ENTERPRISE PRODUCTS OPERATING LLC — Notice of Probable Violation

420045011_Final Order_10182004.pdf, page 1Official PDF?} U.S.Deporlment of Tronsportotion Reseorch ond Speciol Progroms Adminislrotion 400 Seventh Sl , S W Washrnglon, D C 20590 OcT 1 I ;.;, Mr. Charles M. Brabson Vice President - Engineering Enterprise Products Operating L.P. P.O. Box 4324 Houston, TX 77210-4324 Re: CPF No. 4-2004-50i i Dear Mr. Brabson: Enclosed is the Final Order issued by the Associate Administrator for Pipeline Safety in the above-referenced case. It makes a finding ofviolation, assesses a civil penalty, and specifies actions to be taken to comply with the pipeline safety regulations. I acknowledge your wire transfer dated May 14, 2004 inthe amount of $25,000 as payment in full of the civil penalty assessed in the Final Order. When the terms of the Compliance Order are completed, as determined by the Director, Southwest Region, this enforcement action will be closed. Your receipt of the Final Order constitutes service of that document under 49 C.F.R. $ 190.5. Sincerely, N t/l )\ ah Y L4--:- James Reynolds Pipeline Compliance Registry Office of Pipeline SafetY Enclosure#

420045011_Final Order_10182004.pdf, page 2DEPARTMENT OF TRANSPORTATION RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION OFFICE OF PIPELINE SAFETY WASHINGTON. DC 20590 In the Matter of Enterprise Products Operating L.P., Respondent CPF No. 4-2004-5011 FINAL ORDER On September 15-19 and October 6-l0,2003,pursuantto 49 U.S.C. $ 60117, representatives of the Office of Pipeline Safety (OPS) conducted an on-site pipeline safety inspection of Respondent's integrity management program @yIP) in Houston, Texas. As a result of the inspection, the Director, Southwest Region, OPS, issued to Respondent, by letter dated April 15,2004, a Notice of Probable Violation, Proposed Civil Penalty, and Proposed Compliance Order (Notice). In accordance with 49 C.F.R. $ 190.207, the Notice proposed finding that Respondent had committed a violation of 49 C.F.R. $ 195.452(b)(2) and proposed assessing a civil penalty of $25,000 for the alleged violation. The Notice also proposed that Respondent take certain measures to correct the alleged violation. Respondent responded to the Notice by letter dated May 14,2004. Respondent did not contest the allegation of violation and agreed to paythe proposed civil penalty. Respondent also agreed to the proposed compliance terms. Respondent submitted a wire transfer in the amount of the proposed civil penalty ($25,000) on May l4,2004,waiving further right to respond and authorizing the entry of this Final Order. Pursuant to $ 190.209(a)(1) and 49 U.S.C. 5 60122,I find that Respondent violated the following section of 49 C.F.R.Part I95, as more fully described in the Notice: 49 C.F.R. $ 195.452(b)(2) - failing to implement the process documented in Respondent's IMP for identifying each pipeline segment that could affect a high consequence area (HCA). Respondent's IMP required the utilization of air dispersion (BERC) and liquid pool spread (BTS) analyses for identifying pipeline segments that could affect an HCA, but Respondent did not foilow ttre proce,Jure during the segment tl'entification process. Specifically, the results of BERC and BTS analyses were not applied to buffer distances used to define indirect impacts to an HCA. For example, a 300-foot buffer was shown around the Lou-Tex pipeline, but a 1200 to 1800-foot buffer would be derived from BERC and BTS analyses. As a result. some segments that could affect an HCA were not properly identified'#

420045011_Final Order_10182004.pdf, page 32 This finding of violation will be considered a prior offense in any subsequent enforcement action taken against Respondent. I assess the civil penalty of $25,000 , akeady paid by Respondent. COMPLIANCE ORDER The Notice proposed a compliance order for the violation of 49 C.F.R. 5 192.452(bX2). Under 49 U.S.C. $ 60118(a), eachperson who engages in the transportation of hazardous liquids or who owns or operates a pipeline facility is required to comply with the applicable safety standards established under Chapter 601. Pursuant to the authority of 49 U.S.C. g 6011.8(b) and.49 C.F.R. S 190.217, Respondent is ordered to take the following actions to ensure compliance with the pipeline safety regulations applicable to its operations. Respondent must - 1 . Document the entire proe ess currently in place to identif,. pipeline segrnents that could affect an HCA. Include adequate technicaljustification for the determination of buffer zones. 2. Apply the segment identification process detailed in Item 1 to all pipeline systems included in Respondent's MP. 3. Submit the results of the applicationof fhe segment identification process inltem 2. 4. Complete each of the above items within 30 days following receipt of this order and submit documentation to the Director, Southwest Region, Offrce of Pipeline Safety, Research and Special Programs Administration, 8701 South Gessner Drive, Suite 1110, Houston, Texas 77074-2948. The Regional Director may grant an extension oftime to comply with any of the required items upon a written request by the Respondent demonstrating good cause for an extension. Failure to complywith this Final Order may result in the assessment of civil penalties of up to $100,000 per violation per day, or in the referral of the case for judicial enforcement. Under 49 C.F.R. $ 190.215, Respondent has a right to submit a Petition for Reconsideration of this Final Order. The petition must be received within 20 days of Respondent's receipt of this Final Order and must contain a brief statement of the issue(s). The terms of the order, including any required corrective action, remain in full effect unless the Associate Administrator, upon request, grants a stay. The terms and conditions of this Final Order are effective on receipt. t€#Jr,^ f+ Ls*-xs H-t, Stacey Gerard Associate Administrator for Pipeline Safety n n ? t , 1 . 1 { rJLl I d :.1o,,,t.. Date Issued#