{"operation":"document","citation":"CPF 320211001W","title":"NORTHERN NATURAL GAS CO — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2021-02-11","effective_on":null,"summary":"CLOSED warning letter citing 192.605(a), 192.631(c)(4), 192.631(j)(1).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-320211001w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-320211001w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-320211001w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/320211001W","body":"Warning Letter involving NORTHERN NATURAL GAS CO. PHMSA's enforcement data identifies the cited regulations as 192.605(a),  192.631(c)(4),  192.631(j)(1). The case was opened on 2021-02-11 and is reported as closed as of 2021-02-11. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n320211001W_Operator Response to Notice_02242021.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211001W/320211001W_Operator%20Response%20to%20Notice_02242021.pdf\n\n320211001W_Warning Letter_02112021.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211001W/320211001W_Warning%20Letter_02112021.pdf\n\n320211001W_Warning Letter_02112021_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211001W/320211001W_Warning%20Letter_02112021_text.pdf\n\n320211001W_Warning Letter_02112021_text.pdf\n\nWARNING LETTER\nVIA ELECTRONIC MAIL TO: mark.hewett@nngco.com, royce.ramsay@nngco.com,\nthomas.correll@nngco.com\nFebruary 11, 2021\nMr. Mark Hewett\nPresident & CEO\nNorthern Natural Gas Company\n1111 South 103rd Street\nOmaha, NE 68124\nCPF 3-2021-1001W\nDear Mr. Hewett:\nDuring a period between May 13 and August 22, 2019 a representative of the Pipeline\nand Hazardous Materials Safety Administration (PHMSA) and interstate agents from\nMichigan, Iowa and Minnesota pursuant to Chapter 601 of 49 United States Code\ninspected Northern Natural Gas Company (Northern Natural) procedures for Operations,\nMaintenance, Control Room, Integrity Management, and Public Awareness in Omaha,\nNebraska, as well as its gas pipeline system facilities located in Iowa, Minnesota,\nWisconsin and Michigan.\nAs a result of the inspection, it is alleged that you have committed probable violations of\nthe Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items\ninspected and the probable violations are:\n1. §192.605 Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline, a\nmanual of\nwritten procedures for conducting operations and maintenance activities and\nfor emergency response. For transmission lines, the manual must also\ninclude procedures for handling abnormal operations. This manual must be\nreviewed and updated by the operator at intervals not exceeding 15 months,\nbut at least once each calendar year. This manual must be prepared before\noperations of a pipeline system commence. Appropriate parts of the manual\n\n\n\n2\nmust be kept at locations where operations and maintenance activities are\nconducted.\nNorthern Natural failed to review and update its Emergency Manual procedures at\nintervals not exceeding 15 months, but at least once each calendar year. At the time of\nthe inspection, the PHMSA inspector performed a spot check of the hard copy\nEmergency Manual at the East Wakefield Compressor Station, and discovered that\nsections 40.102 and 10.101 of the Manual were not updated and current.\n2. §192.631 Control room management.\n(a) . . .\n(c) Provide adequate information. Each operator must provide its controllers\nwith the information, tools, processes and procedures necessary for the\ncontrollers to carry out the roles and responsibilities the operator has\ndefined by performing each of the following:\n(1) . . .\n(4) Test any backup SCADA systems at least once each calendar year, but at\nintervals not to exceed 15 months; and\nNorthern Natural failed to properly test any backup SCADA system as least once each\ncalendar year, but at intervals not to exceed 15 months. Specifically, Northern Natural’s\n2016, 2017 and 2018 backup SCADA tests of its Des Moines, IA facility show that the\ncompany only tested the SCADA server performance and did not test the full SCADA\nsystem, which includes the HMI interface, phone transfer, printing, trending, alarms, etc.\nNorthern Natural has two designated backup control centers: one in Johnston, IA and the\nother in Bellevue, NE (South Omaha). Neither facility has a SCADA server located on\nsite. The SCADA server is located in another facility. The 2016, 2017, and 2018 back up\ntest records described turning on the SCADA server in the secondary location and then\ngoing to South Omaha or Johnston, Iowa to perform the backup test. Northern Natural,\nhowever, did not run a separate test for both facilities each year. Tests were completed\nfor the Bellvue location in 2017 and 2018 and in Johnson, Iowa in 2016. Northern\nNatural needs to test both backup locations each year and not only the backup server.\n3. §192.631 Control room management.\n(j) Compliance and deviations. An operator must maintain for review\nduring inspection:\n(1) Records that demonstrate compliance with the requirements of this\nsection; and\nNorthern Natural failed to maintain records to demonstrate compliance with the\nrequirements of § 192.631. Specifically, Northern Natural was unable produced records\nfor the inspection years 2016, 2017 and 2018 during PHMSA’s inspection. These\n\n\n\n3\nmissing records included annual reviews of the control room training program content,\nSCADA back up tests for the South Omaha and Des Moines, Iowa back up control\ncenters, annual internal communication tests, and annual controller activity reviews.\nPHMSA requested these items on May 14, 2019, and Northern Natural subsequently\nprovided some records, but not all the required records. Additionally, on September 21,\n2019, PHMSA issued a Request for Specific Information (RFSI) to Northern Natural. In\nresponse to the RFSI, Northern Natural provided one record for the 2017 Internal\nCommunication Test and incorrect records for the annual activity review. Furthermore,\nseveral of the required Control Room records were not available in Northern Natural’s\nrecords management system.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to\nexceed $218,647 per violation per day the violation persists, up to a maximum of\n$2,186,465 for a related series of violations. For violation occurring on or after\nNovember 27, 2018 and before July 31, 2019, the maximum penalty may not exceed\n$213,268 per violation per day, with a maximum penalty not to exceed $2,132,679. For\nviolation occurring on or after November 2, 2015 and before November 27, 2018, the\nmaximum penalty may not exceed $209,002 per violation per day, with a maximum\npenalty not to exceed $2,090,022. For violations occurring prior to November 2, 2015,\nthe maximum penalty may not exceed $200,000 per violation per day, with a maximum\npenalty not to exceed $2,000,000 for a related series of violations. We have reviewed\nthe circumstances and supporting documents involved in this case, and have decided not\nto conduct additional enforcement action or penalty assessment proceedings at this time.\nWe advise you to correct the item(s) identified in this letter. Failure to do so will result\nin Northern Natural Gas being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please\nrefer to CPF 3-2021-1001W. Be advised that all material you submit in response to this\nenforcement action is subject to being made publicly available. If you believe that any\nportion of your responsive material qualifies for confidential treatment under 5 U.S.C.\n552(b), along with the complete original document you must provide a second copy of\nthe document with the portions you believe qualify for confidential treatment redacted\nand 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: Royce Ramsay,VP Operations royce.ramsay@nngco.com\nThomas Correll, Director Pipeline Safety, thomas.correll@nngco.com","truncated":false,"body_characters":7792}