# NORTHERN NATURAL GAS CO — Notice of Probable Violation

- **operation:** document
- **citation:** CPF 320211002
- **title:** NORTHERN NATURAL GAS CO — Notice of Probable Violation
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2021-03-02
- **effective on:** Not available
- **summary:** CLOSED notice of probable violation citing 192.605(a), 192.631(c)(3), 192.631(j)(1), 192.713(a)(2).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-320211002.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-320211002.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-320211002
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/320211002
**body:**

Notice of Probable Violation involving NORTHERN NATURAL GAS CO. PHMSA's enforcement data identifies the cited regulations as 192.605(a),  192.631(c)(3),  192.631(j)(1),  192.713(a)(2). The case was opened on 2021-03-02 and is reported as closed as of 2021-09-15. Proposed civil penalty: $35,100. Assessed civil penalty: $19,300. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

320211002_Closure Letter_09152021_(18-163923S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Closure%20Letter_09152021_(18-163923S).pdf

320211002_Closure Letter_09152021_(18-163923S)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Closure%20Letter_09152021_(18-163923S)_text.pdf

320211002_Final Order_08232021_(18-163923S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Final%20Order_08232021_(18-163923S).pdf

320211002_Final Order_08232021_(18-163923S)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Final%20Order_08232021_(18-163923S)_text.pdf

320211002_NOPV PCP PCO_03022021.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_NOPV%20PCP%20PCO_03022021.pdf

320211002_NOPV PCP PCO_03022021_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_NOPV%20PCP%20PCO_03022021_text.pdf

320211002_Operator Response to Notice (Updated)_04022021_(18-163923S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Operator%20Response%20to%20Notice%20(Updated)_04022021_(18-163923S).pdf

320211002_Operator Response to Notice_03302021_(18-163923S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/320211002/320211002_Operator%20Response%20to%20Notice_03302021_(18-163923S).pdf

320211002_NOPV PCP PCO_03022021_text.pdf

NOTICE OF PROBABLE VIOLATION
PROPOSED CIVIL PENALTY
and
PROPOSED COMPLIANCE ORDER
VIA ELECTRONIC MAIL TO: mark.hewett@nngco.com and royce.ramsay@nngco.com
March 2, 2021
Mr. Mark Hewett
President & CEO
Northern Natural Gas Company
1111 South 103rd Street
Omaha, NE 68124
CPF 3-2021-1002
Dear Mr. Hewett:
During a period between May 13 and August 22, 2019 a representative of the Pipeline and
Hazardous Materials Safety Administration (PHMSA) and state agents from Michigan, Iowa and
Minnesota pursuant to Chapter 601 of 49 United States Code inspected Northern Natural Gas
Company (Northern Natural) procedures for Operations, Maintenance, Control Room, Integrity
Management, and Public Awareness in Omaha, Nebraska, as well as its gas pipeline system
facilities located in Iowa, Minnesota, Wisconsin and Michigan.
As a result of the inspection, it is alleged that you have committed probable violations of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected
and the probable violations are:



1. § 192.605 Procedural manual for operations, maintenance, and emergencies.
(a) General. Each operator shall prepare and follow for each pipeline, a manual of
written procedures for conducting operations and maintenance activities and for
emergency response. For transmission lines, the manual must also include
procedures for handling abnormal operations. This manual must be reviewed and
updated by the operator at intervals not exceeding 15 months, but at least once each
calendar year. This manual must be prepared before operations of a pipeline
system commence. Appropriate parts of the manual must be kept at locations
where operations and maintenance activities are conducted.
Northern Natural failed to follow a written procedure for conducting operations and maintenance
activities and for emergency response. Specifically, Northern Natural failed to follow its
procedure, Engineering Standard 7570 “Joining of Pipe & Piping Components Other Than by
Welding” (Revision 11 8/20/2019). Sections 5.6.1.1 and 5.6.1.2 of the procedure contains the
requirements for bolt and nut engagement for various flange connections at the company’s
pipeline facilities.
During the PHMSA inspection, the inspector identified several flanges within facilities where the
bolts were too short to be completely engaged per the definition provided in Northern’s
Engineering Standard 7570. The procedure requires, “[f]or existing facilities, completely
engaged means that the bolt shall be extend through the nut and the end of the bolt shall be at
least flush with the top of the nut for bolts with nuts in the horizontal or vertical down position.
Existing bolts with nuts in the vertical up position shall have at least 1 ½ threads exposed beyond
the nut to prevent accumulation and retention of water.” The following 26 locations were
identified as having flanges that did not meet Engineering Standard 7570 because the bolt did not
extend beyond the nut, but rather ended within the nut:
Ridgeway TBS ,Calmar TBS, West Union #1 TBS, Parkersburg #1 TBS, New Hartford #1 TBS,
Cedar Falls #1 TBS, Marshalltown #1 TBS, Garner TBS, Britt TBS, Algona TBS, Klemme #1
TBS, Goodell TBS, Belmond TBS, Clarion TBS, Woodward #1 TBS, Madrid TBS, Colo
TBS, Newton #1A TBS, Newton #1 TBS , Monroe TBS, Prairie City TBS, Mitchellville TBS,
Ankeny #1 TBS, Des Moines #1 TBS, Des Moines #1A & 1C TBS, Minburn TBS
2. § 192.631 Control room management.
(a) . . . .
(c) Provide adequate information. Each operator must provide its controllers with
the information, tools, processes and procedures necessary for the controllers to
carry out the roles and responsibilities the operator has defined by performing each
of the following:
(1) . . . .
2



