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§ 719e. —  Presidential decision and report.



[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
  January 24, 2002 and December 19, 2002]
[CITE: 15USC719e]

 
                      TITLE 15--COMMERCE AND TRADE
 
             CHAPTER 15C--ALASKA NATURAL GAS TRANSPORTATION
 
Sec. 719e. Presidential decision and report


(a) Dateline for decision; transmission to Congress, delay: notice to 
        Congress; contents of decision; chairman, appointment; Federal 
        inspector of construction: duties, including establishment of 
        joint surveillance and monitoring agreement

    (1) As soon as practicable after July 1, 1977, but not later than 
September 1, 1977, the President shall issue a decision as to whether a 
transportation system for delivery of Alaska natural gas should be 
approved under this chapter. If he determines such a system should be so 
approved, his decision shall designate such a system for approval 
pursuant to section 719f of this title and shall be consistent with 
section 719c(b)(1)(C) of this title to assure delivery of Alaska natural 
gas to points both east and west of the Rocky Mountains in the 
continental United States. The President in making his decision shall 
take into consideration the Commission's recommendation pursuant to 
section 719c of this title, the report under section 719c(c) of this 
title, and any comments submitted under section 719d of this title; and 
his decision to designate a system for approval shall be based on his 
determination as to which system, if any, best serves the national 
interest.
    (2) The President, for a period of up to 90 additional calendar days 
after September 1, 1977, may delay the issuance of his decision and 
transmittal thereof to the House of Representatives and the Senate, if 
he determines (A) that there exists no environmental impact statement 
prepared relative to a system he wishes to consider or that any prepared 
environmental impact statement relative to a system he wishes to 
consider is legally or factually insufficient, or (B) that the 
additional time is otherwise necessary to enable him to make a sound 
decision on an Alaska natural gas transportation system. The President 
shall promptly, but in no case any later than September 1, 1977, notify 
the House of Representatives and the Senate if he so delays his decision 
and submit a full explanation of the basis of any such delay.
    (3) If, on or before May 1, 1977, the President determines to delay 
issuance and transmittal of his decision to the House of Representatives 
and the Senate pursuant to paragraph (2) of this subsection, he may 
authorize a delay of not more than 90 days in the date of taking of any 
action specified in sections 719c and 719d of this title. The President 
shall promptly notify the House of Representatives and the Senate of any 
such authorization of delay and submit a full explanation of the basis 
of any such authorization.
    (4) If the President determines to designate for approval a 
transportation system for delivery of Alaska natural gas to the 
contiguous States, he shall in such decision--
        (A) describe the nature and route of the system designated for 
    approval;
        (B) designate a person to construct and operate such a system, 
    which person shall be the applicant, if any, which filed for a 
    certificate of public convenience and necessity to construct and 
    operate such system;
        (C) identify those facilities, the construction of which, and 
    those operations, the conduct of which, shall be encompassed within 
    the term ``construction and initial operation'' for purposes of 
    defining the scope of the directions contained in section 719g of 
    this title, taking into consideration any recommendation of the 
    Commission with respect thereto; and
        (D) identify those provisions of law, relating to any 
    determination of a Federal officer or agency as to whether a 
    certificate, permit, right-of-way, lease, or other authorization 
    shall be issued or be granted, which provisions the President finds 
    (i) involve determinations which are subsumed in his decision and 
    (ii) require waiver pursuant to section 719f(g) of this title in 
    order to permit the expeditious construction and initial operation 
    of the transportation system.

    (5) Repealed. Pub. L. 102-486, title XXX, Sec. 3012(a), Oct. 24, 
1992, 106 Stat. 3128.
    (6) If the President determines to designate for approval a 
transportation system for delivery of Alaska natural gas to the 
contiguous States, he may identify in such decision such terms and 
conditions permissible under existing law as he determines appropriate 
for inclusion with respect to any issuance or authorization directed to 
be made pursuant to section 719g of this title.

