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§ 6-306. Inclusion of fees in rate making rate base

West's Annotated Code of MarylandPublic UtilitiesEffective: October 1, 2018

West's Annotated Code of Maryland
Public Utilities (Refs & Annos)
Division I. Public Services and Utilities [Titles 1-15] (Refs & Annos)
Title 6. Business Structure (Refs & Annos)
Subtitle 3. Acquisition of Water Companies and Sewage Disposal Companies (Refs & Annos)
Effective: October 1, 2018
MD Code, Public Utilities, § 6-306
§ 6-306. Inclusion of fees in rate making rate base
Currentness
In general
(a)(1) Reasonable transaction and closing costs incurred by the acquiring entity shall be included in the rate making rate base of the acquiring entity.
(2) Fees paid to utility valuation experts may be included in the transaction and closing costs associated with acquisition by the acquiring entity.
(3) Unless the Commission finds just cause to authorize additional fees, fees eligible for inclusion may not exceed 5% of the fair market value of the selling utility or $50,000 if the actual fees paid exceed 5% of the fair market value.
Rate making rate base
(b) As of the closing date of the acquisition, the rate making rate base of the selling utility, including additions under subsection (a) of this section, shall be the lesser of:
(1) the purchase price negotiated by the acquiring entity and selling utility; or
(2) the fair market value of the selling utility.

Credits

Added by Acts 2018, c. 219, § 1, eff. Oct. 1, 2018; Acts 2018, c. 220, § 1, eff. Oct. 1, 2018.
MD Code, Public Utilities, § 6-306, MD PUBLIC UTIL § 6-306
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document