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<subtitle num="58" heading="Safety Standards for Hazardous Liquid Pipelines" title_num="20" title_heading="Public Service Commission">
  <chapter num="01" heading="General">
    <regulation prefix="Regulation" num=".01" heading="Scope.">
      <text>This subtitle applies to any intrastate hazardous liquid pipeline located in Maryland and to an operator of these pipeline facilities.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Definitions.">
      <paragraph num="A.">
        <text>In this subtitle, the following terms have the meanings indicated.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Terms Defined.</text>
        <paragraph num="(1)">
          <text>“Accident” has the meaning stated in 49 CFR §195.5.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>“Breakout tank” means a tank used to relieve surges in a hazardous liquid pipeline system or to receive and store hazardous liquid transported by a pipeline for reinjection and continued transportation by pipeline.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>“Chief engineer” means the head of the Engineering Division of the Commission.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>“Commission” means the Public Service Commission of Maryland.</text>
        </paragraph>
        <paragraph num="(5)">
          <text>“Company” has the meaning stated in the Public Utilities Article, §1-101(f), Annotated Code of Maryland.</text>
        </paragraph>
        <paragraph num="(6)">
          <text>“Compliance order” means a document issued by the Engineering Division to an operator directing compliance.</text>
        </paragraph>
        <paragraph num="(7)">
          <text>“Division” means the Engineering Division of the Commission.</text>
        </paragraph>
        <paragraph num="(8)">
          <text>“Hazardous liquid” has the meaning stated in the Public Utilities Article, §11-201, Annotated Code of Maryland and 49 CFR §195.2.</text>
        </paragraph>
        <paragraph num="(9)">
          <text>“NOPV” means a notice of probable violation issued under COMAR 20.58.02.05.</text>
        </paragraph>
        <paragraph num="(10)">
          <text>“Operator” means a person that owns or operates a pipeline facility.</text>
        </paragraph>
        <paragraph num="(11)">
          <text>Pipeline.</text>
          <paragraph num="(a)">
            <text>“Pipeline” means any part of a pipeline facility through which a hazardous liquid moves in transportation.</text>
          </paragraph>
          <paragraph num="(b)">
            <text>“Pipeline” includes line pipe, valves, other appurtenances connected to a line pipe, pumping units, associated fabricated assemblies, and breakout tanks.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(12)">
          <text>“Pipeline facility” means new and existing pipelines, rights-of-way, and any equipment, facility, or building used or intended for use in the transportation of a hazardous liquid.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Good Engineering Practice.">
      <text>An operator shall construct, install, maintain, and operate a hazardous liquid pipeline in accordance with accepted good engineering practice in the hazardous liquid pipeline industry to ensure the safety of individuals and property.</text>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="General Requirements.">
      <paragraph num="A.">
        <text>Required Information. Each operator shall file with the Commission the following information in writing:</text>
        <paragraph num="(1)">
          <text>The location of each hazardous liquid pipeline facility;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The name, address, and telephone number of the person responsible for each hazardous liquid pipeline facility;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>A complete set of “as built” plans and maps of the pipeline facility; and</text>
        </paragraph>
        <paragraph num="(4)">
          <text>A copy of:</text>
          <paragraph num="(a)">
            <text>The procedural manual for operation, maintenance, emergencies, and operator qualification required under 49 CFR 195; and</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Revisions to the manual at the time they are incorporated.</text>
          </paragraph>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Notice of Heated Fuel Oil Pumping. As soon as practicable, an operator shall give advanced notice to the Commission's designated safety engineer of the start of pumping operations involving heated fuel oil.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Construction Notice. An operator shall provide written notice to the Commission, at least 30 days or as soon as practicable before commencement of construction, a description of any significant change, repair, or replacement to the pipeline system.</text>
      </paragraph>
      <paragraph num="D.">
        <text>Breakout Tank Notice.</text>
        <paragraph num="(1)">
          <text>If a breakout tank is removed from service for maintenance required under 49 CFR Part 195, an operator shall notify the Commission 30 days before the removal.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>If removal of a breakout tank is not covered by §D(1) of this regulation, an operator shall notify the Commission as soon as practicable.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Incorporation by Reference.">
      <text>In this subtitle, the following documents are incorporated by reference:</text>
      <paragraph num="A.">
