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MEDFORD Rogue Disposal wants to increase garbage rates by 12 percent 12 percent increase proposed to Medford City Council Comment By Damian Mann Mail Tribune Follow @@reporterdm MailTribune.com By Damian Mann Mail Tribune Follow @@reporterdm Posted Aug. 11, 2016 at 5:25 PM Updated Aug 11, 2016 at 6:11 PM By Damian Mann Mail Tribune Follow @@reporterdm Posted Aug. 11, 2016 at 5:25 PM Updated Aug 11, 2016 at 6:11 PM » Social News Rogue Disposal and Recycling says sharp increases in recycling and other costs have prompted it to request a 12 percent hike in garbage rates for a typical residence in Medford. "We typically don't have these type of increases," said Garry Penning, spokesman for Rogue Disposal. In Medford, rates would go up $2.05 a month beginning Jan. 1 for a typical 35-gallon service, which currently costs $17.03. Other costs have contributed to the proposed rate increase, including labor and insurance, Penning said. In addition, commercial rates would increase $17.94 a month for a 2-yard dumpster. A green waste service also would go up 78 cents a month. The Medford City Council will need to approve the rate increases at an upcoming meeting. Similar rate increases will be proposed in other communities served by Rogue Disposal, which performs a rate study every five years. In Medford, Rogue Disposal serves 23,123 residential customers, 1,631 commercial waste customers and 200 industrial waste customers. Of these, 20,718 residences use a recycling container, 412 use a commercial recycling container and 12,486 use a green waste container. Medford residences currently enjoy some of the cheapest rates in the state for garbage pickup. If the new rates are approved, Medford residents would pay more than Grants Pass and Ashland but less than many other cities in the state. Gresham residents pay $29.69 a month, while Portland residents pay $29.35. Recycling, which has increased 25 percent over the past five years, has been a success story, but the downside is that it costs more to recycle now than before because of global economic forces. "Recycling is the fastest growing segment of our business," Penning said. Rogue Disposal pays a fee and transportation costs to get the recycled material to processing facilities. Even after it receives some money back for the materials, the company sees a net loss, Penning said. Penning said it's possible that Rogue Disposal's costs for recycling could one day exceed the costs for dealing with garbage. "We are getting close to that threshold," he said. At the same time, Rogue Disposal encourages people to recycle, but could be faced with new requirements that more materials, such as carpeting and plastics, are recycled. Rogue Disposal has seen some operational cost savings, but not enough to offset other hikes. "The fact that recycling markets have crashed so badly has eaten into any reductions in fuel costs," Penning said. In years past, the U.S. has sent much of its recycled material to China. But China, which has experienced a slowdown in its own economy, is less interested in foreign recyclables, partially because it now generates significant quantities of its own materials. Penning said the recycled material in this valley will be sent to other countries in South America and Asia. He said many American companies aren't interested in recycled materials because they can buy the raw materials, including oil, far cheaper. In the past, the market for recycled materials has gone down and then improved, but Penning said for the foreseeable future, the prices are expected to remain relatively stable. Reach reporter Damian Mann at 541-776-4476 or [email protected] . Follow him on www.twitter.com/reporterdm . By Damian Mann Mail Tribune Follow @@reporterdm MailTribune.com By Damian Mann Mail Tribune Follow @@reporterdm Posted Aug. 11, 2016 at 5:25 PM Updated Aug 11, 2016 at 6:11 PM » Comment or view comments Reader Reaction » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Southern Oregon Directory Featured Businesses Loading... 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