PRINTER'S NO. 2220
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
1401
Session of
2015
INTRODUCED BY ALLOWAY AND CORMAN, OCTOBER 26, 2016
REFERRED TO ENVIRONMENTAL RESOURCES AND ENERGY, OCTOBER 26, 2016
AN ACT
Providing for the creation of Water Quality Improvement Grants
to local governments, county conservation districts, State
agencies and individuals for point and nonpoint source
prevention, reduction and control programs, for establishment
of a verified total maximum daily limit parameter credit
program and for the powers and duties of the State
Conservation Commission.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Short title.
This act shall be known and may be cited as the Water Quality
Improvement Act.
Section 2. Definitions.
The following words and phrases when used in this act shall
have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Commission." The State Conservation Commission.
"Consume." Remove water from the waters of this Commonwealth
and not return the water to the natural source.
"Department." The Department of Environmental Protection of
the Commonwealth.
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"Extraordinary water user." A person that withdraws more
than 10,000 gallons of water a day from the waters of this
Commonwealth for the purpose of for-profit business. The term
does not include withdrawals made by a community water system or
a noncommunity water system regulated by the department under
the act of May 1, 1984 (P.L.206, No.43), known as the
Pennsylvania Safe Drinking Water Act.
"Fund." The Watershed Quality Improvement Fund established
under section 5.
"Groundwater or surface water source." A river, stream,
brook, lake, body of water or aquifer located in this
Commonwealth.
"Permittee." An individual, partnership, corporation,
association, institution, municipality or public authority or
cooperative enterprise that discharges or releases a total
maximum daily limit parameter to surface or ground waters of
this Commonwealth. The term does not include a person engaged in
agricultural production, as defined in section 3 of the act of
June 30, 1981 (P.L.128, No.43), known as the Agricultural Area
Security Law.
"Program." The Water Quality Improvement Program established
under section 6.
"Returned." Put water back into the waters of this
Commonwealth, whether the water is diminished in quality or not.
"Sediment." Soils or other erodible materials transported by
storm water as a product of erosion.
"Total maximum daily limit parameter." Pollutant that has
been identified as the cause of nonattainment of water quality
standards and for which a total maximum daily load has been
developed to set allowable loading targets.
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"Unmet total maximum daily limit parameter." Total
outstanding permittee requirements, going forward three years,
issued by the commission.
"Verified total maximum daily limit parameter credit." A
unit of pollutant load reduction for a total maximum daily load
parameter achieved through a pollutant reduction activity
approved by the commission as a verified reduction based upon an
approved verification plan.
"Watersheds." The Delaware, Erie, Ohio, Potomac, Susquehanna
and Genesee watersheds.
"Water year." The 12-month period beginning October 1 of
each calendar year.
"Withdraw" or "withdrawal." The removal, diversion or taking
of water from a groundwater or surface water source.
Section 3. Registration.
(a) General rule.--No extraordinary water user may withdraw
water from any groundwater or surface water source for a
nonagricultural or nonmunicipal purpose without filing a
registration document with the department.
(b) Registration document.--The registration document shall
be submitted on a form prepared by the department and shall set
forth all of the following:
(1) The name and mailing address of the applicant.
(2) The name, if any, and location of the water source.
(3) The type of water source.
(4) The point in the water source from which the user
proposes to withdraw the water.
(5) The name, location and acreage of the lands or other
application for which the water is to be withdrawn.
(6) The location and description of the water well,
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canal, tunnel or piping and other works or equipment through
which the water is to be withdrawn.
(7) The amount, in gallons, of water withdrawn on an
average day of operation during the preceding year and the
number of days during the preceding year when water was
withdrawn.
(8) The total amount, in gallons, of water estimated to
be withdrawn and the periods of time when the withdrawal is
scheduled during the current year.
(9) The location, means and expected condition of any
water returned to the waterways of this Commonwealth.
Section 4. Water resource fee.
(a) Fee.--An extraordinary water user shall pay all the
following fees to the Commonwealth:
(1) For water withdrawn and subsequently returned to the
water source, a water resource fee of $0.0001 per gallon for
water withdrawals greater than 10,000 gallons per day for
nonagricultural or nonmunicipal purposes.
