C.I vvEPA United States Environmental Protection Agency February 1979 OPA 1 14/8 1978 Report Better Health & Regulatory Reform ------- ------- Message From the Administrator and Deputy Administrator In his message to the Congress in the spring of last year President Carter said that the primary need in the environ- ment today is not for new statutes but for sensitive ad- ministration and energetic enforcement of the ones we have. "Environmental protection," the President said, "is no longer just a legislative job, but one that requires and will now receive firm and unsparing support from the Executive Branch." Nowhere is this declaration of policy by the President more clearly reflected than in the selected activities de- scribed in this report. And the twin themes that underscore every one of them are the protection of human health and the reform of the regulatory process. All of us are concerned that prices are rising again. That we are again having to pay more for the essentials food, shelter and clothing. EPA's particular concern is to what extent environmental protection contributes to the inflation rate. By some measures, at least, there is no question that it does. A study prepared for us by Chase Econometric con- cluded that EPA programs add an average of 0.3 to 0.4 percent annually to the Consumer Price Index. And those figures do not reflect recent changes to environmental laws. However, this estimated increase in the CPI does not necessarily mean that environmental regulations are infla- tionary. The CPI ignores improvements to human health, reduced property damage, increased crop yields and other benefits that result from pollution control spending. The valuation of these benefits is still a developing area of economic analysis and we cannot yet estimate them in precise dollar terms. From the work that has been done, however, it is clear that the cost of our regulations are war- ranted by the benefits derived. Nowhere is this thesis more abundantly supported than in the area of human health. The World Health Organization estimates that from 60 to 90 percent of all cancer is brought on by "environmental factors". The rate of cancer in this country is greater than at any time since World War II. We have accumulating evidence that mercury, lead and cadmium in the environment can attack the central nervous ------- system. We know that the pesticide DBCP causes sterility and we know that kepone causes nerve damage. We know that fluorocarbons weaken the protective shield of the ozone layer, greatly increasing the risk of skin cancer. Asbestos and chloroform have been found in our drink- ing water. We are now aware that chloroform appears in our drinking water as a result of the way we have been disinfecting that water to make it safe for drinking. Increasingly in our industrialized society it is becoming plain that most of the serious diseases and disabilities we suffer are related to our exposure to environmental hazards. Health care in this country now runs $140 billion a year. Most is for treatment and cure. There is a growing body of evidence that we could get more for our dollars if we spent more of them on prevention, especially preven- tion of environmental health hazards, rather than on cure of disease and chronic conditions. Reducing health risks and costs is the major benefit we realize from pollution control programs. Reducing property damage of many varieties is also an important benefit. Other benefits harder to quantify are also important. What dollar value would we place on the serenity the fieldworker derives from knowing that the pesticides he or she is exposed to over a long period of time are safe? What is it worth to the urban dweller to see a clear sky? What would a child pay to be able to swim in the streams that once ran clear? What is the psychological value of knowing that the water flowing from your tap is safe to drink? We cannot put a dollar and cents figure on these benefits. Although we know they are real. We cannot, either, find quick-fix solutions to the prob- lems Congress has addressed in the legislation we imple- ment. The problems are too deeply rooted in our society. EPA must, then, make judgments. In makintj judgments we require that both the costs and the benefits be assessed as far as is possible. Under our regulatory reform program we strive always to find the most efficient and least costly ways of protecting the environment. Whenever possible we regulate only when we are confident the benefits exceed the costs. In the space of this report we have not attempted to describe the many activities underway at EPA. The Agency ------- is responsible for carrying out eight separate laws all of which were designed to protect the public health and welfare and all of which have their origins in the response by Congress to different problems that became acute at different times in our recent history. The Federal Water Pollution Control Act, for example, which has been amended five times, was originally enacted in 1948. The Toxic Substances Control Act, on the other hand, was passed as recently as 1976. This report represents a selection from the diversity of programs underway at EPA. Its purpose is to highlight ac- tions we have taken under these programs during the past year. ------- ------- Safeguarding the Water We Drink American service personnel and their families and those of us who go abroad on vacation or business sometimes run into the problem of unsafe drinking water. At home we scarcely give it a thought. We are confident that the purity of our water can be depended on and for the most part we are right. The once dreaded threat to public health from widespread waterborne communicable diseases has faded into our history books. However, our sources of water are being endangered by a number of new chemicals and pollutants every year. And some of our treatment facilities have not kept pace with the technology required to remove them. At the same time our ability to detect contaminants has been improving. Modern science is now equipped to iden- tify specific chemicals in terms of billionths of parts of the water being tested. In some cases scientists can measure them in trillionths. With information so detailed, a