Bill Text: IA HF620 | 2015-2016 | 86th General Assembly | Introduced
Bill Title: A bill for an act modifying provisions applicable to the construction, erection, maintenance, or operation of electric transmission lines, and including effective date and applicability provisions. (Formerly HSB 222)
Sponsorship: Committee Bill
Status: (Introduced - Dead) 2015-06-04 - Referred to Government Oversight. H.J. 1135. [HF620 Detail]
Download: Iowa-2015-HF620-Introduced.html
House File 620 - Introduced HOUSE FILE BY COMMITTEE ON GOVERNMENT OVERSIGHT (SUCCESSOR TO HSB 222) A BILL FOR 1 An Act modifying provisions applicable to the construction, 2 erection, maintenance, or operation of electric transmission 3 lines, and including effective date and applicability 4 provisions. 5 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: TLSB 2605HV (2) 86 rn/sc PAG LIN 1 1 Section 1. Section 478.3, subsection 3, Code 2015, is 1 2 amended to read as follows: 1 3 3. a. For the purpose of thissectionchapter, the term 1 4 "public" when used in relation to public interest, public use, 1 5 or needs of the public shallnot be interpreted torefer to and 1 6 be limited to consumers located in this state. 1 7 b. Paragraph "a" shall not apply to a transmission line, 1 8 wire, or cable that is capable of operating at an electric 1 9 voltage of thirty=four and one=half kilovolts or greater 1 10 and that primarily provides electricity through alternating 1 11 current and is used by rate=regulated electric utilities, 1 12 municipal electric utilities, rural electric cooperatives, or 1 13 electric transmission owners to provide electric service to the 1 14 aforementioned utilities or to the public for compensation. 1 15 Sec. 2. Section 478.4, Code 2015, is amended to read as 1 16 follows: 1 17 478.4 Franchise == hearing. 1 18 1. The utilities board shall consider the petition and 1 19 any objections filed to it in the manner provided. It shall 1 20 examine the proposed route or cause any engineer selected 1 21 by it to do so. If a hearing is held on the petition it may 1 22 hear testimony as may aid it in determining the propriety of 1 23 granting the franchise. It may grant the franchise in whole or 1 24 in part upon the terms, conditions, and restrictions, and with 1 25 the modifications as to location and route as may seem to it 1 26 just and proper. Before granting the franchise, the utilities 1 27 board shall make a finding that the proposed line or lines are 1 28 necessary to serve a public use and represents a reasonable 1 29 relationship to an overall plan of transmitting electricity in 1 30 the public interest. A franchise shall not become effective 1 31 until the petitioners shall pay, or file an agreement to pay, 1 32 all costs and expenses of the franchise proceeding, whether 1 33 or not objections are filed, including costs of inspections 1 34 or examinations of the route, hearing, salaries, publishing 1 35 of notice, and any other expenses reasonably attributable to 2 1 it. The funds received for the costs and the expenses of the 2 2 franchise proceeding shall be remitted to the treasurer of 2 3 state for deposit in the department of commerce revolving fund 2 4 created in section 546.12 as provided in section 476.10. 2 5 2. a. A finding of public use and public interest shall 2 6 not be made in regard to a petition for a franchise if the 2 7 petition sets forth that the exercise of the right of eminent 2 8 domain will be used and if the petition primarily involves 2 9 construction of a high=voltage direct current line and 2 10 the petition does not provide for the erection of electric 2 11 substations at intervals of less than fifty miles, which is 2 12 necessary to accommodate both the purchase and sale to persons 2 13 located in this state of electricity generated or transmitted 2 14 by the franchisee. 2 15 b. Paragraph "a" shall not apply to a transmission line, 2 16 wire, or cable that is capable of operating at an electric 2 17 voltage of thirty=four and one=half kilovolts or greater 2 18 and that primarily provides electricity through alternating 2 19 current and is used by rate=regulated electric utilities, 2 20 municipal electric utilities, rural electric cooperatives, or 2 21 electric transmission owners to provide electric service to the 2 22 aforementioned utilities or to the public for compensation. 