NACEPT
                              Shaping the Nation's Environmental Policy

           National Advisory Council for Environmental Policy and Technology
July 30, 2007

Administrator Stephen L. Johnson
U.S. Environmental Protection Agency
1200 Pennsylvania Avenue, NW
Washington, DC 20460

       Re:   Sustainable Water Infrastructure Recommendations

Dear Administrator Johnson:

On behalf of the National Advisory Council for Environmental Policy and Technology,  I am
pleased to forward  our initial findings and recommendations on EPA's Sustainable Infrastructure
Watershed Pillar. NACEPT endorses the recommendations in this report, which our sustainable
water infrastructure workgroup developed.

EPA asked the Council to identify ways the Agency can better advance sustainable approaches to
water resource  management and infrastructure to meet watershed  goals.  The  nation faces a
critical challenge in sustaining and expanding our water supply and our water and wastewater
infrastructure to continue to enjoy the benefits of safe, clean, plentiful water. One element EPA
is using to address this problem is the watershed approach.

We have concluded  that, in general,  neither  policymakers nor the public   have  a  clear
understanding  of:  (1) the concept of a watershed approach to  water management, (2) the
relationship between a watershed approach and the urgent need to address water supply, water
quality, and insufficient  or deteriorating  water infrastructure, or (3) the  benefits of a watershed
approach. Although a few excellent examples demonstrate application  of these principles and
concepts,  those examples are  isolated,  are  not comprehensive  solutions  even within  that
watershed, and are  not part of a nationwide movement or state-of-practice.

NACEPT offers a  set of recommendations for how EPA can advance wider and  more effective
use of the watershed approach to sustainable water infrastructure.  These recommendations fall
into four categories of specific steps EPA should take: (I1) lead by example,  including organizing
within EPA and naming  an Agency-wide sustainable watershed coordinator with responsibilities
for aligning all pertinent EPA activities and interactions  with other federal  agencies to help
advance watershed principles; (2) educate, communicate, and provide information, including
illustrating the urgency of the  need  to adopt a  watershed approach for  sustainable  water
infrastructure;  (3)  encourage, facilitate, and  fund collaboration,  including leveraging  and
participating in other agencies' planning  activities; and (4)  develop, use, and fund specific tools

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employing, for example, EPA's stormwater phase II authority, NPDES permits, state revolving
funds, trading, total maximum daily loads, and more.

In addition to the recommendations, this report also describes the background of our processes
and work, provides our  findings based on  our experience and research, and includes various
appendices with helpful  materials.  And in the second phase of our work, to be submitted in
2008, we will endeavor to identify what benefits are already known, ways EPA could further
develop this information, and ways EPA can communicate this information to stakeholders.

We appreciate the opportunity to provide these recommendations and hope this report will be
helpful to you and the Agency in achieving EPA's mission. Of course,  we would be happy to
meet with you and others about the recommendations in this report at any time.

                                        Sincerely,
                                       John L. Howard, Jr.
                                       NACEPT Chair
cc:     Dan Watts, Chair, NACEPT Sustainable Water Infrastructure Workgroup
       Marcus Peacock, Deputy Administrator
       Charles Ingebretson, Chief of Staff
       Ray Spears, Deputy Chief of Staff
       Benjamin Grumbles, Assistant Administrator, Office of Water
       Sheila Frace, Director, Municipal Support Division, Office of Wastewater
           Management, Office of Water
       Benita Best Wong, Director, Assessment and Watershed Protection Division,
           Office of Wetlands, Oceans and Watersheds
       Rafael DeLeon, Director, Office of Cooperative Environmental Management
       Sonia Altieri, NACEPT Designated Federal Officer

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         NACEPT's Initial Findings and
   Recommendations on EPA's Sustainable
         Infrastructure Watershed Pillar

                         My 2007
 The National Advisory Council for Environmental Policy and Technology (NACEPT) is an independent federal
 advisory committee that provides recommendations to the Administrator of the U S. Environmental Protection
Agency (EPA) on a broad range of environmental issues. The findings and recommendations of the Council do not
                    necessarily represent the views of EPA.

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      Table of Contents

I.     Executive Summary	I

II.    Background	3

III.   NACEPT Findings for Phase I
          General Comments	4
          Specific Findings and Responses by NACEPT to Questions in the Charge	6

IV.   Recommendations	20
          Lead By Example	20
          Educate, Communicate, and Provide Information	21
          Encourage, Facilitate, and Fund Collaboration	25
          Develop, Use, and Fund Specific Tools	28

V.    Appendices

      Appendix 1: Charge for Developing Recommendations on U.S. EPA's Sustainable
          Infrastructure Watershed Pillar	32

      Appendix 2: NACEPT Sustainable Water Infrastructure Work Group Members	39

      Appendix 3: Schuylkill Action Network Fact Sheet	40

      Appendix 4: Portion of Federal Highway Administration Request for Applications for
          "Integrating Transportation and Resource Planning to Develop Ecosystem Based
          Infrastructure Projects"	42

      Appendix 5: EPA Region I Charles River Project Press Release	48

      Appendix 6: Nitrogen Trading by Connecticut POTWs	51

      Appendix?: California Regional Blueprint Planning Program	55

      Appendix 8: Envision Utah	56

      Appendix 9: Jefferson Area Eastern Planning Initiative	58

      Appendix 10: Greenseams Program - Milwaukee Metropolitan Sewerage District	62

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    NACEPT's Initial Findings and Recommendations on EPA's Sustainable Infrastructure Watershed Pillar
                                        July 2007
I.      Executive Summary
       EPA asked the National  Advisory Council on  Environmental Policy and Technology
(NACEPT) to identify ways  the Agency can better advance sustainable approaches to water
resource management and infrastructure to meet watershed goals.  The nation faces a critical
challenge in sustaining  and expanding our water  supply  and our  water and  wastewater
infrastructure to continue to enjoy the benefits of clean and safe water.  One element EPA is
using to address this problem is the watershed approach.

       John Wesley Powell described a watershed as "that area of land, a bounded hydrologic
system, within which all living things are inextricably linked by their common water course and
where, as humans settled, simple logic demanded that they become part of a community." A
watershed approach thus is a process of including broad stakeholder involvement  across the
community to coordinate management of all aspects of policy  and action affecting the water
within hydrologic boundaries.

       EPA is working diligently to help communities address this issue.  In just the last year,
EPA  has announced  several  watershed-based  initiatives,  resources,  and  tools,  including
promotion of green infrastructure to reduce stormwater runoff and hosting a national conference
on how to pay for water in the future.

       EPA broke our charge into two phases. In the first, EPA asked NACEPT to answer by
this summer five specific questions about collaboration, support, and overcoming barriers. In the
second phase, to be completed in 2008, NACEPT will consider the question of benefits.

       Our initial report contains four main sections:   (1) a background of our processes and
work, (2) our findings based on our experience and research, (3) our recommendations, and (4)
various appendices with helpful materials.

       We have concluded that, in general, neither policymakers nor the public have a clear
understanding of:  (1) the concept of a  watershed  approach to water management,  (2) the
relationship between a watershed approach and the urgent need to address water supply, water
quality, and insufficient or deteriorating water infrastructure, or (3) the benefits of a watershed
approach.  Although a few excellent examples demonstrate application of these principles and
concepts, those examples are isolated, are not comprehensive solutions  even  within  that
watershed, and are not part of a nationwide movement or state-of-practice.

       In response, NACEPT offers a host of recommendations for how EPA can advance wider
and more effective  use of the watershed approach to sustainable water infrastructure.  These
recommendations fall  into four categories of specific steps EPA should take:  (1) lead by
example, including organizing within  EPA and naming an Agency-wide sustainable watershed
coordinator with responsibilities for aligning all  pertinent EPA  activities and interactions with
other federal agencies to help advance watershed principles; (2)  educate, communicate, and
provide information, including illustrating the urgency of the need to adopt a watershed approach
for sustainable  water  infrastructure; (3)  encourage, facilitate,  and fund collaboration, including
leveraging and participating in other agencies' planning activities; and (4) develop, use, and fund
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    NACEPT's Initial Findings and Recommendations on EPA's Sustainable Infrastructure Watershed Pillar
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specific tools using, for example, EPA's stormwater phase II  authority, NPDES permits, state
revolving funds, trading, total maximum daily loads, and more.

       As we learned in this first phase, the  benefits of a watershed approach are neither well
defined nor well known.  Community stakeholders will be attracted to a watershed approach only
if they see the direct benefit to their organization's  mission.   In  our second phase,  we will
endeavor to identify what  benefits are already known, ways  EPA could further develop this
information, and ways EPA can communicate this information to stakeholders.

       In addition, we focused in this first phase primarily on water infrastructure:  the pipes and
sewers and treatment plants of drinking water and wastewater.  We did not adequately explore -
and so we will explore more fully in the second phase - the interrelationship of these issues with
the elemental issue of water supply.
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II.    Background

       EPA has asked the National Advisory Council on Environmental Policy and Technology
(NACEPT) to provide assistance to the Agency in advancing cost-effective and sustainable
approaches to water resource  management and  infrastructure to  meet watershed goals.   The
Agency belief is that the watershed approach is critical to protecting and restoring the nation's
waters.   Furthermore,  EPA advocates that  full realization  of the  benefits of the watershed
approach will come from integration of the approach into the comprehensive planning processes
at the state, regional, and local levels.

       One of the most critical challenges facing the Nation is the  need to sustain our water and
wastewater infrastructure to ensure that  the public can continue to enjoy the environmental,
health, social, and economic benefits that clean and safe water provide.  Our nation's aging water
and wastewater systems together with growing and shifting populations will require significant
investment for new infrastructure  along  with maintenance and upgrade of existing facilities.
Current approaches and  technologies, along with available  investment  sources, may not be
adequate to meet the needs. One component of the EPA approach to addressing this problem is
the watershed approach, which is generally understood to mean broad  stakeholder involvement,
hydrologically defined boundaries  (that may cut across political  boundaries),  and coordinated
management across all aspects of policy that affect  water.   The  approach  benefits  from
participation and active involvement of stakeholders at all levels from federal to states and tribes
to local government and utilities.

       Yet,  questions  remain about how best to facilitate the use  of the watershed approach in
creating  a sustainable  water infrastructure.   The  Agency wants to focus its resources  most
effectively in areas such  as  promoting collaboration  among  stakeholders,  assisting  local
government in building support for the watershed approach, encouraging grassroots support for
implementation of the approach, and identifying barriers that may slow implementation.   In
addition, the Agency is interested in how best to use information and data from successful  uses
of the approach that communicate the benefits that can be achieved.

       The full charge, and additional  background material, from EPA  to NACEPT is contained
in Appendix I. In summary, NACEPT was asked to answer  five specific questions that involve
the issues of collaboration, support, and overcoming barriers with the request that answers be
provided in 2007.   A second phase of the request asks NACEPT to  consider the question of
benefits and is to be completed  in 2008.

NACEPT Approach'

       NACEPT established a Work Group to respond to the charge from the Office of Water.
The  Work Group  held three meetings, in conjunction with NACEPT Council  meetings.   In
addition, several conference calls were held.  The Work Group followed two paths to obtain an
initial understanding of the current approaches and  activities within EPA in the area of use of a
watershed approach to sustainable  water infrastructure as well as learning about activities and
'The intention of these discussions and recommendations is to include Tribal Governments. Any omission of Tribal
Governments when referencing State or Local governments is unintentional.

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    NACEPT's Initial Findings and Recommendations on EPA's Sustainable Infrastructure Watershed Pillar
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needs of stakeholders who are responsible for addressing the sustainable water infrastructure
issues. The Work Group met with representatives of many programs within the Office of Water
and other EPA entities to learn about current initiatives and plans.  In addition, interviews were
held with state,  local, and private groups from around the nation who are working to include a
watershed approach to address their particular  sustainable water infrastructure need.  The Work
Group's thinking and recommendations were informed by these discussions and  interviews.
Additional  information  from those  interactions  will  be  discussed  in the  findings  and
recommendations from the second phase of the Work Group activity.
III.   NACEPT Findings for Phase I

General Comments

       During the course of interviews, examination and analysis of published materials, and
discussions with experts and practitioners, the NACEPT workgroup has concluded that there is
not a clear understanding broadly spread throughout the nation of the concept of a watershed
approach  to  water  management, and  there  seems to  be  even less knowledge about  the
relationship between a watershed approach and  the impending need  to address urgently  the
issues of water supply, water quality, and insufficient or deteriorating water infrastructure.

       While some excellent examples of application of the principles  and concepts exist, they
often seem to emerge from  independent actions at one place,  not as part of a nationwide
movement or state-of-practice. Many times, even the best examples of implementation are  not
able to accomplish a fully integrated program, but rather a part of such a program. This  is  not
meant to be a negative comment on the potential value of the approach. Rather, it is a realistic
evaluation of the progress the concept has made. In essence, it is a very young concept in  terms
of implementation.  That means that one of the key barriers holding back it implementation is
lack of knowledge about what a watershed approach includes and entails.  Moreover, effort is
necessary  to answer other important questions at  the local level in a way that encourages even
consideration of the  watershed concept.  These questions include: what is the value of even
considering it by an often disparate collection of public and private entities within a watershed
area? Where can local groups go to get help to make it  pay off for them?  Local groups have
some immediate needs and issues and this seems to be a long-term approach.  How  can they
meet current needs with something so distant? How can they really estimate the benefit?

       It is evident that EPA is working to help address  these questions.  For example, during
the time  NACEPT  has been working  with EPA  on this  issue,  several announcements  of
initiatives, resources, and tools related to a watershed approach have emerged from the Agency.
Among these are:

    •  an  agreement to promote the use of green infrastructure to reduce stormwater runoff and
       sewer overflows
    •  a  national conference on paying  for  water that provided opportunities to discuss
       watershed approaches
    •  a release of a watershed planning tool
    •  a focused set of activities, parallel to  this  initiative with NACEPT, that attempts to
       understand watershed issues from a utilities perspective
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       EPA has identified an important role of empowering the process through education about
the mechanics and  benefits  of the watershed  approach,  encouraging  consideration of the
approach and facilitating implementation through creative and supportive  use of permitting and
existing financing options. At the same time the Agency works to minimize short comings and
penalties because their resulting negative publicity is likely to inhibit initiatives by others in the
future. NACEPT agrees with  this approach and urges expansion of the approach as discussed
later in this document.  These tools of education, encouragement, and creative use of permitting
and funding capabilities are important for EPA because much of the planning and  work to
address the water sustainability problem from  a watershed perspective is at the state, tribal, and
local level and not at the national level where EPA can take more direct action.

       Some additional  specific approaches and initiatives undertaken by  EPA to facilitate and
promote a watershed approach to sustainable water infrastructure are included in the following
description of current EPA actions.

