[109th Congress Public Law 468]
[From the U.S. Government Printing Office]


[DOCID: f:publ468.109]

[[Page 3485]]

  PIPELINE INSPECTION, PROTECTION, ENFORCEMENT, AND SAFETY ACT OF 2006

[[Page 120 STAT. 3486]]

Public Law 109-468
109th Congress

                                 An Act


 
 To amend title 49, United States Code, to provide for enhanced safety 
and environmental protection in pipeline transportation, to provide for 
   enhanced reliability in the transportation of the Nation's energy 
     products by pipeline, and for other purposes. <<NOTE: Dec. 29, 
                         2006 -  [H.R. 5782]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in 
Congress <<NOTE: Pipeline Inspection, Protection, Enforcement, and 
Safety Act of 2006. 49 USC 60101 note.>> assembled,

SECTION 1. SHORT TITLE; AMENDMENT OF TITLE 49, UNITED STATES CODE; TABLE 
            OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Pipeline 
Inspection, Protection, Enforcement, and Safety Act of 2006''.
    (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 provision, the reference shall be considered to be made to a 
section or other provision of title 49, United States Code.
    (c) Table of Contents.--

Sec. 1. Short title; amendment of title 49, United States Code; table of 
           contents.
Sec. 2. Pipeline safety and damage prevention.
Sec. 3. Public education and awareness.
Sec. 4. Low-stress pipelines.
Sec. 5. Technical assistance grants.
Sec. 6. Enforcement transparency.
Sec. 7. Direct line sales.
Sec. 8. Petroleum transportation capacity and regulatory adequacy study.
Sec. 9. Distribution integrity management program rulemaking deadline.
Sec. 10. Emergency waivers.
Sec. 11. Restoration of operations.
Sec. 12. Pipeline control room management.
Sec. 13. Safety orders.
Sec. 14. Integrity program enforcement.
Sec. 15. Incident reporting.
Sec. 16. Senior executive signature of integrity management program 
           performance reports.
Sec. 17. Cost recovery for design reviews.
Sec. 18. Authorization of appropriations.
Sec. 19. Standards to implement NTSB recommendations.
Sec. 20. Accident reporting form.
Sec. 21. Leak detection technology study.
Sec. 22. Corrosion control regulations.
Sec. 23. Inspector General report.
Sec. 24. Technical assistance program.
Sec. 25. Natural gas pipelines.
Sec. 26. Corrosion technology.

SEC. 2. PIPELINE SAFETY AND DAMAGE PREVENTION.

    (a) One Call Civil Enforcement.--
            (1) Prohibitions.--Section 60114 is amended by adding at the 
        end the following:

[[Page 120 STAT. 3487]]

    ``(d) Prohibition Applicable to Excavators.--A person who engages in 
demolition, excavation, tunneling, or construction--
            ``(1) may not engage in a demolition, excavation, tunneling, 
        or construction activity in a State that has adopted a one-call 
        notification system without first using that system to establish 
        the location of underground facilities in the demolition, 
        excavation, tunneling, or construction area;
            ``(2) may not engage in such demolition, excavation, 
        tunneling, or construction activity in disregard of location 
        information or markings established by a pipeline facility 
        operator pursuant to subsection (b); and
            ``(3) and who causes damage to a pipeline facility that may 
        endanger life or cause serious bodily harm or damage to 
        property--
                    ``(A) may not fail to promptly report the damage to 
                the owner or operator of the facility; and
                    ``(B) if the damage results in the escape of any 
                flammable, toxic, or corrosive gas or liquid, may not 
                fail to promptly report to other appropriate authorities 
                by calling the 911 emergency telephone number.

    ``(e) Prohibition Applicable to Underground Pipeline Facility Owners 
and Operators.--Any owner or operator of a pipeline facility who fails 
to respond to a location request in order to prevent damage to the 
pipeline facility or who fails to take reasonable steps, in response to 
such a request, to ensure accurate marking of the location of the 
pipeline facility in order to prevent damage to the pipeline facility 
shall be subject to a civil action under section 60120 or assessment of 
a civil penalty under section 60122.
    ``(f) Limitation.--The Secretary may not conduct an enforcement 
proceeding under subsection (d) for a violation within the boundaries of 
a State that has the authority to impose penalties described in section 
60134(b)(7) against persons who violate that State's damage prevention 
laws, unless the Secretary has determined that the State's enforcement 
is inadequate to protect safety, consistent with this chapter, and until 
the Secretary issues, through a rulemaking proceeding, the procedures 
for determining inadequate State enforcement of penalties.''.
            (2) Civil penalty.--Section 60122(a)(1) is amended by 
        striking ``60114(b)'' and inserting ``60114(b), 60114(d),''.

    (b) State Damage Prevention Programs.--
            (1) Contents of certifications.--Section 60105(b)(4) is 
        amended to read as follows:
            ``(4) is encouraging and promoting the establishment of a 
        program designed to prevent damage by demolition, excavation, 
        tunneling, or construction activity to the pipeline facilities 
        to which the certification applies that subjects persons who 
        violate the applicable requirements of that program to civil 
        penalties and other enforcement actions that are substantially 
        the same as are provided under this chapter, and addresses the 
        elements in section 60134(b);''.
            (2) In general.--Chapter 601 is amended by adding at the end 
        the following:

``Sec. 60134. State damage prevention programs

    ``(a) In General.--The Secretary may make a grant to a State 
authority (including a municipality with respect to intrastate gas

[[Page 120 STAT. 3488]]

pipeline transportation) to assist in improving the overall quality and 
effectiveness of a damage prevention program of the State authority 
under subsection (e) if the State authority--
            ``(1) has in effect an annual certification under section 
        60105 or an agreement under section 60106; and
            ``(2)(A) has in effect an effective damage prevention 
        program that meets the requirements of subsection (b); or
            ``(B) demonstrates that it has made substantial progress 
        toward establishing such a program, and that such program will 
        meet the requirements of subsection (b).

