[House Hearing, 113 Congress] [From the U.S. Government Publishing Office] THE STATE OF THE ENVIRONMENT: EVALUATING PROGRESS AND PRIORITIES ======================================================================= HEARING BEFORE THE SUBCOMMITTEE ON ENVIRONMENT COMMITTEE ON SCIENCE, SPACE, AND TECHNOLOGY HOUSE OF REPRESENTATIVES ONE HUNDRED THIRTEENTH CONGRESS FIRST SESSION __________ THURSDAY, FEBRUARY 14, 2013 __________ Serial No. 113-3 __________ Printed for the use of the Committee on Science, Space, and Technology Available via the World Wide Web: http://science.house.gov ---------- U.S. GOVERNMENT PRINTING OFFICE 78-821 PDF WASHINGTON : 2013 COMMITTEE ON SCIENCE, SPACE, AND TECHNOLOGY HON. LAMAR S. SMITH, Texas, Chair DANA ROHRABACHER, California EDDIE BERNICE JOHNSON, Texas RALPH M. HALL, Texas ZOE LOFGREN, California F. JAMES SENSENBRENNER, JR., DANIEL LIPINSKI, Illinois Wisconsin DONNA F. EDWARDS, Maryland FRANK D. LUCAS, Oklahoma FREDERICA S. WILSON, Florida RANDY NEUGEBAUER, Texas SUZANNE BONAMICI, Oregon MICHAEL T. McCAUL, Texas ERIC SWALWELL, California PAUL C. BROUN, Georgia DAN MAFFEI, New York STEVEN M. PALAZZO, Mississippi ALAN GRAYSON, Florida MO BROOKS, Alabama JOSEPH KENNEDY III, Massachusetts ANDY HARRIS, Maryland SCOTT PETERS, California RANDY HULTGREN, Illinois DEREK KILMER, Washington LARRY BUCSHON, Indiana AMI BERA, California STEVE STOCKMAN, Texas ELIZABETH ESTY, Connecticut BILL POSEY, Florida MARC VEASEY, Texas CYNTHIA LUMMIS, Wyoming JULIA BROWNLEY, California DAVID SCHWEIKERT, Arizona MARK TAKANO, California THOMAS MASSIE, Kentucky VACANCY KEVIN CRAMER, North Dakota JIM BRIDENSTINE, Oklahoma RANDY WEBER, Texas CHRIS STEWART, Utah ------ Subcommittee on Environment HON. ANDY HARRIS, Maryland Chair CHRIS STEWART, Utah, SUZANNE BONAMICI, Oregon F. JAMES SENSENBRENNER, JR., JULIA BROWNLEY, California Wisconsin DONNA F. EDWARDS, Maryland DANA ROHRABACHER, California MARC VEASEY, Texas RANDY NEUGEBAUER, Texas MARK TAKANO, California PAUL C. BROUN, Georgia ALAN GRAYSON, Florida RANDY WEBER, Texas EDDIE BERNICE JOHNSON, Texas LAMAR S. SMITH, Texas C O N T E N T S Thursday, February 14, 2013 Page Witness List..................................................... 2 Hearing Charter.................................................. 3 Opening Statements Statement by Representative Andy Harris, Chairman, Subcommittee on Environment, Committee on Science, Space, and Technology, U.S. House of Representatives.................................. 5 Written Statement............................................ 6 Statement by Representative Suzanne Bonamici, Ranking Minority Member, Subcommittee on Environment, Committee on Science, Space, and Technology, U.S. House of Representatives........... 7 Written Statement............................................ 9 Witnesses: The Honorable Kathleen Hartnett White, Distinguished Fellow-in- Residence & Director, Armstrong Center for Energy & the Environment, Texas Public Policy Foundation Oral Statement............................................... 12 Written Statement............................................ 15 Mr. Richard Trzupek, Principal Consultant, Trinity Consulting Oral Statement............................................... 30 Written Statement............................................ 32 Dr. Bernard Goldstein, Professor and Dean Emeritus, University of Pittsburgh Graduate School of Public Health Oral Statement............................................... 83 Written Statement............................................ 86 Discussion....................................................... 101 Appendix I: Answers to Post-Hearing Questions The Honorable Kathleen Hartnett White, Distinguished Fellow-in- Residence & Director, Armstrong Center for Energy & the Environment, Texas Public Policy Foundation.................... 122 Mr. Richard Trzupek, Principal Consultant, Trinity Consulting.... 139 Dr. Bernard Goldstein, Professor and Dean Emeritus, University of Pittsburgh Graduate School of Public Health.................... 161 Appendix II: Additional Material for the Record TEPA's Pretense of Science: Regulating Phantom Risks submitted by The Honorable Kathleen Hartnett White.......................... 168 Memo, Re: Questionable Claims in Testimony from February 14, 2013 Environment Subcommittee hearing, submitted by Representative Suzanne Bonamici............................................... 186 THE STATE OF THE ENVIRONMENT: EVALUATING PROGRESS AND PRIORITIES ---------- THURSDAY, FEBRUARY 14, 2013 House of Representatives, Subcommittee on Environment Committee on Science, Space, and Technology, Washington, D.C. The Subcommittee met, pursuant to call, at 10:05 a.m., in Room 2318 of the Rayburn House Office Building, Hon. Andy Harris [Chairman of the Subcommittee] presiding. [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Chairman Harris. The Subcommittee on Environment will come to order. Good morning. Welcome to today's hearing entitled ``The State of the Environment: Evaluating Progress and Priorities.'' In front of you are packets containing the written testimony, biographies and Truth in Testimony disclosures for today's witness panels. I recognize myself for five minutes for an opening statement. Good morning. Welcome to the first hearing of the Environment Subcommittee in 2013. It is not only the first hearing in 2013, it is the first hearing of the Environment Subcommittee. As you know, the Committee reorganization separated Energy and Environment Subcommittee into two, and this is the Environment Subcommittee. Our hearing today is entitled ``The State of the Environment: Evaluating Progress and Priorities.'' I first want to recognize and welcome our new ranking member, Representative Suzanne Bonamici from Oregon, as well as our new Vice Chairman, Chris Stewart from Utah. Of course, we all welcome the gentleman from Texas, the Chairman of the Science, Space, and Technology Committee, Mr. Lamar Smith. I look forward to working with all the Members on the Subcommittee on a myriad of environmental issues in the 113th Congress. Today we are going to talk about the greatest story never told. In the last four decades, Americans have witnessed dramatic improvements in the environmental health of this country. This is characterized by the improvement in air and water quality, less exposure to toxic chemicals, and growing forest areas, to name a few. All the while, the United States has experienced significant growth in GDP and per capita income. This progress is due to a number of factors including technological innovations, state and local efforts, and to some degree, the rational implementation of federal regulations. Just 2 days ago would have been the 82nd birthday of Julian Simon, renowned economist from the University of Maryland. His most important insights were that the world is getting better all the time and that energy serves as the ``master resource'' for those improvements. I couldn't agree more. My children are growing in a much healthier world than the one where I grew up. However, despite the substantial progress made in environmental health and quality of life, Americans are constantly bombarded by the media and this Administration with doomsday predictions. For instance, we have been told that extreme storms and increased childhood asthma are indicators that the environment is worse off than ever. These allegations fly in the face of the hard facts, that severe weather has always been a threat and that our air quality has improved dramatically. These invented crises and the mentality around it prove what another fellow Marylander and columnist for the Baltimore Sun, H.L. Mencken wrote, and I quote, ``The whole aim of practical politics is to keep the populace alarmed and hence clamorous to be led to safety by menacing it with an endless series of hobgoblins, all of them imaginary.'' So what is the solution to this disconnect between reality and what we are being told? How do we work together on continuous to enhance environmental health without needlessly scaring our constituents or stifling our floundering economy? First, I believe we must recognize and educate people about the incredible progress made so far. Since 1980, aggregate emissions of the six criteria air pollutants regulated under the Clean Air Act have dropped 63 percent. Over a similar period, there has been a 65 percent reduction in toxic release of chemicals tracked by the EPA. Other indicators demonstrate a similar trend of reduced environmental risk. Second, we must acknowledge that most of the gains made in environmental health thus far were changes that were affordable, or if they had high costs, the associated benefits were clear, significant, and cost-effective. Future progress will not likely be so easily identified, will be extremely costly and benefits may be unquantifiable. For example, the latest round of increasingly burdensome regulations may result in the closing of power plants, reducing manufacturing production and sending American jobs overseas. We are already seeing employers react to proposed EPA regulations in this manner. What is not included in the government's analysis is the added cost of regulations to consumers resulting in higher energy and food bills or the inevitable hardships that occur when companies are forced to reduce their workforce. Once these two tenets are accepted, that the environment is getting better and that even well-intended actions may harm the economy, we can begin to prioritize the research and development and regulatory agenda that actually protects human health and the environment without crippling the economy. In light of the President's pledge in this week's State of the Union that he will ``direct my Cabinet to come up with executive actions we can take now and in the future to reduce pollution,'' it is critical that any such actions be based on good, transparent science and not on imaginary hobgoblins. I look forward to hearing from our witnesses on how to balance quality science and need for regulation with true economic costs and benefits. Thank you. [The prepared statement of Mr. Harris follows:] Prepared Statement of Chairwoman Andy Harris Good morning. Welcome to the first hearing of the Environment Subcommittee in 2013: The State of the Environment: Evaluating Progress and Priorities. I want to recognize and welcome our new Ranking Member, Representative Suzanne Bonamici from Oregon, as well as our new Vice- Chairman Chris Stewart from Utah. Of course, we all welcome the gentleman from Texas, Chairman of the Science, Space, and Technology Committee Lamar Smith. I look forward to working all the members of the subcommittee on a myriad of environmental issues in the 113th Congress. Today we are going to talk about the greatest story never told. In the last four decades, Americans have witnessed dramatic improvements in the environmental health of this country. This is characterized by the improvement in air and water quality, less exposure to toxic chemicals, and growing forest areas, to name a few. All the while, U.S. has experienced significant growth in GDP and per capita income. This progress is due to a number of factors, including technological innovations, State and local efforts, and to some degree, the rational implementation of Federal regulations. Just two days ago would have been the 82nd birthday of Julian Simon, renowned economist from the University of Maryland. His most important insights were that the world is getting better all the time and that energy serves as the ``master resource'' for those improvements. I could not agree more. My children are growing up in a much healthier world than the one where I grew up. However, despite the substantial progress made in environmental health and quality of life, Americans are constantly bombarded by the media and this Administration with doomsday predictions. For instance, we have been told that extreme storms and increased childhood asthma are indicators that the environment is worse off than ever. These allegations fly in the face of the hard facts that severe weather has always been a threat and that our air quality has improved dramatically.. This invented crisis mentality prove what another fellow Marylander and columnist for the Baltimore Sun, H.L. Mencken wrote, ``The whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by menacing it with an endless series of hobgoblins, all of them imaginary.'' So what is the solution to this disconnect between reality and what we are being told? How do we work together on continuing to enhance environmental health without needlessly scaring our constituents or stifling our economy? First, I believe we must recognize and educate people about the incredible progress made so far. Since 1980, aggregate emissions of the six criteria air pollutants regulated under the Clean Air Act have dropped 63 percent. Over a similar period, there has been a 65 percent reduction in toxic releases of chemicals tracked by EPA. Other indicators demonstrate a similar trend of reduced environmental risk. Second, we must also acknowledge that most of the gains made in environmental health thus far were changes that were affordable, or if they had high costs, the associated benefits were clear, significant, and cost effective. Future progress will not likely be so easily identified, will be extremely costly, and benefits may be unquantifiable. For example, the latest round of increasingly burdensome regulations may result in the closing of power plants, reducing manufacturing production and sending jobs overseas. We are already seeing employers react to proposed EPA regulations in this manner. What is not included in the government's analysis is the added cost of regulations to consumers, resulting