<DOC> [108th Congress House Hearings] [From the U.S. Government Printing Office via GPO Access] [DOCID: f:93283.wais] ARMY CONTRACT MANAGEMENT: COMPLIANCE WITH OUTREACH AND PUBLIC ACCEPTANCE AGREEMENTS ======================================================================= HEARING before the SUBCOMMITTEE ON NATIONAL SECURITY, EMERGING THREATS AND INTERNATIONAL RELATIONS of the COMMITTEE ON GOVERNMENT REFORM HOUSE OF REPRESENTATIVES ONE HUNDRED EIGHTH CONGRESS FIRST SESSION __________ OCOTBER 22, 2003 __________ Serial No. 108-136 __________ Printed for the use of the Committee on Government Reform Available via the World Wide Web: http://www.gpo.gov/congress/house http://www.house.gov/reform ______ 93-283 U.S. GOVERNMENT PRINTING OFFICE WASHINGTON : 2003 ____________________________________________________________________________ For Sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512-1800; (202) 512ÿ091800 Fax: (202) 512ÿ092250 Mail: Stop SSOP, Washington, DC 20402ÿ090001 COMMITTEE ON GOVERNMENT REFORM TOM DAVIS, Virginia, Chairman DAN BURTON, Indiana HENRY A. WAXMAN, California CHRISTOPHER SHAYS, Connecticut TOM LANTOS, California ILEANA ROS-LEHTINEN, Florida MAJOR R. OWENS, New York JOHN M. McHUGH, New York EDOLPHUS TOWNS, New York JOHN L. MICA, Florida PAUL E. KANJORSKI, Pennsylvania MARK E. SOUDER, Indiana CAROLYN B. MALONEY, New York STEVEN C. LaTOURETTE, Ohio ELIJAH E. CUMMINGS, Maryland DOUG OSE, California DENNIS J. KUCINICH, Ohio RON LEWIS, Kentucky DANNY K. DAVIS, Illinois JO ANN DAVIS, Virginia JOHN F. TIERNEY, Massachusetts TODD RUSSELL PLATTS, Pennsylvania WM. LACY CLAY, Missouri CHRIS CANNON, Utah DIANE E. WATSON, California ADAM H. PUTNAM, Florida STEPHEN F. LYNCH, Massachusetts EDWARD L. SCHROCK, Virginia CHRIS VAN HOLLEN, Maryland JOHN J. DUNCAN, Jr., Tennessee LINDA T. SANCHEZ, California JOHN SULLIVAN, Oklahoma C.A. ``DUTCH'' RUPPERSBERGER, NATHAN DEAL, Georgia Maryland CANDICE S. MILLER, Michigan ELEANOR HOLMES NORTON, District of TIM MURPHY, Pennsylvania Columbia MICHAEL R. TURNER, Ohio JIM COOPER, Tennessee JOHN R. CARTER, Texas CHRIS BELL, Texas WILLIAM J. JANKLOW, South Dakota ------ MARSHA BLACKBURN, Tennessee BERNARD SANDERS, Vermont (Independent) Peter Sirh, Staff Director Melissa Wojciak, Deputy Staff Director Rob Borden, Parliamentarian Teresa Austin, Chief Clerk Philip M. Schiliro, Minority Staff Director Subcommittee on National Security, Emerging Threats and International Relations CHRISTOPHER SHAYS, Connecticut, Chairman MICHAEL R. TURNER, Ohio DAN BURTON, Indiana DENNIS J. KUCINICH, Ohio STEVEN C. LaTOURETTE, Ohio TOM LANTOS, California RON LEWIS, Kentucky BERNARD SANDERS, Vermont TODD RUSSELL PLATTS, Pennsylvania STEPHEN F. LYNCH, Massachusetts ADAM H. PUTNAM, Florida CAROLYN B. MALONEY, New York EDWARD L. SCHROCK, Virginia LINDA T. SANCHEZ, California JOHN J. DUNCAN, Jr., Tennessee C.A. ``DUTCH'' RUPPERSBERGER, TIM MURPHY, Pennsylvania Maryland WILLIAM J. JANKLOW, South Dakota CHRIS BELL, Texas JOHN F. TIERNEY, Massachusetts Ex Officio TOM DAVIS, Virginia HENRY A. WAXMAN, California Lawrence J. Halloran, Staff Director and Counsel Robert A. Briggs, Clerk David Rapallo, Minority Professional Staff Member C O N T E N T S ---------- Page Hearing held on October 22, 2003................................. 1 Statement of: Arnold, Derrell.............................................. 127 Bronston, Willa.............................................. 128 Centofanti, Dr. Louis, president and CEO, Perma-Fix, Incarceration; Michael A. Parker, Acting Director, Chemical Materials Agency, U.S. Army; and John T. Stewart, Parsons Infrastructure & Technology Group, Incarceration........... 72 Crutcher, Gwendolyn.......................................... 128 Dell, Philip................................................. 126 Neal, Idotha Bootsie, commissioner, city of Dayton; Angela Jones, trustee, Jefferson Township; Mary Johnson, private citizen; Ellis Jacobs, attorney, Legal Aid Society of Dayton; Dennis Bristow, coordinator, Dayton Regional Hazardous Materials Team; and James A. Brueggeman, director, Montgomery County Sanitary Engineering Department 9 Ohui, General................................................ 129 Redfern, Jane Forrest........................................ 125 Rench, Laura................................................. 128 Tiller, Tom.................................................. 127 Letters, statements, etc., submitted for the record by: Bristow, Dennis, coordinator, Dayton Regional Hazardous Materials Team, prepared statement of...................... 57 Brueggeman, James A., director, Montgomery County Sanitary Engineering Department, prepared statement of.............. 61 Centofanti, Dr. Louis, president and CEO, Perma-Fix, Incarceration, prepared statement of....................... 73 Jacobs, Ellis, attorney, Legal Aid Society of Dayton, prepared statement of...................................... 28 Johnson, Mary, private citizen, prepared statement of........ 21 Jones, Angela, trustee, Jefferson Township, prepared statement of............................................... 15 Neal, Idotha Bootsie, commissioner, city of Dayton, prepared statement of............................................... 11 Parker, Michael A., Acting Director, Chemical Materials Agency, U.S. Army, prepared statement of................... 97 Shays, Hon. Christopher, a Representative in Congress from the State of Connecticut: Letter dated July 24, 2003................................... 121 Prepared statement of........................................ 3 Stewart, John T., Parsons Infrastructure & Technology Group, Incarceration, prepared statement of....................... 106 Turner, Hon. Michael R., a Representative in Congress from the State of Ohio, prepared statement of................... 7 ARMY CONTRACT MANAGEMENT: COMPLIANCE WITH OUTREACH AND PUBLIC ACCEPTANCE AGREEMENTS ---------- WEDNESDAY, OCTOBER 22, 2003 House of Representatives, Subcommittee on National Security, Emerging Threats and International Relations, Committee on Government Reform, Dayton, OH. The subcommittee met, pursuant to notice, at 12:37 p.m., in the Fred Smith Auditorium, Sinclair Community College, 444 West Third Street, Dayton, OH, Hon. Christopher Shays (chairman of the subcommittee) presiding. Present: Representatives Shays and Turner. Staff present: Lawrence Halloran, staff director and counsel; Robert A. Briggs, professional staff member/clerk; and Chris Skaluba, Presidential management intern. Mr. Shays. A quorum being present, the Subcommittee on National Security, Emerging Threats and International Relations hearing entitled, ``Army Contract Management: Compliance with Outreach and Public Acceptance Agreements,'' is called to order. Let me first thank Congressman Mike Turner for inviting the subcommittee to Dayton today, and for his thoughtful, diligent service as our vice chairman. His experience, his insight and his candor have added invaluably to our oversight. Obviously when it comes to reforming government, this is no freshman. We convene here because, as former Mayor Turner will not stop reminding us, everything and everyone in the world has some connection to Dayton. [Laughter.] As the people of Bosnia-Herzegovina know, what happens here can have international, even global, implications. The apparently local issue at hand is an Army subcontract for treatment and release of byproducts from the destruction of the chemical weapon VX. But what this community has experienced in the implementation of that contract will have a profound impact on how the United States conducts the process of meeting international treaty obligations for the destruction of VX stockpiles under the Chemical Weapons Convention. That process, pursued through Army contractors, makes local disposal of the VX dissolution byproduct, hydrolysate, specifically contingent upon the establishment and maintenance of public acceptance. The contract requires detailed, sustained and successful public outreach to build and maintain that acceptance, as it should. The necessary and noble enterprise of ridding the world of dreaded chemical weapons should not terrorize the localities involved with the technical jargon and vaguely characterized environmental risks. Civic understanding and approval are indispensable elements of this effort. Public confidence should not be diluted or destroyed with the VX. But the Army at times has appeared to forget, or regret, the critical public outreach and acceptance elements of the agreement. Alternatively attempting to ritualize, minimize or altogether shift responsibility for civic involvement, the government and its contractors have succeeded only in galvanizing public anxiety and opposition to the VX hydrolysate disposal plan. If only as a cautionary tale how not to forge a required popular consensus, testimony today will be of significant value as the Federal Government, States and localities pursue the important and challenging public business of chemical disarmament. On behalf of our members, all of whom will receive a complete transcript of today's proceedings, we welcome our witnesses and guests to this hearing. We look forward to a frank discussion of this community's experience and the lessons Dayton holds for the national chemical weapons demilitarization program. With that, I gladly give up the chair to the Vice Chair. [The prepared statement of Hon. Christopher Shays follows:] [GRAPHIC] [TIFF OMITTED] T3283.001 [GRAPHIC] [TIFF OMITTED] T3283.002 Mr. Turner [presiding]. Thank you, Mr. Chairman. I greatly appreciate the chairman having this field hearing and coming to Dayton. He is a leader in the area of national security and on issues of terrorism. He has pushed for U.S preparedness and for preparedness at the local level for responding to terrorist incidences even prior to September 11th. He has led our committee most recently on looking at issues such as the safety of our nuclear weapons stockpiles, nuclear power plants and air cargo carriers and has been a major advocate for increasing the safety in each of those areas. He has brought the full weight and authority of this committee on to this issue, and I do want to say that we would not be here but for his willingness to look at this issue. And I do believe that we would not be having the same outcome but for his interest and appreciation for what this community was attempting to do. We want to recognize our county commissioners and their efforts in trying to apply sound science and principles in their efforts to reject the permit of Perma-Fix. We have County Commissioner Curran here with us today, along with Vicki Peg and Don Lucas. They are to be commended for taking a stance on a regulatory basis and saying not in our community. And, of course, we have to congratulate Mary Johnson, Willa Bronston, Ellis Jacobs and Jane Forrest for all of their efforts in organizing the community. Angela Jones and the township trustees, what you have done in Jefferson Township in making certain that this is a regional effort and not just a community effort has been very important. This is very Dayton of us to have reached out together and sought a solution that we could all make certain that we could implement. The testimony today will give us an opportunity for everybody to give their input on the community-wide effort, talk a little about science, talk about intended policies, talk about--we will be talking a little bit about the international treaties that impact this process. We will be talking about processing contracts because that is the issue that really brings us here. It is important that we are having this hearing, but what is most important is that at the end of it we are expecting to hear from Perma-Fix and Parsons and the Army, the results of your hard work, and the resounding answer that this contract will be terminated and these materials will not be coming to our community. Having said that, I do have a written opening statement that I would like to read for the record. It says that the purpose of this hearing is to review the Army contract and subcontract management in the chemical weapons demilitarization program. As we all know, the Chemical Weapons Convention prohibits the development, production, acquisition, stockpiling, transfer and use of chemical weapons. Under this Convention, the United States must destroy the chemical weapons and chemical weapons production facilities it possesses. The United States currently maintains eight military sites with stockpiles of chemical weapons awaiting destruction by the 2007 deadline. The Army's plans for destruction of the Newport site was a two-step process of neutralization. Both steps were originally scheduled to be done at the Newport site. However, after the events of September 11th, chemical weapons stockpiles were believed to be vulnerable targets for future terrorist attacks. Accelerating the destruction of the Newport stockpile became a concern to the Army; thus, the second step of neutralization to destroy the Newport VX was contracted out. And last December, Perma-Fix of Dayton was awarded a $9 million contract to treat and dispose of the hydrolysate shipped from the Newport site. Mr. Chairman, no one in this community opposes the acceleration of the destruction of the chemical weapons. The problems in our community come from the Army's refusal to establish public acceptance for the planned transport and disposal. Our witnesses here today will testify that at best the Army has been inconsistent about its stance with regard to the level of public acceptance necessary. The Army has continually delayed responding to concerns and requests for information on the processes from local communities as well as this subcommittee. Thirty-six local boards and councils passed resolutions against the transport of hydrolysate at Montgomery County. Still Army claimed that it had sufficiently addressed public acceptance requirements of the contract. As a resident of this community, I am glad that the subcontract has been canceled. However, I am deeply concerned about the Army's unwillingness to recognize the problems inherent in its approach here in Dayton. Chemical weapons destruction is a sensitive issue that will require serious debate in any community that it might affect. Mr. Chairman, I want to thank you again for your efforts in working with me and allowing this hearing to go forward in our community. And to our witnesses, I want to thank them for their efforts in this great outcome for our community. [Applause.] [The prepared statement of Hon. Michael R. Turner follows:] [GRAPHIC] [TIFF OMITTED] T3283.003 [GRAPHIC] [TIFF OMITTED] T3283.004 Mr. Turner. On a procedural note, I will ask unanimous consent that all members of the subcommittee be permitted to place any opening statement in the record and that the record remain open for 3 days for that purpose. Without objection, so ordered. I ask further unanimous consent that all witnesses be permitted to include their written statements in the record. Without objection it is so ordered. If we would please have all of our witnesses stand on the first panel, I will swear you in. [Witnesses sworn.] Mr. Turner. Please note for the record that the witnesses responded in the affirmative. We have a very distinguished panel of community leaders. Our first testimony on panel one comes from the Honorable Idotha Bootsie Neal, Commissioner, city of Dayton. STATEMENTS OF IDOTHA BOOTSIE NEAL, COMMISSIONER, CITY OF DAYTON; ANGELA JONES, TRUSTEE, JEFFERSON TOWNSHIP; MARY JOHNSON, PRIVATE CITIZEN; ELLIS JACOBS, ATTORNEY, LEGAL AID SOCIETY OF DAYTON; DENNIS BRISTOW, COORDINATOR, DAYTON REGIONAL HAZARDOUS MATERIALS TEAM; AND JAMES A. BRUEGGEMAN, DIRECTOR, MONTGOMERY COUNTY SANITARY ENGINEERING DEPARTMENT Ms. Neal. Well thank you very much, Chairman Shays and Vice Chairman Turner. We really appreciate the subcommittee coming to Dayton, OH on a very important issue and allowing us to have as a part of the community record what the position is. Good afternoon and thank you for allowing me to speak before you today. In light of the recent decisions that have been announced regarding the proposed agreement between the Army and Perma-Fix of Dayton, I want to thank the House Subcommittee on National Security, Emerging Threats and International Relations for proceeding with today's hearing as a way to officially document the community's position. From the onset of discussions in March regarding the proposed agreement between the Army and Perma-Fix, I submit that the public has voted consistent and rational, fair in opposition on numerous fronts. The city of Dayton is on record as of 1 of 33 regional government agencies or organizations opposed to the proposed agreement. We believe such concerted and overwhelming opposition to the agreement is a clear signal of the public's sentiment. To ignore such evidence would be in direct violation of the requirement to gain public acceptance before any final agreement could be consummated. It is clearly a failure on the part of the key parties involved to galvanize community support and gain acceptance of the proposed agreement. In fact, despite attempts to educate and sway the public into accepting the proposal, the community used the information that was supplied as a way to clearly and rationally outline further public health concerns and justification for its opposition. The response by the community to oppose the Army's contract with Perma-Fix should in no way be considered a rash, impulsive reaction. The volume and scope of information that the public has effectively presented to help justify its