Ohio salt contracts restructured
To most of the area residents, the mild 2011 winter was more than welcomed, as is it was for many of the crews who take care of the roads across the State.
Recently, contracts for the distribution and prices set by the salt supplier, used by counties across Ohio has been restructured- potentially saving an estimated 10 million dollars in tax dollars says the Ohio Department of Transportation(ODOT).
In contrast to years before, where each supplier bid on each contract, now each supplier must bid on all counties. ODOT reports that an average of $13 was saved on each ton purchased in preparation for this coming winter.
Another aspect cutting into the price is the grouping of many subsidiaries throughout the state, which creates more leverage by grouping in the market, when it come to terms and contracts.
“We never truly know what Mother Nature has in store for us each season, but one thing we do know is that ODOT will be fully prepared and our work this winter will cost Ohio taxpayers less money,” said ODOT Director Jerry Wray.
“This is yet another example of how we are demonstrating our success of identifying efficiencies here at ODOT so that we can provide the same great level of service to our customers but do it at a lower cost.”
With the cost of the supply down, many counties would immediately pursue such prices compared to years past. Although these lower prices help, most area counties and cities are not in need of supply due to a surplus left from last year.
Several local municipal workers state there is, on average, 10 tons left over helping cut some budgeting deficits, as a purchase order may not even be necessary in some areas.
Muklewicz can be reached at email@example.com