v>EPA United Stales Environmental Protector Healthcare Environmental Assistance Resources Pollution Prevention and Compliance Assistance for Healthcare Facilities ------- U.S. Army Environmental Management System Implementers Guide Version 1.0 May 2003 ------- ACKNOWLEDGMENTS This document was developed for the U.S. Army by the Logistics Man- agement Institute (LMI). In preparing this guide, the authors relied on nu- merous public documents and information sources for background information, implementation ideas, examples, and other critical references. The following sources were invaluable in developing this guide: International Organization for Standardization, Environmental man- agement systemsSpecification with guidance for use, ISO 14001:1996. International Organization for Standardization, Environmental man- agement systemsGeneral guidelines on principles, systems and supporting techniques, first edition, ISO 14004:1996(E). Concurrent Technologies Corporation, Environmental Management System Guidance Manual: Implementing ISO 14001. Concurrent Technologies Corporation, Environmental Management ToolkitAn Environmental Management System Implementation Tool, October 2002. National Science Foundation International Strategic Registrations (NSF-ISR), Ltd., Environmental Management SystemsAn Imple- mentation Guide for Small and Medium-Sized Organizations, sec- ond edition, January 2001. The Public Entity Environmental Management System Resource (PEER) Center, How to Implement an EMS [on-line document], un- dated [cited February 2003]. Available from http://www.peercen- ter.net/howtoimplement/. ------- Contents Chapter 1 Introduction 1-1 PURPOSE OF THIS GUIDE 1-1 WHAT Is AN EMS? 1-1 Mission Focus 1-1 ISO 14001 1-1 IMPLEMENTATION REQUIREMENTS 1-2 ARMY POLICY 1-3 General 1-3 Metrics and Reporting Requirements 1-4 RESOURCING IMPLEMENTATION 1-5 IMPLEMENTATION ROADMAP 1-6 ROLES AND RESPONSIBILITIES 1-8 CONTINUAL IMPROVEMENT 1-8 FREQUENTLY ASKED QUESTIONS 1-8 Chapter 2 Step-by-Step Guidance 2-1 INTRODUCTION 2-1 Step 1. Designate the EMSMR 2-2 Step 2. Coordinate with senior leaders and select the CFT 2-2 Step 3. Orient and train the CFT in EMS implementation 2-4 Step 4. Conduct a self-assessment (by 30 March 2004) 2-6 StepS. Meet with the EQCC 2-7 Step 6. Prepare an EMS implementation plan 2-8 Step 7. Obtain CDR approval of the EMS implementation plan (by 30 September 2004) 2-9 Step 8. Hold an EMS implementation kickoff meeting 2-9 Step 9. Identify mission focus 2-11 Step 10. Revise and sign installation environmental policy statement (by 30 September 2003) 2-15 ------- Step 11. Plan and conduct EMS awareness training (by 30 March 2005) 2-18 Step 12. Initiate EMS documentation 2-22 Step 13. Develop EMS document control procedures 2-25 Step 14. Establish communications procedures 2-28 Step 15. Compile legal and other requirements 2-31 Step 16. Identify all mission and installation activities, products, and services 2-36 Step 17. Identify the environmental aspects of your installation's activities, products, and services that can be controlled or influenced 2-40 Step 18. Identify the environmental impacts of each aspect 2-44 Step 19. Identify significant environmental aspects 2-47 Step 20. Develop or revise installation environmental management programs 2-57 Step 21. Establish environmental objectives and targets 2-59 Step 22. Describe structure and responsibilities 2-67 Step 23. Develop SOPs and work practices for activities associated with significant aspects 2-68 Step 24. Identify and fulfill environmental competency-based training requirements for all installation personnel (garrison and tenants) 2-69 Step 25. Establish monitoring and measurement procedures 2-73 Step 26. Establish procedures for maintaining EMS records 2-76 Step 27. Develop and review emergency preparedness and response documents and procedures 2-79 Step 28. Establish procedures for nonconformance and preventive and corrective actions 2-83 Step 29. Conduct periodic EMS audits 2-87 Step 30. Conduct periodic EMS management reviews 2-90 References Appendix A. Acronyms VI ------- Contents FIGURES Figure 1-1. ISO 14001 Model with Mission Focus 1-2 Figure 1-2. Suggested EMS Implementation Sequence for Army Installations 1-7 Figure 2-1. EMSMR and Cross Functional Team Implement the EMS 2-11 Figure 2-2. EMS Document Hierarchy 2-22 Figure 2-3. Fuel Storage and Dispensing Operations 2-43 Figure 2-4. EMS Document Hierarchy 2-77 Figure 2-5. Linkages Among EMS Audits, Corrective Action, and Management Reviews 2-89 TABLES Table 2-1. Federal Laws and Regulations 2-34 Table 2-2. Mission or Functional Areas and Their Processes 2-37 Table 2-3. Environmental Aspects of Vehicle Maintenance Activities 2-42 Table 2-4. Environmental Aspects and Impacts of Vehicle Maintenance Activities 2-45 Table 2-5. Sample Rating Factors for Frequency or Likelihood of Environmental Impact 2-49 Table 2-6. Sample Rating Factors for Severity of Environmental Impacts or Consequences 2-50 Table 2-7. Sample Rating Factors for Severity of Mission Impacts 2-50 Table 2-8. Sample Rating Factors for Regulatory Status 2-51 Table 2-9. Sample Rating Factors for Community Concern 2-51 Table 2-10. Information Sources 2-62 Table 2-11. Preliminary Environmental Objectives 2-62 Table 2-12. Regulatory Requirements and Objectives 2-63 Table 2-13. Installation Communications 2-64 Table 2-14. Target Objectives 2-64 Table 2-15. Performance Measures for Final Objectives 2-66 VII ------- Chapter 1 Introduction PURPOSE OF THIS GUIDE This guide provides Army personnel an easy-to-use, step-by-step tool for implementing the Army's environmental management system (EMS). It provides the information needed to establish and implement an installation EMS, while allowing the flexibility to address differing installation missions and operational readiness requirements. WHAT Is AN EMS? An EMS is the part of an organization's overall management system that integrates environmental concerns and issues in the organization's man- agement processes. An EMS addresses organizational structure, plan- ning activities, responsibilities, practices, procedures, processes, and re- sources for developing, implementing, achieving, reviewing, and maintain- ing environmental policy. An EMS enables an organization of any size or type to control the impact of its activities, products, or services on the natural environment, allowing it to not only achieve and maintain compli- ance with current environmental requirements, but to recognize and proactively manage future issues that might impact mission sustainability. Implementing an EMS generally will not require installations to create an entirely new system. Many of the required elements of an EMS are already in place as part of existing programs. Mission Focus Each installation's EMS must focus on supporting and sustaining the in- stallation's mission. This guide shows how to identify and incorporate mission priorities in EMS implementation. The resulting management sys- tem will help organizations identify, manage, and mitigate the environ- mental impacts associated with mission-related activities. ISO 14001 The Army leadership has decided to use the ISO 14001 standard devel- oped by the International Organization for Standardization as a model for developing and implementing an EMS at each installation. The ISO 14001 standard provides EMS specifications that apply to a wide variety of 1-1 ------- organizations. Click here to view the ISO 14001 standard. This imple- mentation guide is specifically designed to enable Army installations to develop a mission-focused EMS that conforms with the ISO 14001 stan- dard. Figure 1-1 shows the ISO 14001 model, which employs a continual cycle of policy, planning, implementation and operation, checking and corrective actions, and management review. The ultimate goal is to continually im- prove environmental performance as the cycle is repeated. Figure 1-1. ISO 14001 Model with Mission Focus Mission Focus Environmental Policy Management Review Checking & rrective Action Implementation & Operation IMPLEMENTATION REQUIREMENTS Executive Order (EO) 13148, "Greening the Government Through Leader- ship in Environmental Management," directs all federal agencies as fol- lows: By 31 December 2005, each agency shall implement an [EMS] at all appropriate agency facilities based on facility size, complexity, and the environmental aspects of facility operations. The facility [EMS] shall include measurable environmental goals, objectives, and targets that are reviewed and updated annually. 1-2 ------- Introduction Once established, [EMS] performance measures shall be incorpo- rated in agency facility audit protocols.1 ARMY POLICY General The Deputy Assistant Secretary of the Army (Environment, Safety and Occupational Health) signed an action memorandum on EMS, which di- rects installations to meet the following requirements: Implementation shall be initiated NLT [no later than] FY04, with an environmental management system in place NLT 31 December 2005. Adopt the internationally recognized management system standard, ISO 14001, as a goal. Full conformance with the ISO 14001 standard shall be completed NLT FY09.2 The action memorandum also states the following: Third party registration to the standard is not required. However, installation commanders may pursue registration when it provides clear and documented mission benefits. Implementation of the standard will be incremental. It will be con- sistent with available funds and the requirements of Executive Or- der 13148, "Greening the Government Through Leadership in Envi- ronmental Management." The Army's EMS policy directs a phased approach to satisfying EO 13148 and EMS implementation: First, comply with EO 13148 by meeting the Army/Department of Defense (DoD) implementation metrics by 31 December 2005 (see below). 1 Executive Order 13148, "Greening the Government Through Leadership in Envi- ronmental Management," April 21, 2000. 2 Memorandum for Assistant Chief of Staff for Installation Management, from Ray- mond J. Fatz, Deputy Assistant Secretary of the Army (Environment, Safety and Occupa- tional Health), OASA(I&E), Subject, Army Environmental Management System, July 13, 2001. Available from http://aec.army.mil/usaec/support/ems-requirements080601.pdf. 1-3 ------- Then, use continual improvement to build the remaining parts of a mission-focused, ISO 14001-conformant EMS by December 2009. Developing and implementing an EMS is required at all appropriate Army installations, including those located in the Continental United States (CONUS) and Outside Continental United States (OCONUS), as well as all Army Reserve and National Guard installations. Click here for a defini- tion and listing of appropriate organizations and installations. Installations OCONUS will integrate EMS elements into existing management practices and procedures, in consonance with Final Governing Standards and ap- plicable host nation requirements. As indicated previously, no boilerplate EMS applies to all Army installations. Although the ISO 14001 standard can be applied to many different types of organizations, differences in or- ganization and mission dictate that EMSs must be tailored to individual installations. Installation staffs must individually determine the best way to design or adapt their own management procedures to conform with the ISO 14001 standard. Click here for the latest EMS guidance specific to Army National Guard (ARNG), OCONUS, and government-owned, contractor-operated (GOCO) installations and other special categories of organizations. Metrics and Reporting Requirements Beginning first quarter FY04, installations must submit data semiannually to the Environmental Quality Report (EQR) on EMS implementation status. The Army will track EMS implementation in the Strategic Readi- ness System (SRS). Click here for the latest guidance on reporting re- quirements. The following Army EMS implementation metrics3 meet the requirements of EO 13148 and should be completed by the listed dates: Develop an ISO 14001-conformant environmental policy state- ment, consistent with the Army EMS action memorandum, signed by the commander, NLT 30 September 2003. Complete an installation-wide EMS self-assessment with appropri- ate documentation, signed by the commander, NLT 30 March 2004. 3 Memorandum for Deputy Assistant Secretary of the Army (Environment, Safety and Occupational Health) from John Paul Woodley, Jr., Assistant Deputy Undersecretary of Defense (Environment), Subject, Environmental Management System (EMS) Implemen- tation Criteria and Metrics, 30 Jan 2003. 1-4 ------- Introduction Complete a written EMS implementation plan with defined dates, identified resources, and organizational responsibilities for imple- menting a mission-advancing, ISO 14001-conformant EMS, signed by the commander, NLT 30 September 2004. The meaning of the term commander, as used in this guide, varies by organization: For active-Army and Army Reserve organizations, it means the garrison com- mander. For ARNG organizations, it refers to the adjutant general or garrison com- manders at major training sites. For civil works organizations, it refers to the district chief of operations. Environmental aspect is an element of an organization's activities, products, or ser- vices that can interact with the environment. Chapter 2 discusses environmental as- pects in detail. Compile a prioritized list of environmental aspects NLT 30 March 2005. Provide awareness-level briefings on the Army's EMS to all appro- priate installation personnel NLT 30 March 2005. Complete at least one management review in accordance with the installation's documented policy for recurring internal EMS man- agement reviews NLT 31 December 2005. These metrics are minimum requirements. Installations should complete them before the scheduled dates if resources allow. Some organizations have reported that moving faster maintains interest and makes implemen- tation easier. Scheduling management reviews. Instructions regarding the EMS management review do not appear until Step 30 of this guide. However, we recommend periodic (annual or semiannual) management reviews during the implementation process as well. These reviews will help you meet the Army EMS implementation metrics above and maintain senior leader oversight of EMS implementation. RESOURCING IMPLEMENTATION Army leadership has programmed funds for installation-wide EMS imple- mentation, including ranges and training areas. Implementation funding will be available starting in FY04 and will continue through FY06. Click here for the latest EMS funding guidance. Typical installation resource requirements for implementing an EMS include the cost of people, time, and contractors. As the Army gains experience in implementing EMSs, 1-5 ------- implementation costs will likely decrease. Although initial costs of devel- oping and implementing an EMS can be significant, the program will lead to efficiencies in the long term. Click here to view case studies of EMS costs and cost savings. Updated tools, training materials, example documentation, and guidance are available to help Army installations implement an EMS. For informa- tion related to EMS tools and guidance, see the Defense Environmental Network Information Exchange (DENIX) Army EMS website https://www.denix.osd.mil/denix/DOD/Library/EMS/ems.html. IMPLEMENTATION ROADMAP This guide identifies 30 EMS implementation steps that lead to a mission- focused, ISO 14001-conformant EMS. Chapter 2 provides step-by step instructions. Figure 1-2 is a suggested implementation sequence chart, which provides installations a visual overview of the 30 steps. The steps are arranged in a logical order that progressively builds the essential parts of an ISO-conformant EMS. The sequence in Figure 1-2 differs slightly from ones you may see in other EMS guidance documents: It contains additional requirements specifically designed for Army installations. Certain requirements or elements have been moved forward in the implementation sequence to help installations get an early start in meeting dates associated with Army implementation metrics. Requirements associated with communications and documentation procedures have been moved forward in the sequence to help in- stallations manage the implementation process. The implementation sequence is not rigid and can be adapted to accommodate an installation's specific situation. In Figure 1-2, yel- low boxes highlight the requirements associated with Army and DoD implementation metrics, which must be completed by 31 De- cember 2005. 1-6 ------- Figure 1-2. Suggested EMS Implementation Sequence for Army Installations LMI The elements shown in the blocks below provide a logical sequence for planning and implementing an EMS, starting at the left side of the page and following the arrows. You may also choose to revise this sequence to accommodate specific situations at your installation. We recommend you carefully read the entire guide before choosing an alternative sequence. 31 December 2005 Milestone: At a minimum, the Army metric elements (in yellow) must be completed and an annual management review performed before 31 December 2005 in order to satisfy Army Policy and EO 13148 requirements. Start Here Commander (CDR) and EMS Management Representative(EMSMR) Initiate EMS Planning (Steps 1-8): EMSMR and Cross Functional Team (CFT) Implement the EMS: CDR Selects EMSMR CDR/EMSMR Coordinate with EQCC and Select Cross Functional Team (CFT) CFT Receives EMS Training CFT Conducts Self-Assessment CDR/EMSMR Brief the EQCC CFT Prepares EMS Implementation Plan CDR Approves EMS Implementation Plan CDR/EMSMR Hold EMS Kickoff Meeting Step9 Mission Step 10 Environmental Policy, ISO 14001 Sec 4.2 Step 11 Awareness Training ISO 14001 Sec 4.4.2 H Step 12 Documentation ISO 14001 Sec 4.4.4 >n ^^ D Step 13 ocument Contr ISO 14001 Sec 4.4.5 t NOTE: The EMSMR leads the CFT. After all EMS elements are implemented, the system shifts to a "continual improvement" mode, where all EMS elements are periodically reviewed and revised to improve mission focus and environmental performance. Step 20: Environmental Management Programs, ISO 14001, Sec 4.3.4 Step 21: Objectives & Targets ISO 14001. Sec 4.3.3 Step 22: Structure & Responsibility ISO 14001, Sec 4.4.1 Step 23: Operational Control ISO 14001, Sec 4.4.6 Step 24: Competence Training, ISO 14001, Sec 4.4.2 Step 25: Monitoring and Measurement ISO 14001, Sec 4.5.1 Step 26: Records, ISO 14001, Sec 4.5.3 Step 15 Legal and Other Requirements ISO 14001 Sec 4.3.2 Step 14 Communicatio ISO 14001 Sec 4.4.3 I I Step 27 Emergency Preparedness and Response ISO 14001 Step 28 on-Conformance and Corrective and Preventive Actions, ISO 14001 Sec 4.5.2 ; ive Step 30 Management Review ISO 14001, Sec 4.6 Step 29 EMS Audits ISO 14001, Sec 4.5. 30 September 2009 Milestone: Installations must complete all the elements above and have a fully functioning EMS (ISO 14001 compliant). 1-7 ------- ROLES AND RESPONSIBILITIES Chapter 2 recommends specific roles and responsibilities for overseeing and completing the elements shown in Figure 1-2. Senior leaders have a particularly important role in supporting EMS implementation. The com- mander has overall responsibility for the implementation but delegates au- thority for executing the process to a designated EMS management repre- sentative. The installation environmental quality control committee (EQCC), or similar senior leader advisory group, provides installation-wide oversight and support to the EMS implementation effort.4 Establishing an active EQCC facilitates the senior leader oversight and buy-in vital to EMS implementation. All on-site contractors are required to operate in confor- mance with and support the EMS. Click here for detailed guidance regarding contractors and non-DoD entities located on the installation. CONTINUAL IMPROVEMENT An EMS must be continually updated to address changes in missions, en- vironmental aspects and impacts, legal requirements, roles and responsi- bilities, and training requirements. Audits and periodic reviews of the EMS procedures and documentation identify areas for improvement. Once im- plementation is completed, EMS responsibilities continue, but mostly at the operational or functional process level. If the EMS has been properly designed and implemented, most day-to-day EMS activities become part of how the installation conducts its business, as opposed to a special, separate program. Chapter 2 describes key EMS and continuous im- provement activities. FREQUENTLY ASKED QUESTIONS Click here to view frequently asked questions and responses regarding EMS implementation. 4 We use the abbreviation EQCC throughout this report to refer to an actual EQCC or any similar senior leader advisory group. 1-8 ------- Chapter 2 Step-by-Step Guidance INTRODUCTION The remainder of this guide leads the user through required actions for EMS implementation by defining terminology, describing recommended actions, identifying those involved, and giving detailed instructions, exam- ple documentation, and links to tools and other materials that will help im- plement the EMS. The sequence of steps shown in this guide is not unalterable. You can rearrange the sequence to fit your situation. COMMANDER AND EMS MANAGEMENT REPRE SENTATIVE INITIATE EMS PLANNING (STEPS 1-8) CDR selects EMSMR CDR/EMSMR coordinate with EQCC and selects CFT CFT receives EMS training CFT conducts self-assessment CDR and EMSMR meet with EQCC CFT prepares EMS implementation plan CDR approves EMS implementation plan CDR/EMSMR hold EMS kickoff meeting EMS implementation at the installation begins with the commander (CDR). The CDR must ensure that several key actions are completed before EMS implementation can actually start: Designate the EMS management representative (EMSMR). Coordinate with senior leaders and select the cross-functional team (CFT). Conduct a self-assessment. Meet with the EQCC. Prepare an implementation plan. 2-1 ------- Step 1. Designate the EMSMR. The CDR designates the EMSMR, who is responsible for managing and overseeing the EMS implementation effort. In some cases, the CDR may designate him or herself as the EMSMR to ensure the appropriate level of visibility and support for EMS. If so, the CDR should also designate an ac- tion officer or assistant to attend to the day-to-day details of implementing the EMS. In other cases, the CDR might designate a key staff member as the EMSMR. The EMSMR (or designated action officer) should possess the necessary authority, a good understanding of installation organizations, and the project management and facilitation skills needed to succeed in this role. The EMSMR coordinates the implementation, manages day-to-day opera- tions, and leads and manages the CFT. Specific responsibilities include planning and managing EMS implementation, delegating tasks and establishing deadlines, collecting and evaluating work, and arranging training, guidance, and assistance.1 The CDR should consider background, experience, availability, and other appropriate factors when designating the EMSMR. Consider individuals outside the environmental office when choosing the EMSMR. The EMS needs installation-wide support to be effective, and designating a non- environmental person to implement the system conveys the message that EMS involves much more than environment. In many cases, members of the CDR's special staff are prime choices for the EMSMR position. Step 2. Coordinate with senior leaders and select the CFT. EMS implementation requires support from across the installation. The CFT coordinates this support and is responsible for implementing the EMS installation wide. This step has two objectives: coordinating with senior leaders on the installation to get their buy-in and (in some cases) obtaining a CFT member from their organizations. Under the leadership of the 1 The Public Entity Environmental Management System Resource (PEER) Center, How to Implement an EMS [on-line document], undated [cited February 2003]. Available from http://www.peercenter.net/howtoimplement/. 2-2 ------- Step-by-Step Guidance EMSMR, CFT members become the EMS experts and proponents in each functional area. Typical responsibilities of the CFT include gathering, organizing, and disseminating information; delegating EMS tasks and general responsibilities; collecting and evaluating work; developing EMS procedures; advising, coordinating, and facilitating EMS implementation; representing all functional areas of the installation regardless of ac- tual CFT representation; and managing the reactions to the changes resulting from EMS imple- mentation.2 Each CFT member should have clear responsibilities for representing and coordinating with specific organizations on the installation. For example, a CFT member from a military unit might serve as the CFT representative for all the military units on the installation. Do the following to make the CFT succeed: Look to the leaders. You need motivated, organized individuals: let supervi- sors identify the appropriate candidates. Provide training. Clearly communicate member roles and responsibilities. Secure time commitments from management. (The PEER Center, How to Implement an EMS) CFT members should include a representative from the environmental of- fice as well as representatives concerned with key installation activities such as operations and training, logistics, acquisition, and ranges. The CDR and EMSMR should seek volunteers or ask other senior leaders on the installation to recommend employees to serve on the CFT. 2 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 2-3 ------- The CFT should consist of no more than eight people. The CDR and EMSMR should ask the following questions when selecting the team members: Are they motivated, interested, and able? Are they experts in their own functional areas? Are they good communicators? Can they give credence to the EMS program?3 Do coworkers trust and respect them? Are they responsible for environmental issues?4 Do they represent functional areas that are directly concerned with or potentially affected by environmental issues?5 Are they aware of the installation's most critical environmental is- sues? Are key functions represented?6 The CDR and EMSMR should ask the commanders or supervisors of various tenants, activities, and units to approve potential team members, after which the CDR announces the team. Step 3. Orient and train the CFT in EMS implementation. After the EMSMR and CFT members are selected, the EMSMR should hold a CFT orientation meeting before CFT training begins. At this meet- ing, the EMSMR should do the following: Provide members with copies of the EMS implementation guidance and other pertinent information. Establish an initial CFT EMS training schedule and set additional research assignments, if needed. 3 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 4 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 5 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 6 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 2-4 ------- Step-by-Step Guidance Establish a schedule for periodic CFT meetings (weekly breakfast, monthly, etc.). The periodic CFT meetings need not be formal, just a venue for reviewing the current implementation status, discussing new initiatives, checking status of research assignments, etc. Appoint a member of the CFT as the EMS document coordinator. This person will be responsible for ensuring the proper documents are created, stored, and maintained in accordance with procedures established later in the implementation process. This can be a big job, and it will continue to require effort beyond initial EMS imple- mentation. The document coordinator should have a strong infor- mation technology (IT) background because the EMS documenta- tion is best managed electronically. This person should have access to the necessary files (with appropriate security clearances) and the capability to store and modify documents, as well as dis- tribute information as needed. Choose someone well organized: this job is key to initial EMS implementation and continuous opera- tion. Choose a member of the CFT as meeting recorder (possibly the same person as the EMS document coordinator). This person is responsible for properly documenting each meeting (including the initial one) through written minutes. The recorder also files and maintains the meeting records in accordance with the procedures the EMS document coordinator establishes. Is EMS management software necessary? Numerous commercial off-the-shelf (COTS) software packages are available to help you implement and manage your EMS. In May 2003, the Army completed an evalua- tion of 19 of these systems, using a variety of evaluation criteria. These systems can be very useful, providing you choose a system appropriate for your needs. Don't buy the first one you see. Click here to view the EMS software evaluation, and do your homework! All team members need in-depth EMS training and a clear understanding of their roles and responsibilities to plan and lead the implementation ef- fort. Specific training objectives should include the following: EO requirements Army policy ISO 14001 requirements EMS fundamentals (what it is, how it works, who is responsible etc.). 2-5 ------- Training is available from many sources. The CFT can be trained by con- tractors on- or off-site, at private institutions or training centers, or through Army training sites. The training can be done in-house via distance learn- ing or train-the-trainer sources. Click here to find information on training resources. Step 4. Conduct a self-assessment (by 30 March 2004). Army EMS Implementation Metric Self Assessment: An installation-wide EMS self-assessment consistent with Army EMS policy has been conducted, documented, and briefed to the CDR. The CFT is responsible for performing a self-assessment to analyze the installation's current conformance with the ISO 14001 standard. This sys- temic-level self-assessment should examine installation policies, proc- esses, and procedures relevant to EMS requirements. The self- assessment itself is not a required ISO 14001 element, but it is one of the Army's EMS implementation metrics. It should require only a few days to complete, and the assessment team (headed by the EMSMR) should be no more than six people. CFT members should have a basic understanding of ISO 14001 before conducting the self-assessment. Completing initial EMS training, plus some additional self-study, should suffice. Use the following links to ac- cess tools to assist with the assessment. These assessment tools help you determine what your installation has and what it needs to have for an Army-approved EMS. (Click here to view a self-assessment worksheet. Click here to view a gap analysis checklist. Click here to view a gap analysis scoring worksheet.) Since the self-assessment is one of the Army's EMS implementation metrics you should maintain internal records of the results. However, ISO 14001 does not require self-assessment re- cords for conformance. The self-assessment team should report the results to the CDR. These results ultimately help the EMSMR and CFT develop an implementation plan and identify the resources needed to implement the EMS. Because most Army installations have well-established environmental programs, some basic components of the EMS are likely already in place. 2-6 ------- Step-by-Step Guidance Step 5. Meet with the EQCC.7 After the self-assessment is completed, the CDR should meet with the EQCC and discuss the following: EMS implementation efforts > Provide a brief EMS introduction and overview. > Explain that the garrison is implementing an EMS per Army pol- icy and EO 13148. > Explain that the garrison will involve them in future tasks, such as implementation planning and management reviews. > Obtain buy-in and set the stage for future meetings. Results from the self-assessment > Explain the purpose of the self-assessment. > Provide the installation's EMS statusthe requirements already met and those pending. > Ask for assistance in highlighting areas that may require signifi- cant resources (including non-environmental ones) and identify- ing funding sources. Reviewing and revising the environmental policy statement > Explain that the environmental policy is an Army metric for im- plementing the EMS and must be completed by 30 September 2003. > Explain that your staff will revise the installation's environmental policy to reflect EMS implementation efforts and that they will be included in the staffing process. > Obtain input. If your installation does not have the required EQCC or it has not been meeting regularly, you must form one (as required by Army Regulation (AR) 200-1) and set a regular meeting schedule. The EQCC is the ideal senior leader group to participate in EMS implementation because it in- cludes mission commanders and other senior representatives from all the major organizations and tenants on the installation. 7 We use the abbreviation EQCC throughout this report to refer to an actual EQCC or any similar senior leader advisory group. 2-7 ------- Step 6. Prepare an EMS implementation plan. Using the results of the self-assessment and guidance from the meeting with the EQCC, the EMSMR should begin working with the CFT to de- velop an EMS implementation plan and associated budget: The implementation plan is critical because it is the roadmap for EMS implementation across the installation. Completing the plan and obtaining command approval is also an Army EMS implemen- tation metric. Use the self-assessment results and this guidance to determine what parts of the EMS your installation needs and how to complete them. The EMS implementation plan should detail the key actions needed to complete the elements required in an ISO 14001-conforming system, who completes those elements, the resources needed, who provides the resources, and when the work is completed.8 The plan must clearly cite the desired goals for EMS implementa- tion (for example, whether certification is desired) and clearly define roles and responsibilities for plan execution. Make sure it includes key milestones. Use automated project planning tools as needed to help plan and manage the EMS implementation process over time. Some organizations may elect to establish timekeeping codes to track hours spent implementing the EMS. These data can be useful in tracking total EMS implementation costs and in continuing project management efforts. Click here to view an example implementation plan. NSF International Strategic Registrations (NSF-ISR), Ltd., Environmental Manage- ment SystemsAn Implementation Guide for Small and Medium-Sized Organizations, 2001, p. 13. 2-8 ------- Step 7. Obtain CDR approval of the EMS implementation plan (by 30 September 2004). Step-by-Step Guidance Army EMS Implementation Metric Implementation Plan. A written plan with defined dates, identified resources, timelines, and organizational responsibilities for implementing an installation-wide EMS consistent with Army EMS policy has been signed by the CDR. When completed, the implementation plan and budget must be staffed through all senior leaders in the garrison and non-garrison organizations, and then reviewed and signed by the CDR. By concurring with the imple- mentation plan, mission commanders and directors commit to providing the necessary resources (funding and manpower) for EMS implementa- tion. Be certain to identify specific funding sources in the plan budget. Resources include human resources and specialized skills, technology, and funding. After the plan is approved, file it in an accessible location (see documenta- tion requirements) and give it and the budget to the installation manage- ment regional office (IMRO). Use the approved plan as the primary project management tool to identify potential roadblocks and to ensure task accomplishment. Periodically review implementation progress with regard to milestones and analyze the budget. ISO 14001 does not require documentation or records regarding the implementation plan. However, since the plan is required by the Army implementation metrics, we rec- ommend controlling the implementation plan under the document control system (Step 13) and tracking implementation progress with appropriate records (Step 26). Step 8. Hold an EMS implementation kickoff meeting. An installation-wide EMS implementation kickoff meeting is a good way to formally announce the EMS effort. Explain why the installation is imple- menting an EMS and the benefits that will result from EMS implementa- tion. Present the self-assessment results as the foundation for EMS implementation efforts across the installation and discuss the installation and Army goals for EMS implementation. A wide variety of people should attend this kickoff meeting, including the following: CDR EMSMR CFT EQCC 2-9 ------- Installation master planning representative Installation environmental staff Representatives from all installation functional areas IMRO representative, if available Unions Contracting officer or contracting officer's representative Community advisory boards Interested parties from the community. The CDR should sponsor and announce the kickoff meeting. The EMSMR prepares the agenda and supports the CDR as required. At the kickoff meeting, the CDR should introduce the installation's EMS efforts, explain why the initiative is important, and briefly overview how the implementa- tion is going to occur. Click here to view draft talking points for the CDR's briefing. Ensure that members of the environmental management office attend the kickoff meeting since they provide environmental technical support regard- ing specific environmental issues. Include representatives from all func- tional areas on the installation to inform them how they are expected to contribute to the implementation effort. Good representation from tenants, activities, and units at the installation is essential. Emphasize that EMS implementation requires support from across the installation. Tenants, ac- tivities, and units are all involved in implementation efforts. Finally, invite an IMRO representative. The IMRO is the next higher headquarters above the garrison in the Installation Management Agency (IMA) organiza- tional structure. An IMRO representative may be willing to attend the kickoff and make some remarks regarding the IMA and the regional per- spective on the EMS implementation initiative. EMSMR AND CFT IMPLEMENT THE EMS At this point, most of the preparatory work is complete and you are ready to begin the critical phase of EMS implementation. Except for "Mission Focus," all elements in Figure 2-1 directly relate to the requirements of ISO 14001. Those highlighted in yellow include requirements contained in the Army and DoD implementation metrics. 2-10 ------- Step-by-Step Guidance Figure 2-1. EMS MR and Cross Functional Team Implement the EMS Step 10 Environmental Policy. ISO 14001 Sec 4.2 Step 11 Awareness Training ISO 14001 Sec 4.4.2 Documentation ISO 14001 Sec 4.4.4 Document Control ISO 14001 Sec 4.4.5 Step 20: Environmental Management Programs, ISO 14001. Sec 4.3.4 Step 21: Objectives & Targets ISO 14001. Sec 4.3.3 Step 22: Structure & Responsibilitv ISO 14001. Sec 4.4.1 Step 23: Operational Control ISO 14001. Sec 4.4.6 Step 24: Competence Training, ISO 14001. Sec 4.4.2 Step 25: Monitoring and Measurement ISO 14001, Sec 4.5.1 Step 26: Records. ISO 14001. Sec 4.5.3 S ^ En' I ^ ^^" Steps 16-19 Environmental Aspects ISO 14001 Sec 4.3.1 Step 15 Legal and Other Reguirements ISO 14001 Sec 4.3.2 Step 14 Communication ISO 14001 Sec 4.4.3 Emergency Preparedness and Step 28 Nonconformance and Corrective and Preventive Actions. ISO 14001 Sec 4.5.2 Response ISO 14001 Sec 4.4.7 Step 30 Management Review ISO 14001. Sec 4.6 Step 29 EMS Audits ISO 14001. Sec 4.5.4 Remember, you can rearrange the sequence of these steps as ap- propriate for your situation. To accelerate implementation and frontload the implementation metric requirements, you can postpone Steps 12, 13, and 14 until after the aspects and impacts analysis is completed. You can also perform many of these steps concurrently, if resources permit. The concept of continual improvement is critical to the EMS. The entire EMS is periodically reviewed and revised to improve performance and ad- dress changes in mission or installation operations. Step 9. Identify mission focus. Objective Identify and document installation-level mission priorities. In order to create a mission-enhancing EMS, the CFT members must in- terview senior leaders from the major organizations on the installation to help determine installation-level mission priorities. The interview process should accomplish the following objectives: Identify and prioritize actions that installation units and organiza- tions must currently perform to maintain readiness or to accomplish the organization's day-to-day missions. 2-11 ------- Identify and prioritize anticipated (future) mission requirements (3 to 5 years in the future). Identify future large-scale issues that might affect the installation mission (10 or more years in the future). Identify environmental roadblocks or impediments that affect mis- sion capabilities. Why Is Mission Focus Important? An essential step in designing an EMS is understanding the mission priori- ties of the units and organizations on the installation. The warfighting, training, and sustaining missions are the top priorities of any installation: these missions are why the installation exists. The challenge is to identify, manage, and mitigate the environmental impacts of mission-related activi- ties. By proactively managing these impacts, you can continue to train and perform critical activities now and in the future. Clearly identifying fu- ture missions and large-scale issues early allows greater time and flexibil- ity for identifying impacts and finding solutions. A well-designed EMS supports realistic, effective, and sustainable training and operations, and helps the installation prepare for new mission requirements. Every installation has a unique set of mission priorities based on the dif- ferent organizations residing, operating, and training on the installation. The following paragraphs provide recommendations for planning and completing mission focus interviews. 1. Develop an inventory of all units and organizations to be inter- viewed. This will help you make sure that no organization is left out, set completion milestones, and schedule interviews. > Get copies of organizational charts and learn the chain of com- mand, so you understand the hierarchy of the military organiza- tions. > As you develop the inventory, you must consider all units, or- ganizations, and tenants on the installation, including Table of Organization and Equipment (TOE), Table of Distribution and Allowances (TDA), active, Reserve, and ARNG. > If your installation has multiple units with the same organization and mission (three infantry battalions, for example), limit the in- terview to one of those units. > Identify unit environmental compliance officers (ECOs) in mili- tary units and their respective level of training per AR 200-1. 2-12 ------- Step-by-Step Guidance > In preparation for selecting the leaders to be interviewed, review recent notices of violation (NOVs), environmental enforcement actions, and Environmental Program Assessment System (ERAS) or Environmental Compliance Assessment System (EGAS) findings. Be certain to interview the leaders of organi- zations where environmental problems or issues have been identified. 2. Notify leaders and ECOs to be interviewed. > Explain the purpose of the interview. > Provide read-ahead materials and request completion and re- turn of the unit information sheet along with a copy of the unit mission-essential task list (METL), if available. > When scheduling interviews, begin with the garrison com- mander, senior mission commanders, and directors of non-TOE activities on the installation. Include senior leaders of any non- Army organizations that are tenants on the post. > The read-ahead materials should include an EMS information brochure, unit information sheet and instructions, and the inter- view format and instructions. Click here to view an example unit information sheet. 3. Select the interviewers and prepare for the interviews. Be cer- tain to match the interviewer's experience and knowledge with the organization being interviewed. Persons interviewing commanders of military units should have a good understanding of Army units and operations and should spend time reviewing the unit informa- tion sheet before conducting the interviews. 4. Conduct the Interviews. > Begin each interview by explaining the purpose of the interview and how the results will be used to develop a mission- enhancing EMS. Use a written format sheet to guide the dis- cussion and record information. Click here to view a recom- mended interview format. Click here to view the instructions for using the interview template. > Major interview objectives Identify current missions and mission priorities. What are the unit's most important missions and mission-related activities? One technique for determining priorities is to perform a hypothetical resource allocation. If the leader had 2-13 ------- 100 "resource units" to fund mission priorities, how would they be distributed? Identify and prioritize anticipated future missions (3 to 5 years out). What new missions or weapons systems will be assigned to the unit in the near future? Where do these fall in the priority scheme? Identify future large-scale issues that might affect the installation and its missions (10 or more years out). Ask the leader to discuss any situations that might significantly limit future mission capabilities. Examples include regional issues, such as water shortages and power grid or infrastructure limitations, and military issues, such as increased training space requirements for new longer-range weapons systems. Discuss environmental "roadblocks" or issues that negatively affect the mission. These should be issues that are difficult to work around or that cause significant impairments to the mission or training. Examples include endangered species habitats, noise restrictions, and air emission restrictions (dust, smoke, etc.). 5. Determine the installation's top mission priorities. After com- pleting all the interviews, combine the results and total the resource units for each mission listed on the interview sheets. The activities with the highest (composite) resource allocations are the installa- tion's top mission activities. When the roll-up (installation-level) mission priorities are determined, the CFT (with assistance from the environmental office) reviews and verifies the results, which will be used in the aspects and impacts analysis, described in Steps 16 through 19. As you determine the significance of environmental aspects and impacts, be certain to consider the aspects and im- pacts associated with the top priority missions identified in this step. 2-14 ------- Step 10. Revise and sign installation environmental policy statement (by 30 September 2003). Step-by-Step Guidance Environmental Policy, ISO 14001, Section 4.2 Army EMS Implementation Metric Policy. An installation-wide environmental policy has been signed by the CDR and made available to installation personnel and the public. Objective Complete an installation environmental policy statement that conforms to ISO 14001 requirements. Importance of the Environmental Policy The environmental policy is the installation's statement of the overall direc- tion and principles of action regarding its environmental responsibility. "It sets the goal as to the level of environmental responsibility and perform- ance required of the organization, against which all subsequent actions will be judged."9 ISO 14001 defines an environmental policy as a statement by the organization of its intentions and principles in relation to its overall environmental performance, which is a framework for action and for setting its environmental objectives and targets. Your installation probably already has an installation environmental policy. Use this opportunity to review the policy and make sure it fulfills the re- quirements described below. The EMSMR will need to work with the CDR and CFT to review and revise, or create, a suitable environmental policy statement. Policy Content In order to conform with ISO 14001 and be relevant to an Army installa- tion, the policy must include the following key features: It must be appropriate for the nature, scale, and environmental im- pacts of the installation's activities, products, or services. This is one of the reasons why we examined mission focus in Step 9. The policy must have some reference to the installation's mission. 9 International Organization for Standardization, Environmental management sys- temsGeneral guidelines on principles, systems and supporting techniques, ISO 14004, 1996, Section 4.1.4, p.6. 2-15 ------- It must include a commitment to continual improvement and pre- vention of pollution. Nothing elaborate is requiredjust a brief statement that commits the installation to these two concepts. ISO 14001 defines continual improvement as the process of enhancing the EMS to achieve improvements in overall environmental performance in line with the organiza- tion's environmental policy. ISO 14001 defines prevention of pollution as the use of processes, practices, materi- als, or products that avoid, reduce, or control pollution, which may include recycling, treatment, process changes, control mechanisms, efficient use of resources, and ma- terial substitution. The policy must make a commitment to comply with relevant envi- ronmental legislation and regulations and with other requirements to which the installation subscribes. If the installation has already made this commitment, it can be stated in one sentence in the pol- icy. It must provide the framework for setting and reviewing environ- mental objectives and targets. Again, no elaborate explanation is required. You might state that you will be setting objectives and targets in the same sentence as continual improvement. The policy must be documented, implemented, maintained, and communicated to all employees. The policy must be managed and controlled in accordance with your document control procedures (Step 13). It must be signed by the CDR and reissued following changes of command (some installations make the initial signing ceremony a media event or press release). It must also be com- municated to and understood by everyone in the organization. Some installations have used wallet cards to assist in this effort. And finally, the policy must be available to the public, at least as re- quested. Your installation may choose to publish the policy in a newspaper or on your website.10 10 International Organization for Standardization, Environmental management sys- temsSpecification with guidance for use, ISO 14001, 1996, Section 4.2, p. 2. 2-16 ------- Step-by-Step Guidance Optional Content Your environmental policy may include other goals for which your installa- tion strives, for example, minimize any significant adverse environmental impacts of new missions or processes through the use of the integrated environ- mental management procedures and planning; incorporate sustainability and life-cycle thinking in planning deci- sions; select products that minimize environmental impacts in production, use, and disposal; reduce waste and the consumption of resources (materials, fuel, and energy) and commit to recovery and recycling, as opposed to disposal, where feasible; improve environmental education and training of the workforce; share environmental experience; promote involvement of and communication with interested parties; work with local communities toward sustainable development; and encourage the use of EMS by suppliers and contractors.11 Anything you include in the policy is subject to audit. If you commit to something, you must follow through and be able to prove it. Staffing and Finalizing In most cases, the EMSMR is responsible for drafting a new or revised environmental policy. After completing the draft, staff the policy according to your installation's staffing guidance. Staffing is essential for obtaining constructive input and commitment from those who will implement the pol- icy. The garrison commander will want to ensure that key subordinates and the installation's major tenant commanders understand and support the environmental policy. Click here to view an example of an ISO 14001-conformant, installation- level environmental policy from Fort Lewis. Click here to view Toby- hanna's policy statement. 11 ISO 14004, Section 4.1.4, p. 7. 2-17 ------- Step 11. Plan and conduct EMS awareness training (by 30 March 2005). Training, Awareness and Competence, ISO 14001, Section 4.4.2 Objective Army EMS Implementation Metric Training. Installation personnel defined as appropriate by the CDR have received awareness-level EMS training that is consistent with Army EMS policy and docu- mented. Plan and complete EMS awareness training to meet ISO 14001 require- ments. Importance This is not the same as the competency-based environmental training, covered in Step 24, which ISO 14001, Section 4.4.2, also requires. ISO 14001 addresses awareness and competency training in the same section, but does not clearly distinguish between the two. The Army has decided to address awareness training early in the implementation proc- ess to prepare and educate all installation personnel on the basic con- cept of the EMS and how it might generally affect them. Competency- based training addresses job-specific issues and occurs later in the im- plementation process, after key elements of the EMS are already in place. One of the great benefits of implementing an EMS is that it educates and empowers employees so everyone (not just the environmental office) can find ways to improve environmental performance. The purpose of EMS awareness training is to create a basic awareness and understanding of EMS principles. Installations must complete all EMS awareness training requirements by 31 December 2005. The purpose of this general environmental awareness training is to gain commitment to the environmental policy; gain commitment to achieving organization objectives and targets; and instill a sense of individual responsibility. 12 12 ISO 14004, Section 4.3.2.4, p. 16. 2-18 ------- Step-by-Step Guidance The EMSMR should work with the CFT to plan and conduct EMS aware- ness training annually for all installation personnel. The CFT is re- sponsible for identifying training needs; establishing and maintaining procedures for conducting training; and keeping records of the training that has been completed. The first time you conduct awareness training, your EMS will probably not be complete and all the elements and requirements of your EMS will not be in place. Therefore, you may not be able to address all the require- ments of Section 4.4.2 in the initial training sessions. Simply tell the at- tendees that some parts of the EMS are still being developed and they will receive additional guidance during refresher awareness training. As new EMS elements are implemented, they must be incorporated into subse- quent presentations of the awareness training to fully comply with the ISO 14001 requirement (by 2009). For EMS awareness training content, consider using some of the same training sources that you used in previous steps (see Step 3 for the CFT training). Required Elements Awareness training is intended to be general in nature. Remember that individuals whose work has a direct impact on the environment will later receive specialized competency-based training. The required elements of EMS awareness training include discussion of the installation's environmental policy and the impor- tance of conformance with the policy and its associated proce- dures; what an EMS is, why the installation needs one, and how the EMS procedures and requirements help protect the environment; examples of relationships between typical work or mission activities and significant environmental impacts; what individuals can (and are expected to) do to protect the envi- ronment; 2-19 ------- roles and responsibilities in achieving conformance with the envi- ronmental policy and procedures and the EMS requirements, in- cluding emergency preparedness and response; and the potential consequences of departure from operating proce- dures.13 Optional Elements Optional elements of the EMS awareness training include the Army's environmental policy; possible actions to minimize or eliminate environmental impacts and how each employee can contribute; the importance of compliance with standard operating procedures (SOPs) and regulatory requirements; the overall improvement of the installation's environmental per- formance; and involvement of the local community and other interested parties.14 Key Actions Take the following steps to implement EMS awareness training: 1. Meet with the training managers at your installation. Discuss the requirements for EMS awareness training, the resources avail- able, and what needs to be done. In most cases, they will assist you in scheduling and arranging the training sessions and notifying attendees. You may choose to incorporate EMS awareness train- ing into regularly scheduled training events, such as unit training days. You may also have access to computer-based training re- sources or closed circuit television systems. Always remember that EMS must be fully integrated into the installation's business proc- esses and should therefore be a standard part of the installation's training requirements. 13 ISO 14001, Section 4.4.2, p. 3. 14 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 33. 2-20 ------- Step-by-Step Guidance 2. Schedule and initiate awareness training. > Start EMS awareness training as soon as the environmental policy has been updated and signed. You may have to sched- ule multiple training sessions to accommodate all the employ- ees who require the training. Examples At one large facility, all EMS awareness training is provided via CBT. The training ma- terials have been placed on the facility's main computer server. Employees log on and go through the training materials, which typically requires about 1 hour. The comput- erized training program tracks who has taken the training and each person's test scores, thus providing the necessary training records. Environmental awareness classes provided by one global company use multiple- choice tests to give the instructor an idea of the staff's level of understanding and help the employees become more knowledgeable. This company also observed that as employees learn more about the organization and what it does to protect the envi- ronment, their sense of ownership grows. > The awareness training does not have to be conducted in a classroom. Consider alternatives, such as computer-based training (CBT), resources listed on the Defense Environmental Network and Information Exchange (DENIX), training work- shops, and videos. > Maintain records of EMS training. These records can be cen- trally managed at the installation's training office or elsewhere. They must be kept current and readily available for review or audit, and their location must be specified in the EMS Records procedures (see Step 26). 3. Ensure the continuing adequacy of EMS training. Offer training frequently to reach new employees, transfers between depart- ments, new contractors, and military units using the training areas. Most installations provide a monthly or quarterly "newcomers orien- tation" for new employees and military transfers. This is one venue for providing EMS awareness training to the target audience. At range areas, some installations add an EMS briefing to the required safety brief. 4. Update and maintain training materials. Establishing standard- ized training materials, and periodically reviewing and updating them, will help keep the training relevant as situations, missions, and organizations change. It will also help keep the training consis- tent, even if different instructors or presentation media are used. It also provides a good overview of training content for auditors or 2-21 ------- other interested parties. Procedures for maintaining, reviewing, and updating the training materials should be included in your EMS document control procedures (see Step 13). Click here to access awareness training materials and training sources. Step 12. Initiate EMS documentation. Objective IS Documentation, ISO 14001. Section 4.4.4 u Design a standardized framework your installation will use to develop and organize the various types of documentation required by ISO 14001. Importance Complete, well-organized documentation is essential for describing, man- aging, evaluating, and improving the EMS. EMS documentation provides a written description of your installation's EMS and directions for how things should be done. Developing EMS documentation is an ongoing process. Some of the required documentation already exists on your installation you just need find it, review it, and ensure that it is kept current. Other parts of the documentation required by ISO 14001 will take time to de- velop. The following subsections describe the types of EMS documenta- tion required. You can now start to develop and organize it. Documentation Hierarchy Think of EMS documentation as a tiered system, as shown in Figure 2-2. Figure 2-2. EMS Document Hierarchy A V More Detail Procedures Operational Controls EMS Records EMS Documentation provides policy and direction EMS Records describe results Four types of EMS documentation typically constitute the hierarchy. (Re- cords are not considered part of documentation.) As you move down the pyramid, the amount of information, degree of specificity, and number of pages generally increase. 2-22 ------- Step-by-Step Guidance Environmental Policy EMS Manual The first level of documentation is the environmental policya statement of the installation's mission, intentions, and principles related to its envi- ronmental performance. (You completed the environmental policy in Step 10.) The EMS manual is the central document that describes core elements of the EMS and how they fit together. The ISO 14001 specification does not specifically require a manual, but a manual provides a simple and effective solution for achieving conformance with ISO 14001 EMS documentation requirements. The manual provides a roadmap of the installation's EMS, briefly addresses each of the elements within the EMS, and clearly out- lines the processes the installation uses to run the EMS (think of it as an EMS concept of operations). You should now develop an outline for your EMS manual, which lists its basic content: Environmental policy An outline of the installation environmental management programs The location of EMS roles, responsibilities, and authorities The location of current EMS objectives and targets The location of other documentation, such as emergency response plans, training plans, and sops (consider using a flowchart) The location of document control and records procedures The location of monitoring, measuring, and corrective action proce- dures The location of information on regulatory and other requirements. As you continue implementation of your EMS, you will develop the infor- mation and procedures described above. Think about organizing the manual along the lines of the EMS elements shown in Figure 2-1, which address the requirements in ISO 14001. This will help you check your conformance with the ISO 14001 standard. 15 15 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 40; and ISO 14004, Section 4.3.3.2, p. 19. 2-23 ------- The EMS manual is not a comprehensive physical collection of all the de- tailed procedures developed throughout the EMS implementation. Try to keep the EMS manual short, no more than one page per EMS element, and as simple as possible.16 You do not need to describe every detail of your EMS in the manual: refer to other documents or procedures so that you can revise individual procedures without revising the entire EMS manual. The EMS manual can be a useful tool for explaining the installa- tion's EMS to new employees, auditors, or other interested parties, if de- sired. Review and update the manual according to your document control procedure (Step 13) to account for any changes to your EMS. Click here for examples of EMS manuals developed by other Army installations. In addition to the EMS manual, the installation needs more detailed docu- mentation of its EMS.17 As you continue with the implementation process, you will create procedures for certain elements of the EMS. These proce- dures are part of the EMS, and your manual should include directions to locate the EMS procedures. As you create area- or activity-specific in- structions (SOPs) on certain operations or activities, you may also choose to include their locations in the EMS manual. You will not be able to complete the manual until you finish EMS imple- mentation, but starting it now helps you organize and document ongoing efforts. EMS Procedures The third level of documentation is EMS procedures, which describe how to operate and maintain the EMS and define the authority, responsibility, and accountability for implementation and follow-through. Developing and maintaining EMS procedures is mainly the responsibility of the CFT. This guide will prompt you to develop the required EMS procedures as you continue implementation. When you reach the end of this implementation guide, most of your EMS procedures should be completed. As you oper- ate and refine your EMS, you will probably see a need to revise some of the procedures or add new ones to address emerging issues. Operational Controls (SOPs) The fourth level is the collection of EMS operational controls or SOPs. Your installation already has SOPs for most major processes or activities. Supervisors and leaders are responsible for the SOPs in their functional areas. As you implement the EMS, the goal is to ensure the SOPs direct 16 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 47. 17 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 47. 17 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 2-24 ------- Step-by-Step Guidance employees to perform their jobs in ways consistent with the installation's environmental policy and the goals and objectives of the EMS. The SOPs should incorporate significant environmental aspects (Step 19), objectives and targets (Step 21) and monitoring and measurement procedures (Step 25) into the daily activities or job practices of installation personnel. CFT members and environmental personnel should work with unit leaders and civilian supervisors to produce SOPs that support the EMS. These SOPs give specific, detailed instructions that describe the methods for at- taining environmental goals and hence complying with environmental pol- icy. Although most SOPs are already in place, reviewing and revising them can be a lengthy process. We recommend you develop a prioritized schedule that starts with environmentally significant processes or activities on your installation and maintain steady progress toward revising the SOPs. Step 23 provides detailed guidance for developing and revising SOPs. EMS Records EMS records are not considered part of EMS documentation. Documen- tation describes policies, procedures, and other directive information, while records provide a written history of EMS performance and actions completed (such as training). We detail the EMS records and related ISO 14001 requirements in Step 26. Click here to view a summary of ISO 14001 and Army requirements for EMS documentation and records. Step 13. Develop EMS document control procedures. Document control, ISO 14001, Sec 4.4 Objective Importance Develop written procedures to ensure proper management of EMS docu- mentation and conform to the IS014001 standard. In order to effectively implement and operate the EMS, installation per- sonnel must have access to the information they need to do their jobs properly. They need correct and current procedures, instructions, and other reference documents. "Without a mechanism to manage these EMS documents, the organization cannot be sure that people are working with the right tools."18 To ensure everyone works with the proper documents, you need a procedure to describe how the documents are controlled. 18 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 50. 2-25 ------- Requirements ISO 14001 requires only that organizations "establish and maintain" document control procedures. We recommend these procedures be writ- ten and maintained as part of the EMS documentation. Your document control procedure should ensure that documents can be easily located and accessed (employees must know where to find them); are kept current (the latest version or revision); are kept as paper or electronic copies (but paper copies must be kept up to date, controlled, and effectively managed in a central lo- cation); Because keeping documentation up to date and maintaining it at a central location is difficult, you may (and are encouraged to) use electronic systems to manage your EMS documentation. The feasibility of using an electronic format depends on your installation's computer network and the degree of employee access to the system. If your installation is already using an electronic document management system, you should try to use it, if possible. If you plan to purchase a new document control sys- tem for the EMS, be sure that it meets your needs and is compatible with other sys- tems already in use. are periodically reviewed, revised as needed, and approved by ap- propriate personnel (check to make sure documents are still valid); are available at all locations where operations essential to the effective functioning of the EMS are performed (make sure the peo- ple who need the documents have access); that are obsolete are promptly removed from all points of issue and points of use, or otherwise kept from unintended use (prevent peo- ple from using the wrong document); and are suitably identified if obsolete and retained for legal reasons or knowledge preservation. Try to keep your system as simple as possible, including only documents that need to be controlled. You can quickly overwhelm the system by in- cluding unnecessary documents. Ensure that everyone knows how to use the system and understands their individual responsibilities for maintaining the system. 2-26 ------- Step-by-Step Guidance Click here to view a document control worksheet that summarizes key questions regarding the document control process. By answering the questions on the worksheet, you can build a framework for your EMS document control procedures. Among others, the following EMS documents should be managed under the document control system: Environmental policy Aspects and impacts analysis data and results Environmental management program documents Objectives and targets Roles, responsibilities, and authorities EMS manual EMS procedures Process- or activity-level procedures Related plans (such as emergency response plans).19 Click here to view a document index spreadsheet for listing and tracking the status of controlled EMS documents. Click here to view examples of systems used successfully at other Army installations. 19 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 51. 2-27 ------- Document Control System Hints Keep the document control procedure simple. Consider other document con- trol procedures on the installation when developing yours. Limit document distributionmake only the copies you need. Consider using the LAN or Intranet as a paperless system. Consider com- mercial document control software packages, but make sure the system meets your needs. Prepare a document control index that shows all your EMS documents, their location, their revision history, and the date of the next review. Include a ref- erence to the index in the EMS manual, but do not include the index in the manual, because the index will require frequent revisions. If you use a paper- based system, prepare a distribution list that shows who has copies of the documents and their location. When revising documents, highlight the changes (using highlight, bold, under- line, different colors, etc.) or use a change sheet to show the changes. (NSF-ISR, Ltd., Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, 2001) Step 14. Establish communications procedures. Objective Communication ISO 14001, Section 4.4.3 Importance Develop procedures for internal and external communication of EMS in- formation, as required by the IS014001 standard. ISO 14001 requires only that the organization establish and maintain pro- cedures for communication and does not require documentation. How- ever, we recommend that you document (write down) communication procedures if you want personnel to universally understand and consis- tently follow the procedures. Good communication, within the installation and to external interested par- ties, is essential for developing and implementing the EMS. "Effective en- vironmental management requires effective communications, both internally and externally."20 The installation must establish and maintain two different types of communications procedures: Internal communications between the various levels and functions on the installation, and 20 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 43. 2-28 ------- Step-by-Step Guidance External communications. Most installations already have basic communications procedures in place. If that is the case at your installation, you need only revise the pro- cedures to address EMS information. Internal Communications Internal communications include verbal communication (staff meetings, brown bag lunches, training, etc.), e-mail, intranet, memoranda, newslet- ters, posters, and bulletin boards. When developing the procedures, take advantage of existing communications channels and consider how differ- ent target audiences on the installation access or distribute information. Some employees may not have consistent access to a computer for e- mail and intranet-based information, so multiple types of communication may have to be used. The following information needs to be communi- cated internally: Information on day-to-day EMS operations, including the environ- mental policy and how it will be publicly available General EMS education and awareness information, including the process for receiving and responding to the concerns of employees and other interested parties Environmental regulatory reporting requirements How to achieve objectives and targets Environmental incidents Environmental aspects Personnel responsible for various parts of the EMS How the EMS will be monitored EMS audit results and results, including the process for making all personnel aware of those results (communicated through the EQCC) The management review cycle. 2-29 ------- External Communications You need an effective procedure for dealing with external communica- tions. The installation must establish procedures describing how it distrib- utes information to the public and how it receives, documents, and responds to relevant communication from different types of external inter- ested parties. The procedure should clearly identify the information to be made available to the public. ISO 14001 requires only that the environ- mental policy be made available, but some installations also include the following: Environmental aspects and impacts Installation environmental objectives and targets Meeting minutes Permits Compliance information, such as fines and NOVs. Consult the public affairs office (PAO), legal office, security, operations, and other involved staff elements before deciding what information to re- lease. In addition to listing the publicly available information, document how you make it available and how frequently your installation updates it. The PAO likely coordinates external communications and is probably the best external point of contact (POC). If no external POC exists, establish one and require the POC to coordinate and maintain records of external communications. ISO 14001 requires documenting or keeping records of communications with external parties. The procedure for recording exter- nal communications can be as simple as stapling an inquiry to the re- sponse and then filing them together.21 The installation leadership determines whether the installation initiates and establishes external communication of the installation's significant aspects (see Step 19). Army installations are not required to publicly communicate this information. We recommend you decide in advance what information will be shared with the public and record your decision. If you choose, you can share EMS information by various means: Reports and newsletters Press releases in newspapers, in magazines, or on television 21 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 44. 2-30 ------- Step-by-Step Guidance Websites Public meetings. Although it is not an ISO 14001 requirement, we recommend you docu- ment the internal and external communications procedures, including who manages inquiries and the flow of information, who is responsible for preparing and approving responses, and types of information to be communicated. Written communications procedures should be maintained in accordance with the installation's document control procedures. Effective internal and external environmental communication and reporting has the following characteristics: It is two-way. Information is understandable and adequately explained. Information is verifiable. It presents an accurate picture of the organization's performance. Information is presented in a consistent form (for example, similar units of measure to allow comparison of two periods).22 Click here to view an example of an internal communications procedure document. Click here to view an example of an external communications procedure document. Step 15. Compile legal and other requirements. Le9a| and other Requirements, r ISO 14001, Section 4.3.2 Objective Develop a written procedure to compile and keep current all legal and other requirements pertaining to installation environmental issues. ISO 14001 requires only that the organization establish and maintain pro- cedures pertaining to legal and other requirements and does not require documentation. However, we recommend that you document the proce- dure to ensure it is periodically reviewed and revised as needed. 22 ISO 14004, Section 4.3.3.1, p. 18. 2-31 ------- Importance Legal and other requirements are part of the baseline for your EMS. As your installation performs its mission activities, everyone must be aware of the environmental regulations and other requirements that they must meet. In addition, the revised environmental policy (developed in Step 10) re- quires a commitment to legal and other requirements. To fulfill this com- mitment, your organization needs to know the legal requirements that apply to your operations, activities, or services and how they affect what you do. 23 Your installation probably already has a process for identifying legal and other requirements that pertain to environmental issues. In this step, you review the process to ensure that it captures all the applicable laws and regulations. Your installation does not have to commit to additional voluntary require- ments not mandated by law or Army policies. However, if your installation has previously volunteered or subscribed to other requirements, you must follow through on that commitment. This commitment also holds if you plan to participate in such activities in the future.24 Legal requirements include all federal, state, and local legislative and regulatory envi- ronmental requirements that apply to your operations, including all Army policies and regulations. They also include administrative requirements, such as permits, authori- zations, licenses, records, reporting, and environmental plans. Other requirements include voluntary obligations to which the organization commits, including the following: Industry standards of practice, such as American National Standards Institute (ANSI) and ASTM standards Agreements with public authorities, such as consent decrees and U.S. Envi- ronmental Protection Agency (EPA) programs Internal installation requirements, such as ISO 9000 Environmental management principles. (U.S. Army Guidance Manual, p. 16.) 23 PEER Center, How to Implement an EMS [on-line document], undated [cited Feb- ruary 2003]. Available from http://www.peercenter.net/howtoimplement/. 24 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 16. 2-32 ------- Step-by-Step Guidance As you review your current process for identifying legal and regulatory re- quirements, make sure it meets the following criteria: Identifies relevant requirements, including state and local. Identifies proposed requirements and changes to existing ones. Describes a process for reviewing and analyzing requirements to determine potential impacts on installation activities, including who reviews and how results are recorded and communicated. Is properly documented and sufficiently detailed. Is stored and maintained in accordance with your EMS document control procedure.25 Table 2-1 lists laws and regulations that govern common activities at Army installations. The environmental management office should be able to provide a list of applicable environmental regulations. The following sources can also help identify legal requirements: AR 200-1, 200-2 DENIX IMRO U.S. Army Environmental Center (USAEC) regional environmental offices (REOs) Federal, state, and local governmental agencies Industrial trade associations, societies, and other related groups Commercial databases Professional services, including environmental consultants and law firms ECAS/EPAS Publications that pertain to self-compliance audits or environmental checklists.26 25ISO14004, Section 4.2.3, p. 9. 26 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 17. 2-33 ------- Table 2-1. Federal Laws and Regulations Federal laws and regulations Clean Air Act (CAA), 40 CFR Parts 50-99 Clean Water Act (CWA), 40 CFR parts 100- 145,220-232,410-471 Resource Conservation and Recovery Act (RCRA), 40 CFR Parts 240-299 Spill Prevention, Control, and Countermea- sures (SPCC), 40 CFR Parts 112-114 Toxic Substances Control Act (TSCA), 40 CFR Parts 700-799 Comprehensive Environmental Response, Compensation and Liability Act (CERCLA, also known as Superfund), 40 CFR Parts 300-31 1 Emergency Planning and Community Right- To-Know Act (EPCRA, also known as SARA Title III), 40 CFR Parts 350-374 Hazardous Materials Transportation Act (HMTA), 49 CFR Parts 100-180 Safe Drinking Water Act (SDWA), 40 CFR Parts 141 -149 AR200-4 Federal Insecticide, Fungicide, and Rodenti- cide Act (FIFRA), 40 CFR parts 150-171 Endangered Species Act (ESA), 16 USC 1531 etseq. Sikes Act, 16 USC 670a-670f AR200-3 Noise Control Act (NCA) EO 13148 "Greening the Government Through Environmental Management" and Pollution Prevention Act Common activities Air emissions, including ozone depleting chemicals (ODCs) from operations, stack or fugitive emissions, equipment, and stored chemicals or fuel Water discharges, including storm water, wastewater, and sewage Chemical or hazardous material or waste, or energy resources (such as coal and petroleum fuels) storage Hazardous waste generation, storage, handling, trans- port, or disposal Solid waste related activities, including sanitary land- fills and recycling and waste minimization programs Underground storage tanks Storage, handling, or transport of oil of any kind, in- cluding petroleum, fuel oil, sludge, oil refuse, and oil mixed with wastes, other than dredge spoils Manufacture, process, distribution, use, or disposal of TSCA-regulated chemicals Releases of hazardous substances needing to be re- ported under CERCLA Contaminated site cleanup Toxic chemical or extremely hazardous substance use (according to EPA's list) Toxic chemical or extremely hazardous substance (ac- cording to EPA's list) transport, processes, use, or storage. Drinking water systems, underground injection, well- head protection or cross-connection control, and back- flow prevention Cultural resources management Pest management Threatened and endangered species, critical habitat, or associated initiatives Natural resources management Natural resources management Noise mitigation, monitoring, and management Pollution prevention activities versus compliance- based solutions, priority chemical use reduction, pollu- tion prevention plans 2-34 ------- COMPLETE ASPECTS AND IMPACTS ANALYSIS AND DEVELOP PRIORITIZED ASPECT LIST (STEPS 16-19) (BY 30 MARCH 2005) Step-by-Step Guidance Environmental Aspects ISO 14001, Section 4.3.1 Army EMS Implementation Metric Prioritized List of Aspects. A list of environmental aspects consistent with ISO 14001 and Army EMS policy has been developed, documented, and briefed to the CDR. Steps 16 through 19 collectively identify the significant environmental as- pects resulting from your installation's activities, products, and services: Step 16. Identify all mission and installation activities, products, and services. Step 17. Identify the environmental aspects of your installation's ac- tivities, products, and services. Step 18. Identify the environmental impacts of each aspect. Step 19. Identify significant environmental aspects. The identification of significant environmental aspects is critical in develop- ing your EMS because they provide the basis for establishing environ- mental management programs, developing objectives and targets, identifying training requirements, determining requirements for operational controls and work procedures (such as SOPs), performing general risk assessments, and completing periodic management reviews. These steps have proven the most difficult for organizations to implement because the methods used can vary widely in detail and complexity and can quickly snowball if you don't tailor your approach to capture the most significant aspects before you exhaust available time and resources. The recommended procedures that follow will help you achieve maximum ef- fectiveness with minimum complexity. ISO 14001 requires only that or- ganizations establish and maintain procedures to identify environmental aspects, but we recommend that you develop written documentation for these procedures to help ensure consistency and understanding. 2-35 ------- Step 16. Identify all mission and installation activities, products, and services. Objective Identify all major installation activities (tactical and nontactical), products, and services for consideration in the aspects and impacts analysis. Importance Activities, products, and services provide the basis for identifying environ- mental aspects and impacts. This step will particularly challenge the CFT because of the sheer num- bers of organizations on an installation and the variety of missions and functions they undertake. Executing assigned missions and functions usually involves undertaking a number of different activities; procuring, us- ing, and developing specific products; and providing services daily in sup- port of the operational readiness mission and routine base operations functions. Mission or Functional Areas and Associated Processes To identify your installation activities, products, and services, follow the simple hierarchy depicted below. Mission or functional area Associated processes Activities, products, and services Before defining activities, products, and services, you need to understand the various mission and functional areas and associated processes that both tactical and nontactical organizations undertake across the installa- tion. Table 2-2 shows typical mission and functional areas and associated processes at the installation level. Activities, Products, and Services Within each mission or functional area, a number of major processes are likely. For example, within the transportation equipment functional area, a typical installation process is to conduct vehicle maintenance operations. At the next level, conducting vehicle maintenance operations might involve a number of specific activities, products, and services. 2-36 ------- Step-by-Step Guidance Table 2-2. Mission or Functional Areas and Their Processes Mission or functional area Description of associated processes Weapons system acquisition Major systems acquisition phases of concept and technology development, system development and demonstration, production and deployment, opera- tions and support, and demilitarization and disposal Example: Demilitarization and disposal of excess or waste munitions Logistics support Acquisition, storage, distribution, and recovery of all classes of supply; main- tenance of materials and equipment; transportation of personnel and mate- riel; provision of support services such as food, commissaries, laundries, and property disposal; and facilities (real property) operation and maintenance, including utilities, minor construction, and general engineering support Example: Ammunition supply operations Training Click here for specific guidance on identifying processes, activities, aspects, and impacts associated with tactical training. Providing and conducting individual, functional, and organizational (tactical and nontactical) training Example: Conducting basic training Infrastructure development and maintenance Processes required to operate the total system of facilities; buildings; struc- tures; horizontal transportation facilities (roads, railroads, bridges, dams, and airfields); utility, transport, and communication systems; ranges and other training areas; ports; airfields; and associated lands and equipment Example: Road maintenance Industrial operations Manufacture of commodities, equipment, and weapons systems Example: Manufacturing small arms ammunition Base operations Processes required to support the missions and functions of assigned and tenant units and activities at the installation level Example: Providing and maintaining troop housing Health and medical support Providing general health care and medical and dental support to personnel and operating and maintaining Army hospitals, medical centers, dental and veterinary clinics, medical treatment facilities, and supporting laboratories Example: Providing outpatient medical services Transportation equipment Operation of tactical and nontactical vehicles, fixed and rotary wing aircraft, rail systems, watercraft, and supporting maintenance operations Example: Perform vehicle maintenance Mobilization and deployment Assembly and organization of material and personnel resources in response to war or other emergencies, and the physical movement of those resources to the theater of operations Example: Railhead operations Research, development, testing, and evaluation (RDT&E) Testing and evaluation of materiel, equipment, and weapons systems at Army proving grounds, laboratories, and related facilities Example: Development of new flameless ration heater Note: The list is not all inclusive and varies from one installation to another. 2-37 ------- Scoping Activities related to vehicle maintenance include changing oil, lubricating chassis, replacing brake linings, and rebuilding engines. Products that might be used or provided include oil, solvents, grease, and repair parts.27 Provided services could include vehicle washing and operator mainte- nance training. Another example is the base operations functional area. Typical installa- tion processes include operating a water or wastewater treatment plant, power generation facility, or sanitary landfill. Activities include primary and secondary treatment of wastewater, operating boilers to power generators, or covering solid waste with earth fill. Products include potable water, while products used include water, fossil fuels, and various chemicals. Provided services include electric power, potable water distribution, solid waste disposal, and recycling. As illustrated by these examples, "activity" generally refers to a major ele- ment of a process undertaken to achieve the mission, a desired objective, or end state. "Product" refers to any commodity or item used, consumed, or created (for example, ammunition manufactured at an industrial facility) during a process. "Service" refers to useful labor or efforts that do not necessarily produce a tangible commodity, but otherwise provide value to a customer. A fine line distinguishes an activity, product, or service. What one views as an activity, another may see as a product or service. Do not allow this to become problematic. Identifying all key elements of the major installa- tion processes for subsequent use in aspects and impacts analysis is the key. Clearly, the total number of processes, activities, products, and services on the typical installation can be very large. At least one Army installation reports having identified over 600 activities across all mission and func- tional areas. The number may have been exaggerated because the com- pilers went into too much detail or listed elements of work as activities. (The steps involved in changing vehicle fluids aren't activities.) Also, keep in mind that you should identify mayor processes and related activities, products, and services only. More realistic is 100 to 200 activities, but even that relatively small number engenders much work completing the aspects and impacts analysis and subsequent EMS implementation steps. For this reason, installations may 27 Products can also be defined as tangible results of a process that turns inputs (such as raw materials) into outputs (such as a weapons system). 