1  '  ,     '      	      •  EPA/742/F-90/100

IOIST CONGRESS   TJ   D    ClQ^I            ''.
    2o SESSION      JT1*  *V« <}&** *

Tn imnlement  the national objective of  pollution prevention  by establishing a
To ^P1606^^ pr(Jgr&m « ^ Environmental Protection  Agency, by assist-
    ^States in providing information and technical assistance, regarding source
    reduction, and for. other purposes.
                        OCTOBM 25, 1990
 Mr WOLFE (for himself and Ms. SCHOTIDM) introduced the following bffl; which
 Mr. WOLFE «or himse^ ^ ^ CoBunittee on Bnergy ^d Commerce
                       A  BILL
  To implement the national objective of poUution prevention by
      establishing a source reduction program at the Environmen-
      tal Protection Agency, by- assisting States in providing in-
      formation and technical  assistance regarding  source reduc-
      tion, and for  other purposes.
    1      Be it enacted by tfo Senate  and Hwie of Reprt3enia-
            ! the United State* of America in Congress assembled,
    4       This Act may be cited as the "Pollution Prevention Act

    5  of 1990".
             • '   •' '      -  •             •  •     '   -.       .    • !  '•
                           TABLE OF CONTENTS

        S«c. 1. Short title and table of contentt.
        Sec. 2. Fuidingt and poUcy.

   Sec-  I  Definitions.
   Sec  4.  EP'A activities.      •               '          '  •
   Sec.  5.  Grants to States for State technical assistance programs.
   Sec  6  Source reduction.-clearinghouse.  -
   Sec.  ~.  Source reduction and recycling data collection.
   Sec.  3.  EPA repon.
   Sec.  9.  Savings provisions.
   Sec.  10. Authorization of appropriationi.
   Sec.  11. Implementation.


2       (a) FINDINGS.—The Congress finds that:

3            (1)  The United States of America annually  pro-

4       duces  millions  of tons of pollv -on and spends tens of

5       billions of dollars per year controlling this pollution.

6            (2) There are  significant opportunities for industry

7        to  reduce or  prevent pollution at the source  through

8-     .cost-effective  changes  in  production,  operation,  and

9       raw  materials  use.  Such  changes  offer industry  sub-

10       stantial savings in reduced raw material, pollution con.

11       trol, and liability costs as well as help protect the envi-

12       ronment and reduce risks  to worker health and safety.

13   .         (3)  The  opportunities  for source reduction  are

14       often not realized because existing regulations, and the

15       industrial resources they require for compliance, locus

16       upon treatment and disposal,  rather than  source reduc-

 17       tion; existing regulations do not emphasize multi-media

 18       management of pollution; and businesses  need informa-

 19'  -.   tion and technical assistance to overcome  institutional

 20      barriers to the adoption of  source reduction practices.
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1      -"..    '"          """
            (4) Source reduction is fundamentally different and
2    '   more'desirable than waste management and pollution
3       control. The  Environmental Protection. Agency needs
4       to address the historical lack of attention to  source
5       reduction.
6           (5) As a first step in preventing pollution through
7       source   reduction,  the   Environmental  Protection
8      Agency  must  establish  a  source  reduction  program
9      which collects and disseminates information, provides
10      financial assistance to  States,  and implements the other
11      activities provided for  in this Act.            :         ,
12      (b) POLICY.—The Congress hereby declares it to be the
13  national policy of the United States that pollution should be
14  prevented or reduced at the source whenever feasible; pollu-
15  tion that cannot be prevented should be recycled in an envi-
16  ronmentally  safe manner,  whenever  feasible; pollution that
17  cannot be prevented or recycled should be treated in an envi-
18 ronmentally safe manner whenever feasible; and disposal or
 19  other release into the environment should be employed only
 20  as a last resort and  should be conducted in' an" environment
 21  tally safe manner.      '
 23       For purposes of this Act:          » *
- 24           (1) the term "Administrator" means the Adminis-.
  25      'trator of the Environmental Protection Agency.

