{"operation":"document","citation":"PI-77-0102","title":"Pipeline Safety Interpretation PI-77-0102","source_type":"guidance","agency":"Pipeline and Hazardous Materials Safety Administration","status":"guidance","official":true,"published_on":"1977-01-19","effective_on":null,"summary":"PI-77-0102 concerning 192.455.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-77-0102.json","markdown":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-77-0102.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-interpretation-pi-77-0102","source_url":"https://www.phmsa.dot.gov/sites/phmsa.dot.gov/files/legacy/interpretations/Interpretation%20Files/Pipeline/1977/g77-01-19_KRAMER_192.455-nlmx.pdf","body":"<<<PAGE 1>>>\n\nPI-77-0102\nJanuary 19, 1977\nMr. Fred K. Kramer\nDirector\nDepartment of Consumer Affairs\nCounty of Fairfax\n4031 University Drive\nFairfax, Virginia 22030\nDear Mr. Kramer:\nThis refers to your letter of October 27, 1976, concerning a master meter gas pipeline system at\nthe Southgate Condominium Apartments in Reston, Virginia. It is stated that the system consists\nof mill-wrapped steel pipe and was installed underground without cathodic protection sometime\nbetween January and May 1972 by Gulf-Reston, Inc., the developer of the project. In August\n1972, the first residential use permit was issued by Fairfax County. Then about two years ago,\nGulf-Reston transferred ownership of the project to the Southgate Condominium Association,\nwho has, through a contractor, begun to install anodes on the system. You have asked whether\nGulf-Reston or the Association is responsible for correct installation and monitoring of the\nsystem under the Federal gas pipeline safety standards (49 CFR Part 192).\nThe Federal standards are issued under the Natural Gas Pipeline Safety Act of 1968. Sec. 8 of\nthe Act (49 USC 1677) provides that he standards are binding and enforceable against any person\nwho owns or operates pipeline facilities. Since the Southgate system constitutes a gas\ndistribution system that is subject to the Act and to the regulations, as an owner of the system,\nGulf-Reston had, and the Association now has, responsibility for compliance of the system with\n49 CFR Part 192. This responsibility includes compliance with all applicable safety\nrequirements in effect during the period of ownership. Moreover, an owner remains liable to a\ncivil penalty for any infraction of the safety standards occurring during its period of ownership.\nWith respect to requirements for cathodic protection, Section 192.455(a)(2) provides (with\ncertain exceptions that do not appear relevant to the Southgate system) that a buried metal\npipeline which is installed after July 31, 1971, must have\n\"a cathodic protection system designed to protect the pipeline in its entirety in accordance\nwit this subpart, installed and placed in operation one year after completion of\nconstruction.\"\nThis regulation applies to the Southgate system which, according to you letter, was installed\nbetween January and May 1972 and began operation in August 1972. Under the regulation,\ncathodic protection should have been placed in operation on the system not later than May 1973,\none year after construction of the system. If Gulf-Reston did not transfer ownership of the\n\n<<<PAGE 2>>>\n\nsystem to the Association until the fall of 1974, then as owner of the system in May 1973, it was\nresponsible for installation of cathodic protection in compliance with Section 192.455(a)(2).\nHowever, because Section 192.455(a)(2) is a requirement of continuing legal effect, Gulf-\nReston's failure to comply in 1973 does not relieve the Association, as the present owner of the\nsystem, of its obligation to comply with Section 192.455(a)(2). The Association is also\nresponsible under Part 192. This Office enforces compliance with the Federal standards against\npersons who presently own or operate gas systems, although our enforcement activities are for\nthe most part directed toward public utilities.\nWe trust that this satisfactorily answers your inquiry regarding the responsibility for compliance\nwith the Federal gas pipeline safety standards. The Federal standards do not govern the rights of\nthe purchaser of a gas system to compensation from the seller for any costs required to bring the\nsystem into compliance with the standards.\nSincerely,\nCesar DeLeon\nActing Director\nOffice of Pipeline\nSafety Operations\n\n<<<PAGE 3>>>\n\nCOUNTY OF FAIRFAX\nOctober 27, 1976\nMr. Lucian Furrow\nRegulations Attorney\nOffice of Pipeline Safety\n2100 Second Street, S.W.\nWashington, D.C. 20590\nDear Mr. Furrow:\nWe are requesting the assistance of the Office of Pipeline Safety in an interpretation of 49 Code\nof Federal Regulations as it relates to a master meter gas pipe problem at the Southgate\nCondominium Apartments, 2004G Colts Neck Road in Reston, Virginia. Based on our\nunderstanding of the situation, as described below, our questions become those of jurisdictional\nresponsibility and liability: Under the Code of Federal Regulations, what party has jurisdictional\nresponsibility to monitor the gas pipe beyond the master meter, and what party has the\nresponsibility to insure that pipes are correctly installed according to federal regulations?