in higher energy and food bills, or the inevitable hardships that occur when companies are forced to reduce the workforce. Once these two tenets are accepted--that the environment is getting better and that even well intended actions may harm the economy--we can begin to prioritize a research and development and regulatory agenda that actually protects human health and the environment without crippling the economy. In light of the President's pledge in the State of the Union that he will ``direct my Cabinet to come up with executive actions we can take, now and in the future, to reduce pollution,'' it is critical that any such actions be based on good, transparent science and not on imaginary hobgoblins. I look forward to hearing from our witnesses on how to balance quality science and need for regulation with true economic costs and benefits. Chairman Harris. I now recognize the Ranking Member, the gentlewoman from Oregon, Ms. Bonamici, for an opening statement. Ms. Bonamici. Thank you, Chairman Harris, for holding the Subcommittee's first hearing on the state of our environment. This hearing marks an important opportunity to plan for the future, to set the tone for the new Congress in what I hope will be a collaborative effort to ensure our long-term economic vitality and to protect human health and our natural resources. It is a matter of common sense that we must coordinate research and technological innovation to enhance air and water quality to protect the health of our children and future generations. The 1st District of Oregon, which I represent, is a leader in this area, as it is in many fields. In fact, in June of last year, the U.S. Conference of Mayors gave Beaverton, Oregon, the Mayors' Climate Protection Award, and later that city received EPA's 2012 Leadership Award. The State of Oregon has additionally shown that it is committed to protecting human health by reducing harmful emissions, with a statewide goal of reducing greenhouse gas emissions to ten percent below 1990 levels by 2020, and 75 percent below 1990 levels by 2050. I have read the testimony of the witnesses and their biographies, and I am glad you have come to this Committee. Both the majority witnesses have enjoyed long careers in the regulatory sector, and I understand from talking to environmental regulators at both the state and federal level that the process of implementing regulations can be both challenging and daunting work. With that said, this Subcommittee, and this hearing in particular, should focus on the science that has led to the successful EPA regulations that are acknowledged by all three witnesses, and those discoveries that are still unknown that may tell us more about how the pollution in our air and water is affecting our health. As technology changes and as our research methodology becomes more accurate, as industries change and new industries are created, as populations grow, new problems will continue to emerge. We will not have all the answers immediately, but as public servants it is our responsibility to continue to investigate. More than 40 years ago, Congress passed several pieces of landmark legislation to protect our environment: the National Environmental Policy Act, the Clean Air Act and the Clean Water Act. All of these laws passed with bipartisan support. In 1970, it was President Richard M. Nixon who is credited with creating the Environmental Protection Agency, and the EPA became the lead federal agency with responsibility for implementing these laws and today works in collaboration with other federal and state agencies to protect human health and our environment. Today, we will hear from our panelists and Subcommittee Members on the costs and benefits of environmental protection. Although there are serious questions on which we may disagree, we can all agree that our air and water is cleaner than it was 40 years ago, before the Clean Air and Clean Water Acts became law. But our work is not done. As we look ahead to future EPA action, including the issuance of new and updated regulations, it is worth reminding ourselves of the source of such regulation and the benefit to society. In that regard, the Clean Air Act's history of protecting public health speaks for itself. In the four decades since it was signed, the Clean Air Act has prevented hundreds of thousands of premature deaths, not to mention saving trillions of dollars in health care costs. These benefits to the public will continue to grow. Especially in tough economic times, Americans understand the real economic impact. With fewer cases of chronic asthma attacks or bronchitis, fewer children and adults have to visit hospitals or doctors' offices. With the cost of health care widely agreed to be one of the central drivers of our Nation's fiscal challenges, we as policymakers would consider this a good result. The economic impacts of climate change are among the many challenges we face in these times of budget uncertainty. One of the most important issues to address will be how these changes will draw on our resources. If we do not have reliable, scientific information about the impact of climate change, our industries, our farmers, our states and our municipalities will be unable to plan for the future. I know that all of my colleagues agree that certainty is good for business. The environmental laws that we are discussing in this hearing have hardly been the drag on the economy that some predicted when they were passed in the 1960s and 1970s. When Congress rewrote the Federal Water Pollution Control Act in what became the Clean Water Act, one of the biggest threats to our water quality was municipal wastewater. A bipartisan Congress took a very important step by including funding provisions for states and cities to help them build wastewater treatment facilities. It is widely accepted among environmental experts across the country, and noted by all of our witnesses, that cleaning up our Nation's waterways has been one of the great successes of the Clean Water Act. In fact, both majority witnesses make mention of economic growth in the face of environmental regulation in their testimony, using data provided by the EPA. Over the last 20 years, while emissions of the six principal air pollutants were reduced by an additional 41 percent, the Nation's Gross Domestic Product has increased by more than 64 percent. Additionally, GDP has risen by more than 200 percent since the Clean Air Act was signed more than 40 years ago. We not only got cleaner air, but also entirely new technology sectors. Investment in environmental science, research, education and assessment efforts have been key to promulgating smart, effective regulation, and good science has been critical to protecting the environment as well as human health since the 1970s. Air and water pollution continue to threaten our public and economic health, and we need strong science and research programs, both at NOAA and EPA, to help us understand the problems and respond. I am interested in hearing how Congress and this Subcommittee can best develop programs that suit the needs of our federal agencies, academic institutions and other research and development institutions, while continuing to provide the necessary information to make informed policy decisions. President Richard Nixon, who signed the Clean Air Act Amendments in 1970, said, ``I think that 1970 will be known as the year of the beginning, in which we really began to move on the problems of clean air and clean water and open spaces for the future generations of America.'' Significant progress has been made, and it is now our job now to build upon this legacy and ensure that we will continue to improve our environmental quality while bolstering our economy. This is not science fiction; it is our history. In the United States, a healthy environment and a strong economy are not mutually exclusive. Stricter pollutions limits drive us to push the envelope of scientific innovation and create new technologies, and it has been proven many times over, that it can simultaneously improve worker productivity, increase agricultural yield, reduce mortality and illness, and achieve other economic and public health benefits that far outweigh the costs of compliance. Thank you, Mr. Chair. [The prepared statement of Ms. Bonamici follows:] Prepared Statement of Ranking Minority Member Suzanne Bonamici I want to thank Chairman Harris for holding the subcommittee's first hearing on the state of our environment. This hearing marks an important opportunity to plan for the future, to set the tone for the new Congress in what I hope will be a collaborative effort to ensure our long-term economic vitality and protect human health and our natural resources. It's a matter of common sense that we must coordinate research and technological innovation to enhance air and water quality to protect the health of our children and future generations. The First Congressional District of Oregon, which I represent, is a leader in this area, as it is in many fields. In June of 2012 the U.S. Conference of Mayors gave Beaverton, Oregon the Mayors' Climate Protection Award, and later that year the city received EPA's 2012 Leadership Award. The State of Oregon has additionally shown that it is committed to protecting human health by reducing harmful emissions, with a statewide goal of reducing greenhouse gas emissions to 10 percent below 1990 levels by 2020, and 75 percent below 1990 levels by 2050. I have read the testimony of the witnesses and their biographies, and I am glad they have come before the committee. They have both enjoyed long careers in the regulatory sector, and I understand from talking to environmental regulators at both the state and federal level that the process of implementing regulations can be both challenging and daunting work. With that said, this Subcommittee, and this hearing in particular, should focus on the science that has led to the successful EPA regulations that are acknowledged by all three witnesses, and those discoveries that are still unknown that may tell us more about how the pollution in our air and water is affecting our health. As technology changes, as our research methodology becomes more accurate, as industries change and new industries are created, as populations grow, new problems will continue to emerge. We will not have all the answers immediately, but as public servants it is our responsibility to continue to investigate. More than 40 years ago, Congress passed several pieces of landmark legislation to protect our environment: the National Environmental Policy Act, the Clean Air Act and the Clean Water Act. All of these laws passed with bipartisan support. In 1970, it was President Richard M. Nixon who is credited with creating the Environmental Protection Agency. The EPA became the lead federal agency with responsibility for implementing these laws and today works in collaboration with other federal and state agencies to protect human health and our environment. Today, we will hear from our panelists and Subcommittee members on the costs and benefits of environmental protection. Although there are serious questions on which we may disagree, we can all agree that our air and water is cleaner than it was 40 years ago, before the Clean Air and Clean Water Acts became law. But our work is not done. As we look ahead to future EPA action, including the issuance of new and updated regulations, it is worth reminding ourselves of the source of such regulation and the benefit to society. In that regard, the Clean Air Act's history of protecting public health speaks for itself. In the four decades since it was signed, the Clean Air Act has prevented hundreds of thousands of premature deaths, not to mention saving trillions of dollars in health care costs. These benefits to the public will continue to grow. Especially in tough economic times, Americans understand the real economic impact. With fewer cases of chronic asthma attacks or bronchitis, fewer children and adults have to visit hospitals and doctors' offices . With the cost of health care widely agreed to be one of the central drivers of our nation's fiscal challenges, we as policymakers would consider this a good result. The economic impacts of climate change are among the many challenges we face in these times of budget uncertainty. One of the most important issues to address will be how these changes will draw on our resources. If we do not have reliable, scientific information about the impact of climate change, our industries, our farmers, our states and municipalities will be unable to plan for the future. I know that all of my colleagues agree that certainty is good for business. The environmental laws that we are discussing in this hearing have hardly been the drag on the economy that some predicted when they were passed in the late 60s and early 70s. When Congress rewrote the Federal Water Pollution Control Act into what became the Clean Water Act, one of the biggest threats to our water quality was municipal wastewater. A bipartisan Congress took a very important step by including funding provisions for states and cities to help them build wastewater treatment facilities. It is widely accepted among environmental experts across the country--and noted by both the witnesses for the majority-- that cleaning up our nation's waterways has been one of the great successes of the Clean Water Act. In fact, both majority witnesses make mention of economic growth in the face of environmental regulation in their testimony, using data provided by the EPA. Over the last 20 years, while emissions of the six principal air pollutants were reduced by an additional 41 percent, the nation's Gross Domestic Product has increased by more than 64 