AB940,15,2422 4. Any person who is an officer or director of the person or of any corporation
23in any chain of successive ownership of 5% or more of the voting securities of the
24person.
AB940,16,6
15. Any corporation operating a servicing organization for furnishing
2supervisory, construction, engineering, accounting, legal or similar services to the
3person, which corporation has one or more officers or one or more directors in
4common with the person, and any other corporation which has directors in common
5with the person if the number of directors of the corporation is more than one-third
6of the total number of the person's directors.
AB940,16,77 6. Any subsidiary of the person.
AB940,16,88 (b) "Cooperative" means a cooperative association organized under ch. 185.
AB940,16,119 (c) "Federal agency" means, with respect to a transmission utility that is a
10cooperative, the rural utilities service and, with respect to a transmission utility that
11is a public utility, the federal energy regulatory commission.
AB940,16,1412 (d) "Independent system operator" means an independent system operator that
13requires the approval of a federal agency to operate transmission facilities in this
14state or a region.
AB940,16,1615 (dm) "Independent transmission owner" means a person that satisfies each of
16the following:
AB940,16,1717 1. The person does not own electric generation facilities.
AB940,16,2218 2. The person does not sell electric generation capacity or energy in a market
19within the geographic area that, on December 31, 1997, was served by the
20Mid-America Interconnected Network, Inc., Mid-Continent Area Power Pool, East
21Central Area Reliability Coordination Agreement or Southwest Power Pool
22reliability council of the North American Electric Reliability Council.
AB940,16,2323 3. The person is not an affiliated interest of a person specified in subd. 1. or 2.
AB940,16,2524 (e) "Region" means an interstate geographic area that includes any portion of
25this state.
AB940,17,2
1(f) "Rural utilities service" means the agency in the federal department of
2agriculture that is the successor to the rural electrification administration.
AB940,17,43 (fm) "Subsidiary" means any person, 5% or more of the securities of which are
4directly or indirectly owned by another person.
AB940,17,75 (g) "Transmission area" means the area of the state that, on January 1, 1997,
6was served by the Mid-America Interconnected Network, Inc., reliability council of
7the North American Electric Reliability Council.
AB940,17,128 (h) "Transmission facility" means any pipe, pipeline, duct, wire, line, conduit,
9pole, tower, equipment or other structure used for the transmission of electric power
10as determined by the public service commission on the basis of factors for identifying
11a transmission facility that are specified in the orders of the federal energy
12regulatory commission under 16 USC 824d and 824e.
AB940,17,1513 (i) "Transmission utility" means a cooperative or public utility that owns a
14transmission facility in this state and that provides transmission service in this
15state.
AB940,17,22 16(2) Commission powers and duties. (a) By June 30, 2000, if a transmission
17utility has not transferred control over its transmission facilities to an independent
18system operator that is approved by the applicable federal agency or divested, with
19approval of the applicable federal agency or the commission, its interest in its
20transmission facilities to an independent transmission owner, the commission shall,
21subject to par. (am), order the transmission utility to apply to the applicable federal
22agency to do one of the following:
AB940,17,2523 1. Transfer control of the transmission utility's transmission facilities to an
24independent system operator that has received the approval of the federal agency to
25operate in a region.
AB940,18,3
12. If the federal agency has not approved an independent system operator
2specified in subd. 1., transfer control over the transmission utility's transmission
3facilities to an independent system operator that is intended to operate in a region.
AB940,18,74 3. If the transmission utility does not, or is not able to, to the satisfaction of the
5commission, transfer its transmission facilities to an independent system operator
6specified in subd. 2., divest the transmission utility's interest in its transmission
7facilities to an independent transmission owner.
AB940,18,98 (am) The commission may waive the requirement to issue an order against a
9transmission utility under par. (a) if each of the following is satisfied:
AB940,18,1310 1. The transmission utility has filed an application with the applicable federal
11agency for approval to transfer control of its transmission facilities to an independent
12system operator or to divest its interest in its transmission facilities to an
13independent transmission owner.
