National Environmental
Performance Partnership System
FY 2013 Guidance
Office of Congressional and Intergovernmental Relations
Office of the Administrator
Publication Number: 270R12001
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National Environmental Performance Partnership System
FY 2013 National Program Guidance
CONTENTS
EXECUTIVE SUMMARY 3
Explanation of Changes from FY 2012 5
GUIDANCE 6
Goals and Objectives for FY 2013 7
Goal I: Conduct joint strategic planning that reflects Performance Partnership 7
principles in PPAs/PPGs or comparable EPA-state and EPA-tribal agreements
and grant workplans.
Goal I: Objectives 7
Goal II: Implement the Administrator's priorities as reflected in the FY2011- 10
2015 EPA Strategic Plan and FY 2013 Budget through PPAs, PPGs and other
EPA-state and EPA-tribal agreements.
Goal II: Objectives 10
Goal III: Foster programmatically sound and fiscally responsible PPG 13
management practices.
Goal III: Objectives 13
Appendix A: Programs Eligible for Inclusion in PPGs 17
NEPPS National Guidance FY 2013
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EXECUTIVE SUMMARY
I. Program Office
Office of Congressional and Intergovernmental Relations (OCIR) FY 2013 Guidance for
National Environmental Performance Partnership System (NEPPS).
II. Introduction/Context
Performance Partnerships - through which EPA and states and tribes set priorities and
design strategies together - are integral to planning and implementing our national
environmental programs. To advance the joint planning that is central to Performance
Partnerships, OCIR is issuing this guidance to the regions in conjunction with the
Agency-wide process for production and review of national program guidance through
the Office of the Chief Financial Officer (OCFO).
This FY 2013 guidance sets out the goals and objectives for Performance Partnerships.
In January 2010, the Administrator sent a memorandum to all EPA employees outlining
her top seven priorities. These are now reflected in the FY 2011-2015 EPA Strategic
Plan and FY 2013 Budget. The guidance is aligned with and directly supports these
priorities, and contains specific objectives to advance three of the priorities through the
NEPPS process: Children's Health, Environmental Justice, and Building Strong State and
Tribal Partnerships. In addition, this guidance reflects and supports EPA's commitments
and objectives outlined in the Strategic Plan's Cross-Cutting Fundamental Strategy for
Strengthening State, Tribal and International Partnerships.
III. Goals and Objectives
Goal I: Conduct joint strategic planning that reflects Performance Partnership
principles in PPAs/PPGs or comparable EPA-state and EPA-tribal agreements and
grant workplans.
Objectives:
1. Take additional measures to work with states to identify opportunities for enhanced
worksharing, resource and workload flexibility, especially where budget reductions have
negatively affected state programs.
2. Whenever possible, consider NEPPS principles and include all the essential elements
in PPAs as identified by a joint EPA-state work group in 2004. Mutual state-EPA
priorities should be clearly articulated and distinguished from specific state and EPA
priorities.
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3. Identify collaborations to improve state-EPA business processes and promote
continuous improvement (for example, by applying LEAN, Kaizen, Value Stream
Mapping (VSM) and Six Sigma techniques).
4. Advance Performance Partnership principles through effective collaboration with
states on policy and implementation issues, ensuring that requests for flexibility and
innovation are addressed. Resolve any disagreements by making full use of the issue
resolution process to elevate issues up to and including the highest levels (i.e., RA, AA,
DA).
5. Explain and advocate for the use of PPAs and PPGs (including PPAs serving as PPG
workplans) as tools for implementing Performance Partnership principles within EPA and
with states and tribes.
6. Support state and tribal capacity by encouraging exploration of creative new ways to
partner with states and tribes that will augment the progress made through NEPPS.
Goal II: Implement the Administrator's priorities as reflected in the FY2011-2015
EPA Strategic Plan and FY 2013 Budget through PPAs, PPGs and other EPA-state
and EPA-tribal agreements.
Objectives:
1. Use the NEPPS process to leverage funds and activities to advance children's health.
2. Work with states to advance environmental justice by improving environmental
conditions and public health in minority, low-income, tribal, and other vulnerable
communities.
