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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 4chapter 479, or chapteror 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, areherebyauthorized to plan, designate, 1 22 establish, regulate, vacate, alter, improve, maintain, and 1 23 provide controlled-access facilities for public usewherever1 24such authority or authorities are of the opinion thatif 1 25 traffic conditions, present or future, will justifysuch1 26 special facilities; provided, that withincitiesa city such 1 27 authority shall be subject tosuchmunicipal consent as may be 1 28 provided by law.Said cities and highway authorities, inIn 1 29 addition to the specific powers granted in this chapter, 1 30 cities and highway authorities shallalsohaveand may1 31exercise, relative to controlled-access facilities,anyand1 32alladditional authoritynow or hereaftervested in them 1 33 relative to highways or streets within their respective 1 34 jurisdictions.Said citiesCities and highway authorities may 1 35 regulate, restrict, or prohibit the use ofsuchcontrolled- 2 1 access facilities bythevarious 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,and479A, 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,and479A, 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,and479A, 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 thelegislaturegeneral 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 inchapterchapters 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 chaptermeans 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 chaptermeans 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 6The term "board" when used in this chapter means the4 7utilities board within the utilities division of the4 8department of commerce.4 9 4.The term "underground"Underground storage"insofar as4 10this chapter is concerned shall include and meanmeans 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 15AnyA pipeline companyengaging in its saiddoing 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 24AnyA pipeline companyengaging in its saiddoing 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 ofsuchthe gas underground storage facilities. 4 33As conditions precedent to the filing of a petition with4 34the board requesting a permit, and not less than thirty days4 35prior to the filing of such petition, the person, company, or5 1corporationA pipeline company shall hold informational 5 2 meetings in each county in which real property or property 5 3 rightsthereinwill 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 5 6 designated by the board shall serve as the presiding officer 5 7 at each meeting and present an agenda forsuchthe meeting 5 8 which shall include a summary of the legal rights of the 5 9 affected landowners. No formal record of the meeting shall be 5 10 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 Thepersonpipeline 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.SuchThe 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 7No person, company, or corporationA 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 15AnyA pipeline companyowning a permit granted under this6 16chapter desiring to acquire an extension of such permitmay 6 17 petition the boardin the same manner provided for the6 18granting of such permit and the same proceeding shall be had6 19as on an original applicationfor 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 26AnyA pipeline companyhaving secured agranted a pipeline 6 27 permitfor pipelines as inunder this chapterprovidedshall 6 28thereuponbe vested with the right of eminent domain tosuch6 29 the extentas may benecessary and as prescribed and approved 6 30 bysaidthe 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 itssaidpipelineor6 35lines. 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 7AnyA pipeline company having secured a permit for 7 8 underground storage of gasas in this chapter providedshall 7 9 be vested with the right of eminent domain tosuchthe extent 7 10as may benecessary and as prescribed and approved bysaidthe 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, andin7 15connection therewithmay appropriatesuchother interests in 7 16 property, as may be required to adequatelytoexamine, 7 17 prepare, maintain, and operatesuchthe underground gas 7 18 storage facilities.The right of appropriation hereby granted7 19shall be without prejudice to the rights of the owner of said7 20lands or of other rights or interests therein to drill or bore7 21through the underground stratum or formation so appropriated7 22in such manner as shall comply with orders, rules of the board7 23issued for the purpose of protecting underground storage7 24strata or formations against pollution and against the escape7 25of gas therefrom and shall be without prejudice to the rights7 26of the owner of said lands or other rights or interest therein7 27as to all other uses thereof.7 28If agreement cannot be made with the private owner of lands7 29as to damages caused by the construction of said pipeline or7 30gas storage facilities, the same proceedings shall be taken as7 31provided for taking private property for works of internal7 32improvement.7 33Nothing in thisThis chaptershalldoes 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 tosucha railroad track or public 8 2 highway without the consent ofsuchthe 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 of8 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 10Pipeline companiesA pipeline company operatingpipelinesa 8 11 pipeline or a gas storage area shall have reasonable access to 8 12 thesamepipeline or gas storage area for the purpose of 8 13 constructing,reconstructing, enlarging, repairingoperating, 8 14 maintaining, or locatingtheirpipes, pumps, pressure 8 15 apparatus or other stations, wells, devices, or equipment used 8 16 in or uponsuch linethe pipeline or gas storage area, but; 8 17 shall paytothe owner ofsuch landsthe land for the right of 8 18 entrythereonand the owner of cropsthereonfor all damages 8 19 caused by entering, using, or occupyingsaid lands for said8 20purposesthe land; and shall pay to the owneror owners of8 21such landsall damages causedafterby the completion of 8 22 construction ofsaidthe pipelineon account ofdue to wash or 8 23 erosion of the soil at or along the location ofsaidthe 8 24 pipelineby reason of the construction thereof upon said lands8 25on account ofand due to the settling of the soil along and 8 26 abovesaidthe pipeline, provided, that nothing herein8 27contained shall. However, this section shall not prevent the 8 28 execution of an agreement between the pipeline company and the 8 29 owner ofsaidland or crops with reference to the usethereof8 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, throughin whichsaidproperty of a pipeline 9 1 company is located,shall have jurisdiction; and service of9 2original notice on the pipeline company therein shall be had9 3and 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 rulesRules 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 32AAfter 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 ofmaking9 35land surveyssurveying and examining the land to determine the 10 1 direction or depth ofpipelines, not to exceed a depth of10 2twenty-five feet, after receipt of a permit to construct,10 3maintain and operate its pipelinea 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,andsurvey, 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 13AnyA person who violatesany provision ofthis chapter or 10 14 anyregulationrule or order issued pursuant to this chapter 10 15 shall be subject to a civil penaltyoflevied 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 the Iowa energy center created in 10 22 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 eitherpersonparty has not appointed its arbitrator or agreed 10 32 to an arbitrator under the agreement within thirty days after 10 33 the otherpersonparty 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 otherpersonparty. 