City of Fort Worth Franchise Fee Explained

To Summarize:  Fort Worth is widening the net and now enforcing a provision from an age-old ordinance pertaining to solid waste.   The enforcement will bring more revenue to the city which they will reinvest to help keep our streets clean etc. 

How this will affect you?

Roll-Off Customers
For a long time, it was assumed by many dumpster companies that this ordinance did NOT apply to C&D Waste (Construction & Debris).  That is not the case. And to remain compliant, ALL dumpster companies are being asked to register with the city and start charging a 10% “Franchise Fee” surcharge to every invoice.  Failing to register with the city will not only lead to steep fines but outright banishment.

Permanent Dumpsters / Commercial Dumpsters  
For the most parts, this 10% fee has always been collected by Commercial Front-Load waste haulers.  Sundance will soon start to show the fee as a separate line item. The total monthly Is not expected to change for anyone with a permanent front-load dumpster. 


Some added contexts…

Instead of restricting businesses and contractors to using only one waste hauling company, the City of Fort Worth has chosen to be an “Open Market.”  This is a good thing. It ensures contractors and businesses can research and use their own waste provider and not be beholden to a single monopoly.

It's common in Texas for small cities (especially in rural areas) to contract a single waste provider. This is because the population often doesn’t support open-market competition.  But there are also large municipalities - like Arlington, TX - who sign exclusive contracts with a single private company. There are many reasons why they might do this but one large upside is the revenue they get from taxes, fees and rebates.

The City of Fort Worth misses out on this revenue stream by being Open Market. By requiring every waste hauler to register and pay a 10% fee on GROSS revenues – they don’t miss out.

Key Takeaways from Ordinance:

  • It gives the city more oversight of waste companies (such as safety, compliance, insurance, and financial auditing)
  • It requires a 10% surcharge be administered on ALL billing.
  • Waste haulers must file quarterly reports and pay city accordingly.
  • Ordinance provides clear definitions and requirements for compliance


For anyone who wants to research this directly, here are some resources that we've compiled:

Document Name:
Summary
City of Fort Worth - Grant of Privilege Fee Q&A For Haulers This document is a City of Fort Worth FAQ clarifying which types of hauler revenues are subject to the 10% Grant of Privilege fee, explaining that most charges—including hauling, fuel, surcharges, rentals, and bundled disposal—are taxable, while true pass-through disposal fees.
City of Fort Worth - How to Become a Permitted Grant of Privilege Hauler This document is a step-by-step guide from the City of Fort Worth explaining how private waste haulers can apply for, obtain, and maintain a Grant of Privilege permit, which authorizes them to operate within city limits, pay a 10% quarterly gross revenue fee, and comply with all insurance, vehicle, and reporting requirements.
City of Fort Worth - Non-Exclusive Privilege Agreement for Waste Haulers This document is a five-year agreement between the City of Fort Worth and a private waste hauler that grants the hauler non-exclusive permission to collect and transport solid waste, recyclables, and organics within city limits—requiring quarterly reports and a 10% gross revenue fee to the City while ensuring compliance with all operational, safety, and environmental standards.
City of Fort Worth - Ordinance Regarding Grant of Privilege & Franchise Fee This section of the Fort Worth City Code establishes that all private waste haulers operating within city limits must obtain a Non-Exclusive Grant of Privilege agreement and vehicle hauling permits, pay a 10% quarterly fee on gross hauling revenue, maintain proper records and vehicle standards, and comply with inspection, reporting, and enforcement provisions or face penalties or revocation.
City of Fort Worth - Waste Hauler Franchise Fee Monthly Reporting Form. This document is a City of Fort Worth quarterly financial reporting form that permitted waste haulers must complete, detailing total gross hauling revenue, number of accounts, tons collected, and breakdowns by waste type (solid waste, recycling, and organics) within city limits to calculate and report the 10% Grant of Privilege fee owed to the City.
City of Fort Worth - Notice of Violation (Sample / Redacted) This document is a City of Fort Worth violation notice issued to a business for collecting or transporting waste without a required Grant of Privilege agreement, warning that failure to obtain the permit by the listed compliance date may result in fines of up to $2,000 per day for each occurrence.
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