# NORTHERN NATURAL GAS CO — Notice of Probable Violation

- **operation:** document
- **citation:** CPF 320031004
- **title:** NORTHERN NATURAL GAS CO — Notice of Probable Violation
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2003-02-19
- **effective on:** Not available
- **summary:** CLOSED notice of probable violation citing 192.605(a).
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- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/320031004
**body:**

Notice of Probable Violation involving NORTHERN NATURAL GAS CO. PHMSA's enforcement data identifies the cited regulation as 192.605(a). The case was opened on 2003-02-19 and is reported as closed as of 2003-07-29. Proposed civil penalty: $15,000. Assessed civil penalty: $15,000. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

320031004_Final Order_06232003.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320031004/320031004_Final%20Order_06232003.pdf

cpf320031004o.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320031004/cpf320031004o.pdf

cpf320031004o_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320031004/cpf320031004o_text.pdf

320031004_Final Order_06232003.pdf

o
U.S.Deportment
of Tronsporlotion
Reseorchond
Speciol Progroms
Adminislrqlion
400 Sevenlh St . S W
Washington. D C 20590
Jiiil : 3 ,lii03
Mr. Royce Ramsay
Vice President-Operations
Northem Natural Gas Company
111 South 103'd Street
Omaha, NE 68124-1091
RE: CPF No. 3-2003-1004
Dear Mr. Ramsay:
Enclosed is the Final Order issued by the Associate Administrator for Pipeline Safety in the
above-referencedcase. Itmakesafindingofviolationandassessesacivilpenaltyof$15,000. The
penaltypayment terms are set forth in the Final Order. This enforcement action closes automatically
"po"puyt"ent. Yourreceipt ofthe Final Orderconstitutes service ofthat documentunder49 C.F'R'
$ 190.5.
Sincerely,
Gwendolyn M. Hill
Pipeline Compliance Registry
Office of Pipeline SafetY
Enclosure
CERTIFIED MAIL. RETURN RECEIPT REOUESTED



DEPARTMENT OF TRANSPORTATION
RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION
o TII qI9LPJ lTI IJE SAFE rY
WASHINGTONO D'C' 20590
ln the Matter of
NORTHERN NATT]RAL GAS COMPANY
Respondent
CPF No. 3-2003-1044
FINAL ORDER
Pursuant to 49 U.S.C. $ 60117, arepresentative of the Central Region, Office of Pipeline Safety
(OPS) initiated an investigation of an incident involving a natural gas line operated by Northern
Natural Gas Company (Respondent). The Director, Central Region, OPS, issued to Respondent, by
letter dated February 19 ,2003 ,
a Notice of Probable Violation and Proposed Civil Penalty (Notice).
In accordance with 49 C.F.R. 5 190.207, the Notice proposed finding Respondent in violation of
49 C.F.R. $ 1 92.605(a) and proposed assessing a civil penalty of $ 1 5,000 for the alleged violation.
Respondent responded to the Notice by letter dated February 26,2003 (Response). Respondent
contested the alleged violation, offered an explanation and requested reconsideration ofthe proposed
civil penalty. Respondent did not request a hearing and therefore, has waived its right to one.
FINDINGS OF VIOLATION
The Notice alleges that Respondent violated 49 C.F.R. $ 192.605(a), by failing to follow its manual
of written procedures for conducting operations, maintenance activities and emergency response.
Respondent's Damage Prevention Procedures Number 80.002 (5.4 and 5.5) state that Respondent
will assign a company representative to be present when excavation activities occur within 25 feet
of the pipeline. The manual also states that the depth of the pipeline at the location where it is to be
crossed will be determined using a method that is reliable and produces results compatible with need.
Generally, depth data is determined using electronic instruments and should be confirmed using a
prod rod or the equivalent. However, Respondent's employee gave a third party excavator approval
to dig during a telephone call and no company representative was present during the excavation. The
third party damage resulted in a gas leak.



