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HomeMy WebLinkAbout20072504.tiff Colorado Department of Local Affairs Susan E. Kirkpatrick WEED COUNTY Executive Director A I, Cr,MM „-�.SSIORS / ' DIVISION OF PROPERTY TAXATION 0 61!r iO 45 JoAnn Groff 1; .� '2 A Property Tax Administrator Bill Ritter,Jr. Governor r IV .'7 17.1 TO: County Commission s FROM: JoAnn Gro Property Tax minis r t SUBJECT: 2007 Final ounty Notice ation for State Assessed Properties Plus August 2007 Protes ative for County Assessors DATE: August 1, 2007 MEMORANDUM Enclosed are the final 2007 valuations for state assessed companies. Companies with values that are different from the values listed on the July 1 NOV have been marked with an asterisk, "*". Companies that have been assigned a "Best Information Available" (MA) assessment will have the BIA notation next to their names. The values listed on the enclosed notice must be included in the values certified to taxing entities in August and on your 2007 Abstract of Assessment. The August 1 Final Notice of Valuation includes the following categories: Category Description • $ Assessed: This category consists of the assessed value of the real and personal property. • $ Actual: This category is the actual value of the real and personal property. • 5.5 % Limit: This column contains information on the assessed value of the newly constructed real property and associated personal property. The value is reported on abstracts of assessment, and it is reported on certifications of value as new construction for the 5.5 percent property tax limit. • Tabor Actual: This column shows the actual value of newly constructed real property. This value is reported on certifications of value as new construction for the TABOR Local Growth calculation. If you disagree with the final valuation of a company that you timely protested in July 2007, you may file a petition on or before August 31, 2007, with the Board of Assessment Appeals (BAA), 1313 Sherman Street, Room 315, Denver, CO 80203, (303) 866-5880. You can also access the BAA through its website at http.//dola.colorado.clov/baa/. Laws concerning the appeal process are found in 39-2-125(1)(b)(I) and 39-4-108(8), C.R.S. For questions about new construction values reported on this notice, please contact Greg Schroeder either by phone: (303) 866-2681 or e-mail: greq.schroeder(a�state.co.us. For other questions, please contact the State Assessed Properties Section. G:\DPT-GRP\SAP\2007 NOV Cover Letters\August 1 Commissioner NOV 2007.doc 1313 Sherman, Room 419, Denver, CO 80203, (303)866-2371 TDD(303)866-5300 FAX(303)866-4000 l�Z uvr Cf 6re� E-Mail: joann.uroffJstate.co.us 2007-2504 , ,i9 O (1C' : 45 (W.9Cc&) Colorado State Assessed Property Notice of Valuation - County Summary August 1,2007 WELD ID Company Name $Assessed $Actual 5.5%Limit Tabor Actual TL 569 360Networks(USA),Inc -_. — $24,500 $84,500 $0 $0 TX 575 3U Telecom, Inc $2,500 $8,600 $0 $0 TL 570 AboveNet Communications,Inc.(BIA) $31,600 $109,000 $0 $0 TX 653 Acceris Management and Acquisition LLC $300 $1,000 $0 $0 TX 414 ACN Communications Services,Inc. $9,800 $33,800 $0 $0 TX 936 Affinity Telecom,Inc. $1,900 $6,600 $0 $0 TX 525 Aimex Communications, Inc. $100 $300 $0 $0 TX 991 Inc.is AmeriVion Communications, $3,000 $10,300 $0 $0 TL 369 AT&T Communications,Inc. $3,850,500 $13,277,600 $0 $0 TM 439 AT&T Mobility fka Cingular Wireless $911,200 $3,142,100 $0 _ $0 PD 306 Atmos Energy Corporation - - — $7,297,100 $25,162,400 $0 $0 ER 067 Basin Electric Power Cooperative $1,014,200 $3,497,200 $0 $0 TX 524 BCN Telecom,Inc. $3,400 $11,700 $0 $0 TL 031 Broadwing Communications LLC $24,600 $84,800 $0 $0 PF 312 Buckeye NGL Pipe Line fka BP -_ __ $401,300 $1,383,800 $0 $0 TX 571 Bulleye Telcom,Inc. $300 $L000 $0 $0 RR 345 Burlington Northern&Santa Fe Railway Company $4,596,600 $15,850,300 $0 $0 TL 572 Cbeyond Communications,Inc. $18,700 $64,500 $0 $0 PT 324 Cheyenne Plains Gas Pipeline Co.,LLC -_- - $26,668,100 $91,959,000 $78,600 $11,800 PT 328 Colorado Interstate Gas Company $28,622,200 $98,697,200 $66,200 $39,500 TL 370 Comcast IP Phone II,LLC. $203,100 $700,300 $0 $0 TX 748 Consumer Cellular $600 $2,100 $0 $0 TM 662 Cricket Communications Inc $380,700 $1,312,800 $0 $0 TL 133 DIECA dba:Covad Communications Company - — - $900 $3,100 $0 $0 TX 167 Easton Telecom Services, LLC. $200 $700 $0 $0 TX 271 Enhanced Comm Network,Inc. $100 $300 $0 $0 TL 159 Evercom Systems,Inca.- $22,300 $76,900 $0 $0 AL 020 Federal Express Corp. * — _ — — $3,500 $12,100 $0 $0 TX 157 Go Solo Technologies,Inc. $200 $700 $0 $0 RR 355 Great Western Railway of Colorado $1,368,100 $4,717,600 $0 $0 --$111,600-- $384,800 ER 827 Heartland Consumer Power District $0 $0 ER 085 High West Energy fka Rural Elec $88,600 $305,500 __ $0 _ $0 ER 075 Highline Electric Assn. $6,400 $22,100 $0 $0 TX 257 Iloka dba Microtech-Tel $3,900 $13,400 $0 $0 TX 865 Inter-Tel Net Solutions _-- $103,400 $356,600 $0 $0 TX 022 lonex Communications North Inc(fka:Birch) $14,400 $49,700 $0 $0 PT 675 Kerr-McGee Gathering LLC* $32,758,700 $112,961,000 $0 $0 PT 920 KM Interstate Gas Transmission LLC $10,091,200 $34,797,200 $0 $0 PD 309 KM Retail $1,118,300 $3,856,200 $0 $0 TL 500 Level 3 Communications,LLC $408,700 $1,409,300 $0 $0 TX 545 Liberty Bell Telecom,LLC* _ $11,000 $37,900 $0 $0 ER 825 Lincoln Electric System $76,300 $263,100 $0 $0 TX 762 Matrix Telecom, Inc. $3,100 $10,700 $0 $0 TL 390 MCI Communications Services, Inc. $629,100 $2,169,300 $0 $0 TL 366 McLeodUSA Telecommunications Services,Inc. $185,300 $639,000 $0 $0 TM459 Metrocall,Inc $57,300 $197,600 $0 $0 ER 081 Morgan County Rural Elec Assn $874,600 $3,015,900 $0 $0 TM 611 Nextel West Corp dba Sprint _ -- -_ _ $517,100 $1,783,100 $6,300 $0 TR 481 Nunn Telephone Company $702,500 $2,422,400 $188,600 $9,500 7/27/2007 WELD Page 1 oft ID Company Name $Assessed $Actual 5.5%Limit Tabor Actual TX 037 Orbitcom,Inc. $600 $2,100 $0 $0 TX 115 PAETEC Communications,Inc. $1,900 $6,600 $0 $0 EN 472 Ponnequin Acquisitions,LLC-(BIA) $1,000,000 $3,448,300 $0 $0 ER 084 Poudre Valley Rural Electric Assn. $2,912,900 $10,044,500 $261,200 $0 EN 746 Primary Energy Holdings,LLC $550,900 $1,899,700 $0 $0 TX 347 Primus Telecommunications,Inc. $700 $2,400 $0 $0 EL 064 Public Service Company of Colorado* $0 $0 p Y $93,813,600 $323,495,200 TL 923 Qwest Communications Corporation $92,200 $317,900 $0 $0 TL 393 Qwest Corporation $26,822,900 $92,492,800 $0 _ $0 TX 602 Qwest Wireless LLC - -. $7,500 $25,900 $0 $0 PF 056 Rockies Express Pipeline LLC - _ $5,265,900 $18,158,300 $0 $0 EN 052 Rocky Mountain Energy Center,LLC $80,078,300 $276,132,100 $1,550,900 $114,400 PT 679 Rocky Mountain Natural Gas Company $14,900 $51,400 $0 $0 PF 588 Rocky Mountain Pipeline Systems LLC $1,117,400 $3,853,100 $0 $0 TR 487 Roggen Telephone Co-op $94,400 $325,500 $6,600 $0 PF 323 Sinclair Pipeline Company $61,500 $212,100 $0 $0 PT 334 Southern Star Central Gas Pipeline,Inc. $1,389,900 $4,792,800 $0 $0 TL 379 Sprint Communications Co LP $500,500 $1,725,900 $0 $0 TM435 Sprint Spectrum LP dba Sprint PCS $1,043,200 $3,597,200 $0 $0 TR 490 Stoneham Co-op* $113,400 $391,000 $0 $0 PF 634 Suncor Energy(USA)Pipeline Company—.., $3,331,800 $11,489,000 $0 $0 TX 684 Talk America,Inc. $7,400 $25,500 $0 $0 TX 965 Telecom Management dba Pioneer - - — $400 $1,400 $0 $0 EN 867 Thermo Cogeneration Partnership,L.P. $20,867,900 $71,958,300 $0 $0 EN 318 Thermo Greeley,LLC $1,791,000 $6,175,900 $0 $0 TM 449 T-Mobile USA Corp. $1,070,900 $3,692,800 $0 $0 PT 340 Trailblazer Pipeline Company - - - $3,913,700 $13,495,500 $0 $0 TL 060 Transaction Network Services,Inc. $7,200 $24,800 $0 $0 TX 613 Tri-M Communications,Inc $400 $1,400 $0 $0 ER 093 Tri-State Gen&Transm Assoc* $4,861,300 $16,763,100 $103,000 $355,0.00 RR 361 Union Pacific Railroad Company $10,239,100 $35,307,200 $0 $0 ER 094 United Power,Inc $11,189,200 $38,583,400 $2,601,200 $0 TM455 Verizon Wireless(VAW)LLC $4,113,800 $14,185,500 $31,200 $67,500 TX 410 Vonage Networks,Inc. _._ $3,800 $13,100 $0 $0 ER 833 Western Minnesota Municipal Power Agency $335,700 $1,157,600 $0 $0 PT 807 Westgas Interstate,Inc. $23,600 $81,400 $0 _ $0 PF 956 Westtex 66 Pipeline Co. -- --_ $73,700 $254,100 $0 $0 TR 496 Wiggins Telephone Association $125,100 $431,400 $0 $0 _- S --- - _-_-- $82,300 $283,800 $0 TX 618 Working Asset Funding Service,Inc, $0 PT 343 Wyoming Interstate Company,Ltd. --. $10,059,100 $34,686,600 $0 $0 ER 824 Wyoming Municipal Power Agency -.