HomeMy WebLinkAboutAGENDA REPORT 2014 1203 CCSA REG ITEM 09A ITEM 9.A.
CITY OF MOORPARK,CALIFORNIA
City Council Meeting
Of At 3-02®® L
ACTION:
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: David A. Bobardt, Community Development Director .
DATE: November 17, 2014 (CC Meeting of 12/3/2014)
SUBJECT: Consider Submitting Letter to San Luis Obispo County Planning
Commission Opposing Proposed Phillips 66 Company Santa Maria
Refinery Rail Spur Extension Project
BACKGROUND/DISCUSSION
The San Luis Obispo County Department of Planning and Building recently completed a
recirculated Draft Environmental Impact Report (EIR) for a project that would extend an
existing rail spur of the Union Pacific rail mainline by an additional 6,915 feet to serve
the Phillips 66 Company Santa Maria Refinery, which is located approximately 3.5 miles
west of the community of Nipomo in San Luis Obispo County. Staff reviewed the
recirculated Draft EIR for this project (excerpts attached), which was circulated from
October 9 to November 24, 2014. Staff did not have a concern with the analysis or
methodology of the recirculated Draft EIR. However, the EIR does identify a significant
hazard impact related to the risk for release of crude oil that results in a fire or explosion
in the vicinity of a populated area along the Union Pacific mainline tracks. Because this
significant hazard impact could affect Moorpark residents and businesses, staff
recommends a letter of opposition to the project be sent to the San Luis Obispo County
Planning Commission, the decision makers on this request. A hearing before the San
Luis Obispo County Planning Commission is tentatively scheduled in late January or
early February, 2015.
Although the Santa Maria Refinery is approximately 125 miles from the City of
Moorpark, the construction of a rail spur would allow for up to 5 deliveries of oil per
week on unit trains (freight trains carrying a single type of freight, in this case crude oil)
with 80 tanker cars that are 90 feet long each. Combined with 3 engines and 2 buffer
cars, these trains would be approximately 1.4 miles long. These unit trains would come
to the refinery spur line either from the north through Roseville, or from the south,_
9
Honorable City Council
December 3, 2014
Page2
through Colton, depending on where the oil is coming from and which line is available.
The route from the south passes through Moorpark on the Union Pacific mainline tracks.
Empty trains would return the same route after being unloaded.
The risk analysis in the EIR indicates a small probability of an incident that would result
in a release of 100 gallons or more of oil, once every 22.8 years over the entire route
from Colton to the refinery, with the risk in any single city being substantially less.
Nonetheless, the result of an incident that would result in a fire or explosion could be
devastating to any locality. Mitigation that has been identified includes upgraded tank
cars and positive train control, however, such mitigation may be pre-empted by federal
law at the present time. Even if this mitigation were implemented, the impacts would
still be considered potentially significant, according to the EIR.
Moorpark has 5 at-grade public street crossings and 3 private crossings on the Union
Pacific mainline tracks. Residential, commercial, and industrial uses are all located
adjacent to the tracks. A local incident with a 1.4 mile long unit train could affect up to 3
street crossings at the same time, and could impact nearby residents, businesses, and
emergency vehicle access.
STAFF RECOMMENDATION
Authorize Mayor to submit letter on behalf of City to the San Luis Obispo County
Planning Commission opposing the Phillips 66 Santa Maria Refinery Rail Spur
Extension project based on its significant hazard impact related to the risk for release of
crude oil that results in a fire or explosion in the vicinity of a populated area along the
Union Pacific mainline tracks.
Attachment: Recirculated Draft EIR Excerpts
10
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Phillips 66 Company Rail Spur Extension
And Crude Unloading Project
Revised Public Draft Environmental Impact Report
And
Vertical Coastal Access Project Assessment
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Prepared For:
San Luis Obispo County
Prepared By:
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Marine Research Specialists
October '2014
SCI-1 Pt 2013071028
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11
Executive Summary
Executive Summary
This Revised Draft Environmental Impact Report (Draft EIR) has been prepared to address a
proposed Rail Spur Extension and Crude Oil Unloading Facility (Rail Spur Project) that would
be located at the Santa Maria Refinery (SMR) in Nipomo. The applicant for the Rail Spur Project
is Philips 66 Company (Phillips 66) (the Applicant). The SMR property is located ih the
southwestern corner of San Luis Obispo County, approximately 1 mile southwest of State Route
1, and approximately 3.5 miles west of the community ofNipomo, in the South County Coastal
and South County Inland planning areas. The location of the SMR property is shown in Figure
ES-1.
-
The EIR also contains a programmatic assessment of various coastal access options through the
SMR site (Coastal Access Project). Phillips 66 was recently required to provide a vertical public
right of coastal access at the SMR site as a condition of approval of the Phillips 66 Throughput
Increase Project (approved by the County Board of Supervisors in March 2013). The assessment
of various coastal access options is being considered as a result of the Throughput Project and is
not directly related to the Rail Spur Project. The coastal access assessment is discussed in more
detail at the end of the Executive Summary.
This EIR is an informational document that is being used by the general public and governmental
agencies to review and evaluate the Rail Spur Project. The reader should not rely exclusively on
the Executive Summary as the sole basis for judgment of the Projects. Specifically, the EIR
should be consulted for information about the environmental effects associated with the Projects
and potential mitigation measures to address or minimize those effects.
The remainder of the Executive Summary consists of the following sections:
• An introduction, which discusses the Notice of Preparation (NOP) process that was used for
the EIR and the reasons for issuing a revised Draft EIR;
• A brief description of the Rail Spur Project;
• A summary of key impacts and mitigation measures associated with the Rail Spur Project;
• A brief description of the alternatives evaluated throughout this EIR for the Rail Spur
Project;
• A summary of the Environmentally Superior Alternative for the Rail Spur Project; and
• A summary of the Vertical Coastal Access Project programmatic assessment.
A set of Impact Summary Tables for the Rail Spur Project is provided after the Executive
Summary. These tables summarize the impacts and mitigation measures for the Rail Spur
Project. The Rail Spur Project impacts and mitigation measures are discussed in further detail in
Section 4.0. The alternatives to the Rail Spur Project are discussed in Section 5.0. The Vertical
Coastal Access Project assessment is provided in Chapter 9.
October 2014 ES-1 Phillips SMR Rail Project
Public Draft EIR
12
Executive Summary
Figure ES-1 Proposed Project Location
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A. Introduction
The purpose of the Executive Summary is to provide the reader with a brief overview of the Rail
Spur and Vertical Coastal Access Projects, the anticipated environmental effects, and the
potential mitigation measures that could reduce the severity of the identified impacts. The reader
should not, however, rely exclusively on the Executive Summary as the sole basis for judgment
of the Projects.
In compliance with State CEQA Guidelines, the County, as the Lead Agency, prepared a NOP
for the proposed projects and solicited comments through distribution of the NOP. A public
scoping meeting was held in the community on July 29, 2013 to provide an opportunity for the
public to comment on the scope of the EIR. The NOP and comments received in response to the
NOP were used to direct the scope of the analysis and the technical studies in this EIR. A copy of
the NOP and the comments received are in Appendix I of the EIR.
In addition to the County, a number of other governmental agencies require a CEQA analysis of
the Rail Spur Project in order to act on the Project. These agencies include the San Luis Obispo
Phillips SMR Rail Project ES-2 October 2014
Public Draft EIR
13
Executive Summary
County Air Pollution Control District (SLOCAPCD), Calfire, California Department of Fish and
Wildlife (CDFW), and Regional Water Quality Control Board (RWQCB).