(3) Test and verify an internal communication plan to provide adequate means for
manual operation of the pipeline safely, at least once each calendar year, but at
intervals not to exceed 15 months;
Northern Natural failed to test and verify their internal communication plan to provide adequate
means for manual operation of the pipeline safely, at least once each calendar year, but at
intervals not to exceed 15 months, in 2017.
A review of Northern Natural’s Control Room records show that the operator exceeded the
annual test of its Internal Communication Plan requirement by 47 days. Northern Natural
completed and documented tests of its internal communication plan on June 29, 2016. On
November 15, 2017, Northern Natural participated in a joint emergency exercise with North
American Electric Reliability (NERC). Norther Natural counted this joint mock exercise as the
test of its 2017 internal communication plan. The 2017 test should have been completed by
September 29, 2017.
3. § 192.631 Control room management.
(a) . . . .
inspection:
(1) (j) Compliance and deviations. An operator must maintain for review during
Records that demonstrate compliance with the requirements of this section;
Northern Natural failed to have records that demonstrated compliance to monitor the content and
volume of general activity being directed to and required of each controller at least once each
calendar year, but at intervals not to exceed 15 months, that will assure controllers have
sufficient time to analyze and react to incoming alarms for the years 2016 and 2018 as required
by § 192.631(e)(5).
At the time of inspection, Northern Natural was not able to provide records showing that review
of the content and volume of general activity directed to and required of each controller was
performed. Despite several PHMSA attempts to obtain these records, including a September 21,
2019, Request for Specific Information letter, Northern Natural did not produce the records.
4. § 192.713 Transmission lines: Permanent field repair of imperfections and damages.
(a) Each imperfection or damage that impairs the serviceability of pipe in a steel
transmission line operating at or above 40 percent of SMYS must be—
(1) . . . .
(2) Repaired by a method that reliable engineering tests and analyses show can
permanently restore the serviceability of the pipe.
3