(2) For water withdrawn and consumed, a water resource
fee of $0.001 per gallon for water consumption greater than
10,000 gallons per day for nonagricultural or nonmunicipal
purposes.
(b) Water consumption calculation.--For purposes of
calculating the fee under subsection (a)(2), all the following
apply:
(1) For those extraordinary water users that measure
water use by meter, the difference between the values of
daily withdrawn water and daily returned water shall be
reported as the amount consumed.
(2) For those extraordinary water users that do not
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measure metered withdrawn and returned water, or due to
evaporation or method of use find it impossible to accurately
measure water consumed, the amount consumed shall be based on
the department's consumptive use coefficients. The department
shall determine which extraordinary water users are subject
to this paragraph and shall develop coefficients for those
users.
(c) Coordination with other fees.--The fees, if any, paid by
an extraordinary water user under the act of July 7, 1961
(P.L.518, No.268), known as the Delaware River Basin Compact,
and the act of July 17, 1968 (P.L.368, No.181), referred to as
the Susquehanna River Basin Compact Law, to the Susquehanna
River Basin Commission or the Delaware River Basin Commission,
at the rates set on the effective date of this act, shall be
subtracted from fees owed under this section.
Section 5. Watershed Quality Improvement Fund.
(a) Establishment.--The Watershed Quality Improvement Fund
is established within the State Treasury.
(b) Deposits.--The following shall be deposited into the
fund:
(1) The fees collected under section 4 shall be paid
into the fund.
(2) Any appropriation made to the fund.
(3) Any other Federal or State appropriation or other
money determined by the commission, in consultation with the
Governor's Office of the Budget, to be available for the
program.
(4) Any money received from a permittee under this
section.
(c) Use.--Money in the fund shall be used by the commission
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to finance the costs of design and installation of enhanced
nutrient removal technology at publicly owned treatment works
designated as significant dischargers or eligible nonsignificant
dischargers for the purpose of compliance with effluent
limitations for total nitrogen and total phosphorus of the
Chesapeake Bay Total Maximum Daily Load Watershed Implementation
Plan, a local total maximum daily load or applicable regulatory
or permit requirements and the purchase of verified total
maximum daily load parameter credits under section 6.
Section 6. Water Quality Improvement Program.
(a) Establishment.--The Water Quality Improvement Program is
established. The program shall be used solely to finance the
costs of design and installation of enhanced nutrient removal
technology at publicly owned treatment works designated as
significant dischargers or eligible nonsignificant dischargers
for the purpose of compliance with effluent limitations for
total nitrogen and total phosphorus of the Chesapeake Bay Total
Maximum Daily Load Watershed Implementation Plan, a local total
maximum daily load or applicable regulatory or permit
requirements and for the purchase of commission-verified total
maximum daily load parameter credits through a competitive
process consistent with 62 Pa.C.S. Pt.1 (relating to
Commonwealth Procurement Code) and any other process determined
to be appropriate by the commission.
(b) Powers and duties.--The commission shall administer the
program and take any actions necessary to effectuate the
purposes of this act.
(c) Grants.--The grants shall be in accordance with the
following:
(1) The commission shall make no less than 50% of the
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fund available for matching grants to local governments,
conservation districts, institutions of higher education and
individuals who propose specific initiatives that are clearly
demonstrated as likely to achieve reductions in nonpoint
source pollution, include excesses, nutrients and suspended
solids to improve the quality of this Commonwealth's water.
The projects may include:
(i) The acquisition of conservation easements
related to the protection and restoration of water
quality and stream buffers.
(ii) Conservation planning and design assistance to
develop and implement conservation plans and nutrient
management plans for agricultural operations.
(iii) Instructional education directly associated
with the implementation or maintenance of specific
nonpoint source pollution reduction plans and
initiatives.
(iv) The replacement or modification of residential
onsite sewage systems to include nitrogen removal
capabilities.
(v) Implementation of cost-effective nutrient and
sediment reduction practices.
(2) Priority consideration to the distribution of grants
from the fund shall be given for implementing any applicable
regulations, permits, local total maximum daily limits or the
Chesapeake Bay Total Maximum Daily Load Watershed
Implementation Plan, with a priority given to best management
practices to address nonpoint source pollution from
agricultural activities.
