Like any decent regulatory agency the Pipeline and Hazardous Materials Safety Administration within the U.S. Department of Transportation (USDOT/PHMSA) issues monetary penalties for violations of its Hazardous Materials Regulations (HMR). And wouldn’t you know it, USDOT/PHMSA adjusts those penalties to keep pace with inflation. Below are the increased penalty amounts for 2019:

Note: all penalties are assessed per violation, per day.

• Maximum civil penalty for a violation of the HMR: $78,976. An increase from $78,376 in 2018.
• If the violation results in death, serious illness, severe injury, or substantial property damage:  $186,610.  An increase from $182,887 in 2018.
• The minimum penalty for a violation related to HazMat Employee training:  $481.  An increase for $10 from $471 in 2018.

Remember, those amounts can be assessed separately for each day that each violation exists.

I’m sure you’ve been in a situation where someone has told you that the company can’t afford HazMat Employee training.  Looking at the above amounts I’d say it’s more correct to say the company can’t afford not to have HazMat Employee training.

The Hazardous Material Regulations at 49 CFR 172.516 require the following for the display of placards.

• On a motor vehicle or rail car a placard must be clearly visible from the direction it faces, except from the direction of another rail cargo or transport vehicle to which it is attached.  More…
• In all cases placards must be…
  • Securely attached or placed in a holder.
  • Located clear of ladders, pipes, doors, and tarps.
  • So far as practicable, located so that dirt or water is not directed to it from the wheels.
  • Located away (≥3 inches) from any marking (such as advertising) that could substantially reduce its effectiveness, i.e. make it harder to see.
  • Displayed horizontally so words or identification numbers read left to right.
  • Maintained by the carrier so no substantial reduction in visibility.
  • Affixed to a background of contrasting color or have dotted or solid line outer border which contrasts with the background color.
• Recommended specifications for a placard holder found in Appendix C to 49 CFR part 172.
• Placard or placard holder may be hinged if format, color, and legibility of the placard are maintained.

BUT WHAT ABOUT AT NIGHT?

Compliance with 49 CFR 172.516 won’t help the visiblity of your placards at all after dark.  But someone has come up with a good idea that I wish to share with you here.  Go Glow Placards, LLC makes an LED lit placard holder that will ensure 24 hour visibility of the placards you display.  I think it will also heighten overall safety as other drivers are more likely to notice placards displayed in the Go Glow Placard Holder.

Compliance is important but it may be just the starting point.  Be safe and be seen.

QC Laboratories Inc. located in Orlando, FL has been assessed a fine of $7,950 for seven (7) violations of the hazardous material regulations of the USDOT/PHMSA.

Background

On May 25, 2011, investigators from PHMSA’s Office of Hazardous
Materials Safety Field Operations (OHMSFO) conducted a compliance inspection at
Respondent’s facility, in Orlando, Florida, pursuant to 49 U.S.C. § 5121 and 49 C.F.R.
§ 107.305. PHMSA’s investigator reported eight (8) alleged violations of the HMR. On
or about May 23, 2011, after the conclusion of the compliance inspection, PHMSA’s
Investigator contacted and interviewed the Respondent, and then conducted an “exit
briefing” during which the investigator discussed the alleged violations and the required
corrective actions with Respondent’s representative.

Based on a preliminary assessment of the apparent nature, circumstances,
extent, and gravity of the probable as set forth in the inspector’s report, on
January 18, 2012, an attorney from PHMSA’s Hazardous Materials Safety issued a
Notice of Probable Violation (NOPV) alleging seven violations of the HMR and
proposing a $9,550 civil penalty.

Reply to Notice:

On February 16, 2012, the Respondent submitted a timely reply Notice.

Corrective Action:

In letters dated June 20, 2012, February 16, 2012, March 27,2012, September 18, 2012, and December 12,2012, Respondent submitted evidence of corrective actions it had taken in response to the exit briefing. The following
is a summary of all of Respondent’s documented corrective actions.
1. Respondent has registered as a party to the USNRC packaging approval.
2. Respondent has acquired a certificate of approval for the Type B package related to violation number 2.
3. Respondent has added a risk assessment for its security plan.
4. Respondent has provided in-depth security training to all employees.
5. Respondent is now using the correct USNRC package ID on its shipping papers and has identified monitoring times for all emergency response numbers.
6. Respondent is now listing correct activity and transport index on Yellow II labels.