3. Strategically use the NEPPS process to organize and articulate mutual compliance and
enforcement priorities, and ensure they are aligned with commitments in PPGs and other
categorical grant workplans.
4. Ensure that the Administrator's other enumerated priorities are included in regional-
state planning discussions.
Goal III: Foster programmatically sound and fiscally responsible PPG management
practices.
Objectives:
1. Ensure the timeliness of state grants. It is a priority for the Agency to ensure the
timely award of continuing environmental program grant funds.
2. Implement Grants Policy Issuance (GPI) 09-01: Burden Reduction for State Grants.
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3. Implement Grants Policy Issuance (GPI) 11-03: State Grant Workplans and Progress
Reports; continue to report on results of state grant performance measures.
4. Implement Grants Policy Issuance (GPI) 11-01: Managing Unliquidated Obligations
and Ensuring Progress under EPA Assistance Agreements.
5. Ensure that state and tribal PPGs are managed in a manner that is consistent with
budget and progress reporting and conducted in accordance with existing workplan and
funding requirements of 40 CFR 35, Subparts A and B.
6. Ensure compliance with Title VI of the Civil Rights Act of 1964 in the
implementation of state grants.
IV. Program Contacts
Mike Osinski (OCIR): tel. (202) 564-3792; e-mail: osinski.michael@epa.gov
Reynold Meni (OCIR): tel. (202) 564-3669; e-mail: meni.revnold@epa.gov
V. OCIR's Feedback Process
Upon receiving the draft FY 2013 NEPPS National Guidance from OCIR, OCFO will
post it on its website and notify its counterparts in the EPA regional offices. OCFO also
will notify the Environmental Council of the States (ECOS) and EPA tribal planning
contacts. The review period lasts approximately one month.
EPA's regional offices, states/ECOS and other stakeholders may send their comments
directly to OCIR's program office contacts (listed above). Regional, state/ECOS and
stakeholder comments and suggestions will be considered by OCIR for the final version
of the guidance to be released in late April.
VI. Explanation of Changes from FY 2012
This guidance contains minor revisions, updates and two new objectives. It includes: (1)
information about an EPA-state worksharing task force in Goal I/Objective 1; (2) updated
EJ Objective 2 in Goal II; (3) minor revisions in Objectives 3 and 4/Goal III on state
grant workplans, performance measures and grant unliquidated obligations; (4) a new
Objective 5 in Goal III on PPG budget, workplan and progress reporting requirements;
(5) a new Objective 6 in Goal III about compliance with Title VI of the Civil Rights Act
of 1964; and (6) an updated Appendix A on PPG-eligible grants.
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National Environmental Performance Partnership System
FY 2013 National Program Guidance
EPA and states share responsibility for protecting public health and the environment.
Since 1995, EPA and states have been implementing the National Environmental
Performance Partnership System (NEPPS),1 an environmental performance system
designed to improve the efficiency and effectiveness of state environmental programs and
state-EPA partnerships.
Several fundamental concepts underlie NEPPS. Goals, priorities, and strategies should
be based on information about environmental conditions, including consideration of local
conditions and respecting the need for a "level playing field" across the country.
Performance should be evaluated based on results that can be achieved in the
environment. By taking full advantage of the unique capacities of EPA and states and
leveraging our collective resources most efficiently and effectively, we can achieve the
greatest results.
Performance Partnerships - in which EPA and states and tribes set priorities, design
strategies, and negotiate grant agreements together - are integral to the planning and
implementation of our national environmental programs. To advance the joint planning
that is central to Performance Partnerships, the Office of Congressional and
Intergovernmental Relations (OCIR) is issuing this guidance to the regions in conjunction
with the Agency-wide process for production and review of national program guidance
through the Office of the Chief Financial Officer (OCFO).
This FY 2013 guidance2 sets out overarching goals and objectives for Performance
Partnerships. In January 2010, the Administrator sent a memorandum to all EPA
employees outlining her top seven priorities. These are now reflected in the FY 2011-
2015 EPA Strategic Plan3 and FY 2013 Budget. The guidance is aligned with and
directly supports these priorities, and contains specific objectives to advance three of the
priorities through the NEPPS process: Children's Health, Environmental Justice, and
Building Strong State and Tribal Partnerships. In addition, this guidance reflects and
supports EPA's commitments and objectives outlined in the Strategic Plan's Cross-
Cutting Fundamental Strategy for Strengthening State, Tribal and International
Partnerships.
