passed council approval.

“I wouldn’t want to go out for a request for proposal (from other companies) because we felt we had to,” Krom said, “because this is a specialized service, we are a growing city and we want to maintain excellence.”

Councilwoman Christina Shea agreed that the business has been an asset to the city.

“Having the longevity of a contract with a firm such as Waste Management in this particular field is very important,” she said.