Document ID: EPA-HQ-OPA-2005-0001-0168
Agency: epa
Document Type: Supporting & Related Material
Title: 
Posted Date: 2006-11-15T05:00Z

SEQ CHAPTER \h \r 1 REVISION OF INFORMATION COLLECTION REQUEST (ICR)

FOR THE OIL POLLUTION PREVENTION REGULATION FOR CERTAIN FACILITIES TO
PREPARE AND MAINTAIN AN OIL SPILL PREVENTION, CONTROL, AND
COUNTERMEASURE (SPCC) PLAN

(EPA No. 0328.13, OMB No. 2050-0021)

1.	IDENTIFICATION OF THE INFORMATION COLLECTION

	1(a) 	Title of the Information Collection

Revision of Information Collection Request (ICR) for the Oil Pollution
Prevention Regulation for Certain Facilities to Prepare and Maintain an
Oil Spill Prevention, Control, and Countermeasure (SPCC) Plan (40 CFR
Part 112).  EPA ICR No. 0328.13, OMB No. 2050-0021.

	1(b) 	Short Characterization

  SEQ CHAPTER \h \r 1 The Oil Pollution Prevention regulation at 40 CFR
part 112 requires and establishes procedures for the preparation and
implementation of Spill Prevention, Control, and Countermeasure (SPCC)
Plans.  SPCC Plans help minimize the potential for oil discharges by
non-transportation-related onshore and offshore facilities into or upon
the navigable waters of the United States or adjoining shorelines or
from affecting certain natural resources.

Owners and operators of regulated facilities must prepare SPCC Plans in
accordance with good engineering practices and have them approved by a
person with the authority to commit the resources necessary to implement
the SPCC Plan.  SPCC Plans address the following three areas: (1)
operating procedures that prevent oil spills; (2) control measures
installed to prevent a spill from reaching navigable waters or adjoining
shorelines; and (3) countermeasures to contain, clean up, and mitigate
the effects of an oil discharge that could reach navigable waters.  Each
SPCC Plan, while unique to the facility it covers, must include certain
standard elements to ensure compliance with the regulations. 

This ICR revision incorporates amendments to the SPCC rule at 40 CFR
part 112, expected to be finalized in fall 2006.  The U.S. Environmental
Protection Agency (EPA) estimates that approximately 434,000 facilities
will incur paperwork-related burden in the first year of this ICR.  EPA
estimates a total reporting and recordkeeping burden for these
facilities at approximately 2.19 million hours in each year of this ICR.

2.	NEED FOR AND USE OF THE COLLECTION

	2(a) 	Need/Authority for the Collection

  SEQ CHAPTER \h \r 1 Section 311(j)(1)(C) of the Federal Water
Pollution Control Act, or Clean Water Act (CWA), authorizes the
President to issue regulations establishing procedures, methods,
equipment, and other requirements to prevent discharges of oil from
vessels and facilities and to contain such discharges.  The President
delegated the authority to regulate non-transportation-related onshore
facilities under §311(j)(1)(C) of the Act to EPA under Executive Order
(E.O.) 12777, §2(b)(1).  By this same Executive Order, the President
delegated authority over transportation-related onshore facilities,
deepwater ports, and vessels to the U.S. Department of Transportation
(DOT) and authority over other offshore facilities, including associated
pipelines, to the U.S. Department of the Interior (DOI).  A subsequent
Memorandum of Understanding (MOU), dated February 3, 1994, among EPA,
DOT, and DOI, reallocated the responsibility for
non-transportation-related offshore facilities that are landward of the
coastline to EPA.  An earlier MOU between the Secretary of
Transportation and the EPA Administrator, dated November 24, 1971 (36 FR
24080), established the definitions of non-transportation-related
facilities and transportation-related facilities.

	

The Oil Pollution Prevention regulation, found at 40 CFR part 112,
outlines requirements for both preventing and preparing for oil spills. 
The prevention part of this regulation at §112.1 through §112.15 is
also known as the SPCC rule.  It was originally promulgated on
December 11, 1973, at 38 FR 34164, under the authority of
§311(j)(1)(C) of the CWA.  The regulation established spill prevention
procedures, methods, and equipment requirements for
non-transportation-related onshore and offshore facilities with
aboveground oil storage capacity or completely buried underground oil
storage capacity greater than certain thresholds and meeting other
criteria (see §112.1).  Regulated facilities are limited to those that,
because of their location, could reasonably be expected to discharge oil
in quantities that may be harmful into the navigable waters of the
United States or adjoining shorelines.

On July 17, 2002, at 67 FR 47042, EPA published amendments to the SPCC
rule.  These amendments included new subparts outlining the requirements
for different classes of oil, revised the applicability of the
regulation, amended the requirements for completing SPCC Plans, and made
other modifications.  The final rule also contained a number of
provisions designed to decrease the regulatory burden on facility owners
and operators subject to the rule while preserving environmental
protection.  The rule was effective August 16, 2002, with compliance
dates outlined in §112.3(a) and (b).  However, the original compliance
dates were amended on January 9, 2003, for 60 days (68 FR 1348) and then
extended for an additional 18 months on April 7, 2003 (68 FR 18890).  On
August 11, 2004, EPA extended the compliance dates in §112.3(a) and (b)
by an additional 18 months and amended the compliance deadline in
§112.3(c) (69 FR 48794).  On February 17, 2006, EPA published an
additional extension of the compliance dates in §112.3(a), (b), and
(c), establishing October 31, 2007 as the new deadline for owners and
operators to prepare, amend, and implement SPCC Plans (71 FR 8462).

On December 12, 2005, EPA proposed to further amend the SPCC Plan
requirements to reduce regulatory burden (see 70 FR 73524).  EPA
reviewed comments from regulated parties, professional associations,
environmental interest groups, and others, and evaluated new data about
the operations of various industries regulated under the rule.  EPA
decided to amend the SPCC rule to finalize the proposed changes with
modifications to address public comments.  Under the SPCC rule
amendments expected to be finalized in fall 2006, EPA is providing an
option to allow owner or operators of facilities that store 10,000
gallons of oil or less and meet other qualifying criteria to
self-certify their SPCC Plans, in lieu of review and certification by a
Professional Engineer (PE); allowing oil spill contingency planning as
an alternative to the general secondary containment requirement, without
requiring a determination of impracticability, for facilities that have
certain types of oil-filled operational equipment; defining and
providing an exemption for motive power containers; and exempting mobile
refuelers from the specifically sized secondary containment requirements
for bulk storage containers.  In addition, the Agency is removing and
reserving certain SPCC requirements for animal fats and vegetable oils;
and is extending the compliance dates for farms.  The result is a more
cost-effective approach to meeting statutory requirements.

	2(b) 	Practical Utility/Users of the Data

  SEQ CHAPTER \h \r 1 EPA does not collect SPCC Plans or related records
from facilities on a routine basis.  Preparation, implementation, and
maintenance of the SPCC Plan by the facility owner or operator helps
prevent oil discharges and mitigate the environmental damage caused by
such discharges.  Therefore, the primary user of the data is the
facility owner or operator.  For example:

Accumulating the necessary data requires that the facility staff analyze
the facility measures and procedures for preventing oil discharges,
facilitating safety awareness, and promoting appropriate modifications
to facility design and operations;

Having the required information in a single document promotes efficient
response in the event of a discharge;

Implementing the Plan according to the specifications of 40 CFR part 112
requires meeting certain design and operational standards that reduce
the likelihood of an oil discharge; 

Keeping inspection records promotes important maintenance, facilitates
leak detection, and demonstrates compliance with the SPCC requirements;
and

Reviewing the Plan periodically ensures the implementation of more
effective spill prevention control technology as it becomes available
and is demonstrated to be effective.

				

Although facility personnel are the primary users of the data, EPA uses
the data in certain situations.  EPA’s primary use of the data
contained in an SPCC Plan is to ensure that a facility is in full
compliance with all elements of the SPCC rule, including design and
operation specifications and inspection requirements.  For example, EPA
reviews SPCC Plans as part of EPA’s inspection program.  A Regional
Administrator may require a facility owner or operator to amend an SPCC
Plan if he/she finds that the facility has not met the requirements of
the regulation or if amendment of the Plan is necessary to prevent and
contain discharges of oil.

State and local governments are also users of the data.  The information
provided in SPCC Plans (e.g., facility configuration and potential
risks) is not necessarily available elsewhere and assists local
emergency preparedness planning efforts.  The Plan must be compatible
and coordinated with local emergency plans, including those developed
under Title III of the Superfund Amendments and Reauthorization Act of
1986 (Pub. L. 99-499).  Coordination with state governments is
facilitated by the provision in §112.4(c) requiring that, after certain
discharges, information on the discharge be sent to the relevant state
agencies.  The flexibility with respect to Plan formatting promotes
greater coordination with state planning efforts by encouraging the use
of plans prepared pursuant to state regulations.

3.	NONDUPLICATION, CONSULTATIONS, AND OTHER COLLECTION CRITERIA

	3(a) 	Nonduplication

  SEQ CHAPTER \h \r 1 For some facilities, certain requirements of the
Oil Pollution Prevention regulation could be the same or substantially
similar to regulations addressing underground storage tanks (USTs).  The
SPCC rule addresses this overlap by exempting completely buried tanks
subject to all of the technical requirements of EPA’s UST program (40
CFR part 280) or a state program approved under 40 CFR part 281.

The regulation allows considerable flexibility in Plan preparation and
recordkeeping.  The definition of “SPCC Plan” allows the use of
alternative, appropriately cross-referenced formats based on other state
or other federal requirements.  Greater flexibility is also provided for
facility recordkeeping practices, as records required pursuant to the
National Pollutant Discharge Elimination System (NPDES) program and API
Standards may satisfy certain SPCC recordkeeping requirements.  Records
kept under usual and customary business practices are also accepted for
inspections, tests, and records.	

	

	3(b) 	Public Notice Required Prior to ICR Submission to OMB

Pursuant to the Paperwork Reduction Act (44 U.S.C. 3501 et seq.), the
Agency notified the public through a Federal Register notice as part of
the proposed rule (see 70 FR 73524).  As part of this process, EPA
solicited public comment concerning the burden estimates for
respondents, and considered all comments in preparation of this ICR
package to support the rule amendments.  EPA specifically requested
comments on the Agency’s need for this information, the accuracy of
the provided burden estimates, and any suggested methods for minimizing
respondent burden, including the use of automated collection techniques.
 As of June 28, 2006, no comments had been received in reference to this
notice.  Nevertheless, EPA considered public comments in response to the
proposed rule itself when developing this ICR supporting statement.

	3(c)	Consultations

  SEQ CHAPTER \h \r 1 In fall of 2004, EPA asked a contractor to contact
up to nine affected facilities regarding EPA’s SPCC ICR burden
assumptions.  The interviews provided insight into the reasonableness of
EPA’s estimates of the paperwork burden facilities incur when
complying with the SPCC rule.  The names, companies, and telephone
numbers of these representatives are given below.

