Standards for Business Practices of Interstate Natural Gas Pipelines; Correction, 15156-15159 [2016-06288]

Download as PDF 15156 Federal Register / Vol. 81, No. 55 / Tuesday, March 22, 2016 / Rules and Regulations (f) Alternative Methods of Compliance (AMOCs) The Manager, Engine Certification Office, FAA, may approve AMOCs for this AD. Use the procedures found in 14 CFR 39.19 to make your request. You may email your request to: ANE-AD-AMOC@faa.gov. (g) Related Information (1) For more information about this AD, contact Besian Luga, Aerospace Engineer, Engine Certification Office, FAA, Engine & Propeller Directorate, 1200 District Avenue, Burlington, MA 01803; phone: 781–238– 7750; fax: 781–238–7199; email: besian.luga@faa.gov. (2) Refer to MCAI European Aviation Safety Agency AD 2016–0016, dated January 15, 2016, for more information. You may examine the MCAI in the AD docket on the Internet at http://www.regulations.gov by searching for and locating it in Docket No. FAA–2016–2701. (3) Turbomeca S.A. Alert Mandatory Service Bulletin No. A298 79 2835, Version A, dated January 14, 2016, which is not incorporated by reference in this AD, can be obtained from Turbomeca S.A., using the contact information in paragraph (g)(4) of this AD. (4) For service information identified in this AD, contact Turbomeca S.A., 40220 Tarnos, France; phone: 33 0 5 59 74 40 00; telex: 570 042; fax: 33 0 5 59 74 45 16. (5) You may view this service information at the FAA, Engine & Propeller Directorate, 1200 District Avenue, Burlington, MA 01803. For information on the availability of this material at the FAA, call 781–238–7125. (h) Material Incorporated by Reference None. Issued in Burlington, Massachusetts, on March 14, 2016. Ann C. Mollica, Acting Manager, Engine & Propeller Directorate, Aircraft Certification Service. [FR Doc. 2016–06372 Filed 3–21–16; 8:45 am] BILLING CODE 4910–13–P DEPARTMENT OF ENERGY Federal Energy Regulatory Commission 18 CFR Part 157 [Docket No. RM96–1–038] asabaliauskas on DSK3SPTVN1PROD with RULES Standards for Business Practices of Interstate Natural Gas Pipelines; Correction Federal Energy Regulatory Commission. ACTION: Correcting amendments. AGENCY: This document contains corrections to the final rule that was published in the Federal Register on Monday, November 2, 2015 (Order No. 587–W). These revisions correct an SUMMARY: VerDate Sep<11>2014 15:43 Mar 21, 2016 Jkt 238001 on and all limitations, if any, including expiration dates and renewal obligations. A conformed copy of applicant’s authorization to do business in each State affected shall be supplied upon request. (3) Exhibit C—Company officials. A list of the names and business addresses of applicant’s officers and directors, or similar officials if applicant is not a corporation. (4) Exhibit D—Subsidiaries and affiliation. If applicant or any of its officers or directors, directly or indirectly, owns, controls, or holds with power to vote, 10 percent or more of the SUPPLEMENTARY INFORMATION: The outstanding voting securities of any Commission published a document in other person or organized group of the Federal Register on Monday, persons engaged in production, November 2, 2015 (80 FR 67302), that transportation, distribution, or sale of omitted a portion of 18 CFR 157.14(a) natural gas, or of any person or describing the exhibits required to be organized group of persons engaged in submitted in certificate applications by the construction or financing of such interstate natural gas pipelines. This enterprises or operations, a detailed correction restores that text to the explanation of each such relationship, regulation. In addition, due to style requirements, 18 CFR 157.14(a)(6–a) has including the percentage of voting strength represented by such ownership been redesignated as 157.14(a)(7) and of securities. If any person or organized subsequent provisions have been group of persons, directly or indirectly, redesignated accordingly. owns, controls, or holds with power to List of Subjects in 18 CFR Part 157 vote, 10 percent or more of the outstanding voting securities of Natural gas, Reporting and applicant—a detailed explanation of recordkeeping requirements. each such relationship. Dated: March 14, 2016. (5) Exhibit E—Other pending Nathaniel J. Davis, Sr., applications and filings. A list of other Deputy Secretary. applications and filings under sections In consideration of the foregoing, the 1, 3, 4 and 7 of the Natural Gas Act filed Commission amends part 157, chapter I, by the applicant which are pending title 18, Code of Federal Regulations, as before the Commission at the time of the follows. filing of an application and which directly and significantly affect the PART 157—APPLICATIONS FOR application filed, including an CERTIFICATES OF PUBLIC explanation of any material effect the CONVENIENCE AND NECESSITY AND grant or denial of those other FOR ORDERS PERMITTING AND applications and filings will have on the APPROVING ABANDONMENT UNDER application and of any material effect SECTION 7 OF THE NATURAL GAS the grant or denial of the application ACT will have on those other applications and filings. ■ 1. The authority citation for part 157 (6) Exhibit F—Location of facilities. continues to read as follows: Unless shown on Exhibit G or Authority: 15 U.S.C. 717–717z. elsewhere, a geographical map of suitable scale and detail showing, and ■ 2. Section 157.14 is amended by adding paragraphs (a)(1) through (19) to appropriately differentiating between all of the facilities proposed to be read as follows: constructed, acquired or abandoned and § 157.14 Exhibits. existing facilities of applicant, the (a) * * * operation or capacity of which will be (1) Exhibit A—Articles of directly affected by the proposed incorporation and bylaws. If applicant is facilities or the facilities proposed to be not an individual, a conformed copy of abandoned. This map, or an additional its articles of incorporation and bylaws, map, shall clearly show the relationship or other similar documents. of the new facilities to the applicant’s (2) Exhibit B—State authorization. For overall system and shall include: each State where applicant is authorized (i) Location, length, and size of to do business, a statement showing the pipelines. (ii) Location and size (rated date of authorization, the scope of the business applicant is authorized to carry horsepower) of compressor stations. instruction error and reinstate the regulations describing the exhibits required to be attached to each certificate application by interstate natural gas pipelines. This document corrects that omission. DATES: Effective March 22, 2016. FOR FURTHER INFORMATION CONTACT: Gary D. Cohen (legal issues), Office of the General Counsel, Federal Energy Regulatory Commission, 888 First Street NE., Washington, DC 20426, Telephone: (202) 502–8321, Email: gary.cohen@ ferc.gov. PO 00000 Frm 00004 Fmt 4700 Sfmt 4700 E:\FR\FM\22MRR1.SGM 22MRR1 asabaliauskas on DSK3SPTVN1PROD with RULES Federal Register / Vol. 81, No. 55 / Tuesday, March 22, 2016 / Rules and Regulations (iii) Location and designation of each