The City of Ann Arbor has entered into a franchise agreement with Waste Management of Michigan to collect refuse dumpsters and roll-off containers from commercial, industrial, and institutional throughout Ann Arbor. Participation in the franchise is required as of July 1, 2011 unless exempted from the franchise (see below).
PROGRAM BACKGROUND
There are several reasons that the city is entering into this franchise agreement:
- Low Costs: Costs for almost everyone will go down. Through the competitive bid process that led up to the franchise, the city was able to leverage all commercial accounts within the city to get rates that would produce cost savings. Franchise rates are shown here.
- Cost Stability: The franchise contract is a multi-year contract of up to 10 years, with very strict limitations on cost increases. For example, there will be strict limits on what is allowed for fuel escalation
- Service Quality: Waste Management is currently the largest private service provider in the Ann Arbor area. They have been able to accomplish this in part by providing a quality service for their customers. In addition, under the franchise contract, there will be another level of compliance that the company will need to meet in addition to their standard procedures.
- Infrastructure: Implementation of the contract will mean fewer trucks on the road, which will reduce street maintenance costs and degradation, such as potholes.
- Environment: Fewer trucks on the road also means cleaner air.
This franchise program was carefully reviewed by a Commercial Recycling Implementation Committee that was comprised of business members from throughout the community. They were closely involved with the process that led up to the franchise, as well as the development of the rates themselves. The committee recommendations were used by City Council in their evaluation leading up to the approval of the franchise contract and the franchise rates.
The franchise is a program that is enabled by State law. The city ordinance that set up the franchise can be viewed here.
Under the franchise, all non-residential properties that need refuse dumpster service will be required to use the city franchise. The service will be provided by Waste Management, while the quarterly billing will be handled by the city.
FRANCHISE EXEMPTION
Regional and national chains that do not control their trash arrangements locally may be exempted from the City Waste Franchise. For more information on exemptions, please see the FAQ sheet here. For an exemption application, click here.
NON-PROFIT RATE EXEMPTION
Non-profit customers that are that are classified as 501(c)(3) and are further defined as public charities under 509(a)(2) may qualify for refuse dumpster service at no charge. These types of organizations must meet two tests under IRS rules to be given a 509(a)(2) classification. See page 35 of the IRS Non-profit categories attachment (72-page PDF) for a discussion of this type of non-profit. Churches, Educational Organizations (schools or colleges), hospitals, and governments are defined as 509(a)(1) organizations and are not exempt from refuse dumpster fees.
SPECIAL EVENT RATES
Special event dumpster rates and service options are here (new web page).
CUSTOMER FEEDBACK
If you have any questions or comments about this program, please do not hesitate to contact the Customer Service Center at: 734-99-GREEN or customerservice@a2gov.org.
For questions about your dumpster service once the dumpster has been placed at your location, please call 99-GREEN (734-994-7336), and select the option for Commercial Dumpster service, followed by the option to speak with an agent regarding non-billing related service issues or concerns. Making these selections will connect you directly with Waste Management.
ADDITIONAL INFORMATION