|    UNITED STATES ENVIRONMENTAL PROTECTION AGENCY  O I Cr~ 0
                          WASHINGTON, D.C. 20460    :
                            September 28,  1990
                                                           OFFICE OF
                                                       THE INSPECTOR GENERAL
(V

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                           BACKGROUND

     The Agency's  Pre-Remedial Program represents the Superfund
Program's early  investigative process.  In this process, among
other things, contractors, working on the Agency's behalf,
evaluate suspected uncontrolled hazardous substance release
sites.  These sites go through a series of increasingly detailed
evaluations designed to identify and assess uncontained hazardous
substances.                            .

     The Agency, through its FIT contractors or the States,
starts with a preliminary assessment.  Using readily available
information, the preliminary assessment determines whether a site
needs emergency action, additional action, or; no further Federal
action.  If warranted, the site next receives; a "screening site
inspection," usually involving a site visit and an average of 10
to 15 samples.  Finally, if warranted, the site undergoes a more
extensive "listing site inspection," including an average of 50
to 70 samples/  Through these inspections, the contractors and
States develop a hazardous ranking system score which ranks the
hazards at the sites.  This ranking determines which sites the
Agency will place  on the National Priorities List.

     In fiscal 1989, FIT contractors and the States completed
almost 1300 pre-remedial screening site investigations and 75
listing site inspections.  During these investigations, sites
were visited and samples taken.  To obtain these samples, the
contractors and States, aided by subcontractors, sometimes drill
monitoring wells or bore holes.  From late 1986 through October
1989, the FIT contractor for Regions 5-10 alone hired
subcontractors to  drill monitoring wells or bore holes for soil
samples at over 85 sites.

     The contractors send the actual samples to laboratories that
are responsible for their proper disposal after analysis.
However, in the process of taking the sample, equipment and
clothing can be contaminated, and existing waste disturbed.
Questions arise regarding how these "investigative-derived
wastes" are disposed of.  These wastes include:

     o    Disposable Tyvek suits, gloves, and other personal
          protective gear worn by the contractor's staff.

     o    Soil removed while drilling holes to obtain soil
          samples  and to install monitoring wells.

     o    Water removed from wells before collecting ground water
          samples; and water, solvents or other fluids used to
          decontaminate field equipment such as backhoes,
          drilling rigs, and pipes.

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      Other Agency hazardous waste programs  also confront
 investigative derived waste issues when theyj take samples or
 investigate sites.  The Pre-Remedial Program is  unique,  however,
 because  of the number of  sites  it investigates,  and because there
 are  generally not on-site RCRA  managed disposal facilities at
 pre-remedial sites.                          !

                        RESULTS OF REVIEW   |
                                             i
      OSWER had no specific formal guidance  for  disposing of
 wastes stemming from pre-remedial site investigations.   OSWER
 recognized that this issue needed attention and planned to issue
 formal guidance.   However,  formal guidance  had  been delayed while
 OSWER and  the Regions attempted to resolve  concerns regarding
 disposal costs and the amount of wastes to  be disposed  of off-
 site.  Because there was  no formal guidance,'situations occurred
 that  unnecessarily alarmed the  public.   In  one  instance,  the
 Agency's FIT contractor employees discarded personal protective
 gear  and other testing materials in a  public j park garbage
 container.   This  not only alarmed the  park  district employees who
 found the  material  and thought  that they had1been contaminated,
 but resulted in the  fire  and police departments  treating the
 incident as  a hazardous material release.   In another instance,
 the lack of  obtaining an  EPA signature on a hazardous waste
 manifest resulted in two  drums  marked  "hazardous"  being left on  a
 roadside for a short time.

      The Assistant Administrator for Solid  Waste and Emergency
 Response has  agreed  to issue and appropriately distribute final
 guidance by  the end  of October  1990  that will resolve the issues
 raised.             '                        i

 The Agency Had Recognized  But Not Yet Resolved  ',
 Investigative-Derived Waste Issues

     The Site Evaluation  Section had been attempting to  determine
 a policy for  investigative-derived waste handling  since  the
 proposed draft National Oil  and Hazardous Substances Pollution
 Contingency  Plan  (NCP)  was  issued in December 1988.  The December
 1988 proposed NCP stated  that the Agency believes  that  the wastes
 produced during site investigations  should  be handled and
 disposed of  in accordance with  CERCLA  section 121,  as amended.

