A new rule from the U.S. Environmental Protection Agency (EPA) now requires any company that makes or imports per- and polyfluoroalkyl substances (PFAS) to comply with stricter reporting and recordkeeping requirements. Chemical manufacturers will have to act fast to meet the rule’s reporting deadline of May 8, 2025.
The stakes are high. Noncompliance can result in penalties of up to $50,000 per day, per violation. And with PFAS making waves in the public discourse, companies could risk consumer backlash and reputational damage, too.
Satisfactory compliance could be determined in part by the quality and quantity of information an organization provides in comparison to others. A company that offers less data and/or less clear data than everyone else, for example, could stand out negatively or draw rebuke from the EPA.
Here are the key components of the EPA’s new PFAS rule, and what steps companies should take to ensure they are compliant.
So, What Do You Need to Report?
Though the statistics vary, there are roughly over 10,000 PFAS—and it’s not unusual for regulatory authorities to define them in different ways across many jurisdictions. Most importantly, by defining them as chemical structures (rather than a list of specific chemicals), the EPA has put the onus on manufacturers and importers to determine if their chemicals meet the definition of the PFAS rule.
Examples of information the EPA wants reported include but are not limited to:
- All existing information concerning the environmental and health effects of a reportable chemical substance. This means “any information of any effect of a chemical substance or mixture on health or the environment or both” and is intended to be interpreted broadly. This includes information on chemical substances developed or generated prior to 2011.
- Consumer and commercial-use information, including files maintained by the manufacturers and importers, such as marketing studies, sales reports, or customer surveys.
- Chemical-specific information, including Chemical Abstracts Index names, Chemical Abstracts Service Registry Numbers and information contained in standard references showing use information or concentrations of PFAS in mixtures, such as a safety data sheet or a supplier notification.
- Company and plant site information, including information from the CAS registry or from Dun & Bradstreet.
How to Prepare for the New PFAS Reporting Requirements in Four Steps
Ensuring that environmental compliance issues, such as the EPA's new rule, remain a priority throughout an entire organization can be challenging. Here are a few tactics that companies can leverage to get everyone on the same page and prepare for the new reporting requirements.
Senior executives must emphasize that this is a legal obligation. No one would tell the Internal Revenue Service that they lack the budget to do their taxes or that it’s not their responsibility—the same goes for PFAS compliance.
- Begin at the top
Getting ready for these new reporting mandates begins with the C-suite. Without support from top executives down to middle management and front-line staff, the organization will probably find it difficult to give EPA compliance the attention it needs. This is because many view these requirements as irrelevant to their roles or as costs that won't align with their budgets.
Company leadership can start by delivering internal, firmwide communications about new PFAS requirements. A CEO might send out a weekly email reminding key employees to secure important data related to these requirements, for instance. Senior executives must emphasize that this is a legal obligation. No one would tell the Internal Revenue Service that they lack the budget to do their taxes or that it’s not their responsibility—the same goes for PFAS compliance.
Employees must also be given enough working hours to accomplish compliance-related tasks. Their concerns need to be heard as well. They’ll have greater awareness of on-the-ground software issues, missing data and other challenges.
Lastly, executives should consider hiring or designating an internal champion for PFAS compliance. Compliance can often become no one’s problem because it’s everyone’s problem. Having a point-person can help others stay on track.
The EPA requires information going back to 2011. It can be hard enough to collect one year of data, let alone 13 years. Company restructurings or the adoption of new software systems in that period can pose additional roadblocks that executives must factor into their PFAS readiness timelines.
- Plan for an extended readiness timeline
To meet these fast-approaching deadlines, companies will have to create their own data collection and reporting infrastructure from the ground-up. It won’t happen overnight. That’s why it’s important that they begin building that infrastructure now.
This is especially true for companies that have never studied the upstream impacts of the forever chemicals they produce. They may, for example, understand how PFAS used in the manufacturing process impacts their employees and consumers but have little insight into their impact on local waterways and those who drink from those waterways.
To complicate matters further, the EPA requires information going back to 2011. It can be hard enough to collect one year of data, let alone 13 years. Company restructurings or the adoption of new software systems in that period can pose additional roadblocks that executives must factor into their PFAS readiness timelines.
Companies should consider adopting third-party compliance software backed by a team dedicated to monitoring new regulations. Ideally, the developer also has the means to integrate these compliance tools into other types of internal software systems, such as enterprise resource planning.
- Implement appropriate software tools and resources
Some companies manage their entire compliance program on an Excel spreadsheet. Others only hire a single person to monitor environmental regulations around the world and expect that individual to create documentation in multiple languages. These are the kind of half measures that make it hard for organizations to mobilize quickly in response to tight compliance deadlines. They’re often more expensive, too.
Instead, companies should consider adopting third-party compliance software backed by a team dedicated to monitoring new regulations. Ideally, the developer also has the means to integrate these compliance tools into other types of internal software systems, such as enterprise resource planning.
Those impacted by the ruling should also consider engaging a partner that can provide proactive, data-driven recommendations, cross-functional regulatory initiatives and a long-term roadmap for compliance.
- Reach out to suppliers—and set them up for success
Companies may not be able to get all the necessary reporting data from their own software systems. Anything that’s considered “off-the-shelf,” such as O-rings and valves, may have required the use of PFAS in the manufacturing process; in those cases, contacting suppliers to acquire such information is a necessity.
This entails ongoing supplier communication and support in the lead-up to the deadline, as many operate in other jurisdictions and may not be up to date on the latest U.S. regulations. They may be confused as to why they are suddenly receiving a series of emails asking for information they’ve never had to disclose before—especially if it’s not stipulated in their contracts. It may be useful to call these suppliers, explain the new EPA reporting requirements and redraw contracts if they are no longer applicable.
This Moment is an Opportunity
The scope of these reporting requirements feels like a lot. That’s because it is. Organizations will now be responsible for collecting a vast trove of data on PFAS. But by meeting these stricter reporting and recordkeeping requirements, companies will develop greater trust with their clients and customers, as well as help safeguard the health and wellbeing of the communities they serve.
