PHMSA Increases Potential Fines for Non-Compliance

May 15, 2013 | In July 2012, Congress increased potential penalty fees for failure to comply with regulations set forth in the 49 CFR. The Pipeline and Hazardous Materials Safety Administration adopted the changes in the final rule on April 17, 2013.

The following changes have been issued:

– An increase in the maximum fine possible from $55,000 up to $75,000 for knowingly violating the law

– Revising the maximum penalty from $110,000 to $175,000 for knowingly violating the law in a way that results in death, serious illness, or severe injury to a person or which causes substantial destruction of property

– Eliminating the minimum civil penalty amount, since most fines are well over the previous set minimum of $250. However, a minimum penalty will be retained for training violations now set to be at $450.

Updated sections of the HMR include:

– Maximum penalties

– Guidelines for civil penalties

– Applicability of hazardous materials regulations to persons and functions

You can view the final rule here. Find out how to avoid training violations here.