	

Block Andrews, Aquila, Inc., (816) 421-6600

Jim Baker, Colonial Group Inc., (912) 236-1331

Brad Bergman, Sun Ray Energy Co., (760) 254-3381

Joanne Lupa, Massachusetts Electric Co., (508) 482-1257

Kyle Mullens, Kaneb Pipe Line Partners, L.P., (972) 699-4062

Sally Rogers, Sinclair Oil Corp. Casper Refinery, (307) 265-2800

Jerry Steckard, Hyperion Energy, (214) 750-3384

Peter Wolberg, Western Gas Resources, (303) 252-6105

Matt Yost, Martin Midstream Partners L.P., (903) 983-6200

The nine facilities contacted were from the electric utility and
petroleum industries and represented various facility sizes.  Six of the
nine contacts suggested the EPA hour and cost burden estimates to
prepare and maintain an SPCC Plan used in the current ICR were
reasonable.  The other three contacts suggested the burden hour and cost
estimates were low.    

More recently, several engineering firms were asked about the costs of
preparing Plans and EPA updated these costs based on input from those
companies.  Specifically, five engineering firms were contacted about
the cost of PE certification for facilities with total storage capacity
of 10,000 gallons or less.  The contacted PEs were hesitant to provide a
cost for certifying a standard Plan that they did not prepare, due to
the varying quality of the Plans they have seen.  However, they
estimated a range of $1,000 to $2,000 for this service, if the Plan was
well-prepared and the facility was generally compliant with SPCC
requirements.  The range of values for obtaining PE certification for
subsequent amendments was determined at $500 to $1,000.  The PEs all
indicated that they would review a Plan that a facility owner or
operator prepared; however, they would not certify the Plan without
first visiting the site and inspecting all of the tanks and containment
systems themselves.  EPA considered the information provided by
engineering firms as a basis for increasing the unit cost for PE
certification, but decided not to take a simple average of the values
obtained from PEs.  The reason for not using a mean or median is at
least two-fold: (1) the telephone calls to five engineering firms did
not represent a statistically valid survey and (2) the PEs expressed a
common concern about providing certification services alone.  Given
these limitations, EPA used professional judgment to revise the cost for
PE certification by adjusting the estimates.  Public comments received
for the proposed SPCC rule suggested the adjusted estimates were
reasonable.

	3(d)	Effects of Less Frequent Collection

  SEQ CHAPTER \h \r 1 The SPCC rule requires the development and
maintenance of SPCC Plans.  These Plans are not required to be submitted
to EPA; the Plan must be available to the RA (or inspector) for onsite
review during normal business hours.  Section 112.4(a) requires that
owners and operators submit certain critical information regarding a
discharge and corrective actions.  In order to conduct proper follow-up
actions, as necessary, Agency personnel may request the Plan itself or
access a copy of the entire SPCC Plan by visiting the facility.  Because
collection is not periodic, less frequent collection is not possible.

The owner or operator of a facility is required to review and evaluate
the facility Plan every five years.  EPA’s experience in administering
the SPCC Program indicates that updating Plans to reflect currently
available and proven technology and techniques for preventing and
controlling oil discharges every five years is sufficient given the
degree to which such technologies and techniques evolve over time.

	3(e)	General Guidelines

The information collection activities discussed in this ICR comply with
the general Paperwork Reduction Act guidelines at 5 CFR 1320.5(d)(2).

	3(f)	Confidentiality

The nature of the data being gathered as part of this ICR is not
confidential.

	3(g)	Sensitive Questions

The information gathering activities discussed in this ICR do not
involve sensitive questions.

4.	THE RESPONDENTS AND THE INFORMATION REQUESTED

	4(a) 	Respondents/NAICS Codes

  SEQ CHAPTER \h \r 1 The industries that are likely to be covered by
the SPCC rule fall into many North American Industrial Classification
System (NAICS) categories, including those associated with petroleum and
non-petroleum oil production, processing (refining), distribution,
storage, and consumption.  The majority of regulated facilities fall
under the industry sectors listed in   REF _Ref141689202  Exhibit 1 .

Exhibit   SEQ Exhibit \* ARABIC  1 

Primary Industry Sectors and NAICS Codes Covered by the SPCC Rule

Industry Category	NAICS Code(s)

  SEQ CHAPTER \h \r 1 Oil and Gas Extraction	211

Farms	111, 112

Electric Utility Plants	2211

Petroleum Refining and Related Industries	324

Chemical Manufacturing	325

Food Manufacturing	311, 312

Metal Manufacturing	331, 332

Other Manufacturing	31-33

Real Estate Rental and Leasing	531-533

Retail Trade	441-446, 448, 451-454

Contract Construction	23

Wholesale Trade	42

Other Commercial	492, 541, 551, 561-562

Transportation	481-488

Arts Entertainment & Recreation	711-713

Other Services (Except Public Administration)	811-813

Education 	611

  SEQ CHAPTER \h \r 1 Petroleum Bulk Stations and Terminals	4247

Hospitals & Other Health Care	621-624

Accommodation and Food Services	721, 722

Fuel Oil Dealers	45431

Gasoline Stations 	4471

Information Finance and Insurance	51, 52

Mining	212, 213

Warehousing and Storage	493

Pipelines	4861, 4869

Government	92

	4(b) 	Information Requested

Data Items, Including Recordkeeping Requirements

  SEQ CHAPTER \h \r 1 The primary data collection activities required by
the SPCC rule are the preparation and maintenance of the SPCC Plan along
with preparing records of inspections and tests.  In preparing a Plan, a
facility owner or operator must follow the provisions outlined in the
regulation and include a discussion of the measures taken to meet the
SPCC requirements.    For more detailed requirements, please refer to
the Oil Pollution Prevention regulation itself and to the amended rule
expected to be published in fall 2006.  For the reader’s reference,
the SPCC rule contained in 40 CFR part 112 is provided as an appendix to
this document.  Key provisions are summarized below.

Potential equipment failure.    SEQ CHAPTER \h \r 1 Where experience
indicates a reasonable potential for equipment failure (e.g., tank
overflow, rupture, or leakage), the Plan must include a prediction of
the direction, rate of flow, and total quantity of oil that could be
discharged from the facility as a result of each major type of equipment
failure (§112.7(b)).

Containment/diversion or contingency planning.  Appropriate containment
and/or diversion structures or equipment must be provided to prevent a
discharge (§§112.7(c), 112.7(h)(1), 112.8(c)(2), 112.8(c)(11),
112.9(c)(2), 112.10(c), 112.12(c)(2), and/or 112.12(c)(11), as
applicable according to facility type).  For onshore facilities, the
owner or operator must use one of the following preventive systems:
dikes, berms, or retaining walls sufficiently impervious to contain oil;
curbing; culverting, gutters, or other drainage systems; weirs, booms,
or other barriers; spill diversion ponds; retention ponds; or sorbent
materials.  The owner or operator of an offshore facility is subject to
slightly different requirements due to the facility’s unique
configuration.  While §112.7(c) generally requires secondary
containment to be appropriately sized (i.e., to address the most likely
discharge so that the oil will not escape containment before cleanup
occurs), the additional provisions listed above specify a required
minimum size for secondary containment at particular areas of a facility
(i.e., sized to contain the largest single oil compartment or container
plus sufficient freeboard to contain precipitation).  Where installation
of these structures or equipment is determined by the owner or operator
to be impracticable, a facility owner or operator must explain why,
provide a contingency plan following 40 CFR part 109 (or a Facility
Response Plan), conduct periodic integrity testing of the containers and
periodic integrity and leak testing of valves and piping, and provide a
written commitment of the manpower, equipment, and materials required to
expeditiously control and remove any harmful quantity of oil discharged
(§112.7(d)).

EPA is providing owners and operators of facilities with certain types
of oil-filled operational equipment the option of preparing an oil spill
contingency plan and a written commitment of manpower, equipment, and
materials in lieu of providing secondary containment for qualified
oil-filled operational equipment, without making an individual
impracticability determination as required in §112.7(d).  Owners or
operators who pursue this alternative are required to establish and
document an inspection or monitoring program for this qualified
oil-filled operational equipment to detect equipment failure and/or a
discharge, in lieu of providing secondary containment.  An owner or
operator cannot pursue the option if that facility has had a single
discharge as described in §112.1(b) from any oil-filled operational
equipment exceeding 1,000 U.S. gallons or two discharges as described in
§112.1(b) from any oil-filled operational equipment each exceeding 42
U.S. gallons within any 12-month period in the three years prior to the
SPCC Plan self-certification date, or since becoming subject to 40 CFR
part 112 if the facility has been operating for less than three years.

Detailed requirements.    SEQ CHAPTER \h \r 1 In addition to secondary
containment requirements, the Plan must include a discussion of the
facility’s conformance with more detailed and specific requirements,
as applicable according to facility type.  These specific requirements
concern facility diagrams and discharge reporting information and
procedures (§112.7(a)); personnel, training, and discharge prevention
procedures (§112.7(f)); security (§112.6(c)(3) or §112.7(g));
facility tank car and tank truck loading/unloading rack (excluding
offshore facilities) (§112.7(h)); brittle fracture issues related to
certain field-constructed aboveground containers (§112.7(i)); other
applicable federal, state, and local requirements (§112.7(j)),
integrity testing and/or visual inspection (§112.6(c)(4),
§112.8(c)(6), §112.9(c)(3) or §112.12(c)(6)); and flowline
maintenance programs (§112.9(d)(3)).

Specific recordkeeping requirements.  Every facility owner or operator
must conduct inspections and tests required by 40 CFR part 112 in
accordance with written procedures in the Plan and keep a record of the
inspections and tests, signed by the appropriate supervisor or
inspector, with the SPCC Plan for a period of three years (§112.7(e)).
Records of inspections and tests kept under usual and customary business
practices will suffice.

	

Specific reporting requirements.  As the result of an oil discharge in
accordance with §112.4, the following information must be provided to
the Regional Administrator:

		

		(1)	Name of the facility; 

		(2)	Name of the owner or operator; 

		(3)	Location of the facility; 

(4)	Maximum storage or handling capacity of the facility and its normal
daily throughput;

(5)	The corrective action or countermeasures taken, including an
adequate description of equipment repairs and/or replacements;

(6)	Description of the facility including maps, flow diagrams, and
topographic maps;

(7)	Cause(s) of the spill, including a failure analysis of the system or
subsystem in which the failure occurred;

(8)	Additional preventive measures taken or contemplated to minimize the
possibility of recurrence; and

(9)	Such other information as the Regional Administrator may reasonably
require pertinent to the Plan or to the spill event.

In addition, a facility owner or operator must update his or her Plan as
necessary, following a modification in the facility’s design or
operations that materially affects its potential for a discharge and
following the five-year review.

	

	(ii)  Respondent Activities

The Oil Pollution Prevention regulation requires an owner or operator to
conduct the following compliance activities:

	

Prepare an SPCC Plan (§§112.3(b) and 112.7);

Maintain the SPCC Plan and keep records (§§112.3 and 112.7(e));

Revise the SPCC Plan following a material modification of the facility
(§112.5(a)); and

Conduct periodic reviews of the SPCC Plan (§112.5(b)).

