{"operation":"document","citation":"CPF 42022037WL","title":"HOLLY ENERGY PARTNERS - OPERATING, L.P. — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2022-02-14","effective_on":null,"summary":"CLOSED warning letter citing 195.579(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022037wl.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022037wl.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022037wl","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/42022037WL","body":"Warning Letter involving HOLLY ENERGY PARTNERS - OPERATING, L.P.. PHMSA's enforcement data identifies the cited regulation as 195.579(c). The case was opened on 2022-02-14 and is reported as closed as of 2022-02-14. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n42022037WL_Warning Letter_02142022_(21-203267).pdf: https://primis.phmsa.dot.gov/enforcement-documents/42022037WL/42022037WL_Warning%20Letter_02142022_(21-203267).pdf\n\n42022037WL_Warning Letter_02142022_(21-203267)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/42022037WL/42022037WL_Warning%20Letter_02142022_(21-203267)_text.pdf\n\n42022037WL_Warning Letter_02142022_(21-203267)_text.pdf\n\nWARNING LETTER\nELECTRONIC MAIL - RETURN RECEIPT REQUESTED\nFebruary 14, 2022\nRichard Voliva\nPresident\nHolly Energy Partners-Operating, L.P.\n2828 North Harwood Street, Suite 1300\nDallas, Texas 75201\nCPF 4-2022-037-WL\nDear Mr. Voliva:\nFrom April 27, 2021 through December 2, 2021, a representative of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code\n(U.S.C.), inspected Holly Energy Partners-Operating, L.P.’s (HEP) Cheyenne facility in\nCheyenne, Wyoming.\nAs a result of the inspection, it is alleged that HEP has committed a probable violation of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The item inspected and\nthe probable violation is:\n1. § 195.579 What must I do to mitigate internal corrosion?\n(a) General. If you transport any hazardous liquid or carbon dioxide that would\ncorrode the pipeline, you must investigate the corrosive effect of the hazardous liquid\nor carbon dioxide on the pipeline and take adequate steps to mitigate internal\ncorrosion.\n(b)…\n(c) Removing pipe. Whenever you remove pipe from a pipeline, you must inspect the\ninternal surface of the pipe for evidence of corrosion. If you find internal corrosion\nrequiring corrective action under § 195.585, you must investigate circumferentially\nand longitudinally beyond the removed pipe (by visual examination, indirect method,\nor both) to determine whether additional corrosion requiring remedial action exists in\nthe vicinity of the removed pipe.\n\n\n\nHEP failed to inspect the internal surface of a pipe removed at its Cheyenne facility as required\nby § 195.579(c). In September 2020, the joint of a pipe was removed and flanges were\ninstalled at the demarcation from the Plains pipeline to the HEP pipeline. HEP did not perform\nan internal corrosion inspection on the removed pipe to determine whether additional corrosion\nrequiring remedial action exists in the vicinity of the removed pipe. In the event that the internal\ninspection was performed, the operator could not provide records proving the inspection took\nplace as required by § 195.589(c).\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, HEP is subject to a civil penalty not to exceed\n$225,134 per violation per day the violation persists, up to a maximum of $2,251,334 for a related\nseries of violations. For violations occurring on or after January 11, 2021, and before May 3, 2021,\nthe maximum penalty may not exceed $222,504 per violation per day the violation persists, up to\na maximum of $2,225,034 for a related series of violations. For violations occurring on or after\nJuly 31, 2019, and before January 11, 2021, the maximum penalty may not exceed $218,647 per\nviolation per day the violation persists, up to a maximum of $2,186,465 for a related series of\nviolations. For violations occurring on or after November 27, 2018, and before July 31, 2019, the\nmaximum penalty may not exceed $213,268 per violation per day, with a maximum penalty not to\nexceed $2,132,679. For violation occurring on or after November 2, 2015, and before November\n27, 2018, the maximum penalty may not exceed $209,002 per violation per day, with a maximum\npenalty not to exceed $2,090,022\nWe have reviewed the circumstances and supporting documents involved in this case, and have\ndecided not to conduct additional enforcement action or penalty assessment proceedings at this\ntime. We advise you to correct the item identified in this letter. Failure to do so will result in\nHolly Energy Partners-Operating, L.P. being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer to\nCPF 4-2022-037-WL. 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 the\nredacted 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\n2","truncated":false,"body_characters":5080}