
[Federal Register Volume 76, Number 21 (Tuesday, February 1, 2011)]
[Rules and Regulations]
[Pages 5494-5500]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-2081]


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

DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

49 CFR Part 191, 192

[Docket No. PHMSA-RSPA-2004-19854, Amdt. Nos. 191-22; Amdt. 192-116]
RIN 2137-AE60


Pipeline Safety: Mechanical Fitting Failure Reporting 
Requirements

AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA), 
DOT.

ACTION: Final rule.

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

SUMMARY: This final rule is an amendment to PHMSA's regulations 
involving DIMP. This final rule revises the pipeline safety regulations 
to clarify the types of pipeline fittings involved in the compression 
coupling failure information collection; changes the term ``compression 
coupling'' to ``mechanical fitting,'' aligns a threat category with the 
annual report; and clarifies the Excess Flow Valve (EFV) metric to be 
reported by operators of gas systems. This rule also announces the OMB 
approval of the revised Distribution Annual Report and a new Mechanical 
Fitting Failure Report. Finally, this rulemaking clarifies the key 
dates for the collection and submission of the new Mechanical Fitting 
Failure Report.

DATES: This final rule takes effect April 4, 2011.

FOR FURTHER INFORMATION CONTACT: Mike Israni by phone at 202-366-4571 
or by e-mail at Mike.Israni@dot.gov.

SUPPLEMENTARY INFORMATION:

I. Background

    The DIMP Notice of Proposed Rulemaking (NPRM) published on June 25, 
2008, (73 FR 36015, 36033), included a proposed provision for operators 
to report ``each material failure of plastic pipe (including fittings, 
couplings, valves and joints).'' In the DIMP final rule published on 
December 4, 2009, (74 FR 63906) PHMSA deleted the proposed requirement 
to report plastic pipe failures but retained the requirement to report 
failures of couplings used in plastic pipe and proposed extending the 
reporting requirement to include failures of couplings used in metal 
pipe. The final rule also required operators to collect compression 
coupling failure information beginning January 1, 2010, and report the 
failures annually on the Annual Report Form by March 15, 2011. PHMSA 
used the DIMP final rule to open up a 30-day comment period to invite 
public comment on the proposal to extend the reporting requirement to 
include the failure of couplings used in metal pipe. Comments were due 
by January 4, 2010. On December 31, 2009, (74 FR 69286) PHMSA extended 
the comment period to February 4, 2010, as requested by the American 
Gas Association. As a result of the comments received, PHMSA decided to 
revise the provisions relative to compression couplings as detailed in 
the comment summary below.
    PHMSA also used the DIMP final rule to solicit comments on the 
revised Gas Distribution Annual Report. The revisions to the report 
were primarily made to incorporate the performance measures for the Gas 
Distribution Integrity Management Program. To comply with the PRA 
requirements, PHMSA issued a 60-day comment period with comments due by 
February 4, 2010, to allow for comments on the proposed revisions. Once 
the comment period passed, PHMSA reviewed the comments and made 
adjustments to the Gas Distribution Annual Report. To gather further 
input on the proposed revisions, PHMSA published another Federal 
Register notice on June 28, 2010, (75 FR 36615) with comments due by 
July 28, 2010.
    PHMSA is issuing this rule to address the comments received on the 
notices detailed above and modify the pipeline safety regulations. In 
response to comments and as discussed below in more detail, PHMSA is 
changing the term ``Compression Coupling'' to ``Mechanical Fitting'' 
and providing a definition for ``Mechanical Fitting.'' PHMSA is also 
using this rule to announce the revisions to the Gas Distribution 
Annual Report Form (PHMSA F-7100.1-1). The revisions include moving the 
collection of mechanical fitting failure information to the new Gas 
Distribution Mechanical Fitting Failure Form (PHMSA F-7100.1-2).
    The comments related to the proposed coupling reporting 
requirements, the reporting of installed excess flow valves, and the 
proposed revisions to the Distribution Annual Report Form are 
summarized in the next section. The comments and PHMSA's responses 
regarding the Gas Distribution Annual Report and a new Mechanical 
Fitting Failure Report are discussed in the Paperwork Reduction Act 
section.

