A recycling centre contracted to serve the Longueuil area is closing up shop a year after getting financial help from local municipalities.
The company that operates the Saint-Hubert sorting centre, Recyclages MD, said in a statement Tuesday that it could not get sufficient insurance coverage.
Recyclages MD rented the building it operated in, but without proper insurance, the building owner decided to shutter the operation.
All employees and operations will be transferred to other centres in Lachine, Châteauguay and Montreal.
Recycling collection for the agglomeration's residents should not be affected. Half of the recycling will go to Châteauguay, and the other half to Montreal, said Longueuil Mayor Sylvie Parent.
The agglomeration spent about $5 million last year in an attempt to keep the sorting centre open and operational until 2021.
Parent said that last year, the company told the agglomeration that they were in dire financial straits. The agglomeration re-opened the contract with Recyclages MD in order to give them additional funds.
"It was not an ideal solution," Parent told Radio-Canada's Tout un matin.
The bailout money will not be returned because service will not be interrupted, Parent said, but if there is compensation to be had, "we will go find it."
The agglomeration is working with other municipalities to create a "proper" sorting centre on the South Shore so that they don't need to rely on private companies, she added.