Athens Services terminates contract with San Marino, California

Athens Services, based in City of Industry, California, has terminated its waste hauling and street sweeping contract with the city of San Marino, California, effective May 30.

Athens has served as the city’s primary residential and commercial waste hauler and recycler for more than 50 years.

In a news release published by the city, San Marino officials claim Athens decided to terminate its contract due to failed contract negotiations, which have been ongoing since 2021.

According to city officials, Athens ended negotiations when the city would not agree to price increases greater than 21 percent and “less protection for [its] residents.”

“Athens’ decision to discontinue negotiations is unfortunate and unexpected,” the city says in a news release. “However, it allows the city the opportunity to undertake a fair, open, transparent and competitive request for proposals [RFP] process for waste collection services, for a new contract that will likely be valued in the tens of millions of dollars.”

In a letter addressed to the city, Athens Services claims negotiations from San Marino did not proceed in good faith or with regularity, the San Marino Tribune reports.

“This is the first time in our company’s 68-year history that we have elected to exercise the termination clause of one of our franchise agreements,” Athens writes in its letter. “The city did not meet with us at least twice per month. The city refused to meet in a regular cadence to develop negotiating momentum.”

Athens claims the city delayed negotiations, causing the company to exercise its termination option and pursue legal remedies. According to San Marino's press release, Athens has filed a claim for damages against the city.

San Marino officials say they hope Athens will reconsider its position, continue to serve the city and participate in the upcoming RFP process. Athens says it is willing to engage in negotiations with the ad hoc committee principals to reach what it calls a fair and reasonable agreement.  

“In the meantime, the city is actively negotiating with other waste haulers to step in and continue waste collection services in the event that Athens does not reconsider their abandonment,” the city says.

San Marino is not proposing changes to the way waste is collected and says it intends to preserve the backyard service model with any waste hauler moving forward.

Waste Today has reached out to Athens Services for comment.