USDA
      U.S. Department of Agriculture
  U.S. Environmental Protection Agency

                 Draft
        Unified National Strategy
                  for
       Animal Feeding Operations
           September 11,1998

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C/5DA/EPA Draft Untfied National AFO Strategy	September 11, 1998	


       The United States Department of Agriculture (USDA) and the United States Environmental
Protection Agency (EPA) prohibit discrimination in their programs and activities on the basis of
race, color,  national  origin, gender, religion, age, sexual orientation, or disability. Additionally,
discrimination on the basis of political beliefs and marital or family status is also prohibited  by
statutes enforced by  USDA. (Not all prohibited bases apply to all programs). Persons with disabilities
who require alternative means for communication of program  information  (Braille,  large print,
audiotape, etc.) should contact the  USDA's Target Center at (202) 720-2600 (voice and TDD) or the
EPA Office of Civil Rights at (202)  260-4575.

       To file a complaint of discrimination to USDA, write USDA, Director, Office of Civil Rights,
Room 326-W, Whitten Building, 14th and Independence Avenue, SW, Washington, DC 20250-
9410, or call (202) 720-5964 (voice and TDD).  To file a complaint to EPA, write to EPA, Office of
Civil Rights, 401 M St. SW, Washington,  DC 20460, or call (202) 260-4575 (voice) or (202) 260-
3658 (TTY). USDA and EPA are equal opportunity providers and employers.

Note: This document presents USDA and EPA's strategic plan for addressing the environmental
and public health impacts associated with AFOs.  It is not a substitute for existing Federal
regulations and it does not impose any binding  requirements on USDA, EPA, the States, Tribes,
localities, or the regulated community.  USDA and EPA's strategies for addressing AFOs may evolve
and change as their understanding of the issues increases through further work and receipt of
additional information.
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  USDA/EPA Draft Uhified National AFO Strategy
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                              TABLE OF CONTENTS
 1.0 INTRODUCTION AND GUIDING PRINCIPLES


   1.1  Introduction


   1.2 Guiding Principles



 2.0 AFOS AND WATER QUALITY AND PUBLIC HEALTH RISKS


   2.1 Characteristics of AFOs
                                                                    !

   2.2 Water Quality and Public Health Risks



 3.0 THE NATIONAL GOAL AND PERFORMANCE EXPECTATION FOR AFOS


   3.1 Defining the Goal and Performance Expectation


   3.2 Comprehensive Nutrient Management Planning
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   3.3 Comprehensive Nutrient Management Plan Components

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   3.4 Technical Assistance for CNMPs



 4.0. RELATIONSHIP OF VOLUNTARY AND REGULATORY PROGRAMS
                                                                    !

   4.1 Voluntary Program for Most AFOs
                                                                    !•

   4.2 Regulatory Program for Some AFOs                                   i


   43 Land Application of Manure


   4.4 Priorities for the Regulatory Program


   4.S CAFO CNMPs


   4.6 Smaller CAFOs Can Exit the Regulatory Program


   4.7 Good Faith Incentive



5.0 STRATEGIC ISSUES


   Overview of Strategic Issues


  Strategic Issue #1 Building Capacity for CNMP Development and Implementation


  Strategic Issue #2 Accelerating Voluntary, Incentive-based Programs


  Strategic Issue #3 Implementing and Improving the Existing Regulatory Program
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  Strategic Issue #4 Coordinated Research, Technical Innovation, Compliance Assistance, and
  Technology Transfer                                                                    33

  Strategic Issue #5 Encouraging Industry Leadership                                        35

  Strategic Issue #6 Data Coordination                                                       37

  Strategic Issue #7 Performance Measures and Accountability                                 38


6.0 ROLES                                                                            39
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USDA/EPA Draft Unified National AFO Strategy                   September 11. 1998
1.0   Introduction and Guiding Principles
1.1    Introduction

      Over the past quarter century, the United States has made tremendous
progress in cleaning up its rivers, lakes, and coastal waters.  In 1972, the Potomac
River was too dirty to swim in, Lake Erie was dying, and the Cuyahoga River was so
polluted it burst into flames.  Many rivers and beaches were little more than open
sewers. Today, water quality has improved dramatically and many rivers, lakes, and
coasts are thriving centers of healthy communities.

      The improvement in the health of the nation's waters is a direct result of a
concerted effort to enhance stewardship of natural resources and to implement the
environmental provisions of Federal, State, Tribal and local laws.  Pollution control
and conservation programs have stopped billions of pounds of pollution from fouling
the Nation's water, doubling the number of waters safe for fishing and swimming.

      Despite tremendous  progress, 40 percent of the Nation's waterways assessed
by States still do not meet goals for fishing, swimming, or both. Pollution from
factories and sewage treatment plants has been dramatically reduced, but runoff from
city streets, agricultural activities, including animal  feeding operations (AFOs), and
other sources continues to degrade the environment and puts drinking water at risk.

      A strong livestock industry (of which AFOs are a part) is essential to the nation's
economic stability, the viability of many rural communities, and the sustainability of a
healthful and high quality food supply for the American public.1 USDA and EPA
recognize that farmers  and  ranchers are primary stewards of many of our nation's
natural resources, have played a key role in past efforts to improve water  quality, and
will be important partners in implementing measures to protect the environment and
public health.

      In February of this year, President Clinton released the Clean Water Action Plan
(CWAP), which provides a blueprint for restoring and protecting water quality across
the Nation. The CWAP describes over 100 specific actions to expand and strengthen
existing efforts to protect water quality. It also identifies polluted runoff as the most
important remaining source of water pollution and provides for a coordinated effort to
reduce polluted runoff from a variety  of sources. As part of this effort, the CWAP calls
for the development of this USDA-EPA unified national strategy to minimize the water
quality and public health impacts of AFOs.
1 The livestock industry accounts for half of all sales in U.S. agriculture today (source: USDA, Economic Research
Service. "Key statistical indicators of the food and fiber sector". Agricultural Outlook.  March, 1998: 32).
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  1.2   Guiding Principles

       This USDA-EPA Unified National Strategy for Animal Feeding Operations
 reflects several guiding principles:
                                                                   f

       (1)    Minimize water quality and public health impacts from AFOs.

       (2)    Focus on AFOs that represent the greatest risks to the environment and
             public health.

       (3)    Ensure that measures to protect the environment and public health
             complement the long-term sustainabilify of livestock production in the
             United States.

       (4)    Establish a national goal and environmental performance expectation for
             all AFOs,
                                                                   i

       (5)    Build on the strengths of USDA,  EPA, State and Tribal agencies, and
             other partners and make appropriate use of diverse tools including
             voluntary, regulatory, and incentive-based approaches.

       (6)    Foster public confidence that AFOs are meeting their performance
             expectations and that USDA, EPA, local governments, States, and Tribes
             are ensuring the protection of water quality and public health.
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       (7)    Coordinate activities among the USDA, EPA, and related State and Tribal
             agencies and other organizations that influence the management and
             operation of AFOs.
                                                                   [
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       (8)     Focus technical and financial assistance to  support AFOs in meeting the
             national performance expectation established in this Strategy.
2.0   AFOs and Water Quality and Public Health Risks

2.1   Characteristics of AFOs
                                                                   i
      For purposes of this Strategy, AFOs are agricultural enterprises where animals
are kept and raised in confined situations. AFOs congregate animals, feed, manure
and urine, dead animals, and production operations on a small land area.  Feed is
brought to the animals rather than the animals grazing or otherwise seeking feed in
pastures  or fields.
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       Approximately 450,000 agricultural operations nationwide confine animals.2
USDA data indicate that the vast majority of farms with livestock are small. About 85%
of these farms have fewer than 250 animal units (Alls).3 An AU is equal to roughly
one beef cow, therefore 1,000 AUs is equal to 1,000 beef cows or equivalent number
of other animals.4  Of these, in 1992 about 6,600 had more than 1,000 AUs and are
considered to be large operations.

       As a result of domestic and export market forces, technological changes, and
industry adaptations, the past several decades have seen substantial changes in
America's  animal production industries. These factors have promoted expansion of
confined production units, with growth in both existing areas and new areas;
integration and concentration of some of the industries; geographic separation of
animal production and feed production operations; and the concentration of large
quantities of manure and wastewater on farms and  in some watersheds.

          In terms of production, the total number of animal  units (AUs) in the U.S.
increased by about 4.5 million (approximately three percent) between 1987 and 1992.
During this same period,  however, the number of AFOs decreased, indicating a
consolidation within the industry overall  and greater production from fewer,  larger
AFOs.5
                         400,000
                         300,000
                       S3 200,000 --
                         100,000 --
                                       Animal Feeding Operations
 Figure 1:  Industry Consolidation of Cattle, Dairy, Hog, Layer, Broiler and Turkey Animal Feeding
                                     Operations
2 General Accounting Office. Animal Agriculture: Information on Waste Management and Water Quality Issues,
June 1995.
3USDA-ERS. 1992 Farm Costs and Returns Survey
4 USDA and EPA currently use slightly different definitions for an animal unit, largely for the pork and poultry
animal types.
5 General Accounting Office. Animal Agriculture: Information on Waste Management and Water Quality Issues,
June 1995
6 General Accounting Office. Animal Agriculture: Information on Waste Management and Water Quality Issues,
June 1995
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  USDA/EPA Draft Unified National AFO Strategy
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Table 1. Increase in the Average
Number of Animal Units per Operation
(1978-1992)
Cattle
Dairy
Hog
Layer
Broiler
Turkey
56%
93%
134%
176%
148%
129%
Data source: Animal Agriculture:
Information on Waste Management and
Water Issues, General Accounting
Office, 1995.
 2.2   Water Quality and Public Health Risks
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       Despite significant progress in reducing water pollution, serious water quality
 problems persist throughout the country. Recent State reports of water quality
 conditions indicate that:

    •   Of the rivers and, streams surveyed (53 percent of all perennial stream miles)
       36% were partially or fully impaired and another 8% were threatened;
                                                                    i
    •   Of the surveyed lakes (40 percent of all lake acres) 39% were partially or fully
       impaired and another 10% were threatened; and
                                                                    i
    •   Of the estuaries surveyed by coastal states (72 percent of all estuarine waters)
       38% were impaired and another 4% were threatened;
                                                                    i
    •   Of the Great Lakes shore miles surveyed (94 percent of all shore miles) 97%
       were impaired and another 1% were threatened. 7

       Based on this monitoring information, States have identified about 15,000
Individual waterbodies in 1996 that did not meet clean water goals.
                                                                    i
       While many diverse sources contribute to water pollution, States report that
agriculture is the most widespread source of pollution in the nation's surveyed rivers.
In the 22 States that categorized impacts from specific types of agriculture, animal
operations impact about 35,000 river miles of those miles assessed.

