AB174: Bill Text

AB174,36,23 c. The contents of a statement described in subd. 2. a. shall be confidential and may not be disclosed except upon the written order of the person submitting the statement, for necessary use by the owner of the proposed transmission facility in qualifying the person, for necessary use by the legislative audit bureau in conducting an audit described in par. (c) 1., or in cases of actions against, or by, the person or owner of the proposed transmission facility.

AB174,37,2 d. The owner of the proposed transmission facility shall evaluate a statement described in subd. 2. a. and shall find the maker of the statement either responsible or not responsible.

AB174,37,7 3. An owner of a proposed transmission facility may not separate a transmission facility contract into multiple transmission facility contracts to decrease the estimated costs of performing each of the transmission facility contracts below the threshold specified in subd. 1. to enter into the transmission facility contracts without complying with the requirements under subd. 1.

AB174,37,16 (c) Audits. 1. The legislative audit bureau shall conduct an audit of 15 percent of transmission facility contracts that are subject to the requirements under par. (b) and that are performed related to constructing each transmission facility for which a certificate is issued under s. 196.491 (3). In addition, the legislative audit bureau shall conduct an audit of a transmission facility contract that is subject to the requirements under par. (b) and for which the joint legislative audit committee requests an audit. Within 30 days after completion of an audit under this subdivision, the legislative audit bureau shall file with the commission a detailed report thereof, including specific instances of any violations of par. (b).

AB174,37,20 2. Upon receipt of a report from the legislative audit bureau under subd. 1., the commission shall open a docket to review the audit report, in which proceeding the commission shall hold a public hearing. The commission shall determine if the transmission facility owner violated any requirement under par. (b).

AB174,38,3 (d) Rate of return on equity; recovery of debt. 1. If the commission determines under par. (c) 2. that an owner of a transmission facility for which the transmission rates are determined by the federal energy regulatory commission violated par. (b), the owner shall seek approval of a tariff that provides a rate of return on equity that is either half of the base return on equity guaranteed with respect to the transmission facility or equal to the transmission facility owner’s average cost of debt, whichever is higher.

AB174,38,12 2. a. Except as provided in subd. 2. b., if the cost to construct a transmission facility for which the transmission rates are determined by the federal energy regulatory commission exceeds the estimated cost provided to the commission under par. (a) 1. or 2. for the transmission facility, the owner of the transmission facility shall seek approval of a tariff with respect to the transmission facility that provides a rate of return on equity, for the portion of the cost to construct the transmission facility that exceeds the estimated cost provided under par. (a) 1. or 2., that is either half of the base return on equity or equal to the transmission facility owner’s average cost of debt, whichever is higher.

AB174,38,15 b. Costs that exceed the estimated cost for the facility provided to the commission under par. (a) 1. or 2. but that are prudently incurred or that are a result of force majeure may not be considered excess costs under subd. 2. a.

AB174,38,19 3. An owner of a transmission facility for which a certificate is issued under s. 196.491 (3) may not seek to recover in rates approved by the federal energy regulatory commission an amount of equity in the transmission facility that exceeds 50 percent of the project costs.

AB174,65 Section 65. 196.491 (1) (ar) of the statutes is created to read:

AB174,38,23 196.491 (1) (ar) “Battery energy storage system” means a device that occupies one acre or more and that captures energy produced at one time, stores that energy for future use, and later delivers that energy as electricity.

AB174,66 Section 66. 196.491 (1) (e) of the statutes is amended to read:

AB174,39,2 196.491 (1) (e) “Facility” means a large electric generating facility or, a high- voltage transmission line, or a battery energy storage system.

AB174,67 Section 67. 196.491 (1) (h) of the statutes is created to read:

AB174,39,5 196.491 (1) (h) “Large solar energy system” has the meaning given in s. 66.0401 (1e) (bk).

AB174,68 Section 68. 196.491 (1) (i) of the statutes is created to read:

AB174,39,8 196.491 (1) (i) “Large wind energy system” has the meaning given in s. 66.0401 (1e) (bL).

AB174,69 Section 69. 196.491 (3) (a) 1m. of the statutes is created to read:

AB174,39,15 196.491 (3) (a) 1m. A person who files an application under subd. 1. for a large wind energy system, large solar energy system, or battery energy storage system proposed to be located on prime farmland, as defined in s. 93.74 (1) (d), having a productivity index, as defined in s. 93.74 (1) (e), of 0.6 or greater shall include with the application proof that the applicant has entered into contracts for the purchase of agricultural conservation easements required under s. 93.74 (2) (a).

