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Notice2026-18501

Hazardous Materials: California's Reusability Mandate for Propane Cylinders

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Published
September 10, 2026

Issuing agencies

Transportation DepartmentPipeline and Hazardous Materials Safety Administration

Abstract

The Federal Hazardous Materials Transportation Act (HMTA), 49 U.S.C. 5101 et seq., preempts California's reusability mandate for propane cylinders in California Public Resources Code, Sections 42395- 42395.2. The reusability mandate imposes localized design and manufacturing requirements on a container that is represented, marked, certified, or sold as qualified for use in the transportation of a hazardous material--specifically, propane--that are not substantively the same as the requirements in the HMR. The reusability mandate is also an obstacle to accomplishing and carrying out the HMTA. By banning a federally authorized, safety-compliant packaging based on localized waste management preferences, California creates a fragmented regulatory patchwork that undermines the primacy and uniformity of the Federal transportation safety framework.

Full Text

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<title>Federal Register, Volume 91 Issue 174 (Thursday, September 10, 2026)</title>
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[Federal Register Volume 91, Number 174 (Thursday, September 10, 2026)]
[Notices]
[Pages 57684-57693]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-18501]


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DEPARTMENT OF TRANSPORTATION

Pipeline and Hazardous Materials Safety Administration

[Docket No. PHMSA-2025-0776; PD-41(R)]


Hazardous Materials: California's Reusability Mandate for Propane 
Cylinders

AGENCY: Pipeline and Hazardous Materials Safety Administration (PHMSA), 
DOT.

ACTION: Notice of administrative determination of preemption.

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SUMMARY: The Federal Hazardous Materials Transportation Act (HMTA), 49 
U.S.C. 5101 et seq., preempts California's reusability mandate for 
propane cylinders in California Public Resources Code, Sections 42395-
42395.2. The reusability mandate imposes localized design and 
manufacturing requirements on a container that is represented, marked, 
certified, or sold as qualified for use in the transportation of a 
hazardous material--specifically, propane--that are not substantively 
the same as the requirements in the HMR. The reusability mandate is 
also an obstacle to accomplishing and carrying out the HMTA. By banning 
a federally authorized, safety-compliant packaging based on localized 
waste management preferences, California creates a fragmented 
regulatory patchwork that undermines the primacy and uniformity of the 
Federal transportation safety framework.

FOR FURTHER INFORMATION CONTACT: Samantha Vrscak, Office of Chief 
Counsel, Pipeline and Hazardous Materials Safety Administration, U.S. 
Department of Transportation, 1200 New Jersey Avenue SE, Washington, DC 
20590; Telephone No. 202-366-4400; Facsimile No. 202-366-7041.

SUPPLEMENTARY INFORMATION:

I. Background

    Worthington Enterprises, Inc. (Worthington) applied for a 
determination as to whether the HMTA, 49 U.S.C. 5101 et seq., and the 
Hazardous Materials Regulations (HMR), 49 CFR parts 171-80, preempts a 
new reusability mandate for propane cylinders in California Public 
Resources Code, Cal. Pub. Res. Code Sec. Sec.  42395-42395.2. The 
reusability mandate generally provides that, on or after January 1, 
2028, all propane cylinders sold or offered for sale in California must 
be reusable or refillable. The reusability mandate does not apply to 
cylinders customarily designed for use in the construction industry 
with a capacity of less than 15 ounces, to cylinders with an overall 
product height-to-width ratio of 3.55 to 1 or greater, or to cylinders 
offered to a State or local government agency for purchase pursuant to 
the U.S. General Services Administration's State and Local Disaster 
Purchasing Program or its successor. See Cal. Pub. Res. Code Sec. Sec.  
42395-42395.1.
    Worthington designs and manufactures certain non-reusable and non-
refillable propane cylinders that are subject to the California 
reusability mandate. These cylinders are also subject to the 
requirements in the HMR for specification 39 non-reusable (non-
refillable) cylinders (DOT-39 cylinders).\1\ A cylinder is a type of

[[Page 57685]]

``packaging'' or ``container'' regulated under the HMR.\2\ Section 
178.65 of the HMR prescribes detailed design and manufacturing 
requirements for the non-reusable and non-refillable DOT-39 cylinders 
that are the subject of this preemption determination. DOT-39 cylinders 
are also authorized packagings that can be used to transport propane, a 
Division 2.1 flammable gas, in commerce.\3\
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    \1\ Under the HMR, a DOT-39 cylinder is a non-reusable and non-
refillable seamless, welded, or brazed cylinder made of steel or 
aluminum with size limitations dependent on the service pressure and 
requirements for manufacturing, cylinder wall thickness, openings 
and attachments on the cylinder head, and pressure and flattening 
testing. See 49 CFR 178.65. Subsection 178.65(i) requires specific 
markings on the cylinder, such as the specification number, service 
and test pressure, the registration number of the manufacturer, date 
of manufacture, ``NRC'' for ``non-reusable container,'' and the 
statement, ``Federal law forbids transportation if refilled'' with a 
statement of the maximum civil and criminal penalties applicable at 
the date of manufacture.
    \2\ See 49 U.S.C. 5103(b)(1)(A)(iii); 49 CFR 171.8 
(``packaging'' is defined as ``a receptacle and any other components 
or materials necessary for the receptacle to perform its containment 
function in conformance with the minimum packing requirements of 
[the HMR]'' and ``package'' is defined as ``a packaging plus its 
contents''); 49 CFR 178.35 (general requirements for DOT 
specification cylinders); 49 CFR 178.65 (requirements for DOT-39 
non-reusable (non-refillable) cylinders).
    \3\ See 49 CFR 172.101 (Hazardous Materials Table); 49 CFR 
173.301(a)(1) (general requirements for shipment of compressed gases 
and other hazardous materials in cylinders; includes DOT-39 
cylinders as an authorized packaging for compressed gases); and 
Sec.  173.304 (requirements for filling of cylinders with liquefied 
compressed gases).
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    Citing the Federal preemption provision in the HMTA, Worthington 
filed an application on August 18, 2025 asking PHMSA to issue an 
administrative determination that the California reusability mandate is 
unlawful for two reasons: (1) because it is not substantively the same 
as Federal regulations governing the design, manufacture, and 
maintenance of cylinders used in transportation of hazardous materials; 
and (2) because it is an obstacle to the Federal hazardous material 
transportation legal and regulatory regime.
    PHMSA published notice of Worthington's application in the Federal 
Register on January 9, 2026 (Docket No. PHMSA-2025-0776) and invited 
interested parties to submit comments.\4\ The initial comment period 
closed on February 9, 2026, followed by a rebuttal comment period that 
remained open until March 10, 2026. PHMSA received a total of seventeen 
comments, including a Congressional letter, in response to the notice. 
These comments are summarized in Part IV below.
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    \4\ 91 FR 1029 (Jan. 9, 2026).
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II. Preemption Under Federal Hazardous Material Transportation Law

    The HMTA contains an express preemption provision in 49 U.S.C. 
5125. That provision is intended to ensure uniformity in the regulation 
of hazardous materials transportation.\5\ Section 5125(a) authorizes 
two forms of preemption that have long been recognized under Federal 
law. The first is commonly known as dual compliance preemption. The 
second is commonly known as obstacle preemption.\6\ In addition, 
Section 5125(b)(1) preempts State laws about certain subjects that are 
not ``substantively the same'' as Federal law.
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    \5\ S. Rep. No. 1192, 93rd Cong. 2nd Sess. 37 (1974) (stating 
that the Senate Commerce Committee ``endorse[d] the principle of 
preemption in order to preclude a multiplicity of State and local 
regulations and the potential for varying as well as conflicting 
regulations in the area of hazardous materials transportation''); 
Colorado Pub. Util. Comm'n v. Harmon, 951 F.2d 1571, 1575 (10th Cir. 
1991) (characterizing uniformity as the ``linchpin'' in the design 
of the Federal laws governing the transportation of hazardous 
materials).
    \6\ See Hines v. Davidowitz, 312 U.S. 52 (1941); Florida Lime & 
Avocado Growers, Inc. v. Paul, 373 U.S. 132 (1963); Ray v. Atlantic 
Richfield Co., 435 U.S. 151 (1978).
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Dual Compliance and Obstacle Preemption

    Section 5125(a) provides that a requirement of a State, political 
subdivision of a State, or Indian tribe is preempted--unless the non-
Federal requirement is authorized by another Federal law or the U.S 
Department of Transportation (Department or DOT) grants a waiver of 
preemption under Section 5125(e)--if:

    (1) complying with a requirement of the State, political 
subdivision, or tribe and a requirement of this chapter, a 
regulation prescribed under this chapter, or a hazardous materials 
transportation security regulation or directive issued by the 
Secretary of Homeland Security is not possible; or
    (2) the requirement of the State, political subdivision, or 
tribe, as applied or enforced, is an obstacle to accomplishing and 
carrying out this chapter, a regulation prescribed under this 
chapter, or a hazardous materials transportation security regulation 
or directive issued by the Secretary of Homeland Security.

