I n t e g r i t y - S e r v i c e - E x c e l l e n c e

Headquarters U.S. Air Force

1

ESOHResource

Transformation

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 2

Environment History

Common Law Property RightsProperty owned from “Heavens to Hell”Restraints on use couched in nuisance

Development of Legislative and Administrative LawZoningSanitationConservationEnvironmental Protection

Why? – Because Values Change

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 3

Traditional “E”

Air QualityWater Supply and QualityHazardous WastePollution PreventionNatural Resource (Endangered Species, Marine

Mammals)Cultural Resources (Historic Properties, Native

American consultations) NEPA (National Environmental Policy Act)Noise Pollution

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 4

Environmental = Economics

Environmental Laws Redefined Internalization of Cost

Rationed Resource Supply (Conservation, Permits, Emission Limits)

Created New Cost (Penalties)

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 5

Excellence Achieved in the Department of Defense

Managed Risk of Non-Compliance 4,196 Hazardous Waste Cleanup Sites Completed Enforcement Actions down 91% since 1993

Managed Hazmat Processes DoD accounts for < 0.1% of US TRI Releases DoD accounts for < 10% of US FedGov TRI Releases Individual private sector sites have TRI releases levels exceeding DOD cumulative levels

Solid Waste Diversion ahead of 2005 goals More T&E species/acre than any other Federal Land Manager

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 6

Challenge Remaining

Underestimated Risk to Resource Supply and CapabilityLoss of access to necessary resources Increased operational costsWork-arounds

ResultEncroachmentLost productivity

Sustainment Paradigm needed for “natural infrastructure”

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 7

The Resource Base

Components of “Natural Infrastructure”

• Airspace• Air Shed Emissions Availability• AICUZ (Noise Bands)• Groundwater Access• Groundwater

Discharge Availability• Surface Land Access• Surface Water

Access & Discharge Availability

• Subsurface Land Access

• Spectrum• Work Force

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 8

Encroachment Risk

RESOURCEBASE

FINANCIALOPERATIONS

Permit LimitZoning Action

New Contaminants

RISK RISK

Competing NeedsCompeting Needs

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 9

ESOH Transformation

GOAL: Sustain Resource Supply to Operational Capability

Health Protection and Regulatory Compliance Inherent in Operability

PRINCIPLES:1. Identify operational and financial risks to resource

requirements in an objective, quantified manner2. Inform risk management decisions through total cost

visibility for ESOH resource sustainment3. Leverage equity value of the ESOH resource portfolio4. Manage risk through investment that supports

operational and regulatory requirements

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 10

Formal modeling developed to quantify resource capability needed and available to support operational needs

Take proactive stance on proposed resource constraints (e.g., perchlorate, critical habitat designations)

Manage total resource base in Base General Plan

Operational metrics for ESOH-MS implementation

Permitted tons of air emissions

Restored land for operational use

Workforce availability (under development)

1. Identify and Manage Operational and Financial Risks to Resources

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 11

2. Total Cost Visibility

Resource sustainment carried through numerous funding lines

MILCON, Acquisition, O&M

Limits opportunities for operational savings or cost avoidance

Total Costs and Liabilities must be identified to inform future resource investment decisions

DOD actions

Global regulatory actions

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 12

3. Leveraging Value

DoD managed environmental resources are now a commodity with an equity value

Tools exist to inventory and appraise public and private resource value NRLAM (Natural Resource Liability & Asset

Management)Environmental Appraising

Resource value intrinsic to managing risk more effectively and efficiently

Enables negotiation from positive position

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 13

4. Tie Programming Goals/Budget to Resource Requirements

Current Environmental ProgramDPG tied to regulatory requirementsGoal: No open enforcement actionsGoal: Federal Facility Agreement milestones

Budget tied to regulatory requirements Level 0, 1 prioritization, FFA requirements Investment to sustain operations (P2,

conservation, permit enhancement) not always eligible

Transform to investment strategy that manages operational and financial risk across the ESOH spectrum

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 14

The ESOH Management System

OperationalRequirements

WorkforceNatural, Built

& Statutory

ReadinessReporting

Tools

Quantified Resource Capacity/Capability/Value

ResourceBase

Do resources meet current/future operational needs?

YES NO

Sustain & Restore Sustain, Restore & Modernize

Manage & Reduce Risk

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 15

Transformation Spheres of Influence

Operationally-DrivenESOHMS

Basing I & E StratPlan

PPBS

Domain Governance

Weapons Acquisition

TOTAL SRM

SPGAPPG

BRAC Decision Making

WorkforceAvailability

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 16

Environmental Transformation:McGuire AFB

Replacing C-141s with C-17s Ozone Non-attainment Area Near Limit on NOx “Budget” P2 Efforts Created “Head Room” in VOC “Budget” Traded VOC “Head Room” for NOx in SIP Increased Resource Availability = Doubled Mission

Capacity

Traded 200 tons/yr

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 17

Cohort EPyro/Prac Sites

RemedialInvestigation

FocusedFeasibility

Study

RemedialAction

Past PerformanceStreamlines Responses

Cohort ASmall Arms

Ranges

StreamlinedSite

Investigation

PresumptiveRemedy

Cohort BBoresightRanges

EE/CARemovalAction

Cohort CEOD Ranges &OB/OD Sites

StreamlinedRemedial

Investigation

FocusedFeasibility

Study

Cohort DCWM Sites

RemedialInvestigation

FocusedFeasibility

Study

Cohort FAll Other

Sites

RemedialInvestigation

FeasibilityStudy

Cohort GMunitions

Constituents

RemedialInvestigation

FeasibilityStudy

RemedialAction

RemedialAction

RemedialAction

RemedialAction

RemedyOperation

20

9 M

un

itio

ns

Re

sp

on

se

Sit

es

Sa

fe to

Re

us

e

Set FutureUse/DQOs

Set FutureUse/DQOs

Set FutureUse/DQOs

Set FutureUse/DQOs

Set FutureUse/DQOs

Set FutureUse/DQOs

Set FutureUse/DQOs

SiteEvaluation

FocusedSite

Evaluation

FocusedSite

Evaluation

SiteEvaluation

SiteEvaluation

SiteEvaluation

SiteEvaluation

I n t e g r i t y - S e r v i c e - E x c e l l e n c e 18

Current and Future Actions

New Policy Guidance Jun 02 SAF/IEE ESOH Management Information

System Memo (ESOHMIS) AFPD 90-8, Environment, Safety and Occupational

Health AFI 90-801, ESOH Management System

Implementation SPG/APPG inputs Resource Capability Model fielded

Pilot tests, ACC bases, MMR, ANG pilot Environmental Appraisals underway Natural Infrastructure considerations in force shaping