Environmental Protection Chief Financial Offic
 Agency ,      (271OA)   .^
S^MARYQFffit
  , >•        -' '  «, •''   x*
2004 BUDGET  -
            -L.6V


-------
        United States              Office Of The              EPA-205-S-03-001
        Environmental Protection    Chief Financial Officer       February 2003
        Agency                   (271OA)
Photographs front /back covers courtesy of
Terry Woomer,  U.S. Environmental Protection Agency

-------
                            Table Of Contents
Introduction and Overview:
EPA's Mission and Goals	iii
Annual Plan and Budget Overview	iv
Goals:
Goal 1:   Clean Air	1-1
Goal 2:   Clean and Safe Water	2-1
Goal 3:   Safe Food	3-1
Goal 4:   Preventing Pollution and Reducing Risk in
         Communities, Homes, Workplaces and Ecosystems	4-1
Goal 5:   Better Waste Management and Restoration of
         Contaminated Waste Sites and Emergency Response	5-1
Goal 6:   Reduction of Global and Cross-Border Environmental Risks	6-1
Goal 7:   Quality Environmental Information	7-1
Goal 8:   Sound Science, Improved Understanding of Environmental Risk
         and Greater Innovation to Address Environmental Problems	8-1
Goal 9:   A Credible Deterrent to Pollution and Greater Compliance with the Law	9-1
Goal 10:  Effective Management	10-1
Appendices:
Categorical Grants Program	A-l
Infrastructure Financing	B-l
Trust Funds	C-l
Budget Tables
   Agency Resources by Appropriation	D-l
   Agency Resources by Goal	D-2
   Agency Workforce by Goal 	D-3
   Key Programs	D-4
List of Acronyms	E-l

-------
This page intentionally left blank
               11

-------
                      EPA's Missions and Goals
       The mission of the Environmental Protection Agency (EPA)  is to protect
human health and to safeguard the natural environment —air, water,  and land
—upon which life depends.

       EPA has developed a series often strategic, long-term goals in its Strategic
Plan.   These goals, together with  the underlying principles that will be used to
achieve  them,   define  the  Agency's  planning,  budgeting,  analysis,  and
accountability process.
Clean Air
The air in every American community will be safe and healthy to breathe. In particular, children,
the elderly, and people with respiratory ailments will be protected from health risks of breathing
polluted air. Reducing air pollution will also protect the environment, resulting in many benefits,
such as restoring life in damaged ecosystems  and reducing health  risks  to  those whose
subsistence depends directly on those ecosystems.

Clean and Safe Water
All Americans will have  drinking water that is clean and safe to drink. Effective protection of
America's rivers, lakes, wetlands, aquifers, and coastal and ocean waters will sustain fish, plants,
and wildlife, as well as recreational,  subsistence, and economic activities. Watersheds and their
aquatic ecosystems will  be restored and protected to improve public  health, enhance water
quality, reduce flooding, and provide habitat for wildlife.

Safe Food
The foods Americans eat  will be free from unsafe pesticide residues. Particular attention will be
given to protecting subpopulations that may be  more susceptible to adverse effects of pesticides
or have higher dietary exposures to pesticide residues. These include children and people whose
diets include large amounts of noncommercial foods.

Preventing Pollution and Reducing Risk in Communities, Homes, Workplaces,
and Ecosystems
Pollution prevention and risk  management  strategies aimed at eliminating,  reducing,  or
minimizing  emissions and contamination will result in cleaner and  safer environments in which
all Americans can reside,  work, and enjoy life. EPA will safeguard ecosystems and promote the
health of natural communities that are integral to the quality of life in this nation.

-------
                     EPA's Missions and Goals
Better Waste Management, Restoration of Contaminated Waste Sites, and
Emergency Response
America's wastes will be stored, treated, and disposed of in ways that prevent harm to people
and the natural environment.  EPA will work to clean up previously polluted sites, restore them
to uses appropriate for surrounding communities, and respond to and prevent waste-related or
industrial accidents.

Reduction of Global and Cross-Border Environmental Risks
The United States will lead other nations in successful, multilateral efforts to reduce significant
risks to human health and ecosystems from climate change, stratospheric ozone depletion, and
other hazards of international concern.

Quality Environmental Information
The public and decision makers at all levels will have access to information about environmental
conditions and  human  health to  inform  decision making and help  assess  the  general
environmental health of communities. The public will also have access to educational  services
and information services and tools that provide for the reliable and secure exchange of quality
environmental information.

Sound Science, Improved Understanding of Environmental Risk, and Greater
Innovation to Address Environmental Problems
EPA will  develop and apply the best  available science  for addressing current and future
environmental hazards as well as new approaches toward improving environmental protection.

A Credible Deterrent to Pollution and Greater Compliance with the Law

EPA will ensure full compliance with laws intended to protect human health and the
environment.

Effective Management
EPA will maintain the highest-quality standards for environmental leadership and for effective
internal management and fiscal responsibility by managing for results
                                        11

-------
                Annual Plan and Budget Overview
    The EPA's FY 2004  Annual Plan  and
Budget requests $7.6 billion in discretionary
budget  authority   and  17,850   Full  Time
Equivalents  (FTE).   This  budget  request
supports  the  Agency's  core programs  and
implementation of critical components of the
President's     Management      Agenda.
Additionally,  this request  emphasizes  the
importance of adequate resources and vision
necessary to reach our nation's environmental
goals. Resources  also support the Agency's
efforts to  work  with its  partners  toward
cleaner air, purer  water, and better-protected
land, as well  as providing for EPA's role in
safeguarding  the  American people  from
terrorist acts.   The request also  supports the
Administration's commitment to setting high
environmental protection  standards,  while
focusing  on  results  and  performance,  and
achieving  goals outlined in the President's
Management Agenda.

    Implementation    of   the   President's
Management Agenda is a major focus of the
Agency's FY 2004 budget request. EPA has
identified  major  efforts  to accelerate  its
progress  in  "getting  to green"  in  all  five
initiatives:    Budget    and    Performance
Integration, Improved Financial Performance,
Expanding   E-Government,   Competitive
Sourcing,  and  Strategic  Management  of
Human  Capital.    The Agency's plans  are
described  throughout this justification.   The
Office of Management and  Budget (OMB)
rated progress "green"  in all five areas.

Strengthening Base Environmental
Programs

    This Annual Plan and Budget submission
demonstrates  EPA's  commitment  to  our
principal    objectives—safeguarding    and
restoring   America's   air,  water,  and  land
resources—by strengthening and refining our
base environmental  programs.   This  budget
supports the President's Clear Skies Initiative,
an  aggressive  plan  to  cut  power  plant
emissions by 70 percent. Such emissions cuts
will be an essential  component of improving
air   quality   and   thus   human   health.
Additionally, EPA's budget request places a
strong emphasis on core  water programs to
improve our water management  framework,
program  implementation,  and  information
sharing.  To help States and Tribes fill  critical
gaps in fulfillment of their Clean Water  Act
responsibilities,  this  budget increases funding
to States, Tribes,  and interstate agencies.
EPA's  plan also requests  a  $150  million
increase  for  Superfund  remedial cleanup
costs.

Fostering Stronger Partnerships

   The Agency is committed to building  and
enhancing effective  partnerships.  To  do so,
this  budget  provides  $210.7  million,   $10
million  above   last  year's   funding,   for
Brownfields.  As one of the Administration's
top environmental priorities and a key to
restoring  contaminated sites  to productive
use,  the Brownfields program  will draw on
these additional  resources to  enhance State
and Tribal response programs.  By protecting
land and  revitalizing  contaminated  sites
throughout the US, EPA continues to expand
efforts  to foster  healthy  and  economically
sustainable  communities  and  attract  new
investments to rejuvenated areas.  This  budget
also  requests increased funds  over the  FY
2003 President's Request  for the Federal
enforcement workforce.  The Agency  will
maximize    compliance     and   achieve
environmental    results   through  targeted
inspections  and enforcement, by responding
to public and other complaints, and enhancing
field presence to  address  environmental  law
                                          in

-------
                 Annual Plan and Budget Overview
violators.  In FY 2004, EPA will conduct a
study to assess environmental service delivery
systems,     including    EPA's    National
Environmental    Performance    Partnership
System.

Enhancing Strong Science

    Sound   science   is    a    fundamental
component of EPA's work.  The Agency has
long relied upon science  and technology to
help discern  and evaluate  threats to human
health and the natural environment.  Much of
our decision-making, policy, and regulatory
successes  stem  from  reliance  on  quality
scientific research aimed at achieving EPA's
environmental goals.   This budget increases
funding for  modernization  and expansion of
the  Integrated  Risk   Information   System
(IRIS)--a database  of human health effects
that  result  from  exposure   to  various
environmental substances.  Our proposal also
allocates additional  resources  to  research
America's  sensitive  populations,  including
children and the elderly. In addition, EPA is
requesting resources for the newly established
Science Advisor.  The  Science Advisor will
be  responsible  for ensuring the  availability
and use of the best science to support Agency
policies and decisions, as well as advising the
EPA Administrator on science and technology
issues and  their  relationship  to  Agency
policies, procedures, and decisions.  EPA is
also taking a number of steps to attract  and
maintain a  high  quality,  diverse  scientific
workforce and improve the use of science in
EPA's regional offices.

Cleaner Air

    The Clear Skies initiative draws on EPA's
experience  to modernize the Clean Air Act.
Using a  market-based  approach,  the Clear
Skies Initiative will dramatically cut power
plants'  emissions  of  three  of  the  most
significant   air   pollutants—862,   nitrogen
oxides (NOX), and  mercury.   Reductions in
SC>2 and  NOX emissions  will  also  reduce
airborne PM2.5. EPA's approach builds upon
the success of the  acid  rain cap-and-trade
program  created by  Congress  in 1990.  The
Clear   Skies    initiative   will    achieve
substantially   greater   reductions   in    air
pollution from power plants more quickly and
with more  certainty than  the  existing Clean
Air Act.   The initiative requires mandatory
cuts of SC>2,  NOX,  and  mercury (Hg) by an
average of  70% from  today's  levels,  and
ensures that  these  levels are achieved  and
sustained through caps on emissions.  Despite
these reductions, some  States will need to
implement further measures to meet National
Ambient  Air  Quality  Standards  (NAAQS).
To help  States and localities develop cost-
effective  strategies,  EPA  also will need to
provide assistance  to  States  to  implement
reductions.
 Air toxics emissions nationwide from stationary and
 mobile sources combined will be reduced by an
 additional 2% of the updated 1993 baseline of 6.0
 million tons for a cumulative reduction of 37%.
    In FY 2004, EPA will assist States, Tribes
and local governments in devising additional
stationary and mobile  source strategies to
reduce ozone, particulate matter,  and other
pollutants.
 The  number  of people  living in areas  with
 monitored ambient ozone concentrations below the
 NAAQS  for the one-hour ozone  standard will
 increase by  1% (relative to 2003) for a cumulative
 total of 20% Relative to 1992V
                                           IV

-------
                Annual Plan  and Budget Overview
    The Agency will  develop strategies and
rules  to  help  States  and  Tribes  reduce
emissions  and  exposure  to hazardous  air
pollutants,  particularly in urban  areas, and
reduce harmful deposition in water bodies.  A
key to achieving the Clean Air Goal  is $235.6
million included in this budget for air grants
that support States and Tribes.

    EPA's air research program will continue
to provide a strong scientific basis for policy
and   regulatory   decisions   and   exploring
emerging problem areas.
  Greenhouse gas emissions will be reduced from
  projected levels by approximately 81 MMTCE per
  year through  EPA partnerships with businesses,
  schools,  state and local  governments, and other
  organizations.
Addressing Climate Change

This budget request includes $130.0 million
to  meet   the   Agency's   climate  change
objectives by working with business and other
sectors to  deliver multiple  benefits  - from
cleaner  air  to  lower energy  bills - while
improving overall scientific understanding of
climate     change   and    its    potential
consequences.    The core of EPA's climate
change   efforts  are   government/industry
partnership programs designed to capitalize
on the tremendous opportunities available to
consumers, businesses, and  organizations to
make   sound   investments   in   efficient
equipment  and  practices.   These programs
help  remove  barriers  in the  marketplace,
resulting in faster deployment of technology
into     the     residential,      commercial,
transportation,  and  industrial sectors  of the
economy.   EPA's Global Change Research
Program  supports one of six Administration
FY   2004   Interagency   Research    and
Development  Priorities  -  Climate  Change
Science and Technology.  EPA will continue
research in this  area in FY 2004 to address
Climate  Change Science  Program  (CCSP)
needs.

Purer  Water

    Since enactment of the Clean Water Act
(CWA)  and  Safe  Drinking  Water  Act
(SDWA)  three  decades  ago,  government,
citizens, and the private  sector have worked
together to make dramatic improvements in
the quality  of  surface waters  and drinking
water  supplies.   Despite  improvements  in
water   quality   nationwide,  serious   water
pollution  and   drinking   water  problems,
including nonpoint  source  pollution,  still
exist.
 Water quality will improve on a watershed basis such
 that 625 of the nation's 2,262 watersheds will have
 greater than 80 percent of assessed waters meeting all
 water quality standards, up from 500 watersheds in
 1998
•   Strengthening Water Core Programs.  In
    FY 2004 the Agency will place a strong
    emphasis  on   core water  programs--
    monitoring   and  assessment,  standard
    setting,   watershed   planning,     and
    implementation   (i.e.,    NPDES    and
    drinking water).  Through investments in
    core  water  programs,   EPA  hopes  to
    remedy     significant     environmental
    problems   and   boost   environmental
    performance by:

•   Working with the States to enhance their
    monitoring  and  assessment  programs,
    with  an emphasis  on  a  probabilistic,
    science-based approach in assessing water
    quality,  increasing the number of waters
    directly  measured, and  unifying Federal,
    State, and local monitoring efforts.

-------
                 Annual Plan and Budget Overview
   Assisting States  and Tribes in ensuring
   that water quality standards  are effective
   and appropriate  for use  in developing
   Total Maximum  Daily Loads  (TMDLs).
 92  percent  of the  population  served  by the
 community water  systems  will receive drinking
 water meeting all health-based  standards in effect
 as of 1994, up from 83 percent in 1994.  85 percent
 of the  population served  by  community  water
 systems will receive drinking water meeting health-
 based standards promulgated in or after 1998.
•  Increasing   the    pace   of    TMDL
   development and working with States to
   assure    implementation   of    already
   approved  TMDLs,   including  targeting
   CWA  Section  319  non-point  source
   funding.

•  Assisting States in ensuring that facilities
   required to have permits are  covered by
   current and effective permits that  include
   all conditions  needed to  ensure water
   quality protection.

•  Strengthening    the   drinking    water
   implementation  program  to  maintain
   effective  State  and tribal programs and to
   achieve  the enhanced  level  of public
   health protection established in 1998 and
   later drinking water rules.

•  Enhancing regulation of vessel discharges
   and pollution,  developing  ballast water
   standards  for  aquatic  nuisance  species,
   and   bolstering   its   ocean   dumping
   responsibilities regarding site evaluation,
   designation,  monitoring,  permit  review,
   and concurrence.

•  Protecting  Wetlands.    In  2001,  the
   Supreme   Court  determined  that  some
   isolated  waters  and  wetlands  are  not
   regulated under the  Clean Water Act.
   Millions of acres of waters are no longer
   protected under Clean Water Act, Section
   404.   EPA  is  proposing  to provide  an
   increase of $5 million in grants to States
   and Tribes  to  help  them  protect these
   waters as part of comprehensive programs
   that will achieve no net loss of wetlands.

•  Great Lakes Legacy Act.   In support of
   the  Great  Lakes  Legacy   Act,  EPA is
   requesting   $15 million in  funding for
   contaminated sediment cleanup activities.
   In  2004,  the  Agency  plans to  begin
   cleanup on two to three new sites that will
   lead to the remediation  of over  100,000
   cubic yards of contaminated  sediments.
   Some of this funding will also be used for
   assessment   and  analysis,   resulting  in
   additional cleanups.

•  Helping States Address Non-point Source
   Pollution.  The  new Farm  Bill  provides
   EPA and  the States  an opportunity  to
   accelerate national efforts to control non-
   point source pollution.  EPA and  State
   water quality agencies will work closely
   and    cooperatively    with    USDA,
   conservation  districts,  and  others  to
   combine  our  strengths.    Using  CWA
   Section  319  dollars,  States will  focus
   more of their  efforts on  providing the
   monitoring    and    watershed-planning
   support  needed  by   the   agricultural
   community  to  target their work  most
   effectively  on the  highest-priority water
   quality needs. In addition, States  will also
   increase their focus upon non-point source
   activities that  are not funded under the
   Farm Bill   (e.g., urban  runoff,  forestry,
   abandoned mines,  and a  variety of stream
   and stream bank restoration activities).
                                           VI

-------
                Annual Plan and Budget Overview
•  Extending the Federal Commitment to the
   Clean  Water and Drinking Water  State
   Revolving Funds (SRFs). The President's
   Budget proposes to fund the Clean Water
   SRF at $850 million through 2011 and
   increase the long-term revolving level by
   $800 million to $2.8 billion, a 40percent
   increase over the previous goal.   This
   extended  funding  of  $4.4  billion  is
   projected  to close the  $21  billion gap
   between current capital funding levels and
   future  water infrastructure capital needs
   estimated by EPA.  EPA also proposes  to
   fund the Drinking Water  SRF  at  $850
   million through 2018  so it can revolve  at
   $1.2 billion per year, an  increase of 140%
   over the previous goal of $500 million.

•  Safe Drinking Water in Puerto Rico.  Less
   than 20% of the people in Puerto  Rico
   receive drinking  water that meets  all
   health-based standards.   As a  first step
   toward improved public  health protection,
   the Agency  requests $8  million to design
   necessary infrastructure  improvements  to
   Metropolitiano, Puerto Rico.  When  these
   infrastructure      improvements     are
   completed, EPA estimates that  about 1.4
   million people will  enjoy  safer, cleaner
   drinking water.

•  Drinking Water Research.  To strengthen
   our  ability  to  characterize  and manage
   risks to human health posed by exposure
   to waterborne pathogens and chemicals,
   the Agency  has established an integrated,
   multi-disciplinary research program in the
   areas  of  exposure,  health  effects,  risk
   assessment,  and risk  management.   The
   FY 2004 budget request directly supports
   SDWA priorities,  including: 1) research
   on   sensitive  subpopulations,  adverse
   reproductive outcomes and other potential
   health    effects   of   drinking   water
    contaminants; 2) studies  on disinfection
    by-products  (DBFs),  arsenic,  complex
    mixtures,   and   the   occurrence   of
    waterborne  disease in the U.S.; and 3)
    development of methods to improve water
    treatment and maintain water quality in
    the distribution system.

•   Water  Quality  Research.   The water
    quality research program will demonstrate
    integrated    and   stakeholder    driven
    approaches  to achieving water quality
    goals,  as  well  as:  1)  focus   on the
    development  of  watershed  diagnostic
    methods; 2)  focus  on understanding the
    importance of critical habitats; 3) focus on
    the  impacts  of  habitat  alteration  on
    aquatic communities; and 4) support the
    development   of  ecological    criteria,
    providing  the scientific  foundation  to
    support  Total Maximum Daily  Loads
    (TMDLs).

Better Protected Land

Cleaning Up Toxic Waste

•   Superfund  at  Work.     This  budget
    continues a commitment to clean up toxic
    waste  sites  with   $1.39   billion  for
    Superfund.  This budget request includes
    $150   million   over  the   FY   2003
    President's   Budget   to   address   an
    additional 10-15  construction projects at
    Superfund sites  across the  nation.  The
    Agency  will also work to maximize the
    participation of responsible parties in site
    cleanups while promoting fairness in the
    enforcement process.  EPA  will continue
    the progress we have made in cleaning up
    toxic waste sites while  protecting public
    health and returning  land to productive
    use.  As of December 29,  2002,  EPA
    completed all final  cleanup  plans at over
                                          vn

-------
             Annual Plan  and Budget Overview
1,000  Superfund  National  Priority List
(NPL)  sites,  undertaken  over   7,300
removals  at  hazardous  waste  sites  to
immediately reduce  human health and
environmental   threats,   assessed   over
44,400  sites,  and removed more  than
33,100 sites from the national toxic waste
site list to help promote the  economic
redevelopment of  these  properties. The
waste  research  program  continues  to
support  the  Agency's  objective   of
reducing or controlling potential risks to
human  health  and the  environment  at
contaminated waste sites by accelerating
scientifically-defensible and cost-effective
decisions  for cleanup at complex sites,
mining    sites,   marine   spills,   and
Brownfields   in    accordance    with
CERCLA.

Revitalizing   Local    Economies   and
Creating  Jobs  Through  Brownfields
Cleanup  and Redevelopment.   The  FY
2004  budget  request  includes  $210.7
million for the Brownfields program. The
$10 million increase  in  State grants will
support    the     redevelopment    and
revitalization of Brownfields communities
by  providing   funding  for  additional
assessments at  hazardous  waste  and
petroleum-contaminated   properties  and
for voluntary  State  cleanup programs.
The Brownfields program will continue to
promote local cleanup and redevelopment
of industrial sites, returning  abandoned
land to productive  use and  bringing jobs
to blighted areas.
Broad-Based and Multi-Media
Approaches

Strong Science

    The  FY  2004  budget supports EPA's
efforts to further strengthen the role of science
in decision-making by using sound scientific
 The Agency will verify 35 commercial-ready air,
 water,   greenhouse   gas,   and   monitoring
 technologies, and provide this information to States,
 technology purchasers, and the public.
information and analysis to help direct policy
and   establish   priorities.     Using  the
Administration's Research and Development
Criteria (relevance, quality, and performance),
the   Agency   will   achieve   maximum
environmental  and  health  protections  by
employing the   highest  quality  scientific
methods, models,  tools, and approaches. This
budget  request  includes  $607  million  to
develop and apply strong  science to  address
both   current  and   future  environmental
challenges.  The  budget request  supports a
balanced research and development program
designed  to   address  Administration  and
Agency priorities, and meet the challenges of
the Clean Air Act (CAA), the Safe Drinking
Water Act (SOWA), the Federal Insecticide,
Fungicide, and Rodenticide Act (FIFRA), the
Food Quality Protection  Act  (FQPA),  and
other environmental statutes.  Important new
or  increased   research efforts  to reinforce
environmental    decision-making    include
computational    toxicology     (including
genomics  and  bioinformatics),  childhood
cancer    and    asthma    research,    and
environmental indicators  research.   All  of
these will allow EPA to measure progress in
achieving cleaner air, safer water, and better
protected  land resources by  assessing actual
impacts  on  human  health  and  ecological
                                      Vlll

-------
                Annual Plan and Budget Overview
quality and will provide the foundation for the
Agency's State of the Environment Report.

Agency-wide Information Technology
Advances

    The FY  2004  Budget  reexamines our
information technology challenges in order to
support E-Government, an  element  of  the
President's Management Agenda.

    Environmental    information   plays    a
particularly significant role in EPA due to the
Agency's reliance on scientific and analytical
 Performance across the Agency will benefit from
 building  and  maintaining  an  Agency-wide
 infrastructure in terms of support to:
  • Sound  science  and  environmental decision-
   making;
  • Web services addressing stakeholder and e-gov
   priorities; and,
  • Consistent desktop access.
data and its need for close collaboration with
external partners.  EPA strives to provide the
right information,  at the  right time,  in  the
right format, to the right people. The Agency
is  adapting  to the  explosion  of emerging
technologies and the information management
revolution that are enabling organizations to
become more productive, more effective and
timely   in  decision  making,  and  service
oriented. The challenge is to provide secure,
reliable,  and timely access to data and tools
for internal and external stakeholders at  the
lowest possible cost.
    In  FY  2004,  EPA  will  continue its
development of the National Environmental
Exchange Network.  The Exchange Network
is   an   electronic   method   of   sharing
environmental  data using  secure  points  of
 Forty-six States will use CDX as the  means by
 which they routinely exchange environmental data
 with two or more EPA media programs or regions.
exchange,  or   "Nodes."     The  Primary
components of the Exchange Network are the
National     Environmental     Information
Exchange Network Grant  Program and  the
Central  Data Exchange (CDX).  The  grant
program  assists  States   and   Tribes   in
evaluating their readiness to participate in the
Exchange Network, enhances their efforts to
complete   necessary   changes   to   their
information management systems to facilitate
Exchange Network participation, and supports
State  information integration  efforts.   The
grant  program also will provide training and
other  technical  assistance programs to  assist
States  and  Tribes   in   developing   and
implementing the Exchange Network.

    The CDX is the  focal point for securely
receiving, translating, and forwarding data to
EPA's data systems—the electronic reporting
gateway  to   the   Agency's   information
network. The CDX satisfies the Government
Paperwork Elimination  Act  mandates  by
providing  the  infrastructure  necessary  to
implement  electronic signature and electronic
filing  of mandated EPA reports. In FY 2004,
the CDX infrastructure, a key component of
the exchange network, will service 46 States
and at  least  2,000  private sector and local
government entities.  These facilities will use
it to provide  data to  EPA electronically.  By
widely implementing an electronic reporting
infrastructure, the CDX will reduce reliance
                                           IX

-------
                 Annual Plan and Budget Overview
paper-based  processes,  thereby  improving
data quality,  reducing  reporting burden,  and
simplifying the reporting process.

    In FY 2004 the Agency will continue the
development  of its Environmental Indicators
Initiative (EII) in  order to establish a set of
performance    indicators   that    measure
environmental   results.       Environmental
indicators  are   an   important  tool  for
simplifying,  analyzing, and  communicating
information about environmental  conditions
and human health.  EPA is in the process of
identifying environmental indicators that will
be  used  to   produce  a  draft  State-of-the
Environment  Report in FY 2003. EPA is also
reviewing these indicators to  identify gaps
and set long-term priorities for the EII.  These
indicators are designed to  measure the impact
of human activities on the environment  and
associated health effects on communities  and
ecosystems.

Working with States for Effective, Sensible
Enforcement

    Many of the environmental improvements
in this country during the past 30 years can be
attributed to  a strong  set of environmental
laws and EPA's efforts to ensure compliance
  A strong  enforcement  program  identifies and
  reduces  noncompliance   problems,  assists  the
  regulated    community    in    understanding
  environmental laws and regulations,  responds  to
  complaints from the public, strives to secure a level
  economic  playing field for law-abiding companies,
  and deters future violations.
with   those   laws   through   enforcement,
compliance      monitoring,      compliance
assistance,  and compliance incentives.  The
combination  of these tools,  in  cooperation
with our regulatory partners, provides a broad
scope  of actions designed to  protect public
health and the environment.  State, Tribal and
local   governments   bear  much   of  the
responsibility  for  ensuring  compliance,  and
EPA works  in  partnership with  them  and
other   Federal    agencies   to    promote
environmental protection.    The  FY 2004
request includes an increase of 100 workyears
over the FY 2003  President's Request to
implement  enforcement  for States  without
delegated  programs,    for   non-delegable
programs  such   as  Superfund,   or  for
compliance assistance activities.
 Increase  the regulated community's  compliance
 with environmental requirements through  their
 expanded  use  of  compliance  assistance.   The
 Agency will continue to support small business
 compliance  assistance   centers  and  develop
 compliance  assistance  tools  such  as  sector
 notebooks and compliance guides.
    The FY  2004 request will continue to
support    the     regulated    community's
compliance with environmental requirements
through voluntary  compliance incentives and
assistance  programs.    The  Agency   will
provide information  and technical assistance
to  the  regulated  community through  the
compliance assistance program to increase its
understanding of all  statutory or  regulatory
environmental requirements, thereby reducing
risk to human health  and the environment and
gaining   measurable    improvements    in
compliance.  The program will also continue
to   develop   strategies   and   compliance
assistance tools  that will support initiatives
targeted  toward  improving  compliance in
specific industrial  and commercial sectors or
with certain regulatory requirements.

-------
                Annual Plan and Budget Overview
Ensuring Safe Food

    The FY  2004  request includes $151.6
million to meet implementation challenges of
the Food Quality Protection Act (FQPA) of
1996  so that all Americans will continue to
enjoy one of the safest and most affordable
food  supplies in the world.  The  Agency's
implementation  of  FQPA  focuses  on  new
science-driven policies for pesticides review,
seeks  to  encourage  the  development of
reduced  risk  pesticides  to  provide  an
 By the end of 2004, EPA will reassess a cumulative
 78% of the 9,721 pesticide tolerances  required to
 be reassessed over ten years.
alternative  to  the  older versions  on the
market,   and  to   develop   and   deliver
information    on   alternative    pesticides/
techniques and best pest control  practices to
pesticide users. The Agency is also working
to help farmers' transit!on—without disrupting
production-to    safer    substitutes    and
alternative  farming practices.    Reassessing
existing  tolerances  ensures  food  safety,
especially  for infants  and  children,  and
ensures  that all pesticides registered for use
meet current health standards.  This budget
request  also  supports FQPA research.  That
research seeks to  reduce uncertainties in risk
assessment by developing tools to reduce
reliance on default assumptions  and support
the   development   of   new    assessment
methodologies.

Homeland Security

    The Environmental Protection Agency's
FY  2004 Annual Plan and Budget requests
$123 million  and 142 FTE to  support the
Agency's Homeland  Security responsibilities
in accordance with the Public Health Security
and Bioterrorism Preparedness and Response
Act  of  2002,  the  National   Strategy  for
Homeland    Security,    and    Presidential
Directives (FDD) 39, 62, 63.   This request
allows the  Agency  to  continue  providing
leadership for the protection of the nation's
critical water infrastructure while upgrading
and  improving  our  emergency   response
capabilities.   In addition, EPA will conduct
research  and provide guidance and technical
support  for  Federal,   State  and   local
governments, and  other institutions in  the
areas   of building  decontamination,  water
security,  and rapid risk assessment.

A Commitment to Reform and Results

   The Agency is committed to achieving the
Administration's     management    reform
priorities for a government that is  results-
oriented,  citizen-centered, and  market-based.
This Annual Plan  and  Budget represents a
strong  commitment  to reduce  regulatory
burdens and streamline Agency operations, so
that the  Agency's  focus is on positive and
measurable   environmental   results  while
working  more effectively with our partners
and stakeholders.  Since FY 1999, EPA has
undertaken significant management reform by
restructuring its budget to match the strategic
goals and objectives of its strategic plan under
the Government Performance and Results Act
(GPRA).     Since  then, EPA  has  worked
consistently  to improve  its ability to manage
for  results.     The    Agency's   current
management reform agenda fully supports the
goals of the President's Management Agenda,
and EPA has made demonstrable progress in
carrying   out  the   five  government-wide
initiatives as reflected  in Executive Branch
Scorecard   updates    and   in   delivering
environmental  results   to    our   ultimate
customer—the American people.
                                          XI

-------
          Environmental Protection Agency's
              Resources by Major Category
                         (Dollars in Billions)
      • Infrastructure
      D Trust Funds
      D Operating Programs
$9.0
$8.0
$1.0--
$0.0
    1994  1995   1996   1997   1998   1999   2000   2001   2002   2003  2004
FY1994-2002 reflect EPA's final enacted operating plan

FY2002 does not include $175.6 million provided for Homeland security in the Emergency
Supplemental Appropriations Act
FY2003 excludes $107 million for proposed new pension and health benefits legislation. To make
columns comparable, FY 2001 and FY 2002 have also been revised for this change.
                                  xn

-------
Environmental Protection Agency Workforce
lopuu
icnm .
lo^UWJ



17,000-
16^00-
16,000-
i^nm-






17,106






—





17,508







,,






17,082
	






-






17,152




















—


18,110










-




17/7Xi
1/,OAJ







-





17,558













17,478







—





17,648







-



17850


-
   199419951996199719981999200020Q120Q2200320M
  FY 1993 through FY 2002 reflect actual FTE usage.
  FYs 2003 & 2004 are workyears based on the President's budget submission.
                          Xlll

-------
         Environmental Protection Agency's
                FY2004 Budget by Goal
                 Total Agency: $7,627 Million *
                         6.1%        8.1%
              5.6%
        4.7
      24
                              4.5%  1-6%
                                                       38.7%
• Goal 1: Clean Air 8.1%
m Goal 2: Clean & Safe Water 38.7%
D Goal 3: Safe Food 1.6%
• Goal 4: Preventing Pollution 4.5%
• Goal 5: Better Waste Management 24.2%
D Goal 6: Reducing Global Risks 3.5%
D Goal 7: Quality Environmental Information 3.0%
• Goal 8: Sound Science 4.7%
D Goal 9: A Credible Deterrent to Pollution & Greater Compliance With the Law 5.6%
D Goal 10: Effective Management 6.1%
                              XIV

-------
Goal 1:  Clean Air

-------
This page intentionally left blank

-------
                           Goal 1:  Cleaner Air
Strategic Goal:  The air in every American community will be safe and healthy to breathe. In
particular,  children, the elderly,  and people with respiratory ailments will  be protected from
health risks of breathing polluted air. Reducing air pollution will also protect the environment,
resulting in many benefits, such as restoring life in damaged ecosystems and reducing health
risks to those whose subsistence depends directly on those ecosystems.
                                       Resource Summary
                                             ($ in 000)
v y
\- 	 */
8.1% of Budget
Attain NAAQS
Reduce Air Toxics Risk
Reduce Acid Rain.

FY 2003
President's
Budget
$458,856
$118,023
$21,098
$597,977
FY2004
President's
Request
$468,437
$127,747
$21,231
$617,415

Difference
$9,581
$9,724
$133
$19,438
Workyears
1,820.0
1,823.3
3.3
Background and Context

    The  average  American  breathes  over
3,000 gallons  of air each day.  Air pollution
contributes to  illnesses such as cancer and to
respiratory, developmental, and reproductive
problems.   Children  are  at  greater risk
because they  are more active outdoors and
their lungs are still developing.  The elderly
also are  more sensitive  to air  pollution
because they often have heart or lung disease.

    Certain pollutants  (such as some metals
and  certain   organic  chemicals)  that  are
emitted from industrial and other sources can
be deposited into water bodies and magnified
through the food  web,  adversely  affecting
fish-eating  animals   and  humans.    Air
  pollution also makes soil and waterways more
  acidic,   reduces  visibility,   and  accelerates
  corrosion of buildings and monuments.

     The air pollution problem is national and
  international in scope.  Air pollution regularly
  crosses local and State lines and our borders.
  This causes problems not only for the
  population in urban areas, but also for less
  populated areas and national parks. Federal
  assistance and leadership are essential for
  developing and implementing cooperative
  programs to prevent and control air pollution;
  for ensuring that national standards are met;
  and for providing tools for States, Tribes, and
  local communities to use in preparing their
  clean air plans.
                                          1-1

-------
                                   Goal 1:  Clean Air
Criteria pollutants

   To  protect  public   health   and   the
environment,  EPA develops  standards  that
limit  concentrations of six major  pollutants
(known as criteria pollutants) that are linked
to serious  health and environmental problems:

•  Particulate  matter  (PM).   PM causes a
   wide variety of health and  environmental
   problems.    When exposed  to  higher
   concentrations of fine PM, people with
   existing lung or heart diseases  -  such as
   asthma,  chronic  obstructive pulmonary
   disease,   congestive   heart  disease,   or
   coronary artery  disease - are at increased
   risk   of   health   problems   requiring
   hospitalization  or  of  premature  death.
   Similarly,   children   and  people  with
   existing lung disease may not be able to
   breathe  as  deeply  or  vigorously  as they
   normally would and they may experience
   symptoms such  as coughing and shortness
   of  breath.    Fine  PM   can  increase
   susceptibility to respiratory infections and
   can   aggravate   existing   respiratory
   diseases, such  as  asthma  and  chronic
   bronchitis,   causing    more   use    of
   medication and more doctor visits.

       PM is  also a major  cause of reduced
   visibility in parts of the U.S.,  including
   many  of our national parks.  Particles can
   be carried  over long  distances by wind
   and then settle on ground or water.  The
   effects of certain  species  of PM settling
   may include making  lakes and  streams
   acidic, changing the nutrient balance  in
   coastal waters and watersheds, depleting
   the  nutrients in soil, damaging  sensitive
   forests and farm crops, and decreasing the
   diversity of ecosystems.
•  Ground-level   ozone  (smog).     When
   breathed at any concentration, ozone can
   irritate  and inflame a person's  airways.
   Health  effects  attributed to exposures to
   ozone,  generally  while  individuals are
   engaged in moderate or  heavy exertion,
   include  significant  decreases  in  lung
   function   and    increased   respiratory
   symptoms such as chest pain and cough as
   concentrations  rise.  Exposures to ozone
   result  in  lung  inflammation, aggravate
   respiratory diseases such as asthma, and
   may  make people  more  susceptible to
   respiratory infection.  Children who are
   active  outdoors   are  most  at risk for
   experiencing such effects.  Other at-risk
   groups  include  adults  who  are  active
   outdoors  such as outdoor workers and
   individuals with respiratory disorders such
   as asthma.  Ground-level ozone interferes
   with the ability of many plants to produce
   and  store  food, which reduces crop and
   forest   yields  by  making plants  more
   susceptible  to   disease,   insects,  other
   pollutants and harsh weather.  It damages
   the  leaves of  trees  and  other  plants,
   affecting the appearance of cities, national
   parks and recreation areas.

•  Sulfur dioxide (SO2). Peak levels of SO2
   can  cause temporary breathing difficulty
   for people with  asthma who are active
   outdoors.   Longer-term  exposure  to  a
   combination of SO2 and fine particles can
   cause respiratory illness, alter the  defense
   mechanisms   of  lungs,   and aggravate
   cardiopulmonary  disease.   People who
   may be most susceptible to these effects
   include  individuals with  cardiovascular
   disease or chronic lung disease, as well as
   children and the elderly.   SO2 is also a
   major contributor to acidic deposition.
                                           1-2

-------
                              Goal 1:  Cleaner Air
•  Nitrogen  dioxide  (NO2).   Exposure  to
   NO2 causes respiratory symptoms such as
   coughing,  wheezing,  and  shortness  of
   breath  in  children   and  adults   with
   respiratory diseases such as asthma.  Even
   short  exposures  to  NO2  affect   lung
   function.  NO2  also contributes to acidic
   deposition,   eutrophi cation  in  coastal
   waters, and visibility problems.

•  Carbon monoxide (CO). The health threat
   from even low  levels of CO is  most
   serious for those who suffer from heart
   disease, like angina, clogged arteries,  or
   congestive heart disease.   For  a person
   with heart disease, a single exposure  to
   CO  at low levels may cause chest  pain
   and   reduce  that  person's  ability  to
   exercise.   Even healthy  people can  be
   affected by high levels of CO.  People
   who  breathe  higher  levels  of CO can
   develop   vision   problems,  experience
   reduced ability to work or learn, reduced
   manual dexterity,  and  have   difficulty
   performing complex tasks. CO is most
   dangerous in enclosed or confined spaces
   and will cause death.

•  Lead.  Lead causes damage to the kidneys,
   liver, brain and  nerves,  and other organs.
   Excessive   exposure  to   lead  causes
   seizures,  mental retardation, behavioral
   disorders,  memory problems, and mood
   changes.  Low levels of lead damage the
   brain and nerves  in fetuses  and  young
   children, resulting in learning deficits and
   lowered IQ^

Hazardous air pollutants

   Hazardous   air   pollutants   (HAPs),
commonly referred to as  air toxics,  are
pollutants that are  known or suspected  to
cause cancer or other serious health problems,
such as reproductive effects or birth defects,
or adverse environmental  effects.   EPA is
working  with  State,  local,   and  Tribal
governments  to reduce air releases of  188
pollutants  listed  in   the  Clean   Air   Act
Amendments of 1990.  Examples of air toxics
include  mercury,  benzene,  toluene,   and
xylene  (BTX).    HAPs  are  emitted from
literally  thousands  of  sources,   including
automobiles,  trucks and   buses.   Adverse
effects to human health and the environment
due to HAPs can result from even low level
exposure  to  air   toxics  from  individual
facilities, exposures to  mixtures of pollutants
found  in urban   settings,  or  exposure  to
pollutants emitted from distant  sources that
are transported through the atmosphere  over
regional, national, or even global airsheds.

   Compared  to  information  for  the  six
criteria pollutants,  the  information about the
ambient  concentrations of HAPs  and their
potential   health   effects   is    relatively
incomplete.   Most of the  information on the
potential health effects of these pollutants is
derived from experimental animal data.  Of
the  188  HAPs,  almost  60   percent  are
classified by the  Clean   Air  Act  (section
112(f)(2)(A)) as known, probable, or possible
carcinogens.   One of the  often documented
ecological concerns associated with toxic air
pollutants is  the potential  to damage aquatic
ecosystems.

   The  Administration  evaluated the  Air
Toxics  program  this  past year  using  the
Performance    Assessment  Rating   Tool
(PART).   This evaluation found that  the
program's   purpose   is   clear   and   the
management   of  the   program  is  good;
however, the  program has not clearly shown it
is maximizing the program's net benefits  and
proposing the most cost-effective regulations.
Furthermore,    linkages    are   insufficient
                                          1-3

-------
                              Goal 1:  Cleaner Air
between annual performance goals and the
long-term performance goal of protecting 95
percent  of   the   U.S.   population   from
unacceptable  risks  of  cancer  and   other
significant  health  problems  from  air  toxic
emissions.  A moving baseline and data gaps
for toxicity and actual population exposure
limit the assessment of the program's results.
In   response   to   these   findings,   the
Administration is  requesting $7  million in
increased funding for the Air Toxics program
in State grants for monitoring to help fill these
data gaps. In addition, the Administration will
focus  on   maximizing   programmatic  net
benefits, minimizing the cost per deleterious
health  effect avoided, and  establishing better
performance measures.

Acid rain

    Emissions of sulfur  dioxide   (862) and
nitrogen oxides (NOX) react in the atmosphere
and fall  to  earth  as  acid rain,  causing
acidification   of  lakes   and  streams  and
contributing to the damage of trees at high
elevations.   Acid deposition  also accelerates
the decay of building materials and paints and
contributes  to degradation of irreplaceable
cultural  objects,   such   as  statues   and
sculptures.  NOX deposition also contributes to
eutrophication of coastal waters,  such  as the
Chesapeake Bay and  Tampa Bay.   Before
falling to earth, 862 and NOX gases form fine
particles that  are   implicated in   affecting
public  health by  contributing to premature
mortality,  chronic  bronchitis,  and   other
respiratory problems.  The fine particles also
contribute  to  reduced visibility  in national
parks and elsewhere.

Trends

    The air in the U.S. is now the cleanest it
has been during the 20  years that EPA has
been tracking air quality. National air quality,
measured at thousands of monitoring stations
across the country, has shown improvements
for all  six  major  criteria pollutants:  PM,
ozone, SO2, NO2, CO, and  lead.  Over  the
last three decades,  air pollution has declined
by 25 percent, while our economy has grown
over 160 percent.  These gains have provided
cleaner air for millions of people.  There also
have  been  dramatic reductions (10  to  25
percent) in sulfates deposited in many of the
most acid sensitive ecosystems located in  the
Northeastern U.S.  since  implementation of
EPA's acid rain program in 1995. This means
that during the past 20 years,  Americans have
been able to breathe a little easier, see a little
better, and enjoy  a  cleaner   environment.
Additional  steps  still  need to  be  taken,
however,  to  bring  remaining  areas  with
unhealthful  air  fully  into compliance with
health-based air  quality  standards  and  to
protect sensitive ecosystems.  Thus the nation
faces  a significant challenge in maintaining
this historical  trend of improving air quality,
given expectations for future growth in  the
economy,  the  population,   and   highway
vehicle use.

   EPA tracks trends  in   six  criteria  air
pollutants through an Air Quality Index that
reflects the  number of days  that any health-
based standard is violated. The percentage of
days  across  the  country that  air  quality
violated a health standard has  dropped from
almost 10  percent in  1988  to  3  percent in
2000. Even on those days, the  standard was
generally  violated only  for a  few  hours,
although these violations tend to be in late
afternoon hours  when many  children  and
adults  are  outside  engaging  in  work  and
exercise that increases the impact of exposure
to unhealthful  air.
                                           1-4

-------
                              Goal 1:  Cleaner Air
    Comparison of 1970 and 2001 Emissions
140
13]
10)
 Si
                                  2EO
    CO
    (•m)
NO,-    VOC
90t
ffl
   Nationwide,  levels of air toxics  dropped
approximately 30 percent between 1990 and
2000.     For  example,   perchloroethylene
monitored  in  16 urban sites  in  California
showed a drop of 60  percent from  1989 to
1998.  Benzene,  emitted from cars, trucks, oil
refineries, and chemical processes, is another
widely   monitored   toxic  air  pollutant.
Measures taken from  95  urban monitoring
sites across the  country show  a 47 percent
drop in benzene levels from 1994 to 2000. In
addition,  ambient  concentrations of  many
hazardous  air  pollutants  remain  high  and
continue to impose significant health risks on
exposed individuals.

