BILL ANALYSIS �
SB 216
Page 1
SENATE THIRD READING
SB 216 (Yee)
As Amended August 26, 2011
Majority vote
SENATE VOTE :39-0
UTILITIES & COMMERCE 15-0
APPROPRIATIONS 17-0
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|Ayes:|Bradford, Fletcher, |Ayes |Fuentes, Harkey, |
| |Buchanan. Fong, Fuentes, | |Blumenfield, Bradford, |
| |Furutani, Beth Gaines, | |Charles Calderon, Campos, |
| |Roger Hern�ndez, | |Davis, Donnelly, Gatto, |
| |Williams, Knight, Ma, | |Hall, Hill, Lara, |
| |Nestande, Skinner, | |Mitchell, Nielsen, Norby, |
| |Swanson, Valadao | |Solorio, Wagner |
| | | | |
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SUMMARY : This bill authorizes the California Public Utilities
Commission (PUC) to require automatic shut off or remote
controlled valves on certain natural gas facilities.
Specifically, this bill :
Requires PUC, unless it is prohibited by federal law, to require
automatic shut off or remote controlled valves on intrastate
natural gas transmission lines located in 'high consequence
areas' or that traverse an active seismic earthquake fault line.
Requires owners of intrastate pipelines to provide a valve
location plan to PUC.
EXISTING LAW : Federal Law and PUC require each transmission
line have sectionalized block valves placed at specified
intervals and in specified locations ranging from every 2
miles to every 10 miles and classifies pipelines based on the
types of facilities that are within 220 yards of its location.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, Annual special fund costs to PUC of about $240,000
for two positions to support the PUC's work in reviewing valve
location plans, adopting standards for prioritizing installation
and establishing installation timelines, and monitoring utility
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implementation.
COMMENTS : The author states that following the September 9,
2010 gas explosion in the City of San Bruno, California, the
National Transportation Safety Board (NTSB) highlighted the need
for legislation to require gas utility companies to install
automatic and remotely-controlled shutoff valves throughout
California's pipelines. Investigators say it took PG&E about an
hour and a half to access and manually close the mainline valves
near the ruptured segments and about four more hours to stop the
gas flow to residences at damaged houses in San Bruno. At a
public hearing regarding the San Bruno gas explosion, PG&E
testified that with automatic or remote-controlled shutoff
valves, it would take about 10 to 15 minutes to analyze the
situation turn off gas supply in pipelines fairly quickly.
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.
High Consequence Area (HCA) is a term defined in Code of Federal
Regulations (CFR) and means:
1)An area that has 46 or more buildings intended for human
occupancy; or an area where the pipeline lies within 100 yards
(91 meters) of either a building or a small, well-defined
outside area (such as a playground, recreation area, outdoor
theater, or other place of public assembly) that is occupied
by 20 or more persons on at least five days a week for 10
weeks in any 12-month period. (The days and weeks need not be
consecutive.) This is a Class 3 Area defined by 49 CFR 192.4
(3).
2)Any location unit where buildings with four or more stories
above ground are prevalent (49 CFR 194.4 (4)).
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3)Any location that has fewer than 46 buildings intended for
human occupancy (Class 1 and Class 2 areas defined by 49 CFR
192.5) 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.
4)Any location that has fewer than 46 buildings intended for
human occupancy (Class 1 and Class 2 areas defined by 49 CFR
192.5) where the potential impact circle contains an
identified site.
5)An outside area or open structure that is occupied by 20 or
more persons on at least 50 days in any 12-month period. (The
days need not be consecutive.) Examples include but are not
limited to, beaches, playgrounds, recreational facilities,
camping grounds, outdoor theaters, stadiums, recreational
areas near a body of water, or areas outside a rural building
such as a religious facility.
6)A building that is occupied by 20 or more persons on at least
5 days a week for 10 weeks in any 12-month period. (The days
and weeks need not be consecutive.) Examples include, but are
not limited to, religious facilities, office buildings,
community centers, general stores, 4-H facilities, or roller
skating rinks.
7)A facility occupied by persons who are confined, are of
impaired mobility, or would be difficult to evacuate.
Examples include but are not limited to hospitals, prisons,
schools, day-care facilities, retirement facilities or
assisted-living facilities.
PG&E has the second highest amount of high pressure transmission
pipeline located in HCA compared to other utilities or pipeline
companies in the United States. PG&E has 1,021 miles of
pipeline within the urbanized or so-called high consequence
areas. Sempra's Southern California Gas system and San Diego
Gas & Electric have 1,320 miles of pipeline within high
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consequence areas.
State and municipal authorities have safety agreements and/or
certifications with U.S. Department of Transportation for
regulating intrastate and interstate pipelines. Federal law
does not specifically name responsible agencies at the state and
local level for implementing federal law - it allows the
Department of Transportation to enter into agreements or receive
certifications from state and local authorities. Several
publicly owned utilities own and operate pipelines, including
Palo Alto, Sacramento Municipal Utility District, and Los
Angeles Department of Water and Power. These publicly owned
utilities are not subject to the provisions of this bill,
however their individual boards may require automatic or
remotely controlled shut off valves.
Analysis Prepared by : Susan Kateley / U. & C. / (916)
319-2083
FN: 0002290