{"operation":"document","citation":"CPF 420065041","title":"PHILLIPS 66 PIPELINE LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2006-10-23","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.509(d).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420065041.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420065041.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420065041","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420065041","body":"Notice of Probable Violation involving PHILLIPS 66 PIPELINE LLC. PHMSA's enforcement data identifies the cited regulation as 195.509(d). The case was opened on 2006-10-23 and is reported as closed as of 2010-01-12. Proposed civil penalty: $26,000. Assessed civil penalty: $26,000. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420065041_FinalOder_01292009.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420065041/420065041_FinalOder_01292009.pdf\n\n420065041_finaloder_01292009_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420065041/420065041_finaloder_01292009_text.pdf\n\n420065041_FinalOrder_01292009_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420065041/420065041_FinalOrder_01292009_text.pdf\n\n420065041_FinalOrder_01292009_text.pdf\n\nMs. Meg A. Yeage\nPresident\nConocoPhillips Pipeline Company\n600 North Dairy Ashford\nTA 2010\nHouston, TX 77079\nRe: CPF No. 4-2006-5041\nDear Ms. Yeage:\nEnclosed is the Final Order issued by Pipeline and Hazardous Materials Safety Administration in\nthe above-referenced case. It makes a finding of violation, assesses a civil penalty, and specifies\nactions that ConocoPhillips needs to take in order to comply with the pipeline safety regulations.\nI acknowledge receipt of and accept your wire transfer for $26,000 as payment in full of the civil\npenalty assessed in the Final Order. When the terms of the compliance order have been\ncompleted, as determined by the Director, Southwest Region, this enforcement action will be\nclosed. Your receipt of the Final Order constitutes service of that document under 49 C.F.R.\n§ 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nJeffrey D. Wiese\nAssociate Administrator\nfor Pipeline Safety\nEnclosure\ncc: Mr. R. M. Seeley, Director, Southwest Region, OPS\nVIA CERTIFIED MAIL – RETURN 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 )\nConocoPhillips Pipeline Company, ) CPF No. 4-2006-5041\n)\n)\n)\nRespondent. )\n____________________________________)\nFINAL ORDER\nOn April 4–5, 2006, pursuant to 49 U.S.C. § 60117, representatives of the Pipeline and\nHazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS),\nconducted an on-site pipeline safety inspection of the Operator Qualification (OQ) Plan of\nConocoPhillips Pipeline Company (ConocoPhillips or Respondent) at the company’s offices in\nPonca City, Oklahoma. ConocoPhillips operates pipeline facilities transporting crude oil,\npropane, and refined petroleum products such as gasoline, diesel and jet fuel, throughout the\nUnited States. As a result of that inspection, on October 23, 2006, in accordance with 49 C.F.R.\n§ 190.207, the Director, Southwest Region (Director), issued to Respondent a Notice of Probable\nViolation, Proposed Civil Penalty and Proposed Compliance Order (Notice). The Notice\nproposed finding that Respondent violated 49 C.F.R. § 195.509(d) and assessing a civil penalty\nof $26,000 for the alleged violation. The Notice also proposed that Respondent take certain\nmeasures to correct the alleged violation.\nConocoPhillips responded to the Notice by letter dated November 27, 2006, indicating that it did\nnot agree with the allegation but agreeing to pay the proposed civil penalty and comply with the\nterms of the proposed Compliance Order. In addition, Respondent submitted a wire transfer in\nthe amount of the proposed civil penalty ($26,000) on November 22, 2006, thereby waiving\nfurther right to respond and authorizing entry of this Final Order.\nPursuant to 49 U.S.C. § 60122, 49 C.F.R. §§ 190.209(a)(1) and 190.213, I find that Respondent\nviolated 49 C.F.R. Part 195, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.509(d), which states, in\nrelevant part:\n§ 195.509 General.\n(a) Operators must have a written qualification program by April 27, 2001 . . . .\n(b) Operators must complete the qualification of individuals performing\ncovered tasks by October 28, 2002.\n(c) Work performance history review may be used as a sole evaluation method for\n\n\n\n2\nindividuals who were performing a covered task prior to October 26, 1999.\n(d) After October 28, 2002, work performance history may not be used\nas a sole evaluation method.\nRespondent violated 49 C.F.R. § 195.509(d) by using work performance history review (WPHR)\nas a sole evaluation method after October 28, 2002. At the time of the inspection on April 4–5,\n2006, Respondent had reevaluated 1,981 tasks using WPHR as a sole evaluation method.\nThis finding of violation will be considered a prior offense in any subsequent enforcement action\ntaken against Respondent.\n49 U.S.C. § 60122 and 49 C.F.R. § 190.225 require that, in determining the amount of the civil\npenalty, PHMSA consider the following criteria: the nature, circumstances, and gravity of the\nviolation, including adverse impact on the environment; the degree of Respondent’s culpability;\nthe history of Respondent’s prior offenses; the Respondent’s ability to pay the penalty and any\neffect that the penalty may have on its ability to continue doing business; and the good faith of\nRespondent in attempting to comply with the pipeline safety regulations. In addition, the agency\nmay consider the economic benefit gained from the violation without any reduction because of\nsubsequent damages, and such other matters as justice may require. The Notice proposed a total\ncivil penalty of $26,000 for violation of § 195.509(d). Accordingly, having reviewed the record\nand considered the assessment criteria, I assess Respondent a civil penalty of $26,000 for said\nviolation, which amount has already been paid by ConocoPhillips and received by PHMSA.\nCOMPLIANCE ORDER\nThe Notice proposed a compliance order with respect to the violation of 49 C.F.R. § 195.509(d)\ndescribed above. Under 49 U.S.C. § 60118(a), each person who engages in the transportation of\nhazardous liquid by pipeline or who owns or operates a hazardous liquid pipeline facility is\nrequired to comply with the applicable safety standards established under chapter 601. Pursuant\nto the authority of 49 U.S.C. § 60118(b) and 49 C.F.R. § 190.217, Respondent is ordered to take\nthe following actions to ensure compliance with the pipeline safety regulations applicable to its\noperations. ConocoPhillips must—\n1. In accordance with 49 C.F.R. Subpart G (§§ 195.501–195.509) and using additional\nevaluation methods, re-evaluate the 1,981 covered tasks that, at the time of the\ninspection, had been qualified solely by WPHR.\n2. Maintain documentation of the safety improvement costs associated with fulfilling this\nCompliance Order and report the total cost as follows: (a) total cost associated with\npreparation, revision of plans and procedures, and performance of studies and analyses;\nand (b) total cost associated with physical changes, if any, to the pipeline infrastructure,\nincluding replacements and additions.\n3. Complete each of the above items and submit documentation verifying completion within\n180 days of receipt of this Final Order. Documentation shall be submitted to the\nDirector, Southwest Region, Office of Pipeline Safety, 8701 South Gessner, Suite 1110,\nHouston, TX 77074-2949.\n\n\n\n3\nThe Director may grant an extension of time to comply with any of the required items upon a\nwritten request timely submitted by the Respondent demonstrating good cause for an extension.\nFailure to comply with this Order may result in administrative assessment of civil penalties up to\n$100,000 per day for each violation and in referral to the Attorney General for appropriate relief\nin a district court of the United States.\nThe terms and conditions of this Final Order shall be effective upon receipt.\n___________________________________ __________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety","truncated":false,"body_characters":7998}