percent. Additionally, GDP has risen by more than 200 percent since the Clean Air Act was signed more than 40 years ago. And we not only got cleaner air, but also entirely new technology sectors. Investment in environmental science, research, education and assessment efforts have been key to promulgating smart, effective regulations, and good science has been critical to protecting the environment as well as human health since the 1970s. Air and water pollution continue to threaten our public and economic health, and we need strong science and research programs at both NOAA and EPA to help us understand the problems and respond. I am interested in hearing how Congress and this subcommittee can best develop programs that suit the needs of our federal agencies, academic institutions and other research and development institutions, while continuing to provide the necessary information to make informed policy decisions. Quoting Republican President Nixon, who signed the Clean Air Act Amendments into law in 1970: ``I think that 1970 will be known as the year of the beginning, in which we really began to move on the problems of clean air and clean water and open spaces for the future generations of America.'' Significant progress has been made in the past 40 years, and it is our job now to build upon this legacy and ensure that we continue to improve our environmental quality while bolstering our economy. This is not science fiction; it is our history. In the U.S., a healthy environment and a strong economy are not mutually exclusive. Stricter pollutions limits drive us to push the envelope of scientific innovation and create new technologies. And, as it has been proven many times over, they can simultaneously improve worker productivity, increase agricultural yield, reduce mortality and illness, and achieve other economic and public health benefits that far outweigh the costs of compliance. Thank you, and I yield back. Chairman Harris. Thank you, Ms. Bonamici. If there are Members who wish to submit additional opening statements, your statements will be added to the record at this point. At this time I would like to introduce our witnesses. Our first witness is the Hon. Kathleen Hartnett White, Distinguished Fellow-in-Residence and Director for the Armstrong Center for Energy and the Environment at the Texas Public Policy Foundation. Prior to joining the foundation, Ms. White served a six-year term as Chairman and Commissioner of the Texas Commission on Environmental Quality, the second largest environmental regulatory agency in the world after the United States Environmental Protection Agency. Prior to joining that commission, she served on the Texas Water Development Board. She also served on the Texas Economic Development Commission and the Environmental Flow Study Commission. Our next witness will be Mr. Richard Trzupek, Principal Consultant and Chemist at Trinity Consultants. Mr. Trzupek has worked in the environmental industry for 30 years, first as a Stack Tester measuring the amounts of air pollutants emitted from industrial smokestacks and then as an Environmental Consultant to small and midsized businesses. Mr. Trzupek is the author of numerous articles and books on environmental issues and air quality. The final witness today is Dr. Bernard Goldstein, Professor and Dean Emeritus at the Graduate School of Public Health at the University of Pittsburgh. He is a physician board certified in internal medicine, hematology and toxicology. He has also served as Assistant Administrator for EPA's Office of Research and Development from 1983 to 1985. As our witnesses should know, spoken testimony is limited to five minutes each after which the Members of the Committee will have five minutes each to ask questions. I now recognize Ms. White to present her testimony. STATEMENT OF THE HONORABLE KATHLEEN HARTNETT WHITE, DISTINGUISHED FELLOW-IN-RESIDENCE & DIRECTOR, ARMSTRONG CENTER FOR ENERGY & THE ENVIRONMENT, TEXAS PUBLIC POLICY FOUNDATION Ms. White. Thank you, Chairman Harris, for the opportunity to testify on this I think extremely important but often- neglected topic on the state of our environment at this point in time and the remarkable record. I also thank Chairman Smith, a fellow Texan, and Congressman Weber. I am very proud to call you Congressman. We miss you in Texas right now but I am very proud to call you Congressman Weber. I also appreciate being called to testify as a former state regulator who for six years main job was implementing federal regulations that bind the state. When you are in the state, you are close to the people, the businesses and the real lives that these regulations affect and where the proverbial rubber meets the road. Whenever I look at it, I am again really taken by the magnitude of the environmental improvement in this country over the last 40 years, particularly over the last 20. I have a slide up from, I think, an excellent and rare book called the Almanac of Environmental Trends. This is from the 2011 edition by Steven Hayward that I recommend highly to you as a broad assessment of environmental conditions and trends across environmental media. This is a slide from that book just comparing there major social policies: the extent of the population on welfare, the crime rate and the amount of reductions in aggregate emissions, the lower green line. You see the incredible trend there. I would say also this has data from federal sources until 2007 that you would see a sharper decline in the last, really last five years. There has been very significant decline. You would see a very slight uptake in the crime rate and you would see, unfortunately, a measurable increase in the welfare rolls. I am not going to repeat what the Chairman has already said in terms of the quantity of reduction in the criteria pollutants, EPA's main job implementing National Ambient Air Quality Standards, but a look at some of these numbers is really, really amazing. If you notice, ambient levels are what are important because that is the level of emissions that actually impact people: 76 percent in sulfur dioxide, 82 percent in carbon monoxide, 90 percent reduction of lead, some amazing numbers. I guess I am repeating what you previously said but the fact that this amount of air quality improvement went on during periods of very robust economic growth I think is very noteworthy. I would add to the achievement with the criteria pollutants that emissions from our tailpipes have been reduced by about 90 percent while vehicle miles traveled increased 165 percent as a result of better engine design and fuel formulations. Right now, virtually the entire country attains at least four of the six criteria pollutants federal standard. Some urban areas still wrestle with ozone and fine particulate manner but the trends are all positive. But as an example of improvement, in 1997 EPA listed, I believe it was 113 metropolitan areas that were nonattainment for one of the criteria pollutants. That number has now fallen to 30. I also cannot resist a Texas example. Houston, Texas, home of now the world's largest petrochemical industrial complex with Gulf Coast meteorology that is the perfect recipe for high ozone formation did something nobody said it could do, and we resisted many controls EPA wanted us to put on. We used cutting-edge science to figure out what is exactly our problem in Houston, how does ozone form. We did very creative, targeted controls, very aggressive regulation, but that slide shows you that what happened, which no one thought, was under the then- current standard 85 part per billion, Houston attained that standard in 2009 and 2010. In 2011, historic heat, historic drought, ozone levels went up again. They are already coming back down but I think there is a wonderful story about how the state with a really broad team effort--legislature, universities, industries, communities--figured out how to do that. I want to give just a few examples, although there is not time in this oral testimony--my written testimony goes in more detail--but again, the magnitude of improvement. Lead is an amazing thing--almost eliminated. But consider the health benefit. In the 1970s, the CDC found that 88 percent of children between one and five years had lead blood levels that exceeded the CDC's risk limit. In 2006, that is now 1.2 percent. Lead as a risk to health has been virtually eliminated. Dioxins, a big family of chemical compounds, which if exposure is right and concentration is right, can be very damaging to human health, according to EPA's data, down 92 percent. Mercury: mercury emissions in this country have been already reduced, and this is before EPA's new mercury rules in effect, by 60 to 70 percent, and the CDC now finds, and this is the next slide--whoops, I am a little out of order. There we go. This is based on CDC's, again, a blood survey of mercury levels in the blood of women of childbearing years. Those levels from the most recent survey that goes to 2008 are well below EPA's new standard that is two to three times stricter than the mercury standard by the World Health Organization or the U.S. Food and Drug Administration. Benzene, which is the most prevalent of the hazardous pollutants and is a known carcinogen, has been--as a national average, those are down by over 64 percent. In Texas--and this is the next slide--it was a big issue in our petrochemical areas. The upper line, dotted line, was a previous level and also that is the level the state sets for when you really need to consider the health effects. Again, through an intensely monitored air quality monitored system in that area, the Houston-Galveston area, we have taken--those are all the black lines are individual monitors, and not only is it a positive trend for the area overall, you see how far below. That probably amounts to an average of 87 percent reduction of ambient benzene emissions. I could go on and on. I might say that of course EPA regulation played a major role in this, but were it not for the prosperity in our country, I think it would be impossible for this achievement. The creative technologies, the operational efficiencies that are hallmarks of the private enterprise in the free market were absolutely necessary for this, and if you compare environmental progress in developing countries, the difference is unbelievable. My testimony notes in a World Bank list of the world's worst polluted cities, in which there are about 100 cities on each list. I will give you just one example, it was a list for sulfur dioxide. The highest level was in Guiyang, China, assigned a level, according to that methodology, of something like 424, and Los Angeles was the last one on the list with a level of 9, 50 times difference. We are very, very fortunate to have the prosperity that enables our businesses and our consumers to absorb the costs of environmental regulation. So where are we and what would I recommend as a path going forward? More robust science. I think we have reached a point at which what I call the harder sciences that can demonstrate actual cause like toxicology, medical science, clinical trials are necessary to support the path going forward. EPA has recently---- Chairman Harris. If you could wrap it up? Ms. White. I have submitted also with my testimony a paper I did on what I consider a troubling, scientifically unjustified inflation of risks that EPA now used to justify new regulation and to implausibly calculate monetized benefits. I think it is time for harder science, for more intense monitoring, physical measurements and not models. [The prepared statement of Ms. White follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Chairman Harris. Thank you very much. We will now hear from Mr. Trzupek. STATEMENT OF MR. RICHARD TRZUPEK, PRINCIPAL CONSULTANT, TRINITY CONSULTING Mr. Trzupek. Thank you, Chairman Harris, Ranking Member Bonamici, Chairman Smith and other Members of the Committee for the opportunity to testify here today. I would also like to thank you on behalf of two other groups. One is, as Chairman Harris noted, the small to mid-sized businesses that I represent. They were very excited to hear that you were having me back. They feel like they have been given a voice through me and hopefully I will be worthy of that voice. The other person I am thanking you on behalf of is my wife, who will benefit from a very nice dinner this weekend because I am missing Valentine's Day, so thank you for her. I would like to begin by sharing a personal recollection of the state of the environment in the United States over 40 years ago. I grew up in the 1960s in the far southeast side of Chicago in the midst of the booming steel industry that provided my father with employment. The term ``pollution control'' in those days was not yet part of the lexicon. The skies on the south side glowed a bright orange at night and a fine layer of dust that collected on my father's car each morning offered new testimony to the tons of pollutants being expelled into the air. The water was little better. As children, we were warned the dire, potentially deadly consequences of swimming in the foul waters of the Calumet River that effectively served as an industrial sewer. Those days are long behind us, and, like those of you who remember them, I am pleased to say good riddance. Thanks to a lot of hard work and the expenditure of a lot of wealth, we have done what some back in those bad old days assured us could not be done. We have restored the air, water and soil of America to a condition of which we can all be proud. If the America of the 1960s was analogous to the worst messy teenager's room imaginable, in the America we live in today, we find that the old pizza boxes have been tossed, the floor scrubbed, the bathroom scoured