FIRSTREGULARSESSION HOUSEBILLNO.221 103RDGENERALASSEMBLY INTRODUCEDBYREPRESENTATIVELEWIS. 1222H.01I DANARADEMANMILLER,ChiefClerk ANACT Torepealsections393.170and523.010,RSMo,andtoenactinlieuthereofthreenew sectionsrelatingtoelectricutilities. BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows: SectionA.Sections393.170and523.010,RSMo,arerepealedandthreenewsections 2enactedinlieuthereof,tobeknownassections393.170,393.172,and523.010,toreadas 3follows: 393.170.1.Nogascorporation,electricalcorporation,watercorporationorsewer 2corporationshallbeginconstructionofagasplant,electricplant,watersystemorsewer 3system,otherthananenergygenerationunitthathasacapacityofonemegawattorless, 4withoutfirsthavingobtainedthepermissionandapprovalofthecommission. 5 2.Nosuchcorporationshallexerciseanyrightorprivilegeunderanyfranchise 6hereaftergranted,orunderanyfranchiseheretoforegrantedbutnotheretoforeactually 7exercised,ortheexerciseofwhichshallhavebeensuspendedformorethanoneyear,without 8firsthavingobtainedthepermissionandapprovalofthecommission.Beforesuchcertificate 9shallbeissuedacertifiedcopyofthecharterofsuchcorporationshallbefiledintheofficeof 10thecommission,togetherwithaverifiedstatementofthepresidentandsecretaryofthe 11corporation,showingthatithasreceivedtherequiredconsentofthepropermunicipal 12authorities. 13 3.Thecommissionshallhavethepowertograntthepermissionandapprovalherein 14specifiedwheneveritshallafterduehearingdeterminethatsuchconstructionorsuchexercise 15oftheright,privilegeorfranchiseisnecessaryorconvenientforthepublicservice.The 16commissionmaybyitsorderimposesuchconditionorconditionsasitmaydeemreasonable EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17andnecessary.Unlessexercisedwithinaperiodoftwoyearsfromthegrantthereof,authority 18conferredbysuchcertificateofconvenienceandnecessityissuedbythecommissionshallbe 19nullandvoid. 20 4.(1)Theprovisionsofthissubsectionshallapplywhenthepermissionand 21approvalsoughtfromthecommissionundersubsection1ofthissectionisforthe 22constructionofelectrictransmissionfacilitiesapprovedbyaregionaltransmission 23operator.Tothegreatestextentpractical,suchelectrictransmissionfacilitiesshallbe 24designed,consistentwithelectricindustrystandards,toutilizeamulti-circuit 25configuration,besitedwithoralongexistingabove-groundinfrastructure,orreplace 26orupgradeexistingabove-groundinfrastructure,whetherornottheexistingelectric 27transmissionfacilityinfrastructureutilizedisownedbyanelectricalcorporationthat 28ownsin-serviceelectrictransmissionfacilitiesinthisstatethatareunderthefunctional 29controlofaregionaltransmissionoperator.Electrictransmissionfacilitiesneednotbe 30designedasprovidedintheimmediatelyprecedingsentenceifthecommission 31determinesinaproceedingpursuanttowhichpermissionandapprovalissought 32undersubsection1ofthissectionthatsuchadesignisinconsistentwithelectricindustry 33standards,isinconsistentwiththereliabilitybasisgivenfortheelectrictransmission 34facilitiesproject,orisnotinthebestinterestoftheelectricalcorporation'scustomersor, 35totheextenttheelectricalcorporationdoesnotdirectlyserveretailcustomers,the 36interestsoftheelectriccustomerswhoseretailrateswillreflectthemajorityofthecosts 37oftheelectrictransmissionfacilitiesto-be-constructed.Inaddition,totheextentsuch 38electrictransmissionfacilitieswillbesitedwithoralongorwillreplaceorupgrade 39existingabove-groundelectricalinfrastructurethatisnotownedbyanentityseeking 40permissionandapprovalpursuanttoanapplicationfiledundersubsection1ofthis 41sectionorbyitsaffiliate,theentityorentitiesthatwillownthenewelectrictransmission 42facilitiessubjecttotheapplicationshallobtainfromtheunderlyingfeeowners 43independentrealestaterightsnecessarytoaccommodatetheinstallationandoperation 44thereof.Nothinginthissubdivisionshallrelievesuchentityorentitiesoftheobligations 45containedinsections523.039or523.256,totheextentthoseobligationswouldotherwise 46apply. 