Pipeline Safety: Underwater Abandoned Pipeline Facilities

DEPARTMENT OF TRANSPORTATION

Research and Special Programs Administration

49 CFR Parts 192 and 195

[RSPA-97-2094]

RIN 2137--AC54

Pipeline Safety: Underwater Abandoned Pipeline Facilities

AGENCY: Research and Special Programs Administration, (RSPA), DOT.

ACTION: Notice of proposed rulemaking.

-----------------------------------------------------------------------

SUMMARY: This proposal would require the last operator of an abandoned

pipeline, offshore and, or, crossing under, over or through navigable

waterways to submit a report of the abandonment to the Secretary of

Transportation. This notice responds to a Congressional mandate. The

results of this proposal would be a central depository of information

about underwater abandoned pipelines.

DATES: Comments on the subject of this NPRM must be received on or

before October 29, 1999.

ADDRESSES: Comments should identify the docket number of this NPRM,

RSPA-97-2094, and be mailed to the Dockets Facility, U.S. Department of

Transportation, Plaza 401, 400 Seventh Street SW, Washington, DC 20590-

0001. You should submit the original and one copy. If you wish to

receive confirmation of receipt of your comments, you must include a

stamped, self-addressed postcard. The Dockets facility is open from

10:00 a.m. to 5:00 p.m., Monday through Friday, except on Federal

holidays. In addition, the public may also submit or review comments by

accessing the Docket Management System's home page at http://

dms.dot.gov. An electronic copy of any document may be downloaded from

the Government Printing Office Electronic Bulletin Board Service at

(202) 512-1661.

FOR FURTHER INFORMATION CONTACT: L.E. Herrick by telephone at 202-366-

5523, by fax at 202-366-4566, by mail at U.S. Department of

Transportation, RSPA, DPS-10, 400 Seventh Street, SW, Washington, DC,

20590, or via e-mail to [email protected] regarding this notice

of proposed rulemaking. You may contact the Dockets Unit, 202-366-5046,

for copies of this notice or material that is referenced herein.

SUPPLEMENTARY INFORMATION:

A. Background

Underwater pipelines are being abandoned at an increasing rate as

older facilities reach the end of their use. This trend is expected to

continue. Presently, there is no one location where these records of

abandonment are maintained. In 1992, Congress directed the Secretary of

Transportation to require the last operator of an offshore pipeline

facility or a pipeline facility crossing under, over, or through

navigable waters to report the abandonment of that facility to the

Secretary (49 U.S.C. 60108(c)(6)(B)). This report must contain

reasonably available information about the facility and specify whether

the facility has been abandoned properly according to applicable

Federal and State requirements. Once these reports are filed by the

operators they will be accessible to appropriate Federal and State

agencies.

We propose to fulfil this Congressional mandate by requiring

operators who have abandoned underwater pipeline facilities to report

information to the Secretary through the Research and Special Programs

Administration's (RSPA) Associate Administrator for Pipeline Safety.

The report would include all reasonably available information related

to the facility, including information in the possession of a third

party. The report would provide a consolidated information source for

Federal agencies and State governments to assist in determining if

current abandonment requirements are meeting public safety goals. The

report would be due upon abandonment of the facility or, for those

facilities abandoned prior to the

[[Page 47158]]

effective date of this rule, the report would be due one year from the

effective date of this rule. The lead time prior to the implementation

of this reporting requirement would provide the last operator with

sufficient time to incorporate the reporting requirement into their

operations.

B. Report Requirements

All reasonably available information should be included. For

example:

Location: The geographic location of the endpoints and description

of the line as used in the right of way permit and by Geographical

Information System (GIS) coordinates.

Size: The outside diameter and approximate length of the pipeline.

Date of abandonment: The date the operator satisfied all the

applicable State and Federal requirements for the abandonment.

Method of abandonment: A statement describing the method of

abandonment.

Certification: A written statement by the last operator certifying

that the facility has been abandoned according to all applicable State

and Federal requirements.

