United States               Solid Waste and        EPA530-K-02-025I
Environmental Protection    Emergency Response
Agency                      (5305W)


                            USED OIL
           (40 CFR Part 266, Subpart E, and Part 279)               


                           DISCLAIMER

This document was developed by Booz Allen Hamilton Inc. under
contract 68-W-01-020 to EPA.  It is intended to be used as a
training tool for Call Center specialists and does not represent
a statement of EPA policy.

The information in this document is not by any means a complete
representation of EPA's regulations or policies.  This document
is used only in the capacity of the Call Center training and is
not used as a reference tool on Call Center calls.  The Call
Center revises and updates this document as regulatory program
areas change.

The information in this document may not necessarily reflect the
current position of the Agency.  This document is not intended
and cannot be relied upon to create any rights, substantive or
procedural, enforceable by any party in litigation with the
United States.

       RCRA, Superfund & EPCRA Call Center Phone Numbers:
                                
     National toll-free (outside of DC area) (800) 424-9346
          Local number (within DC area) (703) 412-9810
National toll-free for the hearing impaired (TDD) (800) 553-7672
                                
     The Call Center is open from 9 am to 5 pm Eastern Time,
       Monday through Friday, except for federal holidays.
                                

                       1.    INTRODUCTION


This training module reviews the various regulatory requirements
associated with used oil management.  Congress passed the Used
Oil Recycling Act (UORA) in 1980, requiring EPA to address the
hazards posed by used oil, and develop a regulatory scheme to
ensure proper management and disposal practices.  The provisions
of the UORA were incorporated into Section 3014 by the Hazardous
and Solid Waste Amendments to the Resource Conservation and
Recovery Act (RCRA); however, used oil emerged as a separate
issue apart from hazardous waste.  In developing regulations for
used oil, EPA has endeavored to balance the RCRA mandate to
protect human health and the environment with the RCRA mandate to
conserve resources through used oil recycling.

On November 29, 1985, EPA developed a used oil program that
primarily regulated used oil recycled by being burned for energy
recovery.  These regulations were codified in Part 266, Subpart
E.  To fulfill the statutory requirement of RCRA Section 3014,
EPA finalized on September 10, 1992, standards establishing
requirements for generators, transporters, transfer facilities,
collection centers, processors and re-refiners, burners, and
marketers in 40 CFR Part 279.  The rule also included provisions
for cleanup in the case of a spill or release of used oil.  The
old program in Part 266, although superseded on the federal level
by Part 279, remains in effect in many authorized states.  As a
result, some states are operating under the present program and
others are operating under the former program.  For this reason
it is critical to be well-versed in both used oil programs.

The goal of this training module is to provide an overview of the
used oil management program and to explain the different
regulatory scenarios that can apply to used oil.  The module
begins by briefly tracing the developmental history of the
regulations concerning used oil.  A summary of the present used
oil management program, as well as a brief summary of the former
program, provides a basic comparison and introduction to both
programs.  After you complete the training session, you should be
able to:

  * Distinguish between the used oil management standards of
    Part 279 and the former used oil regulations under Part 266,
    Subpart E
  
  * Identify the different types of used oil handlers and their
    requirements under the used oil management standards, and
    summarize the requirements for the used oil handlers
    regulated under the former program
  
  * Explain the difference between on- and off-specification
    used oil
  
  * Distinguish between the recycling presumption and the
    rebuttable presumption
  
  * Describe how the present regulations will become effective
    in both authorized and unauthorized states
  
  * Explain under what circumstances used oil filters may be
    disposed of as nonhazardous
  
  * Describe the four pathways of potential regulation of used
    oil under the former program and compare differences with
    the present used oil management standards.

                                
                    2.    REGULATORY SUMMARY


This summary of the regulatory provisions affecting the
management of used oil for the former and present used oil
programs provides some basic references and definitions which
will be encountered throughout the module.  The present program,
promulgated in the September 10, 1992, Federal Register (57 FR
41566), is codified in Parts 261 and 279.  Under this program,
used oil is defined as any oil that has been refined from crude
oil (or synthetic oil), that has been used, and as a result of
such use is contaminated by physical or chemical impurities.
Types of oils included in this definition are spent automotive
lubricating oils, hydraulic fluids, compressor oils from
refrigeration units, and metal working oils.  The former used oil
program defined used oil similarly, except that synthetic oils
were not explicitly included in the definition.

Though the former program was significantly narrower in scope
than the present program, several concepts were retained through
the transition of the programs and will be discussed in more
detail later in the module.  Although the former program is no
longer in the CFR, the preamble to the final rule promulgated in
the November 29, 1985, Federal Register (50 FR 49164), provides
useful background and regulations that are still in effect in
many states.  The following discussion in Section 2.1 addresses
the history and background of the used oil regulations.


2.1  HISTORY AND BACKGROUND

RCRA Section 3014 required EPA to decide whether or not to list
used oil as regulated hazardous waste under RCRA and to establish
standards applicable to used oil recycling.  On November 29,
1985, EPA issued a proposed rule to list all used oil as
hazardous waste, including petroleum-derived and synthetic oils
(50 FR 49164).  On the same day, management standards were
proposed for recycled used oil and final regulations were issued
prohibiting burning off-specification used oil in nonindustrial
boilers and furnaces.  By November 19, 1986, EPA decided not to
list used oil, primarily because of the possibility that
characterizing used oil as a hazardous waste might discourage or
hinder recycling practices (51 FR 41900).

A 1988 court decision required EPA to reconsider listing used oil
based on the technical criteria for listing waste specified in
the statute, rather than the effects listing might have on the
competing goal of recycling.  Consequently, a supplemental
proposed rule published in the Federal Register on September 23,
1991, offered three options for regulating used oil recycling (56
FR 48000).  The first option was to identify all used oils as
listed hazardous waste under RCRA.  Alternatively, EPA could have
designated only certain used oils (primarily the nonindustrial
ones) as hazardous.  The third option was to promulgate basic
management standards for used oil, and only categorize used oil
as RCRA hazardous waste when disposed.

