Federal regulator for U.S. oil trains to step down

Repost from Reuters
[Editor: Watch industry lobbying efforts as the scramble for power ensues.  For instance … note the posturing in this article by  Lynn Helms, director of the North Dakota Department of Mineral Resources, who reportedly said “dealings with Quarterman have improved in recent months as oil train hysteria has subsided.”  Nice  to know that our concern for safety and clean air is so easily dismissed as hysteria.  – RS]

Quarterman, regulator for U.S. oil trains, to step down: sources

By Patrick Rucker, WASHINGTON, Sep 24, 2014
Top Oil Train Regulator Is Stepping Down
PHMSA Administrator Cynthia Quarterman, left, during House testimony (Photo by Scott J. Ferrell/Congressional Quarterly)

(Reuters) – Cynthia Quarterman, the federal regulator who oversaw expansion of the U.S. oil train sector and the fallout from several fiery derailments, will step down, two sources familiar with her intentions said on Wednesday.

As administrator of the Pipeline and Hazardous Materials Safety Administration (PHMSA) since November 2009, Quarterman has been a leading safety official as oil train deliveries from North Dakota neared 750,000 barrels a day and spectacular derailments in the United States and Canada raised concerns about such shipments.

PHMSA, an agency within the U.S. Department of Transportation, has been under scrutiny for more than a year as officials have tried to respond to the hazards posed by oil train cargoes, which have grown in volume along with a rise in domestic crude production.

PHMSA did not confirm Quarterman’s departure, which reportedly will come next week.

Quarterman, previously an attorney whose practice focused on the transportation and energy industries, was often the face of federal policy, defending government actions to lawmakers, industry and safety advocates.

“If you have upset everyone a little, you’re probably doing a good job,” said Brigham McCown, a former PHMSA head.

“The prevailing view is she’s done a good job in challenging times,” McCown said.

Among other things PHMSA has been tasked with writing new safety standards for oil trains and other hazardous cargo. Tuesday marks a deadline for public comment on the proposed safety rules.

Quarterman and other regulators have often been caught between energy interests who argue oil-by-rail safety concerns are inflated and political leaders who represent communities along the tracks.

Lynn Helms, director of the North Dakota Department of Mineral Resources, said dealings with Quarterman have improved in recent months as oil train hysteria has subsided.

“As we moved to more of a science-based approach, things smoothed out,” he said. “Our more recent work with Quarterman and (U.S. Transportation Secretary Anthony) Foxx has been very, very positive.”

Another major incident on Quarterman’s watch was the pipeline rupture in Mayflower, Arkansas, in March 2013. About 5,000 barrels of crude oil spilled from a line that is part of Exxon Mobil’s Pegasus pipeline from Illinois to Texas.

(Reporting by Patrick Rucker; additional reporting by Ernest Scheyder in North Dakota; Editing by Ros Krasny and Sandra Maler)

Groups Challenge Sacramento Air District’s Furtive Approvals of Crude Oil Project

Repost from The Sacramento Bee
[Editor: See also EarthJustice’s account, and a Public News Service brief that appeared in the Benicia Herald.  Significant quote: “It’s becoming increasingly clear in California that the oil industry is cozying up to decision-makers who are deliberately bypassing environmental and health laws to usher in perilous oil transport projects that put people in danger,” – EarthJustice attorney Suma Peesapati.  – RS]

Sacramento air quality officials sued over crude oil trains

By Tony Bizjak, Tuesday, Sep. 23, 2014

A Bay Area environmental group has filed a lawsuit against the Sacramento Metropolitan Air Quality Management District for failing to require an environmental review of a crude oil transfer station at McClellan Business Park.

The group, Earthjustice, accuses local air quality managers of quietly rubber-stamping permits for InterState Oil Company, allowing it to use McClellan as a site for transferring highly flammable crude oil from trains into tanker trucks headed to Bay Area refineries.

Earthjustice filed the complaint Monday in Sacramento Superior Court on behalf of the Sierra Club. It charges that Sacramento air quality officials and InterState failed to review the potential hazards of running trains of inadequately designed tank cars full of crude oil through neighborhoods, and asks the court to halt the transfer operations until a full environmental review is conducted.

