{"operation":"document","citation":"CPF 32024049NOPV","title":"FERRELLGAS — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"current","official":true,"published_on":"2024-07-02","effective_on":null,"summary":"OPEN notice of probable violation citing 192.1007(f), 192.11(b), 192.723(b), 192.807(b).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-32024049nopv.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-32024049nopv.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-32024049nopv","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/32024049NOPV","body":"Notice of Probable Violation involving FERRELLGAS. PHMSA's enforcement data identifies the cited regulations as 192.1007(f),  192.11(b),  192.723(b),  192.807(b). The case was opened on 2024-07-02 and is reported as open. Proposed civil penalty: $26,000. Assessed civil penalty: $7,400. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n32024049NOPV_Consent Agreement and Order_06182025 (23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_Consent%20Agreement%20and%20Order_06182025%20(23-264476).pdf\n\n32024049NOPV_Consent Agreement and Order_06182025_(23-264476)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_Consent%20Agreement%20and%20Order_06182025_(23-264476)_text.pdf\n\n32024049NOPV_Operator Response to Notice and Informal Settlement Discussion (SUPPLEMENTAL)_11112024_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_Operator%20Response%20to%20Notice%20and%20Informal%20Settlement%20Discussion%20(SUPPLEMENTAL)_11112024_(23-264476).pdf\n\n32024049NOPV_Operator Response to Notice and Request Time Extension Request Hearing Request Case File Informal Settlement Conference_07312024_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_Operator%20Response%20to%20Notice%20and%20Request%20Time%20Extension%20Request%20Hearing%20Request%20Case%20File%20Informal%20Settlement%20Conference_07312024_(23-264476).pdf\n\n32024049NOPV_Operator Withdrawal of Hearing Request_06232025_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_Operator%20Withdrawal%20of%20Hearing%20Request_06232025_(23-264476).pdf\n\n32024049NOPV_PCP PCO_07022024_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PCP%20PCO_07022024_(23-264476).pdf\n\n32024049NOPV_PCP PCO_07022024_(23-264476)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PCP%20PCO_07022024_(23-264476)_text.pdf\n\n32024049NOPV_PHC Hearing Rescheduled_03172025_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Rescheduled_03172025_(23-264476).pdf\n\n32024049NOPV_PHC Hearing Rescheduled_03172025_(23-264476)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Rescheduled_03172025_(23-264476)_text.pdf\n\n32024049NOPV_PHC Hearing Rescheduled_12162024_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Rescheduled_12162024_(23-264476).pdf\n\n32024049NOPV_PHC Hearing Rescheduled_12162024_(23-264476)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Rescheduled_12162024_(23-264476)_text.pdf\n\n32024049NOPV_PHC Hearing Scheduled_08232024_(23-264476).pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Scheduled_08232024_(23-264476).pdf\n\n32024049NOPV_PHC Hearing Scheduled_08232024_(23-264476)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/32024049NOPV/32024049NOPV_PHC%20Hearing%20Scheduled_08232024_(23-264476)_text.pdf\n\n32024049NOPV_Consent Agreement and Order_06182025_(23-264476)_text.pdf\n\nJune 18, 2025\nVIA MAIL TO: jamesferrell@ferrellgas.com; johnfegett@ferrellgas.com;\ndavepeters@ferrellgascom\nMr. James E. Ferrell\nExecutive Chairman/President\nFerrellgas, L.P.\nOne Liberty Plaza\nLiberty, Missouri 64068\nCPF No. 3-2024-049-NOPV\nDear Mr. Ferrell:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement between\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA) and Ferrellgas, L.P., which\nwas executed on June 16, 2025. Service of the Consent Order and Consent Agreement by\nelectronic mail is deemed effective upon the date of transmission and acknowledgement of receipt,\nor as otherwise provided under 49 CFR § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nTimothy Gaither\nActing Associate Administrator\nfor Pipeline Safety\nEnclosure: Consent Order and Consent Agreement\ncc: Dave Berrett, Acting Regional Director, PHMSA, Office of Pipeline Safety\nJordan Burns, Vice President – Legal, Ferrellgas, L.P.\nJohn Fegett, DOT Compliance Asst., Ferrellgas, L.P.\n\n\n\nRufus Youngblood, Director Safety, Ferrellgas, L.P., rufusyoungblood@ferrellgas.com\nMegan Haines, Counsel, Reed Smith, LLP, mhaines@reedsmith.com\nMary Balaster, Counsel, Reed Smith, LLP, mbalaster@reedsmith.com\nCONFIRMATION OF RECEIPT REQUESTED\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nFerrellgas, L.P., ) CPF No. 3-2024-049-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT ORDER\nBy letter dated July 2, 2024, pursuant to 49 CFR § 190.207, the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), issued a Notice of\nProbable Violation, Proposed Civil Penalty, and Proposed Compliance (Notice) to [Ferrellgas,\nL.P. (Ferrellgas or Respondent).