Waste Management Beats BFI on Bid Again

by Elsworth Danly

Mountain Brook, Alabama, one of the wealthy white-flight cities that surround Birmingham, made the headlines recently. The Birmingham News ran a story about the big hike in trash pickup.

When it came time for a new contract, the city commissions had already called for bids. Guess who placed the low bid. You got it. Waste Management (of Alabama). The low bid boosted the cost to the taxpayers from $1.7 million to $2.4 million.

Guess what else happened. The new contract provides less service. Instead of having twice a week pickup, Mountain Brook now has once a week pickup. And, I almost forgot. The next lowest bidder was BFI.

BFI is missing something. It's not doing its homework. Low bidding is an art. To do it right, you have to invest in pre-bid exploratory research. It takes really good advance men, people who go in early and get to know the folks at city hall, from the manager on down.

A really good low-bidder will follow through with a really good negotiator -- who will strive for some breathing room in the contract. Room to hike prices later if untoward events intrude. Like maybe if the city wants a wee bit more service, or perhaps to change a comma or a semicolon in contract language. Good low bidders stay in touch with the right people, too. It's a long term affair. Why low bidders can become your best buddies. I don't want to get carried away, but I'll bet, well, I'll bet low bidders just become down right loveable.

Ain't Mountain Brook lucky?