House File 2104 S-5002 Amend the amendment, S-5001, to House File 2104, as passed by 1 the House, as follows: 2 1. By striking page 1, line 1, through page 8, line 7, and 3 inserting: 4 < Amend House File 2104, as passed by the House, as follows: 5 ___. By striking everything after the enacting clause and 6 inserting: 7 < Section 1. NEW SECTION . 479B.1A Legislative intent. 8 It is the goal of the general assembly that the right of 9 eminent domain will not be granted for a hazardous liquid 10 pipeline except when every other reasonably available 11 alternative has been diligently exhausted. Further goals of 12 the general assembly are to promote the production of energy, 13 derived from crops grown and resources gathered within the 14 state of Iowa, and elsewhere within the United States, to 15 ensure long-term, economically competitive and diverse sources 16 of energy for Iowans, for citizens of the United States, 17 and for our customers abroad; to support agriculture in the 18 state of Iowa, and the employment of Iowans in agricultural 19 work and in affiliated industries; to encourage investment 20 in Iowa agriculture, and in the facilities needed to process 21 our produce and to deliver useful products to consumers; to 22 provide reasonable conditions for the planning and construction 23 of linear infrastructure projects that will serve the public 24 convenience and necessity; and to vindicate and safeguard the 25 property rights of all Iowans, including those who prefer not 26 to accommodate the construction of a pipeline on their land, 27 as well as those who would choose to convey an easement for 28 valuable consideration in a voluntary transaction. 29 Sec. 2. Section 479B.2, Code 2026, is amended by adding the 30 following new subsection: 31 NEW SUBSECTION . 6. “Voluntary easement corridor” means land 32 within the county where an informational meeting is held or 33 within a distance of five miles on either side of a proposed 34 pipeline route. 35 -1- S 5001.2271 (2) 91 sb/js 1/ 8 #1.

Sec. 3. Section 479B.4, subsections 5 and 6, Code 2026, are 1 amended to read as follows: 2 5. a. The notice shall set forth include the following: 3 (1) The name of the applicant. 4 (2) The applicant’s principal place of business. 5 (3) The general description and purpose of the proposed 6 project. 7 (4) The general nature of the right-of-way desired. 8 (5) A map showing the route or location of the proposed 9 project. 10 (6) That A statement that the landowner has a right to 11 be present at the meeting and to file objections with the 12 commission. 13 (7) A designation of the time and place of the meeting. 14 (8) A copy of the template easement to be used for acquiring 15 land for the project. 16 (9) A description of the methodology to be used in 17 determining the value of the easement for initial offers. 18 (10) A statement of the policy for claiming damages. 19 b. The notice shall be served by certified mail with 20 return receipt requested not less than thirty days previous 21 to the time set for the meeting, and shall be published once 22 in a newspaper of general circulation in the county. The 23 publication shall be considered notice to landowners whose 24 residence is not known and to each person in possession of or 25 residing on the property provided a good faith effort to notify 26 can be demonstrated by the pipeline company. 27 6. A pipeline company seeking rights under this chapter 28 shall not negotiate or purchase an easement or other interest 29 in land in a county known to be affected by the proposed 30 project prior to the informational meeting. Nothing in this 31 subsection shall prohibit a company seeking rights under this 32 chapter from holding a meeting to provide general information 33 regarding a project to a community that does not include 34 negotiating specific terms with specific landowners prior to 35 -2- S 5001.2271 (2) 91 sb/js 2/ 8

