EPA540-R-93-068
                      9200.0-14-2
                      PB93-963295
SUPERFUND ADMINISTRATIVE
       IMPROVEMENTS

         FINAL REPORT
          JUNE 23, 1993

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                                                     June 23,  1993
              SUPBRFUND  ADMINISTRATIVE  IMPROVEMENTS
                         TABLE OF CONTENTS
 I.    NEW AND ENHANCED INITIATIVES
 A.    Enhance Enforcement Fairness and Reduce Transaction Costs
      1.    Greater Use of Allocation Tools  	  3
 t     2.    Foster More Settlements with Small Volume
           Waste Contributors   	  8
0,     3.    Greater Fairness for Owners at Superfund Sites ... 11
      4.    Evaluate Mixed Funding Policy  .  .  	 14

 B.    Enhance Cleanup Effectiveness and Consistency
      5.    Streamline and Expedite the Cleanup Process  .... 17
      6.    Develop Soil Trigger Levels  	 25

 C.    Enhance Meaningful Public Involvement
      7.    Implement an Environmental Justice  Strategy for
           Superfund Sites  	  .27
      8.    Early and More Effective Community  Involvement ... 31

 D.    Enhance State Role
      9.    "State Deferral" of Certain Site  Categories  .... 33

 II.   CONTINUING MANAGEMENT AND ENFORCEMENT  INITIATIVES
      10.  Superfund Accelerated Cleanup Model (SACM)  	 37
      11.  Construction Completions 	 38
      12.  Contracts Management 	 40
      13.  Enforcement First	42
      14.  Accelerate Cleanup at Base Closures	43
      15.  Promote Use of Innovative Technology 	 46
      16.  Compliance Monitoring  	 49
      17.  Improve the Effectiveness of Cost Recovery 	 50

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                                                     June  23,  1993


              SUPERFUND ADMINISTRATIVE IMPROVEMENTS
INTRODUCTION

     Superfund, the nation's hazardous waste cleanup program,  is
now more than 12 years old.  After 12 years, we have made
significant progress in reducing the risks posed to human health
and natural ecosystems.  As a result of Superfund, the people  of
the United States have received many benefits including the
elimination of the most serious health threats at contaminated
sites, the restoration of sites to productive use, advances jui
cleanup technology, and reformation of corporate and municipal
behavior towards the generation, disposal, and cleanup of
hazardous wastes.

     However, EPA recognizes that certain aspects of the
Superfund program have also generated criticism.  Specific
criticisms focus on the pace and cost of cleanup, the degree to
which sites are cleaned, the fairness of the liability approach,
the role of States in the process, and the role of local
communities, particularly disadvantaged communities.

     This point in Superfund history presents the Clinton
Administration, Congress, EPA, and the public an opportunity to
evaluate how the program has worked over the last dozen years  and
to make changes that will improve Superfund in the future.  The
Agency is committed to making such changes, whether they are
administrative changes which can be implemented by EPA on its
own, or legislative changes that must be enacted by Congress.

     To explore potential initiatives for making administrative
improvements to Superfund, an Agency-wide task force was
established, the Superfund Administrative Improvements Task
Force.  Representatives from the Office of Solid Waste and
Emergency Response (OSWER), the Office of Enforcement (OE),  the
Office of General Counsel (OGC), the Office of Policy, Planning
and Evaluation  (OPPE), the Office of Administration and Resources
Management  (OARM), the Office of Research and Development (ORD),
Region 2, Region 5, Region 9, and the Department of Justice (DOJV
participated in preparing and reviewing this  report.  Task Force
members met with many people, both inside and outside the
Agency, to develop options for consideration.

     To oversee all Superfund administrative and legislative
issues, the Administrator established a Superfund Steering
Committee,. chaired by the Deputy Administrator, Robert Sussman.
The Steering Committee  includes senior officials from OSWER, OE,
OGC, OCLA, OARM, ORD, OPPE and Region 2, Region 3, Region 6 and
DOJ.  The Task  Force recommendations were reviewed by this
Steering Committee  which then advised the Task Force on the

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                                -2-                  June 23,  1993

appropriate  initiatives  to  adopt.   The results of the Steering
Committee and Task  Force efforts are  reflected in this report.

     This report focuses on administrative improvements to the
Superfund program.  It considers the  issues of most concern to
the Administration, Congress, and  the public.   The improvements
included in  this report  can be  achieved without changing the
statute.  Priority  was given to actions which  can be implemented
before September 30, 1994,  when the current Superfund legislation
expires.

     Within  that framework,  the Task  Force  looked at Superfund
administrative improvements  which:  (a) enhance  enforcement
fairness and reduce transaction costs;  (b)  enhance  cleanup
effectiveness and consistency;  (c)  enhance  meaningful public
involvement; and (d) enhance the State  role  in the  Superfund
program.   These new and enhanced initiatives are discussed in
the first portions of this document.

     In addition,  several significant initiatives were already
underway in the program.   These continuing management and
enforcement initiatives have improved the efficiency,
effectiveness and fairness of the Superfund program.  The
continuing efforts already underway in the Agency are discussed
in the latter portion of  this report.   Changes to the current EPA
Superfund removal  effort  were not evaluated in the Task Force
deliberations.   This effort is one  of the most successful
components of the  Superfund program.

I. NEW AND ENHANCED  INITIATIVES

     The various initiatives identified can be categorized as
follows:

     o    Enhance  enforcement fairness and reduce transaction
          costs
               Greater  use of allocation tools
               Foster more small volume waste contributor
               settlements
               Greater  fairness for owners at Superfund sites
          -    Evaluate mixed funding  policy

     o    Enhance  cleanup effectiveness and consistency

               Streamline and expedite the cleanup process by
               implementing presumptive remedy guidance and a  new
               dense non-aqueous phase liquids (DNAPL) strategy.
               Develop  soil  trigger levels

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                                -3-                   June  23,  1993

     o    Enhance  Public  Involvement

               Implement  an environmental  justice  strategy  for
               Superfund  sites
               Early and  more effective community  involvement

     o    Enhance  State Role

               State "deferral" of certain site categories

     Each initiative is presented, suggestions for short-ter*m and
longer-term actions are discussed, and program implications are
addressed in this  report.  This report contains the
recommendations of the Task Force which have been approved b$ the
Superfund Steering Committee.  The Agency  will begin the
implementation of  these initiatives for program improvement
immediately.

A.   Enhance Enforcement  Fairness and Reduce Transaction Costs

INITIATIVE 1:  GREATER USE OF ALLOCATION TOOLS

Issue

     The Superfund program has been criticized for the high
transaction costs  that are incurred by PRPs in reaching
settlements and in litigating where settlement efforts are
unsuccessful.  Several allocation tools that currently exist
could be used more widely to promote settlement and reduce the
transaction costs  associated with achieving settlement.  These
settlement tools fall into three general categories:   1) tools
that create proposed.allocations; 2) tools that facilitate the
sharing and development of allocation information; and 3)  tools
that provide guidance on  developing allocations.

Approach

A.  Proposed Allocations:  Alternative dispute resolution (AOR)
could be used on a more routine basis to facilitate the process
of allocating responsibility at sites.  AOR involves a neutral
third party who serves, at the discretion  of the parties,  to
organize parties for negotiations (convening expert), facilitate
settlement deliberations  (mediator), and/or provide an opinion to
the parties to a negotiation  (arbitrator).  An ADR professional
may be hired to serve EPA, the. PRPs, or both, to assist in
reaching an allocation of responsibility among the PRPs.  At  its
discretion, EPA may adopt, as its own allocation (or Nonbinding
Preliminary Allocation of Responsibility (NBAR)), the allocation
which is reached through  the ADR process.  An NBAR is EPA's
preliminary nonbinding allocation among PRPs of percentages of
total response costs at a site.  We will be undertaking the
following initiatives:

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                                -4-                  June 23, 1993

      1.  Binding Allocation Pilot Project:  EPA will seek to
 pilot the arbitration of allocation determinations in
 approximately three cases.  In these pilot cases, the allocation
 determination of the arbitrator will be binding on all PRPs
 subject to the arbitration and will be incorporated into
 appropriate settlement documents for the signature of the
 parties.  Further, in this pilot project, the Agency will agree,
 subject to the limitations enumerated in
 5 U.S.C. 5590, to accept the arbitrator's allocation
 determination as the basis of settlement with the PRPs subject to
 fche arbitration.

      At the selected sites, an initial agreement regarding the
>.use of arbitration will be reached between high-level EPA
 officials (including the Deputy Administrator)  and corporate
 officials authorized to speak on behalf of the corporate PRPs.
 The corporate officials will be informed that the Agency will
 establish, with the assistance of PRPs,  an arbitration to
 determine the allocation of costs among a group of PRPs
 identified by the Agency.   The Agency will make every effort to
 identify and include the largest number of viable PRPs in the
 group subject to the arbitration.  To facilitate the selection of
 an arbitrator, EPA will provide a list of approved third-party
 neutrals from which the PRPs may select their preferred
 arbitrator.

      The arbitrator will be provided a specific time period  in
 which to reach an allocation determination.   The Agency will
 expeditiously provide the arbitrator with allocation-related
 information in its possession, consistent with EPA's information-
 release policy (see below), and all PRPs will be encouraged  to
 provide relevant information for the arbitrator's consideration.
 Procedures for operation of the arbitration will be provided by
 the Agency.

      2.  Demonstration Projects Utilizing ADR and,  where
 appropriate, NBARs:  Over the next 12 months,  approximately  20
 sites with upcoming RD/RA negotiations (and additional cost
 recovery cases and removal action negotiations as appropriate)
 will be identified at which ADR will be offered to facilitate PRP
 allocation deliberations.   The ADR professional will be available
 for the sole purpose of facilitating the attainment of an
 allocation agreement among the PRPs.  EPA's ADR Liaison will
 provide support to Regional staff in identifying appropriate
 candidate cases.  Where possible^and appropriate,  EPA may prepare
 or adopt NBARs to. help promote settlement at the demonstration
 project sites.

      At those sites which are selected as demonstration projects,
 the Agency will, subject to available HQ funding,  offer the
 following three step process.  First, the PRPs will be provided
 with the services of an external neutral ADR professional,

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                                -5-                   June  23,  1993

initially funded  by  the Agency, to assist  in  PRP  organization and
the convening of  settlement negotiations,  including  the selection
of an appropriate mediator if requested by the parties.   Second,
if requested by the  PRPs, the Agency will  initially  fund  a
portion of the costs of neutral mediator services utilized by the
PRPs to arrive at an allocation agreement.  The mediator  selected
by the PRPs will  be  expeditiously provided information known  to
the Agency regarding the waste disposed of at the site and PRP
practices, and the PRPs will be encouraged to provide any
additional information they deem relevant.  A specific timetable
will be provided  to  the PRPs by EPA for conclusion of the
mediation process.

     Third, if no agreement is reached among the  PRPs at  the*" end
of the specified  period following initiation of mediation, EPA
may, at its sole  discretion, establish a nonbinding arbitration
to develop a proposed allocation for the consideration of the
PRPs and EPA.  The PRPs will be encouraged to participate in the
funding of arbitration services.  The Agency will expeditiously
provide the arbitrator with allocation-related information in  its
possession, consistent with EPA's information-release policy,  and
all PRPs will be  encouraged to provide relevant information for
the arbitrator's  consideration.  The arbitrator will be provided
a finite period of time to develop an allocation proposal for the
consideration of  the  PRPs and EPA.  If the PRPs refuse to accept
the proposed allocation,  EPA may,  where possible and appropriate,
prepare an NEAR or adopt the arbitrator's proposal as EPA's own
NEAR; EPA may also proceed with partial settlements and/or issue
unilateral administrative orders and/or proceed with Fund-
financed response action.

