2025 SESSION

HOUSE SUBSTITUTE

25105262D

HOUSE BILL NO. 2545

AMENDMENT IN THE NATURE OF A SUBSTITUTE

(Proposed by the House Committee on Labor and Commerce

on ________________)

(Patron Prior to Substitute—Delegate Rasoul)

A BILL to amend and reenact § 56-257.2 of the Code of Virginia, relating to certain gas pipelines; odorization required.

Be it enacted by the General Assembly of Virginia:

1. That § 56-257.2 of the Code of Virginia is amended and reenacted as follows:

§ 56-257.2. Gas pipeline safety; odorization required for certain pipelines.

A. Notwithstanding any other provision of law, the Commission shall have the authority to regulate the safety of master-metered gas systems, landfill gas transmission or distribution facilities transmitting or distributing landfill gas off premises from a solid waste management facility permitted by the Department of Environmental Quality, and other gas pipeline facilities used in intrastate pipeline transportation, all as defined in the federal regulations promulgated under 49 U.S.C. § 60101 et seq., as amended, and the federal pipeline safety laws, owned or operated by any person, limited liability company, business entity or association of individuals. The authority granted herein shall be exercised in a manner that is not inconsistent with the above-referenced federal regulations and pipeline safety laws.

This subsection shall not apply to gas systems and pipeline facilities owned or operated by any county, city, or town.

B. For the purposes of pipeline facilities used in the intrastate transportation of gas, all as defined in the federal regulations promulgated under 49 U.S.C. § 60101 et seq., as amended, and the federal pipeline safety laws, and notwithstanding any other provision of law, any person, limited liability company, business entity or association of individuals failing or refusing to obey Commission orders relating to the adoption or enforcement of regulations for the design, construction, operation, and maintenance of intrastate pipeline facilities and temporary or permanent injunctions issued by the Commission shall be fined such sums not exceeding the fines and penalties specified by 49 U.S.C. § 60122 (a)(1), as amended. Should the operation of such order be suspended pending an appeal, the period of such suspension shall not be computed against the person in the matter of his liability to fines or penalties. The authority granted herein shall be exercised in a manner that is not inconsistent with the above-referenced federal regulations and pipeline safety laws.

This subsection shall not apply to gas systems and pipeline facilities owned or operated by any county, city, or town.

C. With respect to the gas systems and pipeline facilities owned or operated by any county, city, or town, the Commission is authorized to act for the United States Secretary of Transportation to conduct safety inspections pursuant to the federal pipeline safety laws, 49 U.S.C. § 60101 et seq., to the extent authorized by certification or agreement with the Secretary under 49 U.S.C. § 60106 of the federal pipeline safety laws, 49 U.S.C. § 60101 et seq., as amended. After each inspection, an exit interview with any county, city, or town shall be conducted prior to promptly reporting to the United States Department of Transportation. This subsection shall not authorize the Commission to impose civil penalties or fines on any county, city, or town and shall not authorize the Commission to exercise jurisdiction over the rates, charges, services, facilities, or service territory of any county, city, or town providing gas service except as is otherwise provided by law.

D. Unless otherwise preempted by federal regulations promulgated pursuant to 49 U.S.C. § 60105, and notwithstanding any other provision of law, any combustible gas transported by intrastate transmission pipelines in the Commonwealth shall be adequately odorized so that a concentration of the gas in air of one-fifth of the lower explosive limit is readily detectable by the public and employees of the pipeline operator.

2. That the State Corporation Commission shall promulgate regulations related to the requirements of § 56-257.2 of the Code of Virginia, as amended by this act.