This Week in Washington is a weekly publication of the Water Environment Federation’s Government Affairs department. It provides updates on the latest legislative and regulatory developments that affect the water and wastewater communities.

Water Transfers Excluded from NPDES Regulation
On June 9, EPA announced that it is publishing a final rule to clarify that water transfers are not subject to regulation under the National Pollutant Discharge Elimination System (NPDES) permitting program.  The rule defines water transfers as "an activity that conveys or connects waters of the United States without subjecting the transferred water to intervening industrial, municipal, or commercial use."  This exclusion does not apply to pollutants introduced by the water transfer activity itself to the water being transferred.  According to EPA, the rule is consistent with its June 7, 2006, proposed rule.  "EPA's Water Transfer Rule gives communities greater certainty and makes clear they have the flexibility to protect water quality and promote the public good without going through a new federal permitting process," said EPA Assistant Administrator for Water Ben Grumbles.  "Clean water permits should focus on water pollution, not water movement."  The final rule is available at www.epa.gov/npdes/agriculture.

EPA and DHS Testify on Chemical Security at Water and Wastewater Treatment Plants
On Thursday the House Energy and Commerce subcommittee on Environment & Hazardous Materials held a hearing on two pending House bills related to chemical facility security.  H.R. 5577, the Chemical Facility Anti-Terrorism Act of 2008, would require chemical facilities to consider the use of "inherently safer technology" and covers water treatment facilities regulated under the Safe Drinking Water Act, which are exempt under current interim chemical security regulations.  H.R. 5533, the Chemical Facilities Act of 2008, does not include the inherently safer technology provision and water treatment facilities would remain exempt.

Ben Grumbles, EPA Assistant Administrator for Water, and Robert Stephan, Assistant Secretary for Infrastructure Protection at the Department of Homeland Security, both testified that the current exemption from chemical security regulations for wastewater treatment and drinking water facilities should be eliminated.  Grumbles stated that both DHS and EPA believe “there is a gap in the framework for regulating” chemical security at water and wastewater treatment facilities.  “We need to work with the Congress to close this gap in the chemical security authorities in order to secure chemicals of interest at these facilities and protect the communities they serve,” said Grumbles.

Stephan told the subcommittee that drinking and wastewater treatment facilities determined to be high risk should be regulated in a manner "that is consistent with the [Chemical Facility Anti-Terrorism Standards] risk- and performance-based framework."

Brad Coffey, water treatment manager for the Metropolitan Water District of Southern California, testified on behalf of the Association of Metropolitan Water Agencies (AMWA) and stated their opposition to H.R. 5577.  “A federally mandated transition from chlorine gas to an ‘inherently safer technology’ would be infeasible for Metropolitan and many other drinking water systems, and would result in risk tradeoffs that could threaten public health. For this reason, the Department of Homeland Security, the Environmental Protection Agency, or any other federal agency must not be given the broad power to override local water disinfection choices.”  Coffey also stated that he believes current law relating to drinking water systems’ vulnerability assessments is sufficient, “but if Congress decides to impose new updating and reporting requirements on utilities, it must not impose duplicative and contradictory multiagency requirements.”

Testimony from the hearing is available at http://energycommerce.house.gov/cmte_mtgs/110-ehm-hrg.061208.LegHearing.shtml.

Appropriations Subcommittee Increases Funding for Interior, Environment Programs
On Wednesday, the House Appropriations Subcommittee on Interior and Environment approved legislation that would boost funding for environmental programs.  The subcommittee approved the draft measure by voice vote after defeating a Republican amendment intended to bring energy policy into the debate.  The bill would direct $27.9 billion in discretionary spending to EPA, the Interior Department, the Forest Service, and the Smithsonian Institution, as well as other cultural programs.  The spending total would be $1.3 billion more than the amount provided for fiscal 2008 and $2.1 billion more than President Bush requested.  The bill includes a total of $7.8 billion for environmental protection programs at EPA, an increase of $689 million over the budget request.  The Committee restored over $38 million for state air grants, increased the amount for diesel emissions reduction grants to $65 million, provided $45 million more than requested to restore the nation’s largest bodies of water, added $50 million to the Hazardous Substances Superfund, and increased the U.S. Geological Survey funding by $85 million to $1.05 million.  The Clean Water State Revolving Fund will receive $850 million, a 23.4 percent increase.  This amount will fund approximately 300 additional low interest loans to local communities to upgrade their wastewater systems to meet national standards. The full Appropriations Committee is scheduled to mark up the bill on June 18.  For more information, visit: http://appropriations.house.gov/Subcommittees/sub_ienv.shtml.

