D.2 - SOW Attachment A - Environmental Review and Compliance Seminar for Natural Gas Facilities.pdf

Navigating the Process

FERC’s Environmental Review and Compliance for Natural Gas Facilities

Fort Lauderdale, Florida September 24-26, 2024

Program Overview

Course Instructors FERC Staff

Public Outreach

David Hanobic

Outreach Coordinator

(202) 502-8312

David.Hanobic@ferc.gov

Environmental Review

David Swearingen

Branch Chief

David.Swearingen@ferc.gov

Construction Compliance

Gertrude Fernandez-Johnson

Branch Chief

(202) 502-6692

Gertrude.Fernandez.Johnson@ferc.gov

Course Instructors FERC Staff

Kareem Monib

Chemical Engineer & Environmental Project Manager

Kareem.Monib@ferc.gov

Hosanna Loreaux

Environmental Biologist

(202) 502-8670

Hosanna.Loreaux@ferc.gov

Construction Compliance

Keith Rodgers

Project Manager

(202) 502-6839

Keith.Rodgers@ferc.gov mailto:Hosanna.Loreaux@ferc.gov

Ariana Johnson

(503) 705-5116

Ariana.Johnson@erm.com

Course Instructors ERM Staff

Jennifer Lee

(503) 833-2966

Jennifer.Lee@erm.com

Environmental ReviewFacilitator/Environmental

Compliance

Tim Drake

(612) 840-9160

Tim.Drake@erm.com

Justin Casey

(850) 525-3755 justin.casey@erm.com

Environmental Review/

Environmental

Compliance

Environmental Review/

Environmental Compliance

Stephanie Pesek

(702) 340-2260

Stephanie.Pesek@erm.com

Safety Rules

Emergency alert system

Exits

Meeting location

Safety moment

Introduction to FERC

The FERC Environmental Review Process

• NGA Section 7/3: New Construction, Abandonment, and Import/Export Projects

• Section 2.55: Exclusion Projects

• Section 157: Blanket Certificate Projects

Developing Robust Resource Reports

Construction

• Traditional Construction

• Specialized Construction

Post-Construction

Course Agenda

Plan Ahead

Map Legend

Participate with an open mind

Ask questions

Observe break times

“Disconnect”

Turn off cell phones and other media devices

Keep side discussions to a minimum

Timeframes

Reference

Don’t Forget

Best

Management Practices

Closer Look

Questions

During this seminar you may email or text the instructors with questions:

David Hanobic: David.Hanobic@ferc.gov or 570-660-0456

Tim Drake: Tim.Drake@erm.com

Introduction to FERC and the Natural Gas Program

Organization

Independent federal regulatory agency

• Decisions subject to review by federal courts

• FERC implements a statute passed by Congress—the Natural Gas Act

The “Commission”

• Commissioners are nominated by the President and confirmed by the Senate

• Chairman is nominated by the President

• Only three commissioners can be from the same political party

Natural Gas Act

NGA Section 7 (Siting and Construction)

• Interstate pipelines

• Interstate storage

• Interstate LNG peakshaving facilities (and compliance)

NGA Section 3 Pipeline (Siting and Construction)

• Presidential Permits for border crossing facilities

NGA Section 3 LNG (Siting, Construction, and Compliance)

• LNG Import/Export Terminals

NGA Section 3 Pipeline or LNG (Commodity)

• U.S. Department of Energy – Public Interest Determination

FERC’s Natural Gas Program

Evaluate applications for facilities to import, export, transport, store, or exchange natural gas

Authorize siting, construction, and operation

Abandonment of facilities

Environment is just “one piece” of the Commission’s decision on a project

• Consideration of Public Convenience and Necessity (Section

7) or Public Interest (Section 3)

• Regulation of rates and tariffs

• Consider engineering/flows

Regulatory Path

Section 3 Exportation/Importation

15 USC §717b

Section 7(b) Abandonment

15 USC §717f (b)

Section 7(c) New Construction

15 USC §717f (c)

§2.55 Exclusions

18 CFR § 2.55

§157 Blanket Certificates

18 CFR § 157, Subpart F

Natural Gas Act FERC Regulations

The FERC Environmental Review Process

FERC & NEPA

Categorical Exclusion

Actions that will not have a significant effect on human environment

Actions that are procedural, administrative, compliance, or clarifying rules

Environmental Assessment

Pipeline and compression projects

LNG Facilities

Aids determination whether to prepare an Environmental Impact

Statement

Actions that do not pose significant impacts

Environmental Impact Statement

Major greenfield pipeline projects

New LNG Facilities

Projects with significant effects on human environment or where the effects are highly controversial

CEQ NEPA regulations - 40 CFR 1500-1508

FERC’s NEPA regulations - 18 CFR 380

The National Environmental Policy Act of 1969

EPAct 2005 – amended the Natural Gas Act

Planning a Project

Project

Development and Planning

Project Concept

Project Planning

Filing Type – Traditional or Pre-filing

Project Concept/Planning

Determine project purpose and need

Identify a base project

• Pipeline alignment

• Aboveground facility locations

• Interconnects

Begin public outreach efforts

Identify and contact agencies

• Potential resource issues

• Applicable permits

Develop project execution plans and schedules (e.g., plan field surveys)

Filing Types - Pre-Filing and Traditional

Pre-Filing Traditional

Applicability Required for LNG projects

Recommended if proposing an applicant-prepared EA or for complex and/or high degree of public interest projects

Used for smaller, less complex and lesser degree of public interest projects

FERC Involvement

Starts…

Before an Application is filed Once an Application is filed

Outreach Provides opportunity for FERC to receive early identification of stakeholders’ concerns and coordinate on resolution

Pre-Application stakeholder outreach is the responsibility of the Applicant

Ex-Parte Applicable No Often Yes

Pre-Filing Process

Pre-Filing Authorization

Stakeholder Outreach

NEPA Scoping

Resource Reports 1 - 13

18 CFR §157.21

Initial Consultation with FERC

Introduce project to FERC

Discuss environmental and non-environmental topics

Discuss status of ongoing activities (e.g., public outreach)

Determine regulatory path and NEPA document options

Submit drafts

• Pre-Filing Request Letter

• RFP for third-party contractors to prepare NEPA document

What is a 3rd Party Contractor?

