Reitz Patricia US EPA Hayes Scott US EPA Risk Management Program Regulatory Updates MECC Kansas City May 11-13, 2016 Overland Park

1. Risk Management
Program Regulatory
Updates
Proposed rule changes, EPA Region 7’s most common inspection
observations, and Region 7’s EO 13650 efforts for improving chemical
facility safety and security
May 2016

2. Today’s Agenda
• Introductions
• Brief Background on EPCRA and CAA 112(r)
• Common Region 7 Inspection/Case Findings
• Proposed Changes to the Regulation
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3. Union Carbide – Bhopal, India
• December 2, 1984
• One of the world’s worst industrial catastrophes
• Massive release of methyl isocyanate gas from Union Carbide
pesticide plant
• Killed 3,800 and injured tens of thousands
May 2016 MECC Conference 3

4. Union Carbide – Institute, West Virginia
• August 11, 1985
• Cloud of methylene chloride and aldicarb
oxime released (used in pesticide
manufacture)
• Six workers injured; > 100 residents
hospitalized
• Facility spent $5M to improve safety
systems; two more leaks occurred in
February 1990
May 2016 MECC Conference 4

5. EPCRA Goals
• Tailor a chemical emergency program to community needs
• Provide public with “right-to-know” attitude and information
• Included
• Formation of emergency planning framework
• Facilities report
• Inventories (Tier II)
• Releases that are occurring (accidental and routine)
Industry involvement is key to a successful Local Emergency
Planning Committee (LEPC)
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6. From Response to Prevention
Clean Air Act Amendments of 1990
• General Duty Clause (Section 112(r)(1))
• No thresholds, no lists
• Facilities must identify hazards, design and maintain a safe facility
to prevent releases, and minimize consequences of releases that
do occur
• OSHA Process Safety Management
• EPA Risk Management Program (Section 112(r)(7))
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7. Key to Accident Prevention
Utilize industry standards or recognized and generally accepted good
engineering practices (RAGAGEP)
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8. Elements of a Risk Management Program
• Management System
• Hazard Assessment
• Prevention Program
• Emergency Response Planning
• Risk Management Plan (RMP) - submit to EPA
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9. EPA Region 7 Risk Management Program
Facilities
1.28 Million
Tons of
Anhydrous
Ammonia
May 2016 MECC Conference 9

10. Risk Management Program Reportable Accidents
• No quantity thresholds
• Must include in the 5-year accident history in the RMP if accident
resulted in:
• Death
• Injury
• Significant property damage on-site
• Off-site shelter-in-place, evacuation, environmental damage,
property damage
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11. Risk Management Program Incident Investigations
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• No quantity thresholds
• Investigate each incident which resulted in or could reasonably have
resulted in a catastrophic release
• Complete follow-up actions to prevent a similar event

12. Quick Ways to Be Added to Our Inspection List
• Have accidents or releases, especially
where
• Several people need treatment or
someone dies
• Public is impacted
• Significant off-site environmental
impact
• Miss a five year RMP submittal update
• Have >10,000 lbs. ammonia and no RMP
May 2016 MECC Conference 12

13. Issues Cited Relating to Safety Information 40 CFR
68.48 (68.65)
• Utilize current Safety Data Sheet
• Document maximum inventory, temperatures, pressure, flow, and
composition
• Document equipment specifications
• Ensure the process is designed in compliance with recognized and
generally accepted good engineering practices (RAGAGEP)
Most common Region 7 citation – nearly 75% of facilities
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14. Industry Standards Citations at Region 7 Facilities
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Insufficient/Nonexistent
Vehicle Barriers
Improper Saddle
Configuration
Absent Bulkheads

15. May 2016 MECC Conference 15
Industry Standards Citations at Region 7 Facilities
(cont.)
• Expired pressure relief valves
or hoses
• Tests or internal/external
inspections not conducted
timely
• Pressure vessels
• Underground piping

16. Issues Cited Relating to Compliance Audits 40 CFR
68.58 (68.79)
• Not completed every 3 years
• Play inspector for a day
• Consider changes at facility and in industry standards
• Are you doing what you say you are doing?
• SOPs
• Maintenance
• Not certified
Second most common citation for Region 7 facilities
May 2016 MECC Conference 16

17. Lessons from West, Texas
• Better coordination
• Regulatory Oversight
• Hazard Awareness
• Emergency Planning and Response
• Fertilizer Grade Ammonium
Nitrate Storage
• Land Use Planning and Zoning
https://youtu.be/pdDuHxwD5R4
May 2016 MECC Conference 17

18. OSHA’s Retail Exemption
• July 25, 2015 – OSHA announced a revision to its “interpretation” of
the exemption of retail facilities from coverage under the Process
Safety Management (PSM) standard
• New interpretation includes all sectors 44 and 45 of the NAICS
manual to be covered under PSM
• Previous interpretation applied to all facilities that obtained more
than half of their income from direct sales to end users
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19. How OSHA’s Reinterpretation of “Retail Exemption”
Could
Impact Risk Management Program Facilities
• Most fertilizer retailers are currently Program 2
• Will become subject to PSM
• Required develop Program 3 processes
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20. Additional Program Requirements
More documentation and additional program elements:
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• Safety information
• Hazard review
• Operating procedures
• Training
• Maintenance
• Compliance audits
• Incident investigation
• Process safety information
• Process hazard analysis
• Operating procedures
• Training
• Mechanical integrity
• Compliance audits
• Incident investigation
• Pre-startup review
• Management of change
• Employee participation
• Hot work permit
• Contractor accountability
Program 2 Program 3

21. Modernization of the Risk Management Program
RuleProposed revisions include
• Third Party Audits
• Incident Investigations and Root Cause Analysis
• Safer Technology Alternatives Analysis
• Local Coordination
• Emergency Response Exercises
• Information Sharing to LEPCs
• Increasing Access to Existing Public Information
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22. Modernization of the Risk Management Program
Rule
• Comments due TODAY (May 13th)
• More information on the proposed changes can be found at:
http://www.epa.gov/rmp/proposed-changes-risk-management-
program-rmp-rule
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23. You are Invited!
LEPC/TERC Emergency Planning and
Response Conference
Summer 2017
Industry Track
Overland Park, KS
Contact Patricia Reitz (reitz.patricia@epa.gov)
or Terri Blunk (blunk.terri@epa.gov) for more
information
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24. For More Information
Pat Reitz
CAA 112(r) Program
Coordinator
(913) 551-7674
reitz.patricia@epa.gov
EPA Chemical Risk Website
www.epa.gov/rmp
Scott Hayes
Chemical & Oil Release
Prevention Branch Chief
(913) 551-7670
Hayes.scott@epa.gov
May 2016 MECC Conference 24