point of connection of existing and proposed facilities with: (A) Main-line industrial customers, gas pipeline or distribution systems, showing towns and communities served and to be served at wholesale and retail, and (B) Gas-producing and storage fields, or other sources of gas supply. (7) Exhibit F–I—Environmental report. An environmental report as specified in §§ 380.3 and 380.12 of this chapter. Applicant must submit all appropriate revisions to Exhibit F–I whenever route or site changes are filed. These revisions should identify the locations by mile post and describe all other specific differences resulting from the route or site changes, and should not simply provide revised totals for the resources affected. (8) Exhibit G—Flow diagrams showing daily design capacity and reflecting operation with and without proposed facilities added. A flow diagram showing daily design capacity and reflecting operating conditions with only existing facilities in operation. A second flow diagram showing daily design capacity and reflecting operating conditions with both proposed and existing facilities in operation. Both flow diagrams shall include the following for the portion of the system affected: (i) Diameter, wall thickness, and length of pipe installed and proposed to be installed and the diameter and wall thickness of the installed pipe to which connection is proposed. (ii) For each proposed new compressor station and existing station, the size, type and number of compressor units, horsepower required, horsepower installed and proposed to be installed, volume of gas to be used as fuel, suction and discharge pressures, and compression ratio. (iii) Pressures and volumes of gas at the main line inlet and outlet connections at each compressor station. (iv) Pressures and volumes of gas at each intake and take-off point and at the beginning and terminus of the existing and proposed facilities and at the intake or take-off point of the existing facilities to which the proposed facilities are to be connected. (9) Exhibit G–I—Flow diagrams reflecting maximum capabilities. If Exhibit G does not reflect the maximum deliveries which applicant’s existing and proposed facilities would be capable of achieving under most favorable operating conditions with utilization of all facilities, include an additional diagram or diagrams to depict such maximum capabilities. If VerDate Sep<11>2014 15:43 Mar 21, 2016 Jkt 238001 the horsepower, pipelines, or other facilities on the segment of applicant’s system under consideration are not being fully utilized due, e.g., to capacity limitation of connecting facilities or because of the need for standby or spare equipment, the reason for such nonutilization shall be stated. (10) Exhibit G–II—Flow diagram data. Exhibits G and G–I shall be accompanied by a statement of engineering design data in explanation and support of the diagrams and the proposed project, setting forth: (i) Assumptions, bases, formulae, and methods used in the development and preparation of such diagrams and accompanying data. (ii) A description of the pipe and fittings to be installed, specifying the diameter, wall thickness, yield point, ultimate tensile strength, method of fabrication, and methods of testing proposed. (iii) When lines are looped, the length and size of the pipe in each loop. (iv) Type, capacity, and location of each natural gas storage field or facility, and of each dehydration, desulphurization, natural gas liquefaction, hydrocarbon extraction, or other similar plant or facility directly attached to the applicant’s system, indicating which of such plants are owned or operated by applicant, and which by others, giving their names and addresses. (v) If the daily design capacity shown in Exhibit G is predicated upon an ability to meet each customer’s maximum contract quantity on the same day, explain the reason for such coincidental peak-day design. If the design day capacity shown in Exhibit G is predicated upon an assumed diversity factor, state that factor and explain its derivation. (vi) The maximum allowable operating pressure of each proposed facility for which a certificate is requested, as permitted by the Department of Transportation’s safety standards. The applicant shall certify that it will design, install, inspect, test, construct, operate, replace, and maintain the facilities for which a certificate is requested in accordance with Federal safety standards and plans for maintenance and inspection or shall certify that it has been granted a waiver of the requirements of the safety standards by the Department of Transportation in accordance with the provisions of section 3(e) of the Natural Gas Pipeline Safety Act of 1968. Pertinent details concerning the waiver shall be set forth. (11) Exhibit H—Total gas supply data. A statement by applicant describing: PO 00000 Frm 00005 Fmt 4700 Sfmt 4700 15157 (i) Those production areas accessible to the proposed construction that contain sufficient existing or potential gas supplies for the proposed project; and (ii) How those production areas are connected to the proposed construction. (12) Exhibit I—Market data. A systemwide estimate of the volumes of gas to be delivered during each of the first 3 full years of operation of the proposed service, sale, or facilities and during the years when the proposed facilities are under construction, and actual data of like import for each of the 3 years next preceding the filing of the application, together with: (i) Names and locations of customer companies and municipalities, showing the number of residential, commercial, firm industrial, interruptible industrial, residential space-heating, commercial space-heating, and other types of customers for each distribution system to be served at retail or wholesale; and the names and locations of each firm and interruptible direct industrial customer whose estimated consumption totals 10,000 Mcf or more in any calendar month or 100,000 Mcf or more per year together with an explanation of the end use to which each of these industrial customers will put the gas. (ii) Applicant’s total annual and peak day gas requirements by classification of service in paragraph (a)(11)(i) of this section, divided as follows: Gas requirements for each distribution area where gas is sold by applicant at retail; for each wholesale customer; for all main line direct industrial customers; and company use and unaccounted-for gas, for both the applicant and each wholesale customer. (iii) Total past and expected curtailments of service by the applicant and each wholesale customer proposing to receive new or additional supplies of gas from the project, all to be listed by the classifications of service in paragraph (a)(12)(i) of this section. (iv) Explanation and derivation of basic factors used in estimating future requirements, including, for example: Peak-day and annual degree-day deficiencies, annual load factors of applicant’s system and of its deliveries to its proposed customers; individual consumer peak-day and annual consumption factors for each class of consumers, with supporting