       While EPA cannot require states, tribes, and localities to adopt the watershed approach, it
does use its tools  to create incentives, educate constituencies, and remove  barriers.  Further,
when EPA becomes aware of a state's struggles with competing priorities and limited resources,
EPA tries to identify areas to give flexibility while maintaining progress in  base programs and on
key priorities.  Some examples of how the watershed approach is currently woven into EPA's
programs include:

   •   NPDES (National Pollutant Discharge Elimination System) Watershed-Based Permitting
          o   Permit writer training incorporating watershed approaches
          o   Watershed-based permitting implementation and technical guidance
          o   Trading policies, tools and training (point-point and point-nonpoint)
          o   Wet weather strategies such as green infrastructure
   •   Section 106 Priorities
          o   Strategic  Plan  & GPRA (Government Performance Results Act) priorities are
              highlighted during EPA-state workplanning
   •   Clean Water SRF (State Revolving Fund) criteria providing incentives and flexibility for
       targeting watersheds
   •   Nonpoint Source Program
   •   TMDLs (Total Maximum  Daily Loads): EPA encourages states and  tribes to develop
       TMDLs on a watershed  basis (see  EPA  1991 Guidance  for  Water  Quality-based
       Decisions: The TMDL process).
   •   Cross-Program Coordination
          o   Watershed sub-objective strategic targets  include watershed outcomes, to which
              all surface water programs must contribute
          o   Outreach and capacity building efforts,  such as the targeted watershed grants,
              access to  many tools via the web including a watershed portal, etc.
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          o  Sustainable Infrastructure Initiative and Green Infrastructure
                 -   While this is a new initiative, the Office of Water is working to develop an
                    action plan that integrates Clean Water  Act and Safe Drinking Water Act
                    programs on a watershed-basis, to the extent statutory authorities enable
                    such integration. This workgroup includes the active participation of the
                    Office of Enforcement and Compliance Assurance (OECA).
                    EPA Administrator Johnson considers SI (Sustainable Infrastructure) and
                    GI (Green Infrastructure) as part of his top priorities.
   •   Drinking Water Program
          o  Source Water Collaborative
          o  Long Term 2 Enhance Surface Water Treatment Rule incorporating a watershed
             approach and toolbox

       Aspects  of these issues and resulting recommendations are discussed in the  NACEPT
responses to the individual questions in the charge, which appear below.

       NACEPT believes that although there are examples that show positive aspects of each of
these questions, EPA can and should go further in each case.  Some examples of successes that
could serve as models for expanded activities include:

   •   EPA Region I issued enforcement orders simultaneously to all communities in the lower
       Charles  River basin in order to address stormwater pollution, identified as the primary
       source of impairment (see Appendix 5).

   •   Connecticut POTWs have watershed based NPDES permits that allow nitrogen trading to
       reduce nutrient loading to Long Island Sound (see Appendix 6).

   •   EPA  has  issued  a  Watershed  Plan  Builder  Tool  and  a  related   web  site
       http://iaspub.epa.eov/watershedplan/planBuilder.do?pageId=5I&navld39&sessionActive
       =true.  In  addition, there is a communication  plan.  The  current plan  for outreach  is
       generally limited to promoting a "train the trainer" approach,  for example ten training
       workshops per year for 40-80 people per workshop. The trainees would include NPDES
       program managers, TMDL staff, state, tribal and local staff and watershed groups.  About
       4,000  watershed  planning handbooks  were distributed and there are 1500 requests for
       additional copies. No provision was made to document the number of hits on the web or
       track the impacts of  disseminating these resources, although this information may be
       available.  NACEPT suggests that EPA develop a method to track the dissemination and
       use of these tools in  order to quantify the success of this  communication and training
       approach.
Specific Findings and Responses by NACEPT to Questions in the Charge

       In  the  following section,  questions  in  the  charge  are  discussed  and  specific
recommendations are provided.
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Charge Question "A". How can the Agency more effectively promote increased collaboration
among drinking water, wastewater and storm water utilities, local governments, planning boards
and other stakeholders that result in collective water infrastructure priority setting under a
watershed management context through education and other means?

NACEPT Response:

       Experience has demonstrated that attention and action by collaborating groups can be
generated most effectively by use of regulatory actions or by providing funding to promote
desired types of actions.  In the case of promoting a watershed management approach to water
infrastructure priority setting, the use of neither of these classic strategies is contemplated.  Use
of educational and related approaches can be useful, and perhaps essential. However, these types
of approaches will be most effective if they can communicate a sense of urgency, a likelihood of
success, a set of practical examples that have worked, some resources  for assistance, and frankly
some assurance  that regulatory complications  can be avoided and  that cost savings will be
realized if the watershed strategies are implemented.

       To be most effective in such an  initiative, the Agency will need to consider and respond
to several parameters that are discussed below.

    1.  Promotion  of  increased collaboration  among these  stakeholders  will  first require
       communication of a critical need and of the advantage of collaboration.

       The  group of  stakeholders discussed (drinking  water, wastewater  and  storm water
       utilities, local  governments, planning boards  and others),  are not necessarily natural
       allies, nor in many cases do they usually work together collaboratively.   A movement
       toward collaboration will occur most rapidly if a  clear understanding of  the need and
       advantage of such  collaboration can  be generated.   This  means among other things
       general educational activities for all stakeholders,  and  probably means as  well focused
       communication and education within the professional organizations for each of these
       individual groups  of stakeholders  until key opinion  leaders  are  convinced of the
       advantages of action and effectively communicate that belief to others in  the category.
       For the Agency to  be effective in this strategy will take careful planning, honing of the
       message for each group, and a very clear statement of the regulatory complications to be
       avoided and the eventual cost savings to be realized.

       A possible  model for this multi-faceted  educational  approach  is  currently being
       implemented by the EPA Office of Water  for source protection, which has developed
       approaches involving professional organizations, states and local governments, and the
       general population.

       NACEPT will work with  EPA  in Phase II of this Workgroup effort to develop some
       specific examples that illustrate what regulatory issues could  be avoided and what cost
       savings could occur.  The illustrations will serve to make the point.
    2.  An important question is whether EPA can be effective in direct communication with this
       group of stakeholders in an effort to move toward collaborative action.  Would indirect

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   communication through the states be more effective? Who are these groups most used to
   listening to?  What would be the response of states to what might be perceived as an "end
   run"?

   The  reality of this  situation seems to be that because the audiences  are different,  the
   means of outreach should be  different as well.  The Agency can be most  effective
   working on the national  level  with the  national professional  organizations and with  the
   national press in order to communicate  the needs and possible responses and encourage
   actions. To be clear, NACEPT realizes this is already happening.  At the regional level,
   EPA can facilitate joint communication to and between states in the individual regions
   which share watersheds and share common challenges in watershed  management. EPA
   Headquarters indicates that they are actively working with its regional offices to facilitate
   interactions   with   the  states.    In  addition,  EPA  is communicating  with  EGOS
   (Environmental Council of the States) to encourage outreach to local entities in the states.

   Communication and education with  municipalities and local  planning boards may  be
   most effective if done by the individual  states.   There are  several  reasons for this,
   including the fact that these organizations are creations of the states and the networks of
   relationships  and interactions  may vary widely  from state  to state.  Educational and
   communication programs tailored at the state level are likely  to be more effective than a
   single national program.  The development of an  individualized  program  may benefit
   from a two-fold approach. Material from EPA could emphasize the national perspective
   and provide information about cases where success has been achieved. Each state could
   contribute local perspective that particularly emphasizes how a sustainable infrastructure
   watershed approach can be developed  and implemented in  that  particular state.  The
   material could provide  information  about  state policy encouraging these  types  of
   innovative practices. Guidelines could be provided about which state agencies need to be
   contacted to obtain  necessary approvals, permits, funding, inspections, or other oversight
   mechanisms.  Ultimately the  state portion of the training will be  most  effective if it
   conveys to the local officials that these actions are favored by the state, that procedures
   are in place to facilitate their  forward movement at the state  level and there will be  no
   harm done to localities if they take this  approach.  EPA can help the states by providing
   guidance and background about how these messages can be conveyed most effectively.

   This  means  clearly,  however, that  EPA  will need an effective strategy to provide
   information, ideas,  and resources to the  individual states to facilitate  the provision of the
   ultimate result—educational outreach  to the municipal and local stakeholders.  While the
   messages will need to be individualized at the state level, they should be consistent with
   national goals and expectations.

3.  Is the Agency prepared or can it  be  prepared to transmit or develop specific area and
   regional information about need  and existing water infrastructure capabilities to local
   governments and the other local stakeholders? If not, how can these  stakeholders get the
   information that will support any efforts for collaboration in competition of other public
   concerns? A real issue may be getting the necessary level of concern and attention in the
   arena of public debate and priority setting.
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   If the expectation is  that local authorities and utilities will modify  their planning  and
   operational  approaches  based on responses  to real current and  future  needs  and
   challenges, there must be a way to provide them  with locally relevant information, data,
   and options in order to allow them to consider various scenarios and to make informed
   choices.  The Agency needs  to be able to point the stakeholders to locations where  this
   information exists  or to provide easy to  understand guidance about  how  it can be
   developed locally.  Local development of data or even assembling it for convenient use
   will involve costs that may impede the level of progress that is desired.

   Much of the necessary information is available, although it is in different places, such as
   USGS, databases connected to  well  protection  programs,  storm  water assessment
   program resources, and information from individual state databases.  It is recognized  that
   data on wastewater volumes may be more difficult to assemble, but will still be useful for
   this initiative.  A useful approach to address this concern would be for EPA to develop
   guidelines  about what  information and  data is  important  to  gather in order to move
   forward with a watershed approach to sustainable infrastructure with specific suggestions
   about where and how to gather the information for specific locations.  The more detailed
   this information can be, the more useful it will seem to local utilities and authorities.  The
   level  of detail  may include what specific websites could  be accessed and what specific
   offices can be contacted.

   A larger issue related  to these types of initiatives is that no group or entity is charged with
   bringing together people at the local level to initiate  this  type of watershed approach to
   sustainable infrastructure.  EPA should encourage each state to identify ways to assemble
   and energize local groups to begin the work to achieve the collaboration and outcomes
   desired.

4. Because an effort such as this is voluntary  and not regulatorilv driven, a  successful
   communication campaign would benefit from partnerships so that it is not seen as an
   EPA-only initiative.  What organizations could be lined up as interested partners?  Could
   they include the national associations of planners, mayors and municipal councils, water
   utilities, and watershed associations?

   An educational initiative  such as this has  multiple  audiences and therefore  requires
   different approaches in order to be effective.  Ultimately, the necessary audience is the
   assemblage of rate payers and taxpayers.  Informing that group of citizens can probably
   best be done by a coalition of the organizations  mentioned, with a key leading role by
   EPA.  Many  ways to reinforce the message can be used  by  each of the stakeholders
   involved.   However,  achieving  this  degree  of collaboration  means  that preparatory
   communication and education needs to be done first by EPA Headquarters and Regions
   and the individual states. This will not be an easy or quick task.  Careful planning  and
   allocation of appropriate levels of personnel will be required in order to achieve the
   results needed.

   There is an additional facet to the concept that this program will have multiple audiences.
   That  is, the audiences will vary over time as well.  Specifically, although an immediate
   educational program  may  well  be  successful  in  establishing  a mindset favoring
   watershed-based sustainable  infrastructure  initiatives,  in practice actual implementation

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   will come when there is a locally recognized need for expansion, upgrade, or replacement
   of existing infrastructure.  In essence, this means a first wave of educational programs
   should establish a baseline of expectation  that a watershed approach  to  sustainable
   infrastructure  is valid, preferred and advantageous. A second wave  must be ready and
   accessible whenever  planning  finally  starts  for changes  in  existing infrastructure.  In
   some locations, that may be immediately, while in others it may be years away.  EPA
   must see this effort as long-term—a set of actions that will need to be sustained.

   There  is an additional timescale  issue that should  be incorporated into the educational
   program as well, and  in ways that reflect the  multiple audiences.  That is, people need to
   know and understand the long periods of time that will be incorporated into the use of
   this type of infrastructure approach. For example, they need to understand the time scale
   required to protect and rehabilitate natural water sources.  They need to understand the
   expected lifespan of any infrastructure to be installed. This type of  information can be
   expected to assist in decisions about investment and predictions of cost savings.

5.  Is there a firm  idea about who really needs to be educated and convinced?  Is it the
   decision makers, the professionals and agencies, and the utilities, or is  it the  private
   citizens in the community who can urge the decision makers to act?

   As discussed previously,  in  order to achieve  an effective educational program as
   measured  by  actual  implementation  of watershed  approaches  to  address  water
   infrastructure  issues, all  of these stakeholders will need to be educated and convinced.
   The challenge will come in selecting the methods and order of educational activities.

   The Agency has already decided that direct communication with the general public about
   this issue would not be the best use of their limited resources for education.  Rather, they
   are developing  relationships with  WEF  (Water Environment  Federation) and  similar
   professional  organizations to promote knowledge about watershed-based  sustainable
   water  infrastructure to private citizens.  The  Agency  resources can perhaps be  most
   effectively used in providing  educational opportunities  for people in state agencies,
   professional organizations, and utilities.  Examined more carefully, this means that EPA
   expectations in this area can perhaps be best met by recognizing and in turn encouraging
   recognition by states, utilities, and professional organizations that the advancement of the
   goals will require employees at all of these locations with specialized knowledge about
   the initiative and the steps required to make it work, including educational outreach.

   One strategy to  assist in meeting the goal of specially trained  staff who could aid in
   communicating with  all audiences would be for EPA to develop a "communications
   toolbox". The toolbox could  contain documents, videos, PowerPoint presentations and
   similar material including topics such as "Watersheds 101", as well as information about
   how water infrastructure is planned, built, operated, paid for, as well as the services it
   provides.

6.  How best can the economic case for a watershed management approach be made?

   A particularly effective driver to encourage  adoption of a watershed approach by  local
   authorities will be a strong case that  money will be saved.  A part of an effective

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   educational program  will  be the provision of easy to use  tools that can help local
   authorities and utilities predict advantageous economic factors if something other than
   the usual strategies are implemented.  EPA could be particularly effective in providing
   these tools and approaches. Assistance in providing the data to use with the tool would
   be very helpful as well.

   There appears  to  be  a  lack  of well-documented  case studies  that illustrate  the
   opportunities and strategies for cost savings from a watershed approach to  sustainable
   infrastructure.  This difficulty in identifying case studies that demonstrate cost savings is
   likely to  be a  disincentive for some  local groups to investigate the approach.  Even
   though EPA advances the watershed approach  as one of the pillars of sustainable water
   infrastructure, good examples of successes are essential for making the case.  There may
   be some examples that could be gleaned from work in the area of water quality trading.
   In general, it  appears that the educational  agenda would benefit from additional case
   studies, as well as from action to make any existing case studies readily available in the
   communications toolbox as well as in other accessible locations.  NACEPT expects to
   work closely with EPA in the  second  phase of this student to identify appropriate case
   studies that illustrate cost savings.