2-38 ------- Step-by-Step Guidance decide to limit the scope of initial EMS implementation to one or two mis- sion or functional areas, and then gradually expand the EMS to the other areas. Fort Lewis, WA, took this approach by starting EMS implementa- tion in the directorate of public works (DPW). Now that the complete sys- tem is in place at the DPW, Fort Lewis is working to bring in other organizations and functions across the installation. Regardless of your approach, you must ensure that all installation organizations, ac- tivities, and tenants are covered under the broad umbrella of the installation EMS by 31 December 2005. Getting Started To do a thorough job of identifying all installation activities, products, and services, you should start by compiling as much information as possible, beginning at the process level and working down. Identify every organiza- tion (tactical and nontactical) that resides within the installation fence line, including sub-installations. (You accomplished this in Step 9 when you identified mission focus.) Once you have identified every organization, you should learn as much as possible about their assigned missions, functions, and inherent processes. (Again, you should have already done a much of this in Step 9.) For tacti- cal units, for example, you should already have copies of the unit mission statements and appropriate METLs or Army Readiness Training Evalua- tion Programs (ARTEPs). The METLs and ARTEPs in particular provide a wealth of information about the primary processes and activities involved in mission execution and maintaining operational readiness. You should be able to obtain similar mission and function information from nontactical support organizations, in hard copy or by interviewing key personnel. On industrial installations, contractual documents for GOCO facilities can pro- vide valuable information for this effort. National Environmental Policy Act (NEPA) documents and other historical assessment records can also as- sist in defining processes and associated impacts and aspects. Identify all missions, functions, processes, and activities subject to environmental regulations or permits. Members of the environmental staff can assist. If your installation has implemented activity-based costing (ABC), docu- mentation developed during ABC implementation can provide most of the information you need for the entire installation in a single package. In ad- dition, this guide includes a matrix of typical DoD installation major proc- esses and activities. To view the matrix, click here. Reviewing the major processes and activities that Fort Lewis identified in its analysis can also help. To view a PowerPoint presentation of Fort Lewis's results, click here. 2-39 ------- You can assign responsibility for specific mission or functional areas to CFT members. When feasible, CFT experts in functions (such as logis- tics, operations, and training) should be assigned responsibility for compil- ing information on those functional areas. Unfortunately, since the number of functional areas usually exceeds the number of CFT members, some members must compile information on areas with which they are less familiar. They have to do the best they can by gathering as much in- formation as possible with the time and resources available. Regardless of the approach and sources used, the goal is to compile a comprehensive listing of all major activities, products, and services by mission or func- tional area and process. Compiling Information and Keeping Records The CFT members should compile activities, products, and services for their assigned mission or functional areas using a simple Excel spread- sheet to capture information. This will enable the CFT to readily compile, revise, and manipulate information to perform various analyses or future revisions. To view a sample Excel form (with a few entries) for collecting this information, click here. Step 17. Identify the environmental aspects of your installation's activities, products, and services that can be controlled or influenced. Objective Examine your list of major activities, products, and services and identify the associated environmental aspects that can reasonably be controlled or managed. Definitions and Examples Once you have listed the installation's major activities, products, and ser- vices, you must identify the environmental aspects associated with them. ISO 14001 defines environmental aspects as "elements of an organiza- tion's activities, products, and services which can interact with the envi- ronment." An environmental aspect signifies the potential for an environmental impact, whether good or bad. Environmental aspects are the cause component of a cause-and-effect relationship (with the resulting environmental impact being the effect, 2-40 ------- Step-by-Step Guidance which is discussed in the next step). Generally, the environmental as- pects of Army installation activities, products, and services fall into one or more of the following categories: Air emissions (fugitive or stationary), such as particulate matter, open burn/open detonation (OB/OD), smokes and obscurants, ve- hicle exhaust, dust, combustion gases, smoke from prescribed burning, dust, and noise. Hazardous waste generation, such as various types of industrial and hazardous wastes, contaminated containers, and solvents. Nonhazardous waste generation, such as solid waste. Uncontrolled releases to air, water, or ground, such as lead and migrating munition constituents from ranges. Spills to water or ground, such as fuel or petroleum, oil, or lubricant (POL) spills, hydraulic fluid leaks, storage tank leaks. Discharges (point and nonpoint) to ground or surface waters, in- cluding sewage, sediment, and other wastes. Energy consumption or conservation, including electricity, petro- leum-based, and alternative fuels. Natural resource and raw material consumption or conservation, in- cluding water, timber, minerals, and soil. Ecological resource degradation or conservation, such as wetland protection or destruction and endangered species. Natural resource degradation or conservation, including ground dis- turbance, hydrological alteration, and vegetation alteration. Cultural resource degradation or conservation, including historic properties, archeological sites, and more traditional cultural re- sources. Generation of heat or radiation. You are only required to identify the aspects (and related impacts) that you can control or influence. For example, consider the environmental aspects of vehicle maintenance activities, products, and services presented and discussed in Step 16. Table 2-3 summarizes them. 2-41 ------- Table 2-3. Environmental Aspects of Vehicle Maintenance Activities Activity, product, or service Environmental aspects Change fluids Spills (oil or antifreeze) Discharge to ground or surface water (storm water discharge) Nonhazardous waste generation (used oil, oily rags, etc.) Resource use (petroleum, antifreeze) Resource conservation (if oil or antifreeze is recycled) Lubricate chassis Nonhazardous waste generation (greasy rags) Spills (grease) Discharge to ground or surface water (storm water discharge) Replace brake linings Air emissions (brake dust) Solid waste generation (old linings) Resource conservation (if linings are recycled) Clean and degrease parts Air emissions (volatile organic compounds [VOCs] from solvent) Spills (solvent) Hazardous waste generation (spent solvent) Resource conservation (if spent solvent is recycled) Wash vehicles Discharge to ground or surface water (storm water discharge) Resource use (water, electricity) Resource conservation (if wastewater is recycled and reused on site) Strategies for Identifying Environmental Aspects Now that you understand environmental aspects in general terms, what is the best way to go about identifying them? Once again, you primarily rely on the CFT members who are identifying the activities, products, and ser- vices information. In instances where they are in fact mission or functional area experts, they should be able to readily identify the environmental as- pects for the various activities, products, and services. If they are not ex- perts themselves, then they will have to consult other installation experts and have them describe how their activities, products, and services may interact with the environment. In addition, other information sources are available to gain insight into environmental aspects. These include the following: Previous aspects and impacts evaluations Process flow charts and hazard analyses Air emissions inventories 2-42 ------- Step-by-Step Guidance National Environmental Policy Act (NEPA) studies (environmental assessments or environmental impact statements) Product economic analyses Design for the environment (DFE) documentation Facility pollution prevention and waste minimization audits EGAS reports and corrective action plans Environmental site assessments Risk assessments Environmental cost accounting records Project safety and hazard reviews. Process Flow Charts It may be helpful to prepare simple process flow charts that capture inputs and outputs for the various activities, products, and services. For exam- ple, Figure 2-3 shows another logistics function, fuel storage and dispens- ing operations, which includes fuel receipt, storage, and shipping and dispensing activities. Figure 2-3. Fuel Storage and Dispensing Operations GASOLINE DIESEL FUEL ENERGY (pumps, lights) RECEIVING 1 UNLOADING SPILLS (storm) 1 STORAGE I TANK LEAKS ' 1 SHIPPING/ DISPENSING ' i 1 voc EMISSION SPILLS VOC (breathing) (storm) EMISSION (displacement r VOC EMISSIONS (displacement) PIPING LEAKS 2-43 ------- By laying the process out in this way, you can easily conceptualize the re- source inputs to each activity and the manner in which each activity inter- acts with the environment. Whether or not you use this approach is purely a matter of preference. Tips and Tools Regardless of your approach, as you identify specific aspects, you should try to capture as much related quantitative information as possible. For example, if an activity generates waste solvent, estimate the total amount (for example, 100 gallons per month). Other information that should be captured includes specific legal and other requirements that may apply, permits in force, special record-keeping requirements, pollution controls or equipment in use, best management practices that are currently em- ployed, regulatory monitoring requirements, etc. This information will help you identify environmental impacts and determine their significance. As you identify environmental aspects, you must include all mission and functional areas. A key mission area you must evaluate is the training that supports METL and ARTEP skills. Click here to view a tool specifically designed to identify the activities and associated aspects for training and range operations. Click here to view a matrix that outline typical canton- ment area activities and associated aspects. To view an example of an environmental aspects worksheet completed for one of the previously presented vehicle maintenance activities, click here. Step 18. Identify the environmental impacts of each aspect. Objective For each activity, product, or service identified in Step 16, determine what environmental impacts might reasonably be produced by the associated aspects. Definitions and examples Once you have identified the environmental aspects of the installation's major activities, products, and services, you must next identify the envi- ronmental impacts associated with them. ISO 14001 defines an environ- mental impact as "any change to the environment, whether adverse or beneficial, wholly or partially resulting from an organization's activities, products, or services." For example, Table 2-4 summarizes some of the environmental aspects and impacts of the vehicle maintenance activities, products, and services discussed in Steps 16 and 17. 2-44 ------- Step-by-Step Guidance Table 2-4. Environmental Aspects and Impacts of Vehicle Maintenance Activities Activity, product, or service Environmental aspect Environmental impact 1. Change fluids Oil or antifreeze spills Storm water discharge Nonhazardous waste generation (used oil, oily rags, etc.) Resource use (petroleum, antifreeze) Resource conservation (if oil or anti- freeze is recycled) Contaminated water or soil Contaminated surface water Solid waste disposal Depleted petroleum reserves and virgin antifreeze supplies Petroleum reserves last longer; less virgin antifreeze needed 2. Lubricate chassis Nonhazardous waste generation (greasy rags) Grease spills Storm water discharge Solid waste disposal Contaminated water or ground Contaminated storm water 3. Replace brake lin- ings Air emissions (brake dust) Solid waste generation (old linings) Resource conservation (if linings are recycled) Reduced air quality Solid waste disposal Reduced resource use (virgin metals and other components) 4. Clean/degrease parts Air emissions (VOCs from solvent) Solvent spills Hazardous waste generation (spent solvent) Resource conservation (if spent sol- vent is recycled) Reduced air quality Contaminated water or ground Hazardous waste disposal Reduced disposal requirements 5. Wash vehicles Wastewater discharge Resource use (water, electricity) Resource conservation (if wastewater is recycled and reused on site) Wastewater treatment Depleted water, electricity Increased potable water availability As illustrated by this example, environmental impacts are the effect com- ponent of a cause-and-effect relationship. Generally, the environmental impacts of Army installation activities, products, and services fall into one or more of the following categories: Air, water, and ground pollution and associated reductions in envi- ronmental quality (such as ozone depletion) Energy consumption (or conservation as a positive impact) Natural resource depletion or conservation Cultural resource damage or destruction 2-45 ------- Damage to the natural environment (such as ground disturbance, erosion, and tree and vegetation loss) Hazardous, biohazardous, and medical waste disposal Solid waste disposal (or recycling and reuse as a positive impact) Sewage disposal Nuisances to local communities. Strategies for Identifying Environmental Impacts Now that you have a general picture of environmental impacts, what is the best way to identify them? As with previous steps, the expertise you need primarily resides with the CFT members. Representatives from the envi- ronmental functional area probably know the most about environmental issues, applicable regulatory requirements, resource (air, water, soil) sen- sitivities to harmful emissions or discharges, local community concerns, etc. One approach is to have the environmental staff members facilitate a structured CFT brainstorming session to analyze each aspect for potential impacts, including a team review of the activities involved and process in- puts and outputs. Although some team members are not environmental professionals, with a little probative questioning and group discussion, those who know the activity itself should be able to lend insight into how it affects the environment. Have a staff member take detailed minutes of the discussion, review decisions, and action items. The CFT should work through the process by mission and functional area, capturing the results as they are developed. For example, begin by look- ing at the logistics support mission and functional area, evaluating each activity, product, and service and its identified environmental aspects. Af- ter you identify and document all associated environmental impacts, move on to the next mission and functional area (for example, training). As in previous steps, compile your results on a spreadsheet. To view an example environmental aspects and impacts worksheet with a few data entries for the vehicle maintenance process, click here. This form in- cludes columns on the far right used to evaluate the significance of envi- ronmental impacts and related aspects. You should ignore those columns until you get to the next step. 2-46 ------- Step-by-Step Guidance Step 19. Identify significant environmental aspects Objective Establish, use, and maintain a procedure to examine and prioritize the en- vironmental impacts and aspects identified earlier and determine which are significant. Although the ISO 14001 standard does not require documentation of the procedure, we recommend that you maintain written documentation to en- sure consistency in execution. Definition A significant environmental aspect is an aspect that has or can have sig- nificant environmental impact. As stated earlier, your significant environ- mental aspects form the basis for establishing your environmental management programs (EMPs) (Step 20) and objectives and targets (Step 21). Determining Significance Once you have identified all environmental aspects and associated im- pacts for your activities, products, and services, you must then determine which environmental aspects are significant. ISO 14001 does not specify how an organization should determine which impacts are significant be- cause the relative significance of an impact can vary widely from one or- ganization to another, depending on environmental and business concerns and other site-specific considerations. However, the ISO 14004 companion document to ISO 14001 does list several environmental and business related factors that an organization can consider in evaluating the significance of an environmental impact, including the following: Environmental considerations > Scale of the impact > Severity of the impact or potential impact > Probability of occurrence > Duration of the impact > Frequency of the impact or potential impact 2-47 ------- > Location of the facility (for example, in an environmentally sensi- tive area) > Scope of the impact (local, regional, or global). Business considerations > Potential regulatory and legal exposure > Difficulty of changing the impact > Cost of mitigating the impact > Effect of change on other activities and processes > Concerns of interested parties > Effect on the organization's public image > Return on investment of the cost to mitigate the impact. Army installations must also consider the affect on mission accomplish- ment of any restrictions imposed because of the impact (for example, op- erational noise levels may restrict your ability to fire weapons, conduct demolition training, or employ aircraft). Identifying Rating Factors and Numerical Ratings A commonly used approach to determining the significance of environ- mental impacts employs a simple numerical rating system. You identify a number of rating factors (considerations), define numerical ratings, and use an algorithm incorporating those factors and ratings to calculate a sig- nificance score for each impact. You then can sort and rank impacts by a relative significance score and make a combination of objective and sub- jective judgments to determine the significant impacts. The greater the number of rating factors used, the more difficult it is to de- velop an easy-to-use, structured process for impact evaluation. As a start- ing point, try limiting the number to five. Good choices are the following: Environmental impact frequency or likelihood Environmental impact severity Mission impact severity (if the impact results in mission constraints, or if the organization cannot perform, produce, or provide the activ- ity, product, or service at all) 2-48 ------- Step-by-Step Guidance Regulatory status Community concerns. After selecting the rating factors you will use, define the numerical ratings that will apply. For the five rating factors shown above, Tables 2-5 through 2-9 provide some suggested numerical ratings. You may modify these as you see fit on the basis of your own unique situation or experi- ence. Frequency or Likelihood The probability that an impact might occur, or how often it actually occurs will affect the significance of the impact. Table 2-5. Sample Rating Factors for Frequency or Likelihood of Environmental Impact Frequency or likelihood (F) scale 5 = Continuousongoing or daily. 4 = Frequentmore than once per month. 3 = Infrequentmore than once per year, less than once per month. 2 = Rareimpact may occur once every year or two. 1 = Nevernever occurred or highly unlikely. Environmental Impact Severity Table 2-6 provides a suggested format for scoring the potential severity of environmental impacts, assuming they occur. When evaluating environ- mental impact severity, it may help to consider the following: Proximity of the impact to people or environmentally sensitive areas Toxicity of substances involved Quantities of substances involved Effects from startup and shutdown conditions Duration of exposure or effects Size of the area affected Potential for migration of the hazard. 2-49 ------- Table 2-6. Sample Rating Factors for Severity of Environmental Impacts or Consequences Environmental impact severity (E) scale 5 = Severeimmediate threat likely to result in widespread damage to human health or the environment; requires great effort to remediate or correct. 4 = Seriousno immediate health threat, but significantly damages the environment; dif- ficult but possible to remediate. 3 = Moderatesomewhat harmful, but correctable. 2 = Mildsmall potential for harm to environment, correctable. 1 = Insignificanttrivial consequences, easily correctable or not impact. Mission Impact Severity In Table 2-7, the severity of mission impacts can be influenced by the fol- lowing: Priority or importance of the impacted missions (see Step 9) Restriction of specific activities (digging, using smoke, etc.) Duration restrictions (such as limiting boiler operations to 12 hours per day) Permanent versus temporary closure or restrictions of training ar- eas or industrial processes Availability of alternative training sites or training techniques. Table 2-7. Sample Rating Factors for Severity of Mission Impacts Mission impact severity (M) scale 5 = Loss of ability to accomplish critical mission or near mission failure. 4 = Severely degraded mission capability or serious mission restrictions. 3 = Moderate mission restrictions. 2 = Minor mission impacts or restrictions. 1 = Insignificant mission impacts or restrictions; alternative courses of action are avail- able. 0 = No mission impacts or restrictions. 2-50 ------- Step-by-Step Guidance Regulatory Impact Impacts subject to federal or state regulations are automatically signifi- cant. Situations involving a high risk of noncompliance demand increased priority. Table 2-8. Sample Rating Factors for Regulatory Status Regulatory impact (R) scale 5 = Regulatednoncompliance condition; actual or possible enforcement action or NOV. 4 = Regulatedgenerally in compliance, but not completely controlled or managed; some risk of noncompliance in future, or under scrutiny by regulators. 3 = Regulatedin compliance, well controlled or managed; little regulator interest. 2 = Likely to be regulated in future by federal, state, or host nation agency. 1 = Best management practice (BMP) applies. 0 = No requirements apply. Community Concerns When determining community concern ratings in Table 2-9, consider the following actions or situations: Lawsuits Obstruction efforts Negative or positive press coverage Number and scope of citizen complaints Community-generated political or regulator interest Level of positive interaction with the local community. Table 2-9. Sample Rating Factors for Community Concern Community concern (C) scale 4 = Public outcry or lawsuits. 3 = Serious community concern, political or activist inquiries, intense negative media. 2 = Moderate community concern, some media coverage. 1 = Community is not currently concerned, but could become so. 0 = Community is ambivalent or unconcerned. 2-51 ------- Calculating Impact Significance Score Calculate the impact significance score (SS), in the following example, as SS = frequency x (environmental impact severity + mission impact sever- ity) + regulatory status + community concern. With the rating factors shown, the maximum possible SS for any given im- pact is [5 x (5 + 5) + 5 + 4], or 59. Examples 1. Assume you have five large boilers in operation on the installation that heat water for subsequent distribution and use across all facilities. They are oil-fired and regulated under a single Title V operating permit. The boilers are designed for continuous operation and release air emissions in amounts within the operating parameters prescribed in the permit. How- ever, because you are located in a non-attainment area for sulfur and ni- trogen oxides, these sources are under considerable regulator scrutiny, and operation of the boilers has been restricted to 12 hours per day. This in turn has required the installation to cut back on the operation of indoor ranges and other indoor training facilities, resulting in some degradation of operational readiness. No major issues about boiler operation exist within the surrounding community. Given this scenario, you might arrive at the following results: Activity, product, or service: boiler operation Environmental aspect: air emissions Environmental impact: degraded air quality Impact SS determination > frequency of impact: 5 (happens daily for 12 hours per day) > environmental impact severity: 2 (small potential for harm to the environment, correctable) > mission impact severity: 2 (moderate mission restrictions) > regulatory status: 4 (in compliance, but strong regulator interest) > community concern: 0 (public is not concerned). 2-52 ------- Step-by-Step Guidance Applying these ratings to the equation yields the following: SS = frequency x (environmental impact severity + mission impact sever- ity) + regulatory status + community concern. SS = 5 x (2 + 2) + 4 + 0 = 24. 2. Assume you are generating substantial quantities of spent solvents across the installation during daily vehicle maintenance parts cleaning ac- tivities and that the related environmental aspect you are evaluating is spills. The spent solvents are not being recycled; consequently, they must be temporarily stored on site until your supporting contractor picks them up and transports them off-site for local disposal in accordance with RCRA. You have been storing and disposing of spent solvents in this manner for many years, having had only two minor spills (less than 10 gal- lons) within the past year. In those instances, the spills were quickly con- tained and cleaned up with only minor soil contamination, and no disruption of maintenance operations occurred. However, a larger spill could cause significant contamination of a nearby stream, seriously affect- ing the local trout fishing industry. For this reason, local regulators are closely watching this activity and have increased the frequency of unan- nounced inspections. The local community has had minor concerns over the past few years regarding the storage and transport of hazardous mate- rials and wastes and the potential for spills, but restricting parts cleaning activities or general solvent use has not been necessary. Given this scenario, you might arrive at the following results: Activity, product, or service: parts cleaning or degreasing Environmental aspect: virgin or waste solvent spills Environmental impact: contaminated soil or water Impact SS determination > Frequency of Impact: 3 (more than once a year, less than once a month) > Severity of Environmental Impact: 3 (harmful but not immedi- ately fatal to humans or the environment, difficult but possible to remediate) > Severity of Mission Impact: 0 (no restrictions) 2-53 ------- > Regulatory Status: 4 (in compliance, but under scrutiny by regu- lators) > Community Concern: 2 (moderate community concern) Applying these ratings to the equation yields the following: SS = frequency x (environmental impact severity + mission impact sever- ity) + regulatory status + community concern. SS = 3x(3 + 0) + 4 + 2 = 15. 3. In this final scenario, consider the routine daily vehicle washing activi- ties at the various vehicle maintenance facilities. All facilities use modern wash racks that collect wastewater and process it through an oil/water separator before discharge to the local municipal wastewater treatment plant. Dirt, oil, grease, and other harmful wastes are collected from the oil/water separators and disposed of in accordance with applicable regula- tions. The total quantity of these wastes is generally very small from month to month. No incidents involving harmful discharges from these fa- cilities to the publicly owned treatment works (POTW) have occurred in the past 5 years. Regulators do not have a special interest in vehicle washing facilities at this time, and no major issues or concerns about ve- hicle washing exist in the surrounding community. No restrictions exist on vehicle washing. Restrictions would have little to no mission impact any- way because vehicle washing is not a mission-critical activity. Given this scenario, you might arrive at the following results: Activity, product, or service: vehicle washing Environmental aspect: water use, wastewater generation Environmental impact: water resource depletion, degraded water quality Impact significance score determination > Frequency of impact: 5 (occurs daily) > Severity of environmental impact: 1 (insignificant) > Severity of mission impact: 0 (no restrictions) > Regulatory status: 3 (in compliance, well controlled) > Community concern: 0 (community is not concerned) 2-54 ------- Step-by-Step Guidance Applying these ratings to the equation yields the following result: SS = frequency x (environmental impact severity + mission impact sever- ity) + regulatory status + community concern. SS = 5x(1 +0) + 3 + 0 = 8. As in all previous steps, you should record the results of significance scor- ing. To view the example aspects and impacts worksheet presented ear- lier with a few sample entries, click here (the spreadsheet calculates the significance score automatically on the basis of the values you input). Ig- nore the far right column on the worksheet until you get to the end of this step. Determining Significant Impacts Once you determine the significance score for each impact, you must then decide which impacts are in fact significant. The only required criterion for determining significance is regulatory impact. If an impact is regulated by state or federal laws, the impact (and the associated aspect) is considered significant. In addition to determining significance by regulatory status, you should rank all impacts by significance score and sort them from high to low. This ranking helps identify impacts and aspects that are not regulated but still significant, and helps establish priority among the significant regulated im- pacts and aspects. Outside of the regulatory status requirement, you have considerable flexibility in determining what impacts and as- pects are significant. You could draw a numerical cut line (such as SS = 12) where all impacts having a significance score at or above the cut line would be significant. Using this approach, both the first and second sce- narios (boiler operation and solvent spills) would result in significant im- pact designations (degraded air quality and soil or water contamination). Tracking this back to the associated environmental aspects would then result in air emissions and spills becoming significant aspects. Another possible approach would be to look at the individual ratings that you applied to each rating factor. For example, you might decide that any actual or potential impact receiving one or more ratings as follows would be considered significant regardless of its overall significance score: Environmental impact severity rating of 3 or higher Mission impact rating of 3 or higher 2-55 ------- Regulatory status rating of 3 or higher (anything regulated is signifi- cant) Community concern impact rating of 3 or 4. Applying this approach would make the scenario 1 and 2 impacts signifi- cant. The scoring system is a useful tool in this process, but you are not obligated to use the numerical scores as your sole criteria for de- termining significance. Use good judgment, and tailor the system to your needs. Cumulative Impacts and Significance Also try to identify and address any impacts that may have a cumulative effect. This is especially important when a large number of different activi- ties, products, or services produce a common impact. Individually, the significance scores for these impacts may be low, but in some cases, the cumulative impact may be significant. Determining Significant Aspects As stated earlier, significant aspects are simply those that you determine to have significant impacts. All you have to do at this point is to apply your chosen approach to each impact and then document the results in the far right column of the aspects and impacts worksheet by indicating yes or no (click here). Looking across the entire installation at all mission and functional areas, activities, products, and services, you undoubtedly can identify a large number of environmental aspects and impacts. However, many environ- mental aspects and impacts repeat themselves. Once you compile a list- ing of unique aspects and impacts, you will find that the total number is much more manageable. In fact, after all is said and done, the significant environmental aspects of the typical Army installation probably boil down to some combination of the aspects listed in Step 17. Review and Update of Significant Aspects The installation must have a process to systematically identify changes in activities, products and services that might drive changes to the installa- tion's significant aspects. Review all functional areas and processes at least annually to identify any changes. Be sure to ask functional area ex- perts to identify any new processes or activities, products or functions that have not been subjected to an aspect and impact analysis. 2-56 ------- Step-by-Step Guidance Step 20. Develop or revise installation environmental management programs. Environmental Management Programs, ISO 14001, Sec- tion 4.3.4 Objective Definition Determine which environmental management programs (EMPs) are needed and establish the framework for those programs. The ISO 14001 definition of "program" differs from the Army's definition. In ISO 14001, the term "environmental management programs" refers to ef- forts smaller than Army program-level efforts. An EMP is a plan for ad- dressing and managing significant aspects and associated objectives and targets. In this guide, we use the ISO terminology and meaning for EMPs. The Army recommends aligning EMPs with significant aspects, which meets the ISO 14001 requirement for establishing and maintaining EMPs to manage each objective and target. Required Content The EMP is a convenient way to organize activities and information within your EMS. You are likely to have several EMPsone for each significant aspect identified in Step 19. Each EMP should include the following: Objectives and targets. How can we improve specific elements of environmental performance, and how can success be docu- mented? Regulatory and other requirements (if applicable). What envi- ronmental regulations, guidelines, or other agreements apply to the significant aspect? Responsibilities. What actions are required to manage the signifi- cant aspect or achieve objectives and targets, and who is responsi- ble? How is the EMP kept up to date? When appropriate, personnel (or positions) should be designated at each relevant function and level. Operational controls. What operational controls or SOPs are relevant in controlling the significant aspect? Where can these be found? Training. What training is required by ISO 14001, by environ- mental or other regulations, or to improve performance and reach specified targets? 2-57 ------- Resources. What human, technological, or financial allocations are needed? Include specific funding amounts and sources (refer to the hotlink in Chapter 1 for current, detailed information about funding sources). Action Plans, Milestones, and Timelines. How will the target be achieved? Are there milestones and timelines to mark your pro- gress? When are periodic reviews scheduled? Measuring and monitoring. What must be measured or checked to ensure EMP effectiveness, progress toward objectives and tar- gets, or effective monitoring of significant aspects? How can you be sure the measurements are accurate? EMS performance records. What progress are we making toward achieving objectives and targets? Are required actions being per- formed? In addition to EMPs for each significant aspect, you might also consider developing EMPs for emergency preparedness and response procedures or other issues not covered under significant aspects. Coordination and Oversight Updating The EMSMR should coordinate and oversee the EMPs. In many cases, Army installations are engaged in strategic planning efforts and have im- plemented systems to track installation-level goals and objectives. If this is the case on your installation, make sure that the EMS objectives and EMPs are included in the strategic planning effort and the EMSMR is in- volved. Creating good EMPs is a challenge and may take several iterations to per- fect. As you develop and use your EMPs, you will acquire new insights on your significant aspects and associated processes and probably see the need to make changes. This is why EMSs are built around the concept of continual improvement. You need to modify your EMPs and related plan- ning documents when activities, products, services, and related objectives and targets change; objectives and targets are added; relevant legal requirements are introduced or changed; 2-58 ------- Step-by-Step Guidance substantial progress in achieving your objectives and targets has been made (or has not been made); and services, process, or facilities change or other issues arise. Documentation and Records Although the ISO 14001 standard only requires you to establish and main- tain the EMPs, we recommend you develop and maintain documentation pertaining to your EMPs in accordance with your installation's EMS docu- ment control procedures. Records of EMP status and progress should also be maintained, including summary sheets, meeting minutes, status reports, in-process review (IPR) input, and other progress indicators. Keep it simple. You may find it useful to establish a standard form that summarizes the basic information for each EMP and its current completion status. Click here to view sample forms for summarizing EMPs. In Step 19, you identified your significant environmental aspects. In Step 20, you de- termined your requirements for environmental management programs (from signifi- cant aspects) and developed a framework for EMP content. Next, Steps 21-26 provide guidance for developing the essential contents of your EMPs. Objectives and Targets, ISO 14001, Section 4.3.3 Step 21. Establish environmental objectives and targets. Objective The objective of this step is to develop, maintain, and document objectives and targets for the EMPs established in Step 20. As stated in the introduction to the environmental aspects and impacts de- velopment steps, your significant aspects provide the basis for establish- ing objectives and targets, identifying training requirements, determining requirements for operational controls and work procedures (such as SOPs), performing general risk assessments, and completing periodic management reviews. In this step, you focus on establishing environ- mental objectives and targets. Definition ISO 14001 defines an environmental objective as "an overall environ- mental goal, arising from the environmental policy, that an organization sets itself to achieve, and which is quantified where practicable." In other words, environmental objectives are goals the installation sets for itself, usually over the long term, at each relevant functional and organizational 2-59 ------- level. For example, an installation that identifies hazardous waste genera- tion as one of its significant aspects might establish a quantifiable (meas- urable) reduction in hazardous waste generation as one of its long-term objectives. Similarly, ISO 14001 defines an environmental target as "a detailed per- formance requirement, quantified where practicable, applicable to the or- ganization or parts thereof, that arises from the environmental objectives and that needs to be set and met in order to achieve those objectives." Like objectives, environmental targets should be specific and measurable, but they should also directly link to a specific time frame for accomplish- ment. Continuing with the example above, an installation might require a subordinate organization or organizations to reduce hazardous waste generation by a specific amount (such as 10 percent or 2,000 pounds) by a specific time (such as by 1 January 2004, or the end of FY04). Generally, you want to establish at least one environmental target for each environmental objective. In addition, your objectives and targets must support mission accomplishment, be consistent with installation environ- mental policy, and include a commitment to pollution prevention. Determining Objectives When determining environmental objectives, the installation should con- sider the following: Mission priorities (Step 9) Applicable legal and other requirements (Step 15) Identified significant environmental aspects and impacts, including known obstacles to effective mission accomplishment Installation sustainability (25-year) goals, if applicable Ability to control the activities, products, or services involved Ability to track, monitor, and measure results Overall cost to track, monitor, and measure results Technological options that are or will be available (such as green bullets, alternative fuels, and hybrid electric vehicles) Financial, operational, and functional requirements 2-60 ------- Step-by-Step Guidance Views of interested parties Linkage to the environmental policy statement. As a principal consideration, your objectives and targets (at the floor level) should facilitate mission accomplishment and help ensure continuous compliance with all applicable legal and other requirements. As a ceiling, however, installations can seek to go beyond compliance to ensure long- term sustainability and establish objectives and targets that help them achieve that end. Establishing Objectives and Targets To establish objectives and targets, you must first determine the level or levels to which they apply (for example, the entire installation, certain units or organizations, or individual functional areas) and who is responsible for establishing them. A typical installation-level scenario is to have the CFT that completed the aspects and impacts analysis recommend objectives and targets, which the CDR or a designated representative (such as the EMSMR) then reviews and approves. Another scenario has the CFT de- veloping environmental objectives for the installation, and designated sub- ordinate leaders (such as appropriate civilian functional managers and tactical unit commanders) establishing environmental targets to ensure the objectives are accomplished. Many alternative scenarios are possible, so each installation should decide how to proceed at this point. No "standard" environmental objectives and targets pertain to every instal- lation. Your objectives and targets should reflect what your installation does, how well it is performing, and what you want to achieve. Your ob- jectives and targets must be readily understandable, measurable, and, above all, realistic (achievable). Generally, you should undertake the fol- lowing activities as you develop objectives and targets: 1. Involve the CFT. Quality input from the CFT expedites your instal- lation's efforts to set realistic objectives and targets. Just as the team provided knowledge and insight during aspects and impacts analysis, it can quickly identify realistic and readily measurable ob- jectives and targets consistent with command policy and guidance, mission-related legal requirements, available resources, and envi- ronmental aspects and impacts. 2. Gather information from available sources. A great deal of in- formation should be readily available to the CFT from a number of sources. Table 2-10 shows some sources. In addition, you can take a physical walkthrough of facilities (such as heating plants, motor pools, weapons system production facilities, firing ranges, 2-61 ------- and maneuver training areas) to identify other potential information sources. Table 2-10. Information Sources Information source Identified environmental aspects Process maps Waste and emission data Site maps ECAS/EPAS audit reports Environmental Quality Report (EQR), Instal- lation Status Report (ISR), Environmental Program Requirements (EPR), Defense Site Environmental Restoration Tracking System (DSERTS), etc. Possible benefit Identify and target significant impacts Identify process steps with environmental aspects Determine current wastes and sources Identify environmentally sensitive areas Identify areas needing improvement Evaluate environmental performance history 3. Identify preliminary environmental objectives. From the as- pects and impacts of Steps 16-19, mission support requirements, and your assessment of other available information, compile a list of preliminary environmental objectives. It may be helpful to group them by category as illustrated (Table 2-11). You can prioritize your objectives, starting with those that relate directly to your sig- nificant environmental aspects and mission critical tasks, and then adding others that are less significant but still have mission or envi- ronmental impact potential. Table 2-11. Preliminary Environmental Objectives Energy use Increase alternative fuel vehicle use Decrease facility en- ergy use Raw materials Increase vehicle bat- tery recy- cling Increase use of recy- cled paper Air impacts Reduce VOC emis- sions Reduce visible emis- sions from power plant Water impacts Reduce fuel spills Eliminate effluent from vehi- cle washing facilities Land impacts Reduce haz- ardous waste disposal from vehicle main- tenance fa- cilities Reduce land- filling of solid waste Mission impacts Reduce op- erational noise levels Address endangered species en- croachment in training areas Other (specify) Improve employee awareness 2-62 ------- Step-by-Step Guidance A key question at this point is how many environmental objectives you should have. Historical EMS implementation project case stud- ies suggest starting with a limited number of objectives, and then expanding the list over time. In other words, keep your objectives simple initially, gain some early successes, and then build on them. As a realistic starting point, consider limiting your initial list of major objectives to 12 to 15, fewer if possible. 4. Identify new or proposed regulatory requirements. Identify new or proposed requirements that affect (or could potentially affect) the installation's operations or activities. Also, identify potential objec- tives related to each requirement, as illustrated in Table 2-12. Table 2-12. Regulatory Requirements and Objectives New or proposed regulation or other requirement Possible objectives New CAA national ambient air quality standard (NAAQS) ozone standard New CAA NAAQS PM2 5 standard Reduce petroleum fuel consumption in administrative vehicle fleet. Reduce emissions of chlorofluorocarbons (CFCs) from vehicle air conditioning units. Reduce off-road vehicle travel. Reduce particulate emissions from coal-and oil-fired boilers. 5. Identify, review, and evaluate installation communications with interested parties. Consider the need for additional environmental objectives related to views of installation neighbors, community groups, or other interested parties. By definition, an interested party is "an individual or group concerned with or affected by the environmental performance of the organization." You can hold an open house or establish an installation focus group that includes lo- cal community representatives. Table 2-13 provides an example of how a local concern might translate into an installation environ- mental objective: 2-63 ------- Table 2-13. Installation Communications Communication with interested party Response Possible objectives Telephone discussion with Jim Evans, president of Old Bridge Estates subdivision HOA (3/15/03, 703-590-5002). Con- cerned with installation power plant operation and visible emis- sions potentially harming local residents. Discussed installation policy regarding power plant opera- tions and operating permit re- quirements for controlling and monitoring emissions. Advised that we would establish objec- tives to reduce emissions and volunteered to attend next HOA meeting. Reduce visible emissions from power plant. Improve community outreach by establishing a community advi- sory panel. 6. Identify appropriate targets for achieving each objective. Envi- ronmental targets are detailed performance requirements, quanti- fied where practicable, that arise from the environmental objectives and that the installation must meet in order to achieve the objec- tives. Table 2-14 provides a few examples. Table 2-14. Target Objectives Objective Reduce solid waste disposal Reduce hazardous waste (HW) disposal Reduce visible emissions from power plant Reduce energy consumption Improve employee environmental awareness Target Divert 40% of solid waste from landfilling Reduce HW disposal by 20% from FY02 Reduce visible emissions 60% by 1QFY03 Reduce electricity use by 10% from FY02 Conduct awareness training for all employees by the end of FY03 For each environmental objective, you should identify at least one target (some objectives may have more than one). In addition to being measurable, they should have a specific time frame for com- pletion. Targets should be achievable, but difficult. The idea is to motivate the organization to improve environmental performance. 7. Evaluate preliminary objectives and targets. Carefully evaluate your preliminary objectives and targets to determine whether they are reasonable, technologically feasible, measurable, consistent with the environmental policy, and affordable. From your evalua- tion, compile a final list of objectives and targets (if you identify an objective but cannot determine an effective way to measure it, put it on hold for further analysis). 2-64 ------- Step-by-Step Guidance 8. Establish performance measures for final objectives and tar- gets. As stated earlier, you should quantify your environmental ob- jectives and targets when practicable. The units commonly used to quantify objectives and targets are environmental performance in- dicators (EPIs). An EPI is "an expression that is used to provide in- formation about environmental performance or the condition of the environment." Examples of EPIs include the following: > Quantity of raw material or energy used (total or per unit of pro- duction) > Quantity of specific pollutant emissions (for example, nitrogen oxides (NOX), sulfur oxides (SOX), wastewater) > Quantity of waste generated or disposed (total or per unit of production) > Efficiency of material and energy use > Number of environmental incidents and accidents > Number of enforcement actions received > Number and amount of environmental fines or penalties as- sessed and paid > Percentage of waste recycled or reused > Percentage of recycled material used in packaging > Number of vehicle miles per unit of production or training > Investment in environmental protection > Land area set aside for wildlife habitat. Continuing with previous illustrations, Table 2-15 shows a few examples. 2-65 ------- Table 2-15. Performance Measures for Final Objectives Objective Reduce solid waste dis- posal Reduce VOC emissions Reduce energy con- sumption Eliminate enforcement actions (ENFs) Improve employee envi- ronmental awareness Target Recycle 50% of solid waste in FY03 Divert 40% of solid waste in FY03 Reduce use of high-VOC paints by 25% in FY03 Reduce use of electricity by 10% in FY03 No more than two ENFs per FY Conduct monthly awareness courses Train all employees by end of FY03 Performance indicator Tons or % of solid waste recycled Tons or % of solid waste diverted Gallons or % reduction in high- VOC paint used kWh or % reduction in use Number of ENFs received Monthly training is conducted Number or % of employees who receive environmental training 9. When developing your EPIs, be careful to choose those that reflect the most accurate picture of what is happening on the ground. For example, suppose that an industrial facility produces 500 main bat- tle tanks each month and decides to set an objective to reduce hazardous waste disposal by a certain quantity (tons or percent- age) by a certain point in time compared with a specific baseline. progress toward achieving the desired goal. The facility then makes several process changes and decides to use less hazardous substances during production to achieve its ob- jective. If, however, the facility has to substantially increase pro- duction (to say 750 units) to meet an emergency mission related requirement, actual hazardous waste disposal might increase in spite of the process changes. In this case, it probably would have been better to choose an EPI that measured the tons or percentage reduction per unit of production to more accurately measure actual After developing your final list, you should formally document all your objectives, targets, and EPIs. To view a sample objectives and targets worksheet that you can use for this purpose, click here. Identify responsible parties and ensure inclusion in appropri- ate EM Ps. For each objective and associated targets, designate CFT members (or other technically competent individuals) to be re- sponsible for achieving them. Normally, this will be managed as part of an environmental management program that prescribes who, what, when, where, why, and how the specific objectives will be achieved (see Step 20 for detailed guidance for preparing envi- ronmental management programs). 2-66 ------- Step-by-Step Guidance 10. Document your procedure for developing environmental ob- jectives and targets. In addition to keeping records of your objec- tives and targets, you should formally document the specific procedure you used to develop them. You should then use the same procedure to complete periodic updates and revise the pro- cedure as needed to ensure continual improvement. To view an example procedure that Fort Lewis uses for developing objectives and targets, click here. Step 22. Describe structure and responsibilities. Structure and Responsibility, ISO 14001, Section 4.4.1 Objective Confirm and document the organization and structure of EMPs that consti- tute the installation EMS and the associated individual and organizational Army installations already have the organization, staffing, programs, and resources to conform to the ISO requirements for structure and responsibility. This step develops or provides documentation that describes the existing organization and how it imple- ments and operates the EMPs and the EMS. responsibilities for implementing and operating the EMS. Appointing a Management Representative ISO 14001 requires top management to appoint a specific management representative who, regardless of other responsibilities, has the responsi- bility and authority for ensuring that EMS requirements are established, implemented, and maintained in accordance with the ISO 14001 standard, and reporting on the performance of the EMS to top management for review and as a basis for improvement of the EMS. We recommended selecting the EMSMR in Step 1. Organizational Chart You probably already have one, and it is a very convenient tool for docu- menting and explaining your organizational structure and responsibilities. Include a current organizational chart with your EMS documentation for roles and responsibilities. Click here to view an example organization al chart. 2-67 ------- EMS Organizational Responsibilities Table A table or matrix is a simple and effective way to summarize EMS respon- sibilities. The table should list the EMSMR, CFT members, and individu- als responsible for the EMPs. You can then refer the reader to the individual EMPs for further information. ISO 14001 does not require a ta- ble or form, but it is probably the simplest way to summarize and docu- ment EMS-related responsibilities. Include a reference or direction to the responsibilities table in your EMS manual. Click here to view an example EMS responsibilities list. Review and Update Your document control procedure (Step 13) should describe how informa- tion on structure and responsibilities is periodically reviewed and updated. Step 23. Develop SOPs and work practices for activities associated with significant aspects. Operational Control, ISO 14001, Section 4.4.6 Objective Systematically develop, revise, and document the SOPs associated with all activities, products, and services that have environmental impacts and associated aspects to describe the appropriate actions for managing those impacts and aspects. Installations should already have SOPs or work practice instructions (called operational controls in the ISO 14001 standard) for most complex operations or mission activities, including those with associated significant environmental aspects. This step ensures that SOPs are in place and that they contain instructions that enable personnel to comply with the envi- ronmental policy and achieve environmental objectives and targets. This information should also be consistent with information presented in com- petency-based training (Step 24). Where to Start Begin this step by reviewing your prioritized list of significant aspects and impacts. Start with the operations or mission activities at the top of that list (most significant impacts), and identify any SOPs that address those activities. Make sure the SOPs adequately address all the skills and pro- cedures needed to perform the activity in an environmentally acceptable manner. If part of the process is not documented, the area supervisor needs to create a new SOP or modify the existing one. 2-68 ------- Step-by-Step Guidance What to Include Remember that one of the central ideas of the EMS concept is to integrate sound environmental management practices in day-to-day operations. Here, you can affect how employees perform their routine daily tasks. For example, if the goal is to recycle certain used materials, make recycling a part of the relevant SOPs. The result should be SOPs that get the job done and mitigate environmental impacts. Scheduling Work You may find it useful to develop a schedule for reviewing and revising SOPs from your prioritized list of significant aspects. Some installations have found it effective to coordinate the execution of Steps 23 and 24 so that SOPs are reviewed and updated immediately before or after compe- tency-based training is conducted. After all significant impacts and associated aspects are addressed in SOPs, you should continue by routinely reviewing all SOPs for environ- mental considerations as they are revised or updated. You can do so by modifying your installation's staffing procedures to include appropriate en- vironmental review and approval. Operational controls and SOPs and work practice instructions should be easy to understand and use, list personnel who should receive or have access to them, and identify the training needed for the appropriate personnel.28 Your document control procedure (Step 13) should include requirements and responsibilities for developing, maintaining, and reviewing operational controls, SOPs, and work practices. Training, Awareness and Competency, ISO 14001, Section 4.4.2 Step 24. Identify and fulfill environmental competency-based training requirements for all installation personnel (garrison and tenants). Objective Establish and maintain a system or process to ensure job-specific compe- tency for all employees whose work activities can cause real or potential significant environmental impacts. 98 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 45. 2-69 ------- Who Must Be Trained We addressed the awareness portion of this requirement in Step 11. Step 24 deals with the competency-based training. While all installation personnel are required to complete EMS awareness training, competency-based environmental training is re- quired only for those whose work activities can significantly impact the environment. The first step in meeting this requirement is identifying employees who need competency-based environmental training. Most installations al- ready have a training office and a centralized system for managing indi- vidual training requirements. Try to work within your existing system. Your installation training coordinator can help complete this requirement. After looking at the existing training management process, review the list of significant environmental aspects and impacts (Step19). Employees performing work or mission activities associated with these significant im- pacts need competency-based training. When reviewing significant im- pacts, look at the entire work process to identify all employees who need the training. It may also help to look at the various regulatory require- ments that mandate special environmental training and include personnel working in those areas (Step 15). Be sure to include contract and tempo- rary workers when assessing training needs. What Must Be Trained Competency-based training requirements must be relevant to specific work activities or job descriptions. The level of training required may also vary according the level of responsibility assigned to various grade levels or military ranks. At a minimum, the competency-based training must in- clude the following: The significant environmental impacts, actual or potential, of their work activities and the environmental benefits of improved personal performance Specific objectives and targets related to their work activities The potential consequences of departure from specified operating procedures (Step 23) Environmental training required by applicable regulatory require- ments 2-70 ------- Step-by-Step Guidance Training necessary to obtain or retain required licenses or registra- tions Environmental benefits of improved personal performance.29 Organizing Competency-Based Training Since competency-based training is more specialized than the awareness training, addressing competency-based requirements process by process, or mission by mission is useful. Begin by examining the activities that contribute to your most significant aspect. Look at the processes, identify the employees and job descriptions involved, and determine what they need to know to perform their missions or jobs in an environmentally re- sponsible manner. Get input from experienced employees or supervisors as you determine training needs. They are the real experts in their par- ticular areas and can quickly tell you what will work and what will not. It may take a while to address all significant impacts and processes, so develop a schedule and stick to it. Options for Providing the Training Competency-based training does not always have to take place in a class- room. On-the-job training, brownbag sessions, and computer-based train- ing are good alternatives. Training Records You must keep records of the training performed in order to conform to the ISO 14001 standard. Training records must include the following: Individuals and job descriptions requiring training Information or skills taught (lesson outline or plan) Requirements for completion (written test, hands-on exercise, etc.) Schedule or timetable Attendance records (include a sign-in sheet) Results of evaluation (pass or fail, go/no go). 29 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 35. 2-71 ------- ISO 14001 does not require documentation of training procedures, but we recommend you develop training documentation that includes the process the installation uses to determine training needs, the location of the training plans and who is responsible for them, and how training is prioritized on the installation. The Army is one of the most experienced training organizations in the world. If you follow the training procedures the Army uses to teach soldier skills, you will meet the ISO requirements. Make maximum use of available assets, including the training management systems and expert training personnel on your installation. Your training program is an ongoing function on the installation. You must continually assess and update installation-specific training needs. Keep procedures and records in accordance with your installation's document control and record-keeping procedures. Obtaining Training Materials Because of the specialized nature of competency-based training, you may have to obtain information from a variety of sources or develop lessons "in house" to meet your needs. However, all Army installations share many similar functions, and good training materials will become readily available as more installations implement their EMS. Before developing training materials in house, check the sources that follow to see whether existing materials can meet your needs: Training posted on DENIX Other installations with similar missions Training workshops Training videos Internal trainers Experts Consultants Community colleges 2-72 ------- Step-by-Step Guidance Vendors and suppliers Technical, trade, and business associations Self-study or study groups Training consortia (major command or IMA region meetings). Click here for additional resources regarding competency-based training. Step 25. Establish monitoring and measurement Monitoring and Measurement, procedures. ' ISOMOOL section «.i Objective Establish and maintain documented procedures as required by ISO 14001, Sec 4.5.1, to regularly monitor and measure the key characteristics of your op- erations and activities that can significantly impact the environment; Key characteristics are the environmental performance indicators established for each target set in Step 21. Performance indicators should be simple and understandable, objective, measurable, verifiable, reproducible, and relevant to your installation's objectives and targets. They should also be practical, cost-effective, and technologically feasible. The identi- fication of environmental performance indicators should be an ongoing process (ISO 14004, p. 21). Your performance indicators must provide top management with the information it needs to make decisions about the EMS (NSF-ISR, p. 62). track environmental performance (including progress toward meet- ing objectives and targets and conformance with SOPs); calibrate and maintain monitoring equipment and maintain records of the calibration process; and periodically evaluate compliance with relevant environmental laws and legislation. What Should Be Measured? Two major sets of activities or processes should be measured and moni- tored: Processes associated with significant aspects all require some sort of monitoring or measurement. Sophisticated techniques and 2-73 ------- automated systems are usually not required, but if a process is as- sociated with a significant aspect, someone should be checking performance. The group of processes related to objectives and targets requires monitoring. These are actually a subset of the first group, and are probably a higher priority since you specifically identified these ar- eas for improvement. You can begin by reviewing your installa- tion's list of objectives and targets and the associated and the associated performance measures (Step 21). You must eventually define required measuring and monitoring for all sig- nificant aspects, but the first priority should relate to the objectives and tar- gets. Examine the performance measures (key characteristics) developed in Step 21. Do you already have an accurate and reliable way to monitor and measure these variables? At this point, check with the environmental management staff and with the supervisors in charge of these processes to determine what is already being measured and monitored. Some of the monitoring you need is probably already being done. For each of the key characteristics you need to monitor, think about the following: Is the required monitoring already being done? If so, is the method > providing accurate data? (Performed using valid, documented procedures and calibrated equipment?) > reliable? (Performed successfully on a regular schedule, with data recorded and maintained according to documented proce- dures?) > performed at an appropriate frequency? (You need multiple data points to track variables and interpret performance over a time period. Recommended frequency depends on the variable be- ing measured and the changes you need to demonstrate.) If your current monitoring procedures do not satisfy these requirements, you should examine the procedures and equipment to determine needed improvements. Likewise, if you need to implement new monitoring pro- grams, be sure that the procedures meet these requirements and provide the data you need to effectively evaluate performance. 2-74 ------- Step-by-Step Guidance "Monitoring and measuring can be a resource-intensive effort."30 Be cer- tain to have clearly defined requirements for data collection and to avoid collecting data for "data's sake."31 Ensure your installation has a clear, well-communicated schedule for rou- tine monitoring and measurement and equipment calibration. In your schedule, include time for proper data management and quality control procedures. Record, Analyze, and Understand Data Monitoring programs are useless if you cannot correlate the measured data with performance. To do so, you must accurately record the data you are collecting and maintain it in format that illustrates any changes in per- formance. Involve the supervisors and employees who work in the proc- ess being measured; ensure they understand the data being collected and how it relates to both the performance measures and the objectives and targets. Often, your performance measures will accurately document performance but will not tell why the process is working better or worse. Understanding the variables or factors that affect performance is critical to analyzing your data and assessing your progress toward objectives and targets. A root cause analysis, such as those performed as part of ERAS audits, can be valuable. Also, supervisors and line employees can often provide quick analyses of process performance and the factors affecting it. They can help you identify what to change to obtain the results you want and can often explain how underlying or uncontrolled variables are influencing per- formance. Tracking Performance The ISO 14001 standard requires you to track performance of your signifi- cant processes using performance measure data and evaluate your pro- gress toward objectives and targets. This periodic evaluation ensures that you are consistently moving toward the established objectives. If the proc- ess is not meeting the established objectives and targets, you must de- termine why and make changes to improve performance. For some processes, you can establish operating parameters that apply to your per- formance measures. Performance data that fall outside of your estab- lished operating parameters indicate subpar performance and should 30 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 60. 31 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 60. 31 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 2-75 ------- trigger evaluation of and adjustments to the process. Maintain perform- ance records in accordance with your EMS records procedure. Also, remember to look at SOPs and make sure they accurately describe appropriate ways to perform duties and operate the process. After verify- ing that the SOP is correct, ensure that employees are following it. Calibration Requirements Some measurements involve equipment such as scales, meters, and other measurement devices. Proper and accurate functioning of these items is critical to your success. Review the manufacturer's recommenda- tions and document a calibration and testing procedure. Maintain the pro- cedures, required calibration and testing schedules, and calibration and testing records in accordance with your document control and records maintenance procedures. Evaluate Compliance with Environmental Laws and Regulations In addition to meeting your objectives and targets, you need to periodically check your regulatory compliance status. From Step 15, you know the regulations and laws that apply to your installation and its activities. To meet the ISO 14001 requirement, you must document the procedures you use to periodically check compliance. Army installations have been doing this for many years, and you probably already have these procedures in place (such as ECAS/EPAS, internal and external assessments, and ISR II). In most cases, your main task will be to check the documentation and records for these processes and maintain the information in accordance with your established procedures. Typical processes for ensuring compli- ance include periodic inspections, as well daily, weekly, or monthly moni- toring of critical process (wastewater treatment monitoring to satisfy the national pollutant discharge elimination system (NPDES) permits, for ex- ample). Also, internal and external audits performed as part of the EPAS program can provide periodic snapshots of regulatory compliance. Be sure to check installation compliance action plans (ICAPs) to verify that existing compliance problems are being properly addressed. Click here for example measuring and monitoring procedures. Step 26. Establish procedures for maintaining EMS records. *enc°rdf' '5° A c, r r & 14001, Section 4.5.3 Objective Develop and implement procedures for managing records that document EMS operation and performance. 2-76 ------- Step-by-Step Guidance Definition ISO 14001 requires organizations (such as installations and other appro- priate facilities) to "establish and maintain procedures for the identification, maintenance and disposition of environmental records. These records shall include training records and the results of audits and reviews."32 The records are the information that must be maintained to document the performance of the EMS and to demonstrate conformance with the ISO 14001 standard (Figure 2-4). Keeping complete and well organized envi- ronmental records is critical, not only because of the ISO requirement, but also because the records help you track environmental performance and improve the EMS. Figure 2-4. EMS Document Hierarchy EMS Documentation provides policy and direction Operational Controls EMS Records describe results You can organize your records in a variety of ways, such as according to EMPs. Some types of records, like audit reports, include information cov- ering multiple EMPs and might be stored in their own specific files. Using an electronic database with search capabilities greatly increases the flexi- bility of your record-keeping system and will resolve most file location is- sues. 32 ISO 14001, Section 4.5.3, p.5. 2-77 ------- Hints for Records Begin by identifying the records required. Look at your procedures and SOPs to determine the evidence needed to demonstrate conformance. Also, consider records that must be generated due to various legal requirements. Focus on records that add value. If you generated forms in order to implement the EMS, the forms, once filled out, become records. Keep forms simple and understandable. Establish a records retention policy and stick to it. Include records retention requirements specified in applicable environmental regulations. When formulating your records management process, consider the people who need access to the records and the circumstances. Consider using an electronic EMS records management system. Think about which records need additional security or restricted access. Consider a remote backup of critical records at another location. Records must be legible; identifiable and traceable to the activity, product, or service in- volved; stored and maintained to be readily retrievable and protected against damage, deterioration, or loss; and kept in accordance with established and recorded retention times. Make sure your records policy answers the following questions: What records are kept? Who keeps them? Where are they kept? How are they kept? How long are they kept? How are they accessed? How are they disposed of? 2-78 ------- Step-by-Step Guidance In addition to training records and audit results, records may also include the following: Legislative and regulatory requirements Compliance records Job descriptions Permits, licenses, and other approvals Environmental aspects and their associated impacts Environmental training records Equipment inspection, calibration, and maintenance activity and re- cords Sampling and monitoring data Information on emergency preparedness and response Details of nonconformance, incidents, complaints, external commu- nications, and follow-up action Supplier and contractor information33 Results of EMS audits and management reviews. "The effective management of these records is essential to the successful implementation of the EMS."34 Click here for examples of EMS record maintenance procedures used successfully at other Army installations. Step 27. Develop and review emergency preparedness and response documents and procedures. Emergency Preparedness and Response, ISO 14001, Section 4.4.7 Objective Establish and maintain procedures as required by ISO 14001 to: Identify potential for accidents and emergency situations. Respond to accidents and emergency situations. 33 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 50. 34 ISO 14004, Section 4.4.4, p. 22. 2-79 ------- Prevent and mitigate the environmental impacts that may be asso- ciated with accidents and emergencies. Review and revise emergency preparedness and response proce- dures where necessary, especially after the occurrence of an acci- dent or emergency. Conduct drills and tests of emergency preparedness and response procedures Potential environmental accidents and emergency situations include accidental emissions to the atmosphere, accidental discharges to water and land, specific environment and ecosystem effects from accidental releases, and fire. (ISO 14004 and Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001) You should also consider emergency situations resulting from terrorist or other intentional acts that might impact the environment when developing and reviewing emergency preparedness and response documents and procedures. On most Army installations, the required plans and procedures are already in place as required documentation per Army policy, so reviewing and documenting the location and maintenance of the plans constitutes most of your work. Key Team Members Emergency preparedness and response normally involve multiple organi- zations on and off the installation. All participants must work together to develop detailed plans and execute quick, coordinated responses. The CDR is ultimately responsible for these operations but, in most cases, re- lies on the staff to coordinate and execute the technical aspects of the re- sponse. On medium and large installations, key individuals in this process are the heads of the fire and emergency services organizations. They are most likely to manage the execution of any response. Other key organiza- tions include the following: Medical services (casualty management) Military police or public safety (traffic control) 2-80 ------- Step-by-Step Guidance Public works (infrastructure and utility systems) Preventive medicine and environmental health (human health risk issues) Safety Environmental management Public affairs Off-post responders (local hospitals, fire departments, and hazard- ous materials (HAZMAT) units) Counter-terrorism officials (if applicable). Determine Emergency Plans and Procedures First, determine the plans and procedures required by laws and regula- tions. Depending upon the nature of their missions and operations, Army installations are often required by law to maintain the following: Risk management plan (a CAA Section 112r requirement for instal- lations that stock certain chemicals above threshold quantities) Spill contingency plan (SCP) and spill prevention, control, and countermeasures plan (SPCCP) to address potential oil spills RCRA contingency plan Facility response plan (FRP) Chemical accident/incident response and assistance (CAIRA) plan. In addition, your state may require specific plans covering certain contin- gencies. Check your state's requirements during this process. To complete your list of required response plans, look at other areas or operations on your installation that have the potential for environmental accidents or releases not covered by laws and regulations. One way is to look at the hazardous or regulated materials used on the installation. In most cases, they will be addressed under the laws and regulations dis- cussed earlier and will be included in an existing plan. If not, you should make sure they are included. 2-81 ------- Review and Update Your Response Plans Your document control procedures (Step 13) must include requirements and responsibilities for reviewing and updating emergency response plans at least annually. Key team members should participate in the review, and the results should be recorded as part of the review process. The major purpose of the review is to identify changes on the installation that affect plan execution. Be sure to review attachments to the plans, such as con- tact names and phone numbers, maps, facility floor plans, and material safety data sheets (MSDSs). These details often change and can seri- ously compromise the plan. As you review the plans, ensure that they meet the ISO 14001 requirements listed at the beginning of this step. Posting and Distributing Plans Make sure that employees can easily access plans and that they under- stand what they are expected to do in case of an emergency. Maintaining the plans on your intranet helps document control issues, but you may also want to post hard copies of the plans in affected organizations and work areas to ensure easy access. Observe document control procedures and remove outdated versions of the plans from the involved organiza- tions and work areas. Include off-post responder organizations. Training and Exercises Competency-based training (Step 24) must cover the emergency prepar- edness or response plans. When feasible, you should conduct no-notice drills or exercises to test the ability of employees and responders to react quickly and correctly in case of emergencies. When you conduct an exer- cise (or after an actual emergency), hold an after-action review (AAR), keep records of the results, and revise the affected plans as required. Documentation Maintain the following documentation in accordance with your EMS docu- ment control procedures: A procedure for identifying the potential for environmental accidents and emergencies (risk assessment) All installation environmental accident and emergency response plans and procedures Documentation on how the installation works to prevent such inci- dents and the associated environmental impacts (provide the loca- tion of procedures for fire, safety, HAZMAT storage, and hazardous waste accumulation point inspections) 2-82 ------- Step-by-Step Guidance Mitigation procedures for impacts associated with accident and emergencies (covered in your response plans) Emergency preparedness and response document review and test- ing processes. Click here for example procedures covering emergency preparedness and response. Step 28. Establish procedures for nonconformance and preventive and corrective actions Nonconformance, corrective and pre- ventive action, ISO 14001, Sec. 4.5.2 Objective Definition At this point, you have taken great strides in establishing and implement- ing the EMS, but your EMS is not perfect. To deal with imperfections some of which may have been identified from measuring, monitoring, au- dits, and other reviewsand to adapt to changes on the installation, you must develop procedures for dealing with nonconformance. Develop and implement procedures that meet the ISO 14001 require- ments for defining responsibility and authority for handling and investigating nonconformance, taking action to mitigate any resulting impacts, initiating and completing preventive and corrective actions, and implementing changes to EMS procedures as a result of preventive or corrective actions. Nonconformance refers to situations or actions that do not meet or comply with the requirements established in the your installation's EMS or the ISO 14001 standard. Nonconformance can also mean that implementation is not consistent with the EMS description.35 35 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 65. 2-83 ------- Typical causes of nonconformance include poor communication, faulty or missing procedures, equipment malfunction (or lack of maintenance), lack of training, lack of understanding requirements, failure to enforce rules, and corrective actions that fail to address root causes of problems. (NSF p. 66) Means of identifying potential or real nonconformance include findings, conclusions, and recommendations reached as a result of measuring and monitoring; audits and other reviews; accidents; employee comments; and changes in installation activities or structure. Responsibilities and Authorities Processes Your nonconformance procedures must establish the nonconformance re- sponsibilities and authorities for the various organizations and individuals involved in the EMS. Organize this information with a table or separate paragraphs covering each position or organization, as seen in Army regu- lations. Click here for some examples. Whatever the format, everyone on the installation, from the CDR and supervisors to individual employees, must understand what they can and must do to address nonconforming situations. Your procedures must include instructions for completing several standard actions designed to identify and respond to nonconformances: Identifying and Reporting. Guidance for individuals who identify a potential nonconformance, including to whom one reports and how to document the report. 2-84 ------- Step-by-Step Guidance Investigation and Analysis. Guidance for determining who has the authority and responsibility to investigate nonconformance, the steps to be included in the process, documentation of the results, and who receives the results of the investigation. Mitigation of Impacts. For nonconformance that impacts the envi- ronment, guidance on who is responsible for mitigation and who approves and provides oversight on the mitigation activities. Corrective and Preventive Actions. Guidance for preventing the nonconformance from occurring again, including the individuals or groups responsible for formulating the preventive actions and en- suring that the preventive actions are implemented and incorpo- rated in existing EMS documentation. General Principles In any nonconformance situation, the parties responsible for addressing the nonconformance must perform several key activities to correctly as- sess and respond to the problem. Ensure that your nonconformance pro- cedures include the following: Determine the root cause. Develop the appropriate corrective or preventive action. Document the corrective or preventive action. (The amount of plan- ning and documentation varies with the severity of the problem and its potential environmental impacts. Try to keep things simple:36) Implement the corrective or preventive action. Record the documentation and implementation of the corrective or preventive action. Communicate the corrective or preventive action. Track and verify the effectiveness of corrective or preventive ac- tions. By analyzing system deficiencies, attempting to determine the root cause, or identifying why the problems are actually occurring, you may be able to detect patterns or trends. "Identifying trends allows you to anticipate and prevent future problems. Preventing problems is generally cheaper than 36 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 66. 2-85 ------- fixing them after they occur (or after they reoccur)."37 When a problem is documented, the installation commits to quickly resolving it. Be certain the corrective and preventive action process developed includes responsibili- ties and completion schedules. If the action is going to be lengthy or re- source intensive, review progress regularly. The corrective action should resolve the immediate problem, consider whether the same or similar problems exist elsewhere, and prevent the problem from recurring. The corrective action process should also define the responsibilities and schedules associated with these three steps. (NSF p. 66) Furthermore, you must ensure that any corrective or preventive action taken to eliminate the causes of actual and potential nonconformances must be appropriate to the magnitude of problems and commensurate with the environmental impact encountered.38 Changes in the EMS documented procedures that result from any corrective or preventive ac- tion must be implemented and recorded. In addition, the installation must ensure that these corrective and preventive actions have been imple- mented and that systematic follow-up ensures their effectiveness.39 If your installation has an ISO 9001 management system in place, use the ISO 9001 corrective and preventive action process as a model for this EMS corrective and preventive action procedure.40 Consider incorporating parts of the corrective action process with the management review proc- ess. For example, use the management review meetings to review non- conformities, discuss causes and trends, and identify corrective actions and assign responsibilities.41 ISO 14001 requires only that organizations establish and maintain proce- dures for nonconformance and corrective and preventive action. We rec- ommend that you document these procedures to ensure consistency and understanding across the installation. 37 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 65. 38 ISO 14001, Section 4.5.2, p. 5. 39 ISO 14004, Section 4.4.3, p. 22. 40 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 65. 41 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 65. 41 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 2-86 ------- Step-by-Step Guidance Environmental Management Sys- Step 29. Conduct periodic EMS audits. r r tern Audits, IS014001, Sec 4.5.4 Objective Establish and maintain programs and procedures for periodic EMS audits to do the following: Determine whether the EMS operates in accordance with docu- mented procedures and the ISO 14001 standard. Determine whether the EMS has been properly implemented and maintained. Provide audit results information to management. Base the audit coverage on environmental importance and previous audit results. Include the scope, frequency, methods, responsibilities, and re- quirements for conducting audits, measures to ensure auditor com- petence, and reporting results. Definition ISO 14001 defines EMS audits as "systematic and documented verifica- tion process of objectively obtaining and evaluating evidence to determine whether an organization's environmental management system conforms to the environmental management system audit criteria set by the organi- zation, and or communication of the results of this process to manage- ment." Who Can Conduct Audits? EMS audits can be performed by installation personnel or by external par- ties selected by the installation. The ERAS program, which we detail be- low, provides internal audit protocols and external audit support for Army installations. If your installation is ISO 9001-conformant, consider using your internal quality auditors as your internal EMS auditors.42 Regardless whom you choose to perform audits, they must be properly trained. Train- ing can come from a variety of sources, including on the job, on-line or correspondence courses, or classroom auditor training. Finally, your EMS 42 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 72. 2-87 ------- auditors must be able to audit objectively and impartially.43 To help en- sure objectivity, select auditors from outside the activity or chain of com- mand of the activity being audited. When selecting external EMS auditors, installations should consider using ISO 14012 "Guidelines for Environ- mental AuditingQualification Criteria for Environmental Auditors" as their selection criteria. Some installations recommend pairing an auditor from an external organization (for objectivity) with an auditor within the activity (for process and procedural knowledge.) Frequency and Scope The nature of the installation's environmental aspects and potential im- pacts, as well as the previous audit's results, should guide the frequency of the audits. Each organization has considerable flexibility as to how and when it conducts internal audits. Do not wait until the EMS is fully imple- mented and documented before conducting the first audit. Audits can oc- cur simultaneously with implementation.44 You are not required to audit the entire EMS at one time. You may break the EMS into discrete elements to allow for more frequent audits. In general, each part of the entire EMS should be audited at least annually, more often if warranted. Audit coverage should be prioritized using two criteria: environmental significance and prior audit results. You should audit areas with significant environmental impacts early and often. Like- wise, operations or processes with a history of nonconformance (discov- ered by audit results, regulatory violations, or other reporting) must also be a high audit priority. Objectives of EMS Audits "Your EMS audits should focus on objective evidence of conformance. During an audit, auditors should resist the temptation to evaluate, for ex- ample, why a procedure was not followed-that step comes later."46 The EMS "audit is a check on how well your system meets your own estab- lished EMS requirements. An EMS audit is not an assessment of how well employees do their jobs."47 Audits, if done properly, can provide benefits beyond meeting the ISO requirement. They can identify and help 43 ISO 14004, Section 4.4.5, p. 22. 44 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 51. 45 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 71. 46 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 72. 47 NSF-ISR, Environmental Management S Small and Medium-Sized Organizations, p. 73. 45 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 46 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 47 NSF-ISR, Environmental Management SystemsAn Implementation Guide for 2-88 ------- Step-by-Step Guidance correct nonconformities before any significant environmental impacts re- sult. Audits can help you fine-tune your EMS to optimize environmental (and mission) performance. Figure 2-5. Linkages Among EMS Audits, Corrective Action, and Management Reviews 48 Results EMS Established r Periodic EMS Audits i , ( r Management Reviews Corrective Action Process Records of audit results must be maintained and communicated to con- form with the requirements of IS014001. Audit results are one form of EMS performance information that must always be communicated to management. Recording audit results allows monitoring of corrective ac- tions.49 Because audit results are EMS records, consider creating and us- ing a template for documenting audit results. Although not a formal requirement, it may ease compliance with your EMS's records and docu- mentation requirements. Furthermore, installations should "ensure that identified system gaps or deficiencies are corrected in a timely fashion and that corrective actions are documented."50 You need a documented audit procedure that addresses audit scope (including the activities and areas considered in audits), audit protocols, audit criteria, audit frequency, auditor training and competence requirements, responsibilities and requirements for managing and conducting audits, and responsibilities and requirements for documenting, reporting, and communi- cating results. Source: ISO 14001 48 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 73. 49 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 51. 50 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 72. 2-89 ------- ERAS For the past several years, EGAS has provided comprehensive environ- mental compliance audits for installations. EGAS is now transforming into the ERAS, with a new focus on EMS and management issues. Many de- tails of the ERAS program are still being developed, but it will provide ex- ternal audit assistance for at least some elements of your EMS. Due to resource constraints, annual ERAS audits at all installations are unlikely, but audit protocols and other audit tools from ERAS will be made available to installations as the tools are developed and fielded. The ERAS team leader schedules periodic ERAS external assessments with input from Army leadership, the IMA, and installation staffs. These ERAS audit tools can help you establish your internal EMS audit procedures. ERAS will still provide compliance auditing support to help meet the compliance auditing requirements of EO 13148. Click here for ERAS audit procedures, checklists, and example audit re- sults. Self-Declaration Procedures Army EMS policy requires appropriate facilities to achieve full confor- mance with the ISO 14001 standard by 31 December 2009. Third party registration to the standard is not required, but facilities must follow Army procedures for self-declaration of conformance in order to meet the FY09 requirement. The self-declaration procedures require confirmation of con- formance by either an internal or external ERAS audit before facilities can self-declare, or publicly assert that they conform to the ISO 14001 stan- dard. Click here to view the Army self-declaration procedure. Step 30. Conduct periodic EMS management reviews. Management Review, ISO 14001, Section 4.6 Objective Establish procedures for top management to periodically review the per- formance of the EMS. As part of a continual improvement process, the ISO 14001 standard re- quires an organization's top management (EQCC or similar group) to re- view the EMS, at intervals that it determines, to ensure that the EMS is working (suitable, adequate, and effective, given the installation's needs).51 51 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 75. 2-90 ------- Step-by-Step Guidance Management Reviews, Quality Management, and IPRs The management review as described by the ISO standard is basically the same as the IPR commonly used in the Army. Consider holding man- agement reviews at least once a year. Depending on the nature of your objectives and targets, hold IPRs semiannually or quarterly to track pro- gress and make adjustments in a timely manner. You can combine man- agement review meetings with other meetings, such as strategic planning or quality review meetings, or have a standalone EMS management re- view meeting."52 Management reviews are one key to continual improve- ment and for ensuring that the EMS will continue to meet your organization's needs over time." 53 Management Review Questions to Ponder Did we achieve our objectives and targets? If not, why not? Should we modify our objectives? Is our environmental policy still relevant to what we do? Are roles and responsibilities still clear, do they make sense, and are they communicated effectively? Are we applying resources appropriately? Are our procedures clear and adequate? Do we need other controls? Should we eliminate some of them? Are we fixing problems when we find them? Are we monitoring our EMS (such as via system audits)? What do the results of those audits tell us? What effects have changes in materials, products, or services had on our EMS and its effectiveness? Do changes in laws or regulations require us to change some of our ap- proaches? What other changes are coming in the near term? What impacts (if any) will these have on our EMS? What stakeholder concerns have been raised since our last review? How are concerns being addressed? Is there a better way? What can we do to improve? (NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Me- dium-Sized Organizations, p. 76) 52 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 75. 53 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 75. 2-91 ------- Management Review Objectives The management review should serve several functions: Providing general information about the EMS and current environ- mental issues to top management (continuing awareness) Discussing the relevancy of the installation's environmental policy, objectives, and targets in light of changing situations and making appropriate revisions Discussing EMS audit results and approving related plans and re- sources required to improve the EMS Reviewing progress toward objectives and targets, approving new or revised objectives and targets. Who Participates Two kinds of people should be involved in the management review proc- ess: Those who know and are responsible for specific aspects of the EMS and related environmental issues. This group extends be- yond the environmental management office and should include in- dividuals responsible for EMPs, as well as individuals in the various functional areas where significant impacts occur. Those who can make decisions about the organization and its re- sources (top management).54 On an Army installation, these in- clude the EQCC, chaired by the CDR. Scope The review should be comprehensive, though not all elements of an EMS need to be reviewed at once and the review process may take place over time. The review of the policy, objectives, and procedures should be car- ried out by the level of management that defined them. Reviews should include minutes from previous management reviews, results from audits, the extent to which objectives and targets have been met, 54 NSF-ISR, Environmental Management SystemsAn Implementation Guide for Small and Medium-Sized Organizations, p. 75. 