and the furniture disinfected, and there is even a little hit of lemon wafting through the air. In the America we live in today, it would take a stereotypical severe English butler carefully tracing the tops of dresser drawers with fingers clad in white cotton gloves to find a problem. And to the extent that we choose to address environmental issues, we should recognize that the EPA, according to EPA's own data, industry, in most cases, is a minor contributor these days to emissions of pollutants of concern. We thus have a choice today: either to recognize and maintain the progress that we have made while recognizing that doing so means we can scale back our efforts to a more reasonable, appropriate level commensurate with today's reality or to spend increasing amounts of wealth and effort for ever-diminishing returns in search of an unachievable, utopian environmental purity instead of practicing reasonable environmental stewardship in the tradition of John Muir and Theodore Roosevelt. EPA's own data chronicles the remarkable progress we have made. I have shared some of this in my written testimony. Any sober, scientific examination of the data clearly demonstrates that contrary to popular misconception, America has and will continue to make massive reduction in the amount of pollutants that we release into the air, water and soil. I would like to point out that those reductions include reductions in nationwide greenhouse gas emissions. We are now down to 1997 levels of greenhouse gas emissions according to the last complete EPA inventory. The implementation of renewable portfolio standards in over 30 states, coal fleet retirements, the increased use of natural gas to generate power, and new CAFE standards will ensure that this trend continues. However one feels about global warming, the fact is that America is and will continue to do exactly what those concerned about AGW want us to do. When I say we are at a crossroads, I believe that many of those that are invested in the idea that today's environmental crisis is as bad as it was 40 years would agree but they view the available path somewhat differently. They would have us believe that we can only choose between two extremes: if you don't support every new environmental initiative and every EPA program, then, according to the prophets of doom, you therefore support a return to the bad old days of unlimited, unrestrained ecological damage, or to put in terms of Neil Simon's famous play, the Odd Couple, they would have us believe that choosing not to be Felix Unger requires one to be Oscar Madison. There can be no middle ground. For my part, I believe there is a desirable center that lies somewhere between polluter and puritan. Having accomplished so much, we should not abandon those hard-fought gains but we owe it to the men and women across America who have got us to this point to determine how much more we will require of them and toward what end: for as the working men and women across America, the people I have had the privilege to serve for the last 30 years who have got us here, they are the engineers, the plant managers, the HS professionals who are told they must keep their facilities in compliance while keeping them profitable as well. For many American industries, doing both has been quite the trick and a lot of sweat and toil has been expended accomplishing these two ends. If we are going to ask them to do even more with less and less to show for those efforts, we owe it to them as we owe it to ourselves to demonstrate that these efforts are necessary, not narcissism. Thank you. [The prepared statement of Mr. Trzupek follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Chairman Harris. Thank you very much, and we will move on to Dr. Goldstein. Welcome back. STATEMENT OF DR. BERNARD GOLDSTEIN, PROFESSOR AND DEAN EMERITUS, UNIVERSITY OF PITTSBURGH GRADUATE SCHOOL OF PUBLIC HEALTH Dr. Goldstein. Thank you, Chairman Harris and Ranking Member Bonamici and Members of the Subcommittee. I certainly agree with my fellow witnesses that we have come a long way in almost a half a century of environmental protection, and I routinely teach that to my students. I know of no one who teaches otherwise. But it does remind me of the personal experience of being at the end of a really productive day when I should take satisfaction in all I have accomplished but I find that I actually have more to do than when I started. Like EPA, I am further behind for two reasons. There are unforeseen challenges and some of the tasks are even more complex than I thought they were, and I will enlarge on that just briefly. New scientific tools have allowed us to identify hazards affecting our health and our well-being that we cannot see or smell, but despite our progress, we have new challenges to meet. When EPA was formed, the term ``nanotechnology'' had not been invented and the term ``cellular telephone'' would not have been understood. In my estimations, concerns about GMO food and cancer due to cell phones are largely unfounded, but I can say that only because of the science that has been developed to explore the issues. European leaders would like to have our measured response to concerns about cell phones and frankenfoods. On the other hand, nanotechnology and other emerging technologies present real issues that must be addressed in order to maximize their promise of bettering our lives and of economic benefits while minimizing risk. Improvement in many aspects of air pollution is evident but science shows that some of the threats, notably from ozone and from particulates, are worse than we thought and more challenging to control. For both pollutants, there is ample evidence of significant adverse health effects at even lower pollutant levels and affecting more people than previously appreciated, and not just in the United States but from studies all over the world. Just one is a recent study of a large national cohort showing a statistically significant mortality increase down to levels of fine particulates that are well below our current standard. For ozone, the change in standard from 1 hour to an 8-hour averaging period reflects the regulation that American society was changing in a way that put more people and particularly children at risk. We once had geographically well-defined cities with limited rush hours leading to a late morning ozone peak, but traffic now extends throughout the day. Urban sprawl is a fact of our life and daylong ozone problems do exist. More recently, studies have suggested an independent association of daily ozone levels with mortality so that ozone is affecting not just our children but our adults as well. Secondly, both fine particulates and ozone are not simple end-of-pipe products but rather are transformed in the air from multiple precursors coming from multiple sources. It is not surprising that each source points to another as being the major cause. We need to control decisions to be made on the best science, not on the best lobbying skills. Both pollutants also exemplify the challenge of significant contributions coming from multiple, small point sources, which is also a major problem in relation to clean water issues, which I do not have time to go into. An example is the rapid increase in shale gas drilling in local areas that are already near or above ozone or fine particulate standards. The Clean Air Act requirement that EPA review the scientific basis for the National Ambient Air Quality Standards every five years has been highly instrumental in leading to more effective regulation. Contrary to the repeated, and I emphasize, erroneous statement that the air pollution standards are routinely tightened by these reviews, most times the scientific review has led to no change in the existing standard and at times has even lead to relaxation or elimination of the standards. Revisiting standards should be the norm for all environmental regulation. Global climate change is clearly a major challenge. It is occurring. The EPA received its first funding to look at this issue from President Reagan in 1984 when I was at EPA as President Reagan's appointee in charge of research and development. It was clearly predicted then by the National Academy of Sciences that a rise in global carbon dioxide would make the earth warmer and set in motion a variety of planetary climate changes of potentially major consequences to us. This prediction has been more than amply borne out by the temperature records, and there is no need to go through the fact that last year was the hottest year on record. Nine out of the last ten years have been the top 10 in U.S. temperature. Among the overall scientific community, only a relatively tiny handful of climate change deniers exist, and those few as well as those who give them undeserved credence, need to at least wonder as they compulsively quibble about the extent to which they bear responsibility for the consequences for the American public of our delay. The threshold for action should not be the overwhelming evidence that is already in place. The threshold should be sufficient evidence to take out an insurance policy to protect the American public. We passed that threshold a long time ago. Finally, I would like to talk about sustainability. I chaired a National Academy of Science-National Research Council committee. We began by recognizing that the increasingly complex challenges of today require us to make effective tradeoffs among the environment, economic and with health, and social issues. We learned much about the actions that are already taking place, and we have developed a framework, which I have here and I would be willing to hand out, and it is part of my written testimony, that we believe will lead to improving our ability to meet these increasingly complex challenges across all of the environmental areas. The goal asked for by the U.S. Environmental Protection Agency, by today's Environmental Protection Agency, is to be able to maximize benefit while minimizing risk. We have to be able to give the tools to EPA to cut across all these various things working with other agencies to make this happen. Finally, we can today either be optimistic about how far we have gone or pessimistic about the challenges of the future. Optimism or pessimism is classically defined in terms of whether we see the glass as half full or half empty. For a sustainable future, where we are now requires us that we must consider the glass to be twice the size it needs to be. We must be able to give EPA and other of our federal agencies the ability to right-size that glass so that we can move forward in the future and be able to respond to all the challenges we are addressing now and will meet in the future. Thank you. [The prepared statement of Dr. Goldstein follows:] [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Chairman Harris. Thank you very much, and I want to thank all the witnesses for testifying. We are going to start the questioning, and I will start the round of questioning with myself. I recognize myself for five minutes for questions. And again, thank you all because I think you all addressed exactly what we need to address, which is look, where have we gone and what it is going to cost us to go further. A recent EPA report entitled ``America's Children and the Environment'' found that a number of health hazards affecting children have declined including lead concentration, tobacco smoke exposure, children living in places that don't meet National Ambient Air Quality Standards, but the report also noted, concurrent with this decline, you have an increase in the rates of childhood asthma, and I know asthma was mentioned as one of the maybe chronic asthma may have gone down but childhood asthma has gone up despite these improvements. ADHD, autism, these have gone up. I am not sure these have environmental causes. We have new information all the time, because they are complex. But does the EPA have a credible scientific basis to claim that further regulations, and again, as we go on further with regulations, they are going to be more expensive as we go on, we have kind of done all the things that don't cost very much to claim that further regulations will reduce asthma, which has been claimed all along for all the regulations that were put in place, so despite the regulations that we put in place, asthma has increased, when the record shows that again childhood asthma is increasing despite what we have done. Do we really have the data, the scientific data, and I will ask you first, Dr. Goldstein, as you suggest we need rigorous scientific data. We may know associations, but as you know and I know, associations are not causes. They are associations. Do we have the data on childhood asthma? Dr. Goldstein. I think we do. Let me go back to a study that we did in New Jersey---- Chairman Harris. Let me just ask you then, if you think we have it, why has it gone up despite improvement in air quality? Dr. Goldstein. Well, again, the study we did in New Jersey, we were able to clearly identify that ozone was associated with emergency room admissions for asthma and explained eight percent of the variability. So if you are dealing with eight percent of the variability, 92 percent is due to other things. You can cut that in half, and so many other things are happening with asthma including changes in our diagnostic criteria and whatnot, you are not going to see that in these big, broader trends but you will have, as we have, clear evidence that ozone is associated with childhood asthma, particularly during the summertime months when it is increased. So eight percent of total asthma is important and is a public health hazard that should be dealt with. Chairman Harris. But as we have improved ozone, why