HomeMy WebLinkAboutReports #2 11-02-87 TO: gILLI/~! HUSTON, CITY RANAGER
FROM: COFlleJNITY DEVELOi~ENT DEPARTHENT
SUBJECT: HAZARDOUS RATERXALS DXSCLOSURE ORDXNA#CE
REC01~ENDED ACT%ON
Receive and file; City Counctl action as deemed appropriate.
BACKGROUND
In response to correspondence and concerns expressed by the Chamber of Commerce,
_ the City Council recently requested that staff review current operational
aspects of the City's Hazardous Materials Disclosure Program. Specific areas of
concern expressed by the Chamber of Commerce included:
- The cost of program borne by City businesses including fee schedules which
they believe exceed $500 for most businesses as compared to $100 in City of
Orange.
- Exclusion of some businesses from the program.
- Availability of hazardous material information at local fire companies in
Tustin.
- Whether using the County, as the contract provider, is the best and most
efficient method of delivering the program.
Information presented in this report reflects status of the program, and does
not contain recommendations.
Costs of Programs/Fees
Costs for implementation of the State mandated Hazardous Materials Disclosure
Ordinance are off-set by fees collected from businesses required to disclose
information. The present fee schedule was established based upon the number and
quantities of chemicals a business may have at a given location at any time.
The total fee collected is derived from a combination of the base disclosure fee
(number of chemicals) and a fee for a business emergency plan (quantity of
chemicals). The complete formula for fee assessment is attached to this
transmittal as Exhibit A. Cities within the County which currently assign
responsibilities for the Hazardous Materials Disclosure Program to the Orange
County Fire Department include: Cypress, Irvine, La Palma, Los Alamitos,
Placentia, San Juan Capistrano, Yorba Linda, Stanton, Villa Park, Costa Mesa,
Laguna Beach and Tustin.
City Counctl Report
November 2, ~987
Hazardous Materials Disclosure Ordinance
Page two
While it is posstble fpr a Tusttn business to pay a maximum fee of $430.00 per
year under the County Program, Information provided by the Orange County Fire
Department indicates 'that the average fee per Tustln business in fiscal year
1986-87 will be $312.59.
In reviewing the County's fee schedule, staff have collected information from a
number of other fire agencies which operate their own programs. Based on our
collected Information, we do not believe that any jurisdictions currently
subsidize their Hazardous Materials Disclosure Program. Since, state law
requtres that any fee schedule adopted by an agency bear a direct relationship
to costs incurred, costs can vary dramatically from one community to another
based on the type of fire protection resources available and the number of
businesses. As a result, it would not be accurate to assume that a lower fee
schedule necessart, ly means that an agency provided a better or more efficient
Hazardous Matartals program. Table I provides a simplified summary of fee
schedules found in a number of communities.
Discussions with the Orange County Fire Department indicate that there is a
potential for alteration of the current fee schedule. Preliminary discussions
have indicated that it appears that restructuring of the schedule to reduce fees
'for small businesses will be considered for fiscal year 1988-89. Staff would
also offer as an alternative the approach Santa Ana has taken in only requiring
a Business Emergency Plan once every two years. This could significantly reduce
fees particularly for small businesses.
Dissemination of Information - According to Dr. Sylvan Hersh, Hazardous
Materials Program Manager for the Orange County Fire Department, photocopies of
the disclosure information from Tustin busfnesses are carried on response
vehicles at Stations 8 (Cowan Heights), 21 (1trine Boulevard), 26 (Walnut Avenue
in Irvtne) and 37 {Red Hill Avenue). In addition, copies are available in the
communications center for radio relay to the initial responders and to the
Hazardous Materials Response Team based at Station 4 in Irvine. Furthermore,
lists of all identified hazardous materials occupancies in the data base are
carried on each battalion chief's vehicle. Thus, the information t~ actively
being used for emergency response as well as in fire department plannihg.