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 otherperson11 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 14personparty 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 beendetermined by negotiation, arbitration or action of the11 25courts. This section does not apply ifresolved, unless the 11 26 damage claim is under litigation,orarbitration, 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 and12 3one hundredNot 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 thepetitioning landowner12 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 25landownerapplicant 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 thelandownerapplicant 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.The13 15additional costs shall be paid by the pipeline company upon13 16presentation of an invoice, verified by the county engineer or13 17soil and water conservation district conservationist and13 18specifically showing the added costs caused by the presence of13 19the pipeline. A copy of the county engineer's or district13 20conservationist's verification of additional costs shall13 21accompany 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 34Pipeline companiesA 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 2reconstructing, 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 22and service of original notice on the pipeline company may be14 23made 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 ofmaking land surveyssurveying and examining the 15 17 land to determine direction or depth ofpipelinesa 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 issued pursuant to this chapter is subject to a 15 31 civil penalty levied by the board not to exceed one thousand 15 32 dollars for each violation. Each day that the violation 15 33 continues constitutes a separate offense. However, the civil 15 34 penalty shall not exceed two hundred thousand dollars for any 15 35 related series of violations. 16 1 Sec. 24. Section 479A.20, Code 1995, is amended to read as 16 2 follows: 16 3 479A.20 ARBITRATION AGREEMENTS. 16 4 Notwithstanding conflicting provisions of chapter 679A, if 16 5 an easement or other written agreement between a landowner and 16 6 a pipeline company provides for the determination through 16 7 arbitration of the amount of monetary damages sustained by a 16 8 landowner and caused by the construction, maintenance, or re- 16 9 pair of a pipeline, and if eitherpersonparty has not 16 10 appointed its arbitrator or agreed to an arbitrator under the 16 11 agreement within thirty days after the otherpersonparty has 16 12 invoked the arbitration provisions of the agreement by written 16 13 notice to the other party by restricted certified mail, the 16 14 landowner or the pipeline company may petition a magistrate in 16 15 the county where the real property is located for the 16 16 appointment of an arbitrator to serve in place of the 16 17 arbitrator who would have been appointed or agreed to by the 16 18 otherpersonparty. Before filing the petition the landowner 16 19 or pipeline company shall give notice of the petitioning of 16 20 the magistrate by restricted certified mail to the other 16 21personparty and file proof of mailing with the petition. If, 16 22 after hearing, the magistrate finds that the landowner or 16 23 pipeline company has not been diligent in appointing or 16 24 reasonable in agreeing to an arbitrator, the magistrate shall 16 25 appoint an impartial arbitrator who shall have all of the 16 26 powers and duties of an arbitrator appointed or agreed to by 16 27 the otherpersonparty under the agreement. 16 28 For purposes of this section only, "landowner" means the 16 29 persons who signed the easement or other written agreement, 16 30 their heirs, successors, and assigns. 16 31 Sec. 25. Section 479A.21, Code 1995, is amended to read as 16 32 follows: 16 33 479A.21 SUBSEQUENT PIPELINES. 16 34 A pipeline company shall not install a subsequent pipeline 16 35 upon its existing easement when a damage claim from the 17 1 installation of its previous pipeline on that easement has not 17 2 beendetermined by negotiation, arbitration, or action of the17 3courts. However, this section does not apply if the damage17 4 resolved unless that claim is under litigation or arbitration 17 5 or is the subject of a proceeding pursuant to section 479A.25. 17 6 Sec. 26. Section 479A.25, subsections 1, 2, and 3, Code 17 7 1995, are amended to read as follows: 17 8 1. The county board of supervisors shall determine when 17 9 installation of a pipeline has been completed in that county 17 10 for the purposes of this section.Within one year ofNot less 17 11 than ninety days after the completion of installation, and if 17 12 an agreement cannot be made as to damages, a landowner whose 17 13 land was affected by the installation of the pipeline or the 17 14 pipeline company may file with the board of supervisors a 17 15 petition asking that a compensation commission determine the 17 16 damages arising from the installation of the pipeline. 17 17 2. If the board of supervisors by resolution approves the 17 18 petition, the landowner or pipeline company shall commence the 17 19 proceeding by filing an application with the chief judge of 17 20 the judicial district of the county for the appointment of a 17 21 compensation commission as provided in section 6B.4. 17 22 The application shall contain all of the following: 17 23 a. The name and address of thepetitioning landowner17 24 applicant and a description of the land on which the damage is 17 25 claimed to have occurred. 17 26 b. A description of the nature of the damage claimed to 17 27 have occurred and the amount of the damage claimed. 17 28 c. The name and address of the pipeline company claimed to 17 29 have caused the damage or the name and address of the affected 17 30 landowner. 17 31 3. After the commissioners have been appointed, the 17 32landownerapplicant shall serve notice on the pipeline company 17 33 or the landowner stating all of the following: 17 34 a. That a compensation commission has been appointed to 17 35 determine the damages caused by the installation of the pipe- 18 1 line. 18 2 b. The name and address of thelandownerapplicant and a 18 3 description of the land on which the damage is claimed to have 18 4 occurred. 18 5 c. The place, date, and time when the commissioners will 18 6 view the premises and proceed to appraise the damages and that 18 7 the pipeline company or landowner may appear before the 18 8 commissioners. 18 9d. That the pipeline company may appear before the com-18 10missioners.18 11 Sections 6B.10 to 6B.13 apply to this notice. If more than 18 12 one landowner petitions the county board of supervisors, the 18 13 application to the chief judge, notice to the pipeline 18 14 company, and appraisement of damages shall be consolidated 18 15 into one application, notice, and appraisement. The county 18 16 attorney may assist in coordinating the consolidated 18 17 application and notice, but does not become an attorney for 18 18 the landowners by doing so. 18 19 Sec. 27. Section 479A.26, Code 1995, is amended to read as 18 20 follows: 18 21 479A.26 SUBSEQUENT TILING. 18 22 Additional costs of new tile construction caused by an 18 23 existing pipeline shall be paid by the pipeline company.The18 24additional costs shall be paid by the pipeline company upon18 25presentation of an invoice, verified by the county engineer or18 26soil and water conservation district conservationist and18 27specifically showing the added costs caused by the presence of18 28the pipeline. A copy of the county engineer's or district18 29conservationist's verification of additional costs shall18 30accompany the invoice to the pipeline company.To receive 18 31 compensation under this section, the landowner or agent of the 18 32 landowner shall either present an invoice specifying the 18 33 additional costs caused by the presence of the pipeline which 18 34 is accompanied by a written verification of the additional 18 35 costs by the county engineer or soil and water conservation 19 1 district conservationist or reach an agreement with the 19 2 pipeline company on the project design and share of the cost 19 3 to be paid by the pipeline company during the planning of the 19 4 tiling project. 