House File 565 H-1146 Amend House File 565 as follows: 1 1. By striking everything after the enacting clause and 2 inserting: 3 < DIVISION I 4 PIPELINE PROJECTS 5 Section 1. Section 479.25, Code 2023, is amended to read as 6 follows: 7 479.25 Damages. 8 1. A pipeline company operating a pipeline or a gas 9 storage area shall have reasonable access to the pipeline or 10 gas storage area for the purpose of constructing, operating, 11 maintaining, or locating pipes, pumps, pressure apparatus or 12 other stations, wells, devices, or equipment used in or upon 13 the pipeline or gas storage area; shall pay the owner of the 14 land for the right of entry and the owner of crops for all 15 damages caused by entering, using, or occupying the land; and 16 shall pay to the owner all damages caused by the completion 17 of construction of the pipeline due to wash or erosion of the 18 soil at or along the location of the pipeline and due to the 19 settling of the soil along and above the pipeline. However, 20 this section shall not prevent the execution of an agreement 21 between the pipeline company and the owner of land or crops 22 with reference to the use of the land. 23 2. A claim for crop yield loss damages pursuant to this 24 section shall not be precluded from renegotiation under section 25 6B.52 on the grounds that the damages were apparent at the time 26 of settlement or on the grounds that more than five years have 27 elapsed since the date of the settlement. 28 3. A landowner or farm tenant may file an action for relief 29 in small claims or district court for damages, including but 30 not limited to crop yield loss damages. 31 Sec. 2. Section 479A.11, Code 2023, is amended to read as 32 follows: 33 479A.11 Damages. 34 1. A pipeline company operating pipelines or underground 35 -1- HF 565.1302 (2) 90 es/rn 1/ 7 #1.

storage shall be given reasonable access to the pipelines and 1 storage areas for the purpose of constructing, operating, 2 maintaining, or locating their pipes, pumps, pressure 3 apparatus, or other stations, wells, devices, or equipment used 4 in or upon a pipeline or storage area, but shall pay the owner 5 of the lands for the right of entry and the owner of crops on 6 the land all damages caused by entering, using, or occupying 7 the lands for these purposes; and shall pay to the owner of the 8 lands, after the completion of construction of the pipeline or 9 storage, all damages caused by settling of the soil along and 10 above the pipeline, and wash or erosion of the soil along the 11 pipeline due to the construction of the pipeline. However, 12 this section does not prevent the execution of an agreement 13 with other terms between the pipeline company and the owner of 14 the land or crops with reference to their use. 15 2. A claim for crop yield loss damages pursuant to this 16 section shall not be precluded from renegotiation under section 17 6B.52 on the grounds that the damages were apparent at the time 18 of settlement or on the grounds that more than five years have 19 elapsed since the date of the settlement. 20 3. A landowner or farm tenant may file an action for relief 21 in small claims or district court for damages, including but 22 not limited to crop yield loss damages. 23 Sec. 3. Section 479B.16, subsection 1, Code 2023, is amended 24 to read as follows: 25 1. A pipeline company granted a pipeline permit shall , 26 subject to subsection 4, be vested with the right of eminent 27 domain, to the extent necessary and as prescribed and approved 28 by the board, not exceeding seventy-five feet in width for 29 right-of-way and not exceeding one acre in any one location in 30 addition to right-of-way for the location of pumps, pressure 31 apparatus, or other stations or equipment necessary to 32 the proper operation of its pipeline. The board may grant 33 additional eminent domain rights where the pipeline company 34 has presented sufficient evidence to adequately demonstrate 35 -2- HF 565.1302 (2) 90 es/rn 2/ 7

that a greater area is required for the proper construction, 1 operation, and maintenance of the pipeline or for the location 2 of pumps, pressure apparatus, or other stations or equipment 3 necessary to the proper operation of its pipeline. 4 Sec. 4. Section 479B.16, Code 2023, is amended by adding the 5 following new subsection: 6 NEW SUBSECTION . 4. The board shall not grant a liquefied 7 carbon dioxide pipeline company the right of eminent domain 8 under this chapter for an interstate hazardous liquid pipeline 9 project unless the company acquires at least ninety percent of 10 the affected route miles through voluntary easements or through 11 preexisting easements. The company shall submit regular 12 reports on its progress in acquiring voluntary easements as 13 determined by the board. 14 Sec. 5. Section 479B.20, subsection 5, Code 2023, is amended 15 to read as follows: 16 5. If the pipeline company or its contractor does not 17 comply with the requirements of this section , with the land 18 restoration plan or line location, or with an independent 19 agreement on land restoration executed in accordance with 20 subsection 10 , the county board of supervisors or a landowner 21 may petition the board for an order requiring corrective action 22 to be taken. In addition, the county board of supervisors 23 or a landowner may file a complaint with the board seeking 24 imposition of civil penalties under section 479B.21 . A 25 landowner may supply a copy of the complaint to the county 26 board of supervisors where the complaint originated. 27 Sec. 6. Section 479B.20, Code 2023, is amended by adding the 28 following new subsection: 29 NEW SUBSECTION . 13. For the purposes of this section, 30 “landowner” also includes a farm tenant. 31 Sec. 7. Section 479B.29, Code 2023, is amended to read as 32 follows: 33 479B.29 Particular damage claims. 34 1. Compensable losses shall include , but are not limited to , 35 -3- HF 565.1302 (2) 90 es/rn 3/ 7

