An act to amend 1969 PA 165, entitled “An act to authorize the public service commission to establish and enforce gas safety standards; and to provide penalties for violations thereof,” by amending section 11 (MCL 483.161), as amended by 1992 PA 11.
This is a massive increase in the fines that could be handed out to natural gas producers and transporters. Bumps administrative fines by 1900% and the maximums for total administrative fines by 400% and then adds a requirement that the MPSC increase the fines along with inflation. This appears to be a bill aimed at putting Michigan’s oil and gas producers and transporters out of business if they make a mistake.
The impetus behind this bill appears to be based in the MPSC's assertions that, if they don't up the potential fines handed out by the MPSC, the state will lose the ability to oversee their own safety programs. Dan Scripps' testimony to the Senate on this issue said that either FERC or PHSMA would re-take oversight of these programs if they don't increase the fines.
Co-sponsored by Sens.
Referred to the Committee on Energy and Environment
Reported without amendment
Referred to the Committee of the Whole
Reported without amendment
Passed in the Senate 32 to 5 (details)
Referred to the Committee on Energy, Communications, and Technology
Discharged from committee
1. Amend page 2, following line 25, by inserting:
“(6) An administrative fine issued under this section must be deposited in the general fund. For each calendar year, any amount of the administrative fines deposited in the general fund that exceeds $200,000.00 must be credited to the commission to be used for underground facilities safety education and training, consistent with section 12(7) of the MISS DIG underground facility damage prevention and safety act, 2013 PA 174, MCL 460.732.” and renumbering the remaining subsection.
The amendment failed by voice vote
Motion to reconsider amendment
by
The motion prevailed by voice vote
Amendment offered
by
The amendment passed by voice vote
Passed in the House 89 to 21 (details)
Motion to give immediate effect
by
The motion prevailed by voice vote
Amendment concurred in 30 to 7 (details)
Motion to give immediate effect
by
The motion prevailed by voice vote