19 5 Sec. 28. NEW SECTION. 479B.1 PURPOSE &endash; AUTHORITY. 19 6 It is the purpose of the general assembly in enacting this 19 7 law to grant the utilities board the authority to implement 19 8 certain controls over hazardous liquid pipelines to protect 19 9 landowners and tenants from environmental or economic damages 19 10 which may result from the construction, operation, or 19 11 maintenance of a hazardous liquid pipeline or underground 19 12 storage facility within the state, to approve the location and 19 13 route of hazardous liquid pipelines, and to grant rights of 19 14 eminent domain where necessary. 19 15 Sec. 29. NEW SECTION. 479B.2 DEFINITIONS. 19 16 As used in this chapter, unless the context appears 19 17 otherwise: 19 18 1. "Board" means the utilities board within the utilities 19 19 division of the department of commerce. 19 20 2. "Hazardous liquid" means crude oil, refined petroleum 19 21 products, liquefied petroleum gases, anhydrous ammonia, liquid 19 22 fertilizers, liquefied carbon dioxide, alcohols, and coal 19 23 slurries. 19 24 3. "Pipeline" means an interstate pipe or pipeline and 19 25 necessary appurtenances used for the transportation or 19 26 transmission of hazardous liquids. 19 27 4. "Pipeline company" means a person engaged in or 19 28 organized for the purpose of owning, operating, or controlling 19 29 pipelines for the transportation or transmission of any 19 30 hazardous liquid or underground storage facilities for the 19 31 underground storage of any hazardous liquid. 19 32 5. "Underground storage" means storage of hazardous liquid 19 33 in a subsurface stratum or formation of the earth. 19 34 6. "Utilities division" means the utilities division of 19 35 the department of commerce. 20 1 Sec. 30. NEW SECTION. 479B.3 CONDITIONS ATTENDING 20 2 OPERATION. 20 3 A pipeline company shall not construct, maintain, or 20 4 operate a pipeline or underground storage facility under, 20 5 along, over, or across any public or private highways, 20 6 grounds, waters, or streams of any kind in this state except 20 7 in accordance with this chapter. 20 8 Sec. 31. NEW SECTION. 479B.4 APPLICATION FOR PERMIT 20 9 INFORMATIONAL MEETING &endash; NOTICE. 20 10 A pipeline company doing business in this state shall file 20 11 a verified petition with the board asking for a permit to 20 12 construct, maintain, and operate a new pipeline along, over, 20 13 or across the public or private highways, grounds, waters, and 20 14 streams of any kind in this state. Any pipeline company now 20 15 owning or operating a pipeline in this state shall be issued a 20 16 permit by the board upon supplying the information as provided 20 17 for in section 479B.5, subsections 1 through 5, and meeting 20 18 the requirements of section 479B.13. 20 19 A pipeline company doing business in this state and 20 20 proposing to store hazardous liquid underground within this 20 21 state shall file with the board a verified petition asking for 20 22 a permit to construct, maintain, and operate facilities for 20 23 the underground storage of hazardous liquid which includes the 20 24 construction, placement, maintenance, and operation of 20 25 machinery, appliances, fixtures, wells, pipelines, and 20 26 stations necessary for the construction, maintenance, and 20 27 operation of the underground storage facilities. 20 28 The pipeline company shall hold informational meetings in 20 29 each county in which real property or property rights will be 20 30 affected at least thirty days prior to filing the petition for 20 31 a new pipeline. A member of the board, or a person designated 20 32 by the board, shall serve as the presiding officer at each 20 33 meeting and present an agenda for the meeting which shall 20 34 include a summary of the legal rights of the affected 20 35 landowners. No formal record of the meeting shall be 21 1 required. The meeting shall be held at a location reasonably 21 2 accessible to all persons who may be affected by granting the 21 3 permit. 21 4 The pipeline company seeking the permit for a new pipeline 21 5 shall give notice of the informational meeting to each 21 6 landowner affected by the proposed project and each person in 21 7 possession of or residing on the property. For the purposes 21 8 of the informational meeting, "landowner" means a person 21 9 listed on the tax assessment rolls as responsible for the 21 10 payment of real estate taxes imposed on the property and 21 11 "pipeline" means a line transporting a hazardous liquid under 21 12 pressure in excess of one hundred fifty pounds per square inch 21 13 and extending a distance of not less than five miles or having 21 14 a future anticipated extension of an overall distance of five 21 15 miles. 21 16 The notice shall set forth the following: the name of the 21 17 applicant, the applicant's principal place of business, the 21 18 general description and purpose of the proposed project, the 21 19 general nature of the right-of-way desired, a map showing the 21 20 route or location of the proposed project, that the landowner 21 21 has a right to be present at the meeting and to file 21 22 objections with the board, and a designation of the time and 21 23 place of the meeting. The notice shall be sent by restricted 21 24 certified mail and shall be published once in a newspaper of 21 25 general circulation in the county not less than thirty days 21 26 before the date set for the meeting. The publication shall be 21 27 considered notice to landowners whose residence is not known 21 28 and to each person in possession of or residing on the 21 29 property provided a good faith effort to notify can be 21 30 demonstrated by the pipeline company. 21 31 A pipeline company seeking rights under this chapter shall 21 32 not negotiate or purchase an easement or other interest in 21 33 land in a county known to be affected by the proposed project 21 34 prior to the informational meeting. 21 35 Sec. 32. NEW SECTION. 479B.5 PETITION. 22 1 A petition for a permit shall state all of the following: 22 2 1. The name of the individual, firm, corporation, company, 22 3 or association applying for the permit. 22 4 2. The applicant's principal office and place of business. 22 5 3. A legal description of the route of the proposed 22 6 pipeline and a map of the route. 22 7 4. A general description of the public or private 22 8 highways, grounds, waters, streams, and private lands of any 22 9 kind along, over, or across which the proposed pipeline will 22 10 pass. 22 11 5. If permission is sought to construct, maintain, and 22 12 operate facilities for the underground storage of hazardous 22 13 liquids the petition shall include the following additional 22 14 information: 22 15 a. A description and a map of the public or private 22 16 highways, grounds, waters, streams, and private lands of any 22 17 kind under which the storage is proposed. 22 18 b. Maps showing the location of proposed machinery, 22 19 appliances, fixtures, wells, and stations necessary for the 22 20 construction, maintenance, and operation of the hazardous 22 21 liquid storage facilities. 22 22 6. The possible use of alternative routes. 22 23 7. The relationship of the proposed project to the present 22 24 and future land use and zoning ordinances. 22 25 8. The inconvenience or undue injury which may result to 22 26 property owners as a result of the proposed project. 22 27 9. An affidavit attesting to the fact that informational 22 28 meetings were held in each county affected by the proposed 22 29 project and the time and place of each meeting. 