[Federal Register Volume 64, Number 53 (Friday, March 19, 1999)]
[Proposed Rules]
[Pages 13535-13538]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-6791]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service

30 CFR Part 250

RIN 1010-AC55


Update of Documents Incorporated by Reference

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Proposed rule.

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SUMMARY: MMS is proposing to update one document incorporated by 
reference and add one new document incorporated by reference in 
regulations governing oil and gas and sulphur operations in the Outer 
Continental Shelf (OCS). The new editions of these documents 
incorporated by reference will ensure that lessees use the best 
available and safest technologies while operating in the OCS. The 
proposed updated document is the Second Edition of the American 
Petroleum Institute's (API) Recommended Practice for Classification of 
Locations for Electrical Installations at Petroleum Facilities 
Classified as Class I, Division 1 and Division 2 (API RP 500). The 
proposed new document is the First Edition of the API's Recommended 
Practice for Classification of Locations for Electrical Installations 
at Petroleum Facilities Classified as Class I, Zone 0, Zone 1, and Zone 
2 (API RP 505).

DATES: We will consider all comments we receive by June 17, 1999. We 
will begin reviewing comments then and may not fully consider comments 
we receive after June 17, 1999.

ADDRESSES: Mail or hand-carry comments (three copies) to the Department 
of the Interior; Minerals Management Service; Mail Stop 4024; 381 Elden 
Street; Herndon, Virginia 20170-4817; Attention: Rules Processing Team. 
The Rules Processing Team's e-mail address is: [email protected].

FOR FURTHER INFORMATION CONTACT: Joseph Levine, Chief, Operations 
Analysis Branch, at (703) 787-1032.

SUPPLEMENTARY INFORMATION: We use standards, specifications, and 
recommended practices developed by standard-setting organizations and 
the oil and gas industry for establishing requirements for activities 
in the OCS. This practice, known as incorporation by reference, allows 
us to incorporate the requirements of technical documents into the 
regulations without increasing the volume of the Code of Federal 
Regulations (CFR). We currently incorporate by reference 82 documents 
into the offshore operating regulations.

[[Page 13536]]

    The regulations found at 1 CFR part 51 govern how we and other 
Federal agencies incorporate various documents by reference. Agencies 
can only incorporate by reference through publication in the Federal 
Register. Agencies must also gain approval from the Director of the 
Federal Register for each publication incorporated by reference. 
Incorporation by reference of a document or publication is limited to 
the specific edition or specific edition and supplement or addendum 
cited in the regulations.
    This proposed rule will update the following document that is 
currently incorporated by reference into MMS regulations:
    API RP 500, First Edition, June 1, 1991, Recommended Practice for 
Classification of Locations for Electrical Installations at Petroleum 
Facilities.
    We have reviewed this document and have determined that the new 
edition must be incorporated into the regulations to ensure the use of 
the best and safest technologies. In our initial review, which was 
mentioned in a July 9, 1998, Federal Register rule (63 FR 37066), we 
believed the difference between the two editions to be significant. 
Further review shows that the changes between the old and new editions 
are minor, but new material and additional chapters have been included. 
In addition, the old document is not readily available to the affected 
parties because it is out of date.
    A summary of our review of the updated document is provided below: 
API RP 500, Recommended Practice for Classification of Locations for 
Electrical Installations at Petroleum Facilities Classified as Class I, 
Division 1 and Division 2, Second Edition, November 1997.
    In 1991, API merged its three area classification documents (RP 
500A for refineries, RP 500B for production and drilling facilities, 
and RP 500C for transportation and pipeline facilities) into the first 
edition of RP 500.
    The second edition has been revised using an API standard editorial 
format. It includes a higher level of detail and some new material 
regarding area classification drawings and sketches. Numerous real-
world examples that were not previously addressed in the earlier 
edition are added, including some U.S. Coast Guard-regulated offshore 
facilities, paint storage areas, locations containing batteries, and 
others. Additional chapters specific to offshore facilities such as 
tension leg platforms, mobile offshore drilling units, and floating 
production storage and offloading systems are included.
    The title of the document has been expanded to narrow the scope of 
the document to the traditional U.S.-style of location classification 
using Class and Division definitions. Reference to API RP 14C is also 
noted for offshore production and drilling operations.
    A summary of our review of the new document is provided below: API 
RP 505, Recommended Practice for Classification of Locations for 
Electrical Installations at Petroleum Facilities Classified as Class I, 
Zone 0, Zone 1, and Zone 2, First Edition, November 1997.
    API recently released this document, and it contains guidance on 
classifying locations in accordance with international concepts of 
zones versus API RP 500's use of divisions. We are requesting public 
comment on the possible incorporation of this document into our 
regulations. The purpose of API RP 505 is not to replace API RP 500. 
Rather, incorporation of both documents into MMS regulations would 
allow the offshore structure to be designed and built, using either 
offshore electrical location classification method.

