&EPA
         O
Communications And
Public Affairs  "•"
(A-107)
                      21K-1Q06
                      May 1991
Environmental Stewardship
EPA's First Two Years In
The Bush Administration


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CONTENTS
 1  PREFACE
 2  HIGHLIGHTS
 4  PREVENTING POLLUTION
 8  VIGOROUS ENFORCEMENT
12  REDUCING RISKS
18  PROTECTING NATURAL RESOURCES
22  INTERNATIONAL LEADERSHIP
26  SOUND SCIENCE
30  STRENGTHENING AGENCY RESOURCES
                                                  Cover Photograph
                                                  San Juan mountains
                                                  Colorado, USA.

                                                  ©1986 Kahnweiler/Johnson, Folio Inc.

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PREFACE

When the Bush Administration took office in
1989, the environmental concerns and
expectations of the American people had
reached new heights. By our words and actions
over our first two years in office, we probably
have raised those expectations even further. As
this report documents, the Bush Administra-
tion  has shown itself to be serious, determined,
and  dedicated to the pursuit of an aggressive
and innovative environmental agenda. President
Bush has moved the environment from the
margins of national concern to the mainstream.
Our  record of accomplishment to date is a
source of great satisfaction and pride, both for
the President and for all of us who work at
EPA.
 Our environmental challenge as the nation
entered the decade of the 1990s was  twofold:
first, to deal with a new generation of
problems that are both more widespread and
more complex than those of the past; and
second, to anticipate the environmental needs
of the next century and begin to develop new
policies and directions to meet those needs.
 This dual challenge has required  EPA to
assume a role that is different in both scope
and character from the past. EPA is broadening
its view to encompass concerns of the global
environment, and to embrace innovative
approaches to environmental protection. We
are elevating the role of science in  decision-
making, recognizing that good science is the
basis of sound environmental policy. We are
taking steps to evaluate the relative severity of
environmental threats and harm, and to set
priorities based on the greatest opportunities to
reduce risk. We are designing new regulations
and programs that fulfill our mandates while
blending traditional and non-traditional tools,
such as market incentives and voluntary action,
to accomplish ambitious environmental goals.
We are strengthening our ability to evaluate
progress, to integrate and focus our activities
for greater efficiency and effectiveness, and to
adapt to changing conditions. And as we
pursue these new directions, we also are
working to strengthen existing environmental
programs and  to ensure that environmental
laws and requirements are vigorously enforced.
  Clearly, EPA cannot fulfill this ambitious
environmental agenda by itself. All levels of
government and all sectors of society, the
international community,  and individual
citizens must share in the responsibility for
harmonizing human activities with the needs
and constraints of nature. I invite all who have
not yet done so to join the President and EPA
in actively seeking out opportunities to secure
our environmental legacy for future
generations.
                       William K. Reilly
                       Administrator

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                                                                    HIGHLIGHT!
  This report is an overview of the Bush
Administration's environmental themes and
accomplishments during its first two years in
office. It is by no means a comprehensive
account of the work of the Environmental
Protection Agency, let alone of the
Administration as a whole. The report briefly
describes the Administration's principal
environmental Ithemes and  priorities, which
are: preventing pollution, vigorously enforcing
the laws, reducing environmental risks,
protecting and  restoring natural resources,
providing leadership on international
environmental Issues, enhancing the role of
sound science in environmental policy-making,
and strengthening the resources available for
environmental protection. The report then
provides  two or three specific examples of EPA
actions that support each theme, and spotlights
new or innovative programs. Finally, the report
lists additional  accomplishments that have
helped to further the priority themes.
  For more information on these or other EPA
activities, please write to:

  Office of Communications and Public Affairs
    U.S.  Environmental Protection Agency
           401 M Street, S.W. (A-107)
             Washington, DC 20460

• Clean Air Amendments. Secured most
significant air pollution legislation in
nation's history—Clean Air Act
Amendments of 1990. Calls for permanent
10-million-ton reduction in acid rain
emissions; improvements in urban air
quality; reductions in toxic pollutants.

• Record-high Enforcement Results.
Past two years at EPA yielded new
criminal and civil enforcement records.
Fines imposed in 1990 grew to a record
$91 million—$30 million in criminal cases
and $61 million in civil penalties. One-
quarter of all civil penalties ever collected
by EPA were obtained during 1990, and
40 percent during the past two years.

• Enforcement First at Superfund Sites.
Responsible parties contributed  $1.4
billion in settlements toward cleanup at
Superfund sites in 1990—an almost
threefold increase from 1988. Superfund
added 500 new enforcement positions;
1992 budget calls for $143 million more
than 1991 for site cleanups.

• Stratospheric Ozone Protection.
President Bush proposed that the United
States fully phase out, by the  year 2000,
production and use of chemicals that
contribute to stratospheric-ozone
destruction. In June 1990, in London,
parties to the Montreal Protocol agreed to
phase out chlorofluorocarbons (CFCs),
carbon tetrachloride, and nonessential
uses of halons by the end of the century
and to phase out methyl chloroform by
2005.
  The United States is contributing more
than any other nation to the Montreal
Protocol Multilateral Fund to  assist
developing countries in making the
transition from ozone-depleting
chemicals.
  Domestically, an excise tax of CFCs and
other ozone-depleting chemicals is
reducing production and increasing
recycling even faster than the phase-out
requirements.
          or Telephone: (202) 382-4454

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                        "These are our five principles: harnessing the power of the marketplace, state and local
                        initiatives, promoting prevention, international cooperation, and strict enforcement."

                        — President George Bush, Washington, D.C., June 8,1989
• Far-reaching Regulatory Decisions. In
1989, EPA banned 94 percent of all future
uses of asbestos. Rules were issued
cutting 29,000 tons of cancer-causing
benzene annually from industrial sources.
Smog-causing pollutants were reduced in
cities with air-quality problems by
reducing fuel volatility.

• Wetlands Protection. EPA vetoed the
proposed Two Forks project in Colorado,
citing adverse environmental effects, loss
of wetlands, and viable alternatives. The
Agency also exercised its veto authority
in Rhode Island and Virginia.

• Cutting Toxics Releases. EPA launched
a voluntary reductions program with
industry—to reduce by one-third the total
releases and transfers of  17 toxic
chemicals by 1992; further, to cut them in
half by 1995.

• Bioremediation. EPA achieved a
breakthrough to using bioremediation in
Prince William Sound, Alaska, to reduce
in half the time necessary to degrade
spilled oil on test plots.

• Recycling Efforts Redoubled. Over the
past two  years, national volume of
materials recycled grew by more than 30
percent to 24 million tons. Thousands of
communities are starting recycling
programs to meet EPA goal of 25 percent
recycling of municipal solid waste by
1992.

• Climate Change Research.  EPA
invested $9.6 million in 1989, $15 million
in 1990 to learn about the causes and
effects of climate change. Through actions
already taken or planned, the United
States should hold its greenhouse gas
emissions at or below current levels for
 the foreseeable future. EPA produced
 seminal reports on climate change effects,
 and on policy responses and their
 consequences.

 • Assistance for Eastern Europe.
 Administrator Reilly opened an
 environmental center in Budapest,
 Hungary to address regional pollution
 problems through education, training, and
 technology transfer.

 « Basel Convention. EPA played a major
 role leading to U.S. participation in the
 Basel Convention on the Transboundary
 Movement of Waste, signed in March
 1990. This 80-country treaty requires
 notice of proposed hazardous waste
 shipments and prior written consent,
 helping to ensure that waste will be
 managed in an "environmentally sound
 manner" by  the receiving country.

 • States, Tribes, and Localities. Despite
 fiscal constraints, EPA grants to states
 rose by 58 percent—to $498 million by
 1991.

 • Focus on Minorities. Sixty-nine percent
 of net growth of 1990 professional and
 administrative positions were women and
 minorities, with minorities approximately
half the total. At management levels,
minorities and women made up two-
thirds EPA's net growth. Awarded a
record number of small business contracts
to minority-owned firms.
• Setting Priorities. At the request of
Administrator Reilly, the Agency's
independent Science Advisory Board
prepared a report--Reducing Risk—offering
guidance on how EPA can improve
efforts to reduce risks to health and
natural resources.

• Global Forest Agreement. President
Bush proposed an agreement on forests at
the G-7 Economic Summit in July 1990.
The agreement covers both temperate and
tropical rainforests, calling for research,
training, and technical assistance.

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                                    PREVENTING    POLLUTION
In the past, this country's environmental programs
have focused almost exclusively on end-of-pipe
pollution control and cleanup. This more traditional
approach is best suited to large, easily identifiable
sources like smokestacks and sewer outlets. It is
much less effective, however, in dealing with
diverse, diffuse "non-point" sources of pollution
such as runoff from farms and forests and streets,
leaky pipes and valves, and motor vehicles. As has
been all too clearly demonstrated, treating pollution
at the "end of the pipeline" is no longer enough.
  Pollution can often  be prevented at its  point of
origin, using the full range of options—from greater
energy efficiency to incentives for producing less
harmful substances to expanded recycling to natural
resource conservation. In the certainty that
pollution prevention must become a fundamental
building block of the Agency's work, EPA is taking
steps to apply this approach to all of its programs.
  Recent federal legislation echoes this theme.  The
Pollution Prevention  Act of 1990 establishes a
hierarchy, declaring that the first priority is to
prevent pollution or reduce it at the source
wherever feasible. Pollution that cannot be
prevented should be recycled in an environmentally
safe manner. In the absence of feasible prevention or
recycling opportunities, pollution should be treated.
Finally, disposal or other release into the
environment should be used only as a last resort.
17 Priority Chemicals
under; 33/50 Project
Benzene
Cadmium
Carbon Tetrachloride
Chloroform
Chromium
Cyanide
Dichloromethane
Lead
Mercury
Methyl Ethyl Ketone
Methyl Isobutyl Ketone
Nickel
Tetrachloroethylene
Toluene
1,1,1-Trichloroethane
Trychloroethylene
Xylenes
                                                                         The "33/50"  Project-
                                                                         Voluntary Toxics
                                                                         Reductions
                      Cooperative initiatives with the private
                     sector offer great potential for stopping
                     pollution before it gets started. In 1989, at
                     Administrator Reilly's invitation, nine
                     major petrochemical manufacturers
                     voluntarily agreed to reduce toxic air
                     emissions substantially through changes
                     in processing and substituting different
                     materials at 40 chemical plants in 14
                     states. This collaborative effort, when
                     fully implemented by December 1993,
                     will annually reduce selected toxic air
                     emissions by almost 83 percent, or 9.5
                     million pounds.
                      Another toxics reduction initiative—the
                     33/50 project—is now underway for a
                     group of especially troublesome chemicals
                     nationwide. Administrator Reilly has
                     asked more than 600 U.S companies to do
                     their part to reduce voluntarily  the
                     pollution caused by 17 high-priority
                     chemicals. These companies are
                     considered the largest contributors to a
                      The 33/50 Project -
                      Voluntary Toxics Reductions
                      Billions of pounds

                      •1.4
                      1.2
                      1.0
                                                                           0.8
                                                                           0.6.
                                                                          •0.4
                                                                          0.2.
                                                                               1988       1992       1995
                                                                          The 33-50 Project aims to voluntarily reduce emissions of 17
                                                                          targeted chemicals a third by 1992 and a half by 1995. Chart
                                                                          includes total releases to air, water, and land and shows the
                                                                          anticipated reduction of toxic pollutants across all media given
                                                                          full industry participation.