7. Is there a clear and effective model that can be used to demonstrate how this type of
   collective decision-making can work?  In reality, many decision makers likely will be
   concerned about loss of current decision-making ability and control  over expenditures.
   Finding  ways to  answer  these types  of concerns could  facilitate  movement  to
   collaborative decision-making.

   Organizational issues and sociological  issues need to be considered and addressed if the
   collaborative watershed approach is to be successfully implemented on a broad scale.
   Even when a strong technical and economic case is made, individual decision makers will
   ask related questions  that must be resolved  before progress can be made. For example,
   permit applicants and governmental bodies may have  an adversarial  relationship.  Less
   publicly stated, but equally real, may be issues of turf, prestige, and level of funding to be
   managed by each collaborating entity.  In order to overcome these types of issues, clear
   models of how such collaboration can work, or has worked effectively, will need to be
   provided.  This may be based on case  studies of working projects or  they may be based
   on careful consideration and guidelines  of how to build  collaborations.  This is a  real
   issue that must be overcome in order for the approach to be implemented successfully.

   While all of these constraints may exist, it is also true  that all of the groups that need to
   be participating in this type of collaborative activity are interested in achieving efficiency
   and economic benefit in all of their activities. The taxpayers and ratepayers both expect
   and demand that.  One strategy to overcome the natural reluctance toward collaboration
   would be to emphasize the organizational and  operational benefits that can derive from
   what is in reality a systems approach toward sustainable infrastructure.  Information and
   strategies to convey the information should be part of the communications toolbox that is
   provided  to the people who have been designated to bring together the local groups to
   initiate planning for the watershed approach.
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    8.  Promotion  of this type of collaboration  will require clear demonstration  in the local
       context of advantage. Without that, natural resistance to the uncertainties of change will
       interfere with movement toward collaboration.

       Clearly, if the goal is change at the local  level, including in some cases giving up some
       local decision-making opportunities to a collaborative regional group,  a local advantage
       must be demonstrable.  Therefore, all of the educational and communication activities
       must point to empowering local  people to understand and predict the local impact on
       these drinking water, wastewater and storm water utilities, local  governments, planning
       boards and other stakeholders.  The overall program clearly  has national benefit and
       perspective, but individual local people make local decisions based on advantages near
       them.

       To  facilitate this level of local understanding and local decision-makin'g,  professionals
       will need to be able to communicate more effectively with  the public about these issues.
       This will involve knowledge of how people obtain information, how they process it, how
       they check  it for accuracy, and how they utilize it in decision-making.
Charge Question "B". How can municipalities and other local government/regional planning
entities build support for promoting a watershed approach to water infrastructure planning?

NACEPT Response:

       The  first  step  in taking a  watershed approach to water  infrastructure planning  is to
generate  public  and  inter-agency awareness  of  the  watershed,  which  generally  crosses
jurisdictional boundaries (and does not align with  most political boundaries). These awareness
or educational approaches can take many forms:

       0  One or more localities working together, either because they share a utility district, a
          reservoir (and source watershed) or a  river.
       n  The effort tends to be more successful  or comprehensive when it includes the entire
          watershed or bio-region (including across state, tribal, locality, or utility boundaries).
       0  The larger scale of watershed planning  means that regional organizations or alliances
          are better poised to initiate watershed planning, education and awareness efforts, even
          if actual project funding and oversight is at the locality or utility level.
       0  Successful watershed planning approaches can be initiated by  regional organizations
          or non-profit groups, but are more successful  if they take an 'all-hands-on-board'
          approach,  including  localities, utilities, large landowners, agriculture and business
          interests, environmental groups, and regulators.
       0  Related factors such as threats or apparent crises help promote watershed awareness -
          drought, impacts of growth  and sprawl, flooding and other natural disasters, location
          of other treasured natural resources, and other local, regional,  or state environmental
          initiatives (sustainability/smart growth,  green design/green  infrastructure).
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       Once there  is awareness of the watershed,  the planning approach  can vary widely,
depending on a combination of factors that influence who might want to be involved and what
there primary drivers and interests are:

       •  Regional climate (dry or wet) and hydrogeology of the aquifer and drainage areas.
       •  Water source and method of use - reservoirs, wells, direct from river.
       •  Ownership, management, and size of drinking water and stormwater utilities.
       •  Regional economies - agriculture, industry, tourism, military.
       •  Areas where  watershed boundaries cross multiple jurisdictions  - tribes, multiple
          states, international boundaries.
       •  Abundance/scarcity issues - is there enough water, but not enough storage? Is it
          always dry, with occasional major storm events? Is quantity enough, but quality  the
          issue due to growth and run-off?

       Due  to the complexity (and localization) of the above issues, the regional approach of
awareness, education, participatory planning, and  cross-jurisdictional cooperation may lead to
longer-term  solutions across the entire watershed.

       •  By  incorporating  watershed  education  into  other  public  planning  exercises
          (transportation and  land  use,  rural  development,  agricultural, hazard  mitigation,
          community plans, schools, parks, airports, etc.) overall awareness of a  watershed
          approach can be raised.
       •  Following the  'golden rule'  of  regional  planning  -  'regional awareness and
          coordination, local decision-making' - localities, tribes, landowners, and utilities will
          be more likely to stay in the game and show all their cards.
       •  Raising awareness of the  cost and quality of life implications of the 'business-as
          usual' approach, along with the potential savings and benefits over time of a greener
          watershed-based approach (green roofs,  low-impact high-performance design like
          green streets, more compact development) can get the  attention of the decision-
          makers in both the public and private sector.
       •  Express the 'sense of urgency' within the watershed about infrastructure issues that
          will help coalesce a broad watershed action alliance and bring decision-makers to the
          table. This can  be quantified by conducting a regional build-out analysis, using  a
          computer model that identifies and quantifies the future regional  impacts (on water
          quality  and   quantity,  air quality,  land  cover,  traffic,  infrastructure  costs  for
          transportation, water, sewer, and schools, etc.).
Charge Question "C".   Using relevant examples from the recent Cooperation Conservation
Conference, what are the ways in which "cooperative conservation " or "coordinated resource
management" has been or can be used to overcome barriers to promoting a watershed approach
to water infrastructure planning?
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NACEPT Response:

       Interior  Secretary Dirk Kempthorne joining  with the Secretaries of Commerce and
Agriculture, the Administrator of the Environmental Protection Agency, and the Chairman of the
White  House  Council on  Environmental Quality hosted  listening  sessions on cooperative
conservation and environmental partnerships.

       The recent Cooperative Conservation  Conference  discussed  ways that "cooperative
conservation or coordinated resource management" has been  or can be used to overcome barriers
to promoting a  watershed approach to water infrastructure planning.  Though these challenges
are listed as individual elements, they are best accomplished and approached simultaneously.

       •  enhance wildlife habitat, species protection, and other conservation outcomes through
          regulatory and voluntary conservation programs.
       •  enhance  cooperation among federal  agencies and with  states,  tribes, and local
          communities in the application of environmental protection and conservation laws.
       •  work with states, tribes, and other public- and  private-sector partners to improve
          science used in environmental protection and conservation.
       •  work cooperatively with businesses and landowners to protect the environment and
          promote conservation.
       •  respect the  interests of people with ownership  in land, water, and  other  natural
          resources.

       The conservation model exemplifies the use of conservation  principles, policies and
practices to provide for the protection, storage and distribution of natural resources within  an
urban and regional pattern  that assures smart growth  and  integrates the before mentioned
elements.

       Therefore viewing the above list as connected rather than segmented elements within a
plan, all resolved simultaneously, creates  the  opportunity to connect  funding  sources with
multiple issues, stimulating groups and agencies to work together to create a plan.

       While there a several  success stories where  most  of the  components of cooperative
conservation have been melded with a watershed approach toward sustainable infrastructure, two
examples include: the outcome of Cache Valley, Utah activity within the Sustainable Design
Assessment Team (SDAT) program of the American Institute of Architects, and the Diablo Trust
in Arizona, a collaborative land management program.
Charge  Question  "D".   How can EPA,  States,  or others influence  various  community
stakeholders to adopt and promote such an approach?

NACEPT Response:

       Experience working with several water resource-related programs where groups  have
come together to agree on an action plan reveals that:
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1.  Stakeholders want to do the right thing but they define their "right thing" very narrowly.
   They are generally looking at the problem from their own vantage point.  In this context,
   everyone  is doing the  right  thing but the end result does not result in synergy.  Very
   often, their approaches contradict rather than complement. The first step to overcoming
   this barrier is providing a forum where stakeholders can periodically meet and share their
   experiences - conference, meeting, sessions.   Some states are providing guidance to
   communities about how to  approach planning for water resources and  infrastructure
   planning from a watershed perspective. For example, Massachusetts has recently issued
   a document titled "Water Resource Management Planning, a  Guide for Towns and
   Communities" (http://www.mass.gov/dep/water/laws/policies.htm').

2.  Scientific reports and data are powerful identity builders. Scientific reports cannot be the
   end of the process, but they offer excellent starting points.  EPA can  assist in ensuring
   that scientific reports are available on watersheds.

3.  Grants, even though small, can provide big incentives for stakeholders to come together
   and create a synergistic working environment.  Several  EPA programs that were popular
   with local citizen groups have been eliminated or substantially cut back.  The  Regional
   Geographic Initiative gave the EPA  Regions  substantial latitude in  the past to fund
   regional priorities but their funding has been cut back to the point that the likelihood of
   funding for local groups is very small and they, therefore, do not even apply for that
   reason. The previous funding program had few strings attached and required only a 5%
   match  which made it easier for local watershed-based groups to apply and carry out the
   grant  program  objectives.    It  was  used  generally  for studies  or  on-the-ground
   implementation  projects.  Groups were able  to apply  for  $50,000  for  good  projects
   determined by the Region. Presently  they may be able to receive $10,000 and have to
   compete  with  dozens more organizations  for much less  money.   This  is very
   disappointing to the local groups and doesn't help EPA's agenda of involving local
   watershed groups.

   In the  past, these local groups accomplished a great deal in advancing watershed-based
   approaches with Section 319 funds.  Now with the elimination or substantial reduction of
   other sources of funding (federal, state and private combined), however, the Section 319
   funds are just about the only  option available to support activities of local groups. This
   makes competition extreme while the need continues  to grow.  Because Congress is
   asking why more streams aren't coming off the 303d list, states are prioritizing impaired
   segments at the expense of many  other good projects.  Many local groups in the past
   hesitated  trying to have their stream segments listed because of their perception of the
   stringent  requirements  of the TMDL process.  Now it appears to many of those groups
   that  the  only viable  approach  is  to  have them listed, making the list longer and
   perpetuating the appearance that little is getting done.  It is still not required to be on the
   303d list to work on non-point  source pollution  problems.  With the increase in
   competition, though, many states are  moving towards prioritizing mostly the impaired
   waters in order  to document success.  There  need to  be additional ways to document
   success and that respond to these concerns. Much good work is being done locally and
   much more can be done to show improvements using other criteria. Either Section 319
   eligibility should  be  expanded  or other sources of funding should be reinstated  or
   developed.

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   4.  EPA watershed programs and initiatives must respond to the fact that all communities are
       unique.  No uniform formula will work with  all of them.  For example, two  separate
       initiatives were undertaken with two Florida communities barely 50  miles apart but the
       two took very  different approaches and reached the same end point.  The success of the
       facilitation  resulted from  allowing them  to  embark on different paths.  Similarly
       differences  exist  among  large regional watershed  initiatives  such as  those in the
       Chesapeake Bay, Great Lakes, Long Island Sound, Everglades, Pacific Northwest that are
       funded by regional to the  level of up to $20  million/year.  These differences provide
       useful illustrations of how standard watershed approaches can be successfully applied to
       geographically  and  ecologically   unique  situations.     However,   some   unique
       geographic/ecological  niches do not yet have such an initiative.  A case in point is the
       Rocky Mountain  Region although the area supplies water to 100 million people in 19
       states and two countries.

   5.  There is no substitute for local monitoring leading to increased public awareness.

   6.  There is a set of barriers that inhibits adoption of watershed  efforts by local groups.
       These barriers  include:

          •   No financial ability or financial support to establish a watershed planning effort.
              Local groups often do not have the ability to pay for joint watershed planning
              efforts.

          •   Lack of leadership to bring the parties  together.   Leadership is  imperative to
              formulating watershed planning groups.

          •   Lack of interest or lack of knowledge about unifying issues or problems and the
              benefits of watershed level planning.

          •   Multi-jurisdictional issues  cause conflict and lack of trust. This stifles the ability
              of key players to make a commitment to joint planning.
                 o   State/Tribal
                 o   International

          •   Water  rights  conflicts (lack  of  finality  in  water  rights)  cause  lack of
              communication, trust and interest in joint watershed planning, especially in inter-
              state, tribal/state, watershed settings.

          •   International conflicts limit the ability to do complete watershed planning when
              international borders bisect watershed boundaries.
Charge Question "E"   What are the specific barriers (and recommendations for addressing
them) embodied in existing EPA or slate policies or practices that need to be addressed to help
EPA and states further encourage and assist entities to consider and implement alternative
and/or integrated approaches for water infrastructure planning and management?


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NACEPT Response:

       Over the past several years, watershed-based infrastructure planning has been bandied
about in a number of forums: conferences, reports, studies, and, in some limited instances, actual
application. It makes perfect sense to plan, design, and construct water infrastructure (drinking
water, stormwater and wastewater) using the watershed as the basic hydrologic planning unit.
Since the purpose of these projects is to improve or restore water resources, it is only logical that
watershed-based planning is essential for projects to be successful.

       As early  as the late 1970's and early 1980's the so-called "208 plans" for water quality
improvement under the Clean Water Act called for watershed-based, decentralized, infrastructure
planning.   The  watershed  approach resurfaced  in the early to  mid-1990's  as states began
conducting water quality monitoring, assessment, and permitting by watershed to bring to bear
watershed science in regulatory decision-making.  North Carolina was probably the first to go to
a five-year rotating watershed cycle for integration of its water quality programs.  Massachusetts
and others developed similar programs, and by the mid-1990s most states had embraced this as a
best management practice for efficient and effective administration of its programs, if for no
other reason.

       This system empowered watershed associations and increased stakeholder involvement in
decision-making, which was the intent of the watershed approach.

       So, here  we  are  in 2007,  and we ask  the question: "Why  isn't  watershed-based
infrastructure planning the standard practice?  What are the barriers that must  be addressed for
watershed based infrastructure  planning to become a reality not just in  a few cases, but more
broadly across the country?"

