{"operation":"document","citation":"CPF 120165009W","title":"IMTT-PIPELINE — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2016-09-28","effective_on":null,"summary":"CLOSED warning letter citing 195.446(a), 195.446(b)(1), 195.446(b)(4), 195.446(d)(4).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-120165009w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-120165009w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-120165009w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/120165009W","body":"Warning Letter involving IMTT-PIPELINE. PHMSA's enforcement data identifies the cited regulations as 195.446(a),  195.446(b)(1),  195.446(b)(4),  195.446(d)(4). The case was opened on 2016-09-28 and is reported as closed as of 2016-09-28. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n120165009W_Warning Letter_09282016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120165009W/120165009W_Warning%20Letter_09282016.pdf\n\n120165009W_Warning Letter_09282016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120165009W/120165009W_Warning%20Letter_09282016_text.pdf\n\n120165009W_Warning Letter_09282016_text.pdf\n\nWARNING LETTER\nOVERNIGHT EXPRESS DELIVERY\nSeptember 28, 2016\nMichael Morganti, Terminal Manager\nIMTT-Pipeline\n250 East 22nd Street\nBayonne, New Jersey 07002\nCPF 1-2016-5009W\nDear Mr. Morganti:\nFrom November 4 - 8, 2013, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of 49 United States\nCode inspected IMTT-Pipeline (IMTT) Control Room Management Plan, Effective Date: July 2013\n(CRMP) and referenced IMTT Operations, Maintenance and Emergency Manual dated July 2013\n(OM&E) along with other related materials and records in Bayonne, New Jersey.\nAs a result of the inspection, it appears that you have committed probable violations of the Pipeline Safety\nRegulations, Title 49, Code of Federal Regulations. The items inspected and the probable violations are:\n1. §195.446 Control room management.\n(a) General. This section applies to each operator of a pipeline facility with a controller working\nin a control room who monitors and controls all or part of a pipeline facility through a SCADA\nsystem. Each operator must have and follow written control room management procedures that\nimplement the requirements of this section. The procedures required by this section must be\nintegrated, as appropriate, with the operator's written procedures required by § 195.402. An\noperator must develop the procedures no later than August 1, 2011, and must implement the\nprocedures according to the following schedule. The procedures required by paragraphs (b),\n(c)(5), (d)(2) and (d)(3), (f) and (g) of this section must be implemented no later than October 1,\n2011. The procedures required by paragraphs (c)(1) through (4), (d)(1), (d)(4), and (e) must be\nimplemented no later than August 1, 2012. The training procedures required by paragraph (h)\nmust be implemented no later than August 1, 2012, except that any training required by another\nparagraph of this section must be implemented no later than the deadline for that paragraph.\nIMTT failed to have its control room management procedures readily available in its control rooms as\nprescribed in §195.446(a). Pursuant to §195.446(a), the procedures required by this section must be\n\n\n\n1-2016-5009W\nintegrated, as appropriate, with the operator's written procedures, required by § 195.402. Section 195.402\nstates that the appropriate parts of the manual of written procedures for conducting normal operations and\nmaintenance activities, and handling abnormal operations and emergencies shall be kept at locations\nwhere operations and maintenance activities are conducted.\nDuring this inspection, a PHMSA inspector visited the primary control room at Bergen Point facility\n(Bergen Control Room) and the backup control room at 5th Street Terminal (5th Street Control Room) in\nBayonne, New Jersey. A controller was monitoring the pipeline from the console at the Bergen Control\nRoom.\n1. 2. The PHMSA inspector requested to look at the CRMP. IMTT did not have a hard copy of the\nCRMP at the control room.\nThe PHMSA inspector requested to view the CRMP electronically through the intranet. IMTT\nindicated that there was no service available to complete connection to its network.\nIMTT did not have a hard copy or electronically-accessible copy of the CRMP in either the Bergen\nControl Room or the 5th Street Control Room.\nAdditionally, the CRMP, Section 2. Roles and Responsibilities, Subsection 2.5 Controller Manuals states\nthat the “Controllers have access to the IMTT OM&E Manual to reference all essential operational\nprocedures and process. . . This manual is available on the console in hardcopy format and electronically\nvia intranet.” The CRMP is a different document from the OM&E. IMTT did have a hard copy of the\nOM&E at the Bergen Control Room; however, it does not address all the requirements under the control\nroom management rule prescribed in §195.446, as these items are more fully addressed under the CRMP.