Department of Energy Organization Act

Page 6127

TITLE 42—THE PUBLIC HEALTH AND WELFARE

565, as amended, known as the Department of Energy
Organization Act, which is classified principally to this
chapter. For complete classification of this Act to the
Code, see Short Title note set out under section 7101 of
this title and Tables.
AMENDMENTS
1999—Pub. L. 106–65 struck out subsec. (a) designation
before ‘‘The Division of Naval Reactors’’, substituted
‘‘Under Secretary for Nuclear Security’’ for ‘‘Assistant
Secretary to whom the Secretary has assigned the
function listed in section 7133(a)(2)(E) of this title’’, and
struck out subsec. (b) which read as follows: ‘‘The Division of Military Application, established by section 2035
of this title, and the functions of the Energy Research
and Development Administration with respect to the
Military Liaison Committee, established by section
2037 of this title, are transferred to the Department
under the Assistant Secretary to whom the Secretary
has assigned those functions listed in section 7133(a)(5)
of this title, and such organizational units shall be
deemed to be organizational units established by this
chapter.’’
EFFECTIVE DATE OF 1999 AMENDMENT
Amendment by Pub. L. 106–65 effective Mar. 1, 2000,
see section 3299 of Pub. L. 106–65, set out as an Effective
Date note under section 2401 of Title 50, War and National Defense.
TRANSFER OF FUNCTIONS
All national security functions and activities performed immediately before Oct. 5, 1999, by the Office of
Naval Reactors transferred to the Administrator for
Nuclear Security of the National Nuclear Security Administration of the Department of Energy, and the
Deputy Administrator for Naval Reactors of the Administration to be assigned the responsibilities, authorities, and accountability for all functions of the Office of Naval Reactors under Executive Order No. 12344,
set out as a note under section 2511 of Title 50, War and
National Defense, see sections 2406 and 2481 of Title 50.
Pub. L. 98–525, title XVI, § 1634, Oct. 19, 1984, 98 Stat.
2649, which was formerly set out as a note under this
section, was renumbered section 4101 of Pub. L. 107–314,
the Bob Stump National Defense Authorization Act for
Fiscal Year 2003, by Pub. L 108–136, div. C, title XXXI,
§ 3141(d)(2), Nov. 24, 2003, 117 Stat. 1757, and is set out as
a note under section 2511 of Title 50, War and National
Defense.

§ 7159. Transfer to Department of Transportation
Notwithstanding section 7151(a) of this title,
there are transferred to, and vested in, the Secretary of Transportation all of the functions
vested in the Administrator of the Federal Energy Administration by section 6361(b)(1)(B) of
this title.
(Pub. L. 95–91, title III, § 310, Aug. 4, 1977, 91 Stat.
582.)
SUBCHAPTER IV—FEDERAL ENERGY
REGULATORY COMMISSION
§ 7171. Appointment and administration
(a) Federal Energy Regulatory Commission; establishment
There is established within the Department an
independent regulatory commission to be known
as the Federal Energy Regulatory Commission.
(b) Composition; term of office; conflict of interest; expiration of terms
(1) The Commission shall be composed of five
members appointed by the President, by and

§ 7171

with the advice and consent of the Senate. One
of the members shall be designated by the President as Chairman. Members shall hold office for
a term of 5 years and may be removed by the
President only for inefficiency, neglect of duty,
or malfeasance in office. Not more than three
members of the Commission shall be members of
the same political party. Any Commissioner appointed to fill a vacancy occurring prior to the
expiration of the term for which his predecessor
was appointed shall be appointed only for the remainder of such term. A Commissioner may continue to serve after the expiration of his term
until his successor is appointed and has been
confirmed and taken the oath of Office, except
that such Commissioner shall not serve beyond
the end of the session of the Congress in which
such term expires. Members of the Commission
shall not engage in any other business, vocation,
or employment while serving on the Commission.
(2) Notwithstanding the third sentence of
paragraph (1), the terms of members first taking
office after April 11, 1990, shall expire as follows:
(A) In the case of members appointed to succeed members whose terms expire in 1991, one
such member’s term shall expire on June 30,
1994, and one such member’s term shall expire
on June 30, 1995, as designated by the President at the time of appointment.
(B) In the case of members appointed to succeed members whose terms expire in 1992, one
such member’s term shall expire on June 30,
1996, and one such member’s term shall expire
on June 30, 1997, as designated by the President at the time of appointment.
(C) In the case of the member appointed to
succeed the member whose term expires in
1993, such member’s term shall expire on June
30, 1998.
(c) Duties and responsibilities of Chairman
The Chairman shall be responsible on behalf of
the Commission for the executive and administrative operation of the Commission, including
functions of the Commission with respect to (1)
the appointment and employment of hearing examiners in accordance with the provisions of
title 5, (2) the selection, appointment, and fixing
of the compensation of such personnel as he
deems necessary, including an executive director, (3) the supervision of personnel employed by
or assigned to the Commission, except that each
member of the Commission may select and supervise personnel for his personal staff, (4) the
distribution of business among personnel and
among administrative units of the Commission,
and (5) the procurement of services of experts
and consultants in accordance with section 3109
of title 5. The Secretary shall provide to the
Commission such support and facilities as the
Commission determines it needs to carry out its
functions.
(d) Supervision and direction of members, employees, or other personnel of Commission
In the performance of their functions, the
members, employees, or other personnel of the
Commission shall not be responsible to or subject to the supervision or direction of any officer, employee, or agent of any other part of the
Department.

