(a) Each operator of a pipeline or gathering system,
other than an operator excluded under §8.1(b)(4) of this title
(relating to General Applicability and Standards), subject to the
jurisdiction of the Commission, shall obtain a pipeline permit, to
be renewed annually, from the Commission as provided in this rule.
Production or flow lines that are subject to §8.1(a)(1)(B) and
(D) of this title must comply with this section. All other production
or flow lines as defined in this subsection are exempt from complying
with this section. A production or flow line is piping used for production
operations that generally occur upstream of gathering or other pipeline
facilities. For the purposes of this subsection, piping used in "production
operations" means piping used for production and preparation for transportation
or delivery of hydrocarbon gas and/or liquids, and includes the following
processes:
(1) extraction and recovery, lifting, stabilization,
treatment, separation, production processing, storage, and measurement;
and
(2) associated production compression, gas lift, gas
injection, or fuel gas supply.
(b) To obtain a new pipeline permit or to amend a permit
because of a change of classification, an operator shall file an application
for a pipeline permit on the Commission's online permitting system.
The operator shall include or attach the following documentation and
information:
(1) the contact information for the individual who
can respond to any questions concerning the pipeline's construction,
operation or maintenance;
(2) the requested classification and purpose of the
pipeline or pipeline system as a common carrier, a gas utility or
a private line;
(3) a sworn statement from the pipeline applicant providing
the operator's factual basis supporting the classification and purpose
being sought for the pipeline, including, if applicable, an attestation
to the applicant's knowledge of the eminent domain provisions in Texas
Property Code, Chapter 21, and the Texas Landowner's Bill of Rights
as published by the Office of the Attorney General of Texas;
(4) documentation to provide support for the classification
and purpose being sought for the pipeline, if applicable; and
(5) any other information requested by the Commission.
(c) To renew an existing permit, to amend an existing
permit for any reason other than a change in classification, or to
cancel an existing permit, an operator shall file an application for
a pipeline permit on the Commission's online filing system. The operator
shall include or attach:
(1) the contact information for the individual who
can respond to any questions concerning the pipeline's construction,
operation, or maintenance; change in operator or ownership; or other
change including operator cessation of pipeline operation;
(2) a statement from the pipeline operator confirming
the current classification and purpose of the pipeline or pipeline
system as a common carrier, a gas utility or a private line, if applicable;
and
(3) any other information requested by the Commission.
(d) Upon receipt of a complete permit application,
the Commission has 30 calendar days to issue, amend, or deny the pipeline
permit as filed. If the Commission determines that the application
is incomplete, the Commission shall promptly notify the applicant
of the deficiencies and specify the additional information necessary
to complete the application. Upon receipt of a revised application,
the Commission has 30 calendar days to determine if the application
is complete and issue, amend, or deny the pipeline permit as filed.
(e) If the Commission is satisfied from the application
and the documentation and information provided in support thereof,
and its own review, that the proposed line is or will be laid, equipped,
managed and operated in accordance with the laws of the state and
the rules and regulations of the Commission, the permit may be granted.
The pipeline permit, if granted, shall classify the pipeline as a
common carrier, a gas utility, or a private pipeline based upon the
information and documentation submitted by the applicant and the Commission's
review of the application.
(f) This rule applies to applications made for new
pipeline permits and to amendments, renewals, and cancellations of
existing pipeline permits. The classification of a pipeline under
this rule applies to extensions, replacements, and relocations of
that pipeline.
(g) The Commission may delegate the authority to administratively
issue pipeline permits.
(h) The pipeline permit, if granted, shall be revocable
at any time after a hearing, held after 10 days' notice, if the Commission
finds that the pipeline is not being operated in accordance with the
laws of the state and the rules and regulations of the Commission
including if the permit is not renewed annually as required in subsection
(a) of this section.
(i) Each pipeline operator shall pay an annual fee
based on the pipeline operator's permitted mileage of pipeline not
later than April 1 of each year.
(1) For purposes of calculating the mileage fee, the
Commission will categorize pipelines into two groups.
(A) Group A includes transmission and gathering pipelines
that are required by Commission rules to have a valid T-4 permit to
operate and are subject to the regulations in 49 CFR Parts 192 and
195, such as natural gas transmission and storage pipelines, natural
gas gathering pipelines defined as Type A, Type B, or Type C in 49
CFR §192.8, hazardous liquids transmission and storage pipelines,
regulated rural hazardous liquids gathering pipelines under 49 CFR §195.11,
and hazardous liquid low-stress rural pipelines under 49 CFR §195.12.
(B) Group B includes pipelines that are required by
Commission rules to have a valid T-4 permit to operate but are only
subject to the reporting requirements in 49 CFR Parts 191 and 195
such as Type R gathering pipelines as defined in 49 CFR §192.8,
and reporting-regulated-only gathering lines as defined in 49 CFR §195.15.
(2) An operator of a Group A pipeline shall pay an
annual fee of $20 per mile of pipeline based on the number of miles
permitted to that operator as of December 31 of each year.
(3) An operator of a Group B pipeline shall pay an
annual fee of $10 per mile of pipeline based on the number of miles
permitted to that operator as of December 31 of each year.
(4) Any pipeline distance that is a fraction of a mile
will be considered as one mile and will be assessed a $20 or $10 fee,
as appropriate.
(5) Fees due to the Commission for mileage transferred
from one operator to another operator pursuant to subsection (o) of
this section will be captured in the next mileage fee to be calculated
on the following December 31 and paid by the new operator.
(j) Each pipeline operator shall pay a $500 permit
processing fee for each new permit application and permit renewal.
Each operator shall file the annual renewals as follows:
(1) Companies with names beginning with letters A through
C shall file in February;
(2) Companies with names beginning with letters D through
E shall file in March;
(3) Companies with names beginning with letters F through
L shall file in April;
(4) Companies with names beginning with letters M through
P shall file in May;
(5) Companies with names beginning with letters Q through
T shall file in June; and
(6) Companies with names beginning with letters U through
Z and companies with names beginning with numerical values or other
symbols shall file in July.
(k) Each operator shall comply with the following:
(1) If a permit is transferred, in the Commission fiscal
year of the transfer the acquiring operator shall renew that permit
in its designated month pursuant to subsection (j) of this section.
If the acquiring operator receives a transferred permit in a Commission
fiscal year and its renewal month has already passed, the acquiring
operator shall pay the renewal fee upon transfer.
(2) If an operator adds a new permit and pays the new
permit fee, the operator is not required to pay the renewal fee for
that permit in the same Commission fiscal year.
(3) If an operator adds a new permit after its renewal
month has passed, the new permit shall be renewed the following Commission
fiscal year in the operator's designated month pursuant to subsection
(j) of this section.
(l) A pipeline operator who fails to renew a permit
on or before the renewal deadline which is the last day of the operator's
required filing month as specified in subsection (j) of this section
shall pay a late-filing fee as follows:
(1) $250, if the renewal application is received within
30 calendar days after the renewal deadline date;
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