April 12 -- A U.S. Senator from Washington has
introduced legislation that would make it more difficult for companies
declaring bankruptcy to escape financial responsibility for
environmental cleanups.
Sen. Maria Cantwell, a Democrat, said the measure would address
loopholes and lax enforcement that allow companies to shirk their
cleanup responsibilities, forcing taxpayers to pick up the tab.
"We need to make sure itīs the polluter who pays and not the
taxpayers," Cantwell said when she introduced the bill April 11. "My
legislation will fix environmental laws and empower federal regulators
to hold companies accountable."
Cantwell based her bill on the findings of an August 2005 report by
the Government Accountability Office, an investigative arm of Congress.
The report concluded that corporate polluters were using bankruptcy laws
to evade environmental responsibilities, and that the Environmental
Protection Agency could do a better job of ensuring that liable parties
meet their cleanup obligations.
The existing law allows a parent company to avoid responsibility for
environmental cleanups by acting through subsidiaries, Cantwell said.
Her bill would direct the EPA to more closely examine the relationship
between parent companies and subsidiaries.