Latest derailment: Selkirk, NY – cause pinned down, anxiety lingers

Repost from The Times Union, Albany NY

Derailment’s cause pinned down, but anxiety lingers

By Brian Nearing, October 23, 2014
Railcars are derailed Wednesday night, Oct. 23, 2014, at the CSX yard in Selkirk, N.Y. (Sheriff Craig Apple)
Railcars are derailed Wednesday night, Oct. 23, 2014, at the CSX yard in Selkirk, N.Y. (Sheriff Craig Apple)

A misplaced piece of safety equipment triggered the slow-motion derailment of 18 railroad cars overnight at the spawling Selkirk rail yard, the state Department of Transportation said Thursday.

Eighteen cars — two of which had been earlier emptied of highly explosive propane — derailed about 7:40 p.m. at the sprawling Selkirk yard, which can handle thousands of freight cars a day for rail company CSX and is a critical transit gateway to much of the Northeast. No cars ruptured or spilled, and no one was hurt.

State transportation investigators said the mishap was caused by safety equipment — called a derailer — inadvertently left on the tracks by a crew that had been making repairs. A derailer is meant to protect workers by blocking trains from running over them.

Another worker elsewhere later began using a remote-controlled engine to move freight cars slowly around the yard, unaware the derailer was in the path of the oncoming cars, according to a DOT statement.

“The remote control operator was moving freight cars onto that section of track when they ran into the derailer, pushing them off the tracks. Investigators believe the remote control operator was initially unaware of what was happening and continued to move the cars down the track, causing more to derail,” according to DOT.

Albany County Executive Dan McCoy said the accident, coming days after a liquid propane spill at a tank farm near a sprawling interstate highway intersection, shows the Capital Region is “dancing with the devil” as fossil fuel-laden trains surge through from the Midwest.

Fifteen of the cars in Selkirk had been righted by Thursday afternoon, said CSX spokesman Rob Doolittle. He said four cars were classified for hazardous materials, including two for propane, as well as one containing residue of a chemical herbicide and another containing an industrial acid.

Doolittle said “several of the remaining cars were empty, and none of the other cars contained any hazardous freight.” He said the accident was not causing backups or delays elsewhere on CSX lines.

A vocal opponent of a surge of crude oil rail shipments from North Dakota that are arriving daily in Albany, some carried by CSX, McCoy said the rail company was “downplaying” the mishap and “making it sound like less than it was.” He and Albany County Sheriff Craig Apple went to the yard Wednesday night to inspect the mishap.

Derailed cars were “stacked two or three high,” said McCoy. “There was a huge crater or hole near one of the derailed cars … and one car was leaning against” a tanker that was marked with a placard identifying its contents as propane. “Cars were beaten up, dented in. It looked like a bomb had gone off.”

State DOT spokesman Beau Duffy said CSX notified the state at 8:23 p.m., within a one-hour notification window required under law. He said previous state inspections of the yard have “not found anything out of the ordinary.”

This is the second derailment at the Selkirk yard this year. In February, 13 tanker cars each carrying about 29,000 gallons of highly flammable crude oil derailed, but did not spill or explode. DOT later fined CSX $5,000 for failing to notify the state of the derailment within the one-hour requirement.

Later, inspectors from DOT and the Federal Railroad Administration looked at a mile of track in the Selkirk yard and found 20 “non-critical defects” that were to be repaired, according to a March press release from Gov. Andrew Cuomo.

On Monday, there was “a small release” of liquid propane from a tank farm in North Albany, near the intersections of Interstates 90 and 787, according to statement from tank farm owner Global Partners.

Workers found the leak during a “routine site inspection” about 3:45 p.m., according to a statement by Global Partners Vice President Edward J. Faneuil. The company informed the city Fire Department and burned off “excess gas which could not be recovered,” he said. No one was hurt and the cause of the leak was being investigated.

McCoy said flames from the gas burn went on for hours Monday night. City Fire Chief Warren Abriel said his department was notified by Global about 5 p.m. that they were going to burn off excess gas from one of its storage tanks. He said he was not aware that burn was linked to a leak.

Burning gas vented from tanks is a routine procedure at the Global facility that is not unusual, said Abriel. Global expanded its 540,000-gallon propane storage facility in April; it has been receiving propane shipments by rail there since April 2013.

