Summary
This regulation (40 CFR Part 112) establishes spill prevention requirements for non-transportation facilities that store oil, requiring Spill Prevention, Control, and Countermeasure (SPCC) Plans for facilities with aboveground storage >1,320 gallons or buried storage >42,000 gallons. Plans must be certified by Professional Engineers and include procedures, inspection schedules, and secondary containment. Numerous exemptions exist for small containers, motive power, farms, wastewater treatment, and containers meeting other regulatory standards. The EPA can require plans for exempt facilities if deemed necessary.
Reason
This regulation imposes significant compliance costs on thousands of small businesses and farms through engineer certifications, written plans, regular inspections, and documentation requirements—burdens that are particularly crushing for small operations (30% higher cost per employee). Many exempted facilities already comply with equivalent state standards or other federal programs (DOT, Interior, NRC). The federal government lacks constitutional authority to regulate purely intrastate, land-based oil storage that poses no interstate commerce threat; this is classic regulatory overreach under an expansive Commerce Clause interpretation. Private liability, state tort law, and insurance markets already provide adequate incentives for spill prevention. The Regional Administrator's discretionary power to force plans on exempt facilities creates arbitrary risk assessment without cost-benefit analysis. The $2 trillion regulatory burden includes this redundant layer—states can handle oil spill prevention more efficiently without one-size-fits-all federal mandates that ignore local conditions and knowledge.