# CHS MCPHERSON REFINERY INC. — Notice of Probable Violation

**Citation:** CPF 320025010  
**Type / status:** enforcement / historical  
**Agency:** Pipeline and Hazardous Materials Safety Administration  
**Effective:** Not stated  
**Published:** 2002-05-23

CLOSED notice of probable violation citing 195.452(b)(2).

## Document text

Notice of Probable Violation involving CHS MCPHERSON REFINERY INC.. PHMSA's enforcement data identifies the cited regulation as 195.452(b)(2). The case was opened on 2002-05-23 and is reported as closed as of 2002-12-04. Proposed civil penalty: $10,000. Assessed civil penalty: $5,000. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

320025010_Final Order_11132002.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320025010/320025010_Final%20Order_11132002.pdf

320025010_Final Order_11132002.pdf

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U.S.Deportrnent
of lionsportotion
Reseorcfiond
Speciol Progrums Adn$nisffiion
400 Sevenlh Street, S.W.
Washington, D.C. 20590
Noy I 3 20s2
Mr. Myron B. Hoover
Vice-President of Transportation
National Cooperative Refinery Association
1391 Iron Horse Road
P.O. Box 1404
McPherson, KS 67460
Re: CPF No. 3-2002-5010
Dear Mr. Hoover:
Enclosed is the Final Order issued by the Associate Adminisfiator.for,Pipeline Safety in the
above-referenced case. It makes a finding of violation and assesses a civil:penalty of $5,000. The
penalty payment terms are set forth in the Final Order. This enforcement action closes automatically
upon payment. Your receipt of the Final Order constitutes service of that document under 49:C.F;R .
$1'90.5. ': I
Sincerely,
il,jt
Pipeline Compliance Registry
Office of Pipeline Safety
Enclosure
CERTIFIED MAIL - RETURN RECEIPT REOUESTED



DEPARTMENT OF TRANSPORTATION
RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON. DC 20594
In the Matter of
National Cooperative
Refinery Association,
Respondent.
CPF No. 3-2002-5014
FTIIAL ORDER
On January 23-24,2002,pursuant to 49 U.S.C. $ 60117, representatives of the.Central and Eastern
Regions, Office ofPipeline Safety (OPS), conducted an integrity managernentsegment identifioation
and completeness check of National Cooperative Refinery Associationis-,(Respondentls):integrity
management prograrri,in McPherson, Kansas. As a result of the inspeclion;:the:Direc-tor,.C-entral
Region, OPS, issued to:Respondent, by letter dated May 23,2002, aNoticerof,P.robable Violation,
Proposed Civil Penalty;:and Proposed Compliance Order (Notice). In aceordanee with 49 CIF.R.
$ 190.207, the Notice.proposed finding that Respondent had violated,49 GF;R. $ 195452 and
proposed assessing a civil penalty of $10,000 for the alleged violation. The Notice also proposed
that Respondent take certain measures to correct the alleged violation.
Respondent responded to the Notice by letter dated June 19, 2002 (Response). Respondent did not
contest the allegation of violation but offered an explanation and provided information in mitigation
of the proposed civil penalty. Respondent did not request a hearing; consequently, Respondent
waived its right to one.
FINDING OF VIOLATION
Uncontested Violation
Respondent did not contest the alleged violation in the Notice. Accordingly, I. find that Respondent
violated the following section of 49 C.F.R. Part 195, as more fully described in the Notice:
49 C.F.R. $ 195.452(bXD - failure to identiff all pipeline segments that could affect a high
consequence area by December 31, 2001.
This frnding of violation will be considered a prior offense in any subsequent enforcement action
taken against Respondent.



