Section 302.10  Definitions

 

As used in this Part:

 

"Act" means the Carbon Dioxide Transportation and Sequestration Act [220 ILCS 75].

 

"Commission" means the Illinois Commerce Commission created by Section 2-101 of the Public Utilities Act [220 ILCS 5/2-101].

 

"Owner" or "Operator" means any Owner or Operator of a pipeline designated, constructed, and operated to transport and to sequester carbon dioxide produced by a clean coal facility, by a clean coal SNG facility, or by any other source that will result in the reduction of carbon dioxide emissions from that source. [220 ILCS 75/15]

 

Section 302.20  Certificate of Authority

 

This Part shall apply whenever any Owner or Operator seeks to construct, operate or maintain a carbon dioxide pipeline under the Act.

 

Section 302.30  Application for Certificate of Authority

 

a)         Prior to any Owner or Operator or its agent initiating contact with any landowner (the record owner of the land as disclosed by the records of the tax collector of the county where the land is located) to negotiate the acquisition of an easement in property or any interest in property, it shall file with the Illinois Commerce Commission an application containing, in addition to the matters set forth in Section 20(b) of the Act, a brief description of the proposed project, a map of the route or route width showing either the specific route for the carbon dioxide pipeline (including size of site and width of easement to be sought), or the project route width that identifies the areas in which the pipeline would be located, with such route ranging from the minimum width required for the pipeline right-of-way up to 200 feet in width [220 ILCS 75/20(d)], and pipeline length and diameter, and the location of any above ground facilities (compressor stations, valves, etc.).

 

b)         When an applicant files its application for a certificate of authority with the Commission, it shall provide notice to each local government where the proposed pipeline will be located and include a map of the proposed pipeline route. The applicant shall also publish notice in a newspaper of general circulation in each county where the proposed pipeline is located. [220 ILCS 75/20(c)]

 

c)         The applicant shall include with the application, when filed with the Commission, a list containing the name and address of each owner of record of the land along the proposed route, or within a proposed project route width, as disclosed by the records of the tax collector of the county in which the land is located, as of not more than 30 days prior to the filing of the application. Notice of the filing of an application for a certificate of authority shall be provided by the Commission within 30 days after filing to the landowners along the proposed route, or to the potentially affected landowners within a proposed project route width.  [220 ILCS 75/20(e)] Notice shall include the time and place scheduled for the initial hearing on the application, and shall include the information required by Appendix A. This subsection's requirements for notice to owners of record shall not be deemed jurisdictional and the omission of the name and address of an owner of record from the list or lack of notice shall in no way invalidate a subsequent order of the Commission relating to the application.

 

Section 302.40  Negotiation of the Acquisition of an Easement in Property or Any Interest in Property

 

This Section shall govern the actions of every person acting on behalf of an Owner or Operator when negotiating the acquisition of an easement in any property or interest in property for the construction, operation or maintenance of a carbon dioxide pipeline:

 

a)         At least 14 days before an Owner or Operator initiates telephone or personal contact with the landowner to negotiate the acquisition of an easement in any property or interest in property, the Owner or Operator or representative shall send a letter to the landowner by certified mail, return receipt requested, containing the information set forth in subsection (c), together with the "Statement of Information from the Illinois Commerce Commission Concerning Acquisition of Easement in Property or any Interest in Property by Illinois Owners or Operators Under the Carbon Dioxide Transportation and Sequestration Act" (see Appendix B).

 

b)         Owner or Operator representatives shall keep and maintain a permanent record of all letters sent in compliance with this Section.

 

c)         Any letter sent by the Owner or Operator representative shall be on that representative's letterhead or on the letterhead of the utility, and it shall clearly set forth:

 

1)         The identity, address and telephone number of the utility representative;

 

2)         The identity of the Owner or Operator attempting to acquire easement in the property or interest in property;

 

3)         The general purpose of the proposed project;

 

4)         A description of the proposed carbon dioxide pipeline, including pipeline length, pipeline diameter, and the location of any above ground facilities (compressor stations, valves, etc.);

 

5)         The general description of the easement in property or interest in property that the Owner or Operator seeks to acquire and the type of structures, if any, the Owner or Operator seeks to build;

 

6)         A statement that the Owner or Operator or its representative seeks to negotiate with the landowner to arrive at a fair and reasonable agreement for the easement in property or interest in property; and

 

7)         An invitation to the landowner to contact the Owner or Operator representative to arrange a mutually agreeable time for an appointment to further discuss the matter.

 

d)         If the landowner does not contact the Owner or Operator representative within two weeks after the mailing of the original letter, the representative may contact the landowner to attempt to establish a mutually convenient time and date for a meeting to discuss the matter.

 

e)         Each Owner or Operator representative shall carry, and show to every landowner contacted, an identification card with the name and address of the Owner or Operator and a recent picture of the Owner or Operator representative. All contacting persons shall provide their telephone numbers to landowners.

