A EPA
                           United States
                           Environmental Protection
                           Agency
                           Office of
                           Solid Waste and
                           Emergency Response
Publication 9200.5-1151
February 1991
Update on  Implementation
of  the  Oil  Pollution Act of 1990
     Office of Emergency and Remedial Response
     Emergency Response Division     OS-210
                                                     Intermittent Bulletin
                                                     Volume 1 Number 1
               Inside the Update

    Regional Workgroup Meets in Galveston
    Questions and Answers on the Oil Pollution Act
    of 1990
    Timeline: Major EPA Activities and Deadlines
    Associated with the Act
    List of EPA Implementation Workgroups
             Purpose of the Update

      Chances are that in the time it takes to read
  this new bulletin, another two oil spills in the U.S.
  will be reported to the Federal government. In all
  of 1990, nearly 20,000 oil discharges were reported,
  up  more  than 10 percent from the previous year.
  With the  Oil Pollution Act of 1990, signed into law
  by  President Bush on  August  18th, the U.S.
  Environmental Protection Agency and the U.S.
  Coast Guard together have unprecedented ability
  to prevent oil spills from occurring and to combat
  the effects of spills that do occur.

      In  this series of  bulletins,  we intend  to
  provide you with up-to-date information on EPA's
  implementation of the various provisions of this
  important new law.  Specifically, the Update will
  highlight  the activities of our  Headquarters and
  field  staff as  they  develop   and enforce  the
  regulations and policies that make up our high-
  priority oil pollution prevention program. Your
  comments on  the  Update  are welcome;  please
  contact the editor, Ms. Phyllis  Anderson, at (202)
  382-5614.
                        Stephen Luftig, Director
               Emergency Response Division, EPA
                         REGIONAL WORKGROUP MEETS IN GALVESTON

                             The active participation of EPA field personnel
                         involved in oil pollution prevention and abatement is
                         an integral part of the Agency's implementation of the
                         Oil Pollution Act of 1990  (OPA). As  part of this
                         effort, 50 Regional and Headquarters staff gathered in
                         Galveston Island, Texas, from December 10-13,  1990.
                         The  purpose of  the  meeting  was  to  discuss
                         implementation   issues  and to  develop  Regional
                         recommendations   on   the  expanded   role   and
                         responsibilities of EPA in preventing and responding
                         to oil spills.  The special meeting also  provided an
                         opportunity for Regional staff to exchange ideas and
                         information with EPA  Headquarters  about  current
                         activities and measures addressing oil pollution.

                             On-Scene Coordinators (OSCs) from all 10 EPA
                         Regions    participated,  as    did   Headquarters
                         representatives from the Office  of Solid Waste and
                         Emergency Response, Office of Enforcement, Office of
                         Research  and Development, and Office of General
                         Counsel.  The responsibility for implementing  many
                         OPA requirements will  be assumed by EPA's OSCs,
                         who currently enforce  the Oil Pollution Prevention
                         regulation  (also  known as the  Spill  Prevention,
                         Control, and Countermeasures, or  SPCC, regulation)
                         and who lead responses to oil spills  in the inland  zone.
                         Representatives from the U.S. Coast Guard (USCG)
                         also  attended  to   indicate  how the  USCG  is
                         implementing its areas of responsibility and to provide
                         recommendations regarding EPA  efforts.  Under a
                         forthcoming Executive Order, the USCG and EPA are
                         the primary Agencies charged with  implementing this
                         far-reaching new law.

                         Organization

                             The four-day meeting was organized into a series
                         of general  sessions  and  smaller working  group
                         discussions on specific implementation issues. The first
                                                       Continued on next page
Printed on Recycled Paper
                                                           February 1991

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REGIONAL WORKGROUP (Continued)...

day included presentations on the principal provisions
of the OPA, the implementation schedule, and  the
current status of activities.  The following two days
were devoted to discussions of six separate working
groups. Provisions of the new law were divided into
the areas of  prevention  and response, with  three
working groups addressing each area.  At the end of
each day, the participants reconvened to summarize the
day's progress and hear the suggestions of the  other
working groups.  On the third day, Stephen Luftig,
Director of EPA's  Emergency  Response Division,
discussed the budgetary and resource implications of
the OPA. The final day was devoted to developing a
set of  consensus  recommendations  reflecting  the
Regional  perspective on prevention  and response
issues.  Interspersed throughout  the four days were
presentations  on  the  history of EPA's oil  spill
programs, new research and development initiatives in
oil spill clean-up technology, and the implications of
the enforcement provisions of the statute that expand
on existing Federal authority.

