# U.S.DOT/PHMSA - Final Environmental Assessment and Finding of No Significant Impact for Implementation Modifications and Clarifications

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- **citation:** 0900006480e8414c
- **title:** U.S.DOT/PHMSA - Final Environmental Assessment and Finding of No Significant Impact for Implementation Modifications and Clarifications
- **source type:** rulemaking
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** current
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- **summary:** U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration Final Environmental Assessment and Finding of No Significant Impact For Implementation of the Final Rule For PIPELINE SAFETY: INTEGRITY MANAGEMENT PROGRAM MODIFICATIONS AND CLARIFICATIONS [Docket No. PHMSA-04-18938] August 2006 Prepared for: Office of Pipeline Safety Pipeline and Hazardous... TABLE OF CONTENTS TABLE OF CONTENTS I LIST OF ACRONYMS 1.0 PURPOSE AND NEED FOR ACTION 11 1.2 1.1 INTRODUCTION 1-2 1-1 BACKGROUND Statutory and Regulatory Requirements 1-2 1-2 1-2 1.3 PURPOSE AND NEED FOR ACTION Hazardous Liquid IMP 1-3 Flexibility in Reassessment Interval 1-4 1-3 Notification Requirements for Pressure...
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<<<PAGE 1>>>

U.S. Department of Transportation
Pipeline and Hazardous Materials Safety
Administration
Final Environmental Assessment and Finding of
No Significant Impact
For Implementation of the Final Rule
For
PIPELINE SAFETY: INTEGRITY MANAGEMENT
PROGRAM MODIFICATIONS AND CLARIFICATIONS
[Docket No. PHMSA-04-18938]
August 2006
Prepared for:
Office of Pipeline Safety
Pipeline and Hazardous Materials Safety Administration
Prepared by:
Environmental Engineering Division
John A. Volpe National Transportation Systems Center
Research and Innovative Technology Administration

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TABLE OF CONTENTS
TABLE OF CONTENTS
I
LIST OF ACRONYMS
1.0
PURPOSE AND NEED FOR ACTION
11
1.2
1.1
INTRODUCTION
1-2
1-1
BACKGROUND
Statutory and Regulatory Requirements
1-2
1-2
1-2
1.3
PURPOSE AND NEED FOR ACTION
Hazardous Liquid IMP
1-3
Flexibility in Reassessment Interval
1-4
1-3
Notification Requirements for Pressure Reductions Exceeded 365 Days
Correcting Pressure Reduction Formula Requirements
1-4
1.4
1.5
PUBLIC INVOLVEMENT
1-6
1-5
SCOPE OF ANALYSIS
2.0
PROPOSED ACTION AND ALTERNATIVES
2-1
2.1
2.2
OVERVIEW OF ALTERNATIVES
2-1
2.3
ALTERNATIVES DEVELOPMENT PROCESS
2-1
NO ACTION ALTERNATIVE
2-1
2.4
PROPOSED ACTION ALTERNATIVE
2-35
2.5
ALTERNATIVE A (NRPM PROPOSAL)
2-3
2-2
2.6
COMPARISON OF THE ALTERNATIVES
2-4
3.0
AFFECTED ENVIRONMENT AND ENVIRONMENTAL CONSEQUENCES
3-6
ENVIRONMENTAL CONSEQUENCES
AFFECTED ENVIRONMENT
3-7
3-6
3.2.2 Hazardous Materials Transportation
Public Health and Safety
3-7
3-8
3.2.3 Socioeconomics
3-8
3.3
3.2.4 Special Areas of Consideration
FINDING OF NO SIGNIFICANT IMPACT
3-6
3-9
4.0
LIST OF PERSONS CONSULTED
4-1
5.0
LIST OF PREPARERS AND REVIEWERS
41
6.0
REFERENCES
4-1
August 2006

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LIST OF ACRONYMS
API
American Petroleum Institute
AOPL
Association of Oil Pipelines
CEQ
Council on Environmental Qualit
CFR
lode of Federal Regulations
DOT
United States Department of Transportation
EA
Environmental Assessment
EFRD
Emergency Flow Restricting Devices
FONSI
'inding of No Significant Impact
FR
Federal Register
HCA
High Consequence Area
IMP
ntegrity Management Prograr
NEPA
lational Environmental Policy Ar
NGL
Vatural Gas Liquids
NHPA
Jational Historic Preservation Ac
NPRM
Notice of Proposed Rulemaking
NTSB
National Transportation Safety Board
OPS
Office of Pipeline Safety
PHMSA
Pipeline and Hazardous Materials Safety Administration
U.S.
United States
U.S.C.
United States Code
August 2006
ii