     3.  In conjunction with the two efforts identified above,
EPA will perform  outreach to the regulated community on the use
of ADR techniques to  support the resolution of Superfund actions.
A workshop on the use of ADR in Superfund actions will be
convened in November  1993.  The workshop participants will
include representatives from the regulated community, ADR service
providers, and Agency and DOJ staff.   The workshop will explore
options for expanding and institutionalizing the use of ADR
techniques into the  Superfund enforcement process.

B.  Information Sharing:   EPA has recently issued a new policy
that encourages the  sharing of information on allocation and
liability issues  with identified PRPs early in the Superfund
process.  Specifically, the policy provides that "information on
PRP waste contribution at CERCLA sites normally should be made
available to all  PRPs as soon as practicable,  preferably well
before special notice is issued."  The policy details the
specific types of information (e.g.,  waste tickets,  logbooks,
billing records)  that should be provided, and expresses a
preference in favor  of release even where the information is
potentially subject  to claims of privilege or FOIA exemptions.  A

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                                -6-                  June 23,  1993

 follow-up memorandum will  be issued indicating AA-level support
 for sharing this  information with PRPs,  as well as referencing
 the Agency's  intent  to  assist PRPs in  follow-up information
 gathering activities where appropriate.   Further,  a concerted
 effort will be made  by  the Agency to ensure that the information-
 release policy is uniformly and promptly implemented by the
 Regions.

 C.  Allocation Guidance:   EPA will prepare a guidance identifying
 factors to consider  when allocating response costs among PRPs,
 including in  situations where there is an absence  of volumetric
 information.  These  factors  would  be employed  by the Agency and
 could be employed by" PRPs  in reaching allocation decisions.   The
.guidance could address allocation  issues  such  as the relative
 importance of toxicity and other waste characteristic factors in
 determining allocations of responsibility.   EPA  will review the
 results of the Clean  Sites "Common  Law of  Allocation"  to ensure
 that all relevant factors utilized  in prior  allocations  are
 considered.  The experience  gained  in the  AOR demonstration
 projects highlighted  above will also serve as an information  base
 for this project.  In addition, EPA will prepare a white paper
 that will analyze: 1) the number of sites where  volumetric
 information is available; 2) the sites where the functional
 equivalent of an NBAR has been performed  (e.g., volumetric
 allocations in the form of a waste-in list or transactional
 database); and 3) allocations and settlements that resulted from
 the development and release of such information.

 FY93 ACTION ITEMS

 Action                                  Complete

 Issue follow-up memorandum              7/93
 regarding information release and
 assistance to PRPs in follow-up
 information gathering activities

 Identify sites with upcoming            8/93
 RD/RA negotiations where ADR
 can be piloted

 Identify and commence                   9/93
 implementation of binding
 allocation at pilot sites

 FY94 ACTION ITEMS.

 Action                                  Complete

 Implement binding allocation  and        Ongoing
 ADR at pilot  sites

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                               -7-                  June  23,  1993

Identify sites with upcoming            Ongoing
RD/RA negotiations where ADR
can be piloted

Conduct a Superfund ADR Workshop        11/93

Prepare white paper on availability     12/93
of volumetric information at sites

Issue guidance                          3/94
identifying factors to consider
when allocating response costs

Program Implications

     It is very difficult given the extreme variance in the
complexity and size of cases to estimate the Agency resources
required to support the binding allocation project and the
additional piloting of the use of ADR for select RD/RA, removal,
and cost recovery negotiations.  Best estimates based upon the
experience of the Agency and private ADR providers are that the
cost to employ an outside neutral party to mediate and render an
allocation determination ranges from $15,000 to $200,000,
depending on the number of parties involved and the condition of
site data.  It is anticipated that the per site cost of using ADR
in pilot cases will average $50,000.  It is anticipated that the
Agency's total share of ADR costs (provision of convening
services and a portion of mediator/arbitrator costs) will average
30-40% of the total ADR costs at a sit^.

     Assisting PRPs in reaching consensus on allocation schemes
is one of the only mechanisms by which EPA can impact the PRPs1
transaction costs associated with CERCLA negotiations.  The
experience of PRPs indicates that the use of ADR professionals to
facilitate PRP allocation deliberations greatly increases the
likelihood of success and reduces PRP transaction costs.  In the
short term, however, additional resources will be required to
perform these demonstration projects.  The additional Agency
resources required to employ ADR techniques to reach allocation
agreements may, in some cases, be offset by savings associated
with more and/or faster settlements and reduced litigation.  An
additional benefit that may accrue from this effort is an
increase in the overall number of parties participating in each
settlement.  EPA does not intend for the use of ADR to delay
cleanup at any site.

     Developing  (and applying) the additional guidance on
allocating, response costs among PRPs may be difficult, given the
complexity of many of the issues involved and their relative
importance at particular sites.  Although the guidance may not be
completed prior to reauthorization, the draft will promote a

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                                -8-                  June 23, 1993

 discussion of the issues,  which may in turn be useful in the
 reauthorization process.


 INITIATIVE 2:  FOSTER MORE SETTLEMENTS WITH SMALL VOLUME WASTE
                CONTRIBUTORS

 Issue

       Small volume waste contributors often complain that they
 are  not  able to settle with EPA until very late in the remedy
 process.   Moreover,  volumetric information (recommended under
 EPA's  pre-existing guidance)  used for establishing eligibility
•>for  a  de minimis settlement is not comprehensive at many sites.
 In addition,  de minimis settlements can be time consuming and
 resource intensive.

     At  several sites,  there are some extremely small  volume or
 "de  micromis" waste  contributors that are  increasingly finding
 themselves subject to lawsuits commenced by major contributors at
 a site ("contribution actions").   The de micromis parties are
 parties  whom,  as a matter  of enforcement discretion, the Agency
 did  not  or would not normally pursue.   De  micromis parties have
 requested EPA assistance in resolving these actions.

     The  Agency has  also found that in resolving the concerns of
 numerous  parties in  a de minimis  settlement, many of the PRPs
 (who may  be small  businesses)  complain t-hat they spend
 substantial amounts  of  money (i.e.,  "transaction costs")  in
 acquiring information about the  Superfund  process  and
 understanding the  terms cf  a  proposed  settlement.   De  minimis
 parties  believe EPA  should  be more  proactive in  communicating the
 de minimis process.

 Approach

     To  encourage  more, early and expedited settlements  and
 reduce the transaction costs  of all parties, the Agency  plans to:
 1) simplify our requirements  for  determining a  PRP's eligibility
 for  a  de  minimis settlement and  streamline the  process for
 settling;  (2)  issue  guidance  to  the Regions on  settling  with
 extremely small volume waste contributors  ("de  micromis  parties")
 while  aggressively moving  to settle with de micromis parties
 subject  to contribution actions;  and 3)  establish a communication
 strategy  to assist small volume waste  contributors in  further
 understanding the. de minimis and  de micromis process.

     The  Agency is implementing  several actions to simplify its
 requirements for determining a PRP's eligibility for an  expedited
 de minimis settlement.  They include:  allowing  Regions to make de
 minimis  determinations based on  an  individual party's
 contribution relative to an estimate of the overall waste at  the

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site; no longer requiring a waste-in list prior to settling;  and
showing an increased willingness to settle with individual  de
minimis PRPs and not solely with de minimis parties as a  group.
In considering such settlements, Regions will make a reasoned
judgement regarding the effect of the settlement on non-de
minimis parties, recognizing that a certain amount of imprecision
is inevitable (particularly in light of the limited amount  of
volumetric information available at many sites).  Detailed
information and extensive supporting documentation are not
necessary for this determination.  These settlements should also
not foreclose the Region's ability to pursue an enforcement*
action against the non-jje. minimis parties to perform or finance
the remedy.
                                                            <»
     To streamline the de minimis process once a party is
eligible for a settlement, the Agency will be developing a  model
payment matrix.   The streamlining will also include standardizing
premiums relative to the scope of our covenant not to sue,  and
authorizing Regions to use estimates of future site costs in
reaching settlements.  EPA and the Department of Justice will
provide for rapid elevation of key decisions regarding the
implementation of the new de minimis procedures.

     In a similar vein, EPA's approach to de micromis parties
will be to quickly establish eligibility for settlement based on
reduced informational requirements.  Unlike the de minimis
discussion above, de micromis settlements will not involve
imposition of a premium or identification of a group of parties
able to perform or finance the remedy.   EPA will be developing a
payment matrix to calculate the appropriate settlement amount.

     The Agency will perform several actions in FY93  and FY94.
In FY93, we will direct the Regions to implement the new de
minimis settlement approach, complete ongoing de minimis
settlements, issue the de micromis guidance,  institute
negotiations with de micromis parties at sites where PRPs have
brought contribution actions against those parties,  and develop a
communication strategy to assist PRPs involved in the de minimis
and de micromis process (the Agency may pilot the use of ADR in
this effort).  EPA expects to complete approximately 15 more de
minirois settlements in FY93 - there are already 12 final
settlements with more than 650 parties this year.   Using the new
criteria, we can start negotiations at several additional sites
this fiscal year.  In FY94, we believe that we can target more
minimis settlements using the new criteria.  We estimate that we
can enter into approximately 35 de minimis settlements.

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                               -10-                  June 23,  1993

PY93 ACTION ITEMS

Action                                   Complete

Inform Regions of new                    7/93
de minimis approach and direct
implementation of new approach

Begin targeting                          7/93
de minimis sites
Using new criteria

Issue de micromis guidance               7/93
4.'
Issue a communication                    7/93
strategy Regions
should follow for
assisting de minimis
and de micromis parties

Complete ongoing                        9/93
FY93 de minimis
settlements at
15 more sites

Identify sites/                         Ongoing
commence negotiations
where de micromis
parties are subject to
contribution actions

FY94 ACTION ITEMS

Action                                  Complete

Identify sites/                         Ongoing
commence negotiations
where de micromis
parties are subject to
contribution actions

Ensure that Regions                     Ongoing
are using the new
communication strategy

Complete approximately 35               9/94
de minimis settlements
using new criteria

Complete settlements                    9/94
with de micromis parties

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                               -11-                 June  23,  1993

Program Implications

     These initiatives will allow more, earlier and expedited cje.
minimis settlements.  They should also reduce the transaction
costs for both the government and de minimis parties.  However,
increasing the number of de minimis settlements and the
completion of de micromis settlements will, in the aggregate,
require a greater allocation of Agency resources which might
otherwise be devoted to cleanup or other enforcement activities.

     These actions, in particular the de micromis initiative*;
will send the message that EPA will act aggressively when other
parties bring nuisance contribution actions against extremely
small volume waste contributors.  The actions will increase %
fairness for small parties.

     Establishing a communication strategy will assist the de
minimis and de micromis parties in a greater understanding of the
settlement process and in the receipt of information.   There
should also be a reduction in transaction costs for those
parties.

INITIATIVE 3:  GREATER FAIRNESS FOR OWNERS AT SUPBRFUND SITES

A.   ISSUE SUPPLEMENTAL FEDERAL LIEN GUIDANCE

Issue

     PRPs have objected that before perfecting a Federal Lien
under CERCLA, EPA does not give property owners sufficient notice
and opportunity for comment.

Approach

     EPA will issue supplemental Federal Lien procedures which
provide a site owner the opportunity to submit information or
meet with the Agency prior to EPA placing a Federal Lien on the
owner's property.

FY93 ACTION ITEM

Action                                  Complete

Issue supplemental guidance             7/93

Program Implications

     Issuance of the supplemental guidance will address concerns
regarding giving owners of property notice and opportunity to be
heard prior to perfecting a CERCLA lien.  It will also increase
the administrative burden (time and resources) associated with

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                               -12-                  June  23,  1993

the perfection of liens and delay  somewhat EPA's perfection of
liens on individual sites.

B.   SETTING A STANDARD FOR "ALL APPROPRIATE INQUIRY11

Issue

     To qualify for CERCLA's innocent landowner defense,  a party
must have undertaken, at the time the land was acquired,  "all
appropriate inquiry into the previous ownership and  uses  of the
property consistent with good commercial or customary practice in
an effort to minimize liability."  EPA has not developed  a
standard for "all appropriate inquiry," but has made
determinations of innocent landowner status site by site.

