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Fuel & Environmental Recovery Fee
 

Republic Services is committed to providing high quality service to our customers. We strive to contain our costs; however, we are unable to control fuel and other petrochemical costs and environmental expenses. The Fuel Recovery Fee and Environmental Recovery Fee are charges to recover these costs and achieve an acceptable operating margin. The two separate fees appear as a single invoice line item called “Fuel/Environmental Recovery Fee”.

Fuel Recovery Fee – Collection Services

The Fuel Recovery Fee will be updated each month. The diesel rate used to determine the Fuel Recovery Fee charged will be the peak weekly-published price per gallon in the preceding calendar month as reported by the U.S. Energy Information Administration website “On-Highway Diesel Fuel Prices” index. The Fuel Recovery Fee will be determined by cross-referencing this price for the month preceding the month in which you are invoiced to Republic Services’ Fuel Recovery Fee Table. For example, if the peak diesel price per gallon last month was $3.95, based on the Fuel Recovery Fee Table, the fuel component of the charge on this month’s invoice would be 18.20% of your invoice amount, excluding tax, and this rate will apply for the entire period covered by your invoice.

The Fuel Recovery Fee charged on your invoice is not associated with any explicit, direct or indirect cost to service your account. The fee is based on the overall cost of fuel and other petrochemical expenses incurred by Republic Services and its affiliates on a nationwide basis and is designed to achieve an acceptable operating margin. This includes both direct and indirect fuel and petrochemical costs associated with collection, transfer, landfill and material recovery facilities.

Environmental Recovery Fee – Collection Services

The Environmental Recovery Fee is established at 10% of invoice charges, excluding tax. This fee recovers costs incurred on a nationwide basis associated with operating our facilities (collection, transfer, landfill, material recovery and landfill gas-to-energy) in an environmentally responsible manner and is designed to achieve an acceptable operating margin.

The Environmental Recovery Fee charged on your invoice is not associated with any explicit, direct or indirect cost to service your account. It relates to Republic Services and its affiliates' nationwide costs throughout all operations to service all customers and is designed to achieve an acceptable operating margin.

Calculation of Fuel Recovery Fee & Environmental Recovery Fee

The Fuel/Environmental Recovery Fee is charged to a customer's invoice in the following manner: The Fuel Recovery Fee is applied to the total standard invoice charges, excluding tax. The Environmental Recovery Fee is then applied to the total standard charges, including the Fuel Recovery Fee, excluding tax.

Not a Governmental Tax

The Fuel Recovery Fee and the Environmental Recovery Fee are not taxes, surcharges or fees mandated/imposed by or remitted to any governmental or regulatory agency. As noted above, the fees are Republic Services’ charges to recover our companies’ costs on a nationwide basis and achieve an acceptable operating margin. The Fuel Recovery Fee or the Environmental Recovery Fee may be changed at the discretion of Republic Services. Your service agreement may require your consent to these fees; under such service agreements, your payment of the fees provides your consent.

Frequently Asked Questions


Why am I charged a Fuel Recovery Fee?

There are fuel and other petrochemical costs (oil, lubricants, etc.) associated with Republic Services and its affiliates’ collection, transfer, landfill and material recovery facilities nationwide. The Fuel Recovery Fee is a charge to recover these costs and achieve an acceptable operating margin. By separating fuel related costs into a separate line item, we are better able to isolate fluctuations that may occur in fuel prices. As the cost of fuel increases during inflationary periods, the FRF charge, and therefore overall invoice costs, will increase. When fuel prices drop, the FRF charge, and therefore overall invoice costs, will decrease.

Why am I charged a Fuel Recovery Fee when the trucks from the local Republic Services company that collects my waste/recyclables use fuels other than diesel, such as compressed natural gas (CNG) or liquefied natural gas (LNG)?
The Fuel Recovery Fee (FRF) is a charge that relates to Republic Services and its affiliates’ direct and indirect fuel and other petrochemical costs to service all customers on a nationwide basis; it is not associated with any explicit, direct or indirect cost at any one of our local affiliates to service its customers’ accounts. Although some of our local companies have converted (or will convert) to alternative-fuel-powered (e.g. CNG, LNG) trucks and/or equipment, most of the disposal trucks, vehicles and other equipment used in our nationwide operations remain diesel-powered. Republic Services and its affiliates incur costs nationwide in the form of diesel, CNG, LNG or other alternative fuel purchases in addition to other petrochemical expenses.

How often does the Fuel Recovery Fee change?
The Fuel Recovery Fee will change on a monthly basis. The Fuel Recovery Fee percentage will increase/decrease as the peak weekly diesel price as reported by the applicable U.S. Energy Information Administration website index changes. Additionally, beginning with invoices generated in November 2012, we adjusted the Fuel Recovery Fee table that determines the FRF percentage charged.

How did the Fuel Recovery Fee Table Change?
Effective November 2012, for every penny of fuel price above $1.50 reported on the applicable U.S. Energy Information Administration website index, the corresponding Fuel Recovery Fee on our table now increases (and decreases) by 0.058975% instead of the historical rate of 0.05%.

How often will the Fuel Recovery Fee Table Change?
The table may change at the discretion of Republic Services. Prior to this change in November 2012, the table was last updated in March 2008.

How often will the Environmental Recovery Fee change?
The Environmental Recovery fee does not fluctuate on a monthly basis. This fee may change at the discretion of Republic Services.

When was the last time you increased the Environmental Recovery Fee?
The Environmental Recovery Fee increased to 10% in November 2012. Before that, the fee last adjusted in December 2011.

Are there plans to increase the Fuel Recovery Fee or Environmental Recovery Fee?
We periodically review the fees to determine whether they are appropriately recovering Republic Services and its affiliates’ nationwide costs and contributing to an acceptable operating margin. We adjust the fees as necessary. If there were to be any change to either fee, you would be notified through your billing statement.

Administrative Fee

Republic Services is committed to providing high quality service to its customers. We are constantly working to provide exceptional service at an economical price. There are costs associated with the administrative processes of billing, payment processing and account maintenance for Republic Services and its affiliates, and those costs have increased over time. We have an Administrative Fee in place to recover these costs and achieve an acceptable operating margin. We appreciate your business and look forward to continuing to serve you and the community. If you have additional questions, please contact customer service at the telephone number listed on your invoice.

Why do you charge an Administrative Fee?
There are costs associated with generating invoices and administering accounts, such as printing and mailing invoices, cash processing and account maintenance. The Administrative Fee allows us to recover these costs and achieve an acceptable operating margin. Also, by isolating these charges on the billing statement, our customers can be better informed.

When was the last time you increased the Administrative Fee?
The Administrative Fee last increased in April 2011.

Are there plans to increase the Administrative Fee in the future?
We periodically review the fee to determine whether it is appropriately recovering Republic Services and its affiliates’ costs and contributing to an acceptable operating margin. We adjust the Administrative Fee as necessary. If there were to be any change to the fee, you would be notified through your billing statement. Your service agreement may require your consent to this fee; under such service agreements, your payment of the fee provides your consent.

Reading and Understanding your Bill

Information on the FRF, ERF and administrative fees is available in the Republic Services’ Frequently Asked Questions.

For information on your bill, please visit:
Residential Customers: How to Read Your Bill
Business Customers: How To Read Your Bill

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