LANCASTER – South Glengarrians will continue to have their garbage picked up by HGC Management through October 2020 while the township goes through a comprehensive waste review.
Council decided last night (Tuesday) to extend the contract at roughly $37,000 a month until the end of October next year.
The original plan was to extend it until June 1, 2020 but the majority on council thought recycling should also be reviewed to see if there is a saving by harmonizing the two contracts. The recycling contract doesn’t expire until November.
The four year, $2 million garbage deal (2019-2023) had two bidders – HGC Management and Environmental 360 Solutions – but was defeated in May after Deputy Mayor Lyle Warden raised concerns bag limits hadn’t been addressed by the new council. Warden would like to see a two (2) bag limit. The current limit is eight (8).
Both bidders objected, sending lawyer’s letters to the municipality, but the township had received a legal opinion that it did nothing wrong. It’s “very clear” that the “tender process was terminated” absolving the township of any liability, Infrastructure GM Ewan MacDonald explained to council Tuesday night.
The monthly cost is around $37,000 and there is $490,000 in the budget for garbage collection.
With HGC honouring the price in the old contract through October next year, Coun. Sam McDonell noted that it will be financially beneficial while the review takes place. The previous deal was cheaper than the lowest bid on the new contract.