Billing Code: 4910-60
DEPARTMENT OF TRANSPORTATION
Pipeline and Hazardous Materials Safety Administration
49 CFR Part 195
[Docket No. RSPA-01-8663]
RIN 2137-AD56
Pipeline Safety: Hazardous Liquid Pipeline Accident Reporting Revisions
AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA), DOT.
ACTION: Notice of proposed rulemaking; request for comments on revised form.
SUMMARY: This notice of proposed rulemaking would amend the pipeline safety
regulations to lower the reporting threshold for hazardous liquid pipeline spills from 50
barrels to 5 gallons. We are also seeking comments on revisions to the hazardous liquid
accident form to improve its usefulness. On the revised accident form, reporting for
spills from 5 gallons to less than 5 barrels will require minimal information. The
improvements to the hazardous liquid accident form are necessary to address known
deficiencies in the current information collection. The improved information on failure
cause categories and more detailed information about the impact of failed pipelines will
improve pipeline safety statistics, increasing the overall usefulness of the data and making
analysis more efficient and meaningful.
DATES: Comments on the subject of this proposed rule must be received on or before
[insert date 60 days after publication in the FEDERAL REGISTER].
ADDRESSES: You may submit written comments by mail or in person by delivering an
original and two copies to the Dockets Facility, U.S. Department of Transportation,
Room PL-401, 400 Seventh Street, S.W., Washington, D.C. 20590-0001. Or, you may
submit written comments to the docket electronically at the following Web address:
http://dms.dot.gov. See the SUPPLEMENTARY INFORMATION section for additional
filing information.
FOR FURTHER INFORMATION CONTACT: Roger Little by phone at (202)366-4569,
by e-mail at roger.little@rspa.dot.gov , or by mail at the Office Of Pipeline Safety, Room
7128, 400 7th St. S.W., Washington, D.C., 20590 regarding the subject matter of this
notice or to access comments in the docket.
SUPPLEMENTARY INFORMATION:
Filing Information, Electronic Access, and General Program Information
The Dockets facility is open from 10:00 a.m. to 5:00 p.m., Monday through Friday,
except federal holidays. All comments should identify the docket number of this notice,
RSPA-01-8663. 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. To file written comments electronically, after logging onto http://dms.dot.gov,
click on "Electronic Submission." You can read comments and other material in the
docket at this Web address: http://dms.dot.gov. General information about our pipeline
safety program is available at this address: http://ops.dot.gov.
Background
PHMSA Pipeline Safety Mission
PHMSA's Office of Pipeline Safety has responsibility for assuring adequate safety and
environmental protection for risks posed by the nation's approximately 2 million miles of
natural gas and hazardous liquid pipelines. The OPS shares responsibility for inspecting
and overseeing the nation's pipelines with state pipeline safety offices that also depend on
the information PHMSA collects.
PHMSA Pipeline Safety Data
To fulfill its safety mission, PHMSA maintains a hazardous liquid pipeline accident
database that is widely recognized as the nation's best source of such information. The
information that PHMSA collects on reportable hazardous liquid accidents provides an
important tool for identifying safety trends in the hazardous liquid pipeline industry.
PHMSA has collected hazardous liquid pipeline accident information since the early 1970s,
with only one revision to the accident collection procedures in July 1984. Under 49 CFR
Part 195, PHMSA is authorized to develop regulations, inspect facilities, and ensure
compliance with standards established to ensure safety and environmental protection
from risks to the public and the environment that are posed by hazardous liquid pipelines.
Operators are required to report accidents according to the procedures established in 49
CFR §195.50. The information is used to identify safety trends for regulatory purposes
and to target inspections of hazardous liquid pipeline facilities based on risk.
The Need for Pipeline Safety Data
Accurate, meaningful pipeline safety incident information is needed for general trending
of pipeline safety data and risk assessment, for deciding which pipelines need
rehabilitation vs. replacement, for analyzing cost benefits, and for comparing individual
operator performance with industry performance. This safety information is used by
PHMSA for daily decision making in PHMSA's assessment of pipeline risks, regulatory
development, and programmatic resource allocation. In addition to the need for
information for safety trending and diagnosis, PHMSA uses the information in monitoring
industry performance and regulatory compliance, and for planning company standard
safety inspections. State pipeline safety programs with hazardous liquid pipeline safety
responsibility also use the information for these purposes. The information is also widely
used by third-parties, including state governors, Congress, metropolitan planners, pipeline
research engineers, industry safety experts, the media, and the public.