(b) Transmittal to Congress

    The decision of the President made pursuant to subsection (a) of 
this section shall be transmitted to both Houses of Congress and shall 
be considered received by such Houses for the purposes of this section 
on the first day on which both are in session occurring after such 
decision is transmitted. Such decision shall be accompanied by a report 
explaining in detail the basis for his decision with specific reference 
to the factors set forth in sections 719c(c) and 719d(a) of this title, 
and the reasons for any revision, modification of, or substitution for, 
the Commission recommendation.

(c) Financial analysis

    The report of the President pursuant to subsection (b) of this 
section shall contain a financial analysis for the transportation system 
designated for approval. Unless the President finds and states in his 
report submitted pursuant to this section that he reasonably anticipates 
that the system designated by him can be privately financed, 
constructed, and operated, his report shall also be accompanied by his 
recommendation concerning the use of existing Federal financing 
authority or the need for new Federal financing authority.

(d) Views and objectives involving intergovernmental and international 
        cooperation

    In making his decision under subsection (a) of this section the 
President shall inform himself, through appropriate consultation, of the 
views and objectives of the States, the Government of Canada, and other 
governments with respect to those aspects of such a decision that may 
involve intergovernmental and international cooperation among the 
Government of the United States, the States, the Government of Canada, 
and any other government.

(e) Decision effective as provided in section 719f of this title; 
        financing authority unaffected

    If the President determines to designate a transportation system for 
approval, the decision of the President shall take effect as provided in 
section 719f of this title, except that the approval of a decision of 
the President shall not be construed as amending or otherwise affecting 
the laws of the United States so as to grant any new financing authority 
as may have been identified by the President pursuant to subsection (c) 
of this section.

(Pub. L. 94-586, Sec. 7, Oct. 22, 1976, 90 Stat. 2907; Pub. L. 102-486, 
title XXX, Sec. 3012(a), Oct. 24, 1992, 106 Stat. 3128.)


                               Amendments

    1992--Subsec. (a)(5). Pub. L. 102-486 struck out par. (5) which 
provided for Presidential appointment of officer or board to serve as 
Federal inspector of construction of Alaska natural gas transportation 
system and specified duties and powers of such inspector.

                          Transfer of Functions

    Enforcement functions authorized by, and supplemental enforcement 
authority created by this chapter, all functions assigned to the person 
or board to be appointed by the President under subsec. (a)(5) of this 
section, and, pursuant to subsec. (a)(6) of this section, function of 
enforcing terms and conditions described in section 5 of the Decision 
and Report to the Congress on the Alaska Natural Gas Transportation 
System, approved by Congress pursuant to Pub. L. 95-158, set out under 
section 719f of this title, with respect to pre-construction, 
construction, and initial operation of transportation system for 
Canadian and Alaskan natural gas transferred to Federal Inspector, 
Office of Federal Inspector for Alaska Natural Gas Transportation 
System, until first anniversary of date of initial operation of Alaska 
Natural Gas Transportation System, see sections 102(h) and 203(a) of 
Reorg. Plan No. 1 of 1979 set out below. Subsec. (a)(5) of this section 
was repealed, Office of the Federal Inspector for the Alaska Natural Gas 
Transportation System, created pursuant to subsec. (a)(5) abolished, and 
functions and authority vested in Inspector transferred to Secretary of 
Energy by section 3012(b) of Pub. L. 102-486, set out below.
    Federal Power Commission terminated and functions, personnel, 
property, funds, etc., transferred to Secretary of Energy (except for 
certain functions transferred to Federal Energy Regulatory Commission) 
by sections 7151(b), 7171(a), 7172(a)(1), 7291, and 7293 of Title 42, 
The Public Health and Welfare.

                Abolition of Office of Federal Inspector

    Section 3012(b) of Pub. L. 102-486 provided that: ``The Office of 
Federal Inspector of Construction for the Alaska Natural Gas 
Transportation System [also known as ``Office of the Federal Inspector 
for the Alaska Natural Gas Transportation System''], created pursuant to 
the paragraph [15 U.S.C. 719e(a)(5)] repealed by subsection (a) of this 
section, is abolished. All functions and authority vested in the 
Inspector are hereby transferred to the Secretary of Energy.''

