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Text: HF00302                           Text: HF00304
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House File 303

Partial Bill History

Bill Text

PAG LIN
  1  1    Section 1.  Section 6B.42, subsection 1, Code 1995, is
  1  2 amended to read as follows:
  1  3    1.  A utility or railroad subject to section 327C.2,
  1  4 chapter 479, or chapter or chapters 476, 478, 479, and 479B,
  1  5 authorized by law to acquire property by condemnation, which
  1  6 acquires the property of a person or displaces a person for a
  1  7 program or project which has received or will receive federal
  1  8 financial assistance as defined in section 316.1, shall
  1  9 provide to the person in addition to any other sums of money
  1 10 in payment of just compensation, the payments and assistance
  1 11 required by law, in accordance with chapter 316.
  1 12    Sec. 2.  Section 306A.3, Code 1995, is amended to read as
  1 13 follows:
  1 14    306A.3  AUTHORITY TO ESTABLISH CONTROLLED-ACCESS FACILITIES
  1 15 &endash; UTILITY ACCOMMODATION POLICY.
  1 16    Cities and highway authorities having jurisdiction and
  1 17 control over the highways of the state, as provided by chapter
  1 18 306, acting alone or in co-operation with each other or with
  1 19 any federal, state, or local agency or any other state having
  1 20 authority to participate in the construction and maintenance
  1 21 of highways, are hereby authorized to plan, designate,
  1 22 establish, regulate, vacate, alter, improve, maintain, and
  1 23 provide controlled-access facilities for public use wherever
  1 24 such authority or authorities are of the opinion that if
  1 25 traffic conditions, present or future, will justify such
  1 26 special facilities; provided, that within cities a city such
  1 27 authority shall be subject to such municipal consent as may be
  1 28 provided by law.  Said cities and highway authorities, in In
  1 29 addition to the specific powers granted in this chapter,
  1 30 cities and highway authorities shall also have and may
  1 31 exercise, relative to controlled-access facilities, any and
  1 32 all additional authority now or hereafter vested in them
  1 33 relative to highways or streets within their respective
  1 34 jurisdictions.  Said cities Cities and highway authorities may
  1 35 regulate, restrict, or prohibit the use of such controlled-
  2  1 access facilities by the various classes of vehicles or
  2  2 traffic in a manner consistent with section 306A.2.
  2  3    The department shall adopt rules, pursuant to chapter 17A,
  2  4 embodying a utility accommodation policy which imposes
  2  5 reasonable restrictions on placements occurring on or after
  2  6 the effective date of the rules, on primary road rights-of-
  2  7 way.  The rules may require utilities to give notice to the
  2  8 department prior to installation of a utility system on a
  2  9 primary road right-of-way and obtain prior permission from the
  2 10 department for the proposed installation.  The rules shall
  2 11 recognize emergency situations and the need for immediate
  2 12 installation of service extensions subject to the standards
  2 13 adopted by the department and the utilities board.  The rules
  2 14 shall be no less stringent than the standards adopted by the
  2 15 utilities board pursuant to chapters 478, 479, and 479A, and
  2 16 479B.  This paragraph shall not be construed as granting the
  2 17 department authority which has been expressly granted to the
  2 18 utilities board to determine the route of utility
  2 19 installations.  If the department requires a utility company
  2 20 permit, the department shall be required to act upon the
  2 21 permit application within thirty days of its filing.  In cases
  2 22 of federal-aid highway projects on nonprimary highways, the
  2 23 local authority with jurisdiction over the highway and the
  2 24 department shall comply with all federal regulations and
  2 25 statutes regarding utility accommodation.
  2 26    Sec. 3.  Section 474.1, unnumbered paragraph 3, Code 1995,
  2 27 is amended to read as follows:
  2 28    As used in this chapter and chapters 475A, 476, 476A, 478,
  2 29 479, and 479A, and 479B, "division" and "utilities division"
  2 30 mean the utilities division of the department of commerce.
  2 31    Sec. 4.  Section 474.9, Code 1995, is amended to read as
  2 32 follows:
  2 33    474.9  GENERAL JURISDICTION OF UTILITIES BOARD.
  2 34    The utilities board has general supervision of all
  2 35 pipelines and all lines for the transmission, sale, and
  3  1 distribution of electrical current for light, heat, and power
  3  2 pursuant to chapters 476, 476A, 478, 479, and 479A, and 479B
  3  3 and has other duties as provided by law.
  3  4    Sec. 5.  Section 479.1, Code 1995, is amended to read as
  3  5 follows:
  3  6    479.1  PURPOSE.
  3  7    It is the purpose of the legislature general assembly in
  3  8 enacting this law to confer upon the utilities board the power
  3  9 and authority to supervise the transportation or transmission
  3 10 of any solid, liquid, or gaseous substance, except water,
  3 11 within or through this state by pipeline, whether specifically
  3 12 mentioned in this chapter or not, and the power and authority
  3 13 to supervise the underground storage of gas, to protect the
  3 14 safety and welfare of the public in its use of public or
  3 15 private highways, grounds, waters, and streams of any kind in
  3 16 this state.  However, this chapter does not apply to
  3 17 interstate natural gas or hazardous liquid pipelines, pipeline
  3 18 companies, and underground storage, as these terms are defined
  3 19 in chapter chapters 479A and 479B.
  3 20    Sec. 6.  Section 479.2, Code 1995, is amended to read as
  3 21 follows:
  3 22    479.2  DEFINITIONS.
  3 23    As used in this chapter:
  3 24    1.  "Board" means the utilities board within the utilities
  3 25 division of the department of commerce.
  3 26    2.  "Pipeline" as used in this chapter means a pipe, pipes,
  3 27 or pipelines used for the transportation or transmission of a
  3 28 solid, liquid, or gaseous substance, except water, within or
  3 29 through this state.  However, the term does not include
  3 30 interstate pipe, pipes, or pipelines used for the
  3 31 transportation or transmission of natural gas or hazardous
  3 32 liquids.
  3 33    3.  "Pipeline company" as used in this chapter means a
  3 34 person engaged in or organized for the purpose of owning,
  3 35 operating, or controlling pipelines for the transportation or
  4  1 transmission of any solid, liquid, or gaseous substance,
  4  2 except water, within or through this state.  However, the term
  4  3 does not include a person owning, operating, or controlling
  4  4 interstate pipelines for the transportation or transmission of
  4  5 natural gas or hazardous liquids.
  4  6    The term "board" when used in this chapter means the
  4  7 utilities board within the utilities division of the
  4  8 department of commerce.
  4  9    4.  The term "underground "Underground storage" insofar as
  4 10 this chapter is concerned shall include and mean means storage
  4 11 of gas in a subsurface stratum or formation of the earth.
  4 12    Sec. 7.  Section 479.5, Code 1995, is amended to read as
  4 13 follows:
  4 14    479.5  APPLICATION FOR PERMIT.
  4 15    Any A pipeline company engaging in its said doing business
  4 16 in this state shall file with the board its verified petition
  4 17 asking for a permit to construct, maintain and operate its
  4 18 pipeline or lines along, over or across the public or private
  4 19 highways, grounds, waters and streams of any kind of this
  4 20 state.  Any pipeline company now owning or operating a
  4 21 pipeline in this state shall be issued a permit by the board
  4 22 upon supplying the information as provided for in section
  4 23 479.6.
  4 24    Any A pipeline company engaging in its said doing business
  4 25 in this state and proposing to engage in underground storage
  4 26 of gas within this state shall file with the board its
  4 27 verified petition asking for a permit to construct, maintain
  4 28 and operate facilities for the underground storage of gas to
  4 29 include the construction, placement, maintenance and operation
  4 30 of machinery, appliances, fixtures, wells, pipelines, and
  4 31 stations necessary for the construction, maintenance and
  4 32 operation of such the gas underground storage facilities.
  4 33    As conditions precedent to the filing of a petition with
  4 34 the board requesting a permit, and not less than thirty days
  4 35 prior to the filing of such petition, the person, company, or
  5  1 corporation A pipeline company shall hold informational
  5  2 meetings in each county in which real property or property
  5  3 rights therein will be affected at least thirty days prior to
  5  4 filing the petition for a new pipeline.  A member of the
  5  5 board, the counsel of the board, or a hearing examiner or a
  5  6 person designated by the board shall serve as the presiding
  5  7 officer at each meeting and present an agenda for such the
  5  8 meeting which shall include a summary of the legal rights of
  5  9 the affected landowners.  No formal record of the meeting
  5 10 shall be required.
  5 11    The meeting shall be held at a location reasonably
  5 12 accessible to all persons, companies, or corporations which
  5 13 may be affected by the granting of the permit.
  5 14    The person pipeline company seeking the permit for a new
  5 15 pipeline shall give notice of the informational meeting to
  5 16 each person determined to be a landowner affected by the
  5 17 proposed project and each person in possession of or residing
  5 18 on the property.  For the purposes of the informational
  5 19 meeting, "landowner" means a person listed on the tax
  5 20 assessment rolls as responsible for the payment of real estate
  5 21 taxes imposed on the property and "pipeline" means a line
  5 22 transporting a solid, liquid, or gaseous substance, except
  5 23 water, under pressure in excess of one hundred fifty pounds
  5 24 per square inch and extending a distance of not less than five
  5 25 miles or having a future anticipated extension of an overall
  5 26 distance of five miles.
