Bill Text: MI SB1106 | 2015-2016 | 98th Legislature | Introduced

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Bill Title: Public utilities; electric utilities; condemnation of property for transmission lines; allow for qualified transmission companies. Amends sec. 5 of 1923 PA 238 (MCL 486.255).

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2016-10-18 - Referred To Committee On Energy And Technology [SB1106 Detail]

Download: Michigan-2015-SB1106-Introduced.html

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SENATE BILL No. 1106

 

 

October 18, 2016, Introduced by Senator SHIRKEY and referred to the Committee on Energy and Technology.

 

 

     A bill to amend 1923 PA 238, entitled

 

"An act authorizing the formation of corporations for the purpose

of generating, manufacturing, producing, gathering, storing,

transmitting, distributing, transforming, selling and supplying

electric energy or gas, either artificial or natural, or both

electric energy and gas, to the public generally, or to public

utilities or natural gas companies, and providing for and giving to

such corporations and also to corporations heretofore lawfully

organized, among other things, for such purposes; to corporations

heretofore lawfully organized, or that may hereafter be lawfully

organized and duly authorized to carry on the electric or gas

business as a public utility in the state of Michigan; and to

foreign corporations heretofore lawfully organized or that may

hereafter be lawfully organized, among other things, for such

purposes, and duly authorized to carry on business in the state of

Michigan, the right to condemn private property for the uses

provided for herein,"

 

by amending section 5 (MCL 486.255), as added by 2004 PA 197.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 5. (1) Subject to the electric transmission line

 

certification act, 1995 PA 30, MCL 460.561 to 460.575, and the

 

uniform condemnation procedures act, 1980 PA 87, MCL 213.51 to

 

213.75, an independent transmission company, qualified transmission

 

company, or an affiliated transmission company shall have has the

 

power to condemn property that is necessary to transmit electric

 

energy for public use except for both all of the following:

 

     (a) An independent transmission company, qualified

 

transmission company, or affiliated transmission company shall not

 

circumvent a private agreement that existed on the effective date

 

of the amendatory act that added this subsection July 12, 2004

 

under which the independent transmission company, qualified

 

transmission company, or affiliated transmission company leases

 

rights-of-way for its electric transmission facilities from the

 

utility.

 

     (b) An independent transmission company, qualified

 

transmission company, or affiliated transmission company shall not

 

condemn property owned by an electric or gas utility or municipally

 

owned utility in a manner which that unreasonably disrupts the

 

ability of the electric or gas utility or municipally owned utility

 

to continue to provide service to its customers. If a dispute

 

exists under this subdivision, the condemnation shall not proceed

 

until the Michigan public service commission determines that no

 

unreasonable disruption is involved. The commission shall make its

 

determination under this subdivision pursuant to a contested case

 

under the administrative procedures act of 1969, 1969 PA 306, MCL

 

24.201 to 24.328, within 180 days of the date an application or

 

petition requesting a determination is filed with the commission.

 

If the principal parties of record agree that the complexity of

 

dispute involved requires additional time, the commission may have

has up to 210 days from the date the application or petition was

 

filed to make a determination under this subdivision.

 

     (c) When a certificate is necessary or has been applied for

 

under the electric transmission line certification act, 1995 PA 30,

 

MCL 460.561 to 460.575, a qualified transmission company shall not

 

condemn property unless both of the following apply:

 

     (i) The Federal Energy Regulatory Commission or appropriate

 

regional transmission organization has formally designated or

 

otherwise approved that transmission line project for the qualified

 

transmission company.

 

     (ii) The commission has reviewed the necessity of the

 

condemnation of property associated with a project approved under

 

subparagraph (i) and has granted the qualified transmission company

 

a certificate for that transmission line project under section 8 or

 

section 9 of the electric transmission line certification act, 1995

 

PA 30, MCL 460.568 and 460.569.

 

     (2) Except as otherwise provided under this section, in

 

condemning property under subsection (1), an independent

 

transmission company, qualified transmission company, or affiliated

 

transmission company is subject to the same procedures and

 

requirements under this act as a corporation formed under this act.

 

     (3) Section 3(1) and any procedure or requirement under this

 

act that is inconsistent with the electric transmission line

 

certification act, 1995 PA 30, MCL 460.561 to 460.575, or the

 

uniform condemnation procedures act, 1980 PA 87, MCL 213.51 to

 

213.75, do not apply to an independent transmission company,

 

qualified transmission company, or affiliated transmission company.

     (4) As used in this act:

 

     (a) "Affiliated transmission company" means a person,

 

partnership, corporation, association, or other legal entity, or

 

its successors or assigns, which that has fully satisfied the

 

requirements to join a regional transmission organization as

 

determined by the federal energy regulatory commission, Federal

 

Energy Regulatory Commission, is engaged in this state in the

 

transmission of electricity using facilities it owns that were

 

transferred to the entity by an electric utility that was engaged

 

in the generation, transmission, and distribution of electricity in

 

this state on December 31, 2000, and is not independent of an

 

electric utility or an affiliate of the utility, generating or

 

distributing electricity to retail customers in this state.

 

     (b) "Commission" means the Michigan public service commission.

 

     (c) (b) "Independent transmission company" means a person,

 

partnership, corporation, association, or other legal entity, or

 

its successors or assigns, engaged in this state in the

 

transmission of electricity using facilities it owns that have been

 

divested to the entity by an electric utility that was engaged in

 

the generation, transmission, and distribution of electricity in

 

this state on December 31, 2000, and is independent of an electric

 

utility or an affiliate of the utility, generating or distributing

 

electricity to retail customers in this state.

 

     (d) "Qualified transmission company" means a person,

 

partnership, corporation, or other legal entity, or its successors

 

or assigns, other than an affiliated transmission company or an

 

independent transmission company, that is designated by the Federal

Energy Regulatory Commission or the appropriate regional

 

transmission organization as a qualified transmission developer and

 

that meets either of the following:

 

     (i) Has been granted or is applying for a certificate issued

 

by the commission under section 8 or section 9 of the electric

 

transmission line certification act, 1995 PA 30, MCL 460.568 and

 

460.569, for the construction of a transmission project that either

 

has been or is anticipated to be included in a regional

 

transmission plan approved by either the Federal Energy Regulatory

 

Commission or the appropriate regional transmission organization.

 

     (ii) Is conducting activities listed under section 5(2)(b) of

 

the electric transmission line certification act, 1995 PA 30, MCL

 

460.565.