NEBRASKA CITY - City commissioners approved a 7 percent rate increase for garbage collection and an end to free recycling collection at the Nebraska City transfer station.

Brian Kelly of American Recycling and Sanitation, which has three years remaining on its franchise agreement with the city, said landfills have raised dumping fees and Iowa is imposing its 7 percent sales tax on collection services.

The Rock Port, Mo., company did not raise rates in 2024, but Kelly said higher costs ranging from wages to fuel contribute to this year’s raise.

He said the cost of recycling has also increased. A recycling center in Omaha is charging $135 per ton and American Recycling  company bears the cost of hauling the material.

People who have a residential recycling pickup will pay the 7 percent increase and drop offs at the recycling center will be charged $2 per bag or box.

Kelly: “Processing recyclables now days, you think there is some value to it, but they take all the value.”

Rates for basic service will rise from $14 to $15 a month. Vehicle charges at the transfer station will rise from $21.51 to $23.

Kelly said residential recyclables will continue to be hauled to a recycling center. About 23 tons of mixed recyclables were hauled out of Nebraska City in March.

Kelly: “We just hauled five loads to Omaha in the last few weeks.”

He said 170 of Nebraska City’s 2,200 customers pays for the residential recycling service.

Kelly said American Recycling and Sanitation was getting more for recyclables when it entered the franchise agreement with Nebraska City and Omaha wasn’t charging half of what it is charging today.

Mayor Bequette said the city will have to amend the franchise agreement to add the charge for recycling drop offs.