BILL ANALYSIS                                                                                                                                                                                                    �          1





                 SENATE ENERGY, UTILITIES AND COMMUNICATIONS COMMITTEE
                                  ALEX PADILLA, CHAIR
          

          SB 44 -  Corbett                                  Hearing Date:  
          April 5, 2011              S
          As Amended:         March 29, 2011      FISCAL       B
                                                                        
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                                       DESCRIPTION
           
           Federal law and general orders  of the California Public Utilities 
          Commission (CPUC) require the commission to regulate gas 
          transmission, distribution and gathering pipeline facilities which 
          include investor-owned utilities, master-metered mobile home 
          parks, storage facilities, and propane operators.

           Federal Law and general orders  of the CPUC require that each gas 
          pipeline owner and operator to have an emergency plan in place 
          with specified components including written procedures to minimize 
          hazards resulting from pipeline emergencies, methods of receiving 
          notifications of emergencies, and communicating with emergency 
          responders.

           Federal Law  requires gas transmission pipeline owners and 
          operators to provide geospatial data to the Secretary of 
          Transportation (Secretary) for its transmission pipelines and to 
          update that data as required by the Secretary.  The Secretary is 
          also permitted to provide technical assistance to state and local 
          officials to improve local response by adapting information 
          available through the National Pipeline Mapping System to software 
          used by emergency response personnel responding to pipeline 
          emergencies.

           This bill  defines a commission-regulated gas pipeline facility to 
          include transmission, distribution and gathering pipeline 
          facilities which include investor-owned utilities, master-metered 
          mobile home parks, storage facilities, and propane operators.

           This bill  requires the CPUC to commence a proceeding to establish 
          emergency response standards, which include emergency response 
          plans, to be followed by owners or operators of 
          commission-regulated gas pipeline facilities, in consultation with 










          the Office of Emergency Services, and first responders including 
          the California Fire Chiefs Association.

           This bill  requires the emergency response plans to include a 
          requirement that pipeline owners and operators  provide the State 
          Fire Marshal and fire chiefs in the pipeline operator's territory 
          with geographic information system maps of the pipeline system 
          within the owner's or operator's control.

                                       BACKGROUND
           
          San Bruno Explosion - On the evening of September 9, 2010 a 
          30-inch natural gas transmission line ruptured in a residential 
          neighborhood in the City of San Bruno.  The rupture caused an 
          explosion and fire which took the lives of eight people and 
          injured dozens more; destroyed 37 homes and damaged dozens more.  
          Gas service was also disrupted for 300 customers.
          The pipeline in question is owned and operated by Pacific Gas & 
          Electric (PG&E) and originally built in 1948.  In 1956 it was 
          relocated and rebuilt to accommodate new housing development.  The 
          National Transportation Safety Board (NTSB), in conjunction with 
          the CPUC was on scene within 24 hours to investigate the cause of 
          the explosion.  Although preliminary elements of the investigation 
          have been detailed, a final report on causation is not expected 
          until at least fall.

          There seemed to be a lack of coordination between the utility and 
          first responders to the explosion.  Although PG&E control room 
          operators saw drops in gas pressure on the transmission pipeline 
          system and were also aware that there had been an explosion in San 
          Bruno, there was a delay in connecting the two occurrences.  
          Reports to the control room included speculation of an airplane 
          crash or gas station explosion.  

          First Responder Pipeline Knowledge - The Police Chief for San 
          Bruno recently testified before the NTSB, which is the lead agency 
          responsible for investigating the accident, and reported that 
          first responders were unaware that there was a transmission line 
          through the city until after the incident.  His knowledge of the 
          pipelines before the incident was limited to that gained from some 
          type of regular orientation that PG&E had previously run where "it 
          was mentioned that there are two pipelines that run the peninsula, 
          transmission pipelines that go, essentially, through the freeway 
          corridors of 101 and 280."  He also testified that no agency on 
          the peninsula had maps of the pipeline system and that they had 









          not accessed the National Pipeline Mapping System prior to the 
          accident.  He acknowledged that they could have done that but it 
          is not clear whether they knew the maps/systems existed.

