{"operation":"document","citation":"CPF 420121001S","title":"FLORIDA GAS TRANSMISSION CO — Safety Order","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2012-02-24","effective_on":null,"summary":"CLOSED safety order.","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420121001s.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420121001s.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420121001s","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420121001S","body":"Safety Order involving FLORIDA GAS TRANSMISSION CO. The dataset does not identify a cited regulation for this case. The case was opened on 2012-02-24 and is reported as closed as of 2013-12-19. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420121001S_Closure_12192013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Closure_12192013.pdf\n\n420121001S_Closure_12192013_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Closure_12192013_text.pdf\n\n420121001S_Consent Agreement_05012012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent%20Agreement_05012012.pdf\n\n420121001S_Consent Agreement_05012012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent%20Agreement_05012012_text.pdf\n\n420121001S_Consent_Order_05252012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent_Order_05252012.pdf\n\n420121001S_Consent_Order_05252012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent_Order_05252012_text.pdf\n\n420121001S_NOPSO_02242012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_NOPSO_02242012.pdf\n\n420121001S_NOPSO_02242012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_NOPSO_02242012_text.pdf\n\n420121001S_Closure_12192013_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nDecember 19, 2013\nMr. Eric Amundsen\nVice President of Technical Services\nFlorida Gas Transmission Company, LLC\n5051 Westheimer Road\nHouston, TX 77056\nCPF 4-2012-1001S\nDear Mr. Amundsen:\nFollowing an incident that occurred on February 13, 2012, a representative of the Pipeline and\nHazardous Materials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United\nStates Code conducted an on-site inspection of the Florida Gas Transmission Company’s (FGT)\nLAMEB-8 natural gas pipeline located in East Baton Rouge, Louisiana.\nAs a result of this investigation a Notice of Proposed Safety Order, CPF No. 4-2012-1001S was\nissued to FGT on February 24, 2012 and a Consent Agreement was finalized on May 1, 2012.\nFGT has implemented all of the requirements of the Consent Agreement. This letter is to inform\nyou 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\n420121001S_Consent_Order_05252012_text.pdf\n\nMAY 25, 2012\nMr. Thomas Stone\nVice President\nChief Operations and Maintenance Officer\nFlorida Gas Transmission Company, LLC\n5444 Westheimer Road\nHouston, TX 77056\nRe: CPF No. 4-2012-1001S\nDear Mr. Stone:\nEnclosed please find a Consent Order incorporating the terms of the Consent Agreement reached\nbetween PHMSA and Florida Gas Transmission in this enforcement action and that you signed\non May 1, 2012. Service of the Consent Order and Consent Agreement by certified mail is\ndeemed effective upon the date of mailing, or as otherwise provided under 49 C.F.R. § 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, OPS\nMr. Alan Mayberry, Deputy Associate Administrator for Field Operations, Pipeline\nSafety, OPS\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nPHC-20:LWhite/JPates:ab:x60331:05/18/2012\nJ:/CPF 4-2012-1001S Florida Gas Transmission Company, LLC\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)\n)\nFlorida Gas Transmission Company, LLC, ) CPF No. 4-2012-1001S\n)\n)\nRespondent. )\n__________________________________________)\nCONSENT ORDER\nBy letter dated February 24, 2012, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), Office of Pipeline Safety, issued a Notice of Proposed Safety Order (Notice) to\nFlorida Gas Transmission Company, LLC (Respondent), in this case.\nIn accordance with 49 C.F.R. § 190.239, the Notice alleged that the segment of Respondent’s\nnatural gas pipeline designated as LAMEB-8, running from the Zachary Compressor Station to\nthe Franklinton Compressor Station, has an apparent condition that, without corrective measures,\nwould pose a pipeline integrity risk to public safety, property, or the environment and proposed\nthat Respondent take certain actions to address the condition. Specifically, the Notice alleged\nthat the conditions associated with a February 13, 2012 rupture in East Baton Rouge, Louisiana,\nrequired corrective measures to ensure safety.\nIn response to the Notice, Respondent requested an informal consultation under\n49 C.F.R. § 190.239(b)(2). Respondent and PHMSA engaged in good-faith settlement\ndiscussions and reached an agreement, as set forth in the Consent Agreement attached to this\nOrder, that settles all of the allegations in the Notice.\nAccordingly, the foregoing Consent Agreement is herby approved and incorporated by reference\ninto this Order. The Respondent is hereby ordered to comply with terms of the Consent\nAgreement, effective immediately.\n\n\n\nPursuant to 49 U.S.C. 60101 et seq., failure to comply with this Order may result in the\nassessment of civil penalties of up to $200,000 per violation per day, or in the referral of the case\nto the Department of Justice for judicial enforcement. The terms and conditions of this Order are\neffective upon service in accordance with 49 C.F.R. § 190.5.