House Bill 593

AN ACT TO CREATE NEW CODE SECTION 77-5-257, MISSISSIPPI CODE OF 1972, TO GRANT THE PUBLIC SERVICE COMMISSION JURISDICTION OVER ELECTRIC POWER ASSOCIATIONS WHEN THE ASSOCIATIONS CONDEMN TO OBTAIN RIGHTS-OF-WAY; TO PROVIDE THAT ASSOCIATIONS MUST PETITION THE COMMISSION FOR A HEARING CONCERNING RIGHTS-OF-WAY MATTERS; TO PROVIDE THAT THE PROPERTY OWNERS AND THE ASSOCIATES MUST FILE CERTAIN STATEMENTS WITH THE COMMISSION, WHICH SHALL SERVE AS PLEADINGS; TO PROVIDE THE APPEALS PROCESS FOR ANY FINAL ORDER OF THE COMMISSION; TO AMEND SECTION 77-5-231, MISSISSIPPI CODE OF 1972, IN CONFORMITY THERETO; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. The following shall be codified as Section 77-5-257, Mississippi Code of 1972:

77-5-257. (1) The Public Service Commission shall exercise jurisdiction over corporations under this article in matters concerning rights-of-way either on, under or above the ground where condemnation is necessary.

(2) To exercise the jurisdiction described in subsection (1) of this section, the Public Service Commission shall require any corporation seeking the right to condemn private property for a right-of-way to file a petition with the commission. The petition shall describe in detail the property sought to be condemned and shall state with certainty the right to condemn, and shall identify the interest or claim of the property owner. The petition shall be considered a matter of public interest and shall be a preference case over all other cases the commission may handle.

(3) After a petition is filed with the Public Service Commission, as prescribed in this section, the commission shall set a time for a hearing, and the time of the hearing shall be fixed on a date to allow sufficient time for each property owner named to be served with process as is otherwise provided by the Mississippi Rules of Civil Procedure, for not less than thirty (30) days before the hearing. If a property owner, or other party in interest, shall not be served for the specified time before the date fixed, the hearing shall be continued to a day certain to allow the thirty-day period specified. Not less than twenty (20) days before the date fixed for the hearing, the corporation shall file with the commission and serve upon the property owner or his or her respective attorney, a statement showing: (a) the fair market value of the property to be condemned, determined as of the date of the filing of the petition; (b) the damages, if any, to the remainder if less than the whole is taken, giving a total compensation and damages to be due as determined by the corporation. Not less than ten (10) days before the date fixed for the hearing, the property owner shall file with the commission and serve upon the corporation, or the corporation's attorney, a statement showing: (a) the fair market value of the property to be condemned, determined as of the date of the filing of the petition; (b) the damages, if any, to the remainder if less than the whole is taken, giving a total compensation and damages to be due as determined by the landowner. In each such instance, both the corporation and the property owner shall set out in the statement the asserted highest and best use of the property and shall itemize the elements of damage, if any, to the remainder if less than the whole is taken. The statements required by this section shall constitute the pleadings of the parties with respect to the issue of value, and shall be treated as pleadings are treated in civil actions in the circuit court. The Public Service Commission, for good cause shown, may increase or decrease the time for pleading by the corporation or by the property owner.

(4) In any proceeding commenced under this section, the commission shall perform duties as it deems reasonable and likely to result in a final order that decreases the instances of the commencement of litigation between the corporation and the property owner.

(5) Any party aggrieved by a final order of the commission, which is rendered pursuant to this section, shall have the right of appeal and shall follow the method of procedure prescribed by Chapter 27, Title 11, Mississippi Code of 1972.

SECTION 2. Section 77-5-231, Mississippi Code of 1972, is amended as follows:

77-5-231. A corporation created under the provisions of this article shall have power to do any and all acts or things necessary or convenient for carrying out the purposes for which it was formed, including, but not limited to:

(a) To sue and be sued.

