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WPCNR WHITE PLAINS LAW JOURNAL. From U.S. District Court, Southern District. February 15, 2007: Lawyers for the White Plains Public Schools have filed a Motion to Reconsider with the court today, delaying any possible settlement of the multi-million judgement handed down by Judge Charles Brieant, January 25. The Clerk to the District Court said he noted no letter suggesting a payment settlement to Travelers Casualty and Surety Company (which took over the White Plains High School renovation), after Trataros Construction had been declared in default by the School District.

The amount stated in the court order would indicate White Plains owes over $2 Million to Travelers. However, the district has over $800,000 left in the renovation account to offset that.

Superintendent of Schools Timothy Connors told WPCNR today  the school district lawyers are still working a settlement. He said he knows the amount, but did not choose to reveal it at this time.  

WPCNR WESTCHESTER COUNTY CLARION-LEDGER. From Westchester County Department of Communications. February 15, 2007: Citing an analysis of Westchester gasoline prices during the past five years, County Executive Andy Spano today called on the state Legislature to outlaw zone pricing of gasoline.

Price Roulette. Photo, WPCNR News Archive

Zone pricing occurs when oil companies charge higher wholesale prices to gas station owners in certain geographic areas.  The higher wholesale prices are then passed along to consumers. The Westchester analysis found six areas in the county where it appears zone pricing is a factor in prices. In each of these areas, prices have been significantly above the county average.

“Zone pricing is a manipulation of the market and causes consumers in some areas of the county to pay significantly higher prices for gasoline than their neighbors in other areas of the county,” said Spano. “There is no good reason for this, and I urge the state Legislature to ban zone pricing by passing Assemblyman Richard Brodsky’s bill.”

            The county Department of Consumer Protection analyzed gasoline prices in Westchester from 2002 – 2006.  The analysis makes it clear that zone pricing occurred in the following areas:

·        Bedford: 15.28 cents per gallon above the county average for 5 years; 20.2 cents per gallon more in 2006

·        Katonah: 14.96 cents per gallon above the county average for 5 years; 16.2 cents per gallon more in 2006

·        Rye: 8.58 cents per gallon above  the county average for 5 years; 14.6 cents per gallon more in 2006

·        Port Chester: 5.66 cents per gallon above the county average for 5 years; 8.1 cents per gallon more in 2006

·        Croton: 4.32 cents per gallon above the county average for 5 years; 6.7 cents per gallon more in 2006.

·        Somers: 3.78 cents per gallon above the county average for 5 years; 6.0 cents per gallon more in 2006

Zone pricing was especially pronounced last year, when gas prices rose to all-time highs during the

summer before dropping late in the year. The analysis also showed that zone pricing occurs consistently on a month-to-month basis. “The numbers speak for themselves,” said Gary Brown, director of Consumer Protection.  “Zone pricing causes consumers in the six affected communities to pay consistently higher prices for gas.”

            County Legislator Michael B. Kaplowitz, chairman of the Board of Legislators’ Budget & Appropriations Committee, joined Spano in seeking relief at the gas pump for Westchester consumers. In 2005, Kaplowitz, a long-time advocate of a ban on zone pricing, authored a resolution passed by the county Board of Legislators calling on the state Legislature to pass the bill sponsored by Assemblyman Brodsky that would prohibit the practice in New York State.   

“Zone pricing distorts the free market because gasoline dealers almost always have franchise agreements stipulating that the dealers must purchase products from a single supplier,” said Kaplowitz. “Under these agreements, gas dealers cannot shop for a cheaper supply. Then the wholesale price they are forced to pay is fixed by the oil companies, using factors that are beyond the laws of economics, but determined by simply how wealthy a community is or immobile a community is. This practice is crippling small and independent dealers and, by extension, the consumer.”  

CHART SHOWING ZONE PRICING