[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 859 Introduced in Senate (IS)]
114th CONGRESS
1st Session
S. 859
To protect the public, communities across America, and the environment
by increasing the safety of crude oil transportation by railroad, and
for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 25, 2015
Ms. Cantwell (for herself, Ms. Baldwin, Mrs. Feinstein, and Mrs.
Murray) introduced the following bill; which was read twice and
referred to the Committee on Commerce, Science, and Transportation
_______________________________________________________________________
A BILL
To protect the public, communities across America, and the environment
by increasing the safety of crude oil transportation by railroad, and
for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Crude-By-Rail Safety Act''.
SEC. 2. DEFINITIONS.
In this Act--
(1) High-hazard flammable train.--The term ``high-hazard
flammable train'' means a single train transporting 20 or more
tank cars loaded with a Class 3 flammable liquid (as defined in
section 173.120(a) of title 49, Code of Federal Regulations).
(2) Oil.--The term ``oil'' means oil of any kind or in any
form, including crude, petroleum, fuel oil, sludge, oil refuse,
oil mixed with wastes other than dredged spoil, any bitumen or
bituminous mixture, oil derived from a bitumen or bituminous
mixture, any oil derived from kerogen-bearing sources,
developing oils, and emerging oils.
(3) Rail carrier.--The term ``rail carrier'' has the
meaning given the term ``railroad carrier'' in section 20102 of
title 49, United States Code.
(4) Worst case discharge.--The term ``worst case
discharge'' has the meaning given such term in section 130.5 of
title 49, Code of Federal Regulations.
SEC. 3. CERTAINTY ON SAFETY REGULATIONS.
(a) Interim National Standard for Maximum Volatility.--
(1) Rulemaking.--Not later than 90 days after the date of
the enactment of this Act, the Secretary of Transportation, by
regulation, shall establish an interim national standard for
the maximum volatility of crude oil transported by rail within
the United States. Volatility in the interim national standard
shall be measured by the vapor pressure of the crude oil.
(2) Effective date.--The national standard established
pursuant to paragraph (1) shall take effect not later than 90
days after it is issued by the Secretary.
(b) Study of Crude Oil Characteristics and Associated Safety.--Not
later than 2 years after the date of the enactment of this Act, the
Secretary of Transportation, in collaboration with the Secretary of
Energy, shall complete a study of--
(1) the best methods for reliably measuring the volatility
of crude oil; and
(2) the level of volatility that is consistent with the
safest practicable shipment of crude oil by rail.
(c) Final National Standard for Maximum Volatility.--
(1) In general.--Not later than 90 days after the
completion of the study under subsection (b), the Secretary of
Transportation shall issue a final rule that establishes the
maximum volatility of crude oil that is transported by rail.
(2) Requirements.--The maximum volatility standard
established pursuant to paragraph (1)--
(A) shall be consistent with the findings of the
study conducted under subsection (b); and
(B) shall require that the transportation of crude
oil by rail be as safe as practicable.
(d) Tank Car Design.--Not later than 90 days after the date of the
enactment of this Act, the Secretary of Transportation shall issue a
final rule, based on the safety standards contained in the Notice of
Proposed Rulemaking issued on August 1, 2014, and entitled ``Enhanced
Tank Car Standards and Operational Controls for High-Hazard Flammable
Trains'', which requires that all new tank cars designed to transport a
Class 3 flammable liquid that are constructed after October 1, 2015,
meet or exceed the design standards set forth under option 1 of table 2
in such rulemaking.
(e) Enhanced Braking.--Beginning on the date identified in the
final rule issued pursuant to subsection (d), all high-hazard flammable
trains shall operate with electronically controlled pneumatic brakes.
SEC. 4. ENDING USE OF UNSAFE TANK CARS.
(a) Minimum Safety Standard.--
(1) Oil.--Except as provided under paragraph (4), the
Secretary of Transportation shall immediately prohibit the
shipment of oil in--
(A) any DOT-111 tank car that does not meet the
requirements of Casualty Prevention Circular 1232,
issued by the Association of American Railroads on
August 31, 2011; or
(B) any unjacketed CPC-1232 tank car.