   Although substantial progress has  been
made,  it  is important not to lose sight of the
magnitude  of the air pollution problem that
still  remains.    Despite  great  progress in
improving air quality,  over 160 million tons
of air  pollution  was released into the  air in
2000 in the U.S.  Approximately 121 million
people lived in  counties where  monitored air
was unhealthy because of  high  levels of the
six principal air  pollutants.  Some  national
parks,  including the  Great  Smoky Mountains
and the Shenandoah, have  high air pollution
concentrations resulting from the transport of
pollutants  many  miles from their  original
sources.   In 2000,  for the third consecutive
year,  rural 1-hour ozone (smog) levels were
greater than the average levels observed for
urban sites, but they are still lower than levels
observed at suburban sites.

Means and Strategy

Strategy

   EPA's  overall  goals for the air  quality
program  include  improving  air quality and
addressing highest  health  and environmental
risks  while  reducing  program costs,  getting
better results in less  burdensome ways, and
increasing the roles of State, Tribal, and local
governments. To help implement these goals,
the President has proposed the Clear  Skies
Act.  Clear Skies was  proposed in response to
a growing need for an emission reduction plan
that   will  protect  the environment  while
providing regulatory  certainty for  the utility
industry.   Clear Skies would create a market-
based program, with results guaranteed by
caps  instituted over  a  period  of time that
would dramatically reduce (about 70 percent)
power plant emissions of SC>2, NOX,  and
mercury.  Clear Skies  expands the  successful
Acid Rain program, which reduced pollution
faster and at far less cost than any other Clean
Air Act  program.  With guaranteed  results,
and   elimination  of   costly   regulation,
litigation, inspection and enforcement actions,
industry compliance is expected to be nearly
100 percent, as it has been in the Acid Rain
program.
                                           1-5

-------
                                   Goal 1:  Clean Air
                     Comparison of Growth Areas and Emissions


1
t

£****
^x^

-O SO 9

4
^


iff

A
o V/9
161%
<•-'*****"***




-25%

5 96 97 98 99 OO O1
                                                                     Gross Domestic Product
                                                                     Vehicle Miles Traveled
                                                                     Energy Consumption
                                                                     U.S. Population
The Clean Air Act

    The Clean Air Act currently provides the
principal  framework  for  national,  State,
Tribal,  and  local  efforts  to  protect  and
improve air quality and reduce risks.  Under
the Clean  Air Act, EPA  has a number of
responsibilities:

•   Ensuring continued protection  of public
    health  and   the  environment  through
    regular review  of National Ambient Air
    Quality  Standards  (NAAQS) for the six
    criteria  pollutants  and  revision  of  the
    NAAQS, if necessary, based on the latest
    scientific information available.

•   Ensuring that the  NAAQS are met by
    developing  and carrying  out  national
    regulatory and non-regulatory  programs
    that reduce  air pollution  from vehicles,
    factories,  and  other  sources,  and  by
    working in partnership with State, Tribal,
    and local  governments on implementing
    their clean air programs.
Assessing  public  health  risks  from  air
toxics  and reducing  public  exposure to
pollutants that cause or may cause cancer
and  other  adverse  human health effects
through reduction of toxic emissions and
pollution prevention.

Reducing  acid  rain  through a  market-
based approach that provides flexibility to
electric utilities and other large sources of
SC>2  and NOX in how they meet emission
reduction requirements.

Protecting  and enhancing visibility across
large regional areas,  including  many of
the Nation's most treasured parks  and
wilderness areas, by  reducing pollutants
such as PM, SO2, and NOX.

Providing  a  strong scientific basis  for
policy   and  regulatory  decisions   and
exploring   emerging   problem   areas
through  a  coordinated,  comprehensive
research program.
                                           1-6

-------
                              Goal 1:  Cleaner Air
   The air problems  that now  remain are
some of the most difficult to solve.  EPA has
developed  strategies  to  help  address  this
difficult increment and overcome the barriers
that have hindered progress towards clean air
in the past.  The Agency will use flexible
approaches, where possible, instead of hard-
and-fast  formulas  or  specific  technology
requirements.   Also, the  Agency will work
with areas that have the  worst problems to
develop strategies that  address unique  local
conditions  and achieve real  risk reductions
that matter to communities.

•  Multi-pollutant  strategies.    The  many
   inter-relationships among ozone, fine PM,
   regional haze, and air toxics problems
   provide   opportunities  for  developing
   integrated  strategies to reduce  pollutant
   emissions.  Clear  Skies provides a good
   example of how to take advantage of these
   opportunities.   EPA also  has encouraged
   States,  Tribes, and local  governments to
   coordinate the work  they  are  doing to
   maximize  the effectiveness  of control
   strategies.

•  Economic incentives.  EPA has provided
   increased flexibility to industry  through
   the  use  of  economic   incentives   and
   market-based   approaches.    Emissions
   trading,  averaging, and  banking   have
   become standard tools  in the Agency's air
   programs.  The acid rain program — which
   is the  prototype for Clear  Skies — uses
   allowance  trading  and  early reduction
   credits  to  cut control costs  and  reduce
   pollution faster.  The  Tier  II and diesel
   programs allow manufacturers to produce
   a  mix of vehicles  that collectively  meet
   emission  reduction   targets.     EPA's
   economic incentive programs include  a
   variety of measures designed to increase
   flexibility     and    efficiency,     while
maintaining   the    accountability   and
enforceability  of traditional air quality
management programs.

Integrated  strategies.   We will  continue
working with States and local agencies on
air pollution problems on a regional basis.
We need to build on these relationships to
ensure that regional approaches become
institutionalized  at the Federal, State and
Tribal  levels.  Regional haze and PM2.5
concentrations are often the products  of
the  same pollutants and precursors.  For
this  reason,   we  must  coordinate the
technical and scheduling requirements for
the   two   programs   to  address  both
environmental problems in a coordinated
fashion.  Because many  of the controls
that will be needed to achieve the NAAQS
for  PM2.5  also may be  needed to meet
reasonable  progress targets for regional
haze, we called for the development  of
strategies  on  a schedule which  would
maximize   States'    opportunities    to
establish a single set of requirements  to
address both programs.

Systems approach.  The Tier II and 2007
heavy-duty      vehicle     rulemakings
referenced  above are  good examples  of
how the  Agency  looks  at air quality
problems from a broader  perspective and
takes advantage of the potential synergies.
As  catalyst and other advanced vehicle
technologies require low-sulfur  fuel, the
Agency is regulating fuels and vehicles as
one  system,   to  give pollution  control
manufacturers the  incentive to develop
even cleaner technologies. This results in
a greater reduction  in pollution — at less
cost  —than  by  addressing  fuels  and
vehicles separately.
                                           1-7

-------
                             Goal 1:  Cleaner Air
•  Innovative technology.  EPA increasingly
   incorporates incentives  and  performance-
   based approaches into regulations to spur
   new technologies  that  will  help  meet
   ambitious  goals more  cost-effectively -
   sometimes at even less cost than EPA has
   predicted.  The Agency also is building
   partnerships that help develop and deploy
   these  new technologies.    The  report
   prepared  to  meet  the  requirements  of
   section 812 of the Clean Air Act includes
   a list of the technologies that have been
   developed since the 1990 Amendments.
   The advances  have  been  remarkable.
   Technologies   like  selective  catalytic
   reduction (SCR)  on power  plants,  ultra-
   low NOX burners, or advanced catalysts
   now have entered the  mainstream,  at far
   less cost than anyone predicted.

   EPA's  National  Ambient  Air  Quality
Standards  (NAAQS) related research supports
the Agency's Clean Air  Goal  to protect
human  health  and  the   environment  by
meeting  national  clean  air standards  for
carbon monoxide (CO),  sulfur dioxide (SO2),
nitrogen  oxides  (NOx), lead,   tropospheric
ozone, and  particulate  matter  (PM).    This
research provides methods, models, data,  and
assessment  criteria  on  the  health  risks
associated with exposure to these pollutants,
alone  and  in  combination,  focusing  on
exposures,  health  effects,  mechanisms  of
injury,  and   identifying    components   of
particulate  matter  (PM) that  affect  public
health.  In addition, this  research provides
implementation tools  to support efforts by
industry, State, Tribal, and local  regulators, to
develop and  improve  State  Implementation
Plans (SIPs) to attain the NAAQS.
Research

   Research on  air toxics  investigates  the
root  causes  of the environmental and human
health problems in urban areas related to these
pollutants.     These   efforts   provide   the
necessary health effects data, measurements,
methods,  models,  information, assessments,
and technical support to Federal, State, Tribal,
and local regulators and industry to estimate
human health effects and aggregate exposures
to hazardous air pollutants.   Research  also
supports atmospheric and emission modeling
in   order  to   estimate   fate,    ambient
concentrations,  and mobile source  emissions
of air toxics at a more refined scale. With this
information, the Agency will  be in  a better
position  to  determine  risk  and   develop
alternative  strategies  for  maximizing  risk
reduction.

   Several mechanisms are in place to ensure
a high-quality research program at EPA.  The
Research  Strategies   Advisory  Committee
(RSAC)  of  EPA's  Science Advisory Board
(SAB),  an  independently chartered  Federal
Advisory Committee Act (FACA) committee,
meets annually to conduct an in-depth review
and   analysis   of  EPA's   Science   and
Technology  account. The RSAC provides its
findings to the House Science Committee and
sends a  written  report on  the findings  to
EPA's  Administrator  after   every  annual
review.  Moreover, EPA's Board of Scientific
Counselors  (BOSC)  provides counsel to  the
Assistant  Administrator  for  the Office  of
Research  and Development  (ORD)  on  the
operation of ORD's research program. EPA's
scientific  and technical work  products must
also  undergo either internal or external peer
review,  with major  or significant  products
                                          1-8

-------
                                  Goal 1:  Clean Air
requiring external peer review. The Agency's
Peer Review Handbook (2nd Edition) codifies
procedures and guidance for conducting peer
review.

Strategic Objectives and FY 2004
Annual Performance Goals

Attain NAAQS

•   The number of people living in areas with
    monitored  ambient ozone concentrations
    below the NAAQS for the 1-hour ozone
    standard will increase by 1% (relative to
    2003) for  a  cumulative  total of  20%
    (relative to 1992).

•   The number of people living in areas with
    monitored  ambient ozone concentrations
    below the NAAQS for the 8-hour ozone
    standard will increase by 3% (relative to
    2003) for a cumulative total  of  3%
    (relative to 2001).

•   The number of people living in areas with
    monitored  ambient  PM  concentrations
    below  the  NAAQS  for  the   PM-10
    standard will increase by 1% (relative to
    2003) for  a  cumulative  total of  11%
    (relative to 1992).

•   The number of people living in areas with
    monitored  ambient  PM  concentrations
    below the NAAQS for the PM2.5 standard
    will increase  by  less than 1% (relative to
    2003) for a cumulative total of less than
    1% (relative to 2001).

•   The number of people living in areas with
    monitored ambient CO,  NCh,  862, or Pb
    concentrations below the NAAQS will
    increase by less than 1% (relative to 2003)
   for a cumulative total of 63% (relative to
   1992).

•  Increase the number of Tribes monitoring
   air quality for ozone  and/or particulate
   matter from  42 to 45 and  increase the
   percentage of Tribes  monitoring clean air
   for  ozone  from  64%  to  67%  and
   particulate matter from 71% to 72%.

Reduce Air Toxics Risk

•  Air toxics  emissions  nationwide from
   stationary and mobile  sources combined
   will be reduced by an additional 2% of the
   updated 1993 baseline of 6.0 million tons
   for a cumulative reduction of 37%.

Reduce Acid Rain

•  Maintain or increase annual SC>2 emission
   reduction of approximately 5 million tons
   from the 1980  baseline.   Keep  annual
   emissions  below  level  authorized  by
   allowance  holdings  and  make  progress
   towards  achievement  of Year 2010 862
   emissions cap for utilities.

•  2  million tons of NOX from coal-fired
   utility sources will be reduced from levels
   that would have been emitted  without
   implementation of Title IV of the Clean
   Air Act Amendments.

Highlights

Continue progress toward NAAQS
attainment.

   For FY 2004, EPA will move forward
with the President's proposed Clear Skies
Act, implement the National Energy Policy,
continue the regular reviews of the various
                                         1-9

-------
                              Goal 1:  Cleaner Air
NAAQS, carry out programs to meet NAAQS
and regional haze requirements, and continue
the research, air quality monitoring, and
laboratory analyses that provide the scientific
and technical bases for the NAAQS program.

•  PMg_^  and   8-hour Ozone  Attainment.
   Further  emission   reductions  in  this
   country are necessary to achieve the Clean
   Air Act PM2 5 and 8-hour ozone National
   Ambient Air Quality Standards (NAAQS)
   recently  upheld in Federal  court.  EPA
   will  be  moving   forward  with  full
   implementation  of the standards.   The
   activities  included  in  the  President's
   proposed  Clear  Skies  Act  are  critical
   elements for implementation.

•  Review of NAAQS.  By the end of FY
   2002,  EPA  will make available  to the
   public a  comprehensive  assessment  of
   recent scientific findings on the health and
   environmental risks associated with  PM.
   Following completion of this assessment
   and a staff paper that evaluates the policy
   implications  of the  scientific  findings,
   EPA will propose a decision on whether
   to retain or revise the PM NAAQS.  This
   proposal is scheduled for late FY 2003  or
   early FY 2004.

•  Implementation of existing NAAQS.  On
   the national  level,  EPA will work  with
   States, Tribes, and local governments  on
   developing and implementing measures to
   meet  clean  air  standards.   The Agency
   will  continue  technical   support   for
   implementing the 1-hour ozone NAAQS.
   EPA also will support States and Tribes in
   developing     innovative,     voluntary
   programs that will  help to achieve early
   reductions in the transition to the 8-hour
   ozone  standard.  In addition, the Agency
   will develop a strategy and guidance for
transition from the PMio standard to a fine
particulate  (PM25)  5standard.  We  will
work to promote and expand the  use of
voluntary and other innovative approaches
to provide emission reductions.

Vehicle, engine, and fuels standards. EPA
will  establish  and/or  implement Federal
standards   to   require   cleaner   motor
vehicles, nonroad equipment, and fuels
that  are  cost-effective  and technically
feasible.    The   Agency  will   continue
implementation of the Tier II and gasoline
sulfur standards.  The Agency also will
continue work  on the  2007 heavy-duty
highway   engine  and  diesel   sulfur
requirements.    In  addition,  EPA  will
develop a rule establishing new standards
for heavy-duty nonroad diesel engines and
vehicles.

Certification and compliance.  EPA will
continue to monitor industry compliance
with vehicle,  engine, and fuels standards
and  to  proceed  with   advancements in
vehicle  emission control  technologies.
The capabilities to test vehicles at  EPA's
National Vehicle and  Fuels  Emissions
Laboratory (NVFEL) is expanding greatly
to keep  pace with the more stringent and
complex new regulations for cars, heavy-
duty  diesel engines,  and  gasoline  and
diesel fuels that take effect  in FY 2004.
For  example,  EPA  will  establish  a
credible  compliance testing  program to
certify    that     heavy-duty     engine
manufacturers  are meeting new emission
standards program requirements.

Sensitive Populations.  EPA will expand
voluntary   partnerships   and   outreach
efforts to reduce emissions from  diesel
engines,  as  part of  a  comprehensive
strategy to  address the risks that pollution
                                          1-10

-------
                              Goal 1:  Cleaner Air
   poses to sensitive populations, especially
   children.   Through the Voluntary Diesel
   Retrofit  Program,  EPA will  develop a
   public  campaign  on  anti-idling,   early
   switching  of buses  to  ultra-low  sulfur
   diesel  fuel,  and  retrofitting  or retiring
   selected  bus models.   Because  diesel
   engines  last for  30  years,  EPA's new
   heavy-duty  diesel   engine   standards,
   applicable  in 2004 and 2007,  will take
   time  to  impact the fleet and achieve
   emission  reductions.    Thus,  voluntary
   partnerships  and outreach  efforts, as part
   of  a  comprehensive strategy,  are  the
   primary  ways  to realize  immediate  air
   quality  benefits  from the older, heavy-
   duty diesel engines and protect the health
   of  today's  children  and  other  sensitive
   populations.

Reduce public exposure to air toxics

   In FY 2004, EPA will develop strategies
and rules  to help States and Tribes reduce
emissions  and  exposure to  hazardous  air
pollutants,  particularly in  urban areas, and
reduce harmful  deposition in water bodies.
The   Agency   also  will    target  source
characterization       work,       especially
development and improvement of emissions
information  that is  essential  for the States,
Tribes,  and  local   agencies  to  develop
strategies to meet the standards.  EPA will
look closely at urban areas  to determine  the
various sources  of toxics that enter the  air,
water,  and  soil,  and  determine  the best
manner to reduce the total toxics risk in these
urban  areas.   Some specific activities and
initiatives  in  this   program  for  FY  2004
include:

•  Air toxics monitoring.   EPA will  work
   with  States  to  expand  the  air  toxics
   monitoring network  operated by  State,
Tribal,   and  local  agencies.      This
expansion will help assess the success of
EPA's comprehensive air toxics strategy,
as well  as  the  multi-pollutant  strategy.
Such  monitoring  data  also  will  enable
EPA to benchmark its models and to track
ambient  trends   for  inhalation-risk  air
toxics and toxic components of particulate
matter such as BTX.  In the long term,
assessments of  ambient  air toxics will
help achieve a reduction in the incidence
of  cancer   attributable   to  exposure  to
hazardous   air  pollutants  emitted  by
stationary   sources  of  hazardous  air
pollutants of not  less  than  75 percent,
considering   control  of  emissions   of
hazardous   air    pollutants   from  all
stationary sources  and resulting from any
measures implemented by EPA or by the
States.

Residual Risk.  The 1990  Clean Air Act
Amendments require EPA to set standards
for 188 hazardous air pollutants on a 10-
year   schedule.     In   addition,   the
Amendments set detailed requirements for
an air toxics program that includes a two-
phased process consisting of technology-
based standards for mobile and stationary
sources, followed by a risk-based program
approach.   In FY  2004,  as  the final
technology-based standards for stationary
sources are being completed, EPA will
work  on a risk-based approach to  protect
public health from  the  remaining  air
toxics emissions.   This approach includes
targeting  particular problems  such  as
residual  risks  from  already controlled
sources and elevated risks in urban areas.
The   development  of  more   stringent
residual risk standards will reduce cancer
and noncancer health risks in the vicinity
of major industrial  sources where risks
from   hazardous   air   pollutants   are
                                          1-11

-------
                              Goal 1:  Cleaner Air
    determined to be unacceptably high.  This
    will also help the Agency make progress
    with respect to its long-term strategy goals
    of reducing cancer risks  from stationary
    sources  by 75%  from 1990 levels  and
    significantly  reducing  noncancer health
    risks.

•   Mobile sources  air toxics.  In FY 2001,
    EPA issued a rule to address emissions of
    air toxics  from mobile sources.   In the
    rule, the  Agency  identified  21  mobile
    source  air toxics  and established  new
    gasoline   toxic  emission   performance
    standards.     The  rule   established  a
    Technical  Analysis   Plan  to  conduct
    research and analysis on mobile source air
    toxics.   In FY 2004,  EPA will continue
    gathering  emissions   data,  conducting
    exposure  analyses,  and  evaluating  the
    need  for   additional   controls.     This
    information will  be  used  to  support  a
    rulemaking in which EPA will revisit the
    feasibility  and need for additional controls
    for mobile sources and their fuels. EPA
    also will incorporate toxics emissions data
    into the mobile source models.

Implement Market-based acid rain
program.

       For FY 2004 EPA will continue to
carry out the market-based acid rain program,
tracking emissions,  auditing  and certifying
monitors,  recording transfers  of allowances,
and reconciling emissions and allowances.

    Phase   II  implementation.    EPA  will
    continue to implement the trading system,
    tracking transfers  of emission allowances
    from the  expanded number  of electric
    utility   units  covered  by the Phase II
    requirements of the Clean  Air Act.
•  Monitoring and assessment.  EPA will
   manage  the  operation of the Clean  Air
   Status and Trends Network (CASTNet), a
   dry   deposition network,   and   provide
   operational  support  for  the  National
   Atmospheric    Deposition     Program
   (NADP), a wet deposition network.  The
   Agency  will use the monitoring results,
   along with  other  information,  to  help
   assess the effectiveness  of  the acid rain
   program   in   reducing   health    and
   environmental risks.

Research

   The Tropospheric  Ozone and Particulate
Matter (PM) Research Programs will develop
new information and assess existing studies to
support statutorily-mandated reviews of the
NAAQS  and  will  upgrade  methods   and
models to guide States in the development of
the State implementation plans (SIPs), used to
achieve  the  NAAQS.     In  FY  2004,
tropospheric ozone research will evaluate and
refine  emissions  and  air quality models to
evaluate  SIP attainment strategies.  The  PM
Research Program will  continue  work  to
strengthen the scientific basis for the periodic
review   of   the  PM  NAAQS,  including
conducting  epidemiological  and   exposure
studies.  The PM program will also develop
tools and methods to characterize PM sources
and health effects that will move the Agency
toward its objective of reducing Americans'
exposure to PM.  Also included under  this
objective will be research to support review of
NAAQS for lead, carbon monoxide, sulfur
dioxide, and nitrogen oxide NAAQS.

   Air toxics research provides information
on effects, exposure, and source
characterization, as well as other data to
quantify existing emissions and to identify
                                          1-12

-------
                              Goal 1:  Cleaner Air
key pollutants and strategies for cost-effective
risk management. In FY 2004, research will
focus on completing health assessments for
some of the highest priority hazardous air
pollutants, and providing the science and
technical support to Agency, State, Tribal and
local regulators to estimate health effects and
exposures to hazardous air pollutants both
indoors and outdoors and to reduce risks.

   New, related research efforts in Goal  8
supporting  the  Air Research program will
include a Clear  Skies initiative  focusing on
identifying   tools  to   optimize   mercury
emissions reductions in order to increase the
effectiveness of  mercury reduction programs.
This  research,  which  also  supports  the
President's  multi-pollutant   initiative,  will
provide the  science  needed to reduce  the
uncertainties  limiting  the Agency's  ability to
assess and manage health risks from mercury.
It will also assist decision-makers in choosing
the  best  technology to  reduce  mercury
emissions   to   implement   the   mercury
Maximum  Achievable Control  Technology
(MACT) standard.

External Factors

Stakeholder participation

   To achieve clean  air, EPA relies  on the
cooperation  of  Federal,  State,  Tribal, and
local  government  agencies;  industry;  non-
profit organizations; and individuals.  Success
is  far from guaranteed,  even with the full
participation  of  all  stakeholders.  EPA has
significant work to  accomplish just to reach
the annual targets that lead to the longer-term
health  and  environmental  outcomes and
improvements that are articulated in the Clean
Air  goal.    Meeting  the  Clean  Air  goal
necessitates  a strong  partnership among all
the stakeholders, but in particular among the
States, Tribes, and  EPA;  the Environmental
Council of States; and organizations of State
and local air pollution control officials. EPA
will be working with various stakeholders to
encourage new ways to meet the challenges of
"cross regional"  issues as well as to integrate
programs to address airborne pollutants more
holistically.

Environmental factors

   In developing clean air strategies, States,
Tribes, and local governments assume normal
meteorological  patterns.   As EPA develops
standards and programs to achieve the Clean
Air goal,  it has to consider  weather as  a
variable in  the  equation for implementing
standards  and  meeting program goals.   For
example, even if an area is implementing a
number of  air  pollution control  programs
under normal meteorological patterns, a  hot
humid summer  may cause an area to exceed
standards for days at a time, thereby exposing
the public to unhealthy air.

Litigation

  In   July  1997,   EPA  published  more
protective  NAAQS  for ozone and  PM.  The
standards  were  litigated.   After  extensive
litigation in the Supreme Court and the Court
of Appeals for the  District of  Columbia
Circuit, both standards are still in effect.  The
PM2.5  standard  adopted  in  1997  was
completely affirmed by the courts  and is not
subject to further  litigation.   However,  the
revised PMio standard was vacated, resulting
in reinstatement of the prior PMio standard.
The  1997 ozone standard was  also  largely
upheld by  the D.C.  Circuit's and  the Supreme
Court's decisions although the Supreme Court
remanded  ozone implementation  issues  to
EPA.   In response to the Supreme Court's
decision,  the   Agency   is  conducting   a
                                          1-13

-------
                            Goal 1:  Cleaner Air
rulemaking on the issue of how to implement
the new 8-hour ozone standard in light of the
Clean Air Act's provisions on the old 1-hour
standard. This rulemaking does not affect the
validity of the 8-hour standard. The litigation
did not affect standards that were  in place
prior to July 1997.
                                        1-14

-------
Goal 2: Clean and Safe Water

-------
This page intentionally left blank

-------
                  Goal 2:   Clean and Safe Water
Strategic  Goal:  All Americans will have  drinking water that is clean and  safe to drink.
Effective protection of America's rivers, lakes, wetlands, aquifers, and coastal and ocean waters
will  sustain fish, plants, and  wildlife, as well as recreational, subsistence, and  economic
activities. Watersheds and their aquatic ecosystems will be restored and protected to improve
public health, enhance water quality, reduce flooding, and provide habitat for wildlife.
                                       Resource Summary
                                             ($ in 000)
^^\y
38.7% of Budget
Safe Drinking Water, Fish and
Recreational Waters
Protect Watersheds and Aquatic
Communities
Reduce Loadings and Air
Deposition

FY 2003
President's
Budget
$1,148,425
$435,815
$1,630,434
$3,214,674
FY2004
President's
Request
$1,198,942
$479,787
$1,273,743
$2,952,473
Difference
$50,517
$43,973
-$356,691
-$262,201
Workyears
2,742.8
2,776.4
33.6
Background and Context

   Over  the   almost   thirty  years  since
enactment of the Clean Water Act (CWA) and
Safe   Drinking   Water   Act   (SDWA),
government, citizens, and  the private  sector
have  worked  together  to  make  dramatic
improvements in the quality of surface waters
and drinking water supplies.  Cleaner, safer
water has lead to a  rebirth of recreational,
ecological,  and    economic   values   in
communities  across  the Nation.    Despite
tangible improvements in the quality of the
Nation's waters, water pollution and drinking
water problems remain.  States and Tribes are
  in  the middle  of  the  complex  process  of
  adopting    and   implementing   statewide
  watershed approaches that in turn require
  strong standards, monitoring, Total Maximum
  Daily Loads (TMDLs), and  implementation
  (e.g.,    National     Pollutant   Discharge
  Elimination   System  (NPDES)   permit)
  programs.   EPA  and  States   are  facing
  backlogs, court challenges, and petitions  to
  withdraw State program  authorization.   In
  recognition  of these challenges, the FY 2004
  President's   Budget   provides  additional
  resources to help  address  these  issues and
  continue  the water quality improvements  of
  the past 30 Years.
                                         2-1

-------
                       Goal 2:  Clean and Safe  Water
Means and Strategy

    To achieve the Nation's  clean  and safe
water  goals,  EPA will  operate under an
overarching watershed approach in carrying
out its  statutory  authorities under  both the
SDWA Amendments of 1996 and the CWA.
In FY 2004, the Agency will  place particular
emphasis  on  the core  water programs -
monitoring and assessment, standard setting,
watershed planning, and implementation (i.e.,
NPDES  and  drinking  water).   Requested
resources will help address serious challenges
now facing these  core programs.  Moreover,
the overall effect  of individual core program
improvements  will  be  a  stronger,   better
coordinated water management framework to
help ensure timely local and national decision
making, improved program  implementation,
and better information sharing.  From setting
goals to protect health and the environment in
water  quality standards  and  criteria to
measuring  success and identifying problems
through   water  quality   monitoring   and
assessment, and from watershed planning and
load  allocations  to  implementing  pollution
control  measures,  each  program  element
relies on the others to ensure the achievement
of the Clean and Safe Water goal.

    The  core  programs  are  fundamental
underpinnings  of the  watershed  approach.
Without a strong core program, States, Tribes,
local and other Federal partners would not be
able to join in the protection of our waters at
the watershed level.  At the watershed level,
local  managers  can  better  understand  the
cumulative   impact  of  their   activities,
determine the most critical problems,  better
allocate   limited   financial   and   human
resources, engage stakeholders,  win  public
support, and  make real improvements in the
environment.   EPA  continues to encourage
watershed approaches not only for core water
programs but also as a way to integrate efforts
of  sister   agencies,   States,  Tribes,  local
governments,    industry    and   nonprofit
organizations.      In   addition,   EPA   is
encouraging a number of important program
innovations  that  focus  on  managing water
resources  at the  watershed  level, including
trading, watershed permitting, and watershed
based TMDLs.  On  January 13, 2003, EPA
released a new Water Quality Trading Policy
to cut industrial, municipal  and agricultural
discharges into the nation's waterways.  The
trading policy  seeks to support and encourage
States and  Tribes in developing and putting
into place water quality trading programs that
implement  the  requirements of the Clean
Water  and Federal  regulations  in  more
flexible  ways  and   reduce  the  cost   of
improving and maintaining the quality of the
nation's waters. The policy will  help increase
the pace and success  of cleaning up impaired
rivers,  streams  and  lakes  throughout  the
country.

   As  part of  core  programs,  EPA  will
continue  to   implement  the   SDWA,   as
amended in 1996.  The central  provisions of
the Amendments include:  1) improving  the
way  that  EPA  sets  drinking  water safety
standards and  develops  regulations based on
good  science,  prioritization  of  effort, sound
risk    assessment,    and   effective   risk
management;  2) providing flexibility to  the
States in monitoring  for certain  contaminants
and in  setting time  frames for compliance
with regulations, and providing funding  for
improvements  to drinking water  infrastructure
through the Drinking Water State Revolving
Fund    (DWSRF);   3)  establishing  new
prevention  approaches,  including provisions
for    operator    certification,    capacity
development,  and source water  protection;
and  4)  providing  better  information   to
                                          2-2

-------
                       Goal 2:  Clean and Safe Water
consumers,  including  consumer  confidence
reports.

   EPA will  continue  efforts  to  provide
States  and Tribes with tools and  information
to assist them in protecting their residents
from    health   risks    associated    with
contaminated  recreational  waters and  non-
commercially-caught  fish.    EPA  activities
include development of water quality criteria,
enhanced fish tissue monitoring, development
of fish and shellfish consumption advisories,
and risk assessment activities.  For beaches,
EPA's  strategy  is  to  strengthen   beach
standards and testing, improve the scientific
basis   for beach assessment,  and  develop
methods to  inform the public about  beach
conditions.   Beach  water quality monitoring
and public  notification will be improved  by
providing    grants   to   State   and   local
governments under CWA Section 406.

   Key  to   the   watershed   approach  is
continued development of scientifically based
water quality standards and criteria under the
CWA and better consolidated identification of
waters not  meeting these goals under  CWA
Sections 303(d) and  305(b).   Where  water
quality standards are not being met, EPA will
work  with  States  and  Tribes  to improve
implementation  of  a TMDL program that
establishes the analytical basis for watershed-
based   decisions   on   needed   pollutant
reductions.   To  support States and Tribes in
their   standards   adoption   and  TMDL
programs,  EPA  will  continue  to  provide
scientifically sound criteria and guidance for
toxic    chemicals,    nutrients,    biological
integrity, microbial,  and physical stressors.  In
particular, the focus will be on updating the
aquatic life guidelines to incorporate new and
emerging  science,  integrating aquatic life,
biological,   and nutrient  criteria to  better
address State uses, helping build State and
Tribal  technical  capacity,  and  addressing
sedimentation.

   EPA will work with Federal, State, Tribal,
local, and private sector partners to  protect
wetlands.  In coordination with the Corps of
Engineers,   EPA  will  improve  the  CWA
Section 404  program to achieve no net loss
of wetlands by  avoiding,  minimizing and
compensating for losses.  With an  emphasis
on  community-based restoration,  EPA will
contribute  to  the  goal  of  an  annual  net
increase of wetlands of 100,000 acres by FY
2005.  EPA will increase assistance to States
and  Tribes  to  protect all  waters,  including
those that are not regulated by the CWA, and
to improve monitoring of wetlands.  EPA will
be part of coordinated Federal agency efforts
to support  conservation of fauna,  including
the   North  American  Bird  Conservation
Initiative and  Partners  for Amphibians and
Reptile Conservation.

   EPA will continue to develop and revise
national  effluent guideline  limitations and
standards, capitalize and manage  the Clean
Water   State  Revolving   Fund   (CWSRF)
program and other funding mechanisms, and
target the NPDES permit program to achieve
progress toward attainment of water  quality
standards  and  support  implementation  of
TMDLs in impaired water bodies.

    EPA is assisting  States  and Tribes  to
characterize  risks,   rank   priorities,  and
implement an effective mix of voluntary and
regulatory approaches through improved State
nonpoint    source    (NPS)   management
programs.   Working with  EPA,  States and
Tribes  are strengthening their NPS  programs
to ensure  that  needed  NPS  controls  are
implemented  to   achieve  and   maintain
beneficial uses  of water.  In particular, EPA
and the States are working together to better
                                          2-3

-------
                      Goal 2:  Clean and Safe  Water
use the CWA  Section  319 framework and
funds to develop and implement  TMDLs  to
restore  waters  impaired by NFS pollution.
States will continue to implement coastal NFS
programs approved by EPA and the National
Oceanic and   Atmospheric  Administration
under the Coastal  Zone Act Reauthorization
Amendments (CZARA).

   The new Farm Bill,  with its significantly
increased   funds  to  address   agricultural
sources of NFS pollution,  affords EPA and
the  States  an  enhanced  opportunity   to
significantly  accelerate  national  efforts  to
control NFS pollution. EPA and  State water
quality  agencies  will  work  closely  and
cooperatively with the  U.S.  Department  of
Agriculture  (USDA), conservation  districts,
and others  in the agricultural community,  to
combine our strengths.  Using CWA Section
319  dollars,  States will both address their
priority watershed restoration needs and focus
more  of their efforts  on  providing the
monitoring and watershed-planning  support
needed  by  the agricultural  community  to
target  their work most effectively  on the
highest-priority water quality needs.  States
will  also increasingly  focus  their  existing
efforts on  filling gaps remaining in USDA
programs,   especially  demonstrating  the
effectiveness    of   promising    emerging
technologies.

   States will use their enhanced watershed
planning efforts to ensure that their watershed
protection and remediation efforts  holistically
address all  significant pollution sources in the
watershed in a comprehensive manner. To do
so, States will also increase their  focus upon
NFS  categories and  activities  that  are not
funded  under  the Farm  Bill  (e.g., urban
runoff, forestry, and abandoned mines), while
continuing  to  work with  the  agriculture
community to solve problems on a watershed
basis.  Furthermore, States will continue to
use a variety  of program tools to foster  an
ethic  of pollution prevention in  their NFS
watershed  programs,  such  as low impact
development techniques, source prevention,
and public  education,  to assure  that water
quality improvement and protection become a
permanent outcome of the program.

   The   Administration's    evaluation    of
Nonpoint Source Grant, Drinking Water State
Revolving Fund and Tribal GAP Grant (See
Goal  4 Overview) programs  in the PART
process were completed in FY 2003.

   The Administration's PART assess-ment
conducted  for the  Drinking  Water  SRF
program found that the program  has  clear
purpose,   effective   design   and   strong
management practices.  However, EPA  has
been  unable to demonstrate the degree  to
which   the   program's   drinking  water
infrastructure   investments  protect  public
health, a primary purpose of the program.  A
challenge facing  the  Drinking Water SRF
program is to develop measurable  long-term
and annual  performance goals  that link  the
program to  its public health mission.   The
PART results  support the Administration's
decision to  extend Federal capitalization of
the Drinking  Water  SRF  program and  to
strengthen  its focus on  accountability.    In
response to the PART findings, EPA  will
develop  new  outcome-based  performance
measures that better demonstrate the impact
of the program.

   The Administration's PART assessment
conducted  for  the Nonpoint  Source Grant
program found that the  purpose is  clear  but
the program  has  not  collected  sufficient
performance    information    to    determine
whether  it has had a significant  effect  on
pollution.  The programs greatest weaknesses
                                          2-4

-------
                      Goal 2:  Clean and Safe Water
are  strategic   planning   and  a  lack  of
measurable program results.  Therefore, the
program lacks  adequate long term annual and
efficiency   measures.      However,   new
performance measures  are being  developed
that  focus  on  outcomes  and  efficiency.
Significant improvements have been made to
program  management  over the past  years,
which  will improve the Agency's  ability to
develop  new  performance measures.   In
addition,  as a result of the Farm Bill, the
Agency is working with USD A to coordinate
NFS   efforts   in   agricultural    in   a
complementary manner.

Research

   EPA's  water research  program  supports
the Agency's Clean and Safe Water Goal by
providing the  scientific basis  necessary to
protect human health and the  environment.
Implementation of the research provisions in
the 1996 Safe Drinking Water Act (SOWA)
amendments and the Clean Water Act will
provide  improved  tools   (e.g.,   methods,
models,   risk   assessments,   management
strategies, and  new data) to better evaluate the
risks  posed   by   chemical and   microbial
contaminants that persist in the environment
and threaten wildlife and,  potentially, human
health.

   The focus  of the drinking water research
program will be on filling  key data gaps and
developing analytical detection methods for
measuring  the  occurrence of  chemical and
microbial  contaminants on the Contaminant
Candidate  List (CCL)  and developing and
evaluating      cost-effective      treatment
technologies for removing  pathogens  from
water supplies while minimizing disinfection
by-product (DBF)  formation.  Water quality
research   will   improve   risk  assessment
methods  to develop aquatic life,  sediment,
habitat,  and wildlife criteria, as well as risk
management  strategies,  and will  help  EPA
and other Federal, State, and local  agencies
develop better baseline assessments  of water
quality.    The Agency  will  also  develop
diagnostic  tools  to  evaluate  human  and
ecological exposures to  toxic constituents of
wet weather  flows  such as  combined-sewer
overflows,   sanitary-sewer   overflows,   and
storm water.

   Several mechanisms are in place to ensure
a high-quality research program at EPA.  The
Research  Strategies  Advisory   Committee
(RSAC)  of EPA's  Science Advisory Board
(SAB),  an independently chartered  Federal
Advisory Committee Act (FACA)  committee,
meets annually to conduct an in-depth review
and   analysis   of   EPA's  Science   and
Technology account. The RSAC provides its
findings to the House Science Committee and
sends a  written  report  on  the  findings to
EPA's  Administrator  after  every  annual
review.  Moreover, EPA's Board of Scientific
Counselors (BOSC) provides counsel to the
Assistant  Administrator  for  the  Office of
Research  and Development (ORD) on the
operation of ORD's research program. Also,
under the Science to Achieve Results (STAR)
program all research projects are selected for
funding  through  a  rigorous   competitive
external  peer review process  designed to
ensure that  only  the  highest quality efforts
receive funding support.  EPA's scientific and
technical work products must also  undergo
either internal or external peer  review, with
major  or   significant  products  requiring
external  peer review.   The Agency's  Peer
Review  Handbook  (2nd  Edition)  codifies
procedures and guidance for conducting peer
review.
                                          2-5

-------
                      Goal 2:  Clean and Safe Water
Highlights

Core Water Programs

   Water Quality Monitoring

   Current water quality  monitoring  efforts
yield insufficient data for States and others to
make watershed-based  decisions, to develop
necessary standards and  TMDLs,  and to
accurately and consistently portray conditions
and trends. A key component in FY 2004 is
the  support  of  enhanced  monitoring  and
assessment, by working with the States with a
particular  emphasis  on  the  probabilistic
approach and providing additional support to
encourage  the  establishment  of  State-level
monitoring  councils  and  local  watershed
monitoring consortiums.

   Water Quality Standards

   Water  quality  standards  establish   the
environmental  baseline  used  to  measure
success  in  implementing  Clean   Water
programs.  In FY 2004, EPA  will increase
funding to work with State and Tribal partners
to ensure that water quality standards  are
effective  and  appropriate   for   use  in
developing TMDLs. The National Research
Council's  2001  assessment  of the  TMDL
program found that the designated uses and
criteria in existing standards often need more
detail and refinement before they can be used
as a firm basis for requiring load reductions
through TMDLs.   To  address  this  concern,
EPA  in FY  2004  will  provide  technical
guidance and training that will help States and
Tribes conduct their own use attainability
analyses,  and to help  refine and  interpret
standards to ensure they are  adequate for use
in developing  load reduction  targets.   In
addition, EPA conducted a customer-focused
review of the National Standards program and
developed a draft long-term strategy that calls
for improvements and streamlining in EPA's
program.   EPA will  implement  the  high
priorities  in  the strategy.   EPA  will  also
accelerate the technical reviews necessary for
EPA to approve new or revised State/Tribal
standards on a timely basis for use in TMDLs.

   TMDLs

   The Agency will continue to work with
States  and Tribes to carry out their TMDL
programs  focused more,  in FY 2004,  on a
watershed basis to identify those waters  not
meeting clean water goals.  The Agency will
also   continue   to   help  restore  impaired
watersheds, and to  meet  the many court-
supervised deadlines for completing TMDLs.
While   increasing   the  pace of  TMDL
development  remains important, EPA  must
work    with    States   to    help   assure
implementation of already-approved TMDLs,
including  targeting  CWA  Section  319  NFS
funding    and    marshaling   Farm   Bill
conservation  programs.   EPA  will assist
States  in  revising their continuing planning
processes under CWA Section 303(e) to place
more emphasis  on assuring needed watershed
implementation.

   NPDES

   In  recent  years  the   authorized  State
NPDES programs have been the object of an
increasing  number  of withdrawal  petitions,
citizen  lawsuits, and  independent  reviews
indicating  potential  noncompliance  with
Federal CWA  requirements.   A  substantial
number of States are experiencing difficulty
with the timely issuance of NPDES permits.
Recently  completed permit quality  reviews
(PQRs)    indicate    that   permits    lack
comprehensiveness   and   the   requirements
necessary  to achieve water quality standards.
                                          2-6

-------
                       Goal 2:  Clean and Safe  Water
In FY 2004,  EPA,  in  partnership with the
States, will  ensure that facilities required to
have permits are covered by current permits
that are effective and include  all conditions
needed to ensure water quality protection.

   Drinking Water Implementation

   The proposed increase  for  the drinking
water program will strengthen  EPA's ability
to meet States'  and  systems'  increasingly
complex implementation  assistance  needs.
This  assistance is  critical  for  the  national
program to  meet its  long-term objective of
providing  drinking   water   that  meets  all
priority regulations, within  five years of the
effective date  of each standard, to at least 95
percent  of  the   population    served   by
community  water systems.  The increased
resources in this request are targeted toward
developing more effective State programs and
increasing   the  technical  and  managerial
capacity of drinking water systems to comply
with drinking water regulations, especially the
arsenic   and   microbial,  disinfectant   and
disinfection byproducts  rules.   In addition,
EPA  will focus increased  resources  on the
Area-Wide  Optimization  Program (AWOP),
which is  designed   to  reduce  consumers'
exposure  to   microbial   contaminants   by
improving the performance  of small systems'
filtering technology.

   Oceans and Coastal Protection

   To strengthen protection of the  nation's
ocean  resources, EPA  proposes to address
significant   gaps  in   ocean   and   coastal
protection  in  specific  high priority  issues.
Recent  legislation regarding cruise ships in
Alaskan waters and Government Accounting
Office and other reports has demonstrated the
need  to enhance cruise ship regulation  and
address  continuing   violations  of  existing
standards.  In response, EPA will enhance its
regulation  of discharges  of pollution  from
vessels, including sewage  discharges, cruise
ship discharges,  and operational  discharges
from vessels of the Armed Forces - Uniform
National Discharge  Standards  - taking into
consideration  the concerns  of the  Armed
Forces.  In addition, EPA will place a strong
emphasis   on   developing   ballast   water
standards for aquatic nuisance species.  EPA
will  also  bolster  its  Marine  Protection,
Research,   and  Sanctuaries  Act  (MPRSA)
responsibilities  regarding   site  evaluation,
designation  and  monitoring,  and  permit
review and concurrence.  In particular, EPA
will work  to  expeditiously refine the site
designation and management of the Historic
Area Remediation Site  (HARS) off the New
Jersey coast.

