{"operation":"document","citation":"CPF 520195009M","title":"CENEX PIPELINE LLC — Notice of Amendment","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2019-10-22","effective_on":null,"summary":"CLOSED notice of amendment citing 195.402(c)(10), 195.402(c)(3), 195.452(l)(1)(ii).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-520195009m.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-520195009m.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-520195009m","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/520195009M","body":"Notice of Amendment involving CENEX PIPELINE LLC. PHMSA's enforcement data identifies the cited regulations as 195.402(c)(10),  195.402(c)(3),  195.452(l)(1)(ii). The case was opened on 2019-10-22 and is reported as closed as of 2020-10-28. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n520195009M_Closure Letter_10282020.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520195009M/520195009M_Closure%20Letter_10282020.pdf\n\n520195009M_Closure Letter_10282020_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520195009M/520195009M_Closure%20Letter_10282020_text.pdf\n\n520195009M_Notice of Amendment_10222019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520195009M/520195009M_Notice%20of%20Amendment_10222019.pdf\n\n520195009M_Notice of Amendment_10222019_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520195009M/520195009M_Notice%20of%20Amendment_10222019_text.pdf\n\n520195009M_Operator Response to Notice_11212019.pdf: https://primis.phmsa.dot.gov/enforcement-documents/520195009M/520195009M_Operator%20Response%20to%20Notice_11212019.pdf\n\n520195009M_Closure Letter_10282020_text.pdf\n\nVIA E-MAIL TO MR. GREG BROWN\nOctober 28, 2020\nMr. Greg Brown\nVP – Pipelines and Terminals\nCenex Pipeline, LLC\n803 Highway 212 South\nLaurel, MT 59044\nCPF 5-2019-5009M\nClosure Letter\nDear Mr. Brown:\nBetween January 2018 and October 2018, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code,\ninspected the Cenex Products Pipeline between Laurel, Montana and Fargo, North Dakota. As a\nresult of the inspection, Cenex Pipeline LLC (Cenex) was issued a Notice of Amendment (NOA)\non October 22, 2019, which proposed amendment of your procedures.\nI received your amended procedures dated November 21, 2019. My staff reviewed the amended\nprocedures and it appeared that the inadequacies outlined in the Notice of Amendment had been\ncorrected. The revised procedures for Item 3 of the NOA (Recordkeeping Procedures for\nPreventive and Mitigative Measures), however, were contingent upon Cenex completing its\nrevised Integrity Management Plan (IMP). Therefore, PHMSA informed Cenex that it must\nsubmit its revised, effective IMP prior to closing the NOA.\nI received your subsequent letter dated October 21, 2020 and now understand that the new IMP\n(revised August 13, 2020) has been implemented. In addition, my staff reviewed the written\nprocedures attached to the response, including IMP Section 5.3 and Section 9 of Appendix H,\nand it appears that Item 3 has been adequately resolved. As a result of this work, all items in the\nNOA have been completed and this case is now closed.\nThank you for your efforts to complete these items to ensure the long-term integrity of the Cenex\n\n\n\nProducts Pipeline.\nSincerely,\nDustin Hubbard\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 M. Petronis\nMichelle Slyder, Manager, DOT Compliance, Pipelines and Terminals, Cenex\n(via Michelle.slyder@chsinc.com)\n\n520195009M_Notice of Amendment_10222019_text.pdf\n\nNOTICE OF AMENDMENT\nCERTIFIED MAIL - RETURN RECEIPT REQUESTED\nOctober 22, 2019\nMr. Greg Brown\nPresident and COO\nCenex Pipeline, LLC\n803 Highway 212 South\nLaurel, MT 59044\nCPF 5-2019-5009M\nDear Mr. Brown:\nBetween January 2018 and October 2018, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA,) pursuant to Chapter 601 of 49 United States\nCode, inspected the Cenex Products Pipeline (Cenex) between Laurel, Montana and Fargo,\nNorth Dakota. As a result of the inspection, PHMSA has identified the apparent inadequacies\nfound within Cenex’s procedures, as described below:\n1. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) . . .\n(c) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(1) . . .\n(10) Abandoning pipeline facilities, including safe disconnection from an\noperating pipeline system, purging of combustibles, and sealing abandoned\nfacilities left in place to minimize safety and environmental hazards. For each\nabandoned offshore pipeline facility or each abandoned onshore pipeline facility\nthat crosses over, under or through commercially navigable waterways the last\n\n\n\noperator of that facility must file a report upon abandonment of that facility in\naccordance with § 195.59 of this part.\nDuring the inspection, it was determined that Cenex did not have adequate procedures for,\nand records of, the abandonment of pipeline segments. As a result, Cenex must modify their\nPipeline Operation and Maintenance Manual (O&M Manual) to clearly describe the steps\nnecessary for the proper abandonment of pipeline segments, including safe disconnection\nfrom an operating pipeline system, purging of combustibles, and sealing abandoned facilities\nleft in place to minimize safety and environmental hazards. In addition, requirements for\ndocumenting the abandonment of pipeline segments must be clearly described in the O&M\nManual.1\n2. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) . . .\n(c) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(1) . . .\n(3) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nDuring the inspection, it was determined that Cenex did not have adequate procedures for\noperating, maintaining, and repairing the pipeline system in accordance with Subpart H of\nPart 195. Specifically, Cenex did not have procedures describing the criteria used to\ndetermine the adequacy of cathodic protection on its pipelines in accordance with § 195.571.\nAs a result, Cenex must modify its O&M Manual to include procedures for determining the\nadequacy of cathodic protection pursuant to § 195.571, including the establishment of the\nfrequency of close interval surveys. In addition, requirements for documenting the established\nfrequency of close interval surveys must be clearly described in the O&M Manual.2\n3. § 195.452 Pipeline integrity management in high consequence areas.\n(a) . . .\n(l) What records must an operator keep to demonstrate compliance?\n(1) An operator must maintain, for the useful life of the pipeline, records that\ndemonstrate compliance with the requirements of this subpart. At a minimum,\nan operator must maintain the following records for review during an inspection:\n(i) . . .\n(ii) Documents to support the decisions and analyses, including any\nmodifications, justifications, deviations and determinations made, variances, and\n1 See 49 C.F.R. § 195.402(c)(1) (requiring operators to make construction records, maps, and operating history\navailable as necessary for safe operation and maintenance).\n2 See 49 C.F.R. § 195.589(c) (requiring operators to maintain records in sufficient detail to demonstrate the\nadequacy of corrosion control measures).\n\n\n\nactions taken, to implement and evaluate each element of the integrity\nmanagement program listed in paragraph (f) of this section.\nDuring the inspection, it was determined that Cenex did not have adequate procedures for\nmaintaining records to implement and evaluate each element of its integrity management plan\n(IMP). Specifically, the IMP did not include information on record-keeping procedures for the\nimplementation of preventative and mitigative measures.\n4. § 195.402 Procedural manual for operations, maintenance, and emergencies.\n(a) . . .\n(c) Maintenance and normal operations. The manual required by paragraph (a) of\nthis section must include procedures for the following to provide safety during\nmaintenance and normal operations:\n(1) . . .\n(3) Operating, maintaining, and repairing the pipeline system in accordance with\neach of the requirements of this subpart and subpart H of this part.\nDuring the inspection, it was determined that Cenex’s Atmospheric Corrosion Inspection\nForm used to document conditions of spans does not include the span over the canal just east\nof Sidney, MT.\nResponse to this Notice\nThis Notice is provided pursuant to 49 U.S.C. § 60108(a) and 49 C.F.R. § 190.206. Enclosed\nas 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. 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\nfor confidential treatment under 5 U.S.C. 552(b), along with the complete original document\nyou must 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\ninformation 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, revised\nprocedures, or a request for a hearing under §190.211. If you do not respond within 30 days\nof receipt of this Notice, this constitutes a waiver of your right to contest the allegations in\nthis Notice and authorizes the Associate Administrator for Pipeline Safety to find facts as\nalleged in this Notice without further notice to you and to issue an Order Directing\nAmendment. If your plans or procedures are found inadequate as alleged in this Notice, you\nmay be ordered to amend your plans or procedures to correct the inadequacies (49 C.F.R. §\n190.206). If you are not contesting this Notice, we propose that you submit your amended\nprocedures to my office within 60 days of receipt of this Notice. This period may be extended\nby written request for good cause. Once the inadequacies identified herein have been\naddressed in your amended procedures, this enforcement action will be closed.\n\n\n\nIt is requested (not mandated) that Cenex Pipeline maintain documentation of the safety\nimprovement costs associated with fulfilling this Notice of Amendment (preparation/revision\nof plans, procedures) and submit the total to Dustin Hubbard, Director, Western Region,\nPipeline and Hazardous Materials Safety Administration. In correspondence concerning this\nmatter, please refer to CPF 5-2019-5009M and, for each document you submit, please\nprovide a copy in electronic format whenever possible.\nSincerely,\nDustin Hubbard\nDirector, Western Region\nPipeline and Hazardous Materials Safety Administration\nEnclosure: Response Options for Pipeline Operators in Compliance Proceedings\ncc: PHP-60 Compliance Registry\nPHP-500 M. Petronis (#159085)","truncated":false,"body_characters":10888}