Covered Subject Preemption

    Section 5125(b)(1) further provides that a non-Federal requirement 
concerning any of the following subjects is preempted--unless 
authorized by another Federal law or DOT grants a waiver of 
preemption--when the non-Federal requirement is not ``substantively the 
same'' as a provision of Federal hazardous material transportation law, 
a regulation prescribed under that law, or a hazardous materials 
security regulation or directive issued by the Department of Homeland 
Security:

    (A) the designation, description, and classification of 
hazardous material.
    (B) the packing, repacking, handling, labeling, marking, and 
placarding of hazardous material.
    (C) the preparation, execution, and use of shipping documents 
related to hazardous material and requirements related to the 
number, contents, and placement of those documents.
    (D) the written notification, recording, and reporting of the 
unintentional release in transportation of hazardous material and 
other written hazardous materials transportation incident reporting 
involving State or local emergency responders in the initial 
response to the incident.
    (E) the designing, manufacturing, fabricating, inspecting, 
marking, maintaining, reconditioning, repairing, or testing a 
package, container, or packaging component that is represented, 
marked, certified, or sold as qualified for use in transporting 
hazardous material in commerce.\7\
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    \7\ To be ``substantively the same,'' the non-Federal 
requirement must conform ``in every significant respect to the 
Federal requirement. Editorial and other similar de minimis changes 
are permitted.'' 49 CFR 107.202(d).
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Administrative Preemption Determinations

    The HMTA allows any person (including a State, political 
subdivision of a State, or Indian tribe) directly affected by a 
requirement of a State, political subdivision or Indian tribe to apply 
to the Secretary of Transportation for an administrative preemption 
determination.\8\ The Secretary of Transportation has delegated his 
authority to make such determinations to PHMSA, except with respect to 
matters concerning highway routing (which have been delegated to the 
Federal Motor Carrier Safety Administration).\9\ Alternatively, a 
person may seek a judicial decision on preemption from a court of 
competent jurisdiction.\10\ However, once an application is filed with 
PHMSA, an applicant may not seek judicial relief with respect to the 
same, or substantially the same issue, until the agency has taken final 
action on the application or 180 days after filing the application.\11\
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    \8\ 49 U.S.C. 5125(d)(1).
    \9\ 49 CFR 1.97(b).
    \10\ 49 U.S.C. 5125(d)(3).
    \11\ 49 U.S.C. 5125(d)(1); 49 CFR 107.203(d).
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    Section 5125(d)(1) requires the Secretary to publish notice of an 
application for a preemption determination in the Federal Register. 
Following the receipt and consideration

[[Page 57686]]

of written comments, PHMSA publishes its determination in the Federal 
Register.\12\
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    \12\ 49 CFR 107.209(c).
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    In making preemption determinations under 49 U.S.C. 5125(d), PHMSA 
is guided by the principles and policies set forth in Executive Order 
No. 13132 (E.O. 13132) and the President's May 20, 2009 Memorandum on 
Preemption.\13\ Section 4(a) of E.O. 13132 authorizes preemption of 
State laws only when a statute contains an express preemption 
provision, there is other clear evidence Congress intended to preempt 
State law, or the exercise of State authority directly conflicts with 
the exercise of Federal authority. Here, Section 5125 contains express 
preemption provisions. The President's May 20, 2009 Memorandum sets 
forth the policy ``that preemption of State law by executive 
departments and agencies should be undertaken only with full 
consideration of the legitimate prerogatives of the States and with a 
sufficient legal basis for preemption.'' \14\
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    \13\ E.O. 13132, Federalism, 64 FR 43255 (Aug. 10, 1999); 
Memorandum on Preemption, 74 FR 24693 (May 22, 2009).
    \14\ 74 FR at 24693.
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III. The California Reusability Mandate for Propane Cylinders

    As enacted by Section 42395.1 of the California Public Resources 
Code, ``[o]n or after January 1, 2028, only reusable or refillable 
propane cylinders shall be sold or offered for sale in [California].'' 
\15\ Section 42395(a) of the California Public Resources Code provides 
that:
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    \15\ Cal. Pub. Res. Code Sec.  42395.1.

    For the purposes of this chapter, ``reusable'' or ``refillable'' 
or ``reuse'' or ``refill,'' in regard to propane cylinders means a 
cylinder that satisfies all of the following:
    (1) Explicitly designed and marketed to be utilized multiple 
times for the same product.
    (2) Designed for durability to function properly in its original 
condition for multiple uses.
    (3) Supported by adequate infrastructure to ensure the cylinders 
can be conveniently and safety reused for multiple cycles.

    Section 42395(b) further states that ``[f]or the purposes of this 
chapter, `propane cylinder' does not include any of the following:

    (1) Cylinders that are customarily designed for use in the 
construction industry and when full, contain less than 15 ounces of 
fuel, whether filled solely with propane or not.
    (2) Cylinders that have an overall product height-to-width of 
3.55 to 1 or greater.
    (3) Cylinders that are offered to a State or local government 
purchasing agency pursuant to the United States General Services 
Administration's State and Local Disaster Purchasing Program, or a 
successor program.

    The State Department of Resources Recycling and Recovery is 
required to ``adopt regulations to implement [the law] with an 
effective date of January 1, 2028.'' \16\
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    \16\ Cal. Pub. Res. Code Sec.  42395.2. See also 2024 Cal. 
Legis. Serv. Ch. 466 (S.B. 1280).
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IV. Public Comments

    PHMSA received a total of seventeen comments responding to 
Worthington's application for an administrative preemption 
determination on the California reusability mandate for propane 
cylinders. Nine commenters expressed their support for the application, 
and eight commenters expressed their opposition. Additional information 
about the comments is provided below.

A. Comments Supporting Preemption

Goal and Purpose of HMTA
    Nearly all commenters in favor of preemption argue that 
California's reusability mandate for propane cylinders obstructs the 
purpose of the HMTA. The National Propane Gas Association (NPGA), a 
national trade organization representing the propane industry, states 
that the California reusability mandate would disrupt national 
uniformity and undermine safety.\17\ Noting that the purpose of the 
HMTA is to create one set of rules for transportation, safety, 
equipment, and operations, NPGA observes that differing State 
requirements for propane cylinders undermine that purpose by creating a 
patchwork of manufacturing and safety standards.\18\ NPGA further 
states that the refillable propane cylinders required by the California 
reusability mandate do not yet have an established safety and 
operational record comparable to DOT-39 cylinders.\19\
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    \17\ National Propane Gas Association (NPGA), Comment, Docket ID 
PHMSA-2025-0776-0004 (Feb. 6, 2026).
    \18\ Id. at 2.
    \19\ Id. at 1.
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    Cleveland-Cliffs Inc., a producer of flat-rolled steel in North 
America and a supplier of steel used by U.S. manufacturers of non-
reusable propane cylinders, argues that the California reusability 
mandate undermines national standards for the use and regulation of 
propane cylinders that have been established through industry guidance 
and practice.\20\ Cleveland-Cliffs notes that the HMR explicitly allow 
non-refillable propane cylinders, and echoes NPGA's claim that the 
California reusability mandate requires the use of refillable propane 
cylinders that do not have the same established safety and operations 
record as DOT-39 cylinders.\21\
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    \20\ Cleveland-Cliffs Inc., Comment, Docket ID PHMSA-2025-0776-
0009 (Feb. 6, 2026).
    \21\ See id.
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    A group of nonprofit organizations dedicated to wildlife 
conservation (collectively known as Wildlife Conservation 
Organizations) argue that DOT-39 propane cylinders are the national 
standard ``because they are safe, convenient, and affordable,'' 
particularly for outdoor recreationists.\22\ The Wildlife Conservation 
Organizations further state that imposing a State-specific design 
requirement ``disrupts national uniformity, increases safety hazard 
potential, and places burdens on commerce,'' frustrating the purpose of 
a uniform regulatory framework as intended by the HMTA.\23\ The 
Wildlife Conservation Organizations note that ``[m]any of their members 
recreate in multiple states,'' and that the requirements in the 
California reusability mandate ``w[ould] create confusion and practical 
compliance challenges'' for the rest of the country.\24\
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    \22\ Wildlife Conservation Organizations, Comment, Docket ID 
PHMSA-2025-0776-0001 at 1 (Feb. 9, 2026).
    \23\ Id. at 2.
    \24\ Id.
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    The Attorneys General of Kansas and Ohio argue that ``[t]he [HMTA] 
ensures safe packaging and transportation of hazardous materials.'' 
\25\ The State Attorneys General emphasize that ``uniformity and 
certainty matter'' because ``packaging, transporting, and using 
compressed gas is dangerous.'' \26\ They argue that the California 
reusability mandate is an obstacle to promoting the HMTA's objectives 
of promoting safety and minimizing burdens on commerce by prohibiting 
``the sale of safe, tried-and-true propane cylinders.'' \27\ The State 
Attorneys General assert that reusable or refillable cylinders can be 
dangerous for untrained consumers who may inadvertently overfill the 
cylinders, use worn or damaged cylinders, cause leaks, or transport 
cylinders unsafely.\28\ They argue that it is important for consumers, 
including those from out of State, to ``have the opportunity to buy 
safe and reliable single-use cylinder[s].'' \29\ They also argue 
manufacturers will be forced

