a) .1 RAILROAD COMMISSION OF TEXAS GAS SERVICES DIVISION GAS UTILITIES DOCKET DOCKET 13-10304 PERMIT ACTIVE: YES PROTESTED: NO APPLICANT AND NAME: 6776 ATMOS ENERGY CORP., MID-TEX DIVISION REPRESENTATIVE NAME: Mr. Ryan D. Ginty PHONE: (972) 934-9227 Three Lincoln Centre, Ste. 1800 CITY CODE 5430 LBJ Freeway Dallas, TX. 75240 0000 EXAMINER: c0 EXAMINER: SUFFIX CODES: (1) JE (2) (3) SUMMARIZE: NO RELATED CASES APPLICATION STATUS: NOTICE NUMBER HEARING HOURS MOTION FOR REHEARING: MULTIPLE ORDERS APPLICATION FILED: 09/09/13 HEARING: NOTICE OF HEARING ISSUED: HEARING CANCELLED: AMENDED NOH ISSUED: BRIEFS DUE: PRE-HEARING CONFERENCE: BRIEFS RECEIVED: TRANSCRIPT RECEIVED: PROPOSAL FOR DECISION DUE: PETITION TO INTERVENE DUE: PROPOSAL ISSUED: EXCEPTIONS DUE: CONFERENCE: EXCEPTIONS RECEIVED: ADMIN CLOSED: REPLIES DUE: CONFERENCE (INTERIM ORDER): REPLIES RECEIVED: CONFERENCE (MHR): ORAL ARGUMENT: SOI 35TH DAY: SUSPENSION ORDER: SOI SUSPENDED: INTERIM ORDER SOI 150TH INTERIM ORDER SIGNED-2: SOI PARTICIPATE REC: FINAL ORDER ISSUED: 185TH MFRH RESP. TEST. EXH. DUE: MFRH RECEIVED-2: RESP. TEST. EXH. REC: REPLIES TO MFRH DUE: INT. TEST. EXH. DUE: REHEARING GRANTED: INT. TEST. EXH. REC: ORDER AFTER MFRH: APPL. TEST EXH. DUE: APPEAL: APPL. TEST. EXH. REC: SUBJECT TEXT Inquiry into the Failure of Atmos Energy Corp., Mid?Tex Division to Comply with Safety Standards. (Filed by: Own Motion) REMARKS: AGRB ED RULE THAN CONFERENCE DATE: i V3.0 3 OPERATOR NAME: HT mo Energy Cg, mm! 4&1 OPERATOR NUMBER: (1 B-angaz/wu: 13!) 677 (a DOCKET NUMBER: M, '5 LEASE 3: WELL NO.: esufHe - d! 75 Cs Mari-em In 43:23237) FIELD COUNTY: Games WUC COO K1 Com}? DATE VIOLATIONS BEGAN: I 2 Q- I 3 RULE (S) VIOLATED VIOLATIONS: Rum?) :74; Moe/a. magma/:1 d9; max/9463?. COMPLIANCE DATE: lq MANNER OF COMPLIANCE: Um Claw? Louv- Ca. DOCUMENTATION OF COMPLIANCE: 6? ,0 (lg/I 6' .312 PENALTY PAID: 3 0. REMARKS: STAFF ATTORNEY: LEGAL ASSISTANT: CHRISTI CRADDICK, CHAIRMAN DAVID PORTER, COMMISSIONER RYAN SITTON, COMMISSIONER RAILROAD COMMISSION OF TEXAS OFFICE OF GENERAL COUNSEL LINUIL C. FOWLER, JR., GENERAL COUNSEL DAVID W. COONEY, JR., DIRECTOR ENFORCEMENT SECTION March 10, 2015 Jeffrey S. Knights Atmos Energy Corp., Mid-Tex Division Three Lincoln Centre, Suite 1800 5430 LBJ Freeway Dallas, Texas 75240 Re: Gas Utilities Docket No. 10304 Dear Mr. Knight: Enclosed please ?nd a copy Ofthe Consent Order approved by the Commissioners on this day. This matter is now closed. Sincerely, at? Eecky Tate Legal Assistant 10: Elaine M. Moore, Staff Attorney Of?ce of General Counsel - Enforcement (512) 463-4889 cc: Kari French, Oversight and Safety Division, Pipeline Safety Department (GUD) Terrie Hammett, Enforcement (without attachment) File 1701 NORTH CONGRESS AVENUE POST OFFICE Box 12967 AUSTIN, Texas 78711-2967 PHONE: 512/463-6762 Fax: 512/463-6684 TDD 800-735?2989 OR TDY 5l2-463-7284 AN EQUAL EMPUDYER v3 .4. Respondent is company?ias .. "f WEN . DOCKET No. 10304 1 AGAINSEATMOS (Comm manager'on SAFE-TY- nnchAnijs. AT . swan; a; HP 75:: DISTRIBUTION SYSTEM 610237), GAINESYILLE, COOK COUNTY, TEXAS - CONSENT ORDER The Enforcement .Section of the Commission, through its ?attorney, announce that. the - Enforcement Section-and Mid-Tex have agreedt'o an informal disposition of the matters tinder this docket through this Consent Order subject to the approval ?fth-Commission. The Commission has authority to informally dispose-of, this case through a consent order pursuant to TEX. CODE ANN. TIN SETTLEMENT THIS DOCKET, the Enforcement Section of the Commission and: Respondent do hereby agree and stiptilateas follows: .1. ReSpondent is a ?gas-utility? asathat?term is de?ned in ?ec?on 121,0Q1?ofthe Texas Utilities- Code. 2. 1 Respondent is as that tennis de?ned? in Title 16, Section 8.5(20) of the Texas. Adnunl' 'strative 3. Respondent is a ?person? as that term is de?ned in Title 16, SectiOn ?8.5(2 of the Texas Administrative Code. . Texas Adrninistrii?ve Code. in Gas Utilitiesa'Docket No. 10304 regarding Safety Evaluation No. 20-13-0194, is hereby settled and compromised under the terms. of this, Order. -- :that term is-de?ned in Title 156, 8.501) of the The Enforcement Section and Respondent hereby agr?? that the alleged Violation set forth Neither this Order, nor any written or oral Eo??er of settlement related thereto, nor any statement-contained therein shall constitute evidence or an admission .or adjudication of:- (A) anyfact ?or conclusiongbf;lawallegedgin orrelating to Gas Utilities Docket'150304or. Saf?'ty EvaluationrNo. 201390194; i (B) any violation of any statute, rule or reggilatioir 'or other mngdoing- or misconduct on the part of Respondentor any. director, of?cer, agent, employee, contractor of af?liate thereof. The Commission and Respondent wish to further the goalof safe operations .of gaspipeline facilities within the State of Texas. - Consent Order, GUD No. 10304, Page 2 10. 11. 12. 13. Respondent has elected not to avail itself of the opportunity for public hearing. The Commission has jurisdiction to assess an administrative penalty against Respondent pursuant to Sections 121.206 and 121.207 of the Texas Utilities Code. The violation alleged in Gas Utilities Docket No. 10304 is in compliance with the requirements of 49 CFR An administrative penalty in the amount of FIVE THOUSAND shall be recovered by the Commission for the violation asserted against Respondent. Respondent has placed into the possession of the Commission funds in the amount of FIVE THOUSAND DOLLARS as payment of administrative penalties assessed in Gas Utilities Docket No. 10304 pursuant to TEX. UTIL. CODE ANN. 121.206 and 121.207. The person signing hereunder for Respondent has authority to represent Respondent in this matter. Jurisdiction of this docket having been established and an agreement of the parties having been reached, it is, therefore, ORDERED by the Railroad Commission of Texas that Atmos Energy Corp., Mid-Tex Division is assessed an administrative penalty in the amount of FIVE THOUSAND DOLLARS and that Gas Utilities Docket No. 10304 is informally disposed of and closed by this Consent Order. RAILROAD COMMISSION OF TEXAS (Order approved and signa Master in ?Fan Agreed Order dated DA ST Atrnvo?l "Energy Division By: Jeffrey S. Knights Vice President, Technical Service COMMISSION OF TELJS OFFICE OF GENERAL COUNSEL MASTER AGREED ORDER MARCH 10, 2015 At a conference held at its of?ces in Austin, Texas, the Commission ?nds that after statutory notice, the following enforcement StipulatiOn, Agreed Settlement and Consent Orders were considered. The Orders prepared for the following dockets are incorporated by reference into this Order, and by approval of this Master Agreed Order, the Commission approves the referenced Stipulation, Agreed Settlement and Consent Orders and adOpts the stipulations and agreements contained therein. DOCKET O. OPERATOR ORDER TERMS 01-0249365 Don R. Jones dba Express Oil Co. $2,000.00 Penalty paid (Operator No. 25 7068) Wells plugged 01-0290528 Tino Oil?eld Services, LLC $3,000.00 Penalty paid (Operator No. 860781) Compliant 03-0295429 Alegre Energy, Inc. Order to Supercede Stipulation, (Operator No. 01 141 l) and Agreed Settlement and Consent Aspect Energy, LLC . Order entered in Oil and Gas (Operator No. 035453) Docket ?No. 03?0252469 78-0281 102 Sequoia Natural Gas, Inc. $9,810.00 Penalty paid (Operator No. 767543) Posted signs, remediated site and repaired wells 08-0282140 Purvis Operating Co. $85,000.00 Penalty paid (Operator No. 683200) Lease and well remediated 8A-0295113 Chevron U.S.A., Inc. $3,750.00 Penalty paid (Operator No. 1481 13) Reclass papers ?led and conducted 09-0282390 Dorland, Bernard Franklin, Sole Proprietor, $1,500.00 Penalty paid SMD Oil Company (Operator No. 78963 8) Ceased producing 09-0293348 REO Operating, LLC $3,025.00 Penalty paid (Operator No. 701876) All areas remediated 09-0283507 B.E.G. Production Agreed Final Order $19,758.00 (Operator No. 040396) penalty, less $9,759.55 already paid; operator must place lease in compliance 1'0-0293510 Graves Operating LLC $1,250.00 Penalty paid (Operator No. 325799) Removed surface equipment 1? Master Agreed Orders for Conference 10-0294703 2404 2463 2569 .GUD 10229 GUD 103 04 GUD 10305 012696 016557 020912 025336 023039 029273 030355 031465 032013 032056 032030 032979 032993 033033 033316 033703 033944 033990 034142 034223 W0 Operating Company (Operator No. 935428) I-Iino Gas Sales, Inc. (License No. 02198) Mechanical Panners, Inc. (License No. John J. Fietsam, Inc. (License No. 05031) City of Rockport (Company ID No. 7552) Atmos Energy Corp., Mid-Tex Division (Company ID No. 6776) Atmos Energy Corp., Mid-Tex Division (Company ID No. 6776) - Mar-Con Services, LLC SER Construction Partners Ltd. Harris County Mud 50 SER Construction SER Construction Partners, LLC Hood Communications SER Construction Utility Construction Company, Inc. City of Houston Metro Pole Setting Allied Foundation Specialist, Inc. Winds Custom Homes City of Hondo TEC Excavation SER Construction Partners, LLC Nora Faulkner Electric STI, LLC Diaz Utilities ND Construction American Bor-Trench Inc. Page 2 $500.00 Penalty paid Corrected ?lings $300.00 Penalty paid In compliance $500.00 Penalty paid Compliant $250.00 Penalty paid In compliance $5,000.00 Penalty paid In compliance $5,000.00 Penalty paid In compliance $25,000.00 Penalty paid In compliance $1,500.00 Penalty paid $500.00 Penalty paid $750.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $500.00 Penalty paid $2,250.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,750.00 Penalty paid $3,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $3,250.00 Penalty paid $1,500.00 Penalty paid $1,000.00 Penalty paid $2,000.00 Penalty paid $4,000.00 Penalty paid ,4 Master Agreed Orders for 22015 Conference 034224 034273 034364 034739 034753 034303 034334 034335 034351 035031 035031 035119 035213 035244 035343 035377 035429 035509 035519 035537 035533 035624 035645 035655 035703 035720 035769 035774 035350 035367 035331 035902 035943 036010 036049 036050 036031 036036 036149 036227 036291 036361 036442 City of Houston? Water Dept. Willbros SER Construction Hutton Plumbing SER Construction Partners, Ltd. Win?eld Operating Company Wolseley Industrial Jay Mills Contracting City of Balch Springs City of Houston Watson Construction Company Dean Word Company Quality Excavation Cooper Excavation Inc. Rade Utility Construction NWP Enterprises LLC Can Fer Construction Co. Metro Pole Setting Total Contracting Limited Vertex Corporation All Doors Const Pros LLC Church Services Triple Services Encore Pipe Construction IF Electric, Inc. Texas Fence C0. City of Houston Dallas Water Utilities City of Santa Rosa City of Amarillo SER Construction Lowe Electric Bullseye Utility Construction JD King City of Houston- Water Dept. City of Houston- Water Dept. Xit Paving And Construction Holloman Corporation Oscar Renda Contracting City of Jourdanton LS Enterprises Electrical Services City of Houston Clean Scapes Landscaping Page 3 $1,000.00 Penalty paid $1,500.00 Penalty paid $1,500.00 Penalty paid $1,000.00 Penalty paid $2,750.00 Penalty paid $2,250.00 Penalty paid $2,500.00 Penalty paid $2,750.00 Penalty paid $1,500.00 Penalty paid $2,750.00 Penalty paid $2,750.00 Penalty paid $1,000.00 Penalty paid $1,000.00. Penalty paid $3,250.00 Penalty paid $1,000.00 Penalty paid $500.00 Penalty paid $500.00 Penalty paid $1,750.00 Penalty paid $2,250.00 Penalty paid $2,000.00 Penalty paid $2,750.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $2,000.00 Penalty paid $2,000.00 Penalty paid $2,000.00 Penalty paid $500.00 Penalty paid $2,250.00 Penalty paid $3,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $2,500.00 Penalty paid $1,250.00 Penalty paid $2,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $2,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid Master Agreed Orders for ?11015 Conference 036483 036531 036542 036568 036597 036603 036615 036636 036647 036659 036670 036672 036687 036689 036698 036699 036713 036714 036715 036725 036730 036733 036739 036750 036767 036782 036791 036802 036803 036806 036813 036817 036818 036821 036823 036824 036827 036829 036831 036833 036837 036839 036840 036841 City of Corsicana CPS Energy Portland Utilities Construction, Co. LLC Atmos Energy Corp., Mid-Tex Div. Garcom Bella Vista Homes Circle Construction Pegasus Link Constructors Atmos Energy, West Texas Division Atmos Energy Corp., Mid-Tex Div. Praytor Landscape Atmos Energy Corp., Mid-Tex Div. Texas Gas Service Company Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Centerpoint Energy Entex City of South Houston City of Plano Parks Dept. Centerpoint Energy Entex Centerpoint Energy Entex RJ Carroll Co. Vicory Plumbing Storm Water Solutions City of Krum Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid?Tex Div. Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Atmos Energy COrp., Mid-Tex Div. Align Foundation Repair LLC Atmos Energy Corp., Mid-Tex Div. Priest Excavating Co. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Mechanical Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Page 4 $500.00 Penalty paid $1,250.00 Penalty paid $1,750.