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Bakken Crude, Blast zone, Crude By Rail, DEIR, Derailment, Explosion, Fire, Risk Assessment, Santa Maria Refinery, Tank car design

New crude oil report concludes risks of train spills are real

Repost from The Sacramento Bee
[Editor: Highly significant development – a must read!  – RS]

New crude oil report concludes risks of train spills are real

By Tony Bizjak, 10/23/2014
A train carrying fuel passes through a Bakersfield neighborhood last summer. The dramatic increase in crude oil shipments around the United States and Canada, often on 100-car trains, has led to several major derailments and fires.
A train carrying fuel passes through a Bakersfield neighborhood last summer. The dramatic increase in crude oil shipments around the United States and Canada, often on 100-car trains, has led to several major derailments and fires. Jose Luis Villegas

Mile-long oil trains that are expected to crisscross California daily in the coming years pose significant risks to residents of urban areas, including Sacramento, a new report concludes, contradicting earlier studies that found no major safety concerns.

The report, issued by San Luis Obispo County officials, is based on a plan by Phillips 66 to transport crude oil on 80-car trains, five days a week, to its Santa Maria refinery, some likely through Sacramento. The authors looked at the cumulative impact of all oil trains that could come through California on a daily basis and came to the conclusion that the risk of oil spills and fires is real, and offered suggestions on how those issues should be addressed.

“Up to seven crude oil trains a day could travel on the stretch of track between Roseville and Sacramento,” the report reads. “The cumulative risk would be significant.”

The analysis, called a draft environmental impact report, contrasts with two recent analyses of similar crude-by-rail projects in Benicia and Bakersfield. Valero Refining Co. in Benicia and Alon USA in Bakersfield are proposing to transport crude oil twice a day on trains into their facilities. The Valero trains would come through downtown Sacramento, Roseville, West Sacramento and Davis, likely on the same tracks as the Santa Maria refinery trains. Some of the Bakersfield-bound trains also may come through Sacramento.

Those reports, issued earlier this summer, concluded the risk of spills and oil fires in Sacramento and other areas is not significant and requires no additional safety steps. Those earlier analyses have been challenged. An environmental group, Earthjustice, has sued Kern County over its Bakersfield project review. Two state safety agencies and the state attorney general have sent letters to Benicia challenging the adequacy of its review of the Valero project.

San Luis Obispo County officials said they decided to go beyond what was done in Benicia and Kern County – breaking new ground in California’s evolving crude-by-rail debate – by conducting a qualitative risk assessment, to understand the ramifications of “reasonable” worst-case oil spill scenarios. The new report is an amended version of an earlier report San Luis Obispo issued last year, which also had been challenged as inadequate.

“We have been trying to keep an eye on what is going on around the state, to understand comments coming in on the Valero project and others, and to take a holistic approach,” said San Luis Obispo County project manager Murry Wilson.

That qualitative assessment takes special note of spill risks in urban areas, saying, “The risk is primarily driven by the high-threat urban areas (Los Angeles, Bay Area and Sacramento) since these are the locations where fairly long stretches of track are in close proximity to heavily populated areas.” A series of tables in the report indicate that injuries and deaths could occur up to a third of a mile from a crash site in urban areas, if there was a tank car rupture and explosive fire.

The report points out that derailments of oil trains are rare. The chances of a train spilling more than 100 gallons of oil en route from the California border in the north state to the Santa Maria refinery are anywhere from one-in-19 to one-in-31 in any given year, depending on the route, the county estimated. Similarly, railroad industry officials say their data show that 99.99 percent of freight trains arrive at their destinations safely.

But the dramatic increase in the last few years of crude oil shipments around the United States and Canada, often on 100-car trains, has led to several major derailments and fires, prompting concerns from cities along rail lines, and federal safety officials. Last year in Canada, a runaway crude oil train crashed in a small town and exploded, killing 47 people, many as they slept. Several other crude oil trains have been involved in dramatic explosions around the country in the past year, prompting evacuations of residential areas.

At the moment, two crude oil trains run to or through Sacramento. One carries highly flammable Bakken crude from North Dakota through midtown Sacramento a few times a month to a distribution facility in the East Bay. Another periodically brings oil to a transfer station at McClellan Business Park in North Highlands. The company that runs the transfer station agreed this week to halt those shipments after air-quality officials concluded they had issued the permit in error.

