# Petition for Writ of Certiorari — Chemical Manufacturers Ass'n v. Environmental Protection Agency

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition for Writ of Certiorari
- **Published:** January 1, 1993
- **Citation:** 507 U.S. 1057

## Text

Supreme Court, U.S,
FILED

92-1150
| JAN 5 1993
No. 92—— ' | OFFICE OF THE CLERK

Iu the Supreme Court of the United States

OCTOBER TERM, 1992

CHEMICAL MANUFACTURERS ASSOCIATION and
AMERICAN PETROLEUM INSTITUTE, PETITIONERS

v.

UNITED STATES ENVIRONMENTAL PROTECTION
AGENCY, ET AL.

Petition for a Writ of Certiorari to the
United States Court of Appeals
for the District of Columbia Circuit

PETITION FOR A WRIT OF CERTIORARI

DAVID F. ZOLL MICHAEL W. STEINBERG *
RONALD A. SHIPLEY PETER BUSCEMI
CHEMICAL MANUFACTURERS HUNTER L. PRILLAMAN
ASSOCIATION MORGAN, LEWIS & BOCKIUS
2501 M Street, N.W. 1800 M Street, N.W.
Washington, D.C. 20037 Washington, D.C. 20036
(202) 887-1160 (202) 467-7141

G. WILLIAM FRICK
RALPH J. COLLELI, JR.
AMERICAN PETROLEUM
INSTITUTE
1220 L Street, N.W.
Washington, D.C. 20005
(202) 682-8252

January 5, 1993 * Counsel of Record

WILSON - EPES PRINTING Co., INC. - 789-0096 - WASHINGTON, D.C. 20001

QUESTIONS PRESENTED

1. Whether the court of appeals improperly failed to
defer to EPA’s interpretation of Section 3004 of the
Resource Conservation and Recovery Act (“RCRA”) and
improperly required EPA to regulate under RCRA bil-
lions of gallons per year of dilute wastewater that is
already extensively regulated by EPA under the Clean
Water Act and the Safe Drinking Water Act.

2. Whether the court of appeals improperly failed to
defer to EPA’s interpretation of Section 1006 of RCRA
and improperly rejected EPA’s decision to integrate the
overlapping requirements of RCRA, the Clean Water
Act, and the Safe Drinking Water Act in order to avoid
massive disruption at thousands of industrial plants
throughout the United States.

ii
LIST OF INTERESTED PARTIES

The parties to the proceeding below were the Chemical
Manufacturers Association, American Petroleum Insti-
tute, The Fertilizer Institute, RSR Corporation, Ameri-
can Iron and Steel Institute, American Mining Congress,
American Paper Institute, National Forest Products Asso-
ciation, Specialty Steel Industry of the United States,
Chemical Waste Management, Inc., Edison Electric In-
stitute, The Dow Chemical Company, Zine Corporation
of America, Horsehead Resource Development Co., Exide
Corporation, The Aluminum Association, Natural Re-
sources Defense Council, Environmental Defense Fund,
Hazardous Waste Treatment Council, Sierra Club, E.I.
du Pont de Nemours & Co., Inc., The Chlorine Institute,
National Association of Metal Finishers, Secondary Lead
Smelters Association, Allied-Signal Inc., Lead Industries
Association, Inc., The Cadmium Council, Inc., Institute
of Makers of Explosives, Thiokol Corp., Olin Corp., Steel
Manufacturers Association, the United States Environ-
mental Protection Agency, and William K. Reilly, the
Administrator of the Environmental Protection Agency.

Petitioner Chemical Manufacturers Association
(“CMA”) is a nonprofit trade association whose member
companies represent more than 90 percent of the pro-
ductive capacity for basic industrial chemicals within the
United States. CMA does not have any outstanding
securities in the hands of the public, nor does CMA have
a publicly owned parent, subsidiary, or affiliate.

Petitioner American Petroleum Institute (“API’’) is
a nationwide, not-for-profit trade association representing
companies engaged in all aspects of the petroleum indus-
try, including exploration, production, refining, trans-
portation, and marketing. API does not have any out-
standing securities in the hands of the public, nor does
API have a publicly owned parent, subsidiary, or affiliate.

TABLE OF CONTENTS

QUESTIONS PRESENTED ...............----------------- ence
LIST OF INTERESTED PARTIES ...... bills nomena
TABLE OF AUTHORITIES .................-..-------- saaniineieisic
OPINION BELOW ................. sii shainiieapieesioserasenauieinengsaaeabins
JURISDICTION ............ See Cedi tatnadlaeediaacdiabiboniabunakkinanenoeies
STATUTE AND REGULATIONS INVOLVED

STATEMENT OF THE CASE ...................--.
Eptroauction ...................... RR
Statutory and Regulatory Background _....
The Final Rule Adopted by EPA ..........................-------.

Description of CWA Treatment Systems and SDWA
Injection Wells —........

EPA’s Findings on Aggregation of Characteristic
Wastes

The Decision of the Court of Appeals ............

REASONS FOR GRANTING THE PETITION

I. THE COURT OF APPEALS FAILED TO FOL-
LOW FUNDAMENTAL PRINCIPLES OF
STATUTORY CONSTRUCTION AND DEF-
ERENCE TO AGENCY INTERPRETATIONS.

A. The Court’s Interpretation of RCRA § 3004..

B. The Court’s Interpretation of RCRA § 1006
ee ss cccasueenhswuexctondebakans

Il. THE COURT OF APPEALS IMPROPERLY
DICTATED THE REGULATIONS THAT EPA
MUST DEVELOP ON REMAND

(iii)

23

iv
TABLE OF CONTENTS—Continued
lil. THE DISRUPTION WROUGHT BY THE
COURT OF APPEALS WILL BE WIDE-

SPREAD, LONG-LASTING, AND ENOR-
MOUSLY EXPENSIVE

A. Disruption of Clean Water Act Treatment
Practices

B. Disruption Of SDWA Injection Well Prac-
RE, AEE aL AES:

CONCLUSION

APPENDIX A
Opinion of the Court of Appeals

APPENDIX B

Order of the Court of Appeals Granting Stay

APPENDIX C

Order of the Court of Appeals Vacating Stay
Order ..... i eiannbadininis eehieiscerk Caen pedeipes emit waacchancorciooers

APPENDIX D

Second Order of the Court of Appeals Granting
era er ee

APPENDIX E

Relevant Statutory Provisions ___.

APPENDIX F

Relevant Portions of Final Rule Involved

a

Page

29

la

79a

80a

8la

82a

92a

Vv
TABLE OF AUTHORITIES

Cases Page
Barker v. Wingo, 407 U.S. 514 (1972) ~..--.------------- 24
Chevron, U.S.A., Inc. v. Natural Resources De-

fense Council, Inc., 467 U.S. 837 (1984) .... _ passim
Comite Pro Rescate de la Salud v. Puerto Rico

Aqueduct & Sewer Authority, 888 F.2d 180 (ist

Cir. 1989), cert. denied, 494 U.S. 1029 (1990)... 22
Department of the Treasury v. Federal Labor Re-

lations Authority, 494 U.S. 922 (1990) ~.........----- 24
Fort Stewart Schools v. Federal Labor Relations

Authority, 495 U.S. 641, (1990) ee ee 19
Hyatt v. Sullivan, 899 F.2d 329 (4th Cir. 1990) .. 24
Mistretta v. United States, 488 U.S. 361 (1989) .... 24
Vermont Yankee Nuclear Power Corp. v. Natural

Resources Defense Council, 435 U.S. 519 ( 1978) 24

White House Vigil for the ERA Committee v.

Clark, 746 F.2d 1518 (D.C. Cir. | eee 24
Statutes

28 U.S.C. § 1254 (1) .......-------0---eeee--2022- 2
33 U.S.C. §§ 1251-1387 ........----------------eeeec eset 3
$3 U.S.C. § 1042 ........ een kev eee g
42 U.S.C. §§ 300f-800j-26 7 ne ee 3
Resource Conservation and tecovery Act

(“RCRA”), 42 U.S.C. § 6901 et seq. _.. 2
42 U.S.C. § 69038 5, 6
42 U.S.C. § 6905 . __....2, 4, 11, 14, 15, 16, 18, 21
P. ¥es Coa fj reer ns rete . £8
42 U.S.C. §§ 6922 (a) , 6923 (a)-(b), and 6924 (a) 4
rate Cee o | Seer Le
42 U.S.C. § 6924 (g) ; a 4, 5, 9, 20
Po Bie Some el) 3 eer 20
42 U.S.C. § 6924 (m) . 5,7,9,19
42 U.S.C. § 6925 (a) -(@) ...----------------ceeeeeeeceecceeeeeeeeee 4
Peis Com ES nenemenceres 17
Pub. L. No. 89-272, Title II, 79 Stat. 992 3
Pub. L. No. 94-580, 90 Stat. 2795 ... 3
Pub. L. No. 98-616, 98 Stat. 3221 ............. Sh eee 4

Regulatory Materials
40 C.F.R. §§ 148.20, 268.6 en M5 ae 14
40 C.F.R. §§ 261.3 (a) (2) (i), 261.20-261.2

v1

TABLE OF AUTHORITIES—Continued

Page
40 C.F.R. §§ 261.3 (a) (2) (11), 261.31-261.33 00000... 5
Be i is A ED a chesenaxucnveekecbuscneidectccneetetniacen micas 5, 6
Be eae cine Oe CA IEE ED vices ctcnecennnchacnncasunacinsninseaaenieionns 11
PURR ceacte e ee . ae
ra clits Be MELO cccceckacecsinatesesaanneerauccase acaaeubcuuaaien 6
co 10
Re Rr ioliiic Oy Ne IPE EL ecccerinesonccecanuseosansasiensconsammcieduacs 8
53 Fed. Reg. 28,126 (1988) ............000000..... aa 15
OO FOG. OR. SBI C1 BBB) onncccccccnccccecsccccnscnceasesececceos: 6
He ees HE, I COD we wniccsecencisacinecenseasscennsesonnmnan 9
Fy em EG) ee eee aoe 2,6
Pens US 11

Iu the Supreme Court of the United States

OcTOBER TERM, 1992

No. 92-

CHEMICAL MANUFACTURERS ASSOCIATION and
AMERICAN PETROLEUM INSTITUTE, PETITIONERS

Vv.

UNITED STATES ENVIRONMENTAL PROTECTION
AGENCY, ET AL.

Petition for a Writ of Certiorari to the
United States Court of Appeals
for the District of Columbia Circuit

PETITION FOR A WRIT OF CERTIORARI

The Chemical Manufacturers Association and the
American Petroleum Institute, by their undersigned coun-
sel, petition for a writ of certiorari to review the judg-
ment and opinion of the court of appeais in this case.

OPINION BELOW
The opinion of the court of appeals (App. A) is re-
ported at 976 F.2d 2.
JURISDICTION

The opinion of the court of appeals was entered on
September 25, 1992. Respondent EPA filed a timely
petition for rehearing on November 9, 1992. The peti-

2

tion remains pending. The jurisdiction of this Court is
invoked under 28 U.S.C. § 1254(1).

STATUTE AND REGULATIONS INVOLVED

The relevant portions of Sections 1006, 3001, and 3004
of the Resource Conservation and Recovery Act, 42 U.S.C.
§§ 6905, 6921, 6924, are reprinted in Appendix E. The
Final Rule challenged on review in the court of appeals
has been codified at 40 C.F.R. Parts 148 and 268, and
was published at 55 Fed. Reg. 22,520 (June 1, 1990).
The relevant portions of the rule are reproduced in Ap-
pendix F.

STATEMENT OF THE CASE

Introduction

This case concerns the D.C. Circuit’s unwarranted ex-
pansion of the limited judicial role °» reviewing the En-
vironmental Protection Agency’s | erpretation of the
tesource Conservation and Recover, Act (“RCRA”), 42
U.S.C. §§ 6901 et seq. RCRA. n pertinent part, ad-
dresses the treatment, storage, and disposal of hazardous
wastes.

EPA issued final regulations under RCRA in June of
1990 that allowed industrial plants to continue the long-
standing practice of aggregating multiple wastewater
streams for centralized treatment or disposal in systems
that are extensively regulated by EPA under the Clean
Water Act or the Safe Drinking Water Act, without
meeting additional requirements under RCRA. The court
of appeals overturned those provisions, holding that in-
dustrial wastewaters managed under those other statutes
must also be treated to meet RCRA standards.

In overturning these key provisions of EPA’s final
regulations, the court of appeals failed to defer to EPA’s
interpretation of ambiguous statutory language, in vio-
lation of “Step Two” of Chevron, U.S.A., Inc. v. Natural
Resources Defense Council, Inc., 467 U.S. 837 (1984).
Moreover, the court substituted its own judgment as to

3

the meaning of that statute by specifying the permissible
content of the new regulations EPA must now develop.

The court’s multiple errors will have enormously harm-
ful effects for years to come, absent review by this Court.
The decision below imposes new RCRA hazardous waste
treatment requirements on thousands of centralized waste-
water management systems that were designed (and are
operated) to meet stringent environmental requirements
under the Clean Water Act (33 U.S.C. 88 1251-1387)
and the Safe Drinking Water Act (42 U.S.C. $§ 300f-
300j-26). These systems manage billions of gallons per
year of dilute nonhazardous industrial wastewater. The
imposition of these new RCRA requirements at such fa-
cilities will present difficult, if not insuperable, technical
challenges, will require the expenditure of millions of
dollars at many facilities, and will achieve scant envi-
romental benefits. These harmful results were not man-
dated by Congress or by EPA, but are due solely to the
actions of the court of appeals.

