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House File 639 - EnrolledAn Actrelating to hazardous liquid pipelines, including common
carrier requirements, proceedings under the Iowa utilities
commission, including commission member attendance at
hearings and informational meetings, including allowing
certain persons to intervene in such proceedings, including
sanctions on intervenors in contested cases, and permit,
permit renewal, and operation limitations, and including
effective date and applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 6A.21, subsection 1, Code 2025, is
amended to read as follows:
1. Except as otherwise provided, for purposes of this
chapter and chapter 6B:
a. “Aboveground merchant line” means “merchant line” as
defined in section 478.6A, subsection 1, excluding those
merchant lines that are underground.
b. “Agricultural land” means real property owned by a person
in tracts of ten acres or more and not laid off into lots of
less than ten acres or divided by streets and alleys into
parcels of less than ten acres, and that has been used for
the production of agricultural commodities during three out
of the past five years. Such use of property includes, but
is not limited to, the raising, harvesting, handling, drying,
or storage of crops used for feed, food, seed, or fiber; the
care or feeding of livestock; the handling or transportation
of crops or livestock; the storage, treatment, or disposal
of livestock manure; and the application of fertilizers,
soil conditioners, pesticides, and herbicides on crops.
Agricultural land includes land on which is located farm
residences or outbuildings used for agricultural purposes and
land on which is located facilities, structures, or equipment
for agricultural purposes. Agricultural land includes
land taken out of agricultural production for purposes of
environmental protection or preservation.
c. “Commodity” means a product that is used by an individual
consumer or is used to produce a product used by an individual
consumer.
d. “Common carrier” means a commercial enterprise that holds
itself out as ready to engage in the transportation of goods
or passengers for hire, as a public employment, and not as a
casual occupation, and that undertakes to carry for all persons
indifferently, within the limits of the enterprise’s capacity
and the sphere of business required of it. For a carrier
engaged in the transportation of a hazardous liquid to qualify
-1-as a common carrier, the carrier must establish by clear and
convincing evidence that it will transport a commodity for
one or more shippers not affiliated with the carrier who
will either retain ownership of the commodity or sell the
commodity to a party other than the carrier. A common carrier
determination by the federal energy regulatory commission shall
be controlling for purposes of this paragraph.
c. e. “Private development purposes” means the
construction of, or improvement related to, recreational
trails, recreational development paid for primarily with
private funds, aboveground merchant lines, housing and
residential development, or commercial or industrial enterprise
development.
d. f. “Public use” or “public purpose” or “public
improvement” does not include the authority to condemn
agricultural land for private development purposes unless the
owner of the agricultural land consents to the condemnation.
Sec. 2. Section 6A.24, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 4. Notwithstanding subsection 3, an
acquiring agency proposing to acquire property by eminent
domain pursuant to a grant under chapter 479B shall have the
burden of establishing by clear and convincing evidence that
the proposed use meets the definition of a public use, public
purpose, or public improvement.
Sec. 3. Section 476.33, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 5. For hearings initiated under this
chapter, all members of the commission shall be present during
any live testimony. If at any point during live testimony at
a hearing not all members are available for any reason, the
meeting shall pause until all members of the commission return.
Sec. 4. Section 478.2, subsection 2, paragraph a, Code 2025,
is amended to read as follows:
a. A member of the commission, the counsel of the
-2-commission, or a presiding officer designated by the commission
shall serve as the presiding officer at each meeting, shall
present an agenda for such meeting, which shall include
a summary of the legal rights of the affected landowners,
and shall distribute and review the statement of individual
rights required under section 6B.2A, subsection 1. At least
one member of the commission shall attend each informational
meeting. If at any point during the meeting no member of the
commission is available for any reason, the meeting shall pause
until at least one member of the commission returns. A formal
record of the meeting shall not be required.
Sec. 5. NEW SECTION. 478.34 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 6. Section 479.5, subsection 3, paragraph a, Code 2025,
is amended to read as follows:
a. A pipeline company shall hold informational meetings
in each county in which real property or property rights will
be affected at least thirty days prior to filing the petition
for a new pipeline. A member of the commission or a person
designated by the commission shall serve as the presiding
officer at each meeting, shall present an agenda for the
meeting, which shall include a summary of the legal rights
of the affected landowners, and shall distribute and review
the statement of individual rights required under section
6B.2A. At least one member of the commission shall attend each
informational meeting. If at any point during the meeting
no member of the commission is available for any reason, the
meeting shall pause until at least one member of the commission
returns. A formal record of the meeting shall not be required.
