In the Senate of the United States,
November 13, 2002.
Resolved, That the bill from the House of Representa-
tives (H.R. 3609) entitled ‘‘An Act to amend title 49, United
States Code, to enhance the security and safety of pipelines.’’,
do pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE; AMENDMENT OF TITLE 49,
UNITED STATES CODE.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Pipeline Safety Improvement Act of 2002’’.
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(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 provi-
sion, the reference shall be considered to be made to a section
or other provision of title 49, United States Code.
SEC. 2. ONE-CALL NOTIFICATION PROGRAMS.
(a) 
MINIMUM
STANDARDS.—Section 
6103 
is
amended—
(1) in subsection (a)—
(A) in paragraph (1) by inserting ‘‘, in-
cluding all government operators’’ before the
semicolon at the end; and
(B) in paragraph (2) by inserting ‘‘, in-
cluding all government and contract excavators’’
before the semicolon at the end; and
(2) in subsection (c) by striking ‘‘provide for’’
and inserting ‘‘provide for and document’’.
(b) COMPLIANCE WITH MINIMUM STANDARDS.—Sec-
tion 6104(d) is amended by striking ‘‘Within 3 years after
the date of the enactment of this chapter, the Secretary shall
begin to’’ and inserting ‘‘The Secretary shall’’.
(c) IMPLEMENTATION OF BEST PRACTICES GUIDE-
LINES.—
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(1) IN GENERAL.—Section 6105 is amended to
read as follows:
‘‘§ 6105. Implementation of best practices guidelines
‘‘(a) ADOPTION OF BEST PRACTICES.—The Secretary
of Transportation shall encourage States, operators of one-
call notification programs, excavators (including all gov-
ernment and contract excavators), and underground facility
operators to adopt and implement practices identified in
the best practices report entitled ‘Common Ground’, as peri-
odically updated.
‘‘(b) TECHNICAL ASSISTANCE.—The Secretary shall
provide technical assistance to and participate in programs
sponsored by a non-profit organization specifically estab-
lished for the purpose of reducing construction-related dam-
age to underground facilities.
‘‘(c) GRANTS.—
‘‘(1) IN
GENERAL.—The Secretary may make
grants to a non-profit organization described in sub-
section (b).
‘‘(2) AUTHORIZATION OF APPROPRIATIONS.—In
addition to amounts authorized under section 6107,
there is authorized to be appropriated for making
grants under this subsection $500,000 for each of fis-
cal years 2003 through 2006. Such sums shall remain
available until expended.
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‘‘(3) GENERAL REVENUE FUNDING.—Any sums
appropriated under this subsection shall be derived
from general revenues and may not be derived from
amounts collected under section 60301.’’.
(2) CONFORMING AMENDMENT.—The analysis for
chapter 61 is amended by striking the item relating
to section 6105 and inserting the following:
‘‘6105. Implementation of best practices guidelines.’’.
(d) AUTHORIZATION OF APPROPRIATIONS.—
(1) FOR GRANTS FOR STATES.—Section 6107(a)
is amended by striking ‘‘$1,000,000 for fiscal year
2000’’ and all that follows before the period at the end
of the first sentence and inserting ‘‘$1,000,000 for
each of fiscal years 2003 through 2006’’.
(2) FOR ADMINISTRATION.—Section 6107(b) is
amended by striking ‘‘for fiscal years 1999, 2000, and
2001’’ and inserting ‘‘for fiscal years 2003 through
2006’’.
SEC. 3. ONE-CALL NOTIFICATION OF PIPELINE OPERATORS.
(a) LIMITATION ON PREEMPTION.—Section 60104(c) is
amended by adding at the end the following: ‘‘Notwith-
standing the preceding sentence, a State authority may en-
force a requirement of a one-call notification program of
the State if the program meets the requirements for one-
call notification programs under this chapter or chapter
61.’’.
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(b) MINIMUM REQUIREMENTS.—Section 60114(a)(2)
is amended by inserting ‘‘, including a government em-
ployee or contractor,’’ after ‘‘person’’.
(c) CRIMINAL
PENALTIES.—Section 60123(d) is
amended—
(1) in the matter preceding paragraph (1) by
striking ‘‘knowingly and willfully’’;
(2) in paragraph (1) by inserting ‘‘knowingly
and willfully’’ before ‘‘engages’’;
(3) by striking paragraph (2)(B) and inserting
the following:
‘‘(B) a pipeline facility, and knows or has
reason to know of the damage, but does not re-
port the damage promptly to the operator of the
pipeline facility and to other appropriate au-
thorities; or’’; and
(4) by adding after paragraph (2) the following:
‘‘Penalties under this subsection may be reduced in the case
of a violation that is promptly reported by the violator.’’.
SEC. 4. STATE OVERSIGHT ROLE.
(a) STATE AGREEMENTS WITH CERTIFICATION.—Sec-
tion 60106 is amended—
(1) in subsection (a) by striking ‘‘GENERAL AU-
THORITY.—’’ and inserting ‘‘AGREEMENTS WITHOUT
CERTIFICATION.—’’;
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(2) by redesignating subsections (b), (c), and (d)
as subsections (c), (d), and (e), respectively; and
(3) by inserting after subsection (a) the fol-
lowing:
‘‘(b) AGREEMENTS WITH CERTIFICATION.—
‘‘(1) IN GENERAL.—If the Secretary accepts a
certification under section 60105 and makes the deter-
mination required under this subsection, the Sec-
retary may make an agreement with a State author-
ity authorizing it to participate in the oversight of
interstate pipeline transportation. Each such agree-
ment shall include a plan for the State authority to
participate in special investigations involving inci-
dents or new construction and allow the State author-
ity to participate in other activities overseeing inter-
state pipeline transportation or to assume additional
inspection or investigatory duties. Nothing in this
section modifies section 60104(c) or authorizes the
Secretary to delegate the enforcement of safety stand-
ards for interstate pipeline facilities prescribed under
this chapter to a State authority.
