New Braunfels residents could see an increase to their solid waste rates this spring due to anticipated revenue and expenditure challenges.
What you need to know
New Braunfels City Council is considering increasing the city’s monthly residential garbage and recycling rate from $17.66 to a $20 flat rate beginning April 1.
The proposal also includes an annual $2 rate increase through FY 2031. The proposed rate adjustment would increase residents' bills by $2.34 monthly and $28.08 annually, according to an Oct. 12 meeting presentation.
Assistant City Manager Jared Werner said the new rate will encompass garbage and recycling.
“When we do get to a recommendation of an updated rate, we do plan on combining the rates,” Werner said. “By our current ordinance, the residential, garbage and recycling rates are separated so we plan to combine those.”
Digging deeper
The city’s solid waste team has had to manage a myriad of market challenges. In 2022, multifamily tenants transitioned from residential customers to commercial customers, which resulted in a $300,000 loss in revenue, Werner said.
The city’s recycling market, which used to be an annual $200,000 source of revenue, has become an annual $275,000 expenditure, according to the meeting presentation.
Vehicle acquisition costs are also a large expenditure. The average vehicle cost has increased by roughly 44% between 2019 and 2026 due to inflation and other factors. Werner said they expect to spend $3 million in annual vehicle replacements over the next five years.
To help mitigate these financial issues, city officials have implemented Routeware technology to streamline routes and decrease training time for drivers. The city modified its recycling and green waste services from weekly to bi-weekly, which created recurring savings by eliminating five full-time positions, according to the presentation.
The 2025 opening of WM’s Mesquite Creek Recycling Facility also helped the city reduce expenses by improving route efficiency, according to the presentation. The city’s recycling trucks had previously been driving to material recovery facilities in San Antonio multiple times a day.
The proposed rate increase and subsequent increase would allow the city to recover costs and maintain its fund balance target, Werner said.
Next steps
City staff will present a final presentation on the proposed rate structure on Nov. 16.
There will be a public hearing and first reading on Dec. 14 to update the city’s solid waste ordinance. The dais will consider the proposed ordinance change on second and final reading at a meeting on Jan. 11, according to the meeting presentation.
