Passing along the pain

By Adam O'Daniel - Adam O'Daniel

The record-shattering price at the pump is starting to pinch more than just fuel budgets.

Local service and delivery businesses are joining the food and travel industries in passing fuel costs on to consumers. Area servicemen and delivery drivers are considering, if they haven't done so already, adding extra fees to cope with the highest fuel prices in American history, meaning even a leaky faucet or a dozen roses may cost more than it ever has.

Cindy Yarborough, owner of Cindy's Flowers on Rock Hill's Cherry Road, said she recently increased her delivery fee to $8 or more depending on trip length to recoup her losses at the gas pumps. She's spending $100 every other day to keep her two delivery vans filled up, she said, a near-mortal wound for a small business.

"Everything is going up," she said, noting the ballooning costs of insurance, vehicle upkeep, taxes and other supplies needed for business. "It's just tax, tax, tax and gas, gas, gas. Take your pick, babe. It's terrible."

Yarborough said so far, customers have been understanding of the increases. Most know she's not making any extra money.

"But if it (price hikes) don't quit, fees might have to go up again," she said. "If we weren't a high-volume shop, we wouldn't still be here."

Stacy Green, office manager of Doan's Plumbing in York, said his company's eight work trucks spend $6,000 to $7,000 a month on gas. A tank of gas for each vehicle, which lasts two days at most, costs $90, and a $50 fee to cover the fuel recently was added to bills of customers living outside York County.

"It's the biggest challenge we face right now," Green said about gas prices, expected to climb even closer to $4 a gallon next month. "A year ago, it was half the price. You can forget that now.

"We're not upping our regular rates yet, but yeah, we're looking at it," he said. "It's definitely tough times right now."

'A new record high every day'

Rising fuel and food prices combined with a stagnant economy is making life tough on consumers. And despite economic stimulus payments arriving as early as today, experts don't expect pressure on the American wallet to ease.

"We've set a new record high every day this week (in the Charlotte region)," AAA of the Carolinas spokeswoman Carol Gifford said about fuel prices on Friday. "That's pretty staggering when you think about it."

Gifford said the reason for high prices is a combination of record demand, $117 a barrel crude oil prices, occasional terror threats disrupting supplies around the world and investors continuing to pump money into oil futures.

"We don't see an end in sight right now," she said.

Gifford said she wasn't surprised businesses were beginning to charge more for fuel.

"Small-business owners can't take a hit like that," she said. "Consumers are going to see a lot more of this, and even though they're already paying more for their own gas, groceries and other goods, it's not getting any easier."

While small businesses have been hit the hardest, larger companies are trying to absorb the economic blows, too.

Roger Costner, whose Brothers Air and Heat operates a fleet of 28 heating and air conditioning service trucks, said his company is streamlining operations to help pay for gas. He dispatches servicemen from their homes, according to who is closest to the customer, instead of from his Rock Hill office. GPS units have been installed in vans to ensure the shortest possible driving distances. And some office staffers are working from home on the weekends to cut fuel costs.

But even with a $350,000 fuel budget this year, Costner said prices predicted to flirt with $4 a gallon by Memorial Day are causing him to at least look at more drastic measures.

"If they go much higher, we'll have to look at our rates," he said. "We're not trying to make more money like these oil companies. We're just trying to recoup the difference."