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1.0 PURPOSE AND NEED FOR ACTION
1.1
INTRODUCTION
The Pipeline and Hazardous Materials Safety Administration (PHMSA) proposes to
implement a final rule concerning revisions to the current pipeline safety regulations for
pipeline integrity management in high consequence areas. The revisions promote
PHMSA's mission to ensure safe, reliable, and environmentally sound operation of the
Nation's pipeline transportation system. The revised regulations are Title 49 of the Code
of Federal Regulations (CFR) Part 192, Gas Transmission Pipelines, and Part 195,
Hazardous Liquid Operators. The final rule, entitled "Pipeline Safety: Integrity
Management Program Modifications and Clarifications," will:
• allow more flexibility in the reassessment interval for hazardous liquid pipelines
by adding an eight-month window to the established five-year time frame for
operators to complete reassessments;
• add a requirement to include notifying PHMSA with reasons for repair delay
when a pressure reduction exceeds 365 days;
• correct existing provisions for calculating pressure reductions when making
immediate repairs on a hazardous liquid pipeline. The proposed correction will
allow operators the use of another acceptable method for calculating reduced
operating pressure when the specified formula is not applicable, or results in a
calculated pressure higher than the operating pressure; and,
• Remove a requirement for gas operators to notify local authorities. There are no
local authorities over these lines.
PHMSA, with the cooperation of the John A. Volpe National Transportation Systems
Center (Volpe Center), prepared this final environmental assessment (EA) and finding of
no significant impact (FONSI) in accordance with the National Environmental Policy Act
(NEPA) of 1969 (42 U.S.C. § 4321 et seq.), the Council on Environmental Quality's
(CEQ) implementing regulations (40 CFR § 1500 et seq.), and the United States
Department of Transportation (DOT) Order 5610.1C, Procedures for Considering
Environmental Impacts. In this EA, PHMSA shares its analysis of the potential
environmental impacts associated with the implementation of the final rule.
August 2006
1-1

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1.2 BACKGROUND
1.2.1 Statutory and Regulatory Requirements
PHMSA has broad authority under 49 USC 60102 to issue regulations applying to the
design, installation, inspection, emergency plans and procedures, testing, construction,
extension, operation, replacement, and maintenance of pipeline facilities Both the natural
gas and hazardous liquid integrity management program (IMP) regulations (49 CFR Part
192, Subpart O and Part 195.452 respectively) require operators to continually assess,
evaluate, repair, and validate through comprehensive analysis the integrity of pipeline
segments in places where a leak or rupture would do the most damage, such as populated
and environmentally sensitive areas. These areas are called "High Consequence Areas"
(HCAS).
1.2.2 Gas Integrity Management Program
The natural gas IMP regulations apply to gas transmission pipelines located in HCAs. A
gas HCA is defined by either of two methods: (a) a Class 3 or 4 location and any area
outside a Class 3 or 4 location where the Potential Impact Radius is greater than 660 feet
(200 meters), and the area within a Potential Impact Circle contains 20 or more buildings
intended for human occupancy; or (b) an identified site, which is an area meeting one of
three sub-criteria:
• an outside area or open structure that is occupied by 20 or more people at least 50
days a year (the days need not be consecutive);
• a building that is occupied by 20 or more people on at least 5 days a week for 10
weeks in a year (the days and weeks need not be consecutive); or,
• the area within a potential impact circle containing 20 or more buildings intended
for human occupancy, (unless the exception described above in method (a)
applies).
Gas transmission operators must complete a baseline assessment and conduct continual
integrity assessment of the pipeline segments in HAs and address all anomalous
conditions discovered from the assessment. An operator must remediate the anomalies
according to a schedule that prioritizes the conditions for evaluation and remediation.
Time frames are specified for certain conditions. These conditions are categorized as
immediate, one-year, or monitored conditions.
1.2.3
Hazardous Liquid Integrity Management Program
The hazardous liquid IMP regulations apply to any hazardous liquid or carbon dioxide
pipeline that could affect a HCA. Hazardous liquid HAs are defined as populated areas,
areas unusually sensitive to environmental damage, and commercially navigable
waterways. Among other requirements, these regulations require operators to conduct a
baseline assessment and then to periodically assess the integrity of each pipeline segment
that could affect a HCA. Operators must also remediate anomalous conditions
August 2006
1-2

