THE GENERAL ASSEMBLY OF PENNSYLVANIA

SENATE BILL

INTRODUCED BY DINNIMAN, JULY 23, 2009

REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY, JULY 23, 2009  

AN ACT

Authorizing the Commonwealth of Pennsylvania to join the Mid-

Atlantic Area Natural Gas Corridor Compact; providing for the

form of the compact; imposing additional powers and duties on

the Governor and the Secretary of the Commonwealth; and

making an appropriation.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1.  Short title.

This act shall be known and may be cited as the Mid-Atlantic

Area Natural Gas Corridor Compact Act.

Section 2.  Execution of compact.

The Governor of Pennsylvania, on behalf of this Commonwealth,

is authorized to and shall execute the Mid-Atlantic Area Natural

Gas Corridor Compact, hereinafter referred to as the "compact,"

with two or more of the party states. The General Assembly

signifies in advance its approval and ratification of the

compact and the compact is hereby adopted and entered into with

all states joining therein. The compact shall be in

substantially the following form:

Mid-Atlantic Area Natural Gas Corridor Compact

Article I

Statement of Purpose 

Section 1.  Purpose of compact.

The purpose of this compact is to promote regional

cooperation in the location, approval and construction of cross-

borders natural gas pipelines in the Mid-Atlantic region of the

United States by the development of a regional pipeline siting

council to facilitate the siting of cross-borders natural gas

pipelines within the compact states and to perform the

interstate pipeline siting responsibilities of such states.

Article II

Definitions

Section 1.  Definitions.

For the purpose of this compact and of any supplemental or

concurring legislation enacted pursuant hereto, the following

words and phrases shall have the meanings given to them in this

section, except as may be otherwise required by the context:

"Affected Federal agency."  The United States Department of

Energy, the Federal Energy Regulatory Commission, and the United

States Environmental Protection Agency and any other agency of

the United States Government affected by the Natural Gas Act of

1938.

"Associated facilities."  Facilities essential to the

transport of natural gas through interstate commerce, including,

but not limited to, pipelines, substations and terminals.

"Compact."  The Mid-Atlantic Area Natural Gas Corridor

Compact established pursuant to this act.

"Council."  The Mid-Atlantic Area States Council as

established in this compact.

"Cross-borders natural gas pipeline."  A proposed interstate

natural gas pipeline and any associated facilities.

"Distribution corridor."  A geographic area proposed for the

location, construction and operation of one or more cross-

borders natural gas pipelines.

"DOE."  The United States Department of Energy.

"Eligible state."  Any state contiguous to a party state that

elects to become a signatory to this compact.

"FERC."  The Federal Energy Regulatory Commission.

"Federal acts."  Any applicable requirement of:

(1)  The National Forest Management Act of 1976 (Public

Law 94-588, 16 U.S.C. § 472a et seq.).

(2)  The Endangered Species Act of 1973 (Public Law

93-205, 16 U.S.C. § 1531 et seq.).

(3)  The Federal Water Pollution Control Act (62 Stat.

1155, 33 U.S.C. § 1251 et seq.).

(4)  The National Environmental Policy Act of 1969

(Public Law 91-190, 42 U.S.C. § 4321 et seq.).

(5)  The Federal Land Policy and Management Act of 1976

(Public Law 94-579, 43 U.S.C. § 1701 et seq.).

(6)  The Natural Gas Act (52 Stat. 821, 15 U.S.C. § 717

et seq.).

"Indian tribe."  Any Indian or Alaska Native tribe, band,

nation, pueblo, village or community that the Secretary of the

United States Department of the Interior acknowledges to exist

as an Indian tribe.

"Interested party."  The term shall include the governmental

bodies of any political subdivision of a party state, state

agencies of a party state, Indian tribes domiciled within the

party states and persons residing or owning property in each

such party state through which a distribution corridor or

natural gas pipeline is proposed.

"Natural gas."  Gas issuing from the earth's crust through

natural openings or bored wells and which is typically a

combustible mixture of methane and other hydrocarbons used

chiefly as a fuel and raw material. The term includes both

compressed and liquefied forms of natural gas.

"Natural gas pipeline."  A pipeline used for the

transportation, distribution, and/or sale of natural gas in

interstate commerce.

"Party state" or "compact state."  Any states situated within

the mid-Atlantic area national corridor that are signatories of

this compact and any eligible state.

"Political subdivision."  Any county, city, borough,

incorporated town, township or any equivalent unit of local

government of a party state.

"Secretary."  The Secretary of the United States Department

of Energy.

Article III

Mid-Atlantic Area States Council

and Compact Administrators

Section 3.1.  Establishment of council.

(1)  There is hereby established a council to be known as

the Mid-Atlantic Area States Council, which shall be a body

politic and corporate, with succession for the duration of

this compact, as an agency and instrumentality of the

governments of the party states that are signatories of this

compact.

(2)  The Council shall consist of persons holding

similarly situated positions in party states. If no such

persons in similarly situated positions exist in a party

state, the Governor of that state, or Mayor as in the case of

the District of Columbia, shall appoint an individual with

expertise related to the field for which there is no

similarly situated person. Members of the council shall be:

(i)  The Secretary of Environmental Protection, or a

designee.

(ii)  The Secretary of Conservation and Natural

Resources, or a designee.

