{"operation":"document","citation":"CPF 520090001M","title":"TESORO REFINING & MARKETING COMPANY, LLC — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2009-01-06","effective_on":null,"summary":"CLOSED notice of amendment citing 192.227(a), 192.241(c), 192.243(a), 192.609, 192.611(a), 192.705(a), 192.706(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520090001m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520090001m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520090001m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520090001M","body":"Notice of Amendment involving TESORO REFINING & MARKETING COMPANY, LLC. PHMSA's enforcement data identifies the cited regulations as 192.227(a),  192.241(c),  192.243(a),  192.609,  192.611(a),  192.705(a),  192.706(a). The case was opened on 2009-01-06 and is reported as closed as of 2010-03-09. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520090001M_Notice of Amendment_01062009.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520090001M/520090001M_Notice%20of%20Amendment_01062009.pdf\n\n520090001M_Notice of Amendment_01062009_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520090001M/520090001M_Notice%20of%20Amendment_01062009_text.pdf\n\n520090001M_operator response_02032009.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520090001M/520090001M_operator%20response_02032009.pdf\n\n520090001M_operator response_12302009.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520090001M/520090001M_operator%20response_12302009.pdf\n\n520090001M_Notice of Amendment_01062009_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJanuary 6, 2009\nMr. Michael McCann\nVice President of Pipeline and Terminals\nTesoro Refining and Marketing Company\n300 Concord Plaza Drive\nSan Antonio, TX 78216-6999\nCPF 5-2009-0001M\nDear Mr. McCann:\nOn September 9-11, 2008, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), pursuant to Chapter 601 of 49 United States Code, inspected Tesoro\nRefining and Marketing Company’s (TRMC) procedures for Operations and Maintenance\nProcedural Manuals in Wilmington, California.\nOn the basis of the inspection, PHMSA has identified the apparent inadequacies found within\nTRMC’s plans or procedures, as described below:\n1. §192.227 Welders: Qualification of welders.\n(a) Except as provided in paragraph (b) of this section, each welder must be\nqualified in accordance with section 6 of API 1104 (incorporated by reference, see\n§ 192.7) or section IX of the ASME Boiler and Pressure Vessel Code (incorporated\nby reference, see § 192.7). However, a welder qualified under an earlier edition\nthan listed in § 192.7 of this part may weld but may not requalify under that earlier\nedition.\n\n\n\nTesoro Refining and Marketing Company does not specify in its Operation and\nMaintenance (O&M) manuals what section and edition of API 1104 need to be used to\nqualify its Welder. TRMC’s Operations and Maintenance Manuals only require its\nwelders to be qualified according to API 1104. TRMC’s O&M manual do not explicitly\nreference the appropriate industry standard to be used to qualify its welders.\n2. §192.241 Inspection and test of welds\n(c) The acceptability of a weld that is nondestructively tested or visually inspected\nis determined according to the standards in Section 9 of API Standard 1104\n(incorporated by reference, see §192.7). However, if a girth weld is unacceptable\nunder those standards for a reason other than a crack, and if Appendix A to API\n1104 applies to the weld, the acceptability of the weld may be further determined\nunder that appendix.\nTesoro Refining and Marketing Company does not specify in its O&M manuals what\nsection and edition of API 1104 need to be used to inspect its welds. TRMC’s\nOperations and Maintenance states, “NDT testing shall conform to API 1104.” TRMC’s\nO&M manual do not explicitly reference the industry standard to be used to inspect and\naccept their welds.\n3. §192.243 Nondestructive testing\n(a) Nondestructive testing of welds must be performed by any process, other than\ntrepanning, that will clearly indicate defects that may affect the integrity of the\nweld.\n(b) Nondestructive testing of welds must be performed:\n(1) In accordance with written procedures; and\n(2) By persons who have been trained and qualified in the established procedures\nand with the equipment employed in testing.\n(c) Procedures must be established for the proper interpretation of each\nnondestructive test of a weld to ensure the acceptability of the weld under\n§192.241(c).\n(d) When nondestructive testing is required under §192.241(b), the following\npercentages of each day's field butt welds, selected at random by the operator, must\nbe nondestructively tested over their entire circumference;\n(1) In Class 1 locations, except offshore, at least 10 percent.