The daily trains to the Santa Maria refinery, if approved, are expected to travel on both southern or northern routes into the state, starting in 2016, depending on where Phillips decides to buy its U.S.-produced oil. The Northern California route is uncertain east of Roseville. West of Roseville, trains are likely to run through downtown Sacramento, West Sacramento, downtown Davis and through East Bay cities, but also could take a route through Sacramento to Stockton, then west into the Bay Area.

San Luis Obispo County officials, in their report, also went considerably further than officials in Benicia and Kern County on the question of “mitigation” or preventive measures that could be put in place to minimize risks of crashes and spills.

Federal law pre-empts cities, counties and states from imposing any safety requirements on the railroads. San Luis Obispo County officials suggest, however, in their report that the county could try using its permitting authority over the proposed Phillips 66 refinery expansion to require Phillips to sign agreements with the railroads ensuring that the railroads use safer tanker cars than those currently in use, and employ better train-control computer technology than is currently in place.

An expert on railroad law told The Sacramento Bee this week that a court likely would have to decide if such a move is legal. “The federal pre-emption of the local regulation of railroads is very strong, about as strong a pre-emption as exists,” said attorney Mike Conneran of the Hanson Bridgett law firm in San Francisco. “It makes sense. You can’t have a different rule every time a rail car pulls into another state or city.”

“I can see there being a (legal) fight on that,” he said. “It is pretty close to the line in telling the railroad what to do. On the other hand, the county is putting the obligation on the refinery, not the railroad. I think the real question may come down to whether such a mitigation measure is feasible if the refinery can’t force the railroad to comply.”

If San Luis Obispo officials determine that they cannot feasibly mitigate for the Phillips 66 project’s potential hazards, the county can still approve the project, in accordance with California law, if county leaders adopt a “statement of overriding considerations,” saying that the project’s benefits outweigh the adverse effects.

Sacramento-area representatives, who have criticized Benicia’s review of its Valero project as inadequate, say they have not yet reviewed the San Luis Obispo analysis.

“We’ll do a similar analysis to what we filed with Benicia,” said Steve Cohn, chair of the Sacramento Area Council of Governments. He said San Luis Obispo’s determination that a train could spill here and cause significant damage is logical, but he wondered what proposed safety measures follow from that conclusion. “We’ll have to take a look,” he said.

It is uncertain at this point whether all of the crude oil train transport projects being proposed in California will actually be built. And, if they are, it’s uncertain still how many of them will route their trains through Sacramento and Northern California. The shipments will come from oil producing areas in North Dakota, Texas, Colorado and other states, as well as Canada.

Benicia officials did not respond to questions from The Bee for comment about their environmental analysis of the Valero project.

Notably, both Benicia and San Luis Obispo based a portion of their reports on analysis by an Illinois professor, Christopher Barkan, who also does work for a major rail industry lobbying group. Barkan’s methods of determining the potential frequency of oil spills have been questioned by state safety officials. Barkan has declined to speak to The Bee.

Barkan estimated that a spill from a Phillips 66 train between Roseville and Santa Maria might happen once in 46 years if the trains use the Altamont Pass and once in 59 years if the trains use the tracks along the Interstate 80 corridor. Those numbers appear to be based on trains using the best available tanker cars.

Alaskan oil, Bakersfield CA, Derailment, Draft EIR, Explosion, Federal Regulation (U.S.), Massive increase in crude-by-rail, Oil spill, Solano County CA, Tank car design, Tar sands crude, Train braking systems, Union Pacific Railroad, Valero Benicia Refinery, Valero Crude By Rail

San Francisco Chronicle: Benicia sees cash in crude oil; neighbors see catastrophe

Repost from The San Francisco Chronicle

Benicia sees cash in crude oil; neighbors see catastrophe

By Jaxon Van Derbeken, October 23, 2014
Ed Ruszel and his family own a woodworking business that fronts the railroad tracks next to the Valero refinery in Benicia where the crude oil would be delivered.
Ed Ruszel and his family own a woodworking business that fronts the railroad tracks next to the Valero refinery in Benicia where the crude oil would be delivered. | Lea Suzuki / The Chronicle

A plan to bring tank-car trains filled with crude oil from Canada and North Dakota to a Benicia refinery is pitting the Solano County town against Northern California neighbors who say they will be burdened with the risk of environmental catastrophe.