AB940,18,2014 2. The commission finds that the waiver is reasonably expected to result in a
15more expeditious transfer of control to an independent system operator or
16divestment of interest to an independent transmission owner than would result
17under an order issued under par. (a). In making a finding under this subdivision, the
18commission shall consider the need for a reasonably prompt transfer of control or
19divestment of interest that ensures, to the maximum extent practicable, the
20continued reliability of the electric transmission system in this state.
AB940,18,2421 (b) By June 30, 2000, the commission shall order each transmission utility in
22this state that is a public utility to identify and separately account for the cost of
23retail transmission service and to take all retail transmission service from an
24independent system operator or independent transmission owner.
AB940,19,2
1(c) The commission has jurisdiction to do all things necessary and convenient
2to enforce the requirements of this section.
AB940,19,14 3(3) Independent system operator and independent transmission owner
4duties.
(a) If an independent system operator that has control over transmission
5facilities in this state determines that there is a need for additional transmission
6facilities in this state, the independent system operator shall order any transmission
7utility that has transferred control over transmission facilities to the independent
8system operator to, subject to the requirements of ss. 196.49 and 196.491 (3), expand
9the portion of the electric transmission system that is in this state and under the
10control of the independent system operator or construct additional transmission
11facilities in that portion of the transmission system. An independent system
12operator may issue an order under this paragraph only if a transmission utility that
13is subject to the order is reasonably compensated for the costs incurred in complying
14with the order.
AB940,19,2115 (bm) If each of the transmission utilities in the transmission area that are
16public utilities have not transferred control over their transmission facilities to the
17same independent system operator, the independent system operator that controls
18transmission facilities in the transmission area shall ensure that, by itself or
19pursuant to a long-term agreement with another independent system operator, the
20transmission facilities in the transmission area are planned, constructed, operated,
21maintained and controlled as a single transmission system.
AB940,20,322 (b) If an independent transmission owner determines that there is a need for
23additional transmission facilities in a portion of the electric transmission system of
24this state that consists of transmission facilities the interest in which has been
25divested to the independent transmission owner by a transmission utility, the

1independent transmission owner shall, subject to the requirements of ss. 196.49 and
2196.491 (3), expand that portion of the electric transmission system or construct
3additional transmission facilities in that portion.
AB940,20,64 (c) An independent transmission owner or an independent system operator
5shall operate transmission facilities over which it has control in a manner that does
6each of the following:
AB940,20,97 1. To the maximum extent practicable, eliminates advantages in electric
8generation, wholesale and retail markets that are otherwise related to ownership,
9control or operation of transmission facilities over which it has control.
AB940,20,1110 2. Satisfies the reasonable needs of transmission users in this state for reliable,
11low-cost and competitively priced electric service.
AB940,20,15 12(4) Transmission utilities. (a) A transmission utility may not transfer control
13over, or divest its interest in, its transmission facilities to an independent system
14operator or independent transmission owner unless, to the satisfaction of the
15commission, each of the following requirements is satisfied:
AB940,20,1916 1. The independent system operator or independent transmission owner is the
17sole provider of all transmission service to all users of its transmission system in this
18state, including the provision of retail transmission service to users that are public
19utilities.
AB940,20,2320 2. The independent system operator or independent transmission owner has
21authority over transmission facilities that is sufficient for the independent system
22operator or independent transmission owner to ensure the reliability of its
23transmission system.
AB940,20,2524 3. The independent system operator or independent transmission owner has
25sufficient authority to carry out the duties specified in sub. (3).
AB940,21,5
1(b) A transmission utility that transfers control over its transmission facilities
2to an independent system operator shall, subject to the approval of the applicable
3federal agency, provide reasonable and cost-effective construction, operation and
4maintenance services to the independent system operator that are required for
5operation of the transmission facilities.
AB940, s. 31 6Section 31. 196.491 (title) of the statutes is amended to read:
AB940,21,8 7196.491 (title) Advance planning of electric Strategic energy
8assessment; electric
generating facilities and transmission lines.
