{"operation":"document","citation":"CPF 320205016","title":"EXPRESS HOLDINGS (USA), LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2020-10-06","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.581(a), 195.581(b).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205016.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205016.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205016","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320205016","body":"Notice of Probable Violation involving EXPRESS HOLDINGS (USA), LLC. PHMSA's enforcement data identifies the cited regulations as 195.581(a),  195.581(b). The case was opened on 2020-10-06 and is reported as closed as of 2021-12-16. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320205016_Closure Letter_12162021_(19-164036S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_Closure%20Letter_12162021_(19-164036S).pdf\n\n320205016_Closure Letter_12162021_(19-164036S)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_Closure%20Letter_12162021_(19-164036S)_text.pdf\n\n320205016_Consent Agreement and Order_03022021.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_Consent%20Agreement%20and%20Order_03022021.pdf\n\n320205016_Consent Agreement and Order_03022021_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_Consent%20Agreement%20and%20Order_03022021_text.pdf\n\n320205016_NOPV PCO_10062020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_NOPV%20PCO_10062020.pdf\n\n320205016_NOPV PCO_10062020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_NOPV%20PCO_10062020_text.pdf\n\n320205016_Operator Response to Notice_12022020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205016/320205016_Operator%20Response%20to%20Notice_12022020.pdf\n\n320205016_Closure Letter_12162021_(19-164036S)_text.pdf\n\nVIA ELECTRONIC MAIL TO: michael.koby@enbridge.com,\ndavid.Stafford@enbridge.com, charles.drayton@enbridge.com,\ndarren@huntermasalski.com\nDecember 16, 2021\nMr. Michael Koby\nVice President, U.S. Operations\nEnbridge, Inc.\n5400 Westheimer Court\nHouston, Texas 77056\nRe: CPF 3-2020-5016\nDear Mr. Koby:\nOn March 2, 2021, the Pipeline and Hazardous Materials Safety Administration (PHMSA) issued\nto Express Holdings (USA), LLC a Consent Agreement and Consent Order in the above-\nreferenced case. This Order included a requirement to take corrective measureson your\nExpress/Platte System pipeline.\nBased on our review of the documentation you provided , it has been determined that you have\ncomplied 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,\nGregory A. Ochs\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\ncc: David Stafford, Manager, David.Stafford@enbridge.com\nCharles Drayton, Managing Legal Counsel, charles.drayton@enbridge.com\nDarren Hunter, Cousnel for Enbridge, darren@huntermasalski.com\n\n320205016_Consent Agreement and Order_03022021_text.pdf\n\nMarch 2, 2021\nVIA ELECTRONIC MAIL TO: michael.koby@enbridge.com\nMr. Michael Koby\nVice President, U.S. Operations\nEnbridge, Inc.\n5400 Westheimer Court\nHouston, Texas 77056\nCPF No. 3-2020-5016\nDear Mr. Koby:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement\nbetween the Pipeline and Hazardous Materials Safety Administration (PHMSA) and Express\nHoldings (USA), LLC, which was executed on March 1, 2021. Service of the Consent Order\nand Consent Agreement by electronic mail is deemed effective upon the date of transmission, or\nas otherwise 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: Order and Consent Agreement\ncc: Mr. Gregory Ochs, Director, Central Region, Office of Pipeline Safety, PHMSA\nMr. David Stafford, Manager, U.S. Pipeline Compliance, Enbridge, Inc.\ndavid.stafford@enbridge.com\nMr. Charles Drayton, Managing Legal Counsel, US Liquid Pipelines Law, Enbridge, Inc.\ncharles.drayton@enbridge.com\nMr Darren Hunter, Hunter Masalski LLC, Counsel for Enbridge, Inc.\ndarren@huntermasalski.com\nCONFIRMATION OF RECEIPT REQUESTED\n\n\n\nUS DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\n)\nIn the Matter of )\n)\nExpress Holdings (USA), LLC, ) CPF No. 3-2020-5016\na subsidiary of Enbridge, Inc., )\n)\nRespondent. )\n____________________________________)\nCONSENT AGREEMENT AND ORDER\nWHEREAS, on October 6, 2020, the Director, Central Region, Office of Pipeline Safety, Pipeline\nand Hazardous Materials Safety Administration, U.S. Department of Transportation (Director),\nissued to Express Holdings (USA), LLC (Express Holdings or Respondent), a Notice of Probable\nViolation and Proposed Compliance Order (Notice), pursuant to Chapter 601 of 49 U.S. Code, for\nviolations of 49 C.F.R. § 195.581 (Item 1). Express Holdings, a subsidiary of Enbridge, Inc.,\noperates approximately 937 miles of hazardous liquid pipelines in Illinois, Kansas, Missouri,\nWyoming, Nebraska, and Montana. The Notice proposed ordering Respondent to take certain\nmeasures to correct the alleged violation in Item 1; and\nWHEREAS, the Central Region granted two extensions on November 2 and 20, 2020,\nrespectively, for Express Holdings to respond to the Notice. During this time period, Express\nHoldings contacted the Central Region to discuss resolution of this enforcement proceeding\nthrough a consent agreement;\nWHEREAS, on December 2, 2020, Express Holdings submitted a written response to the Notice,\nin which the company requested the execution of a Consent Agreement and Order pursuant to 49\nC.F.R. § 190.208(b)(2); and\nWHEREAS, as a result of these good-faith discussions, Express Holdings and PHMSA (Parties)\nhave reached agreement on the terms and conditions of a settlement, as set forth herein, and agree\nthat this Consent Agreement and Order (Agreement) will avoid further administrative proceedings\nor litigation, that it is the most appropriate means of resolving this matter.\n1\n\n\n\nCPF No. 3-2020-5016\nNOW, THEREFORE, upon consent and agreement of the Parties, it is Ordered and Adjudged as\nfollows:\nI. General Provisions.