2-92 ------- Step-by-Step Guidance the continuing suitability of the EMS in relation to changing condi- tions and information, concerns among relevant interested parties (internal suggestions and external communications),55 other environmental performance measures, and reports of emergencies, spills, or other incidents or nonconform- ities. Evaluate the need to change the environmental policy, objectives, targets, and other elements of the EMS due to the following factors: Changing mission Addition of new facilities Changing legislation Changing expectations and requirements of interested parties Changes in the products or activities of the installation Advances in science and technology Lessons learned from environmental incidents Reporting and communication.56 Management reviews should assess both positive and negative findings and not only focus on the negative. Ensure the review focuses on the in- stallation's environmental performance and evaluates the EMS's effec- tiveness. Documentation and Followup Record the minutes of the management review and document resulting observations, conclusions, and recommendations to prepare for neces- sary actions. In addition, "if any corrective action must be taken, top man- agement should follow up to ensure that the action was effectively implemented."57 Consider maintaining a "due-out" list that documents re- quired actions, responsible parties, and scheduled dates. Use this list to 55 ISO 14001, Section A.6, p. 10. 56 ISO 14004, Section 4.5.2, p. 23. 57 Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 53. 2-93 ------- track required actions to completion. Maintain all management review documentation in accordance with your document control procedures. Continual Improvement "The purpose and final outcome of the management review should be continual improvement of the EMS."58 The continual improvement proc- ess should identify areas of opportunity for improvement of the EMS that lead to improved environmental performance, determine the cause or causes of nonconformance or deficiencies, develop and implement plans of corrective and preventive action to address root causes, verify the effectiveness of the corrective and preventive actions, document changes in procedures resulting from process improve- ment, and make comparisons with objectives and targets".59 Management reviews offer an opportunity to keep the EMS efficient and cost-effective. If your installation developed procedures or processes that are no longer needed, eliminate them.60" As your organization's EMS in- creases in its effectiveness and efficiency, your environmental perform- ance will likewise increase."61 CONCLUSION Congratulations! The basic elements of your EMS are now in place, and you can focus on continual improvement. As you continue to operate and examine the EMS and its procedures, you will undoubtedly find ways to streamline the EMS to increase both effectiveness and ease of use. You will also see that the environmental focus of the installation will shift from a defensive, reactive posture to one that is proactive and based on sound Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001, p. 53. 59 ISO 14004, Section 4.5.3, p. 24. 60 NSF-ISR, Environmental Management Systems An Implementation Guide for Small and Medium-Sized Organizations, p. 75. 61 Concurrent Technologies Corporation fo System Guidance Manual: Implementing ISO 14001, p. 53. 61 Concurrent Technologies Corporation for U. S. Army, Environmental Management 2-94 ------- Step-by-Step Guidance planning and informed decision-making. In order to keep the EMS rele- vant and effective, you must ensure that the mission remains the central focus of the management system and the EMS works to enhance readi- ness and develop sustainable processes and activities. 2-95 ------- References We used the following references to compile this guide. POLICIES AND MEMORANDA Executive Order 13148, "Greening the Government Through Leadership in Environmental Management," 21 April 2000 Memorandum for Assistant Chief of Staff for Installation Management, from Raymond J. Fatz, Deputy Assistant Secretary of the Army (Envi- ronment, Safety and Occupational Health), OASA(I&E), Subject, Army Environmental Management System, 13 July 2001. Available from http://aec.armv.mil/usaec/support/ems-requirements080601.pdf. Memorandum for Deputy Assistant Secretary of the Army (Environment, Safety and Occupational Health) from John Paul Woodley, Jr., Assis- tant Deputy Undersecretary of Defense (Environment), Subject, Envi- ronmental Management System (EMS) Implementation Criteria and Metrics, 30 Jan 2003. DOCUMENTS ISO 14001:1996, Environmental management systemsSpecification with guidance for use. ISO 14004:1996(E), Environmental Management SystemsGeneral Guidelines on principles, systems and supporting techniques, first edi- tion. Concurrent Technologies Corporation for U. S. Army, Environmental Management System Guidance Manual: Implementing ISO 14001. National Science Foundation International Strategic Registrations (NSF- ISR), Ltd., Environmental Management Systems: An Implementation Guide for Small and Medium-Sized Organizations. Second Edition. 2001. Ref-1 ------- WEBSITES DENIX EMS Subject Area https://www.denix.osd.mil/denix/DOD/Library/EMS/ems.html PEER) Center, How to Implement an EMS [on-line document], undated [cited February 2003]. Available from: http://www.peercenter.net/howtoimplement/. CDs Concurrent Technologies Corporation, Environmental Management Tool- kitAn Environmental Management System Implementation Tool, Octo- ber 2002. Ref-2 ------- Appendix A Acronyms AAR ABC ANSI AR ARNG ARTEP BMP CAA CAIRA CBT CDR CERCLA CFCs CFR CFT CONUS COTS CWA DENIX DFE DoD DPW DSERTS EGAS ECOs EMP EMS after-action review activity-based costing American National Standards Institute Army Regulation Army National Guard Army Readiness Training Evaluation Programs best management practice Clean Air Act Chemical accident/incident response and assistance computer-based training commander Comprehensive Environmental Response, Compensation and Liability Act chlorofluorocarbon Code of Federal Regulations cross-functional team Continental United States commercial off-the-shelf Clean Water Act Defense Environmental Network Information Exchange Design for the environment Department of Defense directorate of public works Defense Site Environmental Restoration Tracking System Environmental Compliance Assessment System environmental compliance officers environmental management programs environmental management system A-1 ------- EMSMR ENFs EO EPA ERAS EPCRA EPI EPR EQCC EQR ESA FIFRA FRP FY GOCO HAZMAT HMTA HOA HW ICAPs IMA IMRO IPR ISR IT METL MSDSs NAAQS NCA NEPA NLT NOV environmental management system management repre- sentative enforcement actions Executive Order U.S. Environmental Protection Agency Environmental Program Assessment System Emergency Planning and Community Right-To-Know Act environmental performance indicators Environmental Program Requirements environmental quality control committee Environmental Quality Report Endangered Species Act Federal Insecticide, Fungicide, and Rodenticide Act Facility response plan fiscal year government-owned, contractor-operated hazardous material Hazardous Materials Transportation Act homeowners association hazardous waste installation compliance action plans Installation Management Agency installation management regional office in-process review Installation Status Report information technology mission-essential task list material safety data sheets national ambient air quality standards Noise Control Act National Environmental Policy Act no later than notices of violation A-2 ------- Acronyms NOx NPDES OB/OD OCONUS ODCs PAO PM2.5 POC POL POTW RCRA RDT&E REOs SCP SDWA SOP SOx SPCC SPCCP SRS SS IDA TOE TSCA USAEC use VOC nitrogen oxides national pollutant discharge elimination system open burn/open detonation Outside Continental United States ozone depleting chemicals public affairs office particulate matter with diameter less than or equal to 2.5 microns point of contact petroleum, oil, or lubricant publicly owned treatment works Resource Conservation and Recovery Act Research, development, testing, and evaluation regional environmental offices Spill contingency plan Safe Drinking Water Act standard operating procedure sulfur oxides Spill Prevention, Control, and Countermeasures Spill Prevention, Control, and Countermeasures Plan Strategic Readiness System significance score Table of Distribution and Allowances Table of Organization and Equipment Toxic Substances Control Act U.S. Army Environmental Center United States Code volatile organic compounds A-3 ------- DEPARTMENT OF VETERANS AFFAIKS ASSISTANT SLCRKTAKV FOR ACQUISITION AND MATERIEL MANAGEMENT WASHINGTON, DC 20420 IL 049-02-11 July 5, 2002 OFFICE OF ACQUISITION AND MATERIEL MANAGEMENT INFORMATION LETTER TO: Under Secretary for Memorial Affairs, National Cemetery Administration; Chief Facilities Management Officer, Office of Facilities Management; Veterans Integrated Service Network Directors; Directors, VA Medical Center Activities, Domiciliary, Outpatient Clinics, Medical and Regional Office Centers, and Regional Offices; Directors, Denver Distribution Center, Austin Automation Center, Records Management Center, V8A Benefits Delivery Centers, and the VA Health Administration Center; and the Executive Director and Chief Operating Officer, VA National Acquisition Center ATTN: Head of the Contracting Activity Alt VA Contracting Officers SUBJECT: Executive Order 13148, Greening the Government Through Leadership in Environmental Management 1. The purpose of this information letter (IL) is to provide guidance to acquisition and procurement professionals regarding Executive Order (EO) 13148, Greening the Government Through Leadership in Environmental Management, dated April 22, 2001, 2. The primary goal of this EO is to ensure that each Federal agency integrates environmental accountability into day-to-day decision-making and long-term planning processes and across its missions, activities, and functions, 3. VA shall strive to reduce or eliminate harm to human health and the environment from releases of pollutants to the environment. Additionally, VA shall advance the national policy that, whenever feasible and cost-effective, pollution should be prevented or reduced at the source. Sound acquisition and procurement practices can assist in addressing these issues. ------- IL 049-02-11 July 5, 2002 4. E.G. 13148, Part 7 - Acquisition and Procurement, specifically, provides guidance to procurement officials and acquisition program managers. EO 13148 Part 7 includes the following: Section 701: Limiting Procurement of Toxic Chemicals, Hazardous Substances and other pollutants. (b) Each agency shall determine the feasibility of implementing centralized procurement and distribution (e.g., "pharmacy") programs at its facilities for tracking, distribution, and management of toxic or hazardous materials and, where appropriate, implement such programs, (c) Under established schedules for review of standardized documents, DOD and GSA, and other agencies, as appropriate, shall review their standardized documents and identify opportunities to eliminate or reduce their use of chemicals included on the list of priority chemicals developed by the EPA, (d) Each agency shall follow the policies and procedures for toxic chemical release reporting in accordance with FAR section 23,9 and policies and procedures on Federal compliance with right-to-know laws and pollution prevention requirements in accordance with FAR section 23.10. Section 702. Environmentally Benign Adhesives. Each agency shall revise its specifications for paper products using adhesives and direct the purchase of paper products using those adhesives, whenever technically practicable and cost effective. Each agency should consider products using the environmentally benign pressure sensitive adhesives approved by the U.S. Postal Service (USPS) and listed on the USPS Qualified Products List for pressure sensitive recyclable adhesives. Section 703, Ozone-Depleting Substances. Each agency shall follow the policies and procedures for the acquisition of items that contain, use, or are manufactured with ozone-depleting substances in accordance with FAR section 23.8 and other applicable FAR provisions. ------- J. 1L 049-02-11 Julv 5. 2002 Section 704. Environmentally and Economically Beneficial Landscaping Practices, (a) Each agency shall have in place acquisition and procurement practices, including provision of landscaping sen/ices that conform to the "Guidance for Presidential Memorandum on Environmentally and Economically Beneficial Landscape Practices on Federal Landscaped Grounds", for the use of environmentally and economically beneficial landscaping practices, (b) In implementing landscaping policies, each agency shall purchase environmentally preferable and recycled content products, including EPA- designaled items such as compost and mulch, that contributes to environmentally and economically beneficial practices. 5, Training programs will be implemented to ensure that agency procurement officials and acquisition program managers are aware of the requirements of this order and its applicability to those individuals. The training program dates will be announced at a later dale. 6, Direct any questions regarding this information letter to Patricia Ellis, Acquisition Policy Division (049A5A). at (202) 273-6058. /s/David S. Derr Associate Deputy Assistant Secretary for Acquisitions Distribution: RFC 7029 ------- ------- Wednesday October 16, 1996 Part VIM Environmental Protection Agency Code of Environmental Management Principles; Notice 54061 ------- 54062 Federal Register / Vol. 61, No. 201 / Wednesday, October 16, 1996 / Notices ENVIRONMENTAL PROTECTION AGENCY [FRL-5636-4] Code of Environmental Management Principles AGENCY: Environmental Protection Agency. ACTION: Announcement of EPA's Issuance of the Code of Environmental Management Principles for Federal Agencies. SUMMARY: This notice serves as a public announcement of the issuance of the Code of Environmental Management Principles or the CEMP developed by EPA in consultation with other Federal Agencies as mandated by Executive Order 12856 ("Federal Compliance With Right-to-Know Laws and Pollution Prevention Requirements") signed by President Bill Clinton on August 3, 1993. On September 3, 1996, EPA transmitted the CEMP to Federal agency executives who signed the Charter for the Interagency Executive Order 12856 Pollution Prevention Task Force in September 1995, requesting written commitment to the principles contained in the CEMP. EPA also is asking Federal agency executives to provide a written statement declaring their agency's support for the CEMP principles along with a description of the agency's plans for implementation of the CEMP at the facility level. DATES: EPA has asked for written responses from Federal agency executives by October 1, 1996. Extensions to requesting agencies have been granted to October 18, 1996. EPA plans to issue a summary of agency responses in January 1997. FOR FURTHER INFORMATION CONTACT: James Edward, Acting Associate Director, Federal Facilities Enforcement Office, Office of Enforcement and Compliance Assurance, United States Environmental Protection Agency, 401 M Street, SW., Washington DC 20460, telephone 202-564-2462 or Andrew Cherry, U.S. Environmental Protection Agency, 401 M Street, SW., Washington, DC. 20460, phone (202) 564-5011, fax (202) 501-0069 SUPPLEMENTARY INFORMATION: I. Explanation of the CEMP A. Background EPA believes that leadership opportunities in environmental management should be fully realized for the Federal agencies and departments throughout the U.S. Government. American citizens and other stakeholder groups have increasingly sought a more responsible standard of care toward the environment from various sectors of industry and other private organizations. In response, more and more companies and trade associations have begun initiatives that call for identifying their environmental impacts, measuring their successes in meeting environmental objectives, sanctioning shortcomings, recognizing accomplishments, and making continuous improvement. Recently the growing popularity of national and international consensus based environmental management standards among industry demonstrates this trend. However, the public has also demanded that the Federal Government and its agencies and departments, also demonstrate a commitment to a common environmental ethic. EPA believes that if the Federal Government is willing to make a public commitment to voluntarily adopt an appropriate code of environmental ethics or conduct, which is at least equivalent to the commitment demonstrated by environmental leaders in the private sector, and hold itself accountable for implementing these principles, then significant progress can be made toward improving public trust and confidence toward Federal facility environmental performance. On August 3, 1993, President Clinton signed Executive Order No. 12856, which pledges the Federal Government to implement pollution prevention measures, and publicly report and reduce the generation of toxic and hazardous chemicals and associated emissions. Section 4-405 of Executive Order 12856 requires the Administrator of the Environmental Protection Agency (EPA), in cooperation with Federal agencies, to establish a Federal Government Environmental Challenge Program. Similar to the "Environmental Leadership" program proposed in 1993 by EPA's Office of Enforcement, the program is designed to recognize and reward outstanding environmental management performance in Federal agencies and facilities. As required under the Executive Order, the program shall consist of three components to challenge Federal agencies to: (1) Agree to a code of environmental principles emphasizing pollution prevention, sustainable development, and "state of the art" environmental management programs; (2) submit applications to EPA for individual Federal facilities for recognition as "Model Installations"; and (3) encourage individual Federal employees to demonstrate outstanding leadership in pollution prevention. The program is geared toward recognizing those departments, agencies, and Federal installations where mission accomplishment and environmental leadership become synonymous and to highlight these accomplishments as models for both Federal and private organizations. On September 12, 1995, senior agency representatives signed the Charter for the Interagency Pollution Prevention Task Force committing the Federal Government to achieve, among other items, environmental excellence through various activities including: (a) Active agency and facility participation in the Federal Government Environmental Challenge Program and, (b) participation in the establishment of an agency Code of Environmental Management Principles. EPA has been working to develop the CEMP through the Interagency Pollution Prevention Task Force, which was created by the Executive Order, since January 1995. In June 1995, a subcommittee of Federal agency representatives was formed by the Task Force to work directly with EPA in the development of the CEMP. Through this process, several drafts of the CEMP were forwarded to Federal agencies by the subcommittee for formal review and comment. This version of the CEMP represents the final version as approved by the subcommittee and incorporates comments from members of the Interagency Task Force. On September 3, 1996, Steve Herman, the EPA Assistant Administrator for Enforcement and Compliance Assurance, signed a letter transmitting the CEMP to the Federal agency executives who had signed the Charter for the Interagency Executive Order 12856 Pollution Prevention Task Force in September 1995, requesting written commitment to the Principles contained in the CEMP. In this letter, EPA also asked each agency to provide a written statement declaring their support for the CEMP principles at the agency level along with a description of their plans for implementation of the CEMP at the facility level. EPA is seeking endorsement of the CEMP Principles on an agency wide basis, with flexibility as to how the Principles themselves are implemented at the facility level. For example, agencies can choose to directly implement the CEMP Principles at the facility level or use another alternative environmental management system (e.g., ISO 14001). This flexible approach is in recognition that of the fact that individual Federal facilities and installations may already have environmental management systems in ------- Federal Register / Vol. 61, No. 201 / Wednesday, October 16, 1996 / Notices 54063 place or are considering adoption of the ISO 14001 Environmental Management Standard. It is also important to point out that the term "agency" is used throughout the CEMP to represent the participation of individual Federal Government entities. It should be recognized that many Cabinet-level "agencies" have multiple levels of organization and contain independently operating bodies (known variously as bureaus, departments, administrations, services, major commands, etc.) with distinct mission and function responsibilities. Therefore, while it is expected that a "parent agency" would subscribe to the CEMP, each parent agency will have to determine the most appropriate level(s) of explicit CEMP implementation for its organization. Regardless of the level of implementation chosen for the organization, it is important that the parent agency or department demonstrate a commitment to these principles. With respect to the other two components of the Federal Government Environmental Challenge Program, EPA will merge the E.O. 12856 Model Installation Program with EPAs Environmental Leadership Program (ELP), which is also open to private facilities, when the ELP becomes a full- scale program in 1997. One of the prerequisites for Federal facility participation in the ELP will be agency endorsement of the CEMP principles. In addition, EPA will also the individual employee recognition component of the Challenge Program with the Executive Order 12873 Closing the Circle Awards Program beginning in 1996. B. Overview of the CEMP Five broad environmental management principles have been developed to address all areas of environmental responsibility of Federal agencies. More discussion of the intent and focus of each principle and supporting elements may be found in the next section, "Implementation of The Code of Environmental Management Principles." The five Principles are as follows: 1. Management Commitment The agency makes a written top- management commitment to improved environmental performance by establishing policies which emphasize pollution prevention and the need to ensure compliance with environmental requirements. 2. Compliance Assurance and Pollution Prevention The agency implements proactive programs that aggressively identify and address potential compliance problem areas and utilize pollution prevention approaches to correct deficiencies and improve environmental performance. 3. Enabling Systems The agency develops and implements the necessary measures to enable personnel to perform their functions consistent with regulatory requirements, agency environmental policies and its overall mission. 4. Performance and Accountability The agency develops measures to address employee environmental performance, and ensure full accountability of environmental functions. 5. Measurement and Improvement The agency develops and implements a program to assess progress toward meeting its environmental goals and uses the results to improve environmental performance. II. Implementation of the Code of Environmental Management Principles Each of the five principles, which provide the overall purpose of the step in the management cycle, is supported by Performance Objectives, which provide more information on the tools and mechanisms by which the principles are fulfilled. The principles and supporting Performance Objectives are intended to serve as guideposts for organizations intending to implement environmental management programs or improve existing programs. It is expected that each of these principles and objectives would be incorporated into the management program of every organization. The degree to which each is emphasized will depend in large part on the specific functions of the implementing organization. An initial review? of the existing program will help the organization to determine where it stands and how best to proceed. Principle 1: Management Commitment The agency makes a written top- management commitment to improved environmental performance by establishing policies which emphasize pollution prevention and the need to ensure compliance with environmental requirements. Performance Objectives 1.1 Obtain Management Support. The agency ensures support for the environmental program by management at all levels and assigns responsibility for carrying out the activities of the program. Management sets the priorities, assigns key personnel, and allocates funding for agency activities. In order to obtain management approval and support, the environmental management program must be seen as vital to the functioning of the organization and as a positive benefit, whether it be in financial terms or in measures such as regulatory compliance status, production efficiency, or worker protection. If management commitment is seen as lacking, environmental concerns will not receive the priority they deserve. Organizations that consistently demonstrate management support for pollution prevention and environmental compliance generally perform at the highest levels and will be looked upon as leaders that can mentor other organizations wishing to upgrade their environmental performance. 1.1.1 Policy Development. The agency establishes an environmental policy followed by an environmental program that complements its overall mission strategy. Management must take the lead in developing organizational goals and instilling the attitude that all organization members are responsible for implementing and improving environmental management measures, as well as develop criteria for evaluating how well overall goals are met. The environmental policy will be the statement that establishes commitments, goals, priorities, and attitudes. It incorporates the organization's mission (purpose), vision (what it plans to become), and core values (principles by which it operates). The environmental policy also addresses the requirements and concerns of stakeholders and how the environmental policy relates to other organizational policies. 1.1.2 System Integration. The agency integrates the environmental management system throughout its operations, including its funding and staffing requirements, and reaches out to other organizations. Management should institutionalize the environmental program within organizational units at all levels and should take steps to measure the organization's performance by incorporating specific environmental performance criteria into managerial and employee performance evaluations. Organizations that fulfill this principle demonstrate consistent high- level management commitment, integrate an environmental viewpoint into planning and decision-making ------- 54064 Federal Register / Vol. 61, No. 201 / Wednesday, October 16, 1996 / Notices activities, and ensure the availability of adequate personnel and fiscal resources to meet organizational goals. This involves incorporating environmental performance into decision-making processes along with factors such as cost, efficiency, and productivity. 1.2 Environmental Stewardship and Sustainable Development. The agency strives to facilitate a culture of environmental stewardship and sustainable development. "Environmental Stewardship" refers to the concept that society should recognize the impacts of its activities on environmental conditions and should adopt practices that eliminate or reduce negative environmental impacts. The President's Council on Sustainable Development was established on June 29, 1993 by Executive Order 12852. The Council has adopted the definition of sustainable development as; "meeting the needs of the present without compromising the ability of future generations to meet their own needs". An organization's commitment to environmental stewardship and sustainable development would be demonstrated through implementation of several of the CEMP Principles and their respective Performance Objectives. For example, by implementing pollution prevention and resource conservation measures (see Principle 2, Performance Objective 2.3), the agency can reduce its negative environmental impacts resulting directly from its facilities. In addition, by including the concepts of environmental protection and sustainability in its policies, the agency can help develop the culture of environmental stewardship and sustainable development not only within the agency but also to those parts of society which are affected by the agency's activities. Principle 2: Compliance Assurance and Pollution Prevention. The agency implements proactive programs that aggressively identify and address potential compliance problem areas and utilize pollution prevention approaches to correct deficiencies and improve environmental performance. Performance Objectives 2.1 Compliance Assurance. The agency institutes support programs to ensure compliance with environmental regulations and encourages setting goals beyond compliance. Implementation of an environmental management program should be a clear signal that non-compliance with regulations and established procedures is unacceptable and injurious to the operation and reputation of the organization. Satisfaction of this performance objective requires a clear and distinct compliance management program as a component of the agency's overall environmental management system. An agency that fully incorporates the tenets of this principle demonstrates maintainable regulatory compliance and addresses the risk of non-compliance swiftly and efficiently. It also has established a proactive approach to compliance through tracking and early identification of regulatory trends and initiatives and maintains effective communications with both regulatory authorities and internally to coordinate responses to those initiatives. It also requires that contractors demonstrate their commitment to responsible environmental management and provides guidance to meet specified standards. 2.2 Emergency Preparedness. The agency develops and implements a program to address contingency planning and emergency response situations. Emergency preparedness is not only required by law, it is good business. Properly maintained facilities and trained personnel will help to limit property damage, lost-time injuries, and process down time. Commitment to this principle is demonstrated by the institution of formal emergency-response procedures (including appropriate training) and the appropriate links between health and safety programs (e.g., medical monitoring for Federal employees performing hazardous site work). 2.3 Pollution Prevention and Resource Conservation. The agency develops a program to address pollution prevention and resource conservation issues. An organization committed to pollution prevention has a formal program describing procedures, strategies, and goals. In connection with the formal program, the most advanced organizations have implemented policy that encourages employees to actively identify and pursue pollution prevention and resource conservation measures, and instituted procedures to incorporate such measures into the formal program. Resource conservation practices would address the use by the agency of energy, water, and transportation resources, among others. Pollution prevention policies and practices should follow the environmental management hierarchy prescribed in the Pollution Prevention Act of 1990: (1) Source reduction; (2) recycling; (3) treatment; and (4) disposal. Section 3-301(b) of Executive Order 12856 requires the head of each Federal agency to make a commitment to utilizing pollution prevention through source reduction, where practicable, as a primary means of achieving and maintaining compliance with all applicable Federal, State and local environmental requirements. Principle 3: Enabling Systems The agency develops and implements the necessary measures to enable personnel to perform their functions consistent with regulatory requirements, agency environmental policies and it's overall mission. Performance Objectives 3.1 Training. The agency ensures that personnel are fully trained to carry out the environmental responsibilities of their positions. Comprehensive training is crucial to the success of any enterprise. People need to know what they are expected to do and how they are expected to do it. An organization will be operating at the highest level when it has an established training program that provides instruction to all employees sufficient to perform the environmental aspects of their jobs, tracks training status and requirements, and offers refresher training on a periodic basis. 3.2 Structural Supports. The agency develops and implements procedures, standards, systems, programs, and objectives that enhance environmental performance and support positive achievement of organizational environmental and mission goals. Clear procedures, standards, systems, programs, and short- and long-term objectives must be in place for the organization to fulfill its vision of environmental responsibility. A streamlined set of procedures, standards, systems, programs, and goals that describe and support the organization's commitment to responsible environmental management and further the organization's mission demonstrate conformance with this principle. 3.3 Information Management, Communication, Documentation. The agency develops and implements systems that encourage efficient management of environmentally-related information, communication, and documentation. Information management, communication, and documentation are necessary elements of an effective environmental management program. The need for advanced information management capabilities has grown significantly to keep pace with the ------- Federal Register / Vol. 61, No. 201 / Wednesday, October 16, 1996 / Notices 54065 volume of available information to be sifted, analyzed, and integrated. The ability to swiftly and efficiently digest data and respond to rapidly changing conditions can be key to the continued success of an organization. Organizations adopting this principle have developed a sophisticated information gathering and dissemination system that supports tracking of performance through measurement and reporting. They also have an effective internal and external communication system that is used to keep the organization informed regarding issues of environmental concern and to maintain open and regular communication with regulatory authorities and the public. Those organizations operating at the highest level ensure that employees have access to necessary information and implement measures to encourage employees to voice concerns and suggestions. Principle 4: Performance and Accountability The agency develops measures to address employee environmental performance, and ensure full accountability of environmental functions. Performance Objectives 4.1 Responsibility, Authority and Accountability. The agency ensures that personnel are assigned the necessary authority, accountability, and responsibilities to address environmental performance, and that employee input is solicited. At all levels, those personnel designated as responsible for completing tasks must also receive the requisite authority to carry out those tasks, whether it be in requisitioning supplies or identifying the need for additional personnel. Similarly, employees must be held accountable for their environmental performance. Employee acceptance of accountability is improved when input is solicited. Encouraging employees to identify barriers to effective performance and to offer suggestions for improvement provides a feeling of teamwork and a sense that they control their own destiny, rather than having it imposed from above. 4.2 Performance Standards. The agency ensures that employee performance standards, efficiency ratings, or other accountability measures, are clearly defined to include environmental issues as appropriate, and that exceptional performance is recognized and rewarded. Organizations that identify specific environmental performance measures (where appropriate), evaluate employee performance against those measures, and publicly recognize and reward employees for excellent environmental performance through a formal program demonstrate conformance with this principle. Principle 5: Measurement and Improvement: The agency develops and implements a program to assess progress toward meeting it's environmental goals and uses the results to improve environmental performance. Performance Objectives 5.1 Evaluate Performance. The agency develops a program to assess environmental performance and analyze information resulting from those evaluations to identify areas in which performance is or is likely to become substandard. Measurement of performance is necessary to understand how well the organization is meeting its stated goals. Businesses often measure their performance by such indicators as net profit, sales volume, or production. Two approaches to performance measurement are discussed below. 5.1.1 Gather and Analyze Data. The agency institutes a systematic program to periodically obtain information on environmental operations and evaluate environmental performance against legal requirements and stated objectives, and develops procedures to process the resulting information. Managers should be expected to provide much of the necessary information on performance through routine activity reports that include environmental issues. Performance of organizations and individuals in comparison to accepted standards can also be accomplished through periodic environmental audits or other assessment activities. The operation of a fully-functioning system of regular evaluation of environmental performance along with standard procedures to analyze and use information gathered during evaluations signal an organization's conformance with this principle. 5.1.2 Institute Benchmarking. The agency institutes a formal program to compare its environmental operations with other organizations and management standards, where appropriate. "Benchmarking" is a term often used for the comparison of one organization against others, particularly those that are considered to be operating at the highest level. The purpose of Benchmarking is twofold: first, the organization is able to see how it compares with those whose performance it wishes to emulate; second, it allows the organization to benefit from the experience of the peak- performers, whether it be in process or managerial practices. Benchmarking against established management standards, such as the ISO 14000 series or the Responsible Care program developed by the Chemical Manufacturers Association (CMA), may be useful for those agencies with more mature environmental programs, particularly if the agencies' activities are such that their counterparts in the private sector would be difficult to find. However, it should be understood that the greater benefit is likely to result from direct comparison to an organization that is a recognized environmental leader in its field. 5.2 Continuous Improvement. The agency implements an approach toward continuous environmental improvement that includes preventive and corrective actions as well as searching out new opportunities for programmatic improvements. Continuous improvement is approached through the use of performance measurement to determine which organizational aspects need to have more attention or resources focused upon them. Continuous improvement may be demonstrated through the implementation of lessons learned and employee involvement programs that provide the opportunity to learn from past performance and incorporate constructive suggestions. In addition, the agency actively seeks comparison with and guidance from other organizations considered to be performing at the highest level. IV. Responses From Federal Agencies and Departments EPA is requesting Federal agencies to provide a brief written statement declaring the agency's support for the CEMP Principles along with a concise explanation of how the agency plans to implement the CEMP at the facility level. To implement the CEMP the agency may choose to employ voluntary environmental management standards developed by national or international consensus groups or by industry trade associations as long as the spirit of the CEMP is evidenced by those chosen standards. At this time, EPA is seeking agency level commitment to the CEMP. EPA recognizes that many Federal agencies may have already begun development of environmental management systems or have chosen to implement a particular environmental ------- 54066 Federal Register / Vol. 61, No. 201 / Wednesday, October 16, 1996 / Notices management standard at their facilities. EPA recommends that these agencies leverage the work that has already been accomplished, and perform some comparative or gap analysis between the existing environmental management system, program or standard and the CEMP to ensure that the principles of the CEMP are fully implemented. Therefore the CEMP can be implemented concurrently and not in addition to the work that is already being performed at the agency. Dated: September 23, 1996. Steven A. Herman, Assistant Administrator for Enforcement and Compliance Assurance. [FR Doc. 96-26451 Filed 10-15-96; 8:45 am] BILLING CODE 6560-50-P ------- OFFICE OF THE FEDERAL ENVIRONMENTAL EXECUTIVE WHITE HOUSE TASK FORCE ON WASTE PREVENTION AND RECYCLING 1200 PENNSYLVANIA AVENUE, NW MAIL CODE 1600S WASHINGTON, DC 20460 (202) 564-1297 WWW.OFEE.COV TASK_FORCE@OFEE.GOV PROMOTING SUSTAINABLE ENVIRONMENTAL STEWARDSHIP THROUGHOUT THE FEDERAL GOVERNMENT MEMORANDUM SUBJECT: EMS Self-Declaration Protocol FROM: John Howard \JLjf l\^\^ m^^^^^ \.\ f% Federal Environmental Executive TO: Agency Environmental Executives DATE: January 27, 2004 This memorandum formally transmits for your implementation the Environmental Management System (EMS) Agency Self-Declaration Protocol for Appropriate Federal Facilities (Protocol), dated September 10, 2003. This document was prepared by the Executive Order 13148 Interagency Environmental Management Workgroup in accordance wili their responsibilities under Section 306 to develop guidance for implementing the Order. The Protocol establishes the framework to be used by each agency in formulating the process and guidance for its facilities to self-declare compliance with the EMS requirements of the Order. The deadline for implementation of the Protocol is December 31, 2004. Implementation of the Protocol will ensure that each agency's guidance for declaring conformance to that agency's selected EMS framework reflects accepted EMS principles and that facility or organization EMSs have been properly developed and effectively implemented. Further, the document will allow review of lie entire Federal government's progress in achieving the EMS goals in the Order while maintaining flexible conformance criteria that can be adapted for unique application by each agency. The Protocol must be implemented by December 31, 2004 to support each agency's facility-level implementation of the EMS requirement prior to the December 2005 deadline established in the Order. I encourage agencies to share their agency self-declaration guidance with EPA or my office as soon as it is available. The E.O. 13148 annual report request for calendar year 2004 will also ask each agency to supply a copy of its self-declaration guidance. I appreciate the continued efforts of the E.O. 13148 Workgroup to provide the tools to streamline progress towards our goal of environmental leadership in the Federal government. As your agency prepares guidance for facility or organization self declaration, please follow the guidance in the Self-Declaration Protocol. Thank you for your continued support:. Minimum 30 percent postconsumer recvcled content paper ------- Environmental Management Systems Agency Self-Declaration Protocol for Appropriate Federal Facilities Final Version September 10, 2003 Introduction and Purpose: The process used by federal agencies and their facilities or organizations to self-declare conformance with their selected environmental management systems (EMS) must ensure credibility. In order to meet this goal, agencies must develop a process that provides for effective and objective assessment of these systems in a manner that not only ensures the system is conformant, but is also designed for ongoing evaluation and continual improvement. Such a process must not only verify that appropriate documentation is developed, but affirm that the facility or organization is actually implementing their EMS as defined in their documentation and doing what they say they are doing. This process must also include the degree of transparency and objectivity necessary to make the self-declaration credible. This protocol outlines procedures for federal agencies developing processes that will ensure the credibility of self-declaration of EMS for their appropriate facilities as set forth in Executive Order 13148. Specifically, this protocol is designed to satisfy the following principles: 1. Result in accurate and reliable information on federal facilities' progress as they adopt improved business practices associated with EMS implementation. 2. Focus responsibility for initial EMS verification and on-going quality assurance at the agency / bureau level. 3. Provide agencies / bureaus flexibility to implement EMS in ways that support their overall public mission. 4. Provide an independent basis for verifying the status of a facility or organization EMS, and appropriately communicating that status to internal and external stakeholders. 5. Ensure that system verification is more than a documentation review, and that the effectiveness of implementation is also reviewed. 6. Use existing EMS elements where possible so that self-declaration becomes an integral part of the organization's EMS. Protocol: Agencies / bureaus shall direct their facilities or organizations to use one or more EMS evaluation guide(s) in conducting EMS self-declarations. Examples of evaluation guides are included in: Appendix A, The Global Environmental Management Initiative (GEMI) "ISO 14001 Environmental ".'"an age-men t Syotem Self Assessment Checklist" [Hotlink title text to document] Appendix B, "Oregon Green Permits Program Guide - Attachment B: EMS Description and References." [Hotiink title text to document] Appendix C, The National Aeronautics and Space Administration's "Environmental Functional Review Checklist." [Hotlink title text to document] 1. In directing use of the selected evaluation guide, agencies / bureaus shall establish a procedure including the following: a) direction on the use of the chosen evaluation guide(s). ------- b) direction on the frequency of self-declaration internal evaluations; the frequency of agency / bureau independent reviews, makeup of the independent review team (e.g., Headquarters, other facility, other agency, or contractor), and qualifications of independent reviewers, a requirement for facility or organization management to make a self-declaration statement that the EMS is in place when that conclusion is reached. c) direction on documenting and using the results of EMS evaluations. This shall include steps for acknowledging adequate facility EMSs, follow-up actions to address inadequacies in the EMSs, and reporting results of evaluations for inclusion in agency-wide annual EMS reviews. d) a schedule for reviewing agency / bureau EMS Self-Declaration Procedures. This review shall consider changes in agency / bureau programs and missions when appropriate but on a schedule that does not exceed five years. This is designed to allow a phased approach and continual improvement. An example of an agency EMS Self-Declaration Procedure is included in Appendix D, The National Aeronautics and Space Administration's "Environmental Functional Review Standard Operating Procedure." [Hotlink title text to document] 2. Agencies / bureaus shall communicate their choice of guide(s) and procedures described above in accordance with their internal and external EMS communication procedures. 3 Agencies / bureaus shall establish their procedures for EMS self-declaration as soon as practical but not later than NLT December 31, 2004. 4. Agencies / bureaus shall include appropriate guidance to ensure that facilities desiring to participate in a Federal or state EMS recognition program (e.g., National Environmental Performance Track, Oregon Green Permits Program, New Jersey Silver Track Program) reflect the respective requirements in their self declaration procedures. 5. Facilities or organizations that wish to self declare their EMS before agency procedures are in place may: a) adopt a recognized independent review process such as third-party registration to ISO 14001 or b) document the information described in protocol iteml (b), (c) and (d) above and communicate that information to external parties in accordance with their EMS communication ore ------- RCRA ENFORCEMENT AND COMPLIANCE CONTENTS 1. Introduction 1 2. Statutory Summary 2 2.1 Enforcement Authorities 2 2.2 Inspections and Information Gathering 2 2.3 Monitoring, Analysis, Testing, and Reporting 5 2.4 Enforcement Mechanisms 5 2.5 Compliance Orders and Penalties 8 2.6 Corrective Action 8 2.7 Imminent Hazard 8 2.8 Citizen Suits 9 3. Special Issues 10 4. Compliance Incentives and Assistance 12 5. Small Business Regulatory Enforcement Fairness Act 14 ------- ------- RCRA Enforcement and Compliance - 1 1. INTRODUCTION The effective implementation of the RCRA program depends on whether the regulated community complies with the various RCRA requirements. The goals of the RCRA enforcement program are to ensure that the regulatory and statutory provisions of RCRA are met, and to compel necessary action to correct violations. To achieve these goals, EPA and the states closely monitor hazardous waste handlers, taking expeditious legal action when noncompliance is detected. EPA also has various programs to provide compliance incentives and assistance. Many of the questions the Hotline receives on enforcement are purely legal and beyond our purview. We do not interpret the law or legal concepts; we only answer questions relating to statutory and regulatory programs and how enforcement and compliance tools are used as part of the RCRA process. When you have completed this module you will be able to explain RCRA enforcement and describe the enforcement mechanisms. Specifically, you will be able to: Describe enforcement procedures and mechanisms and cite the statutory authorities Describe the three different types of enforcement actions, administrative, civil, and criminal Explain when and how EPA can enforce the RCRA regulations in authorized states State the differences between enforcement at interim status and permitted facilities and describe enforcement at federal facilities Describe some of EPA's compliance incentive and assistance policies. Use this list of objectives to check your understanding of this topic after completing the training session. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 2 - RCRA Enforcement and Compliance 2. STATUTORY SUMMARY The success of the RCRA program depends on the regulated community's compliance with the regulations. To ensure compliance with the program, Congress gave EPA certain distinct powers, or authorities, for enforcement. EPA has the authority to inspect and collect information from facilities and, if a violation is discovered, employ any one of several enforcement actions to bring facilities into compliance. EPA uses a combination of monitoring, administrative actions, and civil actions to reduce the number of waste handlers that are out of compliance and to deter future violators. EPA works with the Regional offices, the states, and, where appropriate, the Department of Justice (DOJ) to implement the RCRA enforcement program. 2.1 ENFORCEMENT AUTHORITIES EPA's hazardous waste enforcement program is designed to promote compliance with statutory and regulatory requirements and to abate imminent hazards. Enforcement provides EPA and citizens with mechanisms for carrying out the RCRA program and promotes the protection of human health and the environment. Since EPA has not codified regulations covering enforcement, with the exception of some administrative procedures found in 40 CFR Parts 22 and 24, RCRA enforcement personnel rely on the following statutory authorities to enforce the RCRA program: Section 3007 - Inspections and Information Gathering Section 3008 (a) Compliance Orders (b) Public Hearings (c) Violation of Compliance Orders (d) Criminal Penalties (e) Knowing Endangerment (g) Civil Penalties (h) Interim Status Corrective Action Orders Section 3013 - Monitoring, Analysis, and Testing Section 7002 - Citizen Suits Section 7003 - Imminent Hazards. 2.2 INSPECTIONS AND INFORMATION GATHERING An important component of the enforcement process is the authority to monitor facilities for verification of compliance with the regulations. The Agency collects compliance monitoring information primarily through facility inspections and The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - 3 information requests. An inspection is a formal visit by an EPA or state representative to a facility to review records, take samples, and observe facility operations. Congress granted EPA the authority to conduct such inspections and collect necessary information to determine compliance under RCRA §3007. Section 3007 gives EPA the authority to inspect facilities that handle or have handled hazardous wastes. In addition, the inspection authority is applicable to facilities that handle mixtures of hazardous wastes and domestic sewage (§3018(d)). Furthermore, §4005(c)(2)(B) extends EPA's §3007 authority to facilities that handle wastes from households and conditionally exempt small quantity generators. A number of different types of inspections are conducted under RCRA authority. Inspections are conducted by EPA, authorized states, or both, or authorized representatives of either EPA or authorized states. Typically, either the state or EPA has overall responsibility, or the lead, for conducting the inspection. The inspector's role is to gather information that will then be used by the Region and/or state to determine compliance status. Some of the different kinds of inspections are described below. COMPLIANCE EVALUATION INSPECTION The compliance evaluation inspection (CEI) is an on-site evaluation of a hazardous waste handler's compliance with RCRA regulations and permit standards. The purpose of the CEI is to gather information necessary to determine compliance and support enforcement actions. The inspection may include a characterization of the handler's activities, identification of the types of hazardous wastes managed on-site, a record review of reports, documents, and on-site plans, and the identification of any units that generate, treat, store, or dispose of hazardous waste. Treatment, storage, and disposal facilities (TSDFs) must be inspected every two years, except facilities owned or operated by a federal or state agency, which must be inspected every year (§§3007(c), (d), and (e)). COMPLIANCE SAMPLING INSPECTION EPA sometimes finds it necessary to inspect a facility in order to collect samples for laboratory analysis. These sampling inspections are very resource-intensive because they require advanced planning for the sampling scheme and laboratory analysis. A sampling inspection may be conducted in conjunction with a CEI or any other inspection. COMPREHENSIVE GROUNDWATER MONITORING EVALUATION During the comprehensive groundwater monitoring evaluation (CME), enforcement officials evaluate the adequacy of the design and operation of a facility's groundwater The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 4 - RCRA Enforcement and Compliance monitoring system. This evaluation should be completed by a hydrogeologist and includes a review of the owner and operator's characterization of the hydrogeology underlying the hazardous waste management units; monitoring well placement, depth, and spacing; and well design and construction. The CME is used to determine whether a facility implementing detection monitoring should instead be using compliance or assessment monitoring. CMEs at compliance or assessment monitoring facilities include a detailed examination of the assessment monitoring plan and implementation of the plan. CASE DEVELOPMENT INSPECTION The case development inspection (GDI) is an intensive investigation that is conducted to gather sufficient information to support an enforcement action. The GDI can be used to collect supplemental data to support a forthcoming enforcement action identified through a CEI, a CME, or a record review. OPERATION AND MAINTENANCE INSPECTION The operation and maintenance inspection (OMI) occurs periodically, evaluating whether a groundwater monitoring system is continuing to function as designed. The OMI focuses on the condition of the wells and their associated sampling devices. The findings from an OMI will indicate whether case development is warranted or will serve to focus future CMEs. INFORMATION GATHERING In addition to authorizing EPA to conduct inspections, §3007 allows the Agency to request specific information from "...any person who generates, stores, treats, transports, disposes of, or otherwise handles or has handled hazardous wastes." This means EPA may request information from past generators as well as those parties who may not have been subject to the RCRA regulations, but who have actually handled hazardous waste. Normally the public has access to the information obtained under §3007 authority. The facility owner and operator may, however, claim records or other information gathered by EPA as confidential business information by submitting the information with a cover sheet stamped "confidential," "trade secret," or "proprietary information" (§3007(b)). EPA will then determine whether or not the material is confidential. In addition to obtaining information for enforcement proceedings, EPA may use §3007 authority to gather data to assist in the development of regulations and to track program progress and accomplishments. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - 5 2.3 MONITORING, ANALYSIS, TESTING, AND REPORTING When EPA receives information showing that hazardous waste is present or has been released at a facility or site, or that the release of any such waste may present a hazard, the Agency may issue an administrative order or obtain a judicial injunction requiring the owner and operator to conduct monitoring, analysis, or testing to ascertain the extent and nature of the hazard (§3013). Information means some reliable data upon which a reasonable person would base a decision to take action, and may include citizen complaints and inspection reports. With respect to §3013 orders, the statutory definition of hazardous waste is used, rather than the regulatory definition (§1004(5)). EPA has the authority to issue administrative orders to any past or present owner and operator who would reasonably have knowledge of the presence of hazardous waste and potential releases (§§3013(b) and (c)). The orders may compel him or her to perform monitoring, testing, analysis, and reporting. The Agency also retains the option of performing the work and recovering costs from the owner and operator. EPA may sue anyone who fails to comply with a §3013 administrative order for up to $5,500 per day of noncompliance. The mere presence of hazardous waste at a site or facility is sufficient cause to issue a §3013 order, provided that the information indicates that the presence of the waste may present a substantial hazard. Only the potential for harm, as opposed to actual harm, to human health and the environment must be ascertained to determine whether a substantial hazard exists. 2.4 ENFORCEMENT MECHANISMS When the Agency determines that a facility is in noncompliance with the hazardous waste regulations, an enforcement action may be taken. Under RCRA, EPA uses three types of enforcement mechanisms: administrative, civil, and criminal actions. The Agency has substantial latitude in deciding which action or combination of actions to pursue, depending on the nature and severity of the problem. ADMINISTRATIVE ACTIONS An administrative action is a nonjudicial enforcement action taken by EPA or a state under its own authority. These actions can be broken down into two general categories: informal and formal. Both of these actions provide for enforcement response outside the court system. This means the Agency takes direct enforcement action against the violator based on its authority granted by the statute, and does not rely on a court of law for enforcement authority. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 6 - RCRA Enforcement and Compliance Informal Actions Once a decision is made to utilize an informal enforcement mechanism, the facility owner and operator should be given notice of its noncompliance and the steps to take to correct the violations. Examples of informal actions are letters or phone calls to the facility. For informal actions, EPA or the state notifies the facility owner and operator that the facility is out of compliance with hazardous waste regulations. Informal actions are most appropriate where the violation is a minor threat to human health and the environment. A warning letter, sometimes referred to as a Notice of Violation (NOV), may be sent, which lays out the specific actions that need to be taken by the facility owner and operator to correct the violation(s). The letter should require demonstration of a facility's return to compliance within an appropriate timeframe, not to exceed 90 days, to ensure that enforcement is escalated appropriately should the facility fail to return to full physical compliance by the established date. Formal Actions (Administrative Orders) In cases where a facility has been classified as a significant non-complier or the facility owner and operator have failed to respond to an informal action, EPA can issue an administrative order. Administrative orders impose enforceable legal duties. For example, orders can be used to compel the facility owner and operator to comply with specific regulations, to take corrective action, to perform testing, monitoring, or analysis, or to pay fines. The four authorities for issuing administrative orders under RCRA are: Section 3013 Orders to conduct monitoring, analysis, and testing Corrective Action Orders under §3008(h) Compliance Orders under §3008(a), including revocation of permits Section 7003 Orders for imminent hazards. Each of these authorities is discussed in detail elsewhere in this module. CIVIL ACTIONS A civil action is a formal lawsuit filed in a federal district court by DOJ against a person who has either failed to comply with a statutory or regulatory requirement or administrative order, or who has contributed to a release of hazardous wastes or hazardous constituents. The statutory authorities for judicial actions under RCRA are: Section 3013 - injunctions to conduct monitoring, testing, and analysis Section 3008 - compliance orders and criminal penalties Section 7003 - injunctions to address violations which pose an imminent and substantial endangerment to health or the environment. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - 7 For example, §3008(a) gives EPA the right to take administrative or judicial action for violations of RCRA that have transpired since November 19,1980. If the facility owner and operator violate a compliance order, §3008(c) gives EPA the authority to issue a civil penalty of up to $27,500 per day per violation or to revoke or suspend the facility permit. Civil penalties are described in §3008(g). Specifically, each violation of a Subtitle C requirement is subject to a fine of up to $27,500 per day per violation. This means that each day of noncompliance is considered a separate violation. For detailed information on penalties, refer to the RCRA Civil Penalty Policy (OSWER Directive 9900.1A). This contains information on the classes of violations, and possible injunctive relief and other fines and penalties that may be assessed. CRIMINAL ACTIONS A criminal action is an action by EPA or the state pursuant to §3008(d) that can result in the imposition of fines and/or imprisonment. The key to criminal liability is that a person knowingly violated RCRA requirements. Seven actions identified in §3008 carry criminal penalties. Six of these seven actions carry a penalty of up to $50,000 per day of violation and up to 5 years in jail. These acts are: Knowingly transporting waste to a nonpermitted facility Knowingly treating, storing, or disposing of waste without a permit or in violation of a permit or interim status standards Knowingly omitting information from or making a false statement on a label, manifest, report, permit, or compliance document Knowingly generating, storing, treating, or disposing of waste without complying with recordkeeping and reporting requirements Knowingly transporting waste without a manifest Knowingly exporting waste without the consent of the receiving country. The seventh criminal act is knowingly transporting, treating, storing, disposing, or exporting waste in a way that places another person in imminent danger of death or serious bodily injury. This act carries a possible penalty of up to $250,000 and 15 years in prison for an individual, and a $1 million dollar fine for a corporation (§3008(e)). The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 8 - RCRA Enforcement and Compliance 2.5 COMPLIANCE ORDERS AND PENALTIES EPA may issue a compliance order assessing a civil penalty for any past or current violation, requiring compliance immediately or within a specified time period, or both (§3008). A "person" is defined in §1004(15) as an "...individual, trust, firm, joint stock company, corporation, partnership, association, state, municipality, commission, political subdivision of a state, or any interstate body...." 2.6 CORRECTIVE ACTION Just as the Agency can request or obtain information and can require a facility to conduct testing and analysis, it can also require a facility to perform a cleanup. The corrective action program is one of the primary mechanisms to facilitate cleanup of contamination at TSDFs. EPA can issue an administrative order to compel the owner and operator to undertake corrective action, or EPA can sue (i.e., bring a civil action) to have the court order the owner and operator to clean up. The authority for requiring corrective action at permitted facilities is found in §§3004(u) and (v); EPA uses §3008(a) to enforce the corrective action requirements found in §§3004(u) and (v). Interim status corrective action authority is found in §3008(h). The opening clause of §3008(h) authorizes the Agency to make the determination that there is or has been a release on the basis of "any information." In practice, EPA will obtain appropriate information from a variety of sources, including lab analyses, inspection reports, and photographs. For the purposes of §3008(h), actual sampling is not needed to verify a release. An inspector may find other evidence that a release has occurred, such as a broken dike at a surface impoundment or stressed vegetation. Less obvious indications might also be adequate to make the determination. For example, EPA might have sufficient information on the hydrogeology of the site to conclude that there may have been a release. 2.7 IMMINENT HAZARD Section 7003 gives EPA a broad and powerful enforcement tool to use in abating imminent hazards caused by hazardous or solid wastes. RCRA §7003 states that upon receipt of evidence that the past or present handling, storage, treatment, transportation, or disposal of any solid waste or hazardous waste may present imminent and substantial endangerment to human health or the environment, EPA may bring suit against any person who has contributed or who is contributing to the handling of the waste to restrain the person, order the person to take any action that may be necessary, or both. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - ' The action taken by EPA may be administrative or civil. To issue a §7003 order, EPA must possess evidence that the waste handling may present an imminent and substantial endangerment to human health or the environment. Evidence may be documentary, testimonial, or physical and may be obtained from a variety of sources, including inspections, investigations, or requests for production of documents or other data pursuant to §§3007, 3013, or the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) §104. This evidence must be reliable enough to enable a reasonable person to conclude that the action is appropriate. The phrase "may present" indicates that the standard of proof does not require certainty. That is, an order may be issued if there is sound reason to believe that an endangerment exists; evidence of actual harm is not required. 2.8 CITIZEN SUITS Administrative or civil actions are mechanisms that EPA can employ against violators, but RCRA also offers a course of action for citizens. Section 7002 provides that any person may sue any past or present generator, transporter, treater, storer, or disposer who has contributed or who is contributing to the past or present handling of waste which may present an imminent and substantial endangerment, or may be in violation of a permit, standard, regulation, condition, requirement, or order. Prior to HSWA, the only actions allowed under §7002 were suits brought by any person on his or her own behalf against any person who was alleged to be in violation of any permit, standard, regulation, condition, requirement, prohibition, or order. HSWA broadened this provision significantly. Pursuant to §7002(a)(l)(B), suits may be undertaken by any person against any person, including the United States or any governmental instrumentality, when that person has in the past or present handled any solid or hazardous waste in a way so as to present an imminent or substantial endangerment to health or the environment. Citizens may sue EPA where the Agency fails to perform any action or duty that is not discretionary (§7002(a)(2)). Section 7002(a) also gives the courts the power to restrain any person who is out of compliance or whose actions in handling solid or hazardous waste present an imminent or substantial endangerment to human health or the environment. Section §7002(e) allows the court to award, when appropriate, court costs to the prevailing or substantially prevailing party in the citizen suit. Some legal actions by citizens are prohibited. According to §7002(b), if the Administrator of EPA or a state has begun an action to bring the violator into compliance, no citizen suit will be allowed. Section 7002(d) gives EPA the right to participate, or intervene, in any action brought under this section as long as EPA is not a party to the original suit. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 10 - RCRA Enforcement and Compliance 3. SPECIAL ISSUES Because the majority of enforcement issues are determined on a case-by-case basis depending on the factual details of a given situation, enforcement is full of anomalies. Three situations require particular attention. ENFORCEMENT IN AUTHORIZED STATES Determining which agency, either EPA or the state, will take the enforcement lead in an authorized state generally depends on whether the state is fully authorized to enforce the applicable provisions (state authorization is discussed in detail in the module entitled State Programs). If the provision being enforced was promulgated as a pre- HSWA provision, the authorized state has the primary responsibility for ensuring compliance. As states become authorized for all aspects of HSWA, they will assume enforcement authority for HSWA enforcement actions. In authorized states, EPA maintains the authority to take independent enforcement actions. It is EPA's policy to take enforcement actions in authorized states when (1) the state requests EPA to do so and provides information on the case-specific circumstances; (2) the state fails to take timely and/or appropriate action; (3) a case could establish a legal precedent or federal involvement is needed to ensure national consistency; or (4) it is a federal lead action. According to §3008(a)(2), in order to enforce a provision for which a particular state has authorization, EPA shall notify the state prior to issuing an order or starting a civil action. For provisions promulgated pursuant to HSWA, EPA has the sole authority for enforcement until the state either becomes fully authorized for that provision (§3006(g)), or receives interim authority for that provision. ENFORCEMENT AT INTERIM STATUS VS. PERMITTED FACILITIES The applicable regulations for interim status facilities are directly enforceable pursuant to §3008(a). This means that if a facility is not in compliance with a specific regulation, enforcement actions of any kind may be taken against that facility. For permitted facilities, however, the site-specific conditions of the written permit are enforceable. Even if the permit is poorly written or does not conform to the regulations, the owner and operator need only comply with the requirements detailed in the permit. This is an example of the "permit as a shield" provision, codified at §270.4(a). This section states that compliance with a RCRA permit constitutes compliance for purpose of enforcement. The exceptions to this provision are those requirements that are not included in the permit; those provisions that become effective by statute subsequent to the issuance of the permit; and those provisions that are promulgated under the land disposal restrictions, land disposal unit leak detection requirements, or the air emission standards. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - 11 ENFORCEMENT AT FEDERAL FACILITIES Many federal agencies (e.g., Department of Energy, Department of Defense) are hazardous waste handlers subject to RCRA. Initially in the RCRA program, there was some question whether sovereign immunity protected federal agencies from some EPA and state enforcement actions. In the Federal Facility Compliance Act of 1992 (FFCA), Congress amended RCRA to explicitly waive sovereign immunity for purposes of RCRA enforcement. RCRA now specifically states that all RCRA penalties or fines "...punitive or coercive in nature or ... imposed for isolated, intermittent, or continuing violations" apply to the federal government. Therefore, EPA and authorized states can issue orders and penalties against federal facilities in the same manner as against private parties. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 12 - RCRA Enforcement and Compliance 4. COMPLIANCE INCENTIVES AND ASSISTANCE Given the complexity of the various federal environmental regulatory programs and the size of the regulated community, EPA's task of enforcing RCRA and other federal environmental laws is enormous. In reality, EPA can only accomplish the ultimate goal of ensuring protection of public health and the environment by supplementing a strong enforcement program with programs designed to encourage and assist compliance. The Office of Enforcement and Compliance Assurance (OECA) has produced several policies and programs designed to encourage and assist compliance. While EPA is aggressively pursuing compliance assistance and incentive programs, a strong, formal enforcement program is still the best tool to ensure compliance. Therefore, EPA's compliance incentive and assistance programs are only a complement to, and not a replacement of, the enforcement tools described elsewhere in this module. Some of the incentive and assistance programs are described below. SMALL BUSINESS COMPLIANCE CENTERS EPA has established four Small Business Compliance Centers (SBCCs) (62 FR18115; April 14,1997). These are information centers where businesses with less than 10 employees can get regulatory compliance assistance. In cooperation with states, universities, and trade groups, EPA has established centers for the metal finishing, printing, auto services, and agriculture industries. EPA plans to establish centers for transportation, local governments, chemical manufacturers, and printed wiring board manufacturers. COMPLIANCE INCENTIVES FOR SMALL BUSINESSES EPA has also established a policy to encourage businesses to use the SBCCs. Under the Interim Policy on Compliance Incentives for Small Businesses (61 FR 27894; June 3, 1996), when businesses make a good faith effort to comply with environmental regulatory programs by utilizing SBCCs or other nonconfidential governmental or government-supported compliance assistance programs, the businesses can qualify for reduced civil penalties for violations. COMPLIANCE INCENTIVES FOR SMALL COMMUNITIES The EPA Policy on Flexible State Enforcement Responses to Small Community Violations describes the circumstances in which the EPA will generally defer to a state's efforts to return small communities to environmental compliance. This deference will be based on an assessment of the adequacy of the process a state uses to address small community noncompliance. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- RCRA Enforcement and Compliance - 13 AUDIT POLICY On December 22,1995, EPA issued the Incentives for Self-Policing: Discovery, Disclosure, Correction, and Prevention of Violations Policy (60 FR 66706). This EPA- wide policy (commonly knows as the "Audit Policy") contains incentives for the regulated community to voluntarily identify, evaluate, disclose, and correct violations. Incentives include substantially reduced or eliminated penalties and deferral of criminal enforcement in settlements for violations disclosed and corrected pursuant to the policy. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- 14 - RCRA Enforcement and Compliance 5. SMALL BUSINESS REGULATORY ENFORCEMENT FAIRNESS ACT The Small Business Regulatory Enforcement Fairness Act (SBREFA, P.L. 104-121) addresses the enforcement of environmental regulations against small businesses and small entities, and amends the rulemaking process to ensure that environmental regulations do not unreasonably impact small businesses. For purposes of SBREFA, "small entity" includes small businesses, small governmental jurisdictions, and not-for-profit organizations that are not dominant in their field. U.S. Small Business Administration (SBA) defines "small business" in terms of the number of persons employed and in some case by annual revenues as well. In general, businesses employing 500 persons of less are considered small, however, businesses with as many as 1500 employees or up to $25 million in annual receipts may be defined as small (see 13 CFR §121). Small governmental jurisdictions include towns, cities, and counties of 50,000 persons or less. SBREFA was signed into law on March 29,1996, and consists of five subtitles. These subtitles are: Subtitle A - Regulatory Compliance Simplification - EPA requirements for providing assistance to small entities Subtitle B - Regulatory Enforcement Reforms - process for small businesses to comment on agency enforcement and compliance activities; Subtitle C - Equal Access to Justice Act - the award of attorney fees and costs to prevailing and non-prevailing parties in administrative or civil judicial enforcement actions Subtitle D - Regulatory Flexibility Act Amendments - requirement that any final rule promulgated after June 26,1996 that will have a significant economic impact on a substantial number of small entities be supported by a final "regulatory flexibility analysis." Subtitle E - Congressional Review of Agency Rulemaking - Congress has the opportunity to review and potentially disapprove rules promulgated on or after March 1996. The information in this document is not by any means a complete representation of EPA's regulations or policies, but is an introduction to the topic used for Hotline training purposes. ------- United States Environmental Protection Agency Office of Enforcement and Compliance Assurance (2261A) EPA 300-B-96-011 Spring 1997 Environmental Audit Program Design Guidelines For Federal Agencies ------- NOTICE The Environmental Audit Program Design Guidelines for Federal Agencies on-line document does not contain any appendices. These are available in the hard copies only. For more information about this document, please contact Andrew Cherry at 202/564-5011. To obtain a hard copy, call, fax, or write Priscilla Harrington at: U.S. Environmental Protection Agency 401 M Street, S.W., MC: 2261A Washington, D.C. 20460 Phone: 202/564-2461 Fax: 202/501-0069 ------- ACKNOWLEDGMENT This guidance was prepared by the Federal Facilities Enforcement Office (FFEO), U.S. Environmental Protection Agency (EPA) for federal facilities to use as guidance in establishing and implementing environmental audit programs. Much of the work of creating the publication was performed under Contract No. 68-W4-0005. ------- TABLE OF CONTENTS CHAPTER 1 : INTRODUCTION 1-1 1.1 Overview 1-1 1.2 How to Use This Document 1-2 1.3 EPA's 1986 and 1995 Environmental Audit Policies 1-2 1.4 History of Environmental Auditing 1-6 1.5 Federal Facilities and Environmental Auditing 1-7 1. 6 Trends in Environmental Auditing 1-8 1.6.1 Management Audits 1-8 1.6 .2 Pollution Prevention Opportunity Assessments 1-10 1.6 .3 Auditing Standards 1-10 1.6.4 Professional Recognition 1-11 1.7 Relationship of Auditing to Effective Environmental Program Management 1-11 PART I. AUDIT PROGRAM DEVELOPMENT AND MANAGEMENT CHAPTER 2 : UNIQUE ASPECTS OF FEDERAL FACILITY AUDITING 2-1 2 .1 Overview 2-1 2.2 Agency Mission vs. Environmental Compliance 2-2 2 . 3 National Security Concerns 2-4 2 .4 The Federal Budget Cycle 2-5 2 .5 Federal Agency Budget Process 2-6 2.6 Contractor and Tenant Activities 2-8 2.7 Waiver of Sovereign Immunity 2-10 2 . 7 .1 Resource Conservation and Recovery Act (RCRA) .... 2-11 2 . 7 . 2 Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) 2-11 2 . 7 . 3 Emergency Planning and Community Right-to-Know Act (EPCRA) 2-12 2.7.4 Pollution Prevention Act of 1992 (PPA) 2-12 2.7.5 Clean Air Act (CAA) 2-13 2.7.6 Clean Water Act (CWA) 2-13 2 .8 Freedom of Information Act Requests 2-14 2.9 Status of Environmental Auditing at Federal Facilities. 2-15 2.9.1 GAO Report 1995 2-16 2.10 Status of Environmental Management at Federal Facilities (Benchmark Report) 2-17 2 .11 The Role of EPA's Federal Facility Office 2-18 ------- TABLE OF CONTENTS (CONTINUED) CHAPTER 3 : LEGAL CONSIDERATIONS 3-1 3.1 3.2 3 .3 3 .4 3 .5 Policies 3.6 Settlements Overview 3-1 Document Protection/Freedom of Information Act Requests . 3-2 3 .2 .1 Litigation/Discovery 3-4 EPA Requests for Audit Reports 3-6 EPA's 1995 Audit Policy 3-7 EPA/DOJ Policy Letter on State Audit Privilege Laws and 3-13 EPA Policy Regarding the Use of Auditing in Legal 3-14 CHAPTER 4: AUDITING FEDERAL FACILITIES IN FOREIGN COUNTRIES/OVERSEAS4-1 4 .1 Overview 4-1 4.2 Role of Facility Management 4-1 4.3 Designing an Overseas Environmental Audit Program 4-3 4 .4 Conducting an Overseas Audit Program 4-4 4 .5 Summary of Key Elements 4-6 4.6 Sources of Information 4-7 CHAPTER 5 : DESIGNING AN AGENCY-WIDE AUDIT PROGRAM 5-1 5 .1 Overview 5-1 5.2 Factors Affecting Program Design 5-1 5 .3 Identifying Audit Program Goals 5-3 5.4 Identifying Audit Program Objectives 5-5 5.5 Selecting the Type and Scope of an Environmental Audit.. 5-6 5.5.1 Compliance Audits 5-7 5.5.2 Property Transfer Assessments 5-7 5.5.3 Management Audits 5-9 5.5.4 Waste Contractor/Vendor Audits 5-9 5.5.5 Pollution Prevention Opportunity Assessments 5-10 5.6 Targeting Facilities 5-11 CHAPTER 6 : PROGRAM ADMINISTRATION 6-1 6 .1 Overview 6-1 6.2 Program Initiation (Genesis of the Program) 6-1 6.2.1 Develop An Environmental Audit Policy 6-1 6.2.2 Internal Versus External Audits 6-2 6.2.3 Use Of Contractors Versus Agency Staff 6-3 6.3 Program Management Issues and Activities 6-3 6 .3 .1 Securing Upper Management Support and Resources ... 6-3 6.3.2 Support From Field Offices 6-4 6 . 3 . 3 Obtaining Qualified Personnel 6-5 6.3.4 Medical Monitoring 6-7 6.3.5 Quality Assurance and Audit Program Performance Measurement 6-7 ------- TABLE OF CONTENTS (CONTINUED) 6 . 3 . 6 Reporting Responsibilities 6-8 6 . 3 . 7 Post-Audit Activities and Corrective Measures 6-8 6.3.8 Budget Coordination and FEDPLAN 6-8 6 .4 Legal Issues 6-9 6.4.1 Written V. Oral Reports 6-9 6.4.2 Exit Interview 6-10 6.4.3 Document Protection and Retention 6-11 6.4.4 Involvement Of General Counsel 6-11 6. 4. 5 Report Distribution 6-12 CHAPTER 7 : RESOURCES AND TOOLS FOR AUDITORS 7-1 7 .1 Overview 7-1 7.2 Pre-Visit Questionnaire (PVQ) 7-1 7 . 3 Protocols/Checklists 7-2 7 .4 Legal Issues 7-5 7 . 5 Photography Equipment 7-6 7 . 6 Field Assessment Equipment 7-6 7 . 7 Protective Clothing 7-7 7.8 Computer Capabilities for Tracking and Reporting 7-7 7 . 9 Access to Technical References 7-8 7 .10 Chain of Title Reports 7-8 7.11 Aerial Photographs 7-9 PART II. THE AUDIT PROCESS CHAPTER 8 : PRE-AUDIT ACTIVITIES 8-1 8 .1 Overview 8-1 8.2 Setting the Objectives and Scope of the Audit 8-3 8.3 Planning and Preparing the Audit Team for the Site Visit 8-4 8.3.1 Review Relevant Regulations 8-5 8.3.2 Review and Refine Audit Protocols 8-6 8 .4 Preparing Facility Management for the Audit 8-7 CHAPTER 9 : ON-SITE ACTIVITIES 9-1 9 .1 Overview 9-1 9.2 Introductions with Facility Management 9-1 9.3 Site Interview with Pertinent Facility Staff 9-1 9.4 Site Walk-Through 9-2 9 . 5 Record/Documentation Review 9-4 9 . 6 Exit Interviews 9-5 ------- TABLE OF CONTENTS (CONTINUED) CHAPTER 10: POST SITE ACTIVITIES 10-1 10 .1 Overview 10-1 10 . 2 Audit Team Debriefing 10-1 10.2.1 Preliminary Issues 10-1 10.2.2 Develop List of Significant Findings 10-1 10.2.3 Prioritize Audit Findings 10-2 10.2.4 Clarify Assignments for Audit Team Members 10-4 10.3 Substantiation of Significant Findings 10-5 10.3.1 Regulatory Reviews 10-5 10.3.2 Phone Calls/FOIA Requests to Regulators 10-6 10.3.3 Vendors 10-7 10.4 Identify and Gather Additional Data 10-7 CHAPTER 11: REPORT WRITING AND FOLLOW-UP 11-1 11.1 Overview 11-1 11. 2 Field Preparation 11-1 11. 3 Report Preparation 11-2 11.4 Sample Report Format 11-3 11.5 Report Follow-Up (Courtesy Draft to Facility Management 11-4 11.6 Develop Action Plans and Corrective Measures 11-4 11.7 Communications with Senior Agency Officials on Significant Reports Findings 11-4 11.8 Enter Audit Findings and Recommendations Into a Formalized Tracking System 11-5 11.9 Budget for Corrective Actions and Coordinate with Federal Budget Cycle 11-6 11.10 Follow-Up Audits and Verification that Corrective Measures Have Been Implemented 11-6 LIST OF APPENDICES APPENDIX A 1986 EPA AUDIT POLICY A-1 APPENDIX B EPA POLICY REGARDING INCENTIVES FOR SELF-POLICING: DISCOVERY, DISCLOSURE, CORRECTION AND PREVENTION OF VIOLATIONS B- 1 APPENDIX C DOJ POLICY - FACTORS IN DECISIONS OF CRIMINAL PROSECUTIONS FOR ENVIRONMENTAL VIOLATIONS IN THE CONTEXT OF SIGNIFICANT VOLUNTARY COMPLIANCE OR DISCLOSURE EFFORTS BY THE VIOLATOR C- 1 APPENDIX D UNITED STATES SENTENCING COMMISSION GUIDELINES - DEFINITION OF EFFECTIVE "DUE DILIGENCE PROGRAM" D-l APPENDIX E EPA POLICY CONCERNING THE ROLE OF CORPORATE ATTITUDE IN CRIMINAL DELISTING E-l ------- APPENDIX F JOINT EPA-DOJ POLICY LETTER TO FEDERAL AGENCIES REGARDING STATE AUDIT PRIVILEGE AND IMMUNITY LAWS F-l APPENDIX G CODE OF ENVIRONMENTAL MANAGEMENT PRINCIPLES (CEMP) FOR FEDERAL AGENCIES G-1 APPENDIX H SAMPLE PRE-VISIT QUESTIONNAIRE - U.S. ARMY H-l LIST OF FIGURES Figure 1 EPA Definition of Environmental Auditing 1-4 Figure 2 Pyramid of Audit Types 1-9 Figure 3 The Expanded Corrective Action Process 1-12 Figure 4 Sample Checklist and Worksheet from EPA's Generic Audit Protocol 7-4 Figure 5 Schematic Overview of the Audit Process 8-2 ------- CHAPTER 1: INTRODUCTION 1.1 OVERVIEW Environmental regulations are becoming increasingly complex and costly for both private and public sector regulated entities. Federal agencies, however, differ from the private sector in how they must comply with those regulations. The goal of reducing the national debt has led to a simultaneous decrease in available Federal agency budgets for environmental and other program areas. Thus, Federal agencies are being asked to do more with less - comply with all applicable environmental regulations while utilizing fewer resources to accomplish the goal of full compliance. An environmental audit is one tool that Federal agencies can use to comply with the regulations, as well as to improve the efficiency of operations and conserve limited fiscal and labor resources. A number of factors must be considered when designing and implementing a Federal agency environmental audit program. In developing an effective audit program, an agency environmental manager must always remain aware that: (1) the audit program should complement and contribute to the agency mission; (2) securing funding for the audit program and the implementation of audit findings must be an integral part of the agency budgeting process; (3) national security issues may impact the nature of the audit program; (4) federal facilities may be owned and operated by different public and private entities; and (5) the missions and operations of federal facilities vary widely and, as a result, the audit program must be flexible enough to be applicable to all agency facilities, while still allowing for the comparison of audit results between facilities. This document is not a "how to" manual for conducting environmental audits. A detailed discussion of environmental auditing protocols, i.e., the "how to" of environmental auditing is contained in EPA's Generic Protocol for Conducting Environmental Audits of Federal Facilities, ("Protocol") (EPA # 300-B-95-002). The Protocol provides specific information on the various media and statutes implicated in environmental auditing, and provides detailed descriptions of how to conduct a facility audit and establish an audit program. Careful review and adherence to the Protocol should allow one to develop a sound audit program. In short, the Protocol is an environmental auditing instruction manual as well as a design manual for establishing an environmental auditing program. 1-1 ------- This document describes the components of a thorough environmental management program and informs the reader about the kinds of issues that arise and require addressing in environmental audits. It addresses programmatic issues in that it identifies the elements of a sound environmental auditing program, including management elements, resources, both human and capital that are typically required in establishing an auditing system, and provides general guidance on what is required of a thorough environmental auditing program. However, this document does not provide detailed descriptions of how to actually conduct an audit nor does it tell the reader the precise and detailed steps to follow in creating an environmental management program. This document is intended to be informative not instructional, and should be used in conjunction with the Protocols in order to create and undertake an environmental auditing program. 1.2 HOW TO USE THIS DOCUMENT This guide is organized in two parts: Part I highlights some of the unique issues and legal considerations related to conducting environmental audits at both domestic and overseas federal facilities. Part II contains a detailed discussion regarding the design and administration of effective environmental auditing programs, along with a summary of resources and tools for environmental auditors. Part II also addresses the specific steps to conducting an environmental audit, from pre-audit activities through to on-site activities and post-site activities, including report writing and follow-up. The guide also contains several appendices which contain text of relevant EPA and Department of Justice (DOJ) policies in this area, U.S. Sentencing Commission Guidelines governing the definition of effective "Due Diligence," and a sample audit pre-visit questionnaire. 1.3 ERA'S 1986 AND 1995 ENVIRONMENTAL AUDIT POLICIES The U.S. Environmental Protection Agency (EPA) recognizes that environmental auditing ~ and sound environmental management generally ~ can provide potentially powerful tools toward protection of public health and the environment. In encouraging the use of these tools, EPA has announced the "Environmental Auditing Policy Statement" on July 9, 1986 (51 FR 25004) (1986 audit policy) and the "Incentives for Self-Policing: Discovery, Disclosure, 1-2 ------- Correction and Prevention of Violations" on December 22, 1995 (60 FR 66706) (1995 or final audit or self-policing policy). The 1986 audit policy states that "it is EPA policy to encourage the use of environmental auditing by regulated industries to help achieve and maintain compliance with environmental laws and regulation, as well as to help identify and correct unregulated environmental hazards." The policy also specifically endorses environmental auditing at federal facilities. The 1986 EPA policy is presented in Appendix A of this guide. The 1995 audit policy offers major incentives for entities (including federal facilities) to discover, disclose and correct environmental violations. Under the 1995 policy, EPA will not seek gravity-based penalties or recommend that criminal charges be brought for violations that are discovered through an "environmental audit" (as defined in the 1986 audit policy) or a management system reflecting "due diligence" and that are promptly disclosed and corrected, provided that other important safeguards are met. These safeguards protect health and the environment by precluding policy relief for violations that cause serious environmental harm or may have presented an imminent and substantial endangerment, for example. The effective date of the policy is January 22, 1996. More discussion regarding EPA's 1995 Audit Policy is provided in Chapter 3, Section 3.4 of this document. The 1995 EPA audit policy is presented in Appendix B of this document. In the 1986 policy, EPA defines environmental auditing as "a systematic, documented, periodic, and objective review of facility operations and practices related to meeting environmental requirements." Figure 1 depicts EPA's definition of environmental auditing. The policy identifies several objectives for environmental audits: Verifying compliance with environmental requirements; Evaluating the effectiveness of in-place environmental management systems; and Assessing risks from regulated and unregulated materials and practices. 1-3 ------- Figure 1 EPA Definition of Environmentd Audting Regulated Entities i l\ or > ^ 1 T 1 Facility Operations Practices i l\ To Assure^1 IX . Meeting Environmental The EPA policy encouraged all Federal agencies subject to environmental laws and regulations to develop environmental auditing programs to help ensure the adequacy of internal systems to achieve, maintain, and monitor compliance with environmental requirements. The policy also notes that Federal agency auditing programs should be designed to identify environmental problems and develop schedules for remedial actions for audit findings. Subsequent to the development of EPA's 1986 policy, the Department of Justice ("DOJ") issued a memo explaining DOJ policy on environmental auditing in the context of criminal prosecutions. This memo1, issued in 1991 (see Appendix C), includes factors that DOJ considers important in evaluating whether to prosecute environmental violations. These factors include voluntary disclosure of the violation, cooperation, preventative measures and compliance programs, persuasiveness of non-compliance, internal disciplinary action, and subsequent compliance efforts. It was the intent of DOJ to encourage self-auditing, self-policing, and voluntary disclosure of environmental violations stating that these activities are considered mitigating factors in the Department's environmental enforcement activities. The necessity of having a 1 "Factors in Decisions on Criminal Prosecutions for Environmental Violations in the Context of Significant Voluntary Compliance or Disclosure Efforts by the Violator." 