{"operation":"document","citation":"CPF 120195012S","title":"BUCKEYE PARTNERS, LP — Safety Order","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-12-05","effective_on":null,"summary":"CLOSED safety order.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-120195012s.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-120195012s.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-120195012s","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/120195012S","body":"Safety Order involving BUCKEYE PARTNERS, LP. The dataset does not identify a cited regulation for this case. The case was opened on 2019-12-05 and is reported as closed as of 2021-05-28. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n120195012S_Closure Letter_05282021_(19-168035S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Closure%20Letter_05282021_(19-168035S).pdf\n\n120195012S_Closure Letter_05282021_(19-168035S)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Closure%20Letter_05282021_(19-168035S)_text.pdf\n\n120195012S_Consent Agreement and Order_04272020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Consent%20Agreement%20and%20Order_04272020.pdf\n\n120195012S_Consent Agreement and Order_04272020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Consent%20Agreement%20and%20Order_04272020_text.pdf\n\n120195012S_Notice of Proposed Safety Order_12052019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Notice%20of%20Proposed%20Safety%20Order_12052019.pdf\n\n120195012S_Notice of Proposed Safety Order_12052019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120195012S/120195012S_Notice%20of%20Proposed%20Safety%20Order_12052019_text.pdf\n\n120195012S_Consent Agreement and Order_04272020_text.pdf\n\nApril 27, 2020\nVIA ELECTRONIC MAIL TO: ccsmith@buckeye.com\nMr. Clark C. Smith\nPresident and Chief Executive Officer\nBuckeye Partners, LP\n1 Greenway Plaza, Suite 600\nHouston, Texas 77046\nCPF No. CPF 1-2019-5012S\nDear Mr. Smith:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement between\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA) and Buckeye Partners, LP,\nwhich was executed on April 27, 2020. Service of the Consent Order and Consent Agreement by\nelectronic mail is deemed effective upon the date of transmission as provided under 49 C.F.R.\n§ 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nAlan K. Mayberry\nAssociate Administrator\nfor Pipeline Safety\nEnclosure: Order and Consent Agreement\ncc: Mr. Robert Burrough, Director, Eastern Region, Office of Pipeline Safety, PHMSA\nMs. Linda Daugherty, Deputy Associate Administrator for Field Operations, PHMSA\nMr. Carl Ostach, Vice President, Domestic Operations, Buckeye Partners, LP,\ncostach@buckeye.com\nMr. Patrick Monaghan, Associate General Counsel and Chief Compliance Officer,\nBuckeye Partners, LP, pmonaghan@buckeye.com\nMs. Claudia Pankowski, Director of Regulatory Compliance, Buckeye Partners, LP,\ncpankowski@buckeye.com\nCONFIRMATION OF RECEIPT REQUESTED\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\nIn the Matter of )\nBuckeye Partners, LP, ) CPF No. 1-2019-5012S\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT ORDER\nBy letter dated December 5, 2019, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), Office of Pipeline Safety, issued a Notice of Proposed Safety Order (Notice) to\nBuckeye Partners, LP (Respondent).\nIn accordance with 49 C.F.R. § 190.239, the Notice alleged that conditions exist on\nRespondent’s MU720DT (Line 720) pipeline near Marklesburg, Pennsylvania, that pose a\npipeline integrity risk to public safety, property, or the environment. The Notice proposed that\nRespondent take certain corrective measures to remedy the alleged conditions and ensure that the\npublic, property, and the environment are protected from the potential risk.\nIn response to the Notice, Respondent requested an informal consultation, whereupon the parties\nengaged in good-faith settlement discussions that have resulted in the Consent Agreement\nattached to this Consent Order that settles all of the allegations in the Notice.\nAccordingly, the Consent Agreement is hereby approved and incorporated by reference into this\nConsent Order. The Respondent is hereby ordered to comply with the terms of the Consent\nAgreement, effective immediately.\nPursuant to 49 U.S.C. 60101, et seq., failure to comply with this Consent Order may result in the\nassessment of civil penalties of up to $200,000, as adjusted for inflation (see 49 C.F.R.\n§ 190.223), for each violation for each day the violation continues or in referral to the Attorney\nGeneral for appropriate relief in a district court of the United States.\nThe terms and conditions of this Consent Order are effective upon service in accordance with\n49 C.F.R. § 190.5.