new question arises. What is the effect of consuming these contaminants in such small amounts over long periods of time? Doctors can say that an acute or immediate illness comes from this or that virus or poison. But chronic problems that develop over many years are not so quickly diagnosed. There is genuine concern in the scientific community that prolonged exposure to certain elements, even at very low levels, may be increasing the incidence of cancer and heart disease. This new situation calls for a great deal of research. Mean- while, we must reduce the risks to health. Under the Safe Drinking Water Act of 1974 EPA is re- quired to set limits on the amounts of various substances sometimes found in drinking water. Every community water supply in the country serving 15 or more connections or 25 or more people must ensure that its water meets these minimum standards of purity. Even noncommunity sup- plies, such as trailer parks, camping sites and roadside motels with their own water supplies are covered. As part of national drinking water regulations that became effective in June, 1977, EPA set maximum limits for a variety of contaminants commonly found in water supplies. These included bacteria, several metals and minerals, certain pesticides, radioactivity and turbidity the minute particles suspended in water that cause cloudiness ------- and can also interfere with disinfection. Most of these substances are also found elsewhere in the environment and in the foods we eat. The standards set nationally for the first time by EPA reflect the level we can safely consume in our water, taking into account the amounts we are also exposed to from other sources. Most public drinking water systems, particularly the larger ones, already meet these standards. For those other systems that cannot always deliver high quality drinking water some changes must be made. In February of 1978, EPA proposed standards to limit organic chemical contaminants in drinking water which are suspected to be cancer causing. The first part of EPA's proposal would regulate a family of chemicals called trihalomethanes that are created as a by-product of conventional disinfection. Chlorine used to control bacteria interacts with natural humic matter in water to produce chloroform and other members of the tri- halomethane family. These chemicals are known to cause cancer in animals. EPA's proposed standard sets a maximum limit on the amount of chloroform and other trihalomethanes 1hat would be allowed in drinking water. The Agency leaves it up to the waterworks to decide how it will meet the stan- dard. Besides the trihalomethanes there are hundreds of other synthetic organic chemicals discharged into many of our water supplies from factories and there are others that drain from farms and cities. Rather than set a maximum limit at this time for each one of these contaminants the second part of EPA's proposal would require that activated carbon filters be installed at the waterworks in those cities where the water supply is seriously contaminated. Approxi- mately 50 to 75 cities are affected. ------- EPA Regulates Factories That Discharge Into City Sewers In the United States today approximately 40,000 factories ° discharge toxic chemicals into city sewers without control. Some of these chemicals disrupt the operation of the sewage treatment plants on which taxpayers have spent billions of dollars. Others pass through the plants into rivers and streams without being adequately treated. Once in the waterway they may poison aquatic life. Some are long lasting and may accumulate as they move up in the food chain eventually finding their way into the foods we eat. Some are known or suspected carcinogens. Toxic chemicals passing through a treatment plant also mean that the wastewater and the sludge from the plant may be contaminated. The volume of sludge produced by sewage treatment plants increases with every year and the need to be able to reuse sludge is becoming critical. Similarly, our need to be able to reclaim wastewater is in- creasingly important, especially in water short areas. In June of this year EPA announced a national strategy that will require 21 different categories of industry to "pre- treat" their wastes for toxic chemicals before discharging them into public sewer systems. Chemical plants, electro- platers and petroleum refiners are typical examples of the industries affected. EPA named 65 chemicals that must be controlled. Industries that discharge directly into rivers and Q streams are already controlled by other regulations issued by the Agency. The discharge limits for toxic chemicals that EPA will issue for each industry under the new strategy will be based on the best clean-up technology that is now available and that can be economically achieved. The limits will be issued starting this fall and ending December, 1979. Once they are issued industries will have three years to meet them. At the same time the national strategy was announced EPA issued new regulations which require local authorities to set up their own enforcement programs for the dis- charge limits. Local authorities may set their own pretreat- ment limits for factories under their jurisdiction as long as they are no less strict than EPA's. They may also modify Q EPA's limits to allow for some removal of toxic chemicals at the sewage treatment plant. EPA will provide funds to ------- local governments to help them set up enforcement pro- grams. There are approximately 600 sewage treatment plants around the country that will be affected by EPA's new regulations. For the larger plants local enforcement pro- grams should be in operation no later than 1983. O -. V ^tfv vfc« ------- o / 'T ' ------- EPA is Model for Reform in Writing Regulations On March 23 of this year President Carter issued an Ex- ecutive Order on improving government regulations. The President explained that the American people are sick and tired of excessive Federal regulation, that the Federal government has become like a foreign country complete with its interests and its own language. "This Executive Order," the President said, "is an instrument for reversing this trend. It promises to make Federal regulations clearer, less