Via Electronic Mail

December 22, 2003

Mr. Alexander Cristofaro  (MC-1804A)
Small Business Advocacy Chair
U.S. Environmental Protection Agency
1200 Pennsylvania Ave., N.W.
Washington, DC  20460


     Subject:  SBAR Panel for  316(b) Cooling Water Phase
III Rule

Dear Mr. Cristofaro:

     I received your letter of December 4, 2003 regarding
the Small Business Advocacy Review Panel (Panel) for the
proposed Clean Water Act section 316(b) Phase III rule for
Cooling Water Intake Structures.  The formal notification of
the Panel was sent to the Office of Advocacy on September
23, 2002.

     As we recently discussed with the U.S. Environmental
Protection Agency (EPA), Advocacy concurs with the revised
partial list of Small Entity Representatives (SERs), that
have agreed to participate in the Panel process.  Advocacy
is continuing to work to identify additional SERs,
particularly in the chemical and steel industries.  This
process should be complete by the first week of January
2004.  Also, within the next few days we will be forwarding
for EPA's review a report prepared by our consultant that
evaluates the benefits estimate methodology, cost estimates,
and regulatory alternatives of the Phase III rule.  We
intend to make this report available to EPA, the Office of
Management and Budget (OMB), and the SERs as a resource to
use in reviewing the Phase III draft proposed rule.

     We understand that EPA would like to have a pre-Panel
meeting with the SERs in mid-January 2004 and convene the
Panel the following month.   We ask that EPA provide
supporting materials and, if possible, a draft regulatory
analysis in order to allow sufficient review time by Panel
members.  Adequate and timely information and data is
critical to ensuring that the Panel process yields
meaningful results.   We look forward to working with you
through this process.

Sincerely,
Thomas M. Sullivan
Chief Counsel for Advocacy


cc:  Arthur Fraas, Chief
     Natural Resources, Energy & Agriculture Branch
     Office of Information and Regulatory Affairs, Office of
Management and Budget