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A Resolution Approving the Renewal of the Independent Contractor Agreement with Lakeshore Recycling Systems, LLC for Municipal Trash, Recycling, Food Scrap/Yard Waste, Household Hazardous Waste and Electronics Collection for a Two-Year Term in an Amount Not to Exceed $3,800,000 for 2027 and Authorizing its Execution
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Introduction
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The Village’s five-year waste hauling contract with Lakeshore Recycling Systems (LRS) expires on March 31, 2027. The agreement includes a renewal provision for a one (1) to three (3) year term. Staff recommend exercising a two-year renewal to avoid potential disruptions to waste hauling services and cost increases for the Village’s single-family residents and institutions that are serviced under the 2022 agreement.
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Recommended Action
Adopt the Resolution.
Prior Board Action
The Board has taken the following prior action(s):
• The Board adopted a resolution approving the Independent Contractor Agreement with Lakeshore Recycling Systems on November 15, 2021 (RES. 21-279).
• The Board amended the agreement with LRS on April 30, 2024 (RES 24-180).
• The Village Board was provided with a presentation by staff and LRS on January 13, 2026 (ID 26-121).
Background
Over the past four years, the Village has developed a strong, collaborative partnership with LRS, grounded in shared priorities: high-quality customer service, operational transparency, and a commitment to advancing Oak Park’s sustainability goals. LRS consistently demonstrates a willingness to innovate, adapt, and exceed contractual expectations in support of the community. Their responsiveness, openness to data-driven improvements, and alignment with the Village’s environmental objectives have made them a valuable partner as Oak Park continues to pursue waste-reduction, waste-diversion, and climate-action initiatives.
In recognition of this successful partnership and LRS’s proven performance, staff recommends approval of a two-year renewal of the Village’s municipal solid waste contract. While the Board may elect to authorize a one- or three-year extension, staff finds that a two-year term offers the optimal balance of cost stability, service continuity, and flexibility as the Village prepares for future programmatic changes and evaluates long-term waste management strategies. The expanded commitments negotiated for the renewal period further strengthen the Village’s position and reinforce LRS’s alignment with community priorities.
Since assuming service responsibility on April 1, 2022, LRS has consistently met operational expectations and collaborated with the Village on numerous sustainability initiatives beyond the scope of the existing contract. While public opinion varies, staff report that the volume and frequency of waste-related complaints have remained stable since the transition. The 2025 Residential Waste Survey, with more than 1,100 responses, found that 89.1% of single-family residents approve of the services provided by LRS.
One of LRS’s first sustainability actions was purchasing all existing residential trash, recycling, and compost carts from the previous hauler. This significantly reduced the environmental impact associated with manufacturing and distributing new carts for 11,149 households and ensured a smooth service transition. In 2024, LRS began providing two (2) complimentary annual Electronics Recycling Drop Off Events at the Public Works Center.
Following the Board’s 2024 decision to shift the Fall Leaf Collection Program to a bagging model, LRS partnered with the Village to facilitate a successful transition while amending the contract to hold program rates flat for 2025. Despite operational challenges during the 2025 leaf season due to extreme weather conditions, LRS continued to support the Village by offering bi-weekly alley leaf collection through March 2026 at no cost. This avoided the typical $18.25 fee per off-season yard waste pickup and prevented a significantly more expensive cleanup effort.
LRS also played a key role in the Village’s 2025 Waste Characterization Study by providing supplemental data, coordinating with field staff, and allowing the Village’s contractor (SCS Engineers) to use the LRS Maywood Material Recovery Facility and Transfer Station for sample consolidation and sorting. Their participation generated valuable insights into Oak Park’s waste generation and diversion patterns, advanced implementation of the CROP Plan, and will inform future environmental policies and programs.
In response to Board feedback on January 13, 2026, and further discussions with staff, the initial contract renewal terms have been expanded to include the following commitments from LRS:
• Extended Fall Leaf Collection Program
o Increase from 6 to 8 weeks of collection during the renewal term with no additional cost.
• Year-Round Yard Waste Collection (with green stickers)
o Removal of seasonal restrictions outside April-November.
o No stickers required during the 8-week Fall Leaf Collection period.
o Bi-weekly compost/yard waste collection continues December-March.
• Enhanced Customer Service
o One additional LRS representative dedicated to managing waste-related reports through the Village’s Resident Request portal
• Cart Repair and Replacement Program
o A proactive effort in Summer 2026 to address aging legacy cart inventory
• Pilot Program for Smaller 32-Gallon Trash and Compost Carts
o Supported by 2025 study findings showing Oak Park generates significantly less waste per capita than national and Suburban Cook County averages, and survey feedback indicating interest in more bin sizes and pricing options
• Continued use of the Region’s Only Electric Waste Hauling Truck
o Providing weekly municipal curbside compost collection.