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $3,250.00 Penalty paid $500.00 Penalty paid $2,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $500.00 Penalty paid $1,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,250.00 Penalty paid $1,000.00 Penalty paid $3,250.00 Penalty paid $1,500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid Master Agreed Orders for March knee/?015 Conference 036842 036843 036848 036851 036852 036855 036859 036866 036868 036872 036876 036880 036882 036884 036886 036888 036890 036891 036892 036894 036901 036902 036904 036908 036910 036912 036914 036918 036919 036927 036932 036936 036937 036940 036944 036946 036948 036950 036952 036953 036959 036963 036969 036971 Centerpoint Energy Entex Elliot Construction Centerpoint Energy Entex North Texas Contracting Inc. Centerpoint Energy Entex Centerpoint Energy Entex Kinder Morgan Production Co. LLC Texas Gas Service Company Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Taylor Morrison Homes Graystone Concrete Contractors Atmos Energy Corp., Mid-Tex Div. Conclio Trenching Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Sanitation Inc. Structured Foundation Repairs Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Centerpoint Energy Entex AM Property Services Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Professional Water Management Assoc. Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Calco Contracting, Ltd. Holloman Corporation Triple Electric Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Centerpoint Energy Entex Page 5 $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid 1,250.00 Penalty paid $2,750.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,750.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,500.00 Penalty paid $2,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid Master Agreed Orders for March\.. Conference 036977 036980 036981 036982 036984 036986 036991 036994 036999 037000 037003 037004 037005 037006 037009 037010 037011 037016 037020 037023 037024 037027 037028 037030 037035 037036 037037 037045 037047 037048 037049 037051 037053 037058 037060 037063 037064 037065 037068 037071 037074 037076 037077 037080 Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. County of Scurry - Pet. 6 Road Bridge Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Flint Energy Services Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Capital Excavation Co. North Texas Contracting Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Fence Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid-Tex Div. Ora-Tex Utilities Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. DCP Midstream, LP Loutex Contracters Inc. Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Centerpoint Energy Entex Centerpoint Energy Entex Capco Contractors, Inc. Atmos Energy Corp., Mid-Tex Div. Jett Electric Co. Inc. Centerpoint Energy Entex Page 6 $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid 1 $2,250.00 Penalty paid $500.00 Penalty paid $1,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $2,250.00 Penalty paid $1,250.00 Penalty paid a, i 1 Master Agreed Orders for March fun/1:915 Conference 037082 - 037086 037097 037103 037109 037110 037113 037118 037119 037129 037130 037132 037136 037138 037143 037149 037154 037156 037162 037173 037177 037178 037182 037184 037193 037195 037199 037208 037215 037239 037240 037242 037246 037252 037253 037277 037284 037301 037313 037320 037329 037330 037337 037342 Centerpoint Energy Entex Centerpoint Energy Entex John Wright Construction King Piering LLC Centerpoint Energy Entex Centerpoint Energy Entex Wayne Holden Co. Bell Contractors, Inc. Atmos Energy Corp., Mid-Tex Div. KBJ Contractors City of Alpine Gas Department Centerpoint Energy Entex Centerpoint Energy Entex TI Enterprises, Inc. Atlas PL Mid-Cont. Westtex, LLC Texas Gas Service Company Allco Inc. Allco Inc. Centerpoint Energy Entex City of Stephenville City of Bryan Atmos Energy Corp., Mid-Tex Div. Centerpoint Energy Entex Lee's Plumbing LLC Texas Gas Service Company Atmos Energy Corp., Mid-Tex Div. Atmos Energy Corp., Mid?Tex Div. Miller Plumbing Co., Inc. City of Paris Texas Gas Service Company Standard Utility Construction, Inc. Rade Utilities Construction Satellite Cable Construction Inc. Paving, LLC John Burns Construction Company of Texas Superscapes, Inc. Associated Diversi?ed Services Porter Specialty Utility District Atlas PL Mid-Cont. Westtex, LLC Texas Gas Service Company City of Grand Prairie Cody Irrigation Beyer Plumbing Willbros Page 7 $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,750.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid- $2,750.00 Penalty paid $500.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $2,750.00 Penalty paid $2,250.00 Penalty paid Master Agreed Orders for March Conference 037346 037347 037349 037358 037366 037373 037375 037390 037395 037397 037400 037421 037440 037472 037480 037491 037494 037503 037517 037543 037562 Utility Contractors of America Duke Construction Northeast Services Lanehart Electric Texas Gas Service Company City of Alpine Water Department Utilities City of Gorman DCG Construction Atlas PL Mid-Cont. Westtex, LLC Burden Backhoe Service John Plott Company Standard Utility Construction, Inc. Conatser Construction TX LP Texas Gas Service Company RK Cable Contractors Texas Gas Service Company JD King Texas Gas Service Company City of Emory Classen Enterprises Page 8 $1,500.00 Penalty paid $2,000.00 Penalty paid $500.00 Penalty paid $2,750.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $1,000.00 Penalty paid $1,250.00 Penalty paid $1,250.00 Penalty paid $2,000.00 Penalty paid $2,750.00 Penalty paid $500.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $500.00 Penalty paid $1,250.00 Penalty paid $1,500.00 Penalty paid $1,250.00 Penalty paid $2,750.00 Penalty paid $2,250.00 Penalty paid Master Agreed Orders for March Coriference Page 9 IT IS ORDERED that each referenced Stipulation, Agreed Settlement and Consent Order shall become effective when this Order is signed and that a copy of this Order shall be af?xed to each Stipulation, Agreed Settlement and Consent Order. Done in Austin, Texas on MARCH 10, 2015 RAILROAD COMMISSION OF TEXAS (714141129 AIRMAN CHS CRADDICK . 5.. . MIS ER DVID POER 21- COMM 10 ER RYN SITTN ATTEST: Kala} '39. 513011123;ng I A I - 2% Siege? . ., .. a ?9?53?3?1' Enter/Edit Allocation Page IChoose an Application Lg] Go I Log Out Remittance Management Sy?tem Remittance Management Main 0.55 sec I. Register'Number found I 6 LI Enter/Edit Allocation Control Information Control Number: 18857 Remit Date: 02/13/2015 Control Status: CLOSED Remittance Information Remit Status: PENDING Register Number: Tracking Number: Received Date: 02/ 13/2015 Received -Amount( 5,000.00 Receipt Number: 5,000.00 0.00 Payee Id: Remitter Name: ATMOS ENERGY CORPORATION Payment Method: 1 - CHECK Forms: -- General Counsel - No Form Other Type of Card: Last 4 Digits: Exp. Date: I Direct Return 3 Date Authorized: Authorized by: - I - - Authorization Information Auth. Code: Mb?; Merchant Id: fg? Trans. Date/Time: 1.: Settlement Date: Trace No.: Allocation Information Fee Code: I Benefactor: I I Add Allocation Property: Name: I VI Value: I Create I I New I LAutoAllocate I Showing: 1 - 1 of 1 results Allocation Id Fee Code Description Amount Benefactor Property Delete 563415 LG-GUD-SF Legal Enforcement $5,000.00 GUD 10304 Disclaime; RRC Onllne Home RRC Hgme gontact 2/13/2015 energy, February 5. 2015 Elaine Moore. Staff Attorney Office ofGeneral Counsel - Enforcement Railroad Commission of Texas 1701 North Congress Avenue Austin, Texas 78711?2967 3 02085 Jeff Knights Vice President Technical Services Mid-Tex Division RECEIVED RRC OF TEXAS 2015 0&6 AUSTIN TX RE: Offer of Settlement GUD 10304: Enforcement Action against Atmos Energy Corp, Mid-Tex Division Dear Ms. Moore, In reference to GUD 10304, enclosed please find an Atmos Energy check in the amount of $5,000.00 representing the administrative penalty fee for settlement ofthe case. Also enclosed is the signed GUD Docket No. 10304 Consent Order. If further information is needed. please do not hesitate to contact me. Yours truly, if. 7% Jeffrey S. Knights Enc (2) Energy Corporation 5?120 LBJ Frceuay. Suite ISUO. Dallas. TX 75240 214-206-2701 l-?Zl-t-BDG-le? G/f, RAILROAD COMMISSION OF TEXAS . GAS UTILITIES DOCKET NO. 10304 ENFORCEMENT ACTION AGAINST ATMOS ENERGY CORP., MID-TEX DIVISION (COMPANY ID 6776) FOR VIOLATIONS OF PIPELINE SAFETY REGULATIONS AT GAINESVILLE HP 75# DISTRIBUTION SYSTEM (SYSTEM ID 610237), GAINESVILLE, COOK COUNTY, TEXAS CONSENT ORDER The Enforcement Section of the Commission, through its attorney, announce that the Enforcement Section and Atmos Energy Corp., Mid-Tex Division (?ReSpondent?) have agreed to an informal disposition of the matters under this docket through this Consent Order (?Order?), subject to the approval of the Commission. The Commission has authority to informally dispose of this case through a consent order pursuant to TEX. CODE ANN. 2001 .056(3). IN SETTLEMENT OF THIS DOCKET, the Enforcement Section of the Commission and Respondent do hereby agree and stipulate as follows: 1. Respondent is a ?gas utility? as-that term is de?ned in Section 121.001 of the Texas Utilities Code. 2. Respondent is an ?operator? as that term is de?ned in Title 16, Section 8.5(20) of the Texas Administrative Code. 3. Respondent is a ?person? asthat term is de?ned in Title 16, Section 8.5(21) of the Texas Administrative Code. 4. "ReSpondent is a ?gas company? as that term is de?ned in Title 16, Section 8.501) of the Texas Administrative Code. 5. The Enforcement Section and Respondent hereby agree that the alleged violation set forth in Gas Utilities Docket No. 10304 regarding Safety Evaluation No. 2013?0194, is hereby settled and compromised under the terms of this Order. - 6. Neither this Order, nor any written or oral offer of settlement related thereto, nor any statement contained therein shall constitute evidence or an admission or adjudication of: (A) any fact or conclusion of law alleged in or relating to Gas Utilities Docket No. 103 04 or Safety Evaluation No. 2013-0194; (B) any violation of any statute, rule or regulation or other wrongdoing or misconduct on the part of Respondent or any director, of?cer, agent, employee, contractor of af?liate thereof. 7. The Commission and Respondent wish to ?lrther the goal of safe operations of gas pipeline facilities within the State of Texas. Consent Order, GUD No. 10304, Page 2 10. 11. 12. 13. Respondent has elected not to avail itself of the opportunity for public hearing. The Commission has jurisdiction to assess an administrative penalty against Respondent pursuant to Sections 121.206 and 121.207 of the Texas Utilities Code. The violation alleged in Gas Utilities Docket No. 10304 is in compliance with the requirements of 49 CFR An administrative penalty in the amount of FIVE THOUSAND DOLLARS shall be recovered by the Commission for the violation asserted against Respondent. ReSpondent has placed into the possession of the Commission funds in the amount of FIVE THOUSAND DOLLARS as payment of administrative penalties assessed in Gas Utilities Docket No. 10304 pursuant to TEX. UTIL. CODE ANN. 121.206 and 121.207. The person signing hereunder for Respondent has authority to represent Respondent in this matter. Jurisdiction of this docket having been established and an agreement of the parties having been reached, it is, therefore, ORDERED by the Railroad Commission of Texas that Atmos Energy Corp., Mid-Tex Division is assessed an administrative penalty in theamount of FIVE THOUSAND DOLLARS and that Gas Utilities Docket No. 10304 is informally diSposed of and closed by this Consent Order. RAILROAD COMMISSION OF TEXAS (Order approved and signatures af?xed by Master Agreed Order dated .) APPROVED AS TO FORM AND SUBSTANCE Atmos Energy Corp., Mid-Tex Division By: Jeffrey S. Knights Vice President, Technical Service 3019??% RAILROAD COMMISSION OF TEXAS DAMAGE PREVENTION DOCKET NO. 025043: ENFORCEMENT ACTION AGAINST TNMP FOR VIOLATION OF UNDERGROUND PIPELINE DAMAGE PREVENTION COMMISSION RULE 16 TAC ?18.3(e) AT 520 EAST MAIN STREET (LEONARD STREET), LEWISVILLE, DENTON COUNTY, TEXAS STIPULATION. AGREED SETTLEMENT AND CONSENT ORDER On this the gay 0% 203 the above-entitled and numbered docket came on for consideration by the Railroad ommissiou of Texas ("Commission"). The Pipeline Safety Division of the Commission, and TNMP, through their representatives, have agreed to an informal disposition of the matters under this docket through this Consent Order ("Order"), subject to the approval of the Commission. The Commission has authority to informally dispose of this case through a consent order pursuant to TEX. CODE ANN. 2001.056 (1-3). IN SETTLEMENT OF THIS DOCKET, the Commission and TNMP do hereby agree and stipulate as follows: i. TNMP is a person engaged in or preparing to engage in the movement of earth in the vicinity of an intrastate underground pipeline containing ?ammable, toxic, or corrosive gas, a hazardous liquid, or carbon dioxide, as implemented under Title 16, ?18.1(a) of the Texas Administrative Code. 2. TNMP is a "person" as that term is de?ned by Title 16, ?18.2(16) of the Texas Administrative Code. 3. The Commission and TNMP agree that the alleged violation, as set forth in Damage Prevention Docket No. 025043, regarding 16 TAC ?18.3(e) on January 2013, at 520 EAST MAIN STREET (LEONARD STREET), Lewisville, BENTON County, Texas, is hereby settled and compromised under the terms of this Order. 4. The alleged violation by TNMP constitutes an alleged violation ofa safety standard or rule relating to the prevention of damage to facilities containing ?ammable, toxic, 0r corrosive gas, a hazardous liquid, or carbon dioxide. 