WEF Comments on EPA Water Program Climate Strategy
On June 10, WEF submitted comments on EPA’s draft National Water Program Strategy: Response to Climate Change that applauded the Agency for taking steps toward addressing the issue of climate change and water resources.  “By issuing the Strategy, EPA has raised the profile of water issues in the on-going discussion of climate change within the Federal government.  It is vitally important that water resources are a central element of any Federal actions to establish a comprehensive national response to climate change,” WEF stated in the letter.  The draft strategy, issued on March 28, describes the potential effects of climate change on clean water, drinking water, and ocean protection programs and outlines EPA actions to respond to these effects.  WEF provided comments on the key actions outlined in the strategy and made recommendations on the plan to implement it, which is currently under development at EPA.  The draft strategy is available at www.epa.gov/water/climatechange.  WEF’s comments are available at www.wef.org/GovernmentAffairs/Regulatory/.

EPA Launches New TMDL Web Page
EPA recently released a new web page entitled "Impaired Waters and Total Maximum Daily Loads."  Available at www.epa.gov/owow/tmdl, the web page provides an overview of the Clean Water Act section 303(d) program activities, highlights new resources, and links to program resources.  The site distinguishes between two key activities: 303(d) listing of impaired waters and development of TMDLs.  A new "TMDL Stormwater Resources" page contains stormwater-source TMDLs and case studies highlighting innovative approaches states are using to address stormwater.  According to EPA, future additions to the site will include highlights of successful restoration efforts and examples for developing TMDLs for mercury-impaired waters.

Court Upholds EPA Final Rule Allowing Underground Disposal of Treated Sewage
A federal appeals court June 6 upheld a final rule by EPA allowing Florida municipal wastewater treatment facilities to dispose of treated sewage through underground injection (Miami-Dade County v. Environmental Protection Agency, 11th Cir., No. 06-10551, opinion 6/6/08).  In a 49-page opinion, the U.S. Court of Appeals for the Eleventh Circuit rejected arguments by the Sierra Club, Miami-Dade County, and several Florida cities that the rule violated the Safe Drinking Water Act and the Administrative Procedure Act.  At issue in the case was a petition by the groups for appellate review of the final rule, promulgated by EPA in November 2005.  In the rule, EPA allowed municipal wastewater treatment facilities in 24 Florida counties to continue using wastewater injection wells if they met certain environmental requirements, including pretreatment, secondary treatment, and high-level disinfection of wastewater before disposal. Prior to the rule change, SDWA underground injection control (UIC) provisions prohibited fluid movement from Class I wells--the only wells at issue in the appellate review--that could migrate into underground sources of drinking water. The final rule applied to Brevard, Broward, Charlotte, Collier, Flagler, Glades, Hendry, Highlands, Hillsborough, Indian River, Lee, Manatee, Martin, Miami-Dade, Monroe, Okeechobee, Orange, Osceola, Palm Beach, Pinellas, St. Johns, St. Lucie, Sarasota, and Volusia counties. The rule and its pretreatment standards were amended to include the counties because their underlying geology of carbonate rocks provided pathways for movement of underground fluids, the appellate court said.

EPA Requests Grant Proposals to Reduce Hypoxic Zone in the Gulf of Mexico
EPA announced this week that it plans to award up to $4.2 million in targeted watershed grants to reduce the hypoxic zone in the northern Gulf of Mexico.  EPA is soliciting proposals that will use water quality trading programs to reduce nutrient loads, particularly from the Ohio River, the Upper Mississippi River, or the Lower Mississippi River.  According to EPA, these three sub-basins provide the most nutrients to the Gulf, contributing to the hypoxic zone, an oxygen-depleted area that cannot support aquatic life.  Grant proposals must be submitted by Sept. 9.  Additional information on the Targeted Watersheds Grants program is available at www.epa.gov/twg.

House Committee Holds Hearing on Infrastructure Financing
On Tuesday, the House Transportation and Infrastructure Committee held a hearing to examine methods for financing investments in the nation’s infrastructure, including roads, bridges, public transportation, aviation, ports, waterways, and wastewater treatment infrastructure. This was the second day of hearings on this topic, following up on the May 8 joint hearing with the Committee on the Budget.  Witnesses included: Dr. Everett Ehrlich, President of ESC Company; Mark Florian, Managing Director of Goldman, Sachs & Co.; Dr. Rudolph Penner, Senior Fellow at The Urban Institute; and Bernard Schwartz, Chairman and CEO of BLS Investments LLC.  “Today, the challenges of our public infrastructure face are dramatic and worsening,” said Rep Earl Blumenauer (D-OR) in his opening statement. “Strategic investments in our infrastructure systems can alleviate these challenges.” For more information, visit: http://transportation.house.gov/hearings/hearingDetail.aspx?NewsID=663.

Quote of the Week
[My father] didn't tell me how to live; he lived, and let me watch him do it. 
~Clarence Budington Kelland

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