all of the following: 1 a. Loss or reduced yield of crops or forage on the pipeline 2 right-of-way, whether caused directly by construction or from 3 disturbance of usual farm operations. 4 b. Loss or reduced yield of crops or yield from land near 5 the pipeline right-of-way resulting from lack of timely access 6 to the land or other disturbance of usual farm operations, 7 including interference with irrigation or drainage . 8 c. Fertilizer, lime, or organic material applied by the 9 landowner to restore land disturbed by construction to full 10 productivity. 11 d. Loss of or damage to trees of commercial or other value 12 that occurs at the time of construction, restoration, or at the 13 time of any subsequent work by the pipeline company. 14 e. The cost of or losses in moving or relocating livestock, 15 and the loss of gain by or the death or injury of livestock 16 caused by the interruption or relocation of normal feeding. 17 f. Erosion and soil compaction on lands attributable to 18 pipeline construction. 19 g. Damage to farm equipment caused by striking a pipeline, 20 debris, or other material reasonably associated with pipeline 21 construction while engaged in normal farming operations as 22 defined in section 480.1 . 23 h. Damage to soil or water conservation structures caused 24 by construction, restoration, or subsequent work by the 25 pipeline company including but not limited to terraces, grassed 26 waterways, water and sediment control basins, ponds, saturated 27 buffers, and biofilters. 28 i. Damage to irrigation or drainage systems caused by 29 construction, restoration, or subsequent work by the pipeline 30 company. 31 2. A claim for damage for future crop deficiency within 32 the easement strip damages incurred under this section shall 33 not be precluded from renegotiation under section 6B.52 on 34 the grounds that it was apparent at the time of settlement 35 -4- HF 565.1302 (2) 90 es/rn 4/ 7

unless the settlement expressly releases the pipeline company 1 from claims for damage to the productivity of the soil . The 2 landowner shall notify the pipeline company in writing fourteen 3 days prior to harvest in each year to assess crop deficiency. 4 3. For the purposes of this section, “landowner” also 5 includes a farm tenant. 6 4. A landowner that incurred damage under this section is 7 eligible for compensation for damages. A landowner may file an 8 action for relief against a pipeline company in small claims 9 or district court for a violation of this section or pursue 10 remedies under section 479B.30, subsection 7. 11 Sec. 8. Section 479B.30, subsection 7, Code 2023, is amended 12 to read as follows: 13 7. As used in this section , “damages” means compensation for 14 damages to the land, crops, and other personal property caused 15 by the construction of a pipeline and its attendant structures 16 or underground storage facility , or a compensable loss as 17 defined in section 479B.29, subsection 1, but does not include 18 compensation for a property interest, and “landowner” includes 19 a farm tenant. 20 Sec. 9. EFFECTIVE DATE. This division of this Act, being 21 deemed of immediate importance, takes effect upon enactment. 22 Sec. 10. APPLICABILITY. This division of this Act applies 23 to all applications for a permit to construct a pipeline 24 pursuant to chapter 479B filed with the Iowa utilities board 25 on or after July 1, 2021, and to permits issued on or after the 26 effective date of this division of this Act. 27 DIVISION II 28 EMINENT DOMAIN INTERIM STUDY 29 Sec. 11. EMINENT DOMAIN INTERIM STUDY. 30 1. The legislative council is requested to authorize a 31 study committee to evaluate eminent domain practices and 32 procedures applicable under Iowa law. The study committee 33 shall make recommendations that the committee believes will 34 improve eminent domain policy in the state including all of the 35 -5- HF 565.1302 (2) 90 es/rn 5/ 7

following: 1 a. Standards for entering land for land surveying purposes. 2 b. Review of land restoration standards. 3 c. Review of eminent domain public benefit and private-use 4 tests. 5 d. Engineering study analysis, including all of the 6 following: 7 (1) Engineering study standards, authority, and 8 composition. 9 (2) Analysis of the process of company selection. 10 e. Land compensation practices and procedures. 11 f. Review of eminent domain processes and procedures. 12 g. Iowa utilities board perspectives. 13 2. The study committee shall consist of five members of 14 the senate, three of whom shall be appointed by the majority 15 leader of the senate and two of whom shall be appointed by 16 the minority leader of the senate, and five members of the 17 house of representatives, three of whom shall be appointed by 18 the speaker of the house of representatives and two of whom 19 shall be appointed by the minority leader of the house of 20 representatives. The legislative council is encouraged to 21 appoint to the interim study committee public members or direct 22 the study committee to seek input from or to appoint members 23 of the public. 24 3. The study committee shall meet during the 2023 25 legislative interim and submit a report containing 26 recommendations to the members of the general assembly by 27 December 15, 2023. > 28 2. Title page, line 2, after < requirements, > by inserting 29 < establishing an interim study committee, > 30 ______________________________ HOLT of Crawford -6- HF 565.1302 (2) 90 es/rn 6/ 7 #2.