{"operation":"document","citation":"CPF 52024020WL","title":"PLAINS PIPELINE, L.P. — Warning Letter","source_type":"enforcement","agency":"Pipeline and Hazardous Materials Safety Administration","status":"historical","official":true,"published_on":"2024-03-13","effective_on":null,"summary":"CLOSED warning letter citing 195.420(b), 195.573(a)(1), 195.573(c), 195.583(a).","machine_formats":{"json":"https://regulus.evalyn.ai/document/phmsa-enforcement-52024020wl.json","markdown":"https://regulus.evalyn.ai/document/phmsa-enforcement-52024020wl.md"},"app_url":"https://regulus.evalyn.ai/document/phmsa-enforcement-52024020wl","source_url":"https://primis.phmsa.dot.gov/enforcement-data/case/52024020WL","body":"Warning Letter involving PLAINS PIPELINE, L.P.. PHMSA's enforcement data identifies the cited regulations as 195.420(b),  195.573(a)(1),  195.573(c),  195.583(a). The case was opened on 2024-03-13 and is reported as closed as of 2024-03-13. Open the official case record for notices, responses, orders, and the latest status.\n\nOfficial case documents:\n\n52024020WL_Warning Letter_03132024_(23-264902).pdf: https://primis.phmsa.dot.gov/enforcement-documents/52024020WL/52024020WL_Warning%20Letter_03132024_(23-264902).pdf\n\n52024020WL_Warning Letter_03132024_(23-264902)_text.pdf: https://primis.phmsa.dot.gov/enforcement-documents/52024020WL/52024020WL_Warning%20Letter_03132024_(23-264902)_text.pdf\n\n52024020WL_Warning Letter_03132024_(23-264902)_text.pdf\n\nWARNING LETTER\nVIA ELECTRONIC MAIL TO: patrick.hodgins@plains.com; ngiabi.gicuhi@plains.com\nMarch 13, 2024\nMr. Patrick D. Hodgins\nVice President, Health, Safety & Environmental\nPlains Pipeline, L.P.\n333 Clay Street, Suite 1900\nHouston, TX 77002\nCPF 5-2024-020-WL\nDear Mr. Hodgins:\nFrom April 17, 2023, through November 2, 2023, representatives of the Pipeline and Hazardous\nMaterials Safety Administration (PHMSA), pursuant to Chapter 601 of 49 United States Code\n(U.S.C.), conducted a series of onsite inspections of the Plains Crude Pipeline located in Kansas,\nOklahoma, Texas, and Louisiana.\nAs a result of the inspection, it is alleged that you have committed probable violations of the\nPipeline Safety Regulations, Title 49, Code of Federal Regulations (CFR). The items inspected\nand the probable violations are:\n1. § 195.420 Valve maintenance.\n(a) . . . .\n(b) Each operator must, at least twice each calendar year, but at intervals not\nexceeding 7 ½ months, inspect each mainline valve to determine that it is\nfunctioning properly. Each rupture-mitigation valve (RMV), as defined in § 195.2\nand not contained in a gathering line, or alternative equivalent technology that is\n\n\n\ninstalled under § 195.258(c) or § 195.418, must also be partially operated. Operators\nare not required to close the valve fully during the inspection; a minimum 25\npercent valve closure is sufficient to demonstrate compliance, unless the operator\nhas operational information that requires an additional closure percentage for\nmaintaining reliability.\nPlains failed to inspect each valve to determine if each valve is functioning properly at least\ntwice each calendar year, but at intervals not exceeding 7 ½ months as required by § 195.420(b).\nSpecifically, Plains was unable to provide inspection records for the following pipelines and\nsegments that Plains considered “retired”: ARKLATEX, CK Red River, Orion to Blaine, and\nBlaine to HWY 33 pipelines from 2021-2023. Plains also was unable to provide records for\nvalve inspections on a pipeline segment that Plains considered “idled” (Watonga to Calumet)\nafter 2021.\nDuring the records inspection, Plains staff indicated they stopped performing valve inspections\non “retired” or \"idled\" pipelines and segments per their procedures. See, Pipeline and Tank\nStatus Classifications and Abandonment, P-195.402(c)(10). While these pipelines and segments\nwere purged and classified by Plains to be either “retired” or “idled” in 2017, PHMSA only\nrecognizes pipelines to be either active or abandoned. According to Advisory Bulletin (ADB)-\n2016-05, operators planning to defer certain activities for purged pipelines should coordinate the\ndeferral in advance with PHMSA.\nSpecifically, the deferral of valve inspections on the “retired” and “idled” pipelines and segments\nshould have been coordinated with PHMSA prior to deferral of valve inspections. On July 10th,\n2023, Plains notified PHMSA of the deferral of certain maintenance activities on its purged\npipelines, including activities cited in 49 CFR Part 195 Subpart F – Operation and Maintenance.\nHowever, this was after Plains had already deferred valve inspections for these pipeline segments\nfor several years, in violation of § 195.420(b).