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use of the FERC license, guaranteed use of the required
easements near the Facility and going concern value, in
addition to the tangible value associated with the
Facility's personal property and operating assets.
In pertinent part, Mr. Knoll’s “Total Project Cost
Allocation” was as follows:
Personal property $12,856,365
Real estate improvements 28,425,492
Real estate-unimproved 18,159
Total tangibles 41,300,016
Intangibles
Flowage rights
Easement
Permits/licenses
Collateralization of
power purchase agreement
Participation agreement
Tax indemnity agreement
Project lease
Security deposit agreement
Other intangibles
Total intangibles 23,199,984
Fair Market Value of Total Assets 64,500,000
Mr. Knoll was unable to ascribe any particular value to any
intangible asset. In his opinion, “it is nearly impossible to
quantify a single element of intangible value.”
OPINION
I. Introduction
Petitioner has assigned error to respondent’s determination
that the purchase price paid by UtilCo for its undivided
50-percent interest (the undivided interest) in certain of the
assets constituting the hydroelectric facility located at the
Pejepscot Mill Dam, on the Androscoggin River, in the State of
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