One Rule NPRM

OneRuleNPRM.pdf

Incident and Annual Reports for Gas Pipeline Operators

One Rule NPRM

OMB: 2137-0522

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules
E. Steps Taken to Minimize Significant
Economic Impact on Small Entities, and
Significant Alternatives Considered
48. The RFA requires an agency to
describe any significant alternatives that
it has considered in reaching its
proposed approach, which may include
the following four alternatives (among
others): (1) The establishment of
differing compliance and reporting
requirements or timetables that take into
account the resources available to small
entities; (2) the clarification,
consolidation, or simplification of
compliance or reporting requirements
under the rule for small entities; (3) the
use of performance, rather than design,
standards; and (4) an exemption from
coverage of the rule, or part thereof, for
small entities.
49. The Commission asks commenters
to refresh the record on what further
steps the Commission should take to
improve the process of changing
providers and provide any new ideas
that reflect and build upon the new onebusiness day interval. The Commission
also seeks comment on the benefits and
burdens, especially the burdens on
small entities, of adopting any new rules
regarding the porting process. The
Commission expects to consider the
economic impact on small entities, as
identified in comments filed in response
to the FNPRM, in reaching its final
conclusions and taking action in this
proceeding.
F. Federal Rules That May Duplicate,
Overlap, or Conflict With the Proposed
Rules
50. None.
Initial Paperwork Reduction Act of
1995 Analysis
This document does not contain
proposed information collection(s)
subject to the Paperwork Reduction Act
of 1995 (PRA), Public Law 104–13. In
addition, therefore, it does not contain
any new or modified ‘‘information
collection burden for small business
concerns with fewer than 25
employees,’’ pursuant to the Small
Business Paperwork Relief Act of 2002,
Public Law 107–198, see 44 U.S.C.
3506(c)(4).
Ordering Clauses
It is ordered that pursuant to Sections
1, 4(i), 4(j), 251, and 303(r) of the
Communications Act of 1934, as
amended, 47 U.S.C. 151, 154(i)–(j), 251,
303(r), the Further Notice of Proposed
Rulemaking in WC Docket No. 07–244
and CC Docket No. 95–116 is adopted.
It is further ordered that the
Commission’s Consumer and
Governmental Affairs Bureau, Reference

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Information Center, shall send a copy of
this Report and Order and Further
Notice of Proposed Rulemaking,
including the Final Regulatory
Flexibility Analysis and the Initial
Regulatory Flexibility Analysis, to the
Chief Counsel for Advocacy of the Small
Business Administration.
Federal Communications Commission.
Marlene H. Dortch,
Secretary.
[FR Doc. E9–15131 Filed 7–1–09; 8:45 am]
BILLING CODE 6712–01–P

DEPARTMENT OF TRANSPORTATION
Pipeline and Hazardous Materials
Safety Administration
49 CFR Parts 191, 192, 193, and 195
[Docket No. PHMSA–2008–0291]
RIN 2137–AE33

Pipeline Safety: Updates to Pipeline
and Liquefied Natural Gas Reporting
Requirements
AGENCY: Pipeline and Hazardous
Materials Safety Administration
(PHMSA), Department of Transportation
(DOT).
ACTION: Notice of proposed rulemaking.
SUMMARY: This Notice of Proposed
Rulemaking seeks to revise the Pipeline
Safety Regulations to improve the
reliability and utility of data collections
from operators of natural gas pipelines,
hazardous liquid pipelines, and
liquefied natural gas (LNG) facilities.
These revisions will enhance PHMSA’s
ability to: understand, measure, and
assess the performance of individual
operators and industry as a whole;
integrate pipeline safety data to allow a
more thorough, rigorous, and
comprehensive understanding and
assessment of risk; and expand and
simplify existing electronic reporting by
operators. These revisions will improve
both the data and the analyses PHMSA
relies on to make critical, safety-related
decisions, and will facilitate PHMSA’s
allocation of inspection and other
resources based on a more accurate
accounting of risk.
DATES: Submit comments by August 31,
2009.
ADDRESSES: Comments should reference
Docket No. PHMSA–2008–0291 and
may be submitted in the following ways:
• E-Gov Web Site: http://
www.regulations.gov. This Web site
allows the public to enter comments on
any Federal Register notice issued by
any agency. Follow the instructions for
submitting comments.

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• Fax: 1–202–493–2251.
• Mail: Docket Management System:
U.S. Department of Transportation,
Docket Operations, M–30, Room W12–
140, 1200 New Jersey Avenue, SE.,
Washington, DC 20590–0001.
• Hand Delivery: DOT Docket
Management System, West Building
Ground Floor, Room W12–140, 1200
New Jersey Avenue, SE., Washington,
DC 20590–0001 between 9 a.m. and 5
p.m., Monday through Friday, except
Federal holidays.
Instructions: If you submit your
comments by mail, submit two copies.
To receive confirmation that PHMSA
received your comments, include a selfaddressed stamped postcard.
Note: Comments are posted without
changes or edits to http://
www.regulations.gov, including any personal
information provided. There is a privacy
statement published on http://
www.regulations.gov.
FOR FURTHER INFORMATION CONTACT:
Roger Little by telephone at (202) 366–
4569 or by electronic mail at
[email protected].
SUPPLEMENTARY INFORMATION:

I. Objective
PHMSA is seeking to improve the use
of incident, infrastructure, and
performance data in its approaches to
improve pipeline safety. As part of
PHMSA’s strategy to become a more
risk-based and data-driven organization,
PHMSA is proposing the following
general data and data management
improvements to the pipeline safety
regulations:
1. Modify the scope of part 191
addressed in 49 CFR 191.1 to reflect the
changes made in the scope of part 192
to the definition of gas gathering lines.
2. Change the definition of an
‘‘incident’’ in 49 CFR 191.3 to require an
operator to report an explosion or fire
not intentionally set by the operator.
The proposal also establishes a
volumetric basis for reporting
unexpected or unintentional gas loss.
These reporting changes will more
accurately depict the safety performance
of gas pipelines over time.
3. Require operators to report and file
data electronically whenever possible.
The electronic submission of data will
increase the accuracy and quality of
data collected which, in turn, will
improve PHMSA’s data integration
efforts. Electronic submission will also
reduce the reporting burden on
operators.
4. Require operators of LNG facilities
to submit incident and annual reports.
This data will provide valuable
infrastructure information to PHMSA,

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules

and allow for a more thorough
evaluation of the safety performance of
LNG facilities.
5. Create and require participation in
a National Registry of Pipeline and LNG
Operators. This data will provide
PHMSA with timely updates on
significant and potential safetyimpacting changes occurring under its
purview, and help PHMSA to better
monitor and assess operator
performance.
6. Require operators to use a standard
form in electronically submitting SafetyRelated Condition Reports and Offshore
Pipeline Condition Reports. This will
ensure consistency of data submitted
across the pipeline industry.
7. Merge the natural gas transmission
integrity management Semi-Annual
Performance Measures Report with the
annual reports. Revise the leak cause
categories listed in the annual report to
include those nine categories listed in
ASME B31.8S. This change will
significantly reduce the reporting
burden on operators by changing the
current semi-annual requirement.
Expand information on the natural gas
transmission annual report to add
information for miles of gathering lines
by Type A and Type B gathering; class
location information by SMYS, volume
of commodity transported, and type of
commodity transported.
8. Modify hazardous liquid operator
telephonic notification of accidents to
require operators to have and use a
procedure to calculate and report a
reasonable initial estimate of released
product and to provide an additional
telephonic report to the National
Response Center if significant new
information becomes available during
the emergency response phase.
9. Require operators of hazardous
liquid pipelines to submit pipeline
information by State on the annual
report for hazardous liquid pipelines.
This data will allow PHMSA to improve
its allocation of inspection and other
resources through a better
understanding of the infrastructure it
regulates.
10. Remove obsolete provisions that
would conflict with the proposal to
require electronic submission of all
reports and update OMB control
numbers for information collections.
11. Update OMB control numbers
assigned to information collections.
II. Background
The statutory authority under 49
U.S.C. 60101 et seq. authorizes this
proposal; these Federal Pipeline Safety
Laws grant broad authority to the
Pipeline and Hazardous Material Safety
Administration to regulate pipeline