	

Each of these compliance activities is summarized in more detail below:

	Prepare an SPCC Plan

The owner or operator of a new facility must amend or prepare, and
implement, an SPCC Plan in accordance with the guidelines set forth in
40 CFR part 112 by October 31, 2007 or before beginning operations,
whichever is later.  The actual preparation of the Plan involves several
separate tasks, the majority of which are conducted by the facility’s
technical personnel.  These tasks include:

Field investigations, which are conducted by technical personnel to
fully understand the design of the facility and to accurately predict
the areas or equipment most likely to discharge oil (this involves
predicting the flow paths of spilled oil);

A regulatory review conducted by management personnel, such that the
technical and clerical personnel in charge of actually preparing the
Plan are fully aware of all requirements in 40 CFR part 112;

A review of existing procedures conducted by technical personnel to
determine the effectiveness of the current spill prevention and control
practices employed by the facility;

Preparation of the Plan, which involves both technical and clerical
time, as well as a final review by facility management personnel prior
to completion.

Certification of the Plan, which must be conducted for each new Plan. 
For facilities that do not meet the “qualified facility” criteria
set forth in §112.3(g), SPCC Plans and technical amendments to Plans
must be certified by a licensed Professional Engineer. 

EPA is providing streamlined requirements for facilities that meet a set
of specified qualifying criteria.  Owners and operators of qualified
facilities have the option to self-certify that their SPCC Plan complies
with 40 CFR part 112, in lieu of having a PE review and certify their
Plan.  According to §112.3(g), the self-certification option is
available to the owners and operators of those facilities that store
10,000 gallons of oil or less and that have had no single discharge as
described in §112.1(b) exceeding 1,000 U.S. gallons or no two
discharges as described in §112.1(b) each exceeding 42 U.S. gallons
within any 12-month period in the three years prior to the SPCC Plan
self-certification date, or since becoming subject to 40 CFR part 112 if
the facility has been in operation for less than three years (this
criterion does not include discharges as described in §112.1(b) that
are the result of natural disasters, acts of war, or terrorism).  Owners
and operators of qualified facilities choosing this option may deviate
from certain requirements of the SPCC rule as specified under
§112.7(a)(2) and make impracticability determinations as described
under §112.7(d) only if these portions of the Plan are certified by a
licensed PE (see §112.6(d)).  Flexibility for the security requirements
and container integrity testing is available (§112.6(c)(3) and (4)). 

	Maintain the SPCC Plan and keep records

Section 112.3 requires the owner or operator to maintain a copy of the
SPCC Plan at the facility, if the facility is normally attended for at
least four hours per day or, if not, at the nearest field office.  The
Plan must be available to the Regional Administrator for review during
normal working hours (§112.3(e)).  In addition, as described in section
4(b)(i) of this document, a facility owner or operator is required to
maintain (and update) Plan-specific records as outlined under
§112.7(e).  Plan maintenance and recordkeeping activities are estimated
to involve almost entirely technical personnel time, although a small
amount of clerical personnel time may also be required for these
activities.

	

	Submit information in the event of certain discharges of oil 

In the event of certain discharges of oil into navigable waters, a
facility owner or operator must submit information described in
§112.4(a) to the Regional Administrator within 60 days.  A discharge of
oil occurring within any 12-month period that triggers the §112.4
reporting requirements is:  

	

 	(1)	A single discharge as described in §112.1(b) of more than 1,000
U.S. gallons into or upon navigable waters; or

	(2)	Two or more discharges as described in §112.1(b), each of which is
over 42 U.S. gallons, into or upon navigable waters.

Submission of information after a discharge of oil is estimated to
involve both technical personnel time for collecting the required
information, as well as time for review by management personnel before
the information is submitted.  Section 112.4(c) also requires that the
facility owner or operator submit a copy of this information to the
state agency in charge of oil pollution control activities for the area
in which the facility is located.  The Regional Administrator may
require the owner or operator of the facility to amend the SPCC Plan to
prevent and contain discharges from the facility.  Such amendments, if
uncontested by the facility owner or operator, must become part of the
Plan 30 days after the Regional Administrator responds to the facility
owner or operator concerning the proposed amendments.  The amended Plan
must then be certified prior to implementation by a licensed PE, or
self-certified in the case of qualified facilities.  As required by
§112.4(e), amendments to the Plan must be implemented as soon as
possible, but no later than six months after the amendments become part
of the Plan.  Section 112.4(f) allows a facility owner or operator to
appeal a decision made by the Regional Administrator requiring a Plan
amendment.

	Revise the SPCC Plan following modification of the facility

Section 112.5(a) requires the facility owner or operator to amend his
Plan in accordance with §112.7 whenever there is a change in the
facility’s design, construction, operation, and maintenance that
materially affects the facility’s potential to discharge oil into
navigable waters.  Such facility changes may include the addition of a
new or rebuilt container; a change in the service of a container; any
physical changes or improvements to the facility; or, the construction
of a new well and associated piping.  The activities to amend the SPCC
Plan as a result of these facility changes are estimated to involve
mostly facility technical personnel time, as well as some clerical time.
 The amended Plan must then be certified prior to implementation by a
licensed PE, or self-certified in the case of qualified facilities. 
Such amendments to the SPCC Plan must be implemented as soon as
possible, but not later than six months after the change occurs.

	Review the SPCC Plan

An owner or operator of an SPCC-regulated facility is required to review
and evaluate his/her Plan at least once every five years.  This review
is expected to involve mostly technical personnel time to review spill
prevention and control procedures being implemented under the current
Plan, as well as a regulatory review involving management personnel
time.  Clerical personnel time is also involved to complete necessary
paperwork.  An owner or operator is required to amend his SPCC Plan
within six months of the review to include more effective prevention and
control technology if: (1) such technology will significantly reduce the
likelihood of a discharge as described in §112.1(b) from the facility;
and (2) such technology has been field-proven at the time of the review.
 Any technical amendments to the Plan must be certified prior to
implementation by a licensed PE or, for qualified facilities,
self-certified in accordance with §112.6(b).  Review cost estimates are
generated in this ICR for an existing facility only, since a new
facility that becomes operational after the beginning of the
ICR-approval period will not be required to conduct its review until
after the three-year period covered by this ICR.

5.	INFORMATION COLLECTED - AGENCY ACTIVITIES, COLLECTION METHODOLOGY,
AND INFORMATION MANAGEMENT

	5(a) 	Agency Activities

  SEQ CHAPTER \h \r 1 In the event that an SPCC-regulated facility
discharges more than 1,000 gallons of oil into or upon the navigable
waters of the United States in a single discharge as described in
§112.1(b), or discharges more than 42 U.S. gallons of oil in each of
two discharges as described in §112.1(b) within any 12-month period,
EPA is required to review the information submitted to it by the
facility under 40 CFR 112.4(a), including the necessity to:

Review facility characteristics;

Review the cause of the discharge;

Require any necessary amendments to the Plan to prevent and contain
discharges from the facility; and

Adjudicate any appeal of a final decision requiring an amendment.

In addition, while not required by the SPCC rule, EPA also conducts
routine inspection, enforcement, and outreach activities as part of
administering this program.  Inspections may occur either after a
discharge as part of the review of the submitted spill notification
report or on a periodic basis.

	5(b) 	Collection Methodology and Management

  SEQ CHAPTER \h \r 1 Plans can be tailored to the unique
characteristics of the facility.  Due to the wide range of types and
sizes of facilities subject to the regulation, EPA does not prescribe
any specific information management technique or technology in preparing
and maintaining SPCC Plans or records.  The regulation allows
flexibility in Plan preparation and recordkeeping by defining “SPCC
Plan” in a way that allows the use of additional, appropriately
cross-referenced formats.  Greater flexibility is also provided for
facility recordkeeping practices, as records kept under normal business
practices, such as those required pursuant to the NPDES program and API
Standards, may satisfy certain SPCC recordkeeping requirements.

EPA remains amenable to the development and use of more flexible and
user-friendly means of writing and maintaining SPCC Plans, such as
electronic programs, provided the Plans continue to provide the required
information and meet the administrative requirements listed in the SPCC
rule.  Whatever medium is used, the Plan should also be readily
accessible to response personnel in an emergency.

EPA maintains the information submitted to regional offices by
facilities following certain oil discharges to support ongoing program
activities such as targeting inspections as well as to support response
operations during spills.  However, EPA does not collect SPCC Plans or
related records from facilities on a routine basis.

	5(c)	Small Entity Flexibility

  SEQ CHAPTER \h \r 1 In 2002, EPA promulgated revisions to the SPCC
rule that provided benefits for small entities in several ways.  First,
EPA no longer regulates, under 40 CFR part 112, a facility having a
single container with an aboveground storage capacity greater than 660
gallons, but aggregate aboveground capacity of 1,320 gallons or less of
oil.  Second, EPA no longer regulates, under 40 CFR part 112, a
completely buried container that is subject to all of the technical
requirements of 40 CFR part 280 or a state program approved under 40 CFR
part 281.  Third, the 2002 rule includes a de minimis container size of
less than 55 gallons.  As a result, containers less than 55 gallons are
no longer included in a facility’s aboveground total storage or
use-capacity calculation and no longer need to be discussed in the SPCC
Plan.  Fourth, EPA no longer regulates, under 40 CFR part 112,
wastewater treatment facilities or parts thereof (except at oil
production, oil recovery, and oil recycling facilities) used exclusively
for wastewater treatment and not used to meet any other requirement of
the rule.  Fifth, the definition of “SPCC Plan” was modified to
allow the use of additional, appropriately cross-referenced formats that
will encourage all regulated facilities, including smaller facilities,
to take advantage of similar planning efforts conducted pursuant to
state or other federal standards.  The revisions, targeted towards
reducing the recordkeeping burden to facilities, also decreased the
burden to smaller facilities. 

The 2006 rule amendments will further reduce the burden of the SPCC
regulation, with expected benefits for small entities.  Specifically,
the rule amendments will reduce the regulatory burden on qualified
facilities and facilities with qualified oil-filled operational
equipment.  Qualified facilities with 10,000 gallons or less of
aggregate aboveground storage no longer need a licensed PE to certify
their Plans.  The amendments also allow greater use of contingency plans
without requiring an impracticability determination for facilities with
qualified oil-filled operational equipment.  Facilities that store oil
solely in motive power containers are no longer regulated, while other
facilities with oil storage in addition to motive power containers may
incur lower compliance costs.  The rule also allows mobile refuelers to
fall under the rule’s general containment requirement, which does not
require specifically sized secondary containment.  Under these
amendments, the SPCC rule compliance date will be extended for farms
until the effective date of a rule addressing whether to provide
differentiated requirements for farms.

