Changing corporate strategies, consumer demand, market forces, global pandemics, and numerous micro and economic factors are the driving forces behind the need to outsource Environmental, Health, and Safety (EHS) functions. While many studies have been conducted to assess this phenomenon, understanding the need for these services is simple, company’s need help and they need it now!
For over 30 years TRC has been providing EHS outsourcing services to industry. At face value, the outsourcing of EH&S functions might seem like a win-win for both the consultant (billable hours) and the client (they finally get the support they need). However, there are challenges that need to be considered by both sides to ensure that this relationship benefits both the client as well as the consultant.
The Good
- Communication. Like personal relationships, the key to any successfully outsourcing relationship relies on good communication. For the client this means clearly documenting the roles, responsibilities, and duration of the position that they need to fill. For the consultant, this means carefully listening to the client’s needs and identifying the right internal staff with the necessary expertise and experience for the outsourcing role. A good consultant will not be afraid to turn down an opportunity if they don’t have staff who are the right fit for the role.
- Expertise. While this might seem obvious, many clients don’t appreciate that by outsourcing EHS functions, they are able to tap into the consultant’s full wealth of technical talent so that when unusual problems crop up, they can often be quickly resolved.
- Responsiveness. Hiring staff in the best of times is a time consuming and challenging and in today’s highly competitive labor market is particularly difficult. By outsourcing EHS functions, clients can often get the support they need in a matter of days, rather than months.
- Insight. For consultants, providing clients with internal EH&S support often provides them valuable insight into the clients they serve. This insight can be used to pursue additional opportunities within the client’s organization or propose solutions to solve client problems.
- Cost. While not always significant, the outsourcing of corporate EHS functions is usually a more cost-effective option when compared to the costs required to identify and hire a similarly qualified full-time internal EHS professional (including costs for benefits).
The Bad
- Communication. When the roles and responsibilities of the outsourced EHS position are not well defined this can lead to challenges for both consultant and client. Typically, these challenges can be quickly overcome, but poor communication can slow down the integration process and in the short-term limit the effectiveness of the outsourced professional.
- Contracts. Outsourcing is a very different type of project than a typical consultant to client project. In TRC’s experience it’s important that the contract between the two parties reflective these differences and is specific to the outsourcing opportunity and needs of the client.
- Expertise. The outsourcing of EHS talent can lead to the temporary loss of talent within the consulting firm. For small firms this loss of talent can be significant, while it’s impact on larger firms is typically negligible.
- Reliance – In TRC’s experience over relying on the consultant can harms a company’s EHS program. The outsourced relationship works best when the consultant provides guidance and recommendations and the client is the decision maker. In addition, legally there are some responsibilities that cannot be delegated to the outsourced consultant including signing hazardous waste manifests, filling out OSHA logs, and conducting internal accident investigations.
- Know Your Industry. Some industries are complex and involve higher risk operations, such as the chemical industry. Therefore, there is typically a large learning curve to effectively outsource an EHS function to these industries. In TRC’s experience, outsourced EHS functions in process-intensive industries needs to be done very carefully and on a case by case basis. For the Company in these industries, outsourcing EHS functions to a consultant can lead to the loss of internal institutional knowledge that is difficult to replace.
The Ugly
There is no ugly! In TRC’s experience the outsourcing of EHS functions is a mutually beneficial relationship for both the client and consultant. We expect the demand for outsourced EHS professionals to continue to grow in 2021 and beyond.
Sharing Our Perspectives
Our practitioners share their insights and perspectives on the trends and challenges shaping the market.
Changes to EPA’s Risk Management Program (RMP) Regulations Are Coming
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Changes to the Risk Management Program (RMP) regulations were signed into a final rule on February 27, 2024, by EPA Administrator Michael S. Regan.
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Once established, an EHS/ESG management system must be routinely evaluated to ensure it remains effective to identify and control risks, as well as accommodate and adjust for changes that occur to/within the organization.
EPA Publishes Effluent Guidelines Program Plan 15
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The EPA announced updated effluent limitations guidelines under Plan 15, focusing on the evaluation and rulemaking process for per- and polyfluoroalkyl substances (PFAS) discharges.
