{"operation":"document","citation":"CPF 320205025W","title":"SHELL PIPELINE CO., L.P. — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2020-10-29","effective_on":null,"summary":"CLOSED warning letter citing 195.49.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205025w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205025w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320205025w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320205025W","body":"Warning Letter involving SHELL PIPELINE CO., L.P.. PHMSA's enforcement data identifies the cited regulation as 195.49. The case was opened on 2020-10-29 and is reported as closed as of 2020-10-29. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320205025W_Warning Letter_10292020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205025W/320205025W_Warning%20Letter_10292020.pdf\n\n320205025W_Warning Letter_10292020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320205025W/320205025W_Warning%20Letter_10292020_text.pdf\n\n320205025W_Warning Letter_10292020_text.pdf\n\nWARNING LETTER\nVIA ELECTRONIC MAIL TO: Greg.Smith@shell.com and deborah.price@shell.com\nOctober 29, 2020\nMr. Greg Smith\nPresident\nShell Pipeline Company L.P.\n777 Walker Street, (Two Shell Plaza)\nHouston, TX- 77002\nCPF 3-2020-5025W\nDear Mr. Smith:\nOn July 22-25, 2019, a representative of the Pipeline and Hazardous Materials Safety Administration\n(PHMSA) pursuant to Chapter 601 of 49 United States Code (U.S.C.) inspected your Des Plaines fuel\nfacility and dual 6-inch delivery pipelines to O’Hare International Airport in Arlington Heights and\nChicago, Illinois.\nAs a result of the inspection, it is alleged that you have committed a probable violation of the Pipeline\nSafety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected and the probable\nviolation is:\n1. §195.49 Annual report.\nEach operator must annually complete and submit DOT Form PHMSA F 7000-1.1 for each\ntype of hazardous liquid pipeline facility operated at the end of the previous year. An\noperator must submit the annual report by June 15 each year, except that for the 2010\nreporting year the report must be submitted by August 15, 2011. A separate report is\nrequired for crude oil, HVL (including anhydrous ammonia), petroleum products, carbon\n\n\n\ndioxide pipelines, and fuel grade ethanol pipelines. For each state a pipeline traverses, an\noperator must separately complete those sections on the form requiring information to be\nreported for each state.\nShell Pipeline Company (Shell) failed to report any breakout tanks at its Des Plaines facility in its\nannual report submission for 2018. At the time of the inspection, as well as in 2018, there were 11 DOT\ndesignated breakout tanks in service at the Des Plaines facility. Although the tanks were not reported,\nShell continued to treat them as DOT regulated and has performed all required inspections.\nShell’s annual report for 2019 has been updated with the correct number of breakout tanks currently in\nservice at its Des Plaines facility.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$218,647 per violation per day the violation persists, up to a maximum of $2,186,465 for a related series\nof violations. For violation occurring on or after November 27, 2018 and before July 31, 2019, the\nmaximum penalty may not exceed $213,268 per violation per day, with a maximum penalty not to\nexceed $2,132,679. For violation occurring on or after November 2, 2015 and before November 27,\n2018, the maximum penalty may not exceed $209,002 per violation per day, with a maximum penalty\nnot to exceed $2,090,022. For violations occurring prior to November 2, 2015, the maximum penalty\nmay not exceed $200,000 per violation per day, with a maximum penalty not to exceed $2,000,000 for a\nrelated series of violations. We have reviewed the circumstances and supporting documents involved in\nthis case, and have decided not to conduct additional enforcement action or penalty assessment\nproceedings at this time. Shell has corrected the item identified in this letter. Failure to do so would\nresult in Shell Pipeline Company L.P. being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to CPF 3-\n2020-5025W. Be advised that all material you submit in response to this enforcement action is subject\nto being made 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 you must\nprovide a second copy of the document with the portions you believe qualify for confidential treatment\nredacted and an explanation of why you believe the redacted information qualifies for confidential\ntreatment under 5 U.S.C. 552(b).\nSincerely,\nGregory A. Ochs\nDirector, Central Region, OPS\nPipeline and Hazardous Materials Safety Administration\ncc: Ms. Deborah Price, Integrity and Regulatory Services Manager - 910 Louisiana Street 42nd Floor,\nOne Shell Plaza, Houston, TX 77002 deborah.price@shell.com\n2","truncated":false,"body_characters":4736}