     Concerns have been raised that the lack of a standard has
created uncertainty and has reportedly led to the following
situations: 1) lending institutions are wary about providing
loans for the purchase of property and accepting property as
collateral; 2) the private sector may be abandoning previously
developed land and developing virgin land; and 3)  businesses may
be paying for inadequate property assessments.

Approach

     After identifying some basic criteria regarding the meaning
of "all appropriate inquiry",  the Agency will examine standards
already developed by private organization^ and other federal
agencies, and evaluate the need for EPA to clarify the
requirements of "all appropriate inquiry" under Section 101(35)
of CERCLA.

FY93  ACTION ITEMS

Action                                  Complete

Identify criteria for                   9/93
evaluating standards developed
by other organizations

Request standards from other            9/93
organizations

FY94 ACTION ITEMS

Action

Decide whether to clarify               12/93
the requirements of "all
appropriate inquiry" under
CERCLA

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                               -13-                 June  23,  1993


If appropriate, clarify                 9/94
requirements

Program Implications

     If EPA were to adopt a standard regarding the meaning of
"all appropriate inquiry", certainty would be provided to persons
(i.e.. individuals, industry, lenders) who want to purchase
property as to the Agency's position on the actions which are
necessary to appropriately inquire into previous uses of   >
property, for purposes of the innocent landowner defense.

     Development of a new standard by EPA might be resource?
intensive.  Adopting a pre-existing standard would save Agency
resources, would be more likely to be embraced by the business
community and would result in more certainty for existing
environmental audits.  At the same time, adopting an Agency
standard might exclude the standards being developed by other
groups or discourage the development of better property
assessment tools.  Recognizing several acceptable pre-existing
standards would help address these issues.  Any EPA standard
might be the subject of disputes.

C.   EXPAND USE OF THE PROSPECTIVE PURCHASER GUIDANCE; DEVELOP
     MODEL PROSPECTIVE PURCHASER AGREEMENT

Issue

     At some NPL sites, prospective purchasers of contaminated
property are willing to conduct or finance some cleanup work in
return for a covenant not to sue from EPA.  Our current policy
restricts the use of these agreements to situations where the
Agency is planning on taking an enforcement action at the site,
and where a substantial benefit (such as payment or performance)
not otherwise available would be received by the Agency for
cleanup of the site by the purchaser.  At sites where these
conditions are not met, cleanups that could be partially
conducted or funded by private prospective purchasers may be left
to EPA to complete.  In effect, contaminated property that could
be put to productive use may remain abandoned for an extended
period.  This problem is of particular concern in some urban
areas.

Approach

We will expand the use of our prospective purchaser guidance to
show greater willingness to negotiate where it will facilitate or
assist in the re-use or development of contaminated or formerly
contaminated property.  Further, EPA will prepare a Model
Prospective Purchaser Agreement to help expedite the approval

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                               -14-                  June 23, 1993

 process.   In addition,  EPA will  evaluate the "no action"
 assurance policy criteria and application.

 PY93 ACTION ITEMS

 Action                                   Complete

 Develop criteria for                     9/93
 expanding the guidance

 FY94 ACTION ITEMS

 Action
•i
 Issue supplemental                       6/94
 prospective purchaser
 guidance

 Issue model prospective                  6/94
 purchaser  agreement

 Program Implications

     This  initiative will result in the Agency being perceived as
 being more  fair  in resolving the potential liability of parties
 whose purchase of contaminated property would otherwise make them
 PRPs.  Expanded  use of prospective purchaser settlements will
 create economic  incentives to develop contaminated or potentially
 contaminated properties.

     At the  same time, with this initiative,  it will become more
 difficult  for the Agency to remain outside of purely private real
 estate transactions.  Extensive use of prospective purchaser
 agreements  could be resource intensive.

 INITIATIVE  4:  EVALUATE MIXED FUNDING POLICY

 Issue

     The Agency  uses mixed funding in situations where it is
 appropriate to recover less than 100% of the site costs in a
 particular  settlement.  There are three types of mixed funding:
 preauthorization  (where PRPs perform the work and the Agency
 agrees to reimburse them for a portion of the costs), cashouts
 (where the  PRPs  fund a portion of^. the work which EPA performs),
 and mixed work (where the PRP and' the Agency perform different
 aspects of  the cleanup).

     PRPs believe that the Agency's interpretation of its mixed
 funding authority is too conservative and that mixed funding is
 appropriate  in other situations,  particularly where inequities
 exist or risks associated with remedy implementation are a

-------
                               -15-                 June  23,  1993

concern.  In addition, PRPs believe that the application  and
documentation requirements, as well as contracting requirements,
associated with preauthorization mixed funding are overly
burdensome and may actually create a disincentive to  its  use.

     The Agency recently completed a fact-finding exercise
regarding mixed funding to obtain the current views of interested
organizations and individuals.  The Agency was particularly
interested in perceptions of the advantages and disadvantages of
EPA's current policies and practices with respect to mixed  »
funding; whether increased use of mixed funding should be
encouraged, and what.obstacles exist to such increased use; and
recommendations for policy or legislative changes.  As a result
of this fact-finding, the Agency is currently conducting an
evaluation of mixed funding options, including potential cost
implications of expanding use of mixed funding.

     Lastly, the Agency is interested in looking for ways to use
mixed funding to achieve added program benefits,  such as use of
innovative technologies, faster cleanups, and addressing
environmental justice concerns.

Approach

     During FY93, the Agency will conduct a two-part evaluation
of mixed funding.  The first part will evaluate several different
mixed funding options and quantify the cost implications to the
Fund.  The Agency expects to complete this phase of the
evaluation during July 1993.  The second part of the evaluation
will explore options for streamlining the mixed funding decision
making process, and will also explore options available under the
current regulation (40 CFR Part 307) for streamlining the
application and documentation requirements associated with
preauthorization.  This part of the evaluation is expected to be
completed in August 1993.

     In order to better assist our evaluation effort and gather
data on mixed funding use, the Agency will be piloting several
mixed funding settlement demonstration projects in FY93 and FY94.
Candidate sites will be identified by July 1993.   Negotiations
with PRPs for these mixed funding demonstration projects are
anticipated to begin by the end of FY93 and to be completed by
March 1994.  The Agency will begin compiling information about
these negotiations in December 1993.  Based on experience and the
evaluation of the mixed funding demonstration projects, EPA
will identify opportunities for streamlining preauthorization
procedures and requirements by March 1994.  Based on the results
of studies and demonstration projects over the next year, EPA
will consider revising the mixed funding policy.

-------
                               -16-                  June 23,  1993

FY93 ACTION ITEMS

Action                                   Complete

Evaluation of mixed funding options      7/93

Identify candidate sites for             7/93
demonstration projects

Explore options to streamline            8/93
0reauthorization procedures and
requirements.  Utilize demon-
stration projects, as appropriate.
*
FY94 ACTION ITEMS

Action                                   Complete

Complete negotiations for                3/94
mixed funding demonstration projects

Based on an evaluation of the            3/94
demonstration projects, recommend
measures to streamline preauthori-
zation procedures and requirements

Based on an evaluation of the            9/94
demonstration projects, consider
revising the mixed funding policy

Program Implications

     Streamlining preauthorization procedures and requirements
will ease implementation of mixed funding.  If EPA were to expand
the use of mixed funding/ the Superfund  program might benefit
from more settlements and, in some cases, earlier cleanups, less
litigation and fewer CERCLA §106(b)(2) reimbursement petitions.
Further, the Superfund program may be perceived to be more fair.
Such increases in fairness must be balanced with the concepts of
joint and several liability.

     At the same time, expanding the use of mixed funding could
create significant demands on the Trust  Fund -- potentially
resulting in the delay of cleanups — and make negotiations more
difficult in those cases where the Agency feels the use of mixed
funding is inappropriate.  Accordingly,  the categories of cases
eligible for mixed funding will need to  be carefully defined.
Given the ramifications of mixed funding, it will be important to
examine legislative aspects of this issue.

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                               -17-                  June 23,  1993

B.   Enhance Cleanup Effectiveness and  Consistency

INITIATIVE 5:   STREAMLINE  AND  EXPEDITE  THE  CLEANUP PROCESS

INTRODUCTION

     The Superfund program is  criticized  for  taking too long  to
decide upon remedies at sites  and  for the slow pace of  achieving
cleanup.  The program's site-specific decision making process is
often pointed to as  a major source of delay.  Making decisions on
a site by site  basis also  leads, at least on  the surface,  to*
criticism about the  consistency of decisions  nationwide.

     In 1991, the Agency began efforts  to standardize parts of
the remedy selection process and increased  efforts  to take
advantage of experience at sites across the country.  Continuing
these efforts and expanding into new areas  will improve
efficiency and  accelerate  the program.  In  particular/ the
current process of site characterization, evaluating the
feasibility of  cleanup options, and design  may be unnecessarily
complex, site-specific, and lengthy.  The new and enhanced
efforts highlighted  here represent  improvements in  these areas
which can save  time  and money, and will increase the national
consistency of  Superfund cleanups.

A.  PRESUMPTIVE REMEDIES

Issue

     Current practice in implementing the RI/FS process has
resulted in extensive site-specific analysis being conducted at
similar sites across  the country.  EPA studies show that despite
this intensive  site-specific effort, the  same types of remedies
tend to be selected  for certain categories of sites.  This.
repetition of activities across the country to carefully do"cume>it
site-specific decision making is expensive and time-consuming ard
may be unnecessary to ensure that appropriate remedies are
chosen.                     •'•••••"

Approach

     Agency work in  the presumptive remedies area involves
developing guidance  and demonstration/field studies that are
designed to recognize and  capitalize on patterns in selection of
remedy decisions for specific site types.   In this way,  those who'
must deal with  similar sites in the future can better focus data
collection efforts and limit feasibility  analyses to those
remedial options holding the greatest likelihood of success.

     We have begun to pilot presumptive remedies for municipal
landfills and are beginning pilot work  on other presumptive
remedies for woodtreater sites, ground  water contamination sites,

-------
                               -18-                  June 23, 1993

 sites with volatile organic compounds in soils, coal gasification
 sites,  PCB sites and grain storage facilities.

 FY93  ACTION ITEMS

 Action                                  Complete

 Identify Presumptive Remedies,
 Issue Guidance and Begin  Demonstration
 Projects on:                             9/93
 1) General Presumptive
   Remedies
 2) Municipal  Landfills
*3) Volatile Organics in Soils

 FY94  ACTION ITEMS

 Action                                  Complete

 Identify Presumptive Remedies,
 Issue Guidance on:
 1) Groundwater Pump & Treat              1/94
  (see discussion  on DNAPLs)
 2) Woodtreater Sites                    6/94
 3) PCB  Sites                             6/94
 4) Coal  Gasification Sites               6/94
 5) Grain Storage  Sites                   6/94

 Initiate Demonstration Projects:         9/94

  Develop Evaluation Scheme
  Evaluate preliminary MWLF pilots
  Municipal Landfill Site
  Groundwater  Site,  VOCs  in Soils Site
  Region 7  demonstration projects for
      Coal Gasification, PCBs,
      and Grain Bins

 Program  Implications

      A substantial  number of NPL sites have certain similar
 attributes that will benefit from a standardized approach.   For
 the presumptive remedy categories noted, approximately 600 sites
 currently on  the  NPL may  benefit in some way.  Of these sites,
 approximately 350 involve ground water,  50 municipal landfills,
 100 VOCs in soils,  30 woodtreaters and 70 PCB  sites.  There  is
 some  overlap  between the  ground water  and other categories.

      Use of presumptive remedies is expected to create greater
 consistency,  certainty and quality of  remedy decisions in the
 near  term,  and time and cost savings are expected to increase
 over  time as  additional sites from these categories are added to

-------
                               -19-                 June 23,  1993

the NPL.  This initiative will also encourage consistency and
will assist in speeding cleanup at a substantial number of sites
that enter into voluntary cleanup programs or are regulated under
the RCRA corrective action program or are conducted by private
parties.  Success is primarily expected in reduced time and cost
for the RI/FS.

