{"operation":"document","citation":"CPF 320131002","title":"ROCKIES EXPRESS PIPELINE LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2013-01-11","effective_on":null,"summary":"CLOSED notice of probable violation citing 190.203(f).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320131002.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320131002.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320131002","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320131002","body":"Notice of Probable Violation involving ROCKIES EXPRESS PIPELINE LLC. PHMSA's enforcement data identifies the cited regulation as 190.203(f). The case was opened on 2013-01-11 and is reported as closed as of 2016-06-10. Proposed civil penalty: $67,400. Assessed civil penalty: $67,400. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320131002_Closure Letter_06102016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_Closure%20Letter_06102016.pdf\n\n320131002_Closure Letter_06102016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_Closure%20Letter_06102016_text.pdf\n\n320131002_Final Order_01172014.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_Final%20Order_01172014.pdf\n\n320131002_Final Order_01172014_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_Final%20Order_01172014_text.pdf\n\n320131002_NOPV PCP PCO_01112013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_NOPV%20PCP%20PCO_01112013.pdf\n\n320131002_NOPV PCP PCO_01112013_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_NOPV%20PCP%20PCO_01112013_text.pdf\n\n320131002_Operator Response Notice_03062013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320131002/320131002_Operator%20Response%20Notice_03062013.pdf\n\n320131002_NOPV PCP PCO_01112013_text.pdf\n\nNOTICE OF PROBABLE VIOLATION\nPROPOSED CIVIL PENALTY\nand\nPROPOSED COMPLIANCE ORDER\nCERTIFIED MAIL – RETURN RECEIPT REQUESTED\nJanuary 11, 2013\nMr. Dwayne Burton\nVice President, Operations and Engineering\nKinder Morgan Energy Partners, L.P.\nOne Allen Center\n500 Dallas Street, Suite 1000\nHouston, Texas 77002\nMr. George Rider\nExecutive Vice President and General Counsel\nTallgrass Energy Partners, LP\n6640 W. 143rd Street, Suite 200\nOverland Park, Kansas 66223\nCPF 3-2013-1002\nDear Messrs. Burton and Rider:\nOn February 6, 2006, pursuant to 49 U.S.C. §60118(c) and 49 C.F.R. §190.341, Rockies\nExpress Pipeline, L.L.C. (Rockies Express) filed a special permit request with the Pipeline\n& Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS),\nfor a waiver from certain provisions of 49 C.F.R. Part 192 for its Rockies Express Pipeline\nrunning from Wyoming to Ohio (REX Pipeline). PHMSA issues special permits to\npipeline operators if the agency determines that a waiver of a particular regulation or\nstandard is not inconsistent with pipeline safety. On July 11, 2006, PHMSA issued an\norder granting Rockies Express a special permit (SP) for the REX Pipeline with certain\n\n\n\nconditions and limitations (SP Order). See Docket number: PHMSA-2006-23998 Notice 2.\nOn May 16, 2009, PHMSA was notified of a release of gas from the REX Pipeline\ndownstream of its Bertrand, Nebraska, compressor station which met the reporting criteria\nof Condition 25 of the special permit. On July 14-16, 2009, a representative of the\nPHMSA pursuant to Chapter 601 of 49 United States Code, investigated the report\ninvolving a release and inspected the pipeline facilities and records of Rockies Express'\nBertrand, Nebraska, compressor station to determine the company’s compliance with the\nSP Order.\nOn April 1-15, and July 11-15, 2011, representatives of PHMSA pursuant to Chapter 601\nof 49 United States Code inspected the REX Pipeline from the Mexico, Missouri,\nCompressor Station to the Indiana/Ohio border facilities to determine the company’s\ncompliance with the SP Order.\nAs a result of the inspections, it appears that Rockies Express has committed probable\nviolations of the SP Order. As stated in 49 C.F.R. §190.203(f), when information obtained\nfrom an inspection indicates that further OPS action is warranted, OPS may initiate one or\nmore enforcement proceedings prescribed in §190.207 through §190.235.