Red River Waste Solutions said it plans to continue its usual day-to-day operations as it reorganizes through bankruptcy.
Red River, Fort Wayne's contracted trash hauler, filed Chapter 11 bankruptcy Oct. 14 through federal court in Texas, where the company is based. Red River is now protected by bankruptcy law and can either continue to provide trash service itself or assign the contract to another company.
Jim Calandra, Red River's chief restructuring officer, said in a statement that Red River “intends for its day-to-day operations, engagement with customers, and top-notch service to continue as usual.”
Red River, which Calandra's statement said is an integral part of the communities it serves, was affected adversely by the COVID-19 pandemic and its related challenges.
“These challenges include a historic labor shortage and a pandemic-driven increase in waste volumes,” the statement said. “These factors have significantly increased our labor costs, the stress on our great employees, and our rolling stock, all resulting in challenges with our current lender, even though we have maintained our excellent customer service levels required by our customers.”
The city awarded Red River with the city's seven-year contract in 2017. Within three months of the contract going into effect in 2018, Fort Wayne City Council members raised concerns about missed trash collections, an issue that has come up again numerous times since.