Overview
The Solid Waste Division of the Public Works Department operates as an enterprise fund, meaning it covers all operating costs with its own revenue, rather than with general funds from the City's budget. While some of Solid Waste's revenue comes from drop-off disposal fees and the sale of recyclables, the vast majority (86%) of the money Solid Waste bring in comes from the monthly fee residents pay to have their solid waste collected from their homes. This fee is reflected on a customer's monthly city services bill, which also includes fees for water and sewer services.
The last time a solid waste rate adjustment was approved by Phoenix City Council was in 2020. Since then, staff costs have risen 32%, vehicle costs have gone up by 52%, and construction and maintenance costs for critical infrastructure have increased by 40%. During the same time period, the monthly solid waste rate only increased by 2% annually. The Solid Waste Division is expecting a budget shortfall of $20.8 million this fiscal year. To address this shortfall and keep revenue on pace with expenses, a rate increase is needed. The increase will ensure that Solid Waste can continue providing reliable service and comply with legal requirements when it comes to operating necessary solid waste infrastructure, such as landfills and transfer stations.
The approved adjustments to the monthly solid waste fee are as follows:
- $5 monthly rate increase effective July 1, 2026
$5 monthly rate increase effective July 1, 2027
$4 monthly rate increase effective July 1, 2028
- Include an inflationary factor not to exceed 5% annually from July 1, 2029 through July 1, 2033.
- Increase the optional curbside green organics collection subscription fee to one-fourth of the applicable monthly Solid Waste rate, effective July 1, 2026.
- Increase discount for smaller, 60-gallon container from $3/month to $5/month.
This increase to the solid waste rate will enable the Public Works Department to continue providing solid waste collection and disposal services as they currently exist.
Public Works collected feedback on the proposed rate increase through both community info sessions and a customer survey. The survey is now closed, but customers can always email us at solid.waste@phoenix.gov.