\nThe items inspected and the probable violation(s) are:\n1. Condition 15.\nOverpressure Protection Control: Mainline pipeline overpressure protection\nmust be limited to a maximum of 104 percent MAOP.\nBertrand Compressor Station: Rockies Express allowed its pipeline pressure to\nexceed 104 percent MAOP by failing to limit its overpressure protection in\naccordance with SP Condition 15 at the Bertrand Compressor Station. On May 16,\n2009, Rockies Express exceeded 104 percent of MAOP in the mainline pipeline\nsegment between its Bertrand Compressor Station and downstream mainline valve\nnumber 15. After the unintended closure of valve number 15 at approximately\n3:42 a.m., the station compressor units were automatically shut down because of\nhigh discharge pressure alarms with a peak pipeline pressure of 104.6 percent.\nRockies Express failed to implement the O&M Procedure 703 for operation under\nthe special permit which required the unit shutdowns to be set to 103 percent for all\ncompressors in the REX pipeline. The overpressure protection set points for those\nunits at Bertrand compressor station in place at the time were set at 105 percent\nMAOP.\n2. Condition 15.\nOverpressure Protection Control: Mainline pipeline overpressure protection\nmust be limited to a maximum of 104 percent MAOP.\nBlue Mound Compressor Station: Rockies Express did not set its overpressure\nprotection at the Blue Mound Compressor Station to limit the pressure to a\nmaximum of 104 percent MAOP in accordance with SP Condition 15. PHMSA\ndiscovered during the 2011 inspection of Rockies Express' Blue Mound\nPage 2 of 6\n\n\n\nCompressor Station that unit shutdown controls were set above 104% of mainline\nMAOP. The September 15, 2010, inspection records for Blue Mound listed the “as\nfound” and “as left” set points at 105 percent MAOP for all five compressor station\nunits. The Blue Mound unit shutdowns remained out of compliance until they were\nreset to 103 percent of MAOP on April 20, 2011.\n3. Condition 24.\nSCADA Procedures: A detailed procedure for establishing and maintaining\naccurate SCADA set points must be established to ensure the pipeline operates\nwithin acceptable design limits at all times.\nRockies Express failed to establish a detailed procedure for establishing and\nmaintaining SCADA set points within acceptable design limits for all operating\nmodes. On May 16, 2009, Rockies Express was allowed to operate under local\ncontrol at the Bertrand Compressor station. Although SCADA controllers were\nmonitoring the pipeline system, the pipeline was operated above acceptable design\nlimits, ultimately exceeding MAOP and allowable overpressure protection of 104\npercent. The procedures (O&M 703 section 3.3.2.1.d, O&M 1103 section 3,\nBertrand unit “Start Procedure”) did not accurately define SCADA set points for\noperating within acceptable design limits when in local mode.\n4. Condition 28.\nGas Quality Monitoring and Control: An acceptable gas quality monitoring\nand mitigation program must be instituted to not exceed the following limits:\nSpecial Permit Condition # 28a:\nH2S (4 grains maximum);\nSpecial Permit Condition # 28b:\nCO2 (3 percent maximum);\nSpecial Permit Condition # 28c:\nH2O (less than or equal to 7 pounds per million standard cubic feet and\nno free water); and\nSpecial Permit Condition # 28d:\nOther deleterious constituents that may impact the integrity of the\npipeline must be instituted. Filters/separators must be installed at\nlocations where gas is received into the pipeline to minimize the entry of\ncontaminants and to protect the integrity of downstream pipeline\nsegments. Gas quality monitoring equipment must be installed to\npermit the operator to manage the introduction of contaminants and\nfree liquids into the pipeline.\nRockies Express did not institute its gas quality monitoring and control program in\na manner that mitigated the entry of contaminants and ensured that the\ncontaminants did not exceed the limits prescribed in SP Condition 28. The SCADA\nsystem recorded a total of 870 alarms indicating the gas quality exceeded the\nmaximum limit, yet no mitigation measures were taken.