Spokesman from both state DOT and the state Department of Environmental Conservation said their agencies were not required to be notified about the propane spill.

Central Valley Business Times: Oil company abandons plans to handle Bakken crude in Sacramento

Repost from Central Valley Business Times

Oil company abandons plans to handle Bakken crude in Sacramento

SACRAMENTO, October 22, 2014

•  Cites lawsuit filed by environmentalists
•  “This is a victory for the health and safety of the people of Sacramento”

InterState Oil Company says it is surrendering its air pollution permit that lets it transfer highly volatile Bakken crude oil from railcars to trucks at its transloading facility located at 4545 Dudley Boulevard in the McClellan industrial park in Sacramento.

The decision comes a month after Earthjustice filed a lawsuit on behalf of Sierra Club challenging the Sacramento Metropolitan Air Quality Management District for issuing permits allowing the project without public or environmental review.

Now the air agency says the permit was “issued in error because it failed to meet District Best Available Control Technology requirements.”

The agency and the company have agreed that the transfers will stop by Nov. 14.

“This is the first crude transport project that has been stopped dead in its tracks in California,” says Suma Peesapati, Earthjustice attorney. “This is a victory for the health and safety of the people of Sacramento, for communities along the path of the trucks hauling this dangerous product to the Bay Area, and for the refinery communities where the crude is eventually processed.”

Earthjustice filed the lawsuit on behalf of the Sierra Club on Sept. 23, holding the air district and InterState Oil accountable for neglecting to consider the risk to public health and safety of the project. The lawsuit also challenged the air district for deliberately avoiding its obligations for review under the California Environmental Quality Act despite the fact that the project would have significant increases in air pollutants, including toxic air contaminants.

The air district first issued a permit to InterState to trans-load crude from rail to truck on March 27, however according to an investigation by the Sacramento Bee, the company had been trans-loading crude without a permit as early as six months before that date. No notice was given to local fire and emergency responders or other officials about the handling of the highly flammable substance just seven miles north of the California state capital.

“This is a huge victory for Sacramento residents and communities across California who are put in harms way by trains carrying volatile, hazardous crude that are known to derail and explode,” says Devorah Ancel, Sierra Club staff attorney. “Local, state and federal governments must take further immediate action to notify the public when hazardous crude is railed through their communities and to ban the use of unsafe DOT 111 tank cars.”

As a result of today’s decision, Sacramento Superior Court is expected to dismiss the lawsuit, Earthjustice says.

Bakken crude, a type of shale oil, is more volatile than other kinds of crude oil. It has been blamed for some spectacular — and tragic — accidents, the worst of which was the July 2013 derailment of a train of oil cars carrying Bakken crude in the small Quebec town of Lac-Mégantic. The explosion and fire killed nearly 50 townspeople and leveled more than 30 buildings.

Sacramento Bee: Sacramento crude oil transfers halted; air quality official says permit was granted in error

Repost from The Sacramento Bee

Sacramento crude oil transfers halted; air quality official says permit was granted in error

By Tony Bizjak and Curtis Tate, 10/22/2014
A tanker truck is filled from railway cars containing crude oil on railroad tracks in McClellan Park in North Highlands in March.
A tanker truck is filled from railway cars containing crude oil on railroad tracks in McClellan Park in North Highlands in March. Randall Benton

A Sacramento fuel distributor has agreed to stop unloading train shipments of crude oil at McClellan Business Park after the county’s top air quality official said his agency mistakenly skirted the state’s environmental rules by issuing a permit for the operation.

InterState Oil Co. said in a letter Wednesday to the Sacramento Metropolitan Air Quality District that as of Nov. 7 it will no longer use McClellan as a transfer station for crude oil shipments to the Bay Area.

The move settles a lawsuit filed in September by EarthJustice, a San Francisco-based environmental group, that contended the Sacramento air quality district should not have granted InterState Oil a permit to transfer crude oil from trains to tanker trucks bound for Bay Area oil refineries without a full environmental impact review.

Air district head Larry Greene now says a full review was, in fact, required by the California Environmental Quality Act.

“We made an error when the permit was developed, and it should have gone to full CEQA review,” Greene said Wednesday. “We have notified (InterState) and the environmental group to that effect. InterState is voluntarily giving that permit back.”

Greene said InterState will continue other transfer operations at its McClellan site, including transfers of ethanol.