II. Summary of Comments

    In response to the request for comments in the DIMP final rule, 
PHMSA received twenty-three letters commenting on the proposals 
regarding compression coupling reporting

[[Page 5495]]

requirements, the reporting of EFVs installed, and the revisions to the 
Distribution Annual Report Form. The commenters included 13 pipeline 
operators, two trade associations representing pipeline operators, the 
association representing State pipeline safety regulators, one State 
pipeline regulatory agency, one manufacturer, and one industry 
consultant. A summary of comments along with PHMSA's responses is 
provided below.
    The majority of the comments recommended that PHMSA define key 
terms, revise the date to collect and report this information, and 
modify the Distribution Annual Report Form and instructions. They also 
requested consistency in the terminology used in Sec.  192.1009, the 
Annual Report Form and instructions, and the Incident Report Form and 
instructions.
    The comments addressed in this notice are detailed below:

Comment Topic 1: Define Key Term: Compression Coupling

    Several commenters were not clear as to which pipeline fittings the 
term ``compression coupling'' encompassed. The comments stated that 
``compression coupling'' implies a variety of mechanical joining 
methods. There was general consensus that the term ``mechanical 
fittings'' encompasses fittings such as compression, stab, nut 
follower, and bolted. In general, commenters stated that the term 
``mechanical fitting'' is used in industry standards, and the meaning 
is broadly accepted. Some commenters proposed that PHMSA limit the 
collection of data by various criteria, such as compression-type 
mechanical fittings, plastic fittings, compression couplings, and 
fittings currently referenced in advisory bulletins. Commenters pointed 
out that there are differences between various types of compression 
fittings and to effectively address and mitigate the risks, the data 
collection needs to distinguish one type of compression fitting from 
another.
    PHMSA Response: PHMSA recognizes that operators need clarification 
as to which fitting failures they need to report. Therefore, PHMSA has 
changed the term ``compression coupling failure'' to ``mechanical 
fitting failure'' and has included a definition for Mechanical Fitting 
in Sec.  192.1001.

Comment Topic 2: Reportable Mechanical Fitting Failures

    Commenters were also unclear if PHMSA intended for all mechanical 
fitting failures to be reported, regardless of the failure cause, or 
only those that were caused by material failures of the fitting. They 
were concerned that the lack of a standard definition of a reportable 
failure could result in inaccurate trending analysis. Commenters 
provided various opinions as to which hazardous mechanical fitting 
failure causes should be included in the data collection. One commenter 
stated that a hazardous leak caused by a compression coupling pulling 
out as the result of third party damage should not be considered a 
compression coupling failure since the failure is not indicative of the 
integrity and performance of a coupling. The commenter further stated 
that if a coupling fails as the result of another action, the operator 
should not be required to report the failure. On the other hand, 
another commenter stated that if a coupling leaks, it is a failure 
regardless of what failed, how it failed, or whether it failed in the 
body, the seal, or the pipe. Another operator indicated that the 
preamble in the final rule was clear that only hazardous leaks that 
were the result of ``material failure'' should be reported. One 
commenter noted that instructions for the annual report state that a 
material defect of a fitting exceeding the reasonable service life is 
not to be listed as a ``Material or Weld'' cause but as ``Other.'' The 
commenters were uncertain if PHMSA would require fittings exceeding 
their reasonable service life to be reported as a mechanical fitting 
failure. Finally, another commenter questioned if a crack that 
propagates from the pipe into a compression coupling causing it to fail 
should be reported. Commenters requested that PHMSA provide examples of 
failures that must be reported.
    PHMSA Response: The objective of the data collection is to identify 
mechanical fittings that, based on historical data, are susceptible to 
failure. PHMSA intends for operators to report all types and all sizes 
of mechanical fitting (stab, nut follower, bolt, or other compression 
type) failures that result in a hazardous leak. The reporting 
requirements apply to failures in the bodies of mechanical fittings or 
failures in the joints between the fittings and pipe. PHMSA recognizes 
that mechanical fitting failures can be the primary cause of a leak or 
that they may leak as the result of another cause such as excavation 
damage. Operators are to report mechanical fitting failures as the 
result of any cause, including, but not limited to, excavation damage, 
exceeding their service life, poor installation practice, and incorrect 
application. Fittings are to be included regardless of the material 
they join. Operators must report mechanical fittings that join steel-
to-steel, steel-to-plastic, and plastic-to-plastic. Specific examples 
of mechanical fittings to be reported include, but are not limited to, 
transition fittings, risers, compression couplings, stab fittings, 
mechanical saddles, mechanical tapping tees, service tees, risers, 
sleeves, ells, wyes, and straight tees.

