{"operation":"document","citation":"CPF 320186003M","title":"HAWTHORN OIL TRANSPORTATION (NORTH DAKOTA), INC. — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2018-05-03","effective_on":null,"summary":"CLOSED notice of amendment citing 195.402(a), 195.402(c)(3), 195.402(e)(2).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320186003m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320186003m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320186003m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320186003M","body":"Notice of Amendment involving HAWTHORN OIL TRANSPORTATION (NORTH DAKOTA), INC.. PHMSA's enforcement data identifies the cited regulations as 195.402(a),  195.402(c)(3),  195.402(e)(2). The case was opened on 2018-05-03 and is reported as closed as of 2019-03-29. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320186003M_Closure Letter_03292019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320186003M/320186003M_Closure%20Letter_03292019.pdf\n\n320186003M_Closure Letter_03292019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320186003M/320186003M_Closure%20Letter_03292019_text.pdf\n\n320186003M_Notice of Amendment_05032018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320186003M/320186003M_Notice%20of%20Amendment_05032018.pdf\n\n320186003M_Notice of Amendment_05032018_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320186003M/320186003M_Notice%20of%20Amendment_05032018_text.pdf\n\n320186003M_Operator Response to Notice_10032018.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320186003M/320186003M_Operator%20Response%20to%20Notice_10032018.pdf\n\n320186003M_Closure Letter_03292019_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nMarch 29, 2019\nMr. Ray Ingle, President and Chief Executive Officer\nHawthorn Oil Transportation (North Dakota), Inc.,\n1111 Bagby Sky Lobby 2,\nHouston, TX 77002\nCPF 3-2018-6003M\nDear Mr. Ingle:\nOn April 4-6, 2017, a representative from the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), pursuant to chapter 601 of 49 United States Code, conducted an on-\nsite pipeline safety inspection of Hawthorn’s procedures in Stanley, North Dakota. As a result\nof the inspection, Hawthorn was issued a Notice of Amendment on May 3, 2018, which\nproposed amendment of your procedures.\nHawthorn submitted its amended procedures on October 3, 2018. My staff reviewed the\namended procedures, and it appears that the inadequacies outlined in this Notice of\nAmendment have been corrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank\nyou for your cooperation.\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\n\n320186003M_Notice of Amendment_05032018_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nMay 3, 2018\nMr. Ray Ingle, President and Chief Executive Officer\nHawthorn Oil Transportation (North Dakota), Inc.,\n1111 Bagby Sky Lobby 2,\nHouston, TX 77002\nCPF 3-2018-6003M\nDear Mr. Ingle:\nOn April 4-6, 2017 representatives of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected\nHawthorn’s Stanley to Railyard pipeline procedures for operations, maintenance, public\nawareness, operator qualifications and integrity management in Stanley, North Dakota.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nHawthorn’s plans or procedures, as described below:\n\n\n\n1. §195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline system\na manual of written procedures for conducting normal operations and\nmaintenance activities and handling abnormal operations and emergencies. This\nmanual shall be reviewed at intervals not exceeding 15 months, but at least once\neach calendar year, and appropriate changes made as necessary to insure that\nthe manual is effective. This manual shall be prepared before initial operations\nof a pipeline system commence, and appropriate parts shall be kept at locations\nwhere operations and maintenance activities are conducted.\n(b) . . . .\n(e) Emergencies. The manual required by paragraph (a) of this section must\ninclude procedures for the following to provide safety when an emergency\ncondition occurs:\n(1) . . . .\n(2) Prompt and effective response to a notice of each type emergency,\nincluding fire or explosion occurring near or directly involving a pipeline\nfacility, accidental release of hazardous liquid or carbon dioxide from a pipeline\nfacility, operational failure causing a hazardous condition, and natural disaster\naffecting pipeline facilities.\nHawthorn’s manual of written procedures for handling emergencies failed to include\nprocedures for prompt and effective response to a notice of each type emergency.\nSpecifically, Hawthorn’s emergency response plan failed to include responses for fire,\nexplosion and operational failure. Hawthorn must amend its emergency response plan to\ninclude these responses.\n2. §195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) . . . .\n(c) Maintenance and normal operations. The manual required by paragraph\n(a) of this section must include procedures for the following to provide safety\nduring maintenance and normal operations:\n(1) . . . .\n(3) Operating, maintaining, and repairing the pipeline system in accordance\nwith each of the requirements of this subpart and subpart H of this part.\n2\n\n\n\nHawthorn’s manual of written procedures for conducting normal operations and maintenance\nactivities failed to include procedures for operating, maintaining, and repairing the pipeline\nsystem in accordance with each of the requirements of subpart F and subpart H of 49 CFR\n195. Specifically, Hawthorn’s procedures failed to include the critical elements for operating\nand maintaining its pipeline facilities. During an operator qualification inspection,\nPHMSA’s inspector determined that the following elements were not in Hawthorn’s\nprocedures:\nOperator Qualification Field Inspection - Overpressure Valve Relief Pressure Testing\n The 5-minute test period at 90 % of set point is not in the procedure.\n Per the SME, procedure step 18, which says to average the last 3 pop off pressure\nreadings to determine whether within the 3 % tolerance, is incorrect.\nHawthorn submitted an amended procedure on April 20, 2017, that satisfactorily addresses\nthe above issues.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed\nas part of this Notice is a document entitled Response Options for Pipeline Operators in\nCompliance Proceedings. Please refer to this document and note the response options. Be\nadvised that all material you submit in response to this enforcement action is subject to being\nmade publicly available. If you believe that any portion of your responsive material qualifies\nfor confidential treatment under 5 U.S.C. 552(b), along with the complete original document\nyou must provide a second copy of the document with the portions you believe qualify for\nconfidential treatment redacted and an explanation of why you believe the redacted\ninformation qualifies for confidential treatment under 5 U.S.C. 552(b).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, revised\nprocedures, or a request for a hearing under §190.211. If you do not respond within 30 days\nof receipt of this Notice, this constitutes a waiver of your right to contest the allegations in\nthis Notice and authorizes the Associate Administrator for Pipeline Safety to find facts as\nalleged in this Notice without further notice to you and to issue an Order Directing\nAmendment. If your plans or procedures are found inadequate as alleged in this Notice, you\nmay be ordered to amend your plans or procedures to correct the inadequacies (49 C.F.R. §\n190.206). If you are not contesting this Notice, we propose that you submit your amended\nprocedures to my office within [number of days] days of receipt of this Notice. This period\nmay be extended by written request for good cause. Once the inadequacies identified herein\nhave been addressed in your amended procedures, this enforcement action will be closed.\n3\n\n\n\nIt is requested (not mandated) that [Company name] maintain documentation of the safety\nimprovement costs associated with fulfilling this Notice of Amendment (preparation/revision\nof plans, procedures) and submit the total to [Region Director's name], Director, [Region],\nPipeline and Hazardous Materials Safety Administration. In correspondence concerning this\nmatter, please refer to CPF 3-2018-6003M and, for each document you submit, please\nprovide a copy in electronic format whenever possible.\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Enforcement Proceedings\n4","truncated":false,"body_characters":8561}