    ``(b) Damage Prevention Program Elements.--An effective damage 
prevention program includes the following elements:
            ``(1) Participation by operators, excavators, and other 
        stakeholders in the development and implementation of methods 
        for establishing and maintaining effective communications 
        between stakeholders from receipt of an excavation notification 
        until successful completion of the excavation, as appropriate.
            ``(2) A process for fostering and ensuring the support and 
        partnership of stakeholders, including excavators, operators, 
        locators, designers, and local government in all phases of the 
        program.
            ``(3) A process for reviewing the adequacy of a pipeline 
        operator's internal performance measures regarding persons 
        performing locating services and quality assurance programs.
            ``(4) Participation by operators, excavators, and other 
        stakeholders in the development and implementation of effective 
        employee training programs to ensure that operators, the one-
        call center, the enforcing agency, and the excavators have 
        partnered to design and implement training for the employees of 
        operators, excavators, and locators.
            ``(5) A process for fostering and ensuring active 
        participation by all stakeholders in public education for damage 
        prevention activities.
            ``(6) A process for resolving disputes that defines the 
        State authority's role as a partner and facilitator to resolve 
        issues.
            ``(7) Enforcement of State damage prevention laws and 
        regulations for all aspects of the damage prevention process, 
        including public education, and the use of civil penalties for 
        violations assessable by the appropriate State authority.
            ``(8) A process for fostering and promoting the use, by all 
        appropriate stakeholders, of improving technologies that may 
        enhance communications, underground pipeline locating 
        capability, and gathering and analyzing information about the 
        accuracy and effectiveness of locating programs.
            ``(9) A process for review and analysis of the effectiveness 
        of each program element, including a means for implementing 
        improvements identified by such program reviews.

    ``(c) Factors to Consider.--In making grants under this section, the 
Secretary shall take into consideration the commitment of each State to 
ensuring the effectiveness of its damage prevention program, including 
legislative and regulatory actions taken by the State.
    ``(d) <<NOTE: Deadline.>> Application.--If a State authority files 
an application for a grant under this section not later than September 
30 of a calendar year and demonstrates that the Governor (or chief 
executive) of the State has designated it as the appropriate State 


[[Page 120 STAT. 3489]]

authority to receive the grant, the Secretary shall review the State's 
damage prevention program to determine its effectiveness.
    ``(e) Use of Funds.--A grant under this section to a State authority 
may only be used to pay the cost of the personnel, equipment, and 
activities that the State authority reasonably requires for the calendar 
year covered by the grant to develop or carry out its damage prevention 
program in accordance with subsection (b).
    ``(f) Nonapplicability of Limitation.--A grant made under this 
section is not subject to the section 60107(a) limitation on the maximum 
percentage of funds to be paid by the Secretary.
    ``(g) Limitation on Use of Funds.--Funds provided to carry out this 
section may not be used for lobbying or in direct support of litigation.
    ``(h) Damage Prevention Process Defined.--In this section, the term 
`damage prevention process' means a process that incorporates the 
principles described in sections 60114(b), 60114(d), and 60114(e).''.
            (3) Clerical amendment.--The analysis for chapter 601 is 
        amended by adding at the end the following:

``60134. State damage prevention programs.''.

    (c) State Pipeline Safety Grants.--Section 60107(a) is amended by 
striking ``not more than 50 percent'' and inserting ``not more than 80 
percent''.
    (d) Maintenance of Effort.--Section 60107(b) is amended by striking 
``spent--'' and all that follows and inserting ``spent for gas and 
hazardous liquid safety programs for the 3 fiscal years prior to the 
fiscal year in which the Secretary makes the payment, except when the 
Secretary waives this requirement.''.
    (e) Damage Prevention Technology Development.--Section 60114 (as 
amended by subsection (a)(1) of this section) is further amended by 
adding at the end the following:
    ``(g) Technology Development Grants.--The Secretary may make grants 
to any organization or entity (not including for-profit entities) for 
the development of technologies that will facilitate the prevention of 
pipeline damage caused by demolition, excavation, tunneling, or 
construction activities, with emphasis on wireless and global 
positioning technologies having potential for use in connection with 
notification systems and underground facility locating and marking 
services. Funds provided under this subsection may not be used for 
lobbying or in direct support of litigation. The Secretary may also 
support such technology development through cooperative agreements with 
trade associations, academic institutions, and other organizations.''.

SEC. 3. PUBLIC EDUCATION AND AWARENESS.

    (a) In General.--Chapter 61 is amended by adding at the end the 
following:

``Sec. 6109. Public education and awareness

    ``(a) Grant Authority.--The Secretary shall make a grant to an 
appropriate entity for promoting public education and awareness with 
respect to the 811 national excavation damage prevention phone number.

