{"operation":"document","citation":"CPF 320125028","title":"TESORO HIGH PLAINS PIPELINE COMPANY LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2012-12-27","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.436, 195.579(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125028.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125028.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320125028","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320125028","body":"Notice of Probable Violation involving TESORO HIGH PLAINS PIPELINE COMPANY LLC. PHMSA's enforcement data identifies the cited regulations as 195.436,  195.579(a). The case was opened on 2012-12-27 and is reported as closed as of 2015-05-20. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320125028_Closure_05202015.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_Closure_05202015.pdf\n\n320125028_Closure_05202015_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_Closure_05202015_text.pdf\n\n320125028_Final Order_04042014.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_Final%20Order_04042014.pdf\n\n320125028_Final Order_04042014_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_Final%20Order_04042014_text.pdf\n\n320125028_NOPV PCO_12272012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_NOPV%20PCO_12272012.pdf\n\n320125028_NOPV PCO_12272012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_NOPV%20PCO_12272012_text.pdf\n\n320125028_Operator Response to Notice and Request for Time Extension_01252013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320125028/320125028_Operator%20Response%20to%20Notice%20and%20Request%20for%20Time%20Extension_01252013.pdf\n\n320125028_Final Order_04042014_text.pdf\n\nAPRIL 4, 2014\nMr. Gregory J. Goff\nPresident and Chief Executive Officer\nTesoro Corporation\n19100 Ridgewood Parkway\nSan Antonio, TX 78259\nRe: CPF No. 3-2012-5028\nDear Mr. Goff:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation and specifies actions that need to be taken by Tesoro High Plains Pipeline Company to\ncomply with the pipeline safety regulations. When the terms of the compliance order have been\ncompleted, as determined by the Director, Central Region, this enforcement action will be\nclosed. Service of the Final Order by certified mail is deemed effective upon the date of mailing,\nor as otherwise provided under 49 C.F.R. § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nJeffrey D. Wiese\nAssociate Administrator\nfor Pipeline Safety\nEnclosure\ncc: Ms. Linda Daugherty, Director, Central Region, OPS\nMr. Rick Weyen, Vice President, Logistics, Tesoro High Plains Pipeline Company,\n19100 Ridgewood Parkway, San Antonio, TX 78259\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\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 )\nTesoro High Plains Pipeline Company, ) )\n)\n)\nRespondent. )\n____________________________________)\nCPF No. 3-2012-5028\nFINAL ORDER\nOn August 23-27, 2010, and August 30-September 3, 2010, pursuant to 49 U.S.C. § 60117, a\nrepresentative of the Pipeline and Hazardous Materials Safety Administration (PHMSA), Office\nof Pipeline Safety (OPS), conducted an on-site pipeline safety inspection of the facilities and\nrecords of Tesoro High Plains Pipeline Company (Tesoro or Respondent) in North Dakota.\nTesoro Corporation, through various subsidiaries, operates six refineries in the United States\nwith a combined capacity of 850,000 barrels per day.1\nAs a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,\nby letter dated December 27, 2012, a Notice of Probable Violation and Proposed Compliance\nOrder (Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that\nTesoro violated 49 C.F.R. §§ 195.436 and 195.579 and proposed ordering Respondent to take\ncertain measures to correct the alleged violations.\nTesoro responded to the Notice by letter dated January 25, 2013 (Response) and requested that\nPHMSA make certain modifications to the facts alleged in the Notice. The company did not\ncontest the allegations of violation but provided written explanations and other materials related\nto the alleged violations. Respondent did not request a hearing and therefore has waived its right\nto one.\nFINDINGS OF VIOLATION\nIn its Response, Tesoro did not contest the allegations in the Notice that it violated 49 C.F.R.\nPart 195, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.436, which states:\n1 This statement was generally taken from the Tesoro website. http://phx.corporate-\nir.net/phoenix.zhtml?c=79122&p=irol-IRHome (last accessed on January 24, 2014)\n\n\n\n2\n§ 195.436 Security of facilities.\nEach operator shall provide protection for each pumping station and\nbreakout tank area and other exposed facility (such as scraper traps) from\nvandalism and unauthorized entry.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.436 by failing to provide adequate\nprotection for each pumping station and breakout tank area from vandalism and unauthorized\nentry. Specifically, the Notice alleged that certain pump stations and breakout tank areas were\neither inadequately fenced or without any adequate security.\n2\nRespondent did not contest this allegation of violation.\nAccordingly, based upon a review of all of the evidence, I find that Respondent violated\n49 C.F.R. § 195.436 by failing to provide adequate protection for each pumping station and\nbreakout tank area from vandalism and unauthorized entry.\nItem 2: The Notice alleged that Respondent violated 49 C.F.R. § 195.579(a), which states:\n§ 195.579 What must I do to mitigate internal corrosion?