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Workshop BB
The Next Business Challenge … Managing Water in an Era of
Increased Quality Standards … Permitting & Compliance Challenges
in Ohio, Indiana & Kentucky
Wednesday, March 22, 2017 8:00 a.m. to 9:15 p.m.
Biographical Information
David A. Owen, Attorney, Dickinson Wright PLLC 300 West Vine Street, Suite 1700, Lexington, KY 40507
859-899-8707 Fax: 859-899-8759 [email protected] David Owen is a member in the law firm of Dickinson Wright PLLC and has over 25 years of experience counseling businesses on a wide range of environmental issues, including water, waste and air permitting, defending enforcement actions by state and federal authorities and litigating environmental disputes. In those capacities he represents manufacturing facilities, agri businesses, petroleum companies and energy companies, among others. David holds a Bachelor of Science degree in Chemical Engineering from Clemson University and graduated cum laude from Salmon P. Chase College of Law, Northern Kentucky University, with a Juris Doctor degree. In addition to practicing law, David serves as a Director and the Chairman of the Governance and Nominating Committee of Omega Protein, Inc., a public company that produces a variety of human and animal nutrition products.
Tiffani Kavalec, Chief, Division of Surface Water, Ohio EPA PO Box 1049, Columbus, OH 43216-1049 614-644-3538 Fax: 614-644-2745
Tiffani Kavalec assumed the position of Ohio EPA’s Division of Surface Water (DSW) Chief in August, 2015. She has been with Ohio EPA since 1995 where she started as an Environmental Specialist in the Division of Environmental Response & Revitalization’s (DERR) enforcement program negotiating state and federal superfund actions. In early 2002, Tiffani became the manager of the Site Assessment and Brownfield Revitalization (SABR) Program which included working with the Ohio Department of Development to set environmental policy and outreach to local governments for Clean Ohio Funding of brownfield cleanups in Ohio. In 2009, she became the manager of DERR’s Assessment, Cleanup and Reuse (ACRE) section, where her duties included oversight of Ohio’s Voluntary Action, Federal Facilities, Remedial Response, Site Assessment, and Natural Resource Damages’ Programs. In February of 2014, Tiffani was asked to become the Assistant Chief of DERR. However, a mere five months later in August 2014, it was determined that Ohio EPA could use her skills as an Assistant Chief in DSW to directly oversee NPDES, PTI, Storm Water, 401, Isolated Wetlands, Enforcement & Compliance, and 319 grants. Tiffani received a bachelor’s degree in environmental science from Indiana University and completed more than three years of post-graduate work through the University of Findlay’s Environmental Management Program.
Biographical Information
Paul Higginbotham, Deputy Assistant Commissioner, Office of Water Quality Indiana Department of Environmental Management
100 North Senate Avenue, IGCN 1255, Indianapolis, IN 46204-2251 317-232-8631 Fax: 317-232-8406 [email protected]
Paul Higginbotham is the Deputy Assistant Commissioner, Office of Water Quality within the Indiana Department of Environmental Management (IDEM). He has been with IDEM since 1992, serving as Chief of the Permits Branch in the Office of Water Quality for nine years and also served as the Solid Waste–Underground Storage Tank Enforcement Section Chief. Paul has a Bachelor of Arts (B.A.) in Biology from Anderson University.
Jory M. Becker, P.E., Environmental Engineering Branch Manager Water Infrastructure Branch – Kentucky Division of Water
300 Sower Boulevard, Frankfort, KY 40601 (502) 782-6887 [email protected]
Mr. Becker attended college at Florida State University, receiving a B.S. in Chemical Engineering. His career includes over 21 years of experience in both the public and private sectors of the environmental engineering field. Mr. Becker began his environmental engineering career as a consultant with two Kentucky-based engineering companies. As a consultant, he worked on a variety of projects involving hazardous waste remediation, permitting, and air sampling and modelling. In 2002, Mr. Becker joined the Kentucky Division of Water as a Kentucky Pollutant Discharge Elimination System (KPDES) permit writer. Mr. Becker went on to manage the KPDES and Surface Water Permits Branch for more than 10 years. In March, 2015 he was asked to serve as the Water Infrastructure Branch Manager in the Division of Water, which is his current role. In that capacity, he manages a team of people who perform a variety of functions to implement portions of the Clean Water Act, Safe Drinking Water Act, and Water Resources Reform & Development Act. This includes wastewater planning, asset management, public financing, engineering, and drinking water capacity development activities.
