PUBLIC SERVICE COMMISSION OF WISCONSIN
Revision of Wisconsin Administrative Code Chapter PSC 135 Gas Safety to Adopt Updates to the Federal Gas Pipeline Safety Code | 1-AC-258 |
Clearinghouse Rule No. 24-056
The statement of scope for this rule, SS 047-23, was approved by the Governor on July 27, 2023, published in Register No. 811B on July 31, 2023, and approved by the Commission on September 28, 2023. This rule was approved by the Governor on February 6, 2025. ORDER ADOPTING FINAL RULES
_Hlk183779422This is an Order of the Public Service Commission of Wisconsin proposing to repeal PSC 135.319 (3), 135.375; renumber and amend PSC 135.714; amend PSC 135.011, 135.013 (1), 135.019 (1) and (3), 135.319 (1) (aw), 135.727 (hw) (intro.); create PSC 135.018, 135.08, 135.727 (hw) (4), relating to gas safety. ANALYSIS PREPARED BY
THE PUBLIC SERVICE OF WISCONSIN
A. Text of Rule
The proposed rule text is provided in Appendix A.
B. Statute Interpreted
This rule interprets Wis. Stat. § 196.745. Pursuant to the Commission’s contract with the U.S. Department of Transportation, Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety, this rule interprets the federal pipeline safety regulations (49 CFR Parts 190 to 199). C. Statutory Authority and Explanation of Authority
This rulemaking is authorized under Wis. Stat. §§ 196.02 (1) and (3), 196.745 (1) (a), and 227.11 (2). Wisconsin Stat. § 196.02 (1) authorizes the Commission to do all things necessary and convenient to its jurisdiction. Wisconsin Stat. § 196.02 (3) grants the Commission specific authority to promulgate rules. Wisconsin Stat. § 196.745 (1) (a) grants the Commission specific authority to adopt rules requiring that the construction and operation of gas facilities be done in a reasonably adequate and safe manner. Wisconsin Stat. § 227.11 authorizes agencies to promulgate administrative rules.
D. Related Statutes or Rules
The federal pipeline safety statutes are found in 49 USC Parts 60101 to 60143. The federal pipeline safety regulations are found in 49 CFR Parts 190 to 199. Under an agreement with the U.S. Department of Transportation, PHMSA, Office of Pipeline Safety, the Commission enforces the federal pipeline safety regulations for Wisconsin’s natural gas pipeline operators, primarily public utilities. Under this agreement, the Commission has the authority to make additions to the federal code that are more stringent than the federal standards. Wisconsin Admin. Code ch. PSC 134 relates to gas service standards and has some requirements concerning safe interactions between pipeline operators and their customers. E. Plain Language Analysis
Since 1968 the Commission has incorporated and adopted updates to the federal pipeline safety code in Wis. Admin. Code ch. PSC 135. This rulemaking revises Wis. Admin. Code ch. PSC 135 to incorporate updates to the federal pipeline safety code since the last revision to Wis. Admin. Code ch. PSC 135 took effect. An existing agreement with the U.S. Department of Transportation, Office of Pipeline Safety, authorizes the Commission to enforce federal natural gas pipeline safety requirements as set out in the Code of Federal Regulations, 49 CFR Parts 191, 192, 193, and 199. As part of this agreement, the Commission adopts the federal pipeline safety code in Wis. Admin. Code § PSC 135.019. Wisconsin Admin. Code § PSC 135.019 currently adopts the federal code as it exists through March 21, 2021. Since that date, PHMSA updated the federal code with respect to gas gathering pipelines, valve installation and rupture detection, safety of gas transmission pipelines, and technical standards to enhance pipeline safety by adopting innovative technologies and best practices. These proposed revisions adopt the federal code through June 28, 2024. Amendments to the federal code related to gas gathering pipelines to enhance pipeline safety include the following requirements: (1) extend reporting requirements to all gas gathering operators; and (2) apply a set of minimum safety requirements to certain gas gathering pipelines with large diameters and high operating pressures.