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safety. The proposed data collection and
filing requirement revisions are wholly
consistent with Section 15 of the PIPES
Act of 2006 (Pub. L. 109–468, December
26, 2006), which requires PHMSA to
review and modify the reporting criteria
as appropriate to ensure that the data
accurately reflects trends over time.
For natural gas pipeline operators
specific reporting requirements in 49
CFR Part 191 are found at:
• § 191.5 telephonic notice of certain
incidents.
• § 191.7 Addresses for written
reports.
• § 191.9 Natural gas distribution
incident report.
• § 191.11 Natural gas distribution
annual report.
• § 191.15 Natural gas transmission
and gathering incident report.
• § 191.17 Natural gas transmission
and gathering annual report.
• § 191.23 Reporting safety-related
conditions.
• § 191.25 Filing safety-related
condition reports.
• § 191.27 Filing offshore pipeline
condition reports.
The requirement for reporting leaks
and spills of LNG in accordance with
Part 191 is found at § 193.2011. Part 191
excludes LNG from many of the
reporting requirements.
For hazardous liquid pipeline
operators specific reporting
requirements in 49 CFR Part 195 are
found at:
• § 195.49 Annual report.
• § 195.50 Reporting accidents.
• § 195.52 Telephonic notice of
certain accidents.
• § 195.54 Accident reports.
• § 195.55 Reporting safety-related
conditions.
• § 195.56 Filing safety-related
condition reports.
• § 195.57 Filing offshore pipeline
condition reports.
• § 195.58 Address for written
reports.
As the Nation’s repository for pipeline
data, PHMSA’s data is used not only by
PHMSA, but by State pipeline safety
programs; congressional committees;
metropolitan planners; civic
associations and other local community
groups; pipeline research organizations;
industry safety experts; industry watch
groups; the media; the public; industry
trade associations; industry consultants;
and members of the pipeline and energy
industries. A significant amount of
critical safety information is cultivated
from PHMSA’s data through statistical
analysis and information retrieval. One
of the agency’s most valued assets is the
data it collects, maintains, and analyzes
pertaining to the industry. PHMSA is

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responsible for maintaining the most
comprehensive collection of accident/
incident data for intrastate and
interstate pipelines in the country.
PHMSA is subject to constant and
continued interest and scrutiny by
numerous and varied stakeholders for
the reliability, utility, and applicability
of information and statistics pertaining
to pipelines and LNG facilities,
including the collection, tracking, and
retrieval of historical data. PHMSA,
therefore, must periodically modify its
information and data collections and
associated processes to address changes
in industry business practices, changes
in PHMSA’s regulations, and changes in
PHMSA’s own data analysis strategies
and objectives.
As an example of one such needed
change, LNG operators are currently
exempt from annual and incident
reporting requirements, whereas the
operators of gas transmission, gas
distribution, and hazardous liquid
pipelines are required to report
summary data annually and any
incidents or accidents that meet
reporting requirements specified in
pipeline safety regulations. Given the
increased number of LNG plants under
construction, along with the
understandable desire for PHMSA to
better monitor the safety performance of
this critical portion of the nation’s
energy infrastructure, this proposal
removes the existing exemption for this
reporting for operators of LNG facilities.
This proposed rule also supports
PHMSA’s strategic objectives aimed at
risk reduction and the continuous
improvement of the integrity of the
nation’s pipeline systems. The data
collection improvements proposed in
this proposed rule will enhance
PHMSA’s standing analytical capability
and strengthen PHMSA’s understanding
of risk, all based on sound data. PHMSA
will use the data to help drive program
priorities and resource decisions,
improve the ability to detect emerging
risks, and focus prevention activities.
III. Petitions for Rulemaking and
Recommendations
Petition for Rulemaking
On November 7, 2005, the Interstate
Natural Gas Association of America
(INGAA) submitted a Petition for
Rulemaking asking PHMSA to change
the definition of an incident to
adequately provide a method to
normalize skewing due to inflationary
price increases of gas lost. INGAA
asserted that the practical effect of the
cost based reporting threshold has
skewed the number of incidents

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules
reported upwards as the cost of natural
gas has continued to rise.
Under the current definition, a
reportable incident includes estimated
property damage, including cost of gas
lost, of the operator or others, or both,
of $50,000 or more (49 CFR 191.3). In
its petition, INGAA asserts that the
current definition effectively froze the
dollar amount of the cost of an incident
to 1984/1985 levels. Therefore, INGAA
claims that, although less gas is being
released, more incidents are being
reported because the price of gas has
escalated over time. INGAA
recommended PHMSA establish a
volume-based threshold for a reportable
incident. A copy of the petition is in the
docket.
Recommendations
This proposed rule also responds to
various Government Accountability
Office (GAO) and National
Transportation Safety Board (NTSB)
recommendations. In GAO’s report,
entitled ‘‘Natural Gas Pipeline Safety:
Integrity Management Benefits Public
Safety, but Consistency of Performance
Measure Should Be Improved,’’ (GAO–
06–946, September, 2006), GAO stated
that the current gas incident reporting
requirements do not adjust for the
changing cost of gas released in
incidents. GAO recommended that
PHMSA ‘‘revise the definition of a
reportable incident to consider changes
in the price of natural gas.’’
In this report GAO also recommended
PHMSA revise reporting of performance
measures for the integrity management
programs to measure the impact of the
program. GAO recommended that
PHMSA improve the measures related
to incidents, leaks, and failures to
compare performance over time and
make the measures more consistent with
other pipeline safety measures. GAO
also stated that the incident reporting
requirements should adjust for changes
in the price of natural gas, because the
value of gas released is a key factor in
determining whether an incident must
be reported.
The NTSB recommended that PHMSA
modify 49 CFR 195.52 of the hazardous
liquid regulations to require pipeline
operators to have a procedure to
calculate and provide a reasonable
initial estimate of released product in
the telephonic report to the National
Response Center (NTSB Safety
Recommendation P–07–07). NTSB also
recommended that the hazardous liquid
regulations require pipeline operators to
provide an additional telephonic report
to the National Response Center if
significant new information becomes
available during the emergency

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response (NTSB Safety
Recommendation P–07–08).
IV. Section by Section Analysis
(1) Modifying the Scope of Part 191 To
Reflect the Change to the Definition of
Gas Gathering Lines
49 CFR 191.1
On Wednesday, March 15, 2006,
PHMSA published a new final rule,
redefining the definition of gas
gathering line. Part of that rulemaking
effort changed the scope of Part 192
which is addressed in § 192.1. However,
this rulemaking project inadvertently
overlooked making the corresponding
changes to the scope of Part 191 in
§ 191.1 Because of this omission,
operators of gathering lines have been
reporting the number of miles of gas
gathering lines by the old definition and
not by the new. § 191.1 would be
changed to reflect the new gas gathering
line definition.
(2) Changing the Definition of an
‘‘Incident’’
49 CFR 191.3
This proposal would change the
definition of an incident in 49 CFR
191.3 to establish a new reporting
category: an explosion or fire not
intentionally set by the operator. This
proposed change would make the
definition consistent with the accident
reporting criteria in 49 CFR Part 195.
The proposal also establishes a
volumetric basis of 3,000 MCF for
reporting unintentional gas loss.
Justification
Explosion or Fire Not Intentionally
Set by the Operator
Adding ‘‘explosion or fire not
intentionally set by the operator’’ as a
category to the definition of a reportable
incident will enable PHMSA to gain
information on significant incidents, as
fires and explosions are major adverse
outcomes that significantly raise the risk
of death or injury from a pipeline
failure. PHMSA’s analysis of its
accident/incident database showed the
risk of death or injury increased by a
magnitude of four-to-five times if there
was a fire or explosion, compared to
incidents without a fire or explosion.
This revision would also make the
natural gas pipeline incident reporting
requirement consistent with the
reporting requirement for hazardous
liquid pipelines.
Volume Measure for Released Gas
Under the existing definition, a
reportable incident includes estimated
property damage, including cost of gas
lost, of the operator or others, or both,

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of $50,000 or more. Therefore, although
less gas is being released, more
incidents are being reported because the
value of natural gas has escalated over
time. This proposal would establish a
volumetric basis for unplanned gas loss
for reporting an incident.
In November 2005, INGAA submitted
a petition for rulemaking recommending
PHMSA adopt a volume basis instead of
the cost of gas lost. INGAA
recommended 20,000 MCF (20 million
standard cubic feet) as a reporting
threshold. INGAA based this volume on
the $50,000 reporting threshold and the
1985 cost of gas at $2.50 per MCF.
The definition of the term ‘‘incident’’
affects both natural gas distribution and
transmission operators. A strategy and
proposed solution to address the
problem posed by the escalating cost of
gas therefore must apply to both natural
gas distribution and transmission
operators. Historical data indicates that
INGAA’s recommended amount of
20,000 MCF is too high to have any
impact on distribution incident
reporting and would significantly
reduce the number of gas transmission
incident reports to PHMSA, inhibiting
PHMSA’s ability to accurately track the
number of incidents and to learn from
the already small number of reportable
incidents that occur annually.
PHMSA proposes to revise the
definition of incident to add a reporting
criterion for 3,000 MCF of gas lost.
PHMSA believes that 3,000 MCF more
accurately represents the median
volume of gas lost reported through
transmission incident reports since
2002. The 3,000 MCF proposed volume
represents a large amount of gas from a
small pipeline that would have less
potential to do major damage, compared
to a small amount of gas from a large
pipeline (e.g. 30- to 40-inch diameter)
that could cause major damage.
(3) Requiring Electronic Reporting and
Filing of Reports
49 CFR 191.7 and 195.58
We are proposing to require an
operator of a regulated pipeline or
facility as defined in § 191.3 or § 195.2
to submit all reports to PHMSA
electronically.
Justification
To improve the processing of
submitted reports, PHMSA proposes to
modify §§ 191.7 and 195.58 to require
electronic reporting and updating of
operator data in PHMSA databases.
Electronic data submission will
enhance efficiency while reducing
paperwork burdens.Currently, 55–80%
of operators submit reporting data