Northern Natural failed to repair pipe anomalies by a method that reliable engineering tests and
analyses show can permanently restore the serviceability of the pipe for anomalies identified on
the New Lisbon Branch Line WIB14601, specifically Dent 30.
The ClockSpring Installation Manual and ASME B31-4 edition 2006 Table 451.6.2(b)-2 provide
guidance for repairing dent and gouge anomalies using ClockSpring. These sources are the
reference for methods to make repairs based on reliable engineering tests and analyses that, when
followed, provide a process to permanently restore the serviceability of the pipe. An additional
technical resource is Northern Natural Procedure 80.201 “Repair of In-Service Pipelines.”
An in-line inspection (ILI) run was completed on the Line WIB14601 segment on July 11, 2018
to assess for metal-loss and dent features. Analysis of the data identified a dent-gouge and gouge
on the pipeline segment. After evaluation, the anomalies were repaired with a ClockSpring. At
the time of inspection, the anomaly repair records were reviewed and it did not appear from the
records that the gouges were abraded until smooth before installing the ClockSpring as required
by ClockSpring Installation Manual, section 3.1.4. ASME B 31-4 edition 2006 Table 451.6.2(b)-
2 and Northern Natural Procedure 80.201 “Repair of In-Service Pipelines”.
The New Lisbon Branch dent gouge was repaired with two ClockSprings. The defect was a dent
23.1” long and made a repair with 24” of ClockSpring (2-12” ClockSpring). ClockSpring
recommended installation practice states, “The ClockSpring should extend 2-inches (51 mm)
beyond each side of the defect (i.e. three ClockSpring Should have been used). In this repair, the
ClockSprings were fit very close just to cover the anomalies. ASME B31-4 edition 2006 Table
451.6.2(b)-2 indicates that ClockSpring can be used to repair a dent/gouge if the gouge is
smoothed prior to installation.
On November 21, 2019, Northern Natural confirmed in their Response to Request for Special
Items, the gouges were not abraded until smooth prior to the application of the original
ClockSprings. Northern Natural further confirmed that a replacement ClockSpring repair was
performed on the dent-gouge on October 22, 2019, pursuant to the ClockSpring recommended
practices.
Proposed Civil Penalty
Under 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed
$222,504 per violation per day the violation persists, up to a maximum of $2,225,034 for a
related series of violations. For violation occurring on or after July 31, 2019 and before January
11, 2021, the maximum penalty may not exceed $218,647 per violation per day the violation
persists, up to a maximum of $2,186,465 for a related series of violations. For violation
occurring on or after November 27, 2018 and before July 31, 2019, the maximum penalty may
not exceed $213,268 per violation per day, with a maximum penalty not to exceed $2,132,679.
For violation occurring on or after November 2, 2015 and before November 27, 2018, the
maximum penalty may not exceed $209,002 per violation per day, with a maximum penalty not
to exceed $2,090,022.
4



We have reviewed the circumstances and supporting documentation involved for the above
probable violation(s) and recommend that you be preliminarily assessed a civil penalty of
$35,100 as follows:
Item number PENALTY
2 $19,300
3 $15,800
Warning Items
With respect to Item 4 we have reviewed the circumstances and supporting documents involved
in this case and have decided not to conduct additional enforcement action or penalty assessment
proceedings at this time. We advise you to promptly correct this item. Failure to do so may
result in additional enforcement action.
Proposed Compliance Order
With respect to item 1 pursuant to 49 U.S.C. § 60118, the Pipeline and Hazardous Materials
Safety Administration proposes to issue a Compliance Order to Northern Natural Gas. Please
refer to the Proposed Compliance Order, which is enclosed and made a part of this Notice.
Response to this Notice
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, or request a
hearing under 49 CFR § 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 a Final Order. If you are responding to this Notice, we propose that
5



you submit your correspondence to my office within 30 days from receipt of this Notice. This
period may be extended by written request for good cause.
In your correspondence on this matter, please refer to CPF 3-2021-1002 and, for each document
you submit, please provide a copy in electronic format whenever possible.
Sincerely,
Gregory A. Ochs
Director, Central Region, OPS
Pipeline and Hazardous Materials Safety Administration
Enclosures: Proposed Compliance Order
Response Options for Pipeline Operators in Enforcement Proceedings
cc: Royce Ramsay, VP Operations, royce.ramsay@nngco.com
6



PROPOSED COMPLIANCE ORDER
Pursuant to 49 U.S.C. § 60118, the Pipeline and Hazardous Materials Safety Administration
(PHMSA) proposes to issue to Northern Natural Gas Company a Compliance Order
incorporating the following remedial requirements to ensure the compliance of Northern Natural
Gas Transmission with the pipeline safety regulations:
1. In regards to Item Number 1 of the Notice pertaining to Northern Natural failed to
follow procedures related to flange bolt engagement for various flanges at 26
facilities.
Northern Natural needs to correct this condition by installing the proper bolts to
meet the Engineering Standard 7570 definition of complete engagement as found
in Engineering Standard 7570 “Joining of Pipe & Piping Components Other Than
By Welding” (Revision 11 8/20/2019) 5.6.1.1 and 5.6.1.2. This should be
completed within 120 days of the receipt of this letter.
2. It is requested (not mandated) that Northern Natural Gas Transmission maintain
documentation of the safety improvement costs associated with fulfilling this
Compliance Order and submit the total to Allan Beshore, Director, Central
Region, Pipeline and Hazardous Materials Safety Administration. It is requested
that these costs be reported in two categories: 1) total cost associated with
preparation/revision of plans, procedures, studies and analyses, and 2) total cost
associated with replacements, additions and other changes to pipeline
infrastructure.
7

