A San Jose recycling company is suing the city, claiming it profited from failing to keep residents from throwing trash in the trash.
In a lawsuit filed in Santa Clara Superior Court, recycling business California Waste Solutions canceled a contract with CWS for the city of San Jose to jointly develop a consumer education campaign on proper recycling and instead awarded millions of dollars to the company. cost was passed on to the company. of the city.
“The city forced CWS to collect, process and dispose of large amounts of trash in recycling containers,” the lawsuit states. “The city claims CWS has exaggerated the problem and conducted its own research to confirm that 58% of the recycling containers are garbage and other non-recyclable materials.”
Nora Frimann, an attorney for the city of San Jose, declined to comment on the company’s allegations, saying her office does not normally speak publicly about the lawsuit. In 2021, he settled a $6 million settlement in a lawsuit filed by the city of Oakland over recycling fees charged to apartment owners.
CWS filed a January 6 lawsuit against San Jose that said the company provided recycling services to about a third of San Jose residents under a 2010 contract. A copy of the contract, filed as evidence in court, said the recycling company would “partner” with the city’s environmental services department to “develop an education program” to keep residents from contaminating recyclables with trash. ‘ said. Programming could include tactics such as providing recycling information in multiple languages, reaching out to children about recycling practices, and setting up tables and kiosks at public events such as parades to disseminate recycling information. rice field.
The company claims the city cost the company about $34 million in damages by allegedly breaking the deal. “The more waste that is improperly placed in the recycling bins, the greater the cost to CWS,” the company’s bill to the city also states.
The company had to pay more than $6 million in additional landfill costs, and the “tens of thousands of tons” of trash it had to collect from recycling containers added another $14 million in costs, the letter alleges. are doing. Increased processing costs to deal with the contamination amounted to more than $10 million, the letter claims. It also noted that the amount of recyclables that could be collected “has been significantly reduced as otherwise recyclable materials have been contaminated by food waste, used diapers, and many other types of perishable waste.” did”.Contractual performance standards, the letter argued.
The lawsuit alleges that San Jose was financially rewarded “in multiple ways” for not honoring its contract. “The agreement between the city and the garbage collector required the city to cover the cost of disposing of the garbage. “Landfillers then paid the city for each tonne of garbage disposed of by CWS. City residents would put their garbage in recycling containers, so the city would get a double benefit.” was able to obtain
San Jose prohibited the company from refusing to take back contaminated recycling bins or educating residents on its own, the letter alleges.
CWS and the city have a rocky relationship go back many yearsIn 2016, city consultants complained that the company was underinvested and understaffed in recycling plants, and that CWS would collect recyclables at a much higher rate than other city-contracted recyclers. claimed to be in denial. residents. The company responded to these allegations by attributing the issue to the contamination of recyclables with garbage, which is the central issue in the lawsuit.
In 2019, city officials said the CWS issued an average of more than 4,000 “do not collect” notices to residents each month from January to September 2018. Consider expiring contract with CWS I have found a replacement contractor, but have decided to renew my contract.
The company has also faced controversy in the East Bay. 2021, City of Auckland sues CWSaccusing the apartment building owners of overcharging, and the company agreed to pay $6 million Reduces recycling fees for multifamily home owners.
In its lawsuit against San Jose, CWS is seeking $34 million in damages and $14.4 million in damages.
https://www.siliconvalley.com/2023/01/13/san-jose-passes-trash-for-cash-48-million-lawsuit/ San Jose Gives Garbage Cash: $48 Million Lawsuit