7 U.S. EPA 1998. National Water Quality Inventory - 1996 Report to Congress, Washington, DC.
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USDA/EPA Draft Unified National AFO Strategy	         September 11, 1998
      AFOs can pose a number of risks to water quality and public health, mainly
because of the amount of animal manure and wastewater they generate.8 Manure
and wastewater from AFOs have the potential to  contribute pollutants such as
nutrients (e.g., nitrogen, phosphorus),  sediment, pathogens, heavy metals,
hormones, antibiotics,  and ammonia to the environment. Excess nutrients in water
can result in or contribute to eutrophication, anoxia (i.e., low levels of dissolved
oxygen), and, in combination with other circumstances, have been associated with
outbreaks of microbes such as Pfiesteria  piscicida.

      Pathogens, such as Cryptosporidium, have been linked to impairments in
drinking water supplies and threats to  human health. Pathogens in manure can
create a food safety concern if manure is applied directly to crops at inappropriate
times. In addition, pathogens are responsible for some shellfish bed closures.
Nitrogen, in the form of nitrate, can contaminate drinking water supplies drawn from
ground water.  Nutrients can also cause toxic algal blooms which may be harmful to
human health.

      While there are other potential environmental  impacts associated with AFOs
(e.g.,  odor, habitat loss, ground water depletion),  this Strategy focuses on addressing
surface and ground water quality problems.  This  Strategy will indirectly benefit other
resources.
3.0   The National Goal and Performance Expectation For AFOs
3.1   Defining the Goal and Performance Expectation

      USDA and EPA's goal is for AFO owners and operators to take actions to
minimize water pollution from confinement facilities and land application of manure.
To accomplish this goal, this Strategy establishes a national performance expectation
that all AFOs should develop and implement technically sound and economically
feasible Comprehensive Nutrient Management Plans (CNMPs) to minimize impacts
on water quality and public health.
8 EPA, 1998, National Water Quality Inventory -1996 Report to Congress; Hunt, P.O., et al. 1995. Impact of
animal waste on water quality in an eastern coastal plain watershed. IN: Animal Waste and the Land-Water
Interface. Kenneth Steele, Ed., Lewis Publishers, Boca Raton, FL, 589 pp.; Ackerman and Taylor, 1995, Stream
Impacts due to Feedlot Runoff. IN: Animal Waste and the Land-Water Interface: South Dakota Association of
Conservation Districts, SD Department of Environment and Natural Resources, and USDA Natural Resources
Conservation Service,  1996, Final Report- Animal Waste Management Team; EPA Office of the Inspector General,
March 1997, Animal Waste Disposal Issues, Audit Report No. E1XWF7-13-0085-7100142


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 3.2   Comprehensive Nutrient Management Planning

       in general terms, a CNMP identifies actions or priorities that will be followed to
 meet clearly defined nutrient management goals at an agricultural operation. Defining
 nutrient management goals and identifying measures and schedules for attaining the
 goals is critical to reducing threats to water quality and public health from AFOs.

       CNMPs should address, at a minimum, feed management, manure handling
 and storage, land application of manure, land management, record keeping, and
 management of other utilization options.  While nutrients are often the major
 pollutants of concern, the plan should address risks from  other pollutants, such as
 pathogens, to minimize water quality and public health impacts from AFOs. CNMPs
 should include a schedule to implement the management practices identified.

      In addition to protecting water quality and public health, CNMPs should be site-
 specific and be written to address the goals and needs of the individual
 owner/operator, as well as the conditions on the farm (e.g., soils, crops).  Plans
 should also  be periodically reviewed and revised in cases where a facility increases
 in size,  changes its method of manure management, or if other operating conditions
 change.  CNMPs should encourage and facilitate technical innovation and new
 approaches to manure and nutrient management. Development and implementation
 of CNMPs is the ultimate responsibility of the AFO operator, with assistance as
 needed from certified industry staff, government agency specialists, private
 consultants and other qualified vendors.

      The Natural Resources Conservation Service (NRCS) Field Office Technical
 Guide (FOTG) is the primary technical reference for the development of CNMPs for
AFOs.  It contains technical information about utilization and conservation of soil,
water, air, plant, and animal resources.  The FOTG used in an individual field office is
localized to consider particular characteristics for the geographic area for which it is
prepared.  The FOTG is divided into five sections:

      Section I General Resource References - References, maps, price bases,
      typical crop budgets, and  other information for use in understanding the field
      office  working area or in  making decisions about resource use and resource
      management.

      Section II Soil and Site Information - Soils are described and interpreted to
      help make decisions about land use and management.  In most cases, this
     will  be a electronic database.
                                                                t
     Section III  Conservation Management Systems (CMS) - Guidance for
     developing conservation management systems.  A description of the resource
     considerations and their acceptable levels of quality or criteria.
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      Section IV Practice Standards, Specifications and Supplements - Contains
      standards and specifications for conservation practices used in the field office.
      The standards contained in the National Handbook of Conservation Practices
      (NHCP) may be supplemented to reflect local conditions. The NHCP contains
      standards and specifications for over 150 conservation practices, many of
      which are applicable to CNMPs for AFOs.  These standards are based on
      sound science and over 65 years  of NRCS experience.  New standards can be
      added to this handbook using  a procedure outlined in the handbook that
      includes a public review/input  process. Practice standards establish the
      minimum level of acceptable quality for planning, installing, operating, and
      maintaining conservation practices.

      Section V Conservation Effects - Contains Conservation Practice Physical
      Effects (CPPE) matrices which outline the impact of practices on various
      aspects of the five major resources - soil, air, water, plants, and animals.


3.3   Comprehensive Nutrient Management Plan Components

      USDA and EPA agree that the following components should be included in a
CNMP, as necessary.  The specific practices used to implement each component
may vary to reflect site-specific conditions or needs of the watershed.

   Feed Management - Where possible, animal diets and feed should be modified to
   reduce the amounts of nutrients in manure.  For example, enzymes such as
   phytase can be added to animal diets to increase the utilization of phosphorus.
   Greater utilization of phosphorus by the animal reduces the amount of phosphorus
   excreted and produces a manure with a nitrogen-phosphorus ratio closer to that
   required by crop and forage plants.

   Manure Handling and Storage - Manure needs to be handled and  stored properly
   to prevent water pollution from AFOs.  Manure and wastewater handling and
   storage  practices should also consider odor and other environmental and public
   health problems. Handling and storage considerations should include:

      Divert clean water- Siting and  management practices should divert clean water
      from contact with feed lots and holding pens, animal manure, or manure
      storage systems. Clean water can include rainfall falling on roofs of facilities,
      runoff from adjacent lands, or other sources.

      Prevent leakage - Construction and maintenance of buildings, collection
      systems, conveyance systems, and storage facilities should prevent leakage of
      organic matter, nutrients, and pathogens to ground or surface water.

      Provide adequate storage - Dry manure, such as that produced in certain
      poultry and beef operations, should be stored in production buildings, storage


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      facilities, or otherwise covered to prevent precipitation from coming into direct
      contact with the manure.  Liquid manure storage systems should safely store
      the quantity and contents of animal manure and wastewater produced,
      contaminated runoff from the facility, and rainfall. Location of manure storage
      systems should consider proximity to waterbodies, floodplains, and other
      environmentally sensitive areas.
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      Manure  treatments - Manure should be handled and treated to reduce the loss
      of nutrients to the atmosphere during storage, to make the material a more
      stable fertilizer when land  applied or to reduce pathogens, vector attraction and
      odors, as appropriate.
                           i                                       i
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      Management of dead animals - Dead animals should be disposed of in a way
      that does not adversely affect ground or surface water or create public health
      concerns.  Composting, rendering, and other practices are common methods
      used  to dispose of dead  animals.
                                                                  i
  Land Application of Manure - Land application is the most common, and usually
  most desirable method of utilizing manure because of the value of the nutrients
  and organic matter. Land application should be planned to ensure that the proper
  amounts of all nutrients are applied in a way that does not cause harm to the
  environment or to public health. Land application in accordance with the CNMP
  should minimize water quality and public health  risk. Considerations for
  appropriate  land application  should include:
                                                                  i
     Nutrienttbalance - The primary purpose of nutrient management is to achieve
     the level  of nutrients required to grow the planned crop by balancing the
     nutrients that are already in the soil and from other sources with those that will
     be applied in manure, biosolids and fertilizer. At a minimum, nutrient
     management should prevent the application of nutrients at rates that will
     exceed the capacity of the soil and planned crops to assimilate nutrients and
     prevent pollution. Soils and manure should be tested to determine nutrient
     content.
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     Timing and methods of application - Care must be taken when land applying
     manure to prevent it from entering streams, other water bodies, or
     environmentally sensitive  areas. The timing and method of application should
     prevent the loss of nutrients to ground or surface water and to minimize  loss of
     nitrogen to the atmosphere.  Manure application equipment should be
     calibrated to ensure that the quantity of material being applied is what is
     planned.

  Land Management - Tillage, crop residue management, grazing management,
  and other conservation practices should be utilized to minimize movement to
  surface and  ground water of soil, organic materials, nutrients, and pathogens from
  lands where manure is applied.  Forest riparian buffers, filter strips, field borders,


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    contour buffer strips, and other conservation buffer practices should be installed to
    intercept, store and utilize nutrients or other pollutants that may migrate from fields
    to which manure is applied.

    Record Keeping - AFO operators should keep records that indicate the quantity of
    manure produced and ultimate utilization, including where, when, and amount of
    nutrients applied. Soil and manure testing should be incorporated into the records
    management system.

    Other Utilization Options - In vulnerable watersheds, where the potential for
    environmentally sound land application  is limited, alternative uses of manure,
    such as the sale of manure to other farmers,  composting and sale of compost to
    home owners, and using manure for power generation may  need to be
    considered. All manure utilization options should be designed and implemented
    to reduce the risk to all environmental resources and must comply with Federal,
    State, Tribal and local law.
3.4   Technical Assistance for CNMPs

      AFO owners and operators may seek technical assistance for the development
and implementation of CNMPs from qualified specialists, including staff from Federal
agencies such as the NRCS, State, and Tribal agricultural and conservation agency
staff, Cooperative Extension Service agents and specialists, Soil and Water
Conservation Districts (SWCDs), integrators, industry associations, other AFO
operators, and private consultants.  Qualified specialists should assist in
implementation and provide ongoing assistance through periodic reviews and
revisions of CNMPs, as appropriate.

