PHMSA Pipeline Safety Underground Natural Gas Storage Grant

Participating state entities, through annual Certification/Agreements with PHMSA, will inspect and enforce the federal underground storage regulations for intrastate underground natural gas storage facilities located within the state.

Agency - Department of Transportation

The Department of Transportation's mission is to ensure fast, safe, efficient, accessible and convenient transportation that meets vital national interests and enhances the quality of life of the American people, today and into the future.

Office - See Regional Agency Offices.

See Appendix IV of the Catalog for a listing of Pipeline and Hazardous Materials Safety Administration regional office addresses.

Selected Recipients for this Program

RecipientAmount Start DateEnd Date
Public Utility Commission, Pennsylvania $ 41,773   2021-01-012023-09-30
Natural Resources, Illinois Department Of $ 440,029   2021-01-012023-09-30
Geological Survey Of Alabama $ 29,771   2021-01-012023-09-30
Conservation, California Department Of $ 3,179,200   2021-01-012023-09-30
Natural Resources, Indiana Department Of $ 643,408   2021-01-012023-09-30
Corporation Commission, Kansas $ 26,871   2021-01-012023-09-30
Natural Resources, Louisiana Department Of $ 47,266   2021-01-012023-09-30
Public Utility Commission, State Of Oregon $ 45,743   2021-01-012023-09-30
Oklahoma Corporation Commission $ 30,119   2021-01-012023-09-30
Licensing And Regulatory Affairs, Department Of $ 352,422   2021-01-012023-09-30

Program Accomplishments

Not Applicable.

Uses and Use Restrictions

To participate, state law must provide the state entity with the authority to establish and enforce regulations over the downhole portion of intrastate storage facilities.

Participating state entities, through annual Certification/Agreements with PHMSA, will inspect and enforce the federal underground storage regulations for intrastate underground natural gas storage facilities located within the state.

PHMSA will support participating state entities with grant funding paying a portion of their inspection and enforcement program costs based on the available federal funding for the program.

Eligibility Requirements

Applicant Eligibility

State must have a 60105 Certification or 60106 Agreement with PHMSA.

The Department provides Federal funds, up to 80 percent of the State's total program costs to any State agency with a certificate under Section 60105 of Title 49, United States Code, an agreement under Section 60106 of Title 49, United States Code, or to any State acting as a DOT agent on interstate pipelines.

Beneficiary Eligibility

State (Includes District of Columbia and Puerto Rico) Also, State agency with a Certification or Agreement under 60105 or 60106 of Title 49 USC.


Appropriate State legal official must approve legality of agency application and agreement. Costs will be determined in accordance with 2 CFR 200. Application (plan) is opened in early August and due September 30. 2 CFR 200, Subpart E - Cost Principles applies to this program.

Aplication and Award Process

Preapplication Coordination

Preapplication coordination is required.

Environmental impact information is not required for this program.

This program is eligible for coverage under E.O.

12372, 'Intergovernmental Review of Federal Programs.' An applicant should consult the office or official designated as the single point of contact in his or her State for more information on the process the State requires to be followed in applying for assistance, if the State has selected the program for review.

Application Procedures

2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. U.S. Department of Transportation, Pipeline & Hazardous Materials Safety Administration, Pipeline Safety, PHP-50, 1200 New Jersey Avenue, SE, Washington, DC 20590.

Award Procedures

Each State submits with its annual application a summary of estimated program costs by calendar year covering the State gas and/or hazardous liquid pipeline safety activities to PHMSA. The State Certifies it is complying with the requirements of the Certification and/or Agreements under 49 USC Sections 60105 and 60106. The estimated budgets and Certification/Agreements are reviewed by State Program Staff for reasonableness and completeness. All State Programs Certifying to PHMSA they are meeting the program requirements applications are accepted. The Certification and/or Agreement requirements are specified in 49 USC Sections 60105(b) and 60106(a). If a State?s Certification or Agreement is not accepted the State is notified in writing of the reason for rejection.


Sep 06, 2017 to Oct 25, 2017 Applications are submitted in October for the next calendar year. The Director of State Programs may extend or modify the dates based on good cause.


Protecting our Infrastructure of Pipelines and Enhancing Safety Act (PIPES) 2016, Public Law 114-183, 49 U.S.C 60101.

Range of Approval/Disapproval Time

From 60 to 90 days. From 60 to 90 days of receipt. Award is contingent on a current fiscal year appropriation and enacted budget.


Not Applicable.


Not Applicable.

Assistance Considerations

Formula and Matching Requirements

Statutory formulas are not applicable to this program. Matching requirements are not applicable to this program. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance

Expenditures made by a State during the calendar year are eligible for Federal reimbursement. States receiving Federal assistance submit claims for reimbursement in February for the Federal share of the cost of actual expenditures between January 1 and December 31 of the year. See the following for information on how assistance is awarded/released: Electronic Funds Transfer.

Post Assistance Requirements


No program reports are required.


An annual detailed progress report is required outlining each programs jurisdiction status, operators inspected, inspection days completed, compliance activities, incidents investigated and program accomplishments and any other items required by program guidelines or PHMSA Administrator.

SF-270 End of Year Payment Report.

List State Actual Costs and reasons for deviation from estimated program costs.

Program Evaluation and Progress Report.

Triennial grant review is performed on all States to assure funds were spent on proposed projects and in accordance with OMB requirements.


In accordance with the provisions of 2 CFR 200, Subpart F - Audit Requirements, non-Federal entities that expend financial assistance of $750,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Non-Federal entities that expend less than $750,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in 2 CFR 200.503. Also see: 2 CFR 200 at


All records relating to the projects must be retained for a period of not less than 3 years from the date of submission of final expenditure report for grant period.

Financial Information

Account Identification



(Formula Grants) FY 16 $0; FY 17 est $0; and FY 18 est $6,000,000 - Fiscal Year 2018 will be the first year for the grant.

Range and Average of Financial Assistance

No Data Available.

Regulations, Guidelines, and Literature

Pipeline Safety Regulations, 49 CFR 190, 191, 192, 193, 195, 198 and 199. Individual copies available from the Transportation Safety Institute, PHMSA Training and Qualification, Oklahoma City, Oklahoma 73125. 'Guidelines for States Participating in the Pipeline Safety Program.' Also available on-line at

Information Contacts

Regional or Local Office

See Regional Agency Offices. See Appendix IV of the Catalog for a listing of Pipeline and Hazardous Materials Safety Administration regional office addresses.

Headquarters Office

Zach Barrett 1200 New Jersey Avenue, S.E., Washington, District of Columbia 20590 Phone: (405) 834-8344

Criteria for Selecting Proposals

Eligibility is determined by 49 USC, Section 6104. Please describe criteria for selecting proposals: All reasonable, allowable and necessary inspection and enforcement expenses from Certified State agencies are considered for funding to the limit of available grant funding.

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