More Montebello Trash Talk

Submitted by Zebra24601 on Sat, 01/03/2009 - 13:12
in

This article was in the LA Times a day or two ago.

But this article isn't very helpful, because on the first page, it says that, under the agreement, Athens will pay the city of Montebello $500,000 plus 7.5% of its Montebello commercial customer fees.  But on the second page, it says Athens will pay a 20.5% franchise fee on commercial accounts.

The article also says current haulers are paying a 13% fee.  So based on the article, I can't tell if the new contract would mean more or less money for the city of Montebello.  I'd expect getting a monopoly would definitely mean higher fees for commercial accounts (Adam Smith and all that).  Can't say anything about environmental compliance.

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CC should have asked the other haulers to beat the deal

Submitted by night reader on Sun, 01/04/2009 - 10:45.

The city should have gone to the other haulers and asked if they could match the "tax increase" that Athens was proposing.

Monopoly capitalism in action.