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                                                                    EXHIBIT 10.4

                          ALLIED WASTE INDUSTRIES, INC.
                             STOCK OPTION AGREEMENT
                      (UNDER THE 2005 NON-EMPLOYEE DIRECTOR
                            EQUITY COMPENSATION PLAN)

      THIS STOCK OPTION AGREEMENT ("Option Agreement"), made is dated
______________________ ("Date of Grant"), between ALLIED WASTE INDUSTRIES, INC.,
a Delaware corporation ("Company"), and ___________________ ("Director"):

                                R E C I T A L S:

      The Company has adopted the Allied Waste Industries, Inc. 2005
Non-Employee Director Equity Compensation Plan (formerly known as the Allied
Waste Industries, Inc. 1994 Amended and Restated Non-Employee Director Stock
Option Plan), as most recently amended and restated effective _____________,
2005 ("Plan"), all of the terms and provisions of which are incorporated herein
by reference and made a part of this Agreement. All capitalized terms used but
not defined in this Agreement have the meanings given to them in the Plan.

      The Plan permits the Plan Administrator to make initial and/or annual
grants under the Plan in the form of an option to purchase Common Stock, instead
of shares of Restricted Stock or units of Restricted Stock. The Plan
Administrator has determined that it would be in the best interest of the
Company and its stockholders to grant the option provided for herein ("Option"),
instead of shares of Restricted Stock or units of Restricted Stock, to Director
pursuant to the Plan and the terms set forth herein as an inducement to serve as
a director of the Company and to provide Director with a proprietary interest in
the future of the Company.

      NOW THEREFORE, in consideration of the mutual covenants hereinafter set
forth, the parties hereto agree as follows:

      1.    Grant of the Option. The Company hereby grants to Director the right
and option to purchase, on the terms and conditions hereinafter set forth, all
or any part of an aggregate of _______ shares ("Stock") of the presently
authorized but unissued common stock, par value $.01 per share, of the Company
("Common Stock"). The purchase price of the Stock subject to this Option shall
be $______ per share, being the Fair Market Value of the Common Stock on the
Date of Grant, as defined in the Plan.

      2.    Exercise of Option.

            (a)   This Option may be exercised in whole or in part, at any time
or from time to time during the period commencing on the Date of Grant (subject
to the provisions of Paragraph 2(b) below) and ending ten years from the Date of
Grant (or, if earlier, ending (i) on the last day of the three-month period
beginning on the date on which the Director ceases to be a member of the Board
for any reason other than the Director's death, or (ii) on the last day of the
six-month period beginning on the date of the Director's death while serving as
a member of the Board).

            (b)   Each Option awarded to Director hereunder may be exercised
only to the extent it has become vested and nonforfeitable. This Option shall
vest and become exercisable with respect to the shares of Stock covered by this
Option as follows:

      [Initial grant - 0% vested until the last day of Director's first one-year
term ending after the Date of Grant; 1/3 vested on the last day of Director's
first one-year term ending after the Date of Grant; an additional 1/3 vested on
the last day of Director's second one-year term ending after the Date of Grant;

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and an additional 1/3 vested on the last day of the Director's third one-year
term ending after the Date of Grant.

      [Annual grant - 0% vested until the last day of Director's first one-year
term ending after the Date of Grant; and 100% vested on the last day of
Director's first one-year term ending after the Date of Grant.

To the extent not exercised, this Option shall accumulate and remain
exercisable, in whole or in part, at any time after becoming exercisable, but
not later than the date on which the Option expires.

            (c)   Options may be exercised in whole or in part with respect to
whole shares only within the period permitted for exercise thereof, and shall be
exercised by written notice delivered to the Company at its principal office of
intent to exercise the Option with respect to a specified number of shares and
specifying the address to which certificates representing such shares are to be
mailed. Such notice shall be accompanied by cash or certified check, bank draft,
or postal or express money order payable to the order of the Company, for an
amount equal to the product obtained by multiplying the exercise price of the
Option by the number of shares of Common Stock with respect to which the Option
is then being exercised, or, with the consent of the Board, the payment of the
Option price may be made in whole or in part in Common Stock which is owned by
the Director and valued at its Fair Market Value on the date of exercise. Any
payment in shares of Common Stock shall be effected by delivery of such shares
to the Secretary of the Company, duly endorsed in blank or accompanied by stock
powers duly executed in blank, together with any other documents or evidence as
the Secretary shall require from time to time.

