United States Office of Publication 9834 7-ibFS Environmental Protection Sotid Waste and May 1991 Agency Emergency Response SEPA Summary of "Methodologies for Implementation of CERCLA Section 122(g)(1)(a) De Minimis Waste Contributor Settlements' Office of Waste Programs Enforcement Quick Reference Fact Sheet CERCLA Enforcement DivisiorVGEB/OS-510 A de minimis party is a Potentially Responsible Party (PRP) who satisfies the requirements for liability under CERCLA section 107(a) and who does not have a valid 107(b) defense, but who has made only a minimal contribution (by amount and toxicity) of hazardous Ğcf>sat a site. De minimis settlements hel p resolve de minimis party liability early, thereby simpnT , >...sand litigation with remaining non- de minimis parties. This summary is intended for use only as a supplement, not a replacement, to the Agency guidance on "Methodologies for Implementation of CERCLA section 122(g)(1)(a) De Minimis Waste Contributor Settlements," OSWER Directive # 9834.7-1 B, issued December 20,1989. Criteria for Eligibility PRPs must meet the following criteria to qualify for a de minimis settlement: The settlement involves only a minor portion of the response costs at the site, Theamountof hazardous substances they contributed is minimal compared to that of other PRPs; and The toxic or other hazardous effects of their wastes are minimal compared to other hazardous substances at the site. PRPs may qualify as de minimis candidates if: Thein-wastecontributionsareadequately documented in waste-in lists. If insufficient data exist, the burden should be placed on the PRPs to provide this information to back up any de minimis eligibility claims. Past costs are well documented, and future remedial responsecostscan be estimated. Vtable non-de minimis PRPs exist against whom the Agency has a strong liability case. Site Management Plan The following should be incorporated into the site management plan: timeline for case strategy; details of PRP search activities; allocation of shares; information on past and future costs; and communication and information exchange. Communication PRPs should organize themselves into steering committees. The steering committees should ------- develop a single proposal representing the de minimis parties' agreement. Non-de minimis parties should be informed about any potential de minimis settlement. Timing A1 though a non-timecritical, non-NPL site removal de minimis settlement may be appropriate in limited circumstances, a de minimis proposal is more easily developed for remedial sites. Costs EP Ashouid provide thefollowingcost information to PRPs: Pre-RI/FS costs; RI /FS and ROD costs; RD/RA costs; Oversight costs; Operation and maintenance costs; and contingency for unknown future costs Premiums Premiums for future costs should be based on whether a remedy has been selected, the Remedial Project Manager's (RPM's) engineering judgment of potential problems with a selected remedy, potential cost overruns,and risk of off-site disposal liability. Reopeners Reopeners may allow the government to: seek further relief from any settling party if information is discovered which indicates that the party no longer satisfies the de minimis criteria; seek additional relief from settling parties due to cost overruns; or seek further relief for further necessary r ...on. Settlement Options Some PRPs would rather cash out at a higher premium and have more limited reopeners. Others may prefer to pay a lower premium and have broader reopeners. Other options include a percentage-based settlement and a global settlement with the non-de minimis settling PRPs For more information or questions, please contact the Guidance and Evaluation Branch, OWPE, at FTS 475-6771. ------- |