{"operation":"document","citation":"CPF 120205005M","title":"CITGO PETROLEUM CORPORATION (TERMINALS) — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2020-03-17","effective_on":null,"summary":"CLOSED notice of amendment citing 195.202.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-120205005m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-120205005m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-120205005m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/120205005M","body":"Notice of Amendment involving CITGO PETROLEUM CORPORATION (TERMINALS). PHMSA's enforcement data identifies the cited regulation as 195.202. The case was opened on 2020-03-17 and is reported as closed as of 2020-06-25. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n120205005M_Closure Letter_06252020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120205005M/120205005M_Closure%20Letter_06252020.pdf\n\n120205005M_Closure Letter_06252020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120205005M/120205005M_Closure%20Letter_06252020_text.pdf\n\n120205005M_Notice of Amendment_03172020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120205005M/120205005M_Notice%20of%20Amendment_03172020.pdf\n\n120205005M_Notice of Amendment_03172020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/120205005M/120205005M_Notice%20of%20Amendment_03172020_text.pdf\n\n120205005M_Closure Letter_06252020_text.pdf\n\nOVERNIGHT EXPRESS DELIVERY\nJune 25, 2020\nMr. Gustavo J. Velasquez\nVice President Supply and Marketing\nCitgo Petroleum Corporation (Terminals)\n1293 Eldridge Parkway\nHouston, TX 77077\nCPF 1-2020-5005M\nDear Mr. Velasquez:\nFrom August 27-31, 2018, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), pursuant to Chapter 601 of 49 United States Code (U.S.C.) inspected\nCitgo Petroleum Corporation (Terminals)’s (Citgo) facility in Linden, New Jersey. As a result of\nthe inspection, Citgo was issued a Notice of Amendment on March 17, 2020, which proposed\namendment of your procedures.\nCitgo submitted its amended procedures on or about May 14, 2020. My staff reviewed the amended\nprocedures, and it appears that the inadequacies outlined in this Notice of Amendment have been\ncorrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you\nfor your cooperation.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\n\n120205005M_Notice of Amendment_03172020_text.pdf\n\nNOTICE OF AMENDMENT\nOVERNIGHT EXPRESS DELIVERY\nMarch 17, 2020\nMr. Gustavo J. Velasquez\nVice President Supply and Marketing\nCitgo Petroleum Corporation (Terminals)\n1293 Eldridge Parkway\nHouston, TX 77077\nCPF 1-2020-5005M\nDear Mr. Velasquez:\nFrom August 27-31, 2018, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), pursuant to Chapter 601 of 49 United States Code (U.S.C.) inspected\nCitgo Petroleum Corporation (Terminals)’s (Citgo) facility in Linden, New Jersey.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacy found within\nCitgo’s plans or procedures, as described below:\n1. § 195.202 Compliance with specifications or Standards.\nEach pipeline system must be constructed in accordance with\ncomprehensive written specifications or standards that are consistent\nwith the requirements of this part.\nCitgo’s construction specifications or standards were inadequate. Specifically, Citgo’s\nspecifications and standards failed to include procedures for testing aboveground breakout tanks\n(BOT) built to API Standard 650 and first placed into service after October 2, 2000, and for BOTs\nthat were repaired, altered, or reconstructed and returned to service after October 2, 2000, in\naccordance with §§ 195.307(c) and (d).\nSections 195.307(c) and (d) state:\n(c) For aboveground breakout tanks built to API Std 650 (incorporated\nby reference, see §195.3) and first placed in service after October 2, 2000,\n\n\n\nCPF 1-2020-5005M\ntesting must be in accordance with sections 7.3.5 and 7.3.6 of API\nStandard 650 (incorporated by reference, see §195.3).\n(d) For aboveground atmospheric pressure breakout tanks constructed\nof carbon and low alloy steel, welded or riveted, and non-refrigerated tanks\nbuilt to API Std 650 or its predecessor Standard 12 C that are returned to\nservice after October 2, 2000, the necessity for the hydrostatic testing of\nrepair, alteration, and reconstruction is covered in section 12.3 of API\nStandard 653 (incorporated by reference, see §195.3).\nDuring the inspection, the PHMSA inspector requested procedures relative to BOT pressure\ntesting. Citgo’s provided its operations and maintenance (O&M) manual, revised April 2, 2017,\nwhich did not include adequate details related to § 195.307. The O&M manual did not state the\nnecessary procedural steps to be taken to hydrostatically test BOTs, along with any required\ndocumentation to be used. This deficiency included both new BOTs subject to § 195.307(c)\nrequirements and BOTs repaired, altered, or reconstructed and subject to the requirements of\n§ 195.307(d).\nTherefore, Citgo’s construction specifications or standards were inadequate regarding BOT testing\nrequired by § 195.307.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in Enforcement\nProceedings. Please refer to this document and note the response options. Be advised that all\nmaterial you submit in response to this enforcement action is subject to being made publicly\navailable. If you believe that any portion of your responsive material qualifies for confidential\ntreatment under 5 U.S.C. 552(b), along with the complete original document you must provide a\nsecond 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).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, revised\nprocedures, or a request for a hearing under §190.211. If you do not respond within 30 days of\nreceipt of this Notice, this constitutes a waiver of your right to contest the allegations in this Notice\nand authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in this Notice\nwithout further notice to you and to issue an Order Directing Amendment. If your plans or\nprocedures are found inadequate as alleged in this Notice, you may be ordered to amend your plans\nor procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not contesting this\nNotice, we propose that you submit your amended procedures to my office within 30 days of\nreceipt of this Notice. This period may be extended by written request for good cause. Once the\ninadequacies identified herein have been addressed in your amended procedures, this enforcement\naction will be closed.\nIt is requested (not mandated) that Citgo Petroleum Corporation (Terminals) maintain\ndocumentation of the safety improvement costs associated with fulfilling this Notice of\nAmendment (preparation/revision of plans, procedures) and submit the total to Robert Burrough,\nDirector, PHMSA Eastern Region, 840 Bear Tavern Road, Suite 300, West Trenton, NJ 08628.\n120205005M_Notice of Amendment_03172020_text Page 2 of 3\n\n\n\nCPF 1-2020-5005M\nPlease refer to CPF 1-2020-5005M on each document you submit, and whenever possible provide\na signed PDF copy in electronic format. Smaller files may be emailed to robert.burrough@dot.gov.\nLarger files should be sent on USB flash drive accompanied by the original paper copy to the\nEastern Region Office.\nAdditionally, if you choose to respond to this (or any other case), please ensure that any response\nletter pertains solely to one CPF case number.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Enforcement Proceedings\n120205005M_Notice of Amendment_03172020_text Page 3 of 3","truncated":false,"body_characters":7740}