{"operation":"document","citation":"CPF 420125028","title":"ONEOK NGL PIPELINE, LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2012-09-12","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.402(a), 195.402(c)(13), 195.402(c)(3), 195.589(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420125028.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420125028.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420125028","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420125028","body":"Notice of Probable Violation involving ONEOK NGL PIPELINE, LLC. PHMSA's enforcement data identifies the cited regulations as 195.402(a),  195.402(c)(13),  195.402(c)(3),  195.589(c). The case was opened on 2012-09-12 and is reported as closed as of 2013-04-22. Proposed civil penalty: $15,300. Assessed civil penalty: $15,300. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420125028_Final Order_ 04222013_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420125028/420125028_Final%20Order_%2004222013_text.pdf\n\n420125028_Final Order_04222013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420125028/420125028_Final%20Order_04222013.pdf\n\n420125028_NOPV PCP PCO_09122012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420125028/420125028_NOPV%20PCP%20PCO_09122012.pdf\n\n420125028_NOPV PCP PCO_09122012_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420125028/420125028_NOPV%20PCP%20PCO_09122012_text.pdf\n\n420125028_Operator Response to Notice_09282012.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420125028/420125028_Operator%20Response%20to%20Notice_09282012.pdf\n\n420125028_NOPV PCP PCO_09122012_text.pdf\n\nNOTICE OF PROBABLE VIOLATION\nPROPOSED CIVIL PENALTY\nand\nPROPOSED COMPLIANCE ORDER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nSeptember 12, 2012\nMr. Wes Christensen\nSenior Vice President, NGL Operations\nONEOK Partners, NGL Pipeline L.P.\n100 West Fifth Street\nTulsa, OK 74102\nCPF 4-2012-5028\nDear Mr. Christensen:\nOn multiple occasions between September 2011 through January 20, 2012, representatives of the\nPipeline and Hazardous Materials Safety Administration (PHMSA) pursuant to Chapter 601 of\n49 United States Code were onsite and inspected your Operations and Maintenance Manual,\nrecords and pipeline facilities in Oklahoma and Texas.\nAs a result of the inspection, it appears that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected and the\nprobable violation(s) are:\n1. §195.589 What corrosion control information do I have to maintain?\n(c) You must maintain a record of each analysis, check, demonstration,\nexamination, inspection, investigation, review, survey, and test required by this\nsubpart in sufficient detail to demonstrate the adequacy of corrosion control\nmeasures or that corrosion requiring control measures does not exist. You must\n\n\n\nretain these records for at least 5 years, except that records related to §§195.569,\n195.573(a) and (b), and 195.579(b)(3) and (c) must be retained for as long as the\npipeline remains in service.\nONEOK failed to maintain records with sufficient detail to demonstrate the adequacy of\ncorrosion control measures of their pipeline system.\nThe Operator informed PHMSA during the inspection that certain records required by 49 CFR\n195.589 were missing. These records consisted of data collected during the annual pipe-to-soil\nsurveys carried out on the Arbuckle Pipeline during September through October 2010 between\napproximate mileposts (MP) 266 and 439. Some of the missing records were related to data lost\nand unrecoverable due to a computer hard drive problem. Additionally, the operator learned that\nthere were no records for the pipe-to-soil survey having been completed between approximately\nMP 109 and 176.\n2. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline system a\nmanual of written procedures for conducting normal operations and maintenance\nactivities and handling abnormal operations and emergencies. This manual shall be\nreviewed at intervals not exceeding 15 months, but at least once each calendar year,\nand appropriate changes made as necessary to insure that the manual is effective.\nThis manual shall be prepared before initial operations of a pipeline system\ncommence, and appropriate parts shall be kept at locations where operations and\nmaintenance activities are conducted.\nONEOK did not follow their procedure for evaluating and remediating anomalous conditions\nthat are discovered as a result of integrity assessments and information analysis.\nONEOK’s, Procedure 3.2 Design and Operating Parameters, of their O&M Procedures for\nHazardous Liquids, states that pipeline repairs will be made in accordance to NGLimp3.0001.