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Environmental Protection Agency (2)
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Environmental Protection Agency (2)
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Records of the Office of the Chief of Staff (Reagan Administration)
James Cicconi's Agency Files
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UNCLAS
F:EPA 1203
CLASSIFICATION
CIRCLE ONE BELOW
MODE
PAGES 42
IMMEDIATE
DACOM # III
RELEASER LB
PRIORITY
DEX #
DTG
040158Z
ROUTINE
TTY #
FROM/LOCATION/
1. ADELA GONZALES
TO/LOCATION/TIME OF RECEIPT
Cy:
1.
CRAIG FULLER/SAN FRANCISCO/TOR: 0405267
R
3/4 D inght she A awars Sups way the taing. go W. on found. wo
3.
4.
to
INFORMATION ADDEES/LOCATION/TIME OF RECEIPT
1.
2
SPECIAL INSTRUCTIONS/REMARKS: "BEST COPY AVAILABLE"
FOR DELIVERY IN A.M.
UNCLAS
CLASSIFICATION
THE WHITE HOUSE
WASHINGTON
March 3, 1983
NOTE FOR CRAIG L. FULLER
FROM:
ADELE
RE:
EPA Issue Alerts on Superfund
As requested, attached are EPA memoranda specifically on
Superfund, and some that merely make a reference to it.
On the latter ones, I have marked the portion of the memo
where Superfund is mentioned. Among the memoranda is one
concerning the VULCANUS incinerator ship, which I mentioned
to you this morning.
The Issue Alerts are as follows:
CA STAFFING MEMO
DATE AND SUBJECT OF EPA MEMO
068958CA -- 5/11/82
May 10: Guidelines for Using
Superfund Enforcement Authorities.
[Note: Please note date and
and signature.]
068969CA -- 5/19/82
May 11: Guidelines for Using
Superfund Enforcement Authorities.
[Note: Same memo as one above
but with different date and
Gorsuch's signature.]
May 13: EPA Weekly Report
(re dioxin in Missour) FYI
077301CA -- 6/14/82
June 9: Miami Drum Services,
Miami, Florida
077349CA -- 7/1/82
June 16: Chemical Waste Disposal
by Incinerator Ship [VULCANUS]
077368CA -- 7/9/82
July 7: EPA Weekly Report
See first item: "Superfund Contracts
for Freehold, New Jersey Landfills"
n/a
September 28: Note from Rita
Lavelle; subject: Press Conference
Briefing. See last page entitled
"
2
077543CA -- 10/18/82
October 11: EPA Weekly Report
See second item: "Cong. Dingell
Criticizes Administration
Enforcement Record." [Superfund
mentioned on page 2.]
[OPD SM -- 12/29/82]
[December 21: Memo from Martin L.
Smith to Harper re Hazardous
Wastes; "EPA Environmental News"
and Gorsuch Statement re release
of a national priority list of
hazardous waste sites.
077688CA -- 1/3/83
December 20, 1982: EPA Weekly
Alert. See page 2, item 3,
"PCBs in the Hudson River."
07707CA -- 1/7/83
January 4, 1983: "EPA ACTION
ITEM" re Procurement Under
Assistance Agreements Regulation
-- Final Rule Effective for all
Agency Grant Programs.
Whew!
I apologize for the delay in getting the report to you. Hope
it's of some use to you.
Attachments
UNITED.STATES
AGENCY
UNITED STATES ENVIRONMENTAL PROTECTION
WASHINGTON, D.C. 20460
PROTECTION
MAY 10 1982
OFFICE OF
EPA ACTION ITEM
POLICY AND RESOURCE MANAGEMENT
TO:
Craig L. Fuller
NON-CONTROVERSIAL
Assistant to the President
for Cabinet Affairs
SUBJECT: Guidelines for Using Superfund Enforcement
Authorities
Background
Section 106 of the Comprehensive Environmental Response
Compensation and Liability Act (CERCLA) required EPA to
establish and publish guidelines for using the imminent hazard,
enforcement, and emergency response authorities of Superfund
and other statutes.
Importance
CERCLA established a June 1981 publication date for these
guidelines. Under a consolidated suit brought by EDF, Inc.,
New Jersey, et. al., and the State of Connecticut against
Anne M. Gorsuch, EPA, David Stockman and OMB, the U.S. District
Court for the District of Columbia issued a mandatory injunction
requiring the EPA to issue the Section 106(c) guidelines by
May 13, 1982. These guidelines satisfy that order.
Current Status
I plan to sign these guidelines by May 13, 1982.
OMB Position
OMB has reviewed these guidelines and is expected to concur.
Expected Reaction
It is uncertain whether further litigation will result.
Original parties to the suit will likely appreciate the policy
neutrality of the guidelines. Numerous suggestions advanced by
the Chemical Manufacturers Association have not been incor-
porated--CMA will be opposed, but is unlikely to sue.
Joseph\A. Cannon,
Acting Associate Administrator
THE WHITE HOUSE
WASHINGTON
CABINET AFFAIRS STAFFING MEMORANDUM
DATE:
5/11/82
068958 CA
NUMBER:
DUE BY:
SUBJECT:
EPA Information Items
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Defense
Darman (For WH Stuffing)
Attorney General
Harper
Interior
Jenkins
Agriculture
Commerce
Gray
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Kass
CCEA/Porter
CEA
CCFA/Boggs
CEQ
CCHR/Carleson
OSTP
CCLP/Uhlmann
CCNRE/Boggs
REMARKS:
Attached are two items of information from EPA:
1) Use Authorization for Polychlorinated Biphenyls (PCB's)
in Electrical Equipment
2) Guidelines for Using Superfund Enforcement Authorities
RETURN TO:
Craig L. Fuller
Becky Norton Dunlop
Assistant to the President
Director, Office of
for Cabinet Affairs
Cabinet Affairs
456-2823
456-2800
ATTACHMENT 2
CABINET AFFAIRS STAFFING MEMORANDUM
PROIL
DE013.15
RACOI
DATE: 5/19/82
NUMBER: 068969CA
DUE BY: FIDDL
FG122
SUBJECT: EnVironmental Protection Agency Reports
R.S
FGODh.11
EG006.06
-
LOTION
PA
ACTION
TVI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Defense
Darman (For WH Staffing)
Attorney General
Harper
Interior
Jenkins
Agriculture
Commerce
Gray
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Kass
CCEA/Porter
CEA
CCFA/Boggs
CEQ
CCHR/Carleson
OSTP
CCLP/Uhlmann
CCNRE/Boggs
REMARKS: Attached are the following reports from EPA:
1) Premanufacture Notification Exemption - FINAL RULE
2) GM Cadillac Seville Recall Order
3) Proposed Regulations for Real Property Acquisition and Relocation
Assistance
1) Guidelines for Using Superfund Enforcement Authorities
5) Weekly Report 5/13/82
RETURN TO:
Craig L. Fuller
Becky Norton Dunlop
Accistant in the President
Director Office of
a
40FNC WINTING
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON, D.C. 20460
MAY 11 1982
EPA ACTION ITEM
THE ADMINISTRATOR
TO:
Craig L. Fuller
NON-CONTROVERSIAL
Assistant to the President
for Cabinet Affairs
SUBJECT: Guidelines for Using Superfund Enforcement
Authorities
Background
Section 106 of the Comprehensive Environmental Response
Compensation and Liability Act (CERCLA) required EPA to
establish and publish guidelines for using the imminent hazard,
enforcement, and emergency response authorities of Superfund
and other statutes.