A contractor that works for FERC, paid for by the application, but subject to the same rules as FERC staff (e.g., ex parte).

Refer to FERC’s guidance document “Guidelines for Applicant-

Prepared Draft Environmental Assessments”

Pre-Filing Participation Request Letter

• Request participation in the Pre-Filing process

• Reason for requesting Pre-Filing

• Acknowledgment that a complete Application and Environmental Report will be provided

Request Basics

• Project description, maps, and drawings

• Zoning & availability of property (LNG)

• Work completed to date

Project Details

Project Schedule

Key Milestone Activities Anticipated Schedule Time Period

Submit Request to Initiate Pre-

Filing Review Process March 13, 2015 180 days from Pre-Filing to

Application File Certificate Application September 2015

Commencement of Construction September 2016 2 months from FERC Order to

Construction Start

Pipeline In-Service January 2017 5 months from Construction

Start to In-Service

For illustration purposes only. Examples can be found on eLibrary.

Status of Work To Date

Land

•Tax and title records searches

•Landowner contacts

•Survey permissions

Public Outreach

•Community contacts

•Governmental contacts

•Open houses

•Other communications

Engineering

•Civil survey plans

•Routing

•Facility design

Environmental

•Agency contacts

•Environmental analyses

•Plans for biological, cultural, and paleo surveys

FERC’s “Suggested Best Practices for Industry

Outreach Programs to Stakeholders”

• Applicable authorizations or consultations

• Willingness to participate in Pre-Filing

• Proposed Application submittal and authorization schedule

Agency Involvement

• Interested parties and stakeholders contacted

• Public outreach plan description

Public Outreach

• Letter of Intent and Preliminary WSA Certification

• DOE authorization

LNG

Specific Items

Pre-Filing Request Letter - Proposals

Applicant-Prepared Draft EA or EIS

Third-Party Contractors (3PC)

Refer to FERC’s guidance document “Handbook for Using Third-Party

Contractors to Prepare Environmental Documents”

Develop Request for

Proposal (RFP)

FERC reviews draft PF request letter and RFP

Update RFP and circulate to consultants

Receives proposals

File PF request letter and ALL proposals to

FERC

FERC completes conflict of interest review and selects 3PC

Pre-Filing Approval Letter

Conveys acceptance into pre-filing process

Issuance of docket number at PF filing opens the public record

Third-party NEPA document consultant selected or acknowledgement of the applicant’s intention to file applicant-prepared draft EA or

EIS

• FERC staff can still request third-party contractor if needed

Pre-Filing Clock

The clock starts when the PF approval letter is issued

Identify locations for open houses and agency meetings

Execute contract for third-party NEPA contractor and inform stakeholders about the project

Minimum time to File

WSA (LNG only) and

FERC Application

Submit updated mailing list and file draft Resource Report 1 and summary of alternatives considered

*Calendar Days

P

F

A

P

R

O

V

A

L

* 180 Days

* 30 Days

* 14 Days

* 7 Days

Mailing Lists

Mailing address information provided for:

• Landowners (§157.6(d)(2)), other interested stakeholders, agencies, elected officials, tribes, non-governmental organizations, libraries, newspapers, and other local media outlets

Mailing lists provided to FERC staff in specified

• Excel format

Open Houses

Open to the public

Sponsored and hosted by the applicant

Informal setting

FERC or the third-party NEPA document contractor will attend

General discussions are not part of the public record

FERC site review possible

Number and locations of open houses are project specific

Notice of Scoping

Issuance of Notice of Scoping starts scoping period (prefiling or application)

Announces close of scoping period

Announces public session dates and locations (if held)

Requests agencies to indicate if they will act as cooperating agencies

Identifies stakeholders/ mailing list

What is Scoping? – Process for identifying those issues that need to be considered in the NEPA document

Scoping Sessions

Purpose is to solicit comments on the proposed project

Sponsored and hosted by FERC

Included as part of public record

• Public scoping session transcripts

Cooperating and Participating Agencies

During Pre-Filing, all agencies can participate the same because there is no ex parte (communication limits)

Cooperating Agency

• Has NEPA responsibility or expertise

• Post-Application ex parte doesn’t apply

• Advanced review of draft NEPA document

Participating Agency

• Post-Application provide comments on the record during the proceeding

• Non-party agency can discuss project with FERC, but FERC must disclose

Interagency Coordination Meetings

Applicant provides a project status update

FERC identifies agency roles and responsibilities for NEPA review

Agencies identify issues and concerns

Agency Roles and Responsibilities

FERC

Lead federal agency responsible for complying with NEPA

Establishes and maintains schedule for federal authorizations

Coordinates all federal authorizations and agency comments

Compiles agency actions and decisions into a consolidated record

Other Federal Agencies

Participate in Pre-Filing process as specified in Interagency MOU (2002)

Coordinate with FERC and other agencies to:

• identify and resolve issues early in the process;

• coordinate schedules;

• share data; and

• coordinate requests for additional information.

