# CENEX PIPELINE LLC — Notice of Amendment

- **operation:** document
- **citation:** CPF 32021095NOA
- **title:** CENEX PIPELINE LLC — Notice of Amendment
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2021-12-16
- **effective on:** Not available
- **summary:** CLOSED notice of amendment citing 195.402(c)(3).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-32021095noa.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-32021095noa.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-32021095noa
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/32021095NOA
**body:**

Notice of Amendment involving CENEX PIPELINE LLC. PHMSA's enforcement data identifies the cited regulation as 195.402(c)(3). The case was opened on 2021-12-16 and is reported as closed as of 2022-03-21. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

32021095NOA_Closure Letter_03212022_(21-207811).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021095NOA/32021095NOA_Closure%20Letter_03212022_(21-207811).pdf

32021095NOA_Closure Letter_03212022_(21-207811)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021095NOA/32021095NOA_Closure%20Letter_03212022_(21-207811)_text.pdf

32021095NOA_Notice of Amendment_12162021_(21-207811).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021095NOA/32021095NOA_Notice%20of%20Amendment_12162021_(21-207811).pdf

32021095NOA_Notice of Amendment_12162021_(21-207811)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021095NOA/32021095NOA_Notice%20of%20Amendment_12162021_(21-207811)_text.pdf

32021095NOA_Operator Response to Notice_01142022_(21-207811).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32021095NOA/32021095NOA_Operator%20Response%20to%20Notice_01142022_(21-207811).pdf

32021095NOA_Closure Letter_03212022_(21-207811)_text.pdf

VIA ELECTRONIC MAIL TO: greg.brown@chsinc.com; michelle.slyder@chsinc.com;
and bpatton@jayhawkpl.com
March 21, 2022
Mr. Greg Brown
Vice President
Cenex Pipeline LLC
Jayhawk Pipeline LLC
Front Range Pipeline LLC
803 Highway 212 S
Laurel, MT 59044
Re: 3-2021-095-NOA
Dear Mr. Brown:
From March 15-19, 2021, representatives of the Pipeline and Hazardous Materials Safety
Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected the
Integrity Management procedure manual (IMP) applicable to Cenex Pipeline LLC (OPID 2175),
Jayhawk Pipeline LLC (OPID 1975), and Front Range Pipeline LLC (OPID 32283). These three
operators will be referred to as the Company for this Notice. As a result of the inspection, the
Company was issued a Notice of Amendment on December 16, 2021, which proposed
amendment of your procedures.
The Company submitted its amended procedures on March 16, 2022. My staff reviewed the
amended procedures, and it appears that the inadequacies outlined in this Notice of Amendment
have been corrected.
This letter is to inform you no further action is necessary and this case is now closed. Thank you
for your cooperation.
Sincerely,
Gregory A. Ochs
Director, Central Region, Office of Pipeline Safety
Pipeline and Hazardous Materials Safety Administration

32021095NOA_Notice of Amendment_12162021_(21-207811)_text.pdf

NOTICE OF AMENDMENT
VIA ELECTRONIC MAIL TO: greg.brown@chsinc.com; michelle.slyder@chsinc.com; and
bpatton@jayhawkpl.com
December 16, 2021
Mr. Greg Brown
Vice President
Cenex Pipeline LLC
Jayhawk Pipeline LLC
Front Range Pipeline LLC
803 Highway 212 S
Laurel, MT 59044
CPF 3-2021-095-NOA
Dear Mr. Brown:
From March 15-19, 2021, representatives of the Pipeline and Hazardous Materials Safety
Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected the
Integrity Management procedure manual (IMP) applicable to Cenex Pipeline LLC (OPID 2175),
Jayhawk Pipeline LLC (OPID 1975), and Front Range Pipeline LLC (OPID 32283). The three
operators will be referred to as the Company for this Notice.
On the basis of the Inspection, PHMSA has identified the apparent inadequacies found within the
company’s plans or procedures, as described below:
1. § 195.402 Procedural manual for operations, maintenance, and emergencies.
(a) . . . .
(c) Maintenance and normal operations. The manual required by paragraph (a) of this
section must include procedures for the following to provide safety during maintenance
and normal operations:
(1) . . . .
(3) Operating, maintaining, and repairing the pipeline system in accordance with each
of the requirements of this subpart and subpart H of this part.



