112TH CONGRESS REPT. 112–297 " ! HOUSE OF REPRESENTATIVES 1st Session Part 1 

PIPELINE SAFETY, REGULATORY CERTAINTY, AND JOB 

CREATION ACT OF 2011 

DECEMBER 1, 2011.—Committed to the Committee of the Whole House on the State 

of the Union and ordered to be printed 

Mr. MICA, from the Committee on Transportation and 

Infrastructure, submitted the following 

R E P O R T 

[To accompany H.R. 2845] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Transportation and Infrastructure, to whom 

was referred the bill (H.R. 2845) to amend title 49, United States 

Code, to provide for enhanced safety and environmental protection 

in pipeline transportation, to provide for enhanced reliability in the 

transportation of the Nation’s energy products by pipeline, and for 

other purposes, having considered the same, report favorably thereon with an amendment and recommend that the bill as amended 

do pass. 

CONTENTS 

Page 

Purpose of the Legislation and Summary ............................................................. 10 

Background and Need for the Legislation ............................................................. 10 

Legislative History .................................................................................................. 11 

Hearings ................................................................................................................... 11 

Committee Votes ...................................................................................................... 12 

Committee Oversight Findings ............................................................................... 12 

New Budget Authority and Tax Expenditures ...................................................... 12 

Congressional Budget Office Cost Estimate .......................................................... 12 

Performance Goals and Objectives ......................................................................... 16 

Advisory on Earmarks ............................................................................................. 16 

Federal Mandates Statement ................................................................................. 16 

Preemption Clarification ......................................................................................... 16 

Advisory Committee Statement .............................................................................. 16 

Applicability to the Legislative Branch ................................................................. 16 

Section-by-Section Analysis .................................................................................... 17 

Changes in Existing Law Made by the Bill, as Reported ..................................... 21 

Exchange of Letters ................................................................................................. 32 

The amendment is as follows: 


PWALKER on DSK7TPTVN1PROD with REPORTS
2 

Strike all after the enacting clause and insert the following: 

SECTION 1. SHORT TITLE; AMENDMENT OF TITLE 49, UNITED STATES CODE; DEFINITIONS; 

TABLE OF CONTENTS. 

(a) SHORT TITLE.—This Act may be cited as the ‘‘Pipeline Safety, Regulatory Certainty, and Job Creation Act of 2011’’. 

(b) AMENDMENT OF TITLE 49, UNITED STATES CODE.—Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in 

terms of an amendment to, or a repeal of, a section or other provision, the reference 

shall be considered to be made to a section or other provision of title 49, United 

States Code. 

(c) DEFINITIONS.—Any term used in this Act that is defined in chapter 601 of title 

49, United States Code, shall have the meaning given that term in that chapter. 

(d) TABLE OF CONTENTS.—The table of contents for this Act is as follows: 

Sec. 1. Short title; amendment of title 49, United States Code; definitions; table of contents. 

Sec. 2. Civil penalties. 

Sec. 3. Pipeline damage prevention. 

Sec. 4. Automatic and remote-controlled shut-off valves. 

Sec. 5. Integrity management. 

Sec. 6. Public education and awareness. 

Sec. 7. Cast iron gas pipelines. 

Sec. 8. Leak detection. 

Sec. 9. Accident and incident notification. 

Sec. 10. Transportation-related onshore facility response plan compliance. 

Sec. 11. Transportation-related oil flow lines. 

Sec. 12. Cost recovery for design reviews. 

Sec. 13. Biofuel pipelines. 

Sec. 14. Carbon dioxide pipelines. 

Sec. 15. Study of transportation of diluted bitumen. 

Sec. 16. Study of non-petroleum hazardous liquids transported by pipeline. 

Sec. 17. Clarifications. 

Sec. 18. Maintenance of effort. 

Sec. 19. Administrative enforcement process. 

Sec. 20. Gas and hazardous liquid gathering lines. 

Sec. 21. Authorization of appropriations. 

SEC. 2. CIVIL PENALTIES. 

(a) GENERAL PENALTIES; PENALTY CONSIDERATIONS.—Section 60122 is amended— 

(1) in subsection (a)(1)— 

(A) in the first sentence by striking ‘‘$100,000’’ and inserting ‘‘$175,000’’; 

and 

(B) in the last sentence by striking ‘‘$1,000,000’’ and inserting 

‘‘$1,750,000’’; and 

(2) in subsection (b)(1)(B) by striking ‘‘the ability to pay,’’. 

(b) OPERATOR ASSISTANCE IN INVESTIGATIONS.—Section 60118(e) is amended to 

read as follows: 

‘‘(e) OPERATOR ASSISTANCE IN INVESTIGATIONS.— 

‘‘(1) ASSISTANCE AND ACCESS.—If the Secretary or the National Transportation 

Safety Board investigates an accident involving a pipeline facility, the operator 

of the facility shall— 

‘‘(A) make available to the Secretary or the Board all records and information that in any way pertain to the accident (including integrity management plans and test results); and 

‘‘(B) afford all reasonable assistance in the investigation of the accident. 

‘‘(2) OPERATOR ASSISTANCE IN INVESTIGATIONS.— 

‘‘(A) IN GENERAL.—The Secretary may impose a civil penalty under section 60122 on a person who obstructs or prevents the Secretary from carrying out inspections or investigations under this chapter. 

‘‘(B) DEFINITIONS.—In this paragraph, the following definitions apply: 

‘‘(i) OBSTRUCTS.—The term ‘obstructs’ includes actions that were 

known, or reasonably should have been known, to prevent, hinder, or 

impede an investigation without good cause. 

‘‘(ii) GOOD CAUSE.—The term ‘good cause’ includes, at a minimum, restricting access to facilities that are not secure or safe for non-pipeline 

personnel or visitors.’’. 

(c) ADMINISTRATIVE PENALTY CAPS INAPPLICABLE.—Section 60120(a)(1) is amended by adding at the end the following: ‘‘The maximum amount of civil penalties for 

administrative enforcement actions under section 60122 shall not apply to enforcement actions under this section.’’. 

(d) JUDICIAL REVIEW OF ADMINISTRATIVE ENFORCEMENT ORDERS.—Section 

60119(a) is amended— 

(1) in the subsection heading by striking ‘‘AND WAIVER ORDERS’’ and inserting 

‘‘, ORDERS, AND OTHER FINAL AGENCY ACTIONS’’; and 


PWALKER on DSK7TPTVN1PROD with REPORTS
3 

(2) by striking ‘‘about an application for a waiver under section 60118(c) or 

(d) of this title’’ and inserting ‘‘under this chapter’’. 

SEC. 3. PIPELINE DAMAGE PREVENTION. 

(a) MINIMUM STANDARDS FOR STATE ONE-CALL NOTIFICATION PROGRAMS.—Section 

6103(a) is amended to read as follows: 

‘‘(a) MINIMUM STANDARDS.— 

‘‘(1) IN GENERAL.—In order to qualify for a grant under section 6106, a State 

one-call notification program, at a minimum, shall provide for— 

‘‘(A) appropriate participation by all underground facility operators, including all government operators; 

‘‘(B) appropriate participation by all excavators, including all government 

and contract excavators; and 

‘‘(C) flexible and effective enforcement under State law with respect to 

participation in, and use of, one-call notification systems. 

‘‘(2) EXEMPTIONS PROHIBITED.—In order to qualify for a grant under section 

6106, a State one-call notification program may not exempt municipalities, 

State agencies, or their contractors from its one-call notification system requirements.’’. 

(b) STATE DAMAGE PREVENTION PROGRAMS.—Section 60134(a) is amended— 

(1) in paragraph (1) by striking ‘‘and’’ after the semicolon; 

(2) in paragraph (2)(B) by striking ‘‘(b).’’ and inserting ‘‘(b); and’’; and 

(3) by adding at the end the following: 

‘‘(3) does not provide any exemptions to municipalities, State agencies, or 

their contractors from its one-call notification system requirements.’’. 

(c) EFFECTIVE DATE.—The amendments made by this section shall take effect 2 

years after the date of enactment of this Act. 

(d) THIRD PARTY DAMAGE.— 

(1) STUDY.—The Secretary of Transportation shall conduct a study on the impact of third party damage on pipeline safety. 

(2) CONTENTS.—The study shall include— 

(A) an analysis of the frequency and severity of different types of third 

party damage incidents; 

(B) an analysis of exemptions to the one-call notification system requirements in each State; 

(C) a comparison of exemptions to the one-call notification system requirements in each State to the types of third party damage incidents in 

that State; and 

(D) an analysis of the potential safety benefits and adverse consequences 

of eliminating all exemptions for mechanized excavation from State one-call 

notification systems. 

(3) REPORT.—Not later than 2 years after the date of enactment of this Act, 

the Secretary shall submit to the House of Representatives Committee on 

Transportation and Infrastructure and Committee on Energy and Commerce 

and the Senate Committee on Commerce, Science, and Transportation a report 

on the results of the study. 

SEC. 4. AUTOMATIC AND REMOTE-CONTROLLED SHUT-OFF VALVES. 

Section 60102 is amended— 

(1) by striking subsection (j)(3); and 

(2) by adding at the end the following: 

‘‘(n) AUTOMATIC AND REMOTE-CONTROLLED SHUT-OFF VALVES FOR NEW TRANSMISSION PIPELINES.— 

‘‘(1) IN GENERAL.—The Secretary may require by regulation, if determined appropriate by the Secretary, the use of automatic or remote-controlled shut-off 

valves, or equivalent technology, where economically, technically, and operationally feasible on transmission pipeline facilities constructed or entirely replaced 

after the date on which the Secretary issues the final rule containing such requirement. 

‘‘(2) FACTORS FOR CONSIDERATION.—In determining whether to proceed with 

a rulemaking under paragraph (1), the Secretary shall consider the factors specified in subsection (b)(2).’’. 

SEC. 5. INTEGRITY MANAGEMENT. 

(a) EVALUATION.—Not later than 2 years after the date of enactment of this Act, 

the Secretary of Transportation shall evaluate— 

(1) whether integrity management system requirements, or elements thereof, 

should be expanded beyond high consequence areas; and 


PWALKER on DSK7TPTVN1PROD with REPORTS
4 

(2) with respect to gas transmission pipeline facilities, whether applying integrity management program requirements, or elements thereof, to additional 

areas would mitigate the need for class location requirements. 

(b) REPAIR CRITERIA.—In conducting the evaluation under subsection (a), the Secretary shall consider applying repair criteria, such as pressure reductions and special requirements for scheduling remediation, to areas that are not high consequence areas. 

(c) REPORT.—Based on the evaluation to be conducted under subsection (a), the 

Secretary shall submit to the House of Representatives Committee on Transportation and Infrastructure and Committee on Energy and Commerce and the Senate 

Committee on Commerce, Science, and Transportation a report containing the Secretary’s analysis and findings regarding— 

(1) expansion of integrity management requirements, or elements thereof, beyond high consequence areas; and 

(2) with respect to gas transmission pipeline facilities, whether applying the 

integrity management program requirements, or elements thereof, to additional 

areas would mitigate the need for class location requirements. 

