05/12/1980 Meeting - Laserfiche WebLink

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Deland Mord, 25994 Hall Road, Junction City, Danebo Disposal, stated that truck costs, labor, commercial contractor costs, and fuel are 4It their most expensive items. He thinks that Albany, with a rate of $9.00/month, and Medford have much higher rates than Eugene. Ron Schaeffer, PO Box 2071, Arrow Disposal, stated that amortiza- tion of trucks should have dropped in the last year because they are using old equipment that is getting older. He has three trucks, all older than ten years. Kim Thiele did not testify, and stated that his comments had been expressed already. Michael Madden, PO Box 189, Emerald Disposal, stated he has one 1969 truck and a replacement for it would cost $54,000. Costs for diesel have increased dramatically in the last two years and haulers desperately need this increase. Joel Crouch, 25239 Perkins Road, Veneta, Sanipac, stated he was representing Teamsters Local 57. These haulers have not had a wage increase since February 1979, and they need one. Bob Fenstermacher, 2267 Olive, Sanipac, stated that the rate increases being requested are due to cost increases. Last year, staying within the President's guidelines of seven-percent increases, they received a 6.9-percent rate increase and had to deal with inflation that was 13 percent at that time and is now 18 percent. Their largest ~ increase has been in diesel fuel which has gone up 78.9 percent in ~ 1979 and 12 percent already in 1980. Gas was up 55 percent last year and is up 18 percent already this year. There was a 13.8-percent labor increase in 1979 for their company. Their equipment, the drop boxes, the containers, the tires, and the cost of money to buy new trucks has gone up tremendously. Front-end loaders cost over $90,000. They have 40 trucks and replaced four of them last year. In regard to the dump fee, he stated they are only trying to pass along to the customer exactly the fee that they will be charged by the County; this should not be viewed as profit making to the haulers. Merlin Hill, PO Box 1228, Garbagio's, stated that their industry has faced more increases than many others have. If gas increases at the present rate, it will soon be up over 70 percent. Their firm has no compacter truck and they service 758 customers. In order to buy a new truck, since they are a small firm and would not be able to get prime lending rates, they would be looking at paying 25-percent interest rates. They did have a 6.9-percent increase last year, but inflation went up to 13-14 percent. He urged the council to approve the rate increase. - 5/12/80--6