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                                              Green Lights
  universe of 1.4 billion pounds of toxic
  wastes at over 11,000 facilities.
    The goal: to reduce by one-third the
  total releases and transfers of the
  chemicals selected by 1992; and to reduce
  them by one half by 1995. Meetings have
  taken place with officials representing
  industries including chemical, petroleum,
  paper, and transportation. EPA officials
  also are working on pollution prevention
  plans with 150 companies identified as
  having good potential for success under
  this program. By April 1,1991, more than
  100 companies had expressed interest in
  the 33/50 project.

  1988 Toxics Release Inventory
  by Industry
300
200
100
    Quantity released by media 1988 TRl data
    (millions of pounds)
         
                             -5  3  E
  Lighting, especially in industry, stores,
offices, and warehouses, accounts for
almost one-fourth of the electricity used
nationally. To help reduce air pollution
and other forms of pollution caused by
electricity generation, Administrator
Reilly has started the Green Lights
program.
  This voluntary, non-regulatory program
set up in January of 1991 is based on a
simple premise: EPA works with major
U.S. corporations to make certain they
have the information and technical
support they need to install lighting
designs and technologies that are both
energy-efficient and profitable.
  When a corporation joins the Green
Lights program, it signs an agreement
with EPA committing the organization to
survey all its facilities and  install new
lighting systems that maximize energy
savings, to the extent that they are
profitable and do not compromise
lighting quality. EPA is compiling
databases of products and  contractors and
working with manufacturers and
distributors to ensure product availability.
The Agency also will be promoting
upgraded education of lighting installers
and developing lists of financing sources
to assist in the upgrades.
  The Green Lights program, if
implemented among all American
business and industry, would reduce
annual air pollution by 235 million tons,
that is, five percent of the national total.
By April 10,1991, 50 U.S. corporations
had become Green Lights partners—75
percent are in the Fortune  500.
What Can "Green Lights"
Accomplish?
12 % saving if fully implemented .. 1
•10^
•8 i
•6



•2



O
CL
I Electric consum

I "
!


-_i
"1



(Carbon Dioxide
emissions
i
i .«
1 e
Sulfur Dioxide e
.. .-.'.'
j-
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• i
-7

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               PREVENTING POLLUTION
                                                                             Recycling

Green Lights Partners

Abbott Laboratories  J
America West Airlines
American Express Company
American Standard, Inc.
Amoco
Atlantic Richfield   1
Automated Data Processing
Baxter Healthcare Corporation
Bechtel            +
Bell Atlantic
Boeing
Browning Ferris, Inc.__
The Oliver Carr Compiany
Citicorp/Citibank
Continental Insurance^
Crestar Bank                 ;
Digital Equipment Corporation
Duracell U.S.A.
First Data Resources, inc.
First Wachovia Corporation
General Dynamics Corporation
Gerber Products Company
The Gillette Company
G.M. Popkey Company, Inc.
Hasbro, Inc.
IPS Electric and Midwest Gas
  Divisions of Iowa
  Public Service  Company
Johnson and Johnson
Kerr-McGee Corporation
Eli Lilly and Company
Lone Star Steel
Maytag             [
Memorex Telex
Fred Meyer, Inc.
3M                =        '.
Nike, Inc.           I         ;
Phillips Petroleum Company
Polaroid Corporation
Preston Trucking
Texaco Inc.
Thrift Drug Company, Inc.
Union Camp Corporation
University Corporation for
Atmospheric Research
US Bancorp
Warner-Lambert Company     ;
Waste Management, Inc.
Whirlpool Corporation
Wolverine World Wide
Xerox Corporation
Yellow Freight System, Inc.
 U.S.Recycling Rates -1960 to 1995
1960     1970      1980     1990      2000
Recycling rates are growing. EPA projects national recycling of
municipal solid waste to reach between 20 and 28 percent by 1995.
  The recycling ethic is strong and
growing stronger. These past two years,
the volume of materials that were
recycled grew by more than 30 percent—
to 24 million tons. During 1989 alone,
more than 500 new curbside recycling
programs were begun across the nation.
More than 25 states now have established
minimum recycling goals.
  EPA activities are helping to make
recycling a watchword of homes and
workplaces alike.

• Recycling Agenda. EPA's "Agenda for
Action" sets a national goal of reducing
municipal waste by 25 percent by 1992.

• "Green" Products. EPA has initiated,
with the U.S. Consumer Affairs Office
and the Federal Trade Commission, an
effort to develop guidelines for defining
marketing terms such as "recyclable," and
"recycled content" used on product labels.
The aim is to help consumers make more
informed shopping choices.

• Ad Campaign. In 1990, EPA co-funded
a recycling ad campaign with the
Environmental Defense Fund and the
Advertising Council that generated 90,000
public inquiries for recycling information.
                                       Recycling Rates for Selected
                                       Components of Municipal Solid Waste
                                        40  Recycling rates in %
                                       •30
                                        20
                                       10,
        11
         '*&
         m
                                                            £
                                                            o>

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 "For too long, -we've focused on cleanup and penalties after the
damage is  done. It's time to reorient ourselves using technologies and
processes that reduce or prevent pollution—to stop it before it starts."
                                         — President George Bush,
                                          Washington, D.C., June 8,1989
Environmental
Education
                                           Additional
                                           Accomplishments
  The quest for a new era of
environmental stewardship received a
strong boost with the passage of the
National Environmental Education Act,
signed into law by President Bush in
November 1990.
  The new law establishes a non-profit
national environmental education and
training foundation to be funded through
government grants and private gifts. It
also authorizes and funds educational
activities nationwide, with a special focus
on students at elementary and secondary
school levels.
  At White House ceremonies, President
Bush and EPA Administrator William
   Reilly presented Presidential
   Environmental Youth Awards for
   community cleanup, wetlands protection,
   recycling, and waste reduction projects in
   both November 1989 and 1990. In 1990,
   EPA and the National Governors'
   Association co-sponsored the first-ever
   national environmental youth forum in
   Washington, D.C.; two young people
   from each state participated.
    In 1990, the Agency  also formed a new
   Office of Environmental Education, which
   has been charged with helping to foster
   science literacy as the  core for
   environmental education in elementary
   and secondary schools.
      Spotlight
      Public Empowerment
       EPA is taking steps to ensure
      that individuals and groups
      throughout our society have the
      skills and knowledge they need to
      work productively with us. We are
      giving the public new tools-
      information that communities can
      use to work collaboratively with
      their local industries to prevent
      chemical accidents and reduce
      pollution.
       Several programs have been
      especially effective in bringing
      about this public empowerment.
      The Emergency Planning and
      Community-Right-To-Know Act,
      passed in 1986, requires
      communities across the country to
      set up local committees to make
      plans for responding to chemical
      emergencies. EPA has helped to
      establish these citizen committees,
      which involve more than 50,000
      people nationwide.
       The same law requires certain
      manufacturing plants  and other
      facilities to submit information
      about the chemicals they use,
store, and emit into the
environment. EPA has compiled
this information into an annual
report called the Toxic Release
Inventory. Thus far, the Agency
has issued two of these reports,
which detail emissions of more
than 300 toxic chemicals
nationwide.
  For the first inventory, which
documents 1987 emissions, 74,000
reports were submitted by 19,000
manufacturing facilities. The
second inventory is based on
83,000 reports submitted by 22,000
manufacturing facilities for 1988
emissions. Data for 1989 currently
are being evaluated.
  Making this sort of information
public is yielding tangible results:
many companies have announced
voluntary reductions of emissions.
Monsanto Company, for example,
has pledged a SK)-percent reduction
in air emissions by 1992.
Moreover, new laws requiring
reductions in chemical releases
have been passed in several states
and are pending in several others.
•  Information Clearinghouse. The
Pollution Prevention Clearinghouse
provides information on legislation,
research, and case studies and is linked to
an international data base of 43 nations.
Set up in 1990, the Clearinghouse has
received more than 6,000 calls from
federal agencies, states, universities, and
industries.

• Pollution Prevention Set-Asides. Two
percent of every EPA program budget for
1991 and 1992 has been set aside to fund
pollution prevention demonstration
projects.

• Model Community Plan. A model
community pollution prevention plan is
being developed for the Chesapeake Bay
area through a cooperative agreement
between EPA and Department of Defense
facilities—Langley Air Force Base, Fort
Eustis Army Base, and Norfolk Naval
Base.

• Sustainable Agriculture. EPA
contributed $1 million to a joint
competitive grant program with the
Department of Agriculture to support
sustainable agriculture projects.

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                                 VIGOROUS   ENFORCEMENT
""""""""	8
	  f
	;	,	JT
In 1989, EPA set new records in the enforcement of
environmental laws. Last year, we broke our own
records—including collecting a major increase in
responsible parties' contributions to clean up
hazardous waste sites—$1.4 billion, up almost
threefold from 1988. We also sent more criminal
and civil referrals to the Justice Department,
obtained more convictions, and levied and collected
more penalties than any previous Administration.
In fact, in 1990, EPA obtained 25 percent of all
civil judicial penalties  imposed in the Agency's 20-
year history, and the $96 million levied in 1989-
1990 represents almost 40 percent of all civil
penalty dollars obtained since 1970.
                                                                         Record-High
                                                                         Results

                                                Criminal Enforcement. The past two
                                                record-breaking years have yielded new
                                                criminal enforcement records. EPA seeks
                                                criminal sanctions against responsible
                                                corporate officers as well as the
                                                corporation itself. Federal judges
                                                increasingly have been willing to sentence
                                                criminal defendants to large fines and
                                                substantial prison or probationary terms.
                                                 One noteworthy criminal case last year
                                                involved sentencing a Wall Street trader
                                                to a $2 million penalty for filling wetlands
                                                without a permit under the Clean Water
                                                Act—the largest environmental monetary
                                                penalty ever assessed against an
                                                individual. Also, the first conviction
                                                under the Clean Water Act's "Knowing
                                                Endangerment" section was achieved
                                                against the president of a metal finishing
                                                company. The individual was sentenced
                                                to 26 months' imprisonment, a $400,000
                                                fine, and two years of supervised
                                                probation for exposing employees to toxic
                                                pollutants through illegal disposal
                                                practices.
                                                                         EPA Enforcement Budget
                                                                         500 $ millions
                                                                         •400
                                                                         •300
                                                                         200
                                                                        jap.
                                                                        ) I11
                                                                        81  82  83  84  85
                                                                                                  90  91 92

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  Other criminal enforcement highlights
for 1990 included the following:

• Record Referrals. EPA referred 65
criminal cases to the Justice Department,
surpassing the previous year's record
total of 60.

* Defendants Charged. One hundred
defendants (individuals and corporations)
were charged last year, the largest
number in EPA's history.

• Guilty Verdict. Thirty-two
investigations successfully resulted in
finding at least one defendant per case
guilty.

• Convictions. Fifty-five defendants were
convicted and sentenced for
environmental crimes in 1990; more than
half of those convicted were given prison
sentences, and three-quarters of those are
actually serving time. Jail terms averaged
a record 1.8 years; the longest term was
12 years.

• Fines. Fines imposed for all federally-
investigated environmental crimes
increased from $13 million in 1989 to $30
million in 1990.

