{"operation":"document","citation":"CPF 520190007M","title":"NORTH SLOPE BOROUGH ENERGY MANAGEMENT — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-01-25","effective_on":null,"summary":"CLOSED notice of amendment citing 192.241(a), 192.605(b)(2), 192.615(a)(4), 192.615(b)(2), 192.805(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190007m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190007m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190007m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520190007M","body":"Notice of Amendment involving NORTH SLOPE BOROUGH ENERGY MANAGEMENT. PHMSA's enforcement data identifies the cited regulations as 192.241(a),  192.605(b)(2),  192.615(a)(4),  192.615(b)(2),  192.805(a). The case was opened on 2019-01-25 and is reported as closed as of 2019-05-29. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520190007M_Closure Letter_05292019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190007M/520190007M_Closure%20Letter_05292019.pdf\n\n520190007M_Closure Letter_05292019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190007M/520190007M_Closure%20Letter_05292019_text.pdf\n\n520190007M_Notice of Amendment_01252019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190007M/520190007M_Notice%20of%20Amendment_01252019.pdf\n\n520190007M_Notice of Amendment_01252019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190007M/520190007M_Notice%20of%20Amendment_01252019_text.pdf\n\n520190007M_Operator Response to Notice_04122019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190007M/520190007M_Operator%20Response%20to%20Notice_04122019.pdf\n\n520190007M_Notice of Amendment_01252019_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nJanuary 25, 2019\nThe Honorable Harry K. Brower, Jr., Mayor\nNorth Slope Borough\nP.O. Box 69\nBarrow, Alaska 99723\nCPF 5-2019-0007M\nDear Mayor Brower:\nFrom July 10 through 14, 2017 and again from November 13 through 15, 2017, a representative of the\nPipeline and Hazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of\n49 United States Code (U.S.C.), inspected your Nuiqsut Utility Cooperative (NUC) natural gas\ndistribution system facilities, procedures, and implementing records associated with that system\nin Nuiqsut, Alaska. NUC is overseen by the Fuel & Natural Gas division of the Department of\nPublic Works, North Slope Borough (NSB).\nBased on our inspection, PHMSA has identified the apparent inadequacies within NSB’s plans or\nprocedures for the operations and maintenance of the NUC distribution system, as described\nbelow:\n1. §192.241(a) Inspection and test of welds.\na) Visual inspection of welding must be conducted by an individual qualified\nby appropriate training and experience to ensure that:….\nThe NSB welding procedure does not specify what level of training and experience is required to\nqualify individuals to conduct welding inspection tasks.\n\n\n\n2. § 192.615 Emergency Plans.\n(a) Each operator shall establish written procedures to minimize the hazard\nresulting from a gas pipeline emergency. At a minimum, the procedures must\nprovide for the following: …\n(4) The availability of personnel, equipment, tools, and materials, as needed at the\nscene of an emergency.\nThe NSB procedures do not provide inventories of required emergency response equipment,\ntools, and materials as needed at the scene of an emergency. The NSB procedures must define\nthe required emergency response equipment, tools, and materials that will be maintained at\nNSB’s facilities. The procedures should include a process to confirm that the quantities of all\nequipment, tools, and materials listed on the inventory are available during an emergency.\n3. § 192.615 Emergency Plans.\n…(b) Each operator shall: …\n(2) Train the appropriate operating personnel to assure that they are\nknowledgeable of the emergency procedures and verify that the training is effective.\nThe NSB procedures do not identify how appropriate NUC operating personnel are trained with\nrespect to NSB’s emergency procedures, or how NSB verifies that such training is effective.\nNSB procedures must identify how appropriate operating personnel are trained in NSB’s\nemergency procedures, and how NSB verifies that such training is effective.\n4. § 192.605 Procedural Manual for Operations, Maintenance, and Emergencies.\n…(b) Maintenance and normal operations. The manual required by paragraph (a)\nof this section must include procedures for the following, if applicable, to provide\nsafety during maintenance and operations. …\n(2) Controlling corrosion in accordance with the operations and maintenance\nrequirements of subpart I of this part.\nNSB’s procedures do not contain a procedure to address further examination of exposed buried\npipe in instances where external corrosion is discovered and the discovered corrosion requires\nspecific remedial action. Subpart I of part 192, specifically § 192.459, requires the following:\n“Whenever an operator has knowledge that any portion of a buried pipeline is exposed, the\nexposed portion must be examined for evidence of external corrosion if the pipe is bare, or if the\ncoating is deteriorated. If external corrosion requiring remedial action under § 192.483 through\n192.489 is found, the operator shall investigate circumferentially and longitudinally beyond the\nexposed portion (by visual examination, indirect method, or both) to determine whether\nadditional corrosion requiring remedial action exists in the vicinity of the exposed portion.”