[[Page 120 STAT. 3490]]

    ``(b) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary $1,000,000 for the period beginning 
October 1, 2006, and ending September 30, 2008, to carry out this 
section.''.
    (b) Clerical Amendment.--The analysis for chapter 61 is amended by 
adding at the end the following:

``6109. Public education and awareness.''.

SEC. 4. LOW-STRESS PIPELINES.

    Section 60102(k) is amended to read as follows:
    ``(k) Low-Stress Hazardous Liquid Pipelines.--
            ``(1) <<NOTE: Deadline. Regulations.>> Minimum standards.--
        Not later than December 31, 2007, the Secretary shall issue 
        regulations subjecting low-stress hazardous liquid pipelines to 
        the same standards and regulations as other hazardous liquid 
        pipelines, except as provided in paragraph (3). The 
        implementation of the applicable standards and regulatory 
        requirements may be phased in. The regulations issued under this 
        paragraph shall not apply to gathering lines.
            ``(2) General prohibition against low internal stress 
        exception.--Except as provided in paragraph (3), the Secretary 
        may not provide an exception to the requirements of this chapter 
        for a hazardous liquid pipeline because the pipeline operates at 
        low internal stress.
            ``(3) Limited exceptions.--The Secretary shall provide or 
        continue in force exceptions to this subsection for low-stress 
        hazardous liquid pipelines that--
                    ``(A) are subject to safety regulations of the 
                United States Coast Guard; or
                    ``(B) serve refining, manufacturing, or truck, rail, 
                or vessel terminal facilities if the pipeline is less 
                than 1 mile long (measured outside the facility grounds) 
                and does not cross an offshore area or a waterway 
                currently used for commercial navigation,
        until regulations issued under paragraph (1) become effective. 
        After such regulations become effective, the Secretary may 
        retain or remove those exceptions as appropriate.
            ``(4) Relationship to other laws.--Nothing in this 
        subsection shall be construed to prohibit or otherwise affect 
        the applicability of any other statutory or regulatory exemption 
        to any hazardous liquid pipeline.
            ``(5) Definition.--For purposes of this subsection, the term 
        `low-stress hazardous liquid pipeline' means a hazardous liquid 
        pipeline that is operated in its entirety at a stress level of 
        20 percent or less of the specified minimum yield strength of 
        the line pipe.
            ``(6) Effective date.--The requirements of this subsection 
        shall not take effect as to low-stress hazardous liquid pipeline 
        operators before the effective date of the rules promulgated by 
        the Secretary under this subsection.''.

SEC. 5. TECHNICAL ASSISTANCE GRANTS.

    Section 60130 is amended--
            (1) in subsection (a)(1) by striking ``The Secretary shall 
        establish competitive'' and inserting ``No grants may be awarded 
        under section 60114(g) until the Secretary has established 
        competitive'';

[[Page 120 STAT. 3491]]

            (2) in subsection (a) by redesignating paragraph (2) as 
        paragraph (4);
            (3) in subsection (a) by inserting after paragraph (1) the 
        following:
            ``(2) Demonstration grants.--At least the first 3 grants 
        awarded under this section shall be demonstration grants for the 
        purpose of demonstrating and evaluating the utility of grants 
        under this section. Each such demonstration grant shall not 
        exceed $25,000.
            ``(3) Dissemination of technical findings.--Each recipient 
        of a grant under this section shall ensure that--
                    ``(A) the technical findings made possible by the 
                grants are made available to the relevant operators; and
                    ``(B) open communication between the grant 
                recipients, local operators, local communities, and 
                other interested parties is encouraged.''; and
            (4) in subsection (d) by striking ``2006'' and inserting 
        ``2010''.

SEC. 6. ENFORCEMENT TRANSPARENCY.

    (a) In General.--Chapter 601 (as amended by section 2(b) of this 
Act) is further amended by adding at the end the following:

``Sec. 60135. Enforcement transparency

    ``(a) <<NOTE: Deadline. Public information.>> In General.--Not later 
than December 31, 2007, the Secretary shall--
            ``(1) provide a monthly updated summary to the public of all 
        gas and hazardous liquid pipeline enforcement actions taken by 
        the Secretary or the Pipeline and Hazardous Materials Safety 
        Administration, from the time a notice commencing an enforcement 
        action is issued until the enforcement action is final;
            ``(2) include in each such summary identification of the 
        operator involved in the enforcement activity, the type of 
        alleged violation, the penalty or penalties proposed, any 
        changes in case status since the previous summary, the final 
        assessment amount of each penalty, and the reasons for a 
        reduction in the proposed penalty, if appropriate; and
            ``(3) provide a mechanism by which a pipeline operator named 
        in an enforcement action may make information, explanations, or 
        documents it believes are responsive to the enforcement action 
        available to the public.

    ``(b) Electronic Availability.--Each summary under this section 
shall be made available to the public by electronic means.
    ``(c) Relationship to FOIA.--Nothing in this section shall be 
construed to require disclosure of information or records that are 
exempt from disclosure under section 552 of title 5.''.
    (b) Clerical Amendment.--The analysis for chapter 601 (as amended by 
section 2(b) of this Act) is further amended by adding at the end:

``60135. Enforcement transparency.''.

SEC. 7. DIRECT LINE SALES.