1 See Joint Commitment to Reform Oversight and Create a National Environmental Performance
Partnership System, at http://www.epa. gov/ocir/nepps/pdf/joint commit create nepps.pdf.
2 This guidance is a compilation of existing policies and initiatives. It does not impose any legally binding
requirements.
3 The FY 2011-2015 EPA Strategic Plan can be found at http://www.epa. gov/ocfo/plan/plan.htm.
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Goals and Objectives for FY 2013
Goal I: Conduct joint strategic planning that reflects Performance Partnership
principles in PPAs/PPGs or comparable EPA-state and EPA-tribal agreements and
grant workplans.
Objectives
1. Take additional measures to work with states to identify opportunities for
enhanced worksharing, resource and workload flexibility, especially where budget
reductions have negatively affected state programs.
Many states continue to experience budget shortfalls due to a slowly recovering
economy. As a result, state environmental agencies face ongoing resource and staffing
challenges to maintain core programs. In this climate, it is particularly important to
emphasize EPA's willingness to work collaboratively with the states to develop
agreements that capture achievable priorities and commitments and help address state-
federal workload overall.
Both EPA and the states fulfill critical roles in protecting and improving human health
and the environment. By law and through shared experience, EPA and the states must
effectively collaborate in the planning and implementation of environmental programs,
and ensure compliance with statutory and regulatory requirements in order to succeed.
In FY 2012, the Agency will continue to work with the states to evaluate alternate work
planning approaches (such as worksharing) in order to maintain the current levels of
delivery of its environmental and public health programs. In 2011, the national program
manager (NPM) members of an EPA-state worksharing task force conducted a review of
EPA's statutes and regulations for worksharing prohibitions. In 2012, in addition to
finalizing a report regarding the results of the review, the task force also will develop
principles for best practices and make recommendations on making EPA's expertise more
available to the states through IP As and web-based/electronic platforms, and expanding
training opportunities.
Regions should utilize the approaches identified from this effort in planning for and
implementing Performance Partnerships with the states in FY 2013.
Further, the Administrator has placed renewed emphasis on improving the Agency's
relationships with the states through the Strategic Plan's Cross-Cutting Fundamental
Strategy for Strengthening State, Tribal and International Partnerships. To maintain
program performance nationally and to ensure the success of the Cross-Cutting Strategy,
the regions are urged to expand the utilization of worksharing with their state partners in
developing their FY 2013 program performance commitments.
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2. Whenever possible, consider NEPPS principles4 and include all the essential
elements in PPAs as identified by a joint EPA-state work group in 2004. Mutual
state-EPA priorities should be clearly articulated and distinguished from state-
specific and EPA-specific priorities.
The most effective PPAs contain several "essential elements" established by a joint EPA-
state work group5 in 2004. These recommended essential elements6 are listed below:
• A description of environmental conditions, priorities, and strategies;
Performance measures for evaluating environmental progress;
• A process for joint evaluation on how well the PPA is working and an agreement
to implement any needed improvements that are identified;
• A description of the structure/process for mutual accountability, including a clear
definition of roles of each party in carrying out the PPA and an overview of how
resources will be deployed to accomplish the work; and
• A description of how the priorities in the PPA align with those in EPA's Strategic
Plan, and/or the state's own strategic (or other related) plan.
Incorporating each of these elements still allows for a wide range of PPAs, although it
may not be feasible for some PPAs to include all the essential elements. The essential
elements may be covered at different levels of detail depending on what is appropriate for
a particular state. There is also room for variation in content (e.g., PPAs that cover all
programs or just a few programs), as well as in organizational structure and format. In
order to clarify the role of each party in carrying out the PPA, to the extent possible, both
state and EPA commitments should be delineated.
A PPA is a strategic negotiated plan that articulates joint goals and priorities, key
activities, programs, and roles and responsibilities. With the elements enumerated above,
a PPA can become the unifying agreement that sets out the relationship between EPA and
the state and how they expect to work together to implement the strategies for achieving
the goals and objectives in the agreement.