            (d)   This Option may not be exercised prior to the registration of
the Stock with the Securities and Exchange Commission and any applicable state
agencies. However, this condition may be waived by the Board if it determines
that such registration is not necessary in order to legally issue shares of
Stock to Director.

            (e)   Upon the Company's determination that the Option has been
validly exercised as to any of the Stock, the Secretary of the Company shall
issue a certificate or certificates in the Director's name for the number of
shares set forth in his written notice. However, the Company shall not be liable
to the Director for damages relating to any delays in issuing the certificate(s)
to him, any loss of the certificate(s) or any mistakes or errors in the issuance
of the certificate(s) or in the certificate(s) themselves.

            (f)   The Option is not transferable or assignable by the Director
except: (1) by will or by the laws of descent or distribution, or pursuant to a
Qualified Domestic Relations Order; (2) without consideration to members of the
Director's family (e.g., children, grandchildren and spouse); (3) without
consideration to any person sharing the Director's household (other than a
tenant or employee); (4) without consideration to a trust in which the persons
described in (2) or (3) (or the Director) hold more than 50% of the beneficial
interest; or (4) a private foundation in which the persons described in (2) or
(3) (or the Director) own more than 50% of the voting interests. No such
transfer or assignment shall be effective to bind the Company unless the Company
shall have been furnished with written notice thereof and a copy of such
evidence as the Board (or Committee, if any) may deem necessary to establish the
validity of the transfer or assignment and the acceptance by the transferee(s)
or assignee(s) of the terms and conditions hereof.

      3.    Term of Directorship. This Option shall not grant to Director any
right to continue serving as a director of the Company.

      4.    Notices; Deliveries. Any notice or delivery required to be given
under the terms of this Option Agreement shall be addressed to the Company in
care of its Secretary at its principal office in Scottsdale, Arizona and any
notice or delivery to be given to Director shall be addressed to him at the
address given by him beneath his signature hereto or such other address as
either party hereto may hereafter designate in writing to the other. Any such
notice or delivery shall be deemed to have been duly given when addressed as
aforesaid, registered or certified mail, and deposited (postage or registration
or certification fee prepaid) in a post office or branch post office regularly
maintained by the United States.

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      5.    Disputes. As a condition of the granting of the Option hereby, the
Director and his heirs and successors agree that any dispute or disagreement
which may arise hereunder shall be determined by the Board (or Committee, if
any) in its sole discretion and judgment, and that any such determination and
any interpretation by the Board (or Committee, if any) of the terms of this
Option shall be final and shall be binding and conclusive, for all purposes,
upon the Company, Director, his heirs and personal representatives.

      6.    Legend on Certificates. The certificate(s) representing the shares
of Stock purchased by exercise of this Option will be stamped or otherwise
imprinted with a legend in such form as the Company or its counsel may require
with respect to any applicable restrictions on the sale or transfer of such
shares and the stock transfer records of the Company will reflect stop-transfer
instructions with respect to such shares.

      7.    Option Subject to Plan. This Option is subject to the Plan. In the
event of a conflict between any term or provision contained herein and a term or
provision of the Plan, the applicable terms and provisions of the Plan will
govern and prevail. All definitions of words and terms contained in the Plan
shall be applicable to this Option.

      8.    Death of Director. Upon the death of Director, all shares with
respect to which this Option would be exercisable at the date of such death
shall be thereafter exercisable by Director's executor or administrator, or the
person or persons to whom his rights under this Agreement shall pass by will or
by the laws of descent and distribution, as the case may be, until the
termination of the Option in accordance with this Agreement and the Plan. In no
event may this Option be exercised after the end of the option period specified
in paragraph 2(a). Any heir or legatee of Director shall take rights herein
granted subject to the terms and conditions hereof.

      9.    Miscellaneous.

            (a)   All decisions of the Board (or Committee, if any) upon any
questions arising under the Plan or under this Option Agreement shall be
conclusive.