    Section 60101(a) is amended--
            (1) by striking paragraph (6) and inserting the following:
            ``(6) `interstate gas pipeline facility' means a gas 
        pipeline facility--
                    ``(A) used to transport gas; and

[[Page 120 STAT. 3492]]

                    ``(B) subject to the jurisdiction of the Commission 
                under the Natural Gas Act (15 U.S.C. 717 et seq.);''; 
                and
            (2) by striking paragraph (9) and inserting the following:
            ``(9) `intrastate gas pipeline facility' means a gas 
        pipeline facility and transportation of gas within a State not 
        subject to the jurisdiction of the Commission under the Natural 
        Gas Act (15 U.S.C. 717 et seq.);''.

SEC. 8. PETROLEUM TRANSPORTATION CAPACITY AND REGULATORY ADEQUACY STUDY.

    (a) In General.--Chapter 601 (as amended by sections 2(b) and 6 of 
this Act) is further amended by adding at the end the following:

``Sec. 60136. Petroleum product transportation capacity study

    ``(a) In General.--The Secretaries of Transportation and Energy 
shall conduct periodic analyses of the domestic transport of petroleum 
products by pipeline. Such analyses should identify areas of the United 
States where unplanned loss of individual pipeline facilities may cause 
shortages of petroleum products or price disruptions and where shortages 
of pipeline capacity and reliability concerns may have or are 
anticipated to contribute to shortages of petroleum products or price 
disruptions. Upon identifying such areas, the Secretaries may determine 
if the current level of regulation is sufficient to minimize the 
potential for unplanned losses of pipeline capacity.
    ``(b) Consultation.--In preparing any analysis under this section, 
the Secretaries may consult with the heads of other government agencies 
and public- and private-sector experts in pipeline and other forms of 
petroleum product transportation, energy consumption, pipeline capacity, 
population, and economic development.
    ``(c) Report to Congress.--Not later than June 1, 2008, the 
Secretaries shall submit to the Committee on Energy and Commerce and the 
Committee on Transportation and Infrastructure of the House of 
Representatives and the Committee on Commerce, Science, and 
Transportation and the Committee on Energy and Natural Resources of the 
Senate a report setting forth their recommendations to reduce the 
likelihood of the shortages and price disruptions referred to in 
subsection (a).
    ``(d) Additional Reports.--The Secretaries shall submit additional 
reports to the congressional committees referred to in subsection (c) 
containing the results of any subsequent analyses performed under 
subsection (a) and any additional recommendations, as appropriate.
    ``(e) Petroleum Product Defined.--In this section, the term 
`petroleum product' means oil of any kind  or in any form, gasoline, 
diesel fuel, aviation fuel, fuel oil, kerosene, any product obtained 
from refining or processing of crude oil, liquefied petroleum gases, 
natural gas liquids, petrochemical feedstocks, condensate, waste or 
refuse mixtures containing any of such oil products, and any other 
liquid hydrocarbon compounds.''.
    (b) Clerical Amendment.--The analysis for chapter 601 (as amended by 
sections 2(b) and 6 of this Act) is further amended by adding at the end 
the following:

``60136. Petroleum product transportation capacity study.''.

[[Page 120 STAT. 3493]]

SEC. 9. DISTRIBUTION INTEGRITY MANAGEMENT PROGRAM RULEMAKING DEADLINE.

    Section 60109 is amended by adding at the end the following:
    ``(e) Distribution Integrity Management Programs.--
            ``(1) Minimum standards.--Not later than December 31, 2007, 
        the Secretary shall prescribe minimum standards for integrity 
        management programs for distribution pipelines.
            ``(2) Additional authority of secretary.--In carrying out 
        this subsection, the Secretary may require operators of 
        distribution pipelines to continually identify and assess risks 
        on their distribution lines, to remediate conditions that 
        present a potential threat to line integrity, and to monitor 
        program effectiveness.
            ``(3) Excess flow valves.--
                    ``(A) In general.--The minimum standards shall 
                include a requirement for an operator of a natural gas 
                distribution system to install an excess flow valve on 
                each single family residence service line connected to 
                such system if--
                          ``(i) the service line is installed or 
                      entirely replaced after June 1, 2008;
                          ``(ii) the service line operates continuously 
                      throughout the year at a pressure not less than 10 
                      pounds per square inch gauge;
                          ``(iii) the service line is not connected to a 
                      gas stream with respect to which the operator has 
                      had prior experience with contaminants the 
                      presence of which could interfere with the 
                      operation of an excess flow valve;
                          ``(iv) the installation of an excess flow 
                      valve on the service line is not likely to cause 
                      loss of service to the residence or interfere with 
                      necessary operation or maintenance activities, 
                      such as purging liquids from the service line; and
                          ``(v) an excess flow valve meeting performance 
                      standards developed under section 60110(e) of 
                      title 49, United States Code, is commercially 
                      available to the operator, as determined by the 
                      Secretary.
                    ``(B) Reports.--Operators of natural gas 
                distribution systems shall report annually to the 
                Secretary on the number of excess flow valves installed 
                on their systems under subparagraph (A).
            ``(4) Applicability.--The Secretary shall determine which 
        distribution pipelines will be subject to the minimum standards.
            ``(5) Development and implementation.--Each operator of a 
        distribution pipeline that the Secretary determines is subject 
        to the minimum standards prescribed by the Secretary under this 
        subsection shall develop and implement an integrity management 
        program in accordance with those standards.
            ``(6) Savings clause.--Subject to section 60104(c), a State 
        authority having a current certification under section 60105 may 
        adopt or continue in force additional integrity management 
        requirements, including additional requirements for installation 
        of excess flow valves, for gas distribution pipelines within the 
        boundaries of that State.''.