Statutory and Regulatory Background

Congress enacted RCRA in 1976 to address a wide
range of issues relating to the management of solid waste
and hazardous waste.' Pub. L. No. 94-580, 90 Stat. 2795.
Subtitle C of RCRA regulates hazardous waste and gives
KPA broad authority: (1) to determine which wastes
should be regulated as hazardous, 42 U.S.C. § 6921(a),
(b) (1): (2) to establish standards for generators of
hazardous waste, transporters of such waste, and owners
and operators of facilities that treat, store, or dispose

1 The method of legislating that Congress chose in RCRA was to
enact an amended—indeed, a completely rewritten—-version of the
Solid Waste Disposal Act, originally passed in 1965. See Pub. L.
No. 89-272, Title II, 79 Stat. 992. Technically, therefore, the new
statutory sections enacted in Section 2 of RCRA are properly known
as sections of the Solid Waste Disposal Act. As a matter of common
practice, however, EPA and others dealing with RCRA simply
refer to the relevant sections as sections of RCRA itself. The court
of appeals adopted this convention, and we follow it here.

OE

4

of such waste, 42 U.S.C. $§ 6922(a), 6923(a)-(b), and
6924(a); and (3) to issue permits for such treatment,
storage, or disposal facilities, 42 U.S.C. § 6925(a)-(e).

RCRA contemplated a new federal regulatory program
for hazardous waste management at a time when other
federal environmental programs, such as those under the
Clean Water Act and the Safe Drinking Water Act, were
already being implemented. The requirements of these
various statutes are complex and far-reaching, and they
overlap to a considerable degree. For this reason, RCRA
contains an unusual provision in Section 1006(b) (1)
that specifically directs EPA to “integrate” the require-
ments of RCRA with the requirements of numerous other
federal environmental statutes, including the Clean
Water Act and the Safe Drinking Water Act “to the
maximum extent practicable.” 42 U.S.C. § 6905(b) (1).
The objective of Section 1006(b) (1) was to ensure that
in establishing regulations under RCRA, EPA avoided
duplication, inconsistency, or disruption of regulatory re-
quirements established under the many other statutes ad-
ministered by EPA.

Congress substantially amended RCRA in the Haz-
ardous and Solid Waste Amendments of 1984, requiring
KPA to promulgate several new sets of regulations deal-
ing with the treatment, storage, and disposal of hazardous
wastes. Pub. L. No. 98-616, 98 Stat. 3221. The amend-
ments to Section 3004 defined the term “land disposal”
to include the placement of wastes in surface impound-
ments and injection wells. The 1984 amendments re-
quired EPA to review all hazardous wastes and then to
promulgate regulations prohibiting land disposal of such
wastes, except in accordance with such methods as EPA
may determine “will be protective of human health and
the environment for as long as the waste remains haz-
ardous....” 42 U.S.C. § 6924(g) (5).

The 1984 amendments also directed EPA to specify
treatment standards for each hazardous waste that would
“substantially diminish the toxicity of the waste or sub-

EEE

5

stantially reduce the likelihood of migration of hazardous
constituents from the waste so that short-term and long-
term threats to human health and the environment are
minimized.” 42 U.S.C. § 6924(m) (1). Once a hazardous
waste is treated in accordance with the treatment stand-
ards established under Section 3004(m) (1), it may then
be land disposed. 42 U.S.C. $$ 6924(g) (5), 6924(m) (2).

This case involves the validity of some of the regula-
tions promulgated by EPA under the amended Section
3004. As we explain below, the regulations at issue rep-
resent EPA’s considered response to the common situation
in which hazardous waste is rendered nonhazardous and
is then treated or disposed of in compliance with another
federal environmental statute. To appreciate the practical
importance of the regulations at issue, and the impact
of the decision below, it is necessary to understand the
two different categories of hazardous waste under RCRA,
and EPA’s regulatory approach to the dilution of such
wastes.

Under Section 3001 of RCRA, 42 U.S.C. § 6921, there
are two routes by which a particular waste may be classi-
fied as a hazardous waste. First, “listed wastes” are
specific wastes that EPA has determined satisfy the
statutory definition of “hazardous waste’ in Section
1004(5) of RCRA, 42 U.S.C. §$ 6903(5). See 40 C.F.R.
$$ 261.3(a) (2) (ii), 261.81-261.38. A listed hazardous
waste generally remains hazardous until it is “delisted”
through a procedure prescribed by EPA. 40 C.F.R.
§ 261.3(d) (2).

Second, so-called “characteristic wastes,” which are at
issue in this case, are classified as hazardous because
they display one or more of a number of specified hazard-
ous characteristics. See 40 C.F.R. §§ 261.3(a) (2) (i),
261.20-261.24. To date, EPA has identified hazardous
characteristics of corrosivity, reactivity, ignitability, and
various kinds of toxicity. These characteristics are phys-

’

6

ical attributes of the waste, and their presence is deter-
mined by criteria specified in EPA’s regulations.* A char-
acteristic hazardous waste automatically ceases to be a
hazardous waste when it no longer exhibits any of the
specified characteristics. 40 C.F.R. § 261.3(d) (1). It
is immaterial whether the characteristics are removed
through dilution or through some other form of treat-
ment; * the waste simply ceases to be a hazardous waste
as a matter of law. This principle was taken into ac-
count in the design of many industrial wastewater man-
agement systems.

Pursuant to the 1984 amendments, EPA in 1986 di-
vided those hazardous wastes that had not been addressed
in prior rulemaking into three groups, or “thirds,” and
commenced the required review process. On November 22,
1989, EPA published its proposed land disposal restric-
tion reguiations for the “Third Third,’ which included
all characteristic hazardous wastes. 54 Fed. Reg. 48,372
(1989). On June 1, 1990, EPA published its final rule
for the “Third Third” wastes. 55 Fed. Reg. 22,520
(1990). The review of that rule by the court of appeals
is at issue here.

The Final Rule Adopted by EPA

In the “Third Third” rule, EPA faced a host of diffi-
cult legal, technical, and policy issues concerning the
application of the land disposal restrictions to charac-
teristic hazardous wastes. These issues have extraord-
inary practical importance for American industry, because
many thousands of industrial plants produce at least

* For example, a waste that is either highly acidic or highly alka-
line exhibits the characteristic of corrosivity and is therefore a
hazardous waste. 40 C.F.R. § 261.22.

3 RCRA’s sweeping definition of “treatment” includes dilution as
a method of rendering a waste nonhazardous or less hazardous.
RCRA § 1004(34), 42 U.S.C. § 6903(34).

7

some wastewater that exhibits a RCRA hazardous charac-
teristic, if only briefly.

In developing the “Third Third” rule, EPA had to
decide whether to allow dilution to be used to bring
characteristic wastes into compliance with the new treat-
ment standards established under Section 3004(m), or
whether to require that other methods of treatment be
used. It is worth stressing that RCRA does not require,
or even mention, such a prohibition on dilution of haz-
ardous wastes. In 1986, EPA adopted, as a matter of
policy, a general rule prohibiting the use of dilution as
a substitute for adequate treatment or as a means of
avoiding or circumventing restrictions on the land dis-
posal of hazardous wastes, and it had applied this gen-
eral rule to listed hazardous wastes. See 40 C.F.R.
§ 268.3 (1987). In the “Third Third” rulemaking, EPA
needed to decide whether and to what extent to apply
this general rule to characteristic wastes.

The question whether EPA’s general dilution rule
should be applied to characteristic wastes was crucial
because, unlike listed wastes, characteristic wastes often
ean be rendered nonhazardous through dilution to remove
the relevant physical characteristic. Indeed, as EPA rec-
ognized, such dilution frequently occurs in the course of
normal industrial operations, as multiple wastewater
streams are aggregated before treatment in Clean Water
Act systems or disposal in Safe Drinking Water Act
injection wells. App. 107a, 110a. The aggregation of dif-
ferent wastewater streams often results in a combined
wastewater stream that does not exhibit any hazardous
characteristic and would not independently be classified
as hazardous under EPA’s RCRA regulations. Aggrega-
tion also minimizes or eliminates the short-term hazards
posed by ignitable, corrosive, or reactive wastes, whose
physical properties could otherwise pose significant health
and safety risks to workers. In its rulemaking, EPA
was faced with the question of whether to disrupt these
long-standing practices by applying the dilution prohibi-

8

tion to aggregation activities. A brief description of these
practices is provided below.

Description of CWA Treatment Systems and SDWA Injection
Wells

Tens of thousands of industrial plants across the United
States operate wastewater treatment systems that prop-
erly aggregate, treat, and discharge a wide variety of
wastes in compliance with the Clean Water Act’s
(“CWA”) comprehensive regulatory scheme. These sys-
tems, which handle billions of gallons of wastewater each
year, must comply with stringent technology-based treat-
ment standards set out in EPA regulations, and with fed-
eral, state, and often local discharge permits.* CWA
treatment systems can be exceedingly complex, encom-
passing many miles of piping and many different kinds
of treatment equipment, including tanks and _ surface
impoundments. Many of these systems contain multiple
treatment processes, including biological treatment of or-
ganic constituents, removal of metals by precipitation,
and neutralization of acidic and alkaline materials, prior
to discharge of the treated effluent. None of the practices
at issue avoids the proper treatment of hazardous wastes.

Similarly, industrial plants that utilize underground
injection wells regulated under the Safe Drinking Water
Act (“SDWA”’) are typically designed so that wastewater
streams generated on-site are centrally aggregated and
pretreated to facilitate injection pursuant to permits is-
sued under the Underground Injection Centrol (“UIC”)
program. The large volume of aggregated dilute waste-
water, from which all hazardous characteristics have been
removed, is then injected by means of “deep wells” into

4In 1972, the CWA established the National Pollutant Discharge
Elimination System (“NPDES”) permit program to control the dis-
charge of pollutants into the waters of the United States. 33 U.S.C.
§ 1342. EPA has issued stringent effluent discharge limitations for
numerous industries. 40 C.F.R. Parts 405-471.

9

geologic formations thousands of feet below the earth’s
surface, where it will remain isolated for millions of
years below the lowermost sources of potentally usable
groundwater. The practice is comprehensively regulated
under the UIC program under the SDWA, and has been
determined by EPA to be safe and effective. App.
109a-113a.

EPA’s Findings on Aggregation of Characteristic Wastes

As described above, the aggregation of different waste-
water streams for centralized management often removes
any hazardous characteristics that may originally have
been present in one or more individual streams. Thus,
the overall wastewater stream entering the CWA treat-
ment system or the SDWA injection well does not exhibit
any hazardous characteristic and would not independently
be classified as hazardous under EPA’s regulations. The
first issue that confronted EPA with respect to such non-
hazardous waste streams in the “Third Third” rulemaking
was whether they were subject to regulation under RCRA
at all, simply because one or more of their component
parts once exhibited a hazardous characteristic.

In its proposed rule, EPA recognized that there was
a question as to its legal authority to restrict the land
disposal of nonhazardous wastes from which any hazard-
ous characteristics had been removed prior to disposal,
and it sought comment on this issue. 54 Fed. Reg. 48,491
(1989). Many commenters, including petitioners, argued
that EPA lacks authority under RCRA to require further
treatment of formerly characteristic hazardous wastes
that have been rendered nonhazardous prior to disposal.
These commenters pointed out that the land disposal pro-
hibitions in Section 3004(g) speak only to the land dis-
posal of “hazardous wastes,” and that the Section 3004 (m)
treatment standards likewise apply only to “hazardous
wastes” that would otherwise be prohibited from disposal.

In the final “Third Third” rule, however, EPA deter-
mined that RCRA afforded it some flexibility in determin-

10

ing the point at which the land disposal restrictions apply
to various wastes. According to EPA, Section 3004 of
RCRA could be read to apply the land disposal restric-
tions either at the “point of generation” or at the “point
of disposal.” App. 98a-100a. EPA explained that the rele-
vant language in Section 3004 of RCRA is ambiguous,
and its interpretation of that language was a “permis-
sible” reading of the statute under “Step Two” of Chev-
ron, U.S.A., Inc. v. Natural Resources Defense Council,
Inc., 467 U.S. 837 (1984). App. 98a.

Under a “point of generation” approach, the Section
3004 land disposal restrictions can begin to appiy as soon
as a hazardous waste is generated, so that land disposal
cannot occur until RCRA treatment standards are met,
even if the waste ceases to be a “hazardous waste” before
it is disposed. Under a “point of disposal’ approach,
on the other hand, the land disposal restrictions would
only come into play at the time a waste is disposed.
Accordingly, if a waste, or an aggregated stream of
wastes, were not hazardous at that point, RCRA’s land
disposal restrictions simply would not apply.

Having asserted its legal authority over characteristic
wastes from their “point of generation,” EPA turned to
the complex question of how its 1986 general dilution
rule should apply to characteristic wastes, including
wastes that are rendered nonhazardous before the “point
of disposal.” For certain characteristic wastes, EPA
promulgated a treatment standard of “Deactivation.”
This standard permitted the use of any treatment method,
including dilution, to remove the hazardous character-
istic and make the waste eligible for land disposal.’ 40
C.F.R. § 268.42.

* The court of appeals vacated EPA’s “Deactivation” standard in
certain respects. App. 26a-36a.

11

For other characteristic wastes, however, EPA decided
that its 1986 general dilution rule should apply, and that
dilution should be prohibited as a substitute for more
appropriate treatment. For these wastes, EPA either
(i) specified a particular treatment method other than
dilution or (ii) adopted a treatment standard expressed in
terms of a concentration level, relying on its general
dilution rule to prevent that level from being achieved
through improper dilution. See 55 Fed. Reg. 22,656.
Even for these wastes, however, EPA provided two criti-
cally important exceptions to the general prohibition
against diluting charactersitic hazardous wastes. These
are the two exceptions at the heart of this case.

EPA decided that with respect to formerly charac-
teristic wastes that are managed in regulated CWA or
SDWA systems, the land disposal restrictions should apply
at the “point of disposal,” rather than at the “point
of generation.” App. 106a-113a. EPA concluded that
where any hazardous characteristics have been eliminated,
through aggregation or otherwise, prior to placement on
the land, and where the resulting waste is then managed
in compliance with another federal environmental regu-
latory program, RCRA need not be read to impose any
additional and potentially conflicting requirements of
‘ts own, such as the dilution prohibition. Jd. Specifi-
eally, EPA determined that once a characteristic waste
no longer exhibits any hazardous characteristic and it is
either (i) treated in a wastewater treatment system
regulated under the Clean Water Act, or (ii) disposed
of in an underground injection well regulated under the
Safe Drinking Water Act, then imposing additional treat-
ment requirements under RCRA is unnecessary as a
matter of law and unwarranted as a matter of environ-
mental policy. See id.; 40 C.F.R. € 268.3(b) (the CWA
exception); § 268.1/¢c) (3) (the SDWA exception).

