1 / 37

Gulf Coast Environmental Affairs Group January 14, 2010 Galveston, Texas

Civil Penalty Program. Gulf Coast Environmental Affairs Group January 14, 2010 Galveston, Texas. Agenda. Statistics Inspections and Enforcement Civil Penalties Appeals. GOM Safety Statistics. Primary Sampling Production Complete Production Partial Drilling Workover Pipeline

kirsi
Download Presentation

Gulf Coast Environmental Affairs Group January 14, 2010 Galveston, Texas

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Civil Penalty Program Gulf Coast Environmental Affairs Group January 14, 2010 Galveston, Texas

  2. Agenda • Statistics • Inspections and Enforcement • Civil Penalties • Appeals

  3. GOM Safety Statistics

  4. Primary Sampling Production Complete Production Partial Drilling Workover Pipeline Accident Investigation Onshore Meter Coast Guard Secondary Environmental Flaring H2S Abandonment Completion Wireline Coast Guard Inspection Types

  5. Violations • Termed as an “Incident of Noncompliance (INC)” • Documented using MMS National Potential Incidents of Noncompliance (PINC) List and; • MMS Form 1832 • Carries 3 types of enforcement actions based on the severity of the violation. • Warning • Component Shut-in • Facility Shut-in • May also result in civil penalties against the operator

  6. Enforcement - Warning • Warnings are issued when the violation poses no immediate danger to personnel, equipment, or the environment

  7. Enforcement – Component Shut-in • Component Shut-ins are issued for a specific piece of equipment or location when the violation poses an immediate danger to personnel, equipment, or the environment and it can be shut-in w/o affecting the overall safety of the facility.

  8. Enforcement – Facility Shut-in • Facility Shut-ins are issued when the violation poses an immediate danger to the entire facility, personnel, or the environment and the specific piece of equipment or location cannot be shut-in w/o affecting the overall safety of the facility.

  9. GOM Region Drilling * As of January 5, 2010

  10. GOM Region Production * As of January 5, 2010

  11. Civil Penalty Program

  12. OCS Civil Penalty History 1978 Lands Act Amendments – Section 24 • Created the Civil Penalties Program • Fine $10,000/day/violation 1983 Industry case against civil penalty • Must allow “reasonable time to correct” • MMS no longer pursued civil penalties 1990 Oil Pollution Act • If threat, no time needed to correct • Fine increased to $20,000/day/violation

  13. OCS Civil Penalty History • 1997 MMS Revised Civil Penalty Regulations • Plain English – streamlined process • Fine increased to $25,000/day/violation • 2003 Fine increased to $30,000/day/violation • 2007 Fine increased to $35,000/day/violation

  14. Monetary Adjustment of Civil Penalties • Public Law 101-380, Section 8201 states: • The Secretary shall, by regulation at least every 3 years, adjust the penalty specified in this paragraph to reflect any increases in the Consumer Price Index (all items, United States city average) as prepared by the Department of Labor.

  15. Civil Penalty Matrix • Note: W = Warning, C = Component Shut-in, and S = Facility Shut-in; * = Starting Point for Assessment

  16. Civil/Criminal Penalty Program • 30 CFR 250.1404 states that MMS will review the following violations for Civil Penalty: • Violations that cause injury, death, or environmental damage • Violations that pose a threat to human life, property or the environment • Violations that are not corrected within the time allowed • Violations of the Oil Spill Financial Responsibility Requirements

  17. Responsibilities • Districts • Conducts inspections • Issues violations (INCs) • Determines threat associated with violation • Builds civil penalty case • Forwards civil penalty case to regional coordinator • Regional CP Coordinator • Reviews cp case • Assigns reviewing officer

  18. Responsibilities • Reviewing Officer • Reviews case • Reviews merits (violation & threat) of case • Seeks additional information • Issues NPCP • Reviews information submitted from operator • Makes decision based on the preponderance of the evidence presented. • Issues final decision

  19. Civil Penalty Time Line

  20. Civil Penalty Program * One case pending ^ CPI adjustment 3/2007 ** Pending cases = 21

  21. Top Five Civil Penalty INCs

  22. Regulations Governing Appeals • Any MMS decision can be appealed under 30 CFR 290 Subpart A. • There are 2 types of Appeals: • Informal – An informal appeal may be made to the issuing officer’s next level supervisor. The informal appeal can also be elevated further up the chain of command if needed. • Formal – A formal appeal may be made to the Interior Board of Land Appeals (IBLA)

  23. Formal Appeal Process • A formal appeal may be made to the Interior Board of Land Appeals (IBLA). See NTL 2009-N12 • A formal appeal MUST be filed within 60 days of the INC’s issue date or the receipt of a decision (NO extensions). • The Operators Statement of Reason must submitted to the IBLA within 30 after filing the Notice of Appeal.

  24. Questions? • Additional information: www.mms.gov • Email address: omm.fo.osm@mms.gov Thank you David Dykes David.Dykes@mms.gov

More Related