Wisconsin’s 2025-26 legislative session may be the first where “right of first refusal,” also called ROFR, gets a floor vote.
Formally known this year as Senate Bill 28, the bill gives first building rights of certain power transmission facilities in Wisconsin to incumbent utility companies operating in Wisconsin.
Transmission facilities move electric power from production to ultimate user. Thus, this bill would impact who has the ability to supply electricity to Wisconsin homes, classrooms and dormitories.
Under current federal regulations, new transmission projects must be open to both in- and out-of-state qualified transmission developers. ROFR would grant Wisconsin-based utility companies first contract rights in providing electric power.
ROFR is a cross-partisan bill, meaning it has bi-partisan supporters and dissenters. While SB 28 has not been voted on yet, versions of the bill from previous years may indicate where how legislators may vote this year.
Assemblywoman Lisa Subeck, the Democratic minority caucus chair from Madison, voted to advance the 2023 assembly’s version of the bill out of committee. Howard Marklein, the Republican co-chair of the Joint Committee on Finance from Spring Green, also voted to advance the bill.
Assemblymen Kalan Haywood and Moore Omokunde, both Milwaukee Democrats, joined two Republicans in voting against the bill’s advance in 2023.
One of the most outspoken critics of the bill, Whitewater Republican senator Steve Nass, called the plan “anti-competitive, anti-consumer and dripping in the gravy of crony capitalism.” He also argued that lobbyists have had a strong influence on legislators of both parties.
According to a WisPolitics report, ROFR was the most lobbied bill in all of the Wisconsin legislature during the last half of 2023. Their report found that 2,234 hours were spent trying to influence lawmakers on the bill during that period.
Some businesses and organizations in Wisconsin, including Americans for Prosperity Wisconsin, AARP and the Wisconsin Industrial Energy Group, came out with a statement against the bill. They stated that the bidding system which ROFR seeks to end would forfeit nearly 40% on project implementation costs that are currently.
WI4ROFR, a self-described organization of Wisconsinites supporting the state’s power grid, sees things differently. Most notably supported by Kwik Trip, We Energies and Wisconsin Public Service, the WI4ROFR website argues that Wisconsin ratepayers, with ROFR, could save $1 billion over the life of a $1.8 billion transmission project.
Proponents also argue that the bill would give Wisconsin greater regulatory control.
“ROFR ensures Wisconsin’s power grid decisions remain within the state with oversight from the Public Service Commission of Wisconsin ensuring the end consumer’s best interests are the top priority,” The American Public Power Association, a self-declared voice of non-profit, community-owned utilities, said.
The bill was introduced on Feb. 12 by Senator Devin LeMahieu and referred to the Committee on Utilities and Tourism. A public hearing on ROFR was held by that committee on March 4, but no further hearings or votes are officially scheduled on the bill. It is possible that it will die in committee with no further hearings or votes this legislative session.
However, on April 7, an anti-ROFR Racine-based group called H.O.T. (Honesty, Openness, Transparency) Government noted, “Capitol sources say that a vote in the Assembly is expected on April 15, with a State Senate vote likely to follow on April 22.”
H.O.T. Government provided no independent verification for this claim.
This story was written by JJ Vander Loop. He can be reached at jj.vanderloop@marquette.edu.