       A significant answer to this question is very simple but solving the problem is politically
challenging. One simple answer to the question is this: "Projects follow money. Projects follow
regulations." If neither funding requirements (ranking criteria) nor regulatory requirements steer
projects very strongly in  this direction, watershed based infrastructure  projects won't happen
unless they are  driven  by  local forces.   While local  forces are very powerful, they  are
circumstantial and unpredictable. If the USEPA wants to drive projects in a watershed direction,
simply supporting local decision makers, writing up their successes in journals and newsletters
and giving them awards won't get the job done, by a long shot. We can continue to talk about it
in theory,  and we can point to a case  study  or  two,  but we  will be  talking about the  rare
exception, not the mainstream reality.
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       While EPA's Office of Water (OW) has been developing its thinking and adapting its
practices around a watershed approach for a number of years, OW actually began to restructure
its program to address "protecting water quality on a watershed basis" beginning with the 2003-
2008 Strategic Plan and continuing with the 2006-2011  Strategic Plan.2  Over time, programs
such as TMDL, Water Quality Standards, NPDES, CWA (Clean Water Act) Section 106 Grants,
Source Water Program, and the Clean Water and Drinking Water SRFs have been working to
incorporate watershed principles  in  guidance,  policies, initiatives  and priorities, keeping in
perspective the fact that EPA cannot tell states and tribes how to spend their own funds.

       Despite this and the many watershed focused efforts of EPA's OW, until very recently
there  has been  little explicit  incentive for  integrated watershed-based (or other alternative)
infrastructure planning embodied in EPA policies or regulations, as viewed from the perspective
of many states. EPA has incorporated watershed planning in its Long Term 2 Enhanced Surface
Water Treatment Rule, and it has engaged a Source Water Collaborative with thirteen national
organizations to build drinking water protection into land-use planning and stewardship.  We
recognize that OW has recently initiated its Sustainable  Infrastructure Initiative, representing a
significant new undertaking to promote this kind of integrated planning.  NACEPT urges EPA to
follow through on this effort and  ensure all EPA offices (including  the Office of Enforcement
and Compliance Assurance and the Office of General Counsel) embrace it.

       Regarding specific aspects of the Water program, NACEPT finds that certain barriers
need  to   be  addressed.    For example, approximately   20-25%  of  wastewater  treatment
infrastructure is financed through the SRF program, and water and wastewater utilities are  facing
a large financing gap. As a result, state and local programs are consumed with finding adequate
amounts of funding and long-term management  of infrastructure rather than integrated planning
approaches.   Success has traditionally  been measured primarily  by things like dollars  spent,
projects built, millions of gallons of wastewater treated, population served by sewers, and rarely
if ever, water quality improvements or watersheds restored.  EPA should improve its internal
coordination - even though OW programs promote watershed approaches, the Clean Water SRF
program  and the Section  106  grant program need  to do a better job incentivizing utilities to
operate programs on an integrated watershed basis.  One tool might be increasing emphasis on
linking SRF  expenditures with water  quality  and  watershed  improvement.  EPA  has been
successful in  working with states for voluntarily reporting data on  loans in order to demonstrate
use of SRF to restore and protect water quality for various uses. This information should be
explicitly used in planning.

       Similarly, the NPDES  program  needs to  help  states streamline  their  programs to
maximize efficiency  in permitting, in order to preserve resources for watershed-based planning
and implementation.  For example, states struggling with resource limitations have urged EPA to
support administrative renewals of some permits to allow more  focused attention in priority
watersheds.   In  addition  to EPA's recent shift in emphasis to 'priority permits' and priority
watersheds in its measurement systems, EPA  needs to assist states with finding ways to extend
permits that don't need revision in order to avoid unnecessary re-permitting. In doing so, EPA
should keep  in mind that there may be complications to be addressed that result from legal
review of these approaches.
! See httpV/www.epa gov/ow/waterplan/


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       Water withdrawals, wastewater discharge and stormwater systems must all the integrated
into watershed-based infrastructure  planning but there does not appear to  be a  centralized
coordinating mechanism to push this at EPA, and often in the states. There is also very little in
the way of policy or guidance to encourage states and communities to do such  planning (though
in Massachusetts, integrated water resource management planning guidance is nearly complete
and will go a long way towards addressing this). The following recommendations are offered to
help EPA identify ways to assist states with such integrated, watershed-based, resource planning.
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IV.    Recommendations

       In addition to the findings we offer in response to EPA's five questions to us, NACEPT
also provides the recommendations below for EPA action to promote the watershed approach to
sustainable water infrastructure.  We found that our recommendations fit into four categories
(that overlapped, diverged, and generally did not fit neatly within the five questions): leading by
example; educating,  communicating, and providing communication; encouraging,  facilitating,
and funding collaboration; and developing, using, and funding specific tools.  We view each of
the four categories as equally  important and critical to EPA's successful implementation of a
watershed  approach.   Within  each category,  we  have  sought to generally prioritize  our
recommendations,  with  the  highest  priorities   appearing  first.    The  highest  priority
recommendations are as follows:

       Highest Priority:      Recommendations 1, 3, and 4

       Very High Priority:   Recommendations 5, 19, and 20

       High Priority:        Recommendations 2, 4, 21, 22, 23, 24, 25, and 26


Lead  by Example

   1.  Organize internally and name a coordinator.  Neither policymakers nor the public have
       much understanding of a watershed approach or  its benefits in providing sustainable
       water infrastructure.  As the first step  in  raising awareness and  building the support
       necessary for success, NACEPT recommends that EPA start at  home  by making this a
       visible priority.

       EPA should assure that all components of EPA's organizational structure, including the
       Office of  Enforcement  and  Compliance  Assurance  (OECA),  effectively  support
       watershed-based program implementation by promoting common integrated themes  and
       messages. In part, this can be accomplished by aligning the goals and objectives of each
       office, division, and region sufficiently to promote a harmonious unified watershed
       approach, so that all stakeholders throughout the country can implement watershed-based
       infrastructure decisions. This is asking a lot of EPA, and any particular office or division
       is likely not to be able to have the resources or institutional support to undertake this role.
       Instead, to  best integrate such an effort across the Agency, the Administrator should
       name a coordinator and coordinating team and identify them and the watershed approach
       as a priority.  By being better organized internally  to promote the watershed approach,
       EPA then will be better able to help tribal, state, and local officials with a truly integrated
       approach and strategy.

   2.  Initiate at least two innovative watershed  infrastructure projects  in each EPA  region.
       NACEPT recommends that EPA designate a national high level action group (such as the
       Innovation Action Council or a similar group) to work with stakeholders (tribes, states,
       local officials, watershed associations, businesses,  etc.) to undertake and provide seed
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       funding for  at least two  innovative watershed infrastructure projects per region.  The
       objectives of each pilot are to: (1) define needs and watershed boundaries, (2) integrate
       drinking  water,  clean water, and stormwater infrastructure issues, (3) discover any
       obstacles inherent in EPA's practices and structure, and find solutions, and (4) ultimately,
       improve EPA's ability to  use the watershed approach more effectively and embed it into
       standard practices. The group should include a top level decision maker from each EPA
       Region (a Deputy Regional Administrator or Water Management Division Director) and
       from Headquarters offices (Office of Water and OECA).  These personnel should have
       the authority to take risks and should expect to be evaluated on the program's success.
       NACEPT further encourages at least one of the projects in each  EPA region to include a
       tribal authority, and the tribes should participate in defining the watershed boundaries, the
       problem, and any  solutions.  For example, given  the  recent national  attention due to
       wildfires,  rapid development, habitat  protection, water quality, and water supply,  the
       watershed including Lake Tahoe in Region 9 might be a candidate project under this
       initiative.  We also hope that at least one  of the  projects involves a watershed that is
       transected by an international boundary.

    3.  Reward collaboration.   As  part of the  promotion  of a watershed approach, EPA's
       personnel and training policies should recognize and reward the important role  of
       collaboration.  EPA staff should be able to be fully engaged as partners in local and
       regional watershed initiatives.  Even something as  basic as regional staff attending and
       participating in local public meetings will demonstrate EPA's commitment to making the
       watershed approach work and will pay benefits in terms of receptivity by all stakeholders.
Educate. Communicate, and Provide Information

       The next two sections and their recommendations are integrally related regarding what
needs to be communicated, to whom the information needs to be communicated, and with whom
the parties providing and receiving the  information  should be collaborating.  EPA  has  the
opportunity to play several important roles in promoting the watershed approach. One involves
being a national  leader, provider of general information, author of national policies, and funder.
Another is to work at  the  watershed  level by providing  staff resources,  watershed-specific
information, flexible application of national policies to local situations, and localized funding.

   4.  Illustrate  the urgency of the need to adopt a watershed approach for sustainable water
       infrastructure.   Because  very few people know about  the  watershed approach or  its
       benefits,  NACEPT  recommends  that  EPA   illustrate  and  emphasize through   its
       stakeholder partnerships the urgency of meeting current and looming water problems and
       meeting them with sustainable, locally designed water infrastructure  solutions.  EPA is
       making concerted efforts to communicate with the water professional communities about
       the infrastructure shortfalls and huge costs (of addressing them  in the traditional ways),
       but EPA  also should  make strong efforts to reach local stakeholders and decisionmakers
       more  directly.  Given EPA's limited resources and personnel,  EPA should start  by
       utilizing  its already existing communication partnerships with  national associations of
       local governments and local watershed groups.
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5.  Help incorporate  watershed  principles in college curricula  and  research programs.
   Realizing that achieving a sustainable water infrastructure will require a combination of
   near- and long-term actions, NACEPT  recommends that EPA  begin now to initiate the
   design  of watershed-based  curricula  for colleges and universities,  including tribal-
   supported  colleges  and  continuing professional  education  programs.   By  building
   knowledge, support, and capacity for using the watershed approach  to sustainable water
   infrastructure, schools can  help make  this a  well-integrated  component of academic
   study, increase its recognition as a viable and valued approach in the water field, and give
   the approach dignity and credibility as a career choice and professional field.  EPA could
   assist this effort in several ways, by: (a) developing a forum for academics to determine
   what priorities should be taught and how to encourage cross disciplinary approaches with
   such fields as architecture, land-use planning, and infrastructure planning; (b) informing
   the academic community about  the potential job market for graduates with this type of
   training (through  surveys of water utilities, for  example); (c) collaborating  with the
   National Science Foundation to provide research support for focused watershed approach
   research and innovative curricular development  projects  that  incorporate watershed
   approaches; and (d) discussing with accrediting agencies, such as ABET, Inc (formerly
   known  as  the Accreditation Board  for Engineering and Technology) how to best to
   communicate with individual academic programs about the value of including sustainable
   water infrastructure approaches in the course of instruction.

6.  Identify  key   stakeholders,   survey   their   needs,  and    together   develop   an
   educational/communication  program.   To be  successful,  EPA  will  need to  create a
   comprehensive  education and  communication program.   Key players include  EPA
   Headquarters (at least  OW, OECA, and  the  Administrator's Office),  regions, tribes,
   states, local governments, and national professional water organizations.  Other potential
   groups  include historical societies, cultural institutions, recreational associations, schools,
   friends  of parks organizations, and farmers.

   Because it will be unwieldy to start, EPA also should develop milestones and timetables
   to develop such a  unified theme. Critical to this effort's success are strong partnerships
   between the EPA regions, tribes, and states, which generally are responsible for adapting
   and implementing the national priorities on specific issues.  As a  first step, NACEPT
   recommends that EPA survey these partners and key stakeholders to identify what they
   see as their particular needs, the expected benefits, and the  likely hurdles and solutions.
   For example, EPA  could survey all the regional councils of governments (generally
   voluntary groups of local governments that focus on identifying and addressing regional
   issues).  The survey also could explain  the watershed approach to  sustainable water
   infrastructure, provide information about available tools and funding opportunities, and
   offer to assist in implementing the approach.

   Armed  with  EPA's current knowledge and this new outside information, EPA would be
   in a better position to facilitate the preparation and provision of effective guidance, tools,
   and information to stakeholders.  EPA also should beef up its  current watershed website
   (www.epa.gov/watershed) to offer  information (as more fully discussed below) about
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   how the watershed approach can benefit sustainable water infrastructure, as well as data,
   case studies, and links to other related programs and information.

   When  any part of EPA announces a national  or local  watershed initiative, partnership,
   database,  or report, EPA should seize that opportunity to connect the announcement to
   EPA's overall watershed communications program.  Through such strategic, concerted
   efforts, the public and key decisionmakers are more likely to begin to understand the
   watershed approach.

7.  Identify the needs of local stakeholders.  In addition to surveying national groups about
   their needs,  EPA also can play an  important  role for specific watersheds.   At the
   watershed level,  EPA  can  do many things to empower the local community, such as
   providing scientific data, a common forum, grants to develop a working relationship, and
   recognition of their unique  conditions.  Where EPA may want to assist with a particular
   watershed, it should first assess the local stakeholders' needs in  order to determine how
   EPA can best assist that unique watershed. This may mean identifying individuals within
   the regions that can provide localized responses to questions or requests for information,
   as  well  as ideas for  strategies  helpful for  that specific  watershed.   It  may mean
   establishment of locally available facilitators (perhaps at universities based on the model
   of EPA's Technical Outreach Services for Communities program) to help establish and
   facilitate the establishment of the local groups.  This may, in part, be achieved through a
   communication effort since EPA is currently doing many of these activities.

8.  Help provide watershed specific data to local decision makers.  EPA could promote faster
   and broader adoption  of a watershed approach  at  the local level  by providing  local
   stakeholders with easy access to databases about their watershed's water quality and
   quantity.  EPA regional personnel frequently are the most knowledgeable about a local
   watershed's  conditions, so  EPA should encourage regional personnel  to share their
   information and collaborate with watershed stakeholders. Where the data is in the hands
   of other federal agencies, such as the United States Geological Survey or the Army Corps
   of  Engineers, EPA should facilitate the sharing of this information and  promote easy
   links  where  possible.   Where  necessary,  EPA  should  consider  entering  into  a
   memorandum of understanding with appropriate agencies to best facilitate this  sharing
   and coordinating of information.

   EPA's STORET website (STOrage and RETrieval, www.epa.gov/storet/) is a repository
   for  lots of water quality, biological,  and physical data.  STORET can be  a valuable
   starting point, but  EPA will need to  work with other agencies to  enhance its website
   (either STORET specifically  or the general EPA watersheds site) with more information
   on  the connections between its watershed and water infrastructure, including green
   infrastructure, approaches.  If STORET is not the appropriate vehicle, perhaps  EPA could
   establish a Watershed Technology Center that provides stakeholders access to watershed-
   based  data, expertise, and communication.
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9. Communicate cooperative conservation watershed success  stories to local communities.
   In communicating  with  local  stakeholders about watershed approaches, EPA should
   include not just general benefits information but also the story of how local cooperative
   conservation successes took  place.   EPA should  highlight the  critical  connections
   between community, economic and environmental groups  and discuss how the activity
   was funded, what innovative approaches were taken, and what lessons were learned. The
   presentation of lessons learned should include the effective push-pull factors, together
   with suggestions for avoiding  the pitfalls and empowering successful processes.   This
   information source should have  an  internet  component.   The website  should not,
   however, simply list old projects, but it should be integrated into EPA's main watershed
   website, include an analysis of the overall approach and reference the individual projects,
   allow  project  participants to add comments and communicate with others  about their
   projects, and be up-to-date.

