WILLIAMS ENERGY SERVICES — Notice of Probable Violation

case documentOfficial PDF320035001.pdf#

320035001_Final Order_11252003.pdf, page 1Official PDFU.S. Department 400 Seventh St.. S.W of Transportation Washington. D.C. 20590 Research and pecial Program Idministratio: NOV 2 5 2003 Mr. Rick A. Olsen Vice President, Pipeline Operations Magellan Midstream Partners, L.P. One Williams Center, Mail Drop 28-1 P. O. Box 22186 Tulsa, OK 74121-2186 RE: Mid-America Pipeline Company (CPF No. 3-2003-5001) Dear Mr. Olson: Enclosed is the Final Order issued by the Associate Administrator for Pipeline Safety in the above-referenced case. It makes a finding of violation and assesses a civil penalty of $4,000. Your receipt of the Final Order constitutes service of that document under 49 C.F.R. § 190.5. I acknowledge receipt of, and accept your (Williams Energy Services) payment dated January 23, 2003 in the amount of $4,000 as payment in full of the civil penalty assessed against MAPCO in the Final Order. MAPCO was owned by Williams Energy, which is now Magellan Midstream Partners, L.P. This case is now closed. Thank you for your cooperation in our joint effort to ensure pipeline safety. Sincerely, Jan M for Gwendolyn M. Hill Pipeline Compliance Registry Office of Pipeline Safety Enclosure CERTIFIED MAIL - RETURN RECEIPT REQUESTED#

320035001_Final Order_11252003.pdf, page 2DEPARTMENT OF TRANSPORTATION RE SEARCH AI\D S PECIAL PROGRAMS ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON, D.C. 20590 In the Matter of ) Mid-America pipeline Companyr ) CPF No. 3-2003-5001 Respondent ) FINAL ORDER On April 28 through May 2,2002,pursuant to 49 U.S.C. $ 60117, a representative of the Office of pipeline Safety (OFS), conducted an on-site pipeline safety inspection of Respondent's facilities and records at Mid-America Pipeline (MAPCO) in Iowa City, IA. As a result of the inspection, the Director, Central Region, OPS, issued to Respondent, by letter dated January 15,2003, a Notice of probable Violation and Proposed Civil Penalty (Notice). In accordance with 49 C.F.R. $ 190.207' the Notice proposed finding that Respondent committed a violation of 49 C.F.R. $195.573 and proposed assessing a civil penalty of $4,000 for the alleged violation. Respondent failed to respond within 30 days after it had received the Notice. Respondent's failure to rispond constitutes a waiver of Respondent's right to contest the allegations in the Notice and authorizes the entry of this Final Order. Respondent submitted payment in the amount of the proposed penalty ($4,000), waiving further right to appeal. FINDINGS OF VIOLATION Respondent did not contest the alleged violation of $ 195.573 in the Notice. Accordingly, I find that Respondent violated 49 c.F.R. Part 195, as more fully described in the Notice: 49 c.F.R. $195.573 -failingto electricallycheckforproperperformanceofthecritical bond located on Segment eq-q alNIp 54.04in the Iowa City Unit at least six times each calendar year but with intervals not exceeding 2 t/zmonths, as the bond was only checked twice in lggg, four (4) times in 2000, and four (4) times in 2001' This finding of violation will be considered a prior offense in any subsequent enforcement action taken against ResPondent. lThe payrnent was submitted by williams Energy. MAPCo was owned by williams Energy, which is now Magellan Midstream Partners, L.P.#

320035001_Final Order_11252003.pdf, page 3ASSESSMENT OF PENALTY Under 49 U.S.C. S 60122, Respondent is subject to a civiT penalty not to exceed $100,000 per violation for each day of the violation up to a maximum of $1,000,000 for any related series of violations. 49 U.S.C. S 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 ofthe 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. The Notice proposed a civil penalty of $4,000 for violatio nof 49C.F.R. $195.573, as Respondent failed to monitor external corrosion control on Segment 64-4 at MP 54.04 in the Iowa City Unit. Accordingly, having reviewed the record and considered the assessment criteria, I assessed Respondent a civil penalty of $4,000, already paid by the Respondent. Under 49 C.F.R. $ 190.21 5, Respondent has a right to submit a Petition for Reconsideration of this Final Order. 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 filing of the petition automatically stays the payment of any civil penalty assessed. However if Respondent submits payment for the civil penalty, the Final Order becomes the final administrative decision and the right to petition for reconsideration is waived. The terms and conditions of this Final Order are effective on receipt. NQV Z 5 ;{rijj Date Issued Stacev Gerard z J .4 #lss o ciate Admini strator I- ' for Pipeline Safety#