     The benefits of the presumptive remedy approach will include
more focused data collection during the RI, including earlier
treatability studies and collection of data necessary to desjign a
remedy, the potential for a more streamlined risk assessment, and
evaluation of a narrower range of remedial options.  These
principles can also be applied at sites on the NPL other than
those specific types targeted for presumptive remedy guidance,
which can expand the influence of this initiative and achieve
faster risk reduction as well as time and cost savings for more
sites.

     Use of presumptive remedies affords the local community some
certainty that remedies are implementable and effective,  and
establishes a reasonable expectation upfront about the level of
cleanup that can be achieved.

     In spite of the benefits, in some cases,  reliance on
presumptive remedies could retard the integration of innovative
technologies into the selection of remedies for certain
categories of sites.  Some responsible parties have also
expressed concern that presumptive remedies may contain overly
conservative assumptions and could lead to unnecessarily
expensive remedies.  EPA will therefore,  need to be aware of
these specific instances, be careful not to exclude more
innovative approaches, and look carefully at its assumptions in
developing presumptive remedies.

     It should be noted that the presumptive remedies are those
options which we will focus on most frequently for specific site
types; however, another alternative might be selected in
appropriate circumstances.

B.  STANDARDIZED SPECIFICATIONS FOR USE DURING DESIGN

Issue

     As more, remedial designs are completed, many different
specifications have been developed by the design community for
various construction components.   These specifications can be
standardized and made available for use on future designs efforts
with minimal adaptation to site-specific conditions.  Standard
specifications will save time and money for design development,
EPA and State review, and construction oversight.

-------
                               -20-                  June 23,  1993

Approach

     EPA will, through an existing Interagency Agreement with the
U. S. Army Corps of Engineers  (USAGE), identify construction
components suited to application of standard specifications.   The
USAGE will develop specifications and, after review, make them
available to the Federal, state and contractor community through
their existing Construction Criteria Base  (CCB).  The data base
will be periodically updated and revised with new specifications
and input from the field.  Examples of specifications under
consideration or in development are air stripping systems, site
clearing and grubbing, thermal treatment systems, and health  and
safety requirements.
»
FY93 ACTION ITEMS

Action                                  Complete

Survey EPA Regions and                  11/93
other Federal agencies
for already available
specifications and
opportunities to develop
specifications.


FY94 ACTION ITEMS

Evaluate which construction             12/93
components have the biggest
potential for high pay-back
from the use of specifications.

Using phased approach,                  9/94
modify or develop
specifications and made available
through the database.

Program Implications

     This effort could reduce costs required for remedial design
by eliminating the need to develop new specifications each time
for aspects that are common to many sites.   The time required to
develop design packages as well as the EPA review time for
previously approved elements of design packages can also be
reduced.  Guide specifications can also increase consistency and
efficiency in design development through a common understanding
of project expectations.

-------
                               -21-                 June  23,  1993

C. GUIDANCE AMD TRAINING FOR ADDRESSING DNAPL CONTAMINATION
Issue

     The presence or absence of Dense Non-Aqueous Phase Liquids
(DNAPLs) at Superfund sites can control the ultimate success or
failure of qroundwater remediation.   Because of the complex
nature of DNAPLs fate and transport, they may go undetected under
current site characterization strategies, leading to incomplete
site assessments, inadequate remedial design, and additional
costs during remedial action.  The presence of DNAPLs complicates
remediation and in many cases, make complete aquifer cleanup,
infeasible with current technologies.  In addition, the presence
of DNAPLs can extend negotiation times with PRPs due to the PRPs1
efforts to persuade EPA not to attempt to restore ground water to
drinking water quality.

     EPA research indicates that about 85% of NPL sites have some
degree of ground water contamination, and that approximately 60%
of those have a high probability that DNAPLs are present.  EPA
estimates that a similar percentage of RCRA corrective action
sites will also face DNAPL problems.

Approach

     Under this initiative, EPA will develop the methodology for
quickly assessing the presence of DNAPLs, for characterizing site
contamination problems, and a remedial strategy for addressing
DNAPL contamination.  At this time, the Agency is considering
several components to be key in an effective strategy for
addressing ground water contamination sites in general and DNAPL
sites in particular.

     The strategy involves early evaluation of the likelihood of
the presence of DNAPLs, and, if DNAPLs are likely,  design of the
site investigation and remedial actions to address two different
parts of the ground water contamination problem:  1)  the
dissolved contaminant plume, and 2) subsurface DNAPL sources
within the plume.  The investigation and remedial actions will
utilize a phased approach, which will include locating the extent
of the dissolved plume and subsurface zones where DNAPLs are
present; initiating early containment actions to prevent further
spread of contaminants; and, where practicable, ultimately
remediating the dissolved plume to achieve cleanup standards,
while containing, reducing and managing the subsurface DNAPL
source to minimize further release of contaminants.  The use of
enhanced recovery or innovative technologies should also be
considered to remediate DNAPLs in the source zones.

     As part of this initiative, the Agency will complete an
evaluation of the pervasiveness of the presence of DNAPL

-------
                                -22-                  June 23,  1993

 contamination at N?L sites, present technology  transfer seminars
 to focus on technical as well as policy  issues, and  issue several
 technical guidance documents.  The Agency will  also  develop Model
 Consent Decree language to address the technical impracticability
 ARAR waiver issue for DNAPLs where Records of Decision  do not
 already address it.

 PY93 ACTION ITEMS
 Action                                  Complete

"Complete study of pervasiveness         7/93
 of DNAPLs at NPL sites.

'Complete training/policy                7/93
 seminars in all Regions

 Issue Model Consent Decree              7/93
 language

 Develop technical                       9/93
 and policy guidance on
 characterizing DNAPL sites
 and clarifying technical
 impracticability waivers.

 FY94 ACTION ITEMS
 Action                                  Complete

 Issue DNAPL scrategy as                  1/94
 part of presumptive remedy
 guidance for ground water
 (see presumptive remedy  discussion)

 Issue Three Fact Sheets  to              9/94
 address (1)  free phase DNAPL
 removal,  (2)  field  investigation
 and (3)  sampling issues

 Evaluate progress related  to             9/94
 technical and policy guidance
 implementation

 Program Implications

      This initiative will  see  direct benefits  in both the RCRA
 Corrective Action, and Superfund remedial programs,  and will
 assist in the evaluation of thousands  of additional sites not
 currently on the NPL.  It  will increase  the  consistency  and
 quality of decisions regarding DNAPL contamination  and better
 focus data collection.   The training and policy  workshops in the
 Regions will bring  state-of-the-science  knowledge to those making
 decisions at sites  with  DNAPLs.

-------
                               -23-                 June 23,  1993

     However, once the presence of DNAPL  is determined,  some  site
characterizations may take  longer than currently  anticipated,
and sites with active or proposed pump and treat  systems may  need
to be revisited in light of new knowledge of the  difficulties in
remediating sites with DNAPLs using conventional  methods.  This
initiative may result in increased pressure for technical
impracticability waivers, but will also assist in making such a
determination.
O.  LEAD INITIATIVE

Issue

     Lead is a highly toxic metal, producing a range of adverse
health effects, particularly in children and fetuses.  Effects
include nervous and reproductive system disorders, delays in
neurological and physical development, cognitive and behavioral
changes and hypertension.  Adverse effects have been found at
lower and lower blood lead levels.

     Lead is a common contaminant found at many Superfund and
RCRA sites, including approximately 25 Large Area Lead Sites,
which are primarily large mine tailing or smelting sites where
lead is a significant contaminant.  Because of the pervasive
nature of this problem, there is a need for a national approach
to dealing with this issue.

Approach

     The Superfund program is working in tandem with EPA's
overall lead strategy^ the goal of which is to reduce lead
exposures to the fullest extent practicable, with particular
interest in reducing the risk to children to avoid high blood
lead levels.

     Specifically, the Agency is developing a revised Lead
Directive that will provide guidance on soil lead cleanup levels
at Superfund and RCRA sites.  This guidance will aid risk
managers in making decisions about whether remedial action is
warranted and in selecting final soil lead cleanup levels that
are protective of human health.

     The revised Directive will take into account the interests
and concerns of outside agencies ..such as CDC and ATSDR, as well
as the activities and requirements of other parts of the Agency,
such as the development of Title X of the Comprehensive Housing
and Urban Development Act of 1992, which requires EPA to
promulgate health-based standards for lead in-soil, paint and
dust. Development of the revised Directive is being coordinated
closely with work on formulating a strategy for Large Area Lead
Sites.  Part or all of the strategy for Large Area Lead Sites may

-------
                               -24-                  June 23,  1993

be incorporated into the revised Directive.   Results from EPA's
Three City Study, a six-year study of Boston,  Baltimore and
Cincinnati to look at lead levels in soil  and blood  lead levels
in children, will also contribute to the revised  Directive.

FY93 ACTION ITEMS

Action                                  Complete

I^sue draft OSWER Lead                  8/93
Directive, potentially
incorporating part or all of the
Large Area Lead Sites Directive
f>

FY94 ACTION ITEMS

Action                                  Complete

Issue combined Title X                  4/94
(lead paint) comprehensive
guidance

Program Implications

     Approximately one third of NPL sites list lead as a
contaminant.  Furthermore,  lead is a concern at many RCRA sites.
Completion of the revised Directive and coordination on other
agency lead efforts will reduce lead exposures to the maximum
extent practicable, with particular benefit in reducing the risk
to children.

     National consistency would be increased by setting cleanup
standards for lead, and the impact of this Directive will extend
to other non-Superfund sites as well.

E. CLARIFY THE ROLE OF LAND USE IN REMEDY SELECTION
     Land use is an important consideration in determining the
extent of remediation appropriate for Superfund sites because it
affects the types and frequency of exposure which are likely to
occur.  The remedies selected through the Superfund remedy
selection process determine the extent to which hazardous
constituents may remain at the site, and therefore ultimately
impact available land and ground-water use.

     CERCLA does not explicitly address the issue of land use,
and the NCP only addresses land use in general^terms in the
preamble.  Some stakeholders feel there should be a more explicit
assessment of future land use in the Superfund remedy selection
process.

-------
                               -25-                 June  23,  1993

     The Agency has been criticized for making  land use decisions
without input and involvement from local communities.  In
addition, EPA has been criticized for making conservative land
use assumptions in selecting Superfund remedies,  in part  due  to
the frequent assumption in practice that future land use  would be
residential for many sites.  Providing clearer direction  on the
land use issue would further streamline the remedial process.

Approach

     The Agency will develop a policy clarifying the role of  land
use in the remedy se-lection process.  Elements of this policy
which EPA is considering address interaction and consultation
with the public and local authorities in determining potential
future land use scenarios, and clarification of the expectations
concerning what land use assumptions are reasonable.

FY94 ACTION ITEMS

Action                                  Complete

Issue land use policy                   10/93

Program Implications

     By clarifying the role of land use in remedy selection, EPA
could foster faster, more consistent cleanups because the  land
use assumptions would be more explicit and predictable.   In
addition, through improved interaction with local communities on
this issue, EPA would enhance community participation and
acceptance of our remedy selection decisions.

INITIATIVE 6:  DEVELOP SOIL TRIGGER LEVELS
     Contamination of soils occurs at virtually all sites
requiring remediation.  Levels of concern and cleanup levels have
historically been set site-specifically through the risk
assessment process, which takes significant time and effort.  In
addition, uncertainty about the hazards and the liability
associated with levels of contamination have dampened property
transfers.

Approach

     EPA has initiated the soil trigger levels effort as an
important screening tool to identify contaminant levels below
which there is no concern and above which further site-specific
evaluation would be warranted.  When exposure pathways at a site
correspond to those for which soil trigger levels have been

-------
                               -26-                  June 23, 1993

established  (i.e.,  ingestion,  inhalation and migration to ground
water), the  trigger level  could  also be used as a cleanup level.

