{"operation":"document","citation":"CPF 120175014W","title":"BUCKEYE DEVELOPMENT & LOGISTICS, LLC — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2017-04-13","effective_on":null,"summary":"CLOSED warning letter citing 195.452(b)(5).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-120175014w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-120175014w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-120175014w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/120175014W","body":"Warning Letter involving BUCKEYE DEVELOPMENT & LOGISTICS, LLC. PHMSA's enforcement data identifies the cited regulation as 195.452(b)(5). The case was opened on 2017-04-13 and is reported as closed as of 2017-04-13. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n120175014W_Warning Letter_04132017.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120175014W/120175014W_Warning%20Letter_04132017.pdf\n\n120175014W_Warning Letter_04132017_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120175014W/120175014W_Warning%20Letter_04132017_text.pdf\n\n120175014W_Warning Letter_04132017_text.pdf\n\nWARNING LETTER\nOVERNIGHT EXPRESS DELIVERY\nApril 13, 2017\nT. Scott Collier, Vice President\nPerformance Assurance and Asset Integrity\nBuckeye Partners, L.P.\nFive TEK Park\n9999 Hamilton Boulevard\nBreinigsville, PA 18031\nCPF 1-2017-5014W\nDear Mr. Collier:\nOn August 18, 2016, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) pursuant to Chapter 601 of 49 United States Code met with Buckeye\nDevelopment & Logistics, LLC (Buckeye) personnel to discuss its integrity management (IM)\nnotification submission dated March 18, 2016 regarding its interstate liquid 10-inch pipeline from\nEl Paso, Texas to Juarez, Mexico, known as PMI-10, (IM notification #565) in Breinigsville,\nPennsylvania.\nAs a result of the meeting, it is alleged that Buckeye has committed a probable violation of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations. The item inspected and the\nprobable violation is:\n1. §195.452 Pipeline integrity management in high consequence areas.\n(a) …\n(b) What program and practices must operators use to manage pipeline integrity?\nEach operator of a pipeline covered by this section must: …\n(5) Implement and follow the program.\nBuckeye failed to follow its Integrity Management Manual, Section 10 – Continual Evaluation,\nUpdated: 4/2013 and 8/11/2016 (Procedure) (Section 10) in accordance with §195.452(b)(5).\nSpecifically, Buckeye did not reassess its pipeline PMI-10 (pipeline)within the established five-\nyear interval not to exceed 68 months as described in Section 10 as required in §195.452(f)(5).\n\n\n\nCPF 1-2017-5014W\nAccording to Buckeye’s IM notification #565, Buckeye assessed pipeline PMI-10 on\nJuly 20, 2010, and the continual reassessment was planned on a five-year interval to be completed\nbefore July 20, 2015. The IM notification #565 also stated:\nDeformation in-line inspection (ILI) tool were successfully run on\nJuly 16, 2015 and on January 21, 2016. The deformation ILI tools identified\nbore restrictions that a metal loss tool would not be to pass. These\nrestrictions have prevented a metal loss ILI tool being run to complete the\nassessment, and the reassessment interval will exceed 68 months on\nMarch 20, 2016 (emphasis added) … The dent feature is in the process of\nbeing excavated and evaluated for repair or removal and is expected to be\ncomplete by March 31, 2016 (emphasis added).\nOn April 20, 2016, Buckeye sent an e-mail to the PHMSA Information Resources Manager\nproviding the following statement: “The 4/8/2016 ILI completes the integrity assessment of the\npipeline.”\nOn August 18, 2016, a PHMSA representative met with Buckeye personnel. At the meeting\nBuckeye provided the following timeline of events that occurred prior to August 18, 2016:\n1. Buckeye had identified the following threats to the integrity of pipeline:\na. Corrosion (external-internal)\nb. Third party damage\nc. Manufacturing\n2. On July 16, 2015, Buckeye reassessed the pipeline by using a geometry pig and\nMagnetic Flux Leakage (MFL) tool. Buckeye explained that this pig run identified a\nrestriction. Buckeye assumed that magnets broke off from the ILI tool from the\nprevious assessment in 2010 and were stuck in the pipeline.\n3. On January 21, 2016:\na. Buckeye ran a magnet extractor tool to remove the magnets from the pipeline.\nb. Buckeye ran a geometry pig in the pipeline and found an immediate feature\nclassified as a top dent more than 6% which was located in a high consequence\narea.1\nOn January 22, 2016, Buckeye reduced the pressure in the pipeline and filed a safety-\nrelated condition report (SRCR) since they reduced the pressure.\n2\n4. 