\nApril 27, 2020\nAlan K. Mayberry Date\nAssociate Administrator\nfor Pipeline Safety\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\n)\nIn the Matter of )\n)\nBuckeye Partners, LP, ) CPF No. 1-2019-5012S\n)\nRespondent. )\n)\nCONSENT AGREEMENT\nOn December 5, 2019, pursuant to 49 C.F.R. § 190.239, the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), Office of Pipeline Safety (OPS or Agency), issued a Notice of\nProposed Safety Order (Notice) to Buckeye Partners, LP (Buckeye or Respondent). The Notice\nalleged that conditions existed on Respondent’s MU720DT (Line 720) pipeline near Marklesburg,\nPennsylvania, that posed a pipeline integrity risk to public safety, property, or the environment.\nSpecifically, the Notice alleged that PHMSA had initiated an investigation and information review\nof Line 720 following notification from the National Response Center (NRC) on November 18,\n2019, that Line 720 had experienced a release of approximately 650 barrels of gasoline near\nMarklesburg, Pennsylvania. The Notice did not cite a cause of the accident but noted that the\ncompany had submitted a safety-related condition report to PHMSA several months earlier,\nidentifying 33 features meeting Buckeye’s “immediate repair condition” criteria and that the\nfailure had occurred at the site of a recent repair. The Notice also proposed that Respondent take\ncertain corrective measures to remedy the alleged conditions and ensure that the public, property,\nand the environment are protected from the potential risk.\nOn December 13, 2019, Buckeye responded to the Notice by timely submitting a written response\nand a request for an informal consultation under 49 C.F.R. § 190.239(b)(2). An informal\nconsultation was held on February 20, 2020, at PHMSA’s Eastern Region Office in West Trenton,\nNew Jersey.\nAs a result of the informal consultation, PHMSA and Buckeye (collectively, Parties) agreed that\nsettlement of this proceeding would avoid further administrative proceedings or litigation of the\nNotice and that entry into this Consent Agreement (Agreement) would be the most appropriate\nmeans of resolving the issues raised in the Notice and would generally be in the public interest.\nTherefore, pursuant to 49 C.F.R. Part 190, without adjudication of any issue of fact or law, and\nupon consent and agreement of Buckeye and PHMSA, the Parties agree as follows:\n\n\n\nCPF 1-2019-5012S\nPage 2\nI. General Provisions\n1. Respondent acknowledges that as the operator of Line 720, Buckeye and its Line 720\nare subject to the jurisdiction of the Federal pipeline safety laws, 49 U.S.C. § 60101,\net seq., and the regulations and administrative orders issued thereunder. For purposes\nof this Agreement, Respondent acknowledges that it received proper notice of\nPHMSA’s action in this proceeding and that the Notice states claims upon which\nrelief may be granted pursuant to 49 U.S.C. § 60101, et seq., and the regulations and\norders issued thereunder. Line 720 is a 20-inch diameter line which transports refined\nliquid petroleum products and runs approximately 77 miles from Mechanicsburg,\nPennsylvania, to Duncansville, Pennsylvania. The line is part of a 175-mile pipeline\nsystem running from Reading, Pennsylvania, to Altoona, Pennsylvania. The\n“Affected Segment” of Line 720 is defined in Paragraph 12 of this Agreement.\n2. Respondent agrees, for purposes of this Agreement, to address the integrity risks\nidentified in the Notice by completing the actions specified in Section II of this\nAgreement (Corrective Measures) and to abide by the terms of this Agreement. This\nAgreement does not constitute a finding of violation of any Federal law or regulation\nand may not be used in any civil or administrative proceeding of any kind as evidence\nor proof of any fact, fault or liability, or as evidence of the violation of any law, rule,\nregulation or requirement, except in a proceeding to enforce the provisions of this\nAgreement.\n3. After Respondent returns this signed Agreement to PHMSA, the Agency’s\nrepresentative will present it to the Associate Administrator for Pipeline Safety,\nrecommending that the Associate Administrator adopt the terms of this Agreement by\nissuing an administrative order (Consent Order) incorporating the terms of this\nAgreement. The terms of this Agreement constitute an offer of settlement until\naccepted by the Associate Administrator. Once accepted, the Associate Administrator\nwill issue a Consent Order incorporating the terms of this Agreement.\n4. Respondent consents to the issuance of the Consent Order incorporating this Consent\nAgreement, and hereby waives any further procedural requirements with respect to\ntheir issuance. Respondent waives all rights to contest the adequacy of notice, or the\nvalidity of the Consent Order or this Agreement, including all rights to administrative\nor judicial hearings or appeals, except as set forth herein.\n5. This Agreement will apply to and be binding upon PHMSA, and upon Buckeye, its\nofficers, directors, and employees, and its successors, assigns, or other entities or\npersons otherwise bound by law. Respondent agrees to provide a copy of this\nAgreement and any incorporated work plans and schedules to all of Buckeye’s officers,\nemployees, and agents whose duties might reasonably include compliance with this\nAgreement.