‘‘(2) DETERMINATIONS
REQUIRED.—The Sec-
retary may not enter into an agreement under this
subsection, unless the Secretary determines in writing
that—
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‘‘(A) the agreement allowing participation
of the State authority is consistent with the Sec-
retary’s program for inspection and consistent
with the safety policies and provisions provided
under this chapter;
‘‘(B) the interstate participation agreement
would not adversely affect the oversight respon-
sibilities of intrastate pipeline transportation by
the State authority;
‘‘(C) the State is carrying out a program
demonstrated to promote preparedness and risk
prevention activities that enable communities to
live safely with pipelines;
‘‘(D) the State meets the minimum stand-
ards for State one-call notification set forth in
chapter 61; and
‘‘(E) the actions planned under the agree-
ment would not impede interstate commerce or
jeopardize public safety.
‘‘(3) EXISTING
AGREEMENTS.—If requested by
the State authority, the Secretary shall authorize a
State authority which had an interstate agreement in
effect after January 31, 1999, to oversee interstate
pipeline transportation pursuant to the terms of that
agreement until the Secretary determines that the
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State meets the requirements of paragraph (2) and
executes a new agreement, or until December 31,
2003, whichever is sooner. Nothing in this paragraph
shall prevent the Secretary, after affording the State
notice, hearing, and an opportunity to correct any al-
leged deficiencies, from terminating an agreement
that was in effect before enactment of the Pipeline
Safety Improvement Act of 2002 if—
‘‘(A) the State authority fails to comply
with the terms of the agreement;
‘‘(B) implementation of the agreement has
resulted in a gap in the oversight responsibilities
of intrastate pipeline transportation by the State
authority; or
‘‘(C) continued participation by the State
authority in the oversight of interstate pipeline
transportation has had an adverse impact on
pipeline safety.’’.
(b) ENDING AGREEMENTS.—Subsection (e) of section
60106 (as redesignated by subsection (a)(2) of this section)
is amended to read as follows:
‘‘(e) ENDING AGREEMENTS.—
‘‘(1) PERMISSIVE TERMINATION.—The Secretary
may end an agreement under this section when the
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Secretary finds that the State authority has not com-
plied with any provision of the agreement.
‘‘(2) MANDATORY
TERMINATION
OF
AGREE-
MENT.—The Secretary shall end an agreement for the
oversight of interstate pipeline transportation if the
Secretary finds that—
‘‘(A) implementation of such agreement has
resulted in a gap in the oversight responsibilities
of intrastate pipeline transportation by the State
authority;
‘‘(B) the State actions under the agreement
have failed to meet the requirements under sub-
section (b); or
‘‘(C) continued participation by the State
authority in the oversight of interstate pipeline
transportation would not promote pipeline safe-
ty.
‘‘(3) PROCEDURAL
REQUIREMENTS.—The Sec-
retary shall give notice and an opportunity for a
hearing to a State authority before ending an agree-
ment under this section. The Secretary may provide
a State an opportunity to correct any deficiencies be-
fore ending an agreement. The finding and decision
to end the agreement shall be published in the Federal
Register and may not become effective for at least 15
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days after the date of publication unless the Secretary
finds that continuation of an agreement poses an im-
minent hazard.’’.
(c) SECRETARY’S RESPONSE TO STATE NOTICES OF
VIOLATIONS.—Subsection (c) of section 60106 (as redesig-
nated by subsection (a)(2) of this section) is amended—
(1) by striking ‘‘Each agreement’’ and inserting
the following:
‘‘(1) IN GENERAL.—Each agreement’’;
(2) by adding at the end the following:
‘‘(2) RESPONSE BY SECRETARY.—If a State au-
thority notifies the Secretary under paragraph (1) of
a violation or probable violation of an applicable
safety standard, the Secretary, not later than 60 days
after the date of receipt of the notification, shall—
‘‘(A) issue an order under section 60118(b)
or take other appropriate enforcement actions to
ensure compliance with this chapter; or
‘‘(B) provide the State authority with a
written explanation as to why the Secretary has
determined not to take such actions.’’; and
(3) by aligning the text of paragraph (1) (as des-
ignated by this subsection) with paragraph (2) (as
added by this subsection).
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SEC. 5. PUBLIC EDUCATION PROGRAMS.
Section 60116 is amended to read as follows:
‘‘§ 60116. Public education programs
‘‘(a) IN GENERAL.—Each owner or operator of a gas
or hazardous liquid pipeline facility shall carry out a con-
tinuing program to educate the public on the use of a one-
call notification system prior to excavation and other dam-
age prevention activities, the possible hazards associated
with unintended releases from the pipeline facility, the
physical indications that such a release may have occurred,
what steps should be taken for public safety in the event
of a pipeline release, and how to report such an event.
‘‘(b) MODIFICATION
OF EXISTING PROGRAMS.—Not
later than 12 months after the date of enactment of the
Pipeline Safety Improvement Act of 2002, each owner or
operator of a gas or hazardous liquid pipeline facility shall
review its existing public education program for effective-
ness and modify the program as necessary. The completed
program shall include activities to advise affected munici-
palities, school districts, businesses, and residents of pipe-
line facility locations. The completed program shall be sub-
mitted to the Secretary or, in the case of an intrastate pipe-
line facility operator, the appropriate State agency, and
shall be periodically reviewed by the Secretary or, in the
case of an intrastate pipeline facility operator, the appro-
priate State agency.
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‘‘(c) STANDARDS.—The Secretary may issue standards
prescribing the elements of an effective public education
program. The Secretary may also develop material for use
in the program.’’.
SEC. 6. PROTECTION OF EMPLOYEES PROVIDING PIPELINE
SAFETY INFORMATION.
