{"operation":"document","citation":"CPF 12022017NOPV","title":"IMTT-BAYONNE — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2022-07-01","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.264(b)(1)(i), 195.402(a), 195.402(c)(13), 195.404(c)(3), 195.405(a), 195.432(b), 195.452(b)(5), 195.452(i)(1), 195.452(l)(1), 195.555, 195.573(d), 195.589(a)(2).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-12022017nopv.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-12022017nopv.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-12022017nopv","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/12022017NOPV","body":"Notice of Probable Violation involving IMTT-BAYONNE. PHMSA's enforcement data identifies the cited regulations as 195.264(b)(1)(i),  195.402(a),  195.402(c)(13),  195.404(c)(3),  195.405(a),  195.432(b),  195.452(b)(5),  195.452(i)(1),  195.452(l)(1),  195.555,  195.573(d),  195.589(a)(2). The case was opened on 2022-07-01 and is reported as closed as of 2024-02-01. Proposed civil penalty: $643,100. Assessed civil penalty: $541,600. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n12022017NOPV_Closure Letter_02012024_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Closure%20Letter_02012024_(21-199001).pdf\n\n12022017NOPV_Closure Letter_02012024_(21-199001)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Closure%20Letter_02012024_(21-199001)_text.pdf\n\n12022017NOPV_Consent Agreement and Order_12282023_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Consent%20Agreement%20and%20Order_12282023_(21-199001).pdf\n\n12022017NOPV_Consent Agreement and Order_12282023_(21-199001)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Consent%20Agreement%20and%20Order_12282023_(21-199001)_text.pdf\n\n12022017NOPV_Operator Request for Hearing_09272022_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Operator%20Request%20for%20Hearing_09272022_(21-199001).pdf\n\n12022017NOPV_Operator Response to Notice_09272022_ (21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Operator%20Response%20to%20Notice_09272022_%20(21-199001).pdf\n\n12022017NOPV_Operator Withdrawal of RfH_02022023_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Operator%20Withdrawal%20of%20RfH_02022023_(21-199001).pdf\n\n12022017NOPV_PCO PCP_07012022_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_PCO%20PCP_07012022_(21-199001).pdf\n\n12022017NOPV_PCO PCP_07012022_(21-199001)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_PCO%20PCP_07012022_(21-199001)_text.pdf\n\n12022017NOPV_PHC Hearing Scheduled_10132022_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_PHC%20Hearing%20Scheduled_10132022_(21-199001).pdf\n\n12022017NOPV_PHC Hearing Scheduled_10132022_(21-199001)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_PHC%20Hearing%20Scheduled_10132022_(21-199001)_text.pdf\n\n12022017NOPV_Supplemental Operator Response to Notice_02062023_(21-199001).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12022017NOPV/12022017NOPV_Supplemental%20Operator%20Response%20to%20Notice_02062023_(21-199001).pdf\n\n12022017NOPV_Consent Agreement and Order_12282023_(21-199001)_text.pdf\n\nDecember 28, 2023\nVIA ELECTRONIC MAIL TO: carlinconner@imtt.com\nMr. Carlin Conner\nPresident and Chief Executive Officer\nIMTT-Bayonne\n400 Poydras Street, Suite 3000\nNew Orleans, Louisiana 77002\nCPF No. 1-2022-017-NOPV\nDear Mr. Conner:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement between\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA) and IMTT-Bayonne,\nwhich was executed on December 13, 2023. Service of the Consent Order and Consent Agreement\nby electronic mail is deemed effective upon the date of transmission and acknowledgement of\nreceipt, or as otherwise provided under 49 C.F.R. § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nAlan K. Mayberry\nAssociate Administrator\nfor Pipeline Safety\nEnclosures: Order and Consent Agreement\ncc: Mr. Robert Burrough, Director, Eastern Region, Office of Pipeline Safety, PHMSA\nMr. Richard Jurisich, Esq., Secretary and General Counsel, IMTT-Bayonne,\nrichardjurisich@imtt.com\nMr. Shaun Revere, Chief Operating Officer, IMTT-Bayonne, shaunrevere@imtt.com\nMs. Susan Olenchuk, Esq., Van Ness Feldman LLP, Outside Counsel to IMTT-Bayonne,\nsam@vnf.