(d) DATA REPORTING.—The Secretary shall collect any relevant data necessary to 

complete the evaluation required by subsection (a). 

(e) TECHNICAL CORRECTION.—Section 60109(c)(3)(B) is amended to read as follows: 

‘‘(B) Subject to paragraph (5), periodic reassessments of the facility, at a 

minimum of once every 7 calendar years, using methods described in subparagraph (A). Such deadline shall be extended for an additional 6 months 

if the operator submits written notice to the Secretary that includes an explanation of the need for the extension.’’. 

(f) RULEMAKING REQUIREMENTS.— 

(1) REVIEW PERIOD DEFINED.—In this subsection, the term ‘‘review period’’ 

means the period beginning on the date of enactment of this Act and ending 

on the earlier of— 

(A) the date that is 1 year after the date of completion of the report under 

subsection (c); or 

(B) the date that is 3 years after the date of enactment of this Act. 

(2) CONGRESSIONAL AUTHORITY.—In order to provide Congress the necessary 

time to review the results of the report required by subsection (c) and implement appropriate recommendations, the Secretary shall not, during the review 

period, proceed with a rulemaking to prescribe regulations described in paragraph (3). 

(3) STANDARDS.—Following the review period, the Secretary may, as appropriate, prescribe regulations that— 

(A) expand integrity management system requirements, or elements 

thereof, beyond high consequence areas; and 

(B) remove redundant class location requirements for gas transmission 

pipeline facilities that are regulated under an integrity management program adopted and implemented under section 60109(c)(2) of title 49, United 

States Code. 

(4) SAVINGS CLAUSE.— 

(A) IN GENERAL.—Notwithstanding any other provision of this subsection, 

the Secretary, during the review period, may proceed to a rulemaking to 

prescribe regulations described in paragraph (3), and may prescribe the regulations, if the Secretary determines that a condition that poses a risk to 

public safety, property, or the environment is present or an imminent hazard exists and that the rulemaking will address the risk or hazard. 

(B) IMMINENT HAZARD DEFINED.—In subparagraph (A), the term ‘‘imminent hazard’’ means the existence of a condition related to pipelines or pipeline operations that presents a substantial likelihood that death, serious illness, severe personal injury, or substantial endangerment to health, property, or the environment may occur. 

(g) REPORT TO CONGRESS ON RISK-BASED PIPELINE REASSESSMENT INTERVALS.— 

Not later than 2 years after the date of enactment of this Act, the Comptroller General of the United States shall evaluate— 

(1) whether risk-based reassessment intervals are a more effective alternative 

for managing risks to pipelines in high-consequence areas once baseline assessments are complete when compared to a 7-year reassessment interval; 

(2) the number of anomalies found in baseline assessments required under 

section 60109(c)(3)(A) of title 49, United States Code, as compared to the number of anomalies found in reassessments required under section 60109(c)(3)(B) 

of such title; and 

(3) the progress made in incorporating the recommendations in GAO Report 

06–945 and the current relevance of recommendations not incorporated to date. 


PWALKER on DSK7TPTVN1PROD with REPORTS
5 

(h) HIGH CONSEQUENCE AREA DEFINED.—In this section, the term ‘‘high consequence area’’ means an area described in section 60109(a) of title 49, United 

States Code. 

SEC. 6. PUBLIC EDUCATION AND AWARENESS. 

(a) NATIONAL PIPELINE MAPPING SYSTEM.— (1) MAP OF HIGH CONSEQUENCE AREAS.—The Secretary of Transportation 

shall— 

(A) maintain, as part of the National Pipeline Mapping System, a map 

of all designated high consequence areas (as described in section 60109(a) 

of title 49, United States Code) in which pipelines are required to meet integrity management safety regulations, excluding any proprietary or sensitive security information; and 

(B) update the map biennially. 

(2) PROGRAM TO PROMOTE AWARENESS OF NATIONAL PIPELINE MAPPING SYSTEM.—Not later than 1 year after the date of enactment of this Act, the Secretary shall develop and implement a program promoting greater awareness of 

the existence of the National Pipeline Mapping System to State and local emergency responders and other interested parties. The program shall include guidance on how to use the National Pipeline Mapping System to locate pipelines 

in communities and local jurisdictions. 

(b) INFORMATION TO EMERGENCY RESPONSE AGENCIES.— 

(1) GUIDANCE.—Not later than 18 months after the date of enactment of this 

Act, the Secretary shall issue guidance to owners and operators of pipeline facilities on the importance of providing system-specific information about their 

pipeline facilities to emergency response agencies of the communities and jurisdictions in which those facilities are located. 

(2) CONSULTATION.—Before issuing guidance under paragraph (1), the Secretary shall consult with owners and operators of pipeline facilities to determine 

the extent to which the owners and operators are already providing system-specific information about their pipeline facilities to emergency response agencies. 

SEC. 7. CAST IRON GAS PIPELINES. 

(a) FOLLOW-UP SURVEYS.—Section 60108(d) is amended by adding at the end the 

following: 

‘‘(4) Not later than December 31, 2012, and every 2 years thereafter, the Secretary 

shall conduct a follow-up survey to measure the progress that owners and operators 

of pipeline facilities have made in implementing their plans for the safe management and replacement of cast iron gas pipelines.’’. 

(b) STATUS REPORT.—Not later than December 31, 2013, the Secretary of Transportation shall transmit to the House of Representatives Committee on Transportation and Infrastructure and Committee on Energy and Commerce and the Senate 

Committee on Commerce, Science, and Transportation a report that— 

(1) identifies the total mileage of cast iron gas pipelines in the United States; 

and 

(2) evaluates the progress that owners and operators of pipeline facilities have 

made in implementing their plans for the safe management and replacement of 

cast iron gas pipelines. 

SEC. 8. LEAK DETECTION. 

(a) LEAK DETECTION REPORT.— 

(1) IN GENERAL.—Not later than 1 year after the date of enactment of this 

Act, the Secretary of Transportation shall submit to the Senate Committee on 

Commerce, Science, and Transportation and the House of Representatives Committee on Transportation and Infrastructure and Committee on Energy and 

Commerce a report on leak detection systems utilized by operators of hazardous 

liquid pipeline facilities and transportation-related flow lines. 

(2) CONTENTS.—The report shall include— 

(A) an analysis of the technical limitations of current leak detection systems, including the systems’ ability to detect ruptures and small leaks that 

are ongoing or intermittent, and what can be done to foster development 

of better technologies; and 

(B) an analysis of the feasibility of establishing technically, operationally, 

and economically feasible standards for the capability of such systems to detect leaks, and the safety benefits and adverse consequences of requiring 

operators to use leak detection systems. 

(b) RULEMAKING REQUIREMENTS.— 

(1) REVIEW PERIOD DEFINED.—In this subsection, the term ‘‘review period’’ 

means the period beginning on the date of enactment of this Act and ending 

on the earlier of— 


PWALKER on DSK7TPTVN1PROD with REPORTS
6 

(A) the date that is 1 year after the date of completion of the report under 

subsection (a); or 

(B) the date that is 2 years after the date of enactment of this Act. 

(2) CONGRESSIONAL AUTHORITY.—In order to provide Congress the necessary 

time to review the results of the report required by subsection (a) and implement appropriate recommendations, the Secretary shall not, during the review 

period, proceed with a rulemaking to prescribe regulations described in paragraph (3). 

(3) STANDARDS.—Following the review period, the Secretary may, as appropriate, prescribe regulations that— 

(A) require operators of hazardous liquid pipeline facilities to use leak detection systems; and 

(B) establish technically, operationally, and economically feasible standards for the capability of such systems to detect leaks. 

(4) SAVINGS CLAUSE.— 

(A) IN GENERAL.—Notwithstanding any other provision of this subsection, 

the Secretary, during the review period, may proceed to a rulemaking to 

prescribe regulations described in paragraph (3), and may prescribe the regulations, if the Secretary determines that a condition that poses a risk to 

public safety, property, or the environment is present or an imminent hazard exists and that the rulemaking will address the risk or hazard. 

(B) IMMINENT HAZARD DEFINED.—In subparagraph (A), the term ‘‘imminent hazard’’ means the existence of a condition related to pipelines or pipeline operations that presents a substantial likelihood that death, serious illness, severe personal injury, or substantial endangerment to health, property, or the environment may occur. 

SEC. 9. ACCIDENT AND INCIDENT NOTIFICATION. 

(a) REVISION OF REGULATIONS.—Not later than 18 months after the date of enactment of this Act, the Secretary of Transportation shall revise regulations issued 

under sections 191.5 and 195.52 of title 49, Code of Federal Regulations, to establish 

specific time limits for telephonic or electronic notice of accidents and incidents involving pipeline facilities to the Secretary and the National Response Center. 

(b) MINIMUM REQUIREMENTS.—In revising the regulations, the Secretary, at a 

minimum, shall— 

(1) establish time limits for telephonic or electronic notification of an accident 

or incident to require such notification not less than 1 hour and not more than 

2 hours after discovery of the accident or incident; 

(2) review procedures for owners and operators of pipeline facilities and the 

National Response Center to provide thorough and coordinated notification to 

all relevant State and local emergency response officials, including 911 emergency call centers, for the jurisdictions in which those pipeline facilities are located in the event of an accident or incident, and revise such procedures as appropriate; and 

(3) require such owners and operators to revise their initial telephonic or electronic notice to the Secretary and the National Response Center with an estimated amount of the product released, an estimated number of fatalities and 

injuries, if any, and any other information determined appropriate by the Secretary within 24 to 48 hours of the accident or incident, to the extent practicable. 

(c) UPDATING OF REPORTS.—After receiving revisions described in subsection 

(b)(3), the National Response Center shall update the initial report on an accident 

or incident instead of generating a new report. 

SEC. 10. TRANSPORTATION-RELATED ONSHORE FACILITY RESPONSE PLAN COMPLIANCE. 

(a) IN GENERAL.—Subparagraphs (A) and (B) of section 311(m)(2) of the Federal 

Water Pollution Control Act (33 U.S.C. 1321(m)(2)) are each amended by striking 

‘‘Administrator or’’ and inserting ‘‘Administrator, the Secretary of Transportation, 

or’’. 

(b) CONFORMING AMENDMENT.—Section 311(b)(6)(A) of the Federal Water Pollution Control Act (33 U.S.C. 1321(b)(6)(A)) is amended by striking ‘‘operating or’’ and 

inserting ‘‘operating, the Secretary of Transportation, or’’. 

SEC. 11. TRANSPORTATION-RELATED OIL FLOW LINES. 

Section 60102, as amended by this Act, is further amended by adding at the end 

the following: 

‘‘(o) TRANSPORTATION-RELATED OIL FLOW LINES.— 

‘‘(1) DATA COLLECTION.—The Secretary may collect geospatial or technical 

data on transportation-related oil flow lines, including unregulated transportation-related oil flow lines. 