\nNGLimp3.0001, Section 5: Assessment and Remediation states that anomalous conditions are\nevaluated and repaired in accordance with Procedure 53: Defect Evaluation and Repair.\nONEOK’s Procedure 53: Defect Evaluation and Repair, Section 2.4.7.1, states how internal\ncorrosion shall be evaluated. The procedure states to “Create a half-inch incremented grid\ncircumferentially and axially” and to “Use a hand-held wall thickness verification meter or a UT\ndevice to determine the lowest wall thickness in each ½ in grid”. Section 2.4.7.1 demonstrates\nhow to accomplish the grid and to use Figure 2 as an example.\nONEOK personnel did not follow their procedures to evaluate for internal corrosion. During Dig\nNumber CF-10-F4, ONEOK personnel did not document that a grid was completed during the\nUT scans of the pipe sections to locate the internal corrosion. Also, during Dig Number SMC-\n2\n\n\n\n08-05, ONEOK personnel did not document that a grid was completed during the UT scans of\nthe pipe section to locate the internal corrosion.\n3. §195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline system a\nmanual of written procedures for conducting normal operations and maintenance\nactivities and handling abnormal operations and emergencies. This manual shall be\nreviewed at intervals not exceeding 15 months, but at least once each calendar year,\nand appropriate changes made as necessary to insure that the manual is effective.\nThis manual shall be prepared before initial operations of a pipeline system\ncommence, and appropriate parts shall be kept at locations where operations and\nmaintenance activities are conducted.\n(c) Maintenance and normal operations. The manual required by paragraph (a) of this\nsection must include procedures for the following to provide safety during maintenance\nand normal operations:\n(3) Operating, maintaining, and repairing the pipeline system in accordance with each of\nthe requirements of this subpart and subpart H of this part.\nONEOK did not follow their procedure for evaluating and repairing their pipeline while\nremediating anomalous condition in a non-high consequence area.\nONEOK’s, Procedure 3.2 Design and Operating Parameters, of their O&M Procedures for\nHazardous Liquids, states that pipeline repairs will be made in accordance to NGLimp3.0001.\nNGLimp3.0001, Section 5: Assessment and Remediation states that anomalous conditions are\nevaluated and repaired in accordance with Procedure 53: Defect Evaluation and Repair.\nFirst, ONEOK’s Procedure 53, Section 2.2.6, states that “NGL Ops must confirm that the\nselected anomaly is accurately located for each evaluation”. This can be accomplished by:\ncomparison of predicted anomaly characteristics to the actual anomaly, comparison of length of\ntarget joint or nearby joint to the ILI data, comparison of distances to nearby features to ILI or\nalignment sheet data, comparison to previous assessment or repair data, or orientation of\nlongitudinal seam weld.\nDuring Dig Number SMC-08-05 ONEOK personnel did not document or obtain sufficient data\nto accurately locate an anomaly. The documentation, “Pipeline Defect Evaluation & Repair\nForm,” states that no external or internal defect was found after completing a UT scan. There is\nno evidence of other confirmation methods utilized per the procedure to confirm the anomaly\nlocation was accurately located.\n4. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n3\n\n\n\n(a) General. Each operator shall prepare and follow for each pipeline system a\nmanual of written procedures for conducting normal operations and maintenance\nactivities and handling abnormal operations and emergencies. This manual shall be\nreviewed at intervals not exceeding 15 months, but at least once each calendar year,\nand appropriate changes made as necessary to insure that the manual is effective.\nThis manual shall be prepared before initial operations of a pipeline system\ncommence, and appropriate parts shall be kept at locations where operations and\nmaintenance activities are conducted.\n(c) Maintenance and normal operations. The manual required by paragraph (a) of this\nsection must include procedures for the following to provide safety during maintenance\nand normal operations:\n(13) Periodically reviewing the work done by operator personnel to determine the\neffectiveness of the procedures used in normal operation and maintenance and taking\ncorrective action where deficiencies are found.\nONEOK did not follow their procedure on documentation of the periodic review of work done\nby personnel to determine the effectiveness of the procedures used in normal operation and\nmaintenance and taking corrective action where deficiencies are found.