{"operation":"document","citation":"CPF 320045015","title":"BP PIPELINE (NORTH AMERICA) INC. — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2004-05-06","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.402(c)(3), 195.404, 195.428(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320045015.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320045015.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320045015","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320045015","body":"Notice of Probable Violation involving BP PIPELINE (NORTH AMERICA) INC.. PHMSA's enforcement data identifies the cited regulations as 195.402(c)(3),  195.404,  195.428(a). The case was opened on 2004-05-06 and is reported as closed as of 2007-04-16. Proposed civil penalty: $18,500. Assessed civil penalty: $18,500. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320045015_Final Order_10142005.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320045015/320045015_Final%20Order_10142005.pdf\n\n320045015_Final Order_10142005.pdf\n\n@\nU.S. Deportrnent\nof Tronsporlollon\nPipeline ond\nHozordous rnoferiols Sqfety\nAdministrqfion\n400 Sevenlh Street, S.W.\nWashington, D.C. 20590\nOeT 1 4 n05\nMr. Jim Larctanna\nPresident\nBP Pipelines (North America) Inc.\n28100 Torch Parkway\nWarrenville, IL 60555\nRe: CPF No. 3-2004-5015\nDear Mr. Lamanna:\nEnclosed is the Final Order issued by the Associate Administrator for Pipeline Safety in the\nabove-referenced case. It makes findings of violation and assesses a civil penalty of $18,500. The\nOrder also hnds that you have addressed the inadequacies in your procedures that were cited in the\nNotice of Amendment. When the civil penalty is paid, this enforcement action will be closed. The\npenalty payment terms are set forth in the Final Order. Your receipt of the Final Order constitutes\nservice of that document under 49 C.F.R. $ 190.5.\nSincerely,\n{\\ r,\n-[-^.^ {L4---=\nJames Reynolds\nPipeline Compliance Registry\nOffice of Pipeline Safety\nEnclosure\nIvan Huntoon\nDirector, Central Region, OPS\n\n\n\nDEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERI,ALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, DC 20590\nIn the Matter of\nBP Pipelines (North America) Inc.,\nRespondent.\n)\n)\n)\n)\n)\n)\nCPF No. 3-2004-5015\nFINAL ORDER\nDuring the weeks of Jrure 2,2003 and August 11,2003, pwsuant to 49 u.s.c. $ 60117, a\nrepresentafive ofthe Office ofPipeline Safety(OPS), conducted anon-sitepipeline safetyinspection\nof Respondent's crude oil pipeline facilities and records in Manhattan, Illinois. As a result of the\ninspection, the Director, Central Region, OPS, issued to Respondent, by letter dated,May 6,2004,\na Notice of Probable Violation, Proposed Civil Penalty, and Notice of Amendment (Notice). In\naccordance with 49 C.F.R. 5 190.207, the Notice proposed finding that Respondent had committed\nviolations of 49 C.F.R. Part 195, and proposed assessing a civil penalty of $ 18,500 for the alleged\nviolations. The Notice also proposed, in accordance with 49 C.F.R. $ 190.237, that Respondent\namend its procedures for operations, maintenance and emergencies.\nRespondent responded to the Notice by letter dated Iune 77,2004 (Response). Respondent did not\ncontest the allegafions of violation but provided information conceming the corrective actions it has\ntaken. Respondent did not request ahearing, and therefore has waived its right to one.\nFINDINGS OF VIOLATION\nIn its response, Respondent did not contest the alleged violations in the Notice. Accordingly, I find\nthat Respondent committed the following violations of 49 C.F.R. Part 195, as more fully described\nin the Norice:\n49 C.F.R. $ l95.a0a(c)(3) (Notice Item 2a) - failing to adequateiy document all required\nmonthly breakout ta.nk inspections at the Manhattan facility in the 2001-2003 period;\n49 C.F.R. $ 195.a04(c)(3) (Notice Item 2c) - failing to adequatelydocument high-pressure\ncase sw-itcli ir-rspections fbr pumps 2-A and 2-B atthe Griffith-Lakehead station in 2001 and\n2002.