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Title:
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Discuss Services Related to Expiring Residential Waste Hauling Contract with DSI and Upcoming Proposal Request.
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City Council Meeting Date: September 9, 2025
To: Mayor and City Council
City Administrator
From: David Bennett, Public Works Director/City Engineer
Title
Discuss Services Related to Expiring Residential Waste Hauling Contract with DSI and Upcoming Proposal Request.
Body
Action Requested:
The Northfield City Council Discusses Services Related to Expiring Residential Waste Hauling Contract with DSI and Upcoming Proposal Request.
Summary Report:
At the August 19, 2025 City Council meeting staff shared an overview of the services in the City's expiring Residential Waste Hauling Contract with Dicks Sanitation Inc. Based on feedback from Council and additional discussion with the City Attorney, staff prepared two Request for Proposals.
1. Residential Waste Hauling RFP
a. Weekly garbage service and bi-weekly recycling
b. Weekly yard waste cart sign up option
c. Bulk items, spring cleanup added
d. Organic Hauling removed from this RFP and in the RFP Below
2. Residential Organics Hauling RFP
a. Weekly household organic pickup
b. 5-gallon container/cover/bag or City approved different cart
c. Opt-in for this service (see alternative option for more description to consider opt-out alterative)
Staff have had continued discussions with Northfield Curbside Compost, who is currently collecting organic waste from Residents in the City. They believe they have relatively plateaued with the 700-800 customers that voluntarily signed up for the fee base program. For there to be a jump in program participants, it would have to be either an opt-out service or a mandated organics collection program in the City.
Northfield Curbside Compost also indicated they have different negotiated rates for some lower income customers so they can participate in the program. This could be a challenge when organics is under the City Contract and the fees would be established in the proposal.
Staff is looking for any additional feedback from Council on the two RFP's. Next step is a public hearing on September 23 and then issuing the RFP's.'
Staff has provided some additional information on the "opt out". Additional information is bring prepared related to the comprehensive plan and climate action plan goals. This will be provided as supplemental information.
Alternative Options:
Staff included an "opt in" option for organics based on initial conversation with Council. However, staff is suggesting to consider moving to an "opt out" option for the organics. Here is some added information on this alternative:
Definition
"Opt-In" Means residents must actively sign up to receive the composting service. Participation is voluntary and typically lower, as it requires residents to take action.
"Opt-Out" Means all eligible households are automatically enrolled and provided service by default, with the option to decline. Participation is typically much higher because most residents remain in the program unless they choose to leave.
Analysis
An opt-in composting program requires households to actively sign up, which keeps startup costs lower since fewer carts, trucks, and staffing are needed. Participation rates in opt-in systems are usually quite low-often just 15-30 percent of households-which limits how much waste is diverted from landfills and slows progress toward climate goals. With fewer participants to share fixed costs such as equipment, routing, and processing, per-household costs tend to be higher.
By contrast, an opt-out system automatically enrolls all households, with the option to decline. This approach typically achieves much higher participation-studies suggest 60-80 percent of households remain enrolled-which significantly increases diversion rates and reduces landfill methane emissions. A broader base of customers also lowers the per-household cost of service and signals a strong community commitment to sustainability. On the downside, opt-out programs could require higher startup costs since carts and routes must be provided for nearly all households. This may, however, be mitigated by implementation strategies such as providing advance notice and information prior to purchasing the supplies. There could also be pushback from residents who see the program as mandatory or as an added fee, and they can experience higher contamination if less-motivated participants place non-compostable materials in their bins.
From the customer's perspective, opt-in programs offer more individual choice. Only those who want the service pay for it, and participants often feel they are directly supporting waste reduction. Those who prefer not to add another cart or service experience no disruption. However, because opt-in often comes with higher per-household costs and requires paperwork or enrollment steps, many residents who might otherwise support composting do not participate. The result is that the broader community sees fewer collective benefits in terms of cost savings and landfill diversion.
With an opt-out program, customers gain convenience since the service is automatically provided without extra steps, and larger participation bases usually keep fees lower. Composting also becomes normalized as part of standard trash and recycling practices, which can build a stronger culture of sustainability. Yet, some residents may resent the lack of choice or view it as a service they are forced to pay for. Others may struggle with storage space for an additional cart, and concerns can arise about contamination if program education is insufficient.
Bottom Line
* Opt-in works if the city wants a lower-cost pilot, build a base of committed users, and test the program gradually-but it won't maximize landfill diversion.
* Opt-out delivers far greater environmental and economic benefits citywide (higher diversion, lower per-household cost, climate gains), but requires stronger up-front investment and public education to maximize use and limit contamination. This is still short of mandated compost but moves in a positive direction of the Climate Action Plan and Comprehensive Plan.
Financial Impacts:
RFP will establish prices
Tentative Timelines:
Issue RFP September 2025