LIMA — Lima residents may have a new garbage collector for the next seven years.
Despite the “superb” job that Allied Service has done the past five years, Gary Sheely, director of utilities, announced at a news conference held by the mayor Wednesday that he will recommend Lima enter into a seven-year contract with Allen County Refuse.
The contract will begin Dec. 1 and end Nov. 30, 2021.
Allen County Refuse offered a price of $14.76 per unit per month, as opposed to Allied’s price at $14.96, according to Sheely. Allied proposed the next lowest price, which was $3 more.
The cost to Lima residents could be reduced because of the savings. Currently, residents pay $20.25 per unit per month.
Sheely said six companies expressed interest and four submitted bids, which were received June 18. Allen County Refuse gave the best price.
The trucks the city uses are a specific kind of truck that is able to handle bulk materials at the curb and that are efficient on the street, which costs $300,000 to $400,000 each. The longer contract allows the trucks, the number of which will be determined by the contractor, to be paid off by the contractor over a longer period.
Also, the trucks will run on compressed natural gas rather than diesel. The future of natural gas prices is much more predictable than diesel, said Sheely, which makes a more stable price.
Mayor David Berger said that in order for ACR to use natural gas, they have to construct a filling station, which they plan to make available to the community, which will be the first time residents in Allen County will be able to use natural gas for their cars.
Allen County Refuse will have the filling station built where its garage is, at 1601 E Fourth St., according to Dan Mathias, general manager. He said that as soon as the City Council approves the contract the company will apply to get the permits approved and then begin building.
Mathias said that it will be a tight schedule to have the filling station built before December but the company building it assured him that it will be done on time.
Sheely will present his proposal to the City Council on Monday for it to approve.