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\n____________________________________\nIn the Matter of )\nIMTT-Bayonne, ) CPF No. 1-2022-017-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT ORDER\nBy letter dated July 1, 2022, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), Office of Pipeline Safety (OPS), issued a Notice of Probable Violation, Proposed\nCivil Penalty, and Proposed Compliance Order (Notice) to IMTT-Bayonne (IMTT or\nRespondent).\nIn response to the Notice, Respondent contested Items 2, 8, and 13 of the alleged violations and\nthe associated proposed civil penalties, and requested a hearing in this matter. Respondent also\nasked for the opportunity to meet informally with PHMSA to discuss the issues raised in its\nresponse. Respondent and PHMSA (The Parties) subsequently met to discuss the issues raised in\nthe Response. As a result of those discussions, as explained in more detail below PHMSA\nagreed to withdraw one alleged violation, and the Parties agreed the proposed compliance order\naction has already been completed. Respondent agreed to certain findings of violation without\nadmission, and subject to the agreed terms of the Parties, to pay a reduced civil penalty.\nAccordingly, the Consent Agreement is hereby approved and incorporated by reference into this\nConsent Order. IMTT is hereby ordered to comply with the terms of the Consent Agreement\npursuant to its terms.\nPursuant to 49 U.S.C. § 60101, et seq., failure to comply with this Consent Order may result in\nthe assessment of civil penalties as set forth in 49 U.S.C. § 60122 and 49 C.F.R. § 190.223.\nThe terms and conditions of this Consent Order are effective upon service in accordance with 49\nC.F.R. § 190.5.\nDecember 28, 2023\n___________________________________ __________________________\nAlan K. Mayberry Date Issued\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)\n)\nIMTT-Bayonne, ) CPF No. 1-2022-017-NOPV\n)\n)\nRespondent. )\n____________________________________)\nCONSENT AGREEMENT\nFrom May 10 through May 24, 2021, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of 49\nUnited States Code (U.S.C.), conducted an integrated inspection of the facilities and records of\nInternational-Matex Tank Terminals (IMTT)-Bayonne (IMTT or Respondent) and IMTT-\nPipeline’s records and facilities in Bayonne, New Jersey.1 IMTT is an interstate hazardous\nliquid pipeline with approximately 40 miles of pipeline and 117 breakout tanks.\nAs a result of the inspection, the Director, Eastern Region, OPS (Director), issued to Respondent,\nby letter dated July 1, 2022, a Notice of Probable Violation, Proposed Compliance Order, and\nProposed Civil Penalty (Notice), which also included warning items pursuant to 49 C.F.R. §\n190.205. In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that IMTT\ncommitted violations of provisions of 49 C.F.R. Part 195, proposed ordering Respondent to take\ncertain measures to correct an alleged violation, and proposed a civil penalty of $643,100. Nine\nalleged violations (Items 3, 4, 5, 7, 8, 9, and 13) were brought as warnings, advising Respondent\nto correct the probable violations or face potential future enforcement action.\nIMTT timely responded to the Notice (after a request for extension was requested and granted by\nthe Director) on September 27, 2023 (Response).2 Respondent requested a hearing and\ncontested Items 2 and 8, Item 13 in part, and the proposed civil penalty. IMTT stated that it was\nelecting not to contest Items 11 and 14, and that Items 1, 3, 4, 5, 6, 7, 9, 10, and 12 were warning\nitems. Respondent also requested to meet informally with PHMSA to discuss the issues raised\nin the Response.\n1 IMTT is comprised of two PHMSA Operator Identifications (OPIDs) – IMTT-Bayonne and IMTT-Pipeline. This\nintegrated inspection included a review of IMTT-Pipeline’s records and facilities; the companion case is CPF 1-\n2022-016-NOPV.\n2 IMTT also provided an additional supplemental response to the Notice on February 6, 2023.