In reaching this conclusion, EPA also relied on the
integration mandate of Section 1006(b) (1) of RCRA.

12

EPA determined that the CWA regulatory program
already imposes adequate treatment requirements and
dilution restrictions on industrial wastewater treatment
systems. See, e.g., App. 96a-98a, 106a-109a. Similarly,
EPA reasoned that the SDWA regulatory scheme pro-
vides ample environmental safeguards for the disposal of
nonhazardous wastes in underground injection wells.® In
both cases, EPA found that applying additional RCRA
land disposal restrictions, such as the dilution prohibi-
tion, would be needlessly confusing and disruptive to
facilities regulated under the other two statutes. See,
e.g., EPA “Background Document: Response to Com-
ments on Third Third Proposed Rule,” Vol. 3 (May 3,
1990), Doe. No. LD13-50285, at 200, 203, 209, 242, 268-
71, J.A. 351, 354, 360, 381 404-07 (EPA agrees that
prohibiting dilution of wastes managed under CWA
“would have created havoc for industrial wastewater
treatment systems” that are environmentally sound and
well-regulated). As EPA stated, Section 1006(b) (1) of
RCRA gives it “the authority to consider these integra-
tion problems and set regulations that are consistent with
the goals and policies of the CWA and RCRA.” App.
108a.

The Decision of the Court of Appeals

EPA’s final “Third Third” rule was challenged by
various parties on numerous grounds. Petitioners and
others challenged EPA’s authority to adopt the “point
of generation” approach, arguing that RCRA precluded
EPA from regulating wastes that are not hazardous at

6 EPA found that segregating the individual characteristic haz-
ardous wastewater streams for separate treatment under RCRA
would yield no environmental benefit at all:

EPA believes that the application of dilution rules to these
wastes would not further minimize threats to human health and
the environment. Specifically, EPA believes that disposal of
[the relevant wastes] by underground injection at the char-
acteristic level is as sound as the treatment option.

App. 110a.

“a

13

the point of disposal. On the other hand, the commercial
hazardous waste treatment industry and certain environ-
mental groups challenged EPA’s decision to allow aggre-
gation of multiple wastewater streams (including char-
acteristic wastes), followed by management of the dilute,
nonhazardous aggregated stream in CWA treatment sys-
tems or SDWA injection wells. Petitioners herein inter-
vened in support of EPA with respect to this issue.

The court of appeals rejected petitioners’ argument
that the land disposal restrictions must apply only at the
point of disposal and held that EPA can apply the re-
strictions at the “point of generation.” App. 21a-26a.
In rejecting petitioners’ challenge to the regulation of
wastes that are not hazardous at the “point of disposal,”
the court expressly relied on Chevron, U.S.A., Inc. v.
Natural Resources Defense Council, Inc., 467 U.S. 837
(1984), declaring that “ly]nder Chevron, unless Con-
gress has spoken directly to these questions, the EPA’s
determinations are entitled to deference, if reasonable.”
App. 21a. However, when it turned to EPA’s application
of its RCRA dilution rules in the context of wastewater
management systems regulated under the CWA or the
SDWA, the court of appeals disregarded Chevron and
rejected EPA’s interpretation of its statutory authority.

Failing even to mention Chevron in this portion of its
opinion, the court substituted its own interpretation of
Section 3004 for EPA’s and held that EPA must apply
the “point of generation” approach to the formerly char-
acteristic wastes at issue here. The court summarily
dismissed EPA’s interpretation of Section 3004 of RCRA
as allowing the land disposal restrictions to apply to the
wastes at issue at the “point of disposal.” App. 37a-55a.
As a result of the court’s ruling, EPA has no choice but
to subject dilute wastewaters entering CWA treatment
systems or SDWA injection wells to the additional treat-
ment requirements developed by EPA under RCRA, even
though such wastewaters no longer exhibit any hazard-

i |.

14

ous characteristic and are not RCRA hazardous wastes
as a matter of law.

Similarly, the court of appeals rejected EPA’s care-
fully considered decision to integrate the requirements
of RCRA with those already in force under the CWA
and the SDWA. The court brushed aside EPA’s obliga-
tion to integrate RCRA with these other environmental
statutes pursuant to RCRA § 1006(b) (1), overturning
EPA’s approach and substituting its own extremely nar-
row view of “integration.”

With respect to the Clean Water Act, the court held
that formerly characteristic wastewaters may be placed
in CWA treatment systems containing surface impound-
ments “if and only if” they are then treated “to the same
degree” as RCRA would require for wastes that were
actually hazardous. App. 47a (emphasis in original), 45a
‘emphasis in original). According to the panel, RCRA
$ 1006(b) (1) allows no modification of RCRA treatment
standards to suit the circumstances of Clean Water Act
treatment facilities. App. 48a. The court never acknowl-
edged the arguments made by both EPA and petitioners
that, due to considerations of technical feasibility, engi-
neering complexity, and economic achievability, applying
the dilution prohibition was simply unworkable for the
tens of thousands of industrial plants that operate Clean
Water Act treatment systems. EPA Br. at 64-67; Indus-
try Intervenors Br. at 38.

With respect to the Safe Drinking Water Act, the
court held that formerly characteristic wastewaters may
be placed in underground injection wells only where
dilution itself meets the RCRA treatment standard, or
where the deep well secures a “no-migration” variance.’
The court shrugged off EPA’s obligation to integrate

—_—

7 Under 40 C.F.R. §§ 268.6 and 148.20, a land disposal facility may
be exempted from RCRA’s land disposal restrictions if the operator

15

RCRA requirements and SDWA requirements under
RCRA § 1006(b) (1). Again, the court disregarded the
arguments advanced by both EPA and petitioners that
many SDWA facilities would likely be unable to con-
tinue operating—or at the least would be subjected to
massive, unnecessary disruption and expenditure—absent
EPA’s limited exception to the dilution prohibition. EPA
Br. at 71-75; Industry Intervenors Br. at 20-24.* In-
deed, the court dismissed these concerns as “simply ir-
relevant.” App. 55a.

In response to an unopposed joint motion by all parties
to stay the court’s mandate, the court of appeals initially
stayed its mandate for 90 days, through February 11,
1993 (App. B). Subsequently, the court sua sponte va-
cated its stay order (App. C), and a divided panel then
entered a substitute order granting a stay only through
January 5, 1993 (App. D). The order noted that Judge
Edwards would have denied the motion in its entirety.

Respondent EPA filed a timely petition for rehearing
with respect to certain aspects of the court’s decision on
November 9, 1992. That petition is still pending.

REASONS FOR GRANTING THE PETITION

This case presents questions of extraordinary prac-
tical importance concerning the reach of RCRA’s haz-
ardous waste regulations and the limited role of the
courts in reviewing such regulations. The decision below
effectively compels EPA to impose RCRA treatment re-
quirements on billions of gallons of dilute wastewater

———
can demonstrate “to a reasonable degree of certainty, that there
will be no migration of hazardous constituents from the disposal
unit or injection zone for as long as the wastes remain hazardous.”
8 Furthermore, the court’s assumption that “injected wastes are
not treated further,” App. 58a, ignores without justification the
substantial transformation and detoxification of these wastes that
occur after injection. See App. 110a-llla; 53 Fed. Reg. 28,126 (July
16, 1988).

‘

A* ins

16

generated each year at many thousands of industrial
plants across the United States. This wastewater is al-
ready extensively regulated under the Clean Water Act
and the Safe Drinking Water Act. There is no evidence
that Congress intended to compel EPA to impose addi-
tional treatment requirements under RCRA. EPA deter-
mined that further treatment of such wastewater is not
required as a matter of law and makes no sense as a
matter of environmental policy. But the court of appeals
failed to defer to EPA’s reasonable interpretation of
RCRA and instead took matters into its own hands.

The decision below robs EPA of the substantial dis-
cretion that Congress conferred upon it in RCRA, both
as to determining under what circumstances land dis-
posal should be permitted and as to integrating the re-
quirements of several potentially conflicting environ-
mental statutes. The decision also flies in the face of
this Court’s precepts about the proper scope of judicial
review under the Chevron doctrine.

Because the provisions of RCRA do not clearly and
unambiguously require the results reached by the court
of appeals, this case must be resolved under “Step Two”
of the Chevron doctrine. But contrary to “Step Two” of
Chevron, the court of appeals failed to defer to EPA’s
interpretation of ambiguous provisions in Section 3004
of RCRA. It also rejected EPA’s careful “integration”
of three separate environmental regulatory programs,
thereby depriving Section 1006(b) (1) of RCRA of any
vitality. Indeed, the court of appeals virtually prescribed
the contents of the new rules EPA must now develop in
short order to replace those that were overturned.

Unfortunately, the court of appeals did not appreciate
the consequences of its actions. The decision below im-
poses new RCRA treatment standards on many thousands
of centralized wastewater management systems that are
designed and operated to meet stringent environmental
requirements under the Clean Water Act and the Safe

17

Drinking Water Act. Bringing these systems into com-
pliance with RCRA will be a protracted, difficult, and
costly process. The aggregate cost to society of this
startling regulatory expansion will be measured in the
billions of dollars, but the environmental benefits will be
slight. The court of appeals is ill-equipped to make policy
choices of this magnitude.

The D.C. Circuit is the only court of appeals that may
review RCRA regulations issued by EPA. 42 U.S.C.
§ 6976(a) (1988). As a result, there will be no further
consideration by the lower federal courts of the issues
decided below, and no conflict among the circuits can ever
arise over EPA’s interpretation of RCRA. The court of
appeals’ errors will be lasting, in the absence of review
by this Court, and its improper mode of judicial review
may well infect the review of other actions taken by
EPA and other agencies.

I. THE COURT OF APPEALS FAILED TO FOLLOW
FUNDAMENTAL PRINCIPLES OF STATUTORY
CONSTRUCTION AND DEFERENCE TO AGENCY
INTERPRETATIONS.

The court of appeals largely disavowed the principles
that govern judicial review of agency action under Chev-
ron, U.S.A., Inc. v. Natural Resources Defense Council,
Inc., 467 U.S. 887 (1984). Under “Step One” of Chevron,
of course, the reviewing court first considers ‘whether
Congress has directly spoken to the precise question at
issue.” 467 U.S. at 842. Where “Congress has not directly
addressed the precise question at issue,” then “Step Two”
of Chevron provides that “the question for the court is
whether the agency’s answer is based on a_ permissible
construction of the statute.” 467 U.S. at 843.

In overturning EPA’s limited exceptions to the dilu-
tion prohibition, the court of appeals twice failed to
honor “Step Two” of Chevron. First, it rejected EPA’s
interpretation of RCRA § 3004, under which EPA may

£

_—————————————

18

apply the land disposal restrictions at the “point of dis-
posal,” rather than at the “point of generation,” under
appropriate circumstances. Second, it discarded EPA’s
reading of RCRA §1006(b) (1), which affirmatively
commands EPA to integrate its RCRA regulations with
the requirements of the Clean Water Act, the Safe Drink-
ing Water Act, and several other environmental statutes.
Thus, although the decision below will impose very sub-
stantial costs on our society, “it was the Court of Appeals,
rather than Congress or any of the decisionmakers who
are authorized by Congress to administer the legislation,
that was primarily responsible for” this result. 467 U.S.
at 864.

A. The Court’s Interpretation of RCRA § 3004

Petitioners and others argued in the “Third Third”
rulemaking that if a waste is not hazardous at the “point
of disposal,” then EPA lacks authority under RCRA to
apply its land disposal restrictions to that waste. EPA
rejected this view and concluded that the pertinent lan-
guage in RCRA § 3004 is ambiguous, giving EPA some
flexibility in applying the land disposal restrictions to
various wastes at either the “point of disposal” or the
“point of generation.”

In the court of appeals, petitioners continued to main-
tain their reading of the statute, and they further ar-
gued that even if the statutory interpretation they urged
was not clearly mandated by Congress, then, at a mini-
mum, EPA’s more flexible interpretation is permissible
under “Step Two” of Chevron. Petitioners—and EPA—
contended, therefore, that EPA was justified in applying
the “point of disposal” approach in crafting exceptions to
the dilution prohibition, where those exceptions would
allow continued aggregation of wastewaters so as to re-
move any hazardous characteristics prior to centralized

19

management in CWA treatment systems or SDWA injec-
tion wells, without unnecessarily subjecting those waste-
waters to the Section 3004(m) treatment standards.

The court of appeals, however, rejected EPA’s approach
and declared that EPA should apply its RCRA land dis-
posal restrictions to wastewater streams that once ex-
hibited a hazardous characteristic at the “point of gener-
ation,” regardless of whether they are actually hazardous
at the “point of disposal.” As a result, the court held that
such wastewaters must satisfy RCRA § 3004(m) treat-
ment standards, and that if those standards cannot be
satisfied by means of dilution, other treatment methods
must be used. This conclusion, reached without refer-
ence to Chevron and without analysis of the relevant
statutory provisions, is nothing more than judicial legis-
lation.

Unfortunately, the court of appeals passed over virtu-
ally all of the statutory provisions supporting the “noint
of disposal” approach and concluded that a “point of
generation” approach was required. The court of appeals
disregarded most of the relevant language in RCRA,
describing it as a “welter” of statutory terms, and
focused solely on a single phrase in Section 3004(m)
(1).° App. 21a. The court of appeals thus failed to
meet its obligation to consider the relevant statutory
language as a whole in order to determine if Congress
clearly spoke to the “precise issue” in question. Fort
Stewart Schools v. Federal Labor Relations Authority,
495 U.S. 641, 645 (1990) (in determining if the intent
of Congress is clear, “the particular statutory language

9 The court of appeals emphasized that treatment standards
adopted under § 3004(m)(1) are to “minimize” threats from haz-
ardous wastes that are land disposed. But the court's references to
§ 3004(m) (1) as the “heart” and the “core” of RCRA, App. 56a,
44a, find no support in the statute. And the court ignored other
provisions of RCRA—cited below by the parties—that limit the
reach of the § 3004(m)(1) treatment standards to wastes that are
still hazardous at the “point of disposal.”

ee

20

at issue, as well as the language and design of the statute
as a whole” are to be considered).

