Budget for Website - Flipbook - Page 59
Waste & Recycling Rate Determination
The City provides waste and recycling services to residents, including weekly collection of
refuse, recyclables, and yard waste. An automated cart system is used for weekly collection,
and periodic services are provided for brush, branches, and bulky items.
Beginning in fiscal year 2009/10, the City was no longer responsible for long-term debt
associated with the capping of a former City-operated landfill located at Chubb Road and Five
Mile Road in Salem Township. However, the City may still incur future financial obligations
related to the monitoring and maintenance of this former waste facility.
The current disposal system is funded through a combination of taxes authorized under Public
Act 298 of 1917, monthly trash cart fees, and the sale of waste disposal bags primarily used
by low-volume consumers.
Historically, the City has aimed to align tax revenue with recycling costs and former landfill
obligations, while relying on user fees to cover waste removal costs. In 2024, the City
Commission approved a new contract with Priority Waste, which includes an annual increase
of 3% for five years. Given that the millage is subject to Headlee rollbacks as an operating
millage, it is important to regularly monitor the fund’s rate structure.
Public Act 298 allows for a levy of up to 3 mills for waste removal services. However, due to
Headlee rollback provisions, the authorized maximum has been reduced to 2.0596 mills. The
City currently levies 1.82 mills, which has remained unchanged since FY 2016/17. The
administration recommends decreasing reliance on tax revenue by shifting toward userbased charges that more accurately reflect service costs.
In April 2010, street sweeping and tree removal and replacement services were transferred
from the Major and Local Street Funds to the Waste and Recycling Fund, increasing overall
expenditures and influencing trash cart rate calculations.
For the upcoming fiscal year, the City continues to face increased service costs associated
with the renewed waste and recycling contract. To address these challenges, an additional
$0.50 increase in the trash cart fee is proposed, bringing the monthly charge to $12.00
effective July 1, 2026.
No changes are proposed to the tax rate or bag fee at this time. It is recommended that the
current millage rate of 1.82 mills and the $3.00 per bag fee be maintained. Key historical
financial data for the waste and recycling program is provided on the following page.
City of Plymouth 2026/27 Budget
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