The Ratto Group, Santa Rosa, California, is selling all of its North Bay Corp. operations to San Francisco-based Recology, a report by the Argus-Courier says. The multimillion dollar deal includes waste and recycling services in eight of Sonoma County’s nine cities and parts of north Martin County.
The deal also includes Ratto’s Santa Rosa recycling facilities, trucks and 440 employees, the report says. The deal came after the group faced $14 million in fines from Santa Rosa for alleged violations of its contract and permit violations at its recycling facility on Standish Avenue.
According to the report, the decision was also made after the sons of James Ratto, owner of the Ratto Group who is in declining health, revealed they weren’t interested in furthering their father’s operation, according to the report.
The group’s larges contract is worth $27 million annually and covers curbside collections for 55,000 homes and business throughout Santa Rosa, the report says. It will expire at the end of this year.
According to the report, terms of the deal were not disclosed and it is unclear if any immediate effects on customer rates would take place. One of the two Standish Avenue facilities has been shut down for renovations since November, and Recology plans to use both facilities to process recycling.
The Ratto Group also has street sweeping contracts and runs five transfer stations throughout the county, including the site at the county’s central landfill, the report says.
The agreement has been in the works for about a month, the report says. The sale of the company is not determined on Recology winning Santa Rosa’s contract.
According to the report, the city will decide on the contract by June.