(iii)  The chairman of the utility commission or

public service commission, or a designee.

(iv)  One representative from county conservation

districts appointed by the State Conservation Commission.

(v)  Three representatives from local government,

whereby one shall be selected by the Pennsylvania State

Association of Boroughs, one shall be selected by the

Pennsylvania State Association of Township Supervisors,

and one shall be selected by the County Commissioners

Association of Pennsylvania.

(vi)  One representative of the housing industry

chosen by the Pennsylvania Builders Association.

(vii)  One representative selected by The

Pennsylvania Chamber of Business and Industry.

(viii)  The Chairman of the Environmental Resources

and Energy Committee of the House of Representatives.

(ix)  The minority Chairman of the Environmental

Resources and Energy Committee of the House of

Representatives.

(x)  The Chairman of the Environmental Resources and

Energy Committee of the Senate.

(xi)  The minority Chairman of the Environmental

Resources and Energy Committee of the Senate.

(3)  If no such persons in similarly situated positions

exist in a party state, the Governor of that state, or Mayor

as in the case of the District of Columbia, shall appoint two

individuals with expertise in energy policy as it relates to

protection of the environment, conservation and natural

resources and land use as that state's representatives on the

council, provided, however, that a person so appointed shall

not have any pecuniary interest in any corporation, natural

gas utility or other person operating or interested in

establishing a cross-borders natural gas pipeline in a party

state or in any affiliate, intermediary, subsidiary or

holding company of such corporation, natural gas utility or

other person.

(4)  The council shall elect annually from among its

members a chairperson, a vice-chairperson and a treasurer

whose offices shall rotate annually among the party states,

with such powers and duties as the council shall in its

bylaws prescribe. At no time shall any such office be held by

council members from the same party states.

(5)  A member of the council may designate a deputy or

assistant to act in the place of such member, with full

authority to attend meetings of the council and with power to

discharge the duties and functions of such member either for

the duration of membership of the appointing member or for

any lesser time, unless otherwise provided by law of the

party state of such member. A designee so appointed shall

serve only at the direction and during the term of the

appointing member and shall be subject to removal at the

pleasure of such appointing member.

(6)  The council shall appoint an executive director who

shall serve at the pleasure of the council and who shall have

such powers and duties as the council shall in its bylaws

impose. The executive director shall serve as secretary of

the council and, together with the treasurer, shall be bonded

in such amounts as the council may in its bylaws require. The

executive director, on behalf of, as trustee for, and with

approval of the council as its bylaws shall require, may

borrow, accept or contract for the services of personnel from

any party state, any other state government or any political

subdivision or agency thereof, from any intergovernmental

agency, or from any institution, person, firm or corporation,

and may accept for any of the council's purposes and

functions under this compact any and all donations, gifts and

grants of money, equipment, supplies, materials and services

from any party state, any other government or political

subdivision or agency thereof, or intergovernmental agency,

or from any institution, person, firm or corporation, and may

receive and utilize the same.

(7)  The council may, without regard to the civil service

or other laws of any party state relative to public officers

and employees, create and abolish offices, employment and

positions as it deems necessary for the purposes of the

council, affix and provide for the duties, conditions for

employment, qualifications, appointment, removal, term,

compensation and other rights and benefits of the council's

officers and employees. The council shall appoint the

principal officers of the council and allocate among them

administrative functions, powers and duties necessary to

carry out its purposes under this compact.

(8)  The council may maintain one or more offices for the

transaction of its business and shall meet as often as it

requires at such time and place as it shall determine. Each

council member shall be reimbursed for travel expenses in

accordance with the laws, regulations or policies of the

council member's party state.

(9)  The organizational meeting of the council shall be

held within six months of the effective date of this compact.

Section 3.2.  Council bylaws.

(1)  The council shall adopt bylaws for the conduct of

its business by a two-thirds vote and shall have the power by

the same vote to amend and rescind its bylaws. The council

shall publish its bylaws in convenient form with the

Secretary of the Commonwealth or, in the case of other party

states, with the appropriate agency or officer of each

participating party state. The bylaws shall, among other

things, provide for the powers and duties of the executive

director of the council and for adequate notice to the

council members and the general public of all meetings and

hearings, and of the business to be transacted at such

meetings and hearings of the council. Adequate notice of all

meetings and hearings of the council shall be provided to the

public and to other agencies and officers of party states in

accordance with the laws and regulations of such states or in

accordance with the requirements of this compact.

(2)  The council shall have a seal.

Section 3.3.  Voting.

(1)  Each party state shall be entitled to one vote in

the conduct of the business of the council.

(2)  All actions taken by the council, except for actions

to designate a distribution corridor and approve the location

construction of a cross-borders natural gas pipeline proposed

to be sited in party states, shall be by majority vote of the

members present.

(3)  Any actions of the council to designate a

distribution corridor or approve the location and

construction of a cross-borders natural gas pipeline proposed

to be sited in party states shall require an affirmative vote

by two-thirds of all members of the council in whose states

the distribution corridor is proposed to be designated or a

cross-borders natural gas pipeline is proposed to be located

and constructed.

(4)  Except as provided in paragraph (3), no action of

the council shall be binding unless taken at a meeting at

which a majority of all party states are represented and

unless a majority of the total number of votes are cast in

favor thereof.