[[Page 120 STAT. 3494]]

SEC. 10. EMERGENCY WAIVERS.

    Section 60118(c) is amended to read as follows:
    ``(c) Waivers by Secretary.--
            ``(1) Nonemergency waivers.--
                    ``(A) In general.--On application of an owner or 
                operator of a pipeline facility, the Secretary by order 
                may waive compliance with any part of an applicable 
                standard prescribed under this chapter with respect to 
                such facility on terms the Secretary considers 
                appropriate if the Secretary determines that the waiver 
                is not inconsistent with pipeline safety.
                    ``(B) Hearing.--The Secretary may act on a waiver 
                under this paragraph only after notice and an 
                opportunity for a hearing.
            ``(2) Emergency waivers.--
                    ``(A) In general.--The Secretary by order may waive 
                compliance with any part of an applicable standard 
                prescribed under this chapter on terms the Secretary 
                considers appropriate without prior notice and comment 
                if the Secretary determines that--
                          ``(i) it is in the public interest to grant 
                      the waiver;
                          ``(ii) the waiver is not inconsistent with 
                      pipeline safety; and
                          ``(iii) the waiver is necessary to address an 
                      actual or impending emergency involving pipeline 
                      transportation, including an emergency caused by a 
                      natural or manmade disaster.
                    ``(B) Period of waiver.--A waiver under this 
                paragraph may be issued for a period of not more than 60 
                days and may be renewed upon application to the 
                Secretary only after notice and an opportunity for a 
                hearing on the waiver. The Secretary shall immediately 
                revoke the waiver if continuation of the waiver would 
                not be consistent with the goals and objectives of this 
                chapter.
            ``(3) Statement of reasons.--The Secretary shall state in an 
        order issued under this subsection the reasons for granting the 
        waiver.''.

SEC. 11. RESTORATION OF OPERATIONS.

    Section 60117 is amended by adding at the end the following:
    ``(m) Restoration of Operations.--
            ``(1) In general.--The Secretary may advise, assist, and 
        cooperate with the heads of other departments, agencies, and 
        instrumentalities of the United States Government, the States, 
        and public and private agencies and persons to facilitate the 
        restoration of pipeline operations that have been or are 
        anticipated to become disrupted by manmade or natural disasters.
            ``(2) Savings clause.--Nothing in this section alters or 
        amends the authorities and responsibilities of any department, 
        agency, or instrumentality of the United States Government, 
        other than the Department of Transportation.''.

SEC. 12. PIPELINE CONTROL ROOM MANAGEMENT.

    (a) In General.--Chapter 601 (as amended by sections 2(b), 6, and 8 
of this Act) is further amended by adding at the end the following:

[[Page 120 STAT. 3495]]

``Sec. 60137. Pipeline control room management

    ``(a) <<NOTE: Deadline. Regulations.>> In General.--Not later than 
June 1, 2008, the Secretary shall issue regulations requiring each 
operator of a gas or hazardous liquid pipeline to develop, implement, 
and submit to the Secretary or, in the case of an operator of an 
intrastate pipeline located within the boundaries of a State that has in 
effect an annual certification under section 60105, to the head of the 
appropriate State authority, a human factors management plan designed to 
reduce risks associated with human factors, including fatigue, in each 
control center for the pipeline. Each plan must include, among the 
measures to reduce such risks, a maximum limit on the hours of service 
established by the operator for individuals employed as controllers in a 
control center for the pipeline.

    ``(b) Review and Approval of the Plan.--The Secretary or, in the 
case of an operator of an intrastate pipeline located within the 
boundaries of a State that has in effect an annual certification under 
section 60105, the head of the appropriate State authority, shall review 
and approve each plan submitted to the Secretary or the head of such 
authority under subsection (a). The Secretary and the head of such 
authority may not approve a plan that does not include a maximum limit 
on the hours of service established by the operator of the pipeline for 
individuals employed as controllers in a control center for the 
pipeline.
    ``(c) Enforcement of the Plan.--If the Secretary or the head of the 
appropriate State authority determines that an operator's plan submitted 
to the Secretary or the head of such authority under subsection (a), or 
implementation of such a plan, does not comply with the regulations 
issued under this section or is inadequate for the safe operation of a 
pipeline, the Secretary or the head of such authority may take action 
consistent with this chapter and enforce the requirements of such 
regulations.
    ``(d) Compliance With the Plan.--Each operator of a gas or hazardous 
liquid pipeline shall document compliance with the plan submitted by the 
operator under subsection (a) and the reasons for any deviation from 
compliance with such plan. The Secretary or the head of the appropriate 
State authority, as the case may be, shall review the reasonableness of 
any such deviation in considering whether to take enforcement action or 
discontinue approval of the operator's plan under subsection (b).
    ``(e) Deviation Reporting Requirements.--In issuing regulations 
under subsection (a), the Secretary shall develop and include in such 
regulations requirements for an operator of a gas or hazardous liquid 
pipeline to report deviations from compliance with the plan submitted by 
the operator under subsection (a).''.
    (b) Clerical Amendment.--The analysis for chapter 601 (as amended by 
sections 2(b), 6, and 8 of this Act) is further amended by adding at the 
end the following:

``60137. Pipeline control room management.''.

SEC. 13. SAFETY ORDERS.

