MEC&F Expert Engineers : 12/04/14

Thursday, December 4, 2014

COMPRESSOR STATION 319, ROSE LAKE STATION, TENNESSEE GAS PIPELINE COMPANY, COMPLETED OCTOBER 2014

COMPRESSOR STATION 319, ROSE LAKE STATION, TENNESSEE GAS PIPELINE COMPANY, COMPLETED OCTOBER 2014











COMPRESSOR STATION 315, TENNESSEE GAS PIPELINE COMPANY, COMPLETED SEPTEMBER 2014

COMPRESSOR STATION 315, ROSE LAKE STATION, TENNESSEE GAS PIPELINE COMPANY, COMPLETED SEPTEMBER 2014




Building evacuated due to propane leak from truck that had been rear-ended in Conyers, Georgia



Building evacuated due to propane leak from truck that had been rear-ended in Conyers, Georgia



##CONYERS — Between 75 and 100 people were evacuated Thursday morning at a warehouse and office building on Ga. Highway 138 due to a propane leak from a tanker truck.
##Rockdale Fire and Rescue Chief Dan Morgan said four fire engines, a ladder truck and the hazmat team responded to the scene around 9:30 a.m. after a tractor-trailer truck bumped into the rear of the propane truck, striking the metal box that contains the delivery valves and causing a valve to leak.
##Morgan said firefighters evacuated the building — which includes warehouse and office space for CSC Atlanta, a packaging supply store, and warehouse space for Golden State Foods. Firefighters then sprayed a water curtain around the propane truck as a preventive measure against sparks. Firefighters also sprayed a wide water plume to push the propane gas away from the building.
##“Propane is slightly heavier than air, and they don’t want it to spread into the building,” Morgan explained from the scene.
##Morgan said the hazmat team had to work to get close enough to the truck to access the metal box that contains the control valves. The box was crushed in the impact with the tractor-trailer, he said, so team members had to pry it open.
##Morgan said the propane leak was under control by about 10:20 a.m. No injuries were reported in the incident.

http://www.rockdalecitizen.com/news/2014/dec/04/building-evacuated-due-to-propane-leak-from-truck/

FEMA: ANY PART OF A CLAIM OR ESTIMATE NOT FULLY SUPPORTED BY DOCUMENTED PROOF CANNOT BE PRESENTED FOR PAYMENT— STATEMENTS WITHOUT SUPPORTING DOCUMENTATION ARE INSUFFICIENT TO JUSTIFY PAYMENT OF NFIP FUNDS.





FEMA:  Any part of a claim or estimate not fully supported by documented proof cannot be presented for payment— statements without supporting documentation are insufficient to justify payment of NFIP funds.


On November 20, 2014, FEMA issued some additional clarifications to facilitate the handling of flood claims for settlement purposes.  It is very important for the policyholders to provide receipts and other backup to support their expenses when they performed repairs prior to the claim being approved by FEMA.  FEMA will require actual receipts, paid bills, paid invoices, cancelled checks and the like to support payment.


Here is the memo.




 U.S. Department of Homeland Security 500 C St. SW Washington, D.C. 20472







W-14058

 November 20, 2014

 MEMORANDUM FOR: Write Your Own (WYO) Company Principal Coordinators and the
National Flood Insurance Program (NFIP) Servicing Agent

SUBJECT: Clarification on: 1) Application of the Dwelling Form Loss Settlement Clause; 2) Use of Flood Insurance Claims Proceeds; and 3) FEMA’s Underwriting and Claims Operation Review Tool (U-CORT) November 20, 2014


 This Bulletin addresses the application of the Loss Settlement Clause of the Standard Flood Insurance Policy (SFIP) Dwelling Form, 44 C.F.R. Part 61, App. A(1), § VII(V). Specifically, it explains the application of the Loss Settlement Clause to the settlement of claims when there is direct physical loss by or from flood to the policyholder’s insured property.

The Loss Settlement Clause sets forth three methods of settling insured losses: Replacement Cost Loss Settlement, Special Loss Settlement, and the Actual Cash Value Loss Settlement. This Bulletin addresses the application of the Replacement Cost Loss Settlement and Actual Cash Value Loss Settlement provisions.

Replacement Cost Loss Settlement
For dwellings that qualify for the Replacement Cost Loss Settlement, the NFIP will pay to repair or replace the damaged dwelling, after applying the deductible but without deducting the value of its physical depreciation, in an amount equal to either:

(1) The limit of liability for building coverage as shown on the policyholder’s Declaration Page;
(2) The replacement cost of that part of the dwelling that was damaged, with materials of like kind and quality, and for like use; or
(3) The necessary amount actually spent to repair or replace the damaged part of the dwelling for like use.

Applying this provision, the NFIP will pay the least of those three amounts.

Questions related to the Replacement Cost Loss Settlement provision often relate to eligibility for additional payment after repairs and initial payment has been made based on an estimate of replacement cost, and a policyholder seeks additional payment based on the actual cost of repairs. The policyholder is eligible for payment based on actual costs, and the NFIP insurer will need documentation of the actual costs in order to make the additional payment. FEMA will require actual receipts, paid bills, paid invoices, cancelled checks and the like to support payment. If repairs have been completed, it is the policyholder’s responsibility to prove that the claim amounts paid plus the value of the deductible(s) and any applicable physical depreciation were spent to repair or replace covered flood damage. 



Actual Cash Value Loss Settlement
Buildings that are not eligible for the Replacement Cost Loss Settlement provision are treated under the Actual Cash Value Loss Settlement provision, which provides compensation based on “[t]he cost to replace an insured item of property at the time of loss, less the value of its physical depreciation” and less the policy deductible.