Civil Enforcement. Record results were
achieved in civil enforcement as well.
They included the largest single
settlement for a US. suit against one
entity charged with violating a federal
environmental statute: Texas  Eastern
Transmission Corporation paid a $15
million penalty and agreed to perform
$400 million in cleanup work at 89
polluted sites in 14 states.
  Civil enforcement hig;hlights for 1990
include the following:

• Referrals. EPA referred 375 civil cases
to the Department of Justice, surpassing
1988's previous record total of 372 and
1989's total of 364  cases.
 • Penalties. The Agency imposed $61.3
 million in civil penalties, an all-time
 record—this included $38.5 million in civil
 judicial penalties and $22.8 million in
 administrative penalties, both records.
EPA Civil Referrals to
Department of Justice - 1982 to 1990
  New records also were set in enforcing
specific statutes:

•Resource Conservation and Recovery
Act. In 1990, Formosa Plastics
Corporation, Point Comfort, Texas agreed
to pay a $3.4 million penalty-the largest
ever collected by EPA for violations of the
federal hazardous and solid waste law—
and establish a $1 million trust fund for
environmental education.

• Clean Water Act. In one of the largest
clean water law civil penalty settlements
ever obtained against a privately-held
corporation, a $2.1 million penalty
settlement was reached in July 1990 with
a pulp and paper company for federal
pretreatment and permit violations.
  In the largest civil penalty against a
municipality, EPA assessed the City of
Philadelphia $1.5 million in May 1990 for
polluting the Delaware River with illegal
discharges from the city's Southwest
Wastewater Treatment Plant.
                                           82   83   84   85   86    87   88    89   90

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                      VIGOROUS ENFORCEMENT
Enforcement First
at Superfund Sites
                                   1 L ...... iirai A~.,i7 Z£ aJlii j aiiifiS
                                                                                    Additional
                                                                                    Accomplishments
                                                                              . . itij. i -i il. i, , i-,., , L

 Efficient, effective clean-up of a
 hazardous waste site can be an extremely
 expensive undertaking. To move ahead
 steadily, given limited public funds, it is
 critical that the parties responsible for
 creating the pollution are also held
 responsible for clean-up costs.
  In June 1989, Administrator Reilly
 established a new "Enforcement First"
 priority for Superfund to maximize
 private party contributions to clean up
 Superfund sites. He created 500 new
 Superfund enforcement positions
 throughout the nation. In 1990, for the
 second year in a row, EPA secured more
 than $1 billion in private party
 contributions, up almost threefold from
 1988.
  The President's 1992 budget request for
 Superfund provides $1.75 billion, an
 increase of $143 million—or 8 percent—
 over the 1991 appropriated level. This
 increase recognizes EPA's continuing
 progress in addressing Superfund
 problems and fuels its stepped-up
 emphasis on enforcement.
  Statistics on responsible party activities
 show a renewed emphasis on "polluter
 pays":

 • Orders Issued. One hundred thirty-one
 orders were issued requiring responsible
 parties to perform cleanup  activities in "
 1990~a 31-percent increase over 1989.

 • Clean-Up. Sites where responsible
 parties have started cleanup work is up
 from 46 percent in 1989 to 59 percent in
 1990.

 • Referrals. In 1990, EPA referred 79
 cases worth an estimated $185 million to
 the Department of Justice to r«>cover
 government cleanup costs from
 responsible parties. The Agency also won
 the first jury trial of its type awarding
 punitive damages of $2.3 million—triple
 the cost of government cleanup—in a
 federal court in Georgia.
                                              Guidelines for Action
                                              at Superfund Sites

                                              The Administrator's Superfund
                                              Management Review, which he
                                              promised at his Senate confirmation
                                              hearing, and unveiled in June 1989
                                              spells out the enforcement-first theme
                                              and calls far these actions:

                                              • Enforcement First. Aggressively
                                              use enforcement to compel more
                                              private response.

                                              • Make Sites Safer. Eliminate
                                              quickly all immediate threats to public
                                              health or the environment.

                                              • Set Priorities. Address worst
                                              problems at the worst sites. Pursue
                                              incremental cleanup  of problems
                                              posing the greatest risk.

                                              • Harness Technology. Bring new
                                              technology to bear on cleaning up
                                              hazardous waste contamination.
                                          Dramatic Increase
                                          in Responsible Party Payment
                                          1400   Cost of work $ millions
                                          •1200
                                          1000
                                          •800
                                          •600
                                           ,400
                                           -200
 •  Major Enforcement Initiative. In an
 October 1989 enforcement initiative,
 announced jointly by Administrator Reilly
 and Attorney General Thornburgh, EPA,
 the Department of Justice, and several
 states brought actions against 61 cities
 charged with violations of the Clean
 Water Act's requirements for
 pretreatment of industrial wastewaters.

 •  Federal Facilities Cleanup. The
 Administration requested a 21-percent
 increase in funds for 1992 for cleaning up
 toxic waste at federal facilities.
 Appropriation bills provide $440 million
 for non-defense cleanups and $2.7 billion
 for defense-related cleanups.

 Compliance Agreements at Federal
 Facilities. One hundred thirty-five
 cleanup and compliance agreements
 valued at over $60 billion have been
 reached since 1987 with federal facilities.
 Agreements were reached for 32 facilities
in 1989 and 45 more in 1990-including
 agreements to clean up federal hazardous
 waste sites and bring federal sites into
 compliance with hazardous waste and
 water quality regulations.

 Hanford, Washington. In Hanford,
 Washington a multi-billion dollar cleanup
 agreement was reached in 1989 with the
 Department of Energy and the State of
 Washington to begin the thirty-year
 chemical and radioactive waste cleanup
effort there. Similar agreements are in
place at DOE's Fernald, Ohio, Lawrence
Livermore National Labs, and Mound
facilities in Miamisburg,  Ohio.

Rocky Flats, Colorado. EPA, the
Department of Energy, and the Colorado
Department of Health agreed io a cleanup
process for the Rocky Flats nuclear
weapons plant in Golden, Colorado.
                                              1987
                                                       1988
                                                               1989
                                                                        1990
10

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                             "The final principle is that existing environmental laws will be vigorously ana firmly
                             enforced....Our message about environmental law is simple:  polluters will pay."

                                                                           —  President George Bush, Washington, D.C., June 8,1989
 • EPA directed enforcement activities to
 correct particular pollution problems:

 Chesapeake Bay. EPA and the states of
 Pennsylvania, Maryland, and Virginia
 levied penalties in May 1990 totalling
 $230,000 against public and private
 facilities charged with violating water
 discharge permits protecting the
 Chesapeake Bay watershed.

 PCB Contamination. In enforcing the
 Toxic Substances Control Act, EPA and
 the Department of Justice in 1990
 negotiated a $66 million settlement for
 cleanup of polychlorinated biphenyls
 (PCB) contamination and restoration in
 New Bedford Harbor.
s The Agency also achieved significant
results with administrative compliance
orders under federal statutes:
   Resource Conservation and Recovery
   Act. Imposed 331 administrative
   compliance orders and $2.5 million in
   penalties in 1989. In 1990, 302 orders were
   issued with $2.8 million in penalties.
   States also are increasing RCRA
   enforcement activities—794 in 1988,1181
   in 1989,1331 in 1990.

   Toxic Substances Control Act. In 1989,
   EPA issued 415 administrative actions
   and collected $4.2 million in penalties; in
   1990, 531 actions brought over $25 million
   in penalties.

   Community Right-To-Know. EPA issued
   134 administrative complaints under the
   Emergency Planning/Community Right-
   To-Know Act (EPCRA) with proposed
   penalties of $6.9 million in 1989. Last
   year, the Agency filed 237 administrative
   complaints with proposed penalties of
   $12.5 million—representing a 77-percent
   increase in filings and an 81-percent
   increase in penalties.
           Federal Insecticide, Fungicide and
           Rodenticide Act. In 1990, EPA began a
           comprehensive program to enforce the
           export provisions of FIFRA, the law that
           regulates pesticide use. Twenty-six
           pesticide producers were targeted for
           inspection and complaints already have
           been filed against nine for unlawful
           export of pesticides.
     Spotlight
     New Approaches to Enforcement

     The Agency is exploring new
     strategies for enforcement to
     obtain maximum environmental
     benefits from each action taken.
     For instance, rather than enforcing
     a violation in only one
     medium—such as water or
     air—EPA is applying the concept
     of multi-media enforcement. In
     October 1990, the Agency
     announced that it was establishing
     a major initiative to consolidate
     air, water, and hazardous waste
     violations into a single complaint.
     Moreover, its initial efforts would
     be targeted at protecting a specific
     ecosystem—the Great Lakes.
  Lawsuits drawing on the Clean
Air Act, Clean Waiter Act, and
Resource Conservation and
Recovery Act were filed by EPA's
Chicago regional office as part of
the Great Lakes A.ction Plan. The
charges, against two steel
manufacturers and a metal
finishing company, were for air,
water, and land pollution affecting
the Grand Calumet River area near
Gary, Indiana.
  The Agency also has begun a
new pollution prevention
enforcement initiative under the
Toxic Substances Control Act.
Here, too, there are results to
show: in August 1990, a company
paid a reduced penalty for new
chemical violations in exchange for
the purchase and installation of a
solvent recycling system that
halves emissions of an unregulated
stratospheric ozone-depleting
substance and a human
carcinogen. In another case, an
administrative penalty for failure
to report a new chemical was
reduced in June 1990 in exchange
for installation of a pollution
prevention project for filtration
and recycling of wastes.
                                                                                                                         11

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                                   REDUCING   RISKS
   Through the 1970s and 1980s, Congress passed a
   number of important environmental laws—for air
   and water, pesticides, radiation, medical waste,
   Superfund, drinking water, and many more. Under
   these laws, environmental progress has been
   significant, measurable and indisputable.
       The limits to this piecemeal approach to
   environmental protection were less apparent during
   the early years of EPA. Then the problems were
   belching smokestacks, dirty cars, filthy streams and
   rivers. Progress could readily be achieved, for
   example, by targeting facilities with obvious
   problems.
       Today the environmental challenges are more
   daunting and the sources of pollution more diffuse,
   from pollution in the household to pesticide residues
   in food to growing threats to the planet's
   atmosphere, climate, and natural systems. These
   challenges call for neiv approaches that target scarce
   resources to the greatest risks to natural systems
   and to human health.
                                                                           Relative Risk
                                                                           Report	
Shortly after he took office early in 1989,
EPA Administrator Reilly asked the
Agency's independent Science Advisory
Board to take on a seminal task: assess
the problems that pose the most serious
threats to human health and the
environment using the risk concept.
Moreover, he asked the Board to suggest
how EPA can improve its efforts-with
Congress and the rest of the country~to
reduce these environmental threats.
  The results are contained in Reducing
Risk: Setting Priorities and Strategies for
Environmental Protection, released in
September 1990. The report's first and
most basic recommendation is that we
must do a better job of setting priorities.
Other recommendations call for devoting
more attention to risk reduction and
pollution prevention and placing stronger I
emphasis on the protection of natural
systems. Because the report's findings
will help set the course for EPA action in
years to come, the Agency is conducting
an aggressive outreach program
nationwide to publicize its
recommendations.
12

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                                         Clean  Air Act
                                         Amendments
Reducing Risk:
Setting Priorities and Strategies
for Environmental Protection
Recommendations to EPA
• Target environmental
protection efforts to opportunities
for the greatest risk reduction.

• Give as much importance to
reducing ecological risk as to
reducing human health risk.

• Improve methodologies that
support the assessment,
comparison, and reduction of
different environmental risks.

•  Strategic planning and the
budget process should reflect
risk-based priorities.

•  The nation as a whole should
make greater use of all the tools
available to reduce risk.

•  Pollution prevention should be
emphasized as the preferred
option for reducing risk.

•  Integrate environmental
considerations as well as
economic concerns into the
broader aspects of public policy.

•  Improve  public understanding
of environmental risks and train
a professional workforce to help
reduce them.

•  Develop  improved analytical
methods to value natural
resources and to account for
long-term environmental effects
in economic analyses.

