Maryland 2025 Regular Session

Maryland Senate Bill SB737 Compare Versions

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33 EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
44 [Brackets] indicate matter deleted from existing law.
55 *sb0737*
66
77 SENATE BILL 737
88 C5, N1 5lr3522
99 CF 5lr1860
1010 By: Senator Folden
1111 Introduced and read first time: January 27, 2025
1212 Assigned to: Education, Energy, and the Environment
1313
1414 A BILL ENTITLED
1515
1616 AN ACT concerning 1
1717
1818 Property Rights Protection Act of 2025 2
1919
2020 FOR the purpose of prohibiting certain persons from exercising a right of condemnation to 3
2121 acquire property for the purpose of constructing a power line or a certain generating 4
2222 station; prohibiting the State or any of its instrumentalities or political subdivisions 5
2323 from acquiring by condemnation property that is encumbered by certain 6
2424 conservation easements or will be used for the construction of a power line or a 7
2525 certain generating station; and generally relating to restrictions on a right of 8
2626 condemnation to acquire property. 9
2727
2828 BY repealing and reenacting, with amendments, 10
2929 Article – Public Utilities 11
3030 Section 7–103, 7–207(b), and 7–208(b) 12
3131 Annotated Code of Maryland 13
3232 (2020 Replacement Volume and 2024 Supplement) 14
3333
3434 BY repealing and reenacting, without amendments, 15
3535 Article – Public Utilities 16
3636 Section 7–207.1(b) 17
3737 Annotated Code of Maryland 18
3838 (2020 Replacement Volume and 2024 Supplement) 19
3939
4040 BY adding to 20
4141 Article – Public Utilities 21
4242 Section 7–207.1(h) 22
4343 Annotated Code of Maryland 23
4444 (2020 Replacement Volume and 2024 Supplement) 24
4545
4646 BY repealing and reenacting, without amendments, 25
4747 Article – Real Property 26
4848 Section 10–705(a)(1) and (2) and 12–101(a) 27 2 SENATE BILL 737
4949
5050
5151 Annotated Code of Maryland 1
5252 (2023 Replacement Volume and 2024 Supplement) 2
5353
5454 BY adding to 3
5555 Article – Real Property 4
5656 Section 12–101(e) 5
5757 Annotated Code of Maryland 6
5858 (2023 Replacement Volume and 2024 Supplement) 7
5959
6060 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 8
6161 That the Laws of Maryland read as follows: 9
6262
6363 Article – Public Utilities 10
6464
6565 7–103. 11
6666
6767 (a) An electric company incorporated in Maryland may: 12
6868
6969 (1) manufacture, sell, and furnish electric power in any municipal 13
7070 corporation or county of the State; 14
7171
7272 (2) construct a power line to transmit power under, along, on, or over the 15
7373 roadways or public ways of any municipal corporation or county of the State; and 16
7474
7575 (3) connect the power line from the place of supply to any other structure 17
7676 or object. 18
7777
7878 (b) (1) An electric company must have the consent of the governing body of the 19
7979 municipal corporation or county before laying or constructing any power line in accordance 20
8080 with subsection (a) of this section. 21
8181
8282 (2) The governing body of the municipal corporation or county may adopt 22
8383 reasonable regulations and conditions for the laying of a power line, including regulations 23
8484 requiring the electric company to refill and repave any roadway or public way under which 24
8585 the power line is laid. 25
8686
8787 (C) AN ELECTRIC COMPANY M AY NOT EXERCISE A RI GHT OF 26
8888 CONDEMNATION TO ACQUIRE P ROPERTY FOR THE CONS TRUCTION OF A POWER LINE 27
8989 IN ACCORDANCE WITH T HIS SECTION. 28
9090
9191 7–207. 29
9292
9393 (b) (1) (i) Unless a certificate of public convenience and necessity for the 30
9494 construction is first obtained from the Commission, a person may not begin construction in 31
9595 the State of: 32
9696
9797 1. a generating station; or 33 SENATE BILL 737 3
9898
9999
100100
101101 2. a qualified generator lead line. 1
102102
103103 (ii) If a person obtains Commission approval for construction under 2
104104 § 7–207.1 of this subtitle, the Commission shall exempt a person from the requirement to 3
105105 obtain a certificate of public convenience and necessity under this section. 4
106106
107107 (iii) Notwithstanding subparagraph (i) of this paragraph, a person 5
108108 may not apply to obtain a certificate of public convenience and necessity for construction of 6
109109 a qualified generator lead line unless: 7
110110
111111 1. at least 90 days before the filing of an application for a 8
112112 certificate of public convenience and necessity, the person had in good faith offered the 9
113113 electric company that owns that portion of the electric grid in Maryland to which the 10
114114 qualified generator lead line would interconnect a full and fair opportunity for the electric 11
115115 company to construct the qualified generator lead line; and 12
116116
117117 2. at any time at least 10 days before the filing of an 13
118118 application for a certificate of public convenience and necessity, the electric company: 14
119119