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TITLE 42—THE PUBLIC HEALTH AND WELFARE

(e) Designation of Acting Chairman; quorum;
seal
The Chairman of the Commission may designate any other member of the Commission as
Acting Chairman to act in the place and stead of
the Chairman during his absence. The Chairman
(or the Acting Chairman in the absence of the
Chairman) shall preside at all sessions of the
Commission and a quorum for the transaction of
business shall consist of at least three members
present. Each member of the Commission, including the Chairman, shall have one vote. Actions of the Commission shall be determined by
a majority vote of the members present. The
Commission shall have an official seal which
shall be judicially noticed.
(f) Rules
The Commission is authorized to establish
such procedural and administrative rules as are
necessary to the exercise of its functions. Until
changed by the Commission, any procedural and
administrative rules applicable to particular
functions over which the Commission has jurisdiction shall continue in effect with respect to
such particular functions.
(g) Powers of Commission
In carrying out any of its functions, the Commission shall have the powers authorized by the
law under which such function is exercised to
hold hearings, sign and issue subpenas, administer oaths, examine witnesses, and receive evidence at any place in the United States it may
designate. The Commission may, by one or more
of its members or by such agents as it may designate, conduct any hearing or other inquiry
necessary or appropriate to its functions, except
that nothing in this subsection shall be deemed
to supersede the provisions of section 556 of title
5 relating to hearing examiners.
(h) Principal office of Commission
The principal office of the Commission shall
be in or near the District of Columbia, where its
general sessions shall be held, but the Commission may sit anywhere in the United States.
(i) Commission deemed agency; attorney for
Commission
For the purpose of section 552b of title 5, the
Commission shall be deemed to be an agency.
Except as provided in section 518 of title 28, relating to litigation before the Supreme Court,
attorneys designated by the Chairman of the
Commission may appear for, and represent the
Commission in, any civil action brought in connection with any function carried out by the
Commission pursuant to this chapter or as
otherwise authorized by law.
(j) Annual authorization and appropriation request
In each annual authorization and appropriation request under this chapter, the Secretary
shall identify the portion thereof intended for
the support of the Commission and include a
statement by the Commission (1) showing the
amount requested by the Commission in its
budgetary presentation to the Secretary and the
Office of Management and Budget and (2) an assessment of the budgetary needs of the Commis-

Page 6128

sion. Whenever the Commission submits to the
Secretary, the President, or the Office of Management and Budget, any legislative recommendation or testimony, or comments on legislation, prepared for submission to Congress, the
Commission shall concurrently transmit a copy
thereof to the appropriate committees of Congress.
(Pub. L. 95–91, title IV, § 401, Aug. 4, 1977, 91 Stat.
582; Pub. L. 101–271, § 2(a), (b), Apr. 11, 1990, 104
Stat. 135.)
REFERENCES IN TEXT
This chapter, referred to in subsecs. (i) and (j), was in
the original ‘‘this Act’’, meaning Pub. L. 95–91, Aug. 4,
1977, 91 Stat. 565, as amended, known as the Department of Energy Organization Act, which is classified
principally to this chapter. For complete classification
of this Act to the Code, see Short Title note set out
under section 7101 of this title and Tables.
AMENDMENTS
1990—Subsec. (b). Pub. L. 101–271 designated existing
provisions as par. (1), substituted ‘‘5 years’’ for ‘‘four
years’’, struck out after third sentence ‘‘The terms of
the members first taking office shall expire (as designated by the President at the time of appointment),
two at the end of two years, two at the end of three
years, and one at the end of four years.’’, substituted
‘‘A Commissioner may continue to serve after the expiration of his term until his successor is appointed and
has been confirmed and taken the oath of Office, except
that such Commissioner shall not serve beyond the end
of the session of the Congress in which such term expires.’’ for ‘‘A Commissioner may continue to serve
after the expiration of his term until his successor has
taken office, except that he may not so continue to
serve for more than one year after the date on which
his term would otherwise expire under this subsection.’’, and added par. (2).
EFFECTIVE DATE OF 1990 AMENDMENT
Section 2(c) of Pub. L. 101–271 provided that: ‘‘The
amendments made by this section [amending this section] apply only to persons appointed or reappointed as
members of the Federal Energy Regulatory Commission after the date of enactment of this Act [Apr. 11,
1990].’’
RENEWABLE ENERGY AND ENERGY CONSERVATION
INCENTIVES
Pub. L. 101–549, title VIII, § 808, Nov. 15, 1990, 104 Stat.
2690, provided that:
‘‘(a) DEFINITION.—For purposes of this section, ‘renewable energy’ means energy from photovoltaic, solar
thermal, wind, geothermal, and biomass energy production technologies.
‘‘(b) RATE INCENTIVES STUDY.—Within 18 months after
enactment [Nov. 15, 1990], the Federal Energy Regulatory Commission, in consultation with the Environmental Protection Agency, shall complete a study
which calculates the net environmental benefits of renewable energy, compared to nonrenewable energy, and
assigns numerical values to them. The study shall include, but not be limited to, environmental impacts on
air, water, land use, water use, human health, and
waste disposal.
‘‘(c) MODEL REGULATIONS.—In conjunction with the
study in subsection (b), the Commission shall propose
one or more models for incorporating the net environmental benefits into the regulatory treatment of renewable energy in order to provide economic compensation for those benefits.
‘‘(d) REPORT.—The Commission shall transmit the
study and the model regulations to Congress, along
with any recommendations on the best ways to reward
renewable energy technologies for their environmental

