How Far Do You Go?
Transcript of How Far Do You Go?
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How Far Do You Go?Cost/Benefit Considerations for
Removal Actions
Dave Williams, OSC Region 7
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Cost Benefit Simplified for Men
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Definitions
• Cost/benefit analysis-- Any process for assessment of a project or proposal which offers an approach to making economic decisions
• law of diminishing returns- The tendency for a continuing effort toward a particular goal to decline in effectiveness after a certain amount of success has been achieved
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Central Question
How do you balance cleanup goals
vs.
analysis of diminishing returns?
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Common Diminishing Return Experience
If I double my insulation thickness (R value),Will I cut my heating bill in half?
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Adding Attic Insulationdiminishing returns
Annual Cost To heat home
Increased Insulation
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Finite numbers
• Buying a car: • which saves more gas:
– upgrading from 20 mpg to 30 mpg, or– from 30 mpg to 50 mpg?
• Assume 12,000 miles driven per year
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Diminishing returns: upgrading vehicle mpg
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Agenda
• Hurricane Ike-diminishing returns• Cleanup goals• Homer’s Solvent Site Example-• Nebraska PCE in GW site• Break-15 minutes• Revisit Historical Dioxin Cleanups ?• Armour Rd Arsenic site
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Hurricane Ike Case Study
When do we reach diminishing returns?
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Cost/Benefit & Diminishing Returns
• Hurricane Ike ravaged TX coast 2008 • EPA - ESF10 support for Stafford Act
– State of TX has 25% cost share– EPA Mission-Recover “orphan” containers
• Initial “target rich” setting• Many containers/day collected-low search time• Trend - to fewer collected/day & more search time
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Cost/Benefit & Diminishing Returns
• TX Paying 25%--concerns– -do we get our money’s worth?– Could TX use same $ for State staff to do job?
• Cost/ benefit analysis• When does TX “elect to stop” paying 25%?
• EPA provides cost/container info for each month on the job
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Cost/Benefit & Diminishing Returns
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Hurricane Ike ESF-10 example
Cost per container
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CLEANUP GOALSRisk management vs. Risk assessment• Preliminary Remedial Goals• Screening Levels• Streamlined risk assessments• Range of risk tolerance
– 10-4 to 10-6
What is proper balance of achieving cleanup goals vs. the analysis of diminishing returns?
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The Search for Balance
Cleanup goals vs.
Diminishing Returns
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Removal action:What are you trying to achieve?
• NCP gives broad discretion regarding the “scope” of a removal action [300.415(b)(1)]– “. . . the lead agency may take any
appropriate action to abate, prevent, minimize, stabilize, mitigate, or eliminate the release or threat of release”
• OSCs must use their own discretion in determining the scope of a removal action
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Factors to Consider When Determining Scope
• Appropriateness of using removal authority• How clean?• Use of science• Cost• The community• Future uses• Political climate• Government partners• PRPs• Similar sites (wood treaters
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What is the Proper Balance?
How Clean?
Cost
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Potential Sources for Site Cleanup Levels
• Preliminary Remediation Goals or Regional Screening Levels - EXIST– Carcinogens: Initially set at 10-6 carcinogenic risk level (“point of
departure” for remedial program)– Non-carcinogens: Set at levels that do not exceed acceptable
threshold levels based on standard exposure assumptions
• State tiered criteria - EXIST– Very similar to RSLs but may have criteria for soil to
groundwater and groundwater to surface water
• Site-specific risk-based calculation - CREATED– Using site specific exposure assumptions
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What Does the NCP Say About OSCs and Risk Assessment?
• The NCP does not require OSCs to conduct risk assessments
• Regional policies/SOPs?
• Special teams and other OSC resources are mentioned as having the capability to provide risk assessments and risk information to OSC/RPM
• 300.145(b)(2) – ERT capabilities• 300.145(f) – Radiological Emergency Response Teams
(RERT) capabilities• 300.175(b)(2) – EPA capabilities as part of NRT and RRTs
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So . . What is the Proper Balance?
How Clean?
Cost
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Risk Reduction v. Scope of Action
• The “balance” is site-specific– What works for one site may not work for another
• Factors other than “cleanup level” and “cost” may drive the site-specific balance
– Use of science, community, future use, political climate, government partners, PRPs
• Sound too complicated?– If it were easy . . .