      The successful  implementation of this Strategy depends on the  availability of
qualified specialists from either the private or public sectors to assist in the
development and implementation of CNMPs.  Measures to expand technical
assistance resources are discussed more thoroughly in Section 5.0, Strategic Issue
#1.
4.0.  Relationship of Voluntary and Regulatory Programs

      Voluntary and regulatory programs serve complementary roles in providing AFO
owners and operators and the animal agricultural industry with the assistance and
certainty they need to achieve individual business and personal goals, and in
ensuring protection of water quality and public health. The regulatory program
focuses permitting and enforcement priorities on high risk operations, a small
percentage of all AFOs (see Figure 2).  For most AFOs, however, a variety of voluntary
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  programs provide the technical and financial assistance'to help producers meet
  technical standards and remain economically viable.
                                          95%
    Figure 2: Estimated Percentage of Animal Feeding Operations Expected to be
                      Regulated Under the Clean Water Act
 4.1    Voluntary Program for Most AFOs
                                                                 \
       Voluntary programs provide an enormous opportunity to help AFO owners and
 operators and communities address water quality and public health concerns
 surrounding AFOs.  For the vast majority of AFOs, voluntary efforts will be the principal
 approach to assist owners and operators in developing and implementing CNMPs.
 and  in reducing water pollution and public health risks associated with AFOs. While
 CNMPs are not required for AFOs participating in voluntary programs, they are strongly
 encouraged as the best possible means of managing potential water quality and
 public health impacts from these operations. For those CNMPs that are developed as
 part of a State, Tribal, or Federal voluntary technical or financial assistance program,
 the responsible agency, in consultation with the local Soil and Water Conservation
 Districts, will approve the plan to ensure that it is sufficient to meet requirements for
 participation in such programs. AFO owners and operators will be full partners in the
 development and implementation of CNMPs through voluntary programs and will
 agree to implement those plans before receiving financial assistance.

      The voluntary approach is built on the ethic of land stewardship  and
sustainability.  A sustainable society requires a sustainable environment-one
depends upon the other.  For generations,  most producers have maintained
agricultural productivity in harmony with a healthy land-the essence of land
stewardship. Today, agricultural producers still have the responsibility to be good
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stewards of the land under their care. The voluntary develo'pment and implementation
of a CNMP provide AFO operators with a way to embrace this stewardship ethic.
USDA and EPA are proposing in this Strategy incentives to further the voluntary
development and implementation of CNMPs.

      Implementing voluntary programs requires the support of local leadership and
full participation in planning and implementing conservation activities.  Partnerships
with Federal and State agencies, groups, SWCDs, Resource Conservation and
Development (RC&D) Councils, private landowners; and between local leadership
and science-based technical assistance are essential to success.  Locally led
conservation efforts, environmental  education programs,  and financial and technical
assistance all help to build the land stewardship ethic that is fundamental to the
success of a voluntary approach.

      Locally Led Conservation - It is hard to overstate the importance of effective,
locally led actions through the SWCDs  in achieving national natural resource quality
goals. This is particularly true for AFOs. USDA and EPA have a commitment to locally
led conservation as one of the most effective ways to help individual landowners and
communities achieve their conservation goals.  Informed  citizens are fundamental to
making informed choices. Thus, locally led conservation is a logical complement to
an investment in environmental education. Through the locally led approach,
individuals can see how their actions fit with those of their neighbors.

      Partnerships with grassroots organizations such as SWCDs, RC&D Councils,
and others that promote the use of CNMPs, can help attain the goal of this Strategy.
Through the locally led process, natural resource concerns are identified and
proposals for local priorities are developed.  SWCDs convene a local work group
comprised of the district board members and key staff, NRCS staff; Farm Service
Agency county committees and key  staffs; and Cooperative Extension Service and
other Federal, State, and local agencies interested in natural resource conservation.
The SWCDs gather community input and bring the views of these local interests to
work groups.  These local work groups  have the ability to identify problems and
develop solutions locally. Also, they have knowledge of what resources are available
to plan and implement the CNMPs.

      Environmental Education - One  of the best ways to help AFO operators or
owners to participate in voluntary programs to reduce the potential impact of their
operations on the environment is through education and outreach. There may be
many well-managed AFOs,  carefully following best management practices developed
in the past, that are unintentionally contributing to water quality or other environmental
degradation because of lack of access  to the newest information. The agricultural
research system continues to advance  our understanding of the potential impacts of
animal agriculture on the environment.  USDA's Agricultural Research Service (ARS),
Cooperative State Research, Education, and Extension Service (CSREES);  EPA; State
and Local governments; Land Grant Colleges and Universities and other institutions
of higher learning; and the private sector are all actively involved in communicating
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 knowledge gained through the agricultural research system to AFO owners and
 operators.

       Through an aggressive environmental education and outreach effort, USDA
 and EPA believe that awareness of possible problems can be heighterted and
 producers will be able to identify practices that may be contributing to water quality
 problems. Once producers have an understanding of potential problems and
 solutions, they can take a proactive role in developing their CNMP through the
 voluntary program.

       Technical And Financial Assistance Programs  - There are numerous sources
 of technical and financial assistance, such as USDA, EPA, SWCDs, RC&D Councils,
 State agencies, and the private sector, to assist AFO owners and operators in
 developing and implementing  CNMPs.  Through technical assistance, owners and
 operators can receive help in  developing CNMPs and implementing solutions.
 Financial cost-share and loan  programs can help defray the costs of
 approved/needed structures (e.g., waste storage facilities for small operations) or to
 implement other practices, such as installation of conservation buffers to protect
 water quality.  An increasing number of States have financial assistance programs
 that supplement or enhance Federal assistance.

       Conservation Technical Assistance (CTA), NRCS's base conservation
 program, is a potential tool in helping landowners develop CNMPs.  The Conservation
 Reserve Program (CRP), Conservation Reserve Enhancement Program (CREP), and
 Environmental Quality Incentives Program (EQIP) are assisting AFOs across the
 Nation in nutrient management. The Small Watershed Protection Program (PL 83-
 566) provides comprehensive  resource management planning on a watershed basis
 to assist local land  users in addressing water quality  concerns related to AFOs.
 RC&D assists States and local units of government in planning, developing, and
 implementing programs for resource conservation and  development.  Plans address
 water quality, community and economic development, and other concerns of interest
 to the local citizens. The Conservation Buffer Initiative and the Watershed Survey and
 Planning Program also offer opportunities to  assist livestock producers in managing
their potential environmental risks.

      AFO owners and operators may also participate in other State and Federal
 programs to improve water quality and to develop and implement polluted runoff
abatement activities, including  State cost-share programs and EPA Section 319
nonpoint source grants and the State Revolving Fund (SRF) program authorized
 under the Clean Water Act (CWA).  Using all USDA, EPA, and other Federal State and
local programs together as tools helps leverage resources to help AFO owners and
operators in voluntarily addressing water quality and public impacts.
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 USDA/EPA Draft Unified National AFO Strategy
          September 11, 1998
 4.2    Regulatory Program for Some AFOs

       The Federal CWA provides general authority for water pollution control
 programs, including several programs related to animal feeding operations (AFOs). A
 number of primarily large AFOs (i.e. about 2,000 facilities) have been issued permits
 under section 402 of the CWA. These permits, called  National Pollutant Discharge
 Elimination System ("NPDES") permits,  include conditions to limit pollution problems.
 In 42 States and the Virgin Islands, these NPDES permits are issued by States under
 authorization from EPA.  These permits are generally written to implement national
 minimum standards (referred to as effluent guidelines) for large AFOs established in
 regulations. (A summary of the existing feedlots effluent limitations guidelines is
 included in Figure 3). NPDES permits for AFOs must also include conditions that
 assure attainment of any applicable State- or Tribe-established water quality
 standards. These standards include designated uses, water quality  criteria to protect
 these uses, and an antidegradation policy.  Best management practices necessary to
 ensure compliance with the CWA, such as those included in CNMPs, may be
 imposed in NPDES permits.  Where water
 quality standards are not attained, response
 actions are defined through the Total Maximum
 Daily Load (TMDL) process under Section 303(d)
 of the Act and implemented through revised
 NPDES permits and other measures.
      The existing provisions of the CWA and
related EPA regulations provide authority for
including a significant number of AFOs in the
permit program beyond those that now have
permits.  These statutory and regulatory
authorities related to AFOs are described below
along with the approach EPA will follow in setting
priorities for carrying out these authorities.
EPA's Effluent Limitations .Guidelines
fr    V  for CAFOs   * *   *-
The effluent,limitation allows no^, "*
discharge§to'Watere\of th'e US. except
when %hrorilc or'cafestrophtc^torm
events .cause an ovirflo^kfrom a"
facility designed contracted,, an  ..  »
                                                FigureS:  EPA's Effluent
                                                Limitations Guidelines for CAFOs
      The CWA provides that no person may
"discharge" a pollutant except in accordance with a permit issued under section 402
of the Act. A "discharge" is defined as "any addition of any pollutant to navigable
waters from any point source." The term "pollutant" is broadly defined in the CWA and
includes animal waste and related material.

      The term "point source" as defined in the CWA includes any "discernible,
confined and discrete conveyance" and specifically includes a "concentrated animal
feeding operation" (CAFO). Thus, a discharge from a CAFO is prohibited except in
accordance with an NPDES permit.

      The term "animal  feeding operation" or AFO is defined in EPA regulations as a
"lot or facility" where animals "have been, are, or will be stabled or confined and fed or
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  USDA/EPA Draft-Unified National AFO Strategy	September 11. 1998
                                                                 I
  maintained for a total of 45 days or more in any 12 month period and crops,
  vegetation, forage, growth or post harvest residues are not sustained in the normal
  growing season over any portion of the lot or facility."

       The regulations define a "concentrated animal feeding operation" or CAFO as
  an animal feeding operation where more than 1,000 "animal units" (as defined by the
  regulation) are confined at the facility; or more than 300 animal units are confined at
  the facility and:
                                                                 [

      •   Pollutants are discharged into navigable waters through a manmade ditch,
          flushing system,  or other similar man-made device; or
                                                                 i
                           !                                      I
      •   Pollutants are discharged directly into waters that originate outside of and
          pass  over, across, or through the facility or come into direct contact with the
          confined animals.

       Poultry operations that remove waste from pens and stack it in areas exposed
 to rainfall or an adjacent watercourse have established a crude liquid manure system
 for process wastewater that may discharge pollutants. These  facilities are CAFOs
 and therefore point sources under the NPDES program if the number of animals
 confined at the facility meets the regulatory definition at 40 CFR Part 122. Appendix B
 or if the facility  is designated as a CAFO.

      The regulations also provide, however, that no animal feeding operation is a
 CAFO as defined above if it discharges only in the event of a 25-year, 24-hour or larger
 storm event.

      In addition, the NPDES permit issuing agency may, after conducting an on-site
 inspection, designate an animal feeding operation of any size as a CAFO based on a
 finding that the  facility "is a significant contributor of pollution to the waters of the
 United States."  A facility with 300 animal  units or less, however, may not be
 designated as a CAFO under this authority unless pollutants are discharged from  a
 man-made device or are discharged directly into waters passing over,  across or
 through the facility or that otherwise come into direct contact with the confined
 animals.