           Science Advisory Board
                 September, 1990
In the summer of 1989, President Bush
offered a sweeping legislative proposal to
clean the nation's air. Besides breaking a
13-year Congressional deadlock, the
proposal sought to integrate
environmental and economic objectives.
Approximately one and a half years later,
the President signed the Clean Air Act
Amendments of 1990 into law.
  The new law is the most significant air
pollution legislation in our nation's
history. Its successful implementation is a
priority for the President and the Agency.
While  the task is formidable, the benefits
are enormous: healthier air for all to
breathe, reduced respiratory illnesses and
cancer, cleaner factories, fuels, and cars,
unproved visibility, more efficient energy
use, and restored and preserved natural
systems.
Sulfur Dioxide Emissions Cut
by Ten Million Tons
 30  Millions of tons S02
 20
                                          10
                                         1980
                                                1985
                                                       1990
                                                              1995
                                                                     2000,
                                         Acid Rain Program: Under the new Clean Air Act,
                                         sulfur dioxide emissions from coal-fired electric
                                         utilities, the main contributor to acid rain, will be cut
                                         by 10 million tons by the turn of the century.
Highlights of the new
Clean Air Act:
Acid Rain. 10-million-ton annual
reduction of sulfur dioxide from 1980
levels, primarily from utilities; caps
annual utility SO2 emissions
permanently at approximately 8.9
million tons by 2000; reductions
accomplished in two phases—1995 and
2000; nitrogen oxides reduced by 2
million tons from projected year 2000
levels.
 Urban Air Pollution. All areas of
 the country with air quality
 problems will have to show steady,
 tangible progress on attaining air
 quality standards. Most cities will
 meet these standards in 10 years.
 Autos, Light Trucks. New
 restrictions to reduce tailpipe
 emissions of hydrocarbons, carbon
 monoxide and nitrogen oxides by
 40 percent from current levels,
 beginning with 1994 mode] year;
 new carbon monoxide standards
 required in cold temperature
 conditions.
 Clean Fuels. Pollution reductions
 from gasoline and diesel fuels also
 required. Cities with worst ozone
 problems in 1995 to require cleaner
 "reformulated" gasoline, with other
 cities allowed to "opt in"; cities
 with carbon monoxide problems
 required to sell oxygenated fuels
 such as gasohol during winter
 months starting in 1992; pilot clean
 fuels program in California and
 other problem cities; requires
 percentage reductions each year to
 assure tangible progress.
 Air Toxics. Toxic air reductions of
 over 75 percent within 10 years;
 EPA to establish technology
 standards for 41 industrial source
 categories by the end of 1992;
 toughter standards required later if
 significant residual risk remains.
                                                                                                                            13

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                         REDUCING RISKS
                                             Regulations
                                             to  Reduce Risk
        Asbestos Use Decline
265.000   (U.S. Asbestos Consumplion in Tons)
(1984)
 In the last two years, EPA has built a
 record of steady, far-reaching regulatory
 decisions to reduce risk under almost
 every environmental statute:

 • Asbestos Ban. In 1989, EPA broke a 10-
 year stalemate to ban almost all uses of
 asbestos in the U.S., in stages, over the
 next six years, including new product
 manufacture, imports, and processing.
 The action affects at least 94 percent of
 U.S. production and imports of asbestos,
 a known human carcinogen.

 • Benzene Emissions. Two  new rules
 were issued in 1989 and 1990 to cut
 29,000 tons of cancer-causing benzene
 annually from industrial sources,
 reducing their emissions by more than 90
 percent.

 • Gasoline Volatility. EPA set final rules
 in 1990 to lower gasoline volatility levels
 during summer months to reduce smog
 formation. This single action will cut
 emissions of volatile organic compounds-
 prevalent in urban smog—by almost 7
 percent nationally. Administrator Reilly
indicated his intention to require a second
reduction with similar benefits in 1992.

 • Cutting Sulfur in Diesel Fuel. Last
year, the Agency required an 80-percent
reduction of sulfur in diesel fuel,
beginning in 1993, to make diesel vehicles
including buses and trucks operate more
cleanly.

 • Dioxin in Paper. In April 1990, EPA
announced a program that would include
rulemaking to establish industrial
discharge standards for dioxin and
                                     70,000 est
                                     (1993)
       Asbestos use has declined dramatically In recent years and w« fall even   6,000.est
       further as EPA has banned 94 percent of all future asbestos uses by 1996. (1996)
                                                                                       chlorinated organics and to restrict land
                                                                                       application of pulp and paper sludge.

                                                                                       • Pesticide Actions. In the past two
                                                                                       years, EPA built on progress already
                                                                                       initiated by industry to reduce risk from
                                                                                       pesticides and took additional steps:

                                                                                        Alar. In 1989, the Agency negotiated an
                                                                                        agreement to withdraw daminozide
                                                                                        (trade name, Alar) from the market
                                                                                        voluntarily.  In 1990, EPA proposed
                                                                                        prohibition on all sales and distribution
                                                                                        of Alar products labeled for use on food
                                                                                        crops.

                                                                                        R-ll, Compound 1080, EBDC,
                                                                                        Diazinon. In June 1990, an active
                                                                                        ingredient in insect repellents—R-ll—
                                                                                        was canceled. All uses of Compound
                                                                                        1080 except  livestock protection collars
                                                                                        were canceled in September 1990. EPA
                                                                                        proposed canceling 45 food crop uses
                                                                                        for three EBDC pesticides and all food
                                                                                        uses for a fourth in December 1989,
                                                                                        and, in July  1990, reaffirmed an .earlier
                                                                                        decision to cancel diazinon use on golf
                                                                                        courses and  sod farms.
                                                                                      Lead Emissions
                                                                                       60 Thousands of metric tons
                                                                                      'X
                                                                                      40
                                                                                      20
14
                                          1983  1984   1985   1986  1987   1988   1989
                                          Total lead emissions in thousands of metric tons
                                          from all sources including transportation, fuel
                                          combustion, industrial processes and solid waste.

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          "Through millions of individual decisions—simple, everyday personal choices—we are
          determining the fate of the Earth.  So the conclusion is also simple:  we are all responsible and it's
          surprisingly easy to move from being part of the problem to being part of the solution."

                                                               —  President George Bush,  Spokane, Washington, September 1989
Spotlight:
Market Incentives

The traditional approach to
environmental protection has
brought us a long way; but by
themselves, technology-based
prescriptive regulations are no
longer sufficient to do the job at
hand. In some cases, they may
actually be counterproductive,
inhibiting innovation and
discouraging regulated industries
from going beyond minimum legal
requirements.
    Incentives harnessing the
power of the marketplace on
behalf of environmental protection
can effectively complement
traditional regulations. The Bush
Administration is committed to
pursuing more integrated ways to
link continued economic growth
and environmental improvement.
Perhaps the clearest expression so
far of this link between
environmental protection and
economic health is the new Clean
Air Act.
    The new 1990 law is largely
based on President Bush's
proposals, which were not only
sensitive to the costs of pollution
control; they also included
provisions to ssupplement
traditional command-and-control
regulations with flexible, market-
based programs. Under the law,
economic incentives are
encouraged such as marketable
permits to limit overall sulfur
dioxide emissions—a precursor of
acid rain. Thus, the nation can
achieve significant improvements
in air quality in the most cost-
effective way possible. Other
measures allow utilities the
flexibility to choose the most
economic means to reduce sulfur
dioxide emissions, and the ability
to bank and trade permits.
  Another excellent example is
the  excise tax placed on most sales
of chlorofluorocarbons (CFCs) and
other chemicals which deplete the
ozone layer. The tax, which began
in 1990, limits production and
consumption by increasing the
costs of the substances. This, in
turn, offers incentives for firms to
shift away from these chemicals,
increases recycling activities, and
provides market incentive for the
introduction of alternative
chemicals and processes. EPA
believes the tax was in part
responsible for domestic
production of CFCs being 23
percent below the allowable level
in the first freeze-control period.
  EPA will not shy from setting
societal goals and standards; but,
increasingly, the Agency will defer
to businesses, to company
executives and to plant managers,
to decide upon technologies and
the allocation of resources. These
are business decisions, and so long
as they are made with due regard
for the needs and constraints of
the environment, they should be
made by business executives.
Experienced technical people can
find ways to improve products,
cut waste, and achieve
environmental advantages at a
lower cost than anyone could
predict. That is the best way to
link competitiveness and economic
growth on the one hand, and
environmental quality on the
other.
                    Wells in the United States

                    Community Water System Wells
                            Without Nitrate or Pesticides
                                    44.6%
                                                       With Nitrate
                                                       and Pesticides
                                                       7.1%
                                                    With Pesticides Only
                                                    3.3%
                                   Rural Domestic Wells
                                          Without Nitrate
                                           or Pesticides
                                                42.0%
                                 With Nitrate and
                                 Pesticides — 3.2%
                                                                  With Pesticides Only
                                                                  1.0%
                                                                                                                     15

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                        REDUCING RISKS
                                           Additional
                                           Accomplishments
                                          • Urban Air Pollution. EPA took several
                                          other actions to reduce urban air
                                          pollution from industrial and
                                          transportation sources:

                                            Chemical Plants. Issued rules in June
                                            1990 to reduce by 70 percent smog-
                                            forming emissions from new or
                                            modified synthetic organic chemical
                                            plants.

                                            Hazardous Waste Facilities. Issued
                                            rules in June 1990 to reduce volatile
                                            organic compound emissions from
                                            process vents and equipment leaks at
                                            hazardous waste treatment, storage, and
                                            disposal facilities by over three-quarters,
                                            or by about 29,000 tons per year
                                            nationally.

                                            Carbon Monoxide Emissions. Proposed
                                            new auto emission standards in
                                            September 1990 to reduce carbon
                                            monoxide  emissions from automobiles
                                            in cold temperatures by up to 29
                                            percent.

                                            Volatile Organic Compounds.
                                            Proposed new rules in January 1990 to
                                            cut volatile organic compound
                                            emissions by about 5 percent nationally
                                            from autos and light trucks by reducing
                                            running loss and evaporative emissions.

                                          • Toxic Air  Pollutants. EPA took several
                                          actions to reduce public exposure to toxic
                                          air pollutants:

                                            Municipal Incinerators. Set new
                                            standards in January 1991 to cut air
                                            emissions by 90 percent from both new
                                            and existing  municipal waste
                                            incinerators by placing limits on toxic
                                            metals, toxic organics, and acid gases.

                                            Radionuclide Emissions. Set new rules
                                            in December 1989 for controlling
                                            radioactive emissions from certain
                                            industrial facilities, weapons plants, and
                                            uranium mines.

                                            Chromium Use Eliminated. In January
                                            1990, EPA eliminated the use of
                                            hexavalent chromium, a known
                                            carcinogen, in an estimated 37,000
                                            commercial air conditioning units;
                                            preventing 34 tons of chromium air
                                            pollution emissions annually.
• Leaking Underground Storage Tanks.
More than 5 million underground tanks
across the nation store petroleum and
other hazardous chemicals beneath gas
stations and other facilities. Leaking tanks
can cause fires and explosions and
contaminate drinking water supplies.

  Corrective Actions. During 1989 and
  1990, states and private parties began
  corrective actions at over 30,000 sites
  and completed them at almost 10,000
  sites.

  Funds for Cleanups. States spent $34
  million in 1989 and $46 million in 1990
  from the Leaking Underground Storage
  Tank trust fund to pay for corrective
  actions.

• Other Pesticides Actions.