                REORGANIZATION PLAN NO. 1 OF 1979

         Eff. July 1, 1979, 44 F.R. 33663, 93 Stat. 1373

Prepared by the President and transmitted to the Senate and House of 
    Representatives in Congress assembled, April 2, 1979, pursuant to 
    the provisions of Chapter 9 of Title 5 of the United States Code.

 OFFICE OF THE FEDERAL INSPECTOR FOR CONSTRUCTION OF THE ALASKA 
                NATURAL GAS TRANSPORTATION SYSTEM


    Part I. Office of the Federal Inspector and Transfer of Functions

 Section 101. Establishment of the Office of Federal Inspector for the 
                Alaska Natural Gas Transportation System

    (a) There is hereby established as an independent establishment in 
the executive branch, the Office of the Federal Inspector for the Alaska 
Natural Gas Transportation System (the ``Office'').
    (b) The Office shall be headed by a Federal Inspector for the Alaska 
Natural Gas Transportation System (the ``Federal Inspector'') who shall 
be appointed by the President, by and with the advice and consent of the 
Senate, and shall be compensated at the rate now or hereafter prescribed 
by law for Level III of the Executive Schedule [5 U.S.C. 5314], and who 
shall serve at the pleasure of the President.
    (c) Each Federal agency having statutory responsibilities over any 
aspect of the Alaska Natural Gas Transportation System shall appoint an 
Agency Authorized Officer to represent that authority on all matters 
pertaining to pre-construction, construction, and initial operation of 
the system.


