Regulatory Updates from The EPA, OSHA, and DOT

REGULATORY UPDATES FROM THE EPA, OSHA, AND DOT

Presented ByPresented By

Peter ZaidelKPA Product Managerpzaidel@kpaonline.com

303-228-2397

QuestionsQuestions

• If you have questions during the presentation, please submit them using the “Questions” feature

• Questions will be answered at the end of the webinar

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KPA – Company ProfileKPA – Company Profile

• Nationwide compliance expert on Safety, Environmental, HR

• Colorado Headquarters

• 23 Years Experience • 3500 + Clients

– Dealerships, Service, Repair

• 20 Offices Serving 41 States

• Compliance products and services

– OSHA– DOT– EPA– Workers’ Comp– Background checking– Onboarding– Harassment – Red Flags– Onsite inspections– Online and onsite

training and tracking– And many more…

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AgendaAgenda

Proposed• I2P2• OSHA 300 Logs• Burning of Off-Spec Used Oil

Pending• SPCC Regulations• Underground Storage Tank Training• Airbag Disposal

In effect now• OSHA Penalty Policy• FedEx Changes

PROPOSED REGULATIONS

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I2P2I2P2

• New Rule Requiring Employers to implement IIP Program

• Stage: Pre-rulemaking (still)

• Last stakeholder meeting: August, 2011– On agenda for upcoming meetings

• KPA Program– California IIPP

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OSHA ReportingOSHA Reporting

• Proposal Released June 22, 2011• Comment Period Closes Sept 20, 2011

– Accident Reporting • Currently –

– report within 24hrs 3 or more hospitalizations or any fatality

• Proposed - – Notify OSHA within 8 hours of any in-patient hospitalization

– Notify OSHA within 24hrs of any amputation

– OSHA 300 Log• 2009 Government Accountability Office Report• Eliminates exemption for Automobile Dealerships• Moves from SIC codes to NAICS codes

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Burning of Off-Spec Used OilBurning of Off-Spec Used Oil

• Off-spec used oil will be classified as a solid waste and will have to meet stringent standards of Section 129 of the Clean Air Act.

• The space heater exemption will be eliminated if the space heater burns off-spec used oil.

• Don’t burn Off-Spec Oil? – How do you know?

PENDING REGULATIONS

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SPCC RegulationsSPCC Regulations

A facility, including a mobile or portable facility, starting operation...

Must...

On or before August 16, 2002

Maintain its existing SPCC PlanAmend and implement the amended SPCC Plan no later than November 10, 2011

After August 16, 2002 through November 10, 2011

Prepare and implement an SPCC Plan no later than November 10, 2011

After November 10, 2011 (excluding production facilities)

Prepare and implement an SPCC Plan before beginning operations

After November 10, 2011 (production facilities)

Prepare and implement an SPCC Plan within six months after beginning operations.*

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UST ComplianceUST Compliance

• EPA Operator Training – Provision of the UST amendments – Energy

Policy Act of 2005• Class A-Primary responsibility to operate and maintain the

UST system• Class B-Implement applicable UST regulatory requirements

and standards in the field • Class C-An employee at the UST site (e.g., clerk) that has

been trained on UST Emergency Response Issues

• Deadline of 8/8/2012

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UST Compliance-Training DeadlinesUST Compliance-Training Deadlines

Minnesota: 8/08/11 (Minneapolis area) Georgia: 8/8/12Arizona : 8/8/12Arkansas : 8/8/12Michigan : 8/8/12Ohio : 12/3/11 (3-12 facilities) 8/8/12 (1-2 facilities)Florida : Currently no rulesColorado : In effect nowConnecticut : Rules still pending

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POLLPOLL

How do you dispose of your airbags?

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Airbag DisposalAirbag Disposal

• Airbags are considered hazardous– “Class 9 Misc” DOT– “Reactive” EPA

• Deployed airbags are generally non-haz• Treatment of Hazardous Waste• Dispose of airbags as hazardous waste

– To whom?