      Another regulatory program which  addresses AFOs is the Coastal Nonpoint
 Pollution Control Program which is implemented under the authority of Section 6217
 of the Coastal Zone Act Reauthorization Amendments (CZARA) of 1990. Section 6217
 requires the 29  States and territories with NOAA-approved Coastal 2:one Management
 Programs to develop enforceable policies and  mechanisms to implement nonpoint
 source controls, known as management  measures.  Two management measures
 address facility  wastewater and runoff from smaller AFOs, and another management
 measure addresses nutrient management on farms.  In CZARA areas  permitted
 CAFOs are covered by the NPDES program while other AFOs would be covered by the
CZARA management measures. EPA and NOAA should encourage States to


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 C/SDA/EPA Draft Unified National AFO Strategy	       'September 11, 1998


 consider the priorities of this Strategy when implementing their Coastal Nonpoint
 Pollution Control Programs.


 4.3   Land Application of Manure

       EPA and USDA recognize that manure and other animal waste from CAFOs is
 commonly applied to the land. Proper land application of these resources has
 agricultural  benefits, but improper land application can cause water quality and
 potential public health impacts.

       As noted above, the addition of pollutants from a discrete conveyance (e.g.
 natural channel or gullies) to the waters is regulated under the CWA as a point source
 discharge. At the same time, the Act exempts "agricultural stormwater discharges"
 from the definition of a point source.  EPA has in the past, and will in the future,
 assume that discharges from the vast majority of agricultural operations are
 exempted from the NPDES program by this provision of the Act. The agricultural
 stormwater exemption, however, does not apply  in a small number of circumstances
 that meet the following criteria:

 •  The discharge is associated with the land disposal of animal wastes (e.g. manure
   or other animal waste) originating from a CAFO (which is defined as a point
   source in the CWA and is regulated as a point source); and

 •  The discharge is not the result of proper agricultural practices (i.e., in general, the
   disposal occurred without a CNMP developed  by a public official or a certified
   private party or in a manner inconsistent with the CNMP).

      NPDES permits should assure that the animal waste from the CAFO will be
 utilized properly and require reporting on whether the permittee has a CNMP and
whether it is being  implemented properly.


4.4   Priorities for the Regulatory Program

      The NPDES permit program authorized by the CWA will be used to address the
relatively small number of AFOs that are now causing water quality  or public health
problems or that pose a significant risk to water quality or public health. EPA and
USDA believe that AFOs in several situations are  CAFOs and should be priorities for
NPDES permitting:

      Significant Manure Production - Large facilities (those with greater than 1000
      animal units) produce quantities of manure  that are a risk to water quality and
      public health whether the facilities are well managed or not.  Because the
      amount of manure stored is so large, a spill while handling manure or a
      breach of a storage system can release large quantities of manure and


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USDA/EPA Draff Unified National AFO Strategy	September 11, 1998

                                                                |
      wastewater into the environment causing catastrophic water quality impacts
      and threatening public health.  Land application of large volumes of waste
      requires very careful planning to avoid water quality and public health impacts.

         Of the estimated 450,000 animal feeding operations, only about 6,600
      facilities had over 1,000 animal units as of 1992.  Due to increases in'the
      number of large facilities over the past six years, EPA and USDA believe that as
      many as 10,000 such facilities may exist today. EPA and USDA expect to
      update this estimate based on newer information.  Based on size alone, these
      facilities are considered to be CAFOs and therefore are "point sources" subject
      to having an NPDES permit if they cause the addition of pollutants to waters.
      EPA believes that virtually all CAFOs with over 1,000 animal units are covered
      by the permit program and are a priority for permit issuance.
                                                                i
                          i                              '        |
      Unacceptable Conditions - Some facilities have unacceptable conditions that
     pose a significant risk of water pollution or public health problems. Specifically,
     facilities that have man-made conveyances that discharge animal waste to
     waters or have a direct discharge to waters that pass through the facility or
     come into  direct contact with animals represent a significant risk to the
     environment and public health and are a priority for permit issuance. (As noted,
     AFOs with 300 or fewer AUs are CAFOs subject to permitting only where they
     have been designated  as CAFOs by the permitting authority.)

        There is insufficient data on which to base an estimate of the  number of
     AFOs that  have unacceptable conditions. EPA and USDA expect,  however, that
     many, if not most, AFOs that now have unacceptable conditions will voluntarily
     address their unacceptable conditions to avoid the requirement to have a
     permit under the NPDES program.

     Significant Contributors to Water Quality Impairment - In cases where water
     quality monitoring establishes that pollution from an individual facility with fewer
     than 1,000 animal units or a collection of facilities including those with fewer
     than 1,000 animal units is significantly contributing to, or is likely to significantly
     contribute to, impairment of a waterbody and nonattainment of a designated
     use, the facility or collection of facilities should be a priority for the NPDES
     permitting program.

             Aggregate Water Quality Impacts on a Watershed Scale - EPA and
       USDA encourage States to use existing watershed assessment processes
       to determine whether a collection of AFOs is causing or contributing to
       watershed impairment.  States should identify such watersheds for priority
       CAFO permitting. For example, the Clean Water Action Plan provides for a
       Unified Watershed Assessment  Process to identify watersheds that are not
       meeting clean water and other natural resource goals.
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 C/5DA/EPA Draft Unified National AFO Strategy	September 11, 1998	


                In addition, States may consider identifying watersheds based on
          CWA section 303(d) lists or on assessments conducted by the interagency
          State technical committee.  Such assessments may indicate, for example,
          that a  high proportion of waters are impaired because of nutrient or
          pathogen problems attributable to animal manure or wastewater; that a
          watershed has more manure generated than there is land available to land
          apply manure  in the watershed; or that water pollution associated with AFOs
          poses  a significant threat to public health as a result of contamination of
          drinking water sources. EPA estimates that the number of AFOs that will be
          subject to the  permit program as a result of identified watershed
          impairments to be between 1,000-3,000.

                Site-specific Water Quality Impacts - Where the NPDES permitting
          authority has evidence that an individual AFO or group of AFOs significantly
          contribute to nonattainment of the designated use of an  individual water
          body, these AFOs should be a priority for permit issuance. Based on water
          quality assessment information from States, the number of facilities that
          meet these conditions is estimated to be between 1,000 - 3,000 facilities.

      This section has described permitting and enforcement priorities for the
regulatory program based on existing CAFO regulations. EPA and USDA expect that
the total number of CAFOs in the situations described above that will be priorities for
coverage under NPDES  permits will be in the range 15,000 - 20,000. About 2,000
CAFOs now have NPDES permits. EPA plans to refine and strengthen the existing
regulations during the next several years (see Section 5.0, Strategic Issue #3).


4.5   CAFO CNMPs

      NPDES permits for CAFOs will include conditions and other requirements that
minimize the threat to water quality and public health and otherwise ensure
compliance with the requirements of the CWA.  EPA will issue guidance on the
development of permits for CAFOs and will develop model permits. Among other
things, the guidance will provide that permits include conditions that ensure
compliance with  national effluent guidelines applicable to CAFOs.

      The EPA guidance will also recommend that CAFO permits require the
development of a CNMP and its implementation on a schedule established in the
permit. The guidance will incorporate NRCS's practice standards  as the appropriate
practice standards for CAFO CNMPs.  Where elements of the CNMP are included in a
NPDES permit, schedules for implementation of the practices or actions will be
consistent with requirements of the CWA (i.e., compliance schedules will be
consistent with State law and not exceed the five year term of the permit). Finally,
permits will include any more stringent  conditions that the permitting authority
determines are necessary to meet State water quality standards.
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 USDA/EPA Draft Urtified National AFO Strategy	September 11, 1998	
                                                                 [

      CNMPs developed to meet the requirements of the NPDES permit program in
 general must be developed by a person certified to develop CNMPs, a qualified State
 agency official (e.g., cooperative extension agent), or by NRCS. Private parties may be
 certified by State or nonprofit groups (e.g., the Certified Crop Advisor Program of the
 American Society of Agronomy) approved by USDA, or certified directly by USDA
 through EQIP.

      The ultimate responsibility for developing and implementing CNMPs resides
 with the CAFO owner and/or operator.  If the CNMP is developed as a requirement of
 the NPDES permit program, the CNMP should be consistent with this Strategy and the
 regulatory agency will ensure that the CNMP meets the requirements of the CWA and
 is being implemented. State or Federal enforcement agencies will work to ensure
 compliance with permit requirements.                                !

                                                                 I
 4.6   Smaller CAFOs Can Exit the Regulatory Program
                                                                 \
      Smaller CAFOs (those with fewer than 1000 AUs) that are not located in
watersheds that are identified as impaired should be allowed to exit the permit
 program after the end of the five-year permit term.  To exit the program these facilities
 must demonstrate that they have successfully addressed the initial condition that
 caused them to be designated as CAFOs, are fully implementing their CNMP, and
offer evidence that they are in full compliance with their permit at the end of the permit
term.
4.7   Good Faith Incentive
                                                                 I
      In many cases, AFOs are taking early voluntary actions in good faith to manage
manure and wastewater in accordance with a CNMP.  Some AFOs that are voluntarily
implementing a CNMP may, however, have a discharge that makes them subject to
the NPDES permitting program but does not cause them to be included in the
permitting priorities described above (i.e., AFOs with 301-1000 AUs that dp not
discharge through a man-made conveyance or directly into waters of the U.S. that
pass through their facility, and which are not significant contributors to nonattainment
of a designated use as determined through water quality monitoring).  NPDES
permitting authorities will provide an opportunity for these AFOs to address the cause
of the discharge before designating them as CAFOs>.
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 USDA/EPA, Draft -Unified National AFO Strategy	     September 11, 1998
 5.0       Strategic Issues
 Overview of Strategic Issues

      This USDA/EPA Unified National Strategy on Animal Feeding Operations
 addresses  seven major strategic issues:

      Strategic Issue #1 - Building Capacity for CNMP Development and
      Implementation

      Strategic Issue #2 - Accelerating Voluntary, Incentive-Based Programs

      Strategic Issue #3 - Implementing and Improving the Existing Regulatory
      Program

      Strategic Issue #4 - Coordinated Research, Technical Innovation, Compliance
      Assistance, and Technology Transfer

      Strategic Issue #5 - Encouraging Industry Leadership

      Strategic Issue #6 - Data Coordination

      Strategic Issue #7 - Performance Measures and Accountability


Strategic Issue #1 Building Capacity for CNMP Development and Implementation

Description

      The successful implementation of this Strategy depends on the availability of
qualified specialists from either the private or public sectors to assist in the
development and implementation of CNMPs.  AFO  owners and operators will need
substantially increased access to technical assistance from the private and public
sectors to support a strengthened regulatory program and, at the same time,
implement an accelerated effort to help owners and operators meet their stewardship
responsibilities through early, voluntary action.

      Through prior or existing voluntary programs, NRCS has developed CNMPs for
AFOs.  NRCS estimates that at least 300,000 AFOs need to develop CNMPs or revise
existing CNMPs to meet the performance expectation of this Strategy. EPA estimates
that between 15,000 to 20,000 operations will be considered CAFOs and be required
to develop and implement CNMPs as part of a permit.
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 USDA/EPA Draft Unified National AFO Strategy	.	September 11, 1998


 Desired Outcomes
                                                                   \
 *  Increase the number of certified specialists to develop CNMPs.