10. Establish follow-up approaches to validate  the watershed  and cooperative conservation
   approaches. EPA should establish follow-up processes to validate the continued success
   of its  efforts,  particularly as the watershed and  cooperative conservation  approaches
   discussed here are  new and should have a  strong feedback and continual improvement
   loop.  Specifically,  EPA should want to assure that information about and enforcement of
   its regulations realistically support and actually yield implementation of watershed-based
   actions,  such  as  watershed-based  TMDLs,  watershed-based  permitting, watershed
   pollution trading, and  watershed-based compliance and enforcement activities.  Critical
   follow-up questions to ask would include: what practices  were used to form a local
   group to maintain the  project's stewardship, how was the  group structured and funded,
   was the project successful in the long-term, and what changes would the participants have
   made?

11. Develop and  use training  materials  to  integrate  the  watershed approach into others'
   planning.   NACEPT  recommends that  EPA  develop  short educational and  training
   materials on  how  to  integrate a watershed  approach  into other  agencies'  planning
   projects. These materials should help raise awareness and stimulate opportunities with
   federal,  tribal,  state, and local  agencies and with the other groups involved  in planning
   projects.  Many of the  how-to materials related  to effective processes are already
   available, so the new materials  should be technically-focused.

12. Directly facilitate communication among jurisdictions about a watershed approach. EPA
   should directly facilitate communications between jurisdictions to actively develop the
   watershed planning approach.  Given its credibility, data, resources,  and personnel, EPA
   could  help bridge the gap between jurisdictions, engage in regional and even international
   discussions, provide leadership (and financial support  when necessary) where watershed
   planning is needed and leadership is  lacking, and offer guidance to groups in defining
   unifying issues and benefits of watershed planning.  NACEPT suggests that EPA initially
   implement this as  a pilot program  as part of the demonstration projects proposed in
   Recommendation 2, in order to identify  approaches  that are effective and strategies that
   can be transferable.
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    13. Expand communications with  local  government through EPA's  Local  Government
       Advisory Committee. NACEPT recommends that EPA work to nurture and expand these
       developing initiatives through the EPA Local Government Advisory Committee.  This
       could help provide two-way communication with local government officials throughout
       the country about a watershed approach to sustainable water infrastructure and its issues,
       problems, perspectives, and potential solutions.
Encourage. Facilitate, and Fund Collaboration

       One of EPA's critical roles regarding a watershed approach is to find the best ways to
help bring people together to achieve their water goals. EPA is not likely to be the lead for many
of these projects, but it nevertheless can have a significant role in helping bring people together.

    14. Participate in and leverage other agencies' activities, particularly planning. In addition to
       working with its sister agencies to communicate information,  EPA also should partner
       with federal  agencies to coordinate their work on watershed projects  and reduce
       unnecessary overlap, hurdles, and mixed signals. Obvious agencies to  partner with are
       other water-focused agencies, such as the United States Geological Survey (USGS) and
       the  Army Corps of Engineers.  In addition,  some sister  federal agencies such as the
       Department  of  Agriculture  and  the  Bureau  of  Land  Management  have  direct
       responsibility for large areas of public land that are integral parts of watersheds.  EPA
       should work closely with them to promote the watershed approach in  their activities. In
       this case, the  federal agencies should  take the lead in collaborative approaches with
       states, tribes, local governments, and local utilities in carrying out actions that provide
       overall benefit to the entire  watershed.  These approaches should  also  illustrate the
       important  value  of both  rural and urban  portions  of watersheds  to  the overall
       sustainability of the nation's water infrastructure.

       Many other agencies conduct extensive regional and  local planning for various projects
       that impact watersheds.  Because many of the impacts on watershed infrastructure are
       generated by growth and housing development, runoff,  industry, agriculture, and other
       land uses, watershed planning is best conducted as part of a  broader  effort that helps
       defines how  and where communities  will grow.   The same approach can  apply to
       planning for schools, parks, airports, and other facilities with major potential watershed
       impacts and the potential to bring a variety of interests together.  NACEPT recommends
       that EPA leverage and participate in as much of this planning as  possible.

       This cross-program, multi-jurisdictional approach stretches funding,  saves time for the
       public, decision-makers, and agency staff, and helps communities develop better plans
       and projects.  In order to facilitate the  EPA role  in  these processes and to provide
       maximum watershed benefits, EPA should carefully determine  the connections between
       water  infrastructure  and watershed  issues and  the  particular project being  planned.
       Although each location  likely will have its unique factors, common themes will exist.
       Communication of effective responses to these themes will help EPA advance  solutions
       that integrate sustainable water infrastructure into the other agencies' planning objectives.
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  We recommend that EPA:

  a. Identify what kinds of land use planning other federal  agencies  are  funding and
  convening.  For example, the Federal Highway  Administration has initiated a program
  titled, "Integrating Transportation and Resource Planning to  Develop Ecosystem Based
  Infrastructure Projects" (see  Appendix 4).  Other agencies that  fund  or lead land use
  planning exercises include the Federal Transit Administration (most likely through state
  departments of transportation), metropolitan planning organizations, the Department of
  Agriculture's  rural  development  program, the  Department of Housing  and  Urban
  Development's  Community  Development   Block  Grants  and Home  Investment
  Partnership Program, the Army Corps of Engineers, the Bureau  of Land Management,
  and the Bureau of Reclamation.

  b. Direct the  regions, as part of the pilot projects proposed in Recommendation 2, to
  identify specific planning opportunities to test this strategy at the tribal, state, regional,
  and local level. Because many watershed efforts are conducted at a regional level, the
  regions could convene an information-sharing session with  regional  planning councils
  and  metropolitan  planning  organizations to  learn about  upcoming  regional planning
  efforts and to share information about funding for watershed initiatives.

  c. Strongly encourage states, tribes, utilities,  and non-profit grantees to identify such
  broader planning efforts and include watershed infrastructure planning in them.  For
  example,  competitive grant funding for watershed initiatives could offer bonus points for
  coordination with other regional planning efforts.

  d. Participate  in an extensive participatory process (i.e., charettes) in which the  broader
  community or region  has  established their  values and  goals.  These shared  values
  (typically including but not limited to watershed issues) then should serve as the basis for
  what the scenario analysis measured in its modeling (as was  done in Envision Utah and
  the Eastern Planning Initiative's Sustainability  Accords; see Appendices 8 and 9).

  e. Use existing  planning models  (such  as  INDEX,  CorPlan, and CommuityViz) to
  incorporate limited analysis of watershed impacts  into  transportation and land use
  alternatives.   EPA  also should work on  integrating (or at least connecting) EPA water
  models with such scenario planning and analysis models.

  f. Participate  in  regional scenario planning initiatives, with  the  Federal Highway
  Administration  and  the Federal  Transit  Administration,  which  develop and  test
  alternative futures for economic development, transportation  investment. This would be
  a good opportunity to demonstrate the pre-NEPA (National  Environmental Policy  Act)
  potential   outlined   in  SAFETEA-LU  (Safe,  Accountable,  Flexible,  Efficient
  Transportation Equity Act: A Legacy for Users). This may be  especially useful in fully
  integrating into a watershed-based environmental approach the analysis of transportation
  and  land use alternatives; historic, cultural, and tribal assets;  and green infrastructure
  principles. Scenario planning examples  include California Blueprint (see Appendix 7),
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  Envision  Utah  (see  Appendix  8),  and  the  Thomas Jefferson  Planning  District
  Commission's Eastern Planning Initiative (see Appendix 9).

  g. Expand community awareness of watershed issues during planning to groups and
  agencies that  are  focused on other issues, such as transportation, housing, land use,
  agriculture, tourism, economic development.  This  can be done efficiently by targeting
  the  conferences  and publications  of  relevant national  associations,  such  as  the
  Association of Metropolitan Planning  Organizations, the  National  Association  of
  Regional Councils, the American Planning Association, and the National Association of
  Development Organizations.

  h. Offer watershed planning and funding as an opportunity for other planning efforts (the
  reverse of leveraging EPA watershed funding by attaching it to other agencies' planning).
  Where a community is planning a watershed-level infrastructure project, that investment
  (and public attention) can be leveraged to address transportation, housing, or community
  development issues - and broaden the support for watershed-level issues.  One example
  is the Columbus  (Georgia) Water  Works  watershed initiative that used  a  broad
  partnership to leverage a water infrastructure project into  a downtown and riverfront
  revitalization project, coupled with an environmental education center.

  15.  Increase collaboration among the full  range  of water-related utilities.  Another
  opportunity is for  EPA to build upon  and  leverage its existing partnerships and alliances
  to promote collaboration among water supply, wastewater, and storm water utilities, and
  industries in a given watershed area.  This would give them a more effective voice with
  local decisionmakers and  stakeholders.  EPA, tribes, states, and utilities should elucidate
  the benefits of working together to the many different types of organizations that  might
  participate in the watershed approach.

  EPA could use the partnerships being formed for the source water assessment processes
  and vulnerability assessments. In Region  3, for example, EPA offered initial guidance in
  the creation of the Schuylkill Action Network, which is working successfully to improve
  its watershed  resources in Pennsylvania by partnering with  federal and state agencies,
  local watershed  organizations, water suppliers, and  local governments (see  Appendix 3).
  The EPA  Office  of  Water should identify  other  existing Clean  Water  Act and Safe
  Drinking Water Act programs for melding them to facilitate a watershed-based approach
  to locally relevant infrastructure issues.

  16.  Develop effective approaches to bring together  groups of stakeholders within  a
  watershed.  EPA should give more attention, and  perhaps detailed  research, to  the
  question  of effective  models  or approaches  that can  be  used to bring  together
  stakeholders in a watershed to achieve a common good, even if it brings certain costs.
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       17.  Encourage state and tribal environmental agencies and  utilities to join integrated
       watershed planning efforts.  EPA should identify strategies to encourage state and tribal
       environmental agency and local utility staff to join in integrated planning efforts and to
       coordinate them with their own agency plans and investment  strategies.  EPA  should
       communicate  with the tribal and state agencies that set utility rates about the  potential
       cost reductions that could be  achieved  by  using  this type of coordinated  planning
       approach. EPA also should help states and tribal authorities understand that if they use
       the watershed approach to pick the most important water quality/quantity problems, then
       their stakeholders will be more likely embrace the watershed approach as the best way to
       solve them.

       18.   Extend  partnerships   with  water   professional  organizations  for   effective
       communication  with rate pavers.  As  the ultimate decisionmakers for many watershed
       issues, water  ratepayers have  a significant role and need additional  education  on the
       watershed approach.   NACEPT  recommends  using  its  existing  partnerships  with
       professional water and  water utility  organizations (both public and  private) to help
       communicate  to ratepayers that the watershed approach uses  money more  wisely to
       achieve the necessary infrastructure results.  Because the watershed approach is relatively
       new and  the period  of each  interaction with the public is short, this must be seen as a
       long-term program that must be regularly refreshed and updated. EPA could develop a
       series of "factoids" of successful projects and partnerships as the basis for the educational
       content, which utilities could use in such materials as customer bill inserts.
Develop. Use, and Fund Specific Tools

       EPA's role does  not end  with  aiding  communication  and collaboration.   EPA's
regulatory, enforcement, and funding initiatives also can  play significant roles  in  actually
achieving successful local watershed projects using a host of existing and possible tools.

       19. Use Stormwater Phase II authority to ensure that transportation projects incorporate
       green infrastructure  principles.  NACEPT recommends that  EPA actively  pursue  its
       Stormwater Phase II authority to ensure that transportation projects incorporate green
       infrastructure principles (see below), that transportation projects and watershed plans are
       coordinated, and that eligible transportation funding be made available to support these
       efforts.  Where appropriate, related authorities under phase I or other funding programs
       also  should be used.  These coordinated efforts would help ensure that transportation
       projects have minimal negative impacts on the watershed, that Stormwater systems are
       properly  sized, constructed  and maintained  for watershed protection,  and  that water
       infrastructure needs are appropriately addressed.

       20.  Apply a  "hold  harmless" approach to promote  multi-program scenario analyses.
       NACEPT recommends that EPA determine whether a 'hold-harmless' approach can be
       applied in certain situations.  For  example,  where  localities and utilities agree to
       participate in a more complicated multi-program scenario analysis, EPA could give them
       more time for certain regulatory  reviews,  including permitting and enforcement, or
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  streamline or conduct  simultaneous reviews.   The most typical  example is where
  transportation,  land use,  and natural resource  planning  (by a metropolitan planning
  organization or regional  planning agency using transportation  funds)  is  conducted
  independent of water, sewer, and stormwater infrastructure planning (by a water agency)
  because different laws and rules impose different timetables - even when the studies
  address the  same watershed, at the same time, with competing public workshops and for
  the same elected decision-makers.  A more efficient and effective approach would allow
  the water agencies the time needed to conduct their planning in parallel with the related
  land use effort.

  21.  Use NPDES permits  to provide watershed-wide monitoring.  EPA, with tribes and
  states, should use the NPDES process's available flexibility to encourage permittees to
  transition some of their current end-of-pipe outfall monitoring to a more meaningful
  watershed-wide data  approach.  EPA could do this by modifying the frequency and
  details of a permittee's NPDES end-of-pipe monitoring conditions.

  22.  Fund local watershed  groups and unique multi-iurisdictional watershed improvement
  projects.  NACEPT recommends that EPA reexamine its funding opportunities for local
  watershed groups and pilot projects to encourage smaller, more locally do-able watershed
  initiatives linked to infrastructure  needs.   Such local  involvement can build upon the
  typical energetic participation of local people committed to the watershed, build broader
  understanding of the connection with water quality/water quantity issues, and provide
  significant leverage for EPA's funds. Providing seed money for such multi-jurisdictional
  watershed efforts  is  one  of the surest ways  for  EPA to demonstrate to the  broader
  population the benefit and contribution of linking a watershed approach with sustainable
  water infrastructure.  Such  funding should be  given with  the expectation that it will
  encourage new project development and that it will help leverage others' funding. Such
  initiatives can be facilitated if each region has the  means and the charge to meet with
  each state and tribe to help them promote a watershed approach.

