MARATHON ASHLAND PIPE LINE LLC — Notice of Probable Violation

320065031_final order_07102006_text.pdf, page 1Official PDFU 5 Department of rransportation Pipeline and Hazardous Materials Safety Administration 400 Seventh Sneer, S W Washington, D C 20590 JUL l 0 Mr Craig 0 Pierson Vice President, Operations Marathon Pipe Line, L L C 539 South Main Street Findlay, OH 45840-3295 Re CPF No 3-2006-5031 Dear Mr Pierson Enclosed is the Final Order issued by the Associate Administrator for Pipehne Safety in the above-referenced case It makes findings of violation and assesses a civil penalty of $6, 000 The penalty payment terms are set forth in the Final Order This enforcement action closes automatically upon payment Your receipt of the Fmal Order constitutes service of that document under 49 C F R Ir' 190 5 Sincerely James Reynolds Pipehne Comphance Registry Office of Pipeline Safety Enclosure cc Ivan A Huntoon Director, Central Region, PHP-300 CERTIFIED MAIL — RETURN RECEIPT RE UESTED#

320065031_final order_07102006_text.pdf, page 2DEPARTMENT OF TRANSPORTATION PIPELINE AND HAZARD/US MATERIALS SAFETY ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON, DC 20590 ) In the Matter of ) ) Marathon Pipe Line, L. L. C. , ) ) Respondent ) CPF No. 3-2006-5031 FINAL ORDER On Apnl 25-29 and May 2-6, 2005, pursuant to 49 U S C ) 60117, a representative of the Pipeline and Hazardous Materials Safety Administration (PHMSA), mspected Respondent's records in Lima, Heath and Sparta, Ohio, and Respondent's facilities located wittun the states of Ohio, West Virginia, and Pennsylvama As a result, the Director, Central Region, PHMSA, issued to Respondent a Notice of Probable Violation and Proposed Civil Penalty (Notice) The Notice proposed finding that Respondent had committed violations of 49 C F R Part 195 and proposed assessing a civil penalty of $6, 000 for the alleged violations Respondent responded to the Notice by letter dated Apnl 25, 2006 Respondent did not contest the allegations and agreed to pay the proposed civil penalties FINDINGS OF VIOLATIONS In its Response, Respondent did not contest the alleged violations in the Notice Pursuant to 49 C F R $ 190 213 and 49 U S C $ 60122, I find that Respondent violated the following sections of 49 C F R Part 195, as more fully described in the Notice 49 C F R $ 195 567(c) (Notice Item 1) — failing to maintiun the specified cathodic protection test lead wires, and 49 C F R $ 195 573(a)(1) (Notice Item 2) — faihng to conduct annual cathodic protection testing at the specified test stations These finding of violation will be considered prior offenses in any subsequent enforcement action taken agamst Respondent#

320065031_final order_07102006_text.pdf, page 3ASS SSMENT OF PENALTY Under 49 U S C II 60122, Respondept is sub)ect to a civil penalty not to exceed $100, 000 per violation for each day of the vholathoth up to a maximum of $1, 000, 000 for any related senes of violations 49 U S C Il 60122 and 49 C F R I'h 190 225 require that, in determining the amount of the civil penalty, I consider the follovnng cntena nature, circumstances, and gravity of the violation, degree of Respondent's culpabihty, history of Respondent's pnor offenses, Respondent's abihty to pay the penalty, good faith by Respondent in attempting to achieve comphance, the effect on Respondent's abihty to continue in business, and such other matters as)ustice may require In regard to Item I, the Notice proposed a civil penalty of $4, 000 for Respondent's fiulure to mamtahn cathodic protection test lead wires Maintaining cathodic protection test lead wires is necessary to obtain electncal measurements for external corrosion control We acknowledge Respondent's intention to take appropnate action to prevent the occurrence of missed or un- rephured test stations hn the future Respondent, however, has presented no information that would warrant a reduction in the civil penalty amount proposed hn the Notice for this violation Accordingly, I assess Respondent a civil penalty of $4, 000 for violating 49 C F R $ 195 567(c) In regard to Item 2, the Notice proposed a civd penalty of $2, 000 for Respondent's fadure to conduct annual test readings on protected pipehnes Conducting annual test readmgs on protected pipehnes is important to moiutor external corrosion Respondent has presented no information that would warrant a reduction in the civil penalty amount proposed hn the Notice for this violation Accordingly, I assess Respondent a civil penalty of $2, 000 for vholatmg C F R $195 573(a)(1) Accordingly, having reviewed the record and considered the assessment criteria, I assess Respondent a total civil penalty of $6, 000 Respondent has the abihty to pay tlus penalty without adversely affecting its abihty to continue in business Payment of the civil penalty must be made whttun 20 days of service Payment may be made by sending a certified check or money order (contaming the CPF Number for tins case) payable to "U S Department of Transportathohh" to the Federal Aviation Administration, Mike Monroney Aeronautical Center, Financial Operations Division (AMZ-300), P 0 Box 25082, Oldahoma City, OK 73125 Federal regulations (49 C F R $ 89 21(b)(3)) also permit this payment to be made by wire transfer, through the Federal Reserve Commuhucations System (Fedwhre), to the account of the U S Treasury Detailed instructions are contiuned m the enclosure Questions concerhung wire transfers should be directed to Financial Operations Division (AMZ-300), Federal Aviation Admuustration, Mike Monroney Aeronautical Center, P 0 Box 25082, Oklahoma City, OK 73125, (405) 954-8893 Failure to pay the $6, 000 civil penalty will result in accrual of mterest at the current annual rate inaccordance with 31 US C Il 3717, 31 C FR Il 901 9and49 C FR $ 8923 Pursuantto#

320065031_final order_07102006_text.pdf, page 4those same authonties, a late penalty charge of stx percent (6%) per annum will be charged if payment is not made within 110 days of service Furthermore, failure to pay the civil penalty may result in referral of the matter trt the Attorney General for appropnate action m a Uruted States Distnct Court Under 49 C F R $ 190 215, Respondent has a nght to submit a Petition for Reconsideration of this Final Order The petition must be received wtttun 20 days of Respondent's receipt of tins Final Order and must contain a bnef statement of the issue(s) The fihng of the petthon automatically stays the payment of any civd penalty assessed However if Respondent submits payment for the civil penalty, the Fmal Order becomes the final administrative decision and the nght to petition for reconsideration is waived The terms and conditions of this Fmal Order are effective on receipt Jt)h 1 0 Date Issued St ce Ge d Ass ate Administrator for ipelme Safety#