H.R. 4937 — what changed
Protecting our Infrastructure of Pipelines and Enhancing Safety Act of 2016
From Introduced in House to Reported in House. 8 sections amended and 3 added between Introduced in House and Reported in House.
Sec. 2 Authorization of appropriations
Gas and hazardous liquid— Section 60125(a) of title 49, United States Code is amended—
in paragraph (1) by striking “there is authorized to be appropriated to the Department of Transportation for each of fiscal years 2012 through 2015, from fees collected under section 60301, $90,679,000, of which $4,746,000 is for carrying out such section 12 and $36,194,000 is for making grants.” and inserting the following:
“(A) $124,500,000 for fiscal year 2016, of which $9,000,000 shall be expended for carrying out such section 12 and $39,385,000 shall be expended for making grants;
“(B) $128,000,000 for fiscal year 2017 of which $9,000,000 shall be expended for carrying out such section 12 and $41,885,000 shall be expended for making grants;
“(C) $131,000,000 for fiscal year 2018, of which $9,000,000 shall be expended for carrying out such section 12 and $44,885,000 shall be expended for making grants; and
“(D) $134,000,000 for fiscal year 2019, of which $9,000,000 shall be expended for carrying out such section 12 and $47,885,000 shall be expended for making grants.”
in paragraph (2) by striking “there is authorized to be appropriated for each of fiscal years 2012 through 2015 from the Oil Spill Liability Trust Fund to carry out the provisions of this chapter related to hazardous liquid and section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note; Public Law 107–355), $18,573,000, of which $2,174,000 is for carrying out such section 12 and $4,558,000 is for making grants.” and inserting the following:
“(A) $22,123,000 for fiscal year 2016, of which $3,000,000 shall be expended for carrying out such section 12 and $8,067,000 shall be expended for making grants;
“(B) $22,123,000 for fiscal year 2017, of which $3,000,000 shall be expended for carrying out such section 12 and $8,067,000 shall be expended for making grants;
“(C) $23,000,000 for fiscal year 2018, of which $3,000,000 shall be expended for carrying out such section 12 and $8,067,000 shall be expended for making grants; and
“(D) $23,000,000 for fiscal year 2019, of which $3,000,000 shall be expended for carrying out such section 12 and $8,067,000 shall be expended for making grants.”
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Operational expenses— There are authorized to be appropriated to the Secretary of Transportation for the necessary operational expenses of the Pipeline and Hazardous Materials Safety Administration the following amounts:
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$21,000,000 for fiscal year 2016;2016.
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$22,000,000 for fiscal year 2017;2017.
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$22,000,000 for fiscal year 2018; and2018.
$23,000,000 for fiscal year 2019.
added
One-Call notification programs—
added
In general— Section 6107 of title 49, United States Code, is amended to read as follows:
added “6107. Funding
added “Of the amounts provided under section 60125(a)(1), the Secretary shall withhold $1,058,000 for each of fiscal years 2016 through 2019 to carry out section 6106.”
added
Clerical amendment— The analysis for chapter 61 of title 49, United States Code, is amended by striking the item relating to section 6107 and inserting the following:
removed
One-Call notification programs— Section 6107(a) of title 49, United States Code, is amended to read as follows: “Of the amounts provided under section 60125(a)(1), the Secretary shall withhold $1,058,000 for each of fiscals years 2016 through 2019 to carry out this section.”.
Pipeline safety information grants to communities— The first sentence of section 60130(c) of title 49, United States Code, is amended to read as follows: “Of the amounts made available under section 2(b) of the PIPES Act of 2016, the Secretary shall withhold $1,500,000 for each of fiscal years 2016 through 2019 to carry out this section.”
Pipeline integrity program— Section 12(f) of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note) is amended by striking “2012 through 2015” and inserting “2016 through 2019”.
Sec. 3 Failure of PHMSA to implement statutory mandates
Report by the Inspector General— Not later than 45 days after the date of enactment of this Act, the Inspector General of the Department of Transportation shall submit to the Secretary of Transportation, the Administrator of the Pipeline and Hazardous Materials Safety Administration, the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives, and the Committee on Commerce, Science, and Transportation of the Senate a report containing the following:
A list of each statutory mandate contained in the Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011 (Public Law 112–90) that has not been implemented.
