Pay-As-You-Throw Garbage Rates

Proposed Pay-As-You-Throw (PAYT) Solid Waste Rates – Coming 2026

The City of Bloomington is exploring updates to its Pay-As-You-Throw (PAYT) garbage rates that could take effect in 2026. These changes are designed to make the system more fair, encourage recycling and organics diversion, and keep solid waste services financially sustainable for the long term. The changes are based on a comprehensive Solid Waste Pay-As-You-Throw Rate Study that was conducted in 2024.

Why PAYT?

With PAYT, residents pay for garbage collection based on the amount of trash they set out—similar to paying for water or electricity. This means:

• Households that generate less waste pay less.
• Larger waste generators pay more in proportion to what they throw away.
• Everyone has a financial incentive to recycle, compost, and reduce waste.

Bloomington already has a PAYT system, but the price differences between cart sizes are small. Right now, doubling garbage service costs only about $4 more per month.

Study & Community Engagement

In 2023–2024, the City partnered with Skumatz Economic Research Associates (SERA) to study potential improvements. This included:

• A physical set-out survey of over 500 homes to see how full garbage carts really were. (On average, carts were only half full!)
• A web survey with 800+ responses, where residents said they were open to recycling more, composting food scraps, and even considering every-other-week garbage collection.
• City Council discussions and contract updates with our haulers to make PAYT changes possible.

Findings showed that many households are paying for more garbage service than they need. A smaller cart—or every-other-week pickup—could work well for many residents. Read the full report here.

Proposed 2026 Rates

The City’s proposed rates create stronger incentives to reduce waste.

What this means for you:

• Staying with a 95-gallon cart will cost about 32% more than the projected 2026 costs if the City kept its rate structure the same as it is today.
• Downsizing from a 95-gallon to a 65-gallon cart could save you money (about $1.20/month).
• Choosing a smaller cart (35 gallon or EOW service) can reduce your bill by 30% or more compared to projected 2026 costs if the City kept its rate structure the same as it is today.

Benefits of the Updated PAYT System

• More control over your bill – you choose your cart size and service level.
• Lower average costs – the average Bloomington household will pay slightly less than under the previously projected 2026 rates if the City kept the same rate structure in place today.
• Environmental impact – increased recycling, composting, and source reduction lower greenhouse gas emissions and support state and county waste goals.

Next Steps

The proposed Pay-As-You-Throw rates are still under review. Here’s what’s coming up:

• October 20, 2025 – City Council Study Session on 2026 Utility Rates and Budget Discussion.
• November 17, 2025 – City Council Utility Rate Public Hearing, where residents can share input.
• November 17, 2025 – Following the hearing, Council will vote to officially adopt the 2026 rates.

If approved, the updated PAYT rates will go into effect in 2026, and the new small every-other-week garbage service level would begin at that time. Residents will be able to request the service level beginning on November 18. Residents can request a cart size change at anytime. To change your cart size, contact Utility Billing at 952-563-8726.