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STAFF SUPPORT

THE FINES:

Up to $25,000 per incident per violation

Penalties are defined by the Clean Air Act Stationary Source Penalty Policy Starting fine amounts, then Economic benefit of non-compliance (# of non-compliant months), then The severity of the violation (toxicity, harm to environment, etc), then The size of the violator, then Violator history

Penalty Policy: “in the case of a company with more than one facility, the size of the violator is determined based on the company’s entire operation, not just the violating facility”

EPA CAA PENALTY POLICYEPA CAA PENALTY POLICY

PASSED REGULATIONS

STATE OF OSHASTATE OF OSHA

• President Obama’s FY 2012 Budget Request:Increases for OSHA – a requested $583 million (an increase of more than $24 million from 2010 enacted levels)

• $6.4 million for safety and health standards• $2.4 million for I2P2• $7.7 million for OSHA’s federal enforcement

• Republicans pushing to cut $61 billion from federal spending:

Targeting OSHA for a $99 million reduction

Administrative EnhancementsAdministrative Enhancements

• Changes to OSHA’s Penalty Policy• Past history period expanded to 5 years• Serious violations identified will no longer need to be

grouped• Average penalty will increase from

$1000 to $3000-$4000• Employers with 251 or more employees

-no reduction for size• “Good Faith” reductions only if a safety and health

program in place• What does this mean?

• Area offices have less discretion with citations• Area office will be less willing to make reductions• Showing “Good Faith” effort and safety programs are

crucial

OSHA Inspection PriorityOSHA Inspection Priority

Priority Category of Inspection

1st Imminent Danger:Reasonable certainty an immediate danger exists

2nd Fatality/Catastrophe:Reported to OSHA; inspected ASAP

3rd Complaints/Referrals:Worker or worker representative can file a complaint about a safety or health hazard

4th Programmed Inspections:Cover industries and employers with high injury and illness rates, specific hazards, or other exposures.

Citations and PenaltiesCitations and Penalties

VIOLATION TYPE PENALTY

WILLFULA violation that the employer intentionally and knowingly commits or a violation that the employer commits with plain indifference to the law.

OSHA may propose penalties of up to $70,000 for each willful violation, with a minimum penalty of $5,000 for each willful violation.

SERIOUSA violation where there is substantial probability that death or serious physical harm could result and that the employer knew, or should have known, of the hazard.

There is a mandatory penalty for serious violations which may be up to $7,000.

OTHER-THAN-SERIOUSA violation that has a direct relationship to safety and health, but probably would not cause death or serious physical harm.

OSHA may propose a penalty of up to $7,000 for each other-than-serious violation.

REPEATEDA violation that is the same or similar to a previous violation.

OSHA may propose penalties of up to $70,000 for each repeated violation.

Example #1Example #1

Old Penalty Calculation

Initial Penalty $3500

Size Reduction 60%

Good Faith Reduction 15%

History Reduction 10%

Total Citation $525

*Reduction factors applied aggregately for single citation

Example #2Example #2

New Penalty Calculation

Initial Penalty $6000

Size Reduction 40%

Good Faith Reduction 15%

History Reduction 0%

Total Citation $3060

*Reduction factors applied serially for single citation

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OSHA Violation / Penalty TrendsOSHA Violation / Penalty Trends

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FedEx UpdateFedEx Update

Beginning 1/1/2011• Must use typed or computer generated shipping

papers for HazMat

Beginning 8/1/2011• HazMat paperwork must be submitted electronically.

Shipping by air or international?Beginning 1/10/2011• HazMat paperwork must be prepared using software

with compliance checks.

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Questions and AnswersQuestions and Answers

27– KPA CONFIDENTIAL –

QUESTIONS?

Contact InformationContact Information

28– KPA CONFIDENTIAL –

The recorded webinar will be emailed to you today

www.kpaonline.com

Becky Ross

bross@kpaonline.com

866-356-1735