The Village Board discussed and accepted a revised fuel‑surcharge schedule proposed by Veolia (the refuse/recycling contractor) after the vendor outlined how surcharges would be applied and why they were necessary.
Veolia representative Scott VanHavern explained the company’s industry standard formula and a stepped surcharge schedule that applies bands of surcharge percentages as national fuel prices rise: 0% up to $3.49/gallon, then 5% for $3.50–$3.99, 10% for $4.00–$4.49, 15% for $4.50–$4.99 and 20% for $5.00–$5.50. The board learned Veolia had refunded $920.90 in 2011 related to earlier invoicing practices and discussed concerns about the surcharge’s stepwise application and baseline assumptions.
Trustees asked Veolia to review the calculation methodology with its management and to consider gradations rather than step changes. The board authorized Village Administrator Randy Friday to approve an addendum to the existing contract reflecting the new bands so long as VanHavern’s firm confirms administrative details; the board also requested VanHavern present further management‑level justification if requested.
VanHavern described the surcharge methodology as an industry standard and said the change starting with the September billing would clarify application for the remainder of the contract year.