\n\n\n\nPHMSA and Respondent (the Parties) subsequently met to discuss the issues raised in the\nResponse. As a result of those discussions, and as explained in more detail below for Item 11,\nthe Parties have agreed that the proposed compliance item has already been completed. For\nItems 8, 13, and 14, the parties have agreed to a reduced total civil penalty assessment of\n$541,600. PHMSA has agreed to withdraw the alleged violation in Item 2. IMTT withdrew its\nhearing request on February 2, 2023.\nHaving agreed that settlement of this proceeding will avoid further administrative proceedings or\nlitigation and will serve the public interest by promoting safety and protection of the\nenvironment, pursuant to 49 C.F.R. Part 190, and upon consent and agreement, the Parties hereby\nagree as follows:\nI. General Provisions\n1. Respondent acknowledges that as the operator of the pipeline facilities subject to\nthe Notice, Respondent and its referenced pipeline facilities are subject to the jurisdiction of the\nFederal pipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and administrative\norders issued thereunder. For purposes of this Agreement, Respondent acknowledges that it\nreceived proper notice of PHMSA’s action in this proceeding and that the Notice states claims\nupon which relief may be granted pursuant to 49 U.S.C. § 60101, et seq., and the regulations and\norders issued thereunder.\n2. After Respondent returns this signed Agreement to PHMSA, the Agency’s\nrepresentative will present it to the Associate Administrator for Pipeline Safety, recommending\nthat the Associate Administrator adopt the terms of this Consent Agreement by issuing an\nadministrative order (Consent Order) incorporating the terms of this Agreement. The terms of this\nAgreement constitute an offer of settlement until accepted by the Associate Administrator. Once\naccepted, the Associate Administrator will issue a Consent Order incorporating the terms of this\nAgreement.\n3. Respondent consents to the issuance of the Consent Order, and hereby waives any\nfurther procedural requirements with respect to its issuance. Respondent waives all rights to\ncontest the adequacy of notice, or the validity of the Consent Order or this Agreement, including\nall rights to administrative or judicial hearings or appeals, except as set forth herein.\n4. This Agreement shall apply to and be binding upon PHMSA and Respondent, its\nofficers, directors, and employees, and its successors, assigns, or other entities or persons\notherwise bound by law. Respondent agrees to provide a copy of this Agreement and any\nincorporated work plans and schedules to all of Respondent’s officers, employees, and agents\nwhose duties might reasonably include compliance with this Agreement.\n5. This Agreement constitutes the final, complete and exclusive agreement and\nunderstanding between the Parties with respect to the settlement embodied in this Agreement.\nThe Parties acknowledge that there are no representations, agreements or understandings relating\n\n\n\nto settlement other than those expressly contained in this Agreement, except that the terms of this\nAgreement may be construed by reference to the Notice.\n6. 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. § 60101,\net seq., and the regulations and orders issued thereunder. Nothing in this Agreement alters\nPHMSA's right of access, entry, inspection, and information gathering or PHMSA's authority to\nbring enforcement actions against Respondent pursuant to the Federal pipeline safety laws, the\nregulations and orders issued thereunder, or any other provision of Federal or State law.\n7. For all transfers of ownership or operating responsibility of Respondent’s pipeline\nsystem referenced herein, Respondent will provide a copy of this Agreement to the prospective\ntransferee at least 30 days prior to such transfer. Respondent will provide written notice of the\ntransfer to the PHMSA Eastern Regional Director no later than 60 days after the transfer occurs.\n8. 