Procedural Matters

    This is a very simple rule. The rule's purpose is to update one 
document that is currently incorporated by reference in the regulations 
and to add one additional document incorporated by reference. The 
differences between the newer document and the older document are very 
minor. The minor differences between the newer and older document will 
not cause a significant economic effect on any entity (small or large). 
Similarly, the addition of the new document, API RP 505, will not have 
a significant effect on any entity (small or large). Therefore, this 
regulation's impact on the entire industry is minor.

Public Comment Procedure

    Our practice is to make comments, including names and home 
addresses of respondents, available for public review during regular 
business hours. Individual respondents may request that we withhold 
their home address from the rulemaking record, which we will honor to 
the extent allowable by law. There may be circumstances in which we 
would withhold from the rulemaking record a respondent's identity, as 
allowable by the law. If you wish us to withhold your name and/or 
address, you must state this prominently at the beginning of your 
comment. However, we will not consider anonymous comments. We will make 
all submissions from organizations or businesses, and from individuals 
identifying themselves as representatives or officials of organizations 
or businesses available for public inspection in their entirety.

Takings Implication Assessment (E.O. 12630)

    In accordance with E.O. 12630, this rule does not have significant 
Takings Implications.

Regulatory Planning and Review (E.O. 12866)

    This document is not a significant rule and is not subject to 
review by the Office of Management and Budget under E.O. 12866.
    (1) This rule will not have an effect of $100 million or more on 
the economy. It will not adversely affect in a material way the 
economy, productivity, competition, jobs, the environment, public 
health or safety, or State, local, or tribal governments or 
communities.
    The rule would have no significant economic impact because the 
documents do not contain any significant revisions that will cause 
lessees or operators to change their business practices. The documents 
will not require the retrofitting of any facilities. The documents may 
lead to minor changes in operating practices, but the associated costs 
will be very minor.
    (2) This rule will not create a serious inconsistency or otherwise 
interfere with an action taken or planned by another agency.
    (3) This rule does not alter the budgetary effects or entitlements, 
grants, user fees, or loan programs or the rights or obligations of 
their recipients.
    (4) This rule does not raise novel legal or policy issues.

Clarity of This Regulation

    E.O. 12866 requires each agency to write regulations that are easy 
to understand. We invite your comments on how to make this rule easier 
to understand.
    Send a copy of any comments that concern how we could make this 
rule easier to understand to: Office of Regulatory Affairs, Department 
of the Interior, Room 7229, 1849 C Street, N.W., Washington, D.C. 
20240. You may also e-mail the comments to this address: 
[email protected].

Civil Justice Reform (E.O. 12988)

    In accordance with E.O. 12988, the Office of the Solicitor has 
determined that this rule does not unduly burden the judicial system 
and meets the requirements of sections 3(a) and 3(b)(2) of the Order.

[[Page 13537]]

National Environmental Policy Act (NEPA)

    This rule does not constitute a major Federal action significantly 
affecting the quality of the human environment. A detailed statement 
under the NEPA of 1969 is not required.

Paperwork Reduction Act (PRA) of 1995

    There are no information collection requirements associated with 
this rule.