(5)  In addition to the powers and duties elsewhere

prescribed in this compact, the council shall have the power

to make and enforce rules and regulations as it deems

necessary to implement the provisions of this compact or to

effectuate in any other respect the purposes of this compact. 

Section 3.4.  Compact administrators.

(1)  The chairman of each party state's public utility

commission or public service commission, as the case may be,

or the person holding an equivalent position who is

responsible for regulating natural gas utilities in each such

party state shall act as compact administrator for that

state. The compact administrator shall consult with like

officials of the party states, and shall foster cooperation

between such states in the designation of distribution

corridors and the location and construction of any cross-

borders natural gas pipelines.

(2)  The compact administrators and other members of the

council shall organize to negotiate and establish a regional

process to be adopted by the party states for the designation

a distribution corridor or approval, location and

construction of cross-borders natural gas pipeline in

accordance with the requirements of this compact.

(3)  In negotiating the terms of the compact, the compact

administrators shall assure that the compact incorporates

procedures to ensure appropriate adjudicative proceedings,

mitigate environmental impacts and ensure that the compact is

in the public interest of the party states.

Article IV

Powers and Duties of Council

Section 4.1.  Powers and duties.

(1)  The council shall, after notice and public hearings,

develop, negotiate and promulgate rules and regulations

establishing a regional process to govern the designation of

a distribution corridor and approval, location and

construction of cross-borders natural gas pipelines.

(2)  To carry out its powers and duties under this

compact, it shall be the further duty of the council to:

(i)  Conduct and prepare, independently or in

cooperation with academia, energy economists and other

energy experts and analysts or other persons as

determined by the council, studies, investigations,

research and programs relating to all aspects of the site

selection of cross-borders natural gas pipelines.

(ii)  Adopt standards, rules and regulations to

perform its functions and enforce the terms of this

compact, including standards, rules and regulations to

govern the location and construction of cross-borders

natural gas pipelines.

(iii)  Exercise any authority consistent with this

compact authorized by Congress under Federal law.

(iv)  Advise, consult and encourage voluntary

cooperation from other agencies of the party states and

political subdivisions thereof, industries, other states,

the Federal Government, interested parties and other

persons in furtherance of its duties under this compact.

(v)  Submit to the Governor of each party state an

annual report covering the activities of the council for

the preceding calendar year. The report shall be

submitted on or before December 31 of each year, shall

include such standards, rules, regulations and bylaws as

may have been adopted by the council, and shall be

transmitted to the Senate and the House of

Representatives or State Assembly, as the case may be, of

each party state. The council may issue such additional

reports as it may deem necessary.

(vi)  Conduct informational meetings and public

hearings to disseminate information, receive comment or

take testimony with respect to the designation of a

distribution corridor or the location and construction of

cross-borders natural gas pipelines.

(vii)  Consider and present recommendations, policies

and programs designed to facilitate the location and

construction of cross-borders natural gas pipelines.

(viii)  Recommend such changes in, or amendments or

additions to, the laws, rules, regulations, policies or

guidelines of the party states that, in the judgment of

the council, may be appropriate.

(ix)  Work with the DOE and FERC or any successor

agency thereto, any other officer or agency of the United

States and the party states and any other governmental

unit or agency or officer thereof, and with any other

persons, entities or agencies, including energy or power

authorities, in matters related to the approval, location

and construction of cross-borders natural gas pipelines.

(x)  Advise and assist the Governor and the

legislature of each party state with the development and

implementation of policies and procedures relating to the

designation of distribution corridors and the location

and construction of cross-borders natural gas pipelines.

(xi)  Require and receive from any agency of a party

state, or any political subdivision thereof, assistance

and data.

(xii)  Compile, publish and distribute, with or

without fee, any reports, bulletins, newsletters or other

documents as it may deem appropriate.

(xiii)  Work with stakeholders, affected Federal,

state and local agencies, power or energy authorities and

the public to study alternatives to cross-borders natural

gas pipelines and distribution corridors.

(xiv)  Designate a cross-borders natural gas

distribution corridor or corridors on its own motion or

by application of a person proposing to construct a

cross-borders natural gas pipeline. The council's

designation of a distribution corridor shall serve to

identify a feasible corridor where one or more future

cross-borders natural gas pipelines may be located and

constructed that are consistent with the needs of this

Commonwealth and the party states.

(xv)  Develop and adopt, in consultation with

appropriate agencies of the party states, energy or power

authorities, natural gas distribution companies, and

consumers a strategic plan for the Mid-Atlantic region's

natural gas needs. The strategic plan shall identify and

recommend activities needed to ensure reliability, future

growth, new natural gas wells, renewable resources, and

energy efficiency. In developing the strategic plan, the

council shall confer with state agencies and political

subdivisions in the party states and Federal agencies to

identify appropriate areas within their jurisdictions

that may be suitable for a distribution corridor or

natural gas pipeline.

(xvi)  Coordinate, to the extent feasible, efforts to

identify long-term natural gas needs of the party states

with the land use plans of the party states, political

subdivisions thereof and Federal agencies.

(xvii)  Accept, review and approve or disapprove

applications from persons proposing to locate and

construct a cross-borders natural gas pipeline. The

application shall be in the form required by the council

and shall be accompanied by any supportive data and other

information, including, but not limited to, the

following:

(A)  The name of the applicant, address of its

principal place of business and state or states in

which it is incorporated to do business.

