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Speaker Firms and Organization:
Genova Burns LLC
Douglas Solomon, Esq.
Partner
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Presented By:
April 21, 2015
1
Partner Firms:
Connell Foley LLP
Steve Barnett
Partner
Krugliak, Wilkins, Griffiths & Dougherty,
Co. L.P.A.
Jacqueline Bollas Caldwell
Attorney
Brief Speaker Bios:
Jacqueline Bollas Caldwell
Jackie is a director of Krugliak, Wilkins, Griffiths & Dougherty Co., L.P.A. Jackie joined the law firm in 1985, immediately after
matriculation from law school. She was elected shareholder in 1991. She served on the Management Committee of the Firm from
1998-2005. Jackie serves as counsel for numerous businesses in all phases of business and corporate representation, including
corporate and business formation; contract negotiating, advising, and drafting; bank loan negotiation; buying and selling businesses;
handling disputes between minority and majority business owners.
April 21, 2015
2
Douglas Solomon, Esq.
Douglas E. Solomon, a Partner in the firm’s Newark, New Jersey office, is the Director of the OSHA Practice Group and is also a
member of the firm’s Labor Law Practice Group.
Mr. Solomon concentrates his practice in the area of traditional labor law on behalf of management clients in both the private and
public sector. His labor law experience spans a wide variety of industries, including transportation, entertainment, law enforcement,
hospitals, retail, restaurants, charter schools and service industries. His transportation industry experience includes an expertise in
representing clients under the Railway Labor Act and the Occupational Safety & Health Act (“OSHA”).
► For more information about the speakers, you can visit: http://theknowledgegroup.org/event_name/osha-rules-and-regulations-what-you-need-to-know-live-webcast/
Steve Barnett
Steve Barnett is a Partner in Connell Foley LLP’s Environmental Law Group. Prior to his law career, Mr. Barnett practiced as a
Certified Industrial Hygienist and Professional Engineer in the United States Air Force. He frequently counsel clients in OSHA
compliance and enforcement matters. Mr. Barnett is Chairman of the OSHA-New Jersey Industry Communication Alliance, member
of the New Jersey Industrial Safety Council appointed by the New Jersey Commissioner of Labor and Workforce Development, former
President of the New Jersey Industrial Hygiene Association, and holds a Master of Science in Public Health. His legal practice is
devoted to health, safety, security and environment (HSSE) matters in contracts and transactions, regulatory compliance, and
litigation.
Under the US Occupational Health & Safety Act (1970) employers are required to provide a safe and healthful
working environment. OSHA enforces established standards with which all employers must comply. Employers
must also comply with the General Duty Clause of the Act which requires them to keep the workplaces free of
recognized serious hazards.
Employers can face dauntingly complex tasks and confusing language in complying with OSHA’s numerous and
extensive federal and state occupational safety and health standards and regulations. Many employers and their
legal advisors often are un-aware of many of the legal requirements that must be met to ensure the safety of their
workers – such as training.
With the growth of temporary employment status in the US, the Occupational Safety and Health Administration is
focusing upon employers skirting the laws regarding such issues as Injury and Illness prevention and reporting,
safety training deficiencies, and placement of new employees in hazardous positions. In April OSHA announced
the final rule revising and enhancing the standards for electric power generation, transmission, and distribution.
In this webinar, our panel of speakers will review the fundamentals of the Occupational Health & Safety Act (1970)
and, the extent of the authority of the Occupational Safety and Health Review Commission.
April 21, 2015
3
Specifically, the panel speakers will address the statutes involved in OSHA legal practice, the enforcement of and
compliance with the statutes, the regulations promulgated, and the role of the Commission and the courts in
appeals relating to OSHA citations and practices. Other issues addressed will include NFPA changes, the SVE
Program, and practices putting your organization at risk. Whether you are an employment lawyer or a lawyer
representing industrial employees or employers this webinar will be of value.
Agenda:
• OSHA Rules and Regulations: Changes and Implications
• OSHA Injury and Illness Prevention Program (I2P2) Rule, Recording, and Reporting
• OSHA Inspectors: Avoidance and Preparation
• Regulatory Compliance: The Necessary Evil
• Severe Violator Enforcement Program (SVEP)
• 2015 NFPA: Potential Changes
• Role of Courts and the Commission
• Industry View-point: Oil and Gas Safety
• OSHA and United Nation’s Globally Harmonized System of Classification and Labeling of Chemicals
• Practices Putting Your Firm at Legal Risk: Reporting and Training
April 21, 2015
4
Featured Speakers:
April 21, 2015
5
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SEGMENT 2:
Douglas Solomon, Esq.
Partner
Genova Burns LLC
SEGMENT 1:
Jacqueline Bollas Caldwell
Attorney
Krugliak, Wilkins, Griffiths & Dougherty, Co. L.P.A.
