The Fullerton City Council on Tuesday, October 6, chose to keep Republic Services as the city’s trash and recycling hauler. The council picked the longtime incumbent over CR&R Environmental Services after months of a competitive process.

The decision came despite a staff presentation that leaned toward CR&R. Supporters on the dais pointed to Republic’s sharply reduced pricing, its lower proposed rates for downtown businesses and the disruption a switch would cause residents, businesses and the hauler’s Fullerton workforce.

The new contract’s services are set to begin July 1, 2027. They include a full rollout of the state’s organic-waste recycling requirements.

The two finalists’ proposed rates for residential, multifamily and commercial customers were close to identical. The gap was downtown, where shared trash enclosures serve a mix of shops, restaurants and residences.

Staff said the difference traced partly to a city error. Bidders were first told downtown costs would be spread across 1,861 units, a count staff later found was too high. A staff member called the original spreadsheet total “my bad.”

When staff noticed how far apart the two downtown bids were, the city issued a corrected unit count and let both firms resubmit. CR&R recalculated, and its downtown organics rate rose. Republic declined to change its offer, saying it was comfortable with its own assumptions as the current hauler.

Staff said it does not know what unit count Republic used, but as the incumbent, it most likely had the correct numbers based on years of experience.

Councilmember Dr. Ahmad Zahra, whose district includes downtown, said small businesses there would pay at least $60 more for organics service under CR&R. “For a small business, that’s quite a bit of money,” he said. Staff noted that some downtown businesses are not currently accounted for in billing. Whichever firm won, its first task would be a customer data review covering downtown businesses and multifamily properties.

The city’s waste consultant told the council the choice was close. He called Republic the best of the national firms, while acknowledging “some glitches in the recent history” in Fullerton.

Republic’s pricing ended up about 25% below its opening offer, he said. “They really want to be your hauler.”

CR&R offered somewhat more in service enhancements, including quarterly curbside collections. But Republic’s commitment to meet 100% of the city’s procurement requirement narrowed that gap, the consultant said. He added that he would not fault the council for choosing either firm.

Staff’s main reservation about Republic was its transition plan. Staff said Republic proposed an immediate rollout, while the city and state want a staged approach under SB 1383, California’s organic-waste law.

That approach would start with cleaning up customer data, followed by education and outreach. Sustainability advisors would then visit businesses and multifamily properties to right-size service and identify those eligible for waivers. Staff also said Republic did not provide a detailed plan for converting existing containers to the state-required colors and labels. Staff added that the gaps could be worked out with either firm after selection.

Councilmember Dr. Shana Charles, who said she has been a union member for 25 years, credited the Republic employees who spoke during public comment. She said they came on their own, not at management’s direction.

Charles likened Republic’s handling of the downtown numbers to catching a professor’s data error during her doctoral oral exam. “They knew downtown so well,” she said, adding that the mistake was understandable given staff’s workload. She said most residents she had heard from were happy with Republic’s service.

Councilmember Jamie Valencia said she had toured Republic’s Anaheim facility and appreciated the company’s responsiveness during the process. “You’ve changed it. You’ve listened,” she said, before moving to select Republic. The motion was seconded.

Zahra said both firms had sharpened their offers over the past year, and that a switch would carry a human cost for residents and workers. “I think we have achieved change,” he said, pointing to Republic’s lower bid.

Mayor Pro Tem Nick Dunlap, who ran the meeting, said he had initially been reluctant to let Republic stay in the running. He noted the process began largely because of Republic’s own shortcomings, and that staff had ranked the company low early on.

Dunlap said Republic “answered the bell” at each stage, and described staff’s presentation as skewed toward CR&R. He rejected the idea that a new hauler would bring immediate improvement. “It’s the same trash, a different bin,” he said.

He called the downtown system a mess and said rates were the deciding factor, adding that no one understands the downtown system better than Republic.

Mayor Fred Jung, who joined remotely, supported the award but delivered the sharpest words of the night for Republic. He said citywide disruption to businesses, residents and seniors was not worth a few pennies in savings.

“Before Republic takes a victory lap,” Jung said, the council would not be here if the company had made timely improvements. He said conditions for awarding the solid waste contract to Republic Services were strict timelines, measurable performance requirements, and enforcement by the City Attorney’s Office.

If customer service and communication problems continue, Jung said, the city could award some or all of the contract to one of the other finalists. He said Republic “Don’t get it twisted.”

Before the vote, Valencia asked that the mayor’s conditions be on the record. Dunlap said they were not part of the motion but were captured in the record through the mayor’s comments.

The motion passed, with all five council members speaking in favor. Staff said the next steps are a kickoff meeting with Republic, a review of customer data and a staged transition plan ahead of the July 1, 2027, start of new services.

Council members also thanked CR&R for staying in the process and pushing both firms toward stronger offers.