(B)  A statement of need and general description

of the proposed route. The general description shall

not be a legal or metes and bounds description but

shall include the proposed route of the cross-borders

natural gas pipeline, including the number of route

miles, the right-of-way width and the location of

such facility within each political subdivision

traversed.

(C)  Supporting exhibits, such as maps, including

topographic maps; a system map depicting in

sufficient detail the location and volume of existing

pipelines of the applicant and the location and

volume of the proposed natural gas pipelines, aerial

photographs and other engineering materials as the

council shall by regulation prescribe.

(D)  The names and addresses of known persons,

Indian tribes, corporations, small businesses and

other entities of record owning property within the

proposed right-of-way, together with an indication of

the rights-of-way acquired or the rights-of-way

needed to be acquired by the applicant.

(E)  A statement of the safety considerations,

including public health and safety, that will be

incorporated into the design, construction and

maintenance of the proposed natural gas pipeline and

require this statement to be submitted to all county

and local government units where the proposed natural

gas pipeline will be located.

(F)  A description of any studies, including any

third-party studies, that have been made or will be

made concerning the projected environmental impact of

the proposed cross-borders natural gas pipeline and

of the efforts that have been or will be made to

minimize the impact of the proposed natural gas

pipeline on the environment, scenic rivers and

waterways, including, but not limited to, impacts,

where applicable, on land use, soil and

sedimentation, plant and wildlife habitats, terrain,

hydrology and landscape.

(G)  A description of the efforts of the

applicant to locate and identify archaeological,

geologic, historic, scenic and wilderness areas of

significance within two miles of the proposed right-

of-way and the location and identity of areas

discovered by the applicant, and of the efforts that

have been or will be made to minimize the impact of

the proposed natural gas pipeline on such areas.

(H)  A description of the efforts of the

applicant to locate and identify preserved land,

farmland, land subject to agricultural conservation

easements and other conservation easements, and of

the efforts that have been or will be made to

minimize the impact of the proposed natural gas

pipeline on such areas.

(I)  A description of rights-of-way obtained or

to be obtained and efforts made to minimize the size

of any rights-of-way.

(J)  A description of any developed areas within

two miles of the proposed natural gas pipeline, the

impacts of the proposed natural gas pipeline on these

areas, the efforts made to avoid such areas, and the

efforts that have been or will be made to minimize

the impact of the proposed natural gas pipeline on

such areas.

(K)  A general description of reasonable

alternative routes, including a description of the

distribution corridor planning, methodology, a

comparison of the merits and detriments of each

route, and a statement of the reasons for selecting

the proposed route.

(L)  A list of local, state and Federal agencies

that have requirements which must be satisfied in

connection with the construction, maintenance and

operation of the proposed cross-borders natural gas

pipeline, and a list of all required documents which

have been or will be filed with a local, state or

Federal agency in connection with the location,

construction and operation of the proposed cross-

borders natural gas pipeline.

(M)  The estimated cost of construction of the

proposed cross-borders natural gas pipeline and the

projected date of completion.

(xviii)  Upon receipt of an application or upon its

own motion for the designation of a distribution corridor

or upon receipt of an application for the location and

construction of a cross-borders natural gas pipeline,

arrange for the publication of a summary of the

application in two newspapers of general circulation in

each county where the proposed distribution corridor or

cross-borders natural gas pipeline is proposed to be

located and constructed and notify all property owners

within, or adjacent to, the proposed distribution

corridor or cross-borders natural gas pipeline. The

council shall transmit a copy of the application for

designation of a distribution corridor or for the

location and construction of a cross-borders natural gas

pipeline to all political subdivisions, and state and

Federal agencies having an interest in the proposed

distribution corridor or cross-borders natural gas

pipeline.

(xix)  Publish applications for designation of a

distribution corridor or location and construction of a

cross-borders natural gas pipeline on its Internet

website, and provide for public notification of the

availability of the application on the council's Internet

website through appropriate media outlets.

(xx)  Notify appropriate agencies of party states,

and political subdivisions thereof, Federal agencies and

Indian tribes in whose jurisdiction the proposed

distribution corridor or cross-borders natural gas

pipeline will be located regarding the application to

designate a distribution corridor or locate and construct

a cross-borders natural gas pipeline. Such notice shall

solicit information from, and the council shall confer

with, all affected political subdivisions of party

states, Indian tribes and affected state and Federal

agencies regarding their land use plans, existing land

uses and other factors in which they have expertise or

interest with respect to the proposed distribution

corridor or proposed cross-borders natural gas pipeline.

The council shall provide any affected political

subdivision, state or Federal agency, Indian tribe and

any property owner within or adjacent to the proposed

distribution corridor or cross-borders natural gas

pipeline and other interested parties ample opportunity

to participate in the council's review of a proposed

distribution corridor or cross-borders natural gas

pipeline.

(xxi)  Permit agencies of party states and affected

political subdivisions thereof, Federal agencies, energy

authorities, Indian tribes and members of the public,

including any property owner within or adjacent to the

proposed distribution corridor or proposed natural gas

pipeline, to provide comment on the need and suitability

of the proposed distribution corridor or proposed cross-

borders natural gas pipeline with respect to

environmental, public health and safety, land use,

economic impact or other factors on which they may have

expertise or desire to comment.