Why Revise the Hazardous Liquid Accident Report Form?
In 1984, the PHMSA hazardous liquid accident form was revised as a result of the
Paperwork Reduction Act. The report has been in use since 1984 without revision,
providing 16 years of data upon which pipeline safety analysis has been extensively
conducted. Over the years we became aware of shortcomings in the data collection that
need improvement. In recent years, the usefulness of the hazardous liquid accident data
collection has been found to be limited due to the level of detail and accuracy, and the
quality of the collected data. Recognizing the limitations to effective pipeline safety
analysis that these data deficiencies cause, the National Transportation Safety Board, the
DOT Office of the Inspector General, and others have urged PHMSA to improve the
collection of pipeline safety data.
Department of Transportation Inspector General Recommendation
DOT's Office of the Inspector General, in a March 2000 audit report of PHMSA's
pipeline safety program, recommended that PHMSA implement revisions in the collection
and processing of pipeline accident data to expand accident causal categories
for more detailed trend analysis, and to clarify accident form instructions
so that operators will be more consistent and accurate in reporting accident
causes.
National Transportation Safety Board Recommendation
In its special investigation report PB96-917002 (January 23, 1996), the National
Transportation Safety Board (NTSB) issued recommendation P-96-1 which directed
the Office of Pipeline Safety (OPS) to develop a comprehensive plan for the
collection and use of gas and hazardous liquid pipeline accident data that
details the type and extent of data to be collected, to provide the Pipeline and Hazardous Materials Safety Administration (PHMSA) with the capability to perform methodologically
sound accident trend analysis and evaluations of pipeline operator performance
using normalized accident data.
Congressional Recommendations
Recent significant pipeline accidents have focused the regulators, Congress, the media,
and the public attention on the need for better pipeline safety information. Congress has
advised PHMSA to seek quick action to improve the quantity, quality, and usefulness of
safety information to better perform its safety mission.
During the 106th Congress, the proposed Pipeline Safety Improvement Act of 2000 (S.
2438) was considered by both houses of Congress. The proposed bill included provisions
to require PHMSA to gather improved pipeline spill information for spills as small as five
gallons:
SEC. 10. 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 causal categories on the incident report forms to eliminate overlapping
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''; 25
(2) redesignating paragraphs (1) and (2) as subparagraphs (A) and (B);
(3) inserting before the last sentence the following: ``(2) A person owning or
operating a hazardous liquid pipeline facility shall report to the Secretary each
release to the environment greater than five 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.
Although this proposed Act did not achieve final passage in the last Congress, we believe
the intention to require improved data collection is apparent.
White House Memorandum
In a letter to the Secretary of Transportation, the President (November 3, 2000) asked the
Secretary of Transportation to provide for
collection of more complete and detailed information on the causes of
accidents, thereby facilitating better trends analysis and helping to prevent
future accidents. Specifically, you should improve accident reporting
forms as soon as possible for both hazardous liquid and natural gas
pipelines by expanding causal categories and clarifying instructions so that
data submissions are more consistent and accurate.
Industry Recognition of the Need for Better Information
The pipeline industry has recognized the need to improve the usefulness of the hazardous
liquid pipeline data. In recent years, the American Society of Mechanical Engineers
(ASME) B31.4 committee conducted annual reviews of hazardous liquid pipeline
accident data collection to evaluate the usefulness of the information. The ASME B31.4
committee developed an extended set of pipeline failure causes. The findings of the
ASME committee have been made available to OPS and others for additional scrutiny as
part of the ongoing effort to seek improvements in data usefulness. The ASME causes
have been widely recognized and have gained industry and government acceptance.
Joint Industry/State/Federal Data Team
PHMSA has been working with a joint industry/State/Federal team since 1997 to examine
hazardous liquid pipeline accident data needs. The team determined that standardization
of accident causes based on the causes proposed by the ASME B31.4 committees would
be the best way to address accident reporting deficiencies. The team determined that the
American Petroleum Institute (API) could develop and collect additional hazardous liquid
pipeline data with a voluntary reporting system. API developed the data collection
scheme in a system known as the Pipeline Performance Tracking Initiative (PPTI), and is
now pilot-testing the system using calendar year 1999 data.
