[quote=SD Realtor]SK I think your assumption is incorrect because you are neglecting to factor in the recurring fees that stick with the taxpayers long after that city employee retires. It may be a wash for the actual cost of running the business but the long term cost to the consumer is substantially less.
So I would rather pay the private company to do the job, even if it a little bit more costly now, rather then fund the garbage man’s pension and health care for life.[/quote]
If done correctly, the pension costs are annual expenses, not perpetual. I acknowledge that it hasn’t efficiently been done that way in the past. Though come to think of it, I have no idea how well funded the city of SD pensions are. If they’re fully funded, there are no perpetual costs.
If it’s a little bit more costly now, it will be much more costly in the future. Guaranteed. As soon as Waste Management has 50% of the market, they’ll jack up prices.