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electronically. The remaining operators
submit large volumes of reporting data
to PHMSA in paper format. Often these
operators submit incomplete data,
inconsistent data, and improperly filledin forms. PHMSA lacks resources to
verify individual data elements and seek
further information to correct errors.
Any PHMSA electronic filing
requirement will be a function of the
ability of the regulated industry to
report data electronically to PHMSA.
Given the size and technological
capacity of pipeline operators, PHMSA
believes the regulated industry has the
required technological capability to
provide required data to PHMSA
electronically. However, should any
operator lack the technological capacity
for electronic reporting, we are
proposing that the operator notify
PHMSA and request an alternative to
comply with this requirement. Such
requests for alternative methods must be
submitted to PHMSA by mail or fax.
PHMSA specifically invites comments
from operators on the burden the
proposed electronic reporting
requirement would impose.
Mandatory electronic filing is wholly
consistent with the E-Government Act
of 2002 (Pub. L. 107–347) and the
Government Paperwork Elimination Act
of 1998 (Pub. L. 105–277) requirements.
By placing required data fields in an
electronic form pipeline and liquefied
natural gas facility operators will submit
more concise, complete, and accurate
information in a format that will
improve PHMSA’s ability to use the
information, ensure compliance, and
reduce risk. PHMSA has the authority
and sufficient justification for requiring
data collection on pipeline-related
matters by electronic filing. As
discussed above, electronic filing, as
encouraged by the E-Gov initiative, will
greatly benefit PHMSA. PHMSA has
provided electronic reporting as a
method of filing required reports since
2002. PHMSA believes the regulated
industry possesses the technological
expertise, skills, equipment (hardware
and software), internet access etc., and,
generally prefers to submit data
electronically as opposed to hard copy.
Some affected smaller business or
individuals, however, may not have the
required skills or equipment and the
cost of acquiring these necessary
resources for electronic filing could be
costly. Therefore, PHMSA will provide
alternatives, such as paper forms
submitted though mail or facsimile, for
those operators who notify PHMSA that
they are unable to report electronically
and request an alternative.
As part of the revisions to §§ 191.7
and 195.58, PHMSA proposes to remove

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the language on filing duplicate copies
of annual and incident reports to State
agencies because any State filing
requirement is independent of PHMSA’s
requirements. With the new
requirement to file reports
electronically, we see this provision on
State filing requirements as only adding
confusion.
We will continue to require safetyrelated condition reports to be
submitted concurrently to the
applicable State agency for intrastate
pipeline transportation and on interstate
transportation facilities, where the State
acts as PHMSA’s agent.
(4) Requiring LNG Operators To Submit
Incident and Annual Reports
49 CFR 191.9, 191.15, 191.17 and
193.2011
PHMSA proposes to amend §§ 191.15,
191.17, and 193.2011 to require LNG
facility operators to submit annual and
incident reports consistent with the
current reporting requirements for gas
and hazardous liquid pipeline
operators.
Justification
Currently, 49 CFR 193.2011 requires
LNG operators to report leaks and spills
of LNG according to the requirements in
Part 191. Part 191 provides the
requirements for Annual Reports,
Incident Reports, and Safety Related
Condition Reports. LNG facilities are
exempt from the requirements for
incident reporting in § 191.15 and
annual reporting in § 191.17.
Various GAO and internal
assessments have identified the need for
improved data quality in the area of
LNG operations. PHMSA does not
collect annual reports or incident
reports for LNG facilities. These reports
would provide timely information
needed to improve PHMSA’s ability to
effectively evaluate the safety
performance of the LNG industry, to
monitor significant changes to plant or
facility operations, and to aid regulatory
decision making regarding LNG
operations. PHMSA will also use the
information for accurate user fee
assessments.
The proposed data collection and
reporting requirements for LNG
operators are consistent with the current
PHMSA reporting requirements for gas
and hazardous liquid pipeline
operators.
(5) Creating a National Registry of
Pipeline and LNG Operators
49 CFR 191.22 and 195.64
In this proposed rule we are
proposing that all regulated pipeline

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operators and LNG plant or LNG facility
operators must obtain an Operator
Identification (OPID) number from
PHMSA. An ‘‘operator’’ of a regulated
pipeline, pipeline facility, LNG plant or
LNG facility—or group of regulated
pipelines or facilities—as defined in
§§ 191.3 and 195.2 will be required to
submit all reports for those regulated
pipelines or facilities using the assigned
OPID for the specific pipeline segments
or facilities for which the operator
requested the OPID.
This proposal would require operators
to use this OPID for all submissions
(National Pipeline Mapping System,
Annual report, accident, incident,
safety-related condition etc.) to PHMSA.
If an operator has a single OPID, then all
of its reporting to PHMSA for regulated
pipelines, pipeline facilities, and/or
LNG facilities will use the one number
assigned to the company for those
assets. If an operator has multiple
OPIDs, the operator must determine
which OPID is assigned to which
specific and unique pipeline segments
or facilities, and use that OPID
consistently for those pipeline segments
or facilities in reporting to PHMSA.
To ensure consistency and accuracy
of information collection, even those
operators with an existing OPID must
reapply. If the pipeline segments or
facilities associated with an existing
OPID have not changed, the existing
OPID would not change. Changes to
OPID assigned numbers would occur on
a case-by-case basis depending on the
extent of mergers, acquisitions,
divestitures, etc. that have occurred
since PHMSA assigned the existing
OPID.
We are also proposing that an
operator notify PHMSA at least 60 days
in advance of certain profile or other
changes to its facilities which could
impact public safety. Such changes
would include any of the following
activities for an existing or new
pipeline, pipeline segment, pipeline
facility, LNG plant, or LNG facility:
• A change in the operating entity
responsible for operating an existing
pipeline, pipeline segment, or facility.
• A change in the operating entity
responsible for managing or
administering a safety program (such as
an Integrity Management or Corrosion
Protection Program) covering an existing
pipeline, pipeline segment, or facility.
• The acquisition or divestiture of 50
or more miles of an existing regulated
pipeline or pipeline segment.
• Any rehabilitation, replacement,
modification, upgrade, uprate, or update
costing $5 million or more.
• The construction of 10 or more
miles of a new hazardous liquid or gas

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transmission pipeline facility, or other
construction project costing $5 million
or more.
• The construction of a new LNG
plant or LNG facility, or the sale or
purchase of an existing LNG plant or
LNG facility.
Justification
A National Registry of Pipeline and
LNG Operators will serve as the
storehouse for the reporting
requirements for an operator regulated
or subject to reporting requirements
under 49 CFR Parts 192, 193, or 195.
Essential to the effectiveness of
PHMSA’s oversight is the ability to
monitor and assess the performance of
the regulated community—examining
both discrete performance as well as
historical trending over time. The single
greatest challenge to PHMSA’s ability to
track performance—and in particular,
performance over time—is the dynamic
nature of the regulated community
itself. Due to conversions of service,
new construction, and abandonments,
or changes in operatorship that occur
during divestitures, acquisitions, or
contractual turnovers, operators’ asset
profiles often change year-to-year,
rendering historical trending inaccurate.
Currently, PHMSA does not receive any
alerts, information, or notification of
these types of changes and we lack any
mechanism to track or capture these
changes when they occur. As a result,
PHMSA’s ability to accurately portray
and assess the performance of
individual operators is severely
compromised, with the problem
deteriorating over time as operating and
asset changes accumulate and
compound.
Additionally, there is an increased
burden to industry and to PHMSA in
tracking and maintaining potentially
numerous OPID’s for the same
company. Some companies accumulate
a large number of OPID’s, often
inadvertently, as the company reports
across a variety of lines of business (e.g.,
operators may use separate OPID’s for
reporting their user fee mileage, safetyrelated conditions, National Pipeline
Mapping System (NPMS) submissions,
incidents, and annual infrastructure and
integrity management data.) The
proposed National Registry of Pipeline
and LNG Operators will facilitate the
use of one OPID across a company’s
reporting requirements for a given set of
pipeline segments or facilities thereby
reducing the burden on both PHMSA
and industry for tracking these multiple,
duplicative OPID’s.
This proposed rulemaking will also
require operators to notify PHMSA
when they experience significant asset