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discovered from these assessments. Each operator is to have a schedule for the
evaluation and remediation of anomalous conditions discovered. For certain conditions,
the regulations prescribe the time frames for an operator to complete the remediation of
the defect. These conditions are categorized into either immediate, 60-day, or 180-day
repair conditions.
1.3
PURPOSE AND NEED FOR ACTION
On June 18, 2004, the American Petroleum Institute and the Association of Oil Pipe
Lines (API/AOPL) petitioned PHMSA for changes to the hazardous liquid pipeline IMP
'egulations (PHMSA 200Sa). The petition sought several changes, including the
following
(1) adding flexibility to the reassessment intervals,
(2) adding flexibility to scheduling repairs; and,
(3) providing notification of operators' inability to make repairs due to permitting
or other problems.
In accordance with 49 U.S.C. 60109(b) pipeline safety standards are required to be
practicable and designed to meet the need for environmental safety and protection.
Accordingly, PHMSA considered the API/AOPL petition in this respect and met with
API/AOPL representatives on August 27, 2004, to further discuss the proposed changes.
A meeting summary is contained in the docket. PHMSA agreed that certain measures
proposed by the API/AOPL were practical and added operator flexibility while still
meeting the need for environmental safety and protection.
In addition, PHMSA has identified other potential changes to the IMP regulations that
meet the need for environmental safety and protection including: 1) a need for more
information from the liquid and gas pipeline operators on repair delays when a pressure
exceeds 365 days; and, 2) a need to modify how the current pressure calculation formula
is required to be used (American Society of Mechanical Engineers and American
National Standards Institute standard B31.4 (ASME/ANSI B31.4)) for hazardous liquid
operators, as it does not always apply and may result in a calculated pressure higher than
the original operating pressure.
As a result, the final rule will change the IMP regulations at 49 CFR Part 192, Subpart O
and Part 195.452 respectively. The rationale and/or need for each of these elements is
discussed in this section.
1.3.1 Flexibility in Reassessment Interval
To maintain a pipeline's integrity, § 195.452(i) requires a continual process of evaluation
and assessment of each hazardous liquid pipeline segment that could affect an HCA.
August 2006
1-3

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Under § 195.452(j)(3), an operator is required to establish intervals not to exceed five
years for continually assessing the pipe's integrity.
The final rule will allow the reassessment interval to expand from "five years" to "five
years not to exceed 68 months." Adding a window of time to complete the reassessment
is necessary to allow operators some flexibility when having to factor in events impacting
the reassessment (such as weather conditions, scheduling difficulties in getting certain
tools, life cycle activities of species, and permitting problems). The expanded interval
would be consistent with other pipeline safety regulations specifying time frames for
completing required activities, and would not compromise pipeline safety. This change is
consistent with other pipeline safety regulations that specify time frames for an operator
to complete an inspection.
1.3.2 Notification Requirements For Pressure Reductions Exceeding 365 Days
Both the current gas IMP and liquid IMP remediation requirements (§192.933 and
§195.452(h)) require an operator to temporarily reduce pressure or to shut down the
pipeline until the operator completes the repair of an immediate repair condition. Gas
operators are also required to reduce pressure if they cannot meet a specified time limit
for making a repair, or to take other action to ensure the safety of the segment.
Notification is currently not required when an operator reduces pressure. Notification is
required when an operator cannot meet its schedule for evaluating and remediating any
condition and cannot provide safety though a temporary reduction in operating pressure.
Any pressure reduction longer than 365 days must be justified
The final rule will revise the remediation requirements to require both gas and hazardous
liquid operators to notify PHMSA with reasons for repair delays when pressure reduction
exceeds 365 days. Operators will still be required to take further remedial action to
ensure the safety of the pipeline when pressure reduction exceeds 365 days. These
notifications will allow PHMSA to become aware of situations in which delays to
required repairs extend for long periods. Each such situation can then be examined on its
own merits to determine if additional regulatory action is appropriate.
1.3.3
Correcting Pressure Reduction Formula Requirements
Currently, Section 195.452(h)(4) requires an operator to calculate a temporary reduction
in operating pressure using the formula in section 451.7 of ASME/ANSI B31.4 when
making an immediate repair. The requirement was meant to ensure that an additional
recent frequently asked question highlighted that this formula does not always apply and
safety margin be provided while an operator makes an immediate repair. However, a
may result in a calculated pressure higher than the original operating pressure. Moreover,
the formula only applies to metal loss anomalies, not to immediate repair conditions not
involving metal loss.
August 2006
1-4

