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Local businesses, residents continue to feel inflation’s burn

WHEELING — With no end in sight for inflation, local businesses and residents alike are continuing to feel the burn of high prices at the gas pump, at the store and even on their retirement funds.

Paul Jebbia, co-owner of Jebbia’s Market in Wheeling, said his business is doing the best it can to deal with the rising cost of everything. The market delivers produce and other foods six days a week to several restaurants, hospitals and schools.

Jebbia said his business uses roughly 200 gallons of diesel fuel – at about $6 per gallon – per day for three trucks.

To help combat these costs, Jebbia said they are trying to be more efficient with their deliveries and limiting some deliveries.

Some of their customers have opted to come pick up their orders as well.

“Everything that gets delivered here has a delivery fee on it,” he said.

But the high price of fuel also impacts the market’s suppliers, Jebbia noted. It even impacts the type of packaging the food arrives in.

There is also a nationwide shortage of delivery drivers, too.

“The lack of drivers and the cost of fuel has affected multiple businesses. … The supply chain is very fragile. Most suppliers have issues with the high cost of energy and materials and pass it on to the receivers. It’s happening nationwide,” he said.

Jebbia said his business has not been impacted severely by supply chain issues, but it does occasionally occur. Jebbia’s is known for having a loyal customer base and Jebbia said they always try to give their customers the best price on the best products.

“They are very aware of pricing, quality and availability, which is what we want. We want smart shoppers. We try to get the best product we can at the best price we can and be consistent,” he said.

Jebbia noted the prices of what they purchase changes sometimes daily. But that cost can’t be passed on to their customers abruptly.

“We’re making less money. We’re doing what we can to survive. We can’t just change prices every day. We bite the bullet and we average it out,” he said.

“We’re all doing the best we can. It’s affecting everybody and every industry,” he added. “We’re doing our best to get through it.”

For a store like Jebbia’s it is a balancing act because of what they sell.

“We sell perishables. You can’t just put it on the shelf and say you will sell it next week,” he said.

Nikki Kryston, vice president of Property Maintenance Services of Bridgeport, said the rise in fuel costs has been particularly tough on her company, which provides lawn care and street sweeper services.

“It’s been extremely difficult because most of our business is on a per-contract basis,” she said. “We don’t have the opportunity to raise prices.”

Kryston said her company did a small increase at the beginning of the year, but since then fuel prices have skyrocketed.

To help offset some costs, the company has looked at other ways to cut costs without affecting their businesses. This includes different uniforms, being extra cautious with its fuel use and sending invoices via email instead of in the mail. Not using the mail has cut down on paper and stamps costs, she said.

“Even if it’s $100, that’s $100 you have saved,” she said.

In addition to fuel, the cost of weed killer and fertilizers used has increased from 17 percent to 75 percent depending on the chemical. The delivery fee on the mulch the company buys to landscape properties has increased about 50 percent.

Kryston said finding more employees also continues to be difficult. To try and attract more people they have increased their starting wage — another added cost.

“Employment is an issue for everybody and now we have another headache with inflation and the prices of everything,” she said.

Kryston noted they have been trying to avoid adding any extra charges to bills because of increasing chemical or fuel costs, but in each contract the customers were made aware that it could happen.

“We’re hoping to get through this without having to impact our customers in that way,” she said.

For grass cutting alone, the company sends out up to six crews a day. The company has customers in Ohio, West Virginia and Pennsylvania.

“We buy fuel in bulk every other day. Fuel has had the most impact on the company as far as pricing — it’s through the roof,” she said.

Grant Coleman, owner of Mugshots cafe in downtown Wheeling, said he’s been dealing with higher prices since the pandemic. However, he has noticed his customers are feeling the pinch since gas prices have increased. The national average for a gallon of regular gasoline is just under $5.

“I think with the fuel prices we’ve seen a dip in sales for sure. People are spending a little less and that affects our bottomline,” he said.

Coleman said he has been trying to avoid raising his prices, but it is something he may soon have to do.

