Req. No. 10418 Page 1 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
STATE OF OKLAHOMA
2nd Session of the 59th Legislature (2024)
COMMITTEE SUBSTITUTE
FOR
HOUSE BILL NO. 4097 By: Caldwell (Trey)
COMMITTEE SUBSTITUTE
An Act relating to public utilities; amending 17 O.S.
2021, Section 291, which relates to definitions;
modifying definition; amending 17 O.S. 2021, Section
292, which relates to rights of electric tran smission
owners; adding description of certain electric
transmission facility; authorizing certain rights to
incumbent electric transmission owners for certain
facilities; requiring solicitation of competitive
bids for construction of certain facilit ies;
requiring certain request for proposal and bid
evaluation to be overse en by appointed independent
evaluator; authorizing incumbent electric
transmission owner to submit certain bid; amending 17
O.S. 2021, Section 293, which relates to local
electric transmission facility ; requiring certain
notice of intent; and providing an effective date.
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
SECTION 1. AMENDATORY 17 O.S. 2021, Section 291, is -
amended to read as follows:
Section 291. As used in this act:
1. "Commission" means the Corporation Commission;
2. "Incumbent electric transmission owner " means any Oklahoma
electric public utility, as recognized by the Commission, or its
Req. No. 10418 Page 2 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
affiliates, or subsidiaries or a ny electric cooperative, any
municipal power agency or any municipal utility t hat owns, operates
and maintains an electric transmission fac ility in this state or any
public utility, as recognized by the Commission, that is engaged in
the development of an electric transmission facility in the state as
of the effective date of this a ct;
3. "Local electric transmission facility" means a high-voltage
transmission line or high-voltage associated transmission facilities
with a rating of greater than sixty -nine (69) kilovolts and less
than three hundred (300) kilovolts ; and
4. "Southwest Power Pool" means the Southwest Pow er Pool or any
federally recognized successor entity.
SECTION 2. AMENDATORY 17 O.S. 2021, Section 292, is
amended to read as follows:
Section 292. A. An For any local electric transmission
facility with a rating greater than sixty -nine (69) kilovolts an d
less than three hundred (300) kilovolts, an incumbent electric
transmission owner has the right to construct, own and main tain a
local electric transmission any such facility that has been appr oved
for construction in a Southwest Power Pool transmissio n plan and
will interconnect to facilities owned by that incumbent electric
transmission owner. An incumbent electric transmi ssion owner has
the right to construct, own and maintain:
Req. No. 10418 Page 3 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1. A new local electric transmission facility that connects to
electric transmission facilities owned by the incumbent; and
2. Upgrades to the existing local electric transmission
facilities of the incumbent.
B. For any local electric transmi ssion facility with a ra ting
greater three hundred (300) kilovolts with a need date w ithin three
(3) years, as determined by the Southwest Power Pool, an incumbent
electric transmission owner has the right to cons truct, own, and
maintain any such facility that has been approved for construction
in a Southwest Power Pool transmission plan a nd will interconnect to
facilities owned by that incumbent electric transmission owner. An
incumbent electric transmission owner has the right to construct,
own, and maintain:
1. A new local electric transmission facility that connects to
electric transmission facilities owned by the incumbent; and
2. Upgrades to the existing local electric transmission
facilities of the incumbent.
C. For any local electric transmission facility with a rating
greater three hundred (300) kilovolts with a need date greate r than
three (3) years, as determined by the Southwest Power Pool, an
incumbent electric transmission owner has the right to own and
maintain any such facility that has been approved fo r construction
in a Southwest Power Pool transmission plan and will int erconnect to
facilities owned by that incumbent electric transmission owner , if
Req. No. 10418 Page 4 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
the incumbent electric transmission owner issues a requ est for
proposal which solicits competitive bids for constru ction of the
facility. The request for proposal and associat ed bid evaluation
and selection shall be overseen by an independent evaluator
appointed by the Oklahoma Corporation Commission. Nothing herein
shall prohibit an incumbent electric transmission o wner from
submitting its own bid to construct such a facility . An incumbent
electric transmission owner has the right to own and maintain:
1. A new local electric transmission facility that connects to
electric transmission facilities owned by the incumb ent; and
2. Upgrades to the existing local electric transmis sion
facilities of the incumbent.
D. The right to construct, own and maintain a local electric
transmission facility that will interconnect to facilities owned by
two or more incumbent electric transmission owners belongs
individually and equally to each incumbent electric transmission
owner, unless otherwise agreed upon in writing by the incumbent
electric transmission owners.
C. E. Nothing in this section is intended to affect an
incumbent electric transmission owner’s use and control of its
existing property rights including the incumbent electric
transmission owner’s ability to assign its rights to construct, own
and maintain a local elect ric transmission facility described in
subsection A of this section. The retention, modification or
Req. No. 10418 Page 5 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
transfer of existing property rights of an incumbent electric
transmission owner and the rights described in subsection A of this
section shall remain subj ect to the relevant state law or regulation
recognizing the property right.
SECTION 3. AMENDATORY 17 O.S. 2021, Section 293, is
amended to read as follows:
Section 293. A. If the Southwest Power Pool has approved a
local electric transmission facility in a Southwest Power Pool
transmission plan and has formally directed the incumbent electri c
transmission owner or owners, if there is more than one owner, to
construct, own and maintain the local electric transmission
facility, the incumbent electric transmission owner or owners shall
give notice to the Southwest Power Pool, in writing, within ninety
(90) days of receipt of the direction to construct by the Southwest
Power Pool, regarding its intent to construct, own and maintain the
local electric transmission facility pursuant to subsection A or B
of Section 292 of this title or its intent to own and maintain the
local electric transmission facility pursuant to subsection C of
Section 292 of this title. If notice is not provided, the incumbent
electric transmission owner shall surren der its right to construc t,
own and maintain the local electr ic transmission facility.
B. If an incumbent electric transmission owner or owners give
notice of intent not to construct the local electric transmission
facility or fail to provide notice as re quired in subsection A of
Req. No. 10418 Page 6 1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
this section, then the Southwest Po wer Pool may determine whether
the incumbent electric transmission owner or owners or other entity
will construct, own and maintain the local electric transmission
facility.
C. Nothing in this s ection is intended to lim it the ability of
any person to notify the Southwest Power Pool that it believes an
incumbent electric transmission owner with the right to construct,
own and maintain a local electric transmission facility originally
approved by the Southwest Power Pool h as failed to exercise its
right to construct, own and maintain the local electric transmission
facility within a reasonable period of time and request that the
Southwest Power Pool rescind the right to construct, own and
maintain the local electric transmi ssion facility and assign the
rights to another incumbent electric transmission owner.
SECTION 4. This act shall become effective November 1, 2024.
59-2-10418 JBH 02/22/24