HOUSE BILL No. 4482

 

 

April 19, 2017, Introduced by Reps. Cole, Glenn, Johnson and LaFave and referred to the Committee on Energy Policy.

 

     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 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 of the following:

 

     (a) An independent 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 or affiliated transmission company leases rights-of-way for

 

its electric transmission facilities from the utility.

 

     (b) An independent 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 must 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.


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

 

condemning property under subsection (1), an independent

 

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 or

 

affiliated transmission company.

 

     (4) As used in this act:

 

     (a) "Affiliated transmission company" means a either of the

 

following:

 

     (i) 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, that 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 that is not independent of an electric

 

utility or an affiliate of the utility, generating or distributing

 

electricity to retail customers in this state.

 

     (ii) A person, partnership, corporation, association, or other

 

legal entity, or its successors or assigns, that holds a


certificate issued by the commission under the electric

 

transmission line certification act, 1995 PA 30, MCL 460.561 to

 

460.575, if that entity is an affiliate of an electric 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 either of

 

the following:

 

     (i) A person, partnership, corporation, association, or other

 

legal entity, or its successors or assigns, that has fully

 

satisfied the requirements to join a regional transmission

 

organization and that is 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 if that entity is not an affiliate of the an electric

 

utility , generating or distributing electricity to retail

 

customers in this state.

 

     (ii) A person, partnership, corporation, association, or other

 

legal entity, or its successors or assigns, that holds a

 

certificate issued by the commission under the electric

 

transmission line certification act, 1995 PA 30, MCL 460.561 to

 

460.575, if that entity is not an affiliate of an electric utility

 

generating or distributing electricity to retail customers in this

 

state.