(a) IN GENERAL.—Chapter 601 is amended by adding
at the end the following:
‘‘§ 60129. Protection of employees providing pipeline
safety information
‘‘(a) DISCRIMINATION AGAINST EMPLOYEE.—
‘‘(1) IN GENERAL.—No employer may discharge
any employee or otherwise discriminate against any
employee with respect to his compensation, terms,
conditions, or privileges of employment because the
employee (or any person acting pursuant to a request
of the employee)—
‘‘(A) provided, caused to be provided, or is
about to provide or cause to be provided, to the
employer or the Federal Government information
relating to any violation or alleged violation of
any order, regulation, or standard under this
chapter or any other Federal law relating to
pipeline safety;
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‘‘(B) refused to engage in any practice
made unlawful by this chapter or any other Fed-
eral law relating to pipeline safety, if the em-
ployee has identified the alleged illegality to the
employer;
‘‘(C) provided, caused to be provided, or is
about to provide or cause to be provided, testi-
mony before Congress or at any Federal or State
proceeding regarding any provision (or proposed
provision) of this chapter or any other Federal
law relating to pipeline safety;
‘‘(D) commenced, caused to be commenced,
or is about to commence or cause to be com-
menced a proceeding under this chapter or any
other Federal law relating to pipeline safety, or
a proceeding for the administration or enforce-
ment of any requirement imposed under this
chapter or any other Federal law relating to
pipeline safety;
‘‘(E) provided, caused to be provided, or is
about to provide or cause to be provided, testi-
mony in any proceeding described in subpara-
graph (D); or
‘‘(F) assisted or participated or is about to
assist or participate in any manner in such a
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proceeding or in any other manner in such a
proceeding or in any other action to carry out
the purposes of this chapter or any other Federal
law relating to pipeline safety.
‘‘(2) EMPLOYER DEFINED.—In this section, the
term ‘employer’ means—
‘‘(A) a person owning or operating a pipe-
line facility; or
‘‘(B) a contractor or subcontractor of such
a person.
‘‘(b) DEPARTMENT
OF LABOR COMPLAINT PROCE-
DURE.—
‘‘(1) FILING AND NOTIFICATION.—A person who
believes that he or she has been discharged or other-
wise discriminated against by any person in viola-
tion of subsection (a) may, not later than 180 days
after the date on which such violation occurs, file (or
have any person file on his or her behalf) a complaint
with the Secretary of Labor alleging such discharge or
discrimination. Upon receipt of such a complaint, the
Secretary of Labor shall notify, in writing, the person
or persons named in the complaint and the Secretary
of Transportation of the filing of the complaint, of the
allegations contained in the complaint, of the sub-
stance of evidence supporting the complaint, and of
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the opportunities that will be afforded to such person
or persons under paragraph (2).
‘‘(2) INVESTIGATION; PRELIMINARY ORDER.—
‘‘(A) IN GENERAL.—Not later than 60 days
after the date of receipt of a complaint filed
under paragraph (1) and after affording the per-
son or persons named in the complaint an op-
portunity to submit to the Secretary of Labor a
written response to the complaint and an oppor-
tunity to meet with a representative of the Sec-
retary of Labor to present statements from wit-
nesses, the Secretary of Labor shall conduct an
investigation and determine whether there is rea-
sonable cause to believe that the complaint has
merit and notify in writing the complainant
and the person or persons alleged to have com-
mitted a violation of subsection (a) of the Sec-
retary of Labor’s findings. If the Secretary of
Labor concludes that there is reasonable cause to
believe that a violation of subsection (a) has oc-
curred, the Secretary of Labor shall include with
the Secretary of Labor’s findings with a prelimi-
nary order providing the relief prescribed by
paragraph (3)(B). Not later than 60 days after
the date of notification of findings under this
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subparagraph, any person alleged to have com-
mitted a violation or the complainant may file
objections to the findings or preliminary order,
or both, and request a hearing on the record. The
filing of such objections shall not operate to stay
any reinstatement remedy contained in the pre-
liminary order. Such hearings shall be conducted
expeditiously. If a hearing is not requested in
such 60-day period, the preliminary order shall
be deemed a final order that is not subject to ju-
dicial review.
‘‘(B) REQUIREMENTS.—
‘‘(i) REQUIRED
SHOWING
BY
COM-
PLAINANT.—The Secretary of Labor shall
dismiss a complaint filed under this sub-
section and shall not conduct an investiga-
tion otherwise required under subparagraph
(A) unless the complainant makes a prima
facie showing that any behavior described
in subsection (a) was a contributing factor
in the unfavorable personnel action alleged
in the complaint.
‘‘(ii) SHOWING
BY
EMPLOYER.—Not-
withstanding a finding by the Secretary of
Labor that the complainant has made the
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paragraph (2), the Secretary of Labor shall issue
a final order providing the relief prescribed by
this paragraph or denying the complaint. At any
time before issuance of a final order, a pro-
ceeding under this subsection may be terminated
on the basis of a settlement agreement entered
into by the Secretary of Labor, the complainant,
and the person or persons alleged to have com-
mitted the violation.
‘‘(B) REMEDY.—If, in response to a com-
plaint filed under paragraph (1), the Secretary
of Labor determines that a violation of sub-
section (a) has occurred, the Secretary of Labor
shall order the person or persons who committed
such violation to—
‘‘(i) take affirmative action to abate
the violation;
‘‘(ii) reinstate the complainant to his
or her former position together with the
compensation (including back pay) and re-
store the terms, conditions, and privileges
associated with his or her employment; and
‘‘(iii) provide compensatory damages
to the complainant.
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If such an order is issued under this paragraph,
the Secretary of Labor, at the request of the com-
plainant, shall assess against the person or per-
sons against whom the order is issued a sum
equal to the aggregate amount of all costs and
expenses (including attorney’s and expert witness
fees) reasonably incurred, as determined by the
Secretary of Labor, by the complainant for, or in
connection with, the bringing the complaint
upon which the order was issued.
‘‘(C) FRIVOLOUS COMPLAINTS.—If the Sec-
retary of Labor finds that a complaint under
paragraph (1) is frivolous or has been brought in
bad faith, the Secretary of Labor may award to
the prevailing employer a reasonable attorney’s
fee not exceeding $1,000.
‘‘(4) REVIEW.—
‘‘(A) APPEAL TO COURT OF APPEALS.—Any
person adversely affected or aggrieved by an
order issued under paragraph (3) may obtain re-
view of the order in the United States Court of
Appeals for the circuit in which the violation,
with respect to which the order was issued, alleg-
edly occurred or the circuit in which the com-
plainant resided on the date of such violation.
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The petition for review must be filed not later
than 60 days after the date of issuance of the
final order of the Secretary of Labor. Review
shall conform to chapter 7 of title 5, United
States Code. The commencement of proceedings
under this subparagraph shall not, unless or-
dered by the court, operate as a stay of the order.
‘‘(B) LIMITATION
ON
COLLATERAL
AT-
TACK.—An order of the Secretary of Labor with
respect to which review could have been obtained
under subparagraph (A) shall not be subject to
judicial review in any criminal or other civil
proceeding.
