{"operation":"document","citation":"CPF 320125017H","title":"ENBRIDGE ENERGY, LIMITED PARTNERSHIP — Corrective Action Order","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2012-07-30","effective_on":null,"summary":"CLOSED corrective action order.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125017h.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125017h.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125017h","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320125017H","body":"Corrective Action Order involving ENBRIDGE ENERGY, LIMITED PARTNERSHIP. The dataset does not identify a cited regulation for this case. The case was opened on 2012-07-30 and is reported as closed as of 2016-07-20. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320125017H_Amended Corrective Action Order_08012012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Amended%20Corrective%20Action%20Order_08012012.pdf\n\n320125017H_Amended Corrective Action Order_08012012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Amended%20Corrective%20Action%20Order_08012012_text.pdf\n\n320125017H_Closure Letter_07202016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Closure%20Letter_07202016.pdf\n\n320125017H_Closure Letter_07202016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Closure%20Letter_07202016_text.pdf\n\n320125017H_Consent Agreement and Order_08062012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Consent%20Agreement%20and%20Order_08062012.pdf\n\n320125017H_Consent Agreement and Order_08062012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Consent%20Agreement%20and%20Order_08062012_text.pdf\n\n320125017H_Corrective Action Order_07302012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Corrective%20Action%20Order_07302012.pdf\n\n320125017H_Corrective Action Order_07302012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125017H/320125017H_Corrective%20Action%20Order_07302012_text.pdf\n\n320125017H_Consent Agreement and Order_08062012_text.pdf\n\nAUG 6, 2012\nVIA CERTIFIED MAIL AND FAX TO: 832-325-5473\nMr. Richard Adams\nVice President, US Operations\nEnbridge Energy, LP\nCity Center Office\n1409 Hammond Avenue\nSuperior, WI 54880-5247\nRe: CPF No. 3-2012-5017H\nConsent Agreement and Order\nDear Mr. Adams:\nEnclosed is a Consent Agreement and Order that you signed on August 6, 2012 in the\nabove-referenced case. Your receipt of this Consent Agreement and Order constitutes\nservice of that document under 49 C.F.R. § 190.5.\nPlease direct any questions on this matter to David Barrett, Director, Central Region,\nOffice of Pipeline Safety, PHMSA, at (816) 329-3800.\nSincerely,\nJeffery Wiese\nAssociate Administrator\nFor Pipeline Safety\ncc: Mr. Alan Mayberry, Deputy Associate Administrator for Field Operations, OPS\nMr. David Barrett, Director, Central Region, OPS\nMr. Mark Maki, President, Enbridge Energy Management, LLC\nMr. Steve Wuori, President, Liquids Pipelines, Enbridge Pipelines Inc.\n\n\n\nDEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, DC 20590\n____________________________________\nIn the Matter of )\nEnbridge Energy, Limited Partnership, ) CPF No. 3-2012-5017H\n)\n)\n)\nRespondent )\n____________________________________)\nCONSENT AGREEMENT AND ORDER\nOn July 30, 2012, under authority of 49 U.S.C. § 60112, the Associate Administrator for\nPipeline Safety, Pipeline and Hazardous Materials Safety Administration (PHMSA),\nissued a Corrective Action Order (CAO) to Enbridge Energy, Limited Partnership\n(Enbridge or Respondent), finding that continued operation of Line 14 of Respondent’s\nLakehead Pipeline System that runs from Superior, Wisconsin, to Mokena, Illinois,\nwithout corrective action would be hazardous to life, property, or the environment and\nrequiring Respondent to take immediate corrective action to ensure the safe operation of\nfailure on Line 14 near Grand Marsh, Wisconsin, that was reported by Enbridge on July\nthe pipeline. PHMSA issued the July 30, 2012 CAO (Original CAO) 1 in response to a\n27, 2012 (Failure). The Failure resulted in an estimated release of 1,200 barrels of crude\noil. PHMSA initiated an investigation of the Failure, which investigation is ongoing.\nLine 14 is a part of Respondent’s 1,900 mile-long Lakehead Pipeline System, which\ntransports hazardous liquid from Neche, North Dakota, to Chicago, Illinois, with an\nextension to Buffalo, New York.2\nThe preliminary findings in the Original CAO noted that the history of failures on\nRespondent’s Lakehead Pipeline System, the defects originally discovered during\nconstruction of Line 14, a 2007 failure on Line 14, and the July 2010 failure on Line 6B\n1 In the Matter of Enbridge Energy Partners, L.P., Corrective Action Order (CPF No. 3-2012-5017H)\ndated July 30, 2012.\n2 See http://www.enbridgeus.com/Delivering-Energy/Pipeline-Systems/Liquids-Pipelines/ (last accessed\nAugust 1, 2012). The Lakehead System includes Lines 1, 2, 3, 4, 5, 6A, 6B, 10, 14, and 64, and associated\nfacilities.