burdensome, and more cost-effective." EPA is especially proud that many of the reforms in regulation writing required by the President's Order were pioneered by the Agency. Plain English. Regulations, the President said, must be translated into language the small businessman who must be his own expert can understand. At EPA man- agers understand that plain English is a necessary part of communication, and therefore a necessary prerequisite to their success in carrying out the Agency's mission. How- ever, the Agency is going the extra mile by preparing a style book for regulation writers, selecting regulations from each program office for preparation as models of good writing, and assigning a professional editor full time to the review of regulations before they are published. Public Participation. The President's Order requires Federal agencies to open up the regulatory process to broad public involvement and calls for regular "early warn- ing" announcements of any significant new regulatory ac- tion that is being considered. EPA's practice provided a model for the Order. Twice a year (April 6 was the latest) the Agency publishes in the Federal Register a Regulatory Agenda of al) significant regulations it intends to issue. The Agenda cites the legal authority for the regulation, states whether a regulatory analysis must be provided, and lists the tele- phone of a person who can be contacted for information. The Agenda also lists those existing regulations whose reporting requirements have been "sunsetted". For each significant new regulation that is written by the Agency, EPA: 1) First identifies those groups and individuals who will be especially interested in the regulation and notifies them 10 ------- ------- of its intention to write the regulation. 2) Publishes in the Federal Register an Advance Notice of Proposed Rulemaking. 3) Holds public meetings and public hearings on the pro- posed regulation. 4) Keeps a mailing list of those who have written or called the Agency about the regulation, and sends them drafts of the regulation and other materials as they are developed. 5) Publishes drafts of a regulatory analysis of the regula- tion if such an analysis is required. 6) Provides at least 60 days for the public to comment on the proposed regulation. EPA summarizes these com- ments and indicated its response to major points made. 7) Consults with individual state and local governments on the regulation and with associations of state and local governments. 8) Consults with other Federal agencies that may be af- fected by the proposed regulation. Regulatory Analysis. EPA routinely analyzes all proposed regulations for their economic impact. If it is thought that a proposed regulation may have a major economic conse- quence for the country, then as called for by the Presi- dent's Order EPA specially analyzes the proposal to measure its effects on a series of economic factors, in- cluding prices and employment, and to consider a number of alternatives, including that of taking no regulatory action at all relying on the forces o1 the marketplace to achieve the desired result. Any one of the following criteria will trigger a regulatory analysis of a proposed regulation. 1) Compliance with the regulation will cost $100 million per year. 2) For any major industry product or service compliance will result in a 5 percent increase in the cost of the product or service. 3) National energy consumption will increase by the equivalent of 25,000 barrels of oil per day. 4) The demand for certain scarce materials will go up to 3 percent per year, or the supply will go down by 3 percent. ------- Continuing Review. The President's Order requires every Federal agency to undertake a systematic review of existing regulations. Agencies are to eliminate unnecessary regula- tions, and are to reform those that are still necessary to reduce to a minimum the burden they impose. Many of EPA's most important regulations are already scheduled for review because of statutory requirements; for example, air quality standards, and the regulations that govern water pollution discharges from industry. All other existing regulations will be screened for review according to a set of criteria laid down by the Agency. These include such factors as the cost to the public of the regulation as measured against its benefit, whether or not the regulation is enforceable and is in fact being enforced, whether it overlaps other regulations including those issued by other agencies, and so on. "Sunsetting" Paperwork. It is in the nature of EPA's business that it must gather information from the public, from business and industry and from state and local government. The Agency needs data on health effects, economic costs, pollutant discharge rates, and much more if it is to carry out its work. In keeping with the President's Executive Order EPA is reducing paperwork burdens wherever possible. First, the Agency has set a "sunset" policy on reporting require- ments for all new regulations. Under this policy any report automatically terminates after a set period, usually five years, unless a thorough review of the costs and benefits of the report argues for its retention Second, as part of its review of existing regulations EPA will look especially hard at requirements for reports in those regulations that must be retained. 