[Code of Federal Regulations]
[Title 18, Volume 1]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 18CFR157.208]

[Page 534-536]
 
           TITLE 18--CONSERVATION OF POWER AND WATER RESOURCES
 
  CHAPTER I--FEDERAL ENERGY REGULATORY COMMISSION, DEPARTMENT OF ENERGY
 
 PART 157_APPLICATIONS FOR CERTIFICATES OF PUBLIC CONVENIENCE AND NECESSITY 
 
  Subpart F_Interstate Pipeline Blanket Certificates and Authorization 
  Under Section 7 of the Natural Gas Act for Certain Transactions and 
                               Abandonment
 
Sec. 157.208  Construction, acquisition, operation, replacement, and 
miscellaneous rearrangement of facilities.

    (a) Automatic authorization. If the project cost does not exceed the 
cost limitations set forth in column 1 of Table I, under paragraph (d) 
of this section, or if the project is required to restore service in an 
emergency, the certificate holder is authorized to make miscellaneous 
rearrangements of any facility, or acquire, construct, replace, or 
operate any eligible facility. The certificate holder shall not segment 
projects in order to meet the cost limitations set forth in column 1 of 
Table I.
    (b) Prior notice. If the project cost is greater than the amount 
specified in column 1 of Table I, but less than the amount specified in 
column 2 of Table I, the certificate holder is authorized to make 
miscellaneous rearrangements of any facility, or acquire, construct, 
replace, or operate any eligible facility. The certificate holder shall 
not segment projects in order to meet the cost limitations set forth in 
column 2 of Table I.
    (c) Contents of request. In addition to the requirements of Sec. 
157.205(b), requests filed for activities described under paragraph (b) 
of this section shall contain:
    (1) A description of the purpose of the proposed facilities 
including their relationship to other existing or planned facilities;
    (2) A detailed description of the proposed facilities specifying 
length, diameter, wall thickness and maximum operating pressure for 
pipeline; and for compressors, the size, type, and number of compressor 
units, horsepower required, horsepower existing and proposed, volume of 
fuel gas, suction and discharge pressure and compression ratio;
    (3) A USGS 7\1/2\ minute series (scale 1:24000) topographic map (or 
map of equivalent or greater detail, as appropriate) showing the 
location of the proposed facilities, and indicating the location of any 
sensitive environmental areas within one-quarter mile of project-related 
construction activities;
    (4) A map showing the relationship of the proposed facilities to the 
applicant's existing facilities;
    (5) A flow diagram or comparative study showing daily design 
capacity, daily maximum capacity and operating pressures with and 
without the proposed facilities for that portion of the certificate 
holder's system affected by the proposal;
    (6) The estimated cost and method of financing the proposed 
facilities;
    (7) A statement explaining how the public convenience and necessity 
requires the approval of the project;
    (8) For acquisitions of facilities:
    (i) A statement referencing the date of issuance, docket number and 
title of the proceeding for any certificate issued by the Commission 
authorizing the facilities proposed to be acquired; and

[[Page 535]]

    (ii) The amounts recorded in the accounts of the vendor (seller or 
lessor) that apply to the facilities proposed to be acquired and the 
accumulated provisions for depreciation, depletion, and amortization;
    (9) A concise analysis discussing the relevant issues outlined in 
Sec. 380.12 of this chapter. The analysis must identify the existing 
environmental conditions and the expected significant impacts that the 
proposed action, including proposed mitigation measures, will cause to 
the quality of the human environment, including impact expected to occur 
to sensitive environmental areas. When compressor facilities are 
proposed, the analysis must also describe how the proposed action will 
be made to comply with applicable State Implementation Plans developed 
under the Clean Air Act. The analysis must also include a description of 
the contacts made, reports produced, and results of consultations which 
took place to ensure compliance with the Endangered Species Act, 
National Historic Preservation Act and the Coastal Zone Management Act. 
Include a copy of the agreements received for compliance with the 
Endangered Species Act, National Historic Preservation Act, and Coastal 
Zone Management Act.
    (d) Limits and inflation adjustment. The limits specified in Tables 
I and II shall be adjusted each calendar year to reflect the ``GDP 
implicit price deflator'' published by the Department of Commerce for 
the previous calendar year. The Director of the Office of Pipeline 
Regulation is authorized to compute and publish limits for future 
calendar years as a part of Tables I and II, pursuant to Sec. 
375.307(d) of this chapter.

