Staff Writer
PRESQUE ISLE – By a vote of 4-2, City Council authorized City Manager Tom Stevens to sign a letter of agreement with D & N Metals Company of Grand Falls, New Brunswick, for providing scrap metal recycling services for which the business will pay $136.56 in U.S. funds per ton to the city. Voting in opposition were Councilors Ron McPherson and Ed Nickerson.
Council heard nearly an hour’s worth of heated discussion over the city’s choice for removal of scrap metal, with local dealer Geary Bonville expressing displeasure over the bid process. Bonville had held the contract with the city until Council’s Aug. 4 vote. He told Council they’d “lose any right in suing them (D & N) if (scrap) taken across the border.”
Although Bonville, the only other bidder in the process, turned in zero bid, he indicated his business helped fuel the local economy.
“I know I bid zero on my bid. I work quite a crew in Presque Isle – I had $90,000 in payroll. If you take it to Canada, that never comes back in taxes,” said Bonville, noting he needed the contract “for at least another couple years so I can retire.”
Councilor Ron McPherson stated it was his recollection “that we sent this to the city solicitor who recommended several things. One was when the truck crosses the border, there is no recourse of ever getting the money, if they decide to forfeit. Second, batteries and propane tanks could not go across the border.”
“Sending scrap metal to Canada is the wrong thing to do. We can’t even send one potato over (without difficulty) yet we can send scrap metal. The city needs to take care of their own citizens that pay taxes and do business within the community,” said McPherson.
Solid Waste Director Dana Fowler said the issue of propane tanks had been addressed and that it was an issue of raising funds for the city.
“The major issue is money. As I presented in a memo to Council, in the last three years, the average is 300 tons (of scrap metal) a year. At over $136 per ton, that’s over $46,000 a year. If the bidder doesn’t comply with the contract, we put him on notice and can cancel the contract,” explained Fowler.
Councilor G. Melvin Hovey pointed out the council had sought bids and was obligated to follow the bid process.
“The Council asked management to go out to bid. We didn’t tell them it had to be strictly Presque Isle. When you ask for bids, then tell the high bidder you’re from the wrong place,” that’s wrong, said Hovey.
Bonville also took issue with city employees “cherry picking” through the scrap metal prior to his picking it up, then scrapping it at his business.
“A couple of issues bother me. Geary made a comment that (city) employees are ‘cherry picking’ scrap. It was told to Geary that it was permissible that employees ‘cherry pick’ during business hours. I have a problem with that,” said Nickerson.
Fowler explained that, in the city’s contract with Solid Waste Department employees, they can salvage items for their own use only, not for someone else and not to sell elsewhere.
“Employees are taking items and bringing (scrap) to my junkyard,” said Bonville. “It’s a game of cherry picking stuff out of the landfill. It’s been going on since day one. Everyone who works for him (Fowler) takes it and hides it out back.”
Stevens noted it was at the Council’s urging that bids were sought.
“Council continually challenges me and staff on ways to save or come up with more money. It’s a money issue. Both bidders seem to be qualified. One’s willing to enter a two-year agreement at $136.50 per ton – around $46,000 annually,” said Stevens.
Frustrated with the process, Bonville said it was “just a little game, always about money,” adding this would negatively impact his business.
“If I can’t keep taking the tin, keep the white gods, I’ll probably have to close my doors and send everyone home. I have expenses,” said Bonville.
Bonville said he’d done favors for the city over the years, including hauling a large piece of equipment north for repair when nobody else would – at no charge to the city.
Councilor Jennifer Trombley said she could see both sides of the issue – the city’s and Bonville’s perspective.
“It makes it hard for me. It’s really two issues. I’d really support local business over Canadian any day. I don’t question the value of G.S. Bonville and all he’s done and does for the city. But you (Bonville) did submit a bid,” said Trombley. “My difficulty comes from the bid process. Bids were requested and submitted. I don’t know what this opens up for discussion or problems. I honestly can’t vote to not support the city getting over $40,000. We had a bid process.”
McPherson countered, adding, “I’m not going to support this Canadian firm. As Geary said, I know the $40,000 that we’re talking about, but what he’s done in favors out there is probably times two. He’s there, he’s got the gravel, he’s got everything. To give this money to a Canadian company and not support your own, that’s like not supporting your children. Look at the houses he’s moved for the Industrial Council – at no charge – a massive savings there.”
“I think the favors may not be in money but are in things he does for the city. If you want something done that noone else will do, Geary will do it,” said McPherson.
Stevens said it was “always a challenge to come up with ways to save.”
“I don’t dispute what Geary’s done. We always wrestle with in-own vs. out-of-town bidders. Ultimately, all bids go out with language that the city has the right to accept or reject but (Council) guided by existing policies,” said Stevens.
Bonville advised Council that the favors would end, should he not get the bid.
“I do a lot of other things. The other bidder doesn’t pay taxes. I’ve done for you (the city) but I won’t any more. You may be in trouble. It may be money, but money isn’t everything,” said Bonville, as discussion of the matter drew to a close.
In an effort to help boost city revenues, Council cast their votes, awarding the bid to D & N for anticipated income from the contract benefiting city coffers to t he tune of just over $46,000 a year, for a two-year period, with three one-year options.
“Two years are locked in, with the third, fourth and fifth year at the discretion of the business and city,” Fowler.
Council’s next session is scheduled for Sept. 3 at City Hall, beginning at 6 p.m. Sessions are open to all and the public is encouraged to participate. For more information, contact 764-4476.
Staff photo/Kathy McCarty
GEARY BONVILLE, of G.S. Bonville, Chapman Rd., Presque Isle, shared his views on the recent city’s sheet metal bid process, expressing concern over the awarding of the bid to a Canadian company.