Recycling deal breaks down in Wayne, but here's why pickups will resume anyway
WAYNE — A multi-year deal between the township and a Jersey City-based waste hauler blew up at the last minute, causing officials to hire their old service provider for recyclables pickup on an emergency basis.
The Township Council at its most recent meeting awarded a $5.9 million contract to Joseph Smentkowski Inc., also known as Galaxy Carting Co. After a two-week lapse in the pickup schedule, residents were told that the service would begin again on Monday morning.
How we got here:Wayne residents left holding the bag as recyclables pickup is temporarily suspended
Pickup resumed, as promised, but it was not Galaxy that handled the work.
A pink garbage truck owned by Get-A-Can Inc., an affiliate of Gaeta Recycling Co., made its way around a 3rd Ward neighborhood, east of Black Oak Ridge Road, shortly before 8 a.m.
Galaxy did not post a performance bond or provide proof of umbrella insurance coverage, said Mayor Christopher Vergano, adding that the township could not allow the company to start the pickup duty for that reason.
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“If they don’t have the insurance,” Vergano said, “we become responsible for everything. We couldn’t take on that liability.”
As a result, Vergano said, Gaeta agreed on Friday afternoon to perform the pickup service through the end of June at a rate of $154,500 per month — the same price agreed on by Galaxy. Collection includes cardboard and paper, plus commingled glass, metal and plastic.
The council will consider a resolution to award the emergency contract to Gaeta at its meeting on Wednesday night.
Gary Giordano, the president of Galaxy, did not respond to a request to comment on Monday.
The council rejected three bids by Paterson-based Gaeta to continue providing the pickup service as its prior contract was expiring in October.
It was the only interested hauler, initially offering a rate that was 151.4% above the price of its former contract. It later reduced that amount, but not enough to satisfy Wayne officials, who reached out to other service providers and eventually negotiated a contract with Galaxy.
Michael Portannese, the president of Gaeta, said his offers to the township were fair and that the price he settled on is “too cheap to do the job.” His last proposal, before Friday’s eleventh-hour agreement, was $177,600 per month.
“I’m taking a $22,000-a-month hit for the next six months,” Portannese said.
Officials will meet with Portannese to discuss reducing the number of garbage trucks used to provide the service to the township’s 16 pickup zones as a possible way to save on expenses in the future.
The township’s recycling center at 201 Dey Road has extended its daily hours to 5 p.m. through Jan. 14.
Philip DeVencentis is a local reporter for NorthJersey.com. For unlimited access to the most important news from your local community, please subscribe or activate your digital account today.
Email: devencentis@northjersey.com
This article originally appeared on NorthJersey.com: Wayne NJ recycling deal breaks down, but pickups will resume
