Considerable Work Remains at Most Nonfederal NPL Sites with Unacceptable or Unknown Human Exposure, and Some Site Cleanups Have Not Been Funded at the Most Efficient Level

At over 60 percent of the 75 nonfederal NPL sites with unacceptable  human exposure, all or more than half of the work remains to complete  remedial construction, as is the case with over 60 percent of the 164  nonfederal NPL sites with unknown human exposure, according to EPA  regional officials’ responses to our survey. Some Sites Have Not Been Funded at the Most Time and Cost Efficient Levels, According to EPA Officials

From the inception of the Superfund program through the end of fiscal  year 2009, EPA expended a total of $3 billion in constant 2009 dollars on  the 75 sites with unacceptable exposure; however, in managing limited  resources, EPA regional officials noted that some of these sites did not  receive funding to clean up the sites in the most time and cost efficient  manner. Furthermore, according to EPA  officials, experience has shown that EPA’s actual costs are almost always  higher than its cost estimates. Estimated Costs for Conducting Future Remedial Actions Exceed Past Funding Levels

EPA’s annual costs to conduct remedial construction in the most efficient  manner at nonfederal NPL sites for fiscal years 2010 through 2014 may  range from $335 million to $681 million, according to EPA regional  officials’ estimates (see table 1). From fiscal years 2000 to 2009, EPA  allocated $220 million to $267 million in annual funding for remedial  actions. EPA Allocates Remedial Program Funding Separately for Preconstruction Activities and Remedial Actions, and Limited Funding Has Caused Delays at Some Sites

EPA headquarters allocates funds to the regions for preconstruction  activities—remedial investigations, feasibility studies, and remedial design  activities—which the regions then distribute among sites. For remedial  action funding, headquarters works with the regions to allocate funds to  sites. In addition to annual funding, EPA’s Superfund program received $600  million in Recovery Act funds in fiscal year 2009 and allocated $582 million  for remedial cleanup activities. However, neither  EPA regional officials nor state officials were able to provide cost  estimates for many of the sites they expect will be added to the NPL. EPA and State Officials Expect an Increase in the Number of Sites Listed over the Next 5 Years

EPA regional officials estimate that from 101 to 125 sites—an average of  20 to 25 sites per year—will be added to the NPL over the next 5 years. This is higher than the 79 sites—an average of about 16 sites per year— added from fiscal years 2005 to 2009. In addition to the number of sites that could be listed, the number of sites  eligible for the NPL could increase if EPA begins to assess, as a part of its  listing process, the risk of vapor intrusion caused by subsurface hazardous  substances that have migrated via the air into homes and commercial  properties. Although sites with vapor intrusion can pose considerable  human health risks, EPA’s HRS—the mechanism used to identify sites that  qualify for NPL listing—does not currently recognize these risks;  therefore, unless a site with vapor intrusion is listed on some other basis— such as groundwater contamination, EPA cannot clean up the site using  remedial program funding. Second, EPA recognized our report’s finding that regional cost estimates  are likely understated, since the estimates do not include funding for sites  where a responsible party is currently funding remedial construction but  may be unable to do so in the future. Appendix I: Objectives, Scope, and Methodology

This appendix provides information on the scope of work and the  methodology used to determine (1) the cleanup and funding status at  currently listed nonfederal National Priorities List (NPL) sites with  unacceptable or unknown human exposure; (2) what is known about the  future costs to the Environmental Protection Agency (EPA) to complete  remedial actions at nonfederal NPL sites that are not construction  complete; (3) the process EPA uses to allocate remedial program funding;  and (4) how many sites EPA and selected state officials expect will be  added to the NPL over the next 5 years, and what they expect the future  costs of cleaning up those sites will be. 1. 2.
Why GAO Did This Study

At the end of fiscal year 2009, the Environmental Protection Agency's (EPA) National Priorities List (NPL) included 1,111 of the most seriously contaminated nonfederal hazardous waste sites. Of these sites, EPA had identified 75 with unacceptable human exposure, 164 with unknown exposure, and 872 with controlled exposure that may need additional cleanup work. EPA may fund remedial actions--long-term cleanup--from its trust fund, and compel responsible parties to perform or reimburse costs of the cleanup. GAO was asked to determine (1) the cleanup and funding status at currently listed nonfederal NPL sites with unacceptable or unknown human exposure; (2) what is known about EPA's future cleanup costs at nonfederal NPL sites; (3) EPA's process for allocating remedial program funding; and (4) how many NPL sites some state and EPA officials expect to be added in the next 5 years, and their expected cleanup costs. GAO analyzed Superfund program data, surveyed and interviewed EPA officials, and interviewed state officials.

What GAO Found

At over 60 percent of the 239 nonfederal NPL sites with unacceptable or unknown human exposure, all or more than half of the work remains to complete the remedial construction phase of cleanup, according to EPA regional officials. By the end of fiscal year 2009, EPA had expended $3 billion on the 75 sites with unacceptable human exposure and $1.2 billion on the 164 sites with unknown exposure. Despite the relatively high level of expenditures at sites with unacceptable exposure, EPA officials told GAO that, in managing limited resources, some sites have not received sufficient funding for construction to be conducted in the most time and cost efficient manner. EPA's future costs to conduct remedial construction at nonfederal NPL sites will likely exceed recent funding levels. EPA officials estimate that EPA's costs will be from $335 to $681 million each year for fiscal years 2010 to 2014, which exceed the $220 to $267 million EPA allocated annually for remedial actions from fiscal years 2000 to 2009. In addition, these cost estimates are likely understated, since they do not include costs for sites that are early in the cleanup process or for sites where a responsible party is currently funding remedial construction but may be unable to do so in the future. Also, according to EPA officials, EPA's actual costs are often higher than its estimates because contamination is often greater than expected. EPA allocates funds separately for preconstruction activities--such as remedial investigation and remedial design--and remedial actions. EPA headquarters allocates funds for preconstruction activities to the regions for them to distribute among sites. For remedial actions, headquarters works in consultation with the regions to allocate funds to sites. EPA officials told GAO that EPA prioritized sites to receive the $582 million in American Recovery and Reinvestment Act funds in a manner similar to the way EPA prioritizes sites for remedial actions. Limited funding has delayed preconstruction activities and remedial actions at some sites, according to EPA officials. EPA regional officials estimated that from 101 to 125 sites--about 20 to 25 sites per year--will be added to the NPL over the next 5 years, which is higher than the average of about 16 sites per year listed for fiscal years 2005 to 2009. Most of the 10 states' officials GAO interviewed also expect an increase in the number of sites listed from their states. However, neither EPA regional officials nor state officials were able to provide cost estimates for cleaning up many of the sites. In addition, the number of sites eligible for listing could increase if EPA decides to assess the relative risk of vapor intrusion--contaminated air that seeps into buildings from underground sources--a pathway of concern among EPA regional officials and state officials interviewed. Although sites with vapor intrusion can pose considerable human health risks, EPA's Hazard Ranking System--the mechanism used to identify sites that qualify for NPL listing--does not recognize these risks; therefore, unless a site with vapor intrusion is listed on some other basis, EPA cannot clean up the site through its remedial program.