Prior to making a final selection of one of the three approaches
to recycled used oil regulation, the final rule of May 20, 1992,
stated that used oil destined for disposal would not be listed as
a hazardous waste (57 FR 21524).  EPA said that most used oil has
the potential to be recycled, either through re-refining or
burning for energy recovery, and that when destined for disposal,
the existing network of regulations provides adequate protection
from plausible mismanagement scenarios.  Additionally, an
exclusion was added under Section 261.4(b)(13) stating that
certain used oil filters that have been properly drained may be
disposed of as nonhazardous (see Section 3.1 of this module for
discussion).  The Agency deferred the listing decision on used
oil destined for recycling at this time and any decision on
management standards for used oil.

On September 10, 1992, EPA promulgated both a final listing
decision for recycled used oil and management standards for used
oil pursuant to RCRA Section 3014 (57 FR 42566).  The Agency
decided not to list recycled used oils because the management
standards issued in this rulemaking would adequately protect
human health and the environment.  These standards affect
generators, transporters, burners, marketers, processors, and re-
refiners of used oil.  The management standards were codified as
Part 279.  In this rule, the Agency stated that there is a
presumption that all used oil will be recycled until the used oil
is disposed of or sent for disposal (57 FR 41578).  Used oil that
is disposed of will need to be characterized like any other solid
waste and need to be managed as hazardous if it exhibits a
characteristic of hazardous waste or if it is mixed with a listed
hazardous waste.


2.2  CURRENT PROGRAM

The present program hinges on the presumption that most used oil
will be recycled instead of disposed. This means that virtually
all used oil will be subject to the same management standards
under Part 279.  The former program did not make this presumption
and therefore imposed variable requirements for used oil
management.  The current used oil regulations also expanded the
requirements that used oil handlers must fulfill.

RECYCLING PRESUMPTION

In the September 23, 1991, supplemental notice of proposed
rulemaking, the Agency first introduced the idea of the recycling
presumption (56 FR 48000).  According to industry data collected
by the Agency, a majority of used oil that enters the recycling
system ends up being recycled either by being burned for energy
recovery or by being re-refined.  These data led to the recycling
presumption, which is a regulatory provision that presumes used
oil will be recycled.

In cases where used oil handlers cannot recycle their used oil,
the Agency proposed different criteria for rebutting the
recycling presumption.  In the September 10, 1992, final rule,
however, EPA decided that establishing specific criteria was not
feasible or necessary.  Because the Agency assumes all used oil
will be recycled, it is only when used oil is sent for disposal
that it is no longer subject to the Part 279 standards.  The
recycling presumption simplifies the used oil management system
by ensuring that handlers need only comply with one set of
standards.

WHAT IS USED OIL?

Used oil is defined as any oil that was refined from crude oil or
any synthetic oil, and that is used and as a result of such use
is contaminated by physical or chemical impurities.  Used oil and
waste oil are not interchangeable terms.  Waste oil or oily waste
does not always meet the definition of used oil.  Bottom waste
from an oil storage tank or virgin oil spill residue may be
contaminated with impurities but still not meet the definition in
Section 279.1 because these materials have never been used.

MIXTURES

One confusing aspect of the present used oil management standards
involves mixtures of used oil and other materials.  This section
discusses mixtures of used oil with hazardous and solid waste, as
well as products, and how these mixtures are regulated.  The
rebuttable presumption, outlined below, begins to address
mixtures of used oil and hazardous wastes.

Rebuttable Presumption

Mixtures of hazardous waste and used oil ordinarily would be
classified as hazardous waste.  From an enforcement point of
view, however, the Agency cannot always determine if used oil has
been mixed with a hazardous waste, so EPA decided to use an
objective test.  Since hazardous spent halogenated solvents were
often found to be mixed with used oil, EPA established the
"rebuttable presumption" addressing halogen levels.  The concept
of the rebuttable presumption was established in the former
regulations, and its basic premise is retained in the present
program.

Used oil that contains more than 1,000 parts per million (ppm) of
total halogens is presumed to have been mixed with a regulated
halogenated hazardous waste (i.e., spent halogenated solvents),
and is therefore subject to applicable hazardous waste
regulations.  A person may rebut this presumption by
demonstrating, through analysis or other documentation, that the
used oil has not been mixed with halogenated hazardous waste.
One way of doing this is to show that the used oil does not
contain significant concentrations of halogenated hazardous
constituents (50 FR 49176; November 29, 1985).  If the
presumption is successfully rebutted, meaning the oil is not
considered to have been mixed with a regulated hazardous waste,
then it will be subject to the used oil management standards
instead of the hazardous waste regulations.

The Agency believes, however, that some oils can become
contaminated with more than 1,000 ppm halogens just through the
normal use of the oil, without actually mixing the used oil with
a hazardous waste.  In the present program, the Agency amended
the former regulations to exempt two specific types of used oil
from the rebuttable presumption.  Both metalworking oils
containing chlorinated paraffins and used refrigeration
compressor oils containing chlorinated fluorocarbons (CFCs) are
exempt from the rebuttable presumption.  In other words, if a
person generates one of these types of used oil, that person does
not have to prove that the oil has not been mixed with a
hazardous waste, even though it may contain more that 1,000 ppm
total halogens.  The rebuttable presumption is codified in
Section 261.3(a)(2)(v), under the definition of hazardous waste,
and in Part 279, Subpart B, under applicability, as well as under
the requirements for generators, transporters, processors, and
burners.

Mixtures of Used Oil and Hazardous Waste

The present regulations, like the former, require that mixtures
of used oil and listed hazardous waste continue to be regulated
as hazardous waste and managed according to all applicable
hazardous waste standards.  This straightforward principle for
mixtures of used oil and listed waste does not apply to mixtures
of used oil and characteristic hazardous waste.  The present
regulations lay out two scenarios for mixtures of used oil and
characteristic waste.  The first scenario involves used oil that
is mixed with a waste that is hazardous solely because it
exhibits the characteristic of ignitability.  If the resultant
mixture is no longer ignitable, then the mixture can be managed
as used oil, despite the inherent characteristics that the used
oil may bring to the mixture (Section 279.10(b)(2)(iii)).  The
second scenario involves used oil mixed with a waste that is
hazardous because it exhibits one or more characteristic of
hazardous waste (other than just ignitability).  The resultant
mixture must no longer exhibit any characteristics if it is going
to be managed as used oil (Section 279.10(b)(2)(i) and (ii)).

