I’m constantly amazed at how a small handful of North Miami Beach residents who think they know everything actually get angry if the mayor and council don’t vote according to their own personal wishes.  The fact is we have a representative form of government, which means we elect people to office to represent us.  The “us” is the entire city of approximately 39,000 residents, and not just one person.  It’s one thing to write or call your elected officials and make suggestions, give your opinion, or try to lobby them to vote a certain way.  It’s another thing to demand or expect them to do your bidding on each and every issue, and then viciously turn on them when they don’t follow your explicit directives.  That takes a lot of chutzpah!  You’re not the only freaking person in the city!  And no council person is obligated to only vote on the things you personally approve of.  If you don’t like the way a particular council person votes on a consistent basis, then you have the right to vote for someone else the next time that seat is up for grabs.  Better yet, if you think you know everything and can do a better job, why don’t you grow a pair and run for office yourself?  It’s easy to be an armchair quarterback, but not everyone gets to be Peyton Manning.

We are fortunate in that we have THE most transparent city council we have ever had.  Every single thing this council does at meetings, by email and even by telephone, is a matter of public record and out in the sunshine.  This isn’t North Miami!  If you don’t believe me, just send a public records request to our Clerk’s office for copies of anything you want and it’s yours for the asking.  I challenge you to disprove that.

Almost every single one of the council members are doing this job for the sole purpose of trying to make our city a better place to live and work.  As much as I make fun of Phyllis Smith (it’s so hard not to), I never doubted for a minute that she has the best interests of the entire community in mind.  I may not always agree with her methods or her votes, but I know that she honestly believes she is doing the right thing.  In fact, there’s only one of them up there that I am convinced is only in this for himself and the small community that he panders to and pretends to care about.  But, this column is not about Frantz Pierre.  I’ll save that dirt for another day.

Getting back on topic, I’m always amused by residents who say they want fiscal accountability and austerity from our local government, yet scream and yell the loudest at the slightest mention of privatization.  You would think this was a four letter word the way some folks react.  These are the very same people who rightfully question each and every penny spent by our local government, and even come up with excellent suggestions on how to save money, then turn around and scream bloody murder when the first city employee is laid off.  All of a sudden they become attached to their garbageman.  I have to know, will these same people freak out when the teller at their bank is laid off?  Do they get so attached to their butcher, baker or bag boy, that they write letters to the corporate office of Publix if those employees are pink slipped?  What if their doctor is forced to let go of some of his office staff?

Just this month alone, American Airlines laid off 1,500 employees. Yahoo let go of 2,000 people.  HSBC International – 2,000.  Sony laid off 10,000 of its global workforce. Is anyone upset about all those people losing their jobs?  Why is it people accept that in a bad economy, private businesses have to lay off people, but go bonkers when it’s time to streamline the government?  Do they really think that a municipal entity can’t run out of money?  North Miami Beach is going broke.  Time for a freaking reality check!

The City of North Miami Beach is at a crossroads.  We need to decide if we want a government that exists for the sole purpose of keeping as many people employed as possible, or if we want our city to provide as many services to the residents as possible.  North Miami Beach has one of the highest, if not THE highest employee per capita ratios of any municipality in the county.  Possibly even the state.  That is simply not a prudent use of our hard to come by tax dollars.  It only stands to reason that if tax revenue is down, but the City of North Miami Beach continues to spend at the same rate, bankruptcy is just around the corner.  In order to avert a disaster, all options must be on the table, including privatization.

A couple months ago the City Manager put out an RFP (Request for Proposal) to determine whether or not it would be feasible to privatize our garbage collection.  Four companies are being considered.  There is a public workshop scheduled for Tuesday, May 1, 2012 at 4:00 p.m. in Council Chambers.  You can also check out the bids here.

