Overflowing trash in a dumpster
In a move to address an estimated $1 billion shortfall in the upcoming fiscal year, Los Angeles elected officials will consider a proposal to increase trash collection fees by 54% from $36.32 to $55.94 a month.
On Wednesday, two committees will convene in a special session to discuss this proposal, which would necessitate two public hearings and further approval by the City Council. The fee increase would take effect in fiscal year 2025-26 -- and over the next four years rates would increase another 18%, reaching $65.93 a month by FY 2029-30.
The current trash collection rates are $36.32 per month for single-family customers and $24.33 per month for multi-family customers. The new rateswould apply to both of these categories.
Trash collection, called the Solid Resources Program, has been operating at a loss that requires a subsidy from the general fund, according to a fee study by HF&H Consultants.
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In FY 2025-26, that subsidy is expected to reach nearly $230 million – an increase of $89 million compared to an estimated $134.4 million in 2024 -- without the proposed rate adjustments. According to the study, the new rates would reduce the impact to the general fund to $180 million, which would be further reduced in the following four years.
The Bureau of Sanitation, also known as Los Angeles Sanitation & Environment, expects the cost of its trash collection service to increase to more than $550 million.
According to LASAN, the fee has not been increased since 2008. The increase is necessary to address inflation, expenditures such as staff salaries, maintain vehicles and equipment, as well as overhead costs.
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The bureau also seeks to raise trash fees to comply with SB 1383, which requires that 75% of organic waste be diverted from landfills. In 2023, the city launched its Organics Recycling Program to divert organic food scrapes and food-soiled paper products from landfills by placing such waste into green containers.
In FY 2023-24, the program collected a daily average of 720 tons of recyclables, 1,610 tons of organic waste, 15 tons of manure and 3,910 tons of residual waste.
The annual cost of the program is approximately $66 million.
This could impact approximately 743,000 households, and another 473,000 residencies that receive bulky item collection services.
LASAN has a fleet of 720 heavy-duty vehicles to drive around collecting trash from the San Fernando Valley, West Los Angeles, North Central, South Los Angeles and the Harbor Area.