\nPage 3 of 6\n\n\n\n5. Condition 24\nSCADA Procedures: A detailed procedure for establishing and maintaining\naccurate SCADA set points must be established to ensure the pipeline operates\nwithin acceptable design limits at all times.\nRockies Express failed to establish a detailed procedure to ensure accurate SCADA\nset points for its gas quality monitoring and control program were maintained. The\naccuracy of SCADA set points was not verified during, after, or as a result of\ncalibrations on equipment required for monitoring the gas quality limits prescribed\nin SP Condition 28.\nProposed Civil Penalty\nUnder 49 United States Code, §60122, you are subject to a civil penalty not to exceed\n$200,000 for each violation for each day the violation persists up to a maximum of\n$2,000,000 for any related series of violations. For violations occurring prior to January 4,\n2012, the maximum penalty may not exceed $100,000 per violation per day, with a\nmaximum penalty not to exceed $1,000,000 for a related series of violations. The\nCompliance Officer has reviewed the circumstances and supporting documentation\ninvolved in the above probable violation(s) and has recommended that you be preliminarily\nassessed a civil penalty of $67,400 as follows:\nItem number PENALTY\n1 $28,700\n2 $38,700\nProposed Compliance Order\nWith respect to item numbers 3, 4 and 5 pursuant to 49 United States Code §60118(b), the\nPipeline and Hazardous Materials Safety Administration proposes to issue a Compliance\nOrder to Rockies Express Pipeline, LLC. Please refer to the Proposed Compliance Order,\nwhich is enclosed and made a part of this Notice.\nResponse to this Notice\nEnclosed as part of this Notice is a document entitled Response Options for Pipeline\nOperators in Compliance Proceedings. Please refer to this document and note the response\noptions. Be advised that all material you submit in response to this enforcement action is\nsubject to being made publicly available. If you believe that any portion of your responsive\nmaterial qualifies for confidential treatment under 5 U.S.C. 552(b), along with the complete\noriginal document you must provide a second copy of the document with the portions you\nbelieve qualify for confidential treatment redacted and an explanation of why you believe\nthe redacted information qualifies for confidential treatment under 5 U.S.C. 552(b). If you\ndo not respond within 30 days of receipt of this Notice, this constitutes a waiver of your\nright to contest the allegations in this Notice and authorizes the Associate Administrator for\nPipeline Safety to find facts as alleged in this Notice without further notice to you and to\nissue a Final Order.\nIn your correspondence on this matter, please refer to CPF 3-2013-1002 and for each\ndocument you submit, please provide a copy in electronic format whenever possible.\nPage 4 of 6\n\n\n\nRight to Modify, Suspend, or Revoke a Special Permit\nIssuance of this enforcement action does not preclude PHMSA’s authority to seek\nmodification, suspension or revocation of the special permit issued under PHMSA-2006-\n23998 Notice 2 at any time, as provided in 49 C.F.R. §190.341(h)(1).(v). If such action is\ntaken, PHMSA will provide Rockies Express Pipeline, LLC with the opportunity to show\ncause why the proposed action should not be taken.\nSincerely,\nDavid Barrett\nDirector, Central Region\nPipeline and Hazardous Materials Safety Administration\nEnclosures: Proposed Compliance Order\nResponse Options for Pipeline Operators in Compliance Proceedings\nPage 5 of 6\n\n\n\nPROPOSED COMPLIANCE ORDER\nPursuant to 49 United States Code § 60118, the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) proposes to issue to Rockies Express Pipeline, LLC a\nCompliance Order incorporating the following remedial requirements to ensure compliance\nwith the Special Permit Order issued on July 11, 2006.\n1. 2. 3. 