     CERCLA  section  121(d) requires  that remedial  actions  comply
 with requirements or standards  under Federal ilaws  and more
 stringent  State laws,  referred  to as Applicable  or Relevant  and
Appropriate Requirements  (ARARs).  According jto  the proposed  NCP:

     EPA intends that  field  investigation teams  use best
     professional  judgment in determining when
     investigative-derived wastes may  contain hazardous

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     substances and  to handle  such  substances  in  accordance
     with all Federal and  State ARARs.       \

     In response to  the NCP as it was proposed in December 1988/
the Site Evaluation  Section directed one of its FIT contractors
to develop and submit guidance to the Agency ,by May 25,  1990, on
how to handle investigative-derived waste.  I-n the interim, the
Site Evaluation Section, through a  memorandum  in  December 1989;
directed FIT teams to use  their best professional judgment in ^
determining if investigative-derived wastes may contain  hazardous
substances, and how  such substances should be  handled in
accordance with all  Federal and State ARARs until the Agency
issues a final policy.

     In the December memorandum, the general approach outlined
for disposing of decontaminated personal protective gear and
disposable equipment is to put them in industrial dumpsters.
Generally non-hazardous wastes are  to be disposed of on-site, and
hazardous waste off-site,  in accordance with the  "Off-Site Rule."
This refers to CERCLA section  121(d)(3), which attempts  to avoid
having Superfund wastes contribute  to present;  or  future
environmental problems.  Only  environmentally  sound waste
disposal facilities  are to be  used.  According to OSWER  Directive
9834.11, it is EPA's responsibility to be sure that the  criteria,
for governing off-site transfer of  CERCLA waste,  result  in
decisions that are environmentally  sensible and that reflect
sound public policy.                         :

     Disposal costs  are a  concern in the development of  a
national policy and, according to officials, will be largely
determined by how much waste is disposed of off-site.  In
December 1989, the Site Evaluation  Section estimated the annual
disposal cost of soil and  water stemming from  site investigations
ranged from about $3 million to $7 million.  The  estimates assume
that the FIT teams will continue to dispose of decontaminated
personal protective  gear in dumpsters at no cost  to the
Government.                                  !

     The new NCP was issued in March 1990 andI  provided policy but
not implementing guidance.

Regional Practices Vary

     Regional investigative-derived waste disposal practices
vary. For example, to dispose  of purge water,iRegion 9 FIT
employees will, with the municipality's permission, pour non-
hazardous purge water down the sewers.  According to Region 9
officials, this both saves disposal costs and  avoids filling up
the limited space at hazardous waste disposal  facilities with
non-hazardous waste.  However, the municipalities rarely give
such permission. Where the municipality does not  give permission,

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Region 9's contractor staff drum the waste and dispose of it as
hazardous.                                 :

     Region 6 FIT employees, however, drum soil and liquid wastes
and dispose of them, if possible, off-site.  According to
Region 6  staff, the site owner, State and local agency staff, and
the press all can be present during site inspections.  Region 6
is concerned about public perception problems resulting from
these officials observing EPA contractors pouring even non-
hazardous water from potential hazardous waste sites into
municipal sewers.                          :

     Regional policies also vary with regard to personal
protective gear (gear).  After decontamination, to prevent anyone
from wearing the gear, such as homeless persons, both Region 6's
and 9's contractor staff are required to cut up or render gear
useless. After this, Region 6 requires its contractor staff to
take the gear directly to a disposal facility; usually a
municipal landfill.                        '

     Region 9 contractor staff dispose of the gear in dumpsters.
Also, if the gear comes into contact with either hazardous
liquids or soils, the staff of Region 9's contractor disposes .of
it with the soil.  If the gear came into contact with hazardous
liquid, and no soil was being drummed, the staff would cut up the
gear, double bag it, and dispose of it in a.dumpster.  However,
this situation has not occurred.  According to the office manager
of Region 9's contractor, it would be too expensive to drum the
gear alone and dispose of it as hazardous.

     Region 5's contractor staff used to dispose of gear in the
dumpster at the hotel where they were staying.  As a result of
the incident described below, this practice >was changed.

