JACKSONVILLE, Fla. – A proposed contract between the Jacksonville mayor’s office and trash hauler, Meridian Waste, could put an end to the ongoing contractual dispute.
The announcement came Tuesday afternoon after Mayor Donna Deegan said the two reached a “mutually agreeable resolution and compensation agreement” for the city’s northside, known as Area II.
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The proposed agreement comes after Meridian Waste threatened to sue the city over compensation issues following Deegan’s veto of the proposed 29% financial increase.
The city council voted to override Deegan’s veto and continue with the 29% increase.
Now it seems Deegan and Meridian Waste have found common ground that would provide a “long-term strategy for ensuring quality solid waste services for the Northside, minimizing the financial impact on the fiscal year 2024-2025 budget and reserves funds, avoiding lengthy and costly litigation for both parties and streamlining the archaic and cumbersome rate review process moving forward.”
“I appreciate this opportunity to collaborate with Meridian Waste on a solution that works for the city and the company,' Deegan said in a statement. ”Together, we have made this process more efficient for future administrations and councils, delivered long-term financial stability for all parties, and ensured that Meridian Waste will continue providing the same high-quality service that our citizens have come to expect for many years to come."
City Council President Randy White will introduce the proposed contract amendment during Tuesday’s meeting. If adopted, the following contractual changes would take place:
- The contract would be extended for six additional years and last until Sept. 30, 2023, with a locked-in base rate and an annual CPI adjustment capped at 5% for the remainder of the contract.
- It would eliminate the rate review process in all following years, which would save hundreds of staff hours across multiple city departments and make way for more efficiency in the future.
- The FY 2024/2025 base rate would be established at $22.39. It would also defer payment of a portion of the base rate ($1.03/unit) for a 12-month period from Oct. 1, 2024, to Sept. 30, 2025, until Oct. 31, 2025. This allows proper budgeting for FY 2025/2026 and minimizes the impact to Reserve Fund withdrawals. Meridian Waste will received a retroactive payment for services rendered from Oct. 1, 2024 through March 31, 2025, by April 30, 2025.
- It also includes Meridian Waste’s commitment to provide an in-kind or cash Community Partnership Investment valued at $150,000 divided equally over the next three years, starting with the city’s FY 2025-2026 fiscal year to benefit economic development, health, human services and environmental and/or beautification initiatives.
These proposed changes would only affect the residential solid waste contract for Jacksonville’s Northside. The Westside and Southside contracts would remain unaffected.
“Meridian Waste has always approached the contract with the City of Jacksonville as a partnership, and we believe the proposed amendment achieves the overriding goals of the Mayor, the Council and the Company to ensure the long-term cleanliness and health of the Northside while being fiscally responsible to their constituents and our valued customers,” Meridian Waste’s Area President, Dave Shepler said in a statement.