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changes that affect PHMSA’s ability to
accurately monitor and assess pipeline
safety performance. Certain types of
changes to or within an operator’s
facilities or pipeline network represent
potential safety-altering activities for
which PHMSA may need to inspect,
investigate, or otherwise oversee to
ensure that any public safety concerns
are adequately and proactively
addressed. In these cases, this timely
notification will allow PHMSA to
mobilize inspection resources or notify
one of its partner State pipeline safety
agencies if needed.
This proposed Registry would include
mandatory registration and notification
requirements, which do not exist within
PHMSA’s current OPID assignment
process. This Registry is necessary to
compile an integrated national pipeline
inventory of operator contact and
facility information that is sustainable
and can evolve over time to
accommodate an ever-changing
environment. Implementing a National
Registry of Pipeline and LNG Operators
will ensure that PHMSA’s
communications with representatives of
the regulated community are complete
and accurate, achieving a level of
assurance that does not exist within
PHMSA’s existing OPID assignment
process. The proposed Registry will also
enable PHMSA to distribute up-to-date
pipeline safety information for various
technology applications used in the
performance of inspections, regulatory
oversight, reporting, and other safetybased needs, and will provide the
accurate and up-to-date compilation of
operating entities and facilities that is a
critical element of PHMSA’s pipeline
safety mission.
Moreover, the accurate and timely
representation of the scope and make-up
of the nation’s pipeline and LNG facility
infrastructure is not only critical to
PHMSA, but it is also critical to the
various oversight bodies, Congress, the
GAO, the DOT Inspector General, and
the NTSB. Other stakeholders such as
safety and environmental advocacy
groups, and State and local pipeline
safety partners also rely on the accuracy
and completeness of this information.
(6) Requiring Electronic Safety-Related
Condition and Offshore Pipeline
Condition Reports
49 CFR 191.25, 191.27, 195.56, 195.57
and 195.58
We are proposing to require an
operator of a natural gas or hazardous
liquid pipeline, or of an LNG plant or
LNG facility to use a new standardized
form instead of the free-form SafetyRelated Condition reporting now used.

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The requirement under § 191.7 and
under § 195.58 to file Safety-Related
Condition reports concurrently with
State agencies under the conditions
outlined in those sections for filing with
State agencies would still apply.
We are also proposing to require an
operator of a hazardous liquid pipeline
to use a new standardized form instead
of the free-form Offshore Pipeline
Condition Report now used.
Justification
PHMSA requires an operator of a
natural gas pipeline or LNG plant or
LNG facility to report the existence of a
safety-related condition (SRC) meeting
the criteria specified in § 191.23.
Hazardous liquid operators must report
a SRC using the criteria in § 195.55. An
operator must file a report within five
working days after determination but no
later than ten working days after
discovery of the condition. Reports are
sent by facsimile to PHMSA. This
proposed rule proposes to amend
§§ 191.25, 195.56 and 195.58 to require
operators to submit the information
electronically through a standardized
form.
For offshore pipeline conditions,
PHMSA requires an operator to report
certain information within 60 days after
completion of the inspection of all its
underwater pipelines subject to
§ 192.6(2a) or § 195.413(a). This
proposed rule proposes to obtain this
information on a standardized form,
filed electronically with PHMSA.
These proposed requirements will
ensure that PHMSA obtains all the
pertinent information it needs to
perform its assessments and safety
analyses; ensure that operators report all
the required data; ensure consistent
reporting across the regulated
community; reduce the data
management burden on PHMSA; and,
reduce the reporting burden on
operators. A copy of each form is
available in the docket.
(7) Merging the Gas Transmission
Integrity Management Semi-Annual
Performance Measures Report With the
Gas Transmission Operator Annual
Reports
49 CFR 192.945 and 192.951
PHMSA is proposing to merge the gas
transmission Integrity Management
Program semi-annual performance
measures reports with the annual
reports.
Justification
Operators of gas transmission
pipelines subject to Subpart O,
‘‘Pipeline Integrity Management’’, must

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submit four overall measures of their
integrity management performance on a
semi-annual basis, as required by
§ 192.945. On December 15, 2003,
PHMSA published a new Subpart O to
the regulations governing safety of gas
pipelines in 49 CFR Part 192 (68 FR
69778). Subpart O establishes
requirements governing integrity
management programs for gas
transmission pipelines. Included among
these provisions are requirements for
each gas transmission pipeline operator
to maintain quantitative measures of its
integrity management performance as
specified in ASME/ANSI B31.8S,
‘‘Managing System Integrity of Gas
Pipelines’’, Section 9.4 (49 CFR
192.945). The same regulation requires
that each operator submit the
performance measures to PHMSA semiannually. The report on performance
measures collects information on the
number of pipeline miles inspected; the
number of immediate repairs
completed; the number of scheduled
repairs completed; and the number of
leaks, failures, and incidents in the High
Consequence Areas.
A consequence of moving these
reporting requirements to a gas
transmission operator’s annual report
for ASME/ANSI B31.8S performance
metrics is that the annual report is by
State. Moreover, for the ASME/ANSI
B31.8S performance metrics, the annual
report will seek separate reporting for
interstate and intrastate facilities and
system information. Operators will
identify if they are interstate or
intrastate. If an operator has interstate
mileage it will be able to report by State
or have the data rolled up into a single
report. If an operator is an intrastate
operator, the report is already by State.
The acceptable means for submitting
reports required by Subpart O are in 49
CFR 192.951.
In addition, PHMSA is proposing that
operators submit the required
performance measures through the
annual report required in § 191.17. This
regulatory change will reduce the
reporting burden of the industry from
twice a year to once a year and will
allow PHMSA to identify the location of
the inspection, repairs, leaks, failure,
and incidents in a high consequence
area.
The existing section on the annual
report for reporting total leaks
eliminated or repaired during the year
has seven cause categories, while the
equivalent information on the biannual
reporting for gas integrity management,
as specified in ASME B31.8s, has nine
cause categories. GAO noted the
inconsistency in its report (GAO–06–
946), ‘‘Natural Gas Pipeline Safety:

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Integrity Management Benefits Public
Safety, but Consistency of Performance
Measure Should Be Improved.’’ GAO
recommended PHMSA improve the
measures related to incidents, leaks, and
failures to better allow for optimal
comparison of performance over time
and make them more consistent with
other pipeline safety measures. To
achieve consistency PHMSA proposes
to revise the annual report form DOT
form 7100.2–1 to replace the seven
annual report leak cause categories with
the ASME B31.8s nine cause categories.
A copy of the revised annual report is
available for review in the public
docket.
The ASME B31.8s nine cause
categories are as follows:
• External Corrosion.
• Internal Corrosion.
• Stress Corrosion Cracking.
• Manufacturing.
• Construction.
• Equipment.
• Third Party Damage/Mechanical
Damage.
• Incorrect Operations.
• Weather Related/Other Outside
Force.
The existing seven cause categories on
the Gas Transmission and Gathering
System Annual Report are as follows:
• Corrosion.
• Natural Forces.
• Excavation.
• Other Outside Force Damage.
• Material and Welds.
• Equipment and Operations.
• Other.
PHMSA also seeks expanded
information on mileage by Type A and
Type B gathering lines (refer to 49 CFR
192.8 and 192.9); expanded information
on class location by specified minimum
yield strength (SMYS) to better
understand the effects of recent ‘‘special
permits’’ and the final rule (Pipeline
Safety: Standards for Increasing the
Maximum Allowable Operating Pressure
for Gas Transmission Pipelines; 73 Fed.
Reg. 62148: October 17, 2008) allowing
operators to operate certain pipelines at
up to 80% SMYS; and information on
volume and commodity transported to
better understand system miles by
product type (propane vs. natural gas for
example). The expanded information
will enhance our ability to effectively
understand the need for further
expansion of regulations for gathering
lines and high stress lines.
(8) Modifying Hazardous Liquid
Operator Telephonic Notification of
Accidents Reporting Requirement
49 CFR 195.52
This proposal would require an
operator to have a procedure to

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calculate and provide a reasonable
initial estimate of released product in
telephonic reports to the National
Response Center (NRC). An operator
would also be required to provide
additional telephonic reports to the NRC
if significant new information becomes
available during the emergency
response phase of a reported event.
Justification
The NTSB recommended that PHMSA
modify 49 CFR 195.52 to require
hazardous liquid pipeline operators to
have a procedure to calculate and
provide a reasonable initial estimate of
released product in the telephonic
report to the National Response Center
(NTSB Safety Recommendation P–07–
07). The NTSB also recommended that
PHMSA modify the hazardous liquid
telephonic notice regulation section to
require pipeline operators to provide an
additional telephonic report to the
National Response Center if significant
new information becomes available
during the emergency response phase of
a reported event (NTSB Safety
Recommendation P–07–08).
(9) Requiring Operators of Hazardous
Liquid Pipelines To Report Pipeline
Information by State on the Annual
Report for Hazardous Liquid Pipelines
49 CFR 195.49
This proposal would require operators
of hazardous liquid pipelines to submit
certain infrastructure and integrity
management data for each State a
pipeline traverses.
Justification
Currently, natural gas transmission
pipeline operators submit State-specific
annual reports that give PHMSA a
sound and basic understanding of the
location, scope, and nature of the
pipeline facilities subject to its
regulations. Hazardous liquid pipeline
operators do not report State-specific
information on their annual reports.
These reports show the mileage and
characteristics of the hazardous liquid
pipelines operated by approximately
314 operators with about 165,000 miles
of pipelines. These annual reports only
contain nationally aggregated
information for the general
characteristics of the hazardous liquid
pipelines, along with fundamental
integrity management information.
Nationally aggregated information does
not provide the granularity of data that
is critical to PHMSA’s understanding of
the risks posed by, as well as the
condition of, these pipelines. Although
PHMSA’s NPMS maintains location
information on 310 operators reporting

