# BETA OFFSHORE — Notice of Amendment

- **operation:** document
- **citation:** CPF 520087002M
- **title:** BETA OFFSHORE — Notice of Amendment
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2008-11-14
- **effective on:** Not available
- **summary:** CLOSED notice of amendment citing 195.452(e)(1), 195.452(f)(4), 195.452(f)(7), 195.452(f)(8), 195.452(h)(1), 195.452(l)(1).
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- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/520087002M
**body:**

Notice of Amendment involving BETA OFFSHORE. PHMSA's enforcement data identifies the cited regulations as 195.452(e)(1),  195.452(f)(4),  195.452(f)(7),  195.452(f)(8),  195.452(h)(1),  195.452(l)(1). The case was opened on 2008-11-14 and is reported as closed as of 2009-06-19. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520087002M_notice of amendment_11142008.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520087002M/520087002M_notice%20of%20amendment_11142008.pdf

520087002m_notice of amendment_11142008_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520087002M/520087002m_notice%20of%20amendment_11142008_text.pdf

520087002M_operator_response_03052009.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520087002M/520087002M_operator_response_03052009.pdf

520087002m_notice of amendment_11142008_text.pdf

U. S Department
of Transportation
Ptpelltne and
Hazardous Maferlells Safety
Admmjrjitsfrafmon
12300 W Dakota Ave, Suite 110
Lakewood, CO 80228
NOTICE OP AMKXDMKNT
November 14, 2008
Mr Robert Pyle
Manager, Pipehne and Marine Logistics
Pacific Energy Resources, Ltd
111 West Ocean Blvd, Suite 1240
Long Beach, CA 90802
iCPF 5-2008-7002M
Dear Mr Pyle
On May 19-22, 2008, representatives of the Pipehne and Hazardous Materials Safety
Administration (PHMSA) and the Cahfornia State Fire Marshal (CSFM), pursuant to Chapter
601 of 49 United States Code, mspected Pacific Energy Resources, Ltd. 's (PERL) procedures
and supporting implementation records for their Integrity Management Program (IMP) in Long
Beach, Cahfornia
On the basis of the inspection, PHMSA has identified the apparent inadequacies found within
PERL's plans or procedures, as described below
(f) An operator must include, at mimmum, each of the following elements in its
written integrjlty management program:
(8) A process for review of integrity assessment results and information ana]lysis by
a person quahfied to evaluate the results and information (see paragraph (h)(2) of
this section).



The PERL procedures are inadequate for ensuring the quahfication of the IMP reviewers
and evaluators. Currently, the procedures require documentation of the IMP team
members, however, the procedures do not specify the level of quahfications the IMP
reviewers must have to adequately review and analyze the assessment results
The PERL procedures do not specify what the in-hne inspection (ILI) vendors'
quahfications must be. The PERL procedures do not ensure through contractual means
or otherwise, that their ILI tool vendor performs integrity assessments and information
analysis in accordance with Part 195. 452(f) (4)
(h) What actions must an operator take to address integrity issues'
(I) General requirements. An operator must take prompt action to address all
anomalous conditions the operator discovers through the integrity assessment or
information analysis. Ln addressing all conditions, an operator must evaluate all
anomalous conditions and remediate those that could reduce a pipehne's integrity.
An operator must be able to demonstrate that the remediation of the condition will
ensure the condition is unhkely to pose a threat to the long-term integrity of the
pipeline. An operator must. comply with g 195. 422 when making a repair.
(i) Temporary pressure reduction. An operator must notify PHMSA, in accordance
with paragraph (m) of this section, if the operato~ cannot meet the schedule for
evaluation and remediation required under paragraph (h)(3) of this section and
cannot provide safety through a temporary ~eduction in operating pressure.
(ii) ILong-term pressure reduction. When a pressure reduction exceeds 365 days, the
operator must notify PHMSA in accordance with paragraph (m) of this section and
explain the reasons for the delay. An operator must also take further remedial
action to ensure the safety of the pipeline.
(3) Schedule for evaluation and remediation. An operator must complete
remediation of a condition according to a schedule that pnoritizes the conditions
for evaluation and remediation. Yf an operator cannot meet the schedule For any
condition, the operator must justify the reasons why it cannot meet the schedule



and that the changed scheduie wild not jeopardize pubiic safety or environmental
protection. An operator must notify OPS if the operator cannot meet the schedule
and can not provide safety through a temporai y reduction in operating pressure.
An operator must send the notice to the address specified in paragraph (m) of this
section.
(m) Where does an opeII ator send a notification T An operator must send any
notification required by this section to the Information Resources Manager, Office
of Pipeline Safety, Research and Speciall Programs Administration, U. S.
Department of Yransportation, Room 7I28, 400 Seventh Street SW, Washington
BC 20590, or to the facsimIle number (202) 366-7I28.
The PERL IMP procedures do not ensure the operator cannot exceed 365 days without
making a formal notification to the PHMSA The procedures also do not specify what
additional safety measures will be used to ensure long term safety
The PERL procedures do not consider the risks associated with alternate modes of
operation of their pipeluies, e. g. startup, shutdown, shut-in, slack hne, pressure cychng,
etc In addition, the PERL procedures do not consider hkely risk factors and threats on
their pipehne, e g the risk for corrosion needs to be more threat specific for each type of
condition or environment
(f) An oper ator must include, at minimum, each of the foWowing elements in its
written integrity management program:
(7) Methods to measure the program's effectiveness (see paragraph (k) of this
section)



PERL's root cause analysis was not adequately integrated mto their IM program. The
analysis currently used by the PERL is not referenced in its IMP to ensure a process for
an effective root cause analysis and lessons learned
The PERL IMP procedures do not include a document retention pohcy that ensures key
documents, as described in Part (195 452 (1), are retained for the hfe of the pipehne
Res onse to this Notice
This Notice is provided pursuant to 49 U S. C ) 60108(a) and 49 C. F R ( 190 237 Enclosed as
part of this Notice is a document entitled Response Options for Pipeline Operators in
Compliance Proceedings Please refer to this document and note the response options Be
advised that all material you submit in response to this enforcement action is subject to being
made pubhcly available. If you beheve that any portion of your responsive material quahfies
for confidential treatment under 5 U S. C. 552(b), along with the complete origmal document
you must provide a second copy of the document with the portions you beheve quahfy for
confidential treatment redacted and an explanation of why you beheve the redacted information
quahfies for confidential treatment under 5 U. S. C 552(b) If you do not respond within 30 days
of receipt of this Notice, this constitutes a waiver of your right to contest the allegations m this
Notice and authorizes the Associate Administrator for Pipeline Safety to find facts as alleged in
this Notice without further notice to you and to issue a Final Order



If, after opportunity for a hearing, your plans or procedures are found inadequate as alleged m
this Notice, you may be ordered to amend your plans or procedures to correct the inadequacies
(49 C F R, $ 190 237). If you are not contestmg this Notice, we propose that you submit your
amended procedures to my office withm 60 days of receipt of this Notice This period may be
extended by written request for good cause Once the inadequacies identified herem have been
addressed in your amended procedures, this enforcement action will be closed
In correspondence concerning this matter, please refer to CPF 5-2008-7002M and, for each
document you submit, please provide a copy m electronic format whenever possible
Sincerel,
is a
Director, Western Region
Pipehne and Hazardous Materials Safety Administration
cc PHP-60 Comphance Registry
PHP-500 H. Monfared (0120746)
Enclosure' Response Options for Pipeline Operators in Compliance Proceedings
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