PWALKER on DSK7TPTVN1PROD with REPORTS
7 

‘‘(2) TRANSPORTATION-RELATED OIL FLOW LINE DEFINED.—In this subsection, 

the term ‘transportation-related oil flow line’ means a pipeline transporting oil 

off of the grounds of the well where it originated across areas not owned by the 

producer, regardless of the extent to which the oil has been processed, if at all. 

‘‘(3) LIMITATION.—Nothing in this subsection authorizes the Secretary to prescribe standards for the movement of oil through production, refining, or manufacturing facilities, or through oil production flow lines located on the grounds 

of wells.’’. 

SEC. 12. COST RECOVERY FOR DESIGN REVIEWS. 

(a) IN GENERAL.—Section 60117(n) is amended to read as follows: 

‘‘(n) COST RECOVERY FOR DESIGN REVIEWS.— 

‘‘(1) IN GENERAL.— 

‘‘(A) REVIEW COSTS.—For any project described in subparagraph (B), if the 

Secretary conducts facility design safety reviews in connection with a proposal to construct, expand, or operate a new gas or hazardous liquid pipeline facility or liquefied natural gas pipeline facility, the Secretary may require the person proposing the project to pay the costs incurred by the Secretary relating to such reviews. If the Secretary exercises the cost recovery 

authority described in this subsection, the Secretary shall prescribe a fee 

structure and assessment methodology that is based on the costs of providing these reviews and shall prescribe procedures to collect fees under 

this subsection. The Secretary shall not collect design safety review fees 

under this chapter and section 60301 for the same design safety review. 

‘‘(B) PROJECTS TO WHICH APPLICABLE.—Subparagraph (A) applies to any 

project that— 

‘‘(i) has design and construction costs totaling at least $3,400,000,000, 

as adjusted for inflation, based on a good faith estimate developed by 

the person proposing the project; or 

‘‘(ii) uses new or novel technologies or design. 

‘‘(2) NOTIFICATION.—For any new pipeline facility construction project for 

which the Secretary will conduct design reviews, the person proposing the 

project shall notify the Secretary and provide the design specifications, construction plans and procedures, and related materials at least 120 days prior 

to the commencement of construction. If the Secretary determines that the proposed design of the project is inconsistent with pipeline safety, the Secretary 

shall provide written comments, feedback, and guidance on the project on or before the 60th day following the date of receipt of the design specifications, construction plans and procedures, and related materials for the project. 

‘‘(3) PIPELINE SAFETY DESIGN REVIEW FUND.— 

‘‘(A) ESTABLISHMENT.—There is established a Pipeline Safety Design Review Fund in the Treasury of the United States. 

‘‘(B) DEPOSITS.—The Secretary shall deposit funds paid under this subsection into the Fund. 

‘‘(C) USE.—Amounts in the Fund shall be available to the Secretary, in 

amounts specified in appropriations Acts, to offset the costs of conducting 

facility design safety reviews under this subsection. 

‘‘(4) NO ADDITIONAL PERMITTING AUTHORITY.—Nothing in this subsection shall 

be construed as authorizing the Secretary to require a person to obtain a permit 

before beginning design and construction in connection with a project described 

in paragraph (1)(B).’’. 

(b) GUIDANCE.—Not later than 1 year after the date of enactment of this Act, the 

Secretary of Transportation shall issue guidance to clarify the meaning of the term 

‘‘new or novel technologies or design’’ as used in section 60117(n) of title 49, United 

States Code, as amended by subsection (a) of this section. 

SEC. 13. BIOFUEL PIPELINES. 

Section 60101(a)(4) is amended— 

(1) in subparagraph (A) by striking ‘‘and’’ after the semicolon; 

(2) by redesignating subparagraph (B) as subparagraph (C); and 

(3) by inserting after subparagraph (A) the following: 

‘‘(B) non-petroleum fuels, including biofuels, that are flammable, toxic, or 

corrosive or would be harmful to the environment if released in significant 

quantities; and’’. 

SEC. 14. CARBON DIOXIDE PIPELINES. 

Section 60102(i) is amended to read as follows: 

‘‘(i) PIPELINES TRANSPORTING CARBON DIOXIDE.— 


PWALKER on DSK7TPTVN1PROD with REPORTS
8 

‘‘(1) MINIMUM SAFETY STANDARDS.—The Secretary shall prescribe minimum 

safety standards for the transportation of carbon dioxide by pipeline in a gaseous state. 

‘‘(2) STANDARDS APPLICABLE TO CERTAIN PIPELINES.—For pipelines that transport carbon dioxide in both a liquid and gaseous state, the Secretary shall apply 

standards, in effect on the date of enactment of the Pipeline Safety, Regulatory 

Certainty, and Job Creation Act of 2011, for the transportation of carbon dioxide 

by pipeline in a liquid state to the transportation of carbon dioxide by pipeline 

in a gaseous state.’’. 

SEC. 15. STUDY OF TRANSPORTATION OF DILUTED BITUMEN. 

Not later than 18 months after the date of enactment of this Act, the Secretary 

of Transportation shall complete a comprehensive review of hazardous liquid pipeline facility regulations to determine whether these regulations are sufficient to regulate pipeline facilities used for the transportation of diluted bitumen. In conducting 

this review, the Secretary shall conduct an analysis of whether any increase in risk 

of release exists for pipeline facilities transporting diluted bitumen. The Secretary 

shall report the results of this review to the Senate Committee on Commerce, 

Science, and Transportation and the House of Representatives Committee on Transportation and Infrastructure and Committee on Energy and Commerce. 

SEC. 16. STUDY OF NON-PETROLEUM HAZARDOUS LIQUIDS TRANSPORTED BY PIPELINE. 

The Secretary of Transportation may conduct an analysis of the transportation of 

non-petroleum hazardous liquids by pipeline facility for the purpose of identifying 

the extent to which pipeline facilities are currently being used to transport non-petroleum hazardous liquids, such as chlorine, from chemical production facilities 

across land areas not owned by the producer that are accessible to the public. The 

analysis should identify the extent to which the safety of the pipeline facilities is 

unregulated by the States and evaluate whether the transportation of such chemicals by pipeline facility across areas accessible to the public would present significant risks to public safety, property, or the environment in the absence of regulation. The results of the analysis shall be made available to the Senate Committee 

on Commerce, Science, and Transportation and the House of Representatives Committee on Transportation and Infrastructure and Committee on Energy and Commerce. 

SEC. 17. CLARIFICATIONS. 

(a) AMENDMENT OF PROCEDURES CLARIFICATION.—Section 60108(a)(1) is amended 

by striking ‘‘an intrastate’’ and inserting ‘‘a’’. 

(b) OWNER AND OPERATOR CLARIFICATION.—Section 60102(a)(2)(A) is amended by 

striking ‘‘owners and operators’’ and inserting ‘‘any or all of the owners or operators’’. 

SEC. 18. MAINTENANCE OF EFFORT. 

Section 60107(b) is amended by adding at the end the following: ‘‘For each of fiscal 

years 2012 and 2013, the Secretary shall grant such a wavier to a State if the State 

can demonstrate an inability to maintain or increase the required funding share of 

its pipeline safety program at or above the level required by this subsection due to 

economic hardship in that State. For fiscal year 2014 and each fiscal year thereafter, the Secretary may grant such a waiver to a State if the State can make the 

demonstration described in the preceding sentence.’’. 

SEC. 19. ADMINISTRATIVE ENFORCEMENT PROCESS. 

(a) ISSUANCE OF REGULATIONS.— 

(1) IN GENERAL.—Not later than 2 years after the date of enactment of this 

Act, the Secretary shall prescribe regulations— 

(A) requiring hearings under sections 60112, 60117, 60118, and 60122 to 

be convened before a presiding official; 

(B) providing the opportunity for any person requesting a hearing under 

section 60112, 60117, 60118, or 60122 to arrange for a transcript of that 

hearing, at the expense of the requesting person; 

(C) ensuring expedited review of any order issued pursuant to section 

60112(e); 

(D) implementing a separation of functions between personnel involved 

with investigative and prosecutorial activities and advising the Secretary on 

findings and determinations; and 

(E) prohibiting ex-parte communication relevant to the question to be decided in the case by parties to an investigation or hearing. 

(2) PRESIDING OFFICIAL.—The regulations prescribed under this subsection 

shall— 


PWALKER on DSK7TPTVN1PROD with REPORTS
9 

(A) define the term ‘‘presiding official’’ to mean the person who conducts 

any hearing relating to civil penalty assessments, compliance orders, safety 

orders, or corrective action orders; and 

(B) require that the presiding official must be an attorney on the staff 

of the Deputy Chief Counsel that is not engaged in investigative or prosecutorial functions, including the preparation of notices of probable violations, 

notices relating to civil penalty assessments, notices relating to compliance, 

or notices of proposed corrective actions. 

(3) EXPEDITED REVIEW.—The regulations prescribed under this subsection 

shall define the term ‘‘expedited review’’ for the purposes of paragraph (1)(C). 

(b) STANDARDS OF JUDICIAL REVIEW.—Section 60119(a) is amended by adding at 

the end the following new paragraph: 

‘‘(3) A judicial review of agency action under this section shall apply the standards 

of review established in section 706 of title 5.’’. 

SEC. 20. GAS AND HAZARDOUS LIQUID GATHERING LINES. 

(a) REVIEW.—The Secretary of Transportation shall complete a review of existing 

Federal and State regulations for gas and hazardous liquid gathering lines located 

onshore and offshore in the United States, including within the inlets of the Gulf 

of Mexico. 

(b) REPORT TO CONGRESS.— (1) IN GENERAL.—Not later than 2 years after the date of enactment of this 

Act, the Secretary shall submit to the House of Representatives Committee on 

Transportation and Infrastructure and Committee on Energy and Commerce 

and the Senate Committee on Commerce, Science, and Transportation a report 

on the results of the review. 

(2) RECOMMENDATIONS.—The report shall include the Secretary’s recommendations with respect to— 

(A) the sufficiency of existing Federal and State laws and regulations to 

ensure the safety of gas and hazardous liquid gathering lines; 

(B) quantifying the economical and technical practicability and challenges 

of applying existing Federal regulations to gathering lines that are currently not subject to Federal regulation when compared to the public safety 

benefits; and 

(C) subject to a risk-based assessment, the need to modify or revoke existing exemptions from Federal regulation for gas and hazardous liquid gathering lines. 

SEC. 21. AUTHORIZATION OF APPROPRIATIONS. 

(a) GAS AND HAZARDOUS LIQUID.—Section 60125(a) is amended to read as follows: 

‘‘(a) GAS AND HAZARDOUS LIQUID.— ‘‘(1) IN GENERAL.—To carry out the provisions of this chapter related to gas 

and hazardous liquid and section 12 of the Pipeline Safety Improvement Act of 

2002 (49 U.S.C. 60101 note; Public Law 107–355), 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, $88,014,000, of which 

$4,686,000 is for carrying out such section 12 and $34,461,000 is for making 

grants. 