opposition demonstrates that considerable thought and review went into reaching its conclusions. Experts in various fields carefully analyzed the impacts if the agreement were to take effect. Questions raised by the city of Dayton and Montgomery County environmental experts indicated that many issues were unresolved. The city of Dayton's own staff and environmental advisory board had outlined numerous unresolved issues even as last week's decision to terminate the agreement was announced. These included lingering questions about the reliability of the chemical detection levels as well as various transportation related concerns. The research and the analysis conducted by experts led them to essentially the same conclusion, that safety and operational issues of both the transportation and the treatment processes remain very much in doubt, and that the community could be negatively impacted as a result. The Montgomery County Commission relied on such expert feedback to deny the necessary permits required for Perma-Fix to perform its neutralization process. We commend and support the county in this very important decision. In addition, the formation of the grassroot organization called Citizens for the Responsible Destruction of Chemical Weapons of the Miami Valley illustrated the degree to which local residents were concerned about the proposed agreement. The group helped present good, cogent questions that needed to be addressed in a forthright manner. The filing of a lawsuit in Federal court further highlighted that the public was unmistakably opposed to the treatment of a toxic nerve agent in the community. The fact that we are even conducting this hearing today, given the circumstances that have transpired over the past 10 days, is compelling evidence of the public's strong opposition to the proposed agreement. Although we support United States and international efforts to destroy chemical weapons, this process must be completed in a manner that protects the public health of the surrounding community. Clearly, this was not the case at the Perma-Fix facility. It is obvious that the contracting parties in this proposal have not achieved the measure of public acceptance required for the contract to proceed. We are pleased that this lack of support played at least some role in the ultimate decision to terminate plans to move forward. That decision is most assuredly one that the citizens of Dayton do support. Thank you again for allowing me to present this testimony before you today on a very important issue to our community and our region. Mr. Turner. Thank you. Next we have the Honorable Angela Jones, Trustee, Jefferson Township. [The prepared statement of Ms. Neal follows:] [GRAPHIC] [TIFF OMITTED] T3283.005 [GRAPHIC] [TIFF OMITTED] T3283.006 Ms. Jones. Good afternoon, Mr. Chairman and members of the committee. It is a pleasure to be here today to present my views on steps taken by the Army, Perma-Fix and Montgomery County with respect to the satisfaction of public acceptance requirements in Montgomery County's contract with the U.S. Army and Parsons. In doing so, I want to stress that my comments are based upon information I am aware of in the capacity as a Jefferson Township Trustee, a position which I have held for 6 years. I have been invited to provide remarks regarding the extent to which I believe public acceptance measures of the contract in question have been fulfilled. However, it has been difficult to obtain a meaningful definition of what is meant by a measure of public acceptance for planned hydrolysate transport and disposal. During the mid-summer of 2002, representatives from Perma- Fix of Dayton met with Jefferson Township officials stating that they were considering pursuing a contract with the Army to dispose of VX Hydrolysate. Shortly thereafter, Perma-Fix met with Montgomery County officials, also advising them that they were considering pursuing the contract. The Trustees were advised that Perma-Fix had submitted an application to Parsons in September 2002, to dispose of VX Hydrolysate. Soon after, the Jefferson Township administrator and fire chief met with a review team from Newport, IN; Parsons and the U.S. Army during their site visit at Perma-Fix of Dayton. On December 26, 2003 an announcement was made that Perma- Fix of Dayton had received a limited notice to proceed and was awarded a subcontract from Parsons. Township officials met with Perma-Fix officials to discuss the best way to inform Jefferson Township residents of the award. After the announcement the townships were contacted--the township trustees were contacted by the citizens and urged to oppose the project. Perma-Fix then set up its first open house meeting, which was in January 2003. Officials from Perma-Fix, Parsons; Newport, IN and the U.S. Army were present with displays of showing the proposed process, general information packets and to answer questions from the Jefferson Township Community. After the first open house, it was clear to me that there were a lot of unanswered questions about the proposed project, the disposal process and how it would impact the health and safety of the township residents. Perma-Fix decided to hold a meeting in March 2003 to establish a citizen advisory panel. This meeting ended with the same unanswered questions. The citizen advisory panel was held to get citizens involved; however, the citizens did not wish to participate as a part of this panel. Rather, citizens came to the meeting asking pointed questions and to air their opposition to this process. This was clearly not public acceptance. Subsequently the Board of Trustees, in response to the concerns of the citizens and the inability of the Army, Parsons and Perma-Fix to adequately provide answers to specific health and safety questions, issued the following position statement on April 1, 2002: ``It is the position of Jefferson Township Trustees that the movement of VX Hydrolysate from Newport, Indiana to Parsons located in Jefferson Township, Montgomery County, Ohio is unacceptable. After receiving numerous calls from citizens and listening to their concerns at our monthly meetings and attending public information forums regarding the issues, we believe that there were several unanswered questions regarding the safety of the proposed project. This being the case, Jefferson Township Trustees unanimously oppose Perma- Fix's efforts to process the VX hydrolysate in Jefferson Township.'' The Montgomery County Commissioners passed a resolution on June 10, 2003 opposing the transportation and treatment of VX hydrolysate at Perma-Fix of Dayton's facility in Jefferson Township. The Montgomery County Commissioners also contracted with Dr. Bruce Rittmann from Northwestern University as an expert consultant to undertake an independent study of Perma- Fix's proposed treatment methods and their entire process. Dr. Rittmann concluded that he did not fully understand the impact of Perma-Fix's demonstration studies. In conclusion, I would like to state for the record there can be no public acceptance when the same consultant recommends that Perma-Fix should upgrade its existing process equipment and address current problems before committing to process VX hydrolysate. There can be no public acceptance when the process of treating VX hydrolysate while being on--while based on apparently scientifically sound steps has not been proven effective on a larger scale. There can be no public acceptance when the General Accounting Office issued a report in September 2003 criticizing the U.S. Army and the Department of Defense and their weapons-- excuse me. I am sorry. U.S. Army and Department of Defense for their management of the entire chemical weapons destruction program. This concludes my prepared statement. Thank you for the opportunity for appearing before the committee. Mr. Turner. Thank you very much. Next we will hear from Mary Johnson, who as a citizen of Jefferson Township has been one of the leaders of the opposition and is a member of Citizens for the Responsible Destruction of Chemical Weapons of the Miami Valley. [The prepared statement of Ms. Jones follows:] [GRAPHIC] [TIFF OMITTED] T3283.007 [GRAPHIC] [TIFF OMITTED] T3283.008 [GRAPHIC] [TIFF OMITTED] T3283.009 [GRAPHIC] [TIFF OMITTED] T3283.010 Ms. Johnson. Thank you for inviting me to testify today. I am Mary Johnson, a citizen of Jefferson Township and a member of the Citizens for the Responsible Destruction of Chemical Weapons of the Miami Valley. I am a retired registered nurse and certified nurse practitioner. I have been requested to speak on my experience with public acceptance. For public acceptance to occur residents must be informed. On January 23, 2003 an open-house meeting concerning a VX hydrolysate destruction plan was held in Jefferson Township by Perma-Fix after it had already received its contract from the Army. No great effort was seen to notify residents of the impending open-house meeting. My friend Willa Bronston contacted me. At the open-house meeting held during the day and ending at 6 p.m. there was small group sharing only. Folders of information were distributed, representatives of the Army, Parsons and Perma-Fix reassured us that nothing harmful remained in VX hydrolysate. Later Ms. Bronston and I discovered--I paraphrase--under certain conditions VX byproducts can revert to the VX agent. Plus the following: VX is so toxic that it takes only 6 to 10 milligrams to kill in 15 minutes. Four basic methods are used to destroy VX--incineration, supercritical water oxidation, neutralization and biodegradation. All four of the basic methods are experimental and have major problems. None of the four methods had long-term studies to demonstrate safety standards. VX is an organophosphate that can interrupt fetal development producing birth defects, cause nervous system illnesses such as memory loss, Alzheimers, hyperactivity, attention deficit, multiple sclerosis and breathing problems, among others. We took this information from the trustees of Jefferson Township to the county commissioners to political representatives. Hugh McGuire invited us to his group meeting with Laura Rench, Michelle Cooper and later Jane Forrest Redfern. We joined and we named ourselves Citizens for the Responsible Destruction of Chemical Weapons of the Miami Valley. Because the contract between the Army, Parsons and Perma- Fix called for community acceptance, we focused on gaining resolutions from neighboring communities, agencies and social groups in opposing the plan. We obtained legal counsel, Mr. Ellis Jacobs of Legal Aid Society of Dayton. We went everywhere to discuss this issue, because it affected everyone in our midst. Our questions were not answered concerning criteria for company selection. Only a few first responders along the truck route were oriented. There was no response to city of Dayton Water Department manager, Donna Winchester's critical questions until long past her deadline. No answers were given on April 10, 2003 at the accountability meeting attended by greater than 200 individuals. As early as March 14, 2003, our attorney, Mr. Jacobs, filed a Freedom of Information Act request with the Army seeking information about the process used for choosing Perma-Fix, scientific information to process VX hydrolysate and information about VX hydrolysate. To date, no information has been received as a result of that request. The Ohio Environmental Protection Agency and Regional Air Pollution Control Agency told us there were no rules nor permits to prevent VX hydrolysate from coming to our community. Numerous nuisance violations have already been assessed against Perma-Fix. The fumes emitted from Perma-Fix makes one's head reel with disorientation and dizziness, provoking nausea and sometimes vomiting. Further, representatives of the Army, Parsons and Perma-Fix said the VX hydrolysate plan could not be carried out in Indiana because, ``the expense was too high, the standards were too stringent and the oversight too great.'' After sharing this information with all jurisdictions and agencies encountered, 37 neighboring municipalities and agencies passed resolutions opposing this plan. Dr. Bruce Rittmann, the expert selected by Montgomery County Commission confirmed our assessment that this project had too many unanswered questions and too many risks to be performed in a residential area. In conclusion, we support the government's effort to destroy these weapons of mass destruction, but not in a residential area or where children will be placed at risk. We recommend that the local, State, Federal Governments and agencies collaborate with citizens, scientific experts and the military to resolve this issue. I thank you all for inviting me to speak. Mr. Turner. Thank you, Ms. Johnson. [Applause.] Mr. Turner. The Chair has reminded me that this being a public hearing it would be inappropriate for us to have applause. Mr. Shays. Put the blame on me. [Laughter.] That is very necessary, frankly. Mr. Turner. I appreciate that reminder. Next we will have Ellis Jacobs of the Legal Aid Society. [The prepared statement of Ms. Johnson follows:] [GRAPHIC] [TIFF OMITTED] T3283.011 [GRAPHIC] [TIFF OMITTED] T3283.012 [GRAPHIC] [TIFF OMITTED] T3283.013 [GRAPHIC] [TIFF OMITTED] T3283.014 Mr. Jacobs. Mr. Chairman, thank you very much for bringing the subcommittee hearing here today. It may surprise you to know this, but we do not get a lot of this kind of attention from Washington, and we certainly do appreciate it. Congressman Turner, you answered the call. The community expressed their concerns to you and you were there and pursued this issue. I thank you and I know the entire community thanks you. Let me first--it has been my honor to represent the community organization that has taken an interest in this issue. Let me first say that everybody in this community thinks it is an important task to destroy the VX nerve agent that is stored at the Newport Chemical Weapons Depot. We think that it should be destroyed as quickly as possible, but it was never necessary to ship the VX hydrolysate offsite in order to pursue the accelerated neutralization schedule. And you can see that by the fact that it will not be shipped today is not going to delay the destruction of the VX at Newport by 1 day, by 1 minute. The Army always had available to them the option of destroying the VX as quickly as they were able and then storing the VX hydrolysate onsite until they were prepared to take that second step. Hopefully that is what the Army will do now. And as soon as they are ready to proceed with the destruction of the VX they will be able to do that. No delay is necessary and no delay is warranted. And I should note that the VX that has been stored was created at the Newport Chemical Weapons Depot in the 1960's. It has been stored safely there for 40 years. At that site is a skilled work force that knows how to handle this substance, who is experienced in handling the substance. And the Army's original plan that Congressman Turner alluded to was a good plan. They need to go back to Plan A. When this community first heard about the attempt to bring it here, the VX hydrolysate, we said to ourselves, is it a good idea to take VX hydrolysate, 900,000 gallons of it, load it into tanker trucks, drive it down narrow, rural roads across busy interstate highways, up West Third Street in the middle of our community and treat it, using an experimental process at a facility, Perma-Fix, that has a very problematic environmental record, in the middle of a densely populated neighborhood. Well, the answer to us was obvious. People around me and the people I met said it is a no-brainer. I think the question that is worth asking is because we know the Army certainly has many good brains at its disposal, how was such a decision made, and were there opportunities to avoid making such an inappropriate decision that were not taken. And I would submit that there were at least three legal safeguards that had the Army followed them, they would never have made this inappropriate decision. And I will briefly go through each of them. The National Environmental Policy Act [NEPA], requires the Army and all Federal agencies, when they are undertaking major Federal actions that can impact the environmental, to do environmental impact statements. And in fact, the Army recognized that destroying VX nerve agent and destroying the VX hydrolysate is such a major action and so the Army did an environmental impact statement for Indiana. And I hold up a copy of it. As you can see, it is a substantial document--I resisted the temptation to put it into the record--a substantial document wherein they looked at everything that you should look at for just such a project. They looked at the nature of the topography, they looked at who lives nearby, they looked at what the emergency response capabilities were of the people that live nearby. What happened? Did they ever do such an environmental impact statement or update or supplement when they changed the plan and decided to bring the second half of this to Dayton? They did not. Clearly the law required them to do so, but this was a legal safeguard that they ignored as they moved forward with this idea. Another legal safeguard can be found right in the text of the law that mandates that they destroy these chemical weapons. It first appeared in the 1986 Department of Defense Authorization Act, Section 1412. And this act clearly reflects the concern of the Congress at the time that this sort of activity be handled in the most environmentally sensitive way. How does it reflect it? Very specifically. It