The current data base is partially con~uterized and can also be accessed by the
Hazardous Materials Response Team in emergency situations. The County is als6
in the process of developing a computer aided dispatch capability for all
emergency calls, to be implemented early in 1988. The intent here is to
interface the two conjurer systems so that information from the hazardous
materials disclosure program will be available on mobile data terminals to each
vehicle in the fleet. A listing of businesses currently reporting in Tustin is
attached.
Community Development Department
Ci~ Council Report -:
November 2, 1987
Hazardous Materi als Oisclosure Ordi nance
Page three
Duplication - The Chamber of Commerce has also voiced concern that information
collected by the Orange County Fire Department under the Hazardous Materials
Disclosure Program is also being requested by a variety of State agencies and
the EPA. The Fire DePartment will be available to discuss this particular
issue.
Should Council have additional questions concerning information presented, a
representative of the Orange County Fire Department will be prepared to respond
to issues and questions at the City Council's November 2nd meeting.
O~ r~e ~[to~eo~h C~g lm~e~ty Development CAS:per
Attachment: Table I
Exhibit A
Letter from Orange County Fire Department
Community Development Department
TABLE !
Number of (3) (4) (5)
Reportable (1) (2) City of ' County of Huntington
Chemicals County Fee Santa Ana Orange Fee Los Angeles Beach
2 $250 - 330 $179 - 265 $200 $50 - 250 $100
5 $307 - 380 $207 - 290 $200 $50 - 250 $200
7 $357 - 430 $229 - 315 $200 $50 - 250 $200
10 + $357 - 430 $229 - 315 $300 $50 - 250 $200
1. Fee range Is mtnimum to maxtmum for each group. Fees vary based upon
quantities of chemicals. 'See Exhtbtt A for precfse formula.
2. Fee range Is mtnlmum to maxtmum for each group based on range of gallons,
cubic feet or pounds of chemicals. Includes Bustness Emergency Plan fee.
Started program tn February, 1987. Approximately 1200 businesses report wtth
600 businesses havtng to dtsclose fees. Bustness Emergency Plan only
required to be submitted once every 2 years.
3. Fee for disclosure only, Orange does not have fee for Emergency Business
Plan.
4. Fee ts not based on number of reportable chemicals tn LA County but whether a
chemtcal ts a soltd, 11qutd or gas, or a mtnor, moderate or major volume
(based on gallons or pounds), currently 4,000 businesses report w~th an 80~
compliance rate. Fees are annual and tnclude a Business Emergency Plan.
Program started tn Apr11 1987.
5. Fee for disclosure only, Huntington Beach ts considering, but does not have a
fee for Business Emergency Plan.
CAS:per
Corn munity DeveloPment DeparTment
Exhi bt t A
LARRY J. HOLMS
DIRECTOR OF FIRE SERVICES
¢¥~E~
~ P~.M~
ORANGE COUNTY FIRE DEPARTMENT FLACE~L'~
SAN JUAN CAPISll~.NO
180 SOUTH WATER STREET SEAL BEACH
STANTON
P,O. BOX 86, ORANGE, CALIFORNIA 92666,.0086 TUSTIN
(714) 744-0400 VILLA pARK
YORBA LINDA
HAZARDOUS MATERIALS DISCLOSURE FEE SCHEDULE
The fees to support the hazardous materials disclosure program were authorized
by the Board of Supervisors on January 14, 1986. While a business must update
its hazardous materials inventory twice a year (in January and July), it only
receives one bill a year (in February, for the entire fiscal year beginning the
previous July I and ending the following June 30).
The total fee is made up of a disclosure fee and a business emergency plan
(BEP) fee. Disclosure fees are based upon the number of reportable chemicals
used, .stored and handled by an occupancy over the course of a year. BEP fees
are based upon maximum quantities of reportable materials on site at any one
time.