22 30 Sec. 33. NEW SECTION. 479B.6 HEARING &endash; NOTICE. 22 31 After the petition is filed, the board shall fix a date for 22 32 a hearing and shall publish notice for two consecutive weeks, 22 33 in a newspaper of general circulation in each county through 22 34 which the proposed pipeline or hazardous liquid storage 22 35 facilities will extend. 23 1 The hearing shall not be less than ten days nor more than 23 2 thirty days from the date of the last publication of the 23 3 notice. If the pipeline exceeds five miles in length, the 23 4 hearing shall be held in the county seat of the county located 23 5 at the midpoint of the proposed pipeline or the county in 23 6 which the proposed hazardous liquid storage facility would be 23 7 located. 23 8 Sec. 34. NEW SECTION. 479B.7 OBJECTIONS. 23 9 A person, including a governmental entity, whose rights or 23 10 interests may be affected by the proposed pipeline or 23 11 hazardous liquid storage facilities may file written 23 12 objections. 23 13 All objections shall be on file with the board not less 23 14 than five days before the date of hearing on the application. 23 15 However, the board may permit the filing of the objections 23 16 later than five days before the hearing, in which event the 23 17 applicant must be granted a reasonable time to meet the 23 18 objections. 23 19 Sec. 35. NEW SECTION. 479B.8 EXAMINATION &endash; TESTIMONY. 23 20 The board may examine the proposed route of the pipeline 23 21 and location of the underground storage facility. At the 23 22 hearing the board shall consider the petition and any 23 23 objections and may hear testimony to assist the board in 23 24 making its determination regarding the application. 23 25 Sec. 36. NEW SECTION. 479B.9 FINAL ORDER &endash; CONDITION. 23 26 The board may grant a permit in whole or in part upon 23 27 terms, conditions, and restrictions as to location and route 23 28 as it determines to be just and proper. A permit shall not be 23 29 granted to a pipeline company unless the board determines that 23 30 the proposed services will promote the public convenience and 23 31 necessity. 23 32 Sec. 37. NEW SECTION. 479B.10 COSTS AND FEES. 23 33 The applicant shall pay all costs of the informational 23 34 meetings, hearing, and necessary preliminary investigation 23 35 including the cost of publishing notice of hearing, and shall 24 1 pay the actual unrecovered costs directly attributable to 24 2 inspections conducted by the board. 24 3 Sec. 38. NEW SECTION. 479B.11 INSPECTION FEE. 24 4 If the board enters into agreements with the United States 24 5 department of transportation pursuant to section 479B.23, a 24 6 pipeline company shall pay an annual fee of fifty cents per 24 7 mile of pipeline or fraction thereof for each inch of diameter 24 8 of the pipeline located in the state. The inspection fee 24 9 shall be paid to the board between January 1 and February 1 24 10 for the calendar year. 24 11 The board shall collect all fees. Failure to pay any fee 24 12 within thirty days from the due date shall be grounds for 24 13 revocation of the permit or assessment of civil penalties. 24 14 Sec. 39. NEW SECTION. 479B.12 USE OF FUNDS. 24 15 All moneys received under this chapter, other than civil 24 16 penalties collected pursuant to section 479B.21, shall be 24 17 remitted monthly to the treasurer of state and credited to the 24 18 general fund of the state. 24 19 Sec. 40. NEW SECTION. 479B.13 FINANCIAL CONDITION OF 24 20 PERMITTEE BOND. 24 21 Before a permit is granted under this chapter the applicant 24 22 must satisfy the board that the applicant has property within 24 23 this state other than pipelines or underground storage 24 24 facilities, subject to execution of a value in excess of two 24 25 hundred fifty thousand dollars, or the applicant must file and 24 26 maintain with the board a surety bond in the penal sum of two 24 27 hundred fifty thousand dollars with surety approved by the 24 28 board, conditioned that the applicant will pay any and all 24 29 damages legally recovered against it growing out of the 24 30 construction, maintenance, or operation of its pipeline or 24 31 underground storage facilities in this state. When the 24 32 pipeline company deposits with the board security satisfactory 24 33 to the board as a guaranty for the payment of the damages, or 24 34 furnishes to the board satisfactory proofs of its solvency and 24 35 financial ability to pay the damages, the pipeline company is 25 1 relieved of the provisions requiring bond. 25 2 Sec. 41. NEW SECTION. 479B.14 PERMITS &endash; LIMITATIONS &endash; 25 3 SALE OR TRANSFER &endash; RECORDS &endash; EXTENSION. 25 4 The board shall prepare and issue permits. The permit 25 5 shall show the name and address of the pipeline company to 25 6 which it is issued and identify the decision and order of the 25 7 board under which the permit is issued. The permit shall be 25 8 signed by the chairperson of the board and the official seal 25 9 of the board shall be affixed to it. 25 10 The board shall not grant an exclusive right to any 25 11 pipeline company to construct, maintain, or operate its 25 12 pipeline along, over, or across any public or private highway, 25 13 grounds, waters, or streams. The board shall not grant a 25 14 permit for longer than twenty-five years. 25 15 A permit shall not be sold until the sale is approved by 25 16 the board. 25 17 If a transfer of a permit is made before the construction 25 18 for which it was issued is completed in whole or in part, the 25 19 transfer shall not be effective until the pipeline company to 25 20 which it was issued files with the board a notice in writing 25 21 stating the date of the transfer and the name and address of 25 22 the transferee. 25 23 The board shall keep a record of all permits granted by it, 25 24 showing when and to whom granted and the location and route of 25 25 the pipeline or underground storage facility, and if the 25 26 permit has been transferred, the date and the name and address 25 27 of the transferee. 25 28 A pipeline company may petition the board for an extension 25 29 of a permit granted under this section by filing a petition 25 30 containing the information required by section 479B.5, 25 31 subsections 1 through 5, and meeting the requirements of 25 32 section 479B.13. 25 33 Sec. 42. NEW SECTION. 479B.15 ENTRY FOR LAND SURVEYS. 25 34 After the informational meeting or after the filing of a 25 35 petition if no informational meeting is required, a pipeline 26 1 company may enter upon private land for the purpose of 26 2 surveying and examining the land to determine direction or 26 3 depth of pipelines by giving ten days' written notice by 26 4 restricted certified mail to the landowner as defined in 26 5 section 479B.4 and to any person residing on or in possession 26 6 of the land. The entry for land surveys shall not be deemed a 26 7 trespass and may be aided by injunction. The pipeline company 26 8 shall pay the actual damages caused by the entry, survey, and 26 9 examination. 26 10 Sec. 43. NEW SECTION. 479B.16 EMINENT DOMAIN. 26 11 A pipeline company granted a pipeline permit shall be 26 12 vested with the right of eminent domain, to the extent 26 13 necessary and as prescribed and approved by the board, not 26 14 exceeding seventy-five feet in width for right-of-way and not 26 15 exceeding one acre in any one location in addition to right- 26 16 of-way for the location of pumps, pressure apparatus, or other 26 17 stations or equipment necessary to the proper operation of its 26 18 pipeline. The board may grant additional eminent domain 26 19 rights where the pipeline company has presented sufficient 26 20 evidence to adequately demonstrate that a greater area is 26 21 required for the proper construction, operation, and 26 22 maintenance of the pipeline or for the location of pumps, 26 23 pressure apparatus, or other stations or equipment necessary 26 24 to the proper operation of its pipeline. 