\nIn response to the Notice, Respondent contested several of the alleged violations, the proposed\ncivil penalty, and the proposed compliance order, and requested a hearing (Response). Ferrellgas\nalso requested to meet informally with PHMSA to discuss the matters raised in its Response.\nRespondent and PHMSA (the Parties) subsequently met on September 12, 2024. As a result of\nthose discussions, the Parties have agreed to a Consent Agreement by which PHMSA makes\nfindings of violations for Notice Items 3 and 4, Respondent will pay a reduced civil penalty in\nthe amount of $7,400, and Respondent will carry out certain additional actions for Item 2. Item 1\nof the Notice was brought as a warning item and does not constitute a finding of violation.\nAccordingly, the Consent Agreement is hereby approved and incorporated by reference into this\nConsent Order issued pursuant to § 190.219. Ferrellgas is hereby ordered to comply with the\nterms of the Consent Agreement pursuant to its terms. Pursuant to 49 U.S.C. § 60101, et seq.,\nfailure to comply with this Consent Order may result in the assessment of civil penalties as set\nforth in 49 U.S.C. § 60122 and 49 CFR § 190.223, or in referral to the Attorney General for\nappropriate relief in a district court of the United States.\nThe terms and conditions of this Consent Order are effective upon service in accordance with\n49 CFR § 190.5.\n______________________ ______________________\nTimothy Gaither Date Issued\nActing Associate Administrator\nfor Pipeline Safety\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nFerrellgas, L.P. ) CPF No. 3-2024-049-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT AGREEMENT\nFrom May 15 through May 19, 2023, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of\nTitle 49, United States Code (U.S.C.), inspected Ferrellgas, L.P.’s (Ferrellgas or Respondent)\npetroleum gas system in Green Bay, Wisconsin.\nAs a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,\nby letter dated July 2, 2024, a Notice of Probable Violation, Proposed Civil Penalty, and\nProposed Compliance Order (Notice), which also included a warning pursuant to 49 CFR §\n190.205. In accordance with 49 CFR § 190.207, the Notice proposed finding that Ferrellgas\ncommitted three violations of 49 CFR Part 192 (Items 2 – 4), proposed ordering Respondent to\ntake certain measures to correct the alleged violations and proposed a civil penalty of $26,000.\nOne probable violation (Item 1) was brought as a warning, advising the operator to correct the\nprobable violation or face potential future enforcement action.\nFerrellgas responded to the Notice by letter dated July 31, 2024 (Response). Respondent\ncontested several of the alleged violations, the proposed civil penalty, and the proposed\ncompliance order, and requested a hearing. Ferrellgas also requested to meet informally with\nPHMSA to discuss the matters raised in its Response. Respondent submitted an additional\nresponse on November 11, 2024.\nPHMSA and Respondent (the Parties) met to discuss the issues raised in the Response. The\nParties have agreed to a Consent Agreement by which PHMSA makes findings of violations for\nItems 3 and 4 as alleged in the Notice, PHMSA reconsiders certain other items, Respondent will\npay a reduced civil penalty in the amount of $7,400, and Respondent will complete certain\ncompliance actions.\n\n\n\nHaving agreed that settlement of this proceeding will avoid further administrative proceedings or\nlitigation and will serve the public interest by promoting safety and protection of the\nenvironment, pursuant to 49 U.S.C. § 60101, et seq. and 49 CFR Part 190, and upon consent and\nagreement, the Parties hereby agree as follows:\nI. General Provisions\n1. Respondent acknowledges that as the operator of the pipeline facilities subject to\nthe Notice, Respondent and its referenced pipeline facilities are subject to the jurisdiction of the\nFederal pipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and administrative\norders issued thereunder. For purposes of this Consent Agreement (Agreement), Respondent\nacknowledges that it received proper notice of PHMSA’s action in this proceeding and that the\nNotice states claims upon which relief may be granted pursuant to 49 U.S.C. § 60101, et seq.,\nand the regulations and orders issued thereunder.\n2. After Respondent returns this signed Agreement to PHMSA, the Agency’s\nrepresentative will present it to the Associate Administrator for Pipeline Safety, recommending\nthat the Associate Administrator adopt the terms of this Agreement by issuing an administrative\norder (Consent Order) incorporating the terms of this Agreement. The terms of this Agreement\nconstitute an offer of settlement until accepted by the Associate Administrator. Once accepted,\nthe Associate Administrator will issue a Consent Order incorporating the terms of this Agreement.