historical data; forecasted saturation of spaceheating as related to past experience; and full detail as to all other sources of gas supply available to applicant and to each of its customers, including manufacturing facilities and liquid petroleum gas. E:\FR\FM\22MRR1.SGM 22MRR1 asabaliauskas on DSK3SPTVN1PROD with RULES 15158 Federal Register / Vol. 81, No. 55 / Tuesday, March 22, 2016 / Rules and Regulations (v) Conformed copy of each contract, letter of intent or other agreement for sale or transportation of natural gas proposed by the application. Indicate the rate to be charged. If no agreements have been made, indicate the basis for assuming that contracts will be consummated and that service will be rendered under the terms contemplated in the application. (vi) A full description of all facilities, other than those covered by the application, necessary to provide service in the communities to be served, the estimated cost of such facilities, by whom they are to be constructed, and evidence of economic feasibility. (vii) A copy of each market survey made within the past three years for such markets as are to receive new or increased service from the project applied for. (viii) A statement showing the franchise rights of applicant or other person to distribute gas in each community in which service is proposed. (ix) When an application requires a statement of total peak-day or annual market requirements of affiliates, whose operations are integrated with those of applicant, to demonstrate applicant’s ability to provide the service proposed or to establish a gas supply, estimates and data required by this paragraph (a)(12)(ix) shall also be stated in like detail for such affiliates. (x) When the proposed project is for service which would not decrease the life index of the total system gas supply by more than one year, the data required in paragraphs (a)(12)(i) to (ix), inclusive, of this section need be submitted only as to the particular market to receive new or additional service. (13) Exhibit J—Federal authorizations. A statement identifying each Federal authorization that the proposal will require; the Federal agency or officer, or State agency or officer acting pursuant to delegated Federal authority, that will issue each required authorization; the date each request for authorization was submitted; why any request was not submitted and the date submission is expected; and the date by which final action on each Federal authorization has been requested or is expected. (14) Exhibit K—Cost of facilities. A detailed estimate of total capital cost of the proposed facilities for which application is made, showing cost of construction by operating units such as compressor stations, main pipelines, laterals, measuring and regulating stations, and separately stating the cost of right-of-way, damages, surveys, materials, labor, engineering and inspection, administrative overhead, VerDate Sep<11>2014 15:43 Mar 21, 2016 Jkt 238001 fees for legal and other services, allowance for funds used during construction, and contingencies. Include a brief statement indicating the source of information used as the basis for the above estimate. If not otherwise set forth, submit data on preliminary bids, if any, for the proposed facilities and recent experienced cost data for facilities of similar character. (15) Exhibit L—Financing. Plans for financing the proposed facilities for which the application is filed, together with: (i) A description of the class (e.g., commercial paper, long-term debt, preferred stock) and cost rates for securities expected to be issued with construction period and postoperational sources of financing separately identified. (ii) Statement of anticipated cash flow, including provision during the period of construction and the first 3 full years of operation of proposed facilities for interest requirements, dividends, and capital requirements. (iii) A balance sheet and income statement (12 months) of most recent data available. (iv) Comparative pro forma balance sheets and income statements for the period of construction and each of the first 3 full years of operation, giving effect to the proposed construction and proposed financing of the project. (v) Any additional data and information upon which applicant proposes to rely in showing the adequacy and availability of resources for financing its proposed project. (vi) In instances for which principal operations of the company have not commenced or where proposed rates for services are developed on an incremental basis, a brief statement explaining how the applicant will determine the actual allowance for funds used during construction (AFUDC) rate, or if a rate is not to be used, how the applicant will determine the actual amount of AFUDC to be capitalized as a component of construction cost, and why the method is appropriate under the circumstances. (16) Exhibit M—Construction, operation, and management. A concise statement setting forth arrangements for supervision, management, engineering, accounting, legal, or other similar service to be rendered in connection with the construction or operation of the project, if not to be performed by employees of applicant, including reference to any existing or contemplated agreements therefor, together with: (i) A statement showing affiliation between applicant and any parties to PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 such agreements or arrangements. See Exhibit D, paragraph (a)(4) of this section. (ii) Conformed copies of all construction, engineering, management, and other similar service agreements or contracts in any way operative with respect to construction, operation, or financing of facilities which are the subject of the application or will be applicable under system operations. (17) Exhibit N—Revenues— Expenses—Income. When the estimated revenues and expenses related to a proposed facility will significantly affect the operating revenues or operating expenses of an applicant, there shall be submitted a system-wide statement for the last year preceding the proposed construction or service and pro forma system-wide and incremental statements for each of the first three full years of operation of the proposed facilities, showing: (i) Gas system annual revenues and volumes of natural gas related thereto, subdivided by classes of service, and further subdivided by sales to direct industrial customers, sales to other gas utilities, and other sales, indicating billing quantities used for computing charges, e.g., actual demands, billing demands, volumes, heat-content adjustment or other determinants. In addition, if enlargement or extension of facilities is involved, the revenues attributable solely to the proposed facilities shall be stated separately, and the basis and data used in such computation shall be clearly shown. (ii) Gas system annual operating expenses classified in accordance with the Commission’s Uniform System of Accounts for Natural Gas Companies; the annual depreciation, depletion, taxes, utility income, and resulting rate of return on net investment in gas plant including