{"operation":"document","citation":"CPF 420115009S","title":"OCCIDENTAL CHEMICAL CORP — Safety Order","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2011-06-28","effective_on":null,"summary":"CLOSED safety order.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420115009s.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420115009s.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420115009s","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420115009S","body":"Safety Order involving OCCIDENTAL CHEMICAL CORP. The dataset does not identify a cited regulation for this case. The case was opened on 2011-06-28 and is reported as closed as of 2012-10-25. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420115009S_ Consent Agreement_11082011.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_%20Consent%20Agreement_11082011.pdf\n\n420115009S_ Consent Agreement_11082011_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_%20Consent%20Agreement_11082011_text.pdf\n\n420115009S_Closure_10252012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_Closure_10252012.pdf\n\n420115009S_Closure_10252012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_Closure_10252012_text.pdf\n\n420115009S_Consent Order_11082011.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_Consent%20Order_11082011.pdf\n\n420115009S_Consent Order_11082011_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_Consent%20Order_11082011_text.pdf\n\n420115009S_NOPSO_06282011.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_NOPSO_06282011.pdf\n\n420115009S_NOPSO_06282011_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420115009S/420115009S_NOPSO_06282011_text.pdf\n\n420115009S_Closure_10252012_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nOctober 25, 2012\nMr. Michael G. Anderson\nVice President\nOccidental Chemical Corporation\nOccidental Tower\n5005 LBJ Freeway\nDallas, Texas 75244-6119\nCPF 4-2011-5009S\nDear Mr. Anderson:\nDuring the week of May 16 – 20, 2011, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected the\nOccidental Chemical Corporation’s (Occidental) Lake Charles/Orange Ethylene Line located in\nLA. and TX.\nAs a result of this inspection a Notice of Proposed Safety Order, CPF No. 4-2011-5009S was\nissued on June 28, 2012 and a Consent Agreement was finalized on October 19, 2011.\nOccidental implemented all of the requirements of the Consent Agreement. This letter is to\ninform you that no further action is necessary and this case is now closed. Thank you for your\ncooperation.\nSincerely,\nR. M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\n\n420115009S_Consent Order_11082011_text.pdf\n\nNOV 8 2011\nMr. Michael G. Anderson\nVice-President\nOccidental Chemical Corporation\nOccidental Tower\n5005 LBJ Freeway\nDallas, Texas 75244-6119\nRe: CPF No. 4-2011-5009S\nDear Mr. Anderson:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement that you\nsigned on October 6, 2011. Service of the Consent Order and Consent Agreement by certified\nmail is deemed effective upon the date of mailing, or as otherwise provided 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. Rod Seeley, Director, Southwest Region, PHMSA\nMr. Alan Mayberry, Deputy Associate Administrator for Field Operations, Pipeline Safety\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED [1791000164202807180]\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________\n)\nIn the Matter of )\n)\nOccidental Chemical Corporation, ) CPF No. 4-2011-5009S\n)\nRespondent. )\n____________________________________)\nCONSENT ORDER\nOn October 6, 2011, Mr. Michael G. Anderson, Vice-President, Occidental Chemical\nCorporation, signed a Consent Agreement in this case. I am signing the Consent Agreement on\nthis date and incorporating its terms into this Consent Order by reference.\n___________________________________ __________________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n420115009S_ Consent Agreement_11082011_text.pdf\n\nNOV 8 2011\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, DC 20590\n____________________________________\nIn the Matter of )\nOccidental Chemical Corporation, ) CPF No. 4-2011-5009S\n)\n)\n)\nRespondent )\n____________________________________)\nCONSENT AGREEMENT\nOn June 28, 2011, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), U.S. Department of Transportation, issued a Notice of Proposed Safety Order\n(Notice) to Occidental Chemical Corporation (Occidental or Respondent). The Notice\nalleges that Respondent’s Lake Charles/Orange Ethylene Pipeline has a condition or\nconditions that, without corrective measures, would pose a pipeline integrity risk to\npublic safety, property, or the environment. Specifically, the Notice alleges that\nresuming transportation of hazardous liquids in the pipeline without corrective measures\nwould pose a pipeline integrity risk. The pipeline extends approximately 32.7 miles from\nthe Glenn Springs Holding Plant site in Sulphur, Louisiana to the Chevron Plant in West\nOrange, Texas.