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Chemical facility anti-terrorism standards

Chemical security legislation update

by Bob Weeks on April 22, 2010

in Regulation

The United States Congress is considering legislation to improve the safety of chemical plants. While a noble goal, this regulation has the potential to actually decrease chemical plant safety while increasing costs and destroying jobs at the same time.

Currently the proposed legislation is in a senate committee. The following summary of chemical security legislation reports that Senator Frank Lautenberg, a New Jersey Democrat, may introduce a new bill on this topic.

Debate over Chemical Plant Security Moves to the Senate

By Beveridge & Diamond, P.C., April 21, 2010

Following the House’s passage of a chemical plant security bill last November, the Senate has begun to turn its attention to the issue, with subcommittee hearings held in March and multiple bills either proposed or in the works. As in the House, the focus of contention thus far in the Senate has been the possible addition of inherently safer technology (“IST”) requirements into a reauthorization of the existing Chemical Facility Anti-Terrorism Standards (“CFATS”) program.

Background

The security of chemical facilities has been a subject of increased concern since the September 11, 2001 attacks, when it became apparent that stores of hazardous chemicals are a logical target for terrorists. Members of Congress have agreed on the need for a federal chemical facility security program, but have disagreed sharply on the issue of making IST mandatory. IST refers to technological and procedural steps intended to reduce the potential for a hazardous chemical release, in contrast to security measures intended to deter sabotage of existing processes. IST measures typically involve modifying processes to reduce the quantity of hazardous chemicals used or stored, reducing temperatures or pressures, or replacing a hazardous chemical with a less hazardous one. While facilities are always free to reduce hazards in these ways, a mandatory IST approach would require facilities to examine their industrial processes to evaluate safer alternatives and would enable a government agency to compel facilities to adopt the changes that it concludes are justified.

Click to continue reading at Beveridge & Diamond, P.C.

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Chemical safety bill testimony heard

by Bob Weeks on March 4, 2010

in Regulation

This week the United States Senate Committee on Homeland Security and Governmental Affairs heard testimony on S.2996, titled “Continuing Chemical Facilities Antiterrorism Security Act of 2010.” This bill would extend the effective date of current chemical security regulations until 2015.

In the House of Representatives, a bill has passed that contains provisions for Inherently Safer Technology (IST). The Senate bill does not contain these provisions.

IST regulations seek to force companies to replace existing methods and raw materials with those deemed to be safer. But the legislation may not produce its intended effect. Stephen Poorman of the Society of Chemical Manufacturers and Affiliates stated in his written testimony: “Inherent safety is a superficially simple but truthfully very complex concept, and one that is inherently unsuited to regulation. Any IST mandate is bound to create situations that will actually increase or transfer overall risks.”

His testimony gave three examples of where a change to a process mandated by IST would actually increase the overall risk. For example, a process might use a toxic catalyst. Eliminating the use of the catalyst would mean the company has to increase the temperature and pressure of the process, two factors that work to increase risk. The end result might be a process with more risk than the original process.

In her opening remarks, Senator Susan M. Collins gave another example of how IST might force more hazardous trucks on highways:

According to one water utility located in an isolated area of the Northwest, if Congress were to force it to replace its use of gaseous chlorine with sodium hypochlorite, then the utility would have to use as much as seven times the current quantity of treatment chemicals to achieve comparable water quality results. In turn, the utility would have to arrange for many more bulk chemical deliveries, by trucks, into the watershed. The greater quantities of chemicals and increased frequency of truck deliveries would heighten the risk of an accident resulting in a chemical spill into the watershed. In fact, the accidental release of sodium hypochlorite into the watershed would likely cause greater harm to soils, vegetation and streams than a gaseous chlorine release in this remote area.

IST regulations and mandates would also be very expensive, forcing manufacturers and even local water utilities to increase their prices, all for something that may not reduce risk. Furthermore, as Sen. Collins remarked, “The increased cost of a mandatory IST program may force chemical companies to simply transfer their operations overseas, costing American workers thousands of jobs.”

Testimony is available on the committee’s hearing page. More information on this topic is available on this site at Chemical facility anti-terrorism standards.

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Citizen lawsuits won’t enhance chemical safety

by Bob Weeks on November 5, 2009

in Regulation

Legislation currently under consideration in Congress will allow citizens to sue the Department of Homeland Security if they believe that chemical plants are not in compliance with new regulations.

The new regulations — IST, or Inherently Safer Technology — are troubling enough, in that they may actually work against their stated goal of safety. Allowing citizens to bring lawsuits based on these regulations will create many problems.