A list of each statutory mandate regarding pipeline safety from this Act and all other Acts enacted prior to the date of enactment of this Act, other than those contained in the Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011 (Public Law 112–90), that has not been implemented.
Reports by the Secretary—
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Statutory mandates— Not later than 90 days after the date of enactment of this Act, and every 60 90 days thereafter until each of the mandates listed pursuant to subsection (a) has been implemented, the Secretary shall submit to the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report on the specific actions taken to implement such mandates.
Public availability— The Secretary shall make the report referred to in paragraph (1) publicly available on the Department of Transportation’s Internet Web site.
Contents of reports— The reports shall provide, for each mandate listed pursuant to subsection (a)—
a description of the mandate;
the deadline imposed for the mandate;
the status of the implementation of the mandate;
a detailed explanation of the reasons the mandate has not been implemented, including a description of any actions taken by the Administrator of the Pipeline and Hazardous Materials Safety Administration, the Office of the Secretary, or the Office of Management and Budget that delayed implementation of the mandate;
an estimated completion date for the mandate;
the specific date on which any draft, interim, or final guidance, advisory, report, advance notice of proposed rulemaking, notice of proposed rulemaking, final rule, or other document required to implement the mandate was sent to the Secretary by the Administrator for review and subsequently transmitted by the Secretary or the Administrator to the Office of Management and Budget;
a description of each concern with a document described under subparagraph (F) raised by the Secretary or the Office of Management and Budget; and
the date and reasons the Secretary or the Office of Management and Budget requested any extension on acting on the mandate, including an extension authorized by Executive Order 12866.
Sec. 4 Natural gas integrity management review
Report— Not later than 18 months after the publication of a final rule regarding the safety of gas transmission pipelines related to the notice of proposed rulemaking issued on April 8, 2016, titled “Pipeline Safety: Safety of Gas Transmission and Gathering Pipelines” (81 Fed. Reg. 20721), the Comptroller General of the United States shall submit to the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report regarding the natural gas integrity management programs required under section 60109(c) of title 49, United States Code.
Contents— The report required under subsection (a) shall include—
an analysis of the extent to which the natural gas integrity management programs required under section 60109(c) of title 49, United States Code, have improved the safety of natural gas transmission pipeline facilities;
an analysis and recommendations, taking into consideration technical, operational, and economic feasibility, regarding changes to the programs to improve safety, prevent inadvertent releases from pipelines, and mitigate any adverse consequences of an inadvertent release, including changes to the definition of high consequence area, or expanding integrity management beyond high consequence areas;
a review of the benefits, including safety benefits, and cost effectiveness of the legacy class location regulations;
an analysis of, and recommendations regarding, what impact pipeline features and conditions, including the age, condition, materials, and construction of a pipeline, have on safety and risk analysis of a particular pipeline;
a description of any challenges affecting Federal or State regulators in the oversight of natural gas transmission pipeline facilities and how the challenges are being addressed; and
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a description of any challenges affecting the natural gas industry in complying with the programs, and how the challenges are being addressed, including any challenges faced by publicly-owned publicly owned natural gas distribution systems.
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Definition of high consequence area— In this section, the term “high consequence area” has the meaning given the term in section 195.450 192.903 of title 49, Code of Federal Regulations (as in effect on the date of enactment of this Act).
Sec. 12 Underground natural gas storage facilities
Defined term— Section 60101(a) of title 49, United States Code, is amended—
in paragraph (21)(B) by striking the period at the end and inserting a semicolon;
in paragraph (22)(B)(iii) by striking the period at the end and inserting a semicolon;
in paragraph (24) by striking “and” at the end;
in paragraph (25) by striking the period at the end and inserting “; and”; and
by adding at the end the following:
“(26) “underground natural gas storage facility” means a gas pipeline facility that stores gas in an underground facility, including—
“(A) a depleted hydrocarbon reservoir;
“(B) an aquifer reservoir; or
“(C) a solution-mined salt cavern reservoir.”
Standards for underground natural gas storage facilities— Chapter 601 of title 49, United States Code, is amended by adding at the end the following:
“60141. Standards for underground natural gas storage facilities
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“(a) Minimum safety standards—Not later than 2 years after the date of enactment of the PIPES Act of 2016, the Secretary of Transportation, Secretary, in consultation with the heads of other relevant Federal agencies, shall issue minimum safety standards for underground natural gas storage facilities.