\n2\n\n\n\nin Marshall, Michigan, and additional failures throughout all parts of the Lakehead\nPipeline System indicate that Respondent’s safety and integrity management programs\nappear to be inadequate.\nOn August 1, 2012, PHMSA issued an Amendment to the Corrective Action Order. The\nAmendment to the Corrective Action Order concluded that given the nature,\ncircumstances, and gravity of this pattern of accidents, additional system-wide corrective\nmeasures are warranted and added a new Item 13 to the Corrective Action Order as\nfollows:\n13. Before the Director, Central Region, OPS, approves the restart of Line 14,\nEnbridge must (1) submit, for review and approval, a comprehensive written plan,\nincluding timelines for specific actions to improve the safety record of\nRespondent’s Lakehead Pipeline System and (2) hire an independent third party\npipeline expert to review and assess the written plan, which the third party will\nsubmit to PHMSA and to Respondent concurrently. Further, the third party expert\nmust oversee the creation, execution and implementation of the actions identified\nin the plan, and must provide monitoring summaries to PHMSA and Respondent\nconcurrently. Respondent must commit to address any deficiencies or risks\nidentified in the third party’s assessment, including repair and replacement of\nhigh-risk infrastructure.\nThe plan must be sufficiently detailed with specific tasks, milestones and\ncompletion dates. At a minimum, the plan must address:\na. Organizational issues, including the promotion of a safety culture and\ncreation of a safety management system;\nb. Facilities response plan;\nc. Control room management;\nd. Priorities for pipe replacement;\ne. Training;\nf. In-line inspection result interpretation;\ng. Current engineering and probability of failure modeling;\nh. Leak detection systems;\ni. Sensor and flow measuring and valve replacement;\nj. Integrity verification;\nk. Quality management system; and\nl. Any other risk, task, issue or item that is necessary to promote and sustain\nthe safety of its pipeline system.\nOn August 4, 2012, Respondent submitted the plan required by Item 13 of the Corrective\nAction Order, as amended (the Lakehead Plan or the Plan). The Plan includes specific\ntasks, milestones, and completion dates for specific actions to improve the safety of the\nLakehead Pipeline System. The Plan also provides for an independent third-party\n3\n\n\n\npipeline expert to review and assess the written Plan and oversee the creation, execution\nand implementation of the actions identified in the Plan. Respondent and PHMSA\nengaged in good faith settlement discussions resulting in this Consent Agreement and\nOrder.\nHaving agreed that settlement of this proceeding will avoid further administrative\nproceedings or litigation and that entry of this Consent Agreement and Order is the most\nappropriate means of resolving the Corrective Action Order, as amended, pursuant to 49\nC.F.R. Part 190, without adjudication of any issue of fact or law, and upon consent and\nagreement of Respondent and PHMSA (“the Parties”), the following is agreed upon and\nOrdered:\nI. General Provisions\n1. Respondent acknowledges that as operator of the Lakehead Pipeline System,\nRespondent and its pipeline system are subject to the jurisdiction of the Federal pipeline\nsafety laws, 49 U.S.C. 60101 et seq., and the regulations and administrative orders issued\nthereunder. For purposes of this Consent Agreement and Order, Respondent\nacknowledges that it received proper notice of PHMSA’s action in this proceeding and\nthat the Notice states claims upon which relief may be granted pursuant to 49 U.S.C.\n60101 et seq. and the regulations and orders issued thereunder.\n2. Respondent agrees to the findings in the Corrective Action Order, as amended, and\nagrees to complete the actions specified in Section II of this agreement (“Work to be\nPerformed”). These actions, including any work plans and schedules, shall automatically\nbe incorporated into this Consent Agreement and Order. This Consent Agreement and\nOrder does not constitute a finding of violation of any Federal law or regulation and may\nnot be used in any civil proceeding of any kind as evidence or proof of any fact, fault or\nliability, or as evidence of the violation of any law, rule, regulation or requirement, except\nin a proceeding to enforce the provisions of this Consent Agreement and Order.\n3. Respondent consents to the issuance of this Consent Agreement and Order, and\nhereby waives any further procedural requirements with respect to its issuance.\nRespondent waives all rights to contest the adequacy of notice, the Corrective Action\nOrder, as amended, or the validity of the Consent Agreement and Order, including all\nrights to administrative or judicial hearings or appeals.\n4. This Consent Agreement and Order shall apply to and be binding upon PHMSA,\nand upon Respondent, its officers, directors, and employees, and its successors, assigns,\nor other entities or persons otherwise bound by law. Respondent agrees to provide a copy\nof this Consent Agreement and Order, and any incorporated work plans and schedules, to\nall of Respondent’s officers, employees, and agents whose duties might reasonably\ninclude compliance with this Consent Agreement and Order.