26 25 A pipeline company granted a permit for underground storage 26 26 of hazardous liquid shall be vested with the right of eminent 26 27 domain to the extent necessary and as prescribed and approved 26 28 by the board in order to appropriate for its use for the 26 29 underground storage of hazardous liquid any subsurface stratum 26 30 or formation in any land which the board shall have found to 26 31 be suitable and in the public interest for the underground 26 32 storage of hazardous liquid, and may appropriate other 26 33 interests in property, as may be required adequately to 26 34 examine, prepare, maintain, and operate the underground 26 35 storage facilities. 27 1 This chapter does not authorize the construction of a 27 2 pipeline longitudinally on, over, or under any railroad right- 27 3 of-way or public highway, or at other than an approximate 27 4 right angle to a railroad track or public highway without the 27 5 consent of the railroad company, the state department of 27 6 transportation, or the county board of supervisors, and this 27 7 chapter does not authorize or give the right of condemnation 27 8 or eminent domain for such purposes. 27 9 Sec. 44. NEW SECTION. 479B.17 DAMAGES. 27 10 A pipeline company operating a pipeline or an underground 27 11 storage facility shall have reasonable access to the pipeline 27 12 or underground storage facility for the purpose of 27 13 constructing, operating, maintaining, or locating pipes, 27 14 pumps, pressure apparatus, or other stations, wells, devices, 27 15 or equipment used in or upon the pipeline or underground 27 16 storage facility. A pipeline company shall pay the owner of 27 17 the land for the right of entry and the owner of crops for all 27 18 damages caused by entering, using, or occupying the lands and 27 19 shall pay to the owner all damages caused by the completion of 27 20 construction of the pipeline due to wash or erosion of the 27 21 soil at or along the location of the pipeline and due to the 27 22 settling of the soil along and above the pipeline. However, 27 23 this section does not prevent the execution of an agreement 27 24 between the pipeline company and the owner of the land or 27 25 crops with reference to the use of the land. 27 26 Sec. 45. NEW SECTION. 479B.18 VENUE. 27 27 In all cases arising under this chapter, the district court 27 28 of any county in which property of a pipeline company is 27 29 located has jurisdiction of a case involving the pipeline 27 30 company. 27 31 Sec. 46. NEW SECTION. 479B.19 ORDERS &endash; ENFORCEMENT. 27 32 If the pipeline company fails to obey an order within the 27 33 period of time determined by the board, the board may commence 27 34 an equitable action in the district court of the county where 27 35 the pipeline, device, apparatus, equipment, or underground 28 1 storage facility is located to compel compliance with its 28 2 order. If, after trial, the court finds that the order is 28 3 reasonable, equitable, and just, the court shall decree a 28 4 mandatory injunction compelling obedience to and compliance 28 5 with the order and may grant other relief as may be just and 28 6 proper. Appeal from the decree may be taken in the same 28 7 manner as in other actions. 28 8 Sec. 47. NEW SECTION. 479B.20 LAND RESTORATION 28 9 STANDARDS. 28 10 1. The board, pursuant to chapter 17A, shall adopt rules 28 11 establishing standards for the protection of underground 28 12 improvements during the construction of pipelines or 28 13 underground storage facilities, to protect soil conservation 28 14 and drainage structures from being permanently damaged by 28 15 construction of the pipeline or underground storage facility, 28 16 and for the restoration of agricultural lands after pipeline 28 17 or underground storage facility construction. To ensure that 28 18 all interested persons are informed of this rulemaking 28 19 procedure and are afforded a right to participate, the board 28 20 shall schedule an opportunity for oral presentations on the 28 21 proposed rulemaking, and, in addition to the requirements of 28 22 section 17A.4, shall distribute copies of the notice of 28 23 intended action and opportunity for oral presentations to each 28 24 county board of supervisors. Any county board of supervisors 28 25 may, under the provisions of chapter 17A, and subsequent to 28 26 the rulemaking proceedings, petition under those provisions 28 27 for additional rulemaking to establish standards to protect 28 28 soil conservation practices, structures, and drainage 28 29 structures within that county. Upon the request of the 28 30 petitioning county, the board shall schedule a hearing to 28 31 consider the merits of the petition. Rules adopted under this 28 32 section shall not apply within the boundaries of a city unless 28 33 the land is used for agricultural purposes. 28 34 2. The county board of supervisors shall cause an on-site 28 35 inspection for compliance with the standards adopted under 29 1 this section to be performed at any pipeline construction 29 2 project in the county. A professional engineer familiar with 29 3 the standards adopted under this section and registered under 29 4 chapter 542B shall be responsible for the inspection. A 29 5 county board of supervisors may contract for the services of a 29 6 professional engineer for the purposes of the inspection. The 29 7 reasonable costs of the inspection shall be paid by the 29 8 pipeline company. 29 9 3. If the inspector determines that there has been a 29 10 violation of the standards adopted under this section, the 29 11 inspector shall give oral notice, followed by written notice, 29 12 to the pipeline company and the contractor operating for the 29 13 pipeline company and order corrective action to be taken in 29 14 compliance with the standards. The costs of the corrective 29 15 action shall be borne by the contractor operating for the 29 16 pipeline company. 29 17 4. As a part of the inspection process, the inspector 29 18 shall ascertain that the trench excavation has been filled in 29 19 a manner to provide that the topsoil has been replaced on top 29 20 and rocks and debris have been removed from the topsoil of the 29 21 easement area. An existing topsoil layer extending at least 29 22 one foot in width on either side of the pipeline excavation at 29 23 a maximum depth of twelve inches shall be removed separately 29 24 and shall be stockpiled and preserved separately during 29 25 subsequent construction operations, unless other means for 29 26 separating the topsoil are provided in the easement. The 29 27 topsoil shall be replaced so the upper portion of the pipeline 29 28 excavation and the crowned surface shall contain only the 29 29 topsoil originally removed. 29 30 5. Adequate inspection of underground improvements altered 29 31 during construction of the pipeline shall be conducted at the 29 32 time of the replacement or repair of the underground 29 33 improvements. An inspector shall be present on the site at 29 34 all times at each phase and separate activity of the opening 29 35 of the trench, the restoration of underground improvements, 30 1 and backfilling. The pipeline company and its contractor 30 2 shall keep all county inspectors continually informed of the 30 3 work schedule and any schedule changes. 30 4 6. If the pipeline company or its contractor does not 30 5 comply with the orders of the inspector for compliance with 30 6 the standards, the county board of supervisors may direct the 30 7 county attorney to petition the district court for an order 30 8 requiring corrective action to be taken in compliance with the 30 9 standards adopted under this section. 30 10 7. The pipeline company shall allow landowners and 30 11 inspectors to view the proposed center line of the pipeline 30 12 prior to commencing trenching operations to ensure that 30 13 construction takes place in its proper location. 