4 See: http://www.epa.gov/ocir/nepps/pdf/ioint commit create nepps.pdf for a description of NEPPS
principles.
5 State-EPA Planning Alignment/PPA Work Group, now the Partnership and Performance Work Group.
See: http://www.epa.gov/ocir/nepps/policies guidance.htm for the Work Group's findings and
recommendations.
6 Note that these essential elements are different from the ones listed in Goal Ill/Objective 3 which are
mecific to state grant worknlans
specific to state grant workplans.
NEPPS National Guidance FY 2013
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3. Identify collaborations to improve state-EPA business processes and promote
continuous improvement (for example, by applying LEAN, Kaizen, Value Stream
Mapping (VSM) and Six Sigma techniques).
Continuous improvement is one of the core principles of the original NEPPS agreement.
Viewing the state-EPA working relationship through that particular lens has led to proven
improvements in the quality and efficiency of delivered services and programs. LEAN,
Kaizen, VSM, and Six Sigma techniques have been successfully used to improve state
and EPA programs and processes such as air and water permitting, Brownfields, Leaking
Underground Storage Tanks, and Wetlands. In March 2010, EPA and the Environmental
Council of States (ECOS) signed a Memorandum of Understanding to affirm the use of
administrative business process improvement techniques (Kaizen, Six Sigma, Value
Stream Mapping and other methods) to enhance the achievement of environmental goals.
The FY 2011- 2015 EPA Strategic Plan also commits EPA to "work with states to seek
efficient use of resources" under the Cross-Cutting Fundamental Strategy for
Strengthening State, Tribal and International Partnerships. Regions are asked to review
the areas of federal-state interaction and identify collaborations to improve efficiency and
eliminate waste, using the appropriate business process improvement techniques.
Regions should review and apply successful state-regional LEAN exercises, as
appropriate. Tools and resources ("how to" guides, case studies) can be found on the
EPA and ECOS websites: www.epa.gov/lean and www.ecos.org.
4. Advance Performance Partnership principles through effective collaboration
with states on policy and implementation issues, ensuring that requests for
flexibility and innovation are addressed. Resolve any disagreements by making full
use of the issue resolution process to elevate issues up to and including the highest
levels (i.e., RA, AA, DA).
The NEPPS issue resolution process (which includes various informal and formal steps
culminating in a final decision by the Deputy Administrator) for raising and resolving
broad policy and implementation issues related to Performance Partnerships is outlined in
EPA's Best Practices Guide for Performance Partnership Grants.1 This is especially
appropriate in situations involving denial of a state's request for flexibility and innovation
in a PPG.
5. Explain and advocate for the use of PPAs and PPGs (including PPAs serving as
PPG workplans) as tools for implementing Performance Partnership principles
within EPA and with states and tribes.
PPAs and PPGs are valuable tools enabling states to gain greater flexibility in how they
use and manage the funds they receive from EPA. PPGs allow states to achieve
significant administrative efficiencies, direct resources where they are needed most,
7 A direct link to the Guide can be found in the Highlights box on the NEPPS home page at
http://www.epa.gov/ocir/nepps/.
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implement strategies that cut across program boundaries, or try other innovative solutions
to environmental problems. Appendix A provides a list of grant programs eligible for
inclusion in PPGs. PPAs are discussed in Objective # 2 above.
For instance, under PPGs, states can use funds from one program area to address a budget
shortfall in another, and meet cost-share requirements by using overmatch from one
program to cover the match from another. Using PPG flexibility, states can hire
temporary personnel, fund emergency activities such as hurricane response, address
permit backlogs, and support staff training and travel. They use PPGs to fund multi-
media inspections and permitting, sector compliance/enforcement initiatives, and data
system improvements such as participating in the National Environmental Data Exchange
Network.8
6. Support state and tribal capacity by encouraging exploration of creative new
ways to partner with states and tribes that will augment the progress made through
NEPPS.
