2014 Kentucky Revised Statutes CHAPTER 96 - UTILITIES IN CITIES 96.580 Proceedings to agree upon sale price of existing plant required before condemnation or construction of competing plant.
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96.580 Proceedings to agree upon sale price of existing plant required before
condemnation or construction of competing plant.
(1)
Before a board or municipality may condemn an existing electric plant under
the provisions of KRS 96.550 to 96.900 the board shall notify the owner of the
existing electric plant, hereinafter referred to as the owner, in writing of its
desire to purchase the plant or that portion thereof located or situated within
said municipality and of its desire to enter into an agreement as to the value
thereof. If no fair and reasonable price and terms of purchase and sale shall be
agreed upon between the board and the owner within sixty (60) days after the
aforesaid notice has been given the owner, and if either party desires that
further efforts to determine a fair price and terms of purchase and sale be
made, a board of appraisers consisting of two (2) members shall be appointed,
one (1) by the board and the other by the owner. Such appointments shall be
made within thirty (30) days after the expiration of the time given the board and
the owner to agree upon the value of the existing electric plant, or that part
thereof which the board desires to purchase. Should the two (2) members of
the board of appraisers be unable to agree within thirty (30) days after their
appointment upon a fair and reasonable price, a third member of the board of
appraisers shall be selected by them. In the event the two (2) appraisers
cannot agree upon the third member of the board of appraisers, then upon
application of either the board or the owner, the Governor of the
Commonwealth shall name the third appraiser. The board of appraisers shall
consult with the state Public Service Commission in its efforts to arrive at a fair
price for the electric plant, and the state Public Service Commission shall make
available to the board of appraisers its facilities and any information in its
possession bearing on the value of the electric plant. It shall be the duty of the
board of appraisers to make a survey of, appraise and submit to the board and
the owner in writing, its valuation of the electric plant. The board shall file its
written report within six (6) months from the date of the appointment of the first
two (2) members. The value fixed by two (2) of the three (3) members of the
board of appraisers shall be the finding of the board. In the event two (2) of the
three (3) members cannot agree within six (6) months after the appointment of
the first two (2) members, the entire first board, unless given further time by
agreement between the board and the owner, shall be discharged, and a
second board, if desired by both the board and the owner, may be appointed
as provided herein, which shall make its final report within six (6) months after
the appointment of the first two (2) members thereof. The board shall pay all
compensation to the member appointed by it, and the owner shall pay all
compensation to the member appointed by it, and the board and the owner
shall each pay one-half (1/2) of the compensation due the third member and
one-half (1/2) of all other costs incurred in connection with the work of the
board of appraisers. These costs may be included as a part of the purchase
price agreed upon. Neither the board nor the owner shall be required to accept
the report of the board of appraisers. If the owner fails or refuses to appoint an
appraiser or appraisers as and within the time limits hereinabove provided, the
board may proceed to exercise all of the powers granted by KRS 96.550 to
96.900 without waiting for the expiration of all or any part of the time authorized
for making the appraisal herein provided for.
(2)
After the board has complied with the provisions of this section, it may proceed
in the manner and subject to the terms and conditions in KRS 96.590 to 96.900
provided to (a) enter into a contract with the owner for the purchase from the
owner of the electric plant; or (b) institute condemnation proceedings and
acquire the electric plant by the exercise of the powers of eminent domain. The
governing authority of the municipality shall determine which of the courses
hereinabove authorized shall be followed by the board.
History: Amended 1968 Ky. Acts ch. 152, sec. 76. -- Created 1942 Ky. Acts ch. 18,
sec. 3.
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