Thursday
February 11. 1993
Part IV


Environmental

Protection  Agency

40 CFR Parts 232 and 233
Clean Water Act; Section 404 Tribal
Regulations; Rule        •

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8172    Federal Register / Vol. 58.  No. 27 / Thursday. February 11. 1993  /  Rules and Regulations
ENVIRONMENTAL PROTECTION
AGENCY

40 CFR Parts 222 and 233

[FHL-4121-21
BIN 2040-AB69

Clean Water Act; Section 404 Tribal
Regulations

AGENCY: Environmental Protection
Agency (EPA).
ACTION: Final rule.

SUMMARY: This rule amends the Section
404 State Program Regulations by
adding the procedures by which an
Indian Tribe may qualify for treatment
as a State in order to be eligible to
subsequently apply for assumption of
the dredge and fill permit program
under section 404 of the Clean Water
Act. and the Clean Water Act Section
404 Program Definitions and Permit
Exemptions by adding new definitions
for "Federal Indian reservation",
"Indian Tribe", and "States". This
regulation satisfies the statutory
provisions in section 518 of the Clean
Water Act with respect to the 404
 program and, in part, sections 308 of
 309 of the Clean Water Ac^r
 EFFECTIVE DATE: The rule 'snail be
 effective March IS. 1993.
 ADDRESSES: The administrative record
 for this rule may be inspected at 499
 South Capitol Street. SW.. room 711.
 Washington, DC
 FOR FURTHER INFORMATION CONTACT:
 Lori Williams, Wetlands Division
 (A104FJ, Environmental Protection
 Agency, 401M Street. SW.. Washington.
 DC 20460. 202-260-5043.
 SUPPLEMENTARY INFORMATION:
 Information in this preamble is
 organized as follows:
 A. Background
 B. Response to Public Comments
   1. Treatment of Tribes as States
   2. Other Comments
 C. Changes in the Proposed Rule
 D. Stato 404 Permit Program Approval
     Requirements
 E. Regulatory Impact Analysis
 F.. Simplification of EPA Process for
     Implementing Statutory Authority to
     Treat Tribes as States
 G. Paperwork Reduction Act
 H. Regulatory Flexibility Act

 A. Background
   The over-all objective of the Clean
 Water Act (CWA)-as amended is to
 restore and maintain the chemical,
 physical and biological integrity of the
 Nation's water. The two national goals
 the Act established in 1972 include: (1)
              e discharge of pollutants
Into navigable waters and (2) achieving
an interim water quality level that
would protect fish, shellfish, and
wildlife while providing for recreation
in and on the water wherever attainable.
  Since 1972. section 101(b) of the CWA
makes it national policy to recognize
and preserve the States' primary
responsibility to meet these goals. Over
the past 20 years, the Agency has
focused on developing standard
operating relationships with the States
and localities.
  In 1972, Congress established the 404
permit program to regulate discharges of
dredged or fill material into waters of
the United States. Congress, in the 1977
Amendments to the Federal Water
Pollution Control Act (the Clean Water
Act), gave States the option of assuming
the 404 permit program in certain
waters of the State, subject to EPA
approval. If a State assumes this
responsibility, its jurisdiction includes
all waters within its border except: (1)
Those which are subject to the ebb and
Sow of the tide plus adjacent wetlands
and (2) waters which are presently used
or may be susceptible to use (through
reasonable improvement) to transport
interstate or foreign commerce plus
adjacent wetlands. The Corps of
Engineers retains jurisdiction over all
waters which States cannot assume.
  The Act prescribes minimum
requirements which States must meet
before exercising their option to assume
the program and assigned program
approval and oversight responsibility to
EPA. On May 19,1980. EPA
promulgated regulations to establish
procedures and criteria for approval/
disapproval of 404 State programs and
for monitoring a State program after
program approval. In response to State
concerns about rigid mandatory
requirements, excessive paperwork
burdens, intrusive Federal oversight.
and general lack of flexibility, EPA
promulgated revised regulations on June
 6,1988. These revisions provide the
 States more flexibility in program
 design and administration while still
 meeting the requirements and objectives
 of the Act. Once a Tribe is determined
 to be qualified to be treated as a State,
 the Tribe must meet the requirements
 for an approvable program specified in
 40 CFR Part 233.
   Congress, through amendments to
 both CWA in 1987 and the Safe  .
 Drinking Water Act (SDWA) in 1988.
 has authorized EPA to treat Indian
 Tribes as States under various .
 provisions of these Acts. Amendments
 to both statutes*required the Agency to
 promulgate regulations that would
 establish exactly how Tribes would be
 treated as States. Specifically, the
February 4.1987 Amendments to CWA
added a new section 518, which
requires EPA to promulgate regulations
specifying how the Agency will treat
qualified Indian Tribes as States for the
purposes of, among others, the section
404 Dredge and Fill Program described
above, to the extent that EPA determines
such regulations are necessary to
implement section 518.
  On November 29,1989, EPA proposed
amendments to the Section 404 State
Program Regulations in response to
CWA section 518 requirements (see 54
FR 49180). The proposal included an
amendment that would add procedures
by which an Indian Tribe could qualify
for treatment as a State for the purpose
of the Section 404 dredge and fill permit
program (and, as discussed below, for
purposes of sections 308 and 309 of the
CWA as they relate to section 404). The
proposal also included an amendment
to the section 404(b)(l) Guidelines for
specification of Disposal Sites for
Dredged or Fill Material by adding new
definitions for "Federal Indian
reservation", "Indian Tribe" and
"States". The public comment period
closed on January 29,1990. EPA
received a total of 20 comments on the
proposed rule.
  Pursuant to CWA section 518, the
proposal was prepared in consultation
with States and Indian Tribes. The
proposal was developed with the
assistance of an informal work group
composed of representatives from
Indian Tribes, States, and EPA. In
addition, a national consultation
meeting involving States and Tribes was
held in Denver. Colorado in June of
1988 for the purpose of obtaining
additional comments. Finally, EPA
distributed a number of drafts of the
proposal to all States and tribes
(following a mailing list of federally
recognized Tribes obtained by the Office
of Water) for review and comment prior
to issuing the proposed rule.
.   EPA believes that many of the
difficult issues were resolved during the
consultation period prior to proposal,
and that this explains why relatively
few comments were received on the
proposal and why relatively few
changes to the proposal were required
in preparing today's final rule. Another
reason is that EPA had previously
published similar procedures under
CWA section 518 for the section 106
> water quality management and planning
 program (54 FR 14334; Apr. 11.1989).
   Additional background information
 was included in the preamble to the
 proposed rulemaking.  .  '  .
   Finally, EPA issued vary similar
 regulations treating Tribes as States for
 purposes of sections 303 and 401 of the

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         FederaJ Register / Vol. 58. No. 27  / Thursday. February  11, 1993 / Rules and Regulations    8173
CWA (Water Quality Standards
program), which were also proposed on
September 22,1989. EPA received
similar comments on most issues.
Today's responses to comments echo
EPA's responses in that final rule. EPA
incorporates all of those responses into
today's administrative record by
reference, and has not repeated all of
them here.
B. Response to Public Comments
  The response to public comments is
organized into two sections: (1)
Treatment of Tribes as States, and (2)
other comments. Comments discussed
within each of these sections has been
further categorized by topic.
1  Treatment of Tribes as States
Comments on the Authority
Requirements
q. The Scope of Inherent Tribal
Authority
  Comment: The issue of whether and
how EPA should require Tribes to
demonstrate that they meet the
requirements of section 518(e)(2) of the
CWA, i.e., that they can demonstrate
authority to regulate the discharge of
dredged or fill material within the
boundaries of thaasreservations,
attracted significant comment.
Numerous commenters remarked on the
significance of the Supreme Court's
decision in Brendale versus
Confederated Tribes and Bands of the
Yakima Nation, 492 U.S. 408,109 S.Ct.
2994 (1989) for EPA's programs and
today's regulations, although there were
widely differing views of how to read
the decision. Several commenters .
asserted that Brendale clearly indicates
that an Indian Tribe may not enforce the
section 404 permit program against non-
members of the Tribe on non-Indian-
owned fee lands within  the boundaries
of the reservation or that, at the very
least, the Tribe must include detailed
factual information that describes the
non-Indian lands the Tribe proposes to
regulate and the reasons supporting its
jurisdictional assertions.
  By contrast,  other commenters
asserted that Tribes invariably possess '"'
inherent authority to regulate all
reservation waters, and that EPA should
presume the existence of such authority
and not require Tribes to make any
specific factual showing. These
commenters asserted that such authority
over environmental matters was
recognized in Montana versus United
States. 450 U.S. 544 (1981), and not
diminished by.Brendale.
  Response: EPA does not read the
holding in Brendale as preventing EPA
from recognizing Tribes as States for
 purposes of regulating the discharge of
 dredged or fill material on fee lands
 within the reservation, even if section
 518 is not an express delegation of
 authority (an issue'discussed in detail  '
 below). In Brendale, both tha State of
 Washington and the Yakima Nation
 asserted authority to zone non-Indian
 real estate developments on two parcels
 within the Yakima reservation,  one in
 an area that was primarily Tribal, the
 other in an area where much of the land
 was owned in fee by non-members.
 Although the Court analyzed the issues
 and the appropriate interpretation of
 Montana at considerable length the nine
 members split 4:2:3 in reaching the
 decision that the Tribe should have
 exclusive zoning authority over
 property in the Tribal area and the  State
 should have exclusive zoning authority
 over non-Indian owned property in the
 fee area. The decision reflects some
 difficult issues in this area of the law
 and, as the comments indicated, has
 generated considerable controversy over
 the extent of Tribal authority.
   Given the lack of a majority rationale,
 the primary significance of Brendale is
 in its result, which was fully consistent
 with Montana versus United States,
 which previously had held that:
   To be sura. Indian Tribes retain inherent
 sovereign power to exercise some forms of
 civil jurisdiction over non-Indians on their
 reservations, even on non-Indian fee lands. A
 tribe may regulate *  *  • the activities of
 non-members who enter consensual
 relationships with the Tribe or its members
 through commercial dealing, contracts,  leases
 or other arrangements *  " * A Tribe may
 also retain inherent power to exercise civil
 authority over the conduct of non-Indians on
 fee lands within its reservation when that
 conduct threatens or has some direct affect
 on the political integrity, tha economic
 security, or tha health or welfare of tha Tribe.
 Montana. 450 U.S. at 565-566 (citations
 omitted).
   In Brendale, the Court applied this
 test, finding Tribal authority over
 activities that would threaten the health
1 and welfare of the Tribe. 492 U.S. at
 443—44 (Stevens, J., writing for the
 Court); id. at 449-50 (Blackmun, J.
 concurring). Conversely, the Court
 found no Tribal jurisdiction where the
 proposed activities "would not threaten
 the Tribe's* *  * health or welfare." Id.
 at 432 (White. J., writing for the  Court).
 The Agency therefore disagrees with
'commenters who argue that Brendale
 somehow overrules Montana.
   As further discussed below, EPA
 agrees with certain commenters that
 pending further judicial or
 Congressional guidance on the extent to
 which section 518 delegates additional  .
 authority to Tribes, the ultimate
 decision regarding Tribal authority must
 be made on a Tribe-by-Tribe basis and
 has finalized the proposed process for
 making those determinations. Thus.
 EPA rejects the suggestion of other
 commenters that EPA make a conclusive
 statement regarding the extent of Tribal
 jurisdiction over fee lands for all Tribes
 and all waters or even a statement
 regarding any particular reservation.
 except in the context of an actual
 treatment as a State application. This is
 consistent with the approach the
 Agency adopted under the Safe
 Drinking Water Act, whan it determined
 that it would not "automatically
 assume," or adopt, in the first instance.
 a rebuttabla presumption of Tribal
 authority over all water within a
 reservation that would operate even in
 the absence of any factual evidence. See
 53 FR 37396. 37399 (September 26,
 1988). Nonetheless, EPA sees no reason
 in light of Brendale to assume that
 Tribes would be per se unable to
 demonstrate authority over water
 quality management on fee lands within
 reservation borders. Rather, as discussed
 below, EPA believes that as a general
 matter there are substantial legal and
 factual reasons to assume that Tribes
 ordinarily have the legal authority to
 regulate surface water quality within a
 reservation.
  In evaluating whether a Tribe has
 authority to regulate a particular activity
 on land owned in fee by non-members
 but located within a reservation, EPA
 will examine the Tribe's authority in
 light of the language of section 518 and
 evolving case law as reflected hi
 Montana and Brendale. The extent of
 such Tribal authority depends on the
 effect of that activity on the Tribe. As
 discussed above, in the absence of
 contrary statutory policy; a Tribe may
 regulate the activities of non-Indians on
 fee lands within its reservation when
 those activities threaten or have a direct
 effect on the political integrity, the
 economic security, or the health of'
 welfare of the Tribe. Montana. 450 U.S.
 at 565-66. However, in Brendale several
justices argued that for a Tribe to have
 "a protectable interest" in an activity,
the activity's effect should be
 "demonstrably serious." Brendale, 492
U.S. at 431 [White, J.). In addition, in a
more recent case involving Tribal  -
criminal jurisdiction, a majority of the
Court indicated in dicta that a Tribe
may exercise civil authority "where the
exercise of Tribal authority is vital to
the maintenance-of Tribal integrity and
self-determination." Dura y. Reina, 110  •
S.Ct 2053,2061 (1990). See also
 Brendale, 492 U.S. at 450 (Blackmun, f.)
 (test for inherent Tribal authority

