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Oil Transfer Rule Small Business Economic Impact Statement & Cost Benefit and Least Burdensome Analysis

Client: Washington State Department of Ecology Spill Prevention

Location: Olympia, WA

Summary: The Washington State Department of Ecology Spill Prevention, Preparedness, and Response Program revised rules that govern the transfer of oil within Washington State waters. As part of the rulemaking process, Cardno ENTRIX economists conducted a cost benefit analysis of the regulations. Calculation of costs were developed through intereviews with representatives from all sectors of affected industries, including oil refining, marine transportation, shipping, pulp and paper mills that receive oil transferred over water, oil spill response organizations, fuel docks, and small marinas. Costs were developed for a 20-year period. Economic implications of the incresased costs were included in the analysis, although not quantified. In addition, a Small Business Economic Impact Statement was developed which compared per employee costs for small businesses as compared with large businesses.