Gwinnett County settles most garbage litigation

"They railroaded mass transit," Annette Barfield of Stone Mountain said. "I think they should let people make their own choice (for garbage service."

Said Nat Morgan of Loganville, "It's illegal for the county to pass this service. Unless they have ‘Gwinnett County' on the trucks they can't put it on our taxes."

The settlement was announced Friday after the county reached agreement with five haulers who had sued over the county's failed 2008 solid waste plan. As part of the deal, those haulers each were granted exclusive rights to service one of five zones established for residential trash service. The contracts were for eight years with a two-year renewal option.

Tuesday's vote ended more than a year of litigation and removed the threat of more than $80 million in alleged damages sought against the county.

The county spent more than two years working on a plan that would satisfy a state mandate passed in 1990, forcing counties to reduce solid waste to landfills, County Commission Chairman Charles Bannister said. He acknowledged the plan had its detractors, but he called it "the best plan."

The lone dissenter was Commissioner Shirley Lasseter, who said the county worked tirelessly to draw up a fair plan but didn't go far enough in the negotiations. She objected on the grounds there were no discounts for senior citizens.

"The county did not settle the $80 million lawsuit; it financed it over the length of the contract," said Anthony Grutadaurio, operating manager for Red Oak Sanitation, a small hauler with fewer than 5,000 Gwinnett customers. "Again, the residents are paying for your mistake."

Aaron Bovos, county chief financial officer, said the county has not worked out all the details in managing the plan, but anticipated the hiring of some staff.

The contract involved the collection of trash, more than 30 recyclables, large household items and appliances. Residents will pay $10 per month directly to the hauler for yard waste pickup.

Bovos said the fees were set by comparing rates of other counties and from data provided in the county's $131,000 solid waste program assessment prepared by consulting firm R.W. Beck.

The lawsuits came in December 2008 when Sanitation Solutions and Southern Sanitation sued Gwinnett County over its 2008 solid waste plan, claiming the nonprofit administrator, Gwinnett Clean & Beautiful, improperly awarded contracts. Republic Waste later joined the lawsuit.

Two more haulers, Waste Pro and Advanced Disposal, each sued for $40 million in damages after a judge prohibited the county from implementing the plan. Both were awarded contracts under the new arrangement and were setting up operations to service up to 75,000 households each.

The settlement provided Sanitation Solutions with 10,000 customers and Southern Sanitation with 13,000. Republic, Waste Pro and Advanced will each draw a third of the remaining households. In addition, Sanitation Solutions and Southern Sanitation received a settlement of $50,000 each from Gwinnett Clean & Beautiful.

Gwinnett County now must deal with one more lawsuit related to the 2008 solid waste plan. In U.S. District Court in December, Waste Industries sued, claiming county officials were on the verge of creating an "illegal and unconstitutional solid waste hauling program" as a way to settle pending litigation with the five haulers.