says that in destroying these chemical weapons, you have to do it with maximum protection of the environment and in facilities designed solely for destroying chemical weapons. That's what you said, that is what Congress told the Army to do back in 1986. The Army ignored that. Clearly Perma-Fix is not a facility designed solely for destroying chemical weapons. Unfortunately, there was one court case where a private group, a citizens group, tried to enforce that law. The court never reached the merits of that contention, but they said that there was no implied private right of action. In other words, the Federal Government can enforce the law, but private citizens could not. Unfortunate because clearly the congressional intent was we want you to build facilities and do it somewhere where people are not around. They ignored that. And then finally, the final safeguard that I want to talk about today is the contract that has been referred to several times already here today. I brought a copy of it, I am afraid all of my documents have grown beards over time, but here it is. It again is a substantial document. And while destroying chemical weapons is a lot like brain surgery, interpreting a contract is not. Two simple things--you look at the specific language and you look at the context. The specific language, and I think it is remarkable language and very good language, talks about honoring public acceptance, getting and keeping public acceptance. And then the context within which that appears is a contract that requires the company to inform the community about what they are doing. And in fact, pays them handsomely to do that. Clearly the intent of this contract was that the company would seek public acceptance and in the absence of it, it would not go forward. Again, this community resoundingly rejected this thing and despite this contract, the Army had a difficulty turning around, as they should have. Three opportunities, three legal safeguards that the Army ignored. It is unfortunate. It brings us back to the question of why. Why was such an inappropriate decision made. I do not know and it is certainly a worthwhile question for the Army. Clearly Congress, NEPA and the act requiring the destruction of these chemicals wanted it to be done in the method most protective of the environment. Clearly the contract was designed to ensure that the community where this was going to be done would be accepting of it. But that was not done. I think the Army has a lot of questions to answer about why they choose to proceed as they did in this particular circumstance. Thank you so much for bringing your committee hearing here. Thank you for the opportunity to testify. Mr. Turner. Thank you, Mr. Jacobs. Next we will hear the testimony of Dennis J. Bristow, coordinator, Dayton Regional Hazardous Materials Response Team. [The prepared statement of Mr. Jacobs follows:] [GRAPHIC] [TIFF OMITTED] T3283.015 [GRAPHIC] [TIFF OMITTED] T3283.016 [GRAPHIC] [TIFF OMITTED] T3283.017 [GRAPHIC] [TIFF OMITTED] T3283.018 [GRAPHIC] [TIFF OMITTED] T3283.019 [GRAPHIC] [TIFF OMITTED] T3283.020 [GRAPHIC] [TIFF OMITTED] T3283.021 [GRAPHIC] [TIFF OMITTED] T3283.022 [GRAPHIC] [TIFF OMITTED] T3283.023 [GRAPHIC] [TIFF OMITTED] T3283.024 [GRAPHIC] [TIFF OMITTED] T3283.025 [GRAPHIC] [TIFF OMITTED] T3283.026 [GRAPHIC] [TIFF OMITTED] T3283.027 [GRAPHIC] [TIFF OMITTED] T3283.028 [GRAPHIC] [TIFF OMITTED] T3283.029 [GRAPHIC] [TIFF OMITTED] T3283.030 [GRAPHIC] [TIFF OMITTED] T3283.031 [GRAPHIC] [TIFF OMITTED] T3283.032 [GRAPHIC] [TIFF OMITTED] T3283.033 [GRAPHIC] [TIFF OMITTED] T3283.034 [GRAPHIC] [TIFF OMITTED] T3283.035 [GRAPHIC] [TIFF OMITTED] T3283.036 [GRAPHIC] [TIFF OMITTED] T3283.037 [GRAPHIC] [TIFF OMITTED] T3283.038 [GRAPHIC] [TIFF OMITTED] T3283.039 [GRAPHIC] [TIFF OMITTED] T3283.040 [GRAPHIC] [TIFF OMITTED] T3283.041 Mr. Bristow. Thank you, Mr. Turner. I am sorry I caused a little bit of disruption. I had to leave, we had an incident going in town. In my testimony I will reference Perma-Fix quite a bit because the majority of my dealings were with officials from Perma-Fix. But I believe that they were answering questions and maybe their lack of information that was provided to us was because of what they were being told by Parsons and the U.S. Army. So I just wanted to make that clear before I start. My first knowledge of the proposed neutralization/disposal of VX hydrolysate at Perma-Fix came from a local 11 o'clock newscast. the next day I received calls from various agencies in the Dayton area inquiring if I had further information about this news story. I waited a few days and after not being contacted by Perma- Fix, I went to the Perma-Fix facility and inquired about the news story. I was escorted into the plant and was introduced to a group of individuals said to be working on the project. I stated my concerns that none of the surrounding fire chiefs or myself had been contacted about the proposed disposal project. I was informed that the news media had caused problems for the project. The plans were to inform interested parties prior to the news media airing this type of story. I expressed the need for Regional Haz-Mat to be involved with the project because of our providing emergency response to all Montgomery County Fire Departments and my position of emergency coordinator for the local emergency planning committee. I was advised that someone from the facility would be in touch. A few days later, I received a call from I believe Tom Trebonik. The gentleman advised me he was heading up the project for Perma-Fix. During this conversation, I emphasized my concern about providing proper training and equipment to the fire departments and our haz-mat team. This material would be different from other types of materials we have dealt with. It would first be identified as a chemical warfare agent even if treated prior to transport to Dayton. I offered to help in any way with providing information and training to any and all first responders in Montgomery County. I informed Mr. Trebonik that I would like to attend sessions or meetings they may have with local first responders, and I was assured that I would be kept informed of meetings. A few weeks later, I was invited to attend a meeting at the plant that included representatives from the Ohio EPA, Ohio Highway Patrol and also the Highway Patrol's Haz-Mat Enforcement Agency, along with Montgomery County Health and Sanitary Departments. A picture was being painted by Perma-Fix representatives that was intended to make us believe that nothing could go wrong and there was no need for much concern. My position is to be the devil's advocate at this type of meeting and ask the tough questions. I did ask questions about the physical characteristics of the material, the plan for catastrophic releases of the material and the impact on the surrounding area if a release would take place. I inquired about the impact on the aquatic life if a catastrophic release would occur into a waterway during transport. My greatest concern was not the immediate impact on the environment, but long term devastation to our waterways and natural resources in general. I then asked questions about the impact on the neighborhood surrounding the Perma-Fix facility, both from routine processing and in the event of an unplanned release. After asking these questions, I sensed reluctance on the part of Perma-Fix to include me in planned meetings with local fire departments. On numerous occasions, I received inquiries from representatives from the Jefferson Township and Trotwood Fire Departments asking if I would be attending training sessions and tours at the Perma-Fix facility. Even though I had asked Mr. Trebonik to include Dayton Regional Haz-Mat in these sessions, we were not informed directly by Perma-Fix. It was only because of our excellent relationship with the fire departments involved that they contacted me and informed me of these meetings. I, along with other members of the regional team, attended these sessions and attempted to point out some of the critical points and the experimental basis of the disposal process. The information that was constantly being given to first responders was the VX hydrolysate is no different than a one quart can or bottle of Drano drain cleaner. This is not an accurate description of VX hydrolysate. In March of this year, I was asked to serve on the Perma- Fix Citizen Advisory Committee. While serving on this committee, I continued to ask the questions I had been asking since the original meeting at their facility. In my opinion, issues and answers to not only my questions but also those of others were often avoided, and sometimes smoke screens thrown up to dodge these questions. Occasionally questions would arise inquiring about the operation of the Perma-Fix facility, and no one at the meeting would have information. This occurred with Mr. Trebonik and the facility manager, Mr. McEldowney, present. These questions were general in nature, and one would presume those in attendance from Perma-Fix would have been able to provide these answers. It was clear to me that Perma-Fix did not intend to share information with us. It is also quite clear that the public will not accept the disposal of VX hydrolysate, as the disposal would be occurring within a few hundred feet of people's homes. Through all these meetings and conversations with Perma-Fix officials, I was treated with respect, and they were always courteous. Respectfully submitted, Dennis J. Bristow. Mr. Turner. Thank you. Mr. Brueggeman. [The prepared statement of Mr. Bristow follows:] [GRAPHIC] [TIFF OMITTED] T3283.042 [GRAPHIC] [TIFF OMITTED] T3283.043 Mr. Brueggeman. I am here representing Montgomery County Board of Commissioners. The county had to address two different questions. The first issue involved public acceptance based on the public health and welfare of our citizens and environment. The second involved the discharge of the treated waste into sewers to be treated at our Western Regional Treatment Plant. Many of the same questions asked about the health and welfare of our citizens were asked concerning the potential impact of this waste on our wastewater treatment process and the surface waters. When we were first notified that Perma-Fix would possibly treat the VX hydrolysate, the Commissioners and the Sanitary Engineering Department staff raised the same questions asked by the public. The Army and Perma-Fix assured us that public acceptance was a major determining factor in the final decision to extend Perma-Fix's contract from the lab testing to full scale operations. In June, the County Commissioners passed a resolution opposing the transporting and treatment of hydrolysate at the Perma-Fix facility located in Jefferson Township. This resolution was based on the Commissioners' concern over the safety of their citizens and the quality of the environment and the many unanswered questions. They also were concerned because impact of the treatment of the hydrolysate on Jefferson Township and on other Montgomery County communities was uncertain. Yet it appeared as if the Army, Parsons and Perma- Fix intended to continue pursuing the transportation and treatment of the VX hydrolysate. We knew very little concerning the impact the treatment of this waste product would have on the health and welfare of the local community, on the county owned wastewater treatment plant and ultimately on the surface water environment of the great Miami River. In order to better understand these potential impacts, we hired an outside consultant, Dr. Bruce E. Rittmann, to conduct a scientific review of the treatment process proposed by Perma-Fix. Dr. Rittmann is a professor at Northwestern University Illinois and has an extensive background in the treatment of hazardous waste and biological treatment of organic waste. Perma-Fix's proposed pretreatment process involves two phases, an oxidation phase and a biological degradation phase. The first phase of the treatment is an oxidation process. This process removes thialamine, one of the three Schedule II compounds. Removing thialamine eliminates the most odorous compound and eliminates any possibility of reconstructing the VX nerve agent once the pH is reduced. Lowering the pH also reduces the caustic problem. Based on this, the recommendation was made that the first oxidation treatment process should be completed at the facility in Newport, IN, regardless of where any additional treatment is conducted. The second phase of the treatment is a biological treatment of the aqueous portion. According to the Army, ``During biological treatment, bacterial would digest the more complex compounds in hydrolysate to form simpler compounds such as carbon dioxide and water.'' EMPA and MPA are the two remaining Schedule II compounds that are referred to by the Army. According to Dr. Rittmann's evaluation, this did not occur. Very little reduction, if any, occurred during the biological treatment process in the laboratory. In order to reach the concentration levels, Perma-Fix mixed the compound with other waste, reducing the concentration by dilution. Dr. Rittmann's report indicated two of the Schedule II compounds, EMPA and MPA, were partially reduced in the aqueous component during the oxidation step, but were merely diluted during the biodegradation phase. This dilution enabled Perma-Fix to claim they met the biodegradation standard and the discharge levels required by contract. The Army contends it is committed to safely destroying the VX agents stockpiled in Newport, which I do not question. They also contend all the major organic constituents of hydrolysate have been proven in a treatability study to be successfully removed or destroyed in the treatment criteria. Theoretically, biological degradation of the organic compounds is possible. The Army has inferred in a letter to one of our citizens dated July 31, 2003 that Perma-Fix and the Army will not discharge untreated chemicals or hydrolysate into the sewers or rivers. They indicated during biological treatment, bacteria will digest the more complex compounds in hydrolysate to form simpler compounds such as carbon dioxide and water. These statements are misleading in that EMPA and MPA would be discharged. There are no studies indicating these compounds would be completely removed in the county's wastewater treatment plant. There are no studies to indicate what these compounds would do once released into our rivers. This is a major question that has been asked and never answered. The dilution of the two compounds and the lack of an environmental toxicity test are the main reason Perma-Fix was denied the privilege of discharging the waste into our system. In addition, the Army has not provided all of the information requested by the county. The county prosecuting attorney requested on July 25, 2003 certain documents pertinent to the proposal by the Army to transport and treat the VX hydrolysate in Montgomery County. By letter dated August 13, 2003, the Army advised the county to resubmit the request for these documents. This was done on September 15 by letter and electronic fax. To date, nothing has been received. There is a lack of public acceptance, which on the surface appeared, until recently, to be ignored by the Army. The Army has not provided answers to questions asked by the officials and citizens. I would thank you for allowing us to present our views concerning this issue before your committee. [The prepared statement of Mr. Brueggeman follows:] [GRAPHIC] [TIFF OMITTED] T3283.044 [GRAPHIC] [TIFF OMITTED] T3283.045 Mr. Turner. Thank you all for your testimony. At this point, we will go to questions from the committee and we will begin with a 10-minute round of questions and begin with our chairman. Mr. Shays. First, Mr. Chairman, thank you again for pointing out the need to have this hearing. And I would say to the panelists, thank you for your very concise statements and to the point statements. I have conducted 16 years of hearings and the presentations by this panel was really quite outstanding. I also want to say for the audience as well. This is a congressional hearing, it is not a community meeting. We keep a transcript and we want to respect the comments of all the witnesses, both the first and second panel, and this committee is determined that both panels know this process is a fair one, one designed to get information and not designed to, you know, move public pressure one way or the other. So that is the basis for the hearings. The basis here is frankly from my standpoint as chairman of the subcommittee that we need to understand this process. The experience in Dayton is important for you; for the committee, it is important for us to know how it impacts all communities in the country, how do we achieve the objective we want. All of us, and the panelists have said this, we know we have chemical weapons. Why we ever made them in the first place, you know is obviously open to question, but we did as a country and as a world community agree that chemical weapons needed to stipulation. We had a convention that agreed that they would be and that we would then go through the process of destroying these horrific weapons of mass destructions. And we want these weapons to be destroyed, the chemical weapons. But we wanted to follow a process that is fair and safe and so on. I am going to ask some questions that will be a little redundant to some because some made the point in their statement, but I would like to get it all together in the form of keeping all the panelists responding to each kind of issue. I would like to know--we will go