In November 2013 a Draft EIR was issued for the Rail Spur Project with a 60-day comment
period. The comment period for the Draft EIR closed on January 27, 2014. After reviewing the
comments on the Draft EIR, the County decided that a revised Draft EIR should be recirculated
for public comment. The decision to recirculate the EIR was primary based upon the need to
expand the discussion of mainline UPRR impacts beyond the borders of San Luis Obispo
County. Due to extensive revisions in various parts of the document, this revised Draft EIR does
not contain specific written responses to the comments received on the initial Draft EIR. The
entire EIR has been recirculated for public comment. All comments on the previous Draft EIR
were reviewed, and the revised Draft EIR was modified to address comments that were
applicable to the revised document (refer to CEQA Guidelines, Section 15088.5(f)(l)).
The revised Draft EIR has been issued for a 45-day public comment period. Based upon the
comments received, changes will be made for the Final EIR. The various stakeholders will have
to submit new comments on the. revised Draft EIR for them to be considered in the Final EIR.
All comments received on the revised Draft EIR and their corresponding responses will be
provided in the Final EIR. Comment on the November 2013 Draft EIR will not be included in
the Final EIR.
B. Rail Spur and Crude Unloading Facility Project Description
Phillips 66 is proposing to modify the existing rail spur currently on the southwest side of the
SMR and to build and operate a crude oil rail unloading facility. The rail spur extension is
proposed entirely on the SMR property and would be located east of the Union Pacific Railroad
and the existing refinery facilities. The area of the Rail Spur Project is zoned for industrial use.
Figure ES-2 shows the proposed location of the Rail Spur Project. The EIR has analyzed the Rail
Spur Project to a permit (i.e., project specific) level of detail.
The project would include an eastward extension of the existing rail spur, a railcar crude oil
unloading facility, and associated above-ground pipelines Trains would deliver crude oil to the
SMR for processing. The unloaded material would be transferred from the proposed unloading
facility to existing crude-oil storage tanks via a new on-site above-ground pipeline.
The proposed tracks and unloading facilities would be designed to accommodate unit trains and
manifest trains. Unit trains consist of approximately 80 tank cars and associated locomotives and
other supporting cars that stay together as one assembly fully dedicated to delivery of crude oil to
the SMR. Manifest trains may have a variety of car types and cargos, other than crude oil, that
are not fully dedicated as are unit trains. Manifest trains may deliver one or more cars to the
refinery and then continue to other destinations to deliver other cargo.
The proposed rail spur lines would extend from the terminus of the current spur. The unloading
facility would be located at the end of the existing coke storage area and along an existing
internal refinery road.
October 2014 ES-3 Phillips SMR Rail Project
Public Draft EIR
14
Executive Summary
Figure ES-2 Location of Proposed Rail Spur Project
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Phillips SMR Rail Project ES-4 October 2014
Public Draft EIR
15
Executive Summary
Modification of the existing rail spur would include constructing five parallel tracks. Two tracks
would surround an unloading rack and then would come together to form a common track that
extends to the east of the loading area to allow for the entire train to be parked off of the mainline
track and unloaded. Three additional tracks would extend the full length of the rail spur and run
parallel to the unloading area.
The Rail Spur Project would involve unloading of up to five unit trains per week (or a combined
total of five unit and manifest trains), with a 250 annual maximum number of trains. Trains
would arrive from different oilfields and/or crude oil loading points depending on market
economics and other factors. Trains could arrive at the Phillips 66 site from the north or the
south. The refinery feedstock definition (meaning the materials that could be transported by train
into the proposed facility) excludes gaseous feeds, natural gas liquids (NGL), liquefied
petroleum gas (LPG), finished refined products, and Bakken crude oil.
Phillips 66 has proposed to ship crude oil to the refinery in non-jacketed CPC-1232 tank cars
(i.e., post October l, 20 l l tank cars). These cars have a capacity of approximately 31,808
gallons per car. Each car has a weight limit of 210, 700 pounds of crude oil. Each tank car would
be approximately 90 feet long. The tank cars would meet the current specifications that have
been established by the American Railroad Association for use in transporting crude oil. The rail
cars would be designed to meet DOT Packing Group I requirements, which is the highest rating.
The tank cars would be equipped with half height head shields, double couplers, and all stainless
steel valves. The relief valve would be a designed for high flow. All of the tanker cars servicing
the SMR as part of either a unit or manifest train would be owned or leased by Phillips 66.
In a unit train configuration, each train would consist of three locomotives, two buffer cars, and
80 railcars each carrying between 26,076 and 28, 105 gallons for a total of between 49,670 and
53,532 barrels of crude oil per unit train. The tank cars would be limited to this range of volume
(as opposed to the 31,808 gallons per car listed above) due to the estimated weight of the oil that
would be delivered to the SMR. With the delivery of five unit trains per week the average daily
delivery of crude oil would be between 35,478 and 38,237 barrels, which is less than the
permitted capacity of the SMR with or without the throughput increase project.
Unit trains would arrive at the SMR, be unloaded and then leave the refinery. The total time each
train is expected to be at the refinery would be between ten and twelve hours. However, this
could vary depending upon when Union Pacific schedules the departure time for the train once it
has been unloaded.
The Rail Spur Project would not affect the amount (throughput volume) of material processed at
the refinery. Throughput levels at the refinery are capped by the County of San Luis Obispo
Department of Planning and Building and by the SLOCAPCD. These throughput limits cannot
be exceeded without a modification to existing land use and air permits, which would require
additional environmental and public review. In addition, no crude oil or refined product would be
transported out of the refinery by rail.
October 2014 ES-5 Phillips SMR Rail Project
Public Draft EIR
16
Executive Summary
C. Union Pacific Railroad Mainline
The operation of unit and manifest trains to and from the SMR would be performed by Union
Pacific Railroad (UPRR), on UPRR property, and on trains operated by UPRR employees. The
movements of those trains to and from the Project Site may be preempted from local and state
environmental regulations by federal law under the Interstate Commerce Commission
Termination Act of 1995 and the Commerce Clause of the United States Constitution.
While the potential impacts of those train movements along the UPRR mainline are described in
appropriate chapters of this EIR, the County as CEQA Lead Agency, and other state and local
responsible agencies may be preempted from imposing mitigation measures, conditions or
regulations on UPRR train movements on the mainline.
Trains could enter California at five different locations (one at the north end of the state from
Oregon, two at the northeast from Nevada, one at the southeast from Nevada, and one at the
south from Arizona). Depending upon the route taken by the train they could arrive at the
Phillips 66 site from the north or the south. It is unknown what route UPRR would use to deliver
the trains to the SMR. Figure ES-3 shows the main UPRR train routes in California that could be
used to deliver crude to the SMR.
Coming from the north the routes merge at the UPRR Roseville Rail Yard. From the south the
routes merge at the Colton Rail Yard. Given that the route the trains would travel to get to these
two uPRR yards is speculative, the EIR has evaluated in more detail the impacts of trains
traveling from these two UPRR yards to the SMR.
Beyond the two UPRR Yards, trains could travel any number of routes. Also, crude oil delivered
to California by UPRR would generally pass through either of these two rail yards in route to the
SMR. Depending upon the source of the crude oil, crude oil trains could use any portion of the
UPRR network between Roseville/Colton and the source location for the crude oil. The exact
route that would be taken would depend upon a number of factors, that could include the source
of the crude oil, weather conditions, train traffic conditions, etc. Since the routes past Roseville
and Colton are somewhat speculative, the EIR has discussed in a more qualitative nature the
potential impacts of train traffic beyond these two rail yards.
