[Federal Register Volume 61, Number 154 (Thursday, August 8, 1996)]
[Rules and Regulations]
[Pages 41452-41462]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-20020]
[[Page 41451]]
_______________________________________________________________________
Part II
Department of Transportation
_______________________________________________________________________
Coast Guard
_______________________________________________________________________
33 CFR Parts 154 and 156
Facilities Transferring Oil or Hazardous Materials in Bulk; Final Rule
Federal Register / Vol. 61, No. 154 / Thursday, August 8, 1996 /
Rules and Regulations
[[Page 41452]]
DEPARTMENT OF TRANSPORTATION
Coast Guard
33 CFR Parts 154 and 156
[CGD 93-056]
RIN 2115-AE59
Facilities Transferring Oil or Hazardous Materials in Bulk
AGENCY: Coast Guard, DOT.
ACTION: Final rule.
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SUMMARY: The Coast Guard is revising the regulations covering
facilities transferring oil or hazardous materials in bulk. These
revisions are intended to update and clarify the current regulations.
The revisions should result in regulations that are more effective in
providing a high level of safety and environmental protection.
DATES: This rule is effective on February 5, 1997. The Director of the
Federal Register approves as of February 5, 1997 the incorporation by
reference of certain publications listed in the regulations.
ADDRESSES: Unless otherwise indicated, documents referred to in this
preamble are available for inspection or copying at the office of the
Executive Secretary, Marine Safety Council (G-LRA/3406), U.S. Coast
Guard Headquarters, 2100 Second Street SW., room 3406, Washington, DC
20593-0001, between 8 a.m. and 3 p.m., Monday through Friday, except
Federal holidays. The telephone number is (202) 267-1477.
FOR FURTHER INFORMATION CONTACT:
Lieutenant Commander, John W. Farthing, Office of Compliance, (202)
267-0505.
SUPPLEMENTARY INFORMATION:
Regulatory History
On February 23, 1995, the Coast Guard published a notice of
proposed rulemaking (NPRM) entitled ``Facilities Transferring Oil or
Hazardous Materials in Bulk'' in the Federal Register (60 FR 10044).
The Coast Guard received 28 letters commenting on the proposal. One
public meeting was requested; however, due to budgetary constraints and
limitations imposed by organizational changes, none was held.
Background and Purpose
Until 1990, the regulations covering the transfer of products
between vessels and facilities capable of transferring oil or hazardous
materials in bulk to or from a vessel with a capacity of 250 barrels or
more were contained in two different parts of the Code of Federal
Regulations (CFR). Facilities transferring oil in bulk were covered by
33 CFR part 154, while those transferring hazardous materials in bulk
were covered by 33 CFR part 126 (Handling of Explosives or Other
Dangerous Cargoes Within or Contiguous to Waterfront Facilities). The
Coast Guard consolidated and revised the provisions in part 154
(Facilities Transferring Oil or Hazardous Materials in Bulk) in a final
rule published on September 4, 1990 (55 FR 6252). Since that time,
numerous comments have been received from industry and Coast Guard
personnel about problems arising from implementation of part 154. The
NPRM addressed proposed changes to alleviate these problems.
These regulations have also been reviewed under the Coastal Zone
Management Act of 1972 (CZMA), (16 U.S.C. 1451 et seq.), as amended,
and its implementing regulations, 15 CFR Parts 921, 923, 925, 927, 928,
932 and 933 as promulgated by the National Oceanic and Atmospheric
Administration (NOAA). Among other things, the CZMA requires that an
applicant for a Federal license or permit to conduct any activity
``affecting any land or water use or natural resource of the coastal
zone'' must provide to the licensing or permitting agency a
certification that the proposed activity will comply with the approved
Coastal Zone Management Program of any affected State (16 U.S.C.
1456(c)(3)). The CZMA Federal consistency requirements further provide
that no Federal license or permit may be granted until the affected
State(s) have concurred with the applicant's certification, such
concurrence is presumed, or the Secretary of Commerce has found that
the activity either is consistent with the CZMA or in the interest of
national security (16 U.S.C. 1456(c)(3)(A)).
However, 16 U.S.C. 1456(f) exempts from Federal consistency
determinations any requirement imposed by or established pursuant to
the Federal Water Pollution Control Act (FWPCA), as amended (33 U.S.C.
1251 et seq.).
Similarly, 16 U.S.C. 1456(e)(1) provides that the CZMA does not
diminish Federal or state jurisdiction over the planning, development,
or control of water resources, submerged lands, or navigable waters,
among other things.
The regulations established in parts 154 and 156 of this rulemaking
could appear to implicate the CZMA and its Federal consistency
requirement because they require Coast Guard approval for bulk
transfers of oil or hazardous materials between facility's and vessels,
for approval of a facility's Operations Manual, and for any alternative
procedure or equipment used to comply with these regulations. These
activities appear to be the type that may affect land or water use or a
natural resource of a coastal zone.
These requirements are intended to protect the coastal environment.
The Coast Guard does not anticipate any conflict between these
regulations and a State's coastal zone management plan. However,
because these regulations are issued under the authority of the FWPCA,
as amended by the Water Quality Act of 1987 (Pub. L. 100-4, 101 Stat.
75) and the Oil Pollution Act of 1990 (Pub. L. 101-380, 104 Stat. 507
et seq.), the Coast Guard finds they are exempt from CZMA consistency
requirements under 16 U.S.C. 1456(f).
The FWPCA requires the issuance of regulations to prevent the
discharge of oil or hazardous materials from vessels and facilities, to
require installation and inspection of discharge removal equipment on
vessels, and to require monitoring, reporting, and recordkeeping
regarding discharges of oil or hazardous materials by facilities (33
U.S.C. 1321(j)(1) (C) and (D), (j)(6) and (m)(2)).
The Coast Guard notes that the existing part 154 and 156
regulations also cite the Ports and Waterways Safety Act (33 U.S.C.
1231) regarding ports and waterways regulations and 46 U.S.C. 3715
regarding lightering; however, those provisions do not address the core
purpose of this rulemaking, which is to regulate bulk oil and hazardous
materials transfers between facilities and vessels. In contrast, the
regulations being implemented today are promulgated under the mandate
of the FWPCA and are consequently exempt from the CZMA's Federal
consistency requirements (16 U.S.C. 1456(f)).
Discussion of Comments and Changes
The Coast Guard received 28 letters commenting on the NPRM entitled
``Facilities Transferring Oil or Hazardous Materials in Bulk''
published in the Federal Register on February 23, 1995 (60 FR 10044),
and has considered the comments in developing this final rule.
Weights and Measures
Coast Guard regulatory practice is that primary weights and
measures be specified in metric units. Therefore, this rule specifies
all weights and measures in metric units followed by English
equivalents. The conversion of weights and measures ensure that
equipment or procedures complying with the English values in the NPRM
will also comply with the metric values in this rule.
[[Page 41453]]
Therefore, the conversions should have no impact on compliance with
this rule.
Applicability
Four comments addressed the proposed changes to Sec. 154.100. Two
of these comments requested that the wording of this section be
clarified to state that these regulations do not apply to offshore
facilities regulated under the Department of Interior's (DOI's)
Minerals Management Service (MMS) regulations in 33 CFR 250. Under
Executive Order 12777, jurisdictional responsibility for offshore
facilities was delegated to MMS. On February 3, 1994, under the
Memorandum of Understanding (MOU) between DOI, the Environmental
Protection Agency (EPA) and the Department of Transportation (DOT),
spill prevention and control, contingency planning, and equipment
inspection activities associated with offshore facilities were assigned
to the DOI. Section 154.100 has been revised to clarify that this part
does not apply to offshore facilities operating under the jurisdiction
of the Secretary of the DOI.