with you, Ms. Neal, and right down, when did you learn that Perma-Fix was going to be involved in this process? Ms. Neal. We were informed by a citizens group or residents from Jefferson Township. They officially came to our City Commission meeting, making us aware of the fact that a contract had been let and that there was going to possibly be movement of this chemical. We were not informed officially through letter that this process was going to take place by Perma-Fix or any other party. Mr. Shays. By Perma-Fix. Ms. Neal. We were not. It was clearly by volunteers and residents of the community who first made us aware of this. Mr. Shays. Ms. Jones, how were you notified, again? When did you first learn? Ms. Jones. I am trying to see if I can find---- Mr. Shays. I will come back to you. Ms. Johnson. Ms. Johnson. I found out on January 23, my friend Willa Bronston, called me and said did you know there is an important meeting taking place tonight. No, I did not. It was late in the afternoon, I was chilling. And so here I had to jump into some clothes, prepare and get out of there, and I did not know anything about it. I did not know what VX was. Mr. Shays. Thank you. Mr. Jacobs. Mr. Jacobs. I learned I believe in February from Mary and other people involved in the group. Mr. Shays. Mr. Bristow. Mr. Bristow. I really do not have a date, it was a local news station, WHIO, ran a story on the 11 o'clock news and it said ``Deadly Chemical Agent to be disposed of in Montgomery County.'' Mr. Shays. Explain to me your responsibility. It says Dayton Regional Hazardous Materials Team. Mr. Bristow. We are a hazardous materials team that actually serves the 41 fire departments in Montgomery and Greene County. We are made up of about 150 members, those 150 members come from the 40 different fire departments in the two counties. The municipalities, all 40 jurisdictions in the two counties, pay a per capita fee to Dayton Regional Haz-Mat and then we actually respond to the hazardous materials incidents and do the mitigation, stopping, plugging the leak, that type of thing. Mr. Shays. Mr. Brueggeman. Mr. Brueggeman. Yes, sir. We learned early on in December. Perma-Fix, along with officials from the Township, met with our staff to inform them of what they were considering. At that meeting, I also recommended that they talk to the County Administrator, they set up a meeting I believe, the following week. I am not sure on the dates, but it was early in December. Mr. Shays. And you learned from whom again? Mr. Brueggeman. Perma-Fix and the Township officials, I am not sure if there was a Township trustee there, but there was an official from the Township. Mr. Shays. Again going back, what steps--excuse me, Ms. Jones. Ms, Jones. Jefferson Township Trustees became aware of it the latter part of June-July 2002. Mr. Shays. Thank you. What steps did each of you take--and maybe it does not involve some of you as much. Mr. Jacobs, you basically became involved, attorney Jacobs, by residents and organizations that engaged your services. Mr. Jacobs. That is correct. Mr. Shays. OK. But I would like to know what steps did you take to solicit information about the specifics of what was happening? Ms. Neal. After having the presentation made before the City Commission, we directed our city manager who then directed our staff who is responsible for environmental issues to followup and have some initial concerns and feedback and a report. And we also had our environmental advisory board to look into the issue and make some recommendations as to what the position of the city of Dayton should be. Mr. Shays. Ms. Johnson. Ms. Johnson. I am sorry, would you repeat the question? Mr. Shays. Yes, I would like to know what steps did you take to get information. Ms. Johnson. Oh, we did a thorough research, we researched everything. And our main force was the National Research Council publication that had--the first article that I read about it was ``Super Critical Water Oxidation'' and it was a report on the method, the problems, the process. And there were major problems that occurred in Corpus Christi, Texas. And they were trying to scale up the method of super critical water oxidation and the salts that precipitated out destroyed the reactor. Mr. Shays. Mr. Bristow. Mr. Bristow. I went directly to Perma-Fix after the story on the 11 o'clock news. I waited a couple of days and had different fire chiefs calling me asking me if I had been informed. Also part of my position is the emergency coordinator for the local emergency planning committee, which is part of the State emergency response committee. And we have always had a good working relationship, Dayton Regional Haz-Mat has always had a working relationship with Perma-Fix. They provide lab facilities for unknown materials. So I felt comfortable with just walking in the front door and asking and they were very honest and open at that time with what they were doing, and explained to me that the process of informing the public really was circumvented by the news story that occurred the night before or a couple of days before. Mr. Shays. Thank you. Mr. Brueggeman. We had asked Perma-Fix for some of the information, as much literature as they had on it. They gave us literature, they gave us literature on some of the other processes and identification of the VX agent and its components and the hydrolysate. In addition to that, we got on the Internet and pulled off as much literature as we could. Many of the documents were similar to what was given to us by the public later on. Ms. Johnson and her group had done a good job of research also, which reinforced many of the things that we had. We then, because of the unanswered questions in our mind and the limited knowledge, started to look for an expert who could better help us identify what this was going to do. Mr. Shays. Could you for the record explain the significance of Schedule II compounds? Mr. Brueggeman. It is my understanding--I am not an expert in this area, but it is my understanding that when you break down the hydrolysate or when you form VX agent, you have three basic, what they consider, Schedule II compounds that are necessary to form the VX agent. When they hydrolycize the VX nerve agent, it breaks down into these Schedule II compounds and there are some other side compounds that are broken down. It is my understanding that if they lower the pH, there is a possibility, under certain conditions, that it will reconstitute and reform VX nerve agent. So you have to have all three of the Schedule II compounds available to do that, so if one is missing, it cannot be reconstituted. Mr. Shays. OK. Let me just ask each of you what kind of cooperation you felt you got from the Army, if you contacted the Army and from Perma-Fix. I do not need a lot of detail, but what kind of cooperation you received from each as you inquired, if you did inquire from either. Ms. Neal. Our staff inquired and I understand they provided limited information. Mr. Shays. From the Army? Ms. Neal. Yes. Mr. Shays. And from Perma-Fix? Ms. Neal. Yes. Mr. Shays. OK. Ms. Jones. The Township Trustees and administration had spoken with Perma-Fix on several occasions and one was indicated in the outline that we had asked that they would have more public involvement. I attended many of Perma-Fix and Parsons and the U.S. Army forums and at one particular meeting which was early on in March, I think it was March 18, it was right before they---- Mr. Shays. I need you to sit forward---- Ms. Jones. I am sorry. Mr. Shays. We want to make sure the transcriber is getting this. Ms. Jones. It was right before them considering the citizens advisory panel. Mr. Shays. Let me just ask, I do not need too much detail right now. What I want to just know in general is how you would rate the cooperation of both the Army and Perma-Fix in terms of your outreach to get information. I would want to know if you had information outstanding from the Army or Perma-Fix. I am going to actually start over again since I asked the question a little differently, with your permission. I am beyond my 10 minutes here. Ms. Neal, how would you decide the cooperation of the Army--your staff and so on--and Perma-Fix? Was it satisfactory or less than satisfactory? Ms. Neal. Less than satisfactory. Mr. Shays. From both the Army and Perma-Fix? Ms. Neal. According to the information I received, yes. Mr. Shays. And do you still have requests outstanding? Ms. Neal. My understanding is there are still unresolved issues and unanswered questions. Mr. Shays. Thank you. Information that you have requested, you have not received. Ms. Neal. Correct. Mr. Shays. Is that the same experience you have had, Ms. Jones? Ms. Jones. Unsatisfactory. Mr. Shays. Both the Army and---- Ms. Jones. Perma-Fix, yes. Mr. Shays. Thank you. Ms. Johnson. You are not speaking in the capacity of a government official, you are speaking as a community activist? Ms. Johnson. That is correct. Mr. Shays. OK. Ms. Johnson. Yes, it is unsatisfactory and I stated in my statement March 14 was filed a Freedom of Information Act request with the Army and we never received any response to this day. Mr. Shays. Let me be clear. Mr. Jacobs, do you work in conjunction with Ms. Johnson or---- Mr. Jacobs. I do. I represent the group whose name is too long to say that Mary is part of. Mr. Shays. OK, thank you. So maybe, Mr. Jacobs, you could provide a little more detail on this issue. Mr. Jacobs. On March 14, I sent a Freedom of Information Act letter to the Army asking for what I thought was relatively routine information about the decisionmaking process, how did they decide to send it here, a copy of the contract, a copy of standards, all the stuff that you would expect that you would want to see. And while there was some correspondence back and forth, to this date, I have not gotten the first document from the Army as a result of that request. Mr. Shays. OK. Let me just say for the record, any request that the Commission has made to the Army or to any other one involved in this process, whatever the decision is on whether or not to move forward in Dayton, we still will want that information, because this is an effort to understand the process and the process is important for us to understand. So we will keep working to understand that and we will try to assist you in getting information that you need to kind of close the record here. Mr. Jacobs. Thank you. Mr. Shays. Mr. Bristow. Mr. Bristow. Initially, there was great cooperation I think and our presence was welcomed and once they learned that we would not accept the canned answers we were getting and wanted more specific answers, the cooperation waned quite a bit. Mr. Shays. Both with the Army and Perma-Fix or just with-- was your contact with both or just with Perma-Fix? Mr. Bristow. Actually the contact was with Perma-Fix and it is just my opinion, you know, that the responses I was getting from Perma-Fix were just what the Army wanted them to release. Mr. Shays. Fair enough. Whether that is in reality true, the fact that is your perception is important to have on the record. Mr. Bristow. Thank you. Mr. Shays. Thank you. Mr. Brueggeman. Our cooperation with Perma-Fix or Perma- Fix's cooperation with us was very good. When we would ask for information, they would give it to us if they had it available. As the process went on, it appeared as if they were also asking permission to release the information to us and sometimes that was slow. But I think their intent to cooperate with us and our expert was great. The cooperation with the Army, as I indicated, we had asked for information and it was not provided. And it appears as if the Army's comments on the side were not very cooperative. Mr. Shays. Thank you. Let me ask a question just out of my ignorance in not knowing your government. Is the Jefferson Township part of your county department? In other words, do you do work for Jefferson, is there a connection there? Mr. Brueggeman. No, the county is the broader organization which is very different than municipalities in jurisdiction. The Township is a separate entity. Mr. Shays. But it is---- Mr. Brueggeman. It is within Montgomery County, yes. Mr. Shays. But they depend on you to do the Engineering Department---- Mr. Brueggeman. No, the reason why we are involved with Jefferson Township is that we have a regional wastewater treatment plant and the waste from Jefferson Township in that area would come into our treatment plant. Mr. Shays. I see. Mr. Brueggeman. So that is why we would be involved. Mr. Shays. Thank you. Thank you very much for your responses and thank you for your generosity in letting me go beyond my 10 minutes. Mr. Turner. Any time, Mr. Chairman. Mr. Jacobs, I want to talk to you for a moment about the environmental impact study that you were talking about. You were describing an environmental impact study that had been performed pretty extensively for Newport, IN, and that there was not, correspondingly, an environmental impact study for Dayton. And as you know, one of the issues that we ran up against when we were looking at the issue of public acceptance is that at one point an Army response that public acceptance, when it was clear it was not coming, would be redefined to be regulatory compliance. You were raising the environmental impact study issue is part of a regulatory compliance process. What I would ask you, for those who might not know, what types of issues might be different from Newport, IN and Dayton, OH that would have to be taken into consideration if an environmental impact study was done for this particular process. Mr. Jacobs. Sure. First let me say that the law, the NEPA law that requires you to do an environmental impact study is primarily a procedural law. So procedurally the Army would have been required to get with all of the political leaders in our area to meet and have detailed meetings with all of our environmental regulators and to gather information from all of them. If they had done that, then some of the things that they would have learned that are clearly different in our context than in the Indiana context, they would have learned that this facility is smack dab in the middle of a densely populated neighborhood where 3,000 people live in Drexel, hundreds of thousands of people live within several miles of this facility. In Indiana, it is in a relatively isolated rural area. The Newport chemical facility itself is 10 square miles. It is 2.6 miles from the closest population concentration which is Newport where 578 people live. So clearly the danger to a population is significantly different. They would have learned that the economic and racial makeup of the two communities is vastly different. Newport reported in the last census that there were no African-Americans that lived there. This community is 35 percent African-American. Newport reports 9 percent poverty rate; this community reports a 33 percent poverty rate. So clearly very disparate communities. They would have found out that a stone's throw away from the Perma-Fix facility is the Calumet School, a school for people with multiple disabilities. The day I went by the Calumet School, I saw students there leaving, being put on a school bus, all of them were in wheel chairs. How would that school be evacuated if there was a problem there? The Calumet School exists a stone's throw away from Perma-Fix. I doubt there is anything equivalent or certainly nothing equivalent that was identified in the EIS in Newport. Here the first responder would be the Jefferson Township volunteer department backed up by Mr. Bristow's folks. There, they have highly skilled haz-mat people onsite who know exactly what to do. They are just right down the hall presumably from where they would be doing this work. So the differences just go on and on and I tried to detail them in my testimony. But had they followed through on this process, they would have discovered all of this stuff about our community and the contrast between this community and the community where the material has been stored and was supposed to have been treated could not be--the differences could not be more dramatic. Mr. Turner. In following up on the chairman's question concerning public outreach, I want to first read a few sections of the contract which I think are important, and I want to focus to some extent on the Army's participation. If you look at the contract itself, there is a statement of work section and then in the section labeled 3, it goes on to label it as a work description. And it breaks down into waste transport, waste treatment disposal and then there is public outreach support, which Mr. Jacobs indicated that in the contract itself, there is a separate line item for compensation for that specific activity of the public outreach support. It is pretty exhaustive. The three paragraphs that I want to read is subparagraph (b) first. It says: ``The contractor and government shall retain primary responsibility for outreach.'' The next subparagraph in (e), it says ``Subcontractor outreach plans shall include an early initial subcontract activity involving public and government notifications and public sessions intended to establish a measure of public acceptance for planned hydrolysate transport and disposal work.'' Now if you look at this section where it says ``The subcontract outreach plans shall'' and then what it is intended to do and that is to achieve public acceptance, it is not open to question as to whether or not that needs to be done as a condition for this to move forward. It goes on to say ``Completion of subcontract work may