Poor Judgment In Gear Disposal                \
Unnecessarily Alarmed The Public

     In July 1989, three employees of Region 5's FIT contractor
collected samples from a landfill monitoring well in the
Champaign-Urbana, Illinois area.  The employees discarded their
disposable Tyvek suits, boots, gloves, and testing materials in a
garbage container in a public park next to the hotel.  Two
teenage park district employees found bags containing the waste,
took them to park district headquarters and opened them.
Concerned that toxics could be present, the '.park district
notified the fire and police departments.  The combined
Champaign-Urbana Hazardous Materials Team was called to the
scene.  They treated the incident as a hazardous material
release.  Five fire fighters donned containment suits, drummed
the waste, and scrubbed the garbage truck, tools, and grounds
with bleach.                                1

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      Based on a label it found with the materials, the Urbana
 Police Department identified the waste as being generated by the
 EPA contractor.  The Police then located the three employees, who
 were charged, but not convicted, of violating an Illinois garbage
 disposal statute.
                                             I
      The.local press reported the incident, 'quoting park district
 employees  as being very alarmed.  The park district operations
 director told the Champaign-Urbana News-Gazette that it was a
 frightening moment when he and the two teenage employees opened
 the bags and found what was in them.  They thought they had
 touched contaminated material.  The newspaper went on to quote
 the park district employee as saying "I know what those suits are
 for,  and among the suits,  gloves, and bottles were labels marked
 cyanide."
         >
      Later testing determined that the material was not
 hazardous, and the contractor disposed of it.  The contractor
 also added to its Region 5 site safety audits a check for proper
 waste disposal.  Since the incident, if the :site owner will not
 allow them to leave gear on-site, Region 5'a, FIT contractor staff
 will  decontaminate the gear and dispose of it in a locked
 dumpster within their warehouse.  The PIT contractor's field
 office manager maintained that the employees may have used poor
 judgment,  but did not violate EPA policy, because no national or
, regional guidance existed regarding gear disposal.

      While the FIT teams did not expose the public to hazardous
 waste,  in  this instance, the lack of final guidance could lead to
 such  exposure.  In any case, the incident showed the need for
 guidance to prevent (1) potential environmental harm, (2) the
 unnecessary frightening of the public,  and (;3) negative public
 relations  for the Agency.

 Lack Of Obtaining Required Documentation Resulted in
 Drums Labelled As Hazardous Being Left On A Roadside

      When  waste drums are moved off-site, long standing Agency
 policy calls for EPA to sign the required hazardous waste
 manifest as the generator.  In January 1990, in Region 9, failure
 to  obtain  the required EPA signatures resulted in two drums of
 investigative-derived waste being left on a roadside.  This
 occurred when a site owner gave, then withdrew, permission to
 leave the  drums of non-hazardous waste on-site.  The Region 9 FIT
 contractor could not locate a disposal facility that would accept
 the waste  as non-hazardous, and was forced to dispose of it as
 hazardous.  The FIT contractor arranged for a subcontractor to
 mark  the drums "hazardous" and haul them to the disposal
 facility.   No EPA representative had signed as the waste
 generator  on the required hazardous waste manifest.

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     The subcontractor loaded the barrels onto a truck, moved it
outside the facility gate, and asked a facility representative to
sign the manifest as the waste generator.  The facility
representative refused, left for the day, and locked the facility
gate and the waste outside.  Lacking a signature, and having
other waste to dispose of, the subcontractor unloaded the drums
outside the gate, leaving them on the roadside.  The
subcontractor called the FIT contractor, who;directed him to move
the drums inside the gate - which he did by lifting them over the
fence.  The contractor arranged for the necessary EPA signature
and for the drums to be picked up the next day.  No public
incident was created, but for an estimated hour or two, two drums
marked "hazardous" were left on a .roadside.  ;The incident
illustrates the need for FIT contractors to diligently assure
that waste disposal procedures are properly carried out.
                                             i

Draft Report Recommendations
                                             i
     We recommended that the Assistant Administrator for Solid
Waste and Emergency Response:
     1.
     2.
Provide adequate oversight and timely review of the
final guidance to ensure its timely release.

Send a memorandum to the regions and FIT contractors
emphasizing the need to follow the 'final guidance as
well as other applicable Agency policies.
     The final guidance, while not unnecessarily requiring non-
hazardous waste to be disposed of as hazardous, should also
consider the public perception problems, and potential
environmental effects that can result from improper disposal of
such wastes.                                 1

QSWERS Comments on Draft Report              \

     OSWER's response to our draft report and! subsequent actions
are summarized below, and included as Appendix 1.

     OSWER drafted guidance on investigative-derived waste, and
distributed a draft on July 11, 1990, for comment.  The guidance
is scheduled to be issued by the end of October 1990 as a part of
an OSWER directive.  This action clears our first recommendation.