\nIn connection with the issuance of the Notice, Respondent requested an informal\nconference. Respondent and PHMSA engaged in good faith settlement discussions\nresulting in this Consent Agreement (the “Agreement”).\nHaving agreed that settlement of this proceeding will avoid further administrative\nproceedings or litigation and that entry of this Consent Agreement is the most appropriate\nmeans of resolving the Notice, pursuant to 49 C.F.R. Part 190, without adjudication of\nany issue of fact or law, and upon consent and agreement of Respondent and PHMSA\n(“the Parties”), the Parties agree as follows:\nI. General Provisions\n1. Respondent acknowledges that as operator of the Lake Charles/Orange Ethylene\nPipeline, Respondent and the subject pipeline are subject to the jurisdiction of the Federal\npipeline safety laws, 49 U.S.C. 60101 et seq., and the regulations and administrative\norders issued thereunder. For purposes of this Consent Agreement, Respondent\n\n\n\nacknowledges that it received proper notice of PHMSA’s action in this proceeding and\nthat the Notice states claims upon which relief may be granted pursuant to 49 U.S.C.\n60101 et seq. and the regulations and orders issued thereunder.\n2. Respondent does not admit or deny any allegation or conclusion in the Notice but\nagrees, for purposes of this proceeding, that the integrity risk identified in the Notice\nexists as described in the Notice and agrees to address it by completing the actions\nspecified in Section II of this Consent Agreement (“Work to be Performed”), including\nthe actions set forth in any work plans and schedules each of which shall automatically be\nincorporated into this agreement upon approval. Respondent’s participation in this\nConsent Agreement does not constitute an admission of liability for any purpose except\nin a proceeding to enforce the provisions of this Agreement.\n3. After Respondent returns this signed Consent Agreement, PHMSA’s\nrepresentative will present it to the Associate Administrator for Pipeline Safety\nrecommending that the Associate Administrator adopt the terms of this Agreement by\nissuing an administrative order (Consent Order) incorporating the terms of this Consent\nAgreement. The terms of this Consent Agreement constitute an offer of settlement until\naccepted by the Associate Administrator. Upon the effective date of this Agreement, any\nrequest for a hearing submitted by Respondent shall be automatically withdrawn.\n4. Respondent consents to the issuance of the Consent Order, and hereby waives any\nfurther procedural requirements with respect to its issuance. Except as provided in Item\n18 and Section IV of this Agreement, Respondent waives all rights to contest the\nadequacy of notice, or the validity of the Consent Order or this Consent Agreement,\nincluding all rights to administrative or judicial hearings or appeals.\n5. This Consent Agreement shall apply to and be binding upon PHMSA, and upon\nRespondent, its officers, directors, and employees, and its successors, assigns, or other\nentities or persons otherwise bound by law. Respondent agrees to provide a copy of this\nConsent Agreement and any incorporated work plans and schedules to all of\nRespondent’s officers, employees, and agents whose duties might reasonably include\ncompliance with this Agreement.\n6. For all transfers of ownership or operating responsibility of the Lake\nCharles/Orange Ethylene Pipeline, Respondent shall provide a copy of this Consent\nAgreement to the prospective transferee at least 30 days prior to such transfer and\nsimultaneously provide written notice of the prospective transfer to the PHMSA\nSouthwest Region Director (Director).\n7. This Consent Agreement constitutes the final, complete and exclusive agreement\nand understanding between the Parties with respect to the settlement embodied in this\nAgreement, and the Parties acknowledge that there are no representations, agreements or\nunderstandings relating to the settlement other than those expressly contained in this\nAgreement, except that the terms of this Agreement may be construed by reference to the\nNotice.\n2\n\n\n\n8. Nothing in this Consent Agreement affects or relieves Respondent of its\nresponsibility to comply with all applicable requirements of the Federal pipeline safety\nlaws, 49 U.S.C. § 60101 et seq., and the regulations and orders issued thereunder.\nNothing in this Consent Agreement alters PHMSA’s right of access, entry, inspection,\nand information gathering or PHMSA’s authority to bring enforcement actions against\nRespondent pursuant to the Federal pipeline safety laws, the regulations and orders issued\nthereunder, or any other provision of Federal or State law.\n9. This Consent Agreement does not waive or modify any Federal, State, or local\nlaws or regulations that are applicable to Respondent’s pipeline systems. This Consent\nAgreement is not a permit, or a modification of any permit, under any Federal, State, or\nlocal laws or regulations. Respondent remains responsible for achieving and maintaining\ncompliance with all applicable Federal, State, and local laws, regulations and permits.