47 (2)Inadditiontothedesignrequirementsinsubdivision(1)ofthissubsection, 48eachelectricalcorporationseekingpermissionandapprovalundersubsection1ofthis 49sectionshallcompetitivelybidthemajorconstructioncomponentsofeachprojectfor 50whichpermissionandapprovalissoughtandshallutilizecompetitivesourcing 51strategiesforallrelatedmajormaterials. 52 (3)Onlyelectricalcorporationsthatownin-serviceelectrictransmission 53facilitiesinthisstatethatareunderthefunctionalcontrolofaregionaltransmission HB221 2 54operatorandtowhichtheelectrictransmissionfacilitiessubjecttotheapplicationwill 55connect,eitherinitiallyoronceconstructionofallelectrictransmissionfacilities 56approvedbytheregionaltransmissionoperatorasofthetimeofthecommission's 57approvaloftheapplicationiscompleted,mayfileapplicationswiththecommissionfor 58permissionandapprovaltoconstructelectrictransmissionfacilitiesdescribedinthis 59subsection.Withinninetydaysfollowingapprovaloftheconstructionofelectric 60transmissionfacilitiesbytheapplicableregionaltransmissionoperator,anelectric 61corporationseekingpermissionandapprovalforelectrictransmissionfacilitiesunder 62theprovisionsofthissubsectionmaynotifythecommissionthatitwillnotconstructany 63orsomeportionofthefacilitiesapproved.Ifsuchnoticeisgivenandindicatesthe 64notifyingelectricalcorporationwillnotconstructanyofthefacilitiesapproved,the 65commissionmaygrantpermissionandapprovalforsuchfacilities'constructiontoany 66otherelectricalcorporation.Ifsuchnoticeindicatesthatitwillassignalloraportionof 67thefacilitiesapprovedtoanotherelectricalcorporation,thecommissionmaygrant 68permissionandapprovalforthefacilitiesthatwereassignedtotheassigneeelectrical 69corporationandsuchelectricalcorporation'sconstructionofthefacilitiesshallbe 70subjecttothissubsection. 71 (4)Thissubsectionshallnotlimittherightofanyelectricalcorporationtoseek 72permissionandapprovalfromthecommissiontoconstruct,operate,andmaintain 73electrictransmissionfacilitiesinthisstatethatwillnotinitiallyconnecttoelectric 74transmissionfacilitiesinthisstatethatarenotunderthefunctionalcontrolofaregional 75transmissionoperator.Thissubsectionshallalsonotlimittherightofanyelectrical 76corporation,anymunicipalutilityoperatingunderchapter91,anyjointelectricutility 77commissionoperatingunderchapter393,anyruralelectriccooperativeorganizedor 78operatingunderchapter394,anycorporationorganizedonanonprofitoracooperative 79basisasdescribedinsubsection1ofsection394.200,oranyelectricalcorporation 80operatingunderthenot-for-profitcooperativebusinessplanasdescribedinsubsection2 81ofsection393.110toconstruct,operate,andmaintainelectrictransmissionfacilitiesin 82thisstatethatarenotunderthefunctionalcontrolofaregionaltransmissionoperator. 83 (5)Inconsideringapplicationsunderthissection,thecommissionshalltakeinto 84accounttheimportanceofconstructionofelectrictransmissionfacilitiesinthestate 85neededtosupportthestate'seconomy,thebenefitsofelectrictransmissionfacility 86constructiontocustomers,andtheimportanceoftransmissionfacilityconstructionin 87ensuringreliableelectricserviceinthestateinthetwenty-firstcenturyandbeyond. 88 (6)Forthepurposesofthissubsection,thefollowingtermsshallmean: HB221 3 89 (a)"Electrictransmissionfacilities",atransmissionlinethatisdesignedand 90constructedwiththecapabilityofbeingsafelyandreliablyenergizedatonehundred 91kilovoltsormoreandassociatedtransmissionfacilities,includingsubstations; 92 (b)"Regionaltransmissionoperator",aregionaltransmissionorganization, 93independentsystemoperator,orequivalententityapprovedbytheFederalEnergy 94RegulatoryCommissionoritssuccessoragencythatexercisesfunctionalcontrolover 95electrictransmissionfacilitieslocatedwithinthisstate. 