Ohio Division of Surface Water Updates
Tiffani Kavalec, ChiefMarch 22, 2017
Wave 1:‐ Definitions of terms and use designations‐ Address U.S. EPA’s new human health criteria (94 chemicals)‐ Variances (process change in federal regulations) and mixing zones‐ Frequency and duration specs‐ National criteria: ammonia, cadmium‐ Ohio EPA criteria: fluoride, strontium, barium, peracetic acid
Wave 2:‐ Antidegradation‐ List of high quality waters
Performed stakeholder outreach, now drafting rule language
IPRWQS Triennial Review
Lake Erie: Collaborative Framework• Western Basin of Lake Erie Collaborative Plan: This agreement
between Ohio, Michigan and Ontario serves as a precursor to the Great Lakes Water Quality Agreement Domestic Action Plan, required by the International Joint Commission (IJC).– Goal: Achieve a 40% reduction for total and dissolved reactive
phosphorous from entering Lake Erie by 2025.
• On February 8, 2017 the State of Ohio released the framework that will be used to reduce phosphorous entering Lake Erie under the Western Basin of Lake Erie Collaborative Agreement.
epa.ohio.gov/Portals/33/documents/WLEBCollaborative.pdf
Lake Erie: Collaborative Framework
• Action items being implemented focus on:– Prioritizing and assessing watersheds within the western Lake Erie
basin– Furthering the use of nutrient best management practices in
agriculture and at point source discharges– Identifying and fixing failing home septic systems– Improving the coordination of programs and funds being spent in the
basin
• Since 2011, the State of Ohio has invested more than $2 billion in Ohio’s portion of the Lake Erie Basin for both point source and nonpoint source nutrient reduction and drinking water treatment.
Mass Balance Study• Guide Ohio EPA policy & management
• Relative loads (by watershed)• Load sources (CSO vs. NPS vs. wastewater)
• Support national programs• Annex 4 (40% reduction)• Gulf Hypoxia Task Force
• From HB 64, statutory obligation 6111.03 (U) requires agency to report on total load & load sources, every 2 years• wy ‘13 & wy ‘14
AreaCovered
• 26,000 sq. mi.• 63% of Ohio’s land area
20‐year Annual Dischargewy 1996‐2015 (2002‐2015 for Muskingum)
5
10
15
20
25
30
Maumee Portage Sandusky Cuyahoga GreatMiami
Scioto Muskingum
Wat
er Y
ield
(in)
wy13 wy14
Facility Size Classes
Group Criteria
Industrials All Industrial Permits Major Sewage Treatment and ADF ≥ 1.0 mgd Class 2 Sewage Treatment and 1.0 mgd > ADF ≥ 0.5 mgd Class 3 Sewage Treatment and 0.5 mgd > ADF ≥ 0.25 mgd Class 4 Sewage Treatment and 0.25 mgd > ADF ≥ 0.1 mgd Class 5 Sewage Treatment and ADF < 0.1 MGD
ADF = Average Design Flow
1%
89% 10%
4%
87%9%
wy13 Loading Breakdown ‐Maumee Watershed
Total N
• Nonpoint Source• HSTS• NPDES Sources
• CSO• Out of State NPDES
• Class 4• Class 5• Industrial
• Major WWTP• Class 2• Class 3
Total P
wy13 Loading Breakdown ‐ Scioto Watershed
Total NTotal P
• Nonpoint Source• HSTS• NPDES Sources
• CSO• Class 4• Class 5• Industrial
• Major WWTP• Class 2• Class 3
4%
66%30%
3%
81% 16%
Population Density
Land Use
0
20
40
60
80
100
120
Maumee Portage Sandusky Cuyahoga Great Miami Scioto Muskingum
Percen
t of Total Area
Natural Low intensity development High intensity development Agricultural
http://epa.ohio.gov/dsw/wqs/NutrientReduction.aspx
Ohio EPA’s 2018‐19 Biennial Budget• Consolidation of NPDES Application and Insurance Fees
– End the multiple billing requirements in the permit process– Combined fee at time of application– No net fee increase to applicants