  5 27    The notice shall set forth the name of the applicant; the
  5 28 applicant's principal place of business; the general
  5 29 description and purpose of the proposed project; the general
  5 30 nature of the right of way desired; a map showing the route of
  5 31 the proposed project; that the landowner has a right to be
  5 32 present at such meeting and to file objections with the board;
  5 33 and a designation of the time and place of the meeting; and
  5 34 shall be served by certified mail with return requested not
  5 35 less than thirty days previous to the time set for the
  6  1 meeting; and shall be published once in a newspaper of general
  6  2 circulation in the county.  Such The publication shall be
  6  3 considered notice to landowners whose residence is not known
  6  4 and to each person in possession of or residing on the
  6  5 property provided a good faith effort to notify can be
  6  6 demonstrated by the pipeline company.
  6  7    No person, company, or corporation A pipeline company
  6  8 seeking rights under this chapter shall not negotiate or
  6  9 purchase any easements or other interests in land in any
  6 10 county known to be affected by the proposed project prior to
  6 11 the informational meeting.
  6 12    Sec. 8.  Section 479.23, Code 1995, is amended to read as
  6 13 follows:
  6 14    479.23  EXTENSION OF PERMIT.
  6 15    Any A pipeline company owning a permit granted under this
  6 16 chapter desiring to acquire an extension of such permit may
  6 17 petition the board in the same manner provided for the
  6 18 granting of such permit and the same proceeding shall be had
  6 19 as on an original application for the extension of a permit
  6 20 granted under this chapter by filing a petition containing the
  6 21 information required by section 479.6, subsections 1 through
  6 22 4, 6, and 7, and section 479.26.
  6 23    Sec. 9.  Section 479.24, Code 1995, is amended to read as
  6 24 follows:
  6 25    479.24  EMINENT DOMAIN.
  6 26    Any A pipeline company having secured a granted a pipeline
  6 27 permit for pipelines as in under this chapter provided shall
  6 28 thereupon be vested with the right of eminent domain to such
  6 29 the extent as may be necessary and as prescribed and approved
  6 30 by said the board, not exceeding seventy-five feet in width
  6 31 for right of way and not exceeding one acre in any one
  6 32 location in addition to right of way for the location of
  6 33 pumps, pressure apparatus, or other stations or equipment
  6 34 necessary to the proper operation of its said pipeline or
  6 35 lines.  The board may grant additional eminent domain rights
  7  1 where the pipeline company has presented sufficient evidence
  7  2 to adequately demonstrate that a greater area is required for
  7  3 the proper construction, operation, and maintenance of the
  7  4 pipeline or for the location of pumps, pressure apparatus, or
  7  5 other stations or equipment necessary to the proper operation
  7  6 of its pipeline.
  7  7    Any A pipeline company having secured a permit for
  7  8 underground storage of gas as in this chapter provided shall
  7  9 be vested with the right of eminent domain to such the extent
  7 10 as may be necessary and as prescribed and approved by said the
  7 11 board in order to appropriate for its use for the underground
  7 12 storage of gas any subsurface stratum or formation in any land
  7 13 which the board shall have found to be suitable and in the
  7 14 public interest for the underground storage of gas, and in
  7 15 connection therewith may appropriate such other interests in
  7 16 property, as may be required to adequately to examine,
  7 17 prepare, maintain, and operate such the underground gas
  7 18 storage facilities.  The right of appropriation hereby granted
  7 19 shall be without prejudice to the rights of the owner of said
  7 20 lands or of other rights or interests therein to drill or bore
  7 21 through the underground stratum or formation so appropriated
  7 22 in such manner as shall comply with orders, rules of the board
  7 23 issued for the purpose of protecting underground storage
  7 24 strata or formations against pollution and against the escape
  7 25 of gas therefrom and shall be without prejudice to the rights
  7 26 of the owner of said lands or other rights or interest therein
  7 27 as to all other uses thereof.
  7 28    If agreement cannot be made with the private owner of lands
  7 29 as to damages caused by the construction of said pipeline or
  7 30 gas storage facilities, the same proceedings shall be taken as
  7 31 provided for taking private property for works of internal
  7 32 improvement.
  7 33    Nothing in this This chapter shall does not authorize the
  7 34 construction of a pipeline longitudinally on, over or under
  7 35 any railroad right of way or public highway, or at other than
  8  1 an approximate right angle to such a railroad track or public
  8  2 highway without the consent of such the railroad company, the
  8  3 state department of transportation, or the county board of
  8  4 supervisors, as the case may be, nor shall any provision of
  8  5 and this chapter does not authorize or give the right of
  8  6 condemnation or eminent domain for such purposes.
  8  7    Sec. 10.  Section 479.25, Code 1995, is amended to read as
  8  8 follows:
  8  9    479.25  DAMAGES.
  8 10    Pipeline companies A pipeline company operating pipelines a
  8 11 pipeline or a gas storage area shall have reasonable access to
  8 12 the same pipeline or gas storage area for the purpose of
  8 13 constructing, reconstructing, enlarging, repairing operating,
  8 14 maintaining, or locating their pipes, pumps, pressure
  8 15 apparatus or other stations, wells, devices, or equipment used
  8 16 in or upon such line the pipeline or gas storage area, but;
  8 17 shall pay to the owner of such lands the land for the right of
  8 18 entry thereon and the owner of crops thereon for all damages
  8 19 caused by entering, using, or occupying said lands for said
  8 20 purposes the land; and shall pay to the owner or owners of
  8 21 such lands all damages caused after by the completion of
  8 22 construction of said the pipeline on account of due to wash or
  8 23 erosion of the soil at or along the location of said the
  8 24 pipeline by reason of the construction thereof upon said lands
  8 25 on account of and due to the settling of the soil along and
  8 26 above said the pipeline, provided, that nothing herein
  8 27 contained shall.  However, this section shall not prevent the
  8 28 execution of an agreement between the pipeline company and the
  8 29 owner of said land or crops with reference to the use thereof
  8 30 of the land.
  8 31    Sec. 11.  Section 479.27, Code 1995, is amended to read as
  8 32 follows:
  8 33    479.27  VENUE &endash; SERVICE OF ORIGINAL NOTICE.
  8 34    In all cases arising under this chapter, the district court
  8 35 of any county, through in which said property of a pipeline
  9  1 company is located, shall have jurisdiction; and service of
  9  2 original notice on the pipeline company therein shall be had
  9  3 and made upon the chairperson of the board.
  9  4    Sec. 12.  Section 479.29, subsection 1, Code 1995, is
  9  5 amended to read as follows:
  9  6    1.  The board shall, pursuant to chapter 17A, adopt rules
  9  7 establishing standards for the protection of underground
  9  8 improvements during the construction of pipelines, to protect
  9  9 soil conservation and drainage structures from being
  9 10 permanently damaged by pipeline construction and for the
  9 11 restoration of agricultural lands after pipeline construction.
  9 12 To ensure that all interested persons are informed of this
  9 13 rule-making procedure and are afforded a right to participate,
  9 14 the board shall schedule an opportunity for oral presentations
  9 15 on the proposed rule making, and, in addition to the
  9 16 requirements of section 17A.4, shall distribute copies of the
  9 17 notice of intended action and opportunity for oral
  9 18 presentations to each county board of supervisors.  Any county
  9 19 board of supervisors may, under the provisions of chapter 17A,
  9 20 and subsequent to the rule-making proceedings, petition under
  9 21 those provisions for additional rule making to establish
  9 22 standards to protect soil conservation practices, structures
  9 23 and drainage structures within that county.  Upon the request
  9 24 of the petitioning county the board shall schedule a hearing
  9 25 to consider the merits of the petition.  These rules Rules
  9 26 adopted under this section shall not apply within the
  9 27 boundaries of a city, unless the land is used for agricultural
  9 28 purposes.
  9 29    Sec. 13.  Section 479.30, Code 1995, is amended to read as
  9 30 follows:
  9 31    479.30  ENTRY FOR LAND SURVEYS.
  9 32    A After the informational meeting or after the filing of a
  9 33 petition if no informational meeting is required, a pipeline
  9 34 company may enter upon private land for the purpose of making
  9 35 land surveys surveying and examining the land to determine the
 10  1 direction or depth of pipelines, not to exceed a depth of
 10  2 twenty-five feet, after receipt of a permit to construct,
 10  3 maintain and operate its pipeline a pipeline by giving ten
 10  4 days' written notice by restricted certified mail to the
 10  5 landowner as defined in section 479.5 and to any person
 10  6 residing on or in possession of the land.  The entry for land
 10  7 surveys authorized in this section shall not be deemed a
 10  8 trespass and may be aided by injunction.  The pipeline company
 10  9 shall pay the actual damages caused by the entry, and survey,
 10 10 and examination.