Amendments to the federal code related to valve installation and rupture detection to enhance pipeline safety include the following requirements: (1) install rupture-mitigation valves (i.e., remote-control or automatic shut-off valves) or alternative equivalent technologies on transmission and certain gathering pipelines; (2) minimum performance standards for those valves’ operation to prevent or mitigate the public safety and environmental consequences of pipeline ruptures; (3) rupture-mitigation valve spacing, maintenance and inspection, and risk analysis; (4) to contact 9-1-1 emergency call centers immediately upon notification of a potential rupture and conduct post-rupture investigations and reviews; and (5) to incorporate lessons learned from such investigations and reviews into operators’ personnel training and qualifications programs, and in design, construction, testing, maintenance, operations, and emergency procedure manuals and specifications.
Amendments to the federal code related to safety of gas transmission pipelines include the following requirements: (1) clarify certain integrity management provisions; (2) codify a management of change process; (3) update and bolster gas transmission pipeline corrosion control requirements; (4) require operators to inspect pipelines following extreme weather events; (5) strengthen integrity management assessment requirements; (6) adjust the repair criteria for high-consequence areas; (7) create new repair criteria for non-high consequence areas; and (8) revise or create specific definitions related to the above amendments.
Amendments to the federal code related to references to technical standards include the following requirements: (1) incorporate by reference all or parts of more than 20 new or updated voluntary, consensus industry technical standards; and (2) clarify certain regulatory provisions and make several editorial corrections.
Adoption of the latest changes to the federal code will: (1) keep the state standards for gas safety up to date with national industry trends, (2) allow the Commission to enforce these standards in Wisconsin, and (3) maintain the Commission’s compliance with its agreement with the U.S. Government to enforce these standards in exchange for reimbursement of program costs.
Safety related updates to ch. PSC 135, include: (1) adoption of federal reporting requirements; (2) clarifying requirements for gathering pipelines; (3) abandonment of services not used for ten years; (4) prohibiting new master meter operators absent a waiver; (5) amending and renumbering PSC 135.319 and 135.714 to coincide with the federal code; and (6) repealing PSC 135.375 due to redundancy with federal code. F. Summary of, and Comparison with, Existing or Proposed Federal Statutes and Regulations
As this is the adoption of the federal regulations, the pipeline safety standards in Wis. Admin. Code ch. PSC 135 are the same as the federal regulations. The federal pipeline safety statutes and regulations are found in 49 USC Parts 60101 to 60143 and 49 CFR Parts 190 to 199. G. Comparison with Similar Rules in Adjacent States
All states, including Michigan, Iowa, Illinois, and Minnesota, adopt the federal pipeline safety regulations.
H. Summary of Factual Data and Analytical Methodologies Used and How Any Related Findings Support the Regulatory Approach Chosen
No factual data or methodologies were relied upon. The rule changes adopt the federal pipeline safety regulations into Wis. Admin. Code ch. PSC 135. I. Analysis and Supporting Documents Used to Determine the Effect on Small Business or in Preparation of an Economic Impact Report
The Commission’s fiscal estimate and economic impact analysis determined that the proposed rules will not have an economic effect on small businesses. Gas utilities are not considered small businesses under the definition in Wis. Stat. § 227.114(12) as they are monopolies in their service territories. Most of the proposed changes will reduce operations and maintenance costs to intrastate pipeline operators while some proposed changes may minimally increase costs. It is estimated that these costs will result in an approximate offset of each other. The changes to ch. PSC 135 proposed in this rulemaking to adopt federal code will authorize the Commission to enforce these regulations in Wisconsin. Without this rulemaking, the Commission’s authority to administer the federal pipeline safety program in Wisconsin will likely revert to PHMSA, and federal funding for the Commission’s pipeline safety program would likely be cancelled. The Commission sought input from all gas utilities, Wisconsin Utilities Association, Utility Workers’ Coalition, and the National Federation of Independent Businesses. J. Effect on Small Business (initial regulatory flexibility analysis)