\n3. Upon the Effective Date of this Agreement, Respondent consents to the issuance\nof the Consent Order and waives any further procedural requirements with respect to its\nissuance. Upon the Effective Date of this Agreement, Respondent agrees to waive all rights to\ncontest the adequacy of notice, or the validity of the Consent Order or this Agreement, including\nall rights to administrative or judicial hearings or appeals, except for the Dispute Resolution\nprovisions set forth herein. Upon the Effective Date of this Agreement, Respondent agrees to\nwithdraw its request for an administrative hearing regarding the Notice.\n4. This Agreement shall apply to and be binding upon PHMSA and Respondent, its\nofficers, directors, and employees, and its successors, assigns, or other entities or persons\notherwise bound by law. Respondent agrees to provide a copy of this Agreement and any\nincorporated work plans and schedules to all of Respondent’s officers, employees, and agents\nwhose duties might reasonably include compliance with this Agreement.\n5. This Agreement constitutes the final, complete and exclusive agreement and\nunderstanding between the Parties with respect to the settlement embodied in this Agreement.\nThe Parties acknowledge that there are no representations, agreements or understandings relating\nto settlement other than those expressly contained in this Agreement, except that the terms of this\nAgreement may be construed by reference to the Notice.\n6. Except as set forth herein, nothing in this Agreement affects or relieves\nRespondent of its responsibility to comply with all applicable requirements of the Federal\npipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and orders issued\nthereunder. Nothing in this Agreement alters PHMSA's right of access, entry, inspection, and\n\n\n\ninformation gathering or PHMSA's authority to bring enforcement actions against Respondent\npursuant to the Federal pipeline safety laws, the regulations and orders issued thereunder, or any\nother provision of Federal or State law.\n7. For all transfers of ownership or operating responsibility of Respondent’s pipeline\nsystem referenced herein, Respondent will provide a copy of this Agreement to the prospective\ntransferee at least 30 days prior to such transfer. Respondent will provide written notice of the\ntransfer to the Director no later than 60 days after the transfer occurs.\n8. This Agreement does not waive or modify any Federal, State, or local laws or\nregulations that are applicable to Respondent’s pipeline systems. This Agreement is not a\npermit, or a modification of any permit, under any Federal, State, or local laws or regulations.\nRespondent remains responsible for achieving and maintaining compliance with all applicable\nFederal, State, and local laws, regulations and permits.\n9. This Agreement does not create rights in, or grant any cause of action to, any third\nparty not party to this Agreement. The U.S. Department of Transportation is not liable for any\ninjuries or damages to persons or property arising from acts or omissions of Respondent or its\nofficers, employees, or agents carrying out the work required by this Agreement. The U. S.\nDepartment of Transportation, its officers, employees, agents, and representatives shall not be\nliable for any cause of action arising from any acts or omissions of Respondent or its contractors\nin carrying out any work required by this Agreement.\n10. This Agreement does not constitute a finding of violation of any other federal law\nor regulation and may not be used in any civil proceeding of any kind as evidence or proof of\nany fact, fault or liability, or as evidence of a violation of any law, rule, regulation, or\nrequirement, except in a proceeding to enforce the provisions of this Agreement or for the\npurpose of calculating civil penalties for future violations that may occur within five years of the\nEffective Date.\n11. Respondent does not admit or deny any of the allegations in the Notice but agrees,\nfor purposes of this Agreement, to complete the actions specified in Sections IV, V, and VI of\nthis Agreement and to abide by the terms of this Agreement. The agreements, statements,\nstipulations, findings and actions described herein are made for the purpose of settling this matter\nand they shall not be used for any purpose or be pursued by any person, other than any future\nenforcement proceeding brought by PHMSA related to this Agreement or for the purpose of\ncalculating civil penalties for future violations that may occur within five years of the Effective\nDate.\nII. Findings of Violation:\n12. Item 3 - 49 CFR § 192.807(b): The Notice alleged Ferrellgas failed to retain an\nindividual’s plastic joining qualification record for the required five-year period. PHMSA finds\na violation of 49 CFR § 192.807(b).