1 | 1 | | Session of 2025 |
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2 | 2 | | HOUSE BILL No. 2108 |
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3 | 3 | | By Committee on Energy, Utilities and Telecommunications |
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4 | 4 | | Requested by Claudia Hissong on behalf of Kansas Farm Bureau |
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5 | 5 | | 1-28 |
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6 | 6 | | AN ACT concerning energy; relating to the state corporation commission; |
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7 | 7 | | requiring the commission to establish and enforce a code of conduct |
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8 | 8 | | and agricultural mitigation protocols for the development, construction, |
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9 | 9 | | operation and decommissioning of certain large energy facilities in |
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10 | 10 | | rural areas of the state. |
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11 | 11 | | Be it enacted by the Legislature of the State of Kansas: |
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12 | 12 | | Section 1. As used in sections 1 through 4, and amendments thereto: |
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13 | 13 | | (a) "Battery energy storage system" means an electrochemical device |
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14 | 14 | | that is capable of absorbing and storing electrical energy and discharging |
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15 | 15 | | such energy at a later time. |
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16 | 16 | | (b) "Commercial battery energy storage system" means a battery |
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17 | 17 | | energy storage system that can store and then discharge one megawatt or |
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18 | 18 | | more of electrical energy over a one-hour duration. |
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19 | 19 | | (c) "Commercial solar energy conversion system" means a solar |
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20 | 20 | | energy conversion system that has a total system-rated generating capacity |
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21 | 21 | | of one megawatt or more and all appurtenant facilities of such system, |
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22 | 22 | | including, but not limited to, the solar collectors, battery storage units, |
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23 | 23 | | substations and operations and maintenance buildings. |
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24 | 24 | | (d) "Commission" means the state corporation commission. |
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25 | 25 | | (e) "Electric transmission lines" means the same as defined in K.S.A. |
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26 | 26 | | 66-1,177, and amendments thereto. |
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27 | 27 | | (f) "Large energy facility" means any: |
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28 | 28 | | (1) Commercial battery energy storage system; |
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29 | 29 | | (2) commercial solar energy conversion system; |
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30 | 30 | | (3) electric transmission lines; or |
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31 | 31 | | (4) wind energy conversion system. |
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32 | 32 | | (g) "Large energy facility owner" means any person or entity that |
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33 | 33 | | owns or operates a large energy facility and any employees, agents, |
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34 | 34 | | contractors, subcontractors or assigns thereof, including any person or |
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35 | 35 | | entity that seeks the necessary rights, permits or approvals for the |
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36 | 36 | | construction and operation of a large energy facility regardless of whether |
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37 | 37 | | such person or entity will own or operate the large energy facility after |
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38 | 38 | | construction. |
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39 | 39 | | (h) "Rural area" means any area located one mile or more outside of: |
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74 | 74 | | 35 HB 2108 2 |
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75 | 75 | | (1) The corporate limits of any city; or |
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76 | 76 | | (2) any unincorporated area having a housing density of three |
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77 | 77 | | dwelling units per acre or more. |
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78 | 78 | | (i) "Solar energy conversion system" means any device, component |
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79 | 79 | | or system required to convert solar energy into electric or thermal energy. |
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80 | 80 | | (j) "Wind energy conversion system" means the same as defined in |
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81 | 81 | | K.S.A. 66-1289, and amendments thereto. |
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82 | 82 | | Sec. 2. (a) The commission, after consultation with the Kansas |
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83 | 83 | | department of agriculture, shall establish a code of conduct and |
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84 | 84 | | agricultural impact mitigation protocols for the development, construction, |
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85 | 85 | | operation and decommissioning of large energy facilities in rural areas of |
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86 | 86 | | the state. |
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87 | 87 | | (b) The code of conduct shall, at a minimum, contain provisions that |
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88 | 88 | | require each large energy facility owner to: |
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89 | 89 | | (1) Be truthful and honest in all communications with landowners; |
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90 | 90 | | (2) be transparent about the large energy facility project; |
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91 | 91 | | (3) provide appropriate contact information for the large energy |
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92 | 92 | | facility owner and any employees, agents, contractors, subcontractors or |
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93 | 93 | | assigns thereof that are associated with the project; |
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94 | 94 | | (4) ensure that all communications with landowners do not contain |
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95 | 95 | | any threat or coercion; |
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96 | 96 | | (5) abide by the request of any landowner who requests that the large |
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97 | 97 | | energy facility owner, or any employees, agents, contractors, |
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98 | 98 | | subcontractors or assigns thereof, vacate the landowner's property or cease |
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99 | 99 | | communications with the landowner; |
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100 | 100 | | (6) not disclose communications from a landowner unless such |
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101 | 101 | | disclosure is otherwise agreed to in writing; |
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102 | 102 | | (7) establish procedures to provide early and meaningful landowner |
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103 | 103 | | involvement in the siting process for the large energy facility, including |
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104 | 104 | | both public and private meetings with affected landowners and |
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105 | 105 | | individuals; |
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106 | 106 | | (8) provide and make accessible project maps to landowners and the |
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107 | 107 | | public during the siting process; |
