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Spill bucket shall be kept clean and dry." In the corresponding Violation checklist, a check was placed next to"HSC 25291(e)-water in secondary(2)cont." Response: The water observed in the spill buckets during the inspection was immediately removed and properly disposed. BP has supplied all ARCO operators with daily checklists which require the inspection of all spill buckets and the immediate removal and proper disposal of all liquid found in the spill buckets. BP has reminded the operator of its duty to comply with this procedure. 3. Alleged Violation: The UST Program Inspection Report stated, "Overfill prevention was not set up correctly. The alarm was not connect for high product. Technician from Tait was able to set up for high product alarm. Overfill prevention shall be able at all time." In the corresponding Violation checklist, a check was placed next to"CCR 2635 (b) (2) Overfill prevention system". Response: A representative from BP's contractor,Tait Environmental,was present during the inspection. As indicated in the Inspection Report,the technician from Tait reset the monitoring panel so that the visual and audible high product alarm operated to Inspector Shih's satisfaction. In addition,the overfill prevention device at this facility also includes a ball float, which would alert the transfer operator when the tank is 90 percent full by restricting the flow into the tank. The operation of the ball float device satisfies the overfill prevention requirement set forth in California Code of Regulations section 2635(b)(2)(A). 4.Alleged Violation: The UST Program Inspection Report stated,"Update Monitoring and Response Pian with provided update form. Provide copy to this office by 2/16/04." In the corresponding Violation checklist,a check was placed next to"CCR 2712 (i) Monitoring&Response plan". Response: In response to your request, enclosed is a copy of the most current Monitoring and Response Plan. 5.Alleged Violation: The UST Program Inspection Report stated,"Pressure line leak detector of 87 &91 failed. Permit is required to replace leak detector. Submit permit application to this office by 2/16/04". In the corresponding Violation checklist, a check was placed next to"HSC 25291 (f)Automatic line leak detectors)". Response: On January 16,2004,BP dispatched its vendor,Elite IV Contractors, Inc.,to address the failed line leak detectors. The technician from Elite IV determined that it was not necessary to replace or repair the line leak detectors. The issue was resolved by removing air from the product line,the technician"bled"the lines of all air and retested with passing results. Enclosed are copies of the Work Acknowledgement Form and passing test results from ElitelV. I have also enclosed the Monitoring System Certification,which includes the annual spill bucket test data sheet, and the electronic leak detector test data sheet. With the transmittal of this letter, it is our understanding that the above-mentioned alleged violations associated with this routine inspection conducted on January 16, 2004 have been resolved. If this is not correct,please contact me as soon as possible. If you have any questions regarding the enclosed documents, or if further action is required by BP/ARCO,please contact me at(800)525-5857 x6233.