A new paragraph is added to the applicability section which
specifies all of the requirements that are applicable to mobile
transfer facilities.
Definitions
The definitions of ``caretaker status'', ``marine transfer area'',
and ``onshore facility'' have been added, and the definitions of
``facility'', ``offshore facility'' and ``transfer'' have been revised.
The Coast Guard is adding a definition of ``caretaker status'' to
these regulations. ``Caretaker status'' is used to identify a facility
whose marine transfer equipment has been taken out of service. Two
comments discussed the proposed definition of ``caretaker status'' in
the NPRM. One of these comments stated that existing state requirements
for decommissioning criteria obviate the need for a new Federal
definition. One of these comments stated that the Coast Guard should
further justify the need to define the term ``caretaker status''. The
Coast Guard does not agree with these comments. The revised regulations
contain numerous references to facilities that are in a ``caretaker
status''. Without clear definition of this term, it would be difficult
for industry to comply with Coast Guard regulations. The proposed
definition has been clarified to state that it only applies to those
parts of a waterfront facility subject to Coast Guard jurisdiction.
The Coast Guard is also adding a definition for ``marine transfer
area'' to these regulations. This term is used several times in the
existing and revised regulations but has not been previously defined.
The new definition is similar to the one found in other Coast Guard
waterfront facility regulations and is intended to delineate those
areas of a waterfront facility subject to Coast Guard jurisdiction.
Two comments addressed the proposed definition of ``facility''. One
comment requested that a definition of ``onshore facility'' be added to
the regulations. The Coast Guard agrees with this comment and is adding
the definition of ``onshore facility'' as found in the Federal Water
Pollution Control Act (FWPCA) [33 U.S.C. Sec. 1321(a)(10)]. The
definition of ``facility'' has also been clarified to exclude offshore
facilities operating under the jurisdiction of the Secretary of the
DOI. Additionally, the definition of ``offshore facility'' has been
revised to conform with the definition in the authorizing legislation.
Eight comments addressed the proposed revision to the definition of
``transfer''. One comment supported the proposed definition as written.
Seven comments strongly objected to the proposed definition. The
majority of the dissenting comments stated that the proposed definition
would create a regulatory conflict with the requirements of 33 CFR
156.150 which specifies that a transfer may not take place until the
declaration of inspection and all necessary inspections have been
completed by the persons in charge. One comment also requested that the
definition be revised to indicate when a transfer is considered
complete. After review of industry comments, the Coast Guard is
revising the definition of ``transfer'' to state that a transfer begins
when the persons in charge meet to begin the process of completing the
declaration of inspection. This revised definition recognizes standard
industry practices and better focuses the intent of the regulations on
those actions that directly lead to the flow of products. The
definition of ``transfer'' is also being revised to state that a
transfer is considered complete when all the connections for the
transfer have been uncoupled and secured, and when the persons in
charge have completed the declaration of inspection to specify the date
and time the transfer was completed. The rule contains an amendment
that is consistent with the regulations in Sec. 156.150.
Alternatives
Three comments discussed the proposed changes to Sec. 154.107.
These comments generally objected to the extended time frame for review
of a request for alternative procedures, methods or equipment
standards, suggesting that industry could be subjected to hardship if a
facility operator had to wait 60 days for the Captain of the Port
(COTP) to complete the examination of a request for an alternative.
After further review, the Coast Guard is retaining the 30 day time
period for COTPs to review proposed alternatives.
Letter of Intent
One comment was received on the proposed changes to Sec. 154.110
citing that it would be more appropriate to change the requirement in
Sec. 154.1035 to include the requirement for the name of the facility
owner in the Facility Response Plan (FRP). The Coast Guard disagrees
with this comment. The Coast Guard recognizes that including this
information may be duplicative of the FRP requirements; however, FRP
requirements currently only apply to facilities transferring oil and
not to those facilities transferring hazardous materials. As stated in
the preamble to the NPRM, this additional information will be of great
assistance in determining and locating the responsible party during a
spill or other emergency.
Operations Manual: Contents
Seven comments discussed the proposed changes to Sec. 154.310. The
majority of the comments stated that the proposed facility map
requirement was redundant to the information required in the FRP. The
Coast Guard recognizes that this requirement may be duplicative for
some facilities; however, the FRP requirements currently only apply to
those facilities that transfer oil, not to those facilities
transferring hazardous materials. Several of these comments also
objected to the requirement for a single map of the facility, drawn to
scale, to be included in the Operations Manual. The majority of these
comments noted that, for large facilities, a single map of this type
would be impractical. The Coast Guard agrees with these comments and is
revising the proposed requirement to allow multiple maps, plans,
drawings, diagrams or aerial photographs that are considered acceptable
by the COTP in order to comply with this requirement.
Four comments addressed the proposal that Material Safety Data
Sheets (MSDS) be included in the Operations Manual rather than the
information currently required by paragraph 154.310(a)(5). The majority
of comments supported the use of the MSDS, but objected to the
requirements that they be included in the Operations
[[Page 41454]]
Manual. Several comments noted that as large facilities routinely
handle a high volume of products, the Operations Manual could increase
in size by more than a thousand pages. The Coast Guard agrees with
these comments. Noting that facilities are currently required to
maintain MSDSs under subpart F of this part, and under other Federal,
State or local regulations, the Coast Guard is retaining the current
product information requirements in Sec. 154.310(a)(5).
Eight comments discussed the proposal to add the names and
telephone numbers of state and local officials to the list of names and
addresses currently required under paragraph 154.310(a)(7). The
majority of the comments stated that the inclusion of this information
was redundant to the information required by the FRP. The Coast Guard
recognizes this information may be duplicative for some facilities;
however, the Coast Guard emphasizes the importance of this information
and the necessity that it be readily available to transfer personnel.
Several comments requested that the requirement be reworded to allow
the title and position of the appropriate Federal, State and/or local
officials' name to be listed, because of the frequency in personnel
changes. The Coast Guard agrees with these comments and has revised the
regulations to require that the title and/or position instead of the
name be included.
Two comments discussed the proposed requirement that the maximum
allowable working pressure (MAWP) be recorded in the Operations Manual.
Both comments supported the inclusion of this information; therefore,
the proposed language is retained. An editorial correction is also made
to paragraph 154.310(a)(15) to correct the reference.
Four comments addressed the proposed extension of the response
period from 14 to 45 days under paragraph 154.320(a)(1), which amends
the Operations Manual after examination by the COTP. All of these
comments supported the extension of the facility response time in order
to better identify any inadequacies found by the COTP. The proposed
language is retained. Also, an editorial correction is made to
paragraph 154.320(d) to correct the reference.
Operations Manual: Procedures for Examination
The Coast Guard is revising its procedures for reviewing and
approving Operations Manuals in paragraphs 154.300 and 154.325. Rather
than issue a Letter of Adequacy each time an Operations Manual is
reviewed and/or amended, COTPs will now examine the manual to verify it
meets the requirements of this chapter. Facility operators will now
submit two copies of their Operations Manual, or any changes, to the
COTP for review. If the manual, as submitted, meets the requirements of
this chapter, the COTP will return one copy to the facility operator
marked ``Examined by the Coast Guard''. This change will alleviate some
of the paperwork burden on COTPs and on the industry, and conform the
Operations Manual regulations in this chapter to other U.S. Coast Guard
waterfront facility regulations.