‘‘(2) TRUST FUND AMOUNTS.—In addition to the amounts authorized to be appropriated by paragraph (1), 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), $18,905,000, of which $2,185,000 is for carrying out such section 12 

and $4,985,000 is for making grants.’’. 

(b) EMERGENCY RESPONSE GRANTS.—Section 60125(b)(2) is amended by striking 

‘‘2007 through 2010’’ and inserting ‘‘2012 through 2015’’. 

(c) ONE-CALL NOTIFICATION PROGRAMS.—Section 6107 is amended— 

(1) in subsection (a) by striking ‘‘2007 through 2010.’’ and inserting ‘‘2012 

through 2015.’’; 

(2) in subsection (b) by striking ‘‘2007 through 2010.’’ and inserting ‘‘2012 

through 2015.’’; and 

(3) by striking subsection (c). 

(d) STATE DAMAGE PREVENTION PROGRAMS.—Section 60134 is amended by adding 

at the end the following: 

‘‘(i) AUTHORIZATION OF APPROPRIATIONS.—There is authorized to be appropriated 

to the Secretary to provide grants under this section $1,500,000 for each of fiscal 

years 2012 through 2015. Such funds shall remain available until expended.’’. 

(e) COMMUNITY PIPELINE SAFETY INFORMATION GRANTS.—Section 60130 is amended— 


PWALKER on DSK7TPTVN1PROD with REPORTS
10 

(1) in subsection (b)— 

(A) by inserting ‘‘to grant recipients and their contractors’’ after ‘‘this section’’; and 

(B) by inserting ‘‘, for any type of advocacy activity for or against a pipeline construction or expansion project,’’ after ‘‘for lobbying’’; and 

(2) in subsection (d) by striking ‘‘2010’’ and inserting ‘‘2015’’. 

(f) PIPELINE TRANSPORTATION RESEARCH AND DEVELOPMENT.—Section 12 of the 

Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note) is amended— 

(1) in subsection (d) by adding at the end the following: 

‘‘(3) ONGOING PIPELINE TRANSPORTATION RESEARCH AND DEVELOPMENT.— 

‘‘(A) IN GENERAL.—After the initial 5-year program plan has been carried 

out by the participating agencies, the Secretary of Transportation shall prepare a research and development program plan every 5 years thereafter 

and shall transmit a report to Congress on the status and results-to-date 

of implementation of the program every 2 years. 

‘‘(B) CONSULTATION.—The Secretary of Transportation shall comply with 

the consultation requirements of subsection (d)(2) when preparing the program plan and in the selection and prioritization of research and development projects. 

‘‘(C) FUNDING FROM NON-FEDERAL SOURCES.—When carrying out research 

and development activities, the Secretary, to the greatest extent practicable, shall obtain funding for research and development projects from 

non-Federal sources.’’; and 

(2) in subsection (f) by striking ‘‘2003 through 2006.’’ and inserting ‘‘2012 

through 2015.’’. 

PURPOSE OF THE LEGISLATION AND SUMMARY

H.R. 2845 amends title 49, United States Code, to reauthorize 

the federal pipeline safety programs administered by the Pipeline 

and Hazardous Materials Safety Administration (PHMSA) of the 

U.S. Department of Transportation (USDOT) for fiscal years 2012 

through 2015. H.R. 2845 provides for enhanced safety in pipeline 

transportation and provides for enhanced reliability in the transportation of the Nation’s energy products by pipeline. The bill also 

ensures regulatory certainty which will help create a positive environment for job development. 

BACKGROUND AND NEED FOR LEGISLATION

The Nation’s pipelines are a transportation system that enables 

the safe movement of extraordinary quantities of energy products 

to industry and consumers, literally fueling our economy and way 

of life. Pipelines are the arteries of the Nation’s energy infrastructure, as well as the safest and least costly ways to transport energy 

products. 

PHMSA is the federal safety authority for the Nation’s 2.3 million miles of natural gas, petroleum and other hazardous liquid 

pipelines. PHMSA’s pipeline safety programs ensure the safe design, construction, testing, operation, maintenance, and emergency 

response of U.S. hazardous liquid and natural gas pipeline facilities. 

The federal pipeline safety programs were last authorized under 

the Pipeline Inspection, Protection, Enforcement, and Safety Act of 

2006 (Public Law 109–468), a four-year authorization for fiscal 

years 2007 through 2010. The federal pipeline safety programs expired on September 30, 2010. This bill authorizes these programs 

through fiscal year 2015. 

The bill increases the maximum amount of civil penalties the 

U.S. can seek from pipeline owners or operators who violate pipeline safety rules and regulations. H.R. 2845 requires states to 


PWALKER on DSK7TPTVN1PROD with REPORTS
11 

eliminate most exemptions to their ‘‘Call Before You Dig’’ programs 

in order to receive federal grant funding. The bill allows the Secretary to issue a rulemaking requiring the installation of automatic 

and remote-controlled shutoff valves on newly constructed transmission pipelines but does not require operators to retrofit existing 

pipelines. 

The bill requires the Secretary to study expanding pipeline integrity management requirements and leak detection systems but 

gives Congress the final say in whether or not the requirements 

should be expanded or the leak detection systems should be installed. H.R. 2845 requires USDOT and pipeline operators to provide information to first responders on the location of pipelines in 

their jurisdiction. The bill requires USDOT to review regulations 

regarding accident reporting requirements for pipeline operators. 

The bill authorizes funding to be appropriated for several pipeline safety programs. Specifically, the bill authorizes $107 million 

a year to be appropriated for safety inspections. The bill also authorizes grants to states funded from pipeline safety fees collected 

from pipeline operators. Further, it authorizes approximately $13 

million a year to be appropriated out of the General Fund for emergency response grants and damage prevention programs. 

LEGISLATIVE HISTORY

The federal pipeline safety programs expired on September 30, 

2010. This bill authorizes these programs through fiscal year 2015. 

On September 7, 2011, Subcommittee Chairman Shuster and Committee Chairman Mica introduced H.R. 2845. On September 8, 

2011, the Committee on Transportation and Infrastructure met in 

open session to consider H.R. 2845, and ordered the bill reported 

favorably to the House by voice vote with a quorum present. 

HEARINGS

On May 10, 2010, the Subcommittee on Railroads, Pipelines and 

Hazardous Materials held an oversight hearing on PHMSA’s 

progress implementing the Pipeline Inspection, Protection, Enforcement and Safety Act of 2006. 

On June 29, 2010, the Subcommittee on Railroads, Pipelines and 

Hazardous Materials held an oversight hearing on the federal and 

state pipeline safety regulatory regime for hazardous liquid pipelines. 

On July 15, 2010, the Subcommittee on Railroads, Pipelines and 

Hazardous Materials held an oversight hearing on how federal integrity management system requirements impact the safety of hazardous liquid pipelines. 

On July 18, 2010, the Subcommittee on Railroads, Pipelines and 

Hazardous Materials held an oversight hearing on public awareness and education programs carried out by pipeline owners and 

operators. 

On September 15, 2010, the Committee on Transportation and 

Infrastructure held a hearing to receive testimony on the Enbridge 

pipeline failure that occurred on July 25, 2010, in Marshall, Michigan. 

On July 14, 2011, the Subcommittee on Railroads, Pipelines and 

Hazardous Materials held an oversight hearing entitled ‘‘Silvertip 


PWALKER on DSK7TPTVN1PROD with REPORTS
12 

Pipeline Oil Spill in Yellowstone County, Montana,’’ to examine the 

July 1, 2011, release of crude oil from the Silvertip Pipeline in Yellowstone County, Montana. 

COMMITTEE VOTES

Clause 3(b) of rule XIII of the Rules of the House of Representatives requires each committee report to include the total number of 

votes cast for and against on each record vote on a motion to report 

and on any amendment offered to the measure or matter, and the 

names of those members voting for and against. During consideration of H.R. 2845, no recorded votes were taken. The bill was reported to the House with a favorable recommendation after a voice 

vote. 

COMMITTEE OVERSIGHT FINDINGS

Pursuant to clause 3(c)(1) of rule XIII of the Rules of the House 

of Representatives, the Committee on Transportation and Infrastructure’s oversight findings and recommendations are reflected in 

this report. 

NEW BUDGET AUTHORITY AND TAX EXPENDITURES

In compliance with clause 3(c)(2) of rule XIII of the Rules of the 

House of Representatives, the estimated annual funding levels authorized for the programs funded from pipeline safety fees collected 

from pipeline operators under H.R. 2845 are the same annual funding levels authorized for such programs under current law in fiscal 

year 2010. The estimated annual funding levels authorized for 

pipeline safety programs authorized to be appropriated out of the 

General Fund under H.R. 2845 are equal to the annual funding 

levels appropriated out of the General Fund in FY 2010. This legislation does not authorize any new or increased tax expenditures. 

CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

In compliance with clause 3(c)(3) of rule XIII of the Rules of the 

House of Representatives, the Committee sets forth, with respect to 

the bill, H.R. 2845, the following estimate and comparison prepared 

by the Director of the Congressional Budget Office under section 

402 of the Congressional Budget Act of 1974: 

U.S. CONGRESS, 

CONGRESSIONAL BUDGET OFFICE, 

Washington, DC, September 27, 2011. 

Hon. JOHN L. MICA, 

Chairman, Committee on Transportation and Infrastructure, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 2845, the Pipeline Safety, 

Regulatory Certainty, and Job Creation Act of 2011. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Sarah Puro. 

Sincerely, DOUGLAS W. ELMENDORF. Enclosure. 


PWALKER on DSK7TPTVN1PROD with REPORTS
13 

H.R. 2845—Pipeline Safety, Regulatory Certainty, and Job Creation 

Act of 2011 

Summary: The Pipeline and Hazardous Materials Safety Administration (PHMSA) oversees the safety of pipelines that transport 

gas or hazardous liquids and provides grants to states for programs 

to ensure pipeline safety. For those activities, H.R. 2845 would authorize gross appropriations of $505 million over the 2012–2016 period. CBO expects, however, that about $434 million of those appropriations would be offset by fees paid by pipeline operators over the 

four-year period. In addition, subject to provisions in appropriation 

acts, CBO estimates that the bill would authorize PHMSA to collect and spend about $10 million over the 2012–2016 period to recover its costs of conducting safety reviews at a pipeline project in 

the state of Alaska. CBO estimates that implementing H.R. 2845 

would have a net cost of $45 million over the 2012–2016 period, assuming appropriation of the specified and estimated amounts. 

Pay-as-you-go procedures apply because enacting the legislation 

could affect revenues. H.R. 2845 would increase certain civil penalties for violating pipeline safety regulations. Civil penalties are 

recorded in the budget as revenues and deposited in the general 

fund of the Treasury. However, CBO estimates that any increase 

in civil penalties would be small and would have no significant effect on the federal budget over the next 10 years. Enacting the bill 

would not affect direct spending. 