[[Page 57687]]

to ``shift significant resources'' to continue operating in the market, 
which will drive up costs and cause further economic harm.\30\ The 
International Association of Machinists and Aerospace Workers Union 
(IAM), District 10, also emphasize that the California reusability 
mandate presents an obstacle to maintaining compliance with the 
national hazmat transportation regulatory scheme.\31\ Requiring a 
unique product to be used in California places an unreasonable burden 
on commerce.
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    \25\ Attorneys General of Kansas & Ohio, Comment, Docket ID 
PHMSA-2025-0776-0008 at 1 (Feb. 6, 2026).
    \26\ Id.
    \27\ Id. at 2.
    \28\ Id.
    \29\ Id.
    \30\ Id.
    \31\ International Association of Machinists and Aerospace 
Workers (IAM), District 10, Comment, Docket ID PHMSA-2025-0776-0010 
at 1 (Jan. 21, 2026).
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Not Substantively the Same
    The Attorneys General of Kansas and Ohio argue that the California 
reusability mandate must be preempted because it is about the designing 
and manufacturing of propane cylinders and requires that the cylinders 
at issue be designed and manufactured to California's specifications, 
i.e., the cylinders must be reusable or refillable.\32\ By having its 
own design and manufacturing requirements, the California reusability 
mandate is in conflict with 49 U.S.C. 5125(b)(1)(E). IAM, District 10, 
also claims the California reusability mandate is preempted as 
pertaining to a covered subject area, i.e., the designing, 
manufacturing, and fabricating of a container used to transport 
hazardous materials, and requiring a different cylinder design than one 
authorized by the HMTA to be sold or offered for sale in 
California.\33\ The Wildlife Conservation Organizations similarly argue 
that California is imposing a State-specific design mandate that is not 
substantially the same as Federal requirements.\34\ They note that 
California is mandating a different product design than what is 
otherwise allowed in every other State.\35\
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    \32\ Attorneys General of Kansas & Ohio, Comment, Docket ID 
PHMSA-2025-0776-0008 at 2.
    \33\ IAM, District 10, Comment, Docket ID PHMSA-2025-0776-0010 
at 1.
    \34\ Wildlife Conservation Organizations, Comment, Docket ID 
PHMSA-2025-0776-0001 at 1.
    \35\ Id.
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Economic Burdens
    Several commenters argue that the California reusability mandate 
would impose unreasonable economic burdens on commerce. In a joint 
comment, the State Attorneys General of Kansas and Ohio note that 
single-use cylinders have been manufactured in Kansas for decades and 
that Ohio-based Worthington Enterprises is the only American 
manufacturer of DOT-39 cylinders.\36\ They argue that the California 
reusability mandate threatens jobs, impedes commerce, creates confusion 
for manufacturers and for retailers, and undermines affordability and 
safety for all consumers.\37\ Relatedly, NPGA claims that compliance 
with a patchwork of different State requirements would be costly and 
confusing for propane companies operating interstate.\38\
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    \36\ Attorneys General of Kansas & Ohio, Comment, Docket ID 
PHMSA-2025-0776-0008 at 1.
    \37\ Id.
    \38\ NPGA, Comment, Docket ID PHMSA-2025-0776-0004 at 2.
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    Cleveland-Cliffs notes that the current market for non-reusable 
propane cylinders is served entirely by domestically produced steel, 
whereas refillable cylinders are currently made overseas with foreign 
materials, raising both economic and safety concerns.\39\ IAM, District 
10, a union representing workers in a manufacturing facility where non-
refillable propane cylinders are produced, notes that 255 workers are 
employed at that facility.\40\ They argue that if California's ban on 
nonreusable cylinders goes into effect, it will reduce consumer demand 
for those products and likely reduce the need for those jobs.\41\ In 
addition, the Wildlife Conservation Organizations argue that from a 
consumer standpoint, reusable or refillable cylinder alternatives can 
impose significantly higher costs and may require users to transport 
larger tanks or travel long distances to locate a refill retailer, 
placing significant burdens on backcountry and remote-use 
activities.\42\
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    \39\ Cleveland-Cliffs Inc., Comment, Docket ID PHMSA-2025-0776-
0009.
    \40\ IAM, District 10, Comment, Docket ID PHMSA-2025-0776-0010 
at 1.
    \41\ Id.
    \42\ Wildlife Conservation Organizations, Comment, Docket ID 
PHMSA-2025-0776-0001 at 1.
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B. Comments Opposing Preemption

Regulates Waste Management, Not Hazmat Transportation
    Most of the comments opposing preemption emphasize that the 
California reusability mandate relates to waste management and public 
safety, matters falling within the reach of the State's traditional 
police powers. Solid Waste Association of North America (SWANA), an 
advocacy organization focused on the advancement of solid waste 
management to resource management, argues that the reusability 
requirement advances waste management worker and facility safety and 
reduces the amount of waste and disposal costs associated with single-
use cylinders.\43\ SWANA elaborates that improperly discarded propane 
cylinders are a safety risk.\44\ Single-use cylinders that enter 
collection vehicles or processing facilities ``can retain residual gas 
or pressure and may explode when compacted, crushed, or otherwise 
handled during normal waste management operations.'' \45\ SWANA asserts 
that such incidents endanger workers and increase costs on local 
governments and waste management facility operators through insurance, 
maintenance, and repairs.\46\ SWANA cites a September 23, 2024 press 
release from California State Senator John Laird, author of California 
Senate Bill 1280 (SB 1280), from which Cal. Pub. Res. Code Sec. Sec.  
42395-42395.2 is codified.\47\ In the press release, Senator Laird 
explained the law was enacted for a ``cleaner and safer California,'' 
due to the burden of improperly disposed cylinders on park systems, 
beaches, waste management facilities, and local governments.\48\
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    \43\ Solid Waste Association of North America (SWANA), Comment, 
Docket ID PHMSA-2025-0776-0005 at 2 (Feb. 9, 2026).
    \44\ Id.
    \45\ Id. at 3.
    \46\ Id.
    \47\ Id. at 2.
    \48\ Id.
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    The California Product Stewardship Council (CPSC) and Rural County 
Representatives of California (RCRC), in a joint comment, argue that 
the California reusability mandate is a waste management law that falls 
within the State's traditional police powers.\49\ Citing to the 
President's May 20, 2009 Memorandum on Preemption and E.O. No. 13132, 
CPSC and RCRC argue that PHMSA should limit the impact its preemption 
determination would have on California's exercise of its police powers 
to address issues outside the scope of the HMTA, i.e., waste 
management, product stewardship, and environmental protection.\50\ 
Echoing arguments made by SWANA, CPSC and RCRC state that the 
California reusability mandate addresses waste management challenges 
associated with single-use propane cylinders, primarily the disposal of 
single-use cylinders that are landfilled or illegally dumped and rarely 
properly recycled due to residual gas and infrastructure gaps, and that 
are known to cause fires, explosions, and injuries at waste handling 
facilities.\51\

