Mobile Council Weighs Moving Annexed-Area Garbage Contract From A-1 McDuffie to EcoSouth; Rates Would Not Change
The Mobile City Council is considering a transfer of the residential garbage contract for areas annexed in 2023 from A-1 McDuffie Sanitation to EcoSouth Services of Mobile, with no change to schedules or rates.
MOBILE, Ala. — Thousands of households in the parts of Mobile annexed in 2023 could soon see a new company’s name on their garbage collection contract, though the city says their service should remain the same.
The Mobile City Council is scheduled to consider a resolution on Tuesday, Nov. 3, transferring the residential garbage and trash collection contract for those areas from A-1 McDuffie Sanitation LLC to EcoSouth Services of Mobile LLC. The proposal follows A-1 McDuffie’s plans to sell substantially all of its assets to EcoSouth, including the city contract.
The resolution is sponsored by Mayor Spiro Cheriogotis.
Who would be affected
The contract covers Kings Branch, Orchard Estates and the Cottage Hill Corridor. Together, those areas included approximately 6,658 homes when the city first awarded the agreement in August 2023.
Under the proposal, EcoSouth would assume the existing contract without changes to collection schedules, service requirements or the rates paid by the city. The two companies would both be responsible for ensuring uninterrupted service during the transition.
What the terms would look like
The existing contract runs through Aug. 28, 2029, with an annual payment limit of $1.5 million from the city. Neither of those terms would change.
EcoSouth would take on all contractual obligations and liabilities, while A-1 McDuffie would remain responsible for liabilities arising before the transfer.
Before taking over, EcoSouth would have to satisfy city requirements covering:
- Financial qualifications
- Staffing
- Equipment
- Insurance
- A performance bond
The transfer would also require council approval, completion of the asset sale and confirmation that all contractual conditions have been met. No effective transfer date has been established.
ADEM penalty is a separate matter
The council’s consideration comes days after a separate regulatory action involving EcoSouth. The Alabama Department of Environmental Management announced Oct. 28 that it is proposing a $38,600 civil penalty against the company over alleged environmental violations at the Axis Industrial Landfill in north Mobile County.
The alleged violations involve waste coverage, leachate management and other landfill operating requirements. The proposed penalty has not been finalized, and the allegations do not concern residential garbage collection services.