the informational meeting required by this section. 1 Sec. 4. Section 479B.4, Code 2026, is amended by adding the 2 following new subsection: 3 NEW SUBSECTION . 7. Any person may file with the commission 4 comments regarding the terms of the template easement or 5 valuation methodology within fifteen days after it is filed 6 under subsection 5. The company may file responses to such 7 comments within thirty days after its filings pursuant to 8 subsection 5. The commission shall issue an order accepting, 9 rejecting, or requiring modification of the template easement 10 and valuation methodology no more than sixty days after 11 they are filed. This process shall not delay either the 12 informational meetings or the company’s ability to negotiate 13 with landowners, but no easement shall be finalized before the 14 template easement is approved. 15 Sec. 5. Section 479B.16, Code 2026, is amended by adding the 16 following new subsections: 17 NEW SUBSECTION . 4. a. Following the public informational 18 meeting held pursuant to section 479B.4 and proper publication 19 of notice required by section 479B.4, subsection 5, paragraph 20 “b” , a pipeline company may communicate with owners of record 21 of any land within the voluntary easement corridor for the 22 purpose of proposing voluntary transactions for the conveyance 23 of easements for the project, without regard to whether such 24 landowner received prior notice by mail. The pipeline company 25 shall not be required to provide to such landowners prior 26 individual notice of the proposed project before initiating 27 communication. Land within the voluntary easement corridor 28 shall not be subject to eminent domain. 29 b. Before entering into a voluntary agreement with a 30 landowner who did not receive notice of the informational 31 meeting by mail, the pipeline company shall provide such 32 landowner copies of the informational meeting materials 33 presented by the commission, the consumer advocate, and the 34 company seeking rights under this chapter. 35 -3- S 5001.2271 (2) 91 sb/js 3/ 8

c. After sixty days following the company’s initial offer 1 for a voluntary agreement, a landowner may request that all 2 further communications from the pipeline company occur only 3 in a preferred method of communication, such as written 4 telephonically or through certified mail. A landowner may also 5 request that further communications from the pipeline company 6 are only conveyed through a designated representative of the 7 landowner. Upon receiving such a request, the company shall 8 comply, and the identified land shall remain eligible for 9 voluntary easement negotiating and any subsequent regulatory 10 proceedings. 11 NEW SUBSECTION . 5. a. This subsection shall apply only 12 to a hazardous liquid pipeline for which a pipeline company 13 requests authority to use eminent domain to acquire interests 14 in land. 15 b. For a hazardous liquid pipeline that is proposed to 16 exceed twenty miles in length within the state, the pipeline 17 company shall make a diligent effort to assemble a route 18 consisting exclusively of easements within the voluntary 19 easement corridor that are acquired through voluntary 20 conveyances. A pipeline company shall not be eligible to 21 request authority to use eminent domain except upon a showing 22 to the commission that it has made such diligent effort. 23 c. After initiating communication with a landowner 24 pursuant to subsection 4, a pipeline company shall provide a 25 landowner with a description of the proposed project and the 26 easement rights the company seeks to acquire, and shall request 27 permission to conduct a civil survey. If the permission for a 28 civil survey is granted, the pipeline company shall conduct the 29 civil survey within ninety business days. 30 d. If a civil survey conducted pursuant to paragraph “c” 31 finds the land is not suitable for purposes of the project, 32 the pipeline company shall promptly provide the landowner 33 with written notice of this finding and shall file with the 34 commission a copy of the notice. Otherwise, within ninety 35 -4- S 5001.2271 (2) 91 sb/js 4/ 8

business days of the completion of the civil survey, the 1 pipeline company may submit to the landowner a written offer 2 for purchase of the easement. The pipeline company shall, 3 before filing an application requesting eminent domain, submit 4 such an offer to the owners of land that might be used to 5 assemble a route not including the land for which eminent 6 domain is requested. The offer shall include customary terms 7 and conditions for the conveyance of easements, and shall also 8 include all of the following: 9 (1) A statement of the requirements applicable under the 10 laws of this state and rules adopted by the commission relating 11 to the construction, operation, and maintenance of a hazardous 12 liquid pipeline upon land subject to the proposed easement, 13 including land restoration, tile repair, and damages. 14 (2) A statement that the landowner and the pipeline company 15 may agree to different terms not contrary to Iowa law, but that 16 such provisions shall be set forth expressly in a contract for 17 conveyance of an easement. 18 (3) An offer of cash compensation for the easement, which 19 may differ in amount from the compensation offered to other 20 landowners for easements of similar dimensions on similar land. 21 e. The pipeline company shall seek to execute contracts 22 for the voluntary conveyance of easements within one year of 23 initial communication with the landowners within a particular 24 county. If, however, after no less than six months, the 25 company is unable to execute contracts for easements sufficient 26 to assemble a route for the pipeline, the company shall 27 file with the commission a notice setting forth all of the 28 following: 29 (1) The parcels for which the company has failed to reach 30 easement agreements and for which eminent domain is sought, or 31 that would, if an easement were granted, provide an alternative 32 to each eminent domain parcel, and the names of the owners of 33 those parcels. 34 (2) A list of the contacts made relating to each parcel 35 -5- S 5001.2271 (2) 91 sb/js 5/ 8