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TITLE 42—THE PUBLIC HEALTH AND WELFARE

benefits, in a report no later than 24 months after enactment [Nov. 15, 1990].’’
RETENTION AND USE OF REVENUES FROM LICENSING
FEES, INSPECTION SERVICES, AND OTHER SERVICES
AND COLLECTIONS; REDUCTION TO ACHIEVE FINAL
FISCAL YEAR APPROPRIATION
Pub. L. 99–500, § 101(e) [title III], Oct. 18, 1986, 100 Stat.
1783–194, 1783–208, and Pub. L. 99–591, § 101(e) [title III],
Oct. 30, 1986, 100 Stat. 3341–194, 3341–208, provided in
part: ‘‘That hereafter and notwithstanding any other
provision of law revenues from licensing fees, inspection services, and other services and collections, estimated at $78,754,000 in fiscal year 1987, may be retained
and used for necessary expenses in this account, and
may remain available until expended: Provided further,
That the sum herein appropriated shall be reduced as
revenues are received during fiscal year 1987, so as to
result in a final fiscal year 1987 appropriation estimated at not more than $20,325,000.’’
Similar provisions were contained in the following
appropriation acts:
Pub. L. 112–74, div. B, title III, Dec. 23, 2011, 125 Stat.
875.
Pub. L. 111–85, title III, Oct. 28, 2009, 123 Stat. 2871.
Pub. L. 111–8, div. C, title III, Mar. 11, 2009, 123 Stat.
625.
Pub. L. 110–161, div. C, title III, Dec. 26, 2007, 121 Stat.
1966.
Pub. L. 109–103, title III, Nov. 19, 2005, 119 Stat. 2277.
Pub. L. 108–447, div. C, title III, Dec. 8, 2004, 118 Stat.
2957.
Pub. L. 108–137, title III, Dec. 1, 2003, 117 Stat. 1859.
Pub. L. 108–7, div. D, title III, Feb. 20, 2003, 117 Stat.
153.
Pub. L. 107–66, title III, Nov. 12, 2001, 115 Stat. 508.
Pub. L. 106–377, § 1(a)(2) [title III], Oct. 27, 2000, 114
Stat. 1441, 1441A–78.
Pub. L. 106–60, title III, Sept. 29, 1999, 113 Stat. 494.
Pub. L. 105–245, title III, Oct. 7, 1998, 112 Stat. 1851.
Pub. L. 105–62, title III, Oct. 13, 1997, 111 Stat. 1334.
Pub. L. 104–206, title III, Sept. 30, 1996, 110 Stat. 2998.
Pub. L. 104–46, title III, Nov. 13, 1995, 109 Stat. 416.
Pub. L. 103–316, title III, Aug. 26, 1994, 108 Stat. 1719.
Pub. L. 103–126, title III, Oct. 28, 1993, 107 Stat. 1330.
Pub. L. 102–377, title III, Oct. 2, 1992, 106 Stat. 1338.
Pub. L. 102–104, title III, Aug. 17, 1991, 105 Stat. 531.
Pub. L. 101–514, title III, Nov. 5, 1990, 104 Stat. 2093.
Pub. L. 101–101, title III, Sept. 29, 1989, 103 Stat. 661.
Pub. L. 100–371, title III, July 19, 1988, 102 Stat. 870.
Pub. L. 100–202, § 101(d) [title III], Dec. 22, 1987, 101
Stat. 1329–104, 1329–124.

§ 7172. Jurisdiction of Commission
(a) Transfer of functions from Federal Power
Commission
(1) There are transferred to, and vested in, the
Commission the following functions of the Federal Power Commission or of any member of the
Commission or any officer or component of the
Commission:
(A) the investigation, issuance, transfer, renewal, revocation, and enforcement of licenses
and permits for the construction, operation,
and maintenance of dams, water conduits, reservoirs, powerhouses, transmission lines, or
other works for the development and improvement of navigation and for the development
and utilization of power across, along, from, or
in navigable waters under part I of the Federal
Power Act [16 U.S.C. 791a et seq.];
(B) the establishment, review, and enforcement of rates and charges for the transmission
or sale of electric energy, including determinations on construction work in progress,
under part II of the Federal Power Act [16

