{"operation":"document","citation":"CPF 32021022NOPV","title":"EXXONMOBIL PIPELINE CO — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2021-05-18","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.446(a), 195.446(e)(2), 195.446(j)(1).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021022nopv.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021022nopv.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-32021022nopv","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/32021022NOPV","body":"Notice of Probable Violation involving EXXONMOBIL PIPELINE CO. PHMSA's enforcement data identifies the cited regulations as 195.446(a),  195.446(e)(2),  195.446(j)(1). The case was opened on 2021-05-18 and is reported as closed as of 2021-12-06. Proposed civil penalty: $58,200. Assessed civil penalty: $38,900. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n32021022NOPV_Closure Letter_12062021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Closure%20Letter_12062021_(20-187008).pdf\n\n32021022NOPV_Closure Letter_12062021_(20-187008)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Closure%20Letter_12062021_(20-187008)_text.pdf\n\n32021022NOPV_Consent Agreement and Order_10282021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Consent%20Agreement%20and%20Order_10282021_(20-187008).pdf\n\n32021022NOPV_Consent Agreement and Order_10282021_(20-187008)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Consent%20Agreement%20and%20Order_10282021_(20-187008)_text.pdf\n\n32021022NOPV_Operator Hearing Request Withdrawn_10292021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Operator%20Hearing%20Request%20Withdrawn_10292021_(20-187008).pdf\n\n32021022NOPV_Operator Response to Notice and Request for Hearing and Statement of Issues_07162021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_Operator%20Response%20to%20Notice%20and%20Request%20for%20Hearing%20and%20Statement%20of%20Issues_07162021_(20-187008).pdf\n\n32021022NOPV_PCP_05182021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_PCP_05182021_(20-187008).pdf\n\n32021022NOPV_PCP_05182021_(20-187008)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_PCP_05182021_(20-187008)_text.pdf\n\n32021022NOPV_PHC Hearing Scheduled_07292021_(20-187008).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_PHC%20Hearing%20Scheduled_07292021_(20-187008).pdf\n\n32021022NOPV_PHC Hearing Scheduled_07292021_(20-187008)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021022NOPV/32021022NOPV_PHC%20Hearing%20Scheduled_07292021_(20-187008)_text.pdf\n\n32021022NOPV_Closure Letter_12062021_(20-187008)_text.pdf\n\nsteven.a.yatauro@exxonmobil.com &\nVIA ELECTRONIC MAIL TO: Christina.s.philbrook@exxonmobil.com\nDecember 6, 2021\nSteven Yatauro\nPresident\nEXXONMOBIL PIPELINE COMPANY\n22777 Springwoods Village PKWY\nSpring, TX 77389\nCPF 3-2021-022-NOPV\nDear Mr. Yatauro:\nOn October 28, 2021, the Pipeline and Hazardous Materials Administration (PHMSA) issued to\nExxonMobil Pipeline Company, a Consent Order incorporating the terms of the Consent\nAgreement between PHMSA and ExxonMobil Pipeline Company (“EMPCo”) in the above-\nreferenced case. The parties reached an agreement was reached that resolves all of the issues\nraised. The Consent Order was executed by all paries on October 28, 2021 and EMPCo withdrew\nits request for hearing on October 29, 2021. Based on confirmation of payment of the civil\npenalty, it has been determined that you have complied with the terms of the Consent Order.\nThis letter is to inform you no further action is necessary and this case is now closed.\nSincerely,\nGregory A. Ochs\nDirector, Central, OPS\nPipeline and Hazardous Materials Safety Administration\ncc: Christina Philbrook, Regulator Compliance Supervisor (Christina.s.philbrook@exxonmobil.com)\n\n32021022NOPV_Consent Agreement and Order_10282021_(20-187008)_text.pdf\n\nOctober 28, 2021\nVIA ELECTRONIC MAIL TO: steven.a.yatauro@exxonmobil.com\nMr. Steven Yatauro\nPresident\nExxonMobil Pipeline Company\n22777 Springwoods Village Pkwy\nSpring, Texas 77389\nCPF No. 3-2021-022-NOPV\nDear Mr. Yatauro:\nEnclosed please find a Consent Order incorporating the terms of the fully executed Consent\nAgreement between the Pipeline and Hazardous Materials Safety Administration (PHMSA) and\nExxonMobil Pipeline Company, which was executed on October 27, 2021. Service of the\nConsent Order and Consent Agreement by electronic mail is deemed effective upon the date of\ntransmission, or as otherwise provided under 49 C.F.R. § 190.5.