Regulatory Flexibility Act

    The Department certifies that this document will not have a 
significant economic effect on a substantial number of small entities 
under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.). 
Incorporation of the new document into MMS regulations would allow the 
offshore structure to be designed and built using either offshore 
electrical location classification method. Thus, incorporation of the 
new document will not impose new cost on the offshore oil and gas 
industry and may provide beneficial flexibility. The Department also 
determined that the indirect effects of this rule on small entities 
that provide support for offshore activities are small (in effect 
zero).
    Your comments are important. The Small Business and Agriculture 
Regulatory Enforcement Ombudsman and 10 Regional Fairness Boards were 
established to receive comments from small business about Federal 
agency enforcement actions. The Ombudsman will annually evaluate the 
enforcement activities and rate each agency's responsiveness to small 
business. If you wish to comment on the enforcement actions of MMS, 
call toll-free (888) 734-3247.

Small Business Regulatory Enforcement Fairness Act (SBREFA)

    This rule is not a major rule under 5 U.S.C. 804(2), SBREFA. This 
rule:
    (a) Does not have an annual effect on the economy of $100 million 
or more. The proposed rule will not cause any significant costs to 
lessees or operators. The only costs will be the purchase of the new 
documents and minor revisions to some operating procedures. The minor 
revisions to operating procedures may result in some minor costs or may 
actually result in minor costs savings.
    (b) Will not cause a major increase in costs or prices for 
consumers, individual industries, Federal, State, or local government 
agencies, or geographic regions.
    (c) Does not have significant adverse effects on competition, 
employment, investment, productivity, innovation, or the ability of 
U.S.-based enterprises to compete with foreign-based enterprises.

Unfunded Mandates Reform Act of 1995

    This rule does not impose an unfunded mandate on State, local, and 
tribal governments or the private sector of more than $100 million per 
year. The rule does not have a significant or unique effect on State, 
local, or tribal governments or the private sector. A statement 
containing the information required by the Unfunded Mandates Reform Act 
(2 U.S.C. 1531 et seq.) is not required.

List of Subjects in 30 CFR Part 250

    Continental shelf, Environmental impact statements, Environmental 
protection, Government contracts, Incorporation by reference, 
Investigations, Mineral royalties, Oil and gas development and 
production, Oil and gas exploration, Oil and gas reserves, Penalties, 
Pipelines, Public lands--mineral resources, Public lands--rights-of-
way, Reporting and recordkeeping requirements, Sulphur development and 
production, Sulphur exploration, Surety bonds.

    Dated: March 8, 1999.
Sylvia V. Baca,
Acting Assistant Secretary, Land and Minerals Management.

    For the reasons stated in the preamble, Minerals Management Service 
(MMS) proposes to amend 30 CFR Part 250 as follows:

PART 250--OIL AND GAS AND SULPHUR OPERATIONS IN THE OUTER 
CONTINENTAL SHELF

    1. The authority citation for part 250 continues to read as 
follows:

    Authority: 43 U.S.C. 1334.

    2. In Sec. 250.101, the following document incorporated by 
reference in Table 1 in paragraph (e) is revised to read as follows:


Sec. 250.101  Documents incorporated by reference.

* * * * *
    (e) * * *

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                                               Incorporated by reference
              Title of document                            at
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API RP 500, Recommended Practice for           Sec.  250.403(b); Sec.
 Classification of Locations for Electrical     250.802(e)(4)(i); Sec.
 Installations at Petroleum Facilities          250.803 (b)(9)(i); Sec.
 Classified as Class I, Division 1 and          250.1628(b)(3);
 Division 2, Second Edition, November 1997,     (d)(4)(i); Sec.
 API Stock No. C50002.                          250.1629(b)(4)(i).
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    3. In Sec. 250.101, the following document incorporated by 
reference is added to Table 1 in paragraph (e) in alphanumerical order.


Sec. 250.101  Documents incorporated by reference.