\n2. §195.446 Control room management.\n(a) General. This section applies to each operator of a pipeline facility with a controller working\nin a control room who monitors and controls all or part of a pipeline facility through a SCADA\nsystem. Each operator must have and follow written control room management procedures that\nimplement the requirements of this section. The procedures required by this section must be\nintegrated, as appropriate, with the operator's written procedures required by § 195.402. An\noperator must develop the procedures no later than August 1, 2011, and must implement the\nprocedures according to the following schedule. The procedures required by paragraphs (b),\n(c)(5), (d)(2) and (d)(3), (f) and (g) of this section must be implemented no later than October 1,\n2011. . .\n(b) Roles and responsibilities. Each operator must define the roles and responsibilities of a\ncontroller during normal, abnormal, and emergency operating conditions. To provide for a\ncontroller's prompt and appropriate response to operating conditions, an operator must define\neach of the following:\n(1) A controller's authority and responsibility to make decisions and take actions during normal\noperations;\nIMTT failed to follow the CRMP, Section 2 Roles and Responsibilities, Subsection 2.2 IMTT Authority\nand Responsibility in accordance with §195.446(b)(1), as prescribed in §195.446(a). Pursuant to section\n§195.446(a), each operator must have and follow written control room management procedures that\nimplement the requirements §195.446. Section 195.446(b)(1) requires operators to define a controller's\nauthority and responsibility to make decisions and take actions during normal operations.\nSubsection 2.2 IMTT Authority and Responsibility states that “IMTT prohibits anyone other than an OQ-\nqualified Controller to have access to the SCADA system and/or make any remote operational decisions.\nIn addition, the Control Room is secured to prevent unauthorized access to the SCADA system.”\nHowever, during the site visit at the Bergen Control Room, the PHMSA inspector observed that there\nwere no locks on the door, or other means to prevent unauthorized access to the control room.\n120165009W_Warning Letter_09282016 Page 2 of 6\n\n\n\n1-2016-5009W\nMoreover, the CRMP, Section Introduction, Subsection 1.5 Control Room Security states that “IMTT is\nimplementing a new SCADA system (anticipated implementation by end of 2013) that will offer\nadditional security measures, such as unique log-in IDs.” At the time of this inspection, IMTT did not\nrequire a password login for its SCADA system.\nConsequently, IMTT did not assure that only individuals qualified in control room management may\n“have access to the SCADA system and/or make any remote operational decisions” in accordance with its\nprocedures.\n3. §195.446 Control room management.\n(a) General. This section applies to each operator of a pipeline facility with a controller working\nin a control room who monitors and controls all or part of a pipeline facility through a SCADA\nsystem. Each operator must have and follow written control room management procedures that\nimplement the requirements of this section. The procedures required by this section must be\nintegrated, as appropriate, with the operator's written procedures required by § 195.402. An\noperator must develop the procedures no later than August 1, 2011, and must implement the\nprocedures according to the following schedule. The procedures required by paragraphs (b),\n(c)(5), (d)(2) and (d)(3), (f) and (g) of this section must be implemented no later than October 1,\n2011. . .\n(b) Roles and responsibilities. Each operator must define the roles and responsibilities of a\ncontroller during normal, abnormal, and emergency operating conditions. To provide for a\ncontroller's prompt and appropriate response to operating conditions, an operator must define\neach of the following:\n(1) . . .\n(4) A method of recording controller shift-changes and any hand-over of responsibility between\ncontrollers.\nIMTT failed to follow the CRMP, Section 2 Roles and Responsibilities, Subsection 2.6 IMTT Shift\nTurnover Tracking in accordance with §195.446(b)(4), as prescribed in §195.446(a). Pursuant to\n§195.446(a), each operator must have and follow written control room management procedures that\nimplement the requirements §195.446. Section 195.446(b)(4) requires operators to define a method of\nrecording controller shift-changes and any hand- over of responsibility between controllers.\nThe CRMP, Subsection 2.6. Shift Turnover Tracking refers to the Shift Change Procedure in the OM&E\nfor specific tracking requirements. IMTT provided OM&E Section 402. The Shift Change Procedure is\nlocated in the OM&E Section 402, Section 4.3. In Subsection 4.3.1 it states that the “[r]equired\ndocuments must be completed by the Controller during shift and prior to shift change. Upon completion\nof shift change, documents are stored on a secured server. These documents are maintained for a period\nof {time} (emphasis added).”