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LPGas: Liability Insurance & NFPA 54 - 2009 edition

M E M O R A N D U M

TO:   LP Gas Dispensers & HVAC Contractors

FROM:   Brent R. Halladay, Chief Deputy State Fire Marshal

DATE:   February 9, 2009

SUBJECT:   Liability Insurance & NFPA 54 - 2009 Edition

As directed by the Utah Liquefied Petroleum Gas Board, I am sending this memorandum to inform and receive input from LP Gas dispensers and HVAC contractors on two items of interest. The LP Gas Board will be meeting in a regularly scheduled Board meeting on March 6, 2009 at 10 AM at Murray City Hall, Council Chambers, 5025 South State Street, Murray, Utah.  The Board wishes to receive input from the LP Gas dispensers and HVAC Contractors on the following:

1. The LP Gas Board is taking input on the proposed requirement that each application for a license would require proof of public liability insurance.  Under the allowance in UCA 53-7-305 it states:  “The Board shall make rules as reasonably necessary for the protection of health, welfare and safety of the public and persons using LPG.”  The LP Gas Board is taking comments in the best interests of health, welfare and safety that each distributor, dispenser and HVAC contractor has a minimum amount of public liability insurance.  The requirement would be for at least $100,000 for each incident and $300,000 for total coverage.  This is the same amount required by the Utah Division of Professional Licensing (DOPL) for contractors to have a license in the State of Utah.  The Board has directed staff that we notify all dispensers and HVAC contractors of this proposal since it will affect your license.
2. The Board will also be evaluating the changes proposed in the 2009 edition of NFPA 54 at the next Board meeting.  It is proposed that the currently adopted 2006 edition of NFPA 54 be upgraded to the 2009 edition.  The Board invites all who have an interest in this document to be in attendance at the Board meeting for the evaluation.

If you cannot be in attendance at the Board Meeting please contact Chief Deputy Brent R. Halladay, Office of the State Fire Marshal, 5272 South College Drive, Suite 302, Murray, Utah 84123.  You can also call me at 801-284-6350 (Office) or 801-232-2398 (Cell).  I will present your concerns or letter to the Board in your behalf.  Thanks so much.