United States
             Environmental Protection
             Agency
                Office of
                Solid Waste and
                Emergency Response
   ft EPA
DIRECTIVE NUMBER:   9541.00-15

''' "•  Guidance on Delegation of Authorization Decisions,
       Including Issues of National Significance
               APPROVAL  DATE:   December 20, 1991

               EFFECTIVE  DATE:   December 20/1991
ORIGINATING  OFFICE:
                  FINAL
                                   Permits and State Programs
                                    Division, Office of Solid Waste
                  DRAFT

                     STATUS:
               D   A - Pending OMB Approval
               G   B - Pending AA-OSWER Approval
               REFERENCE  (Other Documents):
                 Supplements 9545.00-6A "RCRA. Program Evaluation Guide"
OSWEP
  OSWER
OSWER
OSWE
  DIRECTIVE     DIRECTIVE      DIRECTS

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*± ^f^m. United States Environmental Protection Agency 1 . Directive Number
•Sb^RtX Washington. DC 20460 .. , c
«*t=rM OSWER Directive Initiation Request 9541.00-15
2. Originator Information
Name of Contact Person Mail Code Office
Karen Morley OS-342 stc

P&uiu.U> * Telephone Code
ite Programs Div.
260-4180
3. Title
Guidance on Delegation of Authorization Decisions, Including Issues of
National Significance
4. Summary of Directive (include brief statement of purpose)
This guidance discusses the roles of the Regions and Headquarters during
delegation, describes oversight of the pilot program, and provides guidance
nationally significant issues.
on
5. Keywords
delegation/authorization/state programs
6a. Does This Directive Supersede Previous Directive(s)?
_XN°

b/Does It Supplement Previous Directive(s)?
NO j

7. Draft Level
A - Signed by AA/DAA jj B - Signed by Office Director

Yes What directive (number, title)

- Yes What directive (number. title)954
ECRA Program jsvaluat

C - For Review & Comment D


8. Document to be distributed to States by H

eadquarters? X Yes K


This Request Meets OSWER Directives System Format Standards.
9. Signature of Lead Office Directives Coordinator—^ • __

Date /
5.00-6A
ion Guide
- In Development

lo


2-
T
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  ,10 Sr,,

 '
               UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
                          WASHINGTON. D.C. 20460
                                               SOLID WASTE ANDEUEPG£\CV "ESPONSE
                           ,.1-i«- X (.' .  (Ml |

 MEMORANDUM


 SUBJECT:   Guidance on Delegation of Authorization Decisions,
           Including Issues of National Significance

 FROM:      Sylvia K.  Lowrance,  Directo^^ ^ '£ . A—-  - *
           Office of Solid Waste

 TO:        Hazardous Waste Management Division Directors
           Regions I-X


     Attached  is the guidance  on delegation of authorization
 decisions  referenced in  the March 11,  1991 memorandum from Don
 Clay and Don Elliott to  the Regional Administrators announcing
 the pilot  delegation of  RCRA Subtitle C State program revision
 authorizations to the Regions.   This guidance discusses the roles
 of the Regions and Headquarters  during delegation,  describes
 oversight  of the pilot program,  and provides guidance on
 nationally significant issues.

     As the March 11  memorandum  stated,  the success of this
delegation is dependent  upon all of us taking our
 responsibilities seriously,  and  we  believe this guidance will
help clarify those  responsibilities.   We also recognize that
authorization is a dynamic  process,  and since.this  delegation
represents a new approach  for  both  the Regions and  Headquarters,
we will review and add to  this guidance as we all gain experience
with the process.