‘‘(5) ENFORCEMENT OF ORDER BY SECRETARY
OF LABOR.—Whenever any person has failed to com-
ply with an order issued under paragraph (3), the
Secretary of Labor may file a civil action in the
United States district court for the district in which
the violation was found to occur to enforce such order.
In actions brought under this paragraph, the district
courts shall have jurisdiction to grant all appropriate
relief, including, but not to be limited to, injunctive
relief and compensatory damages.
‘‘(6) ENFORCEMENT OF ORDER BY PARTIES.—
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‘‘(A) COMMENCEMENT OF ACTION.—A per-
son on whose behalf an order was issued under
paragraph (3) may commence a civil action
against the person or persons to whom such
order was issued to require compliance with such
order. The appropriate United States district
court shall have jurisdiction, without regard to
the amount in controversy or the citizenship of
the parties, to enforce such order.
‘‘(B) ATTORNEY
FEES.—The court, in
issuing any final order under this paragraph,
may award costs of litigation (including reason-
able attorney and expert witness fees) to any
party whenever the court determines such award
of costs is appropriate.
‘‘(c) MANDAMUS.—Any nondiscretionary duty im-
posed by this section shall be enforceable in a mandamus
proceeding brought under section 1361 of title 28, United
States Code.
‘‘(d) NONAPPLICABILITY
TO
DELIBERATE
VIOLA-
TIONS.—Subsection (a) shall not apply with respect to an
action of an employee of an employer who, acting without
direction from the employer (or such employer’s agent), de-
liberately causes a violation of any requirement relating to
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pipeline safety under this chapter or any other law of the
United States.’’.
(b) CIVIL PENALTY.—Section 60122(a) is amended by
adding at the end the following:
‘‘(3) A person violating section 60129, or an order
issued thereunder, is liable to the Government for a civil
penalty of not more than $1,000 for each violation. The
penalties provided by paragraph (1) do not apply to a vio-
lation of section 60129 or an order issued thereunder.’’.
(c) CONFORMING
AMENDMENT.—The analysis for
chapter 601 is amended by adding at the end the following:
‘‘60129. Protection of employees providing pipeline safety information.’’.
SEC. 7. SAFETY ORDERS.
Section 60117 is amended by adding at the end the
following:
‘‘(l) SAFETY ORDERS.—If the Secretary decides that
a pipeline facility has a potential safety-related condition,
the Secretary may order the operator of the facility to take
necessary corrective action, including physical inspection,
testing, repair, replacement, or other appropriate action to
remedy the safety-related condition.’’.
SEC. 8. PENALTIES.
(a) PIPELINE
FACILITIES
HAZARDOUS
TO
LIFE,
PROPERTY, OR THE ENVIRONMENT.—
(1) GENERAL AUTHORITY.—Section 60112(a) is
amended to read as follows:
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‘‘(a) GENERAL AUTHORITY.—After notice and an op-
portunity for a hearing, the Secretary of Transportation
may decide that a pipeline facility is hazardous if the Sec-
retary decides that—
‘‘(1) operation of the facility is or would be haz-
ardous to life, property, or the environment; or
‘‘(2) the facility is or would be constructed or op-
erated, or a component of the facility is or would be
constructed or operated, with equipment, material, or
a technique that the Secretary decides is hazardous to
life, property, or the environment.’’.
(2) 
CORRECTIVE
ACTION
ORDERS.—Section
60112(d) is amended by striking ‘‘is hazardous’’ and
inserting ‘‘is or would be hazardous’’.
(b) ENFORCEMENT.—
(1) GENERAL PENALTIES.—Section 60122(a)(1)
is amended—
(A) by striking ‘‘$25,000’’ and inserting
‘‘$100,000’’; and
(B) by striking ‘‘$500,000’’ and inserting
‘‘$1,000,000’’.
(2) 
PENALTY
CONSIDERATIONS.—Section
60122(b) is amended by striking ‘‘under this section’’
and all that follows through paragraph (4) and in-
serting ‘‘under this section—
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‘‘(1) the Secretary shall consider—
‘‘(A) the nature, circumstances, and gravity
of the violation, including adverse impact on the
environment;
‘‘(B) with respect to the violator, the degree
of culpability, any history of prior violations,
the ability to pay, and any effect on ability to
continue doing business; and
‘‘(C) good faith in attempting to comply;
and
‘‘(2) the Secretary may consider—
‘‘(A) the economic benefit gained from the
violation without any reduction because of subse-
quent damages; and
‘‘(B) other matters that justice requires.’’.
(3) 
CIVIL
ACTIONS.—Section 
60120(a) 
is
amended—
(A) by striking ‘‘(a) CIVIL ACTIONS.—(1)’’
and all that follows through ‘‘(2) At the request’’
and inserting the following:
‘‘(a) CIVIL ACTIONS.—
‘‘(1) CIVIL ACTIONS TO ENFORCE THIS CHAP-
TER.—At the request of the Secretary of Transpor-
tation, the Attorney General may bring a civil action
in an appropriate district court of the United States
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to enforce this chapter, including section 60112, or a
regulation prescribed or order issued under this chap-
ter. The court may award appropriate relief, includ-
ing a temporary or permanent injunction, punitive
damages, and assessment of civil penalties, consid-
ering the same factors as prescribed for the Secretary
in an administrative case under section 60122.
‘‘(2) CIVIL ACTIONS TO REQUIRE COMPLIANCE
WITH SUBPOENAS OR ALLOW FOR INSPECTIONS.—At
the request’’; and
(B) by aligning the remainder of the text of
paragraph (2) with the text of paragraph (1).
(c) CRIMINAL PENALTIES
FOR DAMAGING
OR DE-
STROYING A FACILITY.—Section 60123(b) is amended—
(1) by striking ‘‘or’’ after ‘‘gas pipeline facility’’
and inserting ‘‘, an’’; and
(2) by inserting after ‘‘liquid pipeline facility’’
the following: ‘‘, or either an intrastate gas pipeline
facility or intrastate hazardous liquid pipeline facil-
ity that is used in interstate or foreign commerce or
in any activity affecting interstate or foreign com-
merce’’.