working capital. In addition if enlargement or extension of facilities is involved, the cost of service attributable solely to the proposed facilities shall be stated separately with supporting data. (iii) When the data required in paragraphs (a)(17)(i) and (ii) of this section is not submitted, applicant shall provide in lieu thereof a statement in sufficient detail to show clearly the effect on the operating revenues and operating expenses of the estimated revenues and expenses related to the proposed facility. (18) Exhibit O—Depreciation and depletion. Depreciation and depletion rates to be established, the method of determination and the justification therefor. (19) Exhibit P—Tariff. (i) A statement of the rates to be charged for the proposed sales or service, including: E:\FR\FM\22MRR1.SGM 22MRR1 Federal Register / Vol. 81, No. 55 / Tuesday, March 22, 2016 / Rules and Regulations (A) Identification of the applicable presently effective rate schedules, when no additional tariff filings will be required, or (B) When changes are required in applicant’s presently effective tariff, or if applicant has no tariff, pro forma copies of appropriate changes in or additions to the effective tariff or a pro forma copy of the new gas tariff proposed, or (C) When a new rate is proposed, a statement explaining the basis used in arriving at the proposed rate. Such statement shall clearly show whether such rate results from negotiation, costof-service determination, competitive factors or others, and shall give the nature of any studies which have been made in connection therewith. (ii) When new rates or changes in present rates are proposed or when the proposed facilities will result in a material change in applicant’s average cost of service, such statement shall be accompanied by supporting data showing: (A) System cost of service for the first calendar year of operation after the proposed facilities are placed in service. (B) An allocation of such costs to each particular service classification, with the basis for each allocation clearly stated. (C) The proposed rate base and rate of return. (D) Gas operating expenses, segregated functionally by accounts. (E) Depletion and depreciation. (F) Taxes with the basis upon which computed. * * * * * [FR Doc. 2016–06288 Filed 3–21–16; 8:45 am] BILLING CODE 6717–01–P DEPARTMENT OF HOMELAND SECURITY U.S. Customs and Border Protection 19 CFR Part 113 [CBP Dec. 15–15, USCBP–2006–0013] RIN 1515–AD56 [Formerly 1505–AB54] U.S. Customs and Border Protection, Department of Homeland Security. ACTION: Final rule; correction. asabaliauskas on DSK3SPTVN1PROD with RULES U.S. Customs and Border Protection (CBP) published in the Federal Register of November 13, 2015, a final rule amending CBP’s bond regulations. In that rule, CBP amended 15:43 Mar 21, 2016 Jkt 238001 Effective on March 22, 2016. Kara Welty, Revenue Division, Office of Administration, Customs and Border Protection, Tel. (317) 614–4614. FOR FURTHER INFORMATION CONTACT: On November 13, 2015, U.S. Customs and Border Protection (CBP) published in the Federal Register (80 FR 70154), as CBP Dec. 15–15, a final rule amending title 19 of the Code of Federal Regulations (19 CFR) regarding CBP’s bond regulations. In that document, CBP amended 19 CFR 113.26(a), which pertains to when bonds and riders must be filed prior to their effective date, to provide that ‘‘A continuous bond, and any associated application required by § 113.11 or a rider, must be filed at least 60 days prior to the effective date requested for the continuous bond or rider.’’ Prior to the amendments effectuated by CBP Dec. 15–15, § 113.26(a) permitted filing of a bond or rider up to 30 days before the bond’s effective date. CBP’s intent, as stated in the preamble to CBP Dec. 15–15 at pages 70156 and 70160 of the November 13, 2015, Federal Register document, was to liberalize § 113.26(a) to allow the filing of bonds and riders up to 60 days prior to the bond’s effective date. This document corrects 19 CFR 113.26(a) to clarify that bonds and riders may be filed up to 60 days prior to the effective date requested for the continuous bond or rider. SUPPLEMENTARY INFORMATION: Bonds, Copyrights, Counterfeit goods, Customs duties and inspection, Imports, Reporting and recordkeeping requirements, Restricted merchandise, Seizures and forfeitures. AGENCY: VerDate Sep<11>2014 DATES: List of Subjects in 19 CFR Part 113 Customs and Border Protection’s Bond Program; Correction SUMMARY: the regulation prescribing bond and rider filing requirements and stated, in the preamble, that the agency’s intent was to provide additional time for the filing of these documents prior to their effective date. Due to a drafting error, one of the provisions inadvertently provides for a more restrictive time frame for filing a continuous bond, associated application, or rider prior to their effective date. This document corrects that provision to conform it to CBP’s stated intent to liberalize the bond and rider filing process. Amendment to CBP Regulations For reasons discussed in the preamble, CBP amends 19 CFR part 113 with the following correcting amendment: PO 00000 Frm 00007 Fmt 4700 Sfmt 4700 15159 PART 113—CBP BONDS 1. The authority citation for part 113 continues, in part, to read as follows: ■ Authority: 6 U.S.C. 101, et seq.; 19 U.S.C. 66, 1623, 1624. 2. In § 113.26, revise paragraph (a) to read as follows: ■ § 113.26 riders. Effective dates of bonds and (a) General. A continuous bond, and any associated application required by § 113.11, or rider, may be filed up to 60 days prior to the effective date requested for the continuous bond or rider. * * * * * Alice A. Kipel, Executive Director, Regulations and Rulings, Office of International Trade, U.S. Customs and Border Protection. Approved: March 15, 2016. Timothy E. Skud, Deputy Assistant Secretary of the Treasury. [FR Doc. 2016–06323 Filed 3–21–16; 8:45 am] BILLING CODE 9111–14–P DEPARTMENT OF THE TREASURY Internal Revenue Service 26 CFR Part 1 [TD 9760] RIN 1545–BJ74 Indirect Stock Transfers and the Coordination Rule Exceptions; Transfers of Stock or Securities in Outbound Asset Reorganizations Internal Revenue Service (IRS), Treasury. ACTION: Final regulations and removal of temporary regulations. AGENCY: This document contains final regulations under sections 367, 1248, and 6038B of the Internal Revenue Code (Code). These regulations finalize the elimination of one of two exceptions to the coordination rule between asset transfers and indirect stock transfers for certain outbound asset reorganizations. The regulations also finalize modifications to the exception to the coordination rule for section 351 exchanges so that it is consistent with the remaining asset reorganization exception. In addition, the regulations finalize modifications to the procedures for obtaining relief for failures to satisfy certain reporting requirements. Finally, the regulations finalize certain changes with respect to transfers of stock or securities by a domestic corporation to a foreign corporation in a section 361 SUMMARY: E:\FR\FM\22MRR1.SGM 22MRR1