§ 7172

U.S.C. 824 et seq.], and the interconnection,
under section 202(b), of such Act [16 U.S.C.
824a(b)], of facilities for the generation, transmission, and sale of electric energy (other
than emergency interconnection);
(C) the establishment, review, and enforcement of rates and charges for the transportation and sale of natural gas by a producer or
gatherer or by a natural gas pipeline or natural gas company under sections 1, 4, 5, and 6 of
the Natural Gas Act [15 U.S.C. 717, 717c to
717e];
(D) the issuance of a certificate of public
convenience and necessity, including abandonment of facilities or services, and the establishment of physical connections under section 7 of the Natural Gas Act [15 U.S.C. 717f];
(E) the establishment, review, and enforcement of curtailments, other than the establishment and review of priorities for such curtailments, under the Natural Gas Act [15
U.S.C. 717 et seq.]; and
(F) the regulation of mergers and securities
acquisition under the Federal Power Act [16
U.S.C. 791a et seq.] and Natural Gas Act [15
U.S.C. 717 et seq.].
(2) The Commission may exercise any power
under the following sections to the extent the
Commission determines such power to be necessary to the exercise of any function within the
jurisdiction of the Commission:
(A) sections 4, 301, 302, 306 through 309, and
312 through 316 of the Federal Power Act [16
U.S.C. 797, 825, 825a, 825e to 825h, 825k to 825o];
and
(B) sections 8, 9, 13 through 17, 20, and 21 of
the Natural Gas Act [15 U.S.C. 717g, 717h, 717l
to 717p, 717s, 717t].
(b) Repealed. Pub. L. 103–272, § 7(b), July 5, 1994,
108 Stat. 1379
(c) Consideration of proposals made by Secretary to amend regulations issued under
section 753 of title 15; exception
(1) Pursuant to the procedures specified in section 7174 of this title and except as provided in
paragraph (2), the Commission shall have jurisdiction to consider any proposal by the Secretary to amend the regulation required to be issued under section 753(a) 1 of title 15 which is required by section 757 or 760a 1 of title 15 to be
transmitted by the President to, and reviewed
by, each House of Congress, under section 6421 of
this title.
(2) In the event that the President determines
that an emergency situation of overriding national importance exists and requires the expeditious promulgation of a rule described in paragraph (1), the President may direct the Secretary to assume sole jurisdiction over the promulgation of such rule, and such rule shall be
transmitted by the President to, and reviewed
by, each House of Congress under section 757 or
760a 1 of title 15, and section 6421 of this title.
(d) Matters involving agency determinations to
be made on record after agency hearing
The Commission shall have jurisdiction to
hear and determine any other matter arising
under any other function of the Secretary—
1 See

References in Text note below.

§ 7172

TITLE 42—THE PUBLIC HEALTH AND WELFARE

(1) involving any agency determination required by law to be made on the record after
an opportunity for an agency hearing; or
(2) involving any other agency determination which the Secretary determines shall be
made on the record after an opportunity for an
agency hearing,
except that nothing in this subsection shall require that functions under sections 6213 and
6214 1 of this title shall be within the jurisdiction
of the Commission unless the Secretary assigns
such a function to the Commission.
(e) Matters assigned by Secretary after public
notice and matters referred under section
7174 of this title
In addition to the other provisions of this section, the Commission shall have jurisdiction
over any other matter which the Secretary may
assign to the Commission after public notice, or
which are required to be referred to the Commission pursuant to section 7174 of this title.
(f) Limitation
No function described in this section which
regulates the exports or imports of natural gas
or electricity shall be within the jurisdiction of
the Commission unless the Secretary assigns
such a function to the Commission.
(g) Final agency action
The decision of the Commission involving any
function within its jurisdiction, other than action by it on a matter referred to it pursuant to
section 7174 of this title, shall be final agency
action within the meaning of section 704 of title
5 and shall not be subject to further review by
the Secretary or any officer or employee of the
Department.
(h) Rules, regulations, and statements of policy
The Commission is authorized to prescribe
rules, regulations, and statements of policy of
general applicability with respect to any function under the jurisdiction of the Commission
pursuant to this section.
(Pub. L. 95–91, title IV, § 402, Aug. 4, 1977, 91 Stat.
583; Pub. L. 103–272, § 7(b), July 5, 1994, 108 Stat.
1379.)
REFERENCES IN TEXT
The Federal Power Act, referred to in subsec.
(a)(1)(A), (B), and (F), is act June 10, 1920, ch. 285, 41
Stat. 1063, as amended, which is classified generally to
chapter 12 (§ 791a et seq.) of Title 16, Conservation.
Parts I and II of the Federal Power Act are classified
generally to subchapters I (§ 791a et seq.) and II (§ 824 et
seq.), respectively, of chapter 12 of Title 16. For complete classification of this Act to the Code, see section
791a of Title 16 and Tables.
The Natural Gas Act, referred to in subsec. (a)(1)(E),
(F), is act June 21, 1938, ch. 556, 52 Stat. 821, as amended, which is classified generally to chapter 15B (§ 717 et
seq.) of Title 15, Commerce and Trade. For complete
classification of this Act to the Code, see section 717w
of Title 15 and Tables.
Sections 753, 757, and 760a of title 15, referred to in
subsec. (c), were omitted from the Code pursuant to
section 760g of Title 15, which provided for the expiration of the President’s authority under those sections
on Sept. 30, 1981.
Section 6214 of this title, referred to in subsec. (d),
was repealed by Pub. L. 106–469, title I, § 103(3), Nov. 9,
2000, 114 Stat. 2029.