HMR Violations:

• Offering and transporting in commerce a hazardous material in a Type B(U) package, RQ, UN2916, Radioactive Material, Type B(U) Package, 7, while failing to register with the United States Nuclear Regulatory Commission (USNRC) as a party to the packaging approval in violation of 49 C.F.R. §§ 171.2(a, b, f, i)-and 173.471(a).
• Offering and transporting in commerce a hazardous material in a Type B(U) package, RQ, UN2916, Radioactive Material, Type B(U) Package, 7, Special Form, while failing to maintain a complete safety analysis or certificate of competent authority in violation of 49 C.F.R. §.§ 171.2(a, b, e, f and 173.476(a).
• Offering and transporting in commerce a known radionuclide listed by the USNRC as a quantity of concern while failing to develop a security plan with a written risk assessment in violation of 49 C.F.R. §§ 171.2(a, b, e, f), 172.800(b)(5), and 172.802(b, c).
• Offering and transporting in commerce a hazardous material in a Type B(U) package, RQ, UN2916, Radioactive material, Type B(U) Package, 7, while failing to provide in·depth security training to hazmat employees in violation of 49 C.F.R. §§ 171.2(b), 172.702(a), and 172.704(a)(5).
• Offering and transporting in commerce a hazardous material in a Type B(U) package, RQ, UN2916, Radioactive material, Type B(U) Package, 7, while failing to list the correct USNRC package identification number on the shipping paper in violation of 49 C.F.R. §§ 171.2(a, b, e, f) and 172.203(d)(l).
• Offering and transporting in commerce a hazardous material in a type B(U) package, RQ, UN2916, Radioactive Material, Type B(U) Package, 7, while listing multiple emergency response telephone numbers on a shipping paper, that are not monitored 24 hours a day, without specifying times for each in violation of 49 C.P.R. §§ 171.2(a. b e) and 172.604(a)(2).
• Offering and transporting in commerce a hazardous material in a Type B(U) package, RQ, UN2916, Radioactive Material, Type B(U) Package, 7, Special Form, Ir-192 777TBg, (21Ci) Transport Index 0.3, while failing to enter the correct activity and transport index on the Radioactive Yellow II labels in violation of 49 C.F.R. §§ 171.2(a. b, e, f) and 172.403(a)(2 3).

Read the full Compromise Order here.

No matter what hazardous materials you offer for transportation:  Radioactive, Explosive, Flammable and Combustible Liquids, or Miscellaneous; as a shipper of a HazMat you must comply with all the regulations of the USDOT/PHMSA known as the HMR.

The Pipeline and Hazardous Materials Safety Administration (PHMSA) within the US DOT is allowed by Federal law assess fines for what it determines are violations of the Federal Hazardous Materials Transportation Law or the Hazardous Materials Regulations (49 CFR 171-180) committed on or after December 31, 2009.  That same Federal law sets a maximum and minimum limit to the civil penalties PHMSA ca assess.  The maximum civil penalty PHMSA can assess for a violation is $55,000 and a minimum of $250 per day for each violation.

The maximum limit goes up to $110,000 if the violation results in death, serious illness or severe injury, or substantial destruction of property.  Interestingly, the minimum civil penalty increases from $250 to $495 if the violation concerns training.

Fines from the PHMSA for violations of the HMR are real and expensive.  Better for you to spend your money providing high-quality training for your HazMat Employees instead of paying many times more the cost of training in fines.  That is not to mention the stigma of the violation, and costs related to contesting the violation or fixing the problem.  Contact me to schedule training that will save you from fines like these.

On February 5, 2013 the Pipeline and Hazardous Materials Safety Administration (PHMSA) of the US DOT signed a Compromise Order finding DOT, Inc of Denver, CO had committed three violations of the Hazardous Material Regulations (HMR).  As part of the compromise agreement, DOT, Inc agreed to pay a civil penalty of $3,876 for the violations.  This amount is quite reasonable given the maximum possible civil penalty for these violations is $165,000.

This outcome had its beginning on September 27, 2011 when a PHMSA investigator conducted a compliance investigation at the facility.  The investigator reported three alleged violations of the HMR and discussed them with company representatives during an exit briefing.  The investigator’s report, when filed, resulted in a recommendation to initiate the civil penalty action.  A Notice of Probable Violation was issued for three violations of the HMR proposing a $5,390 civil penalty.  DOT, Inc.’s reply and corrective action resulted in a reduction of the proposed civil penalty to that finally agreed upon.

