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Real property value protection plan agreement

This agreement was drafted by attorneys in the State of Illinois. If adopted as a condition of approving a wind energy facility, the agreement would guarantee property value protections for landowners whose property is located within the footprint of the project site.

EXHIBIT ___
REAL PROPERTY VALUE PROTECTION PLAN


To assure that real property owners nearby the Wind Power Generating Facility ("WPGF Facility") for nonparticipating owners who are not lessors to the Applicant are protected from negative impacts to their real property values, this Real Property Value Protection Plan is entered into and agreed to by Energy Company ("Applicant"). "Footprint" as used herein is defined as the area bounded by the map depicted on Exhibit A which is attached hereto.

1. Applicant agrees to guarantee the property values of all real estate within the footprint of the WPGF Facility project area and within one (1) mile of the footprint of WPGF Facility project area. The real property owner may elect one of the following options:

a. Applicant and the property owner shall each select an independent Illinois licensed appraiser, the cost of which shall be paid for by Applicant, and such appraisals are to assume that no WPGF Facility was proposed or constructed. If one of the appraisals submitted is no more than ten percent (10%) higher than the other, the appraisal values shall be averaged ("Average Appraisal Value"), and the property owner may elect to sell to Applicant at the Average Appraisal Value, within thirty-six (36) months of the WPGF Facility receiving final approval of the special use permit application from County. If one of the appraisals submitted is more than ten percent (10%) higher than the other, then the two (2) independent appraisers will select a third independent Illinois licensed appraiser who shall prepare and present to Applicant and property owner his written appraisal report setting forth his opinion as to the fair market value for the real property assuming that no WPGF Facility was proposed or constructed. The parties agree that appraisal of the third independent appraiser shall constitute the Appraised Fair Market Value and the property owner may elect to sell to Applicant at the Appraised Fair Market Value, within thirty-six (36) months of the WPGF Facility receiving final approval of the special use permit application from County; or


b. Applicant and the property owner shall each select an independent Illinois licensed appraiser, the cost of which shall be paid for by Applicant. Each appraiser shall determine the diminution in value to the real property caused by the proximity to the wind turbines by determining the difference between the fair market value of the real property assuming no WPGF Facility is proposed or constructed and the fair market value at the time of exercising this option ("Diminution Value"). If one of the appraisals submitted is no more than ten percent (10%) higher than the other, the appraisal values shall be averaged ("Average Diminution Value"), and the property owner may elect to receive payment from Applicant of the Average Diminution Value. If one of the appraisals submitted is more than ten percent (10%) higher than the other, then the two (2) independent appraisers will select a third independent Illinois licensed appraiser who shall prepare and present to Applicant and property owner his written appraisal report setting forth his opinion as to the Diminution Value for the real property. The parties agree that appraisal of the third independent appraiser shall constitute the Diminution Value and the property owner may elect to receive payment form Applicant of the Diminution Value. This option must be exercised within ten (10) years of the date of final approval of the special use permit application by County.


2. Applicant agrees to guarantee the property values of all real estate located between one (1) mile and two (2) miles of the WPGF Facility footprint boundary.


a. Applicant and the property owner shall each select an independent Illinois licensed appraiser, the cost of which shall be paid for by Applicant. Each appraiser shall determine the diminution in value to the real property caused by the proximity to the wind turbines by determining the difference between the fair market value of the real property assuming no WPGF Facility is proposed or constructed and the fair market value at the time of exercising this option ("Diminution Value"). If one of the appraisals submitted is no more than ten percent (10%) higher than the other, the appraisal values shall be averaged ("Average Diminution Value"), and the property owner may elect to receive payment from Applicant of the Average Diminution Value. If one of the appraisals submitted is more than ten percent (10%) higher than the other, then the two (2) independent appraisers will select a third independent Illinois licensed appraiser who shall prepare and present to Applicant and property owner his written appraisal report setting forth his opinion as to the Diminution Value for the real property. The parties agree that appraisal of the third independent appraiser shall constitute the Diminution Value and the property owner may elect to receive payment form Applicant of the Diminution Value. This option must be exercised within ten (10) years of the date of final approval of the special use permit application by County.

JUL 8 2008
http://www.windaction.org/posts/15869-real-property-value-protection-plan-agreement
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