[[Page 57688]]

They argue that California enacted the reusability mandate after 
legislative findings showing the risks to sanitation workers and 
firefighters, the ineffectiveness of voluntary recycling programs, and 
the lack of Federal action addressing the harms associated with 
improper disposal of non-reusable propane cylinders.\52\ CPSC and RCRC 
urge PHMSA to consider California's legitimate interests in addressing 
a waste management problem and avoid a preemption determination 
undermining California's ``legitimate exercise of its police powers.'' 
\53\
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    \49\ Cal. Prod. Stewardship Council (CPSC) & Rural Cnty. 
Representatives of Cal. (RCRC), Comment, Docket ID PHMSA-2025-0776-
0012 at 1 (Feb. 6, 2026).
    \50\ Id. at 1-2.
    \51\ Id. at 2.
    \52\ Id. at 3.
    \53\ Id. at 4.
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Does Not Present an Obstacle to the HMTA

    The majority of commenters opposing preemption argue that the 
California reusability mandate does not present an obstacle to carrying 
out the HMTA. SWANA argues California's reusability requirement is not 
an obstacle so long as the refillable cylinders meet DOT standards.\54\ 
SWANA notes that there is precedent for the use of refillable propane 
cylinders, such as 20-pound refillable cylinders used for 
barbeques.\55\ SWANA also argues that ``other states have laws that 
support refillable cylinders, such as Connecticut's [Extended Producer 
Responsibility] law for gas cylinders (Public Act No. 24-133),'' though 
does not elaborate in what manner Connecticut had done so.\56\
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    \54\ SWANA, Comment, Docket ID PHMSA-2025-0776-0005 at 2.
    \55\ Id.
    \56\ Id.
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    CPSC and RCRC argue that the California reusability mandate does 
not create an obstacle to Federal laws regarding the transportation of 
hazardous materials, specifying that the law does not prohibit propane 
use, does not interfere with Federal transportation or handling 
requirements, and does not require the redesign of cylinders already 
compliant with Federal law.\57\ They assert that DOT-39 cylinders may 
still be transported in commerce in California for sale to consumers in 
other States, thus ``avoiding any impact on interstate commerce.'' \58\ 
Special Waste Associates (SWA), who provides consulting services to 
local and State governments about managing household hazardous waste, 
asserts that the California reusability mandate is not an obstacle to 
the HMTA because other manufacturers have sold small refillable propane 
cylinders for consumer use.\59\ SWA further asserts that Worthington 
has the ability to manufacture refillable one-pound propane cylinders 
and has simply ``chosen not to do so.'' \60\
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    \57\ CPSC & RCRC, Comment, Docket ID PHMSA-2025-0776-0012 at 2-
3.
    \58\ Id. at 3.
    \59\ Special Waste Associates (SWA), Comment, Docket ID PHMSA-
2025-0776-0011 at 2 (Feb. 9, 2026).
    \60\ Id.
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Does Not Pertain to a Covered Subject
    The majority of the commenters opposed to preemption also argue 
that the California reusability mandate does not pertain to a covered 
subject and therefore is not required to be ``substantively the same 
as'' a provision of the HMTA or the HMR. SWANA claims that the 
``substantively the same'' provision relates to transportation, and 
that the California reusability mandate ``does not speak to the 
transportation of . . . cylinders.'' \61\ CPSC and RCRC argue SB 1280 
is not a safety standard regulating the design, manufacture, 
fabrication, inspection, marking, maintenance, reconditioning, 
repairing, or testing of packagings or containers that are represented, 
marked, certified, or sold as qualified for use in transporting 
hazmat.\62\ They also argue that the California reusability mandate 
does not impose new design specifications or transportation 
requirements on propane cylinders or prohibits the use of propane.\63\ 
Instead, they claim that the reusability mandate relies upon cylinder 
specifications already established by DOT; specifically, the DOT 4BA 
specification for reusable and refillable welded or brazed steel 
cylinders.\64\ They argue that even if the California reusability 
mandate relates to the design, manufacture, or fabrication of 
containers used to transport hazmat, its ``implicit reliance'' on the 
DOT 4BA cylinder specification means that it is complementary to, and 
thus ``substantively the same as,'' Federal hazardous material 
transportation law and regulations.\65\
---------------------------------------------------------------------------

    \61\ SWANA, Comment, Docket ID PHMSA-2025-0776-0005 at 2.
    \62\ CPSC & RCRC, Comment, Docket ID PHMSA-2025-0776-0012 at 1.
    \63\ Id.
    \64\ Id.
    \65\ Id.
---------------------------------------------------------------------------

    SWA further argues California's law is not preempted because 
propane cylinders are not a ``packaging'' under the HMR.\66\ SWA claims 
the one-pound cylinders are instead the ``product being contained in 
the packaging,'' and that the box used to ship the cylinder was the 
``packaging.'' \67\ SWA further asserts the outer packaging must 
conform with the HMR's packaging requirements, ``not the materials 
inside the packaging.'' \68\
---------------------------------------------------------------------------

    \66\ SWA, Comment, Docket ID PHMSA-2025-0776-0011 at 2.
    \67\ Id.
    \68\ Id.
---------------------------------------------------------------------------

Dual Compliance Is Possible
    CPSC and RCRC argue that the California reusability mandate does 
not make compliance with both State and Federal law impossible, and 
noted that reusable DOT 4BA cylinders would be permitted.\69\ They also 
argue that the reusability mandate does not prohibit the manufacturing 
of single-use cylinders; it merely prohibits their sale to consumers in 
California.\70\
---------------------------------------------------------------------------

    \69\ CPSC & RCRC, Comment, Docket ID PHMSA-2025-0776-0012 at 2-
3.
    \70\ Id.
---------------------------------------------------------------------------

C. Rebuttal Comments

Rebuttal Comments in Support of Preemption
    The rebuttal comments in favor of preemption largely echo those 
submitted during the initial comment period. In a joint letter, 
Representatives Troy Balderson, Ron Estes, and Tony Wied express 
concern that the California reusability mandate threatens manufacturing 
jobs in their States and argue that domestic manufacturers of cylinders 
rely on a uniform regulatory framework to produce safe cylinders.\71\ 
They note that millions of Americans use non-refillable propane 
cylinders in emergency situations and for outdoor activities.\72\ They 
argue the California reusability mandate reduces safety by creating a 
haphazard and inconsistent regulatory environment, noting that DOT-39 
cylinders are the national standard for portable fuel and have been 
rigorously designed and tested.\73\
---------------------------------------------------------------------------

    \71\ Reps. Balderson, Estes, & Wied, Comment, Docket ID PHMSA-
2025-0776-0015 (Feb. 27, 2026).
    \72\ Id. at 1.
    \73\ Id. at 1-2.
---------------------------------------------------------------------------

    California Grocers Association (CGA), a nonprofit statewide trade 
association for the grocery and retail industry in California, agrees 
that the California reusability mandate is an obstacle to maintaining 
compliance with a uniform scheme of Federal regulation meant to promote 
safety and will impose an unreasonable burden on commerce.\74\ CGA 
estimates that managing a California-specific distribution for propane 
cylinders would cost California grocers millions of dollars.\75\ CGA 
also argues the California reusability mandate should be preempted 
under the covered subject provision in the HMTA,

[[Page 57689]]

because the HMR authorizes non-refillable propane cylinders, and the 
reusability mandate will prevent its members from transporting non-
refillable propane cylinders to consumers despite being ``available to 
all other consumers in the U.S.'' \76\
---------------------------------------------------------------------------

    \74\ California Grocers Association (CGA), Comment, Docket ID 
PHMSA-2025-0776-0014 (Feb. 19, 2026).
    \75\ Id. at 1.
    \76\ Id. at 2.
---------------------------------------------------------------------------