hasn't childhood asthma gotten better? Dr. Goldstein. Well, again, sir, if you went from eight percent to four percent, you change from 100 percent to 96 percent in something that isn't very stable, that is going up and down because of physicians' change in diagnosis, change in pattern. I don't think that is a fair comparison. Chairman Harris. Okay. Ms. White? Ms. White. I am not a scientist but I have learned that there are a number of studies---- Chairman Harris. Can you put your microphone on, please? Ms. White. There are a number of studies which confound the association that Dr. Goldstein speaks about in terms--indeed, that show higher emergency room visits for asthma in the winter than the summer when ozone levels are drastically lower. Chairman Harris. Sure. And again, it is clearly a very complicated thing, and the problem is, is that we have testimony coming in that says we are going to save these hundreds of billions of dollars on childhood asthma when in fact I don't think there is very good evidence that we know what the real causes are, the complex interactions, and it seems we are going to spend a lot of money when we don't have hard evidence. Now, Dr. Goldstein, you previously served as the head of EPA's Office of Research and Development, served for a number of years on the Independent Science Advisory Board, and your testimony even mentioned the American Cancer Society cohort studies that have provided the basis for nearly all the Clean Air Act regulations in the last few years. Do you agree with the principle that the EPA should not be basing major regulatory decisions on science or data that is not publicly available, or phrased another way, shouldn't the EPA be making all this data publicly available if they are going to base major regulatory actions? Dr. Goldstein. It depends what you mean by publicly available. Certainly the peer-reviewed literature should be available and should be shown. If you are talking about the raw data---- Chairman Harris. Well, we have had issues about peer review here in front of the Committee so, you know, peer review is the eyes of the beholder who appear. As I know, I have been a peer reviewer, as you have been. Do you think it is not unreasonable to say if a major regulatory action is promulgated, that we should have access to the raw data? Dr. Goldstein. Sir, I would---- Chairman Harris. Most of these studies are federally funded so I am not sure what the reticence would be. Dr. Goldstein. I would strongly oppose having the requirement that raw data on something that is peer-reviewed be---- Chairman Harris. Thank you. My time is limited. Ms. White? Ms. White. I think of course it should because of all kinds of reasons to look at it because of the extent to which the EPA's use of that data in the study to found regulatory decision of national consequence and they rely very heavily on those two main cohorts, Pope and Laden, and actually dismiss toxicological studies that show a very different outcome. Chairman Harris. Sure. I imagine just as the FDA requires seeing the actual data. Mr. Trzupek, should the EPA release the data or make it publicly available? Mr. Trzupek. From my perspective, yes, of course, especially since my clients are required to be as transparent as humanly possible. I think at a minimum, the EPA should be required to---- Chairman Harris. And most of your clients, I take it, aren't federally funded? Mr. Trzupek. That is correct. Chairman Harris. Okay, whereas the studies are. Thank you. Ms. Bonamici, you are recognized for five minutes for questions. Ms. Bonamici. Thank you very much, Mr. Chairman. Thank you all for your testimony. Dr. Goldstein, in your testimony you mentioned, and I quote, ``the consequences to the American public of our delay in addressing the important issue of climate change,'' and you stated ``but the threshold for action should not be the overwhelming evidence that is already in place; the threshold should be sufficient evidence to take out an insurance policy to protect the American public, a threshold level that we passed a long time ago.'' And you go on to discuss the three levels of prevention: primary, to cut back on the causes of greenhouse gas emissions, secondary, to prepare to mitigate the consequences when they occur, and then you added that we want to avoid the tertiary prevention such as paying billions of dollars to help clean up after extreme storms. So we have heard a lot about cost-benefit analysis in this hearing, so will you please discuss and expand on why it is important to consider the costs of all three levels of prevention you mentioned in your testimony when weighing the costs and benefits of environmental regulation? Dr. Goldstein. Thank you. What I have said about an insurance policy is basically what Mayor Bloomberg said after Hurricane Sandy and what the insurance industry has been saying for quite some time. The insurance industry is now requiring people to consider, as they give out insurance, to consider potential issues related to greenhouse gas. There is no question that it is occurring and there is no question that we need to look at it. Primary prevention is always the best. We have lots of economic figures. I have always been amused by the fact that they usually come out with a 16 to 1 ratio, which is equivalent to an ounce of prevention is worth a pound of cure. We need to be able to prevent and we need to prevent by basically cutting down on greenhouse gas emissions in a way that is cost- effective. We can do it, we should be doing it but we need to really push hard to make it happen, and Congress needs to be involved. Secondly, we need to improve the resilience of our communities. We need to be able to be responsive to these issues. I chair a piece of the BP settlement, which at the request of the BP lawyers and the plaintiffs' lawyers that is providing--it is the Gulf Region Health Outreach Program, which is aimed at improving resilience on the assumption that there is going to be another major disaster in there and the community and the physicians and everyone else should know better to be able to deal with this. These are the kind of efforts that we need, but we shouldn't have to wait for a major disaster to cause litigation to fund it. We need to be able to build resilience now so that people can respond. Ms. Bonamici. Thank you very much. Mr. Trzupek and Mrs. White, you both have been on the regulatory side of environmental issues for a long time and you both suggest in your testimony that the regulations that EPA is currently pursuing are onerous, not shown to yield many benefits, and both of you assert in one form or another that the EPA may be exaggerating some of the health benefits and basically incorrectly evaluating the value of statistical life and health benefits. So I wonder if you could consider the high cost of health care in this country and the impact that that has on our deficit. Won't the cost of reducing air and water pollution yield savings to the health care sector and save this country money? Ms. White. I would be happy to respond. If you conclude, as I do, after an attempt to really scour how EPA builds their cost-benefit analyses, if you believe that they are imputing health risks at levels so low, way below the National Ambient Air Quality Standards, that there are probably not any measurable health benefits. Then the cost is not justified. And I give you an example. From the mercury rule, Utility MACT, as it is often known, EPA has acknowledged that it is probably the most expensive rule, single rule, that they have adopted to date, something like that I believe at adoption--at proposal they said it would be $11 billion in compliance costs, and adoption, I think they took that down to 10.6 or something like that. When you look in the Federal Register, not interpretation, but you look at the numbers where they get very technical, EPA acknowledges that .004 percent of what they calculate as benefit come from reduction of mercury and the others, all the other, which is, what, 99 plus plus plus, come from coincidental benefits from reducing fine particulate matter. Then I don't see how--what EPA calls the most expensive rule to date, which the National Electric Reliability Commission and others have said has most risk of electric reliability across the country because of the rule may lead to a rapid closure of a significant part of the older coal-fired power plants, then to me, the costs far outweigh the benefits. Ms. Bonamici. And I am afraid my time has expired, so if I could ask Mr. Trzupek to respond perhaps in writing? Chairman Harris. We will probably have a second round of questions. Ms. Bonamici. Thank you, Mr. Chair. Chairman Harris. Thank you. I now recognize the gentleman from Utah, Mr. Stewart, the Vice Chairman. Mr. Stewart. Thank you, Mr. Chairman. Thank you for taking the time to be with us today, Mr. Trzupek. I am envious that you will get off your Valentine's with only a simple dinner. I am afraid mine will be much more expensive than that. I am a former Air Force pilot. I would like to come at this at a 30,000-foot level, if we could. I actually would love to talk to you about the relationship between state and federal regulators. That was my original intent here. But I would like to follow up on Ms. Bonamici's question and re-attack this, if we could, again from a very broad perspective. I think most of us recognize that in a perfect world, we would be able to live without any environmental impacts at all, that we wouldn't contribute to those, that we wouldn't have any negative impacts, but of course, the real world, that is not the case. There is a tradeoff between our economic vitality between our way of life that we have come to expect and the great benefits of that and the environmental impacts of that. So the question I have, and of course, the great challenge that we have is balancing these tradeoffs between the economic and the environmental impacts, and I would like to ask you again in a big-picture sort of way, do you think we do a very good job at that, measuring the true economic impacts? Dr. Goldstein, you talked about the insurance. Well, if you have a $100,000 house, but it costs you $150,000 to insure that house, what is the true benefit of doing that? So do you think we do a good job of looking at the economic impacts? Has it become overly politicized, and ultimately, how can we do better at that? And Ms. White, could we start with you then? Ms. White. I don't think we do a very good job of that, and it is difficult to do. I think specifically in estimating costs, there should be a broader number of variables other than just compliance costs. But even more, I think we do a poor job of evaluating the benefits because ultimately when EPA promulgates a regulation, they are making a decision about unacceptable risk, which has so many different parts of it. Science, of course, is primary but science cannot give you a transparent point at which risk is acceptable. That to me is really a policy decision, and I think when Congress made those decisions--there is parts of the Clean Air Act that are very specific, and that is, I think, how we got lead virtually eliminated, the incredible success of the acid-rain program. That was when there were more prescriptive terms in the statute that bound EPA, that was the result of very heated debates by our elected representatives but they set implicitly or explicitly that risk level, and I think that is very, very important as in my judgment, the regulations that EPA is promulgating over the last four years have a measurably higher cost. Mr. Stewart. Mr. Trzupek? Mr. Trzupek. I think there are two things. One, all of the costs, benefits that the EPA claims are spreadsheet costs. They are theoretical costs. Nobody can put a witness in front of you who says my life was saved because I had one less microgram per meter of fine particulate ingested in my body. It is all on paper. The other thing is, it does not--none of these cost- benefit analysis factors in lost opportunity costs. There are great swaths of our industrial sector that have virtually disappeared from this country, not solely because of the EPA regulations but in large part because of them. We sell, for example, state-of-the-art, cleanest, most efficient coal boilers in the world to China but we don't build them here, we don't install them here. We don't have that industry burgeoning here, which makes no sense for the environment or the economy, and there is many, many examples of that. Mr. Stewart. Yes, sir? Dr. Goldstein. Well, looking at it as a non-economist, I look at this from the point of view of what kind of numbers are coming that are believable and not believable. So what we have got is a number of 230,000 over 30 years as pointed out by Ms. White as being something that she doesn't believe. She feels it is an overestimate of what the fine particulates is responsible for deaths, 230,000 over 30 years. Ms. White has told you that benzene is a major problem. I have published over 100 papers on benzene. Yes, I like to hear that. But Ms. White, using the same methodology, EPA has looked under section whatever of the Clean Air Act as required to do cost-benefit, did the same methodology for cost-benefit on benzene, looked specifically at the Houston area because of all the great things that have been done there of how many lives have been saved over that 30-year period. We have heard from Mr. Trzupek that EPA likes to exaggerate, so what number did they come up with? They came up with three: three lives over 30 years using the same methodology, going through the same science advisory board that basically beats the hell out of them each time about are you doing this right, and they came up