- $53,000 $182,800 $0 $0 TL 456 XO Communications,Inc $3,600 $12,400 $0 $0 TOTALS $410,259,700 $1,414,688,900 $4,893,800 $597,700 7/27/2007 WELD Page 2 of 2 Colorado State Assessed Property - Private Canine Notice of Valuation- County Summary August 1,2007 WELD ID Company Name $Assessed $Actual PC 099 ADM Transportation $9,100 $31,400 PC 930 Ag Processing Inc. $1,200 $4,100 PC 180 Air Liquide America Corporation $300 $1,000 PC 937 Airlake Terminal Railway(BIA) $200 $700 PC 105 Alabama Power Company $800 $2,800 PC 596 Alliant Energy' -_..- $9,600 $33100 - — --- PC 938 Allied Enterprises Inc. $100 $300 PC 109 American Electric Power Service Corp. $1,600 $5,500 PC 418 American Railcar Leasing LLC _.-. $12,800 $44,100 PC 690 American Soda,LLP $6,100 $21,000 PC 181 AMG Resources $100 $300 PC 692 Arizona Electric Power Cooperative,Inc $45,900 $158,300 PC 681 Basell USA inc. $400 $1,400 PC 213 BHP Copper,Inc. $100 $300 PC 723 C.W.Brooks $100 $300 PC 125 California Railcar Corp $100 $300 PC 998 Calumet Lubricants Inc. $200 $700 PC 554 Cargill Inc.-C.G.D.Division $1,600 $5,500 PC 553 Cargill,Inc. $4,300 $14,800 PC 941 Cargill,Inc. Salt Division $800 $2,800 PC 962 CCC Transport Company $300 $1,000 -- PC 126 Celtran,Inc. $200 $700 PC 604 Centennial Gas Liquids,LLC $100 $300 PC 131 Chevron Phillips Chemical Co. $3,000 $10,300 PC 130 Chevron USA, Inc. $4,600 $15,900 PC 132 Chicago Freight Car Leasing $11,900 $41,000 PC 791 Citicorp Railmark,Inc. - _- $1,900 $6,600 PC 934 CK Industries $300 $1,000 PC 188 Coffeyville Resources Nitrogen Fertilizers,LLC $200 $700 PC 980 Coleto Creek Power,LP $120,000 $413,800 PC 223 Colorado Lava ---- - $400 $1,400 PC 336 Compass Capital Corporation $800 $2,800 PC 212 Conagra Foods --_ $2,700 $9,300 PC 040 Conoco Phillips Company $9,400 $32,400 PC 701 Continental Tank Car $100 $300 PC 619 Coors Brewing Company $78,300 $270,000 PC 135 CPS Energy -.. --- --_ _ - $1,200 $4,100 PC 702 Cryo-Trans,Inc. $1,300 $4,500 PC 141 Crystal Car Line $1,100 $3,800 PC 036 Dakota Gasification Company $100 $300 PC 273 Dow Chemical Co&Union Carbide $1,900 $6,600 PC 706 DTE Coal Services $1,200 $4,100 PC 953 Duke Energy Indiana,Inc. $100 $300 PC 202 East Carbon Development Co. $100 $300 PC 269 Eastman Chemical Company $1,000 $3,400 PC 950 Energy Solutions LLC $800 $2,800 PC 266 Entergy Arkansas,Inc. $2,900 $10,000 PC 174 Entergy Gulf States,Inc. $15,300 $52,800 PC 939. Enterprise Products Operating LP $100 $300 7/26/2007 WELD Page 1 of 4 ID Company Name $Assessed $Actual PC 124 EPIC $600 $2,100 PC 148 Equistar Chemicals,LP $700 $2,400 PC 715 Excel Railcar Corporation $7,600 $26,200 PC 100 Exelon Generaton Company,LLC an___ Y $12,600 $43,400 PC 151 Exxon Mobil Corporation $1,300 $4,500 PC 033 Farmers Commodities Transportation Co $1,300 $4,500 PC 519 Fayette Power Project - - $4,800 $16,600 PC Generation Corp.rgy 915 First Energy ..._-- ---- __ $28,600 $98,600 PC 220 First Union Rail Corporation $63,300 $218,300 PC 718 Flex Leasing 1,LLC _ $6,800 $23,400 PC 521 FMC Corporation $3,500 $12,100 PC 156 Formosa Transrail Corp $1,200 $4,100 PC 231 Fuel Supply Trust* $500 $1,700 PC 162 GATX Financial Corp Rail Division $86,800 $299,300 PC 699 GATX Rail Canada --- $1,100 $3,800 PC 417 General Electric Rail Services _. . . $37,500 $129,300 PC 344 Georgetown Rail Equipment Co $2,000 $6,900 PC 960 Georgia Power Company $300 $1,000 PC 168 GLNX Corporation $1,700 $5,900 PC 704 Greenbrier Management Services(FLIX) $1,100 $3,800 PC 709 Greenbrier Management Services(GBRX) $47,500 $163,800 PC 705 Greenbrier Management Services(OMNX) $300. $1,000 PC 175 Halliburton Co --- -$ - _-_ $700 $2,400 PC 550 Helm Financial Corporation $9,200 $31,700 PC 935 Helm Pacific Leasing $200 $7.00 PC 946 B e Hrzo Contracting $3,200 $11,000 PC 958 High Sierra Transportation $100 $300 PC 888 Holcim - --(US) $21,600 $74,500 PC 955 Independent Salt Company $100 $300 0.. PC 261 INEOS USA,LLC $700 $2,400 957 Infinity Rail, -- LLC $300 $1,000PC 664 Intercoastal Leasing Inc. $100 $300 PC 963 Interstate Commodities Inc. $200 $700 PC 878 J.R. Simplot Co $5,600 $19,300 PC 199 Kennecott Utah Copper $1,500 $5,200 PC 977 Koch Nitrogen Company $100 $300 PC 987 L.B.Foster $800 $2,800 PC 900 L.G.Everist,Inc. $18,400 $63,400 PC 911 Lower Colorado River Authority $3,100 $10,700 PC 232 M&C Railcar Leasing,LLC $1,900 $6,600 PC 207 Mallard Transportation Co $200 $700 PC 847 MHF Logistical Solutions $900 $3,100 PC 537 Mid American Energy Co $500 $1,700 PC 403 Midwest Generation,LLC C $300 $1,000 PC 999 Midwest Railcar --- $800 $2,800 --- - .-- PC 918 Midwest Railcar Capital Equipment Co. $1,200 $4,100 PC 968 Minnesota Soybean Processors $300 $1,000 PC 217 Mississippi Power Co $33,500 $115,500 PC 214 Mitsui Rail Capital $15.8,300 $545,900 PC 994 Muscatine Power&Water $100 $300 PC 152 NashTex Leasing,Inc. - _ $100 $300 PC 243 Nevada Cement $1,500 $5,200 PC 230 Nevada Power $8,100 $27,900 PC 039 North American Salt Company $100 $300 7/26/2007 WELD Page 2 of 4 ID Company Name $Assessed $Actual PC 945 Northern States Power Company $27,600 $95,200 PC 173 Nova Chemicals Inc. $500 $1,700 , _ $203,800 $702,800 PC 287 NRG Texas,LP• PC 974 NTL Transportation,Ltd. $200 $700 PC 226 Occidental Chemical Corporation $1,800 $6,200 PC 144 OCI Chemical Corporation $200 $700 PC 285 Ohio Valley Electric Corp $100 $300 PC 910_Oil-Dri Corporation of America $100 _ $300 _ PC 227 Oklahoma Gas&Electric Co $100 $300 PC 229 Omaha Public Power District $200 $700 ---- PC 933 Omnisource Corp(BIA) $100 $300 PC 993 Perdue Farms - - - $100 $300 PC 976 Pivotal Enterprise Corporation $100 $300 PC 240 Procor Limited $12,600 $43,400 PC 728 Proctor Company r&Gamble_. _.- $400 $1,400 PC 600 Progress Rail Services Corporation _ $500 __$1,700 PC 241 Public Service Company of Colorado $167,000 $575,900 PC 242 Public Service Company of Oklahoma $500 $1,700 PC 416 Railcar Associates LP $23,100 - - -- _-__- $6,700 PC 986 Railcar Custom Leasing $400 $1,400 PC 415 Railcar Leasing LLC $5,300 $18,300 PC 926 Rampart Range Corp.___-- $600 $2,100 -- - - - PC 973 Reagent Chemical $100 $300 PC 250 Relco Tank Line,Inc. $400 $1,400 PC 887 Rio Grande Chemical $3,800 $13,100 PC 882 Rocky Mtn Transporation Srvc $1,900 $6,600 PC 992 RT I Railroad Services,Inc. $100 $300 PC 691 S.M.Brooks Freight $100 $300 PC 298 Savage-Tolk Energy Services $209,700 $723,100 PC 200 Searles Valley Minerals _ _ $100 $300 _ PC 338 Services Unlimited $100 $300 PC 258 Shell Oil Company $100 $300 PC 253 Sherwin Alumina,LP $100 $300 PC 259 Shintech Inc. $100 $300 PC 120 Sierra Pacific/Idaho Power Co. $1,400 $4,800 PC 101. Solvay Chemicals,Inc. $2,600 $9,000 PC 944 Southern Illinois Railcar(BIA) $2,000 $6,900 PC 339 Southern Rail Associates $200 $700 PC 940 Southern Rail Leasing, Inc. $100 $300 PC 333 Southwest Rail Industries,Inc. $2,300 $7,900 PC 255 Southwestern Electric Power Company _ $100 _ $300 PC 931 Steelwheels LLC $100 $300 PC 042 Structural Metals Inc. $500 $1,700 PC 989 Sulcom,Inc. $100 $300 PC 267 Tamak Transportation $100 $300 PC 782 Tate&Lyle Ingredients Americas,Inc. $1,200 $4,100 PC 044 Texas Railcar Leasing $300 $1,000 PC 875 The Andersons, Inc $1,300 $4,500 PC 876 The Andersons, Inc.