    James Hunter Poole, Executive Chairman and Chief Executive Officer 
of Obelisk Tech Systems, Inc., argues the California reusability 
mandate should be preempted on economic grounds because imposing 
disproportionate burdens on small propane cylinder manufacturers as 
well as consumers in rural households, who rely on single-use propane 
cylinders as a primary emergency energy source in natural 
disasters.\77\ Mr. Poole reasons that small rural propane distributors 
would be forced to increase costs as a result of California pulling out 
of the market, and that fragmenting the national market would reduce 
availability during natural disasters.\78\ Mr. Poole asserts the 
California reusability mandate will obstruct the HMTA's purpose of 
national uniformity.\79\ He elaborates that a manufacturer supplying 
propane cylinders must either manufacture two different cylinder types, 
one for California and one for the rest of the country, ``creating 
exactly the non-uniform patchwork the HMTA was designed to prevent.'' 
\80\ Alternatively, those manufacturers must redesign their product 
lines to meet California's requirements, imposing California's policy 
preferences on the entire market.\81\ In response to previous 
commenters, Mr. Poole notes that while California's concern about waste 
and disposable are legitimate environmental objectives, they are not 
hazardous materials transportation safety objectives.\82\
---------------------------------------------------------------------------

    \77\ Obelisk Tech Systems, Inc., Comment, Docket ID PHMSA-2025-
0776-0016 at Doc. 9, 11, & 12 (Mar. 10, 2026).
    \78\ Id.
    \79\ Id. at Doc. 9.
    \80\ Id.
    \81\ Id.
    \82\ Id. at Doc. 10.
---------------------------------------------------------------------------

    Worthington, in its rebuttal, agrees with commenters expressing 
support for preemption and argues that those comments confirm that 
preemption is both legally appropriate and in the public interest by 
ensuring the free flow of commerce, preserving jobs, advancing safety, 
and protecting consumer choice and affordability.\83\ Worthington 
argues that opposition commenters cannot support their view because the 
California reusability mandate clearly imposes design requirements and 
HMTA preemption encompasses restrictions on containers holding hazmat, 
such as cylinders, not just the outer packaging or the transportation 
of hazmat.\84\ Worthington asserts that the California reusability 
mandate is ``not complementary to the uniform regulatory scheme'' and 
that the federalism concerns raised by other commenters do not apply 
because there is no presumption against preemption where the statute 
contains an express preemption clause, such as in the HMTA.\85\
---------------------------------------------------------------------------

    \83\ Worthington Enterprises, Inc., Comment, Docket ID PHMSA-
2025-0776-0018 at 1 (Mar. 10, 2026).
    \84\ Id. at 2.
    \85\ Id.
---------------------------------------------------------------------------

    Worthington reiterates that the HMTA preempts California's non-
reusable cylinder ban because it pertains to an enumerated subject 
matter in 49 U.S.C. 5125(b)(1) and 49 CFR 107.202(a)(5)--specifically, 
the designing, manufacturing, fabricating, etc. of a packaging, 
container, or packaging component--and is not substantively the same as 
the Federal requirements.\86\ Contrary to the assertions of CPSC and 
RCRC, Worthington argues that the California reusability mandate 
imposes design specifications on propane cylinders, as it defines 
cylinders that are reusable or refillable as those ``explicitly 
designed and marketed to be utilized multiple times for the same 
product.'' \87\ Worthington further argues that CPSC and RCRC 
misunderstand the HMTA's preemption provision in stating that the 
reusability mandate does not regulate the design or manufacture of 
propane cylinders because it does not prohibit propane use and does not 
impose specific requirements as to cylinder pressure, valves, or 
materials.\88\ Worthington states that a law prohibiting propane use 
has no bearing on whether it imposes a propane cylinder design 
requirement, and a regulation imposing a legal duty of reusability 
imposes a design requirement because it bars the selection of a 
federally approved cylinder design.\89\
---------------------------------------------------------------------------

    \86\ Id.
    \87\ Id. at 3 (quoting Cal. Pub. Res. Code Sec.  42395).
    \88\ Id.
    \89\ Id.
---------------------------------------------------------------------------

    Worthington further argues that HMTA preemption is not limited to 
outer ``packaging,'' as suggested by some of the commenters, because it 
is about the design or manufacture of a package, container, or 
packaging component used for transporting hazmat, and that DOT-39 
cylinders are containers with specific regulatory requirements.\90\ 
Rejecting CAW and SWANA's assertions that preemption only applies to 
State requirements related to transportation, Worthington claims the 
covered subject provision about designing and manufacturing containers 
does not require a particular connection to transportation, only that 
such containers are qualified for use in transporting hazmat, which 
includes DOT-39 cylinders.\91\ Worthington further asserts that 
California's reusability mandate is not complementary to Federal law 
because mandating a specific cylinder design to the exclusion of others 
``is not substantively the same as a provision permitting that design 
among other designs,'' as there is no Federal provision requiring 
cylinders to be reusable such as DOT 4BA cylinders.\92\
---------------------------------------------------------------------------

    \90\ Id. at 3-5.
    \91\ Id.
    \92\ Id. at 6-7.
---------------------------------------------------------------------------

    Worthington emphasizes that California's reusability mandate 
creates an obstacle to the HMTA and HMR's objectives to ``promote 
uniformity of hazmat regulation, safety, and cost-effective commerce.'' 
\93\ Further, preemption is in the public interest because it would 
promote uniform regulatory standards that are safer, ensure consumer 
choice and affordability, and promote American jobs and industry.\94\ 
Worthington expresses skepticism that waste management and 
environmental concerns would be addressed by the reusability mandate, 
claiming that enhanced recycling programs and infrastructure are more 
appropriate methods.\95\ Worthington reasons that consumers have 
indicated a preference for nonreusable cylinders for affordability and 
convenience.\96\ If forced to buy a reusable or refillable cylinder, 
consumers are just as likely to purchase a new one instead of refilling 
an existing one.\97\
---------------------------------------------------------------------------

    \93\ Id. at 5.
    \94\ Id. at 7-8.
    \95\ Id. at 8.
    \96\ Id.
    \97\ Id.
---------------------------------------------------------------------------

    Worthington notes consumers have expressed discomfort with 
refillable options, citing to a presentation at the 2025 U.S. Product 
Stewardship Forum in which Little Kamper, a company operating a 
cylinder exchange program, reported at most a 60 percent exchange rate 
at their best performing retail location.\98\ Worthington further 
argues that California's reusability mandate disregards safety because 
DOT-39 cylinders have to meet certain regulatory standards and testing, 
whereas reusable one-pound cylinders

[[Page 57690]]

on the market encourage untrained consumers to refill using unregulated 
fill kits.\99\ Worthington states that banning a safe type of cylinder 
does not promote safety in the waste stream because every type of 
propane cylinder bears the same risks, and the safety threat to 
consumers refilling cylinders themselves and not requalifying cylinders 
at appropriate intervals outweighs the risks to safety in the waste 
stream.\100\
---------------------------------------------------------------------------

    \98\ Id.
    \99\ Id. at 9.
    \100\ Id.
---------------------------------------------------------------------------

Rebuttal Comments Opposed to Preemption
    The rebuttal comments opposed to preemption mostly reiterate points 
made during the initial comment period. Californians Against Waste 
(CAW), a statewide nonprofit organization representing local 
governments, waste management professionals and recyclers, and 
environmental advocates, emphasizes that the reusability mandate is a 
waste prevention and product stewardship statute that falls within 
California's traditional police powers.\101\ CAW asserts the mandate 
addresses the sale of a product that is uniquely hazardous once 
discarded, posing an explosion and fire risk in waste management 
operations.\102\ It argues Congress had preserved State authority in 
the areas of waste prevention, product stewardship, and post-consumer 
safety and that nothing in the HMTA ``evidences an intent to displace 
State action addressing downstream environmental and infrastructure 
harms.'' \103\ CAW also asserts California's reusability requirement 
does not present an obstacle to the HMTA because the reusability 
requirement did not interfere with the HMTA's safety objectives or 
undermine national uniformity, did not restrict the transportation of 
propane, prohibit authorized cylinder designs from being shipped in 
interstate commerce, or impose conflicting operational requirements on 
carriers.\104\ CAW reiterates SWA's claim that the one-pound propane 
cylinders are ``the product'' and not packaging as regulated under the 
HMR, and that the outer packaging is regulated by PHMSA as a packaging, 
not the cylinders themselves.\105\
---------------------------------------------------------------------------

    \101\ Californians Against Waste (CAW), Comment, Docket ID 
PHMSA-2025-0776-0013 at 1 (Feb. 9, 2026).
    \102\ Id.
    \103\ Id. at 2.
    \104\ Id.
    \105\ Id.
---------------------------------------------------------------------------