H.R. 2845 contains intergovernmental and private-sector mandates as defined in the Unfunded Mandates Reform Act (UMRA) 

because it would impose new requirements on both public and private operators of natural gas pipelines. The bill would impose additional private-sector mandates on operators of hazardous liquid 

pipelines. Because of the relatively small number of public entities 

affected, CBO estimates that the aggregate cost of intergovernmental mandates in the bill would fall below the annual threshold 

established in UMRA ($71 million in 2011, adjusted annually for 

inflation). Because many of the mandates on private entities would 

depend on future regulations, CBO cannot determine whether the 

aggregate cost of the private-sector mandates would exceed the annual threshold established in UMRA ($142 million in 2011, adjusted annually for inflation). 

Estimated cost to the Federal Government: The estimated budgetary impact of H.R. 2845 is shown in the following table. The costs 

of this legislation fall within budget function 400 (transportation). 

By fiscal year, in millions of dollars— 

2012 2013 2014 2015 2016 2011– 

2016 

CHANGES IN SPENDING SUBJECT TO APPROPRIATION 

Spending for Pipeline Safety: 

Estimated Authorization Level ............................................. 124 125 125 126 5 505 

Estimated Outlays ............................................................... 61 107 120 125 66 479 

Offsetting Collections from User Fees and Alaska Pipeline Design Review: 

Estimated Authorization Level ............................................. ¥106 ¥107 ¥107 ¥109 ¥5 ¥434 

Estimated Outlays ............................................................... ¥106 ¥107 ¥107 ¥109 ¥5 ¥434 

Estimated Net Spending: 

Estimated Authorization Level ............................................. 18 18 18 18 0 72 

Estimated Outlays ............................................................... ¥45 0 13 16 61 45 


PWALKER on DSK7TPTVN1PROD with REPORTS
14 

Basis of estimate: For this estimate, CBO assumes that H.R. 

2845 will be enacted near the end of 2011 and that the authorized 

amounts for the 2012–2016 period will be appropriated each year. 

Estimates of spending are based on historical spending patterns for 

pipeline safety programs. 

Spending subject to appropriation 

Spending for Pipeline Safety. H.R. 2845 would reauthorize the 

laws that govern PHMSA’s role in pipeline safety. CBO estimates 

that the bill would authorize the appropriation of $505 million for 

PHMSA’s pipeline safety activities over the 2012–2016 period. (In 

2011, PHMSA appropriations for pipeline safety totaled $106 million.) The bill would require PHMSA to revise certain pipeline safety regulations and to complete a number of studies and reports concerning pipeline safety. CBO estimates that implementing those 

provisions would cost $479 million, assuming appropriation of the 

specified and necessary amounts. However, CBO expects that more 

than 85 percent of those costs would be recovered by PHMSA via 

user fees. CBO also expects that most of the remaining spending 

would be appropriated from fees deposited into the Oil Spill Liability Trust Fund. 

Offsetting Collections from User Fees and Alaska Pipeline Design Review. Under provisions of the bill, CBO estimates that 

PHMSA would collect $434 million in user fees over the 2012–2016 

period. Those amounts include user fees authorized under current 

law based on the appropriated level of funding and new fees for 

PHMSA activities related to the approval of a large pipeline in 

Alaska. 

Revenues 

H.R. 2845 would increase the maximum penalties PHMSA can 

impose for certain violations of safety regulations that cause serious environmental damage or result in serious injuries or death. 

The bill also would permit the imposition of new penalties for obstructing inspections or investigations by PHMSA. Based on 

PHMSA’s past penalty collections, CBO estimates that those provisions would result in revenue increases of less than $500,000 in 

any year over the 2012–2021 period. 

Pay-As-You-Go considerations: The Statutory Pay-As-You-Go Act 

of 2010 establishes budget-reporting and enforcement procedures 

for legislation affecting direct spending or revenues. Enacting H.R. 

2845 would have a negligible effect on revenues. 

Intergovernmental and private sector impact: H.R. 2845 would 

impose mandates on public and private entities that operate natural gas pipelines and additional private-sector mandates on operators of hazardous liquid pipelines. Because of the relatively small 

number of public entities affected, CBO estimates that the aggregate cost of intergovernmental mandates in the bill would fall 

below the annual threshold established in UMRA ($71 million in 

2011, adjusted annually for inflation). Because many of the mandates on private entities would depend on future regulations, CBO 

cannot determine whether the aggregate cost of the private-sector 

mandates would exceed the annual threshold established in UMRA 

($142 million in 2011, adjusted annually for inflation). 


PWALKER on DSK7TPTVN1PROD with REPORTS
15 

Mandates that apply to both public and private entities 

Integrity Management. The bill would authorize PHMSA to extend existing planning, testing, and safety requirements to additional pipelines. CBO cannot determine the costs of the mandates 

for private-sector entities because they would depend on future regulations. However, based on information from PHMSA and industry sources about the cost to comply with existing standards, the 

cost of imposing such standards on additional pipelines could be 

significant. Because of the relatively small number of public entities affected, CBO estimates that the cost to state and local governments would be small. 

Shut-Off Valves. The bill would authorize PHMSA to require operators of transmission pipelines to install shut-off valves in new 

transmission pipelines and in ones that are entirely replaced. According to industry sources, such valves currently cost $100,000 to 

$500,000 per valve depending on the size of the pipeline. The number of valves to be installed would depend on the spacing required 

between valves and areas where operators would have to install 

them. Because such requirements would be developed as part of future regulations, CBO has no basis for determining the cost of the 

mandate to private-sector entities. Because of the relatively small 

number of public entities affected, CBO estimates the cost to state 

and local governments would be small. 

Notification and Reporting Requirements. The bill would require 

pipeline operators to notify emergency responders of accidents or 

incidents within specified time limits. The bill also would require 

operators of cast iron gas pipelines to provide information on the 

management and replacement of pipelines to PHMSA. CBO estimates that the cost of those mandates to public and private entities 

would be minimal. 

Mandates that apply to private entities only 

Leak Detection. The bill would require operators of hazardous 

liquid pipelines, such as oil pipelines, to use leak detection technologies where feasible. Under the bill, PHMSA would be authorized to designate pipelines from a total of 176,000 miles of pipeline. 

Because the cost of the mandate would depend on such future 

PHMSA regulations, CBO has no basis for determining the cost of 

this mandate. 

Oil Flow Lines. The bill could impose a mandate on pipeline operators that transport oil by allowing PHMSA to collect additional 

data on oil flow lines. Because CBO does not know what information PHMSA would require operators to report, we have no basis 

for determining the cost of the mandate. 

Fees. The bill would authorize PHMSA to collect new fees on construction projects that are large or use new technology. Based on 

information from PHMSA on the expenses it would incur because 

of the bill, CBO estimates that PHMSA would charge an average 

of $107 million in additional fees per year to pipeline operators 

over the 2012–2015 period as a result of enactment of the bill. 

Other Requirements. The bill would impose two other new requirements on pipeline operators. Specifically, the bill would impose additional safety requirements on pipelines transporting 

biofuels and impose minimum safety standards for pipelines transporting carbon dioxide in a gaseous state. Based on information 


PWALKER on DSK7TPTVN1PROD with REPORTS
16 

from industry sources and PHMSA, CBO estimates that the cost of 

each of those mandates would fall well below the annual threshold 

established in UMRA. 

Previous CBO estimate: On June 9, 2011, CBO transmitted a 

cost estimate for S. 275, the Pipeline Transportation Safety Improvement Act of 2011, as ordered reported by the Senate Committee on Commerce, Science, and Transportation on May 5, 2011. 

That bill would authorize the pipeline safety activities conducted 

by PHMSA for three years; funds for the agency would be authorized for four years. The gross authorization of appropriations in S. 

275 totaled $420 million. The CBO cost estimates reflect those differences. 

Estimate prepared by: Federal spending: Sarah Puro; Federal 

revenues: Kalyani Parthasarathy; Impact on state, local, and tribal 

governments: Ryan Miller; Impact on the private sector: Amy Petz. 

Estimate approved by: Theresa Gullo, Deputy Assistant Director 

for Budget Analysis. 

PERFORMANCE GOALS AND OBJECTIVES

Pursuant to clause 3(c)(4) of rule XIII of the Rules of the House 

of Representatives, the performance and goals of H.R. 2845 are 

to improve the safety of pipeline transportation, to provide for 

enhanced reliability in the transportation of the Nation’s energy 

products by pipeline, and to create jobs by providing regulatory 

certainty. 

ADVISORY OF EARMARKS

In accordance with clause 9 of rule XXI of the Rules of the House 

of Representatives, H.R. 2845 does not contain any congressional 

earmarks, limited tax benefits, or limited tariff benefits as defined 

in clause 9(e), 9(f), or 9(g) of rule XXI. 

FEDERAL MANDATES STATEMENT

The Committee adopts as its own the estimate of federal mandates prepared by the Director of the Congressional Budget Office 

pursuant to section 423 of the Unfunded Mandates Reform Act 

(Public Law 104–4). 

PREEMPTION CLARIFICATION

Section 423 of the Congressional Budget Act of 1974 requires the 

report of any Committee on a bill or joint resolution to include a 

statement on the extent to which the bill or joint resolution is intended to preempt state, local, or tribal law. The Committee states 

that H.R. 2845 does not preempt any state, local, or tribal law. 

ADVISORY COMMITTEE STATEMENT

No advisory committee within the meaning of section 5(b) of the 

Federal Advisory Committee Act was created by this legislation. 

APPLICABILITY TO THE LEGISLATIVE BRANCH

The Committee finds that the legislation does not relate to the 

terms and conditions of employment or access to public services or 


PWALKER on DSK7TPTVN1PROD with REPORTS
17 

accommodations within the meaning of section 102(b)(3) of the Congressional Accountability Act (Public Law 104–1). 

SECTION-BY-SECTION ANALYSIS

The following describes the bill as reported by the Committee. 

Section 1. Short title; Amendment of Title 49, United States Code; 

Table of contents 

This section provides the title of the bill; clarifies that except 

where otherwise expressly provided, changes made in this Act are 

considered to be made to a section or other provision of title 49, 

United States Code; and provides a table of contents. 

Section 2. Civil penalties 

This section increases civil penalties for certain violations from $100,000 to $175,000, increases the maximum civil penalty for a 

related series of violations from $1,000,000 to $1,750,000, and 

strikes ‘‘the ability to pay’’ from the Secretary of Transportation’s 

considerations when determining the amount of a civil penalty. 

This section provides the Secretary the authority to impose civil 

penalties for certain violations on a person who obstructs or prevents the Secretary from carrying out certain inspections or investigations. 

This section removes the cap on the maximum amount of civil 

penalties for administrative enforcement actions under section 

60122. 

Section 3. Pipeline damage prevention 

Subsection (a) revises the minimum standards for State One-call 

Notification Programs by prohibiting exemptions for municipalities, 

state agencies, or their contractors. 

Subsection (b) prohibits exemptions for municipalities, state 

agencies, or their contractors in State Damage Prevention Programs. 

Subsection (c) sets an effective date for this section of 2 years 

after the date of enactment of this Act. 