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 not a\npermit, or a modification of any permit, under any Federal, State, or local laws or regulations.\nRespondent remains responsible for achieving and maintaining compliance with all applicable\nFederal, State, and local laws, regulations and permits.\n9. This Agreement does not create rights in, or grant any cause of action to, any third\nparty not party to this Agreement. The U.S. Department of Transportation is not liable for any\ninjuries or damages to persons or property arising from acts or omissions of Respondent or its\nofficers, employees, or agents carrying out the work required by this Agreement. Respondent\nagrees to hold harmless the U.S. Department of Transportation, its officers, employees, agents,\nand representatives from any and all causes of action arising from any acts or omissions of\nRespondent or its contractors in carrying out any work required by this Agreement.\n10. Except as otherwise specified herein, This Agreement does not constitute a\nfinding of violation of any other federal law or regulation and may not be used in any civil\nproceeding of any kind as evidence or proof of any fact, fault or liability, or as evidence of a\nviolation of any law, rule, regulation, or requirement, except in a proceeding to enforce the\nprovisions of this agreement or in future PHMSA enforcement actions. Respondent neither\nadmits nor denies any allegation or conclusion in the Notice or this Agreement, but agrees for\npurposes of this Agreement to comply with the terms of this Agreement.\n11. Upon issuance of the Consent Order, the Parties agree to the following terms.\nII. Findings of Violation:\n12. Item 8- 49 C.F.R. § 195.432(b): The Notice alleged Respondent failed to inspect\nthe physical integrity of in-service atmospheric and low-pressure steel aboveground breakout\ntanks according to API 653. Specifically, IMTT did not perform external visual (monthly)\nbreakout tank inspections for all of its tanks for February through December 2019, as specified\nunder Section 6.3.1.3 of API 653. Respondent contested Item 8 and requested that the proposed\n\n\n\ncivil penalty be withdrawn. IMTT submitted work order sheets and monthly checklist records\nfor each terminal yard for the subject months in the Notice. However, the documents only\nestablish that a work order to inspect each terminal yard was generated (which alone is not\ncompliant with API 653), and the monthly checklist attached to the work order references tanks\nout of service at the time of inspection. PHMSA finds violations of § 195.432(b).\n13. Item 11- 49 C.F.R. § 195.452(l)(1): The Notice alleged Respondent failed to\nmaintain records that demonstrate compliance with the requirements of Subpart F of Part 195.\nSpecifically, IMTT failed to maintain documents of the evaluation of the capability of its leak\ndetection required by § 195.452(i)(3). IMTT did not contest the alleged violation and stated it\nwas submitting additional information showing its compliance with the proposed compliance\norder, and requested the Director find that the compliance action had already been completed.\nPHMSA finds a violation of § 195.452(l)(1).\n14. Item 13- 49 C.F.R. § 195.573(d): The Notice alleged Respondent failed to\ninspect each cathodic protection system used to control corrosion on the bottom of an\naboveground breakout tank to ensure that operation and maintenance of the system are in\naccordance with API RP 651, and did not note in its corrosion control procedures why\ncomplying with all or certain operation and maintenance provisions of API RP 651 is not\nnecessary for the safety of the tank. Specifically, the Notice alleged IMTT failed to inspect 66 of\nits breakout tank cathodic protection systems during calendar years 2019 and 2020. Respondent\ncontested Item 8, stating the alleged violations should be withdrawn with respect to the tanks for\nwhich it provided inspection records and that the proposed civil penalty be reduced. During\nsettlement discussions, Respondent provided additional tank inspection records (cathodic\nprotection survey records for 2019 and 2020). Upon review of the additional documents, the\nParties agree to a reduced civil penalty assessment for this violation on the basis of failure to\ninspect 36 breakout tanks in 2019 and 2020. PHMSA finds violations of § 195.573(d).