be contingent upon the establishment and maintenance of public acceptance throughout the subcontract period of performance.'' The next provision is saying with the word ``may'' be contingent concerns the public acceptance being maintained throughout the period. But the initial paragraph in (e) talks about public acceptance having to have been achieved prior to going forward. And then if you go on to management support, 3.5 and subparagraph (c), it says that ``The subcontractor's program manager shall immediately notify the contractor's subcontract administrator of any conditions potentially detrimental to said contract work.'' And then it lists them, it lists them separately. It says ``public outreach acceptance issues, safety incidences, operational problems, regulatory issues.'' Each one are given equal weight and each one are broken out separately. If you go to the end of the contract at paragraph 6, performance, it says this statement, ``Initial public outreach activities to confirm public acceptance will commence immediately with notice to proceed.'' So all of the provisions of the contract relate to an effort of public outreach and information. Second then, a confirmation that public acceptance has occurred and even making it a contingent provision for this to begin, and a possible contingency for it to continue throughout the process. In focusing back on the paragraph that says that the subcontractor and the government shall retain primary responsibility for outreach, I would like to focus on the Army's outreach efforts. To the extent that you are aware or have participated, I would like to know about events or meetings that you participated in where the Army was present and what their statements were with respect to public outreach and with respect to public acceptance. We will start with Ms. Neal. Ms. Neal. As an elected official in the largest municipality contiguous to Jefferson Township, there was no official discussion with the elected officials from the Army. Mr. Turner. Ms. Jones. Ms. Jones. There were several and I attended all of those. There was not a lot of dialog between the Army, Parsons or Perma-Fix. As I had stated in my statement here, I think that there was one initial one where they spoke generally to different aspects of the whole process, but the majority of the meeting ended up where the citizens who came to the meeting at that point, they didn't want it. So they would come to the meetings and the meetings would then turn into input from the citizens of why they opposed it and ask questions, the same questions that they would ask at every meeting. So there was not a lot of information coming from them other than the community trying to get them to answer specific questions regarding health and safety. So if you ask me was there a lot of dialog regarding that, no, because the questions were not answered. Mr. Turner. Ms. Johnson, contact with the Army with respect to public acceptance. Ms. Johnson. Please. Mr. Turner. Ms. Johnson, the question is with respect to public acceptance and direct contact with the Army. Ms. Johnson. Whenever we asked questions, we never got responses. They knew that we did not want it and they ignored us. They did not return documents that stated why they were coming or whatever questions that we asked about how they went about making their decision. Mr. Turner. Mr. Jacobs. Mr. Jacobs. I attended mostly meetings that were organized by the community, but the Army would be invited to make a presentation and the thing I recall most was the Army's insistence that the material is just like Drano. And after-- citizens can pull down the MSDS sheet, the material safety data sheet on this, and read for themselves that 30 to 50 percent of VX hydrolysate are these complex Schedule II compounds that are not just like Drano, and are in fact rather dangerous. And to have the Army continue that mantra undermined all of their credibility and made it very hard for people to believe what they had to say about it. Mr. Turner. Mr. Bristow. Mr. Bristow. I would just have to re-emphasize what's been said up to this point. It appeared that if we were willing to accept a PowerPoint presentation that they gave and the flavor of that presentation would be how this material is safe and it will not harm you. It was always a quart of Drano. Although it was a 4,000 gallon tanker coming down the road, we were to relate it as a quart of Drano and not only would I ask questions but other people on the citizens advisory panel asked questions, people from the audience asked questions and it was always the same answer continuously, this material is not dangerous, this material is no more than a quart of Drano. And after the third or fourth time, people did some research and they knew that was not true. Mr. Turner. Mr. Brueggeman. Mr. Brueggeman. My first contact with the Army was at a public meeting at Jefferson High School. The thing that surprised me as Parsons and Perma-Fix seemed to be prepared for the meeting, the Army's comments seemed as if they were unaware of the public outcry that was occurring and they were misreading the intent of what people were asking them. It seemed like they took a different approach than I would have expected anyone to take concerning that this was a public meeting and the people had already voiced a lot of serious concerns. It did not look like they were prepared for it. Mr. Turner. On behalf of the committee, I want to thank all of you for testifying, and personally as a member of this community, I want to thank you for all of your efforts. Mr. Shays. If the Chair would yield. I just want to tell you, Mr. Jacobs, we do have--the committee does have a copy of the environmental impact statement as well as the subcontract, and we thank you for not requesting that it be inserted into the record, but it will be part of the record. Thank you. Mr. Jacobs. Thank you very much. Mr. Shays. I would also like to thank all of our witnesses, you did an excellent job. Mr. Turner. Thank you so much. We will then be going to our next panel, who will be joining us and I will introduce them when they come to the table. On the second panel is Dr. Louis Centofanti, president and CEO of Perma-Fix; Mr. Michael A. Parker, Acting Director, Chemical Materials Agency of the U.S. Army and also testimony of John T. Stewart of Parsons, Inc. We will be hearing their responses both to the testimony that they have heard and also hearing their testimony. Gentlemen, we appreciate each of you coming here today and being able to provide your testimony to our committee. We will begin by providing you with the oath that your testimony will be the truth to the committee. If during your testimony or during the question period there is anyone that you believe that you will be relying on for additional information, it would be appropriate for them to stand also at this time and to be sworn in. So if you would please stand, or anyone else that you would like to have testifying before the committee. [Witnesses sworn.] Mr. Turner. Please note for the record that the witnesses have responded in the affirmative. We will begin this panel with Dr. Louis Centofanti, president and CEO of Perma-Fix. STATEMENTS OF DR. LOUIS CENTOFANTI, PRESIDENT AND CEO, PERMA- FIX, INCARCERATION; MICHAEL A. PARKER, ACTING DIRECTOR, CHEMICAL MATERIALS AGENCY, U.S. ARMY; AND JOHN T. STEWART, PARSONS INFRASTRUCTURE & TECHNOLOGY GROUP, INCARCERATION Dr. Centofanti. Thank you. I appreciate the opportunity to speak. One, I have submitted a statement which includes quite a bit of technical information, and I think for the committee, the most important is probably lessons learned. At the end, we have tried to summarize seven major points as we look at this project. If anyone else ever tries it, hopefully they will look at that and answer some of those questions and issues raised. I think, you know, the community was very diligent, worked hard and consistent in opposing this project, and I think raised a variety of issues that--many are addressed in our seven points in terms of things that need to be done in the future. As an old college professor, I guess in retrospect this will be a great example of a case study, if anybody ever wants to look at it, on how to--what should be done or should not be done. You know, probably from our point of view, besides the seven points as you really look at them, there is one very--one critical one that affected us the most dramatically. For this project, we really saw ourselves making two promises. One, our contact with the Army and Parsons to carry out this activity. The second was a promise to our community, being a good neighbor and a good citizen. I think early on they spoke very loudly and consistently that they did not want this project. Our problem was that, as we looked at it, we were in a box. We do a lot of work for the Federal Government under contract and a default on this contract would have been a fairly serious event for the whole company. At the same time, we were listening to our neighbors opposition in the community. So if we went ahead with the project, we basically threatened the facility; and if we backed out, we would be in default under the contract. I think that is addressed in one of those issues that in the future it is a very serious--ourselves being put into that sort of situation. We were in a no-win situation. Like I say, a lot of the issues that were raised by the citizen groups--are in our comments. The information, our role as a contractor--a subcontractor, and yet at the same time the Army's desire to respond to Congress and get in the middle of the project when theoretically we should have been the out- front people. So as we look at this, it was a--well, just an unfortunate situation. It is finished. My comments are there. I will be happy to more address any questions later as they come up in terms of the points at the end, if there is such. Mr. Turner. Mr. Parker. [The prepared statement of Dr. Centofanti follows:] [GRAPHIC] [TIFF OMITTED] T3283.046 [GRAPHIC] [TIFF OMITTED] T3283.047 [GRAPHIC] [TIFF OMITTED] T3283.048 [GRAPHIC] [TIFF OMITTED] T3283.049 [GRAPHIC] [TIFF OMITTED] T3283.050 [GRAPHIC] [TIFF OMITTED] T3283.051 [GRAPHIC] [TIFF OMITTED] T3283.052 [GRAPHIC] [TIFF OMITTED] T3283.053 [GRAPHIC] [TIFF OMITTED] T3283.054 [GRAPHIC] [TIFF OMITTED] T3283.055 [GRAPHIC] [TIFF OMITTED] T3283.056 [GRAPHIC] [TIFF OMITTED] T3283.057 [GRAPHIC] [TIFF OMITTED] T3283.058 [GRAPHIC] [TIFF OMITTED] T3283.059 [GRAPHIC] [TIFF OMITTED] T3283.060 [GRAPHIC] [TIFF OMITTED] T3283.061 [GRAPHIC] [TIFF OMITTED] T3283.062 [GRAPHIC] [TIFF OMITTED] T3283.063 [GRAPHIC] [TIFF OMITTED] T3283.064 [GRAPHIC] [TIFF OMITTED] T3283.065 [GRAPHIC] [TIFF OMITTED] T3283.066 [GRAPHIC] [TIFF OMITTED] T3283.067 Mr. Parker. Good afternoon, Mr. Chairman and members of the committee. With the Chair's permission, I would like to submit the full statement for the record and just do a quick summary, if that would be permissible. Mr. Turner. That will be fine. Mr. Parker. I am Michael Parker, the Director of the Chemical Material Agency responsible for safe storage and disposal of our Nation's chemical weapons. Mr. Shays. Mr. Chairman, if he could talk just a little louder. I am not sure, are you hearing in the back? Voices. No. Mr. Parker. All right, I am Michael Parker, Director of the U.S. Army Chemical Material Agency responsible for the safe and environmentally compliant storage and disposal of the Nation's chemical weapons. Of paramount value to the Chemical Material Agency is the safety of our work force and the American public. While we have stored, and continue to store, chemical weapons safely for over 50 years, the ultimate risk reduction is the ultimate disposal of these weapons. No weapons, no risk. I am happy to report that over 26 percent of the 31,000 tons of chemical--of the U.S. chemical stockpile, 83,000 tons of chemical agent to date have been safely disposed of. We have three plants in operation, on line every day, reducing the risk to the American public. We will have three additional plants on line within the year to include the Newport facility, which is what brings us here today. The Newport and Aberdeen sites were significantly accelerated after the unfortunate events of September 11th. This was done as a risk reduction measure primarily to the communities where these munitions are stored. The concept was to significantly streamline the neutralization process and dispose of the neutralized material, the hydrolysate, at large scale, fully permitted commercial facilities treating similar wastes. This approach facilitated the maximum acceleration of the disposal at these two sites. The Aberdeen site, as I mentioned earlier, is on line and employing this concept quite successfully, the use of a commercial TSDF, treatment storage and disposal facility, for the treatment of the hydrolysate at the Aberdeen site. Technical concerns were raised here in the Dayton area. This coupled with the decision by the Montgomery County Water Commission relating to Perma-Fix's operating permit has resulted in the decision by the Parsons Co. to terminate the contract. We are in the process of pursuing alternate options for the treatment of the Newport hydrolysate. We are actively working on these options and will have an alternate course of action in place by the end of the month of November. We are still committed to rapidly neutralizing the VX stocks at Newport and are looking at implementing mitigating measures to try to maintain as rapid a schedule at Newport as we possibly can. In summary, the chemical weapons storage and disposal program has demonstrated over a very long timeline a strong safety and environmental compliance record. We will continue this demonstration throughout the course of the program, safeguarding our work force and the American public until the last drop of material is disposed of. Thank you, Mr. Chairman. Mr. Turner. Mr. Stewart. Mr. Stewart is with Parsons. [The prepared statement of Mr. Parker follows:] [GRAPHIC] [TIFF OMITTED] T3283.068 [GRAPHIC] [TIFF OMITTED] T3283.069 [GRAPHIC] [TIFF OMITTED] T3283.070 [GRAPHIC] [TIFF OMITTED] T3283.071 [GRAPHIC] [TIFF OMITTED] T3283.072 [GRAPHIC] [TIFF OMITTED] T3283.073 [GRAPHIC] [TIFF OMITTED] T3283.074 Mr. Stewart. Mr. Chairman and members of the Committee, I am John Stewart and I work for Parsons Infrastructure & Technology Group, Inc., hereinafter referred to as Parsons. Parsons has the prime contract with the U.S. Army to design, construct, operate and close the chemical agent neutralization facility located at the Newport Chemical Depot in Indiana. I am Parsons' project manager for the Newport Chemical Agent Disposal Facility and I am responsible for all aspects of Parsons' work at Newport. The Newport project will neutralize the VX nerve agent and transport the neutralized material, hydrolysate, to an offsite commercial waste treatment facility. That was our plan. The hydrolysate is very similar to many other standard industrial waste products that are commercially treated day-to-day. Off-site disposal of the hydrolysate more rapidly eliminates the VX risk to the public. The acquisition of an offsite commercial treatment, storage and disposal facility involved a rigorous, comprehensive, nationwide competitive selection process. Driven by the events of September 2001 and a desire to accelerate the destruction of VX, we performed an industry survey that identified over 100 treatment, storage and disposal facilities. We subsequently issued a subcontractor qualification survey and received 45 expressions of interest in May 2002. During June 2002, we performed site audits and compliance history reviews at the 11 facilities that indicated interest and which we initially evaluated as qualified and permitted to treat waste with characteristics similar to hydrolysate. In July 2002, we issued a request for proposal to the 11 firms. The request for proposal evaluation criteria included technology, expertise, transportation plans, regulatory compliance, safety, history, capacity, risk as it relates to stability, environmental, public outreach, technical capability and cost. In October 2002, we received four proposals. One of these proposers subsequently withdrew their proposal. In December 2002, Parsons informed the Army of their selection of a hazardous waste treatment facility for the disposal of hydrolysate. The selected facility was Perma-Fix in Dayton, OH, a fully permitted disposal facility for this type of waste. The language used by Parsons in our subcontract with Perma-Fix required the subcontractor to perform public and government notification and public outreach sessions to ``establish a measure of public acceptance,'' and stated that ``completion of subcontract work may be contingent upon the establishment and maintenance of public acceptance throughout the subcontract period of performance.'' This statement was separated from the other deliverable requirements because it was a guiding principle for the Public Outreach Program rather than a contract deliverable. The gauge Parsons used to evaluate public acceptance was two fold. First, the establishment of an active public outreach program and second, compliance with Federal, State and local requirements. It was never Parsons intent to establish a requirement to obtain, retain or achieve public acceptance by every citizen, but to establish a measure of community understanding that Perma-Fix could safely and effectively treat the hydrolysate generated at the Newport Chemical facility. It is also important to understand that in its request for proposals, Parsons