Republic Services representatives asked the Redmond City Council June 24 to approve a 6% rate increase to residential and commercial garbage and recycling service, citing higher disposal gate rates, labor costs and equipment depreciation.

Courtney Voss, municipal manager for Republic Services in Central Oregon, presented the company’s financials and asked council to consider a 6% increase rather than staff’s 3.9% recommendation. “Tonight we are going to talk about our rate request. We are making a 6% rate request this year,” Voss said. Erica Heitzma (Republic Services) detailed 2024 results: total revenue of about $8.8 million and expenses of about $8.3 million, with labor and disposal identified as the largest cost categories.

Republic Services said disposal costs rose because the regional landfill increased gate rates in multiple steps (including $15/ton in 2023 and additional increases in 2024 and effective July 1, 2025). Company management said disposal increases account for roughly half of the proposed 6% increase but that other costs (labor, franchise fees, management fees, depreciation) also contributed.

City staff recommended a 3.9% increase to account for landfill pass‑throughs and a pending state program: the Recycling Modernization Act (RMA) begins July 1 and could reimburse some recycling costs. Republic Services presented an analysis showing RMA could reduce effective rates by about 1.7% (or 4.3% if full reimbursements occur); the company asked council to approve 6% to reach a target operating margin the company described as nearer 9% rather than the current low single digits.

Councilors voiced concern about frequent increases: the company noted prior increases, including a 12.5% adjustment in July 2023 and a 3% increase in July 2024, and acknowledged they would likely return annually until margins stabilize. Valerie (city staff) said the 3.9% recommendation considered incomplete financial reporting and RMA uncertainty.

Council did not vote on rates during the presentation; staff noted the franchise fee/rate schedule would return for formal action. Council asked staff and the company to monitor RMA implementation and consider staged action if reimbursements materialize.