The regions, for example, can extend the Performance Partnership vision and goals to
other agencies that receive EPA funds in order to more fully leverage EPA's resources
and those of other agencies to address environmental priorities, such as agriculture and
public health agencies. In addition, regions can assess the feasibility of developing other
innovative, high-level joint agreements that focus on specific environmental problems
(e.g., climate change, agriculture, mercury).
Goal II: Implement the Administrator's priorities as reflected in the FY2011-2015
EPA Strategic Plan and FY 2013 Budget through PPAs, PPGs and other EPA-state
and EPA-tribal agreements.
Objectives:
1. Children's Health: Use the NEPPS process to leverage funds and activities to
advance children's health.
Regional programs must ensure that policies, programs, activities, and standards address
disproportionate risks to children. Opportunities to advance children's health issues
include: sponsoring joint meetings with counterparts in state environmental departments
and health departments to facilitate coordinated actions to better protect children's
environmental health; developing region-wide strategies to focus on addressing critical
children's health issues within each region.
8 See http://www.epa. gov/ocir/nepps/speeches_publications.htm for more examples of how states have used
PPGs.
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2. Environmental Justice9 (EJ): Work with states to advance environmental justice
by improving environmental conditions and public health in minority, low-income,
tribal, and other vulnerable communities.
Regional programs should work with states and tribes to advance policies, programs and
activities that address risks to minority, low-income, tribal, and other vulnerable
communities. Opportunities to advance EJ include: (1) developing region-wide
strategies through joint meetings with state and tribal counterparts to focus on addressing
critical environmental justice issues, e.g., lead poisoning, asthma, air and water pollution
from CAFOs, and multiple or cumulative exposures to air pollution; (2) identifying
specific state and tribal EJ needs, concerns and resources associated with specific
programs; (3) collaborating, networking and partnering with states and tribes through EJ
coordinators and/or appropriate program contacts to share resources; and (4) supporting
community involvement through community engagement initiatives.
Regional programs should incorporate environmental justice considerations, and develop
measurements where feasible, into their stated evaluation criteria and reflect those
considerations in the terms and conditions of the grant award, as appropriate.10 Examples
of key activities that can be incorporated and evaluated to ensure integration of
environmental justice principles include, but are not limited to: (1) identifying EJ
communities and vulnerable populations that may be disproportionately impacted by
environmental burdens and/or experiencing adverse health impact; (2) sharing and
developing resources, tools, and data, for monitoring and tracking of successes; and (3)
providing training within programs and tribal agreements, workplans guided by NEPPS
goals and objectives that lead to an understanding of expectations and effective
implementation that foster best practices; (4) identifying clear performance expectations,
commitments on targeting inspections where disproportionately high and adverse human
health or environmental effects have been noted; and (5) providing opportunities for
enhanced public participation, consideration of limited English proficiency or immigrant,
traditional or cultural needs, and ensuring early engagement, meaningful participation
and information exchange.
In order to identify barriers that may impede or limit the development of effective
partnerships with states and tribes, regions are urged to take advantage of the
opportunities mentioned above to ensure that the most vulnerable of populations/areas
receive appropriate resources and adequate attention. To the extent applicable, the
Agency will pilot and share best practices and resources with states and tribes in order to
bridge gaps, maintain transparency, provide support and partnerships where there are
limited resources. Additionally, the Agency encourages states and tribes to share
appropriate tools, guidance, traditional knowledge and good neighbor practices that will
9 See: http://www.epa.gov/compliance/environmentaljustice/index.html.
10 PlanEJ 2014 Legal Tools, p. 92, Section B. See:
http://www.epa.gov/environmentaljustice/resources/policv/plan-ej-2014/ej-legal-tools.pdf.
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contribute to improved public health in minority, low-income and other vulnerable
communities.
3. Strategically use the NEPPS process to organize and articulate mutual
compliance and enforcement (C/E) priorities, and ensure they are aligned with
commitments in PPGs and other categorical grant workplans.
States and tribal nations bear important responsibilities for the day-to-day mission of
environmental protection, but they are faced with declining tax revenues and fiscal
challenges. Strong partnerships and accountability are more important than ever.
The annual planning process with states for C/E is an integral part of state-EPA planning,
and should reflect the shared accountability of EPA and states in protecting the
environment and public health. Historically, C/E has not been consistently included in
the NEPPS planning process. State-EPA C/E commitments were often developed
through a different process and memorialized in separate agreements or workplans.
