Vos: Budget Will Help Pipeline Expansion Move Forward

The speaker of the state Assembly says a budget provision introduced last week limiting local control would allow a pipeline expansion to move forward.

The provision prevents towns or counties from imposing insurance requirements for interstate pipeline operators that already carry insurance. Critics have said it’s tailored to prevent Dane County from requiring insurance of Enbridge Energy as the company sought a permit there.

When asked by reporters, Assembly Speaker Robin Vos said Republicans have always supported local control.

“But you also have situations where projects go over multiple municipalities, multiple counties, and it’s very difficult when they’ve gotten permissions pretty much all the way from the border down to Dane County to have one county hold up that project,” said Vos.

Legislative drafting files also show a staffer with the speaker’s office requested Enbridge’s legal counsel speak with legislative attorneys on crafting changes to the state’s eminent domain law.

Enbridge has appealed a decision by the Dane County Zoning Committee to require a $25 million environmental impairment liability insurance policy as a condition of receiving a permit to build a pump station there. The county sought a study from David Dybdahl with American Risk Management, who recommended the insurance requirement.

“The insurance is available,” Dybdahl said. “$25 million is not unreasonable compared to over $1 billion in known damages with that company.”

Enbridge is seeking to build the pump station as part of plans to expand capacity on its Line 61 pipeline so it can send up to 1.2 million barrels per day from Superior to the Illinois border. County zoning committee officials say the policy protects the county from any potential financial liability if a spill were to occur. Enbridge has said it would pay for the cost of any cleanup regardless of whatever insurance the company carries.

The board is set to take up the appeal on July 16.