neither used public acceptance as a selection criterion for the applying firms, nor required public acceptance as a contact deliverable. On October 13, 2003 Parsons directed Perma-Fix to stop work on the subcontract related to treatment of hydrolysate produced during neutralization of the chemical agent VX at Newport. With this action, Perma-Fix's Dayton, OH site is eliminated as an alternative for the disposal of the Newport hydrolysate. This decision was reached after the Montgomery County Commissioners' meeting on October 7, 2003, where it become evident that constraints related to Perma-Fix's operational permit with Montgomery County would preclude the use of the Perma-Fix facility in Dayton, OH. Parsons, as part of the Newport project team, is working closely with the U.S. Army to evaluate options for the hydrolysate treatment. Of primary importance is the safety of the worker and of the public, closely followed by protection of the environment. Schedule and costs will always be considered, but we will not allow schedule or costs to jeopardize safety or the environment. We will communicate our plans for a path forward as soon as we have identified one, which should be in the November 2003 timeframe. That is the end of my statement, sir. [The prepared statement of Mr. Stewart follows:] [GRAPHIC] [TIFF OMITTED] T3283.075 [GRAPHIC] [TIFF OMITTED] T3283.076 [GRAPHIC] [TIFF OMITTED] T3283.077 [GRAPHIC] [TIFF OMITTED] T3283.078 Mr. Turner. I will go through a series of questions for members of the committee, and I will start. I think the most important question for everyone in this community is the current status of this contract and the elimination of the Perma-Fix site as a possible site for these materials. Mr. Stewart. Mr. Stewart. As I stated, it is a Parsons' subcontract. I did sign the letter that stopped all work for Perma-Fix on this, and we are in the process of negotiating the termination with Perma-Fix. It does eliminate Perma-Fix of Dayton as an option for hydrolysate treatment. Mr. Turner. OK. And that is the distinction in the materials we have. We currently have a copy of Parsons' letter of October 14th that is a direction to stop work. And we heard Mr. Parker's testimony representing the Army, that the process of going from stop work to termination is current. Is that accurate that this contract will be terminated and not just a stop-work order? Mr. Stewart. Yes, sir. Mr. Turner. OK. And you are agreeing to the termination and that indicates---- Mr. Stewart. Perma-Fix and I have a meeting of the minds on the termination of this project for them. Mr. Turner. You have indicated that you will be looking at other alternatives. You are not looking at any alternative that includes this site, is that correct? Mr. Stewart. That is true. Dr. Centofanti. We are not challenging their decision. Mr. Turner. Pardon? Dr. Centofanti. We are not challenging their decision. Mr. Turner. OK. What I want to hear from you is that--you know, obviously you are currently in the process of where you have a stop-work order, but you do not have termination. You are concurring and agreeing to termination of the contract with Parsons. Dr. Centofanti. Absolutely, yes. Mr. Turner. When you are in that position, it will be my understanding that you will be under no contractual obligation to accept any of these types of materials at your site, is that correct? Dr. Centofanti. Correct. Mr. Turner. Do you have any intention to ever again enter into an agreement to accept these materials at this site? Dr. Centofanti. No, absolutely. Mr. Turner. Are you participating in discussions of alternatives in the disposal of these materials with the Army and with Parsons? Dr. Centofanti. Not at this time. This contract to only use Dayton was the only contact we had with the Army and the--and Parsons. Mr. Turner. If they should engage you in those discussions, the Army and Parsons, for the purposes of discussing with you technology or proprietary information or knowledge that you have, it is my understanding from your testimony that any of those options or alternatives that you would propose would not include the Daytonsite. Dr. Centofanti. They would not include Dayton. Mr. Turner. Mr. Parker, my understanding from your testimony is that this contract is moving toward termination. The Army is consenting to that, is that correct? Mr. Parker. That is correct. Mr. Turner. And in that termination then the facility of Perma-Fix that is in the Dayton area would not be considered as a viable alternative? Mr. Parker. That is correct. Mr. Turner. You had also mentioned that you are looking at other alternatives, and so I take that to mean in your testimony that the alternatives that you are looking at do not include a facility in the Dayton area? Mr. Parker. That is correct. Mr. Turner. I have some other questions that relate to--let me ask this one before I pass it off to the chairman. With respect to Parsons, I take it that you are consenting fully-- you have indicated that the action of the Montgomery County Commissioners is evident as a constraint to your moving forward with the contract. I take it that since you as parties are moving forward with the termination of this agreement, that you will not be moving forward with any litigation with Montgomery County or any other jurisdiction to try to obtain permits in any judicial process? Mr. Stewart. We have--public acceptance was a gauge. We were waiting for the technical, independent evaluation from Montgomery County. When we saw how everything happened on October 7th and everything, no, we are not moving forward with any sort of litigation, any sort of further consideration in the Dayton area. Mr. Turner. Dr. Centofanti, with respect to Perma-Fix? Dr. Centofanti. We are finished with this project in Dayton, period. There is nothing moving forward in terms of anything with the county or---- Mr. Turner. So you are accepting the ruling of the county then? You do not intend to pursue any---- Dr. Centofanti. We do not intend to challenge it. I would have said that earlier, we would not challenge the county if they said no. Mr. Turner. Mr. Parker. Mr. Parker. The Army is following the lead of our prime contractor, Parsons. We have no intent of pursuing any matter here locally. Mr. Turner. OK. I have other questions with respect to the public acceptance process, but I will turn to the chairman at this point. Mr. Shays. Thank you. As we said in the beginning, one issue is the issue as it relates to Dayton and surrounding communities. I think that is fairly clear where we are at. Mr. Parker, I would like you to have the opportunity to describe the challenge that you have in disposing of chemical weapons. I want to say to all of you here, we know you have a very important task, and we know that you have a requirement by Congress, by the President, by treaty obligations that are international treaties, to dispose of these chemicals. So we have a deadline that frankly I wonder if we will be able to meet. I do not think the Russians, for instance, will be able to meet it. So just tell me what the challenge is overall. Give me and this committee a sense of the task at hand. I would like you to speak a little louder if you could. Mr. Parker. If I could. I am sorry, I am in the process of taking a cold here and I am---- Mr. Shays. I am sorry. Mr. Parker. As you--you have been following this, Mr. Shays, I know you have been in Russia to see their program in regard to the overall activity--your committee looking at the cooperative threat reduction program and the effectiveness, etc. So you have a basis of the international challenges. The U.S. challenges are one that these materials are highly toxic, they are dangerous, they were intended to be lethal. In many regards, the way the munitions are configured for a military use, mated up with high explosives and fuses, take the challenge that would be associated with the chemical agents themselves, which are significant, and brings many other confounding challenges. The mechanical processes in order to separate these various components make these facilities very large. The need for total containment in the event that one of the munitions would detonate during the disassembly process requires very large, very robust structures which are quite a challenge to construct. All of the maintenance activities have to be done in a suitable level of protection, which is form of total encapsulation, which makes the maintenance operations extremely difficult and challenging. The primary treatment technology that we have chosen for most of the assembled chemical weapons, an incineration-based technology, has been highly controversial, raising the concerns with many members of the affected communities around these storage sites. Mr. Shays. Let me ask you, is that part controversial with the scientists or with the general public? Let me paraphrase by saying when I was in Russia, at one site, which literally had millions of shells of chemical weapons stacked in sheds that reminded me of summer camp facilities. They were stacked like wine bottles--and which, you know, I will say again parenthetically, a lot of concern that someone could just simply insert something in and take out the shell and the Russians would never know. When I was there, they were saying we incinerate, but the Russians were not comfortable with that and they want to go through this dilution process. So tell me, is this a debate on incineration among scientists or between scientists and the general public? Mr. Parker. Well, I think if one would accept the National Research Council as a solid scientific body, they have endorsed incineration as an effective and safe means to dispose of chemical weapons. The concerns are raised by members of the community, and it is beyond a narrow slice of environmental activists, it is a general concern about the potential release out of an incinerator of incomplete products of combustion during normal operations and in the event of an accident the release of chemical warfare material. Mr. Shays. So it is more based on, if you did the process properly and you truly incinerated, there is not a disagreement with the environmental community. The environmental community raises its concern that probably some would be released without incineration or there could be some other experience during that process that could be catastrophic? Mr. Parker. I think more on the environmental activists' side who were fundamentally opposed to incineration as a hazardous waste treatment technology in a universal context, that the health standards by which these processes are judged are inadequate. Mr. Shays. Is it cheaper and faster to incinerate than to go through this other process? How should I describe the process? Mr. Parker. Well, chemical neutralization. Mr. Shays. Chemical neutralization. Is that a longer process and more costly? Mr. Parker. We, at the direction of Congress, just recently looked at the Bluegrass, Kentucky and the Pueblo, Colorado sites comparing incineration with neutralization, and it was-- in a cost and schedule context, it is a wash. It is a break even. Mr. Shays. We have eight storage sites, is that correct? Mr. Parker. Yes, sir, in the United States. Mr. Shays. And how many in other places? None of this is classified, correct? Mr. Parker. That is correct. We had a facility on Johnson Island which was a storage and a disposal site. That site has completed its disposal activities and will be formally closed out here on November 5th, completely demolishing the demil facility. So that will be a complete closure. Mr. Shays. Now, are we in the process of doing two types, the chemical neutralization and incineration right now to destroy chemical weapons or are we doing both? Mr. Parker. Yes, sir, four sites are chemical neutralization based and four sites are incineration based. Mr. Shays. I misunderstood then. In the beginning you said we had three sites and then we were adding three. What were those three sites? Mr. Parker. The three sites that are active are the Deserete Chemical---- Mr. Shays. I do not need to know what they are. I just need to know how I can--I get four and four is eight and then three and three is six. I must be mixing apples and oranges. Mr. Parker. The other two sites are the Pueblo, CO and Bluegrass sites, which are just under contract in the design phase. Mr. Shays. OK. So we have three active, three soon to be completed and---- Mr. Parker. Soon to be active. Mr. Shays [continuing]. And two in the design stage? Mr. Parker. Correct. Mr. Shays. OK. And the process of neutralization it is a two-step process? Mr. Parker. Yes. Mr. Shays. So the second phase, or final phase of neutralization will be off those four sites? They would not be self contained within those four sites? In other words, you will not do both the first part and the second part in the same site? Mr. Parker. It varies site by site. The Aberdeen site, as I said earlier, is right now actively neutralizing, doing the primary treatment onsite. The secondary treatment is done at DuPont's Deep Water, New Jersey facility in a bio treater. It is our intent to seek out a--it is one of the options for the Newport site to seek out another commercial facility that is more suited, as well as pursue other backup options in Newport. Pueblo will use neutralization followed by bio treatment onsite. The final decisions have not been made with Bluegrass, but it will be onsite neutralization followed by super critical water oxidization most likely onsite. Mr. Shays. Dr. Centofanti---- Dr. Centofanti. Yes, sir. Mr. Shays [continuing]. Thank you very much, Mr. Parker. One, I appreciate the spirit in which you gave your opening testimony. I did sense a point that I do want to clarify. The sense of feeling an obligation to the Army, but also participating. Your company did--let me first understand. You represent all of Perma-Fix? You are the CEO of the entire---- Dr. Centofanti. Yes, of the whole company. Mr. Shays. And you have many sites around the country? Dr. Centofanti. We have nine treatment facilities. Six are hazardous, three are nuclear. Mr. Shays. Three are what? Dr. Centofanti. Nuclear waste. We are treating nuclear. Mr. Shays. Oh, I did not know that. OK, so six hazardous. Have you been involved in the--when you say hazardous chemicals, not necessarily weaponized chemicals? Dr. Centofanti. No, no weapons. Mr. Shays. So was this the first introduction you were proceeding in the chemical weapons side? Dr. Centofanti. Yes. Mr. Shays. I am anticipating that part of your--you were thinking you were part of a process of dealing with--I do not want to put words in your mouth, but I am just trying to wonder if I am correct or not. When you were looking at the second phase, were you looking more at the second phase as no longer being a chemical weapon because it was---- Dr. Centofanti. No, we did see it as a chemical weapon byproduct. Mr. Shays. OK. Dr. Centofanti. And when we initially looked at it, we had a technology we thought was ideal for treating that material. Mr. Shays. OK. Dr. Centofanti. And so that is why we did pursue it. Mr. Shays. Well without getting in a big debate, do you still think it is ideal or do you have some questions about it? Dr. Centofanti. No. I think the realities here--again, it is--you heard many times the Drano issue, and it is very interesting, because technically when people like at it they describe it that way, even the consultant for the county did. But in reality it does come from VX and it carries the perceived--there is a perceived reality and a technical reality here. And the perceived reality--as you know being a political leader--is reality to the public. So it goes back to the question of incineration. Mr. Shays. I think I understood your answer, but I am not quite sure. Dr. Centofanti. OK. Mr. Shays. But let me just understand, though. From Mr. Stewart's testimony--by the way, Mr. Stewart, thank you for being here, because it gives us a more complete picture of this process. The last thing I want to do as a Member of Congress is require that we destroy chemical weapons and then in the next process tell you you cannot do it. So it is going to get me to this next point of talking about the process. I do want to clarify one point. What I think, Dr. Centofanti, I heard from Mr. Stewart was though that you did proactively seek a contract, is that accurate? Dr. Centofanti. Yes, we did at the beginning. Mr. Shays. And so from the standpoint of Parsons and the Army, you were involved in this process. Once you started this process, you felt an obligation to pursue it when I sense you had some second thoughts, is that correct? Dr. Centofanti. When the--yes, as public opposition built. Mr. Shays. You felt as that as a contractor with the military and the government, you were out there and you needed to pursue it and you had other contracts and other relationships? Dr. Centofanti. And we were also driven by the that we had a process that we thought was very unique and did work and would be very valuable to the Army. Mr. Shays. I hear you. But from the standpoint of Parsons, you sought them out and they gave your contract due diligence, and they said yes, you should do it. Dr. Centofanti. Yes. Mr. Shays. From their standpoint the ball was in your court, correct? Dr. Centofanti. Yes. Mr. Shays. Let me ask you this last point. Is this process of getting community acceptance something that is new to you? I would think given that this is chemical hazardous material, that you should have a pretty good idea of how you do that. I mean your statement is on record