OSHA Requests Information for Proposed Changes to PSM

OSHA is required to make some change proposals due to an executive order from the Obama administration. They have created their proposals and are now requesting information from those affected by the proposed changes.

We encourage you to go read their proposals and respond. Here are the things they are proposing and how we at GCAP view them:

1.       Clarifying the PSM exemption for atmospheric storage tanks;

2.       Oil- and Gas-Well Drilling and Servicing;

3.       Oil- and Gas-Production Facilities;

4.       Expanding PSM Coverage and Requirements for Reactivity Hazards;

Changes under this portion of the regulation are unlikely to impact Ammonia Refrigeration Systems and GCAP has no comment.

5.       Updating the List of Highly Hazardous Chemicals in Appendix A of the PSM Standard;

GCAP is concerned that as part of this re-evaluation, the threshold quantity of Ammonia may be reduced to reflect the lower numbers in NJ (5,200#) or CA (500#) resulting in a significant increase in the number of covered processes. Increasing the regulatory burden on these small businesses should not be done without an assessment of the economic impact of these changes. If the threshold quantity were lowered, we would expect an implementation schedule to be established that reflected the limited resources available to these smaller processes.

6.       Revising the PSM Standard to Require Additional Management-System Elements;

While the additional elements of the CCPS make explicit certain requirements, GCAP believes that the additional requirements in these elements are already inherent in the implementation of a functioning PSM program. If OSHA wishes to make the requirements specific, GCAP welcomes this assuming the requirements do not change the performance-based nature of the current standard. In particular, the possibility of explicitly requiring incident investigations for process upsets (per the CCPS) is a requirement that GCAP agrees with.

7.       Amending Paragraph (d) of the PSM Standard to Require Evaluation of Updates to Applicable recognized and generally accepted good engineering practices (RAGAGEP);

 GCAP believes this requirement is already inherent in 1910.119(d)(2)(ii) and 1910.119(d)(3)(iii) and would welcome this explicit statement.

 8.       Clarifying the PSM Standard by Adding a Definition for RAGAGEP;

 The CCPS definition is excellent and would be acceptable.

 9.       Expanding the Scope of Paragraph (j) of the PSM Standard to Cover the Mechanical Integrity of Any Safety Critical Equipment;

GCAP believes that the additional requirements proposed are already inherent in the implementation of a functioning MI program. If OSHA wishes to make the requirements specific, GCAP welcomes this assuming the requirements do not change the performance-based nature of the current standard.

10.   Clarifying Paragraph (l) of the PSM Standard with an Explicit Requirement that Employers Manage Organizational Changes;

GCAP believes that the additional requirements proposed are already inherent in the implementation of a functioning MOC program. If OSHA wishes to make the requirements specific, GCAP welcomes this assuming the requirements do not change the performance-based nature of the current standard.

 11.   Revising Paragraph (n) of the PSM Standard to Require Coordination of Emergency Planning with Local Emergency-Response Authorities;

This requirement is already explicit in the parallel RMP program. Assuming these requirements are no different than the existing RMP requirements, GCAP would welcome this measure for conformity.

12.   Revising Paragraph (o) of the PSM Standard to Require Third-Party Compliance Audits; 

While GCAP is in the business of conducting third party compliance audits, believes them to be of value, and would likely financially profit from this requirement, we cannot support this change. The basis of a compliance audit’s validity should be based SOLELY on its effectiveness.

13.   Expanding the Requirements of §1910.109 to Cover Dismantling and Disposal of Explosives, Blasting Agents, and Pyrotechnics;

14.   Updating §§1910.106 and 1910.107 Based on the Latest Applicable Consensus Standards;

15.   Updating the Regulations Addressing the Storage, Handling, and Management of Ammonium Nitrate;

16.   Changing Enforcement Policy of the PSM Exemption for Retail Facilities; and

17.   Changing Enforcement Policy for Highly Hazardous Chemicals Listed in Appendix A of the PSM Standard without Specific Concentrations

Changes under this portion of the regulation are unlikely to impact Ammonia Refrigeration Systems and GCAP has no comment.

As you can see above, we don’t have many issues with the proposed changes assuming that they leave the performance based nature of PSM intact. It’s this performance based nature that allows you to achieve compliance in a way that best suits your people, your process and your company.

Let’s not make the mistake we made as an industry back in the 90’s where we didn’t offer many comments to the initial PSM rule. Read the proposal and make your voice heard!