New Mexico State Corporation Commission — Pipeline Safety Interpretation

Page 1PI-74-0124 07-08-74 Mr. John A. Elliott, Director Pipeline Division New Mexico State Corporation Commission Post Office Drawer 1269 Santa Fe, FM 87501 Dear Mr. Elliott: This responds to your letter of June 3, 1974, requesting a definition of the term "physical control" as it is used in an interpretation of the term "operator" which you received by letter dated May 31, 1974. The May 31, 1974, interpretation states that the term "operator: includes" only those persons who have physical control over the use of pipeline facilities utilized to gather, transmit, distribute, or store gas in or affecting interstate or foreign commerce.: For the purpose of this interpretation, a person has physical control over the use of pipeline facilities to transport gas if that person is independently conducting the movement or storage of gas in the facilities. For example, in the case of a service line owned by a homeowner, the gas distribution company normally controls the pressure at which has moves in the line and thereby physically controls the use of the line to transport gas. By virtue of this control, the distribution company is an "operator" of the service line. Sincerely, Joseph C. Caldwell Director Office of Pipeline Safety 192.3 OPERATOR 1#

Page 2Mr. Joseph Caldwell, Director Office of Pipeline Safety Office of the Secretary of Transportation Dear Mr. Caldwell: Please define "physical control" in the third paragraph of your letter of May 31, 1974, concerning the defining of the term "operator." Sincerely, John A. Elliott, Director Pipeline Division 192.3 OPERATOR 2#