# FLORIDA GAS TRANSMISSION CO — Safety Order

- **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:** Not available
- **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.

Official case documents:

420121001S_Closure_12192013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Closure_12192013.pdf

420121001S_Closure_12192013_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Closure_12192013_text.pdf

420121001S_Consent Agreement_05012012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent%20Agreement_05012012.pdf

420121001S_Consent Agreement_05012012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent%20Agreement_05012012_text.pdf

420121001S_Consent_Order_05252012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent_Order_05252012.pdf

420121001S_Consent_Order_05252012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_Consent_Order_05252012_text.pdf

420121001S_NOPSO_02242012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_NOPSO_02242012.pdf

420121001S_NOPSO_02242012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420121001S/420121001S_NOPSO_02242012_text.pdf

420121001S_Closure_12192013_text.pdf

CERTIFIED MAIL - RETURN RECEIPT REQUESTED
December 19, 2013
Mr. Eric Amundsen
Vice President of Technical Services
Florida Gas Transmission Company, LLC
5051 Westheimer Road
Houston, TX 77056
CPF 4-2012-1001S
Dear Mr. Amundsen:
Following an incident that occurred on February 13, 2012, a representative of the Pipeline and
Hazardous Materials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United
States Code conducted an on-site inspection of the Florida Gas Transmission Company’s (FGT)
LAMEB-8 natural gas pipeline located in East Baton Rouge, Louisiana.
As a result of this investigation a Notice of Proposed Safety Order, CPF No. 4-2012-1001S was
issued to FGT on February 24, 2012 and a Consent Agreement was finalized on May 1, 2012.
FGT has implemented all of the requirements of the Consent Agreement. This letter is to inform
you that no further action is necessary and this case is now closed. Thank you for your
cooperation.
Sincerely,
R. M. Seeley
Director, Southwest Region
Pipeline and Hazardous Materials Safety Administration

420121001S_Consent_Order_05252012_text.pdf

MAY 25, 2012
Mr. Thomas Stone
Vice President
Chief Operations and Maintenance Officer
Florida Gas Transmission Company, LLC
5444 Westheimer Road
Houston, TX 77056
Re: CPF No. 4-2012-1001S
Dear Mr. Stone:
Enclosed please find a Consent Order incorporating the terms of the Consent Agreement reached
between PHMSA and Florida Gas Transmission in this enforcement action and that you signed
on May 1, 2012. Service of the Consent Order and Consent Agreement by certified mail is
deemed effective upon the date of mailing, or as otherwise provided under 49 C.F.R. § 190.5.
Thank you for your cooperation in this matter.
Sincerely,
Jeffrey D. Wiese
Associate Administrator
for Pipeline Safety
Enclosure
cc: Mr. Rod Seeley, Director, Southwest Region, OPS
Mr. Alan Mayberry, Deputy Associate Administrator for Field Operations, Pipeline
Safety, OPS
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
PHC-20:LWhite/JPates:ab:x60331:05/18/2012
J:/CPF 4-2012-1001S Florida Gas Transmission Company, LLC



U.S. DEPARTMENT OF TRANSPORTATION
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON, D.C. 20590
__________________________________________
)
In the Matter of )
)
)
Florida Gas Transmission Company, LLC, ) CPF No. 4-2012-1001S
)
)
Respondent. )
__________________________________________)
CONSENT ORDER
By letter dated February 24, 2012, the Pipeline and Hazardous Materials Safety Administration
(PHMSA), Office of Pipeline Safety, issued a Notice of Proposed Safety Order (Notice) to
Florida Gas Transmission Company, LLC (Respondent), in this case.
In accordance with 49 C.F.R. § 190.239, the Notice alleged that the segment of Respondent’s
natural gas pipeline designated as LAMEB-8, running from the Zachary Compressor Station to
the Franklinton Compressor Station, has an apparent condition that, without corrective measures,
would pose a pipeline integrity risk to public safety, property, or the environment and proposed
that Respondent take certain actions to address the condition. Specifically, the Notice alleged
that the conditions associated with a February 13, 2012 rupture in East Baton Rouge, Louisiana,
required corrective measures to ensure safety.
In response to the Notice, Respondent requested an informal consultation under
49 C.F.R. § 190.239(b)(2). Respondent and PHMSA engaged in good-faith settlement
discussions and reached an agreement, as set forth in the Consent Agreement attached to this
Order, that settles all of the allegations in the Notice.
Accordingly, the foregoing Consent Agreement is herby approved and incorporated by reference
into this Order. The Respondent is hereby ordered to comply with terms of the Consent
Agreement, effective immediately.