          PG&E Outreach to First Responders - The San Bruno Fire Chief also 
          testified that they did work together with PG&E on a "routine 
          basis?on typical gas leak calls, electrical lines down, pole 
          fires, transformer fires?In the event of a pipeline, we really 
          don't have any direct training on pipeline training?So it's really 
          a basic course of?the procedures to take in case of a gas leak or 
          electrical failure to deny entry, cordon off the area, look for 
          any potential ignition sources and so forth, and obviously contact 
          PG&E."

          The Fire Chief was asked about the type of communications or 
          coordination the fire department had with PG&E with respect to 
          emergency response coordination and communication.  He responded 
          that "�p]rimarily, the communication was with line personnel. 
          There was no direct training with any of our command staff 
          officers" and that there was no communication between the senior 
          officers in the departments and their PG&E counterparts.  

          PG&E testified that annual meetings are usually held in the spring 
          for emergency response agencies and, for the Peninsula, they:

               ?have about, anywhere from you know, 13, 14 attendees up to 
               20?The public liaison meeting is intended to increase 
               partnership and coordination among the local group and the 
               local emergency response community, whether that be the fire 
               or police chiefs or the Office of Emergency Services located 
               in that local area. The kinds of things that they cover are 
               reviewing and looking upon those various incidents which have 
               occurred to understand what might have been learned, as well 
               as go over various aspects of gas and electric infrastructure 
               as it is high tech, if you may, at its basis and is very 
               complicated. And there is certainly a level of understanding 
               that we want to convey around that infrastructure.

          However, PG&E also testified that "I think what we learned first 
          and foremost �from San Bruno] is that, within the emergency 
          response community there clearly needs to be a greater level of 
          engagement between the preparedness and the prevention aspects 
          within the company."

          Rulemaking - In February the CPUC opened a rulemaking as part of a 









          forward-looking effort to establish a new model of natural gas 
          pipeline safety regulation applicable to all California pipelines. 
           Among the new rules that will likely be proposed is expanding 
          emergency and disaster planning coordination with local officials 
          and strengthening emergency response procedures.

          The CPUC has taken notice that "when natural gas transmission 
          pipelines catastrophically fail, the public turns to local 
          emergency authorities - police, fire, ambulance - for immediate 
          assistance. These authorities would not necessarily be familiar 
          with the location and characteristics of natural gas transmission 
          and distribution pipelines. In this rulemaking, we will consider 
          whether we should require pipeline operators to do more for local 
          authorities, such as providing locational information, training, 
          special tools, designated utility contacts, or other support.

          Mapping - The NTSB also received testimony from PG&E and the 
          National Association of State Fire Marshals that the National 
          Pipeline System database and mapping does exist which provides 
          emergency personnel with access to GIS based data sets that can be 
          either used online or downloaded to their own systems.  If that 
          system was known to and utilized by first responders during the 
          San Bruno incident, they would have had access to maps showing the 
          location of Line 132 and other nearby transmission pipelines.  The 
          San Bruno Fire Chief does not appear to have been aware of this 
          database and it is not apparent that PG&E included training on 
          access to the database as part of their liaison meetings with 
          emergency personnel.

                                        COMMENTS
           
              1.   Author's Purpose  .  After the San Bruno incident the author 
               met with local fire chiefs who expressed a need for enhanced 
               communication and coordination with gas pipeline operators 
               before and during emergency events involving gas pipelines to 
               ensure that hazards are minimized.  The issue was heightened 
               as greater attention was given to the location of natural gas 
               pipelines throughout the Bay Area, some of which are adjacent 
               to fault lines, and the risks associated with earthquakes.  

              2.   Clarity of State Law & Scope of Jurisdiction  .  For decades 
               the CPUC has acted under federal law and its own general 
               order to regulate gas pipeline safety.  However nowhere in 
               the CPUC's rules (e.g. General Order 112-E) or state law is 
               the scope of the CPUC's jurisdiction clear.  As a 









               consequence, this bill and several others introduced this 
               year in the aftermath of San Bruno cite back to several 
               provisions of federal law to define the scope of the 
               infrastructure affected by the bills.  These provisions 
               however lack transparency and may also result in the author's 
               intended effect of the bills (e.g. transmission lines) going 
               beyond the bill's actual affect (e.g. distribution lines and 
               gathering lines).  