D. Rail Spur Project Impacts and Mitigation Measures
In the Impact Summary Tables and throughout this EIR, impacts of the Rail Spur Project and
alternatives have been classified using the categories Class I, II, III, and IV as described below.
• Class I -Significant impacts that cannot be mitigated to less than significant levels,
• Class II -Significant impacts that can be mitigated to less than significant levels,
• Class III -Less than significant impacts without mitigation, and
• Class IV -Beneficial impacts.
Phillips SMR Rail Project
Public-Draft EIR
ES-6 October 2014
17
Executive Summary
Figure ES-3 Mainline Rail UPRR Routes to the Santa Maria Refinery
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The term "significance" is used in these tables and throughout this EIR to characterize the
magnitude of the projected impact. For the purposes of this EIR, a significant impact is a
substantial, or potentially substantial, change to resources in the local Project area or the area
adjacent to the Project in comparison to the thresholds of significance established for the
resource or issue area. These thresholds of significance are discussed by issue area in Section
4.0.
The impacts along with the identified mitigation measures for each Rail Spur Project impact are
shown in the Impact Summary Tables, immediately following this Executive Summary. Each
October 2014 ES-7 Phillips SMR Rail Project
Public Draft EIR
18
Executive Summary
section of the Impact Summary Tables describes and classifies each impact, lists recommended
mitigation, and states the level of impact after mitigation.
The remainder of this section presents a brief summary of the key impacts and mitigation
measures for the Rail Spur Project. The reader should refer to the Impact Summary Tables and
Section 4.0 of the EIR for a more detailed discussion of the impacts and associated mitigation
measures for the Rail Spur Project.
Aesthetics and Visual Resources
There are no significant and unavoidable (Class I) impacts to aesthetics and visual resources
associated with the Rail Spur Project.
The impacts on aesthetics and visual resources would be less than significant with· mitigation
(Class II). The eastern end of the proposed rail spur and the associated trains operating in the
area would reduce the quality of the views of the open space as seen from portion of State Route
1, the California Coastal Trail, the De Anza Trail, and other public areas east of State Route 1.
Landscaping and the installation of a berm at the east end of the tracks would reduce these
impacts to less than significant. ·
Lighting associated with the Rail Spur Project would create a new source of substantial light and
glare which would adversely affect nighttime views in the area. Development of a lighting plan
that requires lighting to be minimized and directed downward and to use lights that are dark sky
compliant would reduce this impact to less than significant levels.
Agricultural Resources
The Rail Spur Project could result in less than significant with mitigation (Class II) impacts to
productivity of adjacent fannlands due to construction activities. Dust, air emissions, and water
runoff generated by the construction activities could produce a significant short~term impact and
temporarily affect the productivity of row crops. Implementation of the fugitive dust and
stormwater control mitigation measures ~dentified in air quality and water resources would
reduce these impacts to less than significant.
In the event of an oil spill at the SMR due to the unloading operation~ there could be impacts to
agricultural crops on adjacent properties. These impacts could be direct oiling of the crops or due
to impacts to surface or groundwater. These impacts at the SMR were found to be less than
significant with mitigation. Implementation of the oil spill containment systems and Spill
Prevention Control and Countermeasure Plan (SPCCP) would reduce this impact to less than
significant levels.
If there is an oil spill along the UPRR mainline tracks there could be impacts to adjacent
agricultural crops due to direct oiling, fire, or surface and groundwater impacts. These impacts
were found to be significant and unavoidable (Class I) in the event that a spill where it could
impact agricultural resources. Only portions of the UPRR mainline track runs adjacent to
agricultural operations. Mitigation measures identified for improving emergency response and
oil spill cleanup would help to mitigate these impacts. However, the County may be preempted
by Federal law from requiring mitigation for operations on the UPRR mainline tracks (See
Section Hof the Executive Summary for more discussion on the preemption issue).
Phillips SMR Rail Project
Public Draft EIR
ES-8 October 2014
19
Executive Summary
Air Quality
Construction impact for the Rail Spur Project would be less than significant (Class III).
Operational pollutant emissions (i.e., NOx, ROC, and DPM) within San Luis Obispo County and
outside the County on the mainline could be potentially significant and unavoidable (Class I).
The operational pollutant emissions associated with operation of the Rail Spur Project within the
County would exc'eed the SLOCAPCD thresholds. Outside the County the mainline emissions
would exceed most other air district thresholds. This impact can be reduced to less than
significant with the use of Tier 4 locomotive and the application of emission reduction credits,
which would make the impact less than significant with mitigation (Class II). However, the
County may be preempted by Federal law from mitigating the air impacts associated with the
locomotives outside of the SMR property. (See Section G of the Executive Summary for; more
discussion on the preemption issue). If the County is preempted from applying mitigation to the
locomotive emissions on the UPRR mainline, the impact would remain significant and
unavoidable (Class I). However, regardless of the preemption issue, the air emissions within the
SMR can be mitigated through the use of emission reduction credits.
Air toxic emissions at the SMR would be significant and unavoidable (Class I) since the cancer
risk over a 30-year exposure period would be greater than the 10 in a million threshold
established by the SLOCAPCD. This cancer risk is driven mainly by diesel. particulate
emissions. About half of this cancer risk is due to the diesel particulate emissions from the
existing trucking operations at the SMR. Use of Tier 4 locomotives would reduce most of the
cancer risk from the rail operations, but the cancer risk would remain significant and unavoidable
since the baseline risk is already about the SLOCAPCD threshold. As stated above, the County
may be preempted by Federal law from applying mitigation to the UPRR locomotives.
Air toxic emissions from the mainline rail operations would be significant and unavoidable
(Class I) for areas along the mainline that are in close proximity to populated areas, and there is a
speed limit restriction on trains of less than 30 mph (when more emissions occur per length of
rail due to the slower speeds). In these locations the 30-year cancer risk would exceed the
SLOCAPCD thresholds beyond the railroad right-of-way. There are areas along the mainline rail
route that have reduced speed limits for trains that pass in proximity of sensitive receptors. For
example, in the City of San Luis Obispo, trains are limited to a speed of 25 miles per hour. In the
City of Davis, there are stretches of track that are limited in speed to 10 mph.
Greenhouse gas (GHG) emissions within the State of California could be significant and
unavoidable (Class I) since they would exceed the SLOCAPCD threshold for GHG emissions.
This impact can be reduced to less than significant with the use of emission reduction credits,
which would make the impact less than significant with mitigation (Class II). However, the
County may be preempted by Federal law from mitigating the GHG emissions associated with
the locomotives outside of the SMR property. (See Section G of the Executive Summary for
more discussion on the preemption issue).
Fugitive dust (PM 10) emissions from the project would be less than significant (Class III).
Operation of the Rail Spur Project would generate very low levels of fugitive dust, which are
well below the SLOCAPCD thresholds. The Rail Spur Project would not be expected to affect
the overall PM 10 emissions in the project area.
October 2014 ES-9 Phillips SMR Rail Project
Public Draft EIR
20
Executive Summary
Biological Resources
Most of the biological impacts would be associated with construction of the Rail Spur Project.
Construction activities associated could result in impacts to habitat for listed and special status
species and habitat for rare plants and animals. These impacts were found to be less than
significant with mitigation (Class II). Some of the mitigation measures identified for these
impacts include implementing a Sensitive Species Management Plan, a Dune Habitat Restoration
Plan, conducting updated surveys of sensitive species habitats, and employing an independent
biological monitor. With implementation of these measures the impacts to biological resources
would be less than significant.
