1. Overview of the Clean Water Act
Jim Klang, PE
536 E. Michigan Ave / Suite 300
Kalamazoo, MI 49007
Prepared by:
James Klang, P.E., Senior Project Engineer
And Gwen Ryskamp, Intern
August 5, 2008

2. History of the Clean Water Act
US congress passed the Clean Water Act
Response to national concern:
1968 Cuyahoga River, Ohio burns
Lake Erie was a “Dead Zone”
Eutrophic
12 WWTPs discharged over 39,600 lbs/day of TP
Blue Green Algae
Low dissolved oxygen; fish kills
Toxic; wildlife killed
First Earth Day: April 22, 1970
Passaic River 1918
Taken from 2nd tier, first bullet: (others also burned: Rouge River, Michigan, Passaic River, New Jersey,…)
Photo Credit: Time Magazine
August 5, 2008

3. Clean Water Act: Regulated
Clean Water Act (authors initial perspective): Address wastewater loading  solves most of the nation’s water quality problems
All waters protected (Beneficial Uses, standards)
Wastewater treatment facility permits
Secondary effluent limits (25 mg/l CBOD, 30 mg/l TSS)
Waste load studies set advanced treatment limits
Municipalities received financial assistance
Total Maximum Daily Load (TMDL) requirements
The horrors of the 60’s were very visible point source problems with thick films on the surface or extreme eutrophication
Beneficial uses classification were set and numeric and narrative standards set to protect the uses
Effluent limits were set, with wasteload allocations mainly targeting a WWTP impact on the stream without considering upstream sources
Cities receive funding in the form of grants and loans
Industries pass costs on to consumer
Watershed planning under Section 208 and Section 319
NPDES program expands to include some feedlots and Phase I and Phase II stormwater cities, construction and industrial stormwater
TMDLs first targeted just the Wasteload Allocation (NPDES sectors) and courts expanded EPAs program to include “voluntary” sources
August 5, 2008

4. Clean Water Act: Unregulated
Certain nonpoint source pollutant reduction categories are voluntary
Provides for watershed plans
Provides nonpoint source (NPS) incentives
Section 319
Photo courtesy of USDA NRCS. 
In the 1980s, Courts required TMDL be applied
to NPS, in a voluntary context.
August 5, 2008

5. Urban Voluntary Programs
Stormwater, small rural cities
Additional Funding:
Farm Bill
Section 319
“Voluntary” sources can generate credits to sell, or buy credits
1st Tier 1st bullet: (populations less than 10,000, and not directly causing a water quality violation)
1st Tier last bullet: …to sell… if they reduce in excess of levels required by TMDLs, and local, State and Federal rules and ordinances
Photo courtesy of USDA NRCS. 
August 5, 2008

6. Urban Regulatory Programs
National Pollutant Discharge Elimination System permits (NPDES):
Municipal Wastewater Treatment Facilities
Large city Phase I stormwater MS4s
Medium city Phase II stormwater MS4s
Construction stormwater
These permits address several Clean Water Act provisions (next slide)
municipal separate storm sewer systems (MS4s)
Photo courtesy of US EPA. 
August 5, 2008

7. Urban Regulatory Programs (Continued)
Municipal wastewater permit effluent limits
Secondary treatment
Advanced treatment
Stormwater management plan programs
Effluent limits stated in Best Management Practices
Maximum Extent Practicable
Photo courtesy of USDA NRCS. 
TMDL studies set load allocations limits for both stormwater and wastewater
Stormwater permits bound by Maximum Extent Practicable can not generate credits to sell, but can buy
August 5, 2008

8. Urban Regulatory Programs (Concluded)
Permits provide for:
Waste load allocations (advanced treatment requirements) without TMDLs
Antidegradation (Federal) & Nondegradation (State)
Antibacksliding
Industrial Pretreatment
Consideration of the compliance status of these CWA provisions helps determine the minimum baselines before water quality trading credits can be bought or sold
August 5, 2008

9. Agricultural Voluntary Programs
Row cropping
Very small livestock feeding operations
Pasturing
Livestock exclusion from streams
TMDL activities set load allocations; compliance met via education and incentive programs
Photo courtesy of USDA NRCS. 
August 5, 2008

10. Agricultural Regulatory Programs
Larger sized animal feeding operations
1000 animals  NPDES permit
Zero discharge from production lot
Manure land application set backs, nutrient management and incorporation requirements
Medium sized animal feeding
50 to 999 (10 on shore land)  registration with RGU required
RGU decides if further requirements apply or local government permits required
2nd Tier last bullet: further requirements… State Disposal System permits, interim permits, Open Lot Certification required
Photo courtesy of USDA NRCS. 
August 5, 2008

11. Individual Septic Treatment Systems
Federal Court decided:
These are regulated sources
They must appear in the Waste Load allocation portion of the TMDLs
Granted zero allocations
Therefore not eligible for water quality trading in Minnesota
Double deck privy. Pennsylvania. Photo date between 1935 and 1942 Source: Library of Congress, Prints & Photographs Division, FSA-OWI Collection, Reproduction number LC-USF ZB DLC
August 5, 2008

12. Regulator Support of Water Quality Credit Trading
EPA approved a Water Quality Trading Policy in 2003, since has provided more guidance
Farm Bill supports and promotes Ecosystem Service markets (includes water quality trading)
Water Quality Trading is the only program that can reallocate a TMDL without reopening it
Minnesota Pollution Control Agency is currently promulgating rules on Water Quality Trading
August 5, 2008

13. In Conclusion Water Quality Trading:
Works with the Clean Water Act as a foundation
Recognizes and uses the inequities in CWA regulatory requirements to your advantage
Adjusts allocations Without reopening a TMDL:
Assesses the minimum requirements of each sector
Not usable if trading causes or contributes to a water quality problem
Addresses only persistent parameters, not whole treatment
Targets high cost differences in pollutant load reductions
Creates cost savings for both parties; win-win
Uses legally binding agreements for non-permitted participants
Addresses multi-source contribution problems best
(example, excess nutrient TMDLs)
August 5, 2008

14. Questions
August 5, 2008