 10 11    Sec. 14.  Section 479.31, unnumbered paragraph 1, Code
 10 12 1995, is amended to read as follows:
 10 13    Any A person who violates any provision of this chapter or
 10 14 any regulation rule or order issued pursuant to this chapter
 10 15 shall be subject to a civil penalty of levied by the board not
 10 16 to exceed ten thousand dollars for each violation.  Each day
 10 17 that the violation continues shall constitute a separate
 10 18 offense.  However, the maximum civil penalty shall not exceed
 10 19 five hundred thousand dollars for any related series of
 10 20 violations.  Civil penalties collected pursuant to this
 10 21 section shall be credited to and are appropriated for the Iowa
 10 22 energy center created in section 266.39C.
 10 23    Sec. 15.  Section 479.41, Code 1995, is amended to read as
 10 24 follows:
 10 25    479.41  ARBITRATION AGREEMENTS.
 10 26    If an easement or other written agreement between a
 10 27 landowner and a pipeline company provides for the
 10 28 determination through arbitration of the amount of monetary
 10 29 damages sustained by a landowner and caused by the
 10 30 construction, maintenance, or repair of a pipeline, and if
 10 31 either person party has not appointed its arbitrator or agreed
 10 32 to an arbitrator under the agreement within thirty days after
 10 33 the other person party has invoked the arbitration provisions
 10 34 of the agreement by written notice to the other party by
 10 35 restricted certified mail, the landowner or the pipeline
 11  1 company may petition a judicial magistrate in the county where
 11  2 the real property is located for the appointment of an
 11  3 arbitrator to serve in the stead of the arbitrator who would
 11  4 have been appointed or agreed to by the other person party.
 11  5 Before filing the petition the landowner or pipeline company
 11  6 shall give notice of the petitioning of the judicial
 11  7 magistrate by restricted certified mail to the other person
 11  8 party and file proof of mailing with the petition.  If after
 11  9 hearing, the magistrate finds that the landowner or pipeline
 11 10 company has not been diligent in appointing or reasonable in
 11 11 agreeing to an arbitrator, the magistrate shall appoint an
 11 12 impartial arbitrator who shall have all of the powers and
 11 13 duties of an arbitrator appointed or agreed to by the other
 11 14 person party under the agreement.
 11 15    For purposes of this section only, "landowner" means the
 11 16 persons who signed the easement or other written agreement,
 11 17 their heirs, successors, and assigns.
 11 18    Sec. 16.  Section 479.42, Code 1995, is amended to read as
 11 19 follows:
 11 20    479.42  SUBSEQUENT PIPELINES.
 11 21    A pipeline company shall not install a subsequent pipeline
 11 22 upon its existing easement when a damage claim from the
 11 23 installation of its previous pipeline on that easement has not
 11 24 been determined by negotiation, arbitration or action of the
 11 25 courts.  This section does not apply if resolved, unless the
 11 26 damage claim is under litigation, or arbitration, or a
 11 27 proceeding pursuant to section 479.46.
 11 28    With the exception of claims for damage to drain tile and
 11 29 future crop deficiency, for this section to apply, landowners
 11 30 and tenants must submit in writing their claims for damages
 11 31 caused by installation of the pipeline within one year of
 11 32 final cleanup on the real property.
 11 33    Sec. 17.  Section 479.46, subsections 1, 2, and 3, Code
 11 34 1995, are amended to read as follows:
 11 35    1.  The county board of supervisors shall determine when
 12  1 installation of a pipeline has been completed in that county
 12  2 for the purposes of this section.  Between seventy-five and
 12  3 one hundred Not less than ninety days after the completion of
 12  4 installation, and if an agreement cannot be made as to
 12  5 damages, a landowner whose land was affected by the
 12  6 installation of the pipeline or a pipeline company may file
 12  7 with the board of supervisors a petition asking that a
 12  8 compensation commission determine the damages arising from the
 12  9 installation of the pipeline.
 12 10    2.  If the board of supervisors by resolution approves the
 12 11 petition, the landowner or pipeline company shall commence the
 12 12 proceeding by filing an application with the chief judge of
 12 13 the judicial district of the county for the appointment of a
 12 14 compensation commission as provided in section 6B.4.
 12 15    The application shall contain the following:
 12 16    a.  The name and address of the petitioning landowner
 12 17 applicant and a description of the land on which the damage is
 12 18 claimed to have occurred.
 12 19    b.  A description of the nature of the damage claimed to
 12 20 have occurred and the amount of the damage claimed.
 12 21    c.  The name and address of the pipeline company claimed to
 12 22 have caused the damage or the name and address of the affected
 12 23 landowner.
 12 24    3.  After the commissioners have been appointed, the
 12 25 landowner applicant shall serve notice on the pipeline company
 12 26 or the landowner stating the following:
 12 27    a.  That a compensation commission has been appointed to
 12 28 determine the damages caused by the installation of the
 12 29 pipeline.
 12 30    b.  The name and address of the landowner applicant and a
 12 31 description of the land on which the damage is claimed to have
 12 32 occurred.
 12 33    c.  The date, time, and place when the commissioners will
 12 34 view the premises and proceed to appraise the damages and that
 12 35 the pipeline company or the landowner may appear before the
 13  1 commissioners.
 13  2    Sections 6B.10 to 6B.13 apply to this notice.  If more than
 13  3 one landowner petitions the county board of supervisors, the
 13  4 application to the chief judge, notice to the pipeline
 13  5 company, and appraisement of damages shall be consolidated
 13  6 into one application, notice, and appraisement.  The county
 13  7 attorney may assist in co-ordinating the consolidated
 13  8 application and notice, but does not become an attorney for
 13  9 the landowners by doing so.
 13 10    Sec. 18.  Section 479.47, Code 1995, is amended to read as
 13 11 follows:
 13 12    479.47  SUBSEQUENT TILING.
 13 13    All additional costs of new tile construction caused by an
 13 14 existing pipeline shall be paid by the pipeline company.  The
 13 15 additional costs shall be paid by the pipeline company upon
 13 16 presentation of an invoice, verified by the county engineer or
 13 17 soil and water conservation district conservationist and
 13 18 specifically showing the added costs caused by the presence of
 13 19 the pipeline.  A copy of the county engineer's or district
 13 20 conservationist's verification of additional costs shall
 13 21 accompany the invoice to the pipeline company. To receive
 13 22 compensation under this section, the landowner or agent of the
 13 23 landowner shall either present an invoice specifying the
 13 24 additional costs caused by the presence of the pipeline which
 13 25 is accompanied by a written verification of the additional
 13 26 costs by the county engineer or soil and water conservation
 13 27 district conservationist or reach an agreement with the
 13 28 pipeline company on the project design and share of the cost
 13 29 to be paid by the pipeline company during the planning of the
 13 30 tiling project.
 13 31    Sec. 19.  Section 479A.11, Code 1995, is amended to read as
 13 32 follows:
 13 33    479A.11  DAMAGES.
 13 34    Pipeline companies A pipeline company operating pipelines
 13 35 or underground storage shall be given reasonable access to the
 14  1 pipelines and storage areas for the purpose of constructing,
 14  2 reconstructing, enlarging, repairing, operating, maintaining,
 14  3 or locating their pipes, pumps, pressure apparatus, or other
 14  4 stations, wells, devices, or equipment used in or upon a
 14  5 pipeline or storage area, but shall pay the owner of the lands
 14  6 for the right of entry and the owner of crops on the land all
 14  7 damages caused by entering, using, or occupying the lands for
 14  8 these purposes; and shall pay to the owner of the lands, after
 14  9 the completion of construction of the pipeline or storage, all
 14 10 damages caused by settling of the soil along and above the
 14 11 pipeline, and wash or erosion of the soil along the pipeline
 14 12 due to the construction of the pipeline.  However, this
 14 13 section does not prevent the execution of an agreement with
 14 14 other terms between the pipeline company and the owner of the
 14 15 land or crops with reference to their use.
 14 16    Sec. 20.  Section 479A.13, Code 1995, is amended to read as
 14 17 follows:
 14 18    479A.13  JURISDICTION &endash; SERVICE OF ORIGINAL NOTICE.
 14 19    In all cases arising under this chapter, the district court
 14 20 of any county in which property of a pipeline company is
 14 21 located, has jurisdiction of a case involving that company,
 14 22 and service of original notice on the pipeline company may be
 14 23 made by serving the chairperson of the board.
 14 24    Sec. 21.  Section 479A.14, subsection 1, Code 1995, is
 14 25 amended to read as follows:
 14 26    1.  The board shall adopt rules establishing standards to
 14 27 protect underground improvements during the construction of
 14 28 pipelines, to protect soil conservation and drainage
 14 29 structures from being permanently damaged by pipeline
 14 30 construction, and for the restoration of agricultural lands
 14 31 after pipeline construction.  To ensure that all interested
 14 32 persons are informed of this rulemaking procedure and are
 14 33 afforded a right to participate, the board shall schedule an
 14 34 opportunity for oral presentations on the proposed rulemaking
 14 35 and, in addition to the requirements of section 17A.4, shall
 15  1 distribute copies of the notice of intended action and
 15  2 opportunity for oral presentations to each county board of
 15  3 supervisors.  A county board of supervisors may, under chapter
 15  4 17A and subsequent to the rulemaking proceedings, petition for
 15  5 additional rulemaking to establish standards to protect soil
 15  6 conservation practices, structures, and drainage structures
 15  7 within that county.  Upon the request of the petitioning
 15  8 county, the board shall schedule a hearing to consider the
 15  9 merits of the petition.  Rules adopted under this section do
 15 10 not apply within the boundaries of a city, unless the land is
 15 11 used for agricultural purposes.