Attachment

cc:   Bruce Diamond, Director,  OWPE
     Susan Bromm, OWPE
     Lisa  Friedman, OGC
     Tina  Kaneen, OGC
     Hazardous Waste Management  'Branch Chiefs,  Regions I-X
     Authorization Section  Chiefs,  Regions I-X
     Dev Barnes,   PSPD
     Branch Chiefs, PSPD
     Branch Chiefs, OWPE
     ORC RCRA Branch Chiefs, Regions  I-X
                                                       \-L Pnntec C" ««•;.: fC Paoer

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                                      OSWER DIR. NO. 9541.00—15
        GUIDANCE ON DELEGATION OF AUTHORIZATION DECISIONS


     Effective March  11,  1991, the Office of Solid Waste and
Emergency Response (OSWER) delegated the responsibility for RCRA
Subtitle C State program  revision application reviews and
authorization decisions to the Regions on a two-year pilot basis
(see the March 11, 1991 memorandum).  This document discusses the
roles of the Regions  and  Headquarters during delegation,
describes oversight of the pilot program, and provides guidance
on nationally significant issues.

Former Authorization  Application Review Process

     Under the former program revision process, concurrent
Headquarters and Regional review was required for draft
applications, official applications, and Federal Register
notices.  This process is described thoroughly in the State
Authorization Manual  (SAM).  The dual review process was set up
to minimize the risks of  authorizing deficient State programs and
to ensure national consistency.  These goals have been largely
met but at a cost of  considerable tension in relationships
between Headquarters  and  Regions and Regions and States.  Much of
the tension stems from duplicative Headquarters and Regional
application reviews and the Regions* inability to publish an
authorization decision in the Federal Register without
Headquarters' approval.   Authorization problems resulting from
duplicative reviews include:

  1. Delays and inefficiencies in the authorization process.

  2. New issues discovered after the first review of the
     application and  revisiting previously resolved issues.

  3. Headquarters' reviews perceived as second guessing of
     Regional decisions.

  4. Headquarters' constraints on issuing timely authorization
     guidance because of  time spent on detailed reviews.

  5. Confusion over Headquarters' role during ten day
     consultation period  and delays in publishing FR notices.

     The RCRA Implementation Study (RIS) noted this tension and
stimulated Don Clay's commitment to make the authorization
process easier.  Therefore, on March 11, 1991, Headquarters
delegated to the Regions  the responsibility for reviewing and
authorizing State program revision applications on a pilot basis.

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 Tvo-Year Pilot Delegation

 Scope

     Regions  are  responsible  for program revision review  and
 authorization on  a two-year pilot basis.  Headquarters review and
 concurrence is still required, however, for States and Indian
 Tribes  applying for base RCRA program authorization.  The Regions
 are responsible for maintaining an effective authorization
 decision process, including explaining decisions to the public
 and oversight bodies.  They will ensure national consistency in
 delegated decisions by raising and documenting the resolution of
 nationally significant issues as well as ensuring that all
 decisions adhere  to national  authorization regulations, guidance
 and policies,.

     Under the pilot delegation, Headquarters involvement in the
 application review process for program revisions is limited to a
 consultation  role on nationally significant issues and to
 providing technical assistance to the Regions.  Regions will send
 authorization  Federal Register notices and charge back forms
 directly to the Regulation Management Branch at EPA Headquarters,
 with a  copy of the Federal Register notice to the State and
 Regional  Programs Branch (SPRB) in OSW.

 National  Authorization Goals
              4
  o  Ensure the quality of State authorization decisions

  o  Encourage  delegation of  the hazardous waste program to the
     States by  working with the States to adopt current hazardous
     waste regulations and enhance the States' capability

  o  Promote a  consistent,  effective RCRA program across the
     nation

Delegation Goals

  o  Streamline the authorization process

  o  Reduce duplication of effort by Headquarters and Regions in
     the authorization process

  o  Clarify roles and responsibilities of Headquarters and
     Regions

  o  Move authorization decisions closer to the source of the
     applications

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                                     OSWER DIR. NO. y34l.UU—
Role of EPA Regions During Pilot

     The Regions will work with the States to enhance the States'
capability for authorization and to develop State regulations and
authorization applications.  The following areas are of special
significance.