Hose Assemblies
Five comments discussed the proposed changes to Sec. 154.500. One
comment supported the proposed language as written. Another comment
stated that some arrangement must be made to ensure that vessels
pumping ashore to the receiving facility do not exceed the facility's
MAWP. The Coast Guard agrees with this comment, and an amendment that
conforms to Sec. 156.120 is being included to ensure that as part of
the process of completing the declaration of inspection, the persons in
charge shall ensure that the transfer pressure does not exceed the
facility's MAWP. Two comments objected to the proposed change, stating
that the current requirements have become industry standards and
changing them would be counterproductive to the intent of the proposed
rule. The Coast Guard does not agree with these comments. As stated in
the NPRM, it is more reasonable for the MAWP to be based on the actual
operational pressure of the transfer system, rather than a pre-
specified number. When the MAWP is based on the actual operational
pressure, industry can develop tests and inspection criteria based on
the needs of the system, avoiding unnecessary expense by testing to a
level far higher than that of their systems' operational pressure.
Closure Devices
Two comments agreed with the proposed changes to Sec. 154.520. One
of these comments requested that language be included stating that a
gasket or other suitable material be installed along with a closure
device. The Coast Guard agrees with this comment and has added language
similar to the requirement in Sec. 156.130 for closure devices.
Small Discharge Containment
Thirteen comments addressed the proposed changes to Sec. 154.530.
All of these comments objected to adding the proposed requirement that
fixed or portable containment be placed under each hose connection
during coupling, uncoupling, and transfer. The majority of the comments
noted that hoses used for transfer operations are normally comprised of
several lengths of hoses flanged together with permanent connections
and it would be infeasible to provide containment under every
connection as they are often located over water or in a vertical
alignment where it is impossible to place containment. Noting that
paragraph 156.120(p) requires the persons in charge to ensure that all
connections in the transfer system are leak free prior to transfer and
that paragraph 156.130 allows for permanently connected flanges, the
Coast Guard has clarified Sec. 154.530 to state that containment is
required under each hose connection that will be coupled or uncoupled
as part of the transfer operation during coupling, uncoupling and
transfer.
Discharge Removal
Ten comments discussed proposed changes to Sec. 154.540. All of
these comments objected to the proposed 1 hour time requirement for
removal of any discharge into the containment. These comments opposed
the new requirement as too restrictive and requested that the
flexibility of the existing language be retained. Noting the
requirement in paragraph 156.120(n) and that the discharge containment
should be periodically drained to provide the required capacity, the
Coast Guard is revising the proposed language to require that any
discharged product by removed from the containment within 1 hour of
completion of the transfer.
The NPRM proposed to add a paragraph to Sec. 154.545 that would
specify that equipment required to be retained under this section may
be used in the planning requirements of the facility response plan
required by subpart F. No comments were received on this recommendation
and the proposed language is retained.
Communications
Four comments discussed the proposed changes to Sec. 154.560. Two
comments agreed with the proposed changes. One comment noted that
labels tend to wear off over time or become unreadable and, as an
alternative, suggested that each facility should be allowed to maintain
documentation on
[[Page 41455]]
the premises certifying that the equipment in use is intrinsically
safe. The Coast Guard agrees with this comment and has revised the
proposed language to allow facility operators the option of maintaining
documentation at the facility, which shows that the equipment in use
meets the requirements of this part. An amendment which conforms to
Sec. 154.740 is also included in the requirement to have these records
available for inspection by the COTP.
Persons in Charge: Designation and Qualification
Fifteen comments discussed the proposed changes to Sec. 154.710.
Some confusion resulted from a misprint in the NPRM that listed
Sec. 154.720(a)(23) as a reference. The correct reference should have
read Sec. 154.310(a)(21), which requires a description of the training
program for persons in charge to be included in the Operations Manual.
The majority of the comments objected to a separate approval of the
facility's training program by the COTP, as this could lead to vast
disparity among the different COTPs as to what training is required.
The majority of the comments also noted that by examining the
Operations Manual, the COTP is already examining the training program
since it is described there in accordance with Sec. 154.310(a)(21). The
Coast Guard agrees with these comments and is removing the requirement
for the COTP to separately approve the facility's training program.
Seven comments addressed the proposal that the person in charge
(PIC) should be in visual sight of the transfer system from the time a
hose connection is completed, until the time the connection is broken.
All of these comments objected to this requirement as unreasonable and
impractical. Several of these comments also noted the requirements in
paragraphs 156.160 (a) and (c) where each PIC must directly supervise
certain critical operations and must be in the immediate vicinity,
immediately available to the transfer personnel. Upon further review,
the Coast Guard is removing this proposal.
The Coast Guard wishes to clarify that the requirements for
designation and qualification as a PIC in this rule apply only to
waterfront facility personnel. The requirements for designation and
qualification as a PIC on vessels are contained in a separate
rulemaking entitled ``Qualifications for Tankermen, and for Persons in
Charge of Transfers of Dangerous Liquids and Liquefied Gases'' (61 FR
17134; April 4, 1995).
New paragraph (e) is being added to Sec. 154.710 to state that
training to meet other regulatory requirements can be used to meet the
requirements of this section as long as that training addresses the
requirements of this section.
Safety Requirements
Twelve comments discussed the proposed changes to Sec. 154.735. Two
of these comments supported the continuation of the hot work permit
program. Several comments supported doing away with the hot work
permit, but objected to the responsibility for the safety of all hot
work on vessels moored to the facility being placed on the facility's
owner and operator. These comments noted the difficulty a facility
would have in providing oversight and subsequent liability concerns.
The Coast Guard agrees with these comments and has removed the language
concerning hot work on vessels, noting that hot work on tankships and
tank barges is already regulated under 46 CFR
35.01-1.
Three comments addressed the proposed changes to Sec. 154.735(s)
providing that tank cleaning or gas freeing operations conducted by the
facility on vessels carrying oil residues or mixtures be conducted in
accordance with specified sections of the International Safety Guide
for Oil Tankers and Terminals (ISGOTT). The provision to allow facility
owners or operators to request the COTP to approve, in accordance with
Sec. 154.107, alternative methods of compliance based on sound industry
practices satisfied these comments. One comment stated that the ISGOTT
manual was being revised in the near future and that the referenced
sections would have to be updated. The Coast Guard has reviewed the new
version of the ISGOTT manual and revised this section accordingly.
Seven comments addressed the proposed security requirements for
waterfront facilities. All of these comments objected to the proposed
requirements. These comments outlined the existing procedures currently
used by facilities for controlling access to marine transfer areas such
as fencing, gates, and video surveillance. The revised rule has been
reworded in a manner similar to the existing text to allow facilities
more flexibility in their security arrangements based on existing
procedures and local conditions. The proposed requirement that
personnel have facility-issued identification cards has been removed.
No comments were received on the proposal to prohibit smoking at
waterfront facilities except in designated areas; therefore, the
proposed language is retained.
Five comments discussed the proposal to require that three-way
warning signs, similar to those required under 33 CFR 126.15(o)(2)(i),
be displayed on the facility at the point of transfer, without
obstruction, at all times, on a fixed facility, and during coupling,
transfer operations, and uncoupling on a mobile facility. Two of these
comments supported the proposal as written. One comment requested that,
since the requirements for tank vessels and tank barges already cover
the requirements for warning signs at the point of transfer, the
location of the warning signs should be at each shoreside entrance to
the dock or berth for fixed facilities. The Coast Guard agrees with
this comment and has revised the final rule accordingly. One of these
comments requested that facilities with non-exclusive use of dock space
be allowed to use portable signs posted only during transfer
operations. While the Coast Guard agrees with this comment, it believes
this method does not need to be a regulatory requirement, but rather an
alternative that the COTP can approve on a case by case basis.