Comment Topic 3: Reportable Aboveground Leaks

    Commenters sought criteria for defining reportable aboveground 
leaks. One commenter stated that operators should classify aboveground 
leaks differently from underground leaks because the vast majority of 
these fugitive emissions:
    1. Dissipate harmlessly into the atmosphere;
    2. Are located on meter sets, downstream of the service regulator, 
and therefore involve low operating pressures; and
    3. Are located at threaded joints that may release small quantities 
(parts per million) that can only be detected by sophisticated 
electronic leakage detection instruments.
    Meter sets commonly contain aboveground couplings where small leaks 
are eliminated by tightening. A widely accepted industry guidance 
document, Gas Pipeline Technical Committee (GPTC) Guide, does not 
currently provide gas leakage investigation and classification 
guidelines for aboveground leaks. The commenter also proposed a 
definition that would establish criteria for a ``Hazardous Aboveground 
Leak'' on Outside Piping and on Inside Piping. The commenter further 
proposed a definition for ``Reportable Aboveground Leak'' based on the 
``Hazardous Aboveground Leak'' criteria. Alternatively, one commenter 
stated that the criteria for reporting leaks should be expanded to 
include leaks that can be cured by re-tightening, since the leak could 
have been avoided if the fitting had been sufficiently tightened at its 
initial installation. By defining these releases as ``not leaks,'' the 
commenter asserted that important data may be lost, data that could 
possibly identify an area or company whose compression fittings could 
pose a threat.
    PHMSA Response: PHMSA recognizes that operators seek additional 
criteria to define which leaks on aboveground pipe should be reported. 
Operators have previously reported the total number of leaks 
eliminated/repaired during the year on the Annual Report Form. PHMSA 
has not made changes to the criteria for collecting data for this 
field.

[[Page 5496]]

Therefore, all aboveground leaks should continue to be reported as 
detailed in the instructions for the Annual Report. The reporting of 
hazardous leaks repaired or eliminated is a new performance measure. 
Operators, PHMSA, and State regulatory agencies may decide to refine 
the criteria for reporting the measure when there is data to evaluate. 
Hazardous leaks, whether they occur aboveground or below ground, need 
to be reported. A hazardous leak meets both of the following 
definitions regardless of whether the leak occurs aboveground or below 
ground:
    A ``leak'' is defined in the Annual Report instructions as an 
unintentional escape of gas from the pipeline. A non-hazardous release 
that can be eliminated by lubrication, adjustment, or tightening, is 
not a leak.
    ``Hazardous Leak'' is defined in Sec.  192.1001 as a leak that 
represents an existing or probable hazard to persons or property and 
requires immediate repair or continuous action until the conditions are 
no longer hazardous.

Comment Topic 4: EFV Data

    One commenter requested that PHMSA use the total number of EFVs 
installed in an operator's system at the end of the year as the metric 
for reportable EFV data, not the number of EFVs installed during the 
year. This change would make the EFV metric consistent with the system 
data reported in PART B--System Description on the Annual Report Form 
and with the directive contained within Title 49 U.S.C. 60109(e)(3)(B). 
The commenter suggested that the information collected in Part E of the 
Annual Report Form be designated as, ``The Number of EFVs in System at 
End of Year on single-family residences.''
    PHMSA Response: The requirement to report EFV metrics was mandated 
in the Pipeline Inspection, Protection, Enforcement, and Safety Act of 
2006, codified at 49 U.S.C. Sec.  60109(e)(3). The statute requires 
operators to annually report to PHMSA the number of EFVs installed on 
their systems to single-family residence service lines. PHMSA will 
continue to collect information regarding the number of EFVs installed 
on single-family residential services during the year. In addition, 
PHMSA will collect estimates on the total number of EFVs in the system 
at the end of the year. Further discussion on EFVs is found in the 
Paperwork Reduction Act section under ``Gas Distribution Annual 
Report.''

