†
199
HR 6 EAS1S/PP
‘‘(B) with respect to the violator, the degree
of culpability, any history of prior violations,
the ability to pay, any effect on ability to con-
tinue 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 discount because of subse-
quent damages; and
‘‘(B) other matters that justice requires.’’.
(b) 
EXCAVATOR
DAMAGE.—Section 
60123(d) 
is
amended—
(1) by striking ‘‘knowingly and willfully’’;
(2) by inserting ‘‘knowingly and willfully’’ before
‘‘engages’’ in paragraph (1); and
(3) striking paragraph (2)(B) and inserting the
following:
‘‘(B) a pipeline facility, is aware of dam-
age, and does not report the damage promptly to
the operator of the pipeline facility and to other
appropriate authorities; or’’.
(c) CIVIL ACTIONS.—Section 60120(a)(1) is amended
to read as follows:
†
200
HR 6 EAS1S/PP
‘‘(1) On the request of the Secretary of Transportation,
the Attorney General may bring a civil action in an appro-
priate district court of the United States to enforce this
chapter, including section 60112 of this chapter, or a regu-
lation 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.’’.
SEC. 768. STATE OVERSIGHT ROLE.
(a) STATE AGREEMENTS WITH CERTIFICATION.—Sec-
tion 60106 is amended—
(1) by striking ‘‘GENERAL AUTHORITY.—’’ in
subsection (a) and inserting ‘‘AGREEMENTS WITHOUT
CERTIFICATION.—’’;
(2) by redesignating subsections (b), (c), and (d)
as subsections (c), (d), and (e); 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 of this title and
makes the determination required under this sub-
section, the Secretary may make an agreement with
†
201
HR 6 EAS1S/PP
a State authority authorizing it to participate in the
oversight of interstate pipeline transportation. Each
such agreement shall include a plan for the State au-
thority to participate in special investigations involv-
ing incidents or new construction and allow the State
authority to participate in other activities overseeing
interstate pipeline transportation or to assume addi-
tional inspection or investigatory duties. Nothing in
this section modifies section 60104(c) or authorizes
the Secretary to delegate the enforcement of safety
standards 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 that—
‘‘(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;
†
202
HR 6 EAS1S/PP
‘‘(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 1999, to oversee interstate pipe-
line transportation pursuant to the terms of that
agreement until the Secretary determines that the
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 2003 if—
†
203
HR 6 EAS1S/PP
‘‘(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), is amended to read
as follows:
‘‘(e) ENDING AGREEMENTS.—
‘‘(1) PERMISSIVE TERMINATION.—The Secretary
may end an agreement under this section when the
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
†
204
HR 6 EAS1S/PP
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 the 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
days after the date of publication unless the Secretary
finds that continuation of an agreement poses an im-
minent hazard.’’.
SEC. 769. IMPROVED DATA AND DATA AVAILABILITY.
(a) IN GENERAL.—Within 12 months after the date
of enactment of this Act, the Secretary shall develop and
implement a comprehensive plan for the collection and use
of gas and hazardous liquid pipeline data to revise the caus-
†
205
HR 6 EAS1S/PP
al categories on the incident report forms to eliminate over-
lapping and confusing categories and include subcategories.
The plan shall include components to provide the capability
to perform sound incident trend analysis and evaluations
of pipeline operator performance using normalized accident
data.
(b) REPORT OF RELEASES EXCEEDING 5 GALLONS.—
Section 60117(b) is amended—
(1) by inserting ‘‘(1)’’ before ‘‘To’’;
(2) redesignating paragraphs (1) and (2) as sub-
paragraphs (A) and (B);
(3) inserting before the last sentence the fol-
lowing:
‘‘(2) A person owning or operating a hazardous liquid
pipeline facility shall report to the Secretary each release
to the environment greater than 5 gallons of the hazardous
liquid or carbon dioxide transported. This section applies
to releases from pipeline facilities regulated under this
chapter. A report must include the location of the release,
fatalities and personal injuries, type of product, amount
of product release, cause or causes of the release, extent of
damage to property and the environment, and the response
undertaken to clean up the release.