During the last 5-10 years, a number of regions and states have included C/E plans and
priorities in strategic PPAs and linked them to commitments in PPGs and individual state
grant agreements. Therefore, as a best practice, regions are encouraged to organize and
articulate C/E priorities and commitments through the NEPPS process to achieve more
comprehensive, integrated and flexible work planning, especially during this time of
scarce resources and state budgetary constraints.
Enforcement topics should be incorporated into the overall programmatic discussions
about priorities, resources and annual commitments in developing PPGs, categorical
grant workplans, and PPAs serving as grant workplans. National, regional and state
enforcement priorities should be discussed with the goal of identifying the most
significant sources and the most serious violations. Regions and states should consider
all available options for addressing the most important work within the available
resources, including worksharing, innovative approaches, as well as traditional
compliance and enforcement tools. Grant workplans should include a clear identification
of performance expectations, commitments on targeting, inspection coverage based on
the various media Compliance Monitoring Strategies and the flexibilities within each, and
the need for timely and appropriate enforcement on the most serious violations at
significant sources. Annual commitments should also include corrective actions that
have been identified in programmatic reviews as well as the State Review Framework.
Finally, EPA and states should discuss and identify new approaches for monitoring
compliance and addressing less serious violations that do not directly impact the
environment or public health.
4. Ensure that the following priorities of the Administrator are included in
regional-state planning discussions. (Note: these priorities are detailed in
individual NPM guidance from OAR, OW, OECA, OPPTS, and OSWER):
• Taking Action on Climate Change
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• Improving Air Quality
• Assuring the Safety of Chemicals
• Cleaning Up Our Communities
• Protecting America's Waters
Goal III: Foster programmatically sound and fiscally responsible PPG management
practices.
Objectives:
1. Ensure the timeliness of state grants. It is a priority for the Agency to ensure the
timely award of continuing environmental program (CEP) grant funds.
Delays in awarding PPGs (and other state grants) create a variety of problems that affect
the states' ability to implement programs. It is a priority for the Agency to ensure the
timely award of CEP grant funds.u This is particularly important when many states are
experiencing budget shortfalls and therefore rely heavily on CEP grant funding. For FY
2013, EPA will issue additional guidance through an Advice of Allowance Letter or
communications from the Office of Grants and Debarment (OGD), and, as appropriate,
provide goals and strategies for the timely award of FY 2013 CEP grants.
2. Implement Grants Policy Issuance (GPI) 09-01: Burden Reduction for State
Grants.
1 9
Grants Policy Issuance (GPI) 09-01: Burden Reduction for State Grants codifies and
summarizes actions EPA has taken to address major grant-related issues identified under
the Agency's State Reporting Burden Reduction Initiative. Section C. 2, in particular,
applies to the reporting frequency of each program included in a PPG. Regions are
encouraged to incorporate adopted burden reduction efforts as widely as possible.
3. Implement Grants Policy Issuance (GPI) 11-03: State Grant Workplans and
Progress Reports; performance measures.
Grants Policy Issuance (GPI) 11-03: State Grant Workplans and Progress Reports1^1 was
developed by the State Grant Workplan Workgroup, composed of EPA and state grant
practitioners. It applies to the fourteen state grant programs previously subject to the
11 All of the CEPs listed in 40 CFR 35 Subpart A are subject to the timeliness policy except: Nonpoint
Source Management (Section 319(h)); State Underground Storage Tanks (Section 2007(f)(2)); Pollution
Prevention (Section 6605); Water Quality Cooperative Agreements (Sectionl04(b)(3)); State Wetlands
Development (Section 104(b)(3)); and Water Quality Planning (Sections 205(g) and 205(j)(2), and the
monitoring portion of Water Pollution Control (Section 106).
12
13
See: http://intranet.epa.gov/OGD/policv/GPI 09-01 final.pdf.
See: http://www.epa.gov/ogd/grants/fmal grants_policv issuance 11 03 State Grant_Workplans.pdf.