Pre-Filing Scoping Clock

Within 14 days of the end of the scoping comment period, respond to issues raised during scoping to fullest extent possible

Within 60 days of the end of the scoping comment period, file draft

Resource Reports 1-12

The clock starts when NEPA scoping period has concludedS

C

O

P

I

N

G

E

N

D

*Calendar Days

* 14 Days

* 60 Days

Be prepared for comment tracking and obtaining transcripts

Draft Resource Reports

General Project Description

Water Use and Quality

Fish, Wildlife, & Vegetation

Socioeconomics

Cultural Resources

Geological Resources

Soils

Refer to FERC’s guidance document “Guidance Manual for Environmental Report Preparation”

Land Use, Recreation &

Aesthetics

Air Quality & Noise

Alternatives

PCB Contamination

Reliability & Safety

Engineering & Design

Materials (LNG)

General Resource Report Requirements

Existing conditions

Direct, indirect, and cumulative impacts

• Construction

• Operation

• Abandonment

Proposed mitigation measures

• Applicant-committed

• Agency-recommended

Applicable agency correspondence

Reference list

FERC may require a revised set of draft resource reports if the first drafts are not complete which can have significant schedule impacts

18 CFR §380.12(c)

Resource Report Recommendations

Divide agency correspondence by appropriate resource report, agency, and in chronological order, not a single mass tab filed under RR1

• Assists PM and FERC staff to review only their respective agency correspondence in order

• Use electronic bookmarks

Use cross references to other resource reports instead of repeating information

• Avoids inconsistencies and simplifies updates

Provide redacted versions of Privileged and Confidential or Critical Energy Infrastructure Information

Information Types ri vi le ge d Not released to the public

Affected landowners

Cultural resource data & reports

Proprietary information

Detailed designs

Can be obtained from applicant or by signing

FERC NDA

Submit less detailed drawings for NEPA document

Unrestricted distribution

Published on FERC’s e-Library website

Included in NEPA document

C

EI

I

Controlled Unclassified Information (CUI)

Public

FERC Comments/Data Request

FERC will issue comments on draft RRs during Pre-Filing

• FERC comments on RR1 and alternatives incorporated into filing5 of complete set of draft RRs

• FERC may request written response (but not typical)

• FERC may request comments to be incorporated into next round of draft RRs, if a second draft of a RR is requested in PF

• Typically comments are addressed in application, when filed

Once an application is filed, FERC will issue a data request for missing, incomplete, or inconsistent information

• The applicant will respond to each question

Application Review

Application Filing

Post Application

18 CFR §157, Subpart A

Applicant will

• Submit requests for other federal authorizations before or concurrent with FERC Application

• Include Exhibit H (LNG) or Exhibit J (pipelines) in FERC Application

• Authorization needed and issuing agency

• Submittal date and anticipated approval date

• Justification for requests not yet submitted and anticipated submittal date

Other Federal Authorizations

Application Clock

The clock starts when the CP docket number is issued

~Business Days * Calendar Days

C

D

O

C

K

E

T

Place copies of Application in libraries/publicly accessible central locations in each county throughout project area

FERC issues Notice of Application in Federal Register

Publish Notice twice in a general circulation newspaper in each county

File updated landowner list

Mail landowner notification packets to mailing list (within 3 days of issuance of Notice)

* 30 Days

~ 7-10 Days

~ 3 Days

~ 3 Days

* 14 Days

Direct Mailing List

Other Stakeholders/ Interested Parties

Residences within 50’ of construction work areas

Jurisdictional and permitting agencies

Local and state officials

Tribes

As identified by FERC staff

Affected Landowners

Crossed

Abutting existing ROWs or where there is a house within 50’ of an adjacent property

Properties within 0.5 mile of a new compressor station

Affected by surface disturbance within an existing gas storage field boundary

18 CFR §157.6.(d)

Notice of Application

CP docket number assigned

Announces submittal of Application

Describes process for becoming involved in the FERC’s review of the project

Notifies landowners of project timing

Announces time period for intervention

What is an Intervenor?

https://www.ferc.gov/resources/guides/how-to/intervene.asp https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.ferc.gov%2Fresources%2Fguides%2Fhow-to%2Fintervene.asp&data=02%7C01%7CLisa.DiNicolantonio%40erm.com%7Cd068ca19c1114885e50008d70546d9ee%7Cf2fe6bd39c4a485bae69e18820a88130%7C0%7C0%7C636983674176092824&sdata=qSHasXGGBSTFmtcdcHGLDQRXt457wl%2FVoMFV9zj1q4Y%3D&reserved=0 https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fwww.ferc.gov%2Fresources%2Fguides%2Fhow-to%2Fintervene.asp&data=02%7C01%7CLisa.DiNicolantonio%40erm.com%7Cd068ca19c1114885e50008d70546d9ee%7Cf2fe6bd39c4a485bae69e18820a88130%7C0%7C0%7C636983674176092824&sdata=qSHasXGGBSTFmtcdcHGLDQRXt457wl%2FVoMFV9zj1q4Y%3D&reserved=0

Ex Parte

Once application is filed, communication must be:

• in a public manner (no private meetings or calls)

• “on the record” (part of decisional file / equal opportunity)

Assures fairness and transparency in the development of the record that FERC will use for its decision

Certain exemptions, but they need to be disclosed

Procedural matters are not ex parte

Common Prohibited Communication Exemptions:

• from non-party elected official

• with non-party Federal, state, local or tribal official

• related to NEPA documentation, and prior to FEIS/EA

• communication with non-party landowner

Notice of Intent to Prepare an EIS

Requests comments on the scope of issues, including potential alternatives and impacts, and any relevant information, studies, or analyses of any kind concerning impacts affecting the quality of the human environment.

Summarizes the Proposed Project, Purpose and Need, and Expected Impacts

Serves as the Schedule for Environmental Review

List of federal permits

May announce scoping sessions if not already conducted

Can be issued within the NOI for an EIS

Issued separately for EA level projects

Can be amended for various reasons:

• if information not provided

• project changes/amendments

Notice of Schedule for

EA Process – FERC Issued Notices

If Pre-Filing Is Used

During Pre-Filing

Notice of Scoping

After Application Filed

Notice of Application

Notice of Schedule for the Preparation of an EA

• Starts CEQ 1-year timeline

• 90-day federal agency action/decision target date

If Pre-Filing Is NOT Used

All Notices after Application Filed

Notice of Application

Notice of Scoping

Notice of Schedule for the Preparation of an EA

• Starts CEQ 1-year timeline

• 90-day federal agency action/decision target date

EIS Process – FERC Issued Notices

If Pre-Filing Is Used

During Pre-Filing Notice of Scoping

After Application Filed Notice of Application

Notice of Intent to Prepare an EIS/Notice of Schedule

If Pre-Filing Is NOT Used

All Notices after Application Filed

Notice of Application

Notice of Intent to Prepare and EIS/Notice of Scoping/ Notice of Schedule

NOI (includes NOS)