Records
Seven comments discussed the proposed changes to Sec. 154.740. The
majority of these comments supported the maintaining of records in a
central location. However, all of the comments objected to the
requirement that these records be maintained in the same location as
the Operations Manual. The majority of these comments noted that,
particularly at large facilities, there are multiple copies of the
Operations Manual scattered throughout the facility; however, requiring
these records at each location would create a heavy paperwork burden on
the industry. The majority of these comments requested that the
facility be allowed to designate a centralized location for these
records, since many of them are already computerized. The Coast Guard
agrees with these comments and has revised the final rule to allow
facilities flexibility in designating a centralized location where the
records will be kept.
Conforming changes to certain sections of 33 CFR part 156 have been
made to ensure consistency with the changes made to part 154.
Requirements for Transfer
In 33 CFR 156.120 the definition of ``transfer'' has been revised
to conform to the definition in Sec. 154.105. As previously discussed,
other amendments have been revised to conform to Sec. 156.120(w)(5) to
ensure that transfer pressures do not exceed a
[[Page 41456]]
facility's maximum allowable working pressure (MAWP). A new paragraph
(dd) has been added to Sec. 156.120 to clarify that welding, hot work
and smoking will not be permitted on vessels during transfer
operations. The Coast Guard recognizes that smoking on tank barges or
tank vessels is currently regulated under 46 CFR 35.30-5. However,
numerous problems have developed because vessel personnel have been
discovered smoking during the bunkering of freight vessels which are
not currently covered under the regulations. An editorial correction is
made to Sec. 156.120(f) to correct the reference.
Supervision by Person in Charge
Eight comments addressed the proposed changes to Sec. 156.160. All
of these comments objected to the proposed requirement as impractical
and infeasible due to the length of time that transfers take, and the
need to occasionally stop a transfer for weather, other facility
operations, equipment checks, or crew rest breaks. The Coast Guard
agrees with these comments and has retained the original text of the
regulations.
Equipment Tests and Inspections
Five comments addressed the proposed changes to Sec. 156.170. One
comment requested that, as stated in the preamble, language in the
final rule include a provision stating that the test medium does not
have to be water. The Coast Guard agrees with this comment and has
revised the final rule accordingly. However, facility operators are
cautioned against using oil or hazardous material as a test medium.
Because leaks are an expected result of any test, a discharge of oil or
hazardous material resulting from a test could be considered a willful
discharge. An editorial correction is made to Sec. 156.170(c)(1)(i) to
correct the reference.
One comment requested that components that have been gas-freed and
blanked-off be exempted from the testing requirements. This comment
stated that industry frequently takes some components out of service
for extended periods of time; therefore, these components should not be
required to be tested unless they are returned to service. The
revisions to the proposed text allow this option as the Coast Guard has
removed the word ``active'' from the proposed Sec. 156.170(f)(1) so
that facilities that are not in a caretaker status will be required to
conduct their tests either annually, or not less than 30 days prior to
the first transfer past the one year inspection date. For example, if a
facility had previously tested its components, and then had removed
these components from service for the previous 15 months, this facility
would be required to test the components that had been removed from
service not less than 30 days prior to the first transfer using the
components.
Two comments supported the proposal to give the COTP the authority
to approve alternative methods of compliance to the testing
requirements in this section. Therefore, the proposed language is
retained.
Exemptions
Editorial corrections are being made to Sec. 154.108 and
Sec. 156.110 to reflect the change in the office title from Chief,
Office of Marine Safety, Security and Environmental Protection to the
Chief, Marine Safety and Environmental Protection. This change is a
result of recent Coast Guard streamlining initiatives.
Incorporation by Reference
The Director of the Federal Register has approved the material in
Sec. 154.106 for incorporation by reference under 5 U.S.C. 552 and 1
CFR part 51. The material is available as indicated in that section.
Regulatory Evaluation
This is not a significant regulatory action under section 3(f) of
Executive Order 12866 and does not require an assessment of potential
costs and benefits under section 6(a)(3) of that order. It has not been
reviewed by the Office of Management and Budget under that order. It is
not significant under the regulatory policies and procedures of the
Department of Transportation (DOT) (44 11040; February 26, 1979). A
draft Regulatory Evaluation under paragraph 10e of the regulatory
policies and procedures of DOT has been prepared and is available in
the docket for inspection or copying where indicated under ADDRESSES.
The Evaluation is summarized as follows:
It is estimated that 2,591 fixed and 539 mobile marine
transportation related facilities will be affected by these
regulations. Many of the revisions are clarifying changes that will
impose no additional costs on facilities presently in compliance with
the regulations. For example, information previously kept separately is
now required to be kept in the same location. Since this information is
not required to be included in the operations manual, no additional
cost is incurred for the review by the Coast Guard or the facility.
There are some new requirements associated with this Final Rule.
These requirements include the following: a map or maps, drawings, or
other diagrams acceptable to the COTP showing the boundaries of the
Coast Guard's jurisdiction (Sec. 154.310(a)(2)); additional
requirements for mobile transfer facilities including sufficient fire
extinguishers, protective equipment, three-way warning signs,
electrical wiring and the ``person in charge requirements''
(Sec. 154.100(d)); a more extensive training and qualification program
for persons in charge (Sec. 154.710(c)); and three-way warning signs
(Sec. 154.735(v)).
However, other revisions lessen the burden on industry. Examples of
the reduction in burden are the deletion of the requirement that
transfer hoses have a maximum allowable working pressure of at least
150 psi (Sec. 154.500(b)) and deletion of the requirement for a
facility to obtain a hot work permit (Sec. 154.735(1)).
In consideration of the additions and deletions to part 154 and
156, it is estimated that the annual net cost to all facilities would
be $5,448,235, when capital costs are incurred over a 5 year period.
The overriding benefit of the regulations to industry and the Coast
Guard would be the establishment of rules that are easier to understand
and that would facilitate and foster industry compliance, leading to a
higher level of environmental protection.
The direct monetary benefit of increased protection would come from
the reduction of spills resulting from facility operations. These
regulations are designed to achieve an overall reduction of oil and
hazardous materials spilled into the water by 20%. The weighted average
of the annual volume of bulk oil and hazardous material spilled from
1986 to 1995 from facilities was 4,124,430 gallons. The estimated costs
of spill cleanup, third party damages, and natural resource damages
resulting from this volume total $82,488,600. a 20% reduction will give
an annual benefit of $16,497,720.
Comparing the monetary benefits of the provisions against the
compliance cost to industry, the annual benefit of the regulations is
estimated to be $11,049,485.
Small Entities
Under the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) and
1996 amendments (enacted as Chapter 8 of Title 5, U.S. Code) the Coast
Guard must consider whether this rule, if adopted, will have a
significant economic impact on a substantial number of small
[[Page 41457]]
entities. ``Small entities'' may include (1) small businesses and not-
for-profit organizations that are independently owned and operated and
are not dominant in their fields and (2) governmental jurisdictions
with populations of less than 50,000.
The majority of facilities are owned by large corporations. The new
requirements established by this rule, measured against the proposed
relief from other requirements currently in effect, will result in a
negligible cost increase for facilities that presently comply with part
154.
Therefore, the Coast Guard certifies under 5 U.S.C. 605(b) that
this rule, as adopted, will not have a significant economic impact on a
substantial number of small entities.