“(b) Considerations—In developing the safety standards required under subsection (a), the Secretary shall, to the extent practicable—
“(1) consider consensus standards for the operation, environmental protection, and integrity management of underground natural gas storage facilities;
“(2) consider the economic impacts of the regulations on individual gas customers; and
“(3) ensure that the regulations do not have a significant economic impact on end users.
“(c) Rules of construction
“(1) In general—Nothing in this section may be construed to affect any Federal regulation relating to gas pipeline facilities that is in effect on the day before the date of enactment of the PIPES Act of 2016.
“(2) Limitations—Nothing in this section may be construed to authorize the Secretary—
“(A) to prescribe the location of an underground natural gas storage facility; or
“(B) to require the Secretary’s permission to construct a facility referred to in subparagraph (A).
“(d) Preemption—A State authority may adopt additional or more stringent safety standards for intrastate underground natural gas storage facilities if such standards are compatible with the minimum standards prescribed under this section.”
User fees— Chapter 603 of title 49, United States Code, is amended by inserting after section 60301 the following:
“60302. User fees for underground natural gas storage facilities
“(a) In general—A fee shall be imposed on an entity operating an underground natural gas storage facility pursuant to section 60141. Any such fee imposed shall be collected before the end of the fiscal year to which it applies.
“(b) Means of collection—The Secretary of Transportation shall prescribe procedures to collect fees under this section. The Secretary may use a department, agency, or instrumentality of the United States Government or of a State or local government to collect the fee and may reimburse the department, agency, or instrumentality a reasonable amount for its services.
“(c) Use of fees
“(1) Account—There is established an Underground Natural Gas Storage Facility Safety Account in the Pipeline Safety Fund established in the Treasury of the United States under section 60301.
“(2) Use of fees—A fee collected under this section—
“(A) shall be deposited in the Underground Natural Gas Storage Facility Safety Account; and
“(B) if the fee is related to an underground natural gas storage facility pursuant to section 60141, the amount of the fee may be used only for an activity related to underground natural gas storage safety.
“(3) Limitation—Amounts collected under this section shall be made available only to the extent provided in advance in an appropriations Act for an activity related to underground natural gas storage safety.”
Clerical amendments—
Chapter 601— The table of sections for chapter 601 of title 49, United States Code, is amended by adding at the end the following:
Chapter 603— The table of sections for chapter 603 of title 49, United States Code, is amended by inserting after the item relating to section 60301 the following:
Sec. 14 Safety data sheets
In general— Each owner or operator of a hazardous liquid pipeline facility, following an accident or incident involving such pipeline facility, shall provide safety data sheets on any spilled oil to the designated Federal On-Scene Coordinator and appropriate State officials within 6 hours of a telephonic or electronic notice of the accident or incident to the National Response Center.
Definitions— In this section:
Federal On-Scene Coordinator— The term “Federal On-Scene Coordinator” has the meaning given such term in section 311(a) of the Federal Water Pollution Control Act (33 U.S.C. 1321(a)).
National Response Center— The term “National Response Center” means the center described under section 300.125(a) of title 40, Code of Federal Regulations.
added
Safety data sheet— The term “safety data sheet” means a safety data sheet required under section 1910.1200 of title 29, Code of Federal Regulations.
Sec. 16 Emergency order authority
Section 60117 of title 49, United States Code, is amended by adding at the end the following:
“(o) Emergency order authority
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“(1) In general—If the Secretary determines that a violation of a provision of this chapter, or a regulation issued pursuant to this chapter, or an unsafe condition or practice, or a combination of unsafe conditions and practices, constitutes or is causing an imminent hazard, the Secretary may impose emergency restrictions, prohibitions, and safety measures by issuing issue an emergency order described in paragraph (3) imposing emergency restrictions, prohibitions, and safety measures on owners and operators of gas or hazardous liquid pipeline facilities without prior notice or an opportunity for a hearing, but only to the extent necessary to abate the imminent hazard.
“(2) Considerations—Before issuing an emergency order under paragraph (1), the Secretary shall consider, after consultation with appropriate Federal agencies, State agencies, or other entities, the following, as appropriate:
“(A) The impact of the emergency order on public health and safety.
“(B) The impact, if any, of the emergency order on the national or regional economy or national security.
“(C) The impact of the emergency order on owners and operators of pipeline facilities.