Pursuant to 49 U.S.C. 60101 et seq., failure to comply with this Order may result in the
assessment of civil penalties of up to $200,000 per violation per day, or in the referral of the case
to the Department of Justice for judicial enforcement. The terms and conditions of this Order are
effective upon service in accordance with 49 C.F.R. § 190.5.
___________________________________ __________________________
Jeffrey D. Wiese Date Issued
Associate Administrator
for Pipeline Safety

420121001S_Consent Agreement_05012012_text.pdf

DEPARTMENT OF TRANSPORTATION
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
OFFICE OF PIPELINE SAFETY
WASHINGTON, DC 20590
____________________________________
In the Matter of )
Florida Gas Transmission ) CPF No. 4-2012-1001S
Company, LLC., )
)
)
)
Respondent )
____________________________________)
CONSENT AGREEMENT
On February 24, 2012, the Pipeline and Hazardous Materials Safety Administration
(PHMSA), U.S. Department of Transportation, issued a Notice of Proposed Safety Order
(Notice) to Florida Gas Transmission Company, LLC (FGT or Respondent). The Notice
alleges that the segment of FGT’s natural gas pipeline designated as LAMEB-8 running
from the Zachary Compressor Station to the Franklinton Compressor Station (the
“Affected Segment”) has an apparent condition that, without corrective measures, would
pose a pipeline integrity risk to public safety, property, or the environment. Specifically,
the Notice alleges that a failure occurred on the Affected Segment approximately two
miles downstream of the Zachary Compressor station in East Baton Rouge, Louisiana on
February 13, 2012 that resulted in a 44-foot long rupture in the pipe. The cause of the
failure is still under investigation.
On March 1, 2012, Respondent requested an informal consultation in response to the
Notice via email. On March 8, 2012, the informal consultation was held at the Southwest
Region Office in Houston, Texas at which time Respondent and PHMSA engaged in
good faith settlement discussions resulting in this Consent Agreement.
Having agreed that settlement of this proceeding will avoid further administrative
proceedings or litigation and that entry of this Consent Agreement (“Agreement’) is the
most appropriate means of resolving the Notice, pursuant to 49 C.F.R. Part 190, without
adjudication of any issue of fact or law, and upon consent and agreement of Respondent
and PHMSA (“the Parties”), the Parties agree as follows:



I. General Provisions
1. Respondent acknowledges that as operator of the LAMEB-8 pipeline, Respondent
and its pipeline system are subject to the jurisdiction of the Federal pipeline safety laws,
49 U.S.C. 60101 et seq., and the regulations and administrative orders issued thereunder.
For purposes of this Consent Agreement, Respondent acknowledges that it received
proper notice of PHMSA’s action in this proceeding and that the Notice states claims
upon which relief may be granted pursuant to 49 U.S.C. 60101 et seq. and the regulations
and orders issued thereunder.
2. Respondent agrees, for purposes of this Consent Agreement, that the condition
identified in the Notice exists and agrees to address it by completing the actions specified
in Section II of this agreement (“Work to be Performed”). These actions, including any
work plans and schedules, shall automatically be incorporated into this agreement. This
Agreement does not constitute a finding of violation of any Federal law or regulation and
may not be used in any civil proceeding of any kind as evidence or proof of any fact, fault
or liability, or as evidence of the violation of any law, rule, regulation or requirement,
except in a proceeding to enforce the provisions of this Agreement.
3. After Respondent returns this signed Agreement, PHMSA’s representative will
present it to the Associate Administrator for Pipeline Safety recommending that the
Associate Administrator adopt the terms of this Agreement by issuing an administrative
order (Consent Order) incorporating the terms of this Consent Agreement. The terms of
this Agreement constitute an offer of settlement until accepted by the Associate
Administrator. Upon the effective date of this Agreement, any request for a hearing
submitted by Respondent shall be automatically withdrawn.
4. Respondent consents to the issuance of the Consent Order, and hereby waives any
further procedural requirements with respect to its issuance. Respondent waives all rights
to contest the adequacy of notice, or the validity of the Consent Order or this Consent
Agreement, including all rights to administrative or judicial hearings or appeals.
5. This Consent Agreement shall apply to and be binding upon PHMSA, and upon
Respondent, its officers, directors, and employees, and its successors, assigns, or other
entities or persons otherwise bound by law. Respondent agrees to provide a copy of this
Agreement and any incorporated work plans and schedules to all of Respondent’s
officers, employees, and agents whose duties might reasonably include compliance with
this Agreement.
6. For all transfers of ownership or operating responsibility of Respondent’s
LAMEB-8 pipeline, Respondent shall provide a copy of this Consent Agreement to the
prospective transferee at least 30 days prior to such transfer and simultaneously provide
written notice of the prospective transfer to the PHMSA Regional Director who issued
the Notice.
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7. This Consent Agreement constitutes the final, complete and exclusive agreement
and understanding between the Parties with respect to the settlement embodied in this
agreement, and the Parties acknowledge that there are no representations, agreements or
understandings relating to the settlement other than those expressly contained in this
Agreement, except that the terms of this agreement may be construed by reference to the
Notice.
8. Nothing in this Consent Agreement affects or relieves Respondent of its
responsibility to comply with all applicable requirements of the Federal pipeline safety
laws, 49 U.S.C. § 60101 et seq., and the regulations and orders issued thereunder.
Nothing in this Agreement alters PHMSA’s right of access, entry, inspection, and
information gathering or PHMSA’s authority to bring enforcement actions against
Respondent pursuant to the Federal pipeline safety laws, the regulations and orders issued
thereunder, or any other provision of Federal or State law.
9. This Consent Agreement does not waive or modify any Federal, State, or local
laws or regulations that are applicable to Respondent’s pipeline systems. This Agreement
is not a permit, or a modification of any permit, under any Federal, State, or local laws or
regulations. Respondent remains responsible for achieving and maintaining compliance
with all applicable Federal, State, and local laws, regulations and permits.
10. This Consent Agreement does not create rights in, or grant any cause of action to,
any third party not party to this agreement. The U.S. Department of Transportation is not
liable for any injuries or damages to persons or property arising from acts or omissions of
Respondent or its officers, employees, or agents carrying out the work required by this
Agreement. Respondent agrees to indemnify and hold harmless the U.S. Department of
Transportation, its officers, employees, agents, and representatives from any and all
causes of action arising from any acts or omissions of Respondent or its contractors in
carrying out the work required by this Agreement.
II. Work to be Performed
11. Restart Plan. Prior to resuming operation of the LAMEB-8 line from the Zachary
Compressor station to Mainline Valve 8.1, FGT must develop and submit a written
comprehensive restart plan for approval by the Director, Southwest Region, PHMSA for
this line section. The restart plan must provide for adequate patrolling of the pipeline
during the restart process, specify a daylight restart, include a hydrostatic test of the
section, and detail advance communications with local emergency response officials. The
restart plan must include actions taken by FGT to confirm the integrity of the section
including any pipeline facilities that were damaged, or were suspected of being damaged
as a result of the incident prior to restart.
3



