Authority: IC 14-10-2-4; IC 14-10-2-5; IC 14-39-0.5

Affected: IC 4-21.5; IC 14-39-2-4

Sec. 11. (a) A carbon dioxide transmission pipeline company issued a carbon dioxide transmission pipeline certificate of authority by the department, with the transferee, may apply to the department for a transfer of a certificate of authority if the transferee meets the same underlying qualifications of the pipeline company.

(b) A pipeline company and transferee under subsection (a) shall notify the department of the intent to apply for a transfer at least one hundred twenty (120) days before the intended transfer date. An application for a transfer must be completed as prescribed by the department, including the information required under subsection (c).

(c) A pipeline company and transferee applying for a certificate of authority shall submit the following with an application for a transfer:

(1) Proof the transferee meets the same underlying qualifications as the pipeline company.

(2) The signature of the pipeline company representative and transferee.

(3) A statement verifying the information submitted is accurate and complete to the best of the knowledge of the pipeline company and transferee.

(4) A statement describing how the transferee will construct, operate, and maintain the proposed pipeline under applicable federal, state, and local law, including:

(A) safety regulations and rules governing constructing, operating, and maintaining the carbon dioxide transmission pipeline; and

(B) related facilities and equipment, to ensure the safety of the transferee's employees and the public.

A transferee shall include a copy of a federal, state, or local regulatory agency permit with the statement under this subdivision.

(5) A statement that the interests of a mineral lessee or mineral owner will not be adversely affected by the pipeline.

(6) An agreement between the transferee and mineral lessee or mineral owner under IC 14-39-2-4.

(7) Documentation regarding the following:

(A) A legal proceeding required under Section 13 or 15(d) of the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) and the transferee's report under Form 10-K.

(B) A description of a judgment entered against the transferee for a civil or an administrative complaint for violating a state or federal environmental protection law that imposed a fine or civil penalty of more than ten thousand dollars ($10,000) on the transferee not more than five (5) years before the date the application was submitted.

(C) A description of a conviction entered against the transferee for violating a state or federal environmental protection law not more than five (5) years before the application was submitted.

(d) If the department determines the application for a transfer is complete, the department shall notify the transferee, and the transferee shall do the following:

(1) Not later than sixty (60) days after receiving the notice under this subsection:

(A) place a copy of the application for the transfer in a public library located in each county where the pipeline is proposed to be located for public inspection; and

(B) using the method under 312 IAC 29-5-2(a), notify the following:

(i) Each unit of government where a storage facility, monitoring well, or pipeline is located.

(ii) An owner of a parcel of real estate adjacent to land for which the use is incidental to a pipeline.

(iii) An owner of a parcel of real estate that may be, or is reasonably known to be, affected by injecting carbon dioxide.

(iv) An owner of a parcel of real estate that may be, or is reasonably known to be, affected by constructing a new road, or improving or using an existing road, to gain access to the pipeline.

(2) Provide the department proof that the notice under this subsection was published in accordance with 312 IAC 29-5-2(c) not later than thirty (30) days after publication.

(3) Provide the department proof the notice was delivered to a person under subdivision (1)(B).

(e) Not later than ninety (90) days after receiving proof the notice under subsection (b) was published, the department shall notify the applicant in writing that the department either approves or denies the transfer.

(f) If the department determines:

(1) the Indiana general assembly or federal government enacted a statute or adopted a regulation that requires denying a transfer;

(2) the applicant failed to provide the department with a complete application for a transfer for one (1) year after initially submitting the application;

(3) the department has concerns about the character and fitness of the transferee based on the information under subsection (c)(7);

(4) the transferee fails to satisfy the financial, managerial, and technical requirements of this rule;

(5) the transferee did not complete the requirements under subsection (c);

(6) the transferee demonstrated a pattern of willful violations that resulted in damage to the environment;

(7) the transferee is a person with a pending notice of violation or civil penalty. If this finding is made, however, the transferee is not disqualified from receiving the transfer if:

(A) the violation was, or is in the process of being, corrected to the satisfaction of the department; or

(B) the transferee filed and is pursuing administrative review of the violation under IC 4-21.5; or

(8) the transferee had a certificate of authority revoked;

the department shall deny the application.

(g) If an application for a transfer is filed and there is a pending notice of violation:

(1) the transferor that has a pending notice of violation, and its surety, are liable to abate the violation and satisfy the assessed penalty;

(2) the transferee may accept liability to perform the abatement of the violation, and the transferor is required to satisfy the assessed penalty; or

(3) a transferee of a pipeline certificate of authority is liable to abate the violation and for the assessed penalty, after transfer of the pipeline certificate of authority.

The department may waive a penalty for a notice of violation in writing not later than ninety (90) days after the transfer if the department determines the transferee is acting in good faith to abate the violation.

(h) The department shall notify the transferor and transferee in writing that the department approves or denies the transfer.

(i) A transfer is effective on the date the written notice approving the transfer under subsection (h) is issued by the department.

(j) A determination under this section is subject to review and appeal under IC 4-21.5.

(Natural Resources Commission; 312 IAC 30-5-11; filed September 5, 2025, 11:44 a.m.: 20251001-IR-312250162FRA)