The key statutory provision is Section 3004(g) (5) of
RCRA, 42 U.S.C. § 6924(g) (5), which directs EPA to
prohibit “one or more methods of land disposal of the
hazardous wastes” covered by subsection (g), which in-
cludes characteristic hazardous wastes. (Emphasis added.
This provision then authorizes EPA to provide excep-
tions for those “methods of land disposal which |EPA
determines will be protective of human health and en-
vironment for as long as the waste remains hazardous

.’ (Emphasis added.) Finally, Section 3004 (g) (5)
recognizes another exception for any “hazardous waste
which has complied with the pretreatment regulations
promulgated under subsection (m) .’ (Emphasis
added. )

Plainly, the principal (if not exclusive) focus of Sec-
tion 3004(g) (5) is on the disposal of waste that is haz-
ardous at the time of disposal. Thus, EPA acted reason-
ably in choosing to limit the application of its RCRA land
disposal restrictions—including the general dilution rule
—in situations where wastes would be rendered non-
hazardous prior to land disposal and would then be
managed in accordance with the CWA or the SDWA.

The point is confirmed by numerous other provisions
of RCRA. Indeed, Subtitle C of RCRA as a whole limits
EPA’s regulatory authority to “hazardous waste.’ Sec-
tion 3004 is part of Subtitle C, and it consistently uses
the term “hazardous waste” in describing the land dis-
posal restrictions. For example, Section 3004(k) defines
the critical term “land disposal” as “any placement of
... hazardous waste in a landfill, surface improundment,
waste pile, [or] injection well... .” (Emphasis added.)

Because “placement” refers to the actual deposit of waste
into the disposal unit, the natural reading of this defini-
tion is that “land disposal” refers only to wastes that
are hazardous at the time of disposal.

21

In sum, RCRA cannot be read as compelling EPA to
use a “point of generation” approach in all circumstances
and apply its land disposal restrictions to wastewater that
is no longer hazardous at the point of disposal. EPA’s
lecision to use a “point of disposal’? approach for for-

erly characteristic wastes managed in CWA or SDWA
“stems was plainly permissible under “Step Two” of

ron, and should have been upheld.

B. The Court’s Interpretation of RCRA § 1006(b)(1)

Section 1006(b) (1) of RCRA specifically commands
EPA to “integrate” ' all provisions of RCRA with the
provisions of the other environmental statutes adminis-
tered by EPA, including the Clean Water Act and the
Safe Drinking Water Act, to avoid unnecessary disrup-
tion or duplication. Although Congress directed that this
integration be accomplished “to the maximum extent
practicable” and “consistent with the goals and policies”
of the statutes involved, it plainly left to EPA’s expert
judgment the details of how these complex provisions
should be harmonized. On its face, then, EPA’s interpre-
tation of Section 1006(b) (1) in the “Third Third” rule
presents a Chevron “Step Two” question.

In considering whether or not to disrupt (by applying
its RCRA general dilution rule) the widespread and
environmentally beneficial practices of aggregating waste-
waters for centralized management in CWA treatment
systems and SDWA injection wells, EPA correctly
observed that Section 1006(b) “provides EPA the author-
ity to consider these integration problems and set regula-
tions that are consistent with the goals and policies of
the CWA and RCRA.” App. 108a. As noted earlier,
EPA made specific findings that the approach taken in
the “Third Third” final rule properly integrated the re-

10 The word “integrate” means “to form into a more complete,
harmonious, or coordinated entity often by the addition or arrange-
ment of parts or elements.” Webster’s Third New International
Dictionary 1174 (1966).

22

quirements and promoted the purposes, of all three stat-
utes."’ App. 94a, 102a-1038a.

EPA’s final “Third Third” rule faithfully implemented
Congress’s explicit directive to “integrate” the require-
ments of these three environmental statutes. It should
have been upheld as a “permissible” reading of RCRA
under “Step Two” of Chevron. Yet without even mention-
ing Chevron, the court of appeals overturned EPA’s deci-
sion to integrate the requirements of RCRA, the CWA,
and the SDWA in order to allow centralized management
of industrial wastewaters to continue.

The court of appeals thus departed once again from
the mode of judicial review prescribed by Chevron. EPA’s
“Third Third” rulemaking fits precisely this Court’s
description of the controversy it faced nearly a decade
ugo in Chevron itself:

In these cases the Administrator’s interpretation
represents a reasonable accommodation of manifestly
competing interests and is entitled to deference: the
regulatory scheme is technical and complex, the
agency considered the matter in a detailed and
reasoned fashion, and the decision involves reconciling
conflicting policies. Congress intended to accommo-
date both interests, but did not do so itself on the
level of specificity presented by these cases.

467 U.S. at 865. By striking down EPA’s “reasonable
accommodation of manifestly competing interests,” the

11EPA, of course, administers all three statutes, and is thus
entitled to considerable deference in discerning their purposes. As
the First Circuit observed in a similar setting, the interaction of
RCRA and CWA raises “the very sort of interstitial legal question”
that should be answered by EPA, not by a reviewing court. EPA
alone has “the experience thai will permit it properly to mesh these
related statutes, both to avoid senseless or overly harsh results, and
better to fulfill their overall environmental objectives.” Comite Pro
Rescate de la Salud v. Puerto Rico Aqueduct & Sewer Authority, 888
F.2d 180, 186 (Ist Cir. 1989) (Breyer, J.), cert. denied, 494 U:S.
1029 (1990).

23

court of appeals plainly exceeded the permissible scope
of judicial review.

Il. THE COURT OF APPEALS IMPROPERLY DIC-
TATED THE REGULATIONS THAT EPA MUST
DEVELOP ON REMAND.

The court of appeals was not content to vacate EPA’s
permissible interpretations of RCRA’s ambiguous pro-
visions. Instead, the court compounded its error by speci-
fying the content of the new rules EPA must now develop
to replace those set aside in this case. This was judicial
rulemaking, pure and simple.

With respect to CWA treatment systems, the court of
appeals decided that RCRA’s “integration” mandate
allows EPA to modify the timing of RCRA treatment,
but not the extent of that treatment. If wastewaters are
aggregated for centralized treatment in a CWA system,
according to the decision below, they must be treated “to
the same degree” as they would be treated in a RCRA
system. App. 45a (emphasis in original). The effect of
this pronouncement is to foreclose prematurely some of
EPA’s options for responding to the court’s decision.

For example, EPA may wish to consider on remand
whether to develop separate RCRA treatment standards
for the wastewaters at issue here based on the kind of
treatment equipment actually found in CWA wastewater
treatment systems. Nothing in either statute precludes
the adoption of RCRA treatment standards that are tail-
ored to the circumstances of CWA facilities. Yet the
court of appeals went out of its way to opine that “noth-
ing in RCRA or the CWA permits the EPA to establish
different treatment standards when wastewaters are
treated in CWA systems instead of facilities operated
solely to RCRA standards.” App. 44a. This ill-considered
pronouncement condemns EPA and American industry

24

to a long and difficult struggle, as the square peg of RCRA
will not fit in the round hole of the CWA."

The court of appeals’ foray into judicial rulemaking
was clearly improper. Although the D.C. Circuit has the
power to vacate and remand rules that it determines are
contrary to law, it has no authority to dictate the content
of replacement rules. As this Court pointed out in De-
partment of the Treasury v. Federal Labor Relations
Authority, 494 U.S. 922 (1990):

When an agency is charged with administering a
statute, part of the authority it receives is the power
to give reasonable content to the statute’s textual
ambiguities. That is a task infused with judgment
and discretion, requiring the “ ‘accommodation of
conflicting policies that were committed to the
agency’s care.’” It is not a task we ought to under-
take on the agency’s behalf in reviewing its orders.

Id. at 933 (citations omitted).

It is not for courts to redraft regulations, but for
regulatory agencies. See Barker v. Wingo, 407 U.S. 514,
523 (1972) (courts should confine their efforts to adjudi-
cation, not legislation or rulemaking) ; White House Vigii
for the ERA Committee v. Clark, 746 F.2d 1518, 1541
(D.C. Cir. 1984) (judicial “finetuning” of regulatory
mechanism is impermissible); Hyatt v. Sullivan, 899
F.2d 329, 336 n.8 (4th Cir. 1990) (vacating portions of
district court orders specifying action agency was to take,
leaving it to the agency in the first instance to draft
rules) ; see also Vermont Yankee Nuclear Power Corp. v.
Natural Resources Defense Council, 435 U.S. 519 (1978)
(court of appeals improperly engaged in procedural rule-
making).’* Accordingly, the court of appeals exceeded its

12 The consequences for SDWA injection wells will be equally
harmful.

13 [In Mistretta v. United States, 488 U.S. 361, 387-88 (1989), the
Court explained that federal courts may only engage in rulemaking

25

authority by prescribing the permissible content of EPA
rules, rather than simply remanding the rules it viewed
as unlawful.

Ill. THE DISRUPTION WROUGHT BY THE COURT
OF APPEALS WILL BE WIDESPREAD, LONG-
LASTING, AND ENORMOUSLY EXPENSIVE.

The decision below will impose new RCRA treatment
requirements on many thousands of centralized waste-
water management systems that are designed and oper-
ated to comply with Clean Water Act treatment stand-
ards and Safe Drinking Water Act requirements. Bring-
ing these systems into compliance with RCRA, where that
is possible, will require a multi-billion dollar, multi-year
program of engineering and construction projects. Un-
fortunately, the resulting environmental benefits will be
slight.

The court of appeals’ decision will plainly jeopardize
the interests of many companies that are members of
petitioners, the Chemical Manufacturers Association
(“CMA”) and the American Petroleum Institute arr }.
CMA’s members represent more than 90 percent of the
productive capacity for basic industrial chemicals in the
United States. API’s members include nearly 200 com-
panies engaged in the production, refining, and marketing
of petroleum products. Together, these trade associations
represent hundreds of industrial facilities currently man-
aging wastewaters in CWA treatment systems and under-
ground injection wells. Many of those facilities will be
profoundly harmed by the decision below.

A. Disruption of Clean Water Act Treatment Practices

The court of appeals’ decision will fundamentally dis-
rupt current wastewater management practices at many

when Congress confers such authority on them, and may only engage
in rulemaking functions “that do not trench upon the prerogatives
of another Branch and that are appropriate to the central mission
of the Judiciary.”

26

thousands of Clean Water Act facilities throughout the
nation. In defending its final rule below, EPA empha-
sized that restricting aggregation would have tremen-
dously disruptive effects on existing, well-managed CWA
wastewater treatment systems. Indeed, EPA specifically
argued that these CWA treatment systems would have no
meaningful compliance options if the RCRA general dilu-
tion rule were applied to them. Responding to several
options suggested by the commercial hazardous waste
treatment industry and certain environmental groups,
EPA pointed out that:

As the record demonstrates, application of dilution
rules under these circumstances would be enormously
disruptive. A dilution prohibition could require a
complete revamping of these systems to provide for
separate analysis of each waste stream and separate
treatment either on- or off-site. It could also lead
to significant regulatory disruption by subjecting
these facilities for the first time to wide-ranging
regulatory requirements under subtitle C (e.g., in-
creased testing, recordkeeping, and possible controls
on the surface impoundments themselves, as NRDC
Petitioners suggest here). The alternatives to cen-
tralized wastewater treatment, blithely mentioned,
do not address these concerns and are in any event
impractical and nonsensical.

EPA Br. at 64-65 (emphasis supplied, citations omitted).
EPA then went on to refute specifically each of the
“options” proposed by the NRDC petitioners, demon-
strating that each would be impractical (if not im-
possible). Jd. at 65-67. Industry intervenors, including
petitioners herein, echoed this argument in their separate
brief. Industry Intervenors Br. at 38. The NRDC peti-
tioners made no attempt in their reply brief to argue that
their proposed alternatives were in fact practical or
feasible in the real world. NRDC Reply Br. at 21-28.

Unfortunately, the court of appeals took no heed of
the disruption to CWA systems that would flow from

27

overturning EPA’s final rule. And the new “compliance
option” fashioned by the court of appeals—treating CWA
wastewaters “to the same degree” as RCRA hazardous
wastes—is just as “impractical and nonsensical” as the
options already addressed by EPA and the industry inter-
yenors below. EPA Br. at 65."

The court of appeals’ approach will have the practical
effect of prohibiting aggregation for many CWA facili-
ties, due to the current impossibility of performing later
treatment “to the same degree” as that required under
RCRA. In order to continue aggregating their waste-
water streams, industrial plants will be required to modify
their CWA treatment systems, at great expense, while
maintaining at all times the current level of treatment
efficiency that enables them to comply with their strin-
gent CWA permits. As EPA and industry intervenors
explained below, the other purported compliance options
(segregation for separate treatment, replacement of sur-
face impoundments with tank-based systems, or no-
migration petitions) are equally impractical, and in any
case would require huge expenditures and years to ac-
complish.

In sum, the decision below exposes thousands of in-
dustrial plants to the prospect of violating newly appli-
cable RCRA treatment requirements for several years,
even as they expend millions of dollars per plant in an
effort to achieve compliance.

B. Disruption of SDWA In jection Well Practices

As described above, the court of appeals essentially
rescinded EPA’s limited exception to the dilution provi-
sion for underground injection wells. This judicial rule

14 No party to the litigation advocated the approach adopted by the
court of appeals. Indeed, the court’s “compliance option” reflects
considerable confusion over the interaction between RCRA and the
CWA.

28

change will severely disrupt current management prac-
tices for these nonhazardous wastes, and will force in-
dustry to perform burdensome reengineering efforts, with
little discernible benefit to human health or the en-
vironment.