            (b)   Director agrees to make appropriate arrangements with the
Company for satisfaction of any applicable federal, state or local income tax,
withholding requirements or like requirements, including the payment to the
Company at the time of exercise of the Option of all such taxes and
requirements.

            (c)   Whenever the term "Director" is used herein under
circumstances applicable to any other person or persons to whom this Option, in
accordance with the provisions hereof, may be transferred, the word "Director"
shall be deemed to include such person or persons.

            (d)   Notwithstanding any of the other provisions hereof, Director
agrees that he will not exercise this Option and that the Company will not be
obligated to issue any of the Stock pursuant to this Option Agreement, if the
exercise of the Option or the issuance of such shares of Common Stock would
constitute a violation by the Director or by the Company of any provision of any
law or regulation of any governmental authority or national securities exchange.
Upon the acquisition of any Stock pursuant to the exercise of the Option herein
granted, Director will enter into such written representations, warranties and
agreements as the Company may reasonably request in order to comply with
applicable securities laws or with this Agreement.

            (e)   This Agreement shall be binding upon and inure to the benefit
of any successor or successors of the Company.

            (f)   The interpretation, performance and enforcement of this Option
Agreement shall be governed by the laws of the State of Arizona.

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      IN WITNESS WHEREOF, the Company has, as of the date and place first above
written, caused this Agreement to be executed on its behalf by its President or
any Vice President and Director has hereunto set his hand as of the date and
place first written, which date is the date of grant of this Option.

ALLIED WASTE INDUSTRIES, INC.
By________________________________

DIRECTOR

________________________________

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                                                                    EXHIBIT 10.5

                          ALLIED WASTE INDUSTRIES, INC.
                      2005 SENIOR MANAGEMENT INCENTIVE PLAN

                           [EFFECTIVE JANUARY 1, 2005]

1.    ESTABLISHMENT AND PURPOSE OF PLAN

      The Company hereby establishes this Plan to provide Annual Incentives for
the Company's senior management. The Plan is established under the Company's
Management Incentive Plan (formerly the Corporate Defined Bonus Plan). The
purpose of the Plan is to allow the Company to attract, retain, and provide
appropriate performance incentives for senior management.

      Capitalized terms used in this Plan are defined in Section 9.

2.    ELIGIBILITY AND PARTICIPATION

      Eligibility is limited to Senior Executive Officers. The Committee will
determine, for each calendar year, which Senior Executive Officers are eligible
to participate and the terms of such participation as set forth herein.
Participation in the Plan for any given year does not guarantee participation
(at all or at the same or similar level) in any subsequent year.

3.    TARGETED ANNUAL INCENTIVE

      For each calendar year, the Committee will determine the Targeted Annual
Incentive for each Participant. Targeted Annual Incentives shall be subject to
any maximum set by the Committee in accordance with Section 5. Each Participant
will be notified, in writing, of his Targeted Annual Incentive.

4.    PERFORMANCE MEASURES AND GOALS

      For each calendar year, the Committee will establish one or more
Performance Goals and targets for each such goal that must be achieved for a
Participant to receive payment of all or part of his Targeted Annual Incentive
for that year. Performance Goals may be measured based upon metrics reflecting
one or more of the following business measurements: earnings, cash flow,
revenues, financial return ratios, debt reduction, risk management, customer
satisfaction, and total shareholder returns, any of which may be measured either
in absolute terms or as compared to another company or companies or as compared
to prior periods. Performance Goals also may be based in whole or in part on the
achievement of individual goals, as determined by the Committee in its sole
discretion.

      The Committee may assign each Performance Goal a weighting, so that its
achievement will result in a specified percentage of the overall Annual
Incentive being earned. The Committee also may establish threshold, target, and
maximum targets for each goal. The Committee may make Performance Goals
independent so that the specified percentage of an overall Targeted Annual
Incentive can be earned if one Performance Goal is met, even if the threshold
performance is not met for another Performance Goal. The Committee may set
different Performance Goals, targets, and weightings with respect to each
Participant and each year. Each Participant will be notified, in writing, of the
Performance Goals, targets and weightings applicable for his Targeted Annual
Incentive.