               The author and committee may wish to amend this bill to 
               clearly define the infrastructure over which the CPUC has 
               jurisdiction via federal law to improve the transparency of 
               the measure and ensure that the bills have their intended 
               effect.


              3.   Scope of Response Plans Required  .  The mapping and 
               response plan requirements covered by this bill include 
               transmission, distribution, and gathering lines yet they do 
               not all pose the same level of threat to life and property.  
               Collectively these lines cover more than 110,000 miles and 
               3,200 mobile-home parks, propane operators and storage 
               facilities and emergency response plans are currently 
               required under federal law for the owners and operators of 
               these facilities.

               The most significant challenge for emergency response 
               personnel are transmission pipelines of which there are more 
               than 10,000 miles in California. Because transmission 
               pipelines operate at higher pressures, they pose a greater 
               threat to life and property.

               However, the requirements of this bill apply not only to 
               transmission and distribution pipelines but also to gathering 
               lines and 3,200 mobile-home parks, propane operators and 
               storage facilities.  Because emergency response plans for 
               those are covered under federal law and the primary necessity 
               of emergency responders is transmission and distribution 
               lines, the author and committee may wish to consider 
               narrowing the bill to limit the heightened emergency response 
               plans and standards required by this bill to apply only to 
               transmission pipelines.

              4.   Access to Pipeline Mapping  .  This measure requires all 
               pipeline operators to provide the State Fire Marshal and all 









               fire chiefs in the utility's jurisdiction with GIS maps of 
               all pipelines under the control of the pipeline operator.  
               The NTSB hearings highlighted that the utilities are required 
               under federal law to provide transmission pipeline locations 
               for input into a National Mapping System which can then be 
               accessed online or interfaced with emergency response 
               systems.  The problem highlighted at the NTSB hearings was 
               that first responders do not appear to be aware that the maps 
               exist.

               Another issue raised by the bill is what pipeline mapping is 
               needed by first responders.  The mapping language of this 
               bill currently applies to all pipelines - transmission, 
               distribution, gathering, mobilehome parks, storage facilities 
               and propane operators.  The magnitude of the task associated 
               with mapping and creating a separate California database for 
               the non-transmission pipelines would be immense but the 
               utility not apparent.  The greatest threat comes from 
               transmission lines because they are highly pressurized.  The 
               author and committee may wish to consider amending this bill 
               to require that the emergency response standards adopted by 
               the CPUC address the need for first responders to be aware of 
               and how to utilize the National Mapping System.

              5.   CPUC Proceeding  .  This bill requires that the CPUC open 
               new rulemaking before July, 2012 to implement the provisions 
               of this bill.  Because the CPUC has a rulemaking open, the 
               author and committee may wish to consider amending the bill 
               to permit the CPUC to expand an existing rulemaking to 
               address these issues.

                                        POSITIONS
           
           Sponsor:
           
          California Fire Chiefs Association


















           Support:
           
          Alameda County Fire Department
          American Association of Retired Persons (AARP)
          Big Bear City Fire Department
          Butte County Fire Chiefs Association
          California Fire Chiefs Association
          California Professional Firefighters
          California Public Utilities Commission (technical amendments)
          Camp Park Fire and Emergency Services
          City of Napa Fire Department
          City of Rancho Cucamonga
          Contra Costa County Fire Protection District
          Culver City Fire Department
          Humbolt No. 1 fire Protection District
          Meeks Bay Fire Protection District
          Modesto Fire Department
          Napa County fire Department/Dry Creek-Lokoya Volunteers
          North County Fire Authority
          Pacific Gas & Electric
          Redondo Beach Fire Department
          Richmond Fire Department
          Sacramento Metropolitan Fire District
          The Utility Reform Network (TURN)
           
          Oppose:
           
          None on file


          
























          Kellie Smith 
          SB 44 Analysis
          Hearing Date:  April 5, 2011