Phase I, SPCCs, Tier IIs, and Site

Inspections

Presented by the Marginal Well Commission

&
Enviro Clean Products & Services
January and February 2011

ASTM Standard E1527-05:

Standard Practice for Environmental
Site Assessments:

Phase I
Environmental Site Assessment Process
BUYER BEWARE!

Gate

Comprehensive Environmental Response,

Compensation, and Liability Act of 1980 (CERCLA)

U.S. Courts have held that a buyer,

lessor, or lender may be held
responsible for remediation of
hazardous substance residues, even if
a prior owner caused the
contamination.

What is a Phase I ESA?

The practice that constitutes all

appropriate inquiry into the previous
ownership and uses of a property to
satisfy one of the requirements to
qualify for the innocent land owners
defense to CERCLA.

Purpose of a Phase I
To identify any and all recognized
environmental conditions (RECs).
REC is defined as the presence or
likely presence of any hazardous
substances and/or petroleum
products on a property and/or
adjoining the property that indicate:

 An existing release
A past release
A material threat of a release of any
hazardous substance and/or petroleum
products
into structures on the property or into the
ground, groundwater, or surface water of a
property and/or adjoining properties.

Why conduct an ESA prior to acquisition of

a property by a prospective landowner:

Establishes an appropriate purchase price

Confirms suitability for the intended land use
Avoids potential tort liabilities
Avoids or plans for increased construction cost
and delays
Complies with the due diligence requirements
imposed by lenders and investors

What are the minimum qualifications for

Environmental Professionals (EP) performing
Phase I ESAs?
Hold a current Professional Engineers or
Professional Geologists license or registration
from a state, tribe, or U.S. territory and have
the equivalent of 3 years of full-time relevant
experience; or
Be licensed or certified by the federal
government, a state, tribe, or U.S. territory to
perform environmental inquiries and have the
equivalent of 3 years of full-time relevant
experience; or

 Have a Baccalaureate or higher degree from an

accredited institution of higher education in
science or engineering and have the equivalent
of 5 years of full-time relevant experience; or
Have the equivalent of 10 years of full-time
relevant experience

Essential component of a Phase I ESA:

Record Review Includes an historical data

review in the form of:

Aerial photos,
City directories
Sanborn Firm Insurance Maps
Topographic maps
Soil maps

ASTM E 1527-05 requires the review of historical

information back to the propertys first obvious
developed use or 1940, whichever is earlier.

Essential component of a Phase I ESA:

User Information Specific obligations and
responsibilities of the User of a Phase I ESA to
provide certain information to the EP:
Prospective property owner must, even in the absence
of actual knowledge, consider the relationship of the
purchase price to the fair market value of the property
and evaluate whether a lower purchase price compared
to the fair market value could be due to the presence of
contamination.

Essential component of a Phase I ESA:

Site Reconnaissance A comprehensive visit of

the property identifying all:

Associated structures within the property

Current and past uses of the property
Current condition of the property
Obtain information relating to identifying any potential
RECs associated with the property

Essential component of a Phase I ESA:

Interviews To be conducted with:

Current property owners

Past property owners

(whenever possible) relating to their knowledge of previous

or current environmental conditions as it relates to the
property.
The AAI Rules also requires interviews with:

Owners and occupants of neighboring and nearby properties in

cases where the property being acquired is abandoned, and
there is evidence of potential unauthorized uses or
uncontrolled access on such property.

Essential component of a Phase I ESA:

Reporting Documenting all:
Records reviewed
Observations made during the site reconnaissance
Interview results
Any RECs observed and the conclusions and
recommendations reached in this assessment
EP must also identify any data gaps that remain after
conducting the ESA and comment on the significance of
such data gaps with regard to the ability to identify
potential environmental contamination.

Essential component of a Phase I ESA:

Opinions/Recommendations and Certification The
Environmental Professional must include in the final report:
An opinion regarding appropriate additional
investigation, if they have such an opinion
Report must include a separate certification statement
declaring that the EP meets the qualifications
requirements and the investigation was performed in
conformance with 40 CFR Part 312.

