[Federal Register Volume 91, Number 6 (Friday, January 9, 2026)]
[Notices]
[Pages 1029-1032]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2026-00232]


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DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

[Docket No. PHMSA-2025-0776; PDA-41(R)]


Hazardous Materials: California's Reusability Requirement for 
Propane Cylinders

AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA), 
DOT.

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ACTION: Public notice and invitation to comment.

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SUMMARY: Interested parties are invited to comment on an application by 
Worthington Enterprises, Inc. for an administrative determination as to 
whether Federal hazardous material transportation law preempts the 
State of California's law requiring that propane cylinders sold or 
offered for sale in California must be refillable or reusable.

DATES: Comments received on or before February 9, 2026 and rebuttal 
comments received on or before March 10, 2026 will be considered before 
an administrative determination is issued by PHMSA's Chief Counsel. 
Rebuttal comments may discuss only those issues raised by comments 
received during the initial comment period and may not discuss new 
issues.

ADDRESSES: Worthington Enterprises, Inc.'s application and all comments 
received may be reviewed in the Docket Operations Facility (M-30), U.S. 
Department of Transportation, West Building Ground Floor, Room W12-140, 
1200 New Jersey Avenue SE, Washington, DC 20590. The application and 
all comments are available on the U.S. Government Regulations.gov 
website: http://www.regulations.gov.
    Comments must refer to Docket No. PHMSA-2025-0776 and may be 
submitted by any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the online instructions for submitting 
comments.
     Fax: 1-202-493-2251.
     Mail: Docket Operations Facility (M-30), U.S. Department 
of Transportation, West Building Ground Floor, Room W12-140, 1200 New 
Jersey Avenue SE, Washington, DC 20590.
     Hand Delivery: Docket Operations Facility (M-30), U.S. 
Department of Transportation, West Building Ground Floor, Room W12-140, 
1200 New Jersey Avenue SE, Washington, DC 20590, between 9:00 a.m. and 
5:00 p.m., Monday through Friday, except Federal holidays.

A copy of each comment must also be sent to (1) Joseph B. Hayek, 
President and Chief Executive Officer, Worthington Enterprises, Inc., 
200 West Old Wilson Bridge Road, Columbus, OH 43085; and (2) Rob Bonta, 
Attorney General, The State of California, Office of the Attorney 
General, 1300 ``I'' Street, Sacramento, CA 95814-2919. A certification 
that a copy has been sent to these persons must also be included with 
the comment. (The following format is suggested: ``I certify that 
copies of this comment have been sent to Mr. Hayek and Mr. Bonta at the 
addresses specified in the Federal Register.'')

    Anyone is able to search the electronic form of all comments 
received into any of our dockets by the name of the individual 
submitting the comment (or signing a comment submitted on behalf of an 
association, business, labor union, etc.). You may review DOT's 
complete Privacy Act Statement in the Federal Register published on 
April 11, 2000 (65 FR 19477-78), or you may visit http://www.regulations.gov.
    A subject matter index of hazardous materials preemption cases, 
including a listing of all inconsistency rulings and preemption 
determinations, is available through PHMSA's home page at http://phmsa.dot.gov. From the home page, click on ``Regulations and 
Compliance,'' then on ``Preemption Determinations'' located on the 
right side of the page. A paper copy of the index will be provided at 
no cost upon request to Mr. Horsley, at the address and telephone 
number set forth in the FOR FURTHER INFORMATION CONTACT section below.

FOR FURTHER INFORMATION CONTACT: Adam Horsley, Office of Chief Counsel 
(PHC-10), Pipeline and Hazardous Materials Safety Administration, U.S. 
Department of Transportation, 1200 New Jersey Avenue SE, Washington, DC 
20590; telephone No. 202-366-4400; facsimile No. 202-366-7041.

SUPPLEMENTARY INFORMATION:

I. Application for a Preemption Determination

    Worthington Enterprises, Inc. has applied for a determination 
whether the Federal hazardous material transportation law (HMTA), 49 
U.S.C. 5101 et seq., preempts the State of California's requirements 
regarding the sale of propane cylinders, as codified in California 
Public Resources Code, Cal. Pub. Res. Code Sec. Sec.  42395-42395.2. 
Specifically, Worthington alleges that the law bans the sale of non-
reusable and non-fillable propane cylinders of certain sizes, such as 
those manufactured by Worthington. On or after January 1, 2028, only 
reusable or refillable propane cylinders shall be sold or offered for 
sale in California, meaning cylinders that are explicitly designed and 
marketed to be utilized multiple times for the same product, designed 
for durability to function properly in its original condition for 
multiple uses, and supported by adequate infrastructure to ensure the 
cylinders can be conveniently and safely reused or refilled multiple 
times.\1\ There are exceptions, including cylinders that are 
customarily designed for use in the construction industry and have a 
capacity of less than 15 ounces of fuel; cylinders that have an overall 
product height-to-width ratio of 3.55 to 1 or greater; and cylinders 
that are offered to a state or local government agency for purchase 
pursuant to the U.S. General Services Administrations' State and Local 
Disaster Purchasing Program or its successor.\2\
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    \1\ Cal. Pub. Res. Code Sec. Sec.  42395, 42395.1.
    \2\ Cal. Pub. Res. Code Sec.  42395.
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    Worthington presents two main arguments for why it believes 
California's law should be preempted. First, Worthington asserts that 
the HMTA preempts that law's requirement that all propane cylinders of 
certain sizes be reusable or refillable as not substantively the same 
as the HMTA or the Hazardous Materials Regulations (HMR) because it is 
about ``the designing, manufacturing, . . . [or] maintaining'' a 
``container'' used for the transportation of hazardous materials, given 
that propane is classified as a hazardous material under the HMR and 
California's reusability requirement imposes additional requirements on 
how cylinders containing propane must be designed and prohibits designs 
that are authorized by the HMR. Worthington argues that California's 
law mandates that propane cylinders must be ``explicitly designed'' to 
be used multiple times. Further, Worthington asserts the law requires 
propane cylinders to be manufactured in such a way to be durable enough 
to withstand ``multiple uses.'' Worthington contends this reusability 
requirement is not substantively the same as the HMTA or HMR because it 
prohibits single-use cylinder designs expressly authorized by the HMR. 
Last, Worthington asserts California's propane cylinder reusability 
requirement is preempted because it is ``an obstacle to accomplishing 
and carrying out'' the HMTA. Specifically, Worthington argues 
California's law undermines uniformity in hazardous material regulation 
by imposing requirements only applicable in California, creates an 
economic burden on cylinder manufacturers, and undermines the HMTA's 
safety objectives by taking propane cylinders with a proven safety 
record off the market.
    In summary, Worthington contends California's law requiring that 
propane cylinders sold or offered for sale in California must be 
refillable or reusable should be preempted because:

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     It is not substantively the same as federal regulations 
governing the design, manufacture, and maintenance of cylinders used in 
transportation of hazardous materials; and
     It is an obstacle to the federal hazardous material 
transportation legal and regulatory regime.

II. Federal Preemption

    Section 5125 of 49 U.S.C. contains express preemption provisions 
relevant to this proceeding. As amended by Section 1711(b) of the 
Homeland Security Act of 2002 (Pub. L. 107-296, 116 Stat. 2319), 49 
U.S.C. 5125(a) provides that a requirement of a State, political 
subdivision of a State, or Indian tribe is preempted--unless the non-
Federal requirement is authorized by another Federal law or DOT grants 
a waiver of preemption under section 5125(e)--if (1) complying with the 
non-Federal requirement and the Federal requirement is not possible; or 
(2) the non-Federal requirement, as applied and enforced, is an 
obstacle to accomplishing and carrying out the Federal requirement.
    These two sentences set forth the ``dual compliance'' and 
``obstacle'' criteria that PHMSA's predecessor agency, the Research and 
Special Programs Administration, had applied in issuing inconsistency 
rulings prior to 1990, under the original preemption provision in the 
Hazardous Materials Transportation Act (HMTA). Public Law 93-633 Sec.  
112(a), 88 Stat. 2161 (1975). The dual compliance and obstacle criteria 
are based on U.S. Supreme Court decisions on preemption. Hines v. 
Davidowitz, 312 U.S. 52 (1941); Florida Lime & Avocado Growers, Inc. v. 
Paul, 373 U.S. 132 (1963); Ray v. Atlantic Richfield, Inc., 435 U.S. 
151 (1978).
    Subsection (b)(1) of 49 U.S.C. 5125 provides that a non-Federal 
requirement concerning any of the following subjects is preempted--
unless authorized by another Federal law or DOT grants a waiver of 
preemption--when the non-Federal requirement is not ``substantively the 
same as'' a provision of Federal hazardous material transportation law, 
a regulation prescribed under that law, or a hazardous materials 
security regulation or directive issued by the Department of Homeland 
Security. The five subject areas include: the designation, description, 
and classification of hazardous material; the packing, repacking, 
handling, labeling, marking, and placarding of hazardous material; the 
preparation, execution, and use of shipping documents related to 
hazardous material and requirements related to the number, contents, 
and placement of those documents; the written notification, recording, 
and reporting of the unintentional release in transportation of 
hazardous material and other written hazardous materials transportation 
incident reporting involving State or local emergency responders in the 
initial response to the incident; and the designing, manufacturing, 
fabricating, inspecting, marking, maintaining, reconditioning, 
repairing, or testing a package, container, or packaging component that 
is represented, marked, certified, or sold as qualified for use in 
transporting hazardous material in commerce.
    To be ``substantively the same,'' the non-Federal requirement must 
conform ``in every significant respect to the Federal requirement. 
Editorial and other similar de minimis changes are permitted.'' 49 CFR 
107.202(d).\3\
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    \3\ Additional standards apply to preemption of non-Federal 
requirements on highway routes over which hazardous materials may or 
may not be transported and fees related to transporting hazardous 
material. See 49 U.S.C. 5125(c) and (f). See also 49 CFR 171.1(f) 
which explains that a ``facility at which functions regulated under 
the HMR are performed may be subject to applicable laws and 
regulations of state and local governments and Indian tribes.''
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    The 2002 amendments and 2005 reenactment of the preemption 
provisions in 49 U.S.C. 5125 reaffirmed Congress's long-standing view 
that a single body of uniform Federal regulations promotes safety 
(including security) in the transportation of hazardous materials. More 
than fifty years ago, when it was considering the HMTA, the Senate 
Commerce Committee ``endorse[d] the principle of preemption in order to 
preclude a multiplicity of State and local regulations and the 
potential for varying as well as conflicting regulations in the area of 
hazardous materials transportation.'' S. Rep. No. 1102, 93rd Cong. 2nd 
Sess. 37 (1974). When Congress expanded the preemption provisions in 
1990, it specifically found that many States and localities have 
enacted laws and regulations which vary from Federal laws and 
regulations pertaining to the transportation of hazardous materials, 
thereby creating the potential for unreasonable hazards in other 
jurisdictions and confounding shippers and carriers which attempt to 
comply with multiple and conflicting registration, permitting, routing, 
notification, and other regulatory requirements. And because of the 
potential risks to life, property, and the environment posed by 
unintentional releases of hazardous materials, consistency in laws and 
regulations governing the transportation of hazardous materials is 
necessary and desirable. Therefore, in order to achieve greater 
uniformity and to promote the public health, welfare, and safety at all 
levels, Federal standards for regulating the transportation of 
hazardous materials in intrastate, interstate, and foreign commerce are 
necessary and desirable.\4\
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    \4\ Public Law 101-615 Sec.  2, 104 Stat. 3244. (In 1994, 
Congress revised, codified and enacted the HMTA ``without 
substantive change,'' at 49 U.S.C. Chapter 51. Public Law 103-272, 
108 Stat. 745 (July 5, 1994).).
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    A United States Court of Appeals has found uniformity was the 
``linchpin'' in the design of the Federal laws governing the 
transportation of hazardous materials. Colorado Pub. Util. Comm'n v. 
Harmon, 951 F.2d 1571, 1575 (10th Cir. 1991).