with three. So frankly, they are not exaggerating. They can't possibly have come up with three for them and for Houston and for 230,000 probably work out to 3,000 lives would be their estimate for there. You have got 1,000-fold difference and yet you are saying that we ought to focus on benzene, which I would like to see, but also we want to focus on benzene rather than on fine particles? Makes no sense at all. Mr. Stewart. Doctor, if I could, just very quickly in 5 seconds, I am assuming from your answer that you believe that they do do a good job of evaluating those economic impacts? Dr. Goldstein. I do believe--I don't believe the number 230,000. I don't know whether to believe it or not, but I do believe that it is a lot bigger than the benzene number, and I do believe that one cannot accuse EPA of routinely overestimating if it says that for a 30-year period or equivalent to a 30-year period for the entire Houston-Galveston area three lives were saved from its benzene actions when that is using exactly the same methodology that it has used for fine particles. Mr. Stewart. Mr. Chairman, I yield back. Thank you. Chairman Harris. Thank you very much. I now recognize my colleague from Maryland, Ms. Edwards. Ms. Edwards. Thank you, Mr. Chairman, and to the Ranking Member, and also thank you to our witnesses. You know, I said I read all of your testimony, and I will just say for the record, I am a proud member of the Sierra Club. I was on the board of the League of Conservation Voters, both in Maryland and nationally. I love the work of the National Resources Defense Council. I worked with the Chesapeake Bay Foundation. I care deeply and passionately about my environment, and not because of a prophet of doom, not because I am a socialist, not because I am an alarmist or an extremist, not because I shriek, not because I am ecoradical or a hysterical enviro type, and not because I am part of a green tyranny, and so I would hope that we could actually have a conversation about the environment and the importance of the government's role in regulating our environment for our clean air and our clean water because people like me who have been advocates for our environment come from it because we are concerned citizens in our community. I look at the work that I have done over the years living in the metropolitan Washington area that is not anywhere near my colleague's district on the Eastern Shore and yet I care deeply about protecting our Chesapeake Bay from stormwater runoff that is created here in the metropolitan area because we have such huge impacts. Now, that doesn't impact my community but it does impact my state where hundreds of thousands of jobs are at risk, where our bay could have been dead had it not been for the great work of the Environmental Protection Agency and our state in making sure that we preserve and protect our bay, and where billions of dollars of commercial interests are at stake if we don't protect that bay for jobs and our overall economy. And so I hope we can get way from the name calling and really focus truly on what it is going to take from all of us in business, industry, in the private sector, in our federal and state governments and our local communities to preserve and protect our environment, to clean our air and our water. When I was a young working mother, I caught a bus on the side of a road, a highway, and every day I would stand there with my son in a stroller while the emissions were pouring out of every single vehicle going across the highway, so do I think it is a great idea that those emissions are now regulated, that our air is getting cleaner? It is not quite there yet. Do I think it is a good idea that we have made investments in clean fuel transportation so that people like me, young moms standing on the side of the road to catch a bus, are they and their children breathing in that air? Absolutely I do, and the role of the Federal Government is to make sure that it protects citizens like me. And so with that, I want to ask Mr. Trzupek a couple of questions. In your testimony, you stated that the environmental industry agree that we are at a crossroads but solutions operate at two extremes. You state further that if you don't support new environmental initiatives and every new EPA program, then you therefore support a return to the bad old days of unlimited, unrestrained ecological damage. What exactly is the other extreme of that argument that you posit, and have you heard such an argument ever presented in this Committee or this Congress? Mr. Trzupek. By this Committee and this Congress, no, and I believe I qualified that statement, that there are certain environmental extremists who are invested in this kind of culture of doom and that that is the message that we hear, I hear from that end of the spectrum. Ms. Edwards. And so who are those people exactly? Mr. Trzupek. Who are those people? Ms. Edwards. Yes. Mr. Trzupek. I hear that from environmental activist groups. I have heard that from Sierra Club members. I have had that debate with the Illinois chapter of the Sierra Club. I have heard that from NRDC and others. Ms. Edwards. Well, as I said, I mean, I am a member of one of those groups and I am neither an extremist or an alarmist but I am concerned about our environment. Also in your testimony, as you said, you have provided a fair amount of criticism to the Sierra Club, the NRDC, researchers, academia and industry. You said that, ``the relevance depends on them discovering, quantifying and publicizing sources of risk.'' Do you think that they are making it up? Mr. Trzupek. I think they are vastly exaggerating it. We live in a world of risk. There is risk associated with the emissions from our own breath. You can find a few parts per billion the pollutants that people would say that is a carcinogen in your own breath. I think it is the magnitude of risk that is routinely exaggerated. Ms. Edwards. Well, I mean, what you have just described is actually way more extreme than I have ever heard in any of my Sierra Club meetings. You have also stated that it is the advantage of some commercial sectors to create a climate of fear. What do you mean by that? Mr. Trzupek. I mean that there are people, and you will see the commercials like for example, an indoor air purifier that uses ozone to purify the indoor air, the very pollutant that Dr. Goldstein and others have said we need to protect ourselves from, and--but people sell those kind of products, taking advantage of that kind of climate of fear, that your air is bad inside so you need this protect. Ms. Edwards. I know my time has expired. Can you just tell me your scientific background and your scientific research background that qualifies you to make those statements? Mr. Trzupek. I am a chemist. I don't have a scientific research background, and my experience has wholly been in the field of air quality for the past 30 years. I have participated in EPA committees. I have taught a number of classes at different universities and for different organizations. Ms. Edwards. And for the record, you have also challenged climate science as pseudoscience but you haven't done any climate science research, right? Mr. Trzupek. I haven't done any climate science research. Ms. Edwards. Thank you. Chairman Harris. Thank you very much. I now recognize Mr. Weber for 5 minutes. Mr. Weber. Thank you, Mr. Chairman. Kathleen, good to see you. A quick question for each three of you. Is it possible to have too much clean air or clean water? Ms. White. That is often said, why do we worry about regulation because you can't be clean enough. In a perfect world, if we were not constrained by space, time and resources, that would be true, but I find human life is--and my father used to say nobody gets out of this alive--is fraught with dangers and all kinds of risks that we make all kinds of decisions about. I think when--again, what I call the most robust sciences that can really demonstrate causation, the impact of a certain pollutant level on the way the lungs and heart work. When that is absent from the manner in which EPA sets regulatory limits or calculates benefits, and I will give you an example, and we have talked on and off and we have been answering questions about fine particulate matter. EPA gets to this number of 230,000, if that was the number, Dr. Goldstein, lives at risk of early deaths, the phrase they use, by going way below the National Ambient Air Quality Standards by law the Clean Air Act requires those are set to protect public health with a margin of safety regardless of benefit, very conservative standards as they are stipulated in federal law. EPA finds risks way below that in these epidemiological studies that show a correlation between a change in death rate and a fine particulate matter level way below that lowest measure of the study down to zero, and when they did that, what statisticians call extrapolation, you go from where you have data, you assume, well, if I have it here, I bet that goes to the unknown, that increased the number of so-called early deaths from 88,000 fourfold to 320,000. That I do not think justifies regulation that impacts the whole economy. Mr. Weber. So Mr. Trzupek, I will get you to weigh in on it. Let me ask the question this way. It is probably not possible to have too much clean air and too much clean water but it is possible to have too much or too many regulations which negatively impact our productivity in such a way that the benefits are far outweighed by the costs. Would you agree with that? Mr. Trzupek. I would. At some point you hit a point of diminishing returns. Since we are talking fine particulate, I will highlight the recent boiler MACT regs that were finalized by EPA, which affect industrial boilers. Fine particulate reduction attributable to boiler MACT is 0.3 percent of all the fine particulate yet we hear what a massive benefit this would be. Well, if that is true, the majority of fine particulate in the air, according to EPA's own data, the vast majority comes from what they call miscellaneous sources. Those are non- transportation, non-industrial sources. Those are natural sources and consumer products and everything else. Well, if that .3 percent reduction is really as incredibly worth it as EPA says, we should go after that 96-plus percent from natural and other sources, and obviously we are not going to do that. That makes no sense. We have gotten all the low-hanging fruit, and there is very little point for going for those things that have such a monumentally small benefit. Mr. Weber. Thank you, and I will ask you the same, Dr. Goldstein. Dr. Goldstein. I think Ms. White basically has given the answer. Eighty-eight thousand deaths above the threshold is a very major public health problem. We have to meet that problem. But of course, sir, there is certainly no need to get the very last molecule of benzene out of the air. We can have one molecule. Mr. Weber. So you can have overregulation? Dr. Goldstein. Of course. Mr. Weber. The best way to have a perfect clean air and water in the world, you talked about, Kathleen, was maybe to move to the Pacific Ocean on an island. Now, your quality of life may be really reduced but you will have perfect clean air and clean water. You know, in Texas, we have got 1,300 people a day moving there. I think they are voting with their feet. We have done a good job of cleaning up our air and water, and Kathleen White would know that firsthand. We believe that the TCEQ, our environmental regulatory agency, the second largest one in the world, who was proactive--actually, it was train wreck, or TNR---- Ms. White. TNRCC. Mr. Weber. TNRCC, we called it, Texas Natural Resource Conservation Commission, and then the Texas Water Quality Board before that back in the 1960s, was it, Kathleen, 1970s? Ms. White. Sixties--well, and this is a state issue, but the legislature combined our health and human services agency with the water agency. Mr. Weber. So we were environmentally friendly. What is that old country and western song? ``I Was Country before Country Was Cool''? Texas was actually environmentally friendly before it was fashionable, before being green was fashionable. Ms. White. We had a state clean air act before the federal clean air act. Mr. Weber. And our economy shows that. Thank you very much. I yield back. Chairman Harris. Thank you very much, Mr. Weber, and we have time, I think, for a second round of questions, and I will open that second round and recognize myself for five minutes for that. Ms. White and Mr. Trzupek, an important check or important checks on EPA science are independent scientific advisory panels like the agency's Science Advisory Board and the Clean Air Scientific Advisory Committee. In your view, are these bodies independent and objective? Because obviously we want to have independent, objective bodies, panels reviewing data before we come up with costly regulations. Are they? Ms. White. It is very difficult for anyone to be 100 percent objective, but from what I have learned on many of these panels, unfortunately, the majority, if not all of them, sometimes derive a significant portion of their income or almost all of their income or the institute at which they work from EPA studies, and so it seems to be--in fact I think on some of those panels, people from a state like me would love to see like state regulators and a much broader group from that and also people from more diverse scientific disciplines, which has also been recommended by the National Academy of Science. Chairman Harris. Mr. Trzupek? Mr. Trzupek. I would agree. From my perspective, everybody has their own particular blinkers on, and I would include myself. We all do. But in my opinion, CASAC especially is very