\n(2) In Class 2 locations, at least 15 percent.\n(3) In Class 3 and Class 4 locations, at crossings of major or navigable rivers,\noffshore, and within railroad or public highway rights-of-way, including tunnels,\nbridges, and overhead road crossings, 100 percent unless impracticable, in which\ncase at least 90 percent. Nondestructive testing must be impracticable for each\ngirth weld not tested.\n(4) At pipeline tie-ins, including tie-ins of replacement sections, 100 percent.\n2\n\n\n\n(e) Except for a welder whose work is isolated from the principal welding activity,\na sample of each welder's work for each day must be nondestructively tested, when\nnondestructive testing is required under §192.241(b).\n(f) When nondestructive testing is required under §192.241(b), each operator must\nretain, for the life of the pipeline, a record showing by milepost, engineering station,\nor by geographic feature, the number of girth welds made, the number\nnondestructively tested, the number rejected, and the disposition of the rejects.\nTesoro Refining and Marketing Company does not have adequate O&M procedures for\nnondestructive testing. If TRMC has a separate welding manual, and if that manual\naddresses nondestructive testing, then it should be included or referenced in its O&M\nmanuals.\n4. 192.609 Change in class location: Required study.\nWhenever an increase in population density indicates a change in class location for\na segment of an existing steel pipeline operating at a hoop stress that is more than\n40 percent of SMYS, or indicates that the hoop stress corresponding to the\nestablished maximum allowable operating pressure for a segment of existing\npipeline is not commensurate with the present class location, the operator shall\nimmediately make a study to determine;\n(a) The present class location for the segment involved.\n(b) The design, construction, and testing procedures followed in the original\nconstruction, and a comparison of these procedures with those required for the\npresent class location by the applicable provisions of this part.\n(c) The physical condition of the segment to the extent it can be ascertained from\navailable records;\n(d) The operating and maintenance history of the segment;\n(e) The maximum actual operating pressure and the corresponding operating hoop\nstress, taking pressure gradient into account, for the segment of pipeline involved;\nand,\n(f) The actual area affected by the population density increase, and physical\nbarriers or other factors which may limit further expansion of the more densely\npopulated area.\nTesoro Refining and Marketing Company does not have adequate procedures to\nperiodically determine changes in class location. TRMC previously identified its\npipeline to be in class 1 location. A recent class location study conducted by an outside\ncontractor identified the pipeline to be located in a class 2 & 3, however, procedures to\ndetermine future class changes are not in the TRMC O&M manual.\n5. 192.611 Change in class location: Confirmation or revision of maximum allowable\noperating pressure.\n(a) If the hoop stress corresponding to the established maximum allowable\n3\n\n\n\noperating pressure of a segment of pipeline is not commensurate with the present\nclass location, and the segment is in satisfactory physical condition, the maximum\nallowable operating pressure of that segment of pipeline must be confirmed or\nrevised according to one of the following requirements:\n(1) If the segment involved has been previously tested in place for a period of not\nless than 8 hours, the maximum allowable operating pressure is 0.8 times the test\npressure in Class 2 locations, 0.667 times the test pressure in Class 3 locations, or\n0.555 times the test pressure in Class 4 locations. The corresponding hoop stress\nmay not exceed 72 percent of the SMYS of the pipe in Class 2 locations, 60 percent\nof SMYS in Class 3 locations, or 50 percent of SMYS in Class 4 locations.\n(2) The maximum allowable operating pressure of the segment involved must be\nreduced so that the corresponding hoop stress is not more than that allowed by this\npart for new segments of pipelines in the existing class location.\n(3) The segment involved must be tested in accordance with the applicable\nrequirements of Subpart J of this part, and its maximum allowable operating\npressure must then be established according to the following criteria:\n(i) The maximum allowable operating pressure after the requalification test is 0.8\ntimes the test pressure for Class 2 locations, 0.667 times the test pressure for Class 3\nlocations, and 0.555 times the test pressure for Class 4 locations.