\n\n\n\n2\n49 C'F'R' I 195'428(a) (Irtrotice Item 3a) - failing to demonstrate that all required pressure\nrelief device inspections were conductei at the Manhattan facility in the 2001-2002 period.\nThese findings ofviolation will be considered prior offenses in any subsequent enforcement action\ntaken against Respondent.\nUnder 49 U.S.C. S 60122, Respondent is subject to a civil penalty not\n'$t,OOd,OOO\nto exceed $100,000 per\nviolation for each day of the violation up to a maximu.o of\nfor any related series of\nviolations.\n49 U'S'C' fi 60122 atfi 49 C.F.R. $ 190.225 require that, in determining the amount of rJre civil\npenalty, I consider the following criteria: nature, circumstances, and gravily of the violation, Aeg\"\"\nofRespondent's culpability, history of Respondent's prior offenses, iespondent,s ability to pay the\npenalty, good faith by Respondent in attempting to achieve compliancq the effect on n\".p*a\"rri;,\nability to continue in business, and such other matters as justice may require.\nWith respect toltemZa,the Noticeproposed that Respondentbe assessed a civil penalty of $15,000\nfor violating $ 1 95.a0a(c)(3) by failing to adequatelydocument all required monthly breakout tank\ninspectionsattheManhattanfacilityinthe2ooi-zoo:period. Thepipeiinesafetyregulationsrequire\npipeline operators to maintain complete and accurate records of their facility inspections to ensurc\nthat all inspections are performed within the applicable time interval. The failure to maintain\ncomplete and accurate records hinders the ability of OPS to determine whether an operator is\noperating its pipeline safely, and may hinder an operator's ability to adequately assess the status of\nits system and to promptly troubleshoot abnormal conditions.\nIn its response, Respondent indicated that it had reviewed its record keeping practices to ensure that\nfuturetankinspectionswouldbefullydocumented. Respondent,however,presentednoinformation\nthat would waffant a reduction in the penalty amount proposed. in the Notice for this item.\nAccordingly, having reviewed the record and considered the assessment criteria, I assess Respondent\na civil penalty of $15,000 for this violation.\nW-ith.respect to Item2c,JheNoticeBroposedJhatRespsndent$e e$s€ssed,aeivi+penaltyof $1,O00\nfor violating $ 195.a0a(c)(3) by failing to adequately document high-pressure case switch\ninspections for pumps 2-A and2-B atthe Griffith-Lakehead station in 2001 and2002. The pipeline\nsafety regulations require pipeline operators to maintain complete and accurate record.s of their\nfacility inspections to ensure that all inspections are consistently performed within the applicable\ninterval. The failure to maintain complete and accurate records hinders the ability oi-Ops to\ndetermine whether an oporator is operaling its pipeline sa,felrv, and ma.y hinde.r an operator,s ability\nto adequately assess the status of its system and to promptly troubleshoot abnormal conditions. In\nits response, Respondent indicated that it had reviewed its record keeping practices to ensure that\nfuture inspections would be fully documented. Respondent, however, presented no information that\n\n\n\n3\nwould warrant a reduction in the penalty amouat proposed in the Notice for this item. Accordingly,\nhaving reviewed the record and considered the-assessment criteria, I assess Respondent a civil\npenalty of $ 1,000 for this violation.\nwith respect to Item 3a' the Notice proposed that Respondent be assessed a civil penalty of g2,500\nfor violating s 195 a28(a) by failing to demonstrate that all required pressure relief device\ninspections were conducted at the Manhattan facility in the 2001-2001 period. The pipeline safety\nregulations require pipeline operators to inspect andtest each pressure relief device at intervals not\nexceeding 15 months, but at least once each calendar year, and to maintain records of these\ninspections' Pressure relief devices protect the pipelin\" system-from surges of a magnitude that can\nadversely affect the integrity of the pipeline. The failureio timely conduct and document pressure\nrelief valve inspections at a piperine facility can have safety-rel#d impacts.