        Sec. 102. Transfer of Functions to the Federal Inspector

    Subject to the provisions of Sections 201, 202, and 203 of this 
Plan, all functions insofar as they relate to enforcement of Federal 
statutes or regulations and to enforcement of terms, conditions, and 
stipulations of grants, certificates, permits and other authorizations 
issued by Federal agencies with respect to pre-construction, 
construction, and initial operation of an ``approved transportation 
system'' for transport of Canadian natural gas and ``Alaskan natural 
gas,'' as such terms are defined in the Alaska Natural Gas 
Transportation Act of 1976 (15 U.S.C. 719 et seq.), hereinafter called 
the ``Act'', are hereby transferred to the Federal Inspector. This 
transfer shall vest in the Federal Inspector exclusive responsibility 
for enforcement of all Federal statutes relevant in any manner to pre-
construction, construction, and initial operation. With respect to each 
of the statutory authorities cited below, the transferred functions 
include all enforcement functions of the given agencies or their 
officials under the statutes as may be related to the enforcement of 
such terms, conditions, and stipulations, including but not limited to 
the specific sections of the statute cited. ``Enforcement'', for 
purposes of this transfer of functions, includes monitoring and any 
other compliance or oversight activities reasonably related to the 
enforcement process. These transferred functions include:
    (a) Such enforcement functions of the Administrator or other 
appropriate official or entity in the Environmental Protection Agency 
related to compliance with: national pollutant discharge elimination 
system permits provided for in Section 402 of the Federal Water 
Pollution Control Act (33 U.S.C. 1342); spill prevention, containment 
and countermeasure plans in Section 311 of the Federal Water Pollution 
Control Act (33 U.S.C. 1321); review of the Corps of Engineers' dredged 
and fill material permits issued under Section 404 of the Federal Water 
Pollution Control Act (33 U.S.C. 1344); new source performance standards 
in Section 111 of the Clean Air Act, as amended by the Clean Air Act 
Amendments of 1977 (42 U.S.C. 7411); prevention of significant 
deterioration review and approval in Sections 160-169 of the Clean Air 
Act, as amended by the Clean Air Amendments of 1977 (42 U.S.C. 7470 et 
seq.); and the resource conservation and recovery permits issued under 
the Resource Conservation and Recovery Act of 1976 (42 U.S.C. 6901 et 
seq.);
    (b) Such enforcement functions of the Secretary of the Army, the 
Chief of Engineers, or other appropriate officer or entity in the Corps 
of Engineers of the United States Army related to compliance with: 
dredged and fill material permits issued under Section 404 of the 
Federal Water Pollution Control Act (33 U.S.C. 1344); and permits for 
structures in navigable waters, issued under Section 10 of the Rivers 
and Harbors Appropriation Act of 1899 (33 U.S.C. 403);
    (c) Such enforcement functions of the Secretary or other appropriate 
officer or entity in the Department of Transportation related to 
compliance with: the Natural Gas Pipeline Safety Act of 1968, as amended 
(49 U.S.C. 1671, et seq.) and the gas pipeline safety regulations issued 
thereunder; the Federal Aviation Act of 1958, as amended (49 U.S.C. 
1301, et seq.) and authorizations and regulations issued thereunder; and 
permits for bridges across navigable waters, issued under Section 9 of 
the Rivers and Harbors Appropriation Act of 1899 (33 U.S.C. 401);
    (d) Such enforcement functions of the Secretary or other appropriate 
officer or entity in the Department of Energy and such enforcement 
functions of the Commission, Commissioners, or other appropriate officer 
or entity in the Federal Energy Regulatory Commission related to 
compliance with: the certificates of public convenience and necessity, 
issued under Section 7 of the Natural Gas Act, as amended (15 U.S.C. 
717f); and authorizations for importation of natural gas from Alberta as 
predeliveries of Alaskan gas issued under Section 3 of the Natural Gas 
Act, as amended (15 U.S.C. 717b);
    (e) Such enforcement functions of the Secretary or other appropriate 
officer or entity in the Department of the Interior related to 
compliance with: grants of rights-of-way and temporary use permits for 
Federal land, issued under Section 28 of the Mineral Leasing Act of 1920 
(30 U.S.C. 185); land use permits for temporary use of public lands and 
other associated land uses, issued under Sections 302, 501, and 503-511 
of the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1732, 
1761, and 1763-1771); materials sales contracts under the Materials Act 
of 1947 (30 U.S.C. 601-603); rights-of-way across Indian lands, issued 
under the Rights of Way Through Indian Lands Act (25 U.S.C. 321, et 
seq.); removal permits issued under the Materials Act of 1947 (30 U.S.C. 