1-4 ------- thorough environmental auditing program cannot be overemphasized. The priority that DOJ assigns to auditing and self-disclosure as critical mitigating factors in environmental criminal prosecutions is an indication of how important it is for federal facilities to develop and implement sound and thorough auditing programs. On December 12, 1991, EPA published in the Federal Register (56 FR 64785), a clarification on its policy concerning the role of corporate attitude, policies, practices and procedures in determining whether a regulated entity has properly corrected conditions giving rise to a criminal conviction (See Appendix D). The notice indicates that if the entity has properly corrected these conditions, the agency may consider removing the facility from the EPA list of violating facilities. Section IV of this notice specifies the criteria the entity in consideration must demonstrate as proof of a change in corporate attitude. These criteria were adapted from the proposed U.S. Sentencing Guidelines for organizational defendants and were later reflected in the final version of the Guidelines issued by the Department of Justice in 1994. One of the factors stated in the 1991 federal register notice as "proof of a corporate change in attitude" included evidence that the regulated entity has put in place an effective program to prevent and detect violations of the law and that the entity exercises due diligence by taking several steps that represent the "hallmark" of an effective environmental management program. One step outlined as an indicator of due diligence was "..the establishment of an effective program for enforcing its standards (e.g., environmental auditing system designed to prevent or detect non-compliance)". Therefore, as a follow-up to its 1986 audit policy, EPA and the Justice Department again recognized the value of environmental auditing as an integral part of a sound environmental management system. In November 1994, the United States Sentencing Commission issued amendments to its sentencing guidelines which include mitigating factors to be applied when handling down criminal sentences. These factors include a definition of what the Commission considers to be necessary elements of an effective program of due diligence to prevent and remedy violations of the law and urges the establishment of self-evaluative programs to prevent and remedy criminal violations. A copy of the definition "an effective program to prevent and detect violations of law," taken from 1-5 ------- the 1994 Guidelines Manual is provided in Appendix E. Though broadly applicable to many types of activities, the guidelines specify the kind of programmatic elements necessary for auditing and self-evaluation that this audit document is emphasizing. It is the position of the Sentencing Commission that if an organization which has been implicated in criminal activities, including gratuitous and unsanctioned criminal activities of its employees, follows the outlined procedures, a court will consider the implementation of the self-evaluative program to be a mitigating factor when handing down a sentence. It is clear that there is a broad based effort on the part of federal enforcement agencies to encourage and in selected cases compel the development and implementation of environmental audit programs, especially in situations of environmental deficiency. By Executive Order 12088, EPA has committed to provide technical assistance to Federal agencies to facilitate federal agency compliance with environmental laws. This guidance manual is one form of that assistance. This guide addresses a number of issues related to environmental auditing, including: the purpose of environmental audits; unique aspects of environmental auditing at federal facilities; legal considerations in environmental auditing; as well as audit program design, administration, implementation, and available resources. 1.4 HISTORY OF ENVIRONMENTAL AUDITING In the early 1970s, a number of private industry managers recognized the benefits of internal auditing and established company programs to conduct these audits. By the late 1970s and early 1980s, governments, consultants, and lawyers had begun to recognize the benefits of well-designed audit programs as well. Cahill and Kane (1989) trace the beginning of the use of environmental auditing as a management tool to actions taken by the Securities and Exchange Commission (SEC) that required three public companies (U.S. Steel, Allied Chemical, and Occidental Petroleum) to perform internal environmental audits to determine the nature and extent of the companies' environmental liabilities for presentation to stockholders in corporate annual reports. Later, the promulgation of new and complex Federal regulations regarding hazardous materials and wastes, such as the Resource Conservation and Recovery Act (RCRA) in 1976 1-6 ------- and the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) in 1980, highlighted the need for private sector companies to initiate internal environmental auditing programs. Many company environmental managers developed and implemented audit programs as a means of avoiding costs and liabilities associated with non-compliance with these new environmental requirements. Recently, with the passage of the Federal Facilities Compliance Act and several Presidential Executive Orders, federal facilities are now being subject to the same stringent environmental requirements and liabilities as their private sector counterparts. As a result, Federal agency managers are coming to recognize the benefits of environmental auditing as well. 1.5 FEDERAL FACILITIES AND ENVIRONMENTAL AUDITING Following the passage of RCRA in 1976, and the Supreme Court's decision in Hancock v. Train, 426 U.S. 167 (1976) which required that Federal agencies must comply with the law, President Carter issued Executive Order (EO) 12088, Federal Compliance with Pollution Control Standards (1978). This Order required Federal agencies to comply with all substantive and procedural requirements of Federal, state, and local environmental regulations. The EO was a landmark event because for the first time head of agencies were responsible for environmental compliance, and environmental compliance became a measure of agency performance. The EO also stipulates that EPA must aid this effort by providing Federal agencies with technical guidance and assistance to achieve compliance. One way in which EPA complied with this directive was by issuing the Federal Facility Compliance Strategy in 1984 and a revised version of the Strategy in 1988. These documents, commonly referred to as the Yellow Books, describe the usefulness and importance of audits, stressing the benefits of developing a proactive approach to achieving environmental compliance. EPA's Environmental Auditing Policy Statement of 1986 (described above) is another example of EPA's resolve to use environmental audits as tools for attaining high rates of compliance. 1.6 TRENDS IN ENVIRONMENTAL AUDITING The chemical industry was the first to embrace the environmental audit concept in the 1970s. As regulations became more complex, non-compliance costs increased, and EPA 1-7 ------- stressed the importance of conducting environmental audits to reduce compliance costs, environmental managers of several Federal agencies began to incorporate audits as essential tools in their operations. As environmental auditing has continued to gain acceptance in both the private and public sectors, new trends in auditing have emerged. Some of the recent national and international developments in the field of environmental auditing include management audits, pollution prevention opportunity assessments, auditing standards, and professional registration. Figure 2 depicts the variety of audits typically conducted at facilities. Ascending up the pyramid the audit type selected becomes less common but more comprehensive in scope. For example, more compliance audits and property conveyance audits are selected as environmental management tools than audits assessing "Green" practices (recycling and procurement of environmentally preferable products) or "Total Risk" where the auditors assess unregulated risks in addition to regulatory requirements. Also, by ascending up the pyramid, the audit scope also becomes more complex and issues such as non-compliance with regulatory requirements are used as indicators for the findings reported in environmental management systems audits." 1.6.1 Management Audits Management audits are used to look at the strengths and weaknesses of facility environmental management systems (EMSs). Management audits differ from compliance audits in that management audits evaluate the overall effectiveness of an environmental management program. EPA has developed a comprehensive guidance document which outlines procedures for conducting management audits. The Generic Protocol For Conducting Environmental Audits of Federal Facilities, (EPA #300-6-95-002) includes the concept of conducting EMS audits and is designed to help federal agency environmental managers determine the overall effectiveness of their EMS programs. The procedures recommended in "Phase 3" of the EPA Protocol include an assessment of (1) organizational structure, (2) 1-8 ------- Figure 2 Pyramid of Audit Types / Management Systems \ / Regulatory Comrdicnoe \ / \ ) / Property Conveycnoe \ / environmental commitment, (3) formality of environmental programs, (4) internal and external communication program, (5) staff, resources, training and development, (6) program evaluation, reporting and corrective action, (7) environmental planning and risk management, and (8) environmental protection program. In addition, an environmental management audit should assess the organizations ability to assure that the right mix of resources, organization, policies, and procedures are in place. Management audits are a critical tool in uncovering the "root causes" of environmental management deficiencies and are a more effective method to implement thorough and permanent corrections. For example, a compliance audit observation that waste drums are not properly labeled results in a deficiency report. This problem could turn up repeatedly. A management audit may uncover that due to an insufficient training budget, personnel are not familiar with proper labeling procedures. In this case the "root cause" of an environmental deficiency is not mislabeling but rather budgetary problems. A management audit is intended to identify the problem at a systemic level and recommend corrective action such as increasing the training budget. 1.6.2 Pollution Prevention Opportunity Assessments 1-9 ------- Pollution prevention opportunity assessments (or PPOAs) are used by environmental managers to identify opportunities to change facility operations to save money, increase worker safety and morale, and decrease regulatory liability through source reduction techniques. Source reduction techniques include process efficiency improvement, material substitution, improved inventory control, housekeeping, and preventive maintenance. EPA has developed a Pollution Prevention Opportunity Assessment manual, Facility Pollution Prevention Guide, EPA/600/R-92/008, 1992, that describes a procedure for identifying pollution prevention opportunities through a formal audit process and continues to conduct training workshops throughout the country to assist federal facilities in conducting the assessments. 1.6.3 Auditing Standards Many industry organizations have established auditing standards as a means of providing guidelines regarding the conduct and content of thorough environmental audits. In 1993, the International Organization for Standardization (ISO) began work on the ISO 14001, Standards for Environmental Management Systems (EMSs). Incorporated within these standards are guidelines for environmental audit tools and procedures. ISO 14001 is expected to be available in final form on or about the summer of 1996. The International Organization for Standards (ISO) has recently published specific auditing standards that address General Principles for Environmental Auditing (ISO 14010); Auditing of Environmental Management Systems (ISO 14011); and Qualification Criteria for Environmental Auditors (ISO 14012). General Principles include such information as definitions of basic terms, and the principles that should be adhered to in order to undertake a proper audit. An example of what is required by the principles includes the need to establish objectives and scope for an audit; maintaining objectivity, independence and competence of the audit team; use of due professional care and the use of systematic procedures. These are some of the general principles that are recommended in setting up an audit program. These ISO 14000 standards are the basic framework around which an auditing program may be developed. They are not audit protocols; they provide the standards necessary for establishing specific elements of audit programs and as such are the foundational elements for developing environmental audit programs. The ISO standards are of particular importance 1-10 ------- because they represent a formal international standard, accepted by many nations, rather than an ad hoc auditing standard. 1.6.4 Professional Recognition The trend toward reducing environmental regulatory costs and liabilities through auditing procedures has led to the formation of organizations that focus on the concept of environmental audits. The Environmental Auditing Roundtable (EAR), the Institute for Environmental Auditing (IEA), and the American Society for Testing Materials (ASTM) are a few of the groups that have greatly influenced the field of environmental auditing. An ASTM technical subcommittee on environmental compliance auditing recently approved (September 10, 1995) two provisional standards regarding environmental compliance audits and evaluations of Environmental Management Systems (PS 11 and PS 12, respectively). PS 11 is designed to explain to all regulated entities the definition and description of accepted practices, procedures, and policies associated with environmental regulatory compliance audits (ASTM, Standard Provisional Practice for Environmental Regulatory Compliance Audits, working document, Jan. 1995). Agency and federal facility environmental managers should keep apprised of the new standards being set by the various organizations to ensure that their audit programs reflect the latest environmental auditing developments. 1.7 RELATIONSHIP OF AUDITING TO EFFECTIVE ENVIRONMENTAL PROGRAM MANAGEMENT An environmental audit is only one part of an agency's environmental management system. Each agency EMS should be designed to create an organizational culture that strives toward continuous environmental improvement. With the world marketplace becoming more competitive, budgets being reduced, federal facilities increasingly needing to comply with state and local environmental requirements, and citizens demanding more accountability for the activities of facilities in their communities, managers are becoming increasingly aware of the importance of developing an agency-wide philosophy of environmental stewardship. This means not only improving on how a facility achieves environmental compliance, but moving beyond compliance to include issues of environmental management and organization, public satisfaction, worker safety and productivity. 1-11 ------- To successfully correct problems, keep problems corrected, and head off finding the same problems at other facilities, the audit process needs to be expanded (see Figure 3). When the audit process is expanded, the agency's corrective action part of its environmental management system becomes more effective. As Figure 3 shows, audit findings are evaluated for underlying or "root" causes, and corrective actions involve developing management solutions to resolve root causes. When the focus of corrective actions is on correcting common root causes, the effectiveness of the audit is increased tremendously. The expanded audit process can be applied at any level (i.e., facility, field division, or bureau or overall agency). Rarely does the root cause for facility problems stop at the facility gate; it usually extends upward into the division or parent agency. Figured T he Expended Corrective Action Process Audt i *v r Improve Environmental Management System Effectiveness \ Identify Problems i Fix Problems Develop Actions to Correct Underlying Causes Andyze Exceptions for Cause/Effect j! Group Findings for Common Causes \< Examine Each Group for Underlying Causes 1-12 ------- To set goals and measure environmental progress, agency managers must determine their starting point for environmental improvements. Environmental auditing can help to provide a benchmark against which environmental programs can be measured (Environmental Auditing, Banff Centre for Management). Audit findings also can be used by agency and facility managers to aid in effective and efficient decision-making on environmental and other agency issues. 1-13 ------- CHAPTER 2: UNIQUE ASPECTS OF FEDERAL FACILITY AUDITING 2.1 OVERVIEW The private sector has realized significant benefits from conducting environmental audits for many years. Many of these same benefits can be obtained by Federal agencies, however, several factors that are unique to Federal agencies must also be considered when developing and implementing agency-wide audit programs. One example of these additional considerations is funding. For Federal agencies, unlike the private sector, the allocation of resources is determined in large part by government policy and regulations that are beyond agency control. For example, the President and Congress, through the Federal budget setting process, have a significant influence on the amount of resources that are available to pursue audit programs and address audit findings. In addition, the process of obtaining funding for environmental programs is time and resource intensive, and follows a complex process predefined by authorities outside the control of the agency, such as the Office of Management and Budget (OMB). This chapter describes some of the unique issues that Federal agencies may encounter when designing or upgrading agency-wide environmental audit programs. Issues considered in this chapter include: Agency mission vs. environmental compliance; National security concerns; The Federal budget cycle; The Federal agency FEDPLAN process; Contractor and tenant activities; Waiver of sovereign immunity; Freedom of Information Act requests; Status of environmental auditing at federal facilities; and The role of EPA's Federal Facility Enforcement Office. 2-1 ------- 2.2 AGENCY MISSION VS. ENVIRONMENTAL COMPLIANCE Private sector business operations are driven by the economics of production, with the costs associated with environmental compliance factored into the overall profit-loss equation. In an effort to maximize profits, the private sector has begun to recognize the value of environmental audits and pollution prevention programs. The unnecessary use of raw materials in production processes and the increased costs associated with waste and emissions management are significant factors in motivating the private sector to establish proactive environmental programs that encourage auditing and pollution prevention. Additionally, liability risks and costs have increased dramatically due to government and third party lawsuits. Federal agencies, on the other hand, are driven by statutorily-defined missions. These missions are established in the statutes that created each agency, and are further clarified by each agency's mission statement. Environmental compliance has only begun to be "factored" into the agency's bottom line within the last 20 years. Many Federal agencies have now adopted their own formal environmental policy statement. In addition to internal agency policy statements, other specific statutes and Executive Orders (EOs) require Federal agencies to abide by applicable environmental regulations and policies. For example, the Federal Facilities Compliance Act of 1990 (FFCA) requires Federal compliance with all of the hazardous waste requirements to which private industry is held under the Resource Conservation and Recovery Act (RCRA). Further, EO 12856 requires that federal facilities comply with the provisions of the Emergency Planning and Community Right-to-Know Act (EPCRA), including Toxics Release Inventory (TRI) program reporting requirements. The Executive Order also requires that Federal agencies comply with the Pollution Prevention Act of 1990 (PPA) and prepare pollution prevention strategies and plans to reduce releases of toxic chemicals by specified levels. Several Department of Defense (DoD) agencies, as well as the Department of Energy, are developing progressive environmental programs that go beyond compliance with Federal requirements by emphasizing environmental audits, pollution prevention, and other proactive programs such as the Total Quality Environmental Management (TQEM) concept created by the Global Environmental Management Institute (GEMI). 2-2 ------- Political considerations, changes in agency budget authority and mission, and the current efforts to "reinvent government," have all placed tremendous pressure on Federal agencies to downsize while simultaneously improving delivery of services. In such an atmosphere, agency environmental officials and programs may be caught between the necessity to maintain a sufficiently responsive environmental program and reduced resources. In some cases, agency environmental managers must be able to justify a considerable upfront expense associated with a new program or technology that will prevent future environmental problems and explain how it will yield a long-term payback in reduced costs and liabilities. When dealing with hazardous materials, the expression an ounce of prevention is worth a pound of cure might best be rephrased as, an ounce of pollution prevention is worth millions of dollars in avoided liability and clean up costs. Unfortunately, justifying this to senior management in a period of tight budgets is not easy. Federal environmental managers are tasked with the responsibility to monitor and evaluate an agency's environmental compliance status and must be conscientious about assessing the degree of regulated and unregulated environmental risk associated with agency activities. This requires an ongoing environmental audit program and a parallel effort to evaluate audit results. The results of this effort will assist agency management and legal staff in their determination of how environmental issues pose a risk to the successful conduct of an agency's mission, and serve as an aid in planning to address such risks. Finally, environmental audit program objectives must reflect the agency's primary mission and internal environmental policies, while remaining relevant and responsive to an agency's needs. Thus, the manager of an environmental audit program must understand the program objectives for all elements of the agency's primary mission to ensure that the audit program complements, and does not interfere with, the agency's main mission goals. The primary goal of a Federal agency audit program should be to increase understanding of environmental requirements to allow the agency to accomplish its mission in an environmentally sound manner. At a minimum, Federal agencies should use an audit program to improve compliance with Federal, state, and local regulations while carrying out their main mission. Ideally, agencies also should use audit findings to identify and address management, organizational, and operational issues that create inefficiency and allow compliance violations to occur. Chapter 5 of this report provides a more detailed discussion of designing an agency- wide environmental audit program. 2-3 ------- 2.3 NATIONAL SECURITY CONCERNS Federal facilities frequently encompass military, intelligence, nuclear-related, and law enforcement functions which present unique security concerns with respect to environmental audit programs. In these cases, managers with audit oversight responsibility must address issues such as facility security regulations and audit team access to associated documents. This may require advanced planning to ensure that necessary security clearances to conduct audits can be obtained. Audit program planners must consider national security issues during the audit design phase to ensure that such issues do not cause delays when the audit is being performed. Ideally, an internal audit program should be designed to provide an adequate number of auditors with the necessary security clearances to expedite the auditing process. If contractor personnel are to perform the audit, clearance status should be one factor in contractor selection. In certain cases, audit planners can design the audit process such that secure areas and documents are not accessed by contractors. With adequate planning, an audit can proceed without compromising national security. In accordance with good audit practices, the audit report should identify any areas or materials that were not inspected or evaluated during the audit. This will prevent inaccurate conclusions to be drawn based upon missing data. An additional considerations associated with performing audits of facilities or operations with national security missions is the degree to which audit results become publicly available. Section 2.8 of this guide includes discussions relating to the release of audit documents to the public via the Freedom of Information Act (FOIA). This statute exempts documents with national security concerns from the FOIA process. Case law supports the concept that if there is a reasonable danger that disclosure would expose military or state secrets, the materials in question will be protected, even when there is "the most compelling necessity" to disclose the materials (United States v Reynolds, 345 U.S. 1 (1953); Northrop Corp. v McDonnell Douglas Corp., 751 F.2d 395 (DC Cir. 1984)). 2.4 THE FEDERAL BUDGET CYCLE Assuring funding for environmental auditing programs and addressing audit findings requires a thorough understanding of the Federal budget and appropriations process. 2-4 ------- Responsibility for Federal agency budget planning and appropriation rests with Congress and the Executive branch. Within the Executive branch, OMB and the White House play crucial roles, while congressional committees handle this responsibility for the legislative branch. Agency budgets are the result of an extensive deliberative process that includes the input from an agency's budget officers, the chief financial officer, and administrators at all levels of the agency, including federal facilities. Agency managers must understand the process and timing of the budget process to ensure that funds required to address compliance violations or for critical environmental projects are available. Typically, capital expenditures are line items in an agency's budget. Funding requests for environmental projects generally will arise at the facility level and work their way through the agency hierarchy before eventually being forwarded to the Executive Branch for approval. Where environmental auditing programs have uncovered compliance problems or unregulated risk, it is the responsibility of the facility environmental manager to quantify and submit a budget request in a timely fashion. Environmental managers must communicate to top management the need to include funding for environmental compliance and control of unregulated risk into the facility or agency budget process. To accomplish this objective, environmental managers must assure that their requests are adequately justified and prioritized. Proper conduct of this task will ensure that budget reviewers understand the implications of rejecting such requests. As part of this process, it is important to distinguish the particular facility need and not hide the request within other budget categories such as operations and maintenance budgets. Because budget planning is a long-term process and can extend over many years, it is critical for agency managers to prioritize projects on both a short and long-term time line and place requests into the appropriate budgetary period. 2.5 FEDERAL AGENCY BUDGET PROCESS1 1 Much of the information for this section was obtained from an EPA guidance document entitled Federal Agency Environmental Management Program Planning Guidance (EPA 300-B-95-001, October 1994). This document provides a more detailed discussion of the FEDPLAN process as well as guidance on getting through the regional review process. 2-5 ------- EO 12088 (October 13, 1978) directs the head of each Executive agency to ensure that sufficient funds for compliance with applicable Federal, state, and local environmental requirements are requested in the agency budget. Each agency must submit an annual FEDPLAN report to OMB, through the EPA, which describes the agency's plan for the control of environmental pollution. To help Federal agencies comply with the Executive Order requirements, EPA has offered guidance in the form of a process known as the Federal Agency Environmental Management Program Plan (FEDPLAN). FEDPLAN is a reporting mechanism defined by EPA consisting of a combination of written guidance and a PC-based desktop management information system known as FEDPLAN-PC. The guidance for using the FEDPLAN system is contained in a recently issued EPA guidance document, Federal Agency Environmental Management Program Planning Guidance (EPA Publication 300-B-95-001). The FEDPLAN guidance suggests that Federal agency compliance officers requesting funds for environmental projects should do so by including program management costs in their environmental plans. The program cost definition includes inventories, assessments, surveys, studies, plans, and environmental audits. EPA proposes to make this category a subject of special analysis during agency reviews of individual federal facilities by EPA Regional offices. However, overall Federal agency funding in this area will be reviewed and monitored by EPA Headquarters personnel. The FEDPLAN planning process is used to develop cost estimates for complying with environmental requirements, and thus is a crucial tool for developing agency budgets for submittal to Congress. The FEDPLAN system tracks environmental requirements from the time they are first identified until they are executed. The process also provides a methodology for analysis of both current and projected funding requirements. It should be understood that, although this system by itself is not the budget request, it is a significant budget support document to the request. FEDPLAN provides the data necessary to verify that Federal agencies are adequately planning and programming for environmental compliance, and to ensure that agencies are requesting funding for all their environmental requirements. It is also used to assess progress in implementing environmental programs at all levels of the organization. 2-6 ------- The information generated by the process is used for different purposes, depending on the time periods in the budget cycle that are being addressed. For projects scheduled for implementation during the current fiscal year, the data in the system is used to ensure that the projects for which monies have been budgeted actually get funded. For the budget year, the purpose of FEDPLAN is primarily to reprioritize and reprogram projects consistent with funding levels provided by OMB and/or expected to be received from Congressional appropriations. It is important to understand that once the current fiscal year begins, normally no "new" money is available. This means that funds for new environmental requirements that develop during the current year must come from other uncommitted environmental funds, or from some other non-environmental program. This is why it is very important to carefully budget estimated costs for audits as well as costs for possible responses to audit findings (e.g., disposal costs, PCB transformer removal, asbestos abatement). The review process followed by EPA in reviewing Federal Agency Plans has several steps, involving both EPA Headquarters and Regional offices. EPA Headquarters ensures that the required information is submitted by each Federal agency in a timely manner, and also performs a quality control check on the data. Federal agencies submit their Plan to EPA by September 1st, the same date that the agencies normally submit their budgets to OMB. This helps to ensure that the information in FEDPLAN correlates as closely as possible with the information in the agency budget submitted to OMB. EPA Headquarters then conducts an analysis of each agency's environmental plan focusing on each of the media programs and environmental categories. Concurrently, EPA Regions begin their review of projects and programs at the installation or facility level. Using the information provided by the Federal agencies, the EPA Administrator prepares several reports for OMB, each with a different but explicit purpose. The following is a schedule of the various components of the FEDPLAN review cycle: Date Milestone September 1 September 1 Most Federal agencies submit their total/entire agency budget request to OMB Federal agencies submit both their new and updated FEDPLAN project data 2-7 ------- September 7 October 1 November 15 January 15 to EPA HQ for review Federal agency FEDPLAN plans are forwarded to EPA Regions for review. Regions schedule meetings with individual federal facilities to discuss key aspects of plans, as appropriate Selected analysis of Federal agencies previous fiscal year funding profile is forwarded to OMB Completed reviews of Federal agency plans are forwarded by EPA Regions to EPAHQ Summary of detailed EPA FEDPLAN comments and suggestions forwarded to Federal agencies for consideration 2.6 CONTRACTOR AND TENANT ACTIVITIES Most environmental statutes assign responsibility for compliance to "owners or operators." Since the terms owner/operator may include both the landlord and the tenant/contractor, confusion may result when attempting to determine who is ultimately responsible for environmental compliance or who bears responsibility for remediation. For Federally-owned facilities that are operated by government personnel, the U.S. government is the owner/operator (such facilities are referred to as "GOGO" facilities - "government owned/government operated"). However, many federal facilities have tenant relationships with private parties, local or state governments, or other Federal agencies. The following are typical contractor/tenant relationships found at federal facilities: Government owned/contractor operated (GOCO)- a facility owned by a Federal agency but operated by private contractors for government services; Government owned/privately operated (GOPO)- a facility or lands leased by the Federal government to private operators for their own operation and profit; and Privately owned/government operated (POGO)- a facility owned by a private entity where the government leases buildings or space for Federal agency activities. In a criminal prosecution for violation of an environmental law, the person who committed the crime is the person that is held responsible, regardless of who employs them. However, for administrative and civil actions, responsibility for environmental compliance in landlord/tenant situations often is not clear. The tenant may be held liable (either through direct action or by a previous written agreement) for the consequences of their activities. 2-8 ------- Alternatively, the facility owner/operator may be ultimately held responsible by regulators if the owner/operator knew or should have known of the non-compliance, or if the violation or contamination is discovered after the tenant is gone. Prior to conducting an environmental audit at a joint tenant/owner or multiple tenant facility, the following questions should be answered: Who owns the property and how many tenants are involved with onsite activities that will be evaluated during the audit? Whom does the statute hold responsible for noncompliance? If liability attaches to the owner/operator, both the agency and the other party to the agreement may be held responsible. Are there any instruments, including permits, contract provisions or indemnification agreements, lease provisions, operating agreements, etc. that specify or assign responsibility for environmental compliance? Landlord/tenant and contractor activities typically are bound by the terms of a host/tenant agreement. Contracts for M&O (Management and Operating) contractors at GOCO facilities often define the environmental compliance responsibilities of the contractor and contain other agreements such as a Federal government commitment to reimburse the contractor operator for cleanup charges if the operation is in compliance with the contract, or environmental compliance is in whole or in part an award-fee item. In some instances, Federal agencies should consider conducting environmental audits of the contractor or requiring the contractor to conduct self audits and apprise the agency of the results. This is especially important because the degree of non-compliance could be a factor in assessing liability. If a tenant/contractor commits gross environmental violations, the Federal agency could be held legally responsible if it is determined the agency was "willfully blind" to the non-compliance activities of the tenant/contractor. Likewise, if a tenant/contractor enters bankruptcy, the agency may be held financially responsible for any clean up costs resulting from the tenant's/contractor's acts. If a Federal agency occupies a private facility (e.g., a GSA-leased facility), it is still responsible for a complying with environmental laws and auditing for environmental compliance. Whatever the landlord/tenant situation, the audit should not proceed until the applicable agreements are carefully reviewed and responsibilities for environmental compliance are assigned to the appropriate party or parties. 2-9 ------- 2.7 WAIVER OF SOVEREIGN IMMUNITY Sovereign immunity is a long standing, judicially created legal doctrine which prohibits the bringing of a suit against the government. In the United States, the doctrine of sovereign immunity is based upon the Supremacy Clause of the Constitution which provides that the acts of the Federal government are operative as the supreme law of the land. However, Congress may, by legislative action, waive sovereign immunity and permit suits against the Federal government. In those instances where Congress waives sovereign immunity, EPA, States, localities, or private citizens (based upon the specific terms of the waiver) may bring suit against the government for improper activities, including those associated with environmental releases. The Westfall Act (28 U.S.C. Sec. 2679 et seq.) grants sovereign immunity protection to the decisions and conduct of Federal employees acting in the course and scope of their employment. However, sovereign immunity does not act to protect Federal employees who commit criminal acts such as knowing violations of environmental laws. Further, injured parties are not necessarily precluded from bringing actions against Federal employees. In cases where there is a finding that the individual acted outside the scope of their authority, the Justice Department may withdraw certification that the Federal employee was acting within the scope of employment (28 U.S.C. Sec. 2679(d)(2)). For example, if a third party is injured as a result of an environmental excursion incident at a Federal facility, and a Federal employee is found to be responsible and to have acted outside the scope of their employment, the employee may be personally liable. The following is a discussion of the doctrine of sovereign immunity as it is embodied in major Federal environmental statutes and applied to Federal agencies. 2.7.1 Resource Conservation and Recovery Act (RCRA) The waiver of sovereign immunity found in the Resource Conservation and Recovery Act (RCRA), as amended by the Federal Facilities Compliance Act (FFCA) of 1992, constitutes a complete waiver of sovereign immunity with respect to both EPA and states authorized by EPA to administer and enforce their hazardous waste management program. Prior to passage of the FFCA, EPA could not enforce directly against other Federal agencies; and instead could only negotiate Federal Facility Compliance Agreements to bring other Federal agencies into 2-10 ------- compliance with RCRA. With passage of the FFCA, Congress gave EPA and authorized state enforcement agencies the power to "initiate an administrative enforcement action against such a department ... in the same manner and under the same circumstances as an action would be initiated against any other person" (42 U.S.C. 6961 (b)(2) (1995)). 2.7.2 Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) The CERCLA waiver of sovereign immunity, contained in 42 USC §962, requires each department, agency, and instrumentality of the United States (including the executive, legislative, and judicial branches of government) to comply with CERCLA in the same manner and to the same extent, both procedurally and substantively, as any nongovernmental entity. In addition, all guidelines, rules, regulations, and criteria which are applicable to: (1) standards of liability (2) assessments; (3) evaluations of facilities under the National Contingency Plan; (4) inclusion on the National Priorities List and (5) remedial actions are applicable to the Federal government. CERCLA also requires Federal agencies to comply with state laws concerning removal and remedial actions, including laws pertaining to enforcement, for removal and remedial action at facilities owned or operated by a government agency when such facilities are not included on the National Priorities List. However, federal facilities are not subject to state authority where a state law or regulation applies a standard or requirement that is more stringent than the standards and requirements applicable to nongovernment facilities. 2.7.3 Emergency Planning and Community Right-to-Know Act (EPCRA) Executive Order 12856 requires that all federal facilities comply with the EPCRA emergency planning requirements, including emergency planning notification to local emergency planning committees (LEPCs), provision of information to LEPCs for preparation of comprehensive emergency response plans, emergency notification of releases of extremely hazardous substances, collection and submission of Material Safety Data Sheets (MSDSs), and submission of Toxic Release Inventory Forms (commonly referred to as the "Form R"). The TRI reporting requirements apply to all federal facilities with ten or more full-time employees 2-11 ------- that exceed the threshold for manufacture, processing, or use for listed toxic chemicals, regardless of Standard Industrial Classification (SIC) code. In implementing Executive Order 12856, each Federal agency is responsible for identifying all facilities (GOCO and GOGO) subject to TRI reporting, preparing yearly progress reports, and self-monitoring for compliance with the order. Executive Order 12856 also gives EPA the responsibility for conducting inspections and monitoring agency compliance with the Order, and preparing an annual report to the President on Federal agency compliance. However, section 7-701 of Executive Order 12856 expressly states that the Order does not create any right or benefit, substantial or procedural, that is enforceable against the United states or any federal agency. So, while EPA has the authority to monitor federal agency compliance with the Order, there is no waiver of sovereign immunity as to compliance enforcement. 2.7.4 Pollution Prevention Act of 1992 (PPA) Section 3-304 of Executive Order 12856 requires federal facilities to comply with Section 6607 of the Pollution Prevention Act. This section requires that federal facilities submit a toxic chemical source reduction and recycling report for each chemical release form (Form R) submitted pursuant to EPCRA Section 313. As with EPCRA, Executive Order 12856 requires compliance by Federal agencies, but specifically does not provide for direct enforcement. 2.7.5 Clean Air Act (CAA) The Clean Air Act requires "[e]ach department, agency and instrumentality of the executive, legislative, and judicial branches of the Federal government (1) having jurisdiction over any property of facility, or (2) engaged in any activity resulting, or which may result, in the discharge of air pollutants, and each officer, agent, or employee thereof, shall be subject to, and comply with, all Federal, state, interstate, and local requirements, administrative authority, and process and sanctions respecting the control and abatement of air pollution in the same manner, and to the same extent as any nongovernmental entity" (42 U.S.C. §7418(a) (1995)). All Federal agencies also must comply with all applicable provisions of a valid motor vehicle inspection and maintenance program established under the CAA except for vehicles that are designated as tactical military vehicles (42 U.S.C. §7418(c) and (d) (1995)). This section also 2-12 ------- waives sovereign immunity with respect to federal facilities' obligation to pay air pollution regulatory fees imposed pursuant to local air pollution district's rules and regulations. 2.7.6 Clean Water Act (CWA) The Clean Water Act contains a comprehensive and explicit waiver of sovereign immunity as to all departments, agencies, or instrumentalities of the executive, legislative, and judicial branches of the federal government (1) having jurisdiction over any property or facility, or (2) engaged in any activity resulting, or which may result, in the discharge or runoff of pollutants. This waiver subjects Federal agencies to compliance with all "Federal, state, interstate, and local requirements, administrative authority, and process and sanctions respecting the control and abatement of water pollution in the same manner, and to the same extent as any nongovernmental entity including the payment of reasonable service charge" (33 U.S.C. §1323 (Supp. 1995)). 2-13 ------- 2.8 FREEDOM OF INFORMATION ACT REQUESTS The Freedom of Information Act, or FOIA (5 USC: par. 552), applies to all Federal agencies and governs the disclosure of Federal agency documents to the public. For this reason, careful consideration must be given by agency employees in determining how audit reports and audit-generated information will be filed and distributed within the agency. Generally, draft audit reports, preliminary information and auditor notes that contain the auditor's thoughts and observations recorded during an audit site visit may be exempt from FOIA requests. Federal agencies are allowed under the statute to write their own policies and regulations that influence the agency FOIA officer in his or her decision as to whether the information is releasable when it is requested by the public. To the extent that draft copies of audit reports are pre-decisional and it can be shown that they reflect the agency's deliberative process, they may be exempt from release for reasonable limited periods of time. However, if factual material (e.g., observations made on site during the audit) is requested under FOIA, the agency may have to extract this material from the draft audit report and release it to the requesting party. To protect draft copies within the deliberative process, all reports and related paper should be clearly marked "pre-decisional, FOIA Exempt" or "draft" and circulation should be limited to those offices or audited facilities reviewing the report before producing a final version. Legal advice from an agency's general counsel may provide additional help when processing FOIA requests for audit-related information. In addition, the effect of FOIA on audit- related information should be considered when designing an audit program or creating a scope of work for Federal agency audits. A more detailed discussion of legal considerations of document protection and FOIA requests is presented in Chapter 3 of this guide. 2-14 ------- 2.9 STATUS OF ENVIRONMENTAL AUDITING AT FEDERAL FACILITIES Purpose As the estimated cost of cleaning up contamination on federal lands rise to hundreds of billions of dollars, environmental auditing is increasingly viewed as a way to foster better environmental practices in operating federal facilities. Environmental audits are comprehensive and systematic reviews of environmental performance used to improve compliance with environmental laws and minimize future environmental damage and cleanup costs. The Ranking Minority Member of the Senate Committee on Governmental Affairs asked GAO to examine the potential for increasing the use of environmental auditing in the management of federal agencies' operations. Specifically, he requested that GAO (1) examine the experience of organizations that distinguish their programs, (2) determine the extent to which federal agencies use environmental auditing and the benefits that could accrue from its wider use, and (3) identify obstacles and disincentives to the more effective use of environmental auditing by these agencies. Environmental auditing and EPA's policy providing encouragement and assistance on this matter is relatively new. On July 9, 1986, EPA publicly addressed environmental auditing for the first time when the agency published it's environmental audit policy in the Federal Register (51 FR 25004). At that time, EPA encouraged regulated entities to initiate environmental audit programs to achieve and maintain compliance with environmental regulations. In the 1986 Policy Statement, EPA also encouraged Federal agencies to develop audit programs and stated that EPA would provide assistance to help Federal agencies establish such programs. Since then, EPA has accelerated it's efforts at encouraging and assisting Federal agencies to design and initiate environmental audit programs. These efforts have included: Conducting a survey of Audit Activities at Federal Facilities (1987); Sponsoring a nationwide Environmental Auditing Conference for Federal agencies (1988, 1995); Issuing guidelines to assist Federal agencies in establishing audit programs ("Environmental Audit Program Design Guidelines for Federal Agencies," EPA #130/4-89-001) (1989); and Issuing generic environmental audit protocols as guidance for Federal agencies and encouraging further audit program development ("Generic Protocol for Environmental Audits of Federal Facilities," EPA 1307 4-89/002 (1989) and "Generic 2-15 ------- Protocol for Conducting Environmental Audits of Federal Facilities," EPA #300-6-95- 002 (1995)). Background During a typical environmental audit, a team of qualified inspectors, either employees of the organization being audited or contractor personnel, conducts a compliance examination of a plant or other facility to determine whether it is complying with environmental laws and regulations. Using checklists and audit protocols and relying on professional judgment and evaluations of site-specific conditions, the team systematically verifies compliance with applicable requirements. The team may also evaluate the effectiveness of systems in place to manage compliance and assess the environmental risks associated with the facility's operations. No laws currently require environmental auditing. Environmental auditing has been and remains largely a voluntary activity. Companies and public agencies that have adopted the practice have done so for sound business reasons. The adoption of environmental auditing by these organizations represents a management decision to seek compliance proactively, instead of simply reacting to crises. The Environmental Protection Agency's (EPA) 1986 policy of environmental auditing encouraged federal agencies subject to environmental laws to adopt environmental auditing to achieve and maintain compliance. The agency also acknowledged its own responsibility to provide technical assistance to help federal agencies design and initiate audit programs. 2.9.1 GAO Report 1995 The most recent and comprehensive report regarding the status of environmental auditing at federal facilities was released in April 1995 by the Government Accounting Office (GAO). The report, entitled Environmental Auditing; A Useful Tool That Can Improve Environmental Performance and Reduce Costs; GAO/RCED-95-37) is the result of an 18- month study. The report details the experiences of both private organizations and Federal agencies in reducing liabilities by performing environmental audits. The report also addresses the extent to which environmental auditing is practiced among Federal agencies and discusses the potential benefit from more extensive use of environmental auditing. The GAO report made a number of findings, including: Environmental auditing is rare at most Federal agencies; Environmental auditing is least developed at smaller Civilian Federal Agencies (CFAs), which lack the expertise and resources of DoD and DOE; EPA's 1986 Audit Policy and the lack of inspections by EPA act as disincentives with respect to CFA senior management attitudes toward implementing audit programs; 2-16 ------- CFA's lack of interest in implementing audit programs has resulted in funding shortfalls for training and developing audit expertise; and Federal agencies have been discouraged from auditing due to several incidents in which EPA Regions requested audit reports for reasons other than those allowed under EPA's audit policy. The GAO report also made a number of recommendations for furthering audit program development at CFAs, including: Enforcing EPA's current stated policy of limiting requests of audit reports by personnel in EPA Regions; Changing EPA's existing audit and enforcement policies to encourage regulated entities to perform more environmental audits; Providing sustained technical assistance to CFAs; and Providing a greater show of enforcement at CFA facilities throughout the EPA Regions 2.10 STATUS OF ENVIRONMENTAL MANAGEMENT AT FEDERAL AGENCIES (BENCHMARK REPORT) In December of 1994, EPA published a report entitled Environmental Management System Benchmark Report: A Review of Federal Agencies and Selected Private Corporations (EPA-300R-94-009). This report set forth a benchmark representing ideal organizations, managerial, and operational attributes that Federal agencies should employ as they work to fulfill their environmental responsibilities. Six benchmark elements were identified: Organizational Structure; Management Commitment; Implementation; Information Collection, Communication, Management, and Follow-up; Internal and External Communication; and Personnel Practices. The report detailed characteristics that make up each benchmark element and provided a list of organizational activities and attributes (key indicators) that demonstrate adherence to each benchmark element. 2-17 ------- Benchmarking Federal Agencies An EPA study compared the environmental management systems of CFAs, the Department of Energy, the Army, Navy, and Air Force, and three private sector corporations (Chevron, Xerox, and 3M). As part of the study, a series of detailed "Best in Class" descriptors were established in six key areas of environmental performance: organizational structure; management commitment; implementation of programs; information collection, use, and follow-up; internal and external communications; and personnel management. The overall "Best in Class" benchmark elements are as follows: Organizational Structure: Best in Class organizations have an organizational structure that gives authority, input, and voice to environmental performance. Management Commitment: Best in Class organizations possess and demonstrate a commitment to environmental excellence at each and every stage of the management hierarchy, and insist on integration of environmental awareness and concerns into all relevant business operations. Implementation: Best in Class organizations carry out their daily business operations in ways that integrate environmental protection into their business conduct. Information Collection/Management/Follow-Up: Best in Class organizations continually monitor environmental performance through the use of formal tracking and reporting mechanisms. Information acquired through these mechanisms is evaluated, disseminated, and used to continually improve environmental performance. Internal and External Communication: Best in Class organizations foster and use formal and informal channels to communicate environmental commitment and performance information. Employee communications is encouraged to develop cooperation and commitment, including bringing together employees from different disciplines. Personnel: Best in Class organizations ensure that employees are capable of developing and implementing environmental initiatives. Employees are hired, trained, and deployed in ways that ensure that staff understand their environmental responsibilities and receive the training and support necessary to achieve environmental excellence. Source: U.S. EPA, Environmental Management System Benchmark Report: A Review of Federal Agencies and Selected Private Corporations (EPA 300R-94-009), December 1994. The report provides information that can help agencies use audits in ways that move beyond the simple identification of compliance violations. Agencies and facilities that include the review of organizational, managerial, and performance elements into audits can often identify opportunities to improve organizations in ways that reduce the potential for future violations. 2.11 THE ROLE OF ERA'S FEDERAL FACILITY OFFICE The environmental performance expectations that have been placed on Federal agencies in recent years have required EPA to focus on monitoring federal facility activities and assisting agencies in developing and improving their compliance programs. The relationship 2-18 ------- between EPA and other Federal agencies was first prescribed by Presidential Executive Order No. 12088. Signed by President Carter in 1978, the Order directs all departments and agencies of the Federal government to comply with Federal, state, and local environmental laws and regulations. In addition, EPA is directed by the Order to provide technical assistance and guidance to Federal agencies to assist them in complying with these environmental requirements. To ensure that federal facilities receive the appropriate level of monitoring and guidance, EPA established a separate office reporting directly to the Administrator Assistant for Enforcement and Compliance Assurance (OECA). This office is the Federal Facility Enforcement Office (FFEO). FFEO is responsible for ensuring that federal facilities take all necessary actions to prevent, control, and abate environmental pollution. FFEO coordinates OECA's federal facility enforcement, compliance assurance, and assistance efforts. It also has the lead role for communicating with Congress, other Federal agencies, states, and other stakeholders (e.g., the public) on federal facility matters. The design of EPA's FFEO embodies many of the principles embraced by EPA's Common Sense Initiative (CSI). It has a sector-orientation, uses strong enforcement combined with compliance assistance, and promotes proactive technical programs such as pollution prevention and environmental auditing. FFEO continually seeks new and innovative ways of working with Federal agencies by offering technical assistance within a partnership setting to other Federal agencies, states, and localities to foster a more collegia! approach to environmental problem solving. 2-19 ------- CHAPTER 3: LEGAL CONSIDERATIONS 3.1 OVERVIEW Designing and implementing an environmental audit program requires consideration of a number of legal issues. Chief among these is the protection of audit findings from premature disclosure. A comprehensive environmental audit typically accomplishes three objectives: (1) verify compliance/noncompliance with environmental regulations; (2) evaluate the effectiveness of environmental control systems; and (3) assess potential environmental liabilities from regulated and unregulated materials and practices. To achieve these objectives, the audit findings must be candid, detailed, and accurate. As such, environmental audits often describe actual or potential violations of law, unfavorable situations such as management deficiencies or inadequate staffing, or situations that do not constitute violations per se, but that nevertheless gives rise to potential environmental liabilities. This kind of information can be used to the detriment of a facility or agency, and should be protected to the extent allowed by law. Public access to Federal agency documents and information in non-litigation situations is controlled by the Freedom of Information Act (FOIA) (5 USC §552 et seq.). Once an agency audit report becomes final, it is an agency record and subject to disclosure through a FOIA request. As a result, the amount of time that an agency has to handle an environmental audit as an internal matter, free from outside scrutiny, is limited to that time between the conduct of the audit and the delivery of the audit final report. Typically, a comprehensive environmental audit will contain information adverse to the audited facility. It is therefore important that the audit program be designed to provide for the protection of the audit findings from premature disclosure. Facility and agency personnel should have the opportunity to review and comment on audit findings, and develop a corrective action plan free from public scrutiny so that they can engage in free and frank discussions of regulatory opinion, interpretation and applicability. An understanding of privilege, as it pertains to audit reports, the FOIA law and process, and other legal considerations surrounding audit report handling and preparation will help in designing such a program. Please note that this discussion does not discuss document requests or subpoenas that arise from civil litigation. Such requests must be handled through agency legal counsel on a case-by-case basis. 3-1 ------- 3.2 DOCUMENT PROTECTION/FREEDOM OF INFORMATION ACT REQUESTS Subject to specific exceptions, any person can have access to government factual and investigatory reports, data, and surveys pursuant to the FOIA. A final environmental audit report from a Federal agency does not fall into any of the enumerated exceptions, and the courts uniformly interpret the FOIA exceptions very narrowly1. Although there is a governmental official information privilege that protects the suggestions, advice, recommendations, and opinions of government officials, factual and investigatory reports, data and surveys are not protected. Unless exempted by FOIA or some other statute, all Federal agency records are available to the public upon request. There are nine exceptions to this general rule contained in FOIA that are listed at 5 USC §552(b). Subsection (5) exempts "inter- agency or intra-agency memorandums or letters which would not be available by law to a party other than an agency in litigation with another agency." From this exemption, the courts have created categories of agency documents that are exempt under FOIA, that is they are not available to the public. These documents are referred to as "predecisional" and "deliberative" and must satisfy both criteria to qualify for the exemption and be justified. Predecisional documents include recommendations, draft documents, proposals, suggestions, and other subjective documents which reflect the personal opinions of the writer rather than the policy of the agency. A predecisional document is deemed a part of the deliberative process if the disclosure of the materials would expose an agency's decision making process in such a way as to discourage candid discussion within the agency, thereby undermining the agency's ability to perform its functions. The deliberative process is exemplified in a situation where an employee writes a draft document and the agency uses the consultative process, by circulating the draft for comments, or having the draft reviewed up the supervisory or organizational chain to determine what the final version will include. Courts have ruled that when the final document is released, the draft is exempt from disclosure under the FOIA exemption for intra-agency memoranda2. Courts have characterized draft reports as predecisional if they are written before the agency decides what the final version will include, and have characterized the process as deliberative if the draft 1 Sea Nadlerv. U.S. Dept. of Justice, 955 F.2d 1479 (11th Cir. 1992), dealing with what constitutes the "deliberative" process; Assembly of the State of California v. U.S. Dept. Of Commerce, 968 F.2d 016 (9th Cir. 1992) addressing what is "predecisional." 2 Marzen v. Dept. of Health and Human Services, 632 F.Supp 785, off d 825 F.2d 1148 (7th Cir. 1987). 3-2 ------- was submitted to others as the author's input to the decision-making process (the comment and clearance process). Ultimately, each Federal agency's Freedom of Information Act Officer is responsible for determining whether or not materials are FOIA exempt. Generally, in the context of an environmental audit, the draft audit report, preliminary information and auditor notes concerning his or her thoughts and observations recorded during an audit will be considered predecisional. There is a question, however, as to what extent factual material contained in a predecisional draft is also protected. The U.S. Supreme Court has held that information that is purely factual, even though it may have been used by decision makers in their deliberations, is usually not protected from disclosure under FOIA (EPA v Mink, 410 U.S. 73 (1973)). In cases where deliberative process material and unprotected factual material are commingled in a single document, the agency normally must still produce the factual material by producing a document containing only the factual material. If the factual material can not reasonably be separated from material in documents that would reveal the opinions of agency personnel in the deliberative process, it may be exempt from disclosure under FOIA. However, this should not be attempted in order to avoid disclosure as courts take a dim view of such efforts3. An environmental audit program should be designed so the audit report is circulated for predecisional review and comment between the audit team and facility personnel, and then forwarded to senior agency personnel for predecisional review and comment, prior to becoming final. The draft report should be segmented and circulated to those personnel appropriate to each section. For example, personnel responsible for hazardous waste management should review that section. If those individuals are not responsible for air issues, they should not review the section dealing with air quality. Given these limitations, the report should be circulated from the bottom-up, with any input or comment clearly marked as "Draft" or "Pre- decisional," and the deliberative process clearly defined within the context of the environmental audit program (i.e., the process is standardized and written into or as an agency policy). Circulation of the draft should be limited. If a document which an agency claims exemption from a FOIA request has been released or disseminated to personnel outside the agency, or if a document otherwise subject to the attorney client privilege is widely disseminated within the agency, then the agency may be precluded from asserting the exemption. The use of consultants, however, does not necessarily constitute release to an outside party so long as the United States v. Nixon, 418 U.S. 683 (1974). 3-3 ------- consultant has a "need to know" (e.g., the consultant is conducting or taking part in the audit), and agrees not to further disclose information. Some aspects of an environmental audit also may be protected from disclosure under the attorney-client, or the attorney work-product privileges. The attorney work-product and the attorney-client privileges should not be looked at as a means for comprehensive document protection, because to routinely conduct an environmental audit program so that is falls under the rubric of the attorney privileges would be a cumbersome and inefficient use of agency attorneys and is not likely to be successful (see discussion of Litigation/Discovery below). In any event, situations that invoke attorney-client and attorney-work product privileges must be approached on a case-by-case basis with full involvement by agency counsel. In the final analysis, the government carries the burden of proving that audit documentation in draft form falls within an exemption under FOIA . This essentially entails showing that the record is oriented toward the agency's ongoing development of its position on a specific issue. The case law pertaining to FOIA requests and exemptions offers enough guidance to design and implement information gathering and report drafting procedures to provide protection for audit materials prior to the issuance of the final report. However, as with any case law, the courts are continually refining the law of FOIA. Therefore, the agency Freedom of Information Act Officer and legal counsel should be consulted as to the most current case law and legal precedents in this area. 3.2.1 Litigation/Discovery In addition to FOIA requests, audit materials may be subject to disclosure as a result of litigation undertaken by an agency or by third parties against an agency. Should an agency become involved in a civil action over an environmental issue, all audit materials that involve observations of facility practices or matters subject to statutory or regulatory reporting requirements (e.g., spill incidents, waste handling or discharge practices, emissions reports) will be discoverable through requests for production of documents, or subpoenas. There are a number of privileges which, to a limited extent, may be available to protect audit materials. However, agencies should conduct their audits with the understanding that all materials are potentially discoverable. The three legal doctrines that may provide limited protections for audit materials are: 3-4 ------- (i) the attorney-client privilege; (ii) the attorney work-product rule; and (iii) the self-evaluation privilege. It is necessary to consult with agency legal counsel to determine appropriate procedures for employing any of the above confidentiality doctrines. The use of attorneys in conducting audits, or the communication of audit results solely to attorneys, will not protect underlying facts, or matters subject to legal reporting requirements, from discovery. Court pronouncements on this matter have been unequivocal. While courts may be willing to protect the attorney's notes and memoranda, as well as related communications with non-lawyers, these protection have limits. Wide dissemination of audit results undermines the privilege doctrines. For example, dissemination of the air monitoring section of an audit to the wastewater treatment personnel for review and comment might be grounds for waiver of a confidentiality privilege with respect to the air monitoring results. When developing and carrying out an audit program, agency management should anticipate that any underlying facts, observations, or data regarding facility environmental practices, will be fully discoverable. Therefore, it is in the best interest of the agency to thoroughly investigate, document, and remedy any problems uncovered in an audit. This appropriately devotes limited resources to corrective action rather than to attempting to protect audit findings from discovery. In addition, attempts to shield audit materials from discovery may be interpreted as bad faith and sour relationships with regulatory agencies. EPA has developed internal policy regarding the release of environmental audit reports originating at other federal agencies. The policy developed by EPA's Office of General Counsel requires EPA personnel to respond to the FOIA request by either consulting with and obtaining written permission from the agency which originated the document or EPA will transfer the responsibility for responding to the request for records back to the originating agency. Therefore, EPA will not forward audit reports originating from other federal agencies without explicit permission from the affected agency. 3-5 ------- 3.3 EPA REQUESTS FOR AUDIT REPORTS In the 1995 audit policy, EPA reaffirms and clarifies its policy outlined in the 1986 audit policy to refrain from routine requests for audits. Eighteen months of public testimony and debate have produced no evidence that the Agency has deviated, or should deviate, from this policy. In general, an audit which results in prompt correction clearly will reduce liability, not expand it. In addition, a review of the criminal did not reveal a single criminal prosecution for violations discovered as a result of an audit self-disclosed to the government. The 1995 policy states: "EPA will not request or use an environmental audit report to initiate a civil or criminal investigations of the entity. For example, EPA will not request an environmental audit report in routine inspections. If the Agency has independent reason to believe that a violation has occurred, however, EPA may seek any information relevant to identifying violations or determining liability or extent of harm." The EPA's authority to request some or all of an audit report will be exercised on a case-by-case basis where the agency determines that the information is necessary to "accomplish a statutory mission, or where the Government deems it to be material to a criminal investigation" (59 FR 38455 (July 28, 1994)). Examples of this include situations where: (1) audits are conducted pursuant to a consent decree or other settlement agreement; (2) a company has placed its management practices at issue by raising them as a defense in an enforcement action; or (3) where state of mind or intent is at issue as during a criminal investigation or prosecution. With respect to inspections of self-audited facilities and requests for audit reports, EPA generally will respond to environmental audits conducted by federal facilities in the same manner as it does for any other regulated entity. 3-6 ------- 3.4 EPA's 1995 AUDIT POLICY On December 22, 1995, EPA announced the "Incentives for Self-Policing: Discovery, Disclosure, Correction and Prevention of Violations," (final audit or self- policing policy).4 Under the new policy, the Agency will greatly reduce civil penalties and limit liability for criminal prosecution for regulated entities that meet the policy's conditions for discovery, disclosure and correction.6 The final audit policy represents a refinement of the "Voluntary Environmental Self-Policing and Self-Disclosure Interim Policy Statement" (interim auditing policy) announced on April 3, 1995.6 Policy Incentives: Full and 75% Gravity Mitigation of Civil Penalties; No Criminal Referral toDOJ Under the policy, EPA will not seek gravity-based7 civil penalties for violations that are discovered through an environmental audit or through a management system reflecting due diligence, and that are promptly disclosed and expeditiously corrected, provided the other policy conditions are met. Where violations are discovered by means other than an audit or due diligence system, but are promptly disclosed and expeditiously corrected, EPA will reduce gravity-based penalties by 75% provided the other policy conditions are met. The Agency will generally not recommend to the Department of Justice (DOJ) that criminal charges be brought against entities that meet all of the policy conditions. Safeguards While the final self-policing policy contains significant incentives for encouraging discovery, disclosure and correction of violations, it also contains very important safeguards to deter irresponsible behavior and protect the public and the environment. For example, the policy requires entities to take steps to prevent recurrence of the violation and to remediate any harm caused by the violation. In 4 The policy appeared in the Federal Register on December 22, 1995 (60 FR 66706). 5 A copy of the policy and its comprehensive preamble appears as Appendix B. 6 60 FR 16875, April3, 1995. 7 The "gravity" component of a penalty represents the "seriousness" or "punitive" portion of penalties. The other major part of a penalty, the economic benefit component, represents the economic advantage a violator gains through its non-compliance. 3-7 ------- addition, the policy does not apply to violations which resulted in serious actual harm or may have presented an imminent and substantial endangerment to human health or the environment. Moreover, entities are not eligible for relief under the policy for repeated violations. The policy acts arising from conscious disregard or full will blindness to violations. Finally, EPA retains its discretion to collect any economic benefit gained from non-compliance in order to preserve a "level playing field" for entities that invest in timely compliance.8 Incentives and Behavior The final self-policing policy provides additional incentives for entities to utilize the critical compliance tools of environmental auditing and compliance management systems. These incentives add to the many existing reasons for entities to develop and maintain environmental auditing and compliance management systems. A 1995 Price Waterhouse survey on environmental auditing practices showed that 90% of the corporate respondents that conduct audits did so to find and correct violations before they were found by government inspectors. In 1986, EPA announced that it was the Agency's policy to encourage environmental auditing as a means to help achieve and maintain regulatory compliance.9 Toward that end, the 1986 policy sets forth the basic elements of effective environmental auditing programs. As memorialized in the 1995 final self-policing policy, EPA's policy toward encouraging the use of compliance tools such as auditing and management systems 8 Under the final self-policing policy, EPA may waive the entire penalty for violations which, in EPA's opinion, do not merit any penalty due to the insignificant amount of any economic benefit. Some environmental statutes require EPA, in assessing penalties, to consider the economic benefit a violator gains from non-compliance. See, e.g., CWA 309(g), CAA 113(e), and SDWA 1423(c). EPA's longstanding policy has been to collect significant economic benefit gained from non-compliance. See A Framework for Statute-Specific Approaches to (Civil) Penalty Assessments, EPA General Enforcement Policy #GM-22, February 16, 1984; see also the approximately 24 EPA media and program-specific penalty and enforcement response policies. The reason for collecting economic benefit is to preserve a level playing field for entities that make the timely investment in compliance. Recovery of economic benefit can be likened to the IRS requirement of paying interest or fees on taxes paid late. 9 Environmental Auditing Policy Statement, July 9, 1986 (51 FR 25004). 3-8 ------- had evolved into providing penalty incentives and a safe harbor from criminal prosecution. It is important to recognize that this evolution is likely to continue as organizations develop more effective tools to manage the environmental aspects and impacts of their activities, services and products. Environmental management system (EMS) standards such as ISO 14001 and supporting standards hold promise as a means of improving environmental performance. EPA is exploring possible incentives for encouraging the use of such standards insofar as the incentives do not jeopardize protection of human health and the environment. Policy Conditions 1. Entity Must Discover the Violation through an Environmental Audit or Due Diligence System to Obtain Full Gravity Penalty Mitigation and Criminal Safe Harbor The final self-policing policy provides full mitigation of gravity-based civil penalties and a criminal safe harbor for entities that discover violations through an environmental audit or system reflecting due diligence, provided the other policy conditions are met. Note that entities that do not discover the violations through an audit or due diligence, i.e., "random discovery," would still obtain 75% gravity mitigation as long as the other conditions are met. The final policy defines an "environmental audit" the same as it is defined in the 1986 auditing policy: "a systematic, documented, periodic and objective review by regulated entities of facility operations and practices related to meeting environmental requirements." Note that this definition covers several types of environmental audits including risk audits and EMS audits as well as compliance audits. With respect the due diligence systems, the final self-policing policy provides relief to entities that discover violations through an "objective, documented systematic procedure or practice reflecting the regulated entity's due diligence in preventing, detecting, and correcting violations," provided the other conditions are met. "Due diligence" is defined as systematic efforts meeting criteria based on the 1991 U.S. 3-9 ------- Sentencing Commission Sentencing Guidelines.10 The Sentencing Guidelines have had an enormous impact in encouraging the development and implementation of due diligence systems in the U.S. The "due diligence" criteria in the self-policing policy include the following: . the development of compliance policies, standards and procedures to meet regulatory requirements; . allocation of responsibility to oversee conformance with these policies, standards and procedures; . mechanisms including monitoring and auditing of compliance and the establishment of a compliance management system (CMS) to assure the policies, standards and procedures are being carried out; . training to communicate the standards and procedures; . employee incentives to perform in accordance with the compliance policies, standards and procedures; and . procedures for the prompt and appropriate correction of violations including program modifications needed to prevent future violations. The inclusion of "due diligence" systems in the final policy represents a very positive and significant revision to the interim auditing policy. Stakeholder written and oral comments indicated that ongoing, comprehensive, and systematic efforts to prevent, detect, and correction violations should be rewarded at least as much as environmental auditing. The difference between a compliance audit and a CMS can be likened to the difference between a "snapshot" and a "video." It is also very significant that EPA may require as a condition for penalty mitigation that a description of the entity's due diligence system be made publicly available. This may entail submission of the system to a national electronic docket. This type of public disclosure has the potential to push the state-of-the-art in management systems development and encourage benchmarking. The public availability of systems 10 United States Sentencing Commission Guidelines Manual, Chapter 8 - Sentencing of Organizations, Part A - General Application Principles (effective November 1, 1991). 3-10 ------- descriptions can also provide valuable information for insurers, financial markets, investors and lenders - providing the basis for "quasi" market-based incentives. 2. Policy Applies to All Violations Except Those Discovered Through Mandated Monitoring or Sampling Requirements, Ce.a., CEM, DMRs) In order to provide maximum opportunity to encourage compliance, and to do so without sacrificing the integrity of critical reporting systems, the policy provides relief on all violations except those discovered through mandated monitoring or sampling requirements, provided the other policy conditions are met. Examples of violations not covered by the policy include emissions violations detected through continuous emissions monitor, violations of NPDES discharge permits detected through required monitoring or sampling, or violations discovered through a compliance audit required to be performed by the terms of a consent order or settlement agreement. 3. Entity Promptly Discloses the Violation in Writing to EPA Under the policy, the entity must fully disclose in writing to EPA that a violation has occurred or may have occurred, within 10 days after discovery. The inclusion of the "may have occurred" language recognizes that in situations where the entity is unsure whether a violation had occurred it is best for the entity to disclose the potential violation to EPA for a definitive determination. EPA may accept disclosures more than 10 days after discovery if more time is needed to make a compliance determination of a complex violation and circumstances do not present a serious threat. 4. Entity Must Disclose the Violation Prior to Imminent Discovery by the Government The entity must identify and disclose the violation before the regulatory agency has discovered or will discover the violation. Thus, the entity must disclose the violation prior to: commencement of a government inspection or investigation, issuance of an information request, notice of citizen suit, filing of a third-party compliant, or reporting by a "whistle-blower." 5. Entity Must Expeditiouslv Correct the Violation and Remedy Harm 3-11 ------- The entity must correct the violation expeditiously and within 60 days, certify correction, and take appropriate measures to remedy any harm caused by the violation. If more than 60 days is needed to correct the violation, the entity must notify EPA before the 60-day period has passed. Where appropriate, EPA may require a written agreement, order or decree to satisfy requirements for correction, remediation or prevention measures especially where such measures are complex or lengthy. 6. Entity Must Agree to Take Steps to Prevent Recurrence of the Violation The entity's efforts to prevent recurrence of the violation may involve modifying its environmental auditing program or compliance management system. 7. The Violation Had Not Occurred at the Same Facility Within the Past Three Years and Was Not Part of a Pattern of Violations at the Parent Company Within the Past Five Years The policy does not apply to repeat violators. EPA has established "bright lines" to determine when repeat violators should not be eligible for relief under the policy. Under the policy, the same or closely-related violation had not occurred at the same facility within the past three years or is not part of a pattern of violations at the facility's parent organization within the past five years. This policy exclusion provides entities with continuing incentives to prevent violations and avoids the unfairness of granting policy relief repeatedly for the same or similar violation. 8. The Violation Is Not One Which Resulted in Serious Actual Harm or May Have Presented an Imminent and Substantial Endangerment, or Does Not Violate the Specific Terms of an Order or Agreement The policy does not apply to violations which resulted in serious actual harm or may have presented an imminent and substantial endangerment to human health or the environment. Coverage of the policy to such violations would undermine deterrence and reward entities for delinquent management of its environmental activities. The policy also does not apply to violations of the specific terms of any 3-12 ------- administrative or judicial order or consent or plea agreement. This is necessary to preserve incentives to comply with the orders or agreements. 9. The Entity Must Cooperate with EPA At a minimum, the entity must provide information that is necessary and requested by EPA to investigate the violation and any non-compliance problems and environmental consequences related to the violation. 3.5 EPA/DOJ POLICY LETTER ON STATE AUDIT PRIVILEGE LAWS AND POLICIES EPA will work with states to encourage adoption of policies that reflect the incentives and conditions outlined in the 1995 audit policy described above. In an effort to address some of the perceived concerns regarding government and third party use of audit information, some in the regulated community have turned to state and federal legislation. Since October 1993, twenty states have enacted legislation to create audit privileges and/or penalty amnesty provisions. As the 1995 audit policy indicates, EPA opposes environmental audit privileges that provide a cloak of secrecy over evidence of environmental violations and that contradict the public's right to know. EPA also opposes blanket immunities or amnesty for violations that reflect criminal conduct, present serious threats or actual harm to health or the environment, allow noncomplying entities to gain an economic advantage over their competitors, or reflect a repeated failure to comply with federal law. Both EPA and DOJ have testified before Congress opposing proposed federal audit privilege legislation and existing state audit privilege and immunity laws. Vice President Gore has also written to Congress opposing the pending House and Senate audit privilege bills. In February, 1997, EPA and DOJ issued a joint policy letter to the General Counsels of Federal departments and agencies stating the administration's position and clarifying that Federal facilities in Executive Branch agencies and contractor operators should not claim that information acquired through self audits is privileged under any state audit privilege laws. In addition, this policy letter points out that no privilege exists between and among EPA and other agencies. The policy letter 3-13 ------- encourages Federal facilities to utilize the 1995 EPA audit policy and similar state laws and policies. This policy letter is contained in Appendix F. In the 1995 policy, EPA restates its pledge to work with states to address any provisions of state audit privilege or penalty immunity laws that are inconsistent with the policy and which may prevent a timely and appropriate response to significant environmental violations. Six states have passed privilege/immunity statutes since the Agency issued its final audit policy in December 1995. 3.6 EPA POLICY REGARDING THE USE OF AUDITING IN LEGAL SETTLEMENTS Although not explicitly addressed in the final audit policy, EPA will not forgo inspections, reduce enforcement responses, or offer other such incentives in exchange for the implementation of an environmental auditing program.11 EPA will, however, take into account a facility's efforts at self-auditing for environmental management and compliance in setting inspection priorities and crafting enforcement responses to violations. Specifically, it is the EPA's stated policy to take into account, on a case-by-case basis, the honest and genuine efforts of regulated entities to avoid and promptly correct violations and underlying environmental problems. Similarly, although not explicitly addressed in the final policy, EPA should not limit its non-penalty enforcement authorities as a provision of settlement. While EPA may consider such a facility to be a lower inspection priority than a facility that is not known to be auditing, whether and when to conduct an inspection should remain a matter of Agency discretion. If the Agency's inspection or other enforcement authorities were limited, this could compromise the Agency's ability to respond to citizen complaints or site conditions posing a potentially serious threat to human health or the environment. EPA's 1995 audit policy requires discovery of violations to be voluntary in order to obtain any penalty mitigation, and it defines such voluntariness so as to exclude situations where the violations are "discovered through a compliance audit required to be performed by the terms of a consent order or settlement agreement." 60 Fed. Reg. 66706, 66708 (Dec. 22, 1995). This 11 As stated in the 1986 Policy, and reiterated in the 1994 Clarification on Policies Related to Environmental Auditing. 3-14 ------- language, however, should not be read in isolation, because doing so would unduly preclude penalty mitigation under the policy and create a significant disincentive for future settling parties to bind themselves in settlement documents to doing compliance audits. In the same section of the final policy, two key goals are expressed: (1) to encourage the conduct of audits; and (2) to "reward those discoveries that the regulated entity can legitimately attribute to its own voluntary efforts." Id. at 66708. Where a violator, without any legal obligation to do so, commits to conducting a compliance audit prior to any formal or informal enforcement response (e.g., complaint filing or other circumstance described in Section II.D.4 of this policy), such actions can be considered by EPA to be voluntary and EPA will not automatically disqualify them from obtaining penalty mitigation under the "voluntary discovery" requirement of the final policy, even though the violator later agreed to include such an auditing obligation as an enforceable settlement provision (e.g., in a consent decree or consent order). In such cases, EPA should describe the voluntary nature of the audit provisions that are not eligible for penalty mitigation under the policy. By allowing audit provisions in settlements to be considered voluntary in these limited circumstances, EPA is able to shape the content and timing of audits, ensure their performance through enforceable terms, and more effectively achieve the goals of the final policy. 3-15 ------- CHAPTER 4: AUDITING FEDERAL FACILITIES IN FOREIGN COUNTRIES/OVERSEAS 4.1 OVERVIEW The most important component in designing an environmental audit program for overseas federal Facilities is determining the standards against which compliance is to be evaluated. Such standards may include particular provisions of U.S. law, applicable multilateral or bilateral treaty provisions, regional or community requirements (e.g., European Union), or host-country specific substantive provisions which typically include technical limitations on discharges, emissions, production processes, products, or specific management practices. Ultimately, overseas facilities must comply with the most stringent requirements; these standards, referred to by the Department of Defense (DoD) as "Final Governing Standards" or "FSG," implement DoD Directive 6050.16 (DoD Policy for Establishing and Implementing Environmental Standards at Overseas Installations, September 1991) and DoD Directive 6050.7 (Environmental Effects of Major Department of Defense Actions, March 1979) and supplement Executive Order 12088 (October 13, 1978). For the purposes of this guide, the term "final governing standards" refers to the country-specific requirements with which a facility must comply. In cases where a host country has not enacted environmental regulations for a particular media, the applicable U.S. requirements are the final governing standards. Although the role of non-governmental organizations (NGOs) is not delineated in the FSG, such organizations can be valuable sources of information in conducting overseas audits. 4.2 ROLE OF FACILITY MANAGEMENT Each DoD installation commander must establish an Environmental Protection Council (EPC) (or equivalent) that is responsible for establishing and implementing the installation auditing program. Agency senior management and facility management personnel are ultimately responsible for the environmental compliance of their facility. However, if compliance with the applicable FSG would seriously impair a facility's operations, adversely affect relations with the host country or require immediate, 4-1 ------- substantial expenditure of funds not available for such purposes, facility management may request a waiver or authorization to deviate from the particular standards or guidelines. Administrative procedures at all levels of command should be designed to expedite implementation of the most current directives on environmental matters. Adequate management controls must be in place and in operation to ensure sound environmental performance and avoid potential liability. These controls may include: . Drafting environmental policies and procedures to ensure compliance with the FSG; . Following procedures for implementing federal agency overseas environmental policy; . Developing and implementing employee training programs; . Incorporating installation environmental compliance auditing into their inspection programs; . Providing oversight of contractors, subcontractors, and suppliers operations; Including provisions requiring the contractor to comply with the FSG in contracts for services or construction, where performance takes place on the installation, and in contracts for the disposal of hazardous waste; Purchasing, operating, and maintaining environmental control equipment; Developing, budgeting and planning systems for environmental compliance; Implementing, monitoring, record keeping, and reporting systems; Establishing emergency response plans; and, Maintaining internal and external communications and control systems. These controls must be tailored to fit within the framework of overseas environmental requirements specific to the facility. Thus, facility management must be cognizant of all final governing standards that pertain to that facility. Facility management also must be aware of a host country's national, regional, and local environmental laws and regulations which are not covered in the final governing standards. In cases where the final governing standards are 4-2 ------- entirely based on the environmental requirements of the host country, facility management personnel should be familiar with the host country's institutional structure for the implementation and enforcement of environmental requirements. Some countries operate their environmental protection programs on the national level, while others delegate most environmental authority to regional and local offices. In federalist countries, different hierarchies of environmental offices may exist on both the Federal and state levels. An understanding of the environmental regulatory structure of the host nation is necessary for facility management to stay current on environmental regulations, to report situations such as spills and releases that migrate offsite, to request assistance when appropriate, and to be aware of sensitive local environmental concerns. In some cases, overseas facilities are located in countries that are members of regional, integrated political organizations (such as the European Union). The environmental regulations and requirements of such supranational organizations always must be taken into account when developing an overseas compliance and audit program. Most supranational organizations have an entity solely responsible for environmental protection issues, and often develop environmental requirements that set minimum standards, or are themselves binding on member states. Member nations also may be obligated to adopt or respond to legislation adopted by supranational organizations, causing the member states to modify their environmental regulations. Personnel responsible for an overseas compliance and auditing program will benefit by keeping abreast of legal developments at both the supranational and national levels. 