13 ------- ------- Taking Steps to Close Dumps and to Control Hazardous Wastes Scattered across the United States today are nearly 20,000 sites where cities dispose of solid waste, more than 20,000 where they dispose of sewage sludge, and more than 100,000 sites where industries dispose of their waste. One of the major purposes of the Resource Conservation and Recovery Act of 1976 (RCRA) is to make sure that these facilities are operated in such a way as to prevent any threat to human health and the environment. Another is to bring under control the disposal of hazardous wastes the 10 to 15 percent of industrial waste that poses acute en- vironmental and health problems. Under RCRA EPA spells out what practices are accept- able in getting rid of waste matter on land, and the States determine whether existing sites meet the EPA criteria. If they do not the states close or upgrade them. No new sites can be opened unless they meet the criteria. The goal is to bring all sites into compliance by 1983. In February, 1978, EPA proposed criteria covering all forms of disposal of wastes on land landfilling, land- spreading, and impoundment or lagooning. The criteria are comprehensive. They apply to residential wastes, commercial and industrial wastes, waste matter from institutions and to the sludges that come from sewage treatment plants. They set out special precautions to protect such environmentally sensitive areas as wetlands, floodplains, permafrost, the critical habitats of endangered species and the recharge zones for underground drinking water supplies. They protect ground water and surface water. They prohibit most open burning, and they set special requirements on the disposal of wastes on land where food is grown. These are needed to prevent against our intake of harmful chemicals and of microorganisms. The criteria require that rats, flies and mosquitos be con- trolled and that disposal sites be operated safely. EPA has spent considerable effort in gathering public comment on the criteria. They were published in the Federal Register in February and a period of 90 days was set aside for public review. Fifteen public meetings with various public interest, professional, engineering and en- vironmental groups were held. Public hearings were held in San Diego, California; Washington, D.C.; Kansas City, Missouri; and Portland, Oregon. Thousands of copies have 15 ------- been mailed to those wishing to make written comment. When the comments are in and reviewed EPA will publish final criteria. Then, on the basis of information developed by the states in using the criteria EPA will publish a national inventory of all disposal sites that do not measure up. Once the inventory is published the states will have a maximum of five years in which to upgrade or close a facility. Unlike other wastes under RCRA, hazardous wastes will be controlled from the point of production through the point of disposal. RCRA requires that all those who pro- duce waste will determine whether their waste is hazardous as defined by EPA. If it is, they must obtain a permit to manage it on their property, or 1hey must ship it to a treat- ment, storage or disposal facility that has such a permit. In the latter case a manifest containing basic information about the waste must accompany the shipment. In either case, all treatment, storage and disposal operations must meet minimum standards to protect public health and the environment. The regulations and guidelines for the hazardous waste program are now under development by EPA. Three is- suances have reached the stage of formal proposal in the Federal Register: guidelines for State hazardous waste pro- grams, standards applicable to transporters of hazardous wastes, and regulations governing a one-time notification to EPA or authorized States by persons involved in hazard- ous waste management. Also under preparation are regula- tions on identification and listing of hazardous wastes, standards for hazardous waste generators, standards for hazardous waste management facilities, and permit re- quirements for facilities. Over 100 pubic meetings and hearings have already been held to obtain public views on draft and proposed versions of these regulations. All the regulations will be out in final form in 1979 and will become effective 6 momhs after pro- mulgation. 1(3 ------- Leading the Cities Out of an Environmental Wilderness The inner-city poor white, yellow, brown, and black suffer to an alarming degree from what are euphemistically known as "diseases of adaption". These are not healthy adaptations, but diseases and chronic conditions resulting in part from living with bad air, polluted water, excessive noise, and continual stress. Hypertension, heart disease, chronic bronchitis, emphysema, sight and hearing impair- ment, cancer, and congenital anomalies among poor inner- city residents are all half again the levels found in the suburban population. Moreover, the incidence of behav- ioral, neurological and mental disorders in inner-city areas is roughly double that of the suburbs. Clearly, coming to grips with urban environmental problems is central to EPA's mission. President Carter underlined the urgency of the cities en- vironmental problems on March 27 of this year in his pro- posals for a comprehensive national urban policy. "This policy," said the President, "wild build a New Partnership involving all levels of government, the private sector, and neighborhood and voluntary organizations in a major effort to make America's cities better places in which to live and to work." In developing the New Partnership, President Carter did not want to repeat the mistakes of the past. Special pro- cedures were established to coordinate the activities of Federal agencies with diverse missions. The entire Federal Government undertook a year-long inventory of the Federal policies that influenced American cities and found a substantial number of programs which inadvertently in- hibited urban revitalization. The process of redirecting those programs and of developing innovative new urban proposals has begun. EPA has been prominent in the degree of self- examination and flexibility it has exhibited in response to the New Partnership. A number of urban initiatives developed by the Agency have become a part of the urban policy and should, when implemented, go far towards recreating a healthy environment for urban dwellers. In April of this year EPA proposed a number of regulatory guidelines to reduce urban sprawl by preventing the crea- tion of unneeded excess wastewater treatment capacity. The guidelines will require that state population projections 17 ------- I if T I3j£ not exceed the projections of the Bureau of Economic Analysis of the Department of Commerce for that state by more than 5 percent. This regulation will help to eliminate wasteful and costly overdesign of wastewater facilities while meeting reasonable growth needs of local com- munities. For the same reason, another of EPA's proposed regulations requires that, barring special circumstances, the design period for interceptor sewers be limited to twenty years. In