United States
Environmental Protection
Agency
Office of Enforcement
and Compliance
Assurance (2201A)
EPA 300-N-99-007
&EPA Enforcement Alert
Volume 2, Number 7
Office of Regulatory Enforcement
August 1999
EPA Promotes Corporate-Wide Audits Through
Voluntary Agreements
The U.S. Environmental Protec-
ion Agency (EPA) and Arizona
Chemical Company (Arizona Chemical),
a major pulp chemical company, have
recently entered into an agreement that
calls for a comprehensive environmen-
tal audit of the company's compliance
with the Toxic Substances Control Act
(TSCA).
About
Enforcement Alert
"Enforcement Alert" is
published periodically by the
Office of Regulatory
Enforcement to inform and
educate the public and regulated
community of important
environmental enforcement
issues, recent trends and
significant enforcement actions.
This information should helpthe
regulated community anticipate
and prevent violations of federal
environmental law that could
otherwise lead to enforcement
action.
See Page 2 for useful EPA
Websites.
Eric V. Schaeffer
Director, Office of
Regulatory Enforcement
Editor: Virginia Bueno
(202) 564-8684
bueno.virginia@epamail.epa.gov
Please email all address and
name changes, or subscription
requests for this newsletter.
In addition to Arizona Chemical,
another major company is slated shortly
to enter into a similar agreement with
EPA. Other companies also are encour-
aged to negotiate agreements with EPA
to conduct corporate-wide audits, and
disclose and correct violations. These
agreements assure that chemicals are
properly tested for any health and envi-
ronmental impacts; that significant ad-
verse affects are brought to the
Agency's attention; that new chemicals
are submitted for review before their
manufacture; and that EPA is properly
notified of any chemicals that are
shipped abroad.
Arizona Chemical Audit
Agreement
Under the terms of a one-year com-
pliance audit agreement with EPA signed
in December 1998, Arizona Chemical
of Panama City, Fla., agreed to begin
reviewing its TSCA compliance at six
facilities in May of this year and to
promptly disclose and correct any dis-
covered violations of TSCA Sections
4, 5, 8, 12(b) and 13.
The agreement covers Arizona
Chemical's six facilities in Oakdale and
Springhill, La.; Panama City, Pensacola
and Port St. Joe, Fla.; and Picayune,
Miss.
The agreement is subject to certain
limits. For example, it does not cover
violations that have resulted in actual
harm or have presented an imminent
and substantial endangerment to human
health or the environment.
Arizona Chemical, which employs
more than 1,400 people worldwide and
Under its agreement with EPA,
Arizona Chemical Co. will
inspect for, promptly disclose
and correct violations found at
its six facilities
is a wholly owned subsidiary of Inter-
national Paper, is a leading global sup-
plier of pulp chemicals to the adhesives,
ink and chewing gum markets.
What TSCA Requires
In 1976, Congress enacted TSCA
to prevent unreasonable risks of injury
to health or the environment associated
with the manufacture, processing, dis-
tribution in commerce, use, or disposal
of chemical substances and mixtures.
EPA seeks to accomplish these goals
through the enforcement of regulations
that implement the statute. These regu-
lations include:
Testing of Existing Chemicals
(TSCA Section 4): Requires manufac-
turers and/or processors to test chemi-
cals or mixtures identified by the
Agency to assess their potential risks
to human health or the environment.
New Chemical Review (TSCA
Section 5): Requires submission of a
premanufacture notice (PMN) at least
90 days before the commencement of
manufacture or import of a new chemi-
cal substance, or before the manufac-
ture or processing of an existing chemi-
cal substance for a "significant new
use."
Reporting and Recordkeeping
Continued on page 2
'is publication is found on the Internet at http://www.epa.gov/oeca/ore/enfalert
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United States
Environmental Protection Agency
Office of Regulatory Enforcement
(2201 A)
Washington, D.C. 20460
Official Business
Penalty for Private Use $300
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Postage and Fees Paid
EPA
Permit No. G-35
Continued from page 1
Requirements (TSCA Section 8):
Requires reporting and recordkeeping
of information regarding chemical use
and exposure; allegations of significant
adverse reactions; unpublished health
and safety studies on specified chemi-
cals; and information that a chemical
substance presents a substantial risk of
injury to health or the environment.
Import and Export Require-
ments ( TSCA Section 12 (b)): Re-
quires notification of export of certain
chemical substances regulated under
TSCA. TSCA Section 13 prohibits the
import of chemical substances in vio-
lation of TSCA.
About Compliance Audit
Agreements
Compliance audit agreements con-
serve EPA resources while ensuring
that the public and environment are pro-
tected. In addition, EPA obtains impor-
tant monitoring feedback from a
company's periodic status reports; con-
sultation with company representatives
regarding certain violations; and assur-
ances of the company's remedial ac-
tion and prevention of future violations.
Compliance audit agreements also
allow companies to audit themselves and
receive reduced civil penalties, which
can be completely eliminated for some
violations that are properly corrected.
In addition, the agreements demonstrate
a company's commitment to environ-
mental compliance.
EPA's compliance audit agreement
with Arizona Chemical includes provi-
sions that are similar to those of the
Agency's Audit Policy. The Audit Policy
substantially reduces, and in some cases
eliminates, penalties for violations dis-
covered and corrected by a company.
The policy does not cover certain vio-
lations, such as those that reflect crimi-
nal conduct or result in actual signifi-
cant harm to public health or the envi-
ronment. Similar to the Audit Policy,
the agreements establish deadlines for
violation disclosures and corrective
measures.
Contact Geraldine Gardner, (202)
564-4032 or Tony Ellis, (202) 564-
4167, Office of Regulatory Enforce-
ment, Toxics and Pesticides Enforce-
ment Division.
Useful Websites
Toxics and Pesticides Enforcement
Division:
http://www.epa.gov/oeca/ore/tped/
Office of Pesticide Programs
(registering a pesticide):
http://www.epa.gov/pesticides/
chemreg.htm
EPA's Year 2000 website:
http://www.epa.gov/year2000
EPA's Y2K Enforcement Policy:
http://www.epa.gov/fedrgstr/EPA-
GEN ERAL/1999/March/Day-10/
g5958.htm
EPA Audit Policy: http://
www.epa.gov/oeca/ore/
apolguid.html
Audit Policy Update:
http://www.epa.gov/oeca/ore/
apolguid.html
EPA's Small Business Policy:
http://www.epa.gov/oeca/
smbusi.html
Small Business Gateway:
http://www.epa.gov/smallbusiness
Recycled/Recyclable. Printed with Soy/Canola Ink on paper that contains at least 50% recycled fiber
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