(d) COMPTROLLER GENERAL STUDY.—
(1) IN GENERAL.—The Comptroller General shall
conduct a study of the actions, policies, and proce-
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dures of the Secretary of Transportation for assessing
and collecting fines and penalties on operators of haz-
ardous liquid and gas transmission pipelines.
(2) ANALYSIS.—In conducting the study, the
Comptroller General shall examine, at a minimum,
the following:
(A) The frequency with which the Secretary
has substituted corrective orders for fines and
penalties.
(B) Changes in the amounts of fines rec-
ommended by safety inspectors, assessed by the
Secretary, and actually collected.
(C) An evaluation of the overall effectiveness
of the Secretary’s enforcement strategy.
(D) The extent to which the Secretary has
complied with the report of the Government Ac-
counting Office entitled ‘‘Pipeline Safety: The
Office of Pipeline Safety is Changing How it
Oversees the Pipeline Industry’’.
(3) REPORT.—Not later than 1 year after the date of
enactment of this Act, the Comptroller General shall trans-
mit to the Committee on Commerce, Science, and Transpor-
tation of the Senate and the Committees on Transportation
and Infrastructure and Energy and Commerce of the House
of Representatives a report on the results of the study.
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SEC. 9. PIPELINE SAFETY INFORMATION GRANTS TO COM-
MUNITIES.
(a) IN GENERAL.—Chapter 601 is further amended by
adding at the end the following:
‘‘§ 60130. Pipeline safety information grants to com-
munities
‘‘(a) GRANT AUTHORITY.—
‘‘(1) IN GENERAL.—The Secretary of Transpor-
tation may make grants for technical assistance to
local communities and groups of individuals (not in-
cluding for-profit entities) relating to the safety of
pipeline facilities in local communities, other than fa-
cilities regulated under Public Law 93–153 (43
U.S.C. 1651 et seq.). The Secretary shall establish
competitive procedures for awarding grants under
this section and criteria for selecting grant recipients.
The amount of any grant under this section may not
exceed $50,000 for a single grant recipient. The Sec-
retary shall establish appropriate procedures to en-
sure the proper use of funds provided under this sec-
tion.
‘‘(2) TECHNICAL ASSISTANCE DEFINED.—In this
subsection, the term ‘technical assistance’ means engi-
neering and other scientific analysis of pipeline safety
issues, including the promotion of public participa-
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tion in official proceedings conducted under this
chapter.
‘‘(b) PROHIBITED USES.—Funds provided under this
section may not be used for lobbying or in direct support
of litigation.
‘‘(c) ANNUAL REPORT.—
‘‘(1) IN GENERAL.—Not later than 90 days after
the last day of each fiscal year for which grants are
made by the Secretary under this section, the Sec-
retary shall report to the Committees on Commerce,
Science, and Transportation and Energy and Natural
Resources of the Senate and the Committees on
Transportation and Infrastructure and Energy and
Commerce of the House of Representatives on grants
made under this section in the preceding fiscal year.
‘‘(2) CONTENTS.—The report shall include—
‘‘(A) a listing of the identity and location
of each recipient of a grant under this section in
the preceding fiscal year and the amount re-
ceived by the recipient;
‘‘(B) a description of the purpose for which
each grant was made; and
‘‘(C) a description of how each grant was
used by the recipient.
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‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized to be appropriated to the Secretary of Transpor-
tation for carrying out this section $1,000,000 for each of
the fiscal years 2003 through 2006. Such amounts shall not
be derived from user fees collected under section 60301.’’.
(c) CONFORMING
AMENDMENT.—The analysis for
chapter 601 is amended by adding at the end the following:
‘‘60130. Pipeline safety information grants to communities.’’.
SEC. 10. OPERATOR ASSISTANCE IN INVESTIGATIONS.
(a) IN GENERAL.—Section 60118 is amended by add-
ing at the end the following:
‘‘(e) OPERATOR ASSISTANCE IN INVESTIGATIONS.—If
the Secretary or the National Transportation Safety Board
investigate an accident involving a pipeline facility, the op-
erator 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 as-
sistance in the investigation of the accident.’’.
(b) CORRECTIVE ACTION ORDERS.—Section 60112(d)
is amended—
(1) by striking ‘‘If the Secretary’’ and inserting
the following:
‘‘(1) IN GENERAL.—If the Secretary’’;
(2) by adding the end the following:
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‘‘(2) 
ACTIONS
ATTRIBUTABLE
TO
AN
EM-
PLOYEE.—If, in the case of a corrective action order
issued following an accident, the Secretary determines
that the actions of an employee carrying out an activ-
ity regulated under this chapter, including duties
under section 60102(a), may have contributed sub-
stantially to the cause of the accident, the Secretary
shall direct the operator to relieve the employee from
performing those activities, reassign the employee, or
place the employee on leave until the earlier of the
date on which—
‘‘(A) the Secretary, after notice and an op-
portunity for a hearing, determines that the em-
ployee’s actions did not contribute substantially
to the cause of the accident; or
‘‘(B) the Secretary determines the employee
has been re-qualified or re-trained as provided
for in section 60131 and can safely perform those
activities.
‘‘(3) 
EFFECT
OF
COLLECTIVE
BARGAINING
AGREEMENTS.—An action taken by an operator
under paragraph (2) shall be in accordance with the
terms and conditions of any applicable collective bar-
gaining agreement.’’; and
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(3) by aligning the remainder of the text of
paragraph (1) (as designated by paragraph (1) of this
subsection) with paragraph (2) (as added by para-
graph (2) of this subsection).
(c) LIMITATION ON STATUTORY CONSTRUCTION.—Sec-
tion 60118 is amended by adding at the end the following:
‘‘(f) LIMITATION
ON STATUTORY CONSTRUCTION.—
Nothing in this section may be construed to infringe upon
the constitutional rights of an operator or its employees.’’.
SEC. 11. POPULATION ENCROACHMENT AND RIGHTS-OF-
WAY.
(a) IN GENERAL.—Section 60127 is amended to read
as follows:
‘‘§ 60127. Population encroachment and rights-of-way
‘‘(a) STUDY.—The Secretary of Transportation, in
conjunction with the Federal Energy Regulatory Commis-
sion and in consultation with appropriate Federal agencies
and State and local governments, shall undertake a study
of land use practices, zoning ordinances, and preservation
of environmental resources with regard to pipeline rights-
of-way and their maintenance.