1 High consequence area means (1) A commercially navigable waterway, which means a waterway where a substantial likelihood\nof commercial navigation exists; (2) A high population area, which means an urbanized area, as defined and delineated by the\nCensus Bureau, that contains 50,000 or more people and has a population density of at least 1,000 people per square mile; (3) An\nother populated area, which means a place, as defined and delineated by the Census Bureau, that contains a concentrated population,\nsuch as an incorporated or unincorporated city, town, village, or other designated residential or commercial area; (4) An unusually\nsensitive area, as defined in §195.6. See 49 C.F.R. §195.450.\n2 Buckeye filed a SRCR pursuant to 49 C.F.R. 195.56 regarding a condition which caused a pressure reduction (SRCR 20160012)\n(available at\nhttps://www.phmsa.dot.gov/portal/site/PHMSA/menuitem.6f23687cf7b00b0f22e4c6962d9c8789/?vgnextoid=4bde326d1104b21\n0VgnVCM1000001ecb7898RCRD&vgnextchannel=3430fb649a2dc110VgnVCM1000009ed07898RCRD).\n120175014W_Warning Letter_04132017_text Page 2 of 4\n\n\n\nCPF 1-2017-5014W\n5. On March 31, 2016, Buckeye cutout the section of pipeline and found a magnet\nattached to the internal surface of the pipeline. Buckeye installed a replacement pipe\nand completed the repair.\n6. 7. On April 6, 2016, Buckeye ran a Geometry Pig.\nOn April 8, 2016, Buckeye ran the GEO+MFL tool. Buckeye received a final report\nfor the April 7-8, 2016 reassessment of the pipeline.\nOn August 25, 2016, the PHMSA representative sent an e-mail to Buckeye requesting records and\nprocedures from its integrity management program (IMP).\nOn October 05, 2016, Buckeye provided a timeline showing the events leading up to completing\nthe pipeline reassessment. Also, Buckeye provided Subsection 10.2.1 Periodic Continual\nEvaluations which states, “[t]his evaluation is used to determine if an integrity assessment is\nrequired prior to the end of the five-year maximum reassessment interval and if the assessment\nmethod remains appropriate to detect threats to the integrity of the segment.” Subsection 10.2.1\nPeriodic Continual Evaluations also states that “an evaluation using the form in Appendix I-2 shall\nbe completed within 18 months after completing an integrity assessment.” Buckeye provided a\ncompleted Appendix I-2 for its 2013 continual evaluation in which it established a five calendar\nyear maximum reassessment for the pipeline from El Paso, Texas to Juarez, Mexico. In addition,\nBuckeye provided its baseline and continual assessment plan showing a five-year interval\nreassessment starting from July 2010 and Subsection 10.10.1 Assessment Intervals which allows\nextending the five-year interval by 8 months if unforeseen events occur.\nBuckeye did not complete the reassessment of the pipeline in accordance with their Procedure.\n1. Per their Procedure, Buckeye applied the 8-month allowance which extended the due date\nfor the reassessment to March 19, 2016.\n2. 3. Buckeye completed the reassessment on April 8, 2016.\nThis exceeded due date by 21 days.\nTherefore, Buckeye failed to follow its Procedure.\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $205,638\nper violation per day the violation persists up to a maximum of $2,056,380 for a related series of\nviolations. For violation occurring between January 4, 2012 to August 1, 2016, the maximum\npenalty may not exceed $200,000 per violation per day, with a maximum penalty not to exceed\n$2,000,000 for a related series of violations. For violations occurring prior to January 4, 2012, the\nmaximum penalty may not exceed $100,000 per violation per day, with a maximum penalty not to\nexceed $1,000,000 for a related series of violations. We have reviewed the circumstances and\nsupporting documents involved in this case, and have decided not to conduct additional\nenforcement action or penalty assessment proceedings at this time. We advise you to correct the\nitem identified in this letter. Failure to do so will result in Buckeye being subject to additional\nenforcement action.\nNo reply to this letter is required. If you choose to reply, please address your correspondence on\nthis matter to: Robert Burrough, Acting Director, PHMSA Eastern Region, 820 Bear Tavern Road,\nSuite 103, West Trenton, NJ 08628. Please refer to CPF 1-2017-5014W in your correspondence.\n120175014W_Warning Letter_04132017_text Page 3 of 4\n\n\n\nCPF 1-2017-5014W\nBe advised that all material you submit in response to this enforcement action is subject to being\nmade 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\ntreatment redacted and an explanation of why you believe the redacted information qualifies for\nconfidential treatment under 5 U.S.C. 552(b).\nSincerely,\nRobert Burrough\nActing Director, Eastern Region\nPipeline and Hazardous Materials Safety Administration\n120175014W_Warning Letter_04132017_text Page 4 of 4","truncated":false,"body_characters":9419}