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HB 2226

State government; Oklahoma Artist Safety Plan Act of 2025; effective date.

2025 Regular Session Introduced by Jared Deck

HB 2226 grants incumbents a right of first refusal to build/upgrade certain transmission lines, but requires competitive bids for long‑lead projects and KCC oversight.

Second Reading referred to Rules
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Bill Summary · HB 2226

Summary — HB 2226 (2025): Right of First Refusal for Incumbent Electric Transmission Owners

Status: Referred to Committee on Energy, Utilities & Telecommunications (Introduced Jan 29, 2025). Companion: SB 841.

Purpose / Intent

HB 2226 gives incumbent electric transmission owners a statutory right of first refusal to construct, upgrade, own and maintain transmission lines that are identified in a regional transmission organization’s (RTO) transmission plan and approved for construction — where those lines interconnect (or will interconnect) to facilities owned or proposed by the incumbent. The bill sets procedures and conditions for exercising that right and establishes a competitive-bid requirement for long‑lead projects.

Key provisions

  • Incumbent right of first refusal:

    • Applies when a planned transmission line will interconnect to facilities owned or proposed by the incumbent transmission owner.
    • The incumbent must notify the RTO within the RTO’s prescribed timeframe whether it (or an affiliate) intends to exercise the right for all or a share of the line.

  • Certificate of convenience and necessity (CCN):

    • Upon notice of intent, the incumbent must either already hold a CCN for the line or file for a CCN within 18 months.

  • Competitive bid requirement for long‑lead projects:

    • For lines with an RTO-determined need date of four years or more, the incumbent exercising the right must issue a request for proposals (RFP) to solicit competitive bids for construction.
    • An independent evaluator appointed by the Kansas Corporation Commission (KCC) must oversee the RFP evaluation and selection process.
    • The incumbent may still submit a bid.

  • Multiple incumbents:

    • If two or more incumbent owners are involved, construction rights are to be determined by mutual agreement.

  • When others may build:

    • If the incumbent fails to timely indicate intent or is deemed unqualified by the RTO, other transmission entities may construct the line provided they obtain necessary RTO approvals.

  • Preservation of other rights:

    • The bill does not affect existing property rights, assignment of rights, or municipal utilities’ rights to construct and own local transmission facilities.

  • Definitions:

    • “Electric transmission line” means lines >100 kV and related facilities.
    • “Regional transmission organization” defined as the FERC-authorized RTO for the region.

Who is affected

  • Incumbent transmission owners (including municipal utilities)
  • Other electric transmission entities seeking to build regional projects
  • Regional transmission organization (planning/approval role)
  • Kansas Corporation Commission (oversight / appointing independent evaluators)
  • Ratepayers and state agencies (via administrative costs)

Fiscal/Administrative impact

  • KCC notes enactment would require appointment/contracting of independent evaluators. Estimated workload: about two projects per year, at $25,000–$50,000 per project, funded from agency fee funds to pay independent evaluators and maintain RFP-ready evaluator contracts.
  • Citizens’ Utility Ratepayer Board and the Office of Judicial Administration report no material fiscal effect.
  • Costs are not included in the FY 2026 Governor’s Budget Report.

Procedural history (selected)

  • Filed: Jan 29, 2025
  • Referred to committee: Feb 5, 2025
  • Public hearing & committee consideration: Apr 23, 2025 (left pending)
  • Related legislative activity includes readings, committee referrals and a rules re‑referral through May 2025.

Practical effect

HB 2226 formalizes a preference for incumbent transmission owners while introducing competitive procurement for longer‑lead projects and KCC oversight via an independent evaluator. The bill seeks to balance incumbent participation, competition for construction contracts, and RTO planning outcomes; it also preserves municipal utility authorities and existing property‑right processes.

Compiled from official sources — confirm details with the bill’s official record.

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