Background: Our client, a Property Management company, oversees operations for a large 900-unit apartment complex. The complex relied on 36 8-yard containers distributed across the property. Located in a franchised waste disposal market, the property was required to use the county’s designated trash collection service, which was scheduled to collect waste three times per week. However, this arrangement proved problematic, as the county frequently missed scheduled collection days, often once or twice a week.
Challenges: The missed trash collections led to a series of operational and tenant-related challenges:
- Overflowing Trash: With frequent disruptions, trash overflowed, leading tenants to place garbage outside the containers. This created unsanitary conditions, foul odors, and attracted pests, including rodents.
- Tenant Complaints: The property manager was inundated with tenant complaints regarding the unsightly and unhealthy conditions, significantly increasing the time spent addressing service-related grievances.
- Operational Burden: Maintenance staff were forced to spend additional hours cleaning up the overflowing trash, diverting attention from other responsibilities. Performance Waste Solutions (PWS) also faced inefficiencies, with hours spent on the phone each month chasing the county for missed collections. Despite the persistent service failures, the county did not issue service credits or assume accountability.
Solution Development: PWS took a proactive approach to resolving these challenges. After extensive research, a loophole in the county’s franchise arrangement was discovered: the county’s exclusive trash service covered only front-load containers, not compactors. This meant that properties utilizing compactors could contract independent third-party waste haulers, who were known for providing better customer service and lower rates.
Project Implementation: PWS proposed an alternative waste management solution that involved replacing the existing front-load containers with compactors. The property management company was open to exploring this option, particularly given the potential for improved service and cost savings.
PWS was an integral part of the project from start to finish, ensuring a seamless transition:
- Design and Construction: PWS provided the initial design specifications for compact enclosures, collaborated with architects to complete enclosure drawings, sourced qualified construction companies, and obtained quotes. They remained engaged in the design, build, and implementation phases and assisted in securing the necessary building permits.
- Service Transition: PWS identified reputable third-party haulers and negotiated a fiveyear contract with a service provider that offered guaranteed collection services at a significantly lower rate than the county. They also managed the logistics of canceling the county service, removing the old containers, and coordinating the installation of the new compactors. • Tenant Consideration: To ensure tenant adoption and as an added convenience for residents, PWS recommended implementing a Trash Valet service and negotiated a contract with a reputable provider.
Results: The shift to compactors and a third-party waste hauler delivered immediate and longterm benefits:
- Flexible Collection Schedule: The new hauler services the compactors on an asneeded basis, ensuring that waste is collected before containers overflow but avoiding unnecessary collections. This reduces the number of hauls, the frequency of large trucks on the property, and overall waste management costs.
- Significant Cost Savings: In the first year, the property saved $86,400 in waste management expenses. PWS also negotiated caps on annual price increases, resulting in projecting cumulative savings of over $447,000 within five years and nearly $1.2 Million over ten years. The return on investment for the capital project was achieved in just over three years.
- Improved Tenant Satisfaction: With fewer complaints, a cleaner environment, and more reliable waste removal, tenant satisfaction increased. The property management team reported fewer calls and complaints, enhancing their ability to focus on other priorities.
- Operational Efficiency for PWS: PWS no longer spends hours each month managing missed collections with the county, freeing up time for more strategic activities. The new hauler also provides more accurate and timely billing, improving overall efficiency.
Conclusion: By identifying and implementing a creative waste management solution, PWS helped the property management company solve its persistent service disruptions, enhance tenant satisfaction, and significantly reduce operational costs. This project delivered immediate financial savings and positioned the property to potentially save over $1.2 million in the next decade.