Significantly, the Actual Cash Value Loss Settlement provision does not provide for a separate and distinct method to calculate the amount of the loss—it only provides a different approach to compensate for the loss. This principle appears to have caused confusion and requires clarification. If the damage has not been repaired, the amount of the loss is determined by the adjustment based on principles set forth in the Standard Flood Insurance Policy, other guidance, and on the supported and verifiable estimate prepared by the adjuster and, when available, receipts, and other data showing the estimated cost of repair to further support the adjuster’s estimate. If repairs have been completed, it is the policyholder’s responsibility to prove that the amounts paid on the claim plus the value of the deductible(s) and any applicable physical depreciation[1] were spent to repair or replace covered flood damage. This only can be done by presenting receipts, paid bills, paid invoices, and canceled checks. The amount of loss cannot be determined on an estimate that is not fully supported by the proof discussed above.  Any part of a claim or estimate not fully supported by documented proof cannot be presented for payment— statements without supporting documentation are insufficient to justify payment of NFIP funds. 

The NFIP insurer may hire CPAs or other financial experts to calculate the amount actually spent plus the value of the deductible(s) and applicable depreciation. Only once the value of the loss has been determined, either with receipts documenting repairs and/or a contractor’s estimate of new damage that has not yet been repaired but has been verified, can the NFIP insurer calculate the replacement cost or actual cash value loss additional payment, as appropriate. The starting point for either methodology of calculating the settlement amount is the same—the replacement cost of flood damaged insured property with no deduction for the deductible and applicable depreciation. Under the Replacement Cost Loss Settlement provision, no deduction for the value of physical depreciation1 is applied to the amount of loss, although the deductible is applied. Under the Actual Cash Value Loss Settlement provision, the amount of loss is reduced by both the value of physical depreciation and the applicable deductible(s). This process is consistent with the SFIP’s “Our Options After a Loss” clause, 44 C.F.R. Part 61, App. A(1), § VII(K) and (V).



A second issue also needs clarification. Where repairs have been made before a request for additional payment is submitted, the NFIP Insurer must determine that funds previously provided were spent to make repairs and that the supplemental request does not duplicate the prior payment. Once payment is made to the policyholder, the NFIP has no control over the use of the funds. The policyholder may use the funds to repair the covered loss, repair losses that are not covered by the SFIP, or for any other use. Also, the deductible and any applicable depreciation are the responsibility of the policyholder and cannot be reimbursed as a part of any additional payment(s). Accordingly, a policyholder’s lack of funds to complete repairs does not per se show an underpayment. 

To be eligible for additional NFIP payment, the policyholder must document that funds previously paid were used to repair or replace covered damage and must show with specificity that additional funds to repair covered damage are required. The NFIP insurer should carefully review the evidence of actual loss, together with paid receipts, paid invoices, canceled checks, and other evidence of payment for repairs, to ensure that the insured is not seeking duplicate payments, payment for uncovered losses, or the values of applicable deprecation and the deductible(s) in a request for additional payment.
A third issue that requires clarification is the appropriate use and representation of FEMA’s Underwriting and Claims Operation Review Tool (U-CORT) and the meaning of recent revisions to the U-CORT template. U-CORT is a computer-based program designed to document information for operational reviews that is also used for the granting of a waiver of the SFIP’s time requirement for policyholders to send the Proof of Loss to their NFIP insurer.  The NFIP Insurer documents the basis for a request for a waiver through the use of U-CORT, thus facilitating the expeditious resolution of claims. The revisions to the FEMA U-CORT template merely asks and reminds NFIP insurers of factors they already evaluate during the claim process and prior to making the waiver request. 

Any questions or comments should be directed to Russell M. Tinsley, AIC. Mr. Tinsley’s email address is Russell.Tinsley@fema.dhs.gov. 

Once again we ask for your cooperation. 

cc: Vendors, Government Technical Representatives, IBHS



[1] SFIP Dwelling Form, Section VII, V.4 list the types of property that are always settled at Actual Cash Value regardless of the applicable Loss Settlement provision. Notably, the list includes appliances, carpets, and carpet pads, outdoor awnings, outdoor antennas or aerials, and other outdoor equipment.



FEMA: ANY PART OF A CLAIM OR ESTIMATE NOT FULLY SUPPORTED BY DOCUMENTED PROOF CANNOT BE PRESENTED FOR PAYMENT— STATEMENTS WITHOUT SUPPORTING DOCUMENTATION ARE INSUFFICIENT TO JUSTIFY PAYMENT OF NFIP FUNDS.





FEMA:  Any part of a claim or estimate not fully supported by documented proof cannot be presented for payment— statements without supporting documentation are insufficient to justify payment of NFIP funds.


On November 20, 2014, FEMA issued some additional clarifications to facilitate the handling of flood claims for settlement purposes .  It is very important for the policyholders to provide receipts and other backup to support their expenses when they performed repairs prior to the claim being approved by FEMA.  FEMA will require actual receipts, paid bills, paid invoices, cancelled checks and the like to support payment


Here is the memo.




 U.S. Department of Homeland Security 500 C St. SW Washington, D.C. 20472







W-14058

 November 20, 2014

 MEMORANDUM FOR: Write Your Own (WYO) Company Principal Coordinators and the
National Flood Insurance Program (NFIP) Servicing Agent

SUBJECT: Clarification on: 1) Application of the Dwelling Form Loss Settlement Clause; 2) Use of Flood Insurance Claims Proceeds; and 3) FEMA’s Underwriting and Claims Operation Review Tool (U-CORT) November 20, 2014


 This Bulletin addresses the application of the Loss Settlement Clause of the Standard Flood Insurance Policy (SFIP) Dwelling Form, 44 C.F.R. Part 61, App. A(1), § VII(V). Specifically, it explains the application of the Loss Settlement Clause to the settlement of claims when there is direct physical loss by or from flood to the policyholder’s insured property.