30 14 8. An inspector may temporarily halt the construction if 30 15 the construction is not in compliance with the law or the 30 16 terms of the agreement with the pipeline company regarding 30 17 topsoil removal and replacement, drainage structures, soil 30 18 moisture conditions, or the location of construction until the 30 19 inspector consults with the supervisory personnel of the 30 20 pipeline company. If the construction is then continued over 30 21 the inspector's objection and is found not to be in compliance 30 22 with the law or agreement and is found to cause damage, any 30 23 civil penalty recovered under section 479B.21 as a result of 30 24 that violation shall be paid to the landowner. 30 25 9. The board shall instruct inspectors appointed by the 30 26 board of supervisors regarding the content of the statutes and 30 27 rules and the inspector's responsibility to require 30 28 construction conforming with the standards provided by this 30 29 chapter. 30 30 10. Any underground drain tile damaged, cut, or removed 30 31 shall be temporarily repaired and maintained as necessary to 30 32 allow for its proper function during construction of the 30 33 pipeline or underground storage facility. If temporary repair 30 34 is not determined to be necessary, the exposed tile shall 30 35 nonetheless be screened or otherwise protected to prevent the 31 1 entry of any foreign material or small animals into the tile 31 2 line system. 31 3 11. This section does not preclude the application of 31 4 provisions for protecting or restoring property contained in 31 5 agreements independently executed by the pipeline company and 31 6 the landowner if the provisions are not inconsistent with 31 7 state law or with rules adopted by the board. 31 8 Sec. 48. NEW SECTION. 479B.21 CIVIL PENALTY. 31 9 A person who violates this chapter or any rule or order 31 10 issued pursuant to this chapter shall be subject to a civil 31 11 penalty levied by the board in an amount not to exceed one 31 12 thousand dollars for each violation. Each day that the 31 13 violation continues shall constitute a separate offense. 31 14 However, the maximum civil penalty shall not exceed two 31 15 hundred thousand dollars for any related series of violations. 31 16 Civil penalties collected pursuant to this section shall be 31 17 credited to and are appropriated for the use of the Iowa 31 18 energy center created in section 266.39C. 31 19 A civil penalty may be compromised by the board. In 31 20 determining the amount of the penalty, or the amount agreed 31 21 upon in compromise, the appropriateness of the penalty to the 31 22 size of the pipeline company charged, the gravity of the 31 23 violation, and the good faith of the person charged in 31 24 attempting to achieve compliance, after notification of a 31 25 violation, shall be considered. The amount of the penalty, 31 26 when finally determined, or the amount agreed upon in 31 27 compromise, may be deducted from any sums owed by the state to 31 28 the person charged, or may be recovered in a civil action. 31 29 Sec. 49. NEW SECTION. 479B.22 REHEARING &endash; JUDICIAL 31 30 REVIEW. 31 31 Rehearing procedure for any person aggrieved by actions of 31 32 the board under this chapter shall be as provided in section 31 33 476.12. Judicial review may be sought in accordance with the 31 34 terms of chapter 17A. 31 35 Sec. 50. NEW SECTION. 479B.23 AUTHORIZED FEDERAL AID. 32 1 The board may enter into agreements with and receive moneys 32 2 from the United States department of transportation for the 32 3 inspection of pipelines to determine compliance with 32 4 applicable standards of pipeline safety, and for enforcement 32 5 of the applicable standards of pipeline safety as provided by 32 6 49 U.S.C. } 60101 et seq. 32 7 Sec. 51. NEW SECTION. 479B.24 CANCELLATION. 32 8 A pipeline company seeking to acquire an easement or other 32 9 property interest for the construction, maintenance, or 32 10 operation of a pipeline or underground storage facility shall 32 11 do all of the following: 32 12 1. Allow the landowner or a person serving in a fiduciary 32 13 capacity on the landowner's behalf to cancel an agreement 32 14 granting an easement or other interest by restricted certified 32 15 mail to the pipeline company's principal place of business if 32 16 received by the pipeline company within seven days, excluding 32 17 Saturday and Sunday, of the date of the agreement and inform 32 18 the landowner or the fiduciary in writing of the right to 32 19 cancel prior to the signing of the agreement by the landowner 32 20 or the fiduciary. 32 21 2. Provide the landowner or a person serving in a 32 22 fiduciary capacity in the landowner's behalf with a form in 32 23 duplicate for the notice of cancellation. 32 24 3. Not record an agreement until after the period for 32 25 cancellation has expired. 32 26 4. Not include in the agreement a waiver of the right to 32 27 cancel in accordance with this section. The landowner or a 32 28 person serving in a fiduciary capacity in the landowner's 32 29 behalf may exercise the right of cancellation only once for 32 30 each pipeline project. 32 31 Sec. 52. NEW SECTION. 479B.25 ARBITRATION AGREEMENTS. 32 32 If an easement or other written agreement between a 32 33 landowner and a pipeline company provides for the 32 34 determination through arbitration of the amount of monetary 32 35 damages sustained by a landowner and caused by the 33 1 construction, maintenance, or repair of a pipeline or 33 2 underground storage facility, and if either party has not 33 3 appointed its arbitrator or agreed to an arbitrator under the 33 4 agreement within thirty days after the other party has invoked 33 5 the arbitration provisions of the agreement by written notice 33 6 to the other party by restricted certified mail, the landowner 33 7 or the pipeline company may petition a magistrate in the 33 8 county where the real property is located for the appointment 33 9 of an arbitrator to serve in the stead of the arbitrator who 33 10 would have been appointed or agreed to by the other party. 33 11 Before filing the petition the landowner or pipeline company 33 12 shall give notice of the petitioning of the magistrate by 33 13 restricted certified mail to the other party and file proof of 33 14 mailing with the petition. 33 15 If after hearing, the magistrate finds that the landowner 33 16 or pipeline company has not been diligent in appointing or 33 17 reasonable in agreeing to an arbitrator, the magistrate shall 33 18 appoint an impartial arbitrator who shall have all of the 33 19 powers and duties of an arbitrator appointed or agreed to by 33 20 the other party under the agreement. 33 21 For purposes of this section only, "landowner" means the 33 22 person who signed the easement or other written agreement, or 33 23 the person's heirs, successors, and assigns. 33 24 Sec. 53. NEW SECTION. 479B.26 SUBSEQUENT PIPELINE OR 33 25 UNDERGROUND STORAGE FACILITY. 33 26 A pipeline company shall not construct a subsequent 33 27 pipeline or underground storage facility upon its existing 33 28 easement when a damage claim from the installation of its 33 29 previous pipeline on that easement has not been resolved 33 30 unless that claim is under litigation or arbitration, or is 33 31 the subject of a proceeding pursuant to section 479B.30. 33 32 With the exception of claims for damage to drain tile and 33 33 future crop deficiency, for this section to apply, landowners 33 34 and tenants must submit their claims in writing for damages 33 35 caused by construction of the pipeline or underground storage 34 1 facility within one year of final cleanup on the real property 34 2 by the pipeline company. 34 3 Sec. 54. NEW SECTION. 479B.27 DAMAGE AGREEMENT. 34 4 A pipeline company shall not construct a pipeline or 34 5 underground storage facility until a written statement is on 34 6 file with the board as to how damages resulting from the 34 7 construction of the pipeline shall be determined and paid, 34 8 except in cases of eminent domain. The pipeline company shall 34 9 provide a copy of the statement to the landowner. 