• Total Maximum Daily Loads (TMDLs)– Required by federal law to address waters not meeting water quality
standards– Reestablish the legal validity of TMDLs approved by U.S. EPA prior to March
24, 2015, and exempt TMDLs from formal rulemakings– More robust public involvement opportunities and due process requirements– Amendment provides a process to outline, review and approve current and
future TMDLs
Senate Bill 2• Strengthening Ohio’s Certified Water Quality Professional
(WQCP) Program
• Giving Ohio EPA director authority to address water quality certification– Clarifies director’s authority to waive, transfer, revoke, or – at the request of
the permit holder – to modify 401 certification– Currently, state statute allows only approval and denial
• Aligning state and federal laws for approval of certain pretreatment permits– Allow the Ohio EPA director, in lieu of U.S. EPA, to issue a permit to an entity
discharging into a privately owned treatment works
Future Legislative InitiativesProposing a statewide phosphorous permit limit for wastewater treatment plants• Address threats to public water systems, recreation on inland
lakes and other downstream problems associated with excess nutrients
• Currently, major POTWs in the Lake Erie Basin have a total phosphorous limit of 1 mg/L
• Michigan, Wisconsin, Indiana and Minnesota have also placed a limit on phosphorous at 1 mg/L or lower
General NPDES Applications• Bulk Petroleum Fuel Storage Facilities• Coal Surface Mining Activities • Construction Site Storm Water ‐ Big Darby
Creek Watershed• Construction Site Storm Water ‐
Olentangy Watershed• Construction Site Storm Water• Geothermal System Discharges• Hydrostatic Test Water• Industrial Storm Water• Marina Storm Water• Non‐contact Cooling Water• Pesticide Application Discharges• Petroleum Related Corrective Action• Small MS4• Small Sanitary Discharges (No BADCT)• Small Sanitary Discharges• Temporary Wastewater Discharges• Water Treatment Plants
Co‐permittee Permit Applications• Construction and Small MS4 Co‐permit
Other Applications• General, Notice of Termination• Transfer of Ownership
No Exposure Applications• No Exposure Certification for Storm Water
Permitting
Time saved is substantial for both the regulated community
and Ohio EPA/DSW.
STREAMS Surface Water Tracking, Reporting Electonic Application Management System
Individual NPDES Applications Form 1 – General Information (EPA 3510‐1)Form 2A – Publicly Owned Treatment Works (EPA 3510‐2B) Form 2B – Concentrated Animal Feeding Operations (EPA 3510‐2B)Form 2C ‐ Manufacturing, Commercial, Mining & Silvicultural Operations (EPA 3510‐2C)Form 2D – Discharge Process Water (EPA 3510‐2D)Form 2E – Do Not Discharge Process Water (EPA 3510‐2E)Form 2F – Storm Water Industrial Activity (EPA 3510‐2F)Form 2S – Sewage Sludge (Biosolids) Treatment (EPA 4497)Application for Modification (EPA 4233)Application for Transfer (EPA 4234)Antidegradation Addendum
Pretreatment ApplicationsIndirect Discharge Application (EPA 4223)Indirect Permit Transfer Application (EPA 4116)
July 2016 – New Renewal Permit Applications
• NPDES Non‐compliance Report• NPDES Sanitary Sewer Overflow Annual Report• NPDES Compliance Schedule Update Report• NPDES Municipal Separate Storm Sewer System Annual Report• NPDES Pretreatment Annual Report• NPDES Pretreatment Industrial Users Periodic Compliance
Monitoring Report• NPDES Pretreatment Generic Baseline Monitoring Report For
Categorical Standards• NPDES Biomonitoring Report Form Acute & Chronic Toxicity Test• NPDES Priority Pollutant Report
…and many more to come!