\n15. Item 14- 49 C.F.R. § 195.589(a)(2): The Notice alleged Respondent failed to\nmaintain records or maps showing the location of its cathodic protection facilities, including\ngalvanic anodes, installed after January 28, 2002, in accordance with § 195.589(a)(2). IMTT did\nnot contest the alleged violation or the proposed civil penalty. PHMSA finds a violation of §\n195.589(a)(2).\nIII. Warning Items:\n16. Item 1- 49 C.F.R. § 195.264(b)(1)(i): The Notice alleged Respondent failed to\nprovide adequate records demonstrating that its eight breakout tanks, built post-October 2, 2000,\nhave adequate impoundments in accordance with section 22.11.2 of NFPA-30.\n17. Item 3- 49 C.F.R. § 195.402(a): The Notice alleged Respondent failed to conduct\na review of its operations, maintenance, and emergency manual, at intervals not exceeding 15\nmonths, but at least once each calendar year, and make appropriate changes as necessary to ensure\nthat the manual is effective.\n\n\n\n18. Item 4- 49 C.F.R. § 195.402(c)(13): The Notice alleged Respondent failed to\nconduct periodic reviews of the work done by operator personnel to determine the effectiveness\nof the procedures used in normal operation and maintenance and taking corrective action where\ndeficiencies are found.\n19. Item 5- 49 C.F.R. § 195.404(c)(3): The Notice alleged Respondent failed to\nmaintain adequate records of each inspection or test required by Part 195 for at least two years or\nuntil the next inspection or test is performed, whichever is longer. Specifically, IMTT failed to\nmaintain adequate external visual (monthly) breakout tank inspection records for 115 of its tanks\nfor calendar year 2020.\n20. Item 6- 49 C.F.R. § 195.404(c)(3): The Notice alleged Respondent failed to\nmaintain adequate records of each inspection or test required by Part 195 for at least two years or\nuntil the next inspection or test is performed, whichever is longer. Specifically, IMTT failed to\nmaintain adequate records in calendar years 2019 and 2020 for conducting mainline valve\ninspections required by § 195.420(b).\n21. Item 7- 49 C.F.R. § 195.405(a): The Notice alleged Respondent failed to\nmaintain records demonstrating that protection provided against ignitions arising out of static\nelectricity, lighting, and stray currents during operation and maintenance activities involving\naboveground breakout tanks was done in accordance with API RP 2003, and failed to note in its\nprocedural manual why compliance with all or certain provisions of API RP 2003 were not\nnecessary for safety of a particular breakout tank.\n22. Item 9- 49 C.F.R. § 195.452(b)(5): The Notice alleged Respondent failed to\nimplement and follow its Integrity Management program. Specifically, IMTT failed to follow its\nLiquid Integrity Management Program Procedure, Version 1, dated June 2018 (IMP), Section\n8.4, regarding performance metrics for calendar year 2020.\n23. Item 10- 49 C.F.R. § 195.452(i)(1): The Notice alleged Respondent failed to\ntake measures to prevent and mitigate the consequences of a pipeline failure that could affect a\nhigh consequence area. Specifically, during calendar years 2019 and 2020, IMTT failed to\nimplement required preventive and mitigative actions.\n24. Item 12- 49 C.F.R. § 195.555: The Notice alleged Respondent failed to require\nand verify that supervisors maintain a thorough knowledge of that portion of the corrosion\ncontrol procedures established under § 195.402(c)(3) for which they are responsible for ensuring\ncompliance.\n25. For Warning Items 1, 3, 4, 5, 6, 7, 9, 10, and 12, if OPS finds a violation of these\nprovisions in a subsequent inspection, Respondent may be subject to future enforcement action.