Dive Summary:
- Taxpayers in Fresno, Calif. will pay almost $3 million to settle a breach of contract dispute after its contracted hauler, Sunset Waste, sued the city.
- Sunset Waste filed the lawsuit when Fresno implemented a plan that allowed sanitation companies Allied Waste and Mid Valley Disposal to remove trash and recyclables from businesses even though the city was already tied to a contract with Sunset.
- Without discussion, the council voted to approve a settlement with Sunset Waste, resulting in $2 million to be paid immediately, with a payment of $900,000 to be dispersed to Sunset next year.
From the article:
The money to pay the settlement will come out of the city's solid waste account, an account funded by money from ratepayers.
Sunset still handles the recyclable waste from the city's residential garbage service.