*                   *                   *                   *        
           *                   *                   *
    (e) * * *

------------------------------------------------------------------------
                                               Incorporated by reference
              Title of document                            at
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API RP 505, Recommended Practice for           Sec.  250.403(b); Sec.
 Classification of Locations for Electrical     250.802(e)(4)(i); Sec.
 Installations at Petroleum Facilities          250.803 (b)(9)(i); Sec.
 Classified as Class I, Zone 0, Zone 1, and     250.1628(b)(3);
 Zone 2, First Edition, November 1997, API      (d)(4)(i); Sec.
 Stock No. C50501.                              250.1629(b)(4)(i).
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* * * * *
    4. In Sec. 250.403, paragraph (b) is revised to read as follows:


Sec. 250.403  Electrical equipment.

* * * * *
    (b) All areas must be classified in accordance with API RP 500, 
Recommended Practice for Classification of Locations for Electrical 
Installations at Petroleum Facilities Classified as Class I, Division 1 
and Division 2, or API RP 505, Recommended Practice for Classification 
of Locations for Electrical Installations at Petroleum Facilities

[[Page 13538]]

Classified as Class I, Zone 0, Zone 1, and Zone 2.
* * * * *
    5. In Sec. 250.802, paragraph (e)(4)(i) introductory text is 
revised to read as follows:


Sec. 250.802  Design, installation, and operation of surface 
production-safety systems.

* * * * *
    (e) * * *
    (4) * * *
    (i) A plan for each platform deck outlining all hazardous areas 
classified in accordance with API RP 500, Recommended Practice for 
Classification of Locations for Electrical Installations at Petroleum 
Facilities Classified as Class I, Division 1 and Division 2, or API RP 
505, Recommended Practice for Classification of Locations for 
Electrical Installations at Petroleum Facilities Classified as Class I, 
Zone 0, Zone 1, and Zone 2, and outlining areas in which potential 
ignition sources, other than electrical, are to be installed. The area 
outlined will include the following information:
* * * * *
    6. In Sec. 250.803, the last sentence of paragraph (b)(9)(i) is 
revised to read as follows:


Sec. 250.803  Additional production system requirements.

* * * * *
    (b) * * *
    (9) * * *
    (i) * * * A classified area is any area classified Class I, Group 
D, Division 1 or 2, following the guidelines of API RP 500, or any area 
classified Class I, Zone 0, Zone 1, or Zone 2, following the guidelines 
of API RP 505.
* * * * *
    7. In Sec. 250.1628, paragraphs (b)(3) and (d)(4)(i) are revised to 
read as follows:


Sec. 250.1628  Design, installation, and operation of production 
systems.

* * * * *
    (b) * * *
    (3) Electrical system information including a plan of each platform 
deck, outlining all hazardous areas classified in accordance with API 
RP 500, Recommended Practice for Classification of Locations for 
Electrical Installations at Petroleum Facilities Classified as Class I, 
Division 1 and Division 2, or API RP 505, Recommended Practice for 
Classification of Locations for Electrical Installations at Petroleum 
Facilities Classified as Class I, Zone 0, Zone 1, and Zone 2, and 
outlining areas in which potential ignition sources are to be 
installed;
* * * * *
    (d) * * *
    (4) * * *
    (i) A plan of each platform deck, outlining all hazardous areas 
classified in accordance with API RP 500, Recommended Practice for 
Classification of Locations for Electrical Installations at Petroleum 
Facilities Classified as Class I, Division 1 and Division 2, or API RP 
505, Recommended Practice for Classification of Locations for 
Electrical Installations at Petroleum Facilities Classified as Class I, 
Zone 0, Zone 1, and Zone 2, and outlining areas in which potential 
ignition sources are to be installed;
* * * * *
    8. In Sec. 250.1629, the last sentence of paragraph (b)(4)(i) is 
revised to read as follows:


Sec. 250.1629  Additional production and fuel gas system requirements.

* * * * *
    (b) * * *
    (4) * * *
    (i) * * * A classified area is any area classified Class I, Group 
D, Division 1 or 2, following the guidelines of API RP 500, or any area 
classified Class I, Zone 0, Zone 1, or Zone 2, following the guidelines 
of API RP 505.
* * * * *
[FR Doc. 99-6791 Filed 3-18-99; 8:45 am]
BILLING CODE 4310-MR-P