2137_0047_Supporting_Statement[_7_7_14]

Department of Transportation

Office of the Chief Information Officer

Supporting Statement

Pipeline Safety: Transportation of Hazardous Liquids by Pipeline: Recordkeeping and Accident Reporting

Docket Number: PHMSA-2013-0061

OMB Control No. 2137-0047

INTRODUCTION

The Pipeline and Hazardous Materials Safety Administration (PHMSA) requests approval from the Office of Management and Budget (OMB) for an extension and amendment of a currently approved collection entitled “Pipeline Safety: Transportation of Hazardous Liquids by Pipeline: Recordkeeping and Accident Reporting” (OMB Control No. 2137-0047). The current expiration date for this information collection is January 31, 2014. The change to this information collection is necessary to revise the Hazardous Liquid Accident Report (PHMSA F 7000-1) and to incorporate the collection of data currently collected under OMB. Control Number 2137-0598.

Part A. Justification

1. Circumstances that make collection of information necessary.

Hazardous liquid pipeline operators must report the details of accidents that occur during the operation of their pipeline systems. They must also keep records to ensure that their pipelines are operated safely. This information collection promotes the U.S. DOT’s Safety and Environmental Strategic Goals by identifying areas which would benefit from targeted regulatory actions to decrease incidents involving hazardous liquid low-stress lines. The requirements for incident reporting and recordkeeping are found in 49 CFR 195.

Sections 195.134 and 195.444 of the Federal pipeline safety regulations require operators of hazardous liquid pipeline facilities installing new computational pipeline monitoring (CPM) leak detection systems or replacing components of existing CPM systems to comply with the American Petroleum Institute's recommended practice API 1130 "Computational Pipeline Monitoring for Liquid Pipelines" (API 1130). API 1130 provides information collection and maintenance guidance on many factors such as measurement capabilities, communications reliability, pipeline operating condition, and product type. PHMSA reviews this information during pipeline inspections. The information supports pipeline inspection and improves pipeline safety by providing early detection of a pipeline leak.

The PHMSA delegation of authority is found in 49 CFR 1.97 which allows for PHMSA to exercise the authority vested in the Secretary in under Chapter 601 of title 49, U.S.C.

2. How, by whom, and for what purpose the information is to be used.

The information collection provides PHMSA with the information necessary to evaluate the risk posed by these lines. PHMSA will use the information provided in the reports to more accurately assess the risks to pipeline infrastructure, understand emerging safety related trends, and identify opportunities for improving the regulatory system for rural low-stress pipeline.

The information collected on by incorporating the industry standard on leak detection will be used by operators, PHMSA and State agencies to ensure the integrity of computational pipeline monitoring systems. Computational Pipeline Monitoring (CPM) systems use an algorithmic approach to detect hydraulic anomalies in pipeline operating parameters. PHMSA does not require these systems. However, if these systems are used, the operators must maintain system records in accordance with the specified requirements.

3. Extent of automated information collection.

By nature these systems are fully automated. PHMSA Forms 7000.1 Hazardous Liquid Accident Report may be submitted electronically on-line on the PHMSA website. PHMSA encourages the use of electronic technology and PHMSA expects at least 95 percent of data collection and reporting to be completed electronically.

4. Efforts to identify duplication.

There is no duplication of this information, as the recordkeeping is not required by any other source. The information collected and records kept are reflective of specific situations. Each operator system is unique and information derived from one may not be inferred to another.

5. Efforts to minimize the burden on small businesses.

The burden has been made as simple as possible. PHMSA expects impacted operators to be large and small businesses. For PHMSA to be able to effectively carry out its legislative mandate and monitor natural gas pipeline safety, it is essential that both large and small operators of pipelines provide incident reports.

As for the incorporation of the industry standard when using computerized leak detection systems, the use of these systems is not mandated and is at the discretion of the operator.

6. Impact of less frequent collection of information.

It is not possible to conduct the collection less frequently and still ensure the necessary level of safety to life and property inherent in transporting hazardous materials. PHMSA would not be able to adequately assess potential risks associated with these pipelines, which could potentially be detrimental to the pipeline safety and the protection of the environment. Therefore, less frequent information collection could compromise the safety of the U.S. pipeline system and the environment.