Issues To Be Raised to Headquarters

     The Regions may still consult with Headquarters on specific
issues and obtain technical and legal assistance.  The Regions
will also provide certain information to Headquarters to maintain
national authorization records.  In addition, in order to
maintain a nationally consistent authorization program, Regions
will raise to Headquarters' attention issues of national
significance.  At the time of each authorization decision, .the
Regional Waste Management Division Director must certify that all
nationally significant issues have been raised to Headquarters.
This certification must accompany the Headquarters (SRPB) copy of
the FR approval notice.  The Office of Regional Counsel will
provide assurances to the Regional Administrator that all legal
issues have been reviewed and satisfactorily addressed.
Attachment 1 contains guidance on nationally significant issues.
Attachment 2 provides model Division Director certification
language.
                                               »
     In addition to raising nationally significant issues,
Regions need to inform Headquarters of:

  o  The discovery of problems which arise after the application
     is approved;

  o  A substantial change in a State's capability which brings
     into question its ability to implement an effective program;

  o  Actual or threatened lawsuits over approved State
     regulations or authorization decisions;

  o  Substantial public controversy over an aspect of the
     application; and

  o  Errors in Federal Register notices.

Timely Authorization of Qualified States

     Another prime responsibility for the Regions is the timely
authorization of qualified States.  To achieve this Regions must:

  o  Work with the States to enhance their capabilities to
     maintain quality programs and assume additional
     responsibilities;

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   o  Ensure that qualified States  submit  authorization
      applications in accordance  with  established deadlines;  and

   o  Recognize authorization  problems and resolve them
      expeditiously.

 State Enhancement and Authorization Plan

      Each  Region must also prepare and submit  to Headquarters  an
 annual "State  Enhancement  and Authorization Plan."  The  first
 plans are  due  to Headquarters as part of  the Region's  Beginning
 of Year Plan required by the  FY  92 RCRA Implementation Plan.
 These plans are due  to Headquarters by August  15,  1991.  The
 State Plan will outline the Region's  activities  for  building
 State capability and advancing authorization.  These plans should
 indicate how work will be  shared between  the States  and  Regions
 and how this sharing will  contribute  to the States'  ability to
 become authorized for the  provisions  subject to  work sharing.

      Regions should  use these plans as  a  tool  to encourage
 unauthorized States  to become authorized  and authorized  States to
 adopt program  revisions as  quickly as possible.   The plans should
 highlight  those revisions  such as  corrective action  and  the land
 disposal restrictions that  are fundamental to  a  comprehensive
 hazardous  waste management  program.  They should further
 emphasize  State adoption of non-HSWA  requirements  and  those
 optional rules  which would  improve the  operation of  State
 programs.   Two  rules in particular which  fit this  category are
 the permit modification (53 FR 37912, 9/28/88) and the interim
 status  changes  rule  (54 FR  9696, 3/7/89).  These rules provide an
 improved process  for assimilating the expanding  hazardous waste
 universe (e.g.,  new  waste  listings, new processes) and will also
 expedite changes  at  facilities to provide new  capacity and
 accommodate  corrective action.   In addition, adoption  of the
 permit  modification  rule would make implementation of  the new
 Toxicity Characteristic Rule  easier by  shortening  the  period of
 dual  EPA/State  regulation.

      The State  Plan  should  specifically .address  each individual
 State's  progress  in  achieving authorization to date.   The Plan
 should  identify the  problems  (e.g., statutory/regulatory change
 issues,  capability concerns)  the State  is having achieving
 authorization.   Finally, the  Plan should  come  up with  a  solution
 for getting  each  State authorized for all key  components of the
program  as soon as possible (especially for the  non-HSWA
 requirements).   We encourage  the Regions  to be creative  in
working  on the States' problems  and developing solutions.
Possibilities include:   working to change a State's unwieldy
permit approval process, developing capability or  resolving
problems blocking authorization  (such as  high  staff  turnover
rates), using IPAs or SWAT teams, and providing  additional

