PROPANE EDUCATION & RESEARCH COUNCIL

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PROPANE EDUCATION & RESEARCH COUNCIL Request for Proposals for Testing and Evaluation of Pressure Relief Valves on Propane Transport Vehicles, Bulk Tanks, and Customer Tanks September 14, 2007 General Information The Propane Education & Research Council (PERC) is a nonprofit 501(c) 6 trade organization authorized by the Propane Education and Research Act of 1996 (PERA), Public Law 104284. PERC was created to enhance consumer and employee safety and training, to provide for research and development of clean and efficient propane utilization equipment, and to inform and educate the public about safety and other issues associated with the use of propane. This Request for Proposals (RFP) is not subject to any federal or state procurement law or regulation. A 21member Board of Directors appointed by the National Propane Gas Association and the Gas Processors Association governs PERC. Members include propane retail marketers, producers, transporters, and agricultural cooperatives, as well as representatives of allied service and supply industries. Proposals to Provide Services Sought PERC is currently seeking bids from qualified contractors to provide the propane industry with a Proposal for Testing and Evaluation of Pressure Relief Valves on Propane Transport Vehicles, Bulk Tanks, and Customer Tanks. This project would evaluate potential issues related to Pressure Relief Valve (PRV) degradation in various service environments. Project Background Spurred by an incident in which the relief valve spring failed on a bulk transport truck, a product safety notice was issued by a manufacturer in October 2005 regarding the potential for damage to certain relief valves caused by their service environment. In particular, the notice identified that the presence of atypical contaminants in the fuel may cause relief springs to break, adversely affecting system operation and reliability. Spring breakages can result in the unintended release of product and possibly result in personal injury, property damage, explosion, fire, or chemical contamination. While there may be no incidents of this type of failure on stationary bulk storage tanks, there remains a concern that a similar situation could occur in the future. Because of the potential safety issues, testing the effectiveness of different pressure relief valves exposed to varying concentrations of contaminants and different environments may be needed to better understand the phenomena and to identify measures that may prevent future occurrences. Scope of Work The scope of work for this project is set forth below. The deliverable for this project will be a detailed report outlining the test results for PRVs exposed to various service environments, and providing recommendations for improving relief valve performance. This project is focused on PRVs for propane service on transport vehicles, bulk plant installations, and customer tanks. The project and evaluations should examine potential failure modes that could result in safety problems. 1. Your RFP response should include a task to develop a survey and compile the results of the survey that inquires about PRV problems experienced by propane marketers related to transport vehicles, bulk tank installations, and customer tanks. The results from the survey should be compiled into a spreadsheet, or similar format, so that any trends in

potential PRV failures can be identified. The number of surveys to be submitted to the propane marketers and the approach should be suggested in the response to this RFP. 2. All PRVs should be tested in accordance with the plan provided in Attachment A, and results of the tests should be recorded for each PRV that is tested. Vibration may also be a concern for PRVs installed on transport trucks; the bidder should take this into consideration in their response to this RFP. If you believe that additional tests or test modifications are necessary to accomplish the purposes outlined above, your RFP response should so state, and should identify the additional tests or modified tests that you propose to add to the protocol and reasons for doing so. Your proposal should describe the test protocol that you propose to use as well as reasons for modifying the approach suggested in this RFP. 3. Your response to this RFP should include provisions to purchase from each manufacturer at least three PRVs used on propane transport trucks, bulk tank installations, and customer tanks for detailed testing to determine potential catastrophic failure modes that could result in safety problems. If you believe that more or fewer PRVs should be gathered and tested in order to accomplish the purposes outlined above, your RFP response should so state, and should identify the number of PRVs that you propose to gather and test. Your proposal should describe the number of PRVs that you propose to gather for each manufacturer and type of PRV and justification for the sample size proposed. 4. The winning bidder will be responsible for collecting the PRV test samples, procuring the control sample of propane, documenting the compositions of the control sample, creating the test gases, calibrating instrumentation, and completing the testing of all samples in an agreedupon time frame. Written monthly progress reports shall be submitted to PERC if the project is expected to require more than three months. Allowance for at least one witness test by PERC representatives should be included. The final report should include a description of the test methodology and equipment as well as the results for each PRV tested. The data should be presented in such a way as to make it easy to compare the performance of the samples, and should be provided in hard copy and electronic format. Calibration records for instrumentation should be kept according to good laboratory practices. Qualifications The successful contractor will be familiar with the LP Gas industry, its codes, regulations, and common practices used throughout the industry. The contractor must demonstrate and describe its ability to anticipate, coordinate, and carry out all aspects of the project. Project completion dates will be an important factor in selecting a contractor. PERC anticipates the award date for the project to be December 7, 2007. Eligible applicants for this solicitation are profit organizations, notforprofit institutions and organizations, educational institutions, and individuals. Other Requirements Responding proposals must include the following specifications. The specifications are derived from PERC s funding request form. The funding request form may be used and is available upon request. 1. Statement of the Project Background information about the project Describe any prior projects upon which the proposed project is based or which had the similar goals and objectives as the proposed project Goals, objectives, and anticipated results of the project and planned deliverables

