Current through Register Vol. 35, No. 18, September 24, 2024
A.
ELECTRIC PLANT - PROPERTY TO BE
VALUED:
(1) Property to be valued as
property "used for the generation, transmission or distribution of electrical
power or energy" includes property which is used in the conduct of a public
utility business and property that is "an electricity generating plant, whether
or not owned by a public utility, if all or part of the electricity is
generated for ultimate sale to the consuming public".
(2) For purposes of Subsection B of Section
7-36-29
NMSA 1978, "other justifiable factors" for solar energy technologies includes,
but is not limited to, the amount of:
(a)
federal investment tax credit received by the property owner of the electric
plant for the purchase of solar energy technologies; and
(b) federal grants awarded to a property
owner under the 1603 Treasury Program in lieu of the federal investment tax
credit for solar energy technologies.
B.
ELECTRIC PLANT -
DEPRECIATION:
(1) For calculating
depreciation or related accumulated provision for depreciation, straight line
depreciation over the useful life of the item of property, as determined by
federal or state regulatory agencies having jurisdiction, shall be
used.
(2) If the property does not
fall under federal or state regulatory agency authority, the division
establishes the useful life of the property in accordance with its class life
under Section 167 of the Internal Revenue Code and regulations thereunder. The
land portion of the tangible property costs of the plant is the total actual
costs of acquisition of the land as of January 1 of the tax year in which the
property is valued.
C.
ELECTRIC PLANT - CONSTRUCTION WORK IN PROGRESS: "Construction
work in progress" as that phrase is defined in Paragraph (3) of Subsection B of
Section
7-36-29
NMSA 1978 is valued in accordance with the valuation method stated in
Subsection D of Section
7-36-29
NMSA 1978. Those persons who maintain their records in accordance with a
uniform system of accounts approved by state or federal regulatory agencies may
use the amount entered on those accounts as construction work in progress as of
December 31 of the preceding calendar year as the value of construction work in
progress, provided that account is limited to work orders for "electric plant"
as defined in Paragraph (2) of Subsection B of Section
7-36-29
NMSA 1978 and Section 3.6.5.36 NMAC.
D.
ELECTRIC PLANT - GENERAL BUILDINGS
AND IMPROVEMENTS - LAND:
(1) "General
buildings and improvements" defined in Paragraph (2) of Subsection B of Section
7-36-29
NMSA 1978 are valued in accordance with the method stated in Section
7-36-15
NMSA 1978, and regulations thereunder.
(2) Land used in the conduct of a public
utility business or which is a part of an electricity generating plant, whether
or not owned by a public utility, if all or part of the electricity is
generated for ultimate sale to the consuming public, is valued in accordance
with the valuation methods stated in Section
7-36-15
NMSA 1978, and regulations thereunder.