7. Special circumstances.

This collection of information is generally conducted in a manner consistent with the guidelines in 5 CFR 1320.5(d)(2). There are three anticipated potential special circumstance regarding information collection: (1) A special circumstance could occur if an operator has more than one low-stress pipeline incident or accident within an officially recognized business quarter; (2) An operator may have an accident or incident in the same quarter as their annual report is submitted; and (3) More than a single safety-related condition within a single business quarter is also possible. Operators’ safety measures and vigilance can avoid such circumstances. As such, PHMSA does not mandate information collection occur twice within a single quarter.

Other than the special circumstances detailed above which relate to the reporting of hazardous liquid accidents, there are no special circumstances affecting this information collection activity.

8. Compliance with 5 CFR 1320.8.

A Federal Register notice with a 60-day comment period was published on April 23, 2013 (78 FR 23972). PHMSA received 1 joint comment from API/AOPL. This comment was summarized and addressed in the 30-day Federal Register notice (attached) that was published on September 11, 2013 (78 FR 55775). During the 30 day comment period allotted for this notice, PHMSA received 1 joint comment from API/AOPL. PHMSA’s response to this comment is attached in the supplementary document section included with this submission.

9. Payments or gifts to respondents.

There is no payment or gift provided to respondents associated with this collection of information.

10. Assurance of confidentiality.

PHMSA does not have the authority to assure confidentiality.

11. Justification for collection of sensitive information.

The requirements of this information collection do not involve questions of a sensitive nature.

12. Estimate of burden hours for information requested.

Estimated Revised Annual Burden Hours:

52,429 hours

Written plans for HL operator telephonic notification of accident (447 responses/ 2,682 hours).

PHMSA assumes that approximately 335 HL pipeline operators will be impacted by the requirement for operators to have and use a procedure to calculate and report a reasonable initial estimate of released product. Since these operators submit 447 annual reports, PHMSA estimates that each report represents a separate facility and therefore, a separate procedure. PHMSA estimates that it will take approximately 6 hours to develop and maintain each procedure on an annual basis. The total burden will be approximately 2,682 hours (447 * 6) each year.

Accident Reporting (PHMSA Form 7000-1) (400 responses/4,000 hours- additional 1,000 hours)

Currently, PHMSA estimates that 400 accident reports (responses) are submitted each year. PHMSA estimates half of the reports (200) will take approximately 10 hours to file. The remaining 200 responses are estimated to be for small releases which are estimated to take 5 hours to file. For accidents involving a “small release” (release between 5 gallons and 5 barrels), only certain parts of the revised form are required to be filled out. Of the total 400 accident forms submitted 200 are “small release” reports. This resulted in a burden of 3,000 hours (200 responses * 10 hours) + (200* 5 hours).

PHMSA is revising the accident report to eliminate the difference between reporting times for large and small spills. Therefore, PHMSA estimates that all reports (400) will take approximately 10 hours to file. This action will result in a burden hour estimate of 4,000 hours (400 responses * (10) with an overall increase of 1,000 hours.

Inclusion of OMB Control No.: 2137-0598: “Incorporation by Reference of Industry Standard on Leak Detection” (50 responses/100 hours)

In an effort to consolidate similar information collections, PHMSA is merging the information collection relative to leak detection under OMB Control 2137-0598 with this information collection (2137-0047). PHMSA estimates that there are 50 operators in the U.S. using CPM systems. Each of these respondents will make one submission per year for an annual total of 50 responses. It takes approximately 2 hours of an engineer’s time to record and prepare the test results for an industry total of 100 hours (50 x 2 hours = 100 hours). This will add 50 respondents and 100 burden hours to this information collection.

The resulting total is

[Telephonic plan (2,682 hours) + Accident Reporting (4,000 hours) + Leak Detection (100 hour) +Recordkeeping (48,647)]

The overall average burden hour estimate for HL operators is 156.5 hours (52,429 hours /335 operators).

Total Burden Hours

With the changes detailed above, PHMSA has estimated an increase of 1,100 burden hours to this information collection

Estimated Annual Burden Hours:

51,329 hours (Currently Approved)

1,000 hours (Accident reporting)

+ 100 hours (addition of OMB Control No. 2137-0598)

52,429 hours Total

13. Estimate of total annual costs to respondents.

The expected costs associated with the burden hours are assumed to be filled out by a senior engineer whose fully-loaded hourly cost (i.e., salary plus overhead) is estimated to $64 x 52,429 hours = $3,355,456.00.