\nNSB’s procedures are silent in this regard, and are therefore inadequate to assure the safe\noperation of the pipeline. NSB shall amend its procedures to provide clear direction for what\nadditional examination tasks are required in instances where external corrosion requiring\nremedial action is discovered.\n2\n\n\n\n5. § 192.805 Qualification program\nEach operator shall have and follow a written qualification program. The program\nshall include provisions to:\n(a) Identify covered tasks;\nNSB did not include all covered tasks in their operator qualification (OQ) program as required\nby §192.805. Specifically, our inspection of the OQ program noted that application of protective\ntape wrap, which meets the definition of a “covered task,” was not included in the written\nqualification program. NSB must amend its written qualification program such that application\nof the protective tape wrap is identified as a covered task. All other tasks that may be expected\nto be performed on the distribution system and meets the definition of “covered tasks” as defined\nby §192.801(b) are required to be identified in the OQ program.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. 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 for\nconfidential treatment under 5 U.S.C. 552(b), along with the complete original document you\nmust 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).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, revised\nprocedures, or a request for a hearing under §190.211. If you do not respond within 30 days of\nreceipt 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 an Order Directing Amendment. If your\nplans or procedures are found inadequate as alleged in this Notice, you may be ordered to amend\nyour plans or procedures to correct the inadequacies (49 C.F.R. § 190.206). If you are not\ncontesting this Notice, we propose that you submit your amended procedures to my office within\n90 days of receipt of this Notice. This period may be extended by written request for good\ncause. Once the inadequacies identified herein have been addressed in your amended\nprocedures, this enforcement action will be closed.\nIt is requested (not mandated) that NSB maintain documentation of the safety improvement costs\nassociated with fulfilling this Notice of Amendment (preparation/revision of plans, procedures)\nand submit the total to Chris Hoidal, Acting Director, Western Region, Pipeline and Hazardous\nMaterials Safety Administration. In correspondence concerning this matter, please refer to CPF\n5-2019-0007M and, for each document you submit, please provide a copy in electronic format\nwhenever possible.\n3\n\n\n\nSincerely,\nChris Hoidal\nActing Director, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: Allen Snow, Division Manager, Fuel and Natural Gas ( allen.snow@north-slope.org )\nTasi Fosi, Acting Project Administrator, Fuel and Natural Gas (tasi.fosi@north-slope.org)\nDon Eller, General Manager, Nuiqsut Utilities Cooperative ( nalaska@ytcmail.com )\nPHP-60 Compliance Registry\nPHP-500 M. Chard (#155154)\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\n4\n\n520190007M_Closure Letter_05292019_text.pdf\n\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nMay 29, 2019\nThe Honorable Harry K. Brower, Jr.\nMayor\nNorth Slope Borough Energy Management\nNuiqsut Utilities Cooperative\nP.O. Box 69\nBarrow, Alaska 99723\nCPF 5-2019-0007M\nClosure Letter\nDear Mayor Brower:\nFrom July 10 through 14, 2017 and again from November 13 through 15, 2017, a representative of the\nPipeline and Hazardous Materials Safety Administration (PHMSA), pursuant to Chapter 601 of 49\nUnited States Code (U.S.C.), inspected your Nuiqsut Utility Cooperative (NUC) natural gas\ndistribution system facilities, procedures, and implementing records associated with that system in\nNuiqsut, Alaska. NUC is overseen by the Fuel & Natural Gas division of the Department of Public\nWorks, North Slope Borough (NSB).\nAs a result of the inspection, NSB was issued a Notice of Amendment on January 25, 2019 which\nproposed amendment of your procedures.\nNSB submitted its amended procedures on April 12, 2019 and on April 22, 2019. My staff reviewed\nthe amended procedures, and it appears the inadequacies outlined in this Notice of Amendment have\nbeen corrected.\nThis letter is to inform you no further action is necessary and this case is now closed. Thank you for\nyour cooperation.\nSincerely,\nDustin Hubbard\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 M. Chard (#155154)\nAllen Snow, Division Manager, Fuel and Natural Gas (allen.snow@north-slope.org)\nTasi Fosi, Acting Project Administrator, Fuel and Natural Gas (tasi.fosi@north-slope.org)\nDon Eller, General Manager, Nuiqsut Utilities Cooperative (nalaska@ytcmail.com)","truncated":false,"body_characters":10677}