5. Neither this Order, nor any written or oral offer of settlement related thereto, nor any statement contained therein shall constitute evidence or an admission or adjudication of: (A) any fact or conclusion of law alleged in or relating to Damage Prevention Docket No. 025043; (B) any violation of any statute, rule or regulation or other wrongdoing or misconduct on the part of TNMP or any director, of?cer, agent, employee, contractor or af?liate thereof. 6. The Commission and TNMP wish to further the goal ofsafe operations of earth movement activities near pipelines containing ?ammable, toxic or corrosive gas, hazardous liquids, or carbon dioxide, within the State ofTexas. 7. The Commission has considered any history of previous violation by TNMP, the seriousness ofany alleged violation, and any hazard to the health or safety ofthe public, and has determined that the facts of this case warrant an informal disposition of the Commission's concerns under the terms of this Order. 8. TNMP has elected not to avail itself of the opportunity for public hearingThe Commission has jurisdiction to assess an administrative penalty against TNMP, pursuant to Sections 121.206 and 121.207 of the Texas Utilities Code. 10. An administrative penalty in the amount of FIVE HUNDRED DOLLARS ($500.00) shall be recovered by the Commission for the alleged violation asserted against TNMP. ll. Respondent has placed, in the possession of the Commission, funds in the amount HUNDRED DOLLARS for deposit in the General Revenue Fund, as payment of administrative penalty assessed in Damage Prevention Docket No. 025043. 12. The person signing hereunder for TNMP has authority to represent TNMP in this matter. Jurisdiction of this docket having been established and an agreement of the parties having been reached, it is, therefore, ORDERED by the Railroad Commission of Texas that TNMP be assessed an administrative penalty in the amount of FIVE HUNDRED DOLLARS and that Damage Prevention Docket No. 025043 be informally disposed of by the Consent Order and closed. All relief not granted in this Order is DENIED. Done this? day of ZQB. RAILROAD COMMISSION OF TEXAS (Order approved and sig ature af?xe by Master Agreed Order dated 20 APPROVED AS TO FORM AND SUBSTANCE: Signature By: (-me Plhase print your name Title: Vice :97 Please print yot?titre Elaine Moore From: Ann M. Coffin Sent: Wednesday, January 14, 2015 3:28 PM To: Elaine Moore Subject: Re: Atmos Energy - Consent Orders Attachments: Docket 025043 - Hi Elaine - I've had a chance to discuss the draft consent orders with the Company. They have two requests for additional language that is being driven by the fact that there is pending civil litigation involving these incidents. The additional language is modeled on a Consent Order the RCT approved on August 6, 2013 for TNMP (Dkt. 025043). In particular, Atmos would like to add the following new paragraph 7 to both Consent Orders: For Lewisville: 7. Neither this Order, nor any written or oral offer of settlement related thereto, nor any underlying documentation or communications related to the matters under this docket, including Safety Evaluation No. 20130068, shall constitute evidence or an admission, ?nding, or adjudication of: (A) any fact or conclusion of law alleged or relating to Gas Utilities Docket No. 10305 or Safety Evaluation No. 20130068; (B) any violation of any statute, rule or regulation or other wrongdoing or misconduct on the part Respondent or any director, of?cer, agent, employee, contractor or affiliate thereof. For Gainesville: 7. Neither this Order, nor any written or oral offer of settlement related thereto, nor any underlying documentation or communications related to the matters under this docket, including Safety Evaluation No. 20130194, shall constitute evidence or an admission, finding, or adjudication of: (A) any fact or conclusion of law alleged or relating to Gas Utilities Docket No. 10304 or Safety Evaluation No. 20130194; (8) any violation of any statute, rule or regulation or other wrongdoing or misconduct on the part Respondent or any director, of?cer, agent, employee, contractor or affiliate thereof. Finally, in old paragraph 7 (new no. 8, if you are ok with the above) of the Consent Orders, the Company asked whether they could be included in this recitation. The change would read as follows: 8. The Commission and Respondent wish to further the goal of safe Operations of gas pipeline facilities within the State of Texas. For convenience, I've attached a copy of the TNMP Order so that you can review it. If these additions are acceptable would you please make the changes to the consent orders and send them back to me? We'll then get them signed and a check sent over to you. If you have any questions or 1 a? Elaine Moore I From: ElaineMoore Sent: . Monday, December 29, 2014 2:30 PM To: Subject: Atmos Energy - Consent Orders Attachments: DOC.PDF GUD 10304 (Gainesville) and GUD 10305 (Lewisville) Ann - Attached are the consent orders for the two Atmos cases. Let me know if you have any questions. Elaine Moore, Staff Attorney Office of General Counsel - Enforcement Railroad Commission of Texas 1701 N. Congress Ave. PO Box 12967 Austin, Texas 78711 Phone: (512) 936-2301 RAILROAD COMMISSION OF TEXAS GAS UTILITIES DOCKET NO. 10304 ENFORCEMENT ACTION AGAINST ATMOS ENERGY CORP., MID-TEX DIVISION (COMPANY ID 6776) FOR VIOLATIONS OF PIPELINE SAFETY REGULATIONS AT GAINESVILLE. HP 75# DISTRIBUTION SYSTEM (SYSTEM ID 610237), GAINESVILLE, COOK COUNTY, TEXAS CONSENT ORDER The Enforcement Section of the Commission, through its attorney, announce that the Enforcement Section and Atmos Energy Corp., Mid-Tex Division (?Respondent?) have agreed to an informal disposition of the matters under this docket through this Consent Order (?Order?), subject to the approval of the Commission. The Commission has authority to informally diSpose of this case through a consent order pursuant to TEX. CODE ANN. IN SETTLEMENT OF THIS the Enforcement Section of the Commission and Respondent do hereby agree and stipulate as follows: 1 . Respondent is a ?gas utility? as that term is de?ned in Section 121.001 of the Texas Utilities Code. 2. Respondent is an ?operator? as that term is de?ned in Title 16, Section 8.5(20) of the Texas Administrative Code. 3. Respondent is a ?person? as that term is de?ned in Title 16, Section 8.5(21) of the Texas Administrative Code. 4. Respondent is a ?gas company? as that term is de?ned in Title 16, Section 8.5(11) of the Texas Administrative Code. 5. The Enforcement Section and Respondent hereby agree that the alleged violation set forth in Gas Utilities Docket No. 10304 regarding Safety Evaluation No. 2013-0194, is hereby settled and compromised under the terms of this Order. 6. Respondent makes no admission of any alleged pipeline safety violation, but wishes to address the Commission?s concerns under the terms of this Order. 7. The Commission wishes to further the goal of safe operations of gas pipeline facilities within the State of Texas. 8. ReSpondent has elected not to avail itself of the Opportunity for public hearing. 9. The Commission has jurisdiction to assess an administrative penalty against Respondent pursuant to Sections 121.206 and 121.207 of the Texas Utilities Code. I I g. Consent Order, GUD No. 10304, Page 2 10. The violation alleged in Gas Utilities Docket No. 10304 is in compliance with the requirements of 49 CFR 1 . An administrative penalty in the amount of FIVE THOUSAND shall be recovered by the Commission for the violation asserted against ReSpondent. l2. ReSpondent has placed into the possession of the Commission funds in the amount of FIVE THOUSAND DOLLARS as payment of administrative penalties assessed in Gas Utilities Docket No. 10304 pursuant to TEX. UTIL. CODE ANN. 121.206 and 121.207. 13. The person signing hereunder for Respondent has authority to represent ReSpondent in this matter. Jurisdiction of this docket having been established and an agreement of the parties having been reached, it is, therefore, ORDERED by the Railroad Commission of Texas that Atmos Energy Corp., Mid-Tex Division is assessed an administrative penalty in the amount of FIVE THOUSAND DOLLARS and that Gas Utilities Docket No. 10304 is informally disposed of and closed by this Consent Order. RAILROAD COMMISSION OF TEXAS (Order approved and signatures af?xed by Master Agreed Order dated .) APPROVED AS TO FORM AND SUBSTANCE Atmos Energy Corp., Mid-Tex Division By: Jeffrey S. Knights Vice President, Technical Service [re'x ?1 l? I Elaine Moore From: Carrie Ebbinghaus Sent: Thursday, December 04, 2014 4:48 PM To: Elaine Moore Subject: RE: Compliance - Atmos Cases Elaine. Bolh are in compliance as 12/2/20111-. Thank you. Carrie From: Elaine Moore Sent: Thursday, December 04, 2014 4:37 PM To: Carrie Ebbinghaus Subject: Compliance - Atmos Cases Hi, Carrie. Would you please let me know the status of compliance on the following 2 Atmos cases: GUD 10304 (Gainesville) and GUD 10305 (Lewisville). Thank you. Elaine Moore, Staff Attorney Office of General Counsel Enforcement Railroad Commission of Texas 1701 N. Congress Aye. PO BOX 12967 Austin, Texas 78 711 Phone: {512) 936-2301 Parsley Cof?n Renner A Limited Liability Partnership Post Of?ce Box 13366 Austin, Texas 78711 Telephone (512) 879-0900 Fax (512) 879-0912 April 1, 2014 Ms. Mary Ross McDonald Director, safety Division Railroad Commission of Texas 1701 N. Congress Austin, Texas 78701 Re: Atmos Energy Corporation, Mid-Tex Division Inspection Package No. 107032/Eva1uation No. 20130194 City of Gainesville Dear Ms. McDonald: Atmos Energy Corp., Mid-Tex Division (?Atmos Energy? or the ?Company?) has received your letter dated March 3, 2014 regarding the Company?s October 7, 2013 response to the referenced safety evaluation. Atmos Energy appreciates your acknowledgement that the Company?s crews took immediate action to isolate the damaged section of pipe by installing a short stop ?tting and excavated a location to squeeze polyethylene pipe. Atmos Energy believes that this ?nding resolves the allegation in Item No. 1 of the Inspection Package. With regard to Item No. 2, you suggest that additional revisions to the Company?s initial response are warranted based on the contention that Atmos Energy did not perform a timely emergency shutdown in the section of piping involved _in the incident suf?cient to minimize hazards to life or property. Atmos Energy respect?illy disagrees given the particular facts of this incident. In particular, the suggestion that Annos Energy should not have Waited for the City of Gainesville to shut off the water prior to stopping the ?ow of gas at the location fails to take into account that a high pressure water line break caused an abundance of ?ooding that restricted Atrnos Energy?s ability to shut down the closest valve in advance of the ?ood water receding since the water would have ?ooded the pipe and shut down gas utility service to much of the City of Gainesville. Moreover, a review of Section 27 0f Atmos Energy?s Operations and Maintenance Manual demonstrates that Atmos Energy has emergency procedures in place that met or exceed the requirements of Part 192.615. The inspection package identi?es no facts to suggest that Atmos Energy personnel who responded to the incident did not fully comply with these procedures. Finally, I refer you to GUD 10304; Enforcement Action against Atmos Energy Corp., Mid- Tex Division for Violations of Pipeline Safety Regulations. As you are aware, this enforcement action was initiated in response to a request by the Commission?s Pipeline Safety Division. Given the pending status of this enforcement action, the Company is no longer in a position that allows it to revise its correction plan. The Company does, however, look forward to working with the Commission in a manner that will allow the parties to reach a mutually agreeable resolution of the 98 San acinto Boulevard, Suite 1450, Austin, Texas 78701 - If" f} Elaine Moore I I From: Elaine Moore Sent: - Tuesday, April 01, 2014 2:30 PM To: 'Ann M. Coffin' Subject: RE: Atmos Energy Corp., Mid-Tex Dvision, Inspection No. 107032/City of Gainesville Okay, I thought that?s why you included it. Just want to be able to be clear with Polly when we discuss. Thanks. From: Ann M. Cof?n Sent: Tuesday, April 01, 2014 2:25 PM To: Elaine Moore Subject: Re: Atmos Energy Corp., Mid-Tex Dvision, Inspection No. 107032/City of Gainesville Elaine - This is standard language that I've used in the past the Garland enforcement action GUD 9981) when the matter has been docketed and there is an ongoing, parallel, notice of violation. We've included this to ensure no prejudice to the Company's litigation rights. We have, however, provided the information in the response that Atmos believes demonstrates compliance with the cited rule and the Company's operations and maintenance practices for this particular incident. See paragraph 2 of the response and we believe that this information should allow the pipeline safety division to conclude that any issue has been resolved. - Please give me a call if you'd like to discuss. Thanks, Ann Ann M. Coffin Parsley Coffin Renner LLP 98 San Jacinto Boulevard Suite 1450 Austin, Texas 78701 512/879-0915 51 21879-091 2 (fax) From: "Elaine Moore" To: "Ann Coffin" Sent: Tuesday, April 1, 2014 2:15:01 PM Subject: RE: Atmos Energy Corp., Mid-Tex Dvision, Inspection No. 107032/City of Gainesville Ann ?l have a question about your letter to Polly. In the last paragraph on the first page, you say the