(3) In no single year shall more than 60% of the money
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under this subsection be used for projects or practices
exclusively within the Chesapeake Bay watershed.
(d) Contracts with total maximum daily limit parameter
credit sellers.--
(1) The following shall apply:
(i) The commission shall, beginning with the water
year in which this subsection takes effect and the next
two water years, publish a notice of the unmet total
maximum daily limit requirements in the Pennsylvania
Bulletin.
(ii) No later than 60 days following publication of
the notice under subparagraph (i), the commission shall
issue a request for proposals under 62 Pa.C.S. Pt. I for
purchase of long-term verified total maximum daily limit
parameter credits in order to meet the unmet total
maximum daily limit parameter for those water years
included in the notice. A long-term verified total
maximum daily limit parameter credit under this
subparagraph must be at least 10 years.
(2) The commission shall determine the conditions or
evaluation factors applicable to the procurement and purchase
of verified total maximum daily limit parameter credits to
best achieve cost-effective water quality improvements within
the watershed defined by the total maximum daily limit. The
conditions or evaluation factors shall include cost,
environmental benefits and whether multiple total maximum
daily limit parameters would be met. The commission shall
include and value as an offset the Green Infrastructure
Benefits using the Growing Greener Valuation.
(3) Within 30 days following the date for submission of
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responses to the request for proposals, the commission shall
determine the cost for purchase of each long-term individual
verified total maximum daily limit parameter credit included
in the request for proposals and shall publish a notice of
the cost in the Pennsylvania Bulletin.
Section 7. Voluntary options for compliance.
(a) Voluntary compliance opt-in.--The commission shall
establish a voluntary total maximum daily limit parameter permit
compliance program to allow permittees and other buyers to elect
to comply with total maximum daily limit parameter permit
requirements by agreeing to make payments to the fund for the
requisite number of verified total maximum daily limit parameter
credits obtained under section 4 needed in order to meet permit
requirements.
(b) Payment amounts.--Payment amounts under subsection (a)
shall be based on the cost determination made under section 4 as
published in the Pennsylvania Bulletin.
(c) Election to opt in.--A permittee shall have 30 days
following publication of the notice under section 4(c)(3) to
notify the commission of the permittee's election to opt in to
the voluntary total maximum daily limit parameter permit
compliance program or proceed with an alternative compliance
method under subsection (e).
(d) Offset.--Verified total maximum daily limit parameter
credits obtained under subsection (a) shall be deemed by the
commission to satisfy applicable wastewater and storm water
total maximum daily limit parameter permitting requirements. The
commission shall make no less than 30% of the funds available
for the competitively bid verified credit procurement program.
(e) Alternative compliance.--A permittee which elects not to
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opt in to the voluntary total maximum daily limit parameter
compliance program under subsection (a) shall, as part of the
permittee's wastewater or storm water permitting process,
demonstrate to the commission the cost-effectiveness of the
alternative total maximum daily limit compliance method selected
in comparison with other alternatives, including opting in to
the voluntary total maximum daily limit parameter permit
compliance program under subsection (a) and as part of the
permittee's review under the act of January 24, 1966 (1965
P.L.1535, No.537), known as the Pennsylvania Sewage Facilities
Act and the act of October 4, 1978 (P.L.864, No.167), known as
the Storm Water Management Act. If a permittee is unable to show
cost-effectiveness of the alternative total maximum daily limit
compliance method, the alternative total maximum daily limit
compliance method shall be ineligible for funding under this
act.
Section 8. Regulations.
The commission may promulgate regulations to carry out the
provisions of this act which shall include the identification of
geographic areas in watersheds throughout this Commonwealth
which have a high potential for agriculturally related soil
erosion or movement of sediments, animal wastes or agricultural
chemicals into the surface waters of this Commonwealth, the
designation of priority areas for cost-sharing grants
established under this act and the establishment of program
requirements, including application procedures, eligibility
criteria, provisions for monitoring and review and measures to
assure accountability for all cost-sharing funds and credits.
Section 9. Effective date.
This act shall take effect in 180 days.
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