{"operation":"document","citation":"CPF 320171007","title":"GREAT LAKES GAS TRANSMISSION CO — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2017-05-11","effective_on":null,"summary":"CLOSED notice of probable violation citing 191.25(a), 192.933(d)(1)(ii).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320171007.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320171007.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320171007","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320171007","body":"Notice of Probable Violation involving GREAT LAKES GAS TRANSMISSION CO. PHMSA's enforcement data identifies the cited regulations as 191.25(a),  192.933(d)(1)(ii). The case was opened on 2017-05-11 and is reported as closed as of 2017-11-17. Proposed civil penalty: $56,900. Assessed civil penalty: $56,900. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320171007_Final Order_11172017.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320171007/320171007_Final%20Order_11172017.pdf\n\n320171007_Final Order_11172017_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320171007/320171007_Final%20Order_11172017_text.pdf\n\n320171007_NOPV PCP_05112017.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320171007/320171007_NOPV%20PCP_05112017.pdf\n\n320171007_NOPV PCP_05112017_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320171007/320171007_NOPV%20PCP_05112017_text.pdf\n\n320171007_Final Order_11172017_text.pdf\n\nNovember 17, 2017\nMr. Russell Girling\nPresident & CEO\nTransCanada Corporation\n450-1 Street SW\nCalgary, Alberta, Canada T2P 5H1\nRe: CPF No. 3-2017-1007\nDear Mr. Girling:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation and assesses a civil penalty of $56,900 against your subsidiary, Great Lakes Gas\nTransmission Company. This is to acknowledge receipt of payment of the full penalty amount,\nby wire transfer, dated June 5, 2017. This enforcement action is now closed. Service of the\nFinal Order is deemed effective as provided under 49 C.F.R. § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nAlan K. Mayberry\nAssociate Administrator\nfor Pipeline Safety\nEnclosure\ncc: Mr. Allan C. Beshore, Director, Central Region, Office of Pipeline Safety, PHMSA\nMr. Lee Romack, Manager, U.S. Regulatory Compliance, TransCanada, 700 Louisiana\nStreet, Suite 700, Houston, Texas 77002\nMr. Stanley Chapman, Senior Vice President and General Manager, Great Lakes Gas\nTransmission Company, 700 Louisiana Street, Houston, Texas 77002\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)\nGreat Lakes Gas Transmission Company, )\na subsidiary of TransCanada Corporation, ) CPF No. 3-2017-1007\n)\nRespondent. )\n__________________________________________)\nFINAL ORDER\nBeginning on January 22, 2016, pursuant to 49 U.S.C. § 60117, representatives of the Michigan\nPublic Service Commission (MIPSC) and the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), Office of Pipeline Safety (OPS), conducted an inspection of a safety-\nrelated condition report filed by Great Lakes Gas Transmission Company (GLGT or\nRespondent) on January 21, 2016. The safety-related condition report regarded GLGT’s Line\n200 near Crystal Falls in Iron County, Michigan. GLGT, a subsidiary of TransCanada\nCorporation,1 transports over 2.2 billion cubic feet of natural gas through 2,115 miles of pipeline\nper day.2\nAs a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,\nby letter dated May 11, 2017, a Notice of Probable Violation and Proposed Civil Penalty\n(Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that GLGT had\nviolated 49 C.F.R. §§ 191.25 and 192.933 and proposed assessing a civil penalty of $56,900 for\nthe alleged violations.\nTransCanada Corporation responded to the Notice on behalf of GLGT by email on May 25, 2017\n(Response). The company did not contest the allegations of violation and paid the proposed civil\npenalty of $56,900 by wire transfer dated June 5, 2017. In accordance with 49 C.F.R. §\n190.208(a)(1), such payment authorizes the Associate Administrator to make findings of\nviolation and to issue this Final Order.\n1 http://www.tcpipelineslp.com/great-lakes-transmission html (last accessed August 14, 2017).\n2 http://www.glgt.com/1_frame htm (last accessed August 14, 2017).\n\n\n\nCPF No. 3-2017-1007\nPage 2\nFINDINGS OF VIOLATION\nIn its Response, GLGT did not contest the allegations in the Notice that it violated 49 C.F.R. Part\n191 and Part 192, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 191.25(a), which states:\n§ 191.25 Filing safety-related condition reports.\n(a) Each report of a safety-related condition under § 191.23(a) must be\nfiled (received by OPS within five working days, not including Saturday,\nSunday, or Federal Holidays) after the day a representative of the operator\nfirst determines that the condition exists, but not later than 10 working days\nafter the day a representative of the operator discovers the condition.\nSeparate conditions may be described in a single report if they are closely\nrelated. Reports may be transmitted by electronic mail to\nInformationResourcesManager@dot.gov or by facsimile at (202) 366-7128.