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Agenda Date: 1/27/16 Agenda Item: VIA STATE OF NEW JERSEY 44 South Clinton Avenue, 3rd Floor, Suite 314 Trenton, New Jersey 08625-0350 www.nj.gov/bpu/ RELIABILITY & SECURITY IN THE MATTER OF ALLEGED VIOLATIONS OF THE UNDERGROUND FACILITY PROTECTION ACT, N.J.S.A. 48:2-73 ET. SEQ. Parties of Record: Craig Lynch, New Jersey Natural Paula M. James, Atlantic City Electric Kenneth George, KG Marine Contracting Dominick Mazza, Mazza & Sons John Lyons, Neshaminy Electric Kerry Frew, K.C Heildon Joseph Acardo, KMD Excavating Paul Kozzkiewicz, Southeast Morris M.U.A David Polonio, D. Polo Plumbling & Heating LLC. BY THE BOARD: ORDER ACCEPTING SETTLEMENTS DOCKET NOs.GS15121392K et. al. (see attached appendix The ("Board" has jurisdiction to oversee and enforce the provisions of the Underground Facility Protection Act ("the Act" pursuant to the provisions set forth in N.J.S.A. 48:2-73, et seq. The primary purpose of the Act is to establish the One-Call Damage Prevention System for the protection of underground facilities that are used for the conveyance of water, forced sewage, telecommunications, cable television, electricity, oil, petroleum products, gas, optical signals, traffic control, or for the transportation of a hazardous liquid. In declaring its findings and the purpose of the Act, the Legislature stated, in pertinent part: That damage to underground facilities caused by excavation and the discharge of explosives poses a significant risk to the public safety; that such damage to underground natural gas facilities poses a substantial risk to the public safety; and that the implementation of a comprehensive One-Call Damage Prevention System can substantially reduce the frequency of damage caused by these activities. The Legislature therefore determines that it is in the public interest for the State to require all operators of underground facilities to participate in a One-Call Damage Prevention System and

to require all excavators to notify the One-Call Damage Prevention System prior to excavation or demolition. N.J.S.A. 48:2-74. The Act defines "excavator" as "any person performing excavation or demolition," and "operator" as "a person owning or operating, or controlling the operation of, an underground facility... " N.J.S.A. 48:2-75. The Act subjects violators of its provisions to civil penalties of not less than $1,000.00 and not more than $2,500.00 per violation per day, not to exceed $25,000.00 for any related series of violations. N.J.S.A. 48:2-88(a}. Violations relating to natural gas or hazardous liquid underground pipelines or distribution facilities shall subject the violator to civil penalties not to exceed $100,000.00 per violation per day and not to exceed $1,000,000.00 for any related series of violations. In addition, a violator may be assessed the cost of any Board investigation, inspection or monitoring survey which leads to the establishment of a violation and for the reasonable costs of preparing and litigating the matter. N.J.S.A. 48:2-86(b(2. Following reports of failure to call the System prior to commencing excavation or demolition activities, failure to hand dig and locate facilities, failure to use reasonable care, or reports of failure to mark out underground facilities or properly mark them, Board Staff contacted the entities listed on the attached Appendix and informed them of the date and location of the alleged violations, also listed on the Appendix. In an attempt to resolve these matters, each excavator or operator listed on the Appendix has submitted an Offer of Settlement to the Board for its consideration. Each such Offer of Settlement is summarized in the Appendix. The Offers of Settlement were made available to the Board for its review. After consideration of the matters, the Board HEREBY FINDS these Offers of Settlement to be reasonable and in the public interest, and HEREBY ACCEPTS these Offers of Settlement in full satisfaction of the above referenced alleged violations of the Act. By acceptance of the various Offers of Settlement and the timely payment thereof, the excavator or operator has waived any rights to a hearing, and the Board has waived any rights to bring an action for civil penalties as permitted by the Underground Facility Protection Act in connection with the above-referenced alleged violations of the Act. It must also be noted that the acceptance of the Offers of Settlement are for settlement purposes only, and apply strictly to the specific incidents described in the Appendix. This acceptance is without prejudice as to the position of the State of New Jersey or any agency or subdivision thereof if other violations are present, now or in the future. 2 BPU DOCKET NOs. GS15121392K et. al.

This Order shall be effective on February 6, 2016. (}~ ~~H l. FIORDALISO NO FURTHER ACTION BY THE RESPONDENTS IS REQUIRED ~~1-~ 'RICHARDS. MROZ PRESIDENT BOARD OF PUBLIC UTILITIES BY: ~N~.. 2t- ~::~~- UPEND J. CHIVUKULA ATTEST: I E KIM ASBURY SECRETARY 1 HEREBY CERTIFY that the 'Vithin document Is a true copy oi the orig:no;, in the files of the Board of Publi(: Uti> c5ll. CJ 3 BPU DOCKET NOs. GS15121392K et. al.