Importance
CERCLA established a June 1981 publication date for these
guidelines. Under a consolidated suit brought by EDF, Inc.,
New Jersey, et. al., and the State of Connecticut against
Anne M. Gorsuch, EPA, David Stockman and OMB, the U.S. District
Court for the District of Columbia issued a mandatory injunction
requiring the EPA to issue the Section 106(c) guidelines by
May 13, 1982. These guidelines satisfy that order.
Current Status
I plan to sign these guidelines by May 13, 1982.
OMB Position
OMB has reviewed these guidelines and is expected to concur.
Expected Reaction
It is uncertain whether further litigation will result.
Original parties to the suit will likely appreciate the policy
neutrality of the guidelines. Numerous suggestions advanced by
the Chemical Manufacturers Association have not been incor-
porated--CMA will be opposed, but is unlikely to sue.
Anne M. Gorsuch
VINIED STATES ENVIRONMENTAL
COMMENTAL PROTECTION
WASHINGTON, D.C. 20460
OFFICE OF
THE ADMINISTRATON
EPA WEEKLY REPORT 5/13/82
To:
Craig Fuller
Assistant to the President
Environmental Waste Removal Inc.
Environmental Waste Removal Inc., one of the largest operators
of hazardous waste transfer and storage facilities in New England,
operates a hazardous waste site in Waterbury, Connecticut. In the
summer of 1981, EPA fined this company $25,000 for RCRA violations.
The company continued to violate RCRA regulations so EPA in Boston
referred the case to the Department of Justice on April 20, 1982.
An EPA employee, acting as a private citizen held a press con-
ference which drew attention to what heretofore had been a quietly con-
ducted EPA enforcement action. Congressional and citizen interest
is now very high. I plan to be in Boston, May 24, on other business
and expect to deal with the press on this issue at that time.
Construction Grants Revised Regulations
The revised Construction Grants Regulations were published May 12.
The revised rules reflect the amendments to Title II of the Clean Water
Act signed by the President. The revisions reduce the complexity of the
regulations and give State and local government more flexibility in
administering the program.
Congressional committee members have been briefed and were generally
satisfied with the proposed revisions. There will be a 30-day period for
public comment before the regulations may become final. Anticipated
public reaction will generally be positive.
page 2
Dioxin Contamination of the Spring River in Missouri
On March 25, The State of Missouri announced that EPA laboratory
results indicated the presence of low levels of dioxin contamination
in fish samples from the Spring River Basin near Verona, Missouri.
The State also recommended against eating the fish from that area.
Since the State's announcement, EPA in Missouri has continued
sampling and has pinpointed approximately 12 sources of dioxin in the
Spring River Basin. In addition EPA has been meeting with the Syntex
Corporation, a company which has volunteered to help with the clean-up
project, to develop monitoring plans.
Public and press interest in this problem has increased in the past
three weeks. Although Senators Eagleton and Danforth have publicly
expressed their concern for this problem, they are not dissatisfied
with the State's or EPA's actions so far.
Love Canal Study
The National Bureau of Standards (NBS) has completed its portion
of the Love Canal Study. NBS forwarded a copy of its report to EPA, for
review and release in June. Although the contents of the report are em-
bargoed until June, Congressman LaFalce requested a meeting with NBS,
to discuss the study, May 12. NBS cancelled the meeting and referred
the Congressman to EPA.
Congressman LaFalce has been continuously interested in this report
because Love Canal is in his congressional district.
In the event LaFalce makes an issue of not being allowed to see the
report, EPA will respond by emphasizing the importance of evaluating the
report as a whole, the three parts of which should not be reviewed out
of context.
Sincerely yours,
Anne M. Gorsuch
THE WHITE HOUSE
WASHINGTON
TGA:
CABINET AFFAIRS STAFFING MEMORANDUM, S
Bill
DATE: June 14, 1982
NUMBER: 077301 CA
DUE BY: HUCE
49771
SUBJECT: EPA Issue Alerts
FR
16111.06
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CEA
CCFA/Boggs
CEO
CCHR/Carleson
OSTP
CCLP/Uhlmann
CCNRE/Boggs
REMARKS: Attached are several items which might be of interest. Any
comment should be addressed to Becky Dunlop.
(1) Proposed Common Issues Settlement, Consolidated Permit Regulations
(2) Proposed Rule: PCBs in Closed and Controlled Waste Manufacturing
Processes: Exclusion from Ban on PCB Marfufacturing
(3) Minority Business Enterprise and Womens Business Enterprise
(4) Simplified Program Grant Regulations
(5) Proposed Revisions to NEPA Implementation in Construction Grants
(6) Inorganic Chemicals Effluent Guidelines, Final Rule
171
UDA
4ST
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON, D.C. 20460
THE ADMINISTRATOR
FPA WEEKLY REPORT
6/9/82
To:
Craig Fuller
Assistant to the President
MIAMI DRUM SERVICES - MIAMI, FLORIDA
EPA announced June 4, that $1.75 million in Superfund
monies will be expended to complete clean up of the Miami Drum
Services hazardous waste site located near the Biscayne Aqui-
fer, which supplies Miami's drinking water. This site was
one of three sites ranked by the State of Florida as top
priority for Superfund action.
