Office of Sen.

Mike Johnston
Colorado General Assembly | 200 E. Colfax Avenue | Denver, CO 80203 | 303.866.4864

FACT SHEET MEMORANDUM

HB 12-1312 Public Utilities Commission Electric Transmission Lines Certificate Staff Name: Rachel Marion What the Bill Does: Under current Colorado law, the process for siting transmission lines is as follows: 1. The utility must notify the local jurisdiction in which a major electrical facility, including a transmission line, will be sited.1 2. The utility must apply to the Colorado Public Utilities Commission (PUC) for a Certificate of Public Convenience and Necessity (CPCN).2 3. Concurrently to applying for a certificate from the PUC, the utility must receive a use permit from the local jurisdiction where the project will be sited.3 a. If the PUC grants a CPCN, but the local jurisdiction refuses to site the project, the utility may appeal to the PUC.4 In considering an appeal, the PUC must balance the local interest with the statewide interest in the new facility.5 In particular, the PUC must consider the demonstrated need for the project, the extent that it conflicts with local land use plans and ordinances, whether it would exacerbate a natural hazard, the merits of feasible alternatives, the basis for the local governments decision, the impact on local residents, and the safety of the public.6 4. Finally, for local jurisdictions that have adopted a 1041 permitting requirement, the utility must further receive a local 1041 permit, which requires a substantial environmental analysis and consideration of alternatives.7 This bill clarifies the jurisdiction of the PUC in CPCN proceedings for the construction or extension of electric transmission lines or associated facilities. The bill clarifies that the role of the PUC in CPCN proceedings will not include considering land use issues. Land use issues are typically understood best by local entities and can be addressed by the local jurisdiction in evaluating whether or not to grant a use permit. Consequently, HB12-1312 clarifies that issues such as the location or alignment of the proposed lines or facilities are to be addressed through a local government's land use regulations.

1 2

COLO. REV. STAT. 29-20-108(4)(a) (2010) COLO. REV. STAT. 40-5-101(1). 3 See COLO REV. STAT. 40-5-101(3). 4 COLO. REV. STAT. 40-5-108(5). 5 See COLO. REV. STAT. 29-20-108(5). 6 See id. 7 See COLO. REV. STAT. 24-65.1-501.

For a complete list of fact sheets, visit www.mikejohnston.org/in-the-legislature.

Colorado Context: By providing clarification on the role of the PUC versus the role of local governments, this bill aims to prevent confusion on the part of both entities as to jurisdiction over land use issues. National Context: State transmission siting requirements vary greatly in the west.8 Bill Provisions: The bill clarifies that an assessment of public convenience and necessity (performed by the PUC) does not include the consideration of land use rights or siting issues related to the location or alignment of proposed transmission lines. Rather, the bill explains, these issues are under the jurisdiction of a local governments land use regulation. Fiscal Impact: The bill is assessed as having no fiscal impact.9

8 9

http://www.westgov.org/wieb/transmission/other/siting_chart.pdf Marc Carey, Fiscal Note: HB12-1312, Feb. 22, 2012.

For a complete list of fact sheets, visit www.mikejohnston.org/in-the-legislature.