How Can I Control My Garbage Bill at My Apartment Complex?
Brandon TurnerPro Member
Investor · Maui, HI · Member since 2009 · 13k+ posts · 3k+ votesHow Can I Control My Garbage Bill at My Apartment Complex?
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Bedford, NH · Member since 2012 · 2k+ posts · 1k+ votes
12yI wouldn't start by assuming the problem is your tenants.
1. How is your garbage removal priced? By the tip or ton? Either way, it sounds crazy high. Shop around.
2. Is access to the dumpster secured? Unsecured dumpsters have a way of becoming full very quickly.
28 Replies
- 12yDawn AnastasiPro MemberRental Property Investor · Milwaukee, WI · Member since 2013 · 6k+ posts · 4k+ votes
Do you have recycling where you are at?
In my area, each SFH is allowed one garbage cart. Every additional garbage cart costs me $13 extra per quarter. So when I inherited a tenant with an extra cart, I told the tenant that I was cutting them down to one, unless they wanted to pay the extra $13 per quarter. They were fine with going down to one cart versus paying the extra. You can have 2 recycling carts at no charge.
At my own home, I have just one garbage carts and 2 recycling carts. I think I make more recyclables than garbage.
- Real Estate Investor · Westport, CT · Member since 2013 · 26 posts · 3 votes12y
$1,000 a month is crazy. What are they putting in them? Have you seen the dumpsters right before pickup?
My two 12 unit buildings have once a week pickup (5x8 I think) and it costs $172 /mo per building.. and they're never full. $1k a month is 300% more than that... seems way too high.
I'm sure you've shopped the price around to other companies. Can you do a 80/20 test and figure out if the trash is being caused by a small number of tenants (ie, maybe as part of their job they're bringing home tons of trash).
- 12yRoy N.Pro MemberRental Property Investor · Fredericton, New Brunswick · Member since 2013 · 7k+ posts · 4k+ votes
Are you playing a flat rate for the dumpster or is it a base rate plus a tariff for volume or weight? Is access to your dumpster controlled? I.e is it secured (fenced in) so only your tenants have access, or is the whole neighbourhood using your dumpster?
Regardless, $1000/mth sound very high (here you would pay less than half that rate).
Are recycling services available in your area and what would be the cost to have a recycling dumpster located at your property? ... and, what would be the effort to train your tenants to use it? If you can train your tenants, you might be able to downsize the garbage dumpster. Also, keep in mind the recycling service provider makes money with the materials they collect, it is possible to find those who will leave a compartmentalised recycling dumpster for a very small fee.
- Residential Real Estate Investor · Kansas City, MO · Member since 2014 · 10k+ posts · 5k+ votes12y
I would call the dumpster company and ask for an explanation and then price shop it.
- Bedford, NH · Member since 2012 · 2k+ posts · 1k+ votes12y
I wouldn't start by assuming the problem is your tenants.
1. How is your garbage removal priced? By the tip or ton? Either way, it sounds crazy high. Shop around.
2. Is access to the dumpster secured? Unsecured dumpsters have a way of becoming full very quickly.
- Real Estate Investor · WI · Member since 2013 · 125 posts · 33 votes12y
@Brandon Turner I'm Assuming, You're with waste management, or are You in the city of Montesano?
John
- Bedford, NH · Member since 2012 · 2k+ posts · 1k+ votes12y
And if none of the above work, go to the local Capo, assure him of your loyalty, and plead poverty. :)
- Ladera Ranch, CA · Member since 2014 · 31 posts · 37 votes12y
@Brandon Turner - I would first try to renegotiate with them directly. Ideally, you'd want to be armed with some data before you call them (perhaps what other apartment buildings in your area are being charged per dumpster, per pickup). If that doesn't work, you can try enlisting the services of a waste broker / waste consultant that will negotiate with your servicer on your behalf. They work on a contingency fee (they take a percentage of the money they save you).
I'm sure there are several waste brokers out there, but refuse specialists is the best that I know of. http://www.refusespecialists.com.
The only problem is that they generally work with larger, institutional real estate portfolios that have sizable waste management contracts. Just an idea, but perhaps you can use the reach of biggerpockets to incentivize them to work on a smaller account.
Good luck!
- Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes12y
Around here recycling costs extra. If that's true in your area then even if you could train your tenants to separate recyclables you would increase your costs by doing this.
