BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 44|
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THIRD READING
Bill No: SB 44
Author: Corbett (D)
Amended: 4/25/11
Vote: 21
SENATE ENERGY, UTIL. & COMM. COMMITTEE : 11-0, 4/5/11
AYES: Padilla, Fuller, Berryhill, Corbett, De Le�n,
DeSaulnier, Pavley, Rubio, Simitian, Strickland, Wright
SENATE APPROPRIATIONS COMMITTEE : 9-0, 5/26/11
AYES: Kehoe, Walters, Alquist, Emmerson, Lieu, Pavley,
Price, Runner, Steinberg
SUBJECT : Public utilities: gas pipeline emergency
response standards
SOURCE : California Fire Chiefs Association
DIGEST : This bill requires the Public Utilities
Commission (PUC) to establish compatible emergency response
standards that owners or operators of intrastate
transmission and distribution lines would be required to
follow by July 1, 2012, as specified.
ANALYSIS : Existing 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
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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.
Federal law and general orders of the PUC 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 PUC 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.
Existing law authorizes the United States Secretary of
Transportation to prescribe or enforce safety standards and
practices for an intrastate pipeline facility or intrastate
pipeline transportation to the extent that the safety
standards and practices are regulated by a state authority
that annually submits to the secretary a certification for
the facilities and transportation or, alternatively,
authorizes the secretary to make an agreement with a state
authority authorizing it to take necessary action to meet
certain pipeline safety requirements
This bill
1. 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.
2. Designates the commission as the state authority
responsible for regulating and enforcing intrastate gas
pipeline transportation and pipeline facilities pursuant
to federal law, including the development, submission,
and administration of a state pipeline safety program
certification for natural gas pipelines.
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3. Requires the commission, by July 1, 2012, to open an
appropriate proceeding or expand the scope of an
existing proceeding to establish compatible emergency
response standards, as defined, that owners or operators
of certain commission-regulated gas pipeline facilities,
as defined, would be required to follow. The standards
would require owners or operators of intrastate
transmission and distribution lines to implement
emergency response plans, with specified requirements,
that are compatible with the Pipeline and Hazardous
Materials Safety Administration's (PHMSA) regulations
concerning emergency plans.
4. Requires the owners of intrastate transmission lines to
provide the State Fire Marshal and the chief fire
official of the applicable local government with
instructions on how to access and utilize the National
Pipeline Mapping System developed by PHMSA to improve
local response capabilities for pipeline emergencies.
The bill requires the commission to report to the
Legislature on the status of establishing the compatible
emergency response standards on or before January 1,
2013.
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 PUC 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.
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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.
For information on testimony by PG& E and the first
responders before the National Transportation Safety Board
(NTSB), see the Senate Energy, Utilities & Communications
Committee analysis.
Comments
According to the author's office, following 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.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: Yes
According to Senate Appropriations Committee:
Fiscal Impact (in
thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
Development of standards $225 Special
*
*PUC Utilities Reimbursement Account
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SUPPORT : (5/26/11)
California Fire Chiefs Association (source)
AARP
Alameda County Fire Department
Big Bear City Fire Department
Butte County Fire Chiefs Association
California Public Utilities Commission
California Professional Firefighters
California State Firefighters' Association
Camp Parks Fire and Emergency Services
Consumer Federation of California
Culver City Fire Department
City of Napa
City of Rancho Cucamonga
North County Fire Authority
PG&E
Richmond Fire Department
Sacramento Metropolitan Fire District
San Diego Gas & Electric Company
Southern California Gas Company
The Utility Reform Network
ARGUMENTS IN SUPPORT : Sempra Energy utilities, Southern
California Gas Company (SoCalGas) and San Diego Gas &
Electric Company (SDG&E) writes to convey their support,
"SB 44 requires the Public Utilities Commission to begin a
process to establish emergency response standards for
state-regulated natural gas pipelines that would implement
appropriate emergency response plans. These standards
include coordination between pipeline owners and operators
with emergency responders to ensure adequate and ongoing
communication. SoCalGas and SDG&E believe that pipeline
safety, as well as the public's confidence in the safety of
natural gas pipelines, are of paramount importance.
Preparedness for major incidents is a key piece that
contributes to the public's safety. Communication and
coordination during major incidents is crucial to ensuring
that conditions are brought under control quickly and
effectively. SoCalGas and SDG&E are committed to working
with emergency responders, consistent with the objectives
of SB 44."
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RM:rm 5/27/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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