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State Grant Performance Measures Template. For these programs, it requires that
workplans and associated progress reports prominently display three Essential Elements:
the EPA Strategic Plan Goal; the EPA Strategic Plan Objective; and Workplan
Commitments plus time frame.
The GPI will go into effect for awards made on or after October 1, 2012. It was issued
well in advance of the effective date to allow regions and states sufficient time to adjust
to the new requirements. National Program Managers and Regional Program Offices
should ensure that the GPI is incorporated in upcoming FY 2013 workplan negotiations,
and provide appropriate outreach to state recipients. In addition, OGD will work with the
regions on a case-by-case basis to address any implementation challenges.
To further transparency, the GPI calls for the establishment of an information technology
application to electronically store workplans and progress reports. OGD is in the process
of drafting the requirements for the application and will be discussing them with
members of the Workgroup. OGD anticipates having the application operational by the
beginning of FY 2013. If you have any questions about the GPI, please contact Jennifer
Hublar of OGD at (202) 564-5294.
NPM guidance governs the establishment of regional commitments for annual budget
measures and additional operational measures. Since the State Grant Performance
Measures Template is no longer required, NPMs have discretion about whether or not to
continue those measures as part of their overall set of FY 2013 measures. Please refer to
individual NPM guidance for specific requirements.
4. Implement Grants Policy Issuance (GPI) 11-01: Managing Unliquidated
Obligations and Ensuring Progress under EPA Assistance Agreements.
Grants Policy Issuance (GPI) 11-01: Managing Unliquidated Obligations and Ensuring
Progress under EPA Assistance Agreements14 became effective in FY 2011 and
addresses the Office of Inspector General's (OIG) concerns about the necessity of
internal controls to identify and deobligate unneeded assistance agreement funds, or to
prevent unwarranted accumulations of unliquidated obligations. The policy also
addresses the Agency's responsibilities under the Federal Managers' Financial Integrity
Act (FMFIA) and EPA Order 5700.6 A2 CHG 2, Policy on Compliance, Review and
Monitoring by including provisions that highlight the need for timely project/program
completion and monitoring of unliquidated obligations. The policy includes limits on
project periods, development of indicators to assess the effectiveness of funds utilization,
requirements for workplan milestones and delivery dates, and "sufficient progress" terms
and conditions.
Given the tight budget climate, effective management of ULOs is a high priority for the
Agency and OGD will be working closely with the states to implement the ULO reforms.
14 See: http://intranet.epa.gov/OGD/policv/gpi 1101 12 02 10 final.pdf.
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It is important for the regions to implement GPI-11-01 for effective management of grant
ULOs. The OGD contact for the ULO policy is Laurice Jones, who can be reached at
(202)564-0223.
Regions and states should also ensure that PPG funds are efficiently utilized to
accomplish priority environmental activities identified in grant workplans. The PPG
NPM, OCIR, in coordination with the media program NPMs, Regional Program Offices
and OGD, has developed the following PPG-specific "sufficient progress" term and
condition to be included in new assistance agreements awarded on or after December 1,
2010:
EPA may terminate the assistance agreement for failure to make sufficient
progress so as to reasonably ensure completion of the project within the project
period, including any extensions. EPA will measure sufficient progress by
examining the performance required under the workplan in conjunction with the
milestone schedule, the time remaining for performance within the project period,
and/or the availability of funds necessary to complete the project.
The OCIR contact for the ULO policy as it applies to PPGs is Reynold Meni, who can be
reached at (202) 564-3669.
5. Ensure that state and tribal PPGs are managed in a manner that is consistent
with the budget, workplan and progress reporting requirements of 40 CFR 35,
Subparts A and B.
Recent concerns have been raised by PPG recipients about requests from EPA for
additional budget information and progress reporting for individual grants included in a
PPG that are inconsistent with the workplan and funding requirements of 40 CFR 35. The
ability of a state or tribe to combine up to 18 grants in a single PPG provides
administrative benefits that include streamlined paperwork and accounting procedures. It
is important to note that once grants are combined in a PPG, funds do not have to be
tracked by the original program source. In general, 40 CFR Part 35 only requires one
budget, financial status report and a negotiated workplan that incorporates commitments
for each workplan component funded by the PPG. For most grants included in a PPG, an
annual performance report is required, but for some grants a semi-annual performance
report is required. However, regions may require more frequent performance reports (not
to exceed quarterly reporting) only where agreed to by a state or tribe or where there are
performance issues, such as Agency concerns with the timely and appropriate
expenditure of funds.