In a Washington Times piece, two Washington lawmakers explain the risks and dangers that this law will bring about:

  • “… civil lawsuits would necessitate DHS diverting its limited resources from its core mission — protecting American lives from terrorists.”

  • “… civil lawsuits, and the discovery process involved, could very well lead to the public disclosure of sensitive — even classified — security information about U.S. chemical facilities and DHS’ assessments of those facilities.”
  • “To allow civil lawsuits against DHS in this area has the real potential to make the American people less safe. DHS itself has warned Congress of the potential consequences.”

The Endangered Species Act contains provisions that allow for citizen lawsuits. The result? The authors write: “As a result, biologists then divert their attention away from protecting species to responding to the lawsuit and reacting to any judicial decisions. In 2002, this brought the Fish and Wildlife Service to a standstill.”

Let’s not saddle the Department of Homeland Security with the same burden.

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As Congress considers legislation that would force our nation’s chemical plants to make expensive changes in their processes and technologies, we need to make sure that we don’t cripple our economy just to appease a small group of environmental activists — all in the name of purportedly greater safety.

That’s the danger we face from IST, or Inherently Safer Technology. What could be wrong with a law that contains such a noble goal as safety? It has to do with the complexity of a modern industrial economy providing the backdrop on which unintended consequences develop. A recent article in The Hill explains:

IST is governed by the laws of physics and engineering, not the laws of politics and emotion. A reduction in hazard will result in a reduction in risk if, and only if, that hazard is not displaced or replaced by another hazard. Even if it were possible to simply switch from one chemical to another, switching often results in the mere transfer of risk from the chemical plant to some other entity, perhaps the surrounding community, with no actual risk-reduction registered. For example, a government mandate that forces a company to reduce the amount of a particular chemical at a facility could very well result in an increase in transportation and safety risk. The company still has to maintain the same level of production capacity and the only way to maintain current capacity is to increase the number of shipments — through the community — going into the chemical plant.

The article also states that there’s no objective way to measure the notion of “inherently safer.” But there is an objective way to measure the costs that IST will impose on manufacturers and our economy. It’s a huge cost, both in terms of dollars and lost jobs. Even the Wichita water treatment plant is on a list of facilities targeted by environmental extremists as dangerous.

Chemical manufacturers, says the author, aren’t opposed to safety. In fact, the industry places great emphasis on safety and has spent billions on plant security since 9/11.

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Chemical security bill passes committee

by Bob Weeks on October 15, 2009

in Regulation

On Tuesday, the United States House Energy and Commerce Committee’s Energy and Environment Subcommittee passed H.R. 2868, the “Chemical Facility Anti-Terrorism Act of 2009.”

This bill contains provisions for Inherently Safer Technology (IST). These regulations seek to force companies to replace existing methods and raw materials with those deemed to be safer. But the legislation may not produce its intended effect. Congressional testimony found that this could actually increase risk to the businesses that the bill intends to protect.

The problem, as with much government regulation, lies in the unintended consequences. The article Inherently Safer Technology (IST) not always that explains how these regulations can work to increase the real danger that Americans might face. In this example, a switch to a different input chemical would mean many more chemical tanker trucks would be on our nation’s highways.

Chemical manufacturing and processing is a complicated matter, and mandates that force the use of one chemical instead of another can have consequences that lead to less safety, not more.

In a letter to Henry Waxman and Joe Barton, Chair and Ranking Members of the House Energy and Commerce Committee, Charles T. Drevna, the president of the National Petrochemical & Refiners Association, told how “The bill’s IST provisions may result in simply transferring risk to other points along the supply chain instead of reducing risks as intended.”

He also said that these mandates will increase cost: “Not only will IST mandates fail to reduce risk, but they will also impose significant financial hardship on refiners and petrochemical producers struggling in the current economic recession. In addition to the fact that mandated switches may not reduce risk, some estimates indicate that forced changes could cost in the hundreds of millions of dollars per facility.”

There are existing regulations that have been effect for some time, and have proven to work. As one industry group wrote earlier this year: “The current chemical security regulations are enforced by the Department of Homeland Security, which has clear authority to inspect facilities and apply strong penalties for non-compliance. Since the regulations have been in place, not one incident as a result of terrorism has occurred. These regulations have been effective.”

We have working regulations in place. So why are we contemplating more burdensome regulations that will surely increase cost, while at the same time increasing the risks Americans face?

