{"operation":"document","citation":"CPF 42023040NOA","title":"HOLLY ENERGY PARTNERS - OPERATING, L.P. — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2023-03-06","effective_on":null,"summary":"CLOSED notice of amendment citing 195.402(c)(3), 195.414(d).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-42023040noa.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-42023040noa.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-42023040noa","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/42023040NOA","body":"Notice of Amendment involving HOLLY ENERGY PARTNERS - OPERATING, L.P.. PHMSA's enforcement data identifies the cited regulations as 195.402(c)(3),  195.414(d). The case was opened on 2023-03-06 and is reported as closed as of 2023-05-24. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n42023040NOA_Closure Letter_05242023_(22-235634).pdf: https://primis.phmsa.dot.gov/enforcement-documents/42023040NOA/42023040NOA_Closure%20Letter_05242023_(22-235634).pdf\n\n42023040NOA_Closure Letter_05242023_(22-235634)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/42023040NOA/42023040NOA_Closure%20Letter_05242023_(22-235634)_text.pdf\n\n42023040NOA_Notice of Amendment_03062023_(22-235634).pdf: https://primis.phmsa.dot.gov/enforcement-documents/42023040NOA/42023040NOA_Notice%20of%20Amendment_03062023_(22-235634).pdf\n\n42023040NOA_Notice of Amendment_03062023_(22-235634)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/42023040NOA/42023040NOA_Notice%20of%20Amendment_03062023_(22-235634)_text.pdf\n\n42023040NOA_Op Rsp to Notice and Req Time Ext_03292023_(22-235634).pdf: https://primis.phmsa.dot.gov/enforcement-documents/42023040NOA/42023040NOA_Op%20Rsp%20to%20Notice%20and%20Req%20Time%20Ext_03292023_(22-235634).pdf\n\n42023040NOA_Notice of Amendment_03062023_(22-235634)_text.pdf\n\nNOTICE OF AMENDMENT\nVIA ELECTRONIC MAIL\nMarch 6, 2023\nMichael Jennings\nPresident, Holly Energy Partners\nHolly Energy Partners – Operating, L.P.\n2828 N. Harwood Street\nSuite 1300\nDallas Texas 75201\nCPF 4-2023-040-NOA\nDear Mr. Jennings:\nFrom February 28 to December 7, 2022, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code (U.S.C.)\ninspected Holly Energy Partners – Operating, L.P.’s (Holly) written operations and maintenance\nprocedures in Dallas, Texas.\nAs a result of the inspection, PHMSA has identified apparent inadequacies found within Holly’s\nprocedures. The item inspected and inadequacies are described below:\n1. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) . . . .\n(c) Maintenance and normal operations. The manual required by\nparagraph (a) of this section must include procedures for the following\nto provide safety during maintenance and normal operations:\n(1) . . . .\n(3) Operating, maintaining, and repairing the pipeline system in\naccordance with each of the requirements of this subpart and subpart\nH of this part.\n§ 195.414 Inspections of pipelines in areas affected by extreme weather and natural\ndisasters.\n(a) . . . .\n(d) Remedial action. An operator must take prompt and\n\n\n\nappropriate remedial action to ensure the safe operation of a\npipeline based on the information obtained as a result of performing\nthe inspection required under paragraph (a) of this section. Such\nactions might include, but are not limited to:\n(1) Reducing the operating pressure or shutting down the\npipeline;\n(2) Modifying, repairing, or replacing any damaged pipeline\nfacilities;\n(3) Preventing, mitigating, or eliminating any unsafe conditions\nin the pipeline right-of-way;\n(4) Performing additional patrols, surveys, tests, or inspections;\n(5) Implementing emergency response activities with Federal,\nState, or local personnel; and\n(6) Notifying affected communities of the steps that can be taken\nto ensure public safety.\nHolly’s written procedures for conducting operations, maintenance, and emergency preparedness\nand response activities were inadequate to assure safe operation of a pipeline facility in accordance\nwith § 195.402(c)(3). Specifically, Holly’s procedure, Operations and Maintenance Procedure,\nHEP-A-195.000 Pipeline Safety Manual, Section 195.414, dated 1/1/2022 (O&M Procedure),\nfailed to include the remedial actions it must take following an extreme weather event in\naccordance with § 195.414(d).