The difference in the two scenarios is critical because used oil
will often inherently exhibit a characteristic from its normal
use.  For example, used oil that displays the toxicity
characteristic for lead (D008) is mixed with an ignitable
hazardous waste (D001).  Section 279.10(b)(2)(iii) allows this
mixture to remain under the umbrella of used oil regulation even
if it fails the Toxicity Characteristic Leaching Procedure (TCLP)
for lead (D008), as long as the mixture is no longer ignitable.
On the other hand, if the D008 used oil had been mixed with a
reactive waste (D003), then the resultant mixture would need to
be void of both characteristics in order to be managed as used
oil.  Otherwise, the mixture would need to be managed as
hazardous waste.

Mixtures of Used Oil with Solid Waste

Unlike mixtures with hazardous waste, any mixture of used oil
with solid waste or any material contaminated with or containing
used oil is regulated under the Part 279 standards as used oil.
Once the used oil has been properly drained or removed from the
mixture to the extent possible (i.e., no visible signs of free-
flowing oil), the solid waste is no longer subject to regulation
as used oil, but rather is classified as a solid waste.  Any used
oil separated from this type of mixture remains subject to all
applicable Part 279 standards.  The exception to this is that a
solid waste from which free-flowing used oil has been removed is
still subject to regulation as used oil if it is burned for
energy recovery.

Mixtures of Used Oil with Products

The blending of used oil generated in diesel-powered vehicles
with diesel fuel is excluded from the processing and re-refining
standards when the mixture is used in the generator's own
vehicles as a fuel.  The mixture itself is also specifically
excluded when used in this manner.  Diesel engine manufacturers
recommend this practice, and the Agency has found that the
resultant fuel is low in toxic contaminants.  In addition, as
stated earlier, diesel and marine engines are not covered by the
standards for used oil burners.

Other Mixtures

Used oil that is considered to be a hazardous waste solely
because it exhibits one or more characteristic of hazardous waste
(Sections 261.21-261.24), because it has been mixed with
hazardous waste subject to the special provisions of Section
261.5 for conditionally exempt small quantity generators
(CESQGs), or because it has been mixed with household hazardous
waste is subject to regulation as a used oil, not as a hazardous
waste.

MATERIALS DERIVED FROM USED OIL

Section 279.10(e) dictates when a material is no longer subject
to regulation as used oil.  Specifically, materials that are
reclaimed from used oil and are used beneficially without being
burned for energy recovery are not considered used oil and are
not subject to the Part 279 standards.  These materials are also
not considered solid waste and would, therefore, not be subject
to regulation under any part of RCRA.  Materials produced from
used oil that are burned for energy recovery are regulated as
used oil and are subject to Part 279.  Materials derived from
used oil that are disposed of or used in a manner constituting
disposal are not considered used oil, but instead are considered
solid wastes and subject to all applicable solid and hazardous
waste standards.

CONDITIONAL EXEMPTIONS

As with any rule or set of regulations, there are always some
exceptions.  Along these lines, some types of used oil are
conditionally exempt from the Part 279 standards when managed in
accordance with Section 279.10.

Distillation and Tank Bottoms from Exempt Mixtures

Distillation bottoms from re-refining used oil are excluded from
Part 279 regulation and hazardous waste regulation when the
bottoms are used as ingredients in asphalt paving and roofing
materials.  Because data indicate that these distillation bottoms
do not exhibit the toxicity characteristic and the practice is
common in the industry, the Agency has decided not to regulate
them when used in this manner.

Crude Oil Pipelines

Used oil that is inserted into a crude oil pipeline is not
subject to Part 279 standards once the used oil enters the
pipeline or when it is placed in a stock tank connected to the
pipeline.  The Agency believes that once introduced into a
pipeline, used oil does not pose a greater threat of a release
than either crude oil or natural gas liquids.  Therefore, owners
and operators of natural gas and crude oil processing plants can
introduce used oil into their pipelines or stock tanks that are
connected to the pipeline without meeting Part 279 standards.
Prior to placement in the pipeline, however, the oil is subject
to all applicable used oil management standards.  A mixture of
used oil and crude oil or natural gas liquids where the amount of
used oil is less than one percent the total volume of the mixture
is not subject to regulation during storage and transportation
prior to insertion into the pipeline.

Petroleum Refineries

In the May 4, 1994, Federal Register (59 FR 10550), the pipeline
exemption was expanded to include certain activities at petroleum
refining facilities.  For instance, a mixture of crude oil or
natural gas and less than one percent used oil is not subject to
Part 279 if the mixture is inserted into the refining process
prior to crude distillation or catalytic cracking (these are the
first steps in petroleum refining where crude oil is separated
and impurities are removed).  This provision is similar to the
exemption for crude oil or natural gas pipelines.  At a petroleum
refinery, as crude oil is piped in, used oil may be inserted into
a petroleum refinery process unit before distillation or
catalytic cracking without being subject to Part 279, as long as
the used oil constitutes less than one percent of the crude oil
feed at any given time.  Used oil that is inserted into the
refining process after distillation or catalytic cracking would
only be exempt if the used oil meets the specifications in
Section 279.11.  In both of the situations noted above, prior to
insertion the used oil is subject to any applicable Part 279
requirements.  Another situation where used oil may be exempt
from Part 279 at a petroleum refining facility is when used oil
is incidentally captured by a hydrocarbon recovery system or
wastewater treatment system as part of routine process
operations.  On the other hand, if the used oil is intentionally
introduced to a hydrogen recovery system, it will not be exempt.
Incidental occurrences may include drips, leaks, and spills from
compressors, valves, and pumps.

Wastewater

Wastewaters contaminated with de minimis quantities of used oil
are also excluded from the present requirements because these
wastewaters are regulated by the Clean Water Act.  De minimis
quantities of used oil are small spills, leaks, or drippings from
pumps, machinery, pipes, and other similar equipment during
normal operations, or when small amounts of oil are lost to the
wastewater treatment system during washing or draining.  Any used
oil that is recovered from wastewater, however, falls under full
regulation as used oil.

PCBs

Used oils that are contaminated with PCBs in concentration of 50
ppm or greater are subject to regulation under the Toxic
Substances Control Act (TSCA) (Section 279.10).  EPA believes
that the current requirements in TSCA for PCB-contaminated wastes
adequately control the management and disposal of used oils
containing PCBs.  Therefore, used oil that contains 50 ppm or
more of PCBs is not subject to the requirements of Part 279.