320211002_Closure Letter_09152021_(18-163923S)_text.pdf

VIA ELECTRONIC MAIL TO: mark.hewett@nngco.com and royce.ramsay@nngco.com
September 15, 2021
Mr. Mark Hewett
President & CEO
Northern Natural Gas Company
1111 South 103rd Street
Omaha, NE 68124
Re: CPF 3-2021-1002
Dear Mr. Hewitt,
On August 23, 2021, The Pipeline and Hazardous Materials Administration (PHMSA) issued to
Northern Natural Gas Company a Final Order in the above referenced case. This Order included
a Notice of Probably Violation and Civil Penalty and a Compliance Order. Based on our review
of documentation provided and confirmation of payment of the civil penalty, it has been
determined that you have complied with the terms of the Order.
This letter is to inform you that no further action is necessary, and this case is now closed. Thank
you for your cooperation.
Sincerely,
Gregory A. Ochs
Director, Central Region, OPS
Pipeline and Hazardous Materials Safety Administration
cc: Thomas Correll, Vice President Safety and Risk Thomas.correll@nngco.com

320211002_Final Order_08232021_(18-163923S)_text.pdf

August 23, 2021
VIA ELECTRONIC MAIL: mark.hewett@nngco.com
Mr. Mark Hewett
President and Chief Executive Officer
Northern Natural Gas Company
1111 South 103rd Street
Omaha, NE 68124
Re: CPF No. 3-2021-1002
Dear Mr. Hewett:
Enclosed please find the Final Order issued in the above-referenced case. It withdraws one of
the allegations of violation, makes a finding of violation, assesses a civil penalty of $19,300, and
finds that Northern Natural Gas Company has completed the actions specified in the Notice to
comply with the pipeline safety regulations. The penalty payment terms are set forth in the Final
Order. When the civil penalty has been paid, this enforcement action will be closed. Service of
the Final Order by electronic mail is effective upon the date of transmission as provided under 49
C.F.R. § 190.5.
Thank you for your cooperation in this matter.
Sincerely,
Alan K. Mayberry
Associate Administrator
for Pipeline Safety
Enclosure
cc: Mr. Gregory Ochs, Director, Central Region, Office of Pipeline Safety, PHMSA
Mr. Tom Correll, Vice President, Pipeline Safety and Risk, Northern Natural Gas
Company, thomas.correll@nngco.com
Mr. Royce Ramsay, Vice President, Operations, Northern Natural Gas Company,
royce.ramsay@nngco.com
CONFIRMATION OF RECEIPT REQUESTED



U.S. DEPARTMENT OF TRANSPORTATION
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON, D.C. 20590
____________________________________
)
In the Matter of )
)
Northern Natural Gas Company, ) CPF No. 3-2021-1002
)
Respondent. )
____________________________________)
FINAL ORDER
From May 13, 2019 through August 22, 2019, pursuant to 49 U.S.C. § 60117, a representative of
the Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety
(OPS), and state agents from Michigan, Iowa, and Minnesota conducted an on-site pipeline
safety inspection of the facilities and records of Northern Natural Gas Company (Northern
Natural or Respondent) in Nebraska, Iowa, Minnesota, Wisconsin, and Michigan. Northern
Natural is a subsidiary of Berkshire Hathaway Energy Company, a subsidiary of Berkshire
Hathaway, Inc.1 Northern Natural operates approximately 7,000 miles of pipe in Iowa,
Michigan, Minnesota, and Wisconsin.2
As a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,
by letter dated March 2, 2021, a Notice of Probable Violation, Proposed Civil Penalty, and
Proposed Compliance Order (Notice), which also included a warning pursuant to 49 C.F.R.
§ 190.205. In accordance with 49 C.F.R. § 190.207, the Notice proposed finding Northern
Natural had committed three violations of 49 C.F.R. part 192 and proposed assessing a civil
penalty of $35,100 for the alleged violations. The Notice also proposed ordering Respondent to
take certain measures to correct the alleged violations. The warning item required no further
action, but warned the operator to correct the probable violation or face possible future
enforcement action.
Northern Natural responded to the Notice by letter dated March 30, 2021, and updated on April
2, 2021 (Response). Northern Natural did not contest the allegations, but offered additional
information in response to the Notice and requested that the Notice be withdrawn and civil
penalties rescinded. Respondent did not request a hearing and therefore has waived its right to
one.
1 Northern Natural Gas, About Us/Overview, available at
https://www northernnaturalgas.com/aboutus/Pages/Overview.aspx (last accessed August 11, 2021).
2 Pipeline Safety Violation Report (Violation Report), (June 21, 2019), at 1 (on file with PHMSA).