heavily weighted on the academic, environmental advocate side with very little checks in CASAC on that particular perspective, and I would like to see them particularly reformed. Chairman Harris. Dr. Goldstein, you have helped to appoint and serve on these scientific advisory bodies, and my observation in medicine is not every good doctor is in an academic institute. Some actually are in private fields and they bring something to the table there and they add to the subject, so would you object to the inclusion of qualified scientists or more qualified scientists from the private sector serving on these panels addressing Ms. White's complaint that it appears there is a little inbreeding going on? Dr. Goldstein. Yes, as long as I can qualify it by saying that Ms. White is, I think absolutely wrong by saying that the EPA is funding most of these scientists if the majority of the funding comes from EPA. I think the head of Research and Development at EPA would love to have the kind of funding hat would allow them to give the majority to CASAC members. In fact, CASAC's members are folks who are funded to a large extent by the--to the extent that they are academic, by the National Institutes of Health and others. I will tell you that CASAC, at least when I chaired it, had a requirement from Congress that it have at least one of its seven members be a state official involved with air pollution and another be a physician. Chairman Harris. What about particularly private sector? Dr. Goldstein. I don't think there is a requirement for private sector---- Chairman Harris. Do you think that there ought to be? Dr. Goldstein. I don't know if there should be a requirement but we always had someone from the private sector on there, and I would strongly support that. Chairman Harris. Let me ask you two follow-up questions, something we have heard before, because the question was, well, are they radical environmentalists who propose some of things. Well, look, we had Josh Fox in his hearing room, who published Gasland. Dr. Goldstein, you are laughing. I am going to ask you, have you reviewed the EPA findings on Pavillion and Parker County and Dimock and all the rest? I mean, they come back and say basically there is no scientific basis for saying what we have said, walking it back. Do you think there is a sound scientific basis for their initial findings at Pavillion? I don't know, you may not have read the report and it may not be a fair question. Have you read the report? Dr. Goldstein. Not the final report. Chairman Harris. Okay, because it has a lot of benzene mentioned in it actually. But, when we talk about the huge costs of going to the next step in some of the Clean Air Act requirements and regulations, the $10 billion cost mentioned for the mercury rule, you know, the opportunity costs that Mr. Trzupek mentions are true because if we take those $10 billion instead of investing it in that, we invest it in research to address why childhood asthma, you know, what are those other 96 percent or 94 percent, I mean, what is the real cause, it is very complicated. I mean, we could boost the NIH research budget 20-fold probably for asthma or maybe 40-fold. I don't know. There is an opportunity cost loss when we decide that we are going to go down one pathway to regulate and spend and not use that money to perhaps more carefully define a complex scientific basis for solving our air and water quality. What do you think, Dr. Goldstein? Dr. Goldstein. Well, I agree with you up to the point of saying that first of all from the 1960s since I have been involved in it, I have heard over and over again these same arguments and then industry retreats from them, as it turns out that in fact they can do it at far less cost. And second of all, I have yet to see an example where Congress has moved money from one separate branch that is controlled by one committee to another branch. I have yet to see that kind of thing happen that you described. Chairman Harris. That is a valid argument, very valid. I recognize Ms. Bonamici. Ms. Bonamici. Thank you very much, Mr. Chairman. We had a lot of discussion about the role of industry in developing innovative technologies to reduce emissions, and I know, Ms. White, in your testimony you talked about prosperity and the importance of prosperity and how Los Angeles did a better job than China. I just wanted to suggest that perhaps that is because we do have strong environmental laws and regulations that motivate that innovation. I wanted to ask Dr. Goldstein to follow up a little bit about lead because Ms. White said a couple of times that lead has been virtually eliminated, and I wanted you to discuss the studies about that and also isn't there still work to be done? Dr. Goldstein. Well, yeah, ``virtually eliminated'' is simply too strong a term, I think, for what happens still in communities that have a lot of lead burden in their homes. Again, as a teacher, when I teach about environmental justice, I usually make the point that if something that was affecting the IQ of America's children was built into, say, suburban housing post war, say, the Formica tops, the tables, we would have gotten all that out by now. We haven't done that with the lead yet, and we still have homes with lots of lead. We still have kids who are affected. We have--I put in my testimony HUD's cost-benefit analysis of the tremendous value of taking the lead out of childhood homes. We simply haven't done it yet. So to say it is virtually eliminated, that is true for me, but it is not true for important segments of our population. Ms. Bonamici. And just to follow up, how much certainty was there in the science about reducing lead in the 1970s when the studies began? Dr. Goldstein. Well, in the 1970s and the 1980s, people have forgotten that the Reagan Administration took the last lead out and was based on a cost-benefit analysis that OMB bought and that it was costing more to have lead in than before, and that is at a time that CDC did not have as stringent a requirement as it has now based upon the new data. So that the lead issue, we were late on that as we have been late on a lot of these issues that we recognize now were causing significant adverse effects as I think I have testified that we are late on the global climate issues as well. Ms. Bonamici. Thank you. I yield back, Mr. Chair. Chairman Harris. Thank you very much. I recognize the gentleman from Texas, Mr. Smith. Chairman Smith. Thank you, Mr. Chairman. Mr. Chairman, when you gave your opening statement, I like your turn of phrase, ``the greatest story never told,'' and of course, you were referring to a number of ways in which the United States environmental metrics have been going the right direction. We still need to do better in a lot of areas but there is a lot of good news out there and sometimes that good news is ignored. Ms. White, I guess I can say Director White or Commissioner White, I wanted to address my first question to you, and you went into more detail in your written statement and I think you mentioned water qualify briefly in your oral statement, but I would like to go back and ask you if you feel that our water quality is important and how you can quantify that? Ms. White. And that is a difficult question. I think there is far better federal data on trends in air quality than there is in water quality, and for somewhat understandable reasons, I don't know what the extent of--how many hundreds of thousands of miles of every stream, small stream and then big river but there are a couple markers which I think again underlines a positive trend, a job not over, a regulatory job not over but very positive trends. We regulate public drinking water systems for, I think it is over 100 different contaminants, which is a good thing. We have very, very safe, and I believe as far as the last data I saw from EPA, 94 percent of all the public water systems in this country have perfect compliance with all the standards. Chairman Smith. How does that compare to, say, five years ago or ten years ago? Ms. White. Ten years ago, I think it was something like 70 some were full compliant so there has been a 20 percent---- Chairman Smith. Can you get me the data on that---- Ms. White. I would be happy to. Chairman Smith. --compared to today's 94 percent compliance with, say, five years ago, ten years ago, whatever it might be? Again, I like the trend, which is encouraging. Okay. Thank you. Mr. Trzupek, I wanted to ask you about air quality. You mentioned that that has been improved. The EPA actually says there has been great progress, although they say almost half the American people live in counties where there is an unacceptable level of air pollution. I wonder if this is a situation where both statements are accurate or if you challenge the data that the EPA is using. Mr. Trzupek. Well, that statement is possible only because of redefinition of the term ``clean air.'' Over the last 40 years, there has been 18 instances where the EPA has looked at National Ambient Air Quality Standards. In 10 of those, they have either reduced the standard or added additional standards that effectively did the same thing. So when you say you have all of these counties where people are living with unhealthy air, it requires that continual redefinition to make that happen. Chairman Smith. Okay. Thank you. And Mr. Goldstein, you mentioned, and we have heard about it many times recently including in the State of the Union address by the President, that several of the last few years are the warmest on record. Also, of course, if you look at the last 15 years or so, you see that the temperature has flatlined and has not gone up during that time despite predictions that it was going to do so. But my question to you is this, and I don't know the answer myself--I have asked it to a number of people and gotten a number of different answers. This goes to global warming, and to what factors do you attribute global warming? And if you can break it down as a percentage, that would be great too. You have human activity. You may have the influence of solar activity. You may have the influence or the historical cycles of temperatures going up and down, and of course, when we say it is the warmest on record, it depends on how far back you are going in the record too because it has been warmer before as well. But to what do you attribute global warming? Can you break it down and quantify it, or not break it down but give me what percentages is attributable to human, maybe to solar, it may be cyclical, or is it even possible to get to an answer? Dr. Goldstein. Everything I read gives the overwhelming amount to humans. We have had, I think in the last--if you look at the temperature records in the United States from, I guess, we are well over 150 years now, we have got the 10 highest of those 150, nine of them are in the past decade and the other one was in the 1990s. Something is happening. Chairman Smith. Well, that is true but as Mr. Trzupek just pointed out, if you change the standards or the methodology, you might end up with different results than you would have otherwise. But let me go back to my question again. Can you break down--I mean, you feel that most of it is attributable to human activity. Is it 51 percent, is it 91 percent? Does anybody know? Dr. Goldstein. Sir, I am not sure. I do know that to the extent that it is due--if it is due at all to a natural cycle involving the sun, we can't do anything about that. To the extent that it is due to human activity, and it is a very large extent, then we can do something about that part, and so whether it is 83 percent or 72 percent or---- Chairman Smith. Well, is the human contribution from the United States--everything I read is that it is below one percent, it may even below a half a percent. Is that generally accurate? Dr. Goldstein. No, I don't think so at all, sir. Chairman Smith. What part of it would---- Dr. Goldstein. I would say I would not--I am not an expert on that, but the---- Chairman Smith. So we don't know how much people in the United States contribute to global warming? Dr. Goldstein. Well, by ``we'', if you are asking me individually if I can tell you right now, the answer is I can't, but if I could go and look at the literature and look at what the various groups that have looked at this from, as I say, during President Reagan's day, the National Academy of Sciences in 1984. We can give you what is the range of---- Chairman Smith. Like I said, I have read it is below one percent, but I will wait to see if you feel differently. Dr. Goldstein. I would be happy to send---- Chairman Smith. Your answer is you don't know right now? Dr. Goldstein. I am willing to bet it is not one percent. I would be happy to review it and send you the materials, sir. Chairman Smith. Okay. Thank you. Thank you, Mr. Chairman. Chairman Harris. Thank you very much. I recognize Mr. Stewart from Utah. Mr. Stewart. Thank you, Mr. Chairman. Once again, I would like to maybe shift gears just a little bit, a little bit of focus, and bring in some examples and then maybe a question from that. I have worked for many years in the energy sector in environmental consulting. Energy development, I think most of us would agree it is a wonderful thing for us on many levels. It has the potential to revolutionize our world both economically and from a national security perspective as well. In recent years, the EPA has taken a fairly aggressive approach to some of the technologies that have allowed us to take advantage of some of our resources and has initiated lawsuits that were quite troubling to many people and some of these accusations made in their environmental impacts, and then of course, in virtually all these cases with fracking, the courts