FLINT HILLS RESOURCES, LC — Notice of Probable Violation

case documentOfficial PDF320035002.pdf#

320035002_Final Order_08082003.pdf, page 1Official PDFt- I ?} U.S.Deportment of Tronsportolion Reseorch ond Speciol Progroms Adminislrolion 400 Seventh St . S W Washington. D C 20590 AUG - 8 2AA3 Mr. Patrick M. McCann Senior Vice President, Operations Koch Pipeline Company, LP 4111 East 37th Street, North Wichita, KS 67201 Re: CPF No. 3-2003-5002 DearMr. McCann: 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 penaltyforthe violation. 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 wire transfer dated March 18, 2003 for $15,000 as paynent in full of the civil penalty assessed in the Final Order. This case is now closed and no further enforcement action is contemplated with the respect to the matters involved in this case. Thank you for your cooperation in our joint effort to ensure pipeline safety. Sincerely, Gwendolyn M. Hill Compliance Registry Office of Pipeline Safety Enclosure CERTIFIED MAIL - RETURN RECEIPT REOUESTED#

320035002_Final Order_08082003.pdf, page 2DEPARTMENT OF TRANSPORTATION RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON. DC 20590 In the Matter of Koch Pipeline Company, LP ) ) ) ) Respondent. ) CPF No. 3-2003-5002 FINAL ORDER On Decemb er 20,2001, pursuant to 49 U.S.C. $ 601 17, a representative of the Office of Pipeline Safety (OPS) conducted an incident investigation ofRespondent's facility in Kossuth County, Iowa. As a result of the inspection, the Director, Central Region, OPS, issued to Respondent, by letter dated February 20,2003, a Notice of Probable Violation and Proposed Civil Penalty (Notice). In accordance with 49 C.F.R. I 190.207,the Notice proposed finding that Respondent had committed violation of 49 C.F.R. $ 195.402 and proposed assessing a civil penalty of $15,000 for the alleged violation. FINDINGS OF VIOLATION Respondent did not contest alleged violation $ 195.402 in the Notice. Accordingly, I find that Respondent violated the following section of 49 C.F.R. Part 195, as more fully described in the Notice: 49 C.F.R. 5195.402-- failureto followwrittenprocedures forconductingnormal operations ofmaintaining clearance between the pipeline and excavating equipment while working on the pipeline. This finding of violation will be considered a prior offense in any subsequent enforcement action taken against Respondent. ASSESSMENT OF PENALTY Under 49 U.S.C. S 60122, Respondent is subject to a civil 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. 5 60L22AND 49 C.F.R. 5190.225 require that, in determining the amount of the civil penalty, I consider the following criteria: nature, circumstances, and gravity ofthe violation, degtee#

320035002_Final Order_08082003.pdf, page 32 of Respondent's culpability, history ofRespondent's prior offenses, Respondent's ability to pay the penalty, good faith byRespondent in attempting to achieve compliance, the effect on Respondent's ability to continue in business, and such other matters as justice may require. I assess a civil penalty in the amount of $15,000, akeady paid by Respondent. The terms and conditions of this Final Order are effective upon receipt. AUG - 8 2003 Date Issued#