Comment Topic 5: Delay Mechanical Fitting Failure Information 
Collection and Reporting Date

    Since the current date to start collecting data precedes the 
effective date of this final rule, commenters proposed that PHMSA delay 
the start date for collecting mechanical fitting failure data until 
calendar year 2011, and delay the due date for submitting this 
information until March 15, 2012. Commenters stated that operators need 
time to make changes to processes and procedures for capturing data, 
programming to data collection systems (6-12 months), changes to data 
collection forms (paper or electronic), and train personnel on new 
requirements. According to the commenters, these changes cannot occur 
until final requirements are released. Operators requested that PHMSA 
incorporate all planned changes to the annual report before operators 
are required to change their data collection process.
    PHMSA Response: Based on the modifications to Sec.  192.1009 for 
reporting mechanical fitting failures and the creation of the new 
Mechanical Fitting Failure Report, PHMSA is requiring that reporting of 
Mechanical Fitting Failures begin with calendar year 2011. PHMSA will 
allow for operators to submit reports throughout the calendar year with 
all reports due March 15 of the following year.
    However, the new integrity management performance reporting 
criteria for the Gas Distribution Annual Report has been available 
since the DIMP final rule was published December 4, 2009. Therefore, 
PHMSA will not delay the reporting of the revised Gas Distribution 
Annual Report. Calendar year 2010 data will be required to be reported 
on the revised 2011 Gas Distribution Annual Report.

III. Final Rule

    This final rule revises 49 CFR parts 191 and 192 to amend certain 
integrity management requirements applicable to distribution pipelines. 
This final rule addresses comments regarding the data collection scope 
for ``mechanical fittings failures'' and the implementation date for 
data collection and submission.

Section-by-Section Analysis

Section 191.12 Distribution Systems: Mechanical Fitting Failure Report
    This section has been added to incorporate the reporting 
requirements for the new Mechanical Fitting Failure Report into the 
pipeline safety regulations. In addition, the submission requirements 
have been moved to this section.
Section 192.383 EFV Installation
    This section is revised to specify that the reporting metrics for 
EFVs are detailed in the Gas Distribution Annual Report.
Section 192.1007 What are the required elements of an integrity 
management plan?
    Paragraph (b) of this section is revised to align threats to the 
integrity of the pipeline with the ``cause of leak'' data fields on the 
Gas Distribution Annual Report Form. The phrase ``material, weld or 
joint failure (including compression coupling)'' is replaced with the 
phrase ``Material or Welds.''
Section 192.1009 What must an operator report when a mechanical fitting 
fails?
    This section is being revised to change the term ``compression 
coupling'' to ``mechanical fitting'' and remove the listing of 
information to be collected and submitted. This section is also revised 
to refer operators to the new Mechanical Fitting Failure reporting 
requirements in Sec.  191.12.

IV. Regulatory Analyses and Notices

Statutory/Legal Authority for This Rulemaking

    This final rule is published under the authority of the Federal 
Pipeline Safety Law (49 U.S.C. 60101 et seq.). Section 60102 authorizes 
the Secretary of Transportation to issue regulations governing design, 
installation, inspection, emergency plans and procedures, testing, 
construction, extension, operation, replacement, and maintenance of 
pipeline facilities. This rulemaking amends the recently published DIMP 
final rule to finalize the provisions for reporting mechanical fittings 
failures.
A. Privacy Act Statement
    Anyone may search the electronic form of comments received in 
response to any of our dockets by the name of the individual submitting 
the comment (or signing the comment if submitted for an association, 
business, labor union, etc.). You may review DOT's complete Privacy Act 
Statement in the Federal Register published on April 11, 2000 (65 FR 
19477) or you may visit http://docketsinfo.dot.gov/.
B. Executive Order 13132
    PHMSA has analyzed this final rule under the principles and 
criteria in Executive Order 13132 (``Federalism''). The final rule does 
not have a

