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Negotiating Superfund Settlements

EPA negotiates cleanup agreements with potentially responsible parties (PRPs). These agreements are written in the form of administrative orders on consent or judicial consent decrees. Negotiations are based on model settlement agreements, which are usually modified to fit the circumstances at a particular site. [More information on work elements and long-term stewardship within settlement agreements, including institutional controls.]

EPA prefers to reach an agreement with PRPs to clean up a Superfund site instead of issuing an order or paying for it and recovering the cleanup costs later.

Settlement agreements must be:

  1. In the public interest, and
  2. Consistent with the National Contingency Plan.

A Special notice letter invites PRPs to enter into good faith negotiations and gives the PRPs 60 days to provide EPA with a good faith offer to do site work or pay for cleanup.

If PRPs provide a good faith offer, there is generally another 60 days for negotiation.

If PRPs do not submit a good faith offer at the end of 60 days, EPA may start the cleanup work or issue a unilateral administrative order under Section 106 of the Superfund law, requiring the PRPs to do the work.

Alternative Dispute Resolution

Administrative Dispute Resolution (ADR) uses techniques and processes that help parties resolve their disputes without resorting to litigation.

For more information on ADR, visit the Compliance and Enforcement Alternative Dispute Resolution page and the Office of General Counsel's Conflict Prevention and Resolution Center.

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