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8174
Federal Raguter / Vol. 58. No. 27  / Thursday. February 11, J993  /  Rules and  Regulation
whethor activities "implicate a
significant Tribal Interest"): id at 462
(Blackmun. J.) (teat for inherent Tribal
authority whether exercise of authority
"fundamental to the political and
economic security of the Tribe").
  As discussed above, the Supreme
Court, in recent cases, has explored
•several options to assure that the
impacts upon Tribes of the activities of
non-Indians on fee land, under the
Montana test, are more than de nun/mis.
although to date the Court has not
agreed, in a case on point, on any one
reformulation of the test In response to
this uncertainty, the Agency will apply,
as an interim operating rule, a
formulation of the standard that will
require a showing that the potential
impacts of regulated activities on the
Tribe are serious and substantial
  The choice of an Agency operating
rule containing this standard is taken
solely as a matter of prudence La light
of judicial uncertainty and does not
reflect an Agency endorsement of this
standard perse. Moreover, as discussed
below, the Agency believes that the
activities regulated under the various
environmental statutes generally have
serious and substantial impacts  on
human health.and welfarejjts a result.
the Agency believes thafTribes will
usually be able to meet the Agency's
operating rule, and that use of such a
rule by the Agency should not create an
improper burden of proof on Tribes or
create the administratively undesirable
result of checkerboarding reservations.
  Whether a Tribe has jurisdiction over
activities by non-members will be
determined case-by-case, based  on
factual findings. The determinations as
to whether the required effect is present
in a particular case depends on the
circumstances.
  Nonetheless, the Agency may also
take into account the provisions of
environmental statutes, and any
legislative findings that the effects of the
activity are serious hi making a
generalized finding that Tribes ate likely
to possess sufficient inherent authority
to control reservation environmental
quality. See e.g. Keystone Bituminous
Coal Assoc. v, DcBenedictis, 480 U.S.
470,476-77 and notes 6, 7 (1987). As
a result, in making,the required  factual
findings as to the impact of a water-
related activity on a particular Tribe, it
may not be necessary to develop an'
extensive and detailed record in each
case. The Agency may also rely  on its
spedal expertise and practical
experience regarding the importance of
•water management, recognizing that
clean waterincluding important •
habitats (e.g., wetlands, bottom
sediments, spawning beds, etc.), is
                             absolutely crucial to the survival of
                             many Indian reservations.
                               The Agency believes that
                             Congressional enactment of the Clean
                             Water Act establishes a strong Federal
                             interest La effective management of
                             water quality. Indeed, the primary
                             objective of the CWA "is to restore and
                             maintain the chemical, physical, and
                             biological integrity of the Nation's
                             waters" (section 101(a)) and. to achieve
                             that objective, the Act establishes the
                             goal of eliminating all discharges of
                             pollutants, into the navigable waters of
                             the U.S. and attaining a level of water
                             quality which is fishable and
                             swimmable (section 101(a)(lH2)). Thus
                             the statute itself constitutes, in effect, a
                             legislative determination that activities
                             which affect surface water and
                             important habitat quality may have
                             serious and substantial impacts.
                               EPA also notes that, because of the
                             mobile nature of pollutants in surface
                             waters and the relatively small length/
                             size stream segments or other water
                             bodies on reservations, in would be
                             practically very difficult to separate out
                             the effects of water quality impairment
                             on non-Indian fee land within a
                             reservation from those on Tribal
                             portions. In other words, any
                             impairment that occurs on. or as a result
                             of, activities on non-Indian fee lands  is
                             very likely to impair the water quality
                             of the Tribal lands. This also suggests
                             that the serious and substantial effects
                             of water quality impairment within the
                             non-Indian portions of a reservation are
                             very likely to affect the Tribal interest ha
                             water quality. EPA believes that a
                             "checkerboard" system of regulation.
                             whereby the Tribe and State split up
                             regulation of surface water quality on
                             the reservation, would ignore the
                             difficulties of assuring compliance with
                             the section 404 permit program when
                             two different sovereign entities are
                             regulating the same small stream
                             segments.
                               EPA also believes that Congress has
                             expressed a preference for Tribal
                             regulation of surface water quality to
                             assure compliance with the goals of the
                             CWA. This is confirmed by the text and
                             legislative history of section 518 itself.
                             The CWA establishes a policy of
                             recognizing, preserving, and protecting
                             the primary responsibilities and rights
                             of States to prevent, reduce, and
                             eliminate pollution, and to plan the .
                             development and use (including' . ~
                             restoration, preservation, and
                             enhancement) of land and water -
                             resources (section 10l(b)}. By extension,
                             the treatment of Indian Tribes as States
                             means that Tribes are to be primarily
                             responsible for tha protection of  •
                             reservation water resources; As Senator
 Burdick. floor manager of the 1987 CWA
 Amendments, explained, the purpose of
 section 518 was to "provide clean water
 for the people of this Nation." 133 Cong
 Rac. S1018 (daily ed. Jan. 21,1987).
 This goal was to be accomplished, he
 asserted, by giving Tribes file primary
 authority to regulate practices which
 may affect water quality on Indian
 lands. Id,
   In light of the Agency's statutory
 responsibility for implementing the
 environmental statutes, its
 interpretations of the intent of Congress
 in allowing for Tribal management of
 the section 404  permit program within
 the reservation are entitled to
 substantial deference. Washington Dept.
 of Ecology v. EPA, 752 F.2d 1465.1469
 (9th Cir. 1985); see generally Chevron,
 USA v.  NRDC. 467 U.S. 837.  843-45
 (1984).
   The Agency also believes that the
 effects of Tribal health and welfare
 necessary to support Tribal regulation of
 non-Indian activities on the reservation
 may be easier to establish in the context
 of water quality management than with
 regard to zoning, which was at issue in
 Brendale. There is a significant
 distinction between land use planning
 and water quality management. The
 Supreme Court  has explicitly
 recognized such a distinction: "land
 use planning in essence chooses
 particular uses for the land;
•environmental regulation * * * does
 not mandate particular uses of the land
 but requires only that, however the land
 is used, damage to the environment is.
 kept within prescribed limits."
 California Coastal Commission v.
 Granite Rock Co.. 480 U.S. 572. S87
 (1987). The Court has relied on this
 distinction to support a finding that
 States retain authority to carry out
 environmental regulation even in' cases
 where their ability to cany out general
 land use regulation is preempted by
 Federal law. Id. at 587-89.
   Further, water quality management
 serves the purpose of protecting public
 health and safety, which is a  core
 governmental function, whose exercise
 is critical to self-government The • •
 special status of governmental- actions to
 protect public health and safety is well
 established.1 By contrast, the power to
 zone can be exercised to achieve  :
 purposes which have little or no direct
 nexus to public health and safety; See
 e.g. Brendale, 492 U.S. at 420 n.S
 (WhiteJ.) (listing broad range of ~
 consequences of State zoning decision).
 nine fucticM la the contsKt of Fifth
 taking* l«w. Sm Ktyttaaf Bitumiamu Coal
 Allocation t. DoBanedictb. 480 U.S. 470,491 nJW
 (1967); Id. at 312. (Bflhnqulrt. CJ.. dl»«ntteg}.  •