\nSincerely,\nAlan K Mayberry\nAssociate Administrator\nfor Pipeline Safety\nEnclosures: Consent Agreement and Consent Order\nCc: Mr. Gregory Ochs, Director, Central Region, Office of Pipeline Safety, PHMSA\nMs. Christina Philbrook, Regulatory Compliance Supervisor, ExxonMobil,\nchristina.s.philbrook@exxonmobil.com\nMs. Rebekah Bennett, General Counsel, Exxon Mobil, rebekah.r.bennett@exxonmobil.com\nMr. Daniel Brink, Senior Counsel, ExxonMobil, daniel.j.brink@exxonmobil.com\n\n\n\nMr. Vince Murchison, Outside Counsel for ExxonMobil, Murchison Law Firm, PLLC,\nvince.murchison@pipelinelegal.com\nMs. Roina Baker, Outside Counsel for ExxonMobil, Murchison Law Firm, PLLC,\nroina.baker@pipelinelegal.com\nCONFIRMATION OF RECEIPT REQUESTED\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nExxonMobil Pipeline Company, ) CPF No. 3-2021-022-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT ORDER\nBy letter dated May 18, 2021, the Pipeline and Hazardous Materials Safety Administration,\nOffice of Pipeline Safety (PHMSA), issued a Notice of Probable Violation and Proposed Civil\nPenalty (Notice) to ExxonMobil Pipeline Company (EMPCo or Respondent).\nIn response to the Notice, EMPCo contested certain allegations and requested a hearing.\nSubsequently, PHMSA and EMPCo (collectively referred to as the Parties) agreed that the\ncontested issues may be resolved through informal discussions. On October 4th and 13th, 2021,\nthe Parties engaged in good-faith settlement discussions that have resulted in the Consent\nAgreement attached to this Order that settles all of the issues in the Notice.\nAccordingly, the Consent Agreement is hereby approved and incorporated by reference into this\nOrder. NNG is hereby ordered to comply with the terms of the Consent Agreement, effective\nimmediately.\nPursuant to 49 U.S.C. 60101, et seq., failure to comply with this Consent Order may result in the\nassessment of civil penalties as set forth in 49 C.F.R. § 190.223.\nThe terms and conditions of this Consent Order are effective upon service in accordance with 49\nC.F.R. § 190.5.\nOctober 28, 2021\n___________________________________ __________________________\nAlan K. Mayberry Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nExxonMobil Pipeline Company, ) CPF No. 3-2021-022-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT AGREEMENT\nWHEREAS, from July 27 through August 24, 2020, representatives of the Pipeline and\nHazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant\nto Chapter 601 of 49 United States Code (U.S.C.), inspected ExxonMobil Pipeline Company’s\n(EMPCo’s) Control Room Management plan and procedures and records in Spring, Texas.\nWHEREAS, as a result of the inspection, the Director, Central Region, OPS (Director), issued\nto EMPCo, by letter dated May 18, 2021, a Notice of Probable Violation and Proposed Civil\nPenalty (Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed finding that\nEMPCo had violated three provisions of 49 C.F.R. Part 195, and proposed a civil penalty in the\namount of $58,200.\nWHEREAS, after requesting and receiving an extension of time to respond to the Notice,\nEMPCo responded by letter dated July 16, 2021 contesting Items 1 and 2 and requesting a\nhearing; in addition, EMPCo submitted a written response relating to Item 3 of the Notice\n(collectively, the Response). In its Response, EMPCo requested the opportunity to meet\ninformally to discuss the issues it contested in an effort to reach a resolution without the\nnecessity of a hearing. Subsequent to the filing of the Response, EMPCo and PHMSA\n(collectively the Parties) met telephonically on numerous occasions to discuss a possible\nresolution of the case in lieu of proceeding to a hearing. During the meetings, the Parties offered\nadditional information regarding the allegations, and an agreement was reached that resolves all\nof the issues raised by EMPCo in its Response.\nNOW, THEREFORE, having agreed that settlement of this proceeding will avoid further\nadministrative proceedings or litigation and will serve the public interest by promoting safety and\nprotection of the environment, pursuant to 49 C.F.R. Part 190, and upon consent and agreement\nof EMPCo and PHMSA, the Parties hereby agree as follows:\n\n\n\nI. General Provisions\n1. EMPCo acknowledges that as the operator of the pipeline facilities subject to the\nNotice, EMPCo and said hazardous liquid pipeline facilities are subject to the jurisdiction of the\nFederal pipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and administrative\norders issued thereunder. For purposes of this Agreement, EMPCo acknowledges that it\nreceived proper notice of PHMSA's action in this proceeding and that the Notice states claims\nupon which relief may be granted pursuant to 49 U.S.C. 60101, et seq., and the regulations and\nadministrative orders issued thereunder.