NACD Statement comments on chemical security legislation.
Press Release Summary:
Grave concerns were made known regarding October 14 House Energy and Environment Subcommittee approval of H.R. 2868, Chemical Facility Anti-Terrorism Act. Although a few measures were adopted to move slightly in better direction, approved bill still imposes oppressive and unnecessary mandates on chemical distribution facilities. NACD supports legislation that would give DHS permanent authority to implement CFATS but insists changes to this program, such as IST mandates, are premature.
Original Press Release:
NACD Comments on Mark-Up of Chemical Security Legislation
In response to the October 14 House Energy and Environment Subcommittee approval of H.R. 2868, the Chemical Facility Anti-Terrorism Act, the National Association of Chemical Distributors (NACD) issued the following statement.
"NACD remains gravely concerned about the H.R. 2868, the Chemical Facility Anti-Terrorism Standards, which the House Energy and Environment Subcommittee approved yesterday. Although the Subcommittee adopted a few limited measures to move the legislation in a slightly better direction, the bill as approved would still impose onerous and unnecessary mandates on chemical distribution facilities.
The subcommittee's most positive change was to replace the provision in H.R. 2868 that would have allowed citizens to directly sue chemical facilities for perceived non-compliance with a provision to allow citizens to petition the Office of Inspector General of the Department of Homeland Security (DHS) regarding alleged violations. This will prevent facilities from being pulled into frivolous lawsuits and being forced to divert their limited resources from security to litigation.
While an amendment to limit the inherently safer technology (IST) implementation mandate to facilities in risk tiers 1 and 2 with release chemicals on site slightly narrows the requirement, the legislation still imposes an IST assessment mandate on all covered facilities. These assessments would be costly and inappropriate for distributors as these companies generally store, repackage, and transport, rather than manufacture, chemicals. For most facilities, an IST assessment would likely produce limited options that would not justify the cost and effort of the exercise itself.
NACD also remains concerned about the prescriptive nature of H.R. 2868. Rather than being based fully on risk based performance standards as is currently the case under the Chemical Facility Anti-Terrorism Standards (CFATS), the bill contains several specific mandates regarding drills with law enforcement and emergency responders, specific individuals who must be involved in security vulnerability assessment and site security plan development, and background checks. NACD is also concerned about the provision that allows states and localities to adopt and enforce standards more stringent than the federal law. Federal preemption is a key element of any effective chemical security program.
NACD supports legislation that would simply give DHS permanent authority to implement the CFATS. Changes to this program such as IST mandates are premature. As noted during the mark-up, DHS is still in the process of assigning final risk tiers to facilities and has not yet begun site inspections. NACD urges Congress to allow the CFATS to be fully implemented and evaluated before changing the requirements."
NACD was the first chemical trade association to approve new security measures, as part of its management program, the Responsible Distribution ProcessSM (RDP), and has developed a security vulnerability assessment that specifically addresses security issues relevant to chemical distribution facilities. NACD members have invested millions of dollars and substantial resources to safeguard their facilities and the transportation of their products.
NACD and its nearly 240 members have established themselves as leaders in health, safety, security, and environmental performance through implementation of the Responsible Distribution Process (RDP), established in 1991 as a condition of membership in NACD. Incorporated as a condition of membership in January 1999, NACD members undergo third-party on-site RDPV - RDP Verification. For additional information, visit NACD's Web site - www.nacd.com.
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