Identification of essential personnel expected to participate in the project Status of essential personnel as employee of the applicant, consultant, or contractor 2. Timeline for the Project Commencement date Completion date Key project stages and activities Dates upon which deliverable(s) will be presented to Council Final Report due date (due not more than 60 days from completion date) 3. Budget and Statement of Costs Specifically include direct costs, salaries, overhead and subcontractor costs, fees, and expenses Statement of how much the applicant is contributing toward the cost of the project in cash, inkind, and services Detailed statement of other funding sources contacted or to be contacted, the expected amount of funding from each, the status of each application of funds, and any conditions placed upon the use of funds. Proposals with matching grants will be looked upon more favorably than others Budget to be broken down by task 4. CostBenefit Analysis An examination of the value(s) of all favorable effects (benefits) to safety, consumer awareness, and/or propane consumption relative to the amount of funding being requested An assessment of the cost effectiveness of the proposed work (this is the ratio of cost per unit of desired results) If applicable, a discussion of possible alternatives that could achieve similar purposes 5. Evaluation Statement The applicant s Evaluation Statement should describe roles, responsibilities, performance measures, evaluation methodologies, and data sources. Notices 1. Given the various skill sets and requirements surrounding this RFP, PERC may divide the work between more than one vendor. In so doing, PERC may elect to designate one offeror as the general contractor and other(s) as subcontractor(s). 2. PERC, in its sole discretion, also reserves the right to not award to any contract on the proposals received. 3. PERC may request additional information from any offeror. 4. Neither this RFP nor the submission of any proposal creates any contract or obligation on the part of PERC. 5. Should PERC identify a proposal(s) suitable for award, the offeror(s) will be required to sign a written agreement for the services sought. 6. PERC will not accept any information in any proposal that is designated confidential or proprietary or contains confidential or proprietary information. PERC cannot and will not guarantee that should such information be submitted that it would be maintained as confidential. Should an offeror s desire to submit proprietary or confidential information, they should contact PERC in advance to discuss whether and how such information may be effectively submitted. Additional Information

Proposals will be subject to an objective merit review procedure of PERC s Research and Development Advisory Committee. Please send all questions regarding this request for proposals and your intentions to bid in writing via email to Greg Kerr at gregory.kerr@propanecouncil.org. For copies of the following PERC documents, please visit our website at www.propanecouncil.org: a) Fact Sheets b) Press Releases c) Propane Education and Research Act d) Propane Vision and Technology Roadmap Submitting Proposals Proposals are required to be contained in a single file and must be sent in electronic PDF or Microsoft Word format to Kaitlin.hoover@propanecouncil.org. They are due at PERC s office no later than 5 p.m. Eastern on October 12, 2007. A disk may also be mailed to: Kaitlin Hoover, Director of Research and Development Propane Education & Research Council 1140 Connecticut Avenue, NW, Suite 1075 Washington, DC 20036 2024528975 (phone)