most cities, solid waste is the second or third largest item in urban budgets and yearly becomes an ever greater problem as sites for disposal become scarcer. Technology is now available for recovery of energy and materials from waste. President Carter has requested $15 million from the Congress to help communities make the transition from land disposal to resource recovery. Businesses, as well as environmental and community groups, have already demonstrated the economic feasibility and energy efficiency of recycling, and a number of states have already taken the lead on beverage container legisla- tion. One of the most pervasive threats to the urban environ- ment is air pollution: every one of the major urban areas in the continental United States is in violation of one or more of the national ambient air quality standards established by EPA. All states encompassing such a "nonattainment" area must submit acceptable cleanup plans to EPA by January, 1979 under the requirements of the Clean Air Act. To aid states in working out solutions to the complex problem of achieving both clean air and econmic growth, EPA has asked Congress to provide them $25 million in technical assistance. In addition, EPA has become more flexible in its review of new source construction in nonattainment areas. Where initially the Clean Air Act was interpreted as banning any new source construction in such areas, a new policy of "banking" of emissions reductions will permit new con- struction where the area shows a net air quality benefit and where emissions are curtailed from the new sources to the greatest extent feasible. The policy reflects an agency sen- sitivity to the complex interrelationships which characterize the urban environment and which the New Partnership was 18 ------- designed to address. Urban residents need both jobs and clean air. To help cement the President's "New Partnership" EPA has scheduled a major conference on the urban environ- ment for April, 1979. The Department of Housing and Ur- ban Development, the Department of Interior, the National Urban-League, the Urban Environment Conference and the Sierra Club are also prime sponsors of the conference. The conference's purpose is to enlist the combined strength of various groups interested in solving social, economic, health, and environmental problems in the nation's cities. The hope is to build a consensus on these vital issues and to move towards a balance between national environmental standards, urban employment, and revitalization. In November, EPA and the Department of the Interior signed an agreement which will insure that Interior's recrea- tional planning expertise becomes part of all water clean-up planning, particularly community planning for municipal wastewater treatment plants. The EPA/Interior agreement will not only help communities meet the requirement for adequate consideration of recreation called for by the 1977 amendments, but also should enable the Department of the Interior to fund recreational facilities in municipalities building sewage treatment works funded by EPA. To facilitate implementation at the regional level, EPA and In- terior held a regional workshop in Chicago this November. ------- ------- EPA Takes First Steps to Prevent Release of Toxic Chemicals The Toxic Substances Control Act (TSCA) requires EPA to protect human health and the environment from any unrea- sonable risks of chemical substances. Other federal laws designed to protect against toxic chemicals, including several implemented by other federal agencies, were already in effect when TSCA was enacted. But in October 1976, after five years of debate and with the support of an extraordinarily broad based coalition of in- dustry, labor, environmental, consumer and other groups, the Congress concluded that TSCA was needed to fill a number of gaps in the other laws. The major concept underlying TSCA is that the govern- ment needs the authority to act before a substance can harm human health or the environment. The previous laws, Congress found, authorize the government to act only after widespread exposure and possibly serious harm have occurred. Under TSCA EPA gathers information on chemicals and identifies those that are harmful. Then the Agency is authorized to regulate those whose risk of harm outweigh their benefits to society and the economy. The reach of TSCA is extremely broad. It encompasses the estimated 70,000 chemicals manufactured for commer- cial purposes and the several million research and devel- opment chemicals. The law places the entire chemical in- dustry under comprehensive Federal regulation for the first time. EPA's authority touches virtually every facet of the industry product development, testing, manufacturing, distribution, use and disposal. And because the law treats importers of chemical sub- stances as if they were domestic manufacturers, it extends EPA's control to certain aspects of the multi-billion dollar international chemical trade. EPA's policy for regulating chemicals under TSCA in- cludes the following major provisions: Highest priority will be given to chemicals that pose the greatest risk from the point of view of both toxicity and ex- posure. Chemicals that may produce chronic and irreversible health effects such as cancer, birth defects, and gene mutations will be given higher priority than those that pro- duce acute effects such as eye and skin irritation. ------- Substances that are widely dispersed in the environment and that may significantly disrupt ecosystems will take higher priority than those that threaten species other than man. EPA has set a number of priorities under TSCA, in- cluding the following: Information gathering and testing receive the highest priority, along with setting up a premanufacture notification program under which new chemicals will be systematically reviewed for health and environmental effects before they go on the market. At the same time the Agency will focus on the risks o1 known high-toxicity, high-exposure chemicals and on tak- ing early regulatory action where unreasonable risks out- weigh benefits. EPA will use TSCA to promote effective control of toxic chemicals under other Federal toxics related laws. May 1 of this year