NOI is the start of the NEPA process

Opens a comment period

States month and year Draft EIS is anticipated to be issued

States issuance date of Final EIS

Starts CEQ 2-year timeline

States 90-day federal agency action/decision target date

NEPA Review Process

EA

Draft EIS

Final EIS

18 CFR §380

From Resource Reports to NEPA Document

Resource reports filed with application are reviewed and then used as the basis for the EA/EIS

Staff will ask “data requests” for missing information

FERC conducts independent analysis and draws conclusions about impact based on proposal

Staff often has environmental recommendations (bolded in NEPA doc)

Environmental Assessment

There is no draft EA

30 day comment period

Company should respond to substantive comments received on an EA

FERC will address comments within the Order

Order is official Finding of No Significant Impact

Draft EIS

If Pre-Filing is used - FERC staff and its third-party contractor begins work prior to the Application submittal

After Application Filing - Once all necessary information has been received, FERC estimates it will take four months to issue the Draft EIS

Addresses comments received in response to NOI/scoping

Notice of Availability of Draft EIS

Provides FERC Staff’s conclusion on the potential environmental impact of the project

Announces public comment sessions

Issuance of EPA’s subsequent Notice of Availability begins 45-day comment period

Draft EIS Comment Sessions

Sponsored and hosted by FERC

Meeting transcripts included as part of public record

Similar format to scoping sessions

Discussion with FERC staff limited to process

Applicants typically do not participate

Final EIS

FERC estimates 4 months from issuance of Draft EIS to issuance of Final EIS (assuming “prior to close of comment period recommendations” have been addressed)

Addresses comments received on Draft EIS

Final EIS is FERC’s final environmental document

FERC and EPA will issue Notices of Availability in Federal Register

Knowledge Check 1

Using our proposed Project with the variables described below, should pre-filing or traditional filing be used:

1. The Project involves constructing all facilities seen on the map.

2. The Project only involves looping the lateral. There are no homes near the lateral and the route is 90% agricultural, with the exception of the crossing of the Yarrat State Forest, but it would be crossed using a drill.

3. The Project involves looping the entire mainline and building the compressor station near Moto. The mainline crosses the Moto business district and might prevent access to some businesses.

4. The LNG terminal is existing, and the Oceanview Pipeline Company wants to add another liquefaction train.

5. The Project only entails installation of the meter stations and additional compression through software upgrades.

Post-NEPA Document Process

Decision Order

Post-Certificate

18 CFR §380

The Commission Decision/Order

FERC staff works to help address public comments

Commissioners vote on project and issue an Order:

• Notational

• Commission Meeting

Order identifies intervenors (if not done before)

Order summarizes project description, open season results, proposed rates, tariffs, capacity, environmental impacts and alternatives evaluated

Order identifies Conditions

Order indicates timeframe applicant has to complete project

Section 7(h) of the Natural Gas Act conveys right of federal eminent domain is identified in Order

Applicant “accepts” Certificate within 30 days

Order Conditions

Standard Conditions

• Commitment and acknowledgement statements

• “Construction” alignment sheets

• Implementation plan

• Post Construction Requirements

• Status Reports

Other Common Conditions

• FERC’s approval required to begin service

• Environmental complaint resolution program

• Documentation of applicable federal authorizations

Knowledge Check 2

As a third-party contractor working for FERC, would you: (Yes or No)

1. Go to eLibrary to look for templates of current FERC notices you are being asked to prepare?

2. Make edits to FERC staff’s edits that change the document’s content and meaning?

3. Call the applicant to discuss issues during the NEPA review?

4. Provide a schedule to the applicant that is not public for budgeting?

5. Do something that is out of scope but requested by FERC?

6. Follow the FERC Style Guide for writing?

Countdown to Construction

Order 871

Implementation Plan

Notice to Proceed

Modifies 6/2020 rule prohibiting construction until FERC acts on rehearing requests

Construction prohibited until:

• A qualifying rehearing request is no longer pending; or

• 90 days after the date that a rehearing request is denied by operation of law

Limited to cases where rehearing request raises issues reflecting opposition to project construction, operation, or need.

Section 7(c) Orders stayed during rehearing pd. and pending

Commission resolution of any timely requests for rehearing filed by landowners

• Subject to the same 90-day time limitation or a showing by the pipeline developer that the stay should be lifted.

Order 871B – RM20-15-001

Order 871

Commission issues an NGA section 7 or 3 Authorization;

It will not authorize construction during the 30-day rehearing period , when intervenors can request rehearing

Order 871 no longer applies

FERC can authorize construction

If no qualifying rehearing request filed

If a qualifying rehearing request filed

Continued next slide

Within 30 days, issues a merits order denying rehearing

871 no longer applies

FERC can authorize construction

Within 31 days, issues a notice stating it will not issue a further merits order

Rehearing is deemed denied

871 no longer applies

FERC can authorize construction

Within 31 days, issues a notice or an order stating it will issue a further merits order

871 applies

For no more than 90 days after rehearing may be deemed denied, FERC cannot authorize construction

Issues an order granting rehearing and revoking the

Authorization Order

871 no longer applies but revocation means construction cannot be authorized.