CPF No. 3-2021-1002
Page 2
FINDINGS OF VIOLATION
The Notice alleged that Respondent violated 49 C.F.R. Part 192, as follows:
Item 1: The Notice alleged that Respondent violated 49 C.F.R. § 192.605(a), which states:
§ 192.605 Procedural manual for operations, maintenance, and
emergencies.
(a) General. Each operator shall prepare and follow for each pipeline, a
manual of written procedures for conducting operations and maintenance
activities and for emergency response. For transmission lines, the manual must
also include procedures for handling abnormal operations. This manual must
be reviewed and updated by the operator at intervals not exceeding 15 months,
but at least once each calendar year. This manual must be prepared before
operations of a pipeline system commence. Appropriate parts of the manual
must be kept at locations where operations and maintenance activities are
conducted.
The Notice alleged that Respondent violated 49 C.F.R. § 192.605(a) by failing to follow its
manual of written procedures for conducting operations and maintenance activities. Specifically,
the Notice alleged that Northern Natural failed to follow Sections 5.6.1.1 and 5.6.1.2 of its
procedures, Engineering Standard 7570 “Joining of Pipe & Piping Components Other Than by
Welding” (Revision 11 8/20/2019) because 26 locations within pipeline facilities contained flanges
with bolts that did not extend beyond the nut, but rather ended within the nut, and were therefore not
completely engaged.
Respondent did not contest this allegation of violation and provided information concerning
corrective action it has taken. Accordingly, based upon a review of all of the evidence, I find
that Respondent violated 49 C.F.R. § 192.605(a) by failing to follow its written procedures for
conducting operations and maintenance activities.
Item 2: The Notice alleged that Respondent violated 49 C.F.R. § 192.631(c)(3), which states:
§ 192.631 Control room management.
(a) . . . .
(c) Provide adequate information. Each operator must provide its
controllers with the information, tools, processes and procedures necessary
for the controllers to carry out the roles and responsibilities the operator has
defined by performing each of the following:
(1) . . . .
(3) Test and verify an internal communication plan to provide adequate
means for manual operation of the pipeline safely, at least once each
calendar year, but at intervals not to exceed 15 months.
The Notice alleged that Respondent violated 49 C.F.R. § 192.631(c)(3) by failing to test and
verify its internal communication plan to provide adequate means for manual operation of the
pipeline safely, at least once each calendar year, but at intervals not to exceed 15 months.



CPF No. 3-2021-1002
Page 3
Specifically, the Notice alleged that Northern Natural’s Control Room records show that it
exceeded the annual test of its Internal Communication Plan by 47 days when it tested its internal
communication plan on June 29, 2016, and did not conduct another test until November 15,
2017.
In its Response, Northern Natural did not contest that the violation had occurred as alleged and
provided additional information concerning corrective action it has taken, including amendment
of its procedures and training of personnel. Northern Natural argued, however, that this item
should be withdrawn because it was “previously addressed in a Warning Letter (CP 3-2021-
1001W) dated February 11, 2021.”
After considering all of the evidence and additional information provided by Respondent, I
disagree. Although the Director issued a warning letter to Respondent on February 11, 2021,
Item 2 of the letter warned Respondent about a probable violation of § 192.631(c)(4). The
violation alleged in this Item, § 192.631(c)(3), is distinct from that referenced in the warning
letter and is a separate regulatory requirement. The warning letter stated that Northern Natural’s
failure was to “properly test any backup SCADA system… Specifically, the company only tested
the SCADA server performance and did not test the full SCADA system…” The Notice Item
alleged Respondent exceeded the annual test of its Internal Communication Plan by 47 days.
These are two distinct allegations.
Accordingly, after considering all of the evidence, I find that Respondent violated 49 C.F.R.
§ 192.631(c)(3) failing to test and verify its internal communication plan to provide adequate
means for manual operation of the pipeline safely, at least once each calendar year, but at
intervals not to exceed 15 months, when it exceeded the annual test of its Internal
Communication Plan by 47 days in 2017.
Item 3: The Notice alleged that Respondent violated 49 C.F.R. § 192.631(j)(1), which states:
§ 192.631 Control room management.
(a) . . . .
(j) Compliance and deviations. An operator must maintain for review
during inspection:
(1) Records that demonstrate compliance with the requirements of this
section;
The Notice alleged that Respondent violated 49 C.F.R. § 192.631(j)(1) by failing to have records
that demonstrated compliance with the requirements of § 192.631(e)(5), which requires Respondent
to monitor the content and volume of general activity being directed to and required of each
controller at least once each calendar year, but at intervals not to exceed 15 months, to assure
controllers have sufficient time to analyze and react to incoming alarms. Specifically, the Notice
alleged that Northern Natural was not able to provide records in response to a September 21,
2019 Request for Specific Information, showing that review of the content and volume of general
activity directed to and required of each controller was performed for the years 2016 and 2018.
In its Response, Northern Natural did not contest that the violation had occurred as alleged and