34 10 Sec. 55. NEW SECTION. 479B.28 NEGOTIATED FEE. 34 11 In lieu of a one-time lump sum payment for an easement or 34 12 other property interest allowing a pipeline to cross property 34 13 or allowing underground storage of hazardous liquids, a 34 14 landowner and the pipeline company may negotiate an annual 34 15 fee, to be paid over a fixed number of years. Unless the 34 16 easement provides otherwise, the annual fee shall run with the 34 17 land and shall be payable to the owner of record. 34 18 Sec. 56. NEW SECTION. 479B.29 PARTICULAR DAMAGE CLAIMS. 34 19 1. The loss of gain by or the death or injury of livestock 34 20 caused by the interruption or relocation of normal feeding of 34 21 the livestock caused by the construction or repair of a 34 22 pipeline or underground storage facility is a compensable loss 34 23 and shall be recognized by a pipeline company. 34 24 2. A claim for damage for future crop deficiency within 34 25 the easement strip shall not be precluded from renegotiation 34 26 under section 6B.52 on the grounds that it was apparent at the 34 27 time of settlement unless the settlement expressly releases 34 28 the pipeline company from claims for damage to the 34 29 productivity of the soil. The landowner shall notify the 34 30 pipeline company in writing thirty days prior to harvest in 34 31 each year to assess crop deficiency. 34 32 Sec. 57. NEW SECTION. 479B.30 DETERMINATION OF 34 33 CONSTRUCTION DAMAGES. 34 34 1. The county board of supervisors shall determine when 34 35 construction of a pipeline or underground storage facility has 35 1 been completed in that county for the purposes of this 35 2 section. Not less than ninety days after the completion of 35 3 construction and if an agreement cannot be made as to damages, 35 4 a landowner whose land was affected by the construction of the 35 5 pipeline or underground storage facility or the pipeline 35 6 company may file with the board of supervisors a petition 35 7 asking that a compensation commission determine the damages 35 8 arising from construction of the pipeline. 35 9 2. If the board of supervisors by resolution approves the 35 10 petition, the landowner or pipeline company shall commence the 35 11 proceeding by filing an application with the chief judge of 35 12 the judicial district for the county for the appointment of a 35 13 compensation commission as provided in section 6B.4. The 35 14 application shall contain all of the following information: 35 15 a. The name and address of the applicant and a description 35 16 of the land on which the damage is claimed to have occurred. 35 17 b. A description of the nature of the damage claimed to 35 18 have occurred and the amount of the damage claimed. 35 19 c. The name and address of the pipeline company claimed to 35 20 have caused the damage or the name and address of the affected 35 21 landowner. 35 22 3. After the commissioners have been appointed, the 35 23 applicant shall serve notice on the pipeline company or the 35 24 landowner stating all of the following: 35 25 a. That a compensation commission has been appointed to 35 26 determine the damages caused by the construction of the 35 27 pipeline or underground storage facility. 35 28 b. The name and address of the applicant and a description 35 29 of the land on which the damage is claimed to have occurred. 35 30 c. The date, time, and place when the commissioners will 35 31 view the premises and proceed to appraise the damages and that 35 32 the pipeline company or landowner may appear before the 35 33 commissioners. 35 34 Sections 6B.10 to 6B.13 apply to this notice. If more than 35 35 one landowner petitions the county board of supervisors, the 36 1 application to the chief judge, notice to the pipeline 36 2 company, and appraisement of damages shall be consolidated 36 3 into one application, notice, and appraisement. The county 36 4 attorney may assist in coordinating the consolidated 36 5 application and notice, but does not become an attorney for 36 6 the landowners by doing so. 36 7 4. The commissioners shall view the land at the time 36 8 provided in the notice and assess the damages sustained by the 36 9 landowner by reason of the construction of the pipeline or 36 10 underground storage facility and they shall file their report 36 11 with the sheriff. The appraisement of damages returned by the 36 12 commissioners is final unless appealed. After the 36 13 appraisement of damages has been delivered to the sheriff by 36 14 the compensation commission, the sheriff shall give written 36 15 notice by ordinary mail to the pipeline company and the 36 16 landowner of the date the appraisement of damages was made, 36 17 the amount of the appraisement, and that any interested party 36 18 may appeal to the district court within thirty days of the 36 19 date of mailing. The sheriff shall endorse the date of 36 20 mailing of notice on the original appraisement of damages. At 36 21 the time of appeal, the appealing party shall give written 36 22 notice to the adverse party or the party's attorney and the 36 23 sheriff. 36 24 5. Chapter 6B applies to this section to the extent it is 36 25 applicable and consistent with this section. 36 26 6. The pipeline company shall pay all costs of the 36 27 assessment made by the commissioners and reasonable attorney 36 28 fees and costs incurred by the landowner as determined by the 36 29 commissioners if the award of the commissioners exceeds one 36 30 hundred ten percent of the final offer of the pipeline company 36 31 prior to the determination of damages; if the award does not 36 32 exceed one hundred ten percent, the landowners shall pay the 36 33 fees and costs incurred by the pipeline company. The pipeline 36 34 company shall file with the sheriff an affidavit setting forth 36 35 the most recent offer made to the landowner. Commissioners 37 1 shall receive a per diem of fifty dollars and actual and 37 2 necessary expenses incurred in the performance of their 37 3 official duties. The pipeline company shall also pay all 37 4 costs occasioned by the appeal, including reasonable attorney 37 5 fees to be taxed by the court, unless on the trial of the 37 6 appeal the same or a lesser amount of damages is awarded than 37 7 was allowed by the commission from which the appeal was taken. 37 8 7. As used in this section, "damages" means compensation 37 9 for damages to the land, crops, and other personal property 37 10 caused by the construction of a pipeline and its attendant 37 11 structures or underground storage facility but does not 37 12 include compensation for a property interest, and "landowner" 37 13 includes a farm tenant. 37 14 8. The provisions of this section do not apply if the 37 15 easement provides for any other means of negotiation or 37 16 arbitration. 37 17 Sec. 58. NEW SECTION. 479B.31 SUBSEQUENT TILING. 37 18 All additional costs of new tile construction caused by an 37 19 existing pipeline or underground storage facility shall be 37 20 paid by the pipeline company. To receive compensation under 37 21 this section, the landowner or agent of the landowner shall 37 22 either present an invoice specifying the additional costs 37 23 caused by the presence of the pipeline which is accompanied by 37 24 a written verification of the additional costs by the county 37 25 engineer or soil and water conservation district 37 26 conservationist or reach an agreement with the pipeline 37 27 company on the project design and share of the cost to be paid 37 28 by the pipeline company during the planning of the tiling 37 29 project. 37 30 Sec. 59. Section 546.7, Code 1995, is amended to read as 37 31 follows: 37 32 546.7 UTILITIES DIVISION. 