Introduction
Steve Barnett is a Partner in Connell Foley LLP’s Environmental Law Group. Prior to his law career, Mr. Barnett practiced
as a Certified Industrial Hygienist and Professional Engineer in the United States Air Force. He frequently counsel clients in
OSHA compliance and enforcement matters. Mr. Barnett is Chairman of the OSHA-New Jersey Industry Communication
Alliance, member of the New Jersey Industrial Safety Council appointed by the New Jersey Commissioner of Labor and
Workforce Development, former President of the New Jersey Industrial Hygiene Association, and holds a Master of Science
in Public Health. His legal practice is devoted to health, safety, security and environment (HSSE) matters in contracts and
transactions, regulatory compliance, and litigation.
April 21, 2015
6
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Chemical Facilities Practice – Manufacturers, Importers, Distributors,
Employers and Retailers
April 21, 2015
7
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Process Safety Management (PSM) Standard, 29 CFR 1910.119
• Bhopal, India chemical release 1984
• Clean Air Act Amendments of 1990 required OSHA to issue chemical process safety standard
• Standard issued 1992
April 21, 2015
8
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Incidents
• October 23, 1989, Phillips Petroleum, Pasadena, Texas
• July 19, 1990, BASF, Cincinnati, Ohio
• May 1, 1991, IMC, Sterlington, Louisiana
• March 23, 2005, BP Refinery, Texas City, Texas
• April 2, 2010, Tesoro Refinery, Anacortes, Washington
• April 20, 2010, Deepwater Horizon
• April 17, 2013, West Fertilizer, West, Texas
• June 13, 2013, Williams Olefins, Geismar, Louisiana
• November 15, 2014, DuPont, LaPorte, Texas
April 21, 2015
9
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Petroleum and chemical facilities emphasis
• 2007 OSHA Petroleum Refinery PSM National Emphasis Program
• 2011 OSHA PSM-Covered Chemical Facility National Emphasis Program
• 645 inspections, 3,100 violations
• August 1, 2013 Executive Order 13650 Improving Chemical Facility Safety and Security
April 21, 2015
10
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
PSM Applicability
• Process which involves threshold quantities listed in Appendix A, or
• Process which involves 10,000 pounds of Category 1 flammable gas or flammable liquid with
flashpoint below 100°F on site in one location
April 21, 2015
11
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
PSM Applicability (Cont’d)
Process means any activity involving a highly hazardous chemical including any use, storage,
manufacturing, handling, or the on-site movement of such chemicals, or combination of these activities.
For purposes of this definition, any group of vessels which are interconnected and separate vessels which
are located such that a highly hazardous chemical could be involved in a potential release shall be
considered a single process.
April 21, 2015
12
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
PSM Applicability (Cont’d)
Not applicable to:
 Retail facilities
 Oil or gas well drilling or servicing
 Normally unoccupied remote facilities
April 21, 2015
13
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
PSM Requirements
• Process Hazard Analysis
• Written operating procedures
• Employee training and participation
• Pre-startup safety reviews
• Evaluation of mechanical integrity of equipment
• Contractor requirements
• Written procedures for management of change
• Permit system for hot work
• Investigation of incidents involving releases or near misses
• Emergency actions plans
• Compliance audits at least every 3 years
• Trade secret protection
April 21, 2015
14
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Globally Harmonized System of Classification and Labeling of Chemicals (GHS)
• In 2012, OSHA revised its Hazard Communication Standard (HCS or “Hazcom’) 29 CFR 1910.1200 to
align with the United Nations’ Globally Harmonized System of Classification and Labeling of
Chemicals (GHS)
• published it in the Federal Register in March 2012 (77 FR 17574)
• Hazcom 2012 replaced Hazcom 1994
April 21, 2015
15
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
GHS Compliance Dates
April 21, 2015
16
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Effective Completion
Date
Requirement(s) Who
December 1, 2013 Train employees on the new label elements
and SDS format.
Employers
June 1, 2015*
December 1, 2015
Comply with all modified provisions of this
final rule, except:
Distributors may ship products labeled by
manufacturers under the old system until
December 1, 2015.
Chemical
manufacturers,
importers,
distributors and
employers
June 1, 2016 Update alternative workplace labeling and
hazard communication program as necessary,
and provide additional employee training for
newly identified physical or health hazards.
Employers
Transition Period Comply with either 29 CFR 1910.1200 (this
final standard), or the current standard, or
both
All chemical
manufacturers,
importers,
distributors and
employers
GHS Requirements
Hazard classification: Chemical manufacturers and importers required to determine and classify
hazards.
 Class: Health, physical, and hazards not otherwise classified.
 Category: 1, 1A, 1B, 2, etc.
 Chemical mixtures.
April 21, 2015
17
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
GHS Requirements (Cont’d)
• Labels: Chemical manufacturers and importers must provide a label that includes a signal word,
pictogram, hazard statement, and precautionary statement for each hazard class and category.