IN THE MATTER OF ALLEGED VIOLATIONS OF THE UNDERGROUND FACILITY PROTECTION ACT, N.J.S.A. 48:2-73 ET. SEQ. ORDER ACCEPTING SETTLEMENTS DOCKET NO. GS15101172K et. al. (see attached appendix SERVICE LIST Craig Lynch NJ Natural 1415 Wyckoff Rd, Wall, NJ 07719 Paula M. James Atlantic City Electric 5100 Harding Hwy. Mays Landing, NJ 08330 Kenneth George KG Contracting Inc. 46 Indian Rd. Manahawkin, NJ 08050 Dominick Mazza D&J Mazza PO Box 536 Oakhurst, NJ 07755 John Lyons Neshaminy Electric 1700 Bayberry Rd. Bensalem, PA 19020 Kerry Frew K.C Helidon 3602 Route 35, N, P.O Box 518 Normandy Beach, NJ 08735 Joseph Arcado KMD Excavating 3 North Alward. Benards Twp. NJ 07920 Paul Kozzkiewicz Southeast Morris M.U.A 19 Saddle Road. Cedar Knolls, NJ 07927 David Polonio D. Polo Plumbing 14 Charles Street Metchun, NJ 08840 James P. Giuliano, Director Division of Reliability & Security 44 South Clinton Avenue, 3rd Floor, Suite 314 Trenton, NJ 08625-0350 James P. Kane, Esq. Counsel's Office 44 South Clinton Avenue, 3ro Floor, Suite 314 Trenton, NJ 08625-0350 Geoffrey Gersten, DAG Division of Law and Public Safety 124 Halsey Street Post Office Box 45029 Newark, NJ 07101-45029 4 BPU DOCKET NOs. GS15121392K et. al.

Damage BPU Dkt One Call Type No. Case No. GS15121392K GOC2014-0400 out. $3,000 NJ Natural 7/3/2014 Heron Rd., Tuckerton Electric ES15121389K EOC2015-0051 out. Non- DamaQe. $2,000 Atlantic City Electric Washington Ave., Atlantic 3/12/2015 City GS15121389K GOC2014-0230 out. $3,000 NJ Natural 6/9/2014 6th Ave., Toms River None Did not have valid mark AS15121384K NOC2015-0011 out, non damaqe. $1,000 KG Marine Contractintt 4/21/2015 Twin Lakes Blvd, Tuckerton markout. Non- D&J Mazza Teleohone TS15121383K TOC2014-0040 Electric None Electriic ES15121413K EOC2014-0136 GS15121414K GOC2015-0419 GS15121393K GOC2015-0146 GS15121394K GOC2015-0227 AS15121395K NOC2015-0063 IN THE MA TIER OF: ALLEGED VIOLATIONS OF THE UNDERGROUND FACILITY PROTECTION ACT, N.J.S.A. 48:2-73 ET.SEQ. ORDER ACCEPTING SETILEMENTS B ureau o f 0 ne C a II -S e ttl emen t s-appendix -J anuarv VIA 2016 Violation Type of Violation Penalty Operator Excavator Date Description/Location Damage. $2,000 Demolition 7/9/2014 Weber Ave., Sayerville out. Non- Damage. $2,000 Atlantic City Electric 7/30/2015 Queen Anne Court., Palermo mark out $3,000 Neshaminy Electric 4/28/2015 W. Landis Ave., Vineland markout $3,000 KC Heldon 2/27/2015 Ortley Ave., Lavallette markout $3,000 KMD Excavating Canoe Brook Rd., Millburn Failure to file annual Southeast Morris Southeast Morris County reports. $3,000 County M.U.A 1/31/2015 MuniCiiJal Utilities Authority. GS15121390K GOC2015-0259 out. $3,000 NJ Natural 4/9/2015 Front St., Scotch Plains UIO not nave a vaua markout. Non- D.Polo Plumbing & ES15121400K EOC2014-0119 Damage. $2,000 Heating LLC 8/27/2015 Lakewood RD., Toms River Payment Received 11/3/2015 11115/2015 10/24/2015 10/29/2015 11/29/2015 11/30/2015 11/13/2015 11/12/2015 11/10/2015 Total 12 $30,000 1 of 1 BPU Docket Nos. GS15121392K!tl-1!.!-