{"operation":"document","citation":"CPF 520085003","title":"WINDSOR ENERGY GROUP, LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2008-03-04","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.112, 195.202, 195.204, 195.214(a), 195.234, 195.266, 195.310, 195.401(c)(5).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520085003.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520085003.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520085003","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520085003","body":"Notice of Probable Violation involving WINDSOR ENERGY GROUP, LLC. PHMSA's enforcement data identifies the cited regulations as 195.112,  195.202,  195.204,  195.214(a),  195.234,  195.266,  195.310,  195.401(c)(5). The case was opened on 2008-03-04 and is reported as closed as of 2008-04-18. Proposed civil penalty: $94,000. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520085003_NOPV PCP PCO letter_03042008.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520085003/520085003_NOPV%20PCP%20PCO%20letter_03042008.pdf\n\n520085003_nopv pcp pco letter_03042008_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520085003/520085003_nopv%20pcp%20pco%20letter_03042008_text.pdf\n\n520085003_operator response to notice_04042008.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520085003/520085003_operator%20response%20to%20notice_04042008.pdf\n\n520085003_withdrawal of notice letter_04182008.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520085003/520085003_withdrawal%20of%20notice%20letter_04182008.pdf\n\n520085003_withdrawal of notice letter_04182008_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520085003/520085003_withdrawal%20of%20notice%20letter_04182008_text.pdf\n\n520085003_withdrawal of notice letter_04182008_text.pdf\n\no\nU. S. Department\nof Transportation\nPipeline and\nHazardous Materials Safety\nAdlrllhistration\n12300 W Dakota Ave, Suite 110\nLakewood, CO 80228\nCERTIFIED MAIL - RETURN RECEIPT RK UKSTKD\nApril 18, 2008\nMr. Bill Liedtke\nWindsor Energy Group LLC\n14313 North May Avenue, Suite 100\nOklahoma City, OK 73414-3414\nRe: CPF 5-200S-5003\nDear Mr. Liedtke:\nOn March 4, 2008 the Pipeline and Hazardous Materials Safety Administration (PHMSA}\nissued to Windsor Energy Group LLC a Notice of Probable Violation, Proposed Civil Penalty\nand Proposed Compliance Order in the above-referenced case. Based on our review of the\ndocumentation you provided, it has been determined that the non-rural segment of your Bennett\nCreek gathering line is a gravity line and is therefore not under the jurisdiction of 49 CFR Part\n195, However, if you should install pumps or other mechanisms that introduce pressure to this\npipeline, that non-rural segment of the Bennett Creek gathering line will then be subject to all of\nthe applicable sections of 49 CFR Part 195.\nAccordingly, this case has been withdrawn and no further action is contemplated with respect to\nthe matters involved in this case. Thank you for your cooperation in this matter.\nSincerely\nis Hoidal\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 G. Davis (¹118875)\n\n520085003_nopv pcp pco letter_03042008_text.pdf\n\nU. S. Department\nof Transportation\nPipelline and\nHazardous Materidlls Safety\nAdmirtish'dition\n12300 W Dakota Ave, Suite 110\nLakewood, CO 80228\nCERTIFIED MAIL - RETURN RECEIPT RE UKSTKD\nMarch 4, 2008\nMr. Bill Liedtke\nWindsor Energy Group LLC\n14313 North May Avenue, Suite 100\nOklahoma City, OK 73414-3414\nCPF 5-2008-5003\nDear Mr. Liedtke:\nOn August 21 to 23, 2007, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) pursuant to Chapter 601 of 49 United States Code inspected your\nBennett Creek, non-rural gathering line near Clark, Wyoming.\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 the\nprobable violations are:\n1. $195. 112 New pipe.\nAny new pipe installed in a pipeline system must comply with the following:\n(a) The pipe must be made of steel of the carbon, low alloy-high strength, or alloy type\nthat is able to withstand the internal pressures and external loads and pressures\nanticipated for the pipehne.\n\n\n\n(b) The pipe must be made in accoi dance with a written pipe specification that sets\nforth the chemical requirements for the pipe steel and mechanical tests for the pipe to\nprovide pipe suitable for the use intended.\n(c) Each length of pipe with a nominal outside diameter of 114. 3 mm (4'/& in) or more\nmust be marked on the pipe or pipe coating with the specification to which it was\nmade, the specified minimum yield strength or grade, and the pipe size. The marking\nmust be applied in a manner that does not damage the pipe or pipe coating and must\nremain visib1le until the pipe is installed.\nWindsor used 4 1/2\" diameter pipe that was not manufactured in accordance with an\naccepted or In. own standards for the construction of the Bennett Creek gathering line that is\nlocated in a non-rural area. Those sections were constructed in 2006.\nPipe left over from construction was examined durmg this inspection and the markings on\nthe pipe were documented by PHMSA. Those markings were: \"CRESSMAN TUBULAR\nPO 46851 Prudential 4 1/2\" 0. 188 Commercial E KPA 28600 @ SHAW YJ Z245. 