     EPA will develop  soil trigger  levels to accelerate
investigation of soil  contamination at  sites,  streamline the
baseline risk assessment,  and  improve consistency in soil
cleanups between the RCRA  Corrective Action  program and
Superfund.

?Y93 ACTION  ITEMS

Action                                   Complete
n>
Issue guidance                 9/93
presenting soil trigger
levels for 30 frequently
found contaminants

FY94 ACTION ITEMS

Action                                  Complete

Identify trigger levels for             6/94
an estimated 60 additional
chemicals

In second quarter,  initiate             9/94
demonstration projects to
field test trigger levels at
sites in three different
phases of cleanup

Program Implications

     Use of soil trigger levels will save money and time by
facilitating more rapid identification of problem areas of sites
and limiting the need for a full soil exposure pathway risk
assessment in many cases.  The levels may serve as cleanup levels
for simple sites with limited exposure pathways, when pathways
correspond to those for which trigger levels have been
established.

     This initiative will bring consistency to the Superfund and
RCRA corrective action programs and may promote more voluntary
cleanups by indicating a level below which the Agency would have
no further concern, thereby affecting a universe of sites well
beyond the NPL and RCRA hazardous waste facilities.

     Some difficulty in applying these soil trigger levels may
arise because they may conflict with those that have been
established by States.   In addition, since trigger levels were
not developed entirely for use as cleanup levels,  there may be

-------
                               -27-                  June  23,  1993

initial confusion  between  the  use  of tne  soil trigger  levels  and
the continuing need  at  many sites  to establish cleanup levels for
actions.


c.   Enhance Meaningful Public Involvement

INITIATIVE 7:  IMPLEMENT AM ENVIRONMENTAL JUSTICE STRATEGY FOR
               SUPERFUND SITES                             v
Issue

     Some studies  indicate that people of color and  the poor^may
be exposed to greater health risks than the general  population.
These communities  are often affected by multiple sources of
environmental risk including industrial pollution, vehicle
emissions, proximity to hazardous waste sites, and often, lead-
based paint.  Certain sociological factors, such as  poor
nutrition and limited access to health care may make residents of
these communities  even  more susceptible to the effects of
environmental hazards.   Language and cultural differences and
lower education levels  make access to information a  particular
problem in multi-cultural  and  low  income  communities.  Lack of
information has a  direct impact on the degree to which people can
effectively participate in cleanup decision-making.

Approach

     A number of issues have been raised  with respect to
environmental justice in Superfund cleanup.  EPA will undertake a
variety of activities to better assess potential areas of
inequity and identify appropriate solutions.  Using  the knowledge
gained, EPA will develop a proactive strategy for environmental
justice at Superfund sites.

     EPA will review all Superfund sites  where equity issues have
been raised.  We will also work closely with State and tribal
governments to actively identify potential hazardous waste sites-
in minority and low  income areas.  EPA will examine  in depth the
history and details  of  the issues, the ways in which the issues
were handled, and  successful and unsuccessful issue  resolution
strategies.  By the  end of this summer, EPA will complete a
preliminary analysis of populations living near 200-300 listed
Superfund sites which will link minority  and site variables, and
identify ethnic populations living near multiple sites.
Collection of this data is a critical first step in  developing a
proactive strategy for  dealing with Superfund equity issues.

     By the end of FY93, EPA will  identify demonstration sites in
each Region at which environmental justice is of concern.  The
Regions will assess  the key issues and take proactive  measures to
deal with them effectively which may include a multi-media team
approach.  By next spring, EPA will catalog "lessons learned"

-------
                               -28-                  June 23,  1993

from these efforts,  which,  along with the data and analysis
described above, will  form  the basis of the Superfund
environmental  justice  strategy.

     Region IV has already  identified a demonstration site in a
very poor county in  rural Georgia where the degree of exposure
and risk is still unclear.   The  Region will devote substantial
resources to educating local residents about chemical exposure
and potential  health effects early on in the Superfund process.
They will work closely with ATSOR to assure that  any required
health assessment and  monitoring is done in a way acceptable  to
the community.  They will also try to identify additional  public
health options available to the  community beyond  the limits of
'Superfund.

     EPA will  foster partnerships with other Federal agencies to
leverage the benefits  of a  Superfund cleanup with the work of
other agencies such  as HUD,  where a Superfund site is in a
community receiving  a  block grant,  or with the Department  of
Labor which might offer job training funds.   We will also
investigate drawing  in the  resources of  the ATSDR and the  Public
Health Service in areas where  the public health problems extend
beyond the scope of  Superfund  cleanup authorities.

     To improve the  flow and quality of  useful  information to
culturally diverse communities, we  will  assign  site  project
managers and community relations  staff with appropriate language
skills and cultural  sensitivities.   EPA  will  simplify
instructions on applying for Technical Assistance Grants and
publish them in English and Spanish  this  summer.  We  will  also
place special  emphasis on working closely with  low income  and
minority communities to help them through the grant process.

     EPA will  continue to translate  documents  into non-English
languages and  provide  translators for public hearings  in multi-
cultural communities.   We will also  investigate alternatives  to
public hearings as potentially more  effective ways to share
information in multi-cultural^-^nd low-income  settings.  These
will include informal  meetings in local  churches  and  private
homes, briefings for local  health officials,  and  use  of minority
media outlets, such  as non-English  radio  stations.

     We will develop a program for  involving local retired
community residents  in community  relations at  sensitive Superfund
sites.  These  "Superfund Seniors"  will  be valuable  assets in
maintaining open lines of communications  between  the  community
and EPA during the Superfund cleanup.  We will  also  investigate
the feasibility of using the proposed National  Volunteer Service
Corps to improve outreach to multi-cultural communities.   College
graduates representing broad racial and  cultural  diversity will
act as local ombudsmen in Superfund communities in partial
repayment of their college  loans.   This  will serve to interest

-------
                               -29-                 June  23,  1993

young idealistic persons of color and minorities  in environmental
issues, fill the employment pipeline with experienced and
dedicated environmental professionals, and develop a cadre of
well informed citizens who care about the environment and are
empowered to lead and fully participate in environmental
decision-making.

Other Environmental Justice Initiatives

     In addition to the initiatives, EPA is working on several
other concepts designed to improve understanding of environmental
and public health issues and bring more people of color into'
environmental careers and policy-making.  This summer, EPA will
pilot a teachers' institute at an historically black college,
specially targeted at teachers in low income and multi-cultural
communities.  The curriculum is designed to improve teachers'
understanding of environmental issues in general, with particular
emphasis on how they can empower their communities to fully
participate in waste cleanup decision-making.  Evaluation of this
first major national pilot will be completed this fall,  and three
additional institutes will be scheduled at other locations next
summer.

     During the winter of 1993, we will work with three
communities where military bases will be closing.  Base closures
that will significantly affect employment in multi-cultural
communities will be chosen for these demonstrations.   We will
assist the Department of Defense in working with these local
communities to retrain DOD workers in environmental restoration
skills for immediate employability on those bases, and for future
opportunities with other environmental contractors.

FY93 ACTION ITEMS

Action                                  Complete

Review equity issues raised             6/93
to date

Complete analysis of population         8/93
demographics

Identify 10 Regional sites              8/93
for environmental justice action
with possible multi-media
approach

Publish simplified TAG materials        8/93

National meeting sponsored by           9/93
NACEPT to hear citizens' ideas
on environmental justice

-------
                                -30-                 June 23,  1993

 Identify opportunities for              9/93
 coordination at sites with HUD,
 DOL,  PHS,  etc.

 FY94  ACTION ITEMS

 Action                                  Complete

 In-depth analysis of equity case        1/94
.studies with definition of environ-
 mental justice sites
*,
 Develop "Superfund Seniors" program     6/94
.*'

 Compile "lessons learned" from Regional 6/94
 demonstration sites

 Develop national college
 volunteer  program                       9/94

 Draft equity strategy for future
 Superfund  sites                         9/94

 Publish Superfund documents             9/94
 including  TAG information
 in  Spanish

 Program Implications

      These initiatives address important issues  of  equity and
 justice in the Superfund program,  help  assure  a  fully
 representative,  culturally sensitive, and  qualified environmental
 workforce,  leverage the benefits of Superfund  cleanup  where our
 actions can be taken in conjunction with the program of  other
 Federal agencies such as HUD,  DOL,  and  ATSDR,  and help improve
 the degree and quality of involvement by all communities in
 Superfund  site solutions.   These initiatives also underscore
 EPA's commitment to correcting environmental inequities  by
 devoting the resources necessary to accomplish the  activities
 described.   This approach may  also impact  other  similar  Agency
 programs such as RCRA corrective action.

      It is important to note,  however,  that  the  responsibilities
 for meeting-these commitments  will be met, for the  most  part,  by
 Regional community relations coordinators  and  remedial project
 managers.   These people are already seriously  over-committed in
 the caseload that they currently carry.   Experience to date has
 indicated  that each environmental  justice  site,  especially  if a
 multi-media approach is planned, will require  a  significant
 resource commitment.

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                               -31-                  June  23,  1993

INITIATIVE 8:  EARLY AND MORE  EFFECTIVE COMMUNITY INVOLVEMENT

Issue

     A critical problem in the Superfund program  is  the lack  of
support for the cleanup among  the  communities  around Superfund
sites,  citizen groups and communities are often  dissatisfied
with both the pace and the results of cleanup  actions.  Specific
community relations problems include difficulties in obtaining
Technical Assistance Grants  (TAGs), difficulties  in  obtaining and
interpreting health studies, and inaccessibility  to  both  key,
information and site decision  makers.
                                                            r
     Public participation is critical to the effective and speedy
implementation of cleanups at  Superfund sites.  As we look for
ways to streamline and accelerate  the pace of  cleanups at
Superfund sites, EPA must increase its efforts to achieve earlier
and more effective community involvement at each  site.  EPA must
clearly identify the expectations  and needs of communities
affected by hazardous waste sites  and focus national attention on
the importance of public participation.

Approach

     The EPA has held a series of  four Superfund Revitalization
Public Forum meetings.  These meetings have been held in a
variety of locations to solicit input on improvements to the
Superfund program from a wide cross section of Superfund
stakeholders.   Topics discussed have covered a wide range of
issues including increased citizen participation.   The first
action item will be to review the  comments received at these
meetings on increasing public participation and assess the
potential of each comment to improve public participation at
Superfund sites.  The next item will be to use the NACEPT
sponsored forums to solicit additional input on earlier and more
effective public involvement at Superfund sites.

     In addition, the Office of Federal Facilities Enforcement
will work with other Federal agencies to monitor their
improvements in public participation in their cleanup programs.
Specifically, OFFE will issue guidance on implementation of
citizen Site-Specific Advisory Boards at Federal sites.

     The Agency's effort will  culminate in the development and
implementation of an improved  Superfund public participation
plan.  Issues to be addressed  in the plan are what aspects of
cleanups are most important to communities (i.e.,  speed, economic
development, aesthetics, ecological restoration),  how to ensure
broad community representation, the development of an information
availability policy, alternatives  to the Technical Assistance
Grant  (TAGs) program, the role of  the Agency for Toxic Substances

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                               -32-                  June 23,  1993

and Disease Registry  (ATSDR),  and the possibility of developing
Site-Specific Advisory  Boards.

     In order to  further encourage community involvement in,
decision-making,  the Agency will  identify  Superfund sites where
innovative community involvement  approaches  and techniques are
being applied and will  be applied.   Site activities will include
the standard and  innovative approaches currently being used by
the Regions, as well as additional innovative techniques
identified in the NACEPT process.

FY93 ACTION ITEMS

^Action                                  Complete

Conduct a review  of                     6/93
Superfund issues  raised at
EPA public forums and
assess potential  changes.