Other Priorities

Homeland Security

    Protecting  critical  water  infrastructure
(drinking water and wastewater utilities) from
terrorist  and  other intentional  acts  will
continue to be a high  priority in FY 2004.
EPA   is   the   primary  Federal   agency
responsible for protecting  public health and
ensuring   the   safety   of  critical   water
infrastructure   from   terrorist   or    other
intentional   acts.     Currently,   there  are
approximately  54,000  community drinking
water systems and almost 16,000 wastewater
utilities nationwide.   Both  types  of water
utilities  serve  approximately  264  million
people.    EPA's  principal  goal  related to
critical water infrastructure is  to work with
the  States,  Tribes,  drinking  water  and
wastewater utilities,  and  other  partners to
assess the  security of these water utilities as
soon  as possible and develop  appropriate
emergency response plans.
                                           2-7

-------
                       Goal 2:  Clean and Safe Water
Water Infrastructure

   In Puerto Rico, inadequate drinking water
infrastructure has created a significant daily
health  risk  to consumers.    Less  than 20
percent of the population  receives drinking
water that meets all health-based standards.
Puerto Rico's compliance problem is a major
challenge in the national effort to ensure that
95  percent   of the population  served  by
community water systems  receives drinking
water that meets all health-based standards.
As a first step toward improved public health
protection  in  Puerto  Rico,  the   Agency
requests  additional grant funds to design the
necessary    infrastructure     improvements.
When  all  upgrades  are   complete, EPA
estimates that about 1.4 million people will
benefit from safer, cleaner drinking water.  In
addition, the Agency estimates that  200  to
300 excess cases of cancer will be avoided,
and   risks   of gastroenteritis   and  other
waterborne diseases will be greatly reduced.

Wetlands

   In  2001  the Supreme Court  determined
that some isolated waters and wetlands are not
regulated under the CWA. Many waters with
important  aquatic  values  are  no  longer
covered  by  CWA  Section  404 protections.
EPA is  proposing  an  increase in grants  to
States and Tribes to help them protect these
waters as part of  comprehensive programs
that will  achieve no net loss of wetlands,
while also providing grant funding for States
and Tribes to assume more decision-making
authority in waters that  remain subject to the
CWA.

Research

   In  FY  2004,  EPA's  drinking  water
research  program will  continue  to  conduct
research  to  reduce  the  uncertainties of risk
associated   with  exposure   to   microbial
contaminants in drinking water and improve
analytical methods  and risk  assessments  to
control   risks  posed   by  drinking   water
contamination.   As required  by the SDWA
amendments, the first Contaminant Candidate
List  (CCL)  was  published  in   1998 and
included  nine microbial contaminants  in  its
Research  Priorities  Category  that  require
more data before a regulatory determination
could be  made.  The drinking water research
program  will continue to  focus on chemical
and  microbial  contaminants  on  current and
future CCLs.  Significant data gaps still exist
on the occurrence  of harmful microbes  in
source and distribution system water, linkages
between water exposure  and infection, and the
effectiveness   of    candidate    treatment
technologies  to remove and  inactivate these
contaminants.   Research efforts  will also
continue  to  support arsenic-specific research
and  development  of  more cost-effective
treatment technologies  for  the  removal  of
arsenic from  small community drinking water
systems.  This work will include strategies for
the  acceptable control  of water treatment
residuals  enriched with arsenic.

   Research to support the  protection and
enhancement of aquatic  ecosystems and their
biotic components includes understanding the
structure,  function,  and  characteristics  of
aquatic  systems,  and  evaluating  exposures
and  effects  of stressors  on  those systems.
EPA is also working to  develop  biological
and  landscape  indicators   of   ecosystem
condition, sources  of  impairment,  stressor
response/fate  and  transport models  and
options   for  managing  stressors  and their
sources.   Through the development of  a
framework for diagnosing adverse effects of
chemical  pollutants in  surface waters, EPA
will  be able to evaluate the  risks posed by
                                          2-8

-------
                       Goal 2:  Clean and Safe Water
chemicals that persist in the environment and
accumulate  in  the food  chain,  threatening
wildlife and potentially human health.  The
Agency will also develop and evaluate more
cost-effective  technologies  and  approaches
for  managing   sediments,   and  evaluate
management options for watershed restoration
of TMDLs for other significant stressors (e.g.,
nutrients,  pathogens and toxic compounds).
Finally,  research  to  address  uncertainties
associated with determining and reducing the
risks to human health of the production  and
application  of  treated  wastewater  sludge
(biosolids) to  land for use as fertilizers is
emerging  as an  area of renewed  importance
for the Agency.

   Another area of research  will focus  on
growing evidence of the risk of infectious
diseases resulting from exposure to microbes
in recreational waters.   Exposure to these
diseases is of particular concern  after major
rainfall events that cause discharges from
both point and  non-point sources.   These
events  pose significant risks to  human  and
ecological  health  through the uncontrolled
release  of pathogenic bacteria,  protozoans,
and viruses, as well as a number of potentially
toxic,  bioaccumulative contaminants.  EPA
will develop and validate effective watershed
management   strategies   and   tools   for
controlling  wet  weather  flows (WWFs),
including:  1)  new and  improved  indicator
methods to  describe  the toxic  inputs  to
watersheds from WWFs; 2) methods to utilize
condition and diagnostic ecological indicators
in evaluating wet weather flow management
strategies in preventing degradation of water
and sediment quality by contaminated runoff;
3) methods for diagnosing multiple stressors
in watershed ecosystems; and 4) evaluation of
low   cost  watershed   best   management
practices to evaluate risks associated  with
various control technologies for wet weather
flows.  This will enable EPA to provide States
with    consistent   monitoring    methods,
standardized indicators of contamination, and
standardized definitions of what constitutes a
risk to public health.

External Factors

Drinking Water and Source Water

   The adoption of health-based  and other
programmatic  regulations by drinking water
agencies is an important external factor.  The
53 States and  territories that have primary
enforcement authority (primacy) for drinking
water regulations must have sufficient staff
and resources to help public water systems
implement, and comply with, drinking water
regulations.   As  authorized in the enabling
legislation for the DWSRF, States may use
funds set-aside from  the DWSRF  for  State
drinking  water  implementation  activities.
However,  for  many  States  the  need  to
preserve  DWSRF  funding to  close  the
infrastructure  gap is  more  important.   A
related challenge is the cost of providing safe
drinking water:   The 2001  Drinking Water
Needs  Survey  (OWNS) estimates drinking
water infrastructure needs  at $150.9 billion
over the next 20 years.

    Although  the  1996  SDWA  expanded
source  water protection to include  surface as
well  as  ground water  sources  of drinking
water,  the implementation  of  source water
protection programs is  not  mandated under
SDWA.   In FY 2004  and beyond,  as the
statutorily     mandated     source     water
assessments are completed,  and more States
and communities take voluntary measures to
implement     contamination     prevention
programs,   the   Agency   will    become
increasingly dependent on  its  partnerships
with  States,  Tribes  and   communities  to
                                          2-9

-------
                      Goal 2:  Clean and Safe  Water
achieve  national  source  water protection
goals.

   Full implementation of the  Underground
Injection Control (UIC)  program, including
1999  regulations for two  types  of  shallow
injection wells, depends on effective State and
local  participation.    Because  of the  sheer
number  of  shallow injection  wells  -  -
approximately 700,000  nationwide  - - that
must    be   inventoried   and   managed,
implementation of the overall UIC  program
could  be affected  by  continuing  resource
constraints at the State and Federal levels.  In
addition, the Agency has full  or partial  direct
implementation responsibility for 17 States,
the District of Columbia and all Tribes.

Fish and Recreational Waters

   The CWA does  not require  that States or
Tribes  operate   fish  advisory  or  beach
protection programs.  The  Agency's role is
primarily to support them through guidance,
scientific    information,   and   technical
assistance. EPA cannot take regulatory action
to assure that States and Tribes  conform to
fish    consumption    advisory   guidance;
therefore,  success   depends   on  voluntary
State/Tribal/local  commitment  to achieving
these  goals.  The Agency will continue to
develop  scientifically  sound  water  quality
criteria to protect human health  in order to
reduce  the number  of  fish  advisories and
beach advisories or  closures necessary in the
future.

   The Beaches Environmental Assessment
and Coastal Health  (BEACH)  Act of 2000
authorizes Federal funds for States and Tribes
to monitor pathogens at coastal and  Great
Lakes  beaches  and  notify  the public  of
advisories or closures.  However, the States
and  Tribes  are  not required  to operate  a
program if they do not accept Federal funds.
The Agency expects that all 35 eligible States
or  territories  will  continue  operating   a
Federally funded program in FY 2004.

   One way of determining whether we have
reduced the consumption of contaminated fish
and shellfish is to find out if people eat the
fish  they  catch  from  waters  where  fish
advisories have been issued.  In  order  to
determine whether we have reduced exposure
to contaminated recreational waters, we also
need to know if people comply with beach
closure   notices  when  they  are  issued.
Acquiring   statistical  evidence   for  such
determinations  is  difficult.  For  the  fish
advisory program, this information has been
collected  by  some   States,  and  is  being
reviewed  to  provide insight to  State  and
Tribal  advisory programs on how they can
improve their  programs.    For  the  beach
programs, this information will be collected
for those States or Tribes, which have applied
for BEACH  Act grants.    However,  this
information will only reflect coastal and Great
Lakes beaches in  those States and Tribes that
have received grants.

   Without     comprehensive,     consistent
monitoring of all  the Nation's waters, we do
not know how many waters  should be under
advisory or how many beaches  should be
closed.      The   resource    demands    of
implementing  a  comprehensive monitoring
program pose a significant challenge for the
States  and could be a mitigating  factor for
success in this area.

Watersheds and Wetlands

   EPA's  efforts to  meet  our  watershed
protection   objective  are   predicated   on
strengthening     and    broadening    our
relationships with our Federal,  State, Tribal,
and  local partners.   Because  of the  vast
geographic  scope  of  water  quality  and
                                         2-10

-------
                       Goal 2:  Clean  and Safe Water
wetlands impairments and the large number
of partners upon whose efforts  we depend,
EPA must continue to build lasting, working
relationships  with  all stakeholders including
communities, individuals, business, State and
local governments  and Tribes. EPA's ability
to meet  this objective  will  depend on the
success of State and local regulatory and non-
regulatory programs and nationwide efforts to
provide and  use a  broad  range of policy,
planning, and scientific tools to establish local
goals and assess progress.

   Given the interrelations  of  the Federal
government's environmental  protection and
stewardship  agency  and programs,  Federal
agencies  must work together with States and
Tribes  to maximize  achievements.  Without
continued government-wide coordination and
commitment, we will  not  meet our  water
quality objectives.   For example, marshaling
Farm Bill  conservation programs to tackle
State   water  quality priorities   is  crucial,
particularly  to  enhancement of  State  NPS
management  programs.   Following  our FY
2003   CWA  Section 319  grant  guidance,
States  are  developing watershed  plans for
priority impaired waterbodies that  delineate
the specific technical and financial resources
required to enable implementation. The States
will also need to continue efforts to overcome
historical institutional barriers to achieve full
implementation of their coastal NPS control
programs as required under the CZARA.

   States and Tribes,  with  increased  EPA
grant support, will assume more responsibility
for comprehensive  protection of wetlands and
other waters, including those the  Supreme
Court has determined are not  subject to CWA
protections.   Responding  to the  National
Academy of  Sciences finding that the CWA
Section 404 program fails to achieve no net
loss, EPA and the Corps of  Engineers,  with
other agencies and stakeholders, will improve
the  program's  compensatory   mitigation
features.   EPA will  develop methods  and
provide technical assistance and grant support
for monitoring and reporting on the condition
of wetlands.

   EPA   will  continue  to  improve  our
understanding of the environmental baseline
and our ability to track progress against goals,
which  also  depends  on  external  parties.
While  current  State  CWA  Section  305(b)
reporting provides some assessment of water
quality, we must continue to  provide support
to our partners  and stakeholders in  their
efforts to  work  with  State  water  quality
agencies  to  improve measurement tools and
data-sharing      capabilities,     including
facilitating consolidation  of CWA  Section
305(b) reports and CWA Section 303(d) lists.
EPA is working with States  to improve our
tracking  and  measurement  of  NPS  load
reductions  from   the  CWA  Section  319
program.  Also, as  States adopt TMDLs, we
will have specific targets for point source and
NPS load reductions  needed to meet water
quality standards in impaired waters.

Point Sources

   Clean   water   goals   associated   with
reduction  of pollutant discharges  from point
sources  through  the  NPDES   permitting
program  rely heavily on  EPA's  partnership
with States as 45  States and one territory are
currently authorized to carry  out the NPDES
program.  EPA will also work with the States
to reduce pollution from onsite—/decentralized
wastewater   treatment  systems,   including
septic  systems. EPA estimates that between
10 and 30 percent of all onsite/decentralized
systems nationwide are  not performing as
designed or not adequately treating waste to
protect public health and the environment.
                                          2-11

-------
This page intentionally left blank

-------
Goal 3: Safe Food

-------
This page intentionally left blank

-------
                             Goal 3:  Safe Food
Strategic Goal:  The foods Americans eat  will be  free from  unsafe  pesticide residues.
Particular attention will be given to protecting subpopulations that may be more susceptible to
adverse effects of pesticides or have higher dietary exposures to pesticide residues. These include
children and people whose diets include large amounts of noncommercial foods
                                     Resource Summary
                                             ($ in 000)
^^
1.6% of Budget
Reduce Risks from Pesticide
Residues in Food
Eliminate Use on Food of Pesticides
Not Meeting Standards

FY 2003
President's
Budget
$45,290
$64,524
$109,815
FY2004
President's
Request
$43,428
$75,584
$119,012
Difference
-$1,863
$11,059
$9,197
Workyears
770.1
785.0
14.9
Background and Context

   The   U.S.   Environmental   Protection
Agency (EPA) plays a major role in the lives
of the  American  public by  ensuring  that
agricultural use of pesticides will not result in
unsafe  food.   EPA accomplishes this  by
registering  new  pesticide  products  and
reviewing older pesticide products  by strict
standards  that protect human health and  the
environment  from  risks  associated  with
pesticide use.

   EPA uses the latest scientific information
to ensure that there is "a reasonable certainty"
that no harm will result to human health from
all   combined   sources  of  exposure   to
pesticides (aggregate exposures).  Moreover,
it   submits   for  review   its  critical  risk
assessment science  issues,  its methodologies
for toxicity testing and related science issues,
to  the  Science  Advisory  Panel  (SAP), an
independent,  expert  advisory committee. The
SAP plays a critical role in EPA's decision-
making  process,   assuring  that  decisions
impacting health and the environment rely on
sound science.

    The potential risk  of  adverse  effects to
consumers from pesticide residues in foods is
a primary concern for  the  Agency, as  is the
potential   bioconcentration    of    certain
pesticides in plant and animal  tissues that may
result  in  even  higher levels  of  exposure.
Critical to protecting  human health  is the
                                          3-1

-------
                                Goal 3:  Safe Food
review  of food use  pesticides for potential
toxic effects  such as birth defects,  cancer,
disruption of the endocrine system, changes in
fertility, harmful effects  to  the  kidneys and
liver, and nervous system bioaccumulation.
Under  Goal  3, the  Safe Food  goal,  EPA
ensures that  any  residues on food  do not
exceed established limits.

    All   pesticides   are   subject   to  EPA
regulation including  insecticides, herbicides,
fungicides,  rodenticides,  disinfectants,  plant
growth    regulators,    plant    incorporated
protectants  and other substances  intended  to
control   pests.    Pesticides  are  used   in
agriculture,   greenhouses,   on   lawns,   in
swimming   pools,    industrial    buildings,
households, and in hospitals and food service
establishments.  The total  U.S. pesticide usage
in 1999 was  5 billion pounds.2   Agriculture
accounts for about 80 percent of all pesticide
applications.  Herbicides  are the most widely
used pesticides and account for the greatest
expenditure and volume,  approximately $6.4
billion  and  534  million pounds  in 1999.
Biopesticides  and  reduced risk pesticides are
assuming an increasingly important role. For
example,   safer  pesticides,   which  include
biopesticides  and  reduced  risk  pesticides,
increased in use from 3.6%  in 1998 to  7.5%
of total  pounds reported for 2002.3

    EPA regulates pesticides under two  main
statutes: the  Federal  Insecticide,  Fungicide
and Rodenticide Act (FIFRA) and the Federal
Food and  Drug  Cosmetic  Act  (FFDCA).
1 EPA Pesticides Industry Sales and Usage 1998 and
1999 Market Estimates, August 2002,
http://www.epa.gov/oppbeadl/pestsales

2 Ibid.
3 Doane Marketing Research, Inc.:
http://www.doanemr.com
FIFRA requires  pesticides to  be registered
(licensed) by EPA before they may be sold or
distributed in the United States, and that they
perform  their intended  functions  without
causing  unreasonable  adverse  effects  to
people   or  the   environment   when  used
according  to EPA-approved label  directions.
At  the same time,  recognizing the role of
     EPA's Pesticide Regulations Affect a Cross
          Section of the U. S. Population

  18 major pesticide producers and another 100 smaller
     producers
  2,200 formulators
  17,250 distributors and other establishments
  33,100 commercial pest control firms
  1.2 million pesticide applicators
  1.9 million farms
  Several million industry and government users
  About 77 million households

Source: EPA's 1998/1999 Pesticides Industry Sales and
Usage Report1
pesticides in ensuring a diverse, abundant and
affordable   food  supply,  EPA   works   to
streamline   its   licensing  procedures  and
increase transparency in the review process.

   FFDCA authorizes EPA to set tolerances,
or  maximum   legal  limits,  for  pesticide
residues  in   or  on   food.     Tolerance
requirements apply  equally to domestically
produced and imported food.  Any food with
residues not covered  by  a tolerance, or  in
amounts that exceed an established tolerance,
may not be legally marketed in  the United
States.

   Amendments to both FIFRA and FFDCA
by the Food Quality Protection Act (FQPA)
of 1996 enhance protection of children and
other   sensitive   sub-populations.    FQPA
establishes  a   single,   health-based  safety
                                            3-2

-------
                               Goal 3:  Safe Food
standard for  all  pesticide residues.    The
agency-wide FY  2004  request  supporting
FQPA includes $150 million for EPA's work
under these laws, enabling the public to enjoy
one  of the safest, most  abundant,  and most
affordable food supplies  in the world.  FQPA
also enhanced EPA's ability to protect human
health  and the environment in several other
ways, including:


•      Providing  for   a   more   complete
    assessment of potential risks, with special
    protections for sensitive groups, such as
    infants and children;

•   Improvement of antimicrobial registration
    process  and establishment  of tolerances
    for food use inert ingredients;

•   Expediting  the approval of reduced risk
    pesticides;
•   Encouraging farmers'  adoption  of safer
    pest management practices;

•   Ensuring that pesticides are periodically
    reassessed for consistency with  current
    safety standards  and the latest scientific
    and technological knowledge; and

•   Educating consumers about pesticide risks
    and benefits.


Means and Strategy

    The Agency's strategy for accomplishing
the objectives of Safe  Food is  based on five
pillars, four of which are in Goal 3 and one is
in Goal 4. Under Goal  3, the EPA is:

•   Assuring that new  chemicals  and  new
    uses are registered  in accordance with the
    FQPA's   strict  standard,   Areasonable
    certainty of no harm, so that no harm will
    result to human health from exposure to
    pesticides;

•   Assuring that pesticide maximum legally
    allowable tolerances for foods eaten by
    children are in conformance with FQPA
    requirements that protect children;

•   Re-evaluating older, potentially  higher-
    risk  pesticides  using  the best  current
    scientific  data and methods to determine
    whether additional limits on a  pesticide's
    use are needed  to  provide  reasonable
    certainty  of  no   harm,  especially for
    children and  other sensitive populations;
    and

•   Expediting  review and  registration of
    alternative  pesticides that are  less  risky
    than  pesticides currently in use  and that
    may be substituted effectively  for higher
    risk pesticides.

    New  registration  actions result  in  more
pesticides on the market that meet the  strict
FQPA pesticide risk-based  standards, which
brings the Agency closer to  the objective of
reducing adverse  risks from pesticide use. In
2004, the Agency will continue to  promote
accelerated registrations for  pesticides  that
provide  improved  risk reduction  or  risk
prevention compared to those currently on the
market.    Progressively  replacing  older,
higher-risk pesticides is one  of the  most
effective  methods   for  curtailing  adverse
impact on health and the  ecosystem while
preserving food production rates.

    EPA   uses  its   authorities  to  manage
systematically the risks of pesticide exposures
by establishing  legally permissible food-borne
pesticide residue  levels,  or tolerances.  EPA
defines the legal  use  of pesticides, up to and
including the  elimination  of pesticides that
                                           3-3

-------
                               Goal 3:  Safe Food
present  a danger to  human health  and the
environment.     This   task   involves   a
comprehensive review of new  and  existing
pesticides  as  stipulated  by   the   FIFRA
mandated  registration   and   reregi strati on
programs,  as  well  as  a  comprehensive
reassessment   and   update   of   existing
tolerances within ten years, as required  by
FQPA.      Requested   resources    include
enhancing the efforts to review antimicrobials
as well  as inert ingredients, in  order to meet
the FQPA deadlines.  In FY 2004, EPA will
also  increase  support   for the  homeland
security  activities   related  to  identifying
antimicrobials  that   are   effective   against
potential bio-agents that could be used against
the U.S.

    Tolerance  reassessments   may   mean
mandatory use changes because a revision in
the  allowable residue  levels   can   involve
changes  in  pesticide application  patterns,
changes in the foods the pesticides may
be   applied  to,   and   other  risk
management methods.  As measured by
the number of tolerances that have been
reassessed, the Agency's progress in the
tolerance reassessment program directly
serves the objective of reducing the use
on  food  of pesticides that do not meet
the new  standards. EPA uses the latest
scientific   advances   in   health-risk
assessment  practices in  its  reviews.
This includes the incorporation of new
scientific data relating to the effects of
endocrine disruption and  the  special
needs of susceptible populations such as
children and Native Americans.
     of our policies  and assessments  are likely to
     be  expanded to  keep  pace with  changing
     science  and   the  public's   demand  for
     information  in  this area.   EPA is working
     closely with other Federal agencies involved
     in biotechnology and is also actively involved
     in developing international standards  for the
     regulation of biotechnology products.

        Biotechnology is  becoming  increasingly
     more  important in our economy with bio-
     engineered plants  accounting  for  a  larger
     share  of acres planted than ever before in the
     United  States.     For  example,  in  1996,
     Herbicide Resistant (HT) Soybeans accounted
     for only eight percent of the total U.S. acres
     planted in soybeans.  In 2000, HT Soybeans
     accounted for 53  percent of the acres planted
     for other  crops.    Trends  also  indicate
     increases, though not as dramatically as for
     soy. (See chart.)4
   AbptionofGaieticallyMDdifiedPlant
        Ircorpora^Ftetectant Gops

  United States, 1995 - 2000 (percent of acres)
                                          1995
      19%
1997
1998
1999
2000
HT-IMicid; Tolerant
H - Badllus trumgensis
   Biotechnology  has  presented  the
Agency with a range of new issues and
scientific challenges as well.  Outreach
activities on the subject of biotechnology such
as public meetings and scientific peer reviews
Source: Based on Etta fionERS^SS Surasy
     1ERS/NASS Survey: http://www.usda.gov/nass
                                           3-4

-------
                               Goal 3:  Safe Food
   Adoption  of  biotechnology  has  great
potential to reduce reliance  on some  older,
more risky chemical pesticides, and to lower
worker  risks.   For example,  the use  of Bt
cotton  has  affected   the   use  of  other
insecticides  that  present  higher   risk  to
wildlife. According to the reported number of
insecticide treatments  per  planted  acre of
cotton, use of insecticides labeled either toxic
or extremely toxic to wildlife has undergone
significant reduction  since   1995,  with  the
extremely  toxic pesticides  decreasing from
1.6 to 0.5 acre treatments, a 68% reduction.

   In addition to setting the requirements for
continued legal use of agricultural pesticides,
EPA works in partnership with USD A, FDA
and the States  toward the broader effort to
prevent the misuse of pesticides. In the ever-
changing   environment  of  pesticide   use,
accessibility  to information  is  a  primary
component of an effective strategy to inform
the public on  the  appropriate,  safe  use of
pesticides   to   minimize   risk.      More
information about EPA's food safety efforts is
available   on  the  Agency's  website  at
http://www.epa.gov/pesticides.

Research

   Current approaches  to human health  risk
assessment focus on single pesticides and do
not adequately  account for  cumulative risks
arising from  complex exposure patterns  and
human  variability  due  to age, gender,  pre-
existing disease, health and nutritional status,
and genetic predisposition.  The Food Quality
Protection   Act  (FQPA)  identifies  clear
science  needs, including the evaluation of all
potential routes and pathways of exposures to
pesticides,   and  resulting   health  effects,
particularly for sensitive sub-populations  and
considering   effects    from    cumulative
exposures.
    To support the FQPA, tools  are  needed
for assessing aggregate  and cumulative risks
across    the    exposure-to-dose-to-effects
continuum  that  result  from  multimedia,
multipathway  exposures to  pesticides with
like mechanisms of action.  Research is also
needed to further  understand the magnitude
and extent   of aggregate  and  cumulative
exposures of pesticides used on  food,  in
drinking water, and through non-occupational
exposures   in   and   around   residential
environments   and   other   indoor/outdoor
environments.   Special  emphasis will  be
placed on characterizing  exposures and the
corresponding  critical  factors   influencing
these  exposures in those environments where
young children spend the majority of their
time.

    Several mechanisms are in place to ensure
a high-quality research program at EPA. The
Research  Strategies  Advisory   Committee
(RSAC)  of  EPA's  Science Advisory  Board
(SAB),  an  independent  chartered  Federal
Advisory Committee Act (FACA) committee,
meets annually to conduct an in-depth review
and  analysis   of   EPA's   Science  and
Technology  account.  The RSAC provides its
findings to the House Science Committee and
sends a written report on the finding to EPA's
Administrator  after  every  annual   review.
Also,  under the Science to Achieve  Results
(STAR)  program  all research projects are
selected  for  funding  through   a  rigorous
competitive   external peer  review  process
designed  to  ensure  that   only  the   highest
quality efforts  receive funding support.   In
addition,  EPA's scientific and technical work
products   must undergo  either   internal  or
external peer review, with major or significant
products  requiring external peer review. The
Agency's  Peer  Review   Handbook  (2nd
Edition) codifies procedures and guidance for
conducting peer review.
                                           3-5

-------
                               Goal 3:  Safe Food
Strategic Objectives and FY 2004
Annual Performance Goals

Highlights

    Reduce Public Health Risk from Pesticide
    Residues

    FFDCA and FIFRA authorize EPA to set
terms and conditions of pesticide registration,
marketing  and  use.   EPA  will  use these
authorities to reduce  residues of pesticides
with the highest potential to  cause cancer or
neurotoxic  effects,  including  those which
pose  particular  risks to children  and other
susceptible populations.  All new pesticides,
including   food/feed-use    pesticides   are
registered  after  an  extensive  review  and
evaluation of human  health and ecosystem
studies  and data,  applying the most recent
scientific  advances in risk assessment.   The
Registration  program includes  registration
activities,   such   as   setting  tolerances,
registering new active ingredients  and  new
uses,  and handling experimental use permits
and emergency exemptions.

    In 2004, the  Agency  will  continue its
efforts to decrease the risk the public faces
from   agricultural  pesticides  through  the
regulatory review of new pesticides, including
reduced  risk  pesticides  and  biopesticides.
EPA expedites the registration of reduced risk
pesticides,  which are generally  presumed to
pose lower risks to consumers, lower risks to
agricultural workers,  and lower risk to the
earth's  ozone  layer,  groundwater,   aquatic
organisms  or wildlife.   These  accelerated
pesticide  reviews  provide an  incentive for
industry  to develop, register, and use lower
risk pesticides. Additionally, the availability
of  these  reduced  risk  pesticides  provides
alternatives to older, potentially more harmful
products currently on the market.
   Reduce Use on Food of Pesticides Not
   Meeting Current Standards

   Pesticide   reregi strati on   is  a  statutory
requirement under the 1988  amendments to
FIFRA.    Under  the  law,   all  pesticides
registered prior to November 1984 must be
reviewed  to  ensure  that  they  meet  current
health and safety standards.   The 1996 Food
Quality   Protection   Act    requires   the
reassessment  of pesticide tolerances by 2006.
Many pesticides must be reviewed under both
statutes.   New  program requirements  and
priorities include:

•  Review of inert ingredients;

•  Reform of the antimicrobial review
   process;

•  Transparency of our regulatory decisions;

•  Incorporation of aggregate and
   cumulative risk into our reviews;

•  Special protection for infants and
   children; and

•  Endocrine screening of pesticides, minor
   use enhancements and reduced risk
   registration emphasis.

   In FY 2004, the Agency will continue its
review of older pesticides and move forward
toward  its  ten-year  statutory  deadline  of
reassessing all 9,721 tolerances, after having
met  the  statutory  deadline of  reassessing a
cumulative 66 percent  of those tolerances by
August 2002.  The Agency will also continue
to develop tools to screen pesticides for their
potential to disrupt the endocrine system.  In
2004, EPA will work toward completing 35
Reregi strati on Eligibility Decisions (REDs),
400   product  reregistrations   and    1050
tolerance reassessments.
                                           3-6

-------
                               Goal 3:  Safe Food
    The   tolerance   reassessment   process
addresses  the  highest-risk  pesticides first.
Using data surveys conducted by the USD A,
the  FDA  and  other  sources,  EPA  has
identified a group of "top 20" foods consumed
by  children and  matched  those  with  the
tolerance    reassessments    required    for
pesticides used on those foods.5 The Agency
has begun to track its progress in determining
appropriate tolerances  for  these pesticides
under the new  FQPA  standards.  In  2004,
EPA will  continue its effort to reduce dietary
risks    to    children,    by    completing
approximately  a cumulative 83  percent of
these tolerances of special concern.

    Two widely used groups  of pesticides,
organophosphates    and   carbamates,   are
believed to pose higher risks,  particularly to
         Cumulative Percentage of Reregist rat ion Eligibility Decision (RED) Cases to be Completed by 2006
    120%
  T3
  
-------
                               Goal 3: Safe Food
protection   of  human   health   and   the
environment.  The   Agency's  progress  in
achieving goals for production of REDs and
its  tolerance  reassessment  component  are
summarized in the chart.

    The FY 2004 President's Budget assumes
the tolerance  assessment and  reassessment
programs will be partially funded by fees to
be  collected under  a revised Tolerance Fee
rule.  The FY 2004 request also includes a
proposal to  extend  the  Maintenance  Fee
through 2006, to provide stable funding for
reregi strati on  and   expedited   processing
activities.

    The   Administration   evaluated    the
Pesticide  Registration   and   Reregi strati on
Programs   this    past   year   using   the
Performance   Assessment   Rating    Tool
(PART).  The evaluation found  that  both
programs  address   important  nationwide
programs and have clear  missions, however
further  work is  needed  in  the  area  of
performance measurement.

Research

    In FY 2004, EPA's research program will
continue to  develop pesticides exposure and
effects  data, risk  assessment methods and
models for children, and control technologies
needed  to comply with the requirements  of
Food Quality Protection Act (FQPA).

    Specifically,   exposure   research   will
develop  new and  enhance existing tools  to
estimate aggregate and cumulative  exposures
of young children to pesticides and other toxic
chemicals.  Research will  address major data
gaps and uncertainties associated with the
exposure  assessment requirements  for  the
FQPA.  Health effects research will focus  on
understanding  dose-response   relationships
and using this understanding to develop new
and enhance existing methods to evaluate the
effects of cumulative exposures to pesticides
and toxic chemicals, including both long-term
exposures and multiple acute exposures.

   Risk assessment research will complete a
framework for use of toxicokinetic data and
models in risk assessment as a foundation for
comprehensive   risk  assessment  guidance.
The  guidance  will provide  analysis  and
recommendations    for:    1)     use    of
physiologically-based       pharmacokinetic
(PBPK) models and data in risk assessment;
2) analysis of relevant  issues such as  age-
related dosimetry and extrapolation between
species and age groups;  3) databases relevant
to toxicokinetic  approaches;  and 4)  risk
assessment methods that reduce  the  use  of
default  assumptions.     Risk  management
research   will  begin  developing  standard
protocols  for assessing  treatment effects  on
pesticide  residues  in  drinking  water,  and
testing  the   efficiency   of  drinking  water
treatment and the formation of degradation bi-
products for pesticide classes of high priority
that  are not  on  the Candidate  Contaminant
List (CCL).  Information collected from these
protocols  will  be  used in  aggregate  and
cumulative exposure assessments.

External Factors

   The ability of the Agency to achieve  its
strategic objectives depends on several factors
over which  the  Agency has  only  partial
control or little influence. EPA relies heavily
on  partnerships  with  States,  Tribes, local
governments  and regulated parties to  protect
the nation's  food supply, the  environment,
and human health, from pesticides.

   EPA assures  the safe use of pesticides in
coordination with the USDA  and FDA,  who
                                          3-8

-------
                               Goal 3:  Safe Food
have  responsibility to monitor  and control
residues  on  food and  other  environmental
exposures.    EPA  also  works  with  these
agencies to coordinate with  other  countries
and international organizations with which the
United   States   shares   pesticide-related
environmental goals.  The Agency employs a
number  of mechanisms  and  programs  to
assure that  our partners will have the capacity
to conduct the activities needed to achieve the
objectives.   Much of the success  of EPA's
pesticide  programs   also  depends  on  the
voluntary cooperation of the  private  sector
and the public.

   Other factors that may delay or prevent
the  Agency's  achievement of the objectives
include lawsuits that delay or stop the planned
activities of EPA and/or State partners, new
or amended legislation and new commitments
within the Administration.  Economic growth
and  changes   in  producer  and  consumer
behavior could also have an influence on the
Agency's ability to  achieve the objectives
within the time frame specified.
   Large-scale accidental  releases,  such as
pesticide spills,  or rare  catastrophic  natural
events  (such  as  hurricanes  or  large-scale
flooding)  could  impact  EPA's   ability  to
achieve objectives in the short term.  In the
longer term, the time frame for achieving
many of the objectives could  be  affected by
new technology  or unanticipated  complexity
or magnitude of pesticide-related problems.

   Newly identified environmental problems
and priorities could have a similar effect on
long-term goals.  For example, pesticide use
is affected by unanticipated outbreaks of pest
infestations  and/or  disease  factors,  which
require  EPA to review  emergency  uses in
order to preclude  unreasonable risks to the
environment. While the Agency can provide
incentives for  the  submission of  registration
actions  such as reduced risk and minor  uses,
EPA does not control incoming requests for
registration actions. As a result, the Agency's
projection of regulatory workload is subject to
change.
                                          3-9

-------
This page intentionally left blank

-------
Goal 4:
Preventing Pollution and Reducing
Risk in Communities, Homes,
Workplaces, and Ecosystems

-------
This page intentionally left blank

-------
    Goal 4: Preventing Pollution and Reducing Risk in
    Communities, Homes, Workplaces, and Ecosystems
Strategic Goal:  Pollution prevention and risk management strategies aimed at eliminating,
reducing,  or minimizing  emissions  and contamination will  result  in  cleaner  and  safer
environments in  which all Americans can reside,  work, and enjoy life. EPA will safeguard
ecosystems and promote the health of natural communities that are integral to the quality of life
in this nation
                                  Resource Summary
\ / FY2003 FY2004
^- — - — President's President's
4.5% of Budget Budget Request
Reduce Public and Ecosystem Risk from
Pesticides
Reduce Risks from Lead and Other Toxic
Chemicals
Manage New Chemical Introduction and
Screen Existing Chemicals for Risk
Ensure Healthier Indoor Air.
Facilitate Prevention, Reduction and
Recycling of PBTs and Toxic Chemicals
Assess Conditions in Indian Country

$55,410
$36,356
$77,538
$40,323
$46,116
$70,909
$326,652
$57,313
$38,723
$81,531
$42,380
$49,958
$76,435
$346,341
Difference
$1,903
$2,367
$3,993
$2,058
$3,842
$5,526
$19,689
Workyears
1,193.9
1,188.9
-5.0
Background and Context

   The underlying principle of the activities
in this goal is the application of pollution
prevention.  Preventing pollution before it
may harm the  environment or public can be
cheaper than cleanup and remediation that
may be more costly. EPA uses a number of
approaches to  protect public health and the
nation's  ecosystems  from  the  risks  of
exposure to pesticides and/or toxic chemicals.

   While EPA continues to implement "the
reasonable  certainty of no harm" standard
mandated by the Food Quality Protection Act
(FQPA)  in its regulatory  decisions,  it also
works with pesticide users on adopting less
                                      4-1

-------
        Goal 4:  Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces, and Ecosystems
toxic  methods  of  pest  management  that
reduce or eliminate toxic pesticides entering
indoor and outdoor environments.

   Regarding industrial emissions  of toxic
chemicals, in 2000, TRI facilities reported 7.1
billion pounds  of  TRI reported  chemicals
released   to  the environment, 3.2  billion
pounds recovered for energy and 14.3  billion
pounds of waste treated.6    This represents a
decrease of eight percent or 0.6 billion pounds
over the  previous year.  Reducing waste, and
reducing the toxic chemicals that are used in
industrial    processing,     protects     the
environment  and also  improves efficiency,
thereby lowering costs for industry.

   Pollution  prevention involves  changing
the behavior of  those that  generate  the
pollution  and  fostering the  wider  use of
preventive practices as a means to achieve
cost   effective,  sustainable results.    For
example, the Design for the Environment and
Green Chemistry programs strive  to change
the behavior of chemists  and  engineers to
incorporate    pollution    prevention    and
environmental  risk  considerations  in their
daily  work.     The  Strategic  Agricultural
Partnership   Initiative  and  the   Pesticide
Environmental     Stewardship     Program
cooperate with USDA,  States,  and non-
governmental  organizations to demonstrate
with  farmers integrated  pest  management
strategies that reduce pesticide residues in the
environment.

   In Goal  4,  the  Agency targets  certain
chemicals of high risk as well as the full range
of  pollutants  addressed  by the  pollution
prevention program.   Many chemicals  are
particularly toxic to children. For instance, at
high  levels,  lead  damages the  brain  and
nervous system and can result in  behavioral
and learning problems in children.7  Despite a
dramatic reduction in  lead  exposure among
young children over the last twenty years due
in large part to reduction in U.S. use of leaded
gasoline,  there  were   still  approximately
900,000  children in the U.S. with elevated
blood lead levels in the early 1990's,  due
primarily to exposure to lead-based paint and
dust.8   Data  from the  Center for Disease
Control's (CDC's) 2000 National Health and
Nutrition  Evaluation   Survey  (NHANES),
such as mean and median blood lead levels in
the general  U.S.  population,  indicate  that
Federal, State, and Tribal programs to reduce
childhood lead  poisoning from exposure  to
lead-based paint and dust have succeeded in
lowering  blood-lead levels  from  the  early-
1990's levels. New data released by CDC in
January  2003   indicate  that  the  national
incidence of elevated lead blood levels among
children may now be approximately 400,000
cases, based on combined   1999  and  2000
samples.    Collaboration   among  partners
continues in  an effort  to further reduce  or
eliminate this preventable condition.

    On  other  fronts,  exposure  to asbestos,
polychlorinated  biphenyls (PCBs) and some
pesticides  in  our  buildings  and in   the
environment poses risks to humans as well as
 2000 Toxic Release Inventory (TRI) Public Data Release -
Executive Summary (EPA 260 S 02 001).
http://www.epa.gov/tri/tridata/triOO/index.htm
 Centers for Disease Control, National Center for Health Statistics,
National Health and Nutrition Examination Survey: 1999-2002.
Available at http://www.cdc.gov/nchs/nhanes.htm
 Centers for Disease Control, National Center for Health Statistics,
National Health and Nutrition Examination Survey: 1999-2002.
Available at http://www.cdc.gov/nchs/nhanes.htm
                                           4-2

-------
        Goal 4:  Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
wildlife.   Pesticides and chemicals that may
act as endocrine disrupters at ambient levels
is  an area of increased  concern for human
health  and  the  environment.    For  other
common chemicals, risks may not be known.
The screening and testing of chemicals  about
to enter the market, combined with the review
of the most common chemicals already in use
through   the   Chemical   Right-to-Know
Program, fills critical gaps in our knowledge
about the  effects of chemicals on human
health and the environment.


    Under Federal environmental statutes, the
Agency has responsibility for assuring human
health and environmental protection in Indian
country.  Since 1984, EPA policy has been to
work with   Tribes  on  a government-to-
government basis that affirms  the vital trust
responsibility  that EPA  has  with  every
Federally-recognized   Tribal   government.
EPA   endeavors   to    address    Tribal
environmental priorities, ensure compliance
with  environmental  laws,  provide  field
assistance,  assure effective communication
with  Tribes,   allow  flexibility  in  grant
programs, and provide  resources for Tribal
operations.

Means and Strategy

    The diversity and sensitivity of America's
environments      (communities,     homes,
workplaces and ecosystems) require  EPA to
adopt a multi-faceted approach to protecting
the public from the potential threats posed by
 Centers for Disease Control, National Center for
Health Statistics, National Health and Nutrition
Examination Survey: 1999-2002. Available at
http://www.cdc.gov/nchs/nhanes.htm
pesticides,   toxic   chemicals   and   other
pollutants.  The underlying  principle  of the
activities in this goal  is the application of
pollution prevention practices, which can be
cheaper  and  smarter  than  cleanup  and
remediation, as evidenced by the high cost of
Superfund,   Resource  Conservation   and
Recovery  Act (RCRA), and Plychlorinated
Biphenyls  (PCB)   cleanups.     Pollution
Prevention   (P2)  involves   changing  the
behavior of those that cause the pollution and
fostering the wider use of preventive practices
as a means to achieve effective, sustainable
results.

   Under  this  Goal,  EPA  ensures  that
pesticides  and their application methods do
not  present unreasonable  risks to  human
health, the environment, and ecosystems.  In
addition  to  the array of  risk-management
measures   specified   in   the   registration
authorities  under  the Federal  Insecticide,
Fungicide, and Rodentcide  Act  (FIFRA) for
individual  pesticide  ingredients,  EPA has
specific  programs  to  foster  worker  and
pesticide-user      safety,      ground-water
protection, and the safe use of pesticides and
other pest control methods.  These  programs
work to ensure the comprehensive protection
of the environment and wildlife, endangered
species  in particular,  and  to  reduce the
contribution of pesticides to ecological threats
such as pollutant loading in select geographic
areas.   EPA  is also  addressing  emerging
threats  such  as endocrine  disrupters  by
developing and implementing new  screening
technologies to assess a chemical's impact on
hormonal activity.

   Within  the  pesticide   program,   EPA
pursues  a variety  of field activities  at the
regional,  State,  Tribal  and  local   levels,
                                          4-3

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
including   the  promotion   of   pesticide
environmental  stewardship  and  Integrated
Pest Management (IPM).  States and Tribes
are vital partners in our work to implement
FQPA.    The  voluntary  partnerships  and
outreach programs that help farmers transition
away from  the riskier products  are often
catalyzed  by  State  participation.    These
programs,  combined with  the availability of
newer and safer pesticides, are having a  real
impact. In 2004 we expect at least 8.5 percent
of  acre-treatments  will  use  reduced-risk
pesticides.   We are seeing  a  reduction in
wildlife impacts from pesticides as well,  and
in 2004 we project an additional five percent
reduction  in  reported  incidents of  wildlife
mortalities, from the  1995  level. That means
fewer bird casualties and fewer fish kills.  The
accumulation  of these improvements  will
mean safer food, improved  biodiversity, and a
cleaner environment.

    The  Agency  remains  committed   to
safeguarding   our   Nation's   communities,
homes,    workplaces   and    ecosystems.
Preventing   pollution  through  regulatory,
voluntary,   and   partnership   actions
educating  and changing the behavior of the
public — is a sensible and  effective approach
to sustainable development while  protecting
our  nation's   health.   Two  groups with
significant potential to effect environmental
changes are industry and academia. In the last
decade, the Agency has successfully pursued
a number of pollution prevention programs
with both  of these  groups,  including  the
groundbreaking  33/50  Program,  which in
1991 introduced voluntary  collaboration  into
EPA's  environmental protection efforts,  and
the Presidential  Green  Chemistry  Challenge
Award,   which   stimulates   industry   and
academia   toward   the   development   of
innovative  new  and  improved  industrial
chemicals  and  processes.     The  Agency
continues  to  expand  its use  of voluntary
mechanisms to leverage pollution prevention,
focusing  on the health care service sector in
fostering the American Hospital Association's
Hospitals   for   a  Healthy  Environment
partnership program, which have more than
2,000  participants  in  2004.   Likewise,
improved understanding of the potential risks
to  health   from   airborne  indoor  toxic
chemicals will strengthen our ability to reduce
residents'   exposure   through   voluntary
changes in behavior and potential  product
reformulation.

