Utility District acquires BIPCo’s assets
Almost 30 months after Block island residents voted to purchase two-thirds of Block Island Power Co. stock — the yes votes outnumbered the no votes by a margin of two — 178-176 — the Block Island Utility District has acquired all of the assets of BIPCo.
A press release issued by the Utility District’s Board of Commissioners made the announcement on Tuesday, March 26:
“Monday, March 25, 2019 marks an historic day for Block Island: the Block Island Utility District acquired all the assets of the Block Island Power Company (BIPCo). After two years of hard work, the goal of creating a non-profit ratepayer-controlled utility has been achieved. This means lower costs and control over decision-making for BIPCo’s customers. The Block Island Utility District Board of Commissioners, and the Block Island Power Company Board of Directors, are proud to have shepherded this long process to its completion,” the press release stated.
“After negotiating with the owners of BIPCo and receiving an appraisal, the Town purchased two-thirds of the stock of BIPCo for a price of $1.8 million. The Sara McGinnes Trust, which owns the remaining one-third interest in BIPCo, is being paid $900,000 from the closing proceeds. If McGinnes continues to pursue her claim that her one-third interest is worth more than that, litigation will go forward to determine valuation.”
This is a developing story. For more information, see the Friday edition of The Block Island Times.