(2) Ethanol.--Except as provided under paragraph (4),
beginning on the date that is 2 years after the date of the
enactment of this Act, the Secretary of Transportation shall
prohibit the shipment of ethanol in any tank car described in
subparagraph (A) or (B) of paragraph (1).
(3) Additional precautionary measures.--Any rail carrier or
shipper who offers for transportation, or transports, in a tank
car by rail in commerce to, from, or within the United States,
a bulk quantity of oil or ethanol shall take additional
precautionary measures to enhance the safe shipment of such
liquids, including by avoiding the shipment of such liquids in
tank cars with unsafe tank car attributes identified by the
Secretary of Transportation, to the extent practicable.
(4) Exception.--Notwithstanding paragraphs (1) and (2),
tank cars described in subparagraphs (A) and (B) of paragraph
(1) may continue to transport oil or ethanol if they have been
retrofitted to meet or exceed the design standards set forth
under Option 3 of table 2 in the Notice of Proposed Rulemaking
issued on August 1, 2014, and entitled ``Enhanced Tank Car
Standards and Operational Controls for High-Hazard Flammable
Trains''. All retrofitted tank cars shall be equipped with
electronically controlled pneumatic brakes.
(5) Jacketed cpc-1232 tank cars.--The Secretary of
Transportation shall establish, by regulation, a retrofit
standard and timeline for jacketed CPC-1232 tank cars that
transport oil or ethanol.
(b) Savings Provision.--Nothing in this section may be construed to
prohibit the Secretary of Transportation from issuing, by regulation or
order, a safety standard for tank cars transporting oil or ethanol that
is more stringent than the requirements referred to in section 3(d).
SEC. 5. CRUDE-BY-RAIL INSPECTIONS.
(a) Rail Inspections for Hazardous Material Routes.--Rail carriers
shall--
(1) perform at least 2 additional internal rail inspections
per calendar year than is required under section 213.237(c) of
title 49, Code of Federal Regulations, on routes that--
(A) the rail carrier owns or has been assigned
maintenance responsibility under section 213.5 of such
title; and
(B) over which 1 or more high-hazard flammable
trains are operated; and
(2) conduct at least 4 track geometry inspections each
calendar year on routes that--
(A) the rail carrier owns or has been assigned
maintenance responsibility under such section 213.5;
and
(B) over which 1 or more high-hazard flammable
trains are operated.
(b) Energy Product Inspections.--
(1) Inspection requirement.--A person that offers oil for
transportation shall complete spot inspections on 5 percent of
all individual rail cars loaded with crude oil--
(A) to test and record the volatility of the crude
oil in such cars; and
(B) to ensure that such crude oil meets--
(i) the interim national standard for
maximum volatility established pursuant to
section 3(a); or
(ii) any subsequently enacted volatility
standard that is more restrictive than such
standard.
(2) Spot inspections and audits.--
(A) Spot inspections.--The Secretary of
Transportation shall complete spot inspections on crude
oil volatility to ensure that the volatility standards
referred to in paragraph (1)(B) are being met.
(B) Audits.--The Secretary of Transportation shall
audit records of the inspections conducted under
paragraph (1) to ensure that the volatility of the
crude oil does not exceed the volatility standards
referred to in paragraph (1)(B).
SEC. 6. PENALTIES FOR NONCOMPLIANCE.
(a) Fines for Violating Hazardous Materials Transportation Law.--
Section 5123(a) of title 49, United States Code, is amended to read as
follows:
``(a) Penalty.--
``(1) In general.--A person that knowingly violates this
chapter or a regulation, order, special permit, or approval
issued under this chapter is liable to the United States
Government for a civil penalty of not more than $500,000 for
each such violation. A person acts knowingly when--
``(A) the person has actual knowledge of the facts
giving rise to the violation; or
``(B) a reasonable person acting in the same
circumstances and exercising reasonable care would have
such knowledge.
