In the solid waste, recycling and renewable energy industries, certain contracts can be very important in assuring revenues for a solid waste management service provider, or the construction and successful operation of a transfer station, material recovery facility, anaerobic digestion and other organics processing facilities.
Solid waste management companies serve customers and municipalities in various ways but in many cases, longer term contracts between the latter and the companies are crucial to the success of the enterprise. Mr. Rose has worked with numerous companies in assisting with the negotiation of these contracts with an eye not only to getting the best possible agreement for the client, but also to make the contract “financeable”.
Most counsel can write a contract but it is important that the financing aspects are considered in the agreement whether it be for municipal solid waste and recycling services, use of a transfer station, or project finance agreements. Quite simply, if they are, better terms and pricing can result. For renewable energy and other project financings, all the major project contracts must meet certain standards which protect both the project developer and the lender and, in essence, “shift” the risk of the development and operation of the facility to other entities. Mr. Rose has extensive experience in this area and can often assist clients’ regular counsel in being sure the agreements serve the purpose intended. For more on project finance and the contracts involved, click here.
Review of documents and other assistance is generally provided if requested at no additional cost to the client because such efforts are part of a typical scope of work. It always helps if clients get us involved earlier in their process, rather than later.
How We Can Help
We can often assist in negotiations with local governments in three areas:
- Providing comments to draft documents associated with a request for services by a municipality or other government
Helping to assure that the final contract between clients and the governmental entities they serve have terms which protect the client and make the contract more acceptable to the lending community—that can result in better lending rates and terms.
It is often helpful to staff and elected officials of local governments to know how a given issue has been resolved elsewhere. Mr. Rose has negotiated with a wide variety of governments and can use that experience to get similar favorable results in new situations.
Explain the federal law and regulations related to tax exempt debt and help you determine whether it would be useful and feasible for the capital costs you intend.
For non-recourse, “project finance” transactions, Mr. Rose can assist in the negotiation of final terms of input, EPC and output contracts to ensure that the terms of those agreements satisfy the specific requirements for this type of financing.
For recourse financing where your established company is borrowing the money, we can negotiate better terms in your credit agreement due to our “leverage” with the few banks that understand the industry with whom we deal. It is more difficult for a bank to refuse a term that we have gotten them to accept for another client of ours.