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HomeMy WebLinkAbout10/22/1996, 6 - UNIFIED HAZARDOUS MATERIALS AND WASTE MANAGEMENT REGULATORY PROGRAM (CUPA) council ~ t6v°t-2,Z_ 16 j agenda uepont WnNmaw CITY OF SAN LUIS OBISPO FROM: Robert F. Neumann, Fire Chief Prepared By: Page Dougherty, Fire Marshal SUBJECT: Unified Hazardous Materials and Waste Management Regulatory Program (CUPA) CAO RECONEWENDATION Authorize the Mayor to send a letter to the Secretary of the California Environmental Protection Agency requesting the City be established as a Participating Agency (PA) under the San Luis Obispo County Certified Unified Program Agency (CUPA) DISCUSSION Background Recent legislation in the State Senate, Senate Bill 1082 (SB), Calderon, 1993, amended the Health and Safety Code to require the Secretary of the California Environmental Protection Agency (CalEPA) to develop and implement a unified hazardous waste and hazardous materials management regulation program. This program, known as The Unified Program is to be certified by January 1, 1997 and implemented by January 1, 1998. Senate Bill 1191, 1995, is additional legislation that made several important changes to cleanup the existing law. The legislation is designed so that only one local agency will have the ability to regulate hazardous materials and bill for the associated costs. The goal is to establish one permit/fee and inspection for each facility or business handling and/or storing hazardous materials. Currently, there is duplication of inspections and multiple permits are required. This causes considerable frustration for 187 businesses operating in the city that are affected by the legislation. Current Pmgram Two departments within the City are currently involved in the regulation of hazardous materials. The Fire Department, as the liaison with the County, coordinates administrative requirements for the City and is responsible for the following four programs: Aboveground Storage Tanks, Underground Storage Tanks, Risk Management Prevention, and the Uniform Fire Code Requirements. The Utilities Department manages the Hazardous Materials Release Response Plans Inventory and a Federally Mandated Wastewater Pretreatment Program. Each program is outlined below. The thrust of the Unified Program is to consolidate, coordinate, and make consistent the following six programs. AK-� Agenda Report- CUPA Page Z * Hazardous Waste Generator and PreTreatment Program The hazardous waste generator program is a comprehensive program consisting of management and enforcement elements. The program includes inspections, chemical emergency response, complaint investigation, enforcement actions, hazardous waste cleanup activities, and education of industries and the public to the laws and regulations governing the management of hazardous waste. A key safety element of the program provides hazardous materials site information, containing critical on-scene precautions, available to public safety officers, health officials, health care providers, planners and other agencies. * Underground Storage Tanks (UST) This program relates to hazardous materials storage in underground tanks. The purpose of this program is to promote the early detection of, and reduce the incidence of, leaking underground storage tanks. The program accomplishes this mainly through its monitoring, inspection and enforcement activities, as well as by offering education and assistance to the public and regulated communities. * Aboveground Storage Tanks (AST) (Spill Prevention and Countermeasure Plan) This program relates to hazardous materials storage in aboveground storage tanks. This program, formally under the State Water Board's authority, pertains mainly to larger aboveground tank storage facilities (i. e. tank farms). This program is similar in nature to the UST program, although not nearly as comprehensive with reference to regulations. The primary thrust of the program is prevention, through the review and enforcement of required spill prevention and countermeasure plans. * Risk Management and Prevention Program RMPP (Acutely Hazardous Materials) This program determines whether a Risk Management Prevention Plan is required and, if so, approves the submitted plan. A screening methodology based on an EPA model and chemical thresholds is used to determine RMPP requirements. The requirement for the Risk Management Prevention Plan is intended to minimize the potential for adverse impacts on life, property and the environment due to sudden releases of acutely hazardous materials. * Uniform Fire Code (UFC) (Hazardous Materials Response Plans/Inventories) Enforcement of Articles 51, 79 and 80 from the Uniform Fire Code pertaining to hazardous materials handling and storage. * Hazardous Materials Release Response Plans and Inventory These program elements are very similar in nature and have been combined into one reporting document by the Fire Department for several years now. When businesses handle hazardous materials in quantities above certain threshold amounts, they are required to submit a Business Plan and Chemical Inventories. By combining program elements (reporting mechanisms), the present implementation requirement is such that businesses can use the plan to also meet the contingency plan requirements for hazardous waste generators. This reporting mechanism allows the department to provide first responders with updated site maps, emergency response plans and chemical inventory data for all hazardous materials businesses. o` Agenda Report- CUPA Page 3 Proposed Program Currently, the City of San Luis Obispo and the County of San Luis Obispo have separate applications before the Secretary of CalEPA to each become a CUPA. However, after considerable discussion and negotiation with the County, staff is recommending the City become a Participating Agency under the auspices of the County. Central to these discussions is the development of an advisory body to the County's Environmental Health Director. This body is made up of representatives from the environmental community, industrial manufacturers, independent garage owners, Fire Chiefs, and City Managers. The board's purpose is to assist the director in the development and oversight of the program. In addition, it may serve as a board of appeals in resolving disputes. As the Participating Agency (PA), the City would have a formal agreement with the County CUPA to implement and enforce the Unified Program within the City limits. In doing so, PA's are required to develop parallel forms and inspections with the CUPA. PA responsibilities would include: * Consolidated Permits * Single Fee Billing System (Establish fees which reflect the necessary and reasonable costs of implementing the associated program elements. The City may have a separate or different fee structure from the County CUPA. However, the CUPA will be the billing agency transferring funds to the City on a periodic basis.) * Consolidated Inspections * Consolidated