Standardization of Accident Data Across Industry
PHMSA plans to implement the recommendations of the NTSB, the DOT's Office of the
Inspector General, Congress, and the White House by clarifying and standardizing the
accident cause categories, and collecting better information for both natural gas and
hazardous liquid pipeline accidents. Furthermore, the natural gas pipeline transmission
industry has recently accepted the expanded ASME B31.4 accident cause categories.
PHMSA acknowledges the need for consistent pipeline information for both natural gas and
hazardous liquid pipeline accidents. Plans are currently underway to similarly revise
natural gas transmission incident pipeline information. PHMSA also plans to adopt a
similar failure cause scheme for natural gas distribution pipeline incidents later in 2001.
By adopting recognized industry proposed failure causal categories for natural gas and
hazardous liquid pipeline incidents, we are taking a step toward further standardization of
pipeline safety statistics for all pipeline types, increasing the overall usefulness of the
data, and making analysis more efficient and meaningful.
Identified Shortcomings in PHMSA Pipeline Safety Data
Some key deficiencies that have been identified and which are being addressed in the
current proposed revision are: insufficient information about spills below 50 barrels and
spills in water; absence of complete information; oversimplification of the failure cause
categories on the current accident form (including a high percentage of causes reported in
the "OTHER" category where accident cause does not fit into the three causes provided);
and insufficient accident consequence and cause subelements for proper analysis.
PHMSA's Approach for Improving Hazardous Liquid Accident Data
New Reporting Threshold
This notice proposes to lower the existing threshold for accident reporting for operators
of hazardous liquid pipeline systems subject to PHMSA regulations under Part 195. The
existing threshold of 50 barrels would be lowered to the new threshold of 5 gallons.
PHMSA believes the consequence of spills as small as 5 gallons does not warrant full
reporting to the extent justified for larger spills. Consequently, PHMSA proposes to
minimize the reporting burden for small spills by collecting only minimal information for
spills from 5 gallons to less than 5 barrels, except where a spill of 5 gallons or more
occurs in water. Spills between 5 gallons and less than 5 barrels that occur during
normal maintenance activities are exempt if they are confined to the operator's property or
pipeline right-of-way and they are cleaned up without delay. A spill of 5 or more barrels,
or any accident reportable by the already existing criteria specified in section 195.50
will, as at present, require complete reporting.
In addition, because of the proposed reduction in the minimum spill reporting threshold,
the requirement in § 195.50(c) for reporting highly volatile liquid (HVL) releases as
small as 5 barrels is no longer needed. The proposed rule requires reporting of all
releases down to 5 barrels, including HVLs. Therefore, we propose to delete § 195.50(c).
Improved Cause and Consequence Information
PHMSA proposes to further improve the usefulness of the information collected on the
hazardous liquid accident form RSPA F 7000-1 by strengthening the cause and
consequence detail information. For details on the proposed changes, see the proposed
form RSPA F 7000-1 and the proposed Instructions for Completing Form RSPA F 7000-1 in Docket No. RSPA-01-8663. The proposed accident report form revision will
enhance safety and environmental protection from risks that hazardous liquid pipelines
pose to people and the environment by helping PHMSA to better identify safety trends and
issues, target solutions, and monitor effectiveness and compliance.
Rulemaking Analyses
Executive Order 12866 and DOT Policies and Procedures
PHMSA does not consider this proposed rulemaking to be a significant regulatory action
under Section 3(f) of Executive Order 12866. PHMSA also does not consider this proposed
rulemaking to be significant under DOT regulatory policies and procedures (44 FR
11034; February 26, 1979).
A copy of the Draft Regulatory Evaluation is available for review in the docket. This
section summarizes the findings of the draft regulatory evaluation. This proposed
rulemaking addresses the problems with the data collection of hazardous liquid pipeline
accidents.
Introduction
In recent years, the usefulness of the hazardous liquid accident data collection has been
found to be limited due to the level of detail and accuracy and the quality of the data
collected. Recognizing the limitations to effective pipeline safety analysis that these data
deficiencies cause, the National Transportation Safety Board, the Department of
Transportation Office of the Inspector General, and others have urged PHMSA to make the
pipeline safety data which PHMSA collects more useful.