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Good news on chemical security

by Bob Weeks on July 15, 2009

in Regulation

There’s been some good news from Congress recently about Chemical Facility Anti-Terrorism Standards, or CFATS. The National Association of Manufacturers reports:

The Senate last week passed H.R. 2892, the Department of Homeland Security’s appropriations bill, which included a one-year extension of department’s authority over security for chemical facilities potentially threatened by terrorist attacks. This one-year extension helps continue the progress that the agency and chemical industry have made in implementing safety and security regulations adopted in 2007, the Chemical Facility Anti-Terrorism Standards. (CFATS).

The House has also passed a one-year extension, and the approach is far superior to the permanent legislation passed by the House Homeland Security Committee, H.R. 2868, the Chemical Facility Antiterrorism Act. That seemingly well-intentioned piece of legislation would U.S. production and storage of chemicals more burdensome and costly while providing no benefit public safety or national security.

Bill Allmond, vice president of government relations at the Society of Chemical Manufacturers and Affiliates (SOCMA), put it well: “As we have argued for the past several months, Congress needs to address the October 2009 CFATS deadline expeditiously. Because the House appears, so far, to be more interested in passing controversial amendments like inherently safer technology (IST) to the existing regulations rather than make the rules permanent, this extension is the most responsible action.”

Link to original story: Chemical Security: Keeping A Good Start Going. More reporting on this issue may be read by clicking on Chemical Facility Anti-Terrorism Standards.

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Currently Congress is considering new regulations for chemical plants — Chemical Facility Anti-Terrorism Standards or CFATS — that will, if enacted, require substitution of technologies believed to be less vulnerable to terrorist attack.

These regulations would affect facilities in addition to those we usually picture when thinking of chemical plants. The Wichita water treatment plant, for example, could be affected.

The problem is that chemical manufacturing and processing is a complicated matter, and mandates that force the use of one chemical instead of another can have consequences that lead to less safety.

An example of this may be found in the study Petroleum Refiners & Inherently Safer Technology: The Realities of Hydrofluoric and Sulfuric Acid. (I recommend reading the executive summary.) It’s from the National Petrochemical & Refiners Association, a national trade association.

Proponents of IST would like oil refineries to switch to sulfuric acid as a safer alternative to hydrofluoric acid. This sounds like a reasonable measure, until you dig a little deeper. Then, you’ll find this:

The alkylation process takes roughly 250 times more sulfuric acid than hydrofluoric acid to achieve the same result; therefore, a forced switch to sulfuric acid would result in a significant increase in transportation and transfer of the substance. For a 10,000 barrel per day alkylation unit, this equates to one to two truckloads of hydrofluoric acid delivered to the refinery each month, compared to three to four truckloads of regenerated sulfuric acid coming in and three to four truckloads of spent sulfuric acid going out each day.

This is an example of how seemingly small shifts in technology can have a big impact. In this case, many more trucks carrying a still-dangerous acid would be on our roads and highways.

There’s also a cost consideration: “A mandate for a refinery to switch from hydrofluoric acid to sulfuric acid will result in capital and design costs between $45 and $150 million dollars per refinery and an increase in operating costs of between 200 and 400 percent.”

As all refineries would face these costs, it’s very likely that these costs would be passed on to consumers. Except: foreign refiners would not be subject to these expensive technology requirements. This raises the possibility of the United States importing gasoline in large quantities — an unintended consequence that I don’t believe Congress intends.

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At the Kansas Meadowlark, there’s some video about Chemical facility anti-terrorism standards.

The video is from recent Congressional hearings, and is valuable for its explanation of Inherently Safer Technologies, or IST. Click on Homeland Security may impose new regulations on agriculture for the video and commentary.

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Articles of interest

by Bob Weeks on June 22, 2009

in Politics

Chemical security, national health care, global warming cost, school order.

Extending security standards better decision

A letter in the Montgomery Advertiser makes the case for extending the present Chemical facility anti-terrorism standards. Legislation is under consideration that would give government the ability to regulate processes and technologies.

“Although we believe CFATS should be reauthorized and made permanent, we do not support current draft legislation that replaces CFATS and extends the power of the DHS to dictate how a product is made. Decisions pertaining to feedstocks, processes and products should be left to the engineers and safety experts at local facilities.”

The Stealth Single-Payer Agenda

George F. Will’s column explains that while President Obama and Congress are presently considering a “public option” health care plan, this is just the first step on the road to a single-payer plan. “The puzzle is: Why does the president, who says that were America ‘starting from scratch’ he would favor a ‘single-payer’ — government-run — system, insist that health-care reform include a government insurance plan that competes with private insurers? The simplest answer is that such a plan will lead to a single-payer system.”

