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Commercial Garbage

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1. What is a franchise?

A franchise is an exclusive contract awarded to a private company to provide a service. In this case, garbage and recycling services for all commercial accounts. The Village of Libertyville has the authority to issue a franchise by state statute and is utilizing this ability to provide "economies of scale" in pricing for businesses.

2. When would the proposed franchise begin?

The franchise would begin on or about February 1, 2015. The state statute (65 ILCS 5/19-11-1) requires a 15 month waiting period between the award of the franchise and the start of the franchise service.

3. What is the term of the proposed franchise?

The term of the franchise will be a minimum of 5 years and a maximum of 7 years (2015-2020/2022-still in negotiations).

4. Who is included in the proposed franchise?

All businesses are included in the franchise with the exception of home-based businesses.

5. What services are included in the proposed franchise?

The franchise includes garbage and recycling services as well as organic material (food scrap) collection option.

6. Is recyling included in the cost?

YES! One (1) recycling container (96-gallon/1.0 cubic yard/1.5 cubic yard) picked up once a week (1x per week) is included in your garbage rate at no additional charge. Additional recycling containers and/or pickups are available at an additional cost similar to current opportunities.

7. Why should I recycle?

It's good for the environment and a good business practice that customers appreciate, but it can also save you money! Recycling reduces the amount of material you throw in your garbage container. Less garbage may allow you to reduce your container size and/or pick up frequency. The result is lower costs. Here is an example:

Without recycling (2x collection): 2.0 cy@2x/week=$80 per month
With recycling (1x collection): 2.0 cy@1x/week=$41 per month
ANNUAL POTENTIAL SAVINGS IS $468/year

8. How will I know what size containers and service I need?

Prior to the start of the franchise, a representative from Groot will contact you to meet with your business to determine the most cost effective combination of container size and pick up frequency as well as the potential cost savings associated with recycling.

9. Can I select my container size and pick up frequency?

Yes! Each business will be able to select the container size and pick up frequency that best meets its individual needs.

10. What are the rates for garbage and recycling service under the proposed franchise?

According to the Solid Waste Agency of Lake County (SWALCO), the franchise rates are the lowest of any commercial franchise to date and are below "market" rates. To compare your current rate and potential savings, please view the rate table.

11. Will I save money?

Without knowing the current rate you are paying, this question cannot be answered. However, it is estimated that 90%+ will save money with the new rates, especially if you take advantage of the recycling option. The goal of the franchise is to support businesses through "economies of scale" to lower the rates. (Business needs vary but the most common services most likely will see savings).

12. What if my current rates are lower than the proposed franchise rates?

If your rates for garbage and recycling at the start of the franchise are lower than the franchise rates, Groot will freeze your rates for the first year. After the first year, the current franchise rates will apply. Under the franchise, however, you will receive the benefits of uniform rates for garbage and recycling services, rate increases limited to once per year and restricted to the rate of inflation, and no additonal fees or surcharges. The included recycling container (96 gallon/1.0 cubic yard/1.5 cubic yard) may allow you to reduce your container size and/or pick up frequency and lower your rates below your existing rates.

13. Will I still have a service contract?

Yes, each business will enter into a contract with Groot. The terms of the contract, including the rates, services offered (garbage/recycling/organics), recycling container, and customer service standards, are established under the franchise.

14. Who will bill me for service?

Groot will bill you monthly for garbage and recycling services. Your bill will NOT include any additional fees or taxes from the Village of Libertyville.

15. What are the billing terms?

Groot's standard billing terms are net 30 days. Please contact Groot at (877)-40-GROOT to discuss alternate billing terms. Groot reserves the right to suspend service to accounts with a past due balance of sixty (60) days. If garbage is no longer being picked up you may receive a code enforcement violation from the Village of Libertyville as well.

16. What if my current contract expires before or after the start of the proposed franchise?

Until the franchise begins, businesses may contract with any licensed hauler for garbage and recycling services. Haulers will be required to terminate any existing contracts without customer penalty at the start of the franchise.

17. What if I currently have a contract with Groot?

If you have a current contract with Groot, that contract will remain in effect until the start of the franchise. Groot has agreed to freeze existing customers' rates through the start of the franchise.

18. Will I recieve a new container?

Prior to the start of service, Groot will coordinate the delivery of containers for garbage and recycling. Your current hauler will remove their container(s).

19. Who do I call with service problems?

You will call Groot at (877) 40-GROOT to report any service problems, request an additional pick up, or modify your garbage and recycling services including container size and/or pick up frequency.

20. Will the franchise affect the current franchise for residents?

The rates for residential garbage and recycling services will not increase due to the franchise for commercial garbage and recycling service. The current rates are with Groot and are covered under an existing residential franchise agreement.

21. What does the Village recieve for the franchise?

Any franchise proposal was required to provide the Village with a $10,000 annual franchise fee. This fee covers the existing revenue received from hauler licensing for administration of services in the Village. Groot has offered an annual grant of $2500 for recycling education and 2 community shredding events per year as part of their proposal as well in order to promote recycling in the Village.

22. Who is Groot?

Groot Industries, Inc., headquartered in Elk Grove Village, is the largest independent solid waste management services provider in Illinois. Family owned and operated since 1914, Groot has nearly 100 years of experience serving municipalities and businesses in northern Illinois and has been the Village's residential hauler since 2006.

Groot has been an industry leader in recycling and alternative fuels and has received numerous awards its environmental stewardship. Groot's fleet servicing Libertyville will consist of trucks powered by compressed natural gas (CNG).

In addition to providing commercial garbage and recycling services, Groot has committed to provide additional community resources including two (2) shredding events per year as well as an annual grant for recycling education.

For more information please contact Groot at (877) 40-GROOT (877-404-7668).