On March 19, 2024, an Investigator from PHMSA's Office of Hazardous Materials Safety Field Operations ("OHMSFO") conducted an inspection at Respondent's facility in Jamestown, North Carolina, pursuant to 49 U.S.C. § 5121 and 49 CFR § 107.305. PHMSA's Investigator reported one (1) alleged violation of the HMR and one (1) quality control item. At the conclusion of the compliance inspection, PHMSA's Investigator conducted an "exit briefing," during which the Investigator discussed the alleged violation and quality control item and the required corrective actions with Respondent's representatives.

Upon completion of the inspection, 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 report, on March 31, 2025, an attorney from PHMSA's Office of Chief Counsel electronically issued a Notice of Probable Violation ("Notice"), alleging one (1) violation of the HMR and one (1) quality control item, and proposing a $2,400 civil penalty. Respondent did not accept electronic service of process, so PHMSA's attorney mailed a hardcopy, which Respondent emailed to acknowledge receipt of on April 21, 2025.

Respondent agrees to pay a total civil penalty of $2,400, as full satisfaction of the civil penalty proposed in the Notice, according to the following payment plan. Respondent is to make the first payment of $1,200 by August 1, 2025, after the Chief Counsel issues the Compromise Order, which will issue after Respondent signs and returns this Agreement. Respondent must pay an additional $1,200 by September 30, 2025, until the entire amount is paid. If Respondent defaults on any payment of this payment schedule, the entire amount of the remaining civil penalty shall, without further notice, become immediately due and payable as of the date that the first installment is due.