After years of corruption and mismanagement, the small, blue-collar city south of Los Angeles fired almost all of its employees, dismantled its police department and contracted with a neighboring city to take over most municipal tasks. As the city drowned in deficits and faced multiple lawsuits, city leaders saw outsourcing as a light at the end of a collapsing tunnel.
Critics of privatization have pointed to initial problems with the new collection service as evidence that the trade-off for the potential cost savings will be lower quality service. But by doing so, they have demonstrated precisely why they are wrong. It is far easier to hold private contractors accountable for their service deficiencies than government departments.
Furthermore, private contractors have to perform to the standard spelled out in their contract. Garbage collection is a major political issue in Toronto.
Mayor Rob Ford campaigned on privatizing garbage collection west of Yonge to both save money and to avoid having the government held hostage by the prospect of another strike. Needless to say, his pitch was successful.
The company also provides waste collection services in Hamilton and Durham.
While privatization is the rule in Fort Worth, Dallas holds just as strongly to its conviction that garbage collection is best managed in-house, although the city does contract out . Sep 05, · Michigan Gambled on Charter Schools. Its Children Lost. Free-market boosters, including Betsy DeVos, promised that a radical expansion of charter schools would fix the stark inequalities in the. Does Privatization Serve the Public Interest? John B. Goodman; Privatization , Fifth Annual Report on Privatization The public’s goals for private garbage collection.
This is a strong incentive for GFL to perform up to the agreed-upon standard. The hotline illustrates one of the biggest benefits of outsourcing, however: If the company damages property, it will be held accountable try getting compensation from negligent city workers.
And if the company does not meet its obligations, it will be in breach of contract. If a city department does a poor job, it is unlikely anyone will be fired with the possible exception of a department head as a symbolic gesture.
In fact, they generally receive annual raises regardless of performance. That is not a recipe for high performance service delivery. Several other Canadian cities rely heavily on private contracting for waste disposal services. According to a report from the C.
Howe Institute, Ottawa had the lowest cost per resident for waste services of the nine largest Canadian municipalities inand Winnipeg has the second lowest cost.
Outsourcing municipal garbage saves money and strengthens accountability. It is far easier for the municipal government to crack down on poor service from a private provider than it is to crack down on poor service from one of its own departments.
The trade-off between cost savings and quality services is a false dichotomy.
Good incentives will lead to good services. This is precisely what outsourcing garbage collection provides.Advanced Disposal (NYSE: ADSW) brings fresh ideas and solutions to the business of a clean environment. As the fourth largest solid waste company in the U.S., we provide integrated, non-hazardous solid waste collection, recycling and disposal services to residential, commercial, industrial and construction customers across 16 states and the Bahamas.
Sep 05, · Michigan Gambled on Charter Schools. Its Children Lost. Free-market boosters, including Betsy DeVos, promised that a radical expansion of charter schools would fix the stark inequalities in the. Editor’s Note: The following commentary by Bart Begley, President and CEO of Brolin Enterprises, makes a case for why municipalities should be more open to privatizing waste collection services.
The current economic downturn not only has spurred the private sector to cut costs, it also has pushed municipalities to re-evaluate operating budgets. Privatizing refuse collection and disposal would be a great place to start.
Steven T. Khalil is a Detroit businessman, freelance writer, and adjunct scholar with the Mackinac Center for Public Policy. _____ Privatization Sidebar.
The city of Detroit houses its refuse collection and disposal within the confines of its Department of Public Works (DPW).
But come nightfall, private haulers collect the commercial trash, often working at breakneck speeds with few protections for workers.
(Michael Santiago for ProPublica) Trashed: Inside the Deadly World of Private Garbage Collection Waste removal is one of the most dangerous jobs in the country. It heated up again recently when the private-sector oriented National Solid Wastes Management Association (NSWMA) issued a report that argued that privatizing the collection and processing of waste and recyclables can produce cost savings of 20 percent to 40 percent.