The Loss Settlement Clause sets forth three methods of settling insured losses: Replacement Cost Loss Settlement, Special Loss Settlement, and the Actual Cash Value Loss Settlement. This Bulletin addresses the application of the Replacement Cost Loss Settlement and Actual Cash Value Loss Settlement provisions.

Replacement Cost Loss Settlement
For dwellings that qualify for the Replacement Cost Loss Settlement, the NFIP will pay to repair or replace the damaged dwelling, after applying the deductible but without deducting the value of its physical depreciation, in an amount equal to either:

(1) The limit of liability for building coverage as shown on the policyholder’s Declaration Page;
(2) The replacement cost of that part of the dwelling that was damaged, with materials of like kind and quality, and for like use; or
(3) The necessary amount actually spent to repair or replace the damaged part of the dwelling for like use.

Applying this provision, the NFIP will pay the least of those three amounts.

Questions related to the Replacement Cost Loss Settlement provision often relate to eligibility for additional payment after repairs and initial payment has been made based on an estimate of replacement cost, and a policyholder seeks additional payment based on the actual cost of repairs. The policyholder is eligible for payment based on actual costs, and the NFIP insurer will need documentation of the actual costs in order to make the additional payment. FEMA will require actual receipts, paid bills, paid invoices, cancelled checks and the like to support payment. If repairs have been completed, it is the policyholder’s responsibility to prove that the claim amounts paid plus the value of the deductible(s) and any applicable physical depreciation were spent to repair or replace covered flood damage. 



Actual Cash Value Loss Settlement
Buildings that are not eligible for the Replacement Cost Loss Settlement provision are treated under the Actual Cash Value Loss Settlement provision, which provides compensation based on “[t]he cost to replace an insured item of property at the time of loss, less the value of its physical depreciation” and less the policy deductible.

Significantly, the Actual Cash Value Loss Settlement provision does not provide for a separate and distinct method to calculate the amount of the loss—it only provides a different approach to compensate for the loss. This principle appears to have caused confusion and requires clarification. If the damage has not been repaired, the amount of the loss is determined by the adjustment based on principles set forth in the Standard Flood Insurance Policy, other guidance, and on the supported and verifiable estimate prepared by the adjuster and, when available, receipts, and other data showing the estimated cost of repair to further support the adjuster’s estimate. If repairs have been completed, it is the policyholder’s responsibility to prove that the amounts paid on the claim plus the value of the deductible(s) and any applicable physical depreciation[1] were spent to repair or replace covered flood damage. This only can be done by presenting receipts, paid bills, paid invoices, and canceled checks. The amount of loss cannot be determined on an estimate that is not fully supported by the proof discussed above.  Any part of a claim or estimate not fully supported by documented proof cannot be presented for payment— statements without supporting documentation are insufficient to justify payment of NFIP funds. 

The NFIP insurer may hire CPAs or other financial experts to calculate the amount actually spent plus the value of the deductible(s) and applicable depreciation. Only once the value of the loss has been determined, either with receipts documenting repairs and/or a contractor’s estimate of new damage that has not yet been repaired but has been verified, can the NFIP insurer calculate the replacement cost or actual cash value loss additional payment, as appropriate. The starting point for either methodology of calculating the settlement amount is the same—the replacement cost of flood damaged insured property with no deduction for the deductible and applicable depreciation. Under the Replacement Cost Loss Settlement provision, no deduction for the value of physical depreciation1 is applied to the amount of loss, although the deductible is applied. Under the Actual Cash Value Loss Settlement provision, the amount of loss is reduced by both the value of physical depreciation and the applicable deductible(s). This process is consistent with the SFIP’s “Our Options After a Loss” clause, 44 C.F.R. Part 61, App. A(1), § VII(K) and (V).



A second issue also needs clarification. Where repairs have been made before a request for additional payment is submitted, the NFIP Insurer must determine that funds previously provided were spent to make repairs and that the supplemental request does not duplicate the prior payment. Once payment is made to the policyholder, the NFIP has no control over the use of the funds. The policyholder may use the funds to repair the covered loss, repair losses that are not covered by the SFIP, or for any other use. Also, the deductible and any applicable depreciation are the responsibility of the policyholder and cannot be reimbursed as a part of any additional payment(s). Accordingly, a policyholder’s lack of funds to complete repairs does not per se show an underpayment. 

To be eligible for additional NFIP payment, the policyholder must document that funds previously paid were used to repair or replace covered damage and must show with specificity that additional funds to repair covered damage are required. The NFIP insurer should carefully review the evidence of actual loss, together with paid receipts, paid invoices, canceled checks, and other evidence of payment for repairs, to ensure that the insured is not seeking duplicate payments, payment for uncovered losses, or the values of applicable deprecation and the deductible(s) in a request for additional payment.
A third issue that requires clarification is the appropriate use and representation of FEMA’s Underwriting and Claims Operation Review Tool (U-CORT) and the meaning of recent revisions to the U-CORT template. U-CORT is a computer-based program designed to document information for operational reviews that is also used for the granting of a waiver of the SFIP’s time requirement for policyholders to send the Proof of Loss to their NFIP insurer.  The NFIP Insurer documents the basis for a request for a waiver through the use of U-CORT, thus facilitating the expeditious resolution of claims. The revisions to the FEMA U-CORT template merely asks and reminds NFIP insurers of factors they already evaluate during the claim process and prior to making the waiver request. 

Any questions or comments should be directed to Russell M. Tinsley, AIC. Mr. Tinsley’s email address is Russell.Tinsley@fema.dhs.gov. 

