Jefferson City residents using Allied Waste services will see an increase in their monthly bill. City officials met with Allied Waste Management on Monday, October 7 and approved a 3% increase to the city’s residential service costs.
The new agreement will affect all residents using Allied Waste services. Costs will vary depending on what container the residents use. For example, people with a 64-gallon waste container will see a projected cost increase of $6.23 per year.
The U.S. Department of Labor’s annual Consumer Price Index report determines what increases can be made between Allied Waste and the City of Jefferson. Nearly 12,000 households will be affected by the newest increase.
City Attorney, Drew Hilpert, says increasing costs are part of an annual agreement with the Waste management company, but using the CPI wasn’t the original plan.
“Allied Waste favored a gas surcharge – so when gas went up they could charge more,” Hilpert said. “The city, at the time, preferred not [to use that standard]. They preferred more stability than that.”
The CPI report gave Allied Waste the chance to impose a 4.4% increase, but a suggestion from Mayor Eric Struemph and a discussion about the economy led to a lower increase.
“Allied has been a pretty good corporate partner, and they understood [the request for 3%].” Hilpert said.
According to Hilpert, Allied Waste has the right to raise costs each year without any benefit to the city. The increased service costs will begin during November’s billing cycle.