    Billy Puk, a former hazmat and waste regulator and an illegal waste 
dumping investigator in California, similarly argues that it is within 
California's traditional police powers to manage waste and public 
safety.\106\ Mr. Puk claims that improper propane cylinder disposal is 
a crisis, with only 25 percent of such cylinders recovered through 
household hazardous waste programs and are instead regularly commingled 
with municipal waste, where they can cause flash fires and explosions 
from being compacted or at waste facilities.\107\ He asserts SB 1280 is 
not preempted as an obstacle to the HMTA because numerous manufacturers 
already produce DOT specification one-pound refillable cylinders, and 
that California should be permitted to choose between existing 
federally approved cylinders ``to solve a local waste and safety 
crisis.'' \108\
---------------------------------------------------------------------------

    \106\ Billy Puk, Comment, Docket ID PHMSA-2025-0776-0017 at 1 
(Mar. 10, 2026).
    \107\ Id. at 1-2.
    \108\ Id. at 4.
---------------------------------------------------------------------------

    The Attorney General of California, in rebuttal, argues the 
California reusability mandate protects public safety, particularly 
workers in municipal waste and recycling facilities from the dangers of 
improperly disposed propane cylinders, and thus falls within 
California's traditional police powers and is entitled to a presumption 
against preemption.\109\ Referencing SWANA's comment, the California 
Attorney General notes that, while California State law requires 
propane cylinders to be disposed of as hazardous waste, an estimated 
three to four million end up in municipal landfills not certified to 
receive hazardous waste, and those cylinders contain residual gas and 
may explode when damaged or crushed during disposal or recycling.\110\ 
The California Attorney General further asserts that, even when 
properly disposed, the processes required for safe handling of non-
refillable propane cylinders impose significant costs on local 
facilities, and the reusability mandate addresses these safety and cost 
issues.\111\ The California Attorney General also argues that, in all 
preemption cases, it is presumed that the ``historic police powers of 
the State'' are not supplanted by Federal law ``unless that was the 
clear and manifest purpose of Congress.'' \112\ The California Attorney 
General asserts that because a primary purpose in enacting SB 1280 was 
to protect landfill workers, PHMSA should ``incorporate the presumption 
against a finding of preemption'' for California's propane cylinder 
reusability mandate as falling within California's historic police 
powers.\113\
---------------------------------------------------------------------------

    \109\ Attorney General of California, Comment, Docket ID PHMSA-
2025-0776-0019 at 1 (Mar. 10, 2026).
    \110\ Id. at 2.
    \111\ Id. at 3.
    \112\ Id. at 4 (quoting Wyeth v. Levine, 555 U.S. 555, 565 
(2009)).
    \113\ Id.
---------------------------------------------------------------------------

    The California Attorney General rejects the contention that the 
reusability mandate is not substantively the same as comparable Federal 
requirements.\114\ Assuming that cylinders are a ``package'' under the 
HMTA, and therefore that any State requirement regarding their 
``designing, manufacturing, fabricating. . . . or testing'' must be 
substantively the same, the California Attorney General asserts there 
are no requirements in the California mandate that are not 
substantively the same as those under the HMR.\115\ The California 
Attorney General states that the HMR specifies cylinder designs in 49 
CFR part 178, which includes non-refillable cylinders, but the 
regulations do not prohibit the design of refillable or reusable 
cylinders.\116\ Rather, the HMR provides that cylinders may be designed 
for repeated use.\117\ The California Attorney General notes that DOT-
4BA reusable cylinders are authorized for propane and that there are 
numerous one-pound reusable cylinder options for sale as well as refill 
kits at major retailers.\118\
---------------------------------------------------------------------------

    \114\ Id. at 5.
    \115\ Id
    \116\ Id.
    \117\ Id.
    \118\ Id.
---------------------------------------------------------------------------

    The California Attorney General further argues there is no 
preemption under the obstacle test because the reusability mandate does 
not present an obstacle to accomplishing and carrying out the HMTA or 
the HMR.\119\ The California Attorney General elaborates that the 
HMTA's purpose is to promote safety in hazardous materials 
transportation through uniform regulation, and that the reusability 
mandate does not create an obstacle to that purpose, but rather 
furthers an interest in safety by reducing the number of improperly 
disposed propane cylinders in municipal landfills.\120\ The California 
Attorney General argues that, while some commenters raised concerns 
about the effect of the mandate on jobs, commerce, and consumer costs, 
none of those concerns relate to the safe transportation of 
hazmat.\121\ The California Attorney General also argues there is no 
preemption under the dual compliance test because the HMR authorizes 
reusable cylinders and does not require propane cylinders to be

[[Page 57691]]

nonreusable, and thus it is not impossible to comply with both the 
reusability mandate and the HMR.\122\
---------------------------------------------------------------------------

    \119\ Id. at 6.
    \120\ Id.
    \121\ Id.
    \122\ Id.
---------------------------------------------------------------------------

V. Discussion

    PHMSA finds that California's reusability mandate for propane 
cylinders is preempted. The mandate concerns the ``designing, 
manufacturing, fabricating, inspecting, marking, [or] maintaining'' of 
a packaging or container used in the transportation of hazardous 
materials in commerce and is not ``substantively the same'' as the 
Federal regulations. In addition, California's reusability mandate is 
also an obstacle to accomplishing and carrying out the HMTA and the 
HMR. Accordingly, the reusability mandate is preempted under 49 U.S.C. 
5125(a)(2) and (b)(1)(E).

A. Covered Subject Preemption

    Section 5125(b)(1) generally provides that a non-Federal 
requirement concerning certain covered subjects is preempted if that 
non-Federal requirement is not ``substantively the same'' as a 
regulation prescribed in the HMR.\123\ The California reusability 
mandate falls squarely within the reach of this provision for two 
reasons. First, the mandate is a non-Federal requirement that relates 
to a covered subject, i.e., the designing, manufacturing, fabricating, 
inspecting, marking, and maintaining of propane cylinders, which are 
packagings or containers qualified for use in transporting hazardous 
materials in commerce. Second, the mandate imposes non-Federal 
requirements on propane cylinders that are not substantively the same 
as the requirements in the HMR, which expressly authorize DOT-39 
cylinders to be designed and manufactured as single-use, i.e., as 
``non-reusable (non-refillable),'' packagings or containers. The 
California reusability mandate is therefore preempted under section 
5125(b)(1)(E).
---------------------------------------------------------------------------

    \123\ 49 U.S.C. 5125(b)(1)(E).
---------------------------------------------------------------------------

    At to the first issue, the California reusability mandate clearly 
relates to a covered subject. The HMR prescribes detailed requirements 
for the design and manufacture of specification cylinders generally and 
DOT-39 specification cylinders specifically.\124\ The general 
requirements for specification cylinders include provisions for 
construction and fabrication standards, safety device standards, 
marking requirements, and certification and inspection requirements. 
Moreover, the specific requirements for DOT-39 cylinders include 
provisions for size, service pressure, and test pressure; authorized 
materials; manufacturing standards; minimum wall thickness standards; 
openings and attachments; testing and inspection requirements; and 
required markings.\125\
---------------------------------------------------------------------------

    \125\ See 49 CFR 178.65.
---------------------------------------------------------------------------

    Of particular significance for the issues presented here, the HMR 
expressly authorizes DOT-39 cylinders to be designed, manufactured, and 
fabricated as non-reusable (non-refillable) propane cylinders. That is 
confirmed by the general requirements in the HMR for specification 
cylinders, which have a specific provision for inspecting non-
refillable cylinders,\126\ and by the specific requirements in the HMR 
for ``Specification 39 non-refillable (non-reusable) cylinders.'' \127\ 
Indeed, the latter requirements expressly forbid the use of refillable 
DOT-39 cylinders and require that such cylinders be marked with the 
following statement: ``Federal law forbids transportation if refilled-
penalty up to $500,000 fine and 5 years imprisonment (49 U.S.C. 
5124).'' \128\
---------------------------------------------------------------------------

    \126\ 49 CFR 178.35(c)(3).
    \127\ 49 CFR 178.65 (italics added).
    \128\ 49 CFR 178.65(i)(2)(ii) & (i)(2)(viii).
---------------------------------------------------------------------------

