Energy bills await legislators as they begin their 2026 session

 

When Representatives and Senators meet Monday for the start of the Oklahoma legislative session, they will await the pounding of the gavel in their respective chambers declaring work is underway on more than 1,000 bills, and nearly 70 of them will deal with the state’s energy challenges.

They range from the controversial data centers to solar farms, eminent domain, transmission lines, nuclear power, oil and gas and wind power. One bill (SB1979) even deals with the Mining & Blasting Residential Protection Act which would restrict blasting 800 feet from homes, schools, hospitals and churches. Another measure, HB3971 calls for the removal of condemnation power of the Oklahoma Turnpike Authority.

Rep. Tammy Townley, the same legislator who pushed the bill that created an exemption of Oklahoma Corporation Commissioners from complying with the state’s Open Meetings Law, wants to extend the law until 2031. The current law, allowing commissioners to meet privately and without notifying the public prior to the meeting, is set to expire July 1, 2026.

Rep. Annie Menz (D-Norman) filed HB3967 creating the Landowner’s Bill of Rights creating some restrictions on the use of eminent domain in the acquisition of land.

Sen. Randy Grellner, R-Cushing, also has a bill focused on eminent domain. His SB1556 would require a de novo judicial review of public use and necessity determinations in eminent domain cases.

“A court shall strictly construe all statutes granting eminent domain in favor of the property owner and against the condemning authority. Any ambiguity shall be resolved to limit rather than expand the power to condemn private property,” states the bill.

It also gives the property owner access to all engineering studies, maps, designs, environmental reviews, communications relating to routing and internal and external evaluations. The bill would also give power to property owners invoking their right to a hearing to have a “right to conduct any and all discovery and issue any and all subpoenas.”

Sen. Warren Hamilton, R-McCurtain, filed SB1510 which would amend the Oklahoma Wind Energy Development Act and require a wind farm developer to file a $100,000 surety bond “for payment of any location damages due which the owner or operator cannot otherwise pay.”

Rep. Jim Shaw filed HB3724 “prohibiting taxpayer-funded subsidies for high-demand” electric facilities. Aimed apparently at high-demand operations as large industries sites and data centers, the bill states, “No high-demand facility shall be eligible for any taxpayer funded subsidy, including, but not limited to:
1. State or local tax credits;
2. Rebates, refunds, or abatements;
3. Grants or forgivable loans;
4. Tax increment financing;
5. Sales, use, ad valorem, or income tax exemptions; or
6. Any incentive funded in whole or in part by public funds.”

It also would create further restrictions on the developer of such facilities.

“A high-demand facility shall fully fund all electric
infrastructure upgrades required to serve the facility, including
those required now or in the future due to operational needs. No
costs associated with serving a high-demand facility shall be
allocated to or recovered from other retail ratepayers.”

Rep. Mickey Dollens, D-Oklahoma City, filed HB3917 and targets large-load data centers with a surcharge.

“A public utility that provides electric services to large load data center customers shall file with the Oklahoma Corporation
Commission an updated schedule of tariffs for approval, which
schedule shall include a surcharge for large load data center
customers to be applied during periods of peak demand on the
electrical grid.”

The bill would also create the “”Grid Modernization Revolving
Fund” and the funds would be transferred to the Corporation Commission to be spent “for the purpose of modernizing the state’s electric grid.”

Rep. Justin Humphrey, R-Lane, wants a vote of the people to strip the Corporation Commission from some of its powers of court of record—failure or refusal to obey orders. He filed HB3222 which calls for a repeal of Article IX, Section 19 of the State Constitution. 

The section gives power to the corporation commission to punish for contempt any person guilty of disrespectful or disorderly conduct in the presence of the Commission.