{"operation":"document","citation":"CPF 42022042WL","title":"VALERO PARTNERS OPERATING CO. LLC — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2022-06-28","effective_on":null,"summary":"CLOSED warning letter citing 195.412(a), 195.412(b), 195.54(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022042wl.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022042wl.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-42022042wl","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/42022042WL","body":"Warning Letter involving VALERO PARTNERS OPERATING CO. LLC. PHMSA's enforcement data identifies the cited regulations as 195.412(a),  195.412(b),  195.54(a). The case was opened on 2022-06-28 and is reported as closed as of 2022-06-28. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n42022042WL_Warning Letter_06282022_(21-200349).pdf: https://primis.phmsa.dot.gov/enforcement-documents/42022042WL/42022042WL_Warning%20Letter_06282022_(21-200349).pdf\n\n42022042WL_Warning Letter_06282022_(21-200349)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/42022042WL/42022042WL_Warning%20Letter_06282022_(21-200349)_text.pdf\n\n42022042WL_Warning Letter_06282022_(21-200349)_text.pdf\n\nWARNING LETTER\nELECTRONIC MAIL - RETURN RECEIPT REQUESTED\nJune 28, 2022\nFred Hampton\nExecutive Vice President\nValero Partners Operating Company, LLC\nOne Valero Way\nSan Antonio, Texas 78249\nCPF 4-2022-042-WL\nDear Mr. Hampton:\nFrom July 27, 2021, through September 24, 2021, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code\n(U.S.C.), inspected Valero Partners Operating Company LLC’s (Valero) Beaumont, Texas and\nMemphis, Tennessee area facilities.\nAs a result of the inspection, it is alleged that Valero has committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected\nand the probable violations are:\n1. §195.54 Accident reports.\n(a) Each operator that experiences an accident that is required to be reported under\n§195.50 must, as soon as practicable, but not later than 30 days after discovery of the\naccident, file an accident report on DOT Form 7000-1.\nValero failed to submit, as soon as practicable, but not later than 30 days after discovery\nof an accident DOT Form 7000-1. On January 1, 2020, a reportable accident occurred on\nthe suction line to Tank 79 in the Collierville, MS pump station. DOT Form 7000-1 was\nnot filed until May 16, 2020, 133 days after the accident occurred.\n\n\n\n2. §195.412 Inspection of rights-of-way and crossings under navigable waters.\n(a) Each operator shall, at intervals not exceeding 3 weeks, but at least 26 times each\ncalendar year, inspect the surface conditions on or adjacent to each pipeline right-of-\nway. Methods of inspection include walking, driving, flying or other appropriate\nmeans of traversing the right-of-way.\nValero failed to inspect the surface conditions on or adjacent to the Davidson Road Main\nLine Valve (MLV) right-of-way (ROW). Valero utilized aerial patrol to to fly the ROW\nto inspect its inspection to observe the surface conditions. At the time of the inspection, the\nROW was covered with high grass and weeds, and the vegetative growth would making it\nimpossible to observe the surface conditions. Following the inspection, Valero cleared the\nROW and submitted a photo to PHMSA on November 30, 2021.\n3. §195.412 Inspection of rights-of-way and crossings under navigable waters.\n(b) Except for offshore pipelines, each operator shall, at intervals not exceeding 5\nyears, inspect each crossing under a navigable waterway to determine the condition\nof the crossing.\nValero failed to inspect each pipeline crossing under navigable waterways to determine the\ncondition of the crossing at the required 5-year interval for its Mississippi River crossing.\nPHMSA reviewed the inspection record for the Mississippi River crossing and found the\nlast inspection was completed on 11/04/1999. The Mississippi River crossing was\ndirectionally drilled in 1999 with a minimum depth of soil cover over the pipeline of 53.1\nfeet. Following the PHMSA inspection, Valero performed a survey on 10/29/2021 for the\nMississippi River crossing and found the profile of the pipeline had a change of up to 20\nfeet.\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$239,142 per violation per day the violation persists, up to a maximum of $2,391,412 for a related\nseries of violations. For violation occurring on or after May 3, 2021 and before March 21, 2022,\nthe maximum penalty may not exceed $225,134 per violation per day the violation persists, up to\na maximum of $2,251,334 for a related series of violations. For violations occurring on or after\nJanuary 11, 2021, and before May 3, 2021, the maximum penalty may not exceed $222,504 per\nviolation per day the violation persists, up to a maximum of $2,225,034 for a related series of\nviolations. For violations occurring on or after July 31, 2019, and before January 11, 2021, the\nmaximum penalty may not exceed $218,647 per violation per day the violation persists, up to a\nmaximum of $2,186,465 for a related series of violations. For violations occurring on or after\nNovember 27, 2018, and before July 31, 2019, the maximum penalty may not exceed $213,268\nper violation per day, with a maximum penalty not to exceed $2,132,679. For violations occurring\non or after November 2, 2015, and before November 27, 2018, the maximum penalty may not\nexceed $209,002 per violation per day, with a maximum penalty not to exceed $2,090,022.\n\n\n\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 items identified in this letter. Failure to do so will result in\nValero Partners Operating Co,. LLC 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 4-2022-042-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\ncc: Darin Banther, Manager Regulatory Compliance, Darin.Banther@valero.com","truncated":false,"body_characters":6392}