[[Page 5497]]

substantial direct effect 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. The final rule 
does not impose substantial direct compliance costs on State and local 
governments. This final regulation does not preempt State law for 
intrastate pipelines. Therefore, the consultation and funding 
requirements of Executive Order 13132 do not apply.
C. Executive Order 12866--Regulatory Planning and Review and DOT 
Regulatory Policies and Procedures
    The final rule is not a significant regulatory action under section 
3(f) of Executive Order 12866 (58 FR 51735) and, therefore, was not 
subject to review by the Office of Management and Budget. This rule is 
not significant under the Regulatory Policies and Procedures of the 
Department of Transportation (44 FR 11034).
D. Executive Order 13175
    PHMSA analyzed this final rule according to Executive Order 13175 
(``Consultation and Coordination with Indian Tribal Governments''). 
Because this final rule does not significantly or uniquely affect the 
communities of the Indian Tribal governments or impose substantial 
direct compliance costs, the funding and consultation requirements of 
Executive Order 13175 do not apply.
E. Regulatory Flexibility Act
    Under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.), PHMSA 
must consider whether rulemaking actions would have a significant 
economic impact on a substantial number of small entities. In the DIMP 
final rule, PHMSA detailed the small business impact on the small 
business community and determined that 9,090 small operators would be 
impacted by the rule. Further, PHMSA estimated that the costs 
associated with the DIMP final rule would result in a significant 
adverse economic impact for some of the smallest affected entities. 
This final rule does not broaden the scope of the DIMP final rule. 
Therefore, PHMSA believes that the provisions contained in this final 
rule will not have a significant impact on small entities. Based on the 
facts available about the expected impact of this rulemaking, I 
certify, under Section 605 of the Regulatory Flexibility Act (5 U.S.C. 
605) that this final rule will not have a significant economic impact 
on a substantial number of small entities.
F. PRA
    In response to the comments received from the 60-day PRA notice 
contained in the DIMP final rule, PHMSA made a number of revisions to 
the Gas Distribution Annual Report. To maintain transparency and gather 
further input, PHMSA published a 30-day notice (June 28, 2010; 75 FR 
36615) to seek additional comments on the revised Gas Distribution 
Annual Report. PHMSA received eight comments which have been reviewed 
and responded to as follows:

----------------------------------------------------------------------------------------------------------------
            Section of form                           Comment                  PHMSA response/resulting action
----------------------------------------------------------------------------------------------------------------
General...............................  Standardize information collection   PR1. This will be addressed during
                                         terminology used for both Incident   the information collection renewal
                                         and Annual Report Forms.             process that occurs every three
                                                                              years.
Part A. Operator Information Question   Instructions are unclear as to how   PR2. This question has been
 6. (Commodity Transported).             operators with multiple gases        removed.
                                         should respond.
Part C. Total Leaks and Hazardous       There is no specific entry for       PR3. PHMSA is moving Part F to a
 Leaks Eliminated/Repaired During Year.  collecting mechanical fitting        separate form and therefore, will
                                         leaks eliminated/repaired during     not make the suggested revision.
                                         the year in Part C. Since failure
                                         data on such fittings is collected
                                         in Part F, it would make sense to
                                         collect data specifically on them
                                         in Part C.
                                        Modify form instructions for Part C  PR4. PHMSA is moving Part F to a
                                         to have all mechanical fitting       separate form and therefore, will
                                         failures included in ``Material      not make the suggested revision.
                                         and Welds'' as stated in Sec.
                                         192.1007(b). Remove from
                                         ``Equipment''.
                                        For aboveground leaks, clarify the   PR5. PHMSA disagrees. PHMSA
                                         instructions to state that           maintains that, based on the
                                         operators should only report         intent of recent guidance, all
                                         hazardous aboveground leaks (the     aboveground leaks should be
                                         preponderance of aboveground leaks   reported unless the leak is a non-
                                         are trivial and represent no         hazardous leak that can be
                                         threat to the public).               eliminated by lubrication,
                                                                              adjustment, or tightening.
Part E. EFV Data......................  Operators should simply report all   PR6. As detailed in DIMP, PHMSA
                                         EFVs installed on the distribution   will require each operator, on an
                                         system, not just on Single Family    annual basis, to report the number
                                         Residences. (No records to           of EFVs installed during the year
                                         distinguish commercial and           on service lines serving single-
                                         residential).                        family residences. PHMSA has
                                                                              included another block to allow
                                                                              for companies to estimate the
                                                                              total number of EFVs installed in
                                                                              their system.
                                        The instructions should expressly    PR7. PHMSA will allow for estimates
                                         state that operators can estimate    on the total number of EFVs in the
                                         the number of EFVs in service.       system.
                                        The option regarding reporting       PR8. PHMSA agrees and has removed
                                         single-family or single-family       this provision.
                                         branch services is confusing and
                                         holds no value. (Should be
                                         removed).
                                        This is a significant change from    PR9. PHMSA is requiring primarily
                                         what was originally proposed,        the number of EFVs installed per
                                         which was to report the number of    Sec.   192.383 for the year. PHMSA
                                         EFVs that the operator installed     is also requiring operators to
                                         during the year, which was easy to   estimate the total number of EFVs
                                         capture. Plus no discussion as to    installed in their system.
                                         why this change was made.