\nDuring the inspection, PHMSA reviewed the portions of Holly’s O&M Procedure pertaining to\nextreme weather events and natural disasters. The procedure paraphrases the regulations but does\nnot detail the necessary steps that must be taken following specific extreme weather events and\ndoes not clearly describe the process employees must follow when referencing supporting\nprocedures. The procedure references the Holly Integrity Management Program Manual, dated\n5/12/2021, Appendix E.9 for earthquakes, but does not reference the Natural Events Response\nProcedure, dated 9/23/2020, which addresses flooding, wildfires, and earthquakes.\nHolly’s O&M Procedures must be amended to include specific guidance for responding to\ndifferent extreme weather events and natural disasters, including specific criteria to determine what\nremedial actions must be taken following extreme weather events to ensure the safe operation of\nits pipeline systems. Holly’s O&M Procedures regarding extreme weather events and natural\ndisasters must be amended to accurately reference each separate procedure and provide a clear\nprocess for employees when referencing supporting procedures. Appendix E-9 is incorrectly titled\nand is not marked as an appendix of the IMP.\nTherefore, Holly’s written procedures for conducting operations, maintenance, and emergency\npreparedness and response activities were inadequate to assure safe operation of a pipeline facility\nin accordance with § 195.402(c)(3). Holly must revise its procedures as specified above.\n\n\n\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in Compliance\nProceedings.\nPlease refer to this document and note the response options. Be advised that all material you\nsubmit in response to this enforcement action is subject to being made publicly available. If you\nbelieve that any portion of your responsive material qualifies for confidential treatment under 5\nU.S.C. § 552(b), along with the complete original document you must provide a second copy of\nthe document with the portions you believe qualify for confidential treatment redacted and an\nexplanation of why you believe the redacted information qualifies for confidential treatment under\n5 U.S.C. § 552(b).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, revised\nprocedures, or a request for a hearing under § 190.211. If you do not respond within 30 days of\nreceipt of this Notice, this constitutes a waiver of your right to contest the allegations in this Notice\nand authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in this Notice\nwithout further notice to you and to issue an Order Directing Amendment. If your plans or\nprocedures are found inadequate as alleged in this Notice, you may be ordered to amend your plans\nor procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not contesting this\nNotice, we propose that you submit your amended procedures to my office within 60 days of\nreceipt of this Notice. This period may be extended by written request for good cause. Once the\ninadequacies identified herein have been addressed in your amended procedures, this enforcement\naction will be closed.\nIt is requested (not mandated) that Holly maintain documentation of the safety improvement costs\nassociated with fulfilling this Notice of Amendment (preparation/revision of plans, procedures)\nand submit the total to Bryan Lethcoe, Director, Southwest Region, Pipeline and Hazardous\nMaterials Safety Administration. In correspondence concerning this matter, please refer to CPF 4-\n2023-040-NOA and, for each document you submit, please provide a copy in electronic format\nwhenever possible.\nSincerely,\nBryan Lethcoe\nDirector, Southwest Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Enforcement Proceedings\n\n42023040NOA_Closure Letter_05242023_(22-235634)_text.pdf\n\nVIA ELECTRONIC MAIL\nMay 24, 2023\nMichael Jennings\nPresident, Holly Energy Partners\nHolly Energy Partners – Operating, L.P.\n2828 N. Harwood Street\nSuite 1300\nDallas, Texas 75201\nCPF 4-2023-040-NOA\nDear Mr. Jennings:\nFrom February 28 to December 7, 2022, a representative of the Pipeline and Hazardous Materials\nSafety Administration (PHMSA) pursuant to Chapter 601 of 49 United States Code (U.S.C.)\ninspected Holly Energy Partners – Operating, L.P.’s (Holly) written operations and maintenance\nprocedures in Dallas, Texas.