Page 6130

AMENDMENTS
1994—Subsec. (b). Pub. L. 103–272 struck out subsec.
(b) which read as follows: ‘‘There are transferred to,
and vested in, the Commission all functions and authority of the Interstate Commerce Commission or any
officer or component of such Commission where the
regulatory function establishes rates or charges for the
transportation of oil by pipeline or establishes the
valuation of any such pipeline.’’ See section 60502 of
Title 49, Transportation.
OIL PIPELINE REGULATORY REFORM
Pub. L. 102–486, title XVIII, Oct. 24, 1992, 106 Stat.
3010, provided that:
‘‘SEC. 1801. OIL PIPELINE RATEMAKING METHODOLOGY.
‘‘(a) ESTABLISHMENT.—Not later than 1 year after the
date of the enactment of this Act [Oct. 24, 1992], the
Federal Energy Regulatory Commission shall issue a
final rule which establishes a simplified and generally
applicable ratemaking methodology for oil pipelines in
accordance with section 1(5) of part I of the Interstate
Commerce Act [former 49 U.S.C. 1(5)].
‘‘(b) EFFECTIVE DATE.—The final rule to be issued
under subsection (a) may not take effect before the
365th day following the date of the issuance of the rule.
‘‘SEC. 1802. STREAMLINING OF COMMISSION PROCEDURES.
‘‘(a) RULEMAKING.—Not later than 18 months after the
date of the enactment of this Act [Oct. 24, 1992], the
Commission shall issue a final rule to streamline procedures of the Commission relating to oil pipeline rates
in order to avoid unnecessary regulatory costs and
delays.
‘‘(b) SCOPE OF RULEMAKING.—Issues to be considered
in the rulemaking proceeding to be conducted under
subsection (a) shall include the following:
‘‘(1) Identification of information to be filed with
an oil pipeline tariff and the availability to the public of any analysis of such tariff filing performed by
the Commission or its staff.
‘‘(2) Qualification for standing (including definitions of economic interest) of parties who protest oil
pipeline tariff filings or file complaints thereto.
‘‘(3) The level of specificity required for a protest or
complaint and guidelines for Commission action on
the portion of the tariff or rate filing subject to protest or complaint.
‘‘(4) An opportunity for the oil pipeline to file a response for the record to an initial protest or complaint.
‘‘(5) Identification of specific circumstances under
which Commission staff may initiate a protest.
‘‘(c) ADDITIONAL PROCEDURAL CHANGES.—In conducting the rulemaking proceeding to carry out subsection
(a), the Commission shall identify and transmit to Congress any other procedural changes relating to oil pipeline rates which the Commission determines are necessary to avoid unnecessary regulatory costs and
delays and for which additional legislative authority
may be necessary.
‘‘(d) WITHDRAWAL OF TARIFFS AND COMPLAINTS.—
‘‘(1) WITHDRAWAL OF TARIFFS.—If an oil pipeline tariff which is filed under part I of the Interstate Commerce Act [former 49 U.S.C. 1 et seq.] and which is
subject to investigation is withdrawn—
‘‘(A) any proceeding with respect to such tariff
shall be terminated;
‘‘(B) the previous tariff rate shall be reinstated;
and
‘‘(C) any amounts collected under the withdrawn
tariff rate which are in excess of the previous tariff
rate shall be refunded.
‘‘(2) WITHDRAWAL OF COMPLAINTS.—If a complaint
which is filed under section 13 of the Interstate Commerce Act [former 49 U.S.C. 13] with respect to an oil
pipeline tariff is withdrawn, any proceeding with respect to such complaint shall be terminated.

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TITLE 42—THE PUBLIC HEALTH AND WELFARE