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over 175,000 miles of pipe, none of
these submittals contains the desired
State-specific pipeline characteristics or
integrity management information
PHMSA needs to effectively understand,
monitor, and assess safety performance
and risks more discretely.
This more granular level of
understanding and analysis is critical to
PHMSA’s fundamental safety mission.
Capturing this State-specific
information for both gas transmission
and hazardous liquid pipelines provides
PHMSA with the data necessary to
identify areas of potential high risk and
allocate agency resources accordingly.
Without this information, PHMSA
cannot differentiate risks and exposures
on a State or regional basis, thereby
precluding efforts to allocate internal
resources based on risk or accurately
portray and assess the performance of
its various enforcement Regions or
individual partner State pipeline safety
agencies. The absence of this
information also severely limits
PHMSA’s ability to analyze risks and
identify safety issues that may be
specific to a particular State or region.
Additionally, this level of information
would facilitate PHMSA’s efforts to
reconcile discrepancies between
operator NPMS submissions and
information submitted through annual
reports.
Many States have pipeline safety
programs that operate as either PHMSAcertified interstate or PHMSA-certified
intrastate agents for hazardous liquid
pipelines. PHMSA helps to fund these
State programs to reimburse costs for
inspections and other safety activities.
PHMSA needs to have a full and
complete understanding of the scope,
nature, and extent of the pipeline
infrastructure under each State’s
purview to be able to assess the
effectiveness of funding State pipeline
programs for these activities, and to
effectively assess, monitor, and compare
the State’s respective safety
performance. Similarly, State pipeline
program managers need this same
information to plan and manage their
own programs.
PHMSA conducted preliminary
discussions on the reporting by State
proposal with representatives of the
hazardous liquid pipeline community.
These preliminary discussions were
held during meetings with an industry
data team consisting of representatives
from American Petroleum Institute
(API), Association of Oil Pipe Lines
(AOPL), and hazardous liquid pipeline
operators. This industry data team
generally supported reporting by State
for the specific areas that PHMSA
proposes to obtain annual report

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information by State. PHMSA was also
urged to consider an efficient method
for the collection of the proposed
information.
Members of the industry data team
also requested PHMSA consider
obtaining infrastructure and integrity
management (IM) information through
the NPMS. PHMSA acknowledges the
potential benefits of NPMS submission
of infrastructure and IM information.
NPMS submission of the information
would greatly enhance PHMSA’s ability
to make informed safety-related
assessments and decisions. PHMSA is
also mindful of the costs associated with
submitting the proposed information via
the NPMS as opposed to other means.
PHMSA would have to modify the
existing geospatial technological
architecture of the NPMS to accept the
substantial data elements that would
have to be submitted if the NPMS were
to generate the proposed State totals.
These modifications would be costly
and are not currently budgeted or
planned. To retrofit the NPMS into a
format that could accept the substantial
data elements requires several years of
planning and extensive work by
PHMSA. Additionally, we need to
determine the percentage of the
hazardous liquid operators with the
capability to submit information using
geospatial technology. Many small
companies are not API or AOPL
members and we need to better
understand the overall abilities and
capabilities of the industry before
considering this method for the
collection of information. This proposed
rule therefore seeks comment from any
hazardous liquid operator that could not
provide information via a geospatial
tool.
PHMSA agrees with the potential
benefits of NPMS submission for this
information. Like the industry data
team, PHMSA also recognizes that
having the information in a GIS tool
greatly facilitates the ease with which
such tables can be computed and
produced. Although the industry data
team believes that virtually all of the
API and AOPL members have
information in GIS tools, preliminary
results from a joint OPS and industry
pilot project indicate that industry may
not have any additional information
other than currently collected in NPMS,
in GIS format.
Therefore, PHMSA is requesting
comments on whether infrastructure
and IM information through NPMS is a
better alternative that operators could
easily implement. For now, PHMSA
will continue to collect the information
through the Annual Report until
PHMSA determines that industry has

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the capability to convert its
technological platform into a format that
could accept the submission via GIS
tool and that the entire industry could
adhere to such a format.
(10) Removing Obsolete Provisions
49 CFR 191.19, 191.27, 195.57 and
195.62
PHMSA proposes to remove or revise
the following provisions in light of the
proposal to require electronic
submission of all reports. Electronic
reporting makes these requirements
obsolete.
• Remove § 191.19, which advises
operators they may obtain, without
charge, copies of paper report forms and
reproduce the forms.
• Remove §§ 191.27(b) and 195.57(b),
which require mailing hard copies of
Offshore Pipeline Condition reports.
• Revise § 195.54 to remove the
option to file an accident report by
facsimile.
• Remove § 195.62, which requires
operators to maintain an adequate
supply of forms that are a facsimile of
DOT accident report forms so that the
operator may promptly report an
accident.
Hard copies of forms will continue to
be available on PHMSA’s Web site at
http://phmsa.dot.gov/pipeline.
(11) Updating OMB Control Numbers
49 CFR 191.21 and 195.63
PHMSA proposes to update these
sections to add new OMB control
numbers for the new forms (and
information collection) proposed in this
proposed rule. There will be new forms
for reporting safety-related and offshore
pipeline conditions, LNG incidents and
for submitting an LNG annual report.
V. Regulatory Analyses and Notices
Executive Order 12866 and DOT
Policies and Procedures
This proposed rule is not a significant
regulatory action under section 3(f) of
Executive Order 12866 (58 FR 51735)
and, therefore, was not reviewed by the
Office of Management and Budget. This
proposed rule is not significant under
the Regulatory Policies and Procedures
of the Department of Transportation (44
FR 11034).
Overall, the costs of the proposed rule
are expected to be approximately $1.9
million per year. The present value of
this cost over 10 years using a 3 percent
discount rate is approximately $17
million, while its present value over 10
years using a 7 percent discount rate is
approximately $14 million. Those costs
cover changes to the 49 CFR to enhance

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general data and data management
improvements for pipelines.
The average of the present value of
net benefits over 10 years at a 3 percent
discount rate is approximately $76
million and approximately $62 million
at 7 percent.
The benefits of the proposed rule
enhance PHMSA’s ability to
understand, measure, and assess the
performance of individual operators and
industry as a whole; integrate pipeline
safety data in a way that will allow a
more thorough, rigorous, and
comprehensive understanding and
assessment of risk; expand and simplify
existing electronic reporting by
operators; improve the data and
analyses PHMSA relies on to make
critical, safety-related decisions; and
facilitate PHMSA’s allocation of
inspection and other resources based on
a more accurate accounting of risk.
A comparison of the benefits and
costs of the rule results in positive net
benefits. The present value of net
benefits (the excess of benefits over
costs) for the proposed rule is
approximately $59 million using a three
percent discount rate and $48 million
using a seven percent discount rate. A
copy of the regulatory evaluation is
available for review in the docket.
Regulatory Flexibility Act
The Regulatory Flexibility Act of
1980, as amended, requires Federal
agencies to conduct a separate analysis
of the economic impact of rules on

small entities. The Regulatory
Flexibility Act requires that Federal
agencies take small entities’ concerns
into account when developing, writing,
publicizing, promulgating, and
enforcing regulations. The modifications
noted in the proposed rule will affect
hazardous liquid, natural gas pipelines
(distribution and transmission), and
LNG facility operators. PHMSA does not
collect information on number of
employees or revenues for pipeline
operators. Such a collection would
require OMB approval. Nevertheless,
PHMSA continues to seek information
(and invites comments on this subject)
about the number of small pipeline
operators to more fully determine
impact on small entities.
The Small Business Administration
(SBA) size standards for hazardous
liquid operators are companies with less
than 1,500 employees, including
employees of parent corporations. The
SBA size standards are $6.5 million in
annual revenues for the natural gas
transmission pipeline industry and 500
employees for the natural gas
distribution industry.
PHMSA has reviewed the data it
collects from the hazardous liquid
pipeline industry and has estimated
there are 10 to 20 small entities in this
industry. PHMSA estimates that about
480 of the gas transmission and
gathering firms have less than $6.5
million in revenues and about 1,000 gas
distribution firms have fewer than 500
employees. Information on the market

structure of the LNG industry is scarce
but the estimated reporting cost to LNG
facilities’ operators is very low, and
thus, PHMSA assumes that LNG
facilities operators, large or small, will
not be adversely affected by the
requirements in the proposed rule.
The average annual cost of the
increased reporting burden of the
proposed rule ranges from $3,804 to
$5,649 for small hazardous liquid
operators, $231 to $385 for small natural
gas operators and from $683 to $1,103
for liquefied natural gas operators.
These preliminary results suggest that
there is not a significant impact on a
substantial number of small entities.
Executive Order 13175
PHMSA has analyzed this proposed
rule according to the principles and
criteria in Executive Order 13175,
‘‘Consultation and Coordination with
Indian Tribal Governments.’’ Because
this proposed rule would not
significantly or uniquely affect the
communities of the Indian Tribal
governments or impose substantial
direct compliance costs, the funding
and consultation requirements of
Executive Order 13175 do not apply.
Paperwork Reduction Act
This proposed rule may result in
revisions to several currently approved
information collections. The following
list contains the potentially impacted
information collections and their
current approval information:

Current
expiration date

OMB Control No.