pending enforcement action precludes Atmos from revising its correction plan. What do you mean by that? Elaine From: Ann Cof?n Sent: Tuesday, April 01, 2014 2:05 PM To: Elaine Moore Cc: Ann M. Cof?n Subject: Atmos Energy Corp., Mid-Tex Dvision, Inspection No. 107032/City of Gainesville Ir Elaine: ?r Pursuant to our discussion today, attached is a copy of the letter that is being sent to Pol y McDonald today. Ann M. Coffin Parsley Coffin Renner LLP 98 San Jacinto Boulevard Suite 1450 Austin, Texas 78701 512/879-0915 (direct) 51 21879-091 2 (fax) CONFIDENTIAL: This transmission and any attachment(s) thereto contain con?dential information from Parsley Cof?n Renner LLP. This information is intended solely for use by the individual or entity intended .as the recipient. If you are not the intended recipient, be aware that any disclosure, copying, distribution, or use of the contents of the information is prohibited. If you have received this transmission in error, please notify us by return e-mail and by telephone immediately at 512/879-0900. CONFIDENTIAL: This transmission and any attachment(s) thereto contain con?dential information from Parsley Cof?n Renner LLP. This information is intended solely for use by the individual or entity intended as the recipient. If you are not the intended recipient, be aware that any disclosure, copying, distribution, or use of the contents of the information is prohibited. If you have received this transmission in error, please notify us by return e-mail and by telephone immediately at 512/879?0900. Becky Tate From: Becky Tate Sent: Tuesday, February 18, 2014 2:14 PM To: Cc: Subject: GUD10304 Attachments: DOC (9) Dear Ms. Azarani, In response to your earlier e-mail, asking for a copy of the original complaint because your response is due think we use terms differently. The original complaint has not been drafted, and would be the next step if there is no response to the settlement offer. have attached a copy of the complete docket file for GUD 10304 and hope this will assist with your needs. Please let me know if I can be of further assistance. Enforcement looks forward to resolving this matter with your office in settlement procedures, without filing a complaint. Sincerely, . my Becky Tate, Lega 5 Office of General - .1 I P. 0. Box 12967 y-jqu?? Austin, Texas 787'. j?r f?r' . 512-463-4889 k} I becky.tate@rrc.sta . ,a 9" Beclg Tate From: Emma Azarani Sent: Tuesday, February 18, 2014 11:49 AM To: Becky Tate Subject: Re: Elaine docket - Atmos Becky, this request is in GUD 10304. We would like to get a copy of the original complaint as our response is due 2/24. Thanks Emma R. Azarani Paralegal Parsley Coffin Renner LLP 98 San Jacinto Boulevard Suite 1450 Austin, Texas 78701 512/879-0926 (direct) 512/879-0912 (fax) From: "Dan Renner" To: "Becky Tate" Cc: "Emma Azarani" "Kristi Reeve" Sent: Tuesday, February 18, 2014 9:43:28 AM Subject: Re: Elaine docket - Atmos Becky Emma will be in touch with you this morning re the documents she needs copied from the file. Thanks again. Dan On Feb 18, 2014, at 9:18 AM, Becky Tate wrote: Mr. Renner. Thank you for responding. Please tell me how can I help you? From: Dan Renner Sent: Tuesday, February 18, 2014 9:15 AM To: Becky Tate Cc: Kristi Reeve Subject: Re: Elaine docket - Atmos Thank you Becky. We represent Atmos on this docket. 0- :7 i >5 On Feb 18, 2014, at 7:54 Becky Tate wrote: Good Morning, I received a phone message from Emma, asking I call her regarding an e-mail from you, requesting information. I will return Emma's call shortly. The total message I received is shown below. If there is more to this message, please fonrvard. I would also like to point out, unless you are a party of a docket you are requesting information from, or legal representation of a party in a docket you are requesting information from, you will need to make an open records request. You may contact Karen.Sanchez@rrc.state.tx.us or Debra.Ravel@rrc.state.tx.us to make an open records request, if needed. I will be in my of?ce until midafternoon, please contact me with any concerns. Again, I will call Emma shortly. Sincerely, Becky Tate, Legal Assistant Of?ce of General Counsel - Enforcement P. O. Box 12967 Austin, Texas 78711-2967 512-463?4889 becky.tate@rrc.state.tx.us Message-?-?- From: Kristi Reeve Sent: Friday, February 14, 2014 10:15 AM To: Go: Becky Tate Subject: Elaine docket Atmos Dan, I'm out of the of?ce at the TJOGEL CLE. I won't be back in the of?ce until Tuesday. I've copied Becky Tate, she is Elaine's legal assistant. She may be able to get you a copy of what you need. Kristi CONFIDENTIAL: This transmission and any attachment(s) thereto contain con?dential information from Parsley Coffin Renner LLP. This information is intended solely for use by the individual or entity intended as the recipient. If you are not the intended recipient, be aware that any disclosure, copying, distribution, or use of the contents of the information is prohibited. If you have received this transmission in error, please notify us by return e-mail and by telephone immediately at 512/879-0900 CONFIDENTIAL: This transmission any attachment(s) thereto contain b?orfiidential information from Parsley Cof?n Renner LLP. This information is intended solely for use by the individual or entity intended as the recipient. If you are not the intended recipient, be aware that any disclosure, copying, distribution, or use of the contents of the information is prohibited. If youhave received this transmission in error, please notify us by return e?mail and by telephone immediately at 512/879?0900. BARRY T. SMITHERMAN, CHAIRMAN LINDIL C. FOWLER, JR., GENERAL COUNSEL DAVID PORTER, COMMISSIONER DAVID W. COONEY, JR., DIRECTOR CHRISTI CRADDICK, COMMISSIONER ENFORCEMENT SECTION RAILROAD COMMISSION OF TEXAS 7 3 OFFICE OF GENERAL COUNSEL gig :5 .n on January 7, 2014 a; an}; a 0 Jeffrey S. Knights Vice President, Technical Service Atmos Energy Corp., Mid-Tex Division PO Box 223705 Dallas, Texas 75222-3705 Via First Class and CMRR '31: 71?1?3 :17le 7366 Re: SETTLEMENT OFFER - GUD No. 10304: Enforcement Action Against Atmos Energy Corp, Mid-Tex Division for Violations of Commission Pipeline Safety Regulations Dear Mr. Knights: This is to inform you that the above-referenced case has been referred to the Railroad Commission's Enforcement Section to pursue compliance and an administrative penalty against Atmos Energy Corp.. Mid-Tex Division (?Atmos?) for a violation of 49 CFR 192.615(a) [failure to establish written procedures to minimize the hazard resulting from a gas pipeline emergency]. A safety inspection of the Gainesville HP 75# distribution system, conducted between January 24 and January 25, 2013. revealed that Atmos failed to make the appropriate emergency shutdown and pressure reduction to minimize hazards to life and property in the section of pipe at the corner of West Tennie and South Weaver. This violation stems from an incident that occurred at 221 West Tennie Street in Gainesville. Texas on January 24, 2013 during which time Atmos allowed gas to escape from their distribution system pipeline for more than seven hours. Should this case go to hearing, Enforcement would be required to seek an administrative penalty of not less than $10,000.00 (one violation of 49 CFR 192.615(a) at However, if by or before February 10, 2014, Atmos cures the referenced violation, pays a $5,000.00 penalty, and signs and returns the attached Consent Order, Enforcement would be willing to accept a ?fty percent reduction of the penalty that would otherwise be requested at hearing. For your information, the penalty must be paid by check made payable to the Railroad Commission, reference the fact that it is in payment of an administrative penalty in GUD No. 10304 and be sent to the Commission, Attn: Enforcement, at the address below. Also, please sign the order on the last page only and do not date it or ?ll in any other blanks. 1701 NORTH CONGRESS AVENUE POST OFFICE Box 12967 TDD 300.735-2939 OR 512-463-7284 AUSTIN, TEXAS 78711-2967 'k PHONE: 512/463-6762 FAX: 512/463-6989 AN EQUAL OPPORTUNITY EMPLOYER hnp:/ iuum-.rtc.slatc.u.us January 7, 2014 GUD 10304 Page 2 Please be advised that if] do not receive the penalty, signed order and con?rmation of compliance by no later than 5:00 pm. on February this offer will be deemed to have been rejected and a Complaint will be ?led. In such event there will be no opportunity for further negotiations. If you have any questions, do no hesitate to contact me. Sincerely, ,7 me Moore. Staff Attorney Enforcement Section Of?ce of General Counsel Railroad Commission of Texas Phone: (512) 936-2301 Enclosure RAILROAD COMMISSION OF TEXAS GAS UTILITIES DOCKET NO. 10304 ENFORCEMENT ACTION AGAINST ATMOS ENERGY CORP., MID-TEX DIVISION (COMPANY ID 6776) FOR VIOLATIONS OF PIPELINE SAFETY REGULATIONS AT GAINESVILLE HP 75# DISTRIBUTION SYSTEM (SYSTEM ID 610237), GAINESVILLE, COOK COUNTY, TEXAS CONSENT ORDER The Enforcement Section of the Commission, through its attorney, announce that the Enforcement Section and Atmos Energy Corp., Mid-Tex Division (?Respondent?) have agreed to an informal disposition of the matters under this docket through this Consent Order (?Order?), subject to the approval of the Commission. The Commission has authority to informally dispose of this case through a consent order pursuant to TEX. CODE ANN. IN SETTLEMENT OF THIS DOCKET, the Enforcement Section of the Commission and Respondent do hereby agree and stipulate as follows: 1. ReSpondent is a ?gas utility? as that term is de?ned in. Section 121.001 of the Texas Utilities Code. 2. Respondent is an ?operator? as that term is de?ned in Title 16, Section 8.5(20) of the Texas Administrative Code. r. 3. ?ReSpondent is a ?person? as that term is de?ned in Title 16, Section 8.5(21) of the Texas Administrative Code. 4. .ReSpondent is a ?gas company? as that term is de?ned in Title 16, Section 8.5(11) of the Texas Administrative Code. 5. The Enforcement Section and ReSpondent hereby agree that" the alleged violation set forth in Gas Utilities Docket No. 10304rregarding Safety Evaluation No. 2013-0194, is hereby settled and compromised under the terms of this Order. 6. Respondent makes no admission of any alleged pipeline safety violation, but wishes to address the Commission?s concerns under the terms of this Order. 7. The Commission wishes to further the goal of safe operations of gas pipeline facilities within the State of Texas. 8. Respondent has elected not to avail itself of the opportunity for public hearing. 9. . The Commission has jurisdiction to assess an administrative penalty against Respondent pursuant to Sections 121.206 and 121.207 of the Texas Utilities Code. Consent Order, GUD No. 10304, Page 2 10. The violations alleged in Gas Utilities Docket No. 10304 have been placed in compliance by ReSpondent with the requirements of 49 CFR . An administrative penalty in the amount of FIVE THOUSAND shall be recovered by the Commission for the violation asserted against Respondent. 12. Respondent has placed into the possession of the Commission funds in the amount of FIVE THOUSAND DOLLARS as payment of administrative penalties assessed in Gas . Utilities Docket No. 10304 pursuant to TEX. UTIL. CODE ANN. 121.206 and 121.207. 13. The person signing hereunder for Respondent has authority to represent Respondent in this matter. Jurisdiction of this docket having been established and an agreement of the parties having been reached, it is, therefore, ORDERED by the Railroad Commission of Texas that Atmos Energy Corp., Mid-Tex Division is assessed an administrative penalty in the amount of FIVE THOUSAND DOLLARS and that Gas Utilities Docket No. 10304 is informally disposed of and closed by this Consent Order. RAILROAD COMMISSION OF TEXAS (Order approved and signatures rati?ed by Master Agreed Order dated .) APPROVED AS TO FORM AND SUBSTANCE Atmos Energy Corp., Mid-Tex Division By: Jeffrey S. Knights Vice President, Technical Service Ship Request Page 1 of 1 7? File Copy Only. Texas Procurement And Support Service Tracking 9171999991703297467388 From: To: Name: Becky Tate Ship To 1: Jeffrey S. Knights. V.P. Tech Services Department: 455 RRCIOGC-Enforcement section Ship To 2: Atmos Energy Corp, Mid-Tex Division Phone: 463-4889 Address: P. O. Box 223705 Remath EMM: GU010304 Remark2: Remarks: Dallas, TX 75222-3705 Reference: country} US Special instructions: Requested Date: 17712014 8:19:43 AM To print this form: 1) Click the Print button. (Print two copies. one to attach to your package and one to keep for your records.) 