Miami Drum Services, which ceased operation in April 1981,
operated a drum recycling facility in Miami for 15 years.
Several thousand drums containing industrial waste materials,
including organic compounds, PCB's, heavy metals, oil and
grease, were handled at the site.
Dade County initiated clean up in January 1982, and has
removed drums and contaminated soil. The $1.75 million will
be used to reimburse the County and complete excavation and
disposal of contaminated surface materials.
Public interest has been high. Senator Paula Hawkins
has been particularly concerned and has tracked progress on
the clean up of this site.
Sincerely yours,
Anne M. Gorsuch
THE WINTE HOUSE
WASHINGTON
BECOZ"
CABINET AFFAIRS STAFFING MEMORANDUM STOOL
F6123
7-1-02
NUMBER: 077349CA
DUE BY: FG106.11
FGLT6.06
JECT: EPA Issue Alerts
TNLLS
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
\
Commerce
2 Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CEA
CCFA/Boggs
CEQ
CCHR/Carleson
OSTP
CCLP/Uhimann
CCNRE/Boggs
IARKS: Attached is information on:
1) Inorganic Chemicals Effluent Guidelines, Final Rule
2) Revised Consent Decree for Alabama By-Products Corporation
3) Chemical Waste Disposal by Incinerator Ship
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON D.C. 20469
JUN 16 1982
THE ADMINISTRATON
MEMORANDUM
TO:
Craig Fuller
Assistant to the President
SUBJECT: Chemical Waste Disposal by Incinerator Ship Moderate Significance
Background
EPA conducted a public hearing in Brownsville, Texas, on Tuesday,
May 25, regarding future permit requests to burn chemicals in the Gulf
of Mexico aboard the hazardous waste incinerator ship, Vulcanus. At the
meeting, a representative of the Texas Farmers Union said he had written
the President of Mexico requesting that public hearings be held on both
sides of the border before more permits are granted. About 60 people
expressed concern about incineration and asked for further hearings.
Public concern in the Brownsville area apparently involves misunder-
standings over the amount of hazardous wastes and the method of disposal.
There are fears that the Gulf will be the main incineration site for the
U.S., and that wastes will be dumped directly into the Gulf. There are
plans, however, for another site off the coast of Delaware.
Another hearing was held in Mobile, Alabama, on May 26, but there
were few participants. Public concern in Mobile focuses on the safety
of shipping hazardous materials through the city and the amount of
hazardous materials to be assembled in the Mobile area. Mobile is the
home port of the Vulcanus.
In December 1981, Chemical Waste Management, Inc., conducted a test
to evaluate the feasibility of burning PCB's on board the Vulcanus in
the Gulf of Mexico about 350 miles southwest of Mobile, Alabama. EPA
feels that incineration is safe, and that the test burn was successful,
with 99.95% of the PCB's being destroyed. However, since some of the
samples from the test burn were destroyed, EPA is requesting a second
test burn to ensure that the data are statistically valid. No new
permits have been granted, although there may be another, possibly as
early as July.
Importance
Incineration of hazardous wastes at sea is definitely a growth
industry. The method represents an effective way of completely destroying
these wastes with minimal environmental impact, well away from populated
areas. Within five years, as many as six additional ships, representing
potentially $1 billion in private investment, will be operation. This
technology will therefore become far more visible to the public and may
well be the source of additional public controversy.
Current Status
No more hearings have been scheduled, and no more permits have been
issued, although EPA has requested another test burn.
Expected Reaction
The White House may receive correspondence or requests for further
hearings from the Mexican government; from Congressmen from Texas,
Louisiana and Florida; or from citizens in the Brownsville and Mobile
areas.
If you need additional materials on this subject, please let me
know.
Anne M. Gorsuch
THE WHITE HOUSE
WASHINGTON
CABINET AFFAIRS STAFFING MEMORANDUM
DATE: 7/9/82
NUMBER:
077368CA
DUE BY:
SUBJECT:
EPA Issue Alerts
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CEA
CCFA/Boggs
CEQ
CCHR/Carleson
OSTP
CCLP/Uhlmann
CCNRE/Boggs
REMARKS: Attached for your information is:
1) 7/7/82 EPA Weekly Report
UNITED PROTECTION AGENCY
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
WASHINGTON, D.C. 20460
THE ADMINISTRATOR
EPA WEEKLY REPORT
7/7/82
To:
Craig Fuller
Assistant to the President
Superfund Contracts for Freehold, New Jersey Landfills
Today, at a press conference with Governor Keene and Congressman
Rinaldo, I signed two Superfund Agreements which together amount to
$3.4 million for action on two sites, Lone Pine Landfill and Kin-Buc
Landfill.
The Lone Pine Landfill is an 85-acre inactive landfill from which
chemical wastes have been found to be leaking into the headwaters of
the Manasquan River. The Superfund contract for this site will be
for planning long term clean up action. Public concern about this site
has increased in the past two months after EPA announced test results
which show groundwater contamination in the area.
The Kin-Buc Landfill is a 30-acre inactive landfill from which ground-
water contamination has been detected. The contract for this site
includes funds for initial remedial clean up action and funds for plan-
ning long-term clean up action.
We expect favorable media response to the signing of these con-
tracts.
M.K. Ranches, Gulf County, Florida
EPA and DOJ assert that M.K. Ranches, a large farming operation, il-
legally dredged and filled wetland areas without proper permits. DOJ,
EPA, M.K. Ranches and the State of Florida have reached tentative agree-
ment on a Consent Order which will settle a $30 million lawsuit against
M.K. Ranches. Under the terms of the Consent Order, M.K. Ranches will
restore 8,500 acres of endangered wetlands in Gulf County, Florida.
This matter is confidential because as yet the presiding Federal
judge has not reviewed the order. Signature is expected at the end
of this month.
