WILDWOOD – Every few years, city officials look for a company to collect trash. Gold Medal Environmental, based in Sewell, has been collecting waste in Wildwood for the past few years. They’re also responsible for several other Cape May County municipalities.
Right now, though, it’s up in the air as to whether they’ll continue in 2023 and beyond.
“I won’t know whether we’ll bid or not until we see the final addended specifications,” said Darren Gruendel, chief executive officer of Gold Medal.
He explained the issues he generally encounters when reviewing the contractual agreements between his company and the various towns.
“They are the most one-sided, antiquated contracts that I’ve ever seen. They are the cause of the price and cost problem. Most of these contracts do not have any – and certainly not appropriate – cost and revenue alignment,” Gruendel said.
Many of the contracts also include resolution processes that Gruendel says aren’t fair to his company.
Although it’s not clear what Wildwood’s contract will say this year, a 2019 contract acquired by the Herald states that the commissioner of Public Works has final say in any disputes between Gold Medal and the City of Wildwood. Mayor Pete Byron is currently serving as the commissioner of Public Works.
Earlier this year, Ocean City, Avalon, North Wildwood and Wildwood all faced price increases imposed by Gold Medal. The upward pressure resulted from rising fuel and labor costs.
Wildwood’s 2019 contract, for example, accounted for some limited increases in inflation. It did not anticipate today’s unprecedented inflationary environment.
Earlier this year, Wildwood acquiesced to the price increase Gold Medal required, approving the payment of an additional $128,049 in a May 11 meeting. The increase represented a nearly 18% increase from the original 2022 collection costs.
Pineland Recycling, another waste management company in the area, took over North Wildwood’s trash collection earlier this year when the city and Gold Medal parted ways.
Byron said he hasn’t yet heard about how North Wildwood’s new partnership with Pineland is going. Whoever ultimately receives Wildwood’s next contract, Byron just wants to ensure they’re providing the best service to the taxpayers for the lowest dollar amount.
The bid specifications presented by Wildwood have not yet been published. The resolution says the deadline will be Sept. 20. The commissioners are expected to accept or reject bids by late November.