Collection of Information
Under the Paperwork Reduction Act (44 U.S.C. 3501 et seq.), the
Office of Management and Budget (OMB) reviews each proposed rule that
contains a collection-of-information requirement to determine whether
the practical value of the information is worth the burden imposed by
its collection. Collection-of-information requirements include
reporting, recordkeeping, notification, and other, similar
requirements.
This rule contains new collection-of-information requirements in
the following sections: Sec. 154.310 and Sec. 154.560. The following
particulars apply:
DOT No.: 2115.
OMB Control No.: 2115-0078.
Administration: U.S. Coast Guard.
Title: Changes to regulations covering Facilities Transferring Oil
or Hazardous Materials in Bulk.
Need for Information: It is required that information, presently
kept separately, now be kept in a centralized location. However, little
new information is required. Maintaining all records in one location
where they are readily accessible will encourage facility owners and
operators to be better prepared and thereby help to prevent spills and
accidents resulting from improper procedures.
Proposed Use of Information: To determine regulatory compliance.
Frequency of Response: On occasion.
Burden Estimate: 22,632 hours per year.
Respondents: 3,130 operators of bulk oil and hazardous materials
transfer facilities.
Form(s): Not applicable.
Average Burden Hours per Respondent: 15.8 hours to prepare and
submit an amendment to an existing Operations Manual and 88 hours to
prepare and submit a new Operations Manual.
Persons are not required to respond to a collection of information
unless it displays a currently valid OMB control number. This final
rule contains information collection requirements which have been
approved under OMB no. 2115-0078 and which expires on July 31, 1996.
The Coast Guard has submitted the requirements to OMB for review and
renewal under section 3504(h) of the Paperwork Reduction Act.
The U.S. Coast Guard will publish a notice in the Federal Register
prior to the effective date of this final rule of OMB's decision to
approve, modify or disapprove the information collection requirements.
Individuals and organizations may submit comments on the information
collection requirements by October 7, 1996, and should direct them to
the Executive Secretary, Marine Safety Council (address above) and to
the Office of Information and Regulatory Affairs, OMB, New Executive
Office Bldg., rm 10235, 725 17th St. NW., Washington, DC 20503,
Attention: Desk Officer for DOT.
Federalism
The Coast Guard has analyzed this rule under the principles and
criteria contained in Executive Order 12612 and has determined that
this proposal does not have sufficient federalism implications to
warrant the preparation of a Federalism Assessment.
Environment
The Coast Guard considered the environmental impact of this final
rule and concluded that, under paragraph 2.B.2.e(34)(A), (D), and (E)
of Commandant Instruction M16475.1B, this rulemaking is categorically
excluded from further environmental documentation.
This rulemaking will have no direct environmental impact. This
rulemaking will revise the regulations covering facilities transferring
oil or hazardous material in bulk. these revisions will clarify and
consolidate the present rules, as well as adding a number of new
operational requirements. A ``Categorical Exclusion Determination'' is
available in the docket for inspection or copying where indicated under
``ADDRESSES''.
List of Subjects
33 CFR Part 154
Fire prevention, Hazardous substances, Oil pollution, Reporting and
recordkeeping requirements, Incorporation by reference.
33 CFR Part 156
Hazardous substances, Oil pollution, Reporting and recordkeeping
requirements, Water pollution control.
For the reasons set out in the preamble, the Coast Guard is
amending 33 CFR parts 154 and 156 as follows:
PART 154--FACILITIES TRANSFERRING OIL OR HAZARDOUS MATERIAL IN BULK
1. The authority citation for part 154 continues to read as
follows:
Authority: 33 U.S.C. 1231, 1321(j)(1)(C), (j)(5), (j)(6) and
(m)(2); sec. 2, E.O. 12777, 56 FR 54757; 49 CFR 1.46. Subpart F is
also issued under 33 U.S.C. 2735.
Subpart A--General
2. In Sec. 154.100, paragraph (a) is revised and paragraph (d) is
added to read as follows:
Sec. 154.100 Applicability.
(a) This part applies to each facility that is capable of
transferring oil or hazardous materials, in bulk, to or from a vessel,
where the vessel has a total capacity, from a combination of all bulk
products carried, of 39.75 cubic meters (250 barrels) or more. This
part does not apply to the facility when it is in a caretaker status.
This part does not apply to any offshore facility operating under the
jurisdiction of the Secretary of the Department of Interior.
* * * * *
(d) The following sections of this part apply to mobile facilities:
(1) Section 154.105 Definitions.
(2) Section 154.107 Alternatives.
(3) Section 154.108 Exemptions.
(4) Section 154.110 Letter of Intent.
(5) Section 154.120 Facility examinations.
(6) Section 154.300 Operations Manual: General.
(7) Section 154.310 Operations Manual: Contents. Paragraphs (a)(2),
(a)(3), (a)(5) through (a)(7), (a)(9), (a)(12), (a)(14), (a)(16),
(a)(17)(ii) through (a)(17)(iv), (a)(18), (a)(20) through (23), (c) and
(d).
(8) Section 154.320 Operations Manual: Amendment.
(9) Section 154.325 Operations Manual: Procedures for examination.
(10) Section 154.500 Hose assemblies. Paragraphs (a), (b), (c),
(d)(1) through (3) and (e)(1) through (3).
(11) Section 154.520 Closure devices.
(12) Section 154.530 Small discharge containment. Paragraphs (a)(1)
through (3) and (d).
(13) Section 154.545 Discharge containment equipment.
(14) Section 154.550 Emergency shutdown.
[[Page 41458]]
(15) Section 154.560 Communications.
(16) Section 154.570 Lighting. Paragraphs (c) and (d).
(17) Section 154.700 General.
(18) Section 154.710 Persons in charge: Designation and
qualification. Paragraphs (a) through (c), (d)(1) through (3), (d)(7)
and (e).
(19) Section 154.730 Persons in charge: Evidence of designation.
(20) Section 154.735 Safety requirements. Paragraphs (d), (f), (g),
(j)(1) through (2), (k)(1) through (2), (m), (o) through (q), (r)(1)
through (3), (s) and (v).
(21) Section 154.740 Records. Paragraphs (a) through (f) and (j).
(22) Section 154.750 Compliance with Operations Manual.
3. In Sec. 154.105, the following definitions of ``Caretaker
Status'', ``Marine Transfer Area'', and ``Onshore Facility'' are added
in alphabetical order and the definitions of ``Facility'', ``Offshore
Facility'' and ``Transfer'' are revised to read as follows:
Sec. 154.105 Definitions.
* * * * *
Caretaker Status denotes a facility where all piping, hoses,
loading arms, storage tanks, and related equipment in the marine
transfer area are completely free of oil or hazardous materials, where
these components have been certified as being gas free, where piping,
hoses, and loading arms terminating near any body of water have been
blanked, and where the facility operator has notified the COTP that the
facility will be in caretaker status.
* * * * *
Facility means either an onshore or offshore facility, except for
an offshore facility operating under the jurisdiction of the Secretary
of the Department of Interior, and includes, but is not limited to,
structure, equipment, and appurtenances thereto, used or capable of
being used to transfer oil or hazardous materials to or from a vessel
or public vessel. Also included are facilities that tank clean or strip
and any floating structure that is used to support an integral part of
the facility's operation. A facility includes federal, state,
municipal, and private facilities.
* * * * *
Marine transfer area means that part of a waterfront facility
handling oil or hazardous materials in bulk between the vessel, or
where the vessel moors, and the first manifold or shutoff valve on the
pipeline encountered after the pipeline enters the secondary
containment around the bulk storage tank required under 40 CFR 112.7
inland of the terminal manifold or loading arm, or, in the absence of
secondary containment, to the valve or manifold adjacent to the bulk
storage tank, including the entire pier or wharf to which a vessel
transferring oil or hazardous materials is moored.