\n2. After EMPCo returns this signed Agreement to PHMSA, the Agency’s\nrepresentative will present it to the Associate Administrator for Pipeline Safety, recommending\nthat the Associate Administrator adopt the terms of this Agreement by issuing an administrative\norder (Consent Order) incorporating the terms of this Agreement. The terms of this Agreement\nconstitute an offer of settlement until accepted by the Associate Administrator. Once accepted,\nthe Associate Administrator will issue a Consent Order incorporating the terms of this Agreement\n3. EMPCo consents to the issuance of the Consent Order, and hereby waives any\nfurther procedural requirements with respect to its issuance. EMPCo waives all rights to contest\nthe adequacy of notice, or the validity of the Consent Order or this Agreement, including all rights\nto administrative or judicial hearings or appeals, except as set forth herein.\n4. This Agreement shall apply to and be binding upon PHMSA and EMPCo, its\nofficers, directors, and employees, and its successors, assigns, or other entities or persons\notherwise bound by law. EMPCo agrees to provide a copy of this Agreement and any\nincorporated work plans and schedules to all of EMPCo’s officers, employees, and agents whose\nduties might reasonably include compliance with this Agreement.\n5. This Agreement constitutes the final, complete and exclusive agreement and\nunderstanding between the Parties with respect to the settlement embodied in this Agreement.\nThe Parties acknowledge that there are no representations, agreements or understandings relating\nto settlement other than those expressly contained in this Agreement, except that the terms of this\nAgreement may be construed by reference to the Notice.\n6. Nothing in this Agreement affects or relieves EMPCo of its responsibility to\ncomply with all applicable requirements of the Federal pipeline safety laws, 49 U.S.C. § 60101, et\nseq., and the regulations and administrative orders issued thereunder. Nothing in this Agreement\nalters PHMSA's right of access, entry, inspection, and information gathering or PHMSA's\nauthority to bring enforcement actions against EMPCo pursuant to the Federal pipeline safety\nlaws, the regulations and administrative orders issued thereunder, or any other provision of\nFederal or State law.\n7. This Agreement does not waive or modify any Federal, State, or local laws or\nregulations that are applicable to EMPCo’s pipeline facilities. This Agreement is not a permit, or\na modification of any permit, under any Federal, State, or local laws or regulations. EMPCo\nremains responsible for achieving and maintaining compliance with all applicable Federal, State,\nand local laws, regulations and permits.\n\n\n\n8. This Agreement does not create rights in, or grant any cause of action to, any third\nparty not party to this Agreement. The U.S. Department of Transportation is not liable for any\ninjuries or damages to persons or property arising from acts or omissions of EMPCo or its\nofficers, employees, or agents carrying out the work required by this Agreement. EMPCo agrees\nto hold harmless the U.S. Department of Transportation, its officers, employees, agents, and\nrepresentatives from any and all causes of action arising from any acts or omissions of EMPCo or\nits contractors in carrying out any work required by this Agreement.\n9. Upon issuance of the Consent Order, the Parties agree to the following terms.\nII. Item 1 of the Notice:\n10. Violation of 49 C.F.R. § 195.446: With respect to Item 1 of the Notice, the\nParties agree that EMPCo violated § 192.446(e)(2), as alleged in the Notice. This violation may\nbe considered by PHMSA as a prior offense in any future PHMSA enforcement action taken\nagainst EMPCo.\n11. $19,300 for this violation.\nCivil Penalty for Item 1: EMPCo shall pay a civil penalty in the amount of\nIII. Item 2 of the Notice:\n12. Allegation of Violation – 49 C.F.R. § 195.446: With respect to Item 2 of the\nNotice, the Parties agree that this Item shall be reduced to a warning item. During the informal\nmeetings, EMPCo provided additional clarifying information regarding this allegation of\nviolation such that a warning, and not an allegation of violation to be adjudicated at a hearing, is\nappropriate. This warning does not constitute a finding of violation for any purpose, and no\nfurther action by EMPCo is necessary.\n13. Proposed Civil Penalty for Item 2: The Notice proposed a civil penalty for Item\n2 in the amount of $19,300. The proposed civil penalty for Item 2 is hereby withdrawn as this\nItem is reduced to a warning item.\nIV. Item 3 of the Notice:\n14. Violation of 49 C.F.R. § 192.446: With respect to Item 3 of the Notice, the\nParties agree that EMPCo violated § 192.446(a), as alleged in the Notice. This violation may be\nconsidered by PHMSA as a prior offense in any future PHMSA enforcement action taken against\nEMPCo.\n15. $19,600 for this violation.