21-02, A1\nN H560 FM30C 05/06/14/D COATED IN CANADA MADE IN CANADA LOT 031412. \"\nPHMSA researched those markings and determined that the pipe was manufactured in\nCanada by Prudential Pipe. PHMSA interviews with a Prudential representative revealed\nthat this pipe was graded as \"Commercial. \" Prudential informed us that the pipe did not\nmeet Canadian Standards Association (CSA) standards and therefore did not meet API or\nASTM standards, Prudential stated that this pipe was \"seconds\" and was sold by a\nsubsidiary company to be used in non-regulated applications. Additionally Prudential said\nthat the pipe was coated with Yellow Jacket coating and the Shaw Coatings lot number %as\n31412. Subsequently a representative from Shaw Coatings was contacted and he confirmed\nthat the pipe had been coated by Shaw with Yellow Jacket and the grade of the pipe was\n\"Commercial. \"\n2. $195. 202 Compliance with specifications or standards.\nEach pipehne system must be constructed in accordance with comprehensive written\nspecifications or standards that are consistent with the requirements of this part.\nWindsor was unable to provide comprehensive written specifications or standards used for\nthe 2006 construction of the non-rural portion of their Bennett Creek gathering line.\nConstruction specifications that were provided by Windsor were for general weld\ninspection, general weld testing, and general weld selection. These specifications were\ncreated for Kinder Morgan facilities and were not specific to the Windsor facilities that were\nconstructed. There were no specifications or standards for material inspections, welding of\nsupport or braces, pipe location, pipe bending, qualified welding procedures, protection of\nwelding from the weather, repair of arc burns, repair or removal of weld defects, installation\nof pipe in a trench, coating inspection, coating repair, cover over the pipe, clearance between\nthe pipe and underground structures, backfilling, and required construction records.\n3, $195. 204 Inspection - General.\nInspection must be provided to ensure the installation of pipe or pipeline systems in\naccordance with the requirements of this subpart. No person may be used to perform\n2\n\n\n\nWindsor construction documentation indicates all welds had been nondestructively tested.\nThere is, however, no evidence that there had been inspection of the welding process,\nwelding repairs, excavation, coatings, pipe placement, or backfill during construction of the\nnon-rural segment of their Bennett Creek gathering line. Additionally Windsor had no\ndocumentation showing that persons used for inspections, other than nondestructive testing\n(NDT) individuals, were trained and qualified in the particular phase of construction being\ninspected.\n4. $195. 214 Welding procedures\n(a) Welding must be performed by a qualified welder in accoi dance with welding\nprocedures qualified under Section 5 of API 1104 or Section IX of the ASMK Boiler\nand Pressure Vessel Code (ibr, see g 195. 3) . The quality of the test welds used to\nqualify the welding procedure shall be determined by destructive testing.\nWindsor was unable to provide welding procedures for the 2006 construction of the non-\nrural segment of their Bennett Creek gathering line. Windsor was only able to provide a\nprocedure for the installation of repair sleeves for pipe greater than 12 '/4 inch nominal size\nand for the selection of a welding procedure for Kinder Morgan facilities. There was no\nwelding procedure for 4 '/~ inch diameter nominal size pipe available for our inspector In\naddition, no weld qualification tests could be provided.\n5 $195. 234 Welds: Nondestructive testing.\n(b) Any nondestructive testing of welds must be perfoi med-\n(1) In accordance with a written set of procedures for nondestructive testing;\n(c) Procedures for the proper interpretation of each weld inspection must be\nestablished to ensure the acceptability of the weld under $195. 228.\nWindsor could not provide evidence that the nondestructive testing of welds for the Bennett\nCreek non-rural segment had been performed in accordance with written procedures.\nWindsor's contractor said they used a standard for Weld Inspection and Testing. This\nparticular standard (OkM/Construction Standard, No. OAM4061 C1066) requires that the\nnondestructive testing (NDT) technician qualify an approved NDT procedure at the ~ob site.\nWindsor was unable to provide evidence that there was an approved NDT procedure or that\none had been qualified at the ~ob site.\n6. $195. 266 Construction records.\nA complete record that shows the following must be maintained by the operator\ninvolved for the Hfe of each pipeline facility:\n(b) The amount, location, and cover of each size of pipe installed.\n(c) The location of each crossing of another pipeline.\n(d) The location of each buried utility crossing.\n\n\n\nWindsor has no records regarding the amount or the cover over the pipe, the location of each\ncrossing of another pipeline, the location of each buried utility crossing, the location of each\noverhead crossing and the location of each corrosion test station.