{"operation":"document","citation":"CPF 520190026","title":"HARVEST ALASKA, LLC — Notice of Probable Violation","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-12-26","effective_on":null,"summary":"CLOSED notice of probable violation citing 192.179(c), 192.707(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190026.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190026.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520190026","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520190026","body":"Notice of Probable Violation involving HARVEST ALASKA, LLC. PHMSA's enforcement data identifies the cited regulations as 192.179(c),  192.707(a). The case was opened on 2019-12-26 and is reported as closed as of 2021-08-04. Proposed civil penalty: $50,100. Assessed civil penalty: $50,100. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520190026_Closure Letter_08042021_(19-165166S).pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_Closure%20Letter_08042021_(19-165166S).pdf\n\n520190026_Closure Letter_08042021_(19-165166S)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_Closure%20Letter_08042021_(19-165166S)_text.pdf\n\n520190026_Final Order_02112020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_Final%20Order_02112020.pdf\n\n520190026_Final Order_02112020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_Final%20Order_02112020_text.pdf\n\n520190026_NOPV PCP PCO_12262019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_NOPV%20PCP%20PCO_12262019.pdf\n\n520190026_NOPV PCP PCO_12262019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_NOPV%20PCP%20PCO_12262019_text.pdf\n\n520190026_Operator Response to Notice_01232020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520190026/520190026_Operator%20Response%20to%20Notice_01232020.pdf\n\n520190026_Final Order_02112020_text.pdf\n\nFebruary 11, 2020\nMr. Jason C. Rebrook\nChief Executive Officer\nHarvest Midstream Company\n1111 Travis Street\nHouston, Texas 77002\nRe: CPF No. 5-2019-0026\nDear Mr. Rebrook:\nEnclosed please find the Final Order issued in the above-referenced case. It makes findings of\nviolation against your subsidiary, Harvest Alaska, LLC, finds that the civil penalty amount of\n$50,100 has been paid in full, and specifies actions that need to be taken to comply with the\npipeline safety regulations. When the terms of the compliance order are completed, as\ndetermined by the Director, Western Region, this enforcement action will be closed. Service of\nthe Final Order by certified mail is effective upon the date of mailing as provided under 49\nC.F.R. § 190.5.\nThank you for your cooperation in this matter.\nSincerely,\nAlan K. Mayberry\nAssociate Administrator\nfor Pipeline Safety\nEnclosures (Final Order and NOPV)\ncc: Mr. Dustin Hubbard, Director, Western Region, Office of Pipeline Safety, PHMSA\nMr. Richard Novcaski, Vice President, Harvest Alaska, LLC, 3800 Centerpoint Drive,\nAnchorage, Alaska 99524\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 )\nHarvest Alaska, LLC, ) CPF No. 5-2019-0026\na subsidiary of Harvest Midstream Company, )\n)\n)\n)\nRespondent. )\n__________________________________________)\nFINAL ORDER\nOn December 26, 2019, pursuant to 49 C.F.R. § 190.207, the Director, Western Region, Office\nof Pipeline Safety (OPS), issued a Notice of Probable Violation (Notice) to Harvest Alaska, LLC\n(Respondent).1 The Notice proposed finding that Respondent had violated the pipeline safety\nregulations in 49 C.F.R. Part 192. The Notice also proposed certain measures to correct the\nviolations. Respondent did not contest the allegations of violation or corrective measures and\npaid the proposed civil penalty on January 23, 2020.\nBased upon a review of all of the evidence, pursuant to § 190.213, I find Respondent violated the\npipeline safety regulation listed below, as more fully described in the enclosed Notice, which is\nincorporated by reference:\n49 C.F.R. § 192.179(c) (Item 1) ─ Respondent failed to equip its pipeline with a\nblowdown valve with enough capacity to allow the pipeline to be blown down as\nrapidly as practicable.\nThis finding of violation will be considered a prior offense in any subsequent enforcement action\ntaken against Respondent. In accordance with 49 C.F.R. § 190.223, Respondent is assessed the\nproposed civil penalty amount of $50,100, which Respondent has already paid in full.\nCOMPLIANCE ACTIONS\nPursuant to 49 U.S.C. § 60118(b) and 49 C.F.R. § 190.217, Respondent is ordered to take the\nactions proposed in the enclosed Notice to correct the violation. The Director may grant an\nextension of time to comply with any of the required items upon a written request timely\n1 Harvest Alaska, LLC is a subsidiary of Harvest Midstream Company. Harvest Midstream Company website,\navailable at http://www harvestmidstream.com/affiliate/harvest-alaska/ (last accessed January 24, 2020).\n\n\n\nCPF No. 5-2019-0026\nPage 2\nsubmitted by the Respondent and demonstrating good cause for an extension. Upon completion\nof ordered actions, Respondent may request that the Director close the case. Failure to comply\nwith this Order may result in the assessment of civil penalties under 49 C.F.R. § 190.223 or in\nreferral to the Attorney General for appropriate relief in a district court of the United States.