‘‘(3) During the course of an incident investigation,
a person owning or operating a pipeline facility shall make
†
206
HR 6 EAS1S/PP
records, reports, and information required under subsection
(a) of this section or other reasonably described records, re-
ports, and information relevant to the incident investiga-
tion, available to the Secretary within the time limits pre-
scribed in a written request.’’; and
(4) indenting the first word of the last sentence
and inserting ‘‘(4)’’ before ‘‘The Secretary’’ in that
sentence.
(c) PENALTY AUTHORITIES.—(1) Section 60122(a) is
amended 
by 
striking 
‘‘60114(c)’’ 
and 
inserting
‘‘60117(b)(3)’’.
(2) Section 60123(a) is amended by striking
‘‘60114(c),’’ and inserting ‘‘60117(b)(3),’’.
(d) ESTABLISHMENT
OF NATIONAL DEPOSITORY.—
Section 60117 is amended by adding at the end the fol-
lowing:
‘‘(l) NATIONAL DEPOSITORY.—The Secretary shall es-
tablish a national depository of data on events and condi-
tions, including spill histories and corrective actions for
specific incidents, that can be used to evaluate the risk of,
and to prevent, pipeline failures and releases. The Secretary
shall administer the program through the Bureau of Trans-
portation Statistics, in cooperation with the Research and
Special Programs Administration, and shall make such in-
†
207
HR 6 EAS1S/PP
formation available for use by State and local planning and
emergency response authorities and the public.’’.
SEC. 770. RESEARCH AND DEVELOPMENT.
(a) INNOVATIVE TECHNOLOGY DEVELOPMENT.—
(1) IN GENERAL.—As part of the Department of
Transportation’s research and development program,
the Secretary of Transportation shall direct research
attention 
to 
the 
development 
of 
alternative
technologies—
(A) to expand the capabilities of internal
inspection devices to identify and accurately
measure defects and anomalies;
(B) to inspect pipelines that cannot accom-
modate internal inspection devices available on
the date of enactment;
(C) to develop innovative techniques meas-
uring the structural integrity of pipelines;
(D) to improve the capability, reliability,
and practicality of external leak detection de-
vices; and
(E) to develop and improve alternative tech-
nologies to identify and monitor outside force
damage to pipelines.
(2) COOPERATIVE.—The Secretary may partici-
pate in additional technological development through
†
208
HR 6 EAS1S/PP
cooperative agreements with trade associations, aca-
demic institutions, or other qualified organizations.
(b) PIPELINE SAFETY AND RELIABILITY RESEARCH
AND DEVELOPMENT.—
(1) IN GENERAL.—The Secretary of Transpor-
tation, in coordination with the Secretary of Energy,
shall develop and implement an accelerated coopera-
tive program of research and development to ensure
the integrity of natural gas and hazardous liquid
pipelines. This research and development program—
(A) shall include materials inspection tech-
niques, risk assessment methodology, and infor-
mation systems surety; and
(B) shall complement, and not replace, the
research program of the Department of Energy
addressing natural gas pipeline issues existing
on the date of enactment of this Act.
(2) PURPOSE.—The purpose of the cooperative
research program shall be to promote pipeline safety
research and development to—
(A) ensure long-term safety, reliability and
service life for existing pipelines;
(B) expand capabilities of internal inspec-
tion devices to identify and accurately measure
defects and anomalies;
†
209
HR 6 EAS1S/PP
(C) develop inspection techniques for pipe-
lines that cannot accommodate the internal in-
spection devices available on the date of enact-
ment;
(D) develop innovative techniques to meas-
ure the structural integrity of pipelines to pre-
vent pipeline failures;
(E) develop improved materials and coat-
ings for use in pipelines;
(F) improve the capability, reliability, and
practicality of external leak detection devices;
(G) identify underground environments that
might lead to shortened service life;
(H) enhance safety in pipeline siting and
land use;
(I) minimize the environmental impact of
pipelines;
(J) demonstrate technologies that improve
pipeline safety, reliability, and integrity;
(K) provide risk assessment tools for opti-
mizing risk mitigation strategies; and
(L) provide highly secure information sys-
tems for controlling the operation of pipelines.
