# VALERO PARTNERS OPERATING CO. LLC — Warning Letter

- **operation:** document
- **citation:** CPF 220155002W
- **title:** VALERO PARTNERS OPERATING CO. LLC — Warning Letter
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2015-04-10
- **effective on:** Not available
- **summary:** CLOSED warning letter citing 195.208, 195.432(b).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-220155002w.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-220155002w.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-220155002w
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/220155002W
**body:**

Warning Letter involving VALERO PARTNERS OPERATING CO. LLC. PHMSA's enforcement data identifies the cited regulations as 195.208,  195.432(b). The case was opened on 2015-04-10 and is reported as closed as of 2015-04-10. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

220155002W_warning letter_04102015.pdf: https://primis.phmsa.dot.gov/enforcement-documents/220155002W/220155002W_warning%20letter_04102015.pdf

220155002W_warning letter_04102015_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/220155002W/220155002W_warning%20letter_04102015_text.pdf

220155002W_warning letter_04102015_text.pdf

WARNING LETTER
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
April 10, 2015
Mr. Richard Lashway
President and Chief Operating Officer
Valero Partners Operating Co. LLC
One Valero Way
San Antonio, Texas 78249
CPF 2-2015-5002W
Dear Mr. Lashway:
On November 17-20, 2014, and February 2-3, 2015, representatives of the Pipeline and
Hazardous Materials Safety Administration (PHMSA), Southern Region, Office of Pipeline
Safety (OPS), pursuant to Chapter 601 of 49 United States Code inspected the Valero Partners
Operating Company (Valero) records and pipeline facilities in San Antonio, Texas, Byhalia,
Mississippi, and Memphis, Tennessee.
As a result of the inspection, it appears that Valero has committed probable violations of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected and
the probable violations are as follows:
1. §195.208 Welding of supports and braces.
Supports or braces may not be welded directly to pipe that will be operated at a
pressure of more than 100 p.s.i. (689 kPa) gage.
Valero’s Shorthorn Pipeline, which operates above 100 psi, had supports welded directly
to aboveground pipe at the origin of the pipeline.
2. §195.432 Inspection of in-service breakout tanks.
… (b) Each operator must inspect the physical integrity of in-service atmospheric
and low-pressure steel aboveground breakout tanks according to API Standard 653
(incorporated by reference, see § 195.3). However, if structural conditions prevent
access to the tank bottom, the bottom integrity may be assessed according to a plan
included in the operations and maintenance manual under § 195.402(c)(3).



Valero did not inspect the physical integrity of its aboveground steel breakout Tank 813,
West Memphis, Arkansas, according to API Standard 653.
Valero conducted an API internal inspection of Tank 813 in accordance with API 653,
Section 6.4 from October 9-11, 2008. Valero then conducted an external inspection of
Tank 813 on March 17, 2014, in accordance with API 653, paragraph 6.3.2. This
exceeded the 5-year inspection interval required by API 653.
Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed
$200,000 per violation per day the violation persists up to a maximum of $2,000,000 for a
related series of violations. For violations occurring prior to January 4, 2012, the maximum
penalty may not exceed $100,000 per violation per day, with a maximum penalty not to
exceed $1,000,000 for a related series of violations. We have reviewed the circumstances and
supporting documents involved in this case, and have decided not to conduct additional
enforcement action or penalty assessment proceedings at this time. We advise you to correct
the item(s) identified in this letter. Failure to do so will result in Valero being subject to
additional enforcement action.
No reply to this letter is required. If you choose to reply, in your correspondence please refer
to CPF 2-2015-5002W. Be advised that all material you submit in response to this
enforcement action is subject to being made publicly available. If you believe that any
portion of your responsive material qualifies for confidential treatment under 5 U.S.C. 552(b),
along with the complete original document you must provide a second copy of the document
with the portions you believe qualify for confidential treatment redacted and an explanation of
why you believe the redacted information qualifies for confidential treatment under 5 U.S.C.
552(b).
Sincerely,
Wayne T. Lemoi
Director, Office of Pipeline Safety
PHMSA Southern Region
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