San Angelo

This Open Letter: To the Citizens and Business Owners of San Angelo, and related RFP and rate analysis review for solid waste and recyclables collection services is prepared by TDS. The purpose of this detailed communication is intended to provide a clear and thorough understanding of the numerous issues surrounding the City's mismanagement of its first ever known competitive bid process for solid waste and landfill management services, and the City's subsequent decision to ignore all other competing proposals worthy of consideration and to negotiate higher rates for residential, commercial and rolloff services that were proposed by the competing RFP respondents. The information raises an important question – Did the Mayor, City staff and certain council members violate the public's trust, and have they taken inappropriate steps to cover it up? We urge you to read the following Open Letter and its attached review, and review the most recent news articles (2015-03-282015-04-252015-04-27) and decide for yourselves.

 

2016 Proposed Changes to Service

 

2015 Mayoral Candidates Discuss the Trash Contract

 

Documents and Presentations regarding new Republic Contract

 

Documents presented at June 30, 2014 press conference and at July 1, 2014 City Council meeting

 

Fact Sheet related to San Angelo, Texas Soild Waste Services

 

Overcharge Information

Overcharge Estimator

A Fuel and Environmental Recovery Fee is included on monthly invoices sent by Republic Services to Acme Iron & Metal Company and other commercial businesses located in San Angelo. This tack-on fee currently totals 33%, of which a substansial portion of the fee is collected and kept by Republic Services. TDS discovered and investigated this fee during the recent request for proposal process, and publically announced its findings on March 21, 2014. In May 2014, TDS released estimates showing the fee resulted in $7,900,000 - $9,200,000 in unauthorized overcharges to San Angelo businesses over the course of the last 14+ years. The following documents explain TDS' estimate of the total amount of unauthorized overcharges charged by Republic in San Angelo, and also point out other recent overcharge activities in Texas by Republic and its predecessor company, BFI.

 

Litigation Related to Overcharges by Republic

Acme Iron & Metal Company and Mayfield Paper Company, Inc. v. Republic Waste Services of Texas

Republic Waste Services of Texas v. Texas Disposal Systems, Inc.

Information Related to RFP Response

Until February 2014, San Angelo’s solid waste collection and disposal services had not been competitively bid out in over 37 years. Had it not been for TDS' calls upon the City to bid out these services, the City and its staff would have likely just continued their long standing relationship with Republic through extension options of the 2004 contract. The absence of this request for proposal process would’ve denied the citizens and businesses of San Angelo an opportunity to evaluate improved services and competitive rates for residential and commercial services. The following documents are related to the proposal submitted by TDS in response to the solicitation, and the City’s subsequent bungling of the overall process.

 

Contracts & Ordinances

The City of San Angelo’s relationship with Republic Services and its predecessor company, Trashaway Services Inc., extends for decades. This relationship exists through a contract, which, requires both the City of San Angelo and Republic to perform certain duties and responsibilities. It has become clear that the City did little, if any, contract administration, and that Republic billed and collected millions of dollars in unauthorized charges over the course of 14+ years. With an understanding of the known facts as they currently exist, one can arrive at the conclusion that neither the City nor Republic met all of their contractual responsibilities. The following information includes copies of the current and previous contracts between Republic and the City of San Angelo, approved rate ordinances, and recent open records requests for copies of required reports from Republic.

 

Hauling Permit Information

The City of San Angelo requires companies to obtain a City permit to collect and transport solid waste and recyclables within the City limits. TDS attempted to obtain such a permit in 2003; however, the City returned the TDS permit application without consideration or explanation. Oddly enough, this occurred during the months leading up to the City’s award of an exclusive contract to Republic for commercial waste collection services in 2004. TDS made a second attempt to obtain a permit in 2013, which received push back from certain elected City officials who openly support Republic. Soon after being granted its permit, TDS began hauling commercial recyclables and construction waste inside the City limits of San Angelo in spring 2014. San Angelo City staff now dispute TDS' position and interpretation of State law allowing it to legally haul construction waste inside the City limits.

 

Local San Angelo News Coverage

The following coverage of the recently dubbed, “Great San Angelo Trash War of 2014”, has been published by local media and bloggers within the San Angelo region. 

 

Transition and Landfill Issues Related to City of Alpine Landfill

After ending its long standing relationship with Republic, the City of Alpine awarded TDS an exclusive contract for waste collection and landfill operation services in December 2006. The following narrative illustrates the problems TDS discovered at the City of Alpine landfill, formerly operated by Republic and its predecessor company, Duncan Disposal.