The following table defines the range values for disclosure fees:
Range Number of Chemicals
1 1 - 2
2 3 - 6
3 7+
To determine the applicable disclosure range, a range value is assigned to the
TOTAL number of chemicals reported. Remember, a chemical is considered
reportable for disclosure purposes if it is maintained on the premises in a
quantity equal to or greater than 55 gallons of a liquid, 500 pounds of a solid
or 200 cubic feet of a compressed gas over the course of a year.
The following table defines the range values for BEP fees;
Range Quantities of Chemicals
gal liquid lbs solid cuft gas
i 55-1000 500-1000 200-1000
2 1001-10000 1001-5000 1001-5000
3 10001+ 50001+ 50001+
SMOKE DETECTORS SAVE LIVES (OVER)
To determine the applicable BEP range, a range value is assigned to EACH
reportable chemical and the assigned range values are totaled. A chemical is
considered reportable for BEP purposes if it is maintained on the premises in
quantities greater than or equal to SB gallons of a liquid, 500 pounds of a
solid or 200 cubic feet of a compressed gas at any one time. The maximum
range is 3; if the total of assigned values is equal to or greater than 3, a
BEP range of 3 is assigned.
The fees approved by the Board of Supervisors for each of these ranges are as
follows:
Range Disclosure BE_~P'~'~
i $100 $157
2 150 193
3 200 230
The fee for the appropriate disclosure range is added to that for the
appropriate B£P range and the total is presented to the business on an invoice.
DIRECTOR OF FIRE SERVICES
SERVING THE UNINCORPORATED AREAS
OF ORANGE COUNTY AND THE CITIES OF:
CYPRESS
"~ 5 ~ ~/ 3 /~-i RAN G E 'RVINE
LOS ALAMITOS
ORANGE COUNTY FIRE DEPARTMENT PLACENTJA
SAN JUAN CAPISTRANO
~ _ ~ 180 SOUTH WATER STREET SEAL BEACH
-~-~/..~ STANTON
P.O. BOX 86, ORANGE, CALIFORNIA 92666-0086 TUSTIN
~ (714) 744-0400 VILLA PARK
October 14, 1987 VORSAUNDA
Mr. Joel Slavit
Assistant Planner
Community Development Department
City of Tustin
300 Centennial Way
Tustin, CA 92680
Dear Joel:
In response to your telephone request for statistical data regarding the
hazardous materials disclosure program in the city of Tustin, I have compiled
the following information:
o We have contacted 443 businesses in the city of Tustin regarding their usage
of hazardous materials. Of these, 145 occupancies have disclosed reportable
quantities of hazardous materials, 153 have disclosed that they use
hazardous materials in less than reportable quantities, and 99 have denied
using any hazardous materials in their operations at all. In addition, 46
businesses (10.44) have not responded to our requests to disclose their
hazardous materials usage.
o I have attached a copy of our current fee schedule for your information.
o In FY 1985/86, Tustin businesses were billed for $16,940 in disclosure fees
and for $591.25 in late penalty fees for a total of $17,531.25. Please note
that the program was in operation for only six months of that fiscal year
and that the business emergency plan portion of the program had not yet been
implemented.
o In FY 1986/87, the first full year of operation of the program, Tustin
businesses were billed for $45,326 in disclosure and business emergency plan
fees and for $1,871.75 in late penalty fees for a total of $47,197.75.
o The FY 1987/88 billing will take place in February of next year.
o We have collected $60,397.25 out of a total billing of $64,729 to Tustin
businesses for a 93.3% collection rate.
o The average fee per Tustin business in FY 1986/87 was $312.59.
SMOKE DETECTORS SAVE LIVES
October 14, 1987
. .Mr. Joel Slavit
Page 2
o For FY 1985/86, total program revenues of $171,101 were balanced against
expenditures of $207,737. For FY 1986/87, revenues amounted to $503,364
while expenditures were $332,346.
o Revenues will meet expenditures for the first eighteen months of the
program. Certain projected expenditures were incurred but not booked as a
line .item to the HMDO Fund Budget. These expenditures include bad debt
write-offs, vehicle replacement accruals, telephone usage costs and
county-wide overhead cost applications, among others.
