12/15/83

Execution of Confidentiality Agreements Under Section 114 of The Clean Air Act

                              DEC 15 1983


SUBJECT:  Execution of Confidentiality Agreements under
          Section 114 of the Clean Air Act


FROM:     Joseph A. Cannon, Assistant Administrator
            for Air and Radiation (ANR-443)


TO:       Office Directors
          Regional Administrators


     The purpose of this memorandum is to review aspects of existing
regulations and procedures with respect to agreements relating to
confidential treatment of information claimed to be trade secret.
     Obtaining the information needed for rulemaking and other
activities of this office is essential to carrying out the
responsibilities which have been assigned to it.  Section 114 provides
EPA with authority to obtain the needed information.  In the past, we
have generally sought to obtain the necessary information by requesting
it in a "Section 114" letter or by entering appropriate facilities.  We
have sought, wherever possible, to obtain responses to such letters and
to arrange such entry on a consensual basis, i.e., to avoid the
necessity to use the enforcement mechanisms provided by Congress.
     For that reason we have generally sought, and will continue to try,
to respond favorably to reasonable company requests for clarification
or explanation of information requests, for additional time, or for use
of some more convenient and equally useful form or manner of response.
We have also established, by regulation and by contract provision,
reasonable safeguards, deterrents and sanctions against the improper
disclosure of information claimed to be trade secret, including the
debarment of contractors ( whether or not such contractors have been
designated EPA representatives ) and the constituting of sources as
third party beneficiaries of the terms of EPA contract provisions
relating to handling of such information, 40 CFR Part 2, 41 CFR 15-
1.350-1, 15-1.350-2.  These protections and remedies are additional to
the protections and remedies afforded by other provisions of law, e.g.,
common law and State criminal law.