Respondent is the owner and/or operator of the Facility, which has registered an RMPlan with the EPA for its Facility and has developed an RMProgram accidental release prevention program for the Facility. At its Facility:
a. Respondent operates an ammonia refrigeration facility.
b. Respondent has on-site for use, 14,300 pounds of anhydrous ammonia.
c. Respondent has one RMProgram level 3 covered process, which stores or otherwise uses anhydrous ammonia in an amount exceeding its applicable threshold of 10,000 pounds.
On May 19, 2022, the EPA conducted an on-site inspection of the RMProgram related records and equipment for the purpose of assessing the Respondent’s compliance with the RMProgram requirements and the implemented recognized and generally accepted good engineering practices
(RAGAGEP) for its covered process at its Facility.
At the time of the inspection, EPA observed the following:
a. The Respondent did not document that equipment complies with RAGAGEP because:
i) Significant corrosion and pitting were observed on various pipes and valve groups associated with the Air Unit equipment on the roof. Section 11.1 of the American National Standards Institute/International Institute of Ammonia Refrigeration (ANSI/IIAR) 6 (2019) states, “ITM [(inspection testing and maintenance)] tasks shall be performed on carbon steel and stainless-steel piping at the indicated frequencies set forth in Table 11.1 or per manufacturers’ instructions unless a different frequency is justified in accordance with Section 5.2.1.”
Section 11.1.1.1 of ANSI/IIAR 6 (2019) states, “Where pitting, surface damage, general corrosion, or a combination thereof, has materially reduced the remaining pipe wall thickness, the piping remaining wall thickness shall be measured using appropriate techniques.”
Section 11.1.1.2 of ANSI/IIAR 6 (2019) states, “Where pitting, surface damage, general corrosion, or a combination thereof, has not materially reduced the remaining pipe wall thickness, the piping metal surface shall be cleaned and recoated to arrest further deterioration.”
Section 11.1.1.3 of ANSI/IIAR 6 (2019) states, “Where pitting, surface damage, general corrosion, or a combination thereof, has materially reduced the remaining pipe wall thickness beyond the owner’s established acceptance criteria, the piping shall be evaluated to determine suitability for continued operation.”
ii) Significant ice buildup was observed on various equipment throughout the Facility, on pipes and valve groups on the roof, as well as on the compressors and other equipment in the engine room. Ice was observed to be building up over insulation and potentially between the insulation and piping. This amount of ice buildup adds weight to the system, which could damage piping and equipment and potentially affect valve usage.
Section 5.6.8 of ANSI/IIAR 6 (2019) states, “Equipment and piping shall be kept free from excessive ice buildup.
1. Ice buildup shall not interfere with the operation of emergency shut-off valves.
2. Ice accumulation shall not be permitted to deflect or bend pipes, displace components, or negatively impact the system’s structural integrity.”
iii) Pipe insulation was extensively damaged both on the roof and in the engine room.
There were large gaps in the insulation where metal piping was exposed, as well as cracks, tears, and holes in the insulation. Section 5.10.1 of ANSI/IIAR 2 (2021) states, “Piping and equipment surfaces not intended for heat exchange shall be insulated, treated, or otherwise protected to mitigate effects of condensation and excessive frost buildup to a level that interferes with valve operation or creates damage to piping, equipment or supports. Portions of a system that have the potential for condensation shall not be placed above electrical equipment unless the electrical equipment is protected from damage caused by condensation.”
Section 7.2.6.1 of ANSI/IIAR 9 (2020) states, “Piping and equipment surfaces not intended for heat exchange shall be insulated, treated, or otherwise protected to mitigate condensation and excessive frost buildup where the surface temperature is below the dew point of the surrounding air during normal operation and in an area where condensation and frost could develop and become a hazard to occupants or cause damage to the structure, electrical equipment, or refrigeration system.”
iv) Pipes were not adequately labeled, particularly on long ammonia piping runs located on the roof of the Facility. Many pipe labels were unreadable due to fading and damage. Pipe labels were missing on piping around the evaporators in the cooler area as well. Section 7.2.9.4 of ANSI/IIAR 9 (2020) states, “Ammonia piping mains, headers, and branches shall be identified with the following information”:
1. “AMMONIA.”