  Survey of Drinking Water Wells. In
  1990, EPA completed the first national
  survey of 127 pesticides and nitrates in
  drinking water wells. This information
  is being used to evaluate regulatory and
  state-specific approaches to protect
  drinking water from pesticide pollution.

  New Rules Affecting Drinking Water.
  In 1990, the Agency issued rules to
  regulate 26 pesticides and 36 other
  contaminants in drinking water. When
  effective, the rules will more than
  double the number of pollutants subject
  to federal standards.

  Cancellations, Dinoseb. During 1989
  and 1990, EPA canceled approximately
  20,000 pesticide products for failure to
  pay new annual registration
  maintenance fees or to supply required
  scientific data. The Agency also
  destroyed one-half million gallons of
  dinoseb as well as the last remaining
  stocks of EDB.

  Alternatives. Registered 10 new
  biologically-based pesticides in 1989 and
  1990—representing almost one-third of
  all new registrations within last two
  years.

  Certification and Training Regulations.
  Proposed revisions in October 1990 to
  strengthen rules governing certification
  and training of "restricted use"
  pesticides applicators.
16

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                                         "The significant new progress zue need is zvith our selves—our lifestyles,
                                         our energy use, the goods we buy and use, and the waste we generate."

                                                                    -  William K. Reilly, National Press Club, September 26,1990
« Food Safety Reform.

  Food Safety Plan. EPA collaborated
  with the Food and Drug Administration
  and the Department of Agriculture on
  the President's plan for food safety
  reform. The plan would enhance EPA's
  ability to take swift action to cancel
  problem pesticides by cutting in half the
  time it takes to cancel a bad pesticide;
  imposing tougher penalties and
  increased record-keeping requirements;
  and establishing national uniformity for
  new pesticide tolerances unless local
  circumstances argued otherwise.

• 1990 Farm Bill. With the Department of
Agriculture and Congress,  EPA
developed strategies to establish
landmark legislation that integrates
environmental and agricultural goals:

  Wetlands. A wetlands reserve program
  of one million acres providing long-
  term and permanent easements on
  farmland restored to wetlands;

  Pesticide Registrations. Increased
  funding for the program to support
  registrations of pesticides used on
  "minor" or specialty crops; and

  Management Practices. A water quality
  incentive program to provide funding
  and technical assistance to farmers to
  improve pesticide and nutrient
  management practices and reduce run-
  off  and leaching problems.

 • Reducing Exposure to Toxic
 Substances.

  Lead. In February 1991, EPA announced
  a comprehensive strategy to reduce lead
  exposure through a series of actions and
  regulatory initiatives that will be phased
  in over this next year.

  Guidelines and training courses on lead
  paint abatement are being developed
  with the Department of Housing and
  Urban Development.

  Awarded $300,000 grant to Alliance to
  End Childhood Lead Poisoning for
  development of model community
  primary prevention program.
 Polychlorinated Biphenyls (PCBs). EPA
 put into effect new regulations in
 December 1989 that establish a "cradle-
 to-grave" tracking and reporting system
 to ensure safe storage and disposal.

 Asbestos. In the two-year period 1989-
 1990, EPA awarded $88 million to help
 495 needy primary and secondary
 schools abate serious asbestos hazards.

 Mercury in Paint. A voluntary
 agreement was negotiated in June 1990
 with the paints and coatings industry to
 eliminate mercury from interior paints
 and to label mercury-containing exterior
 paints with a warning.

• Indoor Air Pollution. Growing
scientific evidence indicates that air
within homes and other buildings can be
more seriously polluted than outdoor air,
even in the largest and most
industrialized cities.

  Environmental Tobacco Smoke.
  Prepared risk assessment proposing
  passive smoking as a known carcinogen
  for review by Agency's Science
  Advisory Board.

  State Radon Surveys. Released survey
  results in October 1990 for California,
  Hawaii, Idaho, Louisiana, Nebraska,
  Nevada, North Carolina, Oklahoma,
  and South Carolina showing elevated
  radon levels in each of the nine states.
  One in five homes has elevated
  screening levels in the 34 states tested
  so far.

  Public Education. Set up national
  hotline, 1-800-USA-RADON, and made
  available a list of over 1,000 EPA-
  approved radon contractors nationwide.
  With the Advertising Council, EPA
  organized a national media campaign to
  urge homeowners to test and fix radon
  problems.

 • Managing Hazardous Wastes.

  Restricting Land Disposal. Finalized
  regulations in May 1990 that restrict
  land disposal of hundreds of untreated
  wastes. Treatment standards are
  designed to reduce toxicity of wastes,
  prevent future ground-water
  contamination, and assure safe
  management.
Corrective Action. New health-based
standards and corrective procedures
were proposed in July 1990 for
designing remedies and cleanup at
approximately 4,000 operating
hazardous waste faculties nationwide,
including federal sites.

Tracking Medical Wastes. EPA
continued the two-year pilot tracking
program to assure proper disposal of
medical wastes and awarded $2.5
million in grants to nine states for
implementing medical waste programs.

Blueprint for Superfund Cleanups.
Finalized the National Contingency Plan
in February 1990, emphasizing quick
action to control immediate dangers,
expanded use of in-place treatment
technologies, increased public
participation, and improved processes
for selecting cleanup remedies.

Evaluating Superfund Sites. In
November 1990, EPA revised the
Hazard Ranking System—the criterion
used to evaluate potential Superfund
sites—to include factors on biological
and soil contamination impacts.

Citizen Grants. EPA streamlined
procedures for awarding citizen grants
to community groups to help them
participate in Superfund cleanup
activities.
• Improving Water Quality.

 Storm Water Permits. Finalized Clean
 Water Act rules in November 1990
 describing how 100,000 industrial
 facilities, 173 cities and 47 counties can
 obtain permits for discharging storm
 water into municipal sewage systems.
 Protecting Drinking Water Supplies.
 EPA set new standards in June 1989 to
 limit pollutants in public drinking water
 through monitoring and application of
 additional treatment technologies.
                                                                                                                        17

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                                  PROTECTING
                                  NATURAL   RESOURCES
   Protecting the nation's natural resources—estuaries
   and wetlands, forests, soils, wafer bodies, and the
   like—is a priority for the. Bush Administration. The
   deterioration of these ecosystems became all too
   apparent in the summer's of 1988 and 1989, when
   newspapers and television carried stories of
   swimmers fleeing beaches littered with medical
   waste and contaminated  with bacteria.
    One-third of the nation's shellfish beds are closed
   due to pollution, wreaking economic as well as
   environmental hardships. Twenty-Jive percent of
   monitored estuaries contain elevated levels of toxic
   substances, and eutrophication—excessive plant
   growth due to the presence of run-off nutrients—is
   increasing the number of "dead zones" where fish
   cannot survive.  Coastal fisheries, wildlife, and
   waterfowl populations have declined while
   population and industrial growth along the coasts
   have increased dramatically. More than 120 million
   Americans now live within 50 miles of the shore.
      Recognizing the grave and sometimes
   irreversible price being paid, EPA has intensified its
   efforts to safeguard these critical ecosystems. Within
   its broad plan to institute policies and practices that
   reflect respect for the fragility of ecosystems
   everywhere, the Agency has targeted several
   systems for special attention:  the Great Lakes,
   Chesapeake Bay, the Gulf of Mexico, and several
   others. In these areas—which may become models for
   actions elsewhere—we are working in partnership
   with local government officials, businesses, and
   concerned citizens to use our  new risk-based, multi-
   media approach to take action and get solid, lasting
   results.
                                                                       Wetlands
Approximately half of the wetlands
originally in the contiguous United States
have been lost since the time of the
European settlement. In the two decades
between 1955 and 1975 alone, more than
11 million acres were lost and other
wetlands have been so degraded by
pollution and hydrological changes that
they no longer perform many of their
natural functions.
  Nebraska's Rainwater Basin, a vital link
in America's migratory flyway, has lost
over 90 percent of its wetlands. And in
North Dakota, the prairie potholes that
remain are crowded with ducks and.
geese battling for nesting sites, struggling
to survive against the onslaught of
disease and predators that find easy sport
in the cramped breeding grounds. Today
the terrible toll of generations of
uninformed, unthinking, and incremental
destruction of wetlands is all too clear.
   This year, EPA has increased its
spending for wetlands programs 44
percent—for early identification of
valuable wetlands areas,  for enhancing
state and local grassroots programs, and
for developing the knowledge and
Top Ten Pollutants in Estuaries
"50fz~l % impaired sq. miles affected by each pollutant
-30
                                                                      -20
-10
                                                                                     CO
                                                                                           |
                                                                                           0

                                                                                              £  ffi
                                                                                              DC  O
                                                                                             n
18

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technical know-how to prevent further
deterioration.
    The Agency also is working with the
Army Corps of Engineers to better
administer  Section 404 of the Clean
Water Act, the major federal program
protecting wetlands for which we share
responsibility. In February 1990, EPA and
the Corps signed an agreement aimed at
mitigating wetlands loss, and last
September, the Army Corps issued new
regulatory guidance removing "prior
converted" croplands from permitting
requirements.
  EPA has veto authority to stop projects
moving ahead that could endanger
wetlands. This  power is not exercised
lightly—when it has to be used, it is a sign
the system is not working.  In fact, over
10,000 permits are issued each year, and
EPA has vetoed only 11 applications since
1972. But when it is a question of
protecting high-value wetlands from
irreparable harm or loss, the Agency will
not hesitate to use its statutory authority,
as Congress intended. Several recent
actions illustrate this resolve:
• Rhode Island. EPA prohibited the use
of Big River, Mishnock River, their
tributaries, and adjacent wetlands as a
site for the proposed Big River water
supply reservoir in Kent County. The
decision saved 575 acres of exceptional
wetlands, 17 miles of free-flowing cold
water streams, 10 ponds and 2,500 acres
of primarily forested uplands.

• Colorado. EPA vetoed the proposed
Two Forks dam and reservoir project on
the South Platte River, citing adverse
environmental effects and viable
alternatives. This action saved over 14
miles of a recognized world-class trout
stream and  a prime recreation area within
one hour of downtown Denver.

• Florida. EPA negotiations led to
revisions of a proposed permit to fill
wetlands at the Old Cutler Bay site near
Biscayne National Park, preventing the
destruction  of several acres of important
mangrove wetlands while allowing the
project to go forward.
                    EPA Coastal Initiatives
                     San Francisco Bay
                         Salinas River'
                        Santa Monica Bay
                                                  'asco Bay
                                                  issachusetts Bay
                                                  uzzards Bay
                                                 larragansett Bay
                                                'econic Bay
                                                 mg Island Sound
                                                IY/NJ Harbor
                                                few York Bight
                                                ilaware Bay
                                                laware Inland Bays
                                               Chesapeake Bay
                                               Jbemarle-Pamlico Sounds
                                                                                   Indian River Lagoon
                                                                                                                             19

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                       PROTECTING NATURAL RESOURCES
Great Lakes
                                         Additional
                                         Accomplishments
A vast interdependent body of water, the
Great Lakes are an especially vulnerable
ecosystem. In this unsurpassed
watershed, EPA is pursuing restoration
through an assortment of methods. The
need for flexibility is dictated by the
immense variety and comple>ity of the
watershed itself: Lake Superior, for
example, is remote and relatively
underpopulated. Lake Erie, bordering
major urban areas and once choked by
excess vegetation resulting from runoff
nutrients, is now sporting a variety of fish
life. But now it is plagued by new
invaders such as the zebra mussel, an
exotic species with as yet no predator to
check its numbers.
  In this region, a model approach based
on ecological perspectives is taking shape.
EPA is trying to use the most advanced
technology available, including satellite
imagery, to  identify the hot Sjpots in the
Great Lakes ecosystem. Through crafting
solutions  tailored to local circumstances,
it is addressing persistent problems such
as the deposition of toxic pollutants
through the air and runoff from
agricultural, urban, and other nonpoint
sources of pollution.
  The new Clean Air Act will help to curb
a major problem the Great Lakes face-
toxic and acidic air pollutants. But EPA
also intends to go beyond traditional
regulatory control and enforcement,
fashioning voluntary agreements with the
major sources of air pollution to protect
these magnificent waters.
  Cooperation is becoming stronger. EPA
has drawn up an action plan emphasizing
pollution prevention. The plan includes
targeted reduction in release of toxic
chemicals and conventional pollutants, in
the Great Lakes basin. The plan was
unveiled in Chicago in April 1991 with
support from Great Lakes governors.
• Oil Pollution Act of 1990. EPA and the
U.S. Coast Guard will be lead agencies for
implementing this August 1990 law to
facilitate oil-spill prevention activities,
improve federal and state preparedness,
set strict liabilities for cleanup costs, and
expand oil-pollution research and
development.

