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    Subject Term: "Fuel research"

    2 publications with a total of 2 open recommendations including 1 priority recommendation
    Director: Susan Fleming
    Phone: (202) 512-2834

    1 open recommendations
    including 1 priority recommendation
    Recommendation: To address the increased risk posed by new gathering pipeline construction in shale development areas, the Secretary of Transportation, in conjunction with the Administrator of the Pipeline and Hazardous Materials Safety Administration, should move forward with a Notice of Proposed Rulemaking to address gathering pipeline safety that addresses the risks of larger-diameter, higher-pressure gathering pipelines, including subjecting such pipelines to emergency response planning requirements that currently do not apply.

    Agency: Department of Transportation
    Status: Open
    Priority recommendation

    Comments: PHMSA has drafted proposed regulations for both gas and hazardous liquid gathering pipelines. Specifically, PHMSA published Notices of Proposed Rulemaking to separately address safety issues associated with hazardous liquid gathering pipelines in October 2015 and gas gathering pipelines in April 2016. These proposed regulations partly address our recommendation by proposing new rules to address risks posed by new gathering pipeline construction, but do not fully address our recommendation to subject these pipelines to emergency response planning requirements, particularly for hazardous liquid pipelines. As of October 2016, PHMSA has determined that it needs one year's worth of data before it can begin assessing what regulations are needed to fully address the risks of hazardous liquid pipelines.
    Director: Cary Russell
    Phone: (202) 512-5431

    1 open recommendations
    Recommendation: To improve DOD's process for setting its standard fuel price, the Secretary of Defense should direct the Office of the Under Secretary of Defense (Comptroller), in coordination with the Defense Logistics Agency (DLA), to document its assumptions, including providing detailed rationale for how it estimates each of these components.

    Agency: Department of Defense
    Status: Open

    Comments: DOD partially concurred with our recommendation but has not yet completed actions to fully address the recommendation. Consistent with our recommendation, DOD reevaluated its methodology for establishing the fiscal year 2017 standard price and documented parts of the methodology it used. Specifically, DOD detailed the various options it considered, the reasons why it chose the methodology it used, and the calculations it used to arrive at its estimated standard price in an internal Office of the Under Secretary of Defense (Comptroller) memorandum. However, DOD has not documented a process for establishing the standard price in three areas. First, DOD has not documented a formalized process that describes the steps it will take on an annual basis to determine the standard price for future fiscal years. Second, documentation detailing the options DOD considered and the rationale behind the methodology it chose is not available to Congress and its fuel customers. Third, DOD has not document the formal review and approval of the new methodology by senior Comptroller officials. The DOD Comptroller official who is responsible for managing the bulk fuel program stated that the department does not have a similar formal process for determining rates for other commodities and working capital funds. Therefore, the official stated that DOD does not want to make the bulk fuel standard price determination unique and apart from these other commodities. Because of concerns with the quality and transparency of information available to Congressional decision makers and department fuel customers concerning the methodology selected each year and its application to relevant data used in estimating fuel rate prices for the next fiscal year, the Senate Armed Services Committee directed DOD to submit detailed guidance to the congressional defense committees no later than February 1, 2017 that, among other aspects, requires documentation of the rationale for using one methodology over another for estimating the next fiscal year's fuel rate price, to include the limitations and assumptions of underlying data and establishing a timeline for developing annual estimated fuel rate prices for the next fiscal year. Documenting DOD's assumptions would provide greater transparency and clarify for fuel customers and decision makers regarding the process DOD uses to set the standard price.