2
Respondent contested the alleged violation and explained that it promptly reported the incident to
the National Response Center and submitted an Incident Form 7100.2 to OPS. Respondent further
explained that the employee involved received proper training and understood Northern's line
location procedures. Respondent argued that it should not be found in violation because of one
employee's choice not to follow Northern's written procedures for line location.
An employer is ultimately responsible for the actions of its employees. This is a well-settled rule
of law that comes into play when the employer has the right and ability to control or supervise the
activities of an employee. On the moming of October 8,2002, Respondent's employee visited the
excavation site, flagged the pipeline and left with the understanding that the excavator would be in
position to cross the pipeline the next day. However, the excavator phoned Respondent's employee
in the evening on the same day seeking approval to cross the pipeline. During that phone
conversation, Respondent's employee approved excavation activities within 25 feet of the pipeline
without being present at the site and without determining the depth of the pipeline at the location
where it was to be crossed. The excavator struck the pipeline causing a leak, $133,900 in property
damage and the evacuation of sixty people.
An employer is responsible for implementing the necessary training for its employees. Emphasis
should be on achieving the required competencies for the appropriate level of response to a given
situation, rather than on merely accumulating training hours. When an employee acts within the
scope of his authority, as the employer's representative, and fails to take appropriate action, that
failure is attributable to the employer. Respondent's employee approved excavation activities within
25 feet of the pipeline without being present at the site and without determining the depth of the
pipeline at the location where it was to be crossed. Respondent failed to follow its manual ofwritten
proceduresforconductingoperations,maintenanceactivitiesandemergencyresponse. Accordingly,
I find Respondent violated 49 C.F.R. $ 192.605(a),
This f,rnding of violation will be considered a prior offense in any subsequent enforcement action
taken against Respondent.
ASSESSMENT OF PENALTY
Under 49 U.S.C. 5 60122, Respondent is subject to a civil penalty not to exceed $100,000 per
violation for each day of the violation up !o amaximum of $1,000,000 for anyrelated series of
violations. The Notice proposed assessing a penalty of $15,000 for violation of 49 C.F.R.
$ le2.60s(a).
49 U.S.C. 5 60122 and 49 C.F.R. 5 190.225 require that, in determining the amount of the civil
penalty, I consider the following criteria: nature, circumstances, and gravity of the violation, degree
of Respondent's culpability, history of Respondent's prior offenses, Respondent's ability to pay the
penalty, good faith by Respondent in attempting to achieve compliance, the effect on Respondent's
ability to continue in business, and such other matters as justice may require.



3
Respondent requested reconsideration of the proposed civil penalty based on its prompt reporting
of the incident to the National Response Center, submission of an Incident Form 7100.2to OPS and
discharge ofthe employee involved in the incident. Respondent arguedthat the incident would not
have occured but for the actions of one employee who had received proper training on line location
procedures, and understood the procedures but made an individual choice not to follow them.
Respondent further advised that it issued a safety bulletin concerning the incident to each of its
employees ten days after the incident.
An employer is responsible for the actions of its employees at the workplace or while performing
the duties and responsibilities of an employer at any location. If an employee is found to have acted
inappropriately while performing his duties, his acts or omissions are properly atkibutable to the
employer. An employee should have sufficient training or experience to demonstrate competency
in understanding what the hazards are, their associated risks, and the potential outcomes. Operators
are ultimately responsible for their own compliance with Pipeline Safety laws and regulations even
in the face of mistakes, omissions or commissions that occurwithin its employee's scope of duties.
Accordingly, havingreviewed therecord andconsideredthe assessment criteria,I assess Respondent
a civil penalty of $15,000. A determination has been made that Respondent has the ability to pay
this penalty without adversely affectingits ability to continue business.
Payment of the civil penalty must be made within 20 days of service. Federal regulations
(49 C.F.R. $ 89.21(bX3)) require this payment be made by wire transfer, through the Federal
Reserve Communications System (Fedwire), to the account of the U.S. Treasury. Detaited
instructions are contained in the enclosure. After completing the wire transfer, send a copy ofthe
electronic funds transfer receipt to the Office of the Chief Counsel (DCC-l), Research and
Special Programs Administration, Room 8407, U.S. Department of Transportation,400 Seventh
Street, SW, Washington, DC 20590-0001.
Questions conceming wire transfers should be directed to: Financial Operations Division(AMZ-
120), Federal Aviation Administration, Mike Monroney Aeronautical Center, P.O. Box 25770,
Oklahoma City, OK 73125; (405) 954-4719.
Failure to pay the $ 1 5,000 civil penalty will result in accrual of interest at the current annual rate in
accordancewith3lu.s.c. s3717,31C.F.R.$901.9and49C.F.R.$89.23. Pursuanttothosesame
authorities, a late penalty charge of six percent (6%) per annum will be charged if payment is not
made within 1 10 days of service. Furthelanore, failure to pay the civil penalty may result in referral
of the matter to the Attorney General for appropriate action in an United States District Court.
Under 49 C.F.R. $ 190.215, Respondent has a right to petition for reconsideration of this Final
Order. However, if the civil penalty is paid, the case closes automatically and Respondent waives
the right to petition for reconsideration. The filing of the petition automatically stays the payment



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of any civil penalty assessed. The petition must be received within 20 days of Respondent's receipt
of this Final Order and must contain a brief statement of the issue(s). The terms and conditions of
this Final Order are effective on receipt.
: , )
Date Issued
&,qso.iute Administrator
for Pipeline Safety
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