\nONEOK’s Procedure 3.1 General Procedures, Normal Operating Procedures Review, states that\nthe ONP Business Manager or designee shall be responsible for conducting a review of the work\ndone by personnel to determine the effectiveness of operating procedures at intervals not\nexceeding 15 months, but at least once each calendar year. In addition, the procedure states that\nthe annual review documentation of these reviews will include the date, items discussed, changes\nand personnel in attendance. ONEOK did not have any documentation demonstrating the review\nof the work done by operator personnel to determine the effectiveness of the procedures used\nwas being performed.\nProposed Civil Penalty\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $100,000\nfor each violation for each day the violation persists up to a maximum of $1,000,000 for any\nrelated series of violations. The Compliance Officer has reviewed the circumstances and\nsupporting documentation involved in the above probable violation(s) and has recommended that\nyou be preliminarily assessed a civil penalty of $15,300 for item 2.\nWarning Items\nWith respect to items 1 and 4, PHMSA has reviewed the circumstances and supporting\ndocuments involved in this case and has decided not to conduct additional enforcement action or\npenalty assessment proceedings at this time. We advise you to promptly correct these item(s).\n4\n\n\n\nBe advised that failure to do so may result in ONEOK NGL Pipeline L.P. being subject to\nadditional enforcement action.\nProposed Compliance Order\nWith respect to items 2 and 3 pursuant to 49 United States Code § 60118, the Pipeline and\nHazardous Materials Safety Administration proposes to issue a Compliance Order to ONEOK\nNGL Pipeline L.P. Please refer to the Proposed Compliance Order, which is enclosed and made\na part of this Notice.\nResponse to this Notice\nEnclosed as part of this Notice is a document entitled Response Options for Pipeline Operators\nin Compliance Proceedings. Please refer to this document and note the response options. Be\nadvised that all material you submit in response to this enforcement action is subject to being\nmade publicly available. If you believe that any portion of your responsive material qualifies for\nconfidential treatment under 5 U.S.C. 552(b), along with the complete original document you\nmust provide a second copy of the document with the portions you believe qualify for\nconfidential treatment redacted and an explanation of why you believe the redacted information\nqualifies for confidential treatment under 5 U.S.C. 552(b). If you do not respond within 30 days\nof receipt of this Notice, this constitutes a waiver of your right to contest the allegations in this\nNotice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in\nthis Notice without further notice to you and to issue a Final Order.\nIn your correspondence on this matter, please refer to CPF 4-2012-5028 and for each document\nyou submit, please provide a copy in electronic format whenever possible.\nSincerely,\nR. M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\nEnclosures: Proposed Compliance Order\nResponse Options for Pipeline Operators in Compliance Proceedings\n5\n\n\n\nPROPOSED COMPLIANCE ORDER\nPursuant to 49 United States Code § 60118, the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) proposes to issue to ONEOK a Compliance Order incorporating the\nfollowing remedial requirements to ensure the compliance of ONEOK with the pipeline safety\nregulations:\n1. 2. 3. 4. In regard to Item Number 2 of the Notice pertaining to Dig Numbers SMC-08-05\nand CF-10-F4 in which the evaluation for internal corrosion was not documented,\nthe operator must re-evaluate the location of the anomalies for internal corrosion\nin accordance with their procedures.\nIn regard to Item Number 3 of the Notice pertaining to the Dig Number SMC-08-\n05, in which there was no confirmation methods utilized to confirm the correct\nlocation of the anomaly, the operator must do further evaluation in accordance\nwith their procedures to confirm the correct location of the anomaly.\nONEOK must complete items 1 and 2 within 180 days following receipt of the\nFinal Order.\nIt is requested (not mandated) that ONEOK maintain documentation of the safety\nimprovement costs associated with fulfilling this Compliance Order and submit\nthe total to R. M. Seeley, Director, Southwest Region, Pipeline and Hazardous\nMaterials Safety Administration. It is requested that these costs be reported in\ntwo categories: 1) total cost associated with preparation/revision of plans,\nprocedures, studies and analyses, and 2) total cost associated with replacements,\nadditions and other changes to pipeline infrastructure.