Health & Safety Insights

The Process Safety Management (PSM) standard remains one of OSHA’s most closely scrutinized standards. Facilities with processes that involve highly hazardous chemicals in amounts at or above threshold quantities are targeted for inspection under one of only 12 National Emphasis Programs (NEPs). Hundreds of PSM citations are issued each year, underscoring the need for employers to stay current on OSHA expectations and interpretations.

In recent years, OSHA issued an updated directive that instructs compliance officers on how to apply the PSM standard in practice. At the same time, Chemical Safety and Hazard Investigation Board (CSB) investigations continue to examine process safety failures, while OSHA is pursuing an agenda item to modernize the PSM standard.

PSM inspections are a priority under OSHA’s NEP

The latest PSM Covered Chemical Facilities NEP (CPL 03-00-021) provides guidance to OSHA offices for inspecting establishments, including, but not limited to, petroleum refineries, covered by the PSM standard at 29 CFR 1910.119. See tinyurl.com/ymf4wm4b. State-plan states are required to participate in the emphasis program.

The agency uses four sources to identify facilities for inspection:

• Facility Risk Management Plan submittals to the EPA per 40 CFR 68,
• Explosives and pyrotechnics manufacturing industry codes,
• Searches of OSHA databases for establishments with prior PSM citations, and
• OSHA Area Office knowledge of local operations.

Covered facilities should expect OSHA to continue conducting inspections under this NEP. National Emphasis Programs concentrate the agency’s inspection and outreach efforts on specific hazards or high-hazard industries, based on emerging trends and strategic goals.

Over 200 Q&As make up OSHA’s revised PSM directive

In January 2024, OSHA updated its PSM enforcement directive (CPL 02-01-065). See tinyurl.com/2z9cxzea. This directive supersedes an earlier one and instructs compliance officers on OSHA’s interpretations of the PSM standard.

Notably, the CPL replaces an audit checklist with a question-and-answer format. Over 200 PSM Q&As in total are organized by paragraphs (a) through (o) of 1910.119. Of these, 85 relate to applicability. The directive has become an important resource for not just compliance officers but also employers seeking to better understand the standard and its requirements.

Note that OSHA also periodically issues letters of interpretation and publications that provide added insight into the standard. See tinyurl.com/484u8ck7 and tinyurl.com/bdfc9x53.

CSB examines real-world incidents and flags potential regulatory gaps

The CSB is an independent nonregulatory federal agency that conducts root cause analyses of serious chemical incidents. These incidents frequently result in toxic releases, fires, and explosions that lead to fatalities, injuries, illnesses, and substantial property damage. Several investigation reports and animated videos are posted each year. Often, the investigations find process safety management failures. See www.csb.gov/investigations/.

Currently, CSB has several open recommendations for OSHA that relate to potential gaps in the PSM and other regulations. These gaps touch on:

• Cryogenic asphyxiants,
• Management of organizational change,
• Process hazard analyses that consider remote isolation devices,
• Combustible dust,
• Highly toxic gases from cylinders,
• Atmospheric storage tanks,
• Chemical reactivity hazards,
• Coordination of simultaneous operations involving multi-employer sites, and
• Fertilizer-grade ammonium nitrate equipment and processes.

Many of these gap areas may be among those addressed through OSHA’s ongoing PSM standard modernization rulemaking process (discussed in the next section). Prior to any regulatory changes, employers may still wish to consider these topics when evaluating PSM program effectiveness and employee protection. For current CSB recommendations for OSHA, visit www.csb.gov/recommendations.

OSHA continues rulemaking efforts to modernize the PSM standard

The PSM rulemaking effort is intended to further prevent catastrophic chemical-release incidents. Among the many issues OSHA is exploring, the agency is considering potential revisions to PSM coverage and the list of covered substances. Greater alignment with consensus standards and EPA’s Risk Management Program requirements at 40 CFR 68 is also on the table. Key milestones in the rulemaking process include:

• December 9, 2013: Request for information in the Federal Register. See www.govinfo.gov/app/details/FR-2013-12-09/2013-29197.
• August 1, 2016: Small business report issued on the PSM rulemaking. See www.osha.gov/process-safety-management/sbrefa.
• October 12, 2022: Stakeholder meeting. See www.osha.gov/process-safety-management/background.
• Long-term: Next action to be determined. Search for 1218-AC82 and filter by “Agenda” at www.reginfo.gov/public/.

While the timing of this rulemaking remains unclear, OSHA continues to list it on the semiannual agenda. This signals that modernization of the PSM standard is still an agency priority.

Bottom line

Regardless of OSHA and CSB activities, failing to properly manage covered processes can result in toxic releases, fires, and explosions. Employees who work at the facilities may be placed at risk when hazards associated with highly hazardous chemicals are not adequately addressed.

Implementing the PSM standard requires significant documentation. However, this helps employers gather the information they need to:

• Control process hazards,
• Reduce risks,
• Eliminate or minimize the potential for catastrophic incidents, and
• Prevent injuries, illnesses, fatalities, and property damage.