\nIn its response, Respondent indicated that it inspected and tested the specified pressure reliefvalves\nin2003, and that it had reviewed its record keeping practices to ensuri that future valve inspections\nwould be fully documented. Respondent, however, presented no information that would wa.rrant a\nreduction in the penalty amount proposed in the Notice for this item.\nAccordingly, having reviewed the record and considered the assessment criteria, I assess Respondent\na civil penalty of$2,500 for this violation.\nAccordingly, having reviewed the record and considered the assessment criteria, I assess Respondent\na total civil penalty of $ 1 8,500.\nPllment of the civil penalty must be made within 20 days of service. Federal regulations\n(49 C'F'R' $ 89.21(bX3)) require this paymentbe made bywire transfer, through the Federal Reserve\nCommunications System (Fedwire), to the account of the U.S. Treasury. Detailed instructions are\ncontained in the enciosure' Questions conceming wire transfers shouid be directed to: Financial\noperations Division (AMZ-120), Federal Aviation Administration, Mike Monroney Aero nautical\nCenter, P.O. Box 25082, Oklahoma City, OK 73125; (405) 954_4719.\nFailure to pay the $ 18,500 civil penalty will result in accrual of interest at the current arurual rate in\naccordancewith3lU.S.c.$3717,31c.F.R.$901.9and4gc.F.R.$g9.23. pursuanttorhosesame\nau-tLolities-a-lat-e-p-e-4alty charge-ofsixpercent(6golperarurum rvill.be eharg€di+payment is not\nmade within I 10 days of service. Furthetmore, failure to pay the civil penalty *uy.\"rolt i1 referraL\nof the matter to the Attomey General for appropriate action in a United States District Court.\nAMENDMENT OF PROCEDURES\nThe Notice alleged inadeo,uaeies in Responde.nt's procedures for operations, maintenance and\nemergencies and proposed to require amendment of Respondent's procedures to comply with the\nrequirements of 49 C.F.R. Part 195. Specifically, Item I in the Notice alleged that Respondent's\nprocedures for tank inspections were inadequate in that they did not provide clear direction that all\n\n\n\n4\nof the tanks that relieve.surgesin its pipeline system meet the definition of breakout tanks and musr\nbe inspected on a monthly basis in accordance with $ 1g5.432 and ApI standard 653.\n-In its response, Respondent submitted copies ofits amendedprocedures, whichtheDirector, Central\nRegion, oPS reviewed. Based on the results of this review, I find that Respondent,s original\nprocedures as described in the Notice were inadequate to ensure safe operation ofiis pipehne sys\"tfi,\nbut that Respondent has corrected the identified inadequacies. Accordingly, no need exists to issue\nan order directing amendment.\nWARNINGiTEMS\nThe Notice did not propose a civil penalty or corrective action for Item 2b in the Notice - failure to\ndocumentaninspectionofMainLineValve L37?5,orrlem3b-failure toproperlyinspectceitain\nvalves at the Whiting terminal. Therefore, these are considered waming iterns. Respo\"d; i;\nwarned that if it does not take appropriate action to correct these items, eniorcement action wilt bJ\ntaken if a subsequent inspection reveals a violation.\nUndet 49 C'F'R. $ 790.215, Respondent has a right to submit a petition for reconsideration of this\nFinal order' Should Respondent elect to do so, the petition must be received within 20 ouy. oi\nRespondent's receipt of this Final order and must contain a brief statement ofthe issueGl. rrre n6.rg\nof a petition automatically stays the payment of any civil penalty assessed. However ifR\"spond#\nsubmits pay'rnent for the civil penalty, the Final order becomes the final administrative decision and\nthe right to petition for reconsideration is waived. The terms and conditions of this Final order are\neffective on receiot.\nAdministrator","truncated":false,"body_characters":11455}