No action taken on franchise fee for private haulers, bids on tote tippers

Posted: Aug. 4, 2014 11:11 pm Updated: Aug. 26, 2014 9:29 am

Herald-Whig Staff Writer

Private residential trash haulers in Quincy would be charged $1,000 per vehicle under a proposed franchise fee ordinance currently being reviewed by the city's Garbage and Recycling Committee.

Mayor Kyle Moore told the committee Monday night that the fee was determined after reviewing charges imposed by other communities in Illinois.

"That way the larger companies who have multiple vehicles would be paying more, and the smaller companies that only have one truck are only going to be pay one fee," he said.

No action was taken on the proposed ordinance. The fee would only apply to private haulers that service single-family residences or multifamily residences with four or less units. Temporary stickers for additional trucks would be available for $20 per day for haulers.

Application for the license would be reviewed by the director of administrative services, and any denial could be appealed to the mayor.

Moore first proposed a 5 percent franchise fee last fall, along with a plan to increase trash stickers to $1, with an annual 3 percent escalator. However, that idea was shelved when Corporation Counsel Lonnie Dunn said there was no precedent statewide to charge a franchise fee based on gross revenues or profits, and he expressed concern that the city could be challenged in court.

The proposed new ordinance would not take effect for six months if it is adopted by the full City Council.

Alderman Dave Bauer, D-2, said he understands the need for the franchise fee, but feels the cost for a temporary sticker is too high. "If your truck is already broke down, now you're going to pay another $20 a day just to rent another truck?" he said.

Alderman Dan Brink, R-6, suggested that the committee consider requiring a separate trash can or bag that to distinguish if it is to be picked up by city crews or private haulers.

The committee also took no action on a proposal to add tote tippers to the city's existing fleets of garbage trucks. The tippers would allow the city's existing trucks to lift 95-gallon totes that are part of the city's optional flat-fee garbage service, which is projected to launch in January.

Aldermen last month agreed to buy one new garbage truck with tote tippers for $153,100.

Elliot Equipment, which has a facility in Grandview, Mo., submitted the low proposal of $23,217 to retrofit three trucks with tippers. All three companies that submitted proposals said the installation of tippers would have to take place at their facility.

"They do not come to town to do them, and they do not have a local individual to do these," said Marty Stegeman, director of Central Services.

He said driving the trucks for installation could pose a problem if they break down.

"I think ultimately it would be less expensive for us to transport vehicles on a truck and not take the risk of a breakdown," Stegeman said. "If we lose a transmission on one of them on the way down, it's going to be $15,000 our cost."

Stegeman said the tippers could be retrofitted to new trucks as the city upgrades its fleet.