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34 °F Forecast | Road Cams Thursday, December 16, 2004 Today's News | Classifieds | Autos | Homes | Jobs | Tempo | Health | Community | Home Delivery SECTIONS Home Page Local News Sports Business Obituaries Life Opinion - Politics Tempo AP News Weather Classified Archives Site Map SPECIAL SECTIONS Since We Asked Outdoor Journal Menu Guide How To Guide Wellness Connection Readers' Choice Real Estate Showcase Joy Magazine Homelife Magazine Wedding Guide Passport to the Rogue Valley EXTRA Newspaper in Education Personals Movie Times TV Times E The People MARKETPLACE Find a Car Find a Home Find a Job Classifieds Place an ad eSouthernOregon Automotive Communities Entertainment Publications Recreation Calendar CUSTOMER SERVICE Frequent Questions Advertising Information Home Delivery Employment Contact Us Media Kit Network Affiliate Oregon Road Conditions & Cams Email Story to a Friend September 19, 2004 Jets of water wash pears at the start of Sabroso�s processing operation, which produces juices and purees for a variety of food uses. The resulting wastewater is about to cost Sabroso about $20,000 more per year thanks to sewer rate increases. Mail Tribune / Jim Craven Irrigation & Irritation A steep increase in sewer rates has one of Medford’s prime contributors asking officials for consideration By MEG LANDERS Mail Tribune Medford’s largest sewer customer and one of its biggest employers would like more say, if not an out-and-out subsidy, when it comes to its sewer fees. With a significant sewer rate increase going into effect Oct. 1, which will add approximately $20,000 to the roughly $120,000 annual sewer bill for Sabroso Inc., company President Jim Root says the city could afford to be more friendly with the fruit-processing industry. This is not the first time he’s felt uninvited to the table for discussion. "Sabroso, I believe, remains the city’s largest industrial employer and certainly its largest customer of sewer services," Root told the council during a Sept. 2 public hearing on the rate increase. But city staff argue they have included Sabroso in the discussion from the start. Additionally, Medford officials say they’re just trying to meet stricter federal regulations on wastewater disposal, and the money has to come from somewhere. Advertisement On Sept. 2 the City Council approved a $1.19 increase in the "regional wastewater reclamation fund," part of the sewer bill for many Rogue Valley residents. In August a regional rate committee approved changing the flat rate for Rogue Valley Sewer Services (RVS) customers to $13.90, which means higher bills for some cities and lower for others. RVS customers are in Talent, Jacksonville, Central Point, White City, parts of Medford and unincorporated areas around Eagle Point and Phoenix. The increase will help pay for a pilot program to irrigate local food crops with treated water to avoid having to release the wastewater into the Rogue River, as is the current practice. New regulations require the wastewater to be cooled before being released, which would be enormously expensive. The regionwide increase will add about $75,000 in revenue per month to pay for the project, which will cover about 500 acres in the Rogue River Valley Irrigation District with "reclaimed" water (filtered and treated sewage). While Root says he understands the tighter restrictions and the need for the program, he said the fruit processing industry shouldn’t take such a hard hit. He said because they’re competing internationally with businesses that rarely raise prices, the people who would take the hit would have to be stockholders or employees. He asked the Council to hold off on a decision at the Sept. 2 meeting so Sabroso could have more time to assess the effect on the company and consider alternatives — such as a break on the fees. But the council OK’d the increase anyway. Root said this is not the first time he’s felt snubbed. Root said Sabroso bought land and got tentative approval from the city to double the size of Sabroso’s production facility — and double the number of employees. They were stopped by capacity limitations at the sewage treatment plant, he said, and they let their application expire last year. Root said before 1996, Sabroso had a good relationship with the city. He said Andy Anderson, who was city manager then, made a point to include him in meetings and conversations. But he says the mood is different in City Hall now. "Things seem to be more formal, less opportunity for discussion and development of ideas," he said. Root said he knew there was talk of a rate increase, but had no idea it was coming before council in September and would be implemented in October. He doesn’t understand the urgency. Jim Hill, water reclamation administrator for Medford public works met with Root in recent