Programs of the APGA Security and Integrity Foundation (and some other stuff)

1. Programs of the APGA Security and Integrity Foundation(and some other stuff) John Erickson COO, APGA Security and Integrity Foundation 8-20-14 Western Regional Gas Conference

2. Security & Integrity Foundation (SIF) • Independent of APGA • Assist small operators to operate safe gas distribution systems • “Small operators” include— • Small utilities • Master meter, and • Propane piping systems • Funded through a cooperative agreement with PHMSA and through product sales

3. SIF Board of Directors Leonard Phillips – Chairman Jorge Santi City Utilities of Springfield Massachusetts Dept of Public Utilities Jason MontoyaSteve Carter New Mexico Public Service CommissionAthens Utilities Dennis Fothergill Sam Davis Oklahoma Corporation Commission Lake Apopka Natural Gas District Mark BussmanRichard Worsinger Cullman-Jefferson Counties Natural GasCity of Rocky Mount Bill DeFoorRick Moses Municipal Gas Authority of Georgia Florida Public Service Commission David Lykken Mary Smith WA Utilities &Transportation Commission Natural Energy Engineering Services

4. What I’ll Talk About Today • Simple, Handy, Risk-based Integrity Management Plan (SHRIMP) • Drug and Alcohol Plan Creation Tool • Operator Qualification Training and Evaluations • Operations and Maintenance Procedures • Operations and Maintenance Plan Creation Tool (under development) • Smart phone/tablet apps • OQ Plan and PA plan creation tools

5. SHRIMP • 1163 active SHRIMP subscribers with 1774 systems total users • Major revision in 2012 – Manage plan revision and track changes • If you have not updated your SHRIMP plan since Version 1, please read the Technical Note • Regularly updated based on feedback from state inspections • Cross reference to inspection form available – read it!

6. Top Ten SHRIMP Mistakes • Didn’t read the Users’ Guide • Didn’t complete all information (Implementation Plan, most often) • Didn’t download and save the Plan • Didn’t read the Plan • Accepted without question all SHRIMP rankings • Didn’t consider whether to create subsections • Didn’t enter all information in the Implementation Plan • Didn’t complete the Data Source fields • Didn’t download and read the inspection form prior to an audit • Didn’t download and read the inspection form cross reference doc.

7. Replaces Plan Dated Issue • Prior versions of SHRIMP did not store effective dates of plans, therefore when a new plan is generated the programmer inserted this text: Generated Date: 2013-01-02 Version: 2.1.1 Effective Date: 2013-01-02 Replaces Version: Legacy Effective: (No Prior Plan) • We have fixed it to let the user insert prior plan date

9. Update • We are still making adjustments to the threat questions and to the risk ranking model • We are making every attempt to ensure no data is lost in the process • Some changes may change relative risk ranks for one or more threat-sections • We alert users to changes via the alert feature in SHRIMP and on the bulletin board at: http://www.apgasif.org

10. Threat Assessment and Risk Model Changes • Will consider statistical differences in leaks/mile and damages/ticket • Add problem materials: PVC, ABC Driscopipe 8000 • Add meter loops to Equipment Threat • Natural Forces – Mandatory sub-sectioning if any problem areas are identified • Totally revamp excavation damage threat • All threat-sections will be listed in the risk-ranking section of the plan regardless of level of risk

11. Tracking Performance Measures • Will include a database to store data on each of the pre-loaded threat-specific SHRIMP performance measures • Will use the Mann-Kendall test to analyze for trends

12. New DIMP Inspection Form • Form 22 was used for initial DIMP audits • Form 22 verified that operators’ DIMP plans met the rule’s requirements • New PHMSA Form 24 – DIMP Implementation Inspection Form • Form 24 is primarily to verify operators are following through on DIMP plan actions

13. New DIMP Inspection Form • The Records Review questions are to be performed on records used by an operator for implementing its DIMP plan. • The Field Observation questions are to be used on field activities being performed by an operator in support of its DIMP plan. Field Observation inspection activities may also include review of data, environmental conditions, and assumptions being used by an operator in support of its DIMP plan.

14. New DIMP Inspection Form • Is the operator collecting the missing or incomplete system information and data needed to fill knowledge gaps to assess existing and potential threats? • Is the operator collecting the missing or incomplete system information and data using the procedures prescribed in its DIMP plan? • Has the operator incorporated into the DIMP plan any new or missing information identified or acquired during normal operations, maintenance, and inspection activities?