4. In regard to Item Number 3 of the Notice pertaining to procedures for SCADA\nset points and operation within acceptable design limits at all times, Rockies\nExpress Pipeline, LLC must, within 30 days of receipt of the Final Order,\ndevelop and implement enhanced procedures for pipeline control which ensure\nthat all methods or modes of operation of the pipeline (manual, local, remote,\nautomatic, emergency) have an equivalent level of safety with respect to\nmaintaining mainline pressure set points, or PHMSA may issue a show cause\nletter modifying, revoking, or suspending the Order issued under PHMSA-\n2006-23998 Notice 2.\nIn regard to Item Number 4 of the Notice pertaining to the requirement for\nRockies Express to institute an acceptable gas quality monitoring and mitigation\nprogram to not exceed the established limits, Rockies Express must, within 90\ndays of receipt of the Final Order, institute a program to monitor and mitigate\ngas quality problems which requires a documented investigation and mitigating\nactions whenever the limits are exceeded, or PHMSA may issue a show cause\nletter modifying, revoking, or suspending the Order issued under PHMSA-\n2006-23998 Notice 2.\nIn regard to Item Number 5 of the Notice pertaining to the requirement for\nRockies Express to establish and maintain accurate SCADA set points for gas\nquality, Rockies Express must, within 90 days of the receipt of the Final Order,\ndevelop detailed procedures for ensuring that SCADA set points are calibrated\non a point-to-point basis with all field equipment used to monitor the pipeline or\nPHMSA may issue a show cause letter modifying, revoking, or suspending the\nOrder issued under PHMSA-2006-23998 Notice 2.\nSubmit the results of the Proposed Compliance Order Items above to David\nBarrett, Director, Central Region.\nPage 6 of 6\n\n320131002_Final Order_01172014_text.pdf\n\nJANUARY 17, 2014\nMr. David G. Dehaemers, Jr.\nChief Executive Officer\nTallgrass Energy Partners, LP\nRockies Express Pipeline, LLC\n6640 W. 143rd Street, Suite 200\nOverland Park, Kansas, 66223\nRe: CPF No. 3-2013-1002\nDear Mr. Dehaemers:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation, assesses a civil penalty of $67,400, and specifies actions that need to be taken on the\nRockies Express Pipeline to comply with the pipeline safety regulations. This is to acknowledge\nreceipt of payment of the full penalty amount, by wire transfer, dated March 12, 2013. When the\nterms of the compliance order have been completed, as determined by the Director, Central\nRegion, this enforcement action will be closed. Service of the Final Order by certified mail is\ndeemed effective upon the date of mailing, or 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. Daniel W. Prascher, Manager, Compliance and Records,\nTallgrass Development, LP, 370 Van Gordon St., Lakewood, CO 80228\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____________________________________\n)\nIn the Matter of )\n)\nRockies Express Pipeline, LLC, ) CPF No. 3-2013-1002\n)\nRespondent. )\n____________________________________)\nFINAL ORDER\nOn July 14-16, 2009 and on April 1-15 and July 11-15, 2011, pursuant to 49 U.S.C. § 60117,\nrepresentatives 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 Rockies Express Pipeline, LLC (Rockies Express or Respondent)1 from the Mexico,\nMissouri compressor station to the Indiana-Ohio border facilities, including the Bertrand,\nNebraska compressor station. The Rockies Express Pipeline runs approximately 1,679 miles\nfrom Wyoming to eastern Ohio and has the capacity to transport 1.8 billion cubic feet of natural\ngas per day.2\nAs a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,\nby letter dated January 11, 2013, a Notice of Probable Violation, Proposed Civil Penalty, and\nProposed Compliance Order (Notice).3 In accordance with 49 C.F.R. § 190.207, the Notice\nproposed finding that Rockies Express had committed five violations of Special Permit Order\nPHMSA-2006-23998 (SP Order), issued by PHMSA on July 11, 2006, and proposed assessing a\ncivil penalty of $67,400 for two of the alleged violations. The Notice also proposed ordering\nRespondent to take certain measures to correct the other three alleged violations.