Summary: Pursuant to a congressional request, GAO reported on the U.S. Synthetic Fuels Corporation's (SFC) action on its proposed Hampshire Energy project in Wyoming.
GAO found that, because necessary preconstruction permits can be obtained on a schedule that would permit construction to begin in 1983, SFC has conditionally advanced the project into financial assistance negotiations. GAO also found that SFC staff are relying heavily upon the Wyoming permitting process to assess the project's environmental control technology and socioeconomic impact strategies while making their own assessment independently. There are pressures on SFC and the state permitting agencies to act on the proposal; however, environmental groups are pressuring the state to delay the permit process until information is complete. SFC has required an environmental monitoring plan outline from Hampshire, which was submitted in revised draft form but has not been approved. A monitoring plan will be requested after the financial assistance agreement has been awarded.