Attachment A PRV Testing Protocol Test Samples: At least 3 PRVs from various manufacturers and of different types (tertiary customers to transports) should subjected to each test Data to Record: Manufacturer; Model; Marked Set Pressure or Start to Discharge Setting; Flow Capacity and/or Tank Surface Area Suitability; Container Connection NPT; Materials of Construction (body & spring); Seat Disc or Seal Material ask about materials from manufacturers. The PRVs that undergo the Challenge Fuel Exposure Tests will not also be subjected to the Environmental Exposure Tests and vice versa. Purchase new PRVs from Manufacturers (ID manufacturers & types) Record General Information on PRVs Perform Visual Inspection and Photo Documentation 1 2 3 This test protocol is based on specific tests or variations thereof provided within UL 132 Safety Relief Valves for Anhydrous Ammonia and LPGas, and CGA S1.12005 Pressure Relief Device Standards Part 1 Cylinders for Compressed Gases Not valid for further testing; stop tests and document Failure Criteria: Missing parts Damaged parts Too old (>1yr) Tampering or missing locking device on adjusting mechanism Conduct Challenge Fuel Exposure Tests 4 Perform std/ resealing pressure test (UL 132, Section 11) Perform challenge gas corrosion tests (based on CGA S1.1, Section 6.9.1.8) 6 Repeat std/resealing tests and conduct leakage tests (UL 132, 11 & 12) 5 Conduct Environmental Exposure Tests Perform starttodischarge/resealing pressure test (UL 132, Section 11) Perform environmental exposure tests (based on salt corrosion resistance test in CGA S1.1, Section 6.9.1.2) 9 Repeat std/resealing tests and conduct leakage tests (UL 132, 11 & 12) 7 8 Document Test Results, Photo Documentation, and Observations std = Start to Discharge

StarttoDischarge/Resealing Tests (UL 132, Section 11, Test No. 1) Test 3 PRVs of each type & manufacturer Procedures: Initial supply pressure to the valve shall be increased to within 25 psi of the marked set pressure. Increase the pressure slowly at a rate no greater than 2 psi/s until the first bubbles through the water seal are observed. Record the pressure at this instant as the std pressure Increasing Pressure: increase pressure from 0 psig until std is detected with a water seal Performance Criteria StarttoDischarge Pressure Performance Criteria: std < 100% of set pressure ( 11.1) std > 110% set pressure ( 11.1) Increase the pressure above the std pressure to unseat the valve Shutoff supply pressure Monitor water seal and pressure gauge until bubbles cease; record the pressure at this instant as the resealing pressure Decreasing Pressure: Unseat the valve; decrease pressure from std to 0 psig; record reseating pressure Performance Criteria Resealing Pressure Performance Criteria: Resealing pressure < 90% of initially observed std pressure ( 11.2) Perform Challenge Fuel or Environmental Exposure Tests

Challenge Fuel Exposure Tests (Based on CGA S1.1, Section 6.9.1.8) Procedures: Seal the outlet port of the pressure relief valve Soak 3 PRVs each for 500 hours at 60 C (140 F) in Test Gas 1, Test Gas 2, and Test Gas 3 (commercial propane with constituent concentrations documented). Let PRV sit 1 hour then repeat std and resealing tests PRV Exposure to Challenge Fuel: Expose PRV to control sample and challenge fuels in Table 1 Table 1 Fuel Contamination Levels for Challenge Gases Test Gas 1: High H 2 S Test Gas 2: Ammonia Test Gas 3: Control Sample (Commercial Propane*) Contaminant Max Conc. (ppmw in propane) Max Conc. (ppmw in propane) Max Conc. (ppmw in propane) Hydrogen Sulfide Balance sulfur amount in control sample with H2S to achieve a total of 185 ppmw sulfur. Water 42 42 Ammonia 10 Methanol 2000 2000 *Commercial propane will be used to create test gas 1 and 2; the composition will be documented by the contractor and an archive sample will be set aside for potential future studies. The Control Sample should meet the ASTM 1835 requirements for commercial propane (185 ppmw sulfur maximum). Test gas 1 and 2 should be within +/ 5 ppm of the specified amounts for H2S, Water, Ammonia, and Methanol in Table 1. Performance Criteria Repeat std and resealing tests per UL 132, Sections 11 & 13 StarttoDischarge Pressure Performance Criteria: std < 85% of set pressure ( 13.1) Resealing Pressure Performance Criteria: Resealing pressure < 80% of initially observed std pressure ( 13.1) Document Test Results and Observations