\n6. For any transfer of ownership or operating responsibility of Buckeye’s Line 720,\nRespondent will provide a copy of this Agreement to the prospective transferee at least\n\n\n\nCPF 1-2019-5012S\nPage 3\n30 days prior to such transfer and provide written notice of the transfer within 30 days\nto the PHMSA Eastern Region Director (Director) who issued the Notice.\n7. This Agreement constitutes the final, complete and exclusive agreement and\nunderstanding between the Parties with respect to the settlement embodied in this\nAgreement. The Parties acknowledge that there are no representations, agreements or\nunderstandings relating to settlement other than those expressly contained in this\nAgreement, except that the terms of this Agreement may be construed by reference to\nthe Notice.\n8. Nothing in this Agreement affects or relieves Respondent of its responsibility to\ncomply with all applicable requirements of the Federal pipeline safety laws, 49 U.S.C.\n§ 60101, et seq., and the regulations and orders issued thereunder. Nothing in this\nAgreement alters PHMSA's right of access, entry, inspection, and information\ngathering or PHMSA’s authority to bring enforcement actions against Buckeye\npursuant to the Federal pipeline safety laws, the regulations and orders issued\nthereunder, or any other provision of Federal or State law.\n9. This Agreement does not waive or modify any Federal, State, or local laws or\nregulations that are applicable to Respondent’s pipeline systems. This Agreement is\nnot a permit, nor a modification of any permit, under any Federal, State, or local laws\nor regulations. Buckeye remains responsible for achieving and maintaining\ncompliance with all applicable Federal, State, and local laws, regulations and permits.\n10. This Agreement does not create rights in, or grant any cause of action to, any third party\nnot party to this Agreement. The U.S. Department of Transportation is not liable for\nany injuries or damages to persons or property arising from acts or omissions of\nRespondent or its officers, employees, or agents carrying out the work required by this\nAgreement. Buckeye agrees to hold harmless the U.S. Department of Transportation,\nits officers, employees, agents, and representatives from any and all causes of action\narising from any acts or omissions of Buckeye or its contractors in carrying out any\nwork required by this Agreement.\n11. Upon issuance of the Consent Order, Buckeye agrees to perform the Corrective\nMeasures set forth below.\n12. Definitions\nA. The “Affected Segment” means the approximately 77 miles of Buckeye’s 20-\ninch Line 720 pipeline running from the upstream Mechanicsburg Pump Station\n(Mile Post 107.4) near Mechanicsburg in Cumberland County, Pennsylvania,\nthrough the downstream Duncansville Pump Station (MP 184.7) near\nDuncansville in Blair County, Pennsylvania. The “Affected Segment” generally\nruns westerly through portions of Cumberland, Perry, Juniata, Huntingdon, and\nBlair Counties in Pennsylvania.\n\n\n\nCPF 1-2019-5012S\nPage 4\nB. The “Director” means the Director, Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), Office of Pipeline Safety, Eastern Region. The\nDirector’s address is 840 Bear Tavern Road, Suite 300, West Trenton, New\nJersey 08628.\nC. The “Failure” means the release of approximately 650 barrels of gasoline that\noccurred on Buckeye’s 20-inch Line 720, which the NRC reported to PHMSA\non November 18, 2019.\nII. Corrective Measures\nBuckeye agrees to take the following corrective measures to address the Preliminary\nFindings and Proposed Corrective Actions set forth in the Notice, as follows:\n1. 2. 3. 4. Pressure Reduction. Buckeye shall maintain the existing operating-pressure reduction\nfor the Affected Segment that was initiated at the time of its filing the August 23, 2019\nsafety-related condition report with PHMSA. This pressure reduction is based on 80%\nof the maximum pressure experienced in the 60 days prior to the in-line inspection (ILI)\ntool trap date from Line 720’s July 12, 2019 assessment.\nRemoval of Pressure Restriction. The Director may allow the removal or modification\nof the pressure restriction upon a written request from Respondent demonstrating that\nrestoring the pipeline to its normal operating pressure is justified based on a reliable\nengineering analysis showing that the pressure increase is safe, considering all known\ndefects, anomalies, and operating parameters of the pipeline. The Director may also\nconsider a demonstration that temporary mitigative and preventive measures are\nimplemented prior to and during the temporary removal or modification of the pressure\nrestriction. The Director's determination will be based on the determined cause of the\nFailure and evidence of the analyses and measures taken.