{"operation":"document","citation":"CPF 420195002W","title":"PERMIAN EXPRESS PARTNERS LLC — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-01-16","effective_on":null,"summary":"CLOSED warning letter citing 194.105(a), 194.105(b)(1), 194.105(b)(2), 194.105(b)(3).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-420195002w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-420195002w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-420195002w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/420195002W","body":"Warning Letter involving PERMIAN EXPRESS PARTNERS LLC. PHMSA's enforcement data identifies the cited regulations as 194.105(a),  194.105(b)(1),  194.105(b)(2),  194.105(b)(3). The case was opened on 2019-01-16 and is reported as closed as of 2019-01-16. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n420195002W_Operator Response to Notice_02152019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420195002W/420195002W_Operator%20Response%20to%20Notice_02152019.pdf\n\n420195002W_Warning Letter_01162019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420195002W/420195002W_Warning%20Letter_01162019.pdf\n\n420195002W_Warning Letter_01162019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/420195002W/420195002W_Warning%20Letter_01162019_text.pdf\n\n420195002W_Warning Letter_01162019_text.pdf\n\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJanuary 16, 2019\nGreg McIlwain\nPermian Express Partners, LLC\nSenior Vice President Operations\n1300 Main Street\nHouston, Texas 77002\nCPF-4-2019-5002W\nDear Mr. McIlwain:\nFrom December 12, 2017 to December 13, 2018, a representative of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), pursuant to Chapter\n601 of 49 United States Code (U.S.C.) inspected your LOLA-Louisiana to Longview pipeline\nsystem.\nAs a result of the inspection, it appears that you have committed a probable violation of the Pipeline\nSafety Regulations, Title 49, Code of Federal Regulations. The item inspected and the probable\nviolation is:\n1. §194.105 Worst case discharge.\n(a) Each operator shall determine the worst-case discharge for each of its response zones\nand provide the methodology, including calculations, used to arrive at the volume.\n(b) The worst-case discharge is the largest volume, in barrels (cubic meters), of the\nfollowing:\n\n\n\n(1) The pipeline's maximum release time in hours, plus the maximum shutdown response\ntime in hours (based on historic discharge data or in the absence of such historic data,\nthe operator's best estimate), multiplied by the maximum flow rate expressed in\nbarrels per hour (based on the maximum daily capacity of the pipeline), plus the\nlargest line drainage volume after shutdown of the line section(s) in the response zone\nexpressed in barrels (cubic meters); or\n(2) The largest foreseeable discharge for the line section(s) within a response zone,\nexpressed in barrels (cubic meters), based on the maximum historic discharge, if one\nexists, adjusted for any subsequent corrective or preventive action taken; or\n(3) If the response zone contains one or more breakout tanks, the capacity of the single\nlargest tank or battery of tanks within a single secondary containment system, adjusted\nfor the capacity or size of the secondary containment system, expressed in barrels (cubic\nmeters).\nPermian Express failed to use the capacity of the single largest tank within a single secondary\ncontainment system to determine the worst-case discharge for the Longview Response Zone.\nThe LOLA pipeline system is covered under the SPLP (Sunoco) Longview Response Zone\n(#0724). Section 6. The Worst Case Discharge Summary (page 40-44) of the FRP – Longview\nResponse Zone (#0724), shows that the worst-case discharge (WCD) for breakout tanks (BOT)\nis calculated based on Tank 14/15 at the Longview, Texas Facility with a recorded capacity of\nof 96,000 barrels (bbls).\nDuring the field inspection and records review it was determined that Tank 311, at the Finney,\nTexas Facility, has a capacity 120,000 bbls which would make the WCD the 120,000 bbls\nrather than the 96,000 bbls of Tanks 14/15. Table 1-3; Storage Tank Data; page 8 lists the\ncapacities of all the tanks in the Longview Response Zone.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$213,268 per violation per day the violation persists, up to a maximum of $2,132,679 for a\nrelated series of violations. For violation occurring on or after November 2, 2015 and before\nNovember 27, 2018, the maximum penalty may not exceed $209,002 per violation per day, with\na maximum penalty not to exceed $2,090,022. For violations occurring prior to November 2,\n2015, the maximum penalty may not exceed $200,000 per violation per day, with a maximum\npenalty not to exceed $2,000,000 for a related series of violations. We have reviewed the\ncircumstances and supporting documents involved in this case, and have decided not to conduct\nadditional enforcement action or penalty assessment proceedings at this time. We advise you to\ncorrect the items identified in this letter. Failure to do so will result in Permian Express Partners,\nLLC being subject to additional enforcement action.\n2\n\n\n\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to\nCPF 4-2019-5002W. Be advised that all material you submit in response to this enforcement\naction is subject to being made publicly available. If you believe that any portion of your\nresponsive material qualifies for confidential treatment under 5 U.S.C. 552(b), along with the\ncomplete original document you must provide a second copy of the document with the portions\nyou believe qualify for confidential treatment redacted and an explanation of why you believe\nthe redacted information qualifies for confidential treatment under 5 U.S.C. 552(b).\nSincerely,\nMary L. McDaniel, P.E.\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\n3","truncated":false,"body_characters":5548}