• Safety Data Sheets (SDS’s): New format requires 16 specific sections
• Information and training: Workers trained by December 1, 2013 on new label elements and safety
data sheet format
April 21, 2015
18
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SDS Sixteen Sections
1. Identification
2. Hazard(s) identification
3. Composition/information on ingredients
4. First-aid measures
5. Fire-fighting measures
6. Accidental release measures
7. Handling and storage
8. Exposure controls/personal protection
9. Physical and chemical properties
10. Stability and reactivity
11. Toxicological information
12. Ecological information
13. Disposal considerations
14. Transport information
15. Regulatory information
16. Other information including date of preparation or last revision
April 21, 2015
19
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Recent OSHA Guidance on Upcoming Compliance Dates
• February 9, 2015 OSHA Enforcement Guidance for June 1, 2015 and December 1, 2015 compliance
dates
http://www.osha.gov/dep/enforcement/hazcom_enforcement-memo.html
April 21, 2015
20
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Recent OSHA Guidance on Upcoming Compliance Dates (Cont’d)
• Manufacturer, importer, distributor has not received classification and SDS information from upstream
supplier(s)
• OSHA will determine of the manufacturer, importer, distributor has exercised “reasonable diligence”
and “good faith efforts”
April 21, 2015
21
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
OSHA’s Severe Violator Enforcement Program
• OSHA Instruction CPL 02-00-149, June 18, 2010
April 21, 2015
22
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SVEP Criteria
• Fatality or catastrophe inspection with one or more willful or repeated violations or failure-to-abate
notices (SVEP-fatality).
• Non-fatality/catastrophe inspection with two or more willful or repeated violations or failure-to-abate
notices that are high gravity violations related to High-Emphasis Hazards (SVEP-HEH).
• Fatality/catastrophe inspection with three or more willful or repeated violations or failure-to-abate
notices that are high gravity violations related to the potential release of a highly hazardous chemical
(SVEP-PSM).
• Egregious (e.g., per-instance citations) case (SVEP-egregious).
April 21, 2015
23
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
High Emphasis Hazards
• Fall hazards
• Amputation hazards
• Combustible dust hazards
• Crystalline silica hazards
• Lead hazards
• Excavation/trenching hazards
• Shipbreaking hazards
• Oil and gas (NAICS code 211111, 213111 and 213112 (Oil and Gas Production Services, Drilling and
Well Servicing/"Upstream Oil and Gas Industry"))
• Grain handling
• Petroleum Refinery PSM
• Chemical Facilities PSM
April 21, 2015
24
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SVEP Procedures
• Enhanced Follow-up Inspections
• Nationwide Inspections of Related Workplaces/Worksites
• Increased Company Awareness of OSHA Enforcement
• Enhanced Settlement Provisions
• Federal Court Enforcement under Section 11(b) of the OSH Act
April 21, 2015
25
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SVEP Enhanced Settlement Provisions
• safety training
• inform OSHA of current and future worksites
• use OSHA’s consultation services
• regular safety and health audits
April 21, 2015
26
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Self-audits
• OSHA Policy Concerning OSHA’s Treatment of Voluntary Employee Safety and Health Self-Audits,
July 28, 2000
 “the Agency will not use self-audit reports as a means of identifying hazards upon which to focus
during an inspection.”
April 21, 2015
27
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Secretary of Labor v. BP Products North America,
OSHRC Docket No. 10-0637, August 12, 2013
“The majority of the items at issue were self-identified by BPP and BP-Husky in documentation provided
to OSHA. OSHA’s use of BPP and BP-Husky’s self-audit reports is in blatant contravention of its Final
Policy. Although the undersigned is troubled by the Secretary’s ill-advised use of the Middough reports, I
am not using the Middough reports as a basis for vacating the alleged violations self-identified in the
reports.”
April 21, 2015
28
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
Audit Documentation
• Preparation
 Team members
 Text, photos, findings, conclusions, recommendations
• Distribution
• Retention
• Attorney client and attorney work product privileges
April 21, 2015
29
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
► You may ask a question at anytime throughout the presentation today. Simply click on the question mark icon located on the floating tool bar on the bottom right side of your screen. Type
your question in the box that appears and click send.
► Questions will be answered in the order they are received.
Q&A:
April 21, 2015
30
SEGMENT 3:
Steve Barnett
Partner
Connell Foley LLP
SEGMENT 2:
Douglas Solomon, Esq.
Partner
Genova Burns LLC
SEGMENT 1:
Jacqueline Bollas Caldwell
Attorney
Krugliak, Wilkins, Griffiths & Dougherty, Co. L.P.A.
