Florida Sewage-Processing Firm Files Chapter 7 Bankruptcy

Written by CFB Blogger. Posted in Blog

Maxwest Environmental Systems, a sewage-processing company located in Sanford, Florida, has filed Chapter 7 bankruptcy, leaving the cities of Sanford, Ocoee and Winter Springs to find new disposal methods and leaving at least 15 workers unemployed. Sanford owns the building and land at Maxwest’s treatment plant, but Maxwest still owns some of the equipment which is housed there. That equipment will most likely be sold during the bankruptcy process. Since 2009, the company had been processing sewage biosolids at a prototype facility in Sanford, reports Paul Brinkman for the Orlando Sentinel. Biosolids are what remains from sewage after initial drying. Maxwest had been using a method that it called ‘gasification’ to turn the biosolids into an ash byproduct. According to the article, the shuttering of Maxwest will compel the city to haul sewage biosolids from the treatment plant to an offsite facility. The Florida city had looked to the sewage-processing firm as a possible alternative to spreading biosolids on agricultural fields. With Maxwest’s closing, much of the biosolids that were being processed there will need to be spread on local fields, at least temporarily. City Manager Norton Bonaparte said Sanford will have to pay an additional $10,000/month to haul the sewage biosolids offsite. Ocoee and Winter Springs had also contracted with Maxwest to process their biosolids. Those cities have also made alternative arrangements. Winter Springs utility manager Kipton Lockcuff reported that his city has contracted with a Fort Meade, Florida-based company to haul its waste for processing and spreading on farm fields, at an increased cost of $5,000/month. However, Ocoee City Manager Robert Frank said his municipality will actually cut its costs by $10,000 per month by contracting with Shelley Environmental Systems, a local waste handler. Maxwest, which began in Houston, Texas, moved to Florida in 2008 with the idea of creating an innovative method of disposing of human waste; generating and selling electric power. The company had $50 million in investment money from Leaf Clean Energy and Invesco Plc. Steven Winchester, who became CEO of Maxwest Environmental Systems two years ago, said that he tried to revive the company’s weakening finances, but “the company had burned through too much cash earlier in its history”. For experienced and knowledgeable Chapter 7 or Chapter 13 personal bankruptcy assistance, you can depend on the attorneys from Client First Bankruptcy who have helped thousands of satisfied clients discharge their crushing debt. For your free initial consultation, please call our knowledgeable and empathetic lawyers toll-free at 800-383-6004.  We answer our phones Monday-Friday from 8:30 a.m. – 6:00 p.m.  And log onto www.clientfirstbankruptcy.com for vital and timely bankruptcy information 24/7 so you can get the information you need at your convenience. Call us today.