“(3) Written order—An emergency order issued by the Secretary pursuant to paragraph (1) with respect to an imminent hazard shall contain a written description of—
“(A) the violation, condition, or practice that constitutes or is causing the imminent hazard;
“(B) the entities subject to the order;
“(C) the restrictions, prohibitions, or safety measures imposed;
“(D) the standards and procedures for obtaining relief from the order;
“(E) how the order is tailored to abate the imminent hazard and the reasons the authorities under section 60112 and 60117(l) are insufficient to do so; and
“(F) how the considerations were taken into account pursuant to subsection (2).
“(4) Opportunity for review—Upon receipt of a petition for review from an entity subject to, and adversely affected by, an emergency order issued under this subsection, the Secretary shall provide an opportunity for a review of the order under section 554 of title 5 to determine whether the order should remain in effect, be modified, or be terminated.
“(5) Expiration of effectiveness order—If a petition for review of an emergency order is filed under paragraph (4) and an agency decision with respect to the petition is not issued on or before the last day of the 30-day period beginning on the date on which the petition is filed, the order shall cease to be effective on such day, unless the Secretary determines in writing on or before the last day of such period that the imminent hazard still exists.
changed
“(6) Judicial review of orders—After completion of a final agency action under the review process described in paragraph (4) (4), or the issuance of a written determination by the Secretary pursuant to paragraph (5), an entity subject to, and adversely affected by, an emergency order issued under this subsection may seek judicial review of the order in a district court of the United States and shall be given expedited consideration.
“(7) Regulations
“(A) Temporary regulations—Not later than 60 days after the date of enactment of the PIPES Act of 2016, the Secretary shall issue such temporary regulations as are necessary to carry out this subsection. The temporary regulations shall expire on the date of issuance of the final regulations required under subparagraph (B).
changed
“(B) Final regulations—Not later than 270 days after such date of enactment, the Secretary shall issue such regulations as are necessary to carry out this subsection. Such regulations shall ensure that the review process described in paragraph (4) is consistent with contains the review process developed under same procedures as subsections (d) and (g) of section 109.19 of title 49, Code of Federal Regulations, and is otherwise consistent with the review process developed under such section, to the greatest extent practicable and not inconsistent with this section.
changed
“(8) Imminent hazard defined—In this subsection, the term “imminent hazard” means the existence of a condition relating to a gas or hazardous liquid pipeline facility that presents—presents a substantial likelihood that death, serious illness, severe personal injury, or a substantial endangerment to health, property, or the environment may occur before the reasonably foreseeable completion date of a formal proceeding begun to lessen the risk of such death, illness, injury, or endangerment.
removed
“(A) a substantial likelihood that death, serious illness, or severe personal injury may occur; or
removed
“(B) a substantial endangerment to health, property, or the environment.
“(9) Limitation and savings clause—An emergency order issued under this subsection may not be construed to—
“(A) alter, amend, or limit the Secretary’s obligations under, or the applicability of, section 553 of title 5; or
“(B) provide the authority to amend the Code of Federal Regulations.”
Sec. 17 State grant funds
Payments— Section 60107(b) of title 49, United States Code, is amended to read as follows:
“(b) Payments—After notifying and consulting with a State authority, the Secretary may withhold any part of a payment when the Secretary decides that the authority is not carrying out satisfactorily a safety program or not acting satisfactorily as an agent. The Secretary may pay an authority under this section only when the authority ensures the Secretary that it will provide the remaining costs of a safety program, unless the Secretary waives the requirement to provide such remaining costs.”
Repurposing of funds— Section 60107 is amended by adding at the end the following:
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“(e) Repurposing of funds—If a State program’s certification is rejected under section 60105(f) or such program is otherwise suspended or interrupted, the Secretary may use any undistributed, deobligated deobligated, or recovered funds authorized under this section to carry out pipeline safety activities for that State within the period of availability for such funds.”
Sec. 21 Study of materials and corrosion prevention in pipeline transportation
changed
In General— Not later than 2 years after the date of enactment of the PIPES Act of 2016, the Comptroller General of the United States shall submit to the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a study on materials materials, training, and corrosion prevention technologies used in pipeline transportation.
changed
Requirements— The study required under subsection (a) shall include:include—
the range of piping materials, including plastic materials, used to transport hazardous liquids and natural gas in the United States and in other developed countries around the world;
changed
the types of technologies used for corrosion prevention; andprevention;
added
an evaluation of the adequacy of training provided to personnel responsible for identifying and preventing corrosion in pipelines, and for repairing such pipelines; and
renumbered
was (3)(5)
an analysis of the costs and benefits, including safety benefits, associated with the use of such materials and technologies.