   Preventing pollution through partnerships
is also central to EPA's  Chemical Right-to-
Know  Program  (ChemRTK),  which  has
already  started  providing  the  public  with
information   on   the  basic   health   and
environmental  effects  of  the  2,800  high
production  volume  (HPV)  chemicals in the
United States (chemicals  manufactured in or
imported  into the U.S. in quantities of at least
one million pounds annually).  Most residents
come into daily contact with many  of these
chemicals, yet relatively little is known about
their potential impacts.  Getting basic hazard
testing   information   on   large   volume
chemicals is the focus of the "HPV Challenge
Program," a  voluntary  program challenging
industry  to  develop chemical  hazard  data
critical to enabling EPA, State, Tribes,  and
the public  to screen  chemicals already in
commerce for any risks they may be posing.

   EPA has two major strategies to  meet its
human health objective for indoor air quality:
increasing public awareness and  increasing
partnerships  with  non-governmental   and
professional  entities.   EPA  raises public
                                         4-4

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
awareness of actual and potential indoor air
risks  so  that individuals can take steps  to
reduce exposure.  Outreach activities, in the
form   of   educational   literature,   media
campaigns,   hotlines,   and  clearinghouse
operations,  provide   essential   information
about indoor air health risks not only to the
public, but to the professional and research
communities  as well.   Underpinning EPA's
outreach  efforts  is a strong commitment  to
environmental justice, community-based risk
reduction, and  customer service.  Through
partnerships with EPA  disseminates multi-
media materials  encouraging   individuals,
schools, and industry to take action to reduce
health risks in their indoor environments.  In
addition,  EPA  uses  technology  transfer  to
improve  the ways  in which  all types  of
buildings,  including  schools,  homes,  and
workplaces,   are  designed,  operated,  and
maintained.    To  support  these voluntary
approaches,   EPA   incorporates   the  most
current  science  available  as  the basis  for
recommending ways  that people can reduce
exposure to indoor contaminants.

   EPA  is  also taking the initial steps  to
address  the  potential  threat of endocrine
disrupting chemicals on the health of humans
and wildlife.  Work focuses on developing
and validating new chemical screens and tests
to isolate those chemicals and characterize the
threat.

   Also  central to the Agency's  work under
this  goal in FY 2004 will be continued
attention   to  reducing  potential   risk from
persistent, bioaccumulative  and  highly toxic
chemicals (PBTs) and from chemicals that
have  endocrine  disruption  effects.   PBT
chemicals are of particular concern not only
because they are toxic but also because they
may remain in the environment for a long
period of time, are not readily destroyed, and
may  build  up  or  accumulate  to  high
concentrations  in  plant or animal tissue.  In
cases involving mercury and PCBs, they may
accumulate in human tissue.

   EPA programs under this Goal have many
indirect effects that significantly augment the
stream of benefits they provide. For example,
each year  the Toxic Substances Control Act
(TSCA) New Chemicals program reviews and
manages    the    potential    risks    from
approximately  1,800 new chemicals  and  40
products  of biotechnology  that  enter the
marketplace.10       Since   its   inception,
approximately    17,000   new   chemicals
reviewed by the program have  entered U.S.
commerce.    This new  chemical  review
process not only protects  the public from the
possible   immediate  threats   of   harmful
chemicals  like  PCBs  from  entering  the
marketplace, but  it has also  contributed to
changing  the   behavior  of  the  chemical
industry,  making  industry more aware  and
responsible for the impact these chemicals
have on human health and the environment.

   The   New  Chemicals  program  also
encourages  industry to  develop safer,  or
"green," chemicals as  substitutes for more
dangerous ones. In FY 2004 the Agency will
continue to provide industry training in the
use of the  same tools that EPA uses to assess
new chemicals, enabling companies  to make
smarter  choices at earlier stages   in  their
design process, reducing government costs,
10 U.S. EPA, Office of Pollution Prevention and
Toxics, TSCA New Chemicals Program Annual Report
and the TSCA New Chemicals Program Website
http://www.epa.gov/oppt/newchems/accomplishments.
htm
                                         4-5

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces,  and Ecosystems
and hastening the entry of safer new products
into  the marketplace.  Through the  Green
Chemistry program, the use and generation of
38 million pounds and approximately  three
million gallons of hazardous chemicals have
been eliminated, and 275  million gallons of
water have been saved .u

   A  PART   evaluation  of  the   New
Chemicals program showed that it had very
strong   purpose   and   management   and
collaborates with other Federal agencies.  The
assessment also found that while the program
has to some extent  shown results, it  lacks
adequate long-term measures.  Recommend-
ations from the assessment include improving
the  program's  strategic  planning,   which
includes  an independent  evaluation  of the
program. The agency will also establish more
outcome-oriented measures, including at least
one efficiency measure.

   The Design for the Environment (DfE),
Green  Chemistry,  and Green  Engineering
(GE)  programs  build  on and  expand  new
chemistry efforts.  They  target  industry and
academia to maximize pollution prevention.
Our  DfE  Program forms partnerships with
industry to find sensible solutions to prevent
pollution.   In  one  example,  taking a sector
approach,   EPA   has   worked   with  the
electronics  industry  to reduce  the  use of
formaldehyde and other toxic chemicals in the
manufacture of printed wiring boards.12 Our
Green   Chemistry   Program   also   forms
11 U.S. EPA, Office of Pollution Prevention and
Toxics, High Production Volume Challenge Program,
HPV Commitment Tracking System. Available at
http://www.epa.gov/chemrtk/viewsrch.htm

12 U.S. EPA, Office of Pollution Prevention and
Toxics, Design for Environment, www.epa.gov/dfe
partnerships with industry and the scientific
community  to  find   economically   viable
technical solutions to  prevent pollution.  In
addition, the  Green  Engineering Program
works   with  the  American   Society  of
Engineering Education (ASEE) to incorporate
GE approaches into engineering curricula.

    Since this goal focuses on how the public
lives in communities, it features the Agency's
commitment to fulfilling its responsibility for
assuring   human  health  and   promoting
environmental protection in Indian country.
EPA's policy is to work with  Tribes on a
government-to-government basis that affirms
the vital trust responsibility that EPA has with
572 Tribal governments and remain cognizant
of  the Nation's interest in conserving the
cultural uses of natural resources.

    Core elements  of pollution  prevention
include minimizing toxic pollutants contained
in  hazardous  waste  streams   and   other
pathways for the generation of toxic  waste.
This is  accomplished through a  variety of
diverse  regulatory and voluntary strategies,
including   fostering   materials   reuse  and
recycling,   broad-based   campaigns  to re-
engineer the consumption  and  use  of raw
materials,   and  promoting  public resource
conservation. These effective and  sustainable
programs   reduce  the  need  for  storage,
treatment   or  disposal  of  hazardous  and
municipal solid wastes, with the added benefit
of   reducing    costs    to   industry   and
municipalities,   reducing   pollution   and
pollution   control   costs   associated  with
production  of virgin  materials,   conserving
energy  and  energy  costs,  and  reducing
greenhouse gas emission.
                                          4-6

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces, and Ecosystems
   In FY 2004, EPA's waste management
program   will   increase   consumer  and
individual awareness of environmental issues
by implementing The Resource Conservation
Challenge (RCC).  Launched in 2002, this
new campaign asks businesses, manufacturers
and   consumers   to   adopt  a   resource
conservation   ethic;    to    operate   more
efficiently; to purchase more wisely;  and to
make and use products that are easy to  recycle
and are composed of recycled materials. The
Challenge also  encourages  the reduction  of
hazardous   wastes   containing    priority
chemicals  through  the  National  Waste
Minimization Partnership Program.  These
effective and sustainable  programs reduce the
need for storage,  treatment or disposal  of
hazardous or  municipal wastes,   with  the
added benefit of reducing costs to industry
and  municipalities.     The  2003  House
Subcommittee  Report   encouraged  and
supported the  RCC  strategy  to identify
opportunities  to further the  goal of resource
conservation  and  recovery  while  remaining
true to  the  mission  of ensuring  safe and
protective waste management practices.

   In several cases,  achieving the strategic
objectives under  this  goal  is  a  shared
responsibility with other Federal,  State and
Tribal partners.  For example, EPA's  role in
reducing   the   levels   of  children's  lead
exposure  involves promotion  of Federal-
State-Tribe  partnerships to  decrease  the
number of specific sources of lead to children,
primarily from  addressing  lead-based paint
hazards.    These  partnerships  emphasize
development of a professional  infrastructure
to identify, manage and abate lead-based paint
hazards,  as  well  as  public education and
empowerment  strategies,   which  fit  into
companion Federal efforts with Department
of  Health  and  Human  Services  (HHS),
Department  of Defense  (DOD), Department
of  Energy  (DOE), Department of  Justice
(DOJ), Centers for Disease Control (CDC),
and  Department   of  Housing  and  Urban
Development  (HUD).     These  combined
efforts help to monitor lead levels  in the
environment, with  the  intent  of virtually
eliminating lead poisoning in children.

    In 2004, EPA  will  also launch a set of
expanded,  multi-media  Children's  Health
protection activities. The Agency will partner
with  several  organizations  and  States  to
provide   education   and   outreach    on
environmental   issues   affecting   sensitive
populations   and  will   implement    an
Environmental Management Systems  (EMS)
approach for elementary schools.   Through
these approaches,  State and local capacity to
address   sensitive  populations  will    be
developed,  the number of  asthma-related
reportable health  incidents and emergency
room visits will decrease, and schoolchildren
will have reduced exposures to poor indoor
air  quality, asbestos, mercury, pesticides and
other hazardous chemicals

Research

    Currently, there are significant gaps  with
regard to the understanding of actual  human
and  ecological  exposures  to  pesticides  and
toxic substances. To address those data gaps,
EPA  research  will  provide  a  strategic
framework for developing an integrated  suite
of tools and models that will enhance EPA's
procedures for assessing the  risks to  human
health and ecological systems associated with
commercial  chemicals,  microorganisms,  and
genetically modified organisms.
                                         4-7

-------
        Goal 4:  Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces,  and Ecosystems
                                       13
    Several mechanisms are in place to ensure
a  high-quality  research  program.     The
Research   Strategies  Advisory  Committee
(RSAC) of EPA's Science Advisory Board
(SAB),  an  independent  chartered  Federal
Advisory    Committee    Act    (FACA)
committee, meets annually to conduct an in-
depth review and analysis of EPA's  Science
and   Technology  account.    The   RSAC
provides  its findings to the House  Science
Committee and sends a written report on the
finding to  EPA's Administrator  after  every
annual review.   Also, under the Science to
Achieve Results (STAR) program all research
projects are selected for  funding through a
rigorous  competitive  external  peer review
process  designed to  ensure that only  the
highest   quality  efforts   receive   funding
support.   In  addition, EPA's scientific and
technical work products must undergo  either
internal or external peer review, with major or
significant  products requiring  external  peer
review.     The  Agency's  Peer  Review
Handbook (2nd Edition)14  codifies procedures
and guidance for conducting peer review.

Strategic Objectives and FY 2004
Annual Performance Goals

•  Reduce Public and Ecosystem Risk from
    Pesticides

•  Reduce Risks from Lead and Other Toxic
    Chemicals
  Federal Advisory Committee Act, Pub. L. 97-375,
title II, Sec. 201(c), Dec. 21, 1982, 96 Stat. 1822.
14 U.S. Environmental Protection Agency. (2000).
Science Policy Council Peer Review Handbook. (EPA
Publication No. EPA 100-B-OO-OOl). Washington,
D.C:  Government Printing Office
•  Reduce Exposure to and Health Effects
   from Priority Industrial/ Commercial
   Chemicals

•  Manage New Chemical Introduction and
   Screen Existing Chemicals for Risk

•  Identify and Reduce Risks from
   Industrial/Commercial Chemicals
•  Ensure Healthier Indoor Air

•  Facilitate Prevention, Reduction and
   Recycling of PBTs and Toxic Chemicals

•  Prevent, Reduce and Recycle Hazardous
   Industrial/Commercial Chemicals and
   Municipal Solid Waste

•  Assess Conditions in Indian Country


Highlights

   EPA seeks  to  prevent  pollution  at the
source  as  the first  choice in  managing
environmental  risks   to   humans   and
ecosystems.   Where  pollution prevention  at
the source is not  a  viable  alternative, the
Agency employs risk management and  cost
effective remediation  strategies.   Reducing
pollution at the source will be  carried out
using a multi-media approach in the following
environmental problem areas:

Reduce Public and Ecosystem Risks from
Pesticides

   Reducing  risk from exposure to pesticides
requires a multi-faceted  approach.  Beyond
being exposed through the food we eat, the
general  public, applicators, and  farm workers
may  be exposed to pesticides through direct
handling, groundwater contamination or aerial
spray.     One  intent  of the Food Quality
Protection Act (FQPA) is to protect the public
                                         4-8

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces,  and Ecosystems
by  shifting the nation toward reduced  risk
pesticides   and    safer   pesticide    use.
Appropriate  transition  strategies  to reduced
risk pesticides are important to the nation to
avoid disruption of the food supply or sudden
changes in the market that could result from
abruptly  terminating the use of a pesticide
before well-targeted reduced risk equivalents
can be identified and made available. In 2004,
the Agency will  continue  efforts  to reach
more  farmers and grower groups, encourage
them   to  adopt   safer  pesticides,   use
environmental stewardship  and  integrated
pest  management   practices,  and  adopt  a
"whole  farm"  approach to  environmental
protection.     Through  these   partnership
programs the Agency has become more aware
of  the multiple  pressures  on our  nation's
agricultural industry and the interaction of the
various   environmental  requirements   that
affect it.

    In addition, in FY 2004, the Agency will
work  with grower groups, States  and Tribes,
and USDA  to combine and magnify  our
efforts to meet the goals authorized in the
Farm  Bill for conservation  activities.   With
USDA collaboration,  EPA  can  deliver its
unique expertise in  pesticides, water, and air
issues in  an integrated way to the agricultural
community.  A majority of the environmental
and conservation problems that are the most
pressing  for  farmers  include pesticide  and
pest management issues in which the National
Resource Conservation  Services  (NRCS) of
USDA has little experience or expertise.  We
will develop partnerships with a broad range
of groups with agricultural interests, as well
as  stewardship   strategies   that   produce
measurable environmental results.  We  will
also  develop   common   measures   and
environmental indicators with USDA through
this cooperative effort.

   Through the Certification  and Training
(C&T)   and   Worker  Protection   (WP)
programs, EPA will  continue  training  and
educating farm workers  and employers  on
worker  safety practices and the dangers of
pesticides.  EPA will  continue to protect the
Nation's  ecosystems   and   reduce  adverse
impacts  to  endangered   species  through
various  regulatory  and voluntary programs,
including  the   Pesticide   Environmental
Stewardship    Program    (PESP)    which
encourages  the  use  of   integrated  pest
management (IPM) approaches.  The Agency
will   emphasize  efforts  with   our   Tribal
partners  to  address  pesticide  issues  and
enhance the development of Tribal technical
capacity,  particularly  in the areas of  risk
management, worker  safety,  training,  and
pollution prevention.

   Together, the WP and the C&T programs
address   issues  of  safe  pesticide  use  and
pesticide   exposure.     These   programs
emphasize  safeguarding workers  and other
pesticide users from occupational exposure to
pesticides by providing training for workers,
employers,  and pesticide   applicators  and
handlers.    Training   and   certification  of
applicators of restricted use  pesticides further
ensures  that  workers and  other vulnerable
groups  are protected  from  undue pesticide
exposure   and   risk.       Recertification
requirements  keep their  knowledge  current
with     label     changes,     application
improvements,  availability of new pesticides
and  other pesticide  related issues.    The
Endangered Species program will improve the
consultation  process   with  other  Federal
agencies and continue to enlist the support of
                                         4-9

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces, and Ecosystems
the  agricultural   community  and   other
interested  groups  to  protect  wildlife  and
critical  habitats  from  pesticides.     This
voluntary  program  is  carried  out  through
communications and outreach efforts and in
coordination  with  other Federal agencies.
The  Pesticide  Environmental  Stewardship
Program  (PESP) and  other  Integrated Pest
Management  (IPM)  outreach  efforts  play
pivotal roles in moving the nation to the use
of  safe  pest control   methods,  including
reduced risk pesticides.  These closely related
programs  promote  risk  reduction  through
collaborative efforts with stakeholders to use
safer  alternatives  to   traditional chemical
methods of pest control.

   Antimicrobial sterilants and  disinfectants
are used to kill microorganisms on surfaces
and objects in hospitals, schools, restaurants
and   homes.      Antimicrobials   require
appropriate labeling and handling to ensure
safety and efficacy.  EPA remains focused on
accurate product labeling and product efficacy
and   meeting   other   requirements   for
antimicrobial  sterilants set forth by FQPA, as
well   as   the   reregi strati on   of   older
antimicrobials to  ensure they meet  today's
standards.

Reduce Risks from Lead and Other Toxic
Chemicals

   EPA is part of the Federal effort,  through
the President's Task Force on Environmental
Health Risks and Safety Risks to Children, to
address  lead  poisoning  and  elevated  blood
levels in children by assisting in, and  in some
cases  guiding,  Federal  activities aimed at
reducing the  exposure of children in homes
with lead-based paint.  EPA is working with
other   Federal   Agencies   including   the
Department  of Health and  Human Services
(HHS),  Department of Housing  and Urban
Development (HUD), Department of Defense
(DOD),   Department  of  Energy  (DOE),
Consumer   Product   Safety  Commission
(CPSC), and Department of Justice (DOJ) on
implementing a Federal  strategy to virtually
eliminate lead poisoning.  During FY 2004,
EPA   will   continue   implementing  its
comprehensive   program   to  reduce   the
incidence  of lead poisoning  and elevated
blood-lead levels in children nationwide.

   In 2004,  EPA will  continue  the Lead
Based Paint Training & Certification Program
in all fifty  States through EPA  authorized
State, territorial  or Tribal  programs or, in
States   and   territories    without   EPA
authorization, through direct implementation
by the Agency.   By  the  end of 2004,  we
expect to have provided the nation with more
than 18,000 individuals  and firms formally
certified  in  properly  abating lead  paint
hazards. In the lead regulatory program, EPA
will  propose two major  rules on  renovation
and remodeling activities and the  de-leading
of bridges and structures.

   EPA will continue to implement the new
Lead Hazards Standards Rule (finalized in
2001), the Lead Renovation Information Rule
and the Real Estate Notification &  Disclosure
Rule.  In 2004,  EPA will  develop  a new
program to propose a new rule to improve
work practices in removing lead-based paint
from bridges and structures, capping a series
of  rules  with   wide-ranging  impact  on
children's health.

   For other chemicals whose  risks are well
established (such  as  PCBs,  asbestos,  and
dioxin),  reductions in use  and releases  are
                                         4-10

-------
        Goal 4:  Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
important to reducing exposure of the general
population   as   well  as   sensitive   sub-
populations. In FY 2004, EPA's PCB control
efforts will continue to encourage  phase-out
of PCB electrical equipment,  ensuring proper
waste  disposal  methods  and capacity,  and
fostering PCB site cleanups. The Agency will
continue to be part of an interagency effort to
assess  potential dioxin risks to the public,
including  the  development  of  a dioxin
strategy to  respond to the latest science and
addressing dioxin risk management in a more
comprehensive cross-media approach.

Manage New Chemical  Introduction  and
Screen Existing Chemicals for Risk

   Under TSCA, EPA identifies and controls
unreasonable risks associated  with chemicals.
EPA   administers   TSCA  through   two
programs:   the New Chemicals and Existing
Chemicals   programs.      The   Existing
Chemicals  program continues its review of
the original  62,000  TSCA  chemicals  for
health  impacts.  A PART evaluation of the
Existing Chemicals program found that while
the  program   has  strong   purpose   and
management,  it  lacks strategic  planning and
cannot demonstrate any  long-term  impact.
The program has  demonstrated few results:
GAO  found  that  EPA has  been  slow to
address these chemicals,  with  EPA having
reviewed   approximately  two  percent  of
existing chemicals in the last  20 years.  As a
result of the assessment, EPA will establish a
long-term measure and an efficiency measure.
The program will also focus efforts to develop
acute exposure chemical guidelines  (AEGLs),
which  are  important for  homeland security
response, recovery, and preparedness.  EPA
will  also  continue to  implement   its  High
Production    Volume   (HPV)   Challenge
program in an effort to address the gaps that
the Existing Chemicals program has failed to
address.

   The HPV Challenge program  aims to
address a critical   gap  in   the  nation's
knowledge   about    the    health    and
environmental hazards of high  production
volume chemicals  (HPVs).    HPVs   are
chemicals   that  are   manufactured   in  or
imported into  the U.S.  in quantities of at least
one million pounds per year. EPA is working
with industry to make information about these
chemicals  available to the public so that it can
make  more informed  consumer choices.  The
HPV Challenge program is already providing
the public with  information  on the basic
health  and environmental  effects of 2,800
HPVs.    Industry  response  to  the HPV
Challenge  has been overwhelming: more than
300 companies  have  voluntarily committed
themselves to providing EPA with  data for
2,196  of the  2,800 HPV chemicals.15  EPA
has already commenced its review and public
posting of these company submissions.  In FY
2004,  EPA expects to make  screening level
health and environmental effects data publicly
available for a cumulative 900 chemicals.

   Under  a  parallel  Voluntary  Children's
Chemical  Evaluation  Program  that  was
launched  in 2002, EPA and  industry  will
collaborate in  fully   assessing  the  risks
associated with chemicals to which children
are exposed. With our State partners we will
work to establish a series of pilot programs to
address TSCA responsibilities at the State
  U.S. EPA, Office of Pollution Prevention and
Toxics, High Production Volume Challenge Program,
HPV Commitment Tracking System. Available at
http://www.epa.gov/chemrtk/viewsrch.htm
                                        4-11

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
level,  where  local  knowledge  of  unique
problems  or  solutions  can  bring  greater
efficiencies to this wide-ranging program.

   An  important Agency  priority   is  to
develop and use valid chemical screens and
tests to identify and  characterize the  risk of
chemicals   that   may   cause   endocrine
disruption in humans, fish and wildlife.  In
2002   EPA  put  in  place   an   Endocrine
Disrupter Methods Validation Subcommittee
(EDMVS)  made  up  of approximately  25
scientific experts representing outside interest
groups.  These  experts will  meet through
2005 to provide  advice and counsel to EPA
on  scientific  issues  associated  with  the
conduct of studies necessary for validation of
screening  and  testing  methods  in  the
Agency's  Endocrine  Disrupter  Screening
Program.

Ensure Healthier Indoor Air

   In  FY 2004,  EPA will  build on the
success of its national "Indoor Air Quality
(IAQ)  Tools for Schools" (TfS) program and
expand implementation  of this program to
more   schools.  Adoption  of  EPA's  low-
cost/no-cost guidelines for proper  operation
and maintenance of school facilities results in
healthier indoor environments for all students
and staff, but is of particular help to children
with asthma, lessening the degree  to  which
they are exposed to  indoor asthma triggers.
By  increasing the number of schools  where
TfS indoor air quality guidelines are adopted
and implemented, healthier indoor air will be
provided for over a million students, staff, and
faculty.

   The Agency will continue to promote the
adoption of  healthy  building practices  in
existing school operations. EPA expects, as a
result  of  Agency programs,  that  834,400
Americans   will  be   living  in  healthier
residential indoor environments in FY 2004.
Part of meeting this goal  includes expanding
the  Agency's   successful   education  and
outreach efforts  to  the public about  sound
indoor environmental management techniques
with respect to  asthma.    In  addition,  the
Agency will  continue to focus on ways  to
assist the health-care community to  raise  its
awareness of, and attention it pays to, indoor
asthma triggers and their role in provoking
asthma  attacks in those with  the  disease.
EPA, in conjunction with the Department of
Health  and Human Services (HHS), will
continue to seek opportunities to interact with
managed  care  organizations  and  health
insurers to  promote effective asthma care
practices and to  encourage  greater emphasis
on avoidance of asthma triggers,  as part of a
comprehensive asthma treatment regimen.

Facilitate Prevention, Reduction and
Recycling of PBT's and Toxic Chemicals

   Pollution    prevention     and    waste
minimization require a  comprehensive effort
of minimizing the quantity  and toxicity  of
waste generated by industries, the government
and individual citizens. EPA's role includes
several    specific   activities   addressing
industrial hazardous waste and municipal and
industrial solid waste.

   Preventing pollution can be cost-effective
to industry in  cases where it reduces excess
raw materials  and energy use.  P2 can also
reduce the need for expensive "end-of-pipe"
treatment and disposal, enable firms to avoid
potential  liability,   and   support   quality
improvement incentives in place  at facilities.
                                         4-12

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
Current     EPA     strategies     include
institutionalizing  preventive  approaches  in
EPA's    regulatory,    operating,     and
compliance/enforcement    programs    and
facilitating   the   adoption  of   pollution
prevention techniques by States, Tribes, the
academic community and industry.

   One approach the Agency employs is the
industrial sector-based focus that  promotes
cleaner technologies leading to a reduction of
risks to health and the environment.  EPA's
Design for  the  Environment (DfE) Program
works in partnership with industry to develop
comparative  risk,  performance,  and  cost
information  about alternative technologies,
chemicals, and  processes in  order to make
environmentally informed business decisions.

   Now, more  than ever, it is important for
Americans  to  make  sound environmental
decisions.     EPA  provides  the   national
leadership necessary to reduce the generation
of  municipal   and  industrial  solid  waste
regulated under RCRA  Subtitle D and to
improve the  recovery and  conservation of
materials and energy through source reduction
and  recycling.     EPA  encourages  source
reduction of municipal solid waste through its
Waste Wise program and fosters recycling and
the recycling market through such  programs
as Pay-As-You-Throw  and  Jobs  Through
Recycling.  In addition,  working with public
and   private   sector   stakeholders,   EPA
promotes   financial    and   technological
opportunities  for  recycling/reuse businesses.
In FY 2004, EPA will continue to implement
The Resource Conservation  Challenge (RCC)
using a broad range of methods and tools to
help   businesses,    manufacturers,    and
consumers to adopt a resource  conservation
ethic. The Agency will serve as a catalyst for
innovative source reduction and recycling in
many  industrial  sectors,  including  waste
reduction opportunities for construction and
demolition   debris,   food  wastes,   tires,
electronics   equipment,   carpet,   transport
packaging, and plastic beverage packaging.

   In FY 2004,  the  Agency  will  continue
reducing the barriers to  safe recycling of
hazardous waste through changes to recycling
regulatory standards and ongoing outreach to
stakeholders    to    explore    additional
innovations.    EPA  will  place   particular
emphasis on ways to increase safe hazardous
waste recycling while reducing the burden for
both small  and large businesses in selected
sectors,  such  as  the  printing,   electronics
recycling,   metal   finishing  and  chemical
industries, as well as in laboratories affiliated
with educational institutions.

   The  Green Chemistry Challenge Program
continues to be an effective catalyst for the
behavioral  change  necessary  to  drive the
research, development, and implementation of
green chemistry  technologies.   In addition,
this  program also continues  to  provide an
opportunity to quantitatively demonstrate the
technical,   environmental,   and   economic
benefits that green  chemistry  technologies
offer. In 2004, the Green Chemistry Program
will  be  focusing  its outreach, awards,  and
research  efforts  to  target audiences  not
currently involved in green chemistry product
and process design, and specific high priority
chemicals,  products,  and/or  processes for
which safer alternatives are not available.

   To address  continuing  issues  associated
with PBTs, EPA launched a  cross-office,
cross-media  PBT program  in  FY  1999.
Through this  effort,  the  Agency seeks to
                                         4-13

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces, and Ecosystems
prevent,  minimize   and,   when   possible,
eliminate PBTs,  which are harmful to  both
human health and the environment.  In FY
2004, the Agency will publish its Mercury
National Action Plan with long-term goals for
EPA's  future  mercury activities,   and  will
continue  the  Agency's  ongoing  mercury
activities aimed at reducing releases, reducing
exposure,  reducing   use   in  products  and
processes, and ensuring safe management of
wastes and supplies.  A key element  of this
Action Plan already being implemented is the
Hospitals for a Healthy Environment (H2E)
program, which is  a collaborative effort
among   EPA,   the  American   Hospital
Association,  Health Care Without Harm, and
the  American  Nurses  Association.    As
voluntary  H2E  participants,  hospitals  and
health  care  facilities pledge  to   eliminate
mercury  use  by 2005 and  to  reduce  total
hospital waste by 50 percent by  2010.   In
2004, H2E will continue to enroll partners. It
is  expected that as many as one-third of the
nation's 6,000 hospitals will pledge to the
program.

Assess Conditions in Indian Country

   EPA places particular priority on working
with Federally Recognized Indian Tribes on a
government-to-government basis to improve
environmental conditions in Indian  country in
a     manner  that  affirms  the vital  trust
responsibility that EPA has with  some 572
Tribal  governments.    The Agency  will
concentrate on building Tribal programs and
strive to complete  a documented baseline
assessment  of environmental conditions for
Tribes.   These assessments will  provide a
blueprint  for  planning   future   activities
identified   in   Tribal/EPA   Environmental
Agreements   (TEAs)  or   similar  Tribal
environmental  plans to address  and support
priority  environmental multi-media concerns
in Indian country.

   In FY 2004, EPA is requesting a total of
$62.5 million for  Indian General Assistance
Program grants.  These resources will  allow
most Tribes to support at least one person
working in their community to build a strong,
sustainable environment for the future. These
stewards perform vital work by assessing the
status of a Tribe's  environmental condition
and  building  an   environmental  program
tailored  to that Tribe's needs.  Another key
role  of  this workforce is to alert EPA  of
serious conditions requiring  attention in the
near term so that, in addition to assisting in
the building of Tribal environmental capacity,
EPA can work with the Tribe to respond to
immediate  public  health   and   ecological
threats.

   The  Administration evaluated the Indian
General  Assistance Program  (GAP) this past
year  using  the  Performance  Assessment
Rating Tool (PART).  The evaluation found
that  the  program's  purpose  is very  clear.
However, the program needs to develop new
long term performance measures that focus on
environmental    outcomes,   rather    than
processes.

   EPA  continues  to consider  additional
approaches  on how EPA and Indian Tribes
might work in concert to protect public health
and the  environment in Indian country.  As
part  of that  effort,  EPA is proposing  to
continue authority first granted in FY 2001 to
enter into cooperative agreements with Tribes
to assist EPA in implementing environmental
programs in instances where the Tribe has not
achieved primacy.   Implementation of this
                                        4-14

-------
        Goal 4:  Preventing Pollution and Reducing Risk in
        Communities, Homes, Workplaces, and Ecosystems
approach would allow  for a  more  gradual
transition  to  full program authorization by
allowing  for  varying  degrees  of  Tribal
involvement based on  an individual  Tribe's
capabilities and interests.

Research

   In FY 2004, research will be conducted to
address the need for  exposure  and effects
methods to evaluate the special  sensitivities of
children to   pesticides   and   other  toxic
chemicals.   The methods are developed to
evaluate endpoints  of  toxicity  that   are
qualitatively different from those of  concern
for adults and the effects of exposures that are
quantitatively  different because  of factors
such as body  weight, time spent in  various
micro   environments   and   contact  with
potentially contaminated surfaces.

   Also,   EPA  will  continue  ecosystem
effects research to address the development of
appropriate   screening   and   higher   tier
ecological effects models, the development of
pharmacokinetic          models         to
estimate/extrapolate  tissue  concentration of
chemical   agents   from   laboratory   test
organisms to wildlife species of concern, and
the  relative   influence   of  exposure  to
chemicals   and other  environmental  agents,
habitat  alterations and  land use, and natural
variability  on  sustainability   of   wildlife
populations.  In  FY 2004,  EPA will deliver
the methodology to evaluate population-level
effects of pesticides on wildlife and aquatic
species.

   Finally, EPA will  continue  research in
biotechnology  and draw on its expertise in
risk    assessment   to   evaluate   current
methodology  and, where necessary,  develop
new methods or  new  approaches to  risk
assessment   of   biotechnology   products.
Special  areas of focus in biotechnology will
be    risk    communication,    monitoring,
ecological assessment, and  risk management
to develop  effective  strategies  to  mitigate
risks when unintended adverse consequences
occur and to advance the application of socio-
economic methods to better understand issues
related  to  public  acceptance of genetically
modified products.

External Factors

   The ability of the Agency to achieve its
strategic goals  and  objectives depends on
several  factors  over which the Agency has
only partial control or influence.  EPA relies
heavily  on partnerships  with States,  Tribes,
local governments, the public and regulated
parties to protect the environment and human
health.  In addition, EPA assures the safe use
of pesticides in coordination with the USDA
and FDA, who have responsibility to monitor
and control residues and other environmental
exposures,  as  necessary.   EPA  also  works
with these  agencies to coordinate with other
countries and international organizations with
which the United States shares environmental
goals.   This plan discusses the mechanisms
and programs that the  Agency  employs to
assure  that our partners  in environmental
protection will have the capacity to conduct
the activities needed to achieve the objectives.
However, as noted, EPA often  has  limited
control over these entities.   In addition, much
of the success of EPA programs depends on
the voluntary cooperation of the private sector
and the general public.

   Other factors that could delay or prevent
the Agency's achievement of some objectives
                                         4-15

-------
        Goal 4: Preventing Pollution and Reducing Risk in
        Communities, Homes,  Workplaces, and Ecosystems
include  lawsuits that delay  or stop  EPA's
and/or State partners' planned activities, new
or    amended    legislation,    and    new
commitments  within  the  Administration.
Economic growth and  changes in producer
and  consumer behavior, such  as  shifts  in
energy prices or automobile use, could have
an  influence on the  Agency's  ability  to
achieve  several  of the  objectives within the
specified.

   Large-scale  accidental releases  or rare
catastrophic natural events could, in the short
term, impact EPA's ability  to achieve  the
objectives.    In  the   longer  term,  new
environmental    technology,    unanticipated
complexity  or magnitude of environmental
problems,  or newly identified environmental
problems  and  priorities  could affect  the
timeframe for achieving  many  of the goals
and objectives.  In particular, pesticide use is
affected by  unanticipated outbreaks of pest
infestations  and/or  disease  factors,   which
require  EPA to  review emergency  uses  to
ensure  no   unreasonable  risks   to  the
environment will result.  EPA has  no control
over requests for various registration  actions
which include among others,  new products,
amendments, and uses,  so its projection  of
regulatory workload is subject to change.
   The  Agency's  ability to  achieve  its
objective of facilitating prevention, reduction
and recycling of Persistent, Bioaccumulative,
and  Toxic  chemicals   (PBTs)  could  be
impacted by the increased flexibility provided
to redirect  resources  under  the  National
Environmental   Performance   Partnership
System  (NEPPS). If States redirect resources
away from this area,  it would  impact both
annual    performance     and     progress
implementing the Agency's strategic plan. To
mitigate this potential  issue, EPA is working
with the Environmental  Council  of  States
(ECOS)  to  develop   core  measures and
coordinating with States to reduce PBTs  in
hazardous waste and develop tools that will
focus State activities on shared EPA and State
goals.

   Achieving   our   objective  for   Indian
country is  based upon a  partnership  with
Indian  Tribal governments, many of which
face  severe poverty,  employment,  housing
and education issues.  Because Tribal Leader
and  environmental director support  will be
critical  in  achieving  this  objective,  the
Agency is working with Tribes to ensure that
they  understand the importance  of having
good   information    on    environmental
conditions  in  Indian  country  and   sound
environmental capabilities.  In addition, EPA
also  works with other Federal Agencies, the
Department   of  Interior  (US   Geological
Survey, Bureau  of Indian Affairs, and Bureau
of Reclamation),  the National Oceanic and
Atmospheric  Administration,   the   Indian
Health Service and the Corps of Engineers to
help   build   programs  on  Tribal   lands.
Changing priorities  in  these agencies  could
impact their  ability to work with EPA  in
establishing  and  implementing  strategies,
regulations, guidance,  programs  and  projects
that affect Indian Tribes.
                                         4-16

-------
Goal 5:
Better Waste Management,
Restoration of Contaminated
Waste Sites, and Emergency
Response

-------
This page intentionally left blank

-------
     Goal 5:  Better Waste Management, Restoration of
   Contaminated Waste Sites, and Emergency Response
Strategic Goal: America's wastes will be stored, treated, and disposed of in ways that prevent
harm to people and the natural environment.  EPA will work to clean up previously polluted
sites, restore them to uses appropriate for surrounding communities, and respond to and prevent
waste-related or industrial accidents.
                                   Resource Summary
                                          ($ in 000)
^^v
24.2% of Budget
Control Risks from Contaminated
Sites and Respond to Emergencies
Regulate Facilities to Prevent
Releases

FY 2003
President's
Budget
$1,544,250
$167,261
$1,711,511
FY2004
President's
Request
$1,679,931
$166,704
$1,846,635
Difference
$135,681
-$557
$135,124
Workyears
4,500.2
4,556.6
56.4
Background and Context

   Improper management of wastes can lead
to serious health threats from exposure  to
contaminated air, soil,  and  water,  and as a
result of fires  and explosions.   Likewise,
improper waste management and disposal can
pose  threats  to those  living  in  nearby
communities  and  can  result  in   costly
cleanups. One of the Agency's strategic goals
is to ensure proper waste management and
disposal  to   protect   people   and   the
environment from unacceptable risk posed by
improper waste management.  In FY 2004,
EPA will  continue to  promote  safe  waste
storage,  treatment,  and  disposal,  cleanup
active and inactive waste disposal sites, and
help prevent the release of oil and chemicals,
  including  radioactive  waste,   into  the
  environment.  Additionally, the Brownfields
  program, a top environmental priority for this
  Administration,  will continue to sustain and
  develop  effective partnerships with  States,
  Tribes, and localities in order to revitalize and
  restore Brownfields properties. The Agency
  will also continue to prepare to respond to
  small and large-scale disasters, one of EPA's
  traditional responsibilities.
                                       5-1

-------
         Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites,  and Emergency Response
Means and Strategy

   EPA and its partners will continue their
efforts to achieve this  goal  by promoting
better   waste   management,   cleaning  up
contaminated waste  sites,  and  preventing
waste-related or industrial accidents. To date,
EPA and its partners have  made significant
progress toward achieving  its cleanup and
prevention  objectives that  address  human
health  and the  environment at thousands  of
Superfund,       Brownfields,      Resource
Conservation and  Recovery  Act  (RCRA),
underground storage tank (UST), and oil sites.
Brought together by a common interest  to
protect our health and the environment, EPA
and its partners have  established an effective
structure to  manage  the  nation's hazardous
and solid wastes.  EPA's  strategy is to apply
the fastest, most effective waste management
and   cleanup   methods  available,  while
involving   affected  communities   in   the
decision-making process.  The Agency will
employ enforcement efforts to further assist in
reducing risks  to people  from hazardous
waste exposure.

   In FY 2004, EPA will maintain its focus
on three themes in achieving its objectives:

•  Revitalization:  The Agency is moving in
   a new strategic direction with the broad
   promotion   of the   successes   of   the
   Brownfields  program and other waste
   programs in restoring contaminated lands.
   Revitalization complements the  Agency's
   traditional cleanup programs, leading  to
   faster,  more  efficient   cleanups;  and
   benefits  communities  through productive
   economic  and green  space  reuse   of
   properties.
•  One Cleanup Program:  Through the "One
   Cleanup Program" the Agency is looking
   across its programs to bring consistency
   and   enhanced  effectiveness  to  site
   cleanups.  The Agency will work with its
   partners  and  stakeholders  to enhance
   coordination,       planning       and
   communication across  the  full range of
   Federal,  State, Tribal and  local cleanup
   programs.  This effort will improve the
   pace, efficiency and  effectiveness of site
   cleanups, as well as  more fully integrate
   land reuse and continued use into cleanup
   programs.   The  Agency  will promote
   development of information technologies
   required to present waste site cleanup and
   revitalization information  in  ways  that
   enable greater access and understanding
   by the public and stakeholders.  Finally,
   the Agency will develop  environmental
   outcome   performance   measures  that
   report  progress   among   all   cleanup
   programs, such as the number of acres
   available for reuse  resulting from  its site
   cleanup programs.  A crucial element to
   this effort is a national dialogue, currently
   underway, on the future of Superfund and
   other EPA waste cleanup programs.

•  Recycling,   Waste   Minimization  and
   Energy  Recovery:      Promotion   of
   recycling, waste minimization and energy
   recovery  for both hazardous  and  non-
   hazardous wastes.

Revitalization

   To address  the theme of  revitalization,
EPA is  requesting $210,754,100 to continue
implementation  of  the  Small   Business
Liability    Relief     and     Brownfields
Revitalization and Environmental Restoration
                                         5-2

-------
         Goal 5:  Better  Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
Act (Public Law 107-118).  This includes an
increase of $10 million to provide assistance
to States and Tribes to develop and enhance
their State  and Tribal response programs, a
priority  in the Agency's efforts to reuse and
redevelop properties.   Brownfields  are  real
property, the  expansion, redevelopment, or
reuse of which may be complicated by the
presence or potential presence of a hazardous
substance, pollutant, or contaminant and they
are not traditional Superfund sites.  Generally,
Brownfields are not highly contaminated and,
therefore,  present  lesser   health   risks.
Economic changes  over several decades have
left  thousands  of  communities  with these
contaminated properties and abandoned sites.
This   legislation   promotes   Brownfield
redevelopment   by    providing   financial
assistance  for  assessment   and  cleanup,
reforming Superfund liability, and enhancing
State response programs.  EPA implements
the Brownfields program with other Federal
agencies, States, Tribes,  local governments,
the   private   sector    and    non-profit
organizations.

   EPA is  committed  to  integrating  the
concept  of revitalization and reuse  into the
process  of cleaning up  abandoned,  inactive
and  contaminated  waste  sites,  active  and
closing Federal facilities, and  other properties.
An essential  element of the  assessment and
cleanup   of contaminated property,  whether
they  are Brownfields,   Superfund,  RCRA
Corrective  Action,  Base  Realignment  and
Closure,  Federal  facilities  or Underground
Storage   Tanks,  is the ultimate goal  of
revitalizing   and   reusing   that   property.
Assessment   and  cleanup   provide   clear
environmental benefits in mitigating exposure
to hazardous contaminants and reuse of these
properties can improve the quality of life in
America's  communities and  reduce  sprawl.
Building upon the Agency's recent successes
in this area, EPA's waste cleanup programs
will   actively   seek  out   opportunities  to
leverage public or private  investment, create
jobs associated with cleanup  and reuse, and
increase  the  overall  acreage reused.   The
RCRA corrective action program continues to
emphasize    redevelopment   of   RCRA
corrective  action   sites  to  prevent  these
properties   from   becoming   brownfields
(unused or underused property due to real or
perceived  concerns   regarding   hazardous
waste contamination).

Superfund

    The  Superfund   program works  with
States, Tribes, local  governments,  and  other
Federal agencies to protect human health and
the environment and to restore sites  to uses
appropriate for nearby communities. Many of
the  nation's  largest  and   most  technically
complex contaminated  properties  including
abandoned, private,  and Federal facilities  are
cleaned up by the Superfund program.   Site
assessment is  the  first step  in  determining
whether a site meets the criteria for placement
on the National Priorities  List (NPL) or  for
removal  action  to  prevent,  minimize  or
mitigate  significant threats.  When a site is
placed on the NPL  it becomes eligible for a
fund-financed  cleanup.   The Agency also
provides  outreach   and  education  to  the
surrounding communities  to improve  their
understanding of potential  site risks,  such as
risks posed by  radioactive  materials, and to
promote direct involvement in every phase of
the cleanup process.

   The  Administration  has  conducted  a
Program Assessment Rating Tool (PART)
                                         5-3

-------
        Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
evaluation of the Superfund removal program.
While  the program initiates and  cleans up
numerous sites around the country every year,
the  benefit  to  human  health   and   the
environment could not  be clearly  measured.
EPA and Office of Management and Budget
(OMB) will  continue  to  develop outcome
measures  that  test  the  link  between  the
activities of the program and their impact on
human health and the environment.

RCRA Corrective Action

   The RCRA  corrective  action program
addresses a  significant  number of industrial
sites,   including  Federally-owned  facilities.
Administered by EPA and authorized States,
these   sites  include  some  of   the  most
intractable and controversial cleanup projects
in  the country.    Approximately  3,500
industrial facilities must undergo  a cleanup
under the RCRA program. Of these facilities,
EPA and State partners have identified  over
1,700  facilities  as  high  priority  because
people or ecosystems  are  likely to be at
significant current or future risk. As evidence
of success in meeting this challenge, EPA and
the States  have now documented that  both
exposure  to  contamination  and   further
migration of contaminated groundwater have
been controlled at over 700 of the 1,700  high
priority facilities.   The RCRA program  has
fully embraced the Agency's One Cleanup
Program initiative designed to improve cross-
program  coordination  between  EPA   and
States  to   make  protective  cleanup   and
revitalization   of  contaminated  sites  more
effective and efficient.
Underground Storage Tanks

   In partnership with the States, the Agency
prevents releases, detects releases early in the
event that they occur, and  addresses leaks
from Federally regulated underground storage
tanks  (USTs)  containing   petroleum  and
hazardous substances.    The  strategy  for
preventing, detecting releases, and addressing
leaks is to promote and enforce petroleum
management controls through compliance and
technical  assistance   with   the  regulatory
requirements in order to protect our nation's
groundwater and drinking water. In 2004, the
Agency will  celebrate the 20th anniversary of
the  enactment   of   RCRA   Subtitle  I,
acknowledging  the   problem   of  leaking
underground storage tanks and the beginning
of the Federal UST program. While the vast
majority of the approximately 698,000 active
USTs have the proper  equipment per Federal
regulation, significant work remains to be
done to ensure UST  owners and  operators
properly maintain  and operate their systems.
The  Agency's primary role is to work  with
States to promote compliance with the  leak
detection,   spill,  overfill,   and  corrosion
protection   requirements,    ensure   that
compliance with  these  requirements are a
national priority, and  reduce the number of
confirmed UST releases.  This encompasses
compliance for all Federally regulated  UST
systems, including those on private and public
property,  in  Indian  Country,  and  Federal
facilities.     The   Agency  has   primary
responsibility  for  implementing  the   UST
program in Indian Country.

