{"operation":"document","citation":"CPF 32021012NOA","title":"GREAT PLAINS NATURAL GAS CO — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2021-07-30","effective_on":null,"summary":"CLOSED notice of amendment citing 192.605(b)(1), 192.605(b)(8), 192.805(a), 192.805(b), 192.805(c), 192.805(d), 192.805(f), 192.805(h), 192.807(b).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021012noa.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021012noa.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021012noa","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/32021012NOA","body":"Notice of Amendment involving GREAT PLAINS NATURAL GAS CO. PHMSA's enforcement data identifies the cited regulations as 192.605(b)(1),  192.605(b)(8),  192.805(a),  192.805(b),  192.805(c),  192.805(d),  192.805(f),  192.805(h),  192.807(b). The case was opened on 2021-07-30 and is reported as closed as of 2021-09-02. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n32021012NOA_Closure Letter_09022021_(20-196686).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021012NOA/32021012NOA_Closure%20Letter_09022021_(20-196686).pdf\n\n32021012NOA_Closure Letter_09022021_(20-196686)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021012NOA/32021012NOA_Closure%20Letter_09022021_(20-196686)_text.pdf\n\n32021012NOA_Notice of Amendment_07302021_(20-196686).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021012NOA/32021012NOA_Notice%20of%20Amendment_07302021_(20-196686).pdf\n\n32021012NOA_Notice of Amendment_07302021_(20-196686)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021012NOA/32021012NOA_Notice%20of%20Amendment_07302021_(20-196686)_text.pdf\n\n32021012NOA_Operator Response to Notice_08272021_(20-196686).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021012NOA/32021012NOA_Operator%20Response%20to%20Notice_08272021_(20-196686).pdf\n\n32021012NOA_Notice of Amendment_07302021_(20-196686)_text.pdf\n\nNOTICE OF AMENDMENT\nVIA ELECTRONIC MAIL TO: Nicole.Kivisto@mdu.com and Patrick.Darras@mdu.com\nJuly 30, 2021\nNicole Kivisto\nPresident & CEO\nMontana-Dakota Utilities, Co.\n400 N 4th Street\nBismarck, ND 58501\nCPF 3-2021-012-NOA\nDear Ms. Kivisto:\nFrom March 17, 2020 through November 12, 2020, a representative of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code,\nvirtually inspected Montana-Dakota Utilities, Co.’s (MDU) operations and maintenance, operator\nqualification, public awareness, damage prevention, facilities and storage, time dependent threats,\nand emergency response procedures for its station in Bismarck, North Dakota.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nMDU’s plans and procedures, as described below:\n1. § 192.605 Procedural manual for operations, maintenance, and emergencies.\n(a)…\n(b) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following, if applicable, to provide safety\nduring maintenance and operations.\n(1)…\n(8) Periodically reviewing the work done by operator personnel to determine the\neffectiveness, and adequacy of the procedures used in normal operation and\nmaintenance and modifying the procedures when deficiencies are found.\nMDU’s procedures were inadequate because they did not provide a process to periodically\nreview the work done by operator personnel to determine the effectiveness, and adequacy\n\n\n\nof the procedures used in normal operation and maintenance and modifying the procedures when\ndeficiencies are found.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.605, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n2. § 192.605 Procedural manual for operations, maintenance, and emergencies.\n(a)…\n(b) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following, if applicable, to provide safety\nduring maintenance and normal operations.\n(1) Operating, maintaining, and repairing the pipeline in accordance with each\nof the requirements of this subpart and subpart M of this part.\nMDU’s procedures were inadequate because they did not include a process for each\npressure limiting station, relief device (except rupture discs), and pressure regulating\nstation and its equipment must be subjected at intervals not exceeding 15 months, but at\nleast once each calendar year, to inspections and tests to determine that it is adequate from\nthe standpoint of capacity and reliability of operation for the service in which it is\nemployed, as required by § 192.739(a)(2). During the inspection, PHMSA discovered that\nthere were no procedures in place addressing relief devices being adequate from the\nstandpoint of capacity and reliability of operation for the service in which it is employed.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.605 and § 192.739, respectively. The revisions were reviewed and determined to be\nadequate.\nNo further correspondence from MDU will be required for this item.\n3. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a) Identify covered tasks;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because the identified covered tasks titles were broad in\ndescription and encompassed many covered tasks, rather than being a detailed list to\ninclude all covered tasks for its pipeline operations.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\n2\n\n\n\nNo further correspondence from MDU will be required for this item.\n4. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a) Identify covered tasks\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) is inadequate because it did not contain covered tasks regarding launching and\nreceiving pigs and ILI devices, tap and/or stopple of a transmission pipeline, pipefitting -\nscrew thread fitting, and flange connections per ASME B31Q.\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 must be amended to\ninclude the mentioned missing covered tasks.