STATE OF NEW JERSEY Board of Public Utilities 44 South Clinton Avenue, gth Floor Post Office Box 350 Trenton, New Jersey

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Agenda Date: 09/11/15 Agenda Item: VI B STATE OF NEW JERSEY 44 South Clinton Avenue, gth Floor 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: ORDER ACCEPTING SETTLEMENTS DOCKET NOs. WS15080897K et al. (see attached appendix Tom Shroba, New Jersey American Water Frank Coriano, Manager, Public Service Electric and Company Phil Salvatore, Manager, Elizabethtown Company John F. Stanziola, Manager, South Jersey Bernard Smalls, Verizon BY THE BOARD: 1 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 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 fiquid. 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 Prevention System can substantially reduce the frequency of damage caused by these activities. 1 President Richard S. Mroz and Commissioner Upendra J. Chivukula recused themselves due to a potential conflict of interest and as such took no part in the discussion or deliberation of this matter.

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 Prevention System and to require all excavators to notify the One-Call 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 and not more than $2,500 per violation per day, not to exceed $25,000 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 per violation per day and not to exceed $1,000,000 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. WS15080897K et al.

This Order shall be effective on September 21, 2015. NO FURTHER ACTION BY THE RESPONDENTS IS REQUIRED DATED: ~ ;,- BOARD OF PUBLIC UTILITIES BY: },- i / - I/ ATTEST:. ; -,_,} -~," ' '\,; --,_( "t,~, /~- DIANNE SOLOMON COMMISSIONER KIMASBU~Y SECRETARY I 1 HEREBY CEimFV that tht within docmimftc 1s a true copy of tnt OtiQI~~~ ir theftles_~ 801rd of Pvbllc ll'lllttii CJ-IL:.~ 3 BPU DOCKET NOs. WS15080897K 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 NOs. WS15080897K et al. (see attached appendix SERVICE LIST Tom Shroba NJ American Water 1341 North Ave. Plainfield, NJ 07062 Frank Coriano Public Service Electric and Company 41 0 Silver Lake Rd Edison, NJ 08817 Phil Salvatore Elizabethtown Company 520 Green Lane Union, NJ 07083 John F. Stanziola South Jersey 1 South Jersey Plaza Folsom, NJ 08037 James Giuliano, Director Division of Reliability & Security 44 South Clinton Avenue, 9th Floor Trenton, NJ 08625-0350 James P. Kane, Esq. Counsel's Office 44 South Clinton Avenue, 9th Floor Trenton, NJ 08625-0350 Geoffrey Gersten, DAG Division of Law and Public Safety 124 Halsey Street Post Office Box 45029 Newark, NJ 07101-45029 Bernard Smalls Verizon 540 Broad St. Newark, NJ 17017 4 BPU DOCKET NOs. WS15080897K et al.

BPU Dkt One Call Ty~ No. Case No. Water WOC2014- Did not properly mark WS15080897K 0051 out, non-gas $2,000 NJAmerican 711412014 Union Ave, Union Beach GS15080898K GOC2014-0529 Did not properly mark out $3,000 PSE&G 712512014 Maple Ave, Ridgefield, GS 15080899K GOC2014-1021 Did not properly mark out $3,000 PSE&G 1011012014 Reinhardt Rd, Wayne GS15080900K GOC2014-0366 Did not Qroperly mark out $3,000 PSE&G 612612014 Main St, Lodi Electric l\:>as I NOn l(jas GS15080901K GOC2014-1265 Did not property mark out $3,000 PSE&G 12/1112014 Market St, Elmwood Park GS15080902K GOC2014-0429 Did not properly mark out $3,000 PSE&G 7/712014 Outwater Ln, Garfield GS15080903K GOC2014-1034 Did not property mark out $3,000 PSE&G 1012412014 US 1 & 9, Jersey City GS15080904K GOC2014-0997 Did notjlfoperty mark out $3,000 PSE&G 1011012014 32nd St, Camden GS 15080905K GOC2014-0531 Did not property mark out $3,000 PSE&G 7/2912014 Kingston Ave, Barrington GS15080906K GOC2014-0820 ES15080907K EOC2014-0098 GS15080908K GOC2014-0560 ES15080909K GOC2015-0018 GS15080910K GOC2014-0992 Did not property mark out $3,000 PSE&G 10/612014 Moonachie Ave, Carlstadt GS15080911K GOC2015-0032 Did not properly mark out $3,000 Elizabethtown 11812015 Moses Dr, Rahway GS15080912K GOC2014-0735 Did not properly mark out $3,000 South Jersey 9/812014 Buttonwood St, Wenonah GS15080913K GOC2014-0947 GS15080914K GOC2014-0390 AS15080943K NOC2015-0005 GS15080944K GOC2015-0093 Did not properly mark out $3,000 South Jersey 2/412015 West Ave, Ocean City GS15080945K GOC2014-0944 Did not properly mark out $3,000 South Jersey 10/9/2014 51st St, Sea Isle City GS15080946K GOC2014-1047 Did not properly mark out $3,000 Elizabethtown 1011512014 Woodland Dr, Vernon GS15080947K GOC2014-1011 Did not properly mark out $3,000 PSE&G 1011412014 Park Ave, West Orange \.;as GS15080948K GOC2014-1 032 Did not properly mark out $3,000 PSE&G 10/2312014 2nd St, Plainfield (jas GS15080949K GOC2014-0550 Did not properly mark out $3,000 PSE&G 8/712014 Clinton Ave, Plainfield GS15080915K GOC2015-0043 Did notproperly mark out $3,000 PSE&G 112112015 Oaks Rd, City of Orange. GS15080916K GOC2014-0636 Did not properly mark out $3,000 PSE&G 8122/2014 Random Rd, Princeton i\.;as IN THE MATTER OF: ALLEGED VIOLATIONS OF THE UNDERGROUND FACILITY PROTECTION ACT, N.J.S.A. 48:2-73 ET.SEQ. ORDER ACCEPTING SETTLEMENTS 8 ureau o f 0 ne C a II - S e ttl ements-appendix -S ep1em t b er VIS 2015 Violation Type of Violation Penalty Operator Excavator Date Description/Location Did not property mark out $3,000 Elizabethtown 10/112014 Davidson Ave, Perth Amboy Did not property mark out, non-gas $2,000 PSE&G 612712014 Leesville Ave, Woodbridge Did not property mark out $3,000 PSE&G 811112014 Round Top Or, Bernardsville U1d not nave a valid markout $3,000 PSE&G 111512015 33rd St, Bayonne Did not properly mark out $3,000 South Jersey 10/1412014 Braddock Dr, Somers Point Did not nave a vauo markout $3,000 Verizon 7/912014 Liberty Ave, North Bergen U1d not proprery mark out, non-gas $1,000 Verizon 3/1112015 Princeton Ave, Lawrence GS15080917K GOC2014-0873 Did not properly mark out $3,000 PSE&G 9/2912014 Richard Ave, Caldwell Payment Received 611712015 6/17/2015 611712015 6/1712015 6/1712015 6115/2015 618/2015 6/112015 6/1/2015 6/4/2015 61512015 712312015 711512015 711412015 Total 28 $80,000 1 of 1 BPU Docket Nos. WS15080897K,!!.!..@!