{"operation":"document","citation":"CPF 320196002W","title":"BOE MIDSTREAM — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-05-30","effective_on":null,"summary":"CLOSED warning letter citing 195.575(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320196002w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320196002w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320196002w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320196002W","body":"Warning Letter involving BOE MIDSTREAM. PHMSA's enforcement data identifies the cited regulation as 195.575(a). The case was opened on 2019-05-30 and is reported as closed as of 2019-05-30. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320196002W_Warning Letter_05302019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320196002W/320196002W_Warning%20Letter_05302019.pdf\n\n320196002W_Warning Letter_05302019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320196002W/320196002W_Warning%20Letter_05302019_text.pdf\n\n320196002W_Warning Letter_05302019_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nMay 30, 2019\nJohn C. Wadsworth\nChief Operating Officer\nBOE Midstream\n8301 East 21st N\nSuite 420\nWichita, Kansas 67206\nCPF 3-2019-6002W\nDear Mr. Wadsworth:\nOn September 27-29, 2016, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of 49\nUnited States Code (U.S.C.) inspected the BOE Midstream (BOE) facilities in Dunn and Stark\nCounties, North Dakota.\nAs a result of the inspection, it is alleged that you have committed a probable violation of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected\nand the probable violation is:\n1. §195.579 What must I do to mitigate internal corrosion?\n(a) General. If you transport any hazardous liquid or carbon dioxide that would\ncorrode the pipeline, you must investigate the corrosive effect of the hazardous\nliquid or carbon dioxide on the pipeline and take adequate steps to mitigate\ninternal corrosion.\n\n\n\nBOE failed to investigate the corrosive affects of the crude oil it transports and take\nadequate steps to mitigative internal corrosion. Specifically, BOE failed to test for the\ncorrosivity of their crude oil product prior to pipeline operation. BOE staff informed\nPHMSA during the inspection that testing for the corrosivitiy of the crude oil was not\nperformed prior to operation and no mitigative measures had been taken to prevent\ninternal corrosion.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to\nexceed $213,268 per violation per day the violation persists, up to a maximum of $2,132,679\nfor a related series of violations. For violation occurring on or after November 2, 2015 and\nbefore November 27, 2018, the maximum penalty may not exceed $209,002 per violation per\nday, with a maximum penalty not to exceed $2,090,022. For violations occurring prior to\nNovember 2, 2015, the maximum penalty may not exceed $200,000 per violation per day,\nwith a maximum penalty not to exceed $2,000,000 for a related series of violations. We have\nreviewed the circumstances and supporting documents involved in this case, and have decided\nnot to conduct additional enforcement action or penalty assessment proceedings at this time.\nWe advise you to correct the item identified in this letter. Failure to do so will result in BOE\nMidstream being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer\nto CPF 3-2019-6002W. Be advised that all material you submit in response to this\nenforcement action is subject to being made publicly available. If you believe that any portion\nof your responsive material qualifies for confidential treatment under 5 U.S.C. 552(b), along\nwith the complete original document you must provide a second copy of the document with\nthe portions you believe qualify for confidential treatment redacted and an explanation of why\nyou believe the redacted information qualifies for confidential treatment under 5 U.S.C.\n552(b).\nSincerely,\nAllan C. Beshore\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\n2","truncated":false,"body_characters":3872}