ENERGY AND ENVIRONMENT CABINET

Public Service Commission

(Repealer)

 

††††† 807 KAR 5:081. Repeal of 807 KAR 5:023 and 807 KAR 5:031.

 

††††† RELATES TO: KRS Chapter 278, 49 C.F.R. Part 199, 49 U.S.C. 1674

††††† STATUTORY AUTHORITY: KRS 278.010(3)(b), 278.040(3), 278.110, 278.280(2), 49 C.F.R. Part 199, 49 U.S.C. 1674

††††† NECESSITY, FUNCTION, AND CONFORMITY: KRS 278.040(3) provides for the repeal of 807 KAR 5:023 and 807 KAR 5:031. These administrative regulations are being repealed as a result of the Governorís Red Tape Reduction Initiative. 807 KAR 5:023 is being repealed in order to incorporate the federal requirement for drug testing of employees of operators of natural gas facilities found in 49 C.F.R. into 807 KAR 5:027. 807 KAR 5:031 is being repealed due to the enactment of the Natural Gas Wellhead Decontrol Act of 1989, which eliminated the need for gas well determinations.

 

††††† Section 1. The following administrative regulations are hereby repealed:

††††† (1) 807 KAR 5:023, Control of drug use in gas operations; and

††††† (2) 807 KAR 5:031, Gas well determinations.

 

††††† This is to certify that the Public Service Commission Chairman has reviewed and recommended this administrative regulation prior to its adoption, as required by KRS 278.040(3).

 

GWEN PINSON, Executive Director

MICHAEL J. SCHMITT, Chairman

††††† APPROVED BY AGENCY: November 28, 2017

††††† FILED WITH LRC: November 29, 2017 at 11 a.m.

††††† PUBLIC HEARING AND PUBLIC COMMENT PERIOD: A public hearing on these administrative regulations shall be held on January 24, 2018, at 2:00 p.m. Eastern Standard Time at the Kentucky Public Service Commission, 211 Sower Boulevard, Frankfort, Kentucky 40601. Individuals interested in being heard at this hearing shall notify this agency in writing by five workdays prior to the hearing, of their intent to attend. If no notification of intent to attend the hearing is received by that date, the hearing may be canceled. This hearing is open to the public. Any person who wishes to be heard will be given an opportunity to comment on the proposed administrative regulation. A transcript of the public hearing will not be made unless a written request for a transcript is made. If you do not wish to be heard at the public hearing, you may submit written comments on the proposed administrative regulation. Written comments shall be accepted through January 31, 2018. Send written notification of intent to be heard at the public hearing or written comments on the proposed administrative regulation to the contact person.

††††† CONTACT PERSON: Jason Whisman, Kentucky Public Service Commission, 211 Sower Boulevard, Frankfort, Kentucky 40601, phone (502) 564-3940, fax (502) 564-7279, email john.park@ky.gov.

 

REGULATORY IMPACT ANALYSIS AND TIERING STATEMENT

 

Contact Person: Jason Whisman

††††† (1) Provide a brief summary of:

††††† (a) What this administrative regulation does: Repeals redundant state regulations that mirror federal regulations controling drug usage at natural gas utility operations and repeals a state regulation governing gas well determinations in accordance with the Natural Gas Policy Act of 1978.

††††† (b) The necessity of this administrative regulation: Eliminates a duplicative state regulation to that of a federal regulation already enforced by the Commission and eliminates an obsolete regulation that is no longer needed.

††††† (c) How this administrative regulation conforms to the content of the authorizing statutes: Repeal of 807 KAR 5:023 and 5:031 conforms to KRS 278.040 which allows the Kentucky Public Service Commission to adopt regulations pertaining to the utility and consumer protection within the Commonwealth.

††††† (d) How this administrative regulation currently assists or will assist in the effective administration of the statutes: Eliminates redundancy of federal and state regulations and clarifies requirements for natural gas utilities.

††††† (2) If this is an amendment to an existing administrative regulation, provide a brief summary of:

††††† (a) How the amendment will change this existing administrative regulation: Eliminates federal and state regulation redundancy and clarifies service requirements for natural gas utilities.

††††† (b) The necessity of the amendment to this administrative regulation: Eliminates federal and state regulation redundancy and clarifies service requirements for natural gas utilities.

††††† (c) How the amendment conforms to the content of the authorizing statutes: The Kentucky Public Service Commission has the authority under KRS 278.040 to adopt regulations pertaining to the utility and consumer protection within the Commonwealth.

††††† (d) How the amendment will assist in the effective administration of the statutes: Eliminates redundancy and clarifies service requirements for natural gas utilities.

††††† (3) List the type and number of individuals, businesses, organizations, or state and local governments affected by this administrative regulation: 212 regulated natural gas utility operators within Kentucky.

††††† (4) Provide an analysis of how the entities identified in question (3) will be impacted by either the implementation of this administrative regulation, if new, or by the change, if it is an amendment, including:

††††† (a) List the actions that each of the regulated entities identified in question (3) will have to take to comply with this administrative regulation or amendment: No impact beyond what is already required.

††††† (b) In complying with this administrative regulation or amendment, how much will it cost each of the entities identified in question (3): Zero Dollars; no fiscal impact.

††††† (c) As a result of compliance, what benefits will accrue to the entities identified in question (3): One set of regulations referencing the federal requirements.

††††† (5) Provide an estimate of how much it will cost the administrative body to implement this administrative regulation:

††††† (a) Initially: Zero dollars; no fiscal impact.

††††† (b) On a continuing basis: Zero dollars; no fiscal impact.

††††† (6) What is the source of the funding to be used for the implementation and enforcement of this administrative regulation: Annual Assessments paid by regulated utilities, pursuant to KRS 278.130, which are deposited into a special accounting structure of the General Fund per KRS 278.150(3) for the purposing of maintaining the commission.

††††† (7) Provide an assessment of whether an increase in fees or funding will be necessary to implement this administrative regulation, if new, or by the change if it is an amendment: No fiscal impact.

††††† (8) State whether or not this administrative regulation established any fees or directly or indirectly increased any fees: No new fees were established and existing fees will not be affected.

††††† (9) TIERING: Is tiering applied? Tiering is not applied.

 

FISCAL NOTE ON STATE OR LOCAL GOVERNMENT

 

††††† (1) What units, parts or divisions of state or local government (including cities, counties, fire departments, or school districts) will be impacted by this administrative regulation? No impact other than reducing regulation management to keep the Kentucky Public Service Commission regulations parallel with the federal regulations.

††††† (2) Identify each state or federal statute or federal regulation that requires or authorizes the action taken by the administrative regulation. KRS 278.040

††††† (3) Estimate the effect of this administrative regulation on the expenditures and revenues of a state or local government agency (including cities, counties, fire departments, or school districts) for the first full year the administrative regulation is to be in effect. Zero dollars; no fiscal impact.

††††† (a) How much revenue will this administrative regulation generate for the state or local government (including cities, counties, fire departments, or school districts) for the first year? Zero dollars; no fiscal impact.

††††† (b) How much revenue will this administrative regulation generate for the state or local government (including cities, counties, fire departments, or school districts) for subsequent years? Zero Dollars; no fiscal impact.

††††† (c) How much will it cost to administer this program for the first year? Zero dollars; no fiscal impact.

††††† (d) How much will it cost to administer this program for subsequent years? Zero dollars; no fiscal impact.

††††† Note: If specific dollar estimates cannot be determined, provide a brief narrative to explain the fiscal impact of the administrative regulation.

††††† Revenues (+/-):

††††† Expenditures (+/-):

††††† Other Explanation: