California-specific: Hazardous Material Business Plan

Introduction

The federal government requires owners and operators of certain applicable facilities to complete and submit an emergency and hazardous chemical inventory form annually, known as the Tier II form. In California, the version of this is the Hazardous Material Business Plan (HMBP). This may be relevant to anyone in California who handles a hazardous material or mixture with a hazardous material. This Fact File explains the Hazardous Material Business Plan. It discusses who it applies to and who it does not and how and when to submit an HMBP.

Background

In 1986, the California Governor’s Office of Emergency Services established the Hazardous Materials Business Plan Program. The purpose of HMPB is to give basic information necessary for use by first responders to prevent or mitigate damage to public health and safety and to the environment from a release or threatened release of a hazardous material. An HMBP is a document with comprehensive information on the:

• Inventory of hazardous materials at a facility;
• Emergency response plans and procedures in the case of a reportable release or threatened release of a hazardous material;
• Training for all new employees and annual training, including refresher courses, for all employees in safety procedures in the case of a release or threatened release of a hazardous material; and
• A site map with north orientation, loading areas, internal roads, adjacent streets, storm and sewer drains, access and exit points, emergency shutoffs, evacuation staging areas, hazardous material handling and storage areas, and emergency response equipment.

The training should be documented electronically or by hard copy. It should be available for at least three years.

HMBP Applicability 

Businesses that handle hazardous materials or extremely hazardous substances at reportable quantities must prepare and electronically submit an HMBP. The reportable quantities are equal to or greater than:

• 55 gallons (liquids), 500 pounds (solids), or 200 cubic feet for a compressed gas
• A hazardous compressed gas in any amount (highly toxic with a Threshold Limit Value of ≤ 10 parts per million)
• Extremely hazardous substances above the threshold planning quantities (TPQs)

Companies must electronically submit to the California Environmental Reporting System (CERS). In 2008, the State of California enacted Assembly Bill (AB) 2286 which, required the State’s Secretary for Environmental Protection to establish this electronic information management system. A business must submit an initial HMBP when it begins to handle hazardous materials at the applicable state and/or federal thresholds. A business must update and submit their hazardous materials inventory annually on or before March 1st. This will depend on the Unified Program Agency’s (UPA’s) individual requirements. A UPA is a hazardous waste regulatory agency. After first submitting, if there are no changes in the facility’s inventory and it is only regulated under the state program, the facility may submit a certification statement. If a facility is closing, they must notify the UPA 30 days before closure by submitting the closure notification on the permit.

A business must review their HMBP at least once every three years after the initial submission of the HMBP. This review determines if a revision is required and shall certify to the UPA that the review was made and that any essential plan changes were made.

If a facility does NOT comply with the HMBP requirements, they are civilly liable to the applicable county or city for a maximum of $2,000 per violation day. If the violation causes or majorly contributes to an emergency like a fire, the business must also be assessed the full cost of the county or city emergency response. This also includes any costs related to the hazardous material clean up and disposal. If a business continues to be in violation after notice, they are civilly liable for a maximum of $5,000 for each violation day.

HMBP Exemptions

California exempts the following hazardous materials from the HMBP requirements:

• Oxygen, nitrogen, and nitrous oxide handled by a physician, dentist, podiatrist, veterinarian, or pharmacist at their workplace in quantities as great as 1,000 cubic feet of each material at any one time;
• Lubricating oil for a single business facility, if the total volume of each kind of oil handled at that facility does not go over 55 gallons and the total volume of all types handled at the facility does not go over 275 gallons, at any one time;
• Hazardous material contained exclusively in a consumer product for direct distribution to, and use by, the public, unless the UPA has found, and has given notice to the business handling the product, that the handling of certain quantities requires the submission of a HMBP, or any portion thereof, in response to public health, safety, or environmental concerns; and
• On-premises use, storage, or both, of propane in an amount as much as 500 gallons that is for the purpose of cooking, heating the employee working areas, unless the UPA has found, and gives notice to the business handling the propane, that there is a requirement of the submission of a HMBP, or any portion thereof, in response to public health, safety, or environmental concerns.

Certain businesses are also exempt from filing portions of the HMBP.

Applicable Laws & Regulations

California Health and Safety Code, Division 20, Chapter 6.95, 25500-25519

California Code of Regulations, Title 19, Division 2, Chapter 4

Related Definitions

“Consumer product” means a commodity used for personal, family, or household purposes, or is present in the same form, concentration, and quantity as a product prepackaged for distribution to and use by the public.

“Hazardous material” means any material that, because of its quantity, concentration, or physical or chemical characteristics, poses a substantial current or possible hazard to human health and safety or to the environment if released into the workplace or the environment.

“Lubricating oil” means oil meant for use in an internal combustion crankcase, or the transmission, gearbox, differential, or hydraulic system of an automobile, bus, truck, vessel, airplane, heavy equipment, or other machinery powered by an internal combustion or electric powered engine.

“Release” means any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, or disposing into the environment, unless permitted or authorized by a regulatory agency.

“Threatened release” means a condition, circumstance, or incident making it necessary to take immediate action to prevent, reduce, or mitigate a release with the potential to cause damage or harm to persons, property, or the environment.

Key to remember

Frequently, local governments have more stringent requirements than the state and should be contacted for advice about this program in their area. Fees are based on the number of HMBP-reportable materials onsite. Like the requirements, these fees can vary based on local areas.

Real World Example

In July 2020 a California chemical company was fined $32,480 for illegal storage and failure to identify hazardous waste. The local Unified Program Agency requested assistance with the facility, who sells water treatment chemicals and uses chlorine gas. This gas is on the extremely hazardous substances list with a TPQ of 100 pounds. The health department cited the company for 17 violations in 2015 and 2017. By the end of 2018, the facility still had not returned to compliance. Another facility inspection in November 2018 resulted in the collection of nine samples, nearly half of which were hazardous. In the spring of 2019, the facility finally returned to compliance. The Hazardous Materials Business Plan Program helps prevent further issues related to hazardous material releases. When company’s lack transparency and fail to manage hazardous substances accordingly, significant issues can arise.