An oil spill at the SMR due to the unloading operations could result in impacts to biological
resources. These impacts at the SMR were found to be less than significant with mitigation
(Class IO. Implementation of the oil spill containment systems and Spill Prevention Control and
Countermeasure Plan (SPCCP) would reduce this impact to less than significant levels.
In the event of an oil spill along the UPRR mainline tracks there could be impacts to adjacent
biological resources due to direct oiling, fire, or surface water impacts. These impacts were
found to be significant and unavoidable (Class I) in the event that a spill impacted sensitive
biological . resources. Only portions of the UPRR mainline tracks run adjacent to sensitive
biological areas. Mitigation measures identified for improving emergency response and oil spill
cleanup would help to mitigate these impacts. However, the County may be preempted by
Federal law from requiring mitigation for operations on the UPRR mainline tracks (See Section
Hof the Executive Summary for more discussion on the preemption issue).
Cultural Resources
Impacts to cultural resources during construction were found to be less than significant with
mitigation (Class II) include unanticipated disturbance to human remains due to construction
activities. Mitigation measures for these impacts include developing a monitoring plan and
halting area activities for expert assessment if resources are discovered.
In the event of an oil spill at the SMR due to the unloading operations there could be impacts to
cultural resources associated with the cleanup operations. These impacts at the SMR were found
to be less than significant with mitigation (Class II). Implementation of the oil spill containment
systems and Spill Prevention Control and Countermeasure Plan (SPCCP) would reduce this
impact to. less than significant levels.
An oil spill along the UPRR mainline tracks would require cleanup activities that could impact
cultural resources. These impacts were found to be significant and unavoidable (Class I) in the
event that a spill occurred in an areas that had cultural resources. Only portions of the UPRR
mainline tracks would have the potential to be in areas where cultural . resources might be
encountered during the cleanup activities. Mitigation measures identified for improving
emergency response and oil spill cleanup would help to mitigate these impacts. However, the
County may be preempted by Federal law from requiring mitigation for operations on the UPRR
mainline tracks.
Phillips SMR Rail Project
Public Draft EIR
ES-10 October 2014
21
Executive Summary
Geological Resources
There are no significant and unavoidable (Class I) impacts to geological resources associated
with the Rail Spur Project.
Construction activities associated with the Rail Spur Project could result in erosion due to the
grading activities. Seismically induced ground shaking could damage proposed structures and
infrastructure, potentially resulting in loss of property, risk to human health and safety, and oil
spills. These impacts were found to be less than significant with mitigation (Class II).
Implementation a Storm Water Pollution Prevention Plan (SWPPP) using Best Management
Practices, and adequate design of the facilities to withstand anticipated horizontal and vertical
ground acceleration in the Project area, based on the California Building Code would result in
less than significant impacts.
Hazards and Hazardous Materials
The main hazards associated with the Rail Spur Project are potential accidents at the SMR and
along the UPPR mainline that could result in oil spills, fires and explosions. At the SMR the
hazard zones associated with these events would be limited to the SMR property and would not
impact offsite areas. The hazards that could occur at the SMR would be limited to spills during
the·unloading operations and the pipeline. Given the low speed the trains would be moving at the
SMR site (3 mph) it is unlikely that a tank car could be impacted enough to result in a spill. The
estimated shell and head puncture velocity of the tank car design proposed for use by the
Applicant are 8.3 and 10.3 miles per hour respectively. Therefore, the hazard impacts at the SMR
were found to be less than significant (Class III).
For the UPRR· mainline tracks within the County a quantitative risk assessment (QRA) was
conducted to determine the level risk associated with the movement of trains from the SMR to
the Roseville and Colton rail yards. The risk for the full length of all three of the routes evaluated
was found to be significant (Class I) in the event of a release of crude oil that resulted in a fire or
explosion in the vicinity of a populated area. This finding is based upon the risk along the entire
length of the routes. The risk within any individual City or County would be considerably less.
The risk is primarily driven by the HTUA (Los Angeles Area, Bay Area, and Sacramento) since
these are the locations where fairly long stretches of track are in close proximity to heavily
populated areas. Mitigation requiring the use of the safest tank car design that is part of the U.S.
Department of Transportation (DOT) proposed rulemaking for high hazard flammable trains
(HHFT), which would include crude oil trains, would substantially reduces the risk. It has been
estimated that use of this tank car design would reduce the probability of an oil spill by about 74
percent. However, the County may be preempted by Federal law from requiring mitigation for
operations on the UPRR mainline tracks (See Section H of the Executive Summary for more
discussion on the preemption issue).
The hazards analysis found that the return period (i.e., average incident rate) for a release of 100
gallons or more of oil from a train between the SMR and the Roseville or Colton rail yards was
estimated to be between one every 46 years to once every 76 years depending upon the rail route
used to get to the SMR. For the full routes within the State of California the return period for a
release of l 00 gallons or more of oil from a train was estimated to be between once every 19
years to once every 30.8 years depending upon the route taken. All of these estimates assume
October 2014 ES-11 Phillips SMR Rail Project
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that all 250 trains per year use the same route. These numbers represent a range of return periods
for the crude oil train within California. The actual figure likely would be a weighted average of
several of these routes, and likely would vary each year.
Recreation
There are no significant and unavoidable (Class I) impacts to recreation associated with the Rail
Spur Project. Impacts to recreational access were found to be less than significant (Class III) in
the event of an oil spill along the UPRR mainline that impacted a recreational area. While spill
cleanup activities could limit access to recreational areas, it would be temporary and would not
result in permanent limits on access.
Noise and Vibration
There are no significant and unavoidable (Class I) impacts to noise and vibration associated with
the Rail Spur Project.
Operation of the Rail Spur Project would generate noise in the area arm,md the SMR due to the
movement of trains during the unloading operations. These impacts were found to be less than
significant with mitigation (Class II). The unloading of a unit train would be expected to _take
about 10 to 12 hours. This includes the time need to position the train, unload the tanker cars,
reassemble the train, and depart the facility. Noise modeling done as part of the EIR determined
that the County nighttime nose standards could be exceeded during the train positioning
operations when locomotive are operating east of the unloading racks. This is the area closest to
residential area.
The requirement for a Rail Unloading and Management Plan, and limits on the amount of time
locomotives can operate at night east of the unloading racks should reduce the noise impacts to
less than significant. There is some level of· uncertainty associated with the unloading time line
and the noise modeling. Therefore, a mitigation measure has been added that would require noise
monitoring to assure that the rail unloading operations due not exceed the County noise
standards.
Population and Housing
There are no significant and unavoidable (Class I) impacts to population and housing associated
with the Rail Spur Project. Impacts to population and housing demand were found to be less
than significant (Class III).
Public Services and Utilities
Operation of the Rail Spur Project could increase demand for fire protection and emergency
response services at both the SMR and along the UPRR mainline tracks due to incidents such as
oil spills, fires, or explosions. The impact to fire protection and emergency services was found to
be less than significant with mitigation (Class II) at the SMR. As part of the Rail Spur Project
fire protection and spill containment systems would be installed, and a new emergency access
road would be constructed to the rail unloading site. Implementation of a Fire Protection Plan,
Emergency Response Plan, Spill Prevention Control and Countermeasure Plan, training
requirements for Calfire and other local mutual aid fire departments, and the SMR fire brigade
would result in less than significant impacts.
