Illinois Administrative Code › Title 83 - PUBLIC UTILITIES › Part 300 - GUIDELINES FOR LAND AND RIGHT-OF-WAY ACQUISITIONS › Appendix A - Statement of Information from the Illinois Commerce Commission Concerning Acquisition of Land or Land Rights-of-Way by Illinois Utilities and Common Carriers by Pipeline

Current through Register Vol. 48, No. 28, July 12, 2024
A representative of a public utility or a common carrier by pipeline
				(collectively the company) is contacting you to negotiate the purchase of property
				or the acquisition of land or a land right-of-way 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's) regulatory
				process governing a company's proposed project, including the procedures that
				companies must follow before they can exercise the power of eminent domain to
				acquire land or land rights. Eminent domain is the power of the State, or those to
				whom the power is delegated by the State, to take private property for public use
				upon payment of just compensation to the landowner as is determined by the courts.
				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 those
				landowners' 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 Commission Certificate under
Section 8-406, 8-406.1, or 15-401 of the Public
				Utilities Act
Ordinarily, before constructing major new facilities, a public
				utility must obtain a certificate of public convenience and necessity from the
				Commission under Section 8-406 or 8-406.1 of the Public Utilities Act [220 ILCS
				5/8-406 or 8 -406.1]. Likewise, a common carrier by pipeline ordinarily must obtain
				a certificate in good standing from the Commission under Section 15-401 of the
				Public Utilities Act [220 ILCS 5/15-401 ] before
				constructing a pipeline or other facility. In either case, to obtain a certificate,
				the utility or common carrier files an application with the Commission describing
				the proposed project. The Commission then initiates a proceeding to consider
				evidence regarding the application and notifies affected landowners of the date,
				time and place of the initial hearing regarding the proposed project. If you have
				concerns about such a proposal, the Commission encourages you to participate in the
				Commission's certificate proceeding. Changes to a company's proposal are much less
				likely after the Commission has approved the proposal and issued the company a
				certificate. Landowners may participate in the proceeding, either through oral or
				written statements, or by intervening in the proceeding regarding the proposed
				project, as provided in the Commission's Rules of Practice (83 Ill. Adm. Code 200).
				In this type of proceeding, the Commission considers such factors as the public need
				for the proposed project, the type of facilities to be constructed, and the
				feasibility of the proposed location of the facilities. If the Commission determines
				that a company has met the requirements for obtaining a certificate and it approves
				the facility's design and location, it will grant a certificate to the company
				authorizing construction of the facility and the route that the facility will take
				across or through property not owned or controlled by the company.
Requests for a Commission Order Under
Section 8-503 of the Public Utilities Act
A company may also seek a Commission Order under Section 8-503
				[220 ILCS
				5/8-503 ] authorizing or directing it to construct the
				proposed project, either in conjunction with its request to obtain a certificate
				under Section 8-406 or 15-401, or separately. If a company seeks an order pursuant
				to Section 8-503 in a separate proceeding, the Commission will notify affected
				landowners of the Section 8-503 proceeding, and affected landowners may participate
				in this type of proceeding in the same manner as is described above for applications
				for certificates under Section 8-406 or 15-401. If, at the conclusion of the
				proceeding, the Commission grants the company's request for an order pursuant to
				Section 8-503, it will issue an order authorizing the proposed project or directing
				the company to construct the proposed project, including the specific route of the
				facility. If the Commission grants a company's request for a certificate under
				Section 8-406.1, the Section 8-406.1 order must also contain an order pursuant to
				Section 8-503 authorizing or directing the construction of the high voltage electric
				service line.
Requests for Eminent Domain Authority Pursuant
				to
Section 8-509 of the Public Utilities Act
A company seeking a certificate under Section 8-406.1 or a
				Commission Order under Section 8-503 may also apply to the Commission for
				authorization under Section 8-509 [220 ILCS 5/8-509 ] to use the power
				of eminent domain through the courts pursuant to the Eminent Domain Act [735 ILCS 30
				] to acquire the land or land rights necessary for the project. The company may
				elect to seek Commission authorization pursuant to Section 8-509, either in
				conjunction with its request for a certificate under Section 8-406.1 or for a
				Commission Order under Section 8-503, or separately. If the Commission authorizes
				the use of eminent domain under Section 8-509, and if the company is unable to reach
				agreement with the landowners to acquire the property interests necessary to
				complete the proposed project, the company will file a condemnation lawsuit in the
				circuit court where the property is located in order to obtain the property
				interests that the project requires. The courts, not the Commission, make the final
				decision as to whether the company can acquire land or land rights by eminent domain
				and, if so, the compensation that the company will pay to the landowner.
Attempts by Companies to Acquire Property
				Rights
Before seeking a Commission Order authorizing or directing a company
				to construct a project, a company may choose to acquire land or land rights from
				landowners. A company may seek to purchase land or acquire a right for use of the
				land. Alternatively, a company may seek to obtain an option to purchase land or land
				rights at a future date. A company representative will provide affected landowners
				with information regarding the price and other terms that the company intends to
				offer for the land or land rights. Such a company uses its own forms for this type
				of transaction. The Commission does not require a company seeking to acquire land or
				land rights to use any particular form.
The price and other terms for the land or land rights is a matter of
				negotiation. between each landowner and a company. 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 land or land rights.
				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 land or land rights. The Commission does
				not require such a company to obtain by negotiation a fixed amount or percentage of
				land or land rights necessary for the project before it seeks Commission
				authorization to acquire land or land rights.
The Commission typically makes its final decision regarding a
				project's route in certificate proceedings. Once a company obtains a certificate,
				issues such as the specific route of the project are not typically reconsidered in
				subsequent Section 8-503 proceedings before the Commission. Once a company obtains a
				Commission Order pursuant to Section 8-503 for a project, issues such as the
				specific route of the project will not be reconsidered in subsequent Section 8-509
				proceedings before the Commission and in subsequent condemnation proceedings 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.