        <text>49 CFR Part 195, Transportation of Hazardous Liquids by Pipeline, as amended; and</text>
      </paragraph>
      <paragraph num="B.">
        <text>49 CFR Part 199, Drug and Alcohol Testing, as amended.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="Federal Delegation.">
      <text>The Commission is an authorized agent of the United States Department of Transportation for the administration and enforcement of federal regulations that apply to hazardous liquid pipeline facilities in Maryland.</text>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="Inspections and Examinations.">
      <paragraph num="A.">
        <text>Facility Access. Upon reasonable notice, a Commission representative shall have access to each pipeline facility to conduct examinations or inspections to ensure compliance with these regulations.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Timing of Inspections.</text>
        <paragraph num="(1)">
          <text>The Commission shall conduct routine inspections of the pipeline facility during regular business hours.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>If an accident or safety-related condition occurs, the Commission may inspect a pipeline facility at any time.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".08" heading="Reports and Records.">
      <paragraph num="A.">
        <text>Reports.</text>
        <paragraph num="(1)">
          <text>An operator shall immediately make a telephonic notification to the Commission and the local emergency management agency of a hazardous liquid release reported as required by 49 CFR §195.52.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>An operator shall maintain and file with the Commission all reports that are required to be filed with the United States Department of Transportation by 49 CFR Part 195.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Records. An operator shall maintain and make available to the Commission for inspection all documents and records required by 49 CFR Part 195.</text>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Public Utilities Article, §§2-113, 2-121, 5-101, and 11-201—11-206, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: January 20, 2003 (30:1 Md. R. 29)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .04D adopted effective April 21, 2008 (35:8 Md. R. 809)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .05 repealed  and new Regulation .05 adopted effective April 21, 2008 (35:8 Md. R. 809)</annotation>
      <annotation type="History" subtype="Administrative History">Regulation .08 adopted effective June 23, 2003 (30:12 Md. R. 792)</annotation>
    </annotations>
  </chapter>
  <chapter num="02" heading="Enforcement and Penalties">
    <regulation prefix="Regulation" num=".01" heading="Inspections.">
      <text>The Engineering Division may conduct periodic inspections of records and property in the possession, custody, or control of a hazardous liquid pipeline operator to determine compliance with the federal Hazardous Liquid Pipeline Safety Act, 49 U.S.C. Chapter 601 or Public Utilities Article, Annotated Code of Maryland.</text>
    </regulation>
    <regulation prefix="Regulation" num=".02" heading="Inspection Follow-Up — Specific Information Request.">
      <paragraph num="A.">
        <text>After a complaint, report, or inspection, the Engineering Division may send an operator a specific information request.</text>
      </paragraph>
      <paragraph num="B.">
        <text>An operator shall respond to the Engineering Division within 5 working days after receipt of a specific information request relating to an accident reportable under 49 CFR §195.50.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Except as provided under §B of this regulation, an operator shall respond within 30 days after receipt of a specific information request.</text>
      </paragraph>
      <paragraph num="D.">
        <text>The Commission may waive the requirements of §B or C of this regulation upon written request from an operator demonstrating sufficient cause.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".03" heading="Reportable Accident Investigation.">
      <paragraph num="A.">
        <text>After an accident reportable under 49 CFR 195, a representative of the Commission may:</text>
        <paragraph num="(1)">
          <text>Interview personnel;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Examine equipment or pipe;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Request issuance of a subpoena for production of equipment or pipe relating to the incident for independent preservation;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>Examine related documents;</text>
        </paragraph>
        <paragraph num="(5)">
          <text>Order independent laboratory tests of equipment or pipe; or</text>
        </paragraph>
        <paragraph num="(6)">
          <text>Take other investigative measures as needed to complete a comprehensive independent investigation.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>An operator shall preserve all equipment or pipe which may have contributed to an accident until the investigation by the Division is completed.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".04" heading="Reportable Accident Testing.">
      <paragraph num="A.">
        <text>Testing.</text>
        <paragraph num="(1)">