This proposal amends the pipeline safety regulations to lower the reporting threshold for
hazardous liquid pipeline spills from 50 barrels to 5 gallons, with an accompanying
revision to the hazardous liquid accident form to improve its usefulness. On the revised
accident form, reporting for spills from less than 5 barrels down to 5 gallons will require
reporting minimal information, whereas any spill in water of 5 gallons or more, any spill
of 5 barrels or more, or where otherwise reportable according to existing reporting criteria
as outlined in CFR 195.50, will require completion of the entire new proposed accident
report. Additionally, PHMSA proposes to further improve the usefulness of the information
collected on the hazardous liquid accident form RSPA F 7000-1 by strengthening the
cause and consequence detail information on the accident report.
Benefits
Accurate, meaningful pipeline safety incident information is needed for general trending
of pipeline safety issues and for risk assessment applications, for deciding which
pipelines need rehabilitation vs. replacement, for analyzing cost benefits, and for
comparing individual operator performance with industry performance. This safety
information is used by PHMSA for daily decision making in PHMSA's assessment of pipeline
risks, regulatory development, and programmatic resource allocation. PHMSA also uses
the information in monitoring industry performance and regulatory compliance, and for
planning company standard safety inspections.
Costs
PHMSA estimates that it will take each operator 1 hour to complete the short form, and
estimates the long form will take each operator 7 hours to complete.
Based on a survey by the American Petroleum Institute (API), PHMSA estimates the
number of incidents reported annually will be 1,839. Of these reports, PHMSA estimates
that 427 will require the long form and 1,412 will require the short form.
Below is PHMSA's estimate for the new requirements and an estimate of the former
requirement for comparison purposes.
427 long forms x 7 hours = 2,989 hours
1,412 short forms x 1 hour = 1,422 hours
1,839 forms total 4,411 hours total
If the average cost is $40 per hour, the total industry cost annually is $176,440 (4,411 x
$40).
The previous cost to industry was 166 reports x 6 hours = 996 x $40 = $39,840.
The net increase of the proposed change in the reporting threshold and the proposed
changes to the forms is $136,600 annually.
Conclusion
PHMSA believes that the additional cost of $136,600 annually is a relatively modest burden
on the hazardous liquid pipeline industry. The benefits accruing to PHMSA and the
pipeline industry through the increase in the number of reports and the more detailed data
should easily outweigh this modest cost. This increase in information received should
allow PHMSA and the hazardous liquid pipeline industry to identify safety issues and trends
in the present state of pipeline safety, and to provide information that will allow operators
to make changes to procedures and practices that will ultimately reduce pipeline accidents
and improve pipeline safety.
Regulatory Flexibility Act
Dividing the incremental cost increase of $136,600 by the approximately 200 hazardous
pipeline operators shows the average incremental cost increase of this proposal is $683
per operator. Based on this small increase in costs to the industry of this proposed
rulemaking, I certify, pursuant to section 605 of the Regulatory Flexibility Act (5 U.S.C.
605), that this proposed rulemaking would not have a significant impact on a substantial
number of small entities. If you have any information that this conclusion about the
impact on small entities is not correct, please provide that information to the public
docket described in the Filing Information, Electronic Access, and General Program
Information section of the preamble.
Paperwork Reduction Act
This rule contains information collection requirements. As required by the Paperwork
Reduction Act of 1995 (44 U.S.C. 3507 (d)), the DOT has submitted a copy of the
Paperwork Reduction Act Analysis to the Office of Management and Budget (OMB) for
its review. The name of the information collection is "Transportation of Hazardous
Liquids by Pipeline: Recordkeeping and Accident Recordkeeping and Reporting
Requirements (2137-0047)." A copy of the Paperwork Reduction Act analysis is
available for review in the docket. This paperwork burden is an amendment to an already
existing information collection that includes additional information requirements that are
not a part of this rulemaking.
The approximately 192 hazardous liquid pipeline operators will be required to submit
approximately 1,839 incident reports annually. The total hour burden will be 4,411 hours
costing $176,440 annually.
Organizations and individuals desiring to submit comments on the information collection
should direct them to the addresses listed in the ADDRESSES section of the preamble.
Comments must be sent within 60 days of the publication of this notice.
