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SWM-CS 971229FYI: The following is a letter we are sending out to all the cities with less than 100,000 in population that are in the urbanized area per 1990 census. Those cities are directly impacted by the proposed storm water Phase II rules. Although your city does not fall into this category, USEPA is required to evaluate other cities for inclusion in the program. We invite you to join us in the discussions of how the region might address the new regulations in a unified regional strategy for mutual benefit. V GP &*. A.Wd.A..,, Office of Water OFFICE OF WASTEWATER MANAGEMENT PROPOSAL FOR NEW STORM WATER REGULATIONS THAT PROVIDE INCENTIVES TO ORIGINAL STORM WATER REGULATIONS Today's proposal would provide a targeted expansion of the current EPA storm Water program by listing two additional sources of storm water that need to be regulated to protect water quality. This proposal, when finalized, will complete the comprehensive storm water program regulations for all storm water point sources (those that directly discharge into water's of the United States) under the Clean Water Act and will replace the storm water regulations of August, 1995. The current storm water program (Phase 1) has resulted in significant improvement of surface water quality in the United States. This is measured by the reduction of polluted runoff from a large number of sources which include major industrial facilities, large and medium city storm sewers ( "municipal separate storm sewer systems" or "MS4s "), as well as construction sites that disturb 5 or more acres. The "National Water Quality Inventory, 1994 Report to Congress" provides a general assessment of water quality based on biennial reports submitted by the States under Section 305(b) of the Clean Water Act. The report indicates that storm water discharges from a variety of sources including separate storm sewers, construction, waste disposal, and resource extraction activities are major causes of water quality impairment. Roughly 46 percent of the identified cases of water quality impairment of estuarine square miles surveyed, for example, are attributable to storm sewer runoff. EPA developed the proposal with valuable input from representatives from a cross section of interested stakeholders including State, Tribal, municipal, industrial, environmental representatives and small entities. On October 18, 1997, in celebration of the 25th anniversary of the Clean Water Act, Vice President Gore directed EPA to issue final storm water Phase II rules by March 1, 1999, as part a new federal government Clean Water Action Plan currently being developed. PHASE II The proposal identifies two classes of facilities for automatic coverage on a nationwide basis under the National Pollutant Discharge Elimination System ( NPDES) program. These classes are: • small municipal separate storm sewer systems. The pollutants that are discharged from these systems include sediment, floatables, oil and grease, as well as other pollutants from illicit discharges. These systems are located in urbanized areas (about 3,500 municipalities will be included in the program); and • construction activities. The pollutants that are discharged from these activities include sediments and erosion from these sites. The construction sites that disturb equal to or greater than one and less than five acres of land (about 110,000 sites a year) will be included in the program. • Other facilities and industrial and construction activities, as well as small municipal separate storm sewer systems outside urbanized areas, could be designated on a case -by -case basis. The designation would depend of the type of discharges that are produced from these other facilities and activities. "NO EXPOSURE" INCENTIVE FOR PHASE I EPA is proposing to exclude from the NPDES storm water program, Phase I facilities that have "no exposure" or no produce no industrial storm water discharges (industrial products, processes, or raw materials). This "no exposure" incentive reduces the application of the program to many industrial activities currently covered by the program. EPA estimates that at least 70,000 facilities will be able to take advantage of this provision by removing these various activities from the potential to be exposed to storm water. CURRENT REGULATION EPA issued its initial storm water phase II rule in August, 1995. The rule allows the NPDES permitting authority (either the State or EPA Region) to require permits for discharges contributing to water quality impairment on a case -by -case basis and requires all other unregulated storm water dischargers to apply for NPDES permits by August 7, 2001. If this rule is not changed, millions of industrial and commercial facilities and storm water discharges from all construction activities, no matter what size, as well as over 19,000 municipalities will have to submit permit applications in August, 2001. . DECEMBER 1997 PROPOSAL The NPDES State or EPA Region would need to issue permits, most likely general permits, covering the facilities identified (small municipalities and small construction sites) by May 31, 2002. EPA will encourage the small municipalities to use "best management practices" or BMP's. Examples of BMPs could include: public education programs that suggest limiting use and runoff of garden chemicals, a soil and erosion control ordinance, as well as good housekeeping for municipal operations. If after implementing these BMPs there is