          <text>After a reportable accident, an operator shall test all piping directly associated with the accident or which may have contributed to the accident, unless evidence clearly indicates the cause and origin of the accident.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>As early as possible, an operator shall properly tag and secure for examination or testing all pipeline components which may have contributed to the accident.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>If appropriate, the Commission or the operator may select a sample of the failed pipeline facility or equipment for laboratory examination.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Results Reported.</text>
        <paragraph num="(1)">
          <text>An operator shall report the results of a test under §A of this regulation to the Division within 10 days of the completion of the test, or as soon as possible.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>Test results under §A(1) of this regulation shall include the:</text>
          <paragraph num="(a)">
            <text>Time and date of the test;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Specific location of the pipeline or pipeline section tested, including a suitable map of the pipeline route;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Results; and</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Name of the person responsible for testing.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".05" heading="Notice of Probable Violation (NOPV).">
      <paragraph num="A.">
        <text>General.</text>
        <paragraph num="(1)">
          <text>The Division may issue to an operator an NOPV upon finding good cause to believe a violation of the federal pipeline safety laws under 49 U.S.C. Chapter 601 or Public Utilities Article, §§11-201—11-206, Annotated Code of Maryland, has occurred.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>An NOPV may contain a proposed compliance order.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>An operator shall respond to the Division in writing within 30 days after receipt of an NOPV.</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The Commission may waive the requirements of §A(3) of this regulation after a written request from an operator demonstrating sufficient cause.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Contents of the Notice of Probable Violation. An NOPV shall include:</text>
        <paragraph num="(1)">
          <text>A statement identifying the statute, regulation, or rule allegedly violated by an operator;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A description of the evidence indicating a possible violation;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>Notice of response options available to the operator;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>If appropriate, the amount of the proposed civil penalty and the maximum civil penalty applicable under law; and</text>
        </paragraph>
        <paragraph num="(5)">
          <text>If appropriate, a statement of the required remedial action.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Response Options. An operator shall respond to an NOPV as follows:</text>
        <paragraph num="(1)">
          <text>If an NOPV contains a proposed compliance order, an operator may:</text>
          <paragraph num="(a)">
            <text>Agree to the proposed compliance order;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Request the execution of a consent order;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Object to the proposed compliance order and submit a written explanation, information, or other material in answer to the allegations in the notice; or</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Request a hearing under Public Utilities Article, Annotated Code of Maryland; or</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>If an NOPV contains a proposed civil penalty, an operator may:</text>
          <paragraph num="(a)">
            <text>Pay the penalty;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Submit a compromise to the proposed civil penalty;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Object to the proposed civil penalty and submit a written explanation, information, or other material to mitigate the proposed civil penalty; or</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Request a hearing under Public Utilities Article, Annotated Code of Maryland.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".06" heading="Review by the Chief Engineer.">
      <text>If an operator objects to the proposed compliance order or civil penalty and submits a written explanation, information, or other material in response to an NOPV, the chief engineer shall review the submission and determine whether to:</text>
      <paragraph num="A.">
        <text>Negotiate further, modify, or withdraw the NOPV; or</text>
      </paragraph>
      <paragraph num="B.">
        <text>File a complaint under Public Utilities Article, §3-102, Annotated Code of Maryland.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".07" heading="Consent Order.">
      <paragraph num="A.">
        <text>Before the issuance of a compliance order, the Division may execute a consent order jointly with an operator.</text>
      </paragraph>
      <paragraph num="B.">
        <text>An executed consent order shall contain:</text>
        <paragraph num="(1)">
          <text>An admission by an operator of all jurisdictional facts; and</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A description of any actions required by an operator and the time by which the actions shall be accomplished.</text>
        </paragraph>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".08" heading="Civil Penalties.">
      <paragraph num="A.">
