GULFSTREAM MANAGEMENT & OPERATING SERVICES,LLC — Notice of Probable Violation

case documentOfficial PDF220201001_NOPV PCP_01232020.pdf#

case documentOfficial PDF220201001_NOPV PCP_01232020_text.pdf#

party submissionOfficial PDF220201001_Operator Response to Notice_03022020.pdf#

220201001_Final Order_04062020_text.pdf, page 1Official PDFVIA EMAIL TO: alan.armstrong@williams.com, tyson.green@williams.com, mark.cluff@williams.com, amy.shank@williams.com, and mark.cizek@williams.com Mr. Alan S. Armstrong President and Chief Executive Officer The Williams Companies, Inc. One Williams Center Tulsa, Oklahoma 74172 Re: CPF No. 2-2020-1001 Dear Mr. Armstrong: Enclosed please find the Final Order issued in the above-referenced case. It makes a finding of violation and assesses a civil penalty of $209,002. When the civil penalty has been paid, this enforcement action will be closed. Service of the Final Order by e-mail is effective upon the date of mailing as provided under 49 C.F.R. § 190.5. Thank you for your cooperation in this matter. Sincerely, Alan K. Mayberry Associate Administrator for Pipeline Safety Enclosures (Final Order and NOPV) cc: Mr. James Urisko, Director, Southern Region, Office of Pipeline Safety, PHMSA Mr. Tyson Green, Manager Pipeline Safety - Transmission and Gulf of Mexico, Williams Mr. Mark Cluff, Vice President - Safety & Operational Discipline, Williams Ms. Amy Shank, Director – Pipeline Safety & Asset Integrity, Williams Mr. Mark Cizek, Vice President/General Manager, Gulf of Mexico, Williams VIA EMAIL – CONFIRMATION OF RECEIPT REQUESTED#

220201001_Final Order_04062020_text.pdf, page 2U.S. DEPARTMENT OF TRANSPORTATION PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON, D.C. 20590 In the Matter of ) The Williams Companies, Inc., ) CPF No. 2-2020-1001 ) ) ) Respondent. ) ____________________________________) FINAL ORDER On January 23, 2020, pursuant to 49 C.F.R. § 190.207, the Director, Southern Region, Office of Pipeline Safety (OPS), issued a Notice of Probable Violation (Notice) to The Williams Companies, Inc. (Respondent).1 The Notice proposed finding that Respondent, who owns Gulfstream Management & Operating Services (Gulfstream)2, had violated the pipeline safety regulations in 49 C.F.R. Part 192 and proposed a civil penalty of $209,002. Respondent did not contest the allegation of violation or the proposed civil penalty. Based upon a review of all of the evidence, pursuant to § 190.213, I find Respondent violated the pipeline safety regulations listed below, as more fully described in the enclosed Notice, which is incorporated by reference: 49 C.F.R. § 192.613(b) (Item 4) ─ Respondent failed to initiate a program to recondition or phase out a segment of its pipeline that it determined to need repair. These findings of violation will be considered prior offenses in any subsequent enforcement action taken against Respondent. In accordance with 49 C.F.R. § 190.223, I assess Respondent a total civil penalty of $209,002. Payment of the civil penalty must be made within 20 days of service. Federal regulations (49 C.F.R. § 89.21(b)(3)) require such payment to be made by wire transfer through the Federal Reserve Communications System (Fedwire), to the account of the U.S. Treasury. Detailed 1 Although the Notice was addressed to Williams Partners, LP, the correct company name is The Williams Companies, Inc. The Williams Companies, Inc. merged and acquired Williams Partners, LP in 2018. See Business Wire article, available at https://www.businesswire.com/news/home/20180810005328/en/Williams-Completes- Acquisition-Williams-Partners (last accessed March 6, 2020). 2 Respondent owns 50 percent of Gulfstream. See, Williams, Company Information, website, available at https://www.williams.com/pipeline/gulfstream/ (last accessed March 6, 2020).#

220201001_Final Order_04062020_text.pdf, page 3CPF No. 2-2020-1001 Page 2 instructions are contained in the enclosure. Questions concerning wire transfers should be directed to: Financial Operations Division (AMK-325), Federal Aviation Administration, Mike Monroney Aeronautical Center, 6500 S MacArthur Blvd, Oklahoma City, Oklahoma 79169. The Financial Operations Division telephone number is (405) 954-8845. Failure to pay the $209,002 civil penalty will result in accrual of interest at the current annual rate in accordance with 31 U.S.C. § 3717, 31 C.F.R. § 901.9 and 49 C.F.R. § 89.23. Pursuant to those same authorities, a late penalty charge of six percent (6%) per annum will be charged if payment is not made within 110 days of service. Furthermore, failure to pay the civil penalty may result in referral of the matter to the Attorney General for appropriate action in a district court of the United States. WARNING ITEMS With respect to Items 1, 2 and 3, the Notice alleged probable violations of 49 C.F.R. §§ 191.5(a), 191.5(b), and 192.605(a), respectively, but did not propose a civil penalty or compliance order for these items. Therefore, these are considered to be warning items. If OPS finds a violation of any of these items in a subsequent inspection, Respondent may be subject to future enforcement action. The terms and conditions of this order are effective upon service in accordance with 49 C.F.R. § 190.5. April 6, 2020 ___________________________________ __________________________ Alan K. Mayberry Date Issued Associate Administrator for Pipeline Safety#