	5(d) 	Collection Schedule

  SEQ CHAPTER \h \r 1 The SPCC rule does not require a specific
collection schedule.  However, a facility owner or operator must
prepare, amend, and implement an SPCC Plan according to the compliance
deadlines in §112.3(a), (b), and (c).  As amended on February 17, 2006
(71 FR 8462), the SPCC rule requires an owner or operator of a regulated
onshore or offshore facility that: (1) was in operation on or before
August 16, 2002, and could reasonably be expected to have a discharge as
described in §112.1(b), maintain his or her Plan, but amend it, if
necessary to ensure compliance, by October 31, 2007, and implement the
amended Plan by October 31, 2007; (2) becomes operational after August
16, 2002, through October 31, 2007, and could be expected to have a
discharge as described in §112.1(b), must prepare and implement a Plan
by October 31, 2007; or (3) becomes operational after October 31, 2007,
and could reasonably be expected to have a discharge as described in
§112.1(b), must prepare and implement a Plan before it begins
operations.  A regulated onshore or offshore mobile facility owner or
operator must amend his or her Plan, if necessary, and implement such
amendments by October 31, 2007.

The owner or operator must review the SPCC Plan once every five years. 
A periodic review is necessary to ensure that SPCC Plans reflect
currently available and proven technology and techniques for preventing
and controlling oil discharges.  

6.	ESTIMATING THE BURDEN AND COST OF THE COLLECTION

  

6(a) 	Burden and Cost Methodology and Assumptions

  SEQ CHAPTER \h \r 1 	Facility Characteristics

For the purpose of this analysis, EPA divided regulated facilities into
four size categories based on aggregate oil storage capacity (see   REF
_Ref141689305  Exhibit 2 ).  These size categories help to (1) account
for differences in the potential compliance costs experienced by
facilities of different sizes and (2) determine the number of facilities
affected by each of the changes in the rule based on facility’s
storage capacity.  

Exhibit   SEQ Exhibit \* ARABIC  2 

SPCC-Regulated Facility Size Categories

Size Category	Aggregate Capacity

I	  1,321 to 10,000 gallons

II	  10,001 to 42,000 gallons

III	  42,001 to 1 million gallons

IV	  greater than 1 million gallons

For the purposes of this ICR, facilities are also grouped into two
categories: production facilities (facilities whose operations primarily
involve oil production) and storage facilities (all other industry
groups).  This categorization of facilities reflects differences in the
estimated burden of compliance activities depending on the nature of the
facility’s operations.	

Additionally, facilities are divided into existing and new facilities,
to reflect the differences in compliance activities between these two
groups.  Existing facilities include facilities that initiated
operations prior to initiation of this ICR.  All facilities in operation
at the start of this ICR period are assumed to have prepared their SPCC
Plans.  Consequently, existing facilities are assumed to have incurred
all costs associated with initially preparing and implementing their
SPCC Plans, but some are expected to incur costs to perform a technical
five-year review, revise their SPCC Plan, submit information in the
event of certain oil discharges, and maintain the Plan and keep records.
 New facilities include those facilities that will initiate operations
during the ICR period. For the purpose of this analysis, new facilities
become existing facilities after the first year of operation.

	Estimating Burden of SPCC Plan

Per-facility burden hour estimates are based primarily on best
professional judgment by staff at ABB Environmental Services, who were
experienced in preparing SPCC Plans. The estimates were developed for
production and storage facilities in all storage-size categories, and
for clerical, technical/engineering, and management hours.  ABB
Environmental Services examined the burden associated with new Plan
preparation (site work, regulatory review, review of existing
procedures, formulating new procedures, preparing the Plan, and PE
review); Plan modification (site work, regulatory review, review of
existing procedures, formulating new or changed procedures or
recommendations, preparing the amendment, and PE review); formal review
(site work, regulatory review, review of existing procedures, preparing
the review report, and PE review); submittal of information after a
discharge; and recordkeeping requirements (maintaining the Plan, records
of inspections, and records of equipment maintenance).  

ABB Environmental Services provided their estimates prior to the
development of the economic analysis in support of the 2002 SPCC final
rule.  EPA reviewed the estimates with regional personnel involved with
the SPCC program and, on several occasions, has solicited public comment
concerning the burden estimates.  No commenter has provided more
complete data on the annual burden for required information collection
activities for typical facilities.  EPA has also consulted with contacts
from facilities affected by SPCC requirements, as well as with
engineering firms that prepare SPCC Plans, and determined that its
burden hour estimates are reasonable (see Section 3(c) of this
document).

	Estimating Facility Labor Costs

To determine the per-facility costs for typical new and existing
respondents in each facility size category, unit time estimates for
management, technical, and clerical personnel were multiplied by the
hourly wage rate for each labor category and were then added to
paperwork-related capital and operating and maintenance (O&M) costs.

The labor wage rates for private industry were derived from the
September 2005 U.S. Department of Labor’s Employment Cost Indexes and
Levels.  The 2005 wage rates include wages and salaries; benefit costs,
including paid leave, supplemental pay, insurance, retirement and
savings, legally required benefits, severance pay, and supplemental
unemployment benefits.  These wage rates reflect private industry
averages estimated by the Bureau of Labor Statistics (BLS) based on a
survey of 35,600 occupations within 8,200 establishments in the private
sector.  These wage rates reflect industry averages, which may
underestimate the actual wages received by some SPCC regulated facility
personnel but overestimate the actual wages received by other facility
personnel.  EPA further adjusted these rates to reflect overhead costs
of 17 percent.  Following are the estimated loaded wage rates used in
the analysis:

Management:  $55.7/hour;

Technical:  $47.9/hour; and

Clerical:  $25.3/hour.

Overhead rates can be calculated using various formulas.  To see how
overall costs might change under different overhead loading rate
assumptions, EPA calculated alternative overhead rates based on
recommendations in Estimating Costs for the Economic Benefits of RCRA
Noncompliance (September 1997).  This document suggests that labor
overhead and profit can be estimated at 50 to 100 percent of the base
salary and fringe benefit costs.  EPA estimated that raising the
overhead rate to 50 percent would increase the wages listed above by 28
percent.  If a 100-percent overhead rate were used, these wages would
increase by 71 percent.  The 50-percent and 100-percent alternatives may
be high because the rates include profit as well as overhead.  The
appropriate overhead loading rate is highly dependent on not only the
industry in question, but also individual businesses.  The alternative
rates are explored in the discussion of total respondent costs in
Section 6(e) of this document.

Estimating Burden of Oil Spill Contingency Plan

EPA developed a unit-cost estimate for preparing an oil spill
contingency plan, to evaluate the potential impacts of revisions to the
SPCC rule.  EPA assumed that the activities associated with preparing a
contingency plan are similar to those required by a Facility Response
Plan (FRP).  Accordingly, the hour and cost burden estimates associated
with preparing a contingency plan are based on burden estimates
developed for an FRP.  EPA assumed that the following elements would be
included in the SPCC oil spill contingency plan:

Emergency Response;

Hazard Evaluation;

Discussion of Spill Scenarios;

Discharge Detection; and

Plan Implementation.

Given fewer requirements for a contingency plan offered by the final
SPCC rule compared to the FRP requirements, the cost associated with
each of these elements was assumed to be half the FRP cost (except for
discharge detection, which was assumed to be the same).  The cost
estimates were inflated to 2005 dollars using the Bureau of Labor
Statistics’ Producer Price Index.  The typical annual cost of
preparing an oil spill contingency plan is estimated at $815.

EPA assumed that the fraction of managerial, technical, and clerical
time of the total labor burden associated with a contingency plan is the
same as that for preparing a new SPCC Plan.    REF _Ref141708022 
Exhibit 3  presents the hour and cost burden estimated for a typical oil
spill contingency plan.

Exhibit   SEQ Exhibit \* ARABIC  3 

Estimated Cost of Preparing a Typical Contingency Plan

Activity	Burden Annual (hours)	Annual Cost

	Management

($55.73/hr)	Technical

($47.91/hr)	Clerical

($25.31/hr)	Total

	Prepare a Contingency Plan	2.5	12	4.0	18.5	$815

	

Estimating Capital and Operating and Maintenance (O&M) Costs

EPA expects that facilities will incur paperwork-related capital and O&M
costs in complying with the SPCC requirements to maintain the Plan and
keep records (40 CFR 112.3 and 112.7(e)) and to submit required
information in the event of certain discharges of oil (40 CFR 112.4). 
EPA estimates that to maintain files, new facilities will purchase file
cabinets at a cost of $200.  In the event of certain discharges, the
owner or operator is required to submit information to the Regional
Administrator and the state agency in charge of oil pollution control
activities for the area in which it is located.  Consequently, the owner
or operator will incur costs for photocopying and postage.  For costing
purposes, EPA assumes that facilities will submit no more than 10 pages
for a small facility; 20 pages for a medium facility; and 40 pages for a
large facility.  Assuming the cost of photocopying to be $0.11 per page,
photocopying costs are estimated to be $2.20 for a small facility; $4.40
for a medium facility; and $8.80 for a large facility, respectively. 
EPA estimates that the cost to submit the information through the Post
Office is approximately $12.00, based on the cost to mail a two-pound
package to two different recipients.  Because only 0.15 percent of
facilities are expected to incur oil discharges that trigger an
information submission, the annual costs associated with submitting
information to EPA are not measurable for the average facility.

Some facilities are expected to incur O&M costs associated with
retaining a PE to certify their SPCC Plans, along with any subsequent
technical amendments that are made to the Plan.  In certifying the Plan,
the engineer attests to have examined the facility and that the Plan has
been prepared in accordance with good engineering practices that satisfy
the SPCC requirements found in 40 CFR part 112.  Furthermore, a PE must
certify any technical amendment to an SPCC Plan.

Not all facility owners and operators are expected to contract with a PE
to have their Plan certified.  Some facilities have in-house PEs that
can perform this task.  EPA assumed that the cost to a facility to
retain an outside PE to certify the SPCC Plan varies by the size of the
facility.  EPA assumed that Category I and Category II facilities do not
have an in-house PE who can certify a facility’s Plan and that these
facilities will retain an outside PE.  However, those Category I
facilities that qualify for the self-certification option added to the
SPCC rule in 2006 will no longer need to hire an outside PE.  EPA
assumed that 50 percent of the Category III facilities and 25 percent of
the Category IV facilities would retain an outside PE to certify their
SPCC Plans.

  REF _Ref141689613  Exhibit 4  summarizes the expected costs for
facilities of different sizes to obtain outside PE certification of a
new Plan as well as any subsequent amendments.  These unit costs reflect
updates to 2002 assumptions, based on conversations with PEs at several
engineering firms (see section 3(c)).  

Exhibit   SEQ Exhibit \* ARABIC  4 

Cost to Facilities to Retain an Outside PE for Certification

Size Category	New Plan	Amendments

I	$0 	$0 

II	$2,000 	$750 

III	$2,550 	$1,030 

IV	$3,110 	$1,310 

6(b)	  SEQ CHAPTER \h \r 1 Burden and Costs per Facility

  SEQ CHAPTER \h \r 1 This section discusses the potential
paperwork-related burden and costs to facilities affected by the
amendments to the SPCC rule.  Plan preparation costs affect new
facilities that become subject to the SPCC rule.  New facilities include
those facilities that will initiate operations during the ICR period. 
Owners or operators of new facilities are assumed to incur the total
cost of preparing a Plan in their first year.  In addition to preparing
or reviewing SPCC Plans, owners or operators of all new and existing
facilities will incur costs to prepare and maintain records.