120120 A. did not accept from the person a proposal or a negotiated 15
121121 version of the proposal under which the electric company would construct the qualified 16
122122 generator lead line; or 17
123123
124124 B. stated in writing that the electric company did not intend 18
125125 to construct the qualified generator lead line. 19
126126
127127 (2) (I) [Unless] EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF 20
128128 THIS PARAGRAPH , UNLESS a certificate of public convenience and necessity for the 21
129129 construction is first obtained from the Commission, and the Commission has found that the 22
130130 capacity is necessary to ensure a sufficient supply of electricity to customers in the State, a 23
131131 person may not exercise a right of condemnation in connection with the construction of a 24
132132 generating station. 25
133133
134134 (II) A PERSON MAY NOT EXERC ISE A RIGHT OF CONDE MNATION 26
135135 TO ACQUIRE PROPERTY FOR THE PURPOSE OF C ONSTRUCTING A GENERA TING 27
136136 STATION THAT PRODUCE S ELECTRICITY FROM W IND ENERGY OR SOLAR ENERGY. 28
137137
138138 (3) (i) Except as provided in paragraph (4) of this subsection, unless a 29
139139 certificate of public convenience and necessity for the construction is first obtained from the 30
140140 Commission, a person may not begin construction of an overhead transmission line that is 31
141141 designed to carry a voltage in excess of 69,000 volts [or exercise a right of condemnation 32
142142 with the construction]. 33
143143 4 SENATE BILL 737
144144
145145
146146 (ii) For construction related to an existing overhead transmission 1
147147 line, the Commission may waive the requirement in subparagraph (i) of this paragraph for 2
148148 good cause. 3
149149
150150 (iii) Notwithstanding subparagraph (i) of this paragraph and subject 4
151151 to subparagraph (iv) of this paragraph, the Commission may issue a certificate of public 5
152152 convenience and necessity for the construction of an overhead transmission line only if the 6
153153 applicant for the certificate of public convenience and necessity: 7
154154
155155 1. is an electric company; or 8
156156
157157 2. is or, on the start of commercial operation of the overhead 9
158158 transmission line, will be subject to regulation as a public utility by an officer or an agency 10
159159 of the United States. 11
160160
161161 (iv) The Commission may not issue a certificate of public convenience 12
162162 and necessity for the construction of an overhead transmission line in the electric 13
163163 distribution service territory of an electric company to an applicant other than an electric 14
164164 company if: 15
165165
166166 1. the overhead transmission line is to be located solely 16
167167 within the electric distribution service territory of that electric company; and 17
168168
169169 2. the cost of the overhead transmission line is to be paid 18
170170 solely by that electric company and its ratepayers. 19
171171
172172 [(v) 1. This subparagraph applies to the construction of an 20
173173 overhead transmission line for which a certificate of public convenience and necessity is 21
174174 required under this section. 22
175175
176176 2. On issuance of a certificate of public convenience and 23
177177 necessity for the construction of an overhead transmission line, a person may acquire by 24
178178 condemnation, in accordance with Title 12 of the Real Property Article, any property or 25
179179 right necessary for the construction or maintenance of the transmission line.] 26
180180
181181 (4) (i) Except as provided in subparagraph (ii) of this paragraph, for 27
182182 construction related to an existing overhead transmission line designed to carry a voltage 28
183183 in excess of 69,000 volts, the Commission shall waive the requirement to obtain a certificate 29
184184 of public convenience and necessity if the Commission finds that the construction does not[: 30
185185
186186 1. require the person to obtain new real property or 31
187187 additional rights–of–way through eminent domain; or 32
188188
189189 2.] require larger or higher structures to accommodate: 33
190190
191191 [A.] 1. increased voltage; or 34
192192 SENATE BILL 737 5
193193
194194
195195 [B.] 2. larger conductors. 1
196196
197197 (ii) 1. For construction related to an existing overhead 2
198198 transmission line, including repairs, that is necessary to avoid an imminent safety hazard 3
199199 or reliability risk, a person may undertake the necessary construction. 4
200200
201201 2. Within 30 days after construction is completed under 5
202202 subsubparagraph 1 of this subparagraph, a person shall file a report with the Commission 6
203203 describing the work that was completed. 7
204204
205205 7–207.1. 8
206206
207207 (b) This section applies to a person who: 9
208208
209209 (1) constructs a generating station: 10
210210
211211 (i) designed to provide on–site generated electricity if: 11
212212
213213 1. the capacity of the generating station does not exceed 70 12
214214 megawatts; and 13
215215