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         Federal Register / Vol. 58. No.  27 / Thursday,  February  U.  1993 / Rules and Regulations    8175
Moreover, water pollution is by nature
highly mobile, freely migrating from one
local jurisdiction to another, sometimes
over large distances. By contrast, zoning
regulates the uses of particular
properties with impacts that are much
more  likely to be contained within a
given local jurisdiction.
  Operationally, EPA's generalized
findings regarding the relationship of
water quality to Tribal health and
welfare will affect the legal analysis of
a Tribal submission by, in effect,
supplementing the factual showing a
Tribe makes in applying for treatment as
a State. Thus a Tribal  submission
meeting the requirements of § 233.61(c)
of this regulation will also need to make
a relatively simple showing of facts that
there are waters within the reservation
used  by the Tribe or Tribal members.
(and  thus that the Tribe or Tribal
members could be subject to exposure to
pollutants present in, or introduced
into,  those waters) and that the waters
are subject to protection under the Clean
Water Act. The Tribe must also
explicitly assert that impairment of. such
waters by the activities of non-Indians,
would have a serious and substantial
effect on health and welfare of the Tribe.
Once the Tribe meets this initial burden,
EPA will, in light ofJjja facts  presented
by the Tribe and the generalized
 statutory and factual  findings regarding
 the importance of reservation water
 quality discussed above, presume that
 there has been an adequate showing of
 Tribal jurisdiction on fee lands, unless
 an appropriate governmental entity (e.g.,
 and  adjacent Tribe or State)
 demonstrates a lack of jurisdiction on
 the part of the Tribe.
   The Agency recognizes that
 jurisdictional disputes between Tribes
 and  States can be complex and difficult
 and  that it will, in some circumstances,
 be forced to address such disputes.
 However, EPA's ultimate responsibility
 is protection of the environment In
 view of the mobility  of environmental
 problems, and the interdependence of
 various jurisdictions, it is imperative
 that all affected sovereigns work
 cooperatively for environmental
 protection, rather than engage in
 confrontations over jurisdiction.
 b. The Effect of Section 313 on Tribal
 Authority Over Non-Indian Activities
    Comment. EPA has received letters
 from three members of Congress.
  Senator Simpson, Senator Baucus, and
 Representative Morrison, regarding the
  impact of Brendale on EPA's Indian
  Policy and the development of
  "treatment as a State" regulations fpr-
  EPA water programs in light of the
  legislative history of section 518. All
three commenters asserted that Congress
did not intend to expand the scope of
Tribal authority over non-Indians on the
reservation by the passage of section
sia.     - ••••        :  ifc
  Rap. Morrison asserted that he
inserted into the Congressional Record a
memorandum written by staff on the
House Committee on Interior and
Insular Affairs regarding section 518
(also inserted into the  Congressional
Record by Senator Adams at 133 Cong.
Rec. S753-54 (daily ad. Jan. 14,1987))
solely to demonstrate that section 518
was not intended to expand Tribal water
quantity rights. 133 Cong. Rec. H184-85
(daily ed. Jan 8,1987). Rap. Morrison
disavowed other statements from that
memorandum which might support the
proposition that Congress intended to
authorize Tribal jurisdiction over non-
members on reservations. ("Indian
Tribes have the right to regulate lands
and other natural resources within the
reservation, including non-Indian
owned fee  lands or resources." Id.
(emphasis  added)). Rep. Morrison stated
his belief that Congress  did not, by the
passage of section 518, expand the
scope of Tribal authority over non-
Indians. In light of this legislative
history, Rep. Morrison asserted that,
consistent with Brendale. EPA should
not allow Tribal regulation of non-
members on so-called "open"
reservations.
   Senators Baucus and  Simpson also
 recommended that EPA consider the
 legislative history of section 518(e) and
 the Brendale decision and determine
 not to allow Tribal regulation over non-
 members on the reservation.
   Finally, all three of these
 Congressional commenters asserted that
 the legislative history of section 518
 clearly shows that it was not intended
 to affect rights to water quantity under
 State law. The concerns raised by these
 Members of Congress echo other
 comments discussed elsewhere in
 today's notice. Several commenters
 asserted that section 518(e)(2) should
 not be read as an express grant of
 Congressional authority to Indian Tribes
 to regulate such fee lands, despite
 indications in Brendale to the contrary.
    By contrast. Senators McCain,
 Burdick, and Inouye. expressed a view
 that section 518(e) delegates Tribes
 authority  to regulate  all waters within
 reservation boundaries including those
 on non-Indian fee 1«nri«. Some -_
 commenters cited Brendale for this
 proposition. The latter argument of
 these commenters is based upon the
 opinion of Justice White in Brendale.
 Justice White indicates that certain  *
 statutes may delegate Federal authority
 to Tribes, thereby providing a basis for
 authority over all lands within a
 reservation. As Justice White explained,
 on the record in Brendale there could
 be—
   "ao contention *  • * that Congress has
 expressly delegated to the Yakima Nation the
 power to zone fee lands of nonmemben of
 the Tribe. Compare 18 U.S.C. 1151,1161
 (1982 ed.. and Supp. V); 33 U.S.C. 1377 (a]
 and (hl(l) (1982 ed.. Supp. V) (La., sections
 518(e) and 518(h)(l) of the CWAl."
 492 U.S. at 428 (1989) (White, J.)
 (emphasis added). This language clearly
 categorizes the two cited statutory
 schemes as express delegations of
 Federal authority. Thus, Justice White,
 inter alia, cites the Clean Water Act as
 an example of an explicit delegation of
 authority over non-Indian activities to
 Indian Tribes.
   Response: EPA has fully considered
 the Congressional comments and their
 interpretation of the legislative history
 of section 518. EPA must, of course,
 consider contemporaneous legislative
 history as it is written, and has been
 cautioned not to rely on subsequent
 Statements by Members of Congress.
 Hazardous Waste Treatment Council v.
 EPA, 886 F.2d 355 (DC Cir. 1989), cert.
 denied. Ill S.Ct. 139 (1990).
   EPA differs with the Congressional
 commenters to the extent that they
 suggest the legislative history of section
 518 is clear and expresses an intent to
 limit the scope of Tribal authority. EPA
 notes that other legislative history might
 be interpreted as evincing Congressional
 intent to confer expanded Tribal
 authority over non-Indians within the
 reservation.
   In particular, the following colloquy
 between Senators Inouye and Burdick
 on this issue is very relevant:
   Mr. Inouye:  • *  • I am concerned about
 section 518(e)(2). As I read that provision, it
 enables qualified Indian Tribes to exercise
 the same water quality regulation jurisdiction
  with respect to water that traverses, borders,
 or is otherwise located within their
 reservations [paraphrasing section 518(h)(l)
  and 18 U.S.C  1151(a)l that States have for
 regulation of water outside Indian
  reservations.^ my understanding of section
  518(e) correct?
    Mr. Burdick: Yes. The intent of the
  conferees was to assure that Indian Tribes
  would be able to exercise the same regulatory
  jurisdiction over water quality matters with
  regard to waters within Indian jurisdiction
  that States have been exercising over their
  water.
 . 133 Cong. Rec. S1018 (daily ed. Jan. 21,
  1987) (emphasis added). Senator
  Inouye's statement could arguably
  support-a reading that Congress
.  intended to recognize Tribal authority
  over all waters within the reservation,
  including those managed fay non-
  Indians. Mr. Burdick, a member of the

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   3176    Federal Register


   Conference Committee, agrees with
   Senator Inouye's statement.
     However, in EPA'a view this colloquy
   is ambiguous and inconclusive. Senator
   Burdick. in responding to Senator
   Inouye, agrees that under section 518
   Tribes may regulate waters only if they
   are already "within Indian jurisdiction "
   However. Senator Burdick was only
   recognizing the status quo. i.e..
   whatever is within Indian jurisdiction
   may be regulated via section 518.
   Senator Burdick's statement does not
   clearly show that he—or the Congress as
   a whole—intended to legislate  that all
   waters within the reservation are in fact
   "within Indian jurisdiction." Thus, the
  colloquy  is circular. Indiana have
  jurisdiction if. but only if. they have
  jurisdiction from some source other
  than section 518. It does not dearly
  indicate whether Congress intended to
  expand what lies "within Indian
  jurisdiction."
    Further, if this colloquy were to be
  construed as supporting an expansion of
  Tribal authority, it would arguably
  conflict with a statement Senator
  Burdick had made earlier in response to
  an inquiry from Senator Baucus. In that
  discussion. Senator Burdick reiterated
  that section 518 was not intended to
  affect existing water quantity rights, and
  added that "/p/rivateApnds and  water
  rights owners withiirDoundaries of
 'Indian reservations are not to be
  additionally affected by this act" 133
  Cong. Rec. S753 (daily ed. Jan. 14.1987)
  (emphasis added). This could suggest
  that the Act was not intended to alter
  the status quo regarding regulatory
 authority over these lands.
   The legislative history in the House is
 also unclear as to whether Congress
 Intended to expand Tribal power over
 non-Indians. The statement in the
 House staff memorandum dted above
 supports a view that under current case
 law Tribes already possess regulatory
 authority over non-Indians within
 reservation boundaries; thus it would be
 unnecessary to  delegate such authority
 to Tribes. Insertion of this memorandum
 into the Congressional Record could
 suggest that the House agreed with that
 view; however, this aspect of the
 memorandum was never the subject of
 House discussions, which focused
 almost exdusively on issues relating to
 water rights.
   EPA believes that if Congress had
 intended to make a change as important
 as an expansion of Indian authority to
 regulate non-members, it probably .
 would have done so through statutory
 language and discussed the change in
 the committee reports; Given that the'
 legislative history ultimately is
ambiguous and inconclusive, EPA
                        February  U. 1993 / Rule,  and
  believes that it should not find that the
  statute expands or limits tha scope of
  Tribal authority beyond that inherent in
  the Tribe absent an express indication of
  Congressional intent to do so. See
  Montana. 450 U.S. at 564. Therefore
  EPA has dedded that it will, as
  discussed above, continue to recognize
  inherent Tribal civil regulatory
  authority to the full extent permitted
  under Federal Indian law, in light of
  Montana, Brendale, and other
  applicable case law.
    EPA believes that Congress only
  manifested an explidt intent to
  authorize EPA to treat Indian Tribes as
  States over any activities within tha
  scope of Tribal authority hi light of tha
  relevant principles of Federal Indian
  law. EPA believes that this approach
  will best effectuate tha overall purposes
  of the statute.
   EPA agrees with those commanters
  who Stated that Justice White's opinion
  in Brendale can be read to suggest a
  contrary conclusion, and to indicate that
  at least four justices of the Supreme
  Court would apparently interpret
  section 518(e) as expressly delegating to
 Tribes the authority to regulate water
 quality on reservations, induding those
 affected  by activities on non-Indian fee
 lands. Nonetheless. EPA recognizes that
 Justice White's opinion was not a
 majority opinion of the Court and was
 not necessary to the decision even of the
 plurality that joined it since the issue
 was not before the Court in Brendale.
 Nor is there any discussion in the
 opinion about the somewhat confusing
 legislative history of section 518. The
 passing reference in that opinion does
 not finally resolve the question of
 whether section S18(e) is a delegation of
 authority, and, as discussed above, EPA
 does not believe that it can make an
 absolute determination that Congress in
 feet expressed a clear intent on the
 issue.
  EPA agrees with the Congressional
 commenters that section 518 does not
 affect existing water quantity rights.
This has been the Agency's consistent
position, based on the language of
Sections 101(g) and 513(a).