The Big Chill
Congress shouldn’t fight global warming by freezing the economy.

In a Wall Street Journal column, Pete Du Pont explains the enormous cost of the Waxman-Markey global warming bill and how little warming it would stop. “Manzi estimates the additional economic costs of the bill would be 0.8% of gross domestic product, while the economic benefits would be just 0.08% — so the costs would be 10 times the benefits. The cost of reducing emissions turns out to be greater than the cost they impose on societies. According to a 1999 Federal Reserve Bank of Dallas estimate, the emissions cuts the Kyoto Protocol would have required in 2010 were likely to reduce America’s GDP by $275 billion to $468 billion, or $921 to $1,565 per person, and of course Kyoto does not apply to fast-growing developing countries such as China and India.”

Taking back control of the classrooms

“The dirty little secret of America’s schools is that teachers have lost control of the classroom. Disrespect is commonplace. Disorder is an epidemic — 43 percent of high school teachers say they spend more than half their time maintaining order instead of teaching, according to a Public Agenda survey. Learning is impossible in these conditions. One misbehaving student steals the floor, spoiling the learning opportunity for the other 29 students. ‘You know, it really doesn’t take very many kids to ruin a classroom,’ observed David Adams, superintendent of Shelbyville Central Schools.”

Phillip K. Howard explains that the problem is too much law: “There is a broad perception — by teachers and students alike — that teachers lack the legal authority to enforce respect and order.”

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A post on a blog sponsored by the National Association of Manufacturers explains a few of the problems with the proposed Chemical facility anti-terrorism standards legislation now making its way through Congress.

One of the issues mentioned in the post In the World of Chemical Security, the Real World is the threat of excessive litigation:

“But there are problems with the proposals, as he makes clear. He cites the ‘private right of action,’ i.e., encouraging litigation against companies as a parallel regulatory process.”

Unlike environmental statutes, CFATS is not a series of prescriptive statutory measures with which compliance is mandatory, like emission standards or discharge limitations, and therefore it is much more difficult for an outsider — whether it be a citizen or judge — to ascertain if a standard is being met or to decide what needs to be done to address an alleged deficiency.

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The Kansas Meadowlark blog has a detailed post that explains some of the harm to agriculture that proposed legislation — chemical facility anti-terrorism standards — could cause.

The post also contains a section of helpful related links. Click on Congress could give government bureaucrats more control of farms and industry to read.

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Currently two committees in the United States House of Representatives are considering legislation that would harm a vital American industry.

This industry is already regulated, and the regulations have accomplished their goal. As explained by the Texas Chemical Council:

The current chemical security regulations are enforced by the Department of Homeland Security, which has clear authority to inspect facilities and apply strong penalties for non-compliance. Since the regulations have been in place, not one incident as a result of terrorism has occurred. These regulations have been effective. Removing the sunset date and making the chemical security regulations permanent would provide the certainty needed to both protect citizens and support our nation’s economic recovery.

The bill, H.R. 2868, is known as Chemical facility anti-terrorism standards. More information from the Texas Chemical Council is below.

(This is a Scribd document. Click on the rectangle at the right of the document’s title bar to get a full-screen view.)

Current chemical security regulations should be reauthorized By Hector Rivero, President & CEO, Texas Chemical Council Americans should take note of the Chemical Facility Anti-terrorism Act being debated in Congress. At a time when millions have already lost their jobs, the Chemical Facility Anti-terrorism Act (HR 2868) would force more people out of work by imposing needless and harmful regulations on American industry. It would also raise prices for many everyday products, including food, water, pharmaceutical drugs, fertilizers and energy. Securing chemical facilities against deliberate attack is crucial to protecting Americans. The fact is that since 2006, clear and comprehensive chemical security regulations have been in place. Those regulations secure everything from chemical facilities to warehouses and university labs. The rules require facilities to address a wide range of threats, from preventing a bomb-laden car from reaching a target to preventing theft or diversion of materials from a site. The current chemical security regulations are enforced by the Department of Homeland Security, which has clear authority to inspect facilities and apply strong penalties for noncompliance. Since the regulations have been in place, not one incident as a result of terrorism has occurred. These regulations have been effective. Removing the sunset date and making the chemical security regulations permanent would provide the certainty needed to both protect citizens and support our nation’s economic recovery. Proposed legislation poses threats Legislation being proposed by Congress should concern us all. It would create overlapping and conflicting security requirements that will cause disruptions of federal security standards, increase government red tape, and create more economic instability. The proposed regulations also go beyond security protections by placing mandates on American manufacturers as to which products and process they use. These mandates will be imposed without any regard for practicality, availability or cost. If current provisions of the proposed bill are implemented, unemployment will shoot even higher and consumers may see prices for everyday consumer products skyrocket. The chemical industry understands the importance of operating safe and secure manufacturing facilities. However, this can be accomplished without compromising our economic security.