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108 | 108 | | (9) establish procedures to consider and accept any landowner- |
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109 | 109 | | requested micro-siting modifications to the project; |
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110 | 110 | | (10) ensure that property appraisals and offers to landowners are |
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111 | 111 | | consistent and based on the attributes and use of the land; |
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112 | 112 | | (11) offer each landowner an amount that is greater than the fair |
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113 | 113 | | market value of the property interest whenever the large facility owner |
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114 | 114 | | possesses the authority of eminent domain for the project; |
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115 | 115 | | (12) allow the landowner to elect to receive a one-time payment or |
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116 | 116 | | annual payments for the life of the project for any payment made to the |
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117 | 117 | | landowner that is associated with the acquisition of any property interest; |
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160 | 160 | | 43 HB 2108 3 |
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161 | 161 | | (13) compensate landowners for any and all damages to land and |
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162 | 162 | | agricultural operations resulting from the development, construction, |
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163 | 163 | | operation or decommissioning of the project and establish procedures to |
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164 | 164 | | determine and calculate compensation for such damages; |
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165 | 165 | | (14) establish an optional appeal process when the large energy |
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166 | 166 | | facility owner's offer for the landowner's property interest is deemed |
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167 | 167 | | inadequate by the landowner; |
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168 | 168 | | (15) establish setbacks from residential and agricultural structures |
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169 | 169 | | that are based on scientifically proven health and safety information; |
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170 | 170 | | (16) remediate communication circuits that are diminished or |
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171 | 171 | | disrupted due to communication interference caused by the project; |
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172 | 172 | | (17) track the obligations that are owed to landowners based on the |
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173 | 173 | | terms negotiated by landowners and provide a map of such obligations |
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174 | 174 | | showing the energy company's obligations by each individual parcel of |
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175 | 175 | | land; |
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176 | 176 | | (18) establish a decommissioning plan that ensures infrastructure |
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177 | 177 | | removal and land restoration when the project is retired or abandoned; |
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178 | 178 | | (19) provide adequate financial assurance to ensure the full and |
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179 | 179 | | complete decommissioning of the project and the completion of any wind- |
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180 | 180 | | up activities; and |
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181 | 181 | | (20) indemnify and hold harmless any affected landowner or tenant, |
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182 | 182 | | and any heirs, successors, legal representatives or assigns thereof, from |
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183 | 183 | | any and all liability associated with the development, construction, |
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184 | 184 | | operation or decommissioning of the energy project, unless such liability |
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185 | 185 | | arises from the intentional or willful acts of the indemnitee. |
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186 | 186 | | (c) The agricultural impact mitigation protocols shall, at a minimum, |
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187 | 187 | | contain provisions that require each large energy facility owner to: |
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188 | 188 | | (1) Provide advance notice to and coordinate with any landowner or |
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189 | 189 | | tenant whenever the large energy facility owner needs to access private |
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190 | 190 | | property; |
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191 | 191 | | (2) designate one or more contacts for the large energy facility owner |
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192 | 192 | | who have experience in agriculture and who may be contacted by any |
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193 | 193 | | landowner when any agricultural impact mitigation work is inferior; |
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194 | 194 | | (3) establish standards for facilities and support structures to |
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195 | 195 | | minimize the impact to agricultural land and operations; |
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196 | 196 | | (4) establish procedures to mitigate and address any impacts to |
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197 | 197 | | important agricultural improvements caused by the project, including, but |
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198 | 198 | | not limited to, impacts to drainage tiles, terraces and irrigation systems and |
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199 | 199 | | lightning and stray voltage mitigation measures; |
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200 | 200 | | (5) establish soil protection measures, including, but not limited to, |
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201 | 201 | | decompaction, fertilization, stabilization, repair damaged soil conservation |
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202 | 202 | | and erosion prevention projects and removal of construction debris; |
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203 | 203 | | (6) establish soil restoration measures that shall apply following |
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246 | 246 | | 43 HB 2108 4 |
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247 | 247 | | construction activities, operational activities and decommissioning |
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248 | 248 | | activities, including, but not limited to, segregation and replacement of |
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249 | 249 | | topsoil and reestablishment of the vegetative growth that existed prior to |
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250 | 250 | | disturbance; |
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251 | 251 | | (7) adhere to scientific standards for all agricultural impact mitigation |
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252 | 252 | | work such as the standards established by the natural resources |
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253 | 253 | | conservation service, the United States department of agriculture farm |
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254 | 254 | | service agency, agricultural extension offices or land grant universities; |
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255 | 255 | | (8) establish procedures for installation and maintenance of any |
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256 | 256 | | necessary gates to the facility or facility structures; |
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257 | 257 | | (9) for any project involving the electric transmission lines, construct |
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258 | 258 | | the electric transmission lines with an adequate transmission line height to |
