In 2007, GAO reported that, although funding overall for enforcement activities had increased somewhat, it generally had not kept pace with the increasing number of mandates and regulations, or with inflation. Some additional areas of continued interest include
whether there is a need for increased compliance monitoring and reporting by regulated entities; impacts of environmental enforcement and associated penalties/fines on federal facilities' budgets (most notably the Department of Defense, or DOD, and Department of Energy, or DOE); how best to measure the success and effectiveness of enforcement (e.g., using indicators such as quantified health and environmental benefits versus the number of actions or dollar value of penalties); whether penalties are strong enough to serve as a deterrent and maintain a level economic playing field, or too harsh and thus causing undue economic hardship; how to balance punishment and deterrence through litigation with compliance assistance, incentive approaches, self-auditing or correction, and voluntary compliance; the effect of pollutant trading programs on enforcement; and the level of funding required to effectively achieve desired benefits of enforcement. These issues result from disparate values and perspectives among stakeholders, but also from the factors that are the focus of this report: the statutory framework, those who work within this framework, and the tools and approaches that have been adopted for achieving compliance with pollution control laws. The discussion in this report focuses on these federal environmental laws for which the U.S. Environmental Protection Agency (EPA) is the primary federal implementing agency. EPA's Office of Enforcement and Compliance Assurance (OECA) at headquarters and in the 10 EPA regional offices sets the general framework for federal enforcement activities in coordination with the agency's program offices, states and tribes, and other federal agencies, particularly DOJ. The following discussion provides an overview of the regulated community, and highlights the role and activities of the key regulated entities in the enforcement of the primary pollution control statutes. EPA reported that the combined $1.15 billion in civil penalties (administrative and judicial) assessed in FY2013 was an all-time high, due to a record settlement of $1.0 billion reached with the Transocean defendants to resolve alleged violations associated with the Deepwater Horizon Gulf of Mexico oil spill. Civil Administrative Actions

As noted earlier, a majority of environmental pollution control violations are addressed and resolved administratively by states and EPA without involving a judicial process. EPA imposed penalties in 1,440 final administrative penalty orders during FY2013, representing a total value of $48.0 million. Civil Judicial Enforcement

After civil administrative enforcement actions, civil judicial cases constitute the next-largest category of environmental enforcement. Criminal Judicial Enforcement

States and EPA may initiate criminal enforcement actions against individuals or entities for negligent or knowing violations of federal pollution control law. Within DOJ, the U.S. Attorneys Offices and ENRD's Environmental Crimes Section (ECS) prosecute criminal cases and work closely with EPA's OCEFT investigators. Monetary penalties may be included. Nearly $1.4 billion of $1.5 billion in criminal fines and restitution assessed, and the majority of the $3.0 billion in court-ordered projects for FY2013, were attributed to the Deepwater Horizon Gulf of Mexico FY2013 criminal case, according to EPA's FY2013 annual results report. Funding for Enforcement/Compliance Activities

The adequacy of resources needed by EPA, DOJ, and the states to effectively enforce the major federal environmental pollution control laws is often highlighted during congressional debate of fiscal year appropriations. The President's FY2015 budget request included $583.0 million for EPA's enforcement program activities, compared to $560.9 million enacted for FY2014, $553.1 million enacted (post-sequestration) for FY2013, and $583.4 million enacted for FY2012. On September 19, 2014, President Obama signed into law the Continuing Appropriations Resolution, 2015 ( P.L. 113-164 , H.J.Res. Section 101 of the act continues appropriations for federal departments and agencies generally at FY2014 enacted levels minus a 0.0554% rescission. The continuing resolution (CR) is authorized until December 11, 2014, or until the enactment of FY2015 appropriations. Funding for EPA under the CR is subject to the authority and conditions provided in the Interior, Environment, and Related Agencies Appropriations Act, 2014 (Division G, P.L. 113-76 ).
As a result of enforcement actions and settlements for noncompliance with federal pollution control requirements, the U.S. Environmental Protection Agency (EPA) reported that, during FY2013, regulated entities committed to invest an estimated $7.0 billion for judicially mandated actions and equipment to control pollution (injunctive relief), and $22.0 million for implementing mutually agreed-upon (supplemental) environmentally beneficial projects. EPA estimated that these compliance/enforcement efforts achieved commitments to reduce or eliminate 1.3 billion pounds of pollutants in the environment, primarily from air and water, and to treat, minimize, or properly dispose of 148 million pounds of hazardous waste. Noncompliance with federal pollution control laws remains a continuing concern. The overall effectiveness of the enforcement organizational framework, the balance between state autonomy and federal oversight, and the adequacy of funding are long-standing congressional concerns.
This report provides an overview of the statutory framework, key players, infrastructure, resources, tools, and operations associated with enforcement and compliance of the major pollution control laws and regulations administered by EPA. It also outlines the roles of federal (including regional offices) and state regulators, as well as the regulated community. Understanding the many facets of how all federal pollution control laws are enforced, and the responsible parties involved, can be challenging. Enforcement of the considerable body of these laws involves a complex framework and organizational setting.
The array of enforcement/compliance tools employed to achieve and maintain compliance includes monitoring, investigation, administrative and judicial (civil and criminal) actions and penalties, and compliance assistance and incentive approaches. Most compliance violations are resolved administratively by the states and EPA. EPA concluded 1,440 final administrative penalty orders in FY2013. Civil judicial actions, which may be filed by states or EPA, are the next most frequent enforcement action. EPA may refer civil cases to the U.S. Department of Justice (DOJ), referring 138 civil cases in FY2013. The U.S. Attorney General's Office and DOJ's Environmental Crimes Section, or the state attorneys general, in coordination with EPA criminal investigators and general counsel, may prosecute criminal violations against individuals or entities who knowingly disregard environmental laws or are criminally negligent. EPA reported the assessment of nearly $1.15 billion in civil penalties (administrative and judicial) and $4.5 billion in combined criminal fines, restitution, and court-ordered environmental projects during FY2013. Of the FY2013 totals, $1.0 billion in civil penalties and $4.0 billion in criminal fines, restitution, and court-ordered projects were associated with the Deepwater Horizon Gulf of Mexico judicial and criminal cases.
Federal appropriations for environmental enforcement and compliance activities have remained relatively constant in recent fiscal years. Some contend that overall funding for enforcement activities has not kept pace with inflation or with the increasingly complex federal pollution control requirements. Congress appropriated $560.9 million for enforcement activities for FY2014, a 1.4% increase above the $553.1 million enacted for FY2013 (post-sequestration), but roughly 3.8% less than the $583.4 million enacted for FY2012. The President's FY2015 budget request included $583.0 million for EPA enforcement activities. On September 19, 2014, President Obama signed into law the Continuing Appropriations Resolution, 2015 (P.L. 113-164). The act provides FY2015 appropriations to federal agencies (including EPA) for continuing projects and activities generally at the rate and under the authority and conditions provided in the applicable conditions of the Consolidated Appropriations Act, 2014 (P.L. 113-76), less a 0.0554% rescission, until December 11, 2014, or until enactment of regular appropriations legislation.