                         for
                                                     	^	—
                                         have inherent authority unlea. Congas
                                         rescinds that authority, to addition
                                         these commenters stated, sinca section
                                         518 specifically authorizes Tribal
                                         authority, no such demonstration and
                                         ^S^^"18 d*?cumantation is needed.
                                          Response: As discussed in detail
                                         above, the Agency assumes that, in
                                         f?anAi*-nl T«l»~_	  i*t i        ^^
 C. Procedural Requirements for
 Demonstrating Inherent Tribal
 Authority
   Comments Numerous comments
 submitted before and after the proposed
 rule was published have suggested that
 the provisions (see §§ 233.81(b)(3) and
 233.61(c)) requiring that Tribes submit a
 copy of all documents which support
 the-Tribe's assertion of authority is  '
 unnecessary, inappropriate, and flows
•from a misunderstanding of Indian, law.
 These commenters argued that Tribes
   8°im«u. i noes are ukaly to possess the
   autaonty to regulate activities affectini?
   water quality on the reservation. The
   Agency does not believe, however, that
   U would be appropriate to recognize
   Tnbal authority and approve treatment
   as a State requests in die absence of
   verifying[documentation. In addition. In
   bght of the legislative history of section
   518 the question of whether section
   518(e) is an explicit delegation of
   authority over non-Indians is not
   resolved. Therefore. EPA does not
   believe it is currently appropriate to
   eliminate the requirement that Tribes
   make an affirmative demonstration of
   their regulatory authority. EPA will
  authorize Tribes to exercise
  responsibility for the section 404 permit
  program once the Tribe shows that, in
  light of the factual circumstances and
  the generalized findings EPA has made
  regarding reservation water quality, it
  possesses the requisite authority
    EPA would advise Tribes.ln their
  Attorney-General Statement, to outline
  all bases for concluding that the Tribe
  has adequate authority. This can only
  help EPA to make a proper
  determination to treat the Tribe as a
  State.
   As stated in the preamble to the
  proposal, where the Regional
  Administrator condudes that a Tribe
  has not adequately demonstrated its
  authority with respect to an area in
  dispute, then Tribal assumption of tha
 section 404 permit program would be
 restricted accordingly. If the authority in
 dispute were focused on a limited area.
 this would not necessarily delay the
 Agency's  decision to treat the Tribe as
 a State far the non-disputed areas.
   Comment: Numerous commenters
 suggested that § 233.61(c). which
 requires the Tribe to submit a map or
 legal description of the area over which
 the Indian Tribe asserts authority to
 regulate water, should be amended to
 require that fee lands and lands owned
 by non-members and non-Indians be
 shown on the map.
   Response: No such amendment was
 made to tha regulation. EPA believes
 that in some cases, both States and
 Tribes may want to identify the location
 of fee lands on reservations. However.
EPA does not believe it is appropriate to
specifically require Tribes: to submit
such information in all cases. EPA also
believes, that in some cases States are

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t'ederai  Register /  Vol.  53,  No. 27  /  inursoay, r-'eoruary  11.
                                                                                 ames ana Keguiaaons
mare likely to have ready access to such
information than are Tribes. EPA further
believes that the regulation clearly
requires Tribes to identify the area over
which the Tribe asserts authority to
regulate water quality, and that
requiring an identification of fee lands
and lands owned by non-Indians in all
cases is unnecessary and unduly
burdensome. Finally, EPA notes that
§ 233.61(e) gives the Regional
Administrator the discretion to require
whatever additional information is
necessary to support a Tribal
application on a case-by-case basis.
 d. Treatment as a-State for Off-
 Reservation Waters Within Inherent
 Tribal Authority
   Comment: Several comments were
 received regarding the geographic .scope
 of programs authorized under section
 518(e)(2). The provision authorizes EPA
 to treat a Tribe as a State for water
 resources which are held by an Indian
 Tribe, held in trust for Indians, held by
 a member of an Indian Tribe if such
 property interest is subject to a trust
 restriction on alienation, or otherwise
 within the borders of an Indian
 reservation. •
 (emphasis added)
   EPA has consistently read the phrase
 "or otherwise within *  *  *" as a
 separate category of waterresources and
 also as a modifier of the preceding three
 categories of water resources, thus
 limiting the Tribe to acquiring treatment
 as a State status for the four specified
 categories of water resources within the
 borders of die reservation.
   Comments received suggested that
 EPA should alter its reading of this
 provision to allow Tribes to qualify for
 treatment as a State over all water
 resources within its jurisdiction. These
 comments asserted that limiting Tribes
 to water resources within the
 reservation would prevent a Tribe from
 obtaining treatment as a State status
 over water resources outside the
 reservation to which it has legitimate
 jurisdictional claim. Examples cited
 included traditional resources areas
  (known as "usual and accustomed"
 areas) outside reservation borders, and
  all lands held in trust for Tribes by the
  U.S. Government or held by individual
  Indians that lie outside reservation
  borders, lands in "Indian Country" (as
  defined in 18 U.S.C. 1151) that lie
  outside reservation borders and, hi
  general, all water resources within the
  territorial jurisdiction of the Tribe that
  lie outside reservation borders.  .  ;
    One commenter pointed out that often
  such lands are subject to Tribal or •"
  Federal jurisdiction and  are thus beyond
  the police power and regulatory
                             authority of die State in which they ara
                             located. This comment concluded that
                             failure to provide Tribe* with an
                             opportunity to obtain treatment as a
                             State status over such lands would
                             create "regulatory voids" in which
                             neither States nor Tribes have clear
                             authority. Several comments suggested
                             that resolving this Issue could be
                             accomplished simply by revising the
                             definition of Federal Indian Reservation
                             included in § 233.2.
                               In contrast, other commenters
                             asserted that EPA is correct in reading
                             the phrase "or otherwise within the
                             borders*  *  *" as a modifier of the
                             preceding three categories of water
                             resources. These commenters pointed
                             out" diat failure to do so would render
                             the statute nonsensical and contradict
                             Congressional intent. However, tiiese
                             commenters also asserted that EPA is
                             not correct in reading the phrase "or
                             otherwise within the borders * * *" as
                             a fourth category of water resources,
                             because to do so would render the three
                             previous clauses superfluous. These
                             commenters therefore  conclude that
                             section 518(e)(2) should not be read as
                             audiorizing Tribes to regulate non-
                             Indian owned lands within the
                             boundaries of tfie reservation.
                                Response: Under today's rule. Tribes
                             are limited to obtaining treatment as a
                             State status for only water resources
                             within the borders of the reservation
                             over which they possess authority to
                             regulate the discharge of dredged or fill
                             material. The meaning of the term
                             •"reservation" must, of course, be
                             determined in light of statutory law and
                             with reference to relevant case law. EPA
                             considers trust lands formally set apart
                              for the use of Indians to be "within a
                              reservation" for purposes of section
                              518(e)(2), even if they have not been
                              formally designated as "reservations."
                              Oklahoma Tax Commission v. Citizen
                              Band Potawatomi Indian Tribe of
                              Oklahoma. Ill S.Ct 905, 910 (1991).
                              This means.it is the status and use of the
                              land that determines if it is to be .
                              considered "within the reservation"
                              rather than the label attached to it EPA
                              believes that it was the intent of
                              Congress to limit Tribes to obtaining
                              treatment as a State status to lands
                             ' within the reservation. EPA bases this
                              conclusion, in part, on the definition of
                              "Indian Tribe" found in CWA section
                              518(h)(2). As discussed above. EPA also
                              does not believe that  section 518(e)(2)
                              prevents EPA from recognizing Tribal
                              authority over non-Indian water
                              resources located within the reservation
                              if the Tribe can demonstrate the '    :  -
                              requisite authority over such water
                               resources.
Comments an the Capability
Requirements
  Comment: A variety of comments
were received concerning the general
issue of Tribal capability (§§ 233.60(d)
and 233.61(d)). Comments on this
question ranged from suggesting that
EPA should require no demonstration of
capability at all to making the capability
requirements stronger. Several
comments asserted that rejecting Tribes
based on capability will only heighten
unevenness of experience between
States and Tribes.
  Response: EPA made no change in the
regulation. The provision is not unduly
burdensome and EPA intends to apply
similar procedures for Tribes qualifying
as States in all CWA programs. The
Clean Water Act establishes basic
requirements for a Tribe to meet in
order to qualify for treatment as a Stata.
Eliminating the requirement to
demonstrate capability would fail to
meet these statutory requirements. On
the other hand. EPA does recognize the
fact that for many Tribes the assumption
of various Clean Water Act programs is .
new. Information necessary for EPA to
make determinations of capability must
be  balanced against the need to allow
Tribes to gain experience in CWA
programs. EPA believes that today's rule
provides that balance.
   Comment: Comments were received
asserting that the rule should require, as
 part of the demonstration of capability,
 a demonstration of separation of powers
 for executive, legislative, and judicial
 functions, or at least describe how
bifurcation of Tribal regulatory and
 proprietary roles will occur.
   Response: EPA has not required
 Tribes to demonstrate separation of
 powers for purposes of treating Tribes as
 States because such a demonstration is
 not required fay the Clean Water Act.
 EPA will, however, in the context of
 deciding to authorize Tribal 404 permit
 programs, ccasidar potential conflicts of
. interest where the Tribe would be in the
 position of issuing a permit to a Tribal
 entity.
    Comment: Several comments were
 received requesting that EPA clarify
 how the Agency wm evaluate whether
 the Tribe has a history of successful
 managerial' performance of public health
 or environmental programs, and clarify
 how much detail is required in
 describing a Tribe's history of
 managerial experience (sea
 §233.61(d)(l)).   V    -
 <•   Response:In evaluating Tribal-  ••-'
 experience in public health and
 environmental programs, EPA will look
 for indications that the Tribe has
 participated in such programs, whether

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  8178
Federal Register / VoL 58. No. 27 / Thursday. February 11. 1993 / Rules and Regulations
  thu programs be those administered by
  EPA. other Federal Agencies, or of
  Tribal origin. For example, several
  Tribes are known to have participated in
  duveloping area-wide water
  management plans or Tribal water
  quality standards. EPA will also look for
  evidence of historical budget allocations
  dealing with public health or
  environmental programs along with any
  experience hi monitoring in related
  programs. In general. EPA will look
  favorably on Tribes which have
  experience in managing environmental
  programs, because such experience is an
  Indicator of existing capability and
 commitment to environmental
  protection. In caost cases. EPA
 anticipates that submission of a brief
 narrative statement on this topic will be
 sufficient.

