Dive Brief:

• The Common Council in South Bend, IN is considering selling ad space on trash bins as an alternative to increased trash fees. Currently, a proposal seeks to increase garbage fees 96 cents a month on Sept. 1 and another 96 cents on Jan. 1 to cover rising removal and disposal costs.
• National Cart Marketing of Michigan would pay $165,000 per year for the opportunity to sell ads on the lids of the city's 40,000 bins for five years. Public Works Director Eric Horvath said there would be limits on the types of ads displayed.
• The additional revenue would allow for a reduced rate increase of 53 cents per month in 2016, saving customers $3.63 per year compared with the current proposal. Other alternative to the proposal include eliminating yard waste pickup or extending the leases on trash trucks.

Dive Insight:

Many other cities have participated in creative ways to increase revenue while keeping customers happy. The town of Moline, IL began placing ads on trash bin lids in 2014, while other cities, like Santa Monica, CA, have placed ads on fleets. 

South Bend's solid waste fund, at $330,000, is down from $1.2 million in 2011 and well below the recommended minimum of $1.1 million. Additionally, the city is in the process of replacing its old trash trucks with new compressed natural gas trucks at a cost of $350,000 per vehicle.

"We’ve got a declining cash balance, and it’s going to continue to decline … unless we either raise rates or drastically cut costs," said Horvath, noting that wages and benefits, vehicle leases, tipping fees and fuel costs are set.

Residents will have a chance to weigh in at a public hearing Aug. 24.