# VENOCO, INC — Notice of Probable Violation

**Citation:** CPF 520022001  
**Type / status:** enforcement / historical  
**Agency:** Pipeline and Hazardous Materials Safety Administration  
**Effective:** Not stated  
**Published:** 2002-08-16

CLOSED notice of probable violation citing 191.15(b), 192.479(b), 192.481, 192.605(a), 192.613(b), 192.706, 192.717(b), 192.739, 192.745.

## Document text

Notice of Probable Violation involving VENOCO, INC. PHMSA's enforcement data identifies the cited regulations as 191.15(b),  192,  192.479(b),  192.481,  192.605(a),  192.613(b),  192.706,  192.717(b),  192.739,  192.745. The case was opened on 2002-08-16 and is reported as closed as of 2005-03-07. Proposed civil penalty: $9,000. Assessed civil penalty: $9,000. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520022001_Final Order_11292004.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520022001/520022001_Final%20Order_11292004.pdf

520022001_Final Order_11292004.pdf

o
U.5. Deporlment
ol TronsDortotion
Reseorch ond
Speciol Progroms
Administrotbn
400 Seveolh Sl . S.W
Washrnglon. D C 20590
I'l0V 2 g Zli;r
Mr. Roger Hamson
Vice President, Southem Assets
Venoco. Inc.
5464 Carpinteria Avenue, Suite J
Carpinteria, CA 9301 3-1423
R.e: CPF No. 5-2002-200i
Dear Mr. Hamson:
Enclosed is the Final Order issued by the Associate Administrator for Pipeline Safety in the
above-referenced case. It makes findings of violation, assesses a civil penalty of $9,000, and
specifies actions to be taken to comply with the pipeline safety regulations, The Final Order also
makes a finding ofinadequate procedures and requires amendment ofcertain ofyour procedures for
operations, maintenance, and emergencies. The penalty pa)rment terms are set forth in the Final
Order. When the civil penalty is paid and the terms of the Compliance Order and Amendment of
Procedures are completed, as determined by the Director, Westem Region, OPS, this enforcement
action will be closed. Your receipt of the Final Order constitutes service of that document under
49 C.F.R. { 190.5.
Sincerely,
\r.
--f"'-'^ [ lt-- -
James Reynolds
Pipeline Compliance Registry
Office of Pipeline SafetY
Enclosure



DEPARTMENT OF TRANSPORTATION
RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON. DC 20590
In the Matter of
Venoco, Inc.,
Respondent.
CPF No. 5-2002-2001
FINAL ORDER
Between July 31 and August 2,2001, pursuant to 49 U.S.C. $ 601 17, a representative of the Office
of Pipeline Safety (OPS) conducted an on-site pipeline safety inspection of Venoco, Inc.'s
(Respondent's) facilities and records in Carpinteria, California. As a result of the inspection, the
Director, Western Region, OPS, issued to Respondent, by letter dated August16,2002, a Notice of
ProbableViolation, Proposed CivilPenalty,ProposedCompliance Order, andNotice ofAmendment
(Notice). In accordance with 49 C.F.R. $ 190.207, the Notice proposed finding that Respondent had
committed violations of 49 C.F.R. Part 192, proposed assessing a civil penalty of $9,000 for the
alleged violations, and proposed that Respondent take certain measures to correct the alleged
violations. The Notice also proposed, in accordance with 49 C.F.R. $ 190.237, that Respondent
amend its procedures for operations, maintenance and emergencies.
Respondent failed to respond within 30 days after it had received the Notice. Respondent's failure
to respond constitutes a waiver of Respondent's right to contest the allegations in the Notice and
authorizes the entry of this Final Order.
Respondent did not contest the alleged violations in the Notice. Accordingly, pursuant to 49 C.F.R.
g 190.209(c) and 49 U.S.C. 5 60L22,I find that Respondent violated the following sections of
49 C.F.R. Part 192, as more fully described in the Notice;
49 C.F.R. $ 192.605 (item 1) - failing to maintain a written procedural manual having
suffrcient detail to allow its personnel to conduct operations in accordance with all
requirements of Pm 192;
49 C.F.R. * 192.479 (Item 2) - failing to protect above-ground pipeline components from
atmospheric corrosion at the flange riser on the Platform Grace;