Proactive Enforcement is Key in the EPA FY2022-2026 Strategy
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A core element of the EPA FY2022-2026 Strategic Plan focuses on environmental compliance.
Optimizing EHS/ESG Information Management and Reporting Systems by Leveraging Innovative Digital Technology Solutions
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A single, integrated enterprise wide EHS/ESG IMS can significantly improve performance and communicate progress towards organizational requirements and goals.
Five New PFAS Added to EPA Regional Screening Levels (RSLs)
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EPA announced the addition of five new PFAS to the list of Regional Screening Levels (RSLs)
Integrating Sustainability, Digital Connectivity and Design Optimization in Wastewater Treatment Systems
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Some organizations rarely think about water and wastewater treatment, until there is a problem. American industry depends on the ability to treat wastewater discharges while complying with regulatory standards and addressing emerging contaminants. If wastewater treatment fails, our environment is negatively impacted, and companies are exposed to shutdowns, delays and fines.
Support an Integrated EHS/ESG Management System
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Worst Case Discharges of Hazardous Substances – Proposed Rule
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In compliance with the Clean Water Act (CWA), the U.S. Environmental Protection Agency (EPA) recently proposed a new rule for onshore non-transportation-related facilities requiring specified facilities to plan for worst case discharges (WCDs) of CWA hazardous substances that could cause substantial harm to the environment.
PFAS Discharges and NPDES Permits
May 25, 2022
On April 28, 2022, the U.S. Environmental Protection Agency’s (EPA) Office of Water released a memo addressing the use of National Pollutant Discharge Elimination System (NPDES) permits to restrict per- and poly-fluoroalkyl substances (PFAS) discharges to water bodies.
How to Use an Integrated Approach To Manage EHS and ESG Risks
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While a Phase I Environmental Site Assessment (ESA) is a common method for identifying environmental liabilities during transactional due diligence, the ASTM International standard for Phase I ESAs (E1527-13, with proposed E1527-21 awaiting adoption) omits regulatory compliance from its scope. For properties containing operations that may be applicable to environmental compliance regulations, performing a limited environmental regulatory review can identify potential deficiencies with the environmental management of the facility. A limited environmental compliance review typically evaluates the presence of material findings that may exist in a facility’s management of its environmental compliance requirements. Material findings are defined as a condition of non-compliance that could necessitate expenditures, not including attorney fees or regulatory agency penalties, in excess of a specified dollar amount or materiality threshold. The materiality threshold is based on the client’s risk tolerance and is often in the range of $50,000. However, this amount is arbitrary and can be revised as appropriate. Non-material deficiencies, those identified below the materiality threshold, would still require action but are within the client’s risk tolerance.
SEC Releases New Proposed Rules Requiring Public Companies to Disclose Climate Risks
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On March 21, 2022, the U.S. Securities and Exchange Commission (SEC) issued its proposed rules for The Enhancement and Standardization of Climate-Related Disclosures for Investors which would require public companies in the U.S. to disclose information in their annual financial reports.
PFOA & PFOS As CERCLA Hazardous Substances: What Does This Mean and How Can You Be Prepared?
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A plan to designate two per- and polyfluoroalkyl substances (PFAS) as “hazardous substances” under CERCLA was recently submitted by the EPA.
EPA Adds First New Hazardous Air Pollutant Since 1990
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EPA finalized a rule to add 1-bromopropane to the federal list of hazardous air pollutants (HAPs) on December 22, 2022.
EPA Finalizes TRI Reporting Requirements for Natural Gas Processing Facilities
December 7, 2021
EPA finalized rule to add natural gas extraction and/or processing plants to Toxics Release Inventory reporting requirements
OSHA’s National Emphasis Program on Heat-Related Illness and Injuries
November 3, 2021
On September 20, 2021 in an OSHA National News Release, OSHA published a memorandum establishing an enforcement initiative that is designed to prevent and protect employees from heat-related illnesses and death. This initiative, which develops a National Emphasis Program (NEP) on heat inspections, is an expansion of an already existing Regional Emphasis Program (REP) in OSHA’s Region VI, which covers Arkansas, Louisiana, New Mexico, Oklahoma and Texas.