Once again we ask for your cooperation. 

cc: Vendors, Government Technical Representatives, IBHS



[1] SFIP Dwelling Form, Section VII, V.4 list the types of property that are always settled at Actual Cash Value regardless of the applicable Loss Settlement provision. Notably, the list includes appliances, carpets, and carpet pads, outdoor awnings, outdoor antennas or aerials, and other outdoor equipment.



FERC APPROVES THE CONSTITUTION PIPELINE SUBJECT TO LARGE NUMBER OF ENVIRONMENTAL AND CONSTRUCTION CONDITIONS





FERC APPROVES THE Constitution Pipeline SUBJECT TO A LARGE NUMBER OF ENVIRONMENTAL AND CONSTRUCTION CONDITIONS

Further, as set forth in the environmental discussion below, we agree with the conclusion in the Environmental Impact Statement (EIS) that, if constructed and operated in accordance with applicable laws and regulations, the projects will result in some adverse environmental impacts, but that these impacts will be reduced to less-than-significant levels with the implementation of Constitution’s and Iroquois’ proposed mitigation and staff’s recommendations (now adopted as conditions in the attached Appendix A of the order. Therefore, for the reasons stated below, we grant the requested authorizations, subject to conditions.

_______________________________________________________
 ORDER ISSUING CERTIFICATES AND APPROVING ABANDONMENT
(Issued December 2, 2014)

On June 13, 2013, Constitution Pipeline Company, LLC (Constitution) filed an application in Docket No. CP13-499-000, pursuant to section 7(c) of the Natural Gas Act (15 U.S.C. § 717f(c) (2012))(NGA) and Part 157 of the Commission’s regulations, (18 C.F.R. Pt. 157 (2014)) for authorization to construct and operate an approximately 124-mile-long, 30-inch diameter interstate pipeline and related facilities extending from two receipt points in Susquehanna County, Pennsylvania, to a proposed interconnection with Iroquois Gas Transmission System, L.P. (Iroquois) in Schoharie County, New York. The proposed pipeline is designed to provide up to 650,000 dekatherms (Dth) per day of firm transportation service. In addition, Constitution seeks authorization to enter into a capacity lease agreement whereby Iroquois will construct the compression necessary for Constitution to deliver the natural gas from the terminus of the proposed interstate pipeline into both Iroquois and Tennessee Gas Pipeline Company, L.L.C. (Tennessee) and Iroquois will lease to Constitution the incremental capacity associated with the proposed compression (together, the Constitution Pipeline Project). Constitution also requests a blanket certificate under Part 284, Subpart G of the Commission's regulations to provide open-access transportation services and a blanket certificate under Part 157, Subpart F of the Commission's regulations to perform certain routine construction activities and operations.

Concurrently, Iroquois filed an application in Docket No. CP13-502-000, pursuant to section 7(c) of the NGA and Part 157 of the Commission’s regulations, for authorization to construct and operate compression facilities and modify existing facilities at its Wright Compressor Station in Schoharie County (Wright Interconnection Project). Iroquois also seeks authorization under section 7(b) of the NGA3 to abandon by lease to Constitution the incremental capacity associated with the project.
As explained herein, we find that the benefits the Constitution Pipeline Project and the Wright Interconnection Project will provide to the market outweigh any adverse effects on existing shippers, other pipelines and their captive customers, and on landowners and surrounding communities. Further, as set forth in the environmental discussion below, we agree with the conclusion in the Environmental Impact Statement (EIS) that, if constructed and operated in accordance with applicable laws and regulations, the projects will result in some adverse environmental impacts, but that these impacts will be reduced to less-than-significant levels with the implementation of Constitution’s and Iroquois’ proposed mitigation and staff’s recommendations (now adopted as conditions in the attached Appendix A of the order. Therefore, for the reasons stated below, we grant the requested authorizations, subject to conditions.

_____________________________________________________________________
The final EIS concludes that if the projects are constructed and operated in accordance with applicable laws and regulations, the projects will result in some adverse environmental impacts. However, these impacts described in the EIS will be reduced to less-than-significant levels with the implementation of Constitution’s and Iroquois’ proposed mitigation and staff’s recommendations (now adopted as conditions in the attached Appendix of this order). Major issues of concern addressed in the final EIS are summarized below and include: construction in areas of karst geology; waterbodies and wetlands; interior forests and migratory birds; invasive plant species, compliance enforcement; rare bat species; homeowners’ insurance and property values; safety; induced development of natural gas production; cumulative impacts; and alternatives.
 ___________________________________________________________
Conclusion
146. We have reviewed the information and analysis contained in the final EIS regarding potential environmental effects of the Constitution Pipeline and Wright Interconnect Projects. Based on our consideration of this information and the discussion above, we agree with the conclusions presented in the final EIS and find that the projects, if constructed and operated as described in the final EIS, are environmentally acceptable actions. We are accepting the environmental recommendations in the final EIS and are including them as conditions in the appendix to this order. 

147. Any state or local permits issued with respect to the jurisdictional facilities authorized herein must be consistent with the conditions of this certificate. The Commission encourages cooperation between interstate pipelines and local authorities. However, this does not mean that state and local agencies, through application of state or local laws, may prohibit or unreasonably delay the construction or operation of facilities approved by this Commission.[1]

148. The Commission on its own motion received and made a part of the record in this proceeding all evidence, including the applications, as supplemented, and exhibits thereto, and all comments submitted, and upon consideration of the record,

The Commission orders:
(A) A certificate of public convenience and necessity is issued authorizing Constitution to construct and operate the Constitution Pipeline Project, as described in this order and in the application in Docket No. CP13-499-000. 