   The Leaking Underground Storage Tank
(LUST) program will continue to work  with
the States and  the regulated community  to
promote  rapid  and effective  responses  to
                                         5-4

-------
         Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites,  and Emergency Response
releases from  USTs  containing petroleum.
EPA plays a key role in  implementing the
national  LUST  program,   supporting  the
management  of  State, local,  and  Tribal
enforcement and response capability, as well
as  sharing   lessons   learned  with  State
regulators  and the regulated community to
increase  cleanup  accomplishments.    The
Agency's  highest  priority  in  the  LUST
program over  the  next several years is to
address approximately 143,000 cleanups that
have yet to be  completed.   EPA's LUST
program    will    accomplish   this   by
implementing   innovative   approaches   to
corrective  action, such as multi-site cleanup
agreements      and      performance-based
contracting.     The  LUST   program  will
continue   to  help   States   address  fuel
oxygenates,  such  as  methyl-tertiary-butyl-
ether  (MTBE)   contamination  and tertiary
butyl alcohol (TEA).  States are discovering
these   contaminants  increasingly,  and  are
concerned about the unique and often difficult
remediation challenges. The Agency will also
continue to work with other Federal partners
and States to help communities  set  priorities
for addressing petroleum high priority sites.

   In an effort to make every environmental
dollar   count,   the   Administration   has
conducted a PART evaluation of the LUST
program.   The  tool  showed  that EPA was
quickly cleaning up  the backlog of leaking
tanks, but that the benefit to human health and
the  environment  could  not  be   clearly
measured.    Just  as  with  the Superfund
program,  EPA  and OMB will  continue to
develop outcome measures that  test the link
between the activities  of  the program  and
their  impact  on  human  health  and  the
environment.
Recycling, Waste Minimization, and
Energy Recovery

   In  support  of  the   recycling,  waste
minimization, and energy recovery theme, the
RCRA program will focus on minimizing risk
by advancing the nation's ability to manage
materials  and  waste in an environmentally
sound  and  cost-effective  manner.    The
fundamental goal of RCRA is the recovery
and conservation of energy and materials that
would  otherwise  be  discarded.  However,
industrial  secondary materials largely remain
untapped  resources  for  such recovery.  In
2004, the Resource Conservation  Challenge
(RCC)  will   provide  greater   regulatory
flexibility  and  promote   opportunities  for
converting waste to future energy  and focus
on  resource conservation through efficient
materials management.  EPA will continue its
comprehensive    review    of  its   waste
management   programs   and  regulations
regarding hazardous and non-hazardous waste
recycling, waste  minimization, and energy
recovery  practices.  The review will identify
opportunities to further the goal of resource
conservation and  recovery, while  remaining
true  to the mission of  ensuring  safe and
protective  waste   management  practices.
These efforts will include increased beneficial
use of the over  100 million tons of coal
combustion residues produced  each year -
saving resources  and reducing  green house
gas emissions.   The Agency will also  be
looking to obtain energy from wastes through
a variety of mechanisms:   gas generation at
bioreactor   municipal    landfills,   waste
gasification, and co-firing  of wastes in power
generation units.  In addition, the Agency will
partner with industry to  identify innovative
methods   for  recovering  petroleum  and
reducing waste in the refinery industry.
                                         5-5

-------
         Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites,  and Emergency Response
   Other  elements  of the  Better  Waste
Management  goal  are associated with  the
promotion  of  safe   waste  management
practices, which serve to help avoid future
cleanup and  redevelopment burdens.    For
facilities  that  currently manage  hazardous
wastes, EPA and the  authorized  States  help
ensure human  health  and  environmental
protection through the  issuance  of RCRA
hazardous  waste  permits.    The  RCRA
program  works  primarily  through  State
partners to  reduce  the risks of exposures to
dangerous hazardous wastes by maintaining a
"cradle-to-grave"     waste    management
framework. Under this framework, EPA and
the States  oversee the  handling, transport,
treatment, storage, and disposal of hazardous
waste.  To date, 48  States,  Guam,  and the
District of Columbia  are authorized to issue
permits.

   In FY 2004, EPA will continue efforts to
reassess   hazardous    waste    regulations
applicable to  priority  sectors and processes,
such as process wastewater and other waste
treatment residues.   The  goals  will be to
determine if current hazardous waste listings
provide the correct level of protection  and
whether   less  costly,    more   efficient
management   approaches   that   provide
equivalent protection of human health and the
environment exist.

Chemical Emergency Preparedness and
Prevention

   The  Agency's   chemical   emergency
preparedness   and   prevention   program
addresses some of the risks associated  with
the manufacture, transportation,  storage  and
use of hazardous chemicals to  prevent  and
mitigate chemical releases.  The program also
implements   right-to-know   initiatives   to
inform the public about chemical hazards and
encourages actions at the local level to reduce
risk.  Section 112(r) of the Clean Air Act
requires  an   estimated  15,000  facilities  to
develop  comprehensive  risk management
plans (RMPs) and submit them to EPA, State
agencies,  and  Local  Emergency  Planning
Committees.    States  are  best  suited  to
implement the  RMP program because  they
benefit directly from its success.

Oil Spill Program

    The Oil Spill Program prevents, prepares
for, responds to, and  monitors  oil spills  as
mandated and authorized in the Clean Water
Act  and Oil  Pollution  Act of 1990.  EPA
protects U.S.  waterways through  oil  spill
prevention, preparedness,  and  enforcement
compliance.   There  are   465,000   non-
transportation-related oil storage facilities that
EPA regulates.  When necessary, the Agency
undertakes  oil  spill response in the inland
zone,  which  is  then  funded   through   a
reimbursable  agreement with the U.S. Coast
Guard.

Tribes and Alaska Native Villages

    Finally,  the  Agency   has   established
performance  objectives  specific  to  Indian
Tribes  and Alaska Native Villages.  These
objectives  stress   waste   prevention  and
cleanup and  assistance to Tribes.  To meet
these objectives, EPA will  identify Tribal
needs,  support and promote the  involvement
of Tribes in  implementation  activities, and
control  risks  in  Indian  Country  through
assessment and clean up of contaminated sites
in consultation and partnership with Tribes.
                                         5-6

-------
         Goal 5:  Better  Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
Homeland Security

   Responding  to   small  and  large-scale
disasters  is   one   of   EPA's   traditional
responsibilities. The  Agency's crucial role in
responding to the World Trade  Center  and
Pentagon attacks, and the decontamination of
anthrax at Capitol Hill, have further defined
the nation's expectations of EPA's emergency
response  capabilities.    The  Agency  will
continue to play a unique role in responding
to and preparing for future terrorist incidents,
which could possibly be more devastating in
scale  and nature than those of September 11,
2001.  Potential future terrorist events could
affect the lives  of millions of Americans  and
devastate  the economy.     The FY 2004
President's    Budget   includes   targeted
investments   to strengthen   the Agency's
readiness and response capabilities, including
the  establishment  of  a  "decontamination
team," state-of-the-art equipment and highly
specialized   training   for   On   Scene
Coordinators (OSCs).

Research

   The FY  2004  waste research program
supports the Agency's objective  of reducing
or controlling potential risks to human health
and the environment at contaminated waste
sites by accelerating  scientifically-defensible
and  cost-effective  decisions for  cleanup at
complex sites, mining sites, marine spills,  and
Brownfields in accordance with CERCLA.

   The Agency will conduct research  to:   1)
provide improved methods and dose-response
models for  estimating  risks  from complex
mixtures    contaminating     soils     and
groundwater;  2) provide  improved methods
for measuring, monitoring, and characterizing
complex  waste sites in terms of soils and
groundwater;   3)  develop  more  reliable
technologies  for  cleanup of  contaminated
soils,   groundwater,  and  sediments;  and
4) determine the effects of contaminants on
the  environment.   In  addition,  EPA will
conduct research as well as provide guidance
and technical support for Federal, State and
local governments and other institutions in the
area of building decontamination.

   Waste identification, waste management,
and combustion constitute the  three  major
areas    of   research    under   Resource
Conservation  and Recovery Act  (RCRA) in
FY  2004,  as the Agency  works  towards
preventing  releases  through proper facility
management.   Waste identification research
will  focus on  multimedia,  multi-pathway
exposure  modeling  and  environmental fate
and transport; physical  estimation in support
of risk-based exemption  levels  for wastes;
development of targeted exemptions of waste
streams that do not  pose  unacceptable risks;
and efforts to streamline the waste de-listing
process.   These  efforts  could  significantly
reduce compliance costs while still supporting
EPA's mission  to protect human health and
the environment. Waste management research
will focus on developing  more cost-effective
ways   to  manage/recycle   non-hazardous
wastes and will examine  other  remediation
technologies, while combustion research will
continue  to  focus   on characterizing and
controlling emissions from bioreactors and
industrial combustion systems.

   Several mechanisms are in place to ensure
a high-quality  waste  research  program  at
EPA.   The  Research  Strategies Advisory
Committee  (RSAC)   of  EPA's  Science
Advisory  Board (SAB),  an  independent
                                         5-7

-------
         Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
chartered Federal Advisory Committee Act
(FACA)  committee,  meets   annually  to
conduct an in-depth review and analysis of
EPA's Science and Technology account.  The
RSAC provides  its findings  to the  House
Science Committee and sends a written report
on the findings to EPA's Administrator after
every  annual  review.    Moreover,  EPA's
Board  of  Scientific  Counselors  (BOSC)
provides    counsel    to    the   Assistant
Administrator for the Office of Research and
Development   (ORD)  on the  operation of
ORD's research  program.   Also, under the
Science to Achieve Results (STAR) program
all research projects are selected for funding
through a rigorous competitive external peer
review process designed to  ensure that only
the highest quality  efforts  receive funding
support.  Our scientific and technical work
products must also undergo either internal or
external peer review, with major or significant
products requiring external peer review.  The
Agency's  Peer   Review   Handbook  (2nd
Edition) codifies  procedures and guidance for
conducting peer review.

Highlights

   In  FY  2004, EPA  and  State cleanup
actions will  help protect human health by
reducing  the effects of uncontrolled releases
on    local    populations   and    sensitive
environments.  The Agency will build on past
successes in cleaning up sites.  The following
accomplishments provide  examples of what
has been  done by the  Agency to achieve its
goal:

•  Conducted over  7,300 removal  response
   actions from  1982 through December 29,
   2002:
•  Completed clean up construction at 846
   Superfund National Priorities List  Sites
   through December 29, 2002;

•  Over  800 of approximately 1,700  high
   priority   RCRA   sites   targeted   for
   aggressive risk reduction have met GPRA
   Environmental Indicator goals;

•  79% of  approximately 2,750 hazardous
   waste   management   facilities   have
   effective controls in place;

•  Responded to or monitored 300  oil  spills
   in a typical year;

•  Completed 284,602 cleanups of confirmed
   releases from Federally-regulated leaking
   underground storage tanks since 1987;

•  Assessed over 44,400 potential Superfund
   sites through December 29, 2002;

•  Removed more than 33,100 sites from the
   Comprehensive Environmental Response,
   Compensation and Liability Information
   System (CERCLIS) waste site list;

•  Secured  approximately $20.6 billion in
   PRP commitments, through response and
   cost recovery settlements, over the life of
   the  Superfund program;

•  Resolved  potential  liability of 27,000
   small  volume waste contributing parties
   through   more  than 500 de  minimis
   settlements;

•  Awarded  50  UST field pilots  to  States
   and/or    Tribes   through   cooperative
   agreements   to   assess   and   cleanup
   abandoned or  underutilized  Federally-
   regulated  leaking  underground storage
   tanks to prepare these sites for subsequent
   revitalization.
                                         5-8

-------
         Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites,  and Emergency Response
•  Five   ongoing    RCRA   Brownfields
   Prevention Pilots; and

•  Awarded  437  Brownfields  assessment
   grants,  over 143  Brownfields  cleanup
   revolving  loan  fund grants, and 57 job
   training grants through December 2002.

   In FY 2004, EPA's goal is to  complete
construction   at 40  private  and  Federal
Superfund sites  and take  action to address
contamination at 350  sites using removal
authorities. In addition, EPA and its partners
will make final site assessment decisions on
475 additional sites.

   EPA is requesting  a funding  increase  of
$150   million   for   Superfund   cleanup
construction.    These  resources  will  allow
cleanup construction to begin at 10 to 15
additional  sites  that otherwise  would not be
funded.  Priority for funding will  be given to
projects at sites where actual or  potential
human exposures to  contaminants are not
controlled,  and  at  sites  where  EPA can
achieve construction completion  during FY
2005 and 2006.

   In FY 2004, the Superfund redevelopment
initiative will  facilitate  the return of additional
Superfund sites to productive reuse. To date
over 330  Superfund sites have  been recycled
for numerous purposes. At these sites, more
than 60,000  acres are now in ecological  or
recreational use.  Approximately 15,500 jobs,
representing  approximately $500 million  in
annual income,  are located at sites that have
been recycled for commercial use.

   Through  the Federal Oil Spill  Program,
EPA will continue to prevent, respond to, and
monitor oil spills that  occur in the waters  of
the United States and  adjoining shorelines.
Over 24,000 spills are reported annually while
approximately  half  are in the inland zone,
which  is  under EPA's jurisdiction.   EPA
typically responds to and monitors the work
of responsible parties at  approximately 300
significant spills a year.  To reduce the risk of
hazardous  exposure  to  people  and  the
environment, the Agency  aims to prevent oil
spills  from occurring, prepare for oil spills
that do occur,  and  respond  to and monitor
spills when necessary.

   EPA played a crucial  role in response to
the terrorist attacks  of  September 11, 2001,
particularly, through its emergency  response
program.   In  FY  2004, the Agency will
improve its ability to respond effectively to
terrorist-related  chemical,  biological,  and
radiological incidents.  These enhancements
will    be    achieved   through   continued
improvement of  national  coordination and
decision-making  for large-scale  incidents;
improved field  response capabilities in EPA
Regions through better-trained responders and
improved  specialized  equipment;  improved
capabilities  of National  Response  System
(NRS)   special   forces   such   as   the
Environmental Response Team (ERT) and the
National Decontamination ("Decon")  Team;
and   improved   coordination   with  and
enhancement of other response agencies.

   Reducing chemical  accidents is vital  to
ensure that communities are not  exposed to
hazardous materials.  The Agency continues
its efforts to help States and Local Emergency
Planning  Committees  implement  the risk
management plan (RMP) program.    EPA
continues to make steady progress in this area
and in FY 2004, it will  delegate the program
to eight additional  States for a  cumulative
                                         5-9

-------
         Goal 5:  Better  Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
total of twenty.  To reach this goal, EPA will
provide technical assistance grants, technical
support, outreach, and  training to State and
local   emergency    planning   committees.
Through  these  activities,   States,   local
communities  and  individuals will be  better
prepared to prevent and prepare for chemical
accidents.

   The    EPA   Brownfields    program
coordinates a Federal, State, Tribal, and local
government approach to assist in  addressing
environmental site assessment and cleanup.
In FY 2004  the Brownfields  program will
provide $29 million in  funding and technical
support  for   126   assessments.      These
assessments provide  States  (including U.S.
territories), political  subdivisions  (including
cities,  towns, and  counties), and Federally
recognized  Tribes   with  necessary  tools,
information, and strategies for promoting a
unified  approach  to   environmental site
assessment,      characterization,      and
redevelopment.  Cumulative  benefits derived
from this effort will include leveraging  a total
of $6.7 billion in cleanup and redevelopment
funds  and  assessing  5,800 sites  through
FY2004.   In addition, the  Agency and  its
Federal partners will  continue to support the
existing 28  showcase  communities  which
serve as models to demonstrate the  benefits of
interagency cooperative efforts in  addressing
environmental and economic issues related to
Brownfields.    The  showcase communities
capitalize   on  a  multi-agency  partnership
designed to provide a wide range  of support
depending  on the  particular needs  of each
community.  The Agency will continue  to
provide technology  support  to  localities,
States  and Tribes  to ensure that the  most
efficient and  effective technologies are used
for Brownfields site assessment, cleanup, and
monitoring.

   EPA will use approximately $30.3 million
for the assessment and cleanup of abandoned
underground storage tanks (USTs) and other
petroleum    contamination     found     on
Brownfields properties.   With  these funds,
EPA will support assessment and cleanup of
petroleum contamination in 50 Brownfields
communities.

   To  further   enhance  a   community's
capacity   to   respond   to   Brownfields
redevelopment, the Agency will also provide
$41.5  million   in  funding   to  capitalize
Brownfields Cleanup Revolving Loan Funds
(BCRLF)   and   cleanup   grants   for   70
communities.      All   communities   with
Brownfields properties are eligible to apply.

   The Agency will also provide $60 million
for States and Indian  Tribes to  establish or
enhance their voluntary response programs.
Legislation also  permits  the  recipients to
capitalize  revolving loan  funds,  purchase
insurance or develop risk sharing pools, or
indemnity  pools,  under  State  response
program.

   To augment the communities' capacities
to clean up Brownfields sites, EPA will fund
12  job  training  grants  for  community
residents and will provide $3 million to the
National  Institute of Environmental  Health
Sciences (NIEHS) to supplement its minority
worker  training  programs  that  focus  on
Brownfields     workforce     development
activities.   This  will result in a cumulative
total of 79 job-training grants, resulting in the
training of almost  1,200  participants since
                                         5-10

-------
         Goal 5:  Better  Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
1998  and an  annual  average of  65%  job
placement.

   In addition, EPA will continue to explore
connections  between  RCRA  low-priority
corrective action  efforts  and  cleanup  of
brownfields properties.

   In FY 2004,  180  additional high priority
RCRA  facilities will have  current  human
exposures under control and  150 additional
high  priority  RCRA  facilities  will have
migration of contaminated groundwater under
control.   To  achieve  these  environmental
indicators, the Agency has improved the pace
of cleanups by carrying  out  a  series  of
administrative   reforms  including  piloting
innovative      approaches,      connecting
communities to cleanups and reducing delays
in the review o  cleanup  workplans.   The
reforms   successfully    established    an
environment for program implementers to be
innovative and results-oriented by promoting
faster,  focused, more flexible  cleanups.  The
Agency developed these reforms with input
from   States,  industry  and  environmental
organizations to accomplish  the  following
objectives:    pilot  innovative  approaches;
accelerate the  changing  culture;  connect
communities to cleanups;  and capitalize  on
redevelopment potential.

   In FY 2004, the RCRA hazardous waste
permits program will have permits or other
approved controls  in place for  79% of the
hazardous waste management facilities (out of
a baseline of approximately 2,750 facilities).
Securing  approved  controls  in  place  at
facilities minimizes the threat of exposure to
hazardous substances because  the  RCRA
program's    comprehensive     framework
regulates the handling, transport, treatment,
storage, and disposal of hazardous waste.  In
addition, the program is in the early stages of
developing an electronic media  component,
which   would  complement  the  proposed
standardized  permit  process.   E-permitting
will  expedite and simplify the permitting
process and provide  better  public access to
permitting information.

   As   the   maximum  achievable   control
technology (MACT) standards for hazardous
waste incinerators and kilns  are implemented,
emissions  of dioxins, furans,  toxic  metals,
acid  gases and particulate matter from these
sources will be reduced.  These efforts are
intended  to  further  reduce  the  indirect
exposure  to  hazardous  constituents  in
emissions, especially to children.  In 2001 the
D.C. Circuit  Court of Appeals vacated the
Phase I MACT standards. In response to this
action,   EPA  agreed  to issue  replacement
standards for the Phase I facilities by June 14,
2005.  In addition, in a separate action,  EPA
agreed  to finalize emission  standards  for the
Phase II facilities  (hazardous waste burning
boilers   and  hydrochloric  acid  production
furnaces) by the same date.

   Based   on  EPA's  minimum  national
standards for municipal  solid waste (MSW),
States regulate landfill practices.  The Agency
worked with  States to  review  the national
standards.  The Agency is currently initiating
regulatory  revisions  to  provide  additional
flexibility  so  that  compliance is less costly
and easier to achieve.

   The ability of  EPA's LUST  program to
meet cleanup performance goals has become
more difficult because States are overseeing
the  cleanup  of   more   complicated  sites.
Methyl-tertiary-butyl-ether         (MTBE)
                                         5-11

-------
        Goal 5:  Better Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
contamination  of  releases  from  Federally
regulated  underground storage tanks is a
significant  contributor  to  hindering   the
completion of LUST cleanups.  For example,
MTBE  contamination  has  already  closed
down public water systems, complicating and
retarding the cleanup of LUST  sites in Santa
Monica, California; Long Island, New York;
Pascoag, Rhode Island; and Hopkins, South
Carolina.  EPA has  provided technical and
financial support to these sites in order  to
identify lessons learned that could be used at
other MTBE contaminated sites nationwide.

   In FY 2004, the Agency will continue to
provide funds to States for pilots to address
the cleanup of complicated  sites (e.g., those
contaminated    with   MTBE    or   other
oxygenates).  To date, the Agency's criteria
for providing funding has included the risk
posed,  the need,  and  the  extent  of  the
problem.   The existing pilots were  chosen
because  they  have  multiple  sources  and
widespread contamination, are complicated to
remediate;  have  affected entire community
drinking water supplies,  and the  lessons
learned will help  other  States nationwide.
Sites  contaminated  with MTBE  are often
more complicated, difficult, time-consuming,
and expensive  to assess and remediate than
sites  contaminated   only  with   petroleum
hydrocarbons. Reasons for this include:

•  MTBE  typically  creates longer plumes
   than   petroleum  hydrocarbons,   they
   typically "dive" beneath the water table;

•  MTBE is less amenable to conventional
   remediation/treatment  technologies used
   for  petroleum  hydrocarbons  because
   multiple technologies  often  must  be
   combined  and  regular  operation  and
   maintenance conducted more frequently;

•  MTBE    plumes   are   resistant    to
   biodegradation   in   most   subsurface
   environments  which  can  significantly
   extend remediation timeframes and  may
   force  the  use   of   more   expensive
   remediation/treatment technologies;

•  In many instances,  MTBE  plumes aren't
   discovered until  a  drinking water supply
   has been impacted.  Often alternate water
   supplies   are   necessary  (which   are
   expensive) and  remediation/treatment is
   more  expensive  and   time-consuming
   because the contaminated area is so large;
   and

•  Degradation products  of MTBE  (e.g.,
   TEA, and TBF)  are themselves toxic and
   must be remediated/treated as well.

   The  Agency  aims to  promote  LUST
cleanups and reduce the backlog  of  143,000
releases for which  cleanups have not  been
completed.    The  Agency will continue  to
perform   its   oversight   responsibilities,
strengthen partnerships among stakeholders,
and provide technical assistance and  training
to improve and expedite corrective action at
LUST sites.  The Agency will also  identify
and foster the implementation  of innovative
approaches,   such   as  multi-site   cleanup
agreements     and      performance-based
contracting to  achieve its  LUST  program
objectives.    UST  owners  and  operators
undertake  nearly  all   cleanups  under  the
supervision of State or local agencies.   The
Agency  oversees  these activities  in Indian
Country. Better oversight and quicker action
can reduce the costs of cleaning up MTBE
                                        5-12

-------
         Goal 5:  Better  Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
contamination, which  can cost up to  100%
more than a cleanup involving  the typical
gasoline   contaminants.   In  turn   fewer
communities and individuals, including those
in Indian Country,  will lose their drinking
water supplies.

Research

   In FY 2004, contaminated sites research
will  be conducted to:  1) reduce uncertainties
associated  with soil/groundwater  sampling
and  analysis; 2) reduce  the time and cost
associated with site characterization and site
remediation  activities;   3)  evaluate   the
magnitude of the risks posed by contaminants
to human health and the ecosystem as well as
the   contributions   of  multiple   exposure
pathways,  the  bioavailability  of  absorbed
contaminants and treatment residuals, and the
toxicological   properties   of   contaminant
mixtures;  and 4) develop  and  demonstrate
more effective  and less  costly remediation
technologies  involving  complex  sites  and
hard-to-treat    wastes.   The    Superfund
Innovative  Technology  Evaluation (SITE)
program  fosters the development and use of
lower cost and more effective characterization
and   monitoring   technologies   and    risk
management  remediation  technologies  for
sediments,  soils,  and groundwater.   Other
proposed work will enhance and accelerate
current   contaminated  sediments  research
efforts, providing the data  needed to  make
and  support crucial decisions on high impact
and high visibility sites.

   Waste management research in FY 2004
will    support   the   Hazardous   Waste
Identification Rule (HWIR),  a  risk-based
approach  for  deli sting  wastes,  and  study
improved ways to minimize waste releases
and    impacts.       Additionally,    waste
management research will be  conducted to
improve the management of both solid  and
hazardous wastes. New research  on ground-
water surface-water (gw/sw) interactions will
also be initiated in FY 2004.

External Factors

   There are a number of external factors that
could  substantially  impact  the  Agency's
ability to  achieve  the  outlined  objectives
under this  goal.   These include  reliance  on
private party response and State partnerships,
development    of    new    environmental
technology, work by other Federal agencies,
and statutory barriers.

   The Agency's ability to achieve its goals
for Superfund construction completion is to a
limited   extent   dependent   upon    the
performance of  cleanup activities by  other
Federal agencies, such as the Department of
Defense  (DOD)  and  the  Department  of
Energy  (DOE).      In  addition  to  the
construction completion  goal, the  Agency
must rely on the efforts of DOD and DOE to
establish   and   maintain  the   Restoration
Advisory   Boards   (RABs)/Site   Specific
Advisory  Boards  (SSABs).    RABs  and
SSABs provide a forum for stakeholders to
offer  advice  and recommendations on  the
restoration  of Federal Facilities.   There are
other  EPA  goals that rely on activities with
other  entities, such as PRP  negotiations  and
agreements with States and Tribes.

   For the RCRA  program,  the Agency's
ability to achieve its release prevention  and
cleanup goals is heavily dependent on State
participation.   In  most cases,  States have
received   authorization   (hazardous   waste
                                         5-13

-------
        Goal 5: Better Waste Management, Restoration of
       Contaminated Waste Sites, and Emergency Response
management program) or approval (municipal
solid waste landfill permit program) and are
primary implementers of these programs. As
such, EPA relies on States to perform many of
the activities needed to achieve these targets.
State programs are also primarily responsible
for  implementing  the UST/LUST  program.
The Agency's ability  to achieve its goals is
dependent on the strength of State programs
and State funding  levels.   The Agency will
build upon its commitment to provide States
and  Tribes  with  technical   support  and
incentives to  meet national LUST  cleanup
targets.   Technical  support and incentives
range  from  promoting  multi-site   cleanup
agreements,   conducting  MTBE   cleanup
pilots,  developing a  MTBE  clearinghouse,
and   providing   other  tools,   such   as
performance-based contracting, to help States
and Tribes achieve faster, less expensive, and
more effective LUST cleanups.

   For the risk  management program, the
Agency recognizes that accident prevention
and   preparedness  are   inherently   local
activities.   To succeed,  the program relies
upon the  commitment  and  accomplishments
of the various stakeholders, including industry
and State and local governments.  EPA's
success under the RMP will depend upon the
willingness and  ability  of  stakeholders to
deliver on the commitments and obligations
in their plans.
                                       5-14

-------
Goal 6:
Reduction of Global & Cross-
Border Environmental Risks

-------
This page intentionally left blank

-------
           Goal 6:  Reduction of Global and Cross-Border
                            Environmental Risks
Strategic Goal: The United States will lead other nations in successful, multilateral efforts to
reduce significant risks to  human health  and  ecosystems from  climate change,  stratospheric
ozone depletion, and other hazards of international concern.
                                        Resource Summary
                                                ($ in 000)
^^
3.5% of Budget
Reduce Transboundary Threats to Human and
Ecosystem Health in North America.
Reduce Greenhouse Gas Emissions.
Reduce Stratospheric Ozone Depletion.
Protect Public Health and Ecosystems from
PBTs and other Toxics.
Increase Domestic and International Use of
Cleaner and More Cost-Effective Technologies.

FY 2003
President's
Budget
$98,186
$136,953
$15,813
$6,174
$12,601
$269,727
FY2004
President's
Request
$89,395
$138,106
$17,540
$6,681
$12,126
$263,848
Difference
-$8,791
$1,152
$1,727
$507
-$475
-$5,880
Workyears
       504.7
502.3
-2.4
Background and Context

   Many serious environmental risks
transcend political boundaries. Consequently,
protecting human health and the environment
in the United States requires coordination and
cooperation at a multinational level.
Ecosystems, such as the Great Lakes, are
essential to the health and welfare of U.S.
citizens; they are shared by neighboring
countries and can be preserved only through
joint  action.    Other environmental  risks-
related    to    climate    change,    arctic
environments, and biodiversity- are global in
scope and can affect the health and welfare of
all those who live in the United States both
directly  and  indirectly.  These  and  other
threats, unbounded by national borders, need
to be addressed on an international scale.

   International  environmental management
programs  provide  important political  and
economic benefits.  A significant portion of
                                        6-1

-------
           Goal 6: Reduction of Global and Cross-Border
                            Environmental Risks
EPA's  international  work  fulfills  legally
binding  treaties,  conventions  and  other
international  statutory  mandates.   Sharing
regulatory and technological expertise helps
the United States, other industrialized nations,
and developing nations achieve development
consistent with the goals of protecting human
health and the environment.   As developing
nations progress economically, their use of
sound environmental  practices will prevent
the need for costly cleanup and restoration in
the future.  In addition,  the  development of
effective     environmental     management
practices worldwide, both binding  and non-
binding, ensures that developing nations  that
otherwise may opt for growth at the expense
of the  environment  do not  competitively
disadvantage U.S. companies.

Means and Strategy

   To  reduce   environmental  and  human
health risks along the U.S./Mexico  Border
and  the  Great Lakes, EPA employs  both
voluntary and regulatory measures. Efforts in
the U.S./Mexico Border Area utilize a series
of workgroups that  focus on priority  issues
ranging  from   water   infrastructure   and
hazardous waste to outreach efforts focusing
on communities and businesses in the border
area.  The programs were initially conceived
in a  Federal-to-Federal context. Today, it is
clear  that  in both  countries,  non-Federal
governments are the appropriate entities for
developing and carrying out much of the work
of protecting the border environment.  The
experience  of the last six years has shown
U.S.   Border States  as  key participants in
workgroup  activities  with similar experience
on the Mexico  side.   In the  past  year all
Border  States have  stressed  the  need for
greater  decentralization  of   environmental
authority,  and in FY 1999, States  and the
Federal  governments agreed  to  a  set  of
principles   that  clarify  the  roles  of  the
governments  and advance  State  and tribal
participation.  Under  the  new  Border 2012
Plan,    which    was    developed    with
SEMARNAP (EPA's Mexican counterpart),
the States and  Tribes  will  play  a more
substantial and meaningful role in:

•  Determining  how Federal border  pro-
   grams are developed and funded;

•  Focusing  on developing regional work-
   groups that empower border citizens; and

•  Ensuring  that  programs  devolve from
   Mexico's   Federal  government  to  the
   Mexican   States,   with  corresponding
   funding.

   Great Lakes Strategy 2002, developed by
EPA's Great Lakes National Program Office
(GLNPO)   and Federal,  State, and Tribal
agencies  in  consultation  with the  public,
advances U.S.  Great Lakes Water Quality
Agreement implementation. Its  long-range
vision  for a  healthy  natural environment
where all beaches are open for swimming, all
fish  are  safe to eat,  and the  Lakes  are
protected as a safe source of drinking water is
supported  by Lakewide Management Plans
(LaMPs) and  Remedial Action Plans (RAPs)
for Areas  of  Concern (AOCs).  Progress is
measured through the Integrated Atmospheric
Deposition Network  and  GLNPO's open
water, fish, and sediments monitoring.

   EPA   will  meet  its   climate   change
objectives by working with both business and
other  sectors  to deliver multiple  benefits -
from cleaner air to lower energy bills - while
                                         6-2

-------
           Goal 6: Reduction of Global and Cross-Border
                            Environmental Risks
continuing  to  improve   overall  scientific
understanding  of  climate  change  and  its
potential consequences. The core of EPA's
climate   change   efforts   are  voluntary
government/industry   partnership  programs
designed to  capitalize on the  tremendous
opportunities    available    to   consumers,
businesses,  and organizations to make sound
investments  in   efficient  equipment  and
practices.  These voluntary programs remove
barriers  to existing and emerging technologies
in  the   marketplace,  resulting  in  faster
deployment of energy efficient technology
into     the    residential,     commercial,
transportation, and industrial  sectors of the
economy.   Through  its  Clean Automotive
Technology program,  EPA develops unique
new  technologies  with  high  potential for
improving  air quality and reducing energy
consumption.    The Agency  is working in
partnership  with industry  to make some of
these  technologies  commercially  available
before the  end of the decade.  In addition,
EPA works with  other key stakeholders in
promoting  the development  of fuel  cell
technology  for transportation.

   To   restore  and  protect  the   earth's
stratospheric  ozone layer, EPA works both
domestically and  internationally to limit the
production   and  use  of  ozone-depleting
substances  and to develop  safe  alternative
compounds.  EPA  also  provides education
about the risk of environmental and  health
consequences of overexposure to ultraviolet
(UV) radiation.

   To  address the potential risks associated
with    persistent   and    bioaccumulative
substances  and  other toxics,  the  Agency
employs two  fundamental approaches.   The
first approach seeks to minimize the potential
harmful   impacts   of   circulating  toxic
substances   through   the   negotiation   and
implementation of  specific treaties.    The
second approach focuses on the cooperative
efforts of  the  Organization  for Economic
Cooperation and Development (OECD)  and
other  international organizations working to
develop harmonized methods for testing  and
assessing the toxicity of chemicals, and for
measuring the effects of chemicals to humans
and the environment.

   In addition to the specific strategies noted
above, the Agency employs a variety of
means to achieve the environmental
objectives outlined in this goal.  These
include:

•  Implementing    formal   bilateral    and
   multilateral   environmental   agreements
   with     key     countries,     executing
   environmental components of key foreign
   policy  initiatives, and, in partnership with
   the Department  of  State,  engaging in
   regional and global negotiations aimed at
   reducing risks  via formal  and  informal
   agreements.

•  Working with other  countries  to ensure
   that     domestic     and    international
   environmental    laws,   policies,    and
   priorities     are    recognized     and
   implemented.
•  Partnering  with other Federal agencies,
   States,   business,  and  environmental
   groups   to  promote  environmentally
   sustainable  technologies  and  services
   worldwide.
                                         6-3

-------
           Goal 6:  Reduction of Global and Cross-Border
                            Environmental Risks
Research

   EPA's Global Change Research Program
provides  the  knowledge  to  allow  policy
makers to find the most appropriate, science-
based solutions to reduce the potential risks to
human  health  and  ecosystems  posed  by
climate change.

   Several mechanisms are in place to ensure
a  high-quality   Global   Change  Research
program  at EPA.  The Research  Strategies
Advisory  Committee  (RSAC)   of  EPA's
Science   Advisory   Board   (SAB),   an
independent   chartered  Federal   Advisory
Committee Act  (FACA)  committee, meets
annually  to conduct an in-depth review and
analysis of EPA's Science  and  Technology
account.  The RSAC  provides its findings to
the House Science Committee and  sends a
written  report  on the findings  to  EPA's
Administrator  after  every  annual  review.
Moreover,   EPA's   Board   of   Scientific
Counselors (BOSC) provides counsel to  the
Assistant  Administrator for the  Office  of
Research and  Development  (ORD) on  the
operation of ORD's research program.  EPA's
scientific and technical work  products must
also undergo either internal or external peer
review,  with major  or significant  products
requiring external peer review.  The Agency's
Peer Review Handbook (2nd Edition) codifies
procedures and guidance for conducting peer
review.

Highlights

   In FY 2004, EPA will use a variety  of
approaches to build international cooperation
and technical capacity and to prevent harm to
the global environment and ecosystems  we
share with other nations.
   The Agency will host representatives of
foreign  governments, industry,  and  Non-
governmental Organizations  (NGOs)  at the
Agency's  Headquarters,  Regions,  and labs.
The   Agency  will  also   share  technical
publications  and CD-ROMs with developing
countries  and  provide access  to  additional
information   through   technical   training
courses,  the  EPA  website,  the  Spanish
Language Resources site,  and other services.

   EPA   will  work  directly  with   other
countries    and    through    multilateral
organizations to share innovative practices for
environmental  management  and  to   share
environmental  information.  These programs
help    build   environmental   management
capacity of developing countries while also
providing reciprocal benefits to U.S. citizens.
These benefits  may  include: the introduction
of new  techniques for  managing  urban
environments, reduced environmental damage
to the global  commons, reduced  costs and
effort through data sharing,  an  increased
demand for U.S.  environmental technologies
and services, and the implementation of more
transparent  enforcement   and  permitting
regimes.

U.S./Mexico Border

   In FY 2004, EPA, in  partnership with the
Mexican  Government,   State  and   local
governments, and community organizations,
will implement the Border 2012: US-Mexican
Environment   Program   that   will   focus
resources in  areas that can most directly lead
to improvements   in  public   health  and
environmental  conditions in this area.  The
Border  2012 Program will  transfer  to the
States  and  local  communities  substantial
                                         6-4

-------
           Goal 6: Reduction of Global and Cross-Border
                            Environmental Risks
responsibility to set priorities and manage
program  implementation based  on explicit
environment  and public health  goals  and
objectives with measurable outcomes.

   Specifically,  the  Border 2012  Program
will focus on the following: 1) reducing the
effects of the environment on human health;
2)  improving   air   quality;  3)   funding
wastewater and drinking water infrastructure
investments in under-served communities; 4)
managing chemical  accidents; 5) supporting
pollution prevention programs that will, over
the long term, reduce the adverse health and
environmental  effects  of  pollutants;  6)
reducing  and  effectively managing hazardous
and solid waste; 7)  strengthening bi-national
cooperation between institutions  responsible
for  enforcing  their  respective   country's
environmental laws;  and  8)  strengthening
coordination on pesticide activities linking the
work  on  regulatory harmonization with field
implementation  projects  to  protect  field
workers and assure safe food supplies.

Great Lakes

   EPA,   through   the  GLNPO,    will
coordinate among State, Tribal, and Federal
agencies  to  implement  the  Great   Lakes
Strategy   and  measure   progress   against
quantitative environmental objectives in areas
such as clean-up of AOCs,  reduction of fish
contaminants,   beach   closures,   sediment
remediation, wetland  restoration, and invasive
species.  In  FY 2004, if  long-term  trends
continue, EPA will report a 5 percent  decline
in toxics (polychlorinated biphenyls or PCBs)
in lake trout and a 7 percent reduction in air
toxic  concentrations.   EPA will also lead
development         of       management
recommendations   to  address   Lake  Erie
dissolved-oxygen    levels,    which    are
inexplicably low despite U.S. and  Canadian
success in achieving phosphorus targets.

   In FY 2004, EPA is proposing to increase
funding for sediment clean-up activities in the
Great Lakes by $15 million.  Some of these
funds  will  be  needed for  assessment and
analysis,  which will  result  in  subsequent
cleanups. This first year of funding will also
enable EPA to begin cleanup on two to three
new  sites and will lead to the remediation of
over  100,000  cubic  yards  of contaminated
sediments.

   Longer-term objectives in the Great Lakes
Strategy include:

•  By 2005, clean up and de-list 3 Areas of
   Concern, with a cumulative total of 10 by
   2010 out of 43 that have been identified.

•  By 2007, reduce concentrations of PCBs
   in lake trout and walleye by 25 percent.

•  By 2010, 90 percent of monitored Great
   Lakes   beaches   will   meet   bacteria
   standards more than  95 percent of the
   swimming season.

•  By 2010,   substantially  reduce  further
   introductions of invasive species.

•  By 2010, restore,  enhance, or rehabilitate
   100,000 acres of wetlands in the Basin.

•  Accelerate   the   pace   of   sediment
   remediation, leading to the clean up of all
   known sites by 2025.

Climate Change

   The President's climate change program
builds  on  the  accomplishments of EPA's
                                         6-5

-------
           Goal 6: Reduction of Global and Cross-Border
                            Environmental Risks
voluntary climate programs. EPA's voluntary
climate   change  programs   have   made
significant  progress  to  date.  However, the
opportunities  remain  to  achieve   further
pollution reductions and  energy bill savings
from energy efficiency programs and greater
use of cost-effective renewable energy.  In the
U.S., energy consumption causes  more than
85 percent of the major air emissions such as
NOX,  SC>2,  and  CC>2.   At the same  time,
American families and businesses spend over
$600 billion each year on energy bills- more
than we spend on education.

    In FY 2004,  EPA will continue to build
upon   its   voluntary   government/industry
partnership  efforts to achieve even  greater
greenhouse gas (GHG) reductions by  taking
advantage  of  additional  opportunities  to
simultaneously reduce  pollution and  energy
bills.   EPA's climate  programs help break
down  market barriers   and  foster  energy
efficiency     programs,    products     and
technologies, cost effective renewable energy,
and  greater  transportation  choices.  A  key
example is within the Buildings Sector, which
represents one of the largest areas of potential
emission reduction, and at the same time is
one of its most successful. EPA will continue
to build upon the  successful  ENERGY  STAR
partnerships   (including   ENERGY    STAR
Labeling and the  ENERGY STAR Buildings
Program)  and  work toward  the goal  of
offsetting about  24 percent of the growth in
GHG emissions  above 1990 levels expected
by 2010 in this sector.

    In   FY   2004,    in  the   voluntary
transportation sector,  EPA will further build
the Green Transport Partnership which works
with the trucking and  railroad industries to
achieve cleaner  and  more efficient vehicles
and locomotives by adopting pollution control
and   energy  saving   technologies.   This
partnership  program is  a  voluntary  effort
aimed  at  reducing  CC>2,  NOx,  and  PM
emissions, and conserving diesel fuel.

   In  FY  2004,  EPA will  continue  its
successful development of new transportation
technologies that promise even more dramatic
energy-savings. By applying EPA's patented
hydraulic hybrid drivetrain components to a
midsize-car  research chassis,  the  Agency's
Clean   Automotive   Technology   (CAT)
program already  has attained a fuel economy
efficiency of more than 80 miles per gallon
(gasoline equivalent).   During  FY  2002, the
CAT    program    achieved   double-digit
efficiency  improvements  from   hydraulic
hybrid related  technologies on  a full-size
domestic pickup truck.  The urgent focus
continues to be on developing  cost effective,
innovative,  clean   engine   and   drivetrain
technology   for   personal    vehicle   and
commercial trucks  and  on demonstrating the
application of these ultra-efficient hydraulic
powertrains to personal  vehicles such as Sport
Utility Vehicles (SUVs), pickups, and urban
delivery  vehicles.    By  combining  these
hydraulic hybrid drivetrain innovations with
developments  in engine  technology,  EPA
anticipates   demonstrating   50-70  percent
improvement in the fuel efficiency  of a large
SUV or urban delivery truck by 2006, and up
to 100 percent improvement by 2010.  With a
predicted market penetration  into as much as
50  percent  of new  light trucks (including
SUVs) by 2020, annual  fuel savings would
reach  at  least 8 billion  gallons.   In 2020,
emissions from this sector alone would fall by
25 MMTCE.
                                         6-6

-------
           Goal 6:  Reduction of Global and Cross-Border
                             Environmental Risks
   EPA  will continue to work closely with
State  and  local partners  to  assess  the  air
quality,  health,  and  economic  benefits of
reducing   greenhouse  gas  emissions  and
developing practical risk reduction strategies.
EPA   will  also   establish   international
partnerships   that   will   link   industrial
efficiency,    transportation   improvements,
reduction   of   greenhouse    gases,   and
sustainable development.

Stratospheric Ozone

To  protect  the  earth's stratospheric ozone
layer  in  accordance with the United States'
commitment to the Montreal Protocol, EPA
will   continue  to  regulate  ozone-depleting
compounds, foster the development and use
of alternative  chemicals  in  the U.S.  and
abroad, inform the public about the dangers of
overexposure  to  UV  radiation,  and  use
pollution prevention  strategies to  require the
recycling  of  ozone-depleting   substances
(ODS) and hydroflourocarbons.