(xxii)  Require applicants to submit a statement of

the safety considerations, including public health and

safety and necessary safety devices and procedures that

will be incorporated into the design, construction and

maintenance of the proposed natural gas pipeline to all

county and local government units where the proposed

natural gas pipeline will be located.

(xxiii)  Adopt standards for the construction and

operation of cross-borders natural gas pipelines.

(xxiv)  Prescribe the form and content of

applications for the designation of distribution

corridors and the location and construction of natural

gas pipelines; conduct public hearings and take other

actions to secure adequate evaluation of applications;

and formally act to approve, disapprove or modify

applications, including specifying conditions under which

approval of a distribution corridor or cross-borders

natural gas pipeline will be permitted.

(xxv)  Issue permits for the location and

construction of cross-borders natural gas pipelines.

(xxvi)  Present state concerns and interests to party

states, other states, energy authorities, and the Federal

Government on any proposed distribution corridor or the

location and construction of any natural gas pipeline

which may affect the environment, health or safety of the

citizens of the Commonwealth of Pennsylvania and other

party states.

(xxvii)  Establish, maintain and manage a data

collection system for obtaining and storing information

necessary to perform its functions under this compact.

(xxviii)  Adopt rules and regulations, or take any

action, it deems reasonable and necessary to:

(A)  ensure the free and open participation of

the public and interested parties; and

(B)  protect the confidentiality of information

it may receive in performing its function under this

compact.

Section 4.2.  Advisory Committees.

The council may establish such advisory, technical or

regional committees as it may deem necessary to carry out its

duties under this compact. The membership of such advisory

committees shall include, but not be limited to, private

citizens; representatives of Indian tribes; expert and lay

personnel; representatives of industry, labor, commerce,

agriculture, civic organizations, environmental organizations,

health professions, voluntary health agencies and academia; and

officials of local, state and Federal government. The council

may cooperate with and use the assistance and services of any

such committees and the organizations they represent in

furthering any of its activities or carrying out its functions

and duties under this compact.

Section 4.3.  Rules and regulations.

(1)  The council shall, after public notice and public

hearing, promulgate, adopt and enforce such rules and

regulations as may be necessary and appropriate for the

implementation and enforcement of this compact. Such rules

and regulations shall, among other things, provide for the

following:

(i)  Cooperation and consultation between the party

states and affected Federal agencies of the United States

Government.

(ii)  Processes and procedures for developing a

comprehensive inventory of all existing and planned

natural gas pipelines in each party state, including all

natural gas pipelines under construction. Notwithstanding

any other provision of law or regulation, all providers

of natural gas distribution services, all power or energy

authorities or successors to such providers in each party

state shall cooperate with the council in developing the

inventory of existing and natural gas pipelines.

(iii)  Processes and procedures to receive assistance

and data from any agency of a party state or political

subdivisions thereof.

(iv)  Adoption of an annual budget.

(v)  Standards for the review and approval of

applications to locate and construct natural gas

pipelines. Such standards shall address, but need not be

limited to, the following:

(A)  The financial ability and qualifications of

the applicant.

(B)  The organizational, managerial and technical

expertise of the applicant to construct and operate

the proposed cross-borders natural gas pipeline.

(C)  The need for the proposed distribution

corridor or proposed cross-borders natural gas

pipeline.

(D)  Protection of public health and safety,

including necessary safety devices and procedures.

(E)  Areas designated for protection or

conservation by a party state, an agency of the

Federal Government, county, or local government unit,

including, but not limited to, agricultural land,

monuments, historic sites, wilderness areas, scenic

rivers and waterways, wildlife refuges and similar

areas.

(F)  Impact of the proposed cross-borders natural

gas pipeline on the environment.

(G)  Effect of the proposed cross-borders natural

gas pipeline, taking into account mitigation on fish

and wildlife, including threatened and endangered

fish, wildlife or plant species.

(H)  Soil protection.

(I)  Impact of the proposed cross-borders natural

gas pipeline on historic, cultural or archaeological

resources listed on or determined pursuant to

historic preservation or land conservation laws of

the party states, the Federal Government, County, or

local government unit to be eligible for listing on

the National Register of Historic Places or any

similar laws of the party states concerned with the

protection, preservation and conservation of historic

places in such party states.

(J)  Potential impact of the proposed cross-

borders natural gas pipeline on recreation, scenic

and aesthetic values.

(K)  Rights-of-way obtained or to be obtained and

efforts made to minimize the size of any rights-of-

way with the intent of restricting rights-of-ways to

a minimum necessary size.

(L)  Impact on developed areas within two miles

of the proposed natural gas pipeline, the efforts

made to avoid such areas, and of the efforts that

have been or will be made to minimize the impact of

the proposed natural gas pipeline on such areas with

the intent of avoiding siting natural gas pipelines

in or directly adjacent to populated areas.

(M)  Any other conditions, requirements or

standards the council may prescribe by rule or

regulation.

(vi)  The form and content of applications for

designation of a distribution corridor or construction of

a cross-borders natural gas pipeline.