InterState Oil Company has been making the transfers at McClellan since last year, initially without applying for a permit. Inspectors with the air quality district discovered the oil transfers and required InterState to file for a permit, but did not require the company to conduct any review of the environmental impact of the project. Permit documents allow InterState to unload an estimated 100 train cars every two weeks. Officials with InterState could not be reached for comment.

Air district official Larry Greene told The Sacramento Bee last month that the oil company had an existing permit to transfer denatured alcohol and that the switch to crude oil transfers didn’t cause any emissions increases. The district issued a permit this year for crude-oil transfers but considered that action “ministerial,” meaning it did not trigger an environmental review, Greene said.

Environmental groups said they see that stance as an abrogation of duty by local regulators.

“It’s becoming increasingly clear in California that the oil industry is cozying up to decision-makers who are deliberately bypassing environmental and health laws to usher in perilous oil transport projects that put people in danger,” said Suma Peesapati, Earthjustice attorney. “We saw it in Richmond, we saw it in Kern County, and now we’re witnessing it in Sacramento. If we’re going to stem the flood of fossil fuels into California and protect the public from hastily approved, poorly planned projects, we demand transparent and law-abiding leadership.”

“This is an example of a public agency skirting the law and failing to ensure that everything possible is done to protect the public,” said Terry Davis of the Mother Lode Chapter of the Sierra Club.

Earthjustice recently sued a similar operation in the Bay Area city of Richmond, where the Kinder Morgan oil transportation company currently moves volatile Bakken crude oil from trains to trucks that take it to local refineries. That lawsuit was rejected a few weeks ago in court when a judge ruled the six-month statute of limitations for a lawsuit had expired. That project involves 100-car oil trains that come through midtown Sacramento.

Attorney Peesapati of Earthjustice said she does not believe the statute of limitations issue applies in the Sacramento case because this week’s lawsuit is within six months of the air quality district’s initial permit issuance this year.

A handful of recent derailments and explosions involving trains carrying crude oil, notably the lighter and more volatile Bakken crude oil from North Dakota, have prompted federal and state officials to push for more rail safety measures.

Read more here: http://www.sacbee.com/2014/09/23/6729786/sacramento-air-quality-officials.html#storylink=cpy

Benicia Valero Crude-by-Rail comment period closes with a landslide of criticism

By Roger Straw

The Benicia Independent makes it easier for you to read comments of INDIVIDUAL state and regional agencies and organizations. See our updated Project Review page (or just see below).

Something UNUSUAL happened in Benicia on September 15, the final day of the public comment period on the Draft EIR on Valero’s Crude By Rail proposal. I understand that opponents of a project will almost always wait until the last day to submit public comments. But not only did a remarkable NUMBER of critical comments arrive in the City of Benicia’s inbox on September 15 – there was a dramatic landslide of comments from significant governmental agencies and environmental organizations, including…

Also highly significant on September 15 were written comments from four of Benicia’s Planning Commissioners: Steve Young, George Oakes, Susan Cohen Grossman and Belinda Smith.

Prior to September 15, the City also received critical comments from the

These documents are also downloadable from Project Review.

Sacramento Bee: California state and regional agencies challenge Benicia crude oil train plan

Repost from The Sacramento Bee
[Editor: to read the State’s letter and others mentioned in this article, check out Project Review.  – RS]

California officials challenge Benicia crude oil train plan

By Tony Bizjak, September 24, 2014

Brown administration officials say Benicia has underestimated the risk posed by oil trains planned to run through Sacramento and other parts of Northern California to the city’s Valero refinery, and is calling on the city to redo its safety analysis before allowing oil shipments to increase.

A letter sent to the city last week by the state’s Office of Spill Prevention and Response and the California Public Utilities Commission expresses concerns similar to those detailed in recent letters to Benicia from the Sacramento Area Council of Governments and the cities of Sacramento and Davis.

Sacramento regional leaders have accused Benicia of not adequately exploring the explosion and fire risks of a Valero Refining Co. plan to run two 50-car trains daily through downtown Roseville, Sacramento, West Sacramento, Davis and other cities to the Benicia refinery.

Julie Yamamoto, chief of the state spill prevention agency’s scientific branch and a member of the governor’s rail safety team, said state officials felt compelled to push for Benicia to do deeper study prior to project approval.

“We felt the risk analysis was sufficiently flawed and underestimates the risks,” Yamamoto said.