Phase I ESAs performed under ASTM E152705 or AAI Rule do not address:

Asbestos Containing Building Materials (ACBM)

Mold
Lead (in paint and drinking water)
Radon
Indoor air quality/vapor intrusion
Wetlands
Threatened and Endangered species

These items may be addressed in a supplemental Scope of

Work to the Phase I ESA to meet a clients specific goals and
price considerations.

Phase I Sampling:

Techniques applied in a Phase I ESA do NOT

include actual collection of physical samples or
chemical analyses of any kind. Actual
sampling of soil, air, groundwater, surface
water, and/or building materials is typically not
conducted during a Phase I ESA.

Shelf Life of the Written Report:

The new ASTM E 1527-05 and the AAI Rule

states that all appropriate inquiries must be
conducted within one year prior to the date on
which a person acquires a property.

For additional information please

contact:
Ken Murphy or Jonathan Behymer
405.373.4545
www.EnviroCleanPS.com

SPCC Regulations for Production

Facilities

Top 10 Questions About SPCCs

10. Will EPA make unannounced site

visits?

10. Will EPA make unannounced site

visits?

Current Emphasis Area Kay County

Citizen Complaints
In the area and see a problem
Referred by other operators

9. What are main deficiencies EPA cites

for?

9. What are main deficiencies EPA cites

for? Insufficient Paperwork

9. What are main deficiencies EPA cites

for? Not reporting discharges to
waters of the U.S.

9. What are main deficiencies EPA cites

for?
Pollution Control Laws
Rules and Regulations
State: Oklahoma Corporation Commission
Reporting Requirements
- 10 bbls or more on land

Federal: 40 CFR 112/Clean Water Act

Reporting Requirements
- Any amount on or that has the potential for
reaching a navigable waterway

9. What are main deficiencies EPA cites

for? - Insufficient Secondary
Containment

8. What is navigable water?

8. What is navigable water?

Navigable Waters
Currently, not as broad an interpretation as in
prior years

Yes

No

8. What is navigable water? Revisions

to the Regulatory Definition of:
Navigable Waters
The court decision also restored the regulatory
definition of navigable waters promulgated
by EPA in 1973; consequently, EPA is
amending the definition of navigable waters
in part 112 to comply with that decision.
The 1973 regulatory definition of navigable
waters for the SPCC rule was published in the
Federal register on December 11, 1973 (see 38
CFR 34165) and reads as follows:

8. What is navigable water?

Revisions to the Regulatory
Definition of: Navigable Waters
The term navigable waters of the United States means
navigable waters as defined in section 502(7) of the
FWPCA, and includes: (1) all navigable waters of the
United States, as defined in judicial decisions prior to the
passage of the 1972 Amendments of the Federal Water
Pollution Control Act, (FWPCA) (Pub. L. 92-500) also
known as the Clean Water Act (CWA), and tributaries of
such waters as; (2) interstate waters; (3) intrastate
lakes, rivers and streams which are utilized by interstate
travelers for recreational or other purposes; and (4)
intrastate lakes, rivers, and streams from which fish or
shellfish are taken and sold in interstate commerce.

7. What is required for employee

training?

7. What is required for employee

training?
112.7 (f)
At a minimum:
Train oil handling personnel
Operation & Maintenance of equipment
to prevent discharges
Discharge procedure protocols
Applicable pollution control laws, rules &
regulations

7. What is required for employee

training?
General facility operations
Contents of the SPCC Plan
Plan must designate a person
accountable for discharge prevention
Training must be at least once per year
Must highlight discharges &
precautionary measures

6. If I change out a tank, do I need to

revise my Plan?