Prevention

     The OPA contains numerous  new planning and
preparedness provisions designed  to prevent oil spills
from  happening in the first place.  The two  main
provisions that EPA is  responsible for implementing
require the preparation of response plans by certain
facilities that may discharge oil to navigable waters and
the establishment of Area  Committees to develop
contingency plans for specific areas at risk of damage
from an oil spill.  Under the OPA, a facility that may
discharge  oil  causing  "substantial harm"  to  the
environment must submit its response plan to  EPA or
the USCG.  In addition, the Agency must review and
approve the response plan of any  facility whose oil
discharge may cause "significant and substantial harm."
Participants   focused   on  developing  appropriate
definitions for these two phrases, and discussed what
should be contained in a facility's response plan.

     The OPA also requires the establishment of Area
Committees under  the  direction  of an OSC.  These
committees  will  develop  Area  Contingency  Plans
specifically addressing  potential  discharges  in that
locale.  The plans must be approved by EPA or the
USCG. Regarding the Area Committees, participants
discussed factors  to be  considered in designating the
Area Committees, including:  past spill history in the
area;   presence   of  natural  resources or  special
environmental  areas;  concentration   of  facilities,
pipelines, and vessels;  location  of  potable  water
supplies; and location of existing planning or response
entities. Participants also began the process of defining
the composition and role of the Area  Committee in
relation  to  other  existing  planning  and  response
organizations,  such  as the Regional  Response Team
created   under  the  National  Oil   and  Hazardous
Substances Pollution Contingency Plan (NCP).  The
NCP is the regulatory blueprint that guides the Federal
response  to  oil  spills  and  releases  of  hazardous
substances.

Response

     The OPA modifies the Federal role in responding
to oil spills by establishing a new, consolidated trust
fund to pay for response actions and by expanding the
OSC's role in  spills that pose a "substantial  threat to
public health and welfare."  For these serious spills, the
Federal  OSC  is required  to  direct  the  response.
Participants addressed the mechanics of access to the
new oil spill response fund including reimbursements
for states that respond to oil spills.  The  OSCs also
discussed the required revisions to the NCR.

     Among the key NCP revisions will be new criteria
and procedures for responding to discharges that result
in a "substantial threat to the public health or welfare"
and procedures and standards for removing a  "worst
case discharge" of oil.  Participants discussed both the
definitions of these  terms and the regulatory changes
required.  In addition, participants debated the merits
of dividing the NCP into separate documents covering
oil and  hazardous  substances  or  emergency  and
remedial response to facilitate its  usefulness during a
response.  The implications of changes in enforcement
policies and penalties stemming from  the OPA also
received  attention.    Representatives   from several
Regions  stated  that enforcement  activities in their
Region may be reorganized as a result of the new law.

Next Steps

     Among the key initiatives emerging from the
meeting  was  the need to preserve flexibility  at the
Regional  level  to  reflect  local  circumstances  and
conditions.  Further,  the  participants  expressed the
desire to integrate the new statutory requirements into
EPA's successful existing oil pollution prevention and
abatement programs. A draft report  of the consensus
recommendations of the Workgroup  will be  prepared
by mid-January, and a final report is expected by early
February. The participants also expressed  an interest
in additional periodic meetings with the participation
of the USCG to  promote Federal coordination and to
ensure a  continued strong  Regional  perspective as
implementation proceeds, n
Update on Implementation of the Oil Pollution Act of 1990
                                      February 1991

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QUESTIONS AND ANSWERS

What is the Oil Pollution Act of 1990 (OPA)?

      The OPA is a comprehensive statute designed to
expand oil spill prevention activities, establish new
Federal authority to direct responses to spills, improve
preparedness and  response capabilities,  ensure that
shippers and oil companies are responsible for damages
from  spills that do occur  (subject to  liability limits),
and establish an expanded oil  pollution research and
development program.  Primary Federal responsibility
for implementing the OPA rests with the U.S. Coast
Guard (USCG) and EPA  The OPA was signed into
law by President Bush on August  18, 1990.