This project is probably the largest effort undertaken by a
defendant as a result of a Federal action under Section 404 of the
Clean Water Act and the 1899 Rivers and Harbors Act. Polluted runoff
page 2
There has been no public or Congressional interest in this matter
to date.
Love Canal Report - Niagara Falls, New York
The EPA Love Canal Report is scheduled for public release on
July 14 in Niagara Falls, New York. It is an analytical study of the
possible movement of pollutants from the Love Canal area where chem-
ical wastes were buried as long as 30 to 40 years ago. Although the
findings are confidential, you will be receiving a complete discussion
of the report and its findings as soon as this is prepared.
NAACP Suit
We have just received notification from the Justice Department that
the Agency has been sued in Federal District Court by the Warren County,
North Carolina chapter of the NAACP, for alleged discrimination because
a hazardous waste landfill was sited in predominantly black Warren County.
The landfill in question is designed to handle PCB-contaminated
roadside dirt from North Carolina roads where illegal dumping occurred
two years ago. EPA has permitting and siting responsibility for PCB
disposal under the Toxic Substances Control Act (TSCA).
Press coverage and Congressional attention are likely. We will
send you additional details as these become available.
Sincerely yours,
Anne M. Gorsuch
ATTACHMENT 6
OFFICE OF THE ASSISTANT ADMINISTRATOR
SOLID WASTE AND EMERGENCY RESPONSE
WASHINGTON, DC 20460
September 28, 1982
MEMORANDUM
SUBJECT: Press Conference Briefing
FROM : Rita M. Lavelle RML
Assistant Administrator
TO
: Craig Fuller
Assistant to the President
for Cabinet Affairs
The White House
Attached is the material on the North Carolina
PCB-Site demonstrations I promised.
Attachment
10
DRAFT PRESS CONFERENCE RESPONSE
Question: Do you have any comment on the North Carolina demonstrations
against depositing PCB-contaminated soil in Warren County, North Carolina?
Answer: Governor Hunt and his State administration are dealing with the
problem in a responsible manner. It would not be appropriate for me to
complicate Governor Hunt's handling of this case.
IF PRESSED
The State, working with EPA regional experts, has gone to great
lengths to provide a technologically sound repository for the contaminated
soil which is now being trucked to the site in Warren County. There is
no danger to the health of residents.
North Carolina is one of the leading States in the nation in taking
responsibility for handling its own hazardous wastes. We have every
confidence in the design of the landfill and in the State's ability to
provide for the protection of its own citizens and their environment.
BACKGROUND: NORTH CAROLINA PCB SITE
Safety at the Landfill
The landfill for the PCB-contaminated roadside material was subject
to exhaustive technical review by EPA and the State of North Carolina
to ensure that the site, along with the proposed construction and operation,
met the requirements for a chemical waste landfill. EPA issued final
approval for the landfill on December 14, 1981.
EPA has confidence in the design of the landfill, which incorporates
use of multiple liners, mechanisms for collection and removal of liquids
1f they develop in the landfill, and a capping system to prevent infiltration
of rainwater into the landfill after it is closed.
Also, EPA is confident that the State of North Carolina has the
ability to construct and operate the landfill as it has been approved.
EPA believes that the site when completed will provide for safe and
secure disposal of the PCB contaminated roadside material.
Most of the site not to be used for the landfill itself, about 120
acres, has been deeded to the county. Deed restrictions ensure that
this acreage will remain a buffer zone and that the landfill site will
be used only for disposal of the contaminated soil and associated waste
involved in the 1978 PCB incident.
History of the Case
The North Carolina PCB Roadside Waste sites resulted from the
deliberate discharge of over 30,000 gallons of PCB-contaminated industrial
waste liquids along approximately 210 noncontiguous miles of State
highway shoulder between June 1978 and August 1978.
Federal criminal actions were filed against four responsible parties
for violations of the Toxic Substances Control Act (TSCA). In June 1981,
the four defendants were sentenced and one defendant is currently serving
a prison sentence, two are on probation and the fourth defendant has
appealed his conviction.
The State has filed a multimillion-dollar civil suit against the
four responsible parties and the company which generated the PCB-contaminated
wastes.
Recent Events
High interest continues in Warren County and is unlikely to abate in
the near future. In the last few weeks, focus has shifted to racial
motivation for siting of landfill and away from environmental concerns.
"Outsiders," including Love Canal protester Lois Gibbs, seem to be taking
over from the local residents. The Southern Christian Leadership Conference
out of Atlanta, under the leadership of Dr. Joseph Lowery, also is
involved. Lowery was among those jailed last week. Other activists
include Ken Ferruccio, head of the Warren County Concerned Citizens
Against PCBs, and Floyd McKissick. D.C. Delegate Fauntroy was also
arrested yesterday during demonstrations and a "National March."
So far EPA has been in the background, with the State taking the
most heat. Gordon Kenna, Region 4 Office of Public Affairs (OPA), has been
EPA's lead person and has gotten considerable exposure in the press. Gordon
has high praise for the North Carolina information staff. EPA
has consistently attempted to maintain a low federal profile, and the
State has been anxious to maintain the lead.
Editorials in Warren County and in Raleigh to date have been pro-
State and have criticized outside intruders, particularly Gibbs. The
protestors, along with their attorney, visited the editors of the local
paper to "change their editional viewpoint." Region 4 reports that a
change 1s highly unlikely. The protestors have visited Chapel Hill to
"recruit" helpers, with limited success.
Governor Hunt held a press conference Thursday (9/23) and EPA Regional
Administrator Jeter sent him a supportive telegram which was referenced
in the press conference. The Governor held another press conference this
morning (9/28). Three experts from the F.PA regional office MOTO procont to
answer charges made by William Sanjour, an EPA headquarters employee, at a
meeting in Warren County on Sunday (9/26).
A "National March" Was held yesterday and 114 people were arrested,
among them Fauntroy.
So far around 375 people have been arrested, and the State has
declared that it will not back down. Trucks continue to roll. The
landfill 1s nearly one-third full. Work 1s proceeding ahead of schedule
and will be completed in three weeks.
Governor Hunt stated in his press conference that extra security is
costing the State $200,000 per week.
SUGGESTED STRATEGY
Keep the President and EPA headquarters out of the case.
