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Home / Articles / News / Local NEWS /  Haulers leery of waste district plans
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Thursday, February 18,2010

Haulers leery of waste district plans

By David DeWitt

As the Athens County Commissioners begin reviewing the county's contract in the Athens-Hocking Joint Solid Waste District, private haulers have expressed concerns about some of the options on the table.

Kevin Farmer, of Farmer's Refuse in Logan, said Tuesday that he's concerned that his company could lose a number of accounts in the Athens area if the district splits up and the city of Athens decides to start handling its own solid waste.


Athens Mayor Paul Wiehl said Tuesday that this option has been discussed, but noted that all options are on the table. For a number of years before the Joint Solid Waste District was formed 16 years ago, the city of Athens did take care of its own trash pickup.

Farmer said that while it's important to recycle, as mandated by state legislation, the county doesn't need to be in the trash business as well.

"They've masterminded the idea that they have to pick up trash to pay for the recycling," Farmer said. "That's not true."

He pointed out that all private haulers who use the Athens-Hocking Reclamation Center, northwest of Nelsonville, for dumping have to pay a tipping fee, which he said brings the county $22,000 a month.

"The problem we have is that they turn around and they compete against us," he said. "They take public money to compete against us in the private sector. I just don't think that's right."

Farmer said the district was originally designed to be a non-profit organization focused on recycling.

"Somehow they've convinced people that they need the trash pickup to pay for the recycling," he said, which ends up hurting private haulers.

This happens, he added, because the district keeps rates for customers low, around $11 per month, while private haulers have to charge around $17 to stay in business. Farmer objected to any hike in tipping fees at the landfill.

"If they jack up the rates at the landfill, that puts us out of competition," he said. "We're already out of competition."

Farmer said the two-county solid-waste district already has uptown Athens businesses, Ohio University and all Athens residences as customers, and if the city takes over solid waste, it will separate private haulers from the only customers they have left, some businesses.

When asked what he thinks the county commissioners should do to both solve their budget problems and not hurt private haulers, Farmer said they should focus on what business the district currently has, and also perhaps raise the rates.

"When everybody else is making cutbacks and figuring out ways to make everything more efficient, I don't know why they keep throwing money at something that doesn't work," he said.

Athens County Commissioner Larry Payne said that at this point all options are being looked at for a solution to the district's budget problem.

"Right now, we're looking at a whole variety of options," he said. "This is the time you do it, the year the plan is implemented."

This could include keeping the district as it is now, going the complete opposite way and getting rid of the district in favor of contracting everything out, and everything in between, Payne said.

State law requires re-negotiation of the solid waste contract every five years, a process now underway. During this negotiation period, either county in the joint district has the option to withdraw.

Payne said past discussions have touched on whether Athens County would be better off being in a solid-waste district by itself, as opposed to the joint district with Hocking County. He said that once a plan is implemented, the only way to withdraw is with the permission of the other partner(s) in the district. Looking into a possible withdrawal from the district is just being prudent, he noted, and utilizes the window of time to discuss what's in the best interest of Athens County.

The district itself, Payne said, is supposed to be self-funding, with monies raised from garbage fees, recycling charges and tipping fees (from the landfill).

"The tipping fees haven't been increased in 16 years, since [the joint plan] was implemented," Payne said. "So, obviously, that figure is really out of date."

Payne also pointed out that the commodities market for recycling bottomed out last year. Some items no longer can be sold for recycling, he said, plus he questioned whether much money can be made in recycling.

"So, the tipping fees haven't been increased, and that's one of your major sources of income," he said. "One of your other major sources is selling the commodity. And that's basically gone down the tubes in the last year."

Payne said that until the recycling market turns around, the district has some serious financial issues.

"Another problem is worker compensation," he said. "There have been some large claims over the years in solid waste, and they have a $300,000 worker compensation bill this year. And that's basically a big, big issue."

The problem, Payne explained, is that because Athens County is a fiscal agent for the district, what happens with the district impacts the county's finances, too.

The next step for the commissioners, Payne said, is to hear from a consultant on the matter. The consultant will attend the next Athens-Hocking Solid Waste District meeting, slated for 8:30 a.m. Monday, March 1, at the Inn at Hocking College.




 

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