\n10. This Consent Agreement does not create rights in, or grant any cause of action to,\nany third party not party to this Agreement. The U.S. Department of Transportation is\nnot liable for any injuries or damages to persons or property arising from acts or\nomissions of Respondent or its officers, employees, or agents carrying out the work\nrequired by this Consent Agreement. Respondent agrees to indemnify and hold harmless\nthe U.S. Department of Transportation, its officers, employees, agents, and\nrepresentatives from any and all causes of action arising from any acts or omissions of\nRespondent or its contractors in carrying out the work required by this Agreement.\nII. Work to be Performed\n11. Within 60 days of receipt of the Consent Order, Occidental must develop all\napplicable written procedures required by 49 C.F.R. Part 195, such as operating and\nmaintenance procedures, emergency procedures and spill response plans, and operator\nqualifications procedures for the pipeline and submit the procedures to the Director,\nSouthwest Region (Director) for compliance review.\n12. Within 60 days of receipt of the Consent Order, Occidental must develop and\nsubmit to the Director for prior approval a pipeline reactivation work plan that includes\nevaluations of anomalies and coating deficiencies, repair plans, and corrective measures\nto ensure the long term integrity of the pipeline and the safe restart of operations on the\npipeline. The work plan must include:\n(A) Repair of the 33 dents and anomalies already identified by the in-line\ninspection; and performance of additional field testing, inspections, and\nevaluations necessary to determine the extent to which anomalies, coating\ndeficiencies, corrosion control deficiencies, other conditions described in\nthe Notice, or any other integrity risk conditions, are present elsewhere on\nthe pipeline. Make the results of the inspections, field excavations, and\nevaluations available to PHMSA or its representative;\n3\n\n\n\n(B) The performance of repairs or other corrective measures that fully\nremediate the additional risk conditions identified in the course of the field\ntesting, inspections, and evaluations;\n(C) A plan for final integrity validation testing and the submission of\nsupporting documentation for the establishment of the maximum operating\npressure (MOP) for the pipeline;\n(D) Provisions for mitigating measures for any remaining risks and continuing\nlong-term periodic inspection and monitoring to ensure the ongoing safe\nand environmentally sound operation of the pipeline considering the\nresults of the analyses, inspections, and corrective measures undertaken\npursuant to this Agreement and all available information about the\npipeline; and\n(E) A proposed schedule for completion of the actions and plans required by\nthis Item.\n13. Upon approval by the Director, the reactivation work plan automatically becomes\nincorporated into the Agreement and must be revised by Occidental as necessary to\nincorporate the results of actions undertaken pursuant to the Agreement and whenever\nnecessary to incorporate new information obtained during the failure investigations and\nremedial activities. Occidental must submit any such plan revisions to the Director for\nprior approval and such revisions automatically become incorporated into the Agreement\nupon approval. The Director may approve plan elements incrementally.\n14. Occidental must implement the reactivation work plan as approved by the\nDirector, including any revisions to the plan, as scheduled and make the results of all\nactions taken in accordance with the approved plan available for review by PHMSA or its\nrepresentative.\n15. Occidental must submit quarterly reports to the Director that: (1) include available\ndata and results of the testing and evaluations required by the Agreement and plans; and\n(2) describe the progress of the repairs and other actions being undertaken as a result of\nthe Agreement. The first quarterly report is due on the last day of the third month\nfollowing receipt of the Order. The Director may adjust the regular intervals for\nsubmitting reports.\n16. The Director may grant an extension of time for compliance with any of the terms\nof the Agreement upon a written request timely submitted demonstrating good cause for\nan extension.\n17. Occidental may appeal any decision of the Director to the Associate\nAdministrator for Pipeline Safety. Decisions of the Associate Administrator shall be\nfinal.