County of Essex won’t dip into reserves to pay for green bin program

Essex County council will not be dipping into reserves to pay for the green bin recycling program.

Lakeshore Mayor Tracey Bailey brought forth a motion at last Wednesday night’s meeting which could have seen 100 per cent of the cost paid out of reserves in 2026 for the Phase One municipalities of Essex, LaSalle, Lakeshore and Tecumseh.

“The key fundamental reality is that there are no reserves dedicated to fund green bin costs. The program was approved as a user pay model with participating households covering the expense,” said Essex County director of financial services/treasurer Melissa Ryan.

Bailey’s motion also requested 50 per cent of the cost for Phase One municipalities to be paid in 2027 and 100 percent for Phase Two that year which includes Amherstburg, Leamington and Kingsville.

Ryan explained that if that was to occur, then the $15 million in the rate stabilization reserve fund would take a hit of $9 million this year and $11 million in 2028 which would put the county into a deficit.

“Reserves are not surplus funds, they are a financial risk buffer. Using one-time funds to cover an ongoing operational program creates a structural imbalance,” said Ryan.

Amherstburg Mayor Michael Prue wanted to know how much would be taken out of reserves.

“How would we go about replenishing the $20 million into the reserves? We would have to raise taxes. So, in the end, there is no savings for the people of the county,” said Prue.

Figures released by the county indicate that the cost of the organic waste-green bin program will cost Amherstburg $1,901,275 in 2027, $1,939,301 in 2028 and $1,978,067 in 2028. The county has a seven-year contract for the program.

“At some point, we have to have the bigger conversation around garbage, organics, recycling and reducing the costs,” said Bailey.

While the exact cost per household is not yet determined, Amherstburg Deputy Mayor Chris Gibb said it would be about $150 per year. He noted last week that diverting organics away from the landfill will save Amherstburg about $30,000 per year in tipping fees.

“When we sat here to debate the budget, we knew what this was going to cost,” said Gibb.

Gibb was against the idea of using reserves to pay for the program, saying, “I’m not going to use reserve funds to make this more palatable, especially in an election year. I am a hard no on this.”

While Bailey’s motion to use reserves was defeated 11-3, Ryan did offer councillors an alternative, suggesting 10 per cent of the program be paid out of the reserves over the next two years. 

Essex Deputy Mayor Rob Shepley thought that was possible and also suggested that maybe the county could reduce the amount going into the new mega-hospital reserve this year and put towards the green bin program.

County CAO Sandra Zwiers advised against that.

There continues to be pushback about the green bin program and county resident Doug Doher wanted to see it halted until more information was gathered.

“Public input from the taxpayers is a fundamental part of the democratic process,” said Doher. “This is about transparency, accountability and responsible stewardship of the taxpayers’ dollars.”

Doher added that currently 73 per cent of county residents are not participating.

County of Essex won’t dip into reserves to pay for green bin program

By Fred Groves