On June 27 and 29, 2023, an Investigator from PHMSA's Office of Hazardous Materials Safety Field Operations ("OHMSFO") conducted inspections at Respondent's facilities in Mobile, Alabama, pursuant to 49 U.S.C. § 5121 and 49 CFR § 107.305. PHMSA's Investigator reported two (2) alleged violations of the HMR. At the conclusion of the compliance inspections, PHMSA's Investigator conducted an "exit briefing," during which the Investigator discussed the alleged violations and the required corrective actions with Respondent's representatives.

Upon completion of the inspections, the Investigator submitted a report to the Director of OHMSFO's Southern Region, who reviewed the report for accuracy and sufficiency of evidence. Based on that review, the Director referred the matter to PHMSA's Office of Chief Counsel, thereby recommending the initiation of a civil penalty action against Respondent, pursuant to 49 CFR § 107.311.

Based on a preliminary assessment of the apparent nature, circumstances, extent, and gravity of the probable violations, as set forth in the Investigator’s reports, on January 18, 2024, an attorney from PHMSA's Office of Chief Counsel issued a Notice of Probable Violation ("Notice"), alleging two (2) violations of the HMR, and proposing a $18,000 civil penalty. Respondent replied via phone call on February 9, 2024.

Respondent called PHMSA's attorney on February 9, 2024, to discuss the case. Respondent also called the reporting Investigator for the case on February 12, 2024. Respondent emailed PHMSA's attorney on February 13, 2024, requesting an informal conference, which was scheduled for February 26, 2024. The informal conference was held on February 26, 2024, and PHMSA's attorney followed up on the informal conference via email on March 11, 2024, with a compromise offer of 25% off the penalty assessed in the Notice, as well as a six (6) month payment plan. Respondent accepted the compromise offer on March 11, 2024.