A proposed deal between the City of Oakland and the city’s main recycling contractor to build a sorting and recycling plant on the site of the old army base is dead.
The Oaklandside reports that the city terminated a lease and development deal with California Waste Solutions in May.
This comes after years of negotiations between the two sides. California Waste Solutions had wanted to move its recycling plant from West Oakland to an army base site, located near the entrance to the Bay Bridge.
The company pledged to invest 100 million dollars in developing the project.
California Waste Solutions had requested several extensions to deadlines to clinch the deal. In March, the company’s CEO asked the city for a one-year extension, citing material costs and high borrowing rates.The city requested overdue materials, including evidence of insurance and financing documentation. It gave the company a two-month deadline to fulfill its request.
In its termination letter to California Waste Solutions, the city argued that the company had not done so, nor paid more than 400-thousand dollars to grant the extension.