CPF No. 3-2021-1002
Page 4
provided additional information concerning corrective action it has taken, including amendment
of its procedures and training of personnel. Northern Natural argued, however, that this item
should be withdrawn because it was “previously addressed in a Warning Letter (CPF 3-2021-
1001W) dated February 11, 2021.”
Having reviewed the record, I find that prior to issuance of the Notice in this case, the Director
issued Warning Letter CPF 3-2021-1001W. Item 3 of the letter alleged that “Northern Natural
Northern Natural failed to maintain records to demonstrate compliance with the requirements of
§ 192.631[(j)(1)].” It referred to the same set of facts, Northern Natural’s inability to “produce
records for the inspection years 2016, 2017 and 2018,” as those in Item 3 of the Notice. In other
words, there appears to be duplicative cases brought for the same probable violation. There is no
record of the Director having ever withdrawn the Warning Letter or otherwise intending to
replace the warning with the violation alleged in the Notice. In the Director’s written evaluation
of response material and recommendation for final action for this case, submitted pursuant to
§ 190.209(b)(7), the Director recommended this item be withdrawn. Accordingly, I hereby order
that Item 3 be withdrawn.
These findings of violation will be considered prior offenses in any subsequent enforcement
action taken against Respondent.
ASSESSMENT OF PENALTY
Under 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed
$200,000 per violation for each day of the violation, up to a maximum of $2,000,000 for any
related series of violations.3
In determining the amount of a civil penalty under 49 U.S.C. § 60122 and 49 C.F.R. § 190.225, I
must consider the following criteria: the nature, circumstances, and gravity of the violation,
including adverse impact on the environment; the degree of Respondent’s culpability; the history
of Respondent’s prior offenses; any effect that the penalty may have on its ability to continue
doing business; the good faith of Respondent in attempting to comply with the pipeline safety
regulations; and self-disclosure or actions to correct a violation prior to discovery by PHMSA.
In addition, I may consider the economic benefit gained from the violation without any reduction
because of subsequent damages, and such other matters as justice may require. The Notice
proposed a total civil penalty of $35,100 for the violations cited above.
Item 2: The Notice proposed a civil penalty of $19,300 for Respondent’s violation of 49 C.F.R.
§ 192.631(c)(3), for failing to failing to test and verify its internal communication plan to provide
adequate means for manual operation of the pipeline safely, at least once each calendar year, but
at intervals not to exceed 15 months. Respondent argued this item and proposed penalty should
be withdrawn because it was previously addressed in a Warning Letter. I have already rejected
this argument. Respondent did not otherwise present any evidence or arguments justifying
elimination of the proposed penalty.
3 These amounts are adjusted annually for inflation. See 49 C.F.R. § 190.223.