601-603); approval to cross national wildlife refuges, National Wildlife 
Refuge System Administration Act of 1966 (16 U.S.C. 668dd-668jj) and the 
Upper Mississippi River Wildlife and Fish Refuge Act (16 U.S.C. 721-
731); wildlife consultation in the Fish and Wildlife Coordination Act 
(16 U.S.C. 661 et seq.); protection of certain birds in the Migratory 
Bird Treaty Act (16 U.S.C. 703 et seq.); Bald and Golden Eagles 
Protection Act (16 U.S.C. 668-668d); review of Corps of Engineers 
dredged and fill material permits issued under Section 404 of the 
Federal Water Pollution Control Act (33 U.S.C. 1344); rights-of-way 
across recreation lands issued under the Land and Water Conservation 
Fund Act of 1965, as amended (16 U.S.C. 4601-4--4601-11); historic 
preservation under the National Historic Preservation Act of 1966 as 
amended (16 U.S.C. 470-470f); permits issued under the Antiquities Act 
of 1906 (16 U.S.C. 432, 433); and system activities requiring 
coordination and approval under general authorities of the National 
Trails System Act, as amended (16 U.S.C. 1241-1249), the Wilderness Act, 
as amended (16 U.S.C. 1131-1136), the Wild and Scenic Rivers Act, as 
amended (16 U.S.C. 1271-1287), the National Environmental Policy Act of 
1969 (42 U.S.C. 4321 et seq.), the Act of April 27, 1935 (prevention of 
soil erosion) (16 U.S.C. 590a-f), and an Act to Provide for the 
Preservation of Historical and Archeological Data, as amended (16 U.S.C. 
469-469c);
    (f) Such enforcement functions of the Secretary or other appropriate 
officer or entity in the Department of Agriculture, insofar as they 
involve lands and programs under the jurisdiction of that Department, 
related to compliance with: associated land use permits authorized for 
and in conjunction with grants of rights-of-way across Federal lands 
issued under Section 28 of the Mineral Leasing Act of 1920 (30 U.S.C. 
185); land use permits for other associated land uses issued under 
Sections 501 and 503-511 of the Federal Land Policy and Management Act 
of 1976 (43 U.S.C. 1761, 1763-1771), under the Organic Administration 
Act of June 4, 1897, as amended (16 U.S.C. 473, 474-482, 551), and under 
Title III of the Bankhead-Jones Farm Tenant Act of 1937, as amended (7 
U.S.C. 1010-1012); removal of materials under the Materials Act of 1947 
(30 U.S.C. 601-603) and objects of antiquity under the Antiquities Act 
of 1906 (16 U.S.C. 432, 433); construction and utilization of national 
forest roads under the Roads and Trails System Act of 1964 (16 U.S.C. 
532-538); and system activities requiring coordination and approval 
under general authorities of the National Forest Management Act of 1976 
(16 U.S.C. 1600 et seq.); the Multiple Use-Sustained-Yield Act of 1960 
(16 U.S.C. 528-531); the Forest and Rangelands Renewable Resources 
Planning Act of 1974 (16 U.S.C. 1601-1610); the National Trails System 
Act, as amended (16 U.S.C. 1241-1249); the Wilderness Act, as amended 
(16 U.S.C. 1131-1136); the Wild and Scenic Rivers Act, as amended (16 
U.S.C. 1271-1287); the Land and Water Conservation Fund Act of 1965, as 
amended (16 U.S.C. 460 et seq.) [16 U.S.C. 460l-4 to 460l-11]; the 
Federal Water Pollution Control Act of 1972 (33 U.S.C. 1151 et seq.) [33 
U.S.C. 1251 et seq.]; the Fish and Wildlife Coordination Act and Fish 
and Game Sanctuaries Act (16 U.S.C. 661 et seq. and 694, 694a-b, 
respectively); the National Historic Preservation Act of 1966, as 
amended (16 U.S.C. 470-470f); an Act to Provide for the Preservation of 
Historical and Archeological Data, as amended (16 U.S.C. 469-469c); the 
National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.); the 
Watershed Protection and Flood Prevention Act, as amended (16 U.S.C. 
1001 et seq.); the Soil and Water [Resources] Conservation Act of 1977 
(16 U.S.C. 2001 et seq.); and the Act of April 27, 1935 (prevention of 
soil erosion) (16 U.S.C. 590a-f);
    (g) Such enforcement functions of the Secretary or other appropriate 
officer or entity in the Department of the Treasury related to 
compliance with permits for interstate transport of explosives and 
compliance with regulations for the storage of explosives, Title XI of 
the Organized Crime Control Act of 1970 (18 U.S.C. 841-848);
    (h)(1) The enforcement functions authorized by, and supplemental 
enforcement authority created by the Act (15 U.S.C. 719 et seq.);
    (2) All functions assigned to the person or board to be appointed by 
the President under Section 7(a)(5) of the Act (15 U.S.C. 719e); and
    (3) Pursuant to Section 7(a)(6) of the Act (15 U.S.C. 719e), 
enforcement of the terms and conditions described in Section 5 of the 
Decision and Report to the Congress on the Alaska Natural Gas 
Transportation System, as approved by the Congress pursuant to Public 
Law 95-158 (91 Stat. 1268), November 2[8], 1977 [set out under 15 U.S.C. 
719f], (hereinafter the ``Decision'').