\n6\n\n420125028_Final Order_ 04222013_text.pdf\n\nAPRIL 22, 2013\nMr. Wes Christensen\nSenior Vice President, NGL Operations\nONEOK NGL Pipeline L.L.C\n100 West Fifth Street\nTulsa, OK 74102\nRe: CPF No. 4-2012-5028\nDear Mr. Christensen:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation, assesses a civil penalty of $15,300 and specifies actions that need to be taken by\nONEOK NGL Pipeline L.L.C. to comply with the pipeline safety regulations. This is to\nacknowledge receipt of payment of the full penalty amount, by wire transfer, dated\nOctober 22, 2012. It further finds that ONEOK NGL Pipeline, L.L.C. has completed the actions\nspecified in the Notice to comply with the pipeline safety regulations. This enforcement action is\nnow closed. Service of the Final Order by certified mail is deemed effective upon the date of\nmailing, 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. Rodrick M. Seeley, Director, Southwest Region, OPS\nMr. Alan Mayberry, Deputy Associate Administrator for Field Operations, OPS\nCERTIFIED 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 )\n)\n)\nONEOK Partners, NGL Pipeline L.P.,\n)\nRespondent. )\n____________________________________)\n1 ) CPF No. 4-2012-5028\nFINAL ORDER\nBetween September, 2011 and January 2012, pursuant to 49 U.S.C. § 60117, a representative of\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety\n(OPS), conducted an on-site pipeline safety inspection of the facilities and records of ONEOK\nNGL Pipeline L.L.C. (ONEOK or Respondent), in Oklahoma and Texas. ONEOK owns and\noperates over 2400 miles of natural gas liquid pipelines that transport natural gas from\nproduction areas throughout Oklahoma, Kansas and Texas.2\nAs a result of the inspection, the Director, Southwest Region, OPS (Director), issued to\nRespondent, by letter dated September 12, 2012, a Notice of Probable Violation, Proposed Civil\nPenalty, Proposed Compliance Order and warnings pursuant to 49 C.F.R. § 190.205 (Notice). In\naccordance with 49 C.F.R. § 190.207, the Notice proposed finding that ONEOK had committed\nvarious violations of 49 C.F.R. Part 195 and assessing a civil penalty of $15,300 for one of the\nalleged violations. The Notice also proposed ordering Respondent to take certain measures to\ncorrect the other alleged violations. The warning items required no further action but warned the\noperator to correct the probable violation or face future potential enforcement action.\nONEOK responded to the Notice by letter dated September 28, 2012 (Response). The company\ndid not contest the allegations of violation, paid the proposed civil penalty of $15,300, as\nprovided in 49 C.F.R. § 190.227, and provided information showing that it had complied with\nthe terms of the proposed Compliance Order. Payment of the penalty and completion of the\nCompliance Order, as approved by the Director, serves to close the case with prejudice to\nRespondent.\n1 The initial Notice of Probable Violation was sent to ONEOK Partners, NGL Pipeline L.P.. Since receiving the\nNotice, the Operator has changed its name to ONEOK NGL Pipeline L.L.C.\n2 See http://www.oneokpartners.com/Customers/NaturalGasLiquids/Pipelines/NGLPipeline.aspx (last accessed on\nApril 10, 2013).\n\n\n\n2\nFINDINGS OF VIOLATION\nIn its Response, ONEOK did not contest the allegations in the Notice that it violated\n49 C.F.R. Part 195, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.589, which states in\nrelevant part:\n§ 195.589 – What corrosion control information do I have to maintain?\n(c) You must maintain a record of each analysis, check, demonstration,\nexamination, inspection, investigation, review, survey and test required by this\nsubpart in sufficient detail to demonstrate the adequacy of corrosion control\nmeasures or that corrosion requiring control measures does not exist. You must\nretain these records for at least 5 years, except that records related to §§ 195.569,\n195.573(a) and (b), and 195.579(b)(3) and (c) must be retained for as long as the\npipeline remains in service.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.589(c) by failing to maintain\nrecords with sufficient detail to demonstrate the adequacy of corrosion control measures on its\npipeline system. Specifically, the Notice alleged that ONEOK was missing certain records that\ndocumented the annual pipe-to-soil surveys carried out on the Arbuckle Pipeline during October\n2010.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.589 by failing to maintain\nrecords with sufficient detail to demonstrate the adequacy of corrosion control measures on its\npipeline system.