Benicia officials must decide whether to approve a draft environmental impact report on a $70million terminal at Valero Corp.’s refinery near Interstate 680, where two 50-car oil trains a day would deliver crude.

Supporters and the company say California consumers stand to benefit: With no major oil pipelines running to the West Coast and marine transport both costly and potentially hazardous, they say, rail is the best way to keep local gasoline prices low.

“Right now, that refinery relies on more expensive crude from Alaska,” said Bill Day, spokesman for Valero. “Rail is the quickest, most efficient and safest way of delivery.”

Benicia’s environmental study weighing the risks of the project, however, has done nothing to assuage critics who say the city is downplaying the dangers of delivering oil by rail.

Crude from North Dakota shale is extra-volatile, they say, and the city’s environmental report assessed only the chances of a spill along the 69 miles of track from the Sacramento suburbs to Benicia — not the chance of a catastrophic explosion, or the possibility of an accident of any kind along the more than 1,000 additional miles the trains would have to travel to reach the shores of the Carquinez Strait.

“This project is not in our region — it is outside of our region — but the impacts on the 2.3million people who live here we view as very significant, very troublesome, very disturbing,” said Don Saylor, chairman of the Yolo County Board of Supervisors and vice chairman of the Sacramento Area Council of Governments, which represents 22 cities and six counties through which the oil trains could travel.

‘A street fight’

Benicia itself is divided by the proposed project. Some locals worry about the environmental risks and traffic problems, while others tout the benefits of low-cost crude to Valero — a company that accounts for a quarter of the city’s tax revenue.

Benicia Mayor Elizabeth Patterson hasn’t taken a stand on the Valero oil-trains terminal, but says, “We need to make sure that just because one industry wants to do something, we don’t ignore the adverse impact to the other businesses and the community.”
Benicia Mayor Elizabeth Patterson hasn’t taken a stand on the Valero oil-trains terminal, but says, “We need to make sure that just because one industry wants to do something, we don’t ignore the adverse impact to the other businesses and the community.” | Lea Suzuki / The Chronicle

“This is going to be a street fight,” said oil-train opponent Ed Ruszel, whose family woodworking business fronts the railroad tracks next to the refinery. “They have to come across my driveway every day — we’re at ground zero.”

The issue is so contentious that the city attorney recently told Mayor Elizabeth Patterson to stop sending out e-mail alerts about city meetings regarding the oil-train project. According to Patterson, the city attorney warned that her activism could open Benicia’s final decision to legal challenge.

Patterson said she has not taken a stand on the Valero terminal, but that “we need to make sure that just because one industry wants to do something, we don’t ignore the adverse impact to the other businesses and the community.”

She called City Attorney Heather Mc Laughlin’s warning “a blatant effort to muzzle me.” Mc Laughlin did not respond to a request for comment.

Canadian disaster

For Ruszel and other critics of the project, the danger is real. They cite several recent oil-by-rail explosions, including the derailment of a 72-car train that killed 47 people and wiped out much of the town of Lac-Mégantic in Quebec in July 2013.

The Valero refinery in Benicia wants to build a rail terminal where crude oil could be delivered by trains.
The Valero refinery in Benicia wants to build a rail terminal where crude oil could be delivered by trains. | Lea Suzuki / The Chronicle

The Valero-bound trains would pass through Sacramento, Davis and Fairfield, among other cities, en route to Benicia. Those cities have voiced concerns about the terminal, where trains would deliver a total of 2.9million gallons a day of shale oil and tar sands.

“We have lots of support here from our own local people,” said project critic Marilyn Bardet of Benicia, “but the real difference is that there are so many agencies and people from up rail looking at this problem. We feel exonerated — everybody has chimed in and agreed with us.”

Not everyone along the rail line is against the idea, however. State Sen. Ted Gaines, a Republican who represents Rocklin (Placer County) and is running for state insurance commissioner, called the project “beneficial environmentally and economically.”

It “can be done safely given the prevention, preparedness and response measures in place by both Valero and Union Pacific Railroad,” Gaines said.

Setting precedents

The Benicia battle will probably be a preview of numerous local fights over oil trains in California. Oil-by-rail shipments jumped from 1million barrels in 2012 to 6.3million barrels in 2013, according to government estimates. By 2016, the state could be awash with 150million rail-shipped barrels of crude a year.

What Benicia does could influence how future oil-train plans play out. Several cities have called on Benicia to require that all train tanker cars have reinforced walls and be better controlled by new, electronically activated braking systems, and that officials restrict what kind of oil can be shipped to Valero.

