{"operation":"document","citation":"CPF 12023052WL","title":"NORTHERN ILLINOIS GAS CO — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2023-08-10","effective_on":null,"summary":"CLOSED warning letter citing 192.12(b)(1), 192.12(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-12023052wl.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-12023052wl.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-12023052wl","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/12023052WL","body":"Warning Letter involving NORTHERN ILLINOIS GAS CO. PHMSA's enforcement data identifies the cited regulations as 192.12(b)(1),  192.12(c). The case was opened on 2023-08-10 and is reported as closed as of 2023-08-10. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n12023052WL_Operator Response to Notice_08302023_(22-236169).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12023052WL/12023052WL_Operator%20Response%20to%20Notice_08302023_(22-236169).pdf\n\n12023052WL_Warning Letter_08102023_(22-236169).pdf: https://primis.phmsa.dot.gov/enforcement-documents/12023052WL/12023052WL_Warning%20Letter_08102023_(22-236169).pdf\n\n12023052WL_Warning Letter_08102023_(22-236169)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/12023052WL/12023052WL_Warning%20Letter_08102023_(22-236169)_text.pdf\n\n12023052WL_Warning Letter_08102023_(22-236169)_text.pdf\n\nWARNING LETTER\nOVERNIGHT EXPRESS DELIVERY\nAugust 10, 2023\nMr. Melvin Williams\nSenior Vice President and President Nicor Gas\nNorthern Illinois Gas Co\nP.O. BOX 190, Route 59 & I-88\nAurora, Illinois 60507\nCPF 1-2023-052-WL\nDear Mr. Williams:\nFrom July 25 to 27, 2022 in an on-site inspection, the Illinois Department of Natural Resources,\nOffice of Oil and Gas Resource Management (IDNR), acting as a representative of the Pipeline and\nHazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States\nCode (U.S.C.) inspected Northern Illinois Gas Co’s (Northern) Lake Bloomington storage facility\nin McLean County, Illinois.\nAs a result of the inspection, it is alleged that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected\nand the probable violations are:\n1. § 192.12 Underground natural gas storage facilities.\n(a) …\n(b) Depleted hydrocarbon and aquifer reservoir UNGSFs.\n(1) Each UNGSF that uses a depleted hydrocarbon reservoir or an\naquifer reservoir for natural gas storage and was constructed after July\n18, 2017, must meet all provisions of API RP 1171 (incorporated by\nreference, see § 192.7), and paragraphs (c) and (d) of this section, prior\nto commencing operations.\nNorthern failed to meet the provisions of API RP 1171, Section 6.8.1 Specifically, Northern failed\nto demonstrate that surface and groundwater safeguards were in place during workovers of\nmultiple wells in Lake Bloomington UNGSF.\nAPI RP 1171, Section 11.2 Construction, Operation, and Maintenance Procedures states that “[t]he\noperator shall develop and follow procedures for the construction, operation, and maintenance of\nnatural gas storage wells and reservoirs to establish and maintain functional integrity.”\n\n\n\nAPI RP1171, Section 6 addresses the design and construction of natural gas storage wells. Section\n6.8.1 states in part that “The operator shall take actions to protect surface water and groundwater\nresources in the design, drilling, and servicing of a well. The operator should conduct an\nenvironmental impact review prior to well drilling.”\nDuring 2020 and 2021, Northern submitted national registry construction notifications to PHMSA\nfor a variety of well work to be conducted at the Lake Bloomington UNGSF.\nDuring the inspection, Northern was unable to provide records demonstrating that surface and\ngroundwater safeguards were used in well design and during drilling and well work operations. A\nrecord was provided indicating the purchase of Visqueen plastic sheeting. However, no other\ndocumentation was provided to show how this product was used to ensure safeguards to surface\nand ground water. Northern did not present any job site plans or daily activity logs that noted the\nuse of Visqueen sheeting or other pollution control measures.\nTherefore, Northern failed to demonstrate that they employed surface and groundwater safeguards\nduring well work operations, in accordance with § 192.12(b)(1) and API RP1171, Section 6.8.1.\n2. § 192.12 Underground natural gas storage facilities.