\n4\n\n\n\n5. For all transfers of ownership or operating responsibility of Respondent’s Pipeline\nSystem, Respondent shall provide a copy of this Consent Agreement and Order to the\nprospective transferee at least 30 business days prior to such transfer and simultaneously\nprovide written notice of the prospective transfer to the PHMSA Official who signs this\nConsent Agreement and Order.\n6. This Consent Agreement and Order constitutes the final, complete and exclusive\nagreement and understanding between the Parties with respect to the settlement embodied\nin this Consent Agreement and Order, and the Parties acknowledge that there are no\nrepresentations, agreements or understandings relating to the settlement other than those\nexpressly contained in this Consent Agreement and Order, except that the terms of this\nConsent Agreement and Order may be construed by reference to the Corrective Action\nOrder, as amended.\n7. Nothing in this Consent Agreement and Order affects or relieves Respondent of its\nresponsibility to comply with all applicable requirements of the Federal pipeline safety\nlaws, 49 U.S.C. § 60101 et seq., and the regulations and orders issued thereunder.\nNothing in this Consent Agreement and Order alters PHMSA’s right of access, entry,\ninspection, and information gathering or PHMSA’s authority to bring enforcement\nactions against Respondent pursuant to the Federal pipeline safety laws, the regulations\nand orders issued thereunder, or any other provision of Federal or State law.\n8. This Consent Agreement and Order does not waive or modify any Federal, State,\nor local laws or regulations that are applicable to Respondent’s pipeline systems. This\nConsent Agreement and Order is not a permit, or a modification of any permit, under any\nFederal, State, or local laws or regulations. Respondent remains responsible for\nachieving and maintaining compliance with all applicable Federal, State, and local laws,\nregulations and permits.\n9. This Consent Agreement and Order does not create rights in, or grant any cause of\naction to, any third party not party to this Consent Agreement and Order. The U.S.\nDepartment of Transportation is not liable for any injuries or damages to persons or\nproperty arising from acts or omissions of Respondent or its officers, employees, or\nagents carrying out the work required by this Consent Agreement and Order. Respondent\nagrees to hold harmless the U.S. Department of Transportation, its officers, employees,\nagents, and representatives form any and all causes of action arising from any acts or\nomissions of Respondent or its contractors in carrying out the work required by this\nConsent Agreement and Order.\nII. Work to be Performed\n10. Respondent agrees to perform all actions set forth in the Corrective Action Order,\nas amended, including all actions set forth in the restart plan, testing and root cause\nanalysis requirements, the integrity verification and remedial work plan, and any other\n5\n\n\n\nwork plans or schedules developed under the CAO, as amended or otherwise directed by\nthe Director, Central Region, PHMSA (Regional Director).\n11. Respondent agrees to perform all actions set forth in the addendum to this\nConsent Agreement and Order entitled the Lakehead Plan in Appendix A, which is\nhereby incorporated into this Consent Agreement and Order as are any additional or\nmodified plans and schedules developed under the Lakehead Plan. The Plan shall be\nrevised as necessary to incorporate new information obtained during the evaluations and\nremedial activities performed under the Plan. Respondent must submit any such Plan\nrevisions to the Regional Director for acceptance. The Regional Director may accept\nPlan elements incrementally. The Regional Director may direct Respondent to revise or\nmodify the Plan as necessary.\n12. Respondent agrees that it will address all deficiencies or risks identified in the\nthird party expert’s assessment, including repair and replacement of high-risk\ninfrastructure implement pursuant to the Scope of Work in Appendix B which is hereby\nincorporated into this Consent Agreement and Order.\n13. Respondent agrees to submit monthly reports to the Regional Director that: (1)\ninclude all available data and results of the work performed under this Consent\nAgreement and Order. The first monthly report for the period from August 1 through\nAugust 31, 2012 will be due by September 7, 2012.\n14. Respondent agrees to maintain documentation of the costs associated with\nimplementation of this Consent Agreement and Order. Include in each monthly report\nsubmitted, the to-date total costs associated with: (1) testing, evaluations and information\nanalysis; (2) revisions of procedures and additional monitoring and inspections; and (3)\nphysical changes to pipeline infrastructure, including repairs, replacements and other\nmodifications.