Agencies

[Federal Register Volume 81, Number 55 (Tuesday, March 22, 2016)]
[Rules and Regulations]
[Pages 15156-15159]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-06288]


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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

18 CFR Part 157

[Docket No. RM96-1-038]


Standards for Business Practices of Interstate Natural Gas 
Pipelines; Correction

AGENCY: Federal Energy Regulatory Commission.

ACTION: Correcting amendments.

-----------------------------------------------------------------------

SUMMARY: This document contains corrections to the final rule that was 
published in the Federal Register on Monday, November 2, 2015 (Order 
No. 587-W). These revisions correct an instruction error and reinstate 
the regulations describing the exhibits required to be attached to each 
certificate application by interstate natural gas pipelines. This 
document corrects that omission.

DATES: Effective March 22, 2016.

FOR FURTHER INFORMATION CONTACT: Gary D. Cohen (legal issues), Office 
of the General Counsel, Federal Energy Regulatory Commission, 888 First 
Street NE., Washington, DC 20426, Telephone: (202) 502-8321, Email: 
gary.cohen@ferc.gov.

SUPPLEMENTARY INFORMATION: The Commission published a document in the 
Federal Register on Monday, November 2, 2015 (80 FR 67302), that 
omitted a portion of 18 CFR 157.14(a) describing the exhibits required 
to be submitted in certificate applications by interstate natural gas 
pipelines. This correction restores that text to the regulation. In 
addition, due to style requirements, 18 CFR 157.14(a)(6-a) has been 
redesignated as 157.14(a)(7) and subsequent provisions have been 
redesignated accordingly.

List of Subjects in 18 CFR Part 157

    Natural gas, Reporting and recordkeeping requirements.

    Dated: March 14, 2016.
Nathaniel J. Davis, Sr.,
Deputy Secretary.

    In consideration of the foregoing, the Commission amends part 157, 
chapter I, title 18, Code of Federal Regulations, as follows.

PART 157--APPLICATIONS FOR CERTIFICATES OF PUBLIC CONVENIENCE AND 
NECESSITY AND FOR ORDERS PERMITTING AND APPROVING ABANDONMENT UNDER 
SECTION 7 OF THE NATURAL GAS ACT

0
1. The authority citation for part 157 continues to read as follows:

    Authority: 15 U.S.C. 717-717z.