Info collection title

1. 2137–0047 .......................

Transportation of Hazardous Liquids by Pipeline: Recordkeeping and Accident
Reporting.
Incident and Annual Reports for Gas Pipeline Operators ....................................
Reporting Safety-Related Conditions on Gas, Hazardous A Liquid, and Carbon
Dioxide Pipelines and Liquefied Natural Gas Facilities.
Pipeline Integrity Management in High Consequence Areas Gas Transmission
Pipeline Operators.
Pipeline Safety: New Reporting Requirements for Hazardous Liquid Pipeline
Operators: Hazardous Liquid Annual Report.

2. 2137–0522 .......................
3. 2137–0578 .......................
4. 2137–0610 .......................
5. 2137–0614 .......................

Pursuant to 5 CFR 1320.8(d), PHMSA
is required to provide interested
members of the public and affected
agencies with an opportunity to
comment on information collection and
recordkeeping requests. This notice
identifies revised information collection
requests that PHMSA will submit to the
Office of Management and Budget
(OMB) for approval based on the
requirements in this proposed rule.

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PHMSA has developed revised
burden estimates to reflect changes in
this proposed rule. PHMSA estimates
that, based on the proposals in this rule,
the current information collection
burden for these information collections
will be revised as follows:
1. Title of information Collection:
Transportation of Hazardous Liquids by
Pipeline: Recordkeeping and Accident
Reporting.
OMB Control Number: 2137–0047.

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Currently
approved
burden hours

11/30/2011

51,011

11/30/2010
2/28/2011

36,105
390

6/30/2009

1,030,309

6/30/2010

5,364

Total Annual Number of
Respondents: 300.
Total Annual Responses: 450.
Total Annual Burden Hours: 51,011.
Total Annual Burden Cost:
$3,302,962.25.
2. Title of information Collection:
Incident and Annual Reports for Gas
Pipeline Operators.
OMB Control Number: 2137–0522.
Total Annual Number of
Respondents: 2,289.
Total Annual Responses: 5,629.

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Total Annual Burden Hours: 63,153.
Total Annual Burden Cost:
$2,910,448.
3. Title of information Collection:
Reporting Safety-Related Conditions on
Gas, Hazardous A Liquid, and Carbon
Dioxide Pipelines and Liquefied Natural
Gas Facilities.
OMB Control Number: 2137–0578.
Total Annual Number of
Respondents: 2,673.
Total Annual Responses: 718.
Total Annual Burden Hours: 1,512.
Total Annual Burden Cost: $46,620.
4. Title of information Collection:
Pipeline Integrity Management in High
Consequence Areas Gas Transmission
Pipeline Operators.
OMB Control Number: 2137–0610.
Total Annual Number of
Respondents: 721.
Total Annual Responses: 721.
Total Annual Burden Hours:
1,018,773.
Total Annual Burden Cost:
$65,967,753.00.
5. Title of information Collection:
Pipeline Safety: New Reporting
Requirements for Hazardous Liquid
Pipeline Operators: Hazardous Liquid
Annual Report.
OMB Control Number: 2137–0614.
Total Annual Number of
Respondents: 300.
Total Annual Responses: 447.
Total Annual Burden Hours: 11,748
hours.
Total Annual Burden Cost:
$760,683.00.
Requests for a copy of the information
collection should be directed to
Cameron Satterthwaite, U.S. Department
of Transportation, Office of Regulations,
Pipeline and Hazardous Materials Safety
Administration, 1200 New Jersey
Avenue, SE., East Building, 2nd Floor,
Washington, DC 20590–0001,
Telephone (202) 366–4046.
All comments should be addressed to
the Dockets Unit as identified in the
ADDRESSES section of this proposed rule
and received prior to the close of the
comment period identified in the DATES
section of this proposed rule.
We specifically request comments on
the information collection and
recordkeeping burden associated with
developing, implementing, and
maintaining these requirements for
approval under this proposed rule.
Unfunded Mandates Reform Act of 1995
This proposed rule would not impose
unfunded mandates under the
Unfunded Mandates Reform Act of
1995. It would not result in costs of
$100 million, adjusted for inflation, or
more in any one year to either State,
local, or Tribal governments, in the

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aggregate, or to the private sector, and
is the least burdensome alternative that
achieves the objective of the proposed
rulemaking.

49 CFR Part 193
Pipeline safety, Fire prevention,
Security measures, and Reporting and
recordkeeping requirements.

National Environmental Policy Act

49 CFR Part 195
Ammonia, Carbon dioxide,
Incorporation by reference, Petroleum,
Pipeline safety, Reporting and
recordkeeping requirements.
In consideration of the foregoing, we
propose to amend 49 CFR Chapter I as
follows:

PHMSA analyzed this proposed rule
in accordance with section 102(2)(c) of
the National Environmental Policy Act
(42 U.S.C. 4332), the Council on
Environmental Quality regulations (40
CFR 1500–1508), and DOT Order
5610.1C, and has preliminarily
determined this action will not
significantly affect the quality of the
human environment. The
Environmental Assessment for this
proposed action is in the docket.
Executive Order 13132
PHMSA has analyzed this proposed
rule according to Executive Order 13132
(‘‘Federalism’’). The proposed rule does
not have a substantial direct effect on
the States, the relationship between the
national government and the States, or
the distribution of power and
responsibilities among the various
levels of government. This proposed
rule does not impose substantial direct
compliance costs on State and local
governments. This proposed rule would
not preempt State law for intrastate
pipelines. Therefore, the consultation
and funding requirements of Executive
Order 13132 do not apply.
Executive Order 13211
This proposed rule is not a
‘‘significant energy action’’ under
Executive Order 13211 (Actions
Concerning Regulations That
Significantly Affect Energy Supply,
Distribution, or Use). It is not likely to
have a significant adverse effect on
supply, distribution, or energy use.
Further, the Office of Information and
Regulatory Affairs has not designated
this proposed rule as a significant
energy action.
Privacy Act Statement
Anyone may search the electronic
form of all comments received for any
of our dockets. You may review DOT’s
complete Privacy Act Statement in the
Federal Register published on April 11,
2000 (70 FR 19477) or visit http://
dms.dot.gov.
List of Subjects
49 CFR Part 191
Pipeline safety, Reporting and
recordkeeping requirements.
49 CFR Part 192
Pipeline safety, Fire prevention,
Security measures.

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PART 191—TRANSPORTATION OF
NATURAL AND OTHER GAS BY
PIPELINE; ANNUAL REPORTS,
INCIDENT REPORTS, AND SAFETYRELATED CONDITION REPORTS
1. The authority citation for Part 191
continues to read as follows:
Authority: 49 U.S.C. 5121, 60102, 60103,
60104, 60108, 60117, 60118, and 60124, and
49 CFR 1.53.

1a. In § 191.1, paragraph (b)(4) is
revised to read as follows:
§ 191.1

Scope.

*

*
*
*
*
(b) * * *
(4) Onshore gathering of gas—
(i) Through a pipeline that operates at
less than 0 psig (0 kPa);
(ii) Through a pipeline that is not a
regulated onshore gathering line (as
determined in § 192.8 of this
subchapter); and
(iii) Within inlets of the Gulf of
Mexico, except for the requirements in
§ 192.612.
2. In § 191.3, the definition of
‘‘Incident’’ is revised to read as follows:
§ 191.3

Definitions.

