For a quarter-century, the Occupational Safety and Health Administration’s process safety management standard has promoted proper management of hazardous chemicals in the workplace to protect employee health and safety. But recently, without offering justification, the Labor Department agency extended the regulation to areas and activities not previously covered. OSHA will now apply the standard to loading processes, loading equipment and tanker trucks used for years to transport gasoline safely. This action will impose a significant regulatory burden on hundreds of gasoline terminals nationwide. Ultimately, American consumers will bear the burden of these regulations through higher gasoline prices.
OSHA has changed the implementation of the program without opportunity for public comment and without conducting a cost-benefit assessment. OSHA’s action runs counter to Trump Administration deregulatory efforts – efforts that the White House reports have already decreased costs by nearly $50 billion, rising to $220 billion once major actions are fully implemented. President Trump has underscored his Administration’s commitment to deregulatory actions in recent executive orders.
Newly confirmed Labor Secretary Eugene Scalia has pledged to carry out regulatory reform policies at all Labor Department agencies, including OSHA. In doing so, he should review OSHA’s decision extending the regulations and seek an outcome more consistent with Administration policy.