Such efforts, however, could run afoul of federal law that preempts states and local governments from setting standards on rail lines. Valero has already warned city officials that it may “invoke the full scope of federal preemption,” a thinly veiled threat to sue if Benicia imposes too many restrictions.

Much of the crude that would arrive via train at Valero is expected to come from the Bakken shale formation in North Dakota. Federal transportation officials recently deemed Bakken crude to be an “imminent hazard” because it is far more easily ignitable than more stable grades of crude previously shipped by rail.

In issuing an alert in May, federal transportation officials warned that oil trains with more than 20 cars are at the highest risk because they are heavier than typical cargo and thus more difficult to control. The federal government is considering requiring additional reinforcement of tanker cars and more robust braking systems.

The federal alert about the danger of crude by rail comes as accidents have skyrocketed, with nine major explosions nationwide since the start of 2013. Last year alone, trains spilled more than 1million gallons of crude in the United States — 72 percent more than the entire amount spilled in the previous four decades combined, California officials say.

The consultants who wrote Benicia’s draft environmental impact study concluded that because the type of crude that would be brought to Valero is a trade secret, they could not factor it into their risk assessment. They calculated that a major spill on the 69 miles of track between Roseville (Placer County) and Benicia could be expected roughly once every 111 years.

Among those who think Benicia needs to take a harder look is state Attorney General Kamala Harris, whose office wrote a letter challenging the environmental impact report this month.

Harris’ office says the report’s authors assumed that the safest rail cars available would be used, disregarded spills of fewer than 100 gallons in determining the likelihood of accidents and, in looking only as far as Roseville, ignored 125 miles of routes north and east of the Sierra foothills town.

Some possible routes go through treacherous mountain passes that historically have seen more accidents, say oil-train skeptics. While not specifically mentioning a legal challenge, Harris’ office called Benicia’s study deficient and said it ignored the “serious, potentially catastrophic, impacts” of an accident.

Not her call

Valero says Harris can voice all the objections she wants, but that she doesn’t get a say on whether the terminal will be built.

“This is really the city of Benicia’s decision,” said Day, the company spokesman. The attorney general and others, he said, are “free to file comments” on the environmental report.

He added that “all the crude oil that Valero ships will be in the newest rail cars, which meet or exceed rail safety specifications.”

“Rail companies have products moving on the rails every day that are flammable,” Day said. “The overwhelming majority of everything transported gets there safely, on time, with no incidents.”

Benicia’s City Council now has to decide whether to order to certify the draft study, order it revised or reject it entirely. When that decision comes, Benicia will be getting a lot of out-of-town attention.

“We have near-unanimity in our region to address the safety issues of the crude-oil shipments by rail,” said Saylor, the Yolo County supervisor. “For us, it has been strictly about public safety. It’s a high-risk operation — we have no choice but to take on this issue.”

Bakken Crude, Bridge safety, California Regulation, Crude By Rail, Federal Regulation (U.S.), Rail inspection, Valero Benicia Refinery

California bridge inspectors getting started – will visit only 30 of 5,000 bridges in 2015

Repost from The Sacramento Bee

Editorial: California makes progress on train safety by inspecting railroad bridges

By the Editorial Board, Oct. 9, 2014
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Emergency responders learn about the different types of railroad tank cars in a safety class last week at a CSX yard in Richmond, Va. CSX uses its “safety train” to train first responders in communities where it hauls large volumes of crude oil. Curtis Tate / McClatchy-Tribune

It’s encouraging that important steps are being taken to make sure oil trains rumbling through California don’t derail, but the job isn’t nearly done yet.

For the first time, the California Public Utilities Commission plans to check behind safety inspections by private railroad companies of rail bridges across the state, focusing on those traversed by trains carrying crude oil.

The commission is deploying two new bridge inspectors – among seven new rail inspectors hired with money allocated by Gov. Jerry Brown and the Legislature in response to rising concerns about more oil trains in California. The two inspectors will likely work as a team, visiting four bridges a week. They won’t be doing full inspections, but rather reviewing that the railroads’ safety checks are in proper order.

At that rate, it would take 50 years to check all 5,000 rail bridges, as The Sacramento Bee’s Tony Bizjak reported this week. That obviously isn’t fast enough.