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The impact to fire protection and emergency services along the UPRR mainline was found to be
significant (Class I) in the event of a fire or explosion. Many of the local emergency responders
along the various mainline rail routes that could be used for transporting crude oil to the SMR
lack adequate resources to respond to oil by rail accidents. Many of these first responders are in
rural areas and have little or no funding for firefighters and rely on volunteer firefighters.
Specifically, 40% of the fire fighters in California are volunteer firefighters, with many fire
departments entirely staffed by volunteer firefighters. These departments lack the necessary
capacity to support a hazmat team or to obtain training in the specialized areas of oil rail safety
and flammable liquid, and their response time to significant oil by rail accident could be hours.
In addition, some of these volunteer fire departments are in rural mountain areas were the rail
lines traverse local safety hazard areas (LSHA), which historically have had a higher probability
of train derailments.
Mitigation measures requiring training, drills, and notification for emergency responders along
the mainline rail routes would help to mitigate these impacts. However, the County may be
preempted by Federal law from requiring mitigation for operations on the UPRR mainline tracks
(See Section H of the Executive Summary for more discussion on the preemption issue).
Therefore, the impact would remain significant (Class I).
Transportation and Circulation
There are no significant and unavoidable (Class I) impacts to transportation and circulation
associated with the Rail Spur Project.
Minimal traffic would be generated during the operations of the Rail Spur Project. Traffic
impacts during construction were found to be less than significant with mitigation (Class II).
Trucks delivering construction materials to the SMR would be required to use Willow Road from
the new interchange with Highway 101. Implementation of a Construction Traffic Management
Plan would reduce the construction traffic impact to less than significant.
The EIR evaluated the impacts of the Rail Spur Project on passenger train on-time performance.
Unit trains moving on the UPRR mainline tracks could potentially interfere with schedule
passenger trains. The EIR analysis fourid that impact to on-time performance of pa.Ssenger train
service from two additional trains per day (one coming to the SMR and one leaving the SMR)
would be less than significant (Class III).
Water Resources
Construction and operational activities associated with the Rail Spur Project could degrade
surface water and groundwater quality, which was found to be a less than significant with
mitigation (Class II) impact. Implement a Storm Water Pollution Prevention Plan (SWPPP)
using Best Management Practices, and an Oil Spill Contingency Plan would result in less than
significant impacts.
Accidental oil spills at the SMR associated with the operation of the Rail Spur Project were
found to be less than significant with mitigation (Class II). Oil spills could result from onsite
pipelines, or other rail unloading equipment such as the unloading pumps and lines.
Implementation of the oil spill containment systems and Spill Prevention Control and
Countermeasure Plan (SPCCP) would reduce this impact to less than significant levels.
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Accidental oil spills along the UPRR mainline tracks were found to be significant and
unavoidable (Class I) in the event that a spill where it could impact water resources. Only
portions of the UPRR mainline track run adjacent to water resources. In the event of an oil spill
along the UPRR mainline tracks there could be impacts to adjacent surface and groundwater.
Mitigation measures identified for improving emergency response and oil spill cleanup would
help to mitigate these impacts. However, the County may be preempted by Federal law from
requiring mitigation for operations on the UPRR mainline tracks (See Section H of the Executive
Summary for more discussion on the preemption issue).
The Rail Spur Project would increase water demand by 250 gallons per day, or 0.3 AFY. The
total SMR water demand would be 1,111.3 AFY, which would be less than the 1,550 AFY of
water available for SMR use under the Court Stipulation. Therefore, water supply related
impacts are considered less than significant (Class III).
E. Description of Project Alternatives
Alternatives to the Rail Spur Project have been developed per CEQA Guidelines Section
15126.6. The EIR has used an alternative screening analysis to select the alternatives evaluated
in detail in the EIR. The screening analysis looked at alternative transportation modes such as
trucking and marine transport, alternative rail unloading sites, an alternative rail unloading
facility configuration, and reduced train deliveries.
The screening analysis provides the detailed explanation of why some of the alternatives were
rejected for further analysis and ensures that only potentially environmentally preferred
alternatives are evaluated and compared in the EIR. Please see Chapter 5 of the EIR for a
detailed discussion of the screened alternatives. The following are the alternatives that were
selected as part of the screening analysis for more detailed review.
No Project Alternative
With the No Project Alternative no rail spur would be built and crude oil would not be delivered
by train to the SMR. Crude oil deliveries to the SMR would continue to be via pipeline and
truck. Trucks deliver crude oil to the Santa Maria Pump Station, and the oil is then moved via
pipeline to the SMR. In the past year the SMR has been receiving Canadian crude via rail and
truck. The crude is delivered to a rail unloading facility in Bakersfield and then loaded into truck
and delivered to the Santa Maria Pump Station, which it is moved via pipeline to the SMR.
Under the No Project Alternative, Phillips 66 could increase the delivery of North American
crudes to the SMR by about 19,660 barrels per day, using the existing rail and truck system
without requiring any new permits. Oil would be moved via rail to an existing rail unloading
facility in Bakersfield. The oil would then be loaded on to trucks and moved to the Santa Maria
Pump Station. The majority of the truck route would be along State Highway 166 in San Luis
Obispo County. Movement of 19,600 barrels per day would require 2.5 crude oil unit trains per
week.
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Loop Rail Unloading Configuration
With this alternative a large circular track would be constructed at the SMR for the delivery and
unloading of unit trains. This would eliminate the need to uncouple the train into sections for
unloading, however, the area needed for the tracks would be much larger. Trains would pull into
the track and twenty cars would be unloaded. The train would then pull forward and the next
twenty cars would be unloaded. This process would continue until all eighty cars had been
unloaded. The train would then be prepared for departure from the facility. The unloading
operations would be the same as described for the proposed unloading operations.
Reduce Train Deliveries
With this option the Rail Spur Project would be built and operated as proposed, but the SMR
would receive only a maximum of three unit trains per week instead of the proposed five per
week. All of the construction and operational activities would be the same as the proposed
project, which are discussed in Chapter 2 of the EIR.
F. Environmentally Superior Alternative
This section summarizes the advantages and disadvantages of each of the alternatives as
compared to the Rail Spur Project. A ·more detailed comparison of the Rail Spur Project and the
alternatives can be found in Section 5.4 of the EIR.
CEQA does not provide specific direction regarding the methodology of comparing alternatives
to a proposed project. Each project must be evaluated for the issues and impacts that are most
important; this will vary depending on the project type and the environmental setting. Issue areas
with significant long-term impacts are generally given more weight in comparing alternatives.
Impacts that are short-term (e.g., construction-related impacts) or those that can be mitigated to
less than significant levels are generally considered to be less important.
For the Rail Spur Project, the determination of the environmentally superior alternative is
somewhat complicated by the preemption issue. The ~level and severity of a number of the
mainline and locomotive impacts would vary depending upon whether mitigation can be applied
to the Rail Spur Project or some of the Alternatives.
No Project Alternative
With the No Project Alternative, construction and operation of the Rail Spur Project would not
occur. Since the No Project Alternative could occur without any new permits, mitigation
measures could not be applied. If the County is preempted from requiring mitigation on the
UPRR mainline and locomotives, The No Project Alternative offers a number of environmental
advantages since fewer trains would be need to move the oil. Some of this advantage is offset by
the additional truck transportation that would be needed with the No Project Alternative.
With fewer trains the level of public safety risk would be reduced but would likely remain
significant. The trains would avoid the HUT As of Los Angeles and the Bay Area since the trains
would be routed to the San Joaquin Valley. However, they could pass through Sacramento (a
HUTA), Davis, Stockton, Fresno, Bakersfield, etc.