``(2) Enhanced penalty.--If the Secretary finds that a
violation under paragraph (1) results in death, serious
illness, or severe injury to any person, substantial
destruction of property, or significant environmental damage,
the Secretary may increase the amount of the civil penalty for
such violation to not more than $1,000,000.
``(3) Separate violation.--A separate violation occurs for
each day a person continues to knowingly violate this chapter
or any regulation, order, special permit, or approval issued
under this chapter.''.
(b) Fines for Violating Energy Product Inspections.--A person that
offers oil for transportation that violates the maximum volatility rule
issued pursuant to subsection (a) or (c) of section 3, or the
inspection requirement under section 5(b) shall be liable to the United
States Government for a civil penalty of not more than $1,000,000 for
each such violation.
(c) Fines for Violating Rail Inspections.--A rail carrier that
violates the rail inspections requirement under section 5(a) shall be
liable to the United States Government for a civil penalty of not more
than $1,000,000 for each such violation.
SEC. 7. SAFE TRANSPORTATION OF ENERGY PRODUCTS.
(a) In General.--The Secretary of Transportation shall establish or
expand safety programs relating to the transportation of energy
products and other Class 3 flammable liquids by rail, pipeline,
highway, and waterway, which shall include initiatives--
(1) to expedite rulemaking proceedings;
(2) to conduct technical studies of energy products;
(3) to increase rail, pipeline, and energy product
inspections;
(4) to provide grants to States for additional railroad
track and pipeline inspectors;
(5) to improve notification procedures from State Emergency
Response Commission contacts to first responders;
(6) to develop and conduct first responder training
programs, in collaboration with the Federal Emergency
Management Agency, the Department of Homeland Security, the
Coast Guard, the Environmental Protection Agency, and national
first responder organizations;
(7) to conduct technical research on infrastructure-related
causes of train and pipeline accidents;
(8) to identify ways to mitigate the causes and
consequences of train accidents;
(9) to provide grants to communities to update emergency
response plans developed by local emergency planning
committees; and
(10) to audit comprehensive oil spill response plans
established under section 8(b).
(b) Authorization of Appropriations.--There are authorized to be
appropriated to carry out the safety initiatives described in
subsection (a)--
(1) $40,000,000 for fiscal year 2016; and
(2) $40,000,000 for fiscal year 2017.
SEC. 8. OIL SPILL RESPONSE PLANS.
(a) Defined Term.--In this section, the term ``maximum extent
practicable'' has the meaning given such term in section 130.5 of title
49, Code of Federal Regulations.
(b) Comprehensive Response Plans.--
(1) Requirement.--Not later than 180 days after the date of
the enactment of this Act, the Secretary of Transportation, in
consultation with the Secretary of the department in which the
Coast Guard is operating and the Administrator of the
Environmental Protection Agency, shall publish a final rule
revising the regulations set out in part 130 of title 49, Code
of Federal Regulations (relating to oil spill prevention and
response plans)--
(A) to modify the 1,000 barrels (42,000 gallons)
requirement for a comprehensive written plan in
subsection (b) of section 130.31 of title 49, Code of
Federal Regulations, to account for worst-case
discharges resulting from accidents involving unit
trains or blocks of tank cars; and
(B) to include additional requirements in each
written plan required under such section 130.31 to
respond to a discharge of oil that occurs during
transportation by a rail carrier that has a reasonable
probability of impacting a water body or other area
that is subject to the jurisdiction of the Coast Guard
or of the Environmental Protection Agency under the
Federal Water Pollution Control Act (33 U.S.C. 1251 et
seq.) including such a discharge--
(i) into or on the navigable waters of the
United States;
(ii) on the adjoining shorelines to the
navigable waters;
(iii) inland waters; or
(iv) other impacted lands.