The OMB is specifically interested in the following issues concerning the information
collection:
1. Evaluating whether the collection is necessary for the proper performance of the
functions of the DOT, including whether the information would have a practical use;
2. Evaluating the accuracy of the DOT's estimate of the burden of the collection of
information, including the validity of assumptions used;
3. Enhancing the quality, usefulness and clarity of the information to be collected; and
4. Minimizing the burden of collection of information on those who are to respond,
including through the use of appropriate automated electronic, mechanical, or other
technological collection techniques or other forms of information technology (e.g.,
permitting electronic submission of responses).
The Paperwork Reduction Act of 1995 does not require a person to respond to a
collection of information unless a valid OMB control number is displayed. The valid
OMB control number for this information collection will be published in the Federal
Register after it is approved by OMB. For more details, see the Paperwork Reduction
Analysis available for copying and review in the public docket.
Executive Order 13084
The proposed rules have been analyzed in accordance with the principles and criteria
contained in Executive Order 13084, "Consultation and Coordination with Indian Tribal
Governments.'' Because the proposed rules would not significantly or uniquely affect the
communities of the Indian tribal governments and would not impose substantial direct
compliance costs, the funding and consultation requirements of Executive Order 13084
do not apply.
Unfunded Mandates Reform Act of 1995
This proposed rulemaking would not impose unfunded mandates under the Unfunded
Mandates Reform Act of 1995. It would not result in costs of $100 million or more to
either State, local, or tribal governments, in the aggregate, or to the private sector, and
would be the least burdensome alternative that achieves the objective of the rule.
National Environmental Policy Act
We have analyzed the proposed rules for purposes of the National Environmental Policy
Act (42 U.S.C. 4321 et seq.). Because the proposed rule parallels present reporting
requirements and practices, we have preliminarily determined that the proposed rule
would not significantly affect the quality of the human environment. Generally,
collection of information does not constitute an environmental impact. A final
determination on environmental impact will be made after the end of the comment period.
If you disagree with our preliminary conclusion, please submit your comments to the
docket as described above.
Executive Order 13132
The proposed rules have been analyzed in accordance with the principles and criteria
contained in Executive Order 13132 (``Federalism''). The proposed rule change does not
propose any regulation that (1) has substantial direct effects on the States, the relationship
between the national government and the States, or the distribution of power and
responsibilities among the various levels of government; (2) imposes substantial direct
compliance costs on State and local governments; or (3) preempts state law. Therefore,
the consultation and funding requirements of Executive Order 13132 do not apply.
Nevertheless, during our review of the existing hazardous liquid reporting requirements,
representatives of state pipeline safety agencies gave us advice both in private sessions
and in the form of formal recommendations for pursuing improved accident information.
In addition, our pipeline safety advisory committees, which include representatives of
state governments, have been briefed on our plans for improving accident data.
List of Subjects in 49 CFR Part 195
Anhydrous ammonia, Carbon dioxide, Incorporation by reference, Petroleum, Pipeline
safety, Reporting and recordkeeping requirements.
In consideration of the foregoing, we propose to amend 49 CFR Part 195 as follows:
PART 195 -- TRANSPORTATION OF HAZARDOUS LIQUIDS BY PIPELINE
1. The authority citation for part 195 continues to read as follows:
Authority: 49 U.S.C. 5103, 60102, 60104, 60108, 60109, 60118; and 49 CFR 1.53
2. Amend § 195.50 to revise paragraph (b), to remove paragraph (c), and to
redesignate paragraphs (d) through (f) as paragraphs (c) through (e), to read as follows:
§ 195.50 Reporting accidents.
* * * * *
(b) Release of 5 gallons (19 liters) or more of hazardous liquid or carbon dioxide,
except that no report is required for a release of less than 5 barrels (0.8 cubic meters) if
the release is
(1) not one described in § 195.52(a)(4);
(2) attributable to a pipeline maintenance activity;
(3) confined to company property or pipeline right-of-way; and
(4) cleaned up promptly.
(c) Death of any person.
(d) Bodily harm to any person resulting in one or more of the following:
(1) Loss of consciousness.
(2) Necessity to carry the person from the scene.
(3) Necessity for medical treatment.
(4) Disability which prevents the discharge of normal duties or the pursuit of
normal activities beyond the day of the accident.
(e) Estimated property damage, including cost of clean-up and recovery, value of lost
product, and damage to the property of the operator or others, or both, exceeding $50,000.
Issued in Washington, D.C. on ________________________
Stacey L. Gerard
Associate Administrator for Pipeline Safety
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