SPECIFICATION

For purposes of regulating used oil burned for energy recovery,
the Agency made a distinction between specification and off-
specification used oil.  Specifications are a set of criteria
intended to be protective of human health and the environment in
all circumstances.  Used oil that meets the specification levels
is comparable to a product fuel oil in terms of regulation.  Used
oil that is tested and is not within these set parameters is
termed off-specification.  Once used oil has been shown not to
exceed specification levels, it is not subject to the
restrictions on burning in Part 279, Subpart G.  Off-
specification used oil can only be burned for energy recovery in
industrial and utility boilers, industrial furnaces, used oil-
fired space heaters, and hazardous waste incinerators regulated
under Part 264/265, Subpart O.  The first person to document that
the used oil being burned for energy recovery meets the
specification criteria is considered the marketer of the used oil
and is responsible for meeting the recordkeeping requirements of
Sections 279.72, 279.73, and 279.74(b).

Criteria

Section 279.11 outlines the specification levels and prescribes
the amount of regulation that applies to specification and off-
specification used oil under Part 279 when the used oil is to be
burned for energy recovery.  Both types of used oil may be burned
for energy recovery, but off-specification used oil is subject to
certain prohibitions.  Used oil is considered to be off-
specification if it has a flash point below 100 degrees
Fahrenheit, or contains more than the allowable levels of any of
certain constituents.

The following table lists the allowable levels of constituents in
used oil.  Used oil exceeding any of these levels is considered
off-specification.
     
        Constituent                  Allowable Level
          Arsenic                      5 ppm maximum
          Cadmium                      2 ppm maximum
          Chromium                     10 ppm maximum
          Lead                         100 ppm maximum
          Total Halogens               4,000 ppm maximum

Blending

Blending used oil to meet specification is permitted, since EPA
believes blended oil poses no greater hazard than dirty virgin
fuel oil.  Used oil with over 1,000 ppm total halogens, however,
may not be blended to lower the halogen level below 1,000 ppm in
order to apply the rebuttable presumption and call it
nonhazardous; the rebuttable presumption must be applied to the
used oil before it is blended with other materials.  A used oil
handler blending used oil for purposes of meeting specification
would be subject to the processor and re-refiner regulations in
Part 279, Subpart F.

GENERAL PROHIBITIONS

Section 279.12 codifies specific prohibitions on the management
of used oil.  Used oil cannot be stored in a surface impoundment
or waste pile, unless the unit is subject to regulation under
Parts 264 and 265.  Also, the use of used oil for road oiling or
as a dust suppressant is prohibited, unless a state petitions EPA
to allow this activity provided it meets the specified conditions
in Section 279.82.  The state must demonstrate in the petition
how the state's program will minimize the environmental impacts
of such activity.  Another general prohibition addresses burning
off-specification fuel in certain units.  Burners may only burn
used oil in an industrial boiler or furnace as defined in Section
260.10, in a hazardous waste incinerator subject to regulation
under Part 264/265, Subpart O, or in a used oil-fired space
heater.  When burning in a space heater unit, the owner or
operator must either generate the oil he burns himself or receive
it from do-it-yourself oil changers.  The maximum capacity of the
device may not exceed 0.5 million Btu per hour and combustion
gases must be vented to the ambient air (Section 279.12(c)(2)(iii)).

USED OIL GENERATORS

A used oil generator is any person, by site, whose act or process
produces used oil or whose act first causes used oil to become
subject to regulation.  Because the generation of used oil is so
widespread, with generators ranging from multinational
corporations to local service stations, used oil generators are
subject to limited standards under Part 279, Subpart C.  The
recycled used oil standards place basic requirements on storage
and require compliance with the rebuttable presumption for all
generators of used oil.

Exceptions

Certain used oil generators are not subject to the regulations in
Subpart C of Part 279.  These include the following: (1)
household do-it-yourselfers (DIYs) - individuals who generate
used oil from the maintenance of their personal vehicles or other
household sources; (2) vessels at port or at sea; (3) generators
after mixing diesel fuel and used oil to be used in their own
vehicles as a fuel; and (4) farmers who, in a month, generate no
more than 25 gallons of used oil from farm vehicles or machinery
(Section 279.20(a)).

Storage

The primary requirements placed on generators involve good
housekeeping practices for storing used oil on site.  Used oil
can only be stored in containers and tanks that are in good
condition; i.e., free of any visible spills, leaks, structural
damage, or deterioration (Section 279.22(b)).  Containers,
aboveground tanks, and fill pipes used to transfer used oil into
underground storage tanks need to be clearly marked with the
words "Used Oil" to prevent incidental mixing of used oil with
hazardous waste or other materials.  Used oil can also be stored
in units already subject to regulation under Parts 264 and 265,
such as lined surface impoundments, and in underground storage
tanks (USTs) subject to regulation under Part 280.  Generators of
used oil have no time or quantity limitations on storing used oil
because the Agency feels that used oil is a marketable commodity;
therefore, there is an incentive for the generator to send used
oil off-site for recycling.  In the event of a release from one
of these units to the environment, the generator must comply with
the response measures set forth in Section 279.22(d), which
include stopping and containing the release, properly managing
any used oil or contaminated materials, and repairing or
replacing the leaking container or tank.  Releases from
underground storage tanks that are subject to UST corrective
action are regulated under Part 280 standards for USTs, not under
Part 279.

Burning

Generators can burn their own used oil and DIY-generated used oil
in used oil-fired space heaters without complying with
regulations for used oil burners in Part 279, Subpart G.  The
heaters must have a maximum capacity of 0.5 million Btu per hour
and the combustion gases must be vented into the ambient air.

Processing

Used oil generators that process or re-refine used oil are also
subject to regulation under Part 279, Subpart F.  There are some
activities, however, that a generator may engage in that would
not be considered processing, and thus not subject to Subpart F.
There are five activities that a generator may perform and not be
considered a processor as long as the used oil was generated on-
site and it is not being sent directly off-site to a burner.  A
generator may: (1) filter, clean, or recondition used oil to be
reused by the generator; (2) separate used oil generated on-site
from wastewater to meet Clean Water Act regulations prior to
discharge of the wastewater; (3) capture used oil droplets in the
air by a mist collector to make in-plant air amenable for
recirculation; (4) drain or remove used oil from materials
containing or contaminated with used oil; and (5) filter,
separate, or recondition used oil before burning it in a space
heater on-site.  The March 4, 1994, Federal Register, amended the
generator requirements to clarify that these activities would not
subject a generator to the processing regulations in Subpart F
(59 FR 10550).

Off-Site Shipments

A generator is allowed to transport some of his/her own used oil
and used oil collected from DIY generators provided the following
conditions are met: (1) the generator must bring the used oil to
either an approved collection center or self-owned or -operated
aggregation point; (2) the used oil must be delivered in
shipments of 55 gallons or less; and (3) the used oil must be
transported in a vehicle owned by the generator or an employee of
the generator.  The generator can also have his used oil
transported by a transporter without an EPA identification number
if a tolling arrangement is made in accordance with the
regulations in Section 279.24(c).  In all other situations,
generators must ensure that their used oil is transported by a
transporter who has obtained an EPA ID number.

USED OIL COLLECTION CENTERS AND AGGREGATION POINTS

To encourage and facilitate the recycling of used oil from small
sources, the Agency created reduced requirements for used oil
collection centers and aggregation points in Part 279, Subpart D.

Do-It-Yourselfer Used Oil Collection Centers

Under Part 279, Subpart D, there are two types of used oil
collection centers, DIY used oil collection centers and used oil
collection centers.  A DIY used oil collection center is any site
or facility that stores or accepts or aggregates used oil
collected only from people who generate used oil in their homes
(i.e., household DIY used oil generators).  Owners and operators
of DIY used oil collection centers need only comply with the
generator standards in Part 279, Subpart C.

Used Oil Collection Centers

The present regulations define a used oil collection center to
mean any site or facility that is registered, licensed,
permitted, or recognized by a state, county, or municipal
government to manage used oil and accept, aggregate, or store
used oil collected from used oil generators regulated under Part
279, Subpart C.  The used oil generator must deliver the used oil
in shipments of 55 gallons or less.  Used oil collection centers
may also accept used oil from household do-it-yourselfers.

Used Oil Aggregation Points

A used oil aggregation point means any site or facility that
accepts, aggregates, or stores used oil collected only from other
used oil generation sites owned or operated by the owner or
operator of the aggregation point.  The used oil must be
transported to the aggregation point in shipments of no more than
55 gallons.  Used oil aggregation points may also accept used oil
from household do-it-yourselfers.

USED OIL TRANSPORTERS AND TRANSFER FACILITIES

A used oil transporter is any person who transports used oil,
collects used oil from more than one generator and transports the
collected used oil, or owns or operates a used oil transfer
facility.  Used oil transporters may consolidate or aggregate
used oil for the purposes of transporting and may conduct
incidental processing operations that occur during the normal
course of transportation (e.g., separating water from used oil
that has settled during the aggregation or transportation
process).  Transporters who otherwise produce used oil-derived
products or make these products more amenable for production are
considered used oil processors.

Before the present used oil management standards, transporters of
used oil were not regulated under RCRA.  Now used oil
transporters must not only notify EPA of their activities, but
must also track their shipments and maintain compliance with the
rebuttable presumption.  The management standards of Part 279,
Subpart D are similar to regulations for hazardous waste
transporters in many respects, including a provision for used oil
transfer facilities.

Like generators, used oil transporters who engage in other used
oil management practices must follow the applicable standards in
Part 279.  For example, a transporter who processes used oil must
also comply with the requirements for used oil processors and re-
refiners in Part 279, Subpart F, including transporters who blend
used oil with virgin oils to meet specification.  Transporters,
however, may conduct incidental processing operations and
consolidation for the purposes of transportation in compliance
with Section 279.41 without being considered a processor or re-
refiner.

Storage

As with the hazardous waste regulations, used oil transporters
may store used oil at transfer facilities for a limited time
during the normal course of transportation.  EPA defines transfer
facility as any transportation-related facility including loading
docks, parking areas, and other areas where shipments of used oil
are held for more than 24 hours and less than 35 days during the
normal course of transportation.  Transfer facilities that store
used oil for more than 35 days are subject to Part 279, Subpart
F, standards for used oil processors and re-refiners.  Facilities
that store used oil for less than 24 hours do not meet the
definition of used oil transfer facility and would not be subject
to these requirements.

Transfer facilities and transporters can store used oil in the
same units as generators, but must supply secondary containment
for the storage units in accordance with Section 279.45.  If a
release occurs during the course of transportation, the
transporter is required to take "appropriate and immediate action
to protect human health and the environment" (Section 279.43(c)).

Rebuttable Presumption

The used oil management standards require transporters to apply
the rebuttable presumption to all shipments of used oil.  They
must determine the total halogen content of used oil prior to
accepting a shipment for transport.

If the total halogen content exceeds 1,000 ppm, the used oil is
presumed to have been mixed with a halogenated hazardous waste.
If the presumption of mixing can be rebutted by documenting the
source of the halogens, then the used oil can be managed as used
oil.  Otherwise, the used oil contaminated with halogens is
regulated as hazardous waste under applicable solid and hazardous
waste requirements.

BURNERS OF USED OIL FUEL

The used oil program only regulates the burning of off-
specification used oil.  The burning of used oil that meets the
specification criteria in Section 279.11 is not regulated by the
burner standards in Subpart G.  Off-specification used oil fuel
can only be burned in the following three types of devices:

  * Industrial furnaces - enclosed devices that use controlled
    flame combustion to burn used oil or hazardous waste
    (limited to the 12 specific devices listed in Section
    260.10)
  
  * Boilers - enclosed devices that use controlled flame
    combustion to burn used oil or hazardous waste for energy
    recovery (must meet the four criteria listed in Section
    260.10)
  
  * Hazardous waste incinerators subject to regulation under
    Part 264/265, Subpart O.

By limiting the burning of off-specification used oil to these
three types of devices, the present program prohibits the burning
of used oil in nonindustrial boilers, including boilers located
at single or multifamily residences; commercial establishments
such as hotels, office buildings, or laundries; and institutional
establishments such as hospitals, colleges, prisons, or churches.

The other major provision applicable to burners under Part 279
involves storage.  The storage requirements for burners are
essentially the same as those for generators discussed earlier;
however, storage areas at burner facilities must be equipped with
secondary containment in accordance with Section 279.64.

USED OIL FUEL MARKETERS

The current regulations define a used oil fuel marketer as any
person who either (1) directs a shipment of off-specification used oil
from that facility to a used oil burner, or (2) first claims that the used
oil going to be burned for energy recovery meets the
specification requirements.