\nSubsection 4.3.3.1. Outgoing Controller contains the following list of tasks for the outgoing controller:\n1. 2. 3. 4. Complete all required shift documentation as identified in Section 4.3.1.\nUpdate Shift Change Turnover Log with information on expected outages.\nAs discussion begins, date/time stamp the shift turnover form.\nDiscuss shift information and events with oncoming Controller and answer any questions that\nare posed. (emphasis added)\nHowever, IMTT was unable to produce any completed forms or documents for shift changes that are\nreferenced in its OM&E Section 402 and CRMP for 2013. The CRMP has a section for forms, but none\n120165009W_Warning Letter_09282016 Page 3 of 6\n\n\n\n1-2016-5009W\nof the forms are related to shift change. Also, IMTT did not prescribe a timeframe for maintaining the\nrecords.\nAdditionally, Subsection 4.3.2 Information Requirement states: “The Controller will document all critical\ndata and events that transpired during shift. Information to be documented includes: ….”\nIMTT did produce a log book that contains information on operational and maintenance activities, but it\ndid not show the time spent during the shift turnover or topics covered. The log book does not ensure that\nthe essential information was discussed.\nIn conclusion, IMTT could not provide the documentation that was required to be completed in\naccordance with its procedures.\n4. §195.446 Control room management.\n(a) General. This section applies to each operator of a pipeline facility with a controller working\nin a control room who monitors and controls all or part of a pipeline facility through a SCADA\nsystem. Each operator must have and follow written control room management procedures that\nimplement the requirements of this section. The procedures required by this section must be\nintegrated, as appropriate, with the operator's written procedures required by § 195.402. An\noperator must develop the procedures no later than August 1, 2011, and must implement the\nprocedures according to the following schedule. The procedures required by paragraphs (b),\n(c)(5), (d)(2) and (d)(3), (f) and (g) of this section must be implemented no later than October 1,\n2011. . .\n(d) Fatigue mitigation. Each operator must implement the following methods to reduce the risk\nassociated with controller fatigue that could inhibit a controller's ability to carry out the roles and\nresponsibilities the operator has defined:\n(1) . . .\n(4) Establish a maximum limit on controller HOS, which may provide for an emergency deviation\nfrom the maximum limit if necessary for the safe operation of a pipeline facility.\nIMTT failed to follow the CRMP, Section 4. Fatigue Management and Mitigation Program, Subsection\n4.5 Ongoing Scheduling and Shift Change Analysis in accordance with §195.446(d)(4), as prescribed in\n§195.446(a). Pursuant to §195.446(a), an operator must have and follow written control room\nmanagement procedures that implement the requirements §195.446. Section 195.446(d)(4) requires\noperators to establish a maximum limit on controller hours-of-service (HOS), which may provide for an\nemergency deviation from the maximum limit if necessary for the safe operation of a pipeline facility.\nDuring the inspection, the PHMSA inspector reviewed Section 4.5 Ongoing Scheduling and Shift Change\nAnalysis, of the July 2013 edition of the CRMP, which states that “the Fatigue Risk Manager performs\nscheduling and shift change analysis annually to identify potential areas of concern and identify\nenhancements for handling fatigue (emphasis added).” Subsequently, the PHMSA inspector requested to\nreview the prior version of the control room management procedures so the associated record would\ncorrespond. IMTT offered the control room management procedures that had an effective date of August\n1, 2011. Section 4.5 Ongoing Scheduling and Shift Change Analysis of the aforementioned procedure\nstates: “To ensure proper fatigue mitigation strategies are in place, the Fatigue Risk Manager performs\nscheduling and shift change analysis quarterly to identify potential areas of concern and identify\nenhancements for handling fatigue (emphasis added).” Since the August 1, 2011 edition of the CRMP\nwas in effect in 2012, the PHMSA inspector requested IMTT to provide records of its scheduling and\nshift change analysis for 2012. IMTT could not provide records to demonstrate that it conducted\nquarterly analyses during 2012 in accordance with its procedure.\n120165009W_Warning Letter_09282016 Page 4 of 6\n\n\n\n1-2016-5009W\n5. §195.446 Control room management.