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Cost/Benefit and Feasibility Analysis

The Center’s staff has extensive experience designing and managing cost/benefit assessments and feasibility studies. By utilizing in-house economic modeling techniques, pro formas, and third-party software applications combined with on-site anaylsis, the Center can assess the feasibility of nearly any project. Our staff has employed these techniques to assess the feasbility of gas stations, renewable energy infrastructure, natural resource extraction, and retail and manufacturing facilities.

To assist our Native American clients in assessing the viability of proposed business enterprises such as gas stations and convenience stores or larger enterprises such as aggregate mining operations, the Center has developed a proprietary pro forma model that projects profit and loss and cash flow for a proposed business enterprise.

The Center’s proprietary model calculates net income and monthly cash flow over a specified projection period, and includes modules to project the timing and level of capital costs, depreciation, operating costs, revenues, and financing for a project. The model illustrates the transition to profitability over the medium term and the annual “steady-state” business conditions over the long-term.

The model is flexible in accommodating various scenarios by changing assumptions concerning scheduling, financing, employment and capital costs. This allows our clients to identify the most cost effective and efficient strategy to create a profitable business enterprise that provides employment for tribal members and revenue for the tribal government or enterprise corporation.

A full list of projects under this category can be found in the Center's project database.

Representative Projects
The Feasibility of Renewable Energy Development on Indian Reservations
U. S. Department of Energy
The Center provided financial and economic feasibility analysis and technical assistance to a designated group of American Indian tribes interested in producing and marketing renewable energy under provisions of the Energy Policy Act.
This study calculated and evaluated the costs and benefits associated with a proposed expansion of the Santa Fe Ski Basin near Santa Fe, New Mexico
The Economic Costs and Benefits of Expansion of the Santa Fe Ski Basin
Santa Fe Ski Basin Containment Commission
An Analysis of Coal Bed Methane Potential in the State of Wyoming
State of Wyoming Governor’s Office
The availability and potential development of coal bed methane gas throughout the state of Wyoming were analyzed by the Center for the Wyoming State Energy Office.
The Center prepared a detailed feasibility analysis related to the establishment of a new four-county regional petroleum enterprise in northern New Mexico.
Feasibility Analysis for a Proposed Regional Petroleum Enterprise
Eight Northern Indian Pueblos Council
An Assessment of the Feasibility of the Round Valley Fuel Stop & Convenience Store
Round Valley Indian Tribes
Using the its proprietary economic model, the Center projected a month by month profit and loss analysis of financing, constructing, and operating a Round Valley Fuel Stop & Convenience Store. The Center also projected revenues based on a regional gas market analysis to determine the viability of the business enterprise.
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