(3) AREAS.—In carrying out this subsection, the
Secretary of Transportation, in coordination with the
†
210
HR 6 EAS1S/PP
Secretary of Energy, shall consider research and de-
velopment on natural gas, crude oil and petroleum
product pipelines for—
(A) early crack, defect, and damage detec-
tion, including real-time damage monitoring;
(B) automated internal pipeline inspection
sensor systems;
(C) land use guidance and set back manage-
ment along pipeline rights-of-way for commu-
nities;
(D) internal corrosion control;
(E) corrosion-resistant coatings;
(F) improved cathodic protection;
(G) inspection techniques where internal in-
spection is not feasible, including measurement
of structural integrity;
(H) external leak detection, including port-
able real-time video imaging technology, and the
advancement of computerized control center leak
detection systems utilizing real-time remote field
data input;
(I) longer life, high strength, non-corrosive
pipeline materials;
(J) assessing the remaining strength of ex-
isting pipes;
†
211
HR 6 EAS1S/PP
(K) risk and reliability analysis models, to
be used to identify safety improvements that
could be realized in the near term resulting from
analysis of data obtained from a pipeline per-
formance tracking initiative;
(L) identification, monitoring, and preven-
tion of outside force damage, including satellite
surveillance; and
(M) any other areas necessary to ensuring
the public safety and protecting the environment.
(4) POINTS OF CONTACT.—
(A) IN GENERAL.—To coordinate and im-
plement the research and development programs
and activities authorized under this subsection—
(i) the Secretary of Transportation
shall designate, as the point of contact for
the Department of Transportation, an offi-
cer of the Department of Transportation
who has been appointed by the President
and confirmed by the Senate; and
(ii) the Secretary of Energy shall des-
ignate, as the point of contact for the De-
partment of Energy, an officer of the De-
partment of Energy who has been appointed
†
212
HR 6 EAS1S/PP
by the President and confirmed by the Sen-
ate.
(B) DUTIES.—
(i) The point of contact for the Depart-
ment of Transportation shall have the pri-
mary responsibility for coordinating and
overseeing the implementation of the re-
search, development, and demonstration
program plan under paragraphs (5) and
(6).
(ii) The points of contact shall jointly
assist in arranging cooperative agreements
for research, development and demonstra-
tion involving their respective Departments,
national laboratories, universities, and in-
dustry research organizations.
(5) RESEARCH
AND
DEVELOPMENT
PROGRAM
PLAN.—Within 240 days after the date of enactment
of this Act, the Secretary of Transportation, in co-
ordination with the Secretary of Energy and the
Pipeline Integrity Technical Advisory Committee,
shall prepare and submit to the Congress a 5-year
program plan to guide activities under this sub-
section. In preparing the program plan, the Secretary
shall consult with appropriate representatives of the
†
213
HR 6 EAS1S/PP
natural gas, crude oil, and petroleum product pipe-
line industries to select and prioritize appropriate
project proposals. The Secretary may also seek the ad-
vice of utilities, manufacturers, institutions of higher
learning, Federal agencies, the pipeline research insti-
tutions, national laboratories, State pipeline safety
officials, environmental organizations, pipeline safety
advocates, and professional and technical societies.
(6) IMPLEMENTATION.—The Secretary of Trans-
portation shall have primary responsibility for ensur-
ing the 5-year plan provided for in paragraph (5) is
implemented as intended. In carrying out the re-
search, development, and demonstration activities
under this paragraph, the Secretary of Transpor-
tation and the Secretary of Energy may use, to the
extent authorized under applicable provisions of law,
contracts, cooperative agreements, cooperative research
and development agreements under the Stevenson-
Wydler Technology Innovation Act of 1980 (15 U.S.C.