-Rail Group $100 $300 PC 143 The CIT Group/Capital Finance,Inc. $363,400 $1,253,100 PC 905 The David J.Joseph Co. _ $13,000 $44,800 PC 203 The Polyone Company $100 $300 PC 967 The Tie Yard of Omaha,Inc. $200 $700 PC 975 Total Petrochemicals USA,Inc $200 $700 7/26/2007 WELD Page 3 of 4 ID Company Name $Assessed $Actual PC 924 Transmatrix,Inc. $100 $300 PC 636 Transportation Equipment,Inc. $1,700 $5,900 PC 978 Trinity Chemical Leasing L.L.C. $1,600 $5,500 PC 278 Trinity Industries Leasing Company $175,700 $605,900 PC 346 Trinity Rail Management,Inc. _ $74,000 $255,200 PC 275 TTX Company -_ _. $85,900 $296,200 PC 376 Tubular Transport Services $700 $2,400 PC 292 TXU Generation Company LP* $65,500 $225,900 PC 196 Tyson Fresh Meats $100 $300 PC 284 Union Tank Car Company $73,300 $252,800 PC 925 United Asphalt,Inc. $100 $300 PC 951 US Ecology Idaho,Inc. $600 $2,100 PC 970 VIP Tank Car Services $100 $300 PC 102 Wedron Silica Company $4,700 $16,200 PC 201 Well Services $8,300 $28,600 PC 954 Westar Energy,Inc. $20,800 $71,700 PC 034 Western Evergreen Inv $2,400 $8,300 PC 294 Western Farmers Elec Co-Op $14,400 $49,700 PC 296 Western Fuels and Asphalt Supply $400 $1,400 PC 295 Western Fuels Association $91,700 $316,200 PC 903 Western Railroad Equipment Company $100 $300 PC 949 Westlake Polymers,L.P. $100 $300 PC 595 Winter Bird -- - $100 $300 PC 883 Wisconsin Electric Power $300 $1,000 TOTALS $2,599,000 $8,960,100 7/26/2007 WELD Page 4 of 4 STATE ASSESSED PROPERTIES SECTION PROTEST NARRATIVE FOR COUNTIES AUGUST 2007 TABLE OF CONTENTS POSSIBLE DISTRICT COURT OR BAA APPEALS 2 STATUS OF PRIOR YEARS BAA FILINGS 3 BEST INFORMATION AVAILABLE(BIA) ASSESSMENTS 3 APPORTIONMENT CHANGES WITHOUT A PROTEST 4 COUNTY PROTESTS 5 COMPANY PROTESTS 15 ADDRESS LIST CHANGES 19 OVERVIEW OF THE 2007 VALUATION SEASON This document contains the Division of Property Taxation State Assessed Section's (SA) explanations and responses to company and county protests of 2007 valuations. If additional review is needed, county assessors may schedule time in August through December to come to Division offices to review SA valuation files and/or consult with a SA appraiser. Final assessed value changes from the July 2 — July 16 formal protest period have been included in the industry-based table below: INDUSTRY TYPE 2005 2006 2007 Diff 2006 v.2007 TOTAL AIRLINE COMPANIES $336,610,400 $ 371,112,500 $ 389,118,100 $18,005,600 +4,9% TOTAL MAJOR ELECTRIC COMPANIES $1,113,040,100 $1,062,028,000 $1,044,747,700 ($17,280,300) -1.6% TOTAL INDEP POWER PRODUCERS $325,348,000 $ 292,155,400 $ 287,244,000 ($ 4,911,000) -1.7% TOTAL RURAL ELECTRIC COMPANIES $456,923,600 $ 471,959,300 $ 499,649,600 $27,690,300 +5.9% TOTAL DISTRIBUTION PIPELINE COMPANIES $29,668,400 $ 34,507,000 $ 39,186,500 $ 4,649,400 +13.6% TOTAL FLUID PIPELINE COMPANIES $32,677,900 $ 39,745,500 $ 84,861,400 $45,116,400+113.5% TOTAL TRANSMISSION PIPELINE COMPANIES $338,081,900 $ 350,362,100 $ 433,185,200 $82,823,100 +23.6% TOTAL RAILROAD COMPANIES $245,351,500 $ 241,806,700 $ 261,982,800 $20,257,800 +8.4% TOTAL PRIVATE CAR LINES $42,039,300 $ 39,033,600 $ 45,929,372 $ 6,985,772 +17.7% TOTAL FACILITY BASED TELEPHONE COMP $821,632,900 $ 764,383,600 $ 931,184,600 $166,801,000 +21.8% TOTAL MOBILE TELEPHONE COMPANIES $287,183,600 $ 305,757,900 $ 315,128,000 $ 9,370,100 3.1% TOTAL RURAL TELEPHONE COMPANIES $58,114,300 $ 59,648,000 $ 58,845,900 ($ 1,162,500) -1.9% TOTAL TELEPHONE RESELLER COMPANIES $9,850,500 $ 10,387,600 $ 14,051,000 $ 3,663,400 +35.3% TOTAL WATER COMPANIES $385,100 $ 1,200,200 $ 973.600 ($ 226,400 -18.9% TOTALS $4,096,907,500 $4,044,005,700 $4,405,727,772 $361,722,072 +8.9% For 2007, the Fluid Pipeline and Transmission Pipeline industries' values increased primarily due to the first-time assessment of the new Rockies Express pipeline and inclusion of leased operating property for the Kerr-McGee pipeline. Facility-based Telephone industry values increased due to a 29% average increase in the value for Qwest and MCI companies compared to 2006. The Telephone Reseller industry increase is based on an upswing of gross revenue and customer counts in Colorado for several of the larger resellers. The Private Carline industry value increase was caused primarily by inclusion of newer, more expensive railcars replacing older, fully depreciated railcars by several of the interstate car fleets. County Appeals Narrative—August 1, 2007 1 On the negative side, Water Company industry values decreased due primarily to several companies becoming exempt as non-profit domestic water companies for the 2007 assessment year. Classification Changes (Local Assessment to State Assessment (and vice versa) For 2007, we classified two telecommunications companies, Evercom Systems (TL159) and Commnet Wireless (TM810) as state assessed companies operating in Colorado. Please be advised that any local valuations in 2007 for either of these companies should be removed to avoid a double assessment. Sterling Energy (PT286) has been changed from state assessed to locally assessed status. We discovered that this company does not own any regulated pipeline property in Colorado and operates solely as a gas gathering and processing facility. Information was provided by Qwest that Qwest Long-Distance (TX629), a long distance telephone reseller, has been operating in Colorado and has been omitted for 2005, 2006, and 2007 from the state assessed telecommunication assessment listings. We are in discussions with Qwest and will have omitted property valuations to affected counties by the end of August. POSSIBLE DISTRICT COURT OR BOARD OF ASSESSMENT APPEALS (BAA) Companies or representatives that protested and did not receive the changes they asked for, or want to provide more data to support their position. 20 NT YEAR CURRENT Companyif Account Comments AirTran Airways, Inc. rAL737 Denver County Protest, value raised Please refer to Denver County protest Abatement possible it taxpayer provides j verification on aircraft hours in Colorado. Federal Express Corporation AL020 i July notice excluded ground property rope and August notice of value was increased. The taxpayer is aware of the increase but has not indicated whether it would appeal. ................ STS Hydropower ' EN061 Company has new purchase power agreement with Xcel which we used to estimate a higher projected future income than taxpayer wanted us to use. NYNEX Long-Distance Verizon TX158 Protest denied Rocky Mountain Energy Center EN052 Protest denied (Calpine) Verizon Avenue TX363 Protest denied Verizon Airfone . TM377 Value raised and reclassified account from TX Telephone Reseller to TM Mobile '_Telephone Company County Appeals Narrative—August 1, 2007 2 STATUS OF PRIOR YEARS BAA FILINGS These companies continue have active appeals with the Board of Assessment Appeals (BAA). — --- — Prior Years -- — Company i Year Status rOPEX Communications (TX627) x2003 Colorado Court of Appeals decision affirmed the company's taxability as a telephone company and affirmed the 2. 