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Bill would fix flaws in retreading tire system

Thursday, May 22, 2008
(Updated Friday, June 6 - 3:29 pm)


RALEIGH — A state legislator from the Triad wants to close loopholes in North Carolina's contract for retreaded bus and truck tires, which critics say cost taxpayers thousands of dollars every year in needless expense.

Should Guilford still use White's Tire Service? Join the discussion at the Debatables blog.

State Rep. Nelson Cole proposed a bill Tuesday to reform the state's tire-buying policies and stop a retread contractor from charging for "spot repairs," invisible patches that raise the cost of retreaded bus tires by up to $36.21 each.

The proposal stems directly from a recent study by nationally known tire consultant Smithers Scientific Services, which raised questions about the state's tire contract, said Cole, a Reidsville Democrat.

"We had our staff go through that report, pick out all the recommendations and put them together in this bill," Cole said.

The contract — worth an estimated $2.6 million to $4 million a year — has been held for 30 years wholly or in part by White's Tire Service, a Wilson company that uses a style of "bead-to-bead" retreading different from most in the industry.

White's Tire was criticized about 18 months ago in a report by the State Auditor's Office, which said its spot repairs cost taxpayers at least $361,000 a year in questionable surcharges.

Smithers' researchers presented a report to state legislators last month that also questioned the practice of separate charges for spot repairs, which can't be verified because they are hidden under newly applied tire tread.

The industry custom is to make such prep work part of the overall fee per tire, Smithers said.

By law, retreaded tires are used on the rear wheels of such state vehicles as school buses and Department of Transportation trucks to conserve resources and save landfill space. The process melds new tread onto a tire casing that is still sturdy but has a worn-out driving surface.

Guilford County schools continue to use White's Tire because district officials say it makes a good product. Such other districts as Alamance, Davidson, Forsyth and Rockingham counties moved to other suppliers after state law was changed to allow that several years ago.

Cole's proposal also would require retreaded tires to have sidewalls on which "the manufacturing company's original markings be visible."

That would prevent White's Tire from covering the original manufacturer's sidewall with new rubber and applying its own logo as part of its relatively unique process.

Most companies leave the sidewall alone to replace only the tread.

Covering the sidewall could cause major legal problems if the original manufacturer issued a recall for some of its casings or "God forbid, an accident occurred in which school children or DOT employees were injured," Cole said.

The bill also would end a practice by state purchasing agents that drew protests from White's Tire competitors: Including the Wilson company's "bead-to-bead" process by name in bid specifications, virtually guaranteeing it a piece of the contract.

State officials have said they do it because some fleet managers specifically ask for tires retreaded that way. But Smithers found no differences in performance to suggest any retread process was superior.

Efforts to reach White's Tire executives for comment Wednesday were unsuccessful, but competitors said they generally like Cole's bill.

"It definitely levels the playing field," said Harry Price of BesTreads in Winston-Salem. "I'm sure the state would get value out of this and get a much lower price."

Greensboro retreading-company executive Russ Hunt said the proposed changes are headed in the right direction, whether or not they result in more business for him at Snider Tire.

"This would not be a shoo-in for anybody," Hunt said. "It would just be good for North Carolina taxpayers and for all of North Carolina's retread vendors."
Contact Taft Wireback at 373-7100 or taft.wireback@news-record.com

Accompanying Photos

Photo Caption: Bill would fix flaws in retreading tire system

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