So far, EPA Region 4 has been working with the State, which has been
taking the lead and doing well so far, taking the demonstrators' heat
while keeping the transfer of contaminated soil moving.
North Carolina Governor Hunt has been personally involved. The pace
of soil transfer has been increased to conclude the operation in an
estimated four weeks instead of six. Three more weeks of work remain.
Superfund
In December 1980, Congress passed the Comprehensive Environmental Response,
Compensation, and Liability Act, commonly known as Superfund. The law provides
for a $1.6 billion trust fund to be raised over five years: 86 percent from
special taxes on the chemical industry, and the remainder from general revenues.
The money is to be used to clean up hazardous waste spills and to provide long-
term remedies at abandoned hazardous waste sites. Prior to passage of Superfund,
the Federal government had no authority to clean up such sites.
Overall, Superfund has moved quickly. In August 1981, the U.S. Environmental
Protection Agency was delegated responsibility for carrying out the law. In the
year since then, EPA has designated 160 priority sites for Superfund action.
The list of priority sites will be expanded to 400 shortly. Federal activity
is underway at 105 of the current 160 priority sites.
By September 15, 1982, EPA allocations for long-term remedial actions
totaled $78 million at 63 sites. Eighty-one emergency removals had been
completed at a cost of $27 million. EPA Region 2, which includes the States
of New York and New Jersey, has the highest total dollar allocation for activity
at the greatest number of sites.
States have signed cooperative agreements to plan and manage Superfund
responses at 30 sites. Similar agreements with States for 18 additional sites
are pending.
EPA stresses private party participation in cleanup activities when
responsible parties can be identified. Nationwide, enforcement actions have
generated some $82 million in private support for cleanup at 24 imminent
hazard sites.
WASHINGTON
02/22
CABINET AFFAIRS STAFFING MEMORANDUM
ATTACHMENT 7
DATE: 10-1-82
NUMBER: 077511CA
DUE BY:
SUBJECT: EPA Weekly Report - 9/27/82
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CEA
CCFA/Boggs
CEQ
CCHR/Carleson
OSTP
CCLP/Uhlmann
CCNRE/Boggs
REMARKS:
ENVIRONMENT
NEAL
WASHINGTON D.C. 20460
THE ADMINISTRATOR
EPA WEEKLY REPO'
9/27/32
TO: Craig Fuller
Assistant to the President
PCB Disposal (Update)
Last week's report discussed North Carolina's decision to
dispose of PCB contaminated soil at a landfill in Afton, North
Carolina. High interest continues in Warren County and is
unlikely to abate in the near future. In the last few weeks
focus has shifted to racial motivation for the siting of the
landfill and away from environmental concerns. Non-residents
including Lois Gibbs, from Love Canal, New York, seem to be
taking the lead in the protests. The Southern Christian Leader-
ship Conference out of Atlanta under the leadership of Dr.
Joseph Lowery is also involved. Lowery was among those jailed
last week. Other activists include Ken Ferruccio, head of the
Warren County Concerned Citizens against PCBs, and civil rights
activist Floyd McKissick. Arrested this Monday was D.C. con-
gressional delegate Walter Fauntroy.
Superfund
Positive publicity was garnered with the announcement
last Friday that EPA was awarding $800,000 under the Superfund
hazardous waste clean-up program to the state of Ohio for
removal of radium contamination from a residence and factory
in Cleveland. The award was announced in conjunction with the
Governor's office, and came in the wake of widespread public
attention, including a petition requesting government help
signed by 6,500 citizens.
Anne M. Gorsuch
WASHINGTON
FG182
CABINET AFFAIRS STAFFING MEMORANDUM
R.S
FG006-11
DATE:
10-18-82
NUMBER: 077543CA
DUE BY:
F6001-03
SUBJECT: EPA Weekly Report 10/11/52
PG006.06
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CCFA/Boggs
CEA
CCHR/Carleson
CEQ
OSTP
CCLP/Uhlmann
CCMA/Bledsoe
CCNRE/Boggs
REMARKS:
UNIT
STATES.
NONED
UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
FROTEGMON
WASHINGTON. D.C. 20460
EPA WEEKLY REPORT
THE ADMINISTRATOR
10/11/82
TO:
Craig Fuller
Assistant to the President
Ferriamicide Update
In last week's report, I noted that EPA had granted
emergency exemptions for use of the pesticide, ferriamicide,
to control fire ants in the states of Mississippi, Texas and
Arkansas. I pointed out that while, thus far, public reaction
had been slight, criticism would likely mount if and when en-
vironmental groups took court action to try to block the
exemption.
EPA's Office of Pesticides and Toxic Substances informed
me this week that such a suit is imminent. Within a few days,
the National Audubon Society and the Lone Star Chapter of the
Sierra Club are expected to challenge the emergency exemption
in federal court. The exact grounds of their suit are not
yet known, but will probably include charges of violating
both FIFRA and the Administrative Procedures Act. OPTS
believes the outcome of this suit could go either way.
Cong. Dingell Criticizes Administration Enforcement Record
In October 11th press release, Congressman John D. Dingell
(D-Mich.), Chairman of the Subcommittee on Oversight and In-
vestigations of the House Energy and Commerce Committee, made
public a preliminary staff study highly critical of Administra-
tion efforts to enforce the Nation's environmental laws.
Dingell charged that EPA's "performance continues to fall
short of the record of the previous Administrations". lle also
criticized the "poor performance of the Justice Department in
filing in the Federal courts civil cases referred by EPA".
Saying that "the Administration must recognize that 'new
Federalism' is not an excuse for undermining the basic founda-
tion of our Nation's environmental laws", Dingell claimed that
States were ill-equipped financially to play a greater role in
environmental enforcement.
-2-
The Congressman announced that his Oversight and Investiga-
tions Subcommittee planned to conduct a hearing later this year
to probe the enforcement issues identified in the Subcommittee
staff study and to continue its review of EPA's administration
of the Superfund statute. The story was report 1 in the
11
Washington Post and a few other papers, but was not given pro-
minent coverage. EPA rejects the Dingell charges and stands
ready to argue them if asked to testify.