April 21, 2015
31
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Barnett 4-21-15 Chemical Facilities Practice - OSHA Rules and Regulations - What You Need to Know

  • 1. Speaker Firms and Organization: Genova Burns LLC Douglas Solomon, Esq. Partner Thank you for logging into today’s event. Please note we are in standby mode. All Microphones will be muted until the event starts. We will be back with speaker instructions @ 11:55am. Any Questions? Please email: Info@knowledgecongress.org Group Registration Policy Please note ALL participants must be registered or they will not be able to access the event. If you have more than one person from your company attending, you must fill out the group registration form. We reserve the right to disconnect any unauthorized users from this event and to deny violators admission to future events. To obtain a group registration please send a note to info@knowledgecongress.org or call 646.202.9344. Presented By: April 21, 2015 1 Partner Firms: Connell Foley LLP Steve Barnett Partner Krugliak, Wilkins, Griffiths & Dougherty, Co. L.P.A. Jacqueline Bollas Caldwell Attorney
  • 2. Brief Speaker Bios: Jacqueline Bollas Caldwell Jackie is a director of Krugliak, Wilkins, Griffiths & Dougherty Co., L.P.A. Jackie joined the law firm in 1985, immediately after matriculation from law school. She was elected shareholder in 1991. She served on the Management Committee of the Firm from 1998-2005. Jackie serves as counsel for numerous businesses in all phases of business and corporate representation, including corporate and business formation; contract negotiating, advising, and drafting; bank loan negotiation; buying and selling businesses; handling disputes between minority and majority business owners. April 21, 2015 2 Douglas Solomon, Esq. Douglas E. Solomon, a Partner in the firm’s Newark, New Jersey office, is the Director of the OSHA Practice Group and is also a member of the firm’s Labor Law Practice Group. Mr. Solomon concentrates his practice in the area of traditional labor law on behalf of management clients in both the private and public sector. His labor law experience spans a wide variety of industries, including transportation, entertainment, law enforcement, hospitals, retail, restaurants, charter schools and service industries. His transportation industry experience includes an expertise in representing clients under the Railway Labor Act and the Occupational Safety & Health Act (“OSHA”). ► For more information about the speakers, you can visit: http://theknowledgegroup.org/event_name/osha-rules-and-regulations-what-you-need-to-know-live-webcast/ Steve Barnett Steve Barnett is a Partner in Connell Foley LLP’s Environmental Law Group. Prior to his law career, Mr. Barnett practiced as a Certified Industrial Hygienist and Professional Engineer in the United States Air Force. He frequently counsel clients in OSHA compliance and enforcement matters. Mr. Barnett is Chairman of the OSHA-New Jersey Industry Communication Alliance, member of the New Jersey Industrial Safety Council appointed by the New Jersey Commissioner of Labor and Workforce Development, former President of the New Jersey Industrial Hygiene Association, and holds a Master of Science in Public Health. His legal practice is devoted to health, safety, security and environment (HSSE) matters in contracts and transactions, regulatory compliance, and litigation.
  • 3. Under the US Occupational Health & Safety Act (1970) employers are required to provide a safe and healthful working environment. OSHA enforces established standards with which all employers must comply. Employers must also comply with the General Duty Clause of the Act which requires them to keep the workplaces free of recognized serious hazards. Employers can face dauntingly complex tasks and confusing language in complying with OSHA’s numerous and extensive federal and state occupational safety and health standards and regulations. Many employers and their legal advisors often are un-aware of many of the legal requirements that must be met to ensure the safety of their workers – such as training. With the growth of temporary employment status in the US, the Occupational Safety and Health Administration is focusing upon employers skirting the laws regarding such issues as Injury and Illness prevention and reporting, safety training deficiencies, and placement of new employees in hazardous positions. In April OSHA announced the final rule revising and enhancing the standards for electric power generation, transmission, and distribution. In this webinar, our panel of speakers will review the fundamentals of the Occupational Health & Safety Act (1970) and, the extent of the authority of the Occupational Safety and Health Review Commission. April 21, 2015 3
  • 4. Specifically, the panel speakers will address the statutes involved in OSHA legal practice, the enforcement of and compliance with the statutes, the regulations promulgated, and the role of the Commission and the courts in appeals relating to OSHA citations and practices. Other issues addressed will include NFPA changes, the SVE Program, and practices putting your organization at risk. Whether you are an employment lawyer or a lawyer representing industrial employees or employers this webinar will be of value. Agenda: • OSHA Rules and Regulations: Changes and Implications • OSHA Injury and Illness Prevention Program (I2P2) Rule, Recording, and Reporting • OSHA Inspectors: Avoidance and Preparation • Regulatory Compliance: The Necessary Evil • Severe Violator Enforcement Program (SVEP) • 2015 NFPA: Potential Changes • Role of Courts and the Commission • Industry View-point: Oil and Gas Safety • OSHA and United Nation’s Globally Harmonized System of Classification and Labeling of Chemicals • Practices Putting Your Firm at Legal Risk: Reporting and Training April 21, 2015 4
  • 5. Featured Speakers: April 21, 2015 5 SEGMENT 3: Steve Barnett Partner Connell Foley LLP SEGMENT 2: Douglas Solomon, Esq. Partner Genova Burns LLC SEGMENT 1: Jacqueline Bollas Caldwell Attorney Krugliak, Wilkins, Griffiths & Dougherty, Co. L.P.A.