‘‘(b) PURPOSE OF STUDY.—The purpose of the study
shall be to gather information on land use practices, zoning
ordinances, and preservation of environmental resources—
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‘‘(1) to determine effective practices to limit en-
croachment on existing pipeline rights-of-way;
‘‘(2) to address and prevent the hazards and
risks to the public, pipeline workers, and the environ-
ment associated with encroachment on pipeline
rights-of-way;
‘‘(3) to raise the awareness of the risks and haz-
ards of encroachment on pipeline rights-of-way; and
‘‘(4) to address how to best preserve environ-
mental resources in conjunction with maintaining
pipeline rights-of-way, recognizing pipeline operators’
regulatory obligations to maintain rights-of-way and
to protect public safety.
‘‘(c) CONSIDERATIONS.—In conducting the study, the
Secretary shall consider, at a minimum, the following:
‘‘(1) The legal authority of Federal agencies and
State and local governments in controlling land use
and the limitations on such authority.
‘‘(2) The current practices of Federal agencies
and State and local governments in addressing land
use issues involving a pipeline easement.
‘‘(3) The most effective way to encourage Federal
agencies and State and local governments to monitor
and reduce encroachment upon pipeline rights-of-way.
‘‘(d) REPORT.—
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‘‘(1) IN GENERAL.—Not later than 1 year after
the date of enactment of this subsection, the Secretary
shall publish a report identifying practices, laws, and
ordinances that are most successful in addressing
issues of encroachment and maintenance on pipeline
rights-of-way so as to more effectively protect public
safety, pipeline workers, and the environment.
‘‘(2) DISTRIBUTION OF REPORT.—The Secretary
shall provide a copy of the report to—
‘‘(A) Congress and appropriate Federal
agencies; and
‘‘(B) States for further distribution to ap-
propriate local authorities.
‘‘(3) ADOPTION OF PRACTICES, LAWS, AND ORDI-
NANCES.—The Secretary shall encourage Federal
agencies and State and local governments to adopt
and implement appropriate practices, laws, and ordi-
nances, as identified in the report, to address the risks
and hazards associated with encroachment upon pipe-
line rights-of-way and to address the potential meth-
ods of preserving environmental resources while main-
taining pipeline rights-of-way, consistent with pipe-
line safety.’’.
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(b) CONFORMING
AMENDMENT.—The analysis for
chapter 601 is amended by striking the item relating to sec-
tion 60127 and inserting the following:
‘‘60127. Population encroachment and rights-of-way.’’.
SEC. 12. PIPELINE INTEGRITY, SAFETY, AND RELIABILITY
RESEARCH AND DEVELOPMENT.
(a) IN GENERAL.—The heads of the participating
agencies shall carry out a program of research, develop-
ment, demonstration, and standardization to ensure the in-
tegrity of pipeline facilities.
(b) MEMORANDUM OF UNDERSTANDING.—
(1) IN GENERAL.—Not later than 120 days after
the date of enactment of this Act, the heads of the par-
ticipating agencies shall enter into a memorandum of
understanding detailing their respective responsibil-
ities in the program authorized by subsection (a).
(2) AREAS OF EXPERTISE.—Under the memo-
randum of understanding, each of the participating
agencies shall have the primary responsibility for en-
suring that the elements of the program within its ex-
pertise are implemented in accordance with this sec-
tion. The Department of Transportation’s responsibil-
ities shall reflect its lead role in pipeline safety and
expertise in pipeline inspection, integrity manage-
ment, and damage prevention. The Department of
Energy’s responsibilities shall reflect its expertise in
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system reliability, low-volume gas leak detection, and
surveillance technologies. The National Institute of
Standards and Technology’s responsibilities shall re-
flect its expertise in materials research and assisting
in the development of consensus technical standards,
as that term is used in section 12(d)(4) of Public Law
104–13 (15 U.S.C. 272 note).
(c) PROGRAM ELEMENTS.—The program authorized
by subsection (a) shall include research, development, dem-
onstration, and standardization activities related to—
(1) materials inspection;
(2) stress and fracture analysis, detection of
cracks, corrosion, abrasion, and other abnormalities
inside pipelines that lead to pipeline failure, and de-
velopment of new equipment or technologies that are
inserted into pipelines to detect anomalies;
(3) internal inspection and leak detection tech-
nologies, including detection of leaks at very low vol-
umes;
(4) methods of analyzing content of pipeline
throughput;
(5) pipeline security, including improving the
real-time surveillance of pipeline rights-of-way, devel-
oping tools for evaluating and enhancing pipeline se-
curity and infrastructure, reducing natural, techno-
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logical, and terrorist threats, and protecting first re-
sponse units and persons near an incident;
(6) risk assessment methodology, including vul-
nerability assessment and reduction of third-party
damage;
(7) communication, control, and information
systems surety;
(8) fire safety of pipelines;
(9) improved excavation, construction, and re-
pair technologies; and
(10) other appropriate elements.
(d) PROGRAM PLAN.—
(1) IN GENERAL.—Not later than 1 year after
the date of enactment of this section, the Secretary of
Transportation, in coordination with the Secretary of
Energy and the Director of the National Institute of
Standards and Technology, shall prepare and trans-
mit to Congress a 5-year program plan to guide ac-
tivities under this section. Such program plan shall
be submitted to the Technical Pipeline Safety Stand-
ards Committee and the Technical Hazardous Liquid
Pipeline Safety Standards Committee for review, and
the report to Congress shall include the comments of
the committees. The 5-year program plan shall be
based on the memorandum of understanding under
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subsection (b) and take into account related activities
of other Federal agencies.
(2) CONSULTATION.—In preparing the program
plan and selecting and prioritizing appropriate
project proposals, the Secretary of Transportation
shall consult with or seek the advice of appropriate
representatives of the natural gas, crude oil, and pe-
troleum product pipeline industries, utilities, manu-
facturers, institutions of higher learning, Federal
agencies, pipeline research institutions, national lab-
oratories, State pipeline safety officials, labor organi-
zations, environmental organizations, pipeline safety
advocates, and professional and technical societies.
(e) REPORTS TO CONGRESS.—Not later than 1 year
after the date of enactment of this Act, and annually there-
after, the heads of the participating agencies shall transmit
jointly to Congress a report on the status and results to
date of the implementation of the program plan prepared
under subsection (d).