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                                              ISO.
training.  Ranking of activities may be necessary where there are
numerous authorization issues and problems.

state Oversight Tools and sanctions

     The Regions should employ the appropriate oversight tools
and sanctions to achieve quality State performance and timely
submission of authorization applications.  EPA's Policy on
Performance-Based Assistance. (May 31, 1985), establishes
"differential oversight" as an effective tool for sanctions and
rewards for State programs.  Regional actions to address State
problems may range from providing technical assistance, and
increasing oversight frequency to using grant sanctions.  Actions
taken by the Regions should be appropriate to the nature and
severity of the State's performance problem.  For further
guidance on Regional response actions, please see page 36 of the
RCRA Program Evaluation Guide. (OSWER Directive 9545.00-6A),

Maintaining Authorization Administrative Records

     Regions will be expected to maintain authorization
administrative records that adequately document the basis of
authorization decisions.  Authorization administrative records
should provide sufficient information to allow the Regions to
respond fully and in a timely manner to inquiries from Congress
or the public.  These records will also serve as the basis of the
Agency's defense if anyone challenges the Agency's authorization
decision.  In addition, these records must be readily accessible
to Headquarters staff during reviews, and be easily transferable
to new Regional staff.

Maintaining Regular Communication with Headquarters

     Regions are also expected to maintain regular communication
with Headquarters.  Regions should provide brief write-ups of
significant national and Regional authorization issues and steps
taken to resolve them; actively participate in the monthly
conference calls; and participate in and encourage new staff to
attend Headquarters sponsored authorization training.

     As in the past, the Regions must send copies of each State's
grant work program to the Chief,  SRPB, after negotiation and
execution of the grant award document by the Region.

Authorization Tracking System

     Accurate and frequent updating of the forthcoming
authorization tracking system will be an important Regional
function to not only ensure that Headquarters is fully aware of
Regional activity, but to enable Headquarters to respond to
inquiries from Congress and oversight agencies.  Two types of
data in particular will be required:  first, regular

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                                      OSWER DIR NO. 9541.UO—13
 authorization status  information,  and  second,  information on  what
 regulations  States  have  adopted but  for which  they  have  not yet
 been  authorized.  Regions will be  expected  to  input data into a
 tracking  system  in  a  timely manner.  Specific  guidance on the
 tracking  system  will  be  provided in  a  future guidance document.

 Role  ef EPA  Headquarters in Pilot  Delegation

      The  role of EPA  Headquarters  in the program  revision process
 during the pilot delegation will include oversight  and evaluation
 of the pilot,  tracking authorization of States, training,  and
 technical assistance.

      Headquarters will oversee the Regional authorization process
 in order  to:

  o   Ensure  national  consistency

  o   Ensure  the  Region's ability to  enhance authorization
      potential of States

  o   Ensure  the  Region's ability to  authorize  quality
      applications in  a timely manner

  o   Provide  the Regions with current  national guidance

      Headquarters oversight role includes working with the
Regions to resolve  nationally significant issues  in a timely
manner and keeping  the Regions abreast of nationally significant
 issues in other Regions.

Evaluating Regional Performance

Headquarters  reviews will evaluate Regional performance  by:

  o   Conducting reviews  of authorization programs (similar to
      permit quality reviews) at least  once a year by interviewing
     Regional staff, reviewing the completeness of  authorization
      files and selecting approved  applications to review;

  o  Reviewing and evaluating the  implementation  of State
      Enhancement and Authorization Plans; and

  o  Attending end-of-year and mid-year State  reviews as
     appropriate.

Tracking Authorization Status

     Headquarters will track the status of authorization
application reviews and  Regional and State authorization
decisions.  The tracking system will be used to respond  quickly
to authorization inquiries from Congress and others.  The FY  92

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                                    OSWER DIR NO. 9541.00—15
RIP includes a STARS measure requiring submission of information
on authorization progress.  This measure will provide a means to
determine the relative progress of the States in achieving timely
authorization, taking into account each State's status at the
beginning of the pilot.

