COM 0210.007 2004-2006 - Laserfiche WebLink

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industrial wastewater discharge to the storm drainage system, industrial wastewater dischazge to the sanitazy sewer, TDS removal and recycling, dispersion in a dispersion pit, or dispersion in a septic leach field. Barlow is aware that certain options for wastewater disposal may be difficult due to the unique environment, previous proposals, location of infrastructure and proximity to the South . Hilo Landfill. We are fully prepared to address wastewater discharge during the EIS and permitting phase of the WTE development. Section IV -Other Questions puestion 3: Barlow believes that the estimate we received from Isemoto, a respected contractor on the island of Hawaii, is a good estimate. We can certainly discuss strategies for expediting the process in a meeting with all parties, but the best way for the County to get this facility built and operational in an expeditious manner is to award the contract as quickly as possible. puestion 4: Barlow is confident that a mutually acceptable contract can be arrived at. Question 5: Barlow has already commented on our inability to provide the requested contract performance and payment bond. However, Barlow is willing to work with the County to provide an alternate form of security, or the $5 Million Bond requested by the County in the RFP. Question 6: The County has requested, and Barlow has complied with the requirement that the facility be privately financed. As a result, ownership must be clearly defined under IRS regulations. The Internal Revenue Service regulations on leases are also very clear. We are using a lease because it is the lowest cost form of private financing and we aze trying to provide the County with the lowest possible cost for the services we will provide. Leases do not allow for the property to transfer at the end of the lease at no charge. Leases do require that the transfer is at fair market value lout they do allow an independent appraiser to calculate what that value is before the lease is signed. Again, this needs to be done by an independent appraiser, but based on our understanding of how the appraising process works, we would expect this number to be 20% of the original contract price plus an inflation factor ' which we would currently put at 2%. "Phis calculation would result in a market price as low as $14 Million for both facilities. For tax reasons this has to be done by an independent appraiser, but it can be confirmed before the contract is signed. Therefore, the County will know what the purchase price will be before we sign a contract. We hope that the answers provided above meet with your satisfaction. Barlow Projects looks forward to discussing the advantages of our proposal in person with the County of Hawaii at your earliest convenience. Please contact us if you have any questions. Since/r~ely, Ronald E. Bannore Sr. VP-Business Development Barlow Projects, Inc. 2000 Vermont Drive, Fort Collins, Colorado, USA PH: (970) 226-8557 FAX: (970) 226-8559 W UW R+V21 OU~VIY(lIP(`"tS CnM