Fort Worth City Council voted to that Waste Management hire minority- and women-owned businesses for its $479 million trash contract.
The move, which council approved 9-2 during its May 14 meeting, comes after a months-long surge in . Council members Chris Nettles and Jared Williams voted against the change, citing concerns about the precedent the vote sets for other city contracts that have minority business requirements.
鈥淭his is an important vote, but this is bigger than just this vote,鈥� Williams said. 鈥淚t鈥檚 about where we want to invest our money, and I want to invest in small businesses and in Fort Worth businesses. I鈥檓 concerned about the precedent we鈥檙e setting by removing (minority business) requirements off of any contract, whether it鈥檚 this contract or the next one.鈥�
The contract amendment allows Waste Management and the city to reduce or eliminate the number of households served by the Fort Worth-based , which is Black-owned. When the contract with Knight Waste Services started, the city collected trash from about 142,000 homes. Because of the city鈥檚 growth, that number has now surpassed 256,000, Steve Keller, public sector manager for Waste Management, said at the meeting.
Knight Waste Services has served as the exclusive minority vendor for Waste Management for more than 20 years. The business is run by brothers, Marcus E. Knight and Richard L. Knight, who took over the company from their late father, former Dallas city manager and businessman Richard Knight Jr. The brothers declined to comment to the Report after the vote.
Waste Management proposed removing the business minority requirement, according to the . The company was previously required to subcontract with a minimum of 25% minority-owned businesses.
Waste Management and its contractors make about 1.1 million service attempts each month, according to . Between October and March, the city recorded about 1,600 missed collections per month.
Environmental services director Cody Whittenburg said May 7 that in order to meet industry standards, Waste Management should not exceed 1,100 missed collections per month.
When reports of missed trash pickups increased last year, the city gave Waste Management a six-month waiver that reduced the 25% requirement. That waiver, which expired May 8, allowed Waste Management to take over trash routes from Knight Waste Services, in an attempt to provide more consistent services.
Whittenburg previously said the city had not ruled out extending the waiver, but Williams鈥� attempt to revisit that topic at the May 14 meeting was not supported by other council members.
Nettles and Williams attempted to table the agenda item until a June 11 meeting, but their motion was voted down by other members. They both expressed concern over removing diversity requirements and said the move could send a negative message to small and minority businesses.
Williams said the vote wasn鈥檛 just about the Waste Management contract but also about whether the city is willing to address a 鈥渓ongstanding issue鈥� of investments that don鈥檛 reflect the city鈥檚 diversity. He said less than 5% of the nearly $500 million invested in city contracts goes to Black-owned businesses and less than 20% goes to Latino businesses.
鈥淲e鈥檙e not hitting our goals, and I don鈥檛 know who鈥檚 to be held accountable for that, but it鈥檚 a sad state that we鈥檙e in when we can鈥檛 hit our (minority business) goals,鈥� Williams said.
Council member Charlie Lauersdorf, who has been a of removing the minority requirement in order to improve trash collection, said he supported the change because Waste Management and Knight Waste Services had been given 鈥渆nough time鈥� to rectify trash pickup issues, without improvements.
鈥淲hat we need to remember is that what鈥檚 on the side of our trash cans is not Knight Waste Services, it鈥檚 not Waste Management 鈥� it鈥檚 the city of Fort Worth, and therefore it is on us to fix this,鈥� Lauersdorf said. 鈥淥ur residents don鈥檛 care what鈥檚 on the side of the trash can. They just want the basic service.鈥�
Council member Gyna Bivens said she wants minority-owned businesses in Fort Worth to be successful. She chose to vote in favor of eliminating the minority business requirement, saying 鈥渢he decision has to be made based on business.鈥�
She said Knight Waste Services is the only minority-owned waste collection company in the state. Because the company is not able to complete 25% of Waste Management鈥檚 contract, there aren鈥檛 other local contractors available, she said.
鈥淭his does not feel good, but I know the reality of it is that looking for 25% in this area and in this state, you鈥檙e not going to find it,鈥� Bivens said.
Keller, the Waste Management representative, said the company is potentially open to still contracting with Knight Waste Services, but with a lower percentage of work.
Nettles and Williams supported lowering the required percentage of the contract Knight Waste Services was expected to complete, but other members said council could revisit that topic in the future.
鈥淭o completely overhaul (this requirement) and move it out of the contract gives me complete heartburn when we can get to a better percentage,鈥� Nettles said.
Addressing the Knights, who were in attendance at the May 14 meeting, Mayor Mattie Parker said she 鈥渁ppreciates鈥� their partnership with the city of Fort Worth and Waste Management.
鈥淲e鈥檙e in this position because we haven鈥檛 fulfilled a promise to residents, which is once weekly reliable pickup of their trash,鈥� Parker said. 鈥淚f there鈥檚 one thing we鈥檝e all learned, (it鈥檚) when you mess with people鈥檚 trash, it鈥檚 the first thing they鈥檙e going to complain about.鈥�
Cecilia Lenzen is a government accountability reporter for the Fort Worth Report. Contact her at cecilia.lenzen@fortworthreport.org or .
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