• Doing the most good with the funding available– Cost/benefit methodology
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Cost/Benefit Methodology
• Moderately conservative – Cost of contaminant mass removed uses
fewer assumptions• Helps quantify the “bang for the buck”• Only one piece of the puzzle
– Requires understanding of the risk associated with whatever “cleanup level” is proposed using the cost/benefit methodology
• Should not be done in a “vacuum”
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Homers Solvent Site
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Homer’s Solvent Site Example
• You are OSC -soil TCE contamination• Site assessment data--next slides • Two areas “A” and “B” require analysis• Risk assessor-36ppb TCE protects GW• OSC must propose action for Homer site• Handout
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Homers Solvents-CSM sketch
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OSC prepares Mgt Briefing
• Calculate the mass of TCE in Area A• Calculate the mass of TCE in Area B• What is the total TCE mass (A + B) ?• What % of total TCE is in A? • What % of total TCE is in B?
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OSC Briefing
• What is cost of removal in each A & B?– assume unit cost of $100/ cu yd for removal,
treatment and disposal• What is cost per lb of TCE removed in
each A & B?
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OSC Prepares Briefing
• What do you recommend in your Action Memo?
• Why?
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Useful Briefing Table
Volume Mass % Total Mass
Cost ($100/ cu yd)
Cost per Lb TCE
Area A
Area B
Totals NA
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Calculations -10 min
• Conversion factors & Useful info• 1 cu yd = 27 cu ft• 1 cu ft soil = apx 100 lb • 1 cu yd soil= apx 2700 lb
• 1 ppm = 1 part/1,000,000 parts• 1 microgram/kg= 1 ppb or
1 part/1,000,000,000 parts
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Review Homer Solvent Calculations
• Handout- solution sheets • Discuss process & calculations
– Flip chart – discussion of units canceling
• Q /A on Homer Site• What do you recommend in your action
memo?
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Homer Solvent Site: Incremental mass removal vs. Cost
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thou
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Process summary1.Make simplified 3-D sketch-CSM
2. Estimate total contaminant mass in the media you are cleaning up….each area separately.
3. Estimate costs for removal/cleanup of each area (eg $150/ton excavated).-Table-helpful for comparison & data display
4. Develop a management/action memo recommendation
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Nebraska PCE Site
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Situation
• You are assigned OSC on NPL site
• PCE plume leaching to GW
• Source control soil excavation-good option
• Risk assessors -25 ppb PCE protects GW– Site info-next slides
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“Tip Top” Dry Cleaner
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SOIL DATA 1-4 ft interval
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SOIL DATA 4-8 ft interval
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Cleanup Option Evaluation
• Mgt seeks briefing on soil removal options • Handout• Use the 4-step process• Prep mgt briefing
– Use comparison table• Select option you will propose in Action
Memo– Support your recommendation
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Divide -- Area A & B
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Comparison of Options
Volume PCE Mass
% of Total PCE Mass
Total Cost
Cost per lb PCE
Area A
Area B
Totals NA
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Take 10 min for Calculations
• Handout has:–Site data/info
–Drawings–Problem Statement
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Review Nebraska PCECalculations
• Handout/solution sheets • Discuss process &
calculations • Resolution of cleanup
goal vs. diminishing returns analysis
• What are your options if you recommend against achieving a set cleanup goal?
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Revisit Historical Dioxin Cleanups?
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30 Historical R7 Dioxin Sites
• Dioxin (2,3,7,8 TCDD) highly toxic• Found in soils in ~30 sites in R7• Historical cleanups
– Largely residential – 1 ppb Cleanup Std – 120,000 tons disposed (aggregate)
• Proposed new PRG-0.072ppb TCDD • Should EPA R7 revisit these 30 sites?
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Dioxin Cleanup Question
• You have been asked to evaluate the cost/benefit of additional cleanup work to 0.072ppb TCDD at previously cleaned-up dioxin sites.
• Divide into 2 Areas– Historical Cleanups=Old– Cleanups Proposed=New– $1000/ton (Trans + Store +Dispose)
TCDD
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Assumptions:
Cleanup std
Waste Mass (tons)
Avg TCDDConc in Waste
Cost per ton (total)
Old 1ppb 120,000 20 ppb $1,000
New 0.072ppb 120,000 0.4 ppb $1,000
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Dioxin Cleanup
• Handout• Use the 4-step process to analyze• Complete Table (next slide)• Prepare a briefing for Sr Mgt• What is your recommendation?