* * * * *
Offshore facility means any facility of any kind located in, on, or
under, any of the navigable waters of the United States, and any
facility of any kind which is subject to the jurisdiction of the United
States and is located in, on, or under any other waters, other than a
vessel or a public vessel.
* * * * *
Onshore facility means any facility (including, but not limited to,
motor vehicles and rolling stock) of any kind located in, on, or under
any land within the United States other than submerged land.
* * * * *
Transfer means any movement of oil or hazardous material to, from,
or within a vessel by means of pumping, gravitation, or displacement. A
transfer is considered to begin when the person in charge on the
transferring vessel or facility and the person in charge on the
receiving facility or vessel first meet to begin completing the
declaration of inspection as required by Sec. 156.150 of this chapter.
A transfer is considered to be complete when all the connections for
the transfer have been uncoupled and secured with blanks or other
closure devices and both of the persons in charge have completed the
declaration of inspection to include the date and time the transfer was
complete.
* * * * *
4. In Sec. 154.106, paragraphs (a) and (b) and the entries for
``National Fire Protection Association (NFPA)'' and ``Oil Companies
International Marine Forum (OCIMF)'' are revised to read as follows:
Sec. 154.106 Incorporation by reference.
(a) Certain material is incorporated by reference into this part
with the approval of the Director of the Federal Register in accordance
with 5 U.S.C. 552(a) and 1 CFR part 51. To enforce any edition other
than that specified in paragraph (b) of this section, the Coast Guard
must publish notice of change in the Federal Register and make the
material available to the public. All approved material is on file at
the Office of the Federal Register, 800 North Capitol Street NW., suite
700, Washington, DC and at the U.S. Coast Guard, Office of the
Compliance (G-MOC), Room 1116, 2100 Second Street SW., Washington, DC
20593-0001, and is available from the sources indicated in paragraph
(b) of this section.
(b) The material approved for incorporation by reference in this
part and the sections affected are:
* * * * *
National Fire Protection Association (MFPA), 1 Batterymarch Park,
Quincy, MA 02269-9101
NFPA 51B, Standard for Fire Prevention in Use of Cutting and
Welding Processes, 1994.........................................154.735
* * * * *
Oil Companies International Marine Forum (OCIMF), 96 Victoria Street,
15th Floor, London SW1E 5JW, England
International Safety Guide for Oil Tankers and Terminals, Section
6.10, Fourth Ed., 1996..........................................154.810
International Safety Guide for Oil Tankers and Terminals,
Sections 9.1, 9.2, 9.3 and 9.5, Fourth Ed., 1996................154.735
5. Section 154.107 is amended by revising paragraph (b) to read as
follows:
Sec. 154.107 Alternative.
* * * * *
(b) The COTP takes final approval or disapproval action on the
request, submitted in accordance with paragraph (a) of this section, in
writing within 30 days of receipt of the request.
6. Section 154.108 is amended by revising paragraphs (a)
introductory text and (d) to read as follows:
Sec. 154.108 Exemptions.
(a) The Chief, Marine Safety and Environmental Protection, acting
for the Commandant, grants an exemption or partial exemption from
compliance with any requirement in this part if:
* * * * *
(d) An exemption is granted or denied in writing. The decision of
the Chief, Marine Safety and Environmental Protection is a final agency
action.
7. In Sec. 154.110, paragraph (b)(1) is revised to read as follows:
Sec. 154.110 Letter of intent.
* * * * *
(b) * * *
(1) The names, addresses, and telephone numbers of the facility
operator and the facility owner;
* * * * *
Subpart B--Operations Manual
8. In Sec. 154.300, paragraphs (a) introductory text, (c), (e) and
(f) are revised to read as follows (the note following paragraph (b) is
unchanged):
Sec. 154.300 Operations Manual: General.
(a) The facility operator of each facility to which this part
applies shall
[[Page 41459]]
submit, with the letter of intent, two copies of an Operations Manual
that:
* * * * *
(c) The COTP shall examine the Operations Manual when submitted,
after any substantial amendment, and as otherwise required by the COTP.
* * * * *
(e) If the manual meets the requirements of this part and part 156
of this chapter, the COTP will return one copy of the manual marked
``Examined by the Coast Guard'' as described in Sec. 154.325.
(f) The facility operator shall ensure that a sufficient number of
copies of the examined Operations Manual, including a sufficient number
of the translations required by paragraph (a)(3) of this section, are
readily available for each facility person in charge while conducting a
transfer operation.
* * * * *
9. In Sec. 154.310, paragraphs (a)(2), (a)(7), (a)(15), (a)(16) and
(a)(22) are revised and paragraph (a)(23) is added to read as follows:
Sec. 154.310 Operations manual: Contents.
(a) * * *
(2) A physical description of the facility including a plan and/or
plans, maps, drawings, aerial photographs or diagrams, showing the
boundaries of the facility subject to Coast Guard jurisdiction, mooring
areas, transfer locations, control stations, wharfs, the extent and
scope of the piping subject to the tests required by Sec. 156.170(c)(4)
of this chapter, and the locations of safety equipment. For mobile
facilities, a physical description of the facility;
* * * * *
(7) The name and telephone number of the qualified individual
identified under Sec. 154.1026 of this part and the title and/or
position and telephone number of the Coast Guard, State, local, and
other personnel who may be called by the employees of the facility in
an emergency;
* * * * *
(15) Quantity, type, location, and instructions for use of fire
extinguishing equipment required by Sec. 154.735(d) of this part;
(16) The maximum allowable working pressure (MAWP) of each loading
arm, transfer pipe system, and hose assembly required to be tested by
Sec. 156.170 of this chapter, including the maximum relief valve
setting (or maximum system pressure when relief valves are not
provided) for each transfer system;
* * * * *
(22) Statements explaining that each hazardous materials transfer
hose is marked with either the name of each product which may be
transferred through the hose or with letters, numbers, symbols, color
codes or other system acceptable to the COTP representing all such
products and the location in the Operations Manual where a chart or
list of symbols utilized is located and a list of the compatible
products which may be transferred through the hose can be found for
consultation before each transfer; and
(23) For facilities that conduct tank cleaning or stripping
operations, a description of their procedures.
* * * * *
10. In Sec. 154.320, paragraphs (a)(1) and (d) are revised to read
as follows:
Sec. 154.320 Operations manual: Amendment.
(a) * * *
(1) The COTP will notify the facility operator in writing of any
inadequacies in the Operations Manual. The facility operator may submit
written information, views, and arguments regarding the inadequacies
identified, and proposals for amending the Manual, within 45 days from
the date of the COTP notice. After considering all relevant material
presented, the COTP shall notify the facility operator of any amendment
required or adopted, or the COTP shall rescind the notice. The
amendment becomes effective 60 days after the facility operator
receives the notice, unless the facility operator petitions the
Commandant to review the COTP's notice, in which case its effective
date is delayed pending a decision by the Commandant. Petitions to the
Commandant must be submitted in writing via the COTP who issued the
requirement to amend the Operations Manual.
* * * * *
(d) Amendments to personnel and telephone number lists required by
Sec. 154.310(a)(7) of this part do not require examination by the COTP,
but the COTP must be advised of such amendments as they occur.
11. Section 154.325 is revised to read as follows:
Sec. 154.325 Operations Manual: Procedures for examination.