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Annual air and toxic emissions would be reduced with this alternative. However, the peak day
emissions would increase due to the truck emissions. The Class I air toxic impact at the SMR
would be eliminated, and the air toxic impacts at the Bakersfield rail facility would be less than
significant (Class III) since the site is surrounded by agriculture and there are no sensitive
receptors in close proximity to the facility. Annual GHG emissions would increase with the No
Project Alternative due to the additional truck emissions and would remain significant and
unavoidable (Class I).
The risk of impacting sensitive biological and water resources along the mainline rail would be
reduced since the probability of a spill would decrease due to few annual trains. Some of this risk.
would be offset by the risk of a spill from trucks along State Highway 166. While the maximum
spill volume for trucks is lower, the accident rate for trucks is higher than for trains. The risk of
impacting agricultural resources in the event of an oil spill would increase since more of the
mainline rail route would be in close proximity to prime agricultural land in the San Joaquin
Valley.
If the County is not preempted from applying mitigation to the mainline rail and locomotive,
then almost all of the advantages of the No Project Alternative would be eliminated since no
mitigation could be applied to the No Project Alternative. In this case, the Rail Spur Project
would have a number of environmental advantages over the No Project Alternative due to the
benefits of mitigation.
The No Project Alternative would meet most of the basic objectives of the Rail Spur Project.
However, it may not allow the SMR to operate at its permitted throughput capacity since less
crude oil could be available to the refinery.
Loop Rail Unloading Configuration
This alternative would not reduce the impact classification of any of the impacts for the Rail
Spur Project, and would not result in any new impacts that were not identified for the Rail Spur
Project.
The alternative would reduce the air and toxic emissions of the rail operations at the SMR since
less trains movements would be needed to unload the rail cars. However, this alternative would
increase the severity of 21 impacts identified for the Rail Spur Project, but would not change the
classification of any of these impacts (these are all Class II or Class III impacts). Most of these
impacts would be related to construction activities. The loop track configuration would require a
larger area ·of disturbance and more cut and· fill, which increases the severity of some of the
construction impacts. The loop track configuration would require a c_hange in topography of the
site that would increase the severity of the visual impacts. From an environmental standpoint, the
slight reduction in air emission at the SMR would be offset by the increase in severity of a large
number of construction related impacts, and increased visual impacts. This would be the case
whether the County is preempted from applying mitigation on the mainline rail and locomotives.
The Loop Configuration Alternative would meet most of the basic objective of the Rail Spur
Project and would allow for delivery of the same about of crude oil to the refinery as the
proposed project.
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Reduce Train Deliveries
All of the construction impacts would be the same as the Rail Spur Project. A reduction in crude
oil deliveries to the SMR would affect some of the operational impacts associated with air
quality, hazards and hazardous material, and to some degree noise; Operational impacts in all the
·other issue areas would remain essentially the same as the Rail Spur Project. This alternative
would not result in any new impacts not identified as part of the Rail Spur Project.
If the County is preempted from applying mitigation to the mainline rail and locomotive, the
public safety risk would be reduced since the probability of an oil release would be less due to
fewer annual trains. Annual air, toxic and GHG emissions would be less due to fewer annual
trains, but the peak day emissions would remain the same. It would also offer some advantage in
term of 30-year cancer risk in the vicinity of the SMR and along the mainline routes since there
would be less annual exposure to toxic air emissions due to fewer trains.
If the County is not preempted, the reduced rail delivery alternative would offer no advantage
over the Rail Spur Project in terms of air and GHG emissions since these emissions could be
fully mitigated. However, the reduced rail delivery alternative would offer some very minor
advantages over the Rail Spur Project in terms of hazards, noise, and health risk. It would reduce
the likelihood of a train accident due to less annual train miles, reduce the exposure of sensitive
receptors to train unloading noise, and reduce localized air toxic emissions. The advantage in
terms of 30-year cancer risk would be due to the reduction in localized air toxic emissions. It is
unlikely that all the DPM emission reduction credits, which is a mitigation measure, would occur
in the localized area of the SMR and mainline tracks.
All of these slight reductions would result since fewer trains would be delivered to the SMR.
Therefore, even if the County is not preempted, the reduced rail delivery alternative would offer
a very slight environmental advantage over the Rail Spur Project. ·
G. Vertical Coastal Access
As a condition of approval of the Phillips 66 Throughput Increase Project (approved by the
County Board of Supervisors in February 2013), Phillips 66 was required to provide a vertical
public right of coastal access at the SMR Site. The permit conditions require Phillips 66 to
construct vertical public access from State Route I to their western property line to comply with
the coastal access provisions of the County's Coastal Zone Land Use Ordinance (CZLUO).
The condition of approval for the Throughput Increase Project requires that the coastal
accessway be developed within I 0 years of permit issuance or at the time of any subsequent use
permit approval at the project site, whichever occurs first. Therefore, if the Rail Spur Project is
approved (presumably in less than 10 years), the Throughput coastal accessway requirement
would have to be met at that time to be consistent with the County's conditions.
The County's condition of approval on the Throughput Project requires that the access be
consistent with the standards of Section 23.04.420 of the Coastal Zone Land Use Ordinance,
including provisions that a vertical right of access be provided for each mile of coastal frontage,
October 2014 ES-17 Phillips SMR Rail Project
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Executive Summary
unless that access would be inconsistent with public safety, military security needs or the
protection of fragile coastal resources.
The vertical coastal access analysis will be used by the County to assist in determining whether
coastal access is appropriate for the SMR site consistent with the standards of Section 23.04.420
of the Coastal Zone Land Use Ordinance. If the County determines that coastal access at this
location is appropriate, then Phillips 66 and the County could use the information in this BIR to
assist in developing a final design for the coastal access (if substantial improvements would be
required); or could rely on the information in this BIR to develop a coastal accessway (if only
minor improvements are required).
If the County finds that coastal access for this location is consistent with the requirements of
Section 23.04.420 of the Coastal Zone Land Use Ordinance, but substantial improvements are
required to provide a higher intensity of access, then additional environmental review and an
appropriate environmental determination may be required prior to final approval. An additional
Coastal Development Permit would also be required based on the location of coastal access and
resources found in the vicinity of the identified alignment.
Chapter 9 of this EIR contains a programmatic assessment the potential environmental impacts
of various coastal access options for the SMR site. The information· in the chapter is· summarized
below.
G.1 Vertical Coastal Access Project Description
The coastal access would be located in the southwestern comer of San Luis Obispo County,
approximately one mile southwest of State Route I, and approximately 3.5 miles west of the
community of Nipomo, in the South County Coastal planning area.
The recently approved Throughput Increase Project at the SMR. included a site-specific
Conditions of Approval (COA) that required that the coastal access "be located within or
immediately adjacent to the existing maintenance road.'. This access route alignment would
follow an existing refinery truck entrance road from State Route l to a service road that is used
by Phillips 66 to maintain an outfall pipeline. This is a practical alignment in that it follows the
dune contours to provide a relatively gently sloping route, generally avoiding the steep unstable
dune faces and the low-lying surface water features (e.g., Jack Lake, Lettuce Lake) and wetlands
(dune slacks) throughout the area. This alignment would be approximately 2 miles in length from
State Route l to the western SMR property line shared with the Oceano Dunes State Vehicle
Recreation Area (ODSVRA). The location of the existing refinery service road is shown in
Figure BS-4.