EPA assumes that the formal five-year review of SPCC Plans will affect
one-fifth of all existing facilities annually – i.e., owners or
operators of one-fifth of all existing facilities will undergo their
formal five-year review of their Plans in each year of the ICR period. 
The total cost incurred by existing facilities for this review is
greater if, following the review, the facility owner or operator must
amend his or her Plan.  Based on best professional judgment, EPA
estimated that 3 percent of all existing facilities under the baseline
scenario would be required to amend their Plan as a result of five-year
reviews.

Owners or operators of some new and existing facilities will submit
information as a result of discharging oil and others will need to
revise their Plan during the ICR period.  For the 2002 rule ICR, based
on spill data obtained from the Emergency Response Notification System
database, EPA estimated that approximately 0.15 percent of all
facilities would incur costs each year due to reporting requirements
related to an oil discharge (see §112.4(a)).  In addition, based on
conversations with EPA regional personnel involved with the SPCC
program, EPA estimated that approximately 10 percent of all facilities
would revise their Plan each year to address §§112.5(a) or (c) or
§112.4(d). 

  REF _Ref141694923  Exhibit 5  through   REF _Ref141694931  Exhibit 8 
provides average burden and cost estimates for existing and new
facilities.  For existing facilities, the following activities are
included:  five-year review - §112.5(b); information submission in the
event of certain oil discharges - §112.4(c); Plan modification -
§112.5(a); technical amendments - §112.5(c); Plan amendment -
§112.4(d); and recordkeeping.  For newly regulated facilities,
paperwork-related activities include SPCC Plan preparation - §112.3(a);
oil spill contingency plan preparation - §112.7(d); information
submission in the event of certain oil discharges - §112.4(c); Plan
modification - §112.5(a); technical amendments - §112.5(c); Plan
amendment - §112.4(d); and recordkeeping §112.7(e).  The activity
called “Revise the SPCC Plan” includes all changes to the Plan,
whether in response to §112.5(a) or (c) or §112.4(d).  Revisions
resulting from the five-year review are captured under “Review the
SPCC Plan”.

The option to self-certify a facility-specific SPCC Plan according to
the requirements in §112.6(b) is available to any qualified facility
having 10,000 gallons or less in storage capacity. EPA assumed that all
new qualified facilities with storage capacity of less than 10,001
gallons would self-certify the Plan instead of having it certified by a
PE.  The Agency also assumed that under the new requirements, owners and
operators of all existing qualified facilities would not use a PE to
certify a technical amendment to their Plan.

The costs presented in   REF _Ref141694923  Exhibit 5  through   REF
_Ref141694931  Exhibit 8  represent the average costs for facilities of
different sizes, accounting for the probability that certain facilities
will incur those costs (e.g., five-year reviews affect one-fifth of
existing facilities) and for the estimated overlap between federal and
state requirements.  Low probability costs (e.g., complying with
§112.4(c)) distributed across many facilities yield only nominal
per-facility average costs, particularly when state overlap is taken
into consideration.

The state overlap assumptions are based on research conducted for the
2002 SPCC rule and are described in the regulatory impact analysis for
the 2006 final rule.   Each state has its own regulations regarding the
storage, handling, and containment of oil.  In some cases, the effort
required by these state regulations may be the same as what is required
by SPCC.  Overall, in 2002 EPA found that 5.9 percent of facilities are
in states with complete overlap; about 5.6 percent of facilities in
states with substantial overlap; and about 5.7 percent of facilities in
states with partial overlap.  To develop the burden estimates, EPA
multiplied the hours burden by both the percentage of facilities in each
overlap category and the degree of overlap (i.e., 100 percent for
complete overlap, 75 percent for substantial overlap, and 50 percent for
partial overlap).  As part of the regulatory impact analysis for the
2006 amendments to the SPCC rule, EPA studied the overlap of state
regulations to determine whether to adjust the estimate to account more
accurately for recent changes in state requirements and/or refine the
previously generated estimates.  As a result of this review, EPA
concluded that there was non-compelling evidence to adjust the current
overlap estimate between the SPCC rule and state regulations.

	Total Annual Burden per Average Respondent

Once the unit burden hours were determined for each compliance activity
undertaken by the average facility in each size category, EPA calculated
the total annual burden by summing the unit estimates for all compliance
activities.  The annual burden for an average facility differs for each
size category based on the assumed differences in the complexity of the
facility and its operations.  The estimated annual burden hours for an
average respondent in each size category for existing and new facilities
are presented in   REF _Ref141694923  Exhibit 5  through   REF
_Ref141694931  Exhibit 8 .

	Total Annual Cost per Average Respondent

In estimating the per-respondent costs for existing and new facilities
in each size category, EPA calculated the unit cost for each compliance
activity performed by the average facility.  These average per-facility
costs are shown in the right-hand column of   REF _Ref141694923  Exhibit
5  through   REF _Ref141694931  Exhibit 8 .  To estimate the cost for
each compliance activity performed by the average respondent facility in
each size category under the rule, EPA multiplied the unit time
estimates for management, technical, and clerical personnel by the
hourly wage rate for each labor category and then added the result to
the paperwork-related capital and O&M costs.  For the average existing
facility, following are the estimated total annual costs for all
information collection activities required by the regulation:

Category I: $157 per facility;

Category II: $219 per facility;

Category III: $204 per facility; and

Category IV: $350 per facility.

For the average new facility, following are the estimated total annual
costs for all information collection activities required by the
regulation:

Category I: $1,929 per facility;

Category II: $3,862 per facility;

Category III: $3,420 per facility; and

Category IV: $3,861 per facility.

Estimated annual costs for new facilities are higher than those for
existing facilities because of the greater expenses associated with
preparing a new SPCC Plan and oil spill contingency plan.	

	

Exhibit   SEQ Exhibit \* ARABIC  5 

Annual Burden and Unit Costs for All Required Information Collection
Activities

Average Category I Facility

Activity	Annual Burden Hours1	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost2

	Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	0.2	0.6	0.1	0.9	$0	$0	$40

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.4	0.1	0.5	$0	$0	$22

Maintain the SPCC Plan and Keep Records	0.0	1.7	0.5	2.2	$0	$0	$95

TOTAL	0.2	2.7	0.7	3.5	$0	$0	$157

New Facilities

Prepare an SPCC Plan	5.4	23.3	3.6	32.3	$0	$0	$1,510

Prepare a Contingency Plan	0.7	3.5	1.0	5.1	$0	$0	$226

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.4	0.1	0.5	$0	$0	$22

Maintain the SPCC Plan and Keep Records	0.0	1.7	0.5	2.2	$76	$0	$171

TOTAL	6.1	28.9	5.1	40.1	$76	$0	$1,929

1 Unit burden estimates are weighted averages, rounded to the nearest
tenth of an hour, based on the distribution of storage and production
facilities and the number of facilities estimated to perform each
activity during the one-year period.  The numbers in this exhibit may
not add precisely due to rounding. 

2 Annual costs are rounded to the nearest dollar.

3 The unit burden for a facility that needs to submit information
because of a discharge is estimated to be one hour of management labor
and one hour of technical labor, resulting in a total unit cost of $104.
 Because only 0.15 percent of all facilities are expected to meet the
discharge criteria and submit information, the average unit burden is
less than 0.1 hours, and is therefore indicated here as 0.  However, the
actual unit burden and cost estimates are used in later calculations.

Exhibit   SEQ Exhibit \* ARABIC  6 

Annual Burden and Unit Costs for All Required Information Collection
Activities

Average Category II Facility

Activity	Annual Burden Hours1	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost2

	Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	0.2	0.7	0.1	1.0	$0	$5	$50

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.4	0.1	0.5	$0	$68	$90

Maintain the SPCC Plan and Keep Records	0.0	1.4	0.5	1.9	$0	$0	$80

TOTAL	0.2	2.5	0.7	3.3	$0	$72	$219

New Facilities

Prepare an SPCC Plan	5.4	24.8	3.6	33.8	$0	$1,809	$3,389

Prepare a Contingency Plan	0.7	3.5	1.0	5.1	$0	$0	$226

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.4	0.1	0.5	$0	$68	$90

Maintain the SPCC Plan and Keep Records	0.0	1.4	0.5	1.9	$76	$0	$156

TOTAL	6.1	30.1	5.1	41.3	$76	$1,877	$3,862

1 Unit burden estimates are weighted averages, rounded to the nearest
tenth of an hour, based on the distribution of storage and production
facilities and the number of facilities estimated to perform each
activity during the one-year period.  The numbers in this exhibit may
not add precisely due to rounding. 

2 Annual costs are rounded to the nearest dollar.

3 The unit burden for a facility that needs to submit information
because of a discharge is estimated to be one hour of management labor
and one hour of technical labor, resulting in a total unit cost of $104.
 Because only 0.15 percent of all facilities are expected to meet the
discharge criteria and submit information, the average unit burden is
less than 0.1 hours, and is therefore indicated here as 0.  However, the
actual unit burden and cost estimates are used in later calculations.

Exhibit   SEQ Exhibit \* ARABIC  7 

 Annual Burden and Unit Costs for All Required Information Collection
Activities

Average Category III Facility

Activity	Annual Burden Hours1	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost2

	Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	0.2	1.0	0.2	1.4	$0	$3	$68

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.3	0.1	0.4	$0	$39	$57

Maintain the SPCC Plan and Keep Records	0.0	1.4	0.4	1.8	$0	$0	$78

TOTAL	0.2	2.8	0.7	3.6	$0	$42	$204

New Facilities

Prepare an SPCC Plan	4.5	34.4	4.5	43.5	$0	$966	$2,982

Prepare a Contingency Plan	0.7	3.5	1.0	5.1	$0	$0	$226

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.3	0.1	0.4	$0	$39	$57

Maintain the SPCC Plan and Keep Records	0.0	1.4	0.4	1.8	$76	$0	$154

TOTAL	5.2	39.6	6.0	50.8	$76	$1,005	$3,420

1 Unit burden estimates are weighted averages, rounded to the nearest
tenth of an hour, based on the distribution of storage and production
facilities and the number of facilities estimated to perform each
activity during the one-year period.  The numbers in this exhibit may
not add precisely due to rounding. 

2 Annual costs are rounded to the nearest dollar.

3 The unit burden for a facility that needs to submit information
because of a discharge is estimated to be one hour of management labor
and one hour of technical labor, resulting in a total unit cost of $104.
 Because only 0.15 percent of all facilities are expected to meet the
discharge criteria and submit information, the average unit burden is
less than 0.1 hours, and is therefore indicated here as 0.  However, the
actual unit burden and cost estimates are used in later calculations.

