City to Sell Refuse Fleet, Still Owes $5.8M

April 20, 2016

The City of Fall River, Mass., is privatizing the city trash collection, entering into a 10-year contract with a private provider beginning July 1, the Herald News reported. The administration claims privatization will save the city about $8.7 million over 10 years.  

It will sell its refuse fleet to the company for $1.1 million, $100,000 less than the fleet's value.

The privatization project was spearheaded by the city’s new 24-year-old mayor, Jasiel Correia II, and is being criticized by city councilors. Last week, Correia admitted that the prior administrations had failed to transfer the bonds used to purchase the refuse fleet, meaning the city hasn’t paid any principal and it owes $5.8 million for the trucks it will soon no longer own, the newspaper reported.

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