Have you tried setting up a camera and DVR to monitor the trash usage? Maybe you have other folks who are filling up your dumpsters. Or you have a tenant who's throwing construction trash or some such. But even if you find and eliminate a troublesome source can you cut your bill?
Essentially you're paying $250 a week. That's about what it costs to have a medium sized roll off delivered and picked up. So as high as that is its comparable to a weekly roll off.
- 12yJean BolgerPro MemberAurora, CO · Member since 2012 · 2k+ posts · 1k+ votes
If this is in a town where everyone pays individually for garbage pickup (vs. a town where the service is included in city services) then you may actually be providing a dumpster for a lot of people other than your tenants. I had a triplex in Denver (garbage pickup paid for with the property tax, dumpsters in the alleys behind the houses) we always had folks from the neighboring suburb of Wheat Ridge (individually paid garbage pickup) surreptitiously loading up the dumpsters.
I'm not sure what you could do about this though, unless you could fence off the dumpster and have a keycode access or something like that
- Property Manager · Rocklin, CA · Member since 2013 · 21 posts · 7 votes12yWow I manage a 300 unit complex and only pay $1250 per month. You need to shop around!
- Contractor · Easton, PA · Member since 2013 · 152 posts · 58 votes12y
Originally posted by @Brandon Turner:
Right now we are paying about $1,000 per month for a garbage dumpster at my 24 unit apartment complex, and it's pretty much always full.I have a 68, 23, 18, 18, and an 8 unit complex. One of my biggest gripes is trash pickup and the fee for that. Being a hands on landlord, I check the dumpsters regularly and what do I find. Almost everything. After one weekend I found three dumpsters at one community filled with old pressure treated material. These people didn't just fill one, but three of my dumpsters. Now at this apartment community, their rear patios are concrete, not pressure treated. What is happening is everyone and their cousin use my dumpsters like its theirs.
Recently I ran for commissioner of my municipality and won. One of my BIG issues is having a single hauler system. Right now in our small municipality we have 35 independent haulers, each driving up and down the streets every day of the week. It is up to the homeowner to make arrangements for trash pickup. And it costs 25-40 a month. So what do people do with excess trash or clean outs of the garage, homes, basements, yards, They take it to my apartment complex and use my bins.
But there have been public meetings about this issue and certain people show up and scream bloody murder that by going to a single hauler all the mom and pop businesses will go out of business and the big corporate accounts will thrive. In an adjoining municipality five trucks handle the entire job. think about the savings in $$$$$ and roads.
But I bet you have a system of independent haulers so your apartments are the regional dumping ground. What to do about it. Lock and key on the trash, a camera, or single hauler system.
- 12yJean BolgerPro MemberAurora, CO · Member since 2012 · 2k+ posts · 1k+ votes
@Martin Zawarski - Exactly! My sister moved to the town I mentioned in my post (the one that has individual garbage pickup). She was appalled by the inefficiency of it and tried to organize folks to support municipal pickup. But no. It seems that municipal garbage services would be intrusive big government at its worst; the thin end of a socialist wedge that would deprive the citizens of their right to choose which noisy truck lumbered up to their house on a weekly basis ;)
- Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes12y
@Jean Bolger almost all towns in our area have private haulers. Denver's the exception, not the rule. Aurora has private haulers, too. Not just us Wheatie's that have this issue. I've lived in several areas with city pickup and, despite the number of trucks, actually prefer the private pickup.
- 12yJean BolgerPro MemberAurora, CO · Member since 2012 · 2k+ posts · 1k+ votes
@Jon Holdman oh yes, I know- I'm an Aurorian now. It was a shock at first, but I've adjusted. The extra $250/yr seemed like so much after Denver's generous system! (But Aurora's other city services are excellent, I must say.)
And my sister has figured out that between her and her neighbor they still don't make enough trash/recycle to fill their bins, so they started sharing a set of bins and splitting the bill for one pickup.
- Investor · Vancouver, WA · Member since 2013 · 3k+ posts · 4k+ votes12y
I'm south of you in Clark County. We have a 1yd dumpster that is emptied weekly for an 8-plex. It cost $131.26 per month. A large recycle bin for glass and a large recycle bin for paper/plastic/metal are also included with that price. Our city uses a single hauler system and the provider is Waste Connections.
