The Town of Collierville is proposing a strategic adjustment to residential sanitation fees to ensure the continued reliability, sustainability, and local management of its waste collection services. Under the proposed plan, the monthly sanitation fee would increase by $5.00, moving from the current rate of $27.00 to $32.00.

Why the Change is Necessary

This adjustment is driven by two primary factors: rising operational costs and the need for a fiscally responsible equipment replacement cycle.

• Investing in Reliability: The Town currently operates its sanitation services in-house, providing residents with greater control over service quality and long-term costs.
• Planned Equipment Rotation: To minimize extreme repair costs, the Town is moving to a 7-year equipment rotation. A new automated garbage truck currently costs approximately $430,000.
• Controlling Maintenance Costs: Data shows that maintenance costs spike significantly as vehicles age. A truck in primary service for 10 years costs nearly $182,741 to maintain, compared to approximately $128,666 for a 7-year cycle.
• Inflationary Pressures: The new rate accounts for a projected 3% annual inflation rate for personnel and operating expenses.
  
  

How Collierville Compares

Even with the proposed $32.00 rate, Collierville remains one of the most affordable providers in the Mid-South.

Ensuring Long-Term Stability

 Without this adjustment, the Sanitation Fund is projected to reach a zero balance by FY31. By implementing the $32.00 rate, the Town ensures the fund remains solvent, allowing for the necessary purchase of equipment to keep Collierville clean and beautiful for years to come.

Next Steps

The Board of Mayor and Aldermen discussed the sanitation rate during the March 26 Budget Work Session. While the consensus was in favor of the $5.00 increase, the increase will still move through the formal budget approval process with a public hearing May 26.