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The final rule will correct the provision by allowing a hazardous liquid pipeline operator
to use the ASME/ANSI B31.4 formula only if applicable. If not applicable to the type of
anomaly, or if the formula results in a calculated pressure higher than the original
operating pressure, an operator would be allowed to use another acceptable means to
calculate pressure reduction.
1.4
PUBLIC INVOLVEMENT
Public involvement is a critical aspect of the NEPA process. As such, PHMSA must
consider any comments received from the public and any comments and
recommendations of the Technical Pipeline Safety Standards Committee and other
relevant stakeholders.
A Notice of Propose Rulemaking (NPRM) entitled; Integrity Management: Program
Modifications and Clarifications-Request for Comments was published in the Federal
Register (FR) on Thursday, December 15, 2005. Interested individuals were invited to
submit comments on the NPRM by February 13, 2006. The NPRM referenced the EA in
the docket and stated that PHMSA had preliminarily determined that the proposed action
would not significantly affect the quality of the human environment.
The NPRM and Draft EA identified the following proposed modifications and
clarifications for consideration:
• allow more flexibility in the reassessment interval for hazardous liquid pipelines
by adding an eight-month window to the established five-year time frame for
operators to complete reassessments;
require both hazardous liquid and natural gas pipeline operators to notify PHMSA
whenever they reduce pipeline pressure to make a repair and to provide reasons
for pressure reduction;
add a requirement to include notifying PHMSA with reasons for repair delay
when a pressure reduction exceeds 365 days; and,
correct the existing provision for calculating pressure reductions when making
immediate repairs on a hazardous liquid pipeline. The proposed correction allows
operators the use of another acceptable method for calculating reduced operating
pressure when the specified formula is not applicable, or results in a calculated
pressure higher than the operating pressure.
• Remove a requirement for gas operators to notify local authorities.
There are no
local authorities over these lines.
August 2006
1-5