NJDEP Implements New Jersey Environmental Justice Law Through Administrative Order
October 5, 2021
On September 22, 2021, the New Jersey Department of Environmental Protection (NJDEP) Commissioner announced the issuance of Administrative Order (AO) No. 2021-25 to implement New Jersey’s Environmental Justice (EJ) Law. This order is effective immediately, and applicants seeking to site new major source facilities, renew major source permits or expand existing facilities with major source permits (e.g., Title V air permits) in overburdened communities are affected. There are more than 4.5 million people that live within 331 municipalities that are overburdened communities in the state of New Jersey.
OSHA’s Call for Comments on Mechanical Power Press Standard Changes
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OSHA has recently published a call for comment regarding mechanical power presses. The reason behind OSHA’s request is that the American National Standards Institute (ANSI) consensus standard for mechanical power presses has been updated numerous times since the implementation of OSHA’s standard.
OSHA Returns to In-Person Inspections As COVID-19 Restrictions Lift
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The Occupational Safety and Health Administration (OSHA) is authorized by the Occupational Safety and Health Act of 1970 (OSH Act) to assure employers provide safe and healthful work conditions free of recognized hazards and by setting and enforcing standards and providing training, outreach, education and technical assistance. OSHA has recently announced the return to in-person inspections as COVID-19 restrictions begin to lift.
EPA Proposed PFAS Reporting Requirement
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New proposed rule would require all manufacturers and importers to report any amount of PFAS onsite
Managing EHS & ESG Risks Through Integrated Systems Today and Beyond
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It has been more than 50 years since the development and establishment of the federal Environmental Protection Agency (EPA) and the federal Occupational Safety & Health Administration (OSHA) which were formed to protect our environment and workplaces across the United States. Significant laws, policies and regulations followed to establish the “regulatory programs” that all applicable businesses and entities must address and meet to ensure these compliance-driven legislative programs would create a foundation to protect our society.
OSHA COVID-19 Guidance, Regulation and Enforcement to Protect Workers
April 13, 2021
The Occupational Safety and Health Administration (OSHA) has signaled their intent to provide more guidance, regulation and enforcement with respect to protecting workers from contracting COVID-19 at their place of work. Among the key developments:
2020: A Year to Remember or a Year to Forget?
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Published in EM Magazine, December 2020, this article by TRC’s David Elam speaks to the importance of pausing to reassess the work challenges we’ve faced due to COVID-19 this year and our accomplishments despite the challenges, and how to prepare for the coming year, after one of the most difficult years in modern history.
TRC Companies Inc. Acquires 1Source Safety and Health
November 11, 2020
TRC Companies (“TRC”), a leading technology-driven provider of end-to-end engineering, consulting and construction management solutions, has acquired 1Source Safety and Health, a firm that provides management consulting services in areas such as indoor air quality, asbestos management, industrial hygiene and safety management systems.
TRC Awarded a Yahara WINS Grant
August 28, 2020
TRC was recently awarded a Yahara WINS grant to develop a pilot scale simple aeration method for removing phosphorous from the discharge of manure digesters. The grant application was developed and submitted by: Bob Stanforth, Alyssa Sellwood, Mike Ursin, Ted O’Connell, Ken Quinn, and John Rice, who are members of multiple TRC CORE teams.
Ecological Risk of PFAS from AFFF-Impacted Sites
June 30, 2020
The facts on evaluating exposure to wildlife
How to Implement ISO 45001 – 2018, Occupational Health and Safety Management System
April 1, 2020
In March 2018, ISO finalized its occupational health and safety (OH&S) management system standard ISO 45001-2018. For those companies certified under the former occupational health and safety management system standard OHSAS 18001, the clock is ticking if you are considering migrating to the new ISO standard and maintaining your current certification. Companies that have implemented OHSAS 18001 and are interested in maintaining certification have until March 2021 or about a year to implement the new standard or lose certification.
TRC Brings Environmental Services to Manchester with Second UK Office
March 5, 2020
In continuing to expand our presence in a key British market, TRC is opening our second UK office in Manchester, England
2020 New Year’s Safety Resolution? How About Construction Safety?
February 20, 2020
Safety isn’t all about tracking statistics. To make it work, you need to interact positively with people. TRC construction health and safety specialist Cody Gladstone explains how to gain credibility on the jobsite and get everyone home safe at the end of the day.
