A Recology dump truck drops off a load of garbage at the John Smith Road Landfill.

The San Benito Board of Supervisors, in a 5-0 vote, approved a 10-year franchise agreement with South Valley Recology worth about $100 million to handle the county’s waste. The proposed deal will also need to be approved by the city councils of Hollister and San Juan Bautista. The new contract would go into effect Nov. 1.

Rates for both commercial and residential service will be increased.

The increases endorsed June 12 would depend on the size of the waste carts for garbage or organic waste for both residential and commercial customers. Residential rates, billed every other month, will increase on Nov.1 by 15 cents for 20-gallon carts, $2.55 for 32-gallon carts, $5.67 for 64-gallon carts, and $14.77 for 96-gallon carts for weekly collection of garbage, recyclables, and monthly yard waste and food scraps.

For commercial and multifamily units, the rates are calculated by bin and cart size. The proposed 2018/19 increase for 1-1 yard bins would be $49.04, 1-2 yard $61.64, 1-3 yard $90.58, and for 1-4 yard $121.41. For 64-gallon carts, the increase would jump by $14.38, and the proposed rate for 96-gallon carts is $23.46. Commercial customers are billed monthly.

For organics collection for commercial and multifamily units, 1-1 yard bins would cost $90, 1-2 yard bins would cost $142.50, 64-gallon carts $30.60, and 96-gallon carts $46.80. Organics are collected weekly, and commercial customers will be billed monthly.

Future price increases will be based on the government’s consumer price index.

Assuming the cities approve the deal, the county will notify property owners of the increase by July 31. Customers who object to the rate increase can file a written protest by an Oct. 9 public hearing. If a majority of property owners register objections, the county cannot allow an increase in rates.

South Valley Recology would pay the county a $188,610 franchise fee for every year of the contract.

Starting on Nov. 1, customers will throw food waste into their yard waste bins. The mixed yard and food waste all go to Recology’s composting facility, South Valley Organics.

In April, the county agreed to enter exclusive negotiations with Recology after reviewing bids from Green Waste Recovery and RJR Resource Recovery.

South Valley Recology has handled San Benito County’s waste disposal service since 2007. Today, 17 drivers service the area.

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