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be needed to supply the power. As Mr. Hernandez, an FPL
operations support supervisor, was asked and answered:
Q: At the time FPL issues the response letter,
is it possible to know exactly how much cable
and trench will be required?
A: No, it wouldn’t because the developer hasn’t
finalized his plans; and, therefore, we don’t
know the exact routes of these cables.
The specifications and/or amount of property were not
readily ascertainable from the DRI documents. See H. Conf. Rept.
99-841 (Vol. II), supra at II-60, 1986-3 C.B. (Vol. 4) at 60; cf.
Newhouse Broad. Corp. v. Commissioner, T.C. Memo. 2000-270
(“Rather, we find that the description contained in the pre-1986
documents of the equipment to be utilized * * * is sufficiently
detailed for us to determine whether any particular property is
‘specifically described’ in such documents.”). Accordingly, we
hold that the property/equipment purchased and installed by FPL
with respect to the DRI projects fails to qualify for transition
relief.
C. TRA Section 203(b)(1)(A)--The “Binding Contract” Rule
TRA section 203(b)(1)(A), known as the “binding contract”
rule, in conjunction with section 49(e), grants transition relief
to “any property which is constructed, reconstructed, or acquired
by the taxpayer pursuant to a written contract which was binding
on” December 31, 1985. Petitioner argues that the following
items qualify for transition relief on the basis of the binding
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