\n15. The Regional Director may grant an extension of time for completion of any of\nthe work to be performed hereunder upon a timely, written request that demonstrates\nboth good cause for an extension and sufficient detail to evaluate Respondent’s good\ncause request.\nIII. Review and Approval Process\n16. With respect to any submission under Section II of this Consent Agreement and\nOrder that requires the acceptance of the Regional Director, the Regional Director may:\n(a) accept, in whole or in part, the submission, (b) accept the submission on specified\nconditions, (c) not accept, in whole or in part, the submission, or (d) any combination of\nthe foregoing. In the event of acceptance in whole, in part, or upon conditions,\nRespondent will proceed to take all actions required by the submission as accepted by the\nRegional Director, subject to Respondent’s right to invoke the dispute resolution\n6\n\n\n\nprocedures in Section IV with respect to any conditions identified by the Regional\nDirector. In the event that the Director does not accept all or any portion of the\nsubmission, the Regional Director will provide Respondent with a written notice of the\ndeficiencies. Respondent will correct all deficiencies within the time specified by the\nRegional Director and resubmit it for acceptance.\nIV. Dispute Resolution\n17. The Regional Director and Respondent will informally attempt to resolve any\ndisputes arising under this Consent Agreement and Order. If Respondent and the\nRegional Director are unable to informally resolve the dispute within 15 business days,\nRespondent, providing all information that Respondent believes is relevant to the dispute,\nmay request in writing, within 10 business days, a written determination resolving the\ndispute from the Associate Administrator for Pipeline Safety. If the request is submitted\nas provided herein, the Associate Administrator will issue a written determination that\nshall be final. The existence of a dispute and PHMSA’s consideration of matters placed\nin dispute shall not excuse, toll, or suspend any term or timeframe for completion of any\nwork to be performed under this Agreement during the pendency of the dispute resolution\nprocess, except as agreed by the Regional Director or the Associate Administrator in\nwriting.\nV. Enforcement of Agreement and Order\n18. This Consent Agreement and Order, including all plans and schedules\nincorporated by reference, is subject to all enforcement authorities available to PHMSA\nunder 49 U.S.C. § 60101 et seq. and 49 C.F.R. Part 190, including administrative civil\npenalties under 49 U.S.C § 60122 of up to $200,000 per violation for each day the\nviolation continues and referral of the case to the Attorney General for judicial\nenforcement, if PHMSA determines that Respondent is not proceeding in accordance\nwith terms of the Consent Agreement and Order, in accordance with determinations made\nby the Regional Director, or if appealed, in accordance with decisions of the Associate\nAdministrator. The Lakehead Plan and all other work plans and associated schedules\ndeveloped under Section II shall be automatically incorporated into this Consent\nAgreement and Order and are enforceable in the same manner.\nVI. Record Keeping and Information Disclosure\n19. Respondent agrees to maintain records demonstrating compliance with all\nrequirements of this Consent Agreement and Order for a period of at least five years\nfollowing completion of all work to be performed. For any reports, plans, or other\ndeliverables required to be submitted to PHMSA pursuant to this Consent Agreement and\nOrder, Respondent may assert a claim of business confidentiality or other protections\napplicable to the release of information by PHMSA, covering part or all of the\ninformation required to be submitted to PHMSA pursuant to this agreement in accordance\n7\n\n\n\nwith 49 C.F.R. Part 7. The claim of confidentiality shall be marked in writing on each\npage, and shall include a statement specifying the grounds for each claim of\nconfidentiality. PHMSA shall determine release of any information submitted pursuant\nto this Consent Agreement and Order in accordance with 49 C.F.R. Part 7, the Freedom\nof Information Act, 5 U.S.C. § 552, DOT and/or PHMSA policies, and other applicable\nregulations and Executive Orders.\nVII. Effective Date\n20. The “Effective Date” as used herein is the date on which this Consent Agreement\nand Order has been signed by both Respondent and PHMSA. Unless specified to the\ncontrary, all deadlines for actions required by this Consent Agreement and Order run\nfrom the Effective Date of this Consent Agreement and Order.\nVIII. Modification\n21. The terms of this Consent Agreement and Order may be modified by mutual\nagreement of the parties. Such modifications shall be in writing and shall be signed by\nboth parties.