months and went over the new fee. "I don’t see that he’s been left out of the process," said Hill. He did not recollect if he told Root that fees would increase in October. "I said this much, that we would start construction (on the pilot project) in 2005," he said. Hill said there’s no room for flexibility in the new rate’s start date because the money needs to be raised to get the pilot irrigation project under way. "The longer you wait to collect the money, the more money you have to collect when you collect it." He said Sabroso has a couple of options. "They have a choice," said Hill. "They can pay more to discharge to us, or they can go out and build their own (treatment) facility." Sabroso has already built a facility outside Phoenix to handle their wastewater. He said the wastewater treatment plant is obligated to charge whatever is agreed on by the region, so it’s not within his power to say that Sabroso can get an exception. "We’re obligated to collect that money," he said. "Sabroso can go the city and ask the city to compensate (Sabroso). "We don’t care who pays it, but that is due us." The region’s top five largest sewage producers include Sabroso, Darigold, American Linen, Bear Creek Corp. and Kodak, according to Hill. Sid Layton, chief engineer with Darigold Inc.’s milk processing plant between Court Street and Riverside Avenue across from the Rogue Valley Mall in Medford, said any rate increase hits the plant hard. "Our profit margin is so tight," he said. "There will be some impact but it’s a little bit early to say what it might be." He said the city has a lot of requirements for treating their discharge, so what comes out of their plant doesn’t compare with what comes out of other businesses, such as the Rogue Valley Mall across the street. "Virtually, our discharge is clear," he said. Layton did not share all of Root’s complaints about relations between the city and industries, but was reluctant to say he was satisfied. He did say he felt like his company was included in the process. "I wouldn’t say that there’s any bad blood," he said, but "they watch us very, very, very close." Medford Councilman Bob Strosser, chairman of the committee that required the sewer rate increase and a candidate for Medford mayor, said he doesn’t know what the city can do to help industries hit by the rate increase. "We’re up against a wall because of federal regulations," he said. He was troubled to learn that Root felt so left out of the decision-making, but the council is likely to talk more with Root about the issue. "I do believe it will be revisited," he said. "I think the real question, from an economic standpoint, is do we subsidize Sabroso?" Because the bill has to be paid somehow, should the city subsidize Sabroso’s sewer bill, taxpayers and/or other city sewer customers would foot the bill. He said the rate committee, after hearing staff recommendations, voted unanimously for the rate increase in August. He said the committee tends to follow staff recommendations but is always concerned about raising rates. "It’s wrestled around a fair amount," said Strosser. "There’s a very conscientious concern by all the people who were voting there." But the money has to come from somewhere. "We’re not sure what options we have," said Strosser. Going with the flow: A Sabroso history In 1932 Myron Root started Myron Root and Co., a fruit packing and shipping business in Medford. In 1963, sons Don and Bob Root, along with partner Dunbar Carpenter, started Sabroso Co. (Sabroso means tasty or delicious in Spanish) as a subsidiary, making the reject fruits into a puree. In 1988, Jim Root became president, and the company now imports and exports puree, concentrates and fruit products from 27 countries, ranging from peaches and pears to mangoes and mandarin oranges. The Rogue Valley Sewer Services manager, Chuck Root, is no relation to the Sabroso Roots. For fiscal year 2003-2004 The average discharge from their Medford plant per day is: Peak (June-Aug.): 375,000 gal/day Slow (Dec.-Feb.): 190,000 gal/day The average total per month is: Peak (June-Aug.): 11,500,000 gal/month Slow (Dec.-Feb.): 4,500,000 gal/month The average volume hauled to a settling pond in Phoenix is: Peak (June-Aug.): 1,150,000 gal/month Slow (Dec.-Feb.) : 30,000 gal/month Reach reporter Meg Landers at 776-4481 or e-mail [email protected] Mail Tribune Home Local News | Sports | Business | Obituaries | Life Opinion - Politics | AP News | Archives | Site Map E Southern Oregon | Classified Copyright © 1997-2004 Mail Tribune. All rights reserved. Privacy Policy | Terms & Conditions Website Feedback ADVERTISERS A D V E R T I S E R S SPECIAL SECTIONS Auto Finder Job Finder Home Finder Joy Magazine Homelife Magazine Tempo Readers' Choice Real Estate Showcase Since We Asked Outdoor Journal Moving to Southern Oregon? Volunteer Opportunities