\n___________________________________ __________________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n420121001S_Consent Agreement_05012012_text.pdf\n\nDEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, DC 20590\n____________________________________\nIn the Matter of )\nFlorida Gas Transmission ) CPF No. 4-2012-1001S\nCompany, LLC., )\n)\n)\n)\nRespondent )\n____________________________________)\nCONSENT AGREEMENT\nOn February 24, 2012, the Pipeline and Hazardous Materials Safety Administration\n(PHMSA), U.S. Department of Transportation, issued a Notice of Proposed Safety Order\n(Notice) to Florida Gas Transmission Company, LLC (FGT or Respondent). The Notice\nalleges that the segment of FGT’s natural gas pipeline designated as LAMEB-8 running\nfrom the Zachary Compressor Station to the Franklinton Compressor Station (the\n“Affected Segment”) has an apparent condition that, without corrective measures, would\npose a pipeline integrity risk to public safety, property, or the environment. Specifically,\nthe Notice alleges that a failure occurred on the Affected Segment approximately two\nmiles downstream of the Zachary Compressor station in East Baton Rouge, Louisiana on\nFebruary 13, 2012 that resulted in a 44-foot long rupture in the pipe. The cause of the\nfailure is still under investigation.\nOn March 1, 2012, Respondent requested an informal consultation in response to the\nNotice via email. On March 8, 2012, the informal consultation was held at the Southwest\nRegion Office in Houston, Texas at which time Respondent and PHMSA engaged in\ngood faith settlement discussions resulting in this Consent Agreement.\nHaving agreed that settlement of this proceeding will avoid further administrative\nproceedings or litigation and that entry of this Consent Agreement (“Agreement’) is the\nmost appropriate means of resolving the Notice, pursuant to 49 C.F.R. Part 190, without\nadjudication of any issue of fact or law, and upon consent and agreement of Respondent\nand PHMSA (“the Parties”), the Parties agree as follows:\n\n\n\nI. General Provisions\n1. Respondent acknowledges that as operator of the LAMEB-8 pipeline, Respondent\nand its pipeline system are subject to the jurisdiction of the Federal pipeline safety laws,\n49 U.S.C. 60101 et seq., and the regulations and administrative orders issued thereunder.\nFor purposes of this Consent Agreement, Respondent acknowledges that it received\nproper notice of PHMSA’s action in this proceeding and that the Notice states claims\nupon which relief may be granted pursuant to 49 U.S.C. 60101 et seq. and the regulations\nand orders issued thereunder.\n2. Respondent agrees, for purposes of this Consent Agreement, that the condition\nidentified in the Notice exists and agrees to address it by completing the actions specified\nin Section II of this agreement (“Work to be Performed”). These actions, including any\nwork plans and schedules, shall automatically be incorporated into this agreement. This\nAgreement does not constitute a finding of violation of any Federal law or regulation and\nmay not be used in any civil proceeding of any kind as evidence or proof of any fact, fault\nor liability, or as evidence of the violation of any law, rule, regulation or requirement,\nexcept in a proceeding to enforce the provisions of this Agreement.\n3. After Respondent returns this signed Agreement, PHMSA’s representative will\npresent it to the Associate Administrator for Pipeline Safety recommending that the\nAssociate Administrator adopt the terms of this Agreement by issuing an administrative\norder (Consent Order) incorporating the terms of this Consent Agreement. The terms of\nthis Agreement constitute an offer of settlement until accepted by the Associate\nAdministrator. Upon the effective date of this Agreement, any request for a hearing\nsubmitted 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. Respondent waives all rights\nto contest the adequacy of notice, or the validity of the Consent Order or this Consent\nAgreement, including 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\nAgreement and any incorporated work plans and schedules to all of Respondent’s\nofficers, employees, and agents whose duties might reasonably include compliance with\nthis Agreement.\n6. For all transfers of ownership or operating responsibility of Respondent’s\nLAMEB-8 pipeline, Respondent shall provide a copy of this Consent Agreement to the\nprospective transferee at least 30 days prior to such transfer and simultaneously provide\nwritten notice of the prospective transfer to the PHMSA Regional Director who issued\nthe Notice.\n2\n\n\n\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.\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 Agreement alters PHMSA’s right of access, entry, inspection, and\ninformation 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 Agreement\nis not a permit, or a modification of any permit, under any Federal, State, or local laws or\nregulations. Respondent remains responsible for achieving and maintaining compliance\nwith 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 not\nliable for any injuries or damages to persons or property arising from acts or omissions of\nRespondent or its officers, employees, or agents carrying out the work required by this\nAgreement. Respondent agrees to indemnify and hold harmless the U.S. Department of\nTransportation, its officers, employees, agents, and representatives from any and all\ncauses of action arising from any acts or omissions of Respondent or its contractors in\ncarrying out the work required by this Agreement.