003 valuation. OPEX Communications (TX627) 2O04 Colorado Court of Appeals decision affirmed the company's taxability as a telephone company and affirmed the BAA's reduction of the 2004 value. Memo sent to counties I,regardin_g the 2004 reduction in value. eMeritius Comm (TX 444) 2004 i BAA Hearing in abeyance. Awaiting bankruptcy documents and new asset values. Excel Telecom (TX 844) i 2004 BAA Hearing in abeyance. Awaiting bankruptcy documents and new asset values Vartec (TL689) 2004 BAA Hearing in abeyance. Awaiting bankruptcy documents and new asset values. - cite Airlines (AL016) 2005 BAA Hearing in abeyance Verizon Wireless Colorado 7 120O6 We have reached a settlement agreement Saguache LP (TM801) which we will submit to the BAA and advise the affected counties in August 2007. Verizon Wireless - Colorado 2OO6 We have reached a settlement agreement RSA 3 LP (TM809) which we will submit to the BAA and advise the affected counties in August 2007. BEST INFORMATION AVAILABLE (BR) ASSESSEMENTS LOOK FOR COMPANY NAMES FOLLOWED BY "(BIA)" ON YOUR COUNTY NOTICE OF VALUATION. Company Status American Phone Services (TX246) BIA due to incomplete ASOP. Reduction possible t------ with a completed filing. Abovenet Communications Inc. Taxpayer has refused to complete the ASOP ' (TL570) provided to them completely. No protest filed so no abatement is possible Discount Cellular (TX758) BIA with no July protest; no abatement possible. Company turned in blank ASOP with only signature page completed Lightyear Network Solutions (TX612) BIA with no July protest; no abatement possible Net2Phone, Inc (TX643) BIA due to Incomplete ASOP. Reduction possible with a completed ASOP filing. So far, company has fa_iled to provide requested information Ponnequin Acquisitions, LLC (EN472) BIA. Taxpayer has not filed despite repeated attempts to encourage him to do so River Side Water Company WA171) BIA with no Julprotest; no abatement possible County Appeals Narrative—August 1, 2007 3 Ryan Intern ationaI Airlines (AL747) BIA because of incomplete ASOP, reduction with 1 completed filing. New company representative ! ma -wish to file amended ASOP return. Touch 1 Communications, Inc. (TX639) BIA with no July protest; no abatement possible —1 Company turned in blank ASOP with only signature page completed_ OMITTED PROPERTY OMITTED COMPANIES NOT INCLUDED IN THE AUGUST 1, 2007 NOV BUT WILL BE VALUED AND APPORTIONED IN AUGUST. Company .._.-- Status Owest Long-Distance (Reseller) DPT will notify affected counties of omitted 2005, r .-_______--.-.-_..__._—_-.....--_-- ---------------!._2006, and 2007 values by end of August_ Starting in August 2007, the Division will undertake an omitted property discovery program for Voice over Internet Protocol (VOIP) telecommunications companies operating in Colorado. Since the Colorado Public Utility Commission does not regulate or license these types of companies, we are using the Internet to find them. If you know of any telephone reseller or VOIP provider that provides telephone services in your county that we do not have assessed, please give us a call. CHANGES WITHOUT A PROTEST LOOK FOR COMPANY NAMES FOLLOWED BY AN ASTERISK "*" ON YOUR COUNTY NOTICE OF VALUATION. THESE COMPANIES HAD EITHER A VALUATION OR AN APPORTIONMENT CHANGE. Century Tel Long Distance (TX021) Apportionment corrections for Chaffee, Cheyenne, Clear Creek, Conejos, Costilla, Crowley, and Custer Counties. Comair, Inc (AL017) Apportionment correction to the company's ground property. This affects the apportionment to Denver and El Paso Counties. There is no change to the companies indicated value. Continental Airlines (AL014) There is an increase to the August Notice of Valuation for Continental Airlines. The July notice did not have ground property included. This affects all the counties where Continental Airlines has property. Federal Express (AL020) There is an increase to the August Notice of Valuation for Federal Express. The July notice did not have ground property included. This affects all the counties where Fed Ex has property. Holy Cross Electric Assn. (ER076) County Appeals Narrative—August 1, 2007 4 Corrected reported value and new construction allocated to Pueblo County. Revised figures affected allocations to Eagle, Garfield, Gunnison, Pitkin, and Pueblo Counties. Level 3 Communications (TL500) Corrected apportionments to Boulder, Broomfield, Denver, and Jefferson Counties COUNTY PROTESTS LOOK FOR COMPANY NAMES FOLLOWED BY AN ASTERISK "*" ON YOUR COUNTY NOTICE OF VALUATION. THESE COMPANIES HAD EITHER A VALUATION OR AN APPORTIONMENT CHANGE. ARAPAHOE COUNTY Federal Express (AL020) There is an increase to the August Notice of Valuation for your county for Federal Express. The July notice did not have Fed Ex's ground property included. It is included in the August NOV. Primus Telecommunications (TX347) Primus Telecommunications had negative net operating income for the fifth year in a row. Company asset value fell due to a write-down of assets due to Financial Accounting Standards Board (FASB) rules. This write-down, combined with Colorado's system allocation dropping from approximately 2 percent to 0.8 percent, resulted in the substantial drop in value to all counties. Talk America (TX684) Talk America had a major drop in net operating income in 2006. Even after averaging income estimates over the last 3 years, a reduced value to all counties is evident. Total value of the company was $483,440 with Arapahoe's apportionment at 3.3 percent resulting in a value of$16,200 with an assessed value $4,700. BENT COUNTY Level 3 Communications (TL500) In 2006, Level 3 acquired Looking Glass Networks and IGC Equipment both of which were reported in 2007 as operating property of Level 3. Despite continued negative net operating income for last 5 years, the Colorado value for the company increased 14.8 percent due to the acquired companies. The company's substantial investment in fiber optic cable continues to be considerably underutilized (dark fiber) thus allowing for the reduced value for the company due to economic obsolescence. County Appeals Narrative—August 1, 2007 5 BOULDER COUNTY Comcast IP Phone II LLC (TL370) Values continues to increase as Comcast is increasing its market share due to its existing cable operations and "bundling" of its telecommunications operations with its CAN and internet service. The increase in value is also due to customer migration from its switched telecommunications company that we have assessed as Comcast Phone of Colorado LLC (TL672). According to the company's representative, Comcast Phone of Colorado LLC will no longer operate past 2007. Federal Express (AL020) The location at Pearl Street and 28th Street continues to be state assessed. There is an increase to the August notice of valuation for your county for Federal Express. The July company and county NOVs did not have Fed Ex's ground property included. It is included in the August company and county NOVs. Kerr McGee Gathering LLC (PT675) A leased property allocation error was corrected and the resulting value has been increased. Level 3 Communications (TL500) In 2006, Level 3 acquired Looking Glass Networks and IGC Equipment both of which were reported in 2007 as operating property of Level 3. Despite continued negative net operating income for last 5 years, the Colorado value for the company increased 14.8 percent due to the acquired companies. The company's substantial investment in fiber optic cable continues to be considerably underutilized (dark fiber) thus supporting the reduced value for the company due to economic obsolescence. An error in the company-supplied apportionment numbers was also corrected for Boulder County. McLeod USA Network Services (TL366) In 2006, this company was merged with McLeod USA Telecommunications Services (TL369). Assets formerly owned by McLeod Network Services, if not disposed of as a result of the merger, are now valued as part of McLeod USA Telecommunications. Public Service Co of Colorado (EL064) For 2007, the net operating income (NOI) for this company rose approximately 4 percent compared to 2006 but still is far below 2002 and 2003 NOI levels. Even using a 5 year average income to stabilize assessments, the value is approximately 2 percent less than 2006. According to company representatives, the resulting value for 2008 is projected to start rising as the effects of the most recent (2006) rate case generate higher returns and net operating income. Qwest Corporation (TL393) We are now valuing the tangible and intangible assets of Qwest using Generally Accepted Accounting Principles (GAAP) derived financial information. Formerly, we were using regulated financial information. Since very