{"operation":"document","citation":"CPF 220190003W","title":"AMERIGAS PROPANE LP — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-04-25","effective_on":null,"summary":"CLOSED warning letter citing 191.11(a), 191.11(b), 192.1007(e)(1)(v), 192.1011, 192.11(b).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-220190003w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-220190003w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-220190003w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/220190003W","body":"Warning Letter involving AMERIGAS PROPANE LP. PHMSA's enforcement data identifies the cited regulations as 191.11(a),  191.11(b),  192.1007(e)(1)(v),  192.1011,  192.11(b). The case was opened on 2019-04-25 and is reported as closed as of 2019-04-25. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n220190003W_Warning Letter_04252019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/220190003W/220190003W_Warning%20Letter_04252019.pdf\n\n220190003W_Warning Letter_04252019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/220190003W/220190003W_Warning%20Letter_04252019_text.pdf\n\n220190003W_Warning Letter_04252019_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nApril 25, 2019\nMr. Hugh Gallagher\nPresident and CEO\nAmeriGas Propane, LP\n460 N. Gulph Road\nKing of Prussia, PA 19406\nCPF 2- 2019-0003W\nDear Mr. Gallagher:\nOn July 12, 2018, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), Southern Region, Office of Pipeline Safety(OPS), inspected\nAmeriGas Propane, LP (AmeriGas) liquefied petroleum gas (LP-Gas) records and selected\nprocedures in its Fort Myers, Florida, office and pipeline facilities in Lee County, Florida,\npursuant to Chapter 601 of 49 United States Code (U.S.C.). The AmeriGas Fort Myers\nlocation operates under the Balgas business name.\nAs a result of the inspection, it is alleged that AmeriGas has committed probable violations\nof the Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items\ninspected and the probable violations are:\n1. § 191.11 Distribution system: Annual report.\n(a) General. Except as provided in paragraph (b) of this section, each operator\nof a distribution pipeline system must submit an annual report for that system on\nDOT Form PHMSA F 7100.1-1. This report must be submitted each year, not later\nthan March 15, for the preceding calendar year.\n(b) Not required. The annual report requirement in this section does not apply\nto a master meter system or to a petroleum gas system that serves fewer than 100\ncustomers from a single source.\nAmeriGas failed to meet the regulation because it did not submit complete and accurate\nannual reports for all of its distribution pipeline systems. Specifically, AmeriGas failed\n1\n\n\n\nto provide a complete and accurate accounting of leaks repaired during calendar year\n2017, on Part C of the ‘Annual Report for Calendar Year 2017,’on its petroleum gas\nsystems in Florida.\nThe Form PHMSA F 7100.1-1 is used to report all distribution pipeline systems, that\nserve 100 or more customers, for a given commodity and within a given state. Through\nits district offices, AmeriGas operates a number of petroleum gas distribution systems\nserving 100 or more customers in the State of Florida. The data on these is collected at\nthe district level for inclusion in AmeriGas’ statewide Annual Reports.\nThe calendar year 2017 district-level Form PHMSA F 7100.1-1 for the Heron’s Glen\nsystem did not identify any repaired leaks. This conflicted with leak repair records\nmaintained by the district. These records indicated at least 2 leaks repaired in 2017- one\non Embarcadero Way North on (or about) July 25, and one on Valparaiso Boulevard\nNorth on (or about) August 3. These two leaks were not included on the district-level\nForm PHMSA F 7100.1-1 and therefore not included in the ‘Annual Report for Calendar\nYear 2017’ for AmeriGas petroleum gas systems in Florida.\n2. § 192.11 Petroleum gas systems.\n(a) . . . .\n(b) Each pipeline system subject to this part that transports only petroleum gas\nor petroleum gas/air mixtures must meet the requirements of this part and of\nANSI/NFPA 58 and 59.\nAmeriGas failed to meet the requirements of NFPA-58 (2004)1 for each pipeline system\nthat transports petroleum gas, as follows:\nNFPA 58 § 5.10.5 Where fusible elements are used, they shall have a melting point\nnot exceeding 250°F (121°C).\nAmeriGas failed to meet the requirements of NFPA 58 § 5.10.5 which requires fusible\nelements to have a melting point not exceeding 250°F.