\nII. Work to be Performed\n11. Restart Plan. Prior to resuming operation of the LAMEB-8 line from the Zachary\nCompressor station to Mainline Valve 8.1, FGT must develop and submit a written\ncomprehensive restart plan for approval by the Director, Southwest Region, PHMSA for\nthis line section. The restart plan must provide for adequate patrolling of the pipeline\nduring the restart process, specify a daylight restart, include a hydrostatic test of the\nsection, and detail advance communications with local emergency response officials. The\nrestart plan must include actions taken by FGT to confirm the integrity of the section\nincluding any pipeline facilities that were damaged, or were suspected of being damaged\nas a result of the incident prior to restart.\n3\n\n\n\n12. Pressure Restriction. After receipt of approval from the Director to restart the\nline, the operating pressure for the pipeline segment running from the Zachary\nCompressor Station to the Franklinton Compressor Station must not exceed 80% of the\nactual operating pressure in effect immediately prior to the February 13, 2012 failure.\nSpecifically, the discharge pressure at the Zachary Compressor Station must not exceed\n772 psig. This pressure reduction requires any relevant remote or local alarm limits,\nsoftware programming set-points or control points, and mechanical over-pressure devices\nto be adjusted accordingly. The pressure restriction must remain in effect until written\napproval to increase the pressure or return the pipeline to its pre-failure operating pressure\nis obtained from the Director. If the results of any action undertaken pursuant to this\nAgreement necessitate a reduction in the operating pressure permitted by the Agreement,\nFGT must further reduce the operating pressure accordingly and notify the Director.\n13. Metallurgical Testing and Failure Analysis. FGT must arrange for the\nperformance of third party mechanical and metallurgical testing and failure analysis of the\nsection of pipeline that failed following the written guidance provided by the PHMSA\ninspector at the site on February 14, 2012.\n14. Remedial Work Plan. Within 90 days after completing the metallurgical testing\nand analysis, FGT must develop and submit to the Director for approval a written\nremedial work plan that includes corrective measures as a result of the failure\ninvestigation. The plan must provide for the verification of the integrity of the segment\nof the LAMEB-8 pipeline running from the Zachary Compressor Station to the\nFranklinton Compressor Station (64.88 miles) and must fully address all known or\nsuspected factors that caused or contributed to the February 13, 2012 incident. The work\nplan must include at a minimum:\n(A) The integration of the information developed from the actions required by\nthis Agreement with all historical construction, operating, maintenance,\ntesting, and assessment data for the Affected Segment including relevant\nsystem-wide data.\n(B) The performance of additional field testing, inspections, and evaluations to\ndetermine whether and to what extent the conditions contributing to the\nfailure are present elsewhere on the Affected Segment. Make the results\nof the inspections, field excavations, and evaluations available to PHMSA\nor its representative;\n(C) The performance of repairs or other corrective measures that fully\nremediate the identified risk condition(s). Include provisions for\ncontinuing long-term periodic testing and integrity verification measures\nto ensure the ongoing safe operation of the pipeline considering the results\nof the analyses, inspections, and corrective measures undertaken pursuant\nto this Agreement; and\n(D) A proposed schedule for completion of the actions required by paragraphs\n(A), (B), and (C) of this Item.\n4\n\n\n\n15. Remedial Work Plan Revision. Revise the remedial work plan as necessary to\nincorporate new information obtained during the evaluations and associated remedial\nactivities. Submit any such plan revisions to the Director for prior approval. The\nDirector may approve plan elements incrementally. The remedial work plan shall become\nincorporated into this Agreement.\n16. Respondent agrees to submit quarterly reports to the Regional Director that: (1)\ninclude all available data and results of the testing and evaluations required by this\nAgreement; and (2) describe the progress of the repairs or other remedial actions being\nundertaken. The first quarterly report for the period from February through March, 2012\nshall be due by April 30, 2012.\n17. Respondent agrees to maintain documentation of the costs associated with\nimplementation of this Consent Agreement. Include in each quarterly report submitted\npursuant to Item 16, the to-date total costs associated with: (1) testing, evaluations and\ninformation analysis; (2) revisions of procedures and additional monitoring and\ninspections; and (3) physical changes to pipeline infrastructure, including repairs,\nreplacements and other modifications.\n18. The Regional Director may grant an extension of time for completion of any of\nthe work to be performed upon a written request timely submitted demonstrating good\ncause for an extension.