Debtor estates and other distressed stakeholders can monetize formerly contaminated parcels which have no higher or better use than solar by leasing or selling those assets to specialized brownfields-to-solar developers. These niche developers can buy suitable parcels outright or offer twenty-year leases which can be transferred with the property. The Inflation Reduction Act and renewable energy-friendly states provide significant financial incentives which allow for generous lease rates. Bankruptcy trustees, debtor estates, creditors and other stakeholders have begun exploring this monetization strategy, which can be accomplished out of court, as long as the assets are at least partially remediated.
What is the brownfields solar financial model, whether through lease or acquisition, and how much revenue would it generate in a sample project?
What types of real estate assets are suitable for solar siting (and no other, higher/better uses)?
What geographical locations/states provide the best financial incentives (tax incentives, rec programs, high power rates) to generate the highest lease rate or purchase price for a trustee, debtor estate or other stakeholder?
What are the relevant provisions of the Inflation Reduction Act?
What are some of the relevant provisions in states with favorable policies?
How can a trustee, debtor estate or other stakeholder mitigate the environmental risk associated with brownfields solar projects?
How can public sector creditors properly dispose of or monetize through lease brownfield properties where the property owner is missing or refuses to appear in court proceedings?
Can environmental liabilities be discharged under section 363 of the Bankruptcy Code? Is that necessary in the context of developing solar on brownfields?
Debtor
Suggested Speakers
Many bankruptcy professionals are being called upon to help healthcare provider organizations as this industry faces unprecedented business distress. Whatever the professional's role, some basic understanding of healthcare finance can strengthen decision-making and performance.
This session will provide a high-level view of the unique fiscal considerations in the healthcare provider organization, specifically: 1) accounting and financial statements; 2) cashflow including the massive revenue cycle and accounts payable functions; 3) a murkier part of cashflow buried in the various governmental and private payer reimbursement models, and 4) fraud.
Beginning with accounting and financial statements, the mystery of gross revenue, net revenue, and accounts receivable on the income statement will be examined. Even experienced healthcare CFOs can trip up on accounts receivable calculations given the complexities of payer reimbursement models and payment practices, as well as the payer market changes occurring at an ever-faster pace.
Healthcare provider cashflow management consists of voluminous variations and constant change, more so in revenue cycle but also in accounts payable. Years ago, revenue cycle was simply called “billing.” The term revenue cycle more accurately describes the revenue generation process which can involve every function in the healthcare provider organization, from physician and nursing care to lab work and housekeeping.
Third, fundamentals of the most common healthcare reimbursement models will be discussed starting with basic fee-for-service reimbursement and moving through other models to the present attempts at value-based reimbursement. It may be surprising that while the industry grapples with the new value-based models, a sizable part of reimbursement is still fee-for-service.
Finally, there will be brief mention of fraud and embezzlement which can develop in the troubled healthcare provider organization and may be a significant contributor to poor financial performance.
Participants will gain a high-level perspective on the unique fiscal considerations in the healthcare provider organization to inform their work in advising clients in this troubled industry. A solid base of knowledge in healthcare finance will support accurate financial performance projections, prioritization of turnaround strategies, and organization valuations. Given the esoteric complexities in this field, attendees will also gain an appreciation for situations where using healthcare financial specialists may be helpful.
First, participants will understand special aspects of income statements for healthcare provider organizations, in particular the difficulty of estimating accounts receivable due to the variability in the payer market, reimbursement models, and billing policies and procedures.
Second, attendees will be able to discuss the umbrella structure of cashflow in the healthcare provider organization from revenue generation to accounts payable.
They will understand the fundamentals of the “revenue cycle” which spans the entire healthcare provider organization. They will also be able to outline some mid-level billing functions, common operational problems with billing in the distressed healthcare organization, and practical solutions to address them, including artificial intelligence (AI).
On the other side of cashflow management, participants will understand the cash management structure and issues in vendor contracting, purchasing, and accounts payable in the healthcare organization.
Next, participants will gain a deeper awareness of how various healthcare reimbursement models in the marketplace – e.g., Medicare Advantage, health maintenance organizations (HMOs), high-deductible plans, accountable care organizations (ACOs), etc. – affect the financial performance of healthcare provider organizations.
Finally, attendees will be made aware of some places fraud and embezzlement may develop in the distressed healthcare organization.
Creditor
Jeanne
Goche, MA, JD
jgoche@SolutionsinHealthCareManagement.com
Solutions in Health Care Management, a consultancy and financial advisory specializing in health care
During the Covid Pandemic, the Federal , State and Local governments make billions of dollars in loans to all sizes of business. These programs were rolled out very quickly and the potential for fraud was huge. Now as things shake out, various of the entities that provided the funds are discovering fraud, of all shapes and sizes and bringing suits to recover wrongfully made or fraudulently obtained loans. This session will discuss the various programs, the litigation that is now being pursued by the various "lending sources" and how and when Bankruptcy is being used or implicated by this litigation. This session should address loans made to all size businesses - from the mom and pop business to the multi-million or billion businesses and the various frauds that have been discovered .
Attendees will understand the various types of frauds and other issues that have arisen as a result of these "lending" programs being used improperly.
Attendees will understand the various ways in which Bankruptcy can or may be used to either pursue recovery or avoid recovery as a result of the fraud and other improper ways in which these programs were used and abused.
Debtor
Janet
Baer
janet_baer@ilnb.uscourts.gov
US Bankruptcy Court, ND IL
Now that Covid is over, clearly office workers are not going back to their downtown offices full time. This has created a huge gult of unused office space, especially in our downtown city office towers. The session will discuss the current status of the situation, what has been happening in the Bankruptcy courts as a result and suggest creative ways that can or are being used to solve this problem . I would suggest that this panel include a Real Estate Developer or other type of expert, especially to discuss creative ideas for what to do with the space.
Attendees will understand the various alternatives that Bankruptcy has to address this problem.
Attendees will learn about new and creative ideas that are being suggested and/or used to repurpose office space and save the buildings and their investors from huge losses.
Debtor
Janet
Baer
janet_baer@ilnb.uscourts.gov
US Bankruptcy Court, ND Il
I'm on the Uniform Law Commission's Drafting Committee for a uniform law on assignments for benefit of creditors. I'll discuss the uniform law process and provide information on assignment for benefit of creditors issues, how those issues relate to bankruptcy, and the potential for a uniform law thereon.
Under the laws of most states, assignment for benefit of creditors ("ABC") is an unutilized, or under-utilized, tool. That's because most states either, (i) have no ABC statute, or (ii) have ABC statutes with poison-pill provisions that no one wants to use. I'll discuss how a uniform law will make the ABC tool available and usable and its connection with bankruptcy.
Business
There is a clear split of authority on this issue, with the First, Second, and Third Circuits in the majority, and the Fifth Circuit (and me) in the minority. See In re Bal Harbour Quarzo, LLC, 638 B.R. 660 (Bankr. S.D. Fla. 2022).
Attendees will hear arguments on both sides of this issue, including policy and practical concerns raised by each position.
Business
Bankruptcies are on the rise, sub-chapter v has been wildly successful and non-bankruptcy alternatives continue to see acceptance around the country, especially for start-up, venture backed companies. What leads to the decisions on how to end a company's life. The discussion will (should) feature Prof. Elizabeth Pollman from the University of Pennsylvania Carey Law School, who is researching this subject.
Other
