Greenwood homeowners will pay a bit more for trash services come March, then November, then every year through 2023, but the difference will be enough to get the city’s growing waste management department out of the red.
If approved, homeowners would pay $15.70 a month starting March 1, up from the $14.97 a month they pay now, according to city documents. That rate is the same for all residents regardless of their home’s value.
City council members are considering the change. The council voted 8-1 to raise the rates at its Monday meeting, and will vote again on the proposed increases Feb. 3. If it passes during that meeting, it will take effect March 1.
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The rate would jump again in November, to $16.45 a month, then again in November 2021, 2022 and 2023. Eventually, it would cost a Greenwood homeowner $18.60 a month for the city to collect trash and recycling, and remove leaves and tree limbs from their properties, a free service the city has long provided to its residents.
City officials argued Greenwood homeowners pay less through the city’s service than they would in other areas of the county, or if they contracted the services on their own. Wright used his own home in White River Township as an example, saying he pays about $26 a month for trash and recycling services that does not include leaf and limb pickup.
The city contracts with Indianapolis-based Best Way Disposal for its services, which it provides to homeowners at a rate above what the city pays, which is currently $9.95 a month per home.
That difference funds the city’s waste management department.
The waste management department’s budget is for about $3.6 million this year, which includes debt service payments on leases for grapple trucks, a tub grinder, leaf machine, dump truck with a plow and 3/4-ton truck with a plow, all new equipment the city had to buy as its rapid growth continues; Greenwood adds about 1,000 new residents a year. The city expects to bring in about $3.4 million in revenue.
“As you can see, we’ve got a little bit of a shortfall that we’re using cash for this year,” said Greg Wright, city controller.
The rate increases would generate an additional $200,000 a year, city documents said, which is needed if the city hopes to keep up with its growth, Wright said.
“As the leaf and limb pickup has continued growing in utilization by our customers, and Greenwood has continued growing as well, we are anticipating that we will have to add more full-time employees in the future, which will include paying benefits as well,” Wright said.
“Additional employees will also necessitate additional equipment for them to use, so we are anticipating that this proposed rate change will position Waste Management to handle that growth.”
Council member Ron Bates voted against the proposed rate increases.
“First, this does not take into consideration the most vulnerable of our citizens — our seniors. Many, if not all, of them are on a very limited and tight budget,” Bates said.
“Secondly, it does not take into consideration the most recent housing developments. It would take years for these (homeowners) to utilize leaf and limb pickup. Why do these residents have to pay for a service that they do not need?”
Bates suggested the city get out of the “scavenger business,” as he called it, and allow homeowners to arrange their own trash service.
“This would create competition and keep the costs down,” Bates said.
Council member Linda Gibson, who has lived in the community for decades, said before the city started providing trash services, homeowners were paying more for individual contracts.
“I don’t have a child in school, but I’m still expected to pay school taxes because when my kids were younger, there were other seniors who were paying for those services. It’s part of being a city; there are a lot of things that we do use and a lot of things that we don’t,” Gibson said.
Council member Bob Dine asked city leaders what the city would lose if the council does not approve the rate increase.
“We really can’t afford to cut a position because we do need people out there doing the work,” Wright said. “The first thing to go would be capital, so we would be using ancient equipment longer.”
Most council members agreed the city’s leaf and limb service is something that’s not an option, and certainly not free, in other communities.
“I think the flip-side for the seniors is they might not use a lot of the trash service, but they probably rely more on the leaf and limb,” council member Dave Lekse said.
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Here is a look at proposed monthly trash service rates in Greenwood:
Current: $14.97
March 1: $15.70
Nov. 1: $16.45
Nov. 1 2021: $17.22
Nov. 1 2022: $18.02
Nov. 1 2023: $18.60
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What: Greenwood City Council
When: 7 p.m. Feb. 3
Where: Council chambers, Greenwood City Center, 300 S. Madison Ave.
Why: Second and final vote on trash service rate increases
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