(2) Coordination.--The additional requirements under
paragraph (1)(B) shall be promulgated by the Secretary of
Transportation in coordination with--
(A) the Secretary of the department in which the
Coast Guard is operating, in the case of potential
impacts to a water body or other area subject to the
jurisdiction of the Coast Guard; and
(B) the Administrator of the Environmental
Protection Agency, in the case of potential impacts to
a water body or other area subject to the jurisdiction
of the Environmental Protection Agency under the
Federal Water Pollution Control Act (33 U.S.C. 1251 et
seq.).
(c) National Contingency Plan.--To ensure efficient and timely
prevention, preparedness, and response by the lead agency and the rail
carrier in the event of a discharge of oil, the President shall, for
each comprehensive written plan required under section 130.31(b) of
title 49, Code of Federal Regulations (or similar successor
regulation)--
(1) include such plan in the National Contingency Plan
required under section 311(d) of the Federal Water Pollution
Control Act (33 U.S.C. 1321(d)); and
(2) integrate such plan into the appropriate Regional
Response Plan required under section 300.210(b) of title 40,
Code of Federal Regulations (or similar successor regulation).
(d) Audits Required.--The Secretary of Transportation shall--
(1) develop a program to audit response plans for rail
carriers of oil to ensure that adequate provisions are in
place--
(A) to respond to and remove a worst-case discharge
to the maximum extent practicable; and
(B) to mitigate or prevent a substantial threat of
a worst-case discharge; and
(2) audit rail carriers of oil to ensure that the shippers
and rail carriers with respect to transporting oil by
railroad--
(A) are using appropriate hazardous materials
shipping classifications;
(B) have developed transportation safety and
security plans; and
(C) have made adequate provisions for safety and
security.
(e) Savings Provision.--Nothing in this section may be construed to
prohibit the Secretary of Transportation from issuing, by regulation or
order, a requirement for comprehensive response plans for railroads
transporting oil or ethanol that is more stringent than the
requirements under subsection (b).
SEC. 9. DISCLOSURE REQUIREMENT.
(a) In General.--A rail carrier may not operate any high-hazard
flammable train in any State until the rail carrier has provided the
Emergency Response Commission for such State and any local emergency
planning committee along the route such train will operate with--
(1) a reasonable estimate of the number of such trains that
are expected to travel, per week, through the State;
(2) a description of the flammable liquid expected to be
transported through the State, in accordance with subpart C of
part 172 of title 49, Code of Federal Regulations;
(3) all applicable emergency response information required
under subpart G of such part;
(4) the identification of the routes over which the oil or
ethanol will be transported; and
(5) the contact information for at least 1 point of contact
at the rail carrier responsible for serving as the point of
contact for the State Emergency Response Commission and
relevant emergency responders.
(b) Savings Provision.--Nothing in this section may be construed to
prohibit the Secretary of Transportation from issuing, by regulation or
order, a disclosure requirement for high-hazard flammable train
movement that is wider than the requirements under subsection (a).
SEC. 10. EMERGENCY RESPONSE RESOURCE INVENTORY.
(a) In General.--Rail carriers shall collaborate to develop an
inventory of emergency response resources along routes over which 1 or
more high-hazard flammable trains operate for responding to worst case
discharges resulting from accidents involving unit trains or blocks of
tank cars transporting Class 3 flammable liquids in the event of an
incident.
(b) Inclusions.--The inventory developed pursuant to subsection (a)
shall include--
(1) a detailed description of the type and quantity of
private emergency response resources;
(2) sufficient equipment to respond to a worst case
discharge from accidents involving unit trains or blocks of
tank cars;
(3) sufficient equipment to respond to a fire or explosion
that could result from a worst case discharge from accidents
involving unit trains or blocks of tank cars;
(4) locations for the staging of emergency response
equipment; and
(5) contacts for the notification of communities, as
appropriate.
(c) Access.--Rail carriers shall--
(1) provide the Department of Transportation with access to
the inventory developed under this section; and
(2) make relevant information from the inventory, upon
request, available to emergency responders located along
identified routes over which 1 or more high-hazard flammable
trains operate.
SEC. 11. CONFIDENTIAL CLOSE CALL REPORTING SYSTEMS.
