City council voted Monday to approve text amendments that revise Centerville Municipal Code and increase the rates, which have not increased since 2006.
Residents’ taxes do not fund the city’s collection efforts.
“The Waste Collection fund pays for the city’s waste and recycling program,” said Patrick Turnbull, Centerville’s director of public works, during Monday’s meeting. “It’s an enterprise fund.”
An enterprise fund is a self-supporting government fund that sells goods and services to the public for a fee.
By design, with an enterprise fund, the revenue should match the expenses, Turnbull said. However, a cost-of-service study from the end of 2021 indicated revenue from the Waste Collection fund is no longer covering expenses for both labor costs and reinvestment in waste and recycling vehicles, Turnbull said.
“We really need some additional revenue to support that reinvestment in our fleet as well as covering our costs,” Turnbull said.
The city’s Waste Collection fund balance sustained itself until now by the city deferring, for many years, reinvestment in its waste fleet and container replacement, he said. The city also subsidized the Waste Fund by paying for some operating and capital expenses with the General Fund, officials said.
A Cost-of-Service Study also showed that in two years, the city would be low on cash and falling below the recommended 25% fund balance even at its current level of investment.
Residents who cannot afford waste collection may apply for a hardship exemption, which is income-tested via Centerville’s finance department, Turnbull said. Information about that is available at www.centervilleohio.gov/government/waste-recycling-collection or by calling 937-428-4746.
The city will use the Cost-of-Service Study to annually evaluate the financial health of the Waste Collection Fund and determine if the current waste and recycling rate covers all costs.
Service provided by the waste fee will not change and will continue to include:
- Weekly waste and recycling pick up
- Clean Sweep, the city’s annual bulk pick up
- A minimum of four scheduled leaf collections
- Christmas tree pick up
- Free designated brush drop off at the Public Works Department
- Houseline collection for residents with mobility challenges
- Hardship rate exemption for residents with low incomes
- Vacation credits
- No-cost container replacement once it reaches the end of its life
- 5% rate discount if pre-paid annually
- Recycling education through the city’s Recycle Right campaigns, social media and newsletters
- Customer service
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