In order to continue underground injection at all, many
facilities will be required to segregate multiple waste-
water streams for separate treatment before aggregation
and injection. Segregation of characteristic waste streams
will be a tremendously difficult, if not impossible, task in
the massive, complex facilities that have intentionally
been designed and built from the ground up to facilitate
environmentally safe centralized management of process
wastes. Once wastes have been segregated and collected,
manufacturers will have to construct and seek permits
for treatment facilities on site, or ship wastes off site
to commercial facilities. Due to the truly enormous
volumes of wastewater involved at some manufacturing
plants, transportation to off-site treatment facilities would
be impossible; at other plants, it would require the im-
mediate availability of dedicated pipelines, or large fleets
of rail cars or tanker trucks running around the clock.

Moreover, forcing the segregation and separate treat-
ment of characteristic wastewaters would pose increased
health and safety risks to workers, because it would in-
crease exposure to the corrosive, ignitable, and reactive
materials in their original, untreated form. Prior to the
court’s decision, these hazards were minimized through
aggregation, which removed the hazardous characteristics
at the earliest possible opportunity.

The only alternative to redesign, retrofitting, and
rebuilding would be for injection wells to file “no-
migration” petitions under 40 C.F.R. Part 148, and to
seek approval as hazardous waste injection facilities in
order to inject nonhazardous, formerly characteristic
wastes. But, as EPA recognized, “|t]he petition process
. . « has been very time consuming and resource inten-

ooo

29

sive.’ App. 112a. This would present an enormous,
unnecessary burden to operators who “{h]ave not had
reason to believe that their operations would be subject
to the land disposal restrictions and have not submitted
variance petitions.” Jd.

Accordingly, the court of appeals’ decision subjects
facilities currently using injection wells for injection of
aggregated, nonhazardous wastes to tremendous burdens,
including the risk of temporary shutdown pending a
“no-migration” petition, or permanent shutdown if a “no-
migration” variance cannot be obtained or is not eco-
nomically feasible.

CONCLUSION

The petition for a writ of certiorari should be granted.

Respectfully submitted,

DAVID F. ZOLL MICHAEL W. STEINBERG *
RONALD A. SHIPLEY PETER BUSCEMI
CHEMICAL MANUFACTURERS HUNTER L. PRILLAMAN
ASSOCIATION MorGAN, LEWIS & BOCKIUS
2501 M Street, N.W. 1800 M Street, N.W.
Washington, D.C. 20037 Washington, D.C. 20036
(202) 887-1160 (202) 467-7141

G. WILLIAM FRICK
2ALPH J. COLLELI, JR.
AMERICAN PETROLEUM
INSTITUTE
1220 L Street, N.W.
Washington, D.C. 20005
(202) 682-8252

January 5, 1993 * Counsel of Record

APPENDICES

la
APPENDIX A

UNITED STATES COURT OF APPEALS
FOR THE DISTRICT OF COLUMBIA CIRCUIT

Argued April 30, 1992 Decided September 25, 1992

No. 90-1230, et al.
““COMPLEX”’

CHEMICAL WASTE MANAGEMENT, INC., e¢ al.,
Petitioners
V.

UNITED STATES ENVIRONMENTAL
PROTECTION AGENCY,
Respondent

ZINC CORPORATION OF AMERICA, et al.,
Intervenors

Consolidated cases 90-1245, 90-1275, 90-1303, 90-1314,
90-1330, 90-1404, 90-1410, 90-1413, 90-1414,
90-1416, 90-1417, 90-1423, and 90-1442

Petitions for Review of Orders of the
Environmental Protection Agency

David R. Case, with whom Eli D. Eilbott (for
Hazardous Waste Treatment Council), Karen L.

OEE

2a

Florini (for Environmental Defense Fund). A. Blake-
man Early (for Sierra Club), and Jacqueline M.
Warren and Douglas Wolf (for Natural Resources
Defense Council) were on the joint brief, for peti-
tioners in Nos. 90-1230, 90-1245, and 90-1417 and
intervenors in consolidated cases. Jane L. Bloom and
J. Brian Malloy also entered appearances.

Michael W. Steinberg (for Chemical Manufactur-
ers Ass’n), Richard A. Flye (for The Fertilizer In-
stitute, et al.), and Angus Macbeth (for Chemical
Waste Management, et al.), with whom Hunter Prill-
aman, David F. Zoll, Ronald Shipley, Robert F. Van-
Voorhees, and Barton D. Day (for Chemical Manu-
facturers Ass’n), Gordon D. Quin (for The Fertilizer
Institute), G. William Frick and Ralph J. Colleli, Jr.
(for American Petroleum Institute), Kurt J. Alson
(for RSR Corporation), John N. Hanson and Donald
J. Patterson, Jr. (for American Mining Congress),
Aaron H. Goldberg (for American Mining Congress,
American Iron and Steel Institute, and Dow Chemical
Co.), Karl S. Bourdeau (for American Iron and
Steel Institute), Cynthia H. Evans (for American
Paper Institute and the National Forest Products
Ass’n), William M. Guerny, Jr. (for Specialty Steel
Industry of the United States), Thomas G. Echikson
(for Chemical Waste Management, Inc.), William
R. Weissman and Douglas H. Green (for Edison
Electric Institute), and Karl S. Bordeau (for Dow
Chemical Co.) were on the joint brief, for industry
petitioners/intervenors in all cases. Lynn L. Berge-
son, Susan S. Schmedes, Paul E. Shorb III, Barton
C. Green, Carole Stern, Edward M. Green, Roderick
T. Dwyer, John L. Wittenborn, Paul M. Bork, Steven
I. Hauseal, Thomas McCormich, Nancy D. Tammi,
Arline M. Sheehan, and Howard B. Myers also en-

3a

tered appearances for industry petitioners /interven-
ors.

Edwin H. Seeger and Kurt E. Blase entered ap-
pearances for petitioner Exide Corp., Inc., in No.
90-1303.

Paul E. Gutermann and John N. Moore entered
appearances for petitioners Horsehead Resource De-
velopment Co., Inc., and Zine Corporation of Amer-
ea in No. 90-1413 and intervenors in Nos. 90-1404,
90-1410, 90-1414, 90-1416, 90-1417, and 90-1423.

Gwendolyn G. Logan, Stephen E. Roady, and M.
Barry Meyer entered appearances for petitioner the
Aluminum Ass’n in No. 90-1442 and intervenor in
No. 90-1245.

Mary Elizabeth Ward, Attorney, U.S. Department
of Justice, and Stephen E. Silverman, Attorney, En-
vironmental Protection Agency (“EPA”), with whom
Barry M. Hartman, Acting Assistant Attorney Gen-
eral, Gretchen Slosser Pirasteh, Attorney, U.S. De-
partment of Justice, and Raymond Ludwiszewski,
Acting General Counsel, EPA, were on the brief, for
respondents in all cases. Richard B. Stewart, Peter
W. Colby, Christopher S. Vaden, Thomas R. Bart-
man, and Mandan Kenkermath also entered appear-
ances for respondents.

Robert F. VanVoorhees for intervenors Chemical
Manufacturers Ass’n, et al.

Aaron H. Goldberg for intervenors American [ron
and Steel Institute, et al.

Gerald L. Richman and Paul M. Donovan entered
appearances for intervenor Chlorine Institute in all
cases except No. 90-1230.

4a

Robert N. Steinwurtzel and Jeffrey S. Halik en-
tered appearances for intervenors Secondary Lead

Smelters Ass’n, Inc., and Association of Battery Re-
cyclers in Nos. 90-1245 and 90-1314.

Corinne A. Goldstein and Guy V. Johnson entered
appearances for intervenors National Association of
Metal Finishers and E. I. duPont deNemours & Co.
in No. 90-1245.

David B. Weinberg and Kurt J. Olson entered ap-
pearances for intervenor Battery Council Interna-
tional in all cases except No. 90-1230.

Leonard A. Miller and Robert S. Taylor entered
appearances for intervenor Allied-Signal, Inc., in No.
90-1245.

C. Howard Hardesty, Jeffrey S. Halik, and P.
Burton Gray entered appearances for intervenor In-
stitute of Makers of Explosives in Nos. 90-1245 and
90-1330.

Edwin H. Seeger, Jurt E. Blase and Michael A.
Poling entered appearances for intervenors Lead In-

dustries Ass’n, Inc., and Cadmium Council, Inc., in
Nos. 90-1245 and 90-1417.

Carole Stern entered appearances for intervenors
Thiakol Corp. and Olin Corp. in Nos. 90-1275 and
90-1303.

Before EDWARDS, BUCKLEY, and HENDERSON, Cir-
cuit Judges.

Opinion PER CURIAM.

PER CURIAM: The Hazardous and Solid Waste
Amendments of 1984 instituted a ban on the land
disposal of classes of hazardous wastes unless certain
conditions are met. Those amendments require the

5a

Environmental Protection Agency to follow a phased
schedule for implementing the ban. In this case we
consider various challenges to regulations implement-
ing the final portion of this program, the so-called
“third-third” rule, which largely covers the land dis-
posal of wastes deemed hazardous because they
possess certain defined characteristics.

Various petitioners raise multi-faceted challenges.
A group of industry trade associations and compa-
nies! (collectively, “industry petitioners”) seek re-
view of regulations mandating levels of treatment
before land disposal that go beyond the removal of
the attribute that led to the waste’s classification as
hazardous. These petitioners claim that the EPA
lacked authority under the statute to require treat-
ment to such levels. The Fertilizer Institute raises
procedural and substantive objections to provisions
that bar dilution of certain wastes as a form of treat-
ment prior to discharge into the waters of the United
States from treatment facilities licensed under the
Clean Water Act. Finally, three companies attack
the imposition of new testing requirements at dis-
posal facilities as arbitrary and insufficiently clear.

We deny each of these petitions for review. Sec-
tions 3004(g)(5) and (m) of the Resource Conser-
vation and Recovery Act (““RCRA”)* (which are re-

1 American Iron and Steel Institute, American Mining Con-
gress, American Paper Institute, American Petroleum Insti-
tute, Chemical Manufacturers Association, National Forest
Products Association, RSR Corporation, Specialty Steel In-
dustry of the United States and The Fertilizer Institute. The
Dow Chemical Company and the Edison Electric Institute
have intervened in support of the petition.

2A glossary of acronyms and abbreviations is provided in
Appendix B at the conclusion of this opinion.

6a

printed in Appendix A hereto) give the EPA the
statutory authority to mandate the treatment of
wastes to levels beyond those at which the wastes
present the characteristics that caused them to be
deemed hazardous. The EPA provided adequate no-
tice of its intent to bar dilution of certain hazardous
wastes at water treatment facilities that meet the
standards of the Clean Water Act facilities. The reg-
ulations provide sufficient guidance as to how this
part of the rule will work, and the distinction drawn
between types of hazardous wastes appears reason-
able. The challenge by the individual companies to
testing protocols established in this rule is rejected.
The procedures are both clear and reasonable.

Several environmental organizations, as well as the
Hazardous Waste Treatment Council, an association
representing companies that treat hazardous waste
(collectively, ““NRDC petitioners’), present different
objections. They assert that (1) the new rule’s “de-
activation” treatment standard impermissibly allows
the dilution, rather than treatment with specified
technologies, of many characteristic wastes prior to
land disposal; (2) the rule authorizes placement of
untreated formerly characteristic wastes in surface
impoundments within Clean Water Act treatment
systems, or into underground injection wells, in viola-
tion of RCRA; (3) it arbitrarily created treatment
standards for chromium and lead wastes; and (4)
the rule provides an exception to treatment stand-
ards for wastes burned in industrial furnaces along
with wastes exempted by the Bevill Amendment that
violates that provision. In addition, the Council and
Chemical Waste Management, Inc., a large waste dis-
posal company, challenge certain testing procedures
imposed by the regulations as impermissibly vague.

Ta

The petitions brought by NRDC petitioners are
granted in part and denied in part. Under the stat-
ute, dilution of characteristic hazardous wastes may
constitute treatment, but only if no hazardous con-
stituents are present following dilution that would
endanger human health or the environment. The
EPA concedes that dilution will not attain this result
for certain characteristic wastes. For others, it has
not made clear that dilution will meet the require-
ments for treatment. The standard is therefore va-
cated as to those wastes. The dilution of wastes in
Clean Water Act facilities is acceptable so long as
the toxicity of the waste discharged from the facil-
ity is minimized or eliminated consistent with RCRA.
Similarly, disposal of wastes in underground injec-
tion wells may occur as long as the hazardous char-
acteristics have been eliminated and any health and
environmental dangers posed by hazardous constitu-
ents of the wastes are minimized.

We remand the lead and chromium standards be-
cause the EPA appears to have relied on data that
does not support its conclusions. We also remand the
exemption from regulation under Subtitle C of
RCRA of wastes burned with wastes exempted under
the Bevill Amendment for consideration in an on-
going rulemaking addressing that question. Finally,
Chemical Waste Management’s petition for review of
test compliance procedures is denied. Testing proce-
dures will be embodied in permits. Uncertainties over
the standards can be resolved in the permit-writing
process.

II.

III.

IV.

8a

TABLE OF CONTENTS

TN occas ibs viet nels nliceiieseccionts aeaies halimetallabbiabiatecapeass
INS I coos. ca. ccs hcastacentcensn dosashoasiiseteueiamaasen
Pies eee .................. sakkccnideenarccsneienenaesnince

SOW >

Industry Petitioners’ Challenge to the Treat-
I SI ace
NRDC Petitioners’ Challenge to Deactivation
ey, |, nee enc eee
Ba II oa acentaccccsscaeeateasanaeuccauenss
2. Corrosive Wastes ..... Bee Cae ee
i SD WEE oe

fy Bog y BE Fi, oe tt |

A. Clean Water Act Treatment Systems ............
ia III coca nesaese cineca dis ca nang ean
ie SIE Pietrtiecticnetanic ee oes

B. Deep Injection Wells Regulated Under the
Safe Drinking Water Act ............000002.2.0.....
BER IEG ABN a a See BFE
2. The Treatment Standard for Lead Waste-

iS a RS Re RIA at oor

C. The Fertilizer Institute’s Challenges to the
a eer
1. Notice and Opportunity to Comment Rie
2. Is the Rule Impermissibly Vague? ____

3. Should Rule 268.3(b) Include Listed
Wastes for which the EPA has Developed
Concentration-Based Treatment Stan-
RAE Fin, ST IER 2A A, a TE

ee ice
A. Corroborative Testing BE pt Cs A OR
B. Treatment Standards for Chromium Wastes..
C. Exemption of Waste Burned in ‘“Bevill’”’

8 gst cet ah RYE Ct Le AIO aca is POC

m

9a

I. STATUTORY AND REGULATORY BACKGROUND

Subtitle C of the Resource Conservation and Re-
covery Act, 42 U.S.C. §$ 6921-6939b (1988), sets
out a comprehensive regulatory system governing
the treatment, storage, and disposal of hazardous
wastes. Wastes are deemed hazardous in one of two
ways: They possess one of the four hazardous char-
acteristics identified by the EPA in 40 C.F.R. Part
261, Subpart C (“characteristic wastes’), see id.
§ 261.3(a) (2) (i) (1991), or have been found to be
hazardous as a result of an EPA rulemaking. See
id. Part 261, Subpart D (“listed wastes”).