[[Page 5498]]

 
                                        It is not a problem identifying      PR10. See PR7 and PR9.
                                         EFVs added to system for the year
                                         (w/no distinction to type).
                                        Will successive annual reports       PR11. See above. PHMSA is
                                         require a cumulative total number    requesting CY 2010 data based on
                                         of EFVs installed or only the        installation pursuant to Sec.
                                         number installed for the calendar    192.383(b). PHMSA is also
                                         year reporting period? If            requesting operators to provide an
                                         cumulative, from what date           estimated total number of EFVs
                                         forward?                             installed in a system.
Part F. Mechanical Fitting Failure      Form a stakeholders group to review  PR12. PHMSA will first seek to use
 Data (This information will be placed   the results and decide if the        the notice and comment process.
 on the new mechanical fitting failure   information request should sunset    However, PHMSA will continue to
 form).                                  after the three- year OMB            consider such actions for future
                                         approval. Information in Part F is   revisions.
                                         comprehensive and duplicative to
                                         other data collection efforts.
                                        A major problem is the enormous      PR13. PHMSA is not expanding the
                                         expansion of the data. Mechanical    reporting scope. Based on DIMP we
                                         fittings encompass an almost         are only looking for failures that
                                         infinite universe of fittings.       result in a hazardous leak on
                                         PHMSA's Federal Register notice      ``compression style'' fittings (
                                         provides no explanation or           e.g. stab, nut follower, bolted).
                                         justification for the expansion of
                                         the data request. Expanding the
                                         reporting scope increases
                                         reporting requirements by several
                                         orders of magnitude. There is no
                                         information in this OMB approval
                                         request regarding the paperwork
                                         burden for the great expansion in
                                         the data request. (Replace
                                         ``mechanical fittings'' with
                                         ``compression couplings'').
                                        The ``other'' category following     PR14. PHMSA wants to confirm that
                                         stab, nut follower, and bolted       there are no other types of
                                         couplings should be deleted since    compression type coupling in use.
                                         they are the only type of            Therefore, PHMSA is retaining the
                                         compression type fittings.           ``other'' category with a slight
                                                                              revision to change ``other'' to
                                                                              ``Other Compression Type
                                                                              Fitting.''
                                        Delete the line beginning with       PR15. PHMSA has deleted the line
                                         ``Was the Failure a Result of''      beginning with ``Was the Failure a
                                         and the associated subcategories.    Result of'' and revised the
                                                                              associated subcategories.
                                        Delete ``Pull Out'' as a choice for  PR16. PHMSA is keeping the ``Pull
                                         ``Location of Leak.''                Out'' as a choice for ``Location
                                                                              of the Leak'' and revising
                                                                              ``Location of Leak'' to ``How did
                                                                              the leak occur.''
                                        Rather than use the bullet outline   PR17. PHMSA created a new form for
                                         throughout Part F, use a numbered    Part F with a numbered outline
                                         outline format so that the           format.
                                         subsections of Part F can be
                                         clearly referenced if questions
                                         arise.
                                        The form should allow                PR18. PHMSA revised the
                                         ``Unavailable'' to be entered        instructions to allow for
                                         under ``Year Installed,'' ``Year     ``Unavailable.''
                                         Manufactured,'' and ``If Year
                                         Unknown, Provide Decade
                                         Installed:'' This option is
                                         provided for in the instructions
                                         for the bulleted items after this
                                         section.
                                        Part F of the form would be          PR19. In addition to separating out
                                         reproduced for each separate event   Part F onto its own form, PHMSA
                                         where failure of a compression       will create a unique identifier
                                         fitting results in a hazardous       for each report.
                                         leak. PHMSA should provide that
                                         the (electronic) form have an
                                         index or tracking number to
                                         identify separate events within
                                         the calendar year (such as 20XX-
                                         XXX). Such a mechanism is
                                         important, not only to distinguish
                                         between reports compiled during
                                         the year, but also in the case
                                         where information is later
                                         determined to require a
                                         supplemental report to be filed.
                                        The section titled ``Location of     PR20. PHMSA revised the section
                                         Leak'' should be relabeled ``Type    title from ``Location of Leak'' to
                                         of Failure'' with the existing       ``How did the leak occur'' to
                                         choices: ``Leak Through Seal,''      identify the visual evidence of
                                         ``Leak Through Body,'' or ``Pull     the leak.
                                         Out.''
                                        The subsection ``Was the Failure a   PR21. PHMSA is deleting that
                                         Result of'' should have a choice     subsection.
                                         of ``Unknown'' or ``Other'' since
                                         the cause may never be known.
                                        Operators should be able to file     PR22. Operators will be able to
                                         Part F throughout the year.          file the new form for Mechanical
                                                                              Fitting failures throughout the
                                                                              year.