 

f)         Upon the initial personal contact with the landowner, each Owner or Operator representative shall be prepared to discuss, with specificity, the project for which the easement in property or interest in property is sought and shall more specifically inform and advise the landowner of the following:

 

1)         By oral statement, the reason for the contact; e.g., the general purpose of the proposed project and the type of facilities to be constructed.

 

2)         Technical information regarding the proposed project. This shall include, among other things: to the extent that is then known to the Owner or Operator, a written statement briefly outlining the purpose of the proposed project; a small-scale map of the proposed project route or route width; sketches indicating types of facilities; the approximate location of facilities; the compensation and basis for compensation; if applicable, the types of structures; and the amount (length and width) of the easement in property or interest in property deemed necessary for the proposed project. This information shall also include a statement that the law provides that easements in property or interests in property ranging from the minimum width required for a pipeline right-of-way up to 200 feet in width may be sought for carbon dioxide pipelines. This information shall be furnished to the landowner for the landowner's review, along with any proposed agreement or contract proposed by the Owner or Operator.

 

Section 302.50  Application of this Part

 

This Part shall be prospectively applied. The Part shall not affect the following:

 

a)         The validity of any existing Commission certificate.

 

b)         The validity of any easement or subsequent order of the Commission under the Act.

 

Section 302.60  Revocation of Existing Certificate

 

This Part shall not cause the revocation of any existing Commission certificate.

 

Section 302.APPENDIX A   Statement of Information from the Illinois Commerce Commission Concerning Applications for a Certificate of Authority by Illinois Owners or Operators Under the Carbon Dioxide Transportation and Sequestration Act

 

[Name of Owner or Operator], the Owner or Operator of a carbon dioxide pipeline, has filed an application with the Illinois Commerce Commission for a certificate of authority to construct, operate or maintain a carbon dioxide pipeline under the Carbon Dioxide Transportation and Sequestration Act [220 ILCS 75]. According to information filed with the application, the Owner or Operator proposes to construct, operate and maintain certain facilities on or near your land.

 

            The purpose of this Statement is to provide you with general information regarding the Illinois Commerce Commission's ("Commission") regulatory process governing a company's proposed project, including the procedures that companies must follow before they can exercise their limited grant of authority to take and acquire an easement in any property or interest in property for construction,  operation or maintenance of a carbon dioxide pipeline in the manner provided for the exercise of the power of eminent domain under the Eminent Domain Act [735 ILCS 30]. This Statement covers several questions that landowners commonly pose to Commission staff members about proceedings at the Commission that relate to a company's proposed project when a company seeks to place facilities on or near the landowner's property. This Statement, however, is not a legal opinion concerning your rights under the law or the Commission's rules. It also is not a detailed analysis of the procedures involved. If you have any questions concerning your legal rights, you may wish to consult an attorney.

 

Requests for a Certificate of Authority under the

Carbon Dioxide Transportation and Sequestration Act

 

            Before constructing, operating or maintaining a carbon dioxide pipeline, an Owner or Operator must obtain a certificate of authority from the Commission under Section 20 of the Carbon Dioxide Transportation and Sequestration Act [220 ILCS 75/20]. To obtain a certificate, the Owner or Operator files an application with the Commission describing the proposed project. The Commission then initiates a proceeding to consider evidence regarding the application and notifies the potentially affected landowners of the date, time and place of the initial hearing regarding the proposed project. The courts, not the Commission, make the final decision as to whether the company can acquire the easement in property or in any interest in property and, if so, the compensation that the company will pay to the landowner.

 

Attempts by Owners and Operators to Acquire Property Rights

 

            An Owner or Operator may seek to purchase land or acquire a right for use of the land. Alternatively, an Owner or Operator representative may seek to obtain an option to purchase land or land rights at a future date.  A company representative will provide affected or potentially affected landowners with information regarding the price and other terms that the Owner or Operator intends to offer for the easement in property or any interest in property. The Owner or Operator uses its own forms for this type of transaction. The Commission does not require a company seeking to acquire an easement in property or any interest in property to use any particular form.

 

            The price and other terms for the easement in property or any interest in property are matters of negotiation between each landowner and an Owner or Operator. The Commission does not participate in the negotiation. The Commission also does not establish or approve the negotiated price and other terms for the acquisition of an easement in property or any interest in property. Negotiation involves discussion and bargaining in an effort to reach a mutual agreement. During the negotiations, and at any time, you may be represented by an attorney. However, you are under no obligation to retain anyone to provide legal counsel. Further, you are under no obligation to negotiate or reach an agreement with the company that is seeking to acquire an easement in property or any interest in property. The Commission does not require the Owner or Operator to obtain an easement by negotiating a fixed amount or percentage of property or any interest in property necessary for the project before it seeks Commission authorization to acquire an easement in property or any interest in property.