\nItem 2: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(a), which states in\nrelevant part:\n§ 195.402 – Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline system a\nmanual of written procedures for conducting normal operations and maintenance\nactivities and handling abnormal operations and emergencies. This manual shall be\nreviewed at intervals not exceeding 15 months, but at least once each calendar year,\nand appropriate changes made as necessary to insure that the manual is effective. This\nmanual shall be prepared before initial operations of a pipeline system commence,\nand appropriate parts shall be kept at locations where operations and maintenance\nactivities are conducted.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(a) by failing to follow its own\nprocedure for evaluating and remediating anomalous conditions discovered through integrity\nassessments and information analysis. Specifically, the Notice alleged that ONEOK violated 3.2\n\n\n\n3\nDesign & Operating Parameters of its O&M Procedures when it failed to document that a grid\nwas completed during the UT scans of the pipe section to locate internal corrosion.\nSection 2.4.7.1 of Procedure 53 (Defect Evaluation and Repair) states how internal corrosion\nshall be evaluated. The procedure states to create a half-inch incremented grid circumferentially\nand axially and to use a hand-held wall thickness verification meter or a UT device to determine\nthe lowest wall thickness in each half-inch grid. On two separate occasions, ONEOK personnel\ndid not follow this procedure. During Digs CF-10-F4 and SMC-208-05, ONEOK personnel did\nnot document that a grid was completed during the UT scans to locate internal corrosion.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.402(a) by failing to properly\ndocument that a grid was completed during the UT scans to locate the internal corrosion.\nItem 3: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(3), which states in\nrelevant part:\n§ 195.402 – Procedural manual for operations, maintenance, and emergencies.\n(c) Maintenance and normal operations. The manual required by paragraph (a)\nof this section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(3) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(3) by failing to follow its\nown procedure for evaluating and repairing its pipeline while remediating anomalous conditions\nin a non-high consequence area. Specifically, the Notice alleged that ONEOK did not document\nor obtain sufficient data to accurately locate any anomalies as set forth in procedure 3.2 of its\nDesign & Operating Parameters.\nSection 2.2.6 of Procedure 53 requires that each anomaly be accurately located for each\nevaluation. The procedure states that ONEOK’s personnel should compare the predicted\nanomaly characteristics to the actual anomaly. ONEOK personnel did not adequately follow this\nprocedure. During Dig SMC-08-05, ONEOK personnel did not document or obtain sufficient\ndata to accurately locate the anomaly.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.402(c)(3) failing to document or\nobtain sufficient data to accurately locate an anomaly.\nItem 4: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(13), which states in\nrelevant part:\n§ 195.402 – Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each shall prepare and follow for each pipeline system a manual of\nwritten procedures for conducting operations and maintenance activities and handling\n\n\n\n4\nabnormal operations and emergencies. This manual shall be reviewed at intervals not\nexceeding 15 months, but at least once a year, and appropriate changes made as\nnecessary to insure that the manual is effective. This manual shall be prepared before\ninitial operation of a pipeline system commence, and appropriate parts shall be kept at\nlocations where operations and maintenance activities are conducted.\n(b) …\n(c) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(13) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(13) by failing to follow its\nown procedures requiring that it periodically review the work done by personnel to determine the\neffectiveness of its operating procedures. Specifically, the Notice alleged that ONEOK violated\nProcedure 3.1 (General Procedures).\nProcedure 3.1 requires the Business Manager to be responsible for conducting a review of the\nwork done by personnel, to determine the effectiveness of operating procedures at least once a\nyear. The documents of these reviews will include the date, items discussed, changes and\npersonnel attendance. During the OPS inspection, ONEOK could not produce any of the\nnecessary documentation.