WASHINGTON – The U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) is awarding $85.9 million in grants to states to support pipeline and underground natural gas storage (UNGS) inspection activities carried out by state inspectors covering more than 85 percent of the nation’s 3.3-million-mile pipeline system.

This year’s award package includes a 33 percent ($21.5 million) increase in comparison to Fiscal Year (FY) 2023 funding levels and will further enable PHMSA’s state partners to hire new pipeline inspectors, provide training, conduct pipeline inspections, and purchase and maintain equipment necessary to carry out their pipeline safety missions.

“We are grateful for Congress’ bipartisan support this year to match the increase in pipeline safety oversight responsibilities of PHMSA and our state partner inspection programs,” said PHMSA Deputy Administrator Tristan Brown. “This year’s increase in grant awards will help ensure our states can keep up with the growing challenges of helping oversee the largest hazardous pipeline system in the world.”

PHMSA will distribute $82 million in Pipeline Safety State Base (Base) Grants and $3.9 million in UNGS Grants to reimburse up to 80 percent of participating states’ inspection and enforcement costs. Nearly all states receive state inspection program grants from PHMSA, and 13 states receive UNGS Grants. Base and UNGS grant awards are calculated based on the state’s estimated safety program costs. Base grant awards are also contingent on the results of PHMSA’s most recent annual program evaluation and progress report scoring for each state agency.

In its FY 2024 budget request, the Biden-Harris Administration proposed the $21.5 million increase in funding to support the growing challenges incurred by states in helping hire, train, and carry out pipeline safety inspections and enforcement actions. On March 24, 2024, President Biden signed the 2024 funding bill into law, which included the requested increase and was supported by bipartisan votes in the House of Representatives and the Senate.

The National Association of Pipeline Safety Representatives (NAPSR), which represents state pipeline safety program offices that help carry out Federal pipeline safety regulations through annual certifications and agreements with PHMSA, also supported the increase. Recognizing the benefit of this funding, the NAPSR National Chair and New York State Public Service Commission’s Chief of Pipeline Safety Kevin Speicher remarked, “The recent increase in grant funding levels helps move towards closing the gap that exists between current funding of pipeline safety grants and the resources needed to ensure the continued safe operation of gas and hazardous liquid pipelines under the jurisdiction of NAPSR state programs."   

“This funding will go far to protect our land and water from pipeline incidents” said Dave Danner, Chair of the Washington Utilities and Transportation Commission. “It will allow state pipeline safety programs like ours to retain and attract high quality talent as well as the equipment necessary to maintain safety and environmental accountability.”

“The meaningful increase in funding is fantastic news,” said Bill Caram, Executive Director of the Pipeline Safety Trust. “State programs are critical to pipeline safety, and these funds provide states with the resources needed to effectively meet their public safety mandates.”

More information on PHMSA’s grant programs is available here: https://www.phmsa.dot.gov/about-phmsa/working-phmsa/grants.