The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1995, Landmark Communications, Inc.

DATE: Saturday, February 11, 1995            TAG: 9502110107
SECTION: LOCAL                    PAGE: B7   EDITION: VIRGINIA 
SOURCE: ASSOCIATED PRESS 
DATELINE: RICHMOND                           LENGTH: Short :   45 lines

STATE'S ATTORNEY GENERAL BACKS OFF THREATS TO EPA

Attorney General James S. Gilmore III said Friday he has backed off from a threat to seek an injunction against the Environmental Protection Agency now that the agency has assured him it will not freeze the state's federal highway funds this year.

Gilmore sued the EPA Jan. 9, charging that the agency has no constitutional right to cut off the funds and force Virginia to comply with the 1990 federal Clean Air Act.

The state is continuing with the U.S. District Court lawsuit, Gilmore said. But he's dropped his threat to seek an injunction to protect the state from federal sanctions.

In a statement, Gilmore said EPA officials guaranteed him that federal highway money for Northern Virginia and the Richmond area is safe for about another year. The EPA has said those two areas and the Hampton Roads region must adopt a federally approved vehicle emissions testing program to reduce smog.

Gilmore touted the situation as a victory for Virginia, but Cecil Rodrigues, the EPA's assistant regional counsel, said the agency simply clarified for Gilmore how it would handle freezing the highway funds.

``We didn't compromise any authority we have,'' Rodrigues said. ``All we said is well, yeah, these are the facts, so you shouldn't file your motion.''

The main thrust of the lawsuit is the auto emissions testing dispute. The EPA wants central testing facilities in place of the current, less-expensive practice of allowing service stations to conduct the tests.

The EPA has backed away from requiring the centralized testing as long as states show alternative programs also reduce smog-causing tailpipe emissions. But Allen says Virginia shouldn't have to comply.

Another point of contention is the state's air permit program. The EPA has threatened to take over the permitting program, which brings in up to $10 million a year in fees for the state, if Virginia doesn't expand the right of citizens to sue when they think they will be harmed by air pollution. by CNB