(B) A blanket construction certificate is issued to Constitution under Subpart F of Part 157 of the Commission’s regulations. 

(C) A blanket transportation certificate is issued to Constitution under Subpart G of Part 284 of the Commission’s regulations.

(D) A certificate of public convenience and necessity is issued authorizing Iroquois to construct and operate the Wright Interconnect Project, as more fully described in this order and in the application in Docket No. CP13-502-000. 

(E) The certificate authority issued in Ordering Paragraphs (A) and (D) shall be conditioned on the following: 

(1) Applicants’ completion of the authorized construction of the proposed facilities and making them available for service within 24 months from the date of this order, pursuant to section 157.20(b) of the Commission’s regulations;
(2) Applicants’ compliance with all applicable Commission regulations under the NGA including, but not limited to, Parts 154 and 284, and paragraphs (a), (c), (e), and (f) of section 157.20 of the regulations;
(3) Applicants’ compliance with the environmental conditions listed in the appendix to this order. 

(F) Applicants shall notify the Commission's environmental staff by telephone or facsimile of any environmental noncompliance identified by other federal, state, or local agencies on the same day that such agency notifies an applicant. Applicants shall file written confirmation of such notification with the Secretary of the Commission within 24 hours

(G) Constitution shall execute firm contracts for the capacity levels and terms of service represented in signed precedent agreements, prior to commencing construction.
(H) Iroquois shall execute the Capacity Lease Agreement with Constitution, prior to commencing construction, and file it with the Commission at least 30 days prior to its effective date. 

(I) Constitution’s initial rates and tariff are approved, as conditioned and modified in this order. Constitution is required to file actual tariff records reflecting the initial rates and tariff that comply with the requirements contained in the body of this order not less than 30 days, and not more than 60 days, prior to the date the proposed project goes into service. 

(J) As discussed in the body of this order, within three years after its in-service date, Constitution must make a filing to justify its existing cost-based firm and interruptible recourse rates. In the alternative, in lieu of such filing, Constitution may make an NGA section 4 filing to propose alternative rates to be effective no later than three years after the in-service date for its proposed facilities.

(K) A certificate of public convenience and necessity is issued to Constitution authorizing it to lease capacity from Iroquois, as described and conditioned herein. 

(L) Iroquois is authorized to abandon by lease to Constitution capacity on Iroquois’ system, as described and conditioned and herein. 

(M) Iroquois shall notify the Commission within 10 days of the date of abandonment of the capacity leased to Constitution. 

(N) Iroquois shall make a NGA section 4 filing to revise its MV/FU Factor tariff provision at least 60 days before the commencement of service for the Wright Interconnect Project. 

(O) The late, unopposed motions to intervene filed before issuance of this order in each respective docket are granted. 

(P) The requests for an evidentiary hearing are denied. 

By the Commission.

( S E A L )

Kimberly D. Bose,
Secretary.
_________________________________________________________
Environmental Conditions
As recommended in the final environmental impact statement and otherwise amended herein, this authorization includes the following conditions. The section number in parentheses at the end of a condition corresponds to the section number in which the measure and related resource impact analysis appears in the final EIS. 

1. The Applicants (Constitution Pipeline Company, LLC and Iroquois Gas Transmission, L.P., jointly) shall each follow the construction procedures and mitigation measures described in their application and supplements, including responses to staff data requests and as identified in the EIS, unless modified by the Order. The Applicants must: a. request any modification to these procedures, measures, or conditions in a filing with the Secretary of the Commission (Secretary);
b. justify each modification relative to site-specific conditions;
c. explain how that modification provides an equal or greater level of environmental protection than the original measure; and
d. receive approval in writing from the Director of the Office of Energy Projects (OEP) before using that modification.

2. The Director of OEP has delegated authority to take whatever steps are necessary to ensure the protection of all environmental resources during construction and operation of the projects. This authority shall allow: a. the modification of conditions of the Order; and
b. the design and implementation of any additional measures deemed necessary (including stop-work authority) to ensure continued compliance with the intent of the environmental conditions as well as the avoidance or mitigation of adverse environmental impact resulting from construction and operation of the projects.

3. Prior to any construction, the Applicants shall each file an affirmative statement with the Secretary, certified by a senior company official, that all company personnel, environmental inspectors (EIs), and contractor personnel will be informed of the EIs’ authority and have been or will be trained on the implementation of the environmental mitigation measures appropriate to their jobs before becoming involved with construction and restoration activities.
4. The authorized facility locations shall be as shown in the EIS, as supplemented by filed alignment sheets. As soon as they are available, and before the start of construction, the Applicants shall file any revised detailed survey alignment maps/sheets at a scale not smaller than 1:6,000 with station positions for all facilities approved by the Order. All requests for modifications of environmental conditions of the Order or site-specific clearances must be written and must reference locations designated on these alignment maps/sheets. 

Constitution’s exercise of eminent domain authority granted under Natural Gas Act (NGA) Section 7(h) in any condemnation proceedings related to the Order must be consistent with these authorized facilities and locations. Constitution’s right of eminent domain granted under NGA Section 7(h) does not authorize it to increase the size of its natural gas pipeline to accommodate future needs or to acquire a right-of-way for a pipeline to transport a commodity other than natural gas. 

5. The Applicants shall file detailed alignment maps/sheets and aerial photographs at a scale not smaller than 1:6,000 identifying all route realignments or facility relocations, and staging areas, contractor yards, new access roads, and other areas that would be used or disturbed and have not been previously identified in filings with the Secretary. Approval for each of these areas must be explicitly requested in writing. For each area, the request must include a description of the existing land use/cover type, and documentation of landowner approval, whether any cultural resources or federally listed threatened or endangered species would be affected, and whether any other environmentally sensitive areas are within or abutting the area. All areas shall be clearly identified on the maps/sheets/aerial photographs. Each area must be approved in writing by the Director of OEP before construction in or near that area.

