EPA Must Implement Controls to Ensure Proper Investigations Are Conducted at Brownfields Sites

EPA Must Implement Controls to Ensure Proper Investigations Are
Conducted at Brownfields Sites

U.S. EPA Office of Inspector General
Report No. 11-P-0107
February 14, 2011

At a Glance

What We Found

EPA does not review AAI [All Appropriate Inquiries] reports submitted by
grantees to assure that they comply with federal requirements. Rather,
EPA has relied on the environmental professional conducting the AAI to
self-certify that requirements are met. Of the 35 AAI reports we
reviewed, from three EPA regions, none contained all the required
documentation elements. This occurred because the Agency does not have
management controls requiring EPA project officers to conduct oversight
of AAI reports. Management controls regarding EPA oversight of
Brownfields grants funded by the American Recovery and Reinvestment Act
of 2009 (ARRA) are also missing. EPA has issued specific guidance and
management controls for ARRA grant activities. However, the guidance and
controls do not address oversight of AAI reports.

Because of EPA's lack of oversight and reliance on environmental
professionals' self-certifications, AAI investigations not meeting
federal requirements may go undetected by Agency staff. The Office of
Inspector General found instances of noncompliance that were not
detected by Agency staff. Improper AAI investigations introduce risk
that the environmental conditions of a property have not been properly
or adequately assessed, which may lead to improper decisions about
appropriate uses of brownfields properties. Ultimately, threats to human
health and the environment could go unrecognized.

Noncompliant AAI investigations may result in future grant denials and
possible government reimbursement. The AAI reports the OIG reviewed were
generated from $2.14 million in grant awards. If conditions merit, EPA
is authorized to take back funds from noncompliant grantees. The OIG
questions the value of the reports we reviewed.

What We Recommend

We recommend that EPA establish accountability for compliant AAI
reports, to include those conducted under ARRA Brownfields grants;
develop a plan to review AAI reports to determine the reports'
compliance with AAI documentation requirements; and establish criteria
to determine whether noncompliant grantees should return federal grant
money. The Agency did not clearly agree or disagree with OIG
recommendations. In its final response to the report, the Agency needs
to agree or disagree with recommendations and, as appropriate, provide a
corrective action plan to address the recommendations.



To download the full 19-page 140 KB report, go to
http://www.epa.gov/oig/reports/2011/20110214-11-P-0107.pdf