*

*
*
*
*
Incident means any of the following
events:
(1) An event that involves a release of
gas from a pipeline, or of liquefied
natural gas, liquefied petroleum gas,
refrigerant gas, or gas from an LNG
facility, and that results in one of the
following consequences:
(i) A death, or personal injury
necessitating in-patient hospitalization;
(ii) Estimated property damage of
$50,000 or more, including loss to the
operator and others, or both;
(iii) Estimated gas loss of 3,000
million cubic feet or more;
(iv) An explosion or fire not
intentionally set by the operator.
(2) An event at an LNG plant or LNG
facility that results in an emergency
shutdown, excluding the activation of
emergency shutdown devices for
maintenance.
(3) An event that is significant in the
judgment of the operator, even though it

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules

did not meet the criteria of paragraphs
(1) or (2) of this definition.
*
*
*
*
*
3. Section 191.7 is revised to read as
follows:
§ 191.7

Report submission requirements.

(a) General. An operator must submit
each report required by this Part
electronically to the Pipeline and
Hazardous Materials Safety
Administration at http://
opsweb.phmsa.dot.gov. If electronic
reporting imposes an undue burden and
hardship, the operator must submit a
written request for an alternative
reporting method to the Information
Resources Manager, Office of Pipeline
Safety, Pipeline and Hazardous
Materials Safety Administration, PHP–
10, 1200 New Jersey Avenue, SE.,
Washington, DC 20590. The request
must describe the undue burden and
hardship and be sent at least 60 days
prior to the due date of the report.
(b) Safety-related conditions. An
operator must submit concurrently to
the applicable State agency a safetyrelated condition report required by
§ 191.23 for intrastate pipeline
transportation or when the State agency
acts as an agent of the Secretary with
respect to interstate transmission
facilities.
4. In § 191.9, paragraph (c) is revised
to read as follows:
§ 191.9
report.

Distribution system: Incident

*

*
*
*
*
(c) Master meter operators are not
required to submit an incident report as
required by this section.
5. Section 191.11 is revised to read as
follows:
§ 191.11
report.

Distribution system: Annual

(a) General. Except as provided in
paragraph (b) of this section, each
operator of a distribution pipeline
system must submit an annual report for
that system on DOT Form PHMSA F
7100.1–1. This report must be submitted
each year, not later than March 15, for
the preceding calendar year.
(b) Not required. The annual report
requirement in this section does not
apply to a master meter system or to a
petroleum gas system that serves fewer
than 100 customers from a single
source.
6. Section 191.15 is revised to read as
follows:
§ 191.15 Transmission systems; gathering
systems; and liquefied natural gas facilities:
Incident report.

(a) General. Each operator of a
transmission or a gathering pipeline

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system must submit DOT Form PHMSA
F 7100.2 as soon as practicable but not
more than 30 days after detection of an
incident required to be reported under
§ 191.5 of this subchapter.
(b) LNG. Each operator of a liquefied
natural gas plant or facility must submit
DOT Form PHMSA F [INSERT FORM
NUMBER] as soon as practicable but not
more than 30 days after detection of an
incident required to be reported under
§ 191.5 of this subchapter.
(c) Supplemental report. Where
additional related information is
obtained after a report is submitted
under paragraph (a) or (b) of this
section, the operator must make a
supplemental report as soon as
practicable with a clear reference by
date and subject to the original report.
7. Section 191.17 is revised to read as
follows:
§ 191.17 Transmission systems; gathering
systems; and liquefied natural gas facilities:
Annual report.

(a). General. Each operator of a
transmission or a gathering pipeline
system must submit an annual report for
that system on DOT Form PHMSA
7100.2.1. This report must be submitted
each year, not later than March 15, for
the preceding calendar year.
(b) LNG. Each operator of a liquefied
natural gas facility must submit an
annual report for that system on DOT
Form PHMSA [INSERT FORM
NUMBER]. This report must be
submitted each year, not later than
March 15, for the preceding calendar
year.
§ 191.19

[Removed]

8. Section 191.19 is removed.
9. Section 191.21 is revised to read as
follows:
§ 191.21 OMB control number assigned to
information collection.

This section displays the control
number assigned by the Office of
Management and Budget (OMB) to the
information collection requirements in
this Part. The Paperwork Reduction Act
requires agencies to display a current
control number assigned by the Director
of OMB for each agency information
collection requirement.
OMB Control Number 2137–0522
Section of 49 CFR part
191 where identified

Form No.

191.5 ................................
191.9 ................................
191.11 ..............................
191.15 ..............................
191.17 ..............................
191.22 ..............................
191.25 ..............................
191.27 ..............................

Telephonic
PHMSA 7100.1
PHMSA 7100.1–1
PHMSA 7100.2
PHMSA 7100.2–1
PHMSA xxxxx
PHMSA xxxxx
PHMSA xxxxx

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10. Section 191.22 is added to read as
follows:
§ 191.22 National Registry of Pipeline and
LNG Operators.

(a) OPID Request. Each operator of a
gas pipeline, gas pipeline facility, LNG
plant or LNG facility must obtain from
PHMSA an Operator Identification
Number (OPID). An OPID is assigned to
an operator for the pipeline or pipeline
system for which the operator has
primary responsibility. To obtain an
OPID or a change to an OPID, an
operator must submit a complete and
accurate OPID Questionnaire [Insert
form number]. The OPID Questionnaire
must be transmitted electronically to
PHMSA through the National Registry
of Pipeline and LNG Operators at
http://opsweb.phmsa.dot.gov. This
requirement applies to all new and
existing operators, including operators
who have already been assigned one or
more OPID.
(b) Changes. Each operator of a gas
pipeline, gas pipeline facility, LNG
plant or LNG facility must notify
PHMSA electronically through the
National Registry of Pipeline and LNG
Operators at http://
opsweb.phmsa.dot.gov 60 days prior to
any of the following events:
(1) A change in the name of the
operator;
(2) A change in the operating entity
responsible for an existing pipeline,
pipeline segment, or pipeline facility, or
LNG facility;
(3) The acquisition or divestiture of 50
or more miles of pipeline or pipeline
system regulated by PHMSA;
(4) Any rehabilitation, replacement,
modification, upgrade, uprate, or update
costing $5 million or more;
(5) Construction of 10 or more miles
of a new gas transmission pipeline or
any project involving a pipeline or
pipeline facility costing $5 million or
more; or
(6) The acquisition or divestiture of an
existing LNG plant or LNG facility or
construction of a new LNG plant or LNG
facility.
(c) Reporting. An operator must use
the OPID issued by PHMSA for all
reporting requirements covered under
this subchapter and for submissions to
the National Pipeline Mapping System.
(d) Undue burden. If electronic
reporting imposes an undue burden and
hardship, an operator must submit a
written request for an alternative
reporting method to the Information
Resources Manager, Office of Pipeline
Safety, Pipeline and Hazardous
Materials Safety Administration, PHP–
10, 1200 New Jersey Avenue, SE.,
Washington DC 20590. The request

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules
must describe the undue burden and
hardship.
11. Section 191.25 is revised to read
as follows:
§ 191.25
reports.

Filing safety-related condition

(a) General. Each operator must file a
report of a safety-related condition
under § 191.23(a) on DOT Form PHMSA
[INSERT FORM NUMBER]. The report
must be filed (received by the
Administrator) within five working days
(not including Saturdays, Sunday, or
Federal Holidays) after the day a
representative of the operator first
determines or discovers that the
condition exists, but not later than 10
working days after the day a
representative of the operator
determines or discovers the condition.
(b) Separate conditions. An operator
may describe separate conditions in a
single report if the conditions are
closely related.
12. Section 191.27 is revised to read
as follows:
§ 191.27
reports.

Filing offshore pipeline condition

Each operator must, within 60 days
after completion of the inspection of all
its underwater pipelines subject to
§ 192.612(a), file an Offshore Pipeline
Condition Report on DOT Form PHMSA
[INSERT FORM NUMBER].

13. The authority citation for part 192
continues to read as follows:
Authority: 49 U.S.C. 5103, 60102, 60104,
60108, 60109, 60110, 60113, and 60118; and
49 CFR 1.53.

§ 192.945 What methods must an operator
use to measure program effectiveness?

(a) General. An operator must include
in its integrity management program
methods to measure whether the
program is effective in assessing and
evaluating the integrity of each covered
pipeline segment and in protecting the
high consequence areas. These measures
must include the four overall
performance measures specified in
ASME/ANSI B31.8S (incorporated by
reference, see § 192.7 of this
subchapter), section 9.4, and the
specific measures for each identified
threat specified in ASME/ANSI B31.8S,
Appendix A. An operator must submit
the four overall performance measures

Jkt 217001

Where does an operator file a

An operator must file any report
required by this subpart electronically
to the Pipeline and Hazardous Materials
Safety Administration at http://
opsweb.phmsa.dot.gov. If electronic
reporting imposes an undue burden and
hardship, an operator must submit a
written request for an alternative
reporting method to the Information
Resources Manager, Office of Pipeline
Safety, Pipeline and Hazardous
Materials Safety Administration, PHP–
10, 1200 New Jersey Avenue, SE.,
Washington, DC 20590. The request
must describe the undue burden and
hardship.
PART 193—LIQUIFIED NATURAL GAS
FACILITIES: FEDERAL SAFETY
STANDARDS
16. The authority citation for part 193
continues to read as follows:
Authority: 49 U.S.C. 5103, 60102, 60103,
60104, 60108, 60109, 60110, 60113, 60118,
and 49 CFR 1.53.