This requirement does not apply to extra workspace allowed by the Applicants’ Upland Erosion Control and Maintenance Plans and/or minor field realignments per landowner needs and requirements which do not affect other landowners or sensitive environmental areas such as wetlands.
Examples of alterations requiring approval include all route realignments and facility location changes resulting from:
a. implementation of cultural resources mitigation measures;
b. implementation of endangered, threatened, or special concern species mitigation measures;
c. recommendations by state regulatory authorities; and
d. agreements with individual landowners that affect other landowners or could affect sensitive environmental areas.

Within 60 days of the acceptance of the Certificate and before construction begins, the Applicants shall file their respective Implementation Plans for review and written approval by the Director of OEP. The Applicants must file revisions to their plans as schedules change. The plans shall identify: a. how the Applicants will implement the construction procedures and mitigation measures described in its application and supplements (including responses to staff data requests), identified in the EIS, and required by the Order; 

b. how the Applicants will incorporate these requirements into the contract bid documents, construction contracts (especially penalty clauses and specifications), and construction drawings so that the mitigation required at each site is clear to onsite construction and inspection personnel;
c. the number of EIs assigned, and how the company will ensure that sufficient personnel are available to implement the environmental mitigation;
d. company personnel, including EIs and contractors, who will receive copies of the appropriate material;
e. the location and dates of the environmental compliance training and instructions the Applicants will give to all personnel involved with construction and restoration (initial and refresher training as the projects progress and personnel change) with the opportunity for OEP staff to participate in the training sessions;
f. the company personnel (if known) and specific portion of the Applicant’s organization having responsibility for compliance;
g. the procedures (including use of contract penalties) the Applicants will follow if noncompliance occurs; and
h. for each discrete facility, a Gantt or PERT chart (or similar project scheduling diagram), and dates for:

(1) the completion of all required surveys and reports;
(2) the environmental compliance training of onsite personnel;
(3) the start of construction; and
(4) the start and completion of restoration. 

7. Beginning with the filing of its Implementation Plan, Constitution shall file updated status reports with the Secretary on a weekly basis until all construction and restoration activities are complete. Iroquois shall file updated status reports with the Secretary on a monthly basis until construction and restoration activities are complete. On request, these status reports will also be provided to other federal and state agencies with permitting responsibilities. Status reports shall include: a. an update on the Applicant’s efforts to obtain the necessary federal authorizations; 

b. the construction status of the projects, work planned for the following reporting period, and any schedule changes for stream crossings or work in other environmentally sensitive areas;
c. a listing of all problems encountered and each instance of noncompliance observed by the EIs during the reporting period (both for the conditions imposed by the Commission and any environmental conditions/permit requirements imposed by other federal, state, or local agencies);
d. a description of corrective actions implemented in response to all instances of noncompliance, and their cost;
e. the effectiveness of all corrective actions implemented;
f. a description of any landowner/resident complaints that may relate to compliance with the requirements of the Order, and the measures taken to satisfy their concerns; and
g. copies of any correspondence received by the Applicants from other federal, state, or local permitting agencies concerning instances of noncompliance, and the Applicant’s response.

8. Prior to receiving written authorization from the Director of OEP to commence construction of their respective project facilities, the Applicants shall file documentation that they have received all applicable authorizations required under federal law (or evidence of waiver thereof). 

9. The Applicants must receive written authorization from the Director of OEP before placing their respective projects into service. Such authorization will only be granted following a determination that rehabilitation and restoration of areas affected by the projects are proceeding satisfactorily. 

10. Within 30 days of placing the authorized facilities in service, each Applicant shall file an affirmative statement with the Secretary, certified by a senior company official: a. that the facilities have been constructed in compliance with all applicable conditions, and that continuing activities will be consistent with all applicable conditions; or
b. identifying which of the Certificate conditions the Applicant has complied or will comply with. This statement shall also identify any areas affected by the projects where compliance measures were not properly implemented, if not previously identified in filed status reports, and the reason for noncompliance.

11. Constitution shall adopt the minor route variations and/or modifications of construction methods for the tracts specified in table 3.4.3-1 and as depicted in Appendix H-2A of the EIS (except for TRK# 478.0 as identified in Constitution’s October 31, 2014 filing). As part of its Implementation Plan, Constitution shall file with the Secretary updated alignment sheets incorporating these minor route variations and modifications of construction methods prior to the start of construction. (section 3.4.3.2) 

12. Constitution shall adopt the minor route variations and/or modifications of construction methods for the tracts specified in table 3.4.3-2 and as depicted in Appendix H-2B of the EIS (except for TRK#s 892.0, 893.0, 902.0, 895.0, 897.0, 898.0, as identified in Constitution’s October 31, 2014 filing). As part of its Implementation Plan, Constitution shall file with the Secretary updated alignment sheets incorporating these minor route variations, and modifications of construction methods, prior to the start of construction. (section 3.4.3.2) 

13. Constitution shall adopt the minor route variation for tracts UA-NY-CH-015.001, NY-CH-015.000, and NY-CH-016.000 as specified in table 3.4.3-3 and as depicted in Appendix H-3A of the EIS. Constitution shall file updated alignment sheets incorporating this minor route variation with the Secretary prior to the start of construction. (section 3.4.3.3) 

14. Prior to construction, Constitution shall file with the Secretary all outstanding geotechnical feasibility studies for trenchless crossing locations. (section 4.1.1.2)
15. Constitution shall adopt the recommendations and mitigation measures for steep slope and karst areas provided in the Geological Reconnaissance Memorandum dated October 4, 2013. (section 4.1.3.4) 

