LQG Consolidation of VSQG Hazardous Waste

LQG Consolidation of VSQG Hazardous Waste

LQG Consolidation of VSQG Hazardous Waste

The purpose of this article is to identify and explain the regulations of the USEPA that allow a large quantity generator of hazardous waste (LQG) to consolidate hazardous waste received from a very small quantity generator (VSQG).

Prior to the implementation of the Generator Improvements Rule on May 30, 2017 a VSQG had seven options for the on-site or off-site treatment, storage, or disposal of its hazardous waste.  Also prior to the Generator Improvements Rule a hazardous waste generator could not receive hazardous waste from another generator – even a VSQG it owned – unless it was permitted or authorized by either USEPA or a state with an authorized hazardous waste program as a hazardous waste treatment, storage, or disposal facility (TSDF).

That changed May 30, 2017 with the implementation of the Generator Improvements Rule.  This new rule now allows an LQG to consolidate hazardous waste received from one or more VSQGs.

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But wait! I’m not an LQG, I’m a small quantity generator of hazardous waste (SQG).  Am I prohibited from consolidating VSQG hazardous waste at my facility if I meet all of the other requirements of these regulations?  No.  Per my communication with the USEPA, an SQG may consolidate the hazardous waste of a VSQG at its facility if it meets all of the requirements of this regulation and complies with the conditions for exemption for a large quantity generator at §262.17 and the independent requirements for an LQG at §262.10(a)(1)(iii).  See later in this article for more information on these requirements.

Before we begin…

  • These new regulations are found at 40 CFR 262.17(f) for LQGs and §262.14(a)(5)(vii) for VSQGs.  Previously the regulations for an LQG and VSQG were found at §262.34 and §261.5, respectively.  Their position in the regulations has been affected by the reorganization of the generator regulations brought about the the Generator Improvements Rule.
  • The term very small quantity generator (VSQG) is also a creation of the Generator Improvements Rule.  Formerly, the regulations referred to this status as the conditionally exempt small quantity generator (CESQG).
  • Since this regulation is less stringent than previous regulations, states with an authorized hazardous waste program are not required to adopt all of its provisions.  Those states that choose to adopt it may not do so until July 31, 2019.
  • Some states (e.g., Minnesota) already operate consolidation programs that go beyond what USEPA is finalizing here.  “It is not EPA’s intention to interfere with existing state consolidation programs.”
  • The Federal regulations of the USEPA referenced in this article refer to a notification to the USEPA using the Site ID form (EPA Form 8700-12).  When a state -if a state – adopts this new rule it will require the notification be made to its state environmental regulatory agency instead of the USEPA.  Also, it may the require the use of a state-specific notification form and may add other requirements (like a fee) as well.

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Scope and applicability:

  • This regulation only applies to the hazardous waste generated at one or more VSQGs and sent for consolidation to a single LQG.  SQGs or other state-specific hazardous waste generator status are not applicable.  However, in the future USEPA will consider the expansion of this provision to allow for consolidation of VSQG hazardous waste at a small quantity generator (SQG).
  • Both the LQG and VSQG must be under the “control” of the same “person”.
    • “Control” for the purposes of this regulation is identified at both §262.17(f) for LQG and §262.14(a)(5)(vii) for VSQG as the power to direct the policies of the generator, whether by the ownership of stock, voting rights, or otherwise, except that contractors who operate generator facilities on behalf of a different person shall not be deemed to “control” such generators.
    • A few more things about “control”:
      • The key terms used in the definition for “control” here are the same used in the exclusion from the definition of solid waste for hazardous secondary materials that are generated and legitimately reclaimed under the control of the generator (40 CFR 261.4(a)(23)) under the 2015 Definition of Solid Waste Rule.  Thus, USEPA is remaining consistent in how it defines “control” across varying regulations.
      • Companies within the same corporate structure would be considered “under the control of the same person” if they meet the definition of same “person” and “control” as outlined above.
      • Army National Guard and Reserve units that may be VSQGs can send their hazardous waste to an active Army base that is an LQG as it is seen to be under the “control” of the same “person”.
      • Individual laboratory buildings that are VSQGs and are part of a university or industrial entity that is an LQG may consolidate their hazardous waste under these regulations as it is seen to be under the “control” of the same “person”.
      • In the future USEPA will consider the expansion of this provision to allow for consolidation of VSQG hazardous waste at an LQG under the control of a different person.
    • “Person” is defined at 260.10 (Read:  How does USEPA and USDOT define a “person”?):

Person means an individual, trust, firm, joint stock company, Federal Agency, corporation (including a government corporation), partnership, association, State, municipality, commission, political subdivision of a State, or any interstate body.

