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CED-82-92 1 (1982-06-03)

handle is hein.gao/gaobabdif0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. 20548 COMMUNITY AND fE-ONOMIC DEVII.OPMENr DIVISION B-204752 JUNE 3,1982 The Honorable Anne M. Gorsuch Administrator, Environmental Protection Agency 118520 Dear Ms. Gorsuch: Subject: The Environmental Protection Agency Should Collect Overdue Industrial Cost Recovery Payments (GAO/CED-82-92) The industrial cost recovery (ICR) program was set up by the Congress in 1972 to require industrial users of publicly owned sewage treatment plants to reimburse the Federal Government's share of construction costs. The Environmental Protection Agency (EPA) has made a relatively limited effort to recover the Federal share of the ICR funds that grantees collected from industrial users before the program's repeal on December 27, 1977. We iden- tified six grantees in EPA's Boston region that had collected but had not yet paid EPA the Federal share amounting to $17,365. The region had no record of the names of the grantees that owed ICR funds or the amounts owed. The Boston region has accounted for only 6 percent of con- struction grant funds nationwide since the program began. Because the potential exists for collections in other EPA regions, we believe the EPA regional offices need to identify the grantees that have collected ICR payments from industrial users and require the grantees to remit the Federal share of the collections to EPA. OBJECTIVE, SCOPE, AND METHODOLOGY We performed this review to determine the extent of EPA's control over collections of ICR payments which municipalities had collected from industrial users before December 27, 1977. Infor- mation we obtained during our review of a small treatment facil- ity in Wyoming (Wyoming Wastewater Treatment Facility Proves Unsuccessful, CED-81-94, dated June 15, 1981) showed that EPA's Denver regional office did not keep track of the municipalities which did or did not remit ICR payments. Our specific objectives were to (1) identify the grantees that might have collected ICR payments, (2) determine the amounts due the Federal Government from these grantees, (3) suggest procedures to collect the Federal share, and (4) determine if EPA has the authority to collect ICR payments from grantees that either had received pay- ments from industrial users or had not received payments owed by industrial users. (089178)

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