16. Constitution shall employ a geotechnical expert to identify and develop mitigation measures (where applicable) regarding potential landslide hazards during construction of the pipeline. (section 4.1.3.4) 

17. Constitution shall adhere to a maximum allowable construction equipment rutting depth of 4 inches in saturated agricultural areas, where Constitution has not segregated topsoil across the full right-of-way width. (section 4.2.4) 

18. Prior to conducting any agricultural restoration between October 1 and May 15, Constitution shall determine soil workability in consultation with the FERC, the NYSDAM, and the agricultural inspector (AI) for all New York agricultural parcels. (section 4.2.4) 

19. Prior to construction, Constitution shall file with the Secretary the location of all water wells and springs within 150 feet of the pipeline and aboveground facilities. (section 4.3.1.5)

Prior to construction, Constitution shall file with the Secretary the results of water wells, waterbodies, and wetlands surveys for all proposed contractor yards not previously filed, as well as the status of any required agency consultations. (section 4.3.2)
21. Constitution shall not permanently fill any waterbodies or wetlands for the use of access roads. (section 4.3.3.1) 

22. During construction of the project, Constitution shall not clear any trees between the workspaces for Direct Pipe entry and exit sites [or horizontal directional drill (HDD), if subsequently proposed]. To facilitate the use of the Direct Pipe (or HDD) tracking system or acquisition of water for makeup of the Direct Pipe (or HDD) slurry, Constitution may employ minor brush clearing, less than 3 feet wide between workspaces, using hand tools only. During operation, Constitution shall not conduct any routine vegetation maintenance in these areas. (section 4.4.3) 

23. Prior to construction, Constitution shall file with the Secretary, for review and written approval of the Director of the OEP, a final Migratory Bird and Upland Forest Plan developed in consultation with the U.S. Fish and Wildlife Service, the New York State Department of Environmental Conservation, the Pennsylvania Department of Conservation and Natural Resources, and the PGC. The final plan shall include a discussion of compliance with the Migratory Bird Treaty Act (MBTA) and Bald and Golden Eagle Protection Act (BGEPA); measures to avoid, reduce, or minimize unavoidable impacts on forests and migratory birds; and establishment of mitigation plans for conservation of migratory bird habitat. (section 4.5.3.1) 

24. Constitution shall conduct invasive species monitoring within the maintained right-of-way for 3 years following successful completion of revegetation as determined by the FERC staff based on the FERC staff’s post-construction monitoring inspections. Constitution shall file a report documenting the monitoring results after the 3 year period. Constitution shall not move mowing and maintenance equipment from an area where known invasive species have been encountered during operation of the project unless it is cleaned prior to moving. (section 4.5.4) 

25. Prior to construction, Constitution shall file with the Secretary the final, complete results of its invasive plant surveys and the planned locations of weed wash stations for review and written approval of the Director of OEP. (section 4.5.3) 

26. Immediately prior to any vegetation clearing to be conducted between April 1 and August 31, Constitution shall conduct nest surveys for birds of conservation concern performed by qualified personnel within areas proposed for clearing. Constitution shall file the results of the surveys with the Secretary and provide a buffer around any active nests to avoid potential impacts until the young have fledged. (section 4.6.1.3) 

27. Prior to in-stream blasting at any waterbody crossing, Constitution shall file with the Secretary for review and approval of the Director of OEP, a site-specific Blasting Plan that provides protocols for in-stream blasting and the protection of the fisheries and aquatic resources and habitat. These plans shall be developed in consultation with applicable state resource agencies. (section 4.6.2.3) 

28. Constitution shall not withdraw water from Starrucca Creek outside of the Pennsylvania Fish and Boat Commission (PFBC) recommended in-stream work window of June 16 through February 28, or shall provide the PFBC approval to withdraw water outside this window. Prior to construction, Constitution shall also file with the Secretary copies of consultation with the NYSDEC regarding the potential to withdraw water from Oquaga, Ouleout, Kortright, and Schoharie Creeks, as well as any timing restrictions placed on water withdrawal at those locations. (section 4.6.2.3) 

29. Prior to construction, Constitution shall develop a project- and site-specific tree clearing plan for the northern myotis if clearing occurs between April 1 and September 30 that includes the location of any potential roost trees in or adjacent to the construction corridor, and as applicable incorporate the identified mitigation measures in section 4.7.2 of the final EIS. This plan shall be filed with the Secretary for review and written approval of the Director of OEP. (section 4.7.2) 

30. Prior to construction, Constitution shall file with the Secretary impact avoidance or effective impact minimization or mitigation measures (e.g., utilization of trenchless crossing methods or mussel relocation) in consultation with the FWS, the PFBC, the PGC, the PADCNR, and the NYSDEC for any dwarf wedgemussels encountered during field surveys and/or construction. (section 4.7.2) 

31. Prior to construction, Constitution shall file with the Secretary the results of its completed Northern monkshood surveys and Constitution’s consultation with the FWS and the NYSDEC regarding the results. Constitution shall file the avoidance/minimization measures it would use in the event that Northern monkshood are found either prior to or during construction, including: 

a. avoidance of plant locations and associated habitat, as feasible, including “necking-down” or reducing construction footprint;
b. the feasibility of conventional boring, direct pipe, or HDD; and
c. the feasibility of transplanting and seed banking (only after all other options are considered). (section 4.7.2)

32. Constitution shall not begin construction of the proposed facilities until: a. all outstanding biological surveys have been completed;
b. the FERC staff completes any necessary Section 7 consultation with the FWS (including a conference opinion regarding the northern myotis); and
c. Constitution has received written notification from the Director of OEP that construction and/or use of mitigation (including implementation of conservation measures) may begin. (section 4.7.2)

