The city is back in business with Silver Star Salvage.
Council heard Tuesday Ontario-based K & K Recycling, the company which had been contracted to handle scrap metal at the city's landfill, had rescinded on their contract.
"It was quickly realized by the company (K & K Recycling) that this is not a viable business plan for their company," said Duane Grado, the city's public works manager.
At issue, he said, was the adjustment curve for the company — which runs operations in Alberta and Manitoba, but "weren't familiar with the way we recycle in Moose Jaw.
"In recent weeks, (they) have written to us asking to rescind the contract."
Grado said the contractor was given 10 days to "rectify the problem," but did not respond, and the contract was terminated.
"We have spoken to the local business (Silver Star Salvage), who is willing to honour the contract and start immediately," he added.
We have spoken to the local business (Silver Star Salvage), who is willing to honour the contract and start immediately Duane Grado, public works manager
"We will be in the start-up days of cleaning up the recycling at the landfill … the amount of scrap metal coming in to the landfill in recent months is enormous. We haven't been able to put a peg on where it's coming from."
Grado said he had discussed potential legal consequences with the city's finance department, but "there is no legal matter we wish to pursue at this time."
Silver Star Salvage had handled the city's scrap metal for several years prior to the hiring of K & K Recycling earlier this year.