(f) AUTHORIZATION OF APPROPRIATIONS.—
(1) DEPARTMENT OF TRANSPORTATION.—There
is authorized to be appropriated to the Secretary of
Transportation 
for 
carrying 
out 
this 
section
$10,000,000 for each of the fiscal years 2003 through
2006.
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(2) DEPARTMENT OF ENERGY.—There is author-
ized to be appropriated to the Secretary of Energy for
carrying out this section $10,000,000 for each of the
fiscal years 2003 through 2006.
(3) NATIONAL
INSTITUTE
OF
STANDARDS
AND
TECHNOLOGY.—There is authorized to be appro-
priated to the Director of the National Institute of
Standards and Technology for carrying out this sec-
tion $5,000,000 for each of the fiscal years 2003
through 2006.
(4) GENERAL
REVENUE
FUNDING.—Any sums
appropriated under this subsection shall be derived
from general revenues and may not be derived from
amounts collected under section 60301 of title 49,
United States Code.
(g) 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 Sec-
retary 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 2003
through 2006.
(h) PARTICIPATING AGENCIES DEFINED.—In this sec-
tion, the term ‘‘participating agencies’’ means the Depart-
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ment of Transportation, the Department of Energy, and the
National Institute of Standards and Technology.
SEC. 13. PIPELINE QUALIFICATION PROGRAMS.
(a) VERIFICATION PROGRAM.—
(1) IN
GENERAL.—Chapter 601 is further
amended by adding at the end the following:
‘‘§ 60131. Verification of pipeline qualification pro-
grams
‘‘(a) IN GENERAL.—Subject to the requirements of this
section, the Secretary of Transportation shall require the
operator of a pipeline facility to develop and adopt a quali-
fication program to ensure that the individuals who per-
form covered tasks are qualified to conduct such tasks.
‘‘(b) STANDARDS AND CRITERIA.—
‘‘(1) DEVELOPMENT.—Not later than 1 year
after the date of enactment of this section, the Sec-
retary shall ensure that the Department of Transpor-
tation has in place standards and criteria for quali-
fication programs referred to in subsection (a).
‘‘(2) CONTENTS.—The standards and criteria
shall include the following:
‘‘(A) The establishment of methods for eval-
uating the acceptability of the qualifications of
individuals described in subsection (a).
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‘‘(B) A requirement that pipeline operators
develop and implement written plans and proce-
dures to qualify individuals described in sub-
section (a) to a level found acceptable using the
methods established under subparagraph (A) and
evaluate the abilities of individuals described in
subsection (a) according to such methods.
‘‘(C) A requirement that the plans and pro-
cedures adopted by a pipeline operator under
subparagraph (B) be reviewed and verified under
subsection (e).
‘‘(c) DEVELOPMENT OF QUALIFICATION PROGRAMS BY
PIPELINE OPERATORS.—The Secretary shall require each
pipeline operator to develop and adopt, not later than 2
years after the date of enactment of this section, a qualifica-
tion program that complies with the standards and criteria
described in subsection (b).
‘‘(d) ELEMENTS OF QUALIFICATION PROGRAMS.—A
qualification program adopted by an operator under sub-
section (a) shall include, at a minimum, the following ele-
ments:
‘‘(1) A method for examining or testing the
qualifications of individuals described in subsection
(a). The method may include written examination,
oral examination, observation during on-the-job per-
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formance, on-the-job training, simulations, and other
forms of assessment. The method may not be limited
to observation of on-the-job performance, except with
respect to tasks for which the Secretary has deter-
mined that such observation is the best method of ex-
amining or testing qualifications. The Secretary shall
ensure that the results of any such observations are
documented in writing.
‘‘(2) A requirement that the operator complete
the qualification of all individuals described in sub-
section (a) not later than 18 months after the date of
adoption of the qualification program.
‘‘(3) A periodic requalification component that
provides for examination or testing of individuals in
accordance with paragraph (1).
‘‘(4) A program to provide training, as appro-
priate, to ensure that individuals performing covered
tasks have the necessary knowledge and skills to per-
form the tasks in a manner that ensures the safe oper-
ation of pipeline facilities.
‘‘(e) REVIEW AND VERIFICATION OF PROGRAMS.—
‘‘(1) IN GENERAL.—The Secretary shall review
the qualification program of each pipeline operator
and verify its compliance with the standards and cri-
teria described in subsection (b) and that it includes
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the elements described in subsection (d). The Sec-
retary shall record the results of that review for use
in the next review of an operator’s program.
‘‘(2) DEADLINE FOR COMPLETION.—Reviews and
verifications under this subsection shall be completed
not later than 3 years after the date of the enactment
of this section.
‘‘(3) INADEQUATE PROGRAMS.—If the Secretary
decides that a qualification program is inadequate for
the safe operation of a pipeline facility, the Secretary
shall act as under section 60108(a)(2) to require the
operator to revise the qualification program.
‘‘(4) PROGRAM MODIFICATIONS.—If the operator
of a pipeline facility significantly modifies a program
that has been verified under this subsection, the oper-
ator shall notify the Secretary of the modifications.
The Secretary shall review and verify such modifica-
tions in accordance with paragraph (1).
‘‘(5) WAIVERS AND MODIFICATIONS.—In accord-
ance with section 60118(c), the Secretary may waive
or modify any requirement of this section if the waiv-
er or modification is not inconsistent with pipeline
safety.
‘‘(6) INACTION BY THE SECRETARY.—Notwith-
standing any failure of the Secretary to prescribe
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standards and criteria as described in subsection (b),
an operator of a pipeline facility shall develop and
adopt a qualification program that complies with the
requirement of subsection (b)(2)(B) and includes the
elements described in subsection (d) not later than 2
years after the date of enactment of this section.
‘‘(f) INTRASTATE PIPELINE FACILITIES.—In the case
of an intrastate pipeline facility operator, the duties and
powers of the Secretary under this section with respect to
the qualification program of the operator shall be vested in
the appropriate State regulatory agency, consistent with
this chapter.
