[Congressional Record Volume 164, Number 188 (Thursday, November 29, 2018)]
[Senate]
[Pages S7224-S7225]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
Chemical Facility Anti-Terrorism Standards Program
Mr. JOHNSON. Mr. President, I am here today to ask my colleagues to
approve a bill to reform and reauthorize the Chemical Facility Anti-
Terrorism Standards Program, commonly known as CFATS.
This CFATS Program regulates chemical facilities to help prevent
terrorists from carrying out an attack with dangerous chemicals--a
worthy goal. However, since 2006, watchdogs have identified significant
problems with the program. In 2013, the Government Accountability
Office found that CFATS had a 7- to 9-year backlog to review more than
3,000 security plans and a flawed methodology to assess security.
The inspector general and Congress have questioned whether the
program successfully reduces risk, enhances security, and warned of
serious management problems. That is why each time Congress has
reauthorized the program, it has done so only for a limited duration.
Coming from a manufacturing background, I agree with that approach.
That is exactly how you help ensure continuous improvement.
In 2014, when the program was last set to expire, the Committee on
Homeland Security and Governmental Affairs--under the chairmanship of
Senator Carper--and Congress did their job. They did oversight. They
made reforms and extended the program for another 4 years, until
January 2019.
Under my chairmanship, our committee also took its oversight and
reauthorization responsibilities seriously. Over the last 2 years, we
have conducted extensive oversight on CFATS to evaluate the program's
effectiveness and develop a plan to make it better. We enlisted the
help of GAO to conduct a nonpartisan review of the CFATS Program to
help inform our work. We held a roundtable with DHS, GAO, a CFATS
chemical inspector, and multiple companies and industry groups. We had
an important, frank discussion about the program's strengths and
weaknesses. The committee also held numerous briefings with chemical
facility owners, trade groups, DHS, and other relevant agencies.
After gathering information and talking directly with stakeholders,
here is what we have learned: DHS has made significant progress under
the 2014 reforms by eliminating the backlog and improving management of
the program, but more work is necessary.
It is still far from clear that CFATS actually reduces the risk of
terrorist attack, and DHS does not measure whether it actually does so.
The program forces some explosive material companies to spend hundreds
of thousands of dollars complying with CFATS regulations that are
duplicative of Justice Department regulations and subject companies to
frequent, unnecessary site inspections. These practices are extremely
costly and neither reduce risk nor enhance security.
The program fails to give credit to companies that already comply
with other private sector-specific programs that require high standards
of care. Recognizing these exceptional programs would significantly
reduce the regulatory burden on companies without reducing security.
DHS needs to do more to make this expedited approval process
available to reduce unnecessary costs on both the companies and the
American taxpayers, and it needs to be more transparent about how it
classifies facilities to help companies understand what rules to even
follow.
After conducting this oversight, I introduced a bill to address these
issues and reauthorize the program for 5 years. Representatives Katko,
Moolenaar, and Cuellar introduced a similar, bipartisan bill in the
House.
Our legislation brings much needed regulatory relief to U.S.
businesses by exempting explosive materials that are also regulated by
the Bureau of Alcohol, Tobacco, Firearms and Explosives, reducing the
frequency of audits and inspections, and reducing the burden of
compliance for companies that participate in CFATS' recognition
program, all while ensuring safety and security. It improves
transparency by requiring DHS to provide information to companies on
why their regulatory tier changed. It requires more DHS and independent
assessments of how successful the program is at reducing risk and
enhancing security. It also reauthorizes the program for 5 years.
After going through a thorough process of discussion and compromise,
our committee approved the bill unanimously by voice vote in September.
The bill is supported by a wide range of private sector stakeholders,
including the U.S. Chamber of Commerce, the American Chemical Council,
the National Association of Manufacturers, and numerous others.
Mr. President, I ask unanimous consent that their letters of support
be printed in the Record.
There being no objection, the material was ordered to be printed in
the Record, as follows;
September 25, 2018.
Hon. Ron Johnson.
Chairman, Committee on Homeland Security and Governmental
Affairs, U.S. Senate, Washington, DC.
Dear Chairman Johnson: The Chemical Facility Anti-Terrorism
Standards (CFATS) Coalition comprises a diverse group of
trade associations and companies impacted by CFATS
regulations. Coalition members represent major sectors of the
American economy, including chemical production, chemical
distribution and storage, manufacturing, oil and gas
refining, utilities, mining, and agricultural goods and
services. The businesses we represent are an integral part of
the American economy, making our modern society possible. Our
members have no higher priority than ensuring the safety and
security of our products, our people, and our communities.