• Flat Service Rates for the First 12 Months of Renewal (with “Like” Tonnage Agreement”): Currently being explored by Staff.
o Agreement would allow LRS to haul Oak Park’s waste to its Maywood Transfer Station (6-mile round trip) while sending an equivalent tonnage from another municipality to the Groot Transfer Station in McCook (20-mile round trip), maintaining compliance with the Village’s RDP contract (expiring December 31, 2028).
o This operational shift is expected to improve route efficiency and reduce carbon dioxide emissions by approximately 64 tons per year.
o Remaining renewal years would include CPI-based adjustments (3% minimum)
• If a “Like” Tonnage Agreement is Not Reached
o LRS proposes a 4% increase for the first 12 months, with CPI-based adjustments thereafter (3.5% minimum).
Timing Considerations
If the renewal is not approved, Village staff will require sufficient time in 2026 to develop the RFP and complete the competitive bidding process, as well as additional time to plan and coordinate with a new hauler to ensure a smooth transition and minimize any disruption to residential waste collection services in 2027.
Financial Impact
There is no budget impact associated with this item in 2026. Based on the direction provided by the Village Board, staff will propose the FY 2027 budget to include the necessary funding to support this agreement.
Operations Impact
Should the Board vote to approve the renewal, the operating impact associated with this item is expected to be minimal. If the Board chooses not to approve the renewal, staff will be required to dedicate substantial time to developing the RFP, managing the bidding process, and selecting a waste hauler for 2027 whereby utilizing staff time currently spent providing customer solutions, exploring additional sustainability initiatives, and coordinating recycling events Depending on the outcome of that process, and particularly if a new hauler is selected, additional staff time and Village resources will be necessary to prepare the community and support a smooth operational transition between service providers.
DEI Impact
There is no DEI impact associated with this item.
Community Input
• The EEC recommended the selection of LRS in 2022.
• The 2025 Residential Waste Survey, with over 1,100 responses, also showed that 89.1% of single-family residents approve of the services they receive from LRS.
• Feedback provided by the Village Board from the January 13, 2026, Board meeting has been reviewed and incorporated into the expanded renewal terms.
Staff Recommendation
Adopt the Resolution.
Advantages:
• This action ensures continuous service and avoids disruptions for residents. Renewal cost increases are predictable and tied to CPI.
• LRS has proposed service enhancements aligned with Board goals and priorities.
• Staff recommends a two-year renewal to align with the RDP expiration to allow for further discussion about continued participation and disposal rates. LRS currently offers the Village a disposal rate that is $0.46 less per pound than the RDP rate.
• Staff time and resources can be redirected to other priority initiatives instead of an intensive RFP process.
• This action maintains and strengthens an already productive working relationship.
Disadvantages:
• Open bidding could result in the same or an increased service level provided to the Village at a lower cost than the current renewal option.
Alternatives
Alternative 1:
The Board can table the item for additional information or discussion.
Advantages:
• The Village Board would be provided with the requested information.
Disadvantages:
• Delays will impact the timeline for bidding, negotiation, and transition.
Alternative 2:
The Board can put forth a friendly amendment to revise the renewal term to one (1) or three (3) years.
Advantages:
• This action can result in a renewal term that would better represent the Board’s interest.
Disadvantages:
• Future RFP bidding process will not line up with RDP renewal.
Alternative 3:
The Board can vote down the item and direct staff to put the Residential Waste Hauling contract out for proposals.
Advantages:
• Open bidding could result in the same or an increased service level provided to the Village at a lower cost than the current renewal option.
Disadvantages:
• Open bidding could result in the same or a lower service level provided to the Village at a higher cost than the current renewal option.
• The Village currently benefits from supplemental services provided through a cooperative partnership with the existing hauler-such as free e‑waste events, expanded compost sites, and additional leaf collection. Securing these services with a new hauler would likely come at an added cost.
• Significant staff time and resources will be required to facilitate the process.
• Should a new hauler be selected, the community will face another transition experience that may be similar or more challenging than the transition in 2022.
• If a new hauler is selected, the community will likely need a full replacement of all refuse containers, creating significant sustainability impacts and potential customer service challenges due to the complexity of the rollout.
• The Village Board will need to devote significant meeting time later in 2026 to select the waste hauler for the upcoming contract year.
Anticipated Future Actions
No further action is required at this time should the Board choose to approve the renewal of the agreement. If the Board elects not to approve the item, staff will return later this year with a new agreement developed through a competitive bidding process.
Prepared By: Rob Sproule, Public Works Director
Reviewed By: Jack Malec, Assistant to the Village Manager
Approved By: Kevin J. Jackson, Village Manager
Attachment(s):
1. Resolution
2. Renewal Agreement
3. LRS 2026 Proposal
4. Supporting Documentation
5. LRS Renewal Table Info