July 2016 – NPDES e‐Reports
Annual Sewage Sludge Report Currently Available
401 Forms401 Pre‐Application Request Form401 Water Quality Certification Application FormProposed Lakes Impact TableProposed Streams Impacts and Mitigation TableProposed Wetland Impacts and Mitigation TableDirector’s 401 Authorization RequestLevel 1 Isolated Wetland Permit Application FormLevel 2 Isolated Wetland Permit Application FormORAM Form (as spreadsheet)HHEI (as spreadsheet)QHEI (as spreadsheet)
Summer 2017 ‐ 401 Reporting Forms, etc
New eBusiness Center PIN• New PIN application process as of 2/4/17
– PIN can be obtained in two minutes – rather than 7‐10 days
• Online identity verification– Safe & secure authentication
• Allows three attempts to use the online verification– Hard copy PIN process initiated by system if identity verification fails
• If identity is verified, PIN appears on screen– Can be used immediately across all services– New PIN can be obtained in account (if PIN believed to be
compromised)
ePayment Service
General Permit NOI/NOT/NOE, LOT, Co‐permittee• 600 average/mo, 55% electronic, 2/1/17 all‐electronic
submittal
eBusiness Centerhttps://ebiz.epa.ohio.gov/login.html
STREAMS Guidancehttp://epa.ohio.gov/dsw/ebs.aspx#170669803‐streams‐guidance
STREAMS
Managing Water in an Era of Increased Quality Standards
Permitting & Compliance Challenges in Kentucky
Jory Becker, P.E., ManagerKentucky Division of Water
Sustainability and EHS Conference
Cincinnati, Ohio
March 22, 2017
Kentucky going forward…
• Red Tape Initiative
• Nutrient Issues and Challenges
• Cooling Water
• Other Power Plant Issues
• Wet Weather Update
• e-Submittals
• EPA Administration Change, Program and Infrastructure Funding
Red Tape Reduction
http://www.redtapereduction.com/
Red Tape Reduction
Kentucky Nutrient-Impaired Waterbodies
Nutrient Issues and Challenges for WWTPs
• Technology-based options are evolving and new technological options will be considered as we move forward implementing permits in watersheds that are impaired
• Nutrient limits among the issues to be taken up by the Wastewater Advisory Council
Nutrient Issues and Challenges for WWTPs
• Excess nutrients are the leading cause of water quality impairment by eutrophication
• How to address nutrient issues in KPDES permits
– Move toward broader implementation of effluent limits in permits
• How depends on a number of factors:
– TMDL exists?
– Receiving stream is impaired and no TMDL?
– Downstream considerations
– Tools available
– Cost/size/impact considerations
Cooling Water 40 CFR 125.91 –Applicability
• The facility is a point source;
• The facility uses or proposes to use one ormore cooling water intake structures with acumulative design intake flow greater than2 MGD to withdraw water; and
• 25% or more of the water the facilitywithdraws on an actual intake flow basis isused exclusively for cooling purposes.
Cooling Water - Requirements for Compliance 316(b)
• 40 CFR 125.94– Impingement Mortality and Entrainment
• 40 CFR 125.95– Permit application and supporting information
• 40 CFR 125.96– Monitoring requirements
• 40 CFR 125.97– Reporting and recordkeeping requirements
Summary of 316(b) for Existing Facilities
• Facilities must meet Best Technology Available standards to reduce Impingement Mortality and Entrainment.
• Additional Entrainment requirements apply to those facilities with an actual intake flow of at least 125 MGD.
• Impingement Mortality can be met using existing technologies (closed-cycle re-circulating systems, reduced through-screen velocity, velocity caps, modified traveling screens, etc.).
• Entrainment BTA is determined on a site-specific basis.
Timeframe to Meet 316(b)
• DOW will review applications as soon as received.• Permittee will be given 3-4 weeks to review draft and submit additional information before public notice.• EPA will take 90 day Public Notice.• Public Hearings will be conducted during the first two weeks of January.
Application Requirements for 316(b)
• KPDES applications submitted after October 14, 2014 will require a statement from the permittee requesting an alternate schedule for the required information.
• This statement should explain why the information is not currently available, and the time needed to develop the required information.
• KPDES applications submitted prior to October 14, 2014 do not require this statement.
Other Power Plant Issues
• Coal Combustion Residual (CCR)
• Effluent Limitation Guideline (ELG)
Coal Combustion Residuals
• EPA published a final rule on the handlingand disposal of coal combustion residuals(CCR) on April 17th, 2015.
• The rule became effective on October 19th,2015.
• The federal rule provides no permittingprocess, but is self-implementing.
CCR Exceptions
• DWM and DOW mirror the federal regulationsin 401 KAR 46:110 and 401 KAR 4:070 withthe exception of federal internet reportingrequirements (40 CFR 257.107).