The four characteristics identified as hazardous
are ignitability, corrosivity, reactivity, and extraction
procedure (“EP”) toxicity. The hazards presented
by ignitable, corrosive, and reactive (“ICR”) wastes
are primarily, though not exclusively, the results of
their physical properties. See 45 Fed. Reg. 33,066,
33,107-10 (1980). EP characteristic wastes contain
toxic constituents. 7d. at 33,107-12. These wastes
remain hazardous until they cease to exhibit any of
the characteristics identified in Subpart C. See 40
C.F.R. § 261.3(d)(1). Characteristic wastes com-
prise over fifty percent of all the hazardous wastes
generated in the United States each year.

Although the EPA may list a waste if it possesses
one of the four characteristics described above, in
practice it will only list specific wastes that are either
acutely hazardous or possess high levels of toxic con-
stituents. See id.; 45 Fed. Reg. at 33,105-07. A
listed waste loses its hazardous status only after a
petition for its “delisting” is approved by the EPA
in a notice-and-comment rulemaking. See 40 C.F.R.

hacer nnereae
—s

10a

§§ 260.20, 260.22: Shell Oil Co. ». EPA, 950 F.2d
741, 749 (D.C. Cir. 1991).

“Once a waste is listed or identified as hazardous,
its subsequent management is regulated” under sub-
title C of RCRA. American Petroleum Inst. v. EPA,
906 F.2d 729, 733 (D.C. Cir. 1990) (“API”). The
waste enters RCRA’s “cradle-to-grave” regulatory
system; and “the waste’s treatment, storage, and dis-
posal is usually regulated by permit.” American
Mining Congress v. EPA, 907 F.2d 1179, 1182 (D.C.
Cir. 1990) (“AMC IT’); see also RCRA §S§ 3001-
3004, 42 U.S.C. $$ 6921-6924. The management of
a hazardous waste continues “until such time as it
ceases to pose a hazard to the public.” Shell Oil, 950
F.2d at 754.

Because “certain classes of land disposal facilities
are not capable of assuring long-term containment
of certain hazardous wastes,” RCRA § 1002(b) (7),
42 U.S.C. § 6901(b) (7), Congress amended subtitle
C in 1984 to prohibit land disposal of many hazard-
ous wastes. The Hazardous and Solid Waste Amend-
ments of 1984, Pub. L. No. 98-616, 98 Stat. 3221
(1984) (“1984 Amendments’), gave the EPA sig-
nificant authority to regulate land disposal. The
statute expressed a general policy preference that
“reliance on land disposal should be minimized or
eliminated.” RCRA § 1002(b) (7), 42 U.S.C. § 6901
(b) (7). A prohibition on disposal would apply un-
less the waste is treated so as to minimize the short-
term and long-term threats to human health and the
environment posed by toxic and hazardous constit-
uents, RCRA § 3004(m), 42 U.S.C. § 6924(m), or
unless the EPA finds that no migration of hazardous
constituents from the facility will occur after dis-

lla

posal. Id. § 3004(g) (5), 42 U.S.C. § 6924(g) (5);
see also Hazardous Waste Treatment Council v. EPA,
886 F.2d 355, 357 (D.C. Cir. 1989), cert. denied,
111 S. Ct. 189 (1990) (“HWTC IIT’).

The 1984 Amendments specifically required the
EPA to follow a phased schedule to implement the
land disposal ban. They forbade the land disposal of
hazardous wastes containing solvents and dioxins af-
ter November 8, 1986. RCRA § 3004(e), (42 U.S.C.
$ 6924(e). A select list of other wastes were barred
from land disposal after July 8, 1987 (“California
list”? wastes). Id. § 3004(d), 42 U.S.C. § 6924(d).
Finally, the amendments ordered the Agency to rank
all remaining hazardous wastes on the basis of their
intrinsic hazard and the volume generated annually
and to divide the list into three parts. Jd. § 3004(¢)
(4), 42 U.S.C. § 6924(g) (4). The Administrator was
then charged with the task of promulgating final regu-
lations for each third of the list. See id. $ 3004(g)
(5), 42 U.S.C. § 6924(g) (5). Unless the Adminis-
trator promulgated regulations for wastes in the last
third of the list by May 8, 1990, they could not be
land disposed. /d. § 3004(g) (6) (C), 42 U.S.C. § 692°
(g) (6) (C).

Under the 1984 Amendments, the final regulations
must
prohibit[] one or more methods of land disposal
of the hazardous wastes listed on such schedule
except for methods of land disposal which the Ad-
ministrator determines will be protective of hu-
man health and the environment for as long as
the waste remains hazardous .... For the pur-
poses of this paragraph, a method of land disposal
may not be determined to be protective of human
health and the environment (except with respect

12a

to a hazardous waste which has complied with the
pretreatment regulations promulgated under sub-
section (m) of this section) unless, upon applica-
tion by an interested person, it has been demon-
strated to the Administrator, to a reasonable
degree of certainty, that there will be no migra-
tion of hazardous constituents from the disposal
unit or injection zone for as long as the wastes
remain hazardous.

RCRA § 3004(g) (5), 42 U.S.C. § 6924(¢) (5). The
Administrator must also promulgate treatment stand-
ards, compliance with which will authorize land
disposal, at the same time he publishes the land ban.
The treatment regulations shall

specify[] those levels or methods of treatment, if
any, which substantially diminish the toxicity of
the waste or substantially reduce the likelihood of
migration of hazardous constituents from the
waste so that short-term and long-term threats
to human health and the environment are mini-
mized.

Id. § 3004(m) (1), 42 U.S.C. § 6924(m) (1).

The regulations under review implement the land-
ban program for the last third of the ranked list of
wastes, the “third-third.” They largely consist of
treatment standards for characteristic wastes. See
55 Fed. Reg. 22,520-720 (1990). The final rule also
modifies regulations governing characteristic wastes
that are managed in treatment systems regulated
through National Pollutant Discharge Elimination
System permits issued under the Clean Water Act as
well as regulations affecting those disposed of in
underground injection wells regulated under the Safe

13a

Drinking Water Act. The rule establishes a variety of
compliance requirements as well.

Fourteen petitions for review were filed and con-
solidated into this proceeding. Petitioners divided the
case into three groups of issues for purposes of brief-
ing and argument. The first focuses on industry peti-
tioners’ challenge to standards mandating treatment
of characteristic wastes beyond the point at which
they cease to display hazardous characteristics and on
NRDC petitioners’ challenge to dilution as a method
of treatment. The second centers on the Clean Water
Act and underground injection well questions. The
third consists of the remaining issues. This opinion
adopts the same approach.

Il. TREATMENT STANDARDS FOR CHARACTERISTIC
WASTES
A. Proposed Rule

As described above, at the outset of the RCRA
program, the EPA identified four characteristics as
hazardous: ignitability, corrosivity, reactivity, and
EP toxicity. In its proposed rules, and in the final
regulations, the Agency divided characteristic wastes
into subcategories, suggesting treatment standards or
levels for each subcategory. For some of these, the
EPA proposed treatment to reduce the presence of the
characteristic below the level at which the waste was
defined as hazardous. For example, a waste is con-
sidered corrosive, and therefore hazardous, if it is
aqueous and has a pH of less than two or greater
than 12.5. The proposed rule required treatment that
would result in a pH between six and nine. See 54
Fed. Reg. 48,372, 48,422 (1989). For other sub-
categories, however, the EPA suggested treatment to

a eee

l4a

the characteristic level and no further. See id. at
48,420-26 (setting treatment levels and standards).

The Agency stated that it possessed the authority to
compel treatment below characteristic levels. See 54
Fed. Reg. at 48,419. It took note of the argument that
the characteristic levels represent the limit of subtitle
C authority—that the Agency had no power to regu-
late a waste where the characteristic had been brought
below the level deemed hazardous. /d. at 48,490. The
Agency believed, however, that section 3004(m) ex-
tended its authority beyond that point. “[O]nce
wastes become subject to section 3004(m), they re-
main subject to the requirements of that section until
the section 3004(m) standard is satisfied.” Jd. The
EPA concluded that it was directed by the statute to
require a waste that is hazardous at the point of
generation and is destined for land disposal to “be
treated by methods which substantially reduce toxicity
and minimize threats to human health and the en-
vironment.” Jd.

As to methods of treatment, the proposed rule
largely followed the judgment made by the EPA in
previous land-ban program rulemakings. In those
earlier rules, the EPA determined that treatment
would be accomplished through the use of “best dem-
onstrated available technologies.” See, e.g., 51 Fed.
Reg. 40,572, 40,578 (1986) (solvents and dioxins) ;
538 Fed. Reg. 31,138, 31,142 (1988) (first-third
wastes). The proposed rule specified the particular
technology to be used in the treatment of most ICR
wastes. See 54 Fed. Reg. at 48,420-26. For a handful
of others, the Agency offered a measure of flexibility
by creating a “deactivation” category of treatment.
According to the proposals, the EPA had ‘determined

15a

that within [several ICR subeategories ]there appear
to be a further variety of different waste groups,
each with a certain degree of uniqueness with respect
to hazard and handling requirements.” Id. at 48,419.
Therefore, while the Agency recommended a number
of methods, it proposed to allow generators or treaters
of those wastes to select the appropriate method of
treatment. Jd. at 48,419-20.

In implementing the land-ban program for solvents
and wastes containing dioxins, the EPA barred dilu-
tion as an alternative for “adequate treatment.” See
51 Fed. Reg. at 40,639. As codified, the rule stated
that

no generator, transporter, handler, or owner or
operator of a treatment, storage, or disposal
facility shall in any way dilute a restricted waste

as a substitute for adequate treatment to
achieve compliance with subpart D of this part
[setting forth treatment standards], . .. or to
circumvent a land disposal prohibition imposed
by RCRA section 3004.

40 C.F.R. § 268.3(a) (1989).

At several points in the proposed third-third rule,
the EPA reaffirmed its decision that a generator or
treater might not dilute wastes to escape the dictates
of the land disposal program. In its discussion of
ignitable wastes, the Agency stated that “a prohib-
ited form of dilution that is used to remove a charac-
teristic from a prohibited hazardous waste would be a
violation of the dilution prohibition in [40 C.F.R.]
section 268.3.” 54 Fed. Reg. at 48,422. Among the
EPA’s concerns was the possibility that dilution of
ienitable wastes would lead to dangerous emissions of
volatile organic compounds, a problem that could be

16a

avoided by using other treatment methods. Id. “Ac-
cordingly, the Agency believes that dilution should
not be a legitimate method for treating ignitable
wastes.” Jd.

The EPA proposed a similar bar with regard to
reactive wastes: “[DJilution of reactive wastes should
not automatically be considered to be a legitimate form
of treatment.” Jd. at 48,426. It proposed that re-
active cyanides and sulfides be treated like any toxic
waste; ‘“‘[w]ith respect to other reactive wastes, most
cannot be diluted without violent reaction so that
dilution is not a viable management alternative[.]”’
Id.

Finally, the EPA suggested that corrosives be
treated by neutralization, not dilution, to alter their
pH. Jd. at 48,422-23. According to the Agency, dilu-
tion would require the use of large amounts of water
and would create a greater volume of waste; more-
over, dilution “does not treat or remove hazardous
constituents in the wastes. 7d. at 48,423.

More broadly, the EPA expressed its

concern, echoing Congress’ concern in indicating
that dilution to avoid proper treatment was im-
permissible, [] that individual prohibited wastes
[hazardous wastes destined for land disposal]
not be mixed with larger volumes of other wastes
(whether prohibited or not to meet treatment
standards without undergoing treatment that sub.
stantially reduces the prohibited wastes toxicity
or mobility... .

Consequently, it appears to the Agency that
any dilution that fails to meet the standard in
§ 3004(m) of substantially reducing the prohib-

————— ltt—(i‘OSCS*SY

17a

ited waste’s toxicity or mobility is impermissible.
... Further, with respect to organic constitu-
ents, ‘reduction of toxicity’ means actual removal
of or chemical change to the constituent.

Id. at 48,494 (citation omitted). But the Agency
did seek comments on “whether dilution can be used
as a means of supplanting a section 3004(m) treat-
ment standard by being used to render a prohibited
waste non-hazardous in lieu of actually treating the
prohibited hazardous waste prior to land disposal.”
Id. at 48,495.

B. Final Rule

In the final rule, the EPA revised many of its
proposed treatment standards for ICR and toxic
characteristic wastes. The EPA, however, did not
back away from its basic position that it could require
treatment below characteristic levels. Because “Con-
gress has given apparently conflicting guidance on
how the Agency should address land disposal prohibi-
tions for characteristic wastes,” the EPA ‘believes
it has authority to reconcile these potential conflicts
and to harmonize statutory provisions to forge a
coherent regulatory system.” 55 Fed. Reg. at 22,651.
The EPA agreed with many participants in the com-
ment period that “one permissible construction of the
language in section 3004(g)” (which requires the
promulgation of regulations “prohibiting . . . meth-
ods of land disposal of the [listed] hazardous wastes’’ )
is that subtitle C rules applied only to hazardous
wastes, and therefore the applicability of the land dis-
posal regulations must be judged at the moment of
disposal. 55 Fed. Reg. at 22,652. Ultimately, the EPA
concluded that Congress did not state when the status

18a

of the waste should be evaluated for purposes of the
ban on land disposal; therefore, the EPA could choose
to regulate the waste “at the point of generation or at
the point of disposal (and possibly at some other
point or combination of the two).” Jd.