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There were no comments received specific to the Draft EA. Several comments were
received in response to the NPRM from gas and hazardous liquid pipeline operators or
associations representing the industry including: The American Gas Association; Texas
Pipeline Association; Kinder Morgan Energy Partners; Southwest Gas Corporation;
Paiute Pipeline Company; Orange and Rockland Utilities, Inc.; Duke Energy Gas
Transmission Corporation; American Petroleum Institute/Association of Oil Pipe Lines;
Magellan Midstream Partners; Panhandle Energy; Puget Sound Energy; Enbridge Energy
Company, Inc; and Atmos Energy Corporation.
Most of the comments were in response to the technical aspects of the NPRM changes (in
particular the additional reporting requirements) and not the environmental impacts of the
changes. These comments will all be summarized in the final rule that will be published
in the FR.
In addition, on June 28, 2006, during joint meetings of the Technical Hazardous Liquid
Pipeline Safety Standards Committee, the Technical Pipeline Safety Standards
of the requirement that gas and hazardous liquid operators notify PHMSA every time
they reduce pipeline pressure to make a repair. Following a brief discussion, a motion
was made and seconded for the committees to accept the proposed rule changes (as
presented during the oral presentation). The motion was unanimously carried.
1.5 SCOPE OF ANALYSIS
This final EA analyzes the potential environmental consequences associated with
implementing the final rule entitled; Pipeline Safety: Integrity Management Program
Modifications and Clarifications. Chapter 1 provides background information regarding
the purpose of and need for the proposed rulemaking. Chapter 2 describes PHMSA's
No Action Alternative. Chapter 3 describes the environment affected by the proposed
Proposed Action, Alternative A (the proposed changes described in the NPRM) and the
environment from the alternatives. This EA will focus only on those resource categories
rulemaking, as well as potential environmental consequences to that affectec
nat are of interest to the public and/or important to the decision: public health an
afety, hazardous materials transportation. socioeconomics, and other special areas o
consideration.
August 2006
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2.0
PROPOSED ACTION AND ALTERNATIVES
2.1
OVERVIEW OF ALTERNATIVES
This chapter briefly describes the Proposed Action and any reasonable alternatives to the
Proposed Action for the modifications and clarifications to the IMP regulations. In
accordance with NEPA, the CEQ regulations and DOT Order 5610.1C, the No Action
alternative must also be considered to define the existing conditions of the natural and
human-made environments and to use as a baseline comparison to the Proposed Action
and other reasonable alternatives.
2.2
ALTERNATIVES DEVELOPMENT PROCESS
PHMSA considered four alternatives in considering modifications and clarifications to
the IMP regulations:
• No Action
•
Proposed Action - revise the current pipeline safety IMP regulations in HCAs
by adopting the recommendations in the API/AOPL petition with some
modifications, including adding a requirement to include that gas and
hazardous liquid operators notifying PHMSA with reasons for repair delay
when a pressure reduction exceeds 365 days, and correcting provisions for
calculating pressure reductions for hazardous liquid pipelines operators.
•
Alternative A - includes the modifications contained in the Proposed Action
as well as an additional requirement that gas and hazardous liquid pipeline
operators notify PHMSA whenever they reduce pipeline pressure to make a
repair and to provide reasons for pressure reduction. Alternative A was
included as the proposed action in the draft EA as well as the NPRM.
2.3
NO ACTION ALTERNATIVE
Under the No Action alternative the existing regulations would remain in place and the
current PHMSA regulations that prescribe standards regarding pipeline integrity
management in HCAs would remain unchanged. The No Action alternative does not
allow for increased flexibility for operators in scheduling assessments. It also does not
allow PHMSA to become aware of situations in which delays to required repairs extend
for long periods of time (e.g. beyond 365 days), or to correct the provisions for
calculating reduced pressure for hazardous liquid operators. Therefore, the No Action
Alternative does not meet the purpose and need to develop pipeline safety standards that
August 2006
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are practicable and designed to meet the need for environmental safety and protection in
accordance with 49 USC 60109 (b).
2.4
PROPOSED ACTION
The proposed action includes implementation of the final rule entitled: Pipeline Safety:
Integrity Management Program Modifications and Clarifications and would amend the
pipeline safety regulations to:
• Allow more flexibility in the reassessment interval for hazardous liquid pipelines
by adding an eight-month window to the established five-year time frame for
operators to complete reassessments;
• Add a requirement to include notifying PHMSA with reasons for repair delay
when a pressure reduction exceeds 365 days; and
• Correct the existing provision for calculating pressure reductions when making
immediate repairs on a hazardous liquid pipeline. The proposed correction allows
operators the use of another acceptable method for calculating reduced operating
pressure when the specified formula is not applicable, or results in a calculated
pressure higher than the operating pressure
The Proposed Action applies specifically to hazardous liquid and gas pipeline operators.
PHMSA had previously established the IMP, requiring hazardous liquid and gas
transmission pipelines to regularly schedule the evaluation of pipeline integrity and to
repair discovered defects. The final rule will add flexibility to scheduling assessments for
hazardous liquid pipelines, but will not impact the number of entities subject to the
existing regulatory requirements nor impact the number of assessments and repairs to be
conducted. The notification requirements to PHMSA will increase slightly under the final
rule. The regulatory changes will be incorporated into Title 49 of the CFRs. The proposed
changes are as follows:
Section 195.452 (i)(3): Change length of intervals for continually assessing the integrity
of hazardous liquid pipelines from five-years (60 months) to five-years not to exceed 68
months.
Section 195.452 (h)(4)(i): Allow hazardous liquid pipeline operators to use another
acceptable method for calculating a reduced operating pressure when the formula in
451.7 ot ASME/ANSI B31.4 (ibr, see Sec. 195.3) is not applicable. If the formula is not
applicable to the type of anomaly or the calculated pressure results in higher operating
pressure, an operator must use an alternative acceptable method to calculate a reduced
operating pressure.
Sections 192.933 (a)(1)(i) and 195.452 (h)(1)(i): Change notification of pressure
requirements for gas transmission operators (192.933) and hazardous liquid pipeline
August 2006
2-2