AB940, s. 32 9Section 32. 196.491 (1) (a) of the statutes is repealed.
AB940, s. 33 10Section 33. 196.491 (1) (am) of the statutes is created to read:
AB940,21,1111 196.491 (1) (am) "Affiliated interest" has the meaning given in s. 196.52 (1).
AB940, s. 34 12Section 34. 196.491 (1) (bm) of the statutes is created to read:
AB940,21,1513 196.491 (1) (bm) "Cooperative association" means a cooperative association
14organized under ch. 185 for the purpose of generating, distributing or furnishing
15electric energy at retail or wholesale to its members only.
AB940, s. 35 16Section 35. 196.491 (1) (d) of the statutes is amended to read:
AB940,21,2417 196.491 (1) (d) "Electric utility" means any public utility, as defined in s.
18196.01, which is involved in the generation, distribution and sale of electric energy,
19and any corporation, company, individual or association, and any cooperative
20association organized under ch. 185 for the purpose of generating, distributing or
21furnishing electric energy at retail or wholesale to its members only
, which owns or
22operates, or plans within the next 10 3 years to construct, own or operate, bulk
23electric generating facilities, large electric generating
facilities or high-voltage
24transmission lines
in the state.
AB940, s. 36 25Section 36. 196.491 (1) (e) of the statutes is amended to read:
AB940,22,2
1196.491 (1) (e) "Facility" means a bulk electric generating facility, a large
2electric generating facility or a high-voltage transmission line.
AB940, s. 37 3Section 37. 196.491 (1) (g) of the statutes is amended to read:
AB940,22,64 196.491 (1) (g) "Large electric generating facility" means electric generating
5equipment and associated facilities designed for nominal operation at a capacity of
6between 12,000 and 300,000 kilowatts 100 megawatts or more.
AB940, s. 38 7Section 38. 196.491 (1) (w) of the statutes is created to read:
AB940,22,108 196.491 (1) (w) "Wholesale merchant plant" means electric generating
9equipment and associated facilities located in this state that do not provide service
10to any retail customer and that are owned and operated by any of the following:
AB940,22,1211 1. Subject to the approval of the commission under sub. (3m) (a), an affiliated
12interest of a public utility.
AB940,22,1313 2. A person that is not a public utility.
AB940, s. 39 14Section 39. 196.491 (2) (title) of the statutes is repealed and recreated to read:
AB940,22,1515 196.491 (2) (title) Strategic energy assessment.
AB940, s. 40 16Section 40. 196.491 (2) (a) (intro.) of the statutes is repealed and recreated to
17read:
AB940,22,2118 196.491 (2) (a) (intro.) The commission shall prepare a biennial strategic
19energy assessment that evaluates the adequacy and reliability of the state's current
20and future electrical supply. The strategic energy assessment shall do all of the
21following:
AB940, s. 41 22Section 41. 196.491 (2) (a) 1. and 2. of the statutes are repealed.
AB940, s. 42 23Section 42. 196.491 (2) (a) 3. of the statutes is amended to read:
AB940,23,724 196.491 (2) (a) 3. Identify the location of proposed and alternative specific sites
25for all bulk electric generating facilities and all
and describe large electric generating

1facilities over 200,000 kilowatts for which a certificate of public convenience and
2necessity has not been applied for under sub. (3) but the commencement of whose
3construction is planned within 3 years, or such longer period as the commission
4deems necessary and indicate the impacts of the proposed and alternative
5generating facilities on the environment and the means by which potential adverse
6effects on such values will be avoided or minimized;
on which an electric utility plans
7to commence construction within 3 years.
AB940, s. 43 8Section 43. 196.491 (2) (a) 3g. of the statutes is created to read:
AB940,23,109 196.491 (2) (a) 3g. Assess the adequacy and reliability of purchased generation
10capacity and energy to serve the needs of the public.