 •  Ensure that CNMPs are implemented under the guidance of qualified specialists.

 •  Consistent quality of CNMP development and implementation.

 •  All AFO owners have a CNMP developed by a certified specialist by 2008.
                                                                   j
 Actions                                                            !

      USDA and EPA will take the following actions, to the extent permitted by
 available appropriations, to increase the supply of qualified technical speqialists
 available to assist AFO owners and operators develop and implement CNMPs:
                                                                   i
 1,  USDA and EPA will review available certification programs for those developing
 CNMPs for AFOs to ensure technical adequacy and will provide training and
 standards for these certification programs to improve their ability to certify CNMPs to
 AFOs.
                                                                   i
 2.  Facilitate and encourage participation of private sector consultants and technical
 advisors through certification, training, and other activities to ensure private sector
 sources of assistance can be effectively utilized by AFO owners and operators to
 develop and implement CNMPs.

 3.  Increase funding within the USDA NRCS Conservation Technical Assistance (CTA)
 Program and Cooperative Extension System to increase technically qualified field
 staff, train existing Federal and nonfederal staff, and provide enhanced technical
 support for Federal and nonfederal technical advisors.
                                                                   i

 4.  Explore options for training and certifying AFO operators to develop and implement
 their own CNMPs.

 5.  USDA and EPA will facilitate the training of conservation contractors in the
 Installation of practices specified in a CNMP.

 6.  USDA and EPA will provide assistance in the form  of computer models or expert
 systems to assist in the development of CNMPs.                        i

 7. USDA and EPA will give priority to training those agencies and organizations that
 deliver services at the local level.  The voluntary program is delivered at the local level
through SWCDs, Cooperative Extension Service, USDA Service Centers, and the
 private sector. These local service providers should also be fully informed of the
elements of the regulatory programs.
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 Lf5DA/EPA Draft Uhified National AFQ Strategy	September 11, 1998	


 8.  USDA and EPA will sponsor a national meeting to solicit ideas on how to build
 capacity for the development and implementation of CNMPs.

 9.  USDA will develop agreements with third-party vendors similar to the 1998
 agreement with the Certified Crop Advisors (CCAs).  CCAs will provide technical
 assistance to agricultural producers in nutrient management, pest management, and
 residue management. Any assistance provided under third party vendor agreements
 will meet NRCS standards and specifications, or State standards if more restrictive.

 10.  USDA, EPA, and the States should each analyze the potential impact of this
 Strategy on public and private resources and their availability to develop and
 implement CNMPs.
Strategic Issue #2 Accelerating Voluntary, Incentive-based Programs

Description

      USDA and EPA agree that the release of pollutants to surface or groundwater
from an AFO is to be minimized regardless of size or management activity.  It is the
ultimate responsibility of individual owners and operators, and the companies and
industries they are involved with, to minimize the release of pollutants from their
operations.  Under this Strategy, most AFOs will minimize the  risk of pollution by
voluntarily developing and implementing a CNMP.

Desired Outcomes


•  All AFOs develop and implement CNMPs by 2008.

•  Minimize pollution from AFOs to the greatest extent practical.

•  Ensure the  maximum environmental benefit is obtained per public dollar
   expended.

•  Ensure adequate financial incentives are available  to minimize the economic
   impact of implementing CNMPs.

•  Ensure that limited resource, minority, and other underserved producers have the
   opportunity to participate fully in the voluntary programs.
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  USDA/EPA Draft IMfied National AFO Strategy	September 11
1998
 Actions

 1. National Standards
                                                                   i
                                                      1
    Develop and Revise Practice Standards - To ensure that conservation policies and
    practices are current and sufficient to address water quality risks associated with
    AFOs, NRCS, in consultation with EPA and with input from States and other
    stakeholders, will identify practice standards which need to be developed or
    revised and propose a schedule for development or revision by November 1998.
    The process of revising practice standards at both the national and local level
    involves the public review of new or revised standards. The process should be
    streamlined to  the maximum extent possible.
                                                                   j

 2.  Planning and Implementation
                                                                   i
    AFO CNMP Guidance - USDA's NRCS has national responsibility for conservation
    planning policy and procedures and will provide guidance, in consultation with
    EPA, by January 1999 that can be used by AFO owners, operators, and others to
    develop a CNMP.
           "                   ' '                        '             i
       Comprehensive Nutrient Management Planning requires that individuals,
       including AFO owners and operators, qualified in the technical  issues
       associated with AFOs, should develop the CNMP. Good CNMPs are the result
       of a process that ensures all elements of an operation are  considered and that
       causes of problems,  rather than symptoms, are addressed. The CNMP
       guidance will indicate what should be contained in the CNMP (such as aerial
       photos or plan maps, planned conservation practices and schedule of
       implementation, engineering designs for any constructed facilities for storing or
       handling manure, records of soil and nutrient tests, appropriate  rates of land
       application to prevent the application of nutrients at rates that will exceed the
       capacity of the soil and planned crops to assimilate nutrients and prevent
       pollution, and records of practices and actions).

3. Outreach and Program Delivery

   Fair and equitable treatment- USDA and EPA agree and will ensure through
   aggressive outreach that the technical and financial assistance provided  in the
   voluntary efforts recommended by this Strategy will be available to persons without
   regard to race, color, national origin, gender, religion, age, disability, political
   beliefs, sexual orientation, and marital or family status. These  outreach efforts are
   already underway and will accelerate with the release of this Strategy.

4.  Financial Assistance for CNMP implementation

      Financial assistance can ease the burden on AFO owners and operators who
   are implementing CNMPs. Financial assistance will be particularly important in


                                  Page 22

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C/5DA/EPA Draft Unified National AFO Strategy	   September 11, 1998


   helping existing AFOs improve the environmental performance of their operations.
   Failure to fund these programs at the level the President has requested will
   seriously constrain our ability to accelerate progress through voluntary action and
   sometimes causes an economic hardship for AFOs. This is particularly true of
   limited resource farmers.

      The primary source of USDA assistance to AFO owners and operators is the
   Environmental Quality Incentive  Program (EQIP), which was initiated in the. 1996
   Farm Bill. The Conservation Reserve Program (CRP) and the Small Watershed
   Protection Program (PL 83-566) are also available to AFO owners and operators
   meeting program  eligibility requirements. EQIP has been funded at $200 million
   in 1997 and 1998. Approximately 45 percent of the funds were spent in each of
   these years to fund contracts with AFOs to develop and provide cost share
   incentives to help implement CNMPs that consider most of the issues this
   Strategy recommends be addressed in a CNMP. The requests for funds for AFOs
   during each of those years was for approximately $230 million-three times the
   amount available.  The Administration has requested $300 million for EQIP for FY
   1999.

     The CRP provides farmers rental payments to set aside lands for various
   environmental  purposes.  The continuous sign-up provision of CRP targets the
   establishment of conservation buffers which are recognized as an important
   component of a CNMP.  A provision of CRP , referred to as the Conservation
   Reserve Enhancement Program  (CREP) allows States to join with the Federal
   government to  increase rental rates paid to land owners by increasing funding for
  the CRP program  with State funds. USDA established the Conservation Buffer
   Initiative in 1996 with the specific goal of establishing two million miles of buffers
  by 2002.  In  1998, approximately $500 million was expended through CRP to
  establish an  estimated 172,000 miles of buffers throughout the United States.

     The PL 83-566 program received $86 million in FY 1997 and approximately $20
  million was spent on 228 watershed plans that address water quality.  A majority
  of these watershed plans  address AFOs.

     EPA has two funds that can be partially used to help many AFOs meet the
  performance expectation.  The first is the 319 program, also known as the
  Nonpoint Source Management Program.  Under section 319 of the CWA, States,
  Territories, and Tribes apply for and receive grants from EPA to implement
  nonpoint source pollution controls.  Over $670 million have been available from
  this fund since 1990, with approximately 39 percent being directed toward
  agricultural issues, including AFOs.

     The second  EPA fund is the Clean Water SRF , which is a program used to
  make low interest loans (as low as zero percent) for important water quality
  projects. Managed by the States, the SRF program in each State can fund
  nonpoint source eligible implementation projects such as  animal waste storage


                                Page 23

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USDA/EPA Draft Unified National AFO Strategy	September 11, 1998

                                                                 !
   facilities.  The SRF program is funding approximately three billion dollars in
   projects each year with a cumulative total over the years of $20 billion.  Since 1997,
   the SRF program has funded over $650 million in nonpoint source-eligible
   projects to clean up polluted runoff (including AFOs).

     Currently, many States have cost-share programs that address water quality
   issues.  Funds from these programs are available to owners or operators to
   assist in development and  implementation of CNMPs. USDA and EPA strongly
   support such programs.
                                                                 i
                                                                 i
     Options to help provide Federal financial assistance to AFO operators to
   develop and implement CNMPs include:
                                                                 I
   •     Continue and increase the USDA-EPA collaboration on AFO issues
        particularly at the field level, to better target and leverage available
        resources from all applicable programs to assist AFOs in addressing water
        quality issues.

   •     Target Federal financial assistance to existing AFOs who need to develop or
        revise CNMPs to meet the performance expectation established by this
        Strategy.
                   •II         !               "              '.        I
  •     Significantly increase EQIP funding as requested in the President's budget
        to meet the expressed demand from AFO owners and operators for
        financial assistance.
                                                                 i

  •     Encourage AFO owners and operators to take full advantage of the CRP
        program and establish conservation buffers as part of their CNMPs.  Also
        encourage States to  collaborate with the Federal government through the
        CREP provision of the CRP program.

  *     Encourage States to use 319 funding in implementing programs that
        address management issues of AFOs.  In particular, EPA will work with
        States to target the requested increase in 319 funds to impaired
        watersheds.

  *     EPA will work with States to increase the number and dollar amount of
        loans made through the Clean Water SRF for priority projects to prevent
        polluted runoff,  with the goal of increasing the annual percentage of funds
        loaned for this purpose to at least 10 percent (or about $200 million) by the
        year 2001. EPA will also work with States toward the goal of increasing to
        25 the number of States using integrated priority-setting systems to make
        clean water funding decisions by the year 2000.  EPA will work with States to
        promote the use of these funds for AFO implementation measures.
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C/SDA/EPA Draft Unified National AFO Strategy   	September 11, 1998
         Encourage States and Tribes to address AFO issues as they work with the
         community to develop watershed restoration action strategies for priority
         watersheds under the CWAP.

         Develop a tool package of financial assistance programs that will be
         available so that AFO owners, counties,  SWCDs, and States can assess
         options and understand how to receive financial assistance.
Strategic Issue #3 Implementing and Improving the Existing Regulatory Program
Description

      The CWA provides that all "point sources" of water pollution that discharge or
add pollution to waters are subject to having a National Pollutant Discharge
Elimination System (NPDES) permit under section 402 of the Act. Section 502 of the
Act defines "concentrated animal feeding  operations" or CAFOs as point sources.
EPA regulations provide detailed criteria for determining when an AFO is also a CAFO
subject to the NPDES permit program (see also Section 4.2 and 4.4 of this Strategy).