\nReview of Affected Segment. Buckeye must review and inspect the Affected Segment\nfor conditions similar to those of the Failure or other Buckeye-determined immediate\nconditions it discovers, including a review of operating and maintenance and integrity\nmanagement records, such as, but not limited to, ILI results, hydrostatic tests, a root\ncause failure analysis (RCFA) of the Failure, aerial and ground patrols, excavations,\nand pipe replacements. Respondent must address any findings that require remedial\nmeasures to be implemented within 30 days of discovery.\nMetallurgical Testing. In accordance with the Notice, on March 30, 2020, Respondent\ndelivered to the Director a metallurgical testing report on the pipe joint that failed,\nentitled Metallurgical Analysis of Leak at Girth Weld on 20-Inch Diameter 720L,\nprepared by DVN-GL and dated March 27, 2020 (Metallurgical Report). Prior to\nfinalization of the Metallurgical Report, Respondent asked DVN-GL to simultaneously\nprovide a draft of the report, dated February 4, 2020, to PHMSA. Respondent\nmaintained chain-of-custody documentation for transporting the pipe to the DVN-GL\nlaboratory, and the metallurgical analysis followed established testing protocols.\n\n\n\nCPF 1-2019-5012S\nPage 5\n5. 6. Additionally, arrangements were made to provide PHMSA with the opportunity for a\nPHMSA representative to observe the metallurgical testing.\nRoot Cause Failure Analysis. Within 90 days following receipt of this Agreement and\nOrder, Buckeye must complete a RCFA and submit a final report of this RCFA to the\nDirector. The RCFA must be supplemented and facilitated by an independent third\nparty with prior written approval of the Director, and must document the decision-\nmaking process used in the analysis and all factors contributing to the Failure. The\nfinal report must include findings, any lessons learned, and whether the findings and\nlessons learned are applicable to other locations within Buckeye’s pipeline system.\nRemedial Work Plan. Within 90 days following receipt of this Agreement and Order,\nBuckeye must submit a Remedial Work Plan (RWP) to the Director for approval. The\nDirector may approve the RWP incrementally without approving the entire RWP.\nBuckeye must revise the RWP as necessary to incorporate new information obtained\nduring the Failure investigation and remedial activities, to incorporate the results of\nactions undertaken pursuant to this Agreement, and to incorporate modifications\nrequired by the Director. Buckeye must submit any such plan revisions to the Director\nfor prior approval. The Director may approve plan revisions incrementally. Once\napproved by the Director, the RWP, and any revisions, will be incorporated by\nreference into this Agreement. Buckeye must implement the RWP as approved by the\nDirector, including any revisions to the plan. The RWP must:\nA. Specify the tests, inspections, assessments, evaluations, and remedial measures\nBuckeye will use to verify the integrity of the Affected Segment. It must\naddress all known or suspected factors and causes of the Failure. Buckeye\nshould consider both the risk and potential consequence of another failure to\ndevelop a prioritized schedule for RWP-related work along the Affected\nSegment.\nB. Include a procedure or process to identify pipe in the Affected Segment with\ncharacteristics similar to the contributing factors identified for the Failure.\nC. Include a procedure or process to gather all data necessary to review the failure\nhistory (in service and pressure test failures) of the Affected Segment and to\nprepare a written report containing all the available information such as the\nlocations, dates, and causes of leaks and failures.\nD. Include a procedure or process to integrate the results of the metallurgical\ntesting, RCFA, and other corrective actions required by this Agreement with all\nrelevant pre-existing operational and assessment data for the Affected Segment.\nPre-existing operational data includes, but is not limited to, construction,\noperations, maintenance, testing, repairs, prior metallurgical analyses, and any\nthird-party consultation information. Pre-existing assessment data includes, but\nis not limited to, ILI tool runs, hydrostatic pressure testing, direct assessments,\nclose interval surveys, and DCVG/ACVG surveys.\n\n\n\nCPF 1-2019-5012S\nPage 6\nE. Include a procedure or process to determine if conditions similar to those\ncontributing to the Failure are likely to exist elsewhere on the Affected\nSegment.\nF. Based on the results of the like and similar condition review, Buckeye shall:\ni. Develop excavation prioritization criteria and perform inspections;\nii. Add the Affected Segment to the Buckeye Integrity Management Plan\nPipeline Supplemental Field Inspections protocol and commit to\nmanage the issue within its integrity management plan; and\niii. Evaluate the benefit of including inertial mapping unit tools to assist\nwith strain measurements.