# BELLE FOURCHE PIPELINE CO — Warning Letter

- **operation:** document
- **citation:** CPF 520165010W
- **title:** BELLE FOURCHE PIPELINE CO — Warning Letter
- **source type:** enforcement
- **agency:** Pipeline and Hazardous Materials Safety Administration
- **status:** historical
- **official:** true
- **published on:** 2016-12-01
- **effective on:** Not available
- **summary:** CLOSED warning letter citing 195.452(h)(4)(i).
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- **source url:** https://primis.phmsa.dot.gov/enforcement-data/case/520165010W
**body:**

Warning Letter involving BELLE FOURCHE PIPELINE CO. PHMSA's enforcement data identifies the cited regulation as 195.452(h)(4)(i). The case was opened on 2016-12-01 and is reported as closed as of 2016-12-01. Open the official case record for notices, responses, orders, and the latest status.

Official case documents:

520165010W_Warning Letter_12012016.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520165010W/520165010W_Warning%20Letter_12012016.pdf

520165010W_Warning Letter_12012016_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520165010W/520165010W_Warning%20Letter_12012016_text.pdf

520165010W_Warning Letter_12012016_text.pdf

WARNING LETTER
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
December 1, 2016
Mr. Tad True
Vice President
Belle Fourche Pipeline Company
PO Drawer 2360
Casper, WY 82602
CPF 5-2016-5010W
Dear Mr. True:
On June 28 through July 1, 2016, a representative of the Pipeline and Hazardous Materials
Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,
inspected your records in Casper, WY.
As a result of the inspection, it is alleged that you have committed a probable violation of the
Pipeline Safety Regulations, Title 49, Code of Federal Regulations. The item inspected and
the probable violation is:
1. §195.452 Pipeline integrity management in high consequence areas.
(h)(4)(i) Immediate repair conditions.
An operator's evaluation and remediation schedule must provide for immediate
repair conditions. To maintain safety, an operator must temporarily reduce the
operating pressure or shut down the pipeline until the operator completes the
repair of these conditions. An operator must calculate the temporary reduction in
operating pressure using the formulas referenced in paragraph (h)(4)(i)(B) of this
section. If no suitable remaining strength calculation method can be identified, an
operator must implement a minimum 20 percent or greater operating pressure
reduction, based on actual operating pressure for two months prior to the date of



inspection, until the anomaly is repaired. An operator must treat the following
conditions as immediate repair conditions:
(A) Metal loss greater than 80% of nominal wall regardless of dimensions.
(B) A calculation of the remaining strength of the pipe shows a predicted
burst pressure less than the established maximum operating pressure at the
location of the anomaly. Suitable remaining strength calculation methods
include, but are not limited to, ASME/ANSI B31G (incorporated by
reference, see §195.3) and PRCI PR-3-805 (R- STRENG) (incorporated by
reference, see §195.3).
(C) A dent located on the top of the pipeline (above the 4 and 8 o'clock
positions) that has any indication of metal loss, cracking or a stress riser.
(D) A dent located on the top of the pipeline (above the 4 and 8 o'clock
positions) with a depth greater than 6% of the nominal pipe diameter.
Belle Fourche Pipeline Company (BFPC) did not respond correctly to an immediate repair
condition as defined by 195.452(h)(4)(i). BFPC did not shut down or take the required
pressure reduction of twenty (20) percent based on the actual operating pressure for the two
months prior to the date of the inspection. On June 16, 2016, BFPC discovered the immediate
anomaly on the six (6) inch pipeline between the Skunk Hill Pump Station to Dickinson;
however, no pressure reduction was taken until June 30 when the PHMSA inspector brought
that requirement to the operator’s attention. Therefore, the operator was out of compliance
for 14 days. The operator did take prompt action within one hour once this fact was brought
to their attention.
Under 49 United States Code, § 60122, you are subject to a civil penalty not to exceed
$205,638 per violation per day the violation persists up to a maximum of $2,056,380 for a
related series of violations. For violation occurring between January 4, 2012 to August 1,
2016, the maximum penalty may not exceed $200,000 per violation per day, with a maximum
penalty not to exceed $2,000,000 for a related series of violations. For violations occurring
prior to January 4, 2012, the maximum penalty may not exceed $100,000 per violation per
day, with a maximum penalty not to exceed $1,000,000 for a 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 BFPC 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 5-2016-5010W. 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
2



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
PHP-500 J. Gilliam
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