\n13. Item 4 - 49 CFR § 192.1007(f): The Notice alleged Ferrellgas failed to determine\nan appropriate time-period for conducting a periodic evaluation of its integrity management plan\n\n\n\nand failed to conduct a complete program re-evaluation within the required five-year period.\nPHMSA finds a violation of 49 CFR § 192.1007(f).\n14. Item 3 and 4 will be considered by PHMSA as prior offenses in any future\nPHMSA enforcement action taken against Respondent for the purposes of calculating civil\npenalties for future violations that may occur within five years of the Effective Date.\nIII. Warning Item:\n15. Item 1 - 49 CFR § 192.11(b): The Notice alleged that Ferrellgas failed to ensure\nthat two container nameplates at the Heritage Lake System comported with NFPA-58\n(incorporated by reference, see § 192.7), specifically NFPA 58 § 5.2.8.32(B). This Item was\nbrought as a warning Item and does not constitute a finding of violation.\nIV. Notice of Amendment:\n16. Item 2 - 49 CFR § 192.723(b): The Notice alleged that Ferrellgas failed to have a\nleakage control program of a type and scope that was determined by the nature of operations,\nspecifically operating subsurface petroleum gas pipelines. Following discussion, the Parties\nagree that this Item should be a Notice of Amendment item, which will not constitute a finding\nof violation for any purpose.\n17. With respect to this Item, Respondent agrees to amend its procedures to carry out\na dual track leakage survey testing program on all six of its jurisdictional systems. Ferrellgas\nshall carry out the dual track testing program by performing its leakage surveys first using (a) a\nhydrogen flame ionization (“FI”) gas detector, coupled with pinpointing and grading with a\nCombustible Gas Indicator (“CGI”) (“Current Methodology”) and then (b) CGI with barholes at\nintervals of 20 feet or less across the system (“CGI Barhole Methodology”). The CGI Barhole\nMethodology shall be performed following, as applicable to Ferrellgas’ systems, the\nmethodology described in ANSI GPTC 2380.1 2022, The Guide for Gas Transmission,\nDistribution, and Gathering Pipeline Systems, Guide material Appendix G 192 11A, section\n4.4(a). Respondent shall continue this dual track testing program until two underground leaks\nare detected by the CGI Barhole Methodology. Both methods must follow Ferrellgas\nprocedures, be conducted by qualified individuals, and use calibrated and tested detection\ninstruments.\n18. Within 90 days of detecting the second underground leak, Ferrellgas shall\ncompare the methods and resulting data from the dual track testing program. If the Current\nMethodology had the same results as the CGI Barhole Methodology, demonstrating that both\nmethods are equally capable of detecting leaks, Ferrellgas may stop the dual track testing\nprogram and revert to using the Current Methodology. If the data shows that the CGI Barhole\nMethodology identified leaks that were undetected by the Current Methodology, Ferrellgas shall\namend its operating procedures, within 90 days of the data comparison, to use the CGI Barhole\nMethodology for its leakage surveys. Alternatively, at any time Ferrellgas may voluntarily elect\nto cease the dual track testing program and only perform the CGI Barhole Methodology and will\nnotify PHMSA of its decision to do so within 90 days of the decision.\n\n\n\n19. Until the completion of the process described in paragraphs 17 and 18 above,\nRespondent must provide bi-annual updates, every six months from the Effective Date of this\nAgreement, of its progress to the Director, PHMSA Central Region, Office of Pipeline Safety.\nWithin 90 days of the completion of the process described in paragraphs 17 and 18 above,\nFerrellgas must notify the Director of the results, and provide a copy of the data comparison\ndescribed in paragraph 17 above and a copy of any amended procedures for review.\nV. Civil Penalty:\n20. Item 3: The Notice proposed assessing a civil penalty in the amount of $26,000\nfor Item 3. Respondent requested a reduction of the proposed civil penalty. PHMSA agrees that\na reduction to the proposed civil penalty is appropriate based on reconsideration of the “Good\nFaith” criteria. Based on additional information received from Respondent during informal\ndiscussion, Ferrellgas had a reasonable justification for its non-compliance. Respondent agrees\nto pay a reduced civil penalty in the amount of $7,400 for the violation in Item 3.\n21. Respondent will pay a total reduced civil penalty in the amount of $7,400,\npursuant to the payment instructions at 49 CFR § 190.227(a), to be paid in full no later than 20\ndays from the Effective Date of this Agreement.