\nG. Include a procedure or process to conduct additional field tests, inspections,\nassessments, and/or evaluations to determine whether, and to what extent, the\nconditions associated with the Failure or any other integrity threats are present\nelsewhere on the Affected Segment. At a minimum, this process must consider\nall failure causes and specify the use of one or more of the following:\ni. ILI tools that are technically appropriate for assessing the pipeline\nsystem based on the cause of the Failure, and that can reliably detect\nand identify anomalies;\nii. Hydrostatic pressure testing;\niii. Close-interval surveys;\niv. Cathodic protection surveys, to include interference surveys in\ncoordination with other utilities (e.g. underground utilities, overhead\npower lines, etc.) in the area;\nv. Coating surveys;\nvi. Stress corrosion cracking surveys;\nvii. Selective seam corrosion surveys; and,\nviii. Other tests, inspections, assessments, and evaluations appropriate for\nthe Failure causes.\nNote: Buckeye may use the results of previous tests, inspections, assessments, and evaluations if\napproved by the Director, provided the results of the tests, inspections, assessments, and\nevaluations are analyzed with regard to the factors known or suspected to have caused the Failure.\n\n\n\nCPF 1-2019-5012S\nPage 7\nH. Describe the inspection and repair criteria Buckeye will use to prioritize,\nexcavate, evaluate, and repair anomalies, imperfections, and other identified\nintegrity threats. Include a description of how any defects will be graded and a\nschedule for repairs or replacement.\nI. Based on the known history and condition of the Affected Segment, describe\nthe methods Buckeye will use to repair, replace, or take other corrective\nmeasures to remediate the conditions associated with the Failure, and to address\nother known integrity threats along the Affected Segment. The repair,\nreplacement, or other corrective measures must meet the criteria specified in\nparagraph H, above.\nJ. Include a procedure or process to implement continuing long-term periodic\ntesting and integrity verification measures to ensure the ongoing safe operation\nof the Affected Segment, considering the results of the analyses, inspections,\nevaluations, and corrective measures undertaken pursuant to this Agreement.\nK. Include a proposed schedule for completion of the RWP.\n7. Schedule. The RWP must include a proposed timeline for completion of Corrective\nMeasures required in Paragraph 18.\n8. Documentation. Respondent will retain on file documentation of compliance with the\nRWP. Respondent will provide copies of such documentation to the Director upon\nwritten request.\n9. Monthly Reports. Buckeye must submit monthly reports to the Director that: (1)\ninclude analyses of all available data and results of the testing and evaluations required\nby this Agreement; (2) describe the progress of repairs and other remedial actions being\nundertaken; and (3) document all mandated actions and management of change plans\nto ensure that all procedural modifications are incorporated into Buckeye’s operations\nand maintenance procedures manual. The first report will be due 30 days from issuance\nof the Order.\n10. Consent Agreement Documentation Report (CADR). When Buckeye has completed\nall the items in this Agreement it will submit a final CADR in its entirety to the Director.\nThis will allow the Director to conduct a thorough review of all actions taken by\nBuckeye with regards to this Agreement prior to approving the closure of this\nAgreement. The intent is for the CADR to summarize all activities and documentation\nassociated with this Agreement in one document.\nA. The Director may approve the CADR incrementally without approving the\nentire CADR.\nB. The CADR must include but is not limited to:\n\n\n\nCPF 1-2019-5012S\nPage 8\ni. Table of Contents;\nii. Summary of the Failure, and the response activities;\niii. Summary of pipe data/properties and all prior assessments of the\nAffected Segment;\niv. Summary of all tests, inspections, assessments, evaluations, and\nanalysis required by this Agreement;\nv. Summary of the mechanical and metallurgical testing as required by this\nAgreement;\nvi. Summary of the RCFA with all root causes as required by this\nAgreement;\nvii. Documentation of all actions taken by Buckeye to implement the RWP,\nthe results of those actions, and the inspection and repair criteria used;\nviii. Documentation of any revisions to the RWP including those necessary\nto incorporate the results of actions undertaken pursuant to this\nAgreement and whenever necessary to incorporate new information\nobtained during the Failure investigation and remedial activities;\nix. Lessons learned while completing this Agreement;\nx. A path forward describing specific actions Buckeye will take on its\nentire pipeline system as a result of the lessons learned from work on\nthis Agreement; and\nxi. Appendices (if required).\n11. Extensions of Time. The Director may grant an extension of time for compliance with\nany of the terms of this Agreement upon a written request timely submitted\ndemonstrating good cause for an extension. The Director will respond in writing to\nany such request.