• Pesticides. EPA proposed a new
program in July 1989 to protect
endangered wildlife from effects of
pesticide use. With help from the Fish
and Wildlife Service and the Department
of Agriculture, the program ranks species
on status, vulnerability, and recover)'
potential.
                                          Great Lakes Areas of Concern
                                           More than 40 areas of concern have been identified in the Great Lakes
                                           Region, including loss of habitat, beach closings and restrictions on fish and
                                           wildlife consumption.
 20

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             "Pollution prevention has become the slogan for all EPA programs, from municipal wastewater
             treatment to toxic air pollution to stronger, carefully targeted multi-media enforcement strategies to
             integrated ecosystem-wide programs, such as our new initiative to clean up the Great Lakes."
                                                                         William K. Reilly, National Press Club, September 26,1990
• Coastal and Estuary Initiatives.

 National Estuary Program. On Earth
 Day 1990, President Bush announced
 the addition of Barataria-Terrebonne
 Estuarine Complex in Louisiana, Casco
 Bay in Maine, Indian River Lagoon in
 Florida, Massachusetts Bay in
 Massachusetts, and Tampa Bay in
 Florida to EPA's National Estuary
 Program. A cooperative process has
 started to develop comprehensive
 conservation and management plans.

 Ocean Dumping. EPA secured 1989
 consent agreements to end the practice
 of ocean dumping of municipal waste
 and debris. Six New Jersey
 municipalities agreed to end the
 practice by March 1991, two New York
 areas by the end of 1991, and New York
 City by June 1992.
Nonpoint Source Pollution. In 1990,
EPA awarded $40 million in first-ever
state grants to implement nonpoint-
source-management programs under
Section 319 of the Clean Water Act.

Chesapeake Bay Protection. In
December 1989, Administrator Reilly
became chairman of the Chesapeake
Bay Executive Council Significant
reductions in phosphorus discharges
have been reported and progress has
been made in restoring the striped  bass
population.

The Chesapeake Bay Program's citizen
monitoring project has doubled in size
over the past two years. More than 150
trained volunteers collect data for over
100 sites.

In April 1990, Administrator Reilly and
Secretary of Defense Cheney signed a
cooperative agreement on the
 Chesapeake Bay to institute pollution
 prevention practices, improve training,
 establish inspections, and to allocate $50
 million in Defense Department funds
 toward cleanup of facilities on the
 Chesapeake Bay.

• Visibility in the Grand Canyon. EPA
proposed rules in 1990 to cut pollution
from a northern Arizona power plant that
contributes significantly to winter
pollution haze in the Grand Canyon. The
2,250 megawatt coal-fired plant, the
Navajo Generating Station, is one of the
largest electric utilities in the country.
This marks the first time that the Clean
Air Act was invoked to protect visibility.

• Contaminated Fish Advisories. In
November 1990, EPA provided
information about fish contamination to
health, fishery, and environmental
agencies in all states and territories.
Included were descriptions of federal
procedures for assessing risks, a
bibliography of fish contamination
reports, a list of advisories in effect, and a
draft EPA plan for assisting states with
fish consumption advisories.
                  Spotlight
                  Bioremediation
                  EPA achieved a breakthrough in
                  using bioremediation—
                  microorganisms that detoxify soil
                  or water—along the shorelines of
                  Prince William Sound, Alaska after
                  the Exxon Valdez oil spill. The
                  objective of its Alaska
                  Bioremediation Project was to
                  demonstrate the feasibility of
                  cleaning up shorelines through a
                  focused approach: accelerating the
                  degradation of oil by applying
                  fertilizers which, in turn, enhance
                  naturally occurring microbes.
                  Results on test plots were
                  significant: the time of degradation
                  was cut in half.
                    Microbial treatment also has
                  been successfully used both in the
                  United States and abroad for on-
                  site treatment of organic
                  contamination of soils at
            hazardous waste sites. Use of
            enzymes for detoxifying
            organophosphate pesticides in
            soils has also been demonstrated.
            Research and actual cleanup of
            soils and aquifers contaminated by
            hydrocarbons, phenols, cyanides,
            and chlorinated solvents such as
            trichlorethylene have taken place.
             In 1988, EPA established a
            Biosystems Technology
            Development program which
            addresses groundwater and oil-
            spill cleanup methodology. In
            addition, several developers of
            commercial-scale biological
            processes have applied to the
            Superfund Innovative Technology
            Evaluation program for
            demonstration evaluation on
            Superfund wastes.
       In 1990, the Agency established
     the Bioremediation Action
     Committee comprised of
     government, industry, academic,
     and other representatives to
     remove barriers to and stimulate
     opportunities for uses of
     bioremediation. Administrator
     Reilly spoke to the biotechnology
     industry and convened a day-long
     meeting with top EPA officials to
     consider needs and opportunities
     to use biotechnology for cleanups.
     Reilly challenged the
     biotechnology industry to place a
     major new priority through
     investment and other business
     plans to "help clean  this country
     up" faster and more cost-
     effectively than current treatment
     achieves.
                                                                                                                       —..-*

                                                                                                                        21

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                          ji '"!""•"• IjjJJTj
INTERNATIONAL
LEADERSHIP
International leadership is urgently needed to solve
the most pressing global environmental problems.
Stratospheric ozone depletion, ocean pollution,
species extinction, habitat loss, and climate change
are only a few of the complex issues that transcend
national boundaries. Although no one country can
singlehandedly solve these problems, the United
States is helping lead the way.
  The Bush Administration is working to safeguard
fragile natural resources at home and abroad by
providing much-needed technical assistance and
fostering regional and multi-lateral solutions.
Together with other nations and international
development organizations, this country is working
to fully phase out ozone-destroying CFCs, negotiate
a framework convention on climate change, and
establish a new East European environmental
center. These cooperative projects reach all corners
of the globe. At the same time, EPA is training
Peace Corps volunteers to do their part throughout
the world in appropriate pesticides management,
ground-water protection, and environmentally-
sound forestry practices.
                                                                        Enterprise for the Americas,
                                                                        Debt-for-Nature Swaps
                                      Public debt renegotiation is a central
                                      element of President Bush's Enterprise-
                                      for-the-Americas initiative, an imaginative
                                      undertaking that links reduction of debt
                                      with investment, trade, and commercial
                                      debt reform. A debt-for-nature component
                                      of this project provides a key opportunity
                                      to focus on the valuable and fast-
                                      disappearing ecosystems of the region.
                                        The initiative is premised on resuming
                                      economic growth in Latin America and
                                      the Caribbean, where countries owe the
                                      United States some $12 billion. Linking
                                      the environment to debt renegotiation
                                      seeks to strengthen the basis for
                                      sustainable growth in these nations.
                                      Participating countries will be able to use
                                      interest payments on the reduced debt to
                                      fund environmental projects. EPA was
                                      appointed the Secretary of the
                                      Environment for the Americas  Board,
                                      which oversees the application of local
                                      currencies generated from debt reduction
                                      for environmental purposes.
                                        Debt-for-nature swaps involve
                                      converting—at a discounted rate—official
                                      or commercial debt payable in foreign
                                      currency into local currency obligations
                                      and dedicating the resulting local
                                      currency proceeds to environmental
                                      projects. Swaps can involve projects such
                                      as acquisition or management of land for
                                      parks or nature reserves to protect fragile,
                                      valuable, or endangered ecosystems. They
                                      also may be used for pollution prevention
                                      or cleanup..
                                        To date, nongovernmental organizations
                                      in the United States have successfully
                                      negotiated 15 swaps in eight countries
                                      involving commercial debt with a face
                                      value of nearly $100 million—in Latin
                                      America, Africa, Asia and Eastern Europe.
22

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Protecting
Stratospheric Ozone
                                         Budapest Center <•
                                         Addressing Problems of
                                         Eastern Europe
In March 1989, President Bush proposed
that the United States .fully phase out
production and use of chemicals that
contribute to the destruction of the
stratospheric ozone layer, which shields
the earth from ultraviolet radiation's
harmful effects on humans and the
environment.
  The United States is taking an active
part in international efforts to strengthen
the Montreal Protocol on Substances that
Deplete the Ozone  Layer. The Protocol
was adopted in 1987 and has been ratified
by almost 70 nations. During a June 1990
meeting in London, the Protocol Parties
agreed to phase out chlorofluorocarbons
(CFCs), carbon tetrachloride, and
nonessential uses of halons by the end of
the century, and to phase out methyl
chloroform by 2005.
  To help developing countries finance
the transition from ozone-depleting
chemicals, the United States is
contributing to the  Montreal Protocol
Multilateral Fund. The U.S. contribution
will be 25 percent of the total $160 to
$240-million fund, more than double that
of any other country. EPA represents the
United States on the executive committee.
Global CFC Production  1931 - 2010
•1200
•1000
 1400 Weighted CFC Production Million kg
800
                                          600
                                          400
                                          200
                                                          _.. ,-?3-KpL._ -a^^^.


                                                        ^H:M' A__^-i.ii_"'i'-.' 9
                                                        . Montreal. erotocof"
 Environmental conditions in Eastern
 Europe provide clear confirmation of the
 relationship between a healthy
 environment and a healthy economy.
 Polish officials estimate that
 environmental contamination represents a
 drag on Poland's GNP of as much as 15
 percent. That country's Vistula River is sp
 corrosive it is useless over 80 percent of
 its length even for cooling machinery.
 Sulfur dioxide levels in Krakow are so
 high that 500-year-old statues and
 monuments have crumbled in just 40
 years. The nation is plagued by high rates
 of infant mortality, lung disorders, worker
 absenteeism, and premature deaths, with
 vast land areas contaminated by heavy
 metal pollution.
  Delivering on a commitment by
President Bush to take action on
addressing the environmental problems
not only of Poland but all of Eastern
Europe, EPA Administrator Reilly opened
an independent, nongovernmental
regional center in Budapest, Hungary in
September 1990. This project represents a
new venture in institution-building for
emerging East European democracies, and
it promises to strengthen greatly the
environmental policies of the region's
countries. Regional problems are being
dealt with through education, training,
data collection and dissemination, and by
strengthening existing environmental
protection networks.
                                         1930  1940  1950  1960 1970 1980 1990 ,2000 2010
                                                                                                                      •23,

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                    INTERNATIONAL LEADERSHIP

        Spotlight
        Global Forest Agreement

        New data suggeslt tropical forests
        are being lost twice as fast as had
        been believed; nutny forests will
        have disappeared, within 10 to 15
        years at present rates of
        destruction. Concern for the rapid
        loss of the great forest systems
        worldwide led the President to
        propose an agreement on forestry
        at the G-7  Economic Summit in
        July of 1990. The agreement
        addresses world deforestation of
        both temperate and tropical
        rainforests, mapping and
        monitoring research, training, and
         technical assistance.
  EPA is working with the State
Department, the Department of
Agriculture, and  other agencies to
carry the proposal forward with
the goal that the  agreement be
signed at the United Nations
Conference on Environment and
Development in Brazil in 1992. At
a preparatory meeting for the
conference held in February 1991,
participants discussed the merits
of market incentives and debt-for-
forest swaps as possible tools for
forest protection.
   Tropical Rainforests: A Disappearing Treasure*
   "Smithsonian Institution Traveling Exhibition Service, 1988
24

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            "President Bush has moved the environment from the margins to the mainstream. As a result,
            opportunities for genuine environmental progress have never been greater than they are today.
 Additional Highlights
                                                                   —  William K. Reilly, National Press Club, September 26,1990
 • Basel Convention. In March 1990, the
 United States signed the Basel Convention
 on the Transboundary Movement of
 Waste, sponsored by the United Nations
 Environment Program. This 80-country
 initiative requires notice of proposed
 hazardous waste shipments and prior
 written consent, thus helping to ensure
 that waste will be managed in an
 "environmentally sound manner" by the
 receiving country.

