County finalizes new contract to be delivered to WastePro

News

GILMER COUNTY, Ga. – The county has been very happy with the services of WastePro since the transition to them for solid waste haul off. It is one of the reasons the Board of Commissioners has stated that they want to be helpful in recent negotiations as WastePro has returned in the last two months seeking a change to their contract.

With inflation continuing and gas prices higher than normal, the company has sought to change the contract rates. During talks with the county, this has taken the form of a diesel fuel surcharge to be included in the contract. In a Special Called Meeting on August 4, 2022, the Board of Commissioners received calculations from WastePro and looked to establish a base price that the surcharge would use as an anchor point.

They way that County Attorney David Clark explained the surcharge in this meeting, the base rate of $4.29 unit price was established from an average in July. This $4.29 is before added taxes. Originally planning to use a higher price that included taxes, the board decided against it as Georgia’s State Government has a fuel tax suspension that is still in place and the county did not want to have an “artificial increase” when the suspension is lifted.

As such, this base rate will be used in comparison for future months, each month’s cost for fuel as the company hauls off full dumpsters will be calculated as it increases or decreases from this base rate. Then, a surcharge will be added to the county’s monthly fees based on a percentage of that increase or decrease, meaning that increases will charge more, but the county has included decreases in fees in the contract should the average price of diesel fuel for a month go below the $4.29 base rate. The contract still includes charges based on taxes paid, but they will be calculated separately according to Clark.

The contract change discussed in the meeting, they did discuss these changes specifically for the diesel fuel costs, it will not include regular gasoline as is contracted for maintenance vehicles and such that visit sites when needed rather than the continual hauls.

From here, the county will move into regular session next week, giving Clark the time to prepare the contract and write it, then an approval will be needed to allow the chairman to sign the contract. At that point, the BOC will send the contract to WastePro for their signature putting the final approval on the changes to the adjusted contract to be set for three years.

Those meetings will be held on Wednesday, August 10, 2022, at 9:00 a.m. for the Work Session and Thursday August 11, 2022, at 6:00 p.m. for the Regular Meeting.

Financial approvals come as BOE finishes fiscal year

Board of Education, News
approvals

EAST ELLIJAY, Ga. – June marks the end of Gilmer BOE’s fiscal year and the preparations for the new year are receiving final approvals before July. With fuel bids, natural gas, and the FY 23 budget all on the agenda, the school system prepared for its new school year.

Already approved as the tentative budget, this now moves into official status as the actual FY 2023 budget with the final touches and modifications made for the $45 million budget. This did increase slightly since the tentative budget approval as it went from $45,012,326 to final approval at $45,739,326 in June’s meetings. The difference in revenues and expenditures also slightly increased from $2,788,218 of expenditures over revenues to $2,810,338 of expenditures over revenue.

Just like the tentative budget approval, the BOE adjusts for changes like the governor’s $2,000 increase in teacher’s salaries, cost of living increases, and QBE Allotment changes, and an increase to all classified salary schedules to a minimum starting hourly pay of $12 and an eight hour workday for those classified staff.

This final budget approval is expected to take the BOE’s fund balance from $22,066,332 in July 2022 to $19,255,994 in June 2023.

The BOE also approved the 2022 Amended Budget in June and was approved for the expenditures total at $43,101,121 in the general fund.

In addition to general budgets, the Board of Education approved SCANA Energy for natural gas provider with the contract set to go from July 2022 through June 2024. Prices were set at $0.749 per therm plus $8.50 times the Dedicated Day Design Capacity.

Morgan and Hunt Oil Company were approved for Fuel with their bid of 0.0375 over cheapest rack price plus a freight cost for both Diesel and Ethanol Free Gasoline.

Other bidders on fuel included Petroleum Traders Corp at 0.0334 over highest rack cost and Gladieux Trading at 0.0693 “over rack price.”

With unanimous approvals these bid approvals were accepted for the new year.

BOC considers change to Waste Pro contract for fuel charge

News
charge

ELLIJAY, Ga. – Gilmer is continuing to feel the increases of inflation in many ways. The county itself is also seeing this with increasing prices on bids that were approved before the massive increases. One of these increases comes at what gas stations charge at the pump, which is why Waste Pro says it presented a fuel surcharge addition into the contract for the county.

Originally bid in December 2021, Waste Pro set prices for hauling off dumpsters from convenience centers to begin in January 2022. Today, with continuing rising gas prices, Waste Pro is asking for an additional surcharge based of fuel prices starting from today’s average prices. This means that as gas continues to climb, an additional charge will be put on Gilmer County based on the price increase. That formula, noted in a special called meeting of the Gilmer BOC on June 22, 2022, would be 0.05 percent of every one cent increase in gas prices. It was also noted that this increasing surcharge added on as prices increase would also decrease back to zero as prices return back to the starting point based on today’s average prices.

