San Diego Judge Refuses to Dismiss Lawsuit Over New Trash Collection Fee

Homeowners argue the fee exceeds actual costs and could be used for non-trash purposes, claims the city disputes.

Apr. 10, 2026 at 3:03am

An oil painting depicting a lone trash can or dumpster in an urban setting, with warm sunlight casting deep shadows across the scene, conveying a sense of quiet contemplation around the political and financial issues at the heart of this story.A legal battle over San Diego's new trash fee exposes tensions over municipal budgeting and the limits of property-related taxes.San Diego Today

A San Diego Superior Court judge has denied the city's motion to dismiss a lawsuit challenging its new Solid Waste Management Fee, ruling that the plaintiffs have presented enough evidence to call into question the validity of the city's cost projections for the program. The judge found a potential disconnect between declining demand for trash service and rising program costs, which must be sorted out at trial.

Why it matters

The ruling keeps alive the homeowners' claims that the new fee violates Proposition 218 by generating more revenue than the actual cost of service and potentially being used for purposes other than trash collection. The outcome could determine whether the fee structure is lawful and whether affected homeowners will be billed as the city has planned.

The details

The lawsuit, brought by a group of local homeowners, argues the new fee will exceed the actual cost of trash service and could be used for non-trash purposes, violating Proposition 218. The plaintiffs contend the city's cost projections rely on consultant forecasts instead of real historical spending, artificially inflating the numbers. The judge found these allegations were enough to create a factual dispute that must be resolved at trial, rather than dismissed on a procedural motion.

  • The tentative trial date is set for next month.
  • The case is now moving into pretrial scheduling and discovery, with both sides expected to trade expert reports and financial models before the trial.

The players

Judge Euketa L. Oliver

The San Diego Superior Court judge who denied the city's motion to dismiss the lawsuit.

Michael Aguirre

The attorney leading the group of local homeowners who filed the lawsuit against the city.

City of San Diego

The defendant in the lawsuit, which is defending the new Solid Waste Management Fee.

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What’s next

The case will now move into pretrial scheduling and discovery, with both sides expected to trade expert reports and financial models before the tentative trial date next month.

The takeaway

This ruling keeps the homeowners' lawsuit alive, setting the stage for a trial that will determine whether San Diego's new trash collection fee violates state law by exceeding actual costs and potentially being used for non-trash purposes, as the plaintiffs allege.