This is not an official blog of the City. It is the work of Mark Kapel who is solely responsible for content.

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Tuesday, November 22, 2016

How will waste hauler sale impact on the City of Bloomfiield Hills ?

 On September 30th  Canadian  based Toronto company  GFL Environmental and Waste  removing company, as Reported  By Crain's Detroit Business purchased Rizzo Environment Services for a reported 300 million dollars.
If that is news to you. It is because you were left in the dark by those  you trusted to inform you. That would be your City Commissioners, City official such as  Former City Manager Jay Cravens who resigned his position in early September  to take  an expanded opportunity  in  a Tennessee  community of 80,000.

It is hard to believe however none of our elected or appointed officials knew anything of the sale of a company they brought to our City two years ago, for a sum of money that is astronomical even for  Bloomfield Hills.

One can however take solace in the fact we were not alone is this regard.

Crain's Detroit Business says Patrick  Dovigi President of GFL claims that neither Rizzo nor it's New York private equity firm Kinderhook Industries, the largest previous Rizzo stock holder  ever mentioned  a pending  federal investigation.  GFN says they learned of it only after seeing a local Chanel 4 news broadcast and says there is a high probability  that GFN  not have completed  the purchase if it had if it had known of the investigation in advance.

What is being investigated is an alleged bribery  of officials  in three northern Macomb county  communities in which money was  allegedly given to procure long term waste hauling contracts.

 Of note is the money and the economy of scale,

Two weeks ago in a detailed article The Birmingham Bloomfield Hills Eagle  quoted Township Supervisor Leo Savoie said his township selected Rizzo in 2007 because of a price savings of less than five dollars per  household per month. Of course multiply $5 times the number dwellings and the number becomes monster sized.The amount  of money allegedly offered to those who allegedly took them were reported to be a little  than the cost of a compact car. There ae approximately 150  dwellings in the City of Bloomfield Hills and 90,000 in  Clinton Township. Unless they won Power Ball nobody in the City of Bloomfield Hills has thirty million dollars.

 In the Eagle Article the paper  quoted Supervisor Savoie as saying he and his staff are reading the newspapers and watching the news casts to see what the Township's options are. The article also quoted our acting City Manager and Police Chief  David Hendrickson saying the Our City Commission no interest in reviewing options or contracts  which figures. Our citizens it seems   are small potatoes in the scheme of things. Maybe  the  commissioners are waiting for Leo Savoie to lead the charge as he did in The Kensington tree cutting episode.  It was our Mayor at the time Michael Dull  who e-mailed the  media stating  that there was  the nothing the City could do. Many promises were made to City Residents in waste hauling election  of 2014 and not all of them were kept. Starting there would be a good idea.

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