Used oil marketers can be divided into two categories: those that
market off-specification used oil and those that market oil that
meets specification.  For each category different regulations
apply under Part 279, Subpart H.  The used oil fuel marketer
requirements are applicable to anyone, including a generator,
transporter, processor, or burner of used oil, who engages in
marketing activities or who first claims that the used oil meets
the specification criteria.  Under the present definition of
marketer, it is impossible for someone to only be a marketer
without engaging in any other used oil management practices.  For
example, a used oil generator who first directs a shipment of off-
specification used oil to a burner is a marketer as well as a
generator and must comply with the applicable requirements of
Part 279, Subparts C and H.

Off-Specification Used Oil Marketers

Used oil marketers handling off-specification oil are subject to
the prohibitions found in Section 279.71, as well as analysis of
used oil fuel and notification to EPA of location and description
of used oil management activities.  In addition, they must comply
with the tracking requirements, including their EPA ID number,
the name and address of both the marketer and the receiving
facility, the quantity delivered, and the date of shipment.

Prior to initiating the first shipment to a burner or other
marketer, a marketer must acquire a one-time written and signed
certification that the burner or marketer has notified EPA of all
used oil management activities and, if a burner, that the used
oil will only be burned in one of the allowable devices listed in
Section 279.12(c).  A marketer must keep copies of all invoices
for three years from the date received or prepared.  Also, copies
of all off-specification certifications from other burners or
marketers must be kept for three years from the date of the last
transaction with that person or facility.

Specification Used Oil Marketers

Used oil marketers handling specification used oil must analyze
the used oil fuel to show that it meets specification, as well as
notify EPA if the marketer is the first one to claim the oil
meets specification.  An operating log must be kept for each
shipment, including the name and address of the receiving
facility, quantity, delivery date, and cross-reference to the
record of analysis to show it meets specification.  Records of
all waste analysis documentation and operating logs must be kept
for three years.

USED OIL PROCESSORS AND RE-REFINERS

Before the present used oil management standards were
promulgated, used oil processors and re-refiners were virtually
unregulated.  The only requirement placed on them was that, like
all other solid waste generators, they were required to make a
hazardous waste determination regarding any residues that were
disposed.  The present regulations greatly increased the
requirements for processors and re-refiners by mirroring
standards for hazardous waste treatment, storage, and disposal
facilities (TSDFs).  These requirements include obtaining an EPA
identification number and complying with a used oil version of
general facility standards.

Processing

Processing means any chemical or physical operation designed to
produce or facilitate the production of fuel oils, lubricants, or
other used oil-derived products from used oil.  These operations
include but are not limited to blending used oil with virgin
petroleum products, blending used oils to meet fuel
specification, filtration, simple distillation, chemical or
physical separation, and re-refining.  Processing, however, does
not include generators processing used oil generated on-site for
use on-site.  If transporters or transfer facilities filter oil
from oil-bearing transformers before returning it to its original
use, they would not be subject to processing standards.

Storage

Processors and re-refiners are subject to the same storage
standards, including secondary containment, as transporters or
burners (Section 279.54).  Processors and re-refiners, however,
have no time or quantity limitations on storing used oil.

There is one major difference in the storage requirements for
processors and re-refiners.  Processing facilities must comply
with stringent closure requirements (Section 279.54(h)).  Both
aboveground tanks and containers need to have all used oil
residues removed and any units still containing used oil or
residues must be taken off-site.  The owner and operator must
decontaminate or remove used oil residues from all buildings,
structures, and soils at the site.  If the owner and operator
cannot demonstrate the absence of contaminated soils at the time
of closure, then the facility must be closed in accordance with
hazardous waste landfill standards (Section 279.54(h)(1)(ii)).
Because the contaminated equipment will ultimately be disposed
of, hazardous waste regulations would apply if the equipment
exhibits a characteristic of hazardous waste.

General Facility Standards and Recordkeeping

Facilities that conduct processing are subject to general
facility standards, similar to interim status TSDFs (Section
279.52).  These requirements include general facility
maintenance, fire and explosion prevention, emergency
communication systems, and release response plans.  Every
processing facility must have a contingency plan to minimize the
hazards to human health and the environment in the event of a
fire, explosion, or release of used oil.

Processors of used oil are also subject to tracking, planning,
and recordkeeping requirements: (1) the owner and operator must
make a record of each shipment of used oil that the facility
accepts for processing in accordance with Section 279.56; (2) the
owner and operator must prepare an analysis plan that describes
the procedures that will be used in rebutting the presumption and
determining if the used oil meets specification requirements; and
(3) the owner and operator must submit a biennial report to the
Regional Administrator containing information about the quantity
of used oil processed and the specific processes employed.

Rebuttable Presumption

The rebuttable presumption requirements for processors and re-
refiners are similar to the transporter requirements.  Processors
must determine the total halogen content of the used oil prior to
accepting the used oil shipment in accordance with Section
279.53.  If the presumption cannot be rebutted then the shipment
is considered to be hazardous waste and must to be managed by a
hazardous waste TSDF.


2.3  FORMER PROGRAM

The former used oil program in Part 266, Subpart E, is narrower
in scope than the present used oil management standards.  The
program regulates used oil being burned for energy recovery, so
the used oil handlers subject to regulation under this program
were marketers and burners of off-specification fuel.  There were
no requirements for generators, transporters, collection centers,
or processors/re-refiners.

Many of the basic concepts from the former program have been
retained in the current program.  For example, the rebuttable
presumption, on- and off-specification used oil, prohibitions on
burning off-specification used oil, and the regulations for
marketers and burners are carried over from the former used oil
management program.  Essentially, the regulations for marketers
and burners are recodified in Part 279, Subparts G and H, but for
the sake of clarity, citations for Part 266, Subpart E, are used
throughout this section of the module.

Unlike the present used oil program, the former used oil program
does not have a recycling presumption, thus the regulation of
used oil hinges upon the ultimate destination of the used oil.
There are four possible routes or pathways for the management of
used oil.  The following section discusses these four routes or
pathways.

THE FOUR PATHWAYS

The former used oil regulations provide four options, or
pathways, for final disposition of used oil.  The standards to
which a used oil handler is subject depend on the method of
handling and the final destination of the oil.