 Comments on the Procedure for
 Reviewing Tribal Applications

   Comment; Several comments were
 received on the opportunity provided to
 States to review Tribal assertions of
 authority (see §233.82(c). Various
 commenters believed this provision to
 be inappropriate because, for example.
 Tribes do not review State applications
 for primacy, States have-already
 Established their authority in  their
 primacy applications, and the review is
 inconsistent with EPA's Indian policy
 Other comments suggested that States
 comment along with everyone else
 during a general public  comment
 period.
   .Response: The provision allowing
 participation by other governmental  •
 entities in EPA's review of Tribal
 authority does not imply that States or
 Federal agencies (other than EPA) have
 veto power over Tribal applications for
 treatment as a State. Rather, the
 procedure Is simply intended  to identify
 any competing jurisdictional f^atm and
 thereby ensure that the Tribe has the
 necessary authority to administer the
 section 404 permit program. The
 Agency will not rely solely on the
 assertions of a commenter who
 challenges the Tribe's assertion of
 authority; EPA will make an
 independent evaluation of the Tribal
 showing and all available information.
  In addition, the provision allowing
 appropriate governmental entities to
 co mment on Tribal assertions of
 authority is not intended as a barrier to
Tribal program assumption. As stated in
 the preamble to the proposed  .
rulemaking, where disputes regarding
Tribal authority are focused on, a limited
area this will not necessarily delay the
Agency's decision to treat the Tribe as
a State for the non-disputed areas.
                              Comment: Several commenters
                            suggested that EPA should provide mora
                            definition regarding the "governmental
                            entities" which will be provided notice
                            and an opportunity to comment on the
                            Tribe's assertion of authority (see
                            § 233.62(b). Ona commenter specifically
                            recommended that EPA notify the Army
                            Corps of Engineers of any Tribal
                            applications received.
                             response.-EPA defines the phrase
                            "governmental entities" as States.
                            Tribes, and other Federal entities
                            administering land located contiguous
                            to the reservation of the Tribe which is
                            applying for treatment as a State. Such
                            "governmental entities" will be
                            provided up to 30 days to comment on
                            Tribal assertions of authority.
                            Neighboring Tribes will be treated as
                            "governmental entities" regardless of
                            whether the neighboring Tribe is treated
                            as a State for purposes of section 404.
                            Where such governmental entities are
                            States, EPA intends to provide notice
                            and an opportunity to comment to the
                            most appropriate State contacts which
                            may include, for example, the Governor.
                            Attorney General, or the appropriate
                            environmental agency head. The rule
                            limits the Agency to only considering
                            comments from such "governmental
                           entities."
                             EPA recognizes that city and county
                           governments which may be subject to or
                           affected by a Tribal section 404 permit
                           program may also want to comment on
                           the Tribe's assertion of authority.
                           Although EPA believes that the
                           responsibility to coordinate with local
                           governments falls primarily upon the
                           State, the Agency wil! make an effort to
                           provide notice to local governments by
                           placing an announcement in
                           appropriate newspapers.. Since the rule
                           limits EPA to considering; comments
                           from governmental entities, such
                           newspaper announcements will advise
                           interested parties to direct comments on
                           Tribal authority to appropriate State  '
                           governments.
                             The process of notifying States and
                           Tribes and consulting with the
                          . Department of the Interior, as delineated '
                           in this and other EPA regulations
                           implementing the Clean Water Act and
                           the Safe Drinking Water Act. was and is
                           intended merely to assist the Agency in
                           making its determination whether a
                           Tribe has adequate authority to justify
                           treatment as a State by EPA. Such
                           notification and consultation  ' .
                           procedures were not and are not
                           intended to establish any form of
                           adjudication or arbitration process to
                           resolve differences between State and
                           Tribal governments. Rather, EPA has a
                           duty to determine whether a Tribe has
                           adequate authority, as defined by  . •
  Federal law and EPA policy, to carry out
  the grant or program under
  consideration. The notification and
  consultation procedures assist EPA in
  making this determination by providing
  information and perspectives from the
  points of view of neighboring Tribal and
  State governments and the Federal
  agency having extensive expertise La
  Federal Indian law. For these same
  reasons. EPA believes that formal
  consultation with the Corpg of
  Engineers on treatment as State
  applications is probably unnecessary
    However, once the Tribe qualifies for
  treatment as a Stata under this
  regulation and subsequently applies  for
  assumption of the section 404 dredge
  and fill permit program EPA will
  consult with the Corps of Engineers as
  prescribed by regulations (See subpart
  B—Program Approval).
    Finally, EPA wishes to emphasize that
  the procedure for commenting on Tribal
  authority is only for the purposes of
  determining whether the Tribe meets
  the statutory criteria for treatment as a
  State, not whether a Tribal 404 permit
  program should be approved. The
  existing procedures outlined in 40 CFR
  233.15 will be followed. This will
  ensure full public participation and
  evaluation of Tribal authority before the
  Tribe issues 404 permits in lieu of the
  Corps.
   Comment: It is unlawful to limit
  public comment to just the Tribal
  demonstration of authority. Section
  233.62(c) should allow public review  of
 all four statutory criteria. Furthermore.
 formal adjudicatory hearings should be
 held to determine the scope of Tribal
 jurisdiction before treating tha Tribe as
 a State.
   Response: CWA section 513 provides
 EPA with the authority to determine
 whether Indian Tribes are qualified to
 be treated as 'States. The CW A does not
 require EPA to provide for public
 comment to Tribal applications. For
 three of the criteria which Tribes must
 meet, EPA believes that the Agency will
 be able to make appropriate
 determinations absent any public
 comment. EPA believes that providing
 for public comment on these three
 criteria would unnecessarily complicate
 and potentially delay the process. For
 the authority criterion. EPA has
 provided for a 3D day comment period
 by appropriate governmental ontities
 because the Agency believes that it will
 be important to gather all available   •
 information regarding Tribal authority
.prior to maklng.a detenninatfcin. EPA
 believes that providing for comment on
 the authority criterion is appropriate
 because this is th» only critarian which
 outside comments might help to

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         Federal  Register /  Vol. 58, No.  27 / Thursday, February 11,  1993 / Rules  and Regulations    8179
address. Furthermore, as noted above,
this is only a preliminary determination
and does not eliminate the public
process that will occur before approval
of the Tribal 404 permit program. Thus. '
EPA believes that formal hearings are
unnecessary and would only delay the
process with.no benefit.
  Comment: Several comments pointed
out that the proposal did not specify in
any detail the procedure by which EPA
will consult with the Secretary, of the
Interior in making a determination
concerning challenges to a Tribe's
assertion of authority (see §233.62(d). It
was suggested that the consultation
process should provide for notice and
opportunities for input (e.g., a hearing)
to affected Tribes and States.
  Response: EPA did not make changes
to the proposed rule in response to these
comments. However, subsequent to
publishing the proposed rule EPA did
reach agreement with the Department of
the Interior regarding the procedures for
conducting such consultations. The
procedure established as the Secretary
of the Interior's designees the Associate
Solicitor, Division of Indian Affairs and
the Deputy to the Assistant Secretary—
Indian Affairs (Trust andEconomic
Development). EPA wiirforward a copy
of the application and any documents
asserting a competing or conflicting
claim of authority to such designees as
soon as possible. For most applications.
an EPA-DOI conference will be
scheduled from one to three weeks after
the date the Associate Solicitor receives
the application. Comments from the
Interior Department will be primarily a
discussion of the law applicable to the
issue to assist EPA in its own
deliberations..
  Responsibility for legal advice to the
EPA Administrator or the otiier EPA
decision makers will remain with die
EPA General Counsel. EPA does not
believe that die consultation-process
with the Department of Interior should
involve notice and opportunities for
input by States and Tribes because such
parties are elsewhere provided
appropriate opportunities to participate
in EPA's review of Tribal authority.
  Comment: Several comments
suggested that once EPA makes a
determination regarding a Tribal
application, EPA should provide notice'
of its decision to State, Tribal, end local
governments and all common tore on the
Tribal assertion of authority, and should
publish a list of Tribes treated as States
in the Federal Register.
  Response: EPA will take all
reasonable means to advise interested
.parties of the decision reached regarding
challenges to Tribal assertions of
authority. At a minimum, written notice
will be provided to Statefs) and other
governmental entities that were sent
notice of the Tribal application.
  Comment: One commenter requested .
that EPA provide a mechanism for
States or other entities to extend the 30-
day commentperiodin §233.62(c).
  Response: fP A interprets this section
as giving die Regional Administrator
discretion to grant ouch a request
Nonetheless, given the preliminary
nature of die approval of a Tribal
application for treatment as a State. EPA
will generally not favor significant
extensions of time. ,
  Comment: A number of comments
suggested that EPA specify a timeframe
or change the timeframe associated with
die various steps in die application
review procedure (§ 233.62).
  With regard to die review of die
Tribe's assertion of autiiority (see
§ 233.62(c)), various comments
supported shortening the review period.
lengthening die review period, and also
adding a provision allowing an
extension to die review period.
  With regard to final determinations
(see § 233.62(d)}. several comments
suggested that EPA should complete its
review and respond to Tribes within 60
days after receipt of an application.
Other comments suggested that EPA
should conduct a completeness review
within 30 days of receipt of a Tribal
application. In general, a number of
comments advocated some time limit
widiin which EPA would be required to
complete die review process.
  Response: No timerrames hi die
review procedure were changed in the
regulation in response to comments.
The timeframes assigned are consistent
with regulations promulgated for other
EPA water programs. Because EPA has  .
no reasonable way to predetermine how
complete initial applications for
treatment as a State might be. what
challenges might arise or how numerous
or complex die issues might be, the
Agency deems it inappropriate to
attempt to establish timeframes that may
not allow sufficient time for resolution.
Also, several of die comments appear to
be based on early experience witii die
"treatment as a State" process. EPA
believes diat as Tribes. States, and EPA
become more familiar with working
together on "treatment as a State"
procedures, die delays associated witii
approval of early applications will
cease. Thus. EPA believes it
unnecessary to establish additional
deadlines in die regulation.

