{"operation":"document","citation":"CPF 32023019WL","title":"NUSTAR LOGISTICS, L.P. — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2023-06-13","effective_on":null,"summary":"CLOSED warning letter citing 195.428(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-32023019wl.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-32023019wl.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-32023019wl","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/32023019WL","body":"Warning Letter involving NUSTAR LOGISTICS, L.P.. PHMSA's enforcement data identifies the cited regulation as 195.428(c). The case was opened on 2023-06-13 and is reported as closed as of 2023-06-13. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n32023019WL_Warning Letter_06132023_(22-235480).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32023019WL/32023019WL_Warning%20Letter_06132023_(22-235480).pdf\n\n32023019WL_Warning Letter_06132023_(22-235480)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32023019WL/32023019WL_Warning%20Letter_06132023_(22-235480)_text.pdf\n\n32023019WL_Warning Letter_06132023_(22-235480)_text.pdf\n\nWARNING LETTER\nVIA ELECTRONIC MAIL TO: Brad.Barron@nustarenergy.com and\nGary.Koegeboehn@nustarenergy.com\nJune 13, 2023\nMr. Brad Barron\nPresident and Chief Executive Officer\nNuStar Pipeline Operating Partnership, L.P.\n19003 IH-10 West\nSan Antonio, TX 78257\nRE: NuStar Logistics, L.P.\nCPF 3-2023-019-WL\nDear Mr. Barron:\nFrom May 18, 2022, through December 14, 2022, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code\n(U.S.C.), inspected NuStar Logistics, L.P.’s (NuStar) South Texas petroleum products pipeline\nfacilities in South Texas.\nAs a result of the inspection, it is alleged that you have committed a probable violation of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected\nand the probable violation is:\n1. § 195.428 Overpressure safety devices and overfill protection systems.\n(a) . . .\n(c) Aboveground breakout tanks that are constructed or significantly altered\naccording to API Std 2510 (incorporated by reference, see § 195.3) after\nOctober 2, 2000, must have an overfill protection system installed according to\nAPI Std 2510, section 7.1.2. Other aboveground breakout tanks with 600 gallons\n(2271 liters) or more of storage capacity that are constructed or significantly\n\n\n\n(d) altered after October 2, 2000, must have an overfill protection system installed\naccording to API RP 2350 (incorporated by reference, see § 195.3). However, an\noperator need not comply with any part of API RP 2350 for a particular\nbreakout tank if the operator describes in the manual required by § 195.402\nwhy compliance with that part is not necessary for safety of the tank.\nNuStar failed to comply with the regulation because it did not have overfill protection at\nBrownsville Junction on each of the four 12F breakout surge-relief tanks as prescribed by API\nRP 2350, incorporated by reference.\nSpecifically, during the on-site inspection of Brownsville Junction, PHMSA observed that\noverfill protection devices for the four 400-barrel (16,800 gal.) 12F tanks did not protect each\ntank. Records indicated the tanks were commissioned in 2019, with overfill protection installed\non only three tanks.\nNuStar’s Operations and Maintenance Manual procedures (O&M) did not explain why\ncompliance with API RP 2350 is unnecessary for the safety of the four 12F tanks at Brownsville\nJunction. In addition, NuStar did not have documentation stating why overfill protection was not\nrequired for each individual 12F tank, or site-specific procedures ensuring that the tank inlet\nvalves remain open during normal operations. Further, procedures did not describe how to\noperate the pipeline system when one or more of the tanks is closed off from the surge\nprotection, such as during maintenance activities.\nAfter PHMSA discovered the deficiency, NuStar added additional overfill protection to ensure\neach of the four 12F tanks had overfill protection systems in place, which was completed on\nApril 4, 2023.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$257,664 per violation per day the violation persists, up to a maximum of $2,576,627 for a\nrelated series of violations. For violation occurring on or after March 21, 2022 and before\nJanuary 6, 2023, the maximum penalty may not exceed $239,142 per violation per day the\nviolation persists, up to a maximum of $2,391,142 for a related series of violations. For violation\noccurring on or after May 3, 2021 and before March 21, 2022, the maximum penalty may not\nexceed $225,134 per violation per day the violation persists, up to a maximum of $2,251,334 for\na related series of violations. For violation occurring on or after January 11, 2021 and before\nMay 3, 2021, the maximum penalty may not exceed $222,504 per violation per day the violation\npersists, up to a maximum of $2,225,034 for a related series of violations. For violation\noccurring on or after July 31, 2019 and before January 11, 2021, the maximum penalty may not\nexceed $218,647 per violation per day the violation persists, up to a maximum of $2,186,465 for\na related series of violations. For violation occurring on or after November 27, 2018 and before\nJuly 31, 2019, the maximum penalty may not exceed $213,268 per violation per day, with a\nmaximum penalty not to exceed $2,132,679. For violation occurring on or after November 2,\n\n\n\n2015 and before November 27, 2018, the maximum penalty may not exceed $209,002 per\nviolation per day, with a maximum penalty not to exceed $2,090,022.\nWe have reviewed the circumstances and supporting documents involved in this case, and have\ndecided not to conduct additional enforcement action or penalty assessment proceedings at this\ntime. We advise you to correct the item identified in this letter. Failure to do so will result in\nNuStar being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to\nCPF 3-2023-019-WL. Be advised that all material you submit in response to this enforcement\naction is subject to being made publicly available. If you believe that any portion of your\nresponsive material qualifies for confidential treatment under 5 U.S.C. § 552(b), along with the\ncomplete original document you must provide a second copy of the document with the portions\nyou believe qualify for confidential treatment redacted and an explanation of why you believe\nthe redacted information qualifies for confidential treatment under 5 U.S.C. § 552(b).\nSincerely,\nGregory A. Ochs\nDirector, Central Region, Office of Pipeline Safety\nPipeline and Hazardous Materials Safety Administration\nCc: Gary Koegeboehn\nVice President of Pipeline Operations\nNuStar Pipeline Operating Partnership, L.P.\n19003 IH-10 West\nSan Antonio, Texas 78257\ngary.koegeboehn@nustarenergy.com","truncated":false,"body_characters":6585}