    Section 60117(l) is amended to read as follows:
    ``(l) Safety Orders.--
            ``(1) <<NOTE: Deadline. Regulations.>> In general.--Not 
        later than December 31, 2007, the Secretary shall issue 
        regulations providing that, after notice and opportunity for a 
        hearing, if the Secretary determines that a pipeline facility 
        has a condition that poses a pipeline 


[[Page 120 STAT. 3496]]

        integrity risk to public safety, property, or the environment, 
        the Secretary may order the operator of the facility to take 
        necessary corrective action, including physical inspection, 
        testing, repair, or other appropriate action, to remedy that 
        condition.
            ``(2) Considerations.--In making a determination under 
        paragraph (1), the Secretary, if relevant and pursuant to the 
        regulations issued under paragraph (1), shall consider--
                    ``(A) the considerations specified in paragraphs (1) 
                through (6) of section 60112(b);
                    ``(B) the likelihood that the condition will impair 
                the serviceability of a pipeline;
                    ``(C) the likelihood that the condition will worsen 
                over time; and
                    ``(D) the likelihood that the condition is present 
                or could develop on other areas of the pipeline.''.

SEC. 14. INTEGRITY PROGRAM ENFORCEMENT.

    Section 60109(c)(9)(A)(iii) is amended to read as follows:
                          ``(iii) Inadequate programs.--If the Secretary 
                      determines that a risk analysis or integrity 
                      management program does not comply with the 
                      requirements of this subsection or regulations 
                      issued as described in paragraph (2), has not been 
                      adequately implemented, or is inadequate for the 
                      safe operation of a pipeline facility, the 
                      Secretary may conduct proceedings under this 
                      chapter.''.

SEC. 15. <<NOTE: 49 USC 60117 note.>> INCIDENT REPORTING.

    Not later than December 31, 2007, the Secretary of Transportation 
shall review the incident reporting requirements for operators of 
natural gas pipelines and modify the reporting criteria as appropriate 
to ensure that the incident data gathered accurately reflects incident 
trends over time, taking into consideration the recommendations from the 
Comptroller General in GAO report 06-946.

SEC. 16. SENIOR EXECUTIVE SIGNATURE OF INTEGRITY MANAGEMENT PROGRAM 
            PERFORMANCE REPORTS.

    Section 60109 (as amended by section 9 of this Act) is further 
amended by adding at the end the following:
    ``(f) <<NOTE: Procedures.>> Certification of Pipeline Integrity 
Management Program Performance.--The Secretary shall establish 
procedures requiring certification of annual and semiannual pipeline 
integrity management program performance reports by a senior executive 
officer of the company operating a pipeline subject to this chapter. The 
procedures shall require a signed statement, which may be effected 
electronically in accordance with the provisions of the Electronic 
Signatures in Global and National Commerce Act (15 U.S.C. 7001 et seq.), 
certifying that--
            ``(1) the signing officer has reviewed the report; and
            ``(2) to the best of such officer's knowledge and belief, 
        the report is true and complete.''.

SEC. 17. COST RECOVERY FOR DESIGN REVIEWS.

    Section 60117 (as amended by section 11 of this Act) is amended by 
adding at the end the following:
    ``(n) Cost Recovery for Design Reviews.--

[[Page 120 STAT. 3497]]

            ``(1) In general.--If the Secretary conducts facility design 
        safety reviews in connection with a proposal to construct, 
        expand, or operate a liquefied natural gas pipeline facility, 
        the Secretary may require the person requesting such reviews to 
        pay the associated staff costs relating to such reviews incurred 
        by the Secretary in section 60301(d). The Secretary may assess 
        such costs in any reasonable manner.
            ``(2) Deposit.--The Secretary shall deposit all funds paid 
        to the Secretary under this subsection into the Department of 
        Treasury account 69-5172-0-2-407 or its successor account.
            ``(3) Authorization of appropriations.--Funds deposited 
        pursuant to this subsection are authorized to be appropriated 
        for the purposes set forth in section 60301(d).''.

SEC. 18. AUTHORIZATION OF APPROPRIATIONS.

    (a) Gas and Hazardous Liquid.--Section 60125(a) is amended to read 
as follows:
    ``(a) Gas and Hazardous Liquid.--
            ``(1) In general.--To carry out the provisions of this 
        chapter related to gas and hazardous liquid and section 12 of 
        the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 60101 
        note; Public Law 107-355), the following amounts are authorized 
        to be appropriated to the Department of Transportation from fees 
        collected under section 60301 in each respective year:
                    ``(A) For fiscal year 2007, $60,175,000 of which 
                $7,386,000 is for carrying out such section 12 and 
                $17,556,000 is for making grants.
                    ``(B) For fiscal year 2008, $67,118,000 of which 
                $7,586,000 is for carrying out such section 12 and 
                $20,614,000 is for making grants.
                    ``(C) For fiscal year 2009, $72,045,000 of which 
                $7,586,000 is for carrying out such section 12 and 
                $21,513,000 is for making grants.
                    ``(D) For fiscal year 2010, $76,580,000 of which 
                $7,586,000 is for carrying out subsection 12 and 
                $22,252,000 is for making grants.
            ``(2)  Trust fund amounts.--In addition to the amounts 
        authorized to be appropriated by paragraph (1) the following 
        amounts are authorized from the Oil Spill Liability Trust Fund 
        to carry out the provisions of this chapter related to hazardous 
        liquid and section 12 of the Pipeline Safety Improvement Act of 
        2002 (49 U.S.C. 60101 note; Public Law 107-355):
                    ``(A) For fiscal year 2007, $18,810,000 of which 
                $4,207,000 is for carrying out such section 12 and 
                $2,682,000 is for making grants.
                    ``(B) For fiscal year 2008, $19,000,000 of which 
                $4,207,000 is for carrying out such section 12 and 
                $2,682,000 is for making grants.
                    ``(C) For fiscal year 2009, $19,500,000 of which 
                $4,207,000 is for carrying out such section 12 and 
                $3,103,000 is for making grants.
                    ``(D) For fiscal year 2010, $20,000,000 of which 
                $4,207,000 is for carrying out such section 12 
                $3,603,000 is for making grants.''.