  • 6. Introduction Steve Barnett is a Partner in Connell Foley LLP’s Environmental Law Group. Prior to his law career, Mr. Barnett practiced as a Certified Industrial Hygienist and Professional Engineer in the United States Air Force. He frequently counsel clients in OSHA compliance and enforcement matters. Mr. Barnett is Chairman of the OSHA-New Jersey Industry Communication Alliance, member of the New Jersey Industrial Safety Council appointed by the New Jersey Commissioner of Labor and Workforce Development, former President of the New Jersey Industrial Hygiene Association, and holds a Master of Science in Public Health. His legal practice is devoted to health, safety, security and environment (HSSE) matters in contracts and transactions, regulatory compliance, and litigation. April 21, 2015 6 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 7. Chemical Facilities Practice – Manufacturers, Importers, Distributors, Employers and Retailers April 21, 2015 7 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 8. Process Safety Management (PSM) Standard, 29 CFR 1910.119 • Bhopal, India chemical release 1984 • Clean Air Act Amendments of 1990 required OSHA to issue chemical process safety standard • Standard issued 1992 April 21, 2015 8 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 9. Incidents • October 23, 1989, Phillips Petroleum, Pasadena, Texas • July 19, 1990, BASF, Cincinnati, Ohio • May 1, 1991, IMC, Sterlington, Louisiana • March 23, 2005, BP Refinery, Texas City, Texas • April 2, 2010, Tesoro Refinery, Anacortes, Washington • April 20, 2010, Deepwater Horizon • April 17, 2013, West Fertilizer, West, Texas • June 13, 2013, Williams Olefins, Geismar, Louisiana • November 15, 2014, DuPont, LaPorte, Texas April 21, 2015 9 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 10. Petroleum and chemical facilities emphasis • 2007 OSHA Petroleum Refinery PSM National Emphasis Program • 2011 OSHA PSM-Covered Chemical Facility National Emphasis Program • 645 inspections, 3,100 violations • August 1, 2013 Executive Order 13650 Improving Chemical Facility Safety and Security April 21, 2015 10 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 11. PSM Applicability • Process which involves threshold quantities listed in Appendix A, or • Process which involves 10,000 pounds of Category 1 flammable gas or flammable liquid with flashpoint below 100°F on site in one location April 21, 2015 11 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 12. PSM Applicability (Cont’d) Process means any activity involving a highly hazardous chemical including any use, storage, manufacturing, handling, or the on-site movement of such chemicals, or combination of these activities. For purposes of this definition, any group of vessels which are interconnected and separate vessels which are located such that a highly hazardous chemical could be involved in a potential release shall be considered a single process. April 21, 2015 12 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 13. PSM Applicability (Cont’d) Not applicable to:  Retail facilities  Oil or gas well drilling or servicing  Normally unoccupied remote facilities April 21, 2015 13 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 14. PSM Requirements • Process Hazard Analysis • Written operating procedures • Employee training and participation • Pre-startup safety reviews • Evaluation of mechanical integrity of equipment • Contractor requirements • Written procedures for management of change • Permit system for hot work • Investigation of incidents involving releases or near misses • Emergency actions plans • Compliance audits at least every 3 years • Trade secret protection April 21, 2015 14 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 15. Globally Harmonized System of Classification and Labeling of Chemicals (GHS) • In 2012, OSHA revised its Hazard Communication Standard (HCS or “Hazcom’) 29 CFR 1910.1200 to align with the United Nations’ Globally Harmonized System of Classification and Labeling of Chemicals (GHS) • published it in the Federal Register in March 2012 (77 FR 17574) • Hazcom 2012 replaced Hazcom 1994 April 21, 2015 15 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 16. GHS Compliance Dates April 21, 2015 16 SEGMENT 3: Steve Barnett Partner Connell Foley LLP Effective Completion Date Requirement(s) Who December 1, 2013 Train employees on the new label elements and SDS format. Employers June 1, 2015* December 1, 2015 Comply with all modified provisions of this final rule, except: Distributors may ship products labeled by manufacturers under the old system until December 1, 2015. Chemical manufacturers, importers, distributors and employers June 1, 2016 Update alternative workplace labeling and hazard communication program as necessary, and provide additional employee training for newly identified physical or health hazards. Employers Transition Period Comply with either 29 CFR 1910.1200 (this final standard), or the current standard, or both All chemical manufacturers, importers, distributors and employers
