Month: January 2017

Most independent haulers and landfill operators do not use a floating fuel recovery fee-and that is a problem for them.  Fuel expense can constitute 5%-15% of their expenses.  When fuel costs start to rise and there is no meaningful mechanism to recover the increased cost, one sure result is erosion of the bottom line.  The loss of profit impacts the business in a number of ways: equipment replacement, pay increases for employees, skipping preventive maintenance and lowering your leverage with your lenders, all of which can impact growth.  Raging fuel increases have caused more than one company to leave the industry. All of my clients have heard about the Floating Fuel Recovery Fee (FFRF) and why they should be using it in their business. The FFRF is a tool to adjust the charge to the customer based on where average price per gallon of fuel is each month.  Most if not all of the publically traded waste companies and the large...