Security rules to cover inland chemical plants

April 3, 2007

PREPARATIONS

The Department of Homeland Security mandated that all chemical plants not covered by the Maritime Transportation Act undergo inspections for terrorism preparedness.

• The 7,000 or so plants in the United States covered by the new regulation will be divided into four tiers once they have submitted security assessments.
• About 300 to 400 would likely be classified as "top tier" plants, subjected to the most rigorous federal oversight.

WASHINGTON - The Bush administration on Monday required chemical plants located far from ports or waterways to meet stringent anti-terrorism standards or risk sanctions that include fines and plant shutdowns. A new regulation released by the Department of Homeland Security orders about 7,000 chemical plants across the country to undergo federal audits and site inspections aimed at making sure they have taken steps to prevent terrorist assaults.

Most major Houston facilities are already covered by a 2002 law called the Maritime Transportation Security Act, which gave the Coast Guard authority to oversee security at plants along major waterways and near ports. The new rule applies the same standards to plants that are unregulated by that law. Refineries, petrochemical plants, fertilizer facilities and other operations that handle any of 344 "chemicals of interest" come under the new regulation, officials said. Plant owners must assess both their vulnerability to attack and their security measures and submit detailed reports to the Homeland Security Department. The assessments must describe how managers will prevent armed intruders from taking over a plant, how facility security will prevent the theft of explosive chemicals and how employees will make key parts of the manufacturing process sabotageproof. Those assessments will be required within four months of publication of the final regulation in the Federal Register this week.

"I would say for the most part we're already compliant," said Maureen Paukert, spokeswoman for BASF, which operates nine chemical plants in Texas , including three in the Houston area. Charles Saunders, spokesman for Ineos, the world's third-largest chemical maker whose North American headquarters is in League City , said he expects the new regulations will have a minor impact on the company's U.S. facilities, including its five plants in Texas . "We don't see much in the way of impact," Saunders said, because the company already has strict internal guidelines for safety.

"I think 9/11 sort of crystallized in everyone's minds that these type of facilities could be targets." Homeland Security spokesman Russ Knocke said there had been no predetermination of whether any of the Houston area facilities would land in the toptier classification, subject to more rigorous oversight, but said, "I'd think there is a strong likelihood they would be." Many chemical facilities already have a high standard of security, Knocke said, but he added, "Some haven't been cooperative." The plants that do not abide by the new regulation could face civil fines of up to $25,000 a day. The Homeland Security Department also has the authority to shut down plants that consistently ignore the rule. Houston Chronicle reporter Brett Clanton contributed to this article from Houston.