The role of environmental managers and their legal advisers has become increasingly central to the survival and growth of firms -- as issues of environmental protection and sustainability become a focus for businesses worldwide. In this context, getting the environmental function "right" aims not only at satisfying operational goals, such as reduced risk and financial exposure, but also at contributing to the development of winning capabilities and their firm's competitive positioning. Environmental managers must be conversant in the analytical frameworks that their corporate counterparts use to analyze competitive positions and strategy for preserving and creating economic and shareholder value.
I have developed a deep understanding of what financial markets define to be minimal acceptable rates of return, how performance is measured, and the role environmental managers and investments play in the achievement of these results. In spite of difficulties resulting from competition, globalization, technology and ownership change, regulations and economic cycles, the key to success is to understand how profitability comes from strategy which is appropriately formulated and implemented. My forte in this arena is being able to translate environmental strategy and decision-making into financial justification and measures of economic value.
Financial valuation, disclosure and reporting is the language of business. Corporate financial reporting of environmental risks and liabilities is an area of expertise for me. This includes mechanisms and controls for identifying, evaluating, and making defensible judgments on complex environmental matters and financial liabilities.
In areas of analysis and resolution of environmental disputes, I have the proven skill sets for the quantification of damages, valuation and research, cost estimation of remedies, allocation methods, and information management.
The significant environmental cases that Ive specifically worked on include the following:
SEC v. U.S. Steel
Settled by consent, the Commission found that U.S. Steel Corp made inadequate disclosure of environmental matters. As part of its offer of the settlement, U.S. Steel undertook to appoint a task force to review its environmental disclosure program and to prepare a report to its Audit Committee settling forth procedures to provide for timely and complete disclosures. Conducted study in support of the report to develop independent estimate of the next five years of corporate environmental compliance costs for air and water controls, and mining reclamation, across its whole portfolio of businesses.
Dayton Independent Schools District v. United States Mineral Products Company, et.al.
In a litigation support role to W.R.Grace involved a major asbestos class action suit, assisted in discovery and in development of a document control system to accumulate and analyze historical abatement information and project future maintenance costs, covering hundreds of commercial facilities.
Voluntary Purchasing Groups, Inc. v. Reilly
In a Superfund cost recovery action, helped to defend Voluntary Purchasing Group, Inc. in CERCLA litigation at the Crystal Chemical Superfund site (near Houston, TX). Plaintiffs included Federal EPA and Southern Pacific Transportation Company. Helped assessed apportionment of past response costs and proposed future allocations among PRP companies involved with this Superfund site.
Other Inside Counsel Support, in the case of U.S. v. Avtex Fibers, Inc. (Successor Liability Superfund Lawsuit)
FMC Corp owned and operated this plant in Front Royal, VA between 1963-1977, which later became an NPL site. In 1976 FMC sold the site to several officers of FMC, who then formed Avtex Fibers, Inc. For inside counsel of FMC Corp, assisted in litigation strategy for lawsuits brought by FMC against government federal agencies, who eventually agreed to pay one-third of FMCs cleanup costs. The governments liability was associated with its control of rayon manufacturing operations during WWII.
Other Outside Counsel Support
For outside counsel of General Motors, assisted in discovery to support plaintiff environmental damage cross-claims related to contamination resulting from historical WWII War Production Department efforts, where 60 years later GM was seeking reimbursement from the Department of Defense.
My relevant publications and articles include the following citations listed below.
"The Financial Consultant's Role in Superfund Environmental Disputes," Litigation Services Handbook, 2nd edition, 1995. (see attached file, Chapter 18B, below)
Jonardi, R.J., and Koss, T.C., "Clean Air Act Legislation and Regulated Pollutants," Standard Handbook of Powerplant Engineering, McGraw-Hill, 1989.
"Study of U.S. Steel Corporation Environmental Compliance Requirements and Costs, Period 1980-1984."
"Capital Budgeting Analysis Can Show Financial Benefits of Compliance Efforts," Prevention of Corporate Liability, March 1994. (see attached file below)
In addition, I served as a subject matter expert in the preparation of the following widely referenced publications:
AICPA's Statement of Position 96-1, Environmental Remediation Liabilities, prepared by the Accounting Standards Executive Committee of the American Institute of Certified Public Accountants, Oct 10, 1996.
AICPA's Statement of Position 03-2, Attest Engagements on Greenhouse Gas Emissions Information, Sept 22, 2003.
Price Waterhouse. Accounting for Environmental Compliance: Crossroad of GAAP, Engineering, and Government, 1992.
Price Waterhouse. Progress on the Environmental Challenge: A Survey of Corporate America's Environmental Accounting and Management, 1994.
"Green Accounting: A Primer," Journal of Accounting Education 24(1):35-66, Dec 2006, authors R. K. Fleischman and K. Schuele, John Carroll University.