The Los Angeles City Council claims that its
decision to take control of private commercial trash haulers and
make them bid for exclusive city contracts is all about the
environment. Creating a series of business monopolies in districts
across the city will ultimately reduce the amount of traffic from
trash trucks and will help the city’s efforts to improve recycling
from businesses and apartment complexes.
But, as Scott Shackford notes, not only is the city going to
essentially force dozens of haulers to close when their bids aren’t
accepted; the city’s plan turns private businesses into city
contractors and pushes them to get permission from unions to do
their work. If this power grab works, it may be replicated
elsewhere.
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