 15 12    Sec. 22.  Section 479A.15, Code 1995, is amended to read as
 15 13 follows:
 15 14    479A.15  ENTRY FOR LAND SURVEYS.
 15 15    A pipeline company may enter upon private land for the
 15 16 purpose of making land surveys surveying and examining the
 15 17 land to determine direction or depth of pipelines a pipeline
 15 18 by giving ten days' written notice by restricted certified
 15 19 mail to the landowner and to any person residing on or in
 15 20 possession of the land.  For purposes of this section only,
 15 21 "landowner" means a person listed on the tax assessment rolls
 15 22 as responsible for the payment of real estate taxes imposed on
 15 23 the property.  The entry for land surveys authorized in this
 15 24 section is not a trespass and may be aided by injunction.  The
 15 25 pipeline company shall pay the actual damages caused by the
 15 26 entry and survey.
 15 27    Sec. 23.  Section 479A.16, unnumbered paragraph 1, Code
 15 28 1995, is amended to read as follows:
 15 29    A person who violates a provision of this chapter or a rule
 15 30 or standards an order issued pursuant to this chapter is
 15 31 subject to a civil penalty levied by the board not to exceed
 15 32 one thousand dollars for each violation.  Each day that the
 15 33 violation continues constitutes a separate offense.  However,
 15 34 the civil penalty shall not exceed two hundred thousand
 15 35 dollars for any related series of violations.  Civil penalties
 16  1 collected pursuant to this section shall be credited to and
 16  2 are appropriated for the Iowa energy center created in section
 16  3 266.39C.
 16  4    Sec. 24.  Section 479A.20, Code 1995, is amended to read as
 16  5 follows:
 16  6    479A.20  ARBITRATION AGREEMENTS.
 16  7    Notwithstanding conflicting provisions of chapter 679A, if
 16  8 an easement or other written agreement between a landowner and
 16  9 a pipeline company provides for the determination through
 16 10 arbitration of the amount of monetary damages sustained by a
 16 11 landowner and caused by the construction, maintenance, or re-
 16 12 pair of a pipeline, and if either person party has not
 16 13 appointed its arbitrator or agreed to an arbitrator under the
 16 14 agreement within thirty days after the other person party has
 16 15 invoked the arbitration provisions of the agreement by written
 16 16 notice to the other party by restricted certified mail, the
 16 17 landowner or the pipeline company may petition a magistrate in
 16 18 the county where the real property is located for the
 16 19 appointment of an arbitrator to serve in place of the
 16 20 arbitrator who would have been appointed or agreed to by the
 16 21 other person party.  Before filing the petition the landowner
 16 22 or pipeline company shall give notice of the petitioning of
 16 23 the magistrate by restricted certified mail to the other
 16 24 person party and file proof of mailing with the petition.  If,
 16 25 after hearing, the magistrate finds that the landowner or
 16 26 pipeline company has not been diligent in appointing or
 16 27 reasonable in agreeing to an arbitrator, the magistrate shall
 16 28 appoint an impartial arbitrator who shall have all of the
 16 29 powers and duties of an arbitrator appointed or agreed to by
 16 30 the other person party under the agreement.
 16 31    For purposes of this section only, "landowner" means the
 16 32 persons who signed the easement or other written agreement,
 16 33 their heirs, successors, and assigns.
 16 34    Sec. 25.  Section 479A.21, Code 1995, is amended to read as
 16 35 follows:
 17  1    479A.21  SUBSEQUENT PIPELINES.
 17  2    A pipeline company shall not install a subsequent pipeline
 17  3 upon its existing easement when a damage claim from the
 17  4 installation of its previous pipeline on that easement has not
 17  5 been determined by negotiation, arbitration, or action of the
 17  6 courts.  However, this section does not apply if the damage
 17  7 resolved unless that claim is under litigation or arbitration
 17  8 or is the subject of a proceeding pursuant to section 479A.25.
 17  9    Sec. 26.  Section 479A.25, subsections 1, 2, and 3, Code
 17 10 1995, are amended to read as follows:
 17 11    1.  The county board of supervisors shall determine when
 17 12 installation of a pipeline has been completed in that county
 17 13 for the purposes of this section.  Within one year of Not less
 17 14 than ninety days after the completion of installation, and if
 17 15 an agreement cannot be made as to damages, a landowner whose
 17 16 land was affected by the installation of the pipeline or the
 17 17 pipeline company may file with the board of supervisors a
 17 18 petition asking that a compensation commission determine the
 17 19 damages arising from the installation of the pipeline.
 17 20    2.  If the board of supervisors by resolution approves the
 17 21 petition, the landowner or pipeline company shall commence the
 17 22 proceeding by filing an application with the chief judge of
 17 23 the judicial district of the county for the appointment of a
 17 24 compensation commission as provided in section 6B.4.
 17 25    The application shall contain all of the following:
 17 26    a.  The name and address of the petitioning landowner
 17 27 applicant and a description of the land on which the damage is
 17 28 claimed to have occurred.
 17 29    b.  A description of the nature of the damage claimed to
 17 30 have occurred and the amount of the damage claimed.
 17 31    c.  The name and address of the pipeline company claimed to
 17 32 have caused the damage or the name and address of the affected
 17 33 landowner.
 17 34    3.  After the commissioners have been appointed, the
 17 35 landowner applicant shall serve notice on the pipeline company
 18  1 or the landowner stating all of the following:
 18  2    a.  That a compensation commission has been appointed to
 18  3 determine the damages caused by the installation of the pipe-
 18  4 line.
 18  5    b.  The name and address of the landowner applicant and a
 18  6 description of the land on which the damage is claimed to have
 18  7 occurred.
 18  8    c.  The place, date, and time when the commissioners will
 18  9 view the premises and proceed to appraise the damages and that
 18 10 the pipeline company or landowner may appear before the
 18 11 commissioners.
 18 12    d.  That the pipeline company may appear before the com-
 18 13 missioners.
 18 14    Sections 6B.10 to 6B.13 apply to this notice.  If more than
 18 15 one landowner petitions the county board of supervisors, the
 18 16 application to the chief judge, notice to the pipeline
 18 17 company, and appraisement of damages shall be consolidated
 18 18 into one application, notice, and appraisement.  The county
 18 19 attorney may assist in coordinating the consolidated
 18 20 application and notice, but does not become an attorney for
 18 21 the landowners by doing so.
 18 22    Sec. 27.  Section 479A.26, Code 1995, is amended to read as
 18 23 follows:
 18 24    479A.26  SUBSEQUENT TILING.
 18 25    Additional costs of new tile construction caused by an
 18 26 existing pipeline shall be paid by the pipeline company.  The
 18 27 additional costs shall be paid by the pipeline company upon
 18 28 presentation of an invoice, verified by the county engineer or
 18 29 soil and water conservation district conservationist and
 18 30 specifically showing the added costs caused by the presence of
 18 31 the pipeline.  A copy of the county engineer's or district
 18 32 conservationist's verification of additional costs shall
 18 33 accompany the invoice to the pipeline company. To receive
 18 34 compensation under this section, the landowner or agent of the
 18 35 landowner shall either present an invoice specifying the
 19  1 additional costs caused by the presence of the pipeline which
 19  2 is accompanied by a written verification of the additional
 19  3 costs by the county engineer or soil and water conservation
 19  4 district conservationist or reach an agreement with the
 19  5 pipeline company on the project design and share of the cost
 19  6 to be paid by the pipeline company during the planning of the
 19  7 tiling project.
 19  8    Sec. 28.  NEW SECTION.  479B.1  PURPOSE &endash; AUTHORITY.
 19  9    It is the purpose of the general assembly in enacting this
 19 10 law to grant the utilities board the authority to implement
 19 11 certain controls over hazardous liquid pipelines to protect
 19 12 landowners and tenants from environmental or economic damages
 19 13 which may result from the construction, operation, or
 19 14 maintenance of a hazardous liquid pipeline or underground
 19 15 storage facility within the state, to approve the location and
 19 16 route of hazardous liquid pipelines, and to grant rights of
 19 17 eminent domain where necessary.
 19 18    Sec. 29.  NEW SECTION.  479B.2  DEFINITIONS.
 19 19    As used in this chapter, unless the context appears
 19 20 otherwise:
 19 21    1.  "Board" means the utilities board within the utilities
 19 22 division of the department of commerce.
 19 23    2.  "Hazardous liquid" means crude oil, refined petroleum
 19 24 products, liquefied petroleum gases, anhydrous ammonia, liquid
 19 25 fertilizers, liquefied carbon dioxide, alcohols, and coal
 19 26 slurries.
 19 27    3.  "Pipeline" means an interstate pipe or pipeline and
 19 28 necessary appurtenances used for the transportation or
 19 29 transmission of hazardous liquids.
 19 30    4.  "Pipeline company" means a person engaged in or
 19 31 organized for the purpose of owning, operating, or controlling
 19 32 pipelines for the transportation or transmission of any
 19 33 hazardous liquid or underground storage facilities for the
 19 34 underground storage of any hazardous liquid.
 19 35    5.  "Underground storage" means storage of hazardous liquid
 20  1 in a subsurface stratum or formation of the earth.