\n1. For purposes of this Agreement, Express Holdings acknowledges that the company\nand its pipeline system, known generally as the Express/Platte System, are subject to the\njurisdiction of the Federal pipeline safety laws, 49 U.S.C. 60101, et seq., and the applicable\nregulations and administrative orders issued thereunder.\n2. Express Holdings further acknowledges that it received proper notice of PHMSA’s\naction in this proceeding and that the Notice states claims upon which relief may be granted\npursuant to 49 U. S.C. § 60101, et seq., and the regulations and orders issued thereunder.\n3. Express Holdings agrees to the terms of this Agreement and hereby waives any\nfurther procedural requirements with respect to its issuance. Express Holdings further waives all\nrights to contest the validity of this Agreement, including all rights to administrative or judicial\nhearings or appeals.\n4. For Item 1 of the Notice, PHMSA hereby re-issues Item 1 as a Warning Item\npursuant to 49 C.F.R. § 190.205. PHMSA also agrees that Item 1 does not constitute a finding of\nviolation and may not be considered by the agency as a prior offense in any future enforcement\naction against Respondent. However, if PHMSA finds a violation of 49 C.F.R. § 195.581 in a\nsubsequent inspection or investigation, Express Holdings may be subject to future\nenforcement action.\nII. Compliance Measures.\n5. Within 12 months following the Effective Date of this Agreement, Respondent\nagrees to remediate the fusion bonded epoxy (FBE) coating on the following three identified spans\nalong the Express/Platte system: (1) 1-7217+53-1690, located in Wyoming on the Guernsey to\nMarysville segment; (2) 6-2003+72-4000, located in Kansas on the Marysville to Salisbury\nsegment; and (3) 6-5792+77-5430, located in Missouri on the Marysville to Salisbury segment.\nExpress Holdings represents that it has remediated Span 1-6768+27-1640, which previously had\nFBE coating, between July 9, 2020, and July 15, 2020. Respondent agrees to complete the\nremainder of these corrective measures and submit the required documentation to the Director.\n6. It is requested (not mandated) that Express Holdings maintain documentation of\nthe safety improvement costs associated with fulfilling this Agreement and submit the total to the\nDirector. PHMSA requests that these costs be reported in two categories: (1) total cost associated\nwith the preparation/revision of plans, procedures, studies and analyses; and (2) total cost\nassociated with replacements, additions and other changes to pipeline infrastructure.\n2\n\n\n\nCPF No. 3-2020-5016\n7. The Director may grant an extension of time to comply with any portion of\nParagraph 5 above upon a written request timely submitted by the Respondent and demonstrating\ngood cause for an extension. Upon completion of all actions required under Paragraph 5 above,\nExpress Holdings may request that the Director close the case.\nIII. Miscellaneous.\n8. This Agreement constitutes the final, complete, and exclusive agreement and\nunderstanding between the Parties with respect to this proceeding and the issues embodied in this\nAgreement. The Parties acknowledge that there are no representations, agreements, or\nunderstandings relating to the amount or collection of any civil penalties other than those expressly\ncontained in this Agreement.\n9. Nothing in this Agreement affects or relieves Express Holdings of its responsibility\nto comply with all applicable requirements of the Federal pipeline safety laws, 49 U.S.C. § 60101,\net seq., and the regulations and orders issued thereunder. Nothing in this Agreement alters\nPHMSA’s right of access, entry, inspection, and information gathering, or its authority to bring\nany enforcement action against Express Holdings pursuant to the Federal pipeline safety laws, the\nregulations and orders issued thereunder, or any other provision of Federal or state law.\n10. This Agreement does not waive or modify any Federal, state, or local laws or\nregulations applicable to Express Holdings’ pipeline system. This Agreement is not a permit or a\nmodification of a permit under any Federal, state, or local laws or regulations. Express Holdings\nremains responsible for achieving and maintaining compliance with all applicable Federal, state,\nand local laws, regulations and permits.\n11. This Agreement does not create rights in, or grant any cause of action to, any person\nnot a party to this Agreement. PHMSA is not liable for any injuries or damages to persons or\nproperty arising from acts or omissions of Express Holdings or its officers, employees, or agents\ncarrying out the work required by this Agreement. PHMSA, its officers, employees, agents, and\nrepresentatives are not liable for any cause of action arising from any acts or omissions of Express\nHoldings or its contractors in carrying out any work required by this Agreement.\n12. purchasers.\nThis Agreement shall apply to and be binding on PHMSA and Express Holdings,\nits officers, directors, employees, successors and assigns, including, but not limited to, subsequent\n13. Respondent’s obligations pursuant to this Agreement may be enforced by PHMSA\npursuant to its general enforcement authorities under 49 U.S.C. § 60101, et seq., and 49 C.F.R.\nPart 190.\nIV. Effective Date.\n14. The “Effective Date” is the date on which this Agreement has been signed by both\nExpress Holdings and PHMSA.\n3\n\n\n\nCPF No. 3-2020-5016\nV. Ratification.\n15. The Parties’ undersigned representatives certify that they are fully authorized to\nenter into the terms and conditions of this Agreement and to execute and legally bind such party\nto this document.\nFor Express Holdings (USA), LLC:\n___________________________________\nMichael Koby\nVice President, US Operations\nFebruary 18, 2021\n___________________________________\nDate\nFor PHMSA:\n___________________________________\nAlan K. Mayberry\nAssociate Administrator for Pipeline Safety\nMarch 1, 2021\n___________________________________\nDate\n4","truncated":false,"body_characters":12021}