‘‘(e) ALTERNATIVE DISPUTE RESOLUTION.—To the maximum extent practicable, the Commission shall establish appropriate alternative dispute resolution procedures, including required negotiations and voluntary
arbitration, early in an oil pipeline rate proceeding as
a method preferable to adjudication in resolving disputes relating to the rate. Any proposed rates derived
from implementation of such procedures shall be considered by the Commission on an expedited basis for approval.
‘‘SEC. 1803. PROTECTION OF CERTAIN EXISTING
RATES.
‘‘(a) RATES DEEMED JUST AND REASONABLE.—Except
as provided in subsection (b)—
‘‘(1) any rate in effect for the 365-day period ending
on the date of the enactment of this Act [Oct. 24, 1992]
shall be deemed to be just and reasonable (within the
meaning of section 1(5) of the Interstate Commerce
Act [former 49 U.S.C. 1(5)]); and
‘‘(2) any rate in effect on the 365th day preceding
the date of such enactment shall be deemed to be just
and reasonable (within the meaning of such section
1(5)) regardless of whether or not, with respect to
such rate, a new rate has been filed with the Commission during such 365-day period;
if the rate in effect, as described in paragraph (1) or (2),
has not been subject to protest, investigation, or complaint during such 365-day period.
‘‘(b) CHANGED CIRCUMSTANCES.—No person may file a
complaint under section 13 of the Interstate Commerce
Act [former 49 U.S.C. 13] against a rate deemed to be
just and reasonable under subsection (a) unless—
‘‘(1) evidence is presented to the Commission which
establishes that a substantial change has occurred
after the date of the enactment of this Act [Oct. 24,
1992]—
‘‘(A) in the economic circumstances of the oil
pipeline which were a basis for the rate; or
‘‘(B) in the nature of the services provided which
were a basis for the rate; or
‘‘(2) the person filing the complaint was under a
contractual prohibition against the filing of a complaint which was in effect on the date of enactment
of this Act and had been in effect prior to January 1,
1991, provided that a complaint by a party bound by
such prohibition is brought within 30 days after the
expiration of such prohibition.
If the Commission determines pursuant to a proceeding
instituted as a result of a complaint under section 13 of
the Interstate Commerce Act that the rate is not just
and reasonable, the rate shall not be deemed to be just
and reasonable. Any tariff reduction or refunds that
may result as an outcome of such a complaint shall be
prospective from the date of the filing of the complaint.
‘‘(c) LIMITATION REGARDING UNDULY DISCRIMINATORY
OR PREFERENTIAL TARIFFS.—Nothing in this section
shall prohibit any aggrieved person from filing a complaint under section 13 or section 15(l) of the Interstate
Commerce Act [former 49 U.S.C. 13, 15(1)] challenging
any tariff provision as unduly discriminatory or unduly
preferential.
‘‘SEC. 1804. DEFINITIONS.
‘‘For the purposes of this title, the following definitions apply:
‘‘(1) COMMISSION.—The term ‘Commission’ means
the Federal Energy Regulatory Commission and, unless the context requires otherwise, includes the Oil
Pipeline Board and any other office or component of
the Commission to which the functions and authority
vested in the Commission under section 402(b) of the
Department of Energy Organization Act (42 U.S.C.
7172(b)) are delegated.
‘‘(2) OIL PIPELINE.—
‘‘(A) IN GENERAL.—Except as provided in subparagraph (B), the term ‘oil pipeline’ means any common carrier (within the meaning of the Interstate
Commerce Act [former 49 U.S.C. 1 et seq.]) which
transports oil by pipeline subject to the functions

§ 7173

and authority vested in the Commission under section 402(b) of the Department of Energy Organization Act (42 U.S.C. 7172(b)).
‘‘(B) EXCEPTION.—The term ‘oil pipeline’ does not
include the Trans-Alaska Pipeline authorized by
the Trans-Alaska Pipeline Authorization Act (43
U.S.C. 1651 et seq.) or any pipeline delivering oil directly or indirectly to the Trans-Alaska Pipeline.
‘‘(3) OIL.—The term ‘oil’ has the same meaning as is
given such term for purposes of the transfer of functions from the Interstate Commerce Commission to
the Federal Energy Regulatory Commission under
section 402(b) of the Department of Energy Organization Act (42 U.S.C. 7172(b)).
‘‘(4) RATE.—The term ‘rate’ means all charges that
an oil pipeline requires shippers to pay for transportation services.’’

§ 7173. Initiation of rulemaking procedures before Commission
(a) Proposal of rules, regulations, and statements
of policy of general applicability by Secretary and Commission
The Secretary and the Commission are authorized to propose rules, regulations, and statements of policy of general applicability with respect to any function within the jurisdiction of
the Commission under section 7172 of this title.
(b) Consideration and final action on proposals
of Secretary
The Commission shall have exclusive jurisdiction with respect to any proposal made under
subsection (a) of this section, and shall consider
and take final action on any proposal made by
the Secretary under such subsection in an expeditious manner in accordance with such reasonable time limits as may be set by the Secretary
for the completion of action by the Commission
on any such proposal.
(c) Utilization of rulemaking procedures for establishment of rates and charges under Federal Power Act and Natural Gas Act
Any function described in section 7172 of this
title which relates to the establishment of rates
and charges under the Federal Power Act [16
U.S.C. 791a et seq.] or the Natural Gas Act [15
U.S.C. 717 et seq.], may be conducted by rulemaking procedures. Except as provided in subsection (d) of this section, the procedures in
such a rulemaking proceeding shall assure full
consideration of the issues and an opportunity
for interested persons to present their views.
(d) Submission of written questions by interested persons
With respect to any rule or regulation promulgated by the Commission to establish rates and
charges for the first sale of natural gas by a producer or gatherer to a natural gas pipeline under
the Natural Gas Act [15 U.S.C. 717 et seq.], the
Commission may afford any interested person a
reasonable opportunity to submit written questions with respect to disputed issues of fact to
other interested persons participating in the
rulemaking proceedings. The Commission may
establish a reasonable time for both the submission of questions and responses thereto.
(Pub. L. 95–91, title IV, § 403, Aug. 4, 1977, 91 Stat.
585.)
REFERENCES IN TEXT
The Federal Power Act, referred to in subsec. (c), is
act June 10, 1920, ch. 285, 41 Stat. 1063, as amended,