4.3 DESIGNING AN OVERSEAS ENVIRONMENTAL AUDIT PROGRAM Determining and keeping abreast of the final governing standards for a particular country is a time consuming and labor intensive process. There is no single source of up-to- date information pertaining to overseas regulatory compliance. However, some Federal agencies are farther along in developing overseas environmental programs due to the large number of facilities located overseas. Most notable is DoD, which developed the Overseas Environmental Baseline Guidance Document (OEBGD) October 1992 and is in the process of developing final governing standards for all locations where U.S. military installations are located. The OEBGD is one example of how a Federal agency with extensive overseas operations determines the environmental compliance baseline for its facilities. 4-3 ------- Ultimately, each federal agency is responsible for developing auditing and environmental criteria and standards for its own overseas operations. The OEBGD sets out interpretive guidance and criteria for environmental compliance at DoD installations outside the United States, and contains specific DoD environmental criteria that are used to develop the FSG to be implemented by overseas DoD installations. The actual auditing process is then developed by the responsible personnel for each facility. For DoD installations, the Environmental Protection Council (EPC) (or equivalent) is responsible for establishing and implementing the installation auditing program. A variety of sources of information exist on procedures for conducting environmental audits. EPA's Environmental Auditing Policy Statement (51 FR 25004) defines elements of an effective environmental auditing program. EPA's Federal Facility Enforcement Offices (FFEO) is co-chairing an inter-agency workgroup to revise auditing guidelines and protocols for federal agencies. Several departments within DoD, including the Department of the Army and the Department of the Air Force, have written procedures for conducting audits. The International Standards Organization (ISO) has developed environmental management standards (ISO 14000) that include auditing procedures. The National Sanitation Foundation in Ann Arbor, Michigan is working on auditing schemes that are intended to be compatible with and augment the ISO standards. In addition, EPA maintains an extensive and current bibliography of environmental auditing publications. 4.4 CONDUCTING AN OVERSEAS AUDIT PROGRAM Conducting environmental audits of overseas facilities raises a host of logistical and budgetary issues that do not typically pertain to domestic environmental audit programs. Early resolution of these issues will help to prevent problems and delays from occurring before and during the audit process. Some of the issues that should be addressed before the audit process are: 4-4 ------- Who will conduct the audit? Choices include domestic personnel to be sent overseas, personnel already stationed at the overseas facility, as well as outside consultants. The agency also should consider whether or not it is cost-effective to have personnel stationed permanently or temporarily at overseas locations to conduct audits in regions with a high concentration of agency facilities. Costs to consider include travel, lodging and per diem, communications, and if necessary, visas and temporary work permits. If foreign nationals are used, costs associated with payroll taxes, insurance, and benefits also must be considered. It is often cost-effective to contract with a consulting firm to conduct or assist in some aspects of overseas environmental audits. Many consulting firms have offices around the world, and thus have proximity to facilities as well as knowledge of the legal and institutional framework of the host country. This can be particularly useful in countries experiencing frequent and unexpected changes in legislation and institutional arrangements. How are auditors trained? Personnel conducting audits must be trained on the final governing standards of the nation(s) where they will be conducting the audits. Special training, such as health and safety, radiological health, and security, must also be considered for some facilities. What are the applicable standards? The most important component in designing an overseas environmental auditing program is determining the standards against which compliance is evaluated. The audit team will need to evaluate and determine the applicable criteria and standards and clearly define those criteria and standards in their audit report. In cases where a FSG or other baseline guidance document has not been adopted, facility management will need to determine the appropriate point of contact in the host country (e.g., officials in the host country's Ministry of Foreign Affairs, Ministry of Defense, and Ministry of Environment) to keep the audit team abreast of environmental requirements. In working with facility management, the audit team will need to examine the host country's laws (national, regional and local), applicable international agreements as well as the applicable base rights agreement and Status of Forces Agreement. How will communications be handled? The audit team will need to consult with facility management well in advance of the audit in making arrangements for handling communications during the audit. Computer-based forms of communication will often be the most reliable and easily implemented. However, the audit team may require special approval for the use of portable electronic equipment from facility management. Special documentation for the portable electronic equipment may also be needed for bringing the equipment into the host country. 4-5 ------- What is the schedule for pre-audit preparations? Preparations for overseas audits will be more complicated and time- consuming than for domestic audits. The audit team will need to be in contact with facility management as soon as possible after the audit team has been selected and a date set for the audit. By not allowing sufficient time for the obtaining of visas and immunizations, the audit team may be precluded from conducting the audit on schedule. A schedule for sending the necessary information to the overseas federal facility should be developed to ensure that facility management is well prepared for the audit team and that all required documentation has been obtained well in advance of the scheduled audit. What languages, customs, or traditions may affect the audit team or process? Facility management should take into account the host country's language, religious observances, and national or local holidays. The audit team should be briefed on local customs and common courtesies to avoid embarrassment or misunderstanding. Care also should be taken to avoid placing audit team members of a specific gender, or religious or ethnic group in uncomfortable or inhospitable surroundings. Advise team members of the possibility of such situations during the audit team planning process. Will the audit program be subject to regional instability or conflict? Prior to sending a team overseas to conduct audits, the agency should consult with facility management personnel stationed overseas to determine regional stability. This is not an issue with most Western countries, but may arise when conducting audits of facilities in non-western and third world nations. The Department of State issues advisories that contain information about potential "hot spots" for U.S. citizens. 4.5 SUMMARY OF KEY ELEMENTS Facility management will encounter a range of issues in conducting audits of overseas facilities which are not generally applicable to domestic auditing programs. Some special factors to consider include: Early and thorough preparation is important to ensure an effective overseas compliance and audit program. Environmental management and control practices must be adapted to conform to applicable final governing standards. Such standards may differ for each facility, particularly in cases of facilities located in federated countries with environmental structures and requirements varying between the federal and state levels. Sufficient time must be allocated for not only identifying 4-6 ------- the applicable final governing standards but also staying abreast of relevant legal developments. Budgetary constraints and logistical issues must be considered to determine the ideal means for developing an understanding of the host country's legal, institutional, and regulatory structure, as well as any supranational environmental organizations and requirements. International consulting firms may provide the in-depth knowledge necessary for conducting overseas audits and may prove useful in conducting the actual audit as well. Logistical issues should be resolved well in advance of commencing the audit. Failure to take into account such matters as the host nation's political stability, work permit and visa requirements, and local customs can delay and unnecessarily complicate an overseas audit program. 4.6 SOURCES OF INFORMATION There are a wide array of documents, governmental, private, and non-governmental organizations (NGOs) which can assist or provide useful information on a host country's environmental management and protection requirements. Some of these sources are described below. Organization for Economic Cooperation and Development (OECD): An organization comprising approximately 30 countries, the OECD has an Environment Committee which adopts both binding "Decisions of the Council" and non-binding "Recommendations and Declarations." Both types of instruments serve as guidelines for the development of environmental laws and policies of member nations. Both the OECD's Headquarters office and the Environment Committee are located in Paris, France. International Chamber of Commerce (ICC): The ICC, which represents a number of countries world-wide, has become more active in promoting voluntary environmental auditing. The ICC, headquartered in Paris, maintains information on the problems encountered by U.S. companies which have conducted audits of their overseas subsidiaries. The ICC published a Position Paper on Environmental Auditing, which was adopted by the ICC Executive Board on this 56th Session in November 1988. In 1991, 4-7 ------- the ICC developed and presented The Business Charter for Sustainable Development to serve as a guideline for world wide corporate environmental management. U.S. Agency for International Development (USAID): USAID is headquartered in Washington, D.C. and has local offices in almost every country in the world. USAID personnel typically are placed in-country on a long-term basis and have substantial contacts with host government officials. Often, host country nationals are employed by local USAID offices to handle day-to-day activities in specific sectors, including environmental protection matters. U.S. Department of Defense: DoD has developed the Overseas Environmental Baseline Guidance Document (OEBGD) (October 1992) and is in the process of developing final governing standards for all locations where U.S. military installations are located. The OEBGD sets out interpretive guidance, procedures and criteria for environmental compliances at DoD installations outside the United States, and contains specific DoD environmental criteria which are used to develop the final governing standards to be implemented by overseas DoD installations. United Nations (UN): With over 150 member nations, the UN is headquartered in New York City but is comprised of various organizations and institutions around the world. The United Nations Center on Transnational Corporations, also in New York City, examines corporate environmental practice and develops international codes of conduct. Headquartered in Nairobi, the United Nations Environment Programme develops international environmental policies and assists countries in the development of their environmental protection schemes. The UNEP's Industry and Environment Office, located in Paris, promotes sound environmental management practices. In 1990, UNEP joined the ICC and over 20 major U.S. corporations to form the Global Environmental Management Initiative (GEMI). GEMI develops guidelines for environmental management and sustainable development, promotes the exchange of information on environmental auditing techniques and concerns, and encourages public access to information. 4-8 ------- U.S. Environmental Protection Agency, Federal Facility Enforcement Office (FFEO): Under the authority of EPA's Office of Enforcement and Compliance Assurance, FFEO manages the program for monitoring compliance by federal facilities with their environmental obligations. FFEO, located in Washington, D.C., also offers technical assistance and policy guidance on environmental compliance matters at federal facilities. U.S. Diplomatic Missions: The U.S. embassy or consulate in the host nation can assist facility management and audit team members with logistical matters associated with the overseas audit. Local U.S. embassies and consulates maintain contacts with governmental officials of host countries, including national and local environmental authorities, and often have libraries containing information on a host country's legal requirements. Local embassies and consulates can also assist with the obtaining of temporary work permits, visas, and translation services. International Standards Organization (ISO): Based in Geneva, the ISO formed the Technical 207 Committee to develop standards for a voluntary international environmental management system. The Committee has prepared two drafts; ISO 14001 covers certification and registration, while ISO 14000 provides practical advice on implementing or improving an Environmental Management System (EMS). ISO member organizations are in the process of voting on the drafts. Subcommittees are continuing to work on drafting standards for Environmental Auditing (14010-12), Environmental Performance Evaluation (14031), and Life Cycle Assessment (14040), among others. 4-9 ------- CHAPTER 5: DESIGNING AN AGENDY-WIDE AUDIT PROGRAM 5.1 OVERVIEW As previously discussed, the environmental audit is an important tool that agency managers can use in building and maintaining effective environmental management programs. However, in designing these programs, environmental program managers must ensure that scope and goals of the program reflect and complement the agency's overall mission and environmental priorities. A well-designed audit program will allow program managers to use audit findings as a means of evaluating progress toward agency environmental program goals. In contrast to the 1980s, when auditing was narrowly defined as a check-list based approach for evaluating compliance, auditing now includes the review of environmental management programs as a whole. As this section describes in greater detail, the audit program can serve both to identify barriers to meeting environmental goals as well as solutions for resolving problems. In addition, through the incorporation of environmental management strategies, the emphasis in environmental auditing has shifted away from a reactive approach in favor of a preventive approach to environmental problem-solving. 5.2 FACTORS AFFECTING PROGRAM DESIGN Proper design of an environmental audit program requires careful consideration of desired program goals and objectives, as well as development of a strategy for conducting pre- audit on-site and follow-up activities. A well-designed environmental audit program should meet the needs of the facility or agency environmental management program. Thus, the specified goals and objectives of these programs should be complementary. 5-1 ------- Design factors that should be considered when developing an environmental audit program include: Scope of audits; Frequency of audits; Level of effort required; Type(s) of audits; and Relationships with other inspection agencies. Considerations that influence these audit design factors are similar to those affecting the overall environmental program. These considerations fall into five general categories: (1) resources available for carrying out the program; (2) the nature of the agency's facility operations and associated environmental issues; (3) the scope of the environmental management program; (4) agency support for environmental programs; and (5) perception of agency environmental commitment. Each of these factors is described in greater detail below. Available resources - The audit program is subject to the same financial constraints that apply to all government programs. Resources needed to effectively operate an audit program include labor, equipment, and supplies -- with labor comprising the majority of the necessary resources. In considering costs, an agency must evaluate how much auditing it can afford, i.e., whether it can afford both compliance audits and management audits. In addition, agencies must consider if it is necessary to plan their audit activities to coincide with federal budget cycles. Nature of agency operations and environmental issues - The design of the audit program depends to a great extent on the types of operations carried out by an agency's facilities and their associated environmental issues. Agencies comprised of facilities with primarily administrative functions should require fewer and more limited audits than agencies with industrial operations utilizing a large quantity of hazardous materials. To the greatest extent possible, site-specific factors such as facility location and local environmental issues also should be taken into consideration. Scope of the environmental management program - The purpose of the audit program is to measure success in achieving the environmental management program's goals, thus program managers should design the audit program to review all aspects of the program, including management systems, standard operating procedures, organizational structure, and compliance with specific environmental requirements. Depending on the nature of the agency's operations, certain 5-2 ------- requirements may not apply. As such, the nature and scope of the agency's mission and operations both have a direct influence on the audit program. Agency support - The level of agency environmental awareness, as well as it's compliance history are factors that affect the frequency of audits. Agencies that have invested in awareness training programs may find that they can conduct audits less frequently because facility personnel have a positive attitude toward environmental protection and that Senior management and other stakeholders will play a leadership role in developing the audit program. Perception of agency environmental commitment - How an agency views itself and how it is viewed by others with respect to environmental issues is an important aspect affecting audit program design. Whether senior executives are reactionary, compliance oriented, or visionary is a significant element in designing an audit program. While an agency may have a mission that is reactionary by nature, i.e. responding to an environmental disaster, a more visionary posture when dealing with inter-agency environmental issues will affect the overall audit program. Likewise, how others view the agency, stakeholder expectations, is also important in audit program design. It is important to identify who the stakeholders are, i.e. the general public, other agencies, etc., and to adequately consider their expectations with respect to audit program design. This can be especially important with respect to such activities as cleaning up contaminated sites that will be turned over to the public. 5.3 IDENTIFYING AUDIT PROGRAM GOALS At the outset, environmental audit program managers should clearly establish long-term goals for the audit program. As discussed above, audit program goals should be a complementary sub-set of an agency's goals for achieving a sound environmental management system. Environmental management goals will vary from agency to agency and must be examined within the context of each agency's mission and activities, but may include: In conformance with Executive Order 12856 (Federal Compliance With Right-to- Know Laws and Pollution Prevention Requirements"), EPA has developed and issued a Code of Environmental Management Principles (CEMP) for federal agencies. On September 3, 1996, EPA transmitted the CEMP to federal agency executives requesting written commitment to the principles contained in the CEMP. 5-3 ------- The CEMP consists of five broad management principles that have been developed to address all areas of environmental responsibility of federal agencies. These five principles include: 1. Management Commitment: The agency makes a written top-management commitment to improved environmental performance by establishing policies which emphasize pollution prevention and the need to ensure compliance with environmental requirements. 2. Compliance Assurance and Pollution Prevention: The agency implements proactive programs that aggressively identify and address potential compliance problem areas and utilize pollution prevention approaches to correct deficiencies and improve environmental performance. 3. Enabling Systems: The agency develops and implements the necessary measures to enable personnel to perform their functions consistent with regulatory requirements, agency environmental policies and its overall mission. 4. Performance and Accountability: The agency develops measures to address employee environmental performance, and accountability of environmental functions. 5. Measurement and Improvement: The agency develops and implements a program to assess progress toward meeting its environmental goals and uses the results to improve environmental performance. A copy of the CEMP Principles is presented in Appendix G of this document. Complementary long-term environmental audit program goals should include: Development and implementation of a cost-effective audit program; Integration of environmental management systems (e.g., pollution prevention) into audit protocols and facility operations to help an agency to prevent compliance problems by reducing wastestreams and environmental releases to the greatest extent possible; Conducting environmental audits to identify environmental problems and develop solutions to enhance agency compliance and overall environmental management. 5-4 ------- Establishing an audit program that effectively fulfills its stated goals requires that some groundwork be laid. Laying this groundwork may be one aspect of an overall implementation strategy designed for the audit program. The strategy may specify activities for modifying current environmental policies to incorporate the audit program, securing adequate resources and funding, and assigning responsibilities for carrying out the program. Agencies also should examine internal management practices and organizational structures to determine if changes are warranted. Agencies that currently lack environmental audit programs may consider adopting a "phased-in" approach to program implementation by gradually increasing the scope and/or number of audits conducted over time. 5.4 IDENTIFYING AUDIT PROGRAM OBJECTIVES Having established goals for the environmental audit program, environmental program managers should continue to develop an implementation strategy by determining short and long-term program objectives. As in the case of the audit program goals, objectives will vary from agency to agency. The primary short-term objective of the audit program should be to bring the agency into full compliance with existing environmental requirements. Standard audit protocols can be used to determine compliance with each applicable regulation (e.g., RCRA, Clean Air Act, etc.). Using these checklists, audit team members can conduct interviews with shop personnel and record their observations. Compliance audits conducted in conjunction with the assistance of facility staff provide an excellent opportunity to informally train personnel in correct procedures and to raise awareness regarding environmental compliance issues. Other short term program objectives should be to identify projects for funding under the requirements of E.O. 12088 or agency funds earmarked for environmental compliance projects and to collect or verify environmental information that may be needed for other aspects of the environmental management program (such as hazardous waste generation rates or hazardous materials consumption), or other internal metrics. 5-5 ------- Long-term audit program objectives should broaden the program focus from strict compliance with current requirements to include eliminating underlying (root cause) environmental problems and conducting more detailed evaluations of environmental problems and management systems. Standard compliance audits alone cannot meet these long-term objectives. Instead, program managers must use audits tailored to these purposes. Examples of long-term auditing objectives are described below. Eliminate underlying environmental problems - Auditing can be used to identify the root causes of environmental problems and allow program managers to take steps to eliminate them rather than continuing to rely on temporary stop-gap or control measures. For example, recurrent spills in maintenance shops may be temporarily addressed by using larger quantities of absorbent products. Alternatively, a long-term solution to the problem would be to purchase better fluid handling equipment and improve worker training and supervision. Identify systemic environmental problems - Agency environmental managers can use audit results to identify systemic environmental problems that must be resolved in cooperation with individual facilities. Strategic planning may be needed to address these systemic environmental problems. Forecast future compliance - Audits provide an understanding of the current state of agency compliance, but also can be used to determine what activities are necessary to remain in compliance with upcoming or anticipated future regulations. Evaluate effectiveness of internal environmental management program - This review may identify issues such as insufficient resources, lack of vision, or poor training that may compromise future compliance. 5.5 SELECTING THE TYPE AND SCOPE OF AN ENVIRONMENTAL AUDIT Over the past decade, the field of environmental auditing has become increasingly specialized. Audits are no longer limited to determining compliance with current requirements. Instead, audits can be used to identify and resolve underlying causes of compliance issues, particularly recurring problems. Federal agencies have a variety of auditing tools at their disposal to evaluate current compliance status, future risk of non-compliance, and opportunities for minimizing the potential for non-compliance. One such tool is EPA's Generic Audit Protocol. The Protocol is an environmental auditing guide and an environmental management tool specifically developed to assist federal 5-6 ------- agencies in assessing or benchmarking their environmental performance. It is also intended to be a resource for identifying and correcting deficiencies and to evaluate and manage environmental risk including the risk of non-compliance with statutes, government regulations, and federal executive orders. This Protocol is especially helpful in providing guidance on how agencies may identify the "root cause" of environmental deficiencies such that these problems will not recur. The Protocol provides federal facilities and agencies with a comprehensive explication of the environmental auditing basics such as compliance audits, as well as auditing of specific environmental management systems, and overall audits of environmental programs. When designing an audit program, agency environmental management staff should first determine goals and objectives and then select the types of audits to be conducted to best meet the audit program goals. This section provides a discussion of five types of commonly conducted environmental audits: compliance, property transfer assessments, management audits, waste contractor/vendor audits and pollution prevention opportunity assessments. These audits can be used in combination at a facility if appropriate. 5.5.1 Compliance Audits Agencies use compliance audits to evaluate facilities' compliance status vis-a-vis current environmental requirements. Compliance audits may be performed using in-house staff or a third party, such as a contractor. Typically, the scope of compliance audits is limited to identifying areas of non-compliance and does not include environmental management as a long-term approach for coming into compliance. The remainder of this guide focuses on this type of environmental audit. 5.5.2 Property Transfer Assessments These types of audits are used by agencies to identify any undisclosed environmental problems associated with a piece of property prior to purchase. The scope of property transfer assessments often is much broader and focuses more on business risks and liabilities as opposed to regulatory compliance. Assessors typically spend more time reviewing records and conducting on-site monitoring than they would during a compliance audit. Examples of the 5-7 ------- kinds of environmental issues examined during a property transfer assessment include: asbestos, soil or groundwater contamination, underground storage tanks, PCBs, lead-based paint, urea, formaldehyde, radon, and contaminated drinking water. The level of detail and scope of the assessment will depend greatly on the site history. Sites that were formerly occupied by military or industrial facilities or located near abandoned waste disposal sites will require more extensive site characterization work than sites that are relatively undeveloped. The conduct of property transfer audits in the context of federal facilities may also raise issues similar to those typically encountered in the corporate sphere of merger/acquisition efforts. This type of property transfer assessment is a "total risk profile" that is focused on the legal and financial risks that can arise in the sale or purchase of properties with the potential for significant environmental liability. For example, military base closure activities may result in the transfer of property to either public or private entities. The entity acquiring the site is likely to insist on a thorough site characterization before accepting title to any portion of a facility that could have an environmental risk potential. Many former military facilities had site activities such as operation of process and production lines that implicate major environmental statutes such as RCRA or CERCLA. If these facilities produced such items as printed circuit boards there could be significant issues surrounding the use of solvents and degreasers with the associated risks particular to those type of industrial activities. A few years back a major federal agency was found by a court to be a potential responsible party under CERCLA for site contamination that occurred almost fifty years in the past. The property in question was a private industrial site at which that agency had exercised management oversight for purposes of war production activities. The present day moral is that an agency that doesn't know what its role was in site environmental issues may face serious future liabilities. Therefore, it is important for a federal agency or facility to be thoroughly familiar with site activities including historical activities in order to not only characterize its possible contribution to site environmental issues, but to be able to identify situations for which it is not responsible. This is critical in both a divestiture situation as well as an acquisition situation. 5.5.3 Management Audits 5-8 ------- These audits are a distinct type of audit designed to evaluate an organization's ability to carry out it's environmental management program. Management audits can be conducted in many ways and utilize either in-house staff or a third-party. Management audits typically involve the review of: organizational structure; staffing levels and resources; roles and responsibilities; standard operating procedures; ability to fulfill the organization's assigned mission; and staff training and expertise. EPA's Generic Audit Protocol describes environmental management audits, referred to as Phase 2 and Phase 3 audits, as audits that target specific management issues and assist facilities in identifying the root causes of environmental deficiencies. Most importantly, because these types of audits focus on the root cause of deficiencies, they help the facility and agency in implementing permanent corrective action measures. The Generic Protocol provides guidance on how to evaluate such programs. 5.5.4 Waste Contractor/Vendor Audits Some Federal agencies require facilities to audit commercial treatment, storage, and disposal (TSD) facilities prior to issuing a waste management contract. The purpose of this type of audit is to minimize the long-term risk and liability associated with off-site hazardous waste treatment and disposal. Superfund allows EPA, under certain conditions, to impose severe, retroactive, joint and several liability upon any party responsible for the release of hazardous substances into the environment, including environmental damage resulting from TSD operations. Federal agency personnel should be aware that "responsible parties" may include hazardous waste generators. Federal agencies should seriously consider conducting waste contractor audits at both RCRA-regulated TSDs and non-RCRA facilities such as solid waste and oil recovery facilities. By thoroughly assessing the capabilities and operations of a TSD facility, generators often can reduce the number of facilities utilized for waste treatment and disposal, resulting in a more focused and cost-effective waste management program. In addition, these audits can be used to identify and eliminate the use of facilities that present unreasonable environmental risks that otherwise would not have been evident. 5-9 ------- TSD facility audits can be conducted using in-house staff or independent environmental consultants. These audits focus on four primary areas: (1) assessing the risks associated with facility operations; (2) reviewing the financial strength of the TSD facility; (3) understanding current past and present compliance issues; and (4) assessing the facility's management. After completing the audit, the team should prepare a report that allows a comparison of the positive features of the facility and the existing or potential environmental, operational, and financial risks of the site. 5.5.5 Pollution Prevention Opportunity Assessments Over the last five years, Federal agencies have begun to use pollution prevention opportunity assessments (PPOAs) as a tool for identifying and eliminating the underlying causes of compliance problems. By adopting a pollution prevention approach, agencies can reduce waste generation and environmental releases, and thus prevent compliance problems from occurring. Compliance problems may be resolved through a combination of best management practices, organizational or management changes, or technical modifications (e.g., material substitution or process modifications). PPOAs are broad in scope and combine aspects of both compliance audits and management audits. During the PPOA site visit, the assessment team may examine: facility operations; waste streams and environmental releases; management practices and systems; floor plans and facility lay-out; inventory control procedures; energy and water consumption; and materials usage. As with other types of audits, PPOAs can be conducted either by in-house staff or independent environmental consultants. However, unlike other audits, conducting PPOAs requires staff with specialized skills and expertise. Assessment team member should have received training in how to conduct PPOAs and should be aware of the resources and technical assistance available for identifying and evaluating pollution prevention options. The assessment team should produce a report which contains a ranked list of pollution prevention options, including cost benefit analysis and an evaluation of the technical feasibility of each opportunity identified. 5.6 TARGETING FACILITIES 5-10 ------- In most cases, agencies must set priorities for conducting audits at their facilities due to manpower and resource limitations. Depending on the nature of facility operations, some facilities will require more frequent and more extensive auditing than others. The following factors are frequently used in prioritizing facilities: Size of the facility - The physical area (both improved and unimproved areas), production levels, waste generation, and/or the number of employees. Risk - The likelihood of harm to human health or the environment caused by facility operations. Facility risk may include factors such as the type and quantity of toxic chemicals used, the type of products manufactured or processed, the age of the facility and history of accidents, the danger associated with the operations conducted at the facility, and the proximity and density of human population. Environmental factors - Certain site characteristics may make a location more susceptible to wide-spread environmental damage. Examples include aquifer recharge areas, porous soils, subsurface geology and hydrology, steep grades, prevailing wind direction, and close proximity to bodies of water. In addition, agency environmental staff should consider the presence of endangered or protected species in the area of the facility. Record of compliance - Facilities with poor compliance records may require more frequent auditing than those with good records (e.g., facilities operating under consent decrees, settlement agreements, etc.). Poor compliance may result from high worker turn-over rates, inadequate training, or a lack of attention to environmental issues on the part of upper management. In this case, environmental management audits may be helpful in demonstrating root causes to non-compliance. Agency environmental staff should begin to set auditing priorities by compiling information on these factors for each facility. If the agency has many facilities, staff may need to develop a matrix for ranking each facility based on the factors. By ranking the facilities, agency staff can prepare a prioritized list of facilities for auditing and a long-range auditing schedule. 5-11 ------- CHAPTER 6: PROGRAM ADMINISTRATION 6.1 OVERVIEW This chapter discusses the process of initiating and administering an environmental audit program based on the framework and procedures outlined in Chapter 5 of this guidance document. The success of an agency environmental audit program hinges on building a strong program foundation, including launching the program in a positive manner and carefully planning a strategy for each phase of the audit program. 6.2 PROGRAM INITIATION (GENESIS OF THE PROGRAM) Program initiation activities take as a starting point the work done in establishing the audit program long and short-term goals and objectives. A number of initial steps must be completed prior to formally launching the audit program. These steps should be carried out by the environmental staff under the direction of senior management. 6.2.1 Develop An Environmental Audit Policy The genesis of an agency environmental audit program often is the development of an audit policy or mission statement. This policy will set help to lay a solid foundation for future agency audit activities, establish the program's purpose and function, and educate and gain the support of agency facilities and employees. An agency audit policy should include: A detailed description of the scope, goals, and objectives of the program; A management statement that the program is intended to help facility managers improve compliance and reduce the potential for liabilities and is specifically not for the purpose of "checking on" facility managers; A discussion of how the audit program will be managed and administered; and A signature of an appropriate agency official, with a senior agency official named as head of the program. 6-1 ------- In addition to the agency audit policy, environmental managers also should develop a strategy for program implementation. Some of the issues that should be addressed include: Securing resources for funding the program; Assigning roles and responsibilities for implementation of the program; Supporting the audit policy through agency actions; and Determining the best way to communicate the goals, objectives, and results of the audit program to interested parties within and outside the agency. 6.2.2 Internal Versus External Audits Agency environmental staff should determine whether facility audits will be conducted using in-house or external staff early in the planning process. It may be possible to rely on facility staff to conduct audits at larger facilities, while audits at smaller facilities may require the involvement of agency headquarters staff. This decision is important with respect to program success because of the budgetary and internal management issues raised. However, if agency staff are used they should not report directly to line management as this presents the potential to jeopardize the audit's objectivity and ultimately its credibility. Another key issue is the objectivity of audits conducted by facility staff. This is especially important when using in-house staff and in such cases caution should be used to assure the objectivity of the audit. Additionally, agencies may consider the possibility of using outside agency personnel. If budget and personnel constraints permit, it may be desirable to use these personnel to conduct audits at other facilities and simultaneously train agency staff to allow them to conduct their own audits in the future. Finally, agencies should be aware that there is considerable expertise within the Federal government with respect to auditing. Therefore a federal agency may want to involve personnel from other federal agencies to conduct peer reviews of third-party audits to provide credibility and objectivity to the audit. Involving other agency personnel may also provide opportunities to benchmark other audit programs and make improvements to the agency's overall programmatic approach. 6-2 ------- 6.2.3 Use Of Contractors Versus Agency Staff Agency managers also should consider the option of using contractor support for conducting environmental audits. Advantages to using contractors for conducting audits include; audit objectivity, auditor qualifications, staffing issues, audit quality assurance, and such issues as medical monitoring for audit personnel. Contractors also may be used as a short-term alternative while agency staff are being trained on audit procedures and protocols. 6.3 PROGRAM MANAGEMENT ISSUES AND ACTIVITIES Program managers will have to make decisions regarding a wide range of issues as part of the administration of the audit program. Building a program centers around the completion of eight basic activities that are closely related to the activities discussed in the preceding section on program initiation. These include: (1) securing upper management support and resources; (2) securing support from agency field offices; (3) obtaining qualified personnel; (4) conducting medical monitoring of audit personnel; (5) conducting quality assurance and measuring audit program performance including ensuring consistency and objectivity of audit findings; (6) delineating and following audit reporting responsibilities; (7) conducting post-audit activities and implementing corrective measures; and (8) Integrating audit findings into the agency budget process.. 6.3.1 Securing Upper Management Support and Resources Success of an audit program requires a commitment from agency management to support the development, performance, and follow-up of audit findings and recommendations. Senior agency officials' commitment to the program helps to ensure the availability of resources and manpower and a willingness to follow-up on corrective measures in a timely manner. Upper management commitment can be expressed by signing the environmental audit policy, holding briefings with organizational directors and other stakeholders, and publishing articles in Agency newsletters. Management support should include commitments to the following areas of support: 6-3 ------- Adequate resources and staffing: This includes such issues as a training of audit staff in environmental technical and regulatory matters and proper interview techniques. It also includes providing equipment and facilities (monitoring and safety equipment, appropriate questionnaires and checklists, and if appropriate office space) so that audits are properly conducted. This aspect of a successful audit program is foundational. Upper management support is irrelevant without properly trained and equipped audit staff. Budget for program development and performance: This includes setting aside sufficient staff man-hours to plan and develop audit program objectives and overall goals. It is beyond training and staffing issue and is focused on the planning process such that audit program objectives are anticipated and provided for in future years. This might include a commitment to bring more costly audit program activities (but no corrective actions) on-line in a phased approach or expanding beyond compliance audits to management audits. This element is necessary in order for the audit program to develop and thrive over time and is evidence of management's commitment to an audit process rather than a one-shot audit effort. Follow-up with corrective action measures in both a budgetary and programmatic fashion: This involves the commitment to fund and support the actions necessary to correct deficiencies identified by having committed to the two prior activities. This includes a commitment to systematic permanent or long-term corrective action measures as appropriate. Without a commitment to correct the deficiencies uncovered by the audit findings, the audit program becomes an added liability to the agency as opposed to reducing its overall risk profile. 6.3.2 Support From Field Offices In addition to the support of agency headquarters management, the success of an environmental audit program requires commitment from the agency's field offices. This support is particularly important because the performance of audit activities generally occurs at the field level office level. This requires the cooperation of facility managers in furthering program objectives and diligence in addressing corrective action recommendations. Because agency senior management at headquarters is frequently far removed from the field office activities, and is more concerned with broader agency issues, it is essential that the field office management take a proactive role in advancing the agency's environmental auditing objectives. One method for ensuring facility level commitment to the agency's program is to appoint one or more individuals to the task of coordinating and tracking field office support for the audit program and then having those individuals report directly to upper management. 6.3.3 Obtaining Qualified Personnel 6-4 ------- To a great extent, the quality of the audit program depends on the competency of the auditors conducting the audit. If auditors and audit team members are not proficient in their duties, the audit being conducted will likely be flawed and reflect on the organizations overall environmental management system. Agency management and, in some cases, facility management and their staff will be looking to the audit team for guidance in improving their compliance posture, environmental management systems and overall risk profile. Therefore, it is imperative that the audit team be able to demonstrate having both appropriate knowledge of the issues included in the scope of the audit, and sufficient training and proficiency prior to participating in environmental audits. The qualifications of the staff assigned to conduct the audit should be commensurate with the objectives, scope and complexities of that particular audit assignment. Although audits will vary in scope, as previously mentioned, they all will require some degree of professional assessment of on-site conditions, and risks related to apparent problems such as areas of non-compliance, and weaknesses in management systems. Auditors must also be able to verify and document observations and findings and use professional judgement to form recommendations for correcting any observed deficiencies. These often include areas outside the scope of compliance requirements and extend to environmental management issues at the facility. Key areas of technical experience and training for environmental auditors should include at a minimum: technical training and experience appropriate to the scope of the audit, including an understanding of basic audit concepts, practices and procedures; knowledge of environmental regulations, the lines of inquiry and performance objectives contained in the audit protocol, and general standards called for in the scope of the audit; general familiarity with the type of process operations to be audited at the site and with the environmental issues likely to be associated with the various processes and related management issues. 6-5 ------- Above all the auditor must be flexible and know when and how to apply certain auditing approaches and theories in different situations. During the course of an environmental audit, auditors may encounter situations that are outside their experience or preparation for the audit. In such circumstances it is important for the auditor to adapt to varied and unfamiliar situations and not be limited to a particular approach. The auditor also should receive training in agency administrative procedures (e.g., procedures for reporting findings) to ensure that audits will be as consistent as possible from year to year. Along with audit protocols, program managers should develop quality assurance procedures to review each audit and determine whether audit protocols were followed. The audit team should include individuals whose skills and expertise are complementary. For example, one team member may specialize in air regulations while another specializes in wastewater issues. The optimal skill mix of team members will depend on the type of audit conducted and the Facility being audited. If the audit program involves the conduct of multiple audits, program managers may plan on obtaining resources for preparing and fielding more than one audit team. In addition to assuring that qualified personnel are involved in the audit, the roles and responsibilities of the audit team leader and audit staff should be clearly identified. The team leader is responsible for the actions of the audit staff and is responsible for any audit staff debriefings and exit interviews, as well as the overall conduct of the audit, and should take the lead in resolving any concerns or issues that might arise between the audit staff and the facility. In addition, the team leader is the contact point for any questions the facility personnel may have regarding the scope and purpose of the audit. The team leader should be qualified to manage a group of auditors and have sufficient experience to address any questions that might arise during the course of the audit. Finally, the team leader is responsible for communication with the facility regarding the report contents as well as the final report. Audit staff are to follow the specific tasks assigned to them prior to the beginning of the audit. Also, they should look to the team leader if they have questions about appropriate activities while on site. 6-6 ------- 6.3.4 Medical Monitoring If in-house staff will conduct most of the audits, program managers should secure resources for medical monitoring of team personnel. Medical monitoring is particularly important if team members conduct several audits a year at facilities where occupational exposure is an issue. Medical monitoring of audit staff has as its primary objective the protection of the auditors. Evidence of exposure of audit team members to hazardous substances is an indication of deficiencies in the auditor safety training program and should receive the highest corrective action priority from management. This is especially important because of the potential for liability due to worker exposure. 6.3.5 Quality Assurance and Audit Program Performance Measurement It is important to adequately document and analyze audit findings and observations to a high degree of quality and competence. This is necessary so that facility management, staff, and/or subsequent environmental auditors can refer to the audit report and can either concur, or if they disagree, understand the original findings and recommendations sufficiently. Therefore, once an environmental audit program is underway, there is a need to assess the consistency and objectivity of the audit findings. This can be accomplished by conducting a periodic (e.g., annual) review of the performance of the audit program. To accomplish these reviews, agency management should consider the use of third parties to evaluate audit program performance. This is a useful method for assessing program objectivity. Program performance review should include examination of past efforts as a tool for implementing future improvements and include assessments of: What has the program accomplished? Were the program goals and objectives met? What were the strengths and weaknesses of program protocols and results? What program corrections are needed to improve future audit efforts? 6-7 ------- 6.3.6 Reporting Responsibilities Environmental managers should implement a strategy for communicating the results of the audit report to upper management and facility personnel. Upper management and facility personnel should be informed immediately if the team identified any situations that pose an imminent danger either to shop personnel or the environment. In addition to discussing the findings, program managers should prepare an explanation of recommended corrective actions and an estimate of manpower and financial resource needs. Something as simple as an organizational chart with an attached matrix of facilities and identification of corrective action measures by facility may be helpful in informing management of audit program status. 6.3.7 Post-Audit Activities and Corrective Measures Environmental managers should streamline the process for resolving compliance problems and other issues identified during the audit. Corrective action may involve obtaining funding, preparing new standard operating procedures, site remediation, purchasing new equipment, training, and/or sampling and monitoring. Program managers should create a matrix for comparing and prioritizing corrective action projects. A system for tracking and monitoring corrective action projects may be needed for large facilities with numerous projects. Corrective measures for compliance problems range from temporary "quick fixes" to long-term preventive action (i.e., pollution prevention). For example, recurring spills in a particular shop may be resolved in the short term by replacing leaking containers. In the long term, depending on the economic feasibility, the shop may invest in improved secondary containment, better bulk storage and materials transfer equipment, as well as worker training and environmental awareness. 6.3.8 Budget Coordination and FEDPLAN Funding for projects (including environmental compliance and corrective action) typically is initiated at the installation or facility level, usually by the facility compliance officer or person in charge of environmental management. Projects requiring capital expenditures are usually considered line items in an agency's budget. Because of lag times in requesting and securing 6-8 ------- funds, it is necessary for agency environmental management to ensure that facilities are audited and budget requests for corrective action measures are submitted in a timely manner. Therefore, scheduling of audits and development of budget needs in response to audit findings should take into consideration the priority of the problems identified in the audit and the budget year cycle. This is critical because a costly compliance problem identified after submittal of an agency's budget could lead to significant problems for the agency. Once the budget needs have been identified, the agency must submit a report to OMB which describes the agency's plan for addressing environmental problems (refer to Chapter 2, Section 2.5). Agency management must develop a process for communicating the needs identified in the audit process into a report. Identification of compliance problems and development of budget needs based on audit findings will be moot if this is not translated into a request for funds to conduct needed corrective actions. As with the budget process, in scheduling facility audits, management should consider the timing of audits within the calendar year, this will allow sufficient time to address corrective action plans for serious deficiencies within the budget process. 6.4 LEGAL ISSUES 6.4.1 Written V. Oral Reports The use of oral versus written reports is a consideration when dealing with the disclosure of sensitive materials and/or the discovery of unregulated risk. As discussed in Chapter 3, it is virtually impossible to guarantee that internal investigatory reports will remain confidential. Therefore, in matters concerning possible liability, the use of oral reports is of little value and should not be encouraged. If an agency becomes involved in litigation, the underlying facts and the response to any problems identified by an audit will be uncovered through the civil discovery process. Audit reports will, however, have protection from FOIA requests while they remain in draft or preliminary stage. An additional problem with oral reports is that they do not exhibit the rigor and careful analysis of a well written report. Without notes, it is difficult to accurately recall and report specific facts discovered in an audit. Also, with oral reports, their immediacy may lead to an 6-9 ------- inclination to report in an emotional and opinionated fashion regarding an issue that requires reasoned examination. Further, the oral report and any notes made to produce the oral report may be subject to discovery as previously discussed In limited circumstances, agencies that deal with high security or matters of unusual sensitivity will be confronted with situations that argue against the written memorialization of an issue. Either the sensitive materials should be recorded in a separate notebook with limited distribution, or the less sensitive information should be written and sensitive material transmitted orally. This is a rare situation applicable to those agencies dealing with national security issues. The security related issues should be developed separately from the primary audit report and must be overseen in their entirety by agency legal counsel. The specifics of invoking national security protections is outside the scope of this document and is best undertaken by agency counsel. Also, there are legitimate procedures for protecting sensitive materials from disclosure and these procedures do not necessitate the use of oral reports. 6.4.2 Exit Interview Oral reports are appropriate at the exit interview, but must remain focused on facts rather than opinions. For example, it is appropriate to report that the audit team found a red and green substance flowing out of the unbermed hazardous waste storage area, or found crumbling white insulation material adjacent to the HVAC intake structure and will test this substance to determine if it is asbestos. It is not appropriate to report that the team found red and green hazardous waste flowing out of the illegal hazardous waste storage area in violation of state and Federal regulations. Such statements are conclusory and not sufficiently supported by analysis. 6-10 ------- 6.4.3 Document Protection And Retention All audit findings should be recorded in indelible ink in bound notebooks with pages that can be neither inserted nor deleted. In addition, all notes should become part of the site file. There are two distinct purposes behind these requirements. First, it provides a single source for audit results, there will be no question about the existence of additional materials. Second, it assures a measure of certainty regarding the recordation of the audit findings. It will be difficult to second-guess the findings with respect to completeness of the audit record if all entries are in bound notebooks written in indelible ink. Subsequent questions about whether some finding was deleted or changed, or whether a particular issue was addressed during the audit can be determined by reference to the notebooks. Audit team members should clearly identify the time and date the audit began, where on the facility it began, and clearly identify the point where the final walk-through ended. Auditors also should sign the notebooks when the audit is completed. These measures will provide some protection against alteration of audit findings. If there is a need to segregate audit findings because of security reasons, the audit team should not record the sensitive materials in the same notebook with the rest of the audit. 6.4.4 Involvement Of General Counsel The agency general counsel should be involved in the audit planning and conduct from the beginning to the final report. The general counsel's office role includes furthering agency policy of complying with all applicable Federal, state and local regulations, and this requires involvement at the earliest stages of the audit. The participation of the general counsel is also important in the event significant violations are uncovered, especially those that trigger statutory or regulatory reporting requirements. It is best to consult with the general counsel's office prior to the audit in order to plan for the discovery of violations or unregulated risk. If violations or significant unregulated risks are discovered, it is important that the general counsel carefully reviews the findings and takes an active role in notifying the appropriate regulatory agency. Violations must not be mischaracterized or omitted such that 6-11 ------- the audit be interpreted as an affirmative act of concealment. The perception that concealment is occurring can lead to additional and severe legal consequences. It is counsel's role to stress to audit team members and facility personnel that purposeful failure to report or be informed about violations or negligent conditions could be construed as "willful blindness" and possibly lead to civil or even criminal prosecution. In 1984, a Federal Court upheld the criminal convictions of a plant foreman and service manager finding that the RCRA penalty provisions apply "if they knew or should have known that there had been no compliance with the permit requirement" (United States v. Johnson & Towers, Inc., 741 F.2d 662, 664-665 (3rd Cir. 1984)). As is evident from this decision, turning a "blind eye" to violations may lead to severe legal liability. An additional and critical role for the general counsel is to assure that compliance is fully documented. It is essential that the agency leave a clear paper trail establishing that it has devoted resources to the management of environmental matters. The agency should ensure that corrective actions taken to address discovered violations are carefully documented in the final report. A prompt and thorough response to problems discovered in an audit is important with respect to minimizing the potential for future liability. 6.4.5 Report Distribution The audit notebooks and questionnaires should be retained in a central file by the audit team members. These notebooks are not to be disseminated or reproduced for non-audit team members, but should be available to the general counsel's office. The notebooks and the observations they contain are the factual basis for the final report. While it is appropriate to disseminate sections of the audit report to facility personnel for comment, it is best to limit distribution to those individuals qualified to comment on them. For example, the audit report section dealing with the facility wastewater treatment system should be circulated to the personnel responsible for that area, and to facility management. The purpose of the limited distribution is to maintain the confidentiality of the document during its development, while at the same time allowing an opportunity for open discussion of the issues among the responsible parties. 6-12 ------- CHAPTER 7: RESOURCES AND TOOLS FOR AUDITORS 7.1 OVERVIEW This chapter discusses the types of resources and tools auditors should have available to them when conducting environmental audits. All of these materials will not be required for every audit. However, auditors should be aware of and utilize all potential information resources appropriate to the scope and type of audit they are performing. 7.2 PRE-VISIT QUESTIONNAIRE (PVQ) A PVQ consists of a series of written questions directed at the facility environmental manager to determine the nature and extent of any facility environmental issues, as well as to alert the facility manager as to facility areas and documents to be reviewed during the audit. A PVQ typically is sent to the facility several weeks prior to the audit and should be returned in time to provide the audit team with sufficient opportunity to review the facility's responses and prepare for the site visit. It also is extremely important for facility personnel to fully respond to the questions raised in the PVQ and contact the audit team with any concerns or questions. The PVQ is an important tool for both the audit team and the audited facility in identifying particular areas of concern and setting priorities for audit efforts. A well crafted PVQ can significantly reduce the on-site time required to conduct the audit, thereby saving valuable and resources for other audit activities. The PVQ is useful in: identifying priority areas to review during the site visit; budgeting time for physical areas to be visited and issues to be reviewed; providing facility personnel with an opportunity to prepare documents and records; providing guidance to the facility on subjects that will be of interest to auditors; and alleviating the concerns of facility personnel regarding the audit process and results. 7-1 ------- To gain the full benefit from a PVQ, the questionnaire should be tailored to the facility being audited, as well as the type of audit being conducted. For example, the questions in a compliance audit PVQ should seek to collect information about the major environmental statutes and media that are of concern at the facility. Questions might include: Does the facility generate, treat, store, or dispose of hazardous wastes? Where is the facility located in proximity to potential receptor populations? Is the facility currently undergoing any regulatory enforcement actions? What are the main mission (industrial process) activities at the facility? Has the facility been notified of possible involvement at a Superfund site? Have analyses of hazardous waste streams been conducted and are the results available? These types of questions should be developed for each media and issue of environmental significance (such as air, water, PCBs, pesticides, and underground storage tanks). In addition, the PVQ may inquire as to whether the state or the Federal government has primary responsibility for a particular media, or whether local ordinances apply to the facility. Further, the types of questions asked in PVQs for different types of facilities also will vary. For example, an office complex PVQ might focus on asbestos and the presence of PCB- containing transformers, while an industrial facility PVQ likely would emphasize hazardous waste handling and disposal issues. A sample PVQ used by the U.S. Army in conducting environmental audits is exhibit in Appendix H. 7.3 PROTOCOLS/CHECKLISTS Protocols and checklists are the actual working documents which provide the audit team with an outline for conducting on-site audit activities. These documents allow the team to evaluate the recordkeeping, operational, and procedural elements of a facility's activities with respect to the regulatory requirements for a particular compliance area. For example, an audit protocol might include a pre-typed form which details facility statutory or regulatory 7-2 ------- requirements, the types of issues that should be addressed, where and by whom records are kept, questions or issues to raise to evaluate each of the above matters, and an area for the auditor's notes and comments. Protocols and checklists are essential tools for assuring that an audit has adequately addressed all Federal and state regulatory matters, including all permits, facility records, and facility environmental practices. They provide a consistent approach that promotes comparison between differing facilities and environmental practices, as well as evaluating the same facility over a period of time. However, protocols and checklists are not a substitute for critical thinking and should be used only as a reference point to affirm that an issue has been examined. In reviewing an environmental audit program, agency management should evaluate protocols and checklists to assure that they: are applicable to each type of agency facility; are pertinent to of the type(s) of audit(s) to be conducted; are periodically reviewed and modified to address new regulatory requirements and changes in audit program objectives; and include a review of facility management structure and procedures, especially with respect to chain of command and responsibility for remedial action. EPA, other government agencies, as well as private companies, have developed audit checklists, protocols, and software to assist auditors in conducting complete and efficient environmental audits. The products, such as EPA's Generic Audit Protocol, can be used as a starting point for audit teams in developing more targeted audit checklists and protocols that meet agency and facility-specific needs. The Generic Audit Protocol, as discussed elsewhere in this document, (See Section 5.5) is an excellent tool developed specifically for federal facilities for the purpose of assessing and managing a sound environmental program. Figure 4 contains portions of a sample checklist and worksheet from EPA's Generic Audit Protocol. 7-3 ------- Figure 4 Sample Checklist and Worksheet from EPA's Generic Audit Protocol Compliance Category: Hazardous Waste Management Regulatory Requirements: Reviewer Checks: HW.54. The handling of incompatible wastes, or incompatible wastes and materials in containers at generators must comply with safe management practices (40 CFR 262.34 (a)(l)(i) and 265.177). Verify that incompatible wastes or incompatible wastes and materials are not placed in the same containers unless it is done so that it does not: generate extreme heat or pressure, fire, or explosion, or violent reaction produce uncontrolled toxic mists, fumes, dusts, or gases in sufficient quantities to threaten human health produce uncontrolled flammable fumes or gases in sufficient quantities to pose a risk of fire or explosions damage the structural integrity of the device or facility by any other like means threaten human health or the environment (NOTE: Incompatible wastes as listed in Appendix 4-6 should not be placed in the same drum.) Verify that hazardous wastes are not placed in an unwashed container that previously held an incompatible waste or material. Verify that containers holding hazardous wastes incompatible with wastes stored nearby in other containers, open tanks, piles, or surface impoundments are separated or protected from each other by a dike, berm, wall or other device. HW.55. Containers used to store hazardous waste at generators should be managed in accordance with specific management practices (MP). Verify the following by inspecting container storage areas: containers are not stored more than 2 high and have pallets between them containers of highly flammable wastes are electrically grounded (check for clips and wires and make sure wires lead to ground rod or system) at least 3 ft (0.91 m) of aisle space is provided between rows of containers Satellite Accumulation Points HW.56. Generators may accumulate as much as 55 gal of hazardous waste or 1 qt of acutely hazardous waste in containers at or near any point of initial generation without complying with the requirements for onsite storage if specific standards are met (40 CFR 262.34(c)). (NOTE: The type of storage is often referred to as a satellite accumulation point.) Verify that the satellite accumulation point is at or near the point of generation and is under the control of the operator of the waste generating process. Verify that the containers are in good condition and are compatible with the waste stored in them and the containers are kept closed except when waste is being added or removed. Verify that the containers are marked HAZARDOUS WASTE or other appropriate identification. (NOTE: See Appendices 4-1, 4-2, 4-3, 4-4, and 4-5 for a guidance list of hazardous and acute wastes.) Verify that when waste is accumulated in excess of quantity limitations, the following actions are taken by interviewing the shop managers: the excess container is marked with the date the excess amount began accumulating the waste is transferred to a 90 day or permitted storage area within 3 7-4 ------- Compliance Category: Hazardous Waste Management Regulatory Requirements: Reviewer Checks: days. 7-5 ------- 7.4 LEGAL REFERENCES Legal references are source materials that provide agency and facility personnel with the text of regulatory or statutory language, or provide interpretation of statutes or regulations. Such references are necessary to determine compliance requirements and to guide environmental staff in carrying out their duties. Without adequate statutory and regulatory references, facility environmental staff cannot conduct a proper environmental management program and the audit team cannot properly assess facility compliance status. Agency management ultimately will bear the responsibility for the quality and effectiveness of their agency's environmental programs. Environmental staff should have ready access to source material and be knowledgeable about environmental statutes and regulations. It may be useful to have facilities identify those environmental statutes and regulations that impact their operations and organize these materials in a comprehensive file for facility reference. Facilities should have a single location that can be accessed for all facility statutory and regulatory guidance. The following is a list of basic print references that environmental staff should, at a minimum, have at their disposal: Code of Federal Regulations (CFRs) - Regulations specific to media and subject areas. Environmental Statutes - Federal, state, and local that apply to facility compliance areas. Additional selected materials that may be investigated as facility source materials include: Bureau of National Affairs (BNA) - Published annotated guides and references on environmental matters by media and cross-media issues which address legal concerns and Executive Orders that are either topical or fundamental to sound environmental management. The Environmental Reporter is a particularly useful source. CD ROM Software - Many Federal and state regulations and statutes are now available on CD and dramatically increase efficiency in searching for statutory or regulatory citations. 7-6 ------- Environmental newsletters specific to media compliance areas which provide abstracts of impending regulations or alert environmental personnel to upcoming issues. Examples include Inside EPA and Hazardous Waste News. 7.5 PHOTOGRAPHY EQUIPMENT An instamatic camera is an invaluable aid in documenting facility conditions and serving as a reminder to the auditor of specific areas and issues that require analysis in the audit report. Photographs are also useful for making a point regarding facility conditions without reference to a lengthy explanatory text. With a photograph, it is possible for subsequent auditors or even facility personnel to see exactly what conditions existed at the time of the audit. Further, photographs can be a valuable permanent record for the facility file. The audit team should obtain written permission to take photographs and should be briefed about areas where photographs are not permitted (i.e., high security or sensitive areas). The issue of photographs should be addressed prior to the actual site visit, either in the PVQ or at the initial on site meeting. 7.6 FIELD ASSESSMENT EQUIPMENT Typically, field assessment equipment is not a major component of an audit. However, field sampling equipment can provide a snapshot of particular conditions at the time the sample is collected. Sampling is most useful in verifying an auditor's assessment, but is not a substitute for critical and thorough review of facility records, site assessment, and interviews with facility personnel. Agencies should assess the cost of field sampling equipment, some of which is quite expensive to acquire and maintain and may require special training for personnel, prior to including site sampling in the agency audit protocol. If the use of field assessment equipment is deemed necessary, the facility should be informed of any planned sampling in the PVQ. Field sampling equipment may be useful in uncovering hidden problems that would normally escape detection. For example, field equipment capable of detecting organic vapors either in the soil or near suspect areas of contamination (e.g., stained soil or concrete) may lend more evidence to an audit observation and finding. Explosimeters, instruments that 7-7 ------- measure the concentration of methane gas, can alert auditors to the presence of such gases in concentrations before they become dangerous. If a facility is on a former sanitary landfill site, methane gas build-up, especially in confined spaces could be a problem. A simple device like an explosimeter can alert the audit team to the need for remedial measures such as proper venting of gas away from structures. Likewise, a portable gas chromatograph can allow auditors to determine whether a soil stain is or isn't evidence of serious contamination. 7.7 PROTECTIVE CLOTHING Protective clothing may be necessary in certain situations to protect audit team members from exposure to hazardous materials. Such clothing may be as simple as hard hats and protective eye wear, or as elaborate as respirators and chemical suits. For facilities that handle hazardous materials or conduct industrial operations, protective clothing may be required for entry into facility. For example, a facility that repairs military equipment may conduct complex industrial activities such as metal fabrication and chemical handling that would require hard hats, protective eye wear, steel toed boots, tyvek suits, and respirators. The need for protective clothing should be identified and audit personnel should be trained in the proper use of such equipment prior to arrival on site. 7.8 COMPUTER CAPABILITIES FOR TRACKING AND REPORTING The volume and complexity of environmental information collected during an environmental audit makes the use of automated information systems helpful in the effective management of an agency's environmental audit program. A number of commercial software packages have been developed to assist auditing efforts. Based on auditor inputs, these systems can: assist the audit team in developing PVQs and checklists/protocols; identify situations of non-compliance with statutes or regulations and flag these for further review; and provide report outputs that identify deficiencies, assist in corrective action recommendations, and detail positive attributes of the facility environmental program. Many systems also have data management capabilities that allow for the tracking of audit results and corrective actions, and alert the reviewer if the corrective action is not addressed. In addition, automated systems often have an extensive library of environmental statutes and regulations, as well as a glossary 7-8 ------- of statutory/regulatory terms. Most systems are user-friendly and provide on-screen help capabilities. Audit software should allow for customization of investigatory efforts and permit the development of outputs and report formats that are appropriate to a particular agency's mission and environmental issues. For example, a software package that does not have the ability to review and address pathological or infectious waste handling issues, or cannot be easily customized for that purpose, will be of little value for an audit of a health care facility. 7.9 ACCESS TO TECHNICAL REFERENCES Technical references such as U.S. Geological Survey (USGS) maps and soil survey maps/booklets can be useful in evaluating details about potential environmental risks posed by a facility. Such risks may include surface and groundwater contamination, as well as air emissions to local communities. Maps are useful for review of topographic features such as direction of water flow which could be important with regard to a facility's stormwater management plan or possible impact of facility operations on a nearby wetland. Local area maps displaying the location of structures such as schools and recreation areas may be important in assessing facility planning in response to accidental release of chemicals. A wind rose is a graphical representation of prevailing wind direction and intensity. It is useful in situations where facilities have significant air emissions issues, including defining areas potentially impacted by the emissions plume. These materials should be reviewed prior to each facility audit and kept as a permanent part of the facility audit record. 7.10 CHAIN OF TITLE REPORTS Chain of Title reports provide a sequential record of the ownership of a property based upon land title records. Land title records usually are maintained at the county courthouse in which the facility is located. Local firms often specialize in researching and writing such reports. A Chain of Title report is mandatory in a property transfer assessment, but can be equally valuable when conducting other types of audit activities. These reports can be an important component of audit findings, particularly if they reveal that the facility is located on property 7-9 ------- formerly owned by an industry or entity with significant environmental issues. If an audit uncovers onsite contamination, the Chain of Title report will be necessary in determining who owned the property at the time of the contamination and is therefore potentially responsible for site remediation. A Chain of Title report need not be undertaken for each audit event. Rather, a single report kept in a facility's permanent record is adequate. 7.11 AERIAL PHOTOGRAPHS Aerial photographs are invaluable as a reference point for reviewing facility structures and land use status. Review of aerial photographs over a period of years can reveal changes in land use activities and significant modifications in buildings and grounds at the facility, as well as adjacent land uses that could significantly impact facility operations. For example, historical photographs could reveal a former drum storage area or a wetland that is now filled in. Aerial photographs are available from a variety of Federal, state and local sources. These include Federal land stewardship agencies such as the Bureau of Land Management (BLM), the Department of Agriculture (USDA), or the Forestry Service (USFS). State and local sources include county zoning agencies and agriculture extension services. If appropriate and available, aerial photographs should be made a permanent part of a facility's audit record. 7-10 ------- CHAPTER 8: PRE-AUDIT ACTIVITIES 8.1 OVERVIEW An environmental audit is conducted in basically three major parts or phases including: (I) pre-audit activities; (2) on-site activities; and (3) post-site activities. Figure 5 provides a schematic overview of the audit process. Although accurately defining the objectives and scope of the audit are critical to its success and determining the depth of the investigation, it is important to understand that the numerous activities of the audit are not restricted to only a site visit. Careful planning prior to the on-site investigation and appropriate verification of audit findings and observations are just as critical to the success of the audit as the proper conductance of a site visit and related inspections. Careful preparation helps to ensure that the audit team accomplishes its goals during the site visit while using the least possible resources and labor time. Pre-audit preparation involves: (1) setting the objectives and scope of the audit; (2) planning and preparing the audit team for the site visit; and (3) preparing facility management for the audit. All pre-audit activities should be conducted based on a thorough understanding of the entire audit process. This chapter addresses the importance of setting the objectives and scope of the audit and the specific pre-audit activities that should be conducted by the audit team prior to the site visit. These activities include: developing the objectives and scope, planning and preparing the audit team for the site visit by developing a pre-visit questionnaire, reviewing relevant regulations, reviewing and refining protocols, and developing a detailed audit agenda. In addition, the importance of properly preparing facility management for the audit to ensure the success of the site visit will also be discussed. ------- Figure 5 Schematic Overview of the Audit Process PRE-AUDIT ACTIVITIES ON-SITE INVESTIGATION Set Objectives and Scope of Audit Select Audit Team Send Pre-Visit Questionnaire Review Completed Questionnaire > Review Operations and Regulations > Review and Refine Audit Protocols Prepare Facility Management for the Audit Review objectives and scope of audit Define specific informational needs Schedule the audit with facility management ANALYSIS AND REPORTING Entrance Briefing Facility Orientation Tour Detailed Review of Facility Practices and Management Systems In-depth Interviews > Additional Tours > Examine Records Review Procedure Record Site Observations Develop List of Preliminary Finding Exit Briefing with Facility Management I Detailed Information Analysis Preparation of Draft Audit Report i r Review of Draft Report by Facility I Final Audit Report with Corrective Action Plan ------- 8.2 SETTING THE OBJECTIVES AND SCOPE OF THE AUDIT Accurately defining the objectives and scope of the audit are necessary in order to ensure that the audit achieves the desired results. Clear and explicit objectives define the needs and expectations of the audit and establishes a benchmark against which the performance of the auditors or audit team can be judged. The scope determines the depth and boundaries of the investigation and determines what will be assessed and verified through the audit process. It is critical to the success of the audit that both facility management and the audit team members clearly understand and agree upon the scope and objectives of the audit. In addition, the audit objectives and scope should be clearly communicated along with the results of the audit to those who authorized it as well as to all recipients of the audit report. The objectives define the purpose of the audit and establish performance criteria for the auditors or audit team. The objectives are often determined by agency management or policies and reflect the needs of the agency environmental program and related policies. Facility management representing the facility to be audited may also have objectives for the audit. For example, the audit site visit may serve as a training mechanism for facility environmental staff, or a new storm water management plan may have been recently developed and facility management may be interested in a review and critique by the audit team members. Therefore, in addition to evaluating and documenting areas of apparent environmental problems and risks, the audit may provide the training of facility staff and an evaluation of the new document. After the audit objectives are determined, it is necessary to define the scope of the audit. The scope of an audit usually defines a specific procedure or area of investigation and can be influenced by factors such as facility conditions, cost, staff availability or other resource constraints. For example audits can focus on basic media areas (e.g., air, water, solid waste) if the environmental aspects and impacts of that facility obviate the need for investigating other areas of concern, (e.g., there are no underground tanks or petroleum storage vessels at the facility). However, for other facilities, a more comprehensive scope may be necessary to fully assess all 1-3 ------- environmental risks. In another example, a scope may focus only on areas on non- compliance if the environmental program at the agency is relatively new and limited funding for an audit program requires agency environmental management to prioritize immediate informational needs. Conversely, a more mature program at another agency may determine that the scope should focus on management systems (environmental management system audits) rather than compliance issues in order to identify root causes of the symptomatic problems at the site (e.g., persistent non- compliance with regulations). 8.3 PLANNING AND PREPARING THE AUDIT TEAM FOR THE SITE VISIT Environmental staff responsible for organizing the audit will spend a significant amount of time planning for an audit. Careful planning is crucial to ensuring that the limited time typically available for the site visit is used most effectively. Careful planning also minimizes the time necessary for follow-up activities after the site visit. Some of the factors environmental staff typically consider when planning an audit are: (1) the goals and scope of the audit; (2) the size and complexity of facility operations; (3) the facility's compliance history; (4) the audit team's familiarity with the site; (5) resources available for conducting the audit; and (6) the desired form and content of the final audit report. If a contractor will be conducting the audit, environmental management staff should develop a scope of work that clearly establishes roles and responsibilities for each phase of the audit (i.e., pre-audit, on-site, post-audit). If in-house staff are conducting the audits, the team leader should select team members and assign roles and responsibilities. Many of these roles as well as other important planning activities can be addressed in the pre-audit meeting. In addition to defining the roles and responsibilities of each audit team member, the audit team can strategize on important areas to be evaluated at the site and review necessary precautions such as the need for protective clothing and equipment (e.g., respirators) and procedures for entering controlled areas at the site. In addition, other concerns such as security clearances and the site visit agenda should be reviewed by the team to ensure conformance with established policies and agreements required by facility management. Regardless of who performs the audits, as part of the planning phase, the lead auditor or team leader should ensure that the members of the audit team: ------- clearly understand the goals and scope of the audit; understand audit team roles and responsibilities vs. team leader; understand the facility's operations, wastestreams, and environmental releases; are aware of potential health and safety issues and are prepared to handle them while on-site; have the correct checklists and protocols and understands how to use them; agree to follow the detailed audit agenda; understand how information collected on-site will be managed and presented in the final report; and have received a correct and completed PVQ from facility management. 8.3.1 Review Relevant Regulations Prior to the site visit, audit team members should review the environmental statutes and regulations pertinent to the facility activities. As discussed in Chapter 7, the PVQ can be useful in determining which statutes and regulations are significant. Special attention should be given to high risk activities and major facility activities. Regulations should be reviewed down to the level of specific audit items. For example, regulatory review for wastewater discharges should include: Federal Regulations: NPDES Permit Requirements (40 CFR 122) General Pretreatment Regulations for Existing and New Sources (40 CFR 403) Toxic Pollutant Effluent Standards (40 CFR 129) Oil Spill Prevention Control and Countermeasures (SPCC) Requirements (40 CFR 112) Designation of Hazardous Substances (40 CFR 116) Determination of Reportable Quantities for Hazardous Substances (40 CFR 117) 8-5 ------- State Regulations: Water Quality Standards Effluent Limitations for Direct Discharges Permit Monitoring/Reporting Requirements Operator and Superintendent Classifications and Certification Collection, Handling, Processing of Sewage Sludge Oil Discharge Containment, Control and Cleanup Standards Applicable to Indirect Discharges (Pretreatment) Regulatory review should include Federal, state, and local regulations. This may, at times, require a determination of which regulatory authority has jurisdiction over a particular issue. In some cases, this will require contacting local authorities to obtain sewer ordinances or local air quality management district regulations. As noted in the previous chapter, many Federal and state regulations are now available on CD ROM or on-line data services that also provide key word search capabilities. Agencies may wish to consider obtaining these services as a means to achieve significant savings in research time. 8.3.2 Review and Refine Audit Protocols Audit protocols should be reviewed prior to each site visit. Based upon the PVQ completed by the facility, the audit team should revise the protocols to emphasize those areas that are high risk, involve complex issues unique to the facility, or which pertain to major facility activities. For example, if a facility has 100 above ground storage tanks, but does not store or treat hazardous waste, the audit team may wish to modify the protocol to devote additional effort to the review of the facility Spill Prevention, Control, and Countermeasure plan (SPCC) or tank integrity testing issues, but minimize or eliminate those sections of the protocol covering 40 CFR 264 and 265 requirements under RCRA. I-6 ------- Audit protocols are not static, one size fits all documents. They are as different as each facility, although they may involve review of similar issues. Protocols also will change over time as regulations are revised and updated. As a result, protocols should be reviewed whenever major regulatory or statutory revisions occur, and revised as necessary. In addition, audit objectives may change over time. This is especially true if an agency achieves a high level of compliance and turns its attention to management audits or audits of unregulated risk. Protocols should be periodically reviewed to reflect these changes. After the audit is completed, audit team members should set aside a few moments to review the audit protocols to determine if they adequately addressed audit objectives. Based upon that review, the agency should consider making changes to the protocols as appropriate, or expand the site visit agenda to allow for an investigation or additional areas that were not reviewed. 8.4 PREPARING FACILITY MANAGEMENT FOR THE AUDIT Agency environmental staff should contact the facility first by telephone and follow-up with a letter prior to the site visit. Developing a positive relationship with the facility point of contact (POC) is vital to the success of the audit. Environmental staff should take care to set the right tone when contacting facility personnel. Environmental staff should communicate: Review Objectives and Scope of the Audit - Facility staff should be fully aware of the audit's objectives and scope. In addition, facility staff should understand how the audit results will be used both by their agency and, if appropriate, other outside agencies (e.g., EPA). Facility understanding of how the audit results will be used is particularly important in the case of compliance audits and management audits. A facility's expectations about the audit and its subsequent use should follow from any up-front agreements reached with the audit team. Critical person(s) needed for interview - Agency environmental staff should work with the facility to develop a list of persons to be interviewed during the site visit. Examples of typically individuals interviewed as part of a site visit include environmental staff, satellite accumulation point managers, and shop supervisors and personnel. Information needs - Agency environmental staff should provide the facility with a list of records and documents that will be reviewed during the site visit (e.g., permits, hazardous waste manifests). Providing the list of information needs prior to the ------- audit helps to ensure that the facility has time to collect the documents and have them available for review during the site visit. Time schedules - Agency environmental staff should work with the facility to develop a detailed agenda and schedule for the audit. The time schedule will depend on the size and complexity of the facility and the number of individuals that need to be interviewed. As discussed in Chapter 7 of this guide, the audit team should submit a Pre-Visit Questionnaire (PVQ) to the facility prior to the site visit to inform the facility about the audit. The PVQ also alerts the facility environmental manager as to reports and documents that should be available to the audit team and the facility personnel that the audit team will want to interview. A timely and well crafted PVQ will save the audit team considerable time by answering fundamental questions about facility practices and allows the audit team to focus the site visit on high risk issues or matters requiring a more detailed investigation. It is important to stress to the facility environmental manager the need to have the PVQ returned several weeks prior to the site visit. The PVQ and a follow-up phone call can aid the audit team in developing a good working relationship with facility personnel prior to the site visit and reassure the environmental manager about the purpose and goals of the audit. ------- CHAPTERS: ON-SITE ACTIVITIES 9.1 OVERVIEW This chapter provides a discussion of some of the primary issues that an audit team must address during a site visit. The emphasis in this chapter is on developing a consistent procedure for on-site activities. By developing and implementing a consistent audit policy, agency environmental managers will be able to compare and contrast the effectiveness of audit efforts across a spectrum of facility types, including those with distinctly different environmental concerns and compliance issues. 