Coleman said he opened his shop two weeks before the COVID-19 pandemic was declared. At that time the price of food preparation gloves increased from about $50 per case to $170 per case.

“It’s starting to come down some. Eggs have gone way up and milk — we use tons of milk,” he said.”

Coleman said his shop still has a lot of repeat customers. They are still coming in and spending money, but are buying less expensive drinks and meals.

“The biggest thing is that we’re holding out on raising prices as long as we can,” he said.

He noted his shop has yet to operate under normal conditions since it opened in 2019.

“We opened two weeks before the pandemic, then we had the road construction and inflated prices, and then we’ll have the streetscape project to deal with,” he said.

Rebecca Stone, who recently opened The Foundry cocktail bar in South Wheeling with son Jared, daughter Lauryn and a friend, said it was difficult getting her building renovated after COVID hit, and now they are dealing with the impact of inflation, too.

“We made it through, barely,” Stone said, noting the renovation process was “a total gut job.” The building needed new electrical, plumbing and more. They were able to salvage its original tin ceiling.

“We were so far into the project that it was hard to stop because we had all the contractors lined up,” she said. “We just had to follow through. It was very hard because of the supply chain.”

Stone said as time went on renovation costs also kept creeping up because the supplies needed kept getting more expensive, too.

Now that it is done Stone said more people are starting to come into the establishment, and are starting to get a feel for it. They make fresh cocktails from fresh juices and pureed fruits. Many of the old-timers who used to frequent the bar under past owners were a little surprised by it. At first they were still expecting to get 25-cent drafts, she noted.

“People are seeing what we’re doing now. It was a little rough. Some people wanted it the way it was. But those days are over now,” she said. “It’s been an interesting endeavor. … Hopefully we’ll pull through.”

Stone noted they are learning to “pivot and survive.”

“Being creative and innovative is the key to success during these unprecedented times,” she added.

Wheeling area residents are also continuing to feel the burn of inflation.

Brian Wallace of Wheeling said because of inflation he decided to delay his retirement. He was planning to retire this year, but his 401K retirement fund took a hit.

“This year has been terrible and this quarter is not even over yet,” Wallace said. “I’ll work another year and re-evaluate in 2023. Hopefully it will turn around, but I’m not extremely optimistic about that. I’d like to get some money back.”

Wallace said he also started driving his motorcycle more instead of his other vehicles to save money because of the high gas prices.

“You have to stay positive and stay working. There is not a whole lot you can do about it,” Wallace said.

Wheeling resident Mike Marshall’s income has allowed him to not feel the impact of inflation.

“My income allows me to do what I want,” Marshall said. “That doesn’t mean I don’t feel sorry for others.”

Alex Edgel of Wheeling said he has taken on extra work because of inflation, and he is the sole income earner in his household of four people.

“I have one full-time job and three different side jobs,” Edgel said.

Edgel said he has been driving the smaller of his two pickup trucks to save money, but it is still expensive to buy gas for it.

“It costs $110 to fill it up,” Edgel said, adding he now typically puts in $40 to $50 worth of gasoline at a time.

Edgel does not know exactly how long he can keep working at the pace he is.

“Until I can’t anymore. I’m only 24, but that doesn’t make it any easier,” he said.

John Deskins, director of the Bureau of Business & Economic Research at West Virginia University and associate professor of Economics in the College of Business & Economics at WVU, said there are three main reasons for the current bout of inflation: supply chain constraints, workforce shortages and high gas prices.

“Gas is part of everything in the economy. Every product you can imagine has to be trucked,” he said.

He noted all three of the factors coming together at one time has resulted in the highest inflation in years.

He noted what may help combat inflation is the Federal Reserve raising interest rates. Doing so is meant to relieve inflation because it also lowers demand. However, it can be risky because it could also tip the economy into a recession, he said.

Deskins said his advice for people now is the same as before inflation: Be conservative with your money and live within your means.

“Have an emergency fund in place and savings for retirement and a rainy day. … You need to make sure you live within your means and not take on debt for consumer purposes,” Deskins said.

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