have not sided with the EPA and have decided that the science that they had based that on was not reliable. Another example of the point of my question is, Ms. Jackson has been quoted, and of course, this has created a lot of emotion for people, talking about some of the pollutants and the best advice--she said the best advice I can give you is don't go outside, don't breathe the air, it might kill you. These types of actions or public statements, again, people look to these people as leaders. They look to them as affecting public policy and they take seriously what they say. And I would ask you, do you think it harms public policy? Do you think it harms our confidence in these leaders, these environmental leadership when they take actions or when they make statements like this that create fear and concern in the public and yet prove not to be true? Ms. White. I say this from the perspective as a former chief of the state's large environmental agency. I think a fundamental responsibility in that job is to meaningfully, accurately communicate to the public and not to use a kind of rhetoric that invokes nothing but fear and people may credibly disagree about the degree of pollution and its impact on health and all of that, but you never, I don't think--to say it more appropriately, you rarely ever hear senior EPA officials try to communicate to the public the extent of the progress we have made, and again, not that we are finished with it, not that regulation does not play a role, but I think it is--I give you the example of mercury, which, as I think is a great concern to women who are having children or have young children because they are the most vulnerable, and when you have--again, it doesn't mean caution. It is an area where I would use the precautionary principle of course but when you have now like the Center for Disease Control study that shows in a national blood survey--again, they are never perfect but a national blood survey that the average levels are way below what is even the EPA's extremely strict standard. Those kind of things should be communicated to the public. Mr. Stewart. Dr. Goldstein, understanding that there is some disagreement among the witnesses, and we respect that, perhaps some of us here. When you hear these types of statements or when you see these types of actions initiated through the courts, which are not borne out, does that make you cringe a little bit? Do you think it hurts the advocacy, or what is your reaction to that? Dr. Goldstein. No question, we need to be based upon the best science and there is no question that there are bureaucratic things that are inappropriate. I can sit down over a drink and we can compare the U.S. EPA with my university as to which have the most bureaucratic inefficiencies built into it. So I don't doubt that you can reason by anecdote---- Mr. Stewart. You are going to have to buy a lot of drinks. Dr. Goldstein. I have been to a lot of universities. But, the issue of the EPA's aggressive approach on fracking, from where I sit in southwestern Pennsylvania, I don't see any slowdown whatsoever based on anything that the U.S. Environmental Protection Agency has done. So in terms of getting things right, I do not see the slightest bit of impact of the U.S. Environmental Protection Agency on how people are going about fracking except their concern that if they do it wrong, they are going to cause regulation to occur. Mr. Stewart. Yeah, exactly, and I agree with you, and the concern wasn't the impacts because it turned out there wasn't reason to slow that. My biggest concern was the public perception and the public concern and fear that was created by some of their statements and some of the accusations that they had made. Dr. Goldstein. Sir, we recently have a paper accepted for publication where we looked at what people were complaining of who believe that they have been adversely affected, and that is not an unbiased sample, but what are they complaining of and what is stressing them the most and 5, 10, 20 percent are saying they are being stressed by the noise, by seeing the trucks and whatnot. About 60, 80 percent, I don't remember the exact number, are saying they are being stressed by the fact that they think industry is lying to them. They think that things are being kept secret from them by industry. So we have got a situation in which--and I can tell you that the chemical industry folks that I speak to say that they think that the drilling industry and how they have gone about this, they are aghast at how poorly they have handled this. So what I see are people who believe that there is a problem because of what industry and state government is telling them, not because of what the federal government is saying. Mr. Stewart. Thank you, Mr. Chairman. Chairman Harris. Thank you very much. I recognize Mr. Weber. Mr. Weber. I want to follow up on what Mr. Stewart said, Dr. Goldstein, and I know that Kathleen Hartnett White will remember this, and you may too. There was a Region 6 EPA administrator who made the statement that in dealing with industry, you do like the Romans do when they invaded a country, you crucify the first five and then the rest of them will fall in line. Do you think that hurts the credibility? Do you think that adds to the public's perception that something is very, very bad wrong in this country? Do you think that furthers EPA's, if you will, mandate? I hate to use that word. Dr. Goldstein. No, sir, I do not. Mr. Weber. Okay. All right. Well, I am glad to get you on record as saying that. Let me go back to my earlier comments about it is not possible to have too much clean air and clean water but we can overregulate and we can negatively impact our quality of life. You know, we have got a study, for example, that shows in China it is no news to anybody that they are growing leaps and bounds and they are manufacturing coal plant, coal facilities. I think it was Mr. Trzupek that said we manufacture that clean-air technology over here but then we export it to China. And China has on the drawing board over 500,000 megawatts of coal generation in the coming years, and of course, you can take it over to India which also has over 500,000 megawatts. You drop back to the United States, which has only 20,000. Do you really believe, Dr. Goldstein, that if we negatively impact our industry and we put stringent requirements on them that those countries abroad are going to follow suit? Dr. Goldstein. I really don't know how to answer. I don't know what is going to happen. I do know that all of the studies that have been done in countries that have gone through rapid development, for instance, in Korea, show that in retrospect, they would have preferred to have more environmental controls. It costs them more money. Mr. Weber. Let me---- Dr. Goldstein. Forget the health. It costs them more money. Mr. Weber. Let me help you. You can answer it yes or no. Do you believe they are going to follow suit? I think we would have to agree no, they are not going to follow suit. We are going to negatively impact our industry over in this country. Mexico is not going to follow suit. If you believe that those emissions waft over here from Mexico--I was on the environmental reg committee in the State of Texas and was aghast to hear some of the rules that the EPA was promulgating. And Mr. Trzupek, I will direct this question to you. In the Texas legislature, we passed a bill that said before the TCEQ could promulgate rules on the industry, that they had to do what we would call an industry impact analysis to take into account. Would you think that would be good legislation on the federal level? Mr. Trzupek. I think that would be excellent legislation on the federal level, and I think Texas's success and their remarkable economic growth and while protecting the environment, it is one of the best states for people in my business to do business in. Mr. Weber. You bet. Mr. Trzupek. And I think that would be great to take to the federal level. Mr. Weber. Thank you. And I will direct my last question to Ms. White. The EPA took over our flex permitting. Was that last year or the year before last? About two years ago. Ms. White. About two years ago. Mr. Weber. Can you explain that to our panel here, Ms. White? Ms. White. Okay, and I will try to do this very briefly, and this has to do with--in my testimony, what I think as far as priorities for moving forward is the importance of, as I said, more vigorous science but targeted regulation that does not go too far. Texas developed a permitting program for major air emissions sources called the flexible permits, which gave the facility an emission cap for the whole facility instead of a cap on every emission point, which is EPA's traditional way of doing their major air quality permits called prevention of significant deterioration permits, and it was stricter as one standard but it enabled the operator to figure out how he was going to run that where maybe there were days he needed to ramp up---- Mr. Weber. Some fluctuation? Ms. White. Yes, ramp up production, but monitors showed most of those big industries in Houston that reduced emissions were under flexible permits. After 15 years EPA had never formally approved it but they had never---- Mr. Weber. And they were required bylaw to do that, were they not? Ms. White. And they were required by law. And in about 2009 or 2010, I think, they decided to disapprove it, and long story short, we legally challenged that decision and Texas prevailed. But here is the sad part of that. Many of those industries-- because when EPA disapproved it, it also sent a letter to 120 of our major industries that said you are out of compliance with the law being in compliance with the law, if you are out of compliance, you can't even operate. So most of those facilities deflexed. They went back and got a version which is actually the traditional, more shackling EPA permit, and we will see how that works out. Just one last point that I think is a very interesting one. In reading all that I do about these issues, someone noted that EPA regulation, as it gets more and more complex and layers and layers, makes business operate like a bureaucracy. You're certifying your certification of your certification instead of really trying to run your business tight and efficient so you reduce emissions becomes what you have to do, and that might sound like just a general statement, but I think that is really---- Mr. Weber. Scary. Ms. White. --scary, and how you design regulation, how you target, how you draw upon the creativity and motivation of the business owner to get the job done has, I think, greater environmental results. Mr. Weber. Thank you. Thank you, Mr. Chairman. Chairman Harris. Thank you, and I am going to recognize the Chairman of the Full Committee for a brief question. Chairman Smith. Thank you, Mr. Chairman. Congressman Weber's questions remind me of a couple questions I would like to direct to Dr. Goldstein, and this goes to EPA regulations as well. Would you favor, Dr. Goldstein, the public release of the cost of regulations before they are actually implemented so the American people would know what the economic impact would be before they are actually put into effect? Dr. Goldstein. Yes, very much so. Chairman Smith. Okay. Good. And secondly, if there were a number of ways to implement a regulation, would you favor implementing it in the least costly way possible if the same goal was achieved? Dr. Goldstein. Yes, of course. Chairman Smith. Okay. Good. The Judiciary Committee in the House of Representatives last year passed two reg relief bills to do just what I described, and they were opposed by the Administration, and they seem to be commonsense approaches to regulations, and so I thank you for your support of them. Thank you, Mr. Chairman. Chairman Harris. I thank you very much. Before we close, I am going to recognize the Ranking Member for a request. Ms. Bonamici. Thank you very much, Mr. Chairman. It has been an interesting discussion. I am not certain that the testimony presents to the full extent of what I believe we were here to discuss, the state of the environment, especially the impacts on public health of certain environmental laws, so I will be reviewing the testimony and where appropriate may be noting for the record where I believe clarification or additional explanation should be made. Thank you, Mr. Chair. Chairman Harris. Thank you, and I will reserve the right to object to inclusion of the material until my staff and I have had the time and opportunity to review it. I want to thank the witnesses for their valuable testimony and the Members for their questions. The Members of the Subcommittee may have additional questions for you, and we will ask you to respond to those in writing. The record will remain open for two weeks for additional comments and written questions from Members. The witnesses are excused and the hearing is adjourned. [Whereupon, at 11:39 a.m., the Subcommittee was adjourned.] Appendix I ---------- Answers to Post-Hearing Questions Responses by The Honorable Kathleen Hartnett White [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Responses by Mr. Richard Trzupek [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Responses by Dr. Bernard Goldstein [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Appendix II ---------- Additional Material for the Record EPA's Pretense of Science: Regulating Phantom Risks submitted by The Honorable Kathleen Hartnett White [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Memo, Re: Questionable Claims in Testimony from February 14, 2013 Environment Subcommittee hearing, submitted by Representative Suzanne Bonamici [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]