      Congress approved the OPA primarily as a result
of spill response efforts for the Exxon Valdez spill and
other recent spills. Although seven similar proposals
had been defeated over the past 15 years, recent spill
events solidified a broad-based support for oil pollution
legislation and led to unanimous passage of the OPA
by both houses of Congress.

What is the nature and extent of the oil spill problem in
this country?

     Thousands of oil spills occur  each year. Over the
three-year period from 1987 through 1989, the Federal
government received approximately 50,000 notifications
of oil discharges - an average of 16,700 per year, or 45
notifications every day.  Fixed facilities accounted for
about 45  percent of all  reported  releases;  marine
sources accounted for approximately 20 percent of the
releases;  pipeline   and   offshore  facilities  each
represented about 10 to 15 percent  of releases; and
highway accidents accounted for less than 10 percent of
the total number of releases reported.  Two thirds of
the releases primarily affected water; one third affected
land.   In  1989,  there  were 29 oil  spills  exceeding
100,000 gallons.

What are the OPA's main provisions?

     The most significant  provisions include:

Expanded   Federal  Role  in  Response.    Federal
authority for response to a discharge of oil is expanded:
the Federal government is required to direct responses
to discharges that pose a  "substantial threat to  the
public health or welfare," and has the discretion  to
direct responses to other discharges.  In addition,  the
USCG is to establish a National  Response Unit and
individual  oil spill response groups in  each of the  ten
USCG Districts to coordinate equipment used for spill
response activities.
Oil Spill Liability Trust Fund. The OPA establishes an
Oil Spill  Liability  Trust  Fund  administered  by the
USCG  to  pay for removal  costs and damages not
recovered from responsible parties.  Fund monies are
supplied by a five-cent-per-barrel fee on oil. The Fund
provides up to $1 billion per incident for cleanup costs
and other damages.

Contingency  Planning.  The  OPA requires EPA and
the USCG to enhance the existing National Response
System  by designating Area  Committees to  develop
Area Contingency Plans to help ensure the removal of
a worst-case spill from a vessel or facility in or near the
area covered  by a plan. In addition, the OPA requires
that owners  or  operators of individual vessels  and
facilities (except onshore facilities that are not expected
to cause environmental harm) prepare response plans
for worst-case oil and hazardous substance discharges.

Increased  Liability for Spills.  The OPA increases the
liability of tanker owners and  operators in the event of
a spill from $150 per gross ton to $1,200 per gross ton"
of vessel weight.   In addition,  responsible parties at
onshore facilities and deepwater ports are liable for up
to $350 million per spill; holders of leases or permits
for offshore facilities are liable for up to $75 million
per spill,  plus the removal costs for  the spill.  The
OPA also broadens liability to cover not only removal
costs  and  natural  resource  damages, but also  the
provision of spill-related health and safety services by
State  and local governments and losses  of property,
revenues, and profits.

Double  Hulls.    Under  the  OPA,  most  newly
constructed tankers over certain size limits must  have
double  hulls  or other double  containment systems.
Existing tankers without double hulls are to be phased
out by size, age, and design beginning in 1995; most
tankers  without double hulls are .banned after 2015.

Research and Development.  The OPA mandates the
establishment of   an  interagency   committee  to
coordinate efforts  to  improve  oil  spill response
technology.

How does the OPA affect existing laws and regulations?

     The  OPA revises CWA section 311 to expand
Federal response authority; increase penalties for spills;
establish USCG response organizations; require vessel
and facility response plans; and provide for interagency
contingency plans.  Many of the statutory changes will
require corresponding revisions to the National Oil and
Hazardous Substances  Pollution  Contingency  Plan
(NCP).  In addition, the OPA amends the Deepwater
Port Act  of 1974 and  the  Outer Continental Shelf
                                 Continued on next page
Update on Implementation of the Oil Pollution Act of 1990
                                      February 1991

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QUESTIONS AND ANSWERS (Continued)...

Lands Act  Amendments of  1978 to merge funds
established under these laws with the new Trust Fund,
and makes the Trust Fund available for actions under
the Intervention on the High Seas Act.