little of Qwest is now regulated, a move to GAAP financial information was warranted. Due to this change, the Colorado 2007 value increased 29.1 percent. The company has acquiesced to being valued under GAAP financial numbers. County Appeals Narrative—August 1, 2007 6 T Mobile USA Corp (TM449) Because of inconsistencies in income and expense reporting for the Colorado operating subsidiary T-Mobile West, the 2007 system value is based on the nationwide parent company T-Mobile USA. For T-Mobile USA, there was insufficient historical information to do an income approach so the value was based on 100% of the Cost Approach. For 2008, we will continue to work with the company to establish a proper income stream related to the wireless operations to capitalize so that both cost and income values can be reconciled. The CIT Group/Capital Finance (PC143) This company's collection of 45,091 cars increased substantially. From 2006 to 2007, average car value increased from $31,565 to $35,336 through acquisitions/disposals and Colorado mileage increased from 29,886,471 to 36,088,712. Verizon Wireless (VAW) LLC (TM455) Overall, Verizon Wireless values increased 3 percent in Colorado. Discussion with the company representative indicated the new construction value listed for this county contains new, lower-cost equipment replacing existing higher cost, obsolete equipment previously located in the county. The new equipment was designated as new construction as it is associated with new real property listed as new buildings by Verizon. COSTILLA COUNTY Blanca Telephone (TR469) Data entry error regarding destroyed real property corrected. Canine Review Mileage activity is as-reported by the car companies. The current San Luis & Rio Grande Railroad owner has not yet provided a separate carline mileage report. The San Luis & Rio Grande Railroad valuation has been increased to reflect the valuation of the San Luis and Rio Grande Scenic Railroad cars. If the current car owners file a carline report for these cars, we may reduce the value for the railroad and determine omitted values for the missing carlines. CUSTER COUNTY Century Tel Long Distance (TX021) Custer County filed an appeal for a missing valuation. Apportionment correction made to affected counties. August notice of valuation reflects this change. DENVER COUNTY Air Wisconsin (AL823) Company stopped flying BAE-type aircraft on 4/30/2006. Thus, apportionment to Colorado dropped significantly since hours in Colorado fell by over 75 percent and landing dropped by over 80 percent. County Appeals Narrative—August 1, 2007 7 AirTran Airways (AL737) Pursuant to the Denver County protest, the taxpayer was requested to verify and document why hours in Colorado declined by 70 percent while landings remaining roughly the same. The taxpayer indicated last year's reporting was incorrect and would be amending its return. The taxpayer's reporting appeared inconsistent and the taxpayer did not respond. The assessor's request for an increase was granted. We increased the value based on the three prior year's reported landings. Company might file abatement if it properly documents its Colorado landings with supporting information. AmeriVision Communications (TX991) AmeriVision's 2006 value was a Best Information Available (BIA) assessment. This year's filing is based on the company submitted ASOP. AT&T Communications (TL369) In 2006, AT&T Communications continued its write-down of asset costs on its books and records pursuant to its acquisition and merger with the BellSouth Corporation by att Inc. In addition, consolidated company revenues declined 11.3 percent in 2006 following a decline of 12.4 percent decline in 2005. The decline is revenue is largely due to increased competition in the telecommunications industry, primarily due to CATV-based telecommunication operations and from VOIP telephone companies. Chautauqua Airlines (AL766) Company stopped flying to Colorado in early 2006 resulting in no state assessment for 2007. Custom Air Transport (AL779) Customer Air discontinued flight operations to Colorado in June of 2006 resulting in no state assessment for 2007. Delta Air Lines (AL016) The company's system value increased but Colorado hours and landings decreased by 64 percent and landings decreased by 24 percent resulting in an assessment decrease for 2007 from $8,768,800 to $4,603,000. The market-to-book ratio was increased to 75 percent because the company is finally reflecting a positive net operating income. With the decrease in hours and landings into Denver, the overall value declined. There is still an outstanding appeal from Delta for the 2005 tax year. The 2005 hearing should be scheduled within the next few months. ICG Communications (TL371) ICG Communications was purchased by Level 3 Communications in 2006 and no longer exists. ICG's assets, which were mostly disposed of, were reported as part of Level 3's assessment in 2007. According to a Level 3 representative, ICG's customer list was the primary asset purchased by Level 3. Mesa Air Group, Inc. (AL663) Mesa filed a protest requesting obsolescence to reduce the value to Airliner Price Guide aircraft values. The obsolescence request was granted and an adjustment was made. County Appeals Narrative—August 1, 2007 8 Northwest Airlines, Inc. (AL030) The Northwest Airlines, Inc, system value for the company increased. The net operating income moved positive for the first time in 5 years. However, the flight hours and landings decreased to Colorado by 33 percent and 27.5 respectively, thus resulting in a reduction to the Colorado value from $40,044,757 to $23,894,575. Landings were verified with the DIA landing report. Denver's ground property makes up 58 percent of the total ground property for the state for this airline. Landings were verified with the DIA landing report. Denver's assessment is $5,566,100 with a total actual value of$19,193,400. NYNEX Long Distance dba: Verizon Ent. Solutions (TX158) Company protested its value and then withdrew its appeal prior to its hearing. Denver protested the company value. As a result of the County appeal, an adjustment was made resulting in a small increase in value. Primus Telecommunications, Inc. (TX347) Primus Telecommunications had negative net operating income for the fifth year in a row. Company asset value fell due to a write-down of assets due to Financial Accounting Standards Board (FASB) rules. This write-down, combined with Colorado's system allocation dropping from approximately 2 percent to 0.8 percent, resulted in the substantial drop in value to all counties. Apportionment numbers provided from the company allocated 11.8 percent of the value to Denver County for a total actual value of$16,900. United Airlines, Inc. (AL049) The system value for United Airlines, Inc. increased slightly from $9,510,083,000 to $9,703,012,000. The market-to-book ratio was pushed up slightly from 72 percent to 75 percent because the company is finally moving to a positive net operating income. Colorado's allocated portion of the total system value declined due to a decline in aircraft hours. Landings for Denver are from the DIA landing report. Denver is assigned 99.5 percent of all of the airline's ground property. Valero Logistics (PF322) Valero Logistics, now known as NuStar Logistics, added property to the regulated unit outside of Colorado reducing the allocation to the state. As a result of additional projected income documentation, a reduction was made in the income approach resulting in the lower value compared to 2006. XO Communications, Inc. (TL456) Due to a continued negative net operating income for the last 3 years, a 25 percent economic obsolescence adjustment was assigned thus resulting in a lower value compared to 2006. EL PASO COUNTY AT&T Communications (TL369) In 2006, AT&T Communications