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259 | 259 | | ensure that any existing agricultural operations may continue under and |
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260 | 260 | | around the transmission line in a safe manner; |
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261 | 261 | | (10) establish procedures for tree and brush removal, including, but |
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262 | 262 | | not limited to, compensation for removal of trees with commercial value; |
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263 | 263 | | (11) establish procedures for controlling noxious weeds and other |
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264 | 264 | | growth within any lease or easement; and |
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265 | 265 | | (12) provide compensation to any landowner or tenant for lost |
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266 | 266 | | revenue when the landowner or tenant is forced to withdraw from any |
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267 | 267 | | agricultural or conservation program due to the construction and operation |
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268 | 268 | | of the large energy facility. |
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269 | 269 | | Sec. 3. (a) On and after January 1, 2026, no large energy facility |
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270 | 270 | | owner may begin site preparation for or construction of a large energy |
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271 | 271 | | facility, or exercise the right of eminent domain to acquire any interest in |
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272 | 272 | | land for the construction of such facility, in any rural area of the state until |
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273 | 273 | | the large energy facility owner has obtained from the commission a code |
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274 | 274 | | of conduct permit to construct the large energy facility. Whenever any |
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275 | 275 | | large energy facility owner seeks to obtain such a permit, the large energy |
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276 | 276 | | facility owner shall file an application with the commission that specifies: |
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277 | 277 | | (1) The proposed location of the large energy facility; |
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278 | 278 | | (2) that the large energy facility owner, and any employees, agents, |
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279 | 279 | | contractors, subcontractors or assigns thereof, agrees to abide by and |
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280 | 280 | | adhere to the code of conduct and agricultural impact mitigation protocols |
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281 | 281 | | established by the commission pursuant to section 2, and amendments |
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282 | 282 | | thereto, throughout the life and decommissioning of the project. |
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283 | 283 | | (b) The commission may further condition such permit as the |
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284 | 284 | | commission may deem just and reasonable to best protect the rights of all |
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285 | 285 | | interested parties and the general public. |
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286 | 286 | | (c) (1) In addition to any penalty established pursuant to the terms |
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287 | 287 | | and conditions of any code of conduct permit issued by the commission |
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288 | 288 | | pursuant to this section, upon complaint by a landowner or upon the |
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289 | 289 | | commission's own motion, the commission may impose a civil penalty not |
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333 | 333 | | to exceed $10,000 upon finding that a large energy facility owner has |
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334 | 334 | | violated the provisions of this act, the provisions of a code of conduct |
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335 | 335 | | permit or any rule and regulation or order of the commission. Such penalty |
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336 | 336 | | shall constitute an actual and substantial economic deterrent to the |
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337 | 337 | | violation for which the penalty is assessed. In the case of a continuing |
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338 | 338 | | violation, the commission may deem every day such violation continues as |
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339 | 339 | | a separate violation. |
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340 | 340 | | (2) No penalty shall be imposed pursuant to this subsection except |
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341 | 341 | | upon the written order of the commission to the large energy facility owner |
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342 | 342 | | who committed the violation. The order shall state the violation, the |
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343 | 343 | | penalty imposed and the right to appeal such order to the commission. Any |
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344 | 344 | | such facility owner, within 30 days after service of such order, may make |
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345 | 345 | | written request to the commission for a hearing. The commission shall |
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346 | 346 | | conduct a hearing in accordance with the provisions of the Kansas |
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347 | 347 | | administrative procedure act within 30 days after receipt of such request. |
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348 | 348 | | (3) Any large energy facility owner aggrieved by any order issued |
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349 | 349 | | pursuant to this subsection may appeal such order in accordance with the |
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350 | 350 | | provisions of the Kansas judicial review act. |
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351 | 351 | | (4) The commission may order a large energy facility owner to pay |
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352 | 352 | | any costs and reasonable attorney fees incurred by the commission in |
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353 | 353 | | imposing and collecting any penalty pursuant to this subsection and may |
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354 | 354 | | collect interest on any portion of such penalty, costs and attorney fees that |
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355 | 355 | | remains unpaid more than 30 days after imposition, at the rate provided by |
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356 | 356 | | K.S.A. 16-204, and amendments thereto, for interest on judgments. |
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357 | 357 | | (5) All moneys received from penalties imposed and costs and |
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358 | 358 | | attorney fees assessed pursuant to this section shall be remitted to the state |
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359 | 359 | | treasurer in accordance with the provisions of K.S.A. 75-4215, and |
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360 | 360 | | amendments thereto. Upon receipt of each such remittance, the state |
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361 | 361 | | treasurer shall deposit the entire amount in the state treasury to the credit |
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362 | 362 | | of the state general fund. |
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363 | 363 | | Sec. 4. The commission may adopt rules and regulations to |
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364 | 364 | | administer sections 1 through 3, and amendments thereto. |
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365 | 365 | | Sec. 5. This act shall take effect and be in force from and after its |
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366 | 366 | | publication in the statute book. |
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