§ 7174

TITLE 42—THE PUBLIC HEALTH AND WELFARE

which is classified generally to chapter 12 (§ 791a et
seq.) of Title 16, Conservation. For complete classification of this Act to the Code, see section 791a of Title 16
and Tables.
The Natural Gas Act, referred to in subsecs. (c) and
(d), is act June 21, 1938, ch. 556, 52 Stat. 821, as amended,
which is classified generally to chapter 15B (§ 717 et
seq.) of Title 15, Commerce and Trade. For complete
classification of this Act to the Code, see section 717w
of Title 15 and Tables.

§ 7174. Referral of other rulemaking proceedings
to Commission
(a) Notification of Commission of proposed action; public comment
Except as provided in section 7173 of this title,
whenever the Secretary proposes to prescribe
rules, regulations, and statements of policy of
general applicability in the exercise of any function which is transferred to the Secretary under
section 7151 of this title or section 60501 of title
49, he shall notify the Commission of the proposed action. If the Commission, in its discretion, determines within such period as the Secretary may prescribe, that the proposed action
may significantly affect any function within the
jurisdiction of the Commission pursuant to section 7172(a)(1) and (c)(1) of this title and section
60502 of title 49, the Secretary shall immediately
refer the matter to the Commission, which shall
provide an opportunity for public comment.
(b) Recommendations of Commission; publication
Following such opportunity for public comment the Commission, after consultation with
the Secretary, shall either—
(1) concur in adoption of the rule or statement as proposed by the Secretary;
(2) concur in adoption of the rule or statement only with such changes as it may recommend; or
(3) recommend that the rule or statement
not be adopted.
The Commission shall promptly publish its recommendations, adopted under this subsection,
along with an explanation of the reason for its
actions and an analysis of the major comments,
criticisms, and alternatives offered during the
comment period.
(c) Options of Secretary; final agency action
Following publication of the Commission’s
recommendations the Secretary shall have the
option of—
(1) issuing a final rule or statement in the
form initially proposed by the Secretary if the
Commission has concurred in such rule pursuant to subsection (b)(1) of this section;
(2) issuing a final rule or statement in
amended form so that the rule conforms in all
respects with the changes proposed by the
Commission if the Commission has concurred
in such rule or statement pursuant to subsection (b)(2) of this section; or
(3) ordering that the rule shall not be issued.
The action taken by the Secretary pursuant to
this subsection shall constitute a final agency
action for purposes of section 704 of title 5.
(Pub. L. 95–91, title IV, § 404, Aug. 4, 1977, 91 Stat.
586.)

Page 6132

CODIFICATION
In subsec. (a), ‘‘section 60501 of title 49’’ substituted
for reference to section 306 of this Act, meaning section
306 of Pub. L. 95–91 [42 U.S.C. 7155], and ‘‘section 60502
of title 49’’ substituted for reference to section 402(b),
meaning section 402(b) of Pub. L. 95–91 [42 U.S.C.
7172(b)] on authority of Pub. L. 103–272, § 6(b), July 5,
1994, 108 Stat. 1378, the first section of which enacted
subtitles II, III, and V to X of Title 49, Transportation.

§ 7175. Right of Secretary to intervene in Commission proceedings
The Secretary may as a matter of right intervene or otherwise participate in any proceeding
before the Commission. The Secretary shall
comply with rules of procedure of general applicability governing the timing of intervention or
participation in such proceeding or activity and,
upon intervening or participating therein, shall
comply with rules of procedure of general applicability governing the conduct thereof. The
intervention or participation of the Secretary in
any proceeding or activity shall not affect the
obligation of the Commission to assure procedure fairness to all participants.
(Pub. L. 95–91, title IV, § 405, Aug. 4, 1977, 91 Stat.
586.)
§ 7176. Reorganization
For the purposes of chapter 9 of title 5 the
Commission shall be deemed to be an independent regulatory agency.
(Pub. L. 95–91, title IV, § 406, Aug. 4, 1977, 91 Stat.
586.)
§ 7177. Access to information
(a) The Secretary, each officer of the Department, and each Federal agency shall provide to
the Commission, upon request, such existing information in the possession of the Department
or other Federal agency as the Commission determines is necessary to carry out its responsibilities under this chapter.
(b) The Secretary, in formulating the information to be requested in the reports or investigations under section 825c and section 825j of title
16 and section 717i and section 717j of title 15
shall include in such reports and investigations
such specific information as requested by the
Federal Energy Regulatory Commission and
copies of all reports, information, results of investigations and data under said sections shall
be furnished by the Secretary to the Federal Energy Regulatory Commission.
(Pub. L. 95–91, title IV, § 407, Aug. 4, 1977, 91 Stat.
587.)
REFERENCES IN TEXT
This chapter, referred to in subsec. (a), was in the
original ‘‘this Act’’, meaning Pub. L. 95–91, Aug. 4, 1977,
91 Stat. 565, as amended, known as the Department of
Energy Organization Act, which is classified principally to this chapter. For complete classification of
this Act to the Code, see Short Title note set out under
section 7101 of this title and Tables.