(a) In General.--Subchapter II of chapter 201 of title 49, United
States Code, is amended by adding at the end the following:
``Sec. 20168. Confidential close call reporting systems
``(a) Rulemaking.--
``(1) In general.--Not later than 1 year after the date of
the enactment of the Crude-By-Rail Safety Act, the Secretary of
Transportation shall promulgate regulations setting forth the
requirements for an applicable railroad carrier to follow in
establishing a confidential close call reporting system
program.
``(2) Considerations.--The Secretary may use any
information and experience gathered through research and pilot
programs on confidential close call reporting systems in
developing the regulations, including continuing the use of
third parties for the collection of close call reports and
distribution of close call data. The Secretary shall ensure
that an applicable railroad carrier's employees receive
protection under its program from any related Federal Railroad
Administration enforcement actions.
``(b) Program Development and Oversight.--
``(1) In general.--Not later than 180 days after the date
of the final regulations under subsection (a), an applicable
railroad carrier shall develop a proposed program and submit it
to the Secretary of Transportation for review and approval.
``(2) Contents.--A railroad carrier shall describe its
proposed program's core principles and values, explain the
rights, roles, and responsibilities of program stakeholders,
identify concerns and interests, and describe how the program
will operate.
``(3) Review.--
``(A) In general.--The Secretary shall review and
approve or disapprove each proposed program within a
reasonable amount of time. If a proposed program is not
approved, the Secretary shall notify the applicable
railroad carrier in writing as to the specific areas in
which the proposed program is deficient. The applicable
railroad carrier shall correct all deficiencies within
a reasonable period of time following receipt of
written notice from the Secretary.
``(B) Updates.--An applicable railroad carrier
shall update its program as needed and obtain the
Secretary's approval before making any major changes to
its program.
``(C) Annual reviews.--The Secretary shall conduct
an annual review to ensure that each applicable
railroad carrier is in compliance with its program.
``(c) In General.--Not later than 2 years after the date of the
enactment of the Crude-By-Rail Safety Act, each applicable railroad
carrier shall establish a confidential close call reporting system.
``(d) Program Elements.--Each applicable railroad carrier shall--
``(1) provide a safe environment for its employees to
report unsafe events and conditions;
``(2) for unsafe events and conditions reported within the
scope of a confidential close call reporting system, ensure its
employees are protected from railroad carrier discipline;
``(3) use information collected through the confidential
close call reporting system to develop and implement targeted
corrective actions, as appropriate; and
``(4) use information collected by the programs to
supplement inspection data in identifying safety issues and
emerging risks before they develop into accidents.
``(e) Consensus.--
``(1) In general.--Each applicable railroad carrier shall
consult with, employ good faith with, and use its best efforts
to reach agreement with all of its directly affected employees,
including any nonprofit employee labor organization
representing a class or craft of directly affected employees of
the applicable railroad carrier, on the development and
implementation of the proposed program.
``(2) Statements.--If an applicable railroad carrier and
its directly affected employees, including any nonprofit
employee labor organization representing a class or craft of
directly affected employees of the applicable railroad carrier,
cannot reach consensus on the development and implementation of
the proposed program, then directly affected employees and such
organization may file a statement with the Secretary of
Transportation explaining their views on the proposed program
on which consensus was not reached. The Secretary shall
consider such views during review of the proposed program under
subsection (b)(3)(A).
``(f) Voluntary Program Establishment.--Any railroad carrier that
is not an applicable railroad carrier may voluntarily establish a
program under this section. This section, and any regulations
promulgated under this section, shall apply to a program that is
voluntarily established.
``(g) Use of Data.--The Secretary of Transportation may use the
confidential close call reporting data--
``(1) when implementing or updating the Federal Railroad
Administration's National Inspection Plan;
``(2) when performing focused inspections; or
``(3) when developing agency rulemakings and guidance, as
appropriate.
``(h) Definition of Applicable Railroad Carrier.--In this section,
the term `applicable railroad carrier' means--
``(1) a railroad carrier that is a Class I railroad;
``(2) a railroad carrier that has inadequate safety
performance, as determined by the Secretary; or
``(3) a railroad carrier that provides intercity rail
passenger or commuter rail passenger transportation.