Issue guidance on                      9/93
implementation of citizen
Site-Specific Advisory
Boards at Federal facility sites.

Status report on  DOE efforts to         9/93
establish 5 citizen Site-
Specific Advisory Boards.

National meeting  sponsored              9/93
fay NACEPT to hear citizens'
ideas on public participation.

Identify sites/projects where           9/93
other innovative  techniques will
be initiated.

FY94 ACTION ITEMS

Action                                  Complete

Prepare and implement new              12/93
Superfund public
participation plan.

At the same time, assess impact to     3/94
other programs, particularly RCRA
corrective- action.

Continued work with DOE and             9/94
DOD to begin Site-Specific
Advisory Boards.

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                               -33-                  June  23,  1993

Program Implications

     Increased efforts to achieve earlier and more effective
public involvement will enhance community buy-in and increase
equity and fairness.  In the  long term, effective community
involvement will speed-up the Superfund process by involving  the
community early in the process and resolving possible conflicts.
It will also increase the Agency's credibility with  communities
around Superfund sites.  Increases on the emphasis of publicv
involvement will add to the workload and require additional FTEs
or a reduction in emphasis in other areas.


D.   Enhance state Role

INITIATIVE 9: "STATE DEFERRAL" OF CERTAIN SITE CATEGORIES

Issue

     EPA and the States have  long agreed that the universe of
hazardous substance sites potentially requiring cleanup was
larger than either level of government could address  alone in the
near future.  At current budget levels, EPA will be unable to
address the environmental threats at some sites for years,
leaving potentially responsible parties (PRPs)  in doubt about
their CERCLA liability and local communities at risk  from some
unremediated sites and without the productive use of the affected
land.  This delay, and the attendant uncertainty,  led responsible
parties to choose between:  cleaning up their sites without
Federal involvement (at the risk of having EPA propose the site
anyway for the National Priorities List (NPL)  and require
additional response action at the site); or, waiting  for EPA to
assess the site for listing on the NPL, with no assurance whether
or when that might happen.

     The current and potential universe of CERCLA sites include:
(1) NPL sites, (2) NPL-caliber sites, i.e.,  sites that have a
high probability (based on initial assessments)  of achieving a
Hazardous Ranking System (HRS) score of at least 28.5, (3)
removal actions, i.e., high-risk sites requiring a short term
Federal response, and (4) non-NPL-caliber sites that do not
require a Federal removal action.  In addition,  many hazardous
substance sites and activities are addressed by other
authorities, such as RCRA,  TSCA and State programs.  The "State
Deferral" initiative focuses  on category #2 (NPL-caliber sites)
and proposes a negotiated division of responsibility  between
States and EPA for NPL-caliber sites that have not yet been
proposed for listing.  This initiative would not alter the
current EPA programs for categories #1 and #3--sites  that have
already been listed on the NPL and sites addressed under EPA's
removal program, nor would it alter activities conducted under
non-CERCLA authorities (EPA and State authorities).   Note that a

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                               -34-                  June 23, 1993

significant number  of  States  (about 15)  have voluntary cleanup
programs to address category  #4,  non-NPL-caliber sites that do
not require a Federal  removal action.   EPA encourages the
development of these State voluntary cleanup programs.

Approach

     EPA will encourage earlier environmental cleanup by openly
enlisting the States'  participation  in a complementary  cleanup
program.  Over the  past several years, many  States have been
developing increasingly sophisticated and  experienced programs.
EPA has helped the  States develop their programs by providing
money and technical  assistance, under the  Core Program  begun in
1987, as well as under RCRA grants.  In addition, many  States
have (or are developing) voluntary cleanup programs for non-NPL-
caliber sites, and many have  been authorized  to implement RCRA
corrective action programs.  As a result,  several States are
already cleaning up  significant numbers of non-NPL sites.  By
expanding the State  role to address NPL-caliber sites,  EPA will
take fuller advantage of the combined strength of the Federal
program and of the State capabilities we have helped develop.

     State deferral will encourage qualified, interested States
to address under State laws,  the large number of sites  now in
EPA's NPL listing queue, thereby accelerating cleanup, minimizing
the risk of duplicative State/Federal efforts, and offering  PRPs
a measure of confidence that only one agency will address the
site.   EPA and individual States will openly negotiate a
division of responsibility for NPL-caliber sites, to determine
which agency would address any given site.   The National
Contingency Plan (NCP)  requires EPA to hold annual planning
discussions with the,States to assign "lead Agency" roles for NPL
sites.   Under this approach,  EPA-State discussions will be
enlarged to include NPL-caliber sites.

     These "deferrals"  will stipulate that States have the
initial responsibility to cleanup certain NPL-caliber sites.
These would be low- or medium-priority NPL-caliber sites, i.e.,
sites that EPA would not be able to address for several years.
While EPA will defer these sites from NPL listing as long as
satisfactory progress is made, EPA will retain the incentive of
NPL listing as leverage to motivate reluctant responsible parties
to clean up under State supervision.  EPA will consider concerns
raised by the public during this process.

     EPA will continue to focus Federal resources on  (a) removal
activities at high-risk sites requiring a short-term response,
(b) early actions at high-priority NPL-caliber sites  (see also
Initiative #10,  Superfund Accelerated Cleanup Model),  and (c)
remedial activity for sites on the NPL.  The NPL will list sites
that meet NPL criteria and that a State is unwilling or unable to

-------
                               -35-                 June  23,  1993

clean up.  EPA will not propose sites for the NPL that are  being
satisfactorily cleaned up under State "deferrals.11

     States might implement their expanded cleanup programs using
State trust funds to pay for cleanups, State enforcement
authorities, and/or voluntary cleanups performed by PRPs.   EPA
will implement this initiative by publishing a policy describing
the kinds of sites States may address, the capabilities
interested States will have to demonstrate, the conditions  and
circumstances under which EPA will enter into "deferral"  with a
State, and. answering essential questions, such as:          *

o    Generally what types of sites will be State-lead?

o    What cleanup process or standards will EPA want the State to
     adopt?

o    What kind of oversight role will EPA have for the State
     program generally, or for the State's site-by-site
     decisions?

o    What financial and other assistance will EPA offer to States
     wanting to take on this partnership?

o    How can State "deferrals" best be coordinated with the
     existing policy for deferring to RCRA corrective action
     authorities?

     The Agency has identified several States to pilot an
expanded State role.  In these demonstration pilots,  the State
will take the lead for selected low- and medium-priority NPL-
caliber sites that EPA would not be able to propose for the NPL
or otherwise address in the near term.  These would be sites for
which the State has identified viable PRPs. In these pilots, EPA
will provide oversight for the State program to ensure that the
overall cleanup process and standards for NPL-caliber sites are
consistent with CERCLA and NCP standards.  These pilots will also
provide an opportunity to define an appropriate, targeted level
of EPA oversight for site-specific decisions.

FY93 ACTION ITEMS

Action                                  Complete

Establish HQ/Regional Work Group        7/93
to address key implementation
questions, and assess early State-
lead experiences

Identify source of funds                9/93
for State program support (not
remedial action funds) and

-------
                               -36-
June 23, 1993
initiate deferral pilots
with Regions III (MD),
VI (NM) and VII (KS)

FY94 ACTION ITEMS

Action                                  Complete

Identify additional States              12/93
which might be willing to
enter into deferrals
with EPA

Monitor ongoing pilot                   Ongoing
States to identify issues

Issue interim guidance setting          3/94
criteria and process, and
inviting States to enter into •
deferrals with EPA

Program Implications

     EPA has finished PA/SI work on 6,000 sites which now await
further decisions towards potential NPL proposal, with an
additional 3,000 or so sites approaching this status, yet program
resources are likely to allow for preparation of HRS scoring
packages on only approximately 100 si^ea per year.  While we have
historically proposed for the NPL only a small proportion of the
sites we review, all 9,000 of these sites can only remain clouded
by uncertainty until EPA can act on them.   The great majority of
these could potentially be addressed sooner through State
deferral with willing, capable States, while ensuring that (1)
EPA and the States do not duplicate each other's efforts; (2)
EPA's limited resources are focused on the remaining sites; and
(3) States are able to credibly manage and implement cleanups so
as to provide a measure of confidence to the PRPs and communities
that EPA will not reverse the State's cleanup determinations at
some unforeseeable future time.

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                               -37-                  June 23,  1993

II.  CONTINUING MANAGEMENT AND  ENFORCEMENT INITIATIVES

     Over the past  several years,  EPA has  initiated  and
implemented a series  of  reforms  to improve the  effectiveness,
efficiency and equity in the  Superfund program.  These changes
have had a beneficial impact  and are expected to continue
bringing improvements to the  program.

     This section of  the report  will focus on several  of the
major changes currently  undergoing implementation.   Included  in
the discussion are:   (10)  the Superfund Accelerated  Cleanup -
Model,  (11) construction completions; (12)  improvements  to
contract management;  (13)  "Enforcement First";  (14)  accelerating
cleanup at base closures.   Also  discussed  are:  (15) promoting
the use of innovative technologies; (16) compliance  monitoring;
and (17) improving  the effectiveness of cost recovery.   The
following discussions also include  action  items and  program
implications of these continuing initiatives.


INITIATIVE 10:  SUPERFUND  ACCELERATED CLEANUP MODEL  (SACK)

Issue

     Superfund was  first designed with the expectation that a
small number of contaminated  sites  existed and those would
receive total cleanup to pristine conditions.  Experience has
brought us to a new environmental equilibrium.  The Agency has
identified thousands  of  potential sites in the Superfund
universe.  We now recognize that the Agency must balance cleanup
resources with the need  to tackle worst pollution sources first
and reduce risk to people  and the environment.   This, along with
the desire to quickly reduce risk,   is the  intent of SACM.

Approach

     SACM focuses Superfund on the  very substantial risk
reduction that is now being a'cnieved and still achievable by
using all elements  of the  Superfund program to expedite response.
No longer will Superfund's  success  be measured solely by how many
sites are eliminated  from  the National Priorities List  (NPL).
SACM will achieve appropriate cleanup at as many sites as
possible, in order  to reduce  risk to people and the environment
posed by hazardous  waste.   SACM  is  currently being implemented iti
the Regions through pilots and Regional Decision Teams have been
formed  in each Region.   Preliminary guidance on implementation
has been issued and we are applying SACM principles to all phases
of work to ensure a smooth transition to full implementation in
Fiscal Year 1994.

-------
                                -38-                  June  23,  1993

 7Y93 ACTION ITEMS

 Action                                  Complete

 Issue detailed operational guidance     9/93
 for full implementation of SACM

 Evaluate results of pilot projects      9/93

vPY94 ACTION ITEMS

AAction                                  Complete

'Begin full implementation
 of SACM in each Region                  Ongoing

 Program Implications

      The Superfund program expects that full implementation will
 cut years off the process by eliminating delays and rework,
 combining separate,  yet similar,  stages of site assessment.  We
 also expect that SACM will improve consistency, reduce costs and
 increase the speed with which hazardous waste sites are
 remediated by developing presumptive remedies which use cleanup
 techniques that have been effective in the past at similar sites
 in the future.  (SACM will also be married with other streamlining
 efforts as they are adopted,  such as the decision  to use soil
 trigger levels).   Regions are finding that the resource
 implications of SACM implementation include the need to
 concentrate resources at the front end of  the process.  This will
 create a minor impact on the traditional remedial  process  in
 FY94.   However,  use of SACM will  provide results the public will
 value by focusing on the worst sites first to quickly reduce
 short-term risks through early actions and to restore the
 environment through long-term actions.


 INITIATIVE 11:   CONSTRUCTION, COMPLETIONS

 Issue

      In the early years of Superfund,  the  Agency focused on
 getting sites into the cleanup "pipeline."  More recently,  the
 Agency's priority at Superfund sites was to select remedies and
 secure private-party implementation of the remedies.   Now  that
 the program has matured,  attention has moved to sites near the
 end of the "pipeline," and completing remedy construction  has
 become an important measure for the success of the program.   As a
 consequence,  the Agency has intensified its efforts to increase
 the number and rate of completions.