While viewing its authority broadly, the EPA de-
cided to exercise it sparingly:

Today’s rule reflects a decision to take limited,
but nonetheless significant, steps within the point
of generation framework. As a general matter,
the Agency believes that the goals of [the pro-
gram] may require application of standards
which go beyond the characteristic level . . . in
some future cases.

Id. at 22,654. The final regulations call for treatment
below characteristic levels for only a handful of
wastes. Among ICR wastes, ignitable liquids with
high total organic carbons (a subset of the subcate-
gory of ignitable liquids for which the proposed rule
required treatment to below characteristic levels by
technology), see id. at 22,543-44, and reactive cya-
nides, see id. at 22,550-51, would be subject to en-
hanced treatment. The Agency backed away from its
original plan to mandate enhanced treatment for
corrosive characteristic wastes.

The EPA determined that for most ICR wastes,
treatment to characteristic levels would be sufficient.
The Agency found upon review that

[t]he environmental concerns from the proper-
ties of ignitability, corrosivity, and reactivity are
different from the environmental concern from
EP toxic wastes. Toxic constituents can pose a
cumulative impact on land disposal even where

19a

waste is below the characteristic level. Where
wastes pose an ascertainable toxicity concern...
the Agency has developed treatment standards
that address the toxicity concern and (in effect)
require treatment below the characteristic level.
.. . Otherwise, treatment that removes the prop-
erties of ignitability, corrosivity, and reactivity,
fully addresses the environmental concern from
the properties themselves.

Id. at 22,655.

The EPA also retreated from its emphasis on tech-
nology-based treatment in the final regulations, alter-
ing its position on the use of dilution as a method
of treatment:

In all cases, the Agency has determined that for
non-toxic hazardous characteristic wastes, it
should not matter how the characteristic prop-
erty is removed so long as it is removed. Thus,
dilution is an acceptable treatment method for
such wastes.

Id. at 22,532. The Agency included dilution within
the ambit of the “deactivation” treatment standard.
The final rule defined the standard as ‘“[d]ecativa-
tion to remove the hazardous characteristics of a
waste due to its ignitability, corrosivity, and/or re-
activity.” Jd. at 22,693. As long as these character-
istics are removed, any method can be employed un-
der the final regulations. The EPA allowed full dis-
cretion among specified technological methods of
treatment (such as neutralization or incineration) as
well as dilution with water or other wastes. For
toxic wastes, the prohibition on dilution remained.
See id. at 22,656.

betel

20a
The Agency admitted that it

believes the mixing of waste streams to elimi-
nate certain characteristic[s] is appropriate
treatment for most wastes which are purely cor-
rosive, or in some cases, reactive or ignitable.
As a general matter, these are properties which
can effectively be removed by mixing.

Id. (emphasis added). It further conceded that

this approach does not fully address the poten-
tial problem of toxic constituents that may be
present in such wastes, nor encourages minimi-
zation or recovery of non-toxic characteristic
hazardous wastes. EPA has determined that
these potential problems should be addressed, if
at all, in other rulemakings ... and are too
difficult to resolve in this proceeding, given the
extraordinary pressures and limited review time
imposed by the May 8 [1990] statutory deadline.

Id. at 22,665-66. Only in three subcategories of ICR
wastes did the EPA mandate the use of technological
treatment: reactive sulfides, 57 Fed. Reg. 8,086,
8,089 (1992) (technical correction to third-third
rule) ; reactive cyanides, 55 Fed. Reg. at 22,551; and
ignitable liquid nonwastewater wastes, containing
more than ten percent total organic compounds, id. at
22,544. For all corrosive wastes, other ignitable
liquid wastes (nonwastewaters with low total organic
compounds and ignitable wastewaters), ignitable
compressed gases, ignitable reactive wastes, explosive
wastes, water reactives, and other reactives dilution
would be acceptable. Jd. at 22,543-53.

C. Standard of Review

Industry and NRDC petitioners challenge the third-
third rule’s treatment standards as incompatible with

2la

RCRA. We typically analyze such claims under the
familiar standard of Chevron U.S.A. Ine. v. NRDC,
467 U.S. 857 (1984). Under Chevron, unless Con-
gress has spoken directly to these questions, the
EPA’s determinations are entitled to deference, if
reasonable. Jd. at 842-43.

D. Industry Petitioners’ Challenge to the Treat-
ment Standards

Industry petitioners contend that RCRA does not
provide authority for the EPA to mandate treatment
of characteristic wastes after their ignitability, cor-
rosiveness, reactivity, or EP toxicity has been ad-
dressed. They make a straightforward argument:
Subtitle C regulations attach to a waste only when
it is hazardous. The moment a waste ceases to meet
the regulatory definition of a hazardous waste, the
EPA loses its authority to regulate further. Thus,
in industry petitioners’ view, RCRA’s cradle-to-grave
system covers waste only if it remains hazardous
thoughout its life and at the moment of its burial.

Industry petitioners point to a welter of provisions
in RCRA where the words “hazardous waste” are
used as proof that the statute applies only to waste
defined as hazardous. Subtitle C, they explain, is en-
titled “Hazardous Waste Management,” and the en-
tire subtitle addresses that problem—the manage-
ment of hazardous waste. They add that some state-
ments by the EPA have suggested the same reading
of the statute. See, e.g., 54 Fed. Reg. 1,056, 1,093
(1989) (a waste that no longer exhibits a hazardous
characteristic “is no longer subject to the require-
ments of Subtitle C of RCRA’”’).

In their view, the 1984 Amendments did not change
this boundary. They point out that land disposal is

22a

defined in part as “any placement of such hazardous
waste in a landfill, [or] surface impoundment,”
RCRA § 3004(k), 42 U.S.C. § 6924(k); that section
3004(g) similarly “prohibit[s] one or more methods
of land disposal of [] hazardous wastes,” id. § 6924
(g) (5); and, finally, that section 3004(m) author-
izes land disposal of hazardous waste that has been
treated, suggesting to industry petitioners that the
provision specifically authorizes only the disposal of
wastes that remain hazardous after treatment. Thus,
they conclude, the disposal restrictions can apply only
to wastes that are hazardous at the moment of dis-
posal.

In its brief, the EPA reiterates the rationales stated
in its final rule: The key provisions of the land-ban
program, sections 3004(g) (5) and (m), can be read
as allowing the Agency to apply land disposal re-
strictions at any time it wishes; those provisions at
a minimum contemplate activity that occurs before
land disposal; section 3004(m)(1) requires treat-
ment to avoid the prohibition on land disposal; and
treatment must take place, by definition, before dis-
posal occurs. This reading, the EPA adds, dovetails
with the concern expressed in the report accompany-
ing the Senate version of the 1984 Amendments, that
hazardous waste not be diluted and then disposed of
in landfills. See S. Rep. No. 284, 98th Cong., 1st Sess.
17 (1983) (‘Senate Report’). The Agency reasons
that the subtitle C program can attach at the point of
generation, and the broad language of section 3004
(m)(1) allows additional treatment to remove risks
posed by wastes beyond those inherent in the char-
acteristic.

To succeed in their Chevron step one argument,
industry petitioners must show that Congress “has

23a

directly spoken to the precise question at issue” and
has “unambiguously expressed [its] intent.” 467
U.S. at 842-43. We find little support in the statute
or our prior decisions for the notion that Congress
mandated the line industry petitioners draw. These
petitioners believe that the definition of a hazardous
waste acts as a revolving regulatory door, allowing
continual entrance and egress from RCRA’s require-
ments. The key provisions of the statute support a
contrary view—that hazardous waste becomes subject
to the land disposal program as soon as it is gen-
erated.

RCRA directs the Administrator to “promulgate
regulations identifying the characteristics of hazard-
ous waste . . .which shall be subject to the provisions
of this subchapter.” RCRA § 3001(b) (1), 42 U.S.C.
§ 6921(b) (1). This appears to bring a waste within
the statutory scheme once it is identified as hazardous.
Under the dictates of the 1984 Amendments, the Ad-
ministrator “shall promulgate regulations . . . [ban-
ning land disposal for] any hazardous waste identified
or listed under section 6921 of this title.” RCRA
S 3004(g) (4), 42 U.S.C. § 6924(g) (4). Again, the
focus is on the identification of a waste as hazardous.

This reading of the statute is consistent with our
prior interpretations. In API, we explained that

3 Industry petitioners suggest that the EPA’s decision to
mandate treatment of some wastes below characteristic levels
is due no deference because the EPA made “prior inconsistent
statements” during the rulemaking that cut against its cur-
rent position. See Brief for Industry Petitioners at 24-25. As
our analysis makes clear, we find that the statute compels
the EPA, in some instances, to require treatment beyond re-
moval of the characteristic of hazard. Therefore, we do not
address industry’s contention.

24a

“Tojnce a waste is listed or identified as hazardous,
its subsequent management is regulated.” API, 906
F.2d at 733. After the 1984 Amendments, we added,
regulation of the waste included the prohibitions of
section 3004. Jd. In Shell Oil, we noted that the
power to manage waste is created ‘“‘[a]t [the] point”
a waste is defined as hazardous and discarded. Shell
Oil, 950 F.2d at 754. Once in the system, we found
that the power to manage hazardous waste provided
by RCRA gave the EPA the authority to regulate
waste until “it ceases to pose a hazard to the public.”
Id.; see also RCRA § 1004(7), 42 U.S.C. § 6903(7)
(defining ‘hazardous waste management’). We
therefore deferred to the EPA’s determination that
resource recovery from hazardous waste came within
the Agency’s subtitle C authority.

Industry petitioners nevertheless contend that we
adopted the exact position they now advocate in
American Mining Congress v. EPA, 824 F.2d 1177
(D.C. Cir, 1987) (“AMC I’). To be sure, in AMC J,
we stated that the EPA’s authority, in the first in-
stance, extends only to waste that is identified as
hazardous, id. at 1179, and that Congress took care
in drafting the definition of solid waste to reflect its
concern over the reach of the EPA’s authority, id. at
1188-89 and n.17. But, as we emphasized in Shell
Oil, the definitions of solid and hazardous wastes pro-
vide the keys to entrance into the RCRA system;
‘“To]nly materials that meet both definitions will be-
come within the [RCRA] ‘cradle-to-grave’ regulatory
scheme,” Shell Oil, 950 F.2d at 754 (emphasis added) ;
and we also stated that once within the system, the
waste will remain there so long as it poses a threat
to the public health and safety. Jd. AMC I] turned

25a

on the question of whether secondary materials im-
mediately reused within an industrial process had
been “discarded” under the terms of RCRA. We
concluded that they had not. AMC I, 824 F.2d at
1185-87. Our decision in that case stands for no
more. See Shell Oil, 954 F.2d at 755-56.

The 1984 Amendments also provide the EPA with
the authority to mandate treatment past the point at
which a characteristic is removed. Section 3004 (g)
(5) requires the Administrator to promulgate regula-
tions prohibiting land disposal of hazardous wastes
“except with respect to a hazardous waste which has
complied with the pretreatment regulations promul-
gated under subsection (m) of this section.” 42
U.S.C. § 6924(¢)(5). Subsection (m)(1), in turn,
calls on the Administrator to

specify[] those levels or methods of treatment, if
any, which substantially diminish the toxicity of
the waste or substantially reduce the likelihood
of migration of hazardous constituents from the
waste so that short-term and long-term threats to
human health and the environment are mini-
mized.

RCRA § 3004(m) (1), 42 U.S.C. § 6924(m) (1). The
requirement that treatment “substantially diminish
the toxicity” or substantially reduce the likelihood of
migration of hazardous constituents suggests concerns
that go beyond the characteristics identified in 40
C.F.R. Part 261, subpart C. Similarly, in concluding
that the EPA had the authority to require technolo-
gies that go beyond the elimination of hazardous
characteristics, we have noted that “minimize” offers
a broad mandate: “To ‘minimize’ something is, to
quote the Oxford English Dictionary, to ‘reduce [it]

26a

to the smallest amount, extent, or degree.’” HWTC
ITI, 886 F.2d at 361.

In HWTC III, the Chemical Manufacturer’s Associ-
ation (“CMA”) attacked treatment standards for
solvents under the land disposal program because the
EPA required treatment of all solvents, not simply
those deemed unsafe. See id. at 361. The CMA ar-
gued that this regime could result in treatment “below
established levels of hazard,’ and therefore was an
unreasonable interpretation of the Act. /d. at 362.
We disagreed, noting that section 3004(m) demands
that treatment minimize risks to health and the en-
vironment. Treatment might be unreasonable, we
added, if the EPA required treatment of wastes that
“nosed no threat to human health or the environ-
ment.” /d. at 363. That was not the case in HWTC
III, nor is it true here.

We conclude that, in combination, sections 3004 (¢)
(5) and (m) provide the EPA with authority to bar
land disposal of certain wastes unless they have been
treated to reduce risks beyond those presented by the
characteristics themselves. We also find the Agency’s
assertion of regulatory authority over the wastes
from the moment they are generated to be “based on
a permissible construction of the statute.” Chevron,
467 U.S. at 843.

E. NRDC Petitioners’ Challenge to Deactivation
Treatment Standard

NRDC petitioners ask this court to vacate the de-
activation treatment standard as applied to ICR
wastes because it authorizes the dilution of these
wastes to eliminate their ignitability, corrosiveness,
or reactivity rather than mandating use of technologi-

27a

cal treatment. NRDC petitioners rely on the language
of section 3004(m) (1), statements in the legislative
history of the 1984 Amendments, and the overall
structure of the RCRA program as support for their
position that treatment does not include dilution.
They claim that some form of technology must be used
to treat wastes in all instances.