12. Pressure Restriction. After receipt of approval from the Director to restart the
line, the operating pressure for the pipeline segment running from the Zachary
Compressor Station to the Franklinton Compressor Station must not exceed 80% of the
actual operating pressure in effect immediately prior to the February 13, 2012 failure.
Specifically, the discharge pressure at the Zachary Compressor Station must not exceed
772 psig. This pressure reduction requires any relevant remote or local alarm limits,
software programming set-points or control points, and mechanical over-pressure devices
to be adjusted accordingly. The pressure restriction must remain in effect until written
approval to increase the pressure or return the pipeline to its pre-failure operating pressure
is obtained from the Director. If the results of any action undertaken pursuant to this
Agreement necessitate a reduction in the operating pressure permitted by the Agreement,
FGT must further reduce the operating pressure accordingly and notify the Director.
13. Metallurgical Testing and Failure Analysis. FGT must arrange for the
performance of third party mechanical and metallurgical testing and failure analysis of the
section of pipeline that failed following the written guidance provided by the PHMSA
inspector at the site on February 14, 2012.
14. Remedial Work Plan. Within 90 days after completing the metallurgical testing
and analysis, FGT must develop and submit to the Director for approval a written
remedial work plan that includes corrective measures as a result of the failure
investigation. The plan must provide for the verification of the integrity of the segment
of the LAMEB-8 pipeline running from the Zachary Compressor Station to the
Franklinton Compressor Station (64.88 miles) and must fully address all known or
suspected factors that caused or contributed to the February 13, 2012 incident. The work
plan must include at a minimum:
(A) The integration of the information developed from the actions required by
this Agreement with all historical construction, operating, maintenance,
testing, and assessment data for the Affected Segment including relevant
system-wide data.
(B) The performance of additional field testing, inspections, and evaluations to
determine whether and to what extent the conditions contributing to the
failure are present elsewhere on the Affected Segment. Make the results
of the inspections, field excavations, and evaluations available to PHMSA
or its representative;
(C) The performance of repairs or other corrective measures that fully
remediate the identified risk condition(s). Include provisions for
continuing long-term periodic testing and integrity verification measures
to ensure the ongoing safe operation of the pipeline considering the results
of the analyses, inspections, and corrective measures undertaken pursuant
to this Agreement; and
(D) A proposed schedule for completion of the actions required by paragraphs
(A), (B), and (C) of this Item.
4



15. Remedial Work Plan Revision. Revise the remedial work plan as necessary to
incorporate new information obtained during the evaluations and associated remedial
activities. Submit any such plan revisions to the Director for prior approval. The
Director may approve plan elements incrementally. The remedial work plan shall become
incorporated into this Agreement.
16. Respondent agrees to submit quarterly reports to the Regional Director that: (1)
include all available data and results of the testing and evaluations required by this
Agreement; and (2) describe the progress of the repairs or other remedial actions being
undertaken. The first quarterly report for the period from February through March, 2012
shall be due by April 30, 2012.
17. Respondent agrees to maintain documentation of the costs associated with
implementation of this Consent Agreement. Include in each quarterly report submitted
pursuant to Item 16, the to-date total costs associated with: (1) testing, evaluations and
information analysis; (2) revisions of procedures and additional monitoring and
inspections; and (3) physical changes to pipeline infrastructure, including repairs,
replacements and other modifications.
18. The Regional Director may grant an extension of time for completion of any of
the work to be performed upon a written request timely submitted demonstrating good
cause for an extension.
III. Review and Approval Process
19. With respect to any submission under Section II of this Consent Agreement that
requires the approval of the Regional Director, the Director may: (a) approve, in whole or
in part, the submission, (b) approve the submission on specified conditions, (c)
disapprove, in whole or in part, the submission, or (d) any combination of the foregoing.
In the event of approval, approval in part, or approval upon conditions, Respondent will
proceed to take all action required by the submission as approved by the Director, subject
to Respondent’s right to invoke the dispute resolution procedures in Section IV with
respect to any conditions identified by the Director. In the event that the Director
disapproves all or any portion of the submission, the Director will provide Respondent
with a written notice of the deficiencies. Respondent will correct all deficiencies within
the time specified by the Director and resubmit it for approval.
IV. Dispute Resolution
20. The Regional Director and Respondent will informally attempt to resolve any
disputes arising under this Consent Agreement. If Respondent and the Regional Director
are unable to informally resolve the dispute within 15 days, Respondent may request in
writing, within 10 days, a written determination resolving the dispute from the Associate
Administrator for Pipeline Safety providing all information that Respondent believes is
5