Further proceedings are governed by order revoking Authorization

If a qualifying rehearing request is filed, the

Commission has four options

Continued from previous slide

Implementation Plan

Typically submitted within 60 days of acceptance of Certificate

Identifies how all environmental conditions will be satisfied

Includes applicant-committed plans, reports, documents, and clearances

Provides opportunity for changes

Describes how environmental requirements will be communicated

• Incentives/penalties

Notice to Proceed (NTP) Request

Applicant must submit a NTP request to begin construction

Do not request authorization to construct unless:

• All applicable permits and authorizations have been obtained

• All pre-construction requirements have been fulfilled

If the entire project is not ready to go to construction, a partial NTP can be submitted for discrete spreads, segments, or facilities

• Must be able to demonstrate independent utility from the rest of the Project

Show how construction will access requested areas without traversing unauthorized areas

NTP Request for Discrete Facilities

If requesting authorization for only part of the project

Identify which spreads, facilities, etc. you want authorized

• Describe locations and mileposts

• Include all necessary work areas in the request

• Access roads

• Contractor yards

• ATWS or staging areas

NTP Request Letter

Identify what relevant information is attached

Describe when other information necessary to issue the NTP was filed

Allow time for the FERC’s review

NTP Authorization Letter

Says what is approved for construction

Indicates what is not being granted

Knowledge Check 3

The project has been approved by the Commission. The applicant has filed its Implementation Plan and requested a Notice to Proceed with Construction. What would FERC do in the following situations (grant or deny)?

1. The applicant has all of its federal permits.

2. Section 106 is complete for the LNG terminal, but not the associated pipelines.

3. The lateral is partially in a different state. All permits are in hand for the mainline, but the lateral still lacks a permit.

a) The lateral and mainline are dependent on each other for operating the system and delivering gas to the LNG terminal.

b) The mainline has independent utility and could function on its own without the lateral project.

c) The Company is only missing a local township building permit on the lateral.

2.55 and Blanket Certificate Projects

2.55 and Blanket Certificate Projects

Pre-filing (if utilized) (PF Docket)

Required for LNG, Voluntary for pipelines

Certificate Filing (CP Docket)

Environmental Assessment or Impact Statement produced

2.55 Projects

2.55 a

Auxiliary

Facilities

2.55 b

Replacements

Blanket

Certificate

Projects

Automatic

Authorization Prior Notices

Certificated

Facilities

Pre-Certificate

Section 2.55 – Auxiliary Installations and Replacements

Subject to the FERC’s NGA jurisdiction

No new Certificate authority required

Company must comply with environmental restrictions of the original Certificate and other applicable federal laws and landowner agreements

• FERC staff may conduct compliance inspections

Operations/Maintenance activities that result in facility replacement, or the addition of auxiliary facilities may become 2.55 projects

2.55(a) Installations

On Certificated or proposed transmission pipeline systems

Auxiliary or appurtenant facility

Installed to obtain more efficient or economical operation

2.55(a)(3) allows abandonment & replacement of 2.55 auxiliary facilities, if there is no impact on customers

Typical 2.55 Auxiliary Installations

Valves and drips

Pig launchers/receivers

Yard and station piping

Buildings

Gas cleaning, cooling, and dehydration equipment

Water pumping, treatment, and cooling equipment

Electrical and communication systems

Residual refining equipment

Cathodic protection equipment

2.55(b) Replacements

On a Certificated transmission pipeline system

Replaces existing facility that is or soon will become physically deteriorated or obsolete

Substantially equivalent in designed delivery capacity

2.55(b) replacement facilities and 2.55 (a) facilities that do not meet

2.55(a)(3) requirements may be abandoned under 157.216 of the blanket certificate regulations

All activities must occur within

Certificated rights-of-way and previously used workspaces

Guidelines where the original work area is unknown

Construction ROW width based on pipe diameter

• <75 feet for >12” diameter

• <50 feet for <12” diameter

Reasonable extra workspace at feature crossings

(e.g., roads, railroads, streams) depending on site-specific conditions

Work Area for 2.55 Projects

18 CFR §2 Appendix A

Landowner Notification Requirements for

2.55 Projects

Landowners are those that are directly affected

Notification required at least 5 days before work is performed except in cases of:

• Emergency

• Where no soil is disturbed

• Landowner has waived requirement

• Work would occur within fence line of company facility

FERC Notification Requirements for 2.55(a) Projects

Is the 2.55(a) work on an existing facility?

Yes

Is the 2.55(a) work on a Certificated facility not yet in service?

No

Is the 2.55(a) work on a proposed Section

7 facility pending before FERC?

No FERC advance notification required

Yes

No Notify FERC 30 days in advance of work, include description of auxiliary facilities and location

Include notification in the FERC

Section 7 application

Yes

No 2.55(a) not applicable

FERC Notification Requirements for 2.55(b) Projects

Budget should include materials, planning, & construction

Cost limits on Table 1 in §157.208(d) are adjusted annually

Project budget meets first tier cost limit on Table 1 in §157.208(d)

Emergency project requiring immediate replacement, regardless of cost

No advance notification required if

Project is not an emergency & budget exceeds first tier cost limit

30-day advance notification required if

Information Required for 2.55(b) FERC Notification

Brief description of the replacement facilities, including estimated costs

Current USGS 7.5 minute topographic map

Description of procedures for erosion control, wetland & waterbody crossings, and revegetation & maintenance

Photos may be helpful

18 CFR §2.55(b)(3)

FERC Reporting Requirements

No Reports Required No Reports Required

• During or at the completion of construction

Must be reported in annual report by May 1 except for where:

• Notification given in advance

• Aboveground facilities that do not involve ground disturbance or compression

Annual report must include the same project information as is required for advanced notification projects

2.55(b) Replacements2.55(a) Installations

Knowledge Check 4

Oceanview Pipeline Company is planning to install a new groundbed on a cathodic protect unit on its existing mainline.

All excavation and installation activities will take place within the permanent pipeline right-of-way.

1. Can Oceanview complete this installation under 2.55(a)?

2. Is landowner notification required? If so, how many days in advance of the work?

3. Does Oceanview need to provide advanced notification to FERC before installing the cathodic protection system?

4. Is Oceanview responsible for providing an annual report?

Bonus Question: What would happen if Oceanview wanted to install the cathodic protection system perpendicular to the right-of-way?