0
2. Section 157.14 is amended by adding paragraphs (a)(1) through (19) 
to read as follows:


Sec.  157.14  Exhibits.

    (a) * * *
    (1) Exhibit A--Articles of incorporation and bylaws. If applicant 
is not an individual, a conformed copy of its articles of incorporation 
and bylaws, or other similar documents.
    (2) Exhibit B--State authorization. For each State where applicant 
is authorized to do business, a statement showing the date of 
authorization, the scope of the business applicant is authorized to 
carry on and all limitations, if any, including expiration dates and 
renewal obligations. A conformed copy of applicant's authorization to 
do business in each State affected shall be supplied upon request.
    (3) Exhibit C--Company officials. A list of the names and business 
addresses of applicant's officers and directors, or similar officials 
if applicant is not a corporation.
    (4) Exhibit D--Subsidiaries and affiliation. If applicant or any of 
its officers or directors, directly or indirectly, owns, controls, or 
holds with power to vote, 10 percent or more of the outstanding voting 
securities of any other person or organized group of persons engaged in 
production, transportation, distribution, or sale of natural gas, or of 
any person or organized group of persons engaged in the construction or 
financing of such enterprises or operations, a detailed explanation of 
each such relationship, including the percentage of voting strength 
represented by such ownership of securities. If any person or organized 
group of persons, directly or indirectly, owns, controls, or holds with 
power to vote, 10 percent or more of the outstanding voting securities 
of applicant--a detailed explanation of each such relationship.
    (5) Exhibit E--Other pending applications and filings. A list of 
other applications and filings under sections 1, 3, 4 and 7 of the 
Natural Gas Act filed by the applicant which are pending before the 
Commission at the time of the filing of an application and which 
directly and significantly affect the application filed, including an 
explanation of any material effect the grant or denial of those other 
applications and filings will have on the application and of any 
material effect the grant or denial of the application will have on 
those other applications and filings.
    (6) Exhibit F--Location of facilities. Unless shown on Exhibit G or 
elsewhere, a geographical map of suitable scale and detail showing, and 
appropriately differentiating between all of the facilities proposed to 
be constructed, acquired or abandoned and existing facilities of 
applicant, the operation or capacity of which will be directly affected 
by the proposed facilities or the facilities proposed to be abandoned. 
This map, or an additional map, shall clearly show the relationship of 
the new facilities to the applicant's overall system and shall include:
    (i) Location, length, and size of pipelines.
    (ii) Location and size (rated horsepower) of compressor stations.

[[Page 15157]]