CPF No. 3-2021-1002
Page 5
Regarding the nature, circumstances, and gravity of the violation, PHMSA noted in the Violation
Report that the alleged violation was discovered by PHMSA and minimally affected safety.
Regarding culpability and good faith, PHMSA noted in the violation report that Respondent failed
to comply with an applicable requirement and did not have a reasonable justification for its non-
compliance. Accordingly, having reviewed the record and considered the assessment criteria, I
assess Respondent a civil penalty of $19,300 for violation of 49 C.F.R. § 192.631(c)(3).
Item 3: The Notice proposed a civil penalty of $15,800 for Respondent’s alleged violation of 49
C.F.R. § 192.631(j)(1). Since this alleged violation has been withdrawn, the proposed penalty is
not assessed.
In summary, having reviewed the record and considered the assessment criteria for each of the
Items cited above, I assess Respondent a total civil penalty of $19,300.
Payment of the civil penalty must be made within 20 days of service. Federal regulations (49
C.F.R. § 89.21(b)(3)) require such payment to be made by wire transfer through the Federal
Reserve Communications System (Fedwire), to the account of the U.S. Treasury. Detailed
instructions are contained in the enclosure. Questions concerning wire transfers should be
directed to: Financial Operations Division (AMK-325), Federal Aviation Administration, Mike
Monroney Aeronautical Center, 6500 S MacArthur Blvd, Oklahoma City, Oklahoma 79169.
The Financial Operations Division telephone number is (405) 954-8845.
Failure to pay the $19,300 civil penalty will result in accrual of interest at the current annual rate
in accordance with 31 U.S.C. § 3717, 31 C.F.R. § 901.9 and 49 C.F.R. § 89.23. Pursuant to
those same authorities, a late penalty charge of six percent (6%) per annum will be charged if
payment is not made within 110 days of service. Furthermore, failure to pay the civil penalty
may result in referral of the matter to the Attorney General for appropriate action in a district
court of the United States.
COMPLIANCE ORDER
The Notice proposed a compliance order with respect to Item 1 in the Notice for violation of 49
C.F.R. § 192.605(a). Under 49 U.S.C. § 60118(a), each person who engages in the
transportation of gas or who owns or operates a pipeline facility is required to comply with the
applicable safety standards established under chapter 601. The Director indicates that
Respondent has taken the following actions specified in the proposed compliance order:
1. With respect to the violation of § 192.605(a) (Item 1), Respondent has completed
all actions as required in the Proposed Compliance Order for his Item. Specifically,
Respondent has replaced or readjusted all flange bolts in the locations specified in the
NOPV to bring them into compliance with Engineering Standard 7570.
Accordingly, I find that compliance has been achieved with respect to this violation. Therefore,
the compliance terms proposed in the Notice are not included in this Order.



CPF No. 3-2021-1002
Page 6
WARNING ITEM
With respect to Item 4, the Notice alleged probable violation of Part 192, but identified it as a
warning item pursuant to § 190.205. The warning was for:
49 C.F.R. § 192.713(a)(2) (Item 4) ─ Respondent’s alleged failure to repair pipe
anomalies by a method that reliable engineering tests and analyses show can
permanently restore the serviceability of the pipe for anomalies. Specifically, the
Notice alleged that on the New Lisbon Branch Line WIB14601, specifically Dent
30, Northern Natural did not abrade the gouges until smooth prior to the
application of a ClockSpring as required by ClockSpring Installation Manual,
section 3.1.4. ASME B 31-4 edition 2006 Table 451.6.2(b)-2 and Northern
Natural Procedure 80.201 “Repair of In-Service Pipelines.” The Notice also
stated that Northern Natural has already replaced the repair.
Northern Natural presented information in its Response showing that it had taken certain actions
to address the cited items. If OPS finds a violation of this provision in a subsequent inspection,
Respondent may be subject to future enforcement action.
Under 49 C.F.R. § 190.243, Respondent may submit a Petition for Reconsideration of this Final
Order to the Associate Administrator, Office of Pipeline Safety, PHMSA, 1200 New Jersey
Avenue, SE, East Building, 2nd Floor, Washington, DC 20590, with a copy sent to the Office of
Chief Counsel, PHMSA, at the same address, no later than 20 days after receipt of service of this
Final Order by Respondent. Any petition submitted must contain a statement of the issue(s) and
meet all other requirements of 49 C.F.R. § 190.243. The filing of a petition automatically stays
the payment of any civil penalty assessed. The other terms of the order, including corrective
action, remain in effect unless the Associate Administrator, upon request, grants a stay.
The terms and conditions of this Final Order are effective upon service in accordance with 49
C.F.R. § 190.5.
August 23, 2021
___________________________________ __________________________
Alan K. Mayberry Date Issued
Associate Administrator
for Pipeline Safety
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