marked a milestone in the Agency's information gathering efforts. That was the deadline for in- dustry to submit data on all chemicals currently on the market. When the Agency finishes processing this data by early next year, it will publish an inventory that will con- stitute the most complete picture ever of commercial chemicals used by our society. Thirty days after the inventory is published TSCA's pre- manufacture notification provisions take effect. This will re- quire manufacturers or importers of "new" chemicals those not on the inventory to notify the Agency at least 90 days in advance of manufacturing a chemical for com- mercial distribution and use. In its first action in regulating high-toxicity, high- exposure chemicals EPA ordered that existing equipment containing polychloroinated biphenyl (PCB) be specially marked, and that when the equipment has completed its useful life it be disposed of in accordance with procedures that will prevent the chemical from entering the environ- ment. Further, the Agency has proposed a regulation that would ban the manufacture, processing, distribution, or use of PCB unless the chemical is totally enclosed. 22 ------- Continuing the Battle Against Noise For many of us noise is a nuisance to put up with if we are to live in cities and enjoy the benefits of the machine. But it is estimated that more than 20 million urban Americans are exposed to noise levels everyday that are permanently damaging to hearing. There is growing evidence that ex- cessive noise contributes to the development of high blood pressure and other heart and circulatory problems. For ex- ample, a recent study found that grade school children liv- ing and going to school under aircraft flight paths had higher blood pressure than children in a quieter community. Under the Noise Control Act of 1972 EPA is required to issue regulations controlling newly manufactured products that are major sources of noise. Early under the law EPA issued regulations for portable air compressors and medium and heavy trucks. In the past year the Agency proposed regulations for garbage trucks, wheel and crawler tractors, buses and motorcycles, and identified power lawn mowers and pavement breakers for future control. Except for big trucks motorcycles are the loudest vehicles on the road. Nearly every survey of local com- munities puts motorcycle noise at the top of the list as a source of annoyance. EPA's regulation should result by 1985 in a five decibel reduction in noise from new motor- cycles on city streets. Each three decibel reduction is a perceptible lowering of noise volume. The regulation covers new replacement mufflers for existing motorcycles, and covers Mopeds. 23 ------- Holding the Line on Air Pollution In June of this year EPA issued rules to limit increases of air pollution in those areas of the country where the air is still relatively clean. Under the rules new industries moving into these areas will be required to install the best controls for curbing pollution that are available. The rules apply primarily to such major industries as power plants, steel mills, refineries and chemical plants. They protect not only parks and wilderness areas where the air is still pristine, but any place in the country where the air is better than the minimum standards set by EPA for the protection of health. The rules exemplify the Agency's efforts to streamline new regulatory programs without sacrificing environmental objectives. For example, the number of sources subject to detailed preconstruction review was reduced from a poten- tial 4,000 to about 1,600 per year with virtually no increase in pollution. In addition, the regulations provide the oppor- tunity for existing plant owners to remove modernization or expansion projects from detailed preconstruction review by reducing pollution from other sources at the plant site. 24 ------- Policing the Sources of Air and Water Pollution Putting aside automobiles for the moment there is a total of approximately 200,000 stationary sources of air pollution in the United States. Putting aside runoff from farms, city streets and other such areas there are approximately 70,000 point sources of water pollution in the country. Of these total sources of pollution 80 percent of the ma- jor ones have invested in the engineering control needed to bring their operations in compliance with the Clean Air Act and the Water Pollution Control Act. Of those which are not yet in compliance many have been given more time by EPA or the States. There are, however, several hundred major sources of pollution which after 5 to 7 years of continuing government efforts to bring them into compliance still violate State or Federal standards. This small minority, less than 3 percent of the total, includes some of the worst violators and some of the most recalcitrant. For them compliance is long over- due. In the past year EPA has carried out a total of 700 en- forcement actions against sources of air pollution. In addition to State efforts EPA has initiated 76 enforce- ment actions against power plants. The 10 coal-fired plants of the Tennessee Valley Authority have been a particular target and EPA has taken the unprecedented step of inter- vening against TVA in a citizen's suit to force compliance with Federal and State standards. Also in air pollution' EPA has initiated 43 enforcement actions against firms involved in integrated steel processes. In water pollution the major enforcement drive has focused on those factories which failed to meet the July, 1977 deadline of EPA's National Pollutant Discharge Elimination System and on those cities and towns which failed to complete adequate sewage treatment plants by that same date. To help make sure that new automobiles meet Federal emission standards EPA last year began to test cars at the factory as they came off the assembly line. If the cars were found to exceed EPA's standards the Agency could stop their being sold. As a result manufacturers themselves have begun to test a substantial number of cars as they come off the assembly line. Such voluntary testing can only im- prove the performance of new cars as they are delivered to ------- the dealer and hence to the customer. EPA also regularly