Anne M. Gorsuch
OFFICE OF POLICY DEVELOPMENT ATTACHMENT 9
STAFFING MEMORANDUM
DATE: 12/22/82
ACTION/CONCURRENCE/COMMENT DUE BY: 12/29/82
SUBJECT:
HAZARDOUS WASTES
ACTION FYI
ACTION
FYI
HARPER
DRUG POLICY
PORTER
TURNER
BARR
D. LEONARD
BLEDSOE
OFFICE OF POLICY INFORMATION
BOGGS
HOPKINS
BRADLEY
COBB
CARLESON
PROPERTY REVIEW BOARD
DENEND
OTHER
FAIRBANKS
FERRARA
GALEBACH
GARFINKEL
GUNN
B. LEONARD
LI
MONTOYA
ROCK
ROPER
SMITH
UHLMANN
ADMINISTRATION
REMARKS:
Do you have a list of the sites?
THE WHITE HOUSE
POLICY DEVELOPMENT
WASHINGTON
MB2 DEC 21 P 12: 02
DECEMBER 21, 1982
MEMORANDUM FOR EDWIN L. HARPER
FROM:
MARTIN L. SMITH mL
SUBJECT:
Hazardous Wastes
Because of your continued interest in dioxin in Missouri,
I thought you would be interested in the enclosed material
on EPA's Superfund program. Yesterday, Administrator Gorsuch
announced 418 national priority sites for remedial action
under Superfund. The enclosed material provides the location
of these sites and previous actions which the Reagan EPA
has taken to alleviate these abandoned waste sites.
Hazardous wastes and ground water protection will be the major
environmental issues of the next two years. It is imperative
that the Reagan Administrator take leadership in these areas.
Do you have a list of The
sites ?
{
EPA
Environmental News
FOR RELEASE: MONDAY, DECEMBER 20, 1982
Woods (202) 382-4379
EPA ANNOUNCES
U.S. Environmental Protection Agency Administrator
418 PRIORITY
SUPERFUND
Anne M. Gorsuch today announced completion of a proposed
SITES
national priority list of 418 hazardous waste sites,
ranked by their potential threat to health and the
environment.
Most of the sites are located near industrial areas
of the East, Midwest and South. New Jersey, Michigan
and Pennsylvania have the largest number of priority
sites.
They are Enc cleaning bu federal and
state governments cooperating under EPA's Superfund,
which is to accrue some $1.6 billion by 1985, 86
percent from taxes on hazardous waste generators and
handlers, 14 percent from general revenues. Superfund
was authorized by Congress in December 1980 with passage
of the Comprehensive Environmental Response, Compensation
and Liability Act.
The proposed list when final will replace the current
Interim Priority List of 160 sites. All but seven sites
from the Interim List are proposed on the final list.
"We have now defined the nation's first five-year
agenda for ending decades of neglect of our hazardous
waste problem," Mrs. Gorsuch said. "Problems which
took three decades or more to develop have now been
classified and rated for priority cleanup action.
"It is only 16 months since President Reagan assigne
EPA the lead role in implementing the Superfund law.
Given the complexities of searching out and ranking by
threat the major uncontrolled sites, we can take
satisfaction in having moved so far so fast."
She added that since enactment of Superfund, EPA
-3-
Fire, explosions, and the possibility of direct contact receive
separate evaluation as more appropriate for emergency action.
Before Superfund money can be committed at the priority sites,
states must contribute at least 10 percent of the actual long-term
costs of cleanup per site unless the site is publicly owned. On
publicly-owned sites, the state is required to pay or assure at
least 50 percent of the costs.
Rita M. Lavelle, EPA's assistant administrator in charge of
Solid Waste and Emergency Response, said "The Superfund program has
made remarkable and gratifying progress, especially in the past year.
That progress is an eloquent demonstration of the Reagan Administra-
tion's determination to clean up the nation's worst hazardous waste
sites promptly and effectively.
"We are far along in mobilizing local, state and national govern-
ments, combined with the technological forces of private industry,
to do the job. Prototype systems for safe containment of the
hazardous waste have been designed and put into operation," she said.
Detailed plans for cleanups will be worked out in conjunction with
the states. Cleanup can occur through three mechanisms: direct federal
contracts managed by the U.S. Army Corps of Engineers; cooperative agree-
ments under which the state takes the lead in directing cleanup action,
and private cleanups through voluntary or court-ordered action. In all
three cases, private contactors do the actual site work.
#
STATEMENT
BY
ANNE M. GORSUCH, ADMINISTRATOR
U.S. ENVIRONMENTAL PROTECTION AGENCY
ON
THE RELEASE OF A NATIONAL PRIORITY LIST
OF HAZARDOUS WASTE SITES
The problem of abandoned hazardous waste sites is one that
concerns all Americans. No part of the country appears to be
immune from the potential health threat posed by toxic materials
that were improperly handled in years gone by.
These serious problems will not be quickly remedied. But I'm
pleased to announce today that EPA has completed a comprehensive
agenda for carrying out the cleanup task that is already well begun.
It was just 16 months ago that President Reagan assigned to
the Environmental Protection Agency the task of developing the
national priority list of hazardous waste sites targeted for
cleanup under the Superfund law. The law itself mandates the
designation of at least 400 such sites.
The list we are releasing today includes 418 sites. These
are the "worst cases" among several thousand abandoned waste
sites scattered across the country. They fully warrant priority
attention to protect the health of those nearby. And they will
get priority attention as EPA carries out its responsibilities
under the Superfund program.
Completion of this list of 418 sites establishes a five-year
agenda for cleanup work under Superfund. It is an important mile-
stone, but it does not mark the beginning of this national effort.
-3-
doing, we aren't doing fast enough; that we are using Superfund
money to balance the national debt instead of spending the money
on cleanup activities. I believe the record says otherwise. I
don't know of another new government program of this complexity
that has gotten off the mark faster. As of September 30, the end
of fiscal 1982, we had obligated 83 percent of the money available
to Superfund, and the balance was carried over to be spent this
year.
I believe that Rita Lavelle, our assistant administrator for
solid waste and emergency response, and her staff deserve the
highest marks for the remarkable progress they have achieved. I
commend and compliment them.
In the end, though, praise or blame is not crucial to our
task. The important challenge we have is to end the fear that
toxic waste will endanger the health of any man, woman or child
in the United States.