III. Preemption Determinations

    Under 49 U.S.C. 5125(d)(1), any person (including a State, 
political subdivision of a State, or Indian tribe) directly affected by 
a requirement of a State, political subdivision or tribe may apply to 
the Secretary of Transportation for a determination whether the 
requirement is preempted. The Secretary of Transportation has delegated 
authority to PHMSA to make determinations of preemption, except for 
those concerning highway routing (which have been delegated to the 
Federal Motor Carrier Safety Administration). 49 CFR 1.97(b).
    Section 5125(d)(1) requires notice of an application for a 
preemption determination to be published in the Federal Register. 
Following the receipt and consideration of written comments, PHMSA 
publishes its determination in the Federal Register. See 49 CFR 
107.209(c). A short period of time is allowed for filing of petitions 
for reconsideration. 49 CFR 107.211. A petition for judicial review of 
a final preemption determination must be filed in the United States 
Court of Appeals for the District of Columbia or in the Court of 
Appeals for the United States for the circuit in which the petitioner 
resides or has its principal place of business, within 60 days after 
the determination becomes final. 49 U.S.C. 5127(a).
    Preemption determinations do not address issues of preemption 
arising under the Commerce Clause, the Fifth Amendment or other 
provisions of the Constitution, or statutes other than the Federal 
hazardous material transportation law unless it is necessary to do so 
in order to determine whether a requirement is authorized by another 
Federal law, or whether a fee is ``fair'' within the meaning of 49 
U.S.C. 5125(f)(1). A State, local or Indian tribe

[[Page 1032]]

requirement is not authorized by another Federal law merely because it 
is not preempted by another Federal statute. Colorado Pub. Util. Comm'n 
v. Harmon, above, 951 F.2d at 1581 n.10.
    In making preemption determinations under 49 U.S.C. 5125(d), PHMSA 
is guided by the principles and policies set forth in Executive Order 
No. 13132, entitled ``Federalism'' (64 FR 43255 (Aug. 10, 1999)), and 
the President's May 20, 2009 memorandum on ``Preemption'' (74 FR 24693 
(May 22, 2009)). Section 4(a) of that Executive Order authorizes 
preemption of State laws only when a statute contains an express 
preemption provision, there is other clear evidence Congress intended 
to preempt State law, or the exercise of State authority directly 
conflicts with the exercise of Federal authority. The President's May 
20, 2009 memorandum sets forth the policy ``that preemption of State 
law by executive departments and agencies should be undertaken only 
with full consideration of the legitimate prerogatives of the States 
and with a sufficient legal basis for preemption.'' Section 5125 
contains express preemption provisions, which PHMSA has implemented 
through its regulations.

IV. Public Comments

    All comments should be directed to whether 49 U.S.C. 5125 preempts 
the State of California's law requiring that propane cylinders sold or 
offered for sale in California must be refillable or reusable. Comments 
should specifically address the preemption criteria discussed in Part 
II above.

    Issued in Washington, DC, on January 6, 2026.
Keith J. Coyle,
Chief Counsel.
[FR Doc. 2026-00232 Filed 1-8-26; 8:45 am]
BILLING CODE 4910-60-P