15. New DIMP Inspection Form • Do operator personnel in the field understand their responsibilities under DIMP plan? (Below are possible questions for field personnel) • Would you explain what DIMP training you have received? • What instructions have you received to address the discovery of pipe or components not documented in the company records? • What instructions have you received if you find a possible issue? (ex: corrosion, dented pipe, poor fusion joints, missing coating, excavation damage, mechanical fitting failures)

16. Drug and Alcohol Plan Development Tool • Has been available since 2011 • Works just like SHRIMP • Automatically kept up to date with rule changes • Only ~ 60 operators are using it • Can be found at www.apgasif.org

17. Operator Qualification Uses ASME B31Q Covered tasks Written and Performance Testing Available locally – We come to you Training consistent with OQ program and O&M manual $199/person covering 5-10 covered tasks in one day

18. 2013 Operator Qualification Summary

19. Recordkeeping

20. Operations and Maintenance Procedures FREE! – download from the SIF website www.apgasif.org Over 100 procedures available; written for all ASME B31Q distribution covered tasks Integrates with other SIF plans and programs Easily customizable MS Word (.doc) files Updated to comply with current standards and regulation

21. Operations and Maintenance Procedures • Each procedure includes: • List of equipment and materials required • Potential worker safety issues • Step-by-step instructions • Abnormal Operating Conditions and more • Instructions exactly match SIF OQ evaluations

22. Operations and Maintenance Manual Creator • Under development • Will work like SHRIMP to determine O&M requirements • Will create a manual, incorporating appropriate O&M procedures • Will seamlessly link with SHRIMP and SIF OQ

23. Inspection and Maintenance Forms • Under development • Paper forms will be available, but … • Why not record in the field with smart phone/tablet apps? • Has GPS, camera and data transmitter all in one • Store in the “cloud” – Able to be viewed on Google maps • Eliminates data transcription time and errors

24. The Concept • Scan bar codes on all pipe and components when installed • Photograph the installation before backfill • Take GPS reading -- GPS a "worst case" accuracy of 7.8 meters (~25 ft) at a 95% confidence level. • That is adequate to find the pipe using line locating equipment • Results can be displayed on Google maps • Are in discussions with Hitesh Patadia

25. Link to Google Maps

26. APGA GOAL • Gas Overall Awareness Level (GOAL) • Public awareness effectiveness assessment for customers and non-customers living near distribution lines • Surveys since 2006 for ~ 200 utilities • Participating utilities receive report for their area plus nationwide aggregated data for all GOAL users • Sample size selected to ensure validity

27. Pipeline Safety Management Systems • Will become API Recommended Practice 1173 (RP 1173) • Not mandatory unless incorporated by reference into pipeline safety rules • Schedule – Complete by Dec 31, 2014

28. PSMS Elements • Leadership and Management Commitment; • Stakeholder Engagement (Public Awareness); • Risk Management (DIMP); • Operational Controls (O&M Manual); • Incident Investigation, Evaluation and Lessons Learned O&M/Emergency Plan); • Safety Assurance; • Management Review and Continuous Improvement; • Emergency Preparedness and Response (O&M/Emergency Plan); • Competence, Awareness and Training (OQ); • Documentation and Record Keeping.

29. Committee Members • Ron McClain, Kinder Morgan Energy Partners, Chair • Mark Hereth, P-PIC, Content Editor • Scott Collier, Buckeye Partners • Mark Weesner, ExxonMobil Pipeline Company • Paul Eberth, Enbridge Pipelines Inc. • Tom Jensen, Explorer Pipeline • Brianne Metzger-Doran, Spectra Energy • Tracey Scott, Alliance Pipeline • Scott Currier, INGAA • John Bresland, Consultant • Stacey Gerard, Consultant • William Moody, Southwest Gas • Nick Stavropoulis, Pacific Gas & Electric • Robert Miller, AZ Corporation Commission • Massoud Tahamtani, VA State Corporation Commission • Steve Prue, City of Ellensburg, WA Oil Pipelines – 5 Interstate gas transmission – 3 Large Distribution Systems – 2 Public Gas – 1

30. Kinder Morgan Muni • 11,000 employees • 80,000 miles of pipe • Transports natural gas, refined petroleum products, crude oil, carbon dioxide (CO2) and more • 5 employees • 50 miles of pipe • Transports natural gas

31. Kinder Morgan

32. PSMS • Safety management at a public gas systems with relatively few employees working out of a single location is much simpler than safety management of a major interstate pipeline with thousands of employees across many states • APGA believes the 10 elements are fine, but the prescriptiveness and number of “shalls” (157) is a concern

33. PSMS • In the final version, the following was added: • “For very small operators with a handful of employees, adoption of all provisions within this RP may not be practical.” • APGA supports keeping this provision and is encouraging members to comment supporting the RP as long as this statement is retained

34. SMS for Public Gas • APGA is making lemonade from lemons • Keeping all 10 elements, but writing it as guidance rather than a mandate • Translating it into utility-friendly terms • For example, leadership element is recast as advice to a new utility board or city council member, or to a new utility supervisor on how their words and deeds can foster or inhibit a safety culture

35. Integrated Pipeline Safety Management System DIMP Plan O&M Manual O&M Procedures Emergency Plan OQ Plan Damage Prev Plan OQ Training Public Awareness Plan OQ Evaluation Drug & Alcohol Plan

36. Methane Emissions • Pressure is on to replace bare steel and cast iron and repair leaks, not for safety, but because methane is a greenhouse gas • Environmental Defense Fund and Google collaborating on mapping methane leaks • Setting the stage for EPA to regulate gas industry leak repair practices • And possibly define “Best Available Technology” for gas leak detection as something other than our current equipment (FI, CGI)

37. Questions?