Circular 1/00: Oil Pollution in the United States: Non-tank vessels and California Requirements

 

THE MEMBERS

Dear Sirs,

OIL POLLUTION IN THE UNITED STATES: NON‑TANK VESSELS AND CALIFORNIA REQUIREMENTS

The California Non‑tank Vessel Contingency Plan regulations, details of which were previously given in the Association’s Circulars 2/99, 7/99 and 12/99, have now been approved and were filed with the Secretary of State on 28 December 1999. The effect of the regulations is to require Members who trade non‑tank vessels to California, from 3 February 2000, to have submitted for approval to the California Office of Oil Spill Prevention and Response (OSPR) an oil spill contingency plan and to have obtained from OSPR a State Certificate of Financial Responsibility (COFR) for US$300 million.

COFRs

Members are reminded that they will need to obtain their California COFRs before seeking approval for their oil spill contingency plan. Many Members have already obtained interim COFRs from OSPR. Those who have not done so and who intend to trade to California are advised to contact Cheryl Mitchell at OSPR (Tel: +1 916 324 6257, Fax: +1 916 323 4727) to request application forms. The completed forms should be returned by fax to OSPR together with a copy of the Association’s Certificate of Entry for each ship concerned and payment by wire transfer to OSPR of US$100 per ship.

Oil spill contingency plans

The final form of the contingency plan regulations can be found on the website of the California Department of Fish & Game at www.dfg.ca.gov/Ospr/regulation/index.html.

The regulations require the owner or operator to have: (i) an approved oil spill contingency plan; (ii) a contract with an approved oil spill response organisation (OSRO); (iii) a Qualified Individual (QI); and (iv) an agent for service of legal process.

Many Members have already reached an advanced stage in preparing to meet the requirements of the new regulations, with planning assistance from Corbett & Holt (C&H), including provision of an agent for service, and utilising the QI and OSRO contracts to which Members have access under the arrangements announced in the Association’s Circulars 7/99 and 12/99 of last April and July. The Managers are now adjusting these contracts in the light of the final version of the regulations.

The process of preparing a contingency plan is complicated and time‑consuming. Members who have not yet begun this process and who intend to trade to California in the near future are reminded that C&H can provide comprehensive assistance in preparing contingency plans, through to submission and obtaining approval from OSPR, for a one‑off fee of US$1,000 per owner or operator, irrespective of the number of ships involved. Members wishing to use this facility should contact Charles Corbett of C&H, indicating full style and address details, at Suite 1000, 600 New Hampshire Avenue NW, Washington DC 20037 (Phone: +1 202 337 7700, Fax: +1 202 337 7090), with a copy to Chao Wu at Thomas Miller (Americas) Inc (Phone: +1 201 557 7300, Fax: +1 201 946 0167).

Yours faithfully,

THOMAS MILLER (BERMUDA) LTD