ENVIRONMENT WORKING GROUP

November 12, 2003

BACKGROUND

Since the signing of the La Paz Agreement in 1983, the United States and Mexico have worked together to realize their shared commitment to environmental quality along their common border. In recent years, these collaborative efforts have been expanded from the border to embrace new areas of bilateral cooperation, in partnership with State governments and with active public participation.

ACCOMPLISHMENTS

Border 2012 EPA, SEMARNAT, and the ten border States finalized the U.S.-Mexico Environmental Program, Border 2012, in December 2002, and its implementation began early in 2003. All Border 2012 working groups have conducted binational meetings with public participation. Thirteen proposals in support of agreed workgroup priorities were selected to receive financing in the total amount of $565,000. EPA's Regions 6 and 9 are also soliciting proposals to fund additional joint projects in the border region to fulfill the goals of Border 2012.

Border Environment Cooperation Commission (BECC) and North American Development Bank (NADBank) Both sides are taking steps toward implementing the BECC and NADBank reforms agreed upon by Presidents Bush and Fox, amplifying the geographic coverage of both institutions to 300 kilometers within Mexico and thereby improving the financing options through low-interest loans and grant funds.

Border Air Quality Strategy (BAQS) The governments of Mexico and the United States signed the BAQS in November 2002. EPA and SEMARNAT have identified three pilot projects to implement the initiative.

Initiative for Clean Fuel and Vehicles EPA and SEMARNAT agreed to collaborate on the development of a pilot retrofit program for diesel buses and trucks in Mexico City.

"Metales y Derivados" An inter-governmental group involving SEMARNAT, EPA, BECC, NADBank, PROFEPA, and the government of the State of Baja California was formed and developed a master plan for remediation of the Metales y Derivados site. The State of Baja California applied for a loan to help finance cleanup operations at the Metales y Derivados site through the BECC for funding by the NADBank. The application package is currently being reviewed for project certification by the BECC.

PLAN OF ACTION FOR BNC 2004

• The first National Coordinators meeting of the Border 2012 Program will occur in Matamoros, Tamaulipas, December 2-4, 2003. At this meeting, Border 2012 projects and work plans for 2004 will be discussed and developed by all working groups.

• EPA and SEMARNAT will continue to support the process of reforming the BECC and NADBank in 2004 with the goal of seeing crystallized the changes in administration and operations necessary to fulfill their mandate with the utmost efficiency. Both sides likewise undertake to review jointly the funding processes for the Border Environment Infrastructure Fund (BEIF) in light of growing water and wastewater infrastructure demands.

• The two sides will continue their cooperative efforts to identify and revitalize Brownfields sites along the border and will revisit the goal of an integrated system for tracking trans-border movement of hazardous wastes. EPA/Region 6 will launch a project to inventory potential Brownfields sites along the lower Rio Grande River. The Border 2012 Waste Workgroup will undertake a "clean up-to-revitalization" project at a selected Brownfields site. Both projects have received funding from EPA's Office of International Affairs. The parties will also examine financial and legal questions associated with cross-border emergency response.

• EPA and SEMARNAT reaffirm their commitment under the BAQS to reduce air pollution along the border and will continue development and implementation of pilot projects. The two sides will implement the pilot project for reducing diesel bus emissions in Mexico City. They also intend to pursue implementation of partnerships launched at the 2002 World Summit on Sustainable Development, to support the reduction of sulfur in gasoline and diesel fuel and improved indoor air quality.

• As part of the U.S. White Water to Blue Water (WW2BW) Initiative, the two countries will continue to collaborate through 2004 on bilateral efforts to detect, track, and ultimately forecast polluting events in the Gulf of Mexico, such as the "red tide" phenomena. EPA and SEMARNAT experts will participate in a WW2BW conference in Miami in March 2004.

• Both sides will explore expanding the successful cooperation among the ten Border States to encourage partnerships involving other U.S. and Mexico non-Border States. EPA and SEMARNAT will also pursue the possibility of reciprocal staff exchanges to improve cooperation and further exchange of experience on best practices of environmental management.

FUTURE PLAN OF ACTION PROJECTION

Over the next ten years, EPA and SEMARNAT will focus on meeting the goals of Border 2012. The two agencies will continue to engage States, Tribes, local governments, and communities in improving environmental conditions for citizens of both countries. The two sides will maintain their firm commitment to the success of the BECC and the NADBank, with particular attention to the growing demands on water and wastewater infrastructure along the Border.

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