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S8138Senate2009-2010 Session

Prohibits the displacement of a private company providing subscription garbage, trash or refuse collection and recycling service

Sponsor Craig M. JohnsonSD-7Affects Local Government
Status
In Senate Committee
Local Government
Impact
Pending
Passage
Pending

Bill progress

Step 2 of 7

In committee · Local Government

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Who cares

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Sponsors

Primary sponsor
Craig M. Johnson

Senator · Senate District 7

No co-sponsors yet.

History

  1. Referred to local government

Full text

The text isn't available here yet. Check nysenate.gov.

Sponsor's memo

BILL NUMBER:S8138

Title of bill

An act to amend the general municipal law, in relation to subscription garbage, trash or refuse collection and recycling service

Purpose of the bill

To provide protections to an organization providing subscription waste and recycling service when a municipality decides to give one private firm an exclusive franchise or contract; or decides to begin providing solid waste collection service itself, displacing all other firms with solid waste collection arrangements and without compensation.

Summary of provisions

Section 1. Amends the general municipal law by adding a new section 97-a.

Section 2. Effective date.

Justification

When private firms are displaced, significant business losses can occur. These include years of building a competitive business. Easily quantifi- able losses include investment in trucks, equipment, and physical plant. Equipment purchased to honor contracts and franchises become surplus, lowering their market value often below indebted worth. There also are less quantifiable losses such as the value of goodwill with a customer base and the loss of expertise when personnel are laid off. For small waste service firms, these losses may cause bankruptcy. For a large firm, the sizable debt can jeopardize operations in other communities.

Although the Fifth Amendment states, "Nor shall private property be taken for public use without just compensation," how much compensation is just? In U.S. vs. Reynolds [397 U.S. 14 (1970)], just compensation was defined as the full monetary equivalent of the property taken and considered the cost of reproducing the property, its market value and resulting damages to the owner's remaining property.

The likelihood of displacement occurring has increased with the growth of special districts, regional authorities, and county waste management plans. Twelve states have recognized the importance of rectifying the taking of property rights of waste haulers and implemented "just compen- sation" initiatives.

Legislative history

New Bill.

Fiscal implications

None to the State.

Effective date

This act shall take effect immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.