Report to API Subcommittee Aboveground Storage Tanks

On

Regulatory Action Program Activities

By

J. Phillip Smith

April 28, 2010

New Orleans, Louisiana

A.  Legislative and Regulatory Activities

1.  Pressure Vessels

a.  Alabama – Legislation regarding boiler inspection fees was passed, but won’t apply to oil or natural gas production facilities or to oil refining or chemical processing facilities.

2.  Storage Tanks

a.  Nebraska – Eliminated the private insurance requirements for UST remediation sites.

b.  Numerous states – UST remediation funding – Many states have raided the UST remediation funding to balance their budget. Last year Florida also raided the fund and replaced it with bonds.

c.  Pennsylvania – has finalized new storage tank regulations – see (25 Pa. Code Chapter 245 – administration of Storage Tank and Spill Prevention Program – go to http://www.pacode.com/secure/data/025/chapter245/chap245toc.html).

d.  Rhode Island – extended deadline to replace single wall USTs from 2015 to 2020.

e.  Connecticut – studying and seeking input on new regulations for ASTs to cut ozone emissions. They are following the Ozone Transportation Commission initiative.

f.  Connecticut – developing legislation that would limit funding for UST cleanup and force these costs on the private sector.

g.  Iowa – developing additional regulation of ASTs.

3.  Other

a.  Wyoming – Wyoming has instituted a $1/megawatt tax on wind generated electricity.

B. ASTM Activities

1.  E50.– Environmental Assessment, Risk Management and Corrective Action

E50.01 – Storage Tanks - I chair this subcommittee. Our last meeting was 4/19-23/2010 in St. Louis. The next meeting is October 11-13, 2010 in San Antonio.

2.  Standard Guide for Environmentally Sound Management of Underground Storage Tank Systems – This document was voted over the summer of 2009. It received 173 positive votes, 2 negative votes and 206 abstentions. One of the negatives was from BP, the other is from a Washington D.C. based group of lawyers who represent the US electric power industry. Further the US EPA has several strong positive comments. We have reviewed the negative comments with the negative voters. We have reviewed the positive comments, and we will discuss each negative and positive comment at our meeting 4/21. We will be able to resolve the negative comments, but there will be substantive changes to the document that will require revoting during the summer of 2010. This document has been in preparation for 12 years. It was started by the person who represented BP on E50.01 in 1998.

3.  Investigation of Petroleum Underground Storage Tank Equipment Failures and Releases – This document was voted at the E50.01 (Tanks) and E50.04 (Remediation) SC and at the main committee level (E50). The issues that caused my negative note were resolved. I voted positive. I expect this item to be moved to publication.

4.  Standard Guide for Use and Redevelopment of Chemically Affected Property. The task force chair is Mark Malander of ExxonMobil, and he is keeping API involved in the development of this document. This document has been Ok’d for publication.

5.  Future activities –

  1. Possible development of a tank operator training document to meet the Energy Policy Act of 2005.
  2. Fencing and lighting for tank terminals. I have prepared outlines of these documents for review by the E50 executive team at our 4/19/10 meeting.

C. National Board Report

1. I have attached the Regulatory Action Program Metrics – Priority 1 States and

Provinces.

2. I have attached the expanded version of the regulatory action metrics which

Include all of the states, several US cities and all of the Canadian Provinces.

3. I have attached the summary of tank inspection information covering most of

the US states.

4. National Board activities and changes:

  1. The NB general meeting will be May 3 - 7, 2010 in San Antonio. The ASME Boiler and Pressure Vessel Committee will be meeting at the same time.
  2. The NB 2011 general meeting will be in Las Vegas May 9 – 13, 2011. The ASME Boiler and Pressure Vessel Committee will also be meeting at the same time.
  3. The NB 2012 general meeting will be May 14-18, 2012 in Nashville
  4. The NB marked its 90th anniversary on December 2, 2009.
  5. The NB offers several training courses. Most of these are offered at their headquarters in Columbus, Ohio. The NB has expanded the training programs to include courses in Shanghai in Chinese. Further they are moving to provide training courses in Europe, Asia and South America.
  6. Ronald L. Spiker, South Carolina Chief Boiler Inspector for the South Carolina Department of Labor, Licensing and Regulation was elected to the National Board. Mr. Spiker is the first NB member from South Carolina.
  7. Paul J. Welch was elected to the National Board representing Georgia. Earl Everett died August 14, 2009.
  8. Dale E. Ross, NB member representing New Brunswick has retired.
  9. John F. Porcella was elected to the National Board representing West Virginia.
  10. Gilles Lemay was elected to the National Board representing Ontario.
  11. Michael J Pischke was appointed to the NB Advisory Committee resenting pressure vessel manufacturers. Mr. Pischke is quality manager for Alfa Laval Inc. He replaces Greg McRae whose term expired.
  12. Bennie F. Bailey was elected to the National Board representing Illinois.
  13. Edward S. Kawa, Jr. was elected to the National Board representing Massachusetts.
  14. Board of Trustee changes:
  15. Joel T. Amato, Chief Boiler Inspector for Minnesota, First Vice Chairman replacing Mark Mooney whose term expired.
  16. Donald Jenkins, Kansas Chief Inspector, Second Vice Chairman replacing Mr. Amato.
  17. Gary Scribner, Deputy Chief Missouri Department of Public Safety, member-at large replacing Mr. Jenkins.

Respectfully submitted,

J. Phillip Smith, P.E.

Attachments

4/16/2010