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.402(c)(13) by failing to\nperiodically review the work done by its personnel to determine the effectiveness of its operating\nprocedure\nThese findings of violation will be considered prior offenses in any subsequent enforcement\naction taken against Respondent.\nASSESSMENT OF PENALTY\nUnder 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed\n$100,000 per violation for each day of the violation, up to a maximum of $1,000,000 for any\nrelated series of violations. In determining the amount of a civil penalty under\n49 U.S.C. § 60122 and 49 C.F.R. § 190.225, I must consider the following criteria: the nature,\ncircumstances, and gravity of the violation, including adverse impact on the environment; the\ndegree of Respondent’s culpability; the history of Respondent’s prior offenses; the Respondent’s\nability to pay the penalty and any effect that the penalty may have on its ability to continue doing\nbusiness; and the good faith of Respondent in attempting to comply with the pipeline safety\nregulations. In addition, I may consider the economic benefit gained from the violation without\nany reduction because of subsequent damages, and such other matters as justice may require.\nThe Notice proposed a total civil penalty of $15,300 for Item #2 cited above.\nItem 2: The Notice proposed a civil penalty of $15,300 for Respondent’s violation of\n\n\n\n5\n49 C.F.R. § 195.402(a), for failing to follow their procedure for evaluating and remediating\nanomalous conditions that are discovered as a result of integrity assessments and information\nanalysis. ONEOK did not contest the proposed penalty amount. Accordingly, having reviewed\nthe record and considered the assessment criteria, I assess Respondent a civil penalty of $15,300\nfor violation of 49 C.F.R. § 195.402(a), which has already been remitted.\nIn summary, having reviewed the record and considered the assessment criteria for the Item cited\nabove, I assess Respondent a total civil penalty of 15,300, which has been paid in full.\nCOMPLIANCE ORDER\nThe Notice proposed a compliance order with respect to Items 2 and 3 in the Notice for\nviolations of 49 C.F.R. §195.402(a) and (c), respectively. Under 49 U.S.C. § 60118(a), each\nperson who engages in the transportation of hazardous liquid or who owns or operates a pipeline\nfacility is required to comply with the applicable safety standards established under chapter 601.\nThe Director indicates that Respondent has taken the following actions specified in the proposed\ncompliance order:\n1. With respect to the violation of § 195.402(a) (Item 2), Respondent has re-\nevaluated the location of the anomalies for internal corrosion at Dig Numbers SMC-\n08-05 and CF-10-F4 in accordance with its procedures.\n2. With respect to the violation of § 195.402(c) (Item 3), Respondent has conducted\nfurther evaluation methods, in accordance with its procedures, to confirm the correct\nlocation of the anomaly pertaining to Dig Number SMC-08-05.\nAccordingly, I find that compliance has been achieved with respect to these violations.\nTherefore, the compliance terms proposed in the Notice are not included in this Order.\nWARNING ITEMS\nWith respect to Items 1 and 4, the Notice alleged probable violations of Part 195 but did not\npropose a civil penalty or compliance order for these items. Therefore, these are considered to\nbe warning items. The warnings were for:\n49 C.F.R. § 195.589 (Item 1) ─ Respondent’s alleged failure to maintain records\nwith sufficient detail to demonstrate the adequacy of corrosion control measures\non its pipeline system; and\n49 C.F.R. § 195.402(c)(13) (Item 4) ─ Respondent’s alleged failure to follow its\nown procedures, requiring that it periodically review the work done by personnel\nto determine the effectiveness of its own procedures.\n\n\n\n6\nIf OPS finds a violation of any of these items in a subsequent inspection, Respondent may be\nsubject to future enforcement action.\nThe terms and conditions of this Final Order are effective upon service in accordance with\n49 C.F.R. § 190.5.