Monday night, the city council approved an order that will give City Manager Fidel Maltez to enter into a new five-year contract with Wheelabrator of Saugus for trash disposal.
The current contract with Wheelabrator expires at the end of the calendar year.
Maltez said the city needed the council approval to negotiate a contract of more than three years.
“Our DPW Commissioner and I have met with Wheelabrator several times to negotiate a new contract,” stated Maltez. “Wheelabrator has informed the city that the longest-term contract that is being offered to cities and towns is a five-year contract. This is due to the high volatility in the trash disposal market, particularly as it relates to trash disposal sites.”
Maltez said the city team has looked into alternative sites, but that all are significantly farther away than the Saugus site.
“One such alternative is Covanta in Haverhill, the trash disposal site that is used by Reading, MA,” said Maltez. “Covanta is located 40 miles away from Chelsea, and during traffic hours can take up to 1.5 hours on a one-way trip. Wheelabrator Saugus, in comparison, is seven miles from Chelsea, and can be accessed through local roads.”
Maltez requested the council vote on the five-year contract possibility at its meeting Monday night, since the council will be in recess for the summer.
“It will allow us to enter into a longer contract than what is allowed by law, which is three years,” said Maltez.
The city has been working for the past six months to lock in a new contract with Wheelabrator, Maltez said.
“We have a contract that is in draft form, and we are negotiating the final terms of that contract,” he said. “My fear is, that given the uncertainty in the trash environment in our state, particularly with the site in Saugus, waiting until September will be too long to secure a contract.”
If for some reason that contract were to fall through, Maltez said the city will now have more time to work on a second option.
Councillor-at-Large Leo Robinson said he supported allowing for the longer contract in order to potentially avoid having trash hauled longer distances out of the city.