How is the OPA being implemented?

     A forthcoming Executive Order is  expected to
delegate authority to implement the OPA primarily to
the USCG  and EPA.  The  Agency  is  expected to
receive lead responsibility or joint responsibility (with
the  USCG)  for a number  of  provisions.   A
memorandum  of understanding will address how the
two organizations will interact in  carrying out their
responsibilities.  (See the next page for the major EPA
activities and deadlines associated with the OPA.)

How will EPA implementation of the OPA  help oil spill
planning and prevention efforts?

     The  OPA strengthens   spill  planning  and
prevention activities by providing for the establishment
of interagency spill contingency plans for  areas of the
U.S., mandating the development of response plans for
individual vessels and  facilities,  and  requiring  the
inspection of spill removal  equipment. These efforts
are intended to result in more prompt and effective
cleanup or containment of oil spills, thereby preventing
spills  from becoming larger and reducing the  amount
of damage caused by spills.

     Area Committees, to  be  composed  of qualified
Federal, State,  and  local officials, will be created to
develop Area Contingency Plans. These plans  must be
reviewed and approved by EPA and the USCG by
August  18, 1992.  In addition, owners and operators of
onshore facilities that  could  cause significant  and
substantial harm by discharging oil to navigable waters,
offshore facilities, and tank vessels are  required to
prepare and submit  response plans.  Response plans
for onshore facilities that could cause significant and
substantial harm by discharging oil to navigable waters
must be reviewed and approved by EPA.  If response
plans  are not developed and approved as required by
the OPA, the vessel or facility may be prohibited from
handling, storing, or transporting oil. Under the OPA,
containment booms, skimmers, vessels, and other major
spill removal equipment must be inspected periodically;
bulk vessels must carry removal equipment that uses
the  best  technology  economically   feasible  and
consistent with the safe operation of the vessel.

     The higher limits  on liability and  the  broader
scope of damages for which dischargers may be liable
under the OPA will serve as an added  incentive for
facilities and vessels to prevent spills.  In addition,
EPA is expected to take the lead or  participate in
several studies and  research and development efforts
that  will  aid  in  oil  spill  prevention.    (Other
requirements of the OPA to be implemented by the
USCG  -- such as  the establishment of a National
Response Unit and District Response Groups and new
standards for vessel construction, crew licensing, and
manning -- also will help to prevent or mitigate spills.)

What will EPA  do under the OPA to  improve oil spill
response efforts?

     The OPA expands  the Federal government's
involvement in  responding  to the most  significant
spills. For discharges that pose a "substantial threat to
the public health or welfare," the OPA requires that
the Federal government direct response efforts.  For
other types of discharges, the OPA gives the Federal
government the authority to direct all Federal, State,
and  private response actions.  This authority  is in
addition to the existing discretion to conduct response
activities and recover costs from responsible parties. In
addition, the  OPA requires  the establishment  of
procedures and standards  for the removal of "worst-
case discharges" (defined in the OPA as discharges in
adverse weather conditions of the entire cargo of a
vessel or the largest foreseeable amount of oil from a
facility).

What EPA oil pollution research and development efforts
are mandated by the OPA?

     The OPA requires that an interagency committee
be established to coordinate oil pollution research,
technology   development,    and   demonstration.
Technologies that may be developed to address the
problem of oil pollution include booms, skimmers, and
containers for temporary storage of oil during recovery
activities;  chemical  treatment  methods,  such  as
dispersants; biological oil treatment methods, such as
the introduction of microorganisms and/or nutrients;
and the use of aircraft and remote sensing in oil spill
cleanup and monitoring activities. In addition, EPA is
undertaking a study on whether liners or other means
of secondary containment should be used to detect or
prevent leaking from onshore bulk storage facilities.

How are the EPA program  offices carrying out their
responsibilities under the OPA?