We occasionally have trouble with illegal dumping and reached out to WC and to our local police for suggestions to curb that. It's tough, because if you lock the dumpster and give tenants a key (we tried that) the illegal dumpers just toss their garbage next to the dumpster. The padlock also disappeared after two months. Even a fence around it doesn't help much because some people will toss their bags over the fence.
I have instructions in our rental agreement for proper garbage disposal and recycling. I require tenants to bag their garbage and to recycle. When we are experiencing a rash of illegal dumping, I give garbage bags with a special color draw string to each household and ask them to use them for awhile. Then I monitor the bags in the dumpster. If I see a different kind of bag, it's likely from an illegal dumper. We set up a critter cam to see if we could catch an illegal dumper on film, but it didn't work.
We have one tenant who is into ecology. He keeps an eye on the recycling bins to make sure people are recycling properly and takes out any trash that ends up in those. It you don't have someone living in your complex who would monitor the trash just because they want to, then perhaps you can pay someone to take on that role.
Offer incentives to your tenants for recycling too. Recycling really cut down on the amount of garbage we had, so we were able to change from a 2yd container to the 1yd one. Saved some bucks that way.
- Real Estate Broker · Canton, GA · Member since 2010 · 15k+ posts · 11k+ votes12y
Well could you add a security gate upfront for entry into the apartments.
That gets rid of a lot of people driving in to dump trash illegally. It generally gets rid of trouble makers and people parking in the tenants lots to do drug deals etc. or just loiter. You can put cameras at the gate you install. You want to send a strong message that you are actively watching the property for all violations. You still might get some dumping but generally not as much. The key with the lock would work but it's just not practical. A good fence helps to go around the property. Wood fences they tend to just kick the boards out so steel tends to be better. You want to keep people from using your property a as cut through.
Setting up even a fake camera with a sign with the county or city code on it that dumping is illegal. this site is monitored, and violaters will be prosecuted helps curb things. It's kind of like drugs in America that there will always bee some but the constant goal is to eliminate all of them.
Does your trash company just pick up once every few weeks or as they fill up?? At 1,000 if they are not coming around constantly that is a crazy price.
If these are low income tenants they generally tend to have a lot of junk and it comes with the territory. People that are poor from my experience have less quality items and a ton of hand me downs. What this equates to is instead of a 2,000 leather sofa lasting 10 years they have a piece of crap that is 15 years old handed down many times falling apart in few months. They use until they can't stand anymore and then it hits the dumpster. Not saying anything bad about it but that's just a way of life for many in that situation.
So when I had my 20 unit I would see a lot of junk of constant mattresses and sofa's, old tables etc. being thrown away all the time. Unfortunately these items take up a ton of space. We would have individual trash cans from the city. The trash company wouldn't put anything outside of the trash can into their trucks. So my PM and I would go out the day before pickup and tear down the big stuff and cram it into the trash cans! lol
- Contractor · Easton, PA · Member since 2013 · 152 posts · 58 votes12y
Originally posted by @Jean Bolger:
@Martin Zawarski- Exactly! My sister moved to the town I mentioned in my post (the one that has individual garbage pickup). She was appalled by the inefficiency of it and tried to organize folks to support municipal pickup. But no. It seems that municipal garbage services would be intrusive big government at its worst; the thin end of a socialist wedge that would deprive the citizens of their right to choose which noisy truck lumbered up to their house on a weekly basis ;
- These trucks get 2 mpg
- A single hauler need 5 trucks full time to replace 35 independent haulers
- These are the biggest and heaviest trucks in neighborhoods
- Probably there are 10 garbage trip per week on any given street versus 1
- These mom and pop trucks are the dirtiest polluters
- Garbage goes out on your block just one day a week. How many of you are awaken by the 6:00 pickup everyday.
- Investor · Maui, HI · Member since 2009 · 13k+ posts · 3k+ votes12y
Hey everyone - awesome responses! Here's my thoughts:
@Dawn Anastasi - we do have recycling, a big dumpster that we pay around $80 a month for. I might be able to increase the pickup on that, and it might decrease the garbage load. The problem I've been having with that, though, is tenants simply throw garbage in the recycle, and then the garbage company refuses to pick it up.
@Hunter H. - Sadly we only have 1 garbage company (ugh... #rural investing!) Not a bad idea with the 80/20 thought...@Roy N. - it's paid per load, not by weight.
@Andrew Syrios - Sadly they have the monopoly.