17. Section 193.2011 is revised to read
as follows:
Reporting.

Incidents, safety-related conditions,
and annual pipeline summary data for
LNG plants or facilities must be
reported in accordance with the
requirements of part 191 of this
subchapter.
PART 195—TRANSPORTATION OF
HAZARDOUS LIQUIDS BY PIPELINE
18. The authority citation for part 195
continues to read as follows:

14. In § 192.945, paragraph (a) is
revised to read as follows:

15:34 Jul 01, 2009

§ 192.951
report?

§ 193.2011

PART 192—TRANSPORTATION OF
NATURAL AND OTHER GAS BY
PIPELINE: MINIMUM FEDERAL
SAFETY STANDARDS

VerDate Nov<24>2008

on the annual report required by
§ 191.17 of this subchapter.
*
*
*
*
*
15. Section 192.951 is revised to read
as follows:.

Authority: 49 U.S.C. 5103, 60102, 60104,
60108, 60109, 60118, and 49 CFR 1.53.

19. Section 195.49 is revised to read
as follows:
§ 195.49

Annual report.

Each operator must annually
complete and submit DOT Form
PHMSA F 7000–1.1 for each type of
hazardous liquid pipeline facility
operated at the end of the previous year.
The hazardous liquid operator annual
report must be filed by June 15 each
year. Each operator must submit a
separate report for each State a pipeline
traverses. A separate report is required
for crude oil, HVL (including anhydrous
ammonia), petroleum products, and
carbon dioxide pipelines.

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31685

20. Section 195.52 is revised to read
as follows:
§ 195.52 Telephonic notice of certain
accidents.

(a) Notice requirements. At the
earliest practicable moment following
discovery of a release of the hazardous
liquid or carbon dioxide transported
resulting in an event described in
§ 195.50, the operator of the system
must give notice, in accordance with
paragraph (b) of this section, of any
failure that:
(1) Caused a death or a personal
injury requiring hospitalization;
(2) Resulted in either an explosion or
fire not intentionally set by the operator;
(3) Caused estimated property
damage, including cost of cleanup and
recovery, value of lost product, and
damage to the property of the operator
or others, or both, exceeding $50,000;
(4) Resulted in pollution of any
stream, river, lake, reservoir, or other
similar body of water that violated
applicable water quality standards,
caused a discoloration of the surface of
the water or adjoining shoreline, or
deposited a sludge or emulsion beneath
the surface of the water or upon
adjoining shorelines; or
(5) In the judgment of the operator
was significant even though it did not
meet the criteria of any other paragraph
of this section.
(b) Information required. Reports
made under paragraph (a) of this section
are made by telephone to 800–424–8802
(in Washington, DC 267–2675) and must
include the following information:
(1) Name, address and identification
number of the operator.
(2) Name and telephone number of
the reporter.
(3) The location of the failure.
(4) The time of the failure.
(5) The fatalities and personal
injuries, if any.
(6) Initial estimate of amount of
product released in accordance with
paragraph (c) of this section.
(7) All other significant facts known
by the operator that are relevant to the
cause of the failure or extent of the
damages.
(c) Calculation. A pipeline operator
must have a written procedure to
calculate and provide a reasonable
initial estimate of the amount of
released product.
(d) New information. An operator
must provide an additional telephonic
report to the National Response Center
if significant new information becomes
available during the emergency
response phase of a reported event.
21. In § 195.54, paragraph (a) is
revised to read as follows:

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Federal Register / Vol. 74, No. 126 / Thursday, July 2, 2009 / Proposed Rules
Accident reports.

(a) Each operator that experiences an
accident that is required to be reported
under § 195.50 must, as soon as
practicable, but not later than 30 days
after discovery of the accident file an
accident report on DOT Form 7000–1.
*
*
*
*
*
22. Section 195.56 is revised to read
as follows:
§ 195.56
reports.

Filing safety-related condition

(a) General. Each operator must file a
report of a safety-related condition
under § 195.55(a) on DOT Form PHMSA
[INSERT FORM NUMBER]. The report
must be filed (received by the
Administrator) within five working days
(not including Saturdays, Sunday, or
Federal Holidays) after the day a
representative of the operator first
determines or discovers that the
condition exists, but not later than 10
working days after the day a
representative of the operator
determines or discovers the condition.
(b) Separate conditions. An operator
may describe separate conditions in a
single report if the conditions are
closely related.
23. Section 195.57 is revised to read
as follows:
§ 195.57
reports.

Filing offshore pipeline condition

Each operator must, within 60 days
after completion of the inspection of all
its underwater pipelines subject to
§ 195.413(a), file an Offshore Pipeline
Condition Report on DOT Form PHMSA
[INSERT FORM NUMBER].
24. Section 195.58 is revised to read
as follows:
§ 195.58

Report submission requirements.

(a) General. An operator must submit
each report required by this part
electronically to PHMSA at http://
opsweb.phmsa.dot.gov. If electronic
reporting imposes an undue burden and
hardship, the operator must submit a
written request for an alternative
reporting method to the Information

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15:34 Jul 01, 2009

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Resources Manager, Office of Pipeline
Safety, Pipeline and Hazardous
Materials Safety Administration, PHP–
10, 1200 New Jersey Avenue, SE.,
Washington, DC 20590. The request
must describe the undue burden and
hardship and be sent at least 60 days
prior to the due date of the report.
(b) Safety related conditions. An
operator must submit concurrently to
the applicable State agency a safetyrelated condition report required by
§ 191.23 of this subchapter for an
intrastate pipeline or when the State
agency acts as an agent of the Secretary
with respect to interstate pipelines.
§ 195.62

[Removed]

25. Section 195.62 is removed.
26. Section 195.63 is revised to read
as follows:
§ 195.63 OMB control number assigned to
information collection.

The control numbers assigned by the
Office of Management and Budget to the
hazardous liquid pipeline information
collection pursuant to the Paperwork
Reduction Act are 2137–0047, 2137–
0601, 2137–0604, 2137–0605, 2137–
0618, and 2137–0622.
27. Section 195.64 is added to read as
follows:
§ 195.64 National Registry of Pipeline and
LNG Operators.

(a) OPID Request. Each operator must
obtain from PHMSA an Operator
Identification Number (OPID). An OPID
is assigned to an operator for the
pipeline or pipeline system for which
the operator has primary responsibility.
To obtain an OPID or a change to an
OPID, an operator must submit a
complete and accurate OPID
Questionnaire (Insert form number). The
OPID Questionnaire must be transmitted
electronically to PHMSA through the
National Registry of Pipeline and LNG
Operators at http://
opsweb.phmsa.dot.gov. This
requirement applies to all operators,
including operators who have already
been assigned an OPID.

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(b) Changes. Each operator must
notify PHMSA electronically through
the National Registry of Pipeline and
LNG Operators at http://
opsweb.phmsa.dot.gov, 60 days prior to
any of the following events:
(1) A change in the name of the
operator;
(2) A change in the operating entity
responsible for operating an existing
pipeline, pipeline segment, or pipeline
facility;
(3) The acquisition or divestiture of 50
or more miles of pipeline or pipeline
system regulated by PHMSA;
(4) Pipeline rehabilitation, pipe
replacement, or pipeline system changes
to upgrade/uprate a pipeline or pipeline
facility costing $5 million or more;
(5) Construction of 10 or more miles
of a new hazardous liquid pipeline or
any project involving a pipeline or
pipeline facility costing $5 million or
more; or
(6) The acquisition or divestiture of an
existing pipeline facility or construction
of a new pipeline facility.
(c) Reporting. An operator must use
the OPID issued by PHMSA for all
reporting requirements covered under
this subchapter and for submissions to
the National Pipeline Mapping System.
(d) Undue burden. If electronic
reporting imposes an undue burden and
hardship, an operator must submit
written request for an alternative
reporting method mitted to the
Information Resources Manager, Office
of Pipeline Safety, Pipeline and
Hazardous Materials Safety
Administration, PHP–10, 1200 New
Jersey Avenue, SE. Washington DC
20590. The request must describe the
undue burden and hardship.
Issued in Washington, DC, on June 24,
2009.
Jeffrey D. Wiese,
Associate Administrator for Pipeline Safety.
[FR Doc. E9–15532 Filed 7–1–09; 8:45 am]
BILLING CODE 4910–60–P

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File TitleDocument
SubjectExtracted Pages
AuthorU.S. Government Printing Office
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File Created2009-07-02

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