\nThe PHMSA inspector identified plastic air-line tubing2 at the Heron’s Glen regulator\nstation, used a fusible element, that was not marked with a melting point temperature.\nThe inspector asked AmeriGas personnel to provide the material specifications for the\ntubing to demonstrate that it met the NFPA melting point requirement. AmeriGas\npersonnel researched the material specifications and determined that the melting point of\nthe installed plastic tubing exceeded 250°F and, subsequently, replaced the tubing with\ntubing met the NFPA melting point requirement.\n3. § 192.1011 What records must an operator keep?\nAn operator must maintain records demonstrating compliance with the\n1 The 2004 edition of NFPA 58, “Liquefied Petroleum Gas Code (LP-Gas Code),” is the edition currently\nincorporated, by reference, in §192.7.\n2 The air-line tubing used in this instance was intended to meet the requirement that emergency shutoff valves\nbe provided with a means of closing by manual shutoff from a remote location and automatic shutoff\nthrough thermal (fire) actuation.\n2\n\n\n\nrequirements of this subpart for at least 10 years. The records must include copies\nof superseded integrity management plans developed under this subpart.\n§ 192.1007 What are the required elements of an integrity management plan?\nA written integrity management plan must contain procedures for developing and\nimplementing the following elements:\n(a) . . . .\n(e) Measure performance, monitor results, and evaluate effectiveness.\n(1) Develop and monitor performance measures from an established baseline to\nevaluate the effectiveness of its IM program. An operator must consider the results\nof its performance monitoring in periodically re-evaluating the threats and risks.\nThese performance measures must include the following:\n(i) . . . .\n(v) Number of hazardous leaks either eliminated or repaired as required by\n§192.703(c) (or total number of leaks if all leaks are repaired when found),\ncategorized by material; and [...]\nAmeriGas failed to maintain records demonstrating its compliance with certain\nSubpart P, Gas Distribution Pipeline Integrity Management, requirements. Specifically,\nAmeriGas failed to maintain records demonstrating that it considered in its performance\nmonitoring the performance measure required by § 192.1007 (e)(1)(v), that is the\nnumber of hazardous leaks eliminated or repaired, as required by §192.703(c),\ncategorized by material.\nWhen the PHMSA inspector requested the 2017 performance measures for the Heron’s\nGlen system, AmeriGas personnel directed the inspector to the calendar year 2017\nPHMSA F 7100.1-1 for the Heron’s Glen system for a summary of the performance\nmeasures. While the PHMSA F 7100.1-1 provided operators a place to report\nperformance measures required by § 192.1007 (e)(1)(i) to (iv), it did not require or\nprovide a place for operators to report the performance measure required by § 192.1007\n(e)(1)(v). AmeriGas did not provide any other records to demonstrate that it had\nconsidered the number of hazardous leaks eliminated or repaired, categorized by\nmaterial, in its performance monitoring .\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, AmeriGas is subject to a civil penalty not to\nexceed $209,002 per violation per day the violation persists, up to a maximum of $2,090,022\nfor a related series of violations. For violations occurring prior to November 2, 2015, the\nmaximum penalty may not exceed $200,000 per violation per day, with a maximum penalty\nnot to exceed $2,000,000 for a related series of violations. We have reviewed the\ncircumstances and supporting documents involved in this case, and have decided not to\nconduct additional enforcement action or penalty assessment proceedings at this time. We\nadvise you to correct the items identified in this letter. Failure to do so will result in AmeriGas\nbeing subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer\nto CPF 2-2019-0003W. Be advised that all material you submit in response to this\nenforcement action is subject to being made publicly available. If you believe that any\n3\n\n\n\nportion of your responsive material qualifies for confidential treatment under 5 U.S.C.\n552(b), along with the complete original document you must provide a second copy of the\ndocument with the portions you believe qualify for confidential treatment redacted and an\nexplanation of why you believe the redacted information qualifies for confidential treatment\nunder 5 U.S.C. 552(b).\nSincerely,\nJames A. Urisko\nDirector, Office of Pipeline Safety\nPHMSA Southern Region\n4","truncated":false,"body_characters":8736}