{"operation":"document","citation":"CPF 520075017W","title":"TESORO HIGH PLAINS PIPELINE COMPANY LLC — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2007-04-17","effective_on":null,"summary":"CLOSED warning letter citing 195.452(g), 195.452(h)(1), 195.452(h)(4), 195.452(i)(1), 195.452(j), 195.452(j)(2), 195.452(k).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075017w.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075017w.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520075017w","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520075017W","body":"Warning Letter involving TESORO HIGH PLAINS PIPELINE COMPANY LLC. PHMSA's enforcement data identifies the cited regulations as 195.452(g),  195.452(h)(1),  195.452(h)(4),  195.452(i)(1),  195.452(j),  195.452(j)(2),  195.452(k). The case was opened on 2007-04-17 and is reported as closed as of 2007-04-17. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520075017W_warning letter_04172007.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520075017W/520075017W_warning%20letter_04172007.pdf\n\n520075017w_warning letter_04172007_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520075017W/520075017w_warning%20letter_04172007_text.pdf\n\n520075017w_warning letter_04172007_text.pdf\n\nU. S. Department\nof Transportation\nPipeline and\nHazardous Materials Safety\nAdministration\n12300 W Dakota Ave, Suite 110\nLakewood, CO 80228\nWARNING LETTER\nCERTIFIED MAIL - RETURN RECEIPT RE UESTED\nApril 17, 2007\nMr. John Moore\nTesoro Refining & Marketing Company\n300 Concord Drive Plaza\nSan Antonio, TX 78216\nSENT TO COMPLIANCE REGISTRY\nHardcopy Electronically ~\ntf of Copiea&/Date ~07\nCPF 5-2007-5017W\nDear Mr. Moore:\nOn February 26 through March 2, 2007, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,\ninspected your procedures and records for Tesoro Refining & Marketing Company's (Tesoro)\nIntegrity Management Program in Denver, Colorado.\nAs a result of the inspection, it appears that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations. The items inspected and\nthe probable violations are:\n$195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(8) A process for review of integrity assessment results and information analysis\nby a person qualified to evaluate the results and information (see paragraph (h)(2)\nof this section).\n(g) What is an information analysis? In periodically evaluating the integrity of\neach pipeline segment (paragraph (j) of this section), an operator must analyze all\navailable information about the integrity of the entire pipeline and the\nconsequences of a failure. This information includes:\n\n\n\n(1) Information critical to determining the potential for, and preventing, damage\ndue to excavation, including current and planned damage prevention activities,\nand development or planned development along the pipeline segment;\n(2) Data gathered through the integrity assessment required under this section;\n(3) Data gathered in conjunction with other inspections, tests, surveillance and\npatrols required by this Part, including, corrosion control monitoring and\ncathodic protection surveys; and\n(4) Information about how a failure would affect the high consequence area, such\nas location of the water intake.\nTesoro compiled numerous sources of integrity information for the Ramberg to Dunn Center\nsegment. However, it appears there is a discrepancy in the number of miles of pipe listed in the\nBaseline Assessment Plan (BAP) (81. 2 miles) and the 2006 in-line inspection (ILI) run\n(approximately 66 miles) for the Ramberg to Dunn Center segment.\n2. $195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(4) Criteria for remedial actions to address integrity issues raised by the\nassessment methods and information analysis (see paragraph (h) of this section);\n(h) What actions must an operator take to address integrity issues?\n(2) Discovery of condition. Discovery of a condition occurs when an operator has\nadequate information about the condition to determine that the condition presents\na potential threat to the integrity of the pipeline. An operator must promptly, but\nno later than 180 days after an integrity assessment, obtain sufficient information\nabout a condition to make that determination, unless the operator can\ndemonstrate that the 1SO-day period is impracticable.\n(4) Special requirements for scheduling remediation. . .\nTesoro categorized the dents with echo loss on the Tesoro Alaska Pipeline as 60-day repair\nconditions. When the anomalies were excavated, the dents were found to include metal loss.\nTopside dents with metal loss are considered Immediate Repair conditions. Tesoro did not\nexcavate other anomalies with the same signature characteristic on an expedited schedule.\n3. $195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\n-2-\n\n\n\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(4) Criteria for remedial actions to address integrity issues raised by the\nassessment methods and information analysis (see paragraph (h) of this section);\n(h) What actions must an operator take to address integrity issues?\n(1) General requirements. An operator must take prompt action to address all\nanomalous conditions that the operator discovers through the integrity assessment\nor information analysis. In addressing all conditions, an operator must evaluate\nall anomalous conditions and remediate those that could reduce a pipeline's\nintegrity. An operator must be able to demonstrate that the remediation of the\ncondition will ensure that the condition is unlikely to pose a threat to the long-\nterm integrity of the pipeline. A reduction in operating pressure cannot exceed\n365 days without an operator taking further remedial action to ensure the safety\nof the pipeline. An operator must comply with Sec. 195. 422 when making a repair.\nThe repair records for item numbers 179, 180 and 181 of your in-line inspection (ILI)\nassessment results were not properly documented.\n4. $195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(6) Identification of preventive and mitigative measures to protect the high\nconsequence area (see paragraph (i) of this section);\n(i) What preventive and mitigative measures must an operator take to protect the\nhigh consequence area?