1 | 1 | | 2025 - 2026 LEGISLATURE |
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2 | 2 | | LRB-2096/1 |
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3 | 3 | | EHS:skw |
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4 | 4 | | 2025 ASSEMBLY BILL 25 |
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5 | 5 | | February 13, 2025 - Introduced by Representative PETERSEN, cosponsored by |
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6 | 6 | | Senator LEMAHIEU. Referred to Committee on Energy and Utilities. |
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7 | 7 | | |
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8 | 8 | | ***AUTHORS SUBJECT TO CHANGE*** |
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9 | 9 | | AN ACT to repeal 196.485 (1) (cr), 196.485 (1) (ef) and 196.485 (3g); to create |
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10 | 10 | | 196.485 (1) (cr), 196.485 (1) (ef) and 196.485 (3g) of the statutes; relating to: |
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11 | 11 | | an incumbent transmission facility owner[s right to construct, own, and |
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12 | 12 | | maintain certain transmission facilities and Public Service Commission |
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13 | 13 | | procedures if the transmission facility is a regionally cost-shared transmission |
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14 | 14 | | line. |
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15 | 15 | | Analysis by the Legislative Reference Bureau |
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16 | 16 | | This bill grants to an incumbent transmission facility owner the right to |
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17 | 17 | | construct, own, and maintain a transmission facility that has been approved for |
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18 | 18 | | construction in the Midcontinent Independent System Operator [s (MISO) |
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19 | 19 | | transmission plan and that connects to transmission facilities owned by that |
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20 | 20 | | incumbent transmission facility owner. Under the bill, an Xincumbent |
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21 | 21 | | transmission facility ownerY includes a transmission company or transmission |
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22 | 22 | | utility (a cooperative or public utility that owns a transmission facility and provides |
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23 | 23 | | transmission service in this state), regardless of whether this state is its principal |
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24 | 24 | | place of business or where it is organized or headquartered. Under current law, |
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25 | 25 | | MISO is an organization that is subject to the jurisdiction of the Federal Energy |
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31 | 31 | | 6 2025 - 2026 Legislature |
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32 | 32 | | ASSEMBLY BILL 25 |
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33 | 33 | | - 2 - LRB-2096/1 |
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34 | 34 | | EHS:skw |
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35 | 35 | | Regulatory Commission and that coordinates and controls electric transmission in |
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36 | 36 | | a region of the country that includes this state. The bill provides that the right to |
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37 | 37 | | construct, own, and maintain a transmission facility that connects to transmission |
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38 | 38 | | facilities owned by two or more incumbent transmission facility owners belongs |
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39 | 39 | | individually and proportionally to each incumbent transmission facility owner, |
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40 | 40 | | unless otherwise agreed upon in writing. |
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41 | 41 | | Under the bill, if under MISO[s transmission plan a regionally cost-shared |
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42 | 42 | | transmission line has been approved for construction and connection to facilities |
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43 | 43 | | owned by an incumbent transmission facility owner, the incumbent transmission |
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44 | 44 | | facility owner must give the Public Service Commission written notice regarding |
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45 | 45 | | the owner[s intent to construct, own, and maintain the line no later than 90 days |
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46 | 46 | | after approval of the transmission plan or 90 days after the date on which this bill |
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47 | 47 | | becomes law, whichever is later. If the owner indicates that it does not intent to |
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48 | 48 | | construct the line, the bill requires it to fully explain that decision in the notice to |
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49 | 49 | | PSC. In that case, the bill allows PSC to determine whether the incumbent |
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50 | 50 | | transmission facility owner or another entity must construct the line, taking into |
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51 | 51 | | consideration issues such as cost, efficiency, and reliability. The bill defines |
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52 | 52 | | Xregionally cost-shared transmission lineY to mean a high-voltage transmission line |
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53 | 53 | | that is eligible for regional cost sharing and is not subject to a right of first refusal in |
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54 | 54 | | accordance with the MISO tariff. |
