Refuse collector North Bay Corporation has agreed to pay the City of Santa Rosa, Calif., $2 million in a settlement over alleged contract violations including use of old garbage trucks, the Press Democrat reported.

The settlement is a fraction of the nearly $18 million in fines the city has imposed on the company. The contract called for trucks to be rebuilt after five years and replaced by 10 years, the newspaper reported. A city audit last year concluded that company had failed to replace vehicles according to contract requirements.

Ratto Group, owner of North Bay Corporation, announced weeks ago that it would sell of its refuse operation.