AB940, s. 44 11Section 44. 196.491 (2) (a) 3m. of the statutes is amended to read:
AB940,23,1612 196.491 (2) (a) 3m. Identify the location of tentative and alternative routes for
13and describe high-voltage transmission lines on which an electric utility plans to
14commence
construction is intended to be commenced in the succeeding within 18
15months and indicate the effects of such transmission lines on the environment and
16the means by which potential adverse effects will be avoided or minimized;
.
AB940, s. 45 17Section 45. 196.491 (2) (a) 3r. of the statutes is created to read:
AB940,23,2018 196.491 (2) (a) 3r. Identify and describe any plans for assuring that there is an
19adequate ability to transfer electric power into the state and the transmission area,
20as defined in s. 196.485 (1) (g), in a reliable manner.
AB940, s. 46 21Section 46. 196.491 (2) (a) 4. of the statutes is amended to read:
AB940,23,2322 196.491 (2) (a) 4. Indicate in detail Identify and describe the projected demand
23for electric energy and the basis for determining the projected demand ;.
AB940, s. 47 24Section 47. 196.491 (2) (a) 5. and 6. of the statutes are repealed.
AB940, s. 48 25Section 48. 196.491 (2) (a) 7. of the statutes is amended to read:
AB940,24,2
1196.491 (2) (a) 7. Identify and describe existing and planned programs and
2policies
activities to discourage inefficient and excessive power use; and.
AB940, s. 49 3Section 49. 196.491 (2) (a) 8. of the statutes is repealed.
AB940, s. 50 4Section 50. 196.491 (2) (a) 9. to 13. of the statutes are created to read:
AB940,24,65 196.491 (2) (a) 9. Identify and describe existing and planned generating
6facilities that use renewable sources of energy.
AB940,24,97 10. Consider the public interest in economic development, public health and
8safety, protection of the environment and diversification of sources of energy
9supplies.
AB940,24,1110 11. Assess the extent to which the regional bulk-power market is contributing
11to the adequacy and reliability of the state's electrical supply.
AB940,24,1312 12. Assess the extent to which effective competition is contributing to a reliable,
13low-cost and environmentally sound source of electricity for the public.
AB940,24,1514 13. Assess whether sufficient electric capacity and energy will be available to
15the public at a reasonable price.
AB940, s. 51 16Section 51. 196.491 (2) (ag) of the statutes is created to read:
AB940,24,1917 196.491 (2) (ag) The commission shall promulgate rules that establish
18procedures and requirements for reporting information that is necessary for the
19commission to prepare strategic energy assessments under par. (a).
AB940, s. 52 20Section 52. 196.491 (2) (am) of the statutes is renumbered 196.491 (2r) and
21amended to read:
AB940,25,222 196.491 (2r) (title) Local ordinances. No local ordinance may prohibit or
23restrict testing activities undertaken by a an electric utility for purposes of preparing
24advance plans or
determining the suitability of a site for the placement of a facility.

1Any local unit of government objecting to such testing may petition the commission
2to impose reasonable restrictions on such activity.
AB940, s. 53 3Section 53. 196.491 (2) (b) (intro.) of the statutes is repealed and recreated to
4read:
AB940,25,75 196.491 (2) (b) (intro.) On or before July 1 biennially, the commission shall
6issue a draft of the biennial strategic energy assessment that it prepares under par.
7(a) to each of the following:
AB940, s. 54 8Section 54. 196.491 (2) (b) 8. of the statutes is amended to read:
AB940,25,129 196.491 (2) (b) 8. The lower Wisconsin state riverway board if the plan draft
10includes an assessment of the construction, modification or relocation of a
11high-voltage transmission line, as defined in s. 30.40 (3r), that is located in the lower
12Wisconsin riverway as defined in s. 30.40 (15).
AB940, s. 55 13Section 55. 196.491 (2) (b) 9. and 10. of the statutes are created to read:
AB940,25,1514 196.491 (2) (b) 9. Each person that is required to report information to the
15commission under the rules promulgated under par. (ag).
AB940,25,1716 10. The clerk of each city, village, town and county that, as determined by the
17commission, is affected by the assessment.
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