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<br />I <br /> <br />\ <br />I <br />r <br /> <br />I <br /> <br />]('n.du'Ross (-01 <br /> <br />Financing Costs <br /> <br />. Cost of debt capital could be greater than projected. <br /> <br />. Limited partnership may have to be marketed, resulting in <br />marketing fees to be assessed by underwriters. <br /> <br />PROJECT OPPORTUNITIES <br /> <br />~here are three major opportunities to increase revenues and <br />stabilize the process and space heat load of the facility. <br /> <br />Potential MSW Tipping Fee Premium <br /> <br />A new waste disposal site, such as the New Brighton Waste-to- <br />Energy Facility, would have to attract a portion of the existing <br />waste disposal market away from current landfill sites. A garbage <br />hauler's cost of waste disposal is the sum of the tipping fee paid <br />at the landfill and the transportation cost of getting to and from <br />the landfill. The closest landfill to the New Brighton site (12 <br />miles) is the Waste Disposal Engineering Landfill which has a <br />remaining life of approximately 1 year. The next competitive site <br />is the Anoka Landfill, which is a major landfill 16 miles from the <br />New B~ighton site. <br /> <br />Assuming that Circle II in Exhibit C (see page 8) represents <br />the New 'Brighton waste-to-energy facility's market, and that the <br />alternative disposal site is the Anoka landfill; the,following <br />hauling cost advantange can be derived: <br /> <br />. Packer truck operating expense = $30/hour <br />. Average packer truck capacity = 4 tons <br />. Truck speed: <br /> <br />r <br />l 40 MPH New Brighton to Anoka <br />20 MPH New Brighton area <br /> <br />I <br /> <br />. Dumping time = 20 minutes <br />. Resulting advantage: <br /> <br />New Brighton <br />Anoka <br />Potential Advantage <br /> <br />Time <br />39 min <br />68 min <br />29 min <br /> <br />Cost/ton <br />$4.88 <br />$8.50 <br />$3.62 <br /> <br />The above advantage has not been used in the economic projec- <br />tions presented herein. The major hurdle to attempting to capture <br />some of the transportation advantage in the tipping fee price <br />structure would be making the ~SW hauling industry aware of the <br />cost savings they would enjoy by using the New Brighton site <br />instead of outlying landfills or transfer stations. <br /> <br />- ?1. - <br />