\n(a) …\n(c) Procedural manuals. Each operator of a UNGSF must prepare\nand follow for each facility one or more manuals of written procedures\nfor conducting operations, maintenance, and emergency preparedness\nand response activities under paragraphs (a) and (b) of this section.\nEach operator must keep records necessary to administer such\nprocedures and review and update these manuals at intervals not\nexceeding 15 months, but at least once each calendar year. Each\noperator must keep the appropriate parts of these manuals accessible\nat locations where UNGSF work is being performed. Each operator\nmust have written procedures in place before commencing operations\nor beginning an activity not yet implemented.\nNorthern failed to keep the appropriate parts of its manuals of written procedures for conducting\noperations, maintenance, and emergency preparedness and response activities accessible at\nlocations where UNGSF work is being performed as required by § 192.12(c).\nDuring the inspection, field observations were conducted at the Lake Bloomington storage field.\nIt was noted that Northern did not have the current version of the Emergency Preparedness and\nResponse Plan available and readily accessible to storage personnel at the time of the inspection.\nNorthern stated that the plan was not available due to scheduled revisions. It was also noted that\nNorthern did not have the current operation and maintenance procedures available and readily\naccessible to storage personnel at the time of the inspection. Northern stated that the procedures\nwere available offsite.\nTherefore, Northern failed to follow the requirements of § 192.12(c) regarding the availability of\nits manuals of written procedures.\n\n\n\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$257,664 per violation per day the violation persists, up to a maximum of $2,576,627 for a related\nseries of violations. For violation occurring on or after March 21, 2022, and before January 6,\n2023, the maximum penalty may not exceed $239,142 per violation per day the violation persists,\nup to a maximum of $2,391,142 for a related series of violations. For violation occurring on or\nafter May 3, 2021, and before March 21, 2022, the maximum penalty may not exceed $225,134\nper violation per day the violation persists, up to a maximum of $2,251,334 for a related series of\nviolations. For violation occurring on or after January 11, 2021, and before May 3, 2021, the\nmaximum penalty may not exceed $222,504 per violation per day the violation persists, up to a\nmaximum of $2,225,034 for a related series of violations. For violation occurring on or after July\n31, 2019, and before January 11, 2021, the maximum penalty may not exceed $218,647 per\nviolation per day the violation persists, up to a maximum of $2,186,465 for a related series of\nviolations. For violation occurring on or after November 27, 2018, and before July 31, 2019, the\nmaximum penalty may not exceed $213,268 per violation per day, with a maximum penalty not to\nexceed $2,132,679. For violation occurring on or after November 2, 2015, and before November\n27, 2018, the maximum penalty may not exceed $209,002 per violation per day, with a maximum\npenalty not to exceed $2,090,022.\nWe have reviewed the circumstances and supporting documents involved in this case, and have\ndecided not to conduct additional enforcement action or penalty assessment proceedings at this\ntime. We advise you to correct the items identified in this letter. Failure to do so will result in\nNorthern Illinois Gas Co being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to\nCPF 1-2023-052-WL. Be advised that all material you submit in response to this enforcement\naction is subject to being made publicly available. If you believe that any portion of your\nresponsive material qualifies for confidential treatment under 5 U.S.C. § 552(b), along with the\ncomplete original document you must provide a second copy of the document with the portions\nyou believe qualify for confidential treatment redacted and an explanation of why you believe the\nredacted information qualifies for confidential treatment under 5 U.S.C. § 552(b).\nSincerely,\nRobert Burrough\nDirector, Eastern Region, Office of Pipeline Safety\nPipeline and Hazardous Materials Safety Administration","truncated":false,"body_characters":8447}