37 33 The utilities division shall regulate and supervise public 37 34 utilities operating in the state. The division shall enforce 37 35 and implement chapters 476, 476A, 477C, 478, 479,and479A, 38 1 and 479B and shall perform other duties assigned to it by law. 38 2 The division is headed by the administrator of public 38 3 utilities who shall be appointed by the governor pursuant to 38 4 section 474.1. 38 5 Sec. 60. EFFECTIVE DATE. This Act, being deemed of 38 6 immediate importance, takes effect upon enactment. 38 7 Sec. 61. RETROACTIVE APPLICABILITY. The sections of this 38 8 Act which create new sections 479B.17, 479B.25, and 479B.29 38 9 through 479B.31 are retroactive to July 1, 1993. 38 10 EXPLANATION 38 11 This bill creates a new chapter 479B to regulate hazardous 38 12 liquid pipelines and amends chapter 479 regulating pipelines 38 13 and underground gas storage and chapter 479A regulating 38 14 interstate natural gas pipelines. The creation of the new 38 15 chapter is prompted by a United States Eighth Circuit Court 38 16 opinion, Kinley Corporation v. Iowa Utilities Board, 999 F.2d 38 17 354 (8th Circuit 1993) which held that the state was unable to 38 18 regulate hazardous liquid pipelines because chapter 479 was 38 19 invalid as it pertained to hazardous liquid pipelines. 38 20 The purpose of chapter 479B as stated in the Act is to 38 21 grant the Iowa utilities board the authority to implement 38 22 certain controls over hazardous liquid pipelines to protect 38 23 landowners and tenants from environmental or economic damages 38 24 which may result from the construction, operation, or 38 25 maintenance of a hazardous liquid pipeline or underground 38 26 storage facility within the state and to supervise the 38 27 location and route of hazardous liquid pipelines and 38 28 underground storage facilities and to grant eminent domain 38 29 rights when necessary. 38 30 A pipeline company is prohibited from constructing, 38 31 maintaining, or operating a pipeline or underground storage 38 32 facility without a permit issued by the board. The company 38 33 is required to hold informational meetings in each county 38 34 where property rights will be affected at least 30 days before 38 35 filing a petition for a new pipeline. Chapters 479 and 479A 39 1 are also amended to provide that informational hearings must 39 2 be held at least 30 days prior to filing a petition for a new 39 3 pipeline and to simplify the process for obtaining an 39 4 extension of the original permit. 39 5 After the company files a petition, the board sets a date 39 6 for a hearing. A person whose rights may be affected by the 39 7 permit may file written objections with the board. During the 39 8 hearing the board considers the petition, the objections, and 39 9 any other relevant testimony. The applicant must pay all the 39 10 costs of the meetings, hearing, and investigative work and the 39 11 costs of inspections conducted by the board. The bill 39 12 provides that if the board enters into an agreement with the 39 13 United States department of transportation, a pipeline company 39 14 must pay an annual fee of 50 cents per mile of pipeline or 39 15 fraction thereof for each inch of diameter of the pipeline 39 16 located in the state. The inspection fees are to be paid to 39 17 the board between January 1 and February 1 of each year. A 39 18 pipeline company who fails to pay the fees may be subject to 39 19 civil penalties or the revocation of the permit. 39 20 The bill requires that before a permit may be granted, the 39 21 applicant must satisfy the board that the applicant is in good 39 22 financial condition or provide a bond. Permits are limited to 39 23 25 years and may be sold or transferred by the permittee under 39 24 certain conditions. 39 25 After receipt of a permit, a pipeline company has the right 39 26 to survey and examine the proposed construction area. A 39 27 pipeline company issued a pipeline permit has the right of 39 28 eminent domain to the extent necessary and as approved by the 39 29 board, but not to exceed 75 feet in width for right-of-way and 39 30 not to exceed one acre in any one location in addition to 39 31 right-of-way for the location of pumps, pressure apparatus, or 39 32 other stations or equipment necessary to the operation of the 39 33 pipeline. In addition to adding these provisions to chapter 39 34 479B, the bill amends chapters 479 and 479A to provide that 39 35 the board may grant additional eminent domain rights where the 40 1 pipeline company has presented sufficient evidence to 40 2 adequately demonstrate that a greater area is required for the 40 3 proper construction, operation, and maintenance of the 40 4 pipeline or for the location of pumps, pressure apparatus, or 40 5 other stations or equipment necessary to the proper operation 40 6 of its pipeline. A pipeline company granted a permit for 40 7 underground storage of hazardous liquid is vested with the 40 8 right of eminent domain over any subsurface stratum or 40 9 formation in any land which the board finds to be suitable for 40 10 the location of an underground storage facility. 40 11 A pipeline company is granted reasonable access to the area 40 12 for the purposes of constructing, operating, maintaining, or 40 13 locating pipes, pumps, pressure apparatus, or other stations, 40 14 wells, devices, or equipment and is responsible for payment of 40 15 all damages to land or crops caused by the pipeline or storage 40 16 facility. 40 17 The bill gives the board the ability to adopt land 40 18 restoration standards to protect underground improvements 40 19 during the construction of a pipeline or underground storage 40 20 facility, soil conservation practices, and drainage structures 40 21 and for the restoration of agricultural lands. The county 40 22 board of supervisors inspects the site to ensure compliance 40 23 with the standards. 40 24 In chapter 479B, the bill provides that if an agreement for 40 25 damages cannot be reached 90 days after completion of the 40 26 installation, a landowner or pipeline company may file with 40 27 the board of supervisors of the county requesting that a 40 28 compensation commission be appointed to determine the damages 40 29 arising from the installation of the pipeline. Chapters 479 40 30 and 479A are also amended to provide that either the landowner 40 31 or the pipeline company may request the establishment of the 40 32 compensation commission and to change the time period in which 40 33 the petition may be filed from between 75 and 100 days from 40 34 installation to not less than 90 days from installation of the 40 35 pipeline. 41 1 The bill provides that the additional costs of new tile 41 2 construction caused by an existing pipeline must be paid by 41 3 the pipeline company. For chapters 479 and 479A, the bill 41 4 changes the way compensation may be obtained for these 41 5 damages. Currently, the additional costs must be verified by 41 6 the county engineer or soil and water conservation district 41 7 conservationist. The bill allows the landowner to enter into 41 8 an agreement as to costs with the pipeline company during the 41 9 planning of the tiling project. 41 10 The bill contains other provisions regarding cancellation 41 11 of the easement, arbitration agreements, and further damage 41 12 provisions. The bill provides that any person who violates a 41 13 provision of chapter 479B is subject to a civil penalty of up 41 14 to $1,000 for each violation. Each day the violation 41 15 continues constitutes a separate violation, but the amount is 41 16 not to exceed $250,000. The moneys are to be credited to the 41 17 Iowa energy center created in section 266.39C. 41 18 The bill is effective upon enactment and provisions of the 41 19 bill relating to damages, arbitration agreements, and 41 20 subsequent tiling for new chapter 479B are retroactive to July 41 21 1, 1993. 41 22 LSB 1975HC 76 41 23 js/jj/8
Text: HSB00132 Text: HSB00134 Text: HSB00100 - HSB00199 Text: HSB Index Bills and Amendments: General Index Bill History: General Index
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