<<<PAGE 12>>>

operators (195.452). Currently, an operator must notify PHMSA when they cannot meet
scheduled repairs and cannot provide safety though a temporary pressure reduction. The
final rule will require operators to notify PHMSA with reasons for repair delay when a
pressure reduction exceeds 365 days.
2.5
ALTERNATIVE A (NPRM PROPOSAL)
Alternative A includes all of the changes contained in the Proposed Action in addition to
the following measure:
• Require both hazardous liquid and natural gas pipeline operators to notify
PHMSA whenever they reduce pipeline pressure to make a repair and to provide
reasons for pressure reduction;
The frequency of notification of reduced pressure would increase for operators under
Alternative A (NPRM proposal). As stated above for the Proposed Action, the regulatory
changes would be incorporated into Title 49 of the CFR at 192.933 for gas operators and
195.452 for hazardous liquid pipeline operators.
2.6
ALTERNATIVE B
Alternative B includes the recommendations contained in the petition by API/AOPL.
This alternative would amend the hazardous liquid pipeline safety regulations to:
• Allow more flexibility in the reassessment interval for hazardous liquid pipelines
by adding an eight-month window to the five-year time frame for operators to
complete the reassessment; and
• Require hazardous liquid pipeline operators to notify PHMSA whenever various
obstacles prevent them from compliance under the IMP (e.g. visual assessment,
investigation, remediation and repair.
The regulatory changes would be incorporated into Title 49 CFR in Sections 195.452, as
detailed above.
PHMSA acknowledged that Alternative B would not correct the existing provision for
calculating a pressure reduction nor would it provide additional information to PHMSA
on reasons gas and hazardous liquid operators need to reduce pressure. For the reasons
stated in section 1.3.2 and 1.3.3, such modifications are viewed as necessary by PHMSA.
As Alternative B does not meet the purpose of and need to develop pipeline safety
standards designed to meet the need for environmental safety and protection it was
dismissed from further consideration and is therefore not analyzed in detail in this EA
August 2006
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<<<PAGE 13>>>

2.7 COMPARISON OF THE ALTERNATIVES
This section compares the potential consequences of the Proposed Action, Alternative A
(NPRM proposal) and the No Action alternative. The analysis behind the information in
Table 2-1 is presented in Chapter 3.
Table 2-1 presents a tabular comparison of the environmental and socioeconomic
consequences (listed by impact category). Due to data availability and the scope of this
assessment, the information detailed below concentrates on qualitative rather than
quantitative analyses. Nevertheless, it is evident from Table 2-1 that implementation of
the final rule is expected to result in beneficial impacts - most importantly, the positive
impacts to public health and safety, in addition to positive indirect impacts to aspects of
the physical and human environment.
Table 2-1. Environmental Consequences - Comparison of Alternatives
Impact
Category
No Action
Proposed Action
Alternative A
Potential minor benefits due
Would not change the
Public Health
of public health and safety.
current and projected status
to increased information
to increased information
Potential minor benefits due
gathering/formula
and Safety
Incorrect pressure formula
corrections; potential
gathering/formula correction ;
negative impacts.
may pose small risk of
negligible increased risk of
negative impacts of
potential negative impacts of
incident due to increased
negligible increased risk of
reassessment time window
incident due to increased
reassessment time window
Would not change the
There is a minimal risk of
current and projected status
increased incidents, and
There is a minimal risk of
Hazardous
of hazardous materials
thereby additional
thereby additional hazardous
increased incidents, and
Transportation
Materials
transportation. Potential
hazardous materials
impacts to the natural and
transportation due to an
materials transportation due
human environment would
increased reassessment time
time window. The impact of
to an increased reassessment
continue to occur.
window. The impact of this
this is expected to be minor.
The No Action alternative
is expected to be minor
would not change the costs
proposed modifications to
The combination of
The combination of proposed
safety and incidents, as there
associated with pipeline
the IMP for hazardous
modifications to the IMP for
Socioeconomics
hazardous liquid and gas
liquid and gas transmission
transmission pipelines are
pipelines are expected to
expected to create positive
create positive net benefits.
Impacts are not expected to
be significantly different
Endangered
from the No Action.
Impacts are not expected to
Species
be significantly different
from the No Action.
otential impacts to NHPA
xpected to be minor.
Resources
resources would continue to
protected by the
occur. However, since the
Impacts are not expected to
NHPA
rate of pipeline incidents is
be significantly different
small, these impacts are
Impacts are not expected to
from the No Action.
be significantly different
August 2006
2-4

<<<PAGE 14>>>

However, based on the lack
from the No Action.
f national data on pipeline
n the vicinity of historica
properties, it is impossible to
stimate the extent of
Potential impacts to wetlands
would continue to occur.
Impacts are not expected to
Wetlands
pipeline incidents is small,
However, since the rate of
be significantly different
Impacts are not expected to
these impacts are expected to
from the No Action.
be significantly different
from the No Action.
be minor.
Potential impacts to Section
continue to occur. However,
4(f) resources would
incidens is mail, eise
Section 4(f)
impacts are expected to be
Impacts are not expected to
be significantly different
Impacts are not expected to
resources
minor. However, based on
from the No Action.
be significantly different
the lack of national data on
from the No Action.
pipelines in the vicinity of
4(f) resources, it is
impossible to estimate the
extent of potential impacts.
Both the Proposed Action and Alternative A involve assessment scheduling, as well a
notification requirement to PHMSA with reasons for repair delays when pressure
reduction exceeds 365 days, and are unlikely to significantly affect the quality of the
human environment. The primary benefit of the Proposed Action and Alternative A
would be to add flexibility to the scheduling of assessments that would allow for more
continuous operations. The notification requirements (>365 days) would allow PHMSA
to become aware of situations in which delays to required repairs extend for long periods
of time. Lastly, the Proposed Action and Alternative A would allow PHMSA to also
correct the method whereby pipeline pressure is calculated, which improves safety.
PHMSA agreed with numerous comments from the pipeline industry in response to the
NPRM (Alternative A) that requiring operators to notify PHMSA every time they
reduced pressure for a repair under the IMP would add a significant burden and likely not
result in commensurate useful information regarding the impact on energy supply, which
was one of the initial goals for information collection as stated in the NPRM..
August 2006
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<<<PAGE 15>>>