Environmental Exposure Tests (Based on UL 132, 19 and CGA S1.1, 6.9.1.2) Procedures: Expose for 144 hours at specified environmental conditions (Table 2) See B117 for 5% NaCl solution CGA S1.1, 6.9.1.2 for acidic (adjust ph to 4 by adding sulfuric and nitric acid in a 2:1 ratio) and basic (adjust ph to 10 by adding NaOH) solutions; aerate to provide O2 and CO2. Let PRV sit 1 hour then repeat std and resealing tests PRV Exposure to Environmental Conditions: Expose PRV to env. conditions in Table 2 Table 2 Environmental Exposure Test Matrix Environmental Condition Temp Test Standards Time Warm, Damp, Salty 95 F ASTM B117 Salt Spray (fog); 3 PRV according to B117; 3 PRV in acidic spray; 3 PRVs in basic spray (CGA S1.1) 144 hours Performance Criteria Repeat std and resealing tests per UL 132, Sections 11 & 13 StarttoDischarge Pressure Performance Criteria: std < 85% of set pressure ( 13.1) Resealing Pressure Performance Criteria: Resealing pressure < 80% of initially observed std pressure ( 13.1) Document Test Results and Observations

PRV Test Protocol Description This test protocol is based on specific tests or variations thereof provided within UL 132 Safety Relief Valves for Anhydrous Ammonia and LPGas and CGA S1.12005 Pressure Relief Device Standards Part 1 Cylinders for Compressed Gases. Ref # Test Reference Test Procedure Performance Criteria 1 Purchase new PRVs from Manufacturers 2 Record General Information on PRVs 3 Perform Visual Inspection 4 Perform std/ resealing pressure test UL 132, Section 11, Test No. 1 Test Samples: At least 3 PRVs from various manufacturers and of different types should subjected to each test The PRVs that undergo the Challenge Fuel Exposure Tests will not also be subjected to the Environmental Exposure Tests and vice versa. Minimum Data: Manufacturer Model Marked Set Pressure or Start to Discharge Setting Flow Capacity and/or Tank Surface Area Suitability Container Connection NPT Materials of Construction (body & spring) Seat Disc or Seal Material PRV date of manufacture Examine the new PRV and record information on any damage, missing parts, and age and document if suitable for testing. StarttoDischarge Pressure (std): Initial supply pressure to the valve shall be increased to within 25 psi of the marked set pressure. Increase the pressure slowly at a rate no greater than 2 psi/s until the first bubbles through the water seal are observed. Record the pressure at this instant as the std pressure Resealing Pressure: Increase the pressure above the std pressure to unseat the valve Shutoff supply pressure Monitor water seal and pressure gauge until bubbles cease; record the pressure at this instant as the resealing pressure None None Noticeable damage to the spring mechanism, PRV body, or sealing mechanisms. Missing parts Too old (>1 year) Tampering or missing locking device on adjusting mechanism std < 100% of set pressure ( 11.1) std > 110% set pressure ( 11.1) Resealing pressure < 90% of initially observed std pressure ( 11.2) 5 Perform challenge based on CGA Seal the outlet port of the pressure relief valve std < 85% of set pressure (13.1)

