# SOUTHERN STAR CENTRAL GAS PIPELINE, INC — Notice of Probable Violation

- **operation:** document
- **citation:** CPF 320181002
- **title:** SOUTHERN STAR CENTRAL GAS PIPELINE, INC — Notice of Probable Violation
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2018-10-16
- **effective on:** Not available
- **summary:** CLOSED notice of probable violation citing 192.201(a)(2)(i).
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- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-320181002
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/320181002
**body:**

Notice of Probable Violation involving SOUTHERN STAR CENTRAL GAS PIPELINE, INC. PHMSA's enforcement data identifies the cited regulation as 192.201(a)(2)(i). The case was opened on 2018-10-16 and is reported as closed as of 2019-05-14. Proposed civil penalty: $29,300. Assessed civil penalty: $29,300. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

320181002_Final Order_05032019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320181002/320181002_Final%20Order_05032019.pdf

320181002_Final Order_05032019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320181002/320181002_Final%20Order_05032019_text.pdf

320181002_NOPV PCP_10162018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320181002/320181002_NOPV%20PCP_10162018.pdf

320181002_NOPV PCP_10162018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320181002/320181002_NOPV%20PCP_10162018_text.pdf

320181002_Operator Response to Notice_10302018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320181002/320181002_Operator%20Response%20to%20Notice_10302018.pdf

320181002_Final Order_05032019_text.pdf

May 3, 2019
Mr. Jimmy D. Staton
President and Chief Executive Officer
Southern Star Central Gas Pipeline, Inc.
4700 Highway 56
Owensboro, KY 42301
Re: CPF No. 3-2018-1002
Dear Mr. Staton:
Enclosed please find the Final Order issued in the above-referenced case. It makes a finding of
violation and assesses a civil penalty of $29,300. The penalty payment terms are set forth in the
Final Order. This enforcement action closes automatically upon receipt of payment. Service of
the Final Order by certified mail is effective upon the date of mailing, as provided under 49
C.F.R. § 190.5.
Thank you for your cooperation in this matter.
Sincerely,
Alan K. Mayberry
Associate Administrator
for Pipeline Safety
Enclosure
cc: Mr. Allan C. Beshore, Director, Central Region, Office of Pipeline Safety, PHMSA
Mr. Shawn Patterson, Vice President and Chief Operations Officer, Southern Star Central
Gas Pipeline, Inc.
CERTIFIED MAIL - RETURN RECEIPT REQUESTED



U.S. DEPARTMENT OF TRANSPORTATION
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON, D.C. 20590
____________________________________
In the Matter of )
Southern Star Central Gas Pipeline, Inc., ) CPF No. 3-2018-1002
)
)
)
Respondent. )
____________________________________)
FINAL ORDER
From May 23 through May 26, 2017, pursuant to 49 U.S.C. § 60117, representatives of the
Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety
(OPS), conducted an on-site pipeline safety inspection of the facilities and records of Southern
Star Central Gas Pipeline, Inc. (SSCGP or Respondent), near Tonganoxie, Kansas. SSCGP owns
and operates approximately 5,800 miles of natural gas transmission pipeline facilities in
Missouri, Kansas, Oklahoma, Wyoming, Colorado, Nebraska, and Texas.1
As a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,
by letter dated October 16, 2018, a Notice of Probable Violation and Proposed Civil Penalty
(Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that SSCGP had
violated 49 C.F.R. § 192.201(a)(2)(i) and assessing a civil penalty of $29,300 for the alleged
violation.
SSCGP responded to the Notice by letter dated October 30, 2018 (Response). The company did
not contest the allegation of violation, but provided an explanation of its actions and requested
that the proposed civil penalty be eliminated. Respondent did not request a hearing and therefore
has waived its right to one.
FINDING OF VIOLATION
In its Response, SSCGP did not contest the allegation in the Notice that it violated 49 C.F.R. Part
192, as follows:
Item 1: The Notice alleged that Respondent violated 49 C.F.R. § 192.201(a)(2)(i), which states:
§ 192.201 Required capacity of pressure relieving and limiting stations.
1 SSCGP website, available at https://www.sscgp.com/about-southern-star/ (last accessed January 29, 2019).