(a) The operator of a facility shall submit two copies of the
Operations Manual to the Captain of the Port of the zone in which the
facility is located.
(b) Not less than 60 days prior to any transfer operation, the
operator of a new facility shall submit, with the letter of intent, two
copies of the Operations Manual to the Captain of the Port of the zone
in which the facility is located.
(c) After a facility is removed from caretaker status, not less
than 30 days prior to any transfer operation the operator of that
facility shall submit two copies of the Operations Manual to the COTP
of the zone in which the facility is located unless the manual has been
previously examined and no changes have been made since the
examination.
(d) If the COTP finds that the Operations Manual meets the
requirements of this part and part 156 of this chapter, the COTP will
return one copy of the manual to the operator marked ``Examined by the
Coast Guard''.
(e) If the COTP finds that the Operations Manual does not meet the
requirements of this part and/or part 156 of this chapter, the COTP
will return the manuals with an explanation of why it does not meet the
requirements of this chapter.
(f) No person may use any Operations Manual for transfer operations
as required by this chapter unless the Operations Manual has been
examined by the COTP.
(g) The Operations Manual is voided if the facility operator--
(1) Amends the Operations Manual without following the procedures
in Sec. 154.320 of this part;
(2) Fails to amend the Operations Manual when required by the COTP;
or
(3) Notifies the COTP in writing that the facility will be placed
in caretaker status.
Subpart C--Equipment Requirements
12. In Sec. 154.500, paragraphs (a) and (b) are revised to read as
follows:
Sec. 154.500 Hose assemblies.
* * * * *
(a) The minimum design burst pressure for each hose assembly must
be at least four times the sum of the pressure of the relief valve
setting (or four times the maximum pump pressure when no relief valve
is installed) plus the static head pressure of the transfer system, at
the point where the hose is installed.
(b) The maximum allowable working pressure (MAWP) for each hose
assembly must be more than the sum of the pressure of the relief valve
setting (or the maximum pump pressure when no relief valve is
installed) plus the static head pressure of the transfer system, at the
point where the hose is installed.
* * * * *
13. Section 154.520 is revised to read as follows:
Sec. 154.520 Closure devices.
(a) Except as provided in paragraph (b) of this section, each
facility to which
[[Page 41460]]
this part applies must have enough butterfly valves, wafer-type
resilient seated valves, blank flanges, or other means acceptable to
the COTP to blank off the ends of each hose or loading arm that is not
connected for the transfer of oil or hazardous material. Such hoses
and/or loading arms must be blanked off during the transfer of oil or
hazardous material. A suitable material in the joints and couplings
shall be installed on each end of the hose assembly or loading arm not
being used for transfer to ensure a leak-free seal.
(b) A new, unused hose, and a hose that has been cleaned and is gas
free, is exempt from the requirements of paragraph (a) of this section.
14. In Sec. 154.530, paragraph (a) is revised and paragraph (e) is
added to read as follows:
Sec. 154.530 Small discharge containment.
(a) Except as provided in paragraphs (c), (d), and (e) of this
section, each facility to which this part applies must have fixed
catchments, curbing, or other fixed means to contain oil or hazardous
material discharged in at least--
(1) Each hose handling and loading arm area (that area on the
facility that is within the area traversed by the free end of the hose
or loading arm when moved from its normal stowed or idle position into
a position for connection);
(2) Each hose connection manifold area; and
(3) Under each hose connection that will be coupled or uncoupled as
part of the transfer operation during coupling, uncoupling, and
transfer.
* * * * *
(e) Fixed or portable containment may be used to meet the
requirements of paragraph (a)(3) of this section.
15. Section 154.540 is revised to read as follows:
Sec. 154.540 Discharge removal.
Each facility to which this part applies must have a means to
safely remove discharged oil or hazardous material, within one hour of
completion of the transfer, from the containment required by
Sec. 154.530 of this part without discharging the oil or hazardous
material into the water.
16. In Sec. 154.545, paragraph (e) is added to read as follows:
Sec. 154.545 Discharge containment equipment.
* * * * *
(e) Equipment and procedures maintained to satisfy the provisions
of this chapter may be utilized in the planning requirements of subpart
F of this part.
17. In Sec. 154.560, paragraph (e) is revised to read as follows:
Sec. 154.560 Communications.
* * * * *
(e) Portable radio devices used to comply with paragraph (a) of
this section during the transfer of flammable or combustible liquids
must be marked as intrinsically safe by the manufacturer of the device
and certified as intrinsically safe by a national testing laboratory or
other certification organization approved by the Commandant as defined
in 46 CFR 111.105-11. As an alternative to the marking requirement,
facility operators may maintain documentation at the facility
certifying that the portable radio devices in use at the facility are
in compliance with this section. Subpart D--Facility Operations.
18. In Sec. 154.710, paragraphs (b), (c), (d) introductory text,
(d)(7) and (d)(8) are revised and paragraph (e) is added to read as
follows:
Sec. 154.710 Persons in charge: Designation and qualification.
* * * * *
(b) The person has had at least 48 hours of experience in transfer
operations at a facility in operations to which this part applies. The
person also has enough experience at the facility for which
qualification is desired to enable the facility operator to determine
that the person's experience is adequate;
(c) The person has completed a training and qualification program
established by the facility operator and described in the Operations
Manual in accordance with Sec. 154.310(a)(21), that provides the person
with the knowledge and training necessary to properly operate the
transfer equipment at the facility, perform the duties described in
paragraph (d) of this section, follow the procedures required by this
part, and fulfill the duties required of a person in charge during an
emergency, except that the COTP may approve alternative experience and
training requirements for new facilities; and
(d) The facility operator must certify that each person in charge
has the knowledge of, and skills necessary to--
* * * * *
(7) Follow local discharge reporting procedures; and
(8) Carry out the facility's response plan for discharge reporting
and containment.
(e) Training conducted to comply with the hazard communication
programs required by the Occupational Safety and Health Administration
(OSHA) of the Department of Labor (DOL) (29 CFR 1910.1200) or the
Environmental Protection Agency (EPA) (40 CFR 311.1), or to meet the
requirements of subpart F of this part may be used to satisfy the
requirements in paragraphs (c) and (d) of this section, as long as the
training addresses the requirements in paragraphs (c) and (d) of this
section.
19. In Sec. 154.735, the introductory text, paragraphs (l) and (s)
through (t) are revised and paragraphs (u) through (v) are added to
read as follows:
Sec. 154.735 Safety requirements.
Each operator of a facility to which this part applies shall ensure
that the following safety requirements are met at the facility:
* * * * *
(l) All welding or hot work conducted on or at the facility is the
responsibility of the facility operator. The COTP may require that the
operator of the facility notify the COTP before any welding or hot work
operations are conducted. Any welding or hot work operations conducted
on or at the facility must be conducted in accordance with NFPA 51B.
The facility operator shall ensure that the following additional
conditions or criteria are met:
(1) Welding or hot work is prohibited during gas freeing
operations, within 30.5 meters (100 feet) of bulk cargo operations
involving flammable or combustible materials, within 30.5 meters (100
feet) of fueling operations, or within 30.5 meters (100 feet) of
explosives or 15.25 meters (50 feet) of other hazardous materials.
(2) If the welding or hot work is on the boundary of a compartment
(i.e., bulkhead, wall or deck) an additional fire watch shall be
stationed in the adjoining compartment.
(3) Personnel on fire watch shall have no other duties except to
watch for the presence of fire and to prevent the development of
hazardous conditions.
(4) Flammable vapors, liquids or solids must first be completely
removed from any container, pipe or transfer line subject to welding or
hot work.