\n(ii) The corresponding hoop stress may not exceed 72 percent of the SMYS of the\npipe in Class 2 locations, 60 percent of SMYS in Class 3 locations, or 50 percent of\nSMYS in Class 4 locations.\n(b) The maximum allowable operating pressure confirmed or revised in\naccordance with this section, may not exceed the maximum allowable operating\npressure established before the confirmation or revision.\n(c) Confirmation or revision of the maximum allowable operating pressure of a\nsegment of pipeline in accordance with this section does not preclude the\napplication of §§192.553 and 192.555.\n(d) Confirmation or revision of the maximum allowable operating pressure that is\nrequired as a result of a study under §192.609 must be completed within 24 months\nof the change in class location. Pressure reduction under paragraph (a) (1) or (2) of\nthis section within the 24-month period does not preclude establishing a maximum\nallowable operating pressure under paragraph (a)(3) of this section at a later date.\nTesoro Refining and Marketing Company does not have adequate procedures to\nestablish MAOP limits that are commensurate with changes in class location. TRMC\nchanged its pipeline location from class 1 to class 2 & 3 without confirming if the\nexisting MAOP meets the new class locations.\n6. §192.705 Transmission lines: Patrolling\n(a) Each operator shall have a patrol program to observe surface conditions on\nand adjacent to the transmission line right-of-way for indications of leaks,\nconstruction activity, and other factors affecting safety and operation.\n(b) The frequency of patrols is determined by the size of the line, the operating\n4\n\n\n\npressures, the class location, terrain, weather, and other relevant factors, but\nintervals between patrols may not be longer than prescribed in the following table:\nClass\nlocation\nof line\nMaximum interval between patrols\nAt highway and\nrailroad crossings At all other places\n1,2 7 1/2 months; but at least\ntwice each calendar year\n15 months; but at least\nonce each calendar year\n3 4 1/2 months; but at least\nfour times each calendar\nyear\n7 1/2 months; but at least\ntwice each calendar year\n4 4 1/2 months; but at least\nfour times each calendar\nyear\n4 1/2 months; but at least\nfour times each calendar year\nTesoro Refining and Marketing Company’s new class location study identified its\npipeline to be located in both class 2 and 3 areas. TRMC’s O&M manuals still require\nonce-a-year ROW patrolling as if the pipeline were in a class 1 or 2 area. The O&M\nmanuals need to be revised to meet the requirements of §192.705(b).\n7. §192.706 Transmission lines: Leakage surveys\nLeakage surveys of a transmission line must be conducted at intervals not\nexceeding 15 months, but at least once each calendar year. However, in the case of\na transmission line which transports gas in conformity with §192.625 without an\nodor or odorant, leakage surveys using leak detector equipment must be\nconducted-\n(a) In Class 3 locations, at intervals not exceeding 7 1/2 months, but at least twice\neach calendar year; and\n(b) In Class 4 locations, at intervals not exceeding 4 1/2 months, but at least four\ntimes each calendar year.\nTesoro Refining and Marketing Company’s new class location study identified its\npipeline to be in a class 2 and 3 area. TRMC, in its O&M manuals, still require once per\nyear leakage survey. The O&M manuals need to be revised to meet the periodic survey\nrequirements of §192.706.\n5\n\n\n\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.237. Enclosed as\npart of this Notice is a document entitled Response Options for Pipeline Operators in\nCompliance 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.\nIf, after opportunity for a hearing, your plans or procedures are found inadequate as alleged in\nthis Notice, you may be ordered to amend your plans or procedures to correct the inadequacies\n(49 C.F.R. § 190.237). If you are not contesting this Notice, we propose that you submit your\namended procedures to my office within 60 days of receipt of this Notice. This period may be\nextended by written request for good cause. Once the inadequacies identified herein have been\naddressed in your amended procedures, this enforcement action will be closed.\nIn correspondence concerning this matter, please refer to CPF 5-2009-0001M and, for each\ndocument you submit, please provide a copy in electronic format whenever possible.\nSincerely,\nChris Hoidal\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\n6","truncated":false,"body_characters":14464}