[[Page 5499]]

 
                                        Under ``Location of Leak'' replace   PR23. PHMSA has revised the
                                         ``Pull Out'' with ``Leak at          Location of Leak section as
                                         Separation of Pipe and Coupling.''   detailed above.
                                         (more appropriate and in line with
                                         other descriptions).
                                        Annual report should only contain    PR24. Part F is now on its own
                                         summary data.                        form.
----------------------------------------------------------------------------------------------------------------

    The resulting revised Gas Distribution Annual Report (PHMSA F-
7100.1-1) and new Mechanical Fitting Failure Report (PHMSA F-7100.1-2) 
have been approved by OMB under the information collection titled 
``Incident and Annual Reports for Gas Pipeline Operators'' (OMB Control 
No. 2137-0522).
G. Executive Order 13211
    This final rule is not a ``significant energy action'' under 
Executive Order 13211 (Actions Concerning Regulations That 
Significantly Affect Energy Supply, Distribution, or Use). It is not 
likely to have a significant adverse effect on supply, distribution, or 
energy use. Further, the Office of Information and Regulatory Affairs 
has not designated this rule as a significant energy action.
H. Unfunded Mandates
    This final rule does not impose unfunded mandates under the 
Unfunded Mandates Reform Act of 1995. It does not result in costs of 
$100 million (adjusted for inflation currently estimated to be $132 
million) or more in any one year to either State, local, or Tribal 
governments, in the aggregate, or to the private sector, and is the 
least burdensome alternative that achieves the objective of the final 
rule.
I. National Environmental Policy Act
    PHMSA analyzed this final rule in accordance with section 102(2)(c) 
of the National Environmental Policy Act (42 U.S.C. 4332), the Council 
on Environmental Quality regulations (40 CFR 1500-1508), and DOT Order 
5610.1C, and has determined that this action will not significantly 
affect the quality of the human environment. PHMSA conducted an 
Environmental Assessment on the DIMP NPRM and did not receive any 
comment on the preliminary analysis. In the final rule, we concluded 
that the rule would not have any significant impacts on the quality of 
the human environment. The amendments we are making to the final rule 
do not change that determination. The Environmental Assessment is 
available for review in the Docket.
J. Regulation Identifier Number
    A regulation identifier number (RIN) is assigned to each regulatory 
action listed in the Unified Agenda of Federal Regulations. The 
Regulatory Information Service Center publishes the Unified Agenda in 
April and October of each year. The RIN number contained in the heading 
of this document can be used to cross-reference this action with the 
Unified Agenda.

