SB 231

Current law generally prohibits the condemnation of real property owned by

the state, a municipality, or a county. However, an exception applies for high-voltage

transmission lines constructed by electric public utilities and cooperative

associations. Under current law, if such a utility or cooperative association receives

a certificate of public convenience and necessity (CPCN) from the Public Service

Commission (PSC) for a high-voltage transmission line constructed over, on, or

under land owned by a county, city, village, town, public board, or commission, the

owner of the land must convey to the utility or cooperative association, at fair market

value, the interest in land necessary for the construction, operation, and

maintenance of the line.

Current law imposes a 90-day deadline for the parties to agree on the fair

market value, except that the parties can agree to extend the deadline by an

additional 90 days. The deadline begins to run when the utility or cooperative

association notifies the landowner that the PSC has issued a CPCN for the line. If

the parties cannot reach agreement before the deadline expires, current law requires

the circuit court of the county in which the land is located to appoint an arbitrator

to determine fair market value. Current law requires the interest in the land to be

conveyed to the utility or cooperative association upon commencement of the

arbitration proceeding. The arbitrator's determination is binding on the parties,

unless a court modifies or vacates the determination under limited circumstances

specified under the Wisconsin Arbitration Act. Those circumstances include fraud,

partiality, misconduct, and material miscalculating.

This bill expands the exception regarding condemnation described above to

include natural gas distribution and transmission lines constructed by natural gas

public utilities. Under the bill, if a natural gas public utility receives a certificate

from the PSC authorizing construction of such a line over, on, or under land owned

by a county, city, village, town, public board, or commission, the owner of the land

must convey to the utility, at fair market value, the interest in land necessary for the

construction, operation, and maintenance of the line. The deadlines for agreeing to

fair market value, as well as the arbitration requirements, which are described above

also apply to the parties.