Dive Brief:

• The city of Indianapolis, IN is being sued by two companies and a resident over a recycling contract and the construction of a new recycling facility.
• In August, the city awarded a $112 million recycling contract to Covanta. Plaintiffs allege Indianapolis violated bidding and public notice requirements in the process.
• Those who filed the lawsuit want to put a stop to the city’s agreement, including plans to construct the $45 million state-of-the-art recycling complex.

Dive Insight:

The lawsuit alleges the city did not hold a proper hearing about its intended plans and that public comment during a city board meeting does not constitute a hearing. It accuses the city of a failure to release a potential agreement or terms before the meeting took place. One council member said he noticed “a pattern of lack of transparency.” “We are perfectly within our legal right to amend our contract with Covanta,” responded a spokesperson for Indianapolis’ Department of Public Works.

But the Indiana Recycling Coalition, an recycling advocacy group, said that it “believes a competitive process would result in a waste disposal and recycling contract that would be much better for taxpayers, for recycling and for job creation.”

Covanta, for its part, says it plans to move forward with the project. The company is currently in the midst of securing permits, and the new recycling plant is expected to be operational by 2016.