\n2. § 195.573 What must I do to monitor external corrosion control?\n(a) Protected pipelines. You must do the following to determine whether cathodic\nprotection required by this subpart complies with § 195.571:\n(1) Conduct tests on the protected pipeline at least once each calendar year, but with\nintervals not exceeding 15 months. However, if tests at those intervals are\nimpractical for separately protected short sections of bare or ineffectively coated\npipelines, testing may be done at least once every 3 calendar years, but with\nintervals not exceeding 39 months.\nPlains failed to conduct cathodic protection (CP) tests on the CK Red River pipeline and\nARKLATEX pipeline at least once each calendar year, but with intervals not exceeding 15\nmonths as required by § 195.573(a)(1). Specifically, CP records show that the Quitman to\nHawkins and the Yantis to Quitman segments were not inspected in 2021. For the Longwood to\nCaddo pipeline segment, the CP records show that multiple test stations were not inspected in\neither 2021 or 2022.\n\n\n\nDuring the records inspection, Plains staff indicated they stopped performing CP surveys on\n\"retired\" pipelines per their procedures. See, Pipeline and Tank Status Classifications and\nAbandonment, P-195.402(c)(10). While these pipelines were purged and classified by Plains to\nbe \"retired\" in 2017, PHMSA only recognizes pipelines to be either active or abandoned.\nAccording to Advisory Bulletin (ADB)-2016-05, operators planning to defer certain activities for\npurged pipelines should coordinate the deferral in advance with PHMSA.\nSpecifically, the deferral of the CP surveys on the \"retired\" CK Red River pipeline and\nARKLATEX pipeline should have been coordinated with PHMSA prior to deferral of CP\nsurveys. On July 10th, 2023, Plains notified PHMSA of the deferral of certain maintenance\nactivities on its purged pipelines, including activities cited in 49 CFR Part 195 Subpart H -\nCorrosion Control. However, this was after Plains had already deferred CP inspections for these\npipelines for several years, in violation of § 195.573(a)(1).\n3.\n§ 195.573 What must I do to monitor external corrosion control?\n(a)....\n(c) Rectifiers and other devices. You must electrically check for proper performance\neach device in the first column at the frequency stated in the second column.\nDevice\nCheck frequency\nAt least six times each calendar year,\nRectifier\nbut with intervals not exceeding 2 ½\nmonths.\nReverse current switch\nDiode\nInterference bond whose\nfailure would jeopardize\nstructural protection\nOther interference bond\nAt least once each calendar year, but\nwith intervals not exceeding 15\nmonths.\nPlains failed to conduct adequate electrical checks of rectifiers on the CK Red River pipeline and\nARKLATEX pipeline at least six times each calendar year, but with intervals not exceeding 2 ½\nmonths as required by § 195.573(c). Specifically, rectifier inspection records show that Quitman\nto Hawkins and Yantis to Quitman segments were last inspected on April 29, 2022. The rectifier\nrecords for the Bumpus to Hope and Longwood to Caddo segments show that the inspection was\nlast performed on September 22, 2022.\nDuring the records inspection, Plains staff indicated they stopped performing rectifier inspections\non \"retired\" pipelines per their procedures. See, Pipeline and Tank Status Classifications and\nAbandonment, P-195.402(c)(10). While these pipelines were purged and classified by Plains to\n\n\n\nbe \"retired\" in 2017, PHMSA only recognizes pipelines to be either active or abandoned\nAccording to Advisory Bulletin (ADB)-2016-05, operators planning to defer certain activities for\npurged pipelines should coordinate the deferral in advance with PHMSA.\nSpecifically, the deferral of electrical checks of rectifiers on the \"retired\" CK Red River pipeline\nand ARKLATEX pipeline should have been coordinated with PHMSA prior to deferral of\nelectrical checks of rectifiers. On July 10th, 2023, Plains notified PHMSA in accordance with\nAdvisory Bulletin (ADB)-2016-05, the deferral of certain maintenance activities on its purged\npipelines, including activities cited in 49 CFR Part 195 Subpart H - Corrosion Control. However,\nthis was after Plains had already deferred electrical checks of rectifiers for these pipelines for\nseveral years, in violation of § 195.573(c).\n4.\n§ 195.583 What must I do to monitor atmospheric corrosion control?