     Regarding our second recommendation, the directive scheduled
for release by the end of October resolves our concern and clears
this recommendation.                         '

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                         ACTION REQUIRED

     The actions taken clear the issues raised and no formal
response to this report is necessary.  The audit is hereby
closed.  However, we request that OSWER provide us with a copy of
the final directive and guidance when issued;   Also, the planned
actions need to be tracked in the Agency's Management Audit
Tracking System.
                                8

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:3 5'i-E.i = -... = OV'/E',rA
       WASHINGTON. 0 c. 2046o''
                                   2 I990
 SUBJECT:
FROM:
TO:
                                                        APPENDIX 1
                                                              f of 3
           Don R.  clay
                     Administrator  ^^  -:-
                     sou, Waste
          Kenneth  A.   onz
          Assistant  Inspector General for Audit
                                                Response
                .„„
                                      Mmini,trator for solid
    1.
             ••
                                                          the
                                                   contractor,


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                                                     APPENDIX 1
                                                      Page 2 of 3
                               -2-
 and revisions  by July,  1990.  The draft;win be distributed  for
 comment at  that time.   The  final policy!and guidance should  be
 issued by October,  1990.  The guidance will be issued as an  osw-R
 directive and  will  consist  of the following two parts:

   i)  An opening memo providing guidelines for implementing the
      guidance  for Investigation Derived '• Waste (IDW) management  ir.
      accordance with the National Contingency Plan  (NCP).
                                        i
   2)  An attachment  that relates in detail, guidance for managing
      IDW in accordance  with NCP requirements.  This part involves
      many different regulations relating to hazardous waste
      management and its production, and has accounted for most  of
      the effort to  date.                j

 We will track  the progress  of this process in our milestone
 tracking system.                        :
                                        \
      We agree  that  the  final guidance should also consider the
 public  perception problems  and potential environmental effects
 that  can result from improper disposal  of wastes, but we would
 like  to clarify how these issues are actually managed in the
 field.                                  ;

      Regarding concern  for  environmental! effects,  our research
 for the  IOW guidance has found that compliance with Applicable or
Relevant and Appropriate Requirements (ARARs)  requires the removal
of  IDW  for  off-site  disposal  at a  small percentage  of  sites.
Therefore, the guidance will  often recommend IOW be left on-site
 in a prescribed manner.  IOW will require removal in the  relatively
 few cases that involve  either ARAR compliance, or  where the site
manager  judges that  leaving  wastes on-site  will  significantly
 increase the potential  threat to human  health or the environment.
The primary factor governing cost* and problems associated with  IDW
management  involves whether the IOW should remain on-site or  be
taken off-site by EPA.   The  decision to  remove IDW from a site will
trigger  significant costs  regardless of the type  of wastes (i.e.
RCRA  hazardous or non-hazardous).   In most cases,  such a  removal
provides  neither   environmental  nor   health  benefits  and  may
constitute up  to 20 percent of the totalisite inspection costs.

     when developing a  workplan for,a  site  inspection, community
relation aspects  are  always given  consideration.   Management of
low does net provide an exception to this rule.  The factors that
create th« most public  pressures associated with IOW management
                               10

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                                                       APPENDIX 1
                                                        Page 3 of 3
                                 -3-     [

  involve:   1)  sites., where  Potentially Responsible Parties  (PR?)
  object to returning soil and water IDW to the  area of origin
  (i.e.,  on-site)  and,  2)  sites with high .public visibility such as
  a  site located  in  a  residential  neighborhood.  From experience,
  the  cases involving PRP objections account for a majority of the
  pressures to remove IDW from a site.  'At this  stage  of policy
  development, we  feel  that many PRP objections  do net justify the
  expense associated  with  IDW removal.   High public visibility car.
 present a significantly different situation and the  implementation
 policy will  provide recommendations  foe  addressing both  of  the
 above cases.


                                         !
      Thank you  for the  opportunity  to provide OSWER's comments  on
 this  draft OIG report.   If your staff has any questions,  please
 have  then  contact Jose  Acevedo,  OSWER Audit Follow-up Coordinator
 at 382-4510.                             •           "

cc:   Mary Cade                           i
     Phyllis Anderson
     Thad Juszczafc
     Joonsie Webster
     Jose  Acevedo
    Jia Haas
    Steve  Tiber  (PM-219)
                            11

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                                                       APPENDIX 2
                     DISTRIBUTION OF REPORT
Inspector General  (A-109)
Assistant Administrator for Solid Waste and
     Emergency Response (OS-100)
Comptroller (PM-225)
Agency Followup Official (PM-225)
     ATTN: Director, Resource Management Division
Agency Followup Official (PM-208)
Associate Administrator for Regional Operations
     and State/Local Relations (H1501)      |__
Associate Administrator for Congressional and
     Legislative Affairs (A-103)
Associate Administrator for Communications and
     Public Affairs (A-100)
Regional Administrators
                                12

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