# NUSTAR LOGISTICS, L.P. — Warning Letter

- **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:** Not available
- **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.

Official case documents:

32023019WL_Warning Letter_06132023_(22-235480).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32023019WL/32023019WL_Warning%20Letter_06132023_(22-235480).pdf

32023019WL_Warning Letter_06132023_(22-235480)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32023019WL/32023019WL_Warning%20Letter_06132023_(22-235480)_text.pdf

32023019WL_Warning Letter_06132023_(22-235480)_text.pdf

WARNING LETTER
VIA ELECTRONIC MAIL TO: Brad.Barron@nustarenergy.com and
Gary.Koegeboehn@nustarenergy.com
June 13, 2023
Mr. Brad Barron
President and Chief Executive Officer
NuStar Pipeline Operating Partnership, L.P.
19003 IH-10 West
San Antonio, TX 78257
RE: NuStar Logistics, L.P.
CPF 3-2023-019-WL
Dear Mr. Barron:
From May 18, 2022, through December 14, 2022, representatives of the Pipeline and Hazardous
Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code
(U.S.C.), inspected NuStar Logistics, L.P.’s (NuStar) South Texas petroleum products pipeline
facilities in South Texas.
As a result of the inspection, it is alleged that you have committed a probable violation of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected
and the probable violation is:
1. § 195.428 Overpressure safety devices and overfill protection systems.
(a) . . .
(c) Aboveground breakout tanks that are constructed or significantly altered
according to API Std 2510 (incorporated by reference, see § 195.3) after
October 2, 2000, must have an overfill protection system installed according to
API Std 2510, section 7.1.2. Other aboveground breakout tanks with 600 gallons
(2271 liters) or more of storage capacity that are constructed or significantly



(d) altered after October 2, 2000, must have an overfill protection system installed
according to API RP 2350 (incorporated by reference, see § 195.3). However, an
operator need not comply with any part of API RP 2350 for a particular
breakout tank if the operator describes in the manual required by § 195.402
why compliance with that part is not necessary for safety of the tank.
NuStar failed to comply with the regulation because it did not have overfill protection at
Brownsville Junction on each of the four 12F breakout surge-relief tanks as prescribed by API
RP 2350, incorporated by reference.
Specifically, during the on-site inspection of Brownsville Junction, PHMSA observed that
overfill protection devices for the four 400-barrel (16,800 gal.) 12F tanks did not protect each
tank. Records indicated the tanks were commissioned in 2019, with overfill protection installed
on only three tanks.
NuStar’s Operations and Maintenance Manual procedures (O&M) did not explain why
compliance with API RP 2350 is unnecessary for the safety of the four 12F tanks at Brownsville
Junction. In addition, NuStar did not have documentation stating why overfill protection was not
required for each individual 12F tank, or site-specific procedures ensuring that the tank inlet
valves remain open during normal operations. Further, procedures did not describe how to
operate the pipeline system when one or more of the tanks is closed off from the surge
protection, such as during maintenance activities.
After PHMSA discovered the deficiency, NuStar added additional overfill protection to ensure
each of the four 12F tanks had overfill protection systems in place, which was completed on
April 4, 2023.
Under 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed
$257,664 per violation per day the violation persists, up to a maximum of $2,576,627 for a
related series of violations. For violation occurring on or after March 21, 2022 and before
January 6, 2023, the maximum penalty may not exceed $239,142 per violation per day the
violation persists, up to a maximum of $2,391,142 for a related series of violations. For violation
occurring on or after May 3, 2021 and before March 21, 2022, the maximum penalty may not
exceed $225,134 per violation per day the violation persists, up to a maximum of $2,251,334 for
a related series of violations. For violation occurring on or after January 11, 2021 and before
May 3, 2021, the maximum penalty may not 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.
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 correct the item identified in this letter. Failure to do so will result in
NuStar being subject to additional enforcement action.
No reply to this letter is required. If you choose to reply, in your correspondence please refer to
CPF 3-2023-019-WL. 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).
Sincerely,
Gregory A. Ochs
Director, Central Region, Office of Pipeline Safety
Pipeline and Hazardous Materials Safety Administration
Cc: Gary Koegeboehn
Vice President of Pipeline Operations
NuStar Pipeline Operating Partnership, L.P.
19003 IH-10 West
San Antonio, Texas 78257
gary.koegeboehn@nustarenergy.com
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