ENVIRONMENTAL 205593002 PROTECTION AGENCY FY 1994 President's Budget /TV Recycled/Recyclable Printed vulth Soy/Canola Ink on paper that contains at least 50% rec»etod«b«r ------- Several Over-Arching Principles Guided Our 1994 Decisions Innovation and Change Environment in Mainstream of Domestic Policy Investments for the Future ------- The FY 1993 Jobs Package Accelerates FY 1994 Program Completes Capitalization of Wastewater SRF Increases Funding for Watershed Restoration Grants Increases Funding for Green Programs to Promote Energy-Efficient Technologies and Foster Pollution Prevention ------- The President Proposes an Increase of $375 Million Over FY 1993 Appropriated Levels Construction Grants Superfund/ LUST Operating Programs FY1992 Approp (Dollars in Billions) FY1993 Approp $7.3 $0.9 Jobs Package FY1994 Pres Bud Drinking Water SRF Clean Water Infrastructure ------- Budget Highlights Administration's Environmental Investments Agency Initiatives Deficit Reduction ------- Administration's New Environmental Investments Exceed $2 Billion y Water Infrastructure --Clean Water SRF --Drinking Water SRF V Watershed Restoration V Green Programs ^Environmental Technology ------- Resources to Enhance the Nationfs Water Infrastructure Increase by $469 Million Construction Grants $2,550 (Dollars in Millions) $892 Wastewater SRF Non-Point Source $3,019 j $2,127 New Clean Water SRF New Drinking Water SRF Other 1993 Approp Jobs Package 1994PresBud ------- A New $599 Million SRF Will Protect Our Nation's Drinking Water Assist Municipalities in Meeting New Safe Drinking Water Act Requirements Low Interest Loans Based on Successful SRF Approach to Wastewater Treatment $892 $2,550 Drinking Water SRF 1993Approp 1994PresBud ------- EPA Will Invest $2.4 Billion to Improve Water Quality Infrastructure $2.4 Billion: $1.2 Billion - Clean Water SRF $892 Million - Jobs Package $330 Million - Other Projects Eligibilities Beyond Current SRF Mexican Border Projects Non-Point Source $2,550 Special Eligibility $892 Drinking Water SRF 1993 Approp 1994PresBud ------- EPA is Requesting Substantial Increase for Watershed Resource Restoration Grants (Dollars in Millions) Existing 1993 Resources Jobs 1994 Package Request Creates new jobs Increases fisheries productivity Improves recreation ------- Green Programs (Dollars in Millions) Showcase for partnership with private sector $23 Existing Jobs 1993 Package Resources 1994 Request Promotes energy efficiency ------- Environmental Technology Total = $36 Million Environmental and Restoration Technologies $10.8 International Environmental Technologies $12.0 $12.0 Clean Technologies for Small Business Setting $1-2 Technological Priorities President's interagency program High priority environmental technology needs Harness Federal, university, and private creativity 19 ------- We Have Streamlined our Superfund Program (Dollars in Millions) Enforcement Other Response $1,585 $1,496 FY 1993 FY 1994 ------- Agency Initiatives Will Move EPA in a New Direction Pollution Prevention Ecosystem Protection Lead Abatement Improved Science Resource Management 14 ------- Enforcement (Dollars in Millions) Total Resources = $455 Million Water $62 Superfund $184 Hazardous Waste $65 Air $42 Other $48 Multi-Media $54 FY 1994 Budget $426.7 +$28 Million $454.7 1993 Approp 1994 Pies Bud ------- State Grant Resources Increase $78 Million (+14%) Over 1993 (Dollars in Millions) $547 FY 1993 $625 +$78 (14%) FY 1994 (Total Resources = $625 Million) Air $173 Water $219 Drinking Water $70 Pesticides $32 Hazardous Waste $102 Other $29 1994 Distribution by Media Includes $47 Million for Non-Point Source Grants in the 1993 Jobs Package 16 ------- The President Proposes an Increase of $375 Million Over FY 1993 Appropriated Levels Construction Grants Superfund/ LUST Operating Programs $6.7 FY1992 Approp (Dollars in Billions) FY1993 Approp $7.3 $0.9 Jobs Package $6.4 FY1994 Pres Bud Drinking Water SRF Clean Water Infrastructure t rr ------- ------- STATEMENT OF CAROL M. BROWNER, ADMINISTRATOR U.S. ENVIRONMENTAL PROTECTION AGENCY ON THE PRESIDENT'S BUDGET REQUEST FOR 1994 APRIL 8,1993 INTRODUCTION Good afternoon. I am pleased to present the President's proposed FY 1994 budget for the U.S. Environmental Protection Agency. As the new Administrator of EPA, I look forward to the excitement and challenge of shaping our Nation's environmental policies for the next four years. Most important, I am looking forward to change. The American people voted for change last November, and we already have initiated substantial changes at EPA. This Administration is going to move the environment