      This Strategy clarifies the applicability and the requirements of the existing
regulatory program, identifies permitting and enforcement priorities, and describes
EPA's plans to strengthen and improve existing regulations. For those facilities
covered by the NPDES permitting program, CNMPs will identify steps to protect water
quality and public health and will be a key element of the permit.
Desired Outcomes

•  Minimize pollution from CAFOs to the greatest extent practicable.

•  Ensure the maximum environmental benefit is obtained per public dollar
   expended.

•  Develop draft comprehensive CAFO permitting guidance and model permits by
   October 1998 and final guidance by January 1999.

•  Develop comprehensive State CAFO permitting strategies beginning in early 1999.

•  Issue Round I NPDES permits to all CAFOs beginning in Spring 1999.

•  Revise the NPDES CAFO permitting regulations by December 2001.
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 *  Review and revise as appropriate the effluent limitation guideline for poultry and
    swine by December 2001 and for beef and dairy by December 2002.

 *  Large CAFOs (greater than 1,000 AUs) have developed and are irnplementinq
    CNMPs by 2003.
                                                                 i

 •  All CAFOs in States where EPA administers  the NPDES program have developed
    and are implementing CNMPs by 2003.

 *  Issue Round II NPDES permits to all CAFOs beginning in 2005.

 * All CAFOs in NPDES authorized States have developed and are implementina
    CNMPs in 2005.
Actions

1. Improve Implementation of the Existing CWA Permitting Program
                                                                 .i
         EPA will work with States to establish a two-phase approach to permitting
   CAFOs. Round I of CAFO permitting will occur under EPA's existing CAFO
   regulations. In Round II permits, core permit elements may be expanded to reflect
   revisions to the effluent guideline, permit program regulations, and State-adopted
   water quality standards for nutrients.

   A  Round I Permits

         In Round I, EPA will work with NPDES-authorized States to issue Statewide
   general NPDES permits to cover all CAFOs with greater than 1000 AUs and
   CAFOs with between 300-1000 AUs that have unacceptable conditions. These
   general permits will be issued starting in Spring 1999 and affected CAFOs  will be
   expected to submit a notice of intent to be covered by the permit.  General permits
   will require facilities to develop and implement CNMPs on a schedule identified in
   the permit, develop record keeping procedures, and routinely report on the
   implementation of the CNMP.

        EPA and the NPDES-authorized States should use individual NPDES
   permits in Round I for exceptionally large operations, new operations or those
   undergoing significant expansion, operations with historical compliance
   problems, or operations with significant environmental concerns.  States have
  flexibility in determining which CAFOs should have individual NPDES permits and
  should address this topic in State CAFO permitting strategies (see Section  1D
  below).
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USDA/EPA Draft Unified National AFO Strategy	 September 11, 1998	


         Also in Round I, EPA will work with the States and'Tribes to issue
   watershed general permits for facilities in  selected watersheds, including those
   identified as not meeting clean water goals.  States are encouraged to develop
   watershed general permits for watersheds where there are aggregate water
   quality impacts from AFOs on a watershed scale (see Section 4.4).

         Watershed general permits are based on existing EPA and State permitting
 ' authority. EPA's regulations on general permits (40 CFR 122.28) allow the
   issuance of a single permit to cover facilities that share common elements (e.g.,
   CAFOs) within a specific geographic area (e.g., watershed).  To be covered under
   a watershed general permit during Round I, AFOs with fewer than 1000 AUs need
   to be individually designated as "significant contributors" of water pollution and
   AFOs with fewer than 301 AUs also need to meet specific criteria (e.g., have a
   man-made conveyance through which pollutants are discharged into navigable
   waters or a direct discharge to waters passing through the facility).

         These watershed general permits will allow for tailoring of NPDES permit
   requirements to the needs of a watershed.  Watershed general permits could also
   tailor permit requirements to the realities of manure and wastewater management
   practices in a given locality and promote more effective public participation than
   would a  Statewide general permit. Watershed general permits must be written to
   reflect any TMDL developed for the watershed. EPA encourages permit writers to
   use their best judgment in developing such permits.

         States should also issue individual permits to individual facilities that are
   significant contributors of water pollution to waters that do not attain water quality
   standards, due in whole or part to AFOs.
  B.  Round II Permits

        Round II permitting will include reissuance of Statewide general permits,
  individual permits, and watershed general permits; will begin at the end of the five-
  year permit term of Round I (i.e., about 2005); and will incorporate new
  requirements resulting from revisions to the existing CAFO effluent guideline and
  NPDES permitting regulations.

        In addition to potential regulatory revisions that may affect CAFO permitting,
  Round II CAFO permits will incorporate requirements that reflect ongoing activities
  related to nutrient water quality criteria development. On June 25, 1998, EPA
  announced a national strategy for the development of regional nutrient criteria.
  The strategy describes the approach EPA will take for development of scientific
  information related to nutrients and to working with States to ensure adoption of
  nutrient criteria into State water quality standards. EPA will establish  numeric
  criteria for nutrients within three years of their issuance or by 2000, as specified in
  the Clean Water Action Plan. EPA expects all States and Tribes to adopt and


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USDA/EPA Draft Unified National AFO Strategy	September 11, 1998	


   implement numerical nutrient criteria into their water quality standards by
   December 31, 2003. All NPDES permits must be revised to incorporate
   requirements to meet State-adopted nutrient criteria as the permits are issued or
   reissued.

        In Round II, EPA and States will continue to identify watersheds where
   cumulative effects of AFOs c... -:e nonattainment of water quality standards and
   EPA and States will continue to identify as a priority for individual permits certain
   exceptionally large operations, those undergoing significant expansion or those
   with significant public interest.

        Finally, in Round II, EPA will not include, and recommend that States not
   include, in reissued Statewide general permits any CAFO with fewer than 1000
  AUs (or whatever appropriate threshold may exist because of revised regulations)
  that was included  in a Round I permit if the CAFO is not located in a watershed that
  is identified as impaired and if the CAFO has successfully addressed the initial
  condition that caused them to be a CAFO, is fully implementing a CNMP,  and
  offers evidence that it is in full compliance with its permit at the end of the permit
  term (See Section 4.6).                                           ;


  C.  CAFO Permitting Guidance and Model Permits

        EPA will develop comprehensive guidance on NPDES permitting of CAFOs
  including development of Statewide, individual, and watershed general permits.
  EPA will also develop model Statewide, individual, and watershed general
  permits.  Guidance and model permits will be issued in draft by October 1998 and
  in final form by January 1999.

    A key subject to be addressed in the guidance is the process for establishing
    schedules for development of CNMPs for those facilities covered by individual
    and general  permits. These schedules for development of CNMPs should be
    appropriate to the circumstances in each State and should be described in
    detail in State-specific permitting strategies (see below). At a minimum, State-
    specific permitting strategies should provide for the development of CNMPs for
    the largest CAFOs (i.e., greater than 1,000 AUs) by 2003 and all CAFOs by
    2005.  In States where EPA administers the NPDES program, permits will
    require that all CAFOs have CNMPs by 2003.

    The guidance will also  address issues such as who is required to obtain a
    permit, elements of a permit (which may differ for new or expanding CAFOs and
    existing CAFOs), and different types of permits, including watershed general
    permits, consistent with the permitting priorities described in Section 4.4.  EPA
    expects that  permit  elements will include specific performance measures for
    CNMP implementation, reporting (including reporting on CNMPs for land
    application and their implementation), and monitoring.


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      The model permits will provide that CNMPs developed pursuant to a permit, or
      that are directly related to issuance of a permit, should be provided to the
      permitting authority by the permittee.  Some States have adopted approaches
      in their permitting programs that recognize the environmental responsibilities
      of corporate entities that participate in the operation of CAFOs. EPA will explore
      options for including such approaches in its model permits.

      USDA and EPA agree that a CNMP developed by public sector parties or
      certified private parties should be a condition of an individual or general
      NPDES permit. EPA guidance will indicate that the CNMP should be the
      principal substantive pollution  control provision of the permit and will
      incorporate NRCS's practice standards as the appropriate practice standards
      for CAFO CNMPs. Permits will include other provisions including any more
      stringent conditions necessary to meet the requirements of the CWA (See
      Section 4.5).
   D.  State-Specific CAFO Permitting Strategies

         EPA and USDA recognize that the current law and regulations provide
   authority to issue permits to a larger group of CAFOs than is identified in the
   priorities described in Section 4.4.  However, States are asked to prioritize NPDES
   permit issuance to address AFOs that fall into the three priority permitting
   categories, at a minimum, and any other AFOs the State determines should have
   permits consistent with the authority of the current law, following the general
   guidelines for Round I and Round II permitting described above.

         Some States have significantly greater numbers of AFOs requiring  permits
   than do other States.  The capacity for development of CNMPs in  the public and
   private sector will vary from State to State.  Resources available for the
   management of the NPDES program also vary from State to State. And, the extent
   to which smaller AFOs (i.e. under 1,000 animal units) are significant contributors
   to water quality problems on a site-specific or watershed basis will vary among
   States. State-specific CAFO permitting strategies should address timing and
   approaches to permitting,  including the basis for using individual and general
   permits and should reflect stakeholder and public input to the extent practicable.

         EPA will assist States in evaluating their CAFO permitting efforts and in
   developing, beginning in early 1999,  comprehensive strategies consistent with
   this national Strategy to enhance permitting, inspection, and enforcement  activities
   for CAFOs. EPA will also work with States to develop performance measures that
   track environmental progress and programmatic efforts.  Finally, EPA will work to
   develop State-specific CAFO permitting strategies in cooperation  with States that
   do not administer the NPDES program.
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          EPA will work with States to ensure that EPA enforcement priorities are
   deigned to complement and ensure successful implementation of this Strategy
   and are otherwise consistent with State-specific permitting strategies. However,
   notwithstanding these priorities, it should also be recognized that EPA may initiate
   enforcement action at any facility at any time under the Agency's authorities to
   address  imminent and substantial endangerments.

         Several States have permitting or licensing programs that address
   environmental issues and requirements for AFOs that go beyond the NPDES
   program. EPA intends to work with States to ensure that State and Federal
   programs work together smoothly to protect water quality and public health.  EPA
   will also work with States that are authorized to administer the  NPDES program to
   ensure that State programs meet the NPDES substantive and  procedural
   requirements and issue NPDES permits. However, this Strategy is not intended to
   preclude States from adopting more  stringent approaches in their NPDES
   programs.
2. Review and Revision of Existing Regulations
                                                                   i
   A. Feedlots Effluent Limitations Guidelines

         EPA will, with input from USDA, States, Tribes, other Federal Agencies and
   the public, review and revise as appropriate, the effluent limitation guideline for
   poultry and swine by December 2001 and for beef and dairy cattle by December
   2002.  NRCS and other USDA agencies will participate on the regulatory
   workgroup to revise the regulations.
                             i                                 •     i

      In 1974, EPA promulgated the Effluent Limitation Guidelines and New Source
      Performance Standards for the Feedlots Point Source Category (40 CFR 412).
      The effluent guidelines for feedlots applies to a subset of operations in the
      following  animal sectors:  beef and dairy cattle, swine, sheep, horses, broiler
      and layer chickens, turkeys, and ducks.