\n5. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not include a process for ensuring operator\nqualification, evaluations, and performance of covered tasks during a merger or acquisition\nof other entities.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n6. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not provide a procedure for assessing the\nevaluation criteria and methods used by contractors performing covered tasks to determine\nif qualifications are consistent with operator requirements.\n3\n\n\n\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n7. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a visual acuity requirement for the non-\ndestructive testing covered tasks.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n8. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a Performance Evaluation (PE) as part\nof qualifying for Covered Task 192-2705 Gas Control.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n9. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\n4\n\n\n\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a procedure for individuals who fail to\nrequalify.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n10. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it stated, “Periodic revaluation need not be the same\nprocess as initial qualification but must address the knowledge, skills, capabilities and\nAOC’s for the task.” The procedure did not clarify the required revaluation requirements\nif they differed from the initial ones.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n11. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a procedure on which a qualifying\nvendor’s evaluations are based, are the same as, or consistent with those used by operator\nemployees and contractors in the field.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n5\n\n\n\n12. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(b) Ensure through evaluation that individuals performing covered tasks are\nqualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it had an incorrect list of generic and task specific\nAOCs.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n13. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(c) Allow individuals that are not qualified pursuant to this subpart to perform a\ncovered task if directed and observed by an individual that is qualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it allowed individuals that are not qualified pursuant\nto this subpart to perform a covered task if directly supervised rather than the correct term\ndirected and observed by an individual that is qualified.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n14. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(c) Allow individuals that are not qualified pursuant to this subpart to perform a\ncovered task if directed and observed by an individual that is qualified;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not provide guidance on span-of-control (SOC)\nfor qualified individuals providing direction and observation of nonqualified individuals.\nMDU did not address factors (distance from worker; noise level affecting communication;\nambient lighting; weather, etc.) that may influence the SOC, such as the ability of the\nqualified individual to direct the performance of the task by unqualified individuals.\n6\n\n\n\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n15. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(d) Evaluate an individual if the operator has reason to believe that the individual's\nperformance of a covered task contributed to an incident as defined in Part 191;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it does not include a requirement to immediately\nsuspend an individual's qualifications to perform a specific covered task if there is reason\nto believe the individual may have contributed to an incident or accident while performing\nthe task, pending the outcome of the investigation.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n16. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(d) Evaluate an individual if the operator has reason to believe that the individual's\nperformance of a covered task contributed to an incident as defined in Part 191;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not evaluate an individual if the operator has\nreason to believe that the individual's performance of a covered task contributed to an\nincident as defined in Part 191.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n7\n\n\n\n17. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(d) Evaluate an individual if the operator has reason to believe that the individual's\nperformance of a covered task contributed to an incident as defined in Part 191.\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not reference Incident or Hazardous Condition\nReport – Form 23001.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n18. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(e) Evaluate an individual if the operator has reason to believe that the individual is\nno longer qualified to perform a covered task;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not include a requirement to suspend an\nindividual’s qualifications to perform a specific covered task if there is reason to believe\nthe individual may no longer be qualified to perform the covered task.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n19. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(f) Communicate changes that affect covered tasks to individuals performing those\ncovered tasks;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not specify how changes to the program or\nchanges that affect covered tasks will be communicated to qualified individuals.