\n(a) You must inspect each pipeline or portion of pipeline that is exposed to the\natmosphere for evidence of atmospheric corrosion, as follows:\nIf the pipeline is\nlocated:\nThen the frequency of inspection is:\nOnshore\nAt least once every 3 calendar years, but with intervals not\nexceeding 39 months.\nOffshore\nAt least once each calendar year, but with intervals not exceeding\n15 months.\nPlains failed to inspect each pipeline or portion of the pipeline exposed to the atmosphere for\nevidence of atmospheric corrosion on the CK Red River pipeline and ARKLATEX pipeline at\nleast once every 3 calendar years, but with intervals not exceeding 39 months as required by §\n195.583(a). Specifically, Plains did not provide any atmospheric corrosion records for the CK\nRed River pipeline and ARKLATEX pipeline.\nDuring the records inspection, Plains staff indicated they stopped monitoring for atmospheric\ninspections on \"retired\" pipelines per their procedures. See, Pipeline and Tank Status\nClassifications and Abandonment, P-195.402(c)(10). While these pipelines were purged and\nclassified by Plains to be either \"retired\" in 2017, PHMSA only recognizes pipelines to be either\nactive or abandoned. According to Advisory Bulletin (ADB)-2016-05, operators planning to\ndefer certain activities for purged pipelines should coordinate the deferral in advance with\nPHMSA.\nSpecifically, the deferral of atmospheric corrosion inspections on the \"retired\" CK Red River\npipeline and ARKLATEX pipeline should have been coordinated with PHMSA prior to deferral\nof atmospheric corrosion inspections. On July 10th, 2023, Plains notified PHMSA in accordance\nwith Advisory Bulletin (ADB)-2016-05, the deferral of certain maintenance activities on its\npurged pipelines, including activities cited in 49 CFR Part 195 Subpart H - Corrosion Control.\n\n\n\nHowever, this was after Plains had already deferred atmospheric corrosion inspections for these\npipelines for several years, in violation of § 195.583(a).\nUnder 49 U.S.C. § 60122 and 49 CFR § 190.223, you are subject to a civil penalty not to exceed\n$266,015 per violation per day the violation persists, up to a maximum of $2,660,135 for a\nrelated series of violations. For violation occurring on or after January 6, 2023, and before\nDecember 28, 2023, the maximum penalty may not exceed $257,664 per violation per day the\nviolation persists, up to a maximum of $2,576,627 for a related series of violations. For violation\noccurring on or after March 21, 2022, and before January 6, 2023, the maximum penalty may not\nexceed $239,142 per violation per day the violation persists, up to a maximum of $2,391,142 for\na related series of violations. For violation occurring on or after May 3, 2021, and before March\n21, 2022, the maximum penalty may not exceed $225,134 per violation per day the violation\npersists, up to a maximum of $2,251,334 for a related series of violations. For violation\noccurring on or after January 11, 2021, and before May 3, 2021, the maximum penalty may not\nexceed $222,504 per violation per day the violation persists, up to a maximum of $2,225,034 for\na related series of violations. For violation occurring on or after July 31, 2019, and before\nJanuary 11, 2021, the maximum penalty may not exceed $218,647 per violation per day the\nviolation persists, up to a maximum of $2,186,465 for a related series of violations. For violation\noccurring on or after November 27, 2018, and before July 31, 2019, the maximum penalty may\nnot exceed $213,268 per violation per day, with a maximum penalty not to exceed $2,132,679.\nWe have reviewed the circumstances and supporting documents involved in this case and have\ndecided not to conduct additional enforcement action or penalty assessment proceedings at this\ntime. We advise you to correct the items identified in this letter. Failure to do so will result in\nPlains being subject to additional enforcement action.\nNo reply to this letter is required. If you choose to reply in your correspondence, please refer to\nCPF 5-2024-020-WL. Be advised that all material you submit in response to this enforcement\naction is subject to being made publicly available. If you believe that any portion of your\nresponsive material qualifies for confidential treatment under 5 U.S.C. § 552(b), along with the\ncomplete original document, you must provide a second copy of the document with the portions\nyou 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).\nSincerely,\nDustin Hubbard\nDirector, Western Region, Office of Pipeline Safety\nPipeline and Hazardous Materials Safety Administration\ncc: PHP-60 Compliance Registry\nPHP-500 L. Green, J. Luo (#23-264902)\nJessica Jackson – HSE Regional Manager (Jessica.Jackson@plains.com)","truncated":false,"body_characters":13206}