Knowledge Check 5

Blue = Property line for land that Oceanview Pipeline Company owns

Red = Fence line of compressor station Oceanview Pipeline

Company operates

Knowledge Check 5

1. Can Oceanview replace compressor units within the red fence line under 2.55? If so, using 2.55(a) or 2.55(b)?

2. Can Oceanview use workspace within their blue property line, but outside of the red fence line to perform the replacement activity?

3. Does Oceanview need to provide advanced notification to FERC and/or landowners before replacing the compressors?

4. Is Oceanview responsible for providing an annual report?

Oceanview Pipeline Company plans to replace 2 obsolete compressor units at this station with 2 new, more efficient units.

The existing units are 15,600 horsepower each. The new units are 15,800 horsepower each. The estimated cost is $26M.

Knowledge Check 6

Knowledge Check 6

Oceanview Pipeline Company needs to replace pipe at the yellow star on its existing pipeline. Oceanview has access to its pipeline from the green arrow for the nearest public road crossing. A landowner has offered direct access to the anomaly dig site from his private driveway (blue arrow) to avoid traveling down the right-of-way and disturbing multiple other landowners.

Can Oceanview use the landowner’s blue access road under 2.55(b)?

Section 157, Subpart F – Blanket Certificate Projects

Certain “pre-approved” activities do not require an individual Certificate

A FERC environmental review will be conducted

Project must comply with

• Other applicable federal and state laws

• FERC Plan and Procedures (75-foot ROW)

• Construction time limit of one year if ground disturbance

Blanket Certificates are typically requested in conjunction with 7(c) filings for major projects or systems

Types of Blanket Projects

Does not require additional FERC approval

Subject to first tier cost limits

No formal public protest process

Automatic

Must request approval to use authorization

Subject to second tier cost limits

Project noticed in Federal Register and subject to public protest

Prior Notice

Cost limits on Table 1 in §157.208(d) are adjusted annually

18 CFR §157

Authorizations

Automatic Prior Notice

Cost

Limits

Apply

Requires

Env. Report

.208 Misc. Rearrangement Yes Yes Yes Yes

.209 Temporary Compression Yes No Yes No

.210 Mainline Facilities No Yes Yes Yes

.211 Delivery Points Yes Yes No No

.212 Synthetic/LNG Facilities No Yes Yes Yes

.213 Storage Field Facilities Yes Yes Yes Yes

.214 Increase Storage

Capacity

No Yes No No

.215 Storage Testing/Develop. Yes No Yes* No

.216 Abandonment Yes Yes Yes Yes

.217 Change in Rate Schedule Yes No No No

.218 Customer Name Change Yes No No No

Types of Projects * See Table II limits

Limitations

Projects are not eligible to use blanket authorization if they will:

Affect cultural resources

Adversely affect federally listed species or designated critical habitat

Exceed compressor station noise limits

55 dBA Ldn at NSAs

Exceed cost limits

Be within 0.5 mile of a nuclear plant

Significantly impact sensitive environmental resources

Projects involving nighttime drilling should attempt to meet the 55 dBA noise limit at existing NSAs

Blanket Project Landowner Notification Requirements

Prior Notice

• Within 3 business days following issuance of docket number or during easement negotiations, whichever is earlier

Affected landowners defined in 18 CFR 157.6 and include more than just owners of directly affected properties

Automatic

• 45 days prior to construction or during easement negotiations, whichever is earlier

The notification period for automatic authorizations can be waived by the affected landowner or in cases where emergency activities are required to restore service

FERC Notification Requirements

Automatic

• No advanced notification required

Prior Notice

• Submit request for authorization at least 60 days prior to construction

Company information

Docket number(s)

Statement of compliance

Form of Notice for Federal Register

Required activity-specific information

Environmental clearances

Prior Notice – Content of Environmental Report

Description of facilities

Maps of facilities & sensitive resources

Concise assessment of conditions/impacts

Mitigation to avoid significant impacts

Document compliance with ESA, NHPA, CZMA

How compressor station will comply with SIPs per CAA

How HDDs will meet goal of 55 dBA at NSAs

FERC Reporting Requirements

No reports required during construction

File annual report by May 1

Automatic Submit weekly EI reports during construction

File annual report by May 1

Prior Notice

Content of FERC Annual Report

Actual costs (AA and PN)

Construction and in-service dates (AA)

Required activity-specific info. (AA)

Written & photo documentation of restoration progress representative of all habitats and land uses crossed

(AA)

Issues and corrective actions (AA)

Compressor station noise surveys (AA)

Required content of the annual reports can be found in 18 CFR §157.207 & 157.208(e)

Knowledge Check 7

Oceanview Pipeline Company is an existing interstate pipeline company that plans to build a pipeline that is 6 miles long and would cost $10 million.

1. The U.S. Fish and Wildlife Service determined that the Project is “not likely to adversely affect” any federally listed species, and the State Historic Preservation Office indicated it would have “no adverse effect” on cultural resources. Can Oceanview use the Blanket Program?

2. This is a loop of the mainline with no significant impacts.

Which Blanket Program process can Oceanview use:

Automatic Authorization or Prior Notice?

3. This is a lateral off of the mainline with no significant impacts. Which Blanket Program process can Oceanview use: Automatic Authorization or Prior Notice?

Knowledge Check 8

Oceanview Pipeline Company is an existing interstate pipeline company that plans to install 10 miles of pipeline at an estimated cost of $39.1 million. Oceanview submits a Prior Notice Request to FERC and receives no protests over the 60-day protest period.

1. Can Oceanview begin construction?

2. During construction, the contractor needs more workspace for a waterbody crossing. The landowner has agreed to the extra workspace. Can Oceanview begin using the extra workspace?

3. While preparing the Annual Report to FERC, Oceanview learns that the actual cost of the Project was $40.1 million. Should Oceanview cap the amount reported in the annual report to the Prior Notice limit of $39.7 million?

Knowledge Check 9

Oceanview Pipeline Company plans to replace 1 mile of exposed pipeline at a waterbody crossing for an estimated cost of $3 million. Oceanview plans to use the Automatic Authorization program. During project planning, Oceanview determines it needs an extra temporary workspace within 50 feet of the waterbody to facilitate the pipeline removal and replacement. Can Oceanview proceed to use the space under the Automatic Authorization Program?