still a water quality problem, the municipality would expand or use better tailored BMPs in their measurements to result in water quality improvement. EPA believes that implementation of BMP's at small construction sites will also result in a significant reduction in pollutant discharges and improve surface water quality in a cost effective manner. Municipally -owned industrial facilities which have been excluded from phase I, must apply for permit coverage by August 7, 2001. "NO EXPOSURE" INCENTIVE The proposal offers a conditional exemption would be available to owners or operators of all categories of regulated industrial activity (except construction activity and those entities individually designated by the permitting authority) who could certify that industrial materials, material handling operations and industrial processes are not exposed to storm water. RESULTS Regulating only those classes of discharges of storm water that pose the greatest potential for environmental harm, EPA believes that the proposed rule would reduce adverse impacts to water quality and aquatic habitat by further lowering pollutant loads in storm water discharges. For small municipalities, the reduction and elimination of illicit discharges to the municipalities' systems, as well as reductions in sediments, floatables, and oil and grease, will be obtained. For small construction sites, erosion and discharges of sediments will be reduced. • EPA believes this rule will cost significantly less than the existing 1995 rule that is currently in place; EPA has reduced the annual costs from billions of dollars to a mean annual cost of $511 million, with expected mean annual monetized benefits from implementation of the requirements of $310 million. EPA has not factored in the "no exposure" streamlining into these costs; however, the expected minimum annual cost savings for this provision is $88 million. • There are numerous ecological benefits that will result when the rule is finalized. These benefits are: reduced scouring and erosion of stream beds, improved aesthetic quality of waters, reduced eutrophication of aquatic systems, benefit to wildlife and endangered and threatened species, biodiversity benefits, and reduced siting costs for reservoirs. FLEXIBILITY The rule avoids duplication and ensures that the new permits comply with the States, Tribes and other local programs. The rule would provide for a NPDES program approach that 1) encourages the use of general permits which will significantly reduce permit application costs, 2) provides flexibility for municipalities to determine the nature of storm water controls, 3) does not require extensive monitoring by the permittees, 4) provides flexibility in use of watershed approaches, 5) is consistent with the existing storm water phase I program, 6) recognizes and includes existing programs, 7) utilizes the existing NPDES program which is Federally enforceable and 8) takes advantage of existing structures and mechanisms for public participation. SUPPORTING EFFORTS EPA is committed to provide the following assistance to support implementation of the Phase II program: (1) assistance to local governments including support for pilot projects; (2) developing tool box (including model general permits, model BMPs, guidance on physically - connected municipal separate storm sewers, financial options, partnerships, general information, and a host of other means of assistance) of implementation strategies; (3) providing written technical assistance, including guidance on developing BMPs and measurable goals; (4) developing requirements to control runoff from Federal lands and facilities; and (5) assistance on numerous issues to States/Tribes. (6) EPA is also committed to conducting an enhanced research effort and compiling a comprehensive evaluation of the NPDES municipal storm water Phase II program over the next 13 years. SCHEDULE AND MORE INFORMATION The proposed regulation will be published in the Federal Register for comment shortly after it is signed by the Administrator. There will be a 90 day public comment period. EPA is going to distribute the proposal widely and will continue to hold briefings for numerous stakeholders, including the Phase II Subcommittee of the Urban Wet Weather Federal Advisory committee on February 5 -6, 1998. EPA is holding public meetings to explain its phase II proposal, as well as public hearings to obtain public comment, in six locations as indicated below. Washington, D.C. - February 23, 1998 Boston, MA - February 25, 1998 Atlanta, GA - February 27, 1998 Chicago, IL - March 2, 1998 Dallas, TX - March 4, 1998 San Francisco, CA - March 6, 1998 Information on the proposed storm water phase II will be located on the World Wide Web at http: /MWW.EPA.GOV /OWM /ne,w.htm If you have questions, please a -rnail them to SW2Cepamail.epa.gov or call (202) 260 -5816. The final regulation is scheduled to be issued by March 1, 1999. The American Public Works Association (APWA) will be providing 10 workshops on the final rule. The workshops are designed to educate local governments on the implementation of the Phase II rule. The workshop curriculum will include information on a variety of key issues such as anticipated regulatory requirements, agency reporting, best management practices, construction site controls, post construction management for new and redeveloped sites, public education and public involvement strategies, detection and control of illicit discharges, and good housekeeping practices.