On January 28, 2025, an Investigator from PHMSA's Office of Hazardous Materials Safety Field Operations ("OHMSFO") conducted an inspection at Respondent's facility in Amarillo, Texas, pursuant to 49 U.S.C. § 5121 and 49 CFR § 107.305. PHMSA's Investigator reported one (1) alleged violation of the HMR. At the conclusion of the compliance inspection, PHMSA's Investigator conducted an "exit briefing," during which the Investigator discussed the alleged violation 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 Southwest 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 violation, as set forth in the Investigator's report, on April 21, 2025, an attorney from PHMSA's Office of Chief Counsel issued a Notice of Probable Violation ("Notice"), alleging one (1) violation of the HMR, and proposing a $4,000 civil penalty. Respondent acknowledged receipt of the Notice on May 15, 2025 and requested an informal conference.

Following assistance from PHMSA's attorney and Investigator in providing the required proof of corrective action, PHMSA's attorney offered Respondent 25% off the Notice penalty to settle the case.