(vii)  Confidentiality of data and information

received by the council and maintained in its data

collection system, including security measures to ensure

that data or information it has designated as

confidential or received with a confidential designation

from a governmental agency, energy authority or other

person is protected against disclosure. The council may,

by regulation, designate certain categories of data and

information as confidential. Any confidential information

pertinent to the functions of the council under this

compact that is obtained by another state agency or

person shall be available to the council and shall be

treated as confidential. Confidential information shall

be aggregated or masked to the extent necessary to assure

confidentiality if public disclosure of the specific

information would result in unfair competitive

disadvantage to the person supplying the information.

(viii)  Procedures to govern cost-sharing between the

party states.

Section 4.4.  Duties of party states.

It shall be the duty of the Public Utility Commission or

similar situated agency of each party state to establish a

natural gas pipeline siting council and take such measures as

shall be necessary and appropriate to promulgate and adopt the

regional process for the location and construction of natural

gas pipelines established by this compact. Each party state's

natural gas pipeline siting council is hereby designated as the

state authority for the purpose of siting natural gas pipelines

under the Natural Gas Act of 1938, and shall work with the

council to carry out the intent and purpose of this compact.

Each such council's authority regarding natural gas pipelines

shall be limited to those natural gas pipelines that are subject

to the Natural Gas Act of 1938 and this compact.

Article V

Public Hearing, Meetings, and Records of Council

Section 5.1.  Informational meetings.

(1)  The council may conduct informational meetings in

the counties where the distribution corridor is proposed to

be designated or where a natural gas pipeline is proposed to

be located and constructed. Such informational meetings shall

be convened as soon as practicable but not later than 60 days

after a vote of the council to designate a distribution

corridor and not later than 60 days after receipt of an

application for the designation of a distribution corridor or

the location and construction of a cross-borders natural gas

pipeline. The purpose of the informational hearings shall be

to:

(i)  Provide information about the proposed

distribution corridor or natural gas pipeline to ensure

that the public and interested parties have a clear

understanding of the proposal.

(ii)  Receive initial comments about the proposed

distribution corridor or natural gas pipeline.

(iii)  Explain the relationship of the proposed

distribution corridor or natural gas pipeline to any

strategic plan regarding natural gas for the Mid-Atlantic

area.

(iv)  Solicit suggestions and information on

reasonable alternatives to the proposed transmission

corridor or natural gas pipeline.

(2)  Informational meetings shall be convened in each

party state, and the place or places of such meetings shall

be as close as possible to the proposed route of the

distribution corridor or natural gas pipeline.

Section 5.2.  Public hearings.

(1)  Subsequent to the informational meetings, the

council shall convene public hearings to determine whether

the proposed location of the distribution corridor or natural

gas pipeline is consistent and in compliance with land use

plans and zoning ordinances of affected political

subdivisions and regional planning authorities. If it is

determined that the proposed location conforms with existing

land use plans or zoning ordinances in effect as of the date

of the application, the affected political subdivision or

regional planning authority shall not thereafter change or

modify such land use plans or zoning ordinances so as to

affect the proposed location.

(2)  Additional public hearings shall be held as deemed

necessary and appropriate by the council in the exercise of

its functions under this compact, and to ensure participation

by landowners and other individuals who may be impacted by

the location and construction of a natural gas pipeline.

Section 5.3.  Public participation.

(1)  All meetings and public hearings convened by the

council shall be open to the public, except with respect to

meetings concerned with personnel issues, with at least 30

days' advance notice. The chairman may convene an emergency

meeting with less advance notice.

(2)  The council shall ensure public accessibility to all

documents, exhibits or other materials related to the

designation of a distribution corridor or the location and

construction of a natural gas pipeline.

(3)  All meetings of the council shall be conducted in a

manner that substantially conforms to the Administrative

Procedure Act (5 U.S.C. Ch.5, Subch.II, and Ch.7).

(4)  The council may, by two-thirds vote of the members

present, hold an executive session closed to the public for

the purpose of discussing legally privileged or proprietary

information; to consider dismissal, disciplining of or

hearing complaints or charges brought against an employee or

other public official unless such person requests a public

hearing; or to consult with its attorney regarding

information or strategy in connection with specific

litigation. The reason requiring an executive session shall

be announced at least 14 days prior to the executive session,

except that the chairman may convene an emergency executive

session with less advance notice, provided that the reason

for the emergency executive session is announced at the

public meeting immediately subsequent to the executive

session. All actions of the council taken in violation of the

requirements of this section shall be null and void.

Section 5.4.  Tribal participation.

(1)  In addition to all other opportunities to comment

and participate in proceedings of the council under this

compact, the council shall consult with and ensure

participation by federally recognized Indian tribes in its

proceedings.

(2)  All federally recognized Indian tribes within a

party state shall receive reasonable notice informing the

tribe that they may participate in the proceeding before the

council. The notice and subsequent notices shall inform the

tribe of any informational or public hearing to be convened

by the council and of the tribe's right to submit written

comments or otherwise participate in such meetings and

hearings. The council shall consider the comments submitted

by an Indian tribe before approving, approving with

modification or disapproving any proposal subject to review,

approval or disapproval by the council.

(3)  The council shall consult with federally recognized

Indian tribes for the establishment of a mutually agreed upon

mechanism or process for the purpose of facilitating dialogue

with and participation by such tribes in its proceedings. The

council may include tribal participation on advisory

committees authorized under this compact or such other

mutually agreed to processes.

Section 5.5.  Minutes.