 20  2    6.  "Utilities division" means the utilities division of
 20  3 the department of commerce.
 20  4    Sec. 30.  NEW SECTION.  479B.3  CONDITIONS ATTENDING
 20  5 OPERATION.
 20  6    A pipeline company shall not construct, maintain, or
 20  7 operate a pipeline or underground storage facility under,
 20  8 along, over, or across any public or private highways,
 20  9 grounds, waters, or streams of any kind in this state except
 20 10 in accordance with this chapter.
 20 11    Sec. 31.  NEW SECTION.  479B.4  APPLICATION FOR PERMIT
 20 12 INFORMATIONAL MEETING &endash; NOTICE.
 20 13    A pipeline company doing business in this state shall file
 20 14 a verified petition with the board asking for a permit to
 20 15 construct, maintain, and operate a new pipeline along, over,
 20 16 or across the public or private highways, grounds, waters, and
 20 17 streams of any kind in this state.  Any pipeline company now
 20 18 owning or operating a pipeline or underground storage facility
 20 19 in this state shall be issued a permit by the board upon
 20 20 supplying the information as provided for in section 479B.5,
 20 21 subsections 1 through 5, and meeting the requirements of
 20 22 section 479B.13.
 20 23    A pipeline company doing business in this state and
 20 24 proposing to store hazardous liquid underground within this
 20 25 state shall file with the board a verified petition asking for
 20 26 a permit to construct, maintain, and operate facilities for
 20 27 the underground storage of hazardous liquid which includes the
 20 28 construction, placement, maintenance, and operation of
 20 29 machinery, appliances, fixtures, wells, pipelines, and
 20 30 stations necessary for the construction, maintenance, and
 20 31 operation of the underground storage facilities.
 20 32    The pipeline company shall hold informational meetings in
 20 33 each county in which real property or property rights will be
 20 34 affected at least thirty days prior to filing the petition for
 20 35 a new pipeline.  A member of the board, or a person designated
 21  1 by the board, shall serve as the presiding officer at each
 21  2 meeting and present an agenda for the meeting which shall
 21  3 include a summary of the legal rights of the affected
 21  4 landowners.  No formal record of the meeting shall be
 21  5 required.  The meeting shall be held at a location reasonably
 21  6 accessible to all persons who may be affected by granting the
 21  7 permit.
 21  8    The pipeline company seeking the permit for a new pipeline
 21  9 shall give notice of the informational meeting to each
 21 10 landowner affected by the proposed project and each person in
 21 11 possession of or residing on the property.  For the purposes
 21 12 of the informational meeting, "landowner" means a person
 21 13 listed on the tax assessment rolls as responsible for the
 21 14 payment of real estate taxes imposed on the property and
 21 15 "pipeline" means a line transporting a hazardous liquid under
 21 16 pressure in excess of one hundred fifty pounds per square inch
 21 17 and extending a distance of not less than five miles or having
 21 18 a future anticipated extension of an overall distance of five
 21 19 miles.
 21 20    The notice shall set forth the following:  the name of the
 21 21 applicant, the applicant's principal place of business, the
 21 22 general description and purpose of the proposed project, the
 21 23 general nature of the right-of-way desired, a map showing the
 21 24 route or location of the proposed project, that the landowner
 21 25 has a right to be present at the meeting and to file
 21 26 objections with the board, and a designation of the time and
 21 27 place of the meeting.  The notice shall be sent by restricted
 21 28 certified mail and shall be published once in a newspaper of
 21 29 general circulation in the county not less than thirty days
 21 30 before the date set for the meeting.  The publication shall be
 21 31 considered notice to landowners whose residence is not known
 21 32 and to each person in possession of or residing on the
 21 33 property provided a good faith effort to notify can be
 21 34 demonstrated by the pipeline company.
 21 35    A pipeline company seeking rights under this chapter shall
 22  1 not negotiate or purchase an easement or other interest in
 22  2 land in a county known to be affected by the proposed project
 22  3 prior to the informational meeting.
 22  4    Sec. 32.  NEW SECTION.  479B.5  PETITION.
 22  5    A petition for a permit shall state all of the following:
 22  6    1.  The name of the individual, firm, corporation, company,
 22  7 or association applying for the permit.
 22  8    2.  The applicant's principal office and place of business.
 22  9    3.  A legal description of the route of the proposed
 22 10 pipeline and a map of the route.
 22 11    4.  A general description of the public or private
 22 12 highways, grounds, waters, streams, and private lands of any
 22 13 kind along, over, or across which the proposed pipeline will
 22 14 pass.
 22 15    5.  If permission is sought to construct, maintain, and
 22 16 operate facilities for the underground storage of hazardous
 22 17 liquids the petition shall include the following additional
 22 18 information:
 22 19    a.  A description and a map of the public or private
 22 20 highways, grounds, waters, streams, and private lands of any
 22 21 kind under which the storage is proposed.
 22 22    b.  Maps showing the location of proposed machinery,
 22 23 appliances, fixtures, wells, and stations necessary for the
 22 24 construction, maintenance, and operation of the hazardous
 22 25 liquid storage facilities.
 22 26    6.  The possible use of alternative routes.
 22 27    7.  The relationship of the proposed project to the present
 22 28 and future land use and zoning ordinances.
 22 29    8.  The inconvenience or undue injury which may result to
 22 30 property owners as a result of the proposed project.
 22 31    9.  An affidavit attesting to the fact that informational
 22 32 meetings were held in each county affected by the proposed
 22 33 project and the time and place of each meeting.
 22 34    Sec. 33.  NEW SECTION.  479B.6  HEARING &endash; NOTICE.
 22 35    After the petition is filed, the board shall fix a date for
 23  1 a hearing and shall publish notice for two consecutive weeks,
 23  2 in a newspaper of general circulation in each county through
 23  3 which the proposed pipeline or hazardous liquid storage
 23  4 facilities will extend.
 23  5    The hearing shall not be less than ten days nor more than
 23  6 thirty days from the date of the last publication of the
 23  7 notice.  If the pipeline exceeds five miles in length, the
 23  8 hearing shall be held in the county seat of the county located
 23  9 at the midpoint of the proposed pipeline or the county in
 23 10 which the proposed hazardous liquid storage facility would be
 23 11 located.
 23 12    Sec. 34.  NEW SECTION.  479B.7  OBJECTIONS.
 23 13    A person, including a governmental entity, whose rights or
 23 14 interests may be affected by the proposed pipeline or
 23 15 hazardous liquid storage facilities may file written
 23 16 objections.
 23 17    All objections shall be on file with the board not less
 23 18 than five days before the date of hearing on the application.
 23 19 However, the board may permit the filing of the objections
 23 20 later than five days before the hearing, in which event the
 23 21 applicant must be granted a reasonable time to meet the
 23 22 objections.
 23 23    Sec. 35.  NEW SECTION.  479B.8  EXAMINATION &endash; TESTIMONY.
 23 24    The board may examine the proposed route of the pipeline
 23 25 and location of the underground storage facility.  At the
 23 26 hearing the board shall consider the petition and any
 23 27 objections and may hear testimony to assist the board in
 23 28 making its determination regarding the application.
 23 29    Sec. 36.  NEW SECTION.  479B.9  FINAL ORDER &endash; CONDITION.
 23 30    The board may grant a permit in whole or in part upon
 23 31 terms, conditions, and restrictions as to location and route
 23 32 as it determines to be just and proper.  A permit shall not be
 23 33 granted to a pipeline company unless the board determines that
 23 34 the proposed services will promote the public convenience and
 23 35 necessity.
 24  1    Sec. 37.  NEW SECTION.  479B.10  COSTS AND FEES.
 24  2    The applicant shall pay all costs of the informational
 24  3 meetings, hearing, and necessary preliminary investigation
 24  4 including the cost of publishing notice of hearing, and shall
 24  5 pay the actual unrecovered costs directly attributable to
 24  6 inspections conducted by the board.
 24  7    Sec. 38.  NEW SECTION.  479B.11  INSPECTION FEE.
 24  8    If the board enters into agreements with the United States
 24  9 department of transportation pursuant to section 479B.23, a
 24 10 pipeline company shall pay an annual fee of fifty cents per
 24 11 mile of pipeline or fraction thereof for each inch of diameter
 24 12 of the pipeline located in the state.  The inspection fee
 24 13 shall be paid to the board between January 1 and February 1
 24 14 for the calendar year.
 24 15    The board shall collect all fees.  Failure to pay any fee
 24 16 within thirty days from the due date shall be grounds for
 24 17 revocation of the permit or assessment of civil penalties.
 24 18    Sec. 39.  NEW SECTION.  479B.12  USE OF FUNDS.
 24 19    All moneys received under this chapter, other than civil
 24 20 penalties collected pursuant to section 479B.21, shall be
 24 21 remitted monthly to the treasurer of state and credited to the
 24 22 general fund of the state.
 24 23    Sec. 40.  NEW SECTION.  479B.13  FINANCIAL CONDITION OF
 24 24 PERMITTEE BOND.