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      Once Performance Goals, targets and weightings are determined for a
calendar year, those Performance Goals, targets and weightings will not change
for that year; provided, however, that if an extraordinary transaction or event
results in a significant impact relative to Performance Goals, the Committee, in
its complete and sole discretion, may adjust any Performance Goals used in that
year to exclude or reduce the impact of that transaction or event.

5.    ANNUAL INCENTIVE PAYMENTS

      The Committee, in its sole and complete discretion, will determine whether
and to what extent the Performance Goals that it has set have been met for any
given calendar year. The Committee will document, in writing, its determination,
including the amount of the Annual Incentive payment to be made to each
Participant, which amount may be zero. For any given calendar year, the
Committee may establish a maximum amount, per Participant, to be paid, which is
lower than the Targeted Annual Incentive.

      No Annual Incentive payments will be made prior to the Committee's
determination of the amount to be paid. Once the Committee has determined the
amount of the Annual Incentive to be paid, payment will be made in a lump sum
cash payment within an administratively reasonable period of time; provided,
however, that the Participant must be employed on the payout date to receive
payment. If a Participant's employment is terminated prior to the payout date,
the Participant's Annual Incentive will be forfeited as of the date of
termination unless otherwise provided in the Participant's employment agreement
with the Company.

6.    ADMINISTRATION

      The Committee is responsible for the administration and interpretation of
the Plan. All determinations under the Plan (including but not limited to
eligibility, terms and conditions of participation, and payment of Annual
Incentives) will be made by the Committee in its sole and complete discretion.
The Committee may establish such rules and procedures as it deems necessary or
advisable for the proper administration of the Plan and may take any such other
action in connection with or in relation to accomplishing the objectives of the
Plan as the Committee deems necessary or advisable. Each determination or other
action made or taken with respect to the Plan, including the interpretation of
all of the provisions of the Plan and the specific conditions of and provisions
for any Annual Incentives paid under the Plan, will be final and conclusive for
all purposes and upon all persons.

      The Committee may delegate certain of its administrative powers to one or
more officers of the Company. The Committee may authorize any one or more of its
members or any officer of the Company to execute and deliver documents on behalf
of the Committee. However, the Committee will remain responsible for approving
all of the terms and conditions of the Plan, including but not limited to
determining the establishment and satisfaction of Performance Goals.

      No member of the Committee shall be liable for any action, omission or
determination relating to the Plan, and the Company shall indemnify and hold
harmless each member of the Committee and each other director or employee of the
Company to whom any duty or power relating to the administration or
interpretation of the Plan has been delegated from and against any cost or
expense (including attorneys' fees) or liability (including any sum paid in
settlement of a claim with the approval of the Committee) arising out of any
action, omission or determination relating to the Plan, unless, in either case,
such action, omission or determination was taken or made by such member,
director or employee in bad faith and without reasonable belief that it was in
the best interests of the Company.

7.    AMENDMENT AND TERMINATION

      The Committee may, at any time, and in its sole discretion, amend, modify,
suspend, or terminate the Plan, including any amendment deemed by the Committee
to be necessary or

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desirable to correct any defect or to rectify an omission or to reconcile any
inconsistency in the Plan or in any Annual Incentive, provided that shareholder
approval is obtained if required by Securities Exchange Commission or New York
Stock Exchange rules or regulations, or by Section 162(m) of the Internal
Revenue Code of 1986, as amended. No amendment, modification, suspension or
termination of the Plan may in any manner affect Performance Goals previously
certified by the Committee as having been attained, or Annual Incentive payments
previously approved by the Committee, without the consent of the Participant,
unless the Committee has made a determination that an amendment or modification
is in the best interests of the Company and all of the Participants, but in no
event may such amendment or modification result in an increase in the amount of
any such payment.

8.    MISCELLANEOUS

      (a)         The Plan and all determinations made and actions taken under
the Plan will be governed by the laws of the State of Arizona and construed in
accordance therewith.

      (b)         Prior to pursuing any equitable or legal action, any
individual who believes that he is entitled to an Annual Incentive payment under
the terms of this Plan must follow these procedures.