from the margins of national policy to center stage. The Cabinet status bill and EPA's full participation on the new National Economic Council are just two indicators of the importance of the environment to the Clinton Administration. The President's proposed Economic Stimulus Package and this proposed EPA budget for FY 1994 are two additional indicators of the new prominence of environmental issues. At a time when the American people are demanding better government, more results for their tax dollars, and a smaller Federal budget deficit, President Clinton is proposing to address these issues with a new environmental agenda, Recycled/Recyclable Printed with Soy/Canota Ink on paper that contain* «l least SDK raeydad «MT ------- better management of environmental programs, and increased Federal investments to protect public health and natural ecosystems. PROMOTING A NEW FJWIRONMF.NTAL AGENDA EPA's budget request for FY 1994 totals $6.4 billion. When added to the President's proposed $916 million economic stimulus package, this request represents an increase of $375 million over FY 1993 appropriated levels. Viewed in the context of the Administration's overall FY 1994 budget - a budget notable for its honesty, realism, and emphasis on deficit reduction - this FY 1994 budget for EPA is an important measure of the President's commitment to the environment. This budget and the Economic Stimulus Package will allow us to begin making real changes and real progress in 1993, 1994, and beyond. This proposed budget is only the first step in an ongoing revaluation of EPA's priorities. I recently initiated a comprehensive review of aUEPA spending. This review will help us compare resource expenditures with national environmental priorities, as a basis for future budgeting efforts. The proposed FY 1994 budget for EPA was shaped in large part by four broad goals: 1) increased assistance to state and local governments; 2) expansion of pollution prevention programs and several other key initiatives; 3) emphasis on ecosystem-wide protection; and 4) better management of public resources in aU programs. EPA's proposed investments in these areas are a good indication of how this Administration intends to implement an agenda of change at EPA. ------- ASSISTANCE TO STATE A" T^CAL GOVERNMENTS This Administration believes very strongly that state and local governments are the front line of environmental protection. As the former head of Florida's Department of Environmental Regulation, I understand how state and local governments touch American lives. I also understand how environmental costs are stretching state and local budgets. Consequently, EPA's proposed FY 1994 budget, together with the President's Economic Stimulus Package, include several new initiatives, and increased levels of investment, that respond to state and local needs. For example, to help protect the nation's drinking water, this budget proposes to invest $599 million to establish a Drinking Water State Revolving Fund. This fund would provide low-interest loans for the repair and improvement of existing drinking water systems. Many such systems across the country cannot afford the costs associated with upgrading needed to meet national drinking water standards. The Administration will be submitting authorizing language for this new Drinking Water State Revolving Fund to the Congress in the near future. To address wastewater needs, the President's Economic Stimulus Package will provide $845 million in grants to states to construct or upgrade wastewater treatment facilities. This new funding will complete Federal capitalization of wastewater treatment under the Clean Water Act. In addition, EPA's FY 1994 budget proposes a new approach to meeting the extensive water quality needs still facing our Nation. This new approach includes the establishment of a new Clean Water State Revolving Fund, for which EPA is requesting ------- $1.2 billion. This new fund will provide low-interest financing for many wastewater projects, including stormwater and Combined Sewer Overflow projects and national estuaries protection. The Administration will be submitting authorizing language for this new Clean Water State Revolving Fund to the Congress shortly. Besides proposing establishment of the Clean Water and Drinking Water State Revolving Funds, this proposed budget requests $80 million for grants to reduce non- point source pollution in our Nation's water. This budget also proposes further investments in U.S.