that you guys did not do a very good job of that. I mean that is on the record, and I would concur. So we do not need to, you know, beat it to a pulp here. Just explain to me, given that you are successful and an important company in this process, why did it break down? Did you think the system was so good that you did not have to do the same kind of outreach? Explain it to me. Dr. Centofanti. I think in looking back, you could sit here and try to judge would it have ever worked under any circumstance and that is always hard to do. Mr. Shays. That is true. Dr. Centofanti. When the citizens asked for information, many times we were not able to give the information to them in a timely manner, the information, for whatever reason, and that right away bred, you know, a---- Mr. Shays. A suspicion. Dr. Centofanti [continuing]. A suspicion, right. We were going through a review process ourselves, so we were also in a catch 22. They wanted the information upfront. We were doing a review, which was our whole treatability study, and collecting much of the information that was needed. So we were in a process that was not good from a public outreach point of view. They wanted all of the information from our treatability study and how it was going to work and get the results when we were just doing it to demonstrate it to the Army and Parsons in collecting all the information on the final process. To the process was a modification of an existing process--two existing processes. So we were very confident it would work. But we had to put it all together and then demonstrate it to the Army to show that it did work, so we were in a tough position in terms of the public outreach. Mr. Shays. Let me conclude. I have some other questions I could ask, but my time is ended. I would like to say, Mr. Parker, we received a letter from Brigadier General Guy C. Swann, who said information that the committees requested would no longer be necessary, since the contract was terminated. I would hope you would convey to the General that--and we will as well, that the information is still requested and still is needed, because we do want to understand this process. I do think this has been a learning experience that is an important one. I will say--and I mean no disrespect--I have not felt that the Army was as forthcoming as I would like to see, particularly to Congress. I was trying to get into my first panel, you know, you were cooperating with, I think, the people you thought had the direct involvement, a little less with some government officials, and with the public even less. But I would kind of put Congress first on this list. We do need this information and we will, you know, expect it and so on. Mr. Parker. I will take that back to General Swann and Mr. Bolton and get the material--see that the material gets to you. With regard to the Army's response to the community, we--I certainly believe--and I was a little bit surprised, I have to admit, that the--some of this may have fallen through the cracks. In some cases, I do know, as Lou has indicated, some of the questions had to do with responding to how Perma-Fix's process would work. When the questions were asked, Perma-Fix had yet to complete the work. We only recently got that information, along with Dr. Rittmann's report. We will close out with the community those outstanding issues. We have tried to be responsive to the community. We sent out over 900 responses to individual citizens answering questions that were asked. So I believe we have attempted from an Army perspective to be responsive. Mr. Shays. I wish you had not have said that, because I know you have had a lot of responses. The communication between our committee and the Army was less than satisfactory. I do not want to even get into kind of documenting it, because I think it is pretty obvious. We can have a slight disagreement, but I want to say to you from my standpoint it was not, and in terms of the interaction with the community it was not good. You may have had surrogates that you expected to do a better job, and that is a fair comment, but ultimately, as they say, you know, we know where the ultimate responsibility lies. Mr. Parker. I will accept the criticism and I will take it back to the Army leadership and make sure it is understood. Mr. Shays. But we will totally and completely pursue getting this information. Mr. Parker. Yes, sir. Mr. Shays. Thank you very much, and thank you, Mr. Chairman. Mr. Turner. Mr. Parker, one of the things in your written testimony and that you have testified orally to is of particular concern to me. During my request for information on this matter, I have routinely been told by the Army that Perma- Fix's contract is not with the Army and therefore the terms of that contract are not within the Army's purview or authority, and you said here, because the Army is not a party to the contract between Parsons and Perma-Fix, we will direct any questions regarding the terms of that contract relating to public acceptance to Parsons. You go on to say that FAR regulations are incorporated into the contract. Now my understanding of government contracting--and I want you to correct me if I am wrong--is that when you award a contract to Parson, that Parsons has no ability to enter into a contract with Perma-Fix unless the full text of that contract is submitted to you for approval. Mr. Parker. Let me defer that to Brad Pierce who is the contacting officer for the primary contract between the Army and Parsons. Mr. Shays. We need to make sure you have a card for the transcriber. Mr. Turner. And he was sworn in. Mr. Pierce. I will do that as soon as this question is over. Generally in government contracting---- Mr. Turner. Would you identify yourself. Mr. Pierce. Oh, I am sorry. My name is Brad Pierce. I am Chief of the Camp Demil Contracting from the Army Field Support Command. So I have responsibility for all the systems contracts for chemical demilitarization. In response to your question, in government contracting, yes, our relationship is with the prime contractor, and it depends on the contract about how far that goes to our review and approval of their subcontracts. Clearly all the terms and conditions that we put in the contract from the Federal Acquisition Regulations have a flow-down provision to them, that we expect to go down to the systems contracts. We review the contractor's purchasing system to ensure that they have those processes in place, that their people are trained to ensure that they are complying with those requirements. If a contractor has a purchasing system that is approved, then we allow them to subcontract without prior government review of their subcontracts. We will just go in on--typically on an annual basis and audit what they have done to ensure that they are complying with the terms and conditions of the contract. Parsons does have an approved purchasing system. Notwithstanding, when contracts get over a certain dollar threshold--and each contract defines that differently--we have the right to prove or to consent to their subcontracts. They provide us a package of their subcontract terms, conditions and negotiations, we review it to ensure that they have complied with competition, small business, the terms and conditions of our contract and then give them the consent to go forward and subcontract. But that relationship at that point in time is between the prime contractor and the subcontractor. You know, the terminology we use is privity of contract. There is no privity of contract between us the government and the subcontractor. We constantly remind our work force that nobody in the Federal Government has the right to direct a subcontractor. We just do not have the authority. Mr. Turner. In this particular instance we are dealing with the destruction of weapon systems. Mr. Pierce. Yes, sir. Mr. Turner. Did the Army approve the contract between Parsons and Perma-Fix? Mr. Pierce. Yes, we did. Mr. Turner. And did that include approving the text of that contract? Mr. Pierce. What we approved--what we do in real--it is a matter of terminology. We gave the consent for them to subcontract, but as part of that process--as a matter of fact, it was somewhat unusual in a lot of contracts--the Army did provide a lot of oversight and even participated in some of the review of the proposers to their subcontract requests for proposal. Mr. Turner. So is that a yes? Mr. Pierce. Yes. Mr. Turner. OK. That is an important point to me, because in every meeting that I had with the Army, I would get, well this is between Parsons and Perma-Fix, and it is not between Parsons and Perma-Fix. It is between the community and the Army, because the Army is the government, and when the government is coming into a community and saying we are going to do something, but we are not really obligated to you as a community, it is very disconcerting to people who here specifically believe that the government is by and for us, not by and for a contract between Perma-Fix and Parsons. So I wanted to make that point that you approved the text of the contract. So the sentence saying that you are not a party to the contract and therefore the language of the contract is just between Perma-Fix and Parsons really is not very accurate I believe because it does not tell the whole story. The whole story is, you reviewed the contract, you approved its terms; therefore, you would have approved a public acceptance component. Mr. Parker, in your position as the Acting Director of Chemical Materials Agency, would communications from Parsons concerning their belief that a portion or a provision of the contract might not be able to be performed or that the contract itself might be in jeopardy, would those communications come to you? Mr. Parker. Ultimately yes. There are--as Mr. Pierce outlined, there are personnel at the Newport site who are directly involved, as well as a project manager assigned to this project, Col. Jesse Barber, and that information would flow up through either the site or the project manager, Col. Barber, to me. Mr. Turner. The reason why I asked this question, I wondered if the Army received any communications from Parsons or Perma-Fix that indicated that they believed the public acceptance was not going to be achieved and that the contract may need to be terminated? Mr. Parker. Well certainly it was very obvious and we were well aware--I was well aware of the contentious nature with the community, and there was a lot of discussion about how we were going to address that. The approach was to await the technical outcome of Perma-Fix's treatment studies, and then the feedback from the independent technical consultant--the water board's technical consultant, Dr. Rittmann, to make a judgment of whether or not there was a technical basis to go forward with the contract. As it turns out, the technical issues raised, plus the issue of whether or not--or the decision, I guess, that the water board was not going to issue a permit made the whole issue of public acceptance somewhat moot because we were not going to go forward with a contract because it was unexecutable independent of public acceptance. Mr. Turner. I am going to ask the question again because I was not quite certain of your answer. It sounded to me that there were discussions that occurred between the Army, Parsons and Perma-Fix with respect to the perceived lack of public acceptance by this community on the part of Perma-Fix and Parsons, and that concern was given to the Army as a possible issue that would impact both Parsons and Perma-Fix's ability to perform. Is that correct? Mr. Parker. I would shape it slightly different. The Army was aware, I was aware, I think the Army leadership was aware of the highly contentious nature, the feedback from members of the community, the local elected officials, as was cited earlier, 33 or 38 jurisdictions that had issued some form of proclamation or other vehicle, were raising their concerns and negative position toward Perma-Fix processing this material. That was all known and it was an area of concern and a lot of discussion. Mr. Turner. And the Army was still prepared to proceed even with the resounding roar that you just described? Mr. Parker. We would have taken--had the technical outcome from Perma-Fix's efforts been validated by the independent reviewer--or independent review by Dr. Rittmann and the water board would have come forward with a positive position on allowing that material to be treated, I think we would have went out to the community--or requested Perma-Fix to go out to the community, along with Parsons, and we would have participated and made an attempt to convince the community that their issues could be addressed. This was a safe and environmentally acceptable manner. If the communities would have come back at that point with a negative, then we would have had another decision point on whether or not to proceed. Mr. Turner. Next, I would like to introduce Larry Halloran who is our legal counsel for the committee, who also has a few questions. Mr. Halloran. Thank you, Mr. Chairman. Just--two things really. Mr. Parker, you described the process underway--the chemical demilitarization process underway where the second phase goes to a plant--the DuPont plant in New Jersey, is that right, or Pennsylvania? Mr. Parker. New Jersey, yes. Mr. Halloran. New Jersey. Was there a public acceptance provision in that subcontract? Mr. Parker. No, I do not believe there was. Brad, can you clarify? I should have asked you to start with. Mr. Pierce. Yeah. I have reviewed that subcontract and there was some language in there about public outreach. It did not have the same language about a public--you know, maintenance of public acceptability, though. Mr. Halloran. To your knowledge, is the same language in this contract in effect any place else? Mr. Pierce. No. Mr. Halloran. OK. Another matter--and this might be best addressed to Dr. Centofanti. In the briefing we received, hydrolysate was described as an industrial waste similar to many things found in the industrial waste stream and is unique only because of where it is generated, because it comes from scary VX. Do you agree with that characterization, Dr. Centofanti? Dr. Centofanti. When we started this project we had several conditions. One, of course, that they could guarantee-- demonstrate to us that there was no VX in it. So I think our biggest concern in the early stages was the demonstration of the lack of VX. If you do look at it chemically, and I think from a very technical point of view--this raises many issues with the community in terms of trying to describe it as some simple chemical material. You heard it with the citizen groups. I think it actually works against anybody trying to do that, because no matter what it is, it--where it came from, it carries just a real stigma, a public stigma. There is a little misunderstanding on the Schedule II compounds. They are really just the components. But all of that just fits together to add a level of concern and distrust about the materials. So the---- Mr. Halloran. In your other work, what is the closest thing to this that you handle? Dr. Centofanti. I do not even want to mention because Mary will jump on me over here. It was initially---- Mr. Halloran. Not here, any place. In any industrial waste, what could I look up in a chemical manual? Dr. Centofanti. Dr. Rittmann himself described it in a meeting and he was sort of booed down when he said, well this is like Drano. Mr. Halloran. Yes. Dr. Centofanti. And technically, if you really look at it, it is hazardous because it has sodium hydroxide in it which is Drano. That is technically correct. But again, I think that is--materials like this cannot even be looked at like that because of where it came from and the concern does it have VX, does it have other byproducts and that they are that way? Mr. Halloran. Thank you very much. Mr. Turner. Mr. Chairman, do you have additional questions? Mr. Shays. Yes. One, I would like to put in the record, a letter we received from R.L. Brownlee, Acting Secretary of the Army, on July 30th in conjunction with the letter that we received, dated--I guess it was today. We were given today. And this letter said in July--when we--it is stamped July 30th. It said we would receive important information in 45 days. So we will just insert both of those. And just to ask you, Mr. Stewart, and maybe Mr. Parker, the term ``a measure of public acceptance,'' is that a term that is put in your contract by the Army that you then transferred to your subcontractor? [The information referred to follows:] [GRAPHIC] [TIFF OMITTED] T3283.079 [GRAPHIC] [TIFF OMITTED] T3283.080 [GRAPHIC] [TIFF OMITTED] T3283.081 Mr. Stewart. No, sir. Mr. Shays. Pardon me? Mr. Stewart. No, sir. Mr. Shays. No. So tell me, is that just a term that you use when you interact with all your subcontractors? Is it just like company policy that you want public acceptance and so therefore you would expect it when you--first off, do you have your own operations? Mr. Stewart. Yes, sir. Mr. Shays. Why was that term put in there? Mr. Stewart. It is not a standard term that we use in our subcontracts. This is the only subcontract that Parsons has that has the term public acceptance in it. Mr. Shays. Was that at the request of the government? Mr. Stewart. I would not say it was at the request of the Army. It was a lot of discussions. As it was outlined earlier, it was a very collaborative, integrative team putting together this acquisition. It was suggested that, you know, we needed an active public outreach program. It was suggested that one