\nDuring our field inspection, there was evidence of overhead crossings and corrosion test\nstations. It also appeared this pipeline may cross the natural gas gathering line that generally\nparallels the Bennett Creek crude oil gathering line. None of these occurrences are reflected\nin Windsor construction records\n7. $195. 310 Records.\n(a) A record must be made of each pressure test required by this subpart, and the\nrecord of the latest test must be retained as long as the facility tested is in use.\n(b) The record required by paragraph (a) of this section must include:\n(2) Test instrument calibration data;\n(9) Where elevation differences in the section under test exceed 100 feet (30 meters), a\nprofile of the pipehne that shows the elevation and test sites over the entire length of\nthe test section.\n(10) Temperature of the test medium or pipe during the test period\nWindsor pressure test records do not include either the test instrument calibration data or a\nprofile of the entire test section A profile is required because there is more than a 100-feet\nof elevation difference within the test section.\n8, $195. 401 General requirements.\n(c) Except as provided by $195. 5, no operator may operate any part of any of the\nfoHowing pipehnes unless it was designed and constructed as requii ed by this part:\n(5) A low-stress pipehne on which construction was begun after August 10, 1994.\nWindsor Energy is operating the non-rural segment of their Bennett Creek gathering line\nwithout it havmg been constructed m accordance with comprehensive written specifications\nor standards that were consistent with the requirements of Part 195.\nPro osed Civil Penalt\nUnder 49 United States Code, $ 60122, you are subject to a civil penalty not to exceed $100, 000\nfor each violation for each day the violation persists up to a maximum of $1, 000, 000 for any\nrelated series of violations. The Compliance Officer has reviewed the circumstances and\nsupporting documentation involved in the above probable violation(s) and has recommended\nthat you be preliminarily assessed a civil penalty of $94, 000 as follows:\nItem number PENALTY\n$94, 000\n\n\n\nPro osed Com liance Order\nWith respect to items 1, 2, 3, 4, 5, 6, and 7 pursuant to 49 United States Code $ 60118, the\nPipeline and Hazardous Materials Safety Administration proposes to issue a Compliance Order\nto Windsor Energy Group LLC. Please refer to the Proposed Compliance Order, which is\nenclosed and made a part of this Notice.\nRes onse to this Notice\nEnclosed as part of this Notice is a document entitled Response Options for Pipeline Operators\nin Compliance Proceedings. Please refer to this document and note the response options Be\nadvised that all material you submit in response to this enforcement action is subject to being\nmade publicly available. If you believe that any portion of your responsive material qualifies\nfor confidential treatment under 5 U S, C. 552(b), along with the complete original document\nyou must provide a second copy of the document with the portions you believe qualify for\nconfidential treatment redacted and an explanation of why you believe the redacted information\nqualifies for confidential treatment under 5 U. S. C, 552(b) If you do not respond within 30 days\nof receipt of this Notice, this constitutes a waiver of your right to contest the allegations in this\nNotice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in\nthis Notice without further notice to you and to issue a Final Order.\nIn your correspondence on this matter, please refer to CPF 5-2008-5003 and for each document\nyou submit, please provide a copy in electronic format whenever possible.\nSmcerely,\nChris Hoidal\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\nEnclosures: Proposed Compliance Order\nResponse Options for Pipeline Operators in Compliance Proceedings\ncc; PHP-60 Compliance Registry\nPHP-500 G. Davis (0118875)\n\n\n\nPursuant to 49 United States Code $ 60118, the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA) proposes to issue to Windsor Energy Group LLC a Compliance Order\nincorporating the following remedial requirements to ensure the comphance of Windsor Energy\nGroup LLC (Windsor) with the pipeline safety regulations\n1. In regard to Item Number 1 of the Notice pertaining to the use of pipe materials that were\nnot manufactured in accordance with an accepted or known standard for the 2006\nconstruction of that portion of the Bennett Creek gathering line that is non-rural.\nWindsor must replace all pipe material within that portion of the Bennett Creek\ngathering line that is non-rural\nWindsor must notify PHMSA 30 days prior to the replacement of the pipe material\nof that portion of the Bennett Creek gathering line that is non-rural.\nWindsor must submit, to the Western Region Director, all pipe material\ndocumentation that provides evidence that the new pipe materials have been\nmanufactured in accordance with an accepted or known standard.