Other Comments on Treatment of Tribes
as States
  Comments: Several commenters
suggested that as part of die treatment
as a State process, EPA require Indian
Tribes to describe how tiley will protect
constitutional rights of non-Tribal
members hi issuance and enforcement
of 404 permits, that Tribes waive their
sovereign immunity, and provide for
voting rights for non-members.
  Response: EPA notes that
constitutional rights of both Indians and
non-Indians exist without explicit
recognition hi a Federal regulation. The
regulation provides a mechanism for a
Tribe to demonstrate that it meets die
criteria of CWA section 518(e). EPA
believes it is inappropriate to consider
any other factors  in light of die
preliminary nature of die approval of a
Tribe for treatment as a State. EPA may
consider such issues when reviewing an
application for Tribal program
assumption, although die Agency notes
that it generally would lack die
authority to mandate changes in die'
structure of a Tribal government in such
a situation.
  Comment: EPA should make clear
that qualification for treatment as a State
under one program is not dispositive for
applications under other programs.
  Response: That is die correct
interpretation of this rule. As discussed
previously, however, EPA expects tiiat
once a Tribe has qualified for one
program, die key step toward
assumption of other programs, hi most
cases, will be demonstrating appropriate
capability.
  Comment: Ajwriety of comments
were received concerning die general
issue of die Tribe's criminal
enforcement authority. Comments
ranged from strong objection to die
proposed regulation witiiout an
amendment to die CWA, to specifically
State that criminal enforcement can be
waived, to support for die proposed
regulation as written.
  Response: EPA provided a detailed .
rationale for die proposed enforcement
provision (§ 233.63) in die preamble to
die proposed regulation (See 54 FR
49181.2).
  Since die comments raised no
significant new issues, much of that
discussion is merely repeated here.
  As is die case for States, an Indian
Tribe must have its own legal
authorities to administer a program
under die CWA; EPA cannot delegate its
own authority. However, die Agency
considered whether die lack of
comprehensive criminal enforcement
autiiority would preclude Tribes from
applying for die National Pollution
Discharge Elimination System (section
401) and die Dredge and Fill Permit
programs (section 404) that currently
require such autiiority for an approvable
State program.

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8130    Federal Register / Vol.  58.  No. 27 / Thursday, February  11.  1993 / Rules  and Regulations
  Soction 1451 of SDWA specifically
states that Indian Tribes are not required
to exercise criminal enforcement
jurisdiction for primary enforcement
responsibility. The CWA amendments.
however, do not include similar
language indicating criminal
enforcement authority over all
individuals on the reservation as a State
v.'here s»«h authority is currently
reqirfreu for State program assumption.
  The Agency realizes that a
comprehensive criminal enforcement
requirement could raise substantial
impediments to Tribal assumption of
those CWA programs that require such
authorities of States. Federal law bars
Indian Tribes from criminally trying or
punishing non-Indians in the absence of
a treaty or other agreement to the
contrary. Oliphant v. Suquamish Indian
Tribe 435 U.S. 191 (1978). In addition,
the Federal'Indian Civil Rights Act
prohibits any Indian court or tribunal
from imposing any criminal fine greater
than 55.000 (25 U.S.C. 1302(7)).
  The Agency believes that even though
Congress did not explicitly waive the
requirement under CWA, as under
SDWA. Congress nonetheless intended
Tribes to be able to obtain primacy
without demonstrating comprehensive
criminal enforcement authority.  If EPA
were to infer that Congress, by failing to
insert language similar to that contained
in section 1451 of SDWA. intended not
to waive the criminal enforcement
requirement, EPA's reading would make
part of section 518 of CWA a nullity,
since absent further legislative action.
no Tribe would he able to assume a
program under 402 or 404 CWA. This
reading would contradict the apparent
intent of section 518 to allow Tribes to
assume all specified CWA programs
where they meet the 518(e).criteria.
   Section 233.41 of the 404 State
Program Regulations (SPR) requires that
a State have criminal enforcement
authority to have an approvable 404
State program. This notice proposes to
amend the existing regulations so that
Tribes will not be required to exercise
comprehensive criminal enforcement
jurisdiction as a condition to assuming
 the 404 program. Tribes would instead
be required to provide for the referral of
 criminal enforcement matters when
Tribal enforcement'authority does not
 exist (e.g., non-Indians or fines over
 55,000) to EPA and/or the Corps as the
 parties agree, in an appropriate and
 timely manner. Such procedures must
 he established hi a formal Memorandum
 of Agreement (MOA) with the Regional'
 Administrator and/or the appropriate
 District Engineer(s) of the Corps. There
 may be a single MOA among the Tribe,
 EPA and the Corps; separate MOA's
between the Tribe and EPA and the
Tribe and the Corps; or only one MOA,
between the Tribe and EPA or ihe
Corps, If the parties so agrae. The
MOA(s)"used to satisfy this agreement
may. but do not have to be, the same as
those required in 40 CFR 233.13 and
233.14.
  Thus, the lack of comprehensive
Tribal criminal enforcement authority
should not prevent a Tribe from having
an approvabla 404 State program.
  Therefore we have made no change in
the regulation as proposed. However.
we did mova the provision for Tribal
criminal enforcement authority from
Subpart G Treatment of Indian Tribes as
States, (233.63) to Subpart E
Compliance Evaluation and
Enforcement and redesignated it
"233.41(f) Provision for Tribal criminal
enforcement authority."

Other Comments

Comments on Trust Responsibility
  Comment: EPA received several
comments regarding its assertion that
the "Federal trust responsibility" owed
to Indian Tribes, as it applies to EPA
actions under the CWA, is defined by
the terms of the CWA.
  Certain  comments asserted that EPA
should explicitly clarify whether the
CWA defines any trust obligations to
Tribes and, if so, where and how that
obligation will be expressed. Other
commenters not only asked for
clarification, but asserted that EPA must
State that the Federal-Tribal trust
relationship "exists independently of
and informs EPA decision making"
concerning the CWA and State-Tribal
disputes. Still another comment asked
EPA to clarify that the proposed
regulations are not to be read as
modifying or abrogating EPA's trust
responsibility.
   Response-. EPA recognizes the
responsibility owed by the Federal
government as trustees for the affairs of
Indian Tribes.  However, the Agency
does not believe the trust responsibility
precludes EPA from playing an
impartial role in the dispute resolution
process.
Comments on Definitions Proposed'for
Sections 230.3 and 233.2
   Comment EPA  should change the
proposed definition of a Tribe in
.§§ 230.3 and 233.2 to mean any Indian
Tribe, band, group, or community
• recognized by the Secretary of the
 Interior and exercising governmental
 powers and functions over a Federal [(
 Indian Reservation.
   Response: No change was made. The
 rule reflects the statutory definition.
 However, we moved tha definitions of
 "Federal Indian reservation," "Indian
 Tribe," and "State" proposed for § 230.3
 to § 232.2'Definitions—for consistency
 with the placement of other section 404
 program definitions.

 Comments on Dispute Resolution
   Comment: EPA should add a
 mechanism for resolving disputes over
 Tribal 404 permits similar to that
 proposed for the section 303 program.
   Response: Section 518(e) requires
 EPA to provide a mechanism for the
 resolution of any unreasonable
 consequences that may arise as a result
 of different water quality standards that
 may be set fay States and Indian Tribes
 located on common bodies of water.
 Congress directed EPA to develop a
 mechanism to resolve tha consequences
 of States and Tribes setting different
 water quality standards. Hence, EPA
 included such a mechanism with the
 regulations treating Tribes as States for
 the water quality standards program.
 The statute does not,  however, require
 issuance of a similar mechanism when
 Tribes are treated as States for purposes
 of any other CWA program, including
 the permit programs under sections 402
 and 404. Nor does the legislative history
 of section 518 suggest that Congress
 thought such a dispute resolution
 mechanism would be necessary outside
 of the water quality standards context.
   Treating an Indian Tribe as a State for
 purposes of the 404 program is
 somewhat different than treating a Tribe
 as a State for purposes of setting water
 quality standards. Once a Tribe is
 treated as a State for purposes of 404.
 the Tribe must still apply for
 authorization to issue 404 permits in.
 lieu of the Corps of Engineers on the
 reservation, following the procedures of
 40 CFR 233.15. Those procedures allow
 for public comment on the proposed
 Tribal permit program approval, which
 will allow States to raise any disputes
' regarding Tribal authority or other
 concerns. Thus, a separate dispute
 resolution mechanism would be
 unnecessary. Once a Tribe is treated as
 a State and subsequently submits its
 standards for approval, EPA will not
 solicit public comment on, nor re-
 evaluate whether the Tribe has the
 authority to adopt such standards.
   In addition, if a Tribe subsequently  .
 assumes the 404 permit program.
 approval of a Tribal 404 permit is .
 unlikely to cause "disputes" between a
 Tribe and a State which need to be
 resolved beyond those disputes which
 cannot be resolved by existing
 mechanisms. If EPA determines that the
 Tribe has an approvable permit program
 under part 233, then, by definition.