2) Place the form in a waybill pouch or attach it to your shipment so that the barcode portion of the page can be read and scanned. Form (1 of 1) 1/7/2014 Railroad Commission Safety Division Docket Referral 9/5/13 8:58 AM Docket Number: 1 Company: ENERGY CORP., MID-TEX DIVISION Inspection Package ID: Page 1 of 1 107032 Region Referral Date: Attorney: Status and Status Date: Referred to Legal: 09/05/2013 Agreed Order: Legal Negotiating: PFD: Complaint Filed: El Dismissal: Hearing: Comments: Atmos allowed gas to escape from their distribution system pipeline for more than seven hours and did not have a valve necessary to stop the ?ow of natural gas and failed turn the emergency shut off valve at the nearest regulator station controlling that section of the pipeline to stop the flow of gas. Total Enhanced Penalty: 10,000.00 Penalty Amount Collected: Form PS-53 Railroad Commission 9/5/13 8:58 AM . . . Safety 1 Docket Referral: Violation List Docket Number: Inspection Package ID: 107032 Company: ENERGY CORP., MID-TEX DIVISION Violation Code: 192-615-013 The written emergency plan did not include adequate procedures for the following item(s): a. receiving, identifying, or classifying notices of events requiring an immediate response. b. establishing or maintaining communication with ?re, police, or other public officials. c. prompt and effective responseto a notice of each type of gas emergency d. availability of personnel, equipment. tools or materials as needed at the emergency scene e. actions to protect people ?rst f. emergency shutdown and pressure reduction in any section of the system 9. making safe any actual or potential hazard to life or property h. notifying appropriate ?re, police, or other public of?cials of gas emergencies coordinating both planned actual responses during an emergency. i. safely restoring service outages j. beginning investigative action as soon as possible after the emergency Requirement: 49 CFR 192.615(a) Violation Notes Evaluation Violation Previous ID State Evaluation [0 Lobatibn Note 20130194 Uncorrected 221 West Tennie Atmos did not make the appropriate emergency St. shutdown and pressure reduction in the section of Gainesville, pipe at the corner of West Tennis and South Weaver Texas to minimize hazards to life and property. Penalties Evaluation First Day of Days Out Of Penalty Enhanced ID Non-compliance Compliance Amount Penalty Amount Enhancement Reason 20130194 1 10,000.00 10:00000 Reportable lncidenUAccident Form 13353 Mary Ross McDonald Director Ban-y T. Smitherman, Chairman David Porter, Commissioner Christi Craddick, Commissioner RAILROAD COMMISSION OF TEXAS Pipeline Safety Division September 5, 2013 455-21 Mr. Jeffrey S. Knights, Vice President, Technical Servic ATMOS ENERGY CORP., DIVISION P. O. Box 223705 - Dallas, TX 75222-3705 Re: Pipeline Safety Evaluation Inspection Package Number: 107032 ATMOS (All correspondence must include the Inspection Package Number) Dear Mr. Jeffrey S. Knights: Recently, an incident, complaint, or other condition required our staff to conduct an investigation of pipeline facilities operated by your company. The facilities and the subject of the investigation are identi?ed in the attached Safety Evaluation Summary. Investigations are conducted in accordance with pipeline safety requirements of the Texas Utilities Code, Section 121.201 for natural and other gas pipeline facilities and TEX. NAT. RES. CODE, Sections 117.001 and 117.01 1_ (Vernon Supp. 2002) for hazardous liquid pipeline facilities. During the investigation, selected physical conditions, written procedures, and records were reviewed. At the time 'of this investigation, alleged violations of the minimum safety regulations were found and are detailed in this correspondence. Violations of the Pipeline Safety rules are subject to administrative penalties. The legal enforcement staff will contact you regarding any enforcement action that may apply as a result of the repeat Violation(s) noted during the evaluation. The investigationresults re?ect the general status and condition of the entire system. It is your responsibility to take action, not only to correct the speci?c de?ciencies listed in the attachment, but also to recognize and correct any other conditions which do not meet the minimum safety standards. If you have any questions or need assistance, do not hesitate to contact James Riley in the 1701 NORTH CONGRESS AVENUE POST OFFICE BOX 12967 AUSTIN, TEXAS 78711-2967 PHONE (512)463-7053 FAX {512] 463-7319 TDD (800) 735-2939 OR TDY (512) 463-7284 AN EQUAL OPPORTUNITY EMPLOYER September 5, 2013 Page2 i i '1 Fort Worth Regional Of?ce at (817) 882-8966. Sincerely, Mary 3055 McDonald Director Enclosure: Safety Evaluation Summary Alleged Violation List 1701 NORTH CONGRESS AVENUE POST OFFICE BOX12957 AUSTIN, TEXAS 78711-2967 PHONE (512) 463-7053 FAX (512] 463-7319- TDD (800) 735-2989 OR TDY {512) 463-7284 AN EQUAL OPPORTUNITY EMPLOYER iailroad Commission of Texa.__ 9/5/13 8:57 AM Safety Division Page 1 of 1 Safety Evaluation Summary Inspection Package: 107032 Operator: 6776 ATMOS ENERGY CORP., MID-TEX DIVISION Mr. Jeffrey 8. Knights Vice President_,_ Technical Services P. O. Box 223705 Dallas, TX 75222-3705 Eval No System and Name 20130194 610237 GAINESVILLE HP 75# lnspector(s) ActivityIClassication: SpecializedlAccident Unit: 3419 ATMOS Inspection Package Performed Start Date: 01/2412013 End Date: 01/25/2013 Alleqed Violations SYStem TYPE Repeat Uncorrected Corrected Total Distribution 0 2 0 2 Regional Office Phone Number Eliel Rodriguez Goodluck O'nukwufor James Riley Action A plan of correction is due by October 07, Fort Worth (817) 882-8966 Fort Worth (817) 882-8966 Fort Worth (817) 882-8966 2013 Important Note: The pipeline system(s) listed above are identi?ed by a number and name and represent the physical pipe, valves and other components operated by your company. Additionally, there may be a pipeline system listed that is named System of Company ID Number where number is the identi?cation number of your company. This system is used to represent your company and does not represent any physical pipeline system. For internal purposes it allows the Commission to more properly record inspection work performed at the company level. Where de?ciencies are found in programs. plans, procedures, and records at the company level and are not with a speci?c physical system, alleged violations will be cited against the System of Company ID Number. ailroad Commission of Texa Safety Division Alleged Violation List All correspondence must include the Inspection Package and Evaluation Number 9/5/13 8:57 AM Page 1 of 2 Inspection Package: 107032 Activity/Clas?sication: SpecializedlAccident System Name: GAINESVILLE HP 75# Evaluation Number: 20130194 Item Number: 1 Action Needed: Violation requires a plan of correction by October 07, 2013. Description: The valves on the high pressure distribution system were not adequately spaced so as to reduce the time to shut down a section of main in an emergency. Requirement: 49 CFR 192.181(a) Notes: Description: Section Valve Location: 221 W. Tennie Street- Gainesville, Texas Comment: It took the operator 7 hours to stop the ?ow of gas. If more valves were adequately spaced in the system. Atmos would have been able to shut the ?ow of gas sooner. Item Number: 2 Action Needed: Violation requires a plan of correction by October 07, 2013. Description: The written emergency plan did not include adequate procedures for the following item(s): a. receiving, identifying. or classifying notices of events requiring an immediate response. b. establishing or maintaining communication with ?re. police, or other public of?cials. c. prompt and effective response to a notice of each type of gas emergency d. availability of personnel, equipment, tools or materials as needed at the emergency scene e. actions to protect people ?rst TH emergency shutdown and pressure reduction in any section of the system g. making safe any actual or potential hazard to life or property h. notifying appropriate ?re, police, or other public of?cials of gas p/l emergencies coordinating both planned 8: actual responses during an emergency. i. safely restoring service outages j. beginning investigative action as soon as possible after the emergency Requirement: 49 CFR 192.615(a) Notes: I I I glallroad Commussron of Texas 9/5/Safety DIVIsron age or 2 Alleged Violation List All correspondence must include the Inspection Package and Evaluation Number Inspection Package: 107032 Activity/ClassiCation: Specialized/Accident System Name: GAINESVILLE HP 75# Evaluation Number: 20130194 Description: Other: Emergency Plan Location: 221 West Tennie St. Gainesville. Texas Comment: Atmos did not make the appropriate emergency shutdown and pressure reduction in the section of pipe at the corner of West Tennie and South Weaver to minimize hazards to life and property. Railroad Commission of Texas ?Pipeline Safety Evaluation System Field Package Routing Sheet Inspection Package ID: 107052 Activity I Classi?oation: Specialized I Accident Company: 6776 ATMOS ENERGY CORP., MID-TEX DIVISION Unit: 3419 ATMOS James Riley lnspector(s): GoodlLIckon'ukwufor, Elie! Rodriguez Region(s): Fort.Worlh-6 Date' Mailed?to Supervisor: Database changa?Farm Included? Yes lj N0 Requires invoice for 16 TAC 8.201 Fee ?Yes No Supervisoi: Rickenson Daniel Date Reviewed: Date Mailed to Austin:' - Legal Enforcement Requested: Yes Director's Approval: Database Change complete: Data Entry Complete: Letter Sent: Filed: Specialized AppioVal: Received: otes Distribution Railroad Commission- of Texas Pipeline Evaluation System Field Package 107032, Specialized-I Accident CompanyIUnitISystem Data l? Company 6776 ATMQS ENERGY CORPL, MID-TEX Representative Mr. Jeffrey 8. Knights Title Vice President, TechniCal Services Phone 214-206-2701 24 HourlPhone 666-322-8667 FAX 214-206-2126 E?Mail . ailing Address P. 0. Bo "3 1 *2 223f05 44? nit 3419 ATMOS ENERGYIGAINESVILLE epresentative? Mr. Greg Elrnore Survey 8: Corrosion SuperviSor one 940-668-3105 4 Hour Phone 800-817-8090 -Mail 1200 N. Dixon Gainesville,__TX ling Address .y temName- .. . . 610237 GAINESVILLE HP 75# Distribution 20130194 915/2013 08:58 4 PI Railroad Commission of Texas Pipeline Evaluation System Page 1 of 2 Field Package ID: 107032, Specialized [Accident . .. Ditrii avato Company (6776) ATMOS ENERGY CORP., MID-TEX DIVISION Unit (3419) ATMOS Begin Date 01/24/2013" ?5 End Date 0112512013 Miles Evaluated 96.316 Integrity Code Risk Based Contact 1 I Jackie Thomas Contact 1 Title Operations Supervisor .I 1 Contact 2 I Marcie Hier'r'on If Contact2 Title Compliance Supervisor v- Contacted 'at 5111 Blue Flame Lana?Sherman, Texas. System ID System Name Status Jurisdiction lntra-Interstate System Code Gathering Type Install Year. T4 Number Total Miles Region 610237 GAINESVILLE 8: HP 75# - Active Jurisdictional Intrastate (D) Distribtition 1940 99999 96.316 Fort Worth- 20121047 Standard I Comprehensive System 610237 Begin Date 0411612012 Lead Inspector End Date 04/20l2012 San Sein - Railroad Commission of Texas 9512013 08:58 Pipeline Evaluation System Page 2 0"2 Field Package ID: 107032, Specialized [Accident Eva'a??on ate HE a State Status Status'Date - Evaluation Violation Code 20121047 192-613-002 Uncorrected Complete 08l06l2012 20121047 1912-4639001 Uncorrected Complete 05129l2012 2-. Railroad Commission of Texas 915/2013 08:58 Pipeline Evaluation System P3991 Field Package ID: 107032, Specialized [Accident Alleged Violations System: 610237 HP 75# Evaluation ID: 20130194 Cl NO violations found Hum-Uncorrected [3 Yes 1 Corrected Repeat NO Uncorrected El Yes 2 Corrected Repeat No Uncorrected Yes 3 El Corrected El Repeat No Uncorrected Yes 4 El Corrected Repeat Uncorrected Yes 5 El Corrected Repeat N0 Uncorrected Yes 6 Corrected Repeat 0 El Uncorrected Yes 7 Corrected Repeat 0 I: Uncorrected Yes 8 El Corrected [j Repeat 0 Uncorrected Yes 9 Corrected Repeat 0 El Uncorrected Yes 10 El Corrected Repeat 0 Uncorrected El Yes 11 I Corrected El Repeat 0 El Uncorrected Yes 12 El Corrected El Repeat NO Uncorrected Yes 13 Corrected No Repeat Railroad Commission of Te: 9/5/2013 0353 k? Pipeline Evaluation System a Page 1 0f 1 Field Package lD: 107032, Specialized [Accident I System Events/Comments System: 610237 GAINESVILLE 8: HP 75# Evaluation ID: 20130194 I. ., .. - Action Event Note 04/26/2010? 61023] Total Miles Changed Eval 10-1087 mileage change due to operator adding more pipe due to population increase. I From: 95.6 To: 96.359 04/30/2012 610237 Total Miles Changed Mileage update From: 96.359 To: 96.316 .45; Employee ?Date I I Comment System Conversion 02/06/2009 OPERATOR CHANGE FROM TXU GAS DISTRIBUTION (5702) TO TXU GAS System Conversion 02/06/2009 COMPANY (5458) PER MLM 12/15/03 SEC. . System Conversion 02/05/2009 OPERATOR CHANGE FROM TXU GS COMPANY (6468) TO ATMOS ENERGY System Conversion 02/06/2009 CORPL, MID-TEX DIVISION (6776] PER MLM 4/7/05 SEC. System Conversion 02/06/2009 ADDED HP 75/? TO SYSTEM NAME PER ARG 05-4405 6/10/05 SEC. t: Railroad Commission of Texas {2 9/5/2013 03:53 Pipeline Evaluation System P8981 0f'5 Field Package ID: 107032, Specialized [Accident Distribution System Data System: 61023? GAINESVILLE HP 75# Evaluation__ ID: 20130194 53"? . MQMAIN 5? Purchased Meters I 3- I Cusmmers I 4563 OdOrizers Provided By self A Np- ?g?t -- Odorizers Odorizer Types injection 'FarmTap?-f .. Odorant seentinel City Gate Stations I 3 a Patm' Points 3 I Safety Related Condition Farm Taps 0 _i _w 'Sertrice Average 44.900 I Regulator Stations 29 I Master Meter Regulator Stations 1 . Low Pressure? I Yes I El, Cathodic Protection Zones I 216 Short Cathodic Pressure Sections 0 Casings 12 Shorted Casings I I 12 Unrepaired Grade 2nteaks' 8 i Unrepaired'_Grade3Leaks 1 Unrepaired Leaks As or 04I09l2012 l; 3.. an Monitor Relief High Pressure Line CityGate DRS 1 ?7 Railroad Commission of TeXas . ,Pipeline Evaluation System Field Package ID: 107032, Specialized [Accident Distribution System Data System: 61023? GAINESVILLE HP 75# Evaluation ID: 20130194 915/201 3 08:58 I DRS (low?pressure) Page 2 of 5 Railroad Commission of Texas 9/5/2013 03:53 Pipeline Evaluation System i P8993 01? 5 Field Package ID: 107032, Specialized I Accident Distribution System Data System: 610237 GAINESVILLE Evaluation ID: 20130194 5. 