Energy (Pipeline Infrastructure)

HB 2435 allows Kansas natural gas utilities to defer depreciation and carrying costs for new infrastructure (like pipelines or equipment) into a regulatory asset instead of immediately recovering them through customer rates. The bill establishes a temporary "interim rate adjustment" mechanism, letting utilities recover these deferred costs over 20 years via customer bills, with a 60-month limit unless a new rate case is filed. Utilities must notify the State Corporation Commission before deferring costs and can only recover amounts that don’t exceed 20% of their base revenue. This directly affects Kansas natural gas utilities operating under the State Corporation Commission’s oversight, changing how they account for and recover investments in new infrastructure.

SB 266 requires electric utilities to obtain legislative approval before building "high-impact" electric transmission lines (defined as 10+ miles long, carrying 340+ kilovolts of electricity). It directly affects utilities planning such projects and landowners near proposed routes, as utilities must submit detailed proposals to the legislature within 30 days of receiving a commission siting permit. The key mechanism adds a new step: the legislature must adopt a concurrent resolution approving the project, with no automatic approval if they fail to act within a timeframe. This bill changes the process by giving Kansas legislators a formal vote on major transmission line projects, beyond the existing commission review.