3.0
AFFECTED ENVIRONMENT AND ENVIRONMENTAL
CONSEQUENCES
The alternatives considered in this document relate to pipeline assessments, pressure
reductions, and reporting. To assist PHMSA in understanding the potential
environmental impacts of the alternatives, this chapter describes the environmental
resources of the U.S. particular to the alternatives. The resources that may be affected by
the alternatives are presented and described, along with a description of the regulatory
framework where relevant. This chapter also addresses the potential environmental
consequences associated with the No Action, Proposed Action and Alternative A. In
general, transportation affects a range of environmental resources through the
construction of the transportation network, the improvement of facilities and
infrastructure, and their operation.
The alternatives would affect all hazardous liquid pipeline operators and gas transmission
operators. Natural gas transmission pipelines are those lines that connect gas production
sources with gas consumers. Hazardous liquid pipelines are those that deliver hazardous
liquids, as defined by Federal pipeline safety regulations, from production or processing
facilities to terminals and final consumers. Therefore, the affected environment is the
land area in the U.S. in which these pipelines are located. This final EA will focus only
on those resource categories that are potentially impacted by the alternatives, those that
are of interest to the public, and/or important to the decision. The resource categories to
be analyzed in this final EA are: public health and safety, hazardous materials
transportation, socioeconomics, and other special areas of consideration.
3.1
AFFECTED ENVIRONMENT
As the alternatives relate to the regulation of the safety of about two million miles of gas
and hazardous liquid pipelines, the actual physical environment that may be affected
includes the environmental and socioeconomic resources in the vicinity of those
pipelines.
Pipelines are located throughout the U.S., and most hazardous liquid and gas pipelines
are buried underground. The physical environment potentially affected by the proposed
action includes the surrounding air, water resources (e.g., oceans, streams, lakes), cultural
and historical resources (e.g., properties listed on or eligible for listing in the National
Register of Historic Places), biological and ecological resources (e.g., coastal zones,
wetlands, plant and animal species and their habitat, forests, grasslands, offshore marine
ecosystems), and special ecological resources (e.g., threatened and endangered plant and
animal species and their habitat, national, state and local parklands, biological reserves,
Wild and Scenic Rivers) that exist directly adjacent to and within the vicinity of
pipelines.
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Because the pipelines subject to the proposed rulemaking may contain hazardous
materials, the resources within the physical affected environment, as well as public health
and safety, may be affected by gas and hazardous pipeline incidents such as spills and
leaks. Depending on the size of the spill or gas leak, and the nature of the impact zone,
the environmental impacts vary from property damage and environmental damage to
injuries or fatalities. Incidents on pipelines can result in fires and explosions, with
resulting damage to the local environment.
In addition, since pipelines often contain gas streams laden with condensates and natural
gas liquids (NGLs), failures also result in spills of these liquids, which can cause
environmental harm. In the past 10 years there have been 1668 hazardous liquid pipeline
incidents and 795 gas transmission line incidents. These incidents resulted in17 and 26
fatalities respectively over the 10 years. Environmental consequences of the alternatives
to the physical environment are examined in Section 3.2.
3.2
ENVIRONMENTAL CONSEQUENCES
3.2.1 Public Health and Safety
No Action Alternative
Under the No Action alternative, PHMSA would not add to or revise the current
regulations that prescribe standards for HCAs. The current five-year limit established by
PHMSA was formulated on the basis for effectively protecting the public and
environment. The pressure calculation formula would continue without correction,
sometimes leading operators to inaccurate calculations. Therefore, the No Action
alternative would not change the current and projected status of public health and safety,
but there is a potential for minor negative impacts without correcting the pressure
calculation formula.
Proposed Action and Alternative A
The Proposed Action and Alternative A are expected to allow operators flexibility in
reassessment by adding an additional eight month window beyond the current five years
reassessment interval. There is a small chance for an increased risk of pipeline incidents
due to the increased time interval. However, because the modifications are aiming to
allow operators to use their engineering judgment, the risk is small and no significant
impacts are expected. The increased window may also result in additional benefits, such
as making future maintenance easier. Both alternatives also correct the pressure