Toxics and Pollutants

   Reduced  risks  from  toxics,  especially
persistent  organic  pollutants  (POPs)  and
selected   metals  that  circulate  in  the
environment  at  global and  regional scales,
will  be  achieved by working with  other
countries, within the frameworks  established
by international instruments,  to control the
production or  phase-out  from the  use of
targeted  chemicals.  EPA is also working to
reach  agreement  on import  and  export
requirements applicable to certain chemicals,
an expansion of pollutant release and  transfer
registers  and the harmonization of chemical
testing, assessment and labeling procedures.
The  goal of international harmonization of
test guidelines  is to reduce  the  burden on
chemical companies of repeated testing  in
satisfying the  regulatory  requirements  of
different jurisdictions both within the United
States  and  internationally.   Harmonization
also expands the universe of toxic chemicals
for which  needed  testing  information  is
available,    and   fosters    efficiency    in
international   information   exchange   and
mutual international  acceptance of chemical
test data.   EPA will continue  to cooperate
closely with other Federal agencies and  with
other   industrialized   nations  within  the
program   framework  of  the   OECD   in
harmonizing testing guidelines.

   The U.S. is working with  other OECD
member   countries    to   implement   the
International  Screening Information Data Set
(SIDS)  program, a  voluntary  international
cooperative  testing program begun in 1990.
The  program focuses  on  developing base-
level test information (including data on basic
chemistry, environmental fate, environmental
effects and  health effects) for international
high production volume (HPV)  chemicals,
which are chemicals that are manufactured at
one  million  tons,  or  2.2  million pounds,
annually.  SIDS data for HPV chemicals will
be made available to the public.  SIDS  data
will also be used to screen chemicals and  to
set priorities  for  further  testing  and/or
assessment.   The Agency will review testing
needs for 75 SIDS chemicals in FY 2003.

POPs Implementation

   In FY 2004, EPA will target resources to:
1) provide technical  and financial assistance
to key countries/regions, with an emphasis on
those whose releases most directly affect the
U.S.  (e.g., Russia, Central America, and the
                                          6-7

-------
           Goal 6: Reduction of Global and Cross-Border
                             Environmental Risks
Caribbean); 2) address key priorities/areas of
need  for each  country  as  well  as gaps in
technical   and   financial   assistance;   3)
maximize  use  of  existing  bilateral  and
regional  partnerships,  such  as  the  North
American    Center     for    Emergency
Communications  (NACEC)  and the  Arctic
Council,  to achieve efficiencies and leverage
funding;   and   4)  support   international
cooperative efforts, such as monitoring  and
assessment, to  identify trends and  establish
priorities.  To manage  these activities, EPA
has   developed   an  international  POPs
Implementation  Plan  and   will   continue
working  with  UNEP in  an  Internet Access
Project   to  train  officials  of  developing
countries on accessing information  necessary
for sound management of chemicals.

Research

   EPA's Global Change Research Program
supports  one of six Administration FY 2004
Interagency   Research   and  Development
Priorities  -  Climate  Change  Science  and
Technology. All activities to assess potential
impacts  of global  climate  change will  be
developed and  coordinated with  the climate
Change  Science  Program.    Attention  is
expected to be given to assessing the potential
consequences of global change -  including
climate   variability and  change,  land  use
changes,  and UV radiation - on air quality,
water quality,  ecosystem health,  and human
health.

External Factors

   EPA's work to reduce global and cross-
border  environmental   risks  requires  the
cooperation of numerous governments  and
agencies around the world as well as non-
governmental organizations and private sector
parties.  Accordingly, the level of success and
the speed at which our objectives are achieved
is  highly influenced by external  factors and
events.

   While many factors outside  of EPA or
U.S.  control  determine a Nation's willingness
to  participate in international environmental
protection efforts (e.g., economic or political
considerations within  the  country),  EPA's
international policy and technical  exchange
programs  can  play an  important role in
convincing particular nations of both the need
and feasibility of participating.  Other factors
affecting EPA's programs include  continued
Congressional     and    public     support;
cooperation with other Federal agencies, such
as  the State Department and the U.S. Agency
for   International    Development;    and
collaboration with  State and local groups,
business   and    industry   groups,    and
environmental organizations.

   Reduction of air, water,  wastewater and
solid waste  problems  along the U.S. border
with   Mexico   will   require    continued
commitment by national, regional  and local
environmental officials in that country.

   Progress  on   Great  Lakes  goals  and
measures is  dependent on actions  of others,
both within  and outside of the Great Lakes.
Key  Great Lakes partners, including Canada,
State  regulatory   agencies,  the  Corps  of
Engineers,   the   National   Oceanic   and
Atmospheric Administration  (NOAA),  the
Fish  and Wildlife  Service (USFWS), and the
Natural   Resources  Conservation  Service
(NRCS)  must  act together  to  continue
environmental progress.
                                          6-8

-------
           Goal 6:  Reduction of Global and Cross-Border
                            Environmental Risks
   The  U.S.  Global   Change  Research
Program (USGCRP) was established  in 1990
by the U.S.  Global  Change Research  Act.
The  1990 Act mandates  that the USGCRP
conduct   periodic   assessments   of   the
consequences of global change for the U.S.
EPA is one of ten member agencies of the
USGCRP.    The  EPA  program  relies  on
partnerships  with  academic institutions to
fulfill its obligations to the USGCRP National
Assessment effort.

   EPA's  efforts to  reduce  global  and
regional threats to oceans and the atmosphere
require  the  active  cooperation  of  other
countries.  Health  and environmental  benefits
resulting   from   the  multi-billion   dollar
investment by  U.S.  companies  to   reduce
emissions  of stratospheric ozone-depleting
compounds could be completely  undone by
unabated   emissions  of these chemicals in
other countries.  Fortunately,  the Montreal
Protocol  on  Substances  that  Deplete  the
Ozone  Layer has secured the participation of
most countries, including major  producers
and consumers of these chemicals. Recovery
of the stratospheric ozone layer is contingent
upon   international   adherence   to   the
commitments  made   under  the  Montreal
Protocol.    UV risk-reduction  efforts  are
impacted by the rate of recovery of the ozone
layer   and   socio-behavioral  norms  and
attitudes regarding sun protection.

   The success of international agreements
on  toxic  substances   is contingent  on  the
developed world providing adequate levels of
funding and  timely  technical assistance  to
developing countries,  especially key  source
countries.     Such funding  and  technical
assistance is necessary  in  order  for these
countries to develop the necessary skill levels
and  infrastructure  for implementing  these
environmental agreements.    The  ultimate
success  of  these  international  efforts  is
contingent on not only the provision of policy
and technical leadership by EPA  and other
Federal government  entities, but also  the
ability  to lead through the  provision and
leveraging   of  financial   and  technical
assistance.
                                         6-9

-------
This page intentionally left blank

-------
Goal 7:
Quality Environmental
Information

-------
This page intentionally left blank

-------
      Goal  7:   Quality Environmental Information
          Goal:  The public and decision makers at all levels will have access to information
about environmental conditions and human health to inform decision making and help assess the
general environmental health of communities. The public will also have access to educational
services and information services and tools that provide for the reliable and secure exchange of
quality environmental information.
                                       Resource Summary
                                             ($ in 000)
                                          FY 2003        FY2004
                                       President's     President's
j.u /o ui rmugei
Increase Availability of Quality Health
and Environmental Information.
Provide Access to Tools for Using
Environmental Information.
Improve Agency Information
Infrastructure and Security.

Budget
$123,222
$45,025
$30,793
$199,040
Request
$118,203
$47,071
$63,048
$228,322
Difference
-$5,019
$2,046
$32,255
$29,282
Workyears
  847.1
840.0
-7.1
Background and Context

   Accurate,  timely,  and  comprehensive
information should be  the  foundation  for
virtually every action  taken by EPA,  States,
and others charged with the responsibility to
ensure  a  safer, healthier  world  for  the
generations that follow.  EPA's obligation to
work with other Federal, State, and local
allies on homeland security issues is another
dimension of EPA's information management
activities.

   Our response to these challenges, built on
the foundation provided by the President's
Management Agenda (PMA) requires us to
look for new ways to foster existing Agency
practices that support this direction. The FY
2004 budget proposals described in this goal
represent a major new investment by the
Agency to:

•  Better  integrate the   information  EPA
   collects to  ensure the Agency  is better
   able  to  set  priorities,  make  sound
   decisions,   manage   for  results,   and
   measure performance;
                                        7-1

-------
             Goal  7:  Quality Environmental Information
•   Adopt  an  enterprise-wide  approach to
    managing     information,     including
    administrative and programmatic systems,
    investment   priorities,    and   resource
    allocation; and,

•   Work collaboratively with  States  and
    other Federal agencies to transform and
    streamline  business  practices,  develop
    common  and  consistent  standards  and
    systems, share data, and adopt a citizen-
    centric approach to information services.

    No less  important is the  need to  ensure
that environmental information  is accessible
and usable  by  the  American  public  -
including those  who  have  been historically
disenfranchised.  Information-and the public's
ability  to acquire, use, and understand it will
increasingly become  an important tool  for
addressing   environmental    problems  and
challenges.

Means and Strategy

Strategy: Information as a Strategic
Resource

    The  context  for  EPA's   information
management efforts  is the  explosion  of
emerging technologies,  such  as  e-commerce
and web  services, that enable organizations to
become extremely productive, effective, and
proactive in  service delivery. EPA and as well
as   other   organizations  face   a  similar
underlying  challenge:  how  to  get  the right
data and tools to the right  person to  ensure
quality environmental decisions.

    The  Agency's  broad   strategy  is  to
transform   its    information   management
activities from  the provision of information
technology   (IT)  services (i.e.,  back  room
operations focused  primarily on component
parts of the Agency) to managing information
as an enterprise-wide strategic resource.

Means: Building the Best Information
Capability at the Least Cost

   During FY 2004, EPA will pursue three
objectives  based  upon  this   strategy:  to
increase  the  availability  of quality,  useful
health, and environmental  information; to
provide access to  new  analytical  tools to
improve  the ease  of interpretation and the
accuracy  of information; and, to improve the
Agency's   information   infrastructure  and
security.

Enterprise Thinking

   To  successfully  manage   information
technology,   EPA  must   carefully   align
technology, people,  and processes with goals.
Identifying the business processes developed
to support goals, and the data, the systems,
and technology  needed  is  called  enterprise
architecture.   Enterprise  architecture  drives
our investment decisions and ensures that we
select the Agency's investments wisely.

   EPA's Chief Information Officer  (CIO)
will continue to pursue an investment strategy
to  support  a  strong  Agency  architecture
program and investment management process
as outlined by the Federal CIO Council and
required  by the  Clinger-Cohen Act.   An
enterprise-wide approach  to  information will
allow  EPA   to   make  key   information,
technology,  and  funding  decisions  at  an
Agency-wide level and improve the  efficiency
and effectiveness of the governance structure
and   operations.   Funding  for  individual
systems   development  and  modernization
efforts will  remain in  individual  National
                                          7-2

-------
             Goal 7:  Quality Environmental Information
Program Manager  accounts,  but  will  be
governed by the architecture and investment
review processes. There are three key points
regarding what the Agency builds and how it
pays for it.

   First, EPA  is no  different from  other
Federal agencies that require  upgrades and
continued    maintenance    of    its    IT
infrastructure.   EPA  is proposing  a major
investment  in  this area and proposing that
these  costs,  which  are  predictable  and
necessary,  be  considered  as  basic  to the
Agency budget  as is the funding  for its
buildings. It is the cost of doing business in
the information age.

   Second, the Agency's costs of electronic
access to EPA  information through its  web
site,  epa.gov, continue to rise as the number
of   access   "hits"   increase,   as   more
applications, data  processing,  and mapping
tools become available, and as many of the e-
Government (e-Gov) transactions are carried
out  via the  central  Agency  internet  site.
Through epa.gov, EPA  has   developed an
increasingly popular mechanism for one-stop
access  that has  ongoing operations  and
maintenance costs.  The  Agency recognizes
the  importance  of  this  mechanism  for
conducting business with the public and must
face its associated cost.

   Finally, EPA is aligning IT  capabilities
with the e-Gov  strategy developed as part of
the President's Management Agenda (PMA).
While the Agency works with  States, Tribes,
and   local  partners   in  our  day  to  day
environmental  business, EPA  must likewise
commit to the economies and efficiencies that
can be derived from collaborating with other
Federal agencies.  These  economies  and
efficiencies will not only improve the quality
of services but will also drive down the cost
of basic government functions.  The PMA's
e-Gov efforts seek to simplify processes and
unify  operations  to better serve  citizens'
needs.   EPA will  continue its  efforts to
implement  this   vision,   and   eliminate
redundancies and overlaps  in such activities
as small business compliance,  payroll, and
other enterprise-wide resource functions, on-
line rule making,  and geospatial information.
Overall, EPA is actively participating in 14
designated e-Gov projects and in  all  four
sectors of the PMA (government  to citizen,
government to  government, government to
business, and internal efficiencies).

The National Information Exchange
Network

   EPA has learned from  efforts under the
Government  Performance  and  Results Act
(GPRA)  as well  as the draft  State of the
Environment Report (SOE)  -  EPA's  first
national indicator project - that far more data
is needed  than  is  currently  collected.  The
latest estimates for the  SOE  report indicate
that at least 40% of the data EPA  needs to
better measure true environmental  outcomes
is either missing or unavailable. Some of the
data  gaps identified can be filled by  other
Federal  agencies  and   State  and   local
governments.

   Based on a five-year partnership between
leading States  and  EPA, the  Agency is
creating    an    internet-based     National
Environmental     Information    Exchange
Network  (Exchange Network).   With the
Exchange  Network  in   place,  people  can
quickly and easily share information and EPA
will be able to take advantage of the wealth of
environmental and health data  collected by
other Federal  agencies,  States,  and  local
                                          7-3

-------
             Goal 7:  Quality Environmental Information
governments.  Others have done this, though
most examples are in the private sector with
decentralized operations. The Department of
Justice   and   the   Federal    Bureau   of
Investigation have made the most progress,
working for the past five years with State and
local parties on just such a model.

    A number of our State and tribal partners
are currently  designing  their  capacity  to
participate in the Exchange Network. At least
35 States are building integrated, multimedia,
geographic-based  systems   using   facility
information as the core of the  system;  and
over 40 States and  10 Tribes applied in FY
2002  for  EPA's  $25.0  million Exchange
Network grants.  These grants foster technical
readiness  to  share   information  over  the
national network.

Building Capacity and Creating Centers of
Excellence in Regions

    The    future    of    partnership-based
information management  and  a variety  of
joint planning and innovations efforts depend
on working with our State and tribal partners
identifying  problems  and  crafting  joint
solutions.   Clearly,   an  ability  to  access,
analyze, interpret, and respond  to data is  a
core capability necessary to acquire.   The
EPA regions, and related  non-Headquarters
sites,  have  the  most critical  operational
interfaces  with external partners. They also
are the point of entry for information access
by on-scene coordinators and first responders.
Currently, inadequate basic  IT  infrastructure
at  the  regional  level  impedes consistent,
effective access.  Implementing the upgrades
to  deliver  reliable,  effective   capacity  to
support  Agency  and  external   partner
information access nationally is a long-term
challenge.
   Through a combination of a new Agency
base investment, one that will continue in the
outyears,  and  a   targeted  investment   of
$10,000,000  in order  to  address  highest
priority  regional    problem  areas,   EPA
proposes to address the information  access
infrastructure problem in a  strategic manner
in FY 2004.  This will  close  the  major
infrastructure  gaps at  the  most vulnerable
locations, build a stable foundation for State
and tribal  partnerships and e-Gov work, and
enable subsequent annual network  upgrades
and  maintenance   at  base  levels  in  the
outyears.

Performance Measurement

   The   enterprise-wide    approach    to
information  management  supported by this
budget proposal is the underpinning of EPA's
ability   to    accurately    measure    the
environmental  outcomes  of the  Agency's
programs.    The Agency fully  supports  the
performance measurement focus  of the PMA
and   is   developing   its   first   national
environmental indicators report,  entitled  the
SOE   report,   and   is   establishing   a
comprehensive   set   of   environmental
indicators. The Agency  is  also  working  to
improve the  performance measures associated
with information management efforts. To the
degree  that  these  efforts  support  other
programmatic   activities,  the  performance
measures are more likely to be indirect.  EPA
is working on outcome measures associated
with   information   access  programs   that
provide information to the public as a means
for accomplishing environmental goals.

Research

   Research  efforts  supporting this  goal
include the  Integrated   Risk   Information
                                          7-4

-------
             Goal 7:  Quality Environmental Information
System (IRIS).  IRIS is an EPA database of
Agency  consensus  health information  on
environmental contaminants, used extensively
by EPA,  other Federal agencies, States, and
the public to  access toxicity information that
may   be   needed   for  performing   risk
assessments.  In FY 2004, EPA will continue
the modernization and  expansion  of IRIS,
which  began in  2002, including dedicating
additional staff to  the  program.  Another
effort  to  support  Goal  7  is  the  Risk
Assessment Forum  (RAF), which promotes
Agency-wide  consensus  on  difficult  and
controversial  risk  assessment   issues  and
ensures that  this  consensus  is  incorporated
into  appropriate  Agency  risk  assessment
guidance.

   Several mechanisms are in place to ensure
a high-quality research program at EPA.  The
Research  Strategies  Advisory   Committee
(RSAC) of EPA's Science Advisory  Board
(SAB),  an  independent chartered  Federal
Advisory Committee Act (FACA) committee,
meets annually to  conduct an in-depth review
and   analysis  of   EPA's   Science   and
Technology account.  The RSAC provides its
findings to the House Science Committee and
sends a  written  report  on the  findings to
EPA's Administrator  after  every   annual
review. Moreover, EPA's Board of Scientific
Counselors (BOSC) provides counsel  to the
Assistant  Administrator for the  Office of
Research  and Development  (ORD)  on the
operation of ORD's research program.  EPA's
scientific and technical  work  products must
undergo  either  internal  or  external  peer
review, with major or  significant products
requiring external peer review. The Agency's
Peer Review Handbook (2nd Edition) codifies
procedures and guidance for conducting peer
review.
Highlights

   EPA will continue to work with the other
Federal agencies, States, Tribes, and others to
strengthen  its  information  quality, leverage
information maintained by other government
organizations,  and  develop  new  tools  that
provide decision-makers  and  citizens with
simultaneous access to multiple data sets and
information products.  These improvements
will  support  better-informed environmental
decision-making and management based on
environmental  results. They will also enable
citizens to  get answers to the questions they
have about what EPA is doing to protect the
environment   and  the  quality   of   their
communities.   Stakeholders  will  have "one-
stop"  access  to the  regulatory  and  policy
implementation guidance that they  need to
improve the performance  of their facilities
and sectors. Facility operators will be able to
submit their  data  to  States,  regions,  and
Federal  systems  simultaneously  via  the
internet without  having  to  fill  out  paper
forms; an improvement which will help EPA
to meet the burden reduction goals of the
National Paperwork Reduction Act and the
Government Paperwork Elimination Act.

   Effectively  managing   the  process by
which the  public is educated and informed
regarding the Agency's resources is pivotal to
accomplishing the mission of the Agency. To
this end, the Agency will expand its two-way
communications with  the   public.    EPA,
through its public and Congressional liaison
functions,  Federal Advisory Committee  Act
functions,   media relations,  print and web
content review, and  oversight responsibilities,
will  inform and  educate  the public  about
Agency  initiatives,  policies,  regulations,
services,   and   environmental  information
resources.   The Agency will also develop and
                                         7-5

-------
             Goal 7:  Quality Environmental Information
monitor feedback mechanisms to  learn from
them.  In order to accomplish this goal, EPA
and its partners will focus on the following.

   EPA is currently an active participant  in
14 of the  24 e-Gov projects included in the
PMA.     This  effort   seeks  to  eliminate
redundant  activities  across   agencies  and
achieve a  more seamless, citizen-centered
provision   of  services.    The   resources
requested  in FY 2004  will enable EPA  to
improve the way in which we engage citizens
and the regulated community.  The  Agency
expects to  use e-tools  to:  lessen  paperwork
burden; improve how the Agency works with
local,  State,  and Federal  partners;  provide
easier, smarter, and faster means for citizen's
to  obtain  environmental  information  and
services; and, ultimately to  ensure that better
environmental  decision  that  will  enhance
national ability to protect human  health and
the environment.  EPA  is currently involved
in  the   following   e-Gov   projects:    e-
Authentication;  Disaster   Management;   e-
Grants;  e-Records;   e-Training;   e-Travel;
Enterprise  Human   Resources;  Geospatial
One-Stop;  Integrated  Acquisition;  On-Line
Rulemaking; One-Stop Business Compliance;
One-Stop Recruitment;  Payroll; and Safecom
Wireless Communications.

   EPA   will   continue   to  increase  the
availability    of   useful     health    and
environmental information  internally and  to
the public  by  providing  better   access  to
accurate    and    reliable     environmental
information.   For instance,  with the final
expansion of Window to My Environment - a
geographic   portal   to   community-based
environmental information  - EPA is moving
forward to  provide the public with electronic
and non-electronic access to accurate, useful,
and reliable environmental  data.   This data
source will include information collected by
EPA, its partners, and stakeholders.

   EPA will continue to develop the National
Environmental     Information     Exchange
Network.    The  Exchange  Network  is  a
comprehensive,    integrated    information
exchange program  designed to strengthen the
partnership between and facilitate information
sharing among EPA, the States, other Federal
agencies, Tribes, localities,  and the regulated
community.   The  Exchange  Network  will
provide a wide range of shared environmental
information  and   improve   environmental
decision    making    through    increased
availability of data, better  data quality and
accuracy, security of sensitive data,  avoidance
of data redundancy, and reduced burden on
those who provide  and those who  access
information. It uses an internet-based, multi-
media approach to  environmental information
exchange   that  is  standards-based,  highly
connected,  flexible, and secure.  Additionally,
through an information grant program begun
in FY  2002, States and  Tribes will be better
positioned  to  participate  in the  Exchange
Network.

   The Central Data Exchange (CDX) is the
electronic portal through which information is
securely received,  translated, and forwarded
to EPA's data systems.  In FY 2004 the CDX
infrastructure,  a  key   component  of the
Exchange Network, will service 46 States and
a total of  over 25,000  facilities,  companies
and laboratories will use it to provide data  to
EPA electronically. By widely implementing
an electronic reporting  infrastructure,  CDX
will  reduce reliance on less efficient paper-
based processes, resulting in improved  data
quality, reduced reporting  burden, and the
creation of new opportunities for simplifying
the reporting process. By the end of FY 2004,
                                          7-6

-------
             Goal  7:  Quality Environmental Information
electronic reporting  through CDX will be
possible for all of the national environmental
systems.

   EPA will develop and implement program
policies  and   guidance   in  several   areas
including web content, website management,
privacy, and quality  system.    The Agency
will    solicit    customer   feedback   to
systematically  improve information usability,
clarity,  accuracy,  reliability and scientific
soundness.      Other  efforts  to  improve
information will include the development and,
in particular, the implementation of necessary
data standards and  associated  registries to
improve   the   consistency,   quality,   and
comparability  of data managed in national
environmental  systems. EPA will ensure that
data quality is known to  and appropriate for
intended uses.  Usability testing and customer
satisfaction  baselines  will  assure  that  the
information  the Agency provides is meeting
the  needs of its customers.  In addition, the
Agency is committed to developing analytical
and  other tools to help  users interpret and
apply environmental data.

   EPA will provide the means for using and
understanding   environmental  information.
Environmental  data   are  most  meaningful
when examined from a holistic  perspective;
that is, when users are able to examine multi-
media  data about a particular  location or
source at once.  Users must also have the
underlying  documentation that describes the
limitations  of the data and  the  context in
which  it is most useful.   In FY 2004  the
Agency will continue the  development  of its
Environmental Indicators Initiative in order to
establish a  set of performance indicators that
measure  environmental  results.   Environ-
mental indicators are an  important tool for
analyzing,  and  communicating  information
about environmental conditions and human
health  to the public in an  understandable
manner.

   EPA    will    streamline    information
collection.  Streamlining will help regulated
entities to meet their regulatory requirements
while eventually  easing burdens placed on
States and the Agency to collect information.
The  Agency  will examine  the information
reporting burdens placed on its partners and
on the regulated community and ensure that
information   collections  address   specific
needs.  EPA will  improve the timeliness and
completeness of requests for information by
implementing  an  Agency-wide  electronic
records  and document management  system.
The Agency plans to develop and acquire the
necessary software  and  hardware to begin
phased   implementation  of   the  system
throughout the Agency.

   EPA   will  play  an  integral  role   in
supporting Homeland  Security.  Accurate
information  about  EPA-regulated  facilities
and areas of environmental interest is critical
to EPA's ability to support homeland security
efforts. The ability to identify and report on
regulated facilities, their location and spatial
coordinates,    their   materials,  and  their
corporate ownership is an important piece of
the  homeland security  picture.  Part  of  the
Agency's homeland security role is to deliver
secure, reliable, and timely  data access and
communications   to  on-scene  coordinators,
emergency response teams, and investigators
in the field.

   EPA  will  strengthen  and  increase  the
security of its information infrastructure. This
is fundamental to increasing the availability,
usability,  and reliability  of  environmental
information. EPA must maintain a strong and
                                          7-7

-------
             Goal 7:  Quality Environmental Information
secure information infrastructure that supports
Agency  mission  and   homeland   security
requirements   with   adequate    capacity,
resulting in  the right technology at the  right
time, with rigorous cyber-security protection.
In FY 2004, the Agency will upgrade its IT
and cyber-security infrastructure  to address
gaps.  The upgrades will deliver Agency-wide
enhancements   based   on   the   priorities
identified in the enterprise architecture, which
identifies best technology options to support
program  strategic  directions,  and  directs
capital  planning  to  achieve cost-effective
Agency-wide IT solutions that are sustainable
across the multi-year cycles typical of major
technology projects and investments.

   Priorities for FY 2004 include: network
capacity  upgrades   to   enable   reliable
information  access  for  the  Agency,  its
partners, and the public; and cyber-security
and  technology  enhancements  to  support
secure access to EPA data. Network upgrades
will be managed under the Agency's working
capital   fund    desktop   service,    with
appropriated funds allocated  to programs to
pay their proportional  share  of the  desktop
charge.

   EPA's  IT  program  will  maintain  its
commitment to strong  customer service and
strategic investment  in  new technology to
ensure  EPA's  continued ability  to  deliver
information  services efficiently,  effectively,
and securely. Through emphasis on acquiring
the right skills, technologies, and  services,
EPA will take additional steps to strengthen
and secure the Agency's IT infrastructure.  In
FY 2004, EPA will implement a program to
ensure that  all of its  central infrastructure,
financial, and mission critical environmental
systems  are assessed for potential  security
risks as part of regular system security plan
updating.

   EPA  will   improve  its   System   of
Registries. By FY 2004, data standards will
be expanded to include additional areas  of
environmental information.  Access to related
information  for use  by EPA's partners and
stakeholders  will  be  greatly  enhanced by
improvements to EPA's System of Registries.
The Agency's expanding system of registries
will continue to provide the  technical detail
needed  to  promote  the  adoption  of data
standards  by  other  parties,  and will also
provide authoritative  sources for populating
records, thereby promoting data sharing and
integration.

   EPA will  assemble  core  environmental
program data, geospatial resources, meta data,
Facility   Registry,   Environmental   Data
Registries, and other systems of data registries
into one integrated Enterprise Repository that
is accessible to  all.  The Repository will help
move EPA beyond the current  limitations of
the "stove-pipe"   approach  to  information
management and support more effective data-
sharing,  integration,   and   accessibility  to
information  for environmental management
and homeland  security decision makers.   In
FY 2004, EPA will establish a comprehensive
and secure "System of Access" to EPA's data
resources that will allow users to easily locate
relevant data  from  internal  and  external
sources and access the tools needed to analyze
it  based on  their own  individual level  of
authorization.

   EPA will  continue its  error correction
efforts.  Users  of EPA's website  have a tool
for notifying the  Agency of potential errors
they  find in the national environmental data
systems.  The Integrated  Error Correction
                                          7-8

-------
             Goal 7: Quality Environmental Information
Process is a procedure by which the Agency
or a State  will assess all  reported potential
errors,  and notify the individual who reported
the error  of  the  findings  and corrective
actions.   This program,  which  is already
serving  as  the basis  for  the  data  and
information  quality  "complaint  resolution
process"  called   for   in  the  Agency's
Information Quality Guidelines, will continue
to operate in FY 2004.

   As  part  of the government-wide e-Rule
making  initiative,  EPA  will  continue  to
enhance  the Agency's  internal  rule making
system  and public participation in the rule
making process.  As of May 2002, citizens
and the  regulated  community  have  greater
online  access  to information  contained in
EPA's   rule-making  and  non-rule  making
dockets.  EPA Dockets (EDOCKET) is  an
online   complement  to  EPA's  combined
docket facility.  The system allows the public
to search available and historic dockets at any
time,   view  docket  contents,  print   and
download materials,  and provide comments
on EPA's rule-making  and non-rule making
activities.  By FY 2004,  nearly all of the
Agency's  dockets  will   be contained  in
EDOCKET.  The  combined docket facility
and  EDOCKET  represent  a   substantial
financial savings over our previous approach.

   In partnership with the States, the Agency
will continue its efforts to  expand  publicly
available information, both electronically via
the  Internet  and  through  non-electronic
media.     This  includes   the   Envirofacts
database, a major data warehouse comprised
of  11   national  databases.    It  is  used
extensively  by EPA,  the   States, and  the
public.
   The Agency will continue its efforts to
promote public access through the Agency's
Access  to Interpretive  Documents  project
(formally known as Enhanced Public Access).
This  project   is  designed  to  make   all
significant    Agency   guidance,    policy
statements, and site-specific interpretations of
regulated entities' environmental management
practices electronically available to the States,
industry, and the public in a secure manner.

   EPA will  continue to  implement  the
Toxics Release Inventory (TRI) Program.  The
TRI   Program   provides   the   public  with
information  on  waste   management   and
releases of   chemicals to the environment.
Two  laws, Section 313 of the Emergency
Planning  and  Community  Right-To-Know
Act  (EPCRA)  and  Section  6607   of  the
Pollution Prevention  Act,  mandate that EPA
annually collect information on releases of
listed toxic chemicals from certain industries
and  make  this information available to the
public through various means, including  a
publicly accessible national  database. Using
this    information,   citizens,    businesses,
community    groups,   researchers,    and
governments  can work together to  address
releases in their communities.

   EPA  will   continue  to  reduce   TRI
reporting burdens on industry and improve
TRI   data  quality  by  distributing its  new
software tool, "TRI Made-Easy (TRI-ME)."
The  Agency  expects to  further increase the
percentage of TRI reporting forms that are
submitted   in  digital format.    EPA  will
continue to refine and expand the public's
understanding of TRI data  by improving  data
access tools such as the "TRI Explorer." In
FY 2003,  EPA will release data for the  first
reporting year since the Agency lowered the
TRI  reporting thresholds  for lead  and  lead
                                         7-9

-------
             Goal 7:  Quality Environmental Information
compounds in FY 2001.   As part of its on-
going  responsibilities under  EPCRA,  EPA
will  continue to respond to petitions to add
and delete chemicals on the TRI list and to
other petitions to amend the program.

   EPA's quality  program will  continue to
develop  the   Agency-wide   policies   and
procedures    for   planning,   documenting,
implementing, and assessing  data collection
and use  in Agency decisions.   The quality
program  will also develop training  material
on   the   various  policies   and   oversee
implementation  of EPA's quality  systems.
EPA will also continue to implement its Data
Quality Guidelines.

   By focusing on these areas, EPA will keep
pace with the rapid advances  in IT and meet
the growing demand for reliable,  high quality
environmental information.

Research

   In FY 2004, the Agency will continue to
provide technical  guidance for conducting
risk  assessments to  improve  the  scientific
basis  for decision-making within IRIS  and
RAF.  The Agency's Risk Assessment Forum
will  focus  on  three  areas: cumulative  risk
assessment, ecological  risk assessment,  and
risk assessments specific to children.  Efforts
will   result  in   guidance   on  preparing
cumulative  risk  assessments,  technical  issue
papers, and guidance on the identification of
appropriate  age   groupings   for  exposure
assessments for children.

External Factors

   EPA's  information  comes  from  many
sources,  including  States,   Tribes,   local
governments,    research,   and    industry.
Working in partnership with State and tribal
governments is an essential element of EPA's
information  programs.  Seeking  advice  and
input from the regulated community and the
public   will   ground  EPA's   information
programs  and approaches  and  make them
more responsive to stakeholders' needs.  In
order to achieve an integrated  information
network that increases efficiency and fosters
information sharing, the Agency must work
with those  who provide  and  use  EPA's
information to ensure that data are maintained
effectively, and protected appropriately.

   Rapidly  changing  technology  presents
opportunities  to address mission  needs in
better ways,  as well as  challenges where
legacy  technology must  be replaced.   The
Agency must manage  how it  adopts new
technology from an Agency-wide perspective
to   gain  benefits,  minimize  risk,   and
demonstrate     incremental,    earned-value
results.    The Agency is  also  outsourcing
major    technology    operations    under
performance-based contracts   to   achieve
greater returns and obtain more flexibility in
responding to requirements for technology
change; whether driven by program needs or
technology advances.

   The evolving user community  will  also
affect   the   success   of   the  Agency's
information  efforts.   As  more States  and
Tribes  develop the  ability to integrate their
environmental information, the Agency must
adjust  its systems  to  receive  and process
reports from  States and industry in keeping
with the  Agency's statutory  requirements.
Local citizen  organizations and the public at
large are  also  increasingly   involved  in
environmental decisionmaking,  and their need
for  information  and   more   sophisticated
analytical tools is growing.
                                         7-10

-------
Goal 8:
Sound Science, Improved
Understanding of
Environmental Risk, and
Greater Innovation to Address
Environmental Problems

-------
This page intentionally left blank

-------
 Goal 8:  Sound Science, Improved Understanding

 of Environmental Risk, and Greater Innovation to

          Address Environmental Problems


Strategic Goal: EPA will develop and apply the best available science for addressing current
and future environmental hazards as well as new approaches toward improving environmental
protection.
                            Resource Summary
                                 ($ in 000)
\^y
4.7% of Budget
Conduct Research for Ecosystem
Assessment and Restoration.
Improve Scientific Basis to Manage
Environmental Hazards and Exposures.
Enhance Capabilities to Respond to Future
Environmental Developments.
Improve Environmental Systems
Management.
Quantify Environmental Results of
Partnership Approaches.
Incorporate Innovative Approaches.
Demonstrate Regional Capability to Assist
Environmental Decision Making.
Conduct Peer Review to Improve Agency
Decisions.
Workyears
FY 2003
President's
Budget
$119,115
$56,355
$50,966
$52,274
$9,058
$29,788
$6,592
$3,690
$327,838
996.3
FY2004
President's
Request
$122,886
$67,468
$68,911
$45,447
$9,037
$31,939
$6,608
$4,811
$357,106
1006.2
Difference
$3,771
$11,113
$17,946
-$6,827
-$22
$2,151
$16
$1,121
$29,268
9.9
                           8-1

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk, and Greater Innovation to Address
                         Environmental Problems
Background and Context

   EPA  has  a responsibility to ensure that
efforts to reduce potential environmental risks
are based  on the best available scientific
information.   Strong  science allows us to
identify the most important sources of risk to
human health and the environment as well as
the best  means to detect,  abate, and avoid
possible environmental problems, and thereby
guides our priorities, policies, and deployment
of resources.   It is critical  that research and
scientific  assessment  be   integrated  with
EPA's policy  and regulatory  activities.  In
order to address complex issues in the future,
the   Agency   will   design   and   test
fundamentally new tools  and management
approaches that have potential for achieving
environmental results.  Under Goal  8, EPA
conducts  core  research   to  improve   our
understanding  of the fundamental  principles
underlying    risk  assessment   and   risk
management.

   Several mechanisms are in place to ensure
a high-quality research program at EPA.  The
newly established  Science  Advisor  will be
responsible for ensuring the availability and
use of the best  science to support  Agency
policy and  decisions,  as well as advising the
EPA administrator on science and technology
issues and  their  relationship  to  Agency
policies,  procedures  and  decisions.  The
Research  Strategies   Advisory   Committee
(RSAC)  of EPA's Science Advisory Board
(SAB),  an  independent  chartered  Federal
Advisory Committee Act (FACA) committee,
meets annually to conduct an in-depth review
and   analysis   of   EPA's   Science   and
Technology account.  The RSAC provides its
findings to the House Science Committee and
sends a written report on the finding to EPA's
Administrator  after  every  annual  review.
Also, under the Science to Achieve Results
(STAR) program  all  research projects  are
selected  for funding  through  a  rigorous
competitive  external  peer  review  process
designed to ensure  that only  the  highest
quality efforts  receive  funding support.  In
addition, EPA's scientific and technical work
products must  undergo either  internal or
external peer review, with major or significant
products requiring external peer review.  The
Agency's   Peer   Review  Handbook   (2nd
Edition) codifies procedures and guidance for
conducting  peer review.  EPA will  explore
using existing  personnel authority or  seek
new authority  to  recruit and retain talented
research  scientists  that  EPA  might   not
otherwise be able to attract.

    Today's   environmental    innovations
extend beyond  scientific and technological
advances; they also include new policies and
management tools that respond  to changing
conditions  and needs.  Examples  include
market-based  incentives  that   provide  an
economic    benefit    for    environmental
improvement, regulatory flexibility  that gives
companies  more discretion in how  specific
goals are met,  and disclosure of information
about environmental performance. As a result
of these and other innovations,  the nation's
environmental protection system is evolving.
EPA's focus is on creating a  system that is
more  efficient  and  effective  and  more
inclusive of all elements of society.

Means and Strategy

    EPA is  continuing to ensure that it is a
source  of  strong  scientific  and  technical
                                         8-2

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk, and Greater Innovation to Address
                         Environmental Problems
information, and that it is on the leading edge
of environmental protection innovations that
will  allow  achievement  of our  strategic
objectives.  The Agency consults a number of
expert sources, both internally and externally,
and uses several deliberative steps in planning
its research programs. As a starting point, the
Agency draws input from the draft Ecosystem
Protection Multi-year Plan,  the EPA Strategic
Plan, available research plans, EPA program
offices  and  Regions,   Federal  research
partners,  and outside  peer advisory  bodies
such as the Science Advisory Board  (SAB)
and others.   Agency teams that prioritize
research areas  by examining risk and other
factors  such  as  National  Science  and
Technology   Council   (NSTC)  research,
involved  with  development priorities, client
office priorities, court orders, and legislative
mandates use this  input internally.   EPA's
research    program  will   increase    our
understanding of environmental processes and
our capability to assess environmental risks to
both human health and ecosystems.

    In  the  area  of ecosystem protection
research, EPA will strive to establish baseline
conditions   from   which   changes,   and
ultimately trends, in the ecological condition
of the  Nation's aquatic ecosystems can be
confidently documented, and from which the
results of environmental management policies
can be  evaluated  at regional scales. This
ability  to  demonstrate success or failure  of
increasingly flexible watershed management
policies, regionally  and nationally, is of great
importance.    Also  in  FY 2004,   EPA's
ecosystem protection research methods  will
continue   to  focus   on  Environmental
Monitoring   and   Assessment   Program
(EMAP), which includes the National Coastal
Assessment (Coastal 2000), Western EMAP,
Central  Basin, work in landscape ecology,
and   programs  to  develop   and  refine
environmental  indicators.   These programs
will  provide water resource managers with
tools necessary to measure status and trends
in the  condition  of the  Nation's  rivers,
streams,  and  estuaries  and to measure  the
impacts of management decisions. This work
is an important  step toward  providing  the
scientific understanding  to  measure, model,
maintain,  and  restore  the  integrity  and
sustainability of ecosystems.

   The  Agency's  leadership  role   in
protecting both human and ecosystem health
requires  that  the  Agency  continue  to  be
vigilant  in   identifying   and   addressing
emerging issues.    EPA  will  continue  to
enhance  its  capabilities   to   anticipate,
understand,     and    respond    to   future
environmental  developments.     EPA  will
address  these  uncertainties by  conducting
research in  areas that combine human health
and  ecological considerations.   Continued
research in  the areas  of endocrine disrupting
chemicals and  mercury is leading toward  the
development of improved methodologies  for
integrated human health  and  environmental
risk assessment and sound approaches for risk
management.  While EPA has  long benefited
from  studies needed to reduce, refine, and
replace  test  methods,   the Computational
Toxicology   program will  enable  EPA  to
demonstrate how to reduce the cost and use of
animal testing to  a  far greater extent  by
prioritizing  data requirements.   In FY 2004,
EPA will develop a computational toxicology
research strategy that will help fill major data
gaps for a large number of  chemicals  for
testing programs  and reduce the  cost and use
                                         8-3

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk, and Greater Innovation to Address
                          Environmental Problems
of animal testing. This work will improve the
validity of existing and proposed  chemical
testing  programs   through   computational
toxicology research, which integrates modern
computing  with advances in  genomics  to
develop  alternatives to  traditional  animal
testing approaches.  EPA  will also conduct
research to enhance its capacity to evaluate
the  economic  costs and benefits and other
social  impacts of  environmental  policies.
These  efforts,  undertaken in  concert  with
other   agencies, will   result   in  improved
methods  to  assess economic  costs  and
benefits,   such  as  improved   economic
assessments   of  land   use   policies  and
improved  assessments  for the valuation  of
children's health,  as  well as other social
impacts of environmental decision-making.

   The Agency also seeks to characterize,
prevent, and clean up contaminants associated
with   high-priority  human   health  and
environmental    problems   through    the
development  and verification  of improved
environmental  tools and technologies.  EPA
will   incorporate  a holistic   approach  to
pollution  prevention   by  assessing   the
interaction  of  multiple stressors  that  may
threaten  human health and  environmental
quality, and  by  developing   cost-effective
responses to those  stressors.   Research will
also   explore   the  principles  governing
sustainable  systems and  the  integration  of
social,   economic,    and   environmental
objectives in  environmental assessment and
management.   Emphasis will  be placed on
developing    and   assessing   preventive
approaches for industries  and communities
having difficulty meeting pollution standards.
In a broader context, the pollution prevention
research  program  will continue expanding
beyond its traditional focus on the industrial
sectors to other sectors (e.g., municipal) and
ecosystems.

   In  FY   2004,  EPA  will improve  its
regulatory and policy development process.
The  Agency  will   strengthen the  policy
analysis and use of  science supporting key
regulatory   and   non-regulatory    actions,
improve  the  economic analysis  underlying
Agency actions, and  improve the regulatory
and policy  action  information management
system.

   EPA  is  continuing to ensure that it is  a
source  of  sound  scientific  and  technical
information, and that it is on the leading edge
of environmental protection innovations that
will  allow  achievement  of  our  strategic
objectives.    Also,  in  FY  2004,  EPA  is
requesting resources for the newly established
Science Advisor. The Science Advisor will be
responsible  for ensuring the  availability and
use of the  best science to support  Agency
policies and decisions, as well as advising the
EPA administrator on science and technology
issues  and  their  relationship  to   Agency
policies,  procedures, and decisions.   The
Science Advisor's office will require a small
cadre  of senior  staff to promote  effective
partnerships  with   EPA   Programs   and
Regions,  assist  them  in their  efforts  to
strengthen   environmental    science,   and
provide for timely  and  open communication
on critical science  matters.   In addition, the
Agency consults a number of expert sources,
both internal and  external, and uses several
deliberative  steps  in planning  its  research
programs.  As a starting point, the  Agency
draws  input from  the  EPA  Strategic  Plan,
available research plans, program offices and
                                         8-4

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk,  and Greater Innovation to Address
                          Environmental Problems
Regions,  Federal  research  partners,   and
outside  peer advisory  bodies such  as  the
Science Advisory Board  (SAB) and  others.
The agency is also taking a number of steps to
attract  and maintain  a  high quality, diverse
scientific workforce.  EPA will explore using
existing  personnel authority or  seek  new
authority  to  recruit  and   retain talented
research  scientists  thaSt  EPA  might  not
otherwise be able to attract.

   The Agency also seeks  to develop  and
verify  improved tools, methodologies,  and
technologies   for    modeling,   measuring,
characterizing,  preventing,  controlling,  and
cleaning  up  contaminants  associated  with
high priority human health and environmental
problems.  In  order to do this,  EPA will
develop,  evaluate,  and deliver technologies
and approaches that  eliminate, minimize, or
control  high-risk pollutants  from multiple
sectors.     Emphasis  will   be  placed  on
preventive  approaches for  industries   and
communities   having  difficulty  meeting
control/emi s si on/effluent standards.