Sec. 22 Research and development
added
added
In general— Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall submit to the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report regarding the Pipeline and Hazardous Materials Safety Administration’s research and development program established under section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note). The report shall include an evaluation of—
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compliance with the consultation requirement under subsection (d)(2) of such section;
added
the extent to which the Pipeline and Hazardous Materials Administration enters into joint research ventures with Federal and non-Federal entities, and benefits thereof;
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the policies and procedures the Pipeline and Hazardous Materials Safety Administration has put in place to ensure there are no conflicts of interest with administering grants to grantees under the program, and whether those policies and procedures are being followed; and
added
an evaluation of the outcomes of research conducted with Federal and non-Federal entities and the degree to which such outcomes have been adopted or utilized.
added
Collaborative safety research report—
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Biennial reports— Section 60124(a)(6) of title 49, United States Code, is amended—
added
in subparagraph (A), by striking “and” at the end;
added
in subparagraph (B), by striking the period at the end and inserting “; and”; and
added
by adding at the end the following:
added “(C) a summary of each research project carried out with Federal and non-Federal entities pursuant to section 12 of the Pipeline Safety Improvement Act of 2002 and a review of how intended improvements impact safety.”
added
Pipeline Safety Improvement Act— Section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note) is amended—
added
in subsection (d)(3)(C)—
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by striking “program-wide” and inserting “technology”;
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by striking “are” and inserting “may be”;
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by striking “The Secretary” and inserting “(i) The Secretary”; and
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by adding at the end the following:
added “(ii) at least 20 percent of the costs of basic research and development with universities may be carried out using non-Federal sources; and
added “(iii) up to 100 percent of the costs of research and development for purely governmental purposes may be carried out using Federal funds.”
added
by adding at the end the following:
added “(h) Independent experts—Not later than 180 days after the date of enactment of the PIPES Act of 2016, the Secretary shall—
added “(1) implement processes and procedures to ensure that projects listed under subsection (c), to the greatest extent practicable, produce results that are factual and peer-reviewed by independent experts and not with persons or entities that have a financial interest in the pipeline, petroleum, or natural gas industries, or that would be directly impacted by the results of the projects; and
added “(2) submit to the Committee on Transportation and Infrastructure and the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report on the implementation of the processes and procedures required under paragraph (1).
added “(i) Conflict of interest—The Secretary shall take all practical steps to ensure that each recipient of an agreement under this section discloses in writing to the Secretary any conflict of interest on a research and development project carried out under this section, and includes any such disclosure as part of the final deliverable pursuant to such agreement. The Secretary may not make an award under this section directly to a pipeline owner or operator that is regulated by the Pipeline and Hazardous Materials Safety Administration or a State-certified regulatory authority.”
Sec. 23 Active and abandoned pipelines
addedadded Not later than 90 days after the date of enactment of this Act, the Secretary of Transportation shall issue formal guidance to owners and operators of gas or hazardous liquid pipeline facilities and applicable State regulatory authorities regarding the actions, including those required by Federal regulation, required to change the status of a pipeline facility from active to abandoned, including specific guidance on the definition of each pipeline status referred to in such formal guidance.
Sec. 24 State pipeline safety agreements
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added
Study— Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall complete a study on State pipeline safety agreements made pursuant to section 60106 of title 49, United States Code. Such study shall consider the following:
added
The integration of Federal and State or local authorities in carrying out activities pursuant to an agreement under such section.
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The overall cost of Federal and State authorities carrying out inspection activities pursuant to agreements under such section.
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The overall cost of the Pipeline and Hazardous Materials Safety Administration carrying out interstate inspections without the existence of interstate agreements with the States pursuant to such section.
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Notice requirement for denial— Section 60106(b) of title 49, United States Code, is amended by adding at the end the following:
added “(4) Notice upon denial—If a State authority requests an interstate agreement under this section and the Secretary denies such request, the Secretary shall provide written notification to the State authority of the denial that includes an explanation of the reasons for such denial.”