• Chapter 45 reserves the regulation of CCRplacement-in-mines as a Chapter 45 permit-by-rule; it is not included in Chapter 46 as thefederal rule does not address.
Update
• Technology-Based Effluent Limits - phased
• Water Quality-Based Effluent Limits - selenium
• EPA’s Proposed Administratively Continued Permits
• Critical Timing of KPDES Renewal Applications
CCR Critical Dates
4/17/17 Structural Integrity10/17/17 GW Monitoring & CA10/17/18 Location Restrictions
Effluent Limitation Guidelines
• Facilities must comply with BAT requirements forFGD wastewater, fly ash transport water, flue gasmercury control wastewater, gasificationwastewater, and bottom ash transport water assoon as possible beginning November 1, 2018but not later than December 31, 2023.
• Facilities that choose to meet BAT effluentlimitations for FGD wastewater based onevaporation technology have until December 31,2023.
“As Soon as Possible”
• In accordance with 40 CFR 423.11(t), ASAPdetermination is based on the following:– Time to expeditiously plan (including to raise capital), design,
procure, and install equipment to comply with the requirements of thispart.
– Changes being made or planned at the plant in response to:
i. New source performance standards for greenhouse gases from newfossil fuel-fired electric generating units.*
ii. Emission guidelines for greenhouse gases from existing fossil fuel-firedelectric generating units.*
iii. Regulations that address the disposal of coal combustion residuals assolid waste.
‒ For FGD wastewater requirements only, an initial commissioningperiod for the treatment system to optimize the installed equipment.
– Other factors as appropriate.
* Currently stayed by the U.S. Supreme Court
Regulatory Implements and Tools
• TMDL Waste Load Allocations
• Watershed-based Water Quality Targets (direct implementation)
• Technology-based effluent limits
– Considerations of size/impact
– Technological feasibility and affordability
– Elimination/regionalization of package plants
• Combination of approaches
• Compliance schedules
Wet Weather Update
• MS4 permit
– Expired 7/31/2014
– Working with communities and others to identify a reasonable and effective approach going forward
• Monitoring? What does that look like?
• TMDL implementation
– Federal stormwater permit: “not a priority for EPA at this time”
• EPA working with 100 communities to implement Green Infrastructure
Other Wet Weather Challenges
• Sanitary Stormwater Overflows (SSOs)
– Working to better characterize, assess and prioritize SSO issues
• Combined Sewer Overflows (CSOs)
– 17 Kentucky Communities with Consent Judgments or Consent Orders
– Working toward finalization of all planning documents
– CSO communities are implementing plans that may not have been improved
E- Submittals
• Available for KPDES General Permits
• Soon available for Environmental Review
• Soon available for Wastewater and Drinking Water Plans and Specifications
Drinking Water Challenges
74
11399
130
103
48 52
115
217
913
639 648
459 451
727
516
476
770
0
100
200
300
400
500
600
700
800
900
1000
2007 2008 2009 2010 2011 2012 2013 2014 2015
Public Water System Violation Trends
2007-2015
Health-based
M&R
EPA Administration Change
• Not any more uncertain than previous
• Focus on Infrastructure Needs and Funding
Infrastructure Challenges• Clean Water Needs Survey (2008)
– USA total needs: 300 Billion
– Kentucky needs: $2.2 Billion
• Drinking Water Needs Survey (2011)
– USA total needs: $384 Billion
– Kentucky needs: $6.2 Billion
• KIA: ~$1B in CW loans; ~$500M in DW loans
• SRF; EPA proposed cuts in FFY15 - strategic
• WIFEA; modeled after TIFEA – large projects and limited participation (17%)
– Kentucky a small systems state
Questions?