\nWARNING ITEM\nWith respect to Item 2, the Notice alleged a probable violation of 49 C.F.R. § 192.707(a), but did\nnot propose a civil penalty or compliance order for this item. Therefore, this is considered to be\na warning item. If OPS finds a violation of this provision in a subsequent inspection,\nRespondent may be subject to future enforcement action.\nThe terms and conditions of this order are effective upon service in accordance with 49 C.F.R.\n§ 190.5.\nFebruary 11, 2020\n___________________________________ _________________________\nAlan K. Mayberry Date Issued\nAssociate Administrator\nfor Pipeline Safety\n\n520190026_NOPV PCP PCO_12262019_text.pdf\n\nNOTICE OF PROBABLE VIOLATION\nPROPOSED CIVIL PENALTY\nand\nPROPOSED COMPLIANCE ORDER\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nDecember 26, 2019\nMr. Greg Lalicker\nChief Executive Officer\nHilcorp Energy Company\n1111 Travis Street\nHouston, Texas 77002\nCPF 5-2019-0026\nDear Mr. Lalicker:\nOn July 29 through August 1, 2019, a representative of the Pipeline and Hazardous Materials Safety\nAdministration (PHMSA), pursuant to Chapter 601 of 49 United States Code (U.S.C.), inspected\nHarvest Alaska, LLC’s (Harvest)1 Kenai-Nikiski Pipeline (KNPL) system near Kenai, Alaska.\nAs a result of the inspection, it is alleged that you have committed probable violations of the Pipeline\nSafety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected and the\nprobable violations are:\n1. § 192.179 Transmission line valves.\n(a) .…\n(c) Each section of a transmission line, other than offshore segments, between main line\nvalves must have a blowdown valve with enough capacity to allow the transmission line\nto be blown down as rapidly as practicable. Each blowdown discharge must be located so\nthe gas can be blown to the atmosphere without hazard and, if the transmission line is\nadjacent to an overhead electric line, so that the gas is directed away from the electrical\n1 Harvest is a wholly-owned subsidiary of Hilcorp Alaska, LLC, which is a wholly-owned subsidiary of Hilcorp\nEnergy Company.\n\n\n\nconductors.\nHarvest failed to equip the KNPL with a blowdown valve between main line valves VD-1 and VF-1 as\nrequired by § 192.179(c). The pipeline was constructed in 1965 and valve VF-1 was installed in 1979.\nSection 192.13(b) requires that no person operate a segment of pipeline that is replaced, relocated, or\notherwise changed after November 12, 1970, unless the replacement, relocation or change has been\nmade according to the requirements in Part 192. As such, a blowdown valve consistent with\n§ 192.179(c) was required when valve VF-1 was installed. Records provided by the operator show\nthat KNPL was, at one time, equipped with a blowdown valve but that sometime around 2012 the\nprior operator removed the blowdown and, as of the August 1, 2019 inspection, Harvest failed to\nreplace the blowdown valve.\n2. § 192.707 Line markers for mains and transmission lines.\n(a) Buried pipelines. Except as provided in paragraph (b) of this section, a line marker\nmust be placed and maintained as close as practical over each buried main and\ntransmission line:\n(1) At each crossing of a public road and railroad; and\n(2) Wherever necessary to identify the location of the transmission line or main to reduce\nthe possibility of damage or interference.\nHarvest failed to place and maintain line markers as close as practicable over the KNPL at\neach crossing of a public road as required by 192.707(a). The KNPL lacked markers in the\nvicinity of Forest Drive and the Kenai Spur Highway. Neither the nearest upstream nor\ndownstream markers were visible from the intersection, where the KNPL crossed under the\nKenai Spur Highway, then turned and crossed Forest Drive.\nProposed Civil Penalty\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$218,647 per violation per day the violation persists, up to a maximum of $2,186,465 for a related\nseries of violations. For violation occurring on or after November 27, 2018 and before July 31, 2019,\nthe maximum penalty may not exceed $213,268 per violation per day, with a maximum penalty not to\nexceed $2,132,679. For violation occurring on or after November 2, 2015 and before November 27,\n2018, the maximum penalty may not exceed $209,002 per violation per day, with a maximum penalty\nnot to exceed $2,090,022. For violations occurring prior to November 2, 2015, the maximum penalty\nmay not exceed $200,000 per violation per day, with a maximum penalty not to exceed $2,000,000 for\na related series of violations. The Compliance Officer has reviewed the circumstances and supporting\ndocumentation involved for the above probable violation and has recommended that you be\npreliminarily assessed a civil penalty of $50,100 as follows:\nItem number PENALTY\n1 $50,100\nWarning Item\nWith respect to item 2 we have reviewed the circumstances and supporting documents involved in this\ncase and have decided not to conduct additional enforcement action or penalty assessment proceedings\n2\n\n\n\nat this time. We advise you to promptly correct this item. Failure to do so may result in additional\nenforcement action.\nProposed Compliance Order\nWith respect to item 1 pursuant to 49 U.S.C. § 60118, the Pipeline and Hazardous Materials Safety\nAdministration proposes to issue a Compliance Order to Harvest Alaska LLC. Please refer to the\nProposed Compliance Order, which is enclosed and made a part of this Notice.