 

            The Commission will make its final decision regarding a project's route in certificate proceedings. Once an Owner or Operator obtains a certificate of authority, issues such as the specific route of the project are not typically reconsidered in subsequent proceedings before the Commission or addressed before the courts. You should not delay in taking whatever action that you believe is, or may be, necessary to protect your property interests. If you elect to negotiate with a company, the Commission encourages you or your representative to negotiate vigorously.

 

            If you have any questions about this Statement or Commission rules and procedures, please contact:

 

                                    Director, Safety & Reliability Division

                                    Illinois Commerce Commission

                                    527 East Capitol Avenue

                                    Springfield, Illinois 62701

 

Please address specific questions concerning your individual property to the company representative.

 

Section 302.APPENDIX B   Statement of Information from the Illinois Commerce Commission Concerning Acquisition of Easement in Property or any Interest in Property by Illinois Owners or Operators Under the Carbon Dioxide Transportation and Sequestration Act

 

            A representative of an Owner or Operator of a carbon dioxide pipeline is contacting you to negotiate the purchase of an easement in property or in any interest in property over or through property that you own, or in which you have an interest as an owner. The company proposes to construct, operate and maintain certain facilities on your land, as set forth in the accompanying letter. The company representative contacting you will further explain the proposed project.

 

            The purpose of this Statement is to provide you with general information regarding the Illinois Commerce Commission's ("Commission") regulatory process governing a company's proposed project, including the procedures that companies must follow before they can exercise their limited grant of authority to take and acquire an easement in any property or interest in property for construction, operation or maintenance of a carbon dioxide pipeline in the manner provided for the exercise of the power of eminent domain under the Eminent Domain Act [735 ILCS 30]. This Statement covers several questions that landowners commonly pose to Commission staff members about proceedings at the Commission that relate to a company's proposed project when a company seeks to place facilities on or near the landowner's property. This Statement, however, is not a legal opinion concerning your rights under the law or the Commission's rules. It also is not a detailed analysis of the procedures involved. If you have any questions concerning your legal rights, you may wish to consult an attorney.

 

Requests for a Certificate of Authority under the

Carbon Dioxide Transportation and Sequestration Act

 

            Before constructing, operating or maintaining a carbon dioxide pipeline, an Owner or Operator  must obtain a certificate of authority from the Commission under Section 20 of the Carbon Dioxide Transportation and Sequestration Act [220 ILCS 75/20]. To obtain a certificate, the Owner or Operator files an application with the Commission describing the proposed project. The Commission then initiates a proceeding to consider evidence regarding the application and notifies the potentially affected landowners of the date, time and place of the initial hearing regarding the proposed project. The courts, not the Commission, make the final decision as to whether the company can acquire the easement in property or in any interest in property and, if so, the compensation that the company will pay to the landowner.

 

Attempts by Owners and Operators to Acquire Property Rights

 

            An Owner or Operator may seek to purchase land or acquire a right for use of the land. Alternatively, an Owner or Operator representative may seek to obtain an option to purchase land or land rights at a future date.  A company representative will provide affected or potentially affected landowners with information regarding the price and other terms that the Owner or Operator intends to offer for the easement in property or any interest in property. The Owner or Operator uses its own forms for this type of transaction. The Commission does not require a company seeking to acquire an easement in property or any interest in property to use any particular form.

 

            The price and other terms for the easement in property or any interest in property is a matter of negotiation between each landowner and an Owner or Operator. The Commission does not participate in the negotiation. The Commission also does not establish or approve the negotiated price and other terms for the acquisition of an easement in property or any interest in property. Negotiation involves discussion and bargaining in an effort to reach a mutual agreement. During the negotiations, and at any time, you may be represented by an attorney. However, you are under no obligation to retain anyone to provide legal counsel. Further, you are under no obligation to negotiate or reach an agreement with the company that is seeking to acquire an easement in property or any interest in property. The Commission does not require the Owner or Operator to obtain an easement by negotiating a fixed amount or percentage of property or any interest in property necessary for the project before it seeks Commission authorization to acquire an easement in property or any interest in property.

 

            The Commission will make its final decision regarding a project's route in certificate proceedings. Once an Owner or Operator obtains a certificate of authority, issues such as the specific route of the project are not typically reconsidered in subsequent proceedings before the Commission or addressed before the courts. You should not delay in taking whatever action that you believe is, or may be, necessary to protect your property interests. If you elect to negotiate with a company, the Commission encourages you or your representative to negotiate vigorously.

 

            If you have any questions about this Statement or Commission rules and procedures, please contact:

 

                                    Director, Safety & Reliability Division

                                    Illinois Commerce Commission

                                    527 East Capitol Avenue

                                    Springfield, Illinois 62701

 

Please address specific questions concerning your individual property to the company representative.