\nVI. Compliance Order:\n22. Item 3: The Notice did not propose a compliance order to address the non-\ncompliance alleged in Item 3. However, as a product of the informal consultations, the Parties\nagree that Ferrellgas will amend its operating procedures to require an annual audit of its\nOperator Qualification (OQ) records to ensure they are retained pursuant to the requirements of §\n192.807(b). As such, Respondent agrees to undertake the following corrective measure:\nFerrellgas must amend its operating procedures to require an annual audit of its OQ\nrecords to ensure they are retained pursuant to the requirements of § 192.807(b), and\nprovide documentation of the amendment to the Director, PHMSA Central Region, Office\nof Pipeline Safety, within 60 days of receipt of the Effective Date of this Agreement.\n23. Item 4: The Notice proposed certain compliance order actions to address the non-\ncompliance alleged in Item 4. Respondent did not contest the Proposed Compliance Order but\nrequested additional time to carry out the proposed actions. The Parties agree that the request is\nreasonable and appropriate. As such, Respondent agrees to perform the following corrective\nmeasures:\nFerrellgas must re-evaluate its distribution integrity management program (DIMP) as\nrequired by § 192.1007(f) and provide the documentation to the Director, PHMSA Central\nRegion, Office of Pipeline Safety, within 90 days of receipt of the Effective Date of this\nAgreement.\n\n\n\nVII. Enforcement:\n24. This Agreement is subject to all enforcement authorities available to PHMSA\nunder 49 U.S.C. § 60101, et seq., and 49 CFR Part 190, including administrative civil penalties\nunder 49 U.S.C. § 60122, of up to $272,926 per violation for each day the violation continues and\nreferral of the case to the Attorney General for judicial enforcement, if PHMSA determines that\nRespondent is not complying with the terms of this Agreement in accordance with the\ndeterminations made by the Director, or in accordance with decisions of the Associate\nAdministrator if resolved pursuant to the Dispute Resolution process herein. The maximum civil\npenalty amounts are adjusted annually for inflation. See 49 CFR § 190.223. All work plans and\nassociated schedules set forth or referenced in Section VI (Compliance Order) are automatically\nincorporated into this Agreement and are enforceable in the same manner.\nVIII. Dispute Resolution:\n25. The Director and Respondent will informally attempt to resolve any disputes\narising under this Agreement, including, but not limited to, any decision of the Director under the\nterms of Sections VI (Compliance Order). If Respondent and the Director are unable to\ninformally resolve the dispute within 15 calendar days after the dispute is first raised, in writing,\nto the Director, Respondent may submit a written request for a determination resolving the\ndispute from the Associate Administrator. Such request must be made in writing and provided to\nthe Director, counsel for the Central Region, and to the Associate Administrator, no later than 10\ncalendar days from the 15-day deadline for informal resolution referenced in this paragraph.\nAlong with its request, Respondent must provide the Associate Administrator with all\ninformation Respondent believes is relevant to the dispute. Decisions of the Associate\nAdministrator under this paragraph will constitute final agency action subject to judicial review\npursuant to 49 U.S.C. § 60119. The existence of a dispute and PHMSA’s consideration of\nmatters placed in dispute will not excuse, toll, or suspend any term or timeframe for completion\nof any work to be performed under this Agreement during the pendency of the dispute resolution\nprocess. However, PHMSA will grant reasonable extensions upon written request by\nRespondent.\nIX. Effective Date:\n26. The term “Effective Date,” as used herein, is the date on which the Consent Order\nis issued by the Associate Administrator incorporating the terms of this Agreement.\nX. Recordkeeping and Information Disclosure:\n27. Unless otherwise required in this Agreement, Respondent agrees to maintain\nrecords demonstrating compliance with all requirements of this Agreement for a period of at\nleast five (5) years following completion of all work to be performed, unless a longer period of\ntime is required pursuant to 49 CFR parts 190-199. For any reports, plans, or other deliverables\nrequired to be submitted to PHMSA pursuant to this Agreement, Respondent may assert a claim\nof business confidentiality or other protections applicable to the release of information by\nPHMSA, covering part or all of the information required to be submitted to PHMSA pursuant to\nthis Agreement in accordance with 49 CFR Part 7. Respondent must mark the claim of\n\n\n\nconfidentiality in writing on each page, and include a statement specifying the grounds for each\nclaim of confidentially. PHMSA determines release of any information submitted pursuant to\nthis Agreement in accordance with 49 CFR Part 7, the Freedom of Information Act, 5 U.S.C. §\n552, DOT and PHMSA policies, and other applicable regulations and Executive Orders.