Service use: The year or years the facility was placed in service,

and the primary product carried by the pipeline prior to abandonment.

We expect that most operators will have the required information

readily available. However we are particularly interested in receiving

comments from the operators concerning the availability of the

information. We are also interested in comments making recommendations

on the criteria we should use to determine the scope of the provision

for the operator to supply all information that is ``reasonably

available''.

We believe that most operators affected by this rule currently

employ practices for abandoning pipelines which include some measure of

reporting the abandonment. The requirements we are proposing for this

report are expected to be sufficiently performance based to allow the

operators to be able to forward information to us with a minimal of

additional costs.

In implementing these provisions, we would require that the report

be sent by letter mail, e-mail, or fax to: Information Officer,

Department of Transportation, Research and Special Programs

Administration, Office of Pipeline Safety, 400 Seventh Street, SW,

Washington, DC 20590, E-mail: [email protected], FAX: (202)

366-4566.

Regulatory Analysis and Notices

A. E.O. 12866 and DOT Regulatory Policies and Procedures

This proposed rule is not considered a significant regulatory

action under section 3(f) of Executive Order 12866 and, therefore, is

not subject to review by the Office of Management and Budget. The

proposal is not considered significant under the policies and

procedures of the Department of Transportation (44 FR 11034, February

26, 1979).

Those operators who abandoned pipelines after 1980 should have the

required information to compile the abandonment report readily

available because the operators have been retaining these records for

other purposes. For these operators, it should take 15 to 30 minutes to

compile and submit the abandonment report. For operators who have

abandoned pipelines before 1980, where the data may not be readily

available, some research may be required to compile the abandonment

report. However, we believe that pre 1980 abandonments represent a

small number of the total abandonments. Because a majority of the

abandonments have occurred after 1980, we conclude that this regulation

will have a minimal impact on the pipeline industry. For more details

see the ``Paperwork Reduction Act'' section of this preamble.

B. Federalism Assessment

The proposed rulemaking action would not have substantial direct

effects on States, on the relationship between the Federal Government

and the States, or on the distribution of power and responsibilities

among the various levels of government. Therefore, in accordance with

Executive Order 12612 (52 FR 41685, October 30, 1987), we have

determined that this notice does not have sufficient Federalism

implications to warrant preparation of a Federalism Assessment.

C. Executive Order 13084--Indian Tribal Governments

We believe that revised regulations from this NPRM would have no

significant or unique effect on the communities of Indian tribal

governments when analyzed under the principles and criteria contained

in Executive Order 13084 (``Consultation and Coordination with Indian

Tribal Governments''). Therefore, the funding and consultation

requirements of this Executive Order would not apply. Nevertheless,

this NPRM specifically requests comments from affected persons,

including Indian tribal governments, as to its potential impact.

D. Regulatory Flexibility Act

The Regulatory Flexibility Act (5 U.S.C. 601 et seq.) requires each

agency to review regulations and assess their impact on small entities

unless the agency determines that a rule is not expected to have a

significant impact on a substantial number of small entities. Based on

its preliminary regulatory evaluation prepared in support of this

proposal, RSPA certifies that this proposed rule would not have a

significant economic impact on a substantial number of small entities.

Although operators who have abandoned pipelines before 1980 may be

required to perform approximately 8 hours of work to compile the data

necessary to produce an abandoned pipeline report, we estimate that

there are under 300 operators effected by such abandonments. Because

the majority of reports required by this proposed regulation would

require only 15-30 minutes of operator time per abandonment, the impact

of this regulation will be minimal. The building of pipelines that

cross navigable waterways is a very capital intensive operation that

requires access to significant sums of working capital. It is unlikely

that many small operators have such pipelines. Therefore, I certify,

pursuant to section 605 of the Regulatory Flexibility Act (5 U.S.C.

605), that this proposal will not, if implemented, have a significant

economic impact on a substantial number of small entities. However, we

are interested in receiving comments from any small business operators

who believe otherwise. This certification is subject to modification as

a result of a review of the comments received in response to this

proposal.

