# IMTT-PIPELINE — Notice of Probable Violation

- **operation:** document
- **citation:** CPF 120185001
- **title:** IMTT-PIPELINE — Notice of Probable Violation
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2018-01-05
- **effective on:** Not available
- **summary:** CLOSED notice of probable violation citing 195.412(a).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-120185001.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-120185001.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-120185001
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/120185001
**body:**

Notice of Probable Violation involving IMTT-PIPELINE. PHMSA's enforcement data identifies the cited regulation as 195.412(a). The case was opened on 2018-01-05 and is reported as closed as of 2018-07-13. Proposed civil penalty: $19,600. Assessed civil penalty: $19,600. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

120185001_Final Order_07132018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120185001/120185001_Final%20Order_07132018.pdf

120185001_Final Order_07132018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120185001/120185001_Final%20Order_07132018_text.pdf

120185001_NOPV PCP_01052018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120185001/120185001_NOPV%20PCP_01052018.pdf

120185001_NOPV PCP_01052018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120185001/120185001_NOPV%20PCP_01052018_text.pdf

120185001_Final Order_07132018_text.pdf

July 13, 2018
Mr. James Hooke
Chief Executive Officer
Macquarie Infrastructure Corporation, LLC
125 West 55th Street
New York, NY 10019
Re: CPF No. 1-2018-5001
Dear Mr. Hooke:
Enclosed please find the Final Order issued in the above-referenced case to your subsidiary,
International-Matex Tank Terminals, LLC. It makes a finding of violation and assesses a civil
penalty of $19,600. This is to acknowledge receipt of payment of the full penalty amount, by
wire transfer dated February 20, 2018. This enforcement action is now closed. Service of the
Final Order by certified mail is effective as provided under 49 C.F.R. § 190.5.
Thank you for your cooperation in this matter.
Sincerely,
Alan K. Mayberry
Associate Administrator
for Pipeline Safety
Enclosure
cc: Mr. Robert Burrough, Director, Eastern Region, Office of Pipeline Safety, PHMSA
Mr. Richard Jurisich, Jr., General Counsel, International-Matex Tank Terminals, LLC,
321 St. Charles Ave, New Orleans, LA 70130
CERTIFIED MAIL - RETURN RECEIPT REQUESTED



U.S. DEPARTMENT OF TRANSPORTATION
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON, D.C. 20590
__________________________________________
)
In the Matter of )
)
International-Matex Tank Terminals, LLC, ) CPF No. 1-2018-5001
a subsidiary of Macquarie Infrastructure )
Corporation, LLC, )
)
Respondent. )
__________________________________________)
FINAL ORDER
From June 19 through 20, 2017, pursuant to 49 U.S.C. § 60117, a representative of the Pipeline
and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS),
conducted an on-site pipeline safety inspection of the facilities and records of International-
Matex Tank Terminals, LLC (IMTT or Respondent), a subsidiary of Macquarie Infrastructure
Corporation, LLC, in Staten Island, New York. The IMTT Pipeline is a 10-mile-long pipeline
that transports refined and petroleum products in New Jersey and New York.1
As a result of the inspection, the Director, Eastern Region, OPS (Director), issued to Respondent,
by letter dated January 5, 2018, a Notice of Probable Violation and Proposed Civil Penalty
(Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that IMTT had
violated 49 C.F.R. § 195.412 and proposed assessing a civil penalty of $19,600 for the alleged
violation.
After requesting and receiving an extension of time to respond, IMTT did not further respond
and paid the proposed civil penalty of $19,600. The company did not contest the allegation of
violation or request a hearing. In accordance with 49 C.F.R. § 190.208(a)(1), such payment
authorizes the Associate Administrator to make a finding of violation and to issue this final
order.
FINDING OF VIOLATION
Respondent did not contest the allegation in the Notice that it violated 49 C.F.R. Part 195, as
follows:
1 See IMTT’s website, http://www.imttpipeline.com/#p=home (last accessed May 3, 2018).



CPF No. 1-2018-5001
Page 2
Item 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.412(a), which states:
§ 195.412 Inspection of rights-of-way and crossings under navigable
waters.
(a) Each operator shall, at intervals not exceeding 3 weeks, but at least
26 times each calendar year, inspect the surface conditions on or adjacent
to each pipeline right-of-way. Methods of inspection include walking,
driving, flying or other appropriate means of traversing the right-of-way.
The Notice alleged that IMTT violated 49 C.F.R. § 195.412(a) by failing to inspect the surface
conditions on or adjacent to each pipeline right-of-way at intervals not exceeding three weeks,
but at least 26 times each calendar year. Specifically, the Notice alleged that IMTT did not
perform timely inspections on its 12-inch IMTT Pipeline three times during the calendar year
2016. IMTT’s records allegedly showed that the company performed only 23 right-of-way
inspections during 2016, indicating that three inspections had not been performed.
Respondent did not contest this allegation of violation. Accordingly, based upon a review of all
of the evidence, I find that IMTT violated 49 C.F.R. § 195.412(a) by failing to inspect the
surface conditions on or adjacent to each pipeline right-of-way at intervals not exceeding three
weeks, but at least 26 times each calendar year.
This finding of violation will be considered a prior offense in any subsequent enforcement action
taken against Respondent
ASSESSMENT OF PENALTY
Under 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed
$200,000 per violation for each day of the violation, up to a maximum of $2,000,000 for any
related series of violations.2 In determining the amount of a civil penalty under 49 U.S.C.
§ 60122 and 49 C.F.R. § 190.225, I must consider the following criteria: the nature,
circumstances, and gravity of the violation, including adverse impact on the environment; the
degree of Respondent’s culpability; the history of Respondent’s prior offenses; and any effect
that the penalty may have on its ability to continue doing business; and the good faith of
Respondent in attempting to comply with the pipeline safety regulations. In addition, I may
consider the economic benefit gained from the violation without any reduction because of
subsequent damages, and such other matters as justice may require. The Notice proposed a total
civil penalty of $19,600 for the violation cited above.
Item 1: The Notice proposed a civil penalty of $19,600 for Respondent’s violation of 49 C.F.R.
§ 195.412(a), for failing to inspect the surface conditions on or adjacent to each pipeline right-of-
way at intervals not exceeding three weeks, but at least 26 times each calendar year. IMTT
neither contested the allegation nor presented any evidence or argument justifying a reduction in
2 These amounts are adjusted annually for inflation. See, e.g., Pipeline Safety: Inflation Adjustment of Maximum
Civil Penalties, 82 Fed. Reg. 19325 (April 27, 2017).



CPF No. 1-2018-5001
Page 3
the proposed penalty. Accordingly, having reviewed the record and considered the assessment
criteria, I assess IMTT a civil penalty of $19,600 for violation of 49 C.F.R. § 195.412(a), which
was paid in full by Respondent on February 20, 2018.
The terms and conditions of this Final Order are effective upon service in accordance with
49 C.F.R. § 190.5.
July 13, 2018
___________________________________ __________________________
Alan K. Mayberry Date Issued
Associate Administrator
for Pipeline Safety
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