\n12. Documentation of Costs. It is requested (not mandated) that Respondent maintain\ndocumentation of the safety improvement costs associated with fulfilling this\nAgreement and submit the total to the Director, Eastern Region, Pipeline and\nHazardous Materials Safety Administration. It is requested that these costs be reported\nin two categories: 1) total cost associated with preparation/revision of plans,\nprocedures, studies and analyses; and 2) total cost associated with replacements,\nadditions and other changes to pipeline infrastructure.\nIII. Review and Approval Process\n\n\n\nCPF 1-2019-5012S\nPage 9\n1. With respect to any submission under Section II (Corrective Measures) of this\nAgreement that requires the approval of the Director, the Director may: (a) approve, in\nwhole or in part, the submission; (b) approve the submission on specified, reasonable\nconditions; (c) disapprove, in whole or in part, the submission; or (d) any combination\nof the foregoing. If the Director approves, approves in part, or approves with\nconditions, Buckeye will take all action as approved by the Director, subject to\nRespondent’s right to invoke the dispute resolution procedures with respect to any\nconditions the Director identifies. If the Director disapproves all or any portion of the\nsubmission, the Director will provide Buckeye with a written notice of the deficiencies.\nRespondent will correct all deficiencies within the time specified by the Director and\nresubmit it for approval.\nIV. Dispute Resolution\n1. The Director and Buckeye will informally attempt to resolve any disputes arising under\nthis Agreement. If Respondent and the Director are unable to informally resolve the\ndispute within 15 business days, Respondent may request in writing, within 10 days, a\nwritten determination resolving the dispute from the Associate Administrator for\nPipeline Safety, PHMSA. Along with its request, Respondent will provide all\ninformation that Respondent reasonably believes is relevant to the dispute. If the\nrequest is submitted as provided herein, the Associate Administrator will issue a written\ndetermination that shall constitute final agency action. The existence of a dispute and\nPHMSA’s consideration of matters placed in dispute shall not excuse, toll, or suspend\nany term or timeframe for completion of any work to be performed under this\nAgreement during pendency of the dispute resolution process, except as agreed by the\nDirector or the Associate Administrator in writing.\nV. Enforcement\n1. This Agreement, as adopted by the Consent Order, is subject to all enforcement\nauthorities available to the PHMSA under 49 U.S.C. § 60101, et seq., and 49 C.F.R.\nPart 190. All work plans and associated schedules set forth or referenced in Section II\nwill be automatically incorporated into this Agreement and are enforceable in the same\nmanner.\nVI. Recordkeeping and Information Disclosure\n1. Unless otherwise required in this Agreement, Buckeye agrees to maintain records\ndemonstrating compliance with all requirements of this Agreement for a period of at\nleast five years following completion of all work to be performed. For any reports,\nplans, or other deliverables required to be submitted to PHMSA pursuant to this\nAgreement, Respondent may assert a claim of business confidentiality or other\nprotections applicable to the release of information by PHMSA, covering part or all of\nthe information required to be submitted to PHMSA pursuant to this Agreement in\naccordance with 49 C.F.R. Part 7. Respondent must mark the claim of confidentiality\nin writing on each page, and include a statement specifying the grounds for each claim\n\n\n\nCPF 1-2019-5012S\nPage 10\nof confidentially. PHMSA will determine the release of any information submitted\npursuant to this Agreement in accordance with 49 C.F.R. Part 7, the Freedom of\nInformation Act, 5 U.S.C. § 552, DOT and PHMSA policies, and other applicable\nregulations and Executive Orders.\nVII. Effective Date\n1. The term “Effective Date,” as used herein, is the date on which the Consent Order is\nissued by the Associate Administrator incorporating the terms of this Agreement.\nUnless specified to the contrary, all deadlines for actions required by this Agreement\nrun from the Effective Date of the Consent Order.\nVIII. Modification\n1. The terms of this Agreement may be modified by mutual agreement of the Parties.\nSuch modifications must be in writing and signed by both parties.\nIX. Termination\n1. This Agreement and Order terminates upon completion of the Corrective Measures and\nother actions within Section II, as determined by the Director. Buckeye may request\nwritten confirmation from PHMSA when this Agreement and Order are terminated and\nthe Director will provide such confirmation within a reasonable time. Nothing in this\nAgreement prevents Respondent from completing any of the obligations earlier than\nthe deadlines provided for in this Agreement.\nX. Ratification\n1. 