6. Ensure compliance with Title VI of the Civil Rights Act of 1964 in the
implementation of state grants.
It is a priority of the Agency to ensure compliance with Title VI of the Civil Rights Act
of 1964 (see: http://www.epa.gov/civilrights/t61awrg.htm). This statute prohibits
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discrimination based on race, color, and national origin, including limited English
proficiency (LEP), by entities receiving federal financial assistance.
• EPA's Office of Administration and Resources Management (OARM) will work
with the Office of Civil Rights (OCR) and the Office of General Counsel (OGC)
in coordination with the grants management community to develop and
implement appropriate grant conditions, training programs and monitoring
strategies to help achieve compliance with Title VI and implementing regulations
and guidance.
• As required by implementing EPA regulations at 40 C.F.R. Part 7, EPA applicants
must complete EPA Form 4700-4 to demonstrate compliance with Title VI and
other non discrimination statutes and regulations. See:
http://www.epa.gov/ogd/forms/adobe/4700-4 sec.pdf The regulations also
impose specific obligations on grant recipients, including providing compliance
information, establishing grievance procedures, designating a Title VI
Coordinator, and providing notices of non-discrimination. See:
http://www.epa.gov/civilrights/docs/40p0007.pdf
• Title VI requires EPA financial assistance recipients to provide meaningful access
to LEP individuals. To implement that requirement, and consistent with Executive
Order 13166, http://www.epa.gov/civilrights/docs/eol3166.pdf, the Office of
Civil Rights (OCR) issued guidance to recipients entitled, Guidance to
Environmental Protection Agency Financial Assistance Recipients Regarding
Title VI Prohibition Against National Origin Discrimination Affecting Limited
English Proficient Persons. "See: http://frwebgate.access.gpo.gov/cgi-
bin/getdoc.cgi?dbname=2004_register&docid=fr25in04-79.pdf.
• The regions should encourage the states to consider enhanced public participation.
To help states develop public involvement programs, OCR published a Title VI
Public Involvement Guidance for EPA Assistance Recipients Administering
Environmental Permitting Programs, http://edocket.access.gpo.gov/2006/pdf/06-
2691.pdf.
• All recipients of EPA financial assistance have an affirmative obligation to
implement effective Title VI compliance programs and ensure that their actions
do not involve discriminatory treatment and do not have discriminatory effects
even when facially neutral. Recipients should be prepared to demonstrate that
such compliance programs exist and are being implemented, or to otherwise
demonstrate how they are meeting their Title VI obligations.
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Appendix A: Grant Programs Eligible for Performance Partnership Grants
Grant Program
Air Pollution Control - CAA 105
Radon Assessment and Mitigation - TSCA 306
Water Pollution Control - CWA 106
Water Nonpoint Source Implementation - CWA 319
Wetlands Development Grants Program - CWA 104(b)3 (competitive)
Public Water System Supervision - SDWA 1443 (a)
Underground Injection Control - SDWA 1443(b)
Hazardous Waste Management - SWDA 301 1 (a)
Brownfields Response - CERCLA 128(a)*
Pesticides Program Implementation - FIFRA 23 (a) 1
Lead-Based Paint Activities - TSCA 404(g)
Toxic Substances Compliance Monitoring - TSCA
Pesticides Cooperative Enforcement - FIFRA 23 (a) 1
Environmental Information Exchange Network* - Authority in EPA
Appropriations Acts
Pollution Prevention Initiatives - PPA 6605 (competitive)
Pesticide Applicator Certification and Training
Indian Environmental General Assistance Program
State Underground Storage Tanks
Required Match
Greater of MOE or 40%**
50%
MOE
40%
25%
25%
25%
25%
0%
0%
0%
25%
0%
0%
50%
50%
0%
25%
* Program added to list of grants eligible for PPGs after publication of the Part 35 rule.
** MOE = Maintenance of Effort level.
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