    As to the second issue, the California reusability mandate clearly 
imposes requirements that are not substantively the same as the HMR. 
The HMR expressly authorizes the design, manufacture, and fabrication 
of non-refillable (non-reusable) cylinders as packagings or containers 
qualified for use in transporting propane in commerce. The HMR also 
expressly forbids the use in transportation of DOT-39 cylinders that 
are refilled with propane. The California reusability mandate is not 
substantively the same as these requirements; indeed, it is in direct 
conflict with them. Further, the mandate imposes additional inspection, 
marking, and maintenance requirements, given that DOT-39 cylinder have 
different inspection and marking requirements from refillable 
cylinders, and reusable cylinders must be requalified at specific 
intervals for continued use.\129\ As such, the mandate is preempted 
under the covered subject provision in Section 5125(b)(1)(E).
---------------------------------------------------------------------------

    \129\ See 49 CFR 178.35(c)(3) (inspection requirements for DOT-
39 cylinders); Sec.  178.65(i)(2)(viii) (marking requirements for 
DOT-39 cylinders); see also Sec.  180.205 (general requirements for 
requalification of specification cylinders).
---------------------------------------------------------------------------

    The contrary arguments presented by the commenters are 
unpersuasive. As a threshold matter, the preemption provision in the 
HMTA is not limited to State requirements directly relating to the 
transportation of packagings or containers for hazardous materials. The 
provision applies to a packaging or container qualified for the use in 
transporting hazardous materials, regardless of whether it is in 
``transportation.'' \130\ Nor does the California reusability mandate 
enjoy a presumption against preemption as a waste management statute 
enacted pursuant to the State's traditional police powers. There is no 
presumption against preemption when a statute contains an express 
preemption clause, such as in the HMTA.\131\
---------------------------------------------------------------------------

    \130\ Applicability of the Hazardous Materials Regulations to 
Loading, Unloading, and Storage, 68 FR 61906, 61908 (Oct. 30, 2003). 
In this final rule, PHMSA emphasized that the DOT or UN 
specification markings on packagings qualified for use in 
transportation of hazardous materials in commerce ``certify that the 
packaging has been designed, tested, and maintained in conformance 
with all applicable HMR requirements,'' and that the requirements of 
the HMR apply regardless of ``whether or not [the packaging] is in 
transportation in commerce at any particular time.'' See also Roth 
v. Norfalco LLC, 651 F.3d. 367, 379-80 (3d Cir. 2011) (finding 
Section 5125(b)(1) ``expressly preempts'' differing requirements 
about the ``design'' of a tank car qualified for use in transporting 
hazardous materials even when the tank car was not in transportation 
under the HMTA or HMR).
    \131\ See Buono v. Tyco Fire Products, LP, 78 F.4th 490, 495 (2d 
Cir. 2023) (citing Puerto Rico v. Franklin Cal. Tax-Free Tr., 579 
U.S. 115, 125 (2016)). In Buono, the Second Circuit Court of Appeals 
broadly interpreted the statutory language, emphasizing that ``[t]he 
HMTA expressly preempts nonfederal laws `about' certain subjects 
related to the transportation of hazardous materials in commerce.'' 
Id. at 493.
---------------------------------------------------------------------------

    Section 5125(b)(1) of the HMTA is an express preemption clause 
``because it `expressly directs that State law be ousted' if certain 
conditions are satisfied.'' \132\ As noted by the Third Circuit in 
Roth, Section 5125(b)(1) is ``an expansive preemption provision,'' and 
there was ``nothing in the HTMA'' to indicate Congress did not intend 
to preempt State requirements about the covered subjects listed 
within.\133\ Rather, the HMTA's preemption provision was ``the linchpin 
of Congress' efforts to impose nationwide regulatory uniformity.'' 
\134\ Congress's

[[Page 57692]]

preemptive intent of the HMTA is obvious from the plain language of 
Section 5125(b)(1), as well as in the Federal hazardous materials 
transportation law's legislative history.\135\
---------------------------------------------------------------------------

    \132\ Id. at 496 (citing Association of Int'l Auto. Mfrs. v. 
Abrams, 84 F.3d 602, 607 (2d. Cir. 1996)). The ``plain wording of 
the clause'' is the ``best evidence of Congress' preemptive 
intent.'' Id. at 495 (citing Chamber of Com. of U.S. v. Whiting, 563 
U.S. 582, 594 (2011)).
    \133\ Roth, 651 F.3d at 376, 378-80. The Third Circuit stressed 
the breadth of the preemption provision: ``It is obvious from the 
face of the statute that Sec.  5125(b)(1) expressly preempts non-
federal requirements that relate to, or are `about,' the five 
subject areas set forth in Sec.  5125(b)(1)(A)-(E).'' Id. at 375.
    \134\ Id. at 378 (citing Harmon, 951 F.2d at 1581). Cf. Monsanto 
Company v. Durnell, 146 S. Ct. 2001, 2009-12 (2026) (holding that 
the Federal Insecticide, Fungicide, and Rodenticide Act (FIRFA)'s 
preemption clause entitled ``Uniformity'' expressly preempted State-
law labeling requirements, such as cancer warning labels not 
required by EPA, that were different from the Federal labeling 
requirements under FIRFA based on the ``textually stated objective 
of'' uniformity in labeling in FIRFA's preemption clause).
    \135\ See Public Law 101-615, 104 Stat. 3244, 3247-49 (1990); 
H.R. Rep. No. 101-444, pt. 1, at 33-35 (1990). In amending the HMTA 
in 1990, the House of Representatives Committee on Energy and 
Commerce found ``there is a compelling need for standardized 
requirements relating to certain areas of the transportation of 
hazardous materials. Conflicting Federal, State, and local 
requirements pose potentially serious threats to the safe 
transportation of hazardous materials.'' H.R. Rep. No. 101-444, pt. 
1, at 33-34. The Committee specified that one such area concerned 
the ``[d]esign, manufacturing, marking, maintenance, reconditioning, 
repairing, or testing of hazardous materials packaging,'' noting 
that ``[c]onflicting requirements'' may reduce the effectiveness of 
such packagings and impose ``needless economic burdens.'' Id. at 35. 
As a result of the Committee's findings that uniformity in the 
``designing, manufacturing, and testing'' of hazardous materials 
packages and containers ``will enhance the safe transportation of 
hazardous materials,'' Congress amended the Federal hazardous 
materials transportation law to include the ``substantively the 
same'' preemption standard. See Public Law 101-615, 104 Stat. at 
3247-49.
---------------------------------------------------------------------------

    California's Attorney General asserts that the reusability 
requirement for propane cylinders is substantively the same as the HMR, 
specifying that the HMR does not prohibit the design of refillable or 
reusable cylinders, and that other DOT specification cylinders that are 
refillable or reusable, such as DOT 4BA cylinders, have been authorized 
for transporting propane. PHMSA disagrees with this assertion. While 
the HMR does permit the design of refillable or reusable cylinders, it 
also expressly permits single-use, non-refillable cylinders. California 
seeks to impose design and manufacturing requirements, namely that they 
must be reusable and refillable, for all propane cylinders offered for 
sale with few exceptions, which is not substantively the same as the 
HMR. On its face, California's mandate may only reasonably be 
interpreted to impose design and manufacturing requirements on 
packagings or containers, particularly, DOT-39 cylinders, that are 
qualified for use in transporting hazmat in commerce.\136\
---------------------------------------------------------------------------

    \136\ As explained supra, the HMR authorize DOT-39 cylinders as 
qualified packagings for use in the transportation of propane in 
commerce. See 49 CFR 173.301(a).
---------------------------------------------------------------------------

    In conclusion, a non-Federal requirement is not ``substantively the 
same'' unless it ``conforms in every significant aspect to the Federal 
requirement.'' \137\ Accordingly, California's law imposes additional, 
different requirements regarding the design and manufacture of 
cylinders qualified for use in the transportation of propane, a 
hazardous material. Thus, California's reusability requirement for 
propane cylinders is preempted under 49 U.S.C. 5125(b)(1)(E).
---------------------------------------------------------------------------

    \137\ 49 CFR 107.202(d).
---------------------------------------------------------------------------

B. Obstacle Preemption

    Section 5125(a)(2) generally provides that a non-Federal 
requirement is preempted if complying with that requirement ``is an 
obstacle to accomplishing and carrying out'' the HMTA or ``a regulation 
prescribed under'' the HMTA.\138\ California's reusability mandate is a 
non-Federal requirement that satisfies the obstacle criteria laid out 
in this provision. It is therefore preempted under 49 U.S.C. 
5125(a)(2).
---------------------------------------------------------------------------