We applaud your leadership on this important security issue
by introducing the ``Protecting and Securing Chemical
Facilities from Terrorist Attacks Act of 2018'' (S. 3405).
This legislation is an important marker in the
reauthorization process, and we look forward to working with
you and your colleagues to develop legislation that will
provide additional improvements and efficiencies to the CFATS
program. By reauthorizing the program for five years, S. 3405
would provide needed certainty to the regulated community and
enhance the security of our nation.
Since the inception of the CFATS program in 2007, our
industries have invested millions of dollars and instituted
thousands of new security measures at our facilities. The
``Protecting and Securing Chemical Facilities from Terrorist
Attacks Act'' of 2014 (P.L. 113-254), which for the first
time provided CFATS a multi-year authorization, further
enhanced these efforts by establishing regulatory certainty
to both industry and the Department of Homeland Security
(DHS). This stability allowed DHS to increase efficiencies in
the program while streamlining the information submission
process for regulated facilities.
On January 19, 2019, the current authorization will expire.
The CFATS Coalition wants to ensure the continued viability
of the CFATS program without interruption and the
introduction of S. 3405 is a significant first step in this
process. Thank you for your leadership on this issue and we
look forward to working with you towards a successful CFATS
reauthorization.
Sincerely,
Agricultural Retailers Association, American Fuel &
Petrochemical Manufacturers, American Petroleum Institute,
Institute of Makers of Explosives, International Warehouse
Logistics Association, National Association of Chemical
Distributors, Society of Chemical Manufacturers & Affiliates,
U S Chamber of Commerce, American Chemistry Council, American
Gas Association, Edison Electric Institute, International
Liquid Terminals Association, Interstate Natural Gas
Association of America, National Association of
Manufacturers, National Mining Association, The Fertilizer
Institute.
____
September 21, 2018.
Re ARA and TFI Support for Protecting and Securing Chemical
Facilities from Terrorist Attacks Act of 2018 (S. 3405).
Hon. Ron Johnson,
Chairman, Committee on Homeland Security and Governmental
Affairs, U.S. Senate, Washington, DC.
Hon. Claire McCaskill,
Ranking Member, Committee on Homeland Security and
Governmental Affairs, U.S. Senate, Washington, DC.
Dear Chairman Johnson and Ranking Member McCaskill: The
Agricultural Retailers Association (ARA) and The Fertilizer
Institute (TFI) strongly support the ``Protecting and
Securing Chemical Facilities from Terrorist Attacks Act of
2018'' (S. 3405).
Thousands of ARA and TFI member facilities are subject to
the Chemical Facility Anti-Terrorism Standards (CFATS)
program administered by the Department of Homeland Security
(DHS) because they store, handle, and sell certain CFATS
chemicals of interest (COI), such as anhydrous ammonia and
ammonium nitrate.
Safety and security of facilities--to protect workers and
the surrounding communities--is paramount to ARA and TFI
members. That is why ARA, TFI, and our members created the
ResponsibleAg stewardship program. ResponsibleAg is a
voluntary, industry-led initiative committed to helping
[[Page S7225]]
agribusinesses properly store and handle farm input supplies.
The program helps members ensure they are compliant with
federal environmental, health, safety, security, and
transportation regulations, including CFATS, to keep
employees, customers and communities safe.
The CFATS program provides an important framework to ensure
facilities are taking appropriate steps to be safe and
secure. The current Congressional authorization for CFATS is
set to expire in January of 2019. Any lapse in authorization
of the CFATS program would subject our members to uncertainty
in an already volatile agricultural market and environment.
S. 3405 makes several improvements to the CFATS program. We
are pleased to see the legislation requires DHS to conduct
notice and comment rulemakings to make changes to Appendix A.
This requirement will ensure a thorough exchange of
information is done so the most informed decisions can be
made.
ARA and TFI also appreciate the inclusion of Section 7,
which would make the Personnel Surety Program requirements of
CFATS optional for tier 3 and 4 facilities. Tiers 3 and 4
facilities do not face the same insider threat possibility as
tiers 1 and 2. This provision gives industry the flexibility
to find a personnel surety solution that best fits their
facility and security needs.