E. Unfunded Mandates

This proposed rule would not impose unfunded mandates under the

Unfunded Mandates Reform Act of 1995. It would not result in costs of

over $100 million or more to either State, local, or tribal

governments, in the aggregate, or to the private sector, and is the

least burdensome alternative that achieves the objectives of the

Congressional mandate.

F. Paperwork Reduction Act

This notice of proposed rulemaking contains information collection

requirements in 49 CFR 192.727 and 49 CFR 195.59 for the last operator

of an abandoned underwater pipeline facility. The notice proposes the

submission of a report to the Department of

[[Page 47159]]

Transportation regarding the abandonment of underwater pipeline

facilities. This requirement will be submitted to the Office of

Management and Budget (OMB) for approval under the Paperwork Reduction

Act. Comments are specifically requested on the additional burden this

requirement would likely impose upon the operators. Comments on the

proposed information collection requirement should be submitted to the

Office of Management and Budget, Office of Information and Regulatory

Affairs, Washington, DC 20503, Attn: Desk Officer for Department of

Transportation, Research and Special Programs Administration. We

request that comments sent to OMB also be sent to our rulemaking

docket.

A copy of the Paperwork Analysis has been put in the docket, and is

available for review and copying along with the preamble of this

proposal. To summarize the conclusions of the paperwork analysis:

----------------------------------------------------------------------------------------------------------------

Time to

compile and

Number of reports send report Total hours

per segment

(hours)

----------------------------------------------------------------------------------------------------------------

Pipelines abandoned before 1980............ 300................................ 8 2,400

Pipelines abandoned 1980-1992.............. 300................................ 1 300

Pipelines abandoned after 1992............. 2000 (or 400 per year)............. 0.25 500

---------------

Total.................................. ................................... .............. 3,200

----------------------------------------------------------------------------------------------------------------

The total cost of this proposal for all pipelines abandoned prior

to 1992, assuming that the person compiling the report is paid $40 per

hour, is $128,000. The reason for the reduction in the time to compile

the report for more recently abandoned pipelines is that the

information necessary to compile the report should be readily available

because operators are generally compiling and maintaining this

information as part of their normal operations. Data on pipelines

abandoned after 1992 should be in a form that can be easily copied and

sent to the Federal Government. Abandoned pipeline data for the period

1980-1992 might require some more preparation before sending to the

Federal Government and therefore is estimated to take one hour of

operator time . We believe that the information for the reports for the

period prior to 1980, is ``reasonably available,'' in most cases, if

found within eight (8) hours of diligent searching.

After 1992 operators were routinely maintaining reports of

abandonment. We estimate that each year after 1992 will cost the

industry $4,000 (400 reports x $40 x 1/4hour = $4,000.)

G. Impact on Business Processes and Computer Systems

Many computers that use two digits to keep track of dates will, on

January 1, 2000, recognize ``double zero'' not as 2000 but as 1900.

This glitch, the Year 2000 problem, could cause computers to stop

running or to start generating erroneous data. The Year 2000 problem

poses a threat to the global economy in which Americans live and work.

With the help of the President's Council on Year 2000 Conversion,

Federal agencies are reaching out to increase awareness of the problem

and to offer support. We do not want to impose new requirements that

would mandate business process changes when the resources necessary to

implement those requirements would otherwise be applied to the Year

2000 problem.

This NPRM does not propose business process changes or require

modifications to computer systems. Because this NPRM apparently does

not affect organizations' ability to respond to the Year 2000 problem,

we do not intend to delay the effectiveness of the proposed

requirements in this NPRM.

H. National Environmental Policy Act

We have analyzed this action for purposes of the National

Environmental Policy Act (42 U.S.C. 4321 et seq.) and have determined

that this action would not significantly affect the quality of the

human environment. An Environmental Assessment and a Finding of No

Significant Impact are in the docket.