 1           (2) The term "Agency." means the Environmental
 .2       Protection Agency.
 3           (3)  The  term "toxic chemical"  means any  sub-   .
 4       stance on the list described in section 313(c) of the Su-
 5       perfund Amendments and Reauthorization Act of 1986.
. 6           (4) The  term  "release" has the same  meaning as
 7       provided by section  329(8)  of the Superfund  Amend-
 8       ments and Reauthorization Act of 1986.
 9            (5)(A) The term  "source  reduction'  means any
 10      practice which—
 u                (i) reduces the amount of any hazardous sub-
 12           stance,  pollutant, or  contaminant  entering, any
 13           waste stream or otherwise  released into the  envi-
 14           ronment (including fugitive emissions) prior to re-
 15           cycling, treatment, or disposal; and
 16                (U) reduces  the hazards to  public health and
 i7           the  environment  associated with the release  of
 18  -         such substances,  pollutants, or contaminants.
  19      The term includes  equipment or technology  modifica-
  20      turns, process or  procedure modifications, reformulation
  21      or redesign of products, substitution of raw  materials,
  22       and improvements in housekeeping, .maintenance, train-
  2,3       ing, or inventory control.
 .24      :     (B) The term "source reduction" does not  include
  25      any practice  which alters the physical, chemical, or bi-
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       -oloifical.'characteristics of the volume  of  a  hazardous   •
o      -substance, 'pollutant,  or contaminant through a process
3       or activity which itself is not integral to and necessary
4       for the production of ,a  product or the providing of a
5 - ...  service.  •  •   ;  " ' '•  •  •    •"-•••.-.   . •  v.. .'
6            (6) The term "multi-media" means water, air, and
7   •.  • ' land.'  . ;      ._--••   '  '•""    •-,-.-.
8    '        (7)   -ie term "SIC codes" refers to the 2-digit
9       code numbers used  for  classification of economic  ac-
10      tivityin^ the Standard ^Industrial Classification Manual.
11  SEC 4. EPA ACTIVITIES.                     ;
12      (a) AUTHOBITIES.—The Admuiistrator shall establish
13  in the Agency an office to carry out the functions of the  Ad-
14  ministrator under this Act. the office shall be independent of
15  the Agency's single-medium^^  program offices but  shall have
18. the authority to review and  advise such offices on their ac-
17  tivities to promote a multi-media approach to source  reduc-
18 tion.  The office shall be under the direction of such officer of
 19 the Agency as the Adniinistrator  shaU designate,
 20       (b) FuNCTlON8.--The  Administtator  shaU develop and
 21  implement a strategy to  promote source reduction. As part of
 22  the strategy, the Administrator shall—•
 23            (1) establish standard methods of measurement of
 24      source reduction;
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 1  <          (O) ensure that'the Agency considers the effect of
 o       its existing and proposed programs on source reduction
 3       efforts and shall review regulations of the Agency prior
 4       and subsequent  to their  proposal  to determine their
 5       effect oh source .reduction;
• 6           (3) coordinate source reduction activities in each
 7    .  Agency Office and coordinate with appropriate  offices
 8      to  promote source reduction practices in other    deral
 9       agencies,  and  generic  research and development on
10       techniques and processes which have  broad applica- .
 11       bility;                        "  .
 12      -      (4) develop improved methods  of coordinating, and
 13       assuring public access  to data collected under Federal
 14      environmental statutes;                            ..
 15           (5) facilitate the adoption of source reduction tech-
 16       niques by businesses,  this  strategy shall include  the
 17       use of the Source Reduction Clearinghouse and State
 18       matching grants provided in this  Act to foster the ex-
 19      change of information regarding source reduction tech-
 20      niques, the dissemination of such information to busi-
  21      nesses,  and  the provision of technical  assistance  to
  22      businesses, the strategy shall also consider  the  capa-
  23,       bilities of various businesses to make use of source re-
  04   " • duction techniques;
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1 •'    -    -(6)  identify, where appropriate, measurable goals •
                              •-*.<.„'..                 « ,- '
2      which reflect the .policy of:this Act,  the tasks.necessary
3      to achieve the  goals, dates at which the principal tasks
       are  to be accomplished,  required resources, organiza-
       tional responsibilities, and the means by which progress
6      in meeting the goals will be  measured;
 7           (7) establish an advisory panel of technical experts
 8      comprised of repre'datives from industry, the  States,
 9      and public interest groups, to advise the Administrator