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         Federal  Register  / VoL  58. No. 27 / Thursday, February 11, 1993 / Roles and Regulations    8181
neither the Corps of Engineers nor the
State will be issuing 404 permits in
assumable waters in that reservation.
(Note that the Corps of Engineers does
retain the permitting authority in non-
assumable waters.) Thus, there is no
direct conflict with State authority to
issue permits off the reservation.
Furthermore, the decision of who will
issue 404 permits on the reservation
does not affect what water quality
standards must be met under that
permit. In other words, any water
quality standards set by either a Tribe or
a State adjacent to or downstream of the
reservation  must be met in the 404
permit, whether that permit is issued by
the Tribe, the Corps of Engineers, or the
State. Any dispute over the terms of that
permit are reflected in a dispute over
the underlying water quality gtandaTHp,
which can be resolved by the existing
mechanism. In simplest terms, the
Indian 404 rule affects who is the
permitting authority, not the substance
of the permits.
  For the above reasons a separate
dispute resolution mechanism is
therefore unnecessary.   .            ^
C. Changes in the Proposed Rule
  As stated above, the only changes to
the proposed regulations were (1) to
move the provision flSr Tribal criminal
enforcement Part G, Treatment of Indian
Tribes as States, § 233.63 to Part E,
Compliance Evaluation and
Enforcement, and redesignated
§ 233.41(fJ and (2) to move, without
change the definitions of "Federal
Indian reservation," "Indian Tribe," and
"State" proposed for 230.3 to § 232.2
Definitions. Moving the provision for
Tribal criminal enforcement is
appropriate because a Tribe's criminal
enforcement authority and how to
handle criminal enforcement matters
will be determined when and if a Tribe
applies for assumption of the section
404 dredge and fill permit program ones
EPA has determined that the Tribe is
eligible to be treated as a State for the
section 404 permit program. The
definitions ware moved for consistency
with the placement of other section 404
definitions.
D. State 404 Permit Program Approval
Requirements
   In response to comments. EPA wishes
to emphasize that Tribes which obtain
treatment as a state for purposes of
section 404 pursuant to today's rule
must further comply with the provisions
of part 233 to obtain authorization of its
404 permit program. EPA has made no
changes to these requirements with
respect to Tribes. Thus, a Tribe must
submit an application which satisfies
the requirements of § 233.10, including
submission of Memoranda of Agreement
with the EPA Administrator ana the
Secretary of the Army (§ 233.13-.14),
and submission of a Statement of the
Attorney General (or the Tribal
equivalent) which, inter alia, discusses
the basis 'for asserting jurisdiction on
Indian lands (§ 233.12(b)). EPA will
process these applications pursuant to
the procedures in § 233.15.
  On August 9,1991. the
Administration announced a
comprehensive plan for the protection
of the Nation's wetlands. Included were
a number of actions to improve the
workability of the Clean Water Act
section 404 regulatory program, which
regulates the discharge of dredged or fill
material into wetlands. Among these
changes will be support for measures to
increase the role  of States in the      _
wetlands permitting process. When
such changes have been identified.
amendments to the section 404 State
Program Regulations (See 40 CFR 232-
233) and other applicable legal
authorities will be implemented, where
appropriate. The section 404 State
Program Regulations, modified in
accordance with  the Administration's
wetlands protection program, will apply
to Indian Tribes qualifying for treatment
as a State under today's rule.
  EPA wishes to clarify that under
today's final rule any Tribe which is
approved to be treated as a State for
purposes of section 404 will
automatically be eligible to be treated as
a State for purposes of section 309(a)(l),
which addresses Federal enforcement of
CWA permits issued by authorized
States. As discussed above, a Tribe
treated as a State for purposes of section
404 would subsequently be eligible to
apply to administer the 404 permit
program under the applicable
provisions of 40  CFR part 233. EPA
would assert the authority to enforce
any 404 permit issued by an Indian
Tribe treated as a State which had
obtained authorization under part 233.
The same is true for enforcement of a
permit issued by a Tribe treated as a
State for purposes of the NPDES permit
program. Thus, EPA does not need to
and does not plan to issue separate
regulations dealing with treatment as a
State for section  309.
  In addition, any Tribe treated as a
State for purposes of the section 404
program will also automatically be
eligible to be treated as a State for
purposes of section 308 (inspection
authority) with respect to 404 permits
issued by the Tribe. The Agency has
adopted this approach for similar
reasons as section 309. Pursuant to the
requirements of  section 404(h)(l)(B), the
existence of State inspection authority is
part of the 404 State permit program
authorization requirements, for which a
Tribe may apply once it is treated as a
State under section 404. See 40 CFR
233.40. EPA also does not plan to issue
separate regulations for treatment as a
State under section 308.

E. Regulatory Impact Analysis

Compliance With Executive Order
12291

  Executive Order 12291 (46 FR13193,
February 9,1981) requires that a
regulatory agency determine whether a
new regulation will be "major" and, if
so, that a Regulatory Impact Analysis be
conducted. A major rule is defined as a
regulation which is likely to result in:
  (1) An annual effect on the economy
of S100 million or more;
  (2) A major increase in costs or prices
for consumers; individual industries;
Federal, State and local government
agencies; or geographic regions; or
  (3) Significant adverse effect on
competition, employment, investment,
productivity, innovation, or on the
ability of United States-based
enterprises to compete with foreign-
based enterprises, in domestic or  export
markets.
  As discussed earlier the purpose of
this rule is to amend the existing State
Program Regulations (part 233) by
adding the procedures by which  an
Indian Tribe, if it chooses to apply, may
qualify for Treatment as a State in order
to be eligiblfljo subsequently apply for
assumption of the section 404 permit
program administered jointly by  the
Corps of Engineers and EPA. The
provisions of part 233 for assumption
are not changed by this rule. Therefore,
the economic impact of this rule  on
Indian Tribes is the cost associated with
the preparation of requests for a
determination of treatment as a State
under section 518(e) of the Clean Water
Act. The proposed rule was submitted
to the Office of Management and Budget
(OMB) for review as required by
Executive Order 12291. Any written
comments for OMB to EPA and any
response to these comments will be
available for public inspection from the
person listed at the beginning of this
notice. Since the rule has only minor
economic impacts it does not meet the
definition of a major rule. The Agency,
therefore, is not conducting a Regulatory
Impact Analysis.
F. Simplification of EPA Process for
Implementing Statutory Authority To
Treat Tribes as States
  As discussed earlier, this rule  was
originally proposed in November 1989.

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  8182    Federal Register / Vol. 58. No. 27 /Thursday. February 11. 1993 / Rules and Regulations
  The Agency had already completed all
  of its internal reviews of this rule when.
  on November 10.1992. EPA's Deputy
  Administrator signed a memorandum
  entitled "Simplification of EPA's
  Process for Treating Tribes as States."
  By that memorandum, the Agency
  formally adopted a new policy for
  simplifying the process for treating
  Indian Tribes in the same manner in
  which it treats States under several
  statutes,  including tha Clean Water Act.
    EPA has decided to issue this rule as
  final so that there will be no further
  delays in allowing interested Tribes to
  seek approval to operate the 404 permit
  program. EPA recognizes, however, that
  some changes to today's rule may be
  necessary to implement fully its new
  policy on treatment as a State
  simplification. EPA plans to make
  necessary changes to its treatment as a
  State regulations across all of its
  programs in the near future; it will make
  any necessary changes to this regulation
  at that time. In tha interim. EPA will
  continue to work with. Tribes to ensure
  that tha existing regulations do not pose
  an unreasonable burden on Tribes
  wishing to assume authority for the 404
 permit program.

 G. Paperwork Reduction Act
   The information collectjpa
 requirements containedin this rula hava
 been approved by the Office of
 Management and Budget (OMB) under
 the provisions of tha Paperwork
 Reduction Act. 44 U.S.C. 3S01 et seq.
 and have been assigned OMB control
 number 2040-0140.
   Public reporting burden for this
 collection of information is estimated to
 be an average of 100 hours per
 respondent including time for
 reviewing instructions, searching
 existing data sources, gathering and
 maintaining the data needed, and
 completing and reviewing the collection
 of information.
   Sand comments regarding the burden
 estimate or any other aspect of this
 collection of information, including  :
 suggestions for reducing this burden, to
 Chief. Information Policy Branch. PM-
 223Y, U.S. Environmental Protection
 Agency. 401M Street, SW.. Washington.
 DC 20460; and to tha Office of
 Information and Regulatory Affairs,
 Office of Management and Budget.
 Washington. DC 20S03, marked
 "Attention: Desk Officer for EPA."
K. Regulatory Flexibility Act' ] .
  Under tha Regulatory Flexibility Act
 (RFA), 5 U.S.C. 601 et seq., EPA must
prepare a Regulatory Flexibility
Analysis for all regulations that have a
significant impact pa a substantial
  number of small entities. The RFA
  recognizes three kinds of small entities
  and defines them as follows:
  —Small governmental jurisdictions—
    any government of a district with a
    population of less than 50,000.
  —Small business—any business which
    is independently owned and operated
    and not dominant in its field as
    defined by Small Business
    Administration regulations under
    section 3 of the Small Business Act.
  —Small organization—any not-for-profit
    enterprise that is independently
    owned and operated and not
    dominant in its field (e.g., private
    hospitals and educational
    institutions).
    Using the above definition of small
  entity. EPA has concluded that the final
  regulation, as promulgated, will not
  have a significant impact on a
  substantial number of small entities.
  and that a Regulatory Flexibility
  Analysis is unnecessary. EPA has
  reached this conclusion based on the
  following considerations.
   The final regulation will not have a
  significant impact on a  substantial
  number of small governmental
  organizations. Approximately 275
  Indian Tribes are potentially eligible for
  treatment as a State under the wetlands
 program. While most Indian Tribes meet
 the definition of small governmental
 organizations provided  above. EPA
 believes the number of Tribes subject to
 significant  impacts as a  result of thi?
 proposed regulation will be a very small
 fraction of the total that apply. EPA
 considers the information required by
 this rule to be the minimum necessary
 to effectively treat Indian Tribes as
 States for the purpose of the 404 permit
 program.
  The regulation will not have a
 significant impact on a substantial
 number of small businesses. Although it
 is conceivable that an Indian Tribe
 could impose additional requirements
 upon a permit applicant than the Corps,
 EPA believes that these situations wifl
 be rare. Any additional economic
 impact on the public resulting from
 implementation of this regulation is
 expected to be negligible, since Tribal
 regulation of these activities is limited
•to areas within Tribal jurisdiction.
  The regulation will not have a
 significant impact on a substantial
 number of small organizations for the
 same reasons that the regulation will not
 have a significant impact on a  .  ' '
 substantial number of small businesses.
  Accordingly, I certify that this final
 regulation, as promulgated, will not -   •
have a significant economic impact on
 a substantial number of small entities.
  List of Subjects

  40 CFR part 232

    Intergovernmental relations. Water
  pollution control

  40 CFR part 233

    Administrative practice and
  procedure. Intergovernmental relations
  Penalties, Reporting and recordkeepinjj
  requirements. Water pollution control.
   Dated: January 13,1993.
  William K. Reilly.
  Administrator.

   For the reasons set forth in the
  preamble, parts  232 and'233 of title 40
  of the Code of Federal Regulations are
  amended as follows:

  PART 232—«04 PROGRAM
  DEFINITIONS; EXEMPT ACTIVmES
  NOT REQUIRING 404 PERMITS

   1. The authority citation for part 232
  continues to read as follows:
   Authority: 33 U.S.C 1344.

   2. Section 232.2 is amended by
  removing the paragraph designations
  and adding, in alphabetical order, new
  definitions for "Federal Indian
 reservation," "Indian Tribe" and
 "State" to read as follows:

 S232J  ttafCnftfofM.
 »    •    •     •    «        -

   Federal Indian reservation means all
 land within the limits of any Indian
 reservation under the jurisdiction of the
 United States Government.
 notwithstanding  the issuance of any
 patent, and including rights-of-way
 running through  tha reservation.
 •   *    ' *    •  .  •

  Indian Tribe means any Indian Tribe,
 band, group, or community recognized
 by the Secretary of the Interior and
 exercising governmental authority over
 a Federal Indian reservation.
 •   •••••

  State means any of the 50 States, the
 District of Columbia, Guam, the
 Commonwealth of Puerto Rico, tha
 Virgin Islands, American Samoa, the
 Commonwealth of the Northern Mariana
 Islands, the Trust Territory of the Pacific '
 Islands, or an Indian Tribe as defined in
 this part, which meet the requirements
 of §233.60.

 PART 233-H04 STATE PROGRAM
 REGULATIONS            :

  -1. The authority citation for part 233
continues to read  as follows: '-•<•.•'    •
  Authority: Cfeab Water Act. 33 U.S.C 1251
at seq.