2
49 C.F.R. § 192.481 (Item 8) - failing to demonstrate that above-ground pipeline
components were evaluated for atmospheric corrosion as required in 1999;
49 C.F.R. § 192.706 (Item 9) - failing to conduct leakage surveys at onshore locations within
the maximum required interval;
49 C.F.R. § 192.739 (Item 10) - failing to conduct testing and inspections of a pressure
limiting and regulating station at an offshore location within the maximum required interval;
49 C.F.R. § 192.745 (Item 11) - failing to conduct testing and inspections of two
transmission line valves at the Carpenteria Plant within the maximum required interval.
These findings of violation will be considered prior offenses in any subsequent enforcement action
taken against Respondent.
ASSESSMENT OF PENALTY
Under 49 U.S.C. § 60122, Respondent is subject to a civil penalty not to exceed $100,000 per
violation for cach day of the violation up to a maximum of $1,000,000 for any related series of
violations.
49 U.S.C. § 60122 and 49 C.F.R. § 190.225 require that, in determining the amount of the civil
penalty, I consider the following criteria: nature, circumstances, and gravity of the 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 matters as justice may require.
The Notice proposed a total civil penalty of $9,000 for the violation of §§ 192.481, 192.706,
192.739, and 192.745 (Items 8, 9, 10, and 11, respectively). With respect to Item 8 - failure to
demonstrate that above-ground pipeline components were evaluated for atmospheric corrosion as
required in 1999 - the Notice proposed a civil penalty of $2,000. Failure to timely evaluate and take
remedial measures to protect the above-ground portions of the pipeline could potentially jeopardize
the integrity of those areas of pipe. Respondent did not offer any information that would justify a
reduction in the penalty amount proposed in the Notice for this violation. Accordingly, having
reviewed the record and considered the assessment criteria, I assess Respondent a civil penalty of
$2,000 for its violation of § 192.481.
With respect to Item 9- failure to conduct leakage surveys at onshore locations within the maximum
required interval - the Notice proposed a civil penalty of $2,000. Failure to timely conduct leakage
surveys could have adversely impacted public safety. Respondent did not offer any information that
would justify a reduction in the penalty amount proposed in the Notice for this violation.
Accordingly, having reviewed the record and considered the assessment criteria, I assess Respondent
a civil penalty of $2,000 for its violation of § 192.706.



J
With respect to Item l0 - failure to conduct testing and inspections of a pressure limiting and
regulating station at an offshore location within the maximum required interval - the Notice
proposed a civil penalty of $2,000. Failure to timely inspect pressure relief valves could increase
the risk of an overpressure incident. Respondent did not offer any information that would justify a
reduction in the penalty amount proposed in the Notice for this violation. Accordingly, having
reviewed the record and considered the assessment criteria. I assess Respondent a civil oenaltv of
$2,000 for its violation of g 192.739.
With respect to Item I 1 - failure to conduct testing and inspections of fwo transmission line valves
at the Carpenteria Plant within the maximum required intewal - the Notice proposed a civil penalty
of $3,000. Failure to timely inspect transmission line valve operation could result in a situation
where the valve does not fully close when necessary, such as in response to a release incident.
Respondent did not oflbr any information that would justify a reduction in the penalty amount
proposed in the Notice for this violation. Accordingly having reviewed the record and considered
theassessmentcriteria, IassessRespondentacivilpenaltyof$3,000foritsviolationof$ 192.745.
Accordingly, having reviewed the record and considered the assessment criteria, I assess Respondent
a total civil penalty of $9,000.
Payrnent of the civil penalty must be made within 20 days of service. Payment may be made by
sending acertified check ormoneyorder(containingthe CPFNumber forthis case) payableto "U.S.
Department ofTransportation" to theFederal Aviation Administration, MikeMonroneyAeronautical
Center, Financial Operations Division (ANIZ-120), P.O. Box 25082, Oklahoma City, OK 73125.
Federal regulations (49 C.F.R. $ 89.21(bX3) also permit this payrnent to be made by wire transfer,
throughthe Federal Reserve Communications System (Fedwire), to the account oftheU.S. Treasury.
Detailed instructions are contained in the enclosure. Questions concerning wire transfers should be
directed to: Financial Operations Division (,\NIZ-120), Federal Aviation Administration, Mike
Monroney Aeronautical Center, P.O. Box 25082, Oklahoma City, OK 73125; (405) 954-8893.
Failure to pay the $9,000 civil penalty will result in accrual of interest at the current annual rate in
accordance with 31 U.S.C. fi3717,31 C.F.R. $ 901.9 and 49 C.F.R. $ 89.23. Pursuant to those same
authorities, a late penalty charge of six percent (6%) per annum will be charged if payrnent is not
made within I I 0 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 a United States District Court.