\n\n\n\nIV. Civil Penalty:\n26. Item 8: The Notice proposed a civil penalty of $310,000 for the alleged\nviolations. Respondent contested Item 8 and requested that the allegation and the proposed civil\npenalty be withdrawn. IMTT provided work order sheets and monthly checklist records for each\nterminal yard for the subject months in the Notice. However, the documents only establish a\nwork order to inspect each terminal yard was generated which alone is not compliant with API\n653, and the monthly checklist attached to the work order references tanks out of service at the\ntime of inspection. Respondent agrees, without admission, to pay a civil penalty in the amount\nof $310,000 for the violations in Item 8.\n27. Item 13: The Notice proposed a civil penalty of $263,000 for the alleged\nviolations. IMTT requested that the proposed civil penalty be reduced. Upon review of\nadditional inspection records described above that Respondent provided during settlement\ndiscussions, the Parties agree to a reduced civil penalty assessment (reduced gravity\nconsideration for number of occurrences) for this violation, on the basis of failure to inspect 36\nbreakout tanks in 2019 and 2020, rather than 66 as alleged in the Notice. Respondent agrees,\nwithout admission, to pay a reduced civil penalty in the amount of $211,600 or the violations in\nItem 13.\n28. Item 14: The Notice proposed a civil penalty of $20,000 for this alleged violation.\nRespondent agrees, without admission, to pay the proposed civil penalty in the amount of\n$20,000 for the violation in Item 14.\n29. Respondent shall pay a total civil penalty in the amount of $541,600, pursuant to\nthe payment instructions at 49 C.F.R. § 190.227(a), to be paid in full no later than 20 days from\nthe Effective Date of this Agreement.\nV. Compliance Order:\n30. Item 11: The Notice proposed certain compliance order actions to address the non-\ncompliance alleged in Item 11. The proposed compliance order would have required IMTT to\ncomplete a leak detection evaluation on its associated pipeline system, in accordance with §\n195.452(i)(3), within 90 days of receipt of a Final Order in this matter. As discussed above, based\non additional records submitted by IMTT during settlement discussions, namely a September 8,\n2021, leak detection evaluation report, the Parties agreed that the proposed compliance order for\nthis Item 11 has already been completed.\nVI. Item Withdrawn:\n31. Item 2- 49 C.F.R. § 195.402(a): The Notice alleged Respondent failed to follow\nits corrosion control procedures, and specifically that it failed to follow its Corrosion Manual,\ndated April 1, 2021, for conducting its atmospheric corrosion monitoring inspections.\n\n\n\nRespondent contested Item 2, stating the Notice relies on records of inspections conducted in\n2017 through 2020 to support a violation of a corrosion control manual that was not adopted\nuntil April 2021. IMTT requested that PHMSA withdraw the alleged violation and the\nassociated proposed civil penalty. After engaging in additional discussions, the Parties agree this\nalleged violation in Item 2 should be withdrawn. Because this Item 2 will be withdrawn, it will\nnot constitute a finding of violation for any purpose, and no further action by Respondent is\nnecessary to achieve compliance. The allegation of violation for Item 2 is and the associated\nproposed civil penalty are withdrawn.\nVII. Enforcement:\n32. This Agreement is subject to all enforcement authorities available to PHMSA\nunder 49 U.S.C. § 60101, et seq., and 49 C.F.R. Part 190, including administrative civil penalties\nunder 49 U.S.C. § 60122, of up to $257,664 per violation for each day the violation continues and\nreferral of the case to the Attorney General for judicial enforcement, if PHMSA determines that\nRespondent is not complying with the terms of this Agreement in accordance with the\ndeterminations made by the Director, or if appealed, in accordance with decisions of the Associate\nAdministrator. The maximum civil penalty amounts are adjusted annually for inflation. See 49\nC.F.R. § 190.223.