\nIX. Termination\n22. This Consent Agreement and Order shall terminate upon the completion of all\nterms set forth in Section II (Work to Be Performed). Respondent may request written\nconfirmation from PHMSA when this Consent Agreement and Order is terminated. To\nthe extent ongoing monitoring is required, PHMSA may terminate this Consent\nAgreement and Order with respect to all other requirements with the exception of such\nmonitoring. Nothing in this Consent Agreement and Order prevents Respondent from\ncompleting any of the obligations earlier than the deadlines provided for herein.\nX. Ratification\n23. The Parties undersigned representatives certify that they are fully authorized to\nenter into the terms and conditions of this Consent Agreement and Order and to execute\nand legally bind such party to this document.\n8\n\n\n\n24. The Parties hereby agree to all conditions and terms of this Consent Agreement\nand Order:\nFor Respondent:\n______________________________________\nMr. Richard Adams\nVice President, US Operations\nEnbridge Energy, Limited Partnership\nBy Enbridge Pipelines (Lakehead) L.L.C.\nAs General Partner\n______________________________________\nDate\nFor PHMSA:\nRespondent is hereby ordered to comply with the terms of this Consent Agreement and\nOrder, effective immediately.\n_______________________________________\nMr. Jeffrey D. Wiese\nAssociate Administrator for Pipeline Safety\nPHMSA\n_______________________________________\nDate\n9\n\n320125017H_Amended Corrective Action Order_08012012_text.pdf\n\nAUG 1, 2012\nVIA CERTIFIED MAIL AND FAX TO: 832-325-5473\nMr. Richard Adams\nVice President, US Operations\nEnbridge Energy, LP\nCity Center Office\n1409 Hammond Avenue\nSuperior, WI 54880-5247\nRe: CPF No. 3-2012-5017H\nAmendment to the July 30, 2012 Corrective Action Order\nDear Mr. Adams:\nEnclosed is an Amendment to the Corrective Action Order that was issued in the above-\nreferenced case on July 30, 2012. Your receipt of this Amendment constitutes service of that\ndocument under 49 C.F.R. § 190.5.\nPlease direct any questions on this matter to David Barrett, Director, Central Region, Office of\nPipeline Safety, PHMSA, at (816) 329-3800.\nSincerely,\nJeffery Wiese\nAssociate Administrator\nFor Pipeline Safety\nEnclosures: Amendment to the Corrective Action Order\nCopy of 49 C.F.R. § 190.233\ncc: Mr. Alan Mayberry, Deputy Associate Administrator for Field Operations, OPS\nMr. David Barrett, Director, Central Region, OPS\nMr. Mark Maki, President, Enbridge Energy Management, LLC\nMr. Steve Wuori, President, Liquids Pipelines, Enbridge Pipelines Inc.\n\n\n\nU. S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, DC 20590\n____________________________________\nIn the Matter of )\nEnbridge Energy, LP, ) CPF No. 3-2012-5017H\n)\n)\n)\nRespondent. )\n____________________________________)\nAMENDMENT\nTO THE CORRECTIVE ACTION ORDER\nBackground and Purpose\nOn July 30, 2012, under authority of 49 U.S.C. § 60112, the Associate Administrator for Pipeline\nSafety, Pipeline and Hazardous Materials Safety Administration (PHMSA), issued a Corrective\nAction Order (CAO) to Enbridge Energy Partners, LP (Enbridge or Respondent), finding that\ncontinued operation of Respondent’s Line 14 that runs from Superior, Wisconsin, to Mokena,\nIllinois, without corrective action would be hazardous to life, property, or the environment and\nrequiring Respondent to take immediate corrective action to ensure the safe operation of the\nLine 14 near Grand Marsh, Wisconsin, that was reported by Enbridge on July 27, 2012 (Failure).\npipeline. PHMSA issued the July 30, 2012 CAO (Original CAO) 1 in response to a failure on\nThe Failure resulted in an estimated release of 1,200 barrels of crude oil. PHMSA initiated an\ninvestigation of the Failure which is ongoing.\nLine 14 is a part of Respondent’s 1,900 mile-long Lakehead Pipeline system, which transports\nhazardous liquid from Neche, North Dakota, to Chicago, Illinois, with an extension to Buffalo,\nNew York.2\nAdditional Preliminary Findings\nThe preliminary findings in the Original CAO noted that the history of failures on Respondent’s\nLakehead Pipeline system, the defects originally discovered during construction of Line 14, a\n2007 failure on Line 14, and the July 2010 failure on Line 6B in Marshall, Michigan, and\nadditional failures throughout all parts of the Lakehead System indicate that Respondent’s\nintegrity management program may be inadequate. PHMSA has communicated its longstanding\n1 In the Matter of Enbridge Energy Partners, L.P., Corrective Action Order (CPF No. 3-2012-5017H) dated July\n30, 2012.\n2 See http://www.enbridgeus.com/Delivering-Energy/Pipeline-Systems/Liquids-Pipelines/ (last accessed August 1,\n2012). The Lakehead System includes Lines 1, 2, 3, 4, 5, 6A, 6B, 10, 14, and 64, and associated facilities.\n\n\n\n2\nconcerns about this pattern of failures with Respondent over the past several years. Given the\nnature, circumstances, and gravity of this pattern of accidents, additional corrective measures are\nwarranted.