 • Canada. EPA helped the State
 Department negotiate and finalize an air
 quality accord that will fight acid rain by
 reducing sulfur dioxide and nitrogen
 oxide emissions. President Bush and
 Prime Minister Mulroney signed this
 historic agreement in March 1991.

 • Mexico.

  Environmental Issues a Priority. At
  Secretary of State Baker's invitation,
  EPA is now part of the annual
  binational meeting with Mexico.

  Mexico City. EPA participated in the
  1989 Mexico City Metropolitan Zone
  Agreement, which calls for EPA's help
  in protecting and improving the
  environment in Mexico City.

  Border Issues. EPA is collaborating
  with its Mexican counterpart, SEDUE,
  on border issues including response to
  chemical emergencies. The two
  countries have proposed funding
  construction of new wastewater
  treatment plants for Tijuana, Mexico
  and Nogales, Arizona.

• Eastern, Central Europe.

 Technical Assistance. The United States
 initiated technical assistance programs
 to improve wastewater treatment and
 air quality monitoring in Krakow,
 Poland and helped establish energy
 efficiency centers in Warsaw and
 Prague.

 Emergency Preparedness. A U.S.-
 Hungarian Workshop took place on
 Chemical Emergency Preparedness,
 Response, and Prevention in Veszprem,
 Hungary in September 1990. All Eastern
 and Central European countries
 participated.
  Czech and Slovak Federated Republic.
  EPA, the Agency for International
  Development (AID), the World Bank,
  and U.S. private-sector officials joined
  the Czech government in a joint study
  assessing environmental conditions in
  the country. The goal is to determine
  priorities for action.

 • Thailand. EPA and AID released a
 study comparing a number of
 environmental health risks facing
 Bangkok. The project was the first-ever
 application abroad of EPA's comparative
 risk technique—used to help set priorities
 given limited resources.

 • Morocco. Dispatched technical advisors
 to Moroccan government to assist in
 dealing with a February 1990 oil spill
 threatening the Morocco coast.

 • Soviet Union.

  New Projects. During 1990, the
  U.S./U.S.S.R. Environmental Agreement
  was expanded to include more than 55
  projects focusing on issues such as
  pollution prevention, halon reduction,
  and Arctic accumulation of air toxics.

  Chemical Spill Assistance. The United
  States dispatched hazardous-spill
  experts to Latvia in quick response to a
  chemical spill that threatened drinking
  water supplies in November 1990.
  Soviet officials called the EPA
  assistance, "The most important
  American visit since Lindbergh."

  Conference. EPA helped support the
  first-ever U.S.-Soviet conference for
  non-governmental environmental
  organizations in Moscow in March 1991.

• Brazil. Administrator Reilly and Brazil's
Secretary of Environment Lutzenberger
signed a Memorandum of Understanding
on Environmental Cooperation in
November 1990.
• Trade Initiatives and Global
Standards.

  Pesticides Precautions Abroad. An
  expanded EPA program was proposed
  for notifying other countries of U.S.
  pesticide regulatory actions. New
  labelling requirements for exported
  pesticides also were proposed.

  Food Safety. Through negotiations
  sponsored by the General Agreement on
  Tariffs and Trade, the United States
  helped develop an international
  proposal to harmonize food safety
  standards, and to work for both healthy
  trade conditions and a safe  U.S. food
  supply.

• International Organizations.

  OECD. The United States played a
  major role in bringing about an
  international cooperative effort to share
  responsibilities for testing chemicals.
  The agreement was signed by 24
  member  countries of the Organization
  of Economic Cooperation and
  Development in April 1990.

 World Bank. In November 1990, the
 United States announced its support  for
 the World Bank Global Environment
 Facility, known as the "Green Fund."
 The fund will help developing countries
 address global environmental problems.
 A contribution of up to $150 million
 over three years has been pledged by
 the Administration.

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                       *	;.	 \
                       JlSViK	^
              SOUND  SCIENCE
                    -- ass
                    ": t'Jff-
                     : **«"" —r.-
"- IR*S--


 jiSIL -~.
  Science can lend much-needed coherence, order, and
  integrity to the often costly and controversial
  decisions that EPA must make. Science also can
  offer solutions—technologies that achieve low
  emission rates through the application of pollution-
  prevention principles, or technologies that achieve
  high levels of control at minimal energy and
  economic cost.
      EPA's research laboratories located throughout
  the country perform research and development
  activities across the environmental spectrum. The
  Agency's research program is being strengthened to
  ensure decisions are based on scientifically sound
  data and analyses. Major budget increases are
  planned for strengthening research into areas most
  closely associated with reducing health and
  ecological risk—indoor air pollution, electromagnetic
  radiation, and bioremediation of wastes. Research is
  also being intensified in other areas,  such as
  assessing exposure and determining  neurotoxic and
  reproductive effects of exposure to different types of
  pollutants.
                                                                           Climate Change Research
                                                       EPA has carried out some of the seminal
                                                       research on the effects of climate change
                                                       and possible responses to it. The Agency
                                                       is a major participant in the U.S. Global
                                                       Change Research program, set up to
                                                       provide a sound scientific basis for
                                                       developing national and international
                                                       policy on global change, including climate I
                                                       change. Together with the Department of
                                                       Energy and the Council of Economic
                                                       Advisors, EPA is analyzing possible
                                                       reductions in greenhouse gas emissions
                                                       under existing federal programs.
                                                        The Agenc/s primary focus is on the
                                                       assessment, evaluation, and prediction of
                                                       ecological and environmental
                                                       consequences  of global change. EPA
                                                       scientists evaluate processes and quantify
                                                       relative contributions of man-made and
                                                       biological sources of trace gases, quantify
                                                       and model the consequences of climate
                                                       change on ecosystems and their
                                                       Federal Funding
                                                       for Global Change Research
                                                       1200  S millions
                                                                            1000
                                                                            800
                                                                            600
                                                                            -400
                                                                            200
                                                                               1989     1990      1991      1992
                                                                            Source: U.S. Office of Management & Budget

                                                                            In Fiscal Year 1992, the Administration plans to
                                                                            invest almost $1.2 billion in global change research,
                                                                            doubling what was committed to the research
                                                                            program in 1990. EPA plays a vital role in the overall
                                                                            research effort.
26

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                                           The Science  Advisory Board -
                                           EPA's Objective Advisor

 subsequent feedback to the atmosphere,
 and examine the interaction of these gases
 in the atmosphere. This research will
 assist in providing process-level
 understanding and modeling capabilities
 to predict effects on regional  scales.
  The United States has been  spending
 hundreds of millions of dollars a year to
 learn more about the scope, causes,
 effects, and responses to potential climate
 change. EPA has invested $9.6 million in
 1989 and $15 million in 1990-more than a
 50-percent increase—in major  research
 efforts to examine the causes  and effects
 alone of climate change and the
 implications for future policy. This year,
 the Bush Administration will  spend $1
 billion in research and monitoring to
 reduce scientific and economic
 uncertainties relating to global change—up
 57 percent from 1990 levels.
  Nor is the Administration just waiting
 for the science to jell. In February 1991,
 President Bush hosted the opening.
 session of international negotiations on a
 framework climate-change convention.
 Domestically, the  Administration already
 is committed to a series of actions that
 make sense for a number of reasons and
 will yield benefits whether or not climate
 change proves to be a problem of serious
 consequence.
  By passing a new Clean Air Act,
 phasing out CFCs, carrying out the
 President's reforestation initiative to plant
 a billion trees a year over the  next
 decade, and other measures, including
 those in the National Energy Strategy-
 thai is, as a result of actions already taken
 or planned—the United States  should hold
 its greenhouse gas emissions
 approximately at or below current levels
 for the foreseeable future.  In 2030, these
 actions will reduce emissions  by one-third
 of what they would otherwise be.
 The United States is taking a
 comprehensive approach to potential
 climate change, considering all
 greenhouse gases, sources and sinks. Such
 an approach is more effective and less
 costly than focusing on a single
 greenhouse gas or on a single set of
 sources. It provides flexibility for each
nation to develop a diverse, innovative,
cost-effective mix of measures tailored to
its own domestic circumstances. It uses
scientific and economic knowledge
comprehensively, leaving no important
variable omitted.
 For more than a decade, the Science
 Advisory Board (SAB) of EPA has
 provided the Agency with unbiased
 critical thinking on a variety of scientific
 issues related, to the environment.  Its job
 is to provide the best technical and
 scientific knowledge available on the
 relative risks posed by environmental
 problems and the options available to
 reduce these risks.
  The Board is comprised of
 approximately 60 full-time members and
 250 consultants from outside the Agency
 and the U.S. government—scientists,
 engineers, and other experts.   Its role has
 become more essential as the number and
 complexity of demands on EPA have
 grown. Perhaps its most significant
 undertaking in recent years was the 1989-
 1990 study to determine which issues
 should be environmental priorities for the
 Agency.  Results are published in a
 capstone report, Reducing Risk: Setting
 Priorities and Strategies for Environmental
 Protection.
  The SAB has played a critical role in
 several other EPA initiatives during the
 past several years.  Based on Board
 recommendations in the late 1980s, the
 Agency reevaluated its environmental and
 health research programs, which lead to a
 major new "core research" approach in
 1989 for building the Agency's
 information base in four key areas-
 ecological risk assessment; health risk
 assessment; risk reduction; and
 exploratory grants and research centers.
  In 1990, the SAB reviewed an EPA
 report on electromagnetic fields that
 evaluates data on the relationship
 between exposure to this phenomenon
 and cancer in humans. In separate
projects, the SAB is reviewing reports on
 the potential carcinogenicity of
perchloroethylene—a common dry
cleaning chemical—and the risks of
environmental tobacco smoke, or cigarette
smoke to nonsmokers.
Projected U.S.
Greenhouse Gas Emissions
 25001.. :....„;;/;..:	,..;_...
 pillions of.rrietric tons carbon equivalents ' .
                                          sop
                                                   1987             2000
                                         Includes carbon dioxide, methane, volatile organics,
                                         oxides of nitrogen, carbon monoxide, nitrous oxide
                                         and chloroflorocarbons.
                                                                                                                          27

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                     SOUND SCIENCE
     Spotlight
     Harnessing Technology