\nVIII. Dispute Resolution:\n33. The Director and Respondent will informally attempt to resolve any disputes\narising under this Agreement, including but not limited to any decision of the Director. If\nRespondent and the Director are unable to informally resolve the dispute within 15 calendar days\nafter the dispute is first raised, in writing, to the Director, Respondent may submit a written\nrequest for a determination resolving the dispute from the Associate Administrator for Pipeline\nSafety, PHMSA. Such request must be made in writing and provided to the Director, counsel for\nthe Eastern Region, and to the Associate Administrator for Pipeline Safety, no later than 10\ncalendar days from the 15-day deadline for informal resolution referenced in this paragraph.\nAlong with its request, Respondent must provide the Associate Administrator with all\ninformation Respondent believes is relevant to the dispute. Decisions of the Associate\nAdministrator under this paragraph will constitute final agency action. The existence of a dispute\nand PHMSA’s consideration of matters placed in dispute will not excuse, toll, or suspend any\nterm or timeframe for completion of any work to be performed under this Agreement during the\npendency of the dispute resolution process, except as agreed by the Director or the Associate\nAdministrator in writing, or ordered by a court of competent jurisdiction.\nIX. Effective Date:\n34. The term “Effective Date,” as used herein, is the date on which the Consent Order\nis issued by the Associate Administrator, PHMSA, incorporating the terms of this Agreement.\nX. Recordkeeping and Information Disclosure:\n35. Unless otherwise required in this Agreement, Respondent agrees to maintain\nrecords demonstrating compliance with all requirements of this Agreement for a period of at\n\n\n\nleast five (5) years following completion of all work to be performed. For any reports, plans, or\nother deliverables required to be submitted to PHMSA pursuant to this Agreement, Respondent\nmay assert a claim of business confidentiality or other protections applicable to the release of\ninformation by PHMSA, covering part or all of the information required to be submitted to\nPHMSA pursuant to this Agreement in accordance with 49 C.F.R. Part 7. Respondent must\nmark the claim of confidentiality in writing on each page, and include a statement specifying the\ngrounds for each claim of confidentially. PHMSA determines release of any information\nsubmitted pursuant 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 regulations\nand Executive Orders.\nXI. Modification:\n36. 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.\nXII. Ratification:\n37. The Parties’ undersigned representatives certify that they are fully authorized to\nenter into the terms and conditions of this Agreement and to execute and legally bind such party\nto this document.\n38. The Parties hereby agree to all conditions and terms of this Agreement.\n\n\n\nFor IMTT-Bayonne:\n___________________________________\n________________________\nDate\nFor PHMSA:\n________________________________________\nDirector, Eastern Region, Office of Pipeline Safety\n________________________\nDate\n\n12022017NOPV_PHC Hearing Scheduled_10132022_(21-199001)_text.pdf\n\nOctober 13, 2022\nVIA ELECTRONIC MAIL TO: sam@vnf.com and robert.burrough@dot.gov\nMs. Susan A. Olenchuk, Esq.\nCounsel for IMTT - Pipeline\nVan Ness Feldman, LLP\n1050 Thomas Jefferson Street, NW\nWashington, DC 20007\nMr. Robert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration\n820 Bear Tavern Road, Suite 300\nWest Trenton, NJ 08628\nRe: Notice of Hearing, IMTT - Bayonne\nCPF No. 1-2022-017-NOPV\nDear Ms. Olenchuk and Mr. Burrough:\nIn accordance with 49 C.F.R. § 190.211, an informal hearing will be held regarding the Notice of\nProbable Violation, Proposed Civil Penalty, and Proposed Compliance Order issued by the Pipeline\nand Hazardous Materials Safety Administration in the above-referenced case. The hearing will take\nplace on February 15, 2023, beginning at 1:00 p.m. Eastern Time.\nThe hearing will be held at the PHMSA Eastern Region office, 820 Bear Tavern Road, Suite 103,\nWest Trenton, NJ 08628. Upon arrival at the building, attendees will be required to present photo\nidentification to security personnel. A contact phone number for the day of the hearing is (609)\n989-2171.