Thursday, December 15, 2005

Council sticks us with the bill: North Bay Corp. pays 1% more, we pay 8.1%

Two PD stories by Mike McCoy, from the Around the Empire column. The first one December 9 was headlined “Garbage rates going up 1%”.

It said, “The City Council on Tuesday is expected to approve a wide range of rate increases requested by the city's garbage hauler, North Bay Corp

And, “If approved, the increase would boost the monthly fee for a 20-gallon can to $8.51 from $7.87, a 35-gallon can to $9.88 from $9.14, a 60-gallon container to $14.58 from $13.49 and a 90-gallon can to $26.12 from $24.15.”

It looked to me like the rates were going up a lot more than just 1%--and they were.

The story said, “The rate increases, the company says, are being sought to offset increasing costs, including fees it pays at the county-operated landfills and an increase in the franchise fee the company must pay the city.

The 1 percent increase, scheduled to go into effect Jan. 1, is expected to generate $210,000 in additional revenue annually.

In fact, the headline was false. The Council was going to vote on a 1% increase in the franchise fee North Bay Corp. pays the City—not a 1% increase in the rates we pay North Bay.

Our rates were going up quite a bit more.

The second story ran December 14. It said,

The City Council granted the Santa Rosa's trash hauler, North Bay Corp., an 8.1 percent across-the-board rate increase that will go into effect Jan. 1.The increase will boost the monthly bill for a 20-gallon can to $8.51, a 64-cent jump; a 35-gallon can to $9.88, a 74-cent increase; a 60-gallon can to $14.58, a $1.09 jump; and a 90-gallon can to $26.12, a boost of $1.97.”

The story went on to say,

North Bay officials say the rate hike is needed to offset increases in tipping fees charged at county-operated landfills and in the franchise fee the company must pay the city.The city had been charging North Bay a franchise fee of 9 percent but starting Jan. 1 it is increasing the fee to 10 percent.The 10 percent fee is expected to generated $2.1 million annually for city coffers.”


Is that !% increase in North Bay’s franchise fee going to generate $210,000 a year more, like the first story said, or $2.1 million?

OK, the numbers may not be accurate. But these two stories say the city is charging North Bay 1% more starting January 1, and North Bay is charging us 8.1% more.

I don’t believe very much I read in the PD; but it sure looks like the City Council and North Bay Corp. are sticking you and me with the bill!


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