Subsection (d) requires the Secretary to conduct a study on the 

impact of third party damage on pipeline safety and submit a report on the results of the study to Congress no later than 2 years 

after the date of enactment of this Act. 

Section 4. Automatic and remote-controlled shut-off valves 

This section provides the Secretary the authority to require, if 

the Secretary determines appropriate, the use of automatic or remote-controlled shut-off valves, or equivalent technology, where 

economically, technically, and operationally feasible on new transmission pipeline facilities. This does not impact existing pipeline facilities. 

Section 5. Integrity management 

Subsection (a) requires the Secretary to evaluate whether integrity management system requirements should be expanded beyond 

high consequence areas (high population density areas and environmentally sensitive areas) and, with respect to gas transmission 

pipeline facilities, whether applying integrity management program 


PWALKER on DSK7TPTVN1PROD with REPORTS
18 

requirements to additional areas would mitigate the need for class 

location requirements. 

Subsection (b) requires the Secretary to consider applying repair 

criteria requirements to areas beyond high consequence areas in 

the evaluation in subsection (a). 

Subsection (c) requires the Secretary to submit a report to Congress based on the evaluation in subsection (a). 

Subsection (d) requires the Secretary to collect any relevant data 

necessary to complete the evaluation required by subsection (a). 

Subsection (e) provides for up to an additional 6 month extension 

to the once every 7 years periodic reassessment requirements for 

gas transmission pipelines. 

Subsection (f) outlines the rulemaking process for the expansion 

of the integrity management program. This section provides Congress a period of time to make legislative changes to the integrity 

management program after the report described in subsection (c) is 

completed. However, this subsection also allows the Secretary to 

move forward with a rulemaking before Congress acts if the Secretary determines that a risk to public safety, property, or environment or imminent hazard exists. 

Subsection (g) requires the Inspector General of the Department 

of Transportation to evaluate risk-based pipeline reassessment intervals. 

Section 6. Public education and awareness 

Subsection (a) requires the Secretary to maintain, as part of the 

National Pipeline Mapping System, a map of all designated high 

consequence areas in which pipelines are required to meet integrity 

management safety regulations (excluding any proprietary or sensitive security information) and to update the map biennially. Additionally, subsection (a) requires the Secretary to develop and implement a program to promote awareness of the National Pipeline 

Mapping System. 

Subsection (b) requires the Secretary to issue guidance to owners 

and operators of pipeline facilities on the importance of providing 

system-specific information about their pipeline facilities to the 

emergency response agencies of the communities in which those facilities are located. 

Section 7. Cast iron gas pipelines 

Subsection (a) requires the Secretary to conduct a survey to 

measure the progress that owners and operators of pipelines facilities have made in implementing their plans for the safe management and replacement of cast iron gas pipelines. 

Subsection (b) requires the Secretary to submit a report to Congress that identifies the total mileage of cast iron gas pipelines in 

the U.S. and evaluate the progress that owners and operators have 

made in implementing their plans for the safe management and replacement of cast iron gas pipelines. 

Section 8. Leak detection 

Subsection (a) requires the Secretary to submit a report to Congress on leak detection systems utilized by operators of hazardous 

liquid pipeline facilities and transportation-related flow lines. 


PWALKER on DSK7TPTVN1PROD with REPORTS
19 

Subsection (b) outlines the rulemaking process for the setting of 

standards and requirements for pipeline leak detection systems. 

This section provides Congress a period of time to make legislative 

changes to leak detection standards and requirements after the report described in subsection (a) is completed. However, this subsection also allows the Secretary to move forward with a rulemaking before Congress acts if the Secretary determines a risk to 

public safety, property, or environment or imminent hazard exists. 

Section 9. Accident and incident notification 

Subsection (a) requires the Secretary to establish specific time 

limits for telephonic or electronic notice of accidents and incidents 

involving pipeline facilities to the Secretary and the National Response Center. 

Subsection (b) requires the Secretary to, at a minimum, establish 

time limits that are not less than 1 hour and not more than 2 

hours; review procedures for owners and operators of pipeline facilities and the National Response Center to provide thorough and 

coordinated notification to all relevant State and local emergency 

response officials, including 911 emergency call centers; and requires owners and operators to revise their initial notice with revised estimates of product releases and any fatalities or injuries 

within 24 to 28 hours of an accident or incident. 

Subsection (c) requires the National Response Center to, after receiving revisions described in subsection (b), update the initial report on an accident or incident instead of generating a new report. 

Section 10. Transportation-related onshore facility response plan 

compliance 

This section clarifies that the Secretary has the authority to review transportation-related onshore facility response plans. 

Section 11. Transportation-related oil flow lines 

This section authorizes the Secretary to collect information on 

transportation-related oil flow lines but clarifies that this language 

does not authorize the Secretary to prescribe standards for the 

movement of oil through production flow lines. 

Section 12. Cost recovery for design reviews 

This section authorizes the Secretary to require pipeline operators to pay for the costs associated with DOT safety design reviews 

of any pipeline construction or expansion project over $3.4 billion. 

Section 13. Biofuel pipelines 

This section clarifies DOT’s authority to oversee the safe transportation of biofuels by pipeline. 

Section 14. Carbon dioxide pipelines 

This section requires that the Secretary prescribe the current 

safety standards for pipeline transportation of carbon dioxide in a 

liquid state to the transportation of carbon dioxide in a gaseous 

state. 


PWALKER on DSK7TPTVN1PROD with REPORTS
20 

Section 15. Study of the transportation of diluted bitumen 

This section requires the Secretary to complete a comprehensive 

review of hazardous materials liquid pipeline facility regulations to 

determine whether these regulations are sufficient to regulate pipeline facilities used for the transportation of diluted bitumen. This 

section also requires the Secretary to provide a report to Congress 

regarding the results of this review. 

Section 16. Study of non-petroleum hazardous liquids transported 

by pipeline 

This section provides that the Secretary may conduct an analysis 

of the transportation of non-petroleum hazardous liquids by pipeline facility for the purpose of identifying the extent to which pipeline facilities are currently being used to transport non-petroleum 

hazardous liquids from chemical production facilities across land 

areas not owned by the producer that are accessible to the public. 

This section also requires the Secretary to provide a report to Congress regarding the results of any analysis. 

Section 17. Clarifications 

Subsections (a) and (b) provide for minor technical corrections. 

Section 18. Maintenance of effort 

This section outlines the process by which the Secretary can 

grant waivers to maintenance of effort requirements for pipeline 

safety programs. 

Section 19. Administrative enforcement process 

This section requires the Secretary to prescribe regulations that: 

require hearings under sections 60122, 60117, 60118, and 60122 of 

Title 49 to be convened before a presiding official; provide the opportunity for any person requesting a hearing under 60112, 60117, 

30118, or 60122 to arrange for a transcript of that hearing at the 

expense of the requesting person; ensures expedited review of any 

order issued pursuant to section 60122(e); implements a separation 

of functions between personnel involved with investigative and 

prosecutorial activities and advising the Secretary on findings and 

determinations; and prohibits ex-parte communication. 

Section 20. Gas and hazardous liquid gathering lines 

Subsection (a) requires the Secretary to complete a review of existing federal and state regulations for gas and hazardous liquid 

gathering lines located onshore and offshore in the United States. 

Subsection (b) requires the Secretary to submit a report to Congress on the results of the review. 

Section 21. Authorization of appropriations 

This section authorizes funding to be appropriated for pipeline 

safety programs; $107 million a year is authorized to be appropriated from pipeline safety fees collected from pipeline operators 

and about $13 million a year is authorized to be appropriated from 

the General Fund for emergency response grants and grants to 

states. 


PWALKER on DSK7TPTVN1PROD with REPORTS
21 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

existing law in which no change is proposed is shown in roman): 

TITLE 49, UNITED STATES CODE 

* * * * * * * 

SUBTITLE III—GENERAL AND INTERMODAL 

PROGRAMS 

* * * * * * * 

CHAPTER 61—ONE-CALL NOTIFICATION PROGRAMS 

* * * * * * * 

§ 6103. Minimum standards for State one-call notification 

programs 

ø(a) MINIMUM STANDARDS.—In order to qualify for a grant under 

section 6106, a State one-call notification program shall, at a minimum, provide for— 

ø(1) appropriate participation by all underground facility operators, including all government operators; 

ø(2) appropriate participation by all excavators, including all 

government and contract excavators; and 

ø(3) flexible and effective enforcement under State law with 

respect to participation in, and use of, one-call notification systems.¿ 

(a) MINIMUM STANDARDS.— 

(1) IN GENERAL.—In order to qualify for a grant under section 

6106, a State one-call notification program, at a minimum, 

shall provide for— 

(A) appropriate participation by all underground facility 

operators, including all government operators; 

(B) appropriate participation by all excavators, including 

all government and contract excavators; and 

(C) flexible and effective enforcement under State law 

with respect to participation in, and use of, one-call notification systems. 

(2) EXEMPTIONS PROHIBITED.—In order to qualify for a grant 

under section 6106, a State one-call notification program may 

not exempt municipalities, State agencies, or their contractors 

from its one-call notification system requirements. 

* * * * * * * 

§ 6107. Authorization of appropriations 

(a) FOR GRANTS TO STATES.—There are authorized to be appropriated to the Secretary to provide grants to States under section 

6106 $1,000,000 for each of fiscal years ø2007 through 2010.¿ 2012 

through 2015. 


PWALKER on DSK7TPTVN1PROD with REPORTS
22 

(b) FOR ADMINISTRATION.—There are authorized to be appropriated to the Secretary such sums as may be necessary to carry 

out sections 6103, 6104, and 6105 for fiscal years ø2007 through 

2010.¿ 2012 through 2015. 

ø(c) GENERAL REVENUE FUNDING.—Any sums appropriated under 

this section shall be derived from general revenues and may not be 

derived from amounts collected under section 60301 of this title.¿ 

* * * * * * * 

SUBTITLE VIII—PIPELINES 

* * * * * * * 

CHAPTER 601—SAFETY 

§ 60101. Definitions 

(a) GENERAL.—In this chapter— 

(1) * * * 

* * * * * * * 

(4) ‘‘hazardous liquid’’ means— 

(A) petroleum or a petroleum product; øand¿ 

(B) non-petroleum fuels, including biofuels, that are 

flammable, toxic, or corrosive or would be harmful to the 

environment if released in significant quantities; and 

ø(B)¿ (C) a substance the Secretary of Transportation 

decides may pose an unreasonable risk to life or property 

when transported by a hazardous liquid pipeline facility in 

a liquid state (except for liquefied natural gas); 

* * * * * * * 

§ 60102. Purpose and general authority 

(a) PURPOSE AND MINIMUM SAFETY STANDARDS.— 

(1) * * * 

(2) MINIMUM SAFETY STANDARDS.—The Secretary shall prescribe minimum safety standards for pipeline transportation 

and for pipeline facilities. The standards— 

(A) apply to øowners and operators¿ any or all of the 

owners or operators of pipeline facilities; 

* * * * * * * 

ø(i) CARBON DIOXIDE REGULATION.—The Secretary shall regulate 

carbon dioxide transported by a hazardous liquid pipeline facility. 