\nXI. Modification:\n28. The terms of this Agreement may be modified by mutual agreement of the Parties.\nSuch modifications must be in writing and signed by both parties.\nXII. Termination:\n29. This Agreement will remain in effect until the Civil Penalty in Section V is paid\nin full, and the Compliance Order in Section VI and the actions specified in Section IV are\nsatisfied, as determined by the Director, PHMSA Central Region, Office of Pipeline Safety, and\nconfirmed in writing. Nothing in this Agreement prevents Respondent from completing any of\nthe obligations earlier than the deadlines provided for in this Agreement.\nXIII. Ratification:\n30. The Parties’ undersigned representatives certify that they are fully authorized to\nenter into the terms and conditions of this Agreement and to execute and legally bind such party\nto this document.\n31. The Parties hereby agree to all findings, conditions, and terms of this Agreement.\n[Signature Lines on Following Page]\n\n\n\nFor Ferrellgas, L.P.:\n___________________________________\n________________________\nDate\nFor PHMSA:\n________________________________________\nDirector, PHMSA Central Region, Office of Pipeline Safety\n\n32024049NOPV_PHC Hearing Rescheduled_12162024_(23-264476)_text.pdf\n\nDate: December 16, 2024\nFrom: Joseph St. Peter\nTo: File\nRe: Continuance of Informal Hearing in CPF No. 3-2024-049-NOPV (Ferrellgas, LP)\nBy electronic mail dated December 10, 2024, Megan Haines, Counsel for Ferrellgas, LP,\nsubmitted a request for a continuance of the informal hearing in this case previously scheduled to\nbe held on January 14, 2025. Ferrellgas specified dates in March 2025 on which they and\nPHMSA’s Central Region were available to conduct the hearing. Central Region has indicated it\ndoes not oppose Ferrellgas’ request for a continuance. I grant the request for a continuance of\nthe hearing. The informal hearing in this case will be held via videoconference on March 27,\n2025, at 8:30 a.m. Central time. Pre-hearing submissions under 49 CFR § 190.211(d) are due no\nlater than March 17, 2025.\n\n32024049NOPV_Consent Agreement and Order_06182025 (23-264476).pdf\n\nU.S. Department\nof Transportation\nWashington, DC 20590\n1200 New Jersey Avenue, SE\nMaterials Safety\nPipeline and Hazardous\nAdministration\nJune 18, 2025\nVIA MAIL TO: jamesferrell@ferrellgas.com; johnfegett@ferrellgas.com;\ndavepeters@ferrellgascom\nMr. James E. Ferrell\nExecutive Chairman/President\nFerrellgas, L.P.\nOne Liberty Plaza\nLiberty, Missouri 64068\nCPF No. 3-2024-049-NOPV\nDear Mr. Ferrell:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement between\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA) and Ferrellgas, L.P., which\nwas executed on June 16, 2025. Service of the Consent Order and Consent Agreement by\nelectronic mail is deemed effective upon the date of transmission and acknowledgement of receipt,\nor as otherwise provided under 49 CFR § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nTIMOTHY MICHAEL MICHAEL GAITHER\nDigitally signed by TIMOTHY\nGAITHER\n-04'00'\nDate: 2025.06.18 15:16:30\nTimothy Gaither\nActing Associate Administrator\nfor Pipeline Safety\nEnclosure: Consent Order and Consent Agreement\nCC:\nDave Berrett, Acting Regional Director, PHMSA, Office of Pipeline Safety\nJordan Burns, Vice President - Legal, Ferrellgas, L.P.\nJohn Fegett, DOT Compliance Asst., Ferrellgas, L.P.\n\n\n\nRufus Youngblood, Director Safety, Ferrellgas, L.P., rufusyoungblood@ferrellgas.com\nMegan Haines, Counsel, Reed Smith, LLP, mhaines@reedsmith.com\nMary Balaster, Counsel, Reed Smith, LLP, mbalaster@reedsmith.com\nCONFIRMATION OF RECEIPT REQUESTED\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n)\nIn the Matter of\nFerrellgas, L.P.,\nCPF No. 3-2024-049-NOPV\nRespondent.\nCONSENT ORDER\nBy letter dated July 2, 2024, pursuant to 49 CFR § 190.207, the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), issued a Notice of\nProbable Violation, Proposed Civil Penalty, and Proposed Compliance (Notice) to Ferrellgas,\nL.P. (Ferrellgas or Respondent).\nIn response to the Notice, Respondent contested several of the alleged violations, the proposed\ncivil penalty, and the proposed compliance order, and requested a hearing (Response). Ferrellgas\nalso requested to meet informally with PHMSA to discuss the matters raised in its Response.\nRespondent and PHMSA (the Parties) subsequently met on September 12, 2024. As a result of\nthose discussions, the Parties have agreed to a Consent Agreement by which PHMSA makes\nfindings of violations for Notice Items 3 and 4, Respondent will pay a reduced civil penalty in\nthe amount of $7,400, and Respondent will carry out certain additional actions for Item 2. Item 1\nof the Notice was brought as a warning item and does not constitute a finding of violation.