Sec. 7. NEW SECTION. 479.50 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
-3-attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 8. Section 479B.4, subsection 3, Code 2025, is amended
to read as follows:
3. The pipeline company shall hold informational meetings
in each county in which real property or property rights will
be affected at least thirty days prior to filing the petition
for a new pipeline. A member of the commission, or a person
designated by the commission, shall serve as the presiding
officer at each meeting and present an agenda for the meeting,
which shall include a summary of the legal rights of the
affected landowners. At least one member of the commission
shall attend each informational meeting. If at any point
during the meeting no member of the commission is available for
any reason, the meeting shall pause until at least one member
of the commission returns. No formal record of the meeting
shall be required. The meeting shall be held at a location
reasonably accessible to all persons who may be affected by
granting the permit.
Sec. 9. Section 476.33, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 5. The following persons are entitled
as of right to intervene in any proceeding conducted by the
commission:
a. A member of the general assembly.
b. An elected county or city official.
c. Any resident with a minimally plausible interest in the
proceeding.
Sec. 10. Section 474.3, Code 2025, is amended to read as
follows:
474.3 Proceedings.
1. The utilities commission may in all cases conduct its
proceedings, when not otherwise prescribed by law, in such
manner as will best conduce to the proper dispatch of business
and the attainment of justice.
-4- 2. The utilities commission shall not threaten or impose
sanctions against any intervenor unless the utilities
commission determines the intervenor engaged in conduct that
satisfies all the following conditions:
a. The intervenor was knowingly dishonest or in violation
of a criminal statute.
b. The intervenor caused actual injury to the utilities
commission, which injury is quantifiable and exceeds five
hundred dollars.
Sec. 11. NEW SECTION. 479B.13A Insurance requirements for
permittee.
1. In addition to the requirements of section 479B.13,
before a permit is granted under this chapter, the applicant
shall provide to the commission evidence of an appropriate
surety or insurance policy to ensure the payment of all damages
resulting from the construction and operation of the hazardous
liquid pipeline. The surety or insurance policy must be
sufficient to indemnify fully all of the following:
a. Any loss arising from or related to any negligent or
intentional discharge of content from the pipeline.
b. Any injury, including diminution of value of real
property, to affected properties due to the construction of the
pipeline or the accidental or intentional discharge of content.
c. The inability for a person to obtain insurance, or the
increased costs for a person to obtain or renew insurance, due
to the presence or construction of the pipeline.
2. If any person is unable to obtain insurance, or
experiences increased costs to obtain or renew insurance, as
a result of the presence or construction of the pipeline, the
pipeline owner shall either purchase insurance on behalf of
the person or reimburse the person for the person’s increased
premium costs.
Sec. 12. Section 479B.16, subsection 1, Code 2025, is
amended to read as follows:
1. A pipeline company granted a pipeline permit shall,
-5-subject to subsection 4, be vested with the right of eminent
domain, to the extent necessary and as prescribed and approved
by the commission, not exceeding seventy-five feet in width for
right-of-way and not exceeding one acre in any one location in
addition to right-of-way for the location of pumps, pressure
apparatus, or other stations or equipment necessary to the
proper operation of its pipeline. The commission may grant
additional eminent domain rights where when the pipeline
company has presented sufficient evidence to adequately
demonstrate that a greater area is required for the proper
construction, operation, and maintenance of the pipeline or for
the location of pumps, pressure apparatus, or other stations or
equipment necessary to the proper operation of its pipeline.
Sec. 13. Section 479B.16, Code 2025, is amended by adding
the following new subsection:
NEW SUBSECTION. 4. A pipeline company granted a pipeline
permit shall not be vested with the right of eminent domain
unless the pipeline company is a common carrier, as defined in
section 6A.21.
Sec. 14. NEW SECTION. 479B.34 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 15. Section 479B.14, subsection 2, Code 2025, is
amended to read as follows:
2. The commission shall not grant an exclusive right to
any pipeline company to construct, maintain, or operate its
pipeline along, over, or across any public or private highway,
grounds, waters, or streams. The commission shall not grant
a permit for longer than twenty-five years. The commission
shall not renew a permit granted to a pipeline that transports
liquefied carbon dioxide and no pipeline that transports
liquefied carbon dioxide shall be permitted to operate for
longer than twenty-five years.
-6- Sec. 16. EFFECTIVE DATE. This Act, being deemed of
immediate importance, takes effect upon enactment.
Sec. 17. APPLICABILITY. This Act applies to condemnation
proceedings for which the application filed under section 6B.3
is filed on or after the effective date of this Act.
______________________________
PAT GRASSLEY
Speaker of the House
______________________________
AMY SINCLAIR
President of the Senate
I hereby certify that this bill originated in the House and
is known as House File 639, Ninety-first General Assembly.
