Highlights:
- A county appointed receiver has selected the Lancaster Solid Waste Management Authority (LCSWMA) to enter into final negotiations to buy the Harrisburg Materials Energy Recycling Recovery Facility (HMERRF)
- Final purchase price will be determined after negotiations are complete but other bidders will now be excluded from the process
- Upon completion, LCSWMA will handle approximately 1 million tons of solid waste per year and will produce renewable energy equivalent to power 55,000 homes
- Harrisburg originally made a $125 million investement in the WTE plant. The facility is now being sold to help cash strapped Harrisburg with more than $315 million in debt. See previous coverage that describes the financial situation that led to the sale from the Harrisburg Authority.
- Other bidders for the facility included Wheelabrator Technologies Inc. Cambridge Development Inc., and Interstate Waste Services;
From the press release:
LCSWMA has been selected by the Office of the Receiver for the City of Harrisburg as the winner of their competitive bidding process, to enter into immediate negotiations for the purchase of the Harrisburg Materials Energy Recycling Recovery Facility (HMERRF).
The final purchase price will be determined after negotiations with the Office of the Receiver are complete and subject to prevailing interest rates at the time of the purchase transaction. LCSWMA is prepared to dedicate the necessary time and resources to complete the transaction within the timeframe requested.
"We were confident that our solution was the best choice all along and are glad the Receiver has selected LCSWMA. However, we understand and support their desire for a fair and transparent process. Thus, we were happy to participate in the qualification and bidding procedure," says James Warner, CEO for LCSWMA.
LCSWMA manages 650,000+ tons of Lancaster County's solid waste each year. The acquisition of the HMERRF will enable LCSWMA to expand its expertise to neighboring Dauphin County and the state capitol, while also benefiting Lancaster County with additional capacity for a growing population. Upon acquisition of the HMERRF, LCSWMA will manage a system consisting of about one million tons of solid waste per year, generate total revenues of approximately $87,000,000 and position itself as one of the largest generators of renewable energy in central Pennsylvania, powering the equivalent of 55,000 homes.
See the LCSWMA blog for the full press release