\nOn March 6, 2023, PHMSA issued the Notice, CPF 4-2023-040-NOA, to Holly requiring\namendments of its operations and maintenance procedures. On March 29, 2023, Holly requested\na time extension to respond to the Notice. PHMSA granted the time extension on April 4, 2023\ngranting the extension from April 5, 2023 to April 28, 2023.\nHolly submitted its amended procedures on April 28, 2023. PHMSA reviewed the amended\nprocedures, and it appears that the inadequacies outlined in this Notice of Amendment have been\ncorrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you\nfor your cooperation.\nSincerely,\nBryan Lethcoe\nDirector, Southwest Region, Office of Pipeline Safety\nPipeline and Hazardous Materials Safety Administration\ncc: Lori Coupland, Vice President Compliance & EHS, lori.coupland@hollyenergy.com\n\n42023040NOA_Op Rsp to Notice and Req Time Ext_03292023_(22-235634).pdf\n\nHOLLY ENERGY PARTNERS.\nMarch 29, 2023\nMr. Bryan Lethcoe, Director\nSouthwest Region\nPipeline and Hazardous Materials Safety Administration\n8701 South Gessner Road #630\nHouston, Texas 77074\nRE: Pipeline and Hazardous Materials Safety Administration Notice of Amendment # CPF 4-\n2023-040-NOA.\nHolly Energy Partners (HEP) is in receipt of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) Notice of Amendment # CPF 4-2023-040-NOA, received as of March\n6, 2023.\nPlease see the following regarding HEP's response to noted procedure inadequacies:\nRelated to Item #1):\n§ 195.402 Procedural manual for operations, maintenance, and emergencies\n(a)...\n(c) Maintenance and normal operations. The manual required by paragraph (a) of this section\nmust include procedures for the following to provide safety during maintenance and normal\noperations:\n(1)....\n(3) Operating, maintaining, and repairing the pipeline system in accordance with each\nof the requirements of this subpart and subpart H of this part. And,\n§ 195.414 Inspections of pipelines in areas affected by extreme weather and natural disasters.\n(a)...\n(d) Remedial action. An operator must take prompt and appropriate remedial action to\nensure the safe operation of a pipeline based on the information obtained as a result of\nperforming the inspection required under paragraph (a) of this section. Such actions might\ninclude, but are not limited to:\n(1) Reducing the operating pressure or shutting down the pipeline;\n(2) Modifying, repairing, or replacing any damaged pipeline facilities;\n(3) Preventing, mitigating, or eliminating any unsafe conditions in the pipeline right-\nof-way;\n2828 N. Harwood, Suite 1300\nDallas, TX 75201\n214-871-3555\n\n\n\n(4) Performing additional patrols, surveys, tests, or inspections;\n(5) Implementing emergency response activities with Federal, State, or local\npersonnel; and\n(6) Notifying affected communities of the steps that can be taken to ensure public\nsafety.\nCited Procedure Inadequacies #1:\nRespondent's procedures for conducting operations, maintenance, and emergency\npreparedness and response activities were inadequate to assure safe operation of a pipeline\nfacility in accordance with § 195.402(c)(3). Specifically, Holly's procedure, Operations and\nMaintenance Procedure, HEP-A-195.000 Pipeline Safety Manual, Section 195.414, dated\n1/1/2022 (O&M Procedure), failed to include the remedial actions it must take following an\nextreme weather event in accordance with § 195.414(d).\nHEP Response:\nHEP recognizes the importance of thoroughly reviewing all applicable procedures to better\nascertain revisions potentially needed. As a result, certain amendments may have an affect on\nseveral other procedures; therefore, HEP respectfully requests a 30-day extension from the\ndate of this response letter to allow for a more thorough review of procedures in order to\namend and prepare a final response to PHMSA.\nShould there be any questions related to HEP's response to this Notice of Amendment and\nrequest for extension, please contact Bridgette Taylor at (214) 954-6652 or via email at\nBridgette.Taylor@hollyenergy.com.\nSincerely,\nYou coupland\nLori Coupland, VP, Compliance & EHS\nHolly Energy Partners\nCC:\nRob Jamieson, SVP and COO, Holly Energy Partners\nBridgette Taylor, Pipeline Regulatory Manager\n2828 N. Harwood, Sulte 1300\nDallas, TX 75201\n214-871-3555","truncated":false,"body_characters":12787}