At the outlet of the route alignment across the SMR property, the public users would reach the
ODSVRA, and would be approximately 1.5 miles from the ocean. It is assumed that users would
continue to follow the existing service road to the beach and not short-cut through the vegetated
dune areas and the large dune wetland area immediately west of the SMR property. The location
and design of the access across ODSVRA would ultimately have to be determined by the
California Department of Parks and Recreation.
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No formal design for coastal access has been developed by Phillips 66 or the County. As such,
the EIR had to develop conceptual designs for various coastal access options that have been used
to assess the range of environmental impacts that could occur with development of coastal access
at the SMR. If and when a final design is developed for a coastal access additional environmental
review may be required depending upon the type of access, and the extent of improvements that
would be required. Three possible options for use of this service road and the adjacent area were
identified, which included the following:
• Motor Vehicle, Bicycle, and Pedestrian Access,
• Bicycle and Pedestrian Access, and
• Docent Led Access for Pedestrians Only.
These three options were chosen since they represent the full range of intensity for the coastal
access.
Figure ES-4 Coastal Access Route at the SMR Property
Limit 500 Teel Mainline
—Existing Railroad T Railroad
Existing Roadway Tracks
Access Route A
I : Access Route B
Existing Refinery
* '' :+'=r ;i"• Existing Refinery Entrance Road
(oX�T�!V.�f� Service Road
PVI ,. .
BUFFER
ZONEn. Refinery Boundary AREA
{
Refinery
Existing Refinery
= Rail Spur
r r::amu
Source: Adapted from Arcadis 2013
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G.2 Summary of Vertical Coastal Access Assessment
The impacts identified in the coastal access assessment were based upon very limited conceptual
designs, and therefore, represent potential impacts that could occur. The severity and
significance of these impacts could change once detailed designs for each of the options were
developed. However, the impact assessment can be used to gauge the type and possible extent of
the impacts could occur with each of the coastal access options. A summary of the impacts for
each of the options is provided below.
Motor Vehicle, Bicycle/Pedestrian Access
The motor vehicle coastal access would provide the highest intensity of public use, but would
also have the greatest level of impacts on the environment. Construction of the motor vehicle
access road could result in significant biological impact to sensitive plant species including the
Nipomo Mesa lupine, sensitive terrestrial and semi-aquatic wildlife species, and wetlands.
Impacts to sensitive biological and cultural resources could also occur from users straying from
the designated path into sensitive areas.
This option would likely require the construction of a separated-grade crossing of the Union
Pacific railroad tracks. The most likely type of separated-grade crossing would be a vehicle
overpass, which would likely have significant visual impacts since it would be a large structure
that would be visible from the beach.
The motor vehicle coastal access would also have the greatest level of traffic impacts. It has been
estimated that 3,579 peak daily vehicles would possible use this coastal access road. To handle
this level of traffic a signal would likely have to be installed at the intersection of State Route I
and the SMR. In addition, other improvements may have to be made to State Route I such as
turnout lanes.
Opening up a new access point for motor vehicles at the SMR has the potential to increase the
level of PM 10 emissions from sand at the southern end of ·the ODSVRA. While the overall
baseline level of PM 10 emissions would not be expected to increase, there could be an increase in
the localized impacts in the area of the SMR. This might possibly be mitigated with the
implementation of the Particulate Matter Reduction Plan (PMRP) that the State is currently
preparing for the ODSVRA.
Bicycle/Pedestrian Access
The bicycle/pedestrian coastal access option would have the second lowest level of impacts on
the environment. While the construction impacts of this option would be similar to the motor
vehicle option, the intensity of public use would be substantially less. Construction of the
bicycle/pedestrian access path could result in significant biological impact to sensitive plant
species including the Nipomo Mesa lupine, sensitive terrestrial and semi-aquatic wildlife species,
and wetlands. Impacts to sensitive biological and cultural resources could also occur from users
straying from the designated path into sensitive areas.
If a new parking lot would have to be built, there could be impacts to Nipomo Mesa lupine,
which would be a significant biological impact. This option would likely require the construction
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of a separated-grade crossing of the Union Pacific railroad tracks. The most likely type of
separated-grade crossing would be an elevated walkway.
Docent-Led Access
The docent-led coastal access option would have the lowest level of impacts on the environment.
Minimal construction would be needed to implement this option. This option would have the
lowest intensity of public use and access to the coastal trail would be supervised. However, this
option would provide limited public access. If a new parking lot would have to be built, there
could be impacts to Nipomo Mesa lupine, which would be a significant biological impact. It is
also uncertain if a grade-separated crossing of the Union Pacific railroad tracks would be needed
for this level of access. If the California Public Utilities Commission (CUPC) considers the
docent-led access to be a public crossing, then it is possible that a grade-separated crossing could
be required. This would increase some of the construction impacts associated with this option.
G.3 Key Issues Associated with the Vertical Coastal Access Project
Two key issues were identified for the Vertical Coastal Access Project. Each of these is
discussed below.
Public Safety
The coastal access route evaluated in this assessment would pass within about 900 feet of the
active refinery operations, and would parallel or use one of the two main access roads to the
SMR. Opening up a public access route in close proximity to an active refinery presents a
number of public safety issues. In the event of an incident at the SMR members of the public
would be at greater risk of being injured or killed. There is also the potential for interference with
emergency response activities at the refinery in the event of an incident.
While these types of incidents at the SMR are extremely unlikely, typically it is prudent to
maintain an adequate buffer between the active refinery operations and the general public. To
avoid these public safety issues a quantitative risk assessment (QRA) should be conducted to
determine the minimum distance from the SMR operations the. coastal access route should be
located.
Relationship to Ongoing ODSVRA Evaluations
Construction of the coastal access across the SMR property would be for access to the
ODSVRA. This would be particularly true for the motor vehicle access. The question of the best
manner and location for access and staging for ODSVRA has not been completely resolved. It is
a complicated question, and one that is informed by a long and involved permitting history. The
question of access and staging for the ODSVRA may be resolved in the relatively near future
(including in relation to an upcoming Habitat Conservation Plan for ODSVRA, ongoing
Californian Coastal Commission (CCC) condition compliance and review efforts pursuant to
CSPR CDP 4-82-300, and State Parks' current CDP application associated with dust control)
(CCC 2013).
Conditions included in CDPR's CDP issued by the CCC (CDP 4-82-300, as amended) for
ODSVRA operations require CDPR to determine a permanent access and staging location for
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OHV activities that is the least environmentally damaging alternative and that incorporates all
feasible mitigation measures. As a result, a number of studies have been conducted to examine
potential alternative access routes into the ODSVRA. These studies have included a 1991
Environmental Impact Report for the ODSRVA Access Corridor Project, and a 2006 Alternative
Access Study Oceano Dunes State Vehicle Recreation Area. Until the CDPR resolves the long
standing issues associated with access and staging for the ODSVRA, the type of access for the
SMR site is uncertain.
H. Known Areas of Controversy and Uncertainty
According to Section 15123 of the CEQA Guidelines, the EIR shall identify "areas of
controversy known to the Lead Agency including issues raised by agencies and the public." A
number of areas of controversy and uncertainty were raised during the preparation of the EIR.
Each of these is briefly discussed below.
Assessment of Union Pacific Mainline Environmental Impacts
The operation of unit and manifest trains to and from the Rail Spur Project Site would be
performed by UPRR, on UPRR property, and on trains operated by UPRR employees. The
movements of those trains within San Luis Obispo County to and from the Project Site, while
described in this section of the EIR, may be preempted from local and state environmental
regulations by federal law under the Interstate Commerce Commission Termination Act of 1995.