relevant to the dispute. If the request is submitted as provided herein, the Associate
Administrator will issue a determination in writing which shall be final. The existence of
a dispute and PHMSA’s consideration of matters placed in dispute shall not excuse, toll,
or suspend any term or timeframe for completion of any work to be performed under this
agreement during the pendency of the dispute resolution process except as agreed by the
Regional Director or the Associate Administrator in writing.
V. Enforcement
21. This Consent Agreement, as adopted by the Consent Order, is subject to all
enforcement authorities available to PHMSA under 49 U.S.C. § 60101 et seq. and 49
C.F.R. Part 190, including administrative civil penalties under § 60122 of up to $100,000
per violation for each day the violation continues, if PHMSA determines that Respondent
is not proceeding in accordance with terms of the agreement, determinations made by the
Regional Director, or if appealed, decisions of the Associate Administrator. All work
plans and associated schedules set forth or referenced in Section II shall be automatically
incorporated into this Consent Agreement and are enforceable in the same manner.
VI. Record Keeping and Information Disclosure
22. Respondent agrees to maintain records demonstrating compliance with all
requirements of this Consent Agreement for a period of at least five years following
completion of all work to be performed. For any reports, plans, or other deliverables
required to be submitted to PHMSA pursuant to this Consent Agreement, Respondent
may assert a claim of business confidentiality or other protections applicable to the
release of information by PHMSA, covering part or all of the information required to be
submitted to PHMSA pursuant to this agreement in accordance with 49 C.F.R. Part 7.
The claim of confidentiality shall be marked in writing on each page, and shall include a
statement specifying the grounds for each claim of confidentially. PHMSA shall
determine release of any information submitted pursuant to this Consent Agreement in
accordance with 49 C.F.R. Part 7, the Freedom of Information Act, 5 U.S.C. § 552, DOT
and/or PHMSA policies, and other applicable regulations and Executive Orders.
VII. Effective Date
23. The “Effective Date” as used herein is the date on which this Consent Agreement
has been signed by both Respondent and PHMSA. Unless specified to the contrary, all
deadlines for actions required by this agreement run from the Effective Date of this
agreement.
VIII. Modification
24. The terms of this Consent Agreement may be modified by mutual agreement of
the parties. Such modifications shall be in writing and shall be signed by both parties.
6



IX. Termination
25. This Consent Agreement shall terminate upon the completion of all terms set
forth in Section II (Work to Be Performed). Respondent may request written
confirmation from PHMSA when this agreement is terminated. To the extent ongoing
monitoring is required, PHMSA may terminate this agreement with respect to all other
requirements with the exception of such monitoring. Nothing in this agreement prevents
Respondent from completing any of the obligations earlier than the deadlines provided
for herein.
X. Ratification
26. The parties undersigned representatives certify that they are fully authorized to
enter into the terms and conditions of this Consent Agreement and to execute and legally
bind such party to this document.
27. The Parties hereby agree to all conditions and terms of this Consent Agreement:
For PHMSA: For Respondent:
___________________________ ____________________________
R. M. Seeley Thomas Stone
Director, Southwest Region Vice President, Chief Operations
PHMSA and Maintenance Officer
Florida Gas Transmission
Company, LLC
_____________________ _____________________
Date Date
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