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Pipeline’s fate won’t affect land deals

By Josh Funk
Associated Press

OMAHA, Neb. — While a proposed oil pipeline linking Canadian producers to the U.S. Gulf Coast remains in limbo, Nebraska landowners who signed deals with the company behind the project are free to spend what they received no matter what happens.

Roughly 400 of the 515 Nebraska landowners along the route of the proposed Keystone XL pipeline have signed easement agreements with TransCanada and can keep the money regardless of whether the project first proposed in 2008 ever comes to pass.

“I think it should have been built a long time ago,” said Ronald Weber, who agreed to let the pipeline cross his land in northeast Nebraska. “I kind of think it’s going to take a change in presidency to get this thing built.”

Weber said he thought TransCanada treated him well and paid him a fair price, roughly equal to the appraised value of the land that would be affected by the pipeline.

A measure passed the U.S. House but fell short of the votes needed in the Senate on Tuesday. Republican leaders in Congress have promised to hold another vote in January when the GOP takes control of the Senate.

Fans wait for Willie Nelson and Neil Young to perform Sept. 27 at an anti-Keystone pipeline concert on the property of Art Tanderup in Neligh, Neb. The proposed oil pipeline, which is planned to run through Tanderup's land, is not any closer to reality after Congress failed Tuesday to approve it. (AP file photo by Dave Weaver)

Fans wait for Willie Nelson and Neil Young to perform Sept. 27 at an anti-Keystone pipeline concert on Art Tanderup’s property in Neligh, Neb. The proposed oil pipeline, which would run through Tanderup’s land, is not any closer to reality after Congress failed Tuesday to approve it. (AP file photo by Dave Weaver)

The pipeline has attracted opposition from environmentalists and some landowners because of concerns that it could contaminate underground and surface water supplies, increase air pollution around refineries and harm wildlife. Many supporters say those fears are exaggerated, and that the pipeline would create jobs and ease American dependence on Middle East oil.

Randy Thompson, one of the Nebraska landowners who sued to challenge the process the state used to approve TransCanada’s route, said he is not sure Tuesday’s vote has major implications for the project overall. But he said he hopes it will prompt more people to learn about the pipeline.

“I think ultimately it’s going to boil down to the president making a decision,” Thompson said, “and I feel confident he will veto it.”

The original Keystone XL project was split into two pieces, and the southern section between Oklahoma and the Gulf Coast is operating. That segment did not need presidential approval because it does not cross an international border. Brownsville, Wis.-based Michels Corp. oversaw construction of that segment in Texas from Cushing to about Diboll.

The pipeline segment that still needs President Barack Obama’s approval would carry 830,000 barrels of oil a day from Canada across Montana, South Dakota, Nebraska, Kansas and Oklahoma. TransCanada also has proposed connecting the line to the Bakken oil field in Montana and North Dakota.

Terri Funk said she and most of the farmers and ranchers she knows in northeast Nebraska’s Antelope County support the pipeline.

“Everybody is tired of all the delays,” Funk said. “It should have been built a long time ago.”

But the project could be further delayed by Thompson’s lawsuit. The state Supreme Court is expected to rule in the coming weeks on whether the Nebraska Public Service Commission must review the pipeline before it can cross the state. Nebraska Gov. Dave Heineman approved the route in 2013 without the panel’s involvement.

One thing opponents and supporters agree on is that after years of debating the project’s merits, it would be nice to have a decision.

Farmer Art Tanderup said fighting the pipeline occupies a lot of his time. After hosting a concert by Willie Nelson and Neil Young on his land near Neligh earlier this year, Tanderup returned to Washington, D.C., this week to lobby lawmakers.

“I’ve been putting things on hold for the last couple years because this work needs to be done,” said Tanderup, who added he is trying to protect for his grandchildren farmland that has been in his wife’s family for generations.

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