Hazardous waste accumulated at a VSQG for consolidation may be accumulated solely in a container whereas once the hazardous waste is consolidated at the LQG it may be accumulated separately or consolidated with other VSQG waste collected by the LQG or with the LQGs own hazardous waste in any of the four hazardous waste accumulation units allowed for hazardous waste generators by USEPA: container, tank, drip pad or containment building.  Communication with USEPA confirmed that VSQG waste consolidated at an LQG may be accumulated in any of the four hazardous waste accumulation units.  This point is not clear from the regulations and further explanation may be helpful (if you’re interested).

In explaining the provisions of the new rule in the Federal Register (Volume 81, No. 228 / Monday, November 28, 2016), USEPA solely refers to hazardous waste accumulation at both the VSQG and LQG in containers.  No mention is made of any of the other three hazardous waste accumulation units nor is the term “accumulation unit” used.  Additionally, wherever the Federal Register refers to the requirements for compliance with these provisions the language applies solely to hazardous waste in containers, e.g., in explaining waste management  at 81 FR 85775 USEPA  states that hazardous waste received from a VSQG is not eligible for management under the satellite accumulation regulations of §262.15.  It would not be necessary to state this if USEPA anticipated LQGs to consolidate VSQG hazardous waste in any accumulation unit other than containers since §262.15 does not allow for the accumulation of hazardous waste in a satellite accumulation area in any accumulation unit other than a container.  This evidence indicates to me that USEPA foresaw the consolidation of VSQG hazardous waste at an LQG to take place entirely in containers.Three containers of hazardous waste accumulated at a VSQG

And, the regulations applicable to a VSQG for the consolidation of its waste at an LQG (§262.14(a)(5)(viii)(B)) require it to label its container(s) of hazardous waste.  No mention is made of any other hazardous waste accumulation units at the VSQG.

However, once in the Federal Register (81 FR 85775) and – most importantly of all – in the regulations applicable to an LQG for the consolidation of hazardous waste received from a VSQG (§262.17(f)(3)) USEPA refers to the labeling and marking regulations of §262.17(a)(5).  That paragraph contains the labeling and marking requirements of an LQG for containers and tanks.

This led me to believe that while the accumulation of the hazardous waste at the VSQG and its transfer to the LQG must take place entirely in containers, once received at the LQG it may be consolidated in containers or tanks as long as all of the conditions for exemption applicable to an LQG are met.  However, as noted above, VSQG waste consolidated by an LQG may be accumulated at the LQG in any of the four hazardous waste accumulation units.

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VSQG conditions for exemption:

The very small quantity generator must mark the hazardous waste containers to be sent for consolidation with the following:

And that’s it!  (Of course, a VSQG must comply with all of the conditions for exemption of a VSQG at 40 CFR 262.14).

Aside from these conditions, the same standards apply to waste consolidated at an LQG under this provision as to other VSQG waste, including the exemption from the requirement for use of the uniform hazardous waste manifest when transported off-site – though USDOT/PHMSA regulations for the transportation of a hazardous material will still apply.  The result is the self-transport of hazardous waste by a VSQG to an LQG is possible under this provision.

LQG conditions for exemption:

  • LQG must notify USEPA at least thirty (30) days prior to receiving the first shipment of hazardous waste from a VSQG.  Notification must be made using EPA Form 8700-12 and must identify the following:
    • Name(s) and site address(es) for the VSQG(s).
    • Name and business telephone number for a contact person for the VSQG.

Note: USEPA has revised the EPA Form 8700-12 to include a section for LQG notification of VSQG hazardous waste consolidation.

  • LQG must submit an updated EPA Form 8700-12 within thirty (30) days after a change in the name or site address of a VSQG.  Note: the updated notification is required for changes to the name and site address of the VSQG only.  It is not required for changes solely to the name and business telephone number for the VSQG contact person.
  • The LQG must maintain records of shipments of hazardous waste received from a VSQG.  Records must be retained for three (3) years from the date the hazardous waste was received from the VSQG.  Records must include the following:
    • Identify the name, site address, and contact information for the VSQG.
    • A description of the hazardous waste received.
    • The quantity of waste received.
    • The date the waste was received.

Note:  this recordkeeping condition can be fulfilled through routine business records, such as a bill of lading.

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  • The LQG must comply with the independent requirements for an LQG at §262.10(a)(1)(iii) for all hazardous waste received from a VSQG.
    • Complete hazardous waste determination and maintain records.
    • Determine hazardous waste generator category.
    • Notify USEPA to obtain EPA identification number and re-notify as required.
    • Use the uniform hazardous waste manifest for off-site shipments.
    • Comply with the pre-transport requirements for off-site transportation of hazardous waste.
    • Submit reports and maintain records as required.  Note: a new source code was added to the biennial report instructions that LQGs will use to identify the hazardous waste received from a VSQG to differentiate from hazardous waste the LQG generated on-site.
    • Comply with requirements for transboundary movements of hazardous waste, if applicable.
  • LQG must comply with the conditions for exemption of an LQG at §262.17 for all hazardous waste received from a VSQG.  This includes but is not limited to the following:
    • On-site accumulation time limit with the accumulation time limit extension.
    • Air emission standards.
    • Condition of containers.
    • Compatibility of waste with container.
    • Containers kept closed.
    • Weekly inspections.
    • Special conditions for ignitable and reactive wastes.
    • Special conditions for incompatible wastes.
    • Emergency procedures of §262, subpart M.
    • Personnel training.
    • Closure requirements.
    • Land disposal restrictions.
    • Accumulation of F006.
    • Rejected load.