I. Regulation Identifier Number (RIN)

A regulation identifier number (RIN) is assigned to each regulatory

action listed in the Unified Agenda of Federal Regulations. The

Regulatory Information Service Center publishes the Unified Agenda in

April and October of each year. The RIN number contained in the heading

of this document can be used to cross-reference this action with the

Unified Agenda.

List of Subjects

49 CFR Part 192

Hazardous liquid, Natural gas, Pipeline safety, Pipelines,

Reporting and recordkeeping requirements.

49 CFR Part 195

Ammonia, Carbon dioxide, Petroleum, Pipeline safety, Reporting and

recordkeeping requirements.

In consideration of the foregoing, RSPA proposes to amend parts 192

and 195 of title 49 of the Code of Federal Regulations as follows:

PART 192--TRANSPORTATION OF HAZARDOUS LIQUIDS BY PIPELINE

Subpart A--General

1. The authority citation for part 192 would continue to read as

follows:

Authority: 49 U.S.C. 5103, 6102, 6104, 6108, 6109, 6110, 6113,

and 6118; 49 CFR 1.53.

2. Section 192.3 would be amended by adding a new definition in

alphabetical order to read as follows:

Sec. 192.3 Definitions.

Abandoned means permanently removed from service.

* * * * *

3. Section 192.727 would be amended to add paragraph (g) to read as

follows:

Sec. 192.727 Abandonment or inactivation of facilities.

* * * * *

(g) For each abandoned offshore pipeline facility or each abandoned

onshore pipeline facility that crosses over, under or through a

navigable waterway, the last operator of that facility must file a

report by mail, fax or e-mail to the Information Officer, Research and

Special Programs Administration, Department of Transportation, Room

7128, 400 Seventh Street, SW, Washington DC 20590; fax (202) 366-4566;

e-mail, [email protected]. The information in the report must

contain all reasonably available information related to the facility,

including information in the possession of a third party. The report

must contain the location, size, date, method of abandonment, and a

certification that

[[Page 47160]]

the facility has been abandoned according to all applicable laws.

PART 195--[AMENDED]

1. The authority citation for Part 195 would continue to read as

follows:

Authority: 49 U.S.C. 5103, 6102, 6104, 6108, 6109, 6118; 49 CFR

1.53.

2. Section 195.3 would be amended by adding a new definition in

alphabetical order to read as follows:

Sec. 195.2 Definitions.

Abandoned means permanently removed from service.

* * * * *

3. Section 195.59 would be added to read as follows:

Sec. 195.59 Abandoned underwater facilities.

For each abandoned offshore pipeline facility or each abandoned

onshore pipeline facility that is crossing over, under, or through a

navigable waterway, the last operator of that facility must file a

report by mail, fax or e-mail to the Information Officer, Research and

Special Programs Administration, Department of Transportation, Room

7128, 400 Seventh Street, SW, Washington DC 20590; fax (202) 366-4566;

e-mail, [email protected]. The information in the report must

contain all reasonably available information related to the facility,

including information in the possession of a third party. The report

must include the location, size, date, method of abandonment, and a

certification that the facility has been abandoned according to all

applicable laws.

4. Section 195.402(c) (10) would be revised to read as follows:

Sec. 195.402 Procedural manual for operations, maintenance, and

emergencies.

* * * * *

(c) * * *

(1) * * *

(10) Abandoning pipeline facilities, including safe disconnection

from an operating pipeline system, purging of combustibles, and sealing

abandoned facilities left in place to minimize safety and environmental

hazards. For each abandoned offshore pipeline facility or each

abandoned onshore pipeline facility that is crossing over, under, or

through a navigable waterway, the last operator of that facility must

file a report as specified in Sec. 195.59 of this part.

* * * * *

Issued in Washington, DC on August 23, 1999.

Richard B. Felder,

Associate Administrator for Pipeline Safety.

[FR Doc. 99-22330 Filed 8-27-99; 8:45 am]

BILLING CODE 4910-60-P