 24 25    Before a permit is granted under this chapter the applicant
 24 26 must satisfy the board that the applicant has property within
 24 27 this state other than pipelines or underground storage
 24 28 facilities, subject to execution of a value in excess of two
 24 29 hundred fifty thousand dollars, or the applicant must file and
 24 30 maintain with the board a surety bond in the penal sum of two
 24 31 hundred fifty thousand dollars with surety approved by the
 24 32 board, conditioned that the applicant will pay any and all
 24 33 damages legally recovered against it growing out of the
 24 34 construction, maintenance, or operation of its pipeline or
 24 35 underground storage facilities in this state.  When the
 25  1 pipeline company deposits with the board security satisfactory
 25  2 to the board as a guaranty for the payment of the damages, or
 25  3 furnishes to the board satisfactory proofs of its solvency and
 25  4 financial ability to pay the damages, the pipeline company is
 25  5 relieved of the provisions requiring bond.
 25  6    Sec. 41.  NEW SECTION.  479B.14  PERMITS &endash; LIMITATIONS &endash;
 25  7 SALE OR TRANSFER &endash; RECORDS &endash; EXTENSION.
 25  8    The board shall prepare and issue permits.  The permit
 25  9 shall show the name and address of the pipeline company to
 25 10 which it is issued and identify the decision and order of the
 25 11 board under which the permit is issued.  The permit shall be
 25 12 signed by the chairperson of the board and the official seal
 25 13 of the board shall be affixed to it.
 25 14    The board shall not grant an exclusive right to any
 25 15 pipeline company to construct, maintain, or operate its
 25 16 pipeline along, over, or across any public or private highway,
 25 17 grounds, waters, or streams.  The board shall not grant a
 25 18 permit for longer than twenty-five years.
 25 19    A permit shall not be sold until the sale is approved by
 25 20 the board.
 25 21    If a transfer of a permit is made before the construction
 25 22 for which it was issued is completed in whole or in part, the
 25 23 transfer shall not be effective until the pipeline company to
 25 24 which it was issued files with the board a notice in writing
 25 25 stating the date of the transfer and the name and address of
 25 26 the transferee.
 25 27    The board shall keep a record of all permits granted by it,
 25 28 showing when and to whom granted and the location and route of
 25 29 the pipeline or underground storage facility, and if the
 25 30 permit has been transferred, the date and the name and address
 25 31 of the transferee.
 25 32    A pipeline company may petition the board for an extension
 25 33 of a permit granted under this section by filing a petition
 25 34 containing the information required by section 479B.5,
 25 35 subsections 1 through 5, and meeting the requirements of
 26  1 section 479B.13.
 26  2    Sec. 42.  NEW SECTION.  479B.15  ENTRY FOR LAND SURVEYS.
 26  3    After the informational meeting or after the filing of a
 26  4 petition if no informational meeting is required, a pipeline
 26  5 company may enter upon private land for the purpose of
 26  6 surveying and examining the land to determine direction or
 26  7 depth of pipelines by giving ten days' written notice by
 26  8 restricted certified mail to the landowner as defined in
 26  9 section 479B.4 and to any person residing on or in possession
 26 10 of the land.  The entry for land surveys shall not be deemed a
 26 11 trespass and may be aided by injunction.  The pipeline company
 26 12 shall pay the actual damages caused by the entry, survey, and
 26 13 examination.
 26 14    Sec. 43.  NEW SECTION.  479B.16  EMINENT DOMAIN.
 26 15    A pipeline company granted a pipeline permit shall be
 26 16 vested with the right of eminent domain, to the extent
 26 17 necessary and as prescribed and approved by the board, not
 26 18 exceeding seventy-five feet in width for right-of-way and not
 26 19 exceeding one acre in any one location in addition to right-
 26 20 of-way for the location of pumps, pressure apparatus, or other
 26 21 stations or equipment necessary to the proper operation of its
 26 22 pipeline.  The board may grant additional eminent domain
 26 23 rights where the pipeline company has presented sufficient
 26 24 evidence to adequately demonstrate that a greater area is
 26 25 required for the proper construction, operation, and
 26 26 maintenance of the pipeline or for the location of pumps,
 26 27 pressure apparatus, or other stations or equipment necessary
 26 28 to the proper operation of its pipeline.
 26 29    A pipeline company granted a permit for underground storage
 26 30 of hazardous liquid shall be vested with the right of eminent
 26 31 domain to the extent necessary and as prescribed and approved
 26 32 by the board in order to appropriate for its use for the
 26 33 underground storage of hazardous liquid any subsurface stratum
 26 34 or formation in any land which the board shall have found to
 26 35 be suitable and in the public interest for the underground
 27  1 storage of hazardous liquid, and may appropriate other
 27  2 interests in property, as may be required adequately to
 27  3 examine, prepare, maintain, and operate the underground
 27  4 storage facilities.
 27  5    This chapter does not authorize the construction of a
 27  6 pipeline longitudinally on, over, or under any railroad right-
 27  7 of-way or public highway, or at other than an approximate
 27  8 right angle to a railroad track or public highway without the
 27  9 consent of the railroad company, the state department of
 27 10 transportation, or the county board of supervisors, and this
 27 11 chapter does not authorize or give the right of condemnation
 27 12 or eminent domain for such purposes.
 27 13    Sec. 44.  NEW SECTION.  479B.17  DAMAGES.
 27 14    A pipeline company operating a pipeline or an underground
 27 15 storage facility shall have reasonable access to the pipeline
 27 16 or underground storage facility for the purpose of
 27 17 constructing, operating, maintaining, or locating pipes,
 27 18 pumps, pressure apparatus, or other stations, wells, devices,
 27 19 or equipment used in or upon the pipeline or underground
 27 20 storage facility.  A pipeline company shall pay the owner of
 27 21 the land for the right of entry and the owner of crops for all
 27 22 damages caused by entering, using, or occupying the lands and
 27 23 shall pay to the owner all damages caused by the completion of
 27 24 construction of the pipeline due to wash or erosion of the
 27 25 soil at or along the location of the pipeline and due to the
 27 26 settling of the soil along and above the pipeline.  However,
 27 27 this section does not prevent the execution of an agreement
 27 28 between the pipeline company and the owner of the land or
 27 29 crops with reference to the use of the land.
 27 30    Sec. 45.  NEW SECTION.  479B.18  VENUE.
 27 31    In all cases arising under this chapter, the district court
 27 32 of any county in which property of a pipeline company is
 27 33 located has jurisdiction of a case involving the pipeline
 27 34 company.
 27 35    Sec. 46.  NEW SECTION.  479B.19  ORDERS &endash; ENFORCEMENT.
 28  1    If the pipeline company fails to obey an order within the
 28  2 period of time determined by the board, the board may commence
 28  3 an equitable action in the district court of the county where
 28  4 the pipeline, device, apparatus, equipment, or underground
 28  5 storage facility is located to compel compliance with its
 28  6 order.  If, after trial, the court finds that the order is
 28  7 reasonable, equitable, and just, the court shall decree a
 28  8 mandatory injunction compelling obedience to and compliance
 28  9 with the order and may grant other relief as may be just and
 28 10 proper.  Appeal from the decree may be taken in the same
 28 11 manner as in other actions.
 28 12    Sec. 47.  NEW SECTION.  479B.20  LAND RESTORATION
 28 13 STANDARDS.
 28 14    1.  The board, pursuant to chapter 17A, shall adopt rules
 28 15 establishing standards for the protection of underground
 28 16 improvements during the construction of pipelines or
 28 17 underground storage facilities, to protect soil conservation
 28 18 and drainage structures from being permanently damaged by
 28 19 construction of the pipeline or underground storage facility,
 28 20 and for the restoration of agricultural lands after pipeline
 28 21 or underground storage facility construction.  To ensure that
 28 22 all interested persons are informed of this rulemaking
 28 23 procedure and are afforded a right to participate, the board
 28 24 shall schedule an opportunity for oral presentations on the
 28 25 proposed rulemaking, and, in addition to the requirements of
 28 26 section 17A.4, shall distribute copies of the notice of
 28 27 intended action and opportunity for oral presentations to each
 28 28 county board of supervisors.  Any county board of supervisors
 28 29 may, under the provisions of chapter 17A, and subsequent to
 28 30 the rulemaking proceedings, petition under those provisions
 28 31 for additional rulemaking to establish standards to protect
 28 32 soil conservation practices, structures, and drainage
 28 33 structures within that county.  Upon the request of the
 28 34 petitioning county, the board shall schedule a hearing to
 28 35 consider the merits of the petition.  Rules adopted under this
 29  1 section shall not apply within the boundaries of a city unless
 29  2 the land is used for agricultural purposes.
 29  3    2.  The county board of supervisors shall cause an on-site
 29  4 inspection for compliance with the standards adopted under
 29  5 this section to be performed at any pipeline construction
 29  6 project in the county.  A professional engineer familiar with
 29  7 the standards adopted under this section and registered under
 29  8 chapter 542B shall be responsible for the inspection.  A
 29  9 county board of supervisors may contract for the services of a
 29 10 professional engineer for the purposes of the inspection.  The
 29 11 reasonable costs of the inspection shall be paid by the
 29 12 pipeline company.
 29 13    3.  If the inspector determines that there has been a
 29 14 violation of the standards adopted under this section, the
 29 15 inspector shall give oral notice, followed by written notice,
 29 16 to the pipeline company and the contractor operating for the
 29 17 pipeline company and order corrective action to be taken in
 29 18 compliance with the standards.  The costs of the corrective
 29 19 action shall be borne by the contractor operating for the
 29 20 pipeline company.