  • 17. GHS Requirements Hazard classification: Chemical manufacturers and importers required to determine and classify hazards.  Class: Health, physical, and hazards not otherwise classified.  Category: 1, 1A, 1B, 2, etc.  Chemical mixtures. April 21, 2015 17 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 18. GHS Requirements (Cont’d) • Labels: Chemical manufacturers and importers must provide a label that includes a signal word, pictogram, hazard statement, and precautionary statement for each hazard class and category. • Safety Data Sheets (SDS’s): New format requires 16 specific sections • Information and training: Workers trained by December 1, 2013 on new label elements and safety data sheet format April 21, 2015 18 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 19. SDS Sixteen Sections 1. Identification 2. Hazard(s) identification 3. Composition/information on ingredients 4. First-aid measures 5. Fire-fighting measures 6. Accidental release measures 7. Handling and storage 8. Exposure controls/personal protection 9. Physical and chemical properties 10. Stability and reactivity 11. Toxicological information 12. Ecological information 13. Disposal considerations 14. Transport information 15. Regulatory information 16. Other information including date of preparation or last revision April 21, 2015 19 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 20. Recent OSHA Guidance on Upcoming Compliance Dates • February 9, 2015 OSHA Enforcement Guidance for June 1, 2015 and December 1, 2015 compliance dates http://www.osha.gov/dep/enforcement/hazcom_enforcement-memo.html April 21, 2015 20 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 21. Recent OSHA Guidance on Upcoming Compliance Dates (Cont’d) • Manufacturer, importer, distributor has not received classification and SDS information from upstream supplier(s) • OSHA will determine of the manufacturer, importer, distributor has exercised “reasonable diligence” and “good faith efforts” April 21, 2015 21 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 22. OSHA’s Severe Violator Enforcement Program • OSHA Instruction CPL 02-00-149, June 18, 2010 April 21, 2015 22 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 23. SVEP Criteria • Fatality or catastrophe inspection with one or more willful or repeated violations or failure-to-abate notices (SVEP-fatality). • Non-fatality/catastrophe inspection with two or more willful or repeated violations or failure-to-abate notices that are high gravity violations related to High-Emphasis Hazards (SVEP-HEH). • Fatality/catastrophe inspection with three or more willful or repeated violations or failure-to-abate notices that are high gravity violations related to the potential release of a highly hazardous chemical (SVEP-PSM). • Egregious (e.g., per-instance citations) case (SVEP-egregious). April 21, 2015 23 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 24. High Emphasis Hazards • Fall hazards • Amputation hazards • Combustible dust hazards • Crystalline silica hazards • Lead hazards • Excavation/trenching hazards • Shipbreaking hazards • Oil and gas (NAICS code 211111, 213111 and 213112 (Oil and Gas Production Services, Drilling and Well Servicing/"Upstream Oil and Gas Industry")) • Grain handling • Petroleum Refinery PSM • Chemical Facilities PSM April 21, 2015 24 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 25. SVEP Procedures • Enhanced Follow-up Inspections • Nationwide Inspections of Related Workplaces/Worksites • Increased Company Awareness of OSHA Enforcement • Enhanced Settlement Provisions • Federal Court Enforcement under Section 11(b) of the OSH Act April 21, 2015 25 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 26. SVEP Enhanced Settlement Provisions • safety training • inform OSHA of current and future worksites • use OSHA’s consultation services • regular safety and health audits April 21, 2015 26 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 27. Self-audits • OSHA Policy Concerning OSHA’s Treatment of Voluntary Employee Safety and Health Self-Audits, July 28, 2000  “the Agency will not use self-audit reports as a means of identifying hazards upon which to focus during an inspection.” April 21, 2015 27 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 28. Secretary of Labor v. BP Products North America, OSHRC Docket No. 10-0637, August 12, 2013 “The majority of the items at issue were self-identified by BPP and BP-Husky in documentation provided to OSHA. OSHA’s use of BPP and BP-Husky’s self-audit reports is in blatant contravention of its Final Policy. Although the undersigned is troubled by the Secretary’s ill-advised use of the Middough reports, I am not using the Middough reports as a basis for vacating the alleged violations self-identified in the reports.” April 21, 2015 28 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 29. Audit Documentation • Preparation  Team members  Text, photos, findings, conclusions, recommendations • Distribution • Retention • Attorney client and attorney work product privileges April 21, 2015 29 SEGMENT 3: Steve Barnett Partner Connell Foley LLP
  • 30. ► You may ask a question at anytime throughout the presentation today. Simply click on the question mark icon located on the floating tool bar on the bottom right side of your screen. Type your question in the box that appears and click send. ► Questions will be answered in the order they are received. Q&A: April 21, 2015 30 SEGMENT 3: Steve Barnett Partner Connell Foley LLP SEGMENT 2: Douglas Solomon, Esq. Partner Genova Burns LLC SEGMENT 1: Jacqueline Bollas Caldwell Attorney Krugliak, Wilkins, Griffiths & Dougherty, Co. L.P.A.