The Secretary shall prescribe standards related to hazardous liquid 

to ensure the safe transportation of carbon dioxide by such a facility.¿ 

(i) PIPELINES TRANSPORTING CARBON DIOXIDE.— 

(1) MINIMUM SAFETY STANDARDS.—The Secretary shall prescribe minimum safety standards for the transportation of carbon dioxide by pipeline in a gaseous state. 

(2) STANDARDS APPLICABLE TO CERTAIN PIPELINES.—For pipelines that transport carbon dioxide in both a liquid and gaseous 

state, the Secretary shall apply standards, in effect on the date 

of enactment of the Pipeline Safety, Regulatory Certainty, and 

Job Creation Act of 2011, for the transportation of carbon dioxVerDate Mar 15 2010 05:05 Dec 06, 2011 Jkt 019006 PO 00000 Frm 00022 Fmt 6659 Sfmt 6603 E:\HR\OC\HR297P1.XXX HR297P1

PWALKER on DSK7TPTVN1PROD with REPORTS
23 

ide by pipeline in a liquid state to the transportation of carbon 

dioxide by pipeline in a gaseous state. 

(j) EMERGENCY FLOW RESTRICTING DEVICES.—(1) * * * 

* * * * * * * 

ø(3) REMOTELY CONTROLLED VALVES.—(A) Not later than June 1, 

1998, the Secretary shall survey and assess the effectiveness of remotely controlled valves to shut off the flow of natural gas in the 

event of a rupture of an interstate natural gas pipeline facility and 

shall make a determination about whether the use of remotely controlled valves is technically and economically feasible and would reduce risks associated with a rupture of an interstate natural gas 

pipeline facility. 

ø(B) Not later than one year after the survey and assessment are 

completed, if the Secretary has determined that the use of remotely 

controlled valves is technically and economically feasible and would 

reduce risks associated with a rupture of an interstate natural gas 

pipeline facility, the Secretary shall prescribe standards under 

which an operator of an interstate natural gas pipeline facility 

must use a remotely controlled valve. These standards shall include, but not be limited to, requirements for high-density population areas.¿ 

* * * * * * * 

(n) AUTOMATIC AND REMOTE-CONTROLLED SHUT-OFF VALVES FOR

NEW TRANSMISSION PIPELINES.— (1) IN GENERAL.—The Secretary may require by regulation, if 

determined appropriate by the Secretary, the use of automatic 

or remote-controlled shut-off valves, or equivalent technology, 

where economically, technically, and operationally feasible on 

transmission pipeline facilities constructed or entirely replaced 

after the date on which the Secretary issues the final rule containing such requirement. 

(2) FACTORS FOR CONSIDERATION.—In determining whether to 

proceed with a rulemaking under paragraph (1), the Secretary 

shall consider the factors specified in subsection (b)(2). 

(o) TRANSPORTATION-RELATED OIL FLOW LINES.— (1) DATA COLLECTION.—The Secretary may collect geospatial 

or technical data on transportation-related oil flow lines, including unregulated transportation-related oil flow lines. 

(2) TRANSPORTATION-RELATED OIL FLOW LINE DEFINED.—In 

this subsection, the term ‘‘transportation-related oil flow line’’ 

means a pipeline transporting oil off of the grounds of the well 

where it originated across areas not owned by the producer, regardless of the extent to which the oil has been processed, if at 

all. 

(3) LIMITATION.—Nothing in this subsection authorizes the 

Secretary to prescribe standards for the movement of oil 

through production, refining, or manufacturing facilities, or 

through oil production flow lines located on the grounds of 

wells. 

* * * * * * * 

§ 60107. State pipeline safety grants 

(a) * * * 


PWALKER on DSK7TPTVN1PROD with REPORTS
24 

(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 and that the total State amount spent 

for a safety program (excluding grants of the United States Government) will at least equal the average amount spent for gas and 

hazardous liquid safety programs for the 3 fiscal years prior to the 

fiscal year in which the Secretary makes the payment, except when 

the Secretary waives this requirement. For each of fiscal years 

2012 and 2013, the Secretary shall grant such a wavier to a State 

if the State can demonstrate an inability to maintain or increase the 

required funding share of its pipeline safety program at or above the 

level required by this subsection due to economic hardship in that 

State. For fiscal year 2014 and each fiscal year thereafter, the Secretary may grant such a waiver to a State if the State can make 

the demonstration described in the preceding sentence. 

* * * * * * * 

§ 60108. Inspection and maintenance 

(a) PLANS.—(1) Each person owning or operating øan intrastate¿ 

a gas pipeline facility or hazardous liquid pipeline facility shall 

carry out a current written plan (including any changes) for inspection and maintenance of each facility used in the transportation 

and owned or operated by the person. A copy of the plan shall be 

kept at any office of the person the Secretary of Transportation 

considers appropriate. The Secretary also may require a person 

owning or operating a pipeline facility subject to this chapter to file 

a plan for inspection and maintenance for approval. 

* * * * * * * 

(d) REPLACING CAST IRON GAS PIPELINES.—(1) * * * 

* * * * * * * 

(4) Not later than December 31, 2012, and every 2 years thereafter, the Secretary shall conduct a follow-up survey to measure the 

progress that owners and operators of pipeline facilities have made 

in implementing their plans for the safe management and replacement of cast iron gas pipelines. 

§ 60109. High-density population areas and environmentally sensitive areas 

(a) * * * 

* * * * * * * 

(c) RISK ANALYSIS AND INTEGRITY MANAGEMENT PROGRAMS.— 

(1) * * * 

* * * * * * * 

(3) MINIMUM REQUIREMENTS OF INTEGRITY MANAGEMENT PROGRAMS.—An integrity management program required under 

paragraph (1) shall include, at a minimum, the following requirements: 

(A) * * * 


PWALKER on DSK7TPTVN1PROD with REPORTS
25 

ø(B) Subject to paragraph (5), periodic reassessment of 

the facility, at a minimum of once every 7 years, using 

methods described in subparagraph (A).¿ 

(B) Subject to paragraph (5), periodic reassessments of 

the facility, at a minimum of once every 7 calendar years, 

using methods described in subparagraph (A). Such deadline shall be extended for an additional 6 months if the operator submits written notice to the Secretary that includes 

an explanation of the need for the extension. 

* * * * * * * 

§ 60117. Administrative 

(a) * * * 

* * * * * * * 

ø(n) COST RECOVERY FOR DESIGN REVIEWS.— ø(1) IN GENERAL.—If the Secretary conducts facility design 

safety reviews in connection with a proposal to construct, expand, or operate a liquefied natural gas pipeline facility, the 

Secretary may require the person requesting such reviews to 

pay the associated staff costs relating to such reviews incurred 

by the Secretary in section 60301(d). The Secretary may assess 

such costs in any reasonable manner. 

ø(2) DEPOSIT.—The Secretary shall deposit all funds paid to 

the Secretary under this subsection into the Department of 

Treasury account 69-5172-0-2-407 or its successor account. 

ø(3) AUTHORIZATION OF APPROPRIATIONS.—Funds deposited 

pursuant to this subsection are authorized to be appropriated 

for the purposes set forth in section 60301(d).¿ 

(n) COST RECOVERY FOR DESIGN REVIEWS.— 

(1) IN GENERAL.— (A) REVIEW COSTS.—For any project described in subparagraph (B), if the Secretary conducts facility design 

safety reviews in connection with a proposal to construct, 

expand, or operate a new gas or hazardous liquid pipeline 

facility or liquefied natural gas pipeline facility, the Secretary may require the person proposing the project to pay 

the costs incurred by the Secretary relating to such reviews. 

If the Secretary exercises the cost recovery authority described in this subsection, the Secretary shall prescribe a 

fee structure and assessment methodology that is based on 

the costs of providing these reviews and shall prescribe procedures to collect fees under this subsection. The Secretary 

shall not collect design safety review fees under this chapter 

and section 60301 for the same design safety review. 

(B) PROJECTS TO WHICH APPLICABLE.—Subparagraph (A) 

applies to any project that— 

(i) has design and construction costs totaling at least 

$3,400,000,000, as adjusted for inflation, based on a 

good faith estimate developed by the person proposing 

the project; or 

(ii) uses new or novel technologies or design. 

(2) NOTIFICATION.—For any new pipeline facility construction 

project for which the Secretary will conduct design reviews, the 

person proposing the project shall notify the Secretary and proVerDate Mar 15 2010 05:05 Dec 06, 2011 Jkt 019006 PO 00000 Frm 00025 Fmt 6659 Sfmt 6603 E:\HR\OC\HR297P1.XXX HR297P1

PWALKER on DSK7TPTVN1PROD with REPORTS
26 

vide the design specifications, construction plans and procedures, and related materials at least 120 days prior to the commencement of construction. If the Secretary determines that the 

proposed design of the project is inconsistent with pipeline safety, the Secretary shall provide written comments, feedback, and 

guidance on the project on or before the 60th day following the 

date of receipt of the design specifications, construction plans 

and procedures, and related materials for the project. 

(3) PIPELINE SAFETY DESIGN REVIEW FUND.— (A) ESTABLISHMENT.—There is established a Pipeline 

Safety Design Review Fund in the Treasury of the United 

States. 

(B) DEPOSITS.—The Secretary shall deposit funds paid 

under this subsection into the Fund. 

(C) USE.—Amounts in the Fund shall be available to the 

Secretary, in amounts specified in appropriations Acts, to 

offset the costs of conducting facility design safety reviews 

under this subsection. 

(4) NO ADDITIONAL PERMITTING AUTHORITY.—Nothing in this 

subsection shall be construed as authorizing the Secretary to require a person to obtain a permit before beginning design and 

construction in connection with a project described in paragraph (1)(B). 

§ 60118. Compliance and waivers 

(a) * * * 

* * * * * * * 

ø(e) OPERATOR ASSISTANCE IN INVESTIGATIONS.—If the Secretary 

or the National Transportation Safety Board investigate an accident involving a pipeline facility, the operator of the facility shall 

make available to the Secretary or the Board all records and information that in any way pertain to the accident (including integrity 

management plans and test results), and shall afford all reasonable 

assistance in the investigation of the accident.¿ 

(e) OPERATOR ASSISTANCE IN INVESTIGATIONS.— (1) ASSISTANCE AND ACCESS.—If the Secretary or the National 

Transportation Safety Board investigates an accident involving 

a pipeline facility, the operator of the facility shall— 

(A) make available to the Secretary or the Board all 

records and information that in any way pertain to the accident (including integrity management plans and test results); and 

(B) afford all reasonable assistance in the investigation of 

the accident. 

(2) OPERATOR ASSISTANCE IN INVESTIGATIONS.— (A) IN GENERAL.—The Secretary may impose a civil penalty under section 60122 on a person who obstructs or prevents the Secretary from carrying out inspections or investigations under this chapter. 