\nFinding of Hazardous Condition\nSection 60112 of Title 49, United States Code, provides for the issuance of a Corrective Action\nOrder, including amendments, after reasonable notice and the opportunity for a hearing,\nrequiring the operator of a pipeline determined to pose a hazard to take corrective actions to\nprotect the public and the environment. These may include the suspended or restricted use of a\npipeline facility, physical inspection, testing, repair, replacement, or other action, as appropriate.\nThe basis for making a determination that a pipeline facility is or would be hazardous, requiring\ncorrective action, is set forth both in the above-referenced statute and 49 C.F.R. § 190.233, a\ncopy of which is enclosed.\nAfter evaluating all available information regarding the safety of the Lakehead System, including\nthe foregoing additional preliminary findings, and considering the nature and circumstances\nsurrounding the Failure, the hazardous nature of the product transported, the pressure required\nfor transporting such product, and the ongoing investigation to determine the root cause of the\nFailure, I find that the continued operation of the Line 14 without additional corrective measures\nwould be hazardous to life, property, and the environment.\nAccordingly, PHMSA hereby issues this Amendment to the CAO requiring the additional\nactions specified herein be taken to protect life, property, and the environment. The additional\nactions set forth in this Amendment to the CAO are in addition to the actions set forth in the\nOriginal CAO and do not suspend or eliminate the requirements of the Original CAO, unless\notherwise specifically provided herein.\nAmendments to Required Corrective Action\nPursuant to 49 U.S.C. § 60112 and 49 C.F.R. § 190.233, Enbridge Energy Partners, L.P. is\nordered to comply with this Amendment to the CAO and take the following additional corrective\nactions with respect to the Lakehead System. The following item is added to the Corrective\nAction Order:\n13. Before the Director, Central Region, OPS, approves the restart of Line 14, Enbridge must\n(1) submit, for review and approval, a comprehensive written plan, including timelines\nfor specific actions to improve the safety record of Respondent’s Lakehead pipeline\nsystem and (2) hire an independent third party pipeline expert to review and assess the\nwritten plan, which the third party will submit to PHMSA and to Respondent\nconcurrently. Further, the third party expert must oversee the creation, execution and\nimplementation of the actions identified in the plan, and must provide monitoring\nsummaries to PHMSA and Respondent concurrently. Respondent must commit to\naddress any deficiencies or risks identified in the third party’s assessment, including\nrepair and replacement of high-risk infrastructure.\nThe plan must be sufficiently detailed with specific tasks, milestones and completion\ndates. At a minimum, the plan must address:\n\n\n\n3\na. Organizational issues, including the promotion of a safety culture and creation of\na safety management system;\nb. Facilities response plan;\nc. Control room management;\nd. Priorities for pipe replacement;\ne. Training;\nf. In-line inspection result interpretation;\ng. Current engineering and probability of failure modeling;\nh. Leak detection systems;\ni. Sensor and flow measuring and valve replacement;\nj. Integrity verification;\nk. Quality management system; and\nl. Any other risk, task, issue or item that is necessary to promote and sustain the\nsafety of its pipeline system.\nThe actions required by this Amendment to the CAO are in addition to and do not waive any\nrequirements that apply to Line 14 under the Original CAO or to Respondent’s pipeline system\nunder 49 C.F.R. Parts 190 through 199, as applicable, or any other Order issued to Respondent\nunder authority of 49 U.S.C. § 60101 et seq., or under any other provision of federal or state law.\nAfter receiving and analyzing additional data in the course of this investigation, PHMSA may\nidentify other corrective actions that need to be taken. In that event, Respondent will be notified\nof any additional measures required and further amendment of the CAO will be considered. To\nthe extent consistent with safety, Respondent will be afforded notice and an opportunity for a\nhearing prior to the imposition of any additional corrective measures.\n___________________________________ __________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n320125017H_Corrective Action Order_07302012_text.pdf\n\nJULY 30 2012\nVIA CERTIFIED MAIL AND FAX TO: 832-325-5473\nMr. Richard Adams\nVice President, US Operations\nEnbridge Energy, LP\nCity Center Office\n1409 Hammond Avenue\nSuperior, WI 54880-5247\nRe: CPF No. 3-2012-5017H\nDear Mr. Adams:\nEnclosed is a Corrective Action Order issued in the above-referenced case. It finds that\noperation of the 24-inch diameter Line 14 would be hazardous to life, property, and the\nenvironment without immediate corrective action. The Corrective Action Order requires you to\ntake certain corrective actions to protect the public, property, and the environment in connection\nwith the failure of Line 14 that occurred on July 27, 2012, near Grand Marsh, Wisconsin.