  More specifically, NACEPT recommends three changes in current funding priorities:

  a. Supplement 319  grants. EPA should allow the Section  319 grant program to provide
  additional funding initiatives for local watershed  groups.   Such new  or reinstated
  initiatives could take advantage of matching by existing state funds for water quality and
  watershed enhancement projects.  One  approach might be to fund at  higher levels the
  Regional  Geographic Initiative  (RG1),  which allows  the  regional offices to  leverage
  funding innovative solutions to local environmental issues through partnerships.  For
  instance, the RGI could be very helpful in  leveraging funds from Colorado's Watershed
  Protection Fund (a voluntary  state income tax check-off program that  raises about
  $100,000 each year for local  watershed groups)  and would encourage project buy-in by
  local citizens.

  b. Enhance  EPA's targeted watershed grants. EPA should enhance its targeted watershed
  grants program, which assists watershed organizations  in building their capacity to be
  better positioned to undertake large projects.   Many local watershed  groups view the
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  goals of the grants as laudatory, but also believe  that the funding (targeted at  larger
  projects) was achieved by eliminating funding for smaller projects.  NACEPT urges EPA
  to consider creating a "best of both worlds" opportunity by funding statewide groups that
  would integrate, through subcontracting, smaller local projects that in composite have
  watershed-wide effects commensurate with a  large-scale  project.   Such an  approach
  would provide project management efficiency at the state or tribal level while  promoting
  broader participation by local groups.

  c. Use supplemental  environmental projects.   Supplemental environmental  projects
  (SEPs) are  enforcement resolution  tools that  EPA can  use to provide funding and
  resources (from the  enforcement  target) for  environmental projects  in  communities.
  SEPs generally offer flexibility and  funding and thus can  be very helpful in providing
  seed money for watershed demonstration projects, such as watershed-wide water quality
  monitoring.

  d. New regional  watershed initiatives.    EPA has already  created  several  regional
  watershed initiatives, such as the Chesapeake Bay, Gulf of Mexico, and Great Lakes.
  EPA should explore creation of additional regional watershed initiatives to cover portions
  of the  country  that are currently not involved in such   projects  but possess unique
  geographic and ecological features that would benefit from such a concerted, integrated
  approach. One such possibility would be  the Rocky Mountain Headwaters.

  e. Smart growth  grants.   EPA's  smart  growth  initiative  in  the Office of Policy,
  Economics, and Innovation works well  with the Office of Water, states, tribes, local
  governments, and  the real estate and development industry. As water supply decisions
  become more  important to community  development decisions,  EPA should consider
  providing additional technical assistance and funding for the smart growth program.

  23. Provide wastewater and drinking water state  revolving funds to promote  green
  infrastructure.  EPA should work with its regional  offices, tribes,  and states  to explore
  ways the Agency  can use the SRF program to promote green infrastructure  that  offers
  watershed sustainability.  We recommend that  EPA consider a comprehensive natural
  systems or  ecosystem  approach to  water-related green infrastructure because  an
  ecosystem approach,  involving both  rural and urban components, can provide the most
  beneficial foundation for the future needs of the  area.  (See Appendix 10 for an example
  of this type of approach.)  While states and tribes largely set environmental ranking
  criteria for SRF projects, EPA should develop explicit incentives in its SRF guidance for
  communities to use a watershed approach. EPA also might consider approaches to set
  aside a small amount of SRF dollars nationwide for competitive watershed-based green
  infrastructure planning (not construction) and should seek Congressional authorization
  for such set-asides where needed.   The  set-aside could target  funds for  integrated
  watershed  management,  including wastewater,  stormwater,  and  combined  sewer
  overflows, and require that all  projects receiving SRF dollars be consistent with green
  infrastructure principles.  To  discourage sewer-expansion-driven  sprawl,  the SRF
  program could consider adopting a  "fix  it first" policy, whereby  states would have to
  show  preference for fixing existing water quality  problems and  failing infrastructure
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  before expanding sewers to accommodate new development in outlying  areas.  This
  concept, however, should not stand in the way of projects to provide necessary sewer
  services to existing areas that have been underserved or have not been served at all in the
  past.  Some tribes and states already have developed policies in this area, and EPA should
  identify some successful examples and options as guidance for others.  In addition, EPA
  should coordinate state  activities with tribal  programs that are supported by the SRF
  tribal set-aside.

  24. Synchronize NPDES permit renewal dates across watersheds. EPA should continue
  working with states and tribes to synchronize all  NPDES  permit renewals within each
  watershed. This practical approach will  allow a comprehensive, watershed-wide review
  of  total  NPDES loading, thereby  promoting watershed-based  pollutant  trading and
  consistent application of effluent criteria. EPA should give states and tribes  the option of
  conducting "administrative renewals" every five years and substantive renewals every ten
  years  in order to focus more  resources  on priority watersheds.   In addition, often
  overlooked and infrequently renewed "minor" NPDES permits should be included in the
  synchronized, watershed-based renewal schedule.  Finally, other federal permits, such as
  Stormwater Phase II permits and  underground  injection control  permits,  should  be
  included within  such coordinated NPDES watershed renewal cycles.  Where EPA has
  primacy in permitting, EPA should implement this timing approach.

  25. Facilitate watershed trading.   EPA should continue its work to  make watershed
  trading easier. As one example, EPA could require that wastewater treatment plants meet
  end-of-pipe effluent limits within the typical timeframe for compliance, but allow more
  time to develop  a watershed trading scheme that would result in  equivalent (or greater)
  watershed benefits  at lower  cost.   EPA  should  examine such  trading incentives as:
  regional offices  granting differential oversight to  adequately performing tribal or state
  programs that wish  to experiment with watershed trading; faster turnaround time for
  review/approval  of state or  tribal submissions (e.g., TMDLs,  regulations, plans); and
  technical support from EPA regional offices.

  26. Promote  more innovative watershed-based  TMDLs.  Total  maximum daily loads
  (TMDLs) are one of the clearest watershed-based tools EPA, tribes, and  the states already
  have.  NACEPT recommends  that EPA take additional steps to  promote  innovative
  watershed-based TMDLs.  NACEPT suggests, for example, that EPA adopt a shorter
  turn-around time for its regions to review TMDLs so that they would have  more time to
  encourage and facilitate innovative TMDL approaches by states and tribes.  NACEPT
  also applauds the Office of Policy, Economics and Innovation's pilot impervious cover
  method grants.  To  best use this powerful  tool  to facilitate watershed approaches to
  sustainable water infrastructure, EPA's TMDL program (and EPA's Office of General
  Counsel and the Office of Enforcement and Compliance Assurance) must take a broader
  view of its mission and embrace true watershed-based TMDLs.  Given the opportunity to
  embrace  greater  overall  environmental  water  gains, TMDLs  could  address  all
  contributions (e.g., stormwater), not always be defined by water body segments, and not
  always be restricted to individual pollutant loads.
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                                        July 2007

APPENDIX 1:  Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar

          National Advisory Council for Environmental Policy and Technology

    Charge for Developing Recommendations on U.S. EPA's Sustainable Infrastructure
                                    Watershed Pillar
                                      Background

The EPA Administrator has identified Sustainable Water Infrastructure (hereafter referred to as
Sustainable Infrastructure (SI)) as one of the Agency's highest priority initiatives.  In January
2003, the Administrator convened  a  Forum - Closing the Gap: Innovative Responses for
Sustainable Water. At this Forum, the Assistant Administrator for Water highlighted the "Four
Pillars of Sustainable Infrastructure"— Better Management, Full-Cost Pricing, Water  Efficiency,
and Watershed Approaches to Protection (hereafter referred as the Watershed Pillar). The SI
initiative aims to decrease the gap between growing infrastructure (drinking water plants, piping,
etc.) needs and spending, by promoting sustainable infrastructure through the four Pillars.

This  charge   is being  developed  to address  the  challenges  specific  to  the  Sustainable
Infrastructure (SI) Watershed Pillar. The goal of the Watershed Pillar  is to enable utilities (i.e.,
drinking water and wastewater) and other stakeholders (e.g., local and State agencies, local
planning and  ordinance organizations, environmental advocacy groups, watershed decision
makers) to take advantage of opportunities offered by  watershed  approaches  to minimize
infrastructure cost and/or  operating and  maintenance expenses  to  achieve  water quality and
quantity and human health protection goals.

One of the most critical challenges facing the Nation is how to sustain our water and wastewater
infrastructure to ensure that the public can continue to enjoy the environmental, health, social,
and economic benefits that clean and safe water provide.

Our wastewater and drinking water systems are aging, with some  system components older than
100 years. Our growing and shifting population requires investment for new infrastructure and
maintenance of existing infrastructure. Current treatment strategies and technologies may not be
adequate to address emerging issues,  investment in research and development has declined, and
the prospects for continued large federal investment are limited.

EPA's Clean Water and Drinking Water Infrastructure Gap Analysis (2002) estimated that if
capital investment and operations and maintenance remained at current levels, the potential gap
in funding between  2000  and  2019  would be  approximately  $270 billion  for wastewater
infrastructure and $263 billion for drinking water infrastructure.

Meeting these challenges  requires a multi-faceted approach  to  managing and sustaining our
infrastructure assets. The Nation must change the way we manage, view, value, and invest in our
water infrastructure. This can only come about if all parties embrace a collaborative approach
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APPENDIX 1:  Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

that  encourages new and innovative solutions to the challenges we all  face.  All levels of
government and the private sector have a shared responsibility for seeking effective, efficient,
and fair solutions for sustaining our precious water infrastructure.

Through collaboration with all key stakeholders, the use  of effective and innovative approaches
and technologies, and a  commitment to long-term stewardship of our water infrastructure, we
can make better use of our resources, potentially reduce the funding gap and move the Nation's
water infrastructure  down a pathway toward  sustainability over the  next fifteen years.  For
example, more  than 4,000 local watershed organizations  are at work in the United States. They
are advocating watershed restoration, source water protection, improved site design,  erosion
control, land conservation, and storm water management — to name just a few activities.

The  watershed approach  is generally   invoked to  mean  broad  stakeholder  involvement,
hydrologically defined boundaries, and coordinated management across all aspects of policy that
affect water. "Source water protection"  is the watershed approach's analog under the Safe
Drinking  Water Act. The watershed approach and source water protection are grounded in
science and allow for prioritization and cost-effective interventions, as appropriate.

The  EPA Office of Water's 2003 guidance on watershed-based  permitting and water quality
trading  allow for strategic,  cost-effective actions to meet water quality  standards. Watershed
goals and the impact of multiple pollutant sources and stressors, including nonpoint sources, are
considered when National Pollutant Discharge Elimination  System (NPDES) permits are written
for multiple sources in a watershed.  The goal of this approach is to issue permits that take into
account the conditions of the entire watershed and  address diverse pollution sources, not just
individual point sources.  Often, such permits carry a trading component. A current example of a
successful  watershed-based  permit with trading can  be found along  Long Island Sound, where
nitrogen trading among dozens of publicly owned treatment works in Connecticut is expected to
save more than $200 million in control costs.

Source water protection, targeted to protect current and  future sources of drinking water, also
holds the promise of substantial benefits. EPA has determined that preventing contamination can
be up to 40 times more cost effective than remediation of a drinking water source or finding a
new one.

Development decisions are another important approach to the watershed paradigm. Development
decisions are generally made at the  local  level. While local governments  have direct authority
over land use and development decisions, many states play important roles in setting statewide
approaches to planning for  growth.  The EPA cannot and  should  not be a national or regional
development board,  but the federal  government  can  help  states and   municipalities  better
understand the  impacts of development patterns. The Source Water Collaborative's3  recent
3 The Source Water Collaborative consists of a broad set of constituencies that include the U S. EPA and 13 national premier
organizations (representing state agencies, water utilities and environmental groups) that have agreed to combine their efforts to
protect drinking water sources


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APPENDIX 1:  Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

Vision Statement notes that drinking water protection should be integrated into land-use planning
and stewardship; road, sewer and water projects; farming,  industry and development practices;
waste disposal methods; watershed planning, protection and clean-up; and the routine decisions
Americans make every day.  EPA is  working to  help states and communities realize the
economic, community, and environmental benefits of smart growth by: 1) providing information,
model programs, and analytical tools to inform communities about growth and development; 2)
working to remove federal barriers that may hinder smarter community growth; and 3) creating
new resources and incentives for states and communities pursuing smart growth.

A key objective the Agency  wishes to advance under the sustainable infrastructure effort is the
merger of watershed  management principles into utility  management, so  that key  decision
makers consider the  watershed approach   alongside  the  traditional  treatment  technology
investments.  As part  of this effort, the Agency needs information regarding whether: 1) a bias
exists in favor of technological investments due to existing governmental policies, institutional
structures, scientific uncertainties, or problems in valuing the  benefits of using a watershed
approach; and 2) if such a bias exists, how can this bias be eliminated?

The SI now seeks  to  develop more robust information,  data,  case studies, and lessons-learned
with  respect to the  use  of watershed  approaches  to avoid or  reduce current or future
infrastructure costs and/or operating and maintenance expenses. EPA is specifically interested in
gathering data on the cost savings and ecological and public health benefits that the use of such
an approach may accrue while still achieving compliance with the  requirements of the Clean
Water Act and Safe Drinking Water Act.
Charge to the NACEPT Water Infrastructure Workgroup

The Water Infrastructure Workgroup of the National Advisory Council for Environmental Policy
and Technology (NACEPT)  is asked to  assist the  Agency in advancing cost-effective and
sustainable approaches to water resource management and infrastructure  to  meet watershed
goals.   It is the Agency's position that the watershed approach is critical to protecting and
restoring the nation's waters.  The Agency furthermore  suspects that in order for the benefits of
the watershed approach to be fully realized  it must be integrated into the comprehensive planning
processes at the state, regional and local levels.

There are several areas where NACEPT can assist the Agency in determining how to best use its
expertise  and resources  to promote  the  watershed approach, as it  specifically applies to
Sustainable  Infrastructure,  and its  integration  into  state,  regional and local comprehensive
planning processes.
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APPENDIX 1: Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

   Overall Goals:

   A.  Promote the development of sustainable  infrastructure by elevating water resource and
       infrastructure protection and management as a state,  regional  and local government
       priority in the comprehensive planning process on a par with transportation planning,
       public safety and  schools.

   B.  Encourage widespread adoption of an integrated planning  approach focused on water
       resource and infrastructure protection and management.

   C.  Provide information, data, tools and tools necessary for state and local governments and
       their communities to adopt these approaches.

   Research and Recommendations

   The Charge encompasses two distinct focus areas.  Consequently,  the Office of Water is
   proposing that NACEPT adopt a phased approach for addressing the charge over a two-year
   period.

   A.  Phase 1: Comprehensive Planning and Decision-Making

       No later than May, 2007 NACEPT would identify incentives, drivers, barriers, and other
       factors that encourage or inhibit the prioritization of water resource infrastructure and
       management into the comprehensive state, regional and municipal planning frameworks
       and decision-making processes.