2 23 Sec. 3. NEW SECTION. 478.34 Severability. 2 24 If any provision of this chapter or its application to any 2 25 person or circumstance is held invalid or otherwise rendered 2 26 ineffective by any entity, the invalidity or ineffectiveness 2 27 shall not affect other provisions or applications of this 2 28 chapter that can be given effect without the invalid or 2 29 ineffective provision or application, and to this end the 2 30 provisions of this chapter are severable. 2 31 Sec. 4. EFFECTIVE UPON ENACTMENT. This Act, being deemed of 2 32 immediate importance, takes effect upon enactment. 2 33 Sec. 5. APPLICABILITY. This Act is applicable to petitions 2 34 for franchise filed on or after November 1, 2014, which have 2 35 not been acted upon by the board on the effective date of this 3 1 Act, and to petitions for franchise filed on or after the 3 2 effective date of this Act. 3 3 EXPLANATION 3 4 The inclusion of this explanation does not constitute agreement with 3 5 the explanation's substance by the members of the general assembly. 3 6 This bill modifies provisions applicable to the 3 7 construction, erection, maintenance, or operation of electric 3 8 transmission lines contained in Code chapter 478. 3 9 In determining whether to grant a petition for a franchise to 3 10 construct, erect, maintain, or operate an electric transmission 3 11 line, the Iowa utilities board is required to find that, among 3 12 other requirements, the proposed line or lines are necessary 3 13 to serve a public use and represents a reasonable relationship 3 14 to an overall plan of transmitting electricity in the public 3 15 interest. The bill provides that a finding of public use and 3 16 public interest shall not be made in the event a petition for 3 17 a franchise primarily involves construction of a high=voltage 3 18 direct current line and the petition does not provide for the 3 19 erection of electric substations at intervals of less than 50 3 20 miles, which is necessary to accommodate both the purchase and 3 21 sale to persons located in Iowa of electricity generated or 3 22 transmitted by the franchisee. 3 23 Additionally, current Code section 478.3, specifying 3 24 franchise petition requirements, provides that for the 3 25 purposes of that Code section, the term "public" shall not be 3 26 interpreted to be limited to consumers located in Iowa. The 3 27 bill modifies this provision to instead specify that the term 3 28 "public" as used in Code chapter 478 in reference to public 3 29 use, interest, and needs shall refer to and be limited to 3 30 consumers located in this state. 3 31 With reference to both the restriction against a finding 3 32 of public use and public interest for the high=voltage 3 33 direct current line and the limitation of the term "public" 3 34 to consumers located in Iowa, the bill provides that these 3 35 provisions shall not apply to a transmission line, wire, or 4 1 cable that is capable of operating at an electric voltage 4 2 of 34 and one=half kilovolts or greater that primarily 4 3 provides electricity through alternating current and is 4 4 used by rate=regulated electric utilities, municipal 4 5 electric utilities, rural electric cooperatives, or electric 4 6 transmission owners to provide electric service to the 4 7 aforementioned utilities or to the public for compensation. 4 8 Further, the bill contains a severability provision 4 9 providing that if any provision of Code chapter 478 or its 4 10 application to any person or circumstance is held invalid or 4 11 otherwise rendered ineffective by any entity, the invalidity 4 12 or ineffectiveness shall not affect other provisions or 4 13 applications of the Code chapter that can be given effect 4 14 without the invalid or ineffective provision or application, 4 15 and to this end the provisions of the Code chapter are 4 16 severable. 4 17 The bill takes effect upon enactment and applies to 4 18 petitions for franchise filed on or after November 1, 2014, 4 19 which have not been acted upon by the board on the bill's 4 20 effective date, and to petitions for franchise filed on or 4 21 after the bill's effective date. 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