    \138\ 49 U.S.C. 5125(a)(2).
---------------------------------------------------------------------------

    In enacting the HMTA, Congress made findings relating to the 
transportation of hazardous materials and the importance of uniform 
regulations governing hazmat transportation.\139\ Congress noted many 
States and localities had enacted laws and regulations that varied from 
Federal law relating to hazmat transportation, creating the potential 
for unreasonable hazards in other jurisdictions and confusion for 
shippers and carriers attempting to comply with multiple and 
conflicting regulatory requirements.\140\ Further, because of the 
potential risks associated with unintentional releases of hazardous 
materials, Congress found that consistency in laws and regulations 
governing hazmat transportation was ``necessary and desirable,'' and 
that Federal standards regulating hazmat transportation in intrastate, 
interstate, and foreign commerce were necessary to ``achieve greater 
uniformity and to promote the public health, welfare, and safety at all 
levels.'' \141\
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    \139\ Harmon, 951 F.2d at 1580.
    \140\ Id. (citing Pub. L. 101-615, 104 Stat. at 3245).
    \141\ Id.
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    As previously noted, a non-Federal requirement is preempted if it 
is an obstacle to accomplishing the ``goals and purposes'' of the 
HMTA.\142\ And the HMTA's goal of regulatory uniformity in the 
transportation of hazardous materials is undermined when State and 
local governments impose requirements that conflict with activities 
that are otherwise authorized under Federal law, such as by 
functionally banning the use of DOT-39 cylinders for propane. State and 
local requirements that restrict or delay the transportation of 
hazardous materials in accordance with Federal requirements are 
inconsistent with the HMTA and the HMR.\143\
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    \142\ Id.
    \143\ See Southern Pac. Transp. Co. v. Public Service Comm'n of 
Nevada, 909 F.2d 352, 358 (9th Cir. 1990) (finding additional State 
shipping documentation and permitting requirements for hazmat 
transportation created a ``separate regulatory regime'' that 
frustrated Congress's goal of regulatory uniformity and were both 
burdensome and redundant). Further, such hazmat transportation is 
presumptively safe, and additional State or local requirements on 
areas covered by Federal law or regulation ``are neither necessary 
nor appropriate.'' See Preemption Determination No. PD-40(R), FR 
29511, 29526 (May 15, 2020). See generally, Preemption Determination 
No. PD-6(R), 59 FR 6186 (Feb. 9, 1994); Preemption Determination No. 
PD-7(R), 59 FR 28913 (June 3, 1994), decision on appeal, 60 FR 10419 
(Feb. 24, 1995); Inconsistency Ruling (IR)-8, 49 FR 46637 (Nov. 27, 
1984), decision on appeal, 52 FR 13000 (Apr. 20, 1987); IR-19, 52 FR 
24404 (June 30, 1987), decision on appeal, 53 FR 11600, affirmed in 
IR-19(A) and Southern Pac. Transp. Co., 909 F.2d 352 (reversing 
No.CV-N-86-444-BRT (D. Nev. 1988)).
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    PHMSA has prescribed extensive regulations governing the safe 
transportation of hazardous materials, including propane, as well as 
the specifications of packagings authorized for use in the 
transportation of propane, along with requirements for the safe use and 
maintenance of those packagings. Each type of cylinder authorized for 
hazmat transportation has specific design, manufacturing, testing, and 
maintenance requirements that ensure it is safe for use, including DOT-
39 cylinders. Specification 39 cylinders are subject to strict 
manufacturing standards and must undergo rigorous testing in order to 
be qualified for use in transporting hazardous materials.\144\ 
Moreover, the DOT-39 cylinder has been an approved DOT cylinder 
specification for the transportation of propane for years. PHMSA 
continually reviews and updates requirements for DOT-39 cylinders, 
along with all other types of approved hazmat packagings, through 
rulemakings, and has done so as recently as 2020.\145\ In short, PHMSA 
has established a comprehensive regulatory scheme addressing the safety 
of DOT-39 cylinders and their suitability in transporting hazardous 
materials such as propane. A State requirement forbidding the sale of 
such authorized hazardous materials packagings is an obstacle to the 
accomplishment and execution of the objectives of the HMTA and HMR.
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    \144\ See 49 CFR 178.65.
    \145\ See Miscellaneous Amendments Pertaining to DOT-
Specification Cylinders, 85 FR 85380 (Dec. 28, 2020).
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    Accordingly, California's reusability mandate for propane cylinders 
undermines the HMTA's goal and purpose of uniformity and is the type of 
patchwork State requirement Congress

[[Page 57693]]

sought to avoid through the HMTA. California's mandate sets a precedent 
for other jurisdictions to ban or place impermissible restrictions on 
approved hazmat packagings under the guise of waste management. These 
conflicting requirements would undermine the Federal regulatory scheme 
of hazardous materials transportation uniformity and create confusion 
and uncertainty for manufacturers and offerors of such packagings and 
the hazmat contained therein. Allowing one State to ban the sale of 
non-reusable or non-refillable propane cylinders would impose an 
unreasonable burden on manufacturers and shippers by requiring them to 
redesign their product to meet a specific State's requirements, or pull 
out of that market entirely. It would also impose an unreasonable 
burden on consumers by removing a safe and affordable option for 
transporting propane.
    More importantly, California's reusability mandate would more than 
likely have the unintended effect of creating additional safety hazards 
for consumers, further frustrating the intent of the HMTA and HMR. 
Filling cylinders with propane, a flammable gas, poses a safety risk, 
and that risk is increased if untrained consumers attempt to refill 
these propane cylinders themselves. The refillable cylinders, such as 
the DOT 4BA cylinders, touted by those opposed to preemption must also 
be inspected and retested at regular intervals to qualify for 
reuse.\146\ Though some consumers may timely reinspect and retest their 
smaller propane cylinders, it is likely that many would keep using 
their cylinders past the requalifying date, creating an additional 
safety hazard. And while proponents of California's law insist the 
reusability requirement would keep smaller propane cylinders from being 
disposed of improperly at waste management facilities or landfills, 
reusable propane cylinders may still be discarded improperly, creating 
the same risks from improper disposal that California's law purports to 
solve.
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    \146\ See 49 CFR 180.209.
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    For these reasons, PHMSA finds California's reusability mandate for 
most propane cylinders is an obstacle to carrying out the HMTA and 
HMR's goal of uniformity in the regulation of hazardous materials and 
impedes the transportation of hazardous materials. The mandate is 
therefore preempted under 49 U.S.C. 5125(a)(2).

VI. Ruling

    PHMSA finds that California's reusability mandate for propane 
cylinders is a non-Federal requirement relating to a covered subject 
that is not substantively the same as the requirements in the HMR. 
PHMSA further finds that California's reusability mandate is an 
obstacle to accomplishing and carrying out the HMTA and HMR. 
Accordingly, California's reusability mandate for propane cylinders is 
preempted under 49 U.S.C. 5125(b)(1)(E) and (a)(2).

VII. Petition for Reconsideration/Judicial Review

    In accordance with 49 CFR 107.211(a), any person aggrieved by this 
determination may file a petition for reconsideration. The petition for 
reconsideration must be filed within 20 days of publication of this 
determination in the Federal Register. If a petition for 
reconsideration is filed within 20 days of publication in the Federal 
Register, the decision by PHMSA's Chief Counsel on the petition for 
reconsideration becomes PHMSA's final agency action with respect to the 
person requesting reconsideration.\147\
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    \147\ See 49 CFR 107.211(d).
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    If a person does not request reconsideration in a timely fashion, 
then this determination is PHMSA's final agency action as to that 
person, as of the date of publication in the Federal Register.
    Any person who is adversely affected or aggrieved by this 
administrative determination may seek judicial review under 49 U.S.C. 
5127(a) by filing a petition for review in an appropriate United States 
Court of Appeals within 60 days after publication of this determination 
in the Federal Register.\148\ The filing of a petition for 
reconsideration is not a prerequisite to seeking judicial review of 
this decision under 49 U.S.C. 5127(a).
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    \148\ See 49 U.S.C. 5127(a).

    Issued in Washington, DC, on September 7, 2026.
Keith J. Coyle,
Chief Counsel.
[FR Doc. 2026-18501 Filed 9-9-26; 8:45 am]
BILLING CODE 4910-60-P


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Indexed from Federal Register on September 10, 2026.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.