``(i) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary of Transportation such sums as may be
necessary to implement this section and to support the nationwide
implementation, as the Secretary determines appropriate, of
confidential close call reporting system programs.''.
(b) Clerical Amendment.--The table of contents for subchapter II of
chapter 201 of title 49, United States Code, is amended by adding at
the end the following:
``20168. Confidential close call reporting systems.''.
SEC. 12. HIGH-HAZARD FLAMMABLE TRAIN LIABILITY STUDY.
(a) In General.--Not later than 30 days after the date of the
enactment of this Act, the Secretary of Transportation shall contract
with the Transportation Research Board of the National Academy of
Sciences to conduct a study on high-hazard flammable train liability.
(b) Purpose.--The study conducted under subsection (a) shall
evaluate--
(1) the level of insurance, including self insurance,
available in the private market against the full liability
potential for damages arising from an incident involving a
high-hazard flammable train;
(2) the ability of the level and availability of insurance
referred to in paragraph (1)--
(A) to address externalities that exist because of
gaps between insurance coverage and liability risk;
(B) to equitably allocate risk and financial
responsibility for claims;
(C) to ensure that rail carriers have sufficient
financial capacity to pay claims to those affected by
high consequence incidents in a timely manner; and
(D) to ensure that rail carriers and shippers of
high-hazard flammable trains can continue to operate
despite the risk of catastrophic disaster; and
(3) the potential applicability to high-hazard flammable
trains of--
(A) a liability regime modeled after section 170 of
the Atomic Energy Act of 1954 (42 U.S.C. 2210); and
(B) a liability regime modeled after subtitle 2 of
title XXI of the Public Health Service Act (42 U.S.C.
300aa-10 et seq.).
(c) Report.--Not later than 1 year after the date of the enactment
of this Act, the Transportation Research Board of the National Academy
of Sciences shall submit a report containing the results of the study
and recommendations for addressing high hazard flammable train
liability issues to--
(1) the Secretary of Transportation;
(2) the Committee on Commerce, Science, and Transportation
of the Senate; and
(3) the Committee on Transportation and Infrastructure of
the House of Representatives.
SEC. 13. REVIEW AND RECOMMENDATIONS.
(a) In General.--The Secretary of Transportation, in cooperation
with the Secretary of Energy, the Secretary of Homeland Security, the
Commanding General of the United States Army Corps of Engineers, and
the Administrator of the Environmental Protection Agency, shall conduct
a comprehensive review of existing regulations for energy products that
are transported by all modes of transportation.
(b) Review Elements.--The review under subsection (a) shall assess
the effectiveness of existing regulations and industry capability--
(1) to improve the safety of energy product transportation
through populated or environmentally sensitive areas;
(2) to maximize, to the extent possible, the stability and
uniformity of energy products prior to transportation;
(3) to eliminate the occurrence of accidents involving
transportation of such products, and minimize the severity of
such accidents should they occur;
(4) to minimize energy product routing through populated or
environmentally sensitive areas;
(5) to reduce the environmental impact of transporting,
loading, or unloading energy products;
(6) to improve the security of energy product
transportation; and
(7) to prepare for an appropriate emergency response to
accidents.
(c) Submission of Review and Recommendations.--Not later than June
30, 2016, the Secretary of Transportation, in cooperation with the
Secretary of Energy, the Secretary of Homeland Security, the Commanding
General of the United States Army Corps of Engineers, and the
Administrator of the Environmental Protection Agency, shall submit the
results of the review under subsection (a) to Congress, in conjunction
with recommendations for--
(1) improving all aspects of energy product transport by
all transportation modes;
(2) regulatory measures that the Secretary of
Transportation is authorized to undertake that would improve
the safety and reduce the environmental and community impact of
transporting energy products; and
(3) legislative changes that should be made to improve the
safety and reduce the environmental and community impact of
transporting energy products.
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