\nCivil Penalty for Item 3: EMPCo shall pay a civil penalty in the amount of\n\n\n\nV. Enforcement\n16. This Agreement is subject to all enforcement authorities available to PHMSA\nunder 49 U.S.C. § 60101, et seq., and 49 C.F.R. Part 190, including administrative civil penalties\nunder 49 U.S.C. § 60122, of up to $222,504 per violation for each day the violation continues and\nreferral of the case to the Attorney General for judicial enforcement, if PHMSA determines that\nEMPCo is not complying with the terms of this Agreement in accordance with determinations\nmade by the Director, or if appealed, in accordance with decisions of the Associate Administrator.\nThe maximum civil penalty amounts are adjusted annually for inflation. See, e.g., Pipeline\nSafety: Inflation Adjustment of Maximum Civil Penalties, 82 Fed. Reg. 19325 (April 27, 2017).\nVI. Dispute Resolution\n17. The Director and EMPCo will informally attempt to resolve informally any\ndisputes arising under this Agreement, including but not limited to any decision of the Director.\nIf EMPCo and the Director are unable to informally resolve the dispute within 15 calendar days\nafter the dispute is first raised, in writing, to the Director, EMPCo may submit a written request\nfor a determination resolving the dispute from the Associate Administrator for Pipeline Safety,\nPHMSA. Such request must be made in writing and provided to the Director, counsel for the\nCentral Region, and to the Associate Administrator for Pipeline Safety, no later than 10 calendar\ndays from the 15 day deadline for informal resolution referenced in this paragraph. Along with its\nrequest, EMPCo must provide the Associate Administrator with all information EMPCo believes\nis relevant to the dispute. Decisions of the Associate Administrator under this paragraph will\nconstitute final agency action and are subject to judicial review. The existence of a dispute and\nPHMSA’s consideration of matters placed in dispute will not excuse, toll, or suspend any term or\ntimeframe for completion of any work to be performed under this Agreement during the pendency\nof the dispute resolution process, except as agreed by the Director or the Associate Administrator\nin writing, or as ordered by a court of competent jurisdiction.\nVII. Effective Date\n18. The term “Effective Date,” as used herein, is the date on which the Consent Order\nis issued by the Associate Administrator, PHMSA, incorporating the terms of this Agreement.\nVIII. Modification\n19. The terms of this Agreement may be modified by mutual agreement of the Parties.\nSuch modifications must be in writing and signed by both parties.\nIX. Termination\n20. This Agreement shall terminate upon EMPCo’s payment of the civil penalties\nimposed by Paragraphs 11 and 15 hereof.\n\n\n\nX. Ratification\n21. 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.\n22. For ExxonMobil Pipeline Company:\nThe Parties hereby agree to all conditions and terms of this Agreement.\n___________________________________\n___________________________________\nDate\nFor PHMSA:\n___________________________________\nGregory Ochs, Director, Central Region\n___________________________________\nDate\n\n32021022NOPV_PHC Hearing Scheduled_07292021_(20-187008)_text.pdf\n\nJuly 29, 2021\nVIA ELECTRONIC MAIL TO: rebekah.r.bennett@exxonmobil.com and\ngregory.ochs@dot.gov\nMs. Rebekah R. Bennett, Esq.\nGeneral Counsel\nExxonMobil Pipeline Company\n22777 Springwoods Village Parkway\nSpring, TX 77389\nMr. Gregory Ochs\nDirector, Central Region\nPipeline and Hazardous Materials Safety Administration\n901 Locust Street, Suite 480\nKansas City, MO 64106-2641\nRe: Notice of Hearing, ExxonMobil Pipeline Company\nCPF No. 3-2021-022-NOPV\nDear Ms. Bennett and Mr. Ochs:\nIn accordance with 49 C.F.R. § 190.211, an informal hearing will be held regarding the Notice of\nProbable Violation and Proposed Civil Penalty issued by the Pipeline and Hazardous Materials\nSafety Administration in the above-referenced case. The hearing will take place on November 2,\n2021, beginning at 8:30 a.m. Central Time.\nThe hearing will be held via videoconference. I will provide the videoconference information prior\nto the hearing. At least 10 calendar days prior to the hearing (or by October 25, 2021), both parties\nmust submit and exchange any additional written materials they intend to present at the hearing and\nthe name and email address of each attendee. This information should be provided electronically.\nMaterials not submitted by this date may be excluded.\nIf you have any questions, please do not hesitate to contact me.\nSincerely,\nLarry White\nPresiding Official\ncc: Mr. Steven Yatauro, President, ExxonMobil Pipeline Company,\nsteven.a.yatauro@exxonmobil.com\nMr. Joseph Hainline, Counsel, Central Region, Office of Pipeline Safety,\njoseph.hainline@dot.gov","truncated":false,"body_characters":19443}