{"operation":"document","citation":"CPF 520155014","title":"OLYMPIC PIPE LINE COMPANY — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2015-07-02","effective_on":null,"summary":"CLOSED notice of probable violation citing 195.401(b)(1), 195.452(h)(1), 195.573(e), 195.575(c).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520155014.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520155014.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520155014","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520155014","body":"Notice of Probable Violation involving OLYMPIC PIPE LINE COMPANY. PHMSA's enforcement data identifies the cited regulations as 195.401(b)(1),  195.452(h)(1),  195.573(e),  195.575(c). The case was opened on 2015-07-02 and is reported as closed as of 2017-08-25. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520155014_Closure Letter_08252017.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_Closure%20Letter_08252017.pdf\n\n520155014_Closure Letter_08252017_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_Closure%20Letter_08252017_text.pdf\n\n520155014_Final Order_01132016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_Final%20Order_01132016.pdf\n\n520155014_Final Order_01132016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_Final%20Order_01132016_text.pdf\n\n520155014_NOPV PCO_07022015.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_NOPV%20PCO_07022015.pdf\n\n520155014_NOPV PCO_07022015_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_NOPV%20PCO_07022015_text.pdf\n\n520155014_Operator Response to Notice_08062015.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520155014/520155014_Operator%20Response%20to%20Notice_08062015.pdf\n\n520155014_Final Order_01132016_text.pdf\n\nJanuary 13, 2016\nMr. Donald Porter\nPresident\nBP Pipelines (North America), Inc.\n150 W. Warrenville Road\nNaperville, IL 60563\nRe: CPF No. 5-2015-5014\nDear Mr. Porter:\nEnclosed please find the Final Order issued in the above-referenced case to your affiliate,\nOlympic Pipe Line Company. It makes findings of violation and specifies actions that need to be\ntaken by Olympic Pipe Line Company to comply with the pipeline safety regulations. When the\nterms of the compliance order have been completed, as determined by the Director, Western\nRegion, this enforcement action will be closed. Service of the Final Order by certified mail is\ndeemed effective upon the date of mailing, or as otherwise provided under 49 C.F.R. § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nJeffrey D. Wiese\nAssociate Administrator\nfor Pipeline Safety\nEnclosure\ncc: Mr. Chris Hoidal, Director, Western Region, OPS\nMs. Clorinda Nothstein, Operations Manager, BP Pipelines (North America), Inc.\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\n\n\n\nU.S. DEPARTMENT OF TRANSPORTATION\nPIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION\nOFFICE OF PIPELINE SAFETY\nWASHINGTON, D.C. 20590\n____________________________________________________\nIn the Matter of )\n)\n)\nOlympic Pipe Line Company, an affiliate of BP Pipelines (North America), Inc., )\n)\nRespondent. )\n____________________________________________________ )\n) CPF No. 5-2015-5014\nFINAL ORDER\nBetween August 11 and 29, 2014, pursuant to 49 U.S.C. § 60117, representatives of the Pipeline\nand Hazardous Materials Safety Administration (PHMSA), Office of Pipeline Safety (OPS), and\nthe Washington Utilities and Trade Commission (WUTC), conducted an on-site pipeline safety\ninspection of the facilities and records of Olympic Pipe Line Company (OPL or Respondent) in\nthe States of Oregon and Washington. OPL is jointly owned by BP Pipelines (North America),\nInc. (BPNA) and Enbridge Energy Partners, LP, and is operated by BPNA. The OPL hazardous\nliquid products pipeline consists of approximately 400 miles of intrastate and interstate pipelines\nrunning from Blaine, Washington, to Portland, Oregon. The system transports gasoline, diesel,\nand jet fuel, with a capacity of 315,000 barrels, and includes 10 breakout tanks.1\nAs a result of the inspection, the Director, Western Region, OPS (Director), issued to\nRespondent, by letter dated July 2, 2015, a Notice of Probable Violation and Proposed\nCompliance Order (Notice). In accordance with 49 C.F.R. § 190.207, the Notice proposed\nfinding that OPL had violated 49 C.F.R. §§ 195.573 and 195.575, and proposed ordering\nRespondent to take certain measures to correct the alleged violations.\nBPNA responded to the Notice on behalf of OPL, by letter dated August 6, 2015 (Response).\nRespondent did not contest the allegations of violation but provided information concerning the\ncorrective actions it had taken since the August 2014 inspection. Respondent did not request a\nhearing and therefore has waived its right to one.\n1 BP Pipelines (North America), Inc., website, available at http://www.olympicpipeline.com/ (last accessed\nNovember 27, 2015).\n\n\n\nCPF No. 5-2015-5014\nPage 2\nFINDINGS OF VIOLATION\nIn its Response, OPL did not contest the allegations in the Notice that it violated 49 C.F.R.\nPart 195, as follows:\nItem 1: The Notice alleged that Respondent violated 49 C.F.R. § 195.573(e), which states:\n§ 195.573 What must I do to monitor external corrosion control?\n(a) . . .