Private-Sector Preparedness
The mandate of the Department of Homeland Security does not end with government;
the department is also responsible for working with the private sector to ensure
preparedness. This is entirely appropriate, for the private sector controls 85
percent of the critical infrastructure in the nation. Indeed, unless a
terrorist's target is a military or other secure government facility, the
"first" first responders will almost certainly be civilians. Homeland
security and national preparedness therefore often begins with the private
sector.
Preparedness in the private sector and public sector for rescue, restart, and
recovery of operations should include (1) a plan for evacuation, (2) adequate
communications capabilities, and (3) a plan for continuity of operations. As we
examined the emergency response to 9/11, witness after witness told us that
despite 9/11, the private sector remains largely unprepared for a terrorist
attack. We were also advised that the lack of a widely embraced private-sector
preparedness standard was a principal contributing factor to this lack of
preparedness.
We responded by asking the American National Standards Institute (ANSI) to
develop a consensus on a "National Standard for Preparedness" for the
private sector. ANSI convened safety, security, and business continuity experts
from a wide range of industries and associations, as well as from federal,
state, and local government stakeholders, to consider the need for standards for
private sector emergency preparedness and business continuity.
The result of these sessions was ANSI's recommendation that the Commission
endorse a voluntary National Preparedness Standard. Based on the existing
American National Standard on Disaster/Emergency Management and Business
Continuity Programs (NFPA 1600), the proposed National Preparedness Standard
establishes a common set of criteria and terminology for preparedness, disaster
management, emergency management, and business continuity programs. The
experience of the private sector in the World Trade Center emergency
demonstrated the need for these standards.
Recommendation: We endorse the American National Standards
Institute's recommended standard for private preparedness. We were encouraged by
Secretary Tom Ridge's praise of the standard, and urge the Department of
Homeland Security to promote its adoption. We also encourage the insurance and
credit-rating industries to look closely at a company's compliance with the ANSI
standard in assessing its insurability and creditworthiness. We believe that
compliance with the standard should define the standard of care owed by a
company to its employees and the public for legal purposes. Private-sector
preparedness is not a luxury; it is a cost of doing business in the post-9/11
world. It is ignored at a tremendous potential cost in lives, money, and
national security.