       Also no  later than May, 2007 NACEPT would provide recommendations to the Agency
       on:

       1. Actions the Agency can  take to help states and local  governments  overcome  the
       barriers and impediments that prevent the full integration of water resource management
       as a priority in their respective planning and decision-making processes. For example:

          b. How  can  the Agency more effectively promote increased  collaboration among
             drinking water, wastewater and storm water utilities,  local governments, planning
             boards and other stakeholders that result in collective water infrastructure priority
             setting  under  a watershed management  context  through education and other
             means?
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APPENDIX 1:  Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

          c.   How can municipalities and other local  government/regional planning entities
              build  support  for  promoting  a watershed  approach  to  water  infrastructure
              planning?

          d.   Using relevant examples from the recent Cooperation Conservation Conference,
              what are the ways in which "cooperative conservation" or "coordinated resource
              management" has been  or can  be used  to overcome barriers to promoting  a
              watershed approach to water infrastructure planning?

          e.   How can EPA, States,  or others influence  various community  stakeholders to
              adopt and promote such  an approach?

          f.   What  are the specific barriers embodied  in existing EPA  and state policies or
              practices that need to be remedied to help EPA and states further encourage and
              assist entities to consider and implement alternative and integrated approaches for
              water infrastructure planning and management?

   B.  Phase  2: Benefits of Traditional versus Alternative  Approaches to Water Resource
     Infrastructure and Management

       No later than May, 2008 NACEPT would identify, analyze and report on the actual or
       potential benefits that accrue to local governments and utilities that use alternative and
       integrated approaches to manage wastewater, drinking water, and  storm water, and the
       factors that affect whether alternative or traditional approaches are more cost-effective.
       Examples  of  these  alternative approaches   include  centralized  management  of
       decentralized technologies and  systems, soft path  technologies,  conservation designs,
       smart   growth strategies,  water conservation  and  reuse  policies  and  low  impact
       development approaches.

       In doing so,  NACEPT would  examine specific  examples and associated factors  from
       communities  where centralized approaches are predominant and those where alternative
       approaches have been used, along with the key  factors that caused  these communities to
       adopt these approaches.

       In addition, NACEPT would identify, analyze and report on the actual or potential
       incentives for local governments and utilities to use alternative and integrated approaches
       to manage wastewater, drinking water, and storm water.
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APPENDIX 1:  Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

Also no later than May, 2008 NACEPT would provide recommendations to the Agency on:

       1.   Specific actions (e.g., policy, guidance, technical and programmatic tools, research)
          that  the Agency can take to encourage and promote the investigation of alternative
          approaches that  could meet water quality and service objectives at lower life-cycle
          cost than traditional approaches. For example, assist EPA in identifying mechanisms
          for  promoting  consideration   of  centralized  management  and  oversight  of
          decentralized systems as a cost-effective alternative to physical consolidation of
          infrastructure.

Potential Future Work

EPA would be open to identifying additional research  areas, upon completion of the current
charge, to further improve the understanding of sustainable infrastructure issues. The additional
research topics may include new areas  or may build upon  the results of the current research
charge.
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APPENDIX 1: Charge for Developing Recommendations on U.S. EPA's
Sustainable Infrastructure Watershed Pillar (continued)

ATTACHMENT A

Watershed Approach (Long Version)

What does EPA mean by "a watershed approach"?
To achieve environmental goals EPA encourages adoption of a watershed approach as a broad
coordinating process for focusing  on priority  water resource  problems.  Using a watershed
approach, multiple stakeholders integrate regional and locally-led activities with local, State,
Tribal, and Federal environmental  management programs.  These environmental goals should
ultimately protect and restore the health of the  nation's aquatic resources, which includes but
goes beyond meeting water quality standards; we must also address (a) pollutants for which there
are currently not numeric standards  (including nutrients and clean sediments); (b) healthy aquatic
habitats (including wetlands);  (c) coastal and marine waters; and (d)  invasive species and other
stressors.  Relevant activities in watersheds include use of Clean  Water Act and Safe  Drinking
Water  Act authorities, funding and guidance, as well as  many other tools  that are  available
through other Federal, State, Tribal and local programs and non-governmental resources.

Major elements of successful watershed approaches involve:

•      focusing  on  hvdrologicallv-deflned areas—watersheds and aquifers have  hydrologic
       features that converge to a common  point of flow; watersheds range in size from the very
       large, such as  the Mississippi River Basin, to a drainage basin for a small creek;
•      using   an  integrated  set of  tools   and  programs  (regulatory and  voluntary,
       Federal/State/Tribal/local and non-governmental sectors; innovation; communication and
       technical assistance; and sound science and information) to address the myriad  problems
       facing  our Nation's  water resources,  including:   nonpoint  source and point source
       pollution,  habitat degradation, invasive  species, and air deposition of pollutants, like
       mercury and nutrients;
•      involving all  parties having a stake, or interest, in developing collaborative solutions to
       a watershed's water resource problems;
       using  an  iterative planning or adaptive management process  of assessment, setting
       environmental and water quality and  habitat  goals  such as water quality standards,
       planning,  implementation, and monitoring and ensuring that  plans  and  implementation
       actions are revised to reflect new data.
•      breaking down barriers between plan development and implementation  to enhance
       prospects for success

EPA continues to work with  Federal agencies, States, Tribes,  local  communities, and  non-
governmental sectors to make a watershed approach the  key coordinating framework of our
planning,  restoration, and protection efforts to achieve "clean and  safe" water and healthy
aquatic habitat.
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APPENDIX 2:  List of NACEPT Sustainable Water Infrastructure Work Group Members
 NACEPT Chair:

 John Howard
 Vinson & Elkins, LLP

 Workgroup Chairs;

 Dan Watts (2007)
 New Jersey Institute of Technology

 Richard Sustich (2006)
 University of Illinois at
 Urbana/Champaign

 Members:

 Arthur "Butch" Blazer
 New Mexico State Forestry Division

 Rob Buirgy
 Big Thompson Watershed Forum

 Jeff Crane
 Colorado Watershed Assembly

 Renu Khator
 University of South Florida

 Clayton Matt
 Confederated Salish and Kootenai
 Tribes

 Bill Mull lean
 Texas Water Development Board

 Howard Neukrug
 Philadelphia Water
Arleen O' Donnell
Massachusetts Department of
Environmental Protection

Harrison Rue
Thomas Jefferson Planning District
Commission & Charlottesville-
Albemarle Metropolitan Planning
Organization

Dan Williams
Architect
EPA Liaisons:

Andy Grassland
Sheila Frace
Robert Goo
Kevin McCormack
Benita Best Wong
Designated Federal Officer;

Sonia Altieri
U.S. Environmental Protection
Agency
Office of Cooperative Environmental
Management
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                                                   July 2007

APPENDIX 3:  Schuylkill Action Network Fact Sheet
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                                                    40 of 63

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    NACEPT's Initial Findings and Recommendations on EPA's Sustainable Infrastructure Watershed Pillar
                                       July 2007

APPENDIX 4: Portion of Federal Highway Administration Request for Applications for
''Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects"

Federal Cooperative Agreement Opportunity
Request for Applications (RFA)
Executive Summary

Federal Agency Name:             U.S. Department of Transportation
                                 Federal Highway Administration
                                 Office of Acquisition Management
                                 1200 New Jersey Avenue, SE, Room (TBD)
                                 Mail Drop: W36-481
                                 Washington, DC 20590
                                 Attn: Sarah Berman, HAAM-40F

Funding Opportunity Title:          "Integrating Transportation and  Resource Planning to
                                 Develop Ecosystem Based Infrastructure Projects"

 Announcement Type:              This   is  the   formal   announcement   of this   funding
                                 opportunity.  It has previously been described  on FHWA's
                                 STEP website at http //www fhwa dot aov/hep/step/fv07rp.htm

Funding Opportunity Number:      RFA Number DTFH61-07-RA-00117
SECTION I - FUNDING OPPORTUNITY DESCRIPTION

A.     STATEMENT OF PURPOSE

The  Federal Highway Administration (FHWA) hereby requests applications to result in  the
award of up to ten (10) cooperative agreements for "Integrating Transportation and Resource
Planning to Develop Ecosystem Based Infrastructure Projects."

B.     LEGISLATIVE AUTHORITY

Section 5207 of the Safe,  Accountable,  Flexible,  Efficient Transportation Equity Act: A
Legacy for Users (SAFETEA-LU), Public Law 109-59, authorizes "... a Surface Transportation
Environment and Planning Cooperative  Research  Program (STEP).  The program carried  out
under this section may include research (1) to develop more accurate models for evaluating
transportation control measures and system designs that are appropriate for use by State and local
governments (including metropolitan planning organizations) in designing implementation plans
to meet Federal, State, and local environmental requirements; (2) to  improve understanding of
the factors that contribute  to the  demand  for transportation;  (3)  to develop  indicators  of
economic, social, and environmental performance of transportation systems to facilitate analysis
of potential alternatives; (4) to meet additional priorities determined by the Secretary in  the
strategic planning  process  under  section 508; and (5) to refine,  through the conduct  of
workshops, symposia, and panels, and in consultation  with stakeholders (including the

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APPENDIX 4:   Portion  of Federal  Highway Administration Request for  Applications  for
"Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects" (continued)

Department of Energy, the Environmental Protection Agency, and other appropriate Federal and
State agencies and associations) the scope and research emphases of the program."

The authority to award a cooperative agreement for this effort is found in SAFETEA-LU Section
5201, paragraph (c)(3) Cooperation,  Grants, And Contract,  which states, "The Secretary may
carry out research, development, and technology transfer activities related to transportation... by
making grants to, or entering into contracts and cooperative agreements with one or more of the
following: the National Academy of Sciences, the American Association of State Highway and
Transportation  Officials,  any  Federal  laboratory,  Federal  agency, State agency,  authority,
association, institution, for profit or nonprofit corporation, organization, foreign country, or any
other person."

C.     BACKGROUND

The concept  of integrating both infrastructure and ecological  planning efforts  has  been
incorporated into the  last three transportation bills.  Most recently, Section 6001 of the  Safe,
Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-
LU),  Public  Law 109-59, specifically  incorporates environmental planning  factors into  the
statewide and  metropolitan  planning processes,  and  requires that  transportation  planning
agencies consult, as  appropriate, with  natural  resource planning  and  protection agencies to
coordinate and compare their planning efforts and products. These efforts lead to more informed
transportation   planning  decision-making,  including  the  integration  of natural  resource
considerations with transportation needs, prioritized mitigation areas, and the  identification of
mitigation opportunities having the greatest potential to restore the environmental functions that
may be affected by  a  proposed transportation project.  Section 6002 of SAFETEA-LU
strengthens and carries these planning objectives forward into project development by requiring
transportation  agencies to coordinate  with resource agencies and public stakeholders as early as
possible in the Environmental Review Process.

In 2002, Executive  Order  13274 Environmental Stewardship and Transportation Infrastructure
Project Reviews was signed. The order was issued to promote environmental stewardship  in the
nation's transportation system and  to streamline the environmental review and development of
transportation  infrastructure projects.  An interagency task force was established to oversee the
implementation of the Executive Order and monitor the environmental review of certain high
priority projects. A  workgroup was established by  the  task force to focus  on creating and
documenting better  ways to more effectively link transportation system planning performed by
State and local governments with natural and cultural resource concerns. While planning efforts
are required at transportation agencies as well  as resource  conservation agencies, historically
these efforts have occurred with little or no coordination between the agencies until the plans are
implemented and specific  projects initiated.  In addition, the workgroup formed the core  group
that led to the creation of the publication Eco-Logical:  an Ecosystem Approach to Developing
Infrastructure Projects, (Eco-Logical) in early 2006. A PDF version of Eco-Logical is available
at: httD://www.environment.fhwa.dot.gov/ecological/eco  index.asp.
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APPENDIX 4:   Portion  of Federal  Highway Administration  Request for Applications  for
"Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects" (continued)

The multi-agency publication Eco-Logical encourages Federal, State, tribal, and local partners to
integrate environmental solutions and goals into planning for infrastructure development. Eco-

Logical puts forth the conceptual groundwork for integrating environmental and infrastructure
plans across agency and  geographical boundaries, and  endorses  ecosystem-based mitigation
approaches to compensate  for unavoidable impacts caused by infrastructure projects.

The ecosystem approach to infrastructure development as outlined in Eco-Logical consists of
restoring,  creating,  enhancing, and  preserving  habitat and   other  ecosystem  features  in
conjunction with or in advance of projects in areas where environmental  needs and the potential
environmental contributions have been determined to be  greatest.  Ecosystem-based mitigation
extends existing compensatory mitigation options by offering a way to evaluate alternatives for
off-site mitigation and/or  out-of-kind mitigation  in  the  ecologically most important areas as
defined by interagency partners and the public.  The approach shifts the Federal government's
traditional focus from individual jurisdictions and actions to a larger focus of multiple agencies
within the larger natural ecosystem. The overall goals of the ecosystem approach to mitigation
and Eco-Logical are:  conserve  larger,  scarce,  multi-resource ecosystems;  increase habitat
connectivity; improve predictability in environmental  review and regulatory processes; provide
better  public  involvement  to  improve  transparency and establish  greater credibility;  and
streamline infrastructure planning and development.

Various habitat or watershed programs are cited in Eco-Logical as examples of components of an
ecosystem approach to mitigation.  Some of the examples focus  on conservation of habitat for a
single  species, such as the Indiana Habitat Conservation Plan for the Indiana Bat  and  the
Alabama Gopher tortoise conservation bank. Other initiatives, such as the Colorado Short grass
Prairie  Initiative  and  North  Carolina's  Ecosystem  Enhancement   Program,  are  more
comprehensive in their conservation strategies.

D.     OBJECTIVES

The objective  of the "Integrating Transportation and Resource Planning to  Develop Ecosystem
Based  Infrastructure Projects" is to conduct an integrated planning effort and develop ecosystem-
based approaches for transportation related  efforts as outlined  in  Eco-Logical, which may be
used as case studies and best practices to be promoted nationwide.

E.     STATEMENT OF  WORK

FHWA asks prospective  applicants to focus on the Eco-Logical document  as  the  primary
construct in developing  their proposal.  The applicant's application shall address one  or more
elements suggested in the eight-step integrated planning process described in Eco-Logical.

Eco-Logical articulates a vision of how infrastructure development and ecosystem conservation
can be integrated  to harmonize economic, environmental, and social needs and objectives. The
development of an ecosystem based approach will provide planning agencies, as well as

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APPENDIX 4:   Portion of  Federal Highway Administration  Request for Applications for
"Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects" (continued)

communities and  resource agencies, the ability to utilize the best available science and achieve
greater efficiencies in the transportation decision-making process.

The ecosystem approach should be viewed as a tool for partners to develop acceptable solutions
that complement agency missions. Agencies and private and public partners are encouraged to

build collaborative partnerships to establish an integrated planning method that would ultimately
yield a Regional  Ecosystem  Framework (REF) that designates environmental  priority areas,
mitigation options, and performance measures for the mitigation effort. Some expected benefits
from this approach can be: safer and improved  infrastructure that balances social  and ecological
concerns, watershed and ecosystem health, and minimized habitat fragmentation as a result of
planning focused on increased habitat connectivity and conservation.