 29 21    4.  As a part of the inspection process, the inspector
 29 22 shall ascertain that the trench excavation has been filled in
 29 23 a manner to provide that the topsoil has been replaced on top
 29 24 and rocks and debris have been removed from the topsoil of the
 29 25 easement area.  An existing topsoil layer extending at least
 29 26 one foot in width on either side of the pipeline excavation at
 29 27 a maximum depth of twelve inches shall be removed separately
 29 28 and shall be stockpiled and preserved separately during
 29 29 subsequent construction operations, unless other means for
 29 30 separating the topsoil are provided in the easement.  The
 29 31 topsoil shall be replaced so the upper portion of the pipeline
 29 32 excavation and the crowned surface shall contain only the
 29 33 topsoil originally removed.
 29 34    5.  Adequate inspection of underground improvements altered
 29 35 during construction of the pipeline shall be conducted at the
 30  1 time of the replacement or repair of the underground
 30  2 improvements.  An inspector shall be present on the site at
 30  3 all times at each phase and separate activity of the opening
 30  4 of the trench, the restoration of underground improvements,
 30  5 and backfilling.  The pipeline company and its contractor
 30  6 shall keep all county inspectors continually informed of the
 30  7 work schedule and any schedule changes.
 30  8    6.  If the pipeline company or its contractor does not
 30  9 comply with the orders of the inspector for compliance with
 30 10 the standards, the county board of supervisors may direct the
 30 11 county attorney to petition the district court for an order
 30 12 requiring corrective action to be taken in compliance with the
 30 13 standards adopted under this section.
 30 14    7.  The pipeline company shall allow landowners and
 30 15 inspectors to view the proposed center line of the pipeline
 30 16 prior to commencing trenching operations to ensure that
 30 17 construction takes place in its proper location.
 30 18    8.  An inspector may temporarily halt the construction if
 30 19 the construction is not in compliance with the law or the
 30 20 terms of the agreement with the pipeline company regarding
 30 21 topsoil removal and replacement, drainage structures, soil
 30 22 moisture conditions, or the location of construction until the
 30 23 inspector consults with the supervisory personnel of the
 30 24 pipeline company.  If the construction is then continued over
 30 25 the inspector's objection and is found not to be in compliance
 30 26 with the law or agreement and is found to cause damage, any
 30 27 civil penalty recovered under section 479B.21 as a result of
 30 28 that violation shall be paid to the landowner.
 30 29    9.  The board shall instruct inspectors appointed by the
 30 30 board of supervisors regarding the content of the statutes and
 30 31 rules and the inspector's responsibility to require
 30 32 construction conforming with the standards provided by this
 30 33 chapter.
 30 34    10.  Any underground drain tile damaged, cut, or removed
 30 35 shall be temporarily repaired and maintained as necessary to
 31  1 allow for its proper function during construction of the
 31  2 pipeline or underground storage facility.  If temporary repair
 31  3 is not determined to be necessary, the exposed tile shall
 31  4 nonetheless be screened or otherwise protected to prevent the
 31  5 entry of any foreign material or small animals into the tile
 31  6 line system.
 31  7    11.  This section does not preclude the application of
 31  8 provisions for protecting or restoring property contained in
 31  9 agreements independently executed by the pipeline company and
 31 10 the landowner if the provisions are not inconsistent with
 31 11 state law or with rules adopted by the board.
 31 12    Sec. 48.  NEW SECTION.  479B.21  CIVIL PENALTY.
 31 13    A person who violates this chapter or any rule or order
 31 14 issued pursuant to this chapter shall be subject to a civil
 31 15 penalty levied by the board in an amount not to exceed one
 31 16 thousand dollars for each violation.  Each day that the
 31 17 violation continues shall constitute a separate offense.
 31 18 However, the maximum civil penalty shall not exceed two
 31 19 hundred thousand dollars for any related series of violations.
 31 20 Civil penalties collected pursuant to this section shall be
 31 21 credited to and are appropriated for the use of the Iowa
 31 22 energy center created in section 266.39C.
 31 23    A civil penalty may be compromised by the board.  In
 31 24 determining the amount of the penalty, or the amount agreed
 31 25 upon in compromise, the appropriateness of the penalty to the
 31 26 size of the pipeline company charged, the gravity of the
 31 27 violation, and the good faith of the person charged in
 31 28 attempting to achieve compliance, after notification of a
 31 29 violation, shall be considered.  The amount of the penalty,
 31 30 when finally determined, or the amount agreed upon in
 31 31 compromise, may be deducted from any sums owed by the state to
 31 32 the person charged, or may be recovered in a civil action.
 31 33    Sec. 49.  NEW SECTION.  479B.22  REHEARING &endash; JUDICIAL
 31 34 REVIEW.
 31 35    Rehearing procedure for any person aggrieved by actions of
 32  1 the board under this chapter shall be as provided in section
 32  2 476.12.  Judicial review may be sought in accordance with the
 32  3 terms of chapter 17A.
 32  4    Sec. 50.  NEW SECTION.  479B.23  AUTHORIZED FEDERAL AID.
 32  5    The board may enter into agreements with and receive moneys
 32  6 from the United States department of transportation for the
 32  7 inspection of pipelines to determine compliance with
 32  8 applicable standards of pipeline safety, and for enforcement
 32  9 of the applicable standards of pipeline safety as provided by
 32 10 49 U.S.C. } 60101 et seq.
 32 11    Sec. 51.  NEW SECTION.  479B.24  CANCELLATION.
 32 12    A pipeline company seeking to acquire an easement or other
 32 13 property interest for the construction, maintenance, or
 32 14 operation of a pipeline or underground storage facility shall
 32 15 do all of the following:
 32 16    1.  Allow the landowner or a person serving in a fiduciary
 32 17 capacity on the landowner's behalf to cancel an agreement
 32 18 granting an easement or other interest by restricted certified
 32 19 mail to the pipeline company's principal place of business if
 32 20 received by the pipeline company within seven days, excluding
 32 21 Saturday and Sunday, of the date of the agreement and inform
 32 22 the landowner or the fiduciary in writing of the right to
 32 23 cancel prior to the signing of the agreement by the landowner
 32 24 or the fiduciary.
 32 25    2.  Provide the landowner or a person serving in a
 32 26 fiduciary capacity in the landowner's behalf with a form in
 32 27 duplicate for the notice of cancellation.
 32 28    3.  Not record an agreement until after the period for
 32 29 cancellation has expired.
 32 30    4.  Not include in the agreement a waiver of the right to
 32 31 cancel in accordance with this section.  The landowner or a
 32 32 person serving in a fiduciary capacity in the landowner's
 32 33 behalf may exercise the right of cancellation only once for
 32 34 each pipeline project.
 32 35    Sec. 52.  NEW SECTION.  479B.25  ARBITRATION AGREEMENTS.
 33  1    If an easement or other written agreement between a
 33  2 landowner and a pipeline company provides for the
 33  3 determination through arbitration of the amount of monetary
 33  4 damages sustained by a landowner and caused by the
 33  5 construction, maintenance, or repair of a pipeline or
 33  6 underground storage facility, and if either party has not
 33  7 appointed its arbitrator or agreed to an arbitrator under the
 33  8 agreement within thirty days after the other party has invoked
 33  9 the arbitration provisions of the agreement by written notice
 33 10 to the other party by restricted certified mail, the landowner
 33 11 or the pipeline company may petition a magistrate in the
 33 12 county where the real property is located for the appointment
 33 13 of an arbitrator to serve in the stead of the arbitrator who
 33 14 would have been appointed or agreed to by the other party.
 33 15 Before filing the petition the landowner or pipeline company
 33 16 shall give notice of the petitioning of the magistrate by
 33 17 restricted certified mail to the other party and file proof of
 33 18 mailing with the petition.
 33 19    If after hearing, the magistrate finds that the landowner
 33 20 or pipeline company has not been diligent in appointing or
 33 21 reasonable in agreeing to an arbitrator, the magistrate shall
 33 22 appoint an impartial arbitrator who shall have all of the
 33 23 powers and duties of an arbitrator appointed or agreed to by
 33 24 the other party under the agreement.
 33 25    For purposes of this section only, "landowner" means the
 33 26 person who signed the easement or other written agreement, or
 33 27 the person's heirs, successors, and assigns.
 33 28    Sec. 53.  NEW SECTION.  479B.26  SUBSEQUENT PIPELINE OR
 33 29 UNDERGROUND STORAGE FACILITY.
 33 30    A pipeline company shall not construct a subsequent
 33 31 pipeline or underground storage facility upon its existing
 33 32 easement when a damage claim from the installation of its
 33 33 previous pipeline on that easement has not been resolved
 33 34 unless that claim is under litigation or arbitration, or is
 33 35 the subject of a proceeding pursuant to section 479B.30.
 34  1    With the exception of claims for damage to drain tile and
 34  2 future crop deficiency, for this section to apply, landowners
 34  3 and tenants must submit their claims in writing for damages
 34  4 caused by construction of the pipeline or underground storage
 34  5 facility within one year of final cleanup on the real property
 34  6 by the pipeline company.
