Dive Summary:
- Detroit, Michigan is considering privatizing its trash collection, which is anticipated to save residents up to $15 million per year, while improving services for the community, Detroit currently pays $50 million yearly for waste services.
- The city is in negotiations with Waste Management in Houston and Republic Services, based in Phoenix, in addition to reaching out to more companies to request proposals.
- 400,000 tons of waste are collected yearly, and privatization would affect the 150 employees who are employed through the city, including up to 70 drivers who would be offered the chance to stay employed by the new company.
From the article:
"A contract with a private company is likely to include more frequent bulk waste pickup; frequency was reduced years ago in order to cut costs."
"A lawyer for city unions has said that outsourcing could end up costing the city more than it is currently paying, despite the fact that the bids were significantly lower."
