2025 - 2026 LEGISLATURE
LRB-2096/1
EHS:skw
2025 ASSEMBLY BILL 25
February 13, 2025 - Introduced by Representative PETERSEN, cosponsored by
Senator LEMAHIEU. Referred to Committee on Energy and Utilities.
***AUTHORS SUBJECT TO CHANGE***
AN ACT to repeal 196.485 (1) (cr), 196.485 (1) (ef) and 196.485 (3g); to create
196.485 (1) (cr), 196.485 (1) (ef) and 196.485 (3g) of the statutes; relating to:
an incumbent transmission facility owner[s right to construct, own, and
maintain certain transmission facilities and Public Service Commission
procedures if the transmission facility is a regionally cost-shared transmission
line.
Analysis by the Legislative Reference Bureau
This bill grants to an incumbent transmission facility owner the right to
construct, own, and maintain a transmission facility that has been approved for
construction in the Midcontinent Independent System Operator [s (MISO)
transmission plan and that connects to transmission facilities owned by that
incumbent transmission facility owner. Under the bill, an Xincumbent
transmission facility ownerY includes a transmission company or transmission
utility (a cooperative or public utility that owns a transmission facility and provides
transmission service in this state), regardless of whether this state is its principal
place of business or where it is organized or headquartered. Under current law,
MISO is an organization that is subject to the jurisdiction of the Federal Energy
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Regulatory Commission and that coordinates and controls electric transmission in
a region of the country that includes this state. The bill provides that the right to
construct, own, and maintain a transmission facility that connects to transmission
facilities owned by two or more incumbent transmission facility owners belongs
individually and proportionally to each incumbent transmission facility owner,
unless otherwise agreed upon in writing.
Under the bill, if under MISO[s transmission plan a regionally cost-shared
transmission line has been approved for construction and connection to facilities
owned by an incumbent transmission facility owner, the incumbent transmission
facility owner must give the Public Service Commission written notice regarding
the owner[s intent to construct, own, and maintain the line no later than 90 days
after approval of the transmission plan or 90 days after the date on which this bill
becomes law, whichever is later. If the owner indicates that it does not intent to
construct the line, the bill requires it to fully explain that decision in the notice to
PSC. In that case, the bill allows PSC to determine whether the incumbent
transmission facility owner or another entity must construct the line, taking into
consideration issues such as cost, efficiency, and reliability. The bill defines
Xregionally cost-shared transmission lineY to mean a high-voltage transmission line
that is eligible for regional cost sharing and is not subject to a right of first refusal in
accordance with the MISO tariff.
The bill requires an incumbent transmission facility owner with the right to
construct a MISO-approved regionally cost-shared transmission line to include in
any application for a certificate of public convenience and necessity an estimate of
the cost of construction, along with documentation that the estimate is the result of
competitively bid engineering, procurement, and construction contracts. The bill
also requires such an incumbent transmission facility owner to provide to PSC until
construction is complete quarterly reports that include updated estimates of the
construction cost and an explanation of any changes from prior cost estimates.
The bill requires an incumbent transmission facility owner with the right to
construct a MISO-approved regionally cost-shared transmission line to, as soon as
practicable after the information is available, submit a report to PSC, the assembly
speaker, the assembly minority leader, the senate majority leader, the senate
minority leader, and the governor detailing the amount of the costs of the
transmission line project that are being charged to energy consumers outside this
state.
The bill sunsets the rights and responsibilities created under the bill after 10
years.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
SECTION 1. 196.485 (1) (cr) of the statutes is created to read:
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SECTION 1
196.485 (1) (cr) XIncumbent transmission facility ownerY includes a
transmission company or transmission utility, regardless of whether this state is its
principal place of business or where it is organized or headquartered.
SECTION 2. 196.485 (1) (cr) of the statutes, as created by 2025 Wisconsin Act
.... (this act), is repealed.
SECTION 3. 196.485 (1) (ef) of the statutes is created to read:
196.485 (1) (ef) XRegionally cost-shared transmission lineY means a high-
voltage transmission line that is eligible, in whole or in part, for regional cost
sharing and is not subject to a right of first refusal in accordance with the tariff of
the Midwest independent system operator.
SECTION 4. 196.485 (1) (ef) of the statutes, as created by 2025 Wisconsin Act
.... (this act), is repealed.
SECTION 5. 196.485 (3g) of the statutes is created to read:
196.485 (3g) INCUMBENT TRANSMISSION FACILITY OWNER RIGHTS. (a) Rights.
Subject to the approval of the commission under s. 196.491 (3), an incumbent
transmission facility owner has the right to construct, own, and maintain a
transmission facility that has been approved for construction in the Midwest
independent system operator[s transmission plan and that connects to
transmission facilities owned by that incumbent transmission facility owner. The
right to construct, own, and maintain a transmission facility that connects to
transmission facilities owned by 2 or more incumbent transmission facility owners
belongs individually and proportionally to each incumbent transmission facility
owner, unless otherwise agreed upon in writing.
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SECTION 5
(b) Commission procedure. 1. If, in the Midwest independent system
operator[s transmission plan, a regionally cost-shared transmission line has been
approved for construction and connection to facilities owned by an incumbent
transmission facility owner, the incumbent transmission facility owner shall give
written notice to the commission regarding the owner[s intent to construct, own,
and maintain the regionally cost-shared transmission line no later than 90 days
after approval of the transmission plan or 90 days after the effective date of this
subdivision .... [LRB inserts date], whichever is later.
2. If an incumbent transmission facility owner indicates in its notice to the
commission under subd. 1. that it does not intend to construct the regionally cost-
shared transmission line, it shall in the notice fully explain the basis for that
decision. In that case, the commission may determine whether the incumbent
transmission facility owner or another entity is required to construct the regionally
cost-shared transmission line, taking into consideration issues such as cost,
efficiency, reliability, and other factors identified in this chapter.
(c) Cost control, requirement of competition, and cost allocation. With respect
to a regionally cost-shared transmission line approved by the Midwest independent
system operator, an incumbent transmission facility owner with the right to
construct the transmission line shall do all of the following:
1. In any application filed pursuant to s. 196.491 (3), provide to the
commission an estimate of the cost to construct the regionally cost-shared
transmission line and documentation showing that this cost is the result of
competitively bid engineering, procurement, and construction contracts.
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SECTION 5
2. Until construction of the regionally cost-shared transmission line is
complete, provide to the commission a quarterly report that includes an updated
estimate of the cost to construct the regionally cost-shared transmission line and an
explanation of changes from prior cost estimates provided under this subdivision or
subd. 1.
3. As soon as practicable after the information is available, submit a report to
the commission, the assembly speaker, the assembly minority leader, the senate
majority leader, the senate minority leader, and the governor detailing the amount
of the costs of the regionally cost-shared transmission line project that are being
charged to energy consumers outside this state.
SECTION 6. 196.485 (3g) of the statutes, as created by 2025 Wisconsin Act ....
(this act), is repealed.
SECTION 7. Effective dates. This act takes effect on the day after
publication, except as follows:
(1) The repeal of ss. 196.485 (1) (cr) and (ef) and (3g) takes effect on the first
day of the 10th year beginning after publication.
(END)
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