-------
                               -39-                 June 23, 1993

Approach

     In FY92, the Agency established national targets to more
than double the number of National Priorities List (NPL)
construction completions by the end of FY92 from 63 to 130 and to
more than triple completions by the end of FY93 to 200.  To
maintain this pace, EPA completes construction at NPL sites at a
rate of more than one a week.

     The Agency initiated several activities to ensure reaching
the national NPL construction completion targets.  A         $
collaborative approach was undertaken where the Regions and
Headquarters work jointly to achieve the national targets without
holding each Region responsible for a specific number of
completions.  The elements of the collaborative approach include:
developing a comprehensive list of all potential construction
completion candidates; tracking and communicating the status of
each of these sites through the Lead Region for Superfund
(currently Region 8); holding monthly conference calls with the
Regional Waste Management Division Directors; streamlining the
requirements for completions; and clarifying the completion
procedures for EPA project managers.

     Currently, NPL construction completions total 165 sites and
the Agency expects to meet the FY93 goal of 200 sites.  Further
refinements to the construction completion process will occur
during FY93.

FY93 ACTION ITEMS

Action                                  Complete

Issue "Construction Completion          6/93
Care Package" which compiles all
relevant guidance and policy
documents for Regional project
managers

Issue guidance clarifying declaration   7/93
of construction completion at soil
vapor extraction and certain
bioremediation sites.

Complete construction at 200th          9/93
NPL site

Conduct monthly conference calls        Ongoing
with Regions

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                               -40-                  June 23,  1993

Program Implications

     As a result of the national attention  on  construction
completions, Superfund achieved a total  of  149 completions,
significantly exceeding the FY92 goal of 130 completions.  The
focus on construction completions has had an impact  on Regional
cleanup priorities.  In order to reach the  national  targets,  the
Regions emphasized work on potential construction completions,
resulting in a shift of attention from sites in other  parts of
the pipeline.  The future rate of construction completions will
inevitably be affected by any changes to Superfund's cleanup
priorities.

1
INITIATIVE 12:  CONTRACTS MANAGEMENT

Issue

     From the inception of the Superfund program, the  majority of
work has been contracted out.  Superfund contracts currently
constitute the majority of all EPA contracts (by dollar volume).
No other program in EPA had been structured to  manage  large,
intricate contracts for the extremely complex work of  handling,
analyzing, studying and cleaning up hazardous waste.   As the
Superfund program grew, the amount of work contracted  also grew
and the management problems attendant with this growth also
multiplied.  By 1989, it was apparent that Superfund contracting
required a restructuring and probler^ brought to light in  1991 in
the management of the Alternative Remedial Contracts Strategy
(ARCS) contracts and the Contract Laboratory Program (CLP)
demanded reform.

Approach

     The centralized approach to contract management which had
served the Superfund program in the past became archaic and an
impediment to most field activities and  in late 1989,  the  program
developed a Superfund Long-Term Contracting Strategy which is
restructuring all new Superfund contracts over  the next decade
according to function (e.g., architectural/engineering, rapid
cleanup response) rather than by program area  (e.g., removal,
remedial, etc.). This strategy will have all new field contracts
managed by the Regional offices rather than centrally  managed by
Headquarters, improving the efficiency and direct management of
the contractors.  In addition, the management  problems brought to
light under the ARCS and CLP contracts led to  major reforms in
the management controls of Superfund contracts.  In the case of
ARCS,  28 of the 32 recommendations made by the Task Force to
improve ARCS management have been adopted.  They encompass items
such as the development of independent government cost estimates
for all work assignments in excess of $25,000,  limiting
expenditures for contract management, reforms  to the award fee

-------
                               -41-                  June  23,  1993

process and formation  of Regional  Management Teams to  oversee
contract management  in the Regions.  Similar reforms have
occurred in the management of the  CLP.

FY93 ACTION ITEMS

Action                                  Complete

Issue solicitation for Response         6/93
Action Contracts

Issue Remedial Independent              6/93
Government Cost Estimation Guidance

Issue Remedial Contracts Cost           8/93
 Management Manual

START Procurement Package to            8/93
0AM

FY94 ACTION ITEMS

Action                                  Complete

Issue START contract solicitation       10/93

Award Enforcement Support Contracts     10/93-2/94
(1 contract per Region)

Issue RESAT contract solicitation       8/94

Award START Contracts                   9/94

Program Implications

     Superfund has taken concrete steps to improve contract
management and assuage many of the criticisms engendered by past
practices.   A limitation to additional improvement of the
Regional management of contracts is the lack of contracting
officer resources in the Regions.  Resources to develop guidance
and improve oversight have already been invested by the program
and need to continue to see the benefits of cost efficiency and
effective contract management.  The Superfund Long-Term
Contracting Strategy will see smaller contracts, managed by the
personnel in the offices where the work is conducted.  In
addition, the opportunity for smaller firms to compete for many
of these contracts are  increased due to the smaller size and
Regional location, rather than large national or other geographic
coverage requirements.  Superfund is beginning to see the
benefits of investing  in good management practices by cost
savings in areas such  as program management and in improved
performance by our contractors.

-------
                                -42-                  June 23,  1993


 INITIATIVE 13:  ENFORCEMENT FIRST

 Issue

      In the early days of the Superfund program, EPA's efforts
 were concentrated on initiating the study phase of Superfund.  As
 the program developed, the ability to identify responsible
 parties grew.  Rather than expending fund money to finance study
 and cleanup of sites, it became clear that the burden should be
"shifted to the responsible parties under Agency oversight.
)
 Approach
r,

      The 90-Day Study of Superfund, completed in 1989, made a
 number of recommendations to strengthen enforcement and  increase
 private party response.  These recommendations involved  increased
 use of enforcement and settlement authorities, better integration
 of enforcement and Fund-financed cleanup activities,  improved
 case management and case support,  stronger responsible party
 oversight and cost recovery,  and better intergovernmental
 coordination.

      Based on these recommendations,  the Administrator shifted
 the emphasis of the program to "Enforcement First" and added
 resources to the enforcement program.   As a result,  the portion
 of remedial actions conducted by PRPs increased from 30 percent
 in FY87 to 70 percent in FY92.   During that same time period,  the
 value of CERCLA settlements increased from less than  half a
 billion a year to almost $1.5 billion.   EPA will continue to
 evaluate Regional enforcement performance on a variety of
 grounds, including RD/RA negotiation  completions,  the number of
 civil judicial referrals of RD/RA settlements and cost recovery
 actions, unilateral orders in compliance,  the value  of response
 actions, and the number of enforcement actions to compel
 compliance with existing orders and decrees.

 Program Implications

      The continued importance of enforcement and maximization of
 PRP involvement in remedial and removal activities was re-
 emphasized by the Acting Assistant Administrator for  the Office
 of Solid Waste and Emergency Response and the Office  of
 Enforcement in a memo dated February  2,  1993.-  More  recently,  the
 Administrator has reinforced the "polluter pays" principle in
 testimony before Congress and reaffirmed EPA's commitment to
 enforcement first.

      As EPA tests out new ways to increase enforcement fairness,
 reduce transaction costs, and accelerate cleanups,  the Agency
 will continue to use its enforcement  authorities to  encourage
 PRPs to conduct investigations and cleanups.   EPA believes the

-------
                               -43-                 June  23,  1993

initiatives outlined  in this report are consistent with the
"enforcement first" approach and EPA's commitment to the
principle of site-specific polluter liability.


INITIATIVE 14:  ACCELERATE CLEANUP AT BASE CLOSURES

Issue

     The cleanup challenge at Federal facilities is heightened at
closing or realigning installations because of pressure for (
expeditious transfer  of property to non-Federal interests for
economic development.  State and local communities are      «
understandably concerned about the impact of base closure and
realignment on their  economies.  The timely reutilization of
these installations is essential if the Federal government is to
minimize the economic dislocations to these communities.  There
are two facets to this problem:  identifying areas of closing
bases that are not contaminated or are otherwise suitable for
transfer, and identifying ways to accelerate cleanup on those
areas of closing bases that are contaminated.

     In October, 1992 Congress passed the Community Environmental
Response Facilitation Act (CERFA), which directs the Department
of Defense (DOD) to conduct a review of its real property on
closing bases to identify parcels that are uncontaminated.  EPA
must concur in the identification for property on the NPL.  CERFA
also amended CERCLA Section 120(h)(3)  to allow for property
transfers by deed at  the point when cleanup remedies are
constructed, installed and demonstrated to EPA to be properly and
successfully operational.  This provision was not limited to
closing or realigning-bases on the NPL.

Approach

     There are three  major efforts underway by DOD and EPA to
expedite land transfers and accelerate cleanups at closing bases
and other Federal installations.  DOD has the lead to develop
guidances on base closures, and EPA is developing policies to
address future land use at Federal Facilities, and to apply the
Superfund Accelerated Cleanup Model (SACM), as appropriate.

     With respect to  base closures, DOD currently has the lead on
two guidances to expedite the transfer of property by deed or by
lease.  These are the guidances on "Finding of Suitability to
Transfer"  (FOST) and  "Finding of Suitability to Lease" (FOSL).
These guidances will  define a process to identify parcels of land
suitable to transfer  or lease  (criteria will differ somewhat);
ensure that transfers or leases do not interfere with cleanup
actions being conducted under Federal Facility Agreements; and
assure compliance with applicable environmental requirements.

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                                -44-                 June 23, 1993

      For both guidances, OOD and EPA are working towards a final
 policy deadline of September 30, 1993.  EPA is working to
 facilitate this process, without compromising the substance of
 environmental protection.  This is an opportunity for all
 involved parties to work together cooperatively and defuse the
 conflicts that are often seen between economic development and
 environmental protection.

      EPA will develop guidances for Federal facilities in two key
 areas,  to facilitate cleanup of closing bases (as well as other
^Federal installations)  as follows:

      fi)  Future Land Use at Federal Facilities

      EPA and other Federal agencies have debated various me^ns to
 include future land use assumptions within the risk assessment
 process.   In practice,  EPA has often taken a conservative
 approach to land use (i.e.,  residential)  when making remedy
 decisions.   Other Federal agencies  have long argued that many of
 their contaminated areas will not have public access or
 residential use and will have restricted access.  In the case  of
 closing bases,  future land use is frequently known early in the
 RI/FS process.    The NCP and relevant EPA guidances have some
 flexibility to allow for reasonable assumptions about future  land
 use  to be made.

      Early resolution of this matter is especially critical where
 future land use and redevelopment will minimize the economic
 impact of base closings.   EPA will  develop an issue paper on
 land-use options at Federal  facilities and possibly a  subsequent
 land use policy particular to Federal facilities.   This  will  be
 coordinated with the land use directive to be issued under
 Initiative Number 5."~

      fii)  Accelerated Cleanup Policy

      Since the announcement  last summer of the Superfund
 Accelerated Cleanup Model (SACM), other Federal agencies have
 been requesting EPA guidance on the scope and limits of
 accelerated cleanup efforts  at their installations.  Although
 certain components of SACM are readily transferable, CERCLA
 Section 120 and Executive Order 12580 limit EPA's  role at NPL and
 non-NPL sites.   EPA is now drafting a policy which endorses the
 application of SACM along with installation-wide joint planning,
 identification of cleanup standards based on land  use;  concurrent
 review of documents; intensive' in-person review of documents  and
 resolution of issues; overlapping phases of. the CERCLA process;
 identification and implementation of interim response  actions and
 removal actions; reduced levels of  oversight/less  document
 review; utilization of innovative technologies; and improvements
 of contracting procedures.   In addition,  because of EPA resource
 limitations which may delay site clean up, EPA is  considering

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                               -45-                 June 23,  1993

deferring oversight responsibility to the States.  EPA is already
working with other Federal agencies to identify demonstration
projects/sites for these approaches.