\nService is being made by certified mail and facsimile. Your receipt of this Corrective Action\nOrder constitutes service of that document under 49 C.F.R. § 190.5. The terms and conditions of\nthis Order are effective upon receipt.\nWe look forward to the successful resolution of the concerns arising out of this failure in a\nmanner that will ensure the safe operation of the pipeline. Please direct any questions on this\nmatter to David Barrett, Director, Central Region, OPS, at (816) 329-3800.\nSincerely,\nJeffrey D. Wiese\nAssociate Administrator\nfor Pipeline Safety\nEnclosure: Corrective Action Order and Copy of 49 C.F.R. §190.233\ncc: Mr. Alan Mayberry, Deputy Associate Administrator for Field Operations, OPS\nMr. David Barrett, Director, Central Region, OPS\nMr. Mark Maki, President, Enbridge Energy Management, LLC\nMr. Steve Wuori, President, Liquids Pipelines, Enbridge Pipelines Inc.\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nEnbridge Energy, LP, ) CPF No. 3-2012-5017H\n)\n)\n)\nRespondent. )\n____________________________________)\nCORRECTIVE ACTION ORDER\nPurpose and Background\nThis Corrective Action Order (Order) is being issued, under authority of 49 U.S.C. § 60112, to\nEnbridge Energy, LP (Enbridge or Respondent), the operator of the 24-inch diameter hazardous\nliquid pipeline designated as Line 14 that runs from Respondent’s Superior Terminal and pump\nstation in Superior, Wisconsin, to its Mokena delivery facility in Mokena, Illinois (Affected\nPipeline). This Order finds that continued operation of the pipeline without corrective action\nwould be hazardous to life, property, or the environment and requires Respondent to take\nimmediate corrective action to ensure the safe operation of the pipeline.\nOn July 27, 2012, Respondent experienced a failure on the Affected Pipeline near Grand Marsh,\nWI (Failure), in Adams County. Respondent estimates the volume of product spilled to be\napproximately 1,200 barrels of crude oil.\nPursuant to 49 U.S.C. § 60117, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), Office of Pipeline Safety (OPS), initiated an investigation of the Failure. OPS has\ndetermined that the release originated from the Affected Pipeline but the cause of the Failure has\nnot yet been determined. The preliminary findings of the investigation are as follows:\nPreliminary Findings\n• The Affected Pipeline originates at the Superior Terminal in Wisconsin, proceeds\nsoutheast for approximately 467 miles, and terminates at the Mokena delivery facility\nnear Chicago, Illinois.\n• At approximately 2:41 pm CDT on July 27, 2012, Respondent’s control center staff noted\nindications of a release on the Affected Pipeline. Respondent initiated shut down of the\npipeline and notified field personnel in Wisconsin at 3:00 pm CDT.\n\n\n\n3\n• At approximately 2:45 pm CDT on July 27, 2012, Respondent received a call from a\nlandowner who reported that crude oil was spraying on the pipeline right-of-way. The\nlocal sheriff’s office also called the control center at 2:50 pm CDT.\n• At approximately 2:55 pm CDT on July 27, 2012, Respondent isolated the failed pipe\nsection by closing remotely controlled valves located upstream and downstream of the\nFailure site.\n• At 3:27 pm CDT on July 27, 2012, Respondent’s field personnel confirmed the location\nof the Failure as being approximately 5.7 miles east of Grand Marsh, Wisconsin, at 2487\nCounty Road G in Adams County. The Failure site was located at milepost (M.P.) 232\non the Affected Pipeline.\n• At 5:16 pm CDT on July 27, 2012, Respondent notified the National Response Center of\nthe discharge of crude oil (NRC Report No. 1019189). Respondent reported 1,200\nbarrels of crude oil were released.\n• Two households were evacuated due to their proximity to the Failure site. Several cattle\nand horses required veterinary attention. No further injuries cahave been reported.\n• The Affected Pipeline crosses multiple rivers, including a navigable waterway, i.e., the\nIllinois River in the Chicago area, and intersects multiple High Consequence Areas\n(HCAs), including drinking water sources, “Other Populated Areas,” “High Population\nAreas,\n” and ecological resources. The Affected Pipeline also crosses numerous state\nhighways in Wisconsin and Illinois, and multiple interstate highways before terminating\nat Mokena, Illinois.\n• The Failure site is 2.5 miles away from a drinking water source, which so far shows no\nsigns of contamination.\n• The Affected Pipeline was constructed in 1998 of 24-inch, API 5L grade X70, high\nfrequency electric resistance welded (ERW) pipe manufactured by the Stupp Pipe\nCorporation, with wall thicknesses ranging from 0.328-inch to 0.500-inch. The pipe at\nthe Failure site has a 0.328-inch nominal wall thickness. The Affected Pipeline has a\nfusion bonded epoxy coating and an impressed-current cathodic protection system.