{"operation":"document","citation":"CPF 420168001M","title":"OZARK GAS TRANSMISSION, L.L.C — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2016-11-09","effective_on":null,"summary":"CLOSED notice of amendment citing 192.603(a), 195.505(i).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420168001m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420168001m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420168001m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420168001M","body":"Notice of Amendment involving OZARK GAS TRANSMISSION, L.L.C. PHMSA's enforcement data identifies the cited regulations as 192.603(a),  195.505(i). The case was opened on 2016-11-09 and is reported as closed as of 2017-01-09. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420168001M_Closure Letter_01092017.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Closure%20Letter_01092017.pdf\n\n420168001M_Closure Letter_01092017_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Closure%20Letter_01092017_text.pdf\n\n420168001M_Notice of Amendment_11092016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Notice%20of%20Amendment_11092016.pdf\n\n420168001M_Notice of Amendment_11092016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Notice%20of%20Amendment_11092016_text.pdf\n\n420168001M_Region Replacement of NOA Letter_11092016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Region%20Replacement%20of%20NOA%20Letter_11092016.pdf\n\n420168001M_Region Replacement of NOA Letter_11092016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420168001M/420168001M_Region%20Replacement%20of%20NOA%20Letter_11092016_text.pdf\n\n420168001M_Closure Letter_01092017_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJanuary 9, 2017\nJohn Drake\nVice President Operations and EHS\nOZARK Gas Transmission, LLC\n5400 Westheimer Court\nHouston Texas 77056\nCPF 4-2016-8001M\nDear Mr. Drake:\nDuring the period from April 11 , 2016 to September 8, 2016, a representative from the Pipeline\nand Hazardous Materials Safety Administration (PHMSA), pursuant to chapter 601 of 49 United\nStates Code, conducted an on-site pipeline safety inspection of Ozark Gas Transmission LLC’s\nprocedures in Oklahoma and Arkansas. As a result of the inspection, Ozark Gas Transmission LLC\nwas issued a Notice of Amendment on November 9, 2016, which proposed amendment of your\nprocedures.\nOzark Gas Transmission LLC submitted its amended procedures on December 29, 2016. My staff\nreviewed the amended procedures, and it appears that the inadequacies outlined in this Notice of\nAmendment have been corrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you\nfor your cooperation.\nSincerely,\nR.M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\n\n420168001M_Region Replacement of NOA Letter_11092016_text.pdf\n\nCERTIFIED MAIL – RETURN RECEIPT REQUESTED\nNovember 9, 2016\nTheopolis Holeman\nGroup Vice President\nOZARK Gas Transmission, LLC\n5400 Westheimer Court\nHouston Texas 77056\nDear Mr. Holeman:\nOur office submitted a Notice of Amendment (NOA), CPF 4-2016-1013M, dated November 3,\n2016. Please discard the NOA that was submitted previously, and use the letter that is enclosed.\nPlease note that the enclosed replacement NOA, dated November 9, 2016, has a new case\nnumber assigned, CPF 4-2016-8001M. Any communication going forward regarding the\nreplacement NOA, please use CPF 4-2016-8001M.\nSincerely,\nCynthia P. Lewis\nProgram Assistant, Southwest Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure\n\n420168001M_Notice of Amendment_11092016_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nNovember 9, 2016\nTheopolis Holeman\nGroup Vice President\nOZARK Gas Transmission, LLC\n5400 Westheimer Court\nHouston Texas 77056\nCPF 4-2016-8001M\nDear Mr. Holeman:\nDuring the period from April 11, 2016 to September 8, 2016, a representative of the Pipeline and\nHazardous Materials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United\nStates Code inspected Ozark Gas Transmission LLC, at which time, the Spectra Energy\n(Spectra) procedures for Operator Qualification and Operations & Maintenance were reviewed.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nSpectra’s plans and procedures, as described below:\n1. 195.505 – Qualification Program\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n\n\n\n(i) After December 16, 2004, notify the Administrator or a state agency\nparticipating under 49 U.S.C. Chapter 601 if the operator significantly\nmodifies the program after the administrator or state agency has verified\nthat it complies with this section. Notifications to PHMSA may be submitted\nby electronic mail to InformationResourcesManager@dot.gov or by mail to\nATTN: Information Resources Manager DOT/PHMSA/OPS, East Building,\n2nd Floor, E22-321, New Jersey Avenue SE., Washington, DC 20590.\nOzark Gas Transmission LLC (Spectra’s) written Operator Qualification (OQ) plan, Section 8.0\nManagement of Change, does not include a categorization of changes due to mergers and\nacquisitions, increasing span of control ratios, and other changes identified in PHMSA’s ADB\n2009-003. Spectra failed to notify PHMSA of changes in their OQ program that were identified\nas significant and clarified by ADB-09-03 when it acquired the Express Platte pipeline in 2003\n(Express Holdings (USA), LLC, OPID 31720.) The acquisition resulted in the addition of\nsixteen (16) new covered tasks (liquids) to its internal covered task lists and seventeen (17) new\ntasks to its contractor covered task list on July 02, 2003.\nSpectra must update their written OQ program to include changes due to mergers and\nacquisitions, increasing span of control ratios and other changes termed and clarified as\nsignificant in PHMSA’s ADB 2009-003.\n2. 192.603 – General Provisions.\n(a) No person may operate a segment of pipeline unless it is operated in accordance\nwith this subpart.\nSpectra’s written Administrative Procedure for Maximum Operating Pressure Calculation (Spec\nNo. AP-CD3.0) outlines a procedure that can be utilized in establishing an alternative MAOP.\nThis procedure outlines procedures to establish the MAOP of a pipeline that does not already\nhave documentation of an MAOP.\nThe procedure in Section 3E of Spectra’s manual states that “If documentation of an MAOP\ncannot be found, an MAOP may be established using the highest pressure experienced over the\nprevious 5 years without causing damage or safety problems. This pressure must have been held\nfor several hours. The operator must consult with the regulatory agency to establish an MAOP in\nthis manner.”\nThe establishment of an MAOP utilizing this procedure is outside the regulatory requirements\ncontained in Part 192. This provision as such cannot be used to establish MAOP on any of\nSpectra’s pipelines and should be removed from the procedures.\n2\n\n\n\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.237. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in\nCompliance 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.\nIf, after opportunity for a hearing, your plans or procedures are found inadequate as alleged in\nthis Notice, you may be ordered to amend your plans or procedures to correct the inadequacies\n(49 C.F.R. § 190.237). If you are not contesting this Notice, we propose that you submit your\namended procedures to my office within 30 days of receipt of this Notice. This period may be\nextended by written request for good cause. Once the inadequacies identified herein have been\naddressed in your amended procedures, this enforcement action will be closed.\nIt is requested (not mandated) that Spectra maintain documentation of the safety improvement\ncosts associated with fulfilling this Notice of Amendment (preparation/revision of plans,\nprocedures) and submit the total to R. M. Seeley, Director, Southwest Region, Pipeline and\nHazardous Materials Safety Administration. In correspondence concerning this matter, please\nrefer to CPF 4-2016-8001M and, for each document you submit, please provide a copy in\nelectronic format whenever possible.\nSincerely,\nR. M. Seeley\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\n3","truncated":false,"body_characters":9053}