\nIII. Review and Approval Process\n19. With respect to any submission under Section II of this Consent Agreement that\nrequires the approval of the Regional Director, the Director may: (a) approve, in whole or\nin part, the submission, (b) approve the submission on specified conditions, (c)\ndisapprove, in whole or in part, the submission, or (d) any combination of the foregoing.\nIn the event of approval, approval in part, or approval upon conditions, Respondent will\nproceed to take all action required by the submission as approved by the Director, subject\nto Respondent’s right to invoke the dispute resolution procedures in Section IV with\nrespect to any conditions identified by the Director. In the event that the Director\ndisapproves all or any portion of the submission, the Director will provide Respondent\nwith a written notice of the deficiencies. Respondent will correct all deficiencies within\nthe time specified by the Director and resubmit it for approval.\nIV. Dispute Resolution\n20. The Regional Director and Respondent will informally attempt to resolve any\ndisputes arising under this Consent Agreement. If Respondent and the Regional Director\nare unable to informally resolve the dispute within 15 days, Respondent may request in\nwriting, within 10 days, a written determination resolving the dispute from the Associate\nAdministrator for Pipeline Safety providing all information that Respondent believes is\n5\n\n\n\nrelevant to the dispute. If the request is submitted as provided herein, the Associate\nAdministrator will issue a determination in writing which shall be final. The existence of\na dispute and PHMSA’s consideration of matters placed in dispute shall not excuse, toll,\nor suspend any term or timeframe for completion of any work to be performed under this\nagreement during the pendency of the dispute resolution process except as agreed by the\nRegional Director or the Associate Administrator in writing.\nV. Enforcement\n21. This Consent Agreement, as adopted by the Consent Order, is subject to all\nenforcement authorities available to PHMSA under 49 U.S.C. § 60101 et seq. and 49\nC.F.R. Part 190, including administrative civil penalties under § 60122 of up to $100,000\nper violation for each day the violation continues, if PHMSA determines that Respondent\nis not proceeding in accordance with terms of the agreement, determinations made by the\nRegional Director, or if appealed, decisions of the Associate Administrator. All work\nplans and associated schedules set forth or referenced in Section II shall be automatically\nincorporated into this Consent Agreement and are enforceable in the same manner.\nVI. Record Keeping and Information Disclosure\n22. Respondent agrees to maintain records demonstrating compliance with all\nrequirements of this Consent Agreement for a period of at least five years following\ncompletion of all work to be performed. For any reports, plans, or other deliverables\nrequired to be submitted to PHMSA pursuant to this Consent Agreement, Respondent\nmay assert a claim of business confidentiality or other protections applicable to the\nrelease of information by PHMSA, covering part or all of the information required to be\nsubmitted to PHMSA pursuant to this agreement in accordance with 49 C.F.R. Part 7.\nThe claim of confidentiality shall be marked in writing on each page, and shall include a\nstatement specifying the grounds for each claim of confidentially. PHMSA shall\ndetermine release of any information submitted pursuant to this Consent Agreement in\naccordance with 49 C.F.R. Part 7, the Freedom of Information Act, 5 U.S.C. § 552, DOT\nand/or PHMSA policies, and other applicable regulations and Executive Orders.\nVII. Effective Date\n23. The “Effective Date” as used herein is the date on which this Consent Agreement\nhas been signed by both Respondent and PHMSA. Unless specified to the contrary, all\ndeadlines for actions required by this agreement run from the Effective Date of this\nagreement.\nVIII. Modification\n24. The terms of this Consent Agreement may be modified by mutual agreement of\nthe parties. Such modifications shall be in writing and shall be signed by both parties.\n6\n\n\n\nIX. Termination\n25. This Consent Agreement shall terminate upon the completion of all terms set\nforth in Section II (Work to Be Performed). Respondent may request written\nconfirmation from PHMSA when this agreement is terminated. To the extent ongoing\nmonitoring is required, PHMSA may terminate this agreement with respect to all other\nrequirements with the exception of such monitoring. Nothing in this agreement prevents\nRespondent from completing any of the obligations earlier than the deadlines provided\nfor herein.\nX. Ratification\n26. The parties undersigned representatives certify that they are fully authorized to\nenter into the terms and conditions of this Consent Agreement and to execute and legally\nbind such party to this document.\n27. The Parties hereby agree to all conditions and terms of this Consent Agreement:\nFor PHMSA: For Respondent:\n___________________________ ____________________________\nR. M. Seeley Thomas Stone\nDirector, Southwest Region Vice President, Chief Operations\nPHMSA and Maintenance Officer\nFlorida Gas Transmission\nCompany, LLC\n_____________________ _____________________\nDate Date\n7","truncated":false,"body_characters":23259}