\nRockies Express responded to the Notice by letter dated March 6, 2013, as supplemented by\nletter dated March 19, 2013 (collectively, Response). The company did not contest the\nallegations of violation and paid the proposed civil penalty of $67,400, as provided in 49 C.F.R.\n1 Rockies Express Pipeline, LLC, is a joint venture of: a subsidiary of Tallgrass Development, LP (50 percent\nshare); Sempra U.S. Gas & Power (25 percent share), a subsidiary of Sempra Energy; and a subsidiary of Phillips 66\n(25 percent share). A wholly-owned subsidiary of Tallgrass Development, LP, operates the pipeline.\nSee http://www.tallgrassenergylp.com/pipelines/rex/ (last accessed December 17, 2013).\n2 PHMSA Violation Report at 1.\n3 The Notice was issued to Kinder Morgan Energy Partners, LP, and Tallgrass Energy Partners, LP, but Rockies\nExpress Pipeline, LLC, responded on their behalf.\n\n\n\n2\n§ 190.227. Payment of the penalty serves to authorize the Associate Administrator to make\nfindings of violation as to the items with penalties and to issue a final order under 49 C.F.R.\n§ 190.213.\nFINDINGS OF VIOLATION\nIn its Response, Rockies Express did not contest the allegations in the Notice that it violated the\nSP Order as follows:\nItem 1: The Notice alleged that Respondent violated Condition 15 of the SP Order, which states:\nCondition 15.\nOverpressure Protection Control: Mainline pipeline overpressure\nprotection must be limited to a maximum of 104 percent [maximum\nallowable operating pressure] MAOP.\nThe Notice alleged that Respondent violated Condition 15 by allowing the pipeline pressure to\nexceed 104 percent MAOP on May 16, 2009, on the segment between the Bertrand compressor\nstation and Main Live Valve 15. Specifically, the Notice alleged that the pressure was allowed\nto reach 104.6 percent due to the overpressure protection set points being set to 105 percent at\nthe compressor station.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated Condition 15 of the SP Order by allowing the\npipeline pressure to exceed 104 percent MAOP on May 16, 2009, on the segment between the\nBertrand compressor station and Main Live Valve 15.\nItem 2: The Notice alleged that Respondent violated Condition 15 of the SP Order, as quoted\nabove, by failing to set the overpressure protection set point at the Blue Mound compressor\nstation below 104 percent of MAOP. Specifically, the Notice alleged that Rockies Express set\nthe overpressure protection set point to 105 percent at this compressor station between\nSeptember 2010 and April 2011.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated Condition 15 of the SP Order by failing to set the\noverpressure protection set point at the Blue Mound compressor station below 104 percent of\nMAOP.\nItem 3: The Notice alleged that Respondent violated Condition 24 of the SP Order, which states:\nCondition 24.\nSCADA Procedures: A detailed procedure for establishing and\nmaintaining accurate [supervisory control and data acquisition] SCADA\nset points must be established to ensure the pipeline operates within\nacceptable design limits at all times.\n\n\n\n3\nThe Notice alleged that Respondent violated Condition 24 by failing to have a detailed procedure\nfor establishing and maintaining accurate SCADA set points to ensure the pipeline operated\nwithin acceptable design limits in all operating modes. Specifically, the Notice alleged that the\n“Start Procedure” established by Rockies Express did not accurately define SCADA set points\nfor local-mode operation at the Bertrand compressor station.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated Condition 24 of the SP Order by failing to have a\ndetailed procedure for establishing and maintaining accurate SCADA set points to operate the\npipeline within acceptable design limits in all operating modes.\nItem 4: The Notice alleged that Respondent violated Condition 28 of the SP Order, which states:\nCondition 28.