But having the agreement on the personal property eliminates the possibility of the town and owner fighting over issues of depreciation of assets, life expectancy of equipment and fluctuations in the energy market, Harrington said.
“Everything is ever changing in the energy market,” Harrington said. “Costs and values could be different down the road. The agreement provides a guaranteed revenue stream for the town over the next 20 years, which is the life expectancy of the solar farm. And it’s in the best interest of the company that owns the facility, too, because it brings with it cost certainties as to their expenses.”
James Vaughn built the solar farm, then worked out agreements with the town of Salisbury, city of Newburyport and the Triton School District to sell all the energy it produces for a discount. In Salisbury’s case, its a 15 percent discount, Harrington said, which will save the town money on its energy costs.
Vaughn ultimately sold the utility after it became operational. The current owner is CD US Solar PO 1, LLC, a Delaware Limited Liability Company.