2. The Parties’ undersigned representatives certify that they are fully authorized to enter\ninto the terms and conditions of this Agreement and to execute and legally bind such\nparty to this document.\nThe Parties hereby agree to all conditions and terms of this Agreement.\nFor Buckeye Partners, LP (Respondent):\nApril 21, 2020\n_________________________________ ____________________________\nClark C. Smith Date\nPresident and CEO\nBuckeye Partners, LP\nFor PHMSA:\n\n\n\nCPF 1-2019-5012S\nPage 11\nApril 27, 2020\n___________________________________ ___________________________\nAlan K. Mayberry Date\nAssociate Administrator for Pipeline Safety\nPipeline and Hazardous Materials Safety\nAdministration\nU.S. Department of Transportation\n\n120195012S_Notice of Proposed Safety Order_12052019_text.pdf\n\nOVERNIGHT EXPRESS DELIVERY\nDecember 5, 2019\nMr. Carl Ostach\nVP, Domestic Operations\nBuckeye Partners, LP\n9999 Hamilton Blvd, Suite 260\nBreinigsville, PA 18031\nCPF 1-2019-5012S\nDear Mr. Ostach:\nEnclosed is a Notice of Proposed Safety Order (Notice) issued by the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA) in the above-referenced case. The Notice proposes that\nyou take certain measures with respect to Buckeye Partners, LP’s (Buckeye) MU720DT (Line\n720) pipeline near Marklesburg, PA. Your options for responding are set forth in the Notice. Your\nreceipt of the Notice constitutes service of that document under § 190.5.\nWe look forward to a successful resolution to ensure pipeline safety. Please direct any questions\non this matter to me at 609-771-7809.\nThank you for your cooperation in this matter.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Notice of Proposed Safety Order\nCopy of 49 C.F.R. § 190.239\ncc: Ms. Linda Daugherty, Deputy Associate Administrator for Field Operations, PHMSA\nMr. Robert A Malecky, President, Domestic Pipelines and Terminals, Buckeye Partners,\nLP; 9999 Hamilton Blvd, Suite 260 Breinigsville, PA 18031\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n_________________________________________ )\nIn the Matter of )\nBuckeye Partners, LP, )\na subsidiary of IFM Investors, ) CPF No. 1-2019-5012S\n)\n)\n)\nRespondent. )\n_________________________________________ )\nNOTICE OF PROPOSED SAFETY ORDER\nBackground and Purpose:\nPursuant to Chapter 601 of Title 49, United States Code, the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), U.S. Department of Transportation, has initiated an\ninvestigation and information review of the safety of Buckeye Partners, LP’s (Buckeye) 20-inch\nMU720DT (Line 720) hazardous liquids pipeline system.\nThe investigation was prompted after PHMSA was notified on November 18, 2019, by the\nNational Response Center of a reportable accident that occurred on Buckeye’s 20-inch Line 720\npipeline, which resulted in the release of approximately 650 barrels (bbl) of gasoline (the Failure).\nThe Failure occurred in a remote location and there were no reported injuries, fatalities or\nevacuations and no product ignition occurred. The cause of the Failure has not yet been\ndetermined.\nAs a result of the preliminary investigation, it appears conditions exist on your pipeline system\nthat pose an integrity risk to public safety, property, or the environment. Pursuant to 49 U.S.C. §\n60117(l), PHMSA, Office of Pipeline Safety (OPS), issues this Notice of Proposed Safety Order\n(Notice), notifying you of the preliminary findings of the investigation, and proposing that you\ntake certain measures to ensure that the public, property, and the environment are protected from\nthis integrity risk.\nFor the purposes of this Notice:\nPage 2 of 12\n\n\n\n“Affected Segment” means the approximately 77 miles of Buckeye’s 20-inch Line 720 pipeline\nfrom the upstream Mechanicsburg Pump Station (Mile Post 107.4) near Mechanicsburg in\nCumberland County, Pennsylvania, through the downstream Duncansville Pump Station (MP\n184.7) near Duncansville in Blair County, Pennsylvania. The “Affected Segment” generally runs\nwesterly through portions of Cumberland, Perry, Juniata, Huntingdon, and Blair Counties in\nPennsylvania.\n\"Isolated Segment\" means the approximately 2.8-mile segment of Buckeye’s 20-inch Line 720\npipeline from the Clover Creek Road motor-operated valve (CCMOV) at pipeline station number\n9085+61 (downstream of the Failure) to the Redstone Ridge Road manually-operated gate valve\n(RRV) at pipeline station number 8939+22 (upstream of the Failure). It is the portion of the\n“Affected Segment” that was shut-in after the Failure on November 18, 2019.\n\"Director\" means the Director, Pipeline and Hazardous Materials Safety Administration\n(PHMSA), Office of Pipeline Safety, Eastern Region. The Director’s address is 840 Bear Tavern\nRoad, Suite 300, West Trenton, NJ 08628\nPreliminary Findings:\n Buckeye operates approximately 6,000 miles of pipeline located primarily in the\nnortheastern and upper Midwestern portions of the United States, and services over 100\ndelivery locations. These pipelines primarily transport liquid petroleum products,\nincluding gasoline, jet fuel and a variety of distillates, from major supply sources to\nterminals and airports located within end-use markets. Buckeye has 110 active terminals\nthat provide bulk storage and throughput services with respect to liquid petroleum\nproducts and renewable fuels, including ethanol, and have an aggregate tank capacity of\nover 56 million barrels. 