 Annual Burden and Unit Costs for All Required Information Collection
Activities

Average Category IV Facility

Activity	Annual Burden Hours1	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost2

	Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	0.2	1.6	0.2	2.1	$0	$2	$97

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.3	0.1	0.4	$0	$22	$38

Maintain the SPCC Plan and Keep Records	0.0	4.3	0.3	4.6	$0	$0	$215

TOTAL	0.2	6.3	0.6	7.1	$0	$24	$350

New Facilities

Prepare an SPCC Plan	4.0	50.7	5.3	60.0	$0	$517	$3,305

Prepare a Contingency Plan	0.7	3.5	1.0	5.1	$0	$0	$226

Submit Information in the Event of Certain Discharges of Oil3	0.0	0.0
0.0	0.0	$0	$0	$0

Revise the SPCC Plan	0.0	0.3	0.1	0.4	$0	$22	$38

Maintain the SPCC Plan and Keep Records	0.0	4.3	0.3	4.6	$76	$0	$291

TOTAL	4.6	58.8	6.7	70.1	$76	$539	$3,861

1 Unit burden estimates are weighted averages, rounded to the nearest
tenth of an hour, based on the distribution of storage and production
facilities and the number of facilities estimated to perform each
activity during the one-year period.  The numbers in this exhibit may
not add precisely due to rounding. 

2 Annual costs are rounded to the nearest dollar.

3 The unit burden for a facility that needs to submit information
because of a discharge is estimated to be one hour of management labor
and one hour of technical labor, resulting in a total unit cost of $104.
 Because only 0.15 percent of all facilities are expected to meet the
discharge criteria and submit information, the average unit burden is
less than 0.1 hours, and is therefore indicated here as 0.  However, the
actual unit burden and cost estimates are used in later calculations.

Exhibit   SEQ Exhibit \* ARABIC  8 

6(c) 	Estimating Agency Burden and Costs

  SEQ CHAPTER \h \r 1 EPA incurs costs associated with the evaluation of
information submitted in accordance with §112.4 as well as
consideration of appeals.  This section summarizes the estimated burden
and cost of these activities to EPA.  Burden estimates are based on
input from EPA regional staff involved directly with the implementation
of 40 CFR part 112.    REF _Ref141690222  Exhibit 9  shows the total
burden and labor cost to EPA.  As described in Section 6(b), EPA assumed
that 0.15 percent of regulated facilities would submit information to
EPA for review. 

EPA labor costs are based on the 2006 General Schedule (GS) pay
schedule.  EPA estimates an average hourly labor cost (labor plus
overhead) of $58.2 for managerial staff (GS-13, Step-5), and $40.9 for
technical staff (GS-11, Step-5).  To derive hourly estimates, EPA
divided annual compensation estimates by 2,080, which represents the
number of hours in the federal work year.  EPA then multiplied hourly
rates by the standard government overhead factor of 1.6.  Unit costs
were calculated as unit time estimates multiplied by the hourly labor
rates for EPA personnel.  

Exhibit   SEQ Exhibit \* ARABIC  9 

Estimated Annual Burden and Cost to EPA

Activity	Burden Hours	Total Cost

	Managerial	Technical	Clerical	Total

($58.23)	($40.86)

	Plans Evaluation	669	6,692	0	7,361	$312,419 

Review of Comments	335	335	0	669	$33,158 

Consideration of Appeals	535	0	0	535	$31,177 

Total	1,540	7,030	0	8,570	$377,000 

Note:  Totals are rounded to three significant figures.

	6(d)	Estimating the Respondent Universe

  SEQ CHAPTER \h \r 1   SEQ CHAPTER \h \r 1 This section describes the
universe of facilities subject to SPCC regulations.  Estimating the
number of regulated entities is not straightforward.  The SPCC rule does
not include a notification requirement and, with certain exceptions,
owners and operators do not submit their SPCC Plans to EPA.

	Previously Developed Estimates

	

  SEQ CHAPTER \h \r 1 In 1991, EPA published the “Spill Prevention,
Control, and Countermeasures Facilities Study,” which summarized
information on small, medium, and large facilities in 16 industry
sectors that store oil aboveground and underground.  For each of these
sectors, EPA collected and evaluated data from 10 states on medium and
large facilities.  Information on small facilities came from New York. 
In the end, the 1991 study estimated the number of facilities based on
extrapolation of data from four state databases (Illinois, California,
Maryland, and New York) to the nation.

In 1995, EPA conducted a survey of approximately 30,000 facilities in
the industries covered by the 1991 study.  The 1995 survey yielded
detailed information about the oil storage characteristics of the
surveyed facilities, and was designed to allow statistical extrapolation
to a broader universe.  EPA compared the results of the 1995 survey to
the 1991 facility study and to a 1989 American Petroleum Institute
report and calculated a 1996 Adjusted National Estimate, which has been
the basis of EPA’s approximation of the number of facilities regulated
by the SPCC Program.

	Current Estimation Methodology 

	

  SEQ CHAPTER \h \r 1 EPA has updated its estimates of the number of
facilities regulated by the SPCC rule, based on recent federal, state,
and proprietary data on facilities that store or handle oil.  The
estimates of the SPCC universe were developed for 30 industry sectors,
including (but not limited to) those listed in   REF _Ref141689202 
Exhibit 1 .  For sectors without reliable national-level data, the basic
estimation procedure involved extrapolating from eight state databases
using information from the U.S. Census Bureau.

	Estimates based on state-level data

  SEQ CHAPTER \h \r 1 For many industry sectors affected by the SPCC
rule, the basic estimation procedure used to update the regulated
universe was similar to that used in the 1991 facilities study.  EPA
used eight primary state databases (Florida, Kansas, Maryland,
Minnesota, New York, Oklahoma, Virginia, and Wisconsin) to determine the
number of SPCC-regulated facilities in the state for each industry
sector.

The information in state databases was matched with the Dun & Bradstreet
(D&B) Market Spectrum database to assign industry sectors.  To
extrapolate the estimates to the entire country, these values were
multiplied by a facility ratio.  The facility ratio was estimated as the
number of SPCC-regulated facilities in the eight states for an industry
sector divided by the total number of facilities reported for that
industry sector in those states.  

	Estimates based on national-level data

Because of the availability of federal and proprietary data, EPA used a 
SEQ CHAPTER \h \r 1  different estimation approach for the following
industry sectors: petroleum bulk stations and terminals; fuel oil
dealers; pipelines; petroleum refinery and related industries; oil and
gas production; farms; electric utilities; and manufacturing facilities
handling or storing animal fats and vegetable oils.  These sectors
represent 70 percent of the facilities affected by the SPCC rule.

The 2002 Economic Census was used to estimate the number of regulated
facilities for the petroleum bulk stations and terminals, fuel oil
dealers, pipelines, and petroleum refinery and related industries.  As
in previous analyses, all facilities in these industries were assumed to
be regulated under the SPCC rule.

EPA assumed all oil production facilities are regulated under the SPCC
rule.  Certain gas production facilities may also be regulated, given
that some gas wells have tanks for storing condensate oil generated
during the gas-production process.  EPA used Energy Information
Administration (EIA) data to estimate the total number of oil-production
wells as well as gas wells that produce condensate oil.  All active
wells that were producing in 2004 are considered in the analysis.  The
EIA database contains historical data on oil and gas wells, including
marginal wells, compiled from government and commercial sources.  EIA
provides data on oil and oil-condensate produced at oil and gas
production wells according to various production-rate classes.  Gas
wells that do not produce oil condensate are not included.  To convert
the number of wells that produce oil and oil condensate to the total
number of SPCC-regulated production facilities, EPA assumed four wells
per facility based on personal communication with industry experts. 
Under this assumption, EPA estimated that approximately 166,000 oil
production facilities are SPCC-regulated.

The number of farms was calculated based on Census of Agriculture data
on production expenses related to petroleum-related purchases from 2002
and 1997 and on diesel storage data from 1982.  In the 2002 Census of
Agriculture, expenditure data are available only in aggregate for all
fuels.  To arrive at the expenditure on diesel (gasoline) in 2002, EPA
multiplied the total expenditure on fuels in 2002 by the ratio of diesel
(gasoline) expenditure to total expenditure from the 1997 data.  The
Agency assumed that the percentage of diesel (gasoline) expenditure
remained the same from 1997 through 2002.  Finally, the total quantity
of diesel (gasoline) purchased in 2002 was calculated by dividing the
expenditure on diesel (gasoline) by diesel (gasoline) prices.  Using
1982 data on fuel storage and expenditures on farms, the ratio of diesel
(gasoline) storage with respect to the annual quantity of diesel
(gasoline) purchased was calculated.  On average approximately one-fifth
of the annual quantity of diesel purchased and about one fourth of the
annual quantity of gasoline purchased is stored on farms.  Since no data
were available on the type of storage (i.e., aboveground or underground)
EPA assumed that the entire storage is aboveground.  The expenditure
ranges were converted to capacity ranges and assigned to a percentage of
farms that are regulated within the capacity ranges.

EPA calculated the number of SPCC-regulated electric utility plants as a
combination of the number of substations and the number of power plants
in the United States.  All electricity generation facilities and
substations are assumed to contain enough oil to be subject to SPCC
requirements.  The number of electric utility plants was estimated based
on data reported by the Energy Information Administration (EIA).  The
number of substations was estimated based on the number of substations
listed by each major utility reporting to the Federal Energy Regulatory
Commission (FERC).  A national estimate was extrapolated from these data
using the ratio of the megawatt hours sold by utilities to the estimated
total retail megawatt hours of electricity sold nationwide according to
the EIA.

Facilities handling or storing non-petroleum oil are also subject to
SPCC regulations.  Non-petroleum oils include, but are not limited to,
animal fats and oils and greases, or fish and marine mammal oils; and,
oils of vegetable origin, including oils from seeds, nuts, fruits, and
kernels.  To estimate the number of facilities that could produce or
store animal fat or vegetable oil, EPA used data on the number of
manufacturing establishments from the 2005 U.S. Census of Manufacturing.
 Four possible types of AFVO facilities were considered:  (1) industries
that produce AFVO; (2) industries that use AFVO as a primary input; (3)
industries that use AFVO in moderate amounts; and (4) industries that
use AFVO as a minor component of their input.  EPA assumed that all
facilities that produce AFVO (group 1) are SPCC-regulated.  Then, low,
medium, and high estimates were developed using professional judgment
for industries in the remaining three groups regarding the percentage of
each industry group assumed to be regulated by the SPCC rule.  EPA also
identified a category of “other” facility types that may produce or
use AFVO.  For these facilities, specific information on the number of
regulated facilities was available and was used instead of the assumed
percentages.  This methodology yielded estimates of the number of
facilities that may be regulated based only on their storage of AFVO. 
Some of these facilities are probably regulated because they also store
petroleum oils.

 	Industry Growth Rates

To project the number of existing and new facilities regulated under the
SPCC rule over the ICR period, EPA used industry-specific growth rates
for new and existing facilities.  EPA’s previous approach was to apply
a uniform one-percent growth rate across all sectors, which did not
account for significant variations (including negative growth rates)
among the sectors.

To estimate industry-specific growth rates for existing facilities of
all SPCC-related industry categories except farms and oil production,
EPA used 1992, 1997, and 2002 U.S. Economic Census data on the number of
establishments in each industry.  The use of an extended time period to
estimate industry-specific growth rates attempted to account for diverse
economic conditions under which SPCC-regulated industries operate.  To
estimate annual growth rates for agricultural establishments, EPA used
data reported by the USDA National Agricultural Statistics Service on
the number of farms in the United States over the past 10 years (1996
through 2005).  The data for the past 10 years were expected to be more
representative of the latest developments in the agricultural business
than data for years prior to 1996. 

