# PAR HAWAII REFINING, LLC — Warning Letter

- **operation:** document
- **citation:** CPF 520116009W
- **title:** PAR HAWAII REFINING, LLC — Warning Letter
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2011-11-21
- **effective on:** Not available
- **summary:** CLOSED warning letter citing 195.432(b), 195.583(c).
- **machine formats:** - **json:** https://regulus.evalyn.ai/document/phmsa-enforcement-520116009w.json
- **markdown:** https://regulus.evalyn.ai/document/phmsa-enforcement-520116009w.md
- **app url:** https://regulus.evalyn.ai/document/phmsa-enforcement-520116009w
- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/520116009W
**body:**

Warning Letter involving PAR HAWAII REFINING, LLC. PHMSA's enforcement data identifies the cited regulations as 195.432(b),  195.583(c). The case was opened on 2011-11-21 and is reported as closed as of 2011-11-21. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520116009W_warning letter_11212011.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520116009W/520116009W_warning%20letter_11212011.pdf

520116009W_warning letter_11212011_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520116009W/520116009W_warning%20letter_11212011_text.pdf

520116009W_warning letter_11212011_text.pdf

WARNING LETTER
CERTIFIED MAIL - RETURN RECEIPT REQUESTED [70063450000171041845]
November 21, 2011
Mr. Ralph Grimmer
VP, Logistics
Tesoro Hawaii Corporation
19100 Ridgewood Parkway (TX1-023 / 1-2C050)
San Antonio, TX 78259
CPF 5-2011-6009W
Dear Mr. Grimmer:
On March 30 to April 2, 2011, a representative of the Pipeline and Hazardous Materials
Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,
inspected Tesoro Hawaii’s Honolulu pipeline system in Honolulu, Hawaii.
As a result of the inspection, it appears that Tesoro Hawaii (Tesoro) has committed probable
violations of the Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The
items inspected and the probable violations are:
1. §195.432 Inspection of in-service breakout tanks.
(b) Each operator must inspect the physical integrity of in-service atmospheric
and low-pressure steel aboveground breakout tanks according to API Standard
653 (incorporated by reference, see § 195.3). However, if structural conditions
prevent access to the tank bottom, the bottom integrity may be assessed
according to a plan included in the operations and maintenance manual under §
195.402(c)(3).
Tesoro’s 2009 API 653 out-of-service inspection reports for tanks 10 and 11 state that the
inspections where conducted using the latest version of 653 instead of referencing actual



edition used. Tesoro HI should note that the latest edition of a referenced standard from
Tesoro’s O&M procedures is not always the edition that is incorporated by reference in Part
195.
2. §195.583 What must I do to monitor atmospheric corrosion control?
(c) If you find atmospheric corrosion during an inspection, you must provide
protection against the corrosion as required by Sec. 195.581.
Tesoro’s MLV 12 bleeder valve was reported as being corroded to 30% of the wall thickness
and MLV 14 was reported as having corrosion. Tesoro had no documentation to show that
they had taken corrective actions to remediate corrosion for either of these valves.
Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed
$100,000 for each violation for each day the violation persists up to a maximum of
$1,000,000 for any related series of violations. We have reviewed the circumstances and
supporting documents involved in this case, and have decided not to conduct additional
enforcement action or penalty assessment proceedings at this time. We advise you to correct
the item identified in this letter. Failure to do so will result in Tesoro being subject to
additional enforcement action.
No reply to this letter is required. If you choose to reply, in your correspondence please refer
to CPF 5-2011-6009W. Be advised that all material you submit in response to this
enforcement action is subject to being made publicly available. If you believe that any
portion of your responsive material qualifies for confidential treatment under 5 U.S.C.
552(b), along with the complete original document you must provide a second copy of the
document with the portions you believe qualify for confidential treatment redacted and an
explanation of why you believe the redacted information qualifies for confidential treatment
under 5 U.S.C. 552(b).
Sincerely,
Chris Hoidal
Director Western Region
Pipeline and Hazardous Materials Safety Administration
cc: PHP-60 Compliance Registry
G. Davis (#133324)
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