samples automobiles on the road and tests them to determine whether pollution control equip- ment is operating satisfactorily. During the past year ap- proximately 3.5 million cars were recalled to correct defects. Owners who brought their cars in for recall were provided repairs by the dealer at no cost. Most automobiles manufactured since 1975 are equipped with catalytic converters which require the use of unleaded gasoline. Leaded gasoline deactivates the catalyst and causes an approximately tenfold increase in emissions. Based on reports from gasoline retailers that some new car owners were using leaded gasoline, EPA in the fall of 1977 initiated field surveys to determine the extent of such fuel switching. The surveys show that 10 percent of the post 1974 vehicle population is improperly using leaded fuel. Because of the severe air pollution impacts resulting from such switching EPA is actively working to determine the reasons for fuel switching so that appropriate remedies can be carried out. 26 ------- Office Workers Recycle Paper At its Washington headquarters office EPA has earned $15,000 for the U.S. Treasury during the first two years of the Agency's wastepaper recycling program. Under the program office workers routinely separate high grade paper from other trash. The paper is then collected at the end of each day by a commercial recycling firm that pays the Treasury $55 for every ton it collects. The amount of money may seem small but following EPA's leadership paper recycling is being increasingly prac- ticed throughout the Federal government. Currently 90,000 Federal employees in eight cities recycle paper and both President Carter and the Congress have backed the pro- gram. When the program is in full operation an estimated 500,000 employees will be participating and the savings to the government should reach between $500,000 and $750,000. ------- EPA Works Hand-in-Hand With Other Health and Safety Agencies The Environmental Protection Agency carries out eight dif- ferent laws all of which are designed to protect the public health and welfare. Similarly, the Food and Drug Adminis- tration administers three laws, the Consumer Product Safe- ty Commission five, and the Occupational Safety and Health Administration one. These laws were drafted by the Congress in response to problems that demanded urgent attention at difference times in our recent history. Although the mission of each of the agencies is different, some of the laws they administer, especially those having to do with toxic chemicals, overlap. Each agency regulates chemicals and the industries that manufacture them to pro- tect against different effects. This requires that each gather large amounts of information on chemicals to evaluate their potential threat to public health and the environment. In August of 1977, in response to President Carter's pro- mise to eliminate waste and duplication in government, the four agencies set up an Interagency Regulatory Liaison Group under which they share information and resources, reduce the demands for reports from industry, and other- wise streamline the machinery of regulating toxic chemicals. The first product of this cooperative venture was the phase out of chlorofluorocarbons in aerosol products in March of this year. The National Academy of Sciences had confirmed that chlorofluorocarbons threaten the earth's ozone layer in the upper atmosphere, thereby allowing an increase in the ultraviolet rays reaching the earth. Such an increase could produce more skin cancer, could damage plants and animals, and change the earth's climate. ------- EPA Will Register Pesticides Genetically The Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) assigns EPA the responsibility for protecting human health and the environment from any commercially available product used to kill germs, insects, rodents and other animal pests as well as weeds and fungi. Under the law pesticide products cannot be sold unless they are first registered with the Agency. Under the 1972 Amendments to FIFRA EPA is required to reregister the 35,000 pesticides previously registered and already on the market. If this scrutiny reveals that a par- ticular product poses an unreasonable risk to human health or the environment, when weighed against its benefits to agriculture and society, then it must be removed from the marketplace or subjected to restrictions on its use. For a variety of reasons the registration of new pesticides as well as the reregistration of existing products has pro- ceeded slowly. The law itself has required EPA to in- vestigate each product individually and to make a separate regulatory decision on that product even though it may be chemically the same as many others the Agency has already examined. Further, the Agency' efforts have sometimes been stymied by court suits over data compen- sation and trade secret issues. Last year President Carter asked Congress to amend FIFRA so that EPA could take a "generic" approach to registering pesticides. Under this approach the Agency will be able to make one broad regulatory decision for an entire group of pesticides that all contain the same active chemical ingredients rather than having to look at products separately. Under this approach the Agency will have to consider fewer than 1,000 active ingredients. It will then set standards for these ingredients and will register products according to whether they measure up to the standards. To go hand-in-hand with the generic system EPA also asked the Congress for a conditional registration authority under which a new product could be marketed until such time as generic standards covering its ingredients were developed. Before granting a conditional registration, how- ever, the Agency must determine that no incremental hazard would result from marketing the product. In August of this year the Congress passed the new amendments to FIFRA, and in September the President ------- signed them into law. Also under EPA's pesticide program more than a million private applicators, most of them farmers, and 150,000 commercial applicators have been trained and certified in the safe use of pesticides. Only certified applicators are allowed to use pesticides that have been