New restrictions for pipelines in bill that passed through Iowa Statehouse late Monday
Iowa lawmakers have approved a bill () that could impose new restrictions on pipeline companies seeking to use eminent domain for their projects, with the Summit Carbon Solutions pipeline at the center of the debate.
The legislation now awaits Gov. Kim Reynolds' signature.
If enacted, the bill would require pipeline companies to meet stricter criteria before using eminent domain. Specifically, companies would need to qualify as "common carriers," a designation determined by the Federal Energy Regulatory Commission.
To achieve this status, companies must demonstrate they serve the public fairly and transport resources like gas or carbon dioxide for others, not just for their own use. The burden of proof would require "clear and convincing evidence," according to the bill.
The legislation would also prohibit the renewal of permits for a carbon dioxide pipeline, limit the use of such a pipeline to 25 years and significantly increase the insurance coverage requirements for the pipeline company.
For landowners like Kathy Carter of Floyd County, this legislation represents a significant milestone. Carter, whose property is part of the proposed Summit pipeline route, has been advocating for eminent domain reform since 2021. "To get to this point is astronomical," she said after the bill passed the Iowa Senate by a vote of 27-22.
The Iowa Senate passed the bill late Monday night, with 13 Republican senators breaking party lines to join 14 Democrats in advancing the legislation. The bipartisan effort came after some lawmakers withheld support for the state budget until the eminent domain bill was brought to the floor.
Senator Mike Bousselot, R-Ankeny, expressed concerns about potential legal challenges, calling the bill a "Trojan horse." Similarly, Sen. Mike Klimesh, R-Spillville, criticized the legislation, saying, "House File 639 is a pie that's baked with a whole ton of ingredients and some of them are spoiled."
Despite the opposition, landowners across Iowa view the bill's passage as a victory for property rights. Jan Norris, a landowner near the pipeline's proposed route in Montgomery County, remarked, "It kind of feels like the tide has turned a little and maybe there is a more level playing field between the company and the landowners."
Summit Carbon Solutions has not commented on the bill, and Reynolds' office stated they are still reviewing the legislation.
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