EPA v. MID-VALLEY PIPELINE

Case summary

ON JANUARY 26, 2005, A 22-INCH PIPELINE OWNED BY MID VALLEY BURST NEAR THE BANK OF THE KENTUCKY RIVER IN THE VICINITY OF PERRY PARK, OWEN COUNTY, KENTUCKY. OFFICIALS SAID THE PIPELINE FAILED AT A WELDED JUNCTION WITHIN 50 FEET OF WHERE THE LINE WAS BURIED UNDER THE RIVERBANK. THIS SECTION OF PIPELINE WAS 52 YEARS OLD. DURING THE RESPONSE TO THE SPILL AND CLEAN UP, MID VALLEY ORIGINALLY ESTIMATED THAT APPROX 1,500 BARRELS (63,000 GALLONS) OF OIL HAD BEEN DISCHARGED. MID VALLEY LATER CHANGED ITS ESTIMATE TO APPROX 1,960 BARRELS (82,320 GALLONS). FINALLY, ON MARCH 18, 2005, MID VALLEY INDICATED THAT THE ACTUAL AMOUNT OF OIL DISCHARGED INTO THE KENTUCKY RIVER AS A RESULT OF THE SPILL WAS 6251 BARRELS (262,542 GALLONS). THE OIL SLICK AT ONE POINT STRETCHED UP TO 12 MILES LONG ON THE KENTUCKY AND OHIO RIVERS. THE SUNOCO DEFENDANTS ARE THE OPERATORS OF THE MID VALLEY PIPELINE. RESIDENTS IN THE VICINITY OF THE SPILL COMPLAINED OF HEADACHES AND NAUSEA AS A RESULT OF INHALING FUMES FROM THE SPILL. LOUISVILLE'S WATER COMPANY DETECTED OIL AT ITS WATER INTAKES ALONG THE OHIO RIVER AFTER THE PIPELINE RUPTURED. AN ASSESSMENT OF DAMAGE TO WILDLIFE IS INCOMPLETE BUT SIX CANADA GEESE AND ONE BEAVER WERE REHABILITATED AND RELEASED AFTER ENCOUNTERING OIL. THE KENTUCKY DEPT FOR ENVIRONMENTAL PROTECTION'S (KYDEP) DIVISION OF WATER ISSUED A NOTICE OF VIOLATION (NOV) TO MID VALLEY ON JANUARY 31, 2005, FOR THE JANUARY 26, 2005, SPILL. THE NOV INCLUDED MID VALLEY'S POLLUTION OF KENTUCKY WATERS AND FAILURE TO REPORT THE SPILL. THE NOV REQUIRED MID VALLEY TO CEASE ALL DISCHARGES, MITIGATE THE DAMAGE CAUSED BY THE SPILL, SUBMIT A PLAN FOR CLEAN UP, REPORT ALL FUTURE DISCHARGES, AND REIMBURSE KYDEP FOR ITS OVERSIGHT COSTS. KYDEP HAS ISSUED A COMPLAINT TO MID VALLEY, RECITING THE VIOLATIONS IN ITS NOV. KYDEP WILL PARTICIPATE WITH EPA AND DOJ IN SETTLEMENT DISCUSSIONS. THE PENALTY SOUGHT IS OVER 6 MILLION DOLLARS. IN ADDITION, INJUNCTIVE RELIEF WILL BE SOUGHT TO ENSURE THAT FUTURE ACTIVITIES WOULD NOT RESULT IN OIL REACHING WATERS OF THE U.S. FOR INSTANCE, MEASURES SUCH AS IN-LINE INSPECTIONS (ILIs) USING APPROPRIATE TOOLS AND SCHEDULED AT APPROPRIATE INTERVALS, COUPLED WITH TIMELY REPAIRS OF DEFECTS IDENTIFIED AS ANOMALIES THROUGH THE ILIs, CLOSE INTERVAL SURVEYS CONDUCTED ON AN APPROPRIATE SCHEDULE COUPLED WITH UPGRADES TO THE CATHODIC PROTECTION SYSTEM FOR PORTIONS FALLING BELOW NACE STANDARDS, INTEGRATION OF ILI AND CLOSE INTERVAL SURVEY DATA TO IDENTIFY AREAS OF DISBONDED COATING, DEPTH OF COVER SURVEYS, AND OTHER OPERATION AND MAINTENANCE MEASURES WOULD BE CONSIDERED. IN THIS CASE, THE MEASURES WOULD INCLUDE ALL STEPS NECESSARY TO ENSURE THAT THERE ARE NO FUTURE SPILLS FROM THE PIPELINE DUE TO EXTERNAL CORROSION, STRESS CORROSION CRACKING, OR GIRTH WELD FAILURES. THIS CASE IS BEING COMBINED AT DOJ WITH A SPILL WHICH OCCURRED IN LOUISIANA (EPA REGION 6) IN 2000

Defendants (5)

• MID VALLEY PIPELINENamed in complaintNamed in settlement
• SUNOCO LOGISTICS PARTNERS, L.P.
• SUNOCO PIPELINE L.P.Named in complaintNamed in settlement
• SUNOCO LOGISTICS PARTNERS OPERATIONS GP LLC
• SUN PIPE LINE COMPANYNamed in complaintNamed in settlement

Facilities (1)

• MID VALLEY PIPELINE - PIPELINE BREAK

  BANK OF KENTUCKY RIVER, PERRY PARK, KY, 40363

  Registry ID: 110028117071

Statutes cited

• CWA 311F — Oil Removal Cost Recovery
• CWA 311B — Oil & Hazardous Substances Discharge

Enforcement conclusions (1)

• MID-VALLEY PIPELINE (04-2007-C001)entered 2006-11-02

  Primary law: CWA

  Federal penalty: $1,400,000 · State/local: $1,170,000

Timeline (7 milestones)

• 2005-05-06Referred To Dept Of Justice
• 2005-07-07Enforcement Action Data Entered
• 2006-08-15Complaint Filed With Court
• 2006-11-02Concluded
• 2006-11-02Final Order Lodged
• 2006-11-02Final Order Entered
• 2008-08-08Enforcement Action Closed