 34  7    Sec. 54.  NEW SECTION.  479B.27  DAMAGE AGREEMENT.
 34  8    A pipeline company shall not construct a pipeline or
 34  9 underground storage facility until a written statement is on
 34 10 file with the board as to how damages resulting from the
 34 11 construction of the pipeline shall be determined and paid,
 34 12 except in cases of eminent domain.  The pipeline company shall
 34 13 provide a copy of the statement to the landowner.
 34 14    Sec. 55.  NEW SECTION.  479B.28  NEGOTIATED FEE.
 34 15    In lieu of a one-time lump sum payment for an easement or
 34 16 other property interest allowing a pipeline to cross property
 34 17 or allowing underground storage of hazardous liquids, a
 34 18 landowner and the pipeline company may negotiate an annual
 34 19 fee, to be paid over a fixed number of years.  Unless the
 34 20 easement provides otherwise, the annual fee shall run with the
 34 21 land and shall be payable to the owner of record.
 34 22    Sec. 56.  NEW SECTION.  479B.29  PARTICULAR DAMAGE CLAIMS.
 34 23    1.  The loss of gain by or the death or injury of livestock
 34 24 caused by the interruption or relocation of normal feeding of
 34 25 the livestock caused by the construction or repair of a
 34 26 pipeline or underground storage facility is a compensable loss
 34 27 and shall be recognized by a pipeline company.
 34 28    2.  A claim for damage for future crop deficiency within
 34 29 the easement strip shall not be precluded from renegotiation
 34 30 under section 6B.52 on the grounds that it was apparent at the
 34 31 time of settlement unless the settlement expressly releases
 34 32 the pipeline company from claims for damage to the
 34 33 productivity of the soil.  The landowner shall notify the
 34 34 pipeline company in writing thirty days prior to harvest in
 34 35 each year to assess crop deficiency.
 35  1    Sec. 57.  NEW SECTION.  479B.30  DETERMINATION OF
 35  2 CONSTRUCTION DAMAGES.
 35  3    1.  The county board of supervisors shall determine when
 35  4 construction of a pipeline or underground storage facility has
 35  5 been completed in that county for the purposes of this
 35  6 section.  Not less than ninety days after the completion of
 35  7 construction and if an agreement cannot be made as to damages,
 35  8 a landowner whose land was affected by the construction of the
 35  9 pipeline or underground storage facility or the pipeline
 35 10 company may file with the board of supervisors a petition
 35 11 asking that a compensation commission determine the damages
 35 12 arising from construction of the pipeline.
 35 13    2.  If the board of supervisors by resolution approves the
 35 14 petition, the landowner or pipeline company shall commence the
 35 15 proceeding by filing an application with the chief judge of
 35 16 the judicial district for the county for the appointment of a
 35 17 compensation commission as provided in section 6B.4.  The
 35 18 application shall contain all of the following information:
 35 19    a.  The name and address of the applicant and a description
 35 20 of the land on which the damage is claimed to have occurred.
 35 21    b.  A description of the nature of the damage claimed to
 35 22 have occurred and the amount of the damage claimed.
 35 23    c.  The name and address of the pipeline company claimed to
 35 24 have caused the damage or the name and address of the affected
 35 25 landowner.
 35 26    3.  After the commissioners have been appointed, the
 35 27 applicant shall serve notice on the pipeline company or the
 35 28 landowner stating all of the following:
 35 29    a.  That a compensation commission has been appointed to
 35 30 determine the damages caused by the construction of the
 35 31 pipeline or underground storage facility.
 35 32    b.  The name and address of the applicant and a description
 35 33 of the land on which the damage is claimed to have occurred.
 35 34    c.  The date, time, and place when the commissioners will
 35 35 view the premises and proceed to appraise the damages and that
 36  1 the pipeline company or landowner may appear before the
 36  2 commissioners.
 36  3    Sections 6B.10 to 6B.13 apply to this notice.  If more than
 36  4 one landowner petitions the county board of supervisors, the
 36  5 application to the chief judge, notice to the pipeline
 36  6 company, and appraisement of damages shall be consolidated
 36  7 into one application, notice, and appraisement.  The county
 36  8 attorney may assist in coordinating the consolidated
 36  9 application and notice, but does not become an attorney for
 36 10 the landowners by doing so.
 36 11    4.  The commissioners shall view the land at the time
 36 12 provided in the notice and assess the damages sustained by the
 36 13 landowner by reason of the construction of the pipeline or
 36 14 underground storage facility and they shall file their report
 36 15 with the sheriff.  The appraisement of damages returned by the
 36 16 commissioners is final unless appealed.  After the
 36 17 appraisement of damages has been delivered to the sheriff by
 36 18 the compensation commission, the sheriff shall give written
 36 19 notice by ordinary mail to the pipeline company and the
 36 20 landowner of the date the appraisement of damages was made,
 36 21 the amount of the appraisement, and that any interested party
 36 22 may appeal to the district court within thirty days of the
 36 23 date of mailing.  The sheriff shall endorse the date of
 36 24 mailing of notice on the original appraisement of damages.  At
 36 25 the time of appeal, the appealing party shall give written
 36 26 notice to the adverse party or the party's attorney and the
 36 27 sheriff.
 36 28    5.  Chapter 6B applies to this section to the extent it is
 36 29 applicable and consistent with this section.
 36 30    6.  The pipeline company shall pay all costs of the
 36 31 assessment made by the commissioners and reasonable attorney
 36 32 fees and costs incurred by the landowner as determined by the
 36 33 commissioners if the award of the commissioners exceeds one
 36 34 hundred ten percent of the final offer of the pipeline company
 36 35 prior to the determination of damages; if the award does not
 37  1 exceed one hundred ten percent, the landowners shall pay the
 37  2 fees and costs incurred by the pipeline company.  The pipeline
 37  3 company shall file with the sheriff an affidavit setting forth
 37  4 the most recent offer made to the landowner.  Commissioners
 37  5 shall receive a per diem of fifty dollars and actual and
 37  6 necessary expenses incurred in the performance of their
 37  7 official duties.  The pipeline company shall also pay all
 37  8 costs occasioned by the appeal, including reasonable attorney
 37  9 fees to be taxed by the court, unless on the trial of the
 37 10 appeal the same or a lesser amount of damages is awarded than
 37 11 was allowed by the commission from which the appeal was taken.
 37 12    7.  As used in this section, "damages" means compensation
 37 13 for damages to the land, crops, and other personal property
 37 14 caused by the construction of a pipeline and its attendant
 37 15 structures or underground storage facility but does not
 37 16 include compensation for a property interest, and "landowner"
 37 17 includes a farm tenant.
 37 18    8.  The provisions of this section do not apply if the
 37 19 easement provides for any other means of negotiation or
 37 20 arbitration.
 37 21    Sec. 58.  NEW SECTION.  479B.31  SUBSEQUENT TILING.
 37 22    All additional costs of new tile construction caused by an
 37 23 existing pipeline or underground storage facility shall be
 37 24 paid by the pipeline company.  To receive compensation under
 37 25 this section, the landowner or agent of the landowner shall
 37 26 either present an invoice specifying the additional costs
 37 27 caused by the presence of the pipeline which is accompanied by
 37 28 a written verification of the additional costs by the county
 37 29 engineer or soil and water conservation district
 37 30 conservationist or reach an agreement with the pipeline
 37 31 company on the project design and share of the cost to be paid
 37 32 by the pipeline company during the planning of the tiling
 37 33 project.
 37 34    Sec. 59.  NEW SECTION.  480.9  LIABILITY FOR OWNER OF
 37 35 FARMLAND.
 38  1    An owner of farmland used in a farm operation, as defined
 38  2 in section 352.2, who complies with the requirements of this
 38  3 chapter shall not be held responsible for any damages to an
 38  4 underground facility, including fiber optic cable, if the
 38  5 damage occurred on the farmland in the normal course of the
 38  6 farm operation, unless the owner intentionally damaged the
 38  7 underground facility or acted with wanton disregard or
 38  8 recklessness in causing the damage to the underground
 38  9 facility.  For purposes of this section, an "owner" includes a
 38 10 family member, employee, or tenant of the owner.
 38 11    Sec. 60.  Section 546.7, Code 1995, is amended to read as
 38 12 follows:
 38 13    546.7  UTILITIES DIVISION.
 38 14    The utilities division shall regulate and supervise public
 38 15 utilities operating in the state.  The division shall enforce
 38 16 and implement chapters 476, 476A, 477C, 478, 479, and 479A,
 38 17 and 479B and shall perform other duties assigned to it by law.
 38 18 The division is headed by the administrator of public
 38 19 utilities who shall be appointed by the governor pursuant to
 38 20 section 474.1.
 38 21    Sec. 61.  EFFECTIVE DATE.  This Act, being deemed of
 38 22 immediate importance, takes effect upon enactment.
 38 23    Sec. 62.  RETROACTIVE APPLICABILITY.  The sections of this
 38 24 Act which create new sections 479B.17, 479B.25, and 479B.29
 38 25 through 479B.31 are retroactive to July 1, 1993.  
 38 26 HF 303
 38 27 js/pk/25
     
Text: HF00302                           Text: HF00304
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