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CONTENTS

INTRODUCTION .......................................................................................................................................... 1 EXECUTIVE SUMMARY ............................................................................................................................. 3 Congress Mandate to Eliminate the Obsolete Fleet................................................................................. 3 Foreign Dismantling Practices Banned.................................................................................................... 3 Ocean Disposal Practices Adopted........................................................................................................... 4 Ocean Disposal Violates U.S. and International Ocean Dumping Regulations...................................... 4 Navy Studies Claimed No Harm .............................................................................................................. 4 New Evidence Disclaims Navy’s No Harm Assumptions .........................................................................5 Despite New Evidence – More Ocean Dumping.......................................................................................5 Recommend Domestic Recycling as Preferred Disposal Method ............................................................5 Chronology of Events ............................................................................................................................... 6 LEGAL FRAMEWORK..................................................................................................................................7 U.S. Ship Management..............................................................................................................................7 London Convention ...................................................................................................................................7 Marine Protection, Research and Sanctuaries Act ................................................................................. 11 Toxic Substances Control Act..................................................................................................................14 Stockholm Convention ............................................................................................................................ 17 OECD ....................................................................................................................................................... 17 HUMAN HEALTH RISK.............................................................................................................................18 Artificial Reefs .........................................................................................................................................18

Table 1: ORISKANY Site Fish PCB Sampling: Pre-sinking vs. Post-sinking Concentrations 2006- 2009 .................................................................................................................................................... 20

Table 2: Fish PCB Sampling: ORISKANY Site vs. Control Reef Site 2008 ....................................... 20 SINKEX................................................................................................................................................... 22 INTERNALIZED COSTS............................................................................................................................ 25 Artificial Reefing Costs ........................................................................................................................... 25 Table 3: Artificial Reef Costs 2006-2009............................................................................................27 SINKEX Costs......................................................................................................................................... 28 Table 4: SINKEX Cost Estimates 2005-2008.................................................................................... 30 Domestic Recycling Costs....................................................................................................................... 30 EXTERNALIZED COSTS ........................................................................................................................... 32 Natural Resource Costs .......................................................................................................................... 32 Table 5: Vessel Composition and Material Value of Vessels Dumped at Sea 2000-2010 ................ 34 Air Pollution Costs.................................................................................................................................. 34

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