6777 ATMOS PIPELINE - TEXAS 1213112011 Corrosion Natural Ferces Excavation I Other Outside ForCe Damage I I Material o_r'WeIds Equipment Operations Other Steel Unprotected Bare a 2" or Less Steel Unprotected Bare Over 2? Thru 4" Steel Unprotected Bare Over. 4" Thru 8" Steel Unprotected Bare Over 8" Thru 12" Steel Protected Coated 2" or Less Steel Protected Coated Over 2" Thru 4" Steel Protected Coated Over 4" Thru 8" PE I 2" or' Less PE Over Thru 4" PE - I Over 4" Thru 8" as?g ?1 Railroad Commission of TeXas Pipeline EvaluatiOn System Field Package ID: 107032, Specialized [Accident Distribution System Data System: 610237 GAINESVILLE HP 75# Evaluation ID: 20130194 9/5/2013 08:58 Page -5. Steel Unprotected Bare I I 1" or Less Steel Unprotected Bare Over 2" Thru 4" PE ?1"_or Less - - - PE Over Thru 2" fever 2" Thru 4" Railroad Commission of Texas . 9/5/2013 03:53 Pipeline Evaluation System Page 5 0f 5 Field Package ID: 107032, Specialized [Accident Distribution System Data System: 610237 GAINESVILLE HP 75# Evaluatidn 1D: 20130194 .628: June 2011 587955.000 545339.000 Evaluation Comment: No Evaluation Comment. Railroad Commission of Texas 9/5/2013 03:53 Pipeline Evaluation System Page 1 0f 2 Field Package ID: 107032, Specialized I Accident Alleged Violations System: 61023? GAINESVILLE 8: HP 75# Evaluation ID: 20130194 Item Number: 1 Description: The valves on the high pressure distribution system were not adequately spaced so as to reduce the time to shut down a section of main in an emergency. Requirement: 49 CFR 192.1 81 Notes: Description: Section Valve Location: 221 W. Tennie Street Gainesville, Texas Comment: It took the operator 7 hours to stop the ?ow of gas. If more valves were adequately spaced in the system, Atmos would have been able to shut the flow of gas sooner. item Number: 2 Description: The written emergency plan did not include adequate procedures for the following item(s): a. receiVing, identifying, or classifying notices of events requiring an immediate response. b. establishing or maintaining communication with fire, police, or other public of?cials. c. prompt and effective response to a notice of each type of gas emergency d. availability of personnel, equipment, tools or materials as needed at the emergency scene e. actions to protect people first f. emergency shutdown and pressure reduction in any-section of the system Q. making safe any actual or potential hazard to life or property h. notifying appropriate ?re, police, or other public of?cials of gas emergencies coordinating both planned actual responses during an emergency. i. safely restoring service outages j. beginning investigative action as soon as possible after the emergency Requirement: 49 CFR 192.615(a) Notes: Description: Other: Emergency Plan Location: 221 West Tennie St. Gainesville, Texas Comment: Atmos did not make the appropriate emergency shutdown and pressure reduction in the section of pipe at the corner of West Tennie and South Weaver to minimize hazards to life Railroad Commission of Texas .3 3" 95/2013 03:53 Pipeline Evaluation System Page 2 0f 2 Field Package ID5107032, SpecialiZed-l Accident Alleged Violations System; 61023? HP 75# Evaluation 20130194 and property. Pipeline Failure lnvestl" ?ion Report Pipeline System: Gainesville I-IP75 (610237) Operator: Atmos Energy Mid-Tex, Corp. Operator ID: 6776 Unit Number: 3419 Activity Number: n/a Location: Weaver Tennie Date of Occurrence: 1/24/2013 Material Released: Natural Gas Quantity: unknown PHMSA Arrival Time Date: 9:35 am. 1/24/13 Total Damages 3? $50,000.00 Investigation Responsibility: I 23:. State PHMSA NTSB _Other Corrosion Natural Force Damage Excavation Damage City of Gainesville repairing water leak, struck gas line Other Outside Force Damage Material Failure (Pipe, Joint, Weld) Equipment Failure Incorrect Operation Other Ru ture Leak Fire losion House explcision, then ?re Evacuation Number of Perseus: AreaShort summary of the Incident/Accident scenario On Thursday, January 24, 2013 at approximately 7:00 am, a house explosion cecurred at 221 West Tennie Street, Gainesville, Texas. There were no injuries that resulted from the incident. Subsequent investigation revealed that 'a sink hole was created due- to a leak in a 12 inch water main. When the. City of Gainesville?s Water Department started to dig up the water main, their dump truck fell into the sink hole which caused the service line to- 527 South Weaver Street to be pulled from the service tap. The natural gas distribution system is owned and operated by Atmos Energy. Region/State: Region 6, TX Reviewed by: Principal Investigator: J.W. Riley Title: Date: 1/24/2013 Date: Page 1 of18 Form -11 Pipeline Failure Investigation Report (Rev. 03/17/2011 through Amdt. 192-116 195-95). Pipeline Failure Investi" ion Report WRIEEWE 1? Eadie? Em, "l Zi-?li?f?ti manager ?shes i I I I (Acquire Map) Gainesville, TX TX 76240 Coordinates of failure location (Latitude): 33.618717 I (Longitude): -97.147952 Date: 1/24/2013 Time of Failure: unknown Time Detected: 5:30 Time Located: 5:30 How Located: When truck fell into sink-hole it pulled the service line out of the service tap. NRC Report (Attach Report) Time Reported to NRC: Reported by: 1036435 8:15 am. Jackie Thomas Type of Pipeline: Gas Distribution Gas Transmission Hazardous Liquid LNG LP Interstate Gas Interstate Liquid Municipal Intrastate Gas Intrastate Liquid Public Utility Gas Gathering Offshore Liquid Master Meter Offshore Gas Liquid Gathering Offshore-Gas - High HZS C02 M'Low Stress Liquid HVL Pipeline Con?guration (Regulator Station, Pump Station, Pipeline, etc): The natural gas service line to Weaver St. is part of Atmos Energy Gainesville-8:: HP75 distribution system in the Gainesville Unit -. eastaiir??msalify5:22am Owner: Atmos Energy, Mid-Tex Corp? . Operator: Address: P.O. Box 223705 Address: Dallas, Texas Company Of?cial: Jeff Knight Campany Of?cial: Phone No.: (214) 206-2807 .Fax.No.: (214) 206-2126 Phone No. Fax No. Drug and Alcohol Testing Program Contacts Drug Program Contact Phone: 546 Franklin Ave, Massapequa, NY 11758 (800)526?9341 Alcohol Pregram Contact Phone: 546 Franklin Ave, Massapequa, NY 11758 (800)526?9341 1 Photo documentation .. Page 2 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03f1712011 through Amdt. 192-116 195-95). Pipeline Failure Investi? "ion Report -i-r Product/Gas Loss or Spilla) Amount ReCOVered Estimated Ambunt 35 148.27 31.41 MCF >$50,000 Estimated Pro Associated Damages unknown erty Damage (3) The house is a total loss. Customers out of Service: Suppliers out of Service: Description of Property Damage: The house at 221 We3t Tenn Number: 1 Number: ie Street is a one?story partial brick house with a slab feundation. Fatalities: Yes 3 No Company: Contractor: Public: Injuries - Hospitalization: Yes 2; No Company: Contractor: Public: Injuries - Non?Hospitalization: Yes 3 No Company: Contractor: Public: Total Injuries (including NOn?HospitaIization): Company: Contractor: Public: Yrs. w/ Yrs. Name Job Function Comp. Exp- Type of Injury .. ?col: . 'Were all employees thatcould have contribute toe the 32 hour time frame for all other drugs? cident, post-accident tested ihin the 2 hour time fr ame for alcohol ori _X_Yes Results Job Function Test Date Time Location Type of Drug Pos Neg. Field Supervisor PM Mcleroy and Klam x. A Medlcal Senior Service Tech PM l-Mcleroy Gibbs and Klam I A Medlcal Senior Construction 01/24/13?2z30 PM McIeroy Gibbs and Klain . Operator Medical Corrosion Tech 01/24/13-2z40 PM Meleroy Gibbs and Klam Medlcal Crew Leader 01/24/13-2z20 PM Mcleroy Gibbs and Klam Medical Construction Operator "01/24/13-2z45 PM Mcleroy Gibbs and Klam Medical 2 Initial volume lost or spilled 3 Including cleanup cost Page 3 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03H 712011 through Arudt. 192-1168: 195-95). Pipeline Failure lnvestii? ion Report . . ?it. 1r. ,i .- u; Describe the Oper tor's System: Atmos records were reviewed to obtain information regarding the operation of the'pipeline system. The natural gas distribution system is owned and operated by Atmos Energy Corporation. The Gainesville distribution system has a maximum allowable operating pressure (MAOP) of-35 psig. At the time of the incident on Thursday, January 24, 2013 theactual operating pressure was 25 psig at the District Regulating Station (DRS) 09. The service line for 527 South Weaver was a 1 inch mill wrapped steel line. Length of Failure (inches, feet, miles): Position Bottom, include position on pipe, 6 O'clock): (1) Description of Failure (Corrosion Gouge, Seam Split): (1) At service tap Service line pulled from service tap Laboratory Analysis: Yes No Performed by: Kyle Young, Quest Fire Analysis Preservation of Failed Section or Component: __X__Yes _'No The Service Tap and the service line that If Yes Method: was separated from each other were cut off and taken for analysis In Custody of: Kyle Young, Quest Fire Analysis Develop a sketch of the area including distances from roads, houses, stress inducing factors, pipe con?gurations, direction of ?ow, etc. 'Bar Hole Test Survey Plot, if included, should be outlined with concentrations at test points. Manufacturer: Model: Pressure Rating: Size: Other (Breakout Tank, Underground Storage): "mean; steel I Wall ThickneSs/SDR: linch Installation Date: 1960?1970 SMYS: Manufacturer: unknown Longitudinal Seam: Type of Coating: 'mill wrap- Pipe speci?cations (API 5L, A-STM Ass, etc.): Type: Dresser coupling Procedure: n/a .NDT Method: n/a I I I Inspected: HXH Yes _No Page 4 of 18 Form -11 Pipeline Failure investigation Report (Rev. 03i17i2011 through Amdt. 192-116 195?95). F?s; Pipeline Failure Invest? ?IE-ion Report Pressure=:@ Failure Site: 25 - Elevation Failure Site: Pressure Readings Various Locations: Direction? from Failure Site LocationfMP-JStation' Pressure (psig) Elevation (ft msl) Upstream DRS 09 25 i ?2 I Type of Product: API ?Gravity: Spe?i??Gravity= i. new Rat-ear Pressure Time of Failure (4) - Distance to Failure Site: High Pressure Set Point: i I Low Pressure Set Point: "Speci?c . I Flow Rate: I Pressure Tinte'ofailure i? I Distance to Failure Site: High PressureSet Point: I Low Pressure Set Pointz? Max. Allowable Operating Pressure: 35 ps?i'g; Determination 0f MAOP: Actual Qperating Pre'ssure: 25 psig Method of OVer Pressure Pretection: relief valve Relief valve'Set Point: 35 psig I Capacity A?dequate? a. .. 3 Pressure test conducted in place? (Conducted on Failed Components or'Associated Piping): If No, tested'a?er removalMethod; Describe any failures during the test. Piping had not been tested at the time of this report. comm of ail-6T} ear Some of the soil was washed away. Type of Back?ll (Size and dirt and Sand" 4 Obtain event logs and pressure recording charts Page 501' 18. . Form ?11 Pipeline Failure Investigation Report (Rev. 03i17i201.1 through Amdt. 192-116 195?95). Pipeline Faiiure Invest"? :tion Report . :1 1 ?iv Water Analysis (5) Yes No =16: er- 34377.External? Corrosion? Yes No (I) Coating Cendition (Disbonded, Non-existent): (1) Good Condition Description of Corrosion: No Corrosion Description of Failure Surface (Gouges, Arc Burns, Wrinkle .Bends, Cracks, Stress Cracks, Chevrons, Fracture Mode, Point of Origin): Above-Ground: __Yes No (I) Buried: Yes No U) Stress Inducing Factors: Depth of Cover; 32 ?i ~erarrsr._ reassem- . (Interface):- Soil Resistivity: pH: Date of Installation: 1975 Method of Protection: Anode Bed Did the Operator have knowledge of Corrosion before the Incident? Yes No l-Io'w Discovered? (Close Interval Survey, Instruinented Pig, Annual Survey, Recti?er Readings, ECDA, etc): Yes Internal Corrosion: Yes Type of Inhibitors: Testing: Yes No Results (Coupon Test, Corrosion Resistance Probe): DeScription of Failure Surface (MIC, Fitting, Wall Thinning, Chev'mns', Fracture Mode, Point o?Origin): Cleaning Pig Program: Yes, No Gas and/or'Liquid Analysis: Yes No Results of Gas andfor Liquid Analysis (6) 5 Attach copy of water analysis report 6 Attach copy ofrgas andfor liquid analysis report Page 6 of 18 Form -11 Pipeiine Failure Investigation Report (Rev. 03f17!2011 through Amdt: 192-116 195-95). Pipeline Failure Invest?" tion Report steelsel?nsiar?gmmam Mt: Internal Inspection Survey: Yes No Results (7) Did the Operator have lcnowledge of Corrosion before the Incident? Yes No How Discovered? (Instrumented Pig, Coupon Testing, ICDA, etc): -1. Responsible Party: City of Gainesville Address: 104 W. Hird, Gainesville, TX 76240 Work Being Performed: Emergency Water Line Repair Equipment Involved: Backhoe and Dump truck Called One Call System? Yes No One Call Name: Dig Test One can Report (3) TS 1302433575 Notice Date: 01/24/13 Time: 2:24 AM . Response Date: 01/24/13 Time: 3:27 AM Details of ReSponse: The response was fast due to an emergency locate for a 12? water main break Was Location Marked According to Procedures? w_X_ Yes No Pipeline ?Marking'Type: Flags and Paint Location: Service Line and Main (1) State Law Damage Prevention Program Followed? Yes No I No State Law Notice Required: Yes _No Response Required: Yes I No Was Operator Member of State One Call? Yes _No Was Operator on Site? Yes No Did a de?ciency in the Public Awareness Program contribute to the accident? _Yes No Is OSHA Noti?cation Required? Yes No 7 Attach copy of internal inspection survey report 8 Attach copy of one-call report Page 7 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 0331712011 through Amdt. 192-116 195?95). Pipeline Failure Invest: ion Report . . a 2? water Flooding, Erosion): City water from a I Description (Ea -. are-?aw; - Eateralsetqng Squeeze-Off/Stopple Location and Method: Shut off at the service tap on the main. Valve Closed - Upstream: Dresser coupling I I.D.: Time: 12:00 PM on Thursday, January 24, 2013 M.P.: Valve Closed I.D.: Time: M.P.: Pipeline Shutdown Method: Manual Automatic SCADA Controller ESD Failed Section Bypassed or Isolated: Isolated Performed By: Atmos Energy - - Valve Spacing: v- ?ag-3m- Gas Odorized: Yes No I I I Concentration of O-dorant (Post'lhcident at Failure Method of Determination: Heath Odorator LEL: Yes N0 Gas In Air: Yes No - Time Taken: Yes No 1:35 PM I Was Odorizer Working Prior to the Incident? Type of Odorizer (Wick, By?Pass): Yes No Odorant Manufacturer: Chevron Type of Odorant': Mercapatan Model: YZ Amount Injected: .97 per LBS Monitoring Interval (Weekly): Weekly Odorization History (Leaks Complaints, Low Odorant Levels, Monitoring Locations, Distances from Failure Site): Distance to Odorizer? 