‘‘(g) COVERED TASK DEFINED.—In this section, the
term ‘covered task’—
‘‘(1) with respect to a gas pipeline facility, has
the meaning such term has under section 192.801 of
title 49, Code of Federal Regulations, including any
subsequent modifications; and
‘‘(2) with respect to a hazardous liquid pipeline
facility, has the meaning such term has under section
195.501 of such title, including any subsequent modi-
fications.
‘‘(h) REPORT.—Not later than 4 years after the date
of enactment of this section, the Secretary shall transmit
to Congress a report on the status and results to date of
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the personnel qualification regulations issued under this
chapter.’’.
(2) CONFORMING AMENDMENT.—The analysis for
chapter 601 is amended by adding at end the fol-
lowing:
‘‘60131. Verification of pipeline qualification programs.’’.
(b) PILOT PROGRAM FOR CERTIFICATION OF CERTAIN
PIPELINE WORKERS.—
(1) IN
GENERAL.—Not later than 36 months
after the date of enactment of this Act, the Secretary
of Transportation shall—
(A) develop tests and other requirements for
certifying the qualifications of individuals who
operate computer-based systems for controlling
the operations of pipelines; and
(B) establish and carry out a pilot program
for 3 pipeline facilities under which the individ-
uals operating computer-based systems for con-
trolling the operations of pipelines at such facili-
ties are required to be certified under the process
established under subparagraph (A).
(2) REPORT.—The Secretary shall include in the
report required under section 60131(h), as added by
subsection (a) of this section, the results of the pilot
program. The report shall include—
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(A) a description of the pilot program and
implementation of the pilot program at each of
the 3 pipeline facilities;
(B) an evaluation of the pilot program, in-
cluding the effectiveness of the process for certi-
fying individuals who operate computer-based
systems for controlling the operations of pipe-
lines;
(C) any recommendations of the Secretary
for requiring the certification of all individuals
who operate computer-based systems for control-
ling the operations of pipelines; and
(D) an assessment of the ramifications of
requiring the certification of other individuals
performing safety-sensitive functions for a pipe-
line facility.
(3) COMPUTER-BASED
SYSTEMS
DEFINED.—In
this subsection, the term ‘‘computer-based systems’’
means supervisory control and data acquisition sys-
tems.
SEC. 14. RISK ANALYSIS AND INTEGRITY MANAGEMENT
PROGRAMS FOR GAS PIPELINES.
(a) IN GENERAL.—Section 60109 is amended by add-
ing at the end the following:
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‘‘(c) RISK ANALYSIS AND INTEGRITY MANAGEMENT
PROGRAMS.—
‘‘(1) REQUIREMENT.—Each operator of a gas
pipeline facility shall conduct an analysis of the risks
to each facility of the operator located in an area
identified pursuant to subsection (a)(1) and defined
in chapter 192 of title 49, Code of Federal Regula-
tions, including any subsequent modifications, and
shall adopt and implement a written integrity man-
agement program for such facility to reduce the risks.
‘‘(2) REGULATIONS.—
‘‘(A) IN
GENERAL.—Not later than 12
months after the date of enactment of this sub-
section, the Secretary shall issue regulations pre-
scribing standards to direct an operator’s con-
duct of a risk analysis and adoption and imple-
mentation of an integrity management program
under this subsection. The regulations shall re-
quire an operator to conduct a risk analysis and
adopt an integrity management program within
a time period prescribed by the Secretary, end-
ing not later than 24 months after such date of
enactment. Not later than 18 months after such
date of enactment, each operator of a gas pipe-
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line facility shall begin a baseline integrity as-
sessment described in paragraph (3).
‘‘(B) 
AUTHORITY
TO
ISSUE
REGULA-
TIONS.—The Secretary may satisfy the require-
ments of this paragraph through the issuance of
regulations under this paragraph or under other
authority of law.
‘‘(3) MINIMUM
REQUIREMENTS
OF
INTEGRITY
MANAGEMENT PROGRAMS.—An integrity management
program required under paragraph (1) shall include,
at a minimum, the following requirements:
‘‘(A) A baseline integrity assessment of each
of the operator’s facilities in areas identified
pursuant to subsection (a)(1) and defined in
chapter 192 of title 49, Code of Federal Regula-
tions, including any subsequent modifications,
by internal inspection device, pressure testing,
direct assessment, or an alternative method that
the Secretary determines would provide an equal
or greater level of safety. The operator shall com-
plete such assessment not later than 10 years
after the date of enactment of this subsection. At
least 50 percent of such facilities shall be assessed
not later than 5 years after such date of enact-
ment. The operator shall prioritize such facilities
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for assessment based on all risk factors, includ-
ing any previously discovered defects or anoma-
lies and any history of leaks, repairs, or failures.
The operator shall ensure that assessments of fa-
cilities with the highest risks are given priority
for completion and that such assessments will be
completed not later than 5 years after such date
of enactment.
‘‘(B) Subject to paragraph (5), periodic re-
assessment of the facility, at a minimum of once
every 7 years, using methods described in sub-
paragraph (A).
‘‘(C) Clearly defined criteria for evaluating
the results of assessments conducted under sub-
paragraphs (A) and (B) and for taking actions
based on such results.
‘‘(D) A method for conducting an analysis
on a continuing basis that integrates all avail-
able information about the integrity of the facil-
ity and the consequences of releases from the fa-
cility.
‘‘(E) A description of actions to be taken by
the operator to promptly address any integrity
issue raised by an evaluation conducted under
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subparagraph (C) or the analysis conducted
under subparagraph (D).
‘‘(F) A description of measures to prevent
and mitigate the consequences of releases from
the facility.
‘‘(G) A method for monitoring cathodic pro-
tection systems throughout the pipeline system of
the operator to the extent not addressed by other
regulations.
‘‘(H) If the Secretary raises a safety con-
cern relating to the facility, a description of the
actions to be taken by the operator to address the
safety concern, including issues raised with the
Secretary by States and local authorities under
an agreement entered into under section 60106.
‘‘(4) TREATMENT OF BASELINE INTEGRITY AS-
SESSMENTS.—In the case of a baseline integrity as-
sessment conducted by an operator in the period be-
ginning on the date of enactment of this subsection
and ending on the date of issuance of regulations
under this subsection, the Secretary shall accept the
assessment as complete, and shall not require the op-
erator to repeat any portion of the assessment, if the
Secretary determines that the assessment was con-