Debate about the city's multi-unit recycling program turned heated Monday night, as councillors faced off about how much users should pay and the role of Cosmo Industries in the multimillion-dollar contract.
The city had previously indicated the multi-unit residential collection contract would go Cosmo as part of a nine-year deal at a cost ranging from $13.5 million to $16 million, although the city manager pegged the cost as high as $17 million.
When it came time to approve the deal Monday the biggest issue was projected annual shortfalls that could reach $1 million by 2019, a concern that fuel a back-and-forth debate that saw proposed cost for multi-unit dwellers changed three times in three hours.
Multi-unit dwellers were originally set to pay $2.50 monthly for recycling, but the cost to the city would come in at $4.66 per month, with most of that going to Cosmo Industries, something that would result in a shortfall for the city. How that shortfall would be covered has yet to be decided.
But in a 6-5 vote council raised the price to $4.66 a month following a motion by Coun. Ann Iwanchuk. Iwanchuk was concerned that residents of single-family homes, who are already paying that amount for recycling, should not have to subsidize any shortfall created by the multi-unit program through property taxes.
Just as quickly however the tide turned as Coun. Tiffany Paulson, who had opposed the price hike, spoke up about breaking a promise to condo owners.
“I am embarrassed actually about that. There was no notice to them and frankly I want nothing to do with a unilateral increase,” Paulson said.
That resulted in four councillors backtracking on their support for the increase, including Coun. Pat Lorje who explained her vote this way: “I voted for it because, quite frankly, I didn’t really think that it would pass.”
The end result of the wrangling means multi-unit dwellers pay $2.51 monthly for recycling.
But the length of the deal, the estimated price tag and concern over the funding shortfall meant support for the agreement wasn’t unanimous. Council voted 7-4 to enter into the agreement with Cosmo with councillors Darren Hill, Charlie Clark, Mairin Lowen and Zach Jefferies opposed, saying it was not a good use of taxpayers’ money.
“I voted against this program because I don’t think it is the best use of $17 million over nine years,” said Hill, who reiterated his support for the work done by Cosmo and had suggested the city provide an annual $400,000 grant tied to inflation instead of the recycling contract.