\nThe Notice alleged that Respondent violated 49 C.F.R. § 191.25(a) by failing to report a safety-\nrelated condition to OPS not later than 10 working days after the day a representative of the\noperator discovered the condition. Specifically, the Notice alleged that GLGT discovered a\nsafety-related condition on October 21, 2015, but did not report the condition to OPS until\nJanuary 21, 2016, which was 61 working days after the date of discovery.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nthe evidence, I find that Respondent violated 49 C.F.R. § 191.25(a) by failing to report a safety-\nrelated condition not later than 10 working days after the day a representative of the operator\ndiscovered the condition.\nItem 2: The Notice alleged that Respondent violated 49 C.F.R. § 192.933(d)(1)(ii), which states:\n§ 192.933 What actions must be taken to address integrity issues?\n(a) . . . .\n(d) Special requirements for scheduling remediation—(1) Immediate\nrepair conditions. An operator's evaluation and remediation schedule must\nfollow ASME/ANSI B31.8S, section 7 in providing for immediate repair\nconditions. To maintain safety, an operator must temporarily reduce\noperating pressure in accordance with paragraph (a) of this section or shut\ndown the pipeline until the operator completes the repair of these\nconditions. An operator must treat the following conditions as immediate\nrepair conditions:\n(i) . . . .\n(ii) A dent that has any indication of metal loss, cracking or a stress riser.\nThe Notice alleged that Respondent violated 49 C.F.R. § 192.933(d)(1)(ii) by failing to\n\n\n\nCPF No. 3-2017-1007\nPage 3\ntemporarily reduce operating pressure or shut down Line 200 until GLGT completed the repair\nof two immediate-repair conditions discovered on the pipeline. Specifically, the Notice alleged\nthat Respondent received an ILI vendor’s final report on October 21, 2015, that identified two\ndents with metal loss in a “High Consequence Area” along Line 200. After discovering these\nimmediate repair conditions, GLGT did not isolate the pipeline until January 14, 2016, and did\nnot reduce the pressure on the line until January 15, 2016, approximately 86 days after the\nconditions were discovered.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nthe evidence, I find that Respondent violated 49 C.F.R. § 192.933(d)(1)(ii) by failing to\ntemporarily reduce operating pressure or shut down Line 200 until GLGT completed the repair\nof two immediate-repair conditions.\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$200,000 per violation for each day of the violation, up to a maximum of $2,000,000 for any\nrelated series of violations.3 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; and any effect\nthat the penalty may have on its ability to continue doing business; and the good faith of\nRespondent in attempting to comply with the pipeline safety regulations. In addition, I may\nconsider the economic benefit gained from the violation without any reduction because of\nsubsequent damages, and such other matters as justice may require. The Notice proposed a total\ncivil penalty of $56,900 for the violations cited above.\nItem 1: The Notice proposed a civil penalty of $15,500 for Respondent’s violation of 49 C.F.R.\n§ 191.25(a), for failing to report a safety-related condition to OPS within 10 working days after\nthe day that a GLGT representative discovered the condition. GLGT neither contested the\nallegation nor presented any evidence or argument justifying elimination or reduction of the\nproposed penalty. Accordingly, having reviewed the record and considered the assessment\ncriteria, I assess Respondent a civil penalty of $15,500 for the violation of 49 C.F.R. § 191.25(a).\nItem 2: The Notice proposed a civil penalty of $41,400 for Respondent’s violation of 49 C.F.R.\n§ 192.933(d)(1)(ii), for failing to temporarily reduce operating pressure or shut down Line 200\nuntil GLGT completed the repair of two immediate-repair conditions discovered on the pipeline.\nGLGT neither contested the allegation nor presented any evidence or argument justifying\nelimination or reduction of the proposed penalty. Accordingly, having reviewed the record and\n3 These amounts are adjusted annually for inflation. See, e.g., Pipeline Safety: Inflation Adjustment of Maximum\nCivil Penalties, 82 Fed. Reg. 19325 (April 27, 2017).\n\n\n\nCPF No. 3-2017-1007\nPage 4\nconsidered the assessment criteria, I assess Respondent a civil penalty of $41,400 for the\nviolation of 49 C.F.R. § 192.933(d)(1)(ii).\nIn summary, having reviewed the record and considered the assessment criteria for the Items\ncited above, I assess the respondent a total civil penalty of $56,900, which amount was paid in\nfull by Respondent on June 5, 2017.\nThe terms and conditions of this Final Order are effective upon service in accordance with\n49 C.F.R. § 190.5.\nNovember 17, 2017\n___________________________________ __________________________\nAlan K. Mayberry Date Issued\nAssociate Administrator\nfor Pipeline Safety","truncated":false,"body_characters":10553}