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55 | 55 | | The bill requires an incumbent transmission facility owner with the right to |
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56 | 56 | | construct a MISO-approved regionally cost-shared transmission line to include in |
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57 | 57 | | any application for a certificate of public convenience and necessity an estimate of |
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58 | 58 | | the cost of construction, along with documentation that the estimate is the result of |
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59 | 59 | | competitively bid engineering, procurement, and construction contracts. The bill |
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60 | 60 | | also requires such an incumbent transmission facility owner to provide to PSC until |
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61 | 61 | | construction is complete quarterly reports that include updated estimates of the |
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62 | 62 | | construction cost and an explanation of any changes from prior cost estimates. |
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63 | 63 | | The bill requires an incumbent transmission facility owner with the right to |
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64 | 64 | | construct a MISO-approved regionally cost-shared transmission line to, as soon as |
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65 | 65 | | practicable after the information is available, submit a report to PSC, the assembly |
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66 | 66 | | speaker, the assembly minority leader, the senate majority leader, the senate |
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67 | 67 | | minority leader, and the governor detailing the amount of the costs of the |
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68 | 68 | | transmission line project that are being charged to energy consumers outside this |
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69 | 69 | | state. |
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70 | 70 | | The bill sunsets the rights and responsibilities created under the bill after 10 |
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71 | 71 | | years. |
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72 | 72 | | The people of the state of Wisconsin, represented in senate and assembly, do |
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73 | 73 | | enact as follows: |
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74 | 74 | | SECTION 1. 196.485 (1) (cr) of the statutes is created to read: |
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75 | 75 | | 1 2025 - 2026 Legislature |
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76 | 76 | | ASSEMBLY BILL 25 |
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77 | 77 | | - 3 - LRB-2096/1 |
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78 | 78 | | EHS:skw |
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79 | 79 | | SECTION 1 |
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80 | 80 | | 196.485 (1) (cr) XIncumbent transmission facility ownerY includes a |
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81 | 81 | | transmission company or transmission utility, regardless of whether this state is its |
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82 | 82 | | principal place of business or where it is organized or headquartered. |
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83 | 83 | | SECTION 2. 196.485 (1) (cr) of the statutes, as created by 2025 Wisconsin Act |
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84 | 84 | | .... (this act), is repealed. |
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85 | 85 | | SECTION 3. 196.485 (1) (ef) of the statutes is created to read: |
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86 | 86 | | 196.485 (1) (ef) XRegionally cost-shared transmission lineY means a high- |
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87 | 87 | | voltage transmission line that is eligible, in whole or in part, for regional cost |
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88 | 88 | | sharing and is not subject to a right of first refusal in accordance with the tariff of |
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89 | 89 | | the Midwest independent system operator. |
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90 | 90 | | SECTION 4. 196.485 (1) (ef) of the statutes, as created by 2025 Wisconsin Act |
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91 | 91 | | .... (this act), is repealed. |
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92 | 92 | | SECTION 5. 196.485 (3g) of the statutes is created to read: |
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93 | 93 | | 196.485 (3g) INCUMBENT TRANSMISSION FACILITY OWNER RIGHTS. (a) Rights. |
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94 | 94 | | Subject to the approval of the commission under s. 196.491 (3), an incumbent |
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95 | 95 | | transmission facility owner has the right to construct, own, and maintain a |
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96 | 96 | | transmission facility that has been approved for construction in the Midwest |
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97 | 97 | | independent system operator[s transmission plan and that connects to |
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98 | 98 | | transmission facilities owned by that incumbent transmission facility owner. The |
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99 | 99 | | right to construct, own, and maintain a transmission facility that connects to |
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100 | 100 | | transmission facilities owned by 2 or more incumbent transmission facility owners |
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101 | 101 | | belongs individually and proportionally to each incumbent transmission facility |
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102 | 102 | | owner, unless otherwise agreed upon in writing. |
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125 | 125 | | 23 2025 - 2026 Legislature |
