Justia Utilities Law Opinion Summaries

Columbia stores natural gas in Medina Field, a naturally-occurring system of porous underground rock, pumping gas into the Field during summer, during low demand, and withdrawing it during winter. Medina is among 14 Ohio gas storage fields used by Columbia. Columbia received a federal Certificate of Public Convenience and Necessity, 15 U.S.C. 717f, and was required to compensate those who own part of the Field by contractual agreement or eminent domain. The owners allege that Columbia stored gas for an indeterminate time without offering compensation and then offered $250 per lot. Each Medina owner rejected this offer. Columbia did not bring eminent domain proceedings. Other Ohio landowners accused Columbia of similar behavior and filed the Wilson class action in the Southern District of Ohio, including the Medina owners within the putative class. The Medina owners filed suit in the Northern District. Both actions claim trespass and unjust enrichment under Ohio law, and inverse condemnation under the Natural Gas Act. The Wilson suit also seeks damages for “native” natural gas Columbia takes when it withdraws its own gas. Columbia filed a counterclaim in Wilson, seeking to exercise eminent domain over every member of the putative class and join the Medina owners. The Northern District applied the first-to-file rule and dismissed. The Sixth Circuit reversed. The rule does apply, but dismissal was an abuse of discretion given jurisdictional and procedural hurdles to having the Medina claims heard in Wilson. View "Baatz v. Columbia Gas Transmission, LLC" on Justia Law

Trumbull County has provided sewer service to General Motors’ Lordstown Assembly Plant since 1964. In the mid-2000s, the County borrowed $3.4 million from the U.S. Department of Agriculture to maintain and improve its sewer lines. That loan obligation triggered the protections of 7 U.S.C. 1926(b), under which sewer providers that owe money to the Department are protected from competition with other sewer providers. The County claims that the Village of Lordstown violated section 1926(b) when the Village built sewer lines that could one day serve GM’s Plant. The district court granted the defendants summary judgment, holding on the merits that the Village’s mere construction of sewer lines did not curtail or limit the County’s service. The Sixth Circuit vacated, reaching the same result on grounds of lack of standing. While the County still owes a balance, section 1926(b) affords it a legally protected interest in freedom from competition, but it has shown not any actual or imminent invasion of that interest. Sewer lines can last for decades, so the mere fact of their construction does not show that the Village intends to compete with the County anytime soon. View "Trumbull Cnty. Bd. of Comm'rs v. Village of Lordstown" on Justia Law

Pilkington North America, Inc. entered into a social contract with Toledo Edison Company under which Toledo provided one of Pilkington’s facilities with discounted electric service. The Public Utilities Commission approved the special contract. Pilkington later filed a complaint alleging that Toledo Edison had unlawfully terminated the special contract. Five other companies that also had special contracts with the utility also filed complaints against Toledo Edison. The Commission consolidated the six complaints and dismissed them. With the exception of Pilkington, each of the industrial customers appealed the Commission’s decision. The Supreme Court reversed the Commission’s order, concluding that Toledo Edison had prematurely terminated the special contracts. Pilkington subsequently filed a Ohio R. Civ. P. 60(B) motion for relief from judgment with the Commission seeking relief from the Commission’s order dismissing its complaint and its order denying the application for rehearing that the other five complainants filed. The Commission denied Pilkington’s motion, concluding that Pilkington may not use Rule 60(B) as a substitute for appeal. The Supreme Court affirmed, holding that because Pilkington did not appeal the Commission’s adverse judgment, that judgment is final, and res judicata precludes the use of Rule 60(B) to obtain relief from that final judgment. View "In re Complaint of Pilkington N. Am., Inc." on Justia Law

In 2009, IAWC petitioned the Illinois Commerce Commission under the Public Utilities Act (220 ILCS 5/1-101) for approval of its annual reconciliation of purchased water and purchased sewage treatment surcharges. The state was granted leave to intervene. In 2012, the Commission approved the reconciliation with modifications and denied the state’s request for rehearing. Under the Public Utilities Act, the state had 35 days to appeal, placing the deadline for filing the notice of appeal at October 16. Notice of appeal was filed on that date. The record and briefs were filed. The appellate court entered a summary order, dismissing the appeal for lack of jurisdiction on grounds that the notice had not been timely filed, reasoning that under Supreme Court Rule 335(i)(1), the notice should have been filed within the 30-day deadline specified in Rule 303(a). The Illinois Supreme Court reversed; the appellate court erred in concluding that separation of powers principles required the timeliness of the notice to be judged by Supreme Court Rule 303(a) rather than the period specified by the legislature in the Public Utilities Act. View "Madigan v. IL Commerce Comm'n" on Justia Law