When deciding whether or not to privatize our sanitation department, there are, however, other factors to also consider.  Some residents are concerned about the service we would receive if we switch.  The most important thing is that the city must demand that a private company offer the exact same service we’re getting now.  Pickup days for garbage, bulk trash and recycling must remain the way it is so that the transition is smooth.  Residents are understandably nervous about being forced to give up what they now enjoy.  Another issue that was brought up to me is that the current bids only call for a three year contract.  There is concern about what will happen at the end of the three years.

I know that in the waste business, as in any private business, competition is stiff.  Customers are free to pick and choose where they spend their money.  Any waste company that we hire is fully aware that if it doesn’t renegotiate in good faith when it’s time to renew the contract, we’ll go somewhere else.  Unlike a government service, which we’re basically stuck with whether we like it or not (proving yet again the irony that government doesn’t comply with the very same anti-trust laws it enacts), private companies do everything in their power to keep customers satisfied or they lose the business.  I like having a choice.  As a consumer of goods and services, I’d much rather have the opportunity to shop around for the best price.

I’m told that going private would save the city anywhere from $3.4 to $4.4 million.  If that’s the case, just imagine what we could do with that money!  For one thing, the city could lower property taxes.  For those of you who are paying thousands or tens of thousands of dollars in real estate taxes, that would be a boon.  While it’s true that only a portion of those tax dollars goes to the city, North Miami Beach has one of the highest millage rates in the county, so chances are you’re paying quite a bit in local taxes.  The savings could also be used to pay down our monstrous debt, including pensions and other loans, build or refurbish our parks, fund after school programs and beautification projects.  We are not talking chump change here!

During the bidding process, four companies submitted bids for our garbage and recycling (for which we already pay to the county).  These are:

Waste Management, Inc. of Florida:  $6,600,000
Choice Environmental Services of Broward (a division of Swisher Hygiene):  $5,800,000
Waste Services of Florida, Inc.:  $5,721,400
Waste Pro of Florida, Inc.:$5,379,000

These are annual costs, and they include a 20% franchise fee (which goes back to the city as a profit margin) for garbage and a 30% franchise fee for recycling.

The waste management business doesn’t exactly have the reputation for being “clean.”  No pun intended.  There are stories galore about dirty dealings in the garbage business.  In order to get contracts, companies have been known to wine and dine elected officials, or simply throw money at their campaigns.  (See North Miami Mayor *Hearts* Waste Pro, a/k/a OMIGOD! What a Coincidence! and Back Scratch Fever.)

Please take note that Waste Pro is the company of choice for City Manager Lyndon Bonner and Public Services Director Shari Kamali.  In a memo dated April 19, 2012, City Manager Lyndon Bonner recommended Waste Pro of Florida, Inc. as being the highest ranked company by his Evaluation Committee.  In the interest of fairness, I’m told that the City of Hollywood, which privatized its garbage three years ago, and Winter Park, which privatized about 25 years, both use Waste Pro and are very happy with their services.  So is the City of Port St. Lucie, which uses this company.  But, the fact that Waste Pro is also the company that North Miami hired, we are right to be suspicious of this company from the start.  It’s going to be a hard enough sell to privatize as is it because of all the emotions involved in making any kind of meaningful and responsible reform in NMB.  Any connection whatsoever to North Miami, no matter how remote, I’m thinking that a deal with Waste Pro is pretty much DOA with the residents and possibly with some of the council.

As for the other three companies, I found a few lawsuits and a bit of dirt on both Waste Management and Choice Environmental/Swisher Hygiene, but nothing so far on Waste Services.  You can check out the consumer complaints lodged against Waste Management and a class action suit filed by it’s employees.  Swisher, the parent company of Choice, has been a disappointment to investors in terms of growth.  However, Waste Pro, Waste Management and Choice are major players in the garbage biz.  Interestingly, I’ve been told that Waste Services is the second largest of all four companies, while Waste Pro is the smallest and newest of the bunch.  Hopefully, the Evaluation Committee has done a thorough job investigating and evaluating all four bidders.