PRV Test Protocol Description Ref # Test Reference Test Procedure Performance Criteria gas corrosion test 6 Repeat std and resealing tests 7 Perform starttodischarge/resealing pressure test 8 Perform environmental exposure tests 9 Repeat std and resealing tests S1.1, Section 6.9.1.8, & UL 132, Section 13 UL 132, Sections 11 & 13 and CGA S 1.1, 6.9.2.2 UL 132, Section 11, Test No. 1 based on salt corrosion resistance test in CGA S1.1, Section 6.9.1.2 UL 132, Sections 11 & 13 and CGA S 1.1, 6.9.2.2 Soak 3 PRVs each for 500 hours at 60 C (140 F) in Test Gas 1, Test Gas 2, and Test Gas 3 (control sample commercial propane with constituent concentrations documented). Let PRV sit 1 hour then repeat std and resealing tests StarttoDischarge Pressure (std): Initial supply pressure to the valve shall be increased to within 25 psi of the marked set pressure. Increase the pressure slowly at a rate no greater than 2 psi/s until the first bubbles through the water seal are observed. Record the pressure at this instant as the std pressure Resealing Pressure: Increase the pressure above the std pressure to unseat the valve Shutoff supply pressure Monitor water seal and pressure gauge until bubbles cease; record the pressure at this instant as the resealing pressure StarttoDischarge Pressure (std): Initial supply pressure to the valve shall be increased to within 25 psi of the marked set pressure. Increase the pressure slowly at a rate no greater than 2 psi/s until the first bubbles through the water seal are observed. Record the pressure at this instant as the std pressure Resealing Pressure: Increase the pressure above the std pressure to unseat the valve Shutoff supply pressure Monitor water seal and pressure gauge until bubbles cease; record the pressure at this instant as the resealing pressure Pressurize through the inlet with air to 70% of the max std pressure Expose for 144 hours at specified environmental conditions (Table 2) See B117 for 5% NaCl solution CGA S1.1, 6.9.1.2 for acidic (adjust ph to 4 by adding sulfuric and nitric acid in a 2:1 ratio) and basic (adjust ph to 10 by adding NaOH) solutions; aerate to provide O2 and CO2. Let PRV sit 1 hour then repeat std and resealing tests StarttoDischarge Pressure (std): Initial supply pressure to the valve shall be increased to within 25 psi of the marked set pressure. Increase the pressure slowly at a rate no greater than 2 psi/s until the first bubbles Resealing pressure < 80% of initially observed std pressure ( 13.1) std < 85% of set pressure (13.1) Resealing pressure < 80% of initially observed std pressure ( 13.1) std < 100% of set pressure ( 11.1) std > 110% set pressure ( 11.1) Resealing pressure < 90% of initially observed std pressure ( 11.2) std < 85% of set pressure (13.1) Resealing pressure < 80% of initially observed std pressure ( 13.1)

PRV Test Protocol Description Ref # Test Reference Test Procedure Performance Criteria through the water seal are observed. Record the pressure at this instant as the std pressure Resealing Pressure: Increase the pressure above the std pressure to unseat the valve Shutoff supply pressure Monitor water seal and pressure gauge until bubbles cease; record the pressure at this instant as the resealing pressure Three challenge gas compositions were decided upon for PRV testing. Test Gas 1: H 2 S will be the primary caustic in test gas 1, a mildly acidic material that can contaminate the propane during the refining process (sulfur treater goes down). We want to see if the H2S/H2O mixture will cause significant degradation to the PRV. Since the ASTM 1835 sulfur specification is 185 ppmw sulfur, we are assuming that this is the level of H2S in Test Gas 1 minus the ppmw sulfur already in the control sample (either from a process upset or converted from COS). Test Gas 2: Ammonia will be the primary contaminant in the test gas 2 to cover those situations where the storage container is also used to store ammonia for fertilization and may not be adequately cleaned afterward or levels in a cleaned transport (Battelle report indicates range between 1 ppm and 13 ppm for various transport cleaning methods). We want to see if the NH3/H2O mixture will cause significant degradation to the PRV. Control Sample: One control sample will also be evaluated with commercial propane from a local marketer. The composition of the sample will be documented, particularly for sulfur, water, methanol, and ammonia contaminants. In addition, an archive of the control sample will be kept in case future studies are needed with the same control sample. Table 1: Challenge Gas Compositions Material Test gas 1 Amount (ppmw in propane) Test gas 2 Amount (ppmw in propane) Test gas 3 Control Sample Amount (ppmw in propane) H 2 S Balance sulfur amount in control sample with H2S to achieve a total of 185 ppmw sulfur. Measured by test lab H 2 O 42 42 Measured by test lab Methanol 2000 2000 Measured by test lab Ammonia 10 Measured by test lab Propane Commercial Propane (Control Sample) Commercial Propane (Control Sample) Commercial Propane (Control Sample)