Please bear in mind that these 'revenue and expenditure figures apply to the
program as a whole. We cannot break out expenses for individual cities.
o Photocopies of the information from Tustin businesses are carried on
response vehicles at Stations 8 (Cowan Heights), 21 (Irvine Boulevard), 26
(Walnut Avenue in Irvine) and 37 (Red Hill Avenue). In addition, copies are
available in the communications center for radio relay to the initial
responders and to the Hazardous Materials Response Team based at Station 4
in Irvine. Furthermore, lists of all identified hazardous materials
occupancies in the data base are carried on each battalion chief's vehicle.
Thus, the information is actively being used for emergency response as well
as for prefire planning.
Currently, our data base is partially computerized and can be accessed
directly only by the Hazardous Materials Response Team in emergency
situations. We are in the process of developing a computer aided dispatch
capability for all emergency calls, to be implemented early in 1988. It is
our intent to interface the two computer systems so that information from
our hazardous materials disclosure program will be available'on mobile data
terminals to each vehicle in the fleet.
I hope this information helps in youc analysis of the program in the city of
Tustin. If you have any further questions, please contact me at 744-0464.
Sy~ff D. Hersh, Ph.D.
Hazardous Materials Program Manager
SDH:mbh
Attachment
pc: William A. Huston, City Manager, City of Tustin
Jeff Davis, Senior Planner, City of Tustin
Larry J. Holms, Director of Fire Services
Robert Schmahl, Deputy Director of Fire Services
Robert H. Hennessey, Assistant Chief, Support Bureau
Kenneth MacLeod, Manager, Administrative Services
James P. Stone, Fire Marshal
R~CEIVED
CHAMBEROF' CoMMeRCE ",' o
September 29, 1987
The Honorable City Council
City of Tustin
300 Centennial Way
TustiA, CA 92680
Dear Mayor and Council Members:
In September of 1986 the Tustin Ciuy Council passed the Hazardous
Materials Disclosure Ordinance.
The Tustin Chamber of Commerce voiced concern over this ordinance
including the high cost compared to surrounding cities and other
requirements such as making keys to businesses available to the Fire
Department. It was our position that the benefits to this pro§ram
were small if any at all. We also stated our belief that the beneficiaries
of any small benefits would be to the community not the businesses
involved. Specifically we asked that community be responsible under
a "user pay" theory and not have the business involved subsSdize the
co~m~ul~ity.
The ordinance passed and the responsibility of administration was given
to the Orange County Fire Department as a contract service provider, and
the Fire Department proposed fee schedule was adopted.
the '
The Chamber then asked that the Fire Department re~or~ to ~
Council, on an annual basis, the !~,,,.=.,.,.~_[~ , .-~rne
~ We felt this tax sho''.'.~ c uded in the total cost for
fire services provided. We expressed a feeling that if the costs for
services are too fragmented then it would be impossible to ascertain
the true amount. The Council a~reed and directed ~he Orange County Fire
Department to supply that information. A year has )assed and the Chamber
would like to know the results of the study. The
most businesses
e fee for the City of Orange is $
399 [] Camino Real, Tustin, California 92680 (714) 544-53~1
The Honorable City Council
Page-2--
Sept.~er 29, 1987
In addition, the Board of Supervisors is the'body which now governs
this Tustin ordinance. Recently they have excluded some businesses
That were unfairly included at inception. An example would be dentists
who have bottled oxygen, considered a hazardous waste by the Orange
CounT3~. Fire Department.
It is also our belief that the information generated by the lengthy
forms is available only to the hazardous materials unit located in
Santa Ana, and not to the fire companies located in Tustin who would
be ~he first to respond.
Please review the results of this Tustin ordinance and let the Chamber
lunow if the Council believes this is the best and most effficient method
of providing this pro~ra~ to the community.
Sincerely,
Frank P. Greink
President
~C: Tustin Chamber of Commerce
LeEislative Committee
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