\n8\n\n\n\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n20. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(f) Communicate changes that affect covered tasks to individuals performing those\ncovered tasks\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not specify how changes that affect covered tasks\nwill be communicated to contractors.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n21. § 192.805 Qualification program.\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a)…\n(h) After December 16, 2004, provide training, as appropriate, to ensure that\nindividuals performing covered tasks have the necessary knowledge and skills to\nperform the tasks in a manner that ensures the safe operation of pipeline facilities;\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not include any training requirements.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n22. § 192.807 Recordkeeping.\nEach operator shall maintain records that demonstrate compliance with this subpart.\n9\n\n\n\n(a)…\n(b) Records supporting an individual's current qualification shall be maintained\nwhile the individual is performing the covered task. Records of prior qualification\nand records of individuals no longer performing covered tasks shall be retained for a\nperiod of five years.\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a procedure on how the Operator will\nmaintain records of its personnel qualifications for covered tasks as required by § 192.807.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.807, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\n23. § 192.807 Recordkeeping.\nEach operator shall maintain records that demonstrate compliance with this subpart.\n(a)…\n(b) Records supporting an individual's current qualification shall be maintained\nwhile the individual is performing the covered task. Records of prior qualification\nand records of individuals no longer performing covered tasks shall be retained for a\nperiod of five years.\nMDU’s Policy Statement, Operator Qualification Plan, OPS 800 (Revision Date:\n5/31/2019) was inadequate because it did not have a procedure on how the Operator will\nmaintain records of its contractor qualifications for covered tasks as required by § 192.807.\nMDU submitted to PHMSA revised procedures that addressed the requirements of\n§ 192.805, respectively. The revisions were reviewed and determined to be adequate.\nNo further correspondence from MDU will be required for this item.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in Enforcement\nProceedings. Please refer to this document and note the response options. Be advised that all\nmaterial you submit in response to this enforcement action is subject to being made publicly\navailable. If you believe that any portion of your responsive material qualifies for confidential\ntreatment under 5 U.S.C. 552(b), along with the complete original document you must provide a\nsecond 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).\n10\n\n\n\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 of\nreceipt of this Notice, this constitutes a waiver of your right to contest the allegations in this Notice\nand authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in this Notice\nwithout further notice to you and to issue an Order Directing Amendment. If your plans or\nprocedures are found inadequate as alleged in this Notice, you may be ordered to amend your plans\nor procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not contesting this\nNotice, we propose that you reply to my office within 30 days of receipt of this Notice stating\nsuch, as your revised procedures have already been reviewed and determine to be adequate. This\nperiod may be extended by written request for good cause.\nIt is requested (not mandated) that MDU Utilities Group maintain documentation of the safety\nimprovement costs associated with fulfilling this Notice of Amendment (preparation/revision of\nplans, procedures) and submit the total to Gregory A. Ochs, Director, Director, Central Region,\nPipeline and Hazardous Materials Safety Administration. In correspondence concerning this\nmatter, please refer to CPF 3-2021-012-NOA and, for each document you submit, please provide\na copy in electronic format whenever possible.\nSincerely,\nGregory A. Ochs\nDirector, Central Region OPS\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Enforcement Proceedings\ncc: Patrick Darras, VP of Engineering and Operations Services, Patrick.Darras@mdu.com\n11\n\n32021012NOA_Closure Letter_09022021_(20-196686)_text.pdf\n\nVIA ELECTRONIC MAIL TO: Nicole.Kivisto@mdu.com and Patrick.Darras@mdu.com\nSeptember 2, 2021\nNicole Kivisto\nPresident & CEO\nMontana-Dakota Utilities, Co.\n400 N 4th Street\nBismarck, ND 58501\nRe: CPF 3-2021-012-NOA\nDear Ms. Kivisto:\nOn March 17, 2020 through November 12, 2020, a representative from the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to chapter 601 of 49 United States Code,\nconducted an on-site pipeline safety inspection of Montana-Dakota Utilities, Co.’s (MDU)\nprocedures in Bismarck, North Dakota. As a result of the inspection, MDU was issued a Notice\nof Amendment on July 30, 2021, which proposed amendment of your procedures.\nMDU submitted its amended procedures on August 27, 2021. My staff reviewed the amended\nprocedures, and it appears that the inadequacies outlined in this Notice of Amendment have been\ncorrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you\nfor your cooperation.\nSincerely,\nGregory A. Ochs\nDirector, Central Region OPS\nPipeline and Hazardous Materials Safety Administration\ncc: Patrick Darras, VP of Engineering and Operations Services, Patrick.Darras@mdu.com","truncated":false,"body_characters":24785}