An Iowa House subcommittee is already advancing a new eminent domain bill, House Study Bill 507, in the first days of the session.
The proposal would ban the use of eminent domain for pipelines carrying carbon dioxide. It mirrors a law passed in South Dakota, where state regulators twice denied a permit for Summit Carbon Solutions to build part of its carbon dioxide pipeline.
Jake Ketzner, a lobbyist for Summit who is against the bill, said it would kill the company’s project and hinder Iowa’s ethanol industry.
“Unfortunately, this bill would eliminate new and emerging low carbon markets for Iowa ethanol, like sustainable aviation fuel,” he said. “Iowa was the best place in the world to produce corn and ethanol. Now, that honor goes to our neighbor, Nebraska.”
Iowa regulators have approved Summit’s request to use eminent domain, but construction can’t begin until the company has approval from the Dakotas. Summit requested an amendment in September to remove the state-specific language.
Last year, a bill against eminent domain passed through the Iowa House and Senate, but Gov. Kim Reynolds vetoed it.