    (iii) Location and designation of each point of connection of 
existing and proposed facilities with:
    (A) Main-line industrial customers, gas pipeline or distribution 
systems, showing towns and communities served and to be served at 
wholesale and retail, and
    (B) Gas-producing and storage fields, or other sources of gas 
supply.
    (7) Exhibit F-I--Environmental report. An environmental report as 
specified in Sec. Sec.  380.3 and 380.12 of this chapter. Applicant 
must submit all appropriate revisions to Exhibit F-I whenever route or 
site changes are filed. These revisions should identify the locations 
by mile post and describe all other specific differences resulting from 
the route or site changes, and should not simply provide revised totals 
for the resources affected.
    (8) Exhibit G--Flow diagrams showing daily design capacity and 
reflecting operation with and without proposed facilities added. A flow 
diagram showing daily design capacity and reflecting operating 
conditions with only existing facilities in operation. A second flow 
diagram showing daily design capacity and reflecting operating 
conditions with both proposed and existing facilities in operation. 
Both flow diagrams shall include the following for the portion of the 
system affected:
    (i) Diameter, wall thickness, and length of pipe installed and 
proposed to be installed and the diameter and wall thickness of the 
installed pipe to which connection is proposed.
    (ii) For each proposed new compressor station and existing station, 
the size, type and number of compressor units, horsepower required, 
horsepower installed and proposed to be installed, volume of gas to be 
used as fuel, suction and discharge pressures, and compression ratio.
    (iii) Pressures and volumes of gas at the main line inlet and 
outlet connections at each compressor station.
    (iv) Pressures and volumes of gas at each intake and take-off point 
and at the beginning and terminus of the existing and proposed 
facilities and at the intake or take-off point of the existing 
facilities to which the proposed facilities are to be connected.
    (9) Exhibit G-I--Flow diagrams reflecting maximum capabilities. If 
Exhibit G does not reflect the maximum deliveries which applicant's 
existing and proposed facilities would be capable of achieving under 
most favorable operating conditions with utilization of all facilities, 
include an additional diagram or diagrams to depict such maximum 
capabilities. If the horsepower, pipelines, or other facilities on the 
segment of applicant's system under consideration are not being fully 
utilized due, e.g., to capacity limitation of connecting facilities or 
because of the need for standby or spare equipment, the reason for such 
nonutilization shall be stated.
    (10) Exhibit G-II--Flow diagram data. Exhibits G and G-I shall be 
accompanied by a statement of engineering design data in explanation 
and support of the diagrams and the proposed project, setting forth:
    (i) Assumptions, bases, formulae, and methods used in the 
development and preparation of such diagrams and accompanying data.
    (ii) A description of the pipe and fittings to be installed, 
specifying the diameter, wall thickness, yield point, ultimate tensile 
strength, method of fabrication, and methods of testing proposed.
    (iii) When lines are looped, the length and size of the pipe in 
each loop.
    (iv) Type, capacity, and location of each natural gas storage field 
or facility, and of each dehydration, desulphurization, natural gas 
liquefaction, hydrocarbon extraction, or other similar plant or 
facility directly attached to the applicant's system, indicating which 
of such plants are owned or operated by applicant, and which by others, 
giving their names and addresses.
    (v) If the daily design capacity shown in Exhibit G is predicated 
upon an ability to meet each customer's maximum contract quantity on 
the same day, explain the reason for such coincidental peak-day design. 
If the design day capacity shown in Exhibit G is predicated upon an 
assumed diversity factor, state that factor and explain its derivation.
    (vi) The maximum allowable operating pressure of each proposed 
facility for which a certificate is requested, as permitted by the 
Department of Transportation's safety standards. The applicant shall 
certify that it will design, install, inspect, test, construct, 
operate, replace, and maintain the facilities for which a certificate 
is requested in accordance with Federal safety standards and plans for 
maintenance and inspection or shall certify that it has been granted a 
waiver of the requirements of the safety standards by the Department of 
Transportation in accordance with the provisions of section 3(e) of the 
Natural Gas Pipeline Safety Act of 1968. Pertinent details concerning 
the waiver shall be set forth.
    (11) Exhibit H--Total gas supply data. A statement by applicant 
describing:
    (i) Those production areas accessible to the proposed construction 
that contain sufficient existing or potential gas supplies for the 
proposed project; and
    (ii) How those production areas are connected to the proposed 
construction.
    (12) Exhibit I--Market data. A system-wide estimate of the volumes 
of gas to be delivered during each of the first 3 full years of 
operation of the proposed service, sale, or facilities and during the 
years when the proposed facilities are under construction, and actual 
data of like import for each of the 3 years next preceding the filing 
of the application, together with:
    (i) Names and locations of customer companies and municipalities, 
showing the number of residential, commercial, firm industrial, 
interruptible industrial, residential space-heating, commercial space-
heating, and other types of customers for each distribution system to 
be served at retail or wholesale; and the names and locations of each 
firm and interruptible direct industrial customer whose estimated 
consumption totals 10,000 Mcf or more in any calendar month or 100,000 
Mcf or more per year together with an explanation of the end use to 
which each of these industrial customers will put the gas.
    (ii) Applicant's total annual and peak day gas requirements by 
classification of service in paragraph (a)(11)(i) of this section, 
divided as follows: Gas requirements for each distribution area where 
gas is sold by applicant at retail; for each wholesale customer; for 
all main line direct industrial customers; and company use and 
unaccounted-for gas, for both the applicant and each wholesale 
customer.
    (iii) Total past and expected curtailments of service by the 
applicant and each wholesale customer proposing to receive new or 
additional supplies of gas from the project, all to be listed by the 
classifications of service in paragraph (a)(12)(i) of this section.
    (iv) Explanation and derivation of basic factors used in estimating 
future requirements, including, for example: Peak-day and annual 
degree-day deficiencies, annual load factors of applicant's system and 
of its deliveries to its proposed customers; individual consumer peak-
day and annual consumption factors for each class of consumers, with 
supporting historical data; forecasted saturation of space-heating as 
related to past experience; and full detail as to all other sources of 
gas supply available to applicant and to each of its customers, 
including manufacturing facilities and liquid petroleum gas.

[[Page 15158]]