Enforcement Procedures The advantage of the City becoming a Participating Agency is the ability to develop, implement, and maintain our current program under the CUPA. The City would maintain a quality program and would perform the inspections needed to insure safety for its public, environment, and our firefighters. The County would provide the administrative procedures and liaison functions with the State. The business community benefits from the single agency aspect that is created with common forms and billing handled by the CUPA. This is especially true if the business has several locations that are in both City and County areas. The County is also modifying past inspection practices to be more consistent with the City's so that inspections performed in the unincorporated areas of the County will be more similar to our own. This is especially important in expansion areas where any major differences between the City and County areas could discourage annexation. Under this model, the County Health Department would perform inspection services in the unincorporated areas and in the other six cities. The City of San Luis Obispo would continue its existing programs, merging both Fire and Utilities in a cooperative process. Currently, the County and the City are performing duplicate inspections in several areas. As a PA, the City will continue to do its hazardous waste generator inventories and inspections. However, the County will no longer perform these inspections, sending the fees of approximately $11,000 to the City instead. �-3 Agenda Report- CUPA Page 4 In summary, there are a number of advantages to the City's PA status under the CUPA. Permitting and billing will be handled centrally by the County. A single uniform inspection and permit and billing process will be used for all businesses within the County, providing greater consistency and continuity of inspections. Consistency will be attained by standardization of training, inspections and reporting formats. The City's status as a PA also best meets the intent of the legislation. The disadvantages of the PA status relate to concerns with the County's accountability for quality control and the unknown future costs for the County to manage the program. Staff believes the newly created Advisory Board will do much to mitigate these concerns. The State is requesting that local agencies notify them of their intent of becoming a PA or CUPA as soon as possible. The attached letter withdraws the City's application as a CUPA and states our intention to become a PA under the County's CUPA. After this notification is received, the State will hold hearings on October 30 to establish the County as the Certified Unified Program Agency and the City as a Participating Agency. If the City becomes a PA, staff, in conjunction with the Advisory board, will more fully develop the new program. CONCURRENCE The Utilities Director, the County and other agencies, which are part of the County's CUPA, concur with establishing the City as a Participating Agency. The Manufacturers' and Distributors' Association has also been briefed on the legislation and the City's intention of pursuing PA status. FISCAL EWPACT Once the program is finalized, staff will return to Council with a thorough cost analysis. This analysis will include: actual fiscal impacts, the fee structure, SB 90 reimbursement eligibility and recommendations. It is anticipated this will take approximately one year. While it is too early in the process to determine the total cost for providing this State-mandated program, a number of factors are evident. • The City's cost recovery policy recommends 100% cost recovery as a goal for services such as these. • Fees currently in place for these services have not been increased in quite some time, having been put on hold due to the legislation. Therefore, a fee increase is a definite possibility. • However, a portion of the cost to operate the program, as it now functions, is currently funded in the budget. • Once the City and County merge programs, an additional $11,000 will be returned for services the City will then be performing instead of the County. • The State has the ability to add additional surcharge fees for oversight of the program. W/ y Agenda Report- CUPA Page 5 However, the County has requested a surcharge waiver. In addition to a City letter supporting the waiver request, staff worked with the Chamber of Commerce and Manufacturers' and Distributors' Association, and each of these organizations also submitted letters requesting surcharge waivers. We are currently awaiting a response to these requests. ALTERNATIVES 1. Become a CUPA Separate from the County • The advantage is that the City would be able to control the program within its boundaries and be directly answerable to the state. • The disadvantages are increased costs to the City for additional personnel to operate and administer the program and additional fee increases to businesses to allow for cost recovery for these services. Additionally, there would be two agencies in the area performing the same function directly contradicting the purpose of the legislation. This would affect a business that has facilities in both the County and City who would have to pay multiple fees. 2. Surrender all CUPA Control to the County • The advantage of this option is that the City would only be responsible for requirements of the Uniform Fire Code, and Federal and State Wastewater Treatment which are not covered under the CUPA program and cannot be delegated to another agency. • The disadvantage is the County would run the program and perform the inspections in the City. This would cause the City to lose local control and regulation accountability. The City's existing programs are established and well-organized. The County has not been able to obtain a similar level of service, even though plans are underway to establish a level similar to our own. ATTACHMENT Letter requesting Participating Agency Status (O -J August 8, 1996 Mr. David L. Schumate Department of Toxic Substances Control 1515 Tollhouse Road Clovis, CA. 93611 SUBJECT: Letter of Intent to Withdraw Current CUPA Application Dear Mr. Schumate: The City's is respectfully requesting that Department of Toxic Substances Control withdraw our current application to become Certified Unified Program Agency (CUPA). It is the intent the City of San Luis Obispo to become a Participating Agency (PA) with the County of San Luis Obispo. By copy of this letter, we are formally notifying San Luis Obispo County Environmental Health Department of our intent to pursue PA status under the County's current CUPA application. If further information is necessary and for future correspondence, please contact Page Dougherty, Fire Marshal, San Luis Obispo City Fire Department, 2160 Santa Barbara Avenue., San Luis Obispo, California 83401, phone (805) 781-7380, fax (805) 543-8019. Sincerely, Allen Settle Mayor c: San Luis Obispo County Environmental Health 1,01 -16