EPA Will Soon Issue the Latest Revision to the Risk Management Program (RMP) Chemical Release Rules
February 10, 2020 —
Anthony B. Cavender - Gravel2GavelOn November 21, 2019, EPA released a pre-publication copy of its Reconsideration of the revised Risk Management Program (RMP) Rules. In an accompanying statement, the agency noted that it has taken steps to “modify and improve” the existing rule to remove burdensome, costly and unnecessary requirements while maintaining appropriate protection (against accidental chemical releases) and ensuring responders have access to all of the necessary safety information. This action was taken in response to EPA’s January 13, 2017 revisions that significantly expanded the chemical release prevention provisions the existing RMP rules in the wake of the disastrous chemical plant explosion in West, Texas. The Reconsideration will take effect upon its publication in the Federal Register.
Background
As recounted by the D. C. Circuit in its August 2018 decision in the case of Air Alliance Houston, et al. v. EPA, in 1990, the Congress amended the Clean Air Act to force the regulation of hazardous air pollutants (see 42 USC Section 7412). An initial list of these hazardous air pollutants was also published, at Section 7412 (b). Section 112(r) (codified at 42 USC Section 7412 (r)), authorized EPA to develop a regulatory program to prevent or minimize the consequences of a release of a listed chemical from a covered stationary source. EPA was directed to propose and promulgate release prevention, detection, and correction requirements applicable to stationary sources (such as plants) that store or manage these regulated substances in amounts determined to be above regulated threshold quantities. EPA promulgated these rules in 1996 (see 61 FR 31668). The rules, located at 40 CFR Part 68, contain several separate subparts devoted to hazard assessments, prevention programs, emergency response, accidental release prevention, the development and registration of a Risk Management Plan, and making certain information regarding the release publicly available. EPA notes that over 12.000 RMP plans have been filed with the agency.
In January 2017, in response to the catastrophe in West, EPA issued substantial amendments to these rules, covering accident prevention (expanding post-accident investigations, more rigorous safety audits, and enhanced safety training), revised emergency response requirements, and enhanced public information disclosure requirements. (See 82 FR 4594 (January 13, 2017).) However, the new administration at EPA, following the submission of several petitions for reconsideration of these revised rules, issued a “Delay Rule” on June 14, 2017, which would have extended the effective date of the January 2107 rules until February 19, 2019. On August 17, 2018, the Delay Rule was rejected and vacated by the D.C. Circuit in the aforementioned Air Alliance case (see 906 F. 3d 1049 (DC Circuit 2018)), which had the effect of making the hotly contested January 2017 RMP revisions immediately effective.
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Anthony B. Cavender, PillsburyMr. Cavender may be contacted at
anthony.cavender@pillsburylaw.com
Exculpatory Provisions in Business Contracts
May 30, 2018 —
David Adelstein - Florida Construction Legal UpdatesAn exculpatory provision in a contract is a provision that relieves one party from liability for damages. It shifts the risk of an issue entirely to the other party. Such a provision is generally drafted by the party preparing the contract that is looking to eliminate or disclaim liability associated with a particular risk, oftentimes a risk within their control. These provisions are also known as limitation of liability provisions because they do exactly that — limit liability as to a risk. For this reason, they can be useful provisions based on the context of certain risks, and are provisions that are included in business contracts (such as construction contracts).
While such clauses are disfavored, they are enforceable if they are drafted clearly, unambiguously, and unequivocally. If they are unclear, ambiguous, or equivocal, they will construed against enforcement. See Obsessions In Time, Inc. v. Jewelry Exchange Venture, LLP, 43 Fla.L.Weekly D1033a (Fla. 3d DCA 2018) (finding exculpatory clause in lease ambiguous and, therefore, unenforceable as to lessor looking to benefit from the exculpatory clause).
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David Adelstein, Florida Construction Legal UpdatesMr. Adelstein may be contacted at
dadelstein@gmail.com
Wildfire Risk Scores and Insurance Placement: What You Should Know
July 15, 2024 —
Louis "Dutch" Schotemeyer & Molly L. Okamura - Newmeyer DillionWhat Are Wildfire Risk Scores and How Are They Calculated?
Wildfire risk scores are scores assigned to properties by third-party vendors based on the likelihood of direct or indirect exposure to a wildfire. Wildfire risk scores can be a factor used by insurance companies when making coverage decisions. Additionally, wildfire risk scores can be a helpful metric for real estate developers to consider when determining whether to buy a piece of property.
There are a variety of vendors that use unique methods to calculate wildfire risk scores. For example, CoreLogic, FireLine, and RedZone are vendors used by insurance companies in California. Some vendors' scoring scales are from 1-10, and some are from 1-100, but generally the higher the score, the higher the likelihood of a wildfire impacting the property. There is no national, standardized scoring scale.