\nGas Quality Monitoring and Control: An acceptable gas quality\nmonitoring and mitigation program must be instituted to not exceed the\nfollowing limits:\nSpecial Permit Condition # 28a:\nH2S (4 grains maximum);\nSpecial Permit Condition # 28b:\nCO2 (3 percent maximum);\nSpecial Permit Condition # 28c:\nH2O (less than or equal to 7 pounds per million standard cubic feet\nand no free water); and\nSpecial Permit Condition # 28d:\nOther deleterious constituents that may impact the integrity of the\npipeline must be instituted. Filters/separators must be installed at locations\nwhere gas is received into the pipeline to minimize the entry of\ncontaminants and to protect the integrity of downstream pipeline\nsegments. Gas quality monitoring equipment must be installed to permit\nthe operator to manage the introduction of contaminants and free liquids\ninto the pipeline.\nThe Notice alleged that Respondent violated Condition 28 by failing to institute a gas quality\nmonitoring and control program in a manner that mitigated the entry of contaminants and\nensured contaminants did not exceed prescribed limits. Specifically, the Notice alleged that\nRockies Express failed to mitigate contaminants, as evidenced by 870 alarms indicating that gas\nquality exceeded the prescribed limits.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated Condition 28 of the SP Order by failing to\ninstitute a gas quality monitoring and control program in a manner that mitigated the entry of\ncontaminants and that ensured contaminants did not exceed prescribed limits.\nItem 5: The Notice alleged that Respondent violated Condition 24 of the SP Order, which states:\n\n\n\n4\nCondition 24.\nSCADA Procedures: A detailed procedure for establishing and\nmaintaining accurate [supervisory control and data acquisition] SCADA\nset points must be established to ensure the pipeline operates within\nacceptable design limits at all times.\nThe Notice alleged that Respondent violated Condition 24 by failing to have a detailed procedure\nfor establishing and maintaining accurate SCADA set points to operate within acceptable design\nlimits in all operating modes. Specifically, the Notice alleged that Rockies Express failed to\nverify the accuracy of the SCADA set points during, after, or as a result of calibrations on\nequipment required for monitoring gas quality limits prescribed in Condition 28.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated Condition 24 of the SP Order by failing to have a\ndetailed procedure for establishing and maintaining accurate SCADA set points to operate within\nacceptable design limits in all operating modes.\nThese findings of violation will be considered prior offenses in any subsequent enforcement\naction taken against Respondent.\nASSESSMENT OF PENALTY\nUnder 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed\n$100,000 per violation for each day of the violation, up to a maximum of $1,000,000 for any\nrelated series of violations. In determining the amount of a civil penalty under 49 U.S.C.\n§ 60122 and 49 C.F.R. § 190.225, I must consider the following criteria: the nature,\ncircumstances, and gravity of the violation, including adverse impact on the environment; the\ndegree of Respondent’s culpability; the history of Respondent’s prior offenses; the Respondent’s\nability to pay the penalty and any effect that the penalty may have on its ability to continue doing\nbusiness; and the good faith of Respondent in attempting to comply with the pipeline safety\nregulations. In addition, I may consider the economic benefit gained from the violation without\nany reduction because of subsequent damages, and such other matters as justice may require.\nThe Notice proposed a total civil penalty of $67,400 for the violations cited above.\nItem 1: The Notice proposed a civil penalty of $28,700 for Respondent’s violation of SP Order\nCondition 15, for allowing the pipeline pressure to exceed 104 percent MAOP on May 16, 2009,\non the segment between the Bertrand compressor station and Main Live Valve 15.\nWith respect to the nature, circumstances, and gravity of this violation, controlling pipeline\npressure within maximum limits is a key part of operating a pipeline safely. Respondent is\nculpable for the violation because there was no justification for the pressure exceedance.