-Mexican border projects that not only protect the environment and public health along the border, but also demonstrate U.S. commitment to the North American Free Trade Agreement. For these activities we are requesting $70 million for the International Wastewater Treatment Plant in Tijuana, $60 million for the Texas and New Mexico colonias, and another $20 million for wastewater treatment plants in Nogales, Mexicali, and other places along the border. POLLUTION PREVENTION AND OTHFR KEY INTTf ATTVFS We live in an enormously complex global ecosystem where "solving" one environmental problem through the use of end-of-pipe controls can, in many instances, create new ones. To complement tough enforcement policies, this Administration is committed to pollution prevention as the preferred alternative for environmental protection. The President has demonstrated his personal commitment by including $23 million in his Economic Stimulus Package to expand EPA's voluntary "Green Programs," which promote energy efficiency and reduce greenhouse gas emissions. ------- Moreover, EPA will integrate pollution prevention into all Agency programs and activities, both regulatory and non-regulatory, thus meeting the mandates of the 1990 Pollution Prevention Act. In 1994 EPA will target a number of high-risk problems using both voluntary and regulatory approaches, including pollution prevention. I also am committed to fostering more widespread use of market forces to prevent or reduce environmental risk and encourage innovative technologies. In 1994 the Agency will expand its pollution prevention efforts by: incorporating pollution prevention into the Agency's regulatory and permitting framework; increasing support for state and local government use of pollution prevention; expanding collaborative programs with industry in areas such as toxic releases, energy conservation, and water conservation; creating government/industry partnerships in the development of pollution prevention technologies; and promoting pollution prevention in the activities of other Federal agencies. Besides broadening EPA's pollution prevention efforts, this Administration intends to undertake several other key initiatives. For example, in conjunction with other Federal agencies, EPA will expand its lead abatement program by providing technical support to state and local officials and lead abatement contractors. In FY 1994 we will strengthen our scientific capabilities by improving our health and ecological risk research, replacing obsolete laboratory equipment, and upgrading some of our most outdated facilities. Finally, EPA will use $36 million identified in the President's infrastructure investment package to identify high-priority environmental technology needs and then harness the creativity of people in Federal agencies, universities, and the ------- private sector to meet them. ECOSYSTEM-WIDE PROTECTION One fundamental change at EPA must be an increased focus on ecosystem-wide protection of bioresources. Because this country must compete within an international economic market, our long-term economic well-being is dependent on managing our bioresources within ecological systems that are sustainable over the long term. We cannot protect the health and long-term productivity of any species, including human, unless we protect the entire ecosystem on which they are dependent. Some of the proposed FY 1994 investments I've already discussed will help us protect ecosystems. Financial assistance to state governments for wastewater treatment plants will help protect the watersheds where such systems are constructed. Pollution prevention can be a powerful tool when targeted at specific ecosystems. In FY 1994 we propose to do even more. For example, EPA will begin to look at ways of developing and implementing an ecosystem protection strategy that links all relevant Agency programs. This approach also will entail better coordination with state and local pollution control authorities, non-government organizations, and private citizens. EPA's new approach to ecosystem protection will include four basic elements: (1) transforming Agency culture to emphasize ecosystems; (2) assisting state and local leaders to protect specific ecosystems throughout the country; (3) improving the scientific tools needed to protect ecosystems; and (4) initiating new geographically-defined programs that emphasize pollution prevention, multi-media enforcement, research, and ------- education. BF/TTER MANAGEMENT OF PUBLIC RESOURCES Of all the changes that this FY 1994 budget proposes, the most significant may be the changes proposed in the way the Agency manages its daily business. My goal is very clear. EPA must operate as a model in terms