\nAccordingly, the Consent Agreement is hereby approved and incorporated by reference into this\nConsent Order issued pursuant to § 190.219. Ferrellgas is hereby ordered to comply with the\nterms of the Consent Agreement pursuant to its terms. Pursuant to 49 U.S.C. § 60101, et seq.,\nfailure to comply with this Consent Order may result in the assessment of civil penalties as set\nforth in 49 U.S.C. § 60122 and 49 CFR § 190.223, or in referral to the Attorney General for\nappropriate relief in a district court of the United States.\nThe terms and conditions of this Consent Order are effective upon service in accordance with\n49 CFR § 190.5.\nTIMOTHY MICHAEL MICHAEL GAITHER\nDigitally signed by TIMOTHY\nGAITHER\nDate: 2025.06.18 15:16:08\n-04'00'\n6/18/2025\nTimothy Gaither\nDate Issued\nActing Associate Administrator\nfor Pipeline Safety\n\n\n\nCPF No. 3-2024-049-NOPV\nPage 1\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\nIn the Matter of )\nFerrellgas, L.P. ) CPF No. 3-2024-049-NOPV\n)\n)\n)\nRespondent. )\n____________________________________)\nCONSENT AGREEMENT\nFrom May 15 through May 19, 2023, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter 601 of\nTitle 49, United States Code (U.S.C.), inspected Ferrellgas, L.P.’s (Ferrellgas or Respondent)\npetroleum gas system in Green Bay, Wisconsin.\nAs a result of the inspection, the Director, Central Region, OPS (Director), issued to Respondent,\nby letter dated July 2, 2024, a Notice of Probable Violation, Proposed Civil Penalty, and\nProposed Compliance Order (Notice), which also included a warning pursuant to 49 CFR §\n190.205. In accordance with 49 CFR § 190.207, the Notice proposed finding that Ferrellgas\ncommitted three violations of 49 CFR Part 192 (Items 2 – 4), proposed ordering Respondent to\ntake certain measures to correct the alleged violations and proposed a civil penalty of $26,000.\nOne probable violation (Item 1) was brought as a warning, advising the operator to correct the\nprobable violation or face potential future enforcement action.\nFerrellgas responded to the Notice by letter dated July 31, 2024 (Response). Respondent\ncontested several of the alleged violations, the proposed civil penalty, and the proposed\ncompliance order, and requested a hearing. Ferrellgas also requested to meet informally with\nPHMSA to discuss the matters raised in its Response. Respondent submitted an additional\nresponse on November 11, 2024.\nPHMSA and Respondent (the Parties) met to discuss the issues raised in the Response. The\nParties have agreed to a Consent Agreement by which PHMSA makes findings of violations for\nItems 3 and 4 as alleged in the Notice, PHMSA reconsiders certain other items, Respondent will\npay a reduced civil penalty in the amount of $7,400, and Respondent will complete certain\ncompliance actions.\n\n\n\nHaving agreed that settlement of this proceeding will avoid further administrative proceedings\nor litigation and will serve the public interest by promoting safety and protection of the\nenvironment, pursuant to 49 U.S.C. § 60101, et seq. and 49 CFR Part 190, and upon consent and\nagreement, the Parties hereby agree as follows:\nI. General Provisions\n1.\nRespondent acknowledges that as the operator of the pipeline facilities subject to\nthe Notice, Respondent and its referenced pipeline facilities are subject to the jurisdiction of the\nFederal pipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and administrative\norders issued thereunder. For purposes of this Consent Agreement (Agreement), Respondent\nacknowledges that it received proper notice of PHMSA's action in this proceeding and that the\nNotice states claims upon which relief may be granted pursuant to 49 U.S.C. § 60101, et seq.,\nand the regulations and orders issued thereunder.\n2.\nAfter Respondent retuns this signed Agreement to PHMSA, the Agency's\nrepresentative will present it to the Associate Administrator for Pipeline Safety, recommending\nthat the Associate Administrator adopt the terms of this Agreement by issuing an administrative\norder (Consent Order) incorporating the terms of this Agreement. The terms of this Agreement\nconstitute an offer of settlement until accepted by the Associate Administrator. Once accepted,\nthe Associate Administrator will issue a Consent Order incorporating the terms of this Agreement.\n3.\nUpon the Effective Date of this Agreement, Respondent consents to the issuance\nof the Consent Order and waives any further procedural requirements with respect to its\nissuance. Upon the Effective Date of this Agreement, Respondent agrees to waive all rights to\ncontest the adequacy of notice, or the validity of the Consent Order or this Agreement, including\nall rights to administrative or judicial hearings or appeals, except for the Dispute Resolution\nprovisions set forth herein. Upon the Effective Date of this Agreement, Respondent agrees to\nwithdraw its request for an administrative hearing regarding the Notice.