Cape Coral, Waste Pro settle lawsuit as residents get lower trash fees

Luis Zambrano, Fort Myers News-Press
·3 min read

Cape Coral residents can expect a decrease in solid waste fees with the city and Waste Pro agreeing to settle a lawsuit arising from the city alleging that the company had breached its contract because of missed trash pickups.

City Manager Roberto Hernandez told The News-Press the city will pass along savings the city will realize from the settlement and reduce annual solid waste bills by $5.80 this year and by a "similar amount" next year.

Waste Pro filed a lawsuit in March seeking to overturn the city's assessment of more than $1.1 million in penalties for missed rubbish collections and get full payment on service for December 2021 for yard waste collection.

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Cape Coral councilors appointed Rob Hernandez as its next city manager.
Cape Coral councilors appointed Rob Hernandez as its next city manager.

Hernandez signed a memorandum of understanding between the city and Waste Pro. The city council voted unanimously Wednesday to approve the MOU.

"We’re pleased to put this issue with Waste Pro behind us. We are looking forward to working with Waste Pro in ensuring that their services meet the expectations of our residents and businesses," Hernandez said.

Waste Pro was unavailable for comment.

Hernandez said during Wednesday's meeting that there was $2.6 million held in dispute by the city, and the city agrees to release more than $1.7 million in withheld payments to Waste Pro.

The city would retain $416,394 representing a customer service rebate, $183,727 in franchise fees, and $308,069 for equipment and expenses incurred by the city in removing horticultural waste.

The city started experiencing problems with garbage, recycling, and bulk items pickup as residents complained about missed pickups in March 2021 and again in January 2022.

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A Waste Pro garbage truck collects trash along a neighborhood south of Cape Coral Parkway Monday, April 5, 2021. Cape Coral residents have been upset with their trash not being picked up.
A Waste Pro garbage truck collects trash along a neighborhood south of Cape Coral Parkway Monday, April 5, 2021. Cape Coral residents have been upset with their trash not being picked up.

The bulk of the penalties was due to missed household pickups, and the contract between Waste Pro and the city also provides for administrative penalties.

Administrative charges were levied by the city starting at $250 per missed collection, escalating between March 26 and May 31 to $750 for some missed collections.

Last October, Cape Coral City Council rejected Waste Pro's payment offer to settle the dispute about administrative fees outside of court.

A Waste Pro garbage truck collects trash along a neighborhood south of Cape Coral Parkway Monday, April 5, 2021. Cape Coral residents have been upset with their trash not being picked up.
A Waste Pro garbage truck collects trash along a neighborhood south of Cape Coral Parkway Monday, April 5, 2021. Cape Coral residents have been upset with their trash not being picked up.

Cape Coral and Waste Pro entered into a contract in 2010 that named the company as the exclusive waste services provider. The contract runs until Sep. 20, 2027.

The city estimates that the total assessment for collection services amounts to $254.75 per dwelling unit, a 15% increase from the current $220.72.

Bill Jones, division vice president at Waste Pro for Fort Myers and Cape Coral, said during the meeting that fuel and labor are contributing to increasing costs.

Waste Pro will also continue its pilot bulk waste drop-off site, a complimentary service where residents can drop off bulk trash, until Sept. 30, 2024, and will not charge for these services between October 2022 and the end of September 2023.

Luis Zambrano is a Watchdog/Cape Coral reporter for The News-Press and the Naples Daily News. You can reach Luis at Lzambrano@gannett.com. Follow him on Twitter @Lz2official.

This article originally appeared on Fort Myers News-Press: Waste Pro, Cape Coral settle lawsuit