393.172.1.OnorbeforeMarch31,2025,thecommissionshalladoptrules 2creatingstandardsforconstructionactivitiesoccurringwhollyorpartiallyonprivately 3ownedagriculturallandthatareapplicabletoelectricalcorporationsconstructingan 4electrictransmissionlineundersubsection1ofsection393.170forwhichpermissionis 5soughtfromthecommissiononoraftertheeffectivedateofthissection. 6 2.Therulescreatedundersubsection1ofthissectionshalladdressthe 7following: 8 (1)Landownercommunicationexpectations; 9 (2)Transmissionstructureanddesignexpectations; 10 (3)Wet-weatherconstructionandremediationpractices; 11 (4)Agriculturalmitigationandrestorationpractices; 12 (5)Construction-relatedtreeandbrushclearing; 13 (6)Useandrestorationoffieldentrancesandtemporaryroads;and 14 (7)Bestpracticeswithrespecttoerosionprevention. 523.010.1.Incaseland,orotherproperty,issoughttobeappropriatedbyanyroad, 2railroad,streetrailway,telephone,telegraphoranyelectricalcorporationorganizedforthe 3manufactureortransmissionofelectriccurrentforlight,heatorpower,includingthe 4construction,whenthatisthecase,ofnecessarydamsandappurtenantcanals,flumes,tunnels 5andtailracesandincludingtheerection,whenthatisthecase,ofnecessaryelectricsteam 6powerhouses,hydroelectricpowerhousesandelectricsubstationsoranyoil,pipelineorgas 7corporationengagedinthebusinessoftransportingorcarryingoil,liquidfertilizersolutions, 8orgasbymeansofpipesorpipelineslaidunderneaththesurfaceoftheground,orother 9corporationcreatedunderthelawsofthisstateforpublicuse,andsuchcorporationandthe 10ownerscannotagreeuponthepropercompensationtobepaid,orinthecasetheowneris 11incapableofcontracting,beunknown,orbeanonresidentofthestate,suchcorporationmay 12applytothecircuitcourtofthecountyofthisstatewheresuchlandoranypartthereofliesby 13petitionsettingforththegeneraldirectionsinwhichitisdesiredtoconstructitsroad,railroad, 14streetrailway,telephone,ortelegraphlineorelectricline,including,whenthatisthecase,the 15constructionandmaintenanceofnecessarydamsandappurtenantcanals,tunnels,flumesand 16tailracesand,whenthatisthecase,theappropriationoflandsubmergedbytheconstruction HB221 4 17ofsuchdam,andincludingtheerectionandmaintenance,whenthatisthecase,ofnecessary 18electricsteampowerhouses,hydroelectricpowerhousesandelectricsubstations,oroil, 19pipeline,liquidfertilizersolutionpipeline,orgaslineoverorunderneaththesurfaceofsuch 20lands,adescriptionoftherealestate,orotherproperty,whichthecompanyseekstoacquire; 21thenamesoftheownersthereof,ifknown;orifunknown,apertinentdescriptionofthe 22propertywhoseownersareunknownandprayingtheappointmentofthreedisinterested 23residentsofthecounty,ascommissioners,orajury,toassessthedamageswhichsuchowners 24mayseverallysustaininconsequenceoftheestablishment,erectionandmaintenanceofsuch 25road,railroad,streetrailway,telephone,telegraphline,orelectricallineincludingdamages 26fromtheconstructionandmaintenanceofnecessarydamsandthecondemnationofland 27submergedthereby,andtheconstructionandmaintenanceofappurtenantcanals,flumes, 28tunnelsandtailracesandtheerectionandmaintenanceofnecessaryelectricsteam 29powerhouses,hydroelectricpowerhousesandelectricsubstations,oroil,pipeline,orgas 30lineoverorunderneaththesurfaceofsuchlands;towhichpetitiontheownersofanyorallas 31theplaintiffmayelectofsuchparcelsasliewithinthecountyorcircuitmaybemadeparties 32defendantbynamesifthenamesareknown,andbythedescriptionoftheunknownownersof 33thelandthereindescribediftheirnamesareunknown. 34 2.Iftheproceedingsseektoaffectthelandsofpersonsunderconservatorship,the 35conservatorsmustbemadepartiesdefendant.Ifthepresentownerofanylandtobeaffected 36haslessestatethanafee,thepersonhavingthenextvestedestateinremaindermayatthe 37optionofthepetitionersbemadepartydefendant;butifsuchremaindermenarenotmade 38parties,theirinterestshallnotbeboundbytheproceedings. 