EPA estimated the growth rates for new facilities only using
commercially available data obtained on the number of businesses (by
NAICS code) in 2005 from the D&B Market Spectrum database.  These data
allowed for an estimation of the fraction of businesses that became
operational in 2005 relative to the total number of businesses in that
year.  This analysis assumed that industry growth rates would be
constant over the 10-year analytical period for all industries except
oil production, which may or may not adequately represent the trends for
individual sectors.

Because oil production facilities account for the largest fraction of
SPCC-regulated facilities across all industry categories and represent a
dynamic industry, an alternative approach was used for estimating future
oil production industry growth rates.  EPA relied on industry-specific
forecasting information, which was expected to reflect growth rates
better than an approach based on historical trends.  EPA estimated
annual growth rates for the oil production facilities relying on
historical and forecasted U.S. oil production data and historical number
of oil wells.  The approach used to estimate the growth rates for oil
production facilities is described in the regulatory impact analysis for
the 2006 final rule.      SEQ CHAPTER \h \r 1   

In total, EPA estimates that 571,000 facilities fall under the SPCC
rule.  Oil production facilities (29 percent), farms (27 percent), and
electric utilities (9 percent) account for the majority of
SPCC-regulated facilities.

	Facilities Affected by Rule Revisions

Qualified Facilities:  EPA is providing an option to allow owner or
operators of facilities that store less than 10,000 gallons of oil and
meet other qualifying criteria to self-certify their SPCC Plans, in lieu
of review and certification by a Professional Engineer (PE).  EPA
estimates that approximately 327,000 facilities with oil storage
capacities of 10,000 gallons or less will be subject to SPCC in the
first year of the amended rule.  To evaluate the extent to which
qualified facilities might not be eligible for relief, EPA examined
National Response Center (NRC) spill data to identify oil discharges
involving storage tanks of at least 55 gallons and where the volume
spilled was at least 42 gallons but not more than 10,000 gallons.  Given
the low number of spills, EPA assumed that all facilities with oil
storage capacities of 10,000 gallons or less would take advantage of the
lessened requirements for qualified facilities.

Facilities with Oil-Filled Operational Equipment:  The rule amendments
allow owners and operators of facilities with qualified oil-filled
operational equipment to prepare an oil spill contingency plan and a
written commitment of manpower, equipment and material, without having
to determine that secondary containment is impracticable.  EPA assumed
that existing SPCC-regulated facilities with qualified oil-filled
operational equipment would already have secondary containment installed
or a determination of the impracticability of secondary containment. 
Therefore, EPA expects only new facilities to take advantage of the
reduced requirements.  To estimate the number of facilities that have
qualified OFE, EPA arbitrarily developed three scenarios whereby 25
percent, 50 percent, and 75 percent of the facilities in sectors thought
to have oil-filled operational equipment may be affected by the final
rule.  For this ICR,   SEQ CHAPTER \h \r 1 EPA assumed that 50 percent
of facilities in industries with OFE would take advantage of the offered
flexibility.  Under this assumption, EPA estimated that the total number
of new facilities with oil-filled operational equipment would be
approximately 4,340 in the first year.

Farms, Mobile Refuelers, AFVO Facilities:  EPA is extending the
compliance dates for farms while the Agency considers whether this
sector warrants differentiated requirements under the SPCC rule. 
Therefore, farms will only incur the burden of discovering they have an
extension; EPA has not included this relatively modest burden in this
ICR.  The Agency did not change its paperwork burden estimates
associated with amendments to requirements for certain motive power
containers, mobile refuelers, and facilities that handle, store, or
transport animal fats and vegetable oils.

  SEQ CHAPTER \h \r 1   REF _Ref141690303  

Exhibit 10  presents the estimated number of existing and new
SPCC-regulated facilities that are expected to incur paperwork-related
burden associated with the amendments to the SPCC rule. 

Exhibit   SEQ Exhibit \* ARABIC  10 

Number of Existing and New Facilities

(First Year)

Facility Type	Category I (1,320-10,000 gallons)	Category II
(10,001-42,000 gallons)	Category III (42,001 to 1 million gallons)
Category IV (>1 million gallons)	Total

 	Storage	149,931	64,975	32,410	2,878	250,000

Existing	Production	21,235	114,433	30,083	295	166,000

 	Total	171,000	179,000	62,500	3,170	416,000

 	Storage	4,027	1,918	876	69	6,890

New	Production	1,371	7,390	1,943	19	10,700

 	Total	5,398	9,308	2,819	88	17,600

Total	177,000	189,000	65,300	3,260	434,000

Note:  Totals are rounded to three significant figures.

	6(e)	Estimated Total Annual Burden for All Respondents

  SEQ CHAPTER \h \r 1 The total hour burden is estimated as the average
per-facility burden multiplied by the number of affected facilities. 
Similarly, the total cost burden for all respondents is estimated by
multiplying the number of facilities in each size category by the unit
costs for each compliance activity.  The total annual burden and costs
for all respondents in each category are presented in   REF
_Ref141695125  Exhibit 12  through   REF _Ref141695135  Exhibit 15  for
each facility size.  The annual average total burden is estimated at 2.2
million hours; the annual average total cost is estimated at $134
million.

	

	

Alternative Estimates

	

EPA also calculated alternative cost estimates based on higher overhead
rates for labor costs, which are presented in   REF _Ref141690364 
Exhibit 11 .  The primary estimates are based on a 17 percent overhead
rate and the alternatives are calculated assuming a 50 percent overhead
rate and a 100 percent overhead rate.  The discussion of facility labor
costs in section 6(a) describes how the overhead rates affect wage
rates.  Under the primary assumption, the estimated total annualized
burden of the information collection is $134 million.  Under the
alternative assumptions, the estimated total burden ranges from $161 to
$204 million.

Exhibit   SEQ Exhibit \* ARABIC  11 

Alternative Total-Cost Measures

(millions of dollars)

Assumption	Labor	Capital	O&M	Total

	Baseline Burden

17% Overhead	$98.1 	$1.40 	$34.3 	$134 

50% Overhead	$126 	$1.40 	$34.3 	$161 

100% Overhead	$168 	$1.40 	$34.3 	$204 

Note:  Values are rounded to three significant figures.



Exhibit   SEQ Exhibit \* ARABIC  12 

Annual Average Total Burden and Costs

Category I Facilities 

Activity	Annual Burden Hours	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost

Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	35,025	96,637	19,089	150,751	$0	$0	$7,064,968

Submit Information in the Event of Certain Discharges of Oil	262	262	0
525	$4,261	$0	$31,464

Revise the SPCC Plan	0	71,272	15,838	87,110	$0	$0	$3,815,575

Maintain the SPCC Plan and Keep Records	0	303,824	79,191	383,016	$0	$0
$16,560,788

TOTAL	35,300	472,000	114,000	621,000	$4,260	$0	$27,500,000

New Facilities

Prepare an SPCC Plan	28,680	123,144	19,120	170,945	$0	$0	$7,982,174

Prepare a Contingency Plan	3,447	18,297	5,060	26,804	$0	$0	$1,196,772

Submit Information in the Event of Certain Discharges of Oil	8	8	0	16
$129	$0	$950

Revise the SPCC Plan	0	2,151	478	2,629	$0	$0	$115,156

Maintain the SPCC Plan and Keep Records	0	9,170	2,390	11,560	$460,465	$0
$960,276

TOTAL	32,100	153,000	27,000	212,000	$461,000	$0	$10,300,000

Note: Totals have been rounded to three significant figures.

Exhibit   SEQ Exhibit \* ARABIC  13 

Annual Average Total Burden and Costs

Category II Facilities 

Activity	Annual Burden Hours	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost

Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	37,442	122,541	20,406	180,388	$0	$842,438
$9,316,468

Submit Information in the Event of Certain Discharges of Oil	281	281	0
561	$4,555	$0	$33,635

Revise the SPCC Plan	0	76,189	16,931	93,120	$0	$12,698,190	$16,776,999

Maintain the SPCC Plan and Keep Records	0	267,497	84,655	352,152	$0	$0
$14,958,563

TOTAL	37,700	467,000	122,000	626,000	$4,560	$13,500,000	$41,100,000

New Facilities

Prepare an SPCC Plan	44,555	203,333	29,703	277,591	$0	$14,851,641
$27,828,251

Prepare a Contingency Plan	5,355	28,424	7,861	41,640	$0	$0	$1,859,189

Submit Information in the Event of Certain Discharges of Oil	12	12	0	25
$200	$0	$1,475

Revise the SPCC Plan	0	3,342	743	4,084	$0	$556,937	$735,831

Maintain the SPCC Plan and Keep Records	0	11,732	3,713	15,445	$715,333
$0	$1,371,409

TOTAL	49,900	247,000	42,000	339,000	$716,000	$15,400,000	$31,800,000

Note: Totals have been rounded to the three significant figures.



Exhibit   SEQ Exhibit \* ARABIC  14 

Annual Average Total Burden and Costs

 Category III Facilities

Activity	Annual Burden Hours	Total Burden Hours	Capital/Startup Costs
O&M Costs	Annual Cost

	Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	12,902	66,011	13,289	92,201	$0	$199,333	$4,417,287

Submit Information in the Event of Certain Discharges of Oil	97	97	0	193
$1,813	$0	$11,833

Revise the SPCC Plan	0	21,995	4,888	26,883	$0	$2,517,188	$3,694,689

Maintain the SPCC Plan and Keep Records	0	91,717	24,439	116,156	$0	$0
$5,012,790

TOTAL	13,000	180,000	42,600	235,000	$1,810	$2,720,000	$13,100,000

New Facilities

Prepare an SPCC Plan	11,533	87,224	11,533	110,290	$0	$2,450,737
$7,564,323

Prepare a Contingency Plan	1,654	8,782	2,429	12,865	$0	$0	$574,424

Submit Information in the Event of Certain Discharges of Oil3	4	4	0	8
$71	$0	$465

Revise the SPCC Plan	0	865	192	1,057	$0	$98,991	$145,297

Maintain the SPCC Plan and Keep Records	0	3,607	961	4,568	$221,013	$0
$418,145

TOTAL	13,200	100,000	15,100	129,000	$221,000	$2,550,000	$8,700,000

Note: Totals have been rounded to three significant figures.

Exhibit   SEQ Exhibit \* ARABIC  15 

Annual Average Total Burden and Costs

Category IV Facilities

Activity	Annual Burden Hours	Total Burden Costs	Capital/ Startup Costs
O&M Costs	Annual Cost

Management	Technical	Clerical

	($55.73/hr)	($47.91/hr)	($25.31/hr)

Existing Facilities

Review the SPCC Plan	636	5,236	655	6,528	$0	$6,252	$309,158

Submit Information  in the Event of Certain Discharges of Oil	5	5	0	10
$89	$0	$584

Revise the SPCC Plan	0	953	212	1,165	$0	$69,353	$120,368

Maintain the SPCC Plan and Keep Records	0	13,718	1,059	14,777	$0	$0
$684,040

TOTAL	641	19,900	1,930	22,500	$89	$75,600	$1,110,000

New Facilities

Prepare an SPCC Plan	342	4,345	456	5,143	$0	$44,325	$283,113

Prepare a Contingency Plan	56	297	82	434	$0	$0	$19,395

Submit Information in the Event of Certain Discharges of Oil	0	0	0	0	$2
$0	$16

Revise the SPCC Plan	0	26	6	31	$0	$1,867	$3,241

Maintain the SPCC Plan and Keep Records	0	369	29	398	$7,463	$0	$25,878

TOTAL	398	5,040	572	6,010	$7,470	$46,200	$332,000

  Note:  Totals have been rounded to three significant figures.