of its overall management and, in particular, its basic fiscal practices. Financial integrity, sound contract management, and streamlined administrative procedures all go hand in hand, and all are critical to fulfilling our environmental mission while using the taxpayers' resources wisely. Significant steps have been taken in recent years, but much remains to be done. Some of the benefits of better management can be seen in EPA's Superfund program. The proposed FY 1994 budget for Superfund, totaling $1.5 billion, demonstrates the Administration's strong commitment to protecting human health and the environment through site clean-ups. At the same time, this level of funding represents a decrease of $89 million from 1993. I believe that administrative improvements and streamlining will help us maximize site clean-ups while minimizing overhead and transaction costs. Although responsible parties currently are financing over 70 percent of new cleanup projects, some additional improvement may be possible there. In short, I believe this Administration's goals of environmental protection and deficit reduction can be achieved simultaneously, and EPA's proposed Superfund budget for FY 1994 is a good example. Resource management problems are among the most critical issues I will face at ------- EPA over the next four years. I will work to ensure optimum management of all extramural activities, and I will develop a rigorous system of management accountability. I am hopeful that EPA soon will be able to announce important system improvements in this area, such as in the Integrated Contracts Management System. In formulating this proposed FY 1994 budget, EPA recognized environmental needs as well as the Administration's efforts to trim the budget deficit. To this end, we have proposed saving approximately $35 million through workforce reductions and savings based on the Federal pay freeze in 1994. The Agency also will be taking immediate steps to save $42 million by streamlining operations and reducing administrative costs. CONCLUSION This is an exciting time in the field of environmental protection. However, this is also a time of difficult choices. It is critical that this new Administration move ahead to improve the health of our people and our natural ecosystems. We will continue to support new environmental initiatives in a variety of areas. We are committed to the idea that a strong economy and enhanced environmental protection are not contrary goals. To attain these goals, we must shatter the false choices between environmental protection and economic growth by creating market-based environmental protection strategies that reward conservation and "green- business practices while penalizing polluters. We also must use our presence as an international political and economic leader to advance our national interests in a 8 ------- healthier global environment. The new Clinton Administration has a great deal of work to do in the environmental arena. I look forward to working with the President, his Cabinet, my dedicated workforce at EPA, state and local governments, and all the American people in solving our environmental problems. We must rethink our national environmental policies in the context of change -- the change articulated by President Clinton and Vice President Gore, the change demanded by the American people. The EPA budget proposed by FY 1994 is a good first step. ------- United States Communications, Education, Environmental Protection And Public Affairs Agency (A-107) &EPA Environmental News THURSDAY, APRIL 8, 1993 CLINTON'S PROPOSED 1994 BUDGET REFLECTS ENVIRONMENTAL GROWTH AND FISCAL SAVINGS Lauren Milone Mical 202-260-4358 EPA Administrator Carol M. Browner today announced that the Administration's jobs package and the fiscal year 1994 budget together represent a six percent increase in proposed spending for EPA. In a press conference today, the Administrator presented President Clinton's proposed $6.4 billion Agency budget for fiscal year 1994.