Jory Becker, P.E., Manager
Water Infrastructure Branch
Kentucky Division of Water
300 Sower Boulevard
Frankfort, KY
502-782-6887
26
Office of Water Quality (OWQ)Overview
Paul HigginbothamDeputy Assistant Commissioner
Governor Eric HolcombElevating Indiana to the Next Level
• Pillar One: Cultivate a Strong & Diverse Economy byGrowing Indiana as a Magnet for Jobs
• Pillar Two: Create a 20-year Plan to Fund Roads and Bridges• Pillar Three: Develop a 21st Century Skilled and Ready
Workforce• Pillar Four: Attack the Drug Epidemic
• Pillar Five: Deliver Great Government Service
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Agency Leadership Team
3
Commissioner Pigott’sAgency Initiatives
• Permits• Compliance• Electronic Submissions
• ELTF• Compliance Assistance• Coordinate water funding• Encourage regionalization of water infrastructure• Assume 404 Permitting 4
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2017 Legislation
• SB 421 Adjustments to AST statute based on AST Advisory Group’srecommendations.– Remove additional reporting requirements.– Remove requirement for additional rules.– Ask study committee to review how tank info may be centralized for
ease of access.• SB 511 Response to concerns about lead in drinking water.
– Quicker notification to consumers.– Increased sampling when lead is above the action level.– More thorough evaluations when switching sources.
5
Ambient Water Quality Standards (WQS) 2017 Initiatives
• Revising certain out-of-date metals criteria– Evaluating recent selenium recommendation.
• Proposing to revise certain WQS methodologies.• Numeric Nutrient Criteria – need D.O. data – pilot.• Tracking EPA’s work on harmful algal blooms.• Evaluating U.S. EPA criteria recommendations:
– Recreational criteria; Ammonia criteria.• 2016 303(d) List of Impaired Waters and Consolidated
Assessment Listing Methodology:– Included draft revision for drinking water use.
7
Drinking Water Branch 2017 Initiatives• Obtain primacy for the Revised Total Coliform Rule (RTCR).• Track and respond to changes in statute/rule regarding lead.• Work with the Indiana Finance Authority on finalizing a lead removal grant
program for schools and water systems.• Update the Drinking Water Watch website to make it more user-friendly
and transparent.• Promote the Lab-to-State electronic submission of data.• Prepare for the transition to the next version of the national drinking water
database – SDWIS Prime.• Increase cross program coordination on issues like HABs to ensure there is
awareness of drinking water issues (source water protection).
8
Permitting Branch 2017 Initiatives• Maintain permit issuance metrics for NPDES and Construction
Permits – goal is zero backlog. • Issue two new administrative general permits:
– Temporary Discharge/Groundwater Discharge;– Drinking Water Treatment Plant.
• Issue notice of intent (NOI) coverage to facilities under therecently issued administrative General Permits.
• Continue compliance inspections and evaluations of combinedsewer overflow (CSO) communities.
• Increase cross program coordination to increase consistency in
approaches to waste load allocations, enforcement, totalmaximum daily loads, etc. 9
OWQ Compliance Branch 2017 Initiatives• Continue to implement the NPDES Electronic
Reporting Rule via Net DMR.– Deadline for electronic submission of discharge monitoring reports
(DMRs) is the end of 2016.– Last paper DMR submission for November 2016.– Other reports. e.g., biomonitoring, bypass/overflow, pretreatment are
being evaluated for phasing in over time.
• Operator Certification Exams– Encourage electronic exams at 26 Ivy Tech testing centers.– Work to improve the passing rate.
• Increase cross program coordination to identify consistentapproaches to compliance and enforcement.
10
Surface Water, Operations, EnforcementBranch 2017 Initiatives
• Wetlands– Support the IDNR In Lieu Fee program.– Implement Indiana’s Wetlands Program Plan.
Loading…– Implement Indiana’s Wetlands Program Plan. • Storm Water
– Track the outcome of the Federal Small MS4 (municipal separate storm
sewer system) Remand Rule.– Draft administrative general permits for construction, MS4, and
industrial storm water.• Encourage cross program coordination to identify
opportunities to increase efficiencies and consistentimplementation.
11
Watershed Assessment & Planning Branch 2017 Initiatives
• Prepare the quality assurance plan to ensure quality data results from monitoringprojects.
• Lead the drafting of Indiana’s domestic action plan for nutrient reduction in theWestern Lake Erie Basin.
• Monitor for dissolved oxygen (DO) levels over time to understand thesignificance of DO relative to nutrient occurrence in select surface waters (pilotproject for numeric nutrient criteria development).
• Complete thermal impact study on Cayuga power plant discharge to evaluate theeffects of temperature changes on stream biology.
• Continue cross program coordination to understand how monitoring data isused/could be used.
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Questions?
13