reduction calculation formula used by hazardous liquid operators when making repairs
and require notification to PHMSA of repair delays when a pressure reduction exceeds
365 days. These actions both result in a benefit to public health and safety, by
minimizing pressure reduction errors and allowing PHMSA to become aware of
situations in which delays to repair occur. Alternative A also includes a notification
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requirement for pipeline operators to notify PHMSA any time pressure is reduced under
the IMP. With the additional reporting requirements, PHMSA would have more
information about the reasons for a pressure reduction. PHMSA maintains however, that
the current notification requirement addresses those situations of most importance to
safety - instances in which an operator is unable to make repairs within the required
timeframes and also cannot reduce pressure. Therefore, adding this notification
' requirement would not necessarily substantially improve public health and safety. In
addition, PHMSA agrees that this data can be collected periodically as part of annual
reports. PHMSA is currently in the process of revising the annual report requirements to
collect this information.
3.2.2 Hazardous Materials Transportation
Pipeline incidents can result in fatalities and injuries, as well as lost condensates and
NGLs. Such incidents can impact the physical environment (i.e., the air, water,
biological, ecological, and historical resources) around the pipeline if the material being
transported within the pipelines leaks or spills into that environment.
No Action Alternative
Under the No Action alternative, the rate of pipeline incidents will not change, as no new
regulations would be implemented. Therefore, the No Action Alternative would not
change the current and projected status of hazardous materials transportation. Potential
impacts to the natural and human environment would continue to occur.
Proposed Action and Alternative A
The Proposed Action and Alternative A are not expected to have a measurable effect on
hazardous materials transportation. The modifications deal mostly with timeframes for
assessment and will not affect hazardous material transportation directly. There is a
small risk of increased incidents over the eight-month increase to the reassessment time
window. This time frame is consistent with other PHMSA requirements; therefore, it is
expected that the rate of pipeline incidents will not change. The impact of this is
expected to be minor. Pressure reduction notifications or calculations will not have an
impact on hazardous materials transportation.
3.2.3
Socioeconomics
As part of the rulemaking action and in this EA, the costs and benefits of implementation
of the final rule have been assessed. The detailed economic analysis is presented in the
final Regulatory Assessment contained in the docket (PHMSA 2006c).
No Action Alternative
Under the No Action alternative, no change in the costs resulting from pipeline incidents
would occur, as there would be no changes to the existing regulations.
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Proposed Action and Alternative A
Both gas transmission and hazardous liquid pipeline operators are generally large firms.
Therefore, no small entities are affected by the changes in the final rule. A total of 1,166
entities or operators would be affected by the final rulel' (see Table 3-1).
All proposed changes to the IMP from both the Proposed Action and Alternative A are
cost-effective. The proposed changes to 49 CFR 195.452 and 195.3 would create benefits
through added flexibility for liquid pipeline operators without raising the costs of
compliance with reassessment and remediation regulation. The operators would conduct
the same number of inspections and repairs as under existing regulations.
Table 3-1. Numbers of Operators by Pipeline Type
Estimated
Pipeline Type
Number of Operators
Hazardous liquid transmission pipelines
263
Natural gas transmission pipelines (includes
903
gathering lines)
TOTAL
1,166
Source: PHMSA Hazardous Liquid Annual Reports and Gas Transmission Annual Reports as pf 10/2005
The change to notify PHMSA of repair delays when pressure reduction exceeds 365 days
will have minimal cost effect if any.
The changes to notification requirements for pressure reduction for Alternative A would
create some additional costs. PHMSA had originally hoped to work with the US
Department of Energy to analyze whether prolonged pressure reductions have an impact
only one factor in estimating supply impact and it would be difficult, at best, to estimate
on the Nations energy supply. PHMSA maintains however, that pressure reduction is
such impact knowing only that pressure had been reduced. As stated above, PHMSA
agrees with industry comment, that this data can be collected periodically as part of
annual reports, which will reduce the added burden on industry. PHMSA is currently in
the process of revising the annual report requirements.
3.2.4
Special Areas of Consideration
Specific resources and impact categories that 
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