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City of Lincoln
Proposed Lincoln trash fee increase cites war in Middle East
[March 25, 2026]
Seven members of the Lincoln City
Council were present for the March 24, 2026, Committee of the Whole
meeting where officials discussed a request from waste management
provider GFL Environmental to implement a temporary fuel surcharge
due to rising diesel costs. Alderwoman Robin McClallen was
absent for the evening.
GFL, which provides residential trash and recycling services in
Lincoln, describes itself as “the fourth largest diversified
environmental services company in North America, providing
comprehensive solid waste management services… throughout Canada and
18 U.S. states.”
Speaking before the council, Eric Shangraw (Municipal Marketing
Manager at Coulter Companies/ PDCAREA) explained that the company is
invoking a provision in its contract that allows it to seek relief
under extraordinary circumstances.
“Our position is that this war in the Middle East is something
that’s beyond our control [and] is affecting our cost dramatically,”
Shangraw said. “The price of diesel fuel has gone from 3.88 a gallon
at the beginning of the month to 5.16 a gallon as of yesterday.”
He emphasized that while fuel costs have risen before, this spike is
unusually rapid.
“This quick of a spike… is very unusual,” Shangraw said.
According to data referenced in the city’s memo, Midwest diesel
prices rose from $3.755 in December 2025 to $4.970 by mid-March
2026, reinforcing the sharp upward trend.
Shangraw noted that GFL did not
request similar relief during previous periods of high fuel costs,
including during the COVID-19 pandemic.
“I didn’t feel like I had the right excuse or the right reason… The
war itself… is something different.”
GFL is requesting approval to implement a 15% fuel surcharge on
residential trash and recycling bills, beginning with the April
billing cycle. Under the proposal, the surcharge would apply for one
quarterly billing cycle (three months), covering April, May and
June. Residents would see the increase reflected in their quarterly
bill.
Alderman Sam Downs confirmed the cost impact during the meeting.
“So the citizens of Lincoln pay $18 a month for trash services now…
at a 15% increase that will raise it $2.70 a month. Is that right?”
Downs asked.
Shangraw confirmed Downs’ statement—meaning approximately $8.10
would be added to a quarterly bill. Senior discounts would still
apply, however, reducing the increase slightly for qualifying
households.
While the request is framed as temporary, GFL indicated the
surcharge could return if fuel prices remain elevated.
“I’d like to keep it in place as long as diesel fuel is over $4.50 a
gallon,” Shangraw said.
However, the city’s leadership emphasized that any extension would
require additional council approval. The current proposal is limited
to one billing cycle as a safeguard.
“The reason we asked for the single billing cycle was so that…it
didn’t fall through the cracks,” Welch said. “We want it to be kind
of in the forefront of our minds so that it just doesn't get out of
hand”
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If diesel prices
fall below $4.50, GFL stated it would not seek continuation of
the surcharge.
One point of clarification during the discussion involved
whether the surcharge would be adjusted if fuel prices drop
during the three-month billing period.
Shangraw confirmed that it would not.
“We’re not going to add and remove,
we’d be in an accounting nightmare.” He said. “It’s going to come in
three-month increments.”
That means residents would pay the surcharge for the full quarter
once it is applied, regardless of price fluctuations during that
period.
Council members expressed mixed reactions, with some acknowledging
GFL’s situation while others raised concerns about passing costs
onto residents.
Alderman Stan Anderson voiced opposition to the increase.
“I’m not in favor of passing on any expense, any additional costs,
to the residents,” Anderson said. “It may only be $2… but that’s
another $2 that we’re taking away from our residents.”
Others emphasized maintaining a working relationship with the city’s
waste provider.
“I do think we have a good deal, and I do want to keep a healthy
relationship between us and GFL,” Downs said. “This is kind of a
tough situation.”
Shangraw argued that Lincoln’s current contract remains relatively
affordable compared to other municipalities.
“You still have a very good, reasonably priced contract,” he said.
“Especially if you would compare this to other municipal contracts
[to] your neighbors, or the subscription folks that are outside of
your community.
The council also briefly discussed the possibility of the city
absorbing the surcharge rather than passing it on to residents.
Welch said that option would cost the city roughly $10,800 to
$15,000 over the three-month period.
“It’s a lot of money… not saying it’s a great option,” Welch said,
“but it’s something for conversation.”
No consensus was reached on that approach.
After discussion, council members agreed to move the proposal
forward for a formal vote.
The fuel surcharge request will be placed on the agenda for the
April 6 City Council meeting, where aldermen will decide whether to
approve or reject the temporary increase.
[Sophia Larimore]
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