    (b) Conforming Amendments.--Section 60125 is amended--
            (1) by striking subsections (b) and (c); and

[[Page 120 STAT. 3498]]

            (2) by redesignating subsections (d) and (e) as subsections 
        (b) and (c), respectively.

    (c) Emergency Response Grants.--Section 60125(b) (as redesignated by 
subsection (b)(2) of this section) is amended--
            (1) in paragraph (1) by adding at the end the following: 
        ``To the extent that such grants are used to train emergency 
        responders, such training shall ensure that emergency responders 
        have the ability to protect nearby persons, property, and the 
        environment from the effects of accidents or incidents involving 
        gas or hazardous liquid pipelines, in accordance with existing 
        regulations.''; and
            (2) in paragraph (2)--
                    (A) by striking ``$6,000,000'' and inserting 
                ``$10,000,000''; and
                    (B) by striking ``2003 through 2006'' and inserting 
                ``2007 through 2010''.

    (d) One-Call Notification Programs.--Section 6107 is amended--
            (1) in subsection (a) by striking ``fiscal years 2003 
        through 2006'' and inserting ``fiscal years 2007 through 2010''; 
        and
            (2) in subsection (b) by striking ``for fiscal years 2003 
        through 2006'' and inserting ``for fiscal years 2007 through 
        2010''.

    (e) Inspector Staffing.--The Secretary shall ensure that the number 
of positions for pipeline inspection and enforcement personnel at the 
Pipeline and Hazardous Materials Safety Administration does not fall 
below 100 for fiscal year 2007, 111 for fiscal year 2008, 123 for fiscal 
year 2009, and 135 for fiscal year 2010.

SEC. 19. <<NOTE: 49 USC 60102 note. Deadline.>> STANDARDS TO IMPLEMENT 
            NTSB RECOMMENDATIONS.

    Not later than June 1, 2008, the Secretary of Transportation shall 
issue standards that implement the following recommendations contained 
in the National Transportation Safety Board's report entitled 
``Supervisory Control and Data Acquisition (SCADA) in Liquid Pipelines'' 
and adopted November 29, 2005:
            (1) Implementation of the American Petroleum Institute's 
        Recommended Practice 165 for the use of graphics on the 
        supervisory control and data acquisition screens.
            (2) Implementation of a standard for pipeline companies to 
        review and audit alarms on monitoring equipment.
            (3) Implementation of standards for pipeline controller 
        training that include simulator or noncomputerized simulations 
        for controller recognition of abnormal pipeline operating 
        conditions, in particular, leak events.

SEC. 20. <<NOTE: 49 USC 60117 note.>> ACCIDENT REPORTING FORM.

    Not later than December 31, 2007, the Secretary of Transportation 
shall amend accident reporting forms to require operators of gas and 
hazardous liquid pipelines to provide data related to controller 
fatigue.

SEC. 21. LEAK DETECTION TECHNOLOGY STUDY.

    Not <<NOTE: Reports.>> later than December 31, 2007, the Secretary 
of Transportation shall submit to Congress a report on leak detection 
systems utilized by operators of hazardous liquid pipelines. The report 
shall include a discussion of the inadequacies of current leak detection 
systems, including their ability to detect ruptures and small leaks that 
are ongoing or intermittent, and what can be done to foster 


[[Page 120 STAT. 3499]]

development of better technologies as well as address existing 
technological inadequacies.

SEC. 22. CORROSION CONTROL REGULATIONS.

    (a) Review.--The Secretary of Transportation, in consultation with 
the Technical Hazardous Liquid Pipeline Safety Standards Committee and 
other appropriate entities, shall review the internal corrosion control 
regulations set forth in subpart H of part 195 of title 49 of the Code 
of Federal Regulations to determine if such regulations are currently 
adequate to ensure that the pipeline facilities subject to such 
regulations will not present a hazard to public safety or the 
environment.
    (b) Report.--Not later than December 31, 2007, the Secretary shall 
submit to Congress a report containing the results of the review and may 
modify the regulations referred to in subsection (a) if necessary and 
appropriate.

SEC. 23. INSPECTOR GENERAL REPORT.

