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Office of Inspector General
At a Glance
PRO"*^
Catalyst for Improving the Environment
Why We Did This Review
In February 2006, the Office of
Inspector General recommended
that the U.S. Environmental
Protection Agency (EPA) timely
review Superfund special
accounts to ensure funds are used
consistent with its guidance.
We followed up on EPA's
progress in implementing this
recommendation by evaluating
EPA's use of special accounts
that had high available balances
or were at least 10 years old.
Background
Section 122(b)(3) of the
Comprehensive Environmental
Response, Compensation, and
Liability Act (CERCLA), as
amended by the Superfund
Amendments and
Reauthorization Act, authorizes
EPA to retain and use funds
received in settlements to address
CERCLA response actions
contemplated in the settlement
agreements. EPA retains these
funds in site-specific accounts,
called "special accounts," which
are subaccounts within the EPA
Hazardous Substance Superfund
(Trust Fund).
For further information,
contact our Office of
Congressional and Public
Liaison at (202) 566-2391.
To view the full report,
click on the following link:
www.epa.aov/oia/reports/2007/
20070820-2007-S-00002.pdf
Making Better Use of Superfund Special
Account Funds for Thermo Chem
What We Found
We found that Region 5 missed an opportunity to make timely and better use
of the funds in the Thermo Chem special account. In 2004, Region 5 staff
recommended the reclassification of approximately $2.8 million from the
Thermo Chem special account. However, these funds were not reclassified
because the site managers were unaware that action was needed or required.
In addition, while EPA's guidance states that "Regions" are responsible for
identifying special accounts having balances that are more than anticipated
future site needs, it does not specify the title of the regional official responsible
for doing so or responsible for processing the reclassification.
Region 5 could have used the $2.8 million (approximately) to begin
construction at other sites in the Region. For example, according to EPA's
Web site, in Fiscal Year 2005, EPA stated that the Ottawa Radiation (Areas 1,
4, 9, & 11, and Illinois Power) site did not receive new construction funding.
Region 5 could have used the reclassified funds to begin construction at this
site in Fiscal Year 2005.
Recently, Region 5 updated future planned uses for the account funds.
Approximately $524,000 of the account funds are not planned for future use.
What We Recommend
We recommend that the Region 5 Administrator reclassify approximately
$2.8 million (plus additional accrued costs) of the Thermo Chem special
account to fund other priority response activities. We also recommend that the
Region 5 Administrator reclassify, or transfer to the Trust Fund (as appropriate)
approximately $524,000 of the Thermo Chem special account that has no
planned future use.

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