Memorandum
MEMORANDUM
SUBJECT: Compliance Screening Process for Project XL
FROM: Steven A. Herman
Assistant Administrator
Office of Enforcement and Compliance Assurance
TO: Jay Benforado
Acting Associate Administrator
Office of Reinvention
Following the recent reexamination of our policies on compliance screening
for the Agency's voluntary programs, it is useful to restate and expand
on the compliance screening policy for potential Project XL project
sponsors and how this information will be used within the XL processes.
This memo attaches guidance on the scope, criteria and process for conducting
enforcement screens to determine the eligibility of XL applicants, and
for updating those screens prior to high-visibility public events, a
chart providing an easy reference to specific screening elements discussed
in the guidance, and a list of both Headquarters and Regional office
contacts for conducting screens and for discussing screening results.
This guidance document supersedes OECA's earlier screening guidance:
"Compliance Screening Process for Project XL," dated October 31, 1995.
This guidance is consistent with and is the XL program-specific application
of the Agency's comprehensive screening framework, "Compliance Screening
for EPA Partnership Programs."
We recognize that the Project XL initiative is largely prospective in
nature and intended to provide participating facilities with an opportunity
to develop innovative approaches to environmental protection which,
if successful, would serve as an indication of similar projects' potential
to reduce regulatory burdens and enhance environmental performance on
a national scale. In contrast, a compliance screen is largely retrospective
because it focuses on the potential participant's federal environmental
enforcement history, as well as its current enforcement status. While
a potential participant's past record is not necessarily an indicator
of future performance, the participant's overall compliance history
is relevant: The participant's compliance history informs EPA's decision
regarding the likelihood of the participant's ability to achieve superior
environmental results in Project XL, as well as the appropriateness
of providing the participant with any regulatory flexibility sought.
The primary purpose of the compliance screen, which focuses on a potential
participant's eligibility for Project XL, is to give appropriate Agency
personnel information on the participant's current compliance status
and compliance history. This information will document whether a facility
has an existing enforcement problem that must be addressed or could
reveal patterns of behavior and/or compliance trends that might shed
light on the participant's capabilities or corporate attitude. Such
screening will avoid conflict or interference between Project XL goals
and any enforcement efforts addressing violations of environmental law,
as well as preventing situations where the Agency and an XL participant
are simultaneously in cooperative and adversarial postures.
The primary purpose of updating the compliance screen prior to a high-visibility
recognition event is similar. During the time between a participant's
acceptance into Project XL (and its initial compliance screen) and any
high-profile events, enforcement activity associated with the participant
may have occurred which would make the involvement of high-ranking Agency
officials in recognition events inappropriate and awkward. The update
screen should uncover any such potential pitfalls and help avoid undercutting
Agency credibility or unnecessarily complicating environmental enforcement
actions.
If you have any questions about the attached guidance, please contact
me or John Fogarty, Deputy Director of my Office of Planning and Policy
Analysis (at 202-564-2530).
Attachment
cc: Sylvia Lowrance
Mike Stahl
Assistant Administrators
Regional Administrators
Regional Counsel
Reinvention Action Council
OECA OD's
Enforcement Coordinators
XL Coordinators