Chicago Issuing RFP to Privatize Recycling Program

Chicago Mayor Richard Daley has announced that the city is looking to privatize its residential recycling program. To accomplish this, the city will be issuing a Request for Proposals (RFP) for privately-owned companies that are able to provide collection services for the city’s blue cart recycling program. The RFP is expected to be issued by the end of this October.

The city provides recyclables collection services to around 241,000 residences in the city.

A spokesman for Chicago’s Budget Office says that the city will continue to provide solid waste collection services for city residents.

Along with taking over the city’s recyclables collection program, the RFP also is seeking a waste management firm that can use the expected savings from the privatization program to expand the city’s recycling program to new areas. The city had been planning on expanding the recycling services to more residents of the city when economic problems forced the city to curtail its expansion plans, according to Daly.

“Several weeks ago, we announced that next year Chicago would have a substantial budget deficit -- a direct result of the continued impact of the nation's recession on city revenues,” Daley said in a City Hall news conference. “To help balance next year's budget, we must continue to improve the management of government so that it works better and more efficiently for people.”

“I want to be clear that the RFP’s might come back with bids that don’t provide financial or operational benefits. We’ll see what the marketplace says. But, I'm always looking for new ways for us to do better, so I hope we receive some solid responses,” Daley continued.

In addition to issuing an RFP for a company to collect recyclables from the curb, Daley said the city also is looking at a separate plan to provide more recycling drop-off bins at various chain groceries and pharmacies throughout the city to make recycling more convenient.

The plan to privatize Chicago’s recycling program is only one of a number of city programs that may be privatized. Other departments that are slated to issue RFPs for privatizing services include the Department of Human Resources, the Office of Special Events, the Department of Fleet Management, Animal Care and Control, the Department of Revenue and the General Services Department.