While the potential impacts of those trains movements along the UPRR mainline within San Luis
Obispo County are described in appropriate chapters of this EIR, the County as CEQA Lead
Agency, and other state and local responsible agencies may be preempted from imposing
mitigation measures, conditions or regulations to reduce or mitigate potential impacts of UPRR
train movements on the mainline.
By contrast, all activities performed within the Rail Spur Project Site are not preempted by
federal law since they would not occur on UPRR property and would not be operated by UPRR
employees. The impacts of the activities that occur on the Rail Spur Project Site are described
and evaluated in respective chapters of this EIR, and the County as CEQA Lead Agency, and
other state and local responsible agencies have the authority to impose mitigation measures,
conditions or regulations to reduce or mitigate potential impacts within the Rail Spur Project
Site.
Train Unloading Sequence and Time
There is some uncertainty in the estimated time that each of the train unloading steps would
require at the SMR. The EIR preparers worked with Phillips 66 to develop a detailed breakdown
of the unloading operations that looked at how the locomotive would move while at the SMR
and how long each operation would take. The results of this analysis are presented in Chapter 2
of the EIR. Changes in this unloading sequence or associated times could affect the noise and air
quality impacts. If the times were shorter than the impact levels could decrease. If time are
longer than the impacts could increase. What has been analyzed in the EIR is a reasonable worst
case in term of train speeds, uncoupling times and tanker car unloading times. Given the
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Executive Summary
uncertainty, noise mitigation has been proposed that would limit the amount of time locomotives
could operate at night east of the unlading rack.
Fugitive Dust Emissions
Exeededences of fugitive dust standards has been an issue on the Nipomo Mesa. A study
performed by the SLOCAPCD, the South County Phase 2 Particulate Study, evaluated whether
impacts from off-road vehicle activities at the ODSVRA, the Phillips 66 Refinery coke piles, and
adjacent agricultural fields were contributing to the particulate problems on the Nipomo Mesa.
The ODSVRA is upwind of the Nipomo Mesa; the study data includes the ODSVRA in the area
that is the major source of particulates on the Nipomo Mesa. The study indicates that off-road
vehicle activity on the dunes is known to cause de-vegetation, destabilization of dune structure,
and destruction of the natural crust on the dune surface. All of these increase the ability of winds
to entrain sand particles from the dunes and carry them to the Nipomo Mesa, representing an
indirect emissions impact from the off-road vehicles. The study concluded that off-road vehicle
activity is the primary cause of the high PM levels measured on the Nipomo Mesa during
episode days.
Impacts of the Rail Spur Project on fugitive dust emissions are discussed in Section 4.3, Air
Quality and Greenhouse Gases. The Rail Spur Project would generate about 1.32 lbs per day of
fugitive dust emissions (PM 10 ). This is well below the SLOCAPCD threshold of 25 pound per
day.
Relationship between the Recently Approved SMR Throughput Project and the Rail Spur
Project
A number of people have raised the issue that the Rail Spur Project is directly related to the
recently approved SMR Throughput Increase Project, and should have been evaluated in the
same CEQA document.
The Rail Spur Project would not affect the amount (throughput volume) of material processed at
the refinery. Throughput levels at the refinery are capped by"the County of San Luis Obispo and
by the SLOCAPCD. The ability of the SMR to operate at the maximum approved throughput
level is based on the existing infrastructure and is not dependent on, or related to, the Rail Spur
Project. However, if and when local crude oil production (the current major source of oil for the
SMR) declines, the Rail Spur Project, if approved, would allow the SMR to maintain operating
up to its permitted throughput levels.
The land use application for the SMR Throughput Project was submitted in 2008 and the Final
EIR for the Throughput Project was certified by the County Board of Supervisors in March of
2013, which was approximately two months before the application for the Rail Spur Project was
submitted to the County. Therefore, evaluation of these projects separately would not be
considered "piece-mealing" under CEQA.
Federal and State Regulations on Crude Oil by Rail
Traditionally, pipelines and oceangoing tankers have delivered the vast majority of crude to U.S.
refineries, accounting for approximately 93% of total receipts (in barrels) in 2012. Although
other modes of transportation-rail, barge, and truck-have accounted for a relatively minor
portion of crude oil shipments, volumes have been rising very rapidly. The volume of crude oil
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Executive Summary
carried by rail increased 423% between 2011 and 2012 (Congressional Research Service 2014).
This increase in crude oil transportation by rail has resulted in a number of recent crude oil train
derailments and release. As of a result of these incidents, the Federal Government and the State
of California have begun taking action to improve crude by rail safety.
The movement of crude on the mainline rail within the United States is regulated by the Federal
Railroad Administration (FRA) and the Pipeline and Hazardous Materials Safety Administration
(PHMSA), which are both part of DOT.
On July 23, 2014 the DOT issued a notice of proposed rulemaking covering enhanced tank car
standards and operational controls for high-hazard flammable trains, which include crude oil
trains. As part of the proposed DOT rulemaking, the PHMSA, in coordination with the FRA, is
proposing: (l) new operational requirements for certain trains transporting a large volume of
Class 3 flammable liquids'; (2) improvements in tank car standards; and (3) revision of the
general requirements for offerors to ensure proper classification and characterization of mined
gases and liquids. These proposed requirements are designed to lessen the frequency and
consequences of train accidents/incidents (train accidents) involving certain trains transporting a
large volume of flammable liquids.
In July of 2014 the DOT issued an advanced notice of proposed rulemaking covering oil spill
response plans for high-hazard flammable trains. The advanced notice of proposed rulemaking
would set a lower threshold for when a comprehensive Oil Spill Response Plan (OSRP) is
required for crude oil trains. Some of the thresholds that are suggested in the notice are
1,000,000 gallons or more per train (approximately 35 car loads), 20 or more car loads, or 42,000
gallons per train. The notice also discusses the possibility conducting training, drills, and
equipment testing, and placing oil spill response equipment along rail road tracks.
This advanced notice of proposed rulemaking is currently out for a 90-day comment period. It is
expected that the DOT will eventually issue a notice of proposed rulemaking and adopt some
final regulation regarding oil spill response plans for high-hazard flammable trains.
In 2014, Governor Brown expanded California's oil spill prevention and response program to
cover all statewide surface waters at risk of oil spills. This expansion provided funding for
industry preparedness, spill response, and continued coordination with local, state and federal
government along with industry and non-governmental organizations. Senate Bill 861 authorized
the Office of Spill Prevention and Response (OSPR) with the statewide expansion and regulatory
oversight. The changes would apply to railroads, pipelines, and oil well/production facilities.
These facilities will be required to have oil spill contingency plans. The legislation also requires
announced and unannounced drills to test response and cleanup operations, equipment,
contingency plans, and procedures. All elements of the plan must be excised at least one very
three years. Operators of covered facilities must be able to demonstrate financial resources to pay
for spill response and damages based upon a reasonable worst case spill volume.
1 A flammable liquid having a flash point of not more than 141°F, or any material in a liquid phase with a flash point
at or above 100°F, and would include crude oil.
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The regulation requires a six and one-half cent per barrel tax on crude oil and petroleum products
received at refineries or marine terminals within California to cover the cost of the expanded oil
spill response program.
The final outcome of the Federal regulations and the implementation timing for SB 861 were
unknown at the time of the writing of this Draft EIR. Full implementation of the final Federal
regulations and SB 861 could affect the analysis and conclusions in this Draft EIR.
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