     EPA continues to play an
     instrumental role in collaborative
     efforts to develop technologies that
     combat environmental problems.
     To shorten the learning curve on
     how and where technology can
     best be applied, the Agency has
     created a National Advisory
     Council for Environmental
     Technology Transfer (NACETT).
     This diverse group of 37 members
     offers expertise from government
     agencies, business and industry,
     academia, and public interest
     groups.
       The Agency's Center1 for
     Environmental Research
     Information complements the work
     of NACETT. The Center publishes
     information about technological
     tools and presents seminars,
     workshops, and training courses
     across the United States. During
     1989  and 1990, it responded to
     125,000 requests for science and
     engineering documents and
     sponsored 104 seminars and
     workshops for 17,000 participants
     from state and local governments
     and the private sector,
  To promote new technology,
EPA has established cooperative
arrangements with industry
through the Federal Technology
Transfer Act and maintains close
links with federal, industrial, and
academic laboratories
demonstrating new technologies.
During 1990, the Agency entered
into 17 agreements with the
private sector to research and
commercialize innovative
environmental technology. Projects
included oil-spill remediation,
water purification, and controls on
emissions.
  EPA's Superfund Innovative
Technology Evaluation (SITE)
demonstration program has been
especially effective in finding and
applying technological solutions to
a particular type of problem—the
elimination of hazardous waste
sites. At present, there are 56
Superfund sites in which an
innovative treatment technology is
being used for actual cleanup jobs.
Fifty-nine percent of all cleanup
remedies undertaken in 1990
employed innovative technologies.
Number of Innovative
Technologies Selected
 50
 40
 30
 20
 •10
                                                                                       82—83    84    85    86    87   88    89
                                                                                        EPA's Superfund Innovative Technology Evaluation program has grown
                                                                                        rapidly as new technological solutions are applied to eliminating hazardous
                                                                                        waste sites.
   EPA Research Laboratories
                                                               RAGANSETT
                                                          ICH TRIANGLE PARK
                                 Types of EPA Research Facilities
                                 Risk Reduction Engineering Laboratory - Cincinnati
                                 Air and Energy Engineering Laboratory - RTF
                                 Atmospheric Research and Exposure Assessment
                                 Laboratory - RTP
                                 Environmental Monitoring Systems Laboratory - Cincinnati
                                 Environmental Monitoring Systems Laboratory - Las Vegas
                                 Robert S. Kerr Environmental Research Laboratory - Ada
                                 Environmental Research Laboratory - Athens
                                 Environmental Research Laboratory -.Corvallis
                                 Environmental Research Laboratory - Duluth
                                 Environmental Research Laboratory - Gulf Breeze
                                 Environmental Research Laboratory - Narragansett
                                 Health Effects Research Laboratory - RTP
28

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                    "The surest path to protecting human health and the environment, and to gaining the
                    public's trust, lies in our ability to point to  a steadily decreasing volume of, and exposure to,
                    hazardous substances in our environment."
                                                                  — William K. Reilly, American Enterprise Institute, June 12,1990.
Additional
Accomplishments
• Pollution Prevention Research. The
Agency's pollution-prevention research
program has grown from about $2 million
in 1987 to more than $9 million in 1991.
Research covers how to prevent pollution
not only during production but also
during use, repair, and disposal.

• Clean-up at Federal Faculties. EPA is
working with the Departments of Defense
and Energy to develop cooperative
demonstrations of innovative treatment
technologies for cleanup and waste-
minimization assessments at sites  in
Georgia, California, Texas, Colorado, and
Montana.

• Survey of Ecological System Health.
The Agency started a ground-breaking
project designed to create a
comprehensive, continually updated
survey of the status of ecological
resources in the United States. The
Environmental Monitoring  and
Assessment Program (EMAP) works by
linking EPA's monitoring capabilities to
counterparts in the Department of
Agriculture, NOAA, and the Fish  and
Wildlife Service. EMAP data make it
possible^o assess changes in specific
ecosystems and determine whether these
changes are human-induced stresses.
Already it is providing information on the
health of estuaries from Cape Cod to
Cape Hatteras and on stresses to
northeastern forests.

• Data Systems. EPA researchers  are
developing better measurement
technology and designing new methods
to determine exactly what people breathe
and consume through food and water.
These data systems help the Agency focus
on the right questions—who is being
exposed to what, and what does that
mean in terms of health risk?

• Great Lakes Monitoring. To monitor
water quality and carry out pollution
surveillance in the Great Lakes, EPA
acquired the 180-foot research vessel, Lake
Guardian. It joins EPA's other vessel, The
Peter W. Anderson, which collects data and
performs analyses on ocean and coastal
activities.
• Technology to Fight Acid Rain. The
Agency successfully completed a
demonstration project on the Limestone
Injection Multistage Burner in May 1990.
The burner can be used as low-cost
retrofit sulfur dioxide control technology
for many coal-fired utility boilers, helping
users comply with the acid rain
provisions of new Clean Air Act.

• Biotechnology Research. EPA
continued its. research into finding
methods for  assessing the potential risk
resulting from the introduction of
microorganisms into the environment.
This program supports regulation of the
products of biotechnology under federal
toxics and pesticides laws.

• Ecological  Institute. Responding to an
SAB recommendation, EPA has begun
efforts with the National Research
Council and  the academic community to
explore the benefits of a National
Institutes of Health-like organization for
basic research in the environmental
sciences.

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                              STRENGTHENING
                              AGENCY  RESOURCES

  The United States as a whole now spends more
  than $100 billion a year on environmental
  protection, over triple tite amount the nation spent
  in 1972. That figure will continue to grow in the
  next 10 to 15 years as ihe new Clean Air Act
  Amendments take effect and the nationwide cleanup
  of hazardous waste sites proceeds—reaching about
  2.7 percent of the GNP by the year 2000. Given
  this level of expenditure—and its implications for
  productivity and international competitiveness—the
  nation must pay more attention than it has in the
  past to meeting its environmental commitments in
  the most cost-effective ways.
   EPA is promoting cost-effectiveness by
  strengthening its own workforce, using tools such
  as Total Quality Management and strategic
  planning methods. And thanks to President Bush's
  commitment, EPA's numbers and financial base are
  growing. Staff has increased 15 percent and
  operating funds have increased 26 percent in the
  past three budgets. In 1991, EPA was appropriated
  $6.1 billion, a 9 percent increase over 1990. If the
  1992 budget request is approved, the Agency's
  budget for operating programs  and trust funds will
  have increased by $1 billion and the Agency
  workforce will have grown by more than 2,900
  workyears during the Bush Administration.
   To provide expertise from outside the Agency,
  EPA has set up a financial advisory board whose
  members include senior executives from business,
  industry, finance, banking, and government. At the
  same time, the Agency has set  up a special team to
  explore alternative financing mechanisms. Essays
  exploring a range of ideas and possible models—for
  instance, the role of banks in environmental
  protection and California's approach to managing
  waste—were published in a November 1990 EPA
  report, Paying for Progress: Perspectives on
  Financing Environmental Protection.
Pollution Control Costs
200
Billions of 1986 Dollars
150
•100
 50
                                                                72 74 76 78 80 82 84 86 88 90 92 94 96 98 2000
30

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 Working with States,
 Tribes, and Localities

Much of the burden of environmental
management falls upon state and local
governments. To help lighten the load,
EPA is building environmental
partnerships with these other levels of
government and with Indian tribes. The
goal is to help boost limited financial and
human resources and allow the Agency to
leverage its own limited federal funding
into more effective environmental
programs.
  State grant programs are an integral
part of this process. Despite severe federal
fiscal constraints, grants to states during
the Bush Administration have risen by 58
percent. In Fiscal Year 1989, EPA
awarded $315 million in grants to states.
By 1991, that figure had grown to $498
million.
  Small communities may face a
particularly difficult challenge meeting
environmental mandates. To address
these circumstances, EPA set up a Small
Communities Coordinator project in 1989.
The aim is to ensure that the particular
burdens EPA actions may place on small
communities are borne in mind during
regulatory decision-making. Technological
assistance to small communities was
bolstered during 1990, when the Agency
established a subcommittee for small
communities under the National Advisory
Committee on Environmental Policy and
Technology.
.  EPA has moved forward aggressively
with implementing President Bush's
policy of dealing with federally-
recognized Indian tribes on a
government-to-government basis. In 1989
and 1990, $27 million was awarded to
tribal governments for constructing or
modifying 30 wastewater-treatment
systems to serve reservations and Alaskan
native villages. Clean lakes grants
increased from three grants totalling
$200,000 in 1989 to 12 grants totalling $1
million in 1990.
 Growing EPA Dollars
 •5
 7  $ billions
  1986  1987   1988   1989   1990  1991  1992
EPA Workforce is Growing
20
•15
•10
•5
workyears lin Thousands




ff'f *
i-

j


!

                                              1989
                                                      1990
                                                              1991
                                                                      1992
                                         The Agency's workyear ceilings continue to grow to
                                         meet the President's commitment to improving
                                         environmental protection. EPA's 1992 request
                                         represents a workforce growth of 2,900 workyears
                                         during the Bush Administration.
                                                                                      State and Local Grants
                                                                                       500 $millions
                                                                                      '400
                                                                                      •300
                                                                                       200
                                                                                       100
                                                                                          1989      1990      1991      1992

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                     STRENGTHENING AGENCY RESOURCES
 Other Accomplishments
•••••iiiaiag ««-.««• K'W't Wi


                                                                                                             Icais
          Spotlight
          Public—Private Partnerships

          Public—private partnerships offer a
          promising, alteririative-financing
          mechanism to help state and local
          governments co:nstruct and operate
          environmental facilities. In such
          partnerships, EPA and state
          governments facilitate the activities
          and provide technical support.
          Communities ate the implementers
          of the partnerships, with banking
          and business interests offering
          financial and ta:hnical resources.
          Associations, foundations,
          academia, and interest groups
          provide expertise and support for
          outreach to the public.
            EPA's Public-Private
          Partnerships Initiative provides
          information and assistance to local
          governments on how they can
          work with the private sector to
          finance environmental protection.
          Demonstration projects are being
          carried out to illustrate how
          communities can successfully
          initiate public—jprivate
          partnerships. Special emphasis has
          been placed on projects that help
          small communities achieve
          compliance with environmental
          standards and regulations.
• Strategic Planning. EPA is putting into
place a four-year strategic planning and
budgeting process. The goal is to focus
attention and resources on the areas of
greatest risk and identify the greatest
potential for risk reduction.

• Focus on Minorities.

  EPA Workforce. Within EPA, 69
  percent of the net growth of 1990
  professional and administrative
  positions were women and minorities,
  with minorities approximately half the
  total. At management levels, minorities
  and women made up two-thirds of
  EPA's net growth. Hispanic and Asian-
  Pacific Americans both increased by
  over 50 percent in this category during
  1990.

  Environmental equity workgroup. The
  Agency established an environmental
  equity workgroup to address the
  concern that minority and low-income
  communities may bear a
  disproportionate share of environmental
  risk. The group is working with a
  university-based equity organization as
  informal advisor to gather data and
  draw up a plan for action.

  Business contracts. EPA awarded a
  record number of small-business
  contracts to minority-owned businesses
  during the past two years. Direct
  contract and grant awards totalled $485
  million for Fiscal Year 1989 and $492
  million for Fiscal Year 1990.
       "We must go beyond compulsion and laws and incentives to ensure the environmental
       integrity of our nation and our planet....we must engage the heart, which is seldom reached
       by appeals to law or economics, in the task of bringing our habits, our choices, and our
       lifestyles into harmony with the needs  of nature,"
      - William K. Reilly, Shipley Commencement, June 15,1990
32

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