classified by the Agency as being for "restricted use only". The program trains applicators in the proper use, handling, storage and disposal of pesticides. ------- Where We Go From Here During the next two years EPA will give highest priority to four issues that cut across all the Agency's programs. Protecting Public Health. The public is concerned that it is being involuntarily exposed to health risks which ought to and can be controlled. The Congress has responded. It has asked EPA to protect drinking water, to obtain infor- mation on chemicals and control those that are unreason- ably harmful, to control hazardous wastes and regulate dangerous pollutants in both air and water. It has just amended the pesticides law to greatly simplify the pro- cedures for registering pesticides. It has also strengthened the Agency's rulemaking and enforcement powers signifi- cantly. The newly expanded and energized Office of Toxic Substances will try to screen new chemicals so that the Agency can act on unreasonably harmful chemicals before, not after, they have been released into the environment. It will pull together all the Agency's and much of the rest of the government's data base on toxic substances and it will help prioritize and coordinate the government's infor- mation gathering and control activities. In the process it will help integrate Agency programs. Research and Development is strengthening its health ef- fects work, and EPA's 1979 budget increases its investment in this area. Other commitments include: toxic effluent guidelines and the National Pollutant Discharge Elimination System program, designation of hazardous pollutants under the Clean Air Act, review and regulation of pesticides, development of maximum contaminant levels in drinking water, and implementation of hazardous waste regulations. Enforcing the Law. EPA must enforce the law. It must do so firmly and skillfully so that those who are regulated know that voluntary compliance makes sense that every- one else is also cleaning up and that, in any case, non- compliance does not pay. Implementing an economic penalties policy, built in part on new powers given to the Agency by the Congress this year, is critical. The Agency must also make sure that Federal facilities, very visible sym- bols to others who are regulated comply with the law. At the same time EPA must recognize that it serves several publics. It is not a single constituency agency. It must pro- ceed in a balanced, reasonable fashion. 31 ------- Integrating Environmental Regulation. EPA was created to understand and control the impact people are having on the planet's life support system. Although it has to break this task down into manageable pieces, the Agency's research, rule-making, and even its case-by-case applica- tion of policy will not make sense if it loses sight of the whole. Striking the right balance is one of EPA's central management tasks. Over the next two years the Agency can finish much of the integrating begun seven years ago. It is addressing these issues on several fronts: integrating EPA programs; integrating Federal, State and local environmental pro- grams; integrating EPA programs with other Federal agencies. Regulatory Reform. EPA now has more than 40 regulatory reforms underway. The Agency's model effort to reform the writing of regulations is described earlier. Many of the reforms substitute economic incentives for regula- tions or establish economic incentives as complements to regulations. For example, the technology waiver which is endorsed by the Congress allows companies that develop innovative technologies an extension of up to 5 years in meeting pollution control requirements. The new tech- nology must achieve control more cheaply or more effec- tively than that already on the shelf. For another example, alternative to the traditional command-and-control form of regulation is the marketable rights approach in which the right to discharge a given pollutant is auctioned off in the marketplace. It is thought that the marketplace bidding would in itself allocate the right to discharge limited amounts of a given pollutant to those sources which produce the most valuable products. This would lead to a more efficient allocation of costs to society than would the traditional approach of government bans on products or processes. Taken as a whole, the regulatory reforms now in place or now being studied by EPA promise to give those affected by our regulations considerably more flexibility in con- trolling pollution than they have had in the past. The Agen- cy's managers and staff have been encouraged to find ad- ditional reforms. AU.S. GOVERNMENT PRINTING OFFICE- 1979O 624-50" 1079 REGION 3-1 32 ------- ------- EPA is charged by Congress to protect the Nation's, land, air and water systems Under a mandate of national environmental laws focused on air and water quality, solid waste management and the contiol of toxic substances, pesticides, noise and radiation, the Agency strives to fdrmulate and implement actions which lead to a compatible balance between human activities and the ability of natural systems to support and nurture life. If you have suggestions, questions, or requests for further information, they may be directed to your nearest EPA Regional public information olfice EPA Region 1 JFK Federal Bldg. Boston MA 02203 Connec ticut, Maine, Massachu- setts, New Hampshire, Rhode Island, Vermont 617-2237210 EPA Region 2 26 Federal Plaza New York NY 10007 New Jersey, New Yotk, Puer- to Rico, Virgin Islands 212-2642525 EPA Region 3 6th t EPA Region 4 345 Courtland Street NE Atlanta GA 30308 Alabama, Georgia, Florida, Mississippi, North Carolina, South Carolina, Tennessee, Kentucky 404-881-4727 EPA Region 5 230 S Dearborn Chicago IL 60604 Illinois, Indiana, Ohio, Michigan, Wiscon- sin, Minnesota 312-353-2000 f»n EPA Region 7 324 East 11th Street Kansas City MO 64106 Iowa, Kansas, Missouri, Nebraska 816-374 5493 EPA Region 8 1860 Lincoln Street Denver CO 802031 Col- orado, Utah, Wyoming, Montana, North Dakota, South Dakota 303-837-3895 EPA Region 9 215 Fremont Street San Francisco CA 94105 Arizona, California, Nevada, Hawaii, Guam, American Samoa, Trust Territories of the Pacific 415-556-2320 ------- |