Yorktown, N.Y - Three resolutions regarding the change in the town’s garbage hauler were passed at last week’s Town Board meeting.
The first authorized the termination of the contract between Yorktown and Competitive Carting Corp (CCC); the second authorized an emergency contract between the town and CRP Sanitation; and the third allowed for a licensing agreement that permits CRP to rent two town-owned packers for the week.
The resolution establishing the termination stated that the termination was effective Sept. 1, four days before the meeting. The document states that the termination was enacted due to multiple breaches in contract which CCC failed to cure in a timely manner. It also noted that further breaches were made when the hauler was left unable to perform its services after five of their trucks were repossessed last month.
The emergency contract with CRP, which came into effect on Sept. 5, will last one full year for a cost of $4,296,000 with monthly payments of $358,000. The contract specifies that the hauler will not be able to refuse picking up refuse and recycling based on the size of containers left out; a problem that came up with CCC.
Lastly, the agreement to rent out the trucks for the week comes with fees for CRP to pay in their first full week on the job: $195 an hour per truck for eight hours in a given day, or $230 per hour per truck if they surpass an eight-hour day (work overtime).
The decision to award the emergency contract came up at an emergency town board meeting on Sept. 1 where members of the board met with CRP and representatives from AAA Carting to vet and interview the two companies. Behind the scenes, however, AAA’s lawsuit against the town is still in effect.
Supervisor Tom Diana said that there were multiple different options that were negotiated between AAA and the board. Among them were AAA requesting a $250,000 startup cost, jumping between an emergency contract to a five-year contract, new bid specs, and specs from last year’s bidding process. Pat Cartalemi Jr. of AAA said at the meeting that the company bid $4.23 million for the first year of their contract, which would run through next Sept.
If the bid was to be awarded to AAA, they would have allegedly dropped the lawsuit.
Money talks
Diana listed the monetary aspects of the situation following a pattern of questions asked during the meeting’s courtesy of the floor.
The town was to pay $3,456,789 to CCC for their services in 2023, resulting in monthly payments of $288,000 monthly. According to Diana, the town paid for seven months of the year, amounting to $2,016,460.25. This leaves $1,440,328.75 left over in the garbage contract.
In the month of July, the town issued violation notices to CCC fining them for breaches in contract. The first, on July 6, was for $58,5000. Just over two weeks later, the second was issued on July 26 for $96,000; a combined total of $154,500 in fines. Diana told Yorktown News these fines are being deducted from CCC payments.
For the month of August, there is a cost reduction for the three days CCC did not work which amounts to $39,886, according to Diana.
Additional fees listed at the meeting:
CCC estimated buyout container bins: $50,000
$12,005 will be deducted from CCC’s Aug. pay for the cost of the Capital Industries emergency coverage for the last weekend of the month following the repossession of CCC trucks
The cost of CRP’s emergency coverage for the Saturday truck rental and labor is $26,280
Some confusion
According to Diana, the town expects to recover from the performance bond from the CCC contract in the amount of $1,152,000. He also at one point said the town would be in a deficit of $173,000, but then later said that the town would end in a net surplus of $106,000.
Now, in the emergency contract with CRP, the town has to pay $1,432,000.
Yorktown News reached out to the town for clarification on numbers but did not hear back before press time. Updates to come.
Comments
No comments on this item Please log in to comment by clicking here