OSHA proposes millions in fines after chemical spill

The U.S. Department of Labor has proposed more than $3.5 million in penalties against three companies after investigators…….
OSHA.

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The U.S. Department of Labor has proposed more than $3.5 million in penalties against three companies after investigators found workers were exposed to serious health and safety risks during the cleanup of a major chemical spill at the BWC Terminals industrial facility in Channelview, Houston.

The Occupational Safety and Health Administration (OSHA) launched three inspections following a sulfuric acid spill on 27 December 2025 that resulted in multiple employee injuries.

OSHA found that despite safety warnings, BWC Terminals mixed fresh and spent sulfuric acid, causing a tank overpressure that ruptured a supply line and released one million gallons of sulfuric acid.

Contractors face largest penalties

Following the incident, BWC Terminals contracted Coastal Environmental Solutions Inc. to manage the hazardous waste cleanup, with Coastal Environmental Solutions appointing subcontractor One Way Environmental Services LLC to supply labour for the remediation work.

OSHA cited One Way Environmental Services for 18 willful egregious violations and five serious violations after finding workers were sent to clean up the chemical spill without adequate training, respirator fit testing or appropriate safety measures. The company faces proposed penalties of $3,045,452.

Coastal Environmental Solutions was cited for two willful and five serious violations, including failures relating to worker training, the absence of a safety and health programme, a lack of an emergency response plan for hazardous waste operations and emergency response, and deficiencies in respirator use. OSHA has proposed penalties of $392,501.

BWC Terminals also cited

BWC Terminals was cited for six serious violations for exposing workers to chemical burns, failing to provide hazardous materials training and deficiencies relating to the use of respirators.

The company faces proposed penalties of $82,750.

Companies may contest findings

The combined proposed penalties against the three employers total $3,520,703.

Each company has 15 business days from receiving the citations to comply with the findings, request an informal conference with OSHA’s area director or formally contest the citations before the independent Occupational Safety and Health Review Commission.

Assistant Secretary for Occupational Health and Safety, David Keeling, said: “Despite having full knowledge of the severe hazards involved in the spill and cleanup response, these three employers chose to bypass OSHA requirements and put their workers at serious risk.

“Their joint failure to protect workers was not an oversight, it was a choice that resulted in preventable employee injuries and environmental impacts.

“We will not hesitate to hold employers accountable when they ignore federal laws that are in place to protect workers’ safety and health.”

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