\n2, In regard to Item Number 2 of the Notice pertaining to Windsor's lack of comprehensive\nwritten specifications or standards used for the 2006 construction of that portion of their\nBennett Creek gathering line that is non-rural\n~ Windsor must develop comprehensive written specifications that will ensure that the\nreplacement of pipe materials for that portion of their Bennett Creek gathering line\nthat is non-rural will be in accordance with 49 CFR 195\nWindsor must submit those comprehensive written specifications to the Director\n3. In regard to Item Number 3 of the Notice pertaining to mspection that did not ensure that\ninstallation of that segment of the Bennett Creek gathering line that is non-rural was in\naccordance with the requirements of 49 CFR 195.\nWindsor must develop an inspection plan for the replacement of that segment of the\nBennett Creek gathering line that is non-rural, The inspection plan must ensure that\nthe replacement is in accordance with 49 CFR 195.\nWindsor must develop criteria for the person(s) performing the inspection of the\nreplacement of that segment of the Bennett Creek gathering hne that is non-rural.\nThese criteria must ensure that the person(s) has been trained and is qualified in the\nphase of construction to be inspected.\nWinsor must provide the inspection plan and the inspector criteria to the Director,\n4 In regard to Item Number 4 of the Notice pertaining to the construction of that segment of\nthe Bennett Creek gathering line that is non-rural that was performed without written and\nquahfied weldmg procedures\nWindsor must develop written welding procedures for the replacement of that\nsegment of the Bennett Creek that is non-rural in accordance with 49 CFR 195.\n6\n\n\n\nWindsor must qualify those welding procedures m accordance with 49 CFR 195.\no Windsor must provide those welding procedures and their quahfications to the\nDirector.\n5. In regard to Item Number 5 of the Notice pertaining to the nondestructive testing procedure\nused for the construction of that segment of the Bennett Creek gathering line that is non-\nrural,\nWindsor must develop written nondestructive testing procedures that will insure the\nacceptability of the weld under $195. 228,\nWindsor must submit those written nondestructive testing procedures to the Director\n6. In regard to Item Number 6 of the Notice pertaining to the incomplete construction records\nfor the installation of that segment of the Bennett Creek gathering line that is non-rural\nWindsor must ensure that all records required by $195. 266 are maintained for the hfe\nof the pipeline. Specifically those records must include (1) The total number of girth\nwelds and the number nondestructively tested, including the number rejected and the\ndisposition of each rejected weld; (2) The amount, location, and cover of each size of\npipe installed; (3) The location of each crossing of another pipeline; (4) The location\nof each buried utility crossing; (5) The location of each overhead crossing; and (6)\nThe location of each valve and corrosion test station.\nWindsor must submit those construction records to the Director.\n7 In regard to Item Number 7 of the Notice pertaining to incomplete pressure test records for\nthat segment of the Bennett Creek gathering line that is non-rural.\nWindsor must ensure that the pressure test records for the replacement of that\nsegment of the Bennett Creek gathering line that is none rural will include (1) The\npressure recording charts; (2) Test instrument calibration data; (3) The name of the\noperator, the name of the person responsible for making the test, and the name of the\ntest company used, if any; (4) The date and time of the test; (5) The minimum test\npressure; (6) The test medium; (7) A description of the facility tested and the test\napparatus; (8) An explanation of any pressure discontinuities, mcludmg test failures,\nthat appear on the pressure recording charts; (9) Where elevation differences in the\nsection under test exceed 100 feet (30 meters), a profile of the pipeline that shows\nthe elevation and test sites over the entire length of the test section; and (10)\nTemperature of the test medium or pipe during the test period.\nWindsor must submit those pressure testing records to the Director\n8, In regard to Item Number 8 of the Notice pertaining to Windsor's operation of the non-rural\nsegment of the Bennett Creek gathering line without it having been constructed in\naccordance with 49 CFR 195.\nWindsor must cease operation of the non-rural segment of the Bennett Creek\ngathering line until the hne has been constructed in accordance with 49 CFR 195\nWindsor must notify the Director when the non-rural segment is de-activated and\nwhen it is re-activated.\n\n\n\n9. Winsor must submit the records for items 1, 2, 3, 4, 5, 6, and 7 within 30 days of the receipt\nof the Final Order or within 30 days of the completion of construction, which ever comes\nlater.\n10. Windsor shall maintain documentation of the safety improvement costs associated with\nfulfilling this Compliance Order and submit the total to Chris Hoidal, Director, Western\nRegion, Pipeline and Hazardous Materials Safety Administration. Costs shall be reported in\ntwo categories: 1) total cost associated with preparation/revision of plans, procedures,\nstudies and analyses, and 2) total cost associated with replacements, additions and other\nchanges to pipeline infrastructure","truncated":false,"body_characters":20423}