We are meeting that challenge squarely and there will be no
slackening of our effort until the job is done.
# # #
SUPERFUND RESULTS
With publication of the proposed National Priorities List, EPA has designated 418 sites
for action according to priority as determined by its Hazard Ranking System.
Federal activities are under way at 112 sites; State cleanup at 29 others.
Emergency removal actions have been approved for 98 sites and $29.5 million has
been allocated.
Remedial actions, meaning longer-term site work, have been ordered at 71 sites and
$88 million has been allocated.
Five priority sites have been cleaned up, at Chemical Metals Industries, Baltimore,
Md.; Walcotte Chemical/Warehouses, Greenville, Miss.; Luminous Processes, Athens,
GA; Butler Tunnel, PA; and Chemical Metals Industries, Ohio.
Private parties are addressing 39 sites at total savings to Superfund of $121 million
Nineteen States have entered into cooperative agreements to address problems at
36 sites.
Superfund is taking the lead in addressing problems at 29 sites in 16 states.
From December 1980 when the Superfund law was passed until Sept. 30, 82 the end of
Fiscal Year 1982, Superfund had obligated $221 million of $265 million appropriated,
or 83 percent; the remainder will be carried over into this fiscal year.
RCRA RESULTS
The regulated community of hazardous waste generators and handlers 16 comprised of
54,000 generators; 12,900 transporters; and 9,100 other facilities, including 8,100 treat-
ment and storage facilities; 510 incinerators and 900 land disposal facilities.
Twenty-three states have solid waste plans approved or partially approved.
Thirty-five states are in the first phase of interim authorization and are operating
their own regulatory programs in lieu of EPA. Seven states (Georgia, North Carolina,
Arkansas, Texas, Mississippi, South Carolina and Oklahoma) are in the second phase.
In fiscal year 1982, EPA called in 734 facility permits, received permit applications
from 196 existing facilities and 52 from new facilities; permits were issued to three
existing facilities and five new facilities.
ENFORCEMENT RESULTS
The cumulative total in private party support for actions at uncontrolled (Superfund)
sites stands at more than $121 million for 39 sites.
In addition the States have recovered $13.5 million in costs.
Since Fiscal Year 1980, some 1,760 notice letters to possible responsible parties have
been issued in connection with action at 106 sites; negotiations are being conducted for
responsibile party support at 56 sites; similar negotiations have been completed at 38 sites.
Forty-three Superfund cases have been referred to the Department of Justice. Seven admin-
istrative orders to take remedial actions have been issued.
Under RCRA, 15,896 inspections have been conducted at operating facilities since Oct. 1981,
1,654 of them by EPA and 14,242 by the States.
Warning letters have been issued to 1,023 facilities; complaints to 233, and final orders
to 153.
1s 16 percent greater than
Distribution of Hazardous Waste Sites
On Proposed Superfund Priorities List
AK WA W A 10
By State--December 1982
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THE WHITE HOUSE
By
11:12 112U
WASHINGTON
1110
CABINET AFFAIRS STAFFING MEMORANDUM FE122
HE007-01
DATE: 1-3-83
NUMBER: 077688CA
DUE BY: CM001
FG006-11
SUBJECT: EPA Issue Alerts
11-06-06
ACTION FYI
ACTION FYI
ALL CABINET MEMBERS
Baker
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Harper
\
Attorney General
Interior
Jenkins
\
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CCFA/Boggs
CEA
CCHR/Carleson
CEQ
OSTP
CCLP/Uhlmann
CCMA/Bledsoe
CCNRE/Boggs
REMARKS: Attached for your information are the following EPA Issue Alerts:
1) EPA Weekly Report 12/20/82
2) Several Changes to the 1984 Heavy and Light Truck Emission
Regulations
3) Proposed Significant New Use Rule (SNUR) under TSCA
IMENTAL PROTECTION
WASHING TON.
De
OFFICE OF
THE ADMINISTRATOR
UPA WEEKLY REPORT
12/20/82
TO:
Craig Fuller
Assistant to the President
Enclosed is a list of several items which should be coming
to the fore within the next couple of weeks. Some could be
))
controversial.
Paul Milbaues
Paul Milbauer
Special Assistant
to the Administrator
Enclosure
1. Jones and Laughlin Steel Corporation "Stretchout" Petition.
This action to be signed December 29 and published in January
denies J and L's request to extend deadlines for compliance with
with the Clean Air Act. The Act allows compliance extensions if (1)
a company uses the money it saved from deferring pollution control
expenditures for capital investments to improve the steel facilities,
and (2) if the company is in compliance with federal consent decrees
or violations are minimal. In this case, J&L i in violation of two
consent decrees for plants in Pennsylvania and ana. Once "stretch
out" is denied, enforcement of existing decrees ild follow.
The action will be controversial. Senators Ueinz and Specter
and Congressmen Williams, Brown and Atkinson have appealed to the
White House. The affected states include Pennsylvania, Ohio and
Indiana. State and local officials have been neutral. J&L was
given opportunity to withdraw application but did not and is likely
to fight the denial in court.
2. Three Truck Emission Final Regulations. These actions (1) set
a standard for evaporative emissions of hydrocarbons from heavy-duty
truck gas tanks and gas lines; (2) set tighter emission standards
for 1984 and later light-duty trucks to be sold in high-altitude
areas; and (3) delay for a year or more several emission standards
for 1984 and later light-duty trucks to be sold in high-altitude
areas; and (3) delay for a year or moe several emission standards
for heavy-duty trucks.
Reactions will be mixed. GM may object to the evaporative
emissions standard because GM may have to build a new testing facility,
but Ford and Chrysler already have testing facilities. The manufac-
turers did not object to the new high-altitude standard. The delays
for heavy-duty trucks were supported by the manufacturers, but will be
opposed by environmentalists.
3. PCBs in the Hudson River. This action is in response to the con-
tamination of the Hudson River bottom by PCBs deposited during a
thirty-year period until the early 1970's. A full clean-up, dredg-
ing of the river, would cost more than $40 million. New York State
has requested use of a specially authorized appropriation of $20
million under the Clean Water Act. The Agency has decided to propose
adding the site to the Superfund program list and use its authority
n
to protect water supplies on the river as lower costs.