      The guideline establishes a "no discharge" requirement for process
      wastewater which, in general, includes the manure from the feesdlot as well as
      any precipitation that comes into contact with the manure or any products used
      in or resulting from the production of animals or direct products (e.g.,  milk,
      eggs).  The requirement prohibits discharges except those that result from
      chronic or catastrophic events, including from a 25-year, 24-hour or larger
      storm event where a facility has been appropriately designed and constructed.
      This "no discharge" standard applies to existing as well as new facilities.

      EPA expects that revisions to the effluent guidelines will:
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         •  Be closely coordinated with any changes to the NPDES permitting
            regulations.
         •  Consider innovative and alternative technologies including the viability of
            treatment and discharge technologies and technologies that do not
            involve storage of liquid manure.
         •  Assess different management practices that minimize the discharge of
            pollutants and the cross-media transfer of pollutants.
         •  Evaluate alternative use and disposal options for manure that
            nonetheless capture their nutrient/energy value.
         •  Evaluate options for regulating dry manure handling systems.
         •  Evaluate the need for different requirements for new or expanding and
            existing facilities.

   B.  NPDES Permit Regulations

         EPA will, with input from USDA, States, Tribes, other Federal Agencies, and
   the public, revise the NPDES permit program regulations regarding CAFOs by
   December 2001.

     EPA intends to revise the existing permitting regulations to clarify expectations
     and requirements for CAFOs as well as to reflect the changes in the industry.
     NRCS and other USDA agencies will participate on the regulatory workgroup to
     revise the regulations.  Revision of the permitting  regulations will be closely
     coordinated with the revision of the Feedlots Effluent Limitations  Guideline (40
     CFR Part 412) because of the  commonality of issues and the administrative
     efficiencies for EPA,  States and all interested groups.  Permits in  effect on the
     date of new regulations will remain in effect until subsequently changed to
     incorporate the new  requirements.

     Key permitting issues that EPA intends to consider during the regulatory
     revision process include:

        •   Establishing specific requirements for new  and significantly expanding
           facilities and monitoring  requirements for permitted facilities.
        •  Clarifying requirements for effective management of manure and
           wastewater from CAFOs whether they are handled on-site  or off-site.
        •  Explore alternative ways  of defining CAFOs.
        •  Consider requirements for CAFOs to conduct self-evaluations of CNMP
           implementation and keep records of such evaluations on-site.
        •  Considering large poultry operations,  consistent with the size threshold
           for other animal sectors,  as  CAFOs, regardless of the type of watering or
           manure handling system.
        •  Clarifying who may designate and the criteria for designating certain
           AFOsas  CAFOs.
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                                                                i
         •  Providing for the protection of sensitive water bodies such as source
            water protection areas, Outstanding National Water Resources,
            wetlands and other areas.
         •  Providing for expedited designation of smaller AFOs in watersheds
            identified for watershed general permits.
         •  Removing the exemption from permitting for AFOs that only discharge
            during a 24-hour 25-year or larger storm event.
         •  New, improved public review of general permit conditions applicable to
            individual facilities, including public notice of facilities to be covered.
         •  Consider defining all facilities regardless of size that have a man-made
            conveyance as a CAFO.
         •  Explore alternative approaches to ensuring that corporate entities
            support the efforts of individual AFOs to comply with permits and  develop
            and implement CNMPs.

3. Improve Implementation of the Existing CWA Compliance and {Enforcement
Program

      The following actions are designed to improve implementation of the existing
CWA compliance and enforcement program for CAFOs and support implementation
of this Strategy:
                                                      .

   CAFO Compliance Assurance Implementation Plan  Revisions - EPA will revise its
   CAFO Compliance Assurance Implementation Plan as necessary to ensure that
   EPA and State enforcement priorities support implementation of this Strategy.
   However, EPA may "initiate emergency actions at any time against any AFO that
   presents an imminent or substantial endangerment.

   Compliance Assistance - EPA will continue and expand compliance assistance
   efforts led by the National Agricultural Compliance Assistance Center consistent
   with the Strategy and changes to the regulatory program. As regulations are
   revised and implemented, EPA's initial efforts will focus on compliance assistance
   and later shift to a greater focus on enforcement activities.

   CAFO Inspections - EPA will work with States to establish commitments for
   inspection of CAFOs with the goal of inspecting existing CAFOs (including
   unannounced periodic inspections to determine if CAFO CNMPs are being
   implemented) and other facilities that may need to be designated as CAFOs
   because they may fall into one of the categories that are priorities for NPDES
   permitting. EPA expects that training will be necessary for inspectors and will
   engage specialists familiar with AFOs and associated management practices to
   assist in this training.
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C/5DA/EPA Draft Unified National AFO Strategy	September 11. 1998	


Strategic Issue #4 Coordinated Research, Technical Innovation, Compliance
Assistance, and Technology Transfer

Description

      Coordinated research, technical innovation, compliance assistance, and
technology transfer relative to the environmental management of AFOs are critical
components of this Strategy. USDA and EPA, together with other Federal partners,
will establish coordinated research, technical innovation, and technology transfer
activities,  and compliance assistance, and establish a single point information center.

      Knowledge gaps exist in our understanding of the effects of AFOs on natural
resources and environmental quality.  Some of this lack of understanding is due to the
fragmented structure of our research and data collection efforts, information residing
in multiple locations with much of the information obtained with objectives  different
from those of this Strategy and different information being used by AFO managers,
technical assistance specialists and regulators.  For example, research is done
primarily from an animal production and natural resource management perspective
by the Agricultural Research Service (ARS), Economic Research Service (ERS), and
the land-grant colleges and universities, among others. These entities also do
research on economic issues such as economic impact, cost/benefit analyses, policy
analyses,  and resource use and environmental implications.  EPA, U.S. Geological
Survey (USGS), and university researchers conduct research on AFOs from an
environmental quality viewpoint. EPA and USDA will, in coordination with the private
sector, the land grant colleges and universities and others, develop a coordinated
plan for research, development, and assessment.

Desired Outcomes

      A coordinated approach to research, technical  innovation, compliance
assistance, and technology transfer.

Actions

A.  Coordinated Research Plan - USDA and EPA will develop a coordinated AFO
research plan by October 1999. This plan will establish priorities for  future research
including:

      1.     Methods to better manage manure to address nutrients, pathogens, and
      other pollutants.
      2.     Modification of animal diets to reduce nutrients in manure.
      3.     Mitigation of sites with excessive pollutants.
      4.     Evaluation of impacts of best management practices from farm and
      watershed perspectives.
      5.     Educational materials for all audiences that meet their conservation,
      regulatory, and production needs.


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                                                                 t
                                                                 i
       6.     Alternative uses of animal manure, such as for energy production or for
       high value, low volume fertilizers.
       7.     Assessment of the climate change effects of methane and NOx
       emissions from AFOs
       8.     Assessment of the problem of air deposition of nutrients.
       9.     Assessment of food  safety impacts from AFOs  including pathogens,
       hormones, antibiotics, and  metals and the water quality impacts resulting  from
       the discharge of these and  other compounds to the environment.
       10.   Assessment of the quality of existing monitoring data.
       11.   Alternatives to production methods that use animal confinement.
       12.   Establishment of soil phosphorous threshold levels.
       13    Alternatives for transporting manure, manure distribution, and
       composting.
       14.   Water quality risk of dry manure management.

B.  Coordinated Technology Transfer Plan - USDA and EPA will develop a coordinated
AFO technology transfer plan by October 1999. The plan will describe how to
disseminate the results of all research conducted by the agencies.  The plan will also
describe the  establishment of a website on which to post all data results, analyses of
the resulting  information, comments or responses to the results or analyses,
automated nutrient management tools, and any scholarly papers about the  research
project or related information.

C.  Virtual Center- USDA and EPA will develop a Virtual Center with the goal of
creating a single point of reference for both agencies, the individual producers, the
livestock industry, and the general  public. EPA and USDA will commit to developing a
process for setting research  priorities,  coordinating research  activities, participating in
joint research endeavors, and sharing research results. The  Virtual Center  will
consist of a website to be maintained by personnel from both  USDA and EPA where
research results, analyses, comments and responses to the  research and  scholarly
papers on the research project or related information would be available to all.

Options

There are two options for realizing the three actions described above in this  section.
Regardless of which option is chosen, EPA and USDA will coordinate with the
National Agricultural Library in Beltsville, Maryland, which currently serves as a USDA
repository for research data and results, as well as the National Agriculture
Compliance Assistance Center.  These options are not mutually exclusive nor
exhaustive:

1. Develop a National AFO Information and Research Center.

      USDA  and EPA would develop a National AFO Information and Research
   Center. Appropriate EPA  offices and USDA agencies would provide support to the
   center. Other Federal agencies (e.g., USGS, Department of Energy) that  are
                                                                 i

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  USDA/EPA Draft -Unified National AFO Strategy	       September 11. 1998


     conducting relevant research, information management, and technical assistance
     activities would be invited to join as associated members. Members of the center
     would contribute both financial and personnel support to the Center's activities.
     The Center would develop and manage a coordinated research program,
     compliance assistance, data exchange and coordinated technical assistance. In
     the short term, the Center would be tasked to complete the three action items
     described above.

 2.  Establish a National AFO Information and Research Working Group

     USDA and EPA would establish a National AFO Information and Research
    Working Group. Appropriate EPA offices and USDA agencies would provide
    support to the working group. Other Federal agencies that are conducting relevant
    research, information management, and technical assistance activities would be
    invited to join as members.  Members of the working group would contribute both
    financial and personnel support to the working group's activities, although each
    cooperating agency would be directly responsible for the management of its
    human and financial resources. The working group would develop and manage a
    coordinated research, information exchange, and technical assistance program.
    The working group would also collaborate and coordinate activities with other
    appropriate entities. The Working Group would be tasked to complete the three
    action items described above.
 Strategic Issue #5 Encouraging Industry Leadership

 Description

      This Strategy intends to provide strong incentives for AFO owners and
 operators to develop and implement CNMPs. Other sections of the animal agriculture
 industry can also play a key role in helping to encourage adoption of these CNMPs
 and address water quality problems on individual AFOs. An example is the
 Comprehensive Environmental Framework for Pork Production Operations
 recommended by the National Environmental Dialogue on Pork Production.  The
 Dialogue included representatives from State Agriculture and Environmental
Agencies, USDA, EPA, and the pork industry. The National Pork Producers Council is
 recommending that the Framework would apply to all commercial pork production
operations. The poultry industry is currently conducting  a similar dialogue. These
industry-led initiatives can significantly increase the voluntary adoption of CNMPs to
protect water quality.

