ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Friday, May 10, 1996 TAG: 9605100075
SECTION: VIRGINIA PAGE: C-4 EDITION: METRO
SOURCE: DAN CASEY STAFF WRITER
Some Roanokers will see one-armed bandit-style garbage trucks in their neighborhoods beginning Jan. 1, but they'll be owned by the city, not a private contractor.
That was one decision reached by City Council during budget deliberations in which members left City Manager Bob Herbert's proposed $152.5 million spending proposal for next year virtually untouched.
Council will formally adopt the budget Monday night, at which time it also will decide what size pay increases to grant council-appointed officers such as Herbert, City Attorney Wilburn Dibling, and Finance Director Jim Grisso.
Under one minor change proposed by Mayor David Bowers late Thursday afternoon, council also agreed to spend $28,800 for partial funding of a regional greenways coordinator, provided that Roanoke County, Salem and Vinton also budget money for the position.
The subject of trash and how to collect it occupied more of council's time than any other issue during the two days of budget study.
Herbert's proposal, which would be phased in over two years beginning in January, would see the city spend millions on one-armed bandit-style trucks and large flip-top containers that would be distributed to all residents.
The system would allow the city administration to cut 25 jobs in its Solid Waste Disposal Department, saving an estimated $707,000 annually. The workers would be transferred to other departments with openings.
Browning Ferris Industries, one of the world's largest private haulers of trash, has been lobbying hard for the city to put its trash collection operations out to bid, arguing that private industry can do the job far cheaper than the public sector.
The company has met with council members, hired a research firm to conduct a poll, and is paying for a phone bank in which telemarketers pitch private trash pickup to residents.
But council members and the city administration disputed whether BFI would save the city money. And they feared private pickup would interfere with plans to merge service with Roanoke County. They voted 5-2 against putting trash collections out to bid, with Mayor David Bowers and Councilman Mac McCadden dissenting.
The decision disappointed a BFI representative who attended the budget study session.
"They're going to spend $3 million on equipment. That's a lot of money," said Mike Mee, a BFI marketing development representative. "We have a way to save citizens money, and we haven't even been allowed a seat at the table."
McCadden said the city at least ought to put the service out to bid to see if savings are really there. "I'm not asking for action, I'm asking for information," he said.
"I philosophically disagree with this," said Councilwoman and Vice Mayor-elect Linda Wyatt, who noted the city has a policy against allowing public-sector employees to bargain collectively or strike.
"Yet on the other hand, you would say, `Let's put out a [bid] for a private company whose employees would have the same right to strike on a vital public service.'''
Another item considered by council during budget deliberations was changing the process of collecting Business, Professional and Occupational License taxes. The changes would give hundreds of city businesses a BPOL tax cut, but hundreds of others would pay more.
Legislation enacted by the General Assembly this year prohibits localities from collecting the gross receipts tax on a business taking in less than $100,000 annually. The business still would have to have a license, though, and the new law allows localities to collect up to $100 for each license issued.
On the recommendation of City Finance Director Jim Grisso, council is considering pegging that fee at $50 annually. The proposal would yield about $9.1 million next year, roughly what the city collects under the current BPOL.
The effect would be a drastic cut in BPOL costs for businesses taking in $25,000 to $100,000 annually. But BPOL costs would rise for businesses grossing less than $25,000 or more than $100,000.
For example:
A person taking in $4,500 in a small home-based business now pays a flat $30, the current BPOL minimum. Under the proposal, he would pay $50 annually for the license, a 40 percent increase. Commissioner of Revenue Marsha Compton Fielder said that increase would affect 1,820 city BPOL licensees;
A person grossing $101,000 annually would pay taxes and a license fee totaling $636 under the proposal, rather than the $586 paid now.
The license fee will be the subject of a public hearing May20.
In other action on the budget, council:
Approved Herbert's recommendation to grant an average 4.5 percent pay increase to city employees. The proposal would cost taxpayers about $2 million next year.
Approved a recommendation from Grisso and Herbert that the city grant a 3 percent permanent increase in pension benefits for retired city employees. It would affect 1,017 retirees and cost the city pension system, which is funded by taxpayers, roughly $1.8 million over 20 years.
Approved a $2.50 increase in the monthly rate for parking at seven city-owned garages. This would raise $65,000 annually.
Approved spending about $56,000 annually to buy regular "City Page" advertisements in The Roanoke Times and The Roanoke Tribune to keep residents informed about city services.
Approved $89,000 in funding to hire two new building inspectors and part-time clerical help to implement a program of rental inspections in older sections of Roanoke at least every two years.
LENGTH: Long : 108 linesby CNB