Violations of the HMR noted were:

1. Respondent represented, certified, and marked DOT specification cylinders as having been successfully retested, when Respondent failed to perform a complete visual inspection, in violation of 49 CFR 171.2(a), (c), (g), & (j) and §180.205(f).  $0 civil penalty for this violation.
2. Respondent represented, certified, and marked DOT specification cylinders as having been successfully retested, when Respondent failed to confirm the accuracy of the pressure indicating device to within 500 psi of the test pressure, in violation of 49 CFR 171.2(a), (c), (g), & (j) and §170.205(g)(3).  $2,568 for this violation.
3. Respondent allowed employees to perform functions subject to the HMR when the hazardous material employees had not received current training and testing, and Respondent did not maintain complete records of hazardous materials training, in violation of 49 CFR 171.2(a), (b), (e), and (f), and §172.702(a), (b), & (d) and §172.704(a), (b), and (d).  $1,308 for this violation.

Take note of the third violation as it indicates not only the absence of the required HazMat Employee Training but also that the Respondent did not maintain a complete set of records to document the training.  This is no surprise since the failure to train HazMat Employees and then to keep complete training records are the top two of the  US DOT’s six most frequently cited violations.

You may read here for the full Compromise Order from the PHMSA.

Compliance begins with training.  49 CFR 172, Subpart H requires you to train all of your HazMat Employees within 90 days of new employment or job responsibility and at least every three years after that.  My training will not only fulfill this regulatory requirement, but it will inform you and your employees of what they must do to perform their job duties in compliance with the regulations.  My Onsite Training goes further then this where for one low, flat fee I will come to your site and train all of your employees on just what they need to know to comply with the regulations.

Please don’t hesitate to contact me for a free training consultation.

Both shippers and carriers of hazardous materials are required to register and pay a fee annually with the Pipeline and Hazardous Materials Administration (PHMSA) of the USDOT.  Don’t be surprised if you haven’t heard of it; despite its widespread applicability, it’s been my experience that many HazMat shippers are unaware of this mandate.  All the information you need to know about who must register and how can be found on the USDOT/PHMSA website and in the regulations found at 49 CFR 107.601-107.620.  I’ll summarize the key points below. (more…)

In a Final Rule issued 3.2.11 and effective 5.2.11 the Department of Transportation (DOT) added a new part (49 CFR 109) to its existing enforcement procedures found in 49 CFR 107, Subpart D.  This new part specifies the procedures DOT enforcement officials will follow to complete inspections of hazardous material packages.  It is important that your HazMat Employees are properly trained to avoid the kinds of mistakes that may result in a DOT investigation of your packages in shipment.

There are several administrations within the DOT that are empowered to make investigation of hazardous material packages in domestic transportation, they are:

• Federal Aviation Administration (FAA)
• Federal Motor Carrier Safety Administration (FMCSA)
• Federal Railroad Administration (FRA)
• Pipeline and Hazardous Materials Safety Administration (PHMSA)
• US Coast Guard (actually part of the Department of Homeland Security)

An investigator of any of these administrations, and the Coast Guard, may halt the transportation of a hazardous material package and direct it to an examination facility, interview persons and gather information to determine the contents,and open outer packages or overpacks to inspect inner packages or packaging components.  At the close of its investigation the inspector may reclose the package and return it to transportation.

An investigator may take any or all of the above actions whenever he/she believes that a hazardous material package, or a package they believe to contain hazardous materials, does not comply with the regulations of the DOT.  If an imminent hazard is believed to exist or a package is found to be non-compliant the investigator has the authority to issue an out-of-service order prohibiting the further transportation of the hazardous material until it is returned to compliance.

The new regulations also allow the DOT to issue emergency orders as restrictions, prohibitions, recalls, and out-of-service orders without advanced notice or a hearing if it determines an imminent hazard exists or the hazardous material transportation regulations have been violated.

And what are regulations without enforcement?  Punitive damages and civil penalties (eg. $$money$$) may be issued if violations are found.

What this means to you is that your shipment of hazardous material – including hazardous waste – may be stopped, opened, inspected, and halted in transportation if a violation is found.  This could have an impact on your sales, but also your compliance with the Environmental Protection Agency (EPA) regulations regarding hazardous waste.  Proper packaging, labeling, and marking of a hazardous waste for shipment is a requirement of the EPA as well as the DOT and a violation of one’s regulations may be the violation of the others.

So do everything you can to ensure your shipments of hazardous materials and hazardous waste are in compliance with the regulations of both the DOT and the EPA (not to mention state-specific regulations).  The best way to do this is to attend one of my training events.

My training comes in two formats (web-based is not yet available) they are:

• Open enrollment training held nationwide and year-round, and;
• On-site training brought to your door and tailored to your site-specific needs.

Whichever you choose, my training meets and exceeds the training requirements of both the EPA found at 40 CFR 265.16 and those of the DOT found at 49 CFR 172, Subpart H.  Both in one day!