ARA and TFI also strongly support Section 5, entitled,
``CFATS Recognition Program.'' This portion of the
legislation will allow DHS to utilize and focus limited
resources, while incentivizing other facilities to
voluntarily come into compliance through stewardship
programs. Stewardship programs, like ResponsibleAg, are
already working to identify gaps in CFATS compliance at
agricultural retail facilities. When gaps in compliance are
identified, ResponsibleAg works with the facility on a timely
and thorough corrective action plan to bring that facility
into compliance. A ``CFATS Recognition Program'' would be a
great ``win-win'' and strengthen the collaborative
partnership between industry and government.
Finally, thank you for your leadership regarding
reauthorization of the CFATS program. We appreciate all of
you and your staffs' efforts to make a good government
program better.
Should you have any questions, please reach out to our
staff, Kyle Liske at ARA.
Sincerely,
Daren Coppock,
President and CEO, Agricultural Retailers Association.
Chris Jahn,
President and CEO, The Fertilizer Institute.
____
Institute of Makers of Explosives,
Washington, DC, September 12, 2018.
Hon. Ron Johnson,
U.S. Senate,
Washington, DC.
Dear Senator Johnson: Yesterday our nation marked another
somber milestone, the 17th anniversary of the terrorist
attacks of September 11, 2001. That tragedy led to great
changes in our government, including the establishment of the
Department of Homeland Security (DHS). As directed by
Congress, DHS focuses on securing high-risk chemical plants
through the Chemical Facility Anti-Terrorism Standards
(CFATS) program. The members of the Institute of Makers of
Explosives (IME) fully support your legislation that
reauthorizes this important program, the Protecting and
Securing Chemical Facilities from Terrorist Attacks Act of
2018 (S. 3405), and we urge the Senate to approve the
legislation.
Founded in 1913, IME is the safety and security institute
for the commercial explosives industry, a charge we do not
take lightly, as evidenced by the industry's excellent
security track record and work with the Bureau of Alcohol,
Tobacco, Firearms, and Explosives, among other agencies. IME
represents manufacturers of commercial explosives and other
companies that distribute explosives or provide related
services. Commercial explosives are used in every state and
are distributed worldwide. The ability to manufacture and
distribute these products safely and securely is critical to
this industry and to the mining, construction, and oil & gas
industries that use our products. IME takes an active role in
promoting responsible practices through the full life cycle
of commercial explosives and regularly publishes, updates,
and distributes free of charge, our series of Safety Library
Publications (SLPs), including SLP 27, Security in
Manufacturing, Transportation, Storage and Use of Commercial
Explosives, to the benefit of our workers and the general
public.
Your leadership, as demonstrated by including improvements
identified during the June CFATS roundtable oversight hearing
which you chaired, is greatly appreciated. The commercial
explosives industry looks forward to work with you and the
Committee to reauthorize the CFATS program. We believe that
S. 3405 enhances national security while reducing blatantly
duplicative regulations; clearing the path for government to
focus resources on highest priority threats to our national
security while allowing industry to invest their time and
resources in a regulatory system that has proven to be
effective.
IME fully endorses S. 3405 and urge the Senate to pass this
common-sense solution without delay. We welcome the
opportunity to work with you to advance this important
legislation.
Respectfully,
John Boling,
Vice President of Government Affairs.
Mr. JOHNSON. Having gone through all this work, all this oversight,
taking that responsibility seriously, I recently have been asked to
support a 1-year reauthorization of the program without any reforms.
Without any consultation, Secretary Nielsen just sent me a letter
completely ignoring the work our committee has done and informing of
her support for a ``short-term'' extension.
Today, I was told the House plans to pass not a 1-year but a 2-year
extension with no reforms. The House is claiming they cannot possibly
consider reforms because there is simply not enough time, because they
haven't done any oversight, because they didn't mark up a bill in this
Congress. Yet the House Committee on Homeland Security has had years to
act.
My committee did the work. We did act. Now I am being threatened with
a false choice: Either reauthorize the program as is, without much
needed reforms, or let it die. In fact, there is a much better third
choice: Pass S. 3405, the bill our committee passed unanimously, the
bill that provides unanimous reforms that strike the right balance
between security and efficiency.
Again, our committee did the work. We did act. And I have to tell all
my colleagues here, this is the only option I will support.
____________________