    (a) Assessment.--Not later than December 31, 2007, the Inspector 
General of the Department of Transportation shall conduct an assessment 
of the actions the Department has taken in implementing the annex to the 
memorandum of understanding between the Secretary of Transportation and 
the Secretary of Homeland Security, dated September 28, 2004, relating 
to pipeline security.
    (b) Specified Duties of Inspector General.--In carrying out the 
assessment, the Inspector General shall--
            (1) provide a status report on implementation of the program 
        elements outlined and developed in the annex;
            (2) describe the roles, responsibilities, and authority of 
        the Department of Transportation relating to pipeline security;
            (3) assess the adequacy and effectiveness of the process by 
        which the Department of Transportation has communicated and 
        coordinated with the Department of Homeland Security on matters 
        relating to pipeline security;
            (4) address the adequacy of security standards for gas and 
        oil pipelines in coordination, as necessary, with the Inspector 
        General of the Department of Homeland Security; and
            (5) consider any other issues determined to be appropriate 
        by the Inspector General of the Department of Transportation or 
        the Secretary of Transportation.

    (c) Assessment Report and Periodic Status Updates.--
            (1) Assessment report.--Not later than December 31, 2007, 
        the Inspector General of the Department of Transportation shall 
        transmit a report on the results of the assessment, together 
        with any recommendations (including legislative options for 
        Congress to consider), to the Committees on Transportation and 
        Infrastructure and Energy and Commerce of the House of 
        Representatives and the Committee on Commerce, Science, and 
        Transportation of the Senate.
            (2) Periodic status reports.--The Inspector General shall 
        transmit periodically to the Committees as referred to in 
        paragraph (1), as necessary and appropriate, reports on matters 
        pertaining to the implementation by the Department of 
        Transportation of any recommendations contained in the report 
        transmitted pursuant to paragraph (1).

[[Page 120 STAT. 3500]]

    (d) Format.--The report, or portions of the report, under subsection 
(c)(1) may be submitted in a classified format if the Inspector General 
determines that such action is necessary.

SEC. 24. <<NOTE: 49 USC 60101 note.>> TECHNICAL ASSISTANCE PROGRAM.

    (a) In General.--The Secretary of Transportation may award, through 
a competitive process, grants to universities with expertise in pipeline 
safety and security to establish jointly a collaborative program to 
conduct pipeline safety and technical assistance programs.
    (b) Duties.--In cooperation with the Pipeline and Hazardous 
Materials Safety Administration and representatives from States and 
boards of public utilities, the participants in the collaborative 
program established under subsection (a) shall be responsible for 
development of workforce training and technical assistance programs 
through statewide and regional partnerships that provide for--
            (1) communication of national, State, and local safety 
        information to pipeline operators;
            (2) distribution of technical resources and training to 
        support current and future Federal mandates; and
            (3) evaluation of program outcomes.

    (c) Training and Educational Materials.--The collaborative program 
established under subsection (a) may include courses in recent 
developments, techniques, and procedures related to--
            (1) safety and security of pipeline systems;
            (2) incident and risk management for such systems;
            (3) integrity management for such systems;
            (4) consequence modeling for such systems;
            (5) detection of encroachments and monitoring of rights-of-
        way for such systems; and
            (6) vulnerability assessment of such systems at both project 
        and national levels.

    (d) Reports.--
            (1) University.--Not later than March 31, 2009, the 
        universities awarded grants under subsection (a) shall submit to 
        the Secretary a report on the results of the collaborative 
        program.
            (2) Secretary.--Not later than October 1, 2009, the 
        Secretary shall transmit the reports submitted to the Secretary 
        under paragraph (1), along with any findings, recommendations, 
        or legislative options for Congress to consider, to the 
        Committees on Transportation and Infrastructure and Energy and 
        Commerce of the House of Representatives and the Committee on 
        Commerce, Science, and Transportation of the Senate.

    (e) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary to carry out this section for 
each of fiscal years 2007 through 2010.

SEC. 25. NATURAL GAS PIPELINES.

    The <<NOTE: Deadline. Recommen- dations.>> Secretary of 
Transportation shall review and comment on the Comptroller General 
report issued under section 14(d)(1) of the Pipeline Safety Improvement 
Act of 2002 (49 U.S.C. 60109 note; 116 Stat. 3005), and not later than 
60 days after the date of enactment of this Act, transmit to Congress 
any legislative recommendations the Secretary considers necessary and 
appropriate to implement the conclusions of that report.

[[Page 120 STAT. 3501]]

SEC. 26. CORROSION TECHNOLOGY.

    Section 12 of the Pipeline Safety Improvement Act of 2002 (49 U.S.C. 
60101 note; Public Law 107-355) is amended--
            (1) in subsection (c)(2) by striking ``corrosion,'';
            (2) in subsection (c)--
                    (A) by striking ``and'' at the end of paragraph (9);
                    (B) by redesignating paragraph (10) as paragraph 
                (11);
                    (C) by inserting after paragraph (9) the following:
            ``(10) corrosion detection and improving methods, best 
        practices, and technologies for identifying, detecting, 
        preventing, and managing internal and external corrosion and 
        other safety risks; and''; and
                    (D) by adding at the end the following:

``The results of activities carried out under paragraph (10) shall be 
used by the participating agencies to support development and 
improvement of national consensus standards.''; and
            (3) by striking subsection (f) and redesignating subsections 
        (g) and (h) as subsections (f) and (g), respectively.

    Approved December 29, 2006.

LEGISLATIVE HISTORY--H.R. 5782:
---------------------------------------------------------------------------

HOUSE REPORTS: No. 109-717, Pt. 1 (Comm. on Transportation and 
Infrastructure) and Pt. 2 (Comm. on Energy and Commerce).
CONGRESSIONAL RECORD, Vol. 152 (2006):
            Dec. 6, considered and passed House.
            Dec. 7, considered and passed Senate.

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