\n(1) General requirements. An operator must take measures to prevent and\nmitigate the consequences of a pipeline failure that could affect a high\nconsequence area. These measures include conducting a risk analysis of the\npipeline segment to identify additional actions to enhance public safety or\nenvironmental protection. Such actions may include, but are not limited to,\nimplementing damage prevention best practices, better monitoring of cathodic\nprotection where corrosion is a concern, establishing shorter inspection intervals,\ninstalling EFRDs on the pipeline segment, modifying the systems that monitor\npressure and detect leaks, providing additional training to personnel on response\nprocedures, conducting drills with local emergency responders and adopting\nother management controls.\nTesoro identified numerous Preventive and Mitigative (PERM) measures that are already\nrequired by 49 C. F. R Part 195 e. g. monitoring for atmospheric corrosion. The Integrity\n\n\n\nManagement (IM) rule only requires the operator to identify additional P&M measures to\nenhance pipeline integrity.\n$195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(5) A continual process of assessment and evaluation to maintain a pipeline's\nintegrity (see paragraph (j) of this section);\n(j) What is a continual process of evaluation and assessment to maintain a\npipeline's integrity'?\n(1) General. After completing the baseline integrity assessment, an operator must\ncontinue to assess the line pipe at specified intervals and periodically evaluate the\nintegrity of each pipeline segment that could affect a high consequence area.\n(2) Evaluation. An operator must conduct a periodic evaluation as frequently as\nneeded to assure pipeline integrity. An operator must base the frequency of\nevaluation on risk factors specific to its pipeline, including the factors specified in\nparagraph (e) of this section. The evaluation must consider the results of the\nbaseline and periodic integrity assessments, information analysis (paragraph (g)\nof this section), and decisions about remediation, and preventive and mitigative\nactions (paragraphs (h) and (i) of this section).\nTesoro has not yet implemented their process for periodic evaluation.\n6. $195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(5) A continual process of assessment and evaluation to maintain a pipeline's\nintegrity (see paragraph (j) of this section);\n(j) What is a continual process of evaluation and assessment to maintain a\npipeline's integrity'?\n(1) General. After completing the baseline integrity assessment, an operator must\ncontinue to assess the line pipe at specified intervals and periodically evaluate the\nintegrity of each pipeline segment that could affect a high consequence area.\n\n\n\n(2) Evaluation. An operator must conduct a periodic evaluation as frequently as\nneeded to assure pipeline integrity. An operator must base the frequency of\nevaluation on risk factors specific to its pipeline, including the factors specified in\nparagraph (e) of this section. The evaluation must consider the results of the\nbaseline and periodic integrity assessments, information analysis (paragraph (g)\nof this section), and decisions about remediation, and preventive and mitigative\nactions (paragraphs (h) and (i) of this section).\n(3) Assessment intervals. An operator must establish intervals not to exceed five\n(5) years for continually assessing the line pipe's integrity. An operator must base\nthe assessment intervals on the risk the line pipe poses to the high consequence\narea to determine the priority for assessing the pipeline segments. An operator\nmust establish the assessment intervals based on the factors specified in\nparagraph (e) of this section, the analysis of the results from the last integrity\nassessment, and the information analysis required by paragraph (g) of this\nsection.\nTesoro did not consider all of the risk factors listed in $195. 452(e) and (g) when establishing\nre-assessment intervals.\n7. $195. 452 Pipeline integrity management in high consequence areas.\n(f) What are the elements of an integrity management program? An integrity\nmanagement program begins with the initial framework. An operator must\ncontinually change the program to reflect operating experience, conclusions\ndrawn from results of the integrity assessments, and other maintenance and\nsurveillance data, and evaluation of consequences of a failure on the high\nconsequence area. An operator must include, at minimum, each of the following\nelements in its written integrity management program:\n(7) Methods to measure the program's effectiveness (see paragraph (k) of this\nsection);\n(k) What methods to measure program effectiveness must be used? An operator's\nprogram must include methods to measure whether the program is effective in\nassessing and evaluating the integrity of each pipeline segment and in protecting\nthe high consequence areas. See Appendix C of this part for guidance on methods\nthat can be used to evaluate a program's effectiveness.\n7a. Tesoro must develop an independent corporate quality control (QC) functions to evaluate\nthe effectiveness of your Integrity Management Program.\n7b. Tesoro must evaluate the Performance Metrics identified in API 1160 for potential\nincorporation into your Integrity Management Program.\nUnder 49 United States Code, f 60122, you are subject to a civil penalty not to exceed\n$100, 000 for each violation for each day the violations persists up to a maximum of\n$1, 000, 000 for any related series of violations. We have reviewed the circumstances and\n-5-\n\n\n\nsupporting documents involved in this case, and have decided not to conduct additional\nenforcement action or penalty assessment proceedings at this time. We advise you to correct\nthe item{s) identified in this letter. Be advised that failure to do so will result in Tesoro being\nsubject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply, in your correspondence please refer\nto CPF 5-2007-5017W.\nSincerely\nChris Hoidal\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 H. Nguyen {P. 118232)\n-6-","truncated":false,"body_characters":15052}