(a)

1. (1) The Boiler Inspection Division may, in any particular case, grant an exception or variance from the literal requirements of the minimum standards for construction, installation, repair, and operation set out in the ASME codes as adopted in 20 CAR § 880-701.

2. (2) A variance shall be granted only when both of the following conditions are present:

   1. (A) Existing conditions or undue hardship prevent compliance with the literal requirements of this part; and
   2. (B) Equivalent safety will be secured.

(b) Procedure.

1. (1)

   1. (A) An application for a variance shall be submitted by the owner, operator, or installer to the division on a form approved by the division.
   2. (B) The application shall be accompanied by an application for installation or repair and detailed plans and specifications for the vessel, together with any other information requested by the Chief Inspector of the Boiler Inspection Division.
   3. (C) The applicant shall state with specificity the rule or ASME standard for which a variance is sought.
   4. (D) Failure to comply may result in dismissal of the application for a variance.

2. (2)

   1. (A) The Chief Inspector of the Boiler Inspection Division may grant or deny the variance or impose conditions upon the granting of the variance.
   2. (B) If the variance is denied, the applicant may request an adjudicative hearing pursuant to 20 CAR § 880-301 et seq.
   3. (C) Such a hearing shall be before the Boiler Advisory Board who shall make a recommendation to the Director of the Division of Labor.
   4. (D) The director shall make a final administrative determination.

3. (3)

   1. (A) The Chief Inspector of the Boiler Inspection Division may neither grant nor deny the variance but refer it for an adjudicative hearing pursuant to 20 CAR § 880-301 et seq.
   2. (B) Such a hearing shall be before the board who shall make a recommendation to the director.
   3. (C) The director shall make a final administrative determination.