In negotiations, Chairman Charlie Paris suggested also implementing a decrease on the same charge below the established zero point based on the gas prices. Both parties are still looking into the negotiation and possible inclusion of both concepts of the increasing and decreasing charge that could go below the bid price if gas goes below the average prices. Current understanding is that the surcharge will begin based on today’s average prices, so the county would not be paying the surcharge on how much gas has increased since December’s bid. If the decreasing charge, or discount, is based on December’s or January’s average prices, based on the original contract bid and the start date respectively, then this would establish a wide “zero” level between what average prices were then and what average prices are now where there would be no charge increase or decrease.

Paris did note that he didn’t want a formula based solely on original bid prices as Waste Pro is offering to start the surcharge increases based on today’s prices and he did not want Gilmer County also covering the difference over the last six months.

County Attorney David Clark also weighed in on the topic saying that the county could push to enforce the original bid contract. He noted that the county is being “accommodating” in the understanding of the rising gas prices. He went on to offer his opinion on the item saying, “By building in the fuel surcharge that they are proposing, whatever the base rate is, if it goes up, the county pays. If it goes down from that base rate, by virtue of you all accommodating that, it should be a decrease to the taxpayers. There shouldn’t be a gap between today’s price… and January’s price.”

With no set decision on whether the county would have that wide gap of no increase or decrease or simply base the decrease on today’s prices or earlier prices, and with Waste Pro looking at incorporating some kind of change in their proposal to include a decrease below zero, the item was tabled to be revisited. The Board is expecting to hear another proposal from Waste Pro during it’s July meetings. Post Commissioner Karleen Ferguson did note during the meeting that she has heard good things about Waste Pro’s services. Waste Pro began its service in January after the county began looking for competitive bids after increases with its previous service provider. The county has only had Waste Pro in service beginning this year.

BOE bids for Legion Road gas tank sees stark difference

Board of Education, News
tank, BOE, Board of Education

ELLIJAY, Ga. – Gilmer’s Board of Education saw a stark difference in two bids collected this week for installing a new 10,000 gallon gas tank on Legion Road.

The tank will be an above-ground storage unit with dispensary installed for the school system’s storage and use at their Legion Road annex and will be split, according to the bids, as a 6,ooo/4,000 gallon tank that holds both diesel and gasoline. According to reports the tanks could split as 6,000 gallons of diesel fuel and 4,000 gallons of gasoline or the split could go to 8,000 gallons of diesel and 2,000 gallons of gas if the board wished.

The bids include the required equipment needed for the tanks and pumps. The bid totals came in at $230,371.43 for JF  Petroleum Group and $97,810.00 for McNally & Associates, INC. According to the bid paperwork, JF Petroleum is based out of Morrisville, North Carolina, and McNally & Associates is based out of Kennesaw, Georgia. Gilmer Schools Superintendent Dr. Brian Ridley said his intent on Thursday will be to recommend the $97 k bid for approval as the low bidder.

The large disparity in the bid was questioned at first. But it was not the only surprise in pricing that the board of education saw in relation to the gas tanks. Ridley also stated that he has already approved the removal of the tanks at the high school transportation department. Costing roughly $13,000, this did not require board approval. The board discussed the removal costs some expected it to be much higher. Dana Berry, Assistant Superintendent – Operations, stated that the company has been asked to confirm the bid several times. He also stated that the school system would make sure it was a fixed bid.

Berry said the school system has been in contact and following EPA guidelines for tank removal, he noted that filling the tanks with sand was another option, but with the low bid, the board did not speak further on this option.

Gas leak halts traffic and interrupts Emergency Room

News

ELLIJAY, Ga. – This weekend, an incident sent ripples across the immediate area near River Park and the Piedmont Ellijay Emergency Room as a gas leak had authorities responding and diverting drivers.

Services remained in the area on into Saturday, but the initial leak was reported on Friday, June 25. The Sheriff’s Office stated that South Main Street shutdown and drivers were  being sent to Highway 282 or along Progress Road to avoid the area.

One associate at the Emergency Room said that they had redirected ambulances as well, avoiding the Emergency Room due to the road issue and traffic.

According to reports, Ellijay Police were diverting the traffic. Despite some ambulances being rerouted, the emergency room stayed open with locals using back roads and still able to reach the facility.

FYN is reaching out to find out more information about the leak and repair and will provide more information when available.

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