|
Sale Would Save Taxpayers Millions of Dollars
The City Council approved a resolution regarding the disposal and sale of the Hydroelectric Plant located at Lock and Dam No. 2 on the Mississippi River. It was constructed in 1985 and operated by the city to capture revenue from the sale of hydro power. Since then, the facility has required extensive annual costs and increasing maintenance, and the revenues have decreased. The city expects the sale of the plant will save taxpayers more than $14 million dollars over the next 25 years due to required maintenance.
J.F. Brennan Company, Inc., a marine construction firm specializing in environmental remediation, dam construction and related services, intends to acquire the plant and assume full ownership and maintenance responsibilities. The city would sell the plant for $1 and provide administrative and regulatory transition assistance for one year following closing. The company will have a 60-day due diligence period after execution of the Letter of Intent to purchase the plant. If J.F. Brennan Company, Inc. sells the plant to an unrelated third party within five years, a declining percentage of net sale proceeds would be paid to the city.
Learn More
|