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Incinerator Proposal Evaluation
Gallatin, Tennessee :
In 2002, Mr. Norton assisted Gallatin, Tennessee, with the evaluation of proposals from firms bidding to completely reconstruct their municipal incinerators that had been serving them since approximately 1982. Three bid proposals were to be received shortly after Norton was hired to assist. [It was unfortunate that Norton had not been called into the situation earlier because the extent of the rehabilitation work specified was beyond the financial capability of the community.]
These particular incinerators had not been configured to produce electricity; they had been designed to produce steam for sale to a neighboring industry. When the bids arrived, Norton recommended that they be rejected because the two lowest bids had not included the mandatory bonding required to ensure completion of the project.
When this project was rebid, it was determined that the firm with the second lowest price for the work was the "best bid" due to other commitments already undertaken by the low price bidder. However, before the project could be awarded, it was determined that Gallatin could not commit to the new work due to the uncertain prospects of the neighboring industrial client that was to buy the steam power. This incineration plant closed at the end of 2005 because of an unreliable power sales market, without having been reconstructed.
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