35 miles Location: Line FA to Line Leak Investigation Orders were reviewed for all of South Weaver Street and West Tennie Street for period of 12 months, no were relevant to this investigation. 1. ?Temperature: 50 Degrees I - Wind (Direction Speed): Calm Climate (Snow, Rain): Foggy Humidity: 80% Was Incident preceded by a rapid weather change? Yes No Weather Conditions Prior to Incident (Cloud Cover, Ceiling Heights, Snow, Rain, Fog): Fog Page 8 of 18 Form-11 Pipeline Failure Investigation Report (Rev. 03f17f2011 through Amdt. 192-116-& 195-95). "hi??fun. Bar Hole Test of Area: Yes No Equipment: and CGI- in the immediate area of the incident. Method of Survey (Foundations, Curbs, Manholes, Driveways, Mains, Services) (9) There was no gas concentration found (1-) -. .r 5-6 by the medium loss): be or were affected OPA- Contingency Plan Available? No Yes ?Emma-1: i??Jvhaaw .. Class Location: 1_ 2 4 HCA Area? Determination: Determination: Odorization Required? No 4? Duration (hrs) Pressure (psig) Req? (1?)Assessment Deadline Date Test Date Test Medium Installation; Next Next Most Recent Describe any problems experienced during the pressure tests. ESMYS 1% 4? . ?1 Req?d Assessment? Assessment Type ILI Other Indicated A?om?ly Deadline Date Date I Tool (11) Method (12} If yes, describe below? Initial Yes No Next II Yes No Next Yes No Most Recent Yes N0 9 Plot on site description page . 10 As required of Pipeline Integrity Management regulations in Parts 192 and 195 11 MFL, TF1, UT, Combination, Geometry, etc. 12 ECDA, ICDA, SCCDA, ?other technology,? etc. Page 9 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03i1712011 through Amdt. 192-116 Pipeline Failure Invest?" ??jtion Report 4452?}: av - Jag: pipe, and any subsequent pipe inspections (anom Describe any previously indicated anomalies at the faile actions. Yes (describe below or on attachment) Np If there was such a known pre?failure condition, had the operator established ~and adhered to a required?)- evaluation and remediation schedule? Describe below or on attachment. Yes No Prior to the failure, had the Operator performed the required actions to address the threats that are'now known to.be.relatcd to the cause of this failure? Yes No 1 List below or on an attachrnent'such operatorqdentified threats, and, operator actions taken prior to the accident. Describe any previously indicated anomalies at the failed pipe, and any subsequent pipe inspections (anomaly digs) and remedial actions. . Illa we. r? 7' Are Mapsand Records 6mm? (13) Yes I No Comments: Looked at leak survey records, Cathodic Protection (CP) Records, CP Maps, and Service history records. i. i?vh-u ak survey History'(Trend Analysis, Leak-Plots): Ma z- . . airs; Description (Repair or Leak Reports, Exposed Pipe'RepIo'rt'S): Records were reviewed for un-repaired andrepaired leaks; there were no u'n-repaircd or repaired leaks for 221 West Ten'nie Street or 527 SoutHWeaver Street. There . No repaier have been done to service line since it was installed. Did a Safety Related Condition Exist Prior to Failure? Yes No Reported? Yes No Unaccounted For Gas: 1 I l3 Obtain copies.- of maps and records - Page 10 of18 . Form -11 Pipeline Failure Investigation Report (Rev. 03171201 1: through Amdt. 192-1'16 195-95). Pipeline Failure Invest}; a?O? Report k. -.4 - I . - guidmei?nerateaf?atqu-' Over Short/Line Balance (24 hr, Weekly, Name: Job Function: Title: Years of Experience: Training (Type of Training, Background): Was the person ?Operator Quali?ed? as applicable to a precursor abnormal operating condition? _Yes No Was quali?ed individual suspended from performing covered task Yes Type of Error (Inadvertent Operation of a Valve): Procedures that are required: Actions that were taken: Pre-Job Meeting (Construction, Maintenance, Blow Down, Purging, Isolation): Prevention of Accidental Ignition (Tag Look Out, Hot? Weld Permit): Procedures conducted for Accidental Ignition: Was a Company Inspector on the Job? No Was an Inspection conducted on this portion of the job? Yes No Additional Actions (Contributing factors may include number of hours at work prior to failure or time of day work being conducted): Training Procedures: Operation Procedures:- Controller Activities: Years Hours on Duty Shift Name Title . Experience Prior to Failure Alarm Parameters: High/Low Pressure Shutdown: Flow Rate: Procedures for Clearing Alarms: Page 11 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03f17l2011 through Amdt. 192-116 195-95). Pipeline Failure Invesl tion Report EhType of Alarm: Company Response Procedures for Abnormal Operations: Over/Short Line Balance Procedures: Frequency of Over/Short LineBalance: Additional Actions: Page 12 of 18 1 Form -11 Pipeline Failure Investigation Report (Rev. 03(1712011 through Amdt. 192-116 81 195-95). Pipeline Failure Report Up, Use of Evacua'tors, Line Purging, closing Additional Valves, Double Block and Bleed, Continue Operating Pumps): Pre-Explosion: On Thursday, January 24, 2013; upon arrival Atmos Technician began taking gas reading. He found 45% natural gas reading in the sewer to 221 West Tennie and 4% natural gas reading to 217 West Tennie, which he then Evacuated both .homes. Soon more Technicians arrived and they began to evacuate more of the homes surrounding 221 and 217 West Tennie Street. Once the area was evacuated the technicians started to monitor sewer vents of surrounding homes in a two block radius. Explosion occurred at approximately at 7:00 am. Post-Explosion: Atmos crew began to expose the main north and south of the incident; so that they could install a stOpple ?tting on the pipe to the north, and squeeze the poly main to the south of the incident. Other Atmos technicians went around to all the houses in a two block radius and turned the service off and disconnected the meter from the house. Atmos was able to shut the gas off at the service tap (11:59 am). Railroad Commission Pipeline. Safety Inspectors and Atmos Technicians walked a two block radius with an RMLD checking for leaks that may have occurred due to the explosion. Atmos Technicians surveyed a two block area and bar holed areas where leaks were found. A total of two new leaks were found that were rated at a grade 3 levels. Both of these leaks where repaired on January 24, 2013, before Atmos left the site. Railroad Commission Pipeline Safety Inspectors and Atmos Technician performed an Odorant test. Also check timeline below Overall Area from best possible view. Pictures from the four points of the compass. Faile Component, Operator Action, Damages in Area, a Address Markings, etc. Photo Photo NO- Description NO- 1 See photo pages Page 13 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 0311712011 through Amdt?. 192-116 195-95). Pipeline Failure Invest: ?ifion Report Camera Type: Page 14 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 0311772011 through Amdt. 192-116 195-95). Pipeline Failure Invest .tion Report Agency Name Title Phone'Number Police: I Fire Delot: Steve 'Beene Fire Chief (940) 668-7777 Fire Marshall: Jody Henry Fire Marshal (940) 668-7777 State Agency: NTSB: I EPA: USCG: FBI: ATF: OSHA: Insurance Co.: FRA: MMS: Television: Newspaper; Fire Ingestlgator (Atmos (281) 900_6214 ontractor Other: Kyle Young (QuestFire Analysis) Name Title Phone Number Jackie Thomas Operation-Supervisor Page 15 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03l17i2011 through Amdt. 192-116 195-95). Pipeline Failure Invest.? Ltion Report [e .. dew-ma -af - - .. .-.-- - .. .u . - - . Sequence of events prior, during, and after the incident by time. (Consider the events of all parties involved in the incident, Fire Department and Police reports, Operator Logs and other government agencies.) Time Date Event 01/24/13- 1:36am The City of Gainesville received a call about a water main break on Weaver St. 2:00 am The City of Gainesville called Heath Consultants for an emergency lecate 3:27 am Heath Consultants on site to do locates 3:30 am City of Gainesville workers start to set up to ?x the water main - - Dump felliinto'a sinkhole thatwas created by the water main break just under the. asphalt surface. 4:32 am Atrnos Call Center received call for a hit line at Tennie and Weaver, not sure if it is the main or service 4:39 am Dispatched order was given to JoeBob Jones 4:53 am Joe Bob Jones en-route I I 4:56 am Joe Bob Jones arrived on-site at Tennie and Weaver and began to assess the situation; he noticed that gas was the water. He found 45% natural gas reading in the sewer to 221 Tennie and 4% natural gas reading in sewer to 217 Tennie. He evacuated bothhomes and turned off gas supply at meter and drained house piping. 5:04 am Joe Bob Jones called Johnny Richey (Crew Lead) and advised him of situation and that the crew would be needed. Johnny Richey arrived and assisted with the evacuation of surrounding homes and moving them to a safe location I 5:41 am Crew arriVed, secured area from public and city crews; continued to monitor sever vents of homes surrounding the location. Additional manpower was called in 6:40 am Additional service technicians arrived and started checking all 'sev'ver vents to the homes in the area 7:00 am Explosion at 221 West Tennieresulting in house ?re 7:01 am Gainesville?s ?rst responders arrived on-site 8:00 am Jacky Thomas (Operations Supervisor) arrived-on?site, Crews had exposed 6? main north of the affected area and were working at exposing .the south location, Noti?ed TRC and PHMSA about the incident, Fire Departmentinformed him that power had been shut off to the affected area. 8:18 am Railroad Commission Investigator .W. Riley received noti?cation and was en-route to incident 9:15 am Welders arrived and began cleaning pipe at north excavation for installation of stopple ?tting, other Atmos workers Continued monitoring sewer vents and manholes 9:35 am Railroad Commission Safety inspectors .W. Riley, Goodluck Onukwufor, and El Rodriguez arrived on-site 9:40 am Welders started to weld on stopple ?tting 10:40 am Welding complete for stopple ?tting and pressure test of ?tting started, City and Fire department 1 1:00 am City Water ?nal cut off and crews began to pump water out of sinkhole 11:59 am Gas leakhad been shut off 12:15 am Leak survey started for a two block radius 1:30 pm Odorant test performed by Rocky Cross with Railroad Commission Inspectors- 4:00-9:00pm Atmos repaired additional leaks that were found during 2 block survey - 9:30 pm Atmos deemed area secure and left the scene Page 16 0f1_8 Form -11 Pipeline Failure investigation Report (Rev. 03i17i2011 through Amdt. 192-116 195-95). Pipeline Failure Invest? tion Report Time Date Name Description 9:30 am 01/25!? Jacky Thomas Meaty/111th h1m at Sherman of?ce to go: over the post meldent 1nterv1ew/got called out to another incldent 9:30 am 02/08/13 Jacky Thomas Meet with him at Sherman to ?nish post interview ASked Mr. Boone if they had a time line for the incident; He stated he would have Jody Henry send it to me. Received the time line for the City of Gainesville Fire Department 11:00 am 02/21/13 Steve R. Boone 11:32 am 02/27/13 Jody Henry Opeiater: Atmos Energy Unit I I Date: Appendix Date FOIA Number Documentatlon Descriptlon Received Yes NO Photo Pages Atmos Energy 30 Day Report NRC Report Line Locate Ticket Odorization- ferm Sketch of incident Investigative Report by Fire Marshal Jody Henry 2/27/13 . Page 17 of 18 Form -11 Pipeline Failure Investigation Report (Rev. 03/17/2011 through Amdt. 192-116 8. 195?95). Pipeline Failure in vest? ?tion Report 1' Far . mm at . Provide a sketch of the area including distances from roads, houses, stress inducing factors, pipe con?gurations, etc. Bar Hole Test Survey Plot should be outlined with concentrations at test points. Photos should be taken from all angles with each photo documented. Additional areas may be needed in any area of this guideline. West Tennie Street 221 West Tennie St. South Weaver Street I Location of Line Strike and water main break 527 s. Weaver St. sin-?me? Sewage system 16" water main 6" MW Steel Main 3" Poly- Main Service Line Meter Page 18 of 18 Form -11 Pipeline Failure Investigation-Report (Rev. O3i17!2011 through Amdt. 192-116 195-95). 9?1" :2 . 3 ?Comjpi??y??a'njm. Atmos Energy Mid-Tgxu'Corp. :Eiia'lua'titgthUmlg?lg: 1 fl c'ityI-Sygt'em: bate: 01:24:13 Metal?: i 1191:): ?gural-imp) none; 'e-uqrigatm Tests: (j'Ms?iFMefer- . on Nona: bdgn-?Te?i-Mequate I32 Y?'ar?Rat'?'ritian- iapsenug?u?te 7111-1932? (Nib? I 'bdotiz?r?aonm Od?'rizbgi'r'il?bca?o?; .l ll m1 IE mow: TankICapieicity lbs. r651. h?m?F odoganfmuded 4? b?dbfraiitj??fc'i' I . 7 {-iG?ah . ..1-.. .