	6(f)	Bottom Line Burden and Cost Tables

The total estimated burden hours and costs incurred by all new and
existing facilities are summarized in   REF _Ref141690606  Exhibit 16 . 
The exhibit shows the burden and cost components for each year of this
ICR, along with total and annualized costs. 

Exhibit   SEQ Exhibit \* ARABIC  16 

Estimated Total Burden and Costs for Facilities

Year	Total Burden (million hours)	Total Cost (millions)

Labor	Capital	O&M	Total

First	2.20	99.0	1.40	36.0	136

Second	2.10	94.0	1.10	31.2	126

Third	2.30	101	1.30	35.8	139

TOTAL	6.60	294	3.70	103	401

ANNUALIZED	2.20	98.1	1.40	34.3	134

  Note:  Values are rounded to three significant figures and may not sum
to the total.

	6(g) 	Reasons for the Change in Burden

  SEQ CHAPTER \h \r 1 Differences in burden and costs from the previous
ICR are attributed to both adjustments and program changes.  Adjustments
capture updates to the number of affected facilities, wages, and unit
costs in the absence of the 2006 SPCC amendments.  Program changes
reflect the 2006 revisions to the SPCC rule, which affect both
per-facility costs and the number of affected facilities.  Changes in
the paperwork burden attributed to SPCC rule revisions include the
following three elements:

  SEQ CHAPTER \h \r 1 Extending the compliance dates for farms with any
oil storage capacity reduces the number of affected respondents.  Owners
and operators of farms would only incur the relatively modest burden of
determining that they qualify for the extension.  

Qualified facilities will reduce their paperwork-related burden as a
result of revisions to the rule that allows owners or operators of
facilities to self-certify their SPCC Plans in lieu of certification by
a PE.  Therefore, qualified facilities are expected to save the cost of
PE certification.  EPA estimates that approximately 327,000 facilities
with aggregate oil storage capacity of 10,000 gallons or less will take
advantage of this amendment to the rule.

Facilities with qualified oil-filled operational equipment can prepare
an oil spill contingency plan with a written commitment of resources
rather than provide secondary containment.  New facilities with
qualified oil-filled operational equipment can choose to take advantage
of this option to save the difference between the cost of secondary
containment and the cost of preparing a contingency plan.  This
regulatory change introduces an additional paperwork burden but lowers
the overall compliance cost associated with the SPCC rule since
preparing a contingency plan   SEQ CHAPTER \h \r 1 with a written
commitment of manpower, equipment and materials is less costly than
providing secondary containment.  EPA estimates that approximately 4,340
facilities with qualified oil-filled operational equipment will take
advantage of this change.

  REF _Ref141690501  \* MERGEFORMAT  Exhibit 17  presents program
changes attributed to the SPCC rule amendments.  In total, the burden
hours presented in this ICR have decreased relative to the current OMB
inventory.  The new burden estimate shows an annualized decrease of
approximately 195,000 hours due to a smaller number of facilities
expected to incur paperwork-related costs.  The annualized capital and
O&M costs are estimated to decrease with the rule by $16.0 million,
mainly due to the revisions made to the estimate of the per-facility
costs and the number of new SPCC-regulated facilities.

Exhibit   SEQ Exhibit \* ARABIC  17 

Estimated Annualized Burden and Costs Comparison

 	Annualized Burden Hours	Annualized Capital and O&M Costs (Thousands)

Current OMB Inventory Burden	      2,385,701 	       51,759 

Change in Burden

	Adjustment

	Program Change	-194,632

309,628

-504,260	-16,007

20,017

-36,024

SPCC Rule Collection Burden	2,191,069	35,752

	6(h) 	Burden Statement

	

The annual public reporting and recordkeeping burden for this collection
of information for newly regulated facilities is estimated to range from
40.1 to 70.1 hours per facility, with an average burden of approximately
42.5 hours per response.  The net annual public reporting and
recordkeeping burden for facilities already regulated by the rule is
estimated to range from 3.3 to 7.1 hours, with an average burden of
approximately 3.5 hours.

Burden means the total time, effort, or financial resources expended by
persons to generate, maintain, retain, or disclose or provide
information to or for a Federal agency.  This includes the time needed
to review instructions; develop, acquire, install, and utilize
technology and systems for the purposes of collecting, validating, and
verifying information, processing and maintaining information, and
disclosing and providing information; adjust the existing ways to comply
with any previously applicable instructions and requirements; train
personnel to be able to respond to a collection of information; search
data sources; complete and review the collection of information; and
transmit or otherwise disclose the information.  An agency may not
conduct or sponsor, and a person is not required to respond to, a
collection of information unless it displays a currently valid OMB
control number.  The OMB control numbers for EPA’s regulations are
listed in 40 CFR part 9 and 48 CFR chapter 15.     

To comment on the Agency’s need for this information, the accuracy of
the provided burden estimates, and any suggested methods for minimizing
respondent burden, including the use of automated collection techniques,
EPA has established a public docket for this ICR under Docket ID Number
[EPA-HQ-OPA-2005-0001], which is available for online viewing at  
HYPERLINK "http://www.regulations.gov"  www.regulations.gov , or in
person viewing at the Superfund Docket in the EPA Docket Center
(EPA/DC), EPA West, Room B102, 1301 Constitution Avenue, NW, Washington,
D.C.  The EPA Docket Center Public Reading Room is open from 8:30 a.m.
to 4:30 p.m., Monday through Friday, excluding legal holidays.  The
telephone number for the Reading Room is (202) 566-1744, and the
telephone number for the Superfund Docket is (202) 566-0276.  An
electronic version of the public docket is available at
www.regulations.gov.  This site can be used to submit or view public
comments, access the index listing of the contents of the public docket,
and to access those documents in the public docket that are available
electronically.  When in the system, select “search,” then key in
the Docket ID Number identified above.  Also, you can send comments to
the Office of Information and Regulatory Affairs, Office of Management
and Budget, 725 17th Street, NW, Washington, D.C. 20503, Attention: Desk
Officer for EPA.  Please include the EPA Docket ID Number
EPA-HQ-OPA-2005-0001 and OMB Control Number 2050-0021 in any
correspondence.

NOTE:  The EPA Docket Center suffered damage due to flooding during the
last week of June 2006.  The Docket Center is continuing to operate. 
However, during the cleanup, there will be temporary changes to Docket
Center telephone numbers, addresses, and hours of operation for people
who wish to visit the Public Reading Room to view documents.  Consult
EPA's Federal Register notice at 71 FR 38147 (July 5, 2006) or the EPA
Web site at www.epa.gov/epahome/dockets.htm for current information on
docket status, locations and telephone numbers.

APPENDIX

From the Federal Water Pollution Control Act (i.e., Clean Water Act):

Sec. 311(i) 	National Response System --

	(1) In General -- Consistent with the National Contingency Plan
required by subsection (c)(2) of this section, as soon as practicable
after the effective date of this section, and from time to time
thereafter, the President shall issue regulations consistent with
maritime safety and with marine and navigation laws (A) establishing
methods and procedures for removal of discharged oil and hazardous
substances, (B) establishing criteria for the development and
implementation of local and regional oil and hazardous substance removal
contingency plans, (C) establishing procedures, methods, and equipment
and other requirements for equipment to prevent discharges of oil and
hazardous substances from vessels and from onshore facilities and
offshore facilities, and to contain such discharges, and (D) governing
the inspection of vessels carrying cargoes of oil and hazardous
substances and the inspection of such cargoes in order to reduce the
likelihood of discharges of oil from vessels in violation of this
section.

 33 U.S.C. 1321(j)(1)(C).

 56 FR 54757 (October 22, 1991), superseding Executive Order 11735, 38
FR 21243.

 For the purposes of this ICR, EPA assumes that no facilities will
require section-specific certification by a PE.

 United States Department of Labor, Bureau of Labor Statistics, Employer
Costs for Employee Compensation, December 2005.

 Overhead costs were computed separately from BLS data and were assumed
to be an additional 17 percent of the total wage rate, which is composed
of direct wages and salaries and employee benefits, as reported by BLS.

 For details, see the regulatory impact analysis for the 2006 final rule
(“Regulatory Impact Analysis of Revisions to the Oil Pollution
Prevention Regulation (40 CFR 112) to Implement the Facility Response
Planning Requirements of the Oil Pollution Act of 1990”).

 Information Collection Request for the final rule to amend the oil
pollution prevention regulation  (40 CFR part 112), May 2002.

 Information Collection Request for the final rule to amend the oil
pollution prevention regulation  (40 CFR part 112), May 2002.

 U.S. Environmental Protection Agency, “Economic Analysis For The
Final Revisions To The Oil Pollution Prevention Regulation (40 CFR part
112),” May 2002.

 Analysis of the Number of Facilities Regulated by EPA’s SPCC Program
http://www.epa.gov/oilspill/pdfs/pap_tpop.pdf.

 For details, see the regulatory impact analysis for the 2006 final rule
(“Regulatory Impact Analysis of Revisions to the Oil Pollution
Prevention Regulation (40 CFR 112) to Implement the Facility Response
Planning Requirements of the Oil Pollution Act of 1990”)

 Oil storage data are not available for all states.

 In the matching process, the following facilities and tanks were
dropped from the estimation:  facilities with less than 1,320 gallons of
aggregate storage, tanks with less than 55 gallons of storage,
underground tanks subject to EPA UST requirements, inactive tanks, and
tanks that do not store oil substances.

  The facility ratio is calculated using the eight state databases for
all capacity categories except Category I.  Because the Maryland
database does not include information on Category I facilities, the
ratio for Category I facilities is calculated using seven state
databases (excluding Maryland).  

 U.S. Energy Information Administration, Distribution and Production of
Oil and Gas Wells by State, data available from   HYPERLINK
"http://www.eia.doe.gov/pub/oil_gas/petrosystem/petrosysog.html" 
http://www.eia.doe.gov/pub/oil_gas/petrosystem/petrosysog.html .

 Personal communication with a Federal On-Scene Coordinator for EPA
Region 6 and Mark England, Texas Railroad Commission, 2005.

 Major regulated utilities must file FERC Form No. 1, on which utilities
report information on their substations and electrical equipment.
“Major” is defined as having (1) one million megawatt hours or more;
(2) 100 megawatt hours of annual sales for resale; (3) 500 megawatt
hours of annual power exchange delivered; or (4) 500 megawatt hours of
annual wheeling for others (deliveries plus losses).

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