CCPS TRANSPORTATION, LLC — Notice of Probable Violation

case documentOfficial PDFCPF No 3-2004-5014 BP Pipelines (North America) Inc.pdf#

320045014_final order_01032006_text.pdf, page 1Official PDFU S Depanment of Transportation Pipeline and Hazardous Materials Safety Administration g„yrrt00 Seventh Street, S W Washington D C 20590 JAN -3 2005 Mr Jim Lamanna President BP Pipelines (North America) Inc 28100 Torch Parkway Warrenvtlle, IL 60555 Re CPF No 3-2004-5014 Dear Mr Lamanna Enclosed is the Fmal Order issued by the Associate Administrator for Pipeline Safety in the above-referenced case It makes finding of violation and assesses a civil penalty of $5, 500 The penalty payment terms are set forth in the Final Order This enforcement action closes automatically upon payment Your receipt of the Final Order constitutes service of that document under 49 C F R 5 190 5 Sincerelv James Reynolds Pipeline Compliance Registry Office of Pipeline Safety Enclosure cc Mr Ivan Huntoon Director, Central Region, OPS CERTIFIED MAIL - RETURN RECEIPT RE UESTED#

320045014_final order_01032006_text.pdf, page 2DEPARTMENT OF TRANSPORTATION PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON, D. C. 20590 In the Matter of ) BP Pipehnes (North America) Inc, ) ) ) Respondent ) FINAL ORDER On August 25-29, 2003, pursuant to 49 U S C 5 60117, a representauve of the Pipehne and Hazardous Materials Safety Administration (PHMSA) conducted an on-site pipehne safety inspection of Respondent's Cushing to Clucago (CCPS) pipehne facihties and records As a result of the inspection, the Director, Central Region PHMSA, issued to Respondent, by letter dated May 5, 2004, a Notice of Probable Violation and Proposed Civil Penalty (Notice) In accordance with 49 C F R 5 190 207 the Notice proposed finding that Respondent had committed violations of 49 C F R Part 195 and proposed assessing a civil penalty of $5, 500 for the alleged violations Respondent responded to the Notice by letter dated June 17 2004 (Response) Respondent did not contest the allegations of violation, but it provided information concerning the corrective actions it has taken and requested that the proposed civil penalty be reduced Respondent did not request a hearing, and therefore has waived its nght to one FINDINGS OF VIOLATION In its Response, Respondent did not contest the alleged violations in the Notice Accordingly, I find that Respondent violated the follovving sections of 49 C F R Part 195, as more fully described in the Notice 49 C F R si 195 410(c) (Notice Item I) — faihng to provide hne marking at the six specified locations where the line is above ground in areas that are accessible to the public, and 49 C F R 5 195 428 — (Notice Item 3) failing to inspect and test the incoming pressure iehef valve at the Flanagan Station in 2002 These findings of violation vill be considered pnor offenses in an& subsequent enforcement acnon taken against Respondent#

320045014_final order_01032006_text.pdf, page 3ASSESSYIENT OF PENALTY Under 49 U S C g 60122, Respondent is sublect 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 60122 and 49 C F R 5 190 225 require that in determining the amount of the civil penalty, I consider the following cntena nature, circumstances, and gravity of the violation, degree of Respondent's culpability, history of Respondent's pnor offenses, Respondent's abihty to pay the penalty, good faith by Respondent in attempting to achieve compliance the effect on Respondent's abihty to continue in business, and such other matters as )ustice may require W'rth respect to Item I, the Notice proposed a civil penalty of $4, 500 for Respondent's failure to provide line marking at tne six specrfrert locations where the hne is above ground in areas that are accessible to the pubhc Ensuring that hnes are properly marked is an important part of pipehne safety and damage prevention Fatling to place line markers at above-ground spans can impede the public's ability to inform the operator of any pipeline problem that may arise and hamper incident response Respondent has presented no mformation that would warrant a reduction in the civil penalty amount proposed in the Notice for this violation Accordingly, I assess Respondent a civil penalty of $4 500 for violating 49 C F R $ 195 410(c) Viiith respect to Item 3, the Notice proposed a civil penalty of $1, 000 for Respondent's failure to inspect and test the incoming relief valve at the Flanagan Station in 2002 Pipehne operators are required to inspect and test each pressure relief valve at least once each calendar year at an interval not to exceed 15 months Timely inspectior. and testing of overpressure devices is an important part of pipeline safety because these devices protect the pipeline from surges and overpressure condinons that could cause a failure incident and threaten the public, property or the environment Respondent has presented no informanon that would warrant a reduction in the cn il penalty amount proposed m the Nonce for this violation Accordingly I assess Respondent a civil penalty of $1, 000 for violating 49 C F R ( 195 428 Accordingly, having rev iev, ed the record and considered the assessment critena, I assess Respondent a total civil penalty of $5 500 Payment of the civil penalty must be made within 20 days of service Payment may be made bI sending a certified check or money order (containing the CPF Number for this case) payable to "U S Department of Transportation" to the Federal Aviation Adnunistration, Mike Monroney Aeronautical Center, Financial Operations Division (AMZ-120), P 0 Box 25082 Oklahoma Citv OK 73125 Federal regulations (49 C F R 5 89 21(b)(3)) also permit this payment to be made by wire transfer tluough the Federal Reserve Communications System (Fedwire)„ to the account of the U S Treasury Detailed instructions are contained in the enclosuie Questions concerning wire transfers should be directed to Financial Operauons Dii ision (AMZ-120) Federal Ai iation#

320045014_final order_01032006_text.pdf, page 4Administration, Mike Monroney Aeronautical Center, P 0 Box 25082, Oklahoma City OK 73125, (405) 954-4719 Failure to pay the $5, 500 civil penalty will result m accrual of interest at the current annual rate inaccordance with 31 US C 53717 31 C FR 5901 9 and 49 CF R g 89 23 Pursuant to those same authorities, a late penalty charge of six percent (6%) per annum v ill be charged if payment is not made vnthin 110 days of service Furthermore, failure to pay the civil penalty ma) result in referral of the matter to the Attorney General for appropriate action in a United States District Court WARNING ITEMS The Notice did not propose a civil penalty or compliance order for items 2 and 4 in the Notice Therefore, these are considered warning items The warnings were for Respondent*s failure to adequately inspect surface conditions along the pipehne right-of-way in accordance with ( 195 412, and failure to address atmospheric corrosion at two locations in accordance with ( 195 583 Respondent presented information its response showing that it has initiated actions to address these items Respondent is warned that if these items are not fully addressed, enforcement action will be taken if a subsequent inspection reveals a violation Under 49 C F R 5 190 215, Respondent has a right to submit a petition for reconsideration of this Final Order Should Respondent elect to do so, 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 fihng of a 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 (7 Stye y G rard Asso iate Administrator for ipehne Safety Date Issued#