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The Kansas Meadowlark contributes coverage about a chemical security law that promises to overburden an important American industry. Even the family farm is at risk. That’s the operative word — risk. As has been reported, Congressional testimony found that the legislation could actually increase risk to the businesses that the bill intends to protect.

An important point of this article is the involvement of the left-wing Center for American Progress.

Coverage of this issue on this blog is available by clicking on Chemical facility anti-terrorism standards.

To read the coverage at the Kansas Meadowlark, click on Do we want Homeland Security telling businesses how to run their businesses? Telling farmers how to farm?

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The United States Congress is considering legislation that aims to increase the security of America’s chemical industry to terrorism threats. The legislation, if passed, would require chemical companies to substitute government-mandated processes and technology for their current processes. The post Chemical security law goes beyond protection explains more about this legislation.

Even places that we might not consider to be “chemical plants” could fall under this act.

The Center for American Progress — described by Wikipedia as “a liberal political policy research and advocacy organization,” an understatement if there ever was one — has produced a report titled Chemical Security 101: What You Don’t Have Can’t Leak, or Be Blown Up by Terrorists.

The Wichita Water Treatment Plant appears on their list of 202 additional facilities that should be required to change their processes, according to the report. The Wichita plant appears because it uses chlorine to treat drinking water, and, apparently, because it’s located in a large city.

I asked David Warren, Director of Utilities for the City of Wichita, about the proposed legislation and about the Wichita Water Treatment Plant being on a list of dangerous facilities.

While declining — understandably so — to discuss specifics of security at the Wichita plant, he said that if the legislation passes and is found to apply to Wichita’s plant, “it would require expensive changes in our treatment process.”

He also said that the reason for the Wichita plant’s inclusion on the list is due to its location (near the center of Wichita) rather than to any defect in security precautions.

It would be one thing if these changes were necessary and would contribute to national security. But Congressional testimony found that the legislation could actually increase risk to the businesses that the bill intends to protect.

Wichita water rates are already on the rise as the city undertakes capital improvement projects. It’s unknown how much bills might increase if the water plant was forced to make changes to its treatment technology.

But even slight increase can cause hardship. Last year Wichita city council member Lavonta Williams expressed concern that a $1 per month increase in water bills would be a hardship. And in her campaign last year, she stated “We need to start the conversation with service providers about whether we can offer laid-off workers reduced rates for water, heat and other essential services.”

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As reported in this website, Congress is considering legislation that threatens to harm the American economy, while at the same time accomplishing little or none of its stated goals.

Articles like Chemical Facility Security Authorization Act threatens American economy give more detail.

It’s important to let your elected representatives in Washington know how harmful this proposed law will be to a vital American industry.

An easy way to let them know is by clicking on this link: Ask Your Legislator to Oppose the Chemical Facility Antiterrorism Act. This will take you to a form where you fill in your name and address. The site will determine who are your representatives and show you the letter it has created. Then, you can choose to have the site send it for you, or you can print it and mail it yourself.

Either way, it’s important to act.

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Chemical facilities act would increase cost, not safety

June 4, 2009

As reported earlier, the United States Congress is considering legislation — the Chemical Facility Anti-Terrorism Standards — that will increase regulation on chemical plants and facilities. The proposed legislation, however, would extend government control into another of our nation’s most important industries. It would require companies to change their manufacturing processes and substitute products in the name of safety.

Read the full article →

Chemical Facility Security Authorization Act threatens American economy

May 29, 2009

Earlier this week I reported on legislation being considered by Congress that would, under the lofty goal of national security, impose a huge burden on the American chemical industry. (Chemical security law goes beyond protection)

Our agricultural industries need to be concerned, too. The article Homeland Security To Regulate Farm and Ranch Inputs? details some of the harm that excessive government interference will cause.

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Chemical security law goes beyond protection

May 26, 2009

Congress is about to consider legislation that, on the surface, seems like it implements an important goal. Its name — Chemical Facility Anti-Terrorism Standards — suggests something that no one could oppose.

The proposed legislation, however, would extend government control into another of our nation’s most important industries. It would require companies to change their manufacturing processes and substitute products in the name of safety. But the legislation may not produce its intended effect.

Read the full article →