\n(e) Corrective action. You must correct any identified deficiency in\ncorrosion control as required by §195.401(b). However, if the deficiency\ninvolves a pipeline in an integrity management program under §195.452,\nyou must correct the deficiency as required by §195.452(h).\nThe Notice alleged that Respondent failed to correct identified deficiencies in its corrosion\ncontrol system that could adversely affect the safe operation of the pipeline, as required by\n49 C.F.R. § 195.401(b). That section provides, in relevant part:\n§ 195.401 General requirements.\n(a) . . .\n(b) An operator must make repairs on its pipeline system according to\nthe following requirements:\n(1) Non Integrity management repairs. Whenever an operator\ndiscovers any condition that could adversely affect the safe operation of its\npipeline system, it must correct the condition within a reasonable time.\nThe Notice also alleged that Respondent violated 49 C.F.R. § 195.452(h)(1), cited in\n§ 195.573(e), which states:\n§ 195.452 Pipeline integrity management in high consequence areas.\n(a) Which pipelines are covered by this section? This section applies\nto each hazardous liquid pipeline and carbon dioxide pipeline that could\naffect a high consequence area, including any pipeline located in a high\nconsequence area unless the operator effectively demonstrates by risk\nassessment that the pipeline could not affect the area. . .\n(h) What actions must an operator take to address integrity issues?\n(1) General requirements. An operator must take prompt action to\naddress all anomalous conditions the operator discovers through the\nintegrity assessment or information analysis. In addressing all conditions,\nan operator must evaluate all anomalous conditions and remediate those\nthat could reduce a pipeline's integrity. An operator must be able to\ndemonstrate that the remediation of the condition will ensure the condition\nis unlikely to pose a threat to the long-term integrity of the pipeline. An\noperator must comply with §195.422 when making a repair.\nThe Notice alleged that Respondent failed to correct deficiencies in its corrosion control system\n\n\n\nCPF No. 5-2015-5014\nPage 3\nwithin a reasonable time, in accordance with § 195.401(b)(1). According to the Notice, in 2010\nRespondent performed an in-line-inspection (ILI) that revealed discrepancies in the ILI data,\nrevealing unrecorded casings on the pipeline system. Subsequent excavations performed by\nRespondent revealed additional unrecorded casings, sleeves, and half-sections of pipe at several\nlocations. In 2011, OPL allegedly initiated a “Casing Wire Repairs” project to further evaluate\nand repair casing deficiencies within a 10-year time frame. The Notice alleged that\nRespondent’s 10-year time frame to complete the inspections and repairs was not a reasonable\nperiod of time in which to correct the identified deficiencies.\nIn addition, the Notice alleged that OPL violated 49 C.F.R. § 195.452(h)(1) by failing to take\nprompt action to address all anomalous conditions in high consequence areas (HCAs).\n2\nSpecifically, the Notice alleged that Respondent’s “Casing Wire Repairs” project did not\ndifferentiate between anomalous conditions discovered in HCA areas versus non-HCA areas and\nthat the company’s 10-year time frame for completing the project did not constitute prompt\naction for remediating deficiencies found in such areas.\nRespondent did not contest these allegations of violation. Accordingly, based upon a review of\nall of the evidence, I find that Respondent violated 49 C.F.R. §§ 195.573(e), 195.401(b)(1), and\n195.452(h)(1), by failing to correct identified deficiencies in corrosion control within a\nreasonable time and to take prompt action to address all anomalous conditions that could affect\nHCAs discovered through its integrity assessment or information analysis.\nItem 2: The Notice alleged that Respondent violated 49 C.F.R. § 195.575(c), which states:\n§ 195.575 Which facilities must I electrically isolate and what\ninspections, tests, and safeguards are required?\n(a) . . .\n(c) You must inspect and electrically test each electrical isolation to\nassure the isolation is adequate.\nThe Notice alleged that Respondent violated 49 C.F.R. § 195.575(c) by failing to test the\nelectrical isolation of each buried pipeline in the OPL system to assure that the isolation was\nadequate. Specifically, the Notice alleged the Respondent failed to test the electrical isolation of\npreviously unrecorded casings, as described in Item 1 above, to ensure that the isolation from\nother metallic structures was adequate. The Notice alleged that several casings were not present\non alignment sheets or other cathodic protection records, indicating previously unrecorded\npipelines had not been tested for adequate isolation.\nRespondent did not contest this allegation of violation. Accordingly, based upon a review of all\nof the evidence, I find that Respondent violated 49 C.F.R. 49 C.F.R. § 195.575(c), by failing to\n2 An HCA is defined as: (1) a commercially navigable waterway, which means a waterway where a substantial\nlikelihood of commercial navigation exists; (2) a high population area, which means an urbanized area, as defined\nand delineated by the Census Bureau, that contains 50,000 or more people and has a population density of at least\n1,000 per square mile; (3) an other populated area, which means a place, as defined and delineated by the Census\nBureau, that contains a concentrated population, such as an incorporated or unincorporated city, town, village, or\nother designated residential or commercial area; and (4) an unusually sensitive area. See 49 C.F.R. § 195.450.