     To coordinate the  numerous  efforts required
under the OPA, EPA's Emergency Response Division
(ERD)   has  formed  the   OPA   Implementation
Workgroup. Within the overall workgroup, a number
of other workgroups have been formed to  implement
specific OPA provisions  (see the last page of this
bulletin). •
Update on Implementation of the Oil Pollution Act of 1990
                                      February 1991

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             Major EPA Activities and Statutory Deadlines
             Associated  with the  Oil  Pollution  Act of  1990
                OPA Signed
                                            2/18/91
     Report to Congress on deepwater ports
     (1004(d)(2)(B), USCG lead)
     Promulgate regulations on periodic gauging
     of vessel plating thickness (4109, USCG lead)
     Promulgate regulations on overfill and cargo
     tank level or pressure monitoring devices
     (4110, USCG lead)
     Report to Congress on liners at onshore
     facilities (4113(b))
     Revise and republish the National Contingency
     Plan (4201 (c))
                                            2/18/92'
    Promulgate regulations on assessment of
    natural resource damages from oil discharges
    (1006(e), National Oceanic and Atmospheric
    Administration lead)
    Require periodic inspection of removal
    equipment at non-transportation-related
    onshore facilities (4202(a)(6))
    Review and issue determinations on Area
    Contingency Plans (4202(b)(1)(C))
    Promulgate regulations for facility response plans
    (4202(b)(4))
8/18/93
           r 8/18/90
            8/18/91
            8/18/92
                        Report to Congress on the desirability of
                        adjusting liability limits for removal costs for
                        non-transportation-related onshore facilities
                        (OPA section 1004(d)(3))
                        Propose regulations on authority to obligate
                        the Trust Fund (1012(e). U.S. Coast Guard lead)
                        Report to Congress on Great Lakes Agreements
                        (3002. Department of State lead)
                        Report to Congress on Lake Champlain
                        Agreements (3003, Department of State lead)
                        Designate areas for Area Contingency Plans
                        (4202(b)(1)(A))
                        Interagency research committee submits
                        implementation plan to Congress  (7001 (b)(1),
                        USCG lead)
                        Initiate rulemaking to lower liability limits for
                        deepwater ports if recommended in Report
                        to Congress required by 1004(d)(2)(B)
                        (1004(d)(2)(C). USCG lead)
                        Implement recommendations of Report
                        to Congress on liners (41l3(c))
                        Area Contingency Plans submitted for review
                        (4202(b)(1)(B))
Promulgate regulations on inflation adjustments
to liability limits for removal costs for non-trans-
portation-related onshore facilities  (1004(d)(4))
Approve facility response plans (4202(b)(4)(C))
Update on Implementation of the Oil Pollution Act of 1990
                                                     February 1991

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EPA WORKGROUPS IMPLEMENTING THE OPA
OPA Implementation Workgroup. Coordinates the numerous efforts required under the
OPA and oversees the activities of the other EPA workgroups.
Area Contingency Plans. Considering issues associated with designating areas for which Area
Committees are to be established and Area Contingency Plans are to be prepared.
Facility Response Plans. Developing regulations for facility response plans as part of the
Spill Prevention, Control, and Countermeasures Phase II Rulemaking Workgroup.
Response Plan Guidance. Developing interim and final guidance for reviewing facility
response plans.
NCP Revisions. Developing revisions to the NCP required by the OPA.

NCP Subpart J Revisions. Focusing on the development of Subpart J revisions to the NCP
Product Schedule.
Enforcement. Determining EPA enforcement responsibilities in light of the new penalty
provisions added by the OPA.
Liner Study. Preparing a report to Congress on whether liners or secondary containment
should be used to prevent leaking at onshore facilities.
Research and Development. Coordinating EPA's program of oil pollution research,
technology development, and demonstration.
Regional OPA Workgroup. Facilitating Regional involvement in the development of EPA
programs, policies, and regulations required by the OPA.
CHAIR
Stephen Luftig, ERD
(202) 475-8720
Caroline Isber, CEPPO
(202) 382-5338
Bobbie Lively-Diebold, ERD
(703) 356-8774
Bobbie Lively-Diebold, ERD
(703) 356-8774
Elizabeth Zeller, ERD
(202) 382-7735
Karen Sahatjian, ERD
(202) 382-2307
David Drellich, OE
(202) 382-2949
Kurt Jakobson, ORD
(202) 382-5747
Fred Lindsey, ORD
(202) 382-2600
Doug Kodama
EPA Region 2
(908) 906-6905
&EPA

United States
Environmental Protection
Agency (OS-120)
Washington, DC 20460

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