                        Part II. Other Provisions

                    Sec. 201. Executive Policy Board

    The Executive Policy Board for the Alaska Natural Gas Transportation 
System, hereinafter the ``Executive Policy Board'', which shall be 
established by executive order, shall advise the Federal Inspector on 
the performance of the Inspector's functions. All other functions 
assigned, or which could be assigned pursuant to the Decision, to the 
Executive Policy Board are hereby transferred to the Federal Inspector.


       Sec. 202. Federal Inspector and Agency Authorized Officers

    (a) The Agency Authorized Officers shall be detailed to and located 
within the Office. The Federal Inspector shall delegate to each Agency 
Authorized Officer the authority to enforce the terms, conditions, and 
stipulations of each grant, permit, or other authorization issued by the 
Federal agency which appointed the Agency Authorized Officer. In the 
exercise of these enforcement functions, the Agency Authorized Officers 
shall be subject to the supervision and direction of the Federal 
Inspector, whose decision on enforcement matters shall constitute 
``action'' for purposes of Section 10 of the Act (15 U.S.C. 719h).
    (b) The Federal Inspector shall be responsible for coordinating the 
expeditious discharge of nonenforcement activities by Federal agencies 
and coordinating the compliance by all the Federal agencies with Section 
9 of the Act (15 U.S.C. 719g). Such coordination shall include requiring 
submission of scheduling plans for all permits, certificates, grants or 
other necessary authorizations, and coordinating scheduling of system-
related agency activities. Such coordination may include serving as the 
``one window'' point for filing for and issuance of all necessary 
permits, certificates, grants or other authorizations, and, consistent 
with law, Federal government requests for data or information related to 
any application for a permit, certificate, grant or other authorization. 
Upon agreement between the Federal Inspector and the head of any agency, 
that agency may delegate to the Federal Inspector any statutory function 
vested in such agency related to the functions of the Federal Inspector.
    (c) The Federal Inspector and Agency Authorized Officers in 
implementing the enforcement authorities herein transferred shall carry 
out the enforcement policies and procedures established by the Federal 
agencies which nominally administer these authorities, except where the 
Federal Inspector determines that such policies and procedures would 
require action inconsistent with Section 9 of the Act (15 U.S.C. 719g).
    (d) Under the authority of Section 15 of the Act (15 U.S.C. 719m), 
the Federal Inspector will undertake to obtain appropriations for all 
aspects of the Federal Inspector's operations. Such undertaking shall 
include appropriations for all of the functions specified in the Act and 
in the general terms and conditions of the Decision as well as for the 
enforcement activities of the Federal Inspector. The Federal Inspector 
will consult with the various Federal agencies as to resource 
requirements for enforcing their respective permits and other 
authorizations in preparing a unified budget for the Office. The budget 
shall be reviewed by the Executive Policy Board.


                 Sec. 203. Subsequent Transfer Provision

    (a) Effective upon the first anniversary of the date of initial 
operation of the Alaska Natural Gas Transportation System, the functions 
transferred by Section 102 of this Plan shall be transferred to the 
agency which performed the functions on the date prior to date the 
provisions of Section 102 of this Plan were made effective pursuant to 
Section 205 of this Plan.
    (b) Upon the issuance of the final determination order by the 
Director of the Office of Management and Budget for the transfers 
provided for by subsection (a) of this section, the Office and the 
position of Federal Inspector shall, effective on the date of that 
order, stand abolished.


                     Sec. 204. Incidental Transfers

    So much of the personnel, property, records and unexpended balances 
of appropriations, allocations and other funds employed, used, held, 
available, or to be made available in connection with the functions 
transferred under this Plan, as the Director of the Office of Management 
and Budget shall determine, shall be transferred to the appropriate 
agency or component at such time or times as the Director of the Office 
of Management and Budget shall provide, except that no such unexpended 
balances transferred shall be used for purposes other than those for 
which the appropriation was originally made. The Director of the Office 
of Management and Budget shall provide for the terminating of the 
affairs of the Office and the Federal Inspector upon their abolition 
pursuant to this Plan and for such further measures and dispositions as 
such Director deems necessary to effectuate the purposes of this Plan.


                        Sec. 205. Effective Date

    This Plan shall become effective at such time or times as the 
President shall specify, but not sooner than the earliest time allowable 
under Section 906 of Title 5 of the United States Code, except that the 
provisions of Section 203 shall occur as provided by the terms of that 
Section.
    [Pursuant to Ex. Ord. No. 12142, June 21, 1979, 44 F.R. 36927, this 
Reorg. Plan is effective July 1, 1979].
    [For abolition of Office of the Federal Inspector for the Alaska 
Natural Gas Transportation System and transfer of functions and 
authority to Secretary of Energy, see section 3012(b) of Pub. L. 102-
486, set out as an Abolition of Office of Federal Inspector note above.]