(5) Tanks used for storage of flammable or combustible substances
must be tested and certified gas free prior to starting hot work.
(6) Proper safety precautions in relation to purging, inserting, or
venting shall be followed for hot work on containers;
(7) All local laws and ordinances shall be observed;
(8) In case of fire or other hazard, all cutting, welding or other
hot work equipment shall be completely secured.
* * * * *
(s) Tank cleaning or gas freeing operations conducted by the
facility on vessels carrying oil residues or mixtures shall be
conducted in accordance with
[[Page 41461]]
sections 9.1, 9.2, 9.3, and 9.5 of the OCIMF International Safety Guide
for Oil Tankers and Terminals (ISGOTT), except that--
(1) Prohibitions in ISGOTT against the use of recirculated wash
water do not apply if the wash water is first processed to remove
product residues;
(2) The provision in ISGOTT section 9.2.10 concerning flushing the
bottom of tanks after every discharge of leaded gasoline does not
apply;
(3) The provision in ISGOTT section 9.2.11 concerning that removal
of sludge, scale, and sediment does not apply if personnel use
breathing apparatus which protect them from the tank atmosphere; and
(4) Upon the request of the facility owner or operator in
accordance with Sec. 154.107, the COTP may approve the use of
alternative standards to ISGOTT if the COTP determines that the
alternative standards provide an equal level of protection to the
ISGOTT standards.
(t) Guards are stationed, or equivalent controls acceptable to the
COTP are used to detect fires, report emergency conditions, and ensure
that access to the marine transfer area is limited to--
(1) Personnel who work at the facility including persons assigned
for transfer operations, vessel personnel, and delivery and service
personnel in the course of their business;
(2) Coast Guard personnel;
(3) Other Federal, State, or local governmental officials; and
(4) Other persons authorized by the operator.
(u) Smoking shall be prohibited at the facility except that
facility owners or operators may authorize smoking in designated areas
if--
(1) Smoking areas are designated in accordance with local
ordinances and regulations;
(2) Signs are conspicuously posted marking such authorized smoking
areas; and
(3) ``No Smoking'' signs are conspicuously posted elsewhere on the
facility.
(v) Warning signs shall be displayed on the facility at each
shoreside entry to the dock or berth, without obstruction, at all times
for fixed facilities and for mobile facilities during coupling,
transfer operation, and uncoupling. The warning signs shall conform to
46 CFR 151.45-2(e)(1) or 46 CFR 153.955.
20. In Sec. 154.740, the introductory text and paragraph (b) are
revised and paragraph (j) is added to read as follows:
Sec. 154.740 Records.
Each facility operator shall maintain at the facility and make
available for examination by the COTP:
* * * * *
(b) The name of each person designated as a person in charge of
transfer operations at the facility and certification that each person
in charge has completed the training requirements of Sec. 154.710 of
this part;
* * * * *
(j) If they are not marked as such, documentation that the portable
radio devices in use at the facility under Sec. 154.560 of this part
are intrinsically safe.
PART 156--OIL AND HAZARDOUS MATERIAL TRANSFER OPERATIONS
21. The authority citation for part 156 continues to read as
follows:
Authority: 33 U.S.C. 1231, 1321(j)(1) (C) and (D); 46 U.S.C.
3715; E.O. 12777, 56 FR 54757, 3 CFR, 1991 Comp., p. 351, 49 CFR
1.46. Section 156.120(bb) is issued under the authority of section
4110, Pub. L. 101-380, 104 Stat. 515.
Subpart A--Oil and Hazardous Materials Transfer Operations
22. Section 156.110 is amended by revising paragraphs (a)
introductory text and (d) to read as follows:
Sec. 156.110 Exemptions.
(a) The Chief, Marine Safety and Environmental Protection, acting
for the Commandant, may grant an exemption or partial exemption from
compliance with any requirement in this part, and the District
Commander may grant an exemption or partial exemption from compliance
with any operating condition or requirement in subpart C of this part,
if:
* * * * *
(d) An exemption is granted or denied in writing. The decision of
the Chief, Marine Safety and Environmental Protection is a final agency
action.
23. In Sec. 156.120, the introductory text and paragraphs (f) and
(w)(5) are revised and paragraphs (cc) and (dd) are added to read as
follows:
Sec. 156.120 Requirements for transfer.
A transfer is considered to begin when the person in charge on the
transferring vessel or facility and the person in charge on the
receiving facility or vessel first meet to begin completing the
declaration of inspection, as required by Sec. 156.150 of this part. No
person shall conduct an oil or hazardous material transfer operation
unless:
* * * * *
(f) The end of each hose and loading arm that is not connected for
the transfer of oil or hazardous material is blanked off using the
closure devices required by Secs. 154.520 and 155.805 of this chapter;
* * * * *
(w) * * *
(5) Details of the transferring and receiving systems including
procedures to ensure that the transfer pressure does not exceed the
maximum allowable working pressure (MAWP) for each hose assembly,
loading arm and/or transfer pipe system;
* * * * *
(cc) Smoking is not permitted in the facilities marine transfer
area except in designated smoking areas.
(dd) Welding, hot work operations and smoking are prohibited on
vessels during the transfer of flammable or combustible materials,
except that smoking may be permitted in accommodation areas designated
by the master.
24. In Sec. 156.150, paragraphs (c)(3) and (c)(5) are revised and
paragraph (c)(6) is added to read as follows:
Sec. 156.150 Declaration of inspection.
* * * * *
(c) * * *
(3) The date and time the transfer operation is started;
* * * * *
(5) A space for the date, time of signing, signature, and title of
each person in charge during transfer operations on the transferring
vessel or facility and a space for the date, time of signing,
signature, and title of each person in charge during transfer
operations on the receiving facility or vessel certifying that all
tests and inspections have been completed and that they are both ready
to begin transferring product; and
(6) The date and time the transfer operation is completed.
* * * * *
25. In Sec. 156.170, paragraphs (c)(1)(i), (c)(1)(iv) and (f)(1)
are revised, paragraph (f)(2) is revised and redesignated as (f)(3) and
paragraphs (f)(2) and (h) are added to read as follows:
Sec. 156.170 Equipment tests and inspections.
* * * * *
(c) * * *
(1) * * *
(i) Have no unrepaired loose covers, kinks, bulges, soft spots or
any other defect which would permit the discharge of oil or hazardous
material through the hose material, and no
[[Page 41462]]
gouges, cuts or slashes that penetrate the first layer of hose
reinforcement as defined in Sec. 156.120(i).
* * * * *
(iv) Hoses not meeting the requirements of paragraph (c)(1)(i) of
this section may be acceptable after a static liquid pressure test is
successfully completed in the presence of the COTP. The test medium is
not required to be water.
* * * * *
(f) * * *
(1) For facilities, annually or not less than 30 days prior to the
first transfer conducted past one year from the date of the last tests
and inspections;
(2) For a facility in caretaker status, not less than 30 days prior
to the first transfer after the facility is removed from caretaker
status; and
(3) For vessels, annually or as part of the biennial and mid-period
inspections.
* * * * *
(h) Upon the request of the owner or operator, the COTP may approve
alternative methods of compliance to the testing requirements of
paragraph (c) of this section if the COTP determines that the
alternative methods provide an equal level of protection.
Dated: July 30, 1996.
J.C. Card,
U.S. Coast Guard, Chief, Marine Safety and Environmental Protection.
[FR Doc. 96-20020 Filed 8-7-96; 8:45 am]
BILLING CODE 4910-14-M