2. 3. The Integrity Management (IM) program was inadequate because it did not have procedures
for applying integrity management to the company’s covered facilities (i.e.: pump stations
and tank farms) as required by § 195.452(b)(1). Per § 195.452(a), each pipeline [see the
definition of “Pipelines” in §195.2] that could affect a high consequence area are covered
under § 195.452, including pump stations and tank farms, and are to be included in the IM
program required by § 195.452(b)(1). It appeared that the company was applying integrity
management measures to covered facilities in the field, but the procedures did not reflect
what the company was doing, such as: the could affect analysis, the continual evaluation of
the facilities, preventative & mitigative measures, and other integrity management elements
described in § 195.452(f).
The Company must amend its written IM procedures to comply with the requirements of
§ 195.452(b)(1) by including the elements of § 195.452(f) for covered facilities.
§ 195.402 Procedural manual for operations, maintenance, and emergencies.
(a) . . . .
(c) Maintenance and normal operations. The manual required by paragraph (a) of this
section must include procedures for the following to provide safety during maintenance
and normal operations:
(1) . . . .
(3) Operating, maintaining, and repairing the pipeline system in accordance with each
of the requirements of this subpart and subpart H of this part.
The IM procedures were inadequate because they did not contain any guidance for
performing an information analysis as required by § 195.452(g). The procedures did not
contain the required data elements and attributes needed for the analysis, nor did it describe
how and when the periodic information analyses were going to be completed or by whom.
The Company must amend its written IM procedures to comply with the requirements of
§ 195.452(g).
§ 195.402 Procedural manual for operations, maintenance, and emergencies.
(a) . . . .
(c) Maintenance and normal operations. The manual required by paragraph (a) of this
section must include procedures for the following to provide safety during maintenance
and normal operations:
(1) . . . .
(3) Operating, maintaining, and repairing the pipeline system in accordance with each
of the requirements of this subpart and subpart H of this part.
The IM procedures as did not address the annual verification of the risk factors used in
identifying pipeline segments that could affect a high consequence area as required by §
195.452(j)(2). The IM Procedures on page 14 under Program Overview contained a
requirement to review the risk factors used to identify a high consequence area annually not



to exceed 15 months, but did not provide any guidance or details on how the review should
be performed, who shall do it, and how it is to be documented.
The Company must amend its written IM procedures to comply with the requirements of
§ 195.452(j)(2).
4. § 195.402 Procedural manual for operations, maintenance, and emergencies.
(a) . . . .
(c) Maintenance and normal operations. The manual required by paragraph (a) of this
section must include procedures for the following to provide safety during maintenance
and normal operations:
(1) . . . .
(3) Operating, maintaining, and repairing the pipeline system in accordance with each
of the requirements of this subpart and subpart H of this part.
The IM procedures did not contain adequate information regarding remedial actions and
evaluations to address integrity issues raised by the assessment methods and information
analysis as required by § 195.452(f)(4). Specifically, there were no appropriate procedures
for remedial actions for seams, cracks or cracking and no procedures to ensure that proper
non-destructive examination (NDE) method(s) and other information gathering processes are
used to evaluate seams, cracks, or cracking. On the Jayhawk system, cracking was identified
from a tool run in 2017. IM procedures to address remedial actions for this identified threat
must be part of the IM program.
The Company must amend its written IM procedures to comply with the requirements of
§ 195.452(f)(4).
Response to this Notice
This Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as
part of this Notice is a document entitled Response Options for Pipeline Operators in
Enforcement Proceedings. Please refer to this document and note the response options. Be
advised that all material you submit in response to this enforcement action is subject to being
made publicly available. If you believe that any portion of your responsive material qualifies for
confidential treatment under 5 U.S.C. 552(b), along with the complete original document you
must provide a second copy of the document with the portions you believe qualify for
confidential treatment redacted and an explanation of why you believe the redacted information
qualifies for confidential treatment under 5 U.S.C. 552(b).
Following the receipt of this Notice, you have 30 days to submit written comments, revised
procedures, or a request for a hearing under §190.211. If you do not respond within 30 days of
receipt of this Notice, this constitutes a waiver of your right to contest the allegations in this
Notice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in
this Notice without further notice to you and to issue an Order Directing Amendment. If your
plans or procedures are found inadequate as alleged in this Notice, you may be ordered to amend
your plans or procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not



contesting this Notice, we propose that you submit your amended procedures to my office within
90 days of receipt of this Notice. This period may be extended by written request for good
cause. Once the inadequacies identified herein have been addressed in your amended
procedures, this enforcement action will be closed.
It is requested (not mandated) that Cenex Pipeline LLC, Front Range Pipeline LLC and Jayhawk
Pipeline LLC maintain documentation of the safety improvement costs associated with fulfilling
this Notice of Amendment (preparation/revision of plans, procedures) and submit the total to
Greg A. Ochs, Director, Central Region, Pipeline and Hazardous Materials Safety
Administration. In correspondence concerning this matter, please refer to CPF 3-2021-095-NOA
and, for each document you submit, please provide a copy in electronic format whenever
possible.
Sincerely,
Gregory A. Ochs
Director, Central Region
Pipeline and Hazardous Materials Safety Administration
CC: Michelle Slyder, Manager DOT Compliance, michelle.slyder@chsinc.com
bpatton@jayhawkpl.com William Patton, DOT Compliance Asst.,
Enclosure: Response Options for Pipeline Operators in Enforcement Proceedings
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