- .. . . .. .. I I?.i 0'1- "i memmzaawmamm :(jpm?tjer- .(?g?jth?r IHeath Odorator sgqaml 2913-5 1.1465110926171951: I Meter 601 Weaver lflf?s't'fDit?J 01124113 ?d?r??rm?tance= I lMilew-Ya?frus-iE?et fill? ?3 In. - TESTF In-Aifair-1m . . run: - i. 5' 1 Evaluator; (W Fitnesg: 1- ?mam-'9' JWRHEY Name ky Cross y. "(master (smit? ?iPlh'q'erZif?hD tapzavailablofometer; ?lnst?rume?tiilseda derizerinistancm= :l [Mimi-1- Yards r-?Fefet AMI ?hm TES-?f-TlP?r??ni-gas' ih' firSt=d?i??t??f v- . . . TESTEZEGHbran'tEb'?cE?tratibn 511%- .Ga?thi Alf 491555131131; :S'lgn?t'u Signature: Wit'?'o'ss'? Eialu'atb'ri gammaEy?io??mzi: Search Status 0 Page 1 of 1 L. .H LONESTAR 81 1 Ticket No: 530136904: .EMER-EMERGENCY NEW TICKET Transmit Date: 01:24:20? Time: 02:13 0p: wiatlani Original Call Date: Time: 02:08- Op: wiatlant .: work to Begin Date: 01:24:2013 Time: 02:15 Caller information Company: CITY OF GAINESVILLE Fax Phone: (940) sea-453?s Contact Name: JOHN SHORES Contact Phone: (940) 668?4540 Ext: 5- Contact Email: Ireed@cogtx.org Contact Name: JOHN SHORES CELL Alt. Contact Phone: (940) 902-7073 Dig Site-Information Type of work: EMERGENCY REPAIR OF WATER MAIN Work-Being-Done Explosives: Duration: 6. HOURS Digging deeper than 1 6in.?: Dig Site Location State: TX County: COOKE Place: GAINESVILLE Address: Street: 8 WEAVER ST Nearest Interse cling Street: ST Extent of Work: MARK A 1OIJFT RADIUS OF THE INTERSECTION. WATERIS VISIBLE. Remarks: 1 CALLER STATESCREW IS ROUTE Map: Page: Grid Cells: Map: Page: Grid Cells: Members District Code Companyr Name Marking Concerns DamageiReISair Customer Service .. 1/24/ 20 1 3 Ticke1#1'302483575 Page 1 of 1 #1302483575 We have made?minor formatting changes on this page. If this causes problems. please email us at W. Thank you. Priority: Emergency' By: Stephanie Source: LSN Hnurs Notice: 1 type: Emergency Date: 1/24/2013 COMPANY INFORMATION CITY OF GAINESVILLE Tvn'e: Contrattor 10.4 HIRD ST Cailer Name: JOHN SHORES GAINESVILLE. TX 76240 Caller Phone: (940) 668?4540 Callback Time: 6800 1700 Phone: (940) 668?4540 Fax: (940) 668?4536 Contact: JOHN SHORES Alt. Contact: (940) 902-7073 CaII_e_r Email: ?am 4- WORK INFORMATION Stare: TX mm Data: 0112412013 at 0230 Type: EXCAVATION County: COOKE Danerar: CITY OF CAINESVILLE Duration: 6 HOURS Place: Street: 5 WEAVER ST No Mapscoz lritersection: TENNIE ST Deeper than 16*: Yes Nature bf EMERGENCY REPAIR OF WATER Whitelined: No Work: MNN REMARKS TICKET: 530136904. ORIGINAL FILE: WORK DATE: 3 2:1 5:00 AM MARK A IOOFT RADIUS OF THE INTERSECTION. WATER VISIBLE. CALLER STATES CREW IS EN ROUTE . .. . . .. .. 1- .. .. .. MEMBERS CODE NAME ADDED MAN ANO (NORTH) No SME ONCOR ELECTRIC (SHERMAN) No TXNE TXNE - No wu LEVEL 3 COMMUNICATIONS No 1/24/2013 COMPANY NAME: 221 ,ennie St. Gainesville, Texas EVAL 20130194 INSPECTOR: .W. Riley DATE: 01/242'13 DATE: I 13424413 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: Atmos crew checking houses in a two block radius for natural gas. Pic 4 DAT-E: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: South side of the house Pic 5 DATE: 1-24-13 PHOTOGRAPHER: Elielv Rodriguez DESCRIPTION: West side of the house Pic 6 Iroad Commission of Texas Ine Evaluation System Investigation Report Inspection Package ID 107032 9/5/13 9:01 AM Page 1 of 4 '4 Incident ID: 767 Company Name; ENERGY CORP.. MID-TEX DIVISION Company ID: 6776 Alternate Company Name: Contact Type Name Company I Af?liation Phone Number Pipeline Operator Jackie Thomas ATMOS ENERGY CORP.. MID-TEX 214-316-4633 idt etail .. Investigation Status: Closed Date of Incident: 1/24/13 5:45 AM Drill? No Date Reported: 1/24/13 8:15 AM ed Date: 1/24/13 8:33 AM Assigned Inspector: James Riley Incidetocation Inspector Noti? Mea_rest City: Gainesville Location/Street Address: Weaver And Tennie Region: Fert Worth County: COOKE road Commission of Texas Pi ne Evaluation System Investigation Report Inspection Package ID 107032 9/5/13 9:01 AM Page 2 of 4 Incident ID: 767 Synopsis City of Gainesville Water Department was repairing a water leak in the early part of the morning of 01/241201 3. At 5:27 am their dump truck fell into a sink hole (that was caused by the water leak), which caused the service line to be disconnected from the service tap. Crews evacuated residents in a 300 foot radius. Gas migrated through sewer system into the house at 221 West Tennie. At 7:00 am. the house exploded that was then followed by a ?re. Investigation (Include a probable cause statement for incidenb?accident investigation) On the morning of January 24th, 2013 at 1:36 am; the City of Gainesville's Public Services Department received call from the City of Gainesville's Police Department about the possibility of a water main break at the corner of South Weaver and-West Tennie. Public Services Department had a crew on location and called in emergency locates at 2:00 am. At 3:27 am Heath Consultants arrived onsite to perform the line locates, which then the Public Services Department started to setup their equipment to start'working. Just as they began to dig, the right-rear tandem Wheels of the dump truck, that they had parked close by, fell into a sinkhole that was created by the water main break. The Public Service Crew used a backhoe to pull the dump truck out of the hole and then set the back hole back up to continue digging. This is when the- crew noticed that natural gas was bubbling up through the water. At 4:32 The Public Service Crew called Atmos Energy to inform them that they had hit the line. Joe Bob Jones (Service Technician with Atmos Energy?) arrived at South Weaver and West Tennie at 4:56 am and began to assess the situation. He noticed gas blowing up through the ground and water, and then he found 45% natural gas reading in the sewer for 221 W. Tennie and 4% natural gas reading in the-sewer to 217 W. Tennie. Mr. Jones evacuated both of these homes, turned off the gas supply at the meters and. disconnected the meters from house piping. More Atmos personal?showed up, from 5:04 -5:40 am; they determined they could not stop the flow of gas until the flow of water was stopped. Atmos personal then started evacuating surrounding homes, monitoring these homes for natural 'gas, and turning the gas off at each house at the meter and disconnecting the meter from house piping. At 7:00 am an' explosion occurred at the house at 221 West Tennie, which resulted in a house ?re. The City of Gainesville's ?rst responders were on site at 7:02 am and by 8:00 am they had extinguished the ?re. The evacuation area then went surrounding houses to a one block radius. Railroad Commission (RRC) investigators James (J-.W.) Riley, Goodluck Onukwufor, "and Eliel Rodriguez arrived onsite at-9z35 am to conduct an onsite investigation. They spoke with City. of Gainesville personal, Atmos personal, and Heath Consultants personal about prior events and the current status. The City of-Gainesville ?nally got the-water main shutoff and the water started to recede at 11:00 am. Atmos Constructibn and Maintenance Crew then started to dig to ?nd the leak, while the Public Services Crew pumped the water out of the sink hole. At 11:59 am Atmos Crew had located the leak and had stopped the ?ow of gas. At 12:15 pm a leak Survey in a one block radius was conducted by Atmos employees Ricky Cross and Dennis Hall, under the guidance of RRC inspectors, using a- Heath Remote Methane Leak Detector (RMLD). At every location the RMLD would locate gas another group of guys would bar hole to determine if there was a leak. A total of 4 leaks were located. each of which were repaired that" day by Atmos. An odorant concentration test was taken at the meter for 601 South Weaver using a Heath Odorator (SIN: 2918-5). The results of the test yielded a strong odor concentration at 1% readily detectable level. After the incident, selected record's, maps and procedures were reviewed at 5111 Blue Flame Rd, Sherman, TX 75090. The leakthat caused the explosion at 221 W'Tennie, was a result of the dump truck right rear tandem axle falling into a sinkhole. This caused asphalt from the street to fall on the service line going to 527 S. Weaver, which caused the Toad Commission of Texas Pi ne Evaluation System investigation Report inspection Package ID 107032 '9/5/13 9:01 AM Page 3 of 4 Incident ID: 767 service line to be separated from the service tap. Natural gas then migrated its way through the sewer lines into the house at 221 W. Tennie in which?it found a source of ignition and ignited andcaused an explosion that was followed by a-fire. Emergency ReSponse (Complete for in'cidentfaccident investigations) On January 24th, 2013 at 4:32 am. Atmos Energy Call Center received call from The-City of Gainesville of blowing gas from either the main or a service line at the corner of W. Tennie and S. Weaver. At 4:39 am Joe Bob Jones was dispatched to the Leak At 4:56 am Joe Bob Jones had arrived at the corner of W. Tennie and Weaver. He took immediate action, which lead himto evacuate 221 W. Tennie and 217 W. Tennie. From 5:04: .till 6:40 am a Crew arrived as well as..o'ther' Atmos Service technicians. They wentright into action in evacuating surrounding- homes and monitoring sewer and homes-for natural gas. At 7:00 am an explosion occurred at the house at 221 W. Tennie. which was then followed by a fire. An alarm was sounded at the Fire Station At 7:02 am the first responders for the Gainesville Fire Department was onsite At 8:00 am the fire had been extinguished. both Atmos Energy empibyees and rescue crews evacuated homes in a one block radius. The Texas Railroad Commission and Pipeline and Hazardous Materials Safety Administration were notified about the incident. ?road Commission of Texas Pix ne Iii/aiuation System Investigation Report Inspection Package ID 107032 95/13 9:01 AM Page 4 of 4 Incident ID: 767 Part A-Key Report Information Report is ?nal? Yes OPS Operator Identi?cation Number: 31348 NRC Number (from Incident Detail): 1.036435 Volume of commodity released unintentionally: 31 BBL Volume of commodity released intentionally: 0 Volume of commodity recovered: . 0 Fatalities? No Injuries requiring inpatient hospitalization? No Operator employees: 0 Operator employees: 0 Contractor employees working for the Operator: 0 Contractor employees working for the Operator: 0 Non-Operator emergency responders: 0 Non-Operator emergency responders: 0 Workers working on the right-of-way, Workers working on the right-of?way, but NOT associated with this Operator: 0 but NOT associated with this Operator: 0 General Public: 0 General Public: 0 Total Fatalities: 0 Total Injuries: 0 Part C-Additional Facility Information Incident Occured On: Service Line Failure Occured On: Material Involved: Steel Install Year: Part D-Additional Consequence Information HCA or No Public and non-operator costs: 100,000.00 Cost of commodity unintentionally released: 150.00 Cost of commodity intentionally released: Cost of property damage and repair: 500.00 Cost of emergency response: 3 5.000.00 Cost of environmental remediation: Other costs: Total costs: Part G-Apparent Cause Incident Cause (Con?rmed): Other Outside Force Damage Sub-cause: Damage by Car, Truck, or Other Part H-Incident Summary While Atmos Energy was responding to an emergency line locate for the City of Gainsville to repair a major water leak, the water repair crew was setting up to prepare to excavate the water leak. During this process, the city's dump truck fell through the street on top? of the gas service line, causing a leak. 6" MW Steel Main 3 Weaver St ?99! 221 Tennie St. Tennie Service Tap 3" Poly 8 Weaver St Location of Sink Hole 587 Weaver St COMPANY NAME: 221 :nnie St. Gainesville, Texas EVAL 20130194 INSPECTOR: .W. Riley DATE: 01/24/13 DATE: 1?24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: This is showing the sink hole that the dump truck fell in and the house. Pic 1 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: This is the sink hole before the water was turned off. Pic 2 DATE: 1-24-13 PHOTOGRAPHER: Elie] Rodriguez DESCRIPTION: Showing natural gas bubbling up through a puddle of water Pic 3 i. COMPANY NAME: 221 . ennie St. Gainesville, Texas EVAL 20130194 INSPECTOR: J.W. Riley DATE: 01/24/13 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: Atmos crew checking houses in a two block radius for natural gas. Pic 4 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: South side of the house Pic 5 DATE: 1-24-13 PHOTOGRAPHER: Elie] Rodriguez DESCRIPTION: West side of the house Pic 6 COMPANY NAME: 221 :nnie St. Gainesville, Texas EVAL 20130194 INSPECTOR: J.VV. Riley DATE: 01/24/13 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: East side of the house, meter was removed. (This was taken from the south.) Pic 7 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: Sink hole after the water was pumped out and water turned off. This picture shows the crack in the water main, service line, and the aSphalt that fell on the service line. Pic 8 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: This picture shows that the hole was 61? deep. Pic 9 COMPANY NAME: 22] :nnie St. Gainesville, Texas EVAL 20130194 INSPECTOR: J.W. Riley DATE: 01/24/13 DATE: 1-24-13 PHOTOGRAPHER: J.W. Riley DESCRIPTION: This shows the service line and coupling being separated from each other Pic 10 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: The dump truck that feel into the sinkhole Pic 11 DATE: 1-24-13 PHOTOGRAPHER: Eliel Rodriguez DESCRIPTION: Another view of the asphalt laying on top of the service line. Pic 12