Used Oil Sent for Disposal

Used oil sent for disposal can either be incinerated or land
disposed.  If the used oil displays a characteristic of hazardous
waste, its disposal is regulated under RCRA.  All applicable
requirements under Parts 262 through 265 and 268 would need to be
met, as well as any applicable state or local environmental
regulations.

Used Oil That Is Recycled

According to the former regulations, used oil that is recycled in
a manner other than being burned for energy recovery, and is only
hazardous due to characteristics, is exempt from Parts 262
through 266, 268, 270, and 124, and RCRA Section 3010
notification per Section 261.6(a)(3)(iii).  An example would be
used oil that is being re-refined.

Used Oil Used in a Manner Constituting Disposal

Used oil used in a manner constituting disposal is addressed
under Section 266.23(b).  The use of waste or used oil or other
material that has been contaminated with dioxin or any other
hazardous waste (other than a waste identified as hazardous
solely due to ignitability) for dust suppression or road
treatment is prohibited.  In other words, any used oil that
exhibits one or more characteristic of hazardous waste, other
than ignitability, is banned from use as a dust suppressant.

Used Oil Burned for Energy Recovery

According to the former regulations, used oil that is burned for
energy recovery is subject to regulation under Part 266, Subpart
E.  These requirements are briefly discussed later in this
section.

MIXTURE RULE

As with the present program, used oil that has been mixed with a
listed hazardous waste is subject to regulation as hazardous
waste and if burned must be handled in accordance with the
requirements of Part 266, Subpart H, or Part 264/265, Subpart O
(Section 261.3(a)(2)(iv)).  Mixtures of used oil and
characteristic hazardous waste can be managed in one of two ways,
depending on whether or not the mixture exhibits a
characteristic.  If the resultant mixture is void of
characteristics, then it can be burned as used oil under Part
266, Subpart E.  If the mixture exhibits a characteristic of
hazardous waste, then it must be burned as hazardous waste in
accordance with the BIF standards in Part 266, Subpart H.
Mixtures of used oil and characteristic waste that still exhibit
a characteristic and are not burned for energy recovery are
subject to all applicable hazardous waste regulations.

On the other hand, used oil that is considered to be a hazardous
waste solely because it exhibits one or more characteristic of
hazardous waste (Sections 261.21-261.24) is regulated as used
oil.  The used oil regulations also apply to used oil that
exhibits a characteristic because it has been mixed with
hazardous waste subject to the special provisions of Section
261.5 for conditionally exempt small quantity generators, or
because it has been mixed with household hazardous waste.

USED OIL BURNED FOR ENERGY RECOVERY

EPA estimates that over 800 million gallons of used oil are
recycled each year, either by burning for energy recovery or re-
refining.  Approximately 80 million gallons are disposed of
annually.  Consequently, the majority of used oil regulations,
particularly in this program, are focused on those who generate,
market, or burn used oil for energy recovery purposes.  The first
question in considering regulatory requirements for burning used
oil under Part 266 is applicability: is the used oil regulated
under Subpart E or is it considered hazardous waste and
subsequently regulated under Subpart H?  Figure 1 provides a
flowchart to assist you in making this determination.

REBUTTABLE PRESUMPTION

Originally, the rebuttable presumption was codified at Section
266.40(c).  The present program only amended it slightly by
adding an exemption for refrigerator compressor oils and some
metalworking oils that become contaminated with halogens through
normal use.  Also, the present regulations extend the
applicability of the rebuttable presumption to all used oil, not
just used oil being burned for energy recovery.

SPECIFICATION

Section 266.40(e) outlines the specification levels and
prescribes the amount of regulation that applies to specification
and off-specification used oil under Part 266, Subpart E.  Used
oil that meets specification under the former program is not
covered by the burning regulations in Part 266, Subpart E, and
may be burned in nonindustrial boilers and furnaces.
Specification used oil is, however, subject to requirements for
notification, analysis, and recordkeeping.

GENERATORS OF USED OIL

Generators of used oil destined for energy recovery are not
subject to regulation under Part 266 unless they are also
marketing or burning the used oil.  Generators who market used
oil directly to a burner are subject to the standards applicable
to marketers (Section 266.43).  If the generator burns the used
oil he or she is subject to the standards applicable to burners
(Section 266.44).  If a generator produces a used oil that meets
the definition of a hazardous waste and the material is destined
for disposal, the generator must comply with all applicable
hazardous waste regulations.

MARKETERS OF USED OIL

When EPA promulgated Part 279, it recodified the requirements for
marketers of used oil, originally found in Section 266.43, as
Part 279, Subpart H.   The only difference between EPA's
regulations for marketers under the present and former programs
is that under the former program, it is possible for a person to
be a marketer without engaging in any other regulated used oil
management practices.


                            Figure 1
                   BURNING FOR ENERGY RECOVERY
                         FORMER PROGRAM
                                
                                
BURNERS OF USED OIL

According to the former regulations, burners of used oil are
subject to the general requirements and prohibitions under
Section 266.44(b).  Notification, including the location and a
general description of used oil management activities, is
required for all burners with only two exceptions.  Neither
owners and operators of used oil-fired space heaters nor burners
that receive used oil that meets specification from a marketer
who has previously notified EPA need to notify.  For marketers of
off-specification used oil, the burner must provide the marketer
with a one-time written and signed notice, certifying that EPA
was notified of the used oil management activities, and that the
used oil will only be burned in a unit identified in Section
266.41(b).

Used oil fuel analysis is required for generators who are also
burners unless they have other data or documentation stating that
the used oil meets specification under Section 266.40(e).
Burners who treat off-specification used oil fuel by processing,
blending, or other treatment in order to meet specification under
Section 266.40(e) also must obtain analysis or other
documentation that the used oil meets the specification.  Burners
must keep copies of all invoices received, copies of all waste
analysis information, and copies of all certification notices
sent to marketers, and retain them for three years.

Used crankcase oil from diesel engines is frequently blended with
virgin diesel fuel and burned in diesel engines or ship engines.
Since they do not meet the definition of either a boiler or an
industrial furnace, however, diesel and marine engines are not
covered by these regulations (50 FR 49193; November 29, 1985).


                      3.    SPECIAL ISSUES


Used oil management is itself a hot topic; in addition, there are
some closely related issues that callers often ask about.  The
following is a summary of these corollary issues.