14. Estimate of cost to the Federal government.

PHMSA spends an estimated cost of $61,325 to operate and maintain this information collection. Operations and maintenance includes PRA compliance, interface improvements, database management, planning, revisions, and customer service.

	Monthly Average (hours)	Hourly Rate	Annual Hours	Total Costs
Salary Costs	2	$38.82/hr.	24	$930
Contracting Costs Haz. Liquid Accident Forms	39	$128.50/hr.	470	$60,395
TOTAL				$61,325

15. Explanation of program changes or adjustments.

PHMSA is revising the Hazardous Liquid Accident report to improve the granularity and efficiency of the data collected. Among the changes proposed, PHMSA seeks to collect more information on small spills in an effort to accurately measure their impact on the environment and surrounding areas.

In 2002, PHMSA revised the accident reporting regulations in 49 CFR Part 195.50 to require reports for spills greater than 5 gallons.  Previously, only spills greater than 5 barrels, and in some cases 50 barrels, had been required.  Also in 2002, the accident reporting form was revised to collect the reports.  In order to reduce the reporting burden, PHMSA collected fewer data elements for small spills - at least 5 gallons but less than 5 barrels with no additional consequences such as, a release in the water, or a fire or explosion, and property damage less than or equal to $50,000, and no death or injury involved.  When PHMSA revised the accident report form in 2010, we continued collecting fewer data elements for small spills – even though we had the regulatory authority to collect all data elements for all spills since 2002.  The required fields for small spills have been shown on the form with grey shading.

For accidents reported for calendar years 2011 and 2012, 47% of the reports were for small spills.  As PHMSA has begun analyzing the 2010 and forward data, we are limited by the lack of data for the small spills.  PHMSA is proposing to collect the same data for all releases. The number of additional fields for each report depends on the unique circumstances of each accident.  For example, if a small spill resulted in a pipeline shutdown, the operator would also report data about when the shutdown occurred and when the pipeline was restarted.  If a small spill does not result in a pipeline shutdown, no additional data would be collected.  In Part B, operators would report one additional “layer” of data about the area of the accident.  In Part C, operators report details about the item involved in the accident.  If a small spill occurs on pipe, valve, or tank, PHMSA is proposing to collect additional data needed for the analysis of accidents involving these items.  PHMSA does not expect small spills to have extensive environmental impacts, however PHMSA is unable to verify this expectation since all of the consequence information in Part D is not completed for small spills.  In Part E, operators must report data about operating pressure, valve changes in response to the accident, and the detection of the accident.  These data elements are important for all spills, not just small spills.  Part F data on drug and alcohol tests for small spills is needed to develop a complete picture of post-accident testing in the hazardous liquid pipeline industry.  Depending on the cause of the small spill, additional data elements about the cause would be collected.

Accident reports are used for identifying long- and short-term trends at the national, state and operator-specific levels. The frequency, causes, and consequences of the accidents provide insight into the safety metrics currently used by PHMSA, state partners, and other pipeline safety stakeholders, including the pipeline industry and general public. PHMSA also uses the data for inspection planning and risk assessment.

PHMSA also intends to require certain data fields such as the NRC report number, the name of the City/County where an accident takes place, and the name of the person who prepares the accident report. These fields were previously requested but not required. By requiring them, PHMSA will be able to fill in some of the missing pieces and improve our response efforts.

16. Publication of results of data collection.

The results of the accident reports will be summarized and posted on PHMSA’s website.

17. Approval for not displaying the expiration date for OMB approval.

PHMSA is not seeking approval to not display the expiration date.

18. Exceptions to certification statement.

There is no exception to PHMSA’s certification of this request for information collection approval.

Attachments:

Attachment	Description
30 Day FR notice	(as described)
PHMSA’s Response to the 30 Day Comments	Responds to Comments and discusses edits to form
Red-lined (tracked changes) Forms/Instructions for Hazardous Liquid Accident Report incl. instructions	This shows the edited forms with tracked changes.

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