Developing Robust Resource Reports

The FERC Environmental Review Process

2.55 and Blanket Certificate Projects

Developing Robust Resource Reports

Resource Reports

Form the heart of the environmental application

Minimum filing requirements vs complete resource reports

Public, CEII, Privileged

Most Common Overall Data Requests

Consistency:

• acreage numbers, including clear definition of temporary vs. permanent

• construction methods and committed mitigation measures

Address:

• comments within the resource reports

• commitment to implement agency-recommended measures (if not, why not)

Lack of source information

Conclusions not supported by data

Revisiting Our Project

Project Schedule

General and Special Construction and

Restoration Methods

Purpose and Need

Mapping

Permits and

Authorizations

Description of Proposed Facilities

Non-jurisdictional

Facilities

18 CFR §380.12(c)

RR 1: General Project Description

Identify in a table:

• the location, milepost range, length, and diameter of each pipeline segment

• the location, milepost of each aboveground facility including amount of new or additional compression

If the scope of project shrinks or expands, explain the necessary facility modifications

Clearly and consistently state the purpose and need for the project

Provide sufficient specificity to define the potential range of alternatives

Proposed Facilities and Project Purpose and Need

Overview of Land Acreages

Facility County Land Affected During

Construction (acres)

Land Affected During

Operation (acres)

Pipeline Rights-of-Way a

Line 3A Williams 714.2 374.8

Line 3B McKenzie 185.1 123.5

Additional Temporary Workspace

Line 3A Williams 79.1 0.0

Line 3B McKenzie 10.1 0.0

Access Roads

Temporary access roads Multiple 54.9 0.0

Permanent access roads Williams 3.7 3.7

Aboveground Facilities b

3A Compressor Station Williams 12.0 10.9

Block Valves Multiple 0.0 0.0

Pig Launcher/receivers Multiple 0.0 0.0

Total 1,059.1 512.9 a Based on a 100-foot-wide construction right-of-way and a 50-foot-wide permanent.

b Block valves and pig launcher/receivers will be constructed entirely within the permanent pipeline rights -of-way.

Construction Methods

Describe the typical construction sequence

Provide sufficient detail for each activity to describe what is being proposed

Describe each proposed special construction method. For example:

• wetland & waterbody crossings

• road and rail crossings

• residential construction

Include cross references for methods described in more detail in other resource reports

Revised versions issued May 2013 (Docket No. AD12-2-000)

Baseline mitigation measures for construction and maintenance activities at jurisdictional facilities

Any proposed modifications from the Plan and Procedures must be fully described and justified

FERC’S Plan and Procedures

Upland Erosion Control, Revegetation and Maintenance Plan

Wetland and Waterbody Construction and Mitigation Procedures

See http://www.ferc.gov/industries/gas/enviro/guidelines.asp. Also referred to at

18 CFR 380.12(i)(5), 380.12(d)(2), and 18 CFR 157.206(b)(3)(iv).

http://www.ferc.gov/industries/gas/enviro/guidelines.asp

Project Schedule and Timing

Provide a schedule for each proposed facility

Indicate year(s) and months of construction

Include additional schedule details where appropriate (e.g., the dates of proposed in-street construction)

Update the schedule if the project plans change

Provide the days of the week and specific hours each day of construction by activity and note those that may occur outside that time

• Discuss if work is proposed over the weekends

• Generally, activities should be limited to daylight hours (exceptions such as hydrostatic testing, time-limited stream crossings, completion of tie-ins, required equipment maintenance, etc.)

List applicable permits and permitting agencies

Indicate the status of each permit

Periodically update the table during the FERC’s review

Permits and Authorizations

Permit & Consultation Summary Table

Agency Permits and

Consultations

Anticipated

Permit Submittal

Date

Anticipated

Permit Receipt

Date

FEDERAL

Federal Energy Regulatory

Commission (FERC) o Office of Energy

Projects (“OEP”)

Required Permit:

o Certificate of

Public

Convenience and Necessity o National

Environmental

Policy Act

(NEPA) –

Environmental

Impact

Statement

Review o Pipeline abandonment under Section

7(b) of the

Natural Gas Act

Ini tiate Pre-Filing

– Feb. 20, 2015

File Formal

FERC

Application –

Sept., 2015

Receive FERC certificate –

November 2016

U.S. Army Corps of Engineers

(USACE)

o New England

District –

Regulatory Div ision o New York District –

Regulatory Div ision

Required Permit:

o Section 10

Rivers and

Harbors Act o Section 404

Clean Water

Act (CWA)

Sept. 2015 Jan. 2017

Reminder: All federal authorizations should be filed at the time of the FERC application, or discussed why it was not

Include facilities in the cumulative impact discussion

Non-Jurisdictional Facilities

Describe each facility and provide map(s)

Provide correspondence with other agencies (ESA and Section 106)

Identify federal permits required and who has regulatory authority

Topographic maps

Photo-based alignment sheets

Right-of-way configuration & cross section drawings

Plot/site plan

Mapping

Topographic Map

Minimum Scale: 1:24,000/1:25,000 covering 0.5-mile-wide corridor

Key Elements: all project facilities, work areas, and access roads; mileposts

Photo-Based Alignment Sheet

Minimum Scale: 1:6,000 covering 0.5-mile-wide corridor

Key Elements: all project facilities, work areas, and access roads; temporary and permanent ROW; mileposts; survey corridor; resources and features crossed; property boundaries; tract numbers

Recommend clear identification of wetlands and waterbodies using color coding

ROW Configuration & Cross-Section Drawing

Minimum Scale: none

Typical Drawings: temporary and permanent ROW configurations;

collocation, overlap, and offsets; road, railroad, utility, waterbody, and wetland crossings

For illustration purposes only.

Examples can be found on eLibrary.

Facility/County Mileposts Length

(mi.)