AB174,70 Section 70. 196.491 (3) (a) 4. of the statutes is created to read:

AB174,39,20 196.491 (3) (a) 4. At least 45 days before a person files an application under subd. 1. for a large wind energy system, large solar energy system, or battery energy storage system, the person shall provide written notice of the proposed project to all of the following:

AB174,39,21 a. Each property owner located within one mile of a proposed project

AB174,39,22 b. Each city, village, town, or county in which project facilities are proposed.

AB174,39,24 c. The American Indian tribal governing body for any land under that body’s jurisdiction that is within the project boundary.

AB174,71 Section 71. 196.491 (3) (a) 5. of the statutes is created to read:

AB174,40,5 196.491 (3) (a) 5. At least 45 days before a person files an application under subd. 1. for a large wind energy system, large solar energy system, or battery energy storage system, the person shall post notice of the proposed project by class 1 notice under ch. 985 in the official state newspaper.

AB174,72 Section 72. 196.491 (3) (a) 6. of the statutes is created to read:

AB174,40,12 196.491 (3) (a) 6. At least 45 days before a person files an application under subd. 1. for a large wind energy system, large solar energy system, or battery energy storage system, the person shall satisfy the requirement under s. 66.0401 (10). This subdivision does not require a person to enter into a economic development agreement with a political subdivision under s. 66.0401 (10) to file an application under subd. 1.

AB174,73 Section 73. 196.491 (3) (d) 9. of the statutes is created to read:

AB174,40,18 196.491 (3) (d) 9. For a large wind energy system, large solar energy system, or battery energy storage system, the applicant has provided the commission with documentation that the applicant consulted about the project with the American Indian tribal governing body for any land under that body’s jurisdiction that is within the project boundary.

AB174,74 Section 74. 196.491 (3) (d) 10. of the statutes is created to read:

AB174,40,23 196.491 (3) (d) 10. For a large wind energy system, large solar energy system, or battery energy storage system, the applicant has provided the commission with a decommissioning and site restoration plan under s. 66.0401 (7) and a drainage plan under s. 66.0401 (11).

AB174,75 Section 75. 196.491 (3) (d) 11. of the statutes is created to read:

AB174,41,2 196.491 (3) (d) 11. For a large wind energy system, large solar energy system, or battery energy storage system, all of the following apply:

AB174,41,6 a. Including the acres occupied by the facility proposed by the applicant, the total amount of acres of land in the town in which the facility is located that are occupied by a large wind energy system, a large solar energy system, or a battery energy storage system is not more than 2,000 acres.

AB174,41,10 b. Including the acres occupied by the facility proposed by the applicant, the total amount of acres of land in the county in which the facility is located that are occupied by a large wind energy system, a large solar energy system, or a battery energy storage system is not more than 5,000 acres.

AB174,76 Section 76. 238.15 (1) (g) of the statutes is amended to read:

AB174,41,17 238.15 (1) (g) It is not primarily engaged in real estate development, insurance, banking, lending, lobbying, political consulting, professional services provided by attorneys, accountants, business consultants, physicians, or health care consultants, wholesale or retail trade, leisure, hospitality, transportation, or construction, except construction of power production plants that derive energy from a renewable low-carbon-emission resource, as defined in s. 196.378 (1) (h).

AB174,77 Section 77. Initial applicability.

AB174,41,21 (1) Letting of transmission facility contracts by bidding. The treatment of s. 196.485 (3r) first applies to a contract entered into, modified, or renewed on the effective date of this subsection.

AB174,42,4 (2) Applications for large wind, large solar, and battery energy systems. The treatment of ss. 66.0401 (1e) (a), (am), (bk), (bL), (bm), (bn), (bo), (br), (cm), and (cs), (4) (a), (5) (a) and (e), (7), (8), (9), (10), (11), and (12) and 196.491 (1) (ar), (e), (h), and (i) and (3) (a) 1m., 4., 5., and 6. and (d) 9., 10., and 11. first applies to an application for approval of a large wind energy system, large solar energy system, or battery energy storage system under s. 66.0401 or 196.491 (3) submitted on the effective date of this subsection.

AB174,42,8 (3) Purchase of easements for large wind, large solar, and battery energy systems. The treatment of s. 93.74 first applies to a specified facility, as defined in s. 93.74 (1) (g), for which an application under s. 196.491 (3) is submitted on the effective date of this subsection.

AB174,42,9 (end)