\nAt least 10 calendar days prior to the hearing (or by February 6, 2023), both parties must submit and\nexchange any additional written materials they intend to present at the hearing and the name and\nemail address of each attendee. This information should be provided electronically. Materials not\nsubmitted by this date may be excluded. If you have any questions, please do not hesitate to contact\nme.\nSincerely,\nLarry White\nPresiding Official\n\n\n\ncc: Mr. Richard Jurisich, Secretary and General Counsel, IMTT - Pipeline,\nrichardjurisich@imtt.com\nMr. Carlin Conner, President and Chief Executive Officer, IMTT Pipeline,\ncarlinconner@imtt.com\nMs. Ajoke Agboola, Counsel, Eastern Region, Office of Pipeline Safety,\nyewande.agboola@dot.gov\n\n12022017NOPV_Operator Withdrawal of RfH_02022023_(21-199001).pdf\n\n1050 Thomas Jefferson Street, NW\nSeventh Floor\nWashington, DC 20007\nwww.vnf.com\nSusan A. Olenchuk\n(202) 298-1896\nsam@vnf.com\nBy Email Only\nFebruary 2, 2023\nMs. Lawrence White, Esq.\nPresiding Official\nPipeline and Hazardous Materials Safety Administration\nUnited States Department of Transportation\n1200 New Jersey Ave., SE\nWashington, D.C. 20590\nRe: IMTT-Pipeline CPF No. 1-2022-016-NOPV\nIMTT-Bayonne CPF No. 1-2022-017-NOPV\nWithdrawal of Request for Hearing\nDear Mr. White,\nOn September 27, 2022, IMTT-Pipeline and IMTT-Bayonne (IMTT) submitted Requests for\nHearing and Preliminary Statements of Issues in response to Notices of Probable Violation, Proposed\nCivil Penalty and Proposed Compliance Order (Notice) in the above-referenced proceedings. Hearing\nis scheduled for February 15, 2023 and pre-hearing materials are due February 6, 2023. Pursuant to 49\nC.F.R. § 190.211(b), IMTT is withdrawing its Requests for a Hearing in both proceedings. On\nFebruary 6, 2023, IMTT will instead submit amended and supplemental written responses.\nThank you for your consideration in this matter.\nRespectfully submitted,\nSusan A. Olenchuk\nVan Ness Feldman, LLP\nAttorney for IMTT\nCC (by email):\nKathleen Maitland, Esq., Attorney Advisor, Office of Chief Counsel, PHMSA\nJoseph St. Peter, Esq., Attorney Advisor, Office of Chief Counsel, PHMSA\nRobert Burrough, Director, Eastern Region, PHMSA\nRichard Jurisich, Esq., Secretary and General Counsel, IMTT\nShaun Revere, Chief Operating Officer, IMTT\n\n12022017NOPV_Closure Letter_02012024_(21-199001)_text.pdf\n\nOVERNIGHT EXPRESS DELIVERY\nFebruary 1, 2024\nMr. Carlin Conner\nPresident and Chief Executive Officer\nIMTT-Bayonne\n400 Poydras Street, Suite 3000\nNew Orleans, Louisiana 70130\nCPF 1-2022-017-NOPV\nDear Mr. Conner:\nBy letter dated July 1, 2022, the Pipeline and Hazardous Materials Safety Administration (PHMSA),\nOffice of Pipeline Safety, issued a Notice of Probable Violation, Proposed Civil Penalty, and Proposed\nCompliance Order (Notice) to IMTT-Bayonne (Respondent).\nIn response to the Notice, Respondent contested Items 2, 8, and 13 of the alleged violations and the\nassociated proposed civil penalties, and requested a hearing in this matter. Respondent also asked for\nthe opportunity to meet informally with PHMSA to discuss the issues raised in its response.\nRespondent and PHMSA (The Parties) subsequently met to discuss the issues raised in its response.\nAs a result of those discussions, PHMSA agreed to withdraw one alleged violation, and the Parties\nagreed the proposed compliance order action has already been completed. Respondent agreed to certain\nfindings of violation without admission, and subject to the agreed terms of the Parties, to pay a reduced\ncivil penalty.\nOn December 28, 2023, PHMSA issued to Respondent the Consent Agreement. On January 12, 2024,\nRespondent completed payment of the Civil Penalty. Accordingly, this case is now closed and no\nfurther action is contemplated with respect to the matters involved in this case. Thank you for your\ncooperation in this matter.\nSincerely,\nRobert Burrough\nDirector, Eastern Region\nPipeline and Hazardous Materials Safety Administration","truncated":false,"body_characters":33340}