In its draft environmental impact report, issued earlier this summer, Benicia only analyzed oil spill possibilities on the rail line between Roseville and Benicia, even though the trains will travel from other states or even Canada. “That is a pretty big shortfall in not considering the rest of the track to the California border, and even beyond that,” Yamamoto said. State officials also have questions about how Benicia came up with the assertion that a derailed train might spill oil only once every 111 years, and therefore the risk was insignificant.

“The derailment rate looks to us to be low compared to national data,” Yamamoto said.

Benicia city officials declined to respond this week to the concerns raised by the state and local governments, but previously indicated that they limited their spill analysis to the Roseville-Benicia track section because they do not know yet which rail lines the Union Pacific Railroad may use east or north of Roseville to bring the oil into California.

State officials countered that there are only a handful of rail lines that could be used to bring the oil into the state, and all should be included in Benicia’s project risk analysis. The state noted that those rail lines pass through “high-hazard areas” where derailments are more common. In Northern California, those hazard sections are at Dunsmuir, the Feather River Canyon and near Colfax.

By issuing its letter, the state secures legal standing to sue Benicia if that city approves the project without redoing its risk studies. State officials this week declined to address the question of whether they would consider a lawsuit.

The letter from the state is one of hundreds Benicia officials said they received in the past few months in response to their initial environmental study. Benicia interim Community Development Director Dan Marks said the city and its consultants would review the comments and prepare responses to all of them, then bring those responses to the city Planning Commission for discussion at an as-yet undetermined date.

Under the Valero proposal, trains would carry about 1.4 million gallons of crude oil daily to the Benicia refinery from U.S. and possibly Canadian oil fields, where it would be turned into gasoline and diesel fuel. Valero officials have said they hope to win approval from the city of Benicia to build a crude oil transfer station at the refinery by early next year, allowing them to replace more costly marine oil shipments with cheaper oil.

Crude oil rail shipments have come under national scrutiny in the last year. Several spectacular explosions of crude oil trains, including one that killed 47 residents of a Canadian town last year, have prompted a push by federal officials and cities along rail lines for safety improvements.

SACOG and the cities of Sacramento and Davis have called on Benicia to require UP to give advance notice to local emergency responders, and to prohibit the railroad company from parking or storing loaded oil tank trains in urban areas. Local officials want the railroad to use train cars with electronically controlled brakes and rollover protection. Sacramento also has asked Benicia to limit Valero to shipping oil that has been stripped of highly volatile elements, including natural gas liquid.

Others in the Sacramento region, however, point out that rail safety is a federal issue, not one that cannot legally be dictated locally. In a joint letter, Stanley Cleveland and James Gallagher of the Sutter County Board of Supervisors said SACOG is overreaching, and a better approach would be to work with federal railroad regulators, as well as with Valero and UP, on safety issues.

The Union Pacific Railroad also has challenged the SACOG and Sacramento city perspectives, arguing that federal law pre-empts states and cities from imposing requirements on the railroads. “A state-by-state, or town-by-town approach in which different rules apply to the beginning, middle and end of a single rail journey, would not be effective,” UP officials said in a letter this month to SACOG.

State Sen. Ted Gaines, who represents much of Placer County and other rail areas, said the Valero project has his “full support.” Benicia’s analysis, he wrote, “affirms that this project is beneficial environmentally and economically and can be done safety given the prevention, preparedness and response measures in place by both Valero and Union Pacific Railroad.”

Among other commenters:

•  350 Sacramento, a local climate change group, warned that oil trains would cause an increase in carbon emissions and slow efforts to convert to renewable energies.

•  The Capitol Corridor passenger train authority, which would share tracks with the oil trains, voiced concern about the safety of passengers, crews and communities, saying the Benicia analysis doesn’t look at the impact crude oil trains would have on Capitol Corridor or Amtrak passenger trains.

• The Sacramento Metropolitan Air Quality Management District said Benicia could ask Valero to fund local mitigation programs to reduce polluting impacts of trains in the region.

•  UC Davis noted that the rail line passes through campus near the Mondavi Center and the UC Davis Conference Center, and called for additional training and equipment for Davis to deal with the possibility of a derailment and fire.

Read more here: http://www.mercedsunstar.com/2014/09/24/3866089_california-officials-challenge.html?rh=1#storylink=cpy