    (v) Conformed copy of each contract, letter of intent or other 
agreement for sale or transportation of natural gas proposed by the 
application. Indicate the rate to be charged. If no agreements have 
been made, indicate the basis for assuming that contracts will be 
consummated and that service will be rendered under the terms 
contemplated in the application.
    (vi) A full description of all facilities, other than those covered 
by the application, necessary to provide service in the communities to 
be served, the estimated cost of such facilities, by whom they are to 
be constructed, and evidence of economic feasibility.
    (vii) A copy of each market survey made within the past three years 
for such markets as are to receive new or increased service from the 
project applied for.
    (viii) A statement showing the franchise rights of applicant or 
other person to distribute gas in each community in which service is 
proposed.
    (ix) When an application requires a statement of total peak-day or 
annual market requirements of affiliates, whose operations are 
integrated with those of applicant, to demonstrate applicant's ability 
to provide the service proposed or to establish a gas supply, estimates 
and data required by this paragraph (a)(12)(ix) shall also be stated in 
like detail for such affiliates.
    (x) When the proposed project is for service which would not 
decrease the life index of the total system gas supply by more than one 
year, the data required in paragraphs (a)(12)(i) to (ix), inclusive, of 
this section need be submitted only as to the particular market to 
receive new or additional service.
    (13) Exhibit J--Federal authorizations. A statement identifying 
each Federal authorization that the proposal will require; the Federal 
agency or officer, or State agency or officer acting pursuant to 
delegated Federal authority, that will issue each required 
authorization; the date each request for authorization was submitted; 
why any request was not submitted and the date submission is expected; 
and the date by which final action on each Federal authorization has 
been requested or is expected.
    (14) Exhibit K--Cost of facilities. A detailed estimate of total 
capital cost of the proposed facilities for which application is made, 
showing cost of construction by operating units such as compressor 
stations, main pipelines, laterals, measuring and regulating stations, 
and separately stating the cost of right-of-way, damages, surveys, 
materials, labor, engineering and inspection, administrative overhead, 
fees for legal and other services, allowance for funds used during 
construction, and contingencies. Include a brief statement indicating 
the source of information used as the basis for the above estimate. If 
not otherwise set forth, submit data on preliminary bids, if any, for 
the proposed facilities and recent experienced cost data for facilities 
of similar character.
    (15) Exhibit L--Financing. Plans for financing the proposed 
facilities for which the application is filed, together with:
    (i) A description of the class (e.g., commercial paper, long-term 
debt, preferred stock) and cost rates for securities expected to be 
issued with construction period and post- operational sources of 
financing separately identified.
    (ii) Statement of anticipated cash flow, including provision during 
the period of construction and the first 3 full years of operation of 
proposed facilities for interest requirements, dividends, and capital 
requirements.
    (iii) A balance sheet and income statement (12 months) of most 
recent data available.
    (iv) Comparative pro forma balance sheets and income statements for 
the period of construction and each of the first 3 full years of 
operation, giving effect to the proposed construction and proposed 
financing of the project.
    (v) Any additional data and information upon which applicant 
proposes to rely in showing the adequacy and availability of resources 
for financing its proposed project.
    (vi) In instances for which principal operations of the company 
have not commenced or where proposed rates for services are developed 
on an incremental basis, a brief statement explaining how the applicant 
will determine the actual allowance for funds used during construction 
(AFUDC) rate, or if a rate is not to be used, how the applicant will 
determine the actual amount of AFUDC to be capitalized as a component 
of construction cost, and why the method is appropriate under the 
circumstances.
    (16) Exhibit M--Construction, operation, and management. A concise 
statement setting forth arrangements for supervision, management, 
engineering, accounting, legal, or other similar service to be rendered 
in connection with the construction or operation of the project, if not 
to be performed by employees of applicant, including reference to any 
existing or contemplated agreements therefor, together with:
    (i) A statement showing affiliation between applicant and any 
parties to such agreements or arrangements. See Exhibit D, paragraph 
(a)(4) of this section.
    (ii) Conformed copies of all construction, engineering, management, 
and other similar service agreements or contracts in any way operative 
with respect to construction, operation, or financing of facilities 
which are the subject of the application or will be applicable under 
system operations.
    (17) Exhibit N--Revenues--Expenses--Income. When the estimated 
revenues and expenses related to a proposed facility will significantly 
affect the operating revenues or operating expenses of an applicant, 
there shall be submitted a system-wide statement for the last year 
preceding the proposed construction or service and pro forma system-
wide and incremental statements for each of the first three full years 
of operation of the proposed facilities, showing:
    (i) Gas system annual revenues and volumes of natural gas related 
thereto, subdivided by classes of service, and further subdivided by 
sales to direct industrial customers, sales to other gas utilities, and 
other sales, indicating billing quantities used for computing charges, 
e.g., actual demands, billing demands, volumes, heat-content adjustment 
or other determinants. In addition, if enlargement or extension of 
facilities is involved, the revenues attributable solely to the 
proposed facilities shall be stated separately, and the basis and data 
used in such computation shall be clearly shown.
    (ii) Gas system annual operating expenses classified in accordance 
with the Commission's Uniform System of Accounts for Natural Gas 
Companies; the annual depreciation, depletion, taxes, utility income, 
and resulting rate of return on net investment in gas plant including 
working capital. In addition if enlargement or extension of facilities 
is involved, the cost of service attributable solely to the proposed 
facilities shall be stated separately with supporting data.
    (iii) When the data required in paragraphs (a)(17)(i) and (ii) of 
this section is not submitted, applicant shall provide in lieu thereof 
a statement in sufficient detail to show clearly the effect on the 
operating revenues and operating expenses of the estimated revenues and 
expenses related to the proposed facility.
    (18) Exhibit O--Depreciation and depletion. Depreciation and 
depletion rates to be established, the method of determination and the 
justification therefor.
    (19) Exhibit P--Tariff. (i) A statement of the rates to be charged 
for the proposed sales or service, including:

[[Page 15159]]

    (A) Identification of the applicable presently effective rate 
schedules, when no additional tariff filings will be required, or
    (B) When changes are required in applicant's presently effective 
tariff, or if applicant has no tariff, pro forma copies of appropriate 
changes in or additions to the effective tariff or a pro forma copy of 
the new gas tariff proposed, or
    (C) When a new rate is proposed, a statement explaining the basis 
used in arriving at the proposed rate. Such statement shall clearly 
show whether such rate results from negotiation, cost-of-service 
determination, competitive factors or others, and shall give the nature 
of any studies which have been made in connection therewith.
    (ii) When new rates or changes in present rates are proposed or 
when the proposed facilities will result in a material change in 
applicant's average cost of service, such statement shall be 
accompanied by supporting data showing:
    (A) System cost of service for the first calendar year of operation 
after the proposed facilities are placed in service.
    (B) An allocation of such costs to each particular service 
classification, with the basis for each allocation clearly stated.
    (C) The proposed rate base and rate of return.
    (D) Gas operating expenses, segregated functionally by accounts.
    (E) Depletion and depreciation.
    (F) Taxes with the basis upon which computed.
* * * * *
[FR Doc. 2016-06288 Filed 3-21-16; 8:45 am]
BILLING CODE 6717-01-P