\nResponse to this Notice\nEnclosed as part 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. All material\nyou submit in response to this enforcement action may be made publicly available. If you believe that\nany portion of your responsive material qualifies for confidential treatment under 5 U.S.C. 552(b),\nalong with the complete original document you must provide a second copy of the document with the\nportions you believe qualify for confidential treatment redacted and an explanation of why you believe\nthe redacted information qualifies for confidential treatment under 5 U.S.C. 552(b).\nFollowing the receipt of this Notice, you have 30 days to submit written comments, or request a\nhearing under 49 CFR § 190.211. If you do not respond within 30 days of receipt of this Notice, this\nconstitutes a waiver of your right to contest the allegations in this Notice and authorizes the Associate\nAdministrator for Pipeline Safety to find facts as alleged in this Notice without further notice to you\nand to issue a Final Order. If you are responding to this Notice, we propose that you submit your\ncorrespondence to my office within 30 days from receipt of this Notice. This period may be extended\nby written request for good cause.\nIn your correspondence on this matter, please refer to CPF 5-2019-0026 and, for each document you\nsubmit, please provide a copy in electronic format whenever possible.\nSincerely,\nDustin Hubbard\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\nEnclosures: Proposed Compliance Order\nResponse Options for Pipeline Operators in Compliance Proceedings\ncc: PHP-60 Compliance Registry\nPHP-500 J. Gano (#165166)\nRichard Novcaski, Vice President, Harvest Alaska, LLC, 3800 Centerpoint Drive, Suite 1400,\nAnchorage, Alaska 99503\nBen Wasson, Hilcorp Alaska (Via Email)\n3\n\n\n\nPROPOSED COMPLIANCE ORDER\nPursuant to 49 U.S.C. § 60118, the Pipeline and Hazardous Materials Safety Administration (PHMSA)\nproposes to issue to Harvest Alaska, LLC (Harvest) a Compliance Order incorporating the following\nremedial requirements to ensure the compliance of Harvest Alaska, LLC with the pipeline safety\nregulations:\n1. 2. 3. In regard to Item Number 1 of the Notice pertaining to the alleged violation of\n§ 192.179(c), Harvest must install a blowdown valve that can deinventory the Kenai-\nNikiski Pipeline between mainline block valves VD-1 and VF-1 as rapidly as\npracticable and without hazard.\nHarvest must complete paragraph 1 of the Proposed Compliance Order within 90 days\nof receipt of the Final Order. Within 30 days of completing paragraph 1, Harvest\nmust notify the Director of the Western Region, in writing, of the completion. This\nnotification must include records demonstrating that the installation is in accordance\nwith the applicable portions of 49 CFR Part 192. These records must show, at a\nminimum:\n How Harvest determined the blowdown system’s capacity, and how it determined\nthat the capacity is sufficient to blow down the pipeline as rapidly as practicable;\n How Harvest selected the location for the blowdown to ensure the gas will be\nblown to the atmosphere without hazard;\n The records must show that the materials, pipe design, and design of pipeline\ncomponents used in the blowdown system met the applicable requirements of 49\nCFR Part 192 Subparts B, C, and D; that welding and non-destructive\nexamination was completed consistent with Subpart E; and that pressure testing of\nthe blowdown system was completed consistent with Subpart J.\nWithin 30 days of completing paragraph 1, Harvest must amend its operations and\nmaintenance procedures and emergency response plan, as relevant, to include the new\nblowdown.\nIt is requested (not mandated) that Harvest Alaska, LLC maintain documentation of the safety\nimprovement costs associated with fulfilling this Compliance Order and submit the total to Dustin\nHubbard, Director, Western Region, Pipeline and Hazardous Materials Safety Administration. It is\nrequested that these costs be reported in two categories: 1) total cost associated with\npreparation/revision of plans, procedures, studies and analyses, and 2) total cost associated with\nreplacements, additions and other changes to pipeline infrastructure.\n4\n\n520190026_Closure Letter_08042021_(19-165166S)_text.pdf\n\nVIA E-MAIL TO MR. SEAN KOLASSA\nAugust 4, 2021\nMr. Sean Kolassa\nPresident\nHarvest Midstream Company\n1111 Travis Street\nHouston, Texas 77002\nCPF 5-2019-0026\nClosure Letter\nDear Mr. Kolassa:\nOn February 11, 2020, the Pipeline and Hazardous Materials Safety Administration (PHMSA)\nissued to Harvest Midstream Company a Final Order in the above-referenced case. This Order\nincluded a Compliance Order and Civil Penalty assessment. Based on our review of the\ndocumentation you provided and confirmation of payment of the civil penalty, it has been\ndetermined that you have complied with 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\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 J. Gano (#165166)\nMr. Andrew Limmer, Vice President, Harvest Alaska, LLC (via email)\nMr. Harold Colgrove, Integrity and Regulatory Compliance Manager, Harvest Alaska\nLLC, (via email)","truncated":false,"body_characters":16085}