SF5243

Purpose

• Establish a streamlined framework for relocating utility facilities when Minnesota state transportation projects require it.
• Ensure timely planning, sequencing, and funding for relocations.
• Clarify and standardize who pays relocation costs, how they are reimbursed, and how permits and coordination are handled.

Main Provisions

• Relocation responsibility and payment

  • When a trunk highway project requires moving a utility facility, the relocation may be done under the state highway contract or as a separate contract. The utility owner can request the commissioner to act as its relocation agent.
  • Relocation costs paid from the trunk highway fund, with reimbursement rules consistent with federal funding levels for the interstate system. The state ensures that payments to utilities align with applicable statutes and rules.
  • If a relocation must be coordinated with another state contractor, the commissioner must hold a coordination meeting and issue a consolidated relocation schedule so all parties can prepare.

• Constructability and colocation planning

  • If a route along a trunk highway corridor is identified for possible colocation of transmission lines, the utility or transmission line developer must prepare a constructability report in consultation with the commissioner.
  • The constructability report sets terms and conditions for building the colocation project and must be approved by the commissioner and the parties before the state issues a permit for using the trunk highway right-of-way.
  • The report includes an agreed time frame during which the commissioner will not request relocation, and, if relocation becomes necessary earlier than the agreed time frame or with less than four years’ notice, the commissioner may be responsible for 75% of relocation costs.

• Expedited relocation permitting

  • If relocation is needed, the commissioner must designate a single utility relocation permitting coordinator within the Department of Transportation within 10 business days after a relocation notice is issued.
  • A relocation plan must be submitted by the utility within 120 days of a written relocation plan request.
  • Review deadlines: the reviewing agency must determine completeness within 15 business days of submittal; then approve, approve with conditions, or deny within 30 calendar days of completeness.
  • If the agency fails to act within the deadline, the permit is deemed approved, subject to safety conditions.

• Relocation agreements in lieu of permits

  • For relocation work entirely within existing public road right-of-way and not causing a new environmental permit, the commissioner and utility can use a relocation schedule and relocation agreement instead of separate right-of-way permits.
  • The relocation agreement must cover scope, sequencing milestones, traffic control, restoration standards, safety requirements, and dispute resolution.

• Limitations and safety

  • The act does not apply to new utility construction unrelated to relocation, nor to projects that expand a utility’s route beyond the relocation footprint.
  • The state retains authority to enforce safety standards.

Significant Changes to Existing Law

• Expanded cost-sharing and reimbursement framework
  • Clear process for reimbursing utilities from the trunk highway fund, with alignment to federal reimbursement bases; criteria around timing of relocation affecting cost responsibility (e.g., 75% cost share by the state if relocation occurs earlier than the planned timeframe).
• Formalized constructability and colocation process
  • Requires a formal constructability report for colocated transmission projects along trunk highway corridors, with binding terms and conditions approved before permits.
• Streamlined permitting and coordination
  • Introduces a centralized relocation permitting coordinator and tighter timelines for relocation plans and permit decisions.
  • Establishes a consolidated, interagency coordination approach to relocation scheduling when multiple state contractors are involved.
• Right-of-way and footprint focus
  • Emphasizes that permits and agreements should be limited to the relocation footprint; no expansion of the route beyond the relocation area unless future approvals are obtained.

Definitions to Note (Key Terms Used in the Bill)

• Utility facility: power, gas, telecommunication, water, sewer, oil, hazardous liquid, and related systems using public highways for location.
• Relocation: moving, modifying, protecting-in-place, lowering/raising, casing, supporting in place, abandoning in place, or removing a utility facility.
• High voltage transmission line: as defined by existing law.
• Permit: state-level approvals related to relocation that may include occupancy or environmental approvals, excluding new capacity or route expansion beyond the relocation footprint.
• Trunk highway project: a state transportation project on trunk highways, including bridges and interchanges.
• Constructability report: a study prepared in coordination with the commissioner to plan colocation and determine buildability.
• Colocation: placing utility lines together within the same right-of-way corridor.
• Relocation plan: a plan outlining how relocation will be carried out, including timelines and agency actions.
• Relocation agreement: an agreement in lieu of a separate permit, covering scope, sequencing, traffic control, restoration, safety, and dispute resolution.

Implementation Timeline and Deadlines (Key Dates)

• Expedited coordination: within 10 business days of relocation notice.
• Relocation plan submission: within 120 days of request.
• Completeness review: within 15 business days.
• Permit decision: within 30 calendar days after completeness.
• Deemed approval: if agencies fail to act, permits are deemed approved with safety conditions.
• Four-year notice for certain constructability relationships: state should provide as much notice as practicable, with a target of four years in the constructability planning context.

Potential Impacts

• Utilities: clearer process for relocation planning and faster approvals, but with explicit cost-sharing rules and required coordination.
• State transportation program: improved scheduling and cost control through centralized coordination and longer lead times for relocations.
• Taxpayer and public safety: continued emphasis on safety standards and public safety in all relocation activities.

Relevant Terms - Relocation of utility facilities - Trunk highway route - Constructability report - Colocation - Transmission lines - Permits and relocation plan - Relocation agreement - Single utility relocation permitting coordinator - Four-year advance notice - Four-year notice - Reimbursement - Trunk Highway Fund - Federal reimbursement basis - Interstate Highway System - Utility facility - Relocation footprint - Right-of-way occupancy permits - Traffic control - Safety standards - Environmental permit - Interagency coordination