Thursday’s Virginian-Pilot includes an article on the Southeastern Public Service Authority (SPSA) and the latest plans for the beleagured agency. It seems that a couple of the member communities – Norfolk and Chesapeake – have come up with a plan:
- Raising tipping fees from $104 per ton to $175 per ton
- Sell off the Portsmouth waste-to-energy plant, with the proceeds of “expected to be more than $200 million,” used to pay down the agency’s $240 million debt.
- Guarantees by Chesapeake and Norfolk of SPSA’s line of credit
- Five other localities would guarantee the restructuring of $72 million in debt
One of the more interesting tidbits in the story:
Even as [Chesapeake City Manager William] Harrell presented the plan, he said SPSA doesn’t have the “horse power… or the know-how to navigate through these waters.” [Chesapeake Deputy City Manager Betty J.] Meyer said it was difficult for SPSA’s staff to “even tell us what outstanding debt is on their assets, which is amazing but it’s true.”
That is a sad commentary on the state of affairs at SPSA. Seems to me the first thing the member localities need to do is get some competent folks in there.
SPSA was the topic of discussion Monday on Cathy Lewis’ “HearSay” radio program. If you care to, you can catch the discussion with some of the players here. Included in the conversation was Dr. Sheryl Bailey, director of the Virginia Resources Authority, the state agency to which SPSA owes $129 million.
Three words
GRAND JURY INVESTIGATION!
There needs to be a Grand Jury investigation and subsequent indictments. Jail time is the only thing that will fix this mess. The gross incompetence by the SPSA Board memebers is shameful.
The irony is that the current SPSA Board, who got us into this mess, is the same group that “hears” any offers to buy them out. So far they have dismissed at least 3 offers to buy them out, without a public hearing on the offers. THEY DO ALL OF THIS BEHIND CLOSED DOORS!
Posted by Melody Thord | Friday, March 13, 2009, 6:28 am