Detailed written minutes shall be kept of all meetings and

hearings of the council. All decisions, files, records and data

of the council, except for information privileged against

introduction in judicial proceedings, including proprietary

information, personnel records and minutes of a properly

convened executive session, shall be open to public inspection

subject to a procedure that substantially conforms to the

Freedom of Information Act (Public Law 89-554, 5 U.S.C. § 552)

and applicable Pennsylvania law or laws of other party states,

and may be copied upon request and payment of a fee as

established by regulation of the council and which shall be no

higher than necessary to recover copying costs.

Article VI

Finances

Section 6.1.  Annual budget.

(1)  The council shall annually adopt and submit a budget

of its estimated expenditures for administration and

operation to the principal budget officer of each party state

at such time and in such manner as may be required by the

laws of the party states for presentation to the legislatures

thereof. Each such budget shall contain specific

recommendations of the amount or amounts to be appropriated

by each party state. The council shall not pledge the credit

of any party state. The council may meet any of its

obligations in whole or in part with funds available to it

under Article III of this compact, provided that the council

take specific action to set aside such funds prior to the

incurring of any obligations to be met in whole or in part by

the use of such funds. Except where the council makes use of

funds available to it under Article III hereof, the council

shall not incur any obligations prior to the allocation of

funds by the party states sufficient to meet such

obligations.

(2)  In calculating its annual budget, the council shall

balance total expenses against the council's estimate of

revenues from all sources, either previously appropriated by

a party state or receivable from any person, political

subdivision or governmental agency.

(3)  The chairman of the council shall certify to the

respective party states and may, if applicable, submit to

persons in other governmental agencies statements of the

amounts requested from them in accordance with any existing

cost-sharing agreement established by the party states

pursuant to this compact.

Section 6.2.  Apportionment of cost.

The amount required for the council's current budget shall be

apportioned equally among the party states unless a different

apportionment is agreed to by unanimous vote of the council.

Section 6.3.  Accounts of council.

(1)  The council shall keep accurate accounts of all

receipts and disbursements. The receipts and disbursements of

the council shall be subject to the audit and accounting

procedures established by the council under its bylaws,

except that all receipts and disbursements of funds handled

by the council shall be audited annually by a qualified

public accountant and the report of the audit shall be

included in and become a part of the annual report of the

council.

(2)  The accounts of the council shall be open at any

reasonable time for inspection by such agency, representative

or representatives of the party states as may be duly

constituted for that purpose and by others who may be

authorized by the council.

Article VII

Enforcement

Section 7.1.  Power to enforce.

(1)  The council shall have the power to implement and

enforce the provisions of this compact.

(2)  Any person aggrieved by an action or decision of the

council shall:

(i)  Be entitled to an administrative hearing before

the council.

(ii)  Have the right to judicial review of a council

decision or action in the United States District Court

for the District of Columbia or in such district court

that has jurisdiction in the state or states where the

council maintain offices, provided that a petition for

judicial review is filed within 90 days after all

administrative remedies have been exhausted.

Section 7.2.  Actions to compel compliance.

The council may by majority vote initiate actions to compel

compliance with this compact and the rules and regulations

adopted and promulgated pursuant to this compact. The United

States District Court for the District of Columbia or the United

States District Court that has jurisdiction in the state or

states where the council maintains offices shall have

jurisdiction over any actions filed by the council.

Section 7.3.  Liability.

Liabilities of the council shall not be deemed liabilities of

the party states. Members of the council shall not be personally

liable for actions taken in their official capacity.

Article VIII

Eligibility, Entry into Effect, Amendments

and Withdrawal

Section 8.1.  Eligibility.

Any or all of the states of Delaware, Maryland, New Jersey,

New York, Ohio, Pennsylvania, Virginia, West Virginia and the

District of Columbia shall be eligible to become a party state,

and any state contiguous to a party state if affirmed by

unanimous vote of the council shall be eligible to become a

party to this compact.

Section 8.2.  Entry into effect.

This compact shall become operative and effective between the

Commonwealth of Pennsylvania and such other party states when

the following occur:

(i)  The Governor executes the Mid-Atlantic Area

Natural Gas Compact on behalf of the Commonwealth of

Pennsylvania and files a verified copy of this compact

with the Secretary of the Commonwealth.

(ii)  The compact is ratified through the enactment

of concurring legislation by two or more of the party

states.

(iii)  The Congress of the United States confers its

consent or approval to this compact.

Section 8.3.  Filing.

This compact shall be signed and sealed in as many original

copies as necessary by the respective Governors of the party

states. One such copy shall be filed with the Secretary of State

of each party state in accordance with the laws or regulations

of each such state in which the filing is effectuated, and one

copy shall be filed and retained in the archives of the council

upon its organization. The signatures shall be affixed and

attested in a form similar to the following:

In witness whereof, and in evidence of the adoption and

enactment into law of this compact by the legislatures of the

party states and consent by the Congress of the United States,

the respective Governors do hereby, in accordance with the

authority conferred by law, sign this compact in six duplicate

original copies, attested by the respective Secretaries of State

of each party state, and have caused the seals of the respective

party states to be hereunto affixed this day of (month), (year).

Section 8.4.  Amendments to compact.

This compact shall not be amended or modified except with the

concurrence of the General Assembly of the Commonwealth of

Pennsylvania and the legislatures of the party states.