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Federal Register / Vol. 58,  No. 27 / Thursday, February 11. 1993 / Rules and Regulations    8183
 Subpart A—General

   2. Section 233.1 as amended by
 revising paragraph (b) to read as follows:

 f 233.1  Purpose and acope.
 ***•*
   (b) Except as provided hi § 232.3. a
 State program must regulate all
 discharges of dredged or fill material
 into waters regulated by the State under
 section 404(gHl). Partial State
 programs are not approvable under
 section 404. A State's decision not to
 assume existing Corps' general permits
 does not constitute a partial program.
 The discharges previously authorized by
 general permit will be regulated by State
 individual permits. However, in many
 cases. States other than Indian Tribes
 will lack authority to regulate activities
 on Indian lands. This lack of authority
 does not impair that State's ability to
 obtain full program approval in
 accordance with this part. i.e.. inability  .
 of a State which is not an Indian Tribe
 to regulate  activities on Indian lands.
. does not constitute a partial program.
 The Secretary of the Army acting
 through the Corps of Engineers will   •
 continue to administer the program on
 Indian lands .if a State which is not an
 Indian Tribe does not seek and have
 authority to regulate activities on Indian
 lands.

    3. Section 233.2 is amended by
 removing the paragraph designations
 and adding, in alphabetical order, new
 definitions for "Federal Indian
 reservation." and "Indian Tribe" and by
 revising the definition of "State" to read
 as follows:

 §233.2  Definition*.

    Federal Indian reservation means all
  land within the limits of any Indian
 reservation under the jurisdiction of the
  United States Government.
  notwithstanding the issuance of any
  patent, and including rights-of-way
  running through the reservation.

    Indian Tribe means any Indian Tribe.
  band, group, or community recognized
  by the Secretary of the Interior and
  exercising governmental authority over
  a Federal Indian reservation.
  *****
    State means any of the 50 States, the
  District of Columbia, Guam, the
  Commonwealth of Puerto Rico, the
  Virgin Islands, American Samoa, the
  Commonwealth of the Northern Mariana
  Islands, the Trust Territory of the Pacific
  Islands, or an Indian  Tribe, as defined
  in this part, which meet the
  requirements of § 233.60. For purposes
of this part, the word State also includes
any interstate agency requesting
program approval or administering an
approved program.       *
  4. Section 233.41 is amended by
adding paragraph (f) to read as follows:

1233.41  Requirements for enforcement
authority.

  (f) Provision for Tribal criminal
enforcement authority. To the extent
that an Indian Tribe does not assert or
is precluded from asserting criminal
enforcement authority (§ 233.41(a)(3) (ii)
and (iii)). the Federal government will
continue to exercise primary criminal
enforcement responsibility. The Tribe.
with the EPA Region and Corps
Districts) with jurisdiction, shall .
develop a system where the Tribal
agency will refer such a violation to the
Regional Administrator or the District •
Engineers), as agreed to by the parties.
in an appropriate and timely manner.
This agreement shall be incorporated
into joint or separate Memorandum of'
Agreement with the EPA Region and the
Corps District(s), as appropriate.
   5. Part 233 is amended by
redesignating subpart G as subpart H.
redesignating § 233.60 as § 233.70; and
by adding a new subpart G consisting of
§§ 233.60 through 233.62 to read as
follows:

Subpart G—Treatment of Indian Tribes
as States

Sec.
 233.60  Requirements for treatment as a
    State.
233.61  Request by an Indian Tribe for a
    determination of treatment as a State.
 233.62  Procedure for processing an Indian
    Tribe's application for treatment as State.

 Subpart G—Treatment of Indian Tribes
 as States

 f 233.60  Requirements for treatment as a
 State.
   Section 518(e) of the CWA, 33 U.S.C.
 1378(e), authorizes the Administrator to
 treat an Indian Tribe as a State for
 purposes of making the Tribe eligible to
 apply for the 404 permit program under
 section 404(g)(l) if it meets the
 following criteria:
   (a) The Indian Tribe is recognized by
 the Secretary of the Interior.
   (b) The Indian Tribe has a governing
 body carrying out substantial
 governmental duties and powers.
   (c) The functions to be exercised by
 the Indian Tribe pertain to the
 management and protection of water
 resources which are held by an Indian
 Tribe, held by the Untied States in trust
 for the Indians, held by a member of an
                                                                   Indian Tribe if such property interest is
                                                                   subject to a trust restriction an
                                                                   alienation, or otherwise within the
                                                                   borders of the Indian reservation.
                                                                     (d) The Indian Tribe is reasonably
                                                                   expected to be capable, in the
                                                                   Administrator's judgment, of carrying
                                                                   out the functions to be exercised, in a
                                                                   manner consistent with the terms and
                                                                   purposes of die Act and applicable
                                                                   regulations, of an effective section 404
                                                                   dredge and fill permit program.

                                                                   1233.61  Raqueat by en Indian Tribe for a
                                                                   determination of treatment ac a State.
                                                                     An Indian Tribe may apply to the
                                                                   Regional Administrator for a
                                                                   determination that it qualifies for
                                                                   treatment as a State pursuant to section
                                                                   518 of the Act. for purposes of the
                                                                   section 404 program. The application
                                                                   shall be concise and describe how the
                                                                   Indian Tribe will meet each of the
                                                                   requirements of § 233.60. The
                                                                   application shall include the following
                                                                   information:
                                                                     (a) A statement that the Tribe is
                                                                   recognized by the Secretary of the
                                                                   Interior.
                                                                     (b) A descriptive statement
                                                                   demonstrating that the Tribal governing
                                                                   body is  currently carrying out
                                                                   substantial governmental duties and
                                                                   powers  over a defined area. This
                                                                   Statement shall:
                                                                     (1) Describe the form of the Tribal
                                                                   government.
                                                                     (2) Describe the types of governmental
                                                                   functions currently performed by the
                                                                   Tribal governing body, such as. but not
                                                                   limited to. the exercise of police power£
                                                                   affecting (or relating to) the health,
                                                                   safety, and welfare of the affected
                                                                   population; taxation; and  the exercise of
                                                                   the power of eminent domain; and
                                                                      (3) Identify the source of the Tribal
                                                                   government's authority to carry out the
                                                                   governmental functions currently being
                                                                   performed.
                                                                      (c)(l) A map or legal description of
                                                                   the area over which the Indian Tribe
                                                                   asserts  regulatory authority pursuant to
                                                                   section 518(e)(2) of the CWA and
                                                                   §233.60(c);
                                                                      (2) A statement by the Tribal Attorney
                                                                   General (or equivalent official) which
                                                                   describes the basis for the Tribe's
                                                                    assertion under section 518(e)(2)
                                                                    (including the nature or subject matter
                                                                    of the asserted regulatory authority);
                                                                      (3) A copy of all documents such as
                                                                   Tribal constitutions, laws, charters,
                                                                    executive orders, codes, ordinances.
                                                                    and/or resolutions which support the
                                                                    Tribe's assertion of regulatory authority;
                                                                      (d) A narrative statement describing
                                                                    the capability of the Indian Tribe to
                                                                    administer an effective 404 permit
                                                                    program. The Statement shall include:

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 8184
Federal  Register /  Vol.  58.  No. 27 / Thursday^February 11. 1993  / Rules and Regulations
   (I) A description of the Indian Tribe's
 previous management experience
 Including, but not limited to. the
 administration of programs and services
 authorized by the Indian Self
 Determination 4 Education Act (25
 U.S.C. 450 er seq:). The Indian Mineral
 Development Act (25 U.S.C 2101 et
 serj.]. or the Indian Sanitation Facility
 Construction Activity Act (42 U.S C
 2004a).
   (2) A list of existing environmental or
 public health programs administered by
 the Tribal governing body, and a copy
 of related Tribal laws, regulations, and
 policies;
   (3) A description of the entity (or
 entities) which  exercise the executive,
 legislative, and judicial functions of the
 Tribal government
   (4) A description of the existing, or
 proposed, agency of the Indian Tribe
 which will assume primary
 responsibility for establishing and
 administering a section 404 dredge and
 fill permit program or plan which
 proposes how the Tribe will acquire
 additional administrative and technical
 expertise. The plan must address how
 the Tribe will obtain the funds to
 acquire the administrative and technical
expertise.
  (5) A description of the. technical and
administrative abilitio^Tbf the staff to
administer and manage an effective.
                            environmentally sound 404 dredge and
                            fill permit program.
                              (e) The Administrator may. at his
                            discretion, request further
                            documentation necessary to support a
                            Tribal request for treatment as a State.
                              (f) If the Administrator has previously
                            determined that a Tribe has met the
                            requirements for'"treatment as a State"
                            for programs authorized under the Safe
                            Drinking Water Act or the Clean Water
                            Act. then that Tribe need only provide
                            additional information unique to the
                            particular statute or program for which
                            the Tribe is seeking additional
                            authorization.
                            (Approved by the Office of Management and
                            Budget under control number 2040-0140)

                            S 233.62  Proc«dur«* for prooMafng an
                            Indian Trioo'* application for trMtnwnt M «
                            State.
                              (a) The Regional Administrator shall
                            process an application of an Indian
                            Tribe for treatment as a State submitted
                            pursuant to § 233.61 in a timely manner.
                            He shall promptly notify the Indian
                            Tribe of receipt of the application.
                              (b) Within 30 days after receipt of the
                            Indian Tribe's complete application for
                            treatment as a State, the Regional
                            Administrator shall notify all
                            appropriate governmental entities.
                            Notice shall include information on the
                            substance and basis for the Tribe's
 assertion that it meets the requirements
 ofS233.60(c).
   (c) Each governmental entity so
 notified by the Regional Administrator
 shall have 30 days to comment upon the
 Tribe's assertion under § 233.60(c).
 Comments by governmental entities
 shall be limited to the Tribe's assertion
 under § 233.60(c).

   (d) If a Tribe's assertion under
 § 233.60(c) is subject to a competing or
 conflicting claim, the Regional
 Administrator, after consultation with
 the Secretary of the Interior, or his
 designee, and in consideration of other
 comments received, shall determine
 whether the Tribe has adequately
 demonstrated that it meets the
 requirements of § 233.60(c) for the
 dredge and fill permit program.
  (e) If the Regional Administrator
 determines that a Tribe meets the
 requirements of § 233.61. the Indian
 Tribe is then eligible to apply for 404
 program assumption.          '   •
  (f) The Regional Administrator shall •
 follow the procedures described in
 § 233.15 in processing a Tribe's request
to assume the 404 dredge and fill permit
program.

[FR Doc. 93-2699 Filed 2-10-93; 8:43 ami.
*U»0 CODE 4540-SD-M

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