3.1  USED OIL FILTERS

In the September 23, 1991, Federal Register, EPA discussed
exempting used oil filters that had been properly drained and
crushed from the definition of hazardous waste (56 FR 48000).
The Agency codified this exclusion in Section 261.4(b)(13) (57 FR
21531; May 20, 1992).  The exclusion is limited to non-terne
plated filters.  Terne is described as an alloy of tin and lead
and may be used on filters found in heavy trucks or equipment.
In practice, it is difficult to differentiate between terne and
non-terne plated filters, and the generator of a used oil filter
may have to contact the filter's manufacturer to obtain this
information.  To meet the exemption the filters must have the
used oil removed from them in one of four ways.  The filter may
be punctured and hot-drained, hot-drained and crushed, or hot-
drained and dismantled.  Finally, any other equivalent hot-
draining method may be used as long as it removes the oil.  The
term "hot-drained" means that the used oil filter is drained near
engine operating temperature.  EPA does not require the filter be
drained for a certain length of time; however, based on previous
research, 12 hours is recommended as adequate to remove the
majority of the oil.  If one of these four methods is followed,
the filter may be disposed of as nonhazardous.


3.2  TANK STORAGE OF USED OIL

Used oil is considered a "regulated substance" for the purposes
of the underground storage tank (UST) program, under the
definitions in Section 280.12.  Therefore, any underground
storage tank holding used oil that is destined for recycling, re-
refining, or burning for energy recovery would be regulated under
Part 280 standards.  Any aboveground tank holding used oil under
the same circumstances would be regulated under 40 CFR Part 112
(Clean Water Act regulations) or state regulations.  Under the
former used oil program, if a generator is storing used oil for
disposal, the tank is regulated under Section 262.34 and the
applicable portions of Part 264/265, Subpart J.  Under the
present program, since it is presumed used oil will be recycled,
the hazardous waste tank standards are not applicable.  Instead,
the Part 279 tank standards and any relevant portions of the UST
and Clean Water Act programs apply.  The present regulations
specifically refer handlers to the requirements for tank storage
in these programs.


3.3  CERCLA LIABILITY EXEMPTION FOR SERVICE STATIONS

Since 1986, Section 114(c) of the Comprehensive Environmental
Response, Compensation, and Liability Act (CERCLA) has offered a
recycled used oil exemption from CERCLA liability to service
station dealers (SSD), as defined in CERCLA Section 101(37).
Because of three conditions set forth in the statute, no person
could be eligible for the exemption until the present recycled
used oil management standards in Part 279 were created.  The
first condition requires SSDs to be in compliance with management
standards promulgated pursuant to Section 3014 of RCRA.  Since no
standards had been promulgated until September 10, 1992, the
exemption had been previously unusable.  The second condition
does not allow SSDs to mix used oil with any hazardous substance.
The third condition requires the SSDs to accept DIY-generated
used oil for recycling.  The exemption is limited to generator
and transporter liability under CERCLA Sections 107(a)(3) and
(4), so the SSD would be responsible for conducting any
corrective action measures if a release of used oil occurs from
any container, aboveground tank, or underground storage tank on-
site.


3.4  EFFECTIVE DATE AND STATE AUTHORIZATION

Because the present used oil requirements were promulgated
pursuant to RCRA, the regulations became automatically effective
only in unauthorized states.  In other words, the present
regulations replaced the former ones in unauthorized states and
territories (Alaska, Hawaii, Iowa, American Samoa, Northern
Mariana Islands, Puerto Rico, the Virgin Islands, and Wyoming at
the time) on March 8, 1993.  In states that are authorized to run
their own hazardous waste programs in lieu of the federal
program, the Part 279 standards will not become effective until a
state revises its program to adopt equivalent requirements under
state law.

Some of the Part 279 provisions, however, consist of former
requirements that were recodified from Part 266, Subpart E.  As
such, these requirements for marketers and burners remain
federally enforceable in states not authorized for them and state-
enforceable in those states that have already adopted them.  This
means four situations are possible.  First, in a state that is
not authorized for any portion of RCRA, all of the Part 279
regulations became effective on March 8, 1993.  In states that
are authorized for the base program but not the Part 266, Subpart
E, requirements, Part 279, Subparts A through F and I are not
enforceable until the state is granted authorization, but Part
279, Subparts G and H, remain federally enforceable.  In states
that are already authorized for Part 266, Subpart E, the Part
279, Subparts G and H standards remain state-enforceable, and the
rest of Part 279 is not effective until the state adopts them.
Finally, states with EPA-approved Part 279 programs may enforce
all of the Part 279 regulations.  Under Section 271.21(e)(2), the
Agency can set a deadline by which these authorized states must
incorporate the present used oil regulations into their state
code.  For the present used oil regulations, this date is set at
July 1, 1994, if a statutory change is not necessary, or July 1,
1995, if one is required.

The federal regulations provide requirements for used oil
management; however, state regulations may be more stringent and
therefore take precedence.  For example, New York and Minnesota
regulate used oil as a hazardous waste.  Other states handle it
as a "special waste."


3.5   USED OIL MIXTURE RULE

On September 15, 1994, the U.S. Court of Appeals for the District
of Columbia Circuit remanded the 1992 used oil mixture rule to
EPA.  The used oil mixture rule sets special standards for
mixtures of used oil and hazardous waste.  The court ruled that
the mixture rule standards are less stringent that the RCRA
Subtitle C regulations for other mixtures of hazardous waste.
According to the ruling, EPA must determine if the mixture rule
is inconsistent with RCRA, and if so, to withdraw it.

On October 30, 1995, EPA announced an administrative stay of the
used oil mixture rule provisions (Section 279.10(b)(2)).  These
provisions are applicable to mixtures of used oil destined for
recycling with either characteristic hazardous waste, or waste
listed as hazardous because it exhibits a hazardous waste
characteristic.  Under the stay, these mixtures would have been
subject to the regulatory requirements for other mixtures of
hazardous and solid wastes, including the land disposal
restrictions, until the Agency completed a new rulemaking
addressing Section 279.10(b)(2).  On January 19, 1996, however,
the United States Court of Appeals for the District of Columbia
Circuit vacated the administrative stay of the used oil mixture
rule provisions (Safety-Kleen Corp. v. EPA).  This action
reinstated Section 279.10(b)(2), applicable to mixtures of used
oil destined for recycling with either characteristic hazardous
waste, or waste listed as hazardous because it exhibits a
hazardous waste characteristic.