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  • 33. April 21, 2015 33 ABOUT THE KNOWLEDGE GROUP, LLC The Knowledge Group, LLC is an organization that produces live webcasts which examine regulatory changes and their impacts across a variety of industries. “We bring together the world's leading authorities and industry participants through informative two-hour webcasts to study the impact of changing regulations.” If you would like to be informed of other upcoming events, please click here. Disclaimer: The Knowledge Group, LLC is producing this event for information purposes only. We do not intend to provide or offer business advice. The contents of this event are based upon the opinions of our speakers. The Knowledge Group does not warrant their accuracy and completeness. The statements made by them are based on their independent opinions and does not necessarily reflect that of The Knowledge Group‘s views. In no event shall The Knowledge Group be liable to any person or business entity for any special, direct, indirect, punitive, incidental or consequential damages as a result of any information gathered from this webcast. Certain images and/or photos on this page are the copyrighted property of 123RF Limited, their Contributors or Licensed Partners and are being used with permission under license. These images and/or photos may not be copied or downloaded without permission from 123RF Limited

Editor's Notes

  1. December 1984 Union Carbide pesticide plan released methyl isocyanate exposing 500,000 people. Estimates of fatalities range from 3,000 to 8,000. The 1990 Clean Air Act Amendments required OSHA to develop regulations addressing process safety hazards. And required EPA to develop regulations to prevent catastrophic chemical releases. RMP requires facilities that use extremely hazardous substances to develop a Risk Management Plan. These plans must be revised and resubmitted to EPA every five years. The Emergency Planning and Community Right-to-Know Act of 1986 is a United States federal law passed by the 99th United States Congress located at Title 42, Chapter 116 of the U.S. Code, concerned with emergency response preparedness. On October 17, 1986, President Ronald Reagan signed into law the Superfund Amendments and Reauthorization Act of 1986 (SARA). This act amended the Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA), commonly known as Superfund. A free-standing law, the Emergency Planning and Community Right-to-Know Act of 1986 (EPCRA) was commonly known as SARA Title III. Its purpose is to encourage and support emergency planning efforts at the state and local levels and to provide the public and local governments with information concerning potential chemical hazards present in their communities.
  2. West Fertilizer. April 17 ammonium nitrate explosion. 15 people were killed, 12 of whom were emergency responders including some who worked at the plant. Ammonium nitrate not a PSM covered chemical. Also not a EPA RMP covered chemical. It was announced on April 19 that twelve bodies had been recovered, sixty people were missing, and there had been at least 200 injured.[33] The twelve dead included ten first responders as well as two civilians who had volunteered to fight the fire.[34] The final confirmed death toll was fifteen fatalities,[1][2] while approximately 160 people sustained non-fatal injuries.[3] Janaury 2014 Elk River chemical spill, 4-methylcyclohexanemethanol (MCHM) used to clean coal.
  3. In light of the experience gained from the Petroleum Refinery NEP, in November 2011, OSHA initiated the PSM-Covered Chemical Facility National Emphasis Program to focus on facilities that present the potential for catastrophic incidents. Since then, OSHA has conducted 645 inspections under the NEP. OSHA compliance personnel have found more than 3,100 violations of OSHA standards during these inspections, primarily in PSM. 2013 EO directed to DOL-OSHA, EPA, DHS. National Working Group established. So far “soft” actions e.g., increased coordination, increased emergency response tools e.g., website resources. Regulatory changes will come just take time. Emergency response resources. Responders using Google on the way to call to find out about facility.
  4. About 125 substances in exhibit A Application. (1) This section applies to the following: (i) A process which involves a chemical at or above the specified threshold quantities listed in Appendix A to this section; (ii) A process which involves flammable liquid or gas (as defined in 1910.1200(c) of this part) on site in one location, in a quantity of 10,000 pounds (4535.9kg) or more except for: (A) Hydrocarbon fuels used solely for workplace consumption as a fuel (e.g., propane used for comfort heating, gasoline for vehicle refueling), if such fuels are not a part of a process containing another highly hazardous chemical covered by this standard; (B) Flammable liquids stored in atmospheric tanks or transferred which are kept below their normal boiling point without benefit of chilling or refrigeration. MIXTURES This is in response to your February 25 letter, requesting interpretation of the Process Safety Management (PSM) of Highly Hazardous Chemicals (HHCs) standard 29 CFR 1910.119. Specifically, you requested clarification on whether the threshold quantity (TQ) of HHCs listed in Appendix A of the PSM standard refers only to component hazardous substances of a mixture or to the whole mixture or solution (regardless of the concentration). Restating your question, you then asked: does the TQ consider the component of the mixture which is in Appendix A (e.g. concentration in weight percent multiplied by the mass (in pounds) of the mixture) or does the TQ consider the entire mixture regardless of the solution concentration? Please accept our apology for the delay in responding. The PSM standard covers HHCs and HHC mixtures listed in Appendix A. With exceptions, other mixtures containing Appendix A listed HHC's are not covered by the PSM standard. Also with exceptions, the entire HHC mixture