\n___________________________________ __________________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n420125028_Final Order_04222013.pdf\n\nof Transportation\nU.S. Department\n1200 New Jersey Avenue, SE\nWashington, D.C. 20590\nPipeline and Hazardous\nAdministration\nMaterials Safety\nAPR 22 2013\nMr. Wes Christensen\nSenior Vice President, NGL Operations\nONEOK NGL Pipeline L.L.C\n100 West Fifth Street\nTulsa, OK 74102\nRe: CPF No. 4-2012-5028\nDear Mr. Christensen:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation, assesses a civil penalty of $15,300 and specifies actions that need to be taken by\nONEOK NGL Pipeline L.L.C. to comply with the pipeline safety regulations. This is to\nacknowledge receipt of payment of the full penalty amount, by wire transfer, dated\nUctober 22, 2012. It further finds that ONEOK NGL Pipeline, L.L.C. has completed the actions\nspected it the ceo to comply with the peptine sail segulaid s. hive upon the dacoin is\nmailing, 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:\nMr. Rodrick M. Seeley, Director, Southwest Region, OPS\nMr. Alan Mayberry, Deputy Associate Administrator for Field Operations, OPS\nCERTIFIED 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\nIn the Matter of\nONEOK Partners, NGL. Pipeline L.P.,'\nCPF No. 4-2012-5028\nRespondent.\nFINAL ORDER\nBetween September, 2011 and January 2012, pursuant to 49 U.S.C. § 60117, a representative of\nthe Pipeline and Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety\n(OPS), conducted an on-site pipeline safety inspection of the facilities and records of ONEOK\nNGL Pipeline L.L.C. (ONEOK or Respondent), in Oklahoma and Texas. ONEOK owns and\noperates over 2400 miles of natural gas liquid pipelines that transport natural gas from\nproduction areas throughout Oklahoma, Kansas and Texas?\nAs a result of the inspection, the Director, Southwest Region, OPS (Director), issued to\nRespondent, by letter dated September 12, 2012, a Notice of Probable Violation, Proposed Civil\nPenalty, Proposed Compliance Order and warnings pursuant to 49 C.F.R. § 190.205 (Notice). In\naccordance with 49 C.F.R. § 190.207, the Notice proposed finding that ONEOK had committed\nvarious violations of 49 C.F.R. Part 195 and assessing a civil penalty of $15,300 for one of the\nalleged violations. The Notice also proposed ordering Respondent to take certain measures to\ncorrect the other alleged violations. The warning items required no further action but warned the\noperator to correct the probable violation or face future potential enforcement action.\nONEOK responded to the Notice by letter dated September 28, 2012 (Response). The company\ndid not contest the allegations of violation, paid the proposed civil penalty of $15,300, as\nprovided in 49 C.F.R. § 190.227, and provided information showing that it had complied with\nthe terms of the proposed Compliance Order. Payment of the penalty and completion of the\nCompliance Order, as approved by the Director, serves to close the case with prejudice to\nRespondent.\n' The initial Notice of Probable Violation was sent to ONEOK Partners, NGL Pipeline L.P.. Since receiving the\nNotice, the Operator has changed its name to ONEOK NGL Pipeline L.L.C.\n' See http://www.oneokpartners.com/Customers/NaturalGasLiquids/Pipelines/NGLPipeline.aspx (last accessed on\nApril 10, 2013).\n\n\n\n2\nFINDINGS OF VIOLATION\nIn its Response, ONEOK did not contest the allegations in the Notice that it violated\n49 C.F.R. Part 195, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.589, which states in\nrelevant part:\n§ 195.589 - What corrosion control information do I have to maintain?\n(C) You must maintain a record of each analysis, check, demonstration,\nexamination, inspection, investigation, review, survey and test required by this\nsubpart in sufficient detail to demonstrate the adequacy of corrosion control\nmeasures or that corrosion requiring control measures does not exist. You must\nretain these records for at least 5 years, except that records related to §§ 195.569,\n195.573(a) and (b), and 195.579(b)(3) and (c) must be retained for as long as the\npipeline remains in service.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.589(c) by failing to maintain\necords with sufficient detail to demonstrate the adequacy of corrosion control measures on it:\nipeline system. Specifically, the Notice alleged that ONEOK was missing certain records tha\ndocumented the annual pipe-to-soil surveys carried out on the Arbuckle Pipeline during October\n2010.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.589 by failing to maintain\nrecords with sufficient detail to demonstrate the adequacy of corrosion control measures on its\npipeline system.\nItem 2: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(a), which states in\nrelevant part:\n§ 195.402 - Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each operator shall prepare and follow for each pipeline system a\nmanual of written procedures for conducting normal operations and maintenance\nactivities and handling abnormal operations and emergencies. This manual shall be\nreviewed at intervals not exceeding 15 months, but at least once each calendar year,\nand appropriate changes made as necessary to insure that the manual is effective. This\nmanual shall be prepared before initial operations of a pipeline system commence,\nactivities are conducted\nand appropriate parts shall be kept at locations where operations and maintenance\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(a) by failing to follow its own\nprocedure for evaluating and remediating anomalous conditions discovered through integrity\nassessments and information analysis. Specifically, the Notice alleged that ONEOK violated 3.2\n\n\n\n3\nDesign & Operating Parameters of its O&M Procedures when it failed to document that a grid\nwas completed during the UT scans of the pipe section to locate internal corrosion.