measure--to make sure that we had an active outreach program to get the facts out, to address concerns was to put some sort of measure of public acceptance. At that time it seemed very prudent and we put it in our subcontract. Mr. Shays. At that time it was prudent and it still is prudent, but I mean it is a lot of wiggle room in a measure of public acceptance. And you may have seen this term used by the community in ways that you did not expect. But I do think it was a wise thing. I do think you should expect that your subcontractor will reach out to the community to get acceptance. I am just curious as to what motivated that. Mr. Chairman, I want to, if I could, thank our witnesses, and say that those of you working for the government, we appreciate your service to our government. And to those, Mr. Parker, who work with you, we know you have a very difficult task and we know that there are lots of pressure to deal with this very serious issue as quickly as we can and we appreciate that. I would like to think there will be better communication between your office and the Army and our committee, and I think that is going to happen. And to say that--you know, one thing, all of us in this room, we are all part of one family. Dayton has clearly demonstrated that it can work in a very mature and intelligent way, and I would think the people of Dayton would be very proud of how you interacted with each other and ultimately how you interacted with the government as well. You know, we all keep learning. I cannot tell you the mistakes that our committee makes and I make as a Congressman, and gratefully some of them are not so public. But we have a lot to be proud of in our country. I appreciate the tone of the witnesses and their cooperation at this hearing, both in the first panel and the second. And I would also say the cooperation of the audience as well. Thank you. Mr. Turner. Thank you, Mr. Chairman. I want to thank you again for the opportunity to have this hearing. And for each of the members of the second panel, we always ask, and the Chairman always makes certain that if anyone who participates in the panel has anything else that they want to add or they have thought since an answer or something they want to clarify, that they would have that opportunity. Do any of you at this point wish to embellish your comments? Mr. Parker. Congressman Turner, I would like to just leave one point that--so it is not potentially misunderstood. The term was used that we terminated, or Parsons has terminated the contract, and, you know, as you pointed out, ultimately the Army is responsible. So the Army and Parsons have terminated the contract with Perma-Fix. Rather than leave a potentially negative note on that, I would like to note for the record that Perma-Fix did perform under the terms of the contract, through the treatment study, they did exactly what they were contracted to do. They did it well. The outcome of that effort, which is why we did it, because we did not know the outcome, led to a conclusion that the follow-on activity, the ultimate disposal of the hydrolysate was simply not going to work out in this setting. But Perma-Fix performed well under the terms of the contract, and any implication that there was a negative toward Perma-Fix in that regard is misunderstood. Mr. Turner. Very good clarification, Mr. Parker. Thank you for making that. Anyone else? [No response.] Mr. Turner. If not, our chairman has generously offered that we would end this hearing at 3 o'clock and that during the next 10 minutes or so, what we would do is, we would ask for the panel to remain and that if anyone present who did not get to testify, and who is a member of the audience, would like to make a comment, it would be included in the record. Not a question for our panel, but a comment that would be included in the record, and if it can be done in a quick manner so that anyone who has an interest in doing that would have an opportunity to. We would take this 10 minutes then to include those comments in the record. Mr. Shays. Mr. Chairman, what will be important is, whoever chooses to, we will make sure that the transcriber will have their full name and address. So we will like you to state it for the record. It would be helpful, if I could, Mr. Chairman, to just know how many right now want to and then we know how we space out the time. So we have one other individual there and so on. How many people? If you would stand then we would know. Why do not one or two come on this side. Bob, are you going to get their full name and address and so on? Mr. Briggs. Yes, sir. Mr. Shays. I have until five after three. Mr. Turner. OK. And this will not be considered testimony, but additional comments for the record? Mr. Shays. It is testimony, but not under oath. Mr. Turner. Testimony but not under oath. STATEMENT OF JANE FORREST REDFERN Ms. Redfern. I am Jane Forrest Redfern and I am environmental projects director for Ohio Citizen Action. I have worked in this community for 17 years and I have never seen a company or organization be so bad at public outreach. The citizens of Jefferson Township spent very little money in educating themselves, educating the public, public officials, regulatory agencies, and this community now knows how to spell and say VX hydrolysate. I mean it is not a fear of VX nerve agent. There are very toxic byproducts, Schedule II compounds, in what they were going to bring here. As someone said, it was a dilution, it was not a permanent treatment for VX hydrolysate as Dr. Rittmann's report. You know, it is just incredible to me that a group of folks could educate the community and let them know--you know, over and over, the Army, Mr. Flynn respectfully, came to our accountability session. We got more by getting citizens together and getting all of the officials lined up--we got more out to the public at that meeting than the Army or Perma-Fix did in the last year. I mean it was just incredible at the lack of organization and outreach and respect for the citizens of this community, or any community, about what their--what they could actually understand and absorb and make decisions for themselves. I guess I want to make a few points and then I will end up. One is that I hope the Army and Congress and Parsons takes Dr. Rittmann's report very seriously. There are some major concerns about the bio remediation. It looked like dilution to me, and that is not a solution for pollution. I think that is a thing that Parsons needs to consider, you know. And then last, I guess, I want to just commend all of the public officials, Congressman Turner, this committee, because this is a factor of chemical safety. I have worked with communities throughout the country and throughout this region and there are facilities that threatens our safety every day in this neighborhood. Mr. Turner. Jane, we are going to have to move on. Ms. Redfern. And we hope that you will consider not only looking at these more closely but facilities that pose a chemical threat right now today. Mr. Shays. Mr. Chairman, may I take the gavel back? Mr. Turner. You have it. [Laughter.] Mr. Shays. Let me just explain. I am getting on an airplane and I would like to be able to conduct the hearing and be able to conclude it and not miss my flight. I love Dayton, but I want to go home. [Laughter.] So we will just come to the next person. I am sorry you have to come up front. I am going to be pretty strict about the time. It is going to be a minute to a minute and a half. If you would state your name and your point. Mr. Dell. Do I hold this? Mr. Shays. No, you can just talk nice and loud, straight forward. Mr. Dell. All right, I will be brief. STATEMENT OF PHILIP DELL Mr. Shays. Your name. Mr. Dell. My name is Philip Dell and I am a resident of Jefferson Township. I just primarily wanted to make one point. I will add that I am very grateful to you. I think you guys have done a wonderful job. But I just wanted to make one point that I did not hear anywhere else. Three miles from Perma-Fix is the Veterans Administration Hospital and Medical Center which serves thousands of veterans on a daily basis. I did not hear that mentioned anywhere in the facts, so I just wanted to put that in the record. Mr. Shays. Thank you very much. Next. Is the mic working? Hold on 1 second. We are going to get you a mic. Come on up here. There it is. It is working. It is working, sir. Your name and address. Your name, where you live and your position. STATEMENT OF DERRELL ARNOLD Mr. Arnold. Yes, my name is Derrell Arnold and I live in Dayton, OH. I am an environmentalist. Mr. Shays. Let me just make one more point. I am sorry to interrupt you. I need them to write their address. I do not want you to Bob. Mr. Arnold. Yes, sir. One thing I would like to bring up is, the Army has ultimate cradle-to-grave responsibility regardless of who they sub the contract out to. The Army is still responsible for their product. Even if it goes into a landfill it is still theirs. If it leaches out from the Superfund perspective it goes right back to the Army. They are the ones that are to pay for the cleanup. In addition, as far as this community awareness thing, I just want to read this to you real quick. This is SARA, Title III, which was enacted in 1986. The Emergency Planning and Community Right to Know Act of 1986 establishes requirements for Federal, State and local governments and industry regarding emergency planning and community right to know reporting on hazardous and toxic chemicals. This legislation builds upon EPA's Chemical Emergency Preparedness Program and numerous State and local programs aimed at helping communities to better meet their responsibilities in regard to potential chemical emergencies. The Community Right to Know provisions will help to increase the public's knowledge and access to information on the presence of hazardous chemicals in their communities and releases of these chemicals into the environment. States and communities--excuse me, I lost my place. States and communities working with facilities would be better able to improve chemical safety and protect public health and the environment. The Emergency Planning and Community Right to Know, also known as Title III---- Mr. Shays. We need you to wrap up. Mr. Arnold. I was just going to let you know it is four sections. Mr. Shays. OK, thank you. Mr. Arnold. You are welcome. Thank you. Mr. Shays. I appreciate it very much. I am sorry to rush you like this, but if you could, please. STATEMENT OF TOM TILLER Mr. Tiller. My name is Tom Tiller and I live in Montgomery County. I have several points that I certainly would like to make. The designation of a Schedule II component in the VX hydrolysate is from the Chemical Weapons Convention, the international treaty. That is not just an incidental item. That is given that designation because of its ability to reconstitute the VX. I also certainly think this committee should look at the whole concept of putting out a contract, the subcontract to Perma-Fix, that was both demonstration and destruction of the material, that they were not dealing with that material in the past. They had not done it before. They had to demonstrate that they had a process to do it, as opposed to other processes that were investigated by the National Research Council where the Army went to someone and said this is the process to use. They went to Perma-Fix and gave them a contract to both come up with the process and destroy it, which gives, you know, problems in all respects. Certainly I would not expect a contract to be written on that basis for that material. Mr. Shays. Thank you, sir. STATEMENT OF LAURA RENCH Ms. Rench. My name is Laura Rench. I live in New Lebanon, OH. If I was to understand Mr. Parker correctly from the Army, he stated that if we are to believe the National Research Council, incineration is a safe way of destroying chemical weapons. He also stated that the maintenance and construction of facilities to destroy chemical weapons is of the highest standards, but yet the maintenance, construction and treatment of these facilities is not done by NRC scientists. It is done by contractors like Parsons and subcontractors like Perma-Fix; therefore, how do we ever know destruction of chemical weapons is done by the highest standards? Thank you. Mr. Shays. Thank you very much. Tip the mic down a little bit. STATEMENT OF GWENDOLYN CRUTCHER Ms. Crutcher. My name is Gwendolyn Crutcher and I live on Liberty Ellerton Road. When it started, we were told that it could not be incinerated, that it had to be disposed of the way Perma-Fix was. I want to know how can that be when you have it incinerated in Anniston, AL, and if anybody is going to do anything in Congress to make sure that that community is safe? Because they have given them gas masks. Nobody has ever brought that out. Please check other sites. Mr. Shays. Thank you, ma'am. Ms. Crutcher. Thank you. Mr. Shays. Does that mic work over there? Ms. Bronston. Yes. Mr. Shays. OK. Yes, ma'am. STATEMENT OF WILLA BRONSTON Ms. Bronston. I would like to say that---- Mr. Shays. Give us your name and where you are from. Ms. Bronston. Willa Bronston, Dayton, OH, Jefferson Township. And I would like to say that one of our assertions from the beginning was that this was an experiment, and by their own testimony they were trying to demonstrate to see if they could do it. All along that is probably something that should have preceded really even trying to come into a community, the testing. The other thing that I would like to say is about Anniston, AL, and draw your attention to incineration. They have a state- of-the-art--``state-of-the-art'' facility there where after their beginning incineration trials left a large percentage of material that was dangerous, unincinerated when they opened the incinerator. And further, they do not incinerate in Anniston, AL during school hours. And I think that is an important acknowledgement of their fear for the community and for their children. Thank you. Mr. Shays. Thank you, ma'am. STATEMENT OF GENERAL OHUI Mr. Ohui. I am General Ohui and I live in Jefferson Township, and I want to express my appreciation to my neighbors for struggling through this, and for you to come and help us to try and alleviate a problem. I recognize the fact that the Army has to destroy this because it is an international problem. I want to point out, because it has not been mentioned very much, the difference between Newport and Jefferson Township is that is a military operation. It is protected from any intrusion or incursion from anybody on the outside because that is a dangerous material. I think it needs to be mentioned that is the Army's responsibility. And, of course, we get away from this because they continue to say that they are going to put this to a civilian contractor. It does not alleviate the Army or the military's responsibility to do away with this. I think we need to keep that in mind. Jefferson Township is not a military place. It is a civilian area and we are concerned about citizens, as well as we are concerned about the weapons of mass destruction. We are not negating the fact it needs to be destroyed. But from our research and whatever, it has not been done successfully anywhere. It has been looked at by many, many areas in terms of zoning and responsibilities and whatever and that question has not been answered. So we are still struggling for answers and we recognize the fact that you have a problem, but we recognize the fact that we do, too. Health, welfare and morals is our end of the thing. Mr. Shays. Thank you very much, sir. Are we all concluded here? Let me again thank Representative Michael Turner. I only took the gavel-- [applause]--I only took the gavel when I started noticing he was calling all of our witnesses from the floor by their first names--[laughter]--and struggling with how he can ask them to speak in such a short period of time. I realize that you could have gone on much longer and I apologize for moving it along so quickly. Again, I thank both our first and second panel. We are all learning through this process. The comments made from the floor are noted, particularly by our staff. We will followup on some of those points. Again, any last comments before I hit the gavel? Mr. Turner. I would again just like to thank the chairman for having this committee. I know he did not pause to allow me to do it again, but the reality is, you know, as chairman of the committee, what we look at and what issues we dive into are of his perusal and control, and his being--the chairman being willing to travel here and cause this hearing to occur here in addition to his time spent on it is much appreciated. So thank you. [Applause.] Mr. Shays. Just before hitting the gavel, I would like to thank Mr. Turner's staff, Stacy Barton, Mike Gaynor and Bill Vaughn. The staff of Sinclair Community College. This has been a wonderful facility to be at, and we thank them. The subcommittee's staff, Chris Skaluba, who is here as a DOD management intern and will be returning back to the DOD, and we will miss him dearly. Bob Briggs on our staff, as well as the court reporter, William Warren. So, William, you get to note your name at the very end of this hearing. Thank you. This hearing is adjourned. [Whereupon, at 3:07 p.m., the subcommittee was adjourned.] [Additional information submitted for the hearing record follows:] [GRAPHIC] [TIFF OMITTED] T3283.082 [GRAPHIC] [TIFF OMITTED] T3283.083 [GRAPHIC] [TIFF OMITTED] T3283.084 [GRAPHIC] [TIFF OMITTED] T3283.085 [GRAPHIC] [TIFF OMITTED] T3283.086 [GRAPHIC] [TIFF OMITTED] T3283.087