\n4\n\n\n\nIII. Review and Approval Process\n18. With respect to any submission under Section II of this Agreement that requires\nthe approval of the Director, the Director may: (a) approve, in whole or in part, the\nsubmission, (b) approve the submission on specified conditions, (c) disapprove, in whole\nor in part, the submission, or (d) any combination of the foregoing. In the event of\napproval, approval in part, or approval upon conditions, Respondent will proceed to take\nall action required by the submission as approved by the Director, subject to\nRespondent’s right to invoke the dispute resolution procedures in Section IV with respect\nto any conditions identified by the Director. In the event that the Director disapproves all\nor any portion of the submission, the Director will provide Respondent with a written\nnotice of the deficiencies. Respondent will correct all deficiencies within the time\nspecified by the Director and resubmit it for approval, subject to Respondent’s right to\ninvoke the dispute resolution procedures in Section IV with respect to any conditions\nidentified by the Director.\nIV. Dispute Resolution\n19. The Director and Respondent will informally attempt to resolve any disputes\narising under this Agreement. If Respondent and the Director are unable to informally\nresolve the dispute within 15 days, Respondent may request in writing, within 10 days, a\nwritten determination resolving the dispute from the Associate Administrator for Pipeline\nSafety providing all information that Respondent believes is relevant to the dispute. If\nthe request is submitted as provided herein, the Associate Administrator will issue a\ndetermination in writing which shall be final. The existence of a dispute and PHMSA’s\nconsideration of matters placed in dispute shall not excuse, toll, or suspend any term or\ntimeframe for completion of any work to be performed under this Consent Agreement\nduring the pendency of the dispute resolution process except as agreed by the Director or\nthe Associate Administrator in writing.\nV. Enforcement\n20. This Agreement, as adopted by the Consent Order, is subject to all enforcement\nauthorities available to PHMSA under 49 U.S.C. § 60101 et seq. and 49 C.F.R. Part 190,\nincluding administrative civil penalties under § 60122 of up to $100,000 per violation for\neach day the non-compliance continues, if PHMSA determines that Respondent is not\nmaterially proceeding in accordance with terms of this Agreement, with determinations\nmade by the Director, or if such determinations are appealed with decisions of the\nAssociate Administrator. All work plans and associated schedules set forth or referenced\nin Section II shall be automatically incorporated into this Agreement and are enforceable\nin the same manner.\nVI. Record Keeping and Information Disclosure\n21. Respondent agrees to maintain records demonstrating compliance with all\nrequirements of this Agreement for a period of at least five years following completion of5\n\n\n\nall work to be performed. For any reports, plans, or other deliverables required to be\nsubmitted to PHMSA pursuant to this Agreement, Respondent may assert a claim of\nbusiness 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\npursuant to this Agreement in accordance with 49 C.F.R. Part 7. The claim of\nconfidentiality shall be marked in writing on each page, and shall include a statement\nspecifying the grounds for each claim of confidentially. PHMSA shall determine release\nof any information submitted pursuant to this Consent Agreement in accordance with 49\nC.F.R. Part 7, the Freedom of Information Act, 5 U.S.C. § 552, DOT and/or PHMSA\npolicies, and other applicable regulations and Executive Orders.\nVII. Effective Date\n22. The “Effective Date” as used herein is the date on which this Agreement has\nbeen signed by both Respondent and PHMSA. Unless specified to the contrary, all\ndeadlines for actions required by this Agreement run from the date of issuance of the\nConsent Order adopting this Agreement.\nVIII. Modification\n23. The terms of this Agreement may be modified by mutual agreement of the\nParties. Such modifications shall be in writing and shall be signed by both Parties.\nIX. Termination\n24. This Agreement shall terminate upon the completion of all terms set forth in\nSection II (Work to Be Performed). Respondent may request written confirmation from\nPHMSA when this Agreement is terminated. To the extent ongoing monitoring is\nrequired, PHMSA may terminate this Agreement with respect to all other requirements\nwith the exception of such monitoring. Nothing in this Agreement prevents Respondent\nfrom completing any of the obligations earlier than the deadlines provided for herein.\n6\n\n\n\nX. Ratification\n25. 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\nsuch party to this document.\n26. The Parties hereby agree to all conditions and terms of this Consent Agreement:\nFor PHMSA: For Respondent:\n___________________________ ____________________________\nMr. Rod M. Seeley Mr. Michael G. Anderson\nDirector, Southwest Region Vice-President\nPipeline and Hazardous Materials Occidental Chemical Corporation\nSafety Administration\n_____________________ _____________________\nDate Date\n7","truncated":false,"body_characters":20164}