DURING AN INSPECTION IN AUGUST 1996, EPA DETERMINED THAT THE NORTH SLOPE BOROUGH (NSB) WAS STORING HAZARDOUS WASTE AT ITS SOLID WASTE LANDFILL IN BARROW WITHOUT A PERMIT AND IN VIOLATION OF RCRA STORAGE REQUIREMENTS. EPA HAS BEEN ENGAGED IN PRE-FILING NEGOTIATIONS WITH NSB ON A CONSENT ORDER THAT WILL ADDRESS THE VIOLATIONS AND WILL ASSESS A PENALTY. IN THE CONTEXT OF THOSE NEGOTIATIONS, THE NSB HAS ASSERTED THAT IT SELF DISCLOSED THE VIOLATIONS TO EPA AND IS ENTITLED TO PENALTY RELIEF UNDER THE SELF DISCLOSURE POLICY. EPA HAS REQUESTED MORE INFORMATION AND IS STILL EVALUATING THE CLAIM, BUT IT APPEARS THE NSB DOES NOT QUALIFY FOR RELIEF BECAUSE ALL NSG DISCLOSURES OCCURRED AFTER THE NSB RECEIVED A WARNING LETTER FROM THE STATE OF ALASKA DATED 6/21/95, WHICH INDICATED THAT THE NSB WAS ILLEGALLY STORING RCRA HAZARDOUS WASTE AT ITS BARROW LANDFILL.