{"operation":"document","citation":"CPF 420135029W","title":"SHELL PIPELINE CO., L.P. — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2013-11-18","effective_on":null,"summary":"CLOSED warning letter citing 195.264(b)(1).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420135029w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420135029w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420135029w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420135029W","body":"Warning Letter involving SHELL PIPELINE CO., L.P.. PHMSA's enforcement data identifies the cited regulation as 195.264(b)(1). The case was opened on 2013-11-18 and is reported as closed as of 2013-11-18. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420135029W_Warning _11182013_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420135029W/420135029W_Warning%20_11182013_text.pdf\n\n420135029W_Warning_11182013.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420135029W/420135029W_Warning_11182013.pdf\n\n420135029W_Warning_11182013.pdf\n\nu.s. Deportment\nof Transportation\nPipeline and\nHazardous Materials Safety\nAdministration\n8701 South Gessner, Suite 1110\nHouston, TX 77074\nWARNING LETTER\nCERTIFIED MAIL • RETURN RECEIPT REQUESTED\nNovember 18, 2013\nMr. Greg Smith\nPresident\nShell Pipeline Company\n777 Walker Street\nHouston, TX 77002\nCPF 4-2013-5029W\nDear Mr. Smith:\nBetween February and August 29, 2013, representatives of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) pursuant to Chapter 601 of 49 United States Code were onsite and inspected\nShell Pipeline systems in Louisiana, Texas and the GOM. The inspection consisted of procedure, record\nand field audits pursuant to Chapter 601 of 49 United States Code.\nAs a result of the inspection, it appears that you have committed probable violations of the Pipeline\nSafety Regulations, Title 49, Code of Federal Regulations. The item inspected and the probable\nviolation is:\n§195.264 Impoundment, protection against entry, normal/emergency venting or\npressure/vacuum relief for aboveground breakout tanks.\nImpoundment, protection against entry, normal/emergency venting\n(b) After October 2, 2000, compliance with paragraph (a) of this section requires the\nfollowing for the aboveground breakout tanks specified:\n(1) For tanks built to API Specification 12F, API Standard 620, and others (such as API\nStandard 650 or its predecessor Standard 12C), the installation of impoundment must be in\naccordance with the following sections of NFPA 30:\n(i) Impoundment around a breakout tank must be installed in accordance with section\n4.3.2.3.2; and\n\n\n\n(ii) Impoundment by drainage to a remote impounding area must be installed in\naccordance with section 4.3.2.3.1.\n(2) For tanks built to API 2510, the installation of impoundment must be in accordance\nwith section 5 or 11 of API 2510 (incorporated by reference, see §195.3).\nShell Pipeline Company Tank Dike capacity or impoundment records indicated that they were\ninsufficient and not in compliance with § 195.264.\nDuring the record inspection, PHMSA identified that the Tank Dike Capacities for the Tank 484 at\nNairn Station located in Plaquemines parish, LA were insufficient.\nIn the summer of2013, Shell began making plans to reconstruct the Tank Dike. Shell provided the Tank\nDike Capacity calculations and an updated Tank Data sheet to PHMSA on October 29, 2013. PHMSA\nreviewed the Tank Capacity documentation and found it acceptable.\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $200,000 per\nviolation per day the violation persists up to a maximum of$2,000,000 for a related series of violations.\nFor violations occurring prior to January 4, 2012, the maximum penalty may not exceed $100,000 per\nviolation per day, with a maximum penalty not to exceed $1,000,000 for a related series of violations.\nWe have reviewed the circumstances and supporting documents involved in this case, and have decided\nnot to conduct additional enforcement action or penalty assessment proceedings at this time. We advise\nyou to correct the item identified in this letter. Failure to do so will result in Magellan being subject to\nadditional enfOrcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to CPF 4-\n2013-5029W. Be advised that all material you submit in response to this enforcement action is subject\nto being made publicly available. If you believe that any portion of your responsive material qualifies\nfor confidential treatment under 5 U.S.C. 552(b), along with the complete original document you must\nprovide a second copy of the document with the portions you believe qualifY for confidential treatment\nredacted and an explanation of why you believe the redacted information qualifies for confidential\ntreatment under 5 U.S.C. 552(b).\nSincerely,\nR. M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\n\n420135029W_Warning _11182013_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nNovember 18, 2013\nMr. Greg Smith\nPresident\nShell Pipeline Company\n777 Walker Street\nHouston, TX 77002\nCPF 4-2013-5029W\nDear Mr. Smith:\nBetween February and August 29, 2013, representatives of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) pursuant to Chapter 601 of 49 United States Code were onsite and inspected\nShell Pipeline systems in Louisiana, Texas and the GOM. The inspection consisted of procedure, record\nand field audits pursuant to Chapter 601 of 49 United States Code.\nAs a result of the inspection, it appears that you have committed probable violations of the Pipeline\nSafety Regulations, Title 49, Code of Federal Regulations. The item inspected and the probable\nviolation is:\n§195.264 Impoundment, protection against entry, normal/emergency venting or\npressure/vacuum relief for aboveground breakout tanks.\nImpoundment, protection against entry, normal/emergency venting\n(b) After October 2, 2000, compliance with paragraph (a) of this section requires the\nfollowing for the aboveground breakout tanks specified:\n(1) For tanks built to API Specification 12F, API Standard 620, and others (such as API\nStandard 650 or its predecessor Standard 12C), the installation of impoundment must be in\naccordance with the following sections of NFPA 30:\n(i) Impoundment around a breakout tank must be installed in accordance with section\n4.3.2.3.2; and\n\n\n\n(ii) Impoundment by drainage to a remote impounding area must be installed in\naccordance with section 4.3.2.3.1.\n(2) For tanks built to API 2510, the installation of impoundment must be in accordance\nwith section 5 or 11 of API 2510 (incorporated by reference, see §195.3).\nShell Pipeline Company Tank Dike capacity or impoundment records indicated that they were\ninsufficient and not in compliance with §195.264.\nDuring the record inspection, PHMSA identified that the Tank Dike Capacities for the Tank 484 at\nNairn Station located in Plaquemines parish, LA were insufficient.\nIn the summer of 2013, Shell began making plans to reconstruct the Tank Dike. Shell provided the Tank\nDike Capacity calculations and an updated Tank Data sheet to PHMSA on October 29, 2013. PHMSA\nreviewed the Tank Capacity documentation and found it acceptable.\nUnder 49 United States Code, § 60122, you are subject to a civil penalty not to exceed $200,000 per\nviolation per day the violation persists up to a maximum of $2,000,000 for a related series of violations.\nFor violations occurring prior to January 4, 2012, the maximum penalty may not exceed $100,000 per\nviolation per day, with a maximum penalty not to exceed $1,000,000 for a related series of violations.\nWe have reviewed the circumstances and supporting documents involved in this case, and have decided\nnot to conduct additional enforcement action or penalty assessment proceedings at this time. We advise\nyou to correct the item identified in this letter. Failure to do so will result in Magellan being subject to\nadditional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to CPF 4-\n2013-5029W. Be advised that all material you submit in response to this enforcement action is subject\nto being made publicly available. If you believe that any portion of your responsive material qualifies\nfor confidential treatment under 5 U.S.C. 552(b), along with the complete original document you must\nprovide a second copy of the document with the portions you believe qualify for confidential treatment\nredacted and an explanation of why you believe the redacted information qualifies for confidential\ntreatment under 5 U.S.C. 552(b).\nSincerely,\nR. M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration","truncated":false,"body_characters":8367}