\nRespondent paid the proposed penalty for this Item, which authorizes PHMSA to make a finding\nof violation pursuant to 49 C.F.R. § 190.213. Accordingly, having reviewed the record and\nconsidered the assessment criteria, I assess Respondent a civil penalty of $28,700 for this\nviolation of SP Order Condition 15.\n\n\n\n5\nItem 2: The Notice proposed a civil penalty of $38,700 for Respondent’s violation of SP Order\nCondition 15, for failing to set the overpressure protection set point at the Blue Mound\ncompressor station below 104 percent of MAOP. With respect to the nature, circumstances, and\ngravity of this violation, overpressure protection is a fundamental aspect of pipeline safety.\nRespondent is culpable for the violation because there was no justification for the improper set\npoint levels.\nRespondent paid the proposed penalty for this Item, which authorizes PHMSA to make a finding\nof violation pursuant to 49 C.F.R. § 190.213. Accordingly, having reviewed the record and\nconsidered the assessment criteria, I assess Respondent a civil penalty of $38,700 for this\nviolation of SP Order Condition 15.\nIn summary, having reviewed the record and considered the assessment criteria for each of the\nItems cited above, I assess Respondent a total civil penalty of $67,400, which amount has\nalready been paid by Respondent.\nCOMPLIANCE ORDER\nThe Notice proposed a compliance order with respect to Items 3, 4, and 5 in the Notice for\nviolations of SP Order Conditions 24, 28, and 24, respectively. Under 49 U.S.C. § 60118(a),\neach person who engages in the transportation of gas or who owns or operates a pipeline facility\nis required to comply with the regulations established and orders issued under chapter 601.\nPursuant to the authority of 49 U.S.C. § 60118(b) and 49 C.F.R. § 190.217, Respondent is\nordered to take the following actions to ensure compliance with the SP Order conditions\napplicable to its operations:\n1. With respect to the violation of SP Order Condition 24 (Item 3), within 30 days\nfollowing receipt of this compliance order, Respondent must develop and implement\nenhanced procedures for pipeline control which ensure that all methods or modes of\npipeline operation (manual, local, remote, automatic, emergency) have an equivalent\nlevel of safety with respect to maintaining pressure set points.\n2. With respect to the violation of SP Order Condition 28 (Item 4), within 90 days\nfollowing receipt of this compliance order, Respondent must institute a program to\nmonitor and mitigate gas quality problems that provides for a documented\ninvestigation and mitigative actions whenever the established limits are exceeded.\n3. With respect to the violation of SP Order Condition 24 (Item 5), within 90 days\nfollowing receipt of this compliance order, Respondent must develop detailed\nprocedures for ensuring that SCADA set points are calibrated on a point-to-point\nbasis with all field equipment used to monitor the pipeline.\n4. Upon completion of Items 1-3 above, Respondent must submit documentation\ndemonstrating completion to the Director.\n\n\n\n6\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 [CPF No. 3-2013-1002] may result in an action to modify,\nsuspend, or revoke SP Order PHMSA-2006-23998 and/or the administrative assessment of civil\npenalties not to exceed $200,000 for each violation for each day the violation continues or in\nreferral to the Attorney 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\nfor Pipeline Safety\n\n320131002_Closure Letter_06102016_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJune 10, 2016\nMr. David G. Dehaemers, Jr.\nChief Executive Officer\nTallgrass Energy Partners, LP\nRockies Express Pipeline, LLC\n4200 W. 115th Street, Suite 350\nLeawood, KS 66211-2609\nCPF 3-2013-1002\nDear Mr. Dehaemers:\nOn January 17, 2014, the Pipeline and Hazardous Materials Safety Administration (PHMSA)\nissued to Tallgrass Energy Partners, LP and Rockies Express Pipeline, LLC a Final Order in the\nabove-referenced case. This Order included a Compliance Order and Civil Penalty assessment.\nBased on our review of the documentation you provided and confirmation of payment of the\ncivil penalty, it has been determined that you 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":30169}