Due to declining revenues from commercial waste being diverted from its system, combined with high debt-service costs, Southeastern Public Service Authority (SPSA) has been forced to consider the sale of part or all of its major solid waste assets.
Through the Hampton Roads Planning District Commission, it was requested that SCS provide an independent assessment of the value of SPSA’s key assets. The valuation was used to judge the reasonableness the purchase offers received and negotiated. The assessment was done from the perspective of a private company purchasing the assets from SPSA and taking over the ownership and operation of the facilities. The facility assessment was prepared by Deltaway Energy and the assessment identified potential improvements and upgrades to increase through-put and energy production of the facility.
The landfill assessment considered the value of three different expansion scenarios. The asset valuations were developed as a function of tip fees for member communities, the United States Navy, and commercial wastes. SCS was subsequently retained to assist with negotiations with the Virginia Resources Authority, which issued the majority of SPSA’s bonds, for approval to sell the Refuse Derived Fuel Waste-To-Energy Facility.