continued its write-down of asset costs on its books and records pursuant to its acquisition and merger with the BellSouth Corporation by aft Inc. In addition, consolidated company revenues declined 11.3 percent in 2006 following a decline of 12.4 percent decline in 2005. The decline is revenue is largely due to increased competition in the telecommunications industry, primarily due to CAN-based telecommunication operations and from VOIP telephone companies. County Appeals Narrative—August 1, 2007 9 Black Hills Fountain Valley (EN522) The decline in value was a result of the combination of a decrease in net operating income and obsolescence in the cost approach due to heat rate inefficiency. Front Range Power (EN304) The decline in value was a result of the combination of a decrease in net operating income and obsolescence in the cost approach due to heat rate inefficiency. Last year's income dropped by half but the effect on value was somewhat mitigated by using a two year income average. Federal Express (AL020) There is an increase to the August notice of valuation for the county for Federal Express. The July notice did not have Fed-Ex's ground property included. It is included for August. MESA COUNTY American Electric Power Service (PC109) Carline mileage in Colorado is down from 2,330,758 to 156,205 thus creating a lower assessment for 2007. Bombardier Capital (PC225) No value for Bombardier Capital because the car marks were transferred and reported under The CIT Group/Capital Finance (PC143). Detroit Edison (PC893) Mileage in Colorado is down from 4,478,331 to 660,916 thus creating a lower assessment for 2007. Greenbrier Management Services (PC709) Mileage in Colorado is down from 9,385,643 to 3,880,558 thus creating a lower assessment for 2007. Helm Financial Corp. (PC550) Mileage in Colorado is down from 7,068,380 to 3,569,560 thus creating a lower assessment for 2007. Mesaba Aviation (AL660) Mesaba Aviation stopped flying to Colorado in early 2006. No value assigned for 2007. Texas Communications (TM658) This company is undergoing a write-down of assets due to Financial Accounting Standards Board (FASB) rules. Assets in Colorado are being written-down further than other assets within the company due to more technological obsolescence in the types of assets located in Colorado. The result of the write-down reduced Colorado's net book value based allocation of value from 7.6 percent to 5.2 percent for 2007. County Appeals Narrative—August 1, 2007 10 MOFFAT COUNTY New Construction for the Craig Generation Facility Review of new construction amounts reported by the four partners owning the three units of the Craig generating station facility indicate a substantial inconsistency in classifying and reporting qualifying new construction. This problem also exists for other rural electric companies as well. The Division will meet with the rural electric industry this fall for training and discussion on solving this issue. Colorado Interstate Gas (PT328) Our discussion with Colorado Interstate Gas's (CIG) tax representative indicates that CIG did not construct a new pipeline in Moffat County. However, since CIG operates for WIC, the BLM records may have shown CIG instead of WIC as the pipeline owner. Moffat County received 65% and Rio Blanco County 35% of the new investment in Colorado on the new Piceance project in Northwest Colorado. Tri-State Generation & Transmission (ER093) The decline in value is due to Tri-State completing the buy out of the leases involving Craig Station Unit 3. The historic installed cost for the formerly leased assets has been restated by Tri-State, establishing a new basis for depreciation. Since Tri-State has made this adjustment to its audited financial records, we are required to use it. Rockies Express Pipeline (PF056) This is a new pipeline for 2007 with a reported net book value of approximately $628 million. Approximately $184 million of the pipeline is in Colorado. Based on information supplied by the pipeline company, Moffat County's allocation, based on historical installed cost, is 60 percent. Since this was a new pipeline with no income history, the pipeline was valued at 100% of the Cost Approach. Wyoming Interstate (PT343) The addition of new construction value has been made. Mesa County's allocation, based on the gross book value of the pipeline located in the county is 37.5 percent. MONTEZUMA COUNTY Nucla-Naturita Telephone (TR480) Value incorrectly apportioned to Montezuma County, should have been apportioned to Montrose County. MONTROSE COUNTY American Eagle Airlines (AL741) Total assessed value for Colorado is slightly lower then where it was last year. Montrose's value fell from $275,000 last year to $189, 000 in 2007. This was due to an increase in flights to El Paso shifting value away from Montrose County. Like last year, there was no ground property reported in Montrose County. AT&T Mobility fka Cingular Wireless (TM439) For 2007, the Colorado value for this company dropped approximately 7 percent primarily due to a write-down of certain assets costs as part of the merger into att Inc. Although the company requested further obsolescence to account for obsolete TDMA equipment, we declined to apply a further reduction in light of the financial write-down of assets. County Appeals Narrative—August 1, 2007 11 Bresnan Broadband of Colorado (TL420) The county value for this company is based on approximately $695,000 installed cost of digital voice routing and office equipment, modems, and customer connection equipment reported as located in Montrose County. We believe the value assigned to your county is correct. Continental Airlines (AL014) The July notice did not have ground property included. It is included in the August company and county NOVs. Delta County Tele-Com (TR471) Company continues to generate less net operating income and also has declining net operating plant thus resulting in a lower value as compared to 2006. Evercom Systems (TL159) Evercom Systems was initially assigned a BIA value and apportioned to Denver County. In late July, the company filed a partially completed ASOP that allows us to allocate value to the counties that have property. Please be advised that any local valuations in 2007 should be removed to avoid a double assessment. Federal Express Corp (AL020) There is an increase to the August notice of valuation for your county for Federal Express. The July notice did not have Fed Ex's ground property included. It is included for August company and county NOVs. Frontier Airlines (AL952) Overall value of company increased. Hours and landings increased in Colorado by 11 percent and 16 percent, respectively. No ground property was reported in Montrose. Landings in Montrose decreased from 9 in 2006 to only 2 being reported in 2007. Thus, the assessed value fell to $3,000. Northwest Pipeline Corp (PT335) The company corrected its apportionment methodology. In past years, the county apportionment had been in error without regard to pipe diameter. This year the lines are apportioned in appropriate detail utilizing costs appropriate to pipe diameter. NTCH-Colorado (TM532) This company was designated as locally assessed in 2006 by the Division and e-mails were sent to all affected counties. Please contact NTCH directly to have them file a declaration schedule for tower properties they own in Montrose County. Nucla-Naturita Telephone (TR480) The value was incorrectly apportioned to Montezuma County and should have been apportioned to Montrose County. Primus Telecommunications (TX347) Primus Telecommunications had negative net operating income for the fifth year in a row. Company asset value fell due to a write-down of assets due to Financial Accounting Standards Board (FASB) rules. This write-down, combined with Colorado's system allocation dropping