In addition to the animal agriculture industry, other groups (i.e., co-ops, the Certified
Crop Advisors, and the National Association  of Independent Crop  Consultants) can
play a key role in helping AFOs protect water quality and public health.
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  USDA/EPA Draft Unified National AFO Strategy	September 11, 1998


  USDA and EPA invite comments on how the agricultural and livestock industries can
  play an active role in ensuring that all AFOs have CNMPs.
                                                    • ' • '
  Desired Outcomes

 The animal agriculture industry will take the lead in promoting and ensuring the
 protection of water quality on individual AFOs though development and
 implementation of CNMPs on all AFOs.

 Actions

 The following are actions that USDA and EPA may take to  promote industry
 involvement. USDA and EPA request comment on which of these actions or other
 actions would benefit most from Federal involvement.

 Industry-Led Initiatives - USDA and EPA will work with industry, in particular
 integrators, to identify opportunities for greater industry involvement in pollution
 prevention. This could include the integrators providing technical, educational, and
 financial assistance to producers and/or requiring CNMPs in contracts with
 producers. This could also include industry use of climate, soil, and crop information
 supplied by USDA and EPA to locate future operations.  USDA and EPA will promote
 industry-led dialogues in different AFO sectors such as the recently concluded pork
 dialogue and the ongoing poultry dialogue.

 Manure Brokering Networks - USDA and EPA will investigate with the industry the
 potential for manure brokering networks to make  sure excess manure is available to
 the cropland which needs it.

 AFO Owner/Operator Peer Network - USDA and EPA will promote with the industry a
 peer network of AFO owners and operators willing to assist other producers in their
 area with questions or assistance on CNMPs.

 AFO Awards Program - USDA and EPA will work with AFO Industry groups to develop
 an awards program to promote innovative and effective water quality management of
 AFOs.
                .                        •                       I
 Disseminate Information - USDA and EPA will work with industry (associations,
 integrators, etc.) to disseminate information on the revised NPDES regulations' and
 effluent guidelines, beginning in 2001.
                          '                                     i
 Locally-Led Watershed Efforts- USDA and EPA will work with the AFO industry to
 promote locally led watershed efforts.

 Industry-Developed Planning Tools - USDA and EPA will encourage and support
 industry efforts to develop and distribute planning  tools to members to enable them to
develop and implement CNMPs.
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 Environmental Reviews - USPA and EPA will promote industry efforts to conduct
 environmental reviews of members' AFOs to evaluate environmental performance
 and assist in enhancing environmental protection.

 Manure/Fertilizer/Biosolids Dialogue - USDA and EPA will encourage dialogue on how
 to maximize the benefits of using manure, fertilizer, and biosolids.

 Marketing and Promotion Orders - The 1996 Farm Bill authorized conservation as a
 purpose for marketing and promotion orders.  Marketing and promotion orders allow
 an agriculture industry (e.g., livestock) to assess a charge on the product to be used
 for conservation and environmental activities. These marketing and promotion orders
 generate needed funds for an activity and can provide financial support for all its
 producers (e.g., growers).  In implementing a marketing and promotion order (i.e.,
 check-off program) through the Secretary of Agriculture, additional revenue can be
 generated to support, while maintaining a level playing field throughout the industry,
 needed nutrient management practices.
 Strategic Issue #6 Data Coordination

 Description

       Several kinds of data are useful in assessing and managing the water quality
 impacts of AFOs. Ambient water quality information allows the identification of water
 quality impacts that may be attributable to AFOs; Aggregate information about
 multiple AFOs can be used to target both regulatory and voluntary activities, including
 watershed-level planning.  Finally, information about individual AFOs is helpful for
 those assisting owners and operators in developing CNMPs, identifying facilities that
 may be subject to the regulatory program, and for the development and
 implementation of watershed-level plans. These three kinds of data are available
 from multiple sources, including USDA, EPA,  USGS, Army Corps of Engineers, and
 State agencies.

      Recently, questions have been raised regarding the public availability of some
 types of information related to AFOs-in particular, data related to individual AFOs used
 by USDA to assist in conservation planning. USDA and  EPA affirm the need to protect
 the trust relationship that exists between farmers and USDA and as characterized by
 Secretary of Agriculture Dan Glickman's call to "maintain a firewall between voluntary
 and regulatory programs."  On May 22, 1998,  NRCS issued a policy statement that
 prohibits the release of AFO-specific information in conservation plans and case files
that has been developed through voluntary technical and financial assistance
 programs.  In accordance with EPA regulations  most information on individual
facilities, collected or generated as part of the NPDES program, is publicly available.
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  USDA/EPA Draft Unified National AFO Strategy	September 11, 1998
                                                               I
                                                               !
  Desired Outcomes                               '

        USDA/EPA coordination on data sharing that protects the trust relationship
  between USDA and farmers and provides regulatory authorities with information that
  is useful in protecting water quality.

  Actions

  Joint Policy Statement on Data Coordination - EPA and USDA wilf develop a joint
  policy statement on information coordination.  Both agencies agree to review existing
  policies and guidance based on the joint policy statement.

  Water Quality Inventory Enhancements - EPA will improve the 305(b) Water Quality
  inventory to better report the water quality impacts caused by AFQs.
                                                               i
  Cost-Benefit Methodology - EPA and USDA will develop a joint evaluation of the costs
 and benefits of this  Strategy and options considered in developing revised CAFO
 regulations. USDA and EPA will convene an interagency economic analysis work
 group to develop the economic analysis methodology and data that may be used in
 the analysis.

 CAFO Inventory - To ensure a program that is consistent with NPDES program
 activities, EPA will develop an inventory of facilities subject to regulatory activities.


 Strategic Issue #7  Performance Measures and Accountability

 Description
                                                               i
                                                               I
       USDA and EPA believe that it is critical to establish performance measures to
 gauge our success in implementing this Strategy and meeting relevant goals in each
 agency's strategic plan established under the Government Performance and Results
 Act. Three types of  performance measures are important. First,  USDA and  EPA are
 committed to completing each of the actions described under the strategic issues.
 Second, there are a  number of programmatic activities (e.g., number of AFOs with
 CNMPs, number of CAFOs cpvered by NPDES permits) that we will evaluate to
 measure the level of activity being devoted to addressing water quality impacts from
AFOs. Finally, and most importantly,  USDA and EPA will develop appropriate
environmental outcome measures to measure our progress in implementinq this
Strategy.

      We recognize that measurement of AFO progress in addressing water quality
issues will take time  for two reasons:  (1) it will take time to develop appropriate
measures; and (2) it will take time for water quality progress to be achieved  (maybe
decades in some watersheds).
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Desired  Outcomes

      An effective performance measurement system for AFOs that includes
appropriate programmatic output and environmental outcomes that allows USDA,
EPA and other stakeholders to determine the level of success and to improve AFO-
related programs.

Actions

Performance Measurement - USDA,  EPA, and other Federal agencies will establish a
joint work group to develop a coordinated set of programmatic outputs and
environmental outcome measures for this Strategy and identify a baseline against
which to measure performance. The work group will seek input from States and
SWCDs and will develop a performance measurement approach for AFOs by October
1999
             
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USDA/EPA Draft Unified National AFO Strategy	September li, 1998


      State/Local Government - State and local governments often have the
      responsibility for implementing Federal programs.  For example, 42 States and
      the Virgin Islands are authorized to implement the current CWA provisions that
      affect CAFOs.  States also implement various nonpoint source control
      programs, including cost-share programs.  States and SWCDs are key
      partners in implementing environmental and conservation programs.  State
      Land Grant Universities are the primary mechanism to deliver agricultural
      research and extension  programs.  State, local, and Federal governments,  and
      private sector partners work together to ensure that the actions taken on the
      ground are appropriate and cost effective.  State and local governments also
      help determine where water quality and public health protection  must be
      enhanced beyond the minimum performance expectations established through
      Federal programs, and often deal with local issues such as siting and odor.

      Individual Producers - No matter what size  an operation or from what
      management activity, the release of pollutants to surface or groundwate'r from
      an AFO is to be avoided. It is the responsibility of individual owners and
      operators, and the companies and industries they are involved with, to
      minimize the release of pollutants from AFOs.  Every operation should be
      implementing a CNMP that minimizes the  risks of pollution.
                                                                   !
      Integrators - Integrators should ensure that their contract growers are
     environmentally responsible.  Feed mills and processing plants should
     incorporate the environmental impacts of the dissociated production
     operations into the siting and sizing of their plants.  Integrators can also help
     develop alternatives for manure use and transport.

     Livestock Industry - The livestock industry as a whole has an obligation to
     educate its members and to provide leadership to ensure that  its practices do
     not adversely impact society or the environment. Many sectors of the livestock
     industry have shown leadership by moving forward to establish new, industry-
     led efforts to improve the siting and management of AFOs, and to provide
     training to operators.  This leadership must be enhanced and continue.
                                                                   i
                                                                   i
     Other Private Sector - The private sector can continue to contribute to new
     technologies and innovative strategies that capitalize on the nutrient and energy
     value of animal manure and related  by-products of AFOs. This would include
     vendors and consultants of animal manure  treatment and management
     systems.  Various organizations,  including livestock organizations and AFO-
     related companies provide  educational programs to inform AFO owners and
     operators about Federal and State goals, standards, rules, and permitting
     processes, and to teach them how they can protect environmental quality and
     comply with regulatory provisions. The agricultural and environmental
     consulting community can also respond by helping to ensure that appropriate
     technical resources are available to  assist with development of CNMPs for
     producers.  Fertilizer producers and  dealers can provide information on


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      integrating use of manure and other nutrient sources to ensure appropriate
      nutrient use.

      Research and Educational Institutions - Public and private research
      organizations provide much of the knowledge and technology to better manage
      and utilize manure and related by-products of livestock production.  USDA's
      and EPA's research, education, and technical assistance programs will
      provide leadership in developing new and innovative technologies for AFOs
      and analyzing their effectiveness.

      Watershed or  Community  Responsibilities - Every watershed where the
      concentration of AFOs is a potential source of pollution should have a
      watershed- or area-wide plan that helps AFO owners, operators, and others to
      work together to prevent pollution.  Such planning is particularly important in
      areas where problems exist, such as where the quantity of manure and
      nutrients produced by AFOs exceeds what can be safely applied to  land to meet
      crop needs.  Locally led watershed efforts promote  coordinated and integrated
      decision making to find sound, locally acceptable ways to achieve
      environmental quality.

      Environmental  Groups- Environmental groups and  grass-roots  organizations
      play an important role in focusing public attention on environmental concerns
      with respect to  animal production activities.  Environmental groups can provide
      "on-site" reports about specific environmental quality concerns and  can
      educate its members, the general public, the agricultural community and the
      media about important environmental concerns at the local, State, and national
      level.
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