Amendments shall not become effective until adopted in the same

manner as the original compact.

Section 8.5.  Withdrawal.

Any party state may withdraw from this compact by enacting a

statute repealing the same, but no such withdrawal shall become

effective until one year after the Governor of the withdrawing

party state forwards formal notice in writing to the Governor of

each other party state informing said Governors of the action of

the legislature in repealing the compact and declaring the

intention to withdraw, provided, however, that the withdrawal of

a party state shall not affect any liability already incurred by

or chargeable to a party state prior to the time of such

withdrawal.

Article XI

Severability and Construction

Section 9.1.  Construction.

(1)  Nothing in this compact shall be construed to:

(i)  Limit, repeal or supersede any law, rule or

regulation of any party state.

(ii)  Displace existing laws or regulations of the

party states that govern the location and construction of

intrastate natural gas pipelines proposed to be located

and constructed within the geographic borders of any such

states.

(iii)  Permit or require any person or other entity

to avoid or refuse to comply with any law, rule,

regulation, order or ordinance of a party state, or

political subdivision thereof, now or hereafter made,

enacted or in force.

(iv)  Limit, diminish or otherwise impair

jurisdiction exercised by the DOE or any successor

agency, or any other Federal department, agency or

officer pursuant to and in conformity with any valid and

operative act of Congress.

(v)  Alter the relations between and respective

internal responsibilities of the government of a party

state and its political subdivisions.

(vi)  Abrogate or derogate the rights held by any

federally recognized Indian tribe.

(2)  This compact shall be construed liberally in order

to achieve the purposes and intent enunciated herein. It is

the intent of this compact to establish a basic structure by

which the council may achieve such purposes through the

development and adoption of uniform policies, rules and

regulations and strategic plans to facilitate the designation

of distribution corridors and the location and construction

of cross-border natural gas pipelines.

Section 9.2.  Severability.

The provisions of this compact are severable. If any

provision of this compact or its application to any person or

circumstance is held invalid, the invalidity shall not affect

other provisions or applications of this compact which can be

given effect without the invalid provision or applications.

Section 3.  Policy of Commonwealth and legal effect.

The policy of the Commonwealth and the effect on laws and

regulations generally are as follows:

(1)  It is hereby declared to be the policy of the

Commonwealth to perform and carry out the compact and to

accomplish the purposes thereof. All officers and agencies of

this Commonwealth are authorized and directed to do all

things falling within their respective jurisdictions

necessary or incidental to the carrying out of the compact in

every particular. All officers, employees, departments,

bureaus, boards, commissions, authorities and other such

agencies of the Commonwealth are authorized and directed at

reasonable times and upon request of the council to furnish

the council with information and data possessed by them or

any of them and to aid the council by loan of personnel or

other means lying within their legal powers respectively.

(2)  If any provision of the compact conflicts with any

other provision, limitation or restriction which is now in

effect under any other law of this Commonwealth or any rule,

regulation, order or policy promulgated thereunder, this act

shall govern and control any such other law or rule,

regulation, order or policy promulgated thereunder shall be

deemed superseded for the purposes of this act.

Section 4.  Submission of council budgets.

The budget of the estimated expenditures of the council shall

be submitted to the Governor for such period and in such form as

shall be requested by the Governor.

Section 5.  Appropriation.

The sum of $2,000,000, or as much thereof as may be

necessary, is hereby appropriated to the council as the

Commonwealth of Pennsylvania's pro rata share of the expenses of

the council for the fiscal year beginning July 1, 2009, to June

30, 2010, provided, however, that no such appropriation shall be

allocated until the compact becomes operative and effective in

accordance with section 8.2(1) of the compact.

Section 6.  Expiration.

(a)  Publication of failure to consent.--If the Congress of

the United States fails to confer its consent to and approval of

the compact by June 30, 2010, the Secretary of the Commonwealth

shall publish a notice in the Pennsylvania Bulletin within 30

days of June 30, 2010, declaring such failure of the Congress to

consent to the compact.

(b)  Effect of publication.--This act shall expire

immediately upon publication of the notice under subsection (a).

(c)  Effect of repeal.--If the President of the United States

signs a subsequent act of the Congress of the United States

providing for the repeal of the Natural Gas Act of 1938, this

act shall expire immediately upon the effective date of the

repeal.

(d)  Dissolution.--In the event that this act is terminated

by the operation of subsection (b) or (c), the council shall be

dissolved, its assets and liabilities transferred and its

affairs suspended in accordance with the unanimous agreement of

the party states or, failing unanimous agreement, in such manner

that the assets and liabilities of the council shall be shared

by the respective party states.

Section 7.  Administrative duties.

(a)  Governor.--The Governor is hereby authorized and

directed to take such action as may be necessary to complete the

exchange of official documents between the Commonwealth of

Pennsylvania and any other state ratifying the compact.

(b)  Secretary of the Commonwealth.--The Secretary of the

Commonwealth shall publish a notice in the Pennsylvania Bulletin

when the conditions set forth in subsection (a) of this section

are satisfied. The notice shall include the date on which the

Mid-Atlantic Area Natural Gas Compact became effective and

operative between this Commonwealth and any other state in

accordance with this act.

Section 8.  Effective date.

This act shall take effect immediately.