Public Service Commission

Audrey Zibelman
Chair
Patricia L. Acampora
Gregg C. Sayre
Diane X. Burman
Commissioners
Kimberly A. Harriman
General Counsel
Kathleen H. Burgess
Secretary

Three Empire State Plaza, Albany, NY 12223-1350

www.dps.ny.gov

September 28, 2015

Honorable Christopher A. Hart

Chairman
National Transportation Safety Board
Washington, DC 20594
Re: Recommendation Made to New York State Public Service Commission: Revise
the New York State Department of Public Service Gas Utility Operator Program
to Ensure All Elements of the Regulations are Included in the 5-year Audit Plan
(P-15-38).
Sent Electronically and U.S. Mail
Dear Chairman Hart,
The New York State Department of Public Service (NYSDPS) appreciates the National
Transportation Safety Boards (NTSB) guidance and assistance offered during the investigation
of the March 12, 2014 East Harlem, New York incident as well as the opportunity to contribute
our expertise to the NTSBs investigation. Ensuring gas safety is of highest priority for the
NYSDPS and the Public Service Commission. We are committed to taking lessons learned from
East Harlem to further assure gas safety in New York. The NYSDPS Pipeline Safety program is
strong and we continue to look for strengthening opportunities to be sure that New Yorks
pipeline system remains safe and reliable.
The NYSDPS agrees with the NTSB that we must review all elements of the state
regulations in our 5-year audit plans. In fact, since shortly after pipeline personnel were required
to be qualified in compliance with the operator qualification (OQ) rule (49 CFR 192.809) in
2002, the NYSDPS has regularly conducted field evaluations of operator qualification program
implementation during the field audit portion of NYSDPS operations and maintenance audits.
Moreover, the NYSDPS Pipeline Safety section has conducted record and field audits of all
operations and maintenance activities as part of our 5-year audit plan. This includes determining
whether a utilitys internal procedures include all operations and maintenance activities
mandated in existing safety regulations, whether the utility is following its procedures, and
whether the utility performs at the level required by all operations and maintenance regulations,
all of which mirror, and sometimes go beyond, the federal requirements. As part of these audits

Honorable Christopher A. Hart

September 28, 2015

and at site visits, NYSDPS Gas Safety Staff routinely check the qualifications of utility
personnel and contractors to confirm compliance with the utilitys operator qualification
program. However, going forward, the changes we are making in response to the NTSB
recommendation will ensure that this review is more routinized and includes an evaluation of
training (if applicable) and testing for the covered task.
Therefore, in light of the NTSBs Recommendation P-15-38 in its June 19, 2015, East
Harlem Report, and as part of our continuous improvement process, the NYSDPS has formally
changed its 5-year audit procedures to clarify that evaluations of operator qualification programs
(OQ), including audits of written operation qualification programs and procedures, covered task
training, the manner in which operators qualify an individual for a covered task, and on-site OQ
field evaluations (Protocol 9) will occur for each pipeline operator at intervals that do not exceed
five years. This is consistent with the Pipeline and Hazardous Materials Safety Administrations
(PHMSA) Guidelines for States Participating in the Pipeline Safety Program, the details of
which we have always adopted in our practices. To be clear, the NYSDPS will audit each of the
items listed in the revised 5-year audit plan (including the OQ items listed above) in our 5-year
audit cycle; when we audit those items, as we do with all items audited, we randomly select
documents from each. We believe these changes address NTSB recommendation P-15-38.
Of note, over the last several years, the NYSDPS has revised NYSDPS forms to more
thoroughly document compliance with operations and maintenance audits; we have added steps
to the audit process to more clearly document that the Department reviewed the pipeline
operators procedures during the audit process; and we have revised the process to review
emergency plans so that Staff can determine compliance with emergency plan requirements and
ensure that the plans incorporate PHMSA guidance (advisory bulletins, etc.) and industry best
practices. Finally, the New York State Public Service Commission has adopted rate case
performance metrics that hold local distribution companies accountable to performance levels in
the areas of emergency response, damage prevention, leak management, and violation reduction.
These metrics include negative rate adjustments if certain acceptable performance thresholds are
not met or exceeded to align utility management focus with these important areas.
The NYSDPS is committed to continually improving gas safety in New York State, and
we look forward to working with the NTSB on these very important issues. If you have any
questions or comments, please feel free to contact Cynthia McCarran, Deputy Director of Gas
and Water, at (518) 486-1645 or Cynthia.McCarran@dps.ny.gov.

Sincerely,

Audrey Zibelman
Chair