Could Sebastian cut its garbage costs by 'piggybacking' onto Indian River's new contract?
INDIAN RIVER COUNTY — Sebastian may have found a way to cut garbage-collection costs for its residents.
Sebastian's garbage collection rates jumped in 2023, from $14.42 per month to $19.45 — a 35% increase, despite services being sliced in half from twice weekly, to once weekly.
But as they were negotiating a new garbage hauler contract with Waste Management, Indian River County officials wrote in a "piggyback" clause, which allows Sebastian and other municipalities in the county to share in the county's new rates, according to county Solid Waste Director Himanshu Mehta. The contract takes effect in October 2025.
"We want to help our municipalities take advantage of our pricing and communities, and we want to help everyone benefit from the contract we just negotiated, said Mehta.
Sebastian, which already has service from Waste Management, will need to negotiate its own deal, based on the county contract, according to Mehta.
"Indian River Shores is already piggybacking, and it was even a part of the review process," said County Commission Chair Susan Adams. "It has been involved since the beginning."
The county retained Waste Management as its hauler — the same as Sebastian. The county's current rate is $11.16 per month. The new rate will be $14.02 monthly for garbage service, which is still about 28% less than Sebastian residents now pay.
Under the new contract, effective in October 2025, recycling collection will cost $4.58 per month.
New revelations
When Sebastian sought bids for its next garbage contract, it only received one response; the county received five. Waste Management, the only bidder, proposed hiking Sebastian's prices, while cutting service.
Sebastian had no choice but to agree.
"They kept telling us that the fuel costs and costs associated with operating were high," said Sebastian City Councilmember Fred Jones. "If that was the case, why a year later does the county gets a much lower price?"
Sebastian councilmembers Jones and Bob McPartlan and City Manager Brian Benton hear the County Commission discuss the "piggyback clause" Tuesday.
Negotiations between Waste Management and Sebastian potentially could reduce collection costs for Sebastian residents to $168.24 from their current $223.40, a 33% difference.
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"I am hopeful we can use that piggyback clause," said Jones. "It made me upset as a resident and a councilman. I do not know know why our prices are higher than the county's."
"I know it also made many people in our city angry. If there is anything we can do, we will."
Benton is expected to speak with Waste Management later this week or next.
"We are evaluating our current contract," said Benton. "Then I will bring what information I can before City Council."
For now, Sebastian may have to hold its breath.
"We will be doing everything in our power to have a price just like the county," said Jones. "We only have hope right now."
Nick Slater is TCPalm’s Indian River County Watchdog reporter. You can reach him at Nick.Slater@tcpalm.com and 224-830-2875.
This article originally appeared on Treasure Coast Newspapers: Sebastian garbage prices may fall, piggyback on new county garbage fee
