EPA Disallows $384,678.00 in Costs

The EPA disallowed $384,678.00 in costs incurred under a grant to a non-profit Nevada Corporation. The reason for the majority of the disallowance was that several sole source contracts were awarded for legal and consulting work with no cost or price analysis done so as to demonstrate the fees paid were fair and reasonable. The regulations are clear that in all procurements, but especially sole source, the grantee must demonstrate that a fair price was received.

The EPA also disallowed $18,265.00 in travel related costs due to a lack of documentation.

To read the entire report, please click here.

St. Maries, Idaho, Superfund Site to Be Cleaned Up

In a settlement agreement filed in federal court in Boise, Idaho on Nov. 9, two companies and the city of St. Maries, Idaho, agreed to clean up a superfund site in St. Maries at a cost estimated at more than $12 million, according to a press release issued by the U.S. Justice Department and the U.S. Environmental Protection Agency.

The site, a former wooden utility pole treatment plant, is located on the banks of the St. Joe River on the Coeur d' Alene Tribe’s reservation. The tribe joined with the federal government in signing the settlement.

B.J. Carney & Co. owned the now-defunct plant from 1960 through the early 1980s, demolishing site structures and re-grading contaminated soil from 1960 through 1965. Although the creosote operation ended and B.J. Carney & Co. sold its interests to Carney Products, Ltd., from 1982 until 2003 Carney Products peeled, sorted and stored poles at the facility.

The creosote operation and demolition process polluted the land, river bank and river sediments, the release stated. EPA's cleanup plan calls for excavation and thermal treatment of more than 70,000 cubic yards of creosote-contaminated soil and river sediment.

Environmental Protection Agency Disallows $663,321 in Costs

The Environmental Protection Agency (EPA) is questioning $663,321 in costs due to a grantee not following required procedures when purchasing A/E services.

The West Rankin Utility Authority allegedly didn't conduct a detailed cost analysis when reviewing proposals for a construction project under an EPA award. The audit also claimed the grantee didn't have an adequate procurement system in place and lacked proper policies and procedures.

The audit finding once again demonstrates how critical it is that grantees comply with all requirements published in OMB A-102.

To access the audit report, please click here.

Don't miss Falmouth Institute's Indian Country Construction Conference, November 17-18, 2009 in Phoenix, AZ.

Tribal Water Systems Lack EPA Oversight, Report Finds

Although tribal drinking water supplies are meeting regulatory requirements, some internal control deficiencies exist in administering U.S. Environmental Protection Agency oversight of tribal community water systems (CWSs), according to “EPA Assisting Tribal Water Systems but Needs to Improve Oversight,” an evaluation report issued by the agency last week.

The report found that internal control deficiencies exist in administering EPA oversight of tribal CWSs in two of the five EPA regions. Tribal drinking water records in four of the five regions were incomplete due to failure to maintain oversight of system operations and/or poor records management.

The EPA made several recommendations in the report, including establishing national and regional tribal drinking water program standard operating procedures and directing regions to issue monitoring and reporting violations and take appropriate enforcement actions against tribal CWSs with health-based violations or that fail to monitor or submit monitoring reports.

EPA Questions $1.7 Million in Indirect Costs Charged by Grantee

In a just released audit report, the United States Environmental Protection Agency has questioned $1.7 million in indirect costs charged by a non profit grantee. The report recommends that the EPA disallow all the indirect costs charged as the grantee had no approved indirect cost agreement in place. The report also states that the organization used an inequitable method for allocating indirect costs to various EPA awards. We are aware that the EPA has been warning grantees without approved IDC agreements not to charge indirect cost to their EPA grants.

Tribes Eligible for Environmental Justice Grant

The U.S. Environmental Protection Agency's Office of Environmental Justice announced the availability of $800,000 in funding for the Environmental Justice Small Grants Program for projects to assist low-income and minority communities to develop locally-based solutions to their sometimes disproportionate share of environmental and public health issues. EPA anticipates awarding one to four grants of up to $20,000 in each region under this funding opportunity (EPA-OECA-OEJ-08-01). Native American tribal governments, non-profits, cities, townships, and county governments are eligible applicants. Applications are due June 30.