                        Message of the President

To the Congress of the United States:
    I am submitting to you today Reorganization Plan No. 1 of 1979 to 
create the Office of Federal Inspector for the Alaska Natural Gas 
Transportation System and establish the position of Federal Inspector. 
Creation of this Office and the transfer of appropriate Federal 
enforcement authority and responsibility is consistent with my September 
1977 Decision and Report to the Congress on the Alaska Natural Gas 
Transportation System. This decision was approved by the Congress 
November 2, 1977.
    The Alaska Gas Transportation System is a 4,748-mile pipeline to be 
constructed in partnership with Canada. Canada completed legislation 
enacting a similar transfer last year and has already appointed an 
official to coordinate its activities prior to and during pipeline 
construction. The Northwest Alaska Pipeline Company has been selected to 
construct the pipeline, with completion scheduled in late 1984. 
Estimated construction costs are $10-$15 billion, to be financed by 
private investment.
    Natural gas is among the Nation's most valuable fuels. It is in the 
national interest to bring Alaskan gas reserves to market at the lowest 
possible price for consumers. Construction of a gas pipeline from the 
Prudhoe Bay reserves in Alaska through Canada to points in the West and 
Midwest United States will provide a system which will deliver more 
Alaskan natural gas at less cost to a greater number of Americans than 
any alternative transportation system. Every effort must be made to 
ensure timely completion of the pipeline at the lowest possible cost 
consistent with Federal regulatory policies.
    As a result of our experience in construction of the Trans-Alaska 
Oil Pipeline, we recognize the need for the Federal Government to be in 
a strong position to manage its own role in this project through prompt, 
coordinated decisionmaking in pre-construction approval functions and in 
enforcing the terms and conditions of the permits, certificates, leases, 
and other authorizations to be issued by various Federal agencies. We 
must avoid duplicating the delays and cost escalations experienced in 
the construction of the Trans-Alaska Pipeline System. The Plan I am 
submitting would establish clear responsibility for the efficient 
functioning of Federal enforcement activities by assigning the Federal 
Inspector authority to carry out these responsibilities.
    The Alaska Natural Gas Transportation Act of 1976 [15 U.S.C. 719 et 
seq.] only provided for monitoring the construction of the pipeline. The 
Plan transfers to the Federal Inspector the authority to supervise the 
enforcement of terms and conditions of the permits and other 
authorizations, including those to be issued by the Departments of 
Agriculture, Interior, Transportation, and Treasury, and the 
Environmental Protection Agency, the Federal Energy Regulatory 
Commission, and the U.S. Army Corps of Engineers. The Plan provides for 
the Federal Inspector to coordinate other Federal activities directly 
related to the pipeline project. Federal agencies retain their authority 
to issue permits and related authorizations, but enforcement of the 
terms and conditions of these authorizations is transferred to the 
Federal Inspector. Transfer of enforcement authority from Federal 
agencies to the Federal Inspector is limited in scope to their 
participation in this project and in duration to the pre-construction, 
construction, and initial operation phases of the project.
    The Decision and Report to the Congress recommended an Executive 
Policy Board with policy-making and supervisory authority over the 
Federal Inspector. I plan to sign an Executive Order upon approval of 
this Plan by the Congress which will create an Executive Policy Board 
which will be only advisory, but which will enhance communication and 
coordinate among Federal agencies and with the Federal Inspector. The 
Plan modifies the Decision and Report in that regard. The Federal 
Inspector will use the policies and procedures of the agencies involved 
in exercising the transferred enforcement responsibilities to the 
maximum extent practicable. The Board provides the opportunity for 
agencies to contribute to the policy deliberations of the Inspector and 
exercises an oversight role to insure that pipeline activities are 
carried on within existing regulatory policy. The Board is required to 
review the budget of the Office of the Federal Inspector and 
periodically report to me on the progress of construction and on major 
problems encountered. I am convinced that the Federal Inspector must 
have authority commensurate with his responsibilities.
    Each of the provisions of this proposed reorganization would 
accomplish one or more of the purposes set forth in Section 901(a) of 
Title 5 of the United States Code. The appointment and compensation of 
the Federal Inspector is in accordance with the provisions of the Alaska 
Natural Gas Transportation Act of 1976 [15 U.S.C. 719 et seq.], and the 
Reorganization Act of 1977. The provisions for appointment and pay in 
this Plan are necessary by reason of a reorganization made by the Plan. 
The rate of compensation is comparable to rates for similar positions 
within the Executive Branch. This reorganization will result in a 
reduction in the cost of construction for the pipeline system and 
ultimately in savings to American consumers. A small increase in cost to 
the Federal government will result from the creation of the Office of 
the Federal Inspector. The Plan requires that the Office and the 
position of Federal Inspector will be abolished upon the first 
anniversary date after the pipeline becomes operational.
                                                           Jimmy Carter.
    The White House, April 2, 1979.