\nThis Agreement shall apply to and be binding upon PHMSA and Respondent, its\nofficers, directors, and employees, and its successors, assigns, or other entities or persons\notherwise bound by law. Respondent agrees to provide a copy of this Agreement and any\nincorporated work plans and schedules to all of Respondent's officers, employees, and agents\nwhose duties might reasonably include compliance with this Agreement.\n5.\nThis Agreement constitutes the final, complete and exclusive agreement and\nunderstanding between the Parties with respect to the settlement embodied in this Agreement.\nThe Parties acknowledge that there are no representations, agreements or understandings relating\nto settlement other than those expressly contained in this Agreement, except that the terms of this\nAgreement may be construed by reference to the Notice.\n6.\nExcept as set forth herein, nothing in this Agreement affects or relieves\nRespondent of its responsibility to comply with all applicable requirements of the Federal\npipeline safety laws, 49 U.S.C. § 60101, et seq., and the regulations and orders issued\nthereunder. Nothing in this Agreement alters PHMSA's right of access, entry, inspection, and\n\n\n\ninformation gathering or PHMSA's authority to bring enforcement actions against Respondent\npursuant to the Federal pipeline safety laws, the regulations and orders issued thereunder, or any\nother provision of Federal or State law.\n7. For all transfers of ownership or operating responsibility of Respondent's pipeline\nsystem referenced herein, Respondent will provide a copy of this Agreement to the prospective\ntransferee at least 30 days prior to such transfer. Respondent will provide written notice of the\ntransfer to the Director no later than 60 days after the transfer occurs.\nThis Agreement does not waive or modify any Federal, State, or local laws or\nregulations that are applicable to Respondent's pipeline systems. This Agreement is not a permit,\nor a modification of any permit, under any Federal, State, or local laws or regulations.\nRespondent remains responsible for achieving and maintaining compliance with all applicable\nFederal, State, and local laws, regulations and permits.\n9.\nThis Agreement does not create rights in, or grant any cause of action to, any third\nparty not party to this Agreement. The U.S. Department of Transportation is not liable for any\ninjuries or damages to persons or property arising from acts or omissions of Respondent or its\nofficers, employees, or agents carrying out the work required by this Agreement. The U. S.\nDepartment of Transportation, its officers, employees, agents, and representatives shall not be\nliable for any cause of action arising from any acts or omissions of Respondent or its contractors\nin carrying out any work required by this Agreement.\n10. This Agreement does not constitute a finding of violation of any other federal law\nor regulation and may not be used in any civil proceeding of any kind as evidence or proof of any\nfact, fault or liability, or as evidence of a violation of any law, rule, regulation, or requirement,\nexcept in a proceeding to enforce the provisions of this Agreement or for the purpose of\ncalculating civil penalties for future violations that may occur within five years of the Effective\nDate.\n11. Respondent does not admit or deny any of the allegations in the Notice but agrees,\nfor purposes of this Agreement, to complete the actions specified in Sections IV, V, and VI of\nthis Agreement and to abide by the terms of this Agreement. The agreements, statements,\nstipulations, findings and actions described herein are made for the purpose of settling this matter\nand they shall not be used for any purpose or be pursued by any person, other than any future\nenforcement proceeding brought by PHMSA related to this Agreement or for the purpose of\ncalculating civil penalties for future violations that may occur within five years of the Effective\nDate.\nII. Findings of Violation:\n12. Item 3 - 49 CFR § 192.807(b): The Notice alleged Ferrellgas failed to retain an\nindividual's plastic joining qualification record for the required five-year period. PHMSA finds\na violation of 49 CFR § 192.807(b).\n13. Item 4 - 49 CFR § 192.1007(f): The Notice alleged Ferrellgas failed to determine\nan appropriate time-period for conducting a periodic evaluation of its integrity management plan\n\n\n\nand failed to conduct a complete program re-evaluation within the required five-year period.\nPHMSA finds a violation of 49 CFR § 192.1007(f).\n14. Item 3 and 4 will be considered by PHMSA as prior offenses in any future\nPHMSA enforcement action taken against Respondent for the purposes of calculating civil\npenalties for future violations that may occur within five years of the Effective Date.\nIII. Warning Item:\n15. Item 1 - 49 CFR § 192.11(b): The Notice alleged that Ferrellgas failed to ensure\nthat two container nameplates at the Heritage Lake Syste","truncated":true,"body_characters":52682}