216216 2. the electricity that may be exported for sale from the 14
217217 generating station to the electric system is sold only on the wholesale market pursuant to 15
218218 an interconnection, operation, and maintenance agreement with the local electric company; 16
219219 or 17
220220
221221 (ii) that produces electricity from wind if: 18
222222
223223 1. the generating station is land–based; 19
224224
225225 2. the capacity of the generating station does not exceed 70 20
226226 megawatts; 21
227227
228228 3. the electricity that may be exported for sale from the 22
229229 generating station to the electric system is sold only on the wholesale market pursuant to 23
230230 an interconnection, operation, and maintenance agreement with the local electric company; 24
231231
232232 4. the Commission provides an opportunity for public 25
233233 comment at a public hearing as provided in subsection (g) of this section; and 26
234234
235235 5. the generating station’s wind turbines are not located 27
236236 within a distance from the Patuxent River Naval Air Station that is determined by 28
237237 regulations adopted by the Commission in coordination with the Commander, Naval Air 29
238238 Warfare Center Aircraft Division, provided that the distance requirement under the 30
239239 regulation is: 31
240240 6 SENATE BILL 737
241241
242242
243243 A. not greater than is necessary to encompass an area in 1
244244 which utility scale wind turbines could create Doppler radar interference for missions at 2
245245 the Patuxent River Naval Air Station; 3
246246
247247 B. not greater than 46 miles, measured from location 4
248248 38.29667N, 76.37668W; and 5
249249
250250 C. subject to modification if necessary to reflect changes in 6
251251 missions or technology at the Patuxent River Naval Air Station or changes in wind energy 7
252252 technology; or 8
253253
254254 (2) constructs a generating station if: 9
255255
256256 (i) the capacity of the generating station does not exceed 25 10
257257 megawatts; 11
258258
259259 (ii) the electricity that may be exported for sale from the generating 12
260260 station to the electric system is sold only on the wholesale market pursuant to an 13
261261 interconnection, operation, and maintenance agreement with the local electric company; 14
262262 and 15
263263
264264 (iii) at least 10% of the electricity generated at the generating station 16
265265 each year is consumed on–site. 17
266266
267267 (H) A PERSON MAY NOT EXERC ISE A RIGHT OF CONDE MNATION TO ACQUIRE 18
268268 PROPERTY FOR THE PUR POSE OF CONSTRUCTING A GENERATING STATION UNDER 19
269269 THIS SECTION THAT PR ODUCES ELECTRICITY F ROM WIND ENERGY OR S OLAR 20
270270 ENERGY. 21
271271
272272 7–208. 22
273273
274274 (b) This section applies to any person: 23
275275
276276 (1) constructing a generating station and its associated overhead 24
277277 transmission lines designed to carry a voltage in excess of 69,000 volts; OR 25
278278
279279 (2) [exercising the right of condemnation in connection with the 26
280280 construction; or 27
281281
282282 (3)] constructing a qualified submerged renewable energy line. 28
283283
284284 Article – Real Property 29
285285
286286 10–705. 30
287287
288288 (a) (1) In this section the following words have the meanings indicated. 31 SENATE BILL 737 7
289289
290290
291291
292292 (2) “Conservation easement” means an easement, covenant, restriction, or 1
293293 condition on real property, including an amendment to an easement, covenant, restriction, 2
294294 or condition, as provided for in § 2–118 of this article that is: 3
295295
296296 (i) Owned by: 4
297297
298298 1. The Maryland Environmental Trust; 5
299299
300300 2. The Maryland Historical Trust; 6
301301
302302 3. The Maryland Agricultural Land Preservation 7
303303 Foundation; 8
304304
305305 4. The Maryland Department of Natural Resources; 9
306306
307307 5. A county or municipal corporation and is funded by the 10
308308 Maryland Department of Natural Resources, the Rural Legacy Program, or a local 11
309309 agricultural preservation program; or 12
310310
311311 6. A land trust; or 13
312312
313313 (ii) Required by a permit issued by the Department of the 14
314314 Environment. 15
315315
316316 12–101. 16
317317
318318 (a) All proceedings for the acquisition of private property for public use by 17
319319 condemnation are governed by the provisions of this title and of Title 12, Chapter 200 of 18
320320 the Maryland Rules. 19
321321
322322 (E) NOTWITHSTANDING ANY O THER LAW, THE STATE OR ANY OF ITS 20
323323 INSTRUMENTALITIES OR POLITICAL SUBDIVISIO NS MAY NOT ACQUIRE B Y 21
324324 CONDEMNATION A PROPE RTY THAT: 22
325325
326326 (1) IS ENCUMBERED BY A CONS ERVATION EASEMENT AS DEFINED 23
327327 UNDER § 10–705(A) OF THIS ARTICLE; OR 24
328328
329329 (2) WILL BE USED FOR THE CONSTRUCTION OF A PO WER LINE OR A 25
330330 GENERATING STATION T HAT PRODUCES ELECTRI CITY FROM WIND ENERG Y OR 26
331331 SOLAR ENERGY . 27
332332
333333 SECTION 2. AND BE IT FURTH ER ENACTED, That this Act shall take effect 28
334334 October 1, 2025. 29
335335