State board lifts pipeline order

By KURT NESBITT

Journal Staff Writer

ST. PAUL -- An order suspending all activity on the City of Hutchinson's 90-mile natural gas pipeline was repealed by a state board Thursday morning.

Citing a recently-completed and operating pipeline as well as a potentially expensive legal battle with the city, the Minnesota Environmental Quality Board approved the revocation of the suspension on a 10-2 vote.

In December, the board voted unanimously to suspend the pipeline. The action followed an investigation into the city's construction practices. The probe found violations of parts of an agricultural impact mitigation plan, which was a part of the permit the EQB issued to the city in March. The city filed a petition with Court of Appeals one day after the vote.

Thursday's vote allows Hutchinson to operate the pipeline but will not change the EQB's stance on the issue, commissioners said.

That vote did not change an agreement made in October, which authorized the board chairperson to file a lawsuit against the city or a resolution requiring the city to tell the board about its intentions for a pipeline tap to Fairfax.

The board also voted Thursday to share a summary of the meeting with the State Auditor, which has the power to subpoena the city's documents.

The EQB also empowered its chairperson to move forward with draft legislation clarifying the EQB's authority to include conditions in its permits and to enforce and suspend the permits it issues.

Despite significant differences between the EQB and the City of Hutchinson, EQB staff recommended reinstating the permit because "a substantial amount of time and money will be required to pursue the appeal" and "since the pipeline is now up and running, and the board does not intend for the city to actually shut down the pipeline, there is no need to suspend the permit," a Feb. 12 EQB memo said. Hutchinson also agreed to dismiss its appeal of the board's December action.

EQB commissioners repeated sentiments from December's meeting, saying the Hutchinson's actions have caused much frustration and wondering what kind of action would be necessary to get the city to follow its agreements with the state.

"It is heart-wrenching for the people that go through it," said Commissioner Gene Hugoson. "The project has been so badly handled it's beyond comparison."

Attorneys representing SibRenFAIR, a group of farmers and landowners that opposed the pipeline, asked the board to reconsider the proposal. They argued that the violations of the agricultural impact mitigation plan, which is part of the city's permit, have continued. They also argued that repealing the suspension order could potentially be very expensive for farmers.

The board also heard testimony from six area farmers, who offered photographs of topsoil and letters outlining more violations of the plan.

The city's attorneys said they supported the recommendations and said they had some 2,700 pages of documents for the EQB to review, including reports made by the soil scientist that was hired to examine the soil after construction crews had finished. That, said attorney Chris Dietzen, who represents Hutchinson, is a sign that the city is acting in good faith.