\n(a) General. This section applies to each operator of a pipeline facility with a controller working\nin a control room who monitors and controls all or part of a pipeline facility through a SCADA\nsystem. Each operator must have and follow written control room management procedures that\nimplement the requirements of this section. The procedures required by this section must be\nintegrated, as appropriate, with the operator's written procedures required by § 195.402. An\noperator must develop the procedures no later than August 1, 2011, and must implement the\nprocedures according to the following schedule. The procedures required by paragraphs (b),\n(c)(5), (d)(2) and (d)(3), (f) and (g) of this section must be implemented no later than October 1,\n2011. . .\n(d) Fatigue mitigation. Each operator must implement the following methods to reduce the risk\nassociated with controller fatigue that could inhibit a controller's ability to carry out the roles and\nresponsibilities the operator has defined: . . .\n(4) Establish a maximum limit on controller hours-of-service, which may provide for an\nemergency deviation from the maximum limit if necessary for the safe operation of a pipeline\nfacility.\nIMTT’s CRMP failed to address how many qualified controllers must be on staff to ensure safe operations\nin accordance with §195.446(d)(4), as prescribed in §195.446(a). Pursuant to §195.446(a), an operator\nmust have written control room management procedures that implement the requirements §195.446.\nSection 195.446(d)(4) requires an operator to implement a method that establishes a maximum limit on\ncontroller hours-of-service, which may provide for an emergency deviation from the maximum limit if\nnecessary for the safe operation of a pipeline facility.\nThe CRMP Section 4 Fatigue Management and Mitigation Program includes a third-party schedule\nassessment. Neither the CRMP, nor the third-party schedule assessment, contained details about the\nnumber of qualified controllers that must be on staff to avoid chronic or routine deviations from hours-of-\nservice limits and to account for holidays, sick leave, and other (non-controller) duties.\nDuring the inspection, IMTT produced a form called “Person reporting Deviation” dated 12/13/12. This\nform states that “the Control Center is currently working two full-time Controllers and one Qualified\nSupervisor to ensure continued pipeline safety.” IMTT did not include sufficient information in this form\nto ensure this amount of controllers is appropriate for its operations.\nThe PHMSA inspector requested to review the prior versions of the control room management\nprocedures. IMTT offered the PHMSA inspector the control room management procedures that had an\neffective date of August 1, 2011. Section 4 Fatigue Management and Mitigation Program, Subsection\n4.4.1 Shift Length of the aforementioned procedure states that “[d]eviation from this schedule in response\nto Emergency Situations is described in Section 10.2.1 and the external documents outlined in that section\n(emphasis added).” Subsection 10.2.1 states that the “Pipeline Supervisor documents the deviation on the\nform, gathers all supporting data associated with the deviation, and routes it through the Pipeline Manager\nfor review and approval. The Pipeline Supervisor will retain a signed copy of the form in a secured\nlocation on the intranet to be reviewed during annual CRM program review (emphasis added).” IMTT\nproduced the form called “Person reporting Deviation” dated 12/13/12. This form was not reviewed,\napproved, signed, and dated. IMTT completed, signed, and dated this form on November 3, 2013.\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $200,000 per\nviolation per day the violation persists up to a maximum of $2,000,000 for a related series of violations.\nFor violations occurring prior to January 4, 2012, the maximum penalty may not exceed $100,000 per\nWe have reviewed the circumstances and supporting documents involved in this case, and have decided\nnot to conduct additional enforcement action or penalty assessment proceedings at this time. We advise\n120165009W_Warning Letter_09282016 Page 5 of 6\n\n\n\n1-2016-5009W\nyou to correct the items identified in this letter. Failure to do so will result in IMTT being subject to\nadditional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to CPF 1-\n2016-5009W. Be advised that all material you submit in response to this enforcement action is subject to\nbeing made publicly available. If you believe that any portion of your responsive material qualifies for\nconfidential treatment under 5 U.S.C. 552(b), along with the complete original document you must\nprovide a second copy of the document with the portions you believe qualify for confidential treatment\nredacted and an explanation of why you believe the redacted information qualifies for confidential\ntreatment under 5 U.S.C. 552(b).\nSincerely,\nByron Coy, PE\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\n120165009W_Warning Letter_09282016 Page 6 of 6","truncated":false,"body_characters":19388}