Tyre Reform Stalled in Raleigh

(Greensboro News-Record) An effort to reform North Carolina’s method of buying retreaded tyres is moving haltingly through the General Assembly amid disagreement over techniques used by the current contract holder.

A bill introduced by state Rep. Nelson Cole of Rockingham County would block the state from paying White’s Tire Service of Wilson for controversial “spot repairs” to about $3.4 million a year in recycled tyres.

Cole’s bill also bans removing the original manufacturer’s trademark and other identification from retreaded tyres. It’s a step White calls critical to its process, but critics say it is unnecessary and voids important warranties.

“Being unable to readily identify tyres that might be involved in a recall just doesn’t make sense,” said Cole, a retired auto dealer and vice chairman of the House Transportation Committee. “Granted, their tyre looks better, but I don’t know what that has to do with safety or saving money.”

Cole’s bill has run a twisting path through the General Assembly. Last month, the state Senate removed the sidewall provision, which Cole reinserted in the House version.

But Thursday, the bill was tabled until next week by a House review panel after state Rep. Phillip Haire of Jackson County sought to drop two key provisions, including the one involving sidewall markings.

Haire said the sidewall provision would keep White’s Tire from producing its most popular “bead-to-bead” retread that he described as superior.

“The best way I can describe it is would you want a toboggan on that covers your ears – that would be the bead-to-bead – or would you want a baseball cap?” said Haire, a Democrat.

The issues are significant beyond the money involved. Thousands of children ride to school on retreaded bus tyres bought under the contract.

In the Triad, schools in Guilford and Randolph counties use White’s Tire. Other districts use different suppliers. White’s Tire executive Robert White contends the controversy has been stirred up by his company’s rivals “creating an atmosphere of fear.”

“This is the safest retread in the world, made like a new tyre,” White said in a telephone interview, adding that his company only recently imposed its first price increase since 2002.

White said there is no issue with recalls; his company would simply replace flawed tires free of charge. Critics counter that the company is too small to warrant its product like a major manufacturer, especially in terms of legal liability.

“Who do you want in court, one of the big boys or some podunk retreader from Wilson?” asked Russ Hunt of Snider Tire Co., a local competitor. Others fault White’s for questionable surcharges for small “spot repairs” – allegations supported by a 2005 report from the state auditor.

More recently, a legislative consultant found no difference in performance between White’s bead-to-bead and other retreaded tyres, except it was among the more costly.

“I call it the ultimate fleecing of the North Carolina taxpayer,” said Jim Maples of Piedmont Truck Tires, a Triad competitor.

Robert White said spot repairs are critical, but he doesn’t oppose dropping separate payment for them from the statewide contract.

It’s a different matter on the sidewall provision, which White said would kill the bead-to-bead method. It’s the only way to apply a veneer of new rubber to the sidewall, a unique feature.

But White’s Tire should not be allowed to remove important data from the sidewall during that process, said Harry Price of BesTreads, a Winston-Salem retreading company.

The information includes a federal ID number, inflation levels and date of manufacture, Price said.

“I think it’s a very important safety issue on several levels,” he said.
White said his company replaces the data exactly with its own sidewall stamp on the new veneer, but Price said the replacement is hard to decipher and wouldn’t be honored by any original tyre maker. (Tire Review/Akron)