FY93 ACTION ITEMS

Action                                  Complete

DOD, with EPA input,                    9/93
issue final guidance for
policy on Finding of
Suitability to Transfer
(FOST) clean parcels

DOD, with EPA input,                    9/93
issue final guidance for
policy on Finding of
Suitability to Lease
(FOSL) clean parcels

NOTE:  FOST and FOSL policies and guidance are DOD deliverables

Issue policy on                         9/93
Accelerated Cleanup
at Federal facilities

Identify Federal facility               9/93
sites for accelerated
cleanup demonstration projects

Monitor quarterly progress              Ongoing
of demonstration projects

Develop issue paper on land use         10/93
at Federal facilities

Program Implications

     The FOST and FOSL policies will provide for the timely
identification of properties for transfer by deed or lease.
Without the policies, EPA could become a bottleneck in the
transfer process.  The accelerated cleanup guidance and the
Federal facility land use policy will clarify policy issues and
will not delay property transfers.  Expedited cleanup will results
in faster and more cleanups, and possibly cost savings in the
long term.

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                                -46-                 June 23,  1993

 INITIATIVE 15:  PROMOTE USE OF INNOVATIVE TECHNOLOGY

 A.    Promote Use of innovative Technology at Orphan sites and
      Federal Facilities through Accelerating Public/Private
      Partnership

 Issue

      Technology development and evaluation are hampered by a
 shortage of facilities where larger-scale testing can be
'conducted using actual hazardous waste.   "Orphan" sites and
5Federal facilities are excellent candidates for larger-scale
 testing.   PRP-lead sites may also be suitable for such purposes
"under appropriate circumstances.

Approach

      In FY93,  the Agency will mobilize an additional  4 Federal
 facilities with up to 28 private  parties  where larger-scale
testing of innovative technologies can be conducted.   After
selecting the  candidates and establishing evaluation  criteria,
the  Agency will initiate these demonstration projects.

      The  Agency will  also be continuing efforts to work with  OOO
and  DOE to develop public/private technology initiatives.

FY93 ACTION ITEMS

Action                                 Complete

Continue  DOD McClellan                 Ongoing
Partnership

Develop Policy                         8/93
re:  Fed Facilities
as Test Centers

Mobilize  Private Firms to              9/93
Participate in Additional
Partnerships at a Conference with
Deputy Administrator  and
Senior EPA Officials

Conclude  Agreement with DOE             9/93
on Pinellas facility

Develop Policy re:                      9/93
use  of innovative
technology'in  agreements,
orders and lAGs

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                               -47-                 June  23,  1993

FY94 ACTION ITEMS

Action                                  Complete

Develop Evaluation                      10/93
Methodology

Develop Procurement                     Ongoing
Package(s)

Initiate demonstration                  Ongoing
projects

Prepare for and                         1/94
Conduct Conference
on Barriers to Use of
Innovative Technology

Program Implications

     Activity in this area will accelerate the development of
promising innovative technologies.  The pilot projects will
provide increased confidence that the tested technologies will
work at larger scales and through a range of operating
conditions.  As a result, the pilot projects will provide
information useful in remedy selection decisions (including cost
data) at other sites.

     The testing of innovative technologies may cause cleanup
delays and increased costs at the pilot sites.  Successful
implementation of partnerships will be affected by availability
of resources for evaluation.

B.   Assess Adequacy of Innovative Technology Data Bases

Issue

     Information on remedial technology performance is currently
limited.  Whether treatability study information or the results
of full-scale remediation efforts, it is essential that this
information be collected and made readily available through data
bases and/or other appropriate mechanisms to Federal and State
site-specific decision-makers and program managers, and to other
interested parties.

Approach

     Technology performance and cost information will be acquired
from EPA, other Federal agencies such as DOD and DOE, state lead
cleanups, and private sector activities.  EPA currently has data
bases which contain some information on remediation technology
performance including the Alternative Treatment Technology

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                               -48-                  June 23,  1993

Information Clearinghouse  (ATTIC)  and  the Vendor Information
System of Innovative Treatment Technologies  (VISITT).   EPA is in
the process of developing  the Decision Document Data Base (3-DB)
to. address many of the information management  shortcomings which
have been identified by internal and external  studies.

     The Agency will undertake the following activities to
implement this option:

     1) Assess existing mechanisms for acquiring information  with
     particular focus on EPA data  and  information from  other
     Federal agencies.  Merge EPA  efforts  with those of the Air
     Force to collect cost and performance data.  Investigate
     mechanisms to improve acquisition of  information from State
     and private sector activities.

     2) Assess existing and proposed data  bases  - Areas to be
     investigated include currency and utility of information and
     ease of access and use.

     3) Institute improvements as necessary in information
     acquisition and dissemination mechanisms.

FY93 ACTION ITEMS

Action                                  Complete

Ensure that treatment                   9/93
technology information is
provided to repositories

FY94 ACTION ITEMS

Action                                  Complete

Assess existing and potential           1/94
technology data bases
                           . *.*•*.'•'
Upgrade data bases if                   8/94
necessary     _

Program Implications

     Comprehensive, readily accessible treatment technology
information improves timeliness and consistency of remedy-
selection.  It also facilitates implementation of initiatives
such as presumptive remedies.  Lastly,  it  reduces risk  associated
with emerging technologies.  Reviewing and upgrading the data
bases  will require a commitment of new resources  to this area.

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                               -49-                 June  23,  1993

INITIATIVE 16:  COMPLIANCE MONITORING

Issue

     We have been very successful  in our efforts to get PRPs  to
clean-up sites.  In FY92, PRPs signed consent agreements  (or  were
in compliance with unilateral orders) totaling approximately  $1.5
billion.  The total value of PRP obligations is now $7.5  billion.
As the number and total dollar value of PRP commitments increase,
monitoring PRP compliance with these agreements and orders  *
becomes increasingly important.  Fully 70% of all new remedies
are enforcement-lead, and this level is expected to continue".  An
aggressive program of compliance monitoring and enforcement will
ensure that enforcement-lead cleanups progress in a timely
fashion.

     In FY92,  OSWER defined national milestones for the terms
and conditions of compliance with CERCLA orders and decrees.  The
Regions are free to develop their own procedures for compliance
monitoring and enforcement so long as these procedures provide
for clearly defined roles and responsibilities for program and
ORC staff; routine documentation of non-compliance; documentation
of recommended responses to non-compliance; management review and
concurrence with recommended responses to non-compliance; and
notification of Regional financial management staff when a
stipulated penalty assessment is made.   OSWER has not mandated
any particular compliance monitoring arrangement and intends to
continue with this approach so long as significant Regional
progress continues to be made in implementing compliance
monitoring programs.

Approach

     OSWER is currently working with the Regions to develop
Regional compliance monitoring and enforcement procedures.  Draft
procedures are expected to be substantially completed by
September 1993.  Concurrent with the development of these
procedures, Regional program offices will install enhanced
compliance tracking systems based on the FY92 terms and
conditions milestones, and will begin entering compliance data
into these systems for FY92 and FY93 orders and decrees.

     During FY94, terms and conditions data for all remaining
orders and decrees will be entered into compliance tracking
systems, and Regional compliance monitoring and enforcement
procedures will be revised and finalized.  During the second
quarter of FY94, OSWER will work with the Regions to develop
reporting and success measures for compliance monitoring and
enforcement.  In addition, Regional compliance monitoring and
enforcement procedures should be revised and finalized by June
1994.

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                               -50-                  June 23, 1993

 FY93  ACTION ITEMS

 Action                                   Complete

 Develop  Draft Regional Procedures       9/93

 PY94  ACTION ITEMS

 Action

.Define Reporting  Measures                3/94
t
.3egin Entering FY92  and FY93 Order       3/94
 and Decree  Data

 Finalize Regional Procedures             6/94

 Enter pre-FY92  Order and Decree Data     9/94

 Program Implications

      Assuring  compliance with CERCLA orders  and decrees will  send
 a strong message  to  the  PRP community that the Agency  is
 aggressively monitoring  compliance with  its  consent agreements.
 By having procedures in  place in all ten Regions, the  Agency  will
 also  be signaling to the PRP community that  it intends to enforce
 against non-compliers.   As a result, PRP cleanups should be
 conducted in a  more  timely fashion.  Implementation of a
 compliance monitoring program will, however, take a significant
 investment in time and resources to extract  and enter  compliance
 data  for the approximately 1300 orders and decrees that are
 currently active.


 INITIATIVE 17:  IMPROVE  THE EFFECTIVENESS OF COST RECOVERY

     There has  been  criticism that EPA has not been actively
 recovering federal money spent in the Superfund program and is in
 danger of missing its opportunities in certain cases due to the
 statute of limitations.  To address these concerns, EPA is
 currently undertaking several initiatives including: integrating
 financial and Superfund  information systems, and promulgating the
 cost  recovery rule.

 A.    IMPROVE INTERACTION BETWEEN THE FINANCIAL AND SUPERFUND
      INFORMATION  SYSTEMS

 Issue

      The information systems used by the Financial Management
 Division (FMD)  and by Superfund record different information on
 Superfund sites.  The Superfund information  system does not

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                               -51-                 June 23,  1993

receive current Agency obligation and disbursement information
from the FMD financial system.  Because of this, the cost data
maintained by FMD and the obligations and planning data
maintained by Superfund are sometimes difficult to match.  There
has not been a system-wide reconciliation between the two
systems, and as a result, it is very difficult to combine data
from the two systems to obtain a full report for cost recovery
activities.

Approach

     Establish automated reports that effectively merge data  from
the two systems.  Resolve certain issues related to comparability
of identifiers and general access to data.

FY93 ACTION ITEMS

Action Items                            Complete

Develop an SOL report that uses         7/93
CERCLIS planning data, CERCLIS
obligations and IFMS actual past
costs to present a complete picture
of both past and future SOLs, and
their respective past costs

Develop a general cost recovery         9/93
report that uses CERCLIS planning
data, CERCLIS obligations and
IFMS actual past costs to present
a complete picture of recoverable
past costs and the status of
all efforts to address those costs.

FY94 ACTION ITEMS

Action Items                            Complete

Engage FMD in developing permanent      9/94
links between CERCLIS and IFMS

         implications
      Improving  data  systems will allow better .matching of site
 activity and actual  costs  and matching of settlements and receipt
 of  settlement funds.   In this way, the program can base case
 targeting on actual  past cost data rather than planned
 obligations,  and substantially  reduce staff time devoted to data
 verification.

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                                -52-                  June 23,  1993

 B. COST RECOVERY RULE

 Issue

      Several operational issues concerning cost recovery were not
 fully defined in CERCLA or the NCP.  These issues  include:
 identifying the types of costs included in indirect  cost rates
 and the methodology used to calculate them; clarifying the  types
 of documentation that the government will provide  as part of  a
, cost recovery case; and interpreting how CERCLA's  Statute of
"Limitations (SOL) is to be applied to sites with multiple
} response actions.  As a result, the cost recovery  program risks
^ considerable transaction costs from case-by-case disputes on
 these points.   Promulgation of a rule clarifying these matters
 should, in the long term, reduce transaction costs.

 Approach

      The proposed rule has been published in the Federal  Register
 and the public comment period has closed.   Consideration  of
 comments received has been a collaborative effort  involving a
 number of EPA offices and DOJ.  Work continues to review  public
 comments and incorporate revisions as appropriate.

 FY93 ACTION ITEHS

 Action Items                            Complete

 Continue reviewing comments             Ongoing
 and drafting revisions to
 proposed rule,  as appropriate

 FY94 ACTION ITEMS

 Action Items                            Complete

 Decide whether to promulgate            12/93
 Cost Recovery Rule

 Program Implications

      The final Cost Recovery Rule will address several important
 issues, including cost documentation requirements and how the
 statute of limitations applies at sites with multiple response
 actions.  While most provisions could be implemented without the
 rule, each case would,  in the absence of the rule,  still  be
 subject to case-by-case challenges.

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