Providing Technical Assistance and Training

     In addition, Headquarters will continue to conduct
authorization training courses and provide technical assistance
to the Regions and States.  Regions may request assistance with
developing regulations, preparing or reviewing application
components, or conducting specialized training.  Headquarters
will continue to develop national policy and issue guidance on
authorization and implementation issues, including regular
updates to the State Authorization Manual, and to revise the
authorization process based on recommendations from the RCRA
Implementation Study (RIS).  To the extent feasible, Headquarters
will also provide a national contract vehicle which Regions may
fund to assist Regions with regulation reviews.

Evaluation of Pilot Delegation

     Headquarters will evaluate the pilot through on-site
reviews, review of annual State Enhancement and Authorization
Plans and accomplishments, and STARS data.

     In evaluating Regional performance, Headquarters will look
for specific indicators of high performance and low performance.
Examples of high performance by a Region could include:
authorization of key components of the program; high quality
State Plans that are effectively implemented; approved State
applications address all Regional comments; and expeditious
attempts to correct any problems identified in authorization
decisions.  Low Regional performance examples could include: lack
of demonstrable progress authorizing States for key components of
the program (especially non-HWSA requirements); failure to
develop or execute designs to improve State capability; and
incomplete or disorderly Regional files.
     At the end of the two-year pilot, Headquarters will decide,
based on a review of each Region's authorization performance,
whether the delegation should be continued/expanded, either  in
full, in part, or by extending the pilot, or decide whether  an
alternative authorization process should be developed.

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                                             .  iMU.
                           ATTACHMENT 1

                 ISSUES OF NATIONAL SIGNIFICANCE

     Effective March 11, 1991, Headquarters delegated the
responsibility for RCRA Subtitle C State program revision
application review and authorization decisions to the Regions on
a two year pilot basis.  Delegation of this authorization
responsibility to the Regions is, in part, contingent on Regional
commitment to raise issues of national significance to
Headquarters on a timely basis.  Headquarters needs to be
apprised of these issues to ensure national consistency in our
authorization decisions.  To that end, you will be certifying
prior to the Regional Administrator approving an application that
national issues have been brought to Headquarters' attention.

     This memorandum broadly outlines potential issues of  -
national 'significance to assist the Regions in identifying such
issues.  It should be noted,  however, that this guidance cannot
and does not attempt to present an inclusive list of nationally
significant issues.  Many of the issues that arise in a revision
application are being seen for the first time and -increased
Regional alertness to the potential national impact of all issues
is critical.  Regions should err on the side of prudence in
raising issues to Headquarters during the pilot period.   In
general, Regions should consult with Headquarters prior to
deviating from national authorization guidance, including that
for capability assessments.  A list of recent major authorization
guidance documents is attached.

     The following issues should also be raised to Headquarters'
attention:

     Regulations,  procedures  or agreements that alter the
     fundamental relationship between EPA and the State.   A
     recent example is an MOA proposed by a State which would
     have severely limited EPA's oversight and enforcement
     responsibilities.

     Possible  violations of Section 271.4 consistency criteria.
     Areas  of  concern include State laws, regulations or
     administrative actions which result in waste importation
     restrictions,  facility siting restrictions,  and bans on
     treatment,  storage,  and  disposal methods.   Note that these
     affect the.continued authorization .of .a.State as well as
     their  ability to receive additional program approvals.

     Questionable  State Authority.   The Region should alert
     Headquarters  prior to approving revisions for which the
     underlying  statutory authority is unclear.

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                                     OSWER LUK.
     Lack of State capability which brings into question  its
     ability or willingness to enforce its regulations.   An
     example of this would be a State program which lacks the
     ability to effectively collect penalties, either
     administratively or judicially, for violations of its
     regulations.

     Adoption of regulations that are not clearly equivalent or
     more stringent on their face.  Headquarters should be
     consulted when a State adopts regulations that are not
     equivalent or more stringent on their face, and the Region
     proposes to authorize based on those regulations.