@Richard C. - I think I am going to try securing it. It's a hassle to have to deal with keys, and tenants loosing the keys, but I think that might just be the best option.
@John Adamkewitz - The apartment is in Aberdeen, WA so it's using the only provider - Lemay's Enterprises.
@Brad Johnson I had never heard of a waste consultant - I might have to look into that. However, being that the local company has a monopoly on garbage here, there's really no negotiation leverage I can use, huh?
@Jon Holdman I think I'm going to try the camera thing -I've been talking about it for years and have yet to set one up. Soon.
@Marcia Maynard - I like the idea of the colored trash bags... that might be a good idea.
@Joel Owens - I'd love to do a gate, but the way the apartment is situated, it would be really really tough. I did put up a big fence around back, and that helped a lot with the traffic driving through.
SO anyways, I think my next step is to get a camera, start watching closer to see what the real problem is.
I also thought about just sending out a notice saying that I was going to be passing on the garbage bill to the tenants, so they'll need to pay an extra $40 a month. That might cause some problems though, as I've just raised rent.
Thoughts? - 12yJean BolgerPro MemberAurora, CO · Member since 2012 · 2k+ posts · 1k+ votes
@Brandon Turner Just the threat of an extra $40/mo would probably be enough to get them to mount a guard on the dumpster themselves! It would at least discourage any complicity in illegal dumping...
- Rental Property Investor · Scottsdale, AZ · Member since 2010 · 390 posts · 599 votes12yBrandon Turner I had the exact same problem at my 32 unit. One of the first things I did was to install separate water meters and RUBS the trash and sewer essentially passing along all costs to the tenants. All other multis in the area covered these expenses but I made sure that my rent was $10 less than all competition. This drives demand for my units and I rarely get complaints on the utility costs. When I do get complaints I simply tell tenants that this arrangement allows for water and resource conservation and allows us to provide the best units and amenities for the best price.
- Investor · Vancouver, WA · Member since 2013 · 3k+ posts · 4k+ votes12y
About once a year when we have problems with illegal dumping by outsiders I also send a letter to the tenants and ask for their help. Along with giving them the trash bags with colored ties I also offer a $50 reward to anyone who provides information that results in our catching the culprit. Haven't had to pay out the $50 yet, but the tenants do pay more attention. Instead of being just my problem, it becomes a community concern of all of those living in the 8-plex. They do rise to the occasion and appreciate that I am taking action, not just ignoring the problem.
I think monitoring the problem more closely to get to the root cause and involving the tenants in that effort will pay off.
Reduction of waste in the first place would be a good goal for not only your bottom line but for the environment.
Passing the garbage bill onto the tenants may be introducing some ill will, especially since you just did a rent raise. In our municipality we can not directly bill tenants in multiplexes for garbage or require them to have their own account. Garbage service has to be included in the rent, paid by the property owner.
- SFR Investor · Stillwater, OK · Member since 2014 · 168 posts · 37 votes12y
I have noticed in some neighborhoods where the home owners only get one container and afew start using the dumpsters before long it's the go to place.
I have watched people empty pickups even a trailer load
Some smaller businesses even do it
I know a landlord who tells his guy to swing by an apartment or store to dump the old mattresses and trash or building materials (and He has his own dumpsters but likes to keep them empty ) I said something to him about it.but he thinks its ok.
At times its the renters telling their friends they can use your dumpsters
If you catch them in the act and do alittle roasting with a flamethrower they may get the hint!
- Investor · Clarksville, IN · Member since 2012 · 226 posts · 96 votes12y
Originally posted by @Brandon Turner:
Right now we are paying about $1,000 per month for a garbage dumpster at my 24 unit apartment complex, and it's pretty much always full. We can't shrink the dumpster or decrease the number of pickups unless people throw away less stuff.
24 units for $1000 a month works out to $41.66 per unit, per month. What's crazy is that normal garbage service for a house is only $21 per month. So, technically, I could get 24 garbage cans, and give each tenant their own can and it would cut my costs by $500 per month.
However, 24 cans is just not going to happen. No room, and it would be a logistical nightmare.
Any suggestions? How do I cut my bill down, or encourage tenants to throw away less?What would you do?
(and just for fun, I found this gif online: )
I will be your trash consultant. I will only charge you one months savings.
Effective immediately, a $21.00 per month/unit pass thru is in effect. This is over a 50% savings for you.
I accept cash, check or PayPal, what is your pleasure?
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