                  (i)         Within 30 days after the Committee determines the
      Annual Incentive payments to be made for a calendar year, an individual
      who disagrees with the Committee's determination must file, in writing, a
      written statement with the Committee, setting forth the amount that the
      individual believes should be paid to him and the basis and underlying
      facts supporting such belief. If an individual does not file a written
      statement with the Committee within this 30 day period, the Committee's
      determination shall be deemed final, conclusive, and uncontestable.

                  (ii)        If a written statement is timely filed with the
      Committee, the Committee shall review the written statement and shall
      determine, in its sole and complete discretion, whether to confirm its
      prior determination or modify, in whole or in part, its prior
      determination. This review shall occur at the next regularly scheduled
      meeting of the Committee following the Committee's receipt of the
      individual's written statement; provided, however, that if the written
      statement is received within 15 days of the Committee's next regularly
      scheduled meeting, the review may be postponed to the regularly scheduled
      meeting immediately following the next regularly scheduled meeting. The
      Committee will provide the individual with written notice of its decision
      on review within 15 days of the date on which the review occurs.

                  (iii)       If the individual's request is denied in whole or
      in part, the individual may pursue applicable equitable or legal remedies;
      provided, however, that:

                              a)    Any such action must be brought within 12
            months of the date on which the individual receives the Committee's
            written notice referred to in paragraph (ii) above;

                              b)    Any such action must be brought in the
            Maricopa County Superior Court in the State of Arizona; and

                              c)    In any such action, the Committee's
            determination (including but not limited to interpretation of Plan
            provisions and any findings of fact) shall be treated as final and
            not subject to "de novo" review unless shown to be arbitrary and
            capricious.

      (c)         The Company will have the right to deduct from all Annual
Incentive payments any taxes required to be withheld with respect to such
payments.

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      (d)         Any Annual Incentive payments due but not paid to a
Participant who is deceased will be made to the Participant's beneficiary. The
Participant's beneficiary will be the beneficiary on file with respect to
Company paid life insurance or, if none, the Participant's estate.

      (e)         Nothing contained in the Plan shall confer upon any
Participant any right with respect to the continuation of his or her employment
by the Company or interfere in any way with the right of the Company, subject to
the terms of any separate employment agreement to the contrary, at any time to
terminate such employment.

9.    DEFINITIONS

      (a)         "Annual Incentive" means a cash incentive payment to be paid
under this Plan if the requirements for the cash incentive are met.

      (b)         "Committee" means the Management Development/Compensation
Committee of the Board of Directors or such other committee consisting of not
less than two Non-Employee Directors as the Board of Directors may appoint from
time to time to administer the Plan.

      (c)         "Company" means Allied Waste Industries, Inc., its
Subsidiaries, and any successors.

      (d)         "Non-Employee Director" means a member of the Company's Board
of Directors who (i) is not at the time in question an officer or employee of
the Company or any Subsidiary; (ii) has not received compensation for serving as
a consultant or in any other non-director capacity or who had an interest in any
transaction with the Company or any Subsidiary that would exceed the $60,000
threshold for which disclosure would be required under Item 404(a) of Regulation
S-K or (iii) has not been engaged through another party in a business
relationship with the Company or any Subsidiary that would be disclosable under
Item 404(b) of Regulation S-K.

      (e)         "Performance Goals" means one or more performance measures and
goals established by the Committee.

      (f)         "Plan" means the 2005 Senior Management Incentive Plan, as set
forth herein and as may be amended from time to time.

      (g)         "Participant" means a Senior Executive Officer who has been
selected by the Committee to participate in this Plan.

      (h)         "Senior Executive Officers" means the Company's Chief
Executive Officer, President, Executive Vice Presidents, and Senior Vice
Presidents.

      (i)         "Subsidiary" means any corporation or other entity in which,
at the pertinent time, the Company owns, directly or indirectly, stock or other
equity interests vested with more than 50% of the total combined voting power of
all classes of stock or other equity interests of such corporation or other
entity within the meaning of Section 424(f) of the Internal Revenue Code.

      (j)         "Targeted Annual Incentive" is the amount, expressed as a
percentage of the Participant's annual base salary, that the Participant may
earn as an Annual Incentive under this Plan.

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                                  ALLIED WASTE INDUSTRIES, INC.,
                                  A DELAWARE CORPORATION

                                                  By____________________________

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