January 19, 2010
Exelon Nuclear Appeals 75% LaSalle County Tax Hike
Attorneys representing Exelon Nuclear's LaSalle County Generating Station submitted an appeal to the LaSalle County Board of Review based on a December determination that would increase the station's property tax payment.
Marseilles, Illinois - Attorneys representing Exelon Nuclear's LaSalle County Generating Station submitted an appeal to the LaSalle County Board of Review based on a December determination by the LaSalle County Supervisor of Assessment that would increase the station's property tax payment by approximately 75 percent.
If this assessment were to be upheld, the company estimates that it would pay approximately $21.5 million in property taxes to 11 local taxing bodies for the 2009 tax year, approximately $9 million more than what the company paid in real estate taxes for the station in 2008.
“The Assessor's proposed assessment values the LaSalle Station significantly higher than the appraisal we had commissioned,” said Carol Peterson, Exelon Nuclear Finance vice president. “If homeowners or small business owners faced this large of a tax increase, they would certainly raise objections and have real concerns. It's no different for us.”
In the December determination, the County Assessor set the equalized assessed value of the station at $502 million, which was 55 percent higher than that derived from an independent property tax appraisal commissioned by Exelon. The appraisal was prepared in summer 2009 by KPMG, LLP’s Economic and Valuation Services practice, a nationally recognized appraisal firm. The company submitted that appraisal to LaSalle County assessing officials in August 2009.
“We're committed to working with the taxing districts on a long-term agreement like we’ve done in previous years,” Peterson said. “A long-term agreement is in the best interest for all parties, as it provides for financial predictability over a set number of years for both the station and taxing districts, avoids litigation and the possibility of large tax refunds.”
Exelon Corporation is one of the nation’s largest electric utilities with approximately $19 billion in annual revenues. The company has one of the industry’s largest portfolios of electricity generation capacity, with a nationwide reach and strong positions in the Midwest and Mid-Atlantic. Exelon distributes electricity to approximately 5.4 million customers in northern Illinois and southeastern Pennsylvania and natural gas to approximately 485,000 customers in the Philadelphia area. Exelon is headquartered in Chicago and trades on the NYSE under the ticker EXC.