\nSection 2.4.7.1 of Procedure 53 (Defect Evaluation and Repair) states how internal corrosion\nshall be evaluated. The procedure states to create a half-inch incremented grid circumferentially\nand axially and to use a hand-held wall thickness verification meter or a UT device to determine\nthe lowest wall thickness in each half-inch grid. On two separate occasions, ONEOK personnel\ndid not follow this procedure. During Digs CF-10-F4 and SMC-208-05, ONEOK personnel did\nnot document that a grid was completed during the UT scans to locate internal corrosion.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.402(a) by failing to properly\ndocument that a grid was completed during the UT scans to locate the internal corrosion.\nItem 3: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(3), which states in\nrelevant part:\n§ 195.402 - Procedural manual for operations, maintenance, and emergencies.\n(c) Maintenance and normal operations. The manual required by paragraph (a)\nof this section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(3) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(3) by failing to follow its\nown procedure for evaluating and repairing its pipeline while remediating anomalous conditions\nin a non-high consequence area. Specifically, the Notice alleged that ONEOK did not document\nor obtain sufficient data to accurately locate any anomalies as set forth in procedure 3.2 of its\nDesign & Operating Parameters.\nSection 2.2.6 of Procedure 53 requires that each anomaly be accurately located for each\nevaluation. The procedure states that ONEOK's personnel should compare the predicted\nanomaly characteristics to the actual anomaly. ONEOK personnel did not adequately follow this\nprocedure. During Dig SMC-08-05, ONEOK personnel did not document or obtain sufficient\ndata to accurately locate the anomaly.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. § 195.402(c)(3) failing to document or\nobtain sufficient data to accurately locate an anomaly.\nItem 4: The Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(13), which states in\nrelevant part:\n§ 195.402 - Procedural manual for operations, maintenance, and emergencies.\n(a) General. Each shall prepare and follow for each pipeline system a manual of\nwritten procedures for conducting operations and maintenance activities and handling\n\n\n\nabnormal operations and emergencies. This manual shall be reviewed at intervals not\nexceeding 15 months, but at least once a year, and appropriate changes made as\nnecessary to insure that the manual is effective. This manual shall be prepared before\ninitial operation of a pipeline system commence, and appropriate parts shall be kept at\nlocations where operations and maintenance activities are conducted.\n(b) ...\n(c) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(13) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.402(c)(13) by failing to follow its\nown procedures requiring that it periodically review the work done by personnel to determine the\nProcedure 3.1 (General Procedures).\neffectiveness of its operating procedures. Specifically, the Notice alleged that ONEOK violated\nProcedure 3.1 requires the Business Manager to be responsible for conducting a review of the\nrear. The documents of these reviews will include the date, items discussed, changes an\nvork done by personnel, to determine the eftectiveness of operating procedures at least once\npersonnel attendance. During the OPS inspection, ONEOK could not produce any of the\nnecessary documentation.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nI the evidence, I find that Respondent violated 49 C.F.R. § 195.402(c)(13) by failing t\neriodically review the work done by its personnel to determine the effectiveness of its operatin\nprocedure\nThese findings of violation will be considered prior offenses in any subsequent enforcement\naction taken against Respondent.\nASSESSMENT OF PENALTY\nUnder 49 U.S.C. § 60122, Respondent is subject to an administrative civil penalty not to exceed\n$100,000 per violation for each day","truncated":true,"body_characters":43719}