                                 Table I
------------------------------------------------------------------------
                                                       Limit
                                         -------------------------------
                  Year                      Auto. proj.    Prior notice
                                            cost limit      proj. cost
                                              (Col.1)     limit  (Col.2)
------------------------------------------------------------------------
1982....................................      $4,200,000     $12,000,000
1983....................................       4,500,000      12,800,000
1984....................................       4,700,000      13,300,000
1985....................................       4,900,000      13,800,000
1986....................................       5,100,000      14,300,000
1987....................................       5,200,000      14,700,000
1988....................................       5,400,000      15,100,000
1989....................................       5,600,000      15,600,000
1990....................................       5,800,000      16,000,000
1991....................................       6,000,000      16,700,000
1992....................................       6,200,000      17,300,000
1993....................................       6,400,000      17,700,000
1994....................................       6,600,000      18,100,000
1995....................................       6,700,000      18,400,000
1996....................................       6,900,000      18,800,000
1997....................................       7,000,000      19,200,000
1998....................................       7,100,000      19,600,000
1999....................................       7,200,000      19,800,000
2000....................................       7,300,000      20,200,000
2001....................................       7,400,000      20,600,000
2002....................................       7,500,000      21,000,000
2003....................................       7,600,000      21,200,000
2004....................................       7,800,000      21,600,000

    (e) Reporting requirements. For each facility completed during the 
calendar year pursuant to paragraph (a) of this section, the certificate 
holder shall file in the manner prescribed in Sec. Sec. 157.6(a) and 
385.2011 of this chapter as part of the required annual report under 
Sec. 157.207(a) the information described in paragraphs (e)(1)-(5) of 
this section. For each facility completed during the calendar year 
pursuant to paragraph (b) of this section, the certificate holder shall 
file in the manner prescribed above only the information described in 
paragraph (e)(3) of this section.
    (1) A description of the facilities installed pursuant to this 
section, including a description of the length and size of pipelines, 
compressor horsepower, metering facilities, taps, valves, and any other 
facilities constructed;
    (2) The specific purpose, location, and beginning and completion 
date of construction of the facilities installed, the date service 
commenced, and, if applicable, a statement indicating the extent to 
which the facilities were jointly constructed;
    (3) The actual installed cost of each facility item listed pursuant 
to paragraph (e)(1), separately stating the cost of materials and labor 
as well as other costs allocable to the facilities;
    (4) A description of the contacts made, reports produced, and 
results of consultations which took place to ensure compliance with the 
Endangered Species Act, the National Historic Preservation Act and the 
Coastal Zone Management Act;
    (5) For acquisitions of facilities:

[[Page 536]]

    (i) A statement referencing the date of issuance, docket number and 
title of the proceeding for any certificate issued by the Commission 
authorizing the facilities acquired; and
    (ii) The amounts recorded in the accounts of the vendor (seller or 
lessor) that apply to the facilities acquired and the accumulated 
provisions for depreciation, depletion, and amortization.
    (f) Special conditions. (1) For purposes of comparing the project 
cost of leased facilities with the per-project cost limitations in Table 
I of this section, the project cost of leased facilities shall be the 
annual lease charge multiplied by the number of years of the lease.
    (2) In the interest of safety and reliability of service, facilities 
authorized by the certificate shall not be operated at pressures 
exceeding the maximum operating pressure set forth in the request. In 
the event that the certificate holder thereafter wishes to change the 
maximum operating pressure of supply or delivery lateral facilities 
constructed under section 7(c) of the Natural Gas Act or facilities 
constructed under this section, it shall file an appropriate request 
pursuant to the procedures set forth in Sec. 157.205(b). Such request 
shall include the reasons for the proposed change. Nothing contained 
herein authorizes the certificate holder to operate any facility at a 
pressure above the maximum prescribed by State law, if such law requires 
a lower pressure than authorized hereby.
    (g) If the actual cost of the project exceeds the per-project cost 
authorized under a blanket certificate in Table I of this section, the 
certificate holder shall apply to the Director of the Office of Pipeline 
Regulation for a waiver of those project cost limits.

[Order 234, 47 FR 24266, June 4, 1982, as amended by Order 486, 52 FR 
47910, Dec. 17, 1987; Order 493, 53 FR 15030, Apr. 27, 1988; 56 FR 7565, 
Feb. 25, 1991; 57 FR 4717, Feb. 10, 1992; 58 FR 6893, Feb. 3, 1993; 59 
FR 5947, Feb. 9, 1994; 59 FR 6658, Feb. 3, 1995; 59 FR 7821, Feb. 9, 
1995; 61 FR 8213, Mar. 4, 1996; 62 FR 5914, Feb. 10, 1997; 63 FR 6477, 
Feb. 9, 1998; 64 FR 8239, Feb. 19, 1999; Order 603, 64 FR 26608, May 14, 
1999; Order 603-A, 64 FR 54536, Oct. 7, 1999; 65 FR 12115, Mar. 8, 2000; 
66 FR 14486, Mar. 13, 2001; 67 FR 6168, Feb. 11, 2002; 68 FR 8711, Feb. 
25, 2003; Order 633, 68 FR 31605, May 28, 2003; 69 FR 9206, Feb. 27, 
2004]