39 3.Itshallnotbenecessarytomakeanypersonspartydefendantsinrespecttotheir 40ownershipunlesstheyareeitherinactualpossessionofthepremisestobeaffectedclaiming 41titleorhavingatitleofthepremisesappearingofrecordupontheproperrecordsofthe 42county. 43 4.Exceptasprovidedinsubsection5ofthissection,nothinginthischaptershallbe 44construedtogiveapublicutility,asdefinedinsection386.020,oraruralelectriccooperative, 45asprovidedinchapter394,thepowertocondemnpropertywhichiscurrentlyusedbyanother 46providerofpublicutilityservice,includingamunicipalityoraspecialpurposedistrict,when 47suchpropertyisusedorusefulinprovidingutilityservices,ifthepublicutilityorcooperative 48seekingtocondemnsuchproperty,directlyorindirectly,willuseorproposestousethe 49propertyforthesamepurpose,orapurposesubstantiallysimilartothepurposeforwhichthe 50propertyisbeingusedbytheproviderofthepublicutilityservice. 51 5.Apublicutilityoraruralelectriccooperativemayonlycondemnthepropertyof 52anotherproviderofpublicutilityservice,evenifthepropertyisusedorusefulinproviding 53utilityservicesbysuchprovider,ifthecondemnationisnecessaryforthepublicpurposeof HB221 5 54acquiringanonexclusiveeasementorright-of-wayacrossthepropertyofsuchproviderand 55onlyiftheacquisitionwillnotmateriallyimpairorinterferewiththecurrentuseofsuch 56propertybytheutilityorcooperativeandwillnotpreventormateriallyimpairsuchprovider 57ofpublicutilityservicefromanyfutureexpansionofitsfacilitiesonsuchproperty. 58 6.Ifapublicutilityorruralelectriccooperativeseekstocondemnthepropertyof 59anotherproviderofpublicutilityservice,andtheconditionsinsubsection4ofthissectiondo 60notapply,thissectiondoesnotlimitthecondemnationpowersotherwisepossessedbysuch 61publicutilityorruralelectriccooperative. 62 7.Suitsininversecondemnationorinvolvingdangerousconditionsofpublic 63propertyagainstamunicipalcorporationestablishedunderArticleVI,Section30(a)ofthe 64MissouriConstitutionshallbebroughtonlyinthecountywheresuchlandoranypartthereof 65lies. 66 8.Forpurposesofthischapter,theauthorityforanelectricalcorporationasdefinedin 67section386.020,exceptforanelectricalcorporationoperatingunderacooperativebusiness 68planasdescribedinsection393.110,tocondemnpropertyforpurposesofconstructingan 69electricplantsubjecttoacertificateofpublicconvenienceandnecessityundersubsection1 70ofsection393.170shallnotextendtotheconstructionofamerchanttransmissionlinewith 71FederalEnergyRegulatoryCommissionnegotiatedrateauthorityunlesssuchlinehasa 72substationorconverterstationlocatedinMissouriwhichiscapableofdeliveringanamount 73ofitselectricalcapacitytoelectricalcustomersinthisstatethatisgreaterthanorequaltothe 74proportionatenumberofmilesofthelinethatpassesthroughthestate.Theprovisionsofthis 75subsectionshallnotapplytoapplicationsfiledpursuanttosection393.170priortoAugust28, 762022. 77 9.Forthepurposesofthischapter,theauthorityofanycorporationsetforthin 78subsection1ofthissectiontocondemnpropertyshallnotextendto: 79 (1)Theconstructionorerectionofanyplant,tower,panel,orfacilitythat 80utilizes,captures,orconvertswindoraircurrentstogenerateormanufacture 81electricity;or 82 (2)Theconstructionorerectionofanyplant,tower,panel,orfacilitythat 83utilizes,captures,orconvertsthelightorheatgeneratedbythesuntogenerateor 84manufactureelectricity. 85 10.Subjecttosubsection8ofthissection,butnotwithstandingsubsection9of 86thissection,theauthorityofanycorporationsetforthinsubsection1ofthissectionto 87condemnpropertyshallextendtoacquisitionrightsneededtoconstruct,operate,and 88maintaincollectionlines,distributionlines,transmissionlines,communicationslines, 89substations,switchyards,andotherfacilitiesneededtocollectanddeliverenergy HB221 6 90generatedormanufacturedbythefacilitiesdescribedinsubsection9ofthissectionto 91thedistributionortransmissiongrid. ✔ HB221 7