List of Subjects

49 CFR Part 191

    Pipeline safety, Incident and Annual Reporting and recordkeeping 
requirements.

49 CFR Part 192

    Integrity management, Pipeline safety, Reporting and recordkeeping 
requirements.

    In consideration of the foregoing, PHMSA is amending part 191 and 
part 192 of Title 49 of the Code of Federal Regulations as follows:

PART 191--TRANSPORTATION OF NATURAL AND OTHER GAS BY PIPELINE; 
ANNUAL REPORTS, INCIDENT REPORTS, AND SAFETY-RELATED CONDITION 
REPORTS

0
1. The authority citation for part 191 continues to read as follows:

    Authority: 49 U.S.C. 5121, 60102, 60103, 60104, 60108, 60117, 
60118, and 60124; and 49 CFR 1.53.


0
2. A new Sec.  191.12 is added to read as follows:


Sec.  191.12  Distribution Systems: Mechanical Fitting Failure Reports

    Each mechanical fitting failure, as required by Sec.  192.1009, 
must be submitted on a Mechanical Fitting Failure Report Form PHMSA F-
7100.1-2. An operator must submit a mechanical fitting failure report 
for each mechanical fitting failure that occurs within a calendar year 
not later than March 15 of the following year (for example, all 
mechanical failure reports for calendar year 2011 must be submitted no 
later than March 15, 2012). Alternatively, an operator may elect to 
submit its reports throughout the year. In addition, an operator must 
also report this information to the State pipeline safety authority if 
a State has obtained regulatory authority over the operator's pipeline.

PART 192--TRANSPORTATION OF NATURAL AND OTHER GAS BY PIPELINE: 
MINIMUM FEDERAL SAFETY STANDARDS

0
3. The authority citation for part 192 continues to read as follows:

    Authority: 49 U.S.C. 5103, 60102, 60104, 60108, 60109, 60110, 
60113, 60116, 60118, and 60137; and 49 CFR 1.53.


0
4. In Sec.  192.383, paragraph (c) is revised to read as follows:


Sec.  192.383  Excess flow valve installation.

* * * * *
    (c) Reporting. Each operator must report the EFV measures detailed 
in the annual report required by Sec.  191.11.
0
5. In Sec.  192.1001, a definition for ``Mechanical fitting'' is added 
in appropriate alphabetical order as follows:


Sec.  192.1001  What definitions apply to this subpart?

* * * * *
    Mechanical fitting means a mechanical device used to connect 
sections of pipe. The term ``Mechanical fitting'' applies only to:
    (1) Stab Type fittings;
    (2) Nut Follower Type fittings;
    (3) Bolted Type fittings; or
    (4) Other Compression Type fittings.
* * * * *
0
6. In Sec.  192.1007, in paragraph (b), the first sentence is revised 
to read as follows:


Sec.  192.1007  What are the required elements of an integrity 
management plan?

* * * * *
    (b) Identify threats. The operator must consider the following 
categories of threats to each gas distribution pipeline: corrosion, 
natural forces, excavation damage, other outside force damage, material 
or welds, equipment failure, incorrect operations, and other concerns 
that could threaten the integrity of its pipeline. * * *
* * * * *
0
7. Section 192.1009 is revised to read as follows:

[[Page 5500]]

Sec.  192.1009  What must an operator report when a mechanical fitting 
fails?

    (a) Except as provided in paragraph (b) of this section, each 
operator of a distribution pipeline system must submit a report on each 
mechanical fitting failure, excluding any failure that results only in 
a nonhazardous leak, on a Department of Transportation Form PHMSA F-
7100.1-2. The report(s) must be submitted in accordance with Sec.  
191.12.
    (b) The mechanical fitting failure reporting requirements in 
paragraph (a) of this section do not apply to the following:
    (1) Master meter operators;
    (2) Small LPG operator as defined in Sec.  192.1001; or
    (3) LNG facilities.

    Issued in Washington, DC, on January 24, 2011.
Cynthia L. Quarterman,
Administrator.
[FR Doc. 2011-2081 Filed 1-31-11; 8:45 am]
BILLING CODE 4910-60-P


