Metro Service Group Trash Contract in New Orleans

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The City of New Orleans issued a statement Thursday to the Metro Services Group asking them to fulfill their garbage contract or “step down.” This comes after more than a year of garbage collection issues. Metro Services Group claimed last week that the City of New Orleans had failed to pay for work performed by the company and said the city was holding them to unfair standards compared to other contracts used by the city. . The city says Metro did not provide collection services to third-party service areas in its contract. City leaders also say Metro is only able to provide a once-a-week collection and hasn’t provided recycling since before Hurricane Ida. “Metro’s failure to regularly and adequately fulfill its contractual obligations has placed the city and its residents at risk for a public health emergency. If the city’s emergency contractor were to disband at any time, the city would instantly be pushed back to a post-Hurricane Ida trash crisis, with putrid trash spreading through neighborhoods in the subway service area,” the city’s statement read in part. The statement also said the city “bent over backwards” to keep Metro’s service area together. City officials said it also continued to pay Metro despite being unable to fulfill their contract. Metro has filed for Chapter 11 bankruptcy earlier this month.New Orleans Mayor LaToya Cantrell is expected to sign new sanitation contracts Thursday at a 1 p.m. press conference. other he contracts that the city uses. The group also alleges that the city failed to pay for the work performed by the company. Metro Service Group issued a press release, saying Metro had received two requests that other businesses in the city did not have to meet. According to Metro, the city demanded in a letter that it resume twice-weekly garbage pickup. and recycling once a week. Metro also says the city has ended its use of a transfer station, which they say dramatically reduces the time it takes to unload their garbage trucks. According to Metro, their trucks will have to travel an hour to unload now that they can no longer use the transfer station. Metro calls the demands “vengeful” and says the city’s demands come as Metro awaits payment for more than $5,000 in work. “The city’s latest effort to punish Metro by banning our access to the transfer station will almost certainly have unintended consequences for residents of our service area,” said Glenn Woods of Metro Service Group. “The more time our trucks spend coming and going from the landfill, the less time we have to collect waste along our routes. In the end, residents could certainly feel the effects of this action just as much as Metro employees. You can view Metro’s letter to the city here. It comes after Metro Service Group announced earlier this month that the sanitation group had filed for a Chapter 11 reorganization. The action comes after the company came under scrutiny thorough for long delays in garbage collection in the city of New Orleans. Last March, city officials announced they were looking for another waste company after months of problems before and after Hurricane Ida. Metro’s attorneys said the group was forced to file for bankruptcy because the city failed to honor its contract. The group listed the following examples: Metro’s numerous grievances regarding the administration’s failure to honor the terms of the contract include: not compensated, although the City collects a monthly fee for garbage from these same homes. – Failing to pay Metro for excess tonnage Metro collected during declared emergencies for the pandemic and Hurricane Ida. Under its contract, Metro must receive an additional $250 per tonne for each tonne above 6,495 tonnes it collects in its service area for a month. Despite Metro’s repeated requests to pay for the excess tonnage it collected during the pandemic and after Hurricane Ida, the administration has not paid Metro for the work it has done.- Metro believes that the administration acted in bad faith by re-demanding work under contract with Metro through March 31, 2024, and the cost to ratepayers will be approximately an additional $8 million per year, raising the question of why the ratepayers of the New Orleans is going to have to pay new contractors far more than Metro received for the exact same job.

The City of New Orleans issued a statement to Metro Services Group on Thursday demanding that they fulfill their garbage contract or “step down.”

This comes after more than a year of garbage collection issues.

Metro Services Group claimed last week that the City of New Orleans had failed to pay for work performed by the company and said the city was holding them to unfair standards compared to other contracts used by the city. .

The city says Metro did not provide collection services to third-party service areas in its contract.

City leaders also say Metro is only able to provide a once-a-week collection and hasn’t provided recycling since before Hurricane Ida.

“Metro’s failure to regularly and adequately fulfill its contractual obligations has placed the city and its residents at risk for a public health emergency. If the city’s emergency contractor were to disband at any time, the city would instantly be pushed back to a post-Hurricane Ida garbage crisis, with putrid trash spreading through neighborhoods in the subway service area,” the city’s statement read in part.

The release also says the city has “bent over backwards” to keep Metro’s service area together.

City officials said it also continued to pay Metro despite being unable to fulfill their contract.

Metro filed for Chapter 11 bankruptcy earlier this month.

New Orleans Mayor LaToya Cantrell is expected to sign new sanitation contracts Thursday at a 1 p.m. news conference.

Previous reports:

Metro Services Group, a trouble-plagued garbage company in New Orleans, accused the city of holding the company to unfair standards compared to other contracts the city uses.

The group also alleges that the city failed to pay for the work performed by the company.

Metro Service Group issued a press release, saying Metro has received two requests that other businesses in the city do not have to meet.

According to Metro, the city demanded in a letter resume garbage collection twice a week and recycling once a week.

Metro also says the city has ended its use of a transfer station, which they say dramatically reduces the time it takes to unload their garbage trucks.

According to Metro, their trucks will have to travel an hour to unload now that they can no longer use the transfer station.

Metro calls the demands “vengeful” and says the city’s demands come as Metro awaits payment for more than $5,000 in work.

“The city’s latest effort to punish Metro by banning our access to the transfer station will almost certainly have unintended consequences for residents of our service area,” said Glenn Woods of Metro Service Group. “The more time our trucks spend coming and going from the landfill, the less time we have to collect waste along our routes. In the end, residents could certainly feel the effects of this action just as much as Metro employees. »

Metro said it issued follow-up questions to the city for the purpose of clarifying the city’s demands.

You can view Metro’s letter to the city here.

It comes after earlier this month when Metro Service Group announced that the sanitation group had filed for Chapter 11 reorganization.

The action comes after the company came under scrutiny for long delays in garbage collection in the city of New Orleans.

Last March, city officials announced they were looking for another waste company after months of problems before and after Hurricane Ida.

Metro’s attorneys said the group was forced to file for bankruptcy because the city failed to honor its contract.

The group listed the following examples:

Metro’s numerous grievances regarding the administration’s failure to honor the terms of the contract include:

– Since 2017, Metro has collected garbage from 5,000 homes, per month that Metro is not compensated, although the City levies a monthly fee on household waste same houses.

– Not having paid Metro for the excess tonnage that Metro collected during the declared emergencies for the pandemic and Hurricane Ida. As part of his contract, Metro must receive an additional $250 per tonne for each tonne over 6,495 tonnes that it collects in its service area for a month. Despite Metro’s repeated requests for pay for the excess tonnage it collected during the pandemic and after the hurricane Ida, the administration didn’t pay Metro for the work it did.

– Metro believes that the administration acted in bad faith by re-demanding work that is under contract with Metro until March 31, 2024, and the cost to taxpayers will be approximately an additional $8 million per year, which increases the question of why the taxpayers of New Orleans are going to have to pay new contractors excessively more than what Metro received for the exact amount same job.

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