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Increased OSHA and EPA Penalties

Setting up Environmental Protection Agency (EPA) and Occupational Safety and Health Administration (OSHA) programs inside a dealership is time consuming, stressful, demanding, and at times costly. But spending a few dollars now can save you thousands in the long run. This is especially true when EPA and OSHA are assessing increased maximum civil penalties against employers that continue to defy pollution safety and health regulations.

All dealership should be aware that EPA and OSHA are assessing increased maximum civil penalties against management staff that continue to defy safety and health regulations. Below is the proposed legislation that will likely become effective in the fourth quarter of 2003.

EPA
EPA has recently proposed increasing the civil monetary penalties for violations. The proposed change would increase civil penalties for violations of the Clean Water Act, Clean Air Act, and other environmental statutes by approximately 15 percent, from a maximum allowable fine of $27,500 to $32,500 per incident, per day.

The proposed rule adjusts the amount for each type of civil monetary penalty that EPA has jurisdiction to impose, raising the statutory maximum civil penalty to reflect inflation as determined by the Consumer Price Index. The Debt Collection Improvement Act of 1996 requires federal agencies periodically to review and adjust maximum civil penalties to keep pace with inflation.

OSHA
Congress has proposed changes to OSHA’s enforcement legislation, calling for dramatically increased penalties for safety and health violations which result in worker deaths. The bill would increase the maximum criminal penalty that would be imposed on companies which “willfully” violate workplace safety laws from six months to ten years. This change would also make the penalty a felony rather than a misdemeanor.

The revised bill would also increase the penalty for lying to an OSHA inspector from six months to one year, and would hike the penalty from six months to two years for giving advance notice of a safety investigation.

The bill’s lead author Sen. John Corzine said companies weren’t taking the consequences of OSHA violations seriously. He stated that, "Costs (of violations) aren’t high enough”, and persons causing the death of an employee on the job “should be subject to severe punishment."

Summary
With the backing of the U.S. Government, EPA and OSHA policies are focusing on strengthening enforcement through increased follow-up inspections and a coordinated effort to link incidents at all worksites owned by the same "overall corporate entity."

Use EAN as a valuable resource for more information on environmental and occupational regulations.