   EPA's strategy for solving environmental
problems  and  improving  our  system  of
environmental      protection      includes
developing,        implementing        and
institutionalizing    new     policy    tools,
collaborative  community-based and  sector-
based   strategies,  and  the  capacity   to
experiment, test, and disseminate  innovative
ideas  that result  in better  environmental
outcomes.  In  each area,  EPA is  looking to
advance the application of the innovative tool
or approach by promoting broader testing into
our system of environmental protection and to
support   collaborative   partnerships   for
environmental   management   based   upon
prudent analysis and decision methodologies.
For example,  EPA's  Sector  Program  Plan
2001-2005  sets forth  a vision and specific
actions  to  enhance  the   effectiveness  of
innovative sector activities (at the Federal and
State  levels) and  to  fully integrate sector
approaches into the Agency's overall mission
and  core  programs.    Similarly,  EPA is
strengthening  its   capacity   to  evaluate
innovative approaches and make institutional
changes that adopt successful innovations.

   EPA's  community-based approach  aims
to provide integrated assessment tools  and
information  and   direct  assistance   for
environmental  protection in partnership  with
local,  State, and Tribal governments.   The
work  focuses  on building the capacity of
communities   to   work   effectively   at
identifying and solving environmental issues
in ways that support healthy local economies
and improved quality of life.

   Sector strategies complement current EPA
activities by allowing the Agency to approach
issues more holistically; tailor efforts to the
particular  characteristics  of  each  sector;
identify related groups of stakeholders  with
interest  in a set of issues; link EPA's efforts
with those  of other agencies;  and craft new
approaches to environmental protection.  EPA
is building  on successful experiences from its
current  sector-based  programs such  as the
Sustainable Industries Partnership Programs,
Design for the Environment, and sector-based
compliance assistance programs to expand the
ways  in which the Agency  is working in
partnership with industry sectors to meet high
environmental   standards   using  flexible,
innovative  approaches.    These  innovative
programs   foster   the   development   of
                                         8-5

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk,  and Greater Innovation to Address
                          Environmental Problems
innovations  at the  industry  sector  level,
testing new regulatory  ideas, technologies,
tools,  and  incentives  in  non-adversarial
settings.  In a somewhat related effort, EPA is
exploring the potential for broader use of a
sector-based  regulatory  model  for  small
businesses   that   was   developed    by
Massachusetts.

Highlights

Research for Ecosystem Assessment and
Restoration

   In order to balance the growth of human
activity   with   the   need  to  protect  the
environment, it is important to understand the
current   condition  of   ecosystems,  what
stressors  are changing that condition, what the
effects are of those changes, and what can be
done to prevent, mitigate, or adapt to those
changes.   In  FY 2004,  the  Environmental
Monitoring    and    Assessment   Program
(EMAP)  will  continue  to   be  a  major
contributor to EPA's environmental indicators
report and will be instrumental in improving
State contributions to the Agency's bi-annual
report to Congress on the  condition of the
Nation's  waters.  Included within EMAP is
the Western EMAP  (a.k.a.  Western Pilot),
which continues the study of streams in the
Western U.S.,  and will begin focused studies
in selected  estuarine  and  near-shore sites.
Regional EMAP projects (R-EMAP) in FY
2004 are high  priority activities for Regional
Offices   because   they   will    provide
opportunities for EPA's  Regions to test new
technologies and work directly with State and
academic   partners.       The   Regional
Vulnerability  Assessment  (ReVA)  program
further supports the needs of  programs  and
Regions using information from EMAP  and
other  sources to  demonstrate an approach to
Regional-scale  assessment  that  efficiently
informs decision-makers.  Another aspect of
EMAP  extends  to  the  large rivers  of the
Mississippi River Basin (the Central Basin).
Through  cooperative  programs  with  the
Regions, States,  Tribes,  and other  Federal
agencies in the Central Basin, EPA proposes
to fill  remaining scientific  gaps (indicators,
sampling design, and sampling methodology)
currently limiting our ability to  measure the
condition of large rivers. These approaches
and   technologies   developed   will    be
transferred to the many responsible parties to
help  inform  environmental   management
decisions affecting these rivers as well as the
Gulf  of Mexico.   Furthermore,  landscape
ecology research will  focus  on  improving
estimates of the effects of land-based stressors
on aquatic, estuarine, wetland, terrestrial, and
landscape conditions.

   In FY 2004  the Agency will  strengthen
the initiative for Invasive Species Great Lakes
research.  The   research   will    focus   on
developing innovative monitoring approaches
and models to predict the spread  of aquatic
invasive species, and on identifying  habitats
and  regions  at  risk to invasive  species.
Successful rapid  response requires both early
detection of new invaders and a prediction of
their spread based on the patterns of invasion
vectors  (e.g.,  shipping)  and  the inherent
vulnerability  of different   ecosystems  to
invasion.   To  date,  monitoring  for  water
quality (e.g., 305b Clean Water Act), early
detection of invasive species, predicting the
spread of invasive species, and predicting the
vulnerability of ecosystems to invasions have
largely been disjunct activities.  The overall
                                         8-6

-------
       Goal 8:  Sound Science, Improved Understanding of
     Environmental Risk, and Greater Innovation to Address
                         Environmental Problems
goal of this initiative is to develop integrated
methods  of  detecting and  predicting  the
spread of new invasive species introduced
into the Great Lakes.

Research for Human Health Risk
Assessment

    In order to improve the scientific basis for
identifying,  characterizing,   assessing,  and
managing  environmental exposures that can
pose the greatest health risks to the American
public, EPA is committed to developing and
verifying innovative methods and models for
assessing   the  susceptibilities   of   sub-
populations, such as children and the elderly,
to environmental toxins. Since many of the
current   human  health   risk   assessment
methods, models, and databases are based on
environmental risks for adults, efforts under
this  goal are primarily aimed at  enhancing
current  risk  assessment  and management
strategies and guidance to better consider risk
determination  needs for children.   In FY
2004, research  will focus on reducing  the
uncertainty  in  EPA  risk   assessments  for
children through collection  and analysis of
data on  children's exposures and identifying
critical data gaps in conducting cumulative
risk assessments.   This information will be
useful in  determining whether  children  are
more susceptible to environmental risks than
adults and how to better assess potential risks
to children.

    EPA's   Children's  Health  Research
Program will continue to play a critical role in
shaping how the Agency addresses children's
environmental health issues.  The Agency will
work on  guidance  for  conducting  risk
assessments for children.  The guidance will
address  issues such as critical windows  of
vulnerability (by organ system and endpoint),
mechanisms   of   action,   and   use   of
pharmacokinetic  data  and  models  in risk
assessments.   In 2004, EPA will deliver  an
updated  Child-Specific   Exposure  Factors
Handbook to be used throughout the scientific
community, including government, academia,
and the private sector. EPA will also enhance
its efforts in Asthma research. Research will
examine the toxic  effects of aldehydes and
bioaerosols on children's lung function.

   The Agency will continue its participation
with the Department of Health  and Human
Services in the  National Children's  Study
(NCS).  In FY 2004, EPA  will:  1) develop
and test sampling methods for cost-effective
measurement of environmental agents in air,
water, soil, food, and indoor  environments;  2)
develop and test methods to collect biological
samples from, and  test for effects in, infants
and   children;   3)   develop    and   test
questionnaires that  elicit information through
questions,  that are accurate surrogates  of
exposure and effects measurements; and  4)
develop methods to identify highly-exposed
and  symptomatic   individuals   for   over-
sampling.

   In FY 2004, EPA will  deliver a restricted-
access   database   of  EPA  experts   with
knowledge,  expertise,  and  experience  to
rapidly assess health and  ecological impacts
focused  on  safe  buildings   and  rapid risk
assessment  as  a  part   of the  Agency's
Homeland Security efforts.  The goal of this
effort is make available  key EPA  staff and
managers who might be called upon to rapidly
assess the impacts of a significant terrorist
event.
                                         8-7

-------
       Goal 8:  Sound Science, Improved Understanding of
    Environmental Risk, and Greater Innovation to Address
                         Environmental Problems
   Lastly,  research   in   support  of  the
Agency's  annual  State of the  Environment
Report will move EPA beyond its historic
reliance on output indicators (e.g., decreased
emissions/discharges;  increased  facilities in
compliance) to more direct outcome measures
(e.g., improved ecological conditions, reduced
human  exposures,   reduced   illness   and
disease).

Research to Enhance Environmental
Decision Making

   In recent years, EPA has begun to move
beyond environmental regulation to anticipate
and prevent potential  problems before they
evolve into major concerns.   In FY 2004,
research will  focus on:  1) improving  our
understanding  of  the  impacts  of potential
exposure   to   environmental    pollutants,
particularly endocrine disrupting chemicals
(EDCs) and mercury; 2) human health and the
environment; and 3) developing approaches to
reduce human health  and ecological risks.
This  research  will   result  in  accessible
methodologies  for combined human  health
and ecological  risk assessments. New work
in  FY   2004   includes:   Computational
Toxicology to  enhance the risk assessment
process for EDCs; multi-pollutant research to
support the reduction of atmospheric mercury
emissions  under the President's Clear Skies
Initiative; and research to support the State of
the Environment (SOE) Report.

   The  emerging sciences  of genomics,
computational  methods,  and bioinformatics
have   created  a  new  opportunity   to
revolutionize the  science used  in chemical
risk  assessment.    In  FY  2004,  EPA  will
produce  a   peer-reviewed  Computational
Toxicology Research Strategy describing how
this  program  will  provide the  proof-of-
concept for several EPA problems involving
the  testing   requirements   for   endocrine
disrupters and  a  complex  class  of new
pesticides where   cumulative  risks  are  a
concern.   The    overall   goal    of  the
computational toxicology research program is
to develop more efficient approaches through
integration   of   modern   computing  with
advances in genomics to reveal  the sequence
of events by  which aggregate and  cumulative
exposures to chemicals can cause adverse
effects in humans and  a  large number of
natural populations and to incorporate the use
of these methods in risk assessments.

   In FY 2004, the Agency's Clear Skies
research will focus on mercury  by collecting
data   at  power  plants  to  evaluate  the
performance  of continuous emission monitors
(CEMs)  and initiate laboratory  studies to
improve EPA's understanding of atmospheric
mercury  fate and  transport.   This research
will provide  the science needed  to reduce the
uncertainties limiting the Agency's ability to
assess and manage health risks from mercury
and assist decision-makers  in  choosing the
best technology to reduce mercury emissions.

   EPA  will  also   direct special  grant
solicitations  to support  research at Minority
Institutions.  This program specifically assists
minority  institutions  in  establishing  and
supporting environmental research activities
that will build capacity to assess and solve
environmental problems. Also, in FY 2004,

-------
       Goal 8: Sound Science, Improved Understanding of
    Environmental Risk, and Greater Innovation to Address
                         Environmental Problems
EPA  will  fund  Graduate  fellowships  to
scientists   across    multiple    disciplines,
including   the   biological   and   physical
sciences, mathematics,  computer  sciences,
and engineering.  Research completed under
the  fellowship   program  helps   resolve
uncertainties   associated   with   particular
environmental problems and focuses graduate
research on priority research areas.

Research to Improve Environmental
Systems Management

   In FY 2004, the Agency will continue its
systems-based    approach   to   pollution
prevention,  which will  lead  to  a more
thorough assessment  of human health  and
environmental    risks    and    a   more
comprehensive management of those risks.
Other research in this area  will  develop
methodologies  to  better convey the social,
economic,   and  environmental  costs   and
benefits  of reducing environmental  risks.
EPA will develop tools and methodologies to
prevent  pollution at  its  source  and  will
evaluate environmental  technologies through
the Environmental  Technology  Verification
(ETV) program. ETV is a voluntary, market-
based verification program for commercial-
ready technologies made up of stakeholders
who  represent diverse  interests within  the
environmental arena.  The goal  of ETV is to
verify  the  performance  characteristics  of
private-sector-developed technologies so that
purchasers,  users, and permit writers have the
information    they     need     to    make
environmentally      sound      decisions.
Technology verifications during FY 2004 will
focus on advanced monitoring;  air pollution
control;  greenhouse gas abatement;  drinking
water   systems;   and   water   protection.
Additionally,    through    the    National
Environmental   Technology   Competition
(NETC),  EPA  will recognize and  reward
innovative technologies  that produce more
effective   and  lower   cost  solutions   to
environmental problems.  In FY 2004, EPA
plans to develop competitive solicitations for
cost-effective technologies to remove arsenic
from   drinking   water  to   help   small
communities meet the new arsenic drinking
water standard.

Regulatory and Policy Development

   EPA  will  continue to  improve   its
regulatory and policy development process by
strengthening the  policy analysis  of  key
regulatory   and   non-regulatory   actions,
improving the economic analysis  underlying
Agency actions,  improving the regulatory and
policy   action   information   management
system, and  creating innovative strategies to
assist  States   in   solving  environmental
problems.

Increased Community-Based Approaches

   The Agency will  continue to  implement
Regional  Geographic Initiatives (RGI) which
enable  EPA Regional offices to partner with
States,     local     governments,     private
organizations,   and    others   to   solve
environmental problems that are of particular
local concern to the Regions and States.

Science Advisory Board Peer Review and
Consultations

   In FY 2004, the Agency will increase its
support  for  activities,  principally  peer
reviews, of the SAB, which aims  to provide
                                        8-9

-------
       Goal 8:  Sound Science, Improved Understanding of
    Environmental Risk, and Greater Innovation to Address
                        Environmental Problems
independent technical advice to Congress and
the  Administrator on scientific, engineering,
and  economic  issues  that  serve  as  the
underpinnings for Agency  positions,  from
research direction to regulations.  The  SAB
helps the Agency to "do the right science" and
to use the results of that science appropriately
and   effectively   in  making   regulatory
decisions.   In so doing,  the  SAB  aims  to
promote sound science within the Agency and
a wider recognition  of the quality of that
science outside the Agency.  In this regard,
the  SAB  is active  in  consulting with the
Agency  on  how  to  incorporate  science
appropriately and effectively  into the  new
approaches  the  Agency is  using to  make
environmental decisions.
External Factors

   Strong science is predicated on the desire
of the  Agency to make human health and
environmental  decisions  based  on  high-
quality  scientific data and information.  This
challenges the Agency to perform and apply
the best available science  and  technical
analyses  when   addressing   health  and
environmental problems that adversely impact
the United States.  Such a challenge moves
the Agency to a more integrated, efficient,
and effective approach of reducing risks.  As
long as sound science is a central tenant for
actions  taken  by  the Agency, then  external
factors  will have a minimal impact on the
goal.
                                      8-10

-------
Goal 9:
A Credible Deterrent to
Pollution and Greater
Compliance with the Law

-------
This page intentionally left blank

-------
        Goal 9:  A  Credible Deterrent to Pollution  and
                  Greater Compliance with the Law
Strategic Goal: EPA will ensure full compliance with laws intended to protect human health
and the environment.
                                   Resource Summary
                                         ($ in 000)
\ y
^^—^
5.6% of Budget
Increase Compliance Through
Enforcement.
Promote Compliance Through
Incentives and Assistance.

FY 2003
President's
Budget
$346,591
$55,872
$402,463
FY2004
President's
Request
$372,173
$58,387
$430,561

Difference
$25,583
$2,515
$28,098
Workyears
2,330.7
2,480.4
150.0
Background and Context

   Protecting   public   health  and   the
environment from risks posed by violations of
Federal environmental requirements is basic
to EPA's mission. EPA's compliance  and
enforcement   program   has   been   the
centerpiece of efforts to ensure compliance,
and has achieved significant improvements in
human health and the environment. Access to
information    about    compliance    with
environmental  regulations and its impact on
environmental  conditions and human health
helps  inform   decision making  of  both
regulators  and the public in  assessing the
general environmental health of communities.
     Many of the environmental improvements
  in this country during the past 30 years can be
  attributed to a strong set of environmental
  laws and EPA's efforts to ensure compliance
  with  those laws  using  tools  including
  enforcement,    compliance   monitoring,
  compliance  assistance,   and  compliance
  incentives.  The combination of these tools, in
  cooperation  with  our regulatory  partners,
  provide a broad scope of actions designed to
  bring about the protection of public health and
  the environment.
                                      9-1

-------
  Goal 9: A Credible Deterrent to Pollution and Greater
                        Compliance with the Law
Means and Strategies

   Due  to  the breadth  and  diversity  of
private,  public,   and   Federal   facilities
regulated by EPA under various statutes, the
Agency  must  target its  enforcement  and
compliance assurance activities strategically
to address the most significant risks to human
health and the environment and to ensure that
certain   populations   do   not   bear   a
disproportionate environmental  burden.   A
strong  enforcement program identifies  and
reduces noncompliance problems,  assists the
regulated   community   in   understanding
environmental laws and regulations, responds
to complaints  from  the public,  strives to
secure  a level economic playing field for law-
abiding  companies,   and   deters   future
violations.   EPA's  continued  enforcement
efforts   will  be strengthened  through  the
development of measures to assess the impact
of  enforcement  activities  and  assist  in
targeting areas that pose the  greatest risks to
human  health  or the environment, display
patterns  of  noncompliance,  and  include
disproportionately    exposed   populations.
Further, EPA cooperates with States and other
nations to  enforce  and  ensure  compliance
with cross-border environmental regulations.

   The Agency reviews and  evaluates the
activities  of the regulated  community  to
determine compliance with applicable laws,
regulations, permit conditions and settlement
agreements  and   to   determine   whether
conditions    presenting   imminent    and
substantial endangerment exist. The majority
of   workyears   devoted   to   compliance
monitoring are  provided to the regions to
conduct investigations and on-site inspections
including monitoring, sampling and emissions
testing.  Compliance monitoring activities are
both environmental media- and sector-based.
The   traditional  media-based   inspections
compliment  those performed  by States  and
Tribes and are a key part of our  strategy for
meeting  the long-term  and  annual  goals
established for the air, water, pesticides, toxic
substances,     and     hazardous    waste
environmental goals included in the EPA
Strategic Plan.

   In  addition,  the  EPA's  enforcement
program  supports the environmental justice
efforts by focusing  enforcement  actions  and
criminal investigations on industries that have
repeatedly violated   environmental  laws  in
minority and/or low-income areas.

   The   Agency's    enforcement    and
compliance   assurance    program    uses
compliance assistance and incentive  tools to
encourage   compliance   with    regulatory
requirements and reduce adverse public health
and  environmental  problems.   To  achieve
compliance,  the regulated community must
understand its regulatory obligations and how
to comply  with  those  obligations.   EPA
supports   the   regulated  communities  by
assuring   that   requirements  are   clearly
understood and  by helping industry  discover
cost-effective options to comply through the
use of pollution prevention and innovative
technologies.    EPA  also   enables  other
assistance providers  (e.g., States, universities)
to provide  compliance  information  to  the
regulated community. Maximum compliance
requires the active  efforts  of the regulated
community  to  police  itself.    EPA  will
continue   to   investigate   options   for
encouraging     self-directed   audits    and
disclosure;  measure  and   evaluate   the
effectiveness  of   Agency   programs   in
improving    compliance   rates;   provide
                                         9-2

-------
      Goal 9: A Credible Deterrent to Pollution and Greater
                         Compliance with the Law
information and compliance assistance to the
regulated community; and develop innovative
approaches   to    meeting   environmental
standards  through  better  communication,
cooperative  approaches  and  application  of
new technologies.

    State, tribal and local governments  bear
much  of the  responsibility  for  ensuring
compliance,  and EPA works  in partnership
with them and  other  Federal  agencies  to
promote environmental protection.  EPA also
cooperates with other nations  to enforce and
ensure    compliance   with   environmental
regulations.    At  the  Federal  level,  EPA
addresses its Federal responsibilities under the
National  Environmental Policy Act (NEPA)
by  seeking remedies  for potentially  adverse
impacts of major actions taken by EPA and
other Federal agencies.

    EPA will  continue to ensure the  security
and integrity  of its compliance information
systems.   Efforts  will be  made to upgrade
computer  systems, databases,  and  tracking
systems to enable the Agency to respond to
increasing  demands  for  compliance  and
environmental information. The Agency will
greatly facilitate the exchange of compliance
and permitting information in the  National
Pollutant  Discharge  Elimination   System
(NPDES) program with the States and Tribes
through a modernized information system.

    The   Enforcement   and   Compliance
Program  will continue  to  contribute to  the
Agency-wide    Access    to    Interpretive
Documents (AID)  project.  This project is
intended  to  make  all  significant  Agency
guidance, policy  statements and site-specific
interpretations of  the  regulated  entities'
environmental    management    practices
electronically accessible to the regions, States,
industry and the public.

    The Administration's evaluation  of civil
enforcement in the PART process found that
outcomes could not easily be determined for
this program. However, with better long term
and annual  outcome performance  measures,
program  planning  could   be   adjusted  to
achieve more effective results.  Therefore, as
part of the development of the new Strategic
Plan,  both   goals  and  outcome   oriented
performance measures will be developed.  A
second finding reiterated  other evaluations
that had concerns  about data collection and
management.   As  a  result,  $5 million  is
proposed for an improved  compliance data
system.

Strategic Objectives and FY 2004
Annual Performance Goals

Increase Compliance Through
Enforcement

•   Maintain  and  improve  quality  and
    accuracy  of  EPA's  enforcement  and
    compliance      data     to     identify
    noncompliance  and  focus  on   human
    health    and   environmental   problems.
    Provide  public access to tools for using
    environmental information.

•   Improve capacity of States,  localities and
    Tribes   to  conduct  enforcement  and
    compliance programs.  Maintain a well-
    trained EPA  workforce  that can provide
    training,  technical support, assistance, and
    provide  backup inspection  support and
    expertise for  complex  inspections  done
   jointly with  States  and  Tribes to build
    capacity.
                                         9-3

-------
      Goal 9: A Credible Deterrent to Pollution and Greater
                         Compliance with the Law
•  EPA  will direct enforcement actions  to
   maximize   compliance   and   address
   environmental   and    human    health
   problems; 80% of concluded enforcement
   actions  will  require  environmental  or
   human  health improvements  such  as
   pollutant  reductions  and/or changes  in
   practices at  facilities.   In addition,  EPA
   will   require  350  million  pounds  of
   pollutants    be    reduced     through
   enforcement actions settled in FY 2004.

•  EPA will conduct 15,500 inspections, 400
   criminal  investigations,  and 225  civil
   investigations  targeted to areas that  pose
   risks to human health or the environment,
   display  patterns  of  non-compliance  or
   include    disproportionately    exposed
   populations.     In  addition,  EPA  will
   respond to public complaints in a timely
   manner.

•  Ensure    compliance     with      legal
   requirements  for  proper  handling  of
   hazardous waste imports and exports.

Promote Compliance Through Incentives
and Assistance

•  Increase   opportunities   through  new-
   targeted sector initiatives for industries to
   voluntarily  self-disclose   and    correct
   violations on a corporate-wide basis.

•  Promote   the  use  of  Environmental
   Management Systems (EMS) to address
   known   compliance   and  performance
   problems.

•  Increase   the  regulated   community's
   compliance     with      environmental
   requirements through expanded use  of
   compliance assistance.  The Agency will
   continue to  support  the development of
   new compliance  assistance centers  and
   develop compliance assistance tools such
   as compliance guides for new rules.

Highlights

Environmental Enforcement

   The  civil  and  criminal   enforcement
program, in contributing to EPA's mission to
protect  public health  and the environment,
aims to level the economic playing  field by
ensuring that violators  do not realize an
economic  benefit from  noncompliance  and
seeks to deter future violations.

   Coordinating its activities with the States,
EPA will continue to support  deterrence and
compliance   activities  by    focusing  its
compliance  monitoring  on site  inspections
and  investigations.     In  setting  Federal
compliance  and enforcement   priorities  and
strategic direction  of the program,   EPA
coordinates its  efforts with and solicits the
views of our States partners.    The  Agency
works  with the Environmental  Council  of
States (ECOS)  as a vehicle to advance the
coordination of efforts and to  promote joint
strategic planning  between  EPA and  the
States.

   The Agency will continue  to work with
States and  Tribes to target areas that pose
risks to human  health or the environment,
display patterns of noncompliance, or include
disproportionately   exposed    populations.
Media-specific,  industry  sector and problem-
based priorities  will  be established for the
national  program  through the  Office  of
Enforcement  and Compliance Assurance's
                                         9-4

-------
      Goal 9: A Credible Deterrent to Pollution and Greater
                         Compliance with the Law
Memorandum   of  Agreement  2004/2005
guidance, developed in conjunction with the
Regional offices.

Homeland Security

   The  Agency's  Criminal  Enforcement
program has lead responsibility within EPA
for coordinating law  enforcement  activities
and delivering environmental crimes expertise
necessary to support Federal, State, local, and
tribal  law  enforcement homeland  security
planning and operational activities.   In  FY
2004,  special agents will continue to provide
environmental  crimes  expertise  to various
Federal task forces and response teams.

State, Tribal, and International Capacity
Building

   A strong State and tribal compliance and
enforcement presence contributes to creating
deterrence and to reducing noncompliance.  In
FY 2004, the  enforcement and compliance
assurance  programs  will  work  with  and
support    State    agencies    implementing
Environmental     Management    Systems.
Members   of   the   environmental   justice
community  will have increased and improved
access to data  and information they need to
hold facilities and local government managers
accountable for meeting their goals.

Environmental Justice

   EPA's environmental justice program will
continue  education,   outreach,  and  data
availability  initiatives.  The Program provides
a  central point for the Agency to address
environmental and human health concerns in
minority  and/or low-income  communities—a
segment  of the  population that have been
disproportionately exposed to environmental
harm and risk. The program will continue to
manage the  Agency's Environmental  Justice
Community  Small Grants program that assists
community-based  organizations  that   are
working  to develop  solutions  to  local
environmental issues.

    The Agency  will continue to support the
National  Environmental  Justice Advisory
Council (NEJAC) which provides the Agency
significant input  from interested stakeholders
such   as  community-based  organizations,
business and industry, academic  institutions,
State,  Tribal and  local governments, non-
governmental       organizations       and
environmental groups. The Agency will also
continue  to  chair  an Interagency  Working
Group    (IWG)    consisting   of   eleven
departments  and agencies as well as White
House  offices to ensure that environmental
justice  concerns  are  incorporated into  all
Federal programs.

Compliance Incentives and Assistance

    EPA  will  continue  to  maintain  the
regulated  community's  compliance with
environmental     requirements     through
voluntary    compliance   incentives    and
assistance programs.    In   FY  2004,  the
compliance incentives program will continue
to implement the  policy on Incentives  for
Self-Policing, the Small Business Compliance
Policy, and the Small Communities Policy as
core  elements   of  the  enforcement   and
compliance assurance program.  Through the
compliance  assistance program  the  Agency
will provide  information  and  technical
assistance to the  regulated community  to
increase its understanding of all statutory  and
regulatory    environmental   requirements,
                                         9-5

-------
      Goal 9: A Credible Deterrent to Pollution and Greater
                          Compliance with the Law
thereby reducing risk to human health and the
environment    and   gaining   measurable
improvements  in compliance.  The  program
will  also continue  to develop strategies and
assistance tools that will improve compliance
in specific industrial and commercial sectors
or with certain regulatory requirements. The
annual Compliance Assistance Activity Plan
provides  information on planned compliance
assistance activities in the upcoming fiscal
year and will  serve as a reference for  other
assistance providers and the public on EPA's
planned tools and activities.

   In FY 2004, the Agency will continue to
support  the   sector   based  Compliance
Assistance  Centers, update the Compliance
Clearinghouse,  sponsor a Federal  advisory
committee on compliance assistance and will
continue to  develop and enhance a "Platform"
from  which to launch additional assistance
centers. In addition, EPA will begin to work
with partners to develop three new Centers.
Possible  candidates include a tribal center,
centers for  schools, and the plastics industry.
The  Centers are a  key component of EPA's
efforts to  help  small  and medium-sized
businesses and governments better understand
and  comply  with Federal  environmental
requirements.

External Factors

   The Agency enforcement and compliance
program's   ability  to   meet  its   annual
performance goals  may be  affected  by  a
number of factors.  Projected  performance
could be impacted by natural  catastrophes,
such as major  floods or significant chemical
spills, that require  a redirection of resources
to address  immediate  environmental threats.
Many of the targets are coordinated with and
predicated on the assumption that State and
tribal partners will continue or increase their
levels of enforcement and compliance work.
In addition, EPA's enforcement relies on the
Department of Justice to accept and prosecute
cases. The success of EPA's activities hinges
on  the  availability  and  applicability  of
technology and information systems.  Finally,
the  regulated  community's  willingness  to
comply  with the  law will greatly influence
EPA's ability to meet its performance goals.

   Other  factors,  such as  the  number  of
projects  subject  to  scoping  requirements
initiated  by  other  Federal  agencies,  the
number    of     draft/final    documents
(Environmental       Assessments       and
Environmental Impact Statements) submitted
to EPA for review, streamlining requirements
of the Transportation Equity  Act for the 21st
Century (TEA-21), and the responsiveness of
other Federal  agencies   to  environmental
concerns raised by EPA, may also impact the
Agency's  ability  to meet its  performance
goals.  The NEPA  Compliance workload is
driven by the number of project proposals
submitted  to  EPA  for funding  or NPDES
permits  that  require  NEPA  compliance,
including  the  Congressional  projects  for
wastewater,  water  supply and solid  waste
collection facility grants which have increased
in recent years.

   Finally, our evolving user community will
also  affect the  success of our information
efforts.  As more States and Tribes  develop
the ability to integrate their environmental
information, we must adjust EPA's systems to
ensure that we are able to receive and process
reports  from  States  and  industry   under
Agency  statutory  requirements.     Local
citizens  organizations and the public at large
                                         9-6

-------
     Goal 9: A Credible Deterrent to Pollution and Greater

                     Compliance with the Law

are   also   increasingly   involved    in
environmental  decision-making,  and  their
need for information and more  sophisticated
analytical tools is growing.
                                  9-7

-------
This page intentionally left blank

-------
Goal 1O:
Effective Management

-------
This page intentionally left blank

-------
                Goal 1O: Effective Management
Strategic Goal:  EPA will maintain the highest-quality standards for environmental leadership
and for effective internal management and fiscal responsibility by managing for results.
                                Resource Summary
                                           ($ in 000)
\w
6.1% of Budget
Provide Leadership
Manage for Results Through
Services, Policies, and Operations.
Provide Quality Work Environment.
Provide Audit, Evaluation, and
Investigative Products and Services

FY 2003
President's
Budget
$49,851
$201,231
$156,142
$53,593
$460,816
FY2004
President's
Request
$51,381
$204,814
$155,840
$56,793
$468,827
Difference
$1,530
$3,583
-$302
$3,200
$8,011
Workyears
1,942.2
1890.9
-51.3
Background and Context

   The  programs  under  this  Goal  are
designed to deliver services that enable EPA
program   offices   to   make   results-based
decisions and meet environmental protection
goals  in  a cost-effective  manner.   Sound
leadership,  proactive management of human
resources,  policy  guidance,   innovation,
quality customer  service,  consultation with
stakeholders,  results-based  planning  and
budgeting, fiscal accountability, and  careful
stewardship  of  our resources  provide the
foundation  for  everything EPA  does  to
advance the protection of human health and
the environment.
     Developing  and   carrying  out  these
  policies and services is accomplished through
  focus  on front-line customer services and
  measuring results. EPA routinely consults and
  coordinates with industries, communities and
  other  customers  and  partners to  identify
  emerging issues  and develop strategies  to
  meet shared objectives.  In addition,  work
  under   this   goal   ensures   that   EPA's
  management  systems  and  processes  are
  supported by independent evaluations that
  promote operational integrity  and program
  efficiency and effectiveness, allowing  us  to
  obtain  the   greatest   return   on  taxpayer
  investments.
                                        10-1

-------
                     Goal 10:  Effective Management
   Activities under this goal support the full
range of Agency activities for a healthy and
sustainable  environment  and  include  the
following areas:

•  Effective vision and leadership;

•  Results-based planning and budgeting;

•  Fiscal accountability;

•  Quality customer service;

•  Professional development of the Agency
   workforce;

•  Independent evaluation of Agency
   programs;

•  Investment in core infrastructure;

•  Streamlined business processes;

•  Program integrity;

•  Management of human resources;

•  Performance-based procurement.

   EPA's  strategy for  providing effective
management specifically addresses the major
challenges facing the Federal government as a
whole.  EPA's management objectives  align
closely  with  the  President's  Management
Agenda:

•  Strategic Management of Human Capital:
   The Agency's Human Capital Action Plan
   will  build on  the  work  we   have
   accomplished for FY 2002 and plan for
   FY  2003,  and implement  several  new
   initiatives,  including:  a mechanism  to
   recruit and retain talented researchers; a
   program to attract desirable  skills  and
   competencies   through   a  multi-media
   approach;   and,    targeted   electronic
   recruitment that links with one  of the
   leaders   in   private-sector   electronic
   recruitment.

•  Improved  Financial  Performance:   To
   further  strengthen  grants  management,
   EPA is developing a long-term strategic
   plan.   The Agency's five-year Strategic
   Plan for Grant's Management will focus
   on:   developing   a   skilled   grants
   management workforce; promoting grant
   competition;  enhancing  the  Agency's
   oversight   program;   and    improving
   accountability, coordination and resource
   management  of grants.    The  Agency
   continues to make  significant  progress on
   the replacement of its aging financial
   management systems, and will focus on
   completing    the     Agency    payroll
   implementation      plan,       making
   recommendations  for  replacing  EPA's
   integrated financial management system,
   and  developing  desk-top access  to  key
   cost   accounting    and   performance
   information.

•  Competitive Sourcing:  EPA  has worked
   diligently  to  implement  the Agency's
   Competitive Sourcing  Action Plan  and
   received a "green" Executive Scorecard
   progress score from OMB.  To sustain this
   progress, EPA  has formed  an Agency-
   wide team  to adopt an ongoing, strategic
   approach to Competitive Sourcing. In FY
   2004, the full-time, senior team members
   will  benchmark best practices,  identify
   candidate positions  for competition  or
   conversion,  and provide suggestions to
   better   align  future   Federal  Activity
   Inventories with the Competitive Sourcing
   process.

•  Budget   and  Performance   Integration:
   EPA   received  a  "green"   Executive
   Scorecard progress score from OMB, and
                                         10-2

-------
                     Goal 10: Effective Management
   the Agency will  continue improving the
   quality  of  its  performance  goals  and
   measures and restate them more closely to
   environmental outcomes  across its goals.
   In FY 2004, the Agency will develop new
   sources of performance data, improve the
   quality  and  usability of  existing data
   sources, and develop tools to set strategic
   priorities and track performance.

•  E-Government:   The Agency's  financial
   systems modernization initiative, which is
   framed   by  the   Agency's  Enterprise
   Architecture development efforts, is being
   designed  to  make  maximum  use  of
   enabling technologies  for e-Government,
   including   e-Grants,  e-Procurement,  e-
   Payroll, and e-Travel. (See Goal 7  for the
   full  discussion of the Agency's strategy
   for e-government issues.)

Means and Strategy

   The  Agency  will  continue  to provide
vision, leadership, policy and oversight for all
its programs and partnerships. It will employ
management   strategies   to   advance  the
protection  of  human   health   and  the
environment.  Strategies that cut  across  all
organizational  boundaries and are  imperative
to performing the Agency's mission are:

•  Developing  partnerships  with  stake-
   holders to ensure mutual goals are met;

•  Committing to manage human resources;
   foster diversity;  and work  to secure,
   develop, empower, and retain talented
   people  to  accomplish  the   Agency's
   environmental mission;
•  Promoting energy  efficiency  and  Green
   procurement,  and,  maintaining a safe,
   healthy, and productive work environment
   for EPA employees;
•  Implementing  streamlined systems  and
   processes   in   grants   and   contracts/
   management;

•  Promoting  cost-effective  investment in
   environmental   protection  and   public
   health through  sound  stewardship  and
   responsible   results-based  management.
   EPA works to achieve this goal through
   keeping  pace  with technological change,
   meeting  accounting standards, consulting
   with customers  and  stakeholders,  and
   improving delivery of services;

•  Providing  responsive  and   accountable
   management;

•  Assessing  management  challenges  and
   program  risks  identified by  Congress,
   oversight  agencies,   EPA's   Office  of
   Inspector General (OIG)  and  State  and
   Tribal partners;

•  Recognizing the special  vulnerability of
   children   to  environmental   risks  and
   facilitating the intensified  commitment to
   protect children.

   In FY 2004, the Agency will continue its
emphasis  on  the  implementation  of  the
Human  Capital Action Plan.  In addition to
improving current programs,  new  initiatives
in FY 2004 include a  focused  program to
recruit and retain talented researchers;  a pilot
outreach and  recruiting program  to  attract
desirable skills and  competencies and carried
out through  a  multi-media  approach; and,
targeted electronic recruitment that links with
one of the leaders in private-sector electronic
recruitment.   These  efforts   support  the
President's Management Agenda and provide
a  comprehensive   approach  to   managing
human capital.
                                         10-3

-------
                     Goal 10: Effective Management
   In continuing to provide  a  quality work
environment  that is energy  conscious and
values  employee safety  and  security, the
Agency   will    implement    repair   and
improvement  projects   at  several   EPA
facilities.  These  facilities provide the tools
essential  to research innovative solutions for
current and future  environmental problems
and    enhance    our    understanding   of
environmental risks. In FY 2004, EPA's goals
in this area  are  aimed  at reducing energy
consumption  at its  facilities by encouraging
the use of new and advanced technologies and
energy savings performance contracts.

   The Agency  will ensure a high level of
integrity    and   accountability    in   the
management of grants and contracts to protect
Federal funds from waste, fraud, and abuse so
taxpayers receive the  full benefit of the
government's investment in environmental
protection.   In FY 2004, the EPA will focus
on  strengthening   grants  management  by
improving monitoring and auditing of grants
management activities, which will strengthen
the Agency's ability to  ensure  that grantees
comply   with   both   administrative   and
programmatic  grant requirements.    These
efforts  support the  President's  Management
Agenda for Improved Financial Performance.

   By  building  on  the  success  of  its
integrated    planning,    budgeting,    and
accountability processes and initiatives, EPA
promotes   the    implementation   of  the
Government  Performance  and  Results Act
(GPRA)  to  ensure  sound stewardship of
Agency fiscal resources.  As part of this effort,
the Agency is improving its capabilities to use
performance  data and  other  information to
make    cost-effective     investments   for
environmental  results.   EPA   collaborates
extensively with  partners and stakeholders to
forge the partnerships  required  for  shared
approaches  to  meeting  the challenges of
GPRA. EPA consults with internal customers
on fiscal management services to meet their
needs for timeliness, efficiency and quality.

   Audit,   evaluation,   investigative,   and
advisory products and services contribute to
effective  management  by  facilitating  the
accomplishment  of the  Agency's  mission.
Specifically, audits, evaluations, and advisory
services   lead   to   improved    economy,
efficiency, and effectiveness in EPA business
practices and assist in the accomplishment of
environmental goals.   Investigations  detect
and deter fraud and other improprieties which
undermine the integrity of EPA programs and
resources.  All OIG work is focused on the
anticipated value it will  have on influencing
resolution of the Agency's major management
challenges,   reducing    risk,    improving
management and program  operations,  and
saving taxpayer dollars while leading to the
attainment of EPA's strategic goals.

   The Agency will continue its commitment
to protect  children's  health by   targeting
resources towards activities that  will ensure
that the decisions and  actions taken by the
Agency consider risks to children, including
working   to   develop    sound    scientific
information  to  provide  the basis  for these
decisions and actions.  The Agency will  also
provide policy  direction  and guidance  on
equal   employment   opportunity  and  civil
rights.  The Agency's  Administrative Law
Judges and its Environmental Appeals Board
Judges will  issue decisions on administrative
complaints and environmental adjudications,
respectively, in a timely manner.
                                         10-4

-------
                     Goal 10:  Effective Management
Strategic Objectives and FY 2004
Annual Performance Goals

Manage for Results Through Services,
Policies, and Operations

•   Strengthen EPA's management services in
    support of the Agency's  mission while
    addressing the challenges included in the
    President's Management Agenda.

Provide Quality Work Environment

•   EPA  will  achieve   a  16%   energy
    consumption reduction from 1990 in its
    21  laboratories which is  in line  to meet
    the 2005 requirement of a 20% reduction
    from the 1990 base. This includes Green
    Power purchases.

Highlights

    In support  of the President's Management
Agenda, the Agency will build on on-going
efforts  to  strategically manage  its  human
capital action  plan.  In FY 2004, EPA will
focus on  several  key several  key  human
capital  initiatives;  the  Senior Executive
Service  (SES)   Candidate   Development
Program,     Management     Development
Program,  and New   Skills/New   Options
Development Program.  The Agency  plans to
hire 20  additional  interns using the EPA
Intern Program and will enroll 50 candidates
in the SES  Candidate Development Program.
These programs constitute key components in
Investing in Our People, EPA 's Strategy for
Human Capital, and address Agency concerns
over  the  potential  loss  of  leadership,
institutional    knowledge    and    senior
management expertise.
   The   Agency    is    committed   to
strengthening grants management and moving
toward a green light  in improved  financial
performance    under    the     President's
Management Agenda.   In FY  2004,  EPA's
efforts will focus on post-award monitoring,
including managing the administrative on-site
review  contractors,   analyzing  trends  in
grantee  noncompliance,   conducting  desk
reviews, and identifying potential candidates
for on-site reviews.  In addition, the Agency
will implement its five-year strategic plan for
grant's management and work via the Grant
Competition advocate  to  ensure compliance
with   the  new  EPA   Order  on  Grant
Competition.

   Agency management provides vision and
leadership, and conducts policy oversight for
all Agency programs.   Sound management
principles, practices,  results-based  planning
and budgeting,  fiscal  accountability,  quality
customer service,  rational  policy  guidance
and careful stewardship of our  resources are
the foundation for everything EPA does to
advance the  protection of human health and
the environment. The effectiveness of EPA's
management systems, polices and procedures
will   determine,  in   large  measure,  how
successful we will be  in pursuit of  the other
goals identified in the Agency's annual plan.

   In  FY  2004,  EPA will  build  on its
progress in linking resources to environmental
results through goal-based fiscal  resource
management. The Agency will provide more
useful   cost  accounting  information   for
environmental  decision-making.  EPA  will
make   continued progress  in  assessing  the
environmental   results   of  its   program
activities. Highlights of expected Agency FY
2004  achievements in  effective management
are:
                                         10-5

-------
                     Goal 10: Effective Management
•  Expand Agency and State partner capacity
   to manage for results through support for
   the improvement of the quality and use of
   performance measures.

•  Meet new Federal requirements for timely
   financial information and maintenance of
   a  clean  audit  opinion on  the  Agency's
   financial  statements to demonstrate  the
   highest caliber of  resource stewardship
   and  the  credibility  and  reliability of
   Agency financial information.

•  Continue  efforts  to provide  decision-
   makers   with  integrated   cost   and
   performance   information   to   support
   results-based management  and  progress
   on environmental  priorities.   FY 2004
   efforts will focus on:

   -   continued implementation  phases for
       replacing EPA's integrated financial
       management system;
   -   further  development   of   desk-top
       access  to  key  cost accounting  and
       performance information;
   -   continue improvement of the delivery
       of   core    financial    management
       customer services;
   -   provide Agency decision-makers with
       useful,   reliable,  and  timely  cost
       information  associated  with  key
       results-based           environmental
       information;
   -   further  integration  of   cost  and
       performance information.

   The  OIG  will conduct  and  supervise
independent and objective audits, evaluations,
and   investigations  relating   to  Agency
management  and  program operations,  and
will provide advisory and assistance services.
The   OIG  will  also  review  and  make
recommendations  regarding   existing  and
proposed    legislation    and   regulations
impacting the Agency. In addition, program
evaluations/audits and four other types of
audits will be conducted: contract,  assistance
agreement, financial  statement, and systems
audits.  Four types of investigations will be
performed:  program  integrity,   assistance
agreement,  contract  and  procurement,  and
employee integrity.

   The  OIG  Computer  Crimes  Unit  will
conduct investigations of computer intrusions,
support the  OIG and Agency personnel  as a
Penetration Testing laboratory, and provide a
Forensics laboratory  to  assist with  OIG
investigations.  Further, the OIG will receive,
analyze,  and  facilitate  the   resolution of
citizens'   complaints   regarding   Agency
programs and   activities   as   part of  the
ombudsman  function.   Combined,  these
activities promote economy,  efficiency,  and
effectiveness within the Agency, prevent and
detect fraud, waste, and abuse, and  contribute
to improved environmental quality and  human
health.    The  OIG  will  keep  the  EPA
Administrator and Congress informed fully of
problems  and   deficiencies   identified in
Agency management and program operations
and the necessity for corrective actions.