Reprinted courtesy of
Louis "Dutch" Schotemeyer, Newmeyer Dillion and
Molly L. Okamura, Newmeyer Dillion
Mr. Schotemeyer may be contacted at dutch.schotemeyer@ndlf.com
Ms. Okamura may be contacted at molly.okamura@ndlf.com
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The Status of OSHA’s Impending Heat Stress Standard
May 30, 2022 —
Stephen E. Irving - ConsensusDocsThere has been much talk in the last several months about OSHA’s intent to establish a national standard to prevent heat-related injury and illness. OSHA’s Region VI, covering the states of Texas, Louisiana, Arkansas, Oklahoma, and New Mexico
[1], has had a regional emphasis program dealing with the hazards of heat stress for more than two decades, and much of the talk about a new national standard suggests modeling some aspects of the standard after the Region VI program. Region VI’s long-standing program emphasizes water, rest, and shade; acclimatization; and responding to medical emergencies.
In October 2021, OSHA issued its advance notice of proposed rulemaking (ANPRM) for Heat Injury and Prevention. The ANPRM rulemaking established a new Heat Injury and Illness Prevention Work Group within the National Advisory Committee on Occupational Safety and Health (NACOSH.)
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Stephen E. Irving, Peckar & AbramsonMr. Irving may be contacted at
sirving@pecklaw.com
Court Finds That SIR Requirements are Not Incorporated into High Level Excess Policies and That Excess Insurers’ Payment of Defense Costs is Not Conditioned on Actual Liability
April 22, 2019 —
Christopher Kendrick & Valerie A. Moore – Haight Brown & Bonesteel LLPIn Deere & Co. v. Allstate Ins. Co. (No. A145170, filed 2/25/19), a California appeals court held that the insured was not required to pay additional self-insured retentions (SIRs) in order to trigger higher level excess coverage because the retained limits applicable to the first layer of coverage did not also apply to the higher-layer excess policies.
In Deere, the insured was sued for injuries from alleged exposure to asbestos-containing assemblies used in Deere machines. In a declaratory relief action against its umbrella and excess insurers, the case was tried on: (1) whether the higher-layer excess policies were triggered once the first-layer excess policy limits, which were subject to an SIR paid by Deere, had been exhausted; and (2) whether the insurers’ indemnity obligation extended to Deere’s defense costs incurred in asbestos claims that had been dismissed. The trial court found in favor of the insurers, concluding that the retained limits in the first layer of coverage also applied to the higher-layer excess, which was not triggered until Deere paid additional SIRs. The court also concluded that the insurers were not obligated to pay defense costs when underlying cases were dismissed without payment to a claimant either by judgment or settlement.
Mr. Kendrick may be contacted at ckendrick@hbblaw.com
Ms. Moore may be contacted at vmoore@hbblaw.com
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Christopher Kendrick, Haight Brown & Bonesteel LLP and
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Cal/OSHA-Approved Changes to ETS Will Take Effect May 6, 2022
May 16, 2022 —
Matthew C. Lewis & Nicole R. Kardassakis - Payne & FearsA new, third revised version of the Cal/OSHA COVID-19 Prevention Emergency Temporary Standards (“ETS”) has been approved by Cal/OSHA, and is expected to go into effect on May 6, 2022. This updated ETS will likely be in effect through Dec. 31, 2022.
The language still needs to be reviewed, finalized, and filed with the Secretary of State by the Office of Administrative Law, but a redline of the proposed changes that Cal/OSHA has approved is available here. Much of the previous ETS (which took effect in January 2022, and we discussed here) will remain in effect. But the new version includes some key changes, including the following:
- Employers will now have similar obligations toward employees who are fully vaccinated and employees who are not fully vaccinated with respect to testing and face coverings. Employers must make COVID-19 testing available at no cost to all symptomatic employees during the employee’s paid time, regardless of the employee’s vaccination status. Employers also must make respirators available to all employees upon request, again regardless of the employee’s vaccination status.
Reprinted courtesy of
Matthew C. Lewis, Payne & Fears and
Nicole R. Kardassakis, Payne & Fears
Mr. Lewis may be contacted at mcl@paynefears.com
Ms. Kardassakis may be contacted at nrk@paynefears.com
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Subprime Bonds Are Back With Different Name Seven Years After U.S. Crisis
January 28, 2015 —
Jody Shenn – Bloomberg(Bloomberg) -- The business of bundling riskier U.S. mortgages into bonds without government backing is gearing up for a comeback. Just don’t call it subprime.
Hedge fund Seer Capital Management, money manager Angel Oak Capital and Sydney-based bank Macquarie Group Ltd. are among firms buying up loans to borrowers who can’t qualify for conventional mortgages because of issues such as low credit scores, foreclosures or hard-to-document income. They each plan to pool the mortgages into securities of varying risk and sell some to investors this year. JPMorgan Chase & Co. analysts predict as much as $5 billion of deals could get done, while Nomura Holdings Inc. forecasts $1 billion to $2 billion.
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Jody Shenn, BloombergMs. Shenn may be contacted at
jshenn@bloomberg.net
Shutdowns? What A Covid-19-Safe Construction Site Looks Like
April 20, 2020 —
ENR Editors - Engineering News-RecordThere’s no end to published opinions about construction project shutdowns where the widely different types of jobsites are reduced to a single Dickensian nightmare crying out to be closed during this COVID-19 pandemic.
ENR Editors
ENR may be contacted at ENR.com@bnpmedia.com
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