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LA budget, sanitation officials split over trash pickup for businesses, apartments

VICA president

Alice Walton/KPCC

VICA's Stuart Waldman speaks at City Hall in support of a plan to move the city's trash pickup to a non-exclusive franchise.

A proposal to change how private trash companies collect refuse from Los Angeles businesses and apartment buildings could generate as much as $30 million a year in new revenue, according to a report from the city’s top budget official.

A study from City Administrative Officer Miguel Santana recommends moving the city to a non-exclusive franchise model. That means qualified haulers would be required to obtain a franchise agreement from the city. Earlier this year, the Bureau of Sanitation recommended moving to an exclusive franchise where the city's six trash zones would be subdivided into 11 collection areas. Each collection area would have one primary hauler. 

“A non-exclusive franchise preserves an open, competitive marketplace which is the most significant factor in maintaining price controls, and where the primary business model concerns business-to-business relationships, not business-to-city relationships,” Santana wrote in his report.