Note:  the two preceding bullet points may be summarized as simply this: manage the hazardous waste received from a VSQG and consolidated at an LQG the same as a hazardous waste generated at an LQG.  Except for the following:

  • The LQG must label the container or unit (refer to the discussion of allowed hazardous waste accumulation units in the Scope and applicability section of this document) as required by §262.17(a)(5) for a hazardous waste container or tank.  However, instead of marking the container or unit with the date of initial accumulation the LQG is to mark the container or unit with the date accumulation started at the LQG (i.e., the date the hazardous waste was received from the VSQG).  If the LQG is consolidating incoming hazardous waste from a VSQG with either its own hazardous waste or with hazardous waste from other VSQGs, the LQG must label each container or unit with the earliest date any hazardous waste in the container was accumulated on site.

Other conditions of this provision that deserve emphasis:

  • Hazardous waste consolidated at an LQG from VSQG(s) can not be accumulated in a satellite accumulation area pursuant to §262.15.  It must either be managed in the LQG’s central accumulation area or immediately shipped off-site for treatment, storage, or disposal.
  • There is no limit on the amount of hazardous waste an LQG can receive from VSGQs under the consolidation regulations.
  • There is no restriction on the type(s) of hazardous waste an LQG can receive from VSQGs under the consolidation regulations.
  • The transportation of the waste from the VSQG to the LQG may be done without a uniform hazardous waste manifest – though the regulations of USDOT/PHMSA for the transport of a hazardous material still apply (among the requirements for this type of transportation would be HazMat Employee training).  This allows for the self-transport of the waste by the generator between the sites (VSQG to LQG).  Per communication with USEPA the collection and transport of VSQG waste from multiple sites to a single LQG is allowed as long as all requirements of USDOT/PHMSA are met.
  • Interstate transportation of VSQG waste for consolidation at an LQG will be limited by each state’s decision whether or not to adopt the provisions of this new rule.  In the event of interstate (between two or more states) transport of VSQG waste to an LQG for consolidation it is the responsibility of the VSQG to ensure that all states have adopted this provision, especially the exemption from the requirement to use the uniform hazardous waste manifest and to ascertain a state’s policy on the transport of such waste if it has not adopted these regulations.
  • These new regulations are located in the conditions for exemption applicable to both a VSQG and an LQG at §262.14 and §262.17, respectively.  That means that compliance with these requirements – if a generator decides to manage its hazardous waste in this manner – is required for a generator to function without the need for a permit as a hazardous waste storage facility.  If a generator taking advantage of this consolidation provision fails to meet one or more of the conditions for exemption it would be subject to penalty as a facility operating as a hazardous waste storage facility without a permit.  However, the failure of an LQG to meet one of the conditions for exemption does not mean the VSQG is will lose its permit exemption provided the VSQG meets its conditions for exemption and vice versa.
  • I am uncertain as of this writing if a generator that does not meet the definition of an LQG (§260.10), e.g., a small quantity generator, could consolidate VSQG waste in compliance with §262.17(f) if it met all of the requirements for an LQG at §262.17.  I have submitted this question to USEPA and will update this information when an answer is provided.

Conclusion and summary:

This new regulation may be of great benefit to many hazardous waste generators; particularly those with multiple small non-contiguous (i.e. not connected) sites.  For many in the regulated community it has been a long wait for a relief like this.  And it may continue to be a wait as states decide whether or not to adopt this new provision.  I suggest the following for generators who are considering the application of these provisions:

  1. Determine the status of the Generator Improvements Rule in general, and this particular provision specifically, in your state.  Contact your state environmental agency and ask them directly if uncertain.
  2. Identify those VSQGs under the control of the same person that may be able to take advantage of this provision.
  3. Identify an LQG that will function as the consolidation point for the VSQG waste.  Personnel of the LQG will require initial Hazardous Waste Personnel training with an annual review.
  4. Classify the VSQG waste according to the Hazardous Materials Regulations of USDOT/PHMSA to determine if it is a hazardous material and, if so, how it is regulated when transported in commerce.  Personnel of both the VSQG and the LQG involved in the transportation of the VSQG waste must receive HazMat Employee training every three years.
  5. If transport is interstate (between two or more states), determine the status of these regulations in each state the VSQG waste will traverse and what it requires for compliance.

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