2. Physical state of the ammonia.
3. Relative pressure level of ammonia, being low or high as applicable.
4. Pipe service, which shall be permitted to be abbreviated.
5. Direction of flow.”
Section 5.14.6 of ANSI/IIAR 2 (2021) states, “Ammonia piping mains, headers, and branches shall be identified with the following information:
1.“AMMONIA.”
2. Physical state of the ammonia.
3. Relative pressure level of ammonia, being low or high as applicable.
4. Pipe service, which shall be permitted to be abbreviated.
5. Direction of flow.”
“The marking system shall either be one established by a recognized model code or standard or one described and documented by the facility owner or the owner’s agent.”
v) The door of the engine room that opened into the warehouse had a large vent built into it, and so the door was not tight fitting. Section 6.2.5 of ANSI/IIAR 2 (2021) states, “Air shall not flow to or from any portion of a premises that is routinely accessible to or occupied by people on a part-time or full-time basis through a machinery room unless the air is ducted and sealed to prevent ammonia leakage from entering the airstream. Access doors and panels in ductwork and air-handling units located in a machinery room shall be gasketed and tight-fitting.”
Section 7.3.2.1 of ANSI/IIAR 9 (2020) states, “The machinery room shall be separated from the remainder of the building by tight-fitting
construction.”
vi) Combustible materials (cardboard boxes, spare parts, coolant, pump oil, and various other chemicals) were stored on shelves in the engine room outside of fire-rated storage containers. Section 6.4 of ANSI/IIAR 2 (2014) states, “Combustible materials shall not be stored in machinery rooms outside of approved fire-rated storage containers. EXCEPTION: This provision shall not apply to spare parts, tools, and incidental materials necessary for the operation and maintenance of
the refrigeration system.”
Section 7.3.4 of ANSI/IIAR 9 (2020) states, “Combustible materials shall not be stored in machinery rooms outside of approved fire-rated
storage containers.”
Section 605.11 of the International Fire Code (IFC; 2018) states, “Flammable and combustible materials shall not be stored in machinery rooms for refrigeration systems having a refrigerant circuit containing more than 220 pounds (100 kg) of Group A1 or 30 pounds (14 kg) of any other group refrigerant. Storage, use or handling of extra refrigerant or refrigerant oils shall be as required by Chapters 50, 53, 55 and 57. Exception: This provision shall not apply to spare parts, tools and incidental materials necessary for the safe and proper operation and maintenance of the system.”
b. The process hazard analysis (PHA) completed in 2018 had two action items that were not resolved in a timely manner. The first action item was to install an emergency eyewash and shower in the equipment room. This item was due to be completed by February 23, 2020, but was not completed until April 6, 2021 (The PHA listed the completion date as April 6, 2020. EPA confirmed the actual date is April 6, 2021, which is consistent with the completion date listed in the Compliance Audit for this same task). The second action item was to establish a program to regularly exercise and lubricate valve stems. This item was due to be completed by August 2020. The task was not assigned until April 26, 2022, and was not completed until after the RMP inspection.
ALLEGED VIOLATIONS
Based on EPA’s compliance monitoring investigation, the EPA alleges that the Respondent violated 40 C.F.R. Part 68, the codified rules governing the Act’s Chemical Accident Prevention Provisions and Section 112(r) of the Act, 42 U.S.C. § 7412(r), when it:
a. Failed to document that equipment complies with RAGAGEP, as required by 40 C.F.R. § 68.65(d)(2); and
b. Failed to establish a system to promptly address the team’s findings and recommendations (of the PHA); assure that the recommendations are resolved in a timely manner and that the resolution is documented; document what actions are to be taken; complete actions as soon as possible; develop a written schedule of when these actions are to be completed; and communicate the actions to operating, maintenance and other employees whose work assignments are in the process and who may be affected by the recommendations or actions, as required by 40 C.F.R. § 68.67(e).
TERMS OF PAYMENT
Respondent consents to the payment of a civil penalty, which was calculated in accordance with the Act, in the amount of $71,469 which is to be paid within thirty (30) calendar days of the Effective Date of this CAFO.
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