IUC accepts Summit Carbon’s withdrawal of phase two route

There’s been some recent good news for opponents of the proposed Summit Carbon Solutions carbon pipeline project.
 On Aug. 13 the Iowa Utilities Commission accepted SCS Carbon Transport LLC’s withdrawal of Docket HLP-2024-0006 and ordered the docket closed. That particular application proposed approximately a 32 miles carbon pipeline in Adams and Montgomery counties in southwest Iowa, including near the residence of James and Jan Norris.
Jan Norris, who has been one of the many Montgomery County residents to oppose the construction of the pipeline said the closing of the docket was significant, as it means if a pipeline is desired in the future, Summit would have to start at square one.
“Summit filed their intent for withdrawal in May, and now it is official. For now, Summit will not be building a carbon pipeline across 32 miles of Adams and Montgomery Counties. They would have to start over with a brand new petition, and they would have to again hold public meetings. Phase two didn’t even get through the whole procedure in front of the IUC, because they were trying to piggyback it on to phase one. That all got tied up, and that’s still tied up in court. They did have public meetings, one in Corning and one in Red Oak, but they never got to a hearing,” Norris said.
While the withdrawal of the phase two route is good news, Norris said the phase one route remains in flux.
The IUC has filed two orders addressing how they will move forward with all of Summit’s requested changes and the district court remand. Order one addressed the remand. The IUC agreed with landowners and said that the scope of the remand is limited to the passage of South Dakota House Bill 1052 and its impacts on the North and South Dakota condition.  That means none of the other changes Summit requests can be considered during the remand hearing.  
The IUC also changed the condition that Summit can’t start construction in Iowa until they have approval in North and South Dakota. Now they will allow Summit to start construction as long as they have a route and sequestration permits in any state. The condition now reads: “Summit Carbon Solutions, LLC, shall not commence construction on any segment of pipe in Iowa until it has obtained agency-level or substantially similar approval for a route and sequestration site, except as described in Ordering Clauses 6 and 7”.  
Order two addresses all the other changes Summit is asking for in its Amendment Petition, including pipe size, route changes, consolidation, fast tracking, etc. The IUC ordered Summit to file a revised petition amendment and to follow proper procedures to request changes. Objectors believe that the IUC can not consider any changes, other than the remand, until the full district court process plays out and have filed a stay of further agency proceedings with the district court to ensure the IUC does not move forward on any changes except the remand. However, on Aug. 17 the IUC filed a resistance to the request asking for the District Court to grant an emergency stay to stop the ICU from considering Summit’s petition amendment to Phase One.   
While Summit has also filed an intention to drop the pipeline route from Shenandoah to Ida County, it has gone further in the process.
“They actually were issued a conditional permit. Some of those landowners signed voluntary easements that could be permanent, forever easements. Even if the IUC accepts Summit dropping this portion of the phase one route, it does not mean that there will never be a project. As long as those easements are in place, they can sell those to another company. For example, the TallGrass project over in Nebraska, some of the easements that they’re utilizing there are 40 years old. They don’t have to notify the landowner of anything. As long as you have a valid easement and it has not been removed, you will constantly live under the threat of a new project coming,” Norris advised. “Tallgrass construction is underway in Pottawattamie and Mills counties to cross into Nebraska. Also, Summit still owns lots of valuable easements they spent 100s of millions to obtain. Unless those easements have a sunset clause, they could be forever. Until they are released, another project could come in and use them.
For those that have signed easements, Norris said there are some avenues those people can take.
They would need the assistance of a well-experienced lawyer in this case. The Iowa Easement team is operating out of a law firm in Omaha, and they have been assisting all of these landowners all this time over the last five years and they will be also taking on landowners who want to get out of their easements. There may be a way to do it, but you’re going to need legal assistance to figure it out,” stated Norris.
While there were still a number of hurdles to get through, Norris felt it was a victory for Iowa landowners.
“I commend folks for fighting for their property rights, standing up against the big business pipeline machine, standing up against the corruption in the capitol, and for saying no and fighting for their land. This makes clear how important it is to stand with your neighbors to say no, not on my farm,” said Norris.
Additionally, landowners have been getting some help at the Iowa statehouse. Senator Jeff Taylor was the first, but many others have joined, to file an objection in the docket asking IUC to revoke Summit’s Phase one permit and force them to reapply.  He also added that if Summit reapplies, IUC should not allow eminent domain for Summit.  
Norris added Summit is serious about removing us from their proposal in Iowa. Although there are still legal issues to be worked through, the Exhibit H withdrawals (eminent domain parcels) don’t have to be approved.
“We are nervous telling people they are off the hook. Summit has consistently been full of tricks. Summit could get the project in the ground on the main line, then go back to some of the former plants and reapply. Especially those routes where they have current easements already paid for. Even those with sunset clauses may only stay valid as long as “construction has begun” within so many years. Just to be clear, don’t think those who signed and cashed their check are big winners. Those that didn’t sign are the big winner here. Your property is unencumbered,” explained Norris. “Those who signed easements, no matter how informed they may or may not have been in doing so, could forever have an easement to come back to haunt them months, years or generations in the future. Easements are valuable - they can be sold to another company, or a new project could be applied for. That’s why we need to be talking to those that signed and encourage them to pursue getting the easements released if the Phase 1 route change is final. Until those easements go away, none of us are safe from a future threat. They need to join the Iowa Easement Team and have Brian Jorde help them get the easements released.”
Overall, close to 200 miles of the route have been removed, but nearly 800 miles of Iowa are still included in project phases.. Until it goes away, Norris said the project is still a possibility. She outlined steps people can take.
“Stay vigilant, don’t just check out and walk away. Summit could still come back.  I would also suggest people stay in the Iowa Easement Team and continue as a Brian Jorde client to help those folks who are unlucky enough to still be under Summit’s boot. Your voice matters and so does your vote. Be a property rights voter, ask candidates what they are willing to do to pass meaningful eminent domain reform - not just that they “support property rights.” In January, demand our legislature protect property rights from Eminent Domain. Also, encourage local ordinances.  We have learned the value in being proactive; do not wait for the threat to be at our doorstep next time, pass upgrades before a project is threatening to sue. The zoning administrator told me they are currently reviewing and upgrading Montgomery County’s ordinances. Plan to come to the zoning meeting being planned in September,” advised Norris.

 

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