Hoffman Estates criticized for bypassing bids

Hoffman Estates officials late Monday approved an exclusive contract with Groot Industries for waste hauling in the village's commercial areas through 2015.

Other waste-hauling businesses were angered by the deal, not least because the village didn't let them bid. But the village board approved the deal 6-1, with Trustee Cary Collins dissenting.

Mayor William McLeod said having an exclusive contract with one provider will carry a number of benefits, including stronger encouragement of recycling and fewer garbage trucks on the streets.

The village is bypassing bidding, McLeod said, because a new state law taking effect Oct. 1 would force municipalities to go through a 15-month waiting period before approving such contracts.

McLeod added that Groot has proved itself through its service as the village's residential provider and was the only company to speak up when Hoffman Estates first began considering such a route.

John Larsen, general manager of Allied Waste in Elgin, said Chicago is also considering exclusive contracts but is still planning to individually bid out different sections of the city.

Larsen estimated Groot's multiyear contract to be worth between $5 million and $7 million, but that businesses won't know whether the best possible deal was struck without a bidding process. Hoffman Estates Village Manager Jim Norris said the Solid Waste Agency of Cook County, to which the village belongs, is recommending exclusive contracts. He pointed out that there's a provision for companies to opt out in case of a hardship.

But Larsen said there are no guidelines on what a hardship is. "I don't know what would be a bigger reason to opt out than that it's more expensive," Larsen said.