   EPA will  continue  its  commitment to
protect children's health.  The Agency  will
direct  resources toward  the  programs  that
reduce risks to children  from  a  range of
environmental hazards. In 2004, the Agency
will  continue  to  work  to  decrease  the
frequency and severity of asthma  attacks in
children through reduction and avoidance of
key asthma triggers, including environmental
tobacco  smoke, prevalent indoor allergens
and ambient air pollution.  The Agency  will
                                         10-6

-------
                     Goal 10: Effective Management
continue efforts to reduce children's exposure
to lead, particularly in low income minority
neighborhoods, where children living in older
housing are much more likely to be exposed
to lead.

External Factors

   EPA  would  be   affected   by   limited
availability of environmental data required to
measure results and make decisions relating
resources to results.
    The ability of  the  Office  of Inspector
General to accomplish its annual performance
goals is  dependent,  in part,  on  external
factors.     Indictments,   convictions,  fines,
restitutions, civil recoveries, suspensions, and
debarments  are  affected by  the  actions of
others (e.g., the  Department of Justice).  In
addition, the prosecutive criteria  established
within   various  jurisdictions  (e.g.,  dollar
thresholds)  can   affect  the  number  of
investigative cases.
                                         10-7

-------
This page intentionally left blank

-------
Appendices

-------
This page intentionally left blank

-------
                   Categorical Grants Program
                                  (dollars in millions)
                                                                     $1,158
                                                                            $1,202
                                                             $1,074
                                                      $1,006
                                        $880   $885
                                $745
   $643
$665
       $645
                          674-
   1994   1995  1996   1997   1998   1999   2000  2001   2002   2003  2004
   In 2004, the President's Budget requests a
total  of $1,203 million for 24 "categorical"
program   grants   for   State   and   tribal
governments.     This  is  an  increase  of
$44million over 2003.  EPA will continue to
pursue its strategy of building and supporting
State, local and Tribal capacity to implement,
operate,   and   enforce   the    Nation's
environmental  laws.    Most  environmental
laws envision establishment of a decentralized
nationwide structure to  protect public health
and   the  environment.    In  this  way,
environmental   goals  will  ultimately  be
achieved through the actions, programs, and
commitments  of State,  Tribal  and  local
governments, organizations and citizens.
                                     In 2004,  EPA will  continue to  offer
                                  flexibility to State and Tribal governments to
                                  manage their environmental programs as well
                                  as provide technical and financial assistance
                                  to achieve mutual environmental goals.  First,
                                  EPA and its  State and Tribal partners will
                                  continue    implementing   the   National
                                  Environmental   Performance   Partnership
                                  System (NEPPS).  NEPPS is designed to
                                  allow States more flexibility to operate their
                                  programs,   while  increasing  emphasis  on
                                  measuring  and   reporting   environmental
                                  improvements.     Second,     Performance
                                  Partnership  Grants (PPGs) will  continue to
                                  allow States and Tribes  funding flexibility to
                                  combine  categorical  program   grants  to
                                  address environmental priorities.
                                        A-l

-------
                        Categorical Grants Program
Highlights:

Air State and Local Assistance
   In 2004, the President's Budget requests
$248  million  for  Air  State  and  Local
Assistance grants to support State,  local, and
Tribal   air  programs   as   well   as  radon
programs. This is an increase of $7 million
over 2003 request levels.  This increase will
be  dedicated  to expanding the  air  toxics
monitoring network.

Enforcement State Grants
   In 2004, the President's Budget includes
$27   million   to   build   environmental
partnerships with  States and  Tribes and  to
strengthen    their   ability    to    address
environmental and public health threats.  The
enforcement State grants request consists  of
$20 million for Pesticides Enforcement, $5
million  for  Toxic  Substances Enforcement
Grants,  and  $2 million for Sector Grants.
State and Tribal  enforcement  grants will be
awarded to  assist in the implementation  of
compliance and enforcement provisions of the
Toxic Substances  Control  Act (TSCA) and
the  Federal  Insecticide,   Fungicide,   and
Rodenticide Act  (FIFRA).   These  grants
support  State and Tribal compliance activities
to protect  the  environment  from harmful
chemicals and pesticides.

   Under the Pesticides Enforcement Grant
program, EPA  provides resources to States
and  Indian   Tribes   to   conduct  FIFRA
compliance inspections  and take appropriate
enforcement actions and implement programs
for farm worker protection.  Under the Toxic
Substances Compliance Grant program, States
receive funding for compliance inspections of
asbestos  and   polychlorinated   biphenyls
(PCBs)  and for implementation  of the State
lead abatement  enforcement program.   The
funds will complement other Federal program
grants  for  building  State capacity  for  lead
abatement,  and  enhancing compliance  with
disclosure,    certification    and   training
requirements.

Exchange Network
    In 2004, the President's Budget requests
$25  million to  continue a grant program,
started in 2002,  that will provide States and
Tribes  assistance to develop  the Exchange
Network.   This  grant program will  support
State and Tribal efforts to complete necessary
changes  to their  information management
systems  to   facilitate   participation,  and
enhance State information integration efforts.
The  Exchange  Network   will   improve
environmental  decision making, improve data
quality  and  accuracy,  ensure  security  of
sensitive data, and reduce the burden on those
who  provide   and  those   who   access
information.

Brownfields State and Tribal Grants
    In 2004, the President's Budget requests
$60  million, an increase of $10 million  over
2003,  to  continue  the  Brownfields  grant
program that provides assistance to States and
Tribes to develop and enhance their State and
Tribal response programs. EPA believes that
further  enhancement of  State  and  Tribal
programs will  complement efforts to address
the assessment and  cleanup  of Brownfields
properties.

Water Pollution Control (Clean Water Act
Section 106) Grants
    In 2004, the President's Budget requests
$200 million  for  Water Pollution  Control
grants, an increase of $20 million over 2003.
This increase will help States  and Tribes fill
critical  gaps  in meeting  their basic Clean
Water  Act responsibilities.   The additional
funding will support a mixture of activities,
depending  on  individual   States'   needs,
                                          A-2

-------
                        Categorical Grants Program
including  water   quality  monitoring  and
assessment,  standards   development,  Total
Maximum Daily Load (TMDL) development,
and National Pollutant Discharge Elimination
System (NPDES) permitting.

Wetlands
   In 2004, the President's Budget requests
$20 million for Wetlands Program Grants, an
increase   of   $5   million   over   2003.
Specifically, this increase will enhance States'
efforts to protect wetlands and other waters no
longer under   protection   due  to  a 2001
Supreme Court decision and help States and
Tribes   assume    more   decision-making
authority.

Public Water System Supervision Grants
   In 2004, the President's Budget requests
$105  for Public Water System  Supervision
(PWSS) grants, an increase of $12  million
over 2003.  This funding level will enhance
State  and Tribal capacity to assist drinking
water systems  in the implementation of high
priority  drinking  water regulations,  and to
meet public health goals.

Indian General Assistance Program Grants
   In 2004, the President's Budget requests
$63   million   for  the   Indian  General
Assistance Program (GAP), an increase of $5
million over 2003.   This  increase will help
Federally recognized Tribes and  inter-tribal
consortia develop and assume environmental
programs.

Homeland Security
   In 2004, the President's Budget requests
$5 million  for homeland  security grants to
support States' efforts to work with drinking
water and wastewater systems to develop and
enhance emergency operations plans; conduct
training in  the implementation of remedial
plans  in  small  systems;  and,  develop
detection,   monitoring    and    treatment
technology  to enhance  drinking  water  and
wastewater security.

Elimination of  Tribal  Cap  on  Non-Point
Sources
   In  2004,  the  President's  Budget  is
proposing to eliminate the statutory one-third-
of-one-percent  cap  on  Clean Water  Act
Section 319 Nonpoint Source Pollution grants
that  may be  awarded  to Tribes.  Tribes
applying  for and receiving Section 319 grants
have steadily increased from two  in 1991 to
over 70 in 2001.  This proposal recognizes the
increasing demand for resources  to address
Tribal nonpoint source program needs.
                                         A-3

-------
Categorical Grants Program
CATEGORIAL PROGRAM GRANTS (STAG)
by National Program and State Grant
(Dollars in Thousands)
FY2003 FY 2004
President's President's
Grant Budget Budget
Air & Radiation
State and Local Assistance
Tribal Assistance
Radon
Water
Pollution Control (Section 106)
Beaches Protection
Nonpoint Source (Section 319)
Wetlands Program Development
Water Quality Cooperative Agrmts
Targeted Watersheds
Drinking Water
Public Water System Supervision (PWSS)
Underground Injection Control (UIC)
Homeland Security
Hazardous Waste
H.W. Financial Assistance
Brownfields
Underground Storage Tanks
Pesticides & Toxics
Pesticides Program Implementation
Lead
Toxic Substances Compliance
Homeland Security
Pesticides Enforcement
Multimedia
Environmental Information
Enforcement State Grants
Pollution Prevention
Enforcement & Compliance Assurance
Indian General Assistance Program

GRAND TOTAL
$221,540
$11,045
$8,140
$240,725
$180,377
$10,000
$238,477
$14,967
$18,958
$20,000
$482,779
$93,100
$10,951
$5,000
$109,051
$106,364
$50,000
$11,918
$168,282
$13,086
$13,682
$5,139
$0
$19,868
$51,774
$25,000
$15,000
$5,986
$2,209
$57,470
$105,665
$1,158,276
$228,550
$11,050
$8,150
$247,750
$200,400
$10,000
$238,500
$20,000
$19,000
$20,000
$507,900
$105,100
$11,000
$5,000
$121,100
$106,400
$60,000
$11,950
$178,350
$13,100
$13,700
$5,150
$0
$19,900
$51,850
$25,000
$0
$6,000
$2,250
$62,500
$95,750
$1,202,700
Difference
$7,0109
$6
$10
$7,026
$20,023
$0
$23
$5,033
$42
$0
$25,121
$12,000
$49
$0
$12,049
$36
$10,000
$32
$10,068
$15
$18
$11
$0
$32
$76
$0
-$15,000
$14
$41
$5,030
-$9,915
$44,424
            A-4

-------
This page intentionally left blank

-------
                        Infrastructure Finance
                                  (dollars in millions)

Infrastructure Financing
Clean Water State Revolving Fund (CWSRF)
Drinking Water State Revolving Fund (DWSRF)
Mexican Border Projects
Alaska Native Villages
Targeted Projects - Puerto Rico
Targeted Projects - South Dakota Homestake
Mine
Brownfields Environmental Projects
Total
FY 2003
President's Budget

$1,212
$850
$75
$40
$0
$8
$121
$2,306
FY 2004
President's Budget

$850
$850
$50
$40
$8
$0
$121
$1,919
Infrastructure Funds

    The President's Budget requests a total
of  $1,919  million  in 2004  for  EPA's
Infrastructure programs, a decrease of $387
million   from   2003.     Of   the   total
infrastructure request, $1,748.0 million will
support EPA's  Goal  2: Clean and  Safe
Water,  $121 million will  support EPA's
Goal  5: Better Waste Management,  and
$50.0 million will support  EPA's  Goal 6:
Reduction  of  Global  and  Cross-border
Environmental  Risks.  The  $387.0 million
decrease is the  net result of a $362 million
decrease to the Clean Water State Revolving
Fund  (CWSRF); a decrease of $25 million
for Mexican Border Projects;  a  decrease of
$8  million  in  Targeted Projects  for the
Homestake Mine;  and  an  increase of  $8
million  in  Targeted Projects for drinking
water in Puerto Rico.
   Infrastructure  funding under the State
and  Tribal  Assistance   Grants   (STAG)
appropriation provides financial assistance
to   States,   municipalities  and   Tribal
governments to fund a variety  of  drinking
water,    wastewater,   and   Brownfields
infrastructure projects.   These  funds  are
essential  to fulfill the Federal government's
commitment to help our State, Tribal  and
local partners  obtain  adequate  funding to
construct the facilities required to comply
with Federal  environmental requirements
and  ensure public health  and revitalize
contaminated properties.

   Providing  STAG  funds  to capitalize
State Revolving Fund (SRF) programs, EPA
works  in partnership  with the States to
provide low-cost loans to municipalities for
infrastructure construction.  As set-asides of
                                         B-l

-------
                       Infrastructure Finance
the SRF programs, grants are available to
Indian Tribes and Alaska Native Villages for
drinking water and wastewater infrastructure
needs based on  national  priority lists.   The
Brownfields Environmental Program provides
States,   Tribes,   political    subdivisions
(including  cities, towns,  and  counties) the
necessary  tools,  information, and  strategies
for  promoting   a   unified   approach  to
environmental     assessment     cleanup,
characterization,  and redevelopment at sites
contaminated with  hazardous  wastes  and
petroleum contaminants.

    The resources requested in this  budget
will enable the Agency, in conjunction with
EPA's State, local, and  Tribal partners, to
achieve several  important goals  for  2004.
Some of these goals include:

•   92 percent of the  population  served by
    community  water  systems will receive
    drinking water meeting  all health-based
    standards, up from 83% in 1994.

•      Award 126 assessment grants  under
    the  Brownfields  program,  bringing the
    cumulative total grants awarded to 689 by
    the end of FY 2004 paving the way for
    productive reuse of these properties. This
    will bring  the  total  number of  sites
    assessed to 5,800 while leveraging a total
    of  $6.7  billion    in   cleanup    and
    redevelopment funds  since  1995.  EPA's
    Brownfields program is complemented by
    efforts of the Department of Housing and
    Urban  Development  as  well  as  tax
    incentive programs.
Goal 2: Enhancing Human Health
through Clean and Safe Water

Capitalizing Clean Water and Drinking
Water State Revolving Funds

    The Clean  Water  and Drinking  Water
State Revolving Fund programs demonstrate a
true partnership between States, localities and
the Federal government.   These  programs
provide Federal financial assistance to  States,
localities, and Tribal governments to protect
the nation's  water  resources  by  providing
funds for the construction of drinking water
and wastewater treatment facilities.  The State
revolving funds are two important elements of
the nation's substantial investment in sewage
treatment and drinking water systems,  which
provide Americans with significant benefits in
the form of reduced water pollution and safe
drinking water.

    EPA will  continue to capitalize the Clean
Water   State   Revolving  Fund   (CWSRF).
Through   this   program,   the   Federal
government provides financial assistance for
wastewater   and   other   water   projects,
including  nonpoint  source,  estuary,  storm-
water,  and  sewer overflow projects.  Water
infrastructure  projects  contribute  to  direct
ecosystem  improvements  by  lowering the
amount of nutrients and toxic pollutants in all
types of surface waters.

    The President's Budget proposes to fund
the CWSRF   at  $850 million   each year
through 2011.   Because  of the  revolving
nature  of the  program, funds  invested  in the
SRF have a multiplier effect that generates far
more  purchasing power over 20  years than
grants.  As a  result,  this extended funding of
$4.4 billion is  projected  to  close  the  $21
billion gap between current capital funding
                                         B-2

-------
                        Infrastructure Finance
levels and future water infrastructure capital
needs  estimated by  EPA,  assuming  that
spending  increases  at three  percent  real
growth per year.

   More than $19  billion  has  already been
provided to capitalize the CWSRF, over twice
the original Clean Water Act authorized level
of  $8  billion.     Total  CWSRF  funding
available for loans since 1987, reflecting loan
repayments,  State match dollars, and  other
funding sources,  is approximately $42 billion,
of which  more  than  $39  billion  has  been
provided  to   communities   as   financial
assistance.  As of July  2002, $3.7 billion is
being readied for loans.

   The dramatic progress made in improving
the quality of wastewater treatment  since  the
1970s is a national success.  In 1972, only 84
million  people were served by  secondary or
advanced  wastewater  treatment  facilities.
Today, 99 percent of  community wastewater
treatment plants, serving 181  million people,
use secondary treatment or better.

   The President's Budget request extends
Federal  support for  the Drinking Water State
Revolving Fund  so it can revolve at $1 billion
per year, more than double  the previous goal
of $500 million.  To realize this  increased
revolving  level,  we   are  proposing  $850
million  for  FY  2004 to  FY  2018.   This
proposal extends the commitment for  the
DWSRF  well   beyond   the   FY   2003
authorization  period.    Because  of   the
revolving  nature  of  the  program,  funds
invested in the SRF have a multiplier effect
that  generates far  more purchasing power
over 20 years  than  grants.  As  a result, this
extended funding is projected help close  the
$45  billion  gap  between   current capital
funding levels  and future water  infrastructure
capital needs  estimated by  EPA,  assuming
that spending  increases at three percent real
growth  per year.   Through the  DWSRF
program, States will provide loans to finance
improvements  to community water systems so
that they  can  achieve compliance  with  the
mandates of the Safe Drinking Water Act and
continue to protect public health. Some non-
State  recipients,  such  as  the  District  of
Columbia and the Tribes, will  receive their
DWSRF allocations in the form of grants.

   The DWSRF will be self-sustaining in the
long run  and  will help offset  the  costs of
ensuring  safe  drinking  water supplies  and
assisting  small communities  in meeting their
responsibilities.  Through FY 2002, Congress
has appropriated  $5 billion for the  DWSRF
program.  Through June 30, 2002, States had
received  $4 billion in capitalization  grants,
which when combined with the State  match,
bond proceeds and other funds provided $6.7
billion in total  cumulative funds available for
loans.  Through  June 30, 2002,  States had
made  more than 2,400 loans  totaling  $5
billion and $2 billion remained available  for
loans.

State Flexibility Between SRFs

  The  Agency   requests   continuation  of
authority provided in the 1996 Safe Drinking
Water  Act (SDWA)  Amendments  which
allows States to  transfer an amount equal to
33 percent of their DWSRF grants to their
CWSRF  programs, or an equivalent amount
from their CWSRF program to their DWSRF
program.  The transfer provision gives States
flexibility  to   address  the   most  critical
demands in either program at a given time.
The   statutory transfer  provision   expired
September 30,  2002.
                                          B-3

-------
                       Infrastructure  Finance
Set-Asides for Tribes

    To  improve  public  health  and water
quality  in  Indian  Country,  the   Agency
proposes to continue the 1 1/2% set-aside of
the CWSRF for wastewater grants to Tribes
as   provided   in  the   Agency's   2002
appropriation.   More than 70,000 homes in
Indian country have inadequate or nonexistent
wastewater treatment.   EPA and the Indian
Health   Service   estimate   that   Tribal
wastewater infrastructure needs exceed $650
million.

Supporting Alaska Native Villages
    The  President's  Budget  requests  $40
million  for  Alaska  native  villages  for  the
construction of wastewater and drinking water
facilities  to   address  serious   sanitation
problems. EPA will continue to work with
the  Department  of  Health  and   Human
Services' Indian Health Service, the  State of
Alaska, and  local communities  to  provide
needed financial and technical assistance.

Targeted Projects
    The  President's   Budget  requests  $8
million   for  the  design  of  upgrades  to
Metropolitano's  Sergio  Cuevas  treatment
plant in  San  Juan, Puerto Rico.  When all
upgrades are complete, EPA estimates that
about  1.4 million people  will enjoy  safer,
cleaner drinking water.

Goal 5: Better Waste Management,
Restoration of Contaminated Waste
Sites, and Emergency Response

Brownfields Environmental Projects

    The President's Budget requests a total of
$121 million  for Brownfields environmental
projects.    EPA  will  award  grants  for
assessment    activities,    cleanup,    and
Brownfields cleanup revolving loan funds
(BCRLF). Additionally, this includes cleanup
of  sites  contaminated  by  petroleum  or
petroleum products and environmental job
training grants.

Goal 6: Reducing Cross-border
Environmental Risks - U.S./Mexico
Border

  The President's Budget requests a total of
$50 million  for water infrastructure projects
along the U.S./Mexico Border.  The goal of
this program is to reduce environmental and
human  health  risks along the U.S./Mexico
Border. The communities along both sides of
the Border are facing unusual human health
and environmental threats because of the lack
of adequate wastewater  and drinking water
facilities.     EPA's   U.S./Mexico  Border
program provides   funds   to  support  the
planning,  design and construction  of high
priority water   and  wastewater  treatment
projects along the U.S./Mexico Border.  The
Agency's goal is to have a cumulative total of
9,900  people  in the Mexico border area
protected  from  health  risks  because  of
adequate water  and wastewater  sanitation
systems funded.
                                         B-4

-------
                                 Trust Funds
                                  (dollars in millions)


Superfund
Response
Enforcement
Management & Support
Other Federal Agencies
Transfers
Inspector General
Research & Development
Superfund Total
Base Realignment and Closure
LUST
Trust Fund Total:
FY 2003
President's Budget
$

$832
$172
$135
$11

$13
$111
$1,273
$0
$72
$1,345
FTE

1501
1129
488
0

94
109
3321
84
80
3485
FY 2004
President's Budget
$

$1,005
$176
$140
$11

$13
$45
$1,390
$0
$73
$1,462
FTE

1,514
1,121
488
0

94
130
3,347
84
80
3,511
Superfund

    In 2004, the President's Budget requests a
total of $1,390 million in discretionary budget
authority and 3,347 workyears for Superfund.
Currently, more than 92 percent of 1,479 sites
on the  Superfund final National Priorities List
(NPL)    are   either  undergoing  cleanup
construction  (remedial or  removal) or are
completed.

    Of the total funding  requested, $1,005
million  and   1,514   workyears   are  for
Superfund   cleanups.      The   Agency's
Superfund cleanup program addresses  public
health   and   environmental  threats   from
uncontrolled    releases    of    hazardous
substances. Included in the FY 2004 response
budget is a $150 million increase specifically
targeted  for  Superfund  cleanups.    This
increase in funding will allow construction to
begin at  high priority sites and address  the
growing  backlog  of  construction  project
resource  needs.    The  Agency expects to
demonstrate significant progress in reducing
risk to human health and the environment and
revitalizing  the  number  of  construction
completions at sites on the NPL within two to
three  years.   In  2004, EPA and its partners
will complete 40 Superfund cleanups  at NPL
sites to achieve the overall goal of 924 total
construction completions by the end of 2004.
                                          C-l

-------
                                  Trust Funds
    Of the  total funding  requested,  $176
million  and  1,121  workyears  are for the
Superfund Enforcement program.  One of the
Superfund program's primary goals is to have
responsible  parties  pay  for  and  conduct
cleanups   at  abandoned   or  uncontrolled
hazardous waste sites.  The program focuses
on  maximizing  all  aspects  of  Potentially
Responsible   Party   (PRP)   participation,
including having PRPs initiate work at 70%
of the new construction  starts at non-Federal
Facility Superfund  sites,  and  emphasizing
fairness in the settlement process. Where PRP
negotiations   and  previous   enforcement
actions fail,  EPA uses  its appropriation to
clean up sites and then seeks to recover these
costs from the PRPs.

    The remaining portion of the  Superfund
FY 2004 President's Budget is comprised of
Management  and   Support,  other Federal
agencies, Research and Development and the
Inspector General.  The President's Budget
requests $140 million  and 488 workyears for
management  and support  activities.   These
resources   support  Agency-wide  resource
management  and control functions including:
essential        infrastructure,       contract
administration, financial  accounting and other
fiscal operations.

    Included in our  Superfund request  is $11
million for our Federal agency partners.  The
Agency works with  several other Federal
agencies to perform  essential services in areas
where  the  Agency  does  not  possess  the
specialized expertise.    Contributors include
the United States Coast  Guard,  the National
Oceanic and Atmospheric Administration, the
Department  of  the  Interior,  the Federal
Emergency  Management  Agency,  and the
Occupational     Safety     and     Health
Administration.
    The President's Budget also requests $58
million and 224 workyears to be transferred to
Research  and Development  for  innovative
cleanup technology testing and the Inspector
General for program auditing.

Base Realignment and Closure Act

    The FY 2004 President's Budget requests
84  reimbursable workyears  to conduct the
Base Realignment and Closure Act (BRAC)
program.  Since 1993, EPA has worked with
the Department of Defense  (DoD) and the
States'  environmental  programs  to  make
property  environmentally  acceptable  for
transfer, while  protecting  human  health and
the environment  at  realigning   or  closing
military installations.   Between  1988  and
1995,   497  major   military  installations
representing the Army, Navy, Air Force, and
Defense Logistics  Agency were  slated for
realignment   or  closure.    Of  these,  107
installations  have been designated  as  Fast-
Track sites.   The Fast-Track program strives
to make parcels available for reuse as quickly
as   possible,   by   either   transfer   of
uncontaminated or remedial parcels, or lease
of  contaminated parcels  where  cleanup is
underway  or "early transfer"  of contaminated
property undergoing cleanup.

Leaking Underground Storage Tanks

    The FY 2004 President's Budget requests
$73 million and 80 workyears for the Leaking
Underground Storage Tank (LUST) program.
Approximately 85 percent of this will be used
for State cooperative agreements and support
for tribal  cleanup.   One of  the Agency's
highest  priorities in  the LUST program over
the  next   several   years  is  to  address
approximately 143,000 cleanups that have yet
to be completed (as  of September  2002), and
to address LUST sites that are  difficult to
                                          C-2

-------
                                Trust Funds
remediate because they are contaminated by
methyl tertiary butyl ether (MTBE) and other
oxygenates. In 2004 the Agency's goal is to
complete  21,000   cleanups   under  the
supervision of EPA and its State, local  and
tribal partners.
                                       C-3

-------
This page intentionally left blank

-------
            Environmental Protection Agency
    Summary of Agency Resources by Appropriation
                      (Dollars in Thousands)


Appropriation
Environmental Programs & Management
Science &Technology
Buildings & Facilities
Oil Spill Response
Inspector General
Superfund
Superfund Program
Research Transfer
IG Transfer
State & Tribal Assistance Grants
Leaking Underground Storage Tanks

Less
Offsetting Receipts
Grand Total Budget Authority
FY 2003
President's
Budget
$2,047,704
$670,008
$42,918
$15,581
$35,325
$1,272,888
$1,148,978
$111,168
$12,742
$3,463,776
$72,313
$7,620,513

($4,000)
$7,616,513
FY 2004
President's
Budget
$2,219,659
$731,483
$42,918
$16,209
$36,808
$1,389,716
$1,331,805
$44,697
$13,214
$3,121,200
$72,545
$7,630,537

($4,000)
$7,626,537
Note: FY 2003 excludes $107 million for proposed new pension and health
benefits legislation to make columns comparable.
                             D-l

-------
            Environmental Protection Agency
         Summary of Agency Resources by Goal
                       (Dollars in Thousands)


Goal
1. Clean Air
2. Clean and Safe Water
3. Safe Food
4. Preventing Pollution
5. Better Waste Management
6. Reduce Global & Cross-Border Risk
7. Quality Environmental Information
8. Sound Science
9. Credible Deterrent
10. Effective Management

Less
Offsetting Receipts
Grand Total
2003
President's
Budget
$597,977
$3,214,674
$109,815
$326,652
$1,711,511
$269,727
$199,040
$327,838
$402,463
$460,816
$7,620,513

($4,000)
$7,616,513
2004
President's
Budget
$617,415
$2,952,473
$119,012
$346,341
$1,846,635
$263,848
$228,322
$357,106
$430,561
$468,827
$7,630,537

($4,000)
$7,626,537


Delta
$19,438
($262,201)
$9,197
$19,689
$135,124
$5,879
$29,282
$29,268
$28,098
$8,011
$10,024

$0
$10,024
Note: FY2003 excludes $107 million for proposed new pension and health benefits legislation
to make columns comparable.
                              D-2

-------
   Environmental Protection Agency
Summary of Agency Workforce by Goal
              (Workyears)
2003 2004
President's President's
Goal
1. Clean Air
2. Clean and Safe Water
3. Safe Food
4. Preventing Pollution
5. Better Waste Management
6. Reduce Global & Cross-Border Risk
7. Quality Environmental Information
8. Sound Science
9. Credible Deterrent
10. Effective Management
Grand Total
Budget
1820.0
2742.8
770.1
1193.9
4500.2
504.7
847.1
996.3
2330.7
1942.2
17648.0
Budget
1823.3
2776.4
785.0
1188.9
4556.6
502.3
840.0
1006.2
2480.4
1890.9
17850.0
Delta
3.3
33.6
14.9
(5.0)
56.4
(2.4)
(7.1)
9.9
149.7
(51.3)
202.0
                 D-3

-------
Key Programs
Key Program
Acid Rain -CASTNet
Acid Rain -Program Implementation
Administrative Law
Air Toxics Research
Air, State, Local and Tribal Assistance Grants: Other Air Grants
American Indian Environmental Office
Assessments
Beach Grants
Brownfields
Capacity Building
Carbon Monoxide
Chesapeake Bay
Childrens' Health, Program Development and Coordination
Children's Indoor Environments
Civil Enforcement
Civil Rights/Title VI Compliance
Climate Change Research
Climate Protection Program: Buildings
Climate Protection Program: Carbon Removal
Climate Protection Program: Industry
Climate Protection Program: International Capacity Building
Climate Protection Program: State & Local
Climate Protection Program: Transportation
Coastal Environmental Monitoring
Commission for Environmental Cooperation - CEC
Communicating Research Information
Community Assistance
Community Right to Know (Title III)
Compliance Assistance and Centers
Compliance Incentives
Compliance Monitoring
Congressional Projects
Congressional/Legislative Analysis
Correspondence Coordination
FY 2003
President's
Budget
$3,991
$12,790
$2,870
$19,884
$240,725
$10,220
$76,236
$10,000
$200,000
$12,088
$4,025
$20,651
$6,671
$13,918
$101,840
$11,771
$21,729
$49,821
$1,576
$25,673
$7,087
$2,275
$21,567
$7,671
$3,535
$5,570
$1,429
$4,953
$26,068
$9,690
$51,198
$1,991
$4,858
$1,096
FY 2004
President's
Budget
$3,991
$12,813
$2,930
$20,342
$247,750
$10,666
$77,067
$10,000
$210,754
$5,785
$3,887
$20,778
$6,710
$16,715
$115,624
$12,114
$21,529
$48,325
$1,735
$26,439
$6,608
$2,569
$22,935
$7,801
$3,938
$11,399
$0
$5,018
$27,638
$10,308
$59,716
$2,145
$4,958
$1,128
     D-4

-------
Key Programs
Key Program
Criminal Enforcement
Data Collection
Data Management
Data Standards
Design for the Environment
Direct Public Information and Assistance
Disadvantaged Communities
Disaster Management Initiative
Drinking Water Implementation
Drinking Water Regulations
Ecosystems Condition, Protection and Restoration Research
Effluent Guidelines
Endocrine Disrupter Research
Endocrine Disrupter Screening Program
Enforcement Training
Environment and Trade
Environmental Appeals Boards
Environmental Finance Center Grants (EFC)
Environmental Justice
Environmental Monitoring and Assessment Program, EMAP
Environmental Technology Verification (ETV)
Executive Support
Existing Chemical Data, Screening, Testing and Management
Facilities Infrastructure and Operations
Federal Facilities
Federal Facility lAGs
Federal Preparedness
Fish Contamination/Consumption
Geospatial
Global Toxics
Global Trade Issues for Pesticides and Chemicals
Grants to States for Lead Risk Reduction
Great Lakes
Great Lakes Legacy Act
FY 2003
President's
Budget
$42,538
$126
$19,003
$6,481
$4,811
$8,993
$4,481
$0
$38,935
$30,034
$105,795
$23,010
$12,179
$9,064
$3,880
$1,844
$1,738
$2,000
$4,979
$38,260
$3,618
$3,121
$28,332
$376,364
$31,916
$9,092
$9,883
$2,788
$743
$1,415
$3,125
$13,682
$2,685
$0
FY 2004
President's
Budget
$45,167
$3,454
$27,216
$28,018
$4,881
$9,476
$4,677
$1,500
$44,339
$31,435
$109,678
$23,632
$11,918
$9,003
$3,900
$1,703
$1,775
$2,000
$4,726
$38,873
$3,682
$3,179
$29,667
$388,883
$32,744
$9,654
$10,105
$2,831
$16,473
$1,557
$3,367
$13,700
$2,712
$15,000
     D-5

-------
Key Programs
Key Program
Great Lakes National Program Office
Gulf of Mexico
Hazardous Air Pollutants
Hazardous Substance Research: Hazardous Substance Research
Centers
Hazardous Substance Research: Superfund Innovative
Technology Evaluation (SITE)
Hazardous Waste Research
Homeland Security-Communication and Information
Homeland Security-Critical Infrastructure Protection
Homeland Security-Preparedness, Response and Recovery
Homeland Security -Protect EPA Personnel/Infrastructure
Homestake Mine
Human Health Research
Immediate Office of the Administrator
Indoor Environments
Information Exchange Network
Information Integration
Information Technology Management
Intergovernmental Relations - OA
International Safe Drinking Water
Investigations
Lake Champlain
Lead
Lead Risk Reduction Program
Leaking Underground Storage Tanks Cooperative Agreements
Legal Services
Long Island Sound
LUST Cleanup Programs
Management Services and Stewardship
Marine Pollution
Multi-Media Communications
Multilateral Fund
NACEPT Support
NAFTA Implementation
FY 2003
President's
Budget
$15,128
$4,327
$52,622

$4,599

$6,545
$9,549
$477
$25,754
$87,585
$19,600
$8,000
$51,825
$4,344
$9,308
$25,000
$20,157
$28,082
$4,128
$0
$9,470
$955
$340
$13,166
$58,341
$46,303
$477
$10,285
$149,306
$8,171
$873
$9,576
$1,670
$748
FY 2004
President's
Budget
$15,392
$4,432
$54,236

$4,604

$6,573
$10,782
$3,820
$38,481
$60,280
$20,488
$0
$53,634
$4,414
$8,859
$25,000
$0
$57,317
$4,319
$348
$10,527
$955
$350
$14,833
$58,399
$47,987
$477
$10,581
$173,177
$12,630
$919
$11,000
$1,692
$759
     D-6

-------
Key Programs
Key Program
National Association Liaison
National Estuaries Program/Coastal Watersheds
National Nonpoint Source Program Implementation
National Program chemicals: PCBs, Asbestos, Fibers,and Dioxin
NEPA Implementation
New Chemical Review
Nitrogen Oxides
NPDES Program
Oil Spills Preparedness, Prevention and Response
Other Federal Agency Superfund Support
Ozone
Pacific Northwest
Particulate Matter
Particulate Matter Research
Partnerships to Reduce High Risk Pesticide Use
PBTI
Performance Track
Pesticide Registration
Pesticide Reregi strati on
Pesticide Residue Tolerance Reassessments
Pesticides Program Implementation Grant
Planning and Resource Management
Pollution Prevention Incentive Grants to States
Pollution Prevention Program
POPs Implementation
Preventing Contamination of Drinking Water Sources
Program Evaluations/ Audit
Public Access
Radiation
Radon
RCRA Corrective Action
RCRA Enforcement State Grants
RCRA Improved Waste Management
RCRA State Grants
FY 2003
President's
Budget
$263
$19,246
$16,909
$6,995
$11,786
$14,730
$1,399
$41,721
$12,332
$10,676
$77,499
$1,029
$62,624
$66,662
$12,280
$2,581
$1,835
$42,120
$48,371
$5,268
$13,086
$62,791
$5,986
$9,903
$680
$22,097
$38,597
$15,569
$22,419
$6,494
$38,965
$42,905
$61,860
$63,459
FY 2004
President's
Budget
$268
$19,094
$17,628
$7,506
$12,296
$15,032
$1,437
$44,376
$12,898
$10,676
$69,498
$1,073
$74,788
$65,709
$11,686
$2,419
$1,835
$35,981
$51,504
$12,811
$13,100
$55,329
$6,000
$10,627
$667
$23,312
$39,494
$15,725
$23,953
$6,188
$41,107
$42,905
$61,050
$63,495
     D-7

-------
Key Programs
Key Program
RCRA Waste Reduction
Recreational Water and Wet Weather Flows Research
Regional and Global Environmental Policy Development
Regional Geographic Program
Regional Haze
Regional Management
Regional Operations and Liaison
Regional Program Infrastructure
Regional Science and Technology
Regulatory Development
Reinventing Environmental Information (REI)
Research to Support Contaminated Sites
Research to Support Emerging Issues
Research to Support FQPA
Research to Support Pollution Prevention
Research to Support Safe Communities
Risk Management Plans
Safe Drinking Water Research
Safe Pesticide Applications
Safe Recreational Waters
SBREFA
Science Advisory Board
Science Coordination and Policy
Sector Grants
Small Business Ombudsman
Small, Minority, Women-Owned Business Assistance
South Florida/Everglades
STAR Fellowships Program
State Multimedia Enforcement Grants
State Nonpoint Source Grants
State Pesticides Enforcement Grants
State Pollution Control Grants (Section 106)
State PWSS Grants
State Toxics Enforcement Grants
FY 2003
President's
Budget
$13,741
$5,497
$2,047
$8,651
$2,408
$41,222
$478
$6,032
$3,602
$36,382
$7,900
$28,121
$29,151
$12,042
$44,075
$25,150
$7,446
$49,491
$10,194
$843
$609
$3,353
$950
$2,209
$3,124
$3,305
$2,666
$0
$15,000
$238,477
$19,868
$180,377
$93,100
$5,139
FY 2004
President's
Budget
$16,850
$5,966
$1,629
$8,756
$2,454
$50,786
$488
$0
$3,609
$38,566
$0
$28,275
$41,471
$13,273
$37,869
$25,628
$7,490
$49,231
$12,451
$858
$616
$4,409
$1,604
$2,250
$3,149
$3,407
$2,690
$4,875
$0
$238,500
$19,900
$200,400
$105,100
$5,150
     D-8

-------
Key Programs
Key Program
State Underground Injection Control Grants
State Water Quality Cooperative Agreements
State Wetlands Program Grants
Stratospheric Ozone Protection
Sulfur Dioxide
Superfund - Cost Recovery
Superfund - Justice Support
Superfund - Maximize PRP Involvement (including reforms)
Superfund Remedial Actions
Superfund Removal Actions
System Modernization
Targeted Watershed Grants
Technical Cooperation with Industrial and Developing Countries
TMDLs
Toxic Release Inventory / Right-to-Know (RtK)
Tribal General Assistance Grants
Tropospheric Ozone Research
U.S. - Mexico Border
Underground Storage Tanks (UST)
UST State Grants
Wastewater Management/Tech Innovations
Water Infrastructure: Alaska Native Villages
Water Infrastructure: Puerto Rico
Water Infrastructure: Clean Water State Revolving Fund
Water Infrastructure: Drinking Water State Revolving Fund
Water Infrastructure: Mexico Border
Water Quality Criteria and Standards
Water Quality Infrastructure Protection
Water Quality Monitoring and Assessment
Watershed Assistance
Web Products Quality Control
Wetlands

FY 2003
President's
Budget
$10,951
$38,958
$14,967
$5,642
$13,625
$30,376
$28,150
$84,397
$493,647
$202,610
$13,690
$0
$4,330
$21,433
$15,293
$57,470
$6,758
$5,365
$7,026
$11,918
$9,074
$40,000
$0
$1,212,000
$850,000
$75,000
$19,127
$17,239
$11,968
$9,479
$767
$18,382
$7,620,513
FY 2004
President's
Budget
$11,000
$19,000
$20,000
$5,787
$14,102
$31,059
$28,150
$89,471
$649,345
$203,190
$0
$20,000
$3,518
$25,084
$13,057
$62,500
$7,024
$6,484
$7,153
$11,950
$9,485
$40,000
$8,000
$850,000
$850,000
$50,000
$24,077
$18,056
$14,072
$9,396
$812
$19,300
$7,630,537
     D-9

-------
This page intentionally left blank

-------
                  Environmental Protection Agency
                             List of Acronyms
AA       Assistant Administrator
ADR      Alternative Dispute Resolution
ARA      Assistant Regional Administrator
ATSDR   Agency for Toxic Substances and Disease Registry
B&F      Buildings and Facilities
CAA      Clean Air Act
CAFO     Concentrated Animal Feeding Operations
CAP      Clean Air Partnership Fund
CBEP     Community-Based Environmental Protection
CCAP     Climate Change Action Plan
CCTI      Climate Change Technology Initiative
CEIS      Center for Environmental Information and Statistics
CFO      Chief Financial Officer
CSI       Common Sense Initiative
CSO      Combined Sewer Overflows
CWA      Clean Water Act
CWAP    Clean Water Action Plan
DBF      Disinfectant By Products
DfE       Design for the Environment
EDP      Environmental Leadership Project
EJ        Environmental Justice
EPCRA   Emergency Preparedness and Community Right-to-Know Act
EPM      Environmental Programs and Management
ERRS     Emergency Rapid Response Services
ESC      Executive Steering Committee
ETI       Environmental Technology Initiative
ETV      Environmental Technology Verification
FAN      Fixed Account Numbers
FCO      Funds Certifying Officer
FASAB   Federal Accounting Standards Advisory Board
FIFRA    Federal Insecticide, Fungicide and Rodenticide Act
FMFIA   Federal Managers' Financial Integrity Act
FQPA     Food Quality Protection Act
GAPG    General Assistance Program Grants
GHG      Greenhouse Gas
GPRA     Government Performance and Results Act
HSWA    Hazardous and Solid Waste Amendments of 1984
HWIR     Hazardous Waste Identification Media and Process Rules
IAG      Interagency Agreements
ICR       Information Collection Rule
IFMS      Integrated Financial Management System
                                       E-l

-------
                   Environmental Protection Agency
                             List of Acronyms
IPCC     Intergovernmental Panel on Climate Change
IRM      Information Resource Management
ISTEA    Intermodal Surface Transportation Efficiency Act
ITMRA   Information Technology Management Reform Act of 1995-AKA Clinger/Cohen Act
LUST     Leaking Underground Storage Tanks
MACT    Maximum Achievable  Control Technology
MUR     Monthly Utilization Report
NAAQs   National Ambient Air Quality Standards
NAFTA   North American Free Trade Agreement
NAPA    National Academy of Public Administration
NAS      National Academy of Science
NDPD    National Data Processing Division
NEP      National Estuary Program
NEPPS    National Environmental Performance Partnership System
NESHAP  National Emissions Standards for Hazardous Air Pollutants
NOA     New Obligation Authority
NPDES   National Pollutant Discharge Elimination System
NPL      National Priority List
NPM     National Program Manager
NPR      National Performance Review
NFS      Non-Point Source
OAM     Office of Acquisition Management
OA       Office of the Administrator
OAR     Office of Air and Radiation
OARM    Office of Administration and Resources Management
OCFO    Office of the Chief Financial Officer
OCHP    Office of Children's Health Protection
OECA    Office of Enforcement and Compliance Assurance
OEI      Office of Environmental Information
OERR    Office of Emergency and Remedial Response
OFA      Other Federal Agencies
OFPP     Office of Federal Procurement Policy
OGC      Office of the General Counsel
OIA      Office of International Activities
OIG      Office of the Inspector General
OMTR    Open market trading rule
OPAA    Office of Planning, Analysis and Accountability
OPPE     Office of Policy, Planning and Evaluation
OPPTS    Office of Pesticides, Prevention and Toxic Substances
ORD      Office of Research and Development
OSWER   Office of Solid Waste and Emergency Response
                                       E-2

-------
                   Environmental Protection Agency
                              List of Acronyms
OTAG    Ozone Transport Advisory Group
OW       Office of Water
PBTs     Persistent Bioaccumulative Toxics
PC&B     Personnel, Compensation and Benefits
PM       Paniculate Matter
PNGV    Partnership for a New Generation of Vehicles
POTWs   Publicly Owned Treatment Works
PPG      Performance Partnership Grants
PRC      Program Results Code
PWSS     Public Water System Supervision
RC       Responsibility Center
RCRA    Resource Conservation and Recovery Act of 1976
RGI       Regional Geographic Initiative
RMP     Risk Management Plan
RPIO     Responsible Planning Implementation Office
RR       Reprogramming Request
RWTA    Rural Water Technical Assistance
S&T      Science and Technology
SALC     Suballocation (level)
SARA     Superfund Amendments and Reauthorizations Act of 1986
SBO      Senior Budget Officer
SBREFA  Small Business Regulatory Enforcement Fairness Act
SDWA    Safe Drinking Water Act
SDWIS    Safe Drinking Water Information System
SITE     Superfund Innovative Technology Evaluation
SLC      Senior Leadership Council
SRF       State Revolving Fund
SRO      Senior Resource Official
STAG     State and Tribal Assistance Grants
STORS    Sludge-to-Oil-Reactor
SWP     Source Water Protection
SWTR    Surface Water Treatment Rule
TMDL    Total Maximun Daily Load
TRI       Toxic Release Inventory
TSCA     Toxic Substances Control Act
UIC       Underground Inj ecti on C ontrol
UST      Underground Storage Tanks
WCF     Working Capital Fund
WIF      Water Infrastructure Funds
WIPP     Waste Isolation Pilot Proj ect
                                       E-3

-------
Environmental Protection Agency
       List of Acronyms
              E-4

-------