must be considered when determining the threshold quantity of an Appendix A listed HHC substance. These clarifications are delineated in the following paragraphs. Most of the HHC's listed in Appendix A are "commercial grade" concentrations. OSHA defines "commercial grade" as a typical maximum concentration of the chemical that is commercially available and shipped. The term "commercial grade" includes reagent grades, which, in some cases, will be in different concentrations from the typical commercial grades. In cases where different concentrations for commercial and reagent grades are typically shipped, the lower of the two maximum concentrations (and any concentration greater) is intended to be covered by the PSM standard. In order to determine the covered concentration, reference may be made to any published catalogue of chemicals for commercial sales. To determine the correct entry(s) in the catalogue, reference must also be made to the Chemical Abstract Service (CAS) number listed in Appendix A of the PSM standard. When an Appendix A listed HHC, for example, Chlorine Dioxide (ClO(2)), which is not commercially available and which is produced in a workplace process, the threshold quantity is determined not only by the free standing quantity of the HHC, for example, ClO(2) gas but also by the amount of HHC(s) in the mixture(s), for example, ClO(2) in a water solution. A process containing 150 pounds (68.00 kg) of ClO(2) gas and 900,000 pounds (408,231.00 kg) of ClO(2) water solution would be covered as follows. Assuming that the ClO(2) is 0.1 percent by weight of the water solution, there is 900 pounds (408.23 kg) of ClO(2) in the water solution. This process contains 150 + 900 or 1050 pounds (476.27 kg) of ClO(2) which is greater than the threshold quantity of 1000 pounds. Other Appendix A HHCs are listed specifically as percentage by weight or greater concentrations. For example, hydrogen peroxide (52 percent by weight or greater) mixtures are covered by the PSM standard. The entire mixture would be considered to determine the TQ as noted in the preceding example. Please note that 10,000 pounds (4535.9 kg) or greater amount of flammable liquids or flammable gases including mixtures involving an HHC listed in Appendix A would be covered by the PSM standard. Also, the manufacturing activity of a process containing any amount of an explosive, including a mixture involving an HHC listed in Appendix A would be covered by the PSM standard. We appreciate your interest in occupational safety and health. If we can be of further assistance, please do not hesitate to contact us.
  5. OSHA considers an establishment to be qualified under the PSM "retail facilities" exemption, if that establishment receives more than half of its income from the direct sales of the PSM-covered highly hazardous chemical (HHC) to end users. The income referenced above applies to the income obtained from the sales of PSM-covered HHCs, and not the total sales of the establishment. For example, establishment A distributes and sells HHC X to a chain of supply stores and to homeowners (end users). Establishment A obtains 60% of its income from the sale of HHC X to the chain of supply stores - these supply stores are not the direct end users or consumers. The other 40% of the income obtained from the sale of HHC X is from sales to homeowners. Since establishment A's income from homeowners (end users) is less than 50%, establishment A does not qualify for the PSM retail exemption. In addition, if establishment A sells other products besides PSM-covered chemicals, the income derived from the sale of the other products is not part of the determination of whether establishment A qualifies for the retail exemption. Please be advised that the "retail facilities" exception is intended to apply to an establishment in the retail trade as delineated in the Standard Industrial Classification (SIC) Manual. With exceptions, retail trade establishments sell merchandise to the general public for personal or household consumption. On the other hand, wholesale trade establishments may sell similar merchandise for exclusive use by industry. A worksite where perforation guns are manufactured and from which they are sold primarily for use by the oil and gas well drilling, servicing and production industry would be considered a wholesale trade establishment. The preamble to the PSM Final Rule (Starting with the third paragraph from the bottom of the middle column on page 6369) provides further discussion on the intended application of the "retail facility" exception. Income derived from selling perforation guns to the oil and gas well drilling, servicing and production industry may not be counted as "income obtained from direct sales to end users" for the purpose of qualifying for the "retail facilities" exception under paragraph 1910.119(a)(2)(i).
  6. Harmonized really not harmonized
  7. By June 1, have to have SDS’s, labels. Distributors can ship existing stock until December 1. Guidance will discussed later provides “good faith” exception to June 1 and December 1 dates.
  8. Upon request from a CSHO, a manufacturer or importer must provide documentation of its substantive efforts to: Obtain classification information and SDSs from upstream suppliers; Find hazard information from alternative sources (e.g., chemical registries); and, Classify the data themselves.
  9. $3,000,000 fine for violations of PSM more than 40 citations. Each citation had sub-items with penalties. Middough engineering report 2008 pursuant to Petroleum Refinery Process Safety Management National Emphasis Program (NEP). 2009 OSHA inspection. ASME document missing giving tank specs – info otherwise available Pressure relief valves. Reasonable a generally accepted good engineering practice Furnaces Cross connections Facility siting process hazard analysis recommendations Piping markings Settled some citations. Ones that were decided either were dismissed and penalty assessed for approximately $70,000 total for non-settled and non-dismissed citations.