______________________________
MEGHAN NELSON
Chief Clerk of the House
Approved _______________, 2025
______________________________
KIM REYNOLDS
Governor
-7-sb/js/md
carrier requirements, proceedings under the Iowa utilities
commission, including commission member attendance at
hearings and informational meetings, including allowing
certain persons to intervene in such proceedings, including
sanctions on intervenors in contested cases, and permit,
permit renewal, and operation limitations, and including
effective date and applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
Section 1. Section 6A.21, subsection 1, Code 2025, is
amended to read as follows:
1. Except as otherwise provided, for purposes of this
chapter and chapter 6B:
a. “Aboveground merchant line” means “merchant line” as
defined in section 478.6A, subsection 1, excluding those
merchant lines that are underground.
b. “Agricultural land” means real property owned by a person
in tracts of ten acres or more and not laid off into lots of
less than ten acres or divided by streets and alleys into
parcels of less than ten acres, and that has been used for
the production of agricultural commodities during three out
of the past five years. Such use of property includes, but
is not limited to, the raising, harvesting, handling, drying,
or storage of crops used for feed, food, seed, or fiber; the
care or feeding of livestock; the handling or transportation
of crops or livestock; the storage, treatment, or disposal
of livestock manure; and the application of fertilizers,
soil conditioners, pesticides, and herbicides on crops.
Agricultural land includes land on which is located farm
residences or outbuildings used for agricultural purposes and
land on which is located facilities, structures, or equipment
for agricultural purposes. Agricultural land includes
land taken out of agricultural production for purposes of
environmental protection or preservation.
c. “Commodity” means a product that is used by an individual
consumer or is used to produce a product used by an individual
consumer.
d. “Common carrier” means a commercial enterprise that holds
itself out as ready to engage in the transportation of goods
or passengers for hire, as a public employment, and not as a
casual occupation, and that undertakes to carry for all persons
indifferently, within the limits of the enterprise’s capacity
and the sphere of business required of it. For a carrier
engaged in the transportation of a hazardous liquid to qualify
-1-as a common carrier, the carrier must establish by clear and
convincing evidence that it will transport a commodity for
one or more shippers not affiliated with the carrier who
will either retain ownership of the commodity or sell the
commodity to a party other than the carrier. A common carrier
determination by the federal energy regulatory commission shall
be controlling for purposes of this paragraph.
c. e. “Private development purposes” means the
construction of, or improvement related to, recreational
trails, recreational development paid for primarily with
private funds, aboveground merchant lines, housing and
residential development, or commercial or industrial enterprise
development.
d. f. “Public use” or “public purpose” or “public
improvement” does not include the authority to condemn
agricultural land for private development purposes unless the
owner of the agricultural land consents to the condemnation.
Sec. 2. Section 6A.24, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 4. Notwithstanding subsection 3, an
acquiring agency proposing to acquire property by eminent
domain pursuant to a grant under chapter 479B shall have the
burden of establishing by clear and convincing evidence that
the proposed use meets the definition of a public use, public
purpose, or public improvement.
Sec. 3. Section 476.33, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 5. For hearings initiated under this
chapter, all members of the commission shall be present during
any live testimony. If at any point during live testimony at
a hearing not all members are available for any reason, the
meeting shall pause until all members of the commission return.
Sec. 4. Section 478.2, subsection 2, paragraph a, Code 2025,
is amended to read as follows:
a. A member of the commission, the counsel of the
-2-commission, or a presiding officer designated by the commission
shall serve as the presiding officer at each meeting, shall
present an agenda for such meeting, which shall include
a summary of the legal rights of the affected landowners,
and shall distribute and review the statement of individual
rights required under section 6B.2A, subsection 1. At least
one member of the commission shall attend each informational
meeting. If at any point during the meeting no member of the
commission is available for any reason, the meeting shall pause
until at least one member of the commission returns. A formal
record of the meeting shall not be required.
Sec. 5. NEW SECTION. 478.34 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 6. Section 479.5, subsection 3, paragraph a, Code 2025,
is amended to read as follows:
a. A pipeline company shall hold informational meetings
in each county in which real property or property rights will
be affected at least thirty days prior to filing the petition
for a new pipeline. A member of the commission or a person
designated by the commission shall serve as the presiding
officer at each meeting, shall present an agenda for the
meeting, which shall include a summary of the legal rights
of the affected landowners, and shall distribute and review
the statement of individual rights required under section
6B.2A. At least one member of the commission shall attend each
informational meeting. If at any point during the meeting
no member of the commission is available for any reason, the
meeting shall pause until at least one member of the commission
returns. A formal record of the meeting shall not be required.
Sec. 7. NEW SECTION. 479.50 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
-3-attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 8. Section 479B.4, subsection 3, Code 2025, is amended
to read as follows:
3. The pipeline company shall hold informational meetings
in each county in which real property or property rights will
be affected at least thirty days prior to filing the petition
for a new pipeline. A member of the commission, or a person
designated by the commission, shall serve as the presiding
officer at each meeting and present an agenda for the meeting,
which shall include a summary of the legal rights of the
affected landowners. At least one member of the commission
shall attend each informational meeting. If at any point
during the meeting no member of the commission is available for
any reason, the meeting shall pause until at least one member
of the commission returns. No formal record of the meeting
shall be required. The meeting shall be held at a location
reasonably accessible to all persons who may be affected by
granting the permit.