\nThe problem, which appears to be a growing one in Reston and which has led us to request an\ninterpretation from you, is as follows: The Southgate Condominium Apartments consist of 300\ndwelling units which use gas for heating, hot water, cooking and clothes drying. The apartments\nare located in nine buildings and are served by four master meters. Gas pipes leading from the\nmaster meters enter the buildings at 16 different places. Millwrapped steel pipe was used for the\nunderground gas pipes. The builder-developer of the apartments was Gulf-Reston, Inc. Building\nplans for the development were submitted to the County in November, 1971, and a building\npermit was issued to Gulf-Reston on December 3, 1971. On May 31, 1972, Fairfax County\nInspectors conducted their \"closed-in\" inspection of the underground mill-wrapped steel gas\npipes to insure that they conformed to the County's Code requirements. (Cathodic protection is\nnot required by the County's ordinance). It can be assumed, then, that the pipes were installed\nsometime between January and May, 1972. The first residential use permit was issued in August,\n1972. About two years ago, the apartment complex converted to condominium ownership.\nApparently, the widely publicized corrosion problem experienced in other areas of Reston during\nprior months prompted the Board of Directors of the Southgate Condominium Association to\ninvestigate the possibility of gas leaks at the Southgate condominium complex. Because the\nCounty and the Washington Gas Light Company confirmed that the underground pipes, located\ndown stream from the master meters were not cathodically protected and that corrosion probably\nhad occurred and would continue to occur, the Association contracted with an engineering firm,\nthe R.A. Ransom Company, to determine the severity of the corrosion problem. In addition,\nanother company (George F. Warner Company) was hired to pressure test the pipes to ascertain if\nthere were any leaks, since the gas company would not perform the job, as well as to install the\nnecessary anodes and insulation couplings, all at a cost of nearly $12,000. The engineering study\nconfirmed that galvanic cell corrosion was occurring although no leaks were discovered at the\n\n<<<PAGE 4>>>\n\ntime. However, the engineering firm felt that underground pipe leaks would have developed\nwithin the year, especially since the inside gas pipes (bare steel) were noticeably corroding. It is\nour understanding that nearly one-third of the anode installation work is now completed.\nUnfortunately, Gulf-Reston has offered to pay only their proportionate ownership share of the\ncost of the anode installation based on their current percentage ownership in the condominium\ndevelopment. It is the Association's position that Gulf-Reston's responsibility extends beyond\npayment of their proportionate share since the homeowners purchased their condominiums in\ngood faith that no problems such as this potential safety hazard existed. Moreover, the\ntechnicalities associated with this problem are such that a homeowner cannot be expected to be\nknowledgeable in this area and it is an area into which a homeowner should not be expected to\ncheck prior to purchase.\nAdditionally, our cursory examination of the Code of Federal Regulations would indicate that\ndue to the timing of the effective date of the OPS regulations (July 31, 1972), the builder-\ndeveloper, as the initial distributor of the gas, should have been aware or been made aware of this\nrequirement before construction, and as such, should be responsible for correction of the\nproblem.\nWe would appreciate guidance from the Office of Pipeline Safety on this matter as the answers to\nthe questions of liability and responsibility will impact not only on these residents in Reston, but\nothers in Reston, as well.\nShould you be in need of additional information, please contact me or Ms. Lin Quitmeyer of my\nstaff at 691-3488.\nSincerely,\nFred K. Kramer\nDirector\nAttachment\n\n<<<PAGE 5>>>\n\nSOUTHGATE CONDOMINIUM ASSOCIATION\n2004G Colts Neck Road\nReston, Virginia 22091\nOctober 12, 1976\nMessrs. B. C. Burch and S. R. Clineburg\nGulf Reston, Inc.\n11440 Isaac Newton Square\nReston, Virginia 22090\nGentlemen:\nThe Board of Directors does not agree with Gulf Reston, Inc.'s position that the lack of cathodic\nprotection on our gas transmission lines is not the developer's responsibility since Gulf Reston,\nInc. has installed this protection at other complexes in Reston.\nConsequently, the Board has referred the matter to the Fairfax County Consumer Protection\nAgency.\nVery truly yours,\nW. F. Noah\nPresident","truncated":false,"body_characters":9112}