Marisol Aldana began her career with Waste Management in 2017 as an account representative, but her history with Waste Management began when she was a child.
Her father had just lost his job while going through a divorce and raising four children on his own, she said during public comment at the July 11 Santa Barbara County Board of Supervisors meeting. Aldana’s sister, who worked for Waste Management, suggested that he work for the company—where he stayed for 22 years and is now ready to retire.
“Dinner conversations were about talking trash, and I’ve listened to them since I was 8 years old,” Aldana said. “You’ve guessed it, here I am: the next generation.”
Aldana enrolled in Waste Management’s college program—which funded Aldana’s master’s degree from the University of Denver—participated in the company’s Frontline Leadership Development program, and joined the Waste Management Women’s Empowerment Network, Aldana said.
“Working at Waste Management for the past six years has provided me many opportunities that have allowed me to grow personally and professionally,” she said.
Aldana was one of nearly 30 local Waste Management employees who approached the Board of Supervisors during its discussion on a new service contract for a North County waste collection provider.
Although the supervisors were moved by the number of employees who voiced their support for continuing a contract with Waste Management, they unanimously voted to approve a 10-year contract with Santa Barbara-based waste company MarBorg Industries because of MarBorg’s lower rates and commitment to hiring Waste Management employees.
However, Waste Management employees are worried about losing their benefits and the local waste industry becoming a monopoly with MarBorg overseeing all waste services countywide.
Fifth District Supervisor Steve Lavagnino said that the supervisors had a fiduciary responsibility to the ratepayers and had to make the decision that would best serve his constituents. He added that he’s very confident that Waste Management employees will find a “welcome home” at MarBorg where they can continue living in North County, run the same routes, and maintain their seniority.
“It’s one of those things you have to balance what’s the common good for all our ratepayers as opposed to the employees of a private company,” Lavagnino told the Sun. “Unfortunately their company didn’t make it competitive enough, and another company outbid them. This happens all the time at the county, and this was a bigger deal because it’s a longer contract with a lot of employees.”
After negotiating for lower rates with Waste Management for more than a year, the county issued a competitive Request for Proposal (RFP) for waste collection services for zones that encompass the Santa Maria, Lompoc, and Santa Ynez valleys in May 2022, Leslie Robinson, the county’s collection and materials manager, told supervisors during the meeting.
MarBorg Industries, EJ Harrison and Sons Inc., Waste Management, and Waste Connections responded to the RFP, and county staff selected MarBorg because of its low cost to residents and quality customer service, Robinson said.
“MarBorg had the lowest revenue at approximately $13.9 million, 5.3 percent lower than Waste Management’s current rate revenue of $14.7 million,” she said.
Waste Management submitted two cost proposals, one that uses existing in-county landfills and an alternative that used its Kettleman Hills Landfill in Kern County. Under the alternative proposal, Waste Management’s rate would be 2.4 percent lower than current revenue rates; however, rate revenue would increase to $14.8 million (.9 percent) using in-county landfills, Robinson said.
“For numerous reasons, including reduced greenhouse gas emissions, maintaining municipal partnerships, and managing our waste as close to home as possible, staff recommended that only in-county landfills continue to be used,” she said.
MarBorg’s residential rates will decrease rates between 4 and 13 percent depending on the area and container size, and commercial trash and recycling will also decrease between 2 and 6 percent, depending on container size and pickup frequency, Robinson added.
Rates are not final yet because the county has to incorporate Consumer Price Index changes and any tipping fees, but confirming the agreement allows MarBorg to get trucks and other equipment, establish North County facilities, and prepare for the transition in service, she said.
Through this change, MarBorg would become the only provider for the entire county, which would allow for consistency with the South Coast, she added.
As North County transitions, Derek Carlson—MarBorg’s vice president of finance and contracts—told supervisors that the company would like to collaborate with Waste Management to use its North County facilities, or MarBorg will purchase its own property.
Previous Waste Management employees would receive first offer on employment opportunities at MarBorg as long as they meet Department of Transportation requirements, have a valid driver’s license, and pass necessary drug tests, Carlson said.
“We are excited to have these employees come work for us, and we have always offered to bring over their seniority from their previous employer. There’s not a lag in their sick pay, vacation time; all of that will accrue at … their previous employment levels,” Carlson said. “Employees have more tenure at MarBorg than they did at their previous employer because they have found a warm and welcoming family.”
Joaquin Hernandez, a MarBorg employee, shared his own experience during public comment. He transferred to MarBorg from Allied Waste when the company received a city of Santa Barbara contract in 2011.
“I know there are some Waste Management employees that worry about their jobs right now; I was in the same situation 12 years ago,” Hernandez said. “MarBorg promised to have jobs for all of us and give us full benefits and good pay. MarBorg kept all their promises, and it has been a good place to work.”
Hernandez has been at the company since the contract was signed and has been very happy, he said.
Waste Management employees remained skeptical and requested that the Board of Supervisors pursue a contract with Waste Management. Justin Honsinger, a Waste Management employee, told supervisors that Waste Management has always been a partner to the community, recalling when Waste Management deployed vehicles to help clean up areas impacted by the January storms.
“We are the leaders in hiring veterans. I’m a disabled veteran myself. If it wasn’t for Waste Management, I wouldn’t have the career I have today, and I paid the ultimate sacrifice of being injured,” Honsinger said. “Waste Management gave me a job and put me through Frontline Leadership to be a better leader.”
He asked supervisors not to change the provider unless MarBorg could pay for the college education of Waste Management employees and their families—which gives back to the county for “future sustainable measures.”
“Do the right thing and keep a partnership that’s been here for decades,” he said.
Jennifer Andrews, a spokesperson for Waste Management’s Southern California Area, told the Sun that the company is proud of its long history in Santa Barbara County and is disappointed in the outcome.
“We will continue to provide outstanding service through the term of the contract while remaining as a reliable community partner,” she said.
MarBorg Industries President Brian Borgatello told the Sun that MarBorg is in discussions with Waste Management to figure out how to best transition facilities and employees “so the switchover is as seamless as possible.”
“We have experienced these transitions before and have always done so with the least amount of disruption possible while always keeping the employees and their families first in mind,” Borgatello said.
Reach Staff Writer Taylor O’Connor at toconnor@santamariasun.com.
This article appears in Jul 20-30, 2023.