* This request, when added to the Administration's proposed $916 million jobs package for 1993, will represent an increase of $375 million (six percent) over 1993 appropriated levels. "The President's proposed Jobs Package and this proposed EPA budget are two indicators of the new prominence of environmental issues under this Administration," Browner said. "At a time when the American people are demanding better government, more results for their tax dollars, and a smaller federal budget deficit, President Clinton is proposing to address these issues with a new environmental agenda, better management of environmental programs and increased federal investment to protect public health and natural resources." To focus the 1994 resources toward the most serious environmental and infrastructure concerns, the proposed FY 1994 budget for EPA was shaped in large part by four broad goals. These goals include: increased assistance to state and local governments; expansion of pollution prevention programs and several other key initiatives; emphasis on ecosystem-wide protection; and better management of public resources in all programs . The 1994 request includes: $2.7 billion and 13,861 workyears (a workyear is the equivalent to one 40-hour a week employee) for operating programs; R-81 (more) #* printea on Heo, ------- -2- $1.5 billion and 3,514 workyears for the Superfund program; $75 million and 93 workyears for the Leaking Underground Storage Tank (LUST) program; $2.05 billion for water infrastructure funding, including resources for a Clean Water State Revolving Fund and a Drinking Water State Revolving Fund. "EPA's proposed investments in these areas are a good indication of how this Administration intends to implement an agenda of change at EPA," Browner said. In addition to the 1994 request, the Clinton Administration, as part of its jobs package, is seeking $916 million for high priority activities in 1993. This package includes resources for three major components: $845 million to complete the existing authorization for wastewater SRFs; $47 million for non-point source grants to help restore watershed resources; and $23 million to promote the use of efficient 'green1 technologies to reduce energy consumption and foster pollution prevention. In formulating the 1994 request, the Agency addressed both environmental needs as well as the Administration's efforts to trim the budget deficit. "The budget includes real, tough decisions about the allocations of resources in the Agency," Browner said. To this end, the EPA has proposed saving approximately $35 million through workforce reductions and savings based on no payraise cost-of-living adjustment. The Agency will be taking immediate steps to save $34 million by streamlining its operations and an additional $8 million by reducing administrative costs for transportation, travel and supplies. Additional EPA program savings also have been targeted in 1994. Through a combination of savings, redirection, and new investment, the 1994 budget request will provide the resources necessary to continue to achieve change and make progress in the environmental protection effort. R-81 ### * Editor's Note: EPA's request represents the appropriations EPA will seek from Congress. OMB's budget summary estimates differ because they include technical adjustments for offsetting receipts from the public, for example, anticipated cost recoveries. These differences are normal and occur every year. ------- CONTACTS FOR THE U.S. ENVIRONMENTAL PROTECTION AGENCY'S 1994 PRESIDENTS BUDGET Comptroller (Acting) Associate Comptroller Budget Director (Acting) Associate Budget Director (Acting) Budget Planning & Regional ' Operations Branch (Acting) Budget Information Technical Systems Branch Budget Formulation & Control Branch Prevention, Pesticides & Toxic Substances (Budget Division Contact) Research & Development (Budget Division Contact - Acting) Air & Radiation (Budget Division Contact) Water Quality & Drinking Water (Budget Division Contact) Water Infrastructure Financing/ Drinking Water State Revolving Fund (Budget Division Contact) Hazardous Waste, Superfund & Leaking Underground Storage Tank (LUST) Program (Budget Division Contact - Acting) Enforcement (Budget Division Contact - Acting) Management and Support: Office of the Administrator Office of International Activities Office of Administration & Resources Management Office of Policy, Planning & Evaluation Office of the Inspector General Office of General Counsel Alvin M. Pesachowitz 260-9674 David J. O'Connor 260-9674 Elizabeth Craig 260-8340 Terry Ouverson 260-8340 ._...--- .'-"* :">- ~* " ' - ' Margaret Mitchell 2604157 William J. Boone 260-3367 Delia G. Scott 260-1176 Richard White 260-2914 Dennis DeVoe (260-1170) Clarence E. Mahan 260-7500 Mike Feldman (260-1179) Jerry Kurtzweg 260-7415 Michael Haley (260-7164) Kathi Payne 260-5698 Dennis DeVoe (260-1170) Kathi Payne 260-5698 Dennis DeVoe (260-1170) Kathy Gordon 260-4510 Vera Ashworth (260-1163) Nancy Hunt 260-8294 Mike Feldman (260-1179) Diane Bazzle 260-4057 Joan Fidler 260-0076 Rick Garman 2604083 Mary Free 260-4020 Michael Binder 2604912 Bill Stewart 260-8888 (Budget Division Contact) Michael Haley (260-7164) ------- |