     Substantial statutory/regulatory revisions that
     significantly change the State's existing hazardous waste
     program.  This situation could occur when a State
     legislature or agency significantly revises the statutory or
     regulatory authority for the State's currently authorized
     hazardous waste regulations and those revisions would result
     in such substantial modifications to the State's authorized
     program that continued authorization of the State could be
     in jeopardy.

     We have also encountered three specific program areas which
raise difficult authorization issues that should be brought to
Headquarters' attention:

     o Mixed Waste.  Guidance on Mixed Waste is found in
     Appendix N of Volume II of the State Authorization Manual
     (SAM).   Approvals of provisions that deviate from that
     guidance should be brought to Headquarter's attention.   The
     Regions should be especially careful in the following areas:
     ascertaining that the State has adequately documented
     (through an MOU)  the roles and responsibilities of the
     State's hazardous waste and radiation protection agencies
     when sharing mixed waste inspection activities; ascertaining
     that the State does not attempt to regulate the radioactive
     component of mixed waste under its hazardous waste
     authority.

     o 3006ffl.   Approvals of 3006(f)  availability of information
     (FOIA)  provisions that deviate from the guidance of July 23,
     1986,  and August 22,  1986 (OSWER DIRECTIVE #9541.00-1)
     should  be brought to Headquarters'  attention.  Examples of
     problem areas are found in the March 8,  1990 Summary of RCRA
     3006(f)  Issues,  which describes the difficult areas
     identified to date and explains how EPA has responded to the
     State  FOIA provisions that deviate from the EPA guidance set
     out in  the guidance documents noted above.  All these
     documents are found in the SAM, Vol. II, Appendix N.

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     o Delisting.  Delisting requires Headquarters consultation
     to facilitate national coordination of delisting procedures
     and petitions.  The Region should notify OSW (Robert Kayser,
     Chief, Delisting Section, FTS 382-4770) if a State applies
     for authorization to administer the delisting program.  This
     will also facilitate the transfer of all pending petitions
     to the newly authorized State for further action.

     Again, the above list is not exhaustive.  We will issue
additional guidance as needed as we and the Regions gain
experience with delegation.

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                                          LU.K.
              STATE AUTHORIZATION GUIDANCE DOCUMENTS


State Consolidated RCRA Authorization Manual  (SCRAM),  (9540.00-9,
1988, as revised)

State Authorization Manual, Volumes  I and  II  (SAM),  (9540.00-9A,
October 1990)

Capability Assessment Guidance  (April 9, 1987-currently being
     revised)

Enforcement Response Policy (Revised December 21,  1987)

RCRA Program.Evaluation Guide  (Revised July 1988)

RCRA Quality Criteria (Revised July  1986)

Policy of Performance-Based Assistance  (May 31,  1985)

Program Implementation Guidance:

     PIG 84-1  5/21/84   No EPA enforcement in authorized States
                         for broader in scope provisions

     PIG 82-5  8/09/82   States may  issue  State  permits

     PIG 82-4  5/25/82   Delisting not required  for State
                         authorization

     PIG 82-3  5/17/82   EPA enforces only those State
                         regulations in effect at  time of
                         violation

RCRA Reauthorization Statutory Interpretations

     RSI #5    7/01/85   Joint Permitting  in authorized States

     RSI #4    5/16/85   Effect of HSWA on State delisting
                         decisions

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                                       ObWEK D1R. NO. 9541.00—15
                           ATTACHMENT 2

                           CERTIFICATION
    REGIONAL WASTE MANAGEMENT DIVISION  DIRECTOR  CERTIFICATION

    • I certify that all issues of 'national  significance  regarding
(State X's) program revision authorization  application for
Checklist numbers 	 [Add non-checklisted provisions as  well,
if appropriate; for example, Mixed Waste, Availability of
Information] have been raised to the appropriate officials at
Headquarters.
                    Regional Waste Management Division D'irector

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