(b) To have a seal and alter the same at pleasure.

(c) To acquire, hold and dispose of property, real and personal, tangible and intangible, or interests therein and to pay therefor in cash or property or on credit, and to secure and procure payment of all or any part of the purchase price thereof on such terms and conditions as the board shall determine.

(d) To render service and to acquire, own, operate, maintain and improve a system or systems within the state and in counties adjacent thereto.

(e) To pledge all or any part of its revenues and to mortgage or otherwise incumber all or any part of its property for the purpose of securing the payment of the principal of and interest on any of its bonds or other obligations.

(f) To use any right-of-way, easement or other similar property right necessary or convenient in connection with the acquisition, improvement, operation or maintenance of a system, granted by the state or any political subdivision thereof, provided that the governing body of such political subdivision shall consent to such use, and to have and exercise the power of eminent domain in the manner provided by the condemnation laws of this state for acquiring private property for public use, such right to be paramount except as to the property of the state or of any political subdivision thereof.

(g) To accept gifts or grants of money, property, real or personal, from any person, municipality or federal agency and to accept voluntary and uncompensated services.

(h) To make any and all contracts necessary or convenient for the full exercise of the powers in this article granted, including, but not limited to, contracts with any person, federal agency or municipality for the purchase or sale of energy and/or the acquisition of all or any part of any system, and in connection with any such contract to stipulate and agree to such covenants, terms and conditions as the board may deem appropriate, including covenants, terms and conditions with respect to the resale rates, financial and accounting methods, services, operation and maintenance practices and the manner of disposing of the revenues of the system operated and maintained by the corporation.

(i) To sell, lease, or otherwise dispose of all or any part of its property, subject however to the provisions of Section 77-5-237.

(j) To contract debts, borrow money and to issue, assume or indorse the payment of bonds or other evidences of indebtedness.

(k) To fix, maintain and collect fees, rents, tolls and other charges for services rendered.

(l) To acquire and to sell, lease, distribute and generally to deal in electrical and plumbing appliances, apparatus, machinery and equipment for the purpose of and in connection with the promotion of the sale of electric energy to its customers; to assist its customers to purchase or otherwise obtain such appliances, apparatus, machinery and equipment; to assist its customers to wire their premises and to install therein such appliances, apparatus, machinery and equipment; to acquire and to indorse, sell, pledge, hypothecate and dispose of notes, bonds and other obligations of its customers in carrying out the purposes expressed in this paragraph.

(m) To perform any and all of the foregoing acts and to do any and all of the foregoing things under, through or by means of its own officers, agents and employees, or by contracts with any person, federal agency or municipality.

(n) To condemn any land, easements, or rights-of-way, either on, under, or above the ground, as the association may deem necessary for any purposes mentioned in this article, and such property or interest in such property may be so acquired whether or not the same is owned or held for public use by corporations, associations or persons having the power of eminent domain, or otherwise held or used for public purposes. Such power of condemnation may be exercised in the mode or method of procedure prescribed by Chapter 27 of Title 11, Mississippi Code of 1972, or in the mode or method of procedure prescribed by any other applicable statutory provisions now in force or hereafter enacted for the exercise of the power of eminent domain. Except for rights-of-way matters under the jurisdiction of the Public Service Commission that have not been appealed, as provided in Section 77-5-257, where condemnation proceedings become necessary, the judge of the circuit court or the judge of the county court in counties where the county court exists, in which such proceedings are filed, shall, upon application of the authority, and upon the deposit in court, to the use of the person or persons lawfully entitled thereto, of such amount as the judge may deem necessary to assure just compensation, order that the right of possession shall issue immediately or as soon and upon such terms as the judge, in his discretion, may deem just and proper. Upon application of the parties in interest other than the corporation, the judge may order that the money deposited in the court, or any part thereof, be paid forthwith for or on account of the just compensation to be awarded in said proceedings.

SECTION 3. This act shall take effect and be in force from and after July 1, 2011.