Reactions will be strong and mixed. Senator Moynihan, Congressman
Fish, New York State and New York City support taking action now to
dredge the Hudson and deposit the contaminated soil in landfills. How
ever, Congressman Solomon and local environmental groups have expressed
concern about the possibility of future contamination from the landfills.
Solomon will be very supportive of the Superfund approach.
4. Arizona's Control Strategy for Sulfur Oxides. This action approves
revised strategies for control of sulfur dioxide emissions from seven
copper smelters in Arizona. EPA is also requiring Arizona to submit
-2-
fugitive emissions control strategies for each smelter by August 1984.
The Arizona Department of Health Services supports EPA's action. The
Environmental Defense Fund commented extensively on the proposal and
may challenge the action.
5. PCBs in Railroad Transformers. This action (1) provides new in-
terim deadlines and ends a final deadline; (?) allows transformers
to contain up to 0. PCBs; and (3) males dispo 1 of transformers
easier. Environmen groups should support the terim deadlines
but may challenge the 0.2% provision. Some railroads may challenge
the interim deadlines.
6. Responses to the Interagency Testing Committee's Recommendations
to Test 13 Chemicals. Acting under a court-ordered deadline of
December 31, 1982, EPA has completed actions on 13 chemicals that may
may pose substantial risk to health or the environment. A decision
to test would be required if there is (1) evidence of risk or exposure;
(2) not enough data to determine extent of risk; and (3) testing is not
already underway. In all 13 cases, EPA decided not to require testing
by rule because companies agreed to voluntary testing programs, or
ongoing testing by industry or government was considered by EPA to be
adequate to satisfy the concerns of the ITC. However, environmental
groups have objected to voluntary settlements saying they are not
enforceable.
7. Uranium Mill Tailings at Inactive Sites. Two actions have been
taken: (1) promulgation of final rules (relaxed significantly from the
proposal) for the stabilization and clean-up of tailings at inactive
sites; and (2) a proposal that EPA will consider a relaxed standard
(relying on fences rather than dirt cover) at lower priority sites
in unpopulated areas. Environmental groups may react negatively to
the proposal, arguing it weakens the final standards.
8. High-level Radioactive Wastes. This action establishes (1)
t
numerical radionuclide release limits for 10,000 years; and (2) qual-
itative requirements for waste disposal, e.g., prompt disposal, use of
natural barriers, and permanent markers. The standards should help
establish the public confidence necessary for the national waste
disposal program to proceed. The nuclear industry, DOE and NRC
generally support the action. Environmental groups may argue that
technical data used to set the numerical limits are too uncertain to
be relied upon.
9. Revocation of Hydrocarbon (HC) NAAOS. This action revokes the
National Ambient Air Quality Standard for HC because scientific
evidence shows that HC does not cause adverse health or welfare effects
at present ambient air levels. However, HC is a major precursor of
ozone. Thus HC should continue to be controlled, which can be done
separately. EPA or states can still regulate HC if controls are needed
in special cases. All comments on the proposal (May 1981) support
revocation.
171,110.
1110
CABINET AFFAIRS STAFFING MEMORANDUM
FE122
DATE:
1-7-83
NUMBER: 07707CA
DUE BY: FRODGIN
SUBJECT:
FE006-07
EPA Issue Alerts
NE00101
Union
PD
ACTION FYI
ACTION FYI
FH
ALL CABINET MEMBERS
Baker
FG
Vice President
Deaver
State
Clark
Treasury
Darman (For WH Staffing)
Defense
Attorney General
Harper
Interior
Jenkins
Agriculture
Cribb
Commerce
Labor
HHS
HUD
Transportation
Energy
Education
Counsellor
OMB
CIA
UN
USTR
CCCT/Gunn
CCEA/Porter
CCFA/Boggs
CEA
CCHR/Carleson
CEQ
OSTP
CCLP/Uhlmann
CCMA/Bledsoe
CCNRE/Boggs
REMARKS: The following EPA Issue Alerts are attached for your information:
1) "All Altitude" Emission Standards for 1984 Cars
2) Procurement Under Assistance Agreements Regulation -- Final
Rule Effective for All Agency Grant Programs
RETURN TO:
Craig L. Fuller
Becky Norton Dunlop
Affice
of
YONAMI Nine
WASHINGTON, D.C. 20460
JAN 4 1983
EPA ACTION ITEM
OFFICE OF
POLICY AND RESOURCE MANAGEMENT
TO
:
Craig Fuller
Secretary to the Cabinet
FROM
:
Joseph Associate A. Cannon Administrator Josph A. for Certinan
Policy and Resource Management
SUBJECT:
Procurement Under Assistance Agreements
CONTROVERSIAL
Regulation -- Final Rule Effective for All
Agency Grant Programs
Background
This regulation contains the requirements placed on procurement actions
undertaken by recipients of EPA financial assistance, including Construction
Grants and cooperative agreements under Superfund. Previous regulations went
far beyond OMB guidelines and created a burden on grantees through time-consuming,
process-oriented requirements. It also contains our Minority Business and
Wamen's Business Enterprise (MBE/WBE) regulation which no longer requires a
goal for participation by communities or contractors.
Importance
The revised, consolidated rule reduces EPA's role in routine grantee
procurement actions and places increased responsibilities on grantees, while
guarding against waste, fraud, and abuse. The result should be speedier, less
costly procurement, particularly in the construction of wastewater treatment
facilities in the Construction Grants Program. MBE's and WBE's are unhappy with
the absence of a goal in the regulations. However this MBE/WBE rule is in
conformance with OMB Circulars and the latest White House MBE/WBE draft policy.
Current Status
I intend to issue this regulation in final form, effective for all Agency
programs.
OMB Position
OMB is fully, in agreement on this regulation and has cleared it.
Expected Reaction
There is strong support from current and potential grantees, and some
minor adverse reaction from equipment manufacturers who want EPA to impose
tighter payment requirements than are called for by OMB Circulars.
Since EPA is the first agency to remove goals from the MBE/WBE grant
programs we believe the WBE/MBE community will not support this rule and can
be expected to lobby congress and the White House against it.