It is unclear whether the company will apply for a new permit to load crude oil. Its representatives did not respond to a request for comment.

A lawyer for EarthJustice called this a major victory in the group’s fight against potentially unsafe oil shipments.

“It signals that industry and government may not benefit from a lack of transparency and play dice with lives of people who live along the paths of these dangerous oil trains,” attorney Suma Peesapati said. “This is the first crude transfer project that has been stopped dead in its tracks in California.”

The reversal by the Sacramento air quality district could bolster efforts by environmental groups to slow or stop crude oil projects on rail lines elsewhere, particularly in Washington state. A proposed terminal in Vancouver, Wash., would transfer oil from trains to tanker ships that could supply California refineries.

Patti Goldman, a managing attorney in the Seattle office of EarthJustice, said the decision sounded “a wake-up call” for permitting authorities to consider community input.

“We have been seeing local authorities blindly approve crude-by-rail projects without being open with the public and without considering the full effects,” she said.

The McClellan operation is relatively small compared with the kind of crude oil train terminals now proposed elsewhere in California. One, in southwestern Kern County in the southern Central Valley, will be able to receive one 100-car train full of of crude oil each day; the McClellan facility was permitted to unload a similar amount once every two weeks.

The Kern facility, which could begin operating this month, was already zoned for transfer operations, and required no new environmental reviews or public comments.

In September, the Kern County Board of Supervisors approved a separate facility at a Bakersfield refinery that could receive two trains a day. EarthJustice sued the board earlier this month, contending that Kern’s environmental review was inadequate.

Environmental groups lost a legal fight in the Bay Area city of Richmond, where a terminal operated by pipeline company Kinder Morgan unloads crude oil from trains to trucks that take it to local refineries. A judge rejected the lawsuit in September, ruling that the six-month statute of limitations had expired. That project involves 100-car oil trains that come through midtown Sacramento.

Another proposed oil-train terminal at the Phillips 66 refinery in Santa Maria could mean even more of the cargo passing through Sacramento.

A Sacramento Bee story in March revealed the existence of the McClellan operation to a number of surprised local officials, including the head of the county Office of Emergency Management and the chiefs of the Sacramento city and Metropolitan fire departments. It noted that InterState began handling crude oil last year without obtaining a permit.

Some of the crude unloaded at McClellan may have originated in North Dakota’s Bakken region. That type of oil, extracted through hydraulic fracturing, has been under increased scrutiny since a July 2013 derailment killed 47 people in Lac-Megantic, Quebec.

That accident and a series of fiery derailments since then have prompted the rail industry and its federal regulators to take steps to improve track conditions and operating practices. A stronger construction standard for tank cars used to ship flammable liquids is being finalized by the U.S. Department of Transportation.

The California Energy Commission projects that the state could receive more than 20percent of its petroleum supply by rail in the next two years. State emergency officials and fire departments have said they don’t feel they are prepared to handle a major explosion from a derailment.

Earlier this month, BNSF Railway and Union Pacific sued California over a state law that requires railroads to develop oil spill prevention and response plans. The railroads argue that only the federal government has the power to regulate them.

Bloomberg: California AG Rejects Trade-Secret Claims for Crude-by-Rail

Repost from Bloomberg News

California AG Rejects Trade-Secret Claims for Crude-by-Rail

By Victoria Slind-Flor, Oct 22, 2014

California Attorney General Kamala Harris expressed reservations about the trade-secret provisions in a proposal for a crude-by-rail project in Benicia, California.

In a letter to the city’s Community Development Department, she said the draft environmental impact report for San Antonio-based Valero Energy Corp. (VLO)’s project “frustrates” the California Environmental Quality Act by not disclosing information about which particular crude oil feedstocks would be delivered in as many as 100 tank cars a day.

She said the missing information includes the weight, sulfur content, vapor pressure and acidity of the crude oil feedstocks, information she said is “critical for an adequate analysis” of the effects of the project on public safety and air quality.

Harris said the California governor’s Office of Emergency Services and the state Transportation Department determined that information about the specific characteristics of the crude moved by rail “are not protected trade secrets and should be publicly released.”

The attorney general said these issues “must be addressed and corrected” before the City Council of Benicia takes action on the draft environmental impact report.

Benicia, a city of about 27,000, is on the edge of the Carquinez Strait emptying into San Francisco Bay.