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126 | 126 | | ASSEMBLY BILL 25 |
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127 | 127 | | - 4 - LRB-2096/1 |
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128 | 128 | | EHS:skw |
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129 | 129 | | SECTION 5 |
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130 | 130 | | (b) Commission procedure. 1. If, in the Midwest independent system |
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131 | 131 | | operator[s transmission plan, a regionally cost-shared transmission line has been |
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132 | 132 | | approved for construction and connection to facilities owned by an incumbent |
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133 | 133 | | transmission facility owner, the incumbent transmission facility owner shall give |
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134 | 134 | | written notice to the commission regarding the owner[s intent to construct, own, |
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135 | 135 | | and maintain the regionally cost-shared transmission line no later than 90 days |
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136 | 136 | | after approval of the transmission plan or 90 days after the effective date of this |
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137 | 137 | | subdivision .... [LRB inserts date], whichever is later. |
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138 | 138 | | 2. If an incumbent transmission facility owner indicates in its notice to the |
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139 | 139 | | commission under subd. 1. that it does not intend to construct the regionally cost- |
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140 | 140 | | shared transmission line, it shall in the notice fully explain the basis for that |
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141 | 141 | | decision. In that case, the commission may determine whether the incumbent |
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142 | 142 | | transmission facility owner or another entity is required to construct the regionally |
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143 | 143 | | cost-shared transmission line, taking into consideration issues such as cost, |
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144 | 144 | | efficiency, reliability, and other factors identified in this chapter. |
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145 | 145 | | (c) Cost control, requirement of competition, and cost allocation. With respect |
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146 | 146 | | to a regionally cost-shared transmission line approved by the Midwest independent |
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147 | 147 | | system operator, an incumbent transmission facility owner with the right to |
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148 | 148 | | construct the transmission line shall do all of the following: |
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149 | 149 | | 1. In any application filed pursuant to s. 196.491 (3), provide to the |
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150 | 150 | | commission an estimate of the cost to construct the regionally cost-shared |
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151 | 151 | | transmission line and documentation showing that this cost is the result of |
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152 | 152 | | competitively bid engineering, procurement, and construction contracts. |
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175 | 175 | | 23 2025 - 2026 Legislature |
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176 | 176 | | ASSEMBLY BILL 25 |
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177 | 177 | | - 5 - LRB-2096/1 |
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178 | 178 | | EHS:skw |
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179 | 179 | | SECTION 5 |
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180 | 180 | | 2. Until construction of the regionally cost-shared transmission line is |
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181 | 181 | | complete, provide to the commission a quarterly report that includes an updated |
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182 | 182 | | estimate of the cost to construct the regionally cost-shared transmission line and an |
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183 | 183 | | explanation of changes from prior cost estimates provided under this subdivision or |
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184 | 184 | | subd. 1. |
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185 | 185 | | 3. As soon as practicable after the information is available, submit a report to |
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186 | 186 | | the commission, the assembly speaker, the assembly minority leader, the senate |
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187 | 187 | | majority leader, the senate minority leader, and the governor detailing the amount |
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188 | 188 | | of the costs of the regionally cost-shared transmission line project that are being |
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189 | 189 | | charged to energy consumers outside this state. |
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190 | 190 | | SECTION 6. 196.485 (3g) of the statutes, as created by 2025 Wisconsin Act .... |
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191 | 191 | | (this act), is repealed. |
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192 | 192 | | SECTION 7. Effective dates. This act takes effect on the day after |
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193 | 193 | | publication, except as follows: |
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194 | 194 | | (1) The repeal of ss. 196.485 (1) (cr) and (ef) and (3g) takes effect on the first |
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195 | 195 | | day of the 10th year beginning after publication. |
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196 | 196 | | (END) |
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