        <text>Procedure. After an investigation and a determination by the Division that there is good cause to believe an operator violated a minimum pipeline safety requirement, the Commission may assess or negotiate a civil penalty under Public Utilities Article, §11-206, Annotated Code of Maryland.</text>
      </paragraph>
      <paragraph num="B.">
        <text>Penalty Considerations. In proposing a civil penalty, the Division shall consider the criteria in Public Utilities Article, §11-206, Annotated Code of Maryland.</text>
      </paragraph>
      <paragraph num="C.">
        <text>Payment Procedures. An operator shall pay the proposed or negotiated civil penalty by submitting to the Commission a certified check or money order in the correct amount, payable to the Public Service Commission of Maryland.</text>
      </paragraph>
    </regulation>
    <regulation prefix="Regulation" num=".09" heading="Hazardous Facility Notice.">
      <paragraph num="A.">
        <text>General. After an inspection, report, or complaint, the Division may find a particular pipeline facility to be hazardous to life, property, or the environment if:</text>
        <paragraph num="(1)">
          <text>The equipment, material, or technique used in the construction of the pipeline facility or its components poses a hazard to life, property, or the environment; or</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The operation of the pipeline facility poses a hazard to life, property, or the environment.</text>
        </paragraph>
      </paragraph>
      <paragraph num="B.">
        <text>Determining Factors. In determining if a pipeline facility is hazardous to life or property, the Division may consider the following:</text>
        <paragraph num="(1)">
          <text>The characteristics of the pipe and other equipment used in a pipeline facility, including age, manufacturer, physical properties, resistance to corrosion and deterioration, and methods of manufacture, construction, and assembly;</text>
        </paragraph>
        <paragraph num="(2)">
          <text>The nature of the materials transported by the facility, including the corrosive and deteriorative qualities, and the sequence in which the materials are transported through the pipeline;</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The location of the pipeline facility;</text>
        </paragraph>
        <paragraph num="(4)">
          <text>The climatic and geologic conditions associated with the area in which the pipeline is located;</text>
        </paragraph>
        <paragraph num="(5)">
          <text>The population, population density, and growth patterns of the area in which the pipeline is located; or</text>
        </paragraph>
        <paragraph num="(6)">
          <text>The adequacy of records demonstrating the absence of a hazardous condition.</text>
        </paragraph>
      </paragraph>
      <paragraph num="C.">
        <text>Notice.</text>
        <paragraph num="(1)">
          <text>If the Division finds a pipeline facility to be hazardous to life or property, the chief engineer shall issue a hazardous pipeline facility notice.</text>
        </paragraph>
        <paragraph num="(2)">
          <text>A hazardous pipeline facility notice shall provide an opportunity for a Commission hearing.</text>
        </paragraph>
        <paragraph num="(3)">
          <text>The chief engineer may request that the Commission issue an order setting a hearing date and finalizing a hazardous pipeline facility order before a hearing under this section, if failure to do so would result in the likelihood of serious harm to life or property.</text>
        </paragraph>
      </paragraph>
      <paragraph num="D.">
        <text>Content.</text>
        <paragraph num="(1)">
          <text>A hazardous pipeline facility notice shall contain:</text>
          <paragraph num="(a)">
            <text>A finding that the pipeline facility is hazardous to life, property, or the environment;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>The facts on which the finding is based;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>The legal basis of the notice;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>The nature and description of the particular corrective action required of the operator; and</text>
          </paragraph>
          <paragraph num="(e)">
            <text>The date by which the required action shall be taken or completed and, if appropriate, the duration of the notice.</text>
          </paragraph>
        </paragraph>
        <paragraph num="(2)">
          <text>Corrective action under §D(1)(d) of this regulation may include:</text>
          <paragraph num="(a)">
            <text>Suspended or restricted use of the pipeline facility;</text>
          </paragraph>
          <paragraph num="(b)">
            <text>Physical inspection;</text>
          </paragraph>
          <paragraph num="(c)">
            <text>Testing;</text>
          </paragraph>
          <paragraph num="(d)">
            <text>Repair;</text>
          </paragraph>
          <paragraph num="(e)">
            <text>Replacement; or</text>
          </paragraph>
          <paragraph num="(f)">
            <text>Other action as appropriate.</text>
          </paragraph>
        </paragraph>
      </paragraph>
    </regulation>
    <annotations>
      <annotation type="Authority">Public Utilities Article, §§11-201—11-206, Annotated Code of Maryland</annotation>
      <annotation type="History" subtype="Administrative History">Effective date: January 20, 2003 (30:1 Md. R. 29)</annotation>
    </annotations>
  </chapter>
</subtitle>