Ann Arbor OKs Recycling Contract

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At its Nov. 10, 2011 meeting, the Ann Arbor city council voted to ratify a revision to its contract with RecycleRewards (parent company of RecycleBank), starting Dec. 1, 2011. Under terms of the new contract, Ann Arbor’s base payment to RecycleRewards will be reduced from $0.52 to $0.35 per household per month. Annually, that translates to a reduction from $149,244 to $100,455.

Under the contract revision, RecycleRewards will receive a $50 per ton incentive for any increase above 11,332 tons – that’s the amount collected in the first year of the RecycleRewards program (Sept. 1, 2010 to Aug. 31, 2011). However, even with possible incentives, the city’s payment is limited to a maximum of $150,000 in any fiscal year.

At its Sept. 19 meeting, the council had made the decision to direct city staff to renegotiate the new contract, after weighing the possibility of terminating it.

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron. A more detailed report will follow: [link]