33. Prior to construction, Constitution shall file with the Secretary for review and written approval of the Director of OEP the final bald eagle survey results, as well as the final bald eagle mitigation plan, developed in consultation with the FWS, the PGC, and the NYSDEC. The mitigation plan shall include impact avoidance or effective impact minimization or mitigation measures for any nests encountered during the pre-construction surveys. Specific mitigation, or approval from the applicable agencies, shall be included for potential blasting within 0.5 mile of an active nest. (section 4.7.3) 

34. Prior to construction, Constitution shall develop impact avoidance, minimization, or mitigation measures in coordination with the FWS and the PGC for construction between April 1 and October 31 to minimize impacts on the small-footed bat, silver haired bat, and little brown bat. Constitution shall file any such measures with the Secretary. (section 4.7.3) 

35. Prior to construction, Constitution shall file with the Secretary the results of any outstanding surveys for New York and Pennsylvania state-listed species and identify additional mitigation measures developed in consultation with the applicable state agencies. (section 4.7.4) 

36. Prior to construction, Constitution shall file an updated classification of the current use of the twelve unsurveyed structures identified in table 4.8.3-1 of the EIS within 50 feet of the construction work area. If any of the structures are found to be occupied residences, site-specific plans shall be developed and filed with the Secretary for review and written approval of the Director of OEP. Also, Constitution shall provide an updated site-specific plan for tract ALT-F-NY-SC-011.000 at milepost 96.7 that includes adequate impact avoidance, minimization, or mitigation measures for the septic field. (section 4.8.3.1) 

37. Prior to construction, Constitution shall confirm the distance and location of the subdivision at MP 99.3 in relation to the pipeline, and provide a site-specific plan if within 50 feet of the construction work area. (section 4.8.3.1) 

38. Prior to construction, Constitution shall file with the Secretary for review and written approval of the Director of OEP an impact avoidance, minimization, or mitigation plan for specialty crops (e.g., the sugar bush operation at MP 79.5), in consultation with the landowner. (section 4.8.4.2)

No more than 60 days following the authorization of in-service, Constitution shall file with the Secretary for review and written approval of the Director of OEP, site-specific reports for each of the five sites identified in table 4.8.4-6 of the EIS describing follow-up impact assessments, description of mitigation or visual screening measures, or justification for why no such mitigation measures were required. (section 4.8.6.2) 

40. Constitution shall file with the Secretary reports describing any documented complaints from a homeowner that a homeowner’s insurance policy was cancelled or voided due directly to the grant of the pipeline right-of-way or installation of the pipeline, and/or that the premium for the homeowner’s insurance increased materially and directly as a result of the grant of the pipeline right-of-way or installation of the pipeline. The reports shall also identify how Constitution has mitigated the impact. During construction these reports shall be included in Constitution’s status reports (see condition 7 above) and in quarterly reports for a 2 year period following in-service of the project. (section 4.9.6) 

41. Constitution shall not begin implementation of any treatment plans/measures (including archaeological data recovery); construction of facilities; or use of staging, storage, or temporary work areas and new or to-be-improved access roads until:  

a. Constitution files with the Secretary outstanding cultural resources survey and evaluation reports, any necessary treatment plans, site specific protection plans, and the Pennsylvania Historical and Museum Commission’s and New York State Office of Parks, Recreation and Historic Preservation’s comments, as appropriate, on the reports and plans; 

b. Constitution provides documentation that it has provided cultural resources reports to the Native American Tribes which have requested them; 

c. the Advisory Council on Historic Preservation is provided an opportunity to comment on the undertaking if historic properties would be adversely affected; and 

d. the FERC staff reviews and the Director of OEP approves all cultural resources survey reports and plans, and notifies Constitution in writing that treatment plans/mitigation measures may be implemented or construction may proceed.

All material filed with the Secretary containing location, character, and ownership information about cultural resources must have the cover and any relevant pages therein clearly labeled in bold lettering: “CONTAINS PRIVILEGED INFORMATION - DO NOT RELEASE.” (section 4.10.4) 

42. Prior to Construction, Constitution shall file with the Secretary, for review and written approval of the Director of OEP, updated acoustical analysis for the Direct

Pipe crossing locations 1 through 5. Constitution shall include site-specific plans detailing any noise mitigation measures Constitution would use to ensure that the noise levels attributable to the Direct Pipe activities do not exceed a day-night sound level (Ldn) of 55 decibels on the A-weighted scale (dBA) and/or increase noise over ambient conditions greater than 10 decibel (dB) at any noise sensitive area (NSA). (section 4.11.2.3)
43. Iroquois shall file a noise survey with the Secretary no later than 60 days after placing the authorized units at the Wright Compressor Station in service. If a full load condition noise survey is not possible, Iroquois shall provide an interim survey at the maximum possible horsepower load and provide the full load survey within 6 months. If the noise attributable to the operation of all of the equipment at the Wright Compressor Station under interim or full horsepower load conditions exceeds an Ldn of 55 dBA at any nearby NSAs, Iroquois shall file a report on what changes are needed and shall install the additional noise controls to meet the level within 1 year of the in-service date. Iroquois shall confirm compliance with the above requirement by filing a second noise survey with the Secretary no later than 60 days after it installs the additional noise controls. (section 4.11.2.3)



[1] See, e.g., Schneidewind v. ANR Pipeline Co., 485 U.S. 293 (1988); National Fuel Gas Supply v. Public Service Comm’n, 894 F.2d 571 (2d Cir. 1990); Iroquois Gas Transmission System, L.P., 52 FERC ¶ 61,091 (1990) and 59 FERC ¶ 61,094 (1992).