Enbridge Stuffs Provision into Wisconsin Budget to Expedite Controversial Piece of "Keystone XL Clone"

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On Thursday, July 3 on the eve of a long Fourth of July holiday weekend, Canadian pipeline company giant Enbridge landed a sweetheart deal: a provision in the 2015 Wisconsin Budget that will serve to expedite permitting for its controversial proposed Line 61 tar sands pipeline expansionย project.

Line 61 cuts diagonally across Wisconsin and goes into north-central Illinois, beginning in Superior, Wisconsin and terminating in Flanagan, Illinois. The Wisconsin Gazette refers to the pipeline as the โ€œXXLโ€ pipeline because it is bigger in size and has higher carrying capacity than the more well known tar sands pipeline cousin,ย TransCanada‘sย Keystone XL, and is โ€œburied beneath every major waterwayโ€ in theย state.

Further, Line 61 is a key piece of what DeSmog has coined Enbridge’s โ€œKeystone XL Cloneโ€ pipeline system, connecting at the north to the proposed Alberta Clipper pipeline expansion project and to the south to the already-functional Flanagan South pipeline. Flanagan South then connects to the Seaway Twin pipeline, which flows to the Gulf coast refineries and the global export market, like the southern leg of Keystone XL.

Dane Countyย Insurance

At the center of the story is Dane County, home to the capitol city of Madison and the University of Wisconsin, situated as the โ€œlast man standingโ€ in the way of Enbridge opening Line 61 forย business.

The Dane County Board of Supervisorsย told Enbridge on April 14 it cannot pump higher amounts of tar sands product through Dane Countyย until it buys insurance in case of a spill. Put another way, the local government body told Enbridge it refuses to foot the bill for spills, notable given the company’s track record ofย responsibility for the biggest tar sands pipeline spill in U.S. history.

Enbridge Wisconsin Budget Pipeline Provision
Image Credit: Wisconsin Stateย Assembly

Enbridge appealed the Board of Supervisors’ decision on May 4. It remains unclear whether that appeal will become a moot point if the Enbridge provision remains part of Wisconsin’s budget, set to be debated soon byย both chambers of the stateย legislature.

Eminentย Domain

Beyond Enbridge, other pipeline companies and utility industry interests also landed a last-minute proposed budget provision that would give Wisconsin’s Public Service Commission the right to condemn private property for infrastructure projects if deemed in the โ€œpublic interestโ€ upon review, akin to eminent domain.

Enbridge Wisconsin Budget Provision
Image Credit: Wisconsin Stateย Assembly

The company recently filed a high-profile eminent domain lawsuit in North Dakota against the last set of landowners who refused to sign off on an Enbridge right-of-way contract for its Sandpiper pipeline, set to bring oil obtained via hydraulic fracturing (โ€œfrackingโ€) from North Dakota’s Bakken Shale basin to Superior,ย Wisconsin.

Enbridge’sย Lobbyists

According to the Wisconsin Government Accountability Board, Enbridge began lobbying for โ€œdevelopment, drafting or introduction of a proposal relating to pipelinesโ€ beginning on February 12, 2015, just two weeks after the Board of Supervisors’ Zoning and Land Regulation Committeeย stalled making a decision on Line 61. Enbridge also began lobbying for the eminent domain provision on June 10.

One of the lobbyists, Dan Gunderson, has also worked on projects for ExxonMobil, American Petroleum Institute (API) and other oil and gas industry clients in the past, according to his consulting company’sย website.

โ€œThe API has utilized Big Wild both for lobbying the legislature and issue messaging around the State of Wisconsin,โ€ย reads a testimonial from APIย on the website for Gunderson’s consulting company. โ€œWe have been extremely pleased with their accomplishments on behalf of ourย industry.โ€

The other three Enbridge lobbyists have all passed through the government-industry revolving door.ย 

Kevin Jenkins, an in-house Enbridge lobbyist, formerly served as chief-of-staff for Wisconsin Senator Frank Lasse and on the Wisconsin County Leadership Committee for the 2004 Bush-Cheney presidential campaign. The other twoย โ€”ย Tonyย Langenohl and William โ€œBillโ€ McCoshenย โ€”ย both formerly served as senior-level staffers for former Wisconsin Republican Governor Tommy Thompson, who is now also a corporate lobbyist.

โ€œBillion Dollarย Bailoutโ€

Critics have sounded off against the 11th-hour Enbridge budgetย insertion.

โ€œThis is putting taxpayers on the hook for a billion dollar bailout,โ€ Peter Anderson of 350.org’s Madison chapter said in a press release.

โ€œGiven the likelihood of a spill from Enbridgeโ€™s tar sands pipelines, Dane County has currently required environmental insurance in order to guarantee they wonโ€™t be liable to pay for those clean-up costs. By removing this ability, no other county will be able to protect itself in this manner and taxpayers will be responsible for these clean-upย costs.โ€

The proposal, of course, is not yet final, and precedent alreadyย exists for removal of another controversial provision inserted into the budget pertaining to Wisconsin’s Public Records Law, which met strongย backlash.ย 

Photo Credit: Rrraumย | Shutterstock

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Steve Horn is the owner of the consultancy Horn Communications & Research Services, which provides public relations, content writing, and investigative research work products to a wide range of nonprofit and for-profit clients across the world. He is an investigative reporter on the climate beat for over a decade and former Research Fellow for DeSmog.

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