9.2 INTRODUCTIONS WITH FACILITY MANAGEMENT Agency environmental staff should provide the facility with sufficient advanced notice of the upcoming audit and should arrange a meeting time prior to the arrival of the audit team on site. The pre-audit meeting serves a number of purposes - it reassures the facility's management about the purpose of the audit and provides an opportunity to adequately schedule site walk- through and interview times, and ensure the availability of documents and reports needed by the audit team. The meeting also provides an opportunity to discuss issues that the facility managers wish to raise and allows auditors to gauge facility management cooperation with the audit process. 9.3 SITE INTERVIEW WITH PERTINENT FACILITY STAFF A sound audit program should identify the structure and chain of command (names and titles) for environmental issues at the facility prior to the initiation of the audit. When addressing a specific environmental issue, audit team members must be careful to direct their questions to the appropriate individuals. This is particularly important with respect to line staff who are involved in the day-to-day conduct of activities, but will likely be unaware of detailed environmental regulations. Auditors also must determine if the personnel they are interviewing have environmental responsibilities as a primary or secondary job assignment, and identify who is responsible for remedial action or remediation of violations if any are discovered. 9-1 ------- Examples of pertinent facility staff to interview may include: environmental staff; production supervisors; purchasing personnel; and accounting department staff. The interview provides an opportunity to develop a dialog with facility personnel prior to the site walk-through. It also affords the audit team a chance to review audit checklists and protocols as a means of planning for the walk-through. The audit team also can use interviews to clarify unclear PVQ responses and answer any questions the facility may have regarding information needs prior to the records review. Additionally, it is important to review with facility management audit objectives and scope. Not only will this make facility management feel they are part of the audit effort, it also may produce a more thorough audit. Facility managers that fully understand the audit scope and objectives may be able to provide information or insights that they would not otherwise realize are important to the audit effort. Finally, it cannot be sufficiently emphasized how important it is to identify all facility staff needed for audit interviews as well as confirming that resources needed by the audit team will be available. Also, as mentioned in Chapters 7 and 8, safety requirements (the need for hard hats, steeled toed boots, respirators, etc.) should be fully discussed prior to the site visit. 9.4 SITE WALK-THROUGH With the exception of the post site visit contacts with regulators and vendors, the site walk- through is the culmination of the data collection phase of an audit. The success of the walk- through is, in part, a product of leveraging the information collected in the PVQ, interviews with facility staff, and the other pre-site visit efforts. Ideally, the auditors should be sufficiently familiar with the facility and applicable regulations so that the walk-through helps to complete and enhance a previously developed understanding of the facility. Therefore, in developing a sound audit program, the agency should view the site walk-through as only one of many critical 9-2 ------- components of an audit. The walk-through should include a physical inspection of facilities, as well as observation for evidence of spills or other unpermitted releases or environmental impairment such as stained soil and pavement, or discolored vegetation or water bodies. During the site walk through it is a requirement that auditors stop at various points along the walk through and actively document their observations and findings in writing and not wait to return to a briefing or assembly room to record their notes. This is also the appropriate time to take any photographs, if permitted by facility management. The physical inspection should cover all environmental media and areas of concern (water, air, solid and hazardous wastes, PCBs, asbestos, and chemical and waste storage areas). If applicable, treatment systems (e.g., air scrubbers, wastewater treatment equipment) also should be inspected. The physical inspection should include an examination of all emission points, emission control devices and equipment, chemical handling areas including process chemicals, and environmental monitoring equipment. Also, auditors should examine the appearance of berm walls for cracks or staining, as well as tanks and piping for signs of deterioration. Both positive and negative observations and findings regarding facility conditions should be recorded at the time of inspection. It is important that reports regarding observations of release or environmental impairment, such as stains, be as factual as possible without resorting to subjective opinions. Information that should be collected regarding observed impairments includes: What is the physical observation made at the site (e.g., leak, spill)? What is the evidence of the nature and extent of contamination? When did it occur? How did it occur? Who is/was responsible for reporting it? Did corrective action occur and what was the outcome? Who is/was responsible for corrective action? Inspection of remote facility areas also is critical to the success of the walk-through process. Remote areas often are unintentionally neglected with respect to compliance and risk 9-3 ------- review, or may unknowingly be subject to dumping by third parties. This is particularly important for those agencies that oversee large facilities with many structures or significant acreage. As previously noted, agencies should encourage the taking of photographs of areas and equipment that will likely become principle findings (both positive and negative) if appropriate. This provides a convenient record for future reference and, in the event of liability issues, can be useful in establishing that the photographed area was inspected. As previously noted, audit team members should verify permission to take photographs prior to commencing the audit. 9.5 RECORD/DOCUMENTATION REVIEW The site visit at the facility should include a record and documentation review addressing Federal, state and local permits including air, water, and solid and hazardous materials and wastes (such as pesticides, PCBs, asbestos, and radioactive materials). If the facility is involved in the handling of hazardous materials, the audit should include a review of documentation such as MSD sheets, RCRA waste manifests, monitoring data, and regulatory permits. The records should include a review of all permit limits and conditions, permit renewal dates, and any monitoring required by the permit. Monitoring data should be carefully reviewed and reconciled against permit limits for that particular source. In addition, the audit team should evaluate the facility's environmental record-keeping procedures. Facility management should be alert as to the accuracy and completeness of the reporting data, and whether the monitoring has been reported to the appropriate agency. A sound monitoring program should include systematic inspection activities for all media sources. Documentation and record reviews should also include review of correspondence and/or notices pertaining to past or present enforcement actions or agreements, notices of violation, or compliance schedules. This is particularly important for two reasons. First, it provides a history of how the facility has performed and an indication of where it is headed, especially with respect to how the environmental enforcement agencies perceive that facility. Second, if the facility has inadequate records related to any of the above issues, it serves as a warning that the facility is not properly documenting is environmental status and may be keeping inadequate records in other respects. 9-4 ------- Manifests and bills of lading for chemical and waste materials also should be reviewed by the audit team. Environmental managers should have accurate records of who is removing wastes and/or hazardous materials from the facility, where the wastes are sent, and who at the facility is responsible for monitoring this activity. The review should include a meeting with the individual who signs the manifests/bills of lading. This is particularly important with respect to the disposal of hazardous waste and non-hazardous wastes. Removal of wastes by unauthorized haulers or removal to unauthorized treatment/disposal facilities is a violation of the law for which the agency can be held responsible. If a facility is using chemicals which require that MSDSs and other safety records be kept on site, it is important that the audit team identify these materials and assess their availability to personnel that are handling the chemicals. The audit team also should determine if the facility is placing adequate warning labels on chemical containers. 9.6 EXIT INTERVIEWS If the audit team leader chooses to conduct an exit interview, he or she should be careful about what is said and to whom. In these cases, the audit team leader must exercise sound judgment. Exit interviews should be conducted by the team leader, they should be limited to a brief oral summary of findings and should be conducted with facility management present. Auditors should avoid conclusory statements about possible violations and potential liability unless there is imminent danger of harm or release of hazardous materials. Conclusions regarding facility status typically should be discussed in final audit reports rather than in exit interviews. In most cases, conclusions are the product of careful and reasoned analysis of audit findings. Therefore, any discussion of audit findings should be confined to a recapitulation of the facts. This is especially important with respect to unregulated risks, as such issues may require additional review by agency management including consultation with the agency's general counsel. In some cases, it may be necessary for audit findings to be kept confidential until the agency has an opportunity to address matters uncovered by the audit. If confidentiality is important, sensitive issues should be reserved solely for examination and discussion by top level facility personnel and any written communications should be marked as draft or provisional. For example, if an auditor has strong suspicions about possible criminal violations of environmental laws, he or she should not use such pejorative terms in an exit interview but must call the 9-5 ------- agency's or facility's attention to the gravity of the situation. In such cases, it may be necessary to inform facility management that there are additional issues that require confidential reporting. In these situations, it is critical that the information be fully disclosed so that an investigation can be undertaken. It is especially important that sensitive matters not be discussed at exit interviews, except with those individuals that will bear responsibility for acting on them. Dissemination of information, either verbally or in writing, to large numbers of facility personnel could compromise confidentiality privileges. 9-6 ------- CHAPTER 10: POST SITE ACTIVITIES 10.1 OVERVIEW This chapter will address the post site activities that should be conducted upon completion of the on-site activities discussed in Chapter 9 of this guide. Post site activities include audit team debriefing, substantiation of significant findings, and gathering additional audit data. 10.2. AUDIT TEAM DEBRIEFING 10.2.1 Preliminary Issues Prior to the audit team debriefing, a meeting agenda should be circulated to all team members. The audit team debriefing should review the list of significant findings, discuss audit findings that requiring immediate action (i.e., the priority issues), and confirm report writing responsibilities, including regulatory reviews and contacts with vendors and regulators. The audit team should also begin formulating recommendations for corrective action while the audit experience is still fresh in their minds. Time should be set aside for team members to raise questions about the audit and/or request additional resources. The debriefing also is an excellent opportunity for regular review of audit protocols. A question and answer session can inform other audit team members of issues about which they have information requirements and is an opportunity to critique the audit effort and identify means for strengthening the audit program. Keep in mind that this debriefing is solely for the audit team. Facility exit interviews were discussed in the previous chapter. 10.2.2 Develop List of Significant Findings The audit team should organize it's significant findings in a manner that reflects the intent of the audit and the type of audit conducted. A compliance audit should be organized around compliance areas, while a risk liability audit may be best organized by media and level of risk, or by facility function and level of risk. For example, the audit findings for a compliance audit could be reported as follows: Record Keeping 10-1 ------- Overall environmental management Water and wastewater Hazardous materials Hazardous wastes Toxics (e.g., PCBs) Other areas (e.g., EPCRA, pathological wastes) By contrast, a risk liability audit might focus on the most significant liability areas regardless of any other issues, or evaluate risk by media or governing environmental statute. Risk liability audits might also be reported by facility area, i.e. liabilities concerning a process operation that encompasses air, water, and solid waste issues might be discussed as a discrete unit rather than be divided among separate discussions of air, water, and solid waste. The audit team debriefing should address all of these areas, including a discussion of positive findings for each area, as well as areas of deficiency or negative findings. The list of findings also should consider whether deficiencies are regulatory or procedural. Procedural deficiencies are those that are not in keeping with agency or facility practices but do not involve reportable violations of Federal or state regulations or statutes. It may also be helpful to break out or separate deficiencies into different media areas such as waste management, air emission management, etc. 10.2.3 Prioritize Audit Findings Each agency should develop a system for setting priorities among audit findings that allows for a consistent approach to addressing deficiencies. A consistent approach for addressing deficiencies includes targeting areas that pose the greatest liability potential or risk to the facility or agency such as immediate endangerment to human health and the environment. This requires a high degree of experience and professional judgment. These high priority issues will require an immediate response. If the most serious problem is a minor one, such as a recordkeeping violation, it should still be given the highest priority and dealt with as soon as possible. The system also should recognize excellence in environmental management. It also is important to identify and highlight sound environmental practices as these set an example for other facilities and departments. 10-2 ------- Two possible systems for setting priorities are described in greater detail below. Both systems take into consideration the specific activities and media/compliance matters at a facility. The first sets priorities on the basis of overall risk, regardless of the media at issue. The second establishes priorities on the basis of deficiencies within a specific media, without distinguishing whether deficiencies of equal rank within one media are more serious than those of equal rank in another media. The first system takes into consideration the specific activities and media/compliance matters at a facility and rates them on a hierarchy of risk. For a compliance audit, the media or compliance area that poses the greatest risk at the facility should be ranked first overall in terms of priority. Determination of the most important area can be made by the audit team alone or in conjunction with agency legal staff, and may be based upon any number of factors such as the media of concern or degrees of mass compliance area with the most number of problems or issues of concern; the area with the highest volume of waste production; or the area with the greatest potential for liability because of unique hazard characteristics (e.g., acute toxic or hazardous waste or proximity to receptor populations). The level or significance of the deficiency is then ranked (prioritized) in descending order from the highest to lowest. This is a subjective ranking which rates risks and deficiencies on the basis of specific facility activities. For example, if the asbestos abatement program is considered to be the greatest area of vulnerability or risk at the site, then a high level deficiency in this area would be the most significant one at the facility. This approach requires auditors to draw conclusions about which deficiencies pose the greatest overall risk potential, regardless of media or compliance area, and rates them accordingly. The second system is to rate the audit findings from the highest risk (a significant deficiency) to lower risks (such as major or minor deficiencies), within each media area, without assigning an overall highest risk. A significant deficiency is one that poses an imminent risk of release, endangerment of human health, threat to the environment, or threat to the successful conduct of the facility's mission. A major deficiency is one that requires action, but not necessarily immediate action. Major deficiencies typically are of a magnitude to result in a reportable violation to a regulatory agency but do not pose an imminent threat of release or endangerment. A minor deficiency is one that is primarily administrative such as recordkeeping violations (e.g., failure to sign a waste manifest form). 10-3 ------- The two suggested systems are quite different. The first subjectively prioritizes deficiencies on the basis of overall risk regardless of the media and defines a single worst risk. The second system uses environmental media as general categories and prioritizes risk by media without establishing an absolute hierarchy of which risk is most significant. The second system provides the agency or facility with flexibility in carrying out corrective action because it does not prioritize or rank deficiencies which are of the same category, but in different media areas. Thus, a significant deficiency in the water program would be of equal weight to a deficiency in the air program. However, for facilities with serious deficiency problems, such a system may not provide sufficient structure and direction with respect to corrective action. 10.2.4 Clarify Assignments for Audit Team Members An audit report typically contains an executive summary, a discussion of the audit process, an overview of the facility, and a discussion of findings and recommendations. The assignment of responsibility for writing these sections is up to the audit team leader, however, all audit team members should have the opportunity to review and comment upon the final report. With respect to writing the audit findings section, the auditor that reviews a particular area should be responsible for preparing the report section for that area (i.e., the report writing responsibilities should mirror the auditing process). For example, if one auditor reviewed all machine shop activities and its related media issues, the report may include a discussion of air, water, and hazardous materials issues for the shop prepared by that auditor. Ideally, report writing responsibilities should be allocated prior to the audit so that the individuals conducting the audit are aware of their responsibilities while on site. Assigning report writing responsibilities prior to the site visit also helps to better focus the auditors attention on details and the need to be thorough. If the report authorship is divided by functional areas as stated above, the audit team might consider a two-tiered review process in which selected individuals have responsibility for report review by environmental media. These individuals would review all findings for their assigned media (such as air, water, or solid waste), regardless of who actually audited or wrote the report section for a particular physical area of the facility. Finally, completion schedules for draft and final report sections should be determined at the time the assignments are made. 10-4 ------- 10.3 SUBSTANTIATION OF SIGNIFICANT FINDINGS 10.3.1 Regulatory Reviews A regulatory review should include a determination of what regulations apply to the facility, whether the facility is in compliance with the regulations, how the facility assesses or evaluates it's compliance, and whether and how facility environmental managers stay informed of regulatory changes. As a first step, the audit team should establish which federal, state, and local regulations (i.e., compliance areas) apply to the facility. For each compliance area, the auditors should determine who are the primary and secondary regulatory authorities (i.e., Federal, state, or local) and determine if there are overlapping authorities. Typical compliance areas include: Air Water and wastewater Solid waste Hazardous materials (PCBs, pesticides, organic chemicals) Hazardous wastes Community right to know Underground storage tanks There may be numerous issues at a given facility for each compliance area. For example, at a large Federal facility, water and wastewater issues may include NPDES permits, sludge permits, monitoring reports, indirect discharge issues, stormwater discharges, treatment plant operations, certification/licensing of plant operators, drinking water sampling and analysis, and related drinking water reporting requirements. If germane, each of these issues should be examined. The regulatory review should address whether the facility is in compliance with appropriate regulations and cover all media, including an affirmation if a particular media is not of concern. The review also should document records of all reportable non-compliance situations and corrective actions. Depending upon the scope of the audits to be performed, the 10-5 ------- audit team should ensure the existence of management procedures to prevent future non- compliance issues. A sound regulatory review also should include inquiries as to how facility personnel are kept informed of changes and updates in regulations and how regulatory evolution affects their responsibilities. 10.3.2 Phone Calls/FOIA Requests to Regulators Contact with regulators is helpful in substantiating audit findings. At the Federal and state levels, it is likely that responsibility for each environmental media will be handled by a different regulator. FOIA requests may take weeks or months to complete and therefore should be planned accordingly. Local health and/or environmental departments also should be contacted if findings indicate deficiencies or overlapping authority for a particular media area. As a general rule, these calls should: state identity and purpose of caller; avoid divulging unconfirmed non-compliance situations; determine when the facility was last inspected; ask about next planned inspection date; ask about any past or recent violations or enforcement actions; inquire into outstanding attributes about facility environmental practices; ask who the regulator deals with at the facility; and inquire if any of the facility vendors have been investigated or cited. 10.3.3 Vendors Improper or illegal environmental practices on the part of waste management or disposal vendors can be a source of facility liability with respect to cleanup costs if the facility is identified as a potentially responsible party under CERCLA. When investigating hazardous waste disposal vendors, auditors should make sure that vendors are properly handling and disposing of facility wastes. Auditors should also evaluate whether the vendor is competent to handle facility wastes. This is particularly important for liability purposes if it is later determined that the agency/facility failed to investigate the technical competence of the vendor. Also, 10-6 ------- auditors should carefully evaluate the prices charged by disposal vendors. Waste disposal prices that are unusually low or below market rates may be reason for further investigation. In addition there are a number of data bases that can be valuable in investigating vendors. CERCLIS is a data base that allows for identification of treatment/disposal facilities or even abandoned sites that are PRPs. This is particularly useful in identifying vendors that have CERCLA liability problems including those vendors that may have moved or opened a new location. Also, RCRIS is a data base that identifies RCRA facilities that have committed Class I violations of RCRA. If a RCRA facility is facing five-million dollars in RCRA clean-up liability but only has two-million dollars available to clean-up the violations, the auditors should be aware of the potential for the audit facility to become liable for future clean-up expenses. Keep in mind, however, that vendors also can be an information source to confirm facility management practices and audit findings, or a source of technical and/or compliance assistance for a facility. Vendor contacts should include verification that they in fact provide the reported services or equipment to the facility. Also, in the case of waste transportation or disposal vendors, the call should verify who the vendor deals with at the facility, how long they have been under contract, and where wastes are being sent. 10.4 IDENTIFY AND GATHER ADDITIONAL DATA It is not unusual for an audit team to identify additional data needs following the site visit. Typically, this involves verification of findings and observations on a particular issue or may include the need to follow a "paper trail" regarding reporting or monitoring requirements. In these situations, the need to collect additional data should be established as early as possible and one team member should coordinate all requests for the additional data, collect all questions from audit team members, and forward these to the facility for immediate action. The audit team should avoid repeated calls to the facility for additional data. As stated above, additional data needs typically should focus on securing monitoring data, reports, and other documentation and records. It is not usually intended that sampling and analysis be performed. For certain situations, such as stains on the ground, a sample can be useful in determining if a serious problem exists. If review of the audit findings indicates the need for sampling, this activity will require a significant lead time to complete and should be 10-7 ------- scheduled as a separate follow-up activity after the completion of the audit. Post-audit sampling is not intended to be an audit activity. Post-audit sampling is usually conducted in discrete phases. For example, an audit can be considered a Phase I investigation to evaluate and document the general range of apparent problems associated with the facility. A Phase II investigation is used to evaluate and characterize the nature and scope of environmental contamination and is beyond the scope of an audit or Phase I activity. A Phase III investigation is the point usually where field samples are collected and analyzed to confirm the nature and extent of contamination. In addition, post-audit sampling creates uncertainty regarding the situation at the time of the audit compared to the time of the sample collection. For example, an auditor may report the presence of discoloration in the effluent from the wastewater treatment system but return to the facility to find that the water is no longer discolored and that sampling reveals the wastewater well within permit limits for all parameters. Post-audit sampling, like securing written documentation should be limited to verifying observations and audit findings and is not intended as a means of expanding the scope of the audit. In those cases in which limited sampling is necessary and appropriate, as an assurance on validity, samples should be collected by experienced sampling technicians and preserved and analyzed in accordance with EPA sampling and analysis procedures. This includes the use of specialized sampling containers, the use of preservation techniques such as keeping samples cooled below a certain temperature, and in some cases, observing requirements for limited holding times. 10-8 ------- CHAPTER 11: REPORT WRITING AND FOLLOW-UP 11.1 OVERVIEW The audit report is the culmination of the environmental audit. The primary purpose of the report is to describe the findings of the audit team and provide a blueprint to assist facility staff in achieving and maintaining compliance. It is necessary to prepare properly both during and after the audit to produce a report that meets these needs. This chapter addresses a number of issues that should be considered in writing the audit report and conducting audit follow-up activities. 11.2 FIELD PREPARATION Audit team members can take several steps while still in the field to ease the report writing process. These include: Review and update notes on a daily basis to ensure that information is complete and identify any compliance areas that may have been overlooked. Schedule a few minutes following interviews to summarize the results in writing. The effort should be aimed at memorializing specific sets of facts and impressions regarding the interview. This will be invaluable in writing the report when the team has returned to the office and the interviews begin to run together in the auditor's recollection. Develop an annotated outline of findings. This also will prepare the auditor for the audit team debriefing, assure that all areas of the audit have been covered, and will help to organize field notes for later report writing. Assemble and critically evaluate the audit findings as a means of tightening and focusing collected information. This will aid in exposing flaws in the audit methodology and in identifying inadequately supported conclusions. Prepare a well developed audit team debriefing. These debriefing materials can form the nucleus of the audit report to be prepared. 11-1 ------- 11.3 REPORT PREPARATION It is essential that the audit report be prepared as soon as possible upon the conclusion of the site visit and post site activities. As discussed above, an annotated outline is helpful in this regard. Auditors should consider organizing notes by compliance area and writing introductory paragraphs for each section as soon as possible, perhaps even prior to the debriefing. Regardless of the format used, each agency should adhere to a consistent format to ensure that subsequent audit reports are prepared in the same manner. This allows for comparison of reports between different facilities to be made against common elements. It also allows for an easier assessment of how a specific facility is (or is not) improving its compliance status over time by comparing findings in one report to the findings in subsequent audit reports. The audit report should be written in clear concise language, with adequate supporting information. Indefinite adjectives such as "very," "some," "significant," "small," "high," "large," should not be used. Sensational language or hyperbole, such as "dangerous," "negligent," "willful," "criminal" also should be avoided. Auditors should actively avoid unsupported conclusions and inadequate descriptions. Nothing should be left to the subjective interpretation of the reader. All acronyms used in the report should be spelled out at their first usage. The report should contain accurate descriptions (distance and compass direction) of locations where specific items or situations are noted. When items are described, the specific item(s) being discussed is(are) should be identified (e.g., do not say that three drums were leaking; rather, identify precisely which three drums are leaking, either by indicating the exact location of the drums or be referencing something unique about those three drums such as an identification number). A good rule of thumb to use when writing a report is to provide a level of detail that is adequate to allow someone else to go into the facility and accurately identify what is being described in the report and understand the auditor's concerns with the issue(s). Overall, the report should be as short as possible without compromising on necessary details. 11.4 SAMPLE REPORT FORMAT 11-2 ------- Audit reports can take many forms and be organized in a number of ways, depending on agency needs and audit scope and goals. The following is a description of generic audit report. Section I: Description of administrative aspects of the audit. This includes the date the audit was conducted, who at the facility was interviewed, who performed the audit, what office or department was responsible for conducting the audit, and any limitations or exclusions regarding the audit scope or methodology, e.g., if the facility management refused auditors access to certain areas. Section II: Brief executive summary written for upper-level facility and agency personnel that highlights the key findings and recommendations of the audit report including a summary of compliance status. Section III: Description of each audit findings, priority rank or media category, and regulatory citation. This section should include the physical description of the facility and provide a detailed description of related facility media management areas and emission sources as well as a discussion of how there are controlled. Section IV: Recommendations or suggested corrective actions for the facility to come into compliance. These may range from simple administrative suggestions to recommendations for a capital improvement. The recommendations also may focus on the need for additional investigation or further analysis before a final solution is proposed. When presenting recommendations in the audit report, keep in mind that the final report is subject to public disclosure under the Freedom of Information Act. As a result, recommendations for corrective actions must be implemented by the facility or the facility may face increased liability risk. If there is some doubt regarding the implementation of the audit team's recommendations due to lack of resources, staffing or funds, then agency management and legal counsel should be consulted about the situation and plans for corrective action. Section V: Supporting data and information to provide relevant backup information (such as analytical data, any enforcement actions taken by regulatory agencies, copies of Notices of Violations, plot plans or maps, schematic diagrams, or photographs) should be presented here. The benefits of including supplementary material should be weighed against the impact that such material could have when the audit report is subject to public release. 11.5 REPORT FOLLOW-UP (COURTESY DRAFT TO FACILITY MANAGEMENT) All environmental compliance audit reports should undergo rigorous review by agency counsel, who should ensure that legal references are correctly stated and applied. The draft report written in the weeks following the audit also should be submitted to and signed by the 11-3 ------- facility manager, who should solicit comment from facility staff as appropriate. The draft report should then be submitted up the agency chain of command as appropriate. Chapter 2 of this guide addressed a number of recommendations for protecting draft reports from premature disclosure under FOIA under the predecisional and deliberative draft exemptions. Chapter 2 also discussed EPA's new audit policy regarding incentives to audit and that careful consideration should be given by facility management, agency general counsel, and agency senior management regarding the benefits of seeking treatment of audit findings under the 1995 EPA audit policy. Report distribution should be limited to those individuals with a "need to know." Numbering of draft reports is one method for controlling distribution. Each agency also should develop a formal records retention policy for auditors notes, draft reports, associated documents, and final reports. 11.6 DEVELOP ACTION PLANS AND CORRECTIVE MEASURES A sound audit program includes provisions for follow-up action on audit findings and recommendations. Audit reports should include a list of action items and an individual designated with responsibility for seeing the these items are addressed. Tracking can be as simple as follow-up phone calls to facility managers or may involve conducting a follow-up audit. Rather than setting a final date for a corrective action, it may be useful to set milestones for beginning, conducting, and completing corrective measures. 11.7 COMMUNICATIONS WITH SENIOR AGENCY OFFICIALS ON SIGNIFICANT REPORTS FINDINGS Communicating with agency officials regarding findings that have high potential for affecting agency liability, image, and budget is critical. As discussed previously, if the agency becomes involved in litigation concerning an audited facility, the audit report and supporting materials will be subject to discovery. If there are matters which appear to raise serious liability issues, agency legal staff or general counsel's office should take the lead in managing the distribution and dissemination of sensitive materials. This is done not as an attempt to conceal findings, but to inform and allow counsel adequate time to develop a response. The report should be written and sufficiently detailed such that agency management can make informed decisions regarding the audit findings and recommendations. Dissemination of sensitive 11-4 ------- findings to other than counsel and senior agency officials may compromise the agency's ability to address compliance or liability problems and should therefore be tightly controlled. 11.8 ENTER AUDIT FINDINGS AND RECOMMENDATIONS INTO A FORMALIZED TRACKING SYSTEM The environmental audit process should include the use of a formalized tracking system for recommendations. This is necessary to assure that findings and recommendations are specifically addressed on a definite schedule. The tracking system should identify the item, the planned action, and the anticipated date for completing action on that item even if the schedule calls for a long-term, multi-year effort. A number of commercial software audit packages are available that generate "tickler reports" on a predetermined schedule to alert facility or agency personnel regarding compliance or action item deadlines. Tickler reports are time sensitive reports that selected software packages can generate automatically, if instructed by the user, so as to alert the user that an important deadline is upcoming. Some of these systems will actually flash a message on the users computer screen on predetermined dates, alerting the user to a deadline. If an agency has responsibility for a large number of facilities, or is responsible for a few facilities with a significant number of issues, such products should be investigated. Further, it is important for an individual to be charged with specific responsibility for this task. If no one is specifically tasked with this responsibility, it may never be adequately addressed. 11-5 ------- 11.9 BUDGET FOR CORRECTIVE ACTIONS AND COORDINATE WITH FEDERAL BUDGET CYCLE Budgeting for corrective action and coordination with the facility budget requires cooperation between the audit team and either facility or agency financial staff. As an aid to federal facility personnel, EPA has developed the FEDPLAN program which is described in Chapter 2. In developing a budget for corrective actions, environmental audit team members should consider all aspects of the audit including non-compliance issues and unregulated risk that require funding. Audit team leaders should consider developing a hierarchy of compliance problems and unregulated risks and assign these to one of two budget needs categories; (i) capital expenditures, and (ii) management/training needs. These two categories should be prioritized to identify the most pressing problems within each category. Timely development of budget requests and integration with the agency budget planning process is essential for securing needed funds for corrective action and control of unregulated risks. To assure that the budget is developed and forwarded to management in a timely fashion, it may be necessary to assign responsibility for this activity to one or more persons. These individuals should identify all corrective action and unregulated risk issues that require immediate funding and forward these to agency management. Audit team members involved in this effort should be aware of the Federal year budget cycle and anticipate budget needs accordingly. 11.10 FOLLOW-UP AUDITS AND VERIFICATION THAT CORRECTIVE MEASURES HAVE BEEN IMPLEMENTED By developing action items and using tracking systems, an agency will have put in place only part of what is necessary to assure that corrective actions have been implemented. As discussed above, follow-up phone calls or even secondary audits addressing specific action items may be included in the audit process. 11-6 ------- Verification that corrective measures have been taken should include a paper trail. For example, if there is an action item to remove two leaking drums of hazardous waste, the verification should include manifests for where the waste was sent and paper work on the disposal or destruction of the leaking drums. Failure to implement corrective actions may result in outside pressure and adverse public relations if the final report is publicly released pursuant a FOIA request, or serious liability problems if legal proceedings are initiated against the agency. 11-7 ------- ENVIRONMENTAL SELF-ASSESSMENT FOR HEALTH CARE FACILITIES A QUICK AND EASY CHECKLIST OF POLLUTION PREVENTION MEASURES FOR HEALTH CARE FACILITIES February 2000 Prepared for Health Care Facilities in New York State by New York State Department of Environmental Conservation Pollution Prevention Unit George E. Pataki, Governor John P. Cahill, Commissioner ------- ACKNOWLEDGMENTS The New York State Department of Environmental Conservation (NYSDEC), Pollution Prevention Unit would like to acknowledge the cooperation of the U.S. Environmental Protection Agency Region n Office; NYS Department of Health, Albany, NY; Strong Memorial Hospital, Rochester, NY; Citizens' Environmental Coalition, Albany, NY; Beth Israel Medical Center, New York, NY; and the New York State Nurses Association, Latham, NY in the preparation of this document. The Pollution Prevention Unit would also like to acknowledge the following NYSDEC programs for their assistance in the preparation of the final copy: Division of Solid and Hazardous Materials; Division of Air Resources; and the Division of Public Affairs and Education, Bureau of Publications and Internet. ------- TABLE OF CONTENTS Introduction 1 The Environmental Self-Assessment for Health Care Facilities 2 Self-Assessment Checklists 3 Getting Started 3 Procurement of Commodities and Services 4 Medical Waste Incinerators 8 Hazardous and Solid Wastes 9 General Recommendations 9 Ethylene Oxide (EtO) 11 Glutaraldehyde 12 PVC (polyvinyl chloride) Plastics 13 Solvents 14 Mercury 16 Chemotherapy & Antineoplastic Chemicals 18 Batteries 19 Lamps 21 Photographic Chemicals & Scrap Film 23 Formaldehyde/formalin 24 Radioactive Waste 25 Medical Waste Stream 26 Recycling & Reuse 29 Housekeeping 30 Facility Maintenance 31 Next Steps 34 A Resource Guide 35 Trade Organizations 35 Local Assistance 37 State Assistance NYSDEC 38 Other State Agencies 40 Federal Assistance 41 Resources on the Internet 41 Appendices A. Health Care Facilities Instruments and Products That May Contain Mercury ... 43 B. Alternative Treatment Technologies 45 References 46 If you have any questions or comments regarding the use of this self-assessment please contact: NYS Department of Environmental Conservation Pollution Prevention Unit, 50 Wolf Road, Room 298 Albany, NY 12233-8010 Phone: (518) 457-2553 or (800) 462-6553 FAX: (518) 457-2570 Internet Address: http://www.dec.state.ny.us ------- INTRODUCTION The purpose of this manual is to assist New York State Health Care Facilities in the development of an effective pollution prevention program or improve programs which may already be in place. Implementing an effective pollution prevention program requires a continuous commitment by a wide range of health care personnel. Health care facilities that practice pollution prevention benefit the environment by reducing the volume and toxicity of material at its source before it becomes a waste. In addition, there are many benefits that health care facilities attain for implementing pollution prevention practices. Some of these include: * Improved environmental compliance. * Protection of human health by reducing the exposure of employees to chemicals in the workplace. * Enhanced community relations by demonstrating a commitment to environmental protection. * Economic benefits resulting from pollution prevention products that reduce and recycle waste. * Avoidance of long term liability. (Remember, you are responsible for proper management and disposal of the wastes that you generate.) * Positive press coverage for the health care facility. * Increased employee morale resulting from a healthier and safer work environment. The Environmental Self-Assessment for Health Care Facilities is a tool to help evaluate a health care facility's present performance in preventing pollution and identify opportunities for additional pollution prevention measures. If your facility has limited resources, the self-assessment should serve as a preliminary self-diagnostic tool that can be used before seeking any outside assistance. Technical assistance and pollution prevention approaches may be available from vendors, consulting engineers, professional organizations and the Internet. Assistance is also available from state and local environmental agencies, such as the New York State Department of Environmental Conservation's Pollution Prevention Unit and the NYSDEC regional multimedia pollution prevention coordinators. The New York State Environmental Facilities Corporation also provides free, confidential technical assistance to health care facilities that qualify under its Small Business Assistance Program (see "A Resource Guide," page 35, for a list of agencies, organizations and sites on the Internet that can provide technical information and assistance). An environmental self-assessment can prove worthwhile as a preventive strategy. It can identify procedure changes and housekeeping measures that will prevent damage to the environment and help your health care facility comply with environmental requirements. The checklists found in the self- assessment are designed to test a facility's performance in pollution prevention, waste reduction and recycling. For information regarding compliance with environmental rules and regulations, contact your regional NYSDEC multimedia pollution prevention coordinator and the NYS Department of Health (see "A Resource Guide," page 35). Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- THE ENVIRONMENTAL SELF-ASSESSMENT FOR HEALTH CARE FACILITIES The following checklist is a guide primarily intended for use by laboratory managers, administrators, environmental compliance personnel, purchasing officers, safety professionals, housekeeping managers, waste management supervisors and industrial hygienists involved with the day-to-day activities in a health care facility. To have a successful pollution prevention program, routine environmental self-assessments should be conducted. The self-assessments will help identify opportunities to incorporate pollution prevention measures in all aspects of administering medical services. Examples of health care facility areas and activities to be investigated can include, but are not limited to, laboratory services, patient floors, hemodialysis, intensive care and isolation units, cafeteria, purchasing, radiology and surgery areas. Review each section of the self- assessment with the manager and staff members who are most familiar with that particular activity in the facility. Responses to the questions should show whether potential hazards or polluting activities are occurring that may be addressed by purchasing and operational changes, equipment substitution or changes to housekeeping procedures. This self-assessment is only one in a series of steps that your facility should take to determine its regulatory compliance and to identify suitable methods of waste reduction. The checklist would be most effective when used with related tools, such as workshops and publications. For many facilities, the self-assessment will likely be as useful as a thermometer would be for a person with a fever: the symptoms may be measured, but an expert opinion may be needed to diagnose the problem and develop corrective measures. Following the completion of the self- assessment, consult this guide for additional information on the nature and type of pollution prevention techniques successfully applied by other health care facilities. Progressive health care facilities will use the environmental self-assessment to achieve the following goals: evaluate current pollution prevention practices and develop an ongoing pollution prevention program or strengthen a program which has already begun. Don't be discouraged by the sometimes difficult process of identifying and addressing environmental problems. Over the long haul, the measurable benefits of conducting and responding to regular environmental self-assessments may include reductions in: environmental hazards, exposure to enforcement, fines, insurance rates, waste handling costs and accidents. Benefits may also include an improved compliance record, improved worker safety and a healthier work environment. Making the effort to reduce the generation of materials at the source, or recycling waste on- or off-site demonstrates that you are being environmentally responsible. In addition, pollution prevention programs support a health care facilities mission of protecting the health of it's patients and staff. The Environmental Self-Assessment for Health Care Facilities provides useful information, but there is no guarantee, expressed or implied, that the information will identify all possible conditions and opportunities for pollution prevention. Compliance with environmental and occupational safety and health regulations is not the focus of this document and is the responsibility of the individual health care facility. Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- SELF-ASSESSMENT CHECKLISTS Review each question carefully and check the appropriate box. A Yes answer indicates that your health care facility has incorporated pollution prevention, waste reduction and recycling measures into its day-to-day activities. A No or Can't Determine answer indicates that an opportunity to prevent or reduce pollution may exist. Take notes on the questions that received a No or Can't Determine response. Use this self-assessment to create a working list of pollution prevention, waste reduction and recycling opportunities that should be explored in greater detail. You are encouraged to consult with the Department of Environmental Conservation's regional multimedia pollution prevention (M2P2) coordinators, the Pollution Prevention Unit located in Albany, medical associations, vendors and other pollution prevention coordinators for additional information and assistance (see "A Resource Guide," page 35, for a list of agencies and organizations that provide technical assistance on pollution prevention). Getting Started Yes No Not Can't Applicable Determine Has a project leader been designated who will Q be responsible for collecting information and organizing the self-assessment? Have all of the areas in the health care facility Q that will undergo the self-assessment been identified? (Some facility areas to consider include nursing, surgery, analytical and clinical laboratories, patient floors, burn units, hemodialysis, ICU, pathology, histology, purchasing, maintenance, radiology, admissions, medical equipment, cafeteria, chemotherapy and antineoplastics, pharmacy, nuclear medicine and autopsy.) Have you established short-term and long- Q term audit and implementation goals? (It may be easier and more rewarding to initially focus pollution prevention activities on specific areas or waste streams at the health care facility. The long-term goal should be to eventually establish pollution prevention programs for all applicable areas and waste streams throughout the facility.) a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Has a coordination team consisting of staff members familiar with the daily operations of their area been asked to assist in the self- assessment? Will the audit consist of a thorough review of each area to identify the types, quantities and rates of the waste generating activities? (Preparing material balances for the targeted activities is helpful for tracking the waste streams.) Yes a No a Can't Determine a Not Applicable a a a a a Procurement of Commodities and Services Does the health care facility have a central system in place for tracking and quantifying the amount of chemicals purchased, dispensed and disposed of? Does the current inventory system minimize the amount of waste that will be generated due to overpurchasing ? Upon arrival of purchased materials, is a central receiving department or person in charge for verifying that the order is correct? Are records kept of chemicals, medical supplies and equipment beginning with their arrival, the history of their use and final destination? Are procurement of chemicals and medical supplies done through a central department or a person familiar with the health care facility's pollution prevention and waste reduction goals? Yes a No a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Are products and materials that are brought into the facility by practitioners, who have acquired them from vendors, identified and tracked through a central department or a person familiar with the health care facility's pollution prevention goals? Are the acceptance of free samples, which most likely become waste, minimized? Are smaller quantities, as compared to past purchases, of infrequently used materials purchased? Is the inventory system designed to ensure that purchased materials are used in a first-in first-out order to avoid expiration of their shelf life? Are Material Safety Data Sheets (MSDS) maintained and made readily available to employees for all materials used in the health care facility? (This is an OSHA requirement.) Have employees been trained to safely handle the types of packages and chemicals that the health care facility receives? Does the health care facility have a procurement policy that requires vendors use minimal, reusable, recyclable, or returnable packaging containers when possible? Does the health care facility have a system in place to monitor the flow of shipments within the facility from receipt of raw material to disposal? Has the health care facility considered establishing a computer tracking system for monitoring chemical inventories and wastes? Does the health care facility use a standard procedure for the labeling of chemicals and wastes? Yes a No a a a a a a a a a a a a a a a a a a a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Do you use a supplier which will allow the health care facility to return unopened, surplus, obsolete or outdated supplies? (Note: Returning some medical supplies may be prohibited if the material is a hazardous waste and destined for disposal instead of evaluation/recycling by the manufacturer. Please contact the NYSDEC, Division of Solid and Hazardous Materials for further guidance.) Do you perform an inventory of the amount, type, purchase date and location of all chemicals on a regular basis? Is the chemical inventory used to assure that excess chemicals are not purchased? Do you perform an inventory of all waste streams on a regular basis? Is the waste inventory used to keep track of the types, amounts, locations and storage times for wastes? Does the health care facility have a procurement policy that requires using environmentally responsible products and purchasing least toxic alternatives when possible? Does the health care facility have a procurement policy that requires the purchase of postconsumer recycled-content paper and plastic where available? Does the health care facility have a program in place to phase out the purchasing of devices and products containing PVC plastic when alternatives exist? Yes a No a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Yes No Can't Not Determine Applicable Is the health care facility working towards Q Q Q eliminating mercury waste generation by the year 2005 as outlined in the Memorandum of Understanding Voluntary Partnership between the American Hospital Association and the Environmental Protection Agency? (More information on this partnership can be found on http://www.epa. gov/grtlakes/ toxteam/ahamou.htm ) Has the health care facility made a Q Q Q commitment to purchase mercury-free products whenever alternatives exist? Are these efforts and commitments reviewed Q Q Q regularly and are the results provided to the staff? Is there acknowledgment of pollution Q Q Q prevention improvements and successes? Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 7 February 2000 ------- Medical Waste Incinerators Emissions from medical waste incinerators can be a source ofdioxin, mercury, lead and hydrochloric acid pollution. According to the Environmental Protection Agency, the incineration of medical waste is one of the major contributors ofdioxin to the environment. In September 1997, the Environmental Protection Agency issued guidelines to control air emissions from hospital/medical/infectious waste incinerators. The New York State Department of Environmental Conservation (NYSDEC) has implemented these regulations. To meet these emission standards, hospitals may need to upgrade their incinerators with effective air pollution control devices or switch to affordable and effective alternative treatment technologies combined with pollution prevention strategies. Waste management plans must be developed and submitted to the NYSDEC from those facilities with regulated hospital/medical/infectious waste incinerators, as required in 40 CFR Part 60. (See Appendix Bfor NYS Department of Health information regarding Alternative Treatment Technologies.) Have alternative technologies for treating regulated medical waste*, such as autoclave treatment, chemical/enzyme disinfection, plasma/pyrolysis, thermal, biological, heat/steam/electro/radiation or microwave irradiation been explored to replace incineration? (* Refers to regulated medical waste as defined in the Public Health Law 1389 AA-GG-. Has staff been informed of the environmental and human health impacts of improper waste segregation and disposal? (The improper disposal of certain wastes can result in toxic releases, therefore, employee education is vital.) Can your health care facility determine how much of its waste stream is incinerated? Lbs. per year: Percentage of all waste: % Has the health care facility taken steps to eliminate the nonessential incineration of medical waste? Yes a No a Can't Determine a Not Applicable a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Hazardous and Solid Waste One of the best means of reducing and eliminating hazardous wastes that are generated or result from a spill is through better operating procedures and preventive maintenance. When conducting the self-assessment, keep in mind the follow ing pollution prevention ideas and practices which can be applied at health care facilities of all sizes. General Recommendations Has your health care facility assessed whether nontoxic alternatives exist for each hazardous material utilized? Has the quantity of hazardous waste being generated each month been determined? (The amount of hazardous waste generated and stored each month will determine which of the three categories of hazardous waste generator applies to your health care facility. The environmental compliance requirements will differ for each category. Assistance in determining your generator status and the applicable regulatory requirements should be directed to your regional NYSDEC office.) Have all the wastewater discharges been identified and evaluated to determine whether they are managed properly? (If the facility discharges directly into a municipal sewer system you should check with your local publicly owned treatment works (POTWS) to determine if there are certain discharge restrictions. Wastewater that is directly discharged into surface water or groundwater requires a State Pollutant Discharge Elimination System (SPDES) Permit.) Have employees been trained in the hazardous waste regulations (e.g., labeling, storage, spill prevention and manifesting requirements) related to the job they are doing? Do you have a written spill prevention plan? Yes a a No a a Not Applicable a a Can't Determine a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities A Checklist for Pollution Prevention February 2000 ------- Have employees been trained in spill reporting requirements? (Contact your regional NYSDEC office for spill reporting information.) Are spill and cleanup kits available nearby? Have employees been trained in identifying waste types and appropriate waste segregation? Are all waste streams properly segregated and labeled? Are chemicals stored in accordance with OSHA and manufacturers' recommendations? Are chemical containers returned to the supplier for reuse? Are hazardous wastes stored in a central location? Are mechanical aids used in handling drums to reduce spills? Is one person responsible for tracking the waste that is generated? Do you label everything to avoid contaminating waste streams that would normally be nonhazardous? (Large quantities of hazardous waste can be generated by inadvertently mixing waste streams.) Are containers kept closed, well organized and away from people and equipment that can cause it to spill? (Improper storage may cause a health risk.) Do you maintain a waste stream tracking system which includes information on the area of generation, quantity, waste constituents, storage time, container and ultimate disposal? Yes a a a a a a a a a a No a a a a a a a a a a Can't Determine a a a a a a a a a a Not Applicable a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 10 A Checklist for Pollution Prevention February 2000 ------- Yes No Can't Not Determine Applicable Do you return obsolete or surplus supplies to Q Q Q Q the vendor? (Note: Returning some obsolete or surplus supplies may be prohibited if the material is a hazardous waste and destined for disposal instead of evaluation/recycling by the manufacturer. Please contact the NYSDEC, Division of Solid and Hazardous Materials for further guidance.) Do the virgin/waste materials storage areas Q Q Q Q have a berm and sump drain to contain spills and leaks? If your storage area does not have a berm, do Q Q Q Q you use a self-contained spills management method, such as pallets that have built-in spill containment? Have you sealed all floor drains in areas that Q Q Q Q are used for the storage of hazardous materials (when practical) or made other preparations for containment? Does the health care facility store all Q Q Q Q hazardous materials and empty containers separate from nonhazardous materials and containers? Ethylene Oxide (EtO) Ethylene oxide or a mixture of EtO and chlorofluorocarbon (CFC) is used to sterilize medical devices. Ethylene oxide is a probable human carcinogen, as well as being flammable and explosive. In addition, chlorofluorocarbon (CFC) is an ozone depleting chemical. Yes No Not Can't Applicable Determine Are OSHA regulations and manufacturers Q Q Q Q recommendations for ethylene oxide being followed? Is the ethylene oxide equipment inspected Q Q Q Q regularly including checking the seal on the sterilizer doors and maintained according to manufacturers' recommendations? Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 11 February 2000 ------- Is the ethylene oxide equipment and air quality in the room tested regularly for possible leaks? Has the health care facility investigated the utilization of other sterilization methods? (Some possible alternatives include: radiation, vapor-phase hydrogen peroxide, steam, ozone and microwave radiation.) Does the health care facility have an EtO spill cleanup policy? Have the employees been properly trained in the use of EtO sterilization equipment and handling of EtO cylinders and cartridges? Yes a a No a a Can't Determine a a Not Applicable a a a a a a a a a a Glutaraldehyde Glutaraldehyde is primarily used in the cold sterilization of surgical, medical and dental equipment. It is also used in embalming, electron and light microscopy as a tissue fixative and in x-ray film processing solutions as a fixative. Yes Have the employees who work with glutaraldehyde been trained in its hazards, safe use, proper handling, spill cleanup procedures and waste reporting practices? No a Not Applicable a Can't Determine a Is emergency response equipment suitable for Q Q Q glutaraldehyde incidents available nearby? Are the containers storing glutaraldehyde kept Q Q Q closed when not in use? Is glutaraldehyde stored in appropriate Q Q Q containers which are in good condition? Are glutaraldehyde containers always checked Q Q Q for leaks and damage before moving or manipulating? a a a a Environmental Self-Assessment For Health Care Facilities 12 A Checklist for Pollution Prevention February 2000 ------- Yes No Can't Not Determine Applicable Is appropriate first aid equipment (i.e., eye Q Q Q Q wash) available in the areas were glutaraldehyde is being used? Are the employees handling glutaraldehyde Q Q Q Q provided with personal protective equipment? Is appropriate first aid equipment (i.e., eye Q Q Q Q wash) available in the areas where glutaraldehyde is being used? Is air monitoring being performed to prevent Q Q Q Q worker exposure to glutaraldehyde? Are the areas where glutaraldehyde is being Q Q Q Q used and stored equipped with proper ventilation systems? Are glutaraldehyde solutions being used in Q Q Q Q accordance with manufacturer's directions? Are employees instructed to use only the Q Q Q Q smallest amount necessary of glutaraldehyde solution? Has the health care facility investigated the Q Q Q Q utilization of other sterilization methods? PVC (polyvinyl chloride) Plastics Concerns about the health impact from the incineration of disposable chlorinated products, due to the potential formation and release ofdioxin to the environment, has prompted the USEPA to issue guidelines to control hospital medical and infectious waste air emissions. Products that may contain PVC plastic include: IV bags and tubing Patient ID bracelets endotracheal tubes Compression sleeves oxygen tents Thermal blankets vinyl gloves Resuscitation bags catheters Blood bags basins Packaging Mattress covers Bedpans Catheters Inflatable splints The use of alternatives products, an effective waste segregation program and pollution prevention strategies can help eliminate this discharge. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 13 February 2000 ------- Has the health care facility developed and implemented a PVC free purchasing policy? Have all of the products which contain PVC plastic been identified? Have PVC products been replaced by non- PVC products where possible? Have alternatives to PVC plastics products been explored? Has the health care facility considered switching from vinyl gloves to nitrile gloves? Does your health care facility recycle unused PVC plastic apparatus? (i.e., washbins, water pitchers, cups, etc.) Are sharps containers PVC-free (i.e., polyethylene or reusable)? If not, have these alternatives been considered? ;s a a a a a a a a No a a a a a a a a Not Applicable a a a a a a a a Can't Determine a a a a a a a a Solvents Health care facilities typically generate solvents in a variety of their daily functions, including pathology, histology, maintenance, embalming and laboratories. Many of these solvents may be classified as hazardous waste, and therefore are required to be properly treated and/or disposed. Pollution prevention strategies can be used to eliminate solvent use by using nontoxic alternatives, or to reduce both the toxicity and the quantity of spent solvents. Yes Has the use of aqueous reagents, simple Q alcohols and ketones (instead of petroleum hydrocarbons) and sonic or steam cleaning been considered to replace solvent-based cleaning? Are different solvent waste streams Q segregated so that they can be recycled? Are waste solvents being recycled off-site? Q No Not Applicable a a a a a a Can't Determine a a a Environmental Self-Assessment For Health Care Facilities 14 A Checklist for Pollution Prevention February 2000 ------- Has the use of an on-site distillation unit to recover waste solvents been considered? (Contact the NYSDEC for distillation unit regulatory information. Also, the quality and effectiveness of the recovered solvent should be evaluated before purchasing a distillation unit.) If different solvents are used for cleaning, can they be replaced with a multipurpose solvent that can be used for a variety of applications? Have you investigated nontoxic alternatives to replace solvents, where possible? Have you considered switching to less-toxic and less-flammable solvents? Has the use of premixed containerized kits for tests involving solvent fixation been explored? Have you investigated alternatives to using xylene in histology? Have you considered using calibrated solvent dispensers for routine tests? If solvents are utilized for cleaning, is it possible to reuse used solvent for initial cleaning of other areas and fresh solvent only for final cleaning? Yes a No a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 15 A Checklist for Pollution Prevention February 2000 ------- Mercury Mercury is bioaccumulative and persists in the environment. It is toxic to humans in all forms (organic and inorganic). The inappropriate disposal of mercury can cause it to be released to the air, water or land from wastewater discharges, spills, landfilling and incineration. The release of mercury to the environment can be reduced by using alternatives to medical devices containing mercury, cleaning up spills properly, recycling mercury containing products and properly handling and disposing of mercury containing equipment. See Appendix A for medical products and equipment that may contain mercury. Does the health care facility have a Mercury Management Program? Does the health care facility have a purchasing policy which includes a commitment to purchase mercury-free products whenever possible? Is the health care facility working towards eliminating mercury waste generation by the year 2005 as outlined in the Memorandum of UnderstandingVoluntary Partnership between the American Hospital Association and the Environmental Protection Agency? (More information on this partnership can be found on http://www.epa.gov/grtlakes/ toxteam/ahamou.htm ) Have equipment and supplies that contain mercury been identified? (See Appendix A for a listing of potential mercury sources.) Have laboratory chemicals been identified that may contain mercury? (See Appendix A for a listing of potential mercury sources.) Are mercury-free laboratory reagents being used that will achieve the same diagnostic results? Has the health care facility stopped sending mercury containing thermometers home with new mothers? Are mercury thermometers being phased out through the use of electronic sensors or temperature strips? Yes a a No a a Not Applicable a a Can't Determine a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 16 A Checklist for Pollution Prevention February 2000 ------- Is mercury-containing equipment, such as thermometers and blood pressure instruments, being replaced with mercury- free alternatives? (Possible alternatives for thermometers and blood pressure instruments include digital or disposable strips and electronic vacuum gauge, expansion or aneroid, respectively.) Does the health care facility completely drain and recycle all residual mercury from thermometers, blood pressure reservoirs, and other medical devices prior to discarding the equipment? Have you replaced mercury containing esophageal dilators (bougie tubes), cantor tubes, feeding tubes and Miller Abbott tubes with mercury-free alternatives? Are mercury vacuum apparatus (with the proper mercury vapor controls) and spill absorbent kits readily available to clean up mercury spills? (Residue from mercury cleanups must be properly disposed or recycled.) Have employees been trained in the hazards of mercury, spill cleanup and the proper handling and reporting of mercury waste? Have employees been trained on the correct procedures for segregating mercury waste? Are cantor tubes from the operating rooms and surgical units being disposed of properly by personnel? If mercury still exists in your hospital, is there a regular inspection of sewer traps and catch basins to prevent release of mercury to the environment? Yes a No a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 17 A Checklist for Pollution Prevention February 2000 ------- Chemotherapy & Antineoplastic Chemicals Chemotherapy and antineoplastic chemical waste can be generated during drug preparation, drug administration and spills. Yes Are the procedures outlined in OSHA Instruction PUB 8-1.1, January 28, 1986, Guidelines for Cytotoxic (Antineoplastic) Drugs being followed? Are unopened, surplus, obsolete or outdated drugs returned to the manufacturer? (Note: Returning some medical supplies may be prohibited if the material is a hazardous waste and destined for disposal instead of evaluation/recycling by the manufacturer. Please contact the NYSDEC, Division of Solid and Hazardous Materials for further guidance.) Are separate distinctively labeled containers available to keep chemotherapy wastes apart from other waste streams? Are chemotherapy wastes placed into a leakproof, rigid container and kept segregated from other wastes? Are drug containers purchased in amounts that minimize the amount of out-of-date material? Are drugs purchased in container sizes that permit formulation of daily dosages with the least quantity of excess product leftover? Can chemotherapy compounding stations be centralized to improve management of chemotherapy waste? Are appropriate personnel trained to transport and handle chemotherapy waste in a safe manner to prevent exposure? Are chemotherapy drugs prepared under a biological safety hood? No a Not Applicable a a a a a a a a a a a a a a a a a a a a a a a a a Can't Determine a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 18 A Checklist for Pollution Prevention February 2000 ------- Have employees been trained in chemotherapy drug handling, safety, waste minimization and, spill containment and cleanup procedures? Are spill cleanup kits available in the compounding area that contain both small and large absorbent devices? Yes a No a Not Applicable a Can't Determine a a a a a Batteries Batteries are used in a number of medical devices, such as defibrillators, hearing aids, fetal monitors, pagers, temperature alarm, blood analyzer, spirometer alarm, telemetry transmitter, hofler monitor and pacemakers. The batteries used in a health care facility can include: alkaline, mercuric oxide (mercury zinc), lead acid, lithium, zinc air button batteries, silver oxide button batteries and rechargeable nickel-cadmium. The inappropriate disposal of batteries may result in toxic releases occurring from medical waste incinerator emissions or landfill leachate. Yes Does the health care facility have written procedures regarding the proper management of used batteries? Do employees receive training on the health care facility's procedures for proper management of used batteries? Has the health care facility determined which types of used batteries are hazardous waste? (A battery is a hazardous waste if it exhibits one or more of the characteristics defined in section 371.3 of 6NYCRRPart 371, Identification and Listing of Hazardous Wastes. Some used batteries are likely to be classified as hazardous waste due to the various amounts of heavy metals such as lead, mercury and cadmium that they contain.) Are used batteries that are determined to be a hazardous waste handled in accordance with 6NYCRR Subpart 374-3 Standards for Universal Wastes? (Assistance with applicable regulatory requirements should be directed to your Regional NYSDEC office.) a a No a a a Not Applicable a a a Can't Determine a a a a a a a Environmental Self-Assessment For Health Care Facilities 19 A Checklist for Pollution Prevention February 2000 ------- Yes No Not Can't Applicable Determine Is it determined before purchasing batteries, Q Q Q which ones contain the lowest levels of heavy metals? (Possible alternatives include lithium, zinc-air, silver-oxide and alkaline.) Are all batteries inventoried and tracked? Q Q Q Does the health care facility use rechargeable Q Q Q alkaline and nickel-cadmium batteries? (A hazardous waste determination must be made on spent rechargeable batteries if they are no longer rechargeable and will be discarded.) Has the health care facility implemented a Q Q Q battery collection program? (Batteries that are determined to be hazardous must be managed in accordance with 6NYCRR Subpart 374-3 Standards for Universal Wastes. However, the collection program should take in all batteries. The hazardous waste manager can then sort through the batteries to determine appropriate waste management options. The NYSDEC, Division of Solid and Hazardous Materials, Bureau of Waste Reduction & Recycling at (518) 457-7337 maintains a list of battery recyclers.) Are employees trained in the proper Q Q Q management and segregation of used batteries? Are employees required to exchange a spent Q Q Q battery in order to receive a new battery? Note: For medical devices, there are Food and Drug Administration and Underwriters Laboratory certification concerns with replacing a battery. Please contact the equipment manufacturer before replacing a battery with a substitute to ensure that the device has been approved for use with the alternative battery. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 20 February 2000 ------- Lamps Many lamps frequently contain mercury and sometimes lead, principally because of the use of lead solder. Various lamps used in a health care facility include fluorescent, mercury vapor, high pressure sodium vapor, incandescent, high intensity discharge, metal halide, cathode ray tubes and ultraviolet. Mercury is a toxic, bioaccumlative pollutant; therefore, the proper management of spent mercury-containing lamps is essential for minimizing mercury releases. Management controls include safe handling to prevent breakage and keeping hazardous waste lamps from being disposed of in landfills and incinerators. Yes Have all of the various types of lamps used at the health care facility been identified? (These can include, but are not limited to, fluorescent, mercury vapor, high pressure sodium vapor, metal halide, incandescent, high intensity discharge and neon lamps.) Has the health care facility determined which types of spent lamps are hazardous waste? (A spent lamp is a hazardous waste if it exhibits one or more of the characteristics defined in section 371.3 of 6NYCRRPart 371 Identification and Listing of Hazardous Wastes. Many fluorescent, mercury vapor, high intensity discharge and other lamps frequently contain mercury, and sometimes lead, principally because of the use of lead solder.) Are there several convenient collection points for spent lamps throughout the health care facility? (Spent lamps from the collection points should be taken to a secure area for sorting and to prevent accidental breakage.) Are spent lamps being collected for recycling? (Contact the NYSDEC-Division of Solid and Hazardous Materials, Bureau of Waste Reduction & Recycling at (518) 457- 7337 for a list of recyclers.) Are employees trained in the proper management and safety procedures for reporting and responding to broken or nonworking lamps? No a Not Applicable a Can't Determine a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 21 A Checklist for Pollution Prevention February 2000 ------- Yes Are spent lamps that are determined to be a hazardous waste being handled in accordance with the Standards for Universal Wastes? (On July 6, 1999, the USEPA issued a final rule for inclusion of hazardous waste lamps in the Universal Waste Rule of 40 CFR Part 273. New York State has established a policy of enforcement discretion, effective January 6, 2000, with regard to the management of hazardous waste lamps as universal waste. This enforcement discretion policy will remain in effect until New York adopts the provisions of 40 CFR Part 273, for lamps, into6NYCRRSubpart374-3. Broken or crushed lamps determined to be hazardous cannot be handled as Universal Wastes and must be handled in accordance with applicable hazardous waste regulations. Assistance with applicable regulatory requirements can be directed to the NYSDEC Division of Solid and Hazardous Materials.) Are new as well as waste lamps being stored to prevent breakage? Are broken lamps separated, placed in a heavy plastic bag and put inside a sturdy container for disposal? Has the health care facility developed a plan to phase out mercury-containing lamps? Can lighting systems be upgraded to be more efficient? (The New York State Energy Research and Development Authority (NYSERDA) works with businesses, institutions, and municipalities to provide energy engineering and technical assistance. In addition, the Environmental Protection Agency's Green Lights program promotes energy efficiency in buildings. Participants are provided with unbiased technical information, customized support services, public relations assistance, and access to a broad range of resources and tools.) No a Can't Determine a Not Applicable a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 22 A Checklist for Pollution Prevention February 2000 ------- Photographic Chemicals and Scrap Film The radiology department may generate wastewater containing photographic chemicals and silver from film processing, scrap film, fixer solution and outdated chemicals. Yes Are all employees whose jobs involve contact with photographic chemicals and scrap film trained in the safety and the appropriate handling and disposal of these substances? Do you store photographic chemicals correctly to prolong their shelf life? (Some photographic chemicals are light and temperature sensitive.) Are lead foil film packets sent to a recycler? Are damaged and used x-ray films sent to a recycler? Is the silver from x-ray fixture solution recovered by an on-site silver recovery unit? If not, is the fixture solution collected and sent off-site for recycling? In nonautomated processing systems, is a squeegee used to wipe excess liquid from the film? (This procedure helps minimize the chemical contamination of baths and increases bath life.) Is countercurrent washing used in photographic processors to reduce wastewater generation? Are materials that have an expired shelf life tested for effectiveness prior to being disposed of or returned? (Note: Returning some medical supplies may be prohibited if the material is a hazardous waste and destined for disposal instead of evaluation/recycling by the manufacturer. Please contact the NYSDEC, Division of Solid and Hazardous Materials for further guidance.) No a Not Applicable a Can't Determine a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 23 A Checklist for Pollution Prevention February 2000 ------- Are the usefulness of the solutions in the photographic processing baths being extended by the following methods? - adding ammonium thiosulfate - using acid stop bath prior to fixing - adding acetic acid to fixing bath to keep pH low - Keeping baths in covered, airtight containers to reduce evaporation and oxidation Do you require that all photographic containers be clearly labeled with their contents? Yes No Can't Not Determine Applicable a a a a a a a a a a a a a a a a a a a a Formaldehyde/formalin Formaldehyde is used in embalming, autopsy, dialysis (formalin), specimen preservation and pathology. Have all areas been identified where formaldehyde/formalin is being used? Have you standardized formalin cleaning solutions in order to use the minimum strength required? Are proper air emission controls being used? Have you considered automating the dispensing of formalin to reduce excess amounts generated? Do you collect waste formaldehyde and formalin for proper disposal? Has the use of reverse osmosis waste treatment to reduce the dialysis cleaning demands with formaldehyde been explored? Has the reuse of formaldehyde in pathology and autopsy labs been explored? Yes a a a a a a a No a a a a a a a Not Applicable a a a a a a a Can't Determine a a a a a a a Environmental Self-Assessment For Health Care Facilities 24 A Checklist for Pollution Prevention February 2000 ------- Radioactive Waste In health care facilities, radioactive material is used in conducting in-vitro and in-vivo biomedical research work, clinical laboratory studies, and medical diagnostic and therapeutic procedures performed on patients. The types of radioactive waste that may be generated include solids, liquids, animal carcasses, or equipment contaminated with short-lived or long-lived radionuclides. Every health care facility that uses radionuclides may only do so in accordance with the authorization granted under its radioactive material license. The license requires that all resultant radioactive waste be properly managed and that waste minimization procedures be practiced. The health care facility's radiation safety officer is the person listed on the radioactive materials license who is responsible for ensuring that radioactive materials and wastes are properly managed, and that any disposal or discharge of radioactive materials to the environment is conducted in accordance with the 6 NYCRR Part 3 80 regulations issued by the NYS Department of Environmental Conservation. Any questions regarding the Part 380 regulations should be directed to the Department's Radiation Section at (518) 457-2225. Yes Is radioactive waste managed in accordance with the facility's waste minimization plan, as required by the radioactive materials license? Are all radioactive waste generating procedures periodically evaluated to ensure that radioactive waste is not created unnecessarily? Is radioactive waste disposed of by any of the following methods, in accordance with Section 380-4? Is radioactive waste disposed of by any of the following methods, in accordance with Section 380-4? - Returned to vendor - Decayed in storage - Released to the municipal sanitary sewer system - Under the biomedical exemption - Another method as authorized in a Part 380 permit - Shipped to a licensed disposal facility a a a a a a a a No a a Not Applicable a a a a a a a a a a a a a a a a Can't Determine a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 25 A Checklist for Pollution Prevention February 2000 ------- Medical Waste Stream Segregating nonregulated medical waste from regulated medical waste, at the point of generation, can significantly reduce the impact it has on the environment. Regulated medical waste should always be kept separate from hazardous, radioactive and chemotherapy wastes, whenever possible, to avoid mixtures that are difficult to treat and properly dispose of. In addition, the incineration of regulated medical waste should be limited to those waste streams requiring incineration as a treatment technology. Alternative technologies that are more environmentally friendly should be used for all other regulated medical waste streams. (Regulated medical waste is defined in Public Health Law 1389M<3G,) Has the health care facility established written standards for handling and disposing of regulated medical waste? Have all appropriate health care facility employees received training on proper waste stream characterization and segregation? Are employee's made aware of the reasons and need for segregating wastes properly? Are training programs provided to all appropriate staff on the proper management and safety procedures for handling and disposing of radioactive waste, hazardous waste (including chemotherapy), hospital waste and regulated medical waste streams? Has a comprehensive survey been conducted at the health care facility to determine the location of waste containers, the items deposited in each bag or container and the waste liner color? (Overuse of red bags may be taking place in some areas.) Is the health care facility staff separating waste streams into the correct waste stream categories? Are regulated medical wastes that contain hazardous or radioactive wastes segregated from nonhazardous and nonradioactive regulated medical wastes for proper disposal? Yes a a a a No a a a a Not Applicable a a a a Can't Determine a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 26 A Checklist for Pollution Prevention February 2000 ------- Is the regulated medical waste stream further separated into "sharps" and "nonsharps" waste to accommodate the proper treatment, recycling and disposal destinations? Are human pathological wastes and sharps, in the regulated medical waste stream, further segregated to accommodate proper treatment and disposal destinations? Whenever possible is regulated medical waste stored separate from hazardous or radioactive waste? Is regulated medical waste properly containerized as close as is practical to the point of generation? Has a modification of the regulated medical waste container layout at the facility been considered to reduce the volume of red bag waste resulting from the improper segregation of wastes? Have clear bag-receptacles been provided in appropriate areas to prevent the disposal of nonregulated medical waste into regulated medical waste red bags? Have you renegotiated contracts with regulated medical waste haulers to provide decontaminated, clean reusable containers? (Reusable containers should not be used for any other purpose). Do you use cadmium-free red bags? (Cadmium is used as a colorant in some red bags that can then be released during incineration.) Are waste containers clearly marked and easily accessible to facilitate proper waste segregation? Are soiled, broken or rusted waste receptacles replaced on a regular basis? Yes a a a a a a a a a a No a a a a a a a a a a Not Applicable a a a a a a a a a a Can't Determine a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 27 A Checklist for Pollution Prevention February 2000 ------- Yes Has the health care facility considered reducing the volume of infectious waste by placing alternative receptacles in the operating rooms? (Receptacles can be used to collect, under sterile conditions, the plastic packaging material that is used to seal the surgery supplies and instruments. These receptacles can then be closed and isolated from the main area to eliminate the risk of contamination from infectious/medical waste.) Are soiled, broken or rusted waste receptacles replaced on a regular basis? Are the appropriate size receptacles being used for the volume of waste generated? Are regulated medical waste containers properly sealed and labeled before they are moved to another location at the health care facility for storage, treatment or disposal? Is there a designated biohazard waste storage area clearly labeled with the word biohazard or the universal biohazard symbol! Is the biohazard waste storage area securely controlled with access limited to authorized personnel? Does the storage area have proper ventilation and mechanical controls (i.e., refrigeration) to maintain waste in a nonputrescent state? Is liquid biohazard waste discharged to a sanitary sewer in compliance with applicable state and/or local regulations? Is the biohazard waste storage area protected from the weather to ensure that the storage containers remain intact? Is the biohazard waste storage area maintained in a sanitary condition, free of rodents and insects and secure from vandalism? No a Not Applicable a Can't Determine a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 28 A Checklist for Pollution Prevention February 2000 ------- Recycling and Reuse Reuse and recycling programs can significantly reduce the amount of waste that your health care facility has to ship off-site for disposal, in addition to conserving our natural resources and eliminating the generation of hazardous waste that would otherwise result during manufacturing. Does the health care facility have a purchasing policy that requires postconsumer recycled content products be purchased when available? Has the health care facility replaced disposable supplies with reusable products, when the safety and health of patients and staff are not compromised? (Some reusable products to consider include: utensils and plates, sharp containers, rechargeable batteries, sterilization trays, bed pans, emesis basins, cloth gowns and drapes, slippers, male urinal basins, packaging totes, biohazard containers, recharged toner cartridges, bedpans, diapers and underpads). Does the health care facility use reusable decubitus mattresses to eliminate the need for disposable egg-crate pads? Does the health care facility currently have recycling programs in place for the administrative offices, waiting rooms and cafeterias? (Some of the items which can be considered for recycling programs include: office paper, newspaper, books, magazines, aluminum, bottles, glass, plastics, corrugated cardboard, junk mail. Contact the NYSDEC, Division of Solid and Hazardous Materials to find out how to start a recycling program at your facility.) Has the possibility of sending unused medical equipment overseas been explored? (Items suitable for donation can include syringes, gauze, gowns, sponges, operating room tables, wheelchairs and stretchers.) Yes a No a Not Applicable a Can't Determine a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 29 A Checklist for Pollution Prevention February 2000 ------- Housekeeping Yes No Not Can't Applicable Determine Are housekeeping employees trained in the Q Q Q proper management and safety procedures for radioactive waste, hazardous waste (including chemotheraphy), hospital waste, regulated medical waste and cleaning chemicals? Have employees been trained in spill Q Q Q containment and cleanup procedures? Are employees aware of the health care Q Q Q facility's recycling programs? Can multiple brands of cleaning compounds Q Q Q be replaced by a few detergents whose disinfecting strength is adjusted by the housekeeping staff? Has the health care facility considered Q Q Q limiting the variety of housekeeping solutions used? (i.e., Implementing a metering dispensing system for dispensing fewer chemicals in the proper amount and concentration.) Have less toxic cleaning products been Q Q Q identified and used? Have alternatives to cleaning chemicals and Q Q Q degreasers that contain mercury been explored? (To ascertain the mercury content of materials being used, request a copy of the Certificates of Analysis from all suppliers. Certificates of Analysis should list the mercury content in parts per billion (ppb), not as a percentage.) Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 3 0 February 2000 ------- Facility Maintenance Yes Are mercury thermostats, covered under the requirements of 6 NYCRR Subpart 374-3 Standards for Universal Wastes, being managed in accordance with these regulations? (Assistance with applicable regulatory requirements should be directed to the NYSDEC Division of Solid and Hazardous Materials.) Are pesticides, covered under the requirements of 6 NYCRR Subpart 374-3 Standards for Universal Wastes, being managed in accordance with these regulations? (Assistance with applicable regulatory requirements should be directed to the NYSDEC Division of Solid and Hazardous Materials.) Has the health care facility developed and implemented an integrated pesticide management plan that reduces to the greatest extent possible the use of chemical pesticides? Is it possible to reduce the amount of pesticide applications and/or use nonchemical pest control methods? If the health care facility generates used oil, are they in compliance with 6 NYCRR Subpart 374-2 Standards for the Management of Used Oil! Does the maintenance department collect and recycle waste cleaning solvents? Has an on-site solvent distillation system been considered as a way to recycle waste solvent? (Check with your local NYSDEC office regarding regulations that apply to distillation systems.) Are vendors required to take back pallets and/or packaging material? No a Not Applicable a Can't Determine a a a a a a a a a a a a a a a a a a a a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 31 A Checklist for Pollution Prevention February 2000 ------- Yes Are the concrete floors of the maintenance Q areas sealed with an impervious material to facilitate cleanup without using solvents? Are maintenance areas cleaned with a Q biodegradable detergent? Are your employees required to wipe up Q small spills as soon as they occur? Do maintenance personnel use dry methods Q for clean-up of small spills? Are maintenance personnel required to pick Q up absorbent material as soon as possible after the leak or spill has been immobilized? Has the maintenance department considered Q using water-based paints? Are waste towels being stored in a closed, Q metal safety container? Are instruments and products which contain Q mercury being collected and properly managed? (See Appendix A for additional maintenance equipment that may contain mercury). Does your maintenance department send its Q dirty shop towels to a commercial laundry service for cleaning? No Can't Determine a a a a a a a a Not Applicable a a a a a a a a a a Environmental Self-Assessment For Health Care Facilities 32 A Checklist for Pollution Prevention February 2000 ------- P2 Pays The University of Rochester's Strong Memorial Hospital implemented an effective mercury reduction program in which mercury-containing equipment was substituted with electronic and mercury-free equipment, and mercury compounds were eliminated from certain activities within the clinical labs. Mercury thermometer usage was the primary target of the mercury reduction program. Even though Strong Memorial Hospital performed approximately 750,000 temperature readings per year using electronic thermometers, there were still areas or situations where significant usage of mercury thermometers existed. These situations were evaluated and mercury thermometers were replaced wherever possible with electronic thermometers. During the course of the implementation, there were other opportunities to replace mercury containing items with mercury-free equipment. For example, mercury-filled sphygmomanometers were replaced with aneroid sphygmomanometers during the course of new construction, renovation, or as existing equipment was replaced. Also, mercury-filled gastrointestinal tubing was replaced with tungsten-filled tubing. Existing staff educational programs were upgraded to include mercury specific facts and handling procedures. In addition, the nursing policy was revised to discourage the practice of allowing patients to take mercury thermometers home with them. Other mercury reduction initiatives included the elimination of mercury compounds within the clinical labs whenever there is an alternative. Histopathology discontinued the use of mercury compounds in 1992. The same was also true for the installation of energy efficient lighting and the management of mercury-containing fluorescent lamps. In addition to the economic benefit to Strong Memorial Hospital as a result of the mercury reduction program, the real driver, in their opinion, was the win-win situation afforded by being mercury-free. All of the problems associated with using and disposing of a hazardous material were eliminated by replacement with nonhazardous materials. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 33 February 2000 ------- NEXT STEPS Following the completion of the self-assessment, you should be left with a list of operational areas where there are opportunities for pollution prevention. The next step is to obtain additional information to allow you to explore these opportunities and to determine which are cost effective and technically feasible without reducing service quality. A good first step is to consult the publications listed in the references section (see page 46). You should also check with vendors and request information about hospital supplies and medical equipment that are more "environmentally friendly." Other sources of information regarding pollution prevention are the trade organizations and local, state and federal programs listed in "A Resource Guide," page 35. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 34 February 2000 ------- RESOURCE GUIDE The following organizations provide technical assistance, publish information, conduct workshops and conferences; and provide telephone and on-site information on pollution prevention and better management of medical waste, air, water, solid and hazardous waste issues. Trade Organizations Joint Commission on Accreditation of Healthcare Organizations (JCAHO) One Renaissance Boulevard Oakbrook Terrace, IL 60181 Phone: (630) 792-5000 Fax: (630) 792-5005 Internet: http://www.j caho.org Greater New York Hospital Association (GNYHA) 555 West 57th Street, 15th Floor New York, New York 10019 Phone: (212)246-7100 Fax: (212)262-6350 Internet: http://www.gnyha.org American Hospital Association (AHA) - Chicago Headquarters One North Franklin Chicago, IL 60606 Phone:(312)422-3000 Fax:(312)422-4796 Internet: http://www.aha.org Healthcare Association of New York State (HANYS) 74 North Pearl Street Albany, New York 12207 Phone:(518)431-7600 Fax:(518)431-7915 Internet: http ://www.hanys. org New York State Nurses Association (NYSNA) Western New York Healthcare Association 11 Cornell Road Latham, New York 12110-1499 Phone:(518)782-9400 Fax: (518)782-9530 E-mail: infor@nysna.org Internet: http://www.nysna.org North Metropolitan Hospital Association 400 Stony Brook Court Newburgh, NY 12250-5162 Phone: (914) 562-7520 Fax: (914)562-0187 Internet: http://www.normet.org 1876 Niagara Falls Blvd. Tonawanda, NY 14150 Phone:(716) 695-0843 Fax:(716) 695-0073 E-mail: wnyha@wnyha.com Internet: http://www.wnyha.com Lowell Center for Sustainable Production Sustainable Hospitals Project Kitson Hall, Room 2000 One University Avenue Lowell, MA 01854 Phone: (978) 934-3259 E-mail: lcsp@uml.edu Internet: http://www.uml.edu/centers/LCSP/hospitals/ Environmental Self-Assessment For Health Care Facilities 35 A Checklist for Pollution Prevention February 2000 ------- Iroquois Healthcare Organization Clifton Park Office 17 Halfmoon Executive Park Drive Clifton Park, NY 12065 Phone: (518)383-5060 Fax: (518)383-2616 Syracuse Office 5740 Commons Park East Syracuse, NY 13057-9400 Phone: (315)445-1851 Fax: (315)445-2293 Internet: http://www.iroquois.org Health Care Without Harm National contact: Health Care Without Harm c/o Center for Health, Environment and Justice P.O. Box 6808 Falls Church, VA 22040 Phone: (703) 237-2249 Fax: (703)237-8389 E-mail: noharm@iatp.org Internet: http://www.noharm.org NYS Nurses Association 11 Cornell Road Latham, NY 12110 Phone: (518)782-9400 Fax: (518)782-9530 E-mail: info@nysna.org Internet: http://www.nysna.org Physicians for Social Responsibility/NYC 475 Riverside Drive #551 New York, NY 10115 Phone: (212) 890-2980 Fax: (212) 890-2243 E-mail: psrnyc@igc.apc.org Internet: http://www.psr.org.index.html Medical Society of the State of New York (MSSNY) MSSNY Office 420 Lakeville Road, P.O. Box 5404 Lake Success, NY 11042-5404 Phone:(516)488-6100 Fax:(516)488-1267 E-mail: mssny@mssny.org Albany Office 1 Commerce Plaza 99 Washington Avenue, Suite 2103 Albany, NY 12210 Phone:(518)465-8085 Fax:(518)465-0976 E-mail: mssnyalb@ix.netcom.com Internet: http://www.mssny.org Health Care Without Harm New York State contact: Citizens' Environmental Coalition 33 Central Avenue Albany, NY 12210 Phone:(518)462-5527 Fax:(518)465-8349 E-mail: cechcwh@juno.com New York Committee on Occupational Safety & Health (NYCOSH) 275 7th Avenue New York, NY 10001 Phone: (212) 627-3900 E-mail: nycosh@nycosh.org Internet: http://www.nycosh.org Environmental Self-Assessment For Health Care Facilities 36 A Checklist for Pollution Prevention February 2000 ------- Local Assistance NEW YORK STATE: University at Buffalo Center for Integrated Waste Management Jarvis Hall, Room 207 Buffalo, NY 14260-4400 Phone: (716) 645-3446, Ext. 2340 FAX: (716) 645-3667 METROPOLITAN AREA: NYC Dept. of Environmental Protection Environmental Economic Development Assistance Unit 59-17 Junction Boulevard, 11th Floor Corona, NY 11368-5107 Phone: (718)595-4462 FAX: (718) 595-4479 MONROE COUNTY: Monroe County Department of Environmental Services 444 East Henrietta Road, Bldg, #15 Rochester, NY 14620 Phone: (716) 760-7523 FAX: (716) 324-1213 ONONDAGA COUNTY: Onondaga County Resources Recovery Agency 100 Elwood Davis Road North Syracuse, NY 13212 Phone: (315)453-2866 FAX: (315) 453-2872 Hotline #: (315) 453-2870 BROOME COUNTY: Broome County Division of Solid Waste Management Edwin L. Crawford County Office Building P.O. Box 1766 44 Hawley Street Binghamton, NY13902 Phone: (607) 778-2250 FAX: (607) 778-2395 ERIE COUNTY: Erie County Department of Environment & Planning Office of Pollution Prevention 95 Franklin Street, Room 1077 Buffalo, NY 14202-3973 Phone: (716) 858-7583 FAX: (716) 858-7713 CHAUTAUOUA. CATTARAUGUS AND ALLEGANY COUNTIES: The Southwestern New York Environmental Compliance Network Jamestown Community College 525 Falconer Street, P.O. Box 20 Jamestown, NY 14702-0020 Phone: (716) 665-5220 ext. 446 FAX: (716) 665-2585 The Center for Business and Industry SUNY at Fredonia Lograsso Hall Fredonia, NY 14063 Phone: (716)673-3177 FAX: (716) 673-3175 Environmental Self-Assessment For Health Care Facilities 37 A Checklist for Pollution Prevention February 2000 ------- New York State Department of Environmental Conservation Pollution Prevention Unit Phone: (518)457-2553 Small Quantity Generator P2 Hotline (800)462-6553, Out of State: (518)485-8471 This technical assistance unit provides P2 information, develops industry sector manuals and other publications, offers workshops/training, holds annual pollution prevention conferences, coordinates NYS Governor's P2 Awards, and prepares annual toxic release inventory (TRI) reports. Division of Solid and Hazardous Materials Bureau of Hazardous Waste Management (518)485-8988 This bureau is responsible for making hazardous waste determinations, for reviewing hazardous waste reduction plans, hazardous waste permitting, and for hazardous waste compliance. Bureau of Waste Reduction & Recycling (518)457-7337 This bureau is responsible for the waste tire program, the beneficial use program, the composting program, and other solid waste recycling and waste reduction issues. Bureau of Solid Waste & Land Management (518)457-1859 This bureau administers the Part 360 Program, performs enforcement and monitoring, and conducts regulatory compliance inspections for landfills, waste- to-energy facilities, transfer stations and regulated medial waste facilities. Provides information on transporting and/or disposal of regulated medical waste as well as regulated medical waste generated in non- Article 28 and non-Part 58 facilities. Division of Water Bureau of Water Facilities Design (518)457-1157 Responsible for managing the State Pollutant Discharge Elimination System (SPDES) permits, the SPDES program for storm water discharges, the water resources programs, and the municipal water supply permits. Division of Environmental Remediation Bureau of Spill Prevention and Response (518)457-9412 This office is responsible for the registration of tanks, presenting workshops and training, developing publications, receiving spill notifications, and serves as an information clearinghouse for industries and the public. Spill Response Hotline (800) 457-7362 To report releases of petroleum products or hazardous substances to air, land or water in New York State. Regulations require reporting within 2 hours if certain conditions are not met. Also, the National Response Center should be notified (see listing on page 41). Petroleum Bulk Storage Hotline (888)457-4351 Provides technical assistance on chemical and petroleum aboveground and underground storage tanks. Environmental Self-Assessment For Health Care Facilities 38 A Checklist for Pollution Prevention February 2000 ------- Division of Environmental Permits Phone: (518)457-2224 This office is responsible for issuing permits to waste haulers that transport solid and hazardous, industrial & commercial, sewage andseptage waste. Division of Air Resources Bureau of Stationary Sources (518)457-7688 This bureau is responsible for source review, permitting, MACT, NASHAP implementation, and air toxics assessments. NYSDEC - Regional Offices REGION 1 Nassau & Suffolk Counties SUNY Campus Loop Road, Building 40 Stony Brook, NY 11790-2356 Phone: (516)444-0354 REGION 2 Bronx, Kings, New York, Queens & Richmond Counties 1 Hunters Point Plaza 47-40 21st Street Long Island City, NY 11101-5407 Phone:(718)482-4900 REGION 3 Dutchess, Orange, Putnam, Rockland, Sullivan, Ulster & Westchester Counties 21 South Putt Corners Road New Paltz, NY 12561-1696 Phone:(914)256-3000 REGION 4 Albany, Columbia, Delaware, Greene, Montgomery, Otsego, Rensselaer, Schenectady & Schoharie Counties HSOWestcottRoad Schenectady, NY 12306-2014 Phone:(518)357-2234 REGION 5 Clinton, Essex, Franklin, Fulton, Hamilton, Saratoga, Warren & Washington Counties Route 86, PO Box 296 Ray Brook, NY 12977-0296 Phone:(518)897-1200 REGION 6 Herkimer, Jefferson, Lewis, Oneida & St. Lawrence Counties State Office Building 317 Washington Street Watertown, NY 13601 Phone:(315)785-2238 REGION 7 Broome, Cayuga, Chenango, Cortland, Madison, Onondaga, Oswego, Tioga & Tompkins Counties 615 Erie Blvd. W. Syracuse, NY 13204-2400 Phone:(315)426-7400 REGION 8 Chemung, Genesee, Livingston, Monroe, Ontario, Orleans, Schuyler, Seneca, Steuben, Wayne & Yates Counties 6274 East Avon-Lima Road Avon, NY 14414 Phone:(716)226-2466 REGION 9 Allegany, Cattaraugus, Chautauqua, Erie, Niagara, & Wyoming Counties 270 Michigan Ave. Buffalo, NY 14203-2999 Phone:(716)851-7000 Environmental Self-Assessment For Health Care Facilities 39 A Checklist for Pollution Prevention February 2000 ------- Other State Agencies Empire State Development (BSD), Small Business Division, Clean Air Act Small Business Ombudsman 633 3rd Avenue, 32nd Floor New York, NY 10017 Phone: (800) STATENY For assistance in determining how regulations may affect a business and in communicating with state regulatory agencies; sets up workshops; and handles complaints. NYS Department of Health Corning Tower Empire State Plaza Albany, NewYork 12237 Phone:(518)485-5378 For questions concerning the management of regulated medical waste as it pertains to the Public Health Law 1389 AA-GG. NYS Environmental Facilities Corporation Small Business Assistance Program 50 Wolf Road, Albany, NY 12205 Hotline: (800) 780-7227 Phone:(518)457-9135 FAX: (518)485-8494 Provides fee-free technical assistance, interprets requirements, provides advice on pollution prevention and control strategies and conducts environmental audits. EFC also provides fee-based contractual technical advisory services for a broad range of environmental issues. NYS Department of Health Wadsworth Center - Regulated Medical Waste Program Phone:(518)485-5378 Provides a list of approved treatment technologies and information on the application procedures to obtain approval for alternative treatment systems, as well as questions related to efficacy test methods and results. Federal Assistance Pollution Prevention Information Clearinghouse Phone: (202)260-1023 Fax: (202) 260-9780 E-mail:ppic@epamail.epa.gov Provides a library and an electronic bulletin board dedicated to information on pollution prevention. U.S. EPA Region II Compliance Assistance & Program Support Branch 290 Broadway, 22nd Floor New York, NY 10007-1866 Phone: (212) 637-3268 To receive technical assistance and guidance on compliance, pollution prevention and waste minimization issues on a multimedia basis. U.S. EPA Asbestos and Small Business Ombudsman Hotline Phone: (800)368-5888 Helps private citizens, small businesses and smaller communities with questions on all program aspects with EPA. National Response Center Phone: (800)424-8802 EPA's 24-hour hotline for reporting oil and chemical spills to the Federal Government. This hotline is manned by the U.S. Coast Guard. RCRA/Superfund/EPCRA Hotline Phone: (800)424-9346 To obtain information on matters related to solid waste, hazardous waste, or underground storage tanks. Also can be used to order EPA publications. Environmental Self-Assessment For Health Care Facilities 40 A Checklist for Pollution Prevention February 2000 ------- Internet Resources Organization Joint Commission on Accreditation of Healthcare Organizations American Hospital Association Greater New York Hospital Association Healthcare Association of New York State, Inc. Iroquois Healthcare Alliance Medical Society of the State of New York Northern Metropolitan Hospital Association Western New York Healthcare Association World Health Organization Health Care Without Harm Centers for Disease Control and Protection U.S. Department of Veterans Affairs New York State Nurses Association Tellus Institute North Carolina's Division of Pollution Prevention and Environmental Assistance NEW YORK STATE Empire State Development Services to Business NYS Department of Environmental Conservation NYS Environmental Facilities Corporation NYS Energy Research and Development Authority U.S. EPA Green Lights Partnership Enviro$en$e Technology Transfer Network Climate Wise U.S. DEPARTMENT OF ENERGY Pollution Prevention Information Clearinghouse Internet Address http://www.jcaho.org http://www.aha.org http://www.gnyha.org http://www.hanys.org http://www.iroquois.org http://www.mssny.org http ://www.normet. org http ://www. wnyha. com http://www.who.int http ://www. noharm. org http://www.cdc.gov http://va.gov http://www.nysna.org http ://www.tellus. org http://www.p2pays.org http://www.empire.state.ny.us http://www.dec.state.ny.us http ://www.nysefc. org http ://www.nyserda. org http://www.epa.gov/greenlights.html http://www.es.epa.gov http://www.epa.gov/ttnsbapl/index.html http://www.ega.gov/climatewise http: //epi c. er. doe. gov/epi c Environmental Self-Assessment For Health Care Facilities 41 A Checklist for Pollution Prevention February 2000 ------- PACIFIC NORTHWESTLABORA TORIES Green Guide http://www.pnl.gov Pollution Prevention Resource Center http://www.pprc.org Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 42 February 2000 ------- Appendix A Health Care Facilities Instruments And Products That May Contain Mercury The following information was obtained from: Reducing Mercury Use in Health Care, Promoting a Healthier Environment, A How-to Manual, prepared by Monroe County Department of Health, in cooperation with Strong Memorial Hospital, Rochester, NY and the Monroe County Department of Environmental Services, with funding by a grant from the U.S. Environmental Protection Agency. This list should not be assumed to be complete. Thermometers Body temperature thermometers Clerget sugar test thermometers Heating and cooling system thermometers Incubator/water bath thermometers Minimum/Maximum thermometers National Institute of Standards and Technology calibration thermometers Tapered bulb (armored) thermometers Sphygmomanometers Gastrointestinal tubes Cantor tubes Esophageal dilators (bougie tubes) Feeding tubes Miller Abbott tubes Dental amalgam Pharmaceutical supplies Contact lens solutions and other opthalmic products containing thimerosal phenylmercuric acetate or phenlymercuric nitrate Diuretics with mersalyl and mercury salts Early pregnancy test kits with mercury containing preservatives Merbromin/water solution Nasal spray with thimerosal, phenylmercuric acetate or phenylmercuris nitrate Vaccines with thimerosal (primiarily in hemophilus, hepatitis, rabies, tetanus, influenza, diphtheris and pertussis vaccines) Cleaners and degreasers with mercury-contaminated caustic soda or chlorine Batteries (medical uses) Alarms Blood analyzers Defibrillators Hearing aids Meters Monitors Pacemakers Pumps Scales Telemetry transmitters Ultrasound Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 43 February 2000 ------- Appendix A - Continued Health Care Facilities Instruments And Products That May Contain Mercury Ventilators Batteries (nonmedical uses) Lamps Fluorescent Germicidal High-intensity discharge (high pressure sodium, mercury vapor, metal halide) Ultraviolet Electrical equipment Tilt switches Air flow/fan limit control Building security systems Chest freezer lids Fire alarm box switches Lap-top computer screen shut-off Pressure control (mounted on bourbon tube or diaphragm) Silent light switches (single-pole and three-way) Temperature control (mounted on bimetal coil or attached to bulb devices) Washing machine (power shut off) Float control Septic tanks Sump pumps Thermostats (nondigital) Thermostat probes in electrical equipment Reed relays (low voltage, high precision analytical equipment) Plunger or displacement relays (high current/high voltage application) Thermostat probes in gas appliances (flame sensors, gas safety valves) Pressure gauges Barometers Manometers Vacuum gauges Other Devices, such as personal computers, that utilize a printed wire board Blood gas analyzer reference electrode (Radiometer brand) Cathode-ray oscilloscope DC watt hour meters (Duncan) Electron microscope (mercury may be used as a damper) Flow meters Generators Hitachi Chem Analyzer reagent Lead analyzer electrode (ESA model 301 OB) Sequential Multi-Channel Autoanalyzer (SMCA) AU 2000 Vibration meters Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 44 February 2000 ------- Appendix B Alternative Treatment Technologies The following information was obtained from: New York State Department of Health (NYSDOH), Managing Regulated Medical Waste, Interpretive Guidelines for Implementing Revisions to Public Health Law 1389AA-GG. There are numerous alternative technologies which are currently available from over forty manufactures within the United States and Europe. They vary in capacity from those designed for use in physician/dentist offices, capable of treating twenty-five to one hundred pounds per cycle, to systems to be used in major medical centers or regional treatment facilities, which are able to treat one ton or more of waste per cycle (generally a cycle is one to one and one/half hours in length). In many instances these alternative technologies simultaneously treat, destroy, and reduce the volume of regulated medical waste through the use of pre- or post-treatment grinders/shredders orby the use of extremely high temperatures (upwards of 15,000 °F) to reduce the waste to ash. They vary in cost from less than $2,000 per unit to approximately $750,000 per system. The larger the capacity, the greater the waste reduction and the more automated the technology, the higher the initial cost of the unit. However, regardless of the capacity, the extent of the automation, or overall volume reduction, all alternative systems treat regulated medical waste using one of three methods; (a) heating the waste to a minimum of 210 °F by means of microwaves, radio waves, hot oil, hot water, steam or superheated gases; (b) exposing the waste to chemicals such as sodium hypochlorite (household bleach) or chlorine dioxide; or (c) by subjecting the waste to heated chemicals. All alternative technologies must be approved by the NYS Department of Health prior to being offered for sale in New York State. The Regulated Medical Waste Program (RMWP) is the unit within the Wadsworth Center which evaluates all alternative treatment systems for the Department of Health. Each manufacturer seeking approval of an alternative treatment system for use in the State must test the efficacy of the product in accordance with the recommendations contained in the Technical Assistance Manual: State Regulatory Oversight of Medical Waste Treatment Technologies. A list of such approved treatment technologies and information on the application procedures to obtain approval for alternative systems, as well as questions related to efficacy test results can be obtained by calling the Regulated Medical Waste Program at (518) 485-5378. It is important to understand that a form that evidences treatment by an approved technology must accompany the treated waste to a solid waste management facility authorized to accept the treated regulated medical waste. The Department of Health has developed a form for this purpose which must be used by those facilities that treat on-site by incineration or autoclaving. The Department of Health does not require the use of this specific form with waste treated by some alternative treatment technologies. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 45 February 2000 ------- REFERENCES U.S. Environmental Protection Agency (August, 1991). Project Summary, "Hospital Pollution Prevention Case Study." EPA/600/S2-91/024. U.S. Environmental Protection Agency (June, 1990). Guides to Pollution Prevention: Selected Hospital Waste Streams. EPA/625/7-90/009. Riggle, David (February, 1994). "Solid Waste Surgery: Advanced Hospital Recycling." BioCycle, pages 34-37. North Carolina Department of Environment, Health, and Natural Resources (August, 1996). Waste Reduction and Disposal Options for Specific Hospital Wastes. Tickner, Joel, Lowell Center for Sustainable Production, University of Massachusetts Lowell (revised June 14, 1999). The Use of Di-2-Ethylhexyl Phthalate in PVC Medical Devices: Exposure, Toxicity, and Alternatives. Monroe County Department of Health, in cooperation with Strong Memorial Hospital, Rochester, New York and the Monroe County Department of Environmental Services (1998). Reducing Mercury Use in Health Care: Promoting a Healthier Environment. Federal Register, Environmental Protection Agency (July 6, 1999). "40 CFR Parts 260, 261, 264, etc. Hazardous Waste Management System; Modification of the Hazardous Waste Program; Hazardous Waste Lamps; Final Rule." Waste Management Assistance Division; Nelson, Julie A., Gibson, Larry A. (January, 1996). Pollution Prevention Works for Iowa: Health Care Case Summaries. From: Iowa Waste Reduction Assistance Program, Waste Management Assistance Division, Iowa Department of Natural Resources, 900 East Grand Avenue, Des Moines, IA 50319-0034; (515)281-8927. Boston University Corporate Education Center (1998). A New Prescription: Pollution Prevention Strategies for the Health Care Industry, proceedings of a workshop held in October, 1998. From: Boston University Corporate Education Center, Tyngsborough, Massachusetts. Department of Veterans Affairs (1998). VHA Program Guide 1850.1 Recycling Program. From: Environmental Management Programs Office, Veterans Health Administration, Washington, D.C. New York State Department of Health (December, 1995). Managing Regulated Medical Waste, Interpretive Guidelines for Implementing Revisions to Public Health Law 1389M-GG. Kansas Small Business Environmental Assistance Program. Medical Facility Waste. U.S. Environmental Protection Agency Fact Sheets: #1 Keeping Mercury Out of Medical Waste (1995) #3 Use of Alternative Products (1995) Keep Mercury Out of the Wastewater Stream City of Palo Alto Regional Water Quality Control Plant. Best Management Practices for Hospitals and Medical Facilities. From: Palo Alto Regional Water Quality Control Plant, 2501 Embrarcadero Way, Palo Alto, CA 94303; (415) 329-2598. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 46 February 2000 ------- City of Palo Alto Regional Water Quality Control Plant. Pollution Prevention for Hospitals and Medical Facilities. From: Palo Alto Regional Water Quality Control Plant, 2501 Embarcadero Way, Palo Alto, CA 94303; (915) 329-2598. Health Care Without Harm (August, 1997). Healing the Harm: Eliminating the Pollution from Health Care Practices. From CCHW Center for Health, Environment and Justice, P.O. Box 6806, Falls Church, VA 22042, (703) 237-2249; email: noharm@,iatp.org PRO-ACT Fact Sheet: Management of Medical/Infectious Waste (October, 1998). From: Air Force Environmental Exchange, Environmental Quality Directorate HQ Air Force Center for Environmental Excellence. U.S. Environmental Protection Agency, Persistent, Bioaccumulative, and Toxic (PBT) Chemicals Initiative, Office of Pollution Prevention and Toxic's, Dioxins andFurans. Environmental Self-Assessment A Checklist for Pollution Prevention For Health Care Facilities 47 February 2000 ------- Major Federal Environmental Regulations Applicable to Hospitals* 1. Air Programs Part 52 Part 60 Part 61 Part 62 Part 63 Part 68 Part 70 Part 82 2. Water Programs Part 112 Part 122 Part 141 Part 142 Part 143 Part 144 Part 145 Part 146 Part 147 Part 148 Part 403 3. Pesticide Programs Part 160 Part 162 Part 170 Part 171 Part 172 Clean Air Act Section 21 Prevention of Significant Deterioration of Air Quality Standards of Performance for New Stationary Sources National Emission Standards for Hazardous Air Pollutants, Subpart M, National Emission Standard for Asbestos Subpart HHH - Federal Plan Requirements for Hospital/Medical/Infectious Waste Incinerators National Emission Standards for Hazardous Air Pollutants for Source Categories (all applicable provisions) Chemical Accident Prevention Provisions State Operating Permit Programs Protection of Stratospheric Ozone Clean Water Act Oil Pollution Prevention EPA Administered Permit Programs: The National Pollutant Discharge Elimination System National Primary Drinking Water Regulations National Primary Drinking Water Regulations Implementation National Secondary Drinking Water Regulations Underground Injection Control ("UIC") Program State UIC Program Requirements UIC Program: Criteria and Standards State UIC Programs Hazardous Waste Injection Restrictions General Pretreatment Regulations for Existing and New Sources of Pollution Federal Insecticide, Fungicide, and Rodenticide Act Good Laboratory Practice Standards State Registration of Pesticide Products Worker Protection Standard Certification of Pesticide Applicators Experimental Use Permits 4. Solid and Hazardous Wastes Resource Conservation and Recovery Act Part 260 Hazardous Waste Management System: Part 261 Identification and Listing of Hazardous Waste) ------- Part 262 Standards Applicable to Generators of Hazardous Waste Part 263 Standards Applicable to Transporters of Hazardous Waste Part 264 Standards for Owners and Operators of Hazardous Waste Treatment, Storage, and Disposal Facilities Part 265 Interim Status Standards for Owners and Operators of Hazardous Waste Treatment, Storage, and Disposal Facilities Part 266 Standards for the Management of Specific Hazardous Wastes and Specific Types of Hazardous Waste Management Facilities Part 268 Land Disposal Restrictions Part 273 Standards for Universal Waste Management Part 279 Standards for the Management of Used Oil Part 280 Technical Standards and Corrective Action Requirements for Owners and Operators of Underground Storage Tanks ("USTs") 5. Hazardous Substances and Chemicals, Environmental Response, Emergency Planning, and Community Right-to-Know Programs Comprehensive Environmental Response, Compensation, and Liability Act Part 302 Designation, Reportable Quantities, and Notification Part 355 Emergency Planning and Notification Part 370 Hazardous Chemical Reporting: Community Right-to-Know Part 372 Toxic Chemical Release Reporting: Community Right-to-Know 6. Toxic Substances Programs Toxic Substance Control Act Part 745 Lead-Based Paint Poisoning Prevention in Certain Residential Structures Part 761 Polychlorinated Biphenyls (PCBs) Manufacturing, Processing, Distribution in Commerce, and Use Prohibitions * Relevant state regulations may exist and may differ from federal regulations. Please review the applicable state regulations. ------- 1 a WASHINGTON, D.C. MAR ! 7 OFFICE OF SOLID WASTE AND EMERGENCY RESPONSE MEMORANDUM SUBJECT: Frequently Asked Qu FROM: /JfceBerfSpringer,TOec TO: //Office of Solid Waste out Satellite Aecamulation Areas RCRA Directors, EPA Regions 1-10 Purpose The purpose of this memo is to reiterate and clarify the Environmental Protection Agency's (EPA) regulations under the Resource Conservation and Recovery Act (RCRA) hazardous waste management program regarding satellite accumulation areas (SAAs). For convenience, this memo pulls together answers to many of the frequently asked questions EPA receives regarding SAAs. Many, but not all, of the questions in this memo have been answered by EPA in previous letters and documents. For those questions that have been answered previously, citations to relevant memos and Federal Register preambles are provided in numbered endnoles. Summary of Generator Accumulation Regulations When accumulating hazardous waste on-site, large quantity generators (LQGs) must comply with 40 CFR 262.34(a) and small quantity generators (SQGs) must comply with 40 CFR 262.34(d) to avoid the requirement to obtain a hazardous waste treatment, storage, or disposal permit.8 LQGs may accumulate hazardous waste on-site without interim status or a permit for up to 90 days, while SQGs have up to 180 days to accumulate hazardous waste without interim status or a a Generators of > 1000 kg/month of hazardous waste or >1 kg/month of acute hazardous waste are large quantity generators (LQGs). Generators of >100 kg/month but <1000 kg/month of hazardous waste are small quantity generators (SQGs). Generators of < 100 kg/month of hazardous waste and < I kg/month of acute hazardous waste are conditionally exempt small quantity generators (CESQGs) and arc regulated under 40 CFR 261.5. The regulations for CESQGs are not discussed in this memo. Recycled/Recyclable «Printed with Vegetable OH Based Inks on 100% Recycled Paper (20% Postconsumer) ------- permit,b The Agency to as "90-day" or "180-day" or "central accumulation" areas. The allow to up to 55 of (or 1 of acute waste) in » at or point of generation, » under the control of the operator, for accumulation provided the complies with the requirements of 262,34(c), When a accumulates hazardous waste on-site in containers, the regulations for 90-day areas, 180-day SAAs all refer generators to the container management standards in Part 265 Subpart I, The table below identifies the sections of Part 265 Subpart I that must be followed in each case: 1 Container for 265 I 265.171 265,172 265.173 265,174 265.176 265.177 265.178 Condition of containers Compatibility of waste (a) waste (b) to Inspections of or reactive for wastes Air Satellite aceum. area YES YES YES no no no no no 180-day area (SQG) YES YES YES YES YES no YES no 90-day area YES YES YES YES YES YES YES YES bSmall quantity generators who must transport hazardous waste >200 miles for treatment, storage or disposal may accumulate waste on-site for 270 days without a permit or interim status (262.34(e)). Large quantity generators of P006 may accumulate hazardous waste on-site for 180 days without a permit or interim status provided the conditions of 262.34(g)(l)-(4) are met. 2 ------- Ill addition to the container indicated above, the regulations for both SQGs LQGs have requirements for container labeling; on-site to the (LDR) LQGs while SQGs not 6000 kg waste on-site at time. In contrast, additional requirements for SAAs are limited to: 1, Generators must satellite containers of hazardous waste with the words "Hazardous Waste" or "with the containers," (262.34(c)(l)(ii)) 2, When a 55 of hazardous (or 1 waste), the (262.34(c)(2)): » mark the container with the date on which 55 gallons (or 1 quart of acute hazardous waste) is exceeded, » remove the of 55 gallons (or 1 of acute within or comply with the 90-day or 180-day as Frequently Satellite Accumulation Areas I- Question: Can small quantity generators establish SAAs according to 262.34(c) for their waste? Yes, Both LQGs SQGs of the while is in SAAs, provided it is in with all the of 40 CFR 262.34(c).' If an SQG or LQG accumulates 55 gallons of hazardous (or 1 quart of acute hazardous waste) at an SAA, the must be removed within three days. If after that period, the excess is not removed, LQGs must comply with 262.34(a) SQGs must comply with 262»34(d), with to the amounts. 2. If a generator 55 of hazardous (or 1 quart of acute waste) at an SAA, when should the generator date the container(s)? When 55 gallons of hazardous waste (or 1 quart of acute hazardous waste) is exceeded, or when the container is moved to the central accumulation area? Answer: When 55 gallons of hazardous waste (or 1 quart of acute is exceeded in an SAA, the needs to the container, so that the ------- move the to the 90-day or 180-day within (262.34(c)(2)). Then 3 days have or the is to the area, the to the again, so it can be 90 or 180 days and 262.34(d)(4), the not to be it is the SAA is directly to a permitted or unit.) This an LQG has up to 93 a SQG has up to 183 for ori-site accumulation time once 55 gallons of (or 1 quart of acute hazardous waste) has at the SAA - up to three days in the SAA, followed by up to 90 or 180 days in the central accumulation area.2 3. Question; When a generator accumulates more than 55 gallons of hazardous waste (or 1 quart of acute hazardous waste) at an SAA, the excess of 55 gallons (or the of 1 quart of waste) to be removed from the SAA days. What is by "three days"? Three It not or the to use 72 as the limit but 72 the of day on containers. In the the switched to using so only to containers that hold the of 55 (or 1 of acute waste).3 4. Question: If an SAA has a full 4-gallon container of hazardous waste, does the generator have to remove the container from the SAA within three days of being filled? Answer: No. There is no federal that full be removed from an SAA within three of being filled. Only the of 55 of. (or the of 1 of acutely be within 5. The of 265.173(a) "A be during storage, when it is to or remove waste." that to be managed and/or in the containers in which they were originally accumulated? Answer: No, Generators may transfer hazardous waste between containers to facilitate storage, transportation, or treatment.4 For example, a generator may wish to consolidate several partially full containers of the same hazardous waste from an SAA into container before transferring it to a central accumulation area. Generators also may ------- transfer hazardous between containers in central accumulation However, the 90-day or 180-day "clock" for not if the is to 6- Question: Do containers in SAAs have to comply with the air of Part 265 AA, BB, and CC? Answer: No. Containers in SAAs are not required to comply with the air emission standards of Part 265 Subparts AA, BB, and CC,5 Likewise, SQGs are not required to comply with the air at their 180-day LQGs, however, are to the RCRA air at 90-day Therefore, when an LQG transfers waste from an SAA to a 90-day accumulation area, the applicable portions of the air emission standards of Part 265 Subparts AA, BB, and CC must be met at the 90-day central accumulation 7. Section 265.174 of I be at weekly for leaks and deterioration caused by corrosion or other factors. Both LQGs and SQGs must inspect containers in their central accumulation areas. Are SQGs or LQGs to in SAAs? Answer; No. Inspections of containers (whether weekly or some other frequency) in SAAs are not required, so long as the provisions of 262,34(c) are met.6 Section 265.174, which requires inspections, is not among the provisions listed in 262,34(c) for SAAs Table 1). However, the SAA regulations do require waste in an SAA be the the in condition (265.171), compatible with its contents (265,172), and closed except when adding or removing waste (265.173), which should achieve the goal of inspections: are of leaks deterioration. 8. Question; SQGs must conduct training in accordance with 262.34(d)(5)(iii) and LQGs must conduct training in accordance with 265.16. Do the RCRA regulations require training of personnel working in SAAs? Answer: No. The RCRA regulations do not require training of personnel working in SAAs.7 Personnel that have to or work in central accumulation areas, including those that move hazardous waste from a SAA to a central accumulation area, be trained. As the ones actually waste, however, working in SAAs to be the with are to know when they have a hazardous waste so that it will be managed in accordance with the RCRA regulations. ------- 9. Question; The preamble to the final rule that added 262.34(c), states, "...only one will normally be accumulated at each satellite area."8 Can there be more than one hazardous waste at an SAA? Can there be more than one container at an SAA? Answer? Yes, It's permissible to have more than one hazardous waste in an SAA. Likewise, it's permissible to have more than one container of hazardous in an SAA. The regulations do not limit the number of hazardous or the of containers that can be placed in an SAA. The regulations limit only the total volume waste at a single SAA to 55 gallons (or 1 of acute waste). If there are in an SAA, be in with.262.34(c)(l)(ii). the did not in an SAA, a to the for the not as of the for SAAs, clearly incompatible wastes be stored separately. Furthermore, in the event any are in a an to or the §7003 of RCRA the to to the 10. Can a facility multiple SAAs? Answer: Yes. The do not limit the total number of SAAs at a generator's facility. the do not limit the total amount of hazardous that be at various SAAs a facility. The regulations limit only the volume of hazardous waste that can be accumulated at a single SAA to 55 gallons (or 1 quart of acute hazardous waste). _ . It's not possible in a memo for the Agency to delineate for all situations what constitutes a SAA versus what constitutes separate SAAs. The regulations state that a generator may accumulate hazardous waste "in containers at or near any point of generation where wastes initially accumulate, which is under the control of the operator of the process generating the waste." For additional guidance about the Agency's intent, refer to the preamble to the final rule for SAAs, which states, "Certainly...a row of full 55 gallon drums spaced 5 .feet apart along the factory wall," is not a row of distinct SAAs, but is SAA.9 ------- 11. If a facility has multiple S AAs, can be SAA to No. not move SAAs,10 Once a an SAA, it be for a central accumulation is under 262.34(a) or (d) or for final or at a facility with a permit or interim status However, a single SAA may have multiple points of generation. Movement or consolidation of hazardous waste within an SAA is'permissible, as long as it "at or near" the "point of generation" "under the control of the of the generating the waste," In a 90-day or 180-day the do not the fully to as as the on-site. However, the 90-day or 180-day "clock" for not if the is to 12. Qugstjo.li« Do generators have to include the hazardous waste in SAAs in the monthly quantities for determining generator status (i.e., SQG or LQG)? Answer: Yes, include all the in the SAAs in their monthly for '' 261.5(c) (d) identify do not have to be in is not on this list; in SAAs be in the 13. When a has to containers, do the containers that collect such wastes have to be in compliance with the SAA Answer: Yes. Even if the discharging unit is not regulated under RCRA, the attached containers that collect hazardous wastes from such equipment must be in compliance with the SAA regulations, if those containers collect that are or characteristic Waste containers in SAAs be: * in good condition (265.171) * with (265,172) "words identify the of the container" or the words "hazardous waste" (262.34(c)(l)(ii)). ------- In addition, the in SAAs be or (265.173(a)). Generators would not be to is to the but would to the is not to the container. The to is a point of generation. It is for there to be multiple of equipment within SAA, and thus multiple points of within a SAA, provided all the of equipment are "at or near" "under the control of the operator of the process generating the waste." Under this scenario, the total amount of hazardous waste in the SAA would be limited to 55 gallons (or 1 quart of acute hazardous waste) and a generator would be allowed to consolidate like hazardous wastes from multiple discharging units. 14. If a facility has very (e.g., or are too to with the words waste" or "other the of the container," the be we the to be in larger would the the However, would achieve the would be Please note that this letter discusses only the federal hazardous waste regulations. that are authorized to implement the RCRA program may have regulations that are different than the federal regulations provided they are not less stringent than the federal program. Please consult your regulatory requirements. If you have questions the regulations in contact Kristin Fitzgerald at (703) 308-8286 or Fitzgerald.Kristin@epa,gov. ------- for of 1, April 1990; #1 2, #13410, 3. December 20, 1984; 49 FR Final Rule; Docket # RCRA-19844)028. 4. 1, 1993; to #11791. 5. February 1996; RCRA/Superfund Hotline Monthly Report; RCRA Online #13777, 6. 1999; Hotline 7. 20, 49 FR # 8. December 20, 1984; 49 FR 49570; Final Rule; Docket # RCRA- 9. 20, 49 FR # 10, February 1999; RCRA/Superfund Monthly Report; RCRA Online #14337. 11. February 10, 1994; Shapiro to Dolce; RCRA Online #11812. To obtain Federal Register notices, search EPA's E-docket at www.epa.gov/edocket. To notices, RCRA Online at www. epa. go v/rcraonline. ------- United States Environmental Protection Agency Enforcement and Compliance Assurance (2224-A) EPA 305-B-01-002 March 2001 Protocol for Conducting Environmental Compliance Audits under the Emergency Planning and Community Right-to-Know Act and CERCLA Section 103 EPA Office of Compliance ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Notice U.S. EPA's Office of Compliance prepared this document to aid regulated entities in developing programs at individual facilities to evaluate their compliance with environmental requirements arising under federal law. The statements in this document are intended solely as guidance to you in this effort. Among other things, the information provided in this document describes existing requirements for regulated entities under the Emergency Planning and Community Right -to-Know Act (EPCRA) and under CERCLA Section 103 and their implementing regulations at 40 CFR 355 through 372 under EPCRA and 40 CFR 302 under CERCLA While the Agency has made every effort to ensure the accuracy of the statements in this document, the regulated entity's legal obligations are determined by the terms of its applicable environmental facility-specific permits, and underlying statutes and applicable state and local law. Nothing in this document alters any statutory, regulatory or permit requirement. In the event of a conflict between statements in this document and either the permit or the regulations, the document would not be controlling. U.S. EPA may decide to revise this document without notice to reflect changes in EPA's regulations or to clarify and update the text. To determine whether U.S. EPA has revised this document and/or to obtain additional copies, contact U.S. EPA's National Center for Environmental Publications at (1-800-490-9198). The contents of this document reflect regulations issued as of January 31,2001. Acknowledgments U.S. EPA would like to gratefully acknowledge the support of the U.S. Army Corps of Engineers Construction Engineering Research Laboratory (CERL) for providing suggestions for overall format of this document. The Office of Compliance at U.S. EPA gratefully acknowledges the contribution of U.S. EPA's program offices and the U.S. EPA's Office of Counsel in reviewing and providing comment on this document. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Table of Notice inside cover Acknowledgment inside cover Section 1: Introduction Background ii Who Should Use These Protocols? ii U.S. EPA's Public Policies that Support Environmental Auditing iii How To Use the Protocols iv The Relationship of Auditing to Environmental Management Systems vi Section II: Audit Protocol Applicability 1 Review of Federal Legislation 1 State and Local Regulations 1 Key Compliance Requirements 2 Key Terms and Definitions 4 Typical Records to Review 10 Typical Physical Features to Inspect 10 List of Acronyms and Abbreviations 10 Index for Checklist Users 13 Checklist 15 Appendices Appendix A: Lower Thresholds for Chemicals of Special Concern Al Appendix B: User Satisfaction Questionnaire and Comment Form Bl This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Section I Introduction The Environmental Protection Agency (U.S. EPA) is responsible for ensuring that businesses and organizations comply with federal laws that protect the public health and the environment. U.S. EPA's Office of Enforcement and Compliance Assurance (OECA) has begun combining traditional enforcement activities with more innovative compliance approaches including the provision of compliance assistance to the general public. U.S. EPA's Office of Compliance Assistance was established in 1994 to focus on compliance assistance-related activities. U.S. EPA is also encouraging the development of serf-assessment programs at individual facilities. Voluntary audit programs play an important role in helping companies meet their obligation to comply with environmental requirements. Such assessments can be a critical link, not only to improved compliance, but also to improvements in other aspects of an organization's performance. For example, environmental audits may identify pollution prevention opportunities that can substantially reduce an organization's operating costs. Environmental audits can also serve as an important diagnostic tool in evaluating a facility's overall environmental management system or EMS. U.S. EPA is developing 13 multi-media Environmental Audit Protocols to assist and encourage businesses and organizations to perform environmental audits and disclose violations in accordance with OECA's Audit and Small Business Policies. The audit protocols are also intended to promote consistency among regulated entities when conducting environmental audits and to ensure that audits are conducted in a thorough and comprehensive manner. The protocols provide detailed regulatory checklists that can be customized to meet specific needs under the following primary environmental management areas: Generation of RCRA Hazardous Waste CERCLA Safe Drinking Water Act Managing Nonhazardous Solid Waste Treatment Storage and Disposal of RCRA Hazardous Waste Clean Air Act TSCA Pesticides Management (FIFRA) RCRA Regulated Storage Tanks EPCRA Clean Water Act Universal Waste and Used Oil Management of Toxic Substances (e.g., PCBs, lead-based paint, and asbestos) Who Should Use These Protocols? U.S. EPA has developed these audit protocols to provide regulated entities with specific guidance in periodically evaluating their compliance with federal environmental requirements. The specific application of this particular protocol, in terms of which media or functional area it applies to, is described in Section II under "Applicability". The Audit Protocols are designed for use by individuals who are already familiar with the federal regulations but require an updated comprehensive regulatory checklist to conduct environmental compliance audits at regulated facilities. Typically, compliance audits are performed by persons who are not necessarily media or legal experts but instead possess a working knowledge of the regulations and a familiarity with the operations and practices of the facility to be audited. These two basic skills are a prerequisite for adequately identifying areas at the facility subject to environmental regulations and potential regulatory violations that subtract from the organizations environmental performance. With these basic skills, audits can be successfully conducted by persons with various educational backgrounds (e.g., engineers, scientists, lawyers, business owners or operators). These protocols are not intended to This document is intended solely for guidance. No statutory or regulatory ii requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 be a substitute for the regulations nor are they intended to be instructional to an audience seeking a primer on the requirements under Title 40; however, they are designed to be sufficiently detailed to support the auditor's efforts. The term "Protocol" has evolved over the years as a term of art among the professional practices of auditing and refers to the actual working document used by auditors to evaluate facility conditions against a given set of criteria (in this case the federal regulations). Therefore these documents describe "what" to audit a facility for rather than "how" to conduct an audit. To optimize the effective use of these documents, you should become familiar with basic environmental auditing practices. For more guidance on how to conduct environmental audits, U.S. EPA refers interested parties to two well-known organizations: The Environmental Auditing Roundtable (EAR) and the Institute for Environmental Auditing (IEA). Environmental Health and Safety Auditing Roundtable The Institute for Environmental Auditing 35888 Mildred Avenue Box 23686 North Ridgeville, Ohio 44039 L'Enfant Plaza Station (216) 327-6605 Washington, DC 20026-3686 U.S. EPA's Public Policies that Support Environmental Auditing In 1986, in an effort to encourage the use of environmental auditing, EPA published its "Environmental Auditing Policy Statement" (see 51 FR 25004). The 1986 audit policy states that "it is EPA policy to encourage the use of environmental auditing by regulated industries to help achieve and maintain compliance with environmental laws and regulation, as well as to help identify and correct unregulated environmental hazards." In addition, EPA defined environmental auditing as "a systematic, documented, periodic, and objective review of facility operations and practices related to meeting environmental requirements." The policy also identified several objectives for environmental audits: verifying compliance with environmental requirements, evaluating the effectiveness of in-place environmental management systems, and assessing risks from regulated and unregulated materials and practices. In 1995, EPA published "Incentives for Serf-Policing: Discovery, Disclosure, Correction and Prevention of Violations" - commonly known as the EPA Audit Policy - which both reaffirmed and expanded the Agency's 1986 audit policy (see 60 FR 66706 December 22, 1995). The 1995 audit policy offered major incentives for entities to discover, disclose and correct environmental violations. On April 11, 2000, EPA issued a revised final Audit Policy that replaces the 1995 Audit Policy (65 FR 19,617). The April 11, 2000 revision maintains the basic structure and terms of the 1995 Audit Policy while lengthening the prompt disclosure period to 21 days, clarifying some of its language (including the applicability of the Policy in the acquisitions context), and conforming its provisions to actual EPA practices. The revised audit policy continues the Agency's general practice of waiving or substantially mitigating gravity-based civil penalties for violations discovered through an environmental audit or through a compliance management system, provided the violations are promptly disclosed and corrected and that all of the Policy conditions are met. On the criminal side, the revised policy continues the Agency's general practice of not recommending that criminal charges be brought against entities that disclose violations that are potentially criminal in nature, provided the entity meets all of the policy's conditions. The policy safeguards human health and the environment by precluding relief for violations that cause serious environmental harm or may have presented an imminent and substantial endangerment. The audit policy is available on the Internet at www.epa.gov/auditpol.html. In 1996, EPA issued its "Policy on Compliance Incentives for Small Businesses" which is commonly called the "Small Business Policy" (see 61 FR 27984 June 3, 1996). The Small Business Policy was intended to promote environmental compliance among small businesses by providing them with special incentives to participate in government sponsored on-site compliance assistance programs or conduct environmental audits. EPA will eliminate or reduce penalties for small businesses that voluntarily discover, promptly disclose, and correct violations in a timely manner. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 On April 11, 2000, EPA issued its revised final Small Business Policy (see 65 FR 19630) to expand the options allowed under the 1996 policy for discovering violations and to establish a time period for disclosure. The major changes contained in the April 11, 2000 Small Business Policy revision include lengthening the prompt disclosure period from 10 to 21 calendar days and broadening the applicability of the Policy to violations uncovered by small businesses through any means of voluntary discovery. This broadening of the Policy takes advantage of the wide range of training, checklists, mentoring, and other activities now available to small businesses through regulatory agencies, private organizations, and the Internet. More information on EPA's Small Business and Audit/Self-Disclosure Policies are available by contacting EPA's Enforcement and Compliance Docket and Information Center at (202) 564-2614 or visiting the EPA web site at: http://www.epa.gov/oeca/ccsmd/profile.html. How to Use The Protocols Each protocol provides guidance on key requirements, defines regulatory terms, and gives an overview of the federal laws affecting a particular environmental management area. They also include a checklist containing detailed procedures for conducting a review of facility conditions. The audit protocols are designed to support a wide range of environmental auditing needs; therefore several of the protocols in this set or sections of an individual protocol may not be applicable to a particular facility. To provide greater flexibility, each audit protocol can be obtained electronically from the U.S. EPA Website (www.EPA.gov/oeca/ccsmd/profile.html). The U.S. EPA Website offers the protocols in a word processing format which allows the user to custom-tailor the checklists to more specific environmental aspects associated with the facility to be audited. The protocols are not intended to be an exhaustive set of procedures; rather they are meant to inform the auditor, about the degree and quality of evaluation essential to a thorough environmental audit. U.S. EPA is aware that other audit approaches may also provide an effective means of identifying and assessing facility environmental status and in developing corrective actions. It is important to understand that there can be significant overlap within the realm of the federal regulations. For example, the Department of Transportation (DOT) has established regulations governing the transportation of hazardous materials. Similarly, the Occupational Safety and Health Administration (OSHA) under the U.S. Department of Labor has promulgated regulations governing the protection of workers who are exposed to hazardous chemicals. There can also be significant overlap between federal and state environmental regulations. In fact, state programs that implement federally mandated programs may contain more stringent requirements that are not included in these protocols. There can also be multiple state agencies regulating the areas covered in these protocols. The auditor also should determine which regulatory agency has authority for implementing an environmental program so that the proper set of regulations is consulted. Prior to conducting the audit, the auditor should review federal, state and local environmental requirements and expand the protocol, as required, to include other applicable requirements not included in these documents. Review of Federal Legislation and Key Compliance Requirements: These sections are intended to provide only supplementary information or a "thumbnail sketch" of the regulations and statutes. These sections are not intended to function as the main tool of the protocol (this is the purpose of the checklist). Instead, they serve to remind the auditor of the general thrust of the regulation and to scope out facility requirements covered by that particular regulation. For example, a brief paragraph describing record keeping and reporting requirements and the associated subpart citations will identify and remind the auditor of a specific area of focus at the facility. This allows the auditor to plan the audit properly and to identify key areas and documents requiring review and analysis. This document is intended solely for guidance. No statutory or regulatory jv requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 State and Local Regulations: Each U.S. EPA Audit Protocol contains a section alerting the auditor to typical issues addressed in state and local regulations concerning a given topic area (e.g., RCRA and used oil). From a practical standpoint, U.S. EPA cannot present individual state and local requirements in the protocols. However, this section does provide general guidance to the auditor regarding the division of statutory authority between U.S. EPA and the states over a specific media. This section also describes circumstances where states and local governments may enact more stringent requirements that go beyond the federal requirements. U.S. EPA cannot overemphasize how important it is for the auditor to take under consideration the impact of state and local regulations on facility compliance. U.S. EPA has delegated various levels of authority to a majority of the states for most of the federal regulatory programs including enforcement. For example, most facilities regulated under RCRA, and/or CWA have been issued permits written by the states to ensure compliance with federal and state regulations. In turn, many states may have delegated various levels of authority to local jurisdictions. Similarly, local governments (e.g., counties, townships) may issue permits for air emissions from the facility. Therefore, auditors are advised to review local and state regulations in addition to the federal regulations in order to perform a comprehensive audit. Key Terms and Definitions: This section of the protocol identifies terms of art used in the regulations and the checklists that are listed in the "Definitions" sections of the Code of Federal Regulations (CFR). It is important to note that not alldefinitions from the CFR may be contained in this section, however; those definitions, which are commonly repeated in the checklists or are otherwise critical to an audit process are included. Wherever possible, we have attempted to list these definitions as they are written in the CFR and not to interpret their meaning outside of the regulations. The Checklists: The checklists delineate what should be evaluated during an audit. The left column states either a requirement mandated by regulation or a good management practice that exceeds the requirements of the federal regulations. The right column gives instructions to help conduct the evaluation. These instructions are performance objectives that should be accomplished by the auditor. Some of the performance objectives may be simple documentation checks that take only a few minutes; others may require a time-intensive physical inspection of a facility. The checklists contained in these protocols are (and must be) sufficiently detailed to identify any area of the company or organization that would potentially receive a notice of violation if compliance is not achieved. For this reason, the checklists often get to a level of detail such that a specific paragraph of the subpart (e.g., 40 CFR262.34(a)(l)(i)) contained in the CFR is identified for verification by the auditor. The checklists contain the following components: "Regulatory Requirement or Management Practice Column" The "Regulatory Requirement or Management Practice Column" states either a requirement mandated by regulation or a good management practice that exceeds the requirements of the federal regulations. The regulatory citation is given in parentheses after the stated requirement. Good management practices are distinguished from regulatory requirements in the checklist by the acronym (MP) and are printed in italics. "Reviewer Checks" Column: The items under the "Reviewer Checks:" column identify requirements that must be verified to accomplish the auditor's performance objectives. (The key to successful compliance auditing is to verify and document site observations and other data.) The checklists follow very closely with the text in the CFR in order to provide the service they are intended to fulfill (i.e., to be used for compliance auditing). However, they are not a direct recitation of the CFR. Instead they are organized into more of a functional arrangement (e.g., record keeping and reporting requirements vs. technical controls) to accommodate an auditor's likely sequence of review during the site visit. Wherever possible, the statements or items under the "Reviewer This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Checks" column, will follow the same sequence or order of the citations listed at the end of the statement in the "Regulatory Requirement" column. "NOTE:" Statements "Note:" statements contained in the checklists serve several purposes. They usually are distinguished from "Verify" statements to alert the auditor to exceptions or conditions that may affect requirements or to referenced standards that are not part of Title 40 (e.g., American Society for Testing and Materials (ASTM) standards). They also may be used to identify options that the regulatory agency may choose in interacting with the facility (e.g., permit reviews) or options the facility may employ to comply with a given requirement. Checklist Numbering System: The checklists also have a unique numbering system that allows the protocols to be more easily updated by topic area (e.g., RCRA Small Quantity Generator). Each topic area in turn is divided into control breaks to allow the protocol to be divided and assigned to different teams during the audit. This is why blank pages may appear in the middle of the checklists. Because of these control breaks, there is intentional repetition of text (particularly "Note" Statements) under the "Reviewer Checks" column to prevent oversight of key items by the audit team members who may be using only a portion of the checklist for their assigned area. Environmental regulations are continually changing both at the federal and state level. For this reason, it is important for environmental auditors to determine if any new regulations have been issued since the publication of each protocol document and, if so, amend the checklists to reflect the new regulations. Auditors may become aware of new federal regulations through periodic review of Federal Register notices as well as public information bulletins from trade associations and other compliance assistance providers. In addition, U.S. EPA offers information on new regulations, policies and compliance incentives through several Agency Websites. Each protocol provides specific information regarding U.S. EPA program office websites and hotlines that can be accessed for regulatory and policy updates. U.S. EPA will periodically update these audit protocols to ensure their accuracy and quality. Future updates of the protocols will reflect not only the changes in federal regulations but also public opinion regarding the usefulness of these documents. Accordingly, the Agency would like to obtain feedback from the public regarding the format, style and general approach used for the audit protocols. The last appendix in each protocol document contains a user satisfaction survey and comment form. This form is to be used by U.S. EPA to measure the success of this tool and future needs for regulatory checklists and auditing materials. The Relationship of Auditing to Environmental Management Systems An environmental auditing program is an integral part of any organization's environmental management system (EMS). Audit findings generated from the use of these protocols can be used as a basis to implement, upgrade, or benchmark environmental management systems. Regular environmental auditing can be the key element to a high quality environmental management program and will function best when an organization identifies the "root causes" of each audit finding. Root causes are the primary factors that lead to noncompliance events. For example a violation of a facility's wastewater discharge permit may be traced back to breakdowns in management oversight, information exchange, or inadequate evaluations by untrained facility personnel. As shown in Figure 1, a typical approach to auditing involves three basic steps: conducting the audit, identifying problems (audit findings), and fixing identified deficiencies. When the audit process is expanded, to identify and correct root causes to noncompliance, the organization's corrective action part of its EMS becomes more effective. In the expanded model, audit findings (exceptions) undergo a root cause analysis to identify underlying causes to noncompliance events. Management actions are then taken to correct the underlying causes behind the audit findings and improvements are made to the organizations overall EMS before another audit is conducted on the facility. This document is intended solely for guidance. No statutory or regulatory vj requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Expanding the audit process allows the organization to successfully correct problems, sustain compliance, and prevent discovery of the same findings again during subsequent audits. Furthermore, identifying the root cause of an audit finding can mean identifying not only the failures that require correction but also successful practices that promote compliance and prevent violations. In each case a root cause analysis should uncover the failures while promoting the successes so that an organization can make continual progress toward environmental excellence. Figure 1 - Expanded Corrective Action Model Improve Environmental Mgmt. System Effectiveness This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. VII ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 This Page Intentionally Left Blank This document is intended solely for guidance. No statutory or regulatory vjjj requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Section II Audit Protocol Applicability This audit protocol addresses facilities that manufacture, process, store, or otherwise use hazardous substances defined in 40 CFR Part 302, extremely hazardous substances (EHSs) defined in 40 CFR Part 355, and toxic chemicals defined in 40 CFR Part 372. This document is an update to the previous U.S. EPA document titled Protocol for Conducting Environmental Compliance Audits under the Emergency Planning and Community Right-to-Know Act (EPA Document No. 305-B-98-007) that was published by EPA in December 1998. This updated version clarifies and refines sections of the first version of the audit protocol and incorporates changes in the federal regulations that have occurred since December 1998. There are numerous environmental regulatory requirements administered by federal, state, and local governments. Each level of government may have a major impact on areas at the facility that are subject to the audit. Therefore, auditors are advised to review federal, state, and local regulations in order to perform a comprehensive assessment. Review of Federal Legislation The Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) CERCLA, known commonly as Superfund, became law in 1980 and authorizes U.S. EPA to respond to releases or threatened releases of hazardous substances that may endanger public health, welfare, or the environment. The basic purpose of CERCLA is to provide funding and enforcement authority to U.S. EPA for overseeing the clean up of environmental contamination caused by responsible parties. The Superfund Amendments and Reauthorization Act (SARA) of 1986 revised various sections of CERCLA, and created a free-standing law, SARA Title III, also known as the Emergency Planning and Community Right-to-Know Act (EPCRA). The CERCLA hazardous substance release reporting regulations (Section 103; 40 CFR Part 302) direct the person in charge of a facility to report to the National Response Center any environmental release of a listed hazardous substance that equals or exceeds a reportable quantity. Reportable quantities are listed in 40 CFR Section 302.4. A release report may trigger a response by U.S. EPA or by one or more federal or state emergency response authorities. Emergency Planning and Community Right-to-Know Act of 1986 (EPCRA) This act, also known as SARA Title III, was designed to promote emergency planning and preparedness at both the state and local level. It provides citizens, local governments, and local response authorities with information regarding the potential hazards in their community. EPCRA requires the use of emergency planning and designates state and local governments as recipients of information regarding certain chemicals used in the community. EPCRA has four major components: Emergency planning (Sections 301-303) Emergency release notification (Section 304) Community right-to-know reporting (Sections 311-312) Toxic chemical release reporting (Section 313) Pollution Prevention Act of 1990 (PPA) The goals of PPA were the following: preventing or reducing pollution at the source whenever feasible; pollution that cannot be prevented should be recycled in an environmentally safe manner whenever feasible; pollution that cannot be prevented or recycled should be treated in an environmentally safe manner whenever feasible; and disposal or other release into the environment should be employed only as a last resort and conducted in an environmentally safe manner. Section 6607 of the PPA requires owners or operators of facilities who have to file an annual toxic chemical release form (Form R) under EPCRA Section 313 to include a toxic chemical source reduction and recycling report for the preceding calendar year that has been incorporated into the Form R. State/Local Regulations State and local emergency response agencies may establish additional and/or more stringent reporting requirements under Section 312 of EPCRA and may require the use of state-specific reporting forms. This document is intended solely for guidance. No statutory or regulatory \ requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Key Compliance Requirements Emergency Planning (40 CFR 355.30) (EPCRA Section 302) A facility with quantities of extremely hazardous substances equal to or greater than the limits found in 40 CFR Part 355, Appendix A is required to notify the state emergency response commission within 60 days that the facility is subject to emergency planning requirements. The facility must designate a representative to participate in local emergency planning as a facility emergency response coordinator. The facility must also submit additional information to the local emergency planning committee upon request and notify them of any changes at the facility which might be relevant to emergency planning (i.e., designation of the emergency response coordinator, material changes in inventory) (40 CFR 355.10 through 355.30 and 40 CFR 355 Appendices A and B). Emergency Release Notification (40 CFR 355.40) (EPCRA Section 304) Under Section 304 of EPCRA, a facility that produces, uses, or stores a hazardous chemical must immediately notify the designated state and local emergency response authorities if there is a release of a listed EHS or a hazardous substance that equals or exceeds the reportable quantity for that substance. Refer to 40 CFR 355, Appendices A and B for the EHSs. The hazardous substances are designated under CERCLA (see 40 CFR 302.4). If the release is a CERCLA-listed hazardous substance, the National Response Center (NRC) in Washington, DC, must also be notified (1-800-424-8802). If the release is transportation-related, a 911 call will meet the requirement of notification to the state and local authorities. The NRC must always be contacted for reportable transportation-related releases. The initial notice should give as much information as possible about the release as long as notification is not delayed. The initial notification of a release can be made by telephone, radio, or in person, but must be followed by a written notice to the state and local emergency response authorities as soon as practicable (40 CFR 355.40(b)(3)). Community Right-to-Know Requirements MSDS Reporting (40 CFR 370.21) Under Section 311 of EPCRA, those facilities which are required under OSHA's Hazard Communication Standard regulations to prepare or have Material Safety Data Sheets (MSDSs) available are also required to submit copies of the MSDSs (or corresponding lists as described below) to the state emergency response commission (SERC), local emergency planning committee (LEPC), and the fire department with jurisdiction over the facility. MSDSs (or corresponding lists) must be submitted for each hazardous chemical present at the facility according to the following thresholds: All hazardous chemicals present at the facility at any one time in amounts equal to or greater than 10,000 Ib. (4540 kg) (Note: Hazardous chemicals requiring an MSDS are chemicals designated by OSHA under 29 CFR 1910.1200), and All extremely hazardous substances present at the facility in amounts equal to or greater than 500 Ib. (227 kg - approximately 55 gal) or the threshold planning quantity, whichever is lower. If a hazardous chemical is present in a mixture, the facility can either provide information on the mixture or on each hazardous chemical component of the mixture. Instead of submitting the MSDSs, the facility can submit a list of hazardous chemicals for which MSDSs are required, grouped by hazard category (e.g., immediate health hazard, delayed health hazard, fire hazard, sudden release of pressure hazard, and reactive hazard). The list must include the chemical or common name of each substance. If the facility provides a list, it must provide a copy of the MSDS for any chemical on the list within 30 days of a request from the local emergency planning committee. If a new hazardous chemical exceeds the threshold limit or significant new information is discovered, the facility has 3 months to submit the revised list of chemicals or new MSDS. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Inventory Reporting (40 CFR 370.25, 370.40, 370.41) Under Section 312 of EPCRA, those facilities that are required under OSHA's Hazard Communication Standard regulations to prepare or have MSDSs available are also required to submit annual emergency and hazardous chemical inventory forms to the state emergency response commission, the local emergency planning committee, and the fire department that has jurisdiction over the facility. The Tier I form includes chemical categories, quantities, and locations of hazardous chemicals on-site. More detailed information may be requested by emergency response organizations, in which case facilities must submit a Tier II form within 30 days. Facilities also can choose to submit the Tier II form instead of a Tier I report. Either report must be submitted on or before March 1 of each year. The information in these reports does not include accidental releases or permitted discharges and is specifically targeted toward hazardous chemicals requiring MSDSs that are present on-site above the following threshold levels: All hazardous chemicals present at the facility at any one time in amounts equal to or greater than 10,000 Ib. (4540 kg), and All extremely hazardous substances present at the facility in amounts equal to or greater than 500 Ib. (227 kg - approximately 55 gal) or the threshold planning quantity, whichever is lower. Facilities who submit inventory forms must allow the fire department to inspect the site upon request and must provide specific location information about hazardous chemicals at the facility. Toxic Chemical Release Reporting (40 CFR 372) Section 313 of EPCRA and Section 6607 of the PPA require certain facilities to report to the federal and state governments the annual quantity of toxic chemicals (listed in 40 CFR 372.65) entering each environmental medium, either through normal operations or as the result of an accident, quantities transferred offsite in waste, as well as other information. Facilities subject to this requirement must submit to EPA and state officials a toxic chemical release form (Form R) for each toxic chemical manufactured, processed, or otherwise used in quantities exceeding minimum threshold values during the preceding calendar year. Facilities that have a "reportable waste quantity" of 500 Ib of a listed toxic chemical may take advantage of an alternate threshold of one million pounds. If the facility does not manufacture, process or otherwise use more than one million pounds, it may certify by filing a Form A certification statement rather than a Form R. Releases that must be reported include those to air, water, and land (including land disposal and underground injection). In addition, discharges to a POTW and transfers to off-site locations for treatment, disposal, energy recovery, and recycling must also be reported. Facilities must also report on the quantities of the chemicals treated, recycled, or combusted for energy recovery on-site. Form R/Form A reports must be submitted to both the EPA and the state on or before July 1. Copies of Form R/Form A reports and related documentation must be kept at the facility for three years after the report is submitted. The Pollution Prevention Act requires facilities subject to Form R/Form A reporting to also submit information on source reduction. For further information regarding the EPCRA regulations, contact U.S. EPA's EPCRA, RCRA/UST, and Superfund Hotline at 800-424-9346 (or 703-412-9810 in the D.C. area) from 9 a.m. to 6 p.m., Monday through Friday. This U.S. EPA hotline provides up-to-date information on regulations developed under EPCRA, as well as RCRA, CERCLA (Superfund), and the Oil Pollution Act. The hotline can assist with Section 112(r) of the Clean Air Act (CAA) and Spill Prevention, Control and Countermeasures (SPCC) regulations. The hotline also responds to requests for relevant documents and can direct the caller to additional tools that provide a more detailed discussion of specific regulatory requirements. In addition, the U.S. EPA, as the chair of the National Response Team (NRT), has developed the NRT's Integrated Contingency Plan Guidance ("one plan"). This guidance is intended to be used by facilities to prepare emergency response plans. The guidance provides a mechanism for consolidating multiple plans that facilities may have prepared to comply with various regulations into one functional emergency response plan or integrated contingency plan (ICP). Copies of the guidance can be obtained by calling the Superfund Hotline number listed above. In addition, this guidance is available electronically at the home page of U.S. EPA's Chemical Emergency Preparedness and Prevention Office (www.epa.gov/swercepp/) This document is intended solely for guidance. No statutory or regulatory 3 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Key Terms and Definitions Act The Superfund Amendments and Reauthorization Act of 1986 (40 CFR 355.20). Acts Title III (40 CFR 372.3). Article A manufactured item which (40 CFR 372.3): 1. is formed to a specific shape or design during manufacture; 2. has end use functions dependent in whole or in part upon its shape or design during end use; 3. does not release a toxic chemical under normal conditions of processing or use of that item at the facility or establishments. Beneficiation The preparation of ores to regulate the size (including crushing and grinding) of the product, to remove unwanted constituents, or to improve the quality, purity, or grade of a desired product (40 CFR 372.3). Boiler An enclosed device using controlled flame combustion and having the following characteristics (40 CFR 372.3): 1. all of the following: a) the unit must have physical provisions for recovering and exporting thermal energy in the form of steam, heated fluids, or heated gases; and b) the unit's combustion chamber and primary energy recovery section(s) must be of integral design. To be of integral design, the chamber and the primary energy recovery section(s) (such as waterwalls and superheaters) must be physically formed into one manufactured or assembled unit. A unit in which the combustion chamber and the primary energy recovery section(s) are joined only by ducts or connections carrying flue gas is not integrally designed; however, secondary energy recovery equipment (such as economizers or air preheaters) need not be physically formed into the same unit as the combustion chamber and the primary energy recovery section. The following units are not precluded from being boilers solely because they are not of integral design: process heaters (units that transfer energy directly to a process stream), and fluidized bed combustion units; and c) while in operation, the unit must maintain a thermal energy recovery efficiency of at least 60 percent, calculated in terms of the recovered energy compared with the thermal value of the fuel; and d) the unit must export and utilize at least 75 percent of the recovered energy, calculated on an annual basis. In this calculation, no credit shall be given for recovered heat used internally in the same unit. (Examples of internal use are the preheating of fuel or combustion air, and the driving of induced or forced draft fans or feedwater pumps); or 2. the unit is one which the Regional Administrator has determined, on a case-by-case basis, to be a boiler, after considering the standards in 40 CFR 260.32. CERCLA The Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended (40 CFR 355.20). CERCLA Hazardous Substance A substance on the list defined in section 101(14) of CERCLA. (NOTE: Listed CERCLA hazardous substances appear in table 302.4 of 40 CFR Part 302) (40 CFR 355.20). Chief Executive Officer of the Tribe The person who is recognized by the Bureau of Indian Affairs as the chief elected administrative officer of the tribe (40 CFR 355.20, 370.2, and 372.3). This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Coal Extraction The physical removal or exposure of ore, coal, minerals, waste rock, or overburden prior to beneficiation, and encompasses all extraction-related activities prior to beneficiation. Extraction does not include beneficiation (including coal preparation), mineral processing, in situ leaching or any further activities (40 CFR 372.3). Commission The emergency response commission for the State in which the facility is located except where the facility is located in Indian Country, in which case, commission means the emergency response commission for the tribe under whose jurisdiction the facility is located. In absence of an emergency response commission, the Governor and the chief executive officer, respectively, shall be the commission. Where there is a cooperative agreement between a State and a Tribe, the commission shall be the entity identified in the agreement (40 CFR 355.20 and 370.2) Committee or Local Emergency Planning Committee (LEPC) The local emergency planning committee appointed by the state emergency response commission (40 CFR 355.20 and 370.2). Continuous A continuous release is a release that occurs without interruption or abatement or that is routine, anticipated, and intermittent and incidental to normal operations or treatment processes (40 CFR 302.8(b)) Customs Territory of the United States The 50 states, the District of Columbia, and Puerto Rico (40 CFR 372.3). Disposal Any underground injection, placement in landfills/surface impoundments, land treatment, or other intentional land disposal (40 CFR 372.3). Environment Water, air, and land and the interrelationship which exists among and between water, air, and land and all living things (40 CFR 355.20 and 370.2). EPA The United States Environmental Protection Agency (40 CFR 372.3). Establishment An economic unit, generally at a single physical location, where business is conducted or where services or industrial operations are performed (40 CFR 372.3). Extremely Hazardous Substance A substance listed in Appendices A and B of 40 CFR 355 (40 CFR 355.20). Extremely Hazardous Substance A substance listed in the appendices to 40 CFR Part 355, Emergency Planning and Notification (40 CFR 370.2). Facility All buildings, equipment, structures, and other stationary items that are located on a single site or on contiguous or adjacent sites and which are owned or operated by the same person (or by any person which controls, is controlled by, or under common control with, such person). A facility may contain more than one establishment. Facility shall include manmade structures as well as all natural structures in which chemicals are purposefully placed or removed through human means such that it functions as a containment structure for human use. For purposes of emergency release notification, the term includes motor vehicles, rolling stock, and aircraft (40 CFR 355.20 and 370.2). Facility All buildings, equipment, structures, and other stationary items which are located on a single site or on contiguous or adjacent sites and which are owned or operated by the same person (or by any person which controls, is controlled by, or under common control with such person). A facility may contain more than one establishment (40 CFR 372.3). This document is intended solely for guidance. No statutory or regulatory 5 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Full-time Employee 2000 hours per year of full-time equivalent employment. To calculate the number of full-time employees, total the hours worked during the calendar year by all employees, including contract employees, and divide the total by 2000 hours (40 CFR 372.3). Hazard Category Any of the following (40 CFR 370.2): 1. immediate (acute) health hazard, including highly toxic, toxic, irritant, sensitizer, corrosive, (as defined under Sec. 1910.1200 of Title 29 of the Code of Federal Regulations) and other hazardous chemicals that cause an adverse effect to a target organ and which effect usually occurs rapidly as a result of short term exposure and is of short duration; 2. delayed (chronic) health hazard, including carcinogens (as defined under Sec. 1910.1200 of Title 29 of the Code of Federal Regulations) and other hazardous chemicals that cause an adverse effect to a target organ and which effect generally occurs as a result of long term exposure and is of long duration; 3. fire hazard, including flammable, combustible liquid, pyrophoric, and oxidizer (as defined under Sec. 1910.1200 of Title 29 of the Code of Federal Regulations); 4. sudden release of pressure, including explosive and compressed gas (as defined under Sec. 1910.1200 of Title 29 of the Code of Federal Regulations); and 5. reactive, including unstable reactive, organic peroxide, and water reactive (as defined under Sec. 1910.1200 of Title 29 of the Code of Federal Regulations). Hazardous Chemical Any hazardous chemical as defined under Sec. 1910.1200(c) of Title 29 of the Code of Federal Regulations, except for the following substances (40 CFR 355.20 and 370.2): 1. any food, food additive, color additive, drug, or cosmetic regulated by the Food and Drug Administration. 2. any substance present as a solid in any manufactured item to the extent that exposure to the substance does not occur under normal conditions of use. 3. any substance to the extent it is used for personal, family, or household purposes, or is present in the same form and concentration as a product packaged for distribution and use by the general public. 4. any substance to the extent it is used in a research laboratory or a hospital or other medical facility under the direct supervision of a technically qualified individual. 5. any substance to the extent it is used in routine agricultural operations or is fertilizer held for sale by a retailer to the ultimate customer. Hazardous Substance Any substance designated pursuant to 40 CFR 302 (40 CFR 302.3). Import To intend a chemical to be imported into the customs territory of the United States and to control the identity of the imported chemical and the amount to be imported (40 CFR 372.3). Indian Country Indian country as defined in 18 U.S.C. 1151 (40 CFR 355.20, 370.2 and 372.3): 1. all land within the limits of any Indian reservation under the jurisdiction of the United States government, notwithstanding the issuance of any patent, and including rights-of-way running through the reservation; 2. all dependent Indian communities within the borders of the United States whether within the original or subsequently acquired territory thereof, and whether within or without the limits of a state; 3. all Indian allotments, the Indian titles to which have not been extinguished, including rights-of-way running through the same. Indian Tribe Those tribes federally recognized by the Secretary of the Interior (40 CFR 355.20, 370.2 and 372.3). This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Industrial Furnace Any of the following enclosed devices that are integral components of manufacturing processes and that use thermal treatment to accomplish recovery of materials or energy (40 CFR 372.3): 1. cement kilns 2. lime kilns 3. aggregate kilns 4. phosphate kilns 5. coke ovens 6. blast furnaces 7. smelting, melting and refining furnaces (including pyrometallurgical devices such as cupolas, reverberator furnaces, sintering machines, roasters, and foundry furnaces) 8. titanium dioxide chloride process oxidation reactors 9. methane reforming furnaces 10. pulping liquor recovery furnaces 11. combustion devices used in the recovery of sulfur values from spent sulfuric acid 12. halogen acid furnaces (HAFs) for the production of acid from halogenated hazardous waste generated by chemical production facilities where the furnace is located on the site of a chemical production facility, the acid product has a halogen acid content of at least 3%, the acid product is used in a manufacturing process, and, except for hazardous waste burned as fuel, hazardous waste fed to the furnace has a minimum halogen content of 20% as-generated 13. such other devices as the Administrator may, after notice and comment, add to this list on the basis of one or more of the following factors: a) the design and use of the device primarily to accomplish recovery of material products; b) the use of the device to burn or reduce raw materials to make a material product; c) the use of the device to burn or reduce secondary materials as effective substitutes for raw materials, in processes using raw materials as principal feedstocks; d) the use of the device to burn or reduce secondary materials as ingredients in an industrial process to make a material product; e) the use of the device in common industrial practice to produce a material product; and f) other factors, as appropriate. Inventory Form The Tier I and Tier II emergency and hazardous chemical inventory forms set forth in Subpart D of 40 CFR 370 (40 CFR 370.2). Land Disturbance Incidental to Extraction This includes: land clearing; overburden removal and stockpiling; excavating, handling, transporting, and storing ores and other raw materials; and replacing materials in mined-out areas as long as such materials have not been beneficiated or processed and do not contain elevated radionuclide concentrations (greater than 7.6 picocuries per gram or pCi/g of Uranium- 238, 6.8 pCi/g of Thorium-232, or 8.4 pCi/g of Radium-226) (40 CFR 355.40) Material Safety Data Sheet or MSDS The sheet required to be developed under 29 CFR 1910.1200(g) (40 CFR 370.2). Manufacture To produce, prepare, import, or compound a toxic chemical. Manufacture also includes coincidental production of a toxic chemical during the manufacture, processing, use, or treatment of another chemical or mixture of chemicals, including a toxic chemical that is separated from that other chemical or mixture of chemicals as a byproduct, and a toxic chemical that remains in that other chemical or mixture as an impurity (>0.1% for carcinogens; otherwise >1%) (40 CFR 372.3). Management Practice Practice that, although not mandated by law, is encouraged to promote safe operating procedures. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Mixture (EPCRA 311, 312, and 313) Any combination of two or more chemicals, if the combination is not, in whole or in part, the result of a chemical reaction. However, if the combination was produced by a chemical reaction but could have been produced without a chemical reaction, it is also treated as a mixture. A mixture also includes any combination that consists of a chemical and associated impurities (40 CFR 372.3). Mixture (EPCRA 304) A heterogeneous association of substances where the various individual substances retain their identities and can usually be separated by mechanical means. Includes solutions or compounds but does not include alloys or amalgams (40 CFR 355.20). Normal Range The normal range of a release is all releases (in pounds or kilograms) of a hazardous substance reported or occurring over any 24-hour period under normal operating conditions during the preceding year. Only releases that are both continuous and stable in quantity and rate may be included in the normal range (40 CFR 302.8(b)). Otherwise Use Any use of a toxic chemical that is not covered by the terms "manufacture" or "process" and includes use of a toxic chemical contained in a mixture, trade name product or waste. Otherwise use of a toxic chemical does not include disposal, stabilization (without subsequent distribution in commerce), or treatment for destruction unless (40 CFR 372.3): 1. the toxic chemical that was disposed, stabilized, or treated for destruction was received from off-site for the purposes of further waste management; or 2. the toxic chemical that was disposed, stabilized, or treated for destruction was manufactured as a result of waste management activities on materials received from off-site for the purposes of further waste management activities. Relabeling or redistributing of the toxic chemical where no repackaging of the toxic chemical occurs does not constitute otherwise use or processing of the toxic chemical. Overburden The unconsolidated material that overlies a deposit of useful materials or ores. It does not include any portion of ore or waste rock (40 CFR 372.3). Person Any individual, trust, firm, joint stock company, corporation (including a government corporation), partnership, association, state, municipality, commission, political subdivision of a state, or interstate body (40 CFR 355.20 and 370.2). Present in the Same Form and Concentration as a Product Packaged for Distribution and Use by the General Public A substance packaged in a similar manner and present in the same concentration as the substance when packaged for use by the general public, whether or not it is intended for distribution to the general public or used for the same purpose as when it is packaged for use by the general public (40 CFR 370.2). Process The preparation of a listed toxic chemical, after its manufacture, for distribution in commerce (40 CFR 372.3): 1. in the same or different form or physical state from which it was received by the person preparing such substance, or 2. as part of an article containing the toxic chemical. Process also applies to the processing of a toxic chemical contained in a mixture or trade name product. RCRA Approved Test Method Includes Test Method 9095 (Paint Filter Liquids Test) in "Test Methods for Evaluating Solid Waste, Physical/Chemical Methods," EPA Publication No. SW-846, Third Edition, September 1986, as amended by Update I, November 15, 1992 (40 CFR 372.3). Release Any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, or disposing into the environment (including the abandonment or discarding of barrels, containers, and other closed receptacles) of any hazardous chemical, extremely hazardous substance, or CERCLA hazardous substance (40 CFR 355.20). This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Release Any spilling, leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping, leaching, dumping, or disposing into the environment (including the abandonment or discarding of barrels, containers, and other closed receptacles) of any toxic chemical (40 CFR 372.3). Reportable Quantity For a CERCLA hazardous substance, the reportable quantity is the amount established in 40 CFR 302 Table 302.4. For an extremely hazardous substance, the reportable quantity is the amount established in 40 CFR 355, Appendices A and B (40 CFR 355.20). Routine Routine release is a release that occurs during normal operating procedures or processes (40 CFR 302.8(b)) Senior Management Official An official with management responsibility for the person or persons completing the report, or the manager of environmental programs for the facility or establishments, or for the corporation owning or operating the facility or establishment responsible for certifying similar reports under other environmental regulatory requirements (40 CFR 372.3). Stable In Quantity and Rate A release that is stable in quantity and rate is a release that is predictable and regular in amount and rate of emission (40 CFR 302.8(b)) [Added April 1999]. State Any state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, the Northern Mariana Islands, any other territory or possession over which the United States has jurisdictions and Indian Country (40 CFR 355.20, 370.2 and 372.3). Statistically Significant Increase A statistically significant increase in a release is an increase in the quantity of the hazardous substance released above the upper bound of the reported normal range of the release (40 CFR 302.8(b)) Threshold Planning Quantity The threshold planning quantity for an extremely hazardous substance as listed in 40 CFR 355, Appendices A and B (40 CFR 355.20 and 370.2). Title III Title III of the Superfund Amendments and Reauthorization Act of 1986, also titled the Emergency Planning and Community Right-to-Know Act of 1986 (40 CFR 372.3). Toxic Chemical A chemical or chemical category listed in 40 CFR 372.65 (40 CFR 372.3). Trade Name Product A chemical or mixture of chemicals that is distributed to other persons and that incorporates a toxic chemical component that is not identified by the applicable chemical name or Chemical Abstracts Service Registry number listed in 40 CFR 372.65. Treatment for Destruction The destruction of a toxic chemical in waste such that the substance is no longer the toxic chemical subject to reporting under EPCRA section 313. Treatment for destruction does not include the destruction of a toxic chemical in waste where the toxic chemical has a heat value greater than 5,000 Btu and is combusted in any device that is an industrial furnace or boiler (40 CFR 372.3). This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Unlisted Hazardous Substances A solid waste, as defined in 40 CFR 261.2, which is not excluded from regulation as a hazardous waste under 40 CFR 261.4(b), is a hazardous substance under section 101(14) of CERCLA if it exhibits any of the characteristics identified in 40 CFR 261.20 through 261.24 (40 CFR 302.4(b)) Waste Stabilization Any physical or chemical process used to either reduce the mobility of hazardous constituents in a hazardous waste or eliminate free liquid as determined by a RCRA approved test method for evaluating solid waste as defined in 40 CFR 372.3. A waste stabilization process includes mixing the hazardous waste with binders or other materials, and curing the resulting hazardous waste and binder mixture. Other synonymous terms used to refer to this process are "stabilization," "waste fixation," or "waste solidification" (40 CFR 372.3). Typical Records to Review Emergency response plan(s) Emergency Release Notification Reports Chemical inventory forms MSDSs Pollution prevention plan (optional) Tier I/Tier II reports Toxic chemical source reduction and recycling reports (for facilities subject to Form R reporting) Toxic release inventory (TRI) reports (Form R/Form A) and related documentation Hazardous communication plan Contingency plan. Typical Physical Features to Inspect Chemical storage areas Chemical manufacturing or processing areas (generation sites) Recordkeeping system Shop activities Hazardous material/waste transfer areas Treatment units Recycling sites Disposal sites Surface impoundments List of Acronyms and Abbreviations Btu British Thermal Units CAA Clean Air Act CAS Chemical Abstract Service CERCLA Comprehensive Environmental Response, Compensation, and Liability Act (or Superfund) CFR Code of Federal Regulations CWA Clean Water Act CY Calendar Year EHS Extremely hazardous substance EPA Environmental Protection Agency EPCRA Emergency Planning and Community Right-to-Know Act of 1986 FR Federal Register gal. Gallon h Hour kg Kilogram This document is intended solely for guidance. No statutory or regulatory 19 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Ib. Pound Ib/yr Pounds per year LEPC Local Emergency Planning Committee Mi Mile MP Management practice MSDS Material Data Safety Sheet NOV Notice of violation NRC National Response Center OSHA Occupational Health and Safety Act PAC Polycyclic aromatic compound PBT Persistent bioaccumulative toxic POTW Publicly owned treatment works PPA Pollution Prevention Act of 1990 RCRA Resource Conservation and Recovery Act RQ Reportable quantity SARA Superfund Amendments and Reauthorization Act of 1986 SERC State Emergency Response Commission SIC Standard Industrial Classification SPCC Spill Prevention, Control and Countermeasures TPQ Threshold planning quantity TRI Toxic release inventory U.S.C. United States Code yr Year =/> Equal to or greater than =/< Equal to or less than This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 This Page Intentionally Left Blank This document is intended solely for guidance. No statutory or regulatory 12 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Index for Checklist Users Compliance Category Index Category General Planning Release Notification/Reporting Recordkeeping Refer To: Checklist Items: EP.1.1 through EP.l. 3 EP. 10.1 and EP. 10.2 EP.20.1 through EP.20.6 EP.30.1 Page Numbers: 15 17 19 33 Statute Index Statute or Statute Section EPCRA Section 302 EPCRA Section 304 CERCLA Section 103 CERCLA Section 103(f)(2) EPCRA Section 3 1 1 EPCRA Section 3 12 EPCRA Section 3 13 Refer To: Checklist Items: EP.10.1 EP.20.1 EP.20.5 EP.20.6 EP.20.2 EP.20.3 EP.20.4 and EP.30.1 Page Numbers: 17 19 27 28 20 22 26 and 33 This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 13 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 This Page Intentionally Left Blank This document is intended solely for guidance. No statutory or regulatory 14 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Checklist COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS GENERAL EP.l EP.1.1. The current status of any ongoing or unresolved Consent Orders, Compliance Agreements, Notices of Violation (NOVs), or equivalent state enforcement actions should be examined. Determine if noncompliance issues have been resolved by reviewing a copy of the previous audit report, Consent Orders, Compliance Agreements, NOVs, or equivalent state enforcement actions. Determine and indicate, for open items, what corrective action is planned and milestones established to correct problems. EP.1.2. Facilities are required to comply with all applicable federal regulatory requirements not contained in this checklist. Determine if any new regulations have been issued since the finalization of this guide. If so, annotate checklist to include new standards. Determine if the facility has activities or facilities that are federally regulated, but not addressed in this checklist. Verify that the facility is in compliance with all applicable and newly issued regulations. EP.1.3. Facilities are required to abide by state and local regulations concerning hazardous materials. Verify that the facility is abiding by state and local requirements. Verify that the facility is operating according to permits issued by the state or local agencies. (NOTE: Issues typically regulated by state and local agencies include: - notification requirements - response plan requirements - spill response requirements.) This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 15 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 This Page Intentionally Left Blank This document is intended solely for guidance. No statutory or regulatory 15 requirements are in any way altered by any statement(s) contained herein. ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS PLANNING EP.10 EP.10.1. Facilities with quantities of extremely hazardous substances equal to or greater than the threshold limitations are required to follow specific emergency planning procedures (40 CFR 355.30 and 355 Appendix A). (NOTE: For purposes of this checklist item, an amount of any extremely hazardous substance means the total amount of an extremely hazardous substance present at any one time at a facility at concentrations greater than one percent by weight, regardless of location, number of containers, or method of storage.) Verify that the facility has notified the Commission (see definitions) that it is subject to the emergency planning requirements within 60 days after the facility first becomes subject to these requirements. Verify that the facility has a designated representative who participates in the local emergency planning process as a facility emergency response coordinator. Verify that the facility has notified the local emergency planning committee, or governor if there is no committee, of the facility representative within 30 days after establishment of a local emergency planning committee. Verify that the local emergency planning committee is informed of any changes occurring at the facility that may be relevant to emergency planning. Verify that, upon request of the local emergency planning committee, the facility promptly provides to the committee any information necessary for development or implementation of the local emergency plan. (NOTE: If a container or storage vessel holds a mixture or solution of an extremely hazardous substance, then the concentration of extremely hazardous substance, in weight percent (greater than 1 percent sign), shall be multiplied by the mass (in pounds) in the vessel to determine the actual quantity of extremely hazardous substance therein. Extremely hazardous substances that are solids are subject to either of two threshold planning quantities (i.e., 500/10,000 Ib). The lower quantity applies only if the solid exists in powdered form and has a particle size less than 100 microns; or is handled in solution or in molten form; or meets the criteria for a NFPA rating of 2, 3, or 4 for reactivity. If the solid does not meet any of these criteria, it is subject to the upper (10,000 Ib) TPQ. The 100-micron level may be determined by multiplying the weight percent of solid with a particle size less than 100 microns in a particular container by the quantity of solid in the container. The amount of solid in solution may be determined by multiplying the weight percent of solid in the solution in a particular container by the quantity of solution in the container. The amount of solid in molten form must be multiplied by 0.3 to determine whether the lower threshold planning quantity is met.) This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 17 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS EP.10.2. The contingency plan developed for the facility should be compared to the local emergency contingency plan (MP). Verify that the facility contingency plan is compatible with the contingency plan developed by the local emergency planning committee. Verify that the facility contingency plan considers how local emergency response officials will likely respond to a chemical release. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 18 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS RELEASE, NOTIFICATION, REPORTING EP.20 (NOTE: Emergency release notification requirements do not apply to: - any release that results in exposure to persons solely within the boundaries of the facility - any release that is a federally permitted release as defined in section 101 (10) of CERCLA -any release that is continuous and stable in quantity and rate under the definitions in 40 CFR 302.8(b) -any release of a pesticide product exempt from CERCLA section 103(a) reporting under section 103(e) of CERCLA -any release not meeting the definition of release under Section 101(22) of CERCLA, and therefore exempt from Section 103(a) reporting - any radionuclide release which occurs: - naturally in soil from land holdings such as parks, golf courses, or other large tracts of land -naturally from land disturbance activities, including farming, construction, and land disturbance incidental to extraction during mining activities, except that which occurs at uranium, phosphate, tin, zircon, hafnium, vanadium, monazite, and rare earth mines - from the dumping and transportation of coal and coal ash (including fly ash, bottom ash, and boiler slags), including the dumping and land spreading operations that occur during coal ash uses -from piles of coal and coal ash, including fly ash, bottom ash, and boiler slags.) (NOTE: Exemption from these emergency release notification requirements for continuous releases does not include exemption from requirements for: - initial notifications as defined in 40 CFR 302.8(d) and (e) - notification of a "statistically significant increase" - notification of a "new release" - notification of a change in the normal range of the release as required under 40 CFR 302.8(g)(2).) When there is a of a reportable (RQ) of any hazardous or CERCLA substance release is required (40 355 EP.20.1 release quantity extremely substance hazardous emergency notification CFR 355.40 and Appendices A and B) Determine if there has been a release of an extremely hazardous substance or CERCLA hazardous substance in excess of the RQ. Verify that, if a release has occurred in excess of the reportable quantity, the following are immediately notified: -community emergency coordinator for the local emergency planning committee of any area likely to be affected by the release - state emergency response commission of any state likely to be affected by the release - local emergency response personnel if there is no local emergency planning committee. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 19 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS Verify that the notice contains the following, to the extent known at the time of notice, so long as no delay in notice or emergency response results: - the chemical name or identity of any substance involved in the release - an indication of whether the substance is an extremely hazardous substance - an estimate of the quantity of any such substance that was released into the environment -the time and duration of the release - the medium or media into which the release occurred - any known or anticipated acute or chronic health risks associated with the emergency, and, where appropriate, advice regarding medial attention necessary for exposed individuals - proper precautions to take as a result of the release, including evacuation (unless such information is readily available to the community emergency coordination because of the local emergency plan) - the names and telephone numbers of the person or persons to be contacted for further information. Verify that, after the immediate verbal notification, a written follow-up emergency notification is produced which contains the same information detailed in the verbal notice (outlined above), plus: - actions taken to respond to and contain the release - any known or anticipated acute or chronic health risks associated with the release - advice regarding medical attention necessary for exposed individuals. EP.20.2. Releases in excess of or equal to the RQ of listed and unlisted hazardous substances shall be reported to the NRC immediately (40 CFR 302.5 through 302.6) Verify that a release (other than a federally permitted release or application of a pesticide) of a hazardous substance from a vessel, an offshore facility, or an onshore facility is reported to the NRC immediately after the release is identified. (NOTE: 40 CFR 302.4 lists hazardous substances (see definitions section of this document) and RQs subject to the notification requirements outlined in 40 CFR 302.6. These hazardous substances contained in the tables and Appendix B of 40 CFR 302.4 are referred to in these regulations as "listed hazardous substances". See 40 CFR 302.5(a).) (NOTE: The RQ of an unlisted hazardous substance (see definitions) is 100 Ib, except for those unlisted hazardous wastes that exhibit extraction procedure (EP) toxicity identified in 40 CFR 261.24. Unlisted hazardous wastes that exhibit EP toxicity have the RQs listed in the table in 40 CFR 302.4 for the contaminant on which the characteristic of EP toxicity is based. The RQ applies to the waste itself, not merely to the toxic contaminant. If an unlisted hazardous waste exhibits EP toxicity on the basis of more than one contaminant, the RQ for that waste shall be This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 20 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS the lowest of the RQs listed in the table in 40 CFR 302.4 for those contaminants. If an unlisted hazardous waste exhibits the characteristic of EP toxicity and one or more of the other characteristics referenced in 40 CFR 302.4(b), the RQ for that waste is the lowest of the applicable reportable quantities.) Verify that, if mixtures or solutions (including hazardous waste streams) of hazardous substances are released, except for radionuclides, the release is reported when either of the following occur: - the quantity of all hazardous constituents of the mixture or solution is known and a reportable quantity or more of any hazardous constituent is released - the quantity of one or more of the hazardous constituents of the mixture or solution is unknown and the total amount of the mixture or solution released equals or exceeds the reportable quantity for the hazardous constituent with the lowest reportable quantity. (NOTE: Radionuclides are subject to these notification requirements only in the following circumstances: - if the identity and quantity (in curies) of each radionuclide in a released mixture or solution is known, the ratio between the quantity released (in curies) and the RQ for the radionuclide must be determined for each radionuclide. The only such releases notification requirements are those in which the sum of the ratios for the radionuclides in the mixture or solution released is =/> 1 - if the identity of each radionuclide in a released mixture or solution is known but the quantity released (in curies) of one or more of the radionuclides is unknown, the only such releases subject to notification requirements are those in which the total quantity (in curies) of the mixture or solution released is =/> the lowest RQ of any individual radionuclide in the mixture or solution - if the identity of one or more radionuclides in a released mixture or solution is unknown (or if the identity of a radionuclide released by itself is unknown), the only such releases subject to notification requirements are those in which the total quantity (in curies) released is equal to or greater than either one curie or the lowest RQ of any known individual radionuclide in the mixture or solution, whichever is lower.) (NOTE: The following categories of releases are exempt from the notification requirements: -releases of those radionuclides that occur naturally in the soil from land holdings such as parks, golf courses, or other large tracts of land - releases of naturally occurring radionuclides from land disturbance activities, including farming, construction, and land disturbance incidental to extraction during mining activities, except that which occurs at uranium, phosphate, tin, zircon, hafnium, vanadium, monazite, and rare earth mines. Land disturbance incidental to extraction includes: land clearing; overburden removal and This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 21 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS stockpiling; excavating, handling, transporting, and storing ores and other raw materials; and replacing materials in mined-out areas as long as such materials have not been beneficiated or processed and do not contain elevated radionuclide concentrations (greater than 7.6 pCi/g of Uranium-238, 6.8 pCi/g of Thorium-232, or 8.4 pCi/g of Radium-226) - releases of radionuclides from the dumping and transportation of coal and coal ash (including fly ash, bottom ash, and boiler slags), including the dumping and land spreading operations that occur during coal ash uses - releases of radionuclides from piles of coal and coal ash, including fly ash, bottom ash, and boiler slags.) (NOTE: Except for releases of radionuclides, notification of the release of an RQ of solid particles of antimony, arsenic, beryllium, cadmium, chromium, copper, lead, nickel, selenium, silver, thallium, or zinc is not required if the mean diameter of the particles released is larger than 100 micrometers (0.004 in.). EP.20.3. Specific notifications are required for releases of hazardous substances that qualify for reduced reporting options (40 CFR 302.8) Determine if there are any releases that are continuous and stable in quantity and rate. Verify that the following notifications have been given: - initial telephone notification - initial written notification within 30 days of the initial telephone notification -follow-up notification within 30 days of the first anniversary date of the initial written notification - notification of changes in: -the composition or source of the release - information submitted in the initial written notification - information submitted in the follow-up notification when there is an increase in the quantity of the hazardous substances in any 24-h period that represents a statistically significant increase. Verify that, prior to making an initial telephone notification of a continuous release, the person in charge of a facility or vessel establishes a sound basis for qualifying the release for reporting by one of the following: -using release data, engineering estimates, knowledge of operating procedures, or best professional judgment to establish the continuity and stability of the release -reporting the release to the NRC for a period sufficient to establish the continuity and stability of the release or when a basis has been established to qualify the release for reduced reporting, initial notification to the NRC is made by telephone. Verify that the notification is identified as an initial continuous release notification This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 22 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS report and includes the following information: -the name(s) and location(s) of the facility or vessel -the name(s) and identity(ies) of the hazardous substances being released. Verify that initial written notification of a continuous release is made to the appropriate U.S. EPA Regional Office for the geographical area where the releasing facility or vessel is located and occurs within 30 days of the initial telephone notification to the NRC. Verify that the initial written notification includes, for each release for which reduced reporting as a continuous release is claimed, the following information: - the name of the facility or vessel; the location, including the latitude and longitude; the case number assigned by the NRC or the U.S. EPA; the Dun and Bradstreet number of the facility, if available; the port of registration of the vessel; the name and telephone number of the person in charge of the facility or vessel -the population density within a one-mi radius of the facility or vessel, described in terms of the following ranges: 0-50 persons, 51-100 persons, 101-500 persons, 501-1,000 persons, more than 1,000 persons -the identity and location of sensitive populations and ecosystems within a one-mi radius of the facility or vessel (e.g., elementary schools, hospitals, retirement communities, or wetlands) - for each hazardous substance release claimed to qualify for reporting under CERCLA section 103(f)(2), the following information: -the name/identity of the hazardous substance; the CAS Registry Number for the substance (if available); and, if the substance being released is a mixture, the components of the mixture and their approximate concentrations and quantities, by weight -the upper and lower bounds of the normal range of the release (in pounds or kilograms) over the previous year -the source(s) of the release (e.g., valves, pump seals, storage tank vents, stacks). If the release is from a stack, the stack height (in feet or meters) - the frequency of the release and the fraction of the release from each release source and the specific period over which it occurs -a brief statement describing the basis for stating that the release is continuous and stable in quantity and rate - an estimate of the total annual amount that was released in the previous year (in pounds or kilograms) - the environmental medium affected by the release, such as the name of the surface water body; the stream order or average flowrate (in cubic feet/second) and designated use; the surface area (in acres) and average depth (in feet or meters) of the lake; the location of public water supply wells within two mi if on or underground -a signed statement that the hazardous substance release described is This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 23 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS continuous and stable in quantity and rate and that all reported information is accurate and current to the best knowledge of the person in charge. Verify that, within 30 days of the first anniversary date of the initial written notification (see above), each hazardous substance release reported is evaluated to verify and update the information submitted in the initial written notification. Verify that the follow-up notification contains all the information required in the initial notification, plus notification of changes in the release not otherwise reported (NOTE: Instead of the initial written report or follow-up report, a copy of the Toxic Release Inventory (TRI) form submitted under SARA Title III section 313 to U.S. EPA for the previous July 1 may be used if the following information is added: -the population density within a one mile radius of the facility or vessel described in terms of the following ranges: - 0 to 50 persons -51 to 100 persons -101 to 500 persons -501 to 1000 persons - more than 1000 persons -the identify and location of sensitive populations and ecosystems within a one mile radius of the facility or vessel (e.g., elementary schools, hospitals, retirement communities, or wetlands) - the following information for each hazardous substance release that qualifies for reporting under CERCLA section 103(f)(2): -the upper and lower bounds of the normal range of the release (in pounds or kilograms) over the previous year - the frequency of the release and the fraction of the release from each release source and the specific period over which it occurs -a brief statement describing the basis for stating that the release is continuous and stable in quantity and rate - a signed statement that the release is continuous and stable in quantity and rate and that all reported information is accurate and current to the best knowledge of the person in charge.) (NOTE: If there is a change in any information submitted in the initial written notification or the follow-up notification other than a change in the source, composition, or quantity of the release, the person in charge of the facility or vessel shall provide written notification of the change to the U.S. EPA Region for the geographical area where the facility or vessel is located, within 30 days of determining that the information submitted previously is no longer valid. Notification shall include the reason for the change, and the basis for stating that the release is continuous and stable under the changed conditions. Notification of changes shall include the case number assigned by the NRC or the U.S. EPA and This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 24 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS also the signed certification statement.) Verify that notification of a statistically significant increase in a release is made to the NRC as soon as there is knowledge of the release. (NOTE: A determination of whether an increase is a "statistically significant increase" shall be made based upon calculations or estimation procedures that will identify releases that exceed the upper bound of the reported normal range.) Verify that each hazardous substance release is evaluated annually to determine if changes have occurred in the information submitted in the initial written notification, the follow-up notification, and/or in a previous change notification. (NOTE: Where necessary to satisfy the requirements of 40 CFR 302.8, the person in charge may rely on recent release data, engineering estimates, the operating history of the facility or vessel, or other relevant information to support notification. All supporting documents, materials, and other information shall be kept on file at the facility, or in the case of a vessel, at an office within the United States in either a port of call, a place of regular berthing, or the headquarters of the business operating the vessel.) Verify that supporting materials are kept on file for a period of one yr and that they substantiate the reported normal range of releases, the basis for stating that the release is continuous and stable in quantity and rate, and the other information in the initial written report, the follow-up report, and the annual evaluations. (NOTE: The supporting materials must be made available to U.S. EPA upon request.) (NOTE: Multiple concurrent releases of the same substance occurring at various locations with respect to contiguous plants or installations upon contiguous grounds that are under common ownership or control may be considered separately or added together in determining whether such releases constitute a continuous release or a statistical increase in the release; whichever approach is elected for purposes of determining whether a release is continuous also must be used to determine a statistically significant increase in the release.) This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 25 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS EP.20.4. Facilities which are required to prepare or have available a MSDS for a hazardous chemical under OSHA are required to meet specific MSDS reporting requirements for planning purposes (40 CFR 370.20(a) through 370.21(a), 370.20(c), and 370.28). (NOTE: The emergency response commission consists of the State Emergency Response Commission and the local Emergency Planning Committee. Some states have only one of these.) Verify that MSDSs (or a list as described below) are submitted to the emergency response commission, the local emergency planning committee, and the fire department with jurisdiction over the facility for each hazardous chemical present according to the following thresholds: -for all extremely hazardous substances present in amounts greater than or equal to 500 Ib (227 kg, approximately 55 gal) or the threshold planning quantity, whichever is lower - for gasoline (all grades combined) in amounts greater than or equal to 75,000 gal (or approximately 283,900 L) when the gasoline is in tanks entirely underground at a retail gas station that was in compliance during the preceding calendar year with all applicable UST regulations (40 CFR Part 280 or requirements of the state UST program approved by U.S. EPA under 40 CFR Part 281) -for diesel fuel (all grades combined) in amounts greater than or equal to 100,000 gal (or approximately 378,500 L) when the diesel is in tanks entirely underground at a retail gas station that was in compliance during the preceding calendar year with all applicable UST regulations (40 CFR Part 280 or requirements of the state UST program approved by U.S. EPA under 40 CFR Part 281) - for all other hazardous chemicals present at any one time in amounts equal to or greater than 10,000 Ib (4540 kg). (NOTE: For the purposes of these threshold values, a retail gas station is a retail facility engaged in selling gasoline and/or diesel fuel principally to the public, for motor vehicle use on land.) (NOTE: Commonly overlooked substances requiring an MSDS are propane and petroleum based fuels. For diesel and unleaded gasoline, 10,000 Ib equals approximately 1379 gal using the weight of 7.25 Ib/gal.) Verify that if the facility has not submitted MSDSs, the following have been submitted: -a list of hazardous chemicals for which the MSDS is required, grouped by hazard category (see Key Terms and Definitions section of this document for a definition of Hazard Category) - the chemical or common name of each hazardous chemical as provided on the MSDS - any hazardous component of each hazardous chemical as provided on the MSDS unless reported as a mixture (see 40 CFR 370.28(a)(2). This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 26 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS Verify that revised MSDSs are provided to the local emergency planning committee, emergency response commission, and fire department within 3 mo after the discovery of significant new information concerning the hazardous chemical for which the MSDSs were submitted. (NOTE: When MSDSs for hazardous chemicals present at the facility have not been submitted to the local emergency planning committee, the facility owner or operator must submit the MSDSs within 30 days of the receipt of such a request.) (NOTE: These reporting requirements for a hazardous chemical that is a mixture of hazardous chemicals can be fulfilled by doing one of the following: - providing the required information on each component in the mixture that is a hazardous chemical -providing the required information on the mixture itself so long as the reporting of a mixture by a facility is in the same manner as required by 40 CFR 370.21 where practicable.) EP.20.5. Facilities which are required to prepare or have available a MSDS for a hazardous chemical under OSHA are required to meet specific inventory reporting requirements for planning purposes (40 CFR 370.20(a), 370.20(b), 370.20(d), 370.25, and 370.28(a)). Verify that the Tier I (or Tier II) Hazardous Chemical Inventory forms are submitted annually to the local emergency planning committee, the emergency response commission, and the fire department with jurisdiction over the facility. (NOTE: Hazardous chemicals and substances that must be included Hazardous Chemical Inventory forms are: - all extremely hazardous substances present in amounts greater than or equal to 500 Ib (227 kg, approximately 55 gal) or the threshold planning quantity, whichever is lower -gasoline (all grades combined) in amounts greater than or equal to 75,000 gal (or approximately 283,900 L) when the gasoline is in tanks entirely underground at a retail gas station that was in compliance during the preceding calendar year with all applicable UST regulations (40 CFR Part 280 or requirements of the state UST program approved by U.S. EPA under 40 CFR Part 281) - diesel fuel (all grades combined) in amounts greater than or equal to 100,000 gal (or approximately 378,500 L) when the diesel is in tanks entirely underground at a retail gas station that was in compliance during the preceding calendar year with all applicable UST regulations (40 CFR Part 280 or requirements of the state UST program approved by U.S. EPA under 40 CFR Part 281) - all other hazardous chemicals present at any one time in amounts equal to or greater than 10,000 Ib (4540 kg).) Verify that Tier I or Tier II forms are submitted on or before March 1 of the first year after the facility becomes subject to 40 CFR 370.20 through 370.28. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 27 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS (NOTE: For the purposes of these threshold values, a retail gas station is a retail facility engaged in selling gasoline and/or diesel fuel principally to the public, for motor vehicle use on land.) (NOTE: Commonly overlooked substances requiring an MSDS are propane and petroleum based fuels.) (NOTE: A Tier II form may be submitted in lieu of the Tier I information with respect to any hazardous chemical at the facility. If requested, all Tier II forms must be submitted to the local emergency planning committee, the emergency response commission and the fire department with jurisdiction over the facility. Tier II forms must be submitted within 30 days of the receipt of each request.) (NOTE: The owner or operator of a facility that has submitted a Tier I or Tier II inventory form must allow on-site inspection by the fire department having jurisdiction over the facility upon request of the department and provide to the department specific location information on hazardous chemicals at the facility.) (NOTE: These reporting requirements for a hazardous chemical that is a mixture of hazardous chemicals may be fulfilled by doing one of the following: - providing the required information on each component in the mixture that is a hazardous chemical -providing the required information on the mixture itself so long as the reporting of mixtures by a facility is in the same manner as required by 40 CFR 370.21 where practicable.) EP.20.6. Facilities that manufacture, process, or otherwise use a listed toxic chemical in excess of applicable threshold quantities and that have 10 or more employees are subject to certain reporting requirements (40 CFR 372.22 through 372.38 and 372.95(b)). (NOTE: These reporting requirements apply to facilities that meet all of the following criteria for a calendar year: -the facility has 10 or more full-time employees -the facility is in Standard Industrial Classification (SIC) (as in effect on January 1, 1987) major group codes 10 (except 1011, 1081, and 1094), 12 (except 1241), or 20 through 39; industry codes 4911, 4931, or 4939 (limited to facilities that combust coal and/or oil for the purpose of generating power for distribution in commerce); or 4953 (limited to facilities regulated under the RCRA, subtitle C, 42 U.S.C. section 6921 et seq.), or 5169, or 5171, or 7389 (limited to facilities primarily engaged in solvent recovery services on a contract or fee basis) by virtue of the fact that it meets one of the following criteria: -the facility is an establishment with a primary SIC major group or industry code in the above list -the facility is a multi-establishment complex where all establishments have primary SIC major group or industry codes in the above list -the facility is a multi-establishment complex in which one of the folio wing is true: This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 28 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS - the sum of the value of services provided and/or products shipped and/or produced from those establishments that have primary SIC major group or industry codes in the above list is greater than 50 percent of the total value of all services provided and/or products shipped from and/or produced by all establishments at the facility -one establishment having a primary SIC major group or industry code in the above list contributes more in terms of value of services provided and/or products shipped from and/or produced at the facility than any other establishment within the facility. - the facility manufactured (including imported), processed, or otherwise used a listed toxic chemical in excess of an applicable threshold quantity of that chemical.) (NOTE: The following are the threshold levels for a facility that is manufacturing (including importing), processing, or otherwise using a toxic chemical: -has manufactured or processed over 25,000 Ib/yr of toxic chemicals, except for persistent bioaccumulative toxic (PBT) chemicals - has otherwise used over 10,000 Ib of toxic chemicals during the year, except for PBT chemicals -for the chemicals listed in Appendix A of this document, the amounts indicated in the appendix. (NOTE: The reporting requirement thresholds for PBY chemicals are listed in Table 2 of Appendix A of this document.) Verify that a completed U.S. EPA Form R (U.S. EPA Form 9350-1) is submitted annually, for each toxic chemical known by the facility owner or operator to be manufactured (including imported) or otherwise used and exceeding threshold levels in one calendar year to the U.S. EPA and state on or before July 1 of the next year. (NOTE: Articles containing toxic chemicals are not included in calculations of total toxic chemical present. See 40 CFR 372.38(b) for procedure to determine whether an excess has occurred.) (NOTE: The owner or operator of a facility regulated under 40 CFR Part 372 is required to complete and submit U.S. EPA Form R, as described above, for a toxic chemical that is present as a component of a mixture or trade name product which the owner or operator receives from another person, if that chemical is imported, processed, or otherwise used by the owner or operator in excess of an applicable threshold quantity at the facility as part of that mixture or trade name product.) (NOTE: The owner or operator or a facility at which a toxic chemical was manufactured (including imported), processed or otherwise used in excess of an applicable threshold quantity may submit a separate Form R for each establishment or for each group of establishments within the facility to report the This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 29 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS activities involving the toxic chemical at each establishment or group of establishments, provided that activities involving the toxic chemical at all the establishments within the covered facility are reported. See 40 CFR 372.30(c) for instruction and procedures regarding alternatives for reporting when the facility consists of more than one establishment. (NOTE: A facility may apply an alternate threshold of one million Ib/yr to a chemical if it is calculated that the facility would have an annual reportable amount of that toxic chemical not exceeding 500 Ib for the combined total quantities released at the facility, disposed within the facility, treated at the facility (as represented by amounts destroyed or converted by treatment processes), recovered at the facility as a result of recycle operations, combusted for the purpose of energy recovery at the facility, and amounts transferred from the facility to offsite locations for the purpose of recycle, energy recovery, treatment, and/or disposal. The alternate threshold provisions do not apply to the chemicals listed in Appendix A of this document.) Verify that, if a facility uses the alternate reporting threshold, the facility owner or operator submits the required certification statement that contains the following information instead of the U.S. EPA Form R: - reporting year - an indication of whether the chemical identified is being claimed as trade secret -chemical name and CAS number (if applicable) of the chemical, or the category name - signature of a senior management official certifying the following: pursuant to 40 CFR 372.27, "I hereby certify that to the best of my knowledge and belief for the toxic chemical listed in this statement, the annual reportable amount, as defined in 40 CFR 372.27(a), did not exceed 500 Ib for this reporting year and that the chemical was manufactured, or processed, or otherwise used in an amount not exceeding 1 million pounds during this reporting year" - date signed - facility name and address - mailing address of the facility if different than the above - toxic chemical release inventory facility identification number if known - name and telephone number of a technical contact - the four-digit SIC codes for the facility or establishments in the facility - latitude and longitude coordinates for the facility - Dun and Bradstreet number of the facility -U.S. EPA identification number(s) (RCRA) ID. Number(s) of the facility - facility NPDES permit number(s) -underground Injection Well Code (UIC) ID. Number(s) of the facility - name of the facility's parent company - parent company's Dun and Bradstreet Number. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 30 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS Verify that, when more than one threshold applies to facility activities, the facility owner or operator reports if it exceeds any applicable threshold and reports on all activities at the facility involving the chemical unless otherwise exempted (see below). Verify that, when a facility manufactures, processes, or otherwise uses more than one member of a chemical category listed in 40 CFR 372.65(c), the facility owner or operator reports if it exceeds any applicable threshold for the total volume of all the members of the category involved in the applicable activity and the report covers all activities at the facility involving members of the category. (NOTE: A facility may process or otherwise use a toxic chemical in a recycle/reuse operation. To determine whether the facility has processed or used more than an applicable threshold of the chemical, the owner or operator of the facility counts the amount of the chemical added to the recycle/reuse operation during the calendar year. In particular, if the facility starts up such an operation during a calendar year, or in the event that the contents of the whole recycle/reuse operation are replaced in a calendar year, the facility owner or operator also counts the amount of the chemical placed into the system at these times.) (NOTE: Certain toxic chemicals, manufacturing methods used to produce these chemicals and/or the physical forms or colors of these chemical may limit reporting requirements under 40 CFR Part 372. These specific circumstances and conditions and reporting requirements are outlined in 40 CFR 372.25(f) through (h).) (NOTE: The following exemptions apply: - if a toxic chemical is present in a mixture of chemicals at a covered facility and the toxic chemical is in a concentration in the mixture which is below one percent of the mixture, or 0.1 percent of the mixture in the case of a toxic chemical which is a carcinogen as defined in 29 CFR 1910.1200(d)(4), the quantity of the toxic chemical present in such mixture does not have to be considered when determining whether an applicable threshold has been met or determining the amount of release to be reported under 40 CFR 372.30. This exemption applies whether the person received the mixture from another person or the person produced the mixture, either by mixing the chemicals involved or by causing a chemical reaction that resulted in the creation of the toxic chemical in the mixture. However, this exemption applies only to the quantity of the toxic chemical present in the mixture. If the toxic chemical is also manufactured (including imported), processed, or otherwise used at the covered facility other than as part of the mixture or in a mixture at higher concentrations, in excess of an applicable threshold quantity, the facility is required to report. This exemption does not apply to the chemicals listed in Appendix A of this document - if a toxic chemical is present in an article at a covered facility, the quantity of This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 31 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS the toxic chemical present in such article does not have to be considered when determining whether an applicable threshold has been met or determining the amount of release to be reported. This exemption applies whether the person received the article from another person or produced the article. However, this exemption applies only to the quantity of the toxic chemical present in the article. If the toxic chemical is manufactured (including imported), processed, or otherwise used at the covered facility other than as part of the article, in excess of an applicable threshold quantity, reporting is required. If a release of a toxic chemical occurs as a result of the processing or use of an item at the facility, that item does not meet the definition of article. - if a toxic chemical is used at a covered facility for one of the following purposes, it is not required to consider the quantity of the toxic chemical used for such purpose when determining whether an applicable threshold has been met under 40 CFR 372.25 or determining the amount of releases to be reported. However, this exemption only applies to the quantity of the toxic chemical used for the purpose described in the following list. If the toxic chemical is also manufactured (including imported), processed, or otherwise used at the covered facility other than as listed below, in excess of an applicable threshold quantity, reporting is required. The list includes: -use as a structural component of the facility -use of products for routine janitorial or facility grounds maintenance - personal use by employees or other persons at the facility of foods, drugs, cosmetics, or other personal items containing toxic chemicals, including supplies of such products within the facility such as in a facility operated cafeteria, store, or infirmary -use of products containing toxic chemicals for the purpose of maintaining motor vehicles operated by the facility - use of toxic chemicals present in process water and non-contact cooling water as drawn from the environment or from municipal sources - toxic chemicals present in air used either as compressed air or as part of combustion. - if a toxic chemical is manufactured, processed, or used in a laboratory at a covered facility under the supervision of a technically qualified individual, it is not required to consider the quantity so manufactured, processed, or used when determining whether an applicable threshold has been met or determining the amount of release to be reported (NOTE: This exemption does not apply in the following cases: specialty chemical production; manufacture, processing, or use of toxic chemicals in pilot plant scale operations; activities conducted outside the laboratory). (NOTE: Other exemptions may also apply to certain owners of leased property, certain operators of establishments on leased property, and owners and operators of facilities engaged in coal extraction activities, or metal mining overburden activities. See 40 CFR 372.38(e) through (h) for further detail regarding these types of exemptions.) This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 32 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS RECORDKEEPING EP.30 EP.30.1. Facilities that manufacture, process, or otherwise use a listed toxic chemical in excess of applicable threshold quantities and that have 10 or more employees are subject to certain recordkeeping requirements (40 CFR 372.22(a), 372.22(b), 372.22(c, 372.25(a), 372.25(b), 372.10(a) through 372.10(d), and 372.38). (NOTE: These recordkeeping requirements apply to facilities that meet all of the following criteria for a calendar year: -the facility has 10 or more full-time employees -the facility is in Standard Industrial Classification (SIC) (as in effect on January 1, 1987) major group codes 10 (except 1011, 1081, and 1094), 12 (except 1241), or 20 through 39; industry codes 4911, 4931, or 4939 (limited to facilities that combust coal and/or oil for the purpose of generating power for distribution in commerce); or 4953 (limited to facilities regulated under the RCRA, subtitle C, 42 U.S.C. section 6921 et seq.), or 5169, or 5171, or 7389 (limited to facilities primarily engaged in solvent recovery services on a contract or fee basis) by virtue of the fact that it meets one of the following criteria: -the facility is an establishment with a primary SIC major group or industry code in the above list - the facility is a multi-establishment complex where all establishments have primary SIC major group or industry codes in the above list -the facility is a multi-establishment complex in which one of the following is true: - the sum of the value of services provided and/or products shipped and/or produced from those establishments that have primary SIC major group or industry codes in the above list is greater than 50 percent of the total value of all services provided and/or products shipped from and/or produced by all establishments at the facility -one establishment having a primary SIC major group or industry code in the above list contributes more in terms of value of services provided and/or products shipped from and/or produced at the facility than any other establishment within the facility. - the facility manufactured (including imported), processed, or otherwise used a toxic chemical in excess of an applicable threshold quantity of that chemical.) (NOTE: The following are the threshold levels for reporting purposes that apply to a facility that is manufacturing (including importing), processing, or otherwise using a toxic chemical: - has manufactured or processed 25,000 Ib/yr of toxic chemicals - has used 10,000 Ib of toxic chemicals in other ways during the year -for the chemicals listed in Appendix A of this document, the amounts indicated in the appendix. (NOTE: Articles containing toxic chemicals are not included in calculations of This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 33 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS total toxic chemical present. See 40 CFR 372.30(b)(3) for procedure to determine whether an excess has occurred.) Verify that the following records are kept 3 yr from the date of the submission of U.S. EPA Form R (U.S. EPA Form 9350-1): - a copy of each Form R report submitted - all supporting materials and documentation used by the person to make the compliance determination that the facility or establishments is a covered facility under 40 CFR 372.22 or 372.45 - documentation supporting the submitted report, including: - documentation supporting any determination that a claimed allowable exemption under 40 CFR 372.38 applies -data supporting the determination of whether a reporting threshold applies for each toxic chemical - documentation supporting the calculations of the quantity of each toxic chemical released to the environment or transferred to an off-site location -documentation supporting the use indications and quantity onsite reporting for each toxic chemical, including dates of manufacturing, processing, or use - documentation supporting the basis of estimate used in developing any release or off-site transfer estimates for each toxic chemical - receipts or manifests associated with the transfer of each toxic chemical in waste to off-site locations - documentation supporting reported waste treatment methods, estimates of treatment efficiencies, ranges of influent concentration to such treatment, the sequential nature of treatment steps, if applicable, and the actual operating data, if applicable, to support the waste treatment efficiency estimate for each toxic chemical. Verify that the following records are maintained for 3 yr at the facility to which the report applies or from which supplier notification was provided: -all supporting materials and documentation used to determine if supplier notification is required - all supporting materials and documentation used in developing each required supplier notification and a copy of each notification. (NOTE: Records retained under this section must be maintained at the facility to which the report applies or from which a notification was provided. Such records must be readily available for purposes of inspection by U.S. EPA.) Verify that, if it has been determined the alternate threshold (see 40 CFR 372.27 may be applied, the following records are kept for 3 yr from the date of This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 34 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS submission of the required certification statement: - a copy of each certification statement submitted -all supporting materials and documentation used to make the compliance determination that the facility or establishment is eligible to apply the alternate threshold - documentation supporting the certification statement submitted, including: - data supporting the determination of whether the alternate threshold applies for each toxic chemical - documentation supporting the calculation of annual reportable amount (see 40 CFR 372.37(a)), for each toxic chemical, including documentation supporting the calculations and the calculations of each data element combined for the annual reportable amount - receipts or manifests associated with the transfer of each chemical in waste to off-site locations. (NOTE: The following exemptions apply: - if a toxic chemical is present in a mixture of chemicals at a covered facility and the toxic chemical is in a concentration in the mixture which is below 1 percent of the mixture, or 0.1 percent of the mixture in the case of a toxic chemical which is a carcinogen as defined in 29 CFR 1910.1200(d)(4), the quantity of the toxic chemical present in such mixture does not have to be considered when determining whether an applicable threshold has been met or determining the amount of release to be reported under 40 CFR 372.30. This exemption applies whether the person received the mixture from another person or the person produced the mixture, either by mixing the chemicals involved or by causing a chemical reaction that resulted in the creation of the toxic chemical in the mixture. However, this exemption applies only to the quantity of the toxic chemical present in the mixture. If the toxic chemical is also manufactured (including imported), processed, or otherwise used at the covered facility other than as part of the mixture or in a mixture at higher concentrations, in excess of an applicable threshold quantity, the facility is required to report. This exemption does not apply to the chemicals listed in Appendix A of this document - if a toxic chemical is present in an article at a covered facility, the quantity of the toxic chemical present in such article does not have to be considered when determining whether an applicable threshold has been met or determining the amount of release to be reported. This exemption applies whether the person received the article from another person or produced the article. However, this exemption applies only to the quantity of the toxic chemical present in the article. If the toxic chemical is manufactured (including imported), processed, or otherwise used at the covered facility other than as part of the article, in excess of an applicable threshold quantity, reporting is required. If a release of a toxic chemical occurs as a result of the processing or use of an item at the facility, that item does not meet the definition of article. This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 35 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 COMPLIANCE CATEGORY: EPCRA REGULATORY REQUIREMENT OR MANAGEMENT PRACTICE REVIEWER CHECKS - if a toxic chemical is used at a covered facility for one of the following purposes, it is not required to consider the quantity of the toxic chemical used for such purpose when determining whether an applicable threshold has been met under 40 CFR 372.25 or determining the amount of releases to be reported. However, this exemption only applies to the quantity of the toxic chemical used for the purpose described in the following list. If the toxic chemical is also manufactured (including imported), processed, or otherwise used at the covered facility other than as listed below, in excess of an applicable threshold quantity, reporting is required. The list includes: -use as a structural component of the facility -use of products for routine janitorial or facility grounds maintenance - personal use by employees or other persons at the facility of foods, drugs, cosmetics, or other personal items containing toxic chemicals, including supplies of such products within the facility such as in a facility operated cafeteria, store, or infirmary -use of products containing toxic chemicals for the purpose of maintaining motor vehicles operated by the facility - use of toxic chemicals present in process water and non-contact cooling water as drawn from the environment or from municipal sources - toxic chemicals present in air used either as compressed air or as part of combustion. - if a toxic chemical is manufactured, processed, or used in a laboratory at a covered facility under the supervision of a technically qualified individual, it is not required to consider the quantity so manufactured, processed, or used when determining whether an applicable threshold has been met or determining the amount of release to be reported (NOTE: This exemption does not apply in the following cases: specialty chemical production; manufacture, processing, or use of toxic chemicals in pilot plant scale operations; activities conducted outside the laboratory). (NOTE: Other exemptions may also apply to certain owners of leased property, certain operators of establishments on leased property, and owners and operators of facilities engaged in coal extraction activities, or metal mining overburden activities. See 40 CFR 372.38 (e) through (h) for further detail regarding these types of exemptions.) This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. 36 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Appendix A: Lower Thresholds for Chemicals of Special Concern (40 CFR 372.28) ------- This Page Intentionally Left Blank ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Lower Thresholds for Chemicals of Special Concern (40 CFR 372.28) [Added January 2001] Table 1 Chemical Listing in Alphabetic Order. Chemical Name Aldrin Benzo(g,h,i)perylene Chlordane Heptachlor Hexachlorobenzene Isodrin Lead (this lower threshold does not apply to lead when contained in a stainless steel, brass or bronze alloy) Mercury Methoxychlor Octachlorostyrene Pendimethalin Pentachlorobenzene Polychlorinated biphenyl (PCBs) Tetrabromobisphenol A Toxaphene Trifluralin CAS NO. 00309-00-2 00191-24-2 00057-74-9 00076-44-8 00118-74-1 00465-73-6 7439-92-1 07439-97-6 00072-43-5 29082-74-4 40487-42-1 00608-93-5 01336-36-3 00079-94-7 08001-35-2 01582-09-8 Reporting Threshold 100 10 10 10 10 10 100 10 100 10 100 10 10 100 10 100 Table 2 Chemical Categories in Alphabetic Order Category name Reporting threshold Dioxin and dioxin-like compounds (Manufacturing; and the processing or otherwise use of dioxin and dioxin-like compounds if the dioxin and dioxin-like compounds are present as contaminants in a chemical and if they were created during the manufacturing of that chemical) (This category includes only those chemicals listed below). - 1,2,3,4,6,7,8-Heptachlorodibenzofuran -1,2,3,4,7,8,9-Heptachlorodibenzofuran - 1,2,3,4,7,8-Hexachlorodibenzofuran - 1,2,3,6,7,8-Hexachlorodibenzofuran - 1,2,3,7,8,9-Hexachlorodibenzofuran - 2,3,4,6,7,8-Hexachlorodibenzofuran - 1,2,3,4,7,8-Hexachlorodibenzo-p-dioxin - 1,2,3,6,7,8-Hexachlorodibenzo-p-dioxin - 1,2,3,7,8,9-Hexachlorodibenzo-p-dioxin - 1,2,3,4,6,7,8-Heptachlorodibenzo-p-dioxin -1,2,3,4,6,7,8,9-Octachlorodibenzofuran - 1,2,3,4,6,7,8,9-Octachlorodibenzo-p-dioxin 0.1 grams This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. Al ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Category name Reporting threshold - 1,2,3,7,8-Pentachlorodibenzofuran - 2,3,4,7,8-Pentachlorodibenzofuran - 1,2,3,7,8-Pentachlorodibenzo-p-dioxin - 2,3,7,8-Tetrachlorodibenzofuran - 2,3,7,8 Tetrachlorodibenzo-p-dioxin Lead Compounds 100 Mercury compounds 10 Poly cyclic aromatic compounds (PACs) (This 100 category includes only those chemicals listed below). - Benz(a)anthracene - Benzo(b)fluoranthene - Benzo(j)fluoranthene - Benzo(k)fluoranthene - Benzo(j ,k)fluorene - Benzo(r,s,t)pentaphene - Benzo(a)phenanthrene - Benzo(a)pyrene - Dibenz(a,h)acridine - Dibenz(a,j)acridine - Dibenzo(a,h)anthracene - 7H-Dibenzo(c,g)carbazole - Dibenzo(a,e)fluoranthene - Dibenzo(a,e)pyrene - Dibenzo(a,h)pyrene - Dibenzo(a,l)pyrene - 7,12-Dimethylbenz(a)anthracene - Indeno [ 1,2,3 -cd]pyrene - 3-Methylcholanthrene - 5-Methylchrysene - 1-Nitropyrene 100 This document is intended solely for guidance. No statutory or regulatory requirements are in any way altered by any statement(s) contained herein. A2 ------- Protocol for Conducting Environmental Compliance Audits under EPCRA and CERCLA Section 103 Appendix B: User Satisfaction Questionnaire and Comment Form ------- This Page Intentionally Left Blank ------- User Satisfaction Survey (OMB Approval No. 1860.01) Expires 9/30/2001 We would like to know if this Audit Protocol provides you with useful information. This information will be used by EPA to measure the success of this tool in providing compliance assistance and to determine future applications and needs for regulatory checklists and auditing materials. 1. Please indicate which Protocol(s) this survey applies to: Title: EPA Document Number: 2. Overall, did you find the Protocol helpful for conducting audits: Yes No If not, what areas of the document are difficult to understand? 3. How would you rate the usefulness of the Protocol(s) for conducting compliance audits on a scale of 1- 5? 1 = not useful or effective, 3 = somewhat useful/effective, 5 = very useful/effective Low Medium High 12345 Introduction Section 12345 Key Compliance Requirements 12345 Key Terms and Definitions 12345 Checklist 4. What actions do you intend to take as a result of using the protocol and/or conducting the audit? Please check all that apply. Contact a regulatory agency Contact a compliance assistance provider (e.g., trade association, state agency, EPA) Contact a vendor Disclose violations discovered during the audit under EPA's audit Policy Disclose violations discovered under EPA's Small Business Policy Obtain a permit or certification Change the handling of a waste, emission or pollutant Change a process or practice Purchase new process equipment Install emission control equipment (e.g., scrubbers, wastewater treatment) Install waste treatment system (control technique) Implement or improve pollution prevention practices (e.g., source reduction, recycling) Improve organizational auditing program Institute an Environmental Management System Improve the existing Environmental Management System (e.g., improve training, clarify standard operating procedures, etc.) Other ------- 5. What, if any, environmental improvements will result from the actions to be taken (check all that apply)? reduced emissions waste reduction reduced risk to human health and the environment due to better management practices reduced quantity and toxicity of raw materials water conservation energy conservation conserved raw materials conservation of habitat or other environmental stewardship practice: other: no environmental improvements are likely to result from the use of this document 6. How did you hear about this document? trade association state technical assistance provider EPA internet homepage or website document catalog co-worker or business associate EPA, state, or local regulator other (please specify) 7. In order to understand your response, we would like to know what function you perform with respect to environmental compliance and the size of your organization. Company Personnel Trade Association Compliance Assistance Environmental Auditor National Provider Corporate Level Regional EPA Plant-level Local State Legal Manager State Small Business Environmental Manager Information Specialist Assistance Operator - (e.g., Local Pollution Control Other Equipment Other: Regulatory Personnel Vendor/Consultant State Environmental Auditor Local Environmental EPA Engineer/Scientist Attorney How many employees are located at your facility (including full-time contractors?) 0-9 10-49 50-100 101-500 More than 500 ------- Optional (Please Print) Name: Address: Title: City: State: Zip code: Organization Name: Phone: ( 1 E-mail: Please return all pages (1 thru 3) of this survey by folding pages 1 and 2 into page 3 and using the preprinted, pre-stamped address on the reverse side of page 3. If you have accessed this document electronically from one of EPA's web sites, simply e-mail this questionnaire to: satterfield.richard(@,epa.gov. ------- This Page Intentionally Left Blank ------- United States Environmental Protection Agency Office of Solid Waste and Emergency Response (5101) EPA 550-F-00-004 March 2000 ©EPA The Emergency Planning and Community Right-to-Know Act The Emergency Planning and Community Right-to-Know Act of 1986 (EPCRA) establishes requirements for Federal, State and local govern- ments, Indian Tribes, and industry regarding emergency planning and "Community Right-to-Know" reporting on hazardous and toxic chemicals. The Community Right-to-Know provisions help increase the public's knowledge and access to information on chemicals at individual facilities, their uses, and releases into the environment. States and communities, working with facilities, can use the information to improve chemical safety and protect public health and the environment. What Does EPCRA Cover? section 303. The plans must EPCRA has four major provisions: Emergency planning (Section 301-303), Emergency release notification (Section 304), Hazardous chemical storage reporting requirements (Sections 311-312), and Toxic chemical release inventory (Section 313). Information gleaned from these four requirements will help States and communities develop a broad perspective of chemical hazards for the entire community as well as for individual facilities. Regulations implementing EPCRA are codified in Title 40 of the Code of Federal Regulations, parts 350 to 372. The chemicals covered by each of the sections are different, as are the quantities that trigger reporting. Table 1 on the next page summarizes the chemicals and thresholds. What Are Emergency Response Plans (Sections 301-303)? Emergency Response plans contain information that community officials can use at the time of a chemical accident. Community emergency response plans for chemical accidents were developed under Identify facilities and transportation routes of extremely hazardous substances; Describe emergency response procedures, on and off site; Designate a community coordinator and facility coordinators) to implement the plan; Outline emergency notification procedures; Describe how to determine the probable affected area and population by releases; Describe local emergency equipment and facilities and the persons responsible for them; Outline evacuation plans; Provide a training program for emergency responders (including schedules); and, Provide methods and schedules for exercising emergency response plans. Planning activities of LEPCs and facilities initially focused on, but were not limited to, the 356 extremely hazardous substances listed by EPA. The list includes the threshold planning quantities (minimum limits) for each substance. Any facility that has any of the listed chemicals at or above its threshold planning quantity must notify the SERC and LEPC within 60 days after they first receive a shipment or produce the substance on site. Chemical Emergency Preparedness and Prevention Office ------- What Are the Emergency Notification Requirements (Section 304)? Facilities must immediately notify the LEPC and the SERC if there is a release into the environment of a hazardous substance that is equal to or exceeds the minimum reportable quantity set in the regulations. This requirement covers the 356 extremely hazardous substances as well as the more than 700 hazardous substances subject to the emergency notification requirements under CERCLA Section 103(a)(40 CFR 302.4). Some chemicals are common to both lists. Initial notification can be made by telephone, radio, or in person. Emergency notification requirements involving transportation incidents can be met by dialing 911, or in the absence of a 911 emergency number, calling the operator. This emergency notification needs to include: The chemical name; An indication of whether the substance is extremely hazardous; An estimate of the quantity released into the environment; The time and duration of the release; Whether the release occurred into air, water, and/or land; Any known or anticipated acute or chronic health risks associated with the emergency, and where necessary, advice regarding medical attention for exposed individuals; Proper precautions, such as evacuation or sheltering in place; and, What Are SERCs and LEPCs? The Governor of each state designated a State Emergency Response Commission (SERC). The SERCs, in turn, designated about 3,500 local emergency planning districts and appointed Local Emergency Planning Committees (LEPCs) for each district. The SERC supervises and coordinates the activities of the LEPC, establishes procedures for receiving and processing public requests for information collected under EPCRA, and reviews local emergency response plans. The LEPC membership must include, at a minimum, local officials including police, fire, civil defense, public health, transportation, and environmental professionals, as well as representatives of facilities subject to the emergency planning requirements, community groups, and the media. The LEPCs must develop an emergency response plan, review it at least annually, and provide information about chemicals in the community to citizens. Name and telephone number of contact person. A written follow-up notice must be submitted to the SERC and LEPC as soon as practicable after the release. The follow-up notice must update information included in the initial notice and provide information on actual response actions taken and advice regarding medical attention necessary for citizens exposed. Table 1: EPCRA Chemicals and Reporting Thresholds Chemicals Covered Thresholds Section 302 356 extremely hazardous substances Threshold Planning Quantity 1-10,000 pounds on site at any one time Section 304 >1,000 substances Reportable quantity, 1-5,000 pounds, released in a 24-hour period Sections 311/312 500,000 products TPQ or 500 pounds for Section 302 chemicals; 10,000 pounds on site at any one time for other chemicals Section 313 650 toxic chemicals and categories 25,000 pounds peryear manufactured or processed; 10,000 pounds a year used; certain persistent bioaccumulative toxics have lower thresholds Chemical Emergency Preparedness and Prevention Office ------- What Are the Community Right-to-know Requirements (Sections 311/312)? Under Occupational Safety and Health Administration (OSHA) regulations, employers must maintain a material safety data sheet (MSDS) for any hazardous chemicals stored or used in the work place. Approximately 500,000 products have MSDSs. Section 311 requires facilities that have MSDSs for chemicals held above certain quantities to submit either copies of their MSDSs or a list of MSDS chemicals to the SERC, LEPC, and local fire department. If the facility owner or operator chooses to submit a list of MSDS chemicals, the list must include the chemical or common name of each substance and must identify the applicable hazard categories. These hazard categories are: Immediate (acute) health hazard; Delayed (chronic) health hazard; Fire hazard; Sudden release of pressure hazard; and Reactive hazard. If a list is submitted, the facility must submit a copy of the MSDSs for any chemical on the list upon the request of the LEPC or SERC. Facilities that start using a chemical or increase the quantity to exceed the thresholds must submit MSDSs or a list of MSDSs chemicals within three months after they become covered. Facilities must provide a revised MSDS to update the original MSDS if significant new information is discovered about the hazardous chemical. Facilities covered by section 311 must, under section 312, submit annually an emergency and hazardous chemical inventory form to the LEPC, the SERC, and the local fire department. Facilities provide either a Tier I or Tier II form. Tier I forms include the following aggregate information for each applicable hazard category: An estimate (in ranges) of the maximum amount of chemicals for each category present at the facility at any time during the preceding calendar year; An estimate (in ranges) of the average daily amount of chemicals in each category; and, The general location of hazardous chemicals in each category. The Tier II report contains basically the same information as the Tier I, but it must name the specific chemicals. Many states require Tier II information under state law. Tier II forms provide the following information for each substance: The chemical name or the common name as indicated on the MSDS; An estimate (in ranges) of the maximum amount of the chemical present at any time during the preceding calendar year and the average daily amount; A brief description of the manner of storage of the chemical; The location of the chemical at the facility; and An indication of whether the owner elects to withhold location information from disclosure to the public. Because many SERCs have added requirements or incorporated the Federal contents in their own forms, Tier I/II forms should be obtained from the SERC. Section 312 information must be submitted on or before March 1 each year. The information submitted under sections 311 and 312 is available to the public from LEPCs and SERCs. In 1999, EPA excluded gasoline held at most retail gas stations from EPCRA 311/312 reporting. EPA estimates that about 550,000 facilities are now covered by EPCRA 311/312 requirements. Reporting Schedules Section 302 One time notification to SERC 304 Each time a release above a reportable quantity occurs; to LEPC and SERC 311 One time submission; update only for new chemicals or information; to SERC, LEPC, fire department 312 Annually, by March 1 to SERC, LEPC, fire department 313 Annually, by July 1, to EPA and State Chemical Emergency Preparedness and Prevention Office ------- What is the Toxics Release Inventory (Section 313)? EPCRA section 313 (commonly referred to as the Toxics Release Inventory or TRI) requires certain facilities (see box) to complete a Toxic Chemical Release Inventory Form annually for specified chemicals. The form must be submitted to EPA and the State on July 1 and cover releases and other waste management of toxic chemicals that occurred during the preceding calendar year. One purpose of this reporting requirement is to inform the public and government officials about releases and other waste management of toxic chemicals. The following information is required on the form: The name, location and type of business; Whether the chemical is manufactured (including importation), processed, or otherwise used and the general categories of use of the chemical; An estimate (in ranges) of the maximum amounts of the toxic chemical present at the facility at any time during the preceding year; Quantity of the chemical entering the air, land, and water annually; Off-site locations to which the facility transfers toxic chemicals in waste for recycling, energy recovery, treatment or disposal; and Waste treatment/disposal methods and efficiency of methods for each waste stream; In addition, the Pollution Prevention Act of 1990 requires collection of information on source reduction, recycling, and treatment. EPA maintains a national TRI database, available on the Internet (see the Where Can I Find EPCRA Information? section for further details). What Else Does EPCRA Require? Trade Secrets. EPCRA section 322 addresses trade secrets as they apply EPCRA sections 303, 311, 312, and 313 reporting; a facility cannot claim trade secrets under section 304 of the statute. Only chemical identity may be claimed as a trade secret, though a generic class for the chemical must be provided. The criteria a facility must meet to claim a chemical identity as a trade secret are in 40 CFR part 350. In practice, less than one percent of facilities have filed such claims. Even if chemical identity information can be legally withheld from the public, EPCRA section 323 allows the Who's Covered by TRI? The TRI reporting requirement applies to facilities that have 10 or more full-time employees, that manufacture (including importing), process, or otherwise use a listed toxic chemical above threshold quantities, and that are in one of the following sectors: Manufacturing (Standard Industrial Classification (SIC) codes 20 through 39) Metal mining (SIC code 10, except for SIC codes 1011,1081,and 1094) Coal mining (SIC code 12, except for 1241 and extraction activities) Electrical utilities that combust coal and/or oil (SIC codes 4911,4931, and 4939) Resource Conservation and Recovery Act (RCRA) Subtitle C hazardous waste treatment and disposal facilities (SIC code 4953) Chemicals and allied products wholesale distributors (SIC code 5169) Petroleum bulk plants and terminals (SIC code 5171) Solvent recovery services (SIC code 7389) information to be disclosed to health professionals who need the information for diagnostic and treatment purposes or local health officials who need the information for prevention and treatment activities. In non-emergency cases, the health professional must sign a confidentiality agreement with the facility and provide a written statement of need. In medical emergencies, the health professional, if requested by the facility, provides these documents as soon as circumstances permit. Any person may challenge trade secret claims by petitioning EPA. The Agency must then review the claim and rule on its validity. EPCRA Penalties. EPCRA Section 325 allows civil and administrative penalties ranging up to $ 10,000-$75,000 per violation or per day per violation when facilities fail to comply with the reporting requirements. Criminal penalties up to $50,000 or five years in prison apply to any person who knowingly and willfully fails to provide emergency release notification. Penalties of not more than $20,000 and/or up to one year in prison apply to any person who knowingly and willfully discloses any information entitled to protection as a trade secret. Chemical Emergency Preparedness and Prevention Office ------- Citizens Suits. EPCRA section 326 allows citizens to initiate civil actions against EPA, SERCs, and the owner or operator of a facility for failure to meet the EPCRA requirements. A SERC, LEPC, and State or local government may institute actions against facility owner/ operators for failure to comply with EPCRA requirements. In addition, States may sue EPA for failure to provide trade secret information. Where Can You Find EPCRA Information? MSDSs, hazardous chemical inventory forms, follow-up emergency notices, and the emergency response plan are available from the SERC and LEPC. MSDSs on hazardous chemicals are maintained by a number of universities and can be accessed through www .hazard. com. EPA also provides fact sheets and other information on chemical properties through its website: www.epa.gov. EPA has compiled a list of all chemicals covered by name under these regulations into a single list and published them as The Title III List of Lists available at www.epa.gov/ swercepp/ds-epds.htm#title3. Profiles of extremely hazardous substances are available at www.epa.gov/ceppo/ep_chda.htm#ehs Each year, EPA publishes a report summarizing the TRI information that was submitted to EPA and States during the previous year. In addition, TRI data are available through EPA's Envirofacts database at www.epa.gov/ enviro. TRI data are also available at www.epa.gov/tri, www.rtk.net, and www.scorecard.org. All of these sites can be searched by facility, city, county, and state and provide access to basic TRI emissions data. The RTK-Net site, maintained by the public advocacy group OMB Watch, provides copies of the full TRI form for each facility. The Scorecard site, maintained by the Environmental Defense public advocacy group, ranks facilities, States, and counties on a number of parameters (e.g., total quantities of carcinogens released) as well as maps that show the locations of facilities in a county or city. Initial emergency release notifications made to the National Response Center or EPA are available on line at www.epa.gov/ernsacct/pdf/index.html. A list of LEPCs and SERCs is available at http:// www.RTK.NET: 80/lepc/. Many of these sites can also be accessed through www.epa.gov/ceppo/. Are There Other Laws That Provide Similar Information? The Oil Pollution Act (OPA) of 1990 includes national planning and preparedness provisions for oil spills that are similar to EPCRA provisions for extremely hazardous substances. Plans are developed at the local, State and Federal levels. The OPA plans offer an opportunity for LEPCs to coordinate their plans with area and facility oil spill plans covering the same geographical area. The 1990 Clean Air Act Amendments require the EPA and OSHA to issue regulations for chemical accident prevention. Facilities that have certain chemical above specified threshold quantities are required to develop a risk management program to identify and evaluate hazards and manage those hazards safely. Facilities subject to EPA's risk management program rules must submit a risk management plan (RMP) summarizing its program. Most RMP information is available through RMP*Info, which can be accessed through www.epa.gov/enviro. For More Information Contact the EPCRA Hotline at: (800)424-9346 or(703)412-9810 TDD (800)553-7672 Monday -Friday, 9 AM to 6 PM, EST Visitthe CEPPO Home Page at: WWW.EPA.GOV/CEPPO/ For EPA EPCRA contacts, check the CEPPO home page. For TRI program officials and EPA TRI regional contacts, checkwww.epa.gov/tri/statecon.htm. Chemical Emergency Preparedness and Prevention Office ------- Department of Veterans Affairs VA Directive 0057 Washington, DC 20420 Transmittal Sheet September 14, 2004 VA ENVIRONMENTAL MANAGEMENT SYSTEM AND GOVERNING ENVIRONMENTAL POLICY 1. REASON FOR ISSUE a. This directive establishes Department policy to ensure that VA Administrations and staff offices take necessary actions to become good stewards of the environment by integrating environmental accountability into day-to-day decision-making and long-term planning processes. b. This directive also establishes policy and assigns responsibilities for developing and implementing environmental management systems at all appropriate VA facilities by December 31, 2005. 2. SUMMARY OF CONTENTS/MAJOR CHANGES. This directive sets forth Department- level policy and responsibilities related to the management of environmental programs. It contains information on the following: a. Policy statements regarding VA's commitment to protecting the environment while carrying out its mission to serve our Nation's veterans. b. Development and implementation of environmental management systems. c. Responsibilities of VA Administrations and staff offices to develop guidance and policy to implement the requirements of this directive. 3. RESPONSIBLE OFFICE. Office of the Associate Deputy Assistant Secretary for Program Management and Operations (049M). 4. RELATED HANDBOOK. None. 5. RESCISSIONS. None. CERTIFIED BY: BY DIRECTION OF THE SECRETARY OF VETERANS AFFAIRS: Isl Is/ Robert N. McFarland William A. Moorman Assistant Secretary for Acting Assistant Secretary for Management Information and Technology Distribution: Electronic Only ------- SEPTEMBER 14, 2004 VA DIRECTIVE 0057 VA ENVIRONMENTAL MANAGEMENT SYSTEM AND GOVERNING ENVIRONMENTAL POLICY 1. PURPOSE AND SCOPE a. The Department of Veterans Affairs' (VA) mission is to deliver quality health care to our Nation's veterans, provide benefits and services to veterans and their families, and honor veterans with final resting places and lasting memorials that commemorate their service to our Nation. In accomplishing this mission, VA is committed to preventing pollution, reducing waste, and conserving natural and cultural resources. The purpose of this directive is to establish VA policy to ensure that all necessary actions are taken to integrate environmental accountability into day-to-day decision-making and long-term planning processes across VA activities, functions, and services. b. This directive also establishes policy and assigns responsibilities for developing and implementing an environmental management system (EMS) at all appropriate VA facilities by December 31, 2005, pursuant to Executive Order (EO) 13148, Greening the Government Through Leadership in Environmental Management. An EMS provides a systematic framework to identify and address the environmental aspects and impacts of an organization's work, ensure compliance with applicable environmental requirements, and determine opportunities for continual improvement. 2. POLICY. In conducting its mission to serve our Nation's veterans, it is VA's environmental policy to: a. Encourage VA employees at all levels to be good stewards of the environment by complying with all applicable environmental requirements; preventing pollution; reducing waste; conserving energy, water, and other natural and cultural resources; and continually reviewing and improving VA environmental programs. b. Ensure top management commitment and accountability through the incorporation of position description elements and performance standards/measures related to pollution prevention and environmental management for appropriate senior level managers and other employees who have responsibilities related to the management of environmental programs. c. Have top managers provide necessary support, including funds and other resources, to ensure compliance by VA facilities with Federal, state, and local environmental requirements, including development and implementation of an EMS. d. Utilize sustainable practices to eliminate, minimize, or mitigate adverse environmental impacts. e. Evaluate and monitor the operation of VA facilities and incorporate policies and procedures necessary to reduce environmental vulnerabilities and ensure environmental compliance. ------- VA DIRECTIVE 0057 SEPTEMBER 14, 2004 f. Integrate pollution prevention, waste reduction, natural and cultural resource conservation, affirmative procurement/green purchasing, life cycle costing, and environmental compliance into planning, purchasing, and operating decisions, wherever practicable. g. Implement source reduction as the pollution prevention method of choice, or alternative methods of reuse, recycling, treatment of wastes, or proper disposal. h. Use natural resources efficiently and maintain and protect plant and wildlife habitat, consistent with VA's mission. i. Recognize that the development and construction of VA facilities must consider the unique conditions of the environment of which the facility is a part. j. Train all appropriate VA staff, as needed, to satisfactorily carry out the environmental responsibilities of their positions. k. Solicit input regarding environmental matters affecting the operation of VA facilities, as appropriate, from stakeholders including, but not limited to, staff, veterans, and the community. I. Develop and implement an EMS at all appropriate VA facilities by December 31, 2005. (1) The environmental responsibilities of VA Administrations and staff offices differ in both scope and complexity. As such, Administrations and staff offices shall develop an EMS best suited to its needs and based on the International Organization for Standardization (ISO) 14001 or equivalent standard. (2) For assistance, the Administrations and staff offices may use the Green Environmental Management System (GEMS) Guidebook developed by the Veterans Health Administration, Office of the Deputy Under Secretary for Health for Operations and Management (1 ON). The GEMS Guidebook presents a nine-step process based on the ISO 14001 Standard. 3. RESPONSIBILITIES a. The Assistant Secretary for Management (004) is the VA Environmental Executive and will be responsible for environmental policy and oversight to coordinate implementation of the requirements of this directive at the Department level. b. The Office of Acquisition and Materiel Management (OA&MM), Office of the Associate Deputy Assistant Secretary for Program Management and Operations (049M), will be responsible for providing program leadership, guidance, and coordination at the Department level to ensure that the requirements of this directive are appropriately implemented. ------- SEPTEMBER 14, 2004 VA DIRECTIVE 0057 c. VA Administrations and Staff Offices will be responsible for the development, implementation, and management of an EMS and other environmental programs. Each VA Administration and staff office shall: (1) Develop guidance and policy, as needed, to implement and manage environmental programs, including the requirements of this directive. (a) Environmental policy is to be developed that specifically addresses the requirements contained in paragraph 2. Policy in this directive. (b) Internally developed guidance and policy shall be consistent with applicable Federal, state, and local environmental requirements. (2) Define "appropriate" facilities in accordance with EO 13148 and direct these facilities to develop and implement an EMS. The designation of "appropriate" facilities is to be based on facility size, complexity, and the environmental aspects of an individual facility's operations. Appropriate facilities would generally include those that are either subject to registration or permitting by the U.S. Environmental Protection Agency (EPA) or state/local environmental regulators or otherwise could have a significant impact on the environment. (3) Staff offices that operate VA facilities in VA-owned or -leased space are responsible for determining which of their facilities are "appropriate" in accordance with the criteria stated in paragraph 3 (c) (2) (i.e., size, complexity, and environmental aspects) and for directing these facilities to develop and implement an EMS. Such an EMS shall address functions under the control of the staff office and be coordinated to the extent practicable with the owner of the space in which VA is a tenant. (4) Develop a facility self-declaration protocol by December 31, 2004, that provides credible verification of the status of an EMS in accordance with guidance provided by the EPA, the Council on Environmental Quality, or other national standard recognized by EPA. (5) Ensure that the requirements of this directive are implemented at the facilities for which they are responsible. 4. REPORTING. Each VA Administration and staff office shall report on the status of implementation of an EMS, including providing a list of "appropriate" facilities. Reports are due annually to OA&MM (049M) by January 31, or alternative date provided to meet EO 13148 reporting requirements. 5. REFERENCES a. Executive Order 13148, Greening the Government Through Leadership in Environmental Management (April 21, 2000). b. Green Enviromental Management System (GEMS) Guidebook (March 2004). http://vaww.ceosh.med.va.qov ------- |