So the commission is compiling a priority list of the first 30 bridges for visits in 2015. Here are two possible ones that should be strongly considered: the heavily used, 103-year-old I Street Bridge in downtown Sacramento and the Clear Creek Trestle in Feather River Canyon. Both are expected to be on primary routes for oil trains.

It’s also significant that state and local officials are pushing for a more complete risk assessment of Valero’s proposal to run oil trains through Northern California to its Benicia refinery.

Late last month, the utilities commission and the state Office of Spill Prevention and Response joined the Sacramento Area Council of Governments and the cities of Davis and Sacramento in raising concerns that the city of Benicia’s draft environmental impact report underestimated the potential of explosion and fire from two 50-car trains going daily through Roseville, Sacramento, West Sacramento, Davis and other cities. Attorney General Kamala Harris has jumped on the bandwagon, too.

For one thing, state officials say they want more detail on how Benicia officials came up with a projection that a train derailment would spill 100 gallons or more of oil only once every 111 years along the 69 miles of track between Roseville and Benicia.

At the same time, California’s two U.S. senators are pressing federal transportation officials to expand their requirements for railroads to notify first responders of oil shipments. The U.S. Department of Transportation’s emergency order, issued in May, covers only shipments of at least 1 million gallons (about 35 rail cars) of crude from the Bakken oil field in North Dakota.

Sens. Barbara Boxer and Dianne Feinstein say that notification ought to be required for any quantity of Bakken, or any kind of crude oil or other flammable liquid, for that matter.

They’re right. If safety is the goal, there’s no logical reason that smaller shipments and other kinds of crude aren’t covered. The notification mandate is among proposed rules on oil trains that federal officials plan to impose by year’s end. They also include phasing out older rail cars, lower speed limits and more comprehensive response plans for spills.

Those federal regulations will become even more crucial if California’s two major railroad companies – BNSF and Union Pacific – win their federal lawsuit filed Tuesday that challenges a new state law requiring them to come up with oil spill prevention and response plans. The companies argue that federal law prevents states from imposing such safety rules.

This is often how important safety improvements get made – step by step, at different levels of government, with advocates having to keep pushing for stronger protections against industry resistance. Everyone involved should have one priority – putting public safety first and foremost.

Crude By Rail, Federal Regulation (U.S.), Local Regulation, Massive increase in crude-by-rail, Oil spill, Rail accidents, Rail Safety, Solano County CA, State regulation, Tank car design, Valero Benicia Refinery

FOX40 News: Crude Oil Rail Meeting Sparks Questions in Fairfield

Repost from FOX40 NEWS Sacramento, Stockton, Modesto
[Editor – The 2 minute video is MUCH better than the online text below.  Two excellent on camera comments by Antonia Juhasz.  Significant closing statement by Fox40 reporter Ben Deci, “The process in Benicia is moving along pretty quickly.  Valero says it expects to be in front of that [Benicia] City Council before the end of the year.”   (…apologies for the video advertisement.)  – RS]

Crude Oil Rail Meeting Sparks Questions in Fairfield

September 29, 2014, by Ben Deci

FAIRFIELD – Oil is coming out of Middle America and needs to get to refineries somehow. Lots more of it, orders of magnitude more, is moving by rail.

But that means more accidents.

“In 2013 alone, we had more crude oil spills by rail than in every year since 1975 combined — 1.1 million gallons. But thus far in 2014 we’ve already surpassed that,” said Antonia Juhasz, an author and investigative reporter sitting on a panel about oil transport through Solano County.

If Valero gets plans approved for a new refinery complex in Benicia, a lot more oil will be loaded on trains, coming this way.

“Our business is dealing with flammable liquids. We deal with it every day. I’m confident in our preparations,” said Chris Howe, with Valero in Benicia.

For those gathered at today meeting in Solano county who don’t want the crude rolling through their backyards, it’s not clear how much choice they have.

“Freight railroads in the United States are actually required to accept any commodity that is delivered to us by our customers, so long as it’s packaged according to U.S. Department of Transportation regulations,” said Liisa Stark, spokesperson for Union Pacific.

The federal government right now is considering stricter standards for the kinds of train cars the crude can be transported in.

But can the wheels of government keep pace with the wheels on the rail?

“It must. If it’s not going to happen at the federal level, it has to happen at the state level. If it’s not going to happen at the state level it has to happen at the community level. There are communities all across the country that are banning crude by rail,” Juhasz said.