from approximately 2 percent to 0.8 percent, resulted in the substantial drop in value to all counties. County Appeals Narrative—August 1, 2007 12 Texas Communications (TM658) This company is undergoing a write-down of assets due to Financial Accounting Standards Board (FASB) rules. Assets in Colorado are being written down further than other assets within the company due to more technological obsolescence in the types of assets located in Colorado. The result of the write-down reduced Colorado's net book value based allocation of value from 7.6 percent to 5.2 percent for 2007. United Airlines (AL049) System value for United Airlines, Inc. increased slightly from $9,510,083,000 to $9,703,012,000. Colorado's portion of the total system value declined due to a decline in Colorado air and ground hours. The market to book ratio was pushed up slightly from 72 percent to 75 percent to be consistent with other carriers and to reflect the company reporting a positive net operating income for 2006. MORGAN COUNTY Brush CoGen Partners (EN632) The value has been increased utilizing a 3 year weighted net operating income estimate utilized in the income approach. Company may appeal to the BAA. Brush Generation Company (EN777) No change in value was made after review of the company's economic situation. Public Service of Colorado (EL064) For 2007, the net operating income (NOI) for this company rose approximately 4 percent compared to 2006 but still is far below 2002 and 2003 NOI levels. Even using a 5 year average income to stabilize assessments, the value is approximately 2 percent less than 2006. According to company representatives, the resulting value for 2008 is projected to start rising as the effects of the most recent (2006) rate case generate higher returns and net operating income. In 2003, Public Service Company began including asset retirement obligations for the Pawnee Power Plant in Morgan County. In agreement with the DPT, asset retirement obligations are accounting recognitions of future retirement obligations and they don't affect the value of the company. However, one side of the accounting entry impacts the original cost of the associated asset, and that has been erroneously allowed to flow to the apportionment total for Morgan County. Since these costs are not includable in the valuation, they should not be in the apportionment. The result of their inclusion in prior years is a ratio for Morgan County that was too high relative to the other Colorado counties. No further reductions for asset retirement costs are anticipated. Another change in the apportionment calculation is for software. In the past, software was spread throughout the state since its physical location was not known. In recent past, the locations of the servers where the software resides were identified and an adjustment was necessary in the apportionment ratios. There are no data or server facilities in Morgan County. Bombardier Capital (PC225) No value for Bombardier Capital because the car marks were transferred and reported under The CIT Group/Capital Finance PC143. Savage-Tolk (PC298) Mileage in Colorado is down from 58,760,867 to 56,233,025 thus resulting in a lower value. County Appeals Narrative—August 1, 2007 13 Transport Capital Rail Partners (PC603) Mileage in Colorado is down from 8,940,784 to 4,236,927 thus resulting in a lower value. Herzog Contracting (PC946) Mileage in Colorado is down from 6,954,228 to 951,082 thus resulting in a lower value. Westar Energy (PC954) Mileage in Colorado is down from 9,147,699 to 3,723,550 thus resulting in a lower value. OURAY COUNTY Federal Express (AL020) There is an increase to the August notice of valuation for your county for Federal Express. The July notice did not have Fed Ex's ground property included. It is included for both the August company and county NOVs. PITKIN COUNTY Mesaba Aviation (AL660) Mesaba Aviation stopped flying to Colorado in early 2006. No value assigned for 2007. PROWERS COUNTY NE Colorado Cellular (TM820) We contacted the company regarding your question as to why there was no apportionment to Prowers County and have not heard back from them. We recommend you determine a local assessment for the tower property you believe is owned by the company. We will keep you advised if we hear from the company. RIO BLANCO COUNTY Rockies Express Pipeline (PF056) This is a new pipeline for 2007 with a reported net book value of approximately $628 million. Approximately $184 million of the pipeline is in Colorado. Based on information supplied by the pipeline company, Rio Blanco County's allocation, based on historical installed cost, is 27.1 percent. Since this was a new pipeline with no income history, the pipeline was valued at 100% of the Cost Approach. White River Electric (ER096) Company filed amended ASOP showing new construction relating to new substation. Additional operating plant in Rio Blanco County affected allocations to Moffat and Garfield counties. Wyoming Interstate (PT343) The addition of new construction value has been made. Mesa County's allocation, based on the gross book value of the pipeline located in the county, is 27.2 percent. County Appeals Narrative—August 1, 2007 14 WASHINGTON COUNTY Stoneham Co-op Telephone (TR490) Value misapportioned to Washington County, should have been apportioned to Weld County. WELD COUNTY Stoneham Co-op Telephone (TR490) Value misapportioned to Washington County, should have been apportioned to Weld County YUMA COUNTY Century Tel of Eagle (TR473) For 2007, the company experienced a significant decline in income and net operating Plant thus resulting in a lower value to all counties, including Yuma. COMPANY PROTESTS LOOK FOR COMPANY NAMES FOLLOWED BY AN ASTERISK "*" ON YOUR COUNTY NOTICE OF VALUATION. THESE COMPANIES HAD EITHER A VALUATION OR AN APPORTIONMENT CHANGE. AIRLINE COMPANIES (AL) Kitty Hawk, Inc. (AL770) Kitty Hawk protested its value and requested an obsolescence adjustment. We requested a flyaway report or list of aircraft by serial numbers. Company did not file the report and decided that its value was fair after several informal conversations with us to understand how the company was valued and how apportionment in Colorado is done. After the company's review of our value, it withdrew its protest prior to the scheduled protest hearing. Mesa Air Group (Mesa) (AL663) Mesa filed a protest requesting obsolescence to reduce the value to Airliner Price Guide aircraft values. Obsolescence request granted and an adjustment was made. Trans States Airlines (AL772) The company filed its ASOP on July 19, 2007. This is the first time the company has properly filed since 2002. The August Notice of Valuation was based on the ASOP filing. Allocation based on Colorado hours and landings were imputed using similar aircraft landings of other airlines. United Parcel Service (AL020) UPS filed a protest requesting obsolescence to reflect wholesale airliner price guide aircraft values. The obsolescence request was denied. Review of the Airliner Price Guide for similar aircraft including converted engine costs did not support a lower value than the company reported NBV and the 25 percent obsolescence already granted. Company withdrew its appeal on July 25, 2007, and accepted our initial valuation conclusion. County Appeals Narrative—August 1, 2007 15 ELECTRIC COMPANIES - MAJOR ELECTRICS (EL): Public Service Company of Colorado (EL064) In discussion with company representatives, the net operating income (NOI) for this company in 2007 rose approximately 4 percent compared to 2006 but still is far below 2002 and 2003 NOI levels. Even using a 5 year average income to stabilize assessments, the value is approximately 2 percent less than in 2006. According to company representatives, the resulting value for 2008 is projected to start rising