# 1993 Memorandum of Understanding Between DOT and FERC

- **operation:** document
- **citation:** PHMSA Guidance, 1993 Memorandum of Understanding Between DOT and FERC
- **title:** 1993 Memorandum of Understanding Between DOT and FERC
- **source type:** guidance
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** guidance
- **official:** true
- **published on:** Not available
- **effective on:** Not available
- **summary:** 1993 Memorandum of Understanding Between DOT and FERC Document 1993_DOT_FERC.pdf (9.65 KB) To provide guidance and set policy for their respective technical staffs and the regulated natural gas pipeline industry regarding the execution of the agencies respective statutory responsibilities to ensure the safe and environmentally sound siting, design, construction, operations, and maintenance of natural gas transportati
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**body:**

1993 Memorandum of Understanding Between DOT and FERC

Document

 1993_DOT_FERC.pdf (9.65 KB)

        To provide guidance and set policy for their respective technical staffs and the regulated natural gas pipeline industry regarding the execution of the agencies respective statutory responsibilities to ensure the safe and environmentally sound siting, design, construction, operations, and maintenance of natural gas transportation facilities.

          Effective Date: Friday, January 15, 1993

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1993 MOU: DOT and FERC Regarding Natural Gas Transportation Facilities
MEMORANDUM OF UNDERSTANDING BETWEEN THE DEPARTMENT OF
TRANSPORTATION
AND THE FEDERAL ENERGY REGULATORY COMMISSION
REGARDING NATURAL GAS TRANSPORTATION FACILITIES
Purpose.
This purpose of this Memorandum of Understanding (MOU) between the Department of
Transportation (Department) and the Federal Energy Regulatory Commission (Commission) is to
provide guidance and set policy for their respective technical staffs and the regulated natural gas
pipeline industry regarding the execution of the agencies respective statutory responsibilities to ensure
the safe and environmentally sound siting, design, construction, operations, and maintenance of natural
gas transportation facilities.
Background.
The Department, through the Research and Special Programs Administration (RSPA), exercises the
authority to promulgate and enforce safety regulations and standards for the transportation of natural
gas in or affecting interstate or foreign commerce. RSPA exercises its authority over natural gas
facilities under the Natural Gas Pipeline Safety Act of 1968, as amended, (NGPSA) (49 App. USC §
1671, et seq.) and the Hazardous Materials Transportation Act (HMTA) (49 USC § 1801, et seq.).
The Regulations and standards promulgated under these authorities extend, inter alia, to the design,
installation, construction, initial inspection, initial testing, operation, and maintenance of facilities used in
the transportation of natural gas by pipeline. The Department enforces compliance with these
regulations and standards through an inspection program and, when appropriate, the imposition of civil,
criminal, or administrative remedies. Under criteria established by NGPSA, states are eligible to
assume these regulatory and enforcement functions as they apply to intrastate pipeline transportation.
Although intrastate facilities are not subject to this MOU, the regulations and standards governing
pipeline transportation promulgated by the Department generally apply to both interstate and intrastate
facilities.
The Commission, under Section 7 of the Natural Gas Act (15 USC § 717 et seq.), issues certificates of
public convenience and necessity with terms and conditions for facilities proposed for use in the sale for
resale or transportation of natural gas in interstate commerce. As required by the National
Environmental Policy Act (42 USC § 44321 et seq.), the Commission prepares environmental impact
statements or environmental assessments for proposed natural gas transmission facilities in conjunction
with the issuance of certificates.
Natural gas pipeline companies may also construct certain natural gas transmission facilities under
Section 311 of the Natural Gas Policy Act (15 USC § 3301 et seq.). Facilities constructed under this

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section must comply with the environmental requirements of 18 CFR 157.206(d).
In addition, the Secretary of Energy under Section 3 of the Natural Gas Act (15 USC § 717 et seq)
has approval authority for the import and export of natural gas. The Secretary of Energy has delegated
and assigned Section 3 authority to the Commission to approve gas import and export facilities and
their siting.
This MOU acknowledges the Departments exclusive authority to promulgate Federal safety standards
for facilities used in the transportation of natural gas. However, under the Natural Gas Act, the
Commission exercises the authority over the siting of interstate natural gas transmission facilities and
may impose conditions to mitigate the impact of construction or operation on the environment.
Responsibilities.
The Department and the Commission agree to the following program:
1. The Department shall:
a. Promptly alert the Commission when the Departments safety activities may impact the
responsibilities of the Commission.
b. Establish a means to notify the Commission of major accidents (i.e., fatalities, multiple injuries
requiring hospitalization, or property damage exceeding $50,000) involving pipeline facilities under the
jurisdiction of the Commission.
c. Establish a means to notify the Commission of significant enforcement actions involving pipeline
facilities under the jurisdiction of the Commission.
d. Refer to the Commission, after screening, complaints and inquiries made by state and local
governments and the general public involving environmental or certificate matters related to pipelines
under the Departments jurisdiction.
e. When requested by the Commission, review draft mitigation conditions considered by the
Commission for potential conflicts with the Departments regulations.
2. The Commission shall:
a. Promptly alert the Department when the Commission becomes aware of an existing or potential
safety problem involving natural gas transmission facilities.
b. Establish a means to notify the Department of future pipeline construction, such as providing
Notices of Applications for construction certification or certificate orders issued to companies that
propose pipeline construction.

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c. Periodically provide the Department with updates to the environmental compliance inspection
schedule, and coordinate site inspections, upon request, with Department headquarters or regional
offices.
d. Establish a means to notify the Department when significant safety issues have been raised during
the preparation of environmental assessments or environmental impact statements.
e. Refer to the Department, after screening, complaints and inquiries made by state and local
governments and the general public involving safety matters related to pipelines under the Commissions
jurisdiction.
Administration.
The Department and the Commission will designate appropriate staff representatives and will establish
joint working arrangements from time to time to administer this MOU.
Effective Date.
This MOU shall take effect upon signing by authorized representatives of the Department and the
Commission.
Limitations.
1. Nothing in this MOU is intended to restrict the statutory authority of the Department or the
Commission.
2. Nothing in this MOU is intended to replace, supersede, or modify the existing MOU between the
Department and the Commission regarding liquefied natural gas facilities published in the Federal
Register on May 15, 1978 (50 FR 20275).
Modification and Termination.
The Department and the Commission each reserves the right to suspend, modify, or terminate its
respective commitments contained in this MOU upon written notice to the other party at least 30 days
prior to exercising this right.
Andrew H. Card, Secretary, US Department of Transportation, December 3, 1992
Martin L. Allday, Chairman, Federal Energy Regulatory Commission, January 15, 1993
Dated: January 15, 1993
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