6. If I change out a tank, do I need to

revise my Plan?
Replace a tank with different size of tank
- Yes
Replace a tank with same size of tank
- No
Remove tank
- Yes
Add a tank
- Yes

6. If I change out a tank, do I need to

revise my Plan? Definition of
Permanently Closed
Preamble Clarification

SPCC rule exempts any oil storage container that is permanently

closed.
Permanently closed means any container or facility for which:
(1) All liquid and sludge has been removed from each container
and connecting line; and
(2) All connecting lines and piping have been disconnected from
the container and blanked off, all valves (except for ventilation
valves) have been closed and locked, and conspicuous signs have
been posted on each container stating that it is a permanently
closed container and noting the date of closure.
Definition of permanently closed does not require a container to be
removed from a facility.
Permanently closed containers may be brought back into use as
needed for variations in production rates and economic conditions.
Permanent closure requirements under the SPCC rule are separate and
distinct from the closure requirements in regulations promulgated
under Subtitle C of RCRA.

6. If I change out a tank, do I need to

revise my Plan?

6. If I change out a tank, do I need to

revise my Plan?

5. Does the 5 year review need to be

recertified?

5. Does the 5 year review need to be

recertified?
Material change
- Yes
Administrative change
- No
No change
- No

5. Does the 5 year review need to be

recertified?
Scheduled five-year reviews and Plan amendments are recorded in Table
0-1. This log must be completed even if no amendment is made to the
Plan. Unless a technical or administrative change prompts an earlier
review, the next scheduled review of this Plan must occur by August 12,
2015.

4. Do flow through process vessels

need secondary containment?

4. Do flow through process vessels

need secondary containment?

What is a flow through process

vessel at an oil production
facility?
- Has the primary purpose of
separating the oil from other
fractions (water and/or gas) and
sending the fluid streams to the
appropriate container
- Can be horizontal or vertical
separation vessels (e.g., heatertreater, free-water knockout, gunbarrel, etc.

EPA has finalized a new

compliance option for this type of
equipment.

4. Do flow through process vessels

need secondary containment? Technical Requirements
Does not require sized containment for
separators, heater treaters, free water
knock outs, gun barrels, etc.
However

4. Do flow through process vessels

need secondary containment? Technical Requirements
In lieu of sized secondary containment
General secondary containment [112.7(c)]
Inspect or test vessels and components for
leaks, corrosion or other conditions that
could lead to a discharge
Promptly remove or initiate actions to
stabilize and remediate any oil accumulation
AND
Take corrective action if a discharge occurs

3. What is required at loading areas?

3. What is required at loading areas? General Secondary Containment

112.7 (c)
At a minimum you must use one of the following
equivalent:

Dikes, berms or retaining walls

Curbing or drip pans

Sumps and collection systems

Culverting, gutters or other drainage system

prevention systems or its

Weirs, booms or other barriers

Spill diversion ponds
Retention Ponds
Sorbent Materials

2. Are flowlines part of the tank

battery?

2. Are flowlines part of the tank

battery? Flowlines & Intrafacility Gathering Lines
Requirements
Instead of secondary containment for flowlines and intrafacility gathering lines, amended rule requires:
Contingency plan;
Written commitment of manpower, equipment, and
materials; and
Flowline/intra-facility maintenance program meeting
the new rule requirements.
New requirements are optional.
Gathering lines that are subject to the DOT regulatory
requirements at 49 CFR parts 192 or 195 are exempt
from the SPCC requirements.

2. Are flowlines part of the tank

battery? Flowlines & Intrafacility Gathering Lines

Line Maintenance Program

Requirements for flowline and intra-facility gathering line
maintenance program were made more specific for all
facilities:

Compatibility with production fluids and conditions

expected in the operational environment
Visual inspection and/or testing on a periodic and
regular schedule
Frequency and type of testing must allow for the
implementation of a contingency plan if there is
no secondary containment
Corrective action or repairs
Prompt removal or initiation of actions to stabilize
and remediate any accumulations of oil discharges

2. Are flowlines part of the tank

battery?

1. What do I do, now that I have a

plan?

1. What do I do, now that I have a

plan?

P.E. certifies: that procedures for

required inspections and testing have
been established

1. What do I do, now that I have a

plan?
Inspections and/or testing is specifically required
for:

Tanks
Flowlines
Disposal Facilities
Flow Through Process Vessels
Secondary Containment

For additional information please

contact:
Ken Murphy or Jonathan Behymer
405.373.4545
www.EnviroCleanPS.com