4
COMPLLANCE ORDER
The Notice proposed a Compliance Order for violations of $$ 192.605 and 192.419 (Items I and 2,
respectively). Respondent did not contest the proposed Compliance Order. Under 49 U.S.C.
$ 601 1 8(a), each person who engages in the transportation of gas or who owns or operates a pipeline
facility is required to comply with the applicable safety standards established under Chapter 601.
Pursuant to the authority of 49 U.S.C. $ 601 l8(b) and 49 C.F.R. $ 190.217, Respondent is ordered
to take the following actions to ensure compliance with the pipeline safety regulations applicable to
its operations. Within 60 days following receipt of this Order, Respondent must:
I . With respect to the violation of $ 192.605 (Item 1), establish and follow written procedures
for operations, maintenance and emergencies for the pipeline fully meeting all requirements
of Par+" 192:
2.
With respect to the violation of $ 192.479 (Item 2), perform an atmospheric corrosion control
evaluation in accordance with the requirements of $ I 92.481 ;
J .
Within 60 days following receipt of this Order, submit documentation demonstrating that
these actions have been completed to the Director, Western Region, Ofhce of Pipeline
Safety, 12600 Colfax Avenue, Suite 4.-250, Lakewood, CO 0215.
The Regional Director may extend the period for complying with any of the required items if the
Respondent requests an extension and adequatelyjustifies the reasons for the extension.
Failure to comply with this Order may result in the assessment of civil penalties of up to S100,000
per vioiation per day, or in the referral of the case for judicial enforcement.
AMENDMENT OF PROCEDURES
The Notice alleged inadequacies in Respondent's procedures for operations, maintenance and
emergencies and proposed to require amendment of Respondent's procedures to comply with the
requirementsof49C.F.R.Partl92. RespondentdidnotcontesttheproposedNoticeofAmendment.
Accordingly, I find that Respondent's procedures are inadequate to ensure safe operation of its
pipeline system. Pursuant to 49 U.S.C. $ 60108(a) and 49 C.F.R. S 190.237, Respondent is ordered
to make the following amendments to its procedures. Within 30 days following receipt ofthis Order,
Respondent must:
l. With respect to Item 3 of the Notice, amend tlre procedures to include directions for
submitting supplemental incident reports in accordance with $ 191 . 1 5.
2. With respect to Item 4 ofthe Notice, amend the procedures to include step-by-step processes
for conductins continuins surveillance in accordance with 6 192.613.



5
3.
With respect to Item 5 of the Notice, amend the procedures for line repairs to include the
procedure(s) to be used for the permanent field repair of leaks in accordance with $ 192.717.
A
Within 30 days following receipt of this Order, submit copies of the amended procedures to
the Director. Westem Reeion, OPS.
The Regional Director may extend the period for complying with any of the required items if the
Respondent roquests an extension and adequatelyjustifies the reasons for the extension.
Failure to complywith this Amendment ofProcedures mayresult in the assessment of civil penalties
ofup to $100,000 per violation per day, or in the referral ofthe case forjudicial enforcement.
WARNINGITEMS
The Notice did not propose a civil penalty or corrective action for Item 6, failing to demonstrate that
the written manual ofprocedures for operations, maintenance, and emergencies had been reviewed
and updated in years 1999 and 2000 in accordance with $ 195.605; or Itun 7, failing to demonstrate
that rectifier R-1 was inspected in accordance with the maximum required interval in $ 192.465.
Therefore, these are considered to be warning items. Respondent is warned that if it does not take
appropriate action to corect these items, enforcement action will be taken if a subsequent inspection
reveals a violation.
Under 49 C.F.R. $ 190.215, Respondent has a right to submit a petition for reconsideration of this
Final Order. Should Respondent elect to do so, the petition must be received within 20 days of
Respondent'sreceiptofthisFinalOrderandmustcontainabriefstatementoftheissue(s). Thefiling
of a petition automatically stays the payrnent of any civil penalty assessed. All other terms of the
Order, including anyrqquired corrective action and amendment ofprocedures, remain in full effect
unless the Associate Administrator, upon request, grants a stay. The terms and conditions of this
Final Order are effective on receipt.
li0y 2 3 l]ltll
Date Issued
Associate Administrator
for Pipeline Safety

## Provenance

- Official: Yes
- Source: <https://primis.phmsa.dot.gov/enforcement-data/case/520022001>
- Source ID: `phmsa-enforcement`
- SHA-256: `ee0c09eed7d0e99b1c083561e776a6d66e95330edfa84b799159a2eac1b5168b`
- Retrieved: 2026-08-20T04:44:44.458Z
- Exported: 2026-08-24T21:52:19.371Z
- Document slug: `phmsa-enforcement-520022001`

### Source metadata

```json
{
  "cpf": "520022001",
  "operator": "VENOCO, INC",
  "region": "Western",
  "pipelineType": "GAS INTERSTATE OFFSHORE",
  "caseStatus": "CLOSED",
  "citedSections": [
    "191.15(b)",
    "192.479(b)",
    "192.481",
    "192.605(a)",
    "192.613(b)",
    "192.706",
    "192.717(b)",
    "192.739",
    "192.745"
  ],
  "dataAsOf": "08/04/2026 12PM",
  "caseDataAsOf": "2026-08-04",
  "attachmentCount": 1,
  "attachments": [
    {
      "name": "520022001_Final Order_11292004.pdf",
      "url": "https://primis.phmsa.dot.gov/enforcement-documents/520022001/520022001_Final%20Order_11292004.pdf",
      "bytes": 305068,
      "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": "VENOCO, INC"
}
```