\n• Just prior to the time of the Failure, the discharge pressure at the Adams pump station\n(M.P. 227.4), located approximately 4.6 miles upstream of the Failure site, was 1,329\npsig. The established maximum operating pressure (MOP) of the pipeline is 1,378 psig.\n• Respondent performed a hydrostatic test of the pipeline in 1998 from M.P. 227.49 to\nM.P. 253.15 to a test pressure of 1,875 psig, which included the Failure site.\n• The cause of the Failure is unknown but PHMSA has is continuing an onsite\ninvestigation. PHMSA investigators observed a 4.18-foot-long split in the high\n\n\n\n4\nfrequency ERW seam of the pipe with a maximum opening of 6.25 inches. The pipeline\ncurrently remains out of service.\n• During construction of the Affected Pipeline in 1998, radiography of girth welds revealed\nlack-of-fusion defects in the ERW seams at multiple locations along the Affected\nPipeline.\n• On January 1, 2007, a rupture of the Affected Pipeline occurred in Atwood, Wisconsin,\nreleasing 1,500 barrels of crude oil. The rupture was located at M.P. 149.4,\napproximately one mile downstream of Respondent’s Owen pump station in Clark\nCounty, Wisconsin. The OPS investigation of the 2007 failure found that a pre-existing\nlack-of-fusion defect in the ERW seam had grown to failure by a fatigue mechanism due\nto cyclic loads and that the chemical and mechanical properties of the pipe joint fracture\nsurface also had indications of low toughness of the ERW seam.\n• Following the January 1, 2007 failure, Respondent utilized ultrasonic crack detection\ntechnology to assess the Affected Pipeline. Multiple crack anomalies associated with the\nERW seam were reported by the inline inspection (ILI) vendor. Based on the ILI results,\nRespondent made repairs to the Affected Pipeline for a 1.25 x MOP factor of safety.\nCalculations performed by Respondent in 2008 predicted that Line 14 would not fail for a\nminimum of 10 years based on a crack growth analysis that considered the operating\npressure spectrum.\n• Respondent performed an ILI of the Affected Pipeline in the area of the Failure in 2011\nutilizing high-resolution geometry and magnetic flux leakage (MFL) tools. An ultrasonic\ncrack detection technology ILI inspection was scheduled to be performed in the area of\nthe failure in August 2012.\n• The history of failures on Respondent’s Lakehead Pipeline system, of which the Affected\nPipeline is a part, the defects originally discovered during construction, and the 2007\nfailure indicate that Respondent’s integrity management program may be inadequate.\nDetermination of Necessity for Corrective Action Order and Right to Hearing\nUnder 49 U.S.C. § 60112 and 49 C.F.R. § 190.233, the Associate Administrator for Pipeline\nSafety (Associate Administrator) may issue a corrective action order after providing reasonable\nnotice and the opportunity for a hearing if he finds that a particular pipeline facility is or would\nbe hazardous to life, property, or the environment. The terms of such an order may include the\nsuspended or restricted use of a pipeline facility, physical inspection, testing, repair, replacement,\nor any other action as appropriate. The Associate Administrator may also issue a corrective\naction order without providing any notice or the opportunity for a hearing if he finds that a\nfailure to do so expeditiously will result in likely serious harm to life, property or the\n\n\n\n5\nenvironment. The opportunity for a hearing will be provided as soon as practicable after the\nissuance of the CAO in such cases.\nAfter evaluating the foregoing preliminary findings of fact, I find that the continued operation of\nthe pipeline without corrective measures would be hazardous to life, property and the\nenvironment. Additionally, after considering the age and failure history of the pipe, the\ncircumstances surrounding the Failure, the proximity of the pipeline to populated areas, water\nbodies, drinking water resources, public roadways, and High Consequence Areas, the hazardous\nnature of the product being transported, the uncertainties as to the cause of the Failure, and the\nongoing investigation to determine the cause of the Failure, I find that a failure to issue this\nOrder expeditiously to require immediate corrective action would likely result in serious harm to\nlife, property, and the environment. Accordingly, this Corrective Action Order is issued without\nprior notice and opportunity for a hearing. The terms and conditions of this Order are effective\nupon receipt.\nWithin 10 days of receipt of this Order, Respondent may request a hearing, to be held as soon as\npracticable, by notifying the Associate Administrator for Pipeline Safety in writing, delivered\npersonally, by mail or by fax at (202) 366-4566. The hearing will be held in Kansas City,\nMissouri, or Washington, DC, on a date that is mutually convenient to PHMSA and Respondent.\nAfter receiving and analyzing additional data in the course of this investigation, PHMSA may\nidentify other corrective measures that need to be taken. Respondent will be notified of any\nadditional measures r","truncated":true,"body_characters":54539}