(B) DEFINITIONS.—In this paragraph, the following definitions apply: 

(i) OBSTRUCTS.—The term ‘‘obstructs’’ includes actions that were known, or reasonably should have been 

known, to prevent, hinder, or impede an investigation 

without good cause. 


PWALKER on DSK7TPTVN1PROD with REPORTS
27 

(ii) GOOD CAUSE.—The term ‘‘good cause’’ includes, 

at a minimum, restricting access to facilities that are 

not secure or safe for non-pipeline personnel or visitors. 

* * * * * * * 

§ 60119. Judicial review 

(a) REVIEW OF REGULATIONS øAND WAIVER ORDERS¿, ORDERS, 

AND OTHER FINAL AGENCY ACTIONS.—(1) Except as provided in 

subsection (b) of this section, a person adversely affected by a regulation prescribed under this chapter or an order issued øabout an 

application for a waiver under section 60118(c) or (d) of this title¿ 

under this chapter may apply for review of the regulation or order 

by filing a petition for review in the United States Court of Appeals 

for the District of Columbia Circuit or in the court of appeals of the 

United States for the circuit in which the person resides or has its 

principal place of business. The petition must be filed not later 

than 89 days after the regulation is prescribed or order is issued. 

The clerk of the court immediately shall send a copy of the petition 

to the Secretary of Transportation. 

* * * * * * * 

(3) A judicial review of agency action under this section shall 

apply the standards of review established in section 706 of title 5. 

* * * * * * * 

§ 60120. Enforcement 

(a) CIVIL ACTIONS.— 

(1) CIVIL ACTIONS TO ENFORCE THIS CHAPTER.—At the request of the Secretary of Transportation, the Attorney General 

may bring a civil action in an appropriate district court of the 

United States to enforce this chapter, including section 60112, 

or a regulation prescribed or order issued under this chapter. 

The court may award appropriate relief, including a temporary 

or permanent injunction, punitive damages, and assessment of 

civil penalties, considering the same factors as prescribed for 

the Secretary in an administrative case under section 60122. 

The maximum amount of civil penalties for administrative enforcement actions under section 60122 shall not apply to enforcement actions under this section. 

* * * * * * * 

§ 60122. Civil penalties 

(a) GENERAL PENALTIES.—(1) A person that the Secretary of 

Transportation decides, after written notice and an opportunity for 

a hearing, has violated section 60114(b), 60114(d), or 60118(a) of 

this title or a regulation prescribed or order issued under this chapter is liable to the United States Government for a civil penalty of 

not more than ø$100,000¿ $175,000 for each violation. A separate 

violation occurs for each day the violation continues. The maximum 

civil penalty under this paragraph for a related series of violations 

is ø$1,000,000¿ $1,750,000. 

* * * * * * * 


PWALKER on DSK7TPTVN1PROD with REPORTS
28 

(b) PENALTY CONSIDERATIONS.—In determining the amount of a 

civil penalty under this section— 

(1) the Secretary shall consider— 

(A) * * * 

(B) with respect to the violator, the degree of culpability, 

any history of prior violations, øthe ability to pay,¿ and 

any effect on ability to continue doing business; and 

* * * * * * * 

§ 60125. Authorization of appropriations 

ø(a) GAS AND HAZARDOUS LIQUID.— ø(1) IN GENERAL.—To carry out the provisions of this chapter 

related to gas and hazardous liquid and section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note; 

Public Law 107–355), the following amounts are authorized to 

be appropriated to the Department of Transportation from fees 

collected under section 60301 in each respective year: 

ø(A) For fiscal year 2007, $60,175,000 of which $7,386,000 is for carrying out such section 12 and 

$17,556,000 is for making grants. 

ø(B) For fiscal year 2008, $67,118,000 of which $7,586,000 is for carrying out such section 12 and 

$20,614,000 is for making grants. 

ø(C) For fiscal year 2009, $72,045,000 of which 

$7,586,000 is for carrying out such section 12 and 

$21,513,000 is for making grants. 

ø(D) For fiscal year 2010, $76,580,000 of which 

$7,586,000 is for carrying out subsection 12 and 

$22,252,000 is for making grants. 

ø(2) TRUST FUND AMOUNTS.—In addition to the amounts authorized to be appropriated by paragraph (1) the following 

amounts are authorized 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): 

ø(A) For fiscal year 2007, $18,810,000 of which 

$4,207,000 is for carrying out such section 12 and 

$2,682,000 is for making grants. 

ø(B) For fiscal year 2008, $19,000,000 of which 

$4,207,000 is for carrying out such section 12 and 

$2,682,000 is for making grants. 

ø(C) For fiscal year 2009, $19,500,000 of which 

$4,207,000 is for carrying out such section 12 and 

$3,103,000 is for making grants. 

ø(D) For fiscal year 2010, $20,000,000 of which 

$4,207,000 is for carrying out such section 12 $3,603,000 

is for making grants.¿ 

(a) GAS AND HAZARDOUS LIQUID.— (1) IN GENERAL.—To carry out the provisions of this chapter 

related to gas and hazardous liquid and section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 note; 

Public Law 107–355), 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, 


PWALKER on DSK7TPTVN1PROD with REPORTS
29 

$88,014,000, of which $4,686,000 is for carrying out such section 12 and $34,461,000 is for making grants. 

(2) TRUST FUND AMOUNTS.—In addition to the amounts authorized to be appropriated by paragraph (1), 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), $18,905,000, of which 

$2,185,000 is for carrying out such section 12 and $4,985,000 

is for making grants. 

(b) EMERGENCY RESPONSE GRANTS.— 

(1) * * * 

(2) AUTHORIZATION OF APPROPRIATIONS.—There is authorized 

to be appropriated $10,000,000 for each of fiscal years ø2007 

through 2010¿ 2012 through 2015 to carry out this subsection. 

* * * * * * * 

§ 60130. Pipeline safety information grants to communities 

(a) * * * 

(b) PROHIBITED USES.—Funds provided under this section to 

grant recipients and their contractors may not be used for lobbying, 

for any type of advocacy activity for or against a pipeline construction or expansion project, or in direct support of litigation. 

* * * * * * * 

(d) AUTHORIZATION OF APPROPRIATIONS.—There is authorized to 

be appropriated to the Secretary of Transportation for carrying out 

this section $1,000,000 for each of the fiscal years 2003 through 

ø2010¿ 2015. Such amounts shall not be derived from user fees collected under section 60301. 

* * * * * * * 

§ 60134. State damage prevention programs 

(a) IN GENERAL.—The Secretary may make a grant to a State authority (including a municipality with respect to intrastate gas 

pipeline transportation) to assist in improving the overall quality 

and effectiveness of a damage prevention program of the State authority under subsection (e) if the State authority— 

(1) has in effect an annual certification under section 60105 

or an agreement under section 60106; øand¿ 

(2)(A) * * * 

(B) demonstrates that it has made substantial progress toward establishing such a program, and that such program will 

meet the requirements of subsection (b)ø.¿; and 

(3) does not provide any exemptions to municipalities, State 

agencies, or their contractors from its one-call notification system requirements. 

* * * * * * * 

(i) AUTHORIZATION OF APPROPRIATIONS.—There is authorized to 

be appropriated to the Secretary to provide grants under this section 


PWALKER on DSK7TPTVN1PROD with REPORTS
30 

$1,500,000 for each of fiscal years 2012 through 2015. Such funds 

shall remain available until expended. 

* * * * * * * 

FEDERAL WATER POLLUTION CONTROL ACT 

* * * * * * * 

TITLE III—STANDARDS AND ENFORCEMENT 

* * * * * * * 

OIL AND HAZARDOUS SUBSTANCE LIABILITY

SEC. 311. (a) * * * 

(b)(1) * * * 

* * * * * * * 

(6) ADMINISTRATIVE PENALTIES.— 

(A) VIOLATIONS.—Any owner, operator, or person in charge of 

any vessel, onshore facility, or offshore facility— 

(i) * * * 

* * * * * * * 

may be assessed a class I or class II civil penalty by the Secretary of the department in which the Coast Guard is øoperating or¿ operating, the Secretary of Transportation, or the Administrator. 

* * * * * * * 

(m) ADMINISTRATIVE PROVISIONS.— (1) * * * 

(2) FOR FACILITIES.— (A) RECORDKEEPING.—Whenever required to carry out 

the purposes of this section, the øAdministrator or¿ Administrator, the Secretary of Transportation, or the Secretary of the Department in which the Coast Guard is operating shall require the owner or operator of a facility to 

which this section applies to establish and maintain such 

records, make such reports, install, use, and maintain such 

monitoring equipment and methods, and provide such 

other information as the Administrator or Secretary, as 

the case may be, may require to carry out the objectives 

of this section. 

(B) ENTRY AND INSPECTION.—Whenever required to carry 

out the purposes of this section, the øAdministrator or¿ 

Administrator, the Secretary of Transportation, or the Secretary of the Department in which the Coast Guard is operating or an authorized representative of the Administrator or Secretary, upon presentation of appropriate credentials, may— 

(i) * * * 

* * * * * * * 


PWALKER on DSK7TPTVN1PROD with REPORTS
31 

PIPELINE SAFETY IMPROVEMENT ACT OF 2002 

* * * * * * * 

SEC. 12. PIPELINE INTEGRITY, SAFETY, AND RELIABILITY RESEARCH 

AND DEVELOPMENT. 

(a) * * * 

* * * * * * * 

(d) PROGRAM PLAN.— 

(1) * * * 

* * * * * * * 

(3) ONGOING PIPELINE TRANSPORTATION RESEARCH AND DEVELOPMENT.— 

(A) IN GENERAL.—After the initial 5-year program plan 

has been carried out by the participating agencies, the Secretary of Transportation shall prepare a research and development program plan every 5 years thereafter and shall 

transmit a report to Congress on the status and results-todate of implementation of the program every 2 years. 

(B) CONSULTATION.—The Secretary of Transportation 

shall comply with the consultation requirements of subsection (d)(2) when preparing the program plan and in the 

selection and prioritization of research and development 

projects. 

(C) FUNDING FROM NON-FEDERAL SOURCES.—When carrying out research and development activities, the Secretary, to the greatest extent practicable, shall obtain funding for research and development projects from non-Federal 

sources. 

* * * * * * * 

(f) PIPELINE INTEGRITY PROGRAM.—Of the amounts available in 

the Oil Spill Liability Trust Fund established by section 9509 of the 

Internal Revenue Code of 1986 (26 U.S.C. 9509), $3,000,000 shall 

be transferred to the Secretary of Transportation, as provided in 

appropriation Acts, to carry out programs for detection, prevention, 

and mitigation of oil spills for each of the fiscal years ø2003 

through 2006.¿ 2012 through 2015. 

* * * * * * * 


PWALKER on DSK7TPTVN1PROD with REPORTS
32 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 39 HR297P1.001
33 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 40 HR297P1.002
34 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 41 HR297P1.003
35 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 42 HR297P1.004
36 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 43 HR297P1.005
37 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 44 HR297P1.006
38 


PWALKER on DSK7TPTVN1PROD with REPORTSInsert graphic folio 45 HR297P1.007