\n\n\n\nCPF No. 5-2015-5014\nPage 4\ntest the electrical isolation of each buried pipeline to assure that the isolation was adequate.\nThese findings of violation will be considered prior offenses in any subsequent enforcement\naction taken against Respondent.\nCOMPLIANCE ORDER\nThe Notice proposed a compliance order with respect to Items 1 and 2 in the Notice for\nviolations of 49 C.F.R. §§ 195.573(e) and 195.575(c), respectively. Under 49 U.S.C. § 60118(a),\neach person who engages in the transportation of hazardous liquids or who owns or operates a\npipeline facility is required to comply with the applicable safety standards established under\nchapter 601. In its Response, OPL indicated that it had taken certain actions to comply with the\nProposed Compliance Order. The Director has reviewed such actions and recommended that this\nCompliance Order be modified accordingly. Therefore, pursuant to the authority of 49 U.S.C.\n§ 60118(b) and 49 C.F.R. § 190.217, Respondent is ordered to take the following actions to\nensure compliance with the pipeline safety regulations applicable to its operations:\n1. With respect to the violations of § 195.573(e) (Item 1) and § 195.575(c) (Item 2),\nRespondent must:\nA. Schedule the “Casings Wire Repair” project to mitigate all remaining\nindications in HCAs and non-HCAs no later than 18 months from the date of this\nOrder;\nB. Determine whether additional casings exist on its pipeline. Update maps and\nrecords, as necessary, to ensure all programmatic systems which use this data,\nincluding IMP, are accurate; and\nC. Submit changes to the “Casing Wire Repair” project within 30 days after the\nreceipt of this Final Order to Mr. Chris Hoidal, Director, Western Region,\nPipeline and Hazardous Materials Safety Administration.\n2. It is requested (not mandated), that Respondent maintain documentation of the\nsafety improvement costs associated with fulfilling this Final Order and submit the\ntotal to Mr. Chris Hoidal, Director, Western Region, Pipeline and Hazardous\nMaterials Safety Administration. It is requested these costs be reported in two\ncategories: 1) total costs associated with preparation/revision of plans, procedures,\nstudies an analyses; and 2) total cost associated with replacements, additions and\nother changes to pipeline infrastructure.\nThe Director may grant an extension of time to comply with any of the required items upon a\nwritten request timely submitted by the Respondent and demonstrating good cause for an\nextension.\nFailure to comply with this Order may result in the administrative assessment of civil penalties\n\n\n\nCPF No. 5-2015-5014\nPage 5\nnot to exceed $200,000 for each violation for each day the violation continues or in referral to the\nAttorney General for appropriate relief in a district court of the United States.\nUnder 49 C.F.R. § 190.243, Respondent has a right to submit a Petition for Reconsideration of\nthis Final Order. The petition must be sent to: Associate Administrator, Office of Pipeline\nSafety, PHMSA, 1200 New Jersey Avenue, SE, East Building, 2nd Floor, Washington, DC\n20590, with a copy sent to the Office of Chief Counsel, PHMSA, at the same address. PHMSA\nwill accept petitions received no later than 20 days after receipt of service of this Final Order by\nthe Respondent, provided they contain a brief statement of the issue(s) and meet all other\nrequirements of 49 C.F.R. § 190.243. Unless the Associate Administrator, upon request, grants a\nstay, the terms and conditions of this Final Order are effective upon service in accordance with\n49 C.F.R. § 190.5.\n___________________________________ __________________________\nJeffrey D. Wiese Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n520155014_Closure Letter_08252017_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nAugust 25, 2017\nMr. Donald Porter\nPresident\nBP Pipelines (North America), Inc.\nOlympic Pipeline Line Company\n150 W. Warrenville Road\nNaperville, IL 60563\nCPF 5-2015-5014\nCase Closure\nDear Mr. Porter:\nBetween August 11 and August 29, 2014, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), and Washington Utilities and Trade Commission\n(WUTC), pursuant to Chapter 601 of 49 United States Code, inspected your Olympic Pipe\nLine Co. (OPL) system in the States of Oregon and Washington. As a result of the\ninspection, OPL was issued a Final Order and Compliance Order on January 13, 2016.\nBased on our review of the documentation you provided and confirmation of the field\ninspection by PHSMA and WUTC inspectors, it has been determined that you have complied\nwith the terms of this Order.\nAccordingly, this case is now closed and no further action is contemplated with respect to the\nmatters involved in this case. Thank you for your cooperation in this matter.\nSincerely,\nDustin Hubbard\nActing Director, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 C. Allen (Activities: 147690 and 147691)\nWUTC","truncated":false,"body_characters":15505}