Sec. 9. Section 476.33, Code 2025, is amended by adding the
following new subsection:
NEW SUBSECTION. 5. The following persons are entitled
as of right to intervene in any proceeding conducted by the
commission:
a. A member of the general assembly.
b. An elected county or city official.
c. Any resident with a minimally plausible interest in the
proceeding.
Sec. 10. Section 474.3, Code 2025, is amended to read as
follows:
474.3 Proceedings.
1. The utilities commission may in all cases conduct its
proceedings, when not otherwise prescribed by law, in such
manner as will best conduce to the proper dispatch of business
and the attainment of justice.
-4- 2. The utilities commission shall not threaten or impose
sanctions against any intervenor unless the utilities
commission determines the intervenor engaged in conduct that
satisfies all the following conditions:
a. The intervenor was knowingly dishonest or in violation
of a criminal statute.
b. The intervenor caused actual injury to the utilities
commission, which injury is quantifiable and exceeds five
hundred dollars.
Sec. 11. NEW SECTION. 479B.13A Insurance requirements for
permittee.
1. In addition to the requirements of section 479B.13,
before a permit is granted under this chapter, the applicant
shall provide to the commission evidence of an appropriate
surety or insurance policy to ensure the payment of all damages
resulting from the construction and operation of the hazardous
liquid pipeline. The surety or insurance policy must be
sufficient to indemnify fully all of the following:
a. Any loss arising from or related to any negligent or
intentional discharge of content from the pipeline.
b. Any injury, including diminution of value of real
property, to affected properties due to the construction of the
pipeline or the accidental or intentional discharge of content.
c. The inability for a person to obtain insurance, or the
increased costs for a person to obtain or renew insurance, due
to the presence or construction of the pipeline.
2. If any person is unable to obtain insurance, or
experiences increased costs to obtain or renew insurance, as
a result of the presence or construction of the pipeline, the
pipeline owner shall either purchase insurance on behalf of
the person or reimburse the person for the person’s increased
premium costs.
Sec. 12. Section 479B.16, subsection 1, Code 2025, is
amended to read as follows:
1. A pipeline company granted a pipeline permit shall,
-5-subject to subsection 4, be vested with the right of eminent
domain, to the extent necessary and as prescribed and approved
by the commission, not exceeding seventy-five feet in width for
right-of-way and not exceeding one acre in any one location in
addition to right-of-way for the location of pumps, pressure
apparatus, or other stations or equipment necessary to the
proper operation of its pipeline. The commission may grant
additional eminent domain rights where when the pipeline
company has presented sufficient evidence to adequately
demonstrate that a greater area is required for the proper
construction, operation, and maintenance of the pipeline or for
the location of pumps, pressure apparatus, or other stations or
equipment necessary to the proper operation of its pipeline.
Sec. 13. Section 479B.16, Code 2025, is amended by adding
the following new subsection:
NEW SUBSECTION. 4. A pipeline company granted a pipeline
permit shall not be vested with the right of eminent domain
unless the pipeline company is a common carrier, as defined in
section 6A.21.
Sec. 14. NEW SECTION. 479B.34 Hearing — commission member
attendance.
All hearings initiated under this chapter shall follow the
attendance rules governing commission members as provided in
section 476.33, subsection 5.
Sec. 15. Section 479B.14, subsection 2, Code 2025, is
amended to read as follows:
2. The commission shall not grant an exclusive right to
any pipeline company to construct, maintain, or operate its
pipeline along, over, or across any public or private highway,
grounds, waters, or streams. The commission shall not grant
a permit for longer than twenty-five years. The commission
shall not renew a permit granted to a pipeline that transports
liquefied carbon dioxide and no pipeline that transports
liquefied carbon dioxide shall be permitted to operate for
longer than twenty-five years.
-6- Sec. 16. EFFECTIVE DATE. This Act, being deemed of
immediate importance, takes effect upon enactment.
Sec. 17. APPLICABILITY. This Act applies to condemnation
proceedings for which the application filed under section 6B.3
is filed on or after the effective date of this Act.
______________________________
PAT GRASSLEY
Speaker of the House
______________________________
AMY SINCLAIR
President of the Senate
I hereby certify that this bill originated in the House and
is known as House File 639, Ninety-first General Assembly.
______________________________
MEGHAN NELSON
Chief Clerk of the House
Approved _______________, 2025
______________________________
KIM REYNOLDS
Governor
-7-sb/js/md