10      on  ways to improve collection and  dissemination  of
11      data;                                  .  ,    -
12            (8)  establish'-a training program on multimedia
13       source  reduction  opportunities,  including  workshops
14       and guidance documents, for State and Federal permit
 15       issuance, enforcement, and inspection officials working
 16      within all agency program offices.
 IT:         (9) identify and make  recommendations  to Con-
 18      'gress to eliminate barriers to source reduction including
 19      the use of incentives and disincentives;
 20            (I0y identify opportunities to use Federal procure-
  21       ment to encourage source  reduction;
  22           (11) develop,  test and disseminate  model  source
  03      reduction auditing  procedures  designed  to  highlight
  24     source reduction opportunities; and
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•L           (12) establish  an annual award program to recog- .
2       nize a company or companies which operate outstand-
3       ing or innovative source reduction programs.
5               ANCE PROGRAMS.
6       (a) GENERAL AUTHOBITT.—The Administrator  shall
7  make matching grants to States for programs to promote the
 8 use of source reduction techniques by businesses.
 9      (b) CEITEEIA.—When  evaluating  the  requests  for .
10 grants  under this section, the Administrator shall consider,
11  among other'things, whether the proposed State  program
12  would accomplish the following:
13           (1) Make specific technical assistance available to
14       businesses seeking information about  source reduction
15       opportunities,-including funding for experts to provide
16       onsite technical advice to businesses seeking assistance
17       and to  assist in  the  development of  source  reduction
 18    .  plans.
 1Q           (2) Target assistance to businesses for whom  lack.
 20      of information is an impediment to source reduction.
 21           (3) Provide  training in  source reduction  tech-
 22       niques. Such training  may be  provided through  local
 23       engineering schools or .any other appropriate means.
 04     ^' .(0 MATCHING  FUNDS.—Federal funds used  in  any
 25  State program under this section shall provide no.more than
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"   '  '    •'''''.••'     9. .        •  '  ''' '      .
 1  50 per centum of the funds made available to a State in each
 2  year of that State's participation in the program.    .
 3      (d)  EFFECTIVENESS.—The Administrator shall estab-
 4  lish appropriate means for measuring the effectiveness of the
 5  State grants made under this  section in promoting the use of
 6  source reduction techniques by businesses.
 7      (e)  INFOBMATION.—States receiving grants under this
. 8  section shall make information £  erated under the grants
 9  available to the(Administrator.
11      (a)  AUTHOBITY.—The.Administrator shall establish a
12  Source Reduction Clearinghouse to  compile information in-
13  eluding  a computer data base which contains information on
14  management, technical, and operational approaches to source
15  reduction. The  Administrator  shall use the  clearinghouse
16  to—
17           (i) serve as a center for source reduction technol-
18       ogy transfer;
ig           (2) mount active outreach and education programs
20      by the  States to fuither the adoption of source reduc-
21      tion technologies; and
 22           (3) collect  and compile information  reported by
 23      States  receiving grants under section 5 on the  oper-
1 '•            '        .        "              *•—
 24      ation and success of State source reduction programs.
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1      ft) PUBLIC  AVAILABILITY.—The _ Administrator shall
2  make'available to the public such information on source re-  '
3  auction as is gathered pursuant to this Act and such other
4  pertinent information and analysis regarding source reduction
5  as may be available to the Administrator. The data base shall
6  permit entry and retrieval of information to any person.
 g              WON.
 9      (») REPOBirod EEQCiBBMENTS.-Each owner or op-
10  erator of  a facility required to file an annual toxic chemical
11  release form under  section  313 of the  Superfund Amend-
12  ments and Reauthoriaation Act of 1986 ("SARA") for any
13  toxic chemical shall- include with each such annual filing a
 14 toxic chemical source reduction and recycling report for the
 15 preceding calendar year. The toxic chemical source reduction
 16  and recycling report shall cover each toxic chemical required
 17  to be report-id m *« «mual toxic chemical release form filed
 18  by the owner or operator under section 313(0 of that Act
 19 This section  shdl  take effect with the annual report fited
 20  under section 313 for the  first full calendar year beginning
  21  after the enactment of this Act.
  22      (b) ITEMS INCLUDED m BiPOET.-The toic chemical
  23  «ource reduction and recycling report required under subsec-
  24  tion (a) shall set forth each of the following on a facility^
   25  facility basis for each toxic chemical:

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 •    .    •'  :     '     •  '•' -..'   11   • '  '          -    .._•''
 1           (i) The 'quantity  of the chemical  entering  any
 2       waste stream (or otherwise  released into  the environ-
 3       ment) prior to recycling, treatment, or disposal during
 4       the calendar year for which the report is filed and the
 5       percentage change from the previous year. The  quanti-
 6       ty reported  shall  not  include  any amount reported
- 7 "     under paragraph (7). When actual measurements of the
\8       quantity of a toxic chemical entering the *   !» streams
 9       are  not readily available, reasonable  estimates should
10       be made based on best engineering judgment.
11           (2) The amount of the. chemical from the facility
12       which is recycled (at  the facility or elsewhere) during
13       such calendar year,  the percentage change from the
14       previous year, and the process of recycling used.
15            (3) The source reduction practices used with re-
16       spect to that chemical during such  year at the  facility.
17       Such practices shall be reported in accordance with the
18       following categories  unless the  Administrator  finds
19      other categories to be more appropriate:
20                (A)  Equipment, technology, process, or pre-
 21           cedure modifications.
 22                (B) Reformulation or redesign of products.
 23                (O Substitution of raw materials.
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                ,(D)  Improvement 'in management,  training,
2   '    '  •  inventory control,  materials handling,  or  other   •
3   '        general, operational phases of industrial  facilities.
            (4) The  amount expected to be  reported  under
        paragraphs (1) and (2) for the two calendar years  im-
6       mediately Mowing  the calendar year  for which  the
7       report  is filed.  Such amount shall be  expressed as  a
8      percentage change from the amount reported in para-
 9      graphs (1) and (2).
10           (5)  A ratio of production in the reporting year  to
11    .  production in the previous  year. The ratio  should be
12      calculated to most closely reflect all activities involving
13      the toxic chemical.  In specific industrial classifications
14       subject to this section, where a feedstock or some  vari-
15       able other than production is the primary influence  on
 16      waste characteristics or volumes/the report may pro-
 17      vide an index based on that primary  variable for each
 18       toxic chemical. The Administrator is encouraged to  de-
 19       velop production indexes to accommodate individual in-
 20      dustries for use on a voluntary basis,
•21           (6)  The techniques which were used to identify
  22      source   reduction   opportunities.  .Techniques  listed
  23      should include, but are not limited to, employee recom-
  24      mendations,  external and internal audits,  participative
  25       team  management, and material balance audits. Each
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           •.••••••  '  .  -  1.3 '"     .   :            ',   .
 1       type  .of source reduction listed under  paragraph (3)
 2       should be  associated with  the techniques or multi-
.3      -pies  of techniques used to identify the source reduc-
 4       tion technique.
 5            (7) The amount of any toxic chemical  released
 6       into  the environment which resulted from & catastroph-
 7       ic .event, remedial action, or other one-time event and
 8      is not associated with production processes during   e
 9      reporting year.
10           (g) The amount of the  chemical from the facility
11      which is treated (at the facility or elsewhere) during
12      such calendar year and the percentage change from the
 13      previous year.
 14  For the first year of reporting under this subsection, compari-
 15  son with the previous year is required only to the extent such
 16  information is available.                     ,
 17       (c)  SABA  PROVISIONS.—The provisions of sections
 18  322,  325(c), and 326  of the Superfund Amendments and
 19  Reauthorization Act of 1986 shall apply to the reporting re-
 20  quirements of  this  section in the same manner as to the re-
 21  ports required under section 313 of that Act. The Adminis-
 22, trator may modify-.the form required for purposes of reporting
 23  information under section 313  of that Act to the extent he
 24 deems  necessary  tp include the additional information  re--
 25 quired under this section.
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                            u  -           ,               •   .
 2  person filing a report under this  section for any  year may
 3  include with  the  report  additional information  regarding
 4  source reduction, recycling, and other pollution control tech-
 5  niques in earlier years.      .
-6       (e) AVAILABILITY OF DATA.—Subject to section 322 of
 7  the  Superfund  .Amendments  and  Reauthorization Act  of
 8  1986, the Administrator shall make data collected under this
 9.  section publicly available in the  same  manner as the data
10  collected under section 313 of the Superfund Amendments
11  and Reauthorization  Act  of 1986.  In addition, if the  public