§ 7178. Federal Energy Regulatory Commission
fees and annual charges
(a) In general
(1) Except as provided in paragraph (2) and beginning in fiscal year 1987 and in each fiscal year

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TITLE 42—THE PUBLIC HEALTH AND WELFARE

thereafter, the Federal Energy Regulatory Commission shall, using the provisions of this section and authority provided by other laws, assess and collect fees and annual charges in any
fiscal year in amounts equal to all of the costs
incurred by the Commission in that fiscal year.
(2) The provisions of this section shall not affect the authority, requirements, exceptions, or
limitations in sections 803(e) and 823a(e) of title
16.
(b) Basis for assessments
The fees or annual charges assessed shall be
computed on the basis of methods that the Commission determines, by rule, to be fair and equitable.
(c) Estimates
The Commission may assess fees and charges
under this section by making estimates based on
data available to the Commission at the time of
assessment.
(d) Time of payment
The Commission shall provide that the fees
and charges assessed under this section shall be
paid by the end of the fiscal year for which they
were assessed.
(e) Adjustments
The Commission shall, after the completion of
a fiscal year, make such adjustments in the assessments for such fiscal year as may be necessary to eliminate any overrecovery or underrecovery of its total costs, and any overcharging
or undercharging of any person.
(f) Use of funds
All moneys received under this section shall
be credited to the general fund of the Treasury.
(g) Waiver
The Commission may waive all or part of any
fee or annual charge assessed under this section
for good cause shown.
(Pub. L. 99–509, title III, § 3401, Oct. 21, 1986, 100
Stat. 1890.)
CODIFICATION
Section was enacted as part of the Omnibus Budget
Reconciliation Act of 1986, and not as part of the Department of Energy Organization Act which comprises
this chapter.

SUBCHAPTER V—ADMINISTRATIVE
PROCEDURES AND JUDICIAL REVIEW
§ 7191. Procedures for issuance of rules, regulations, or orders
(a) Applicability of subchapter II of chapter 5 of
title 5
(1) Subject to the other requirements of this
subchapter, the provisions of subchapter II of
chapter 5 of title 5 shall apply in accordance
with its terms to any rule or regulation, or any
order having the applicability and effect of a
rule (as defined in section 551(4) of title 5), issued pursuant to authority vested by law in, or
transferred or delegated to, the Secretary, or required by this chapter or any other Act to be
carried out by any other officer, employee, or
component of the Department, other than the
Commission, including any such rule, regula-

§ 7191

tion, or order of a State, or local government
agency or officer thereof, issued pursuant to authority delegated by the Secretary in accordance with this subchapter. If any provision of
any Act, the functions of which are transferred,
vested, or delegated pursuant to this chapter,
provides administrative procedure requirements
in addition to the requirements provided in this
subchapter, such additional requirements shall
also apply to actions under that provision.
(2) Notwithstanding paragraph (1), this subchapter shall apply to the Commission to the
same extent this subchapter applies to the Secretary in the exercise of any of the Commission’s functions under section 7172(c)(1) of this
title or which the Secretary has assigned under
section 7172(e) of this title.
(b) Substantial issue of fact or law or likelihood
of substantial impact on Nation’s economy,
etc.; oral presentation
(1) If the Secretary determines, on his own initiative or in response to any showing made pursuant to paragraph (2) (with respect to a proposed rule, regulation, or order described in subsection (a) of this section) that no substantial
issue of fact or law exists and that such rule,
regulation, or order is unlikely to have a substantial impact on the Nation’s economy or
large numbers of individuals or businesses, such
proposed rule, regulation, or order may be promulgated in accordance with section 553 of title
5. If the Secretary determines that a substantial
issue of fact or law exists or that such rule, regulation, or order is likely to have a substantial
impact on the Nation’s economy or large numbers of individuals or businesses, an opportunity
for oral presentation of views, data, and arguments shall be provided.
(2) Any person, who would be adversely affected by the implementation of any proposed
rule, regulation, or order who desires an opportunity for oral presentation of views, data, and
arguments, may submit material supporting the
existence of such substantial issues or such impact.
(3) A transcript shall be kept of any oral presentation with respect to a rule, regulation, or
order described in subsection (a) of this section.
(c) Waiver of requirements
The requirements of subsection (b) of this section may be waived where strict compliance is
found by the Secretary to be likely to cause serious harm or injury to the public health, safety, or welfare, and such finding is set out in detail in such rule, regulation, or order. In the
event the requirements of this section are
waived, the requirements shall be satisfied within a reasonable period of time subsequent to the
promulgation of such rule, regulation, or order.
(d) Effects confined to single unit of local government, geographic area within State, or
State; hearing or oral presentation
(1) With respect to any rule, regulation, or
order described in subsection (a) of this section,
the effects of which, except for indirect effects
of an inconsequential nature, are confined to—
(A) a single unit of local government or the
residents thereof;
(B) a single geographic area within a State
or the residents thereof; or