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February 13, 2009

Senator Caligiuri Renews Call For State Licensing & Oversight Of Trash Haulers

Testified In Favor Of His Proposed Legislation Before General Law Committee

Senator Sam Caligiuri (R-16) is again calling for the General Assembly to require trash haulers to submit to licensing and oversight by the state Department of Consumer Protection. He testified today in favor of his proposed legislation, SB 324, An Act Concerning the Mandatory Licensing and Oversight of Trash Haulers, before the legislature’s General Law Committee.

This is the second time that Senator Caligiuri has asked the General Assembly to pass legislation requiring that trash haulers be licensed by the state.

“We need this bill in order to protect the public and consumers from the small minority of haulers who engage in illegal practices. These practices are anti competitive, which ultimately hurts consumers,” said Senator Caligiuri, adding that state licensing and oversight would deter illegal activity.

Specifically, Senator Caligiuri’s proposed legislation would require trash haulers to: provide background information on officers, directors and shareholders/owners of the company and submit to background checks on these individuals; submit annual financial statements to the state; and certify the areas served by their companies.

“The licensing and background check process would help us to identify individuals who by virtue of their background should not be permitted to participate in this industry,” said Senator Caligiuri, noting that two individuals convicted in recent years were owners or partners in as many as 25 different trash hauling companies.

“Requiring trash haulers to submit financial statements would create greater transparency and hopefully deter illegal practices such as the so-called “property rights system” under which participating trash haulers agree to divide stops, fix prices and rig contract bids,” said Senator Caligiuri.

Senator Caligiuri said he anticipates opposition on the grounds that trash haulers are already regulated at the local level. However, he said that law enforcement activity regarding trash haulers is proof that existing oversight is not effective.

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