as the effects of the most recent (2006) rate case generate higher returns and net operating income. ELECTRIC COMPANIES - ENERGY COMPANIES (EN): Ponnequin Acquisitions (EN472) Taxpayer failed to file ASOP but protested to protect its administrative remedies. As of 7/31/07, no ASOP has been received at the Division. A BIA value was assigned based on previous year's values plus a skoach. Rocky Mountain Energy Center (EN052) Taxpayer wanted a reduction in value due to a lower return on assets. Because of inconsistencies with Xcel's FERC-reported energy payments to Rocky Mountain and the reported revenue by Rocky Mountain in its ASOP, the value was not changed. Additional investigation by the Division is ongoing as to why the discrepancy exists between Xcel's report and the company's reported revenue. STS Hydropower(EN061) The company wanted more consideration of historical drought conditions considered with their new power purchase agreement with Xcel. Projected operating expenses were also discussed. A slight reduction in value was made but not to the extent that the company wanted. The company may file at the BAA. ELECTRIC COMPANIES - RURAL ELECTRICS (ER): MOBILE TELEPHONE COMPANIES (TM): CommNet Wireless (TM810) Company protested to have its July BIA rescinded and the value determined according to the partially completed ASOP filed late in July. The value was extended to all affected counties using the apportionment numbers provided. PIPELINES - DISTRIBUTION (PD): PIPELINES - FLUID (PF): NuStar Logistics LP fka Valero Logistics (PF322) The company provided conclusive documentation indicating that expected future revenue for the pipeline would be reduced due to FERC tariff challenges by companies that ship crude oil and products using the pipeline. A valuation reduction was applied to recognize the lower expected future revenue. County Appeals Narrative—August 1, 2007 16 PIPELINES - TRANSMISSION (PT): Canyon Gas Resources (PT282) Taxpayer requested a reduction in its 2007 value to account for excessive operating costs related to extraordinary corrosion in part of its Colorado pipeline system. A small reduction was granted. Valuation of pipeline is still approximately 21% higher than the value reported for 2006. RAILROAD COMPANIES (RR): TELECOMMUNICATION - FACILITIES BASED COMPANIES (TL): Time Warner Telecom (TL408) Company filed protest regarding intangible assets that were added to the value for the first time in 2007. After discussion, the value of the intangibles was reduced to account for only customer relationships and other intangible assets. The value for 2007 is 33.5 percent higher than was determined for 2006. Comcast Phone of Colorado LLC (TL672) According to its representative, this company will no longer exist after 2007. Customers are being migrated to the company's VOIP telecommunications service which we have assessed under Comcast IP Phone II LLC (TL370). An additional reduction to the value was made to recognize that when the company is closed down at the end of 2007, most of the assets will be scraped because they are significantly obsolete and not usable by either the new company or any other switch-based telecommunications provider. TELECOMMUNICATIONS - RURAL TELEPHONES TELECOMMUNICATIONS - TELEPHONE RESELLERS CTC Communications Group (TX552) The July Notice of Valuation was a Best Information Available (BIA) valuation. The company completed its return on July 17, 2007. The resulting change in value from reflected on the August NOV is based on the company completing its Annual Statement of Property. Liberty Bell Telecommunications (TX545) Liberty Bell protested its valuation for additional consideration of the market approach based on the acquisition price of the company in September 2006. Company provided additional documentation and provided sufficient information. Adjustment granted. National Brands dba Sharenet Comm (TX358) National Brands submitted additional income and relevant company information and requested an adjustment to its valuation since higher income earned in earlier years is no longer attainable. Adjustment granted for 2007 only. NYNEX Long Distance dba Verizon Ent. Solutions (TX158) Company protested its value and then withdrew its appeal prior to its hearing. Denver County also protested. For the August NOV, there will be a small increase to the value. We anticipate that the company will file to the Board of Assessment Appeals. County Appeals Narrative—August 1, 2007 17 reduction in value. County Appeals Narrative—August 1, 2007 18 G:dpt-grp/sap/2007 Protests/County Protest Narrative County Appeals Narrative—August 1, 2007 19 Verizon Airfone fka GTE Air Fone (TX377) Verizon Airfone protested its value. Upon further review, it was determined that the company does not fit the definition of a telephone reseller. The value of the company was increased and apportionments made to Adams, Pueblo, and Routt based on gross historical cost of the assets. With the change in classification, Denver County no longer is apportioned value as they have no assets in the county. We anticipate the taxpayer will file to the Board of Assessment Appeals. Verizon Avenue Corp., fka One point (TX363) Verizon Avenue protested its value requesting an adjustment to intangible assets that were added to its valuation. We denied the protest for a lack of documentation. It is anticipated that company may file to the Board of Assessment Appeals. TELECOMMUNICATIONS -WIRELESS Verizon Airfone fka GTE Air Fone (TM377) (Change from TX) Verizon Airfone protested its value. Upon further review, it was determined that the company does not fit the definition of a telephone reseller. The value of the company was increased and apportionments made to Adams, Pueblo, and Routt based on gross historical cost of the assets. With the change in classification, Denver County no longer is apportioned value as they have no assets in the county. We anticipate the taxpayer will file to the Board of Assessment Appeals. WATER COMPANIES (WA) Prairie Water (WA023) Prairie Water Company filed its ASOP late. The July BIA assessment was removed and the value based on the filed ASOP information. PRIVATE CARLINE COMPANIES (PC): TXU Electric (PC292) A depreciation error by the company for the value of its railcar fleet resulted in a reduction in value. NRG Texas LP (PC287) Company requested a review of railcar values used by the Division to establish its 2007 value. Further information supports an increase in value because the railcars in service in Colorado have a substantially higher value that the rest of the cars in the company fleet. Apportioned values to Colorado counties were increased to reflect this higher car value. Alliant Energy (PC596) System mileage was amended by the company resulting in a reduction in value. Fuel Supply Trust (PC287) Depreciation calculated by the company was in error. Correction of the error caused a reduction in value. County Appeals Narrative—August 1, 2007 18 ADDRESS LIST CHANGES Included with the August 1 county NOV is our current address list for the state assessed companies in your county. Please make sure the names and addresses currently on your system match the new August 1, 2007, listing You may have received company address changes from tax representative Rash and Associates. So that each company may be properly notified of its value and protest and appeal rights, we list all state assessed companies by business address. If desired for billing purposes, the treasurer may change the address to the tax representative's address but should leave the company name as listed in the NOV. SteelWheels PC931 ConocoPhillips Pipe Line Co PF320 WesTTex 66 Pipeline Co PF956 CK Industries PC934 Jim Dobbis Inc PC932 G:dpt-grp/sap/2007 Protests/County Protest Narrative County Appeals Narrative—August 1, 2007 19 Hello