CPF No. 3-2018-1002
Page 2
(a) Each pressure relief station or pressure limiting station or group of
those stations installed to protect a pipeline must have enough capacity, and
must be set to operate, to insure the following:
(1) . . . .
(2) In pipelines other than a low pressure distribution system:
(i) If the maximum allowable operating pressure is 60 p.s.i. (414 kPa)
gage or more, the pressure may not exceed the maximum allowable
operating pressure plus 10 percent, or the pressure that produces a hoop
stress of 75 percent of SMYS, whichever is lower; . . . .
The Notice alleged that Respondent violated 49 C.F.R. § 192.201(a)(2)(i) by failing to set a
pressure limiting device at a pressure that would not exceed the maximum allowable operating
pressure (MAOP) plus 10 percent.2 Specifically, the Notice alleged that a relief valve at
SSCGP’s Tonganoxie, Kansas compressor station was set to a pressure 21 percent higher than
the MAOP of the downstream pipeline that the relief valve was intended to protect. The pipeline
had an MAOP of 500 p.s.i.g., while the relief valve was set to operate at 605 p.s.i.g.
Respondent did not contest this allegation of violation. Accordingly, based upon a review of all
of the evidence, I find that Respondent violated 49 C.F.R. § 192.201(a)(2)(i) by failing to set a
pressure limiting device at a pressure that would not exceed the MAOP plus 10 percent.
This finding of violation will be considered a prior offense in any subsequent enforcement action
taken against Respondent.
ASSESSMENT OF PENALTY
Under 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed
$200,000 per violation for each day of the violation, up to a maximum of $2,000,000 for any
related series of violations.3 In determining the amount of a civil penalty under 49 U.S.C.
§ 60122 and 49 C.F.R. § 190.225, I must consider the following criteria: the nature,
circumstances, and gravity of the violation, including adverse impact on the environment; the
degree of Respondent’s culpability; the history of Respondent’s prior offenses; any effect that
the penalty may have on its ability to continue doing business; and the good faith of Respondent
in attempting to comply with the pipeline safety regulations. In addition, I may consider the
economic benefit gained from the violation without any reduction because of subsequent
damages, and such other matters as justice may require. The Notice proposed a total civil
penalty of $29,300 for the violation cited above.
Item 1: The Notice proposed a civil penalty of $29,300 for Respondent’s violation of 49 C.F.R.
2 The regulation provides an alternative maximum pipeline pressure, namely, “a hoop stress of 75 percent of SMYS
[i.e., specified minimum yield strength], whichever is lower.” The Notice, however, did not include this alternative
standard nor did SSCGP contest the allegation of violation.
3 These amounts are adjusted annually for inflation. See 49 C.F.R. § 190.223; Revisions to Civil Penalty Amounts,
83 Fed. Reg. 60732, 60744 (Nov. 27, 2018).



CPF No. 3-2018-1002
Page 3
§ 192.201(a)(2)(i), for failing to set a pressure limiting device at a pressure that would not exceed
the MAOP plus 10 percent. SSCGP requested elimination of the proposed civil penalty based on
the company’s 2018 installation of overpressure-protection devices at its Tonganoxie facility that
purportedly comply with 49 C.F.R. Part 192. While the company’s corrective actions taken
subsequent to the PHMSA inspection are commendable, they do not warrant a reduction or
elimination of a proposed penalty under the agency’s penalty-assessment criteria. Further,
Respondent has not shown any other circumstance that would justify reduction or elimination of
the proposed penalty.
Accordingly, having reviewed the record and considered the assessment criteria, I assess
Respondent a civil penalty of $29,300 for violation of 49 C.F.R. § 192.201(a)(2)(i).
Payment of the civil penalty must be made within 20 days of service. Federal regulations (49
C.F.R. § 89.21(b)(3)) require such payment to be made by wire transfer through the Federal
Reserve Communications System (Fedwire), to the account of the U.S. Treasury. Detailed
instructions are contained in the enclosure. Questions concerning wire transfers should be
directed to: Financial Operations Division (AMK-325), Federal Aviation Administration, Mike
Monroney Aeronautical Center, 6500 S MacArthur Blvd, Oklahoma City, Oklahoma 79169.
The Financial Operations Division telephone number is (405) 954-8845.
Failure to pay the $29,300 civil penalty will result in accrual of interest at the current annual rate
in accordance with 31 U.S.C. § 3717, 31 C.F.R. § 901.9 and 49 C.F.R. § 89.23. Pursuant to
those same authorities, a late penalty charge of six percent (6%) per annum will be charged if
payment is not made within 110 days of service. Furthermore, failure to pay the civil penalty
may result in referral of the matter to the Attorney General for appropriate action in a district
court of the United States.
Under 49 C.F.R. § 190.243, Respondent may submit a Petition for Reconsideration of this Final
Order to the Associate Administrator, Office of Pipeline Safety, PHMSA, 1200 New Jersey
Avenue, SE, East Building, 2nd Floor, Washington, DC 20590, with a copy sent to the Office of
Chief Counsel, PHMSA, at the same address, no later than 20 days after receipt of service of the
Final Order by Respondent. Any petition submitted must contain a brief statement of the issue(s)
and meet all other requirements of 49 C.F.R. § 190.243. The filing of a petition automatically
stays the payment of any civil penalty assessed. The other terms of the order, including any
corrective action, remain in effect unless the Associate Administrator, upon request, grants a
stay. If Respondent submits payment of the civil penalty, the Final Order becomes the final
administrative decision and the right to petition for reconsideration is waived.
The terms and conditions of this Final Order are effective upon service in accordance with 49
C.F.R. § 190.5.
May 3, 2019
___________________________________ __________________________
Alan K. Mayberry Date Issued
Associate Administrator
for Pipeline Safety
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