1\n Buckeye is a wholly-owned subsidiary of IFM Investors, an investment management\ncompany.2\n On August 23, 2019, Buckeye submitted a Safety-Related Condition Report to PHMSA\nfor Line 720. The report indicated that the line was assessed with a combination Geometry\n(GEO) and Axial Magnetic Flux Leakage (AMFL) in-line inspection (ILI) tool run on July\n12, 2019. Upon receipt of the preliminary ILI report, Buckeye discovered 33 features\nmeeting Buckeye’s immediate condition criteria under its integrity management program\n1 Buckeye Partners Website, available at\nhttps://www.buckeye.com/BusinessOperations/PipelineTransportationOperations/tabid/584/Default.aspx/ (last\naccessed November 25, 2019).\n2 IFM acquired Buckeye on November 1, 2019. Buckeye Partners website, available at\nhttps://www.buckeye.com/LinkClick.aspx?fileticket=hMppeiwfjnw%3d&tabid=36 (last accessed November 25,\n2019).\nPage 3 of 12\n\n\n\nrequired in 49 C.F.R. § 195.452.\n The failed pipeline, Line 720, is a 20-inch diameter line which transports refined liquid\npetroleum products and runs approximately 77 miles from Mechanicsburg, PA, to\nDuncansville, PA. The line is part of a 175-mile pipeline system which runs from Reading,\nPA to Altoona, PA. The Failure occurred one mile northwest of Marklesburg, PA, along\na steep slope of Tussey Mountain. The nearest road is Mountain Rd in Huntingdon\nCounty.\n The section of the Affected Segment near the Failure site was constructed in 1958. The\npipeline at the Failure site section consists of grade X-52, 20” seamless steel pipe\nmanufactured by National Tube, with a wall thickness of 0.281”. The pipeline is protected\nby an impressed current cathodic protection system. In the area of the Failure site, the\npipeline has a coal tar enamel coating.\n The maximum operating pressure (MOP) of the Affected Segment is 1045 psig. At the time\nof the Failure, the actual operating pressure for Line 720 at the top of the slope near the\nFailure site was 70 psig, and 500 psig at the bottom of the slope.\n At approximately 7:05 a.m. EST on November 18, 2019, a work crew returning to the site\nwhere they had been conducting ILI-based repairs on Line 720 in the weeks prior noticed\nthe smell of gasoline and began implementing Buckeye’s emergency response protocol.\nThe loss of pressure and product caused by the Failure was not identified by Buckeye’s\nSCADA system alarms. The Failure is in a remote location on the side of a steep hill.\nThere were no reported injuries, fatalities, or evacuations, and the gasoline did not ignite.\n Buckeye’s Control Center was notified and immediately shut down Line 720. The\nIsolated Segment was shut-in via the CCMOV and RRV, and currently remains out of\nservice. The CCMOV was closed at 7:10 a.m. EST, and the RRV was closed shortly after.\nMountain road was closed at approximately 8:00 a.m. EST by the local Fire Department.\n Initial calculations indicated a release volume of 650-barrels from the site of a recent\nrepair. Containment of the release was difficult due to the product flowing between the\ncracked clay soil and rocky subsoil. As of 7:00 a.m. EST on November 25, 2019, 221-\nbarrels of product were reported to have been recovered.\n Buckeye indicated that the low flow rate of the leak was below the detectable limit for\nLine 720’s LeakWarn leak detection system, and thus the leak was not discovered by its\ncontrol room.\n The PHMSA investigation is ongoing and the cause of the Failure is unknown at this time.\nThe leak has been determined to originate from beneath an approximately 11.5-foot Type-\nPage 4 of 12\n\n\n\nA steel repair sleeve installed during the week of November 5 to November 8, 2019. The\nsleeve was installed to repair 2 top side dents with associated metal loss which met\nBuckeye’s criteria for immediate conditions outside of High Consequence Areas (HCAs).\n On November 25, 2019, 160 feet of pipe containing multiple recent and legacy repairs\nwere cut out from the pipeline. The cutout section included 13 recently repaired Buckeye\nimmediate conditions for topside dents with metal loss in non-HCAs. This included the\npipe joint at the Failure site with the 11.5-foot Type-A sleeve in place and unaltered. This\nspecimen will be taken to the DNV GL lab in Dublin, Ohio for metallurgical analysis.\n Buckeye completed repair of the pipe segment using three (3) joints of pre-tested pipe on\nNovember 26, 2019. Buckeye provided a refill and restart plan, which included\nconducting a 1-hour pressure hold test to verify integrity. The line was returned to service\nat 80% of the maximum pressure experienced in the 60 days pr","truncated":true,"body_characters":60731}