§1656 Civil Penalties

Summary

The Secretary of the Interior can fine people for oil spills that happen while oil is moving to the Trans‑Alaska Pipeline, while it is being moved through the pipeline, or while it is handled at terminal sites, if the spill harms or threatens natural resources or property. The owner of the oil at the time of the spill is fully responsible for the penalty, along with whoever caused or allowed the spill, but the United States and state governments are not liable. Fines can be up to $1,000 per barrel. When setting the fine, the Secretary will consider how serious the damage was, what caused the spill, any past violations, and how much the violator tried to limit the harm. The Secretary can reduce or cancel a fine if the spill was caused only by war, an act of God, or a third party beyond the liable parties’ control. A fine under this rule cannot be stacked on top of an existing federal oil pollution penalty. A fine can only be imposed after the person gets notice and a formal hearing under federal procedure. The Secretary can issue subpoenas and make rules for gathering evidence. If a person asks for a hearing and loses, they can appeal to the U.S. Court of Appeals for the D.C. Circuit or the circuit where they live or do business, but they must file that appeal within 30 days of the penalty order. States and local governments can still impose their own penalties or rules, and this law does not change any other federal or state legal duties for oil discharges.