identified in subparagraph (1), including the date and method 1 of each contact, and a brief description of any issues causing 2 an impasse for that parcel. 3 (3) Either a request for an extension for further 4 negotiations or a statement that no agreement can be reached 5 for that parcel. 6 f. All data in the filing made under paragraph “e” shall 7 be held confidential and shall not be subject to disclosure in 8 response to a request under chapter 22. 9 g. For any easement that the pipeline company seeks to 10 acquire using eminent domain, the company shall file with the 11 commission all of the following: 12 (1) Evidence establishing that the company diligently 13 exhausted all alternatives to assemble a continuous route 14 for the project exclusively by means of voluntarily conveyed 15 easements, and that it was unable to do so for one or more of 16 the following reasons: 17 (a) Inability to obtain voluntary agreements for continuous 18 easements on adjoining parcels within a county where an 19 informational meeting was held, or outside that county but 20 within five miles of the center line of the proposed pipeline 21 route in that county, due to rejection by landowners of offers 22 based on a valuation methodology approved by the commission, or 23 due to the refusal of landowners to engage in communications 24 with the company pursuant to subsection 4, paragraph “d” . 25 (b) Technical or engineering infeasibility of construction 26 in a specific location due to terrain, other natural features, 27 or land conditions. 28 (c) Infeasibility of compliance with safety requirements 29 relating to construction, operation, or maintenance of a 30 pipeline, under applicable federal law or rules, in a specified 31 location, due to terrain, other natural features or land 32 conditions, presence of occupied or other man-made structures, 33 or if the commission finds on engineering evidence that 34 safety would otherwise be adversely impacted by a route using 35 -6- S 5001.2271 (2) 91 sb/js 6/ 8

only voluntary easements and such safety would be materially 1 improved by use of a route facilitated by eminent domain. 2 (d) Economic infeasibility of the pipeline due to excessive 3 easement acquisition costs for alternative routes to avoid the 4 use of eminent domain. For purposes of this subparagraph, 5 economic infeasibility shall be shown by clear and convincing 6 evidence. 7 (2) A statement setting forth why the company requires an 8 easement on the specific parcel for which the company seeks 9 eminent domain. 10 h. Deadlines established by subsection 4 and this subsection 11 shall be subject to extension by the commission upon a showing 12 of good cause. 13 Sec. 6. EFFECTIVE DATE. This Act, being deemed of immediate 14 importance, takes effect upon enactment. 15 Sec. 7. APPLICABILITY —— RETROACTIVE APPLICABILITY. 16 1. Except as provided in subsection 2, this Act applies to 17 the construction of any hazardous liquid pipeline for which a 18 petition is filed on or after the effective date of this Act. 19 2. a. Except as provided in paragraph “b”, this Act applies 20 retroactively to the construction of any hazardous liquid 21 pipeline designed for the transportation of liquefied carbon 22 dioxide for which a petition is filed under chapter 479B on or 23 after January 1, 2024. 24 b. The portion of the section of this Act enacting 25 section 479B.16, subsection 4, applies retroactively to the 26 construction of pipelines designed for the transportation of 27 liquefied carbon dioxide for which a petition was filed under 28 chapter 479B on or after January 1, 2022, except that such 29 portion shall not apply to a pipeline project for which the 30 pipeline company has, before the effective date of this Act, 31 acquired easements sufficient to construct the entirety of the 32 pipeline exclusively through voluntary transactions. > 33 ___. Title page, by striking lines 1 through 3 and 34 inserting < An Act relating to easements for hazardous liquid 35 -7- S 5001.2271 (2) 91 sb/js 7/ 8