 12  disclosure of any quantity specified in section  7, paragraphs
 13  (1), (2), and (8) of subsection (b) would divulge information
 14 qualifying as a trade secret under section 322 of the Super-
 15 'fund Amendments and Reauthorization  Act of 1986, the Ad-
 16 ministrator shall only make  available the percentage by
 17 which the volume of the toxic chemical has changed.
 19       .(a) BIENNIAL REPOBTS.-The Administrator shall pro-
 20  vide Congress with a report within eighteen months after en-
 21  actment of this Act and biennially thereafter, containing a
 22 detailed description of  the actions  taken to implement  the
 23 strategy to promote source reduction developed under section
  24 4(b) and.  of the results  of such actions. The report shall in-
  25  elude an  assessment of  the effectiveness of the clearinghouse.
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      •'."   ""    '       '  •   15   .".   - .    '-  '  '.  "•    '   •"     •'•.•'
 1  and grant program established under this  Act  in promoting
 2  the'goals of the strategy, and shall evaluate data  gaps and
 3  data duplication with respect to data collected under Federal
 4  environmental statutes.
 5       (b) SUBSEQUENT REPORTS.—Each biennial report sub-
 6  mitted under subsection (a) after the first report shall contain
 7  each of the following:
 8            (1) An analysis of the data collected under section
 9      7 on.an industry-by-industry basis for not less than five
10      .SIC codes or other  categories  as  the  Administrator
11 "     deems appropriate. The  analysis shall begin with those
12      SIC codes or other categories of facilities which gener-
          .           L      /•,_'•--.*''•'
13      ate the largest quantities of toxic chemical waste. The
14      analysis shall include  an evaluation of trends in source
 15       reduction  by industry,  firm  size, production, or other
 16       useful means. Each such- subsequent report shall cover
 17       five SIC codes or  other categories which were not cov-
 18      ered in a  prior report until all SIC codes or other cate-
 19      gories have been covered.                          \
 20           (2)  An analysis of the usefulness  and  validity of
 21       the data  collected under section 7 for measuring trends
 22       in source reduction and the adoption of source reduc-
     ...       •    "•.•*..   •''-,"• -~    '  - •'  f '
 .23.       tion by business.
 24            (3)  Identification  of regulator^^^and nbnregulatory
          barriers.to;source  reduction, and  of opportunities for
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                •             16        '               .
 1       using existing regulatory programs, and incentives and
 2       disincentives to promote and assist source reduction.
 3            (4) Identification of industries and pollutants that
 4       require priority assistance in multi-media source reduc-
 5       tion.                                                .
 6           (5) Kecommendations as to incentives heeded to
 7      encourage investment and research and development in
 8      source reduction.
 9           (6) Identification of opportunities and development
10      of priorities for research and development in source re-
11       duction methods and techniques.
12            (7) An evaluation of. the cost and technical feasi-
 13       bility, by industry and  processes, of  source  reduction
 14       opportunities and current activities and an  identifica-
 15       tion  of any industries- for which there are  significant
 16      barriers  to source reduction with  an analysis  of  the
'17      basis of this identification.
 18            (8)  An evaluation of methods  of  coordinating,
 19       streamlining, and improving public access to data col-
 20       lected under Federal environmental statutes.
 21            (9)  An evaluation of data gaps and data duplica-
 22      tion with respect to  data collected under Federal envi-
 -23      ronmental statutes.  .   .
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...        .                                .
 i   In the report  following the first biennial report provided for-
 •2   under this subsection, paragraphs (3j; through (9) may be in-
- 3   eluded at .the discretion of the Administrator. ,
 5        (a)  Nothing in this Act shall be construed to  modify or
 6  interfere with the implementation of title HI of the Super-
 7  fund Amendments and Reauthorization Act of 198.6.
 8       (b)  Nothing contained in this Act  shaU be construed, in-
 9  terpreted or applied to supplant, displace, preempt or other-
10  wise diminish the responsibilities and liabilities under other
11  State or Federal law, whether statutory or common.
13       There is authorized to be appropriated to the Adminis-
 14  trator $8,000,000 for each of the fiscal years 1991,  1992,
 15  and 1993 for functions carried out under this Act (other than
 16 State grants),  and $8,000,000  for each of the fiscal years
 17  1991,  1992, and 1993,  for grant programs to States issued
 18  pursuant to section 5.
 20      The Administrator is authorized to issue such rules, reg-
 21 ulations, and orders as may be necessary to carry out the
 22 provisions of this Act.
 ,   .                          O
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