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Dioxin Briefing Information
WasteQuantity
Contaminant Mass
% Total Contam Mass
Total Cost($1000/cu yd)
Cost per Gram
Old
New
Total N A
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Review Dioxin Site Calculations
• Handout-solution sheets
• Discuss process & calculations
• Recommendation?• Q /A on Dioxin
Site
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A homeowners viewpoint?
Avg residential yard has 120 cu yd of soil in the top 3 inches to be removed to achieve 0.072ppb
Calculate mass & cost of TCDD removed from a residential yard. Use table provided
Honey, EPA wants to dig up our yard AGAIN!!!!
YIKES!!!!—Round 2!!Don’t answer the phone
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2nd Residential Cleanup data & requested answers
Cleanup Std
Waste Vol (cu yds)
Avg TCDDConc in Waste
Contam Mass Removed
Total Cost($1000 per ton)
Cost per gram removed
Per Home
0.072ppb 120 0.4 ppb
YIKES!
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Armour Rd Arsenic Site
MSMA
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As Herbicide Formulator Facility
• Railroad use of product
• Operational spills & leaks
– High conc As in soil –MSMA
– Clear Source for GW contamination
– Aquifer important area-wide • Protect GW essential
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PRP Removal action
• Source control - GW– Maximize mass As removed
• PRP Funds limited• Space limited- Congested area
– Structures, Railroads, Highways, Utilities– Excavation challenging
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Congested Excavation Area -Rail spur between Habco bldg & former
Payless bldg
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Congested Excavation Area - in front of Habco building
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Congested Excavation Area Looking toward Habco building
from RR tracks
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Site characterization info
• Features & site info-next slides• High Conc As in soil
– 2000 ppm As avg for depth of 20 ft• Boundaries of source area
• Defined – irregular area• ~2 acres total• Excavate all inside boundary to 20 ft deep• CSM –excavation options evaluated
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Site Features
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Excavation Boundary
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CSM- Excavation OptionsIdeal & Actual
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Actual Excavation Shapenote high walls & perimeter
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CSM Excavation Options Compared
High wall
Vol & Mass
Extras req’d
Cost
Actual High slope High $100/yd
Idealvertical max Sheet
piling
$100/yd + 1 million
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CSM-High Wall (Wedge)Slope & Volume
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CSM-Actual ExcavationVolume Calculations
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Total Area Inside Irregular Exc Boundary Example Estimation Process
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Armour RdBriefing Table
Ideal Actual High Wall
Volume
As Mass
% of total As massCost ($100 per cu yd)
+ $1M -sheet pile
Cost per lb As
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Armour Rd Site Calculations: Arsenic only
• Handouts-solution sheets
• Discuss process & calculations
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But wait: What about dioxin, 2,4-T, 2,4,5-T, and
pentachlorophenol– F-listed wastes– Are the non-arsenic contaminants significant,
i.e, is the cost of treating them separately worth the benefit?
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The F-list (non-specific source wastes)
• This list identifies wastes from common manufacturing & industrial processes, such as solvents, that have been used in cleaning or degreasing operations. Because the processes producing these wastes can occur in different sectors of industry, the F-listed wastes are known as wastes from non-specific sources. (See 40 CFR 261.31)
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“F-Listed” waste calculationsContaminant Average
concentrationTotal soil volume Total mass of
contaminant
Dioxin 1 ppt
Pentachlorphenol 1 ppb
2,4-D 3 ppb
2,4,5-T 5 ppb
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“Contained In” Policy
• If an F-listed waste contaminates soil, is the soil an F-listed waste?
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Contained-in policy
• Add language from RCRA policy document
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Armour Road Contained-in Determination by state of
Missouri• Include excerpt or handout of actual
document
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Armour Rd Site: Arsenic and other contaminants
• Recommended Action?
• Q /A on Armour Rd Site
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Note Terraces
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Steep high wall-max removal of As slump hazard
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Water issues
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Mud problems
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Definitions
• Cost/benefit analysis-- Any process for assessment of a project or proposal which offers an approach to making economic decisions
• law of diminishing returns- The tendency for a continuing effort toward a particular goal to decline in effectiveness after a certain amount of success has been achieved
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Questions and Answers
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