      Ex. Ord. No. 12142. Alaska Natural Gas Transportation System

    Ex. Ord. No. 12142, June 21, 1979, 44 F.R. 36927, provided:
    By the authority vested in me as President by the Constitution and 
laws of the United States of America, including Section 301 of Title 3 
of the United States Code and Sections 201 and 205 of Reorganization 
Plan No. 1 of 1979 [set out above], it is hereby ordered as follows:
    1-101. Reorganization Plan No. 1 of 1979 [set out above], not having 
been disapproved by Congress (S. Res. 126, 125 Cong. Rec. S 6563-64 (May 
23, 1979); H. Res. 199, 125 Cong. Rec. H 3950-51 (May 31, 1979)), shall 
be effective on July 1, 1979.
    1-102. In accord with Section 201 of that Plan, there is hereby 
established the Executive Policy Board for the system for the 
transportation of Alaska natural gas (``the System'') as such system is 
defined in the Alaska Natural Gas Transportation Act of 1976 (15 U.S.C. 
719 et seq.).
    1-103. The Board shall consist of the Secretaries of the Departments 
of Agriculture, Energy, Labor, Transportation, and the Interior, the 
Administrator of the Environmental Protection Agency, the Chief of 
Engineers of the United States Army, and the Chairman of the Federal 
Energy Regulatory Commission. Additional members may be elected to the 
Board by vote of a majority of the members. The Board will by majority 
vote elect a Chairman to serve for a one-year term.
    1-104. The Board shall perform the following functions:
    (a) Advise the Federal Inspector for the Alaska Natural Gas 
Transportation System (the ``Federal Inspector'') established by 
Reorganization Plan No. 1 of 1979, on policy issues in accord with 
applicable law and existing Departmental or Agency policies.
    (b) Provide advice, through the Federal Inspector, to the officers 
representing and exercising the functions of the Federal Departments and 
Agencies that concern the System (``Agency Authorized Officers'').
    (c) Advise the Federal Inspector and the Agency Authorized Officers 
on matters concerning enforcement actions.
    (d) At least every six months, assess the progress made and problems 
encountered in constructing the System and make necessary 
recommendations to the Federal Inspector.
    1-105. The Federal Inspector shall keep the Board informed of the 
progress made and problems encountered in the course of construction of 
the System.
    1-106. Whenever the Federal Inspector determines that implementation 
of Departmental or Agency enforcement policies and procedures would 
require action inconsistent with Section 9 of the Alaska Natural Gas 
Transportation Act of 1976 [15 U.S.C. 719g], the Federal Inspector shall 
issue a written statement of such determination including a complete 
factual and legal basis for the determination. A copy of each statement 
shall be forwarded promptly to the Board and made available to the 
public by the Federal Inspector.
    1-107. After written notice of a proposed enforcement action is 
given by the Federal Inspector, the Federal Inspector will be subject to 
the rules of procedure for ex parte contacts as reflected in the 
guidelines and policies of Departments and Agencies from which the 
specific enforcement authority is transferred.
    1-108. The Federal Inspector and all employees of the Office of the 
Federal Inspector shall be subject to the provisions of Executive Order 
No. 11222 concerning standards of conduct for Federal employees. The 
Federal Inspector shall issue standards of conduct, pursuant to the 
Order, for the Office of the Federal Inspector.
    1-109. To the extent permitted by law, each Department and Agency 
shall cooperate with and furnish necessary information and assistance to 
the Board in the performance of its functions.
    1-110. This Order shall be effective on July 1, 1979.
                                                           Jimmy Carter.

                  Section Referred to in Other Sections

    This section is referred to in sections 719b, 719c, 719f, 719m of 
this title.



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