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2
ASSESSMENT OF PENALTY
Under 49 U.S.C. g 60122, Respondent is subject to a civil penalty not to exceed $25,000 per
violation for each day of the violation up to a maximum of $500,000 for any related series of
violations.
49 U.S.C. S 60122 and 49 C.F.R. $ 190.225 require that, in determining the amount of the civil
penalty, I consider the following criteria: naflire, circumstances, and gravity ofthe violation, degree
of Respondent's culpability, history of Respondent's prior offenses, Respondent's ability to pay the
penalty, good faith by Respondent in attempting to achieve compliance, the effect on Respondent's
ability to continue in business, and such other maffers as justice may require.
The Notice proposed a civil penalty of $10,000 for violation of 49 C.F.R. 195.452(bxi). The
Respondent explained that it had initially misinterpreted the application of the regulation to its
system. Respondent also demonstrated that it had taken timely corrective action and completed the
process of identiffing pipeline segments which could affect high consequence areas. Accordingly,
having reviewed the record and considered the assessment criteria, areduction will be made in the
amount of the proposedpenalty. I assess Respondent a civil penalryof.$5,000for.failingto comply
with the requirements.of 49 C.F.R, $ 195.452(bXD. ,. :
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.,
Payment of the civil penalty must be made within 20 days of serviqg. Payment, oan.be made by
sending a certified check.ot money order (containing the CPF Number,fol this case) payab,le to llU. S.
DepartmentofTransportation'itqtheFederalAviationAdministration;MikeJvl'onrone Aeronautical
Center, Financial Operations Division (Al\[Z-320), P.O.Box25770; Oklahoma City, OK,73125.
Federal regulations (49 C.F.R. $ S9.21(bX3)) also permit this payment to be made by wire transfer,
throughthe Federal Reserve Communications System(Fedwire),tothe accountofthe U.S. Treasury.
Detailed instructions are contained in the enclosure. After completing the wire transfer, send a copy
of the electronic funds fansfer receipt to the Office of the Chief Counsel (DCC-l), Research and
Special Programs Administation, Room 8407, U.S. Department of Transportation, 400 Seventh
Street, SW, Washington, DC 20590-0001.
Questions concerning wire transfers should be directed to: Financial Operations Division (AMZ-
120), Federal Aviation Administration, Mike Monroney Aeronautical Center, P.O. Box 25770,
Oklahoma City, OK 73125; (405) 954-4719.
Failure to pay the $5,000 civil penalty will result in accrual of interest at the current annual rate in
accordancewith3l U.S.C. 93717,31 C.F.R. $901.9 and49 C.F.R. $ 89.23. Pursuanttothosesame
authorities, alate penalty charge of six percent (6Yo) perannum will be charged if payment is not
made within I l0 days of service. Furthermore, failure to pay the civil penalty may result in referral
of the matter to the Attorney General for appropriate action in an United States District Court.



3
COMPLIANCE ORDER
The Notice proposed a compliance order. Respondent has demonstrated corrective action addressing
the item in the proposed compliance order. Respondent has completed the process of identiffing its
pipeline segments which could affect high consequence areas and performed a risk analysis.
Because Respondent's actions satisfied the proposed compliance terms, no need exists to issue a
compliance order.
Under 49 C.F.R. $ 190.215, Respondent has a right to petition for reconsideration of this Final
Order. However, upon payment of the civil penalty, the case closes automatically and Respondent
waives the right to petition for reconsideration. The filing of a petition automatically stays the
payment of any civil penalty assessed. The petition must be received within 20 days of Respondent's
receipt of this Final Order and must contain a brief statement of the issue(s). The terms and
conditions of this Final Order are effective on receipt.
4r
Asso ciate Administrator
for Pipeline Safety
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ilov I 3 2002
Date Issued

## Provenance

- Official: Yes
- Source: <https://primis.phmsa.dot.gov/enforcement-data/case/320025010>
- Source ID: `phmsa-enforcement`
- SHA-256: `965985739a79c9d88ca58f95b059a33450a3467a848bb5779f4e7df3fb69fd45`
- Retrieved: 2026-08-20T04:44:44.458Z
- Exported: 2026-08-23T05:36:07.270Z
- Document slug: `phmsa-enforcement-320025010`

### Source metadata

```json
{
  "cpf": "320025010",
  "operator": "CHS MCPHERSON REFINERY INC.",
  "region": "Central",
  "pipelineType": "INTERSTATE LIQUID ONSHORE",
  "caseStatus": "CLOSED",
  "citedSections": [
    "195.452(b)(2)"
  ],
  "dataAsOf": "08/04/2026 12PM",
  "caseDataAsOf": "2026-08-04",
  "attachmentCount": 1,
  "attachments": [
    {
      "name": "320025010_Final Order_11132002.pdf",
      "url": "https://primis.phmsa.dot.gov/enforcement-documents/320025010/320025010_Final%20Order_11132002.pdf",
      "bytes": 231106,
      "category": "agency_document"
    }
  ],
  "extractedAgencyDocumentCount": 1,
  "attachmentPolicy": "Official attachment links are retained. Agency-issued documents may also include a verified local PDF and page-level text representation.",
  "jurisdiction": "US",
  "operatorName": "CHS MCPHERSON REFINERY INC."
}
```