They also contend that diluticn fails to satisfy the
statutory requirement that treatment minimize short-
term and long-term threats to human health and the
environment, or to substantially diminish the toxicity
of the waste. In their view, the removal of these char-
acteristics through dilution only affects the short-term
risk that the waste will manifest that property; it does
not address the threats posed by the hazardous or-
ganic and inorganic constituents of those wastes.
NRDC petitioners also assert that the Agency’s in-
terpretation of RCRA fails Chevron’s second step
because the statute does not permit a plea of time
pressures as a reason for failing to require treat-
ment at the levels mandated by section 3004(m). See
55 Fed. Reg. at 22,665-66.

We believe that dilution can, in principle, constitute
an acceptable form of treatment for ICR wastes. We
do not read the 1984 Amendments as mandating the
use of the best demonstrated available technologies
(“BDAT”) in all situations. To reiterate, section
3004(m) (1) directs the Administrator to

specify[] those levels or methods of treatment, if
any, which substantially diminish the toxicity of
the waste or substantially reduce the likelihood of
migration of hazardous constituents from the
waste so that short-term and long-term threats to
human health and the environment are minimized.

28a

42 U.S.C. § 6924(m)(1). NRDC petitioners insist
that under the plain terms of this provision, the de-
activation standard fails because dilution is not a
“method of treatment.” Although they acknowledge
that the statutory definition of “treatment” is broad
enough to encompass dilution, see RCRA § 1004(34),
42 U.S.C. § 6903(34), they maintain that Congress
had a more exacting criterion in mind when it enacted
section 3004(m).

We agree that the section imposes an exacting
standard: It requires that treatment pricr to land
disposal ‘“‘substantially diminish the toxicity of the
waste or substantially reduce the likelihood of migra-
tion of hazardous constituents from the waste so that
short-term and long-term threats to human health and
the environment are minimized.” RCRA 3004(m)
(1), 42 U.S.C. §$ 6924(m)(1). But this provision
does not bar dilution as a means of treating ICR
wastes; instead, it defines the purposes that a method
of treatment must achieve. Any treatment that meets
those objectives is permissible. When read against
RCRA’s broad definition of treatment, we cannot say
Congress clearly barred dilution as an acceptable
methodology. See Chevron, 467 U.S. at 842-43.

NRDC petitioners advert to a number of statements
in the legislative history that they believe make clear
Congress’s unexpressed intent to prohibit dilution as
a form of treatment in all cases. They cite, for ex-
ample, the committee report accompanying the Sen-
ate version of the 1984 Amendments, which notes
that hazardous waste should be “transformed to a less
hazardous chemical form through treatment.” Senate
Report at 17. More directly, the report states:

29a

The dilution of wastes by the addition of other
hazardous wastes or any other materials during
waste handling, transportation, treatment, or
storage is not an acceptable method of treatment
to reduce the concentration of hazardous constitu-
ents. Only dilution which occurs as a normal
part of the process that results in the waste can
be taken into account in establishing concentra-
tion levels.

Id. These petitioners also quote from Senator Moyni-
han’s statement explaining the floor amendment that
became section 3004(m): “The requisite levels o[r]
methods of treatment established by the Agency
should be the best that has been demonstrated to be
achievable.” 130 Cong. Rec. 20,803 (1984) (state-
ment of Sen. Moynihan). They infer from this that
only treatment with technology will meet the standard
of section 3004(m).

We are unpersuaded. The Senate committee version
of the 1984 Amendments, which the committee report
addresses, mandated the treatment of EP toxic wastes
among the many others specified in the legislation. It
did not require the treatment of ICR wastes. See
Senate Report at 17-18. The strong statements cau-
tioning against dilution as a means of treatment must
be read that context. Similarly, Senator Moyni-
han’s statement referred to the particular problem of
highly mobile, highly toxic wastes. See 130 Cong.
Rec. 89,178. These citations to legislative history do
not show that Congress spoke directly to the dilution
of ICR wastes. See Chevron, 467 U.S. at 842-43.

We are more troubled by the question whether the
dilution of certain ICR wastes will satisfy section

=> 0

30a

3004(m). Treatment must meet the standards estab-
lished by that section, and its requirements are clear:
It must remove the characteristic and reduce the pres-
ence of hazardous constituents when those constituents
are present in sufficient concentrations to pose a threat
to human health or the environment. The EPA’s reg-
ulations “must be fully consistent with” those re-
quirements. NLRB v. United Food & Commercial
Workers Union, Local 23, AFL-CIO, 484 U.S. 112,
123 (1987). We find it unclear whether dilution is
fully consistent with section 3004(m)’s treatment
which the EPA has proscribed deactivation.

As we have explained, the proposed rule pointed to
significant problems that could arise if dilution was
accepted as a means of treating IRC wastes. In the
final regulations, the Agency found that deactivation
‘addresses the environmental concern from the prop-
erties themselves.” 55 Fed. Reg. at 22,655. The EPA
admitted, however, that “the characteristic level is
only one indicator of hazard and, thus, removal of the
specific characteristic is not the same as assuring that
the waste is safe.” Jd. at 22,651. It then acknowl-
edged “that this approach does not fully address the
potential problem of toxic constituents that may be
present in [ICR] wastes, nor encourage[] minimiza-
tion ... of non-toxic characteristic hazardous wastes.”
Id. at 22,665. The Agency’s brief contains a similar
admission. Brief for Respondent at 96-97.

Unfortunately, these confessions are not a substi-
tute for a rule conforming to the statute’s command.
We conclude that the deactivation standard, in its
present form, is permissible only in the case of cor-
rosive wastes; and then only so long as they do not
contain hazardous constituents that, following dilu-

| 31a

tion, would themselves present a continuing danger to
human health or the environment.

1. Ignitable Wastes

At oral argument, counsel for the EPA conceded
that some ignitable wastes subject to the deactiva-
tion standard include hazardous or toxic constituents
that will remain after dilution, perhaps at sufficient
levels to pose a risk to human health and the environ-
ment. See also Reply Brief for NRDC petitioners at
12-14 (ignitable wastes have significant hazardous
constituents) ; EPA, Final BDAT Background Docu-
ment (May 1990), at 2-2 and 2-3, reprinted in Joint
Appendix (“J.A.”) at 456-57 (same). Further, in
the proposed rule, the EPA barred dilution of all
ignitable wastes because of the risk of emissions of
volatile organic compounds during dilution and the
possibility that the waste would regain its ignitability
after dilution. See also BDAT Background Docu-
ment at 2-10, reprinted in J.A. at 464 (“If the ignit-
able wastes are diluted, [volatile organic compounds]
will ordinarily be emitted in concentrations far ex-
ceeding those emitted by treatment processes in which
these volatiles are destroyed.”’).

The final regulations suggested a number of tech-
nology-based treatment methods that might be used
for ignitable wastes, but in the end authorized dilu-
tion if it would remove the characteristic alone, ex-
cept for ignitable wastes including more than ten
percent total organic compounds. In its brief, the
Agency stated that the problem of emissions and the
possibility that the waste would regain its ignitabil-
ity were not significant, that some dilution prior to
treatment would be beneficial, and that the problem
of VOC emissions, if any occur, would be “best ad-

J | | ld

32a

dressed by establishing air emission limitations in the
future.”’ Brief for Respondent at 93.

In view of the EPA’s position that treatment pur-
suant to section 3004(m) requires the removal of a
waste’s hazardous characteristic and the reduction of
other hazardous constituents, and the Agency’s con-
cessions that constituents are present in some ignit-
able wastes subject to the deactivation standard, we
vacate this part of the rule. To conform with its own
reading of section 3004(m), the Agency must iden-
tify the ignitable wastes that include, after dilution,
sufficiently high levels of hazardous constituents to
pose a risk to human health or the environment, and
propose a method of treatment that will deal with
these threats. In addition, the Agency must address
the problem of VOC emissions from ignitable wastes
during dilution. The EPA’s statement that it believes
that VOC emissions can be controlled by changes in
operating parameters is inadequate. It must state,
with evidentiary support, that the risk of VOC emis-
sions during dilution is minimal for ignitable wastes
now subject to the deactivation standard, or it must
require actions to minimize that risk.

2. Corrosive Wastes

The EPA asserts in its brief that the sole problem
posed by corrosive wastes is their corrosiveness:
“(T Jhere are no hazardous constituents in the waste.”’
Brief for Respondent at 94. Counsel for the EPA
made essentially the same representation at oral ar-
gument. But NRDC petitioners come to a different
conclusion. They point to the proposed rule, see 54
Fed. Reg. at 48,423 (“The Agency prefers neutraliza-
tion of corrosive wastes over simple dilution because
dilution simply creates a larger volume of wastes but

33a

does not treat or remove hazardous constituents in
the wastes.”’), and a statement from the EPA’s
BDAT Background Document stating that some cor-
rosive wastes do in fact possess hazardous constitu-
ents beyond their potential for corrosion. See BDAT
Background Document at 3-2, reprinted in J.A. at
485 (Typically, corrosive wastes that are disposed
of by deep well injection are likely to contain toxic
organics, whereas landfilled wastes are likely (58
percent) to contain heavy metals.’); see also id. at
3-7, reprinted in J.A. at 490 (residue from neutral-
ized corrosive wastes can exhibit the characteristic
of EP toxicity). NRDC petitioners acknowledge that
corrosive wastes can be treated effectively by mixing
acid and alkaline wastes; but they object to dilution
with water because it will not treat the toxic con-
stituents they claim are present in corrosive wastes.
Reply Brief for NRDC petitioners at 15.

The final regulations themselves are somewhat am-
biguous on the question of the presence of hazardous
constituents. In discussing the deactivation standard
applied to acids and alkalines, the EPA states that
“many [corrosive] wastes also are hazardous for
other reasons, and may require that additional treat-
ment processes be employed besides neutralization,
incineration or recovery.” 55 Fed. Reg. at 22,549.
The Agency also explains that

[cJorrosivity is not defined in the same way EP
Toxic wastes are defined. Corrosivity is not based
on a toxic constituent, where the environmental
concern is mass-loading in the environment. With
respect to the issue of toxics present in these cor-
rosive wastes, EPA notes that if a corrosive waste
also exhibits the toxicity characteristic, it must

34a

be treated to meet the treatment standard for
the toxie constituent as well....

Id. This explanation begs the question of what is
required if the toxic constituent is present in insuffi-
cient quantities to cause the waste to be classified as
EP toxic as well as corrosive, but in sufficient quan-
tities to engage section 3004(m)’s concerns over resid-
ual effects.

We agree with the EPA that dilution can be an
acceptable form of treatment of corrosive wastes. But
in the face of this record, we cannot rely on the asser-
tions made in the EPA’s brief and oral argument that
corrosive wastes pose no hazards other than those
presented by this characteristic. If, however, the facts
will support these assurances, the EPA may cure this
defect and meet the requirements of section 3004(m)
with a statement, backed by evidence, that the corro-
sive wastes subject to the deactivation standard do not
contain hazardous constituents that pose a threat to
human health and the environment. If such a state-
ment may be made, the Agency should be able to
revise its rulemaking prior to the issuance of the
mandate in this case.

3. Reactive Wastes

With regard to reactive wastes, we have a problem
of a different kind. Although, in the final regulations
and in its brief, the EPA spoke of ICR wastes gen-
erally when it confessed that hazardous constituents
might remain in some wastes following deactivation,
see 55 Fed. Reg. at 22,655-56; Brief for Respondent
at 96-97, we find nothing in the proposed or final
regulations to suggest that reactive wastes contain
such constituents, other than reactive cyanides and

35a

sulfides for which the EPA ordered technological
treatment. Nor have NRDC petitioners identified
any. Therefore, we have no basis for vacating the
use of the deactivation standard for the remaining
subcategories of reactive wastes because of the threat
of migration of hazardous constituents.

The EPA, however, has only partially addressed
the problem, raised in the proposed rule, of the effect
of dilution on reactive wastes—that those wastes
could display their reactive characteristic in the proc-
ess of dilution. See 54 Fed. Reg. at 48,426. See also
BDAT Background Document at 4-3, reprinted in
J.A. at 503 (water reactives “(1) react violently with
water; (2) form potentially explosive mixtures with
water; or (3) when mixed with water, generate toxic
gases, vapors, or fumes in a quantity sufficient to
present a danger to human health or the environ-
ment.’’). In the final regulations, based on com-
ments received, the EPA suggested that dilution with
“certain organic liquids” prior to dilution with water
would remove the risk of a violent reaction in the
three subeategories of reactive wastes for which the
deactivation treatment standard is permitted, allow-
ing subsequent incineration or chemical treatment.
55 Fed. Reg. at 22,553. The Agency noted that it
was “not restricting the use of this practice” for any
reactive waste. Id.

The final regulations thus offer no assurance that
dilution of explosive, water reactive, or other reactive
wastes will not create a risk of violent reaction. The
final regulations state that the Agency will not pro-
hibit the practice of diluting wastes with other ma-
terials to reduce the risk of reaction, and suggest
that this might be a useful step to take prior to tech-

EE

36a

nological treatment. This ignores the reality of the
EPA’s deactivation standard: Dilution of these
wastes by any method is permissible if it removes the
characteristic.

We grant, on narrow grounds, the petition for re-
view as to reactive wastes. The Agency must limit
dilution to methods that will curb the risk of violent
reactions, mandate preliminary steps to prevent such
reactions, require a technological treatment, or find,
with the backing of evidence, that there is no sig-
nificant risk of reaction present for any of the three
subcategories of reactive wastes for which deactiva-
tion is a permissible form of treatment.

* * *

Finally, contrary to what the EPA suggests, it will
not suffice that the Agency promises to fully address
certain unresolved problems of hazardous constitu-
ents in future rulemakings. In enacting the 1984
Amendments, Congress imposed very strict deadlines.
Moreover, it has chosen to enforce them by decreeing
that any hazardous waste that is not covered by a
valid regulation within the date specified will be
denied land disposal. We understand the enormous
difficulties that the Agency has undoubtedly faced,
given competing obligations and the complexity of
the task. Nevertheless, we cannot treat the final rule
as ot

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40386011_1927%3A1. Public record. Not legal advice.