3701 et seq.), grants, joint ventures, other trans-
actions, and any other form of agreement available to
the Secretary consistent with the recommendations of
the Advisory Committee.
(7) REPORTS TO CONGRESS.—The Secretary of
Transportation shall report to the Congress annually
†
214
HR 6 EAS1S/PP
as to the status and results to date of the implementa-
tion of the research and development program plan.
The report shall include the activities of the Depart-
ments of Transportation and Energy, the national
laboratories, universities, and any other research or-
ganizations, including industry research organiza-
tions.
SEC. 771. PIPELINE INTEGRITY TECHNICAL ADVISORY COM-
MITTEE.
(a) ESTABLISHMENT.—The Secretary of Transpor-
tation shall enter into appropriate arrangements with the
National Academy of Sciences to establish and manage the
Pipeline Integrity Technical Advisory Committee for the
purpose of advising the Secretary of Transportation and
the Secretary of Energy on the development and implemen-
tation of the 5-year research, development, and demonstra-
tion program plan under section 770(b)(5). The Advisory
Committee shall have an ongoing role in evaluating the
progress and results of the research, development, and dem-
onstration carried out under that section.
(b) MEMBERSHIP.—The National Academy of Sciences
shall appoint the members of the Pipeline Integrity Tech-
nical Advisory Committee after consultation with the Sec-
retary of Transportation and the Secretary of Energy.
Members appointed to the Advisory Committee should have
†
215
HR 6 EAS1S/PP
the necessary qualifications to provide technical contribu-
tions to the purposes of the Advisory Committee.
SEC. 772. AUTHORIZATION OF APPROPRIATIONS.
(a) 
GAS
AND
HAZARDOUS
LIQUIDS.—Section
60125(a) is amended to read as follows:
‘‘(a) GAS AND HAZARDOUS LIQUID.—To carry out
this chapter and other pipeline-related damage prevention
activities of this title (except for section 60107), there are
authorized to be appropriated to the Department of Trans-
portation—$30,000,000 for each of the fiscal years 2003,
2004, and 2005 of which $23,000,000 is to be derived from
user fees for fiscal years 2003, 2004, and 2005 collected
under section 60301 of this title.’’.
(b) GRANTS TO STATES.—Section 60125(c) is amended
to read as follows:
‘‘(c) STATE GRANTS.—Not more than the following
amounts may be appropriated to the Secretary to carry out
section 60107—$20,000,000 for the fiscal years 2003, 2004,
and 2005 of which $18,000,000 is to be derived from user
fees for fiscal years 2003, 2004, and 2005 collected under
section 60301 of this title.’’.
(c) OIL SPILLS.—Section 60125 is amended by redes-
ignating subsections (d), (e), and (f) as subsections (e), (f),
(g) and inserting after subsection (c) the following:
†
216
HR 6 EAS1S/PP
‘‘(d) OIL SPILL LIABILITY TRUST FUND.—Of the
amounts available in the Oil Spill Liability Trust Fund,
$8,000,000 shall be transferred to the Secretary of Trans-
portation, as provided in appropriation Acts, to carry out
programs authorized in this title for each of fiscal years
2003, 2004, and 2005.’’.
(d) PIPELINE INTEGRITY PROGRAM.—(1) There are
authorized to be appropriated to the Secretary of Transpor-
tation for carrying out sections 770(b) and 771 of this sub-
title $3,000,000, to be derived from user fees under section
60301 of title 49, United States Code, for each of the fiscal
years 2003 through 2007.
(2) Of the amounts available in the Oil Spill Liability
Trust Fund established by section 9509 of the Internal Rev-
enue 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 under sections 770(b)
and 771 of this subtitle for each of the fiscal years 2003
through 2007.
(3) There are authorized to be appropriated to the Sec-
retary of Energy for carrying out sections 770(b) and 771
of this subtitle such sums as may be necessary for each of
the fiscal years 2003 through 2007.