Existing ROW

Relationship of

Proposed

Pipeline to

Existing ROW

Overlap of

Proposed ROW with Existing

ROW (ft.)

30-inch pipeline

Calumet County 0.0 – 6.5 6.5 ATC Power Line West 50

6.5 – 8.9 2.4 None N/A N/A

8.9 – 12.3 3.4 ATC Power Line North 50

12.3 – 16.0 3.7 ANR Pipeline West 25

16.0 – 18.2 2.2 ANR Pipeline East 25

20-inch pipeline

Brown County 0.0 – 3.3 3.3 None N/A N/A

3.3 – 3.5 0.2 South Overland

Road

East 0

Total Collocated 16.0 (73.7%)

Right-of-Way Orientation and Overlap

For illustration purposes only. Examples can be found on eLibrary.

Additional Options May Include:

Insert additional line items for greenfield segments to avoid gaps in mileposts

Insert additional column identifying applicable ROW configuration drawing

Plot Plan/Site Plan

Minimum Scale: 1:3,600

Key Elements: non-linear construction areas, temporary and permanent disturbance, access roads, mileposts, associated non-jurisdictional facilities, fence line, facility configuration (avoid labeling sensitive components such as control room)

For illustration purposes only.

Examples can be

Additional Considerations

Additional Information Stakeholder Outreach

• Description of outreach activities conducted and summary of open houses

Cumulative Impacts

• Stand-alone analysis or addressed by resource in each resource report

• Evaluates the past, present, and future development and the potential for additive or synergistic effects

• The area of potential cumulative impact varies depending on the resource

Common Omissions

Inconsistent or inappropriate purpose and need

Location and overlap relative to other rights-of-way

Inadequate maps and discussion of non-jurisdictional facilities

Updated mailing list and status table of permits

Inadequate description of special construction methods/timing

Inconsistent accounting of acreages

Knowledge Check 10

What would FERC ask if Oceanview Pipeline Company presented the following statements in Resource Report 1?

1. The Project’s purpose is to provide energy to Florida.

2. We plan to only use standard construction techniques.

3. The Project’s impacts are minor and would not be detectable;

therefore, we are not evaluating cumulative impacts.

4. We’re planning on having the Project in-service by 2027.

5. We’re planning daytime construction (7am to 10 pm).

6. We used a different scale for our alignment sheets.

7. We do not plan to apply for any local permits.

8. We haven’t applied for our federal permits because the U.S. Army

Corps of Engineers asked us to hold off filing for six months.

9. We cross some federal land.

RR 10: Alternatives

S it e lt e rn a ti ve sR o u te e rn a ti ve s

N o

-A c ti o n e rn a ti ve

Consequences

Environmental impacts avoided

S ys te m e rn a ti ve s New pipeline system

Existing pipeline system(s)

Alternative configurations

Additional compression

Existing system interconnections

Major route alternatives

Route variations or deviations

Landowner and stakeholder requests

Major aboveground facility sites

18 CFR §380.12(l)

Route Alternative Map

Minimum scale: none

Key Elements: proposed route and facility locations, alternate route and facility locations

For illustration purposes only. Examples can be

Routing Factors

Length and acres of construction and operation impact

Collocation vs. greenfield

Quantity and quality of affected wetlands & waterbodies

Land uses (e.g., forest land, developed land, etc.)

Nearby residences and other structures

Environmental Justice communities

In-street construction

Public lands

Soils/geological concerns

T&E and cultural resource considerations

Constructability and other engineering factors

Siting Factors

Property size

Availability of land

Acres of construction and operation impact

Land uses (e.g., forest land, developed land, etc.)

Quantity and quality of affected wetlands & waterbodies

Noise and proximity of NSAs and densely populated areas

EJ communities

Soils/geological concerns

Air quality issues

Visibility and visual resources

T&E and cultural resource considerations

Access road length and street access

Constructability, slope, and other engineering factors

Comparison Item Unit Proposed Route Alt. 1 Route Alt. 2

Facility Requirements

Pipeline Length miles 172 206 218

Greenfield Construction miles 2.5 17.4 23.1

Compression hp 41,200 36,700 36,100

Land Requirements

Construction acres 2,080 2,508 2,651

Operation acres 1,255 1,510 1,590

Environmental Considerations

Waterbodies no. 125 132 158

Wetlands acres 8.9 20.9 21.8

Public Lands no. 0 2 1

Forested Areas acres 14.3 15.6 15.6

Developed Land

Structures within 100’ acres no.

20.6

19.2

21.3

Typical Route Alternatives Comparison Table

Alternatives Analysis

Common Omissions

Inconsistent scope relative to purpose & need statement

Insufficient documentation of initial siting evaluations and discussion of alternatives adopted during pre-filing

Inadequate evaluation of system alternatives

Table omissions/inconsistencies

Inadequate maps (labeling & MPs)

Inadequate scope of analysis (e.g., failure to address alternatives identified by stakeholders)

Appropriate comparison of routes

Impact Analysis

Reasoning for alternative (i.e., what is it trying to avoid or minimize?)

Description of alternatives

Written & tabular comparison to proposed action

Discussion and conclusions

Knowledge Check 11

A landowner recommended the red alternative to the Oceanview Pipeline Expansion Project during scoping, but has not allowed access to their property. The landowner indicates the alternative would avoid sensitive areas around the Milinga Reservoir.

What would FERC expect in the following situations?

1. Oceanview dismisses the alternative without an analysis because they have already completed surveys.

2. Oceanview has provided a table with its survey data, comparing it to the desktop data available for the alternate route.

3. Oceanview’s analysis concludes an alternative is better.

4. Oceanview shows an analysis that compares the alternative from different starting and ending points as compared to the proposed route, showing the alternative to have much greater impact.

RR 2: Water Use and Quality

18 CFR §380.12(d)

Wetlands

Federal jurisdiction

Temporary vs.

Permanent Impacts

Mitigation

Modifications from FERC Procedures

Aquifers

Wellhead protection…