\n(a) General. If you transport any hazardous liquid or carbon dioxide\nthat would corrode the pipeline, you must investigate the corrosive effect\nof the hazardous liquid or carbon dioxide on the pipeline and take\nadequate steps to mitigate internal corrosion.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.579(a) by failing to investigate the\ncorrosive effect of hazardous liquid or carbon dioxide on the pipeline and take adequate steps to\nmitigate internal corrosion. Specifically, the Notice alleged that Tesoro failed to provide records\ndemonstrating that it investigated the corrosive effect of crude oil on its pipeline. During the\ninspection, a PHMSA investigator noted that, during an internal line inspection, it discovered a\nmetal loss anomaly indicative of internal corrosion. However, Tesoro could not provide\ndocumentation that it conducted any subsequent investigation or mitigation.\nRespondent did not contest this allegation of violation.\nAccordingly, based upon a review of all of the evidence, I find that Respondent violated\n49 C.F.R. § 195.579(a) by failing to investigate the corrosive effect of hazardous liquid or carbon\ndioxide on its pipeline and take adequate steps to mitigate internal corrosion.\nThese findings of violation will be considered prior offenses in any subsequent enforcement\naction taken against Respondent.\n2 The Black Slough Pump Station and Breakout Tank area was secured by a four-foot tall barbed wire fence\ncomposed of 2-3 strands. The Tioga Pump station was similarly secured, and its breakout tank area was not fenced.\nIn addition, the Poker Jim Breakout Tank area had an open, 31-foot wide entrance, without a gate. Pipeline Safety\nViolation Report (Violation Report), (December 27, 2012) (on file with PHMSA), at Exhibit B.\n\n\n\n3\nCOMPLIANCE ORDER\nThe Notice proposed a compliance order with respect to Items 1 and 2 in the Notice for\nviolations of 49 C.F.R. §§ 195.436 and 195.579(a), respectively. Under 49 U.S.C. § 60118(a),\neach person who engages in the transportation of hazardous liquids or who owns or operates a\npipeline facility is required to comply with the applicable safety standards established under\nchapter 601. Pursuant to the authority of 49 U.S.C. § 60118(b) and 49 C.F.R. § 190.217,\nRespondent is ordered to take the following actions to ensure compliance with the pipeline safety\nregulations applicable to its operations:\n1. With respect to the violation of § 195.436 (Item 1), Respondent must install\nadequate security for the Black Slough Pump Station and Breakout Tank area, Tioga\nPump Station, and Poker Jim Breakout Tank Area.\n2. With respect to the violation of § 195.579(a) (Item 2), Respondent must\ninvestigate the cause of the internal corrosion (anomaly located at 142366.5) and take\nadequate steps to mitigate the corrosion, as determined by the investigation.\n3. With respect to Item 1, Respondent must submit documentation of the completion\nof these installations within 15 days of receipt of this Final Order. The Director,\nCentral Region, will review the documents, and then specify any further actions that\nRespondent must take to comply. With respect to Item 2, Respondent must submit\nrelevant records and a notice of completed action to the Director, Central Region,\nOPS, 901 Locust Street, Suite 462, Kansas City, MO 64106-2641, within 15 days of\nreceipt of this Final Order.\n4. It is requested (not mandated) that Respondent maintain documentation of the\nsafety improvement costs associated with fulfilling this Compliance Order and submit\nthe total to the Director. The costs should be reported in two categories: (1) total cost\nassociated with preparation and revision of plans, procedures, studies, and analyses;\nand (2) total cost associated with replacements, additions, and other changes to the\npipeline infrastructure.\nThe Director may grant an extension of time to comply with any of the required items upon a\nwritten request timely submitted by the Respondent and demonstrating good cause for an\nextension.\nFailure to comply with this Order may result in the administrative assessment of civil penalties\nnot to exceed $200,000 for each violation for each day the violation continues or in referral to the\nAttorney General for appropriate relief in a district court of the United States.\nThe terms and conditions of this Final Order are effective upon service in accordance with\n49 C.F.R. § 190.5.\n___________________________________ __________________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator for Pipeline Safety\n\n320125028_Closure_05202015_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nMay 20, 2015\nMr. Don Sorensen\nSenior Vice President\nTesoro Logistics GP, LLC\n19100 Ridgewood Parkway\nSan Antonio, Texas 78259\nCPF 3-2012-5028\nDear Mr. Sorensen:\nOn April 4, 2014, the Pipeline and Hazardous Materials Safety Administration (PHMSA)\nissued to Tesoro High Plains Pipeline Company a Final Order in the above-referenced case.\nThis Order included a Compliance Order requirement to take corrective actions on your\npipeline. Based on our review of the documentation you provided, it has been determined that\nyou have complied with the terms of this Order.\nAccordingly, this case is now closed and no further action is contemplated with respect to the\nmatters involved in this case. Thank you for your cooperation in this matter.\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration","truncated":false,"body_characters":11014}