Recipients shall perform tasks within the following work areas, which are based on the eight-step
integrated planning process described in Eco-Logical:

       1.  Partnering and Data;
       2.  Integration of Conservation and Transportation Planning; and
       3.  Performance Monitoring

Note;  Applicants may propose to perform activities under one, two or three of the above
work areas.  Additional weight will be given to proposals that incorporate  elements of
multiple work areas.

Note;  In addition to the  three work areas  noted  above, applicants are encouraged to
propose other activities that support the integration of natural resource  planning and
preservation with the development of transportation  based plans and projects within the
funding limitation on page 8 of this RFA.

Area 1. Partnering and Data

This work area is based on the initial steps of the integrated planning process as described in
Eco-Logical. Applicants applying under this work area may be at the early stages of developing
an Eco-Logical framework for their transportation  infrastructure program or  individual projects.
Partnerships are being developed and planning documents are being collected.

Note; Applicants shall identify what their agency will accomplish with this project, identify
where their agency is in institutionalizing the Eco-Logical framework, and indicate the next
steps to be taken in the project.

The Recipient shall engage in any or all of the following:

          o  Partnership building: convening multiple agencies and stakeholders


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APPENDIX 4:   Portion of Federal  Highway Administration Request  for  Applications for
"Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects'" (continued)

                 •  For  example,  facilitated  meetings/training;  establishment  of  formal
                    agreements such as memorandums of understanding/agreement
          o   Data sharing: collecting  and  sharing existing plans  and  data among multiple
              agencies
          o   Data gathering: collecting data and/or researching existing resources
                 •  For example, to be used in the development of a regional  ecosystem
                    framework (REF); CIS based maps of ecological areas and cultural
                    resources

Area 2.  Integration of Conservation and Transportation Planning

This work area is based on the middle steps of the integrated planning process as described in
Eco-Logical.  Applicants applying under this work area have already formed  partnerships with
multiple agencies, have collected planning documents from these agencies and are beginning to
integrate these plans.

Note; Applicants shall identify what their agency will accomplish  with this project, identify
where their agency is in institutionalizing the Eco-Logical framework, and  indicate the next
steps to be taken in the project.

The Recipient shall  engage in any or all of the following:

          o   Resource assessment:  identifying the most critical conservation  areas  from an
              ecosystem perspective
          o   Conservation planning: determining strategies to conserve critical resources
                 •  For example, development of a conservation  strategy for important habitat
                    and/or  resources that  identifies  actual  opportunities   for  adaptive
                    management and ecosystem enhancements
          o   Integrated planning: applying conservation data and  assessments,  goals  and
              strategies into transportation planning
                 •  For example, the incorporation  of environmental resource management
                    plans and other data to be considered as part of the environmental analysis
                    for transportation  planning (multimodal,  corridor),  project  planning,
                    environmental analysis, design, maintenance, and operations
          o   Ecosystem mitigation:  connecting ecosystem strategies to transportation projects
              and programs

Area 3.  Performance Monilorine

This work area is based on the final steps of the integrated planning process as  described in Eco-
Logical.  Applicants applying under this work area have  already identified and  prioritized
mitigation areas based  on proposed  transportation infrastructure projects.  This work  area
evaluates  how well the Eco-Logical framework is implemented, the environmental health of the


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APPENDIX 4:   Portion  of Federal  Highway Administration Request for  Applications  for
"Integrating Transportation and Resource Planning to Develop Ecosystem Based Infrastructure
Projects" (continued)

ecosystem, environmental  documentation and review  timeliness, and  the  deliverability of
transportation infrastructure projects.

Note; Applicants shall identify what their agency will accomplish with this project, identify
where their agency is in institutionalizing the Eco-Logical framework, and indicate the next
steps to be taken in the project.

The Recipient shall develop at least one of the following:

          o   Performance measures: defining metrics to be used to assess ecosystem health and
              stewardship

          o   Monitoring systems: developing programs for monitoring ecosystem health and
              stewardship
                 •  For  example, the development of an  adaptive  measurement process to
                    monitor the impacts of infrastructure plans and projects on the ecosystem
          o   Agency performance measures: development of guidelines to assist State/local
              transportation agencies and other  groups  to effectively and efficiently integrate
              planning  efforts  by  implementing  and  attaining  compliance  with  related
              rules/regulations, policies, and standards
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APPENDIX 5:  EPA Region I Charles River Project Press Release

Charles  River 'Report Card'  Grade Drops to a "B-" -  Clean Up  Efforts Continue;
Outlying Communities Challenged to Match Boston and Cambridge's Efforts

Contact:  Peyton Fleming, EPA Press Office (617-918-1008)

For Immediate Release: April 21, 2004 Release # 04-04-39

BOSTON - The U.S. Environmental Protection Agency today announced a report card grade of
"B-", down from a "B"  last year, for the Charles River. The grade, based on water quality data
collected last year, shows that water quality improvements in the river have leveled off in recent
years  and that additional  stormwater controls and  planned sewer system upgrades will  be
essential  for water quality to improve over the next few years.

While environmental officials acknowledged the reduced grade indicates  the huge challenge
involved  in restoring the Charles, they also pointed out that the goal of making the river safe for
swimming and  fishing  is within  reach.  Future improvements will depend to a large extent  on
towns and cities along the Charles  incorporating the  kind of all-out effort already underway in
both Boston and  Cambridge. Those two cities are  spending hundreds  of millions of dollars
tackling  illicit  sewer connections, stormwater overflows and  other  pollution problems that
continue  to beset the Charles River,  especially after rain events.

"If every community along the Charles puts in the kind of effort to reduce sewer waste we have
seen in Cambridge and  Boston, we can  indeed cross the finish line," said  Robert W.  Varney,
regional administrator for EPA's New England Office, at a news conference today on the Weeks
Footbridge overlooking the river. "The dramatic water quality improvements we achieved in the
early stages of this project are still with us, and the Charles continues to be much cleaner and
safer than it was in the  mid-1990s. However, with each  increment of progress, the task ahead
becomes  more challenging. We grabbed the  low-hanging fruit  in the  late 1990s.  Now we are
reaching  for the upper branches."

Over the last  five years, communities have successfully closed illegal discharge  pipes and
separated sewer lines responsible  for much of the  river's  pollution. More than one  million
gallons a day of sewerage was removed from the river through those efforts. But stormwater
overflows and illegal sewer-line hookups continue to discharge more sewage than is acceptable.

"Today's grade clearly underscores the complexities  of resolving  issues in the  urban
environment,"  said Robert  Zimmerman, executive director of the Charles River Watershed
Association, which collects the water quality samples used for grading the river. "Nevertheless,
with attention and diligence, and some creativity, the Charles can be fully restored. I'm looking
forward to redoubling our efforts over the coming years."

Last year, the river was clean enough for boating 85 percent of  the time, down  from 91  percent
of the time in 2002 and  met swimming standards 46 percent of the time, compared to 51  percent
the previous year.
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APPENDIX 5:  EPA Region I Charles River Project Press Release (continued)

Although the 2003  data shows that challenges that lie  ahead, dramatic gains have been made
since the Clean Charles 2005 initiative began in 199S. At that time, EPA gave the Charles a

grade of "D," since it was meeting bacteria boating standards only 39 percent of the time and
swimming standards only 19 percent.

During that time, significant efforts by state and local agencies, businesses and individuals have
successfully reduced  stormwater discharges, illicit  sewer  connections and  other  pollution
sources.

Various actions were outlined today for achieving additional water quality improvements in the
river, among those:

   •   Boston Projects: Boston, with support from the MWRA, is  spending millions of dollars to
       reduce  combined sewer overflows into the river from the Stony Brook drainage basin,
       which includes Jamaica Plain, Hyde  Park, Roslindale  and West Roxbury. When  this
       project is  done in 2006, Boston  will have  removed the largest remaining source of
       bacterial pollution to the Lower Basin. Boston has also undertaken a $1.5 million project
       to identify illicit sewer connections in this drainage  basin. Illicit connections  are  also
       being removed in Fanueil Brook, another significant source of bacteria into the river.
       This project is part of a  new City-Wide Illicit  Connection Investigation Program  that
       Boston is  undertaking. The three-year program will  address an estimated 6,000 acres
       throughout the city served by separate  storm drains. The  investigation will focus on
       approximately  95 outfalls, 2,500 manholes and 6,000 building connections. Collectively,
       Boston's programs removed nearly three-dozen illicit connections last year that were
       discharging 12,000 gallons of sewage a day into the river.

   •   Cambridge Projects: Since the mid-1990s, Cambridge has spent more than $100 million
       on sewer separation and stormwater management activities. Over the next several years,
       Cambridge has earmarked more than $70 million for  additional sewer reconstruction
       projects. Among the biggest projects is separating storm drains from sewer pipes in the
       city's Agassiz  neighborhood,  a project that will result in  far fewer discharges from the
       Cottage Farm Combined  Sewer facility, the largest discharge source on the Cambridge
       side of the river. Another significant project is a $30 million effort to eliminate 90 million
       gallons  of  combined  sewerage  that presently  flows  into  the Charles  from  the
       Cambridgeport neighborhood during heavy rains.

   •   Watershed-Wide Stormwater Management Subcommittee: Boston and Cambridge have
       agreed  to  lead an EPA-sponsored subcommittee, created as part of the Clean Charles
       2005 Task Force, to make sure that all municipalities  in the watershed are doing all that
       they can  to reduce  stormwater  pollution into the river. Based on the significant
       knowledge and technical expertise of  these two cities, their  experience  will be a
       tremendous asset to other municipalities to identify and  correct inappropriate discharges
       into  the  river. Among the top priorities is the  development of a  comprehensive,
       systematic  illicit  connection identification  and elimination  protocol similar to the
       program being  used by Boston. EPA  intends to make comprehensive illicit removal

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APPENDIX 5: EPA Region I Charles River Project Press Release (continued)

   o   programs a requirement of each municipality=s stormwater management permits. EPA
       will monitor through annual reports the progress these communities are making toward
       eliminating all connections.

   o   Hot spot monitoring: Citizen watchdog Roger Frymire of Cambridge has helped identify
       bacterial loads to the river, which  have allowed EPA to direct municipalities, including
       Waltham,  Boston,  Watertown and  Brookline,  to  give  immediate attention to  these
       discharges. In the  year ahead, EPA will continue to look  for such  hot spots with
       Frymire's help.

For more information  about  EPA's  Clean Charles 2005 project, visit  EPA's  web site at
http://www.epa.gov/region01/charles/index.html.
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APPENDIX 6: Nitrogen Trading by Connecticut POTWs

Connecticut Pre-proposal to the United States Environmental Protection
Agency

Innovations Grant Program
August 19, 2002

Submitted by
Connecticut Department of Environmental Protection
Bureau of Water Management
79 Elm Street
Hartford, CT 06106-5127

Monitoring of Municipal Sewage Treatment Plants For Pollutant Credit Exchange and
Compliance

Summary
The Connecticut Department of Environmental  Protection  (DEP) is implementing legislation
authorizing the issuance of a watershed general permit to regulate the discharge of nitrogen from
municipal point sources and the institution of a nitrogen credit-trading program pursuant to the
approved Total Maximum Daily Load (TMDL) for Long Island Sound. The General Permit (GP)
issued  by  DEP regulates  79 publicly-owned wastewater  treatment works (POTW)  located
throughout the  state of Connecticut and establishes the most expansive  program of water
pollutant trading in the U.S. This program is  projected to save the state $200 million in capital
construction costs and will accelerate the schedule for meeting the TMDL wasteload allocation
(WLA) for point sources by providing economic incentives for those POTWs that move quickly
to remove nitrogen and comply with the limits in  the GP. There is potential to expand this
approach within Connecticut to other sources, including nonpoint sources. It  can also serve as a
model for other states that are  facing similar TMDL implementation challenges not only as a
cost-effective approach to reducing a pollutant from numerous sources, but also as an innovative
approach  to integrating the allocation of State Revolving  Fund funding with permitting and
enforcement programs.

Despite the anticipated value and cost savings from implementing the Nitrogen Credit Exchange
(NCE) in  Connecticut, there  are concerns  over  the reliability  and  accuracy  of standard
monitoring protocols.  The GP  sets monitoring frequency based on plant size. Facilities  with
design flows  greater than or  equal to 10 MGD are  required to monitor the final effluent at a
minimum frequency of twice  per week  while  smaller  plants  are required  to monitor  at a
minimum of once per week. Each sample must be  a 24-h  composite sample and be analyzed
according to methods approved  by  EPA. While it is believed that this frequency will be adequate
to characterize  an individual plant's nitrogen load  and  that analytical protocols are proven
suitable for wastewater analysis, local plant variability and weather effects may produce enough
statistical  error to require additional analyses. There have been  no detailed  studies of effluent
nitrogen variability on daily to weekly time scales at Connecticut facilities. Given the economic
impact of the nitrogen trading program at municipal and state levels, DEP needs to  provide
assurance that monitoring to generate credits  is reasonably accurate  and conducted at the most
cost-effective frequency possible. Further, this evaluation will assist scheduling of compliance
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checks and reduce the possibility that nitrogen loads to Long Island Sound are erroneously under
reported.

Background
Over the past decade, DEP has worked with the EPA Long Island Sound Study (LISS) and the
Water Environment Research Foundation (WERP) to develop a framework for a Nitrogen Credit
Trading Program. Connecticut and New York jointly drafted the TMDL to address seasonal low
oxygen problems in Long Island Sound and with its approval in early 2001, Connecticut is faced
with reducing nitrogen loads  from 79 POTWs scattered throughout the state. Nitrogen is the
primary pollutant linked to an  extensive low-oxygen (hypoxia) problem that affects up to half of
Long Island Sound's  1300 square miles of bottom during periods of summer stratification when
bottom waters are prevented from  mixing with surface waters. The nitrogen fuels the growth of
algae, which eventually decays after it settles to  the  bottom  of the  Sound.  The Sound  is so
heavily enriched that  the microbial decay drives oxygen to levels low enough to create unhealthy
or even lethal conditions for aquatic life.

The TMDL1 to correct this problem, which was approved by the EPA in April 2001, requires a
58.5% reduction in baseline anthropogenic nitrogen loads from sources in Connecticut and New
York by the year 2014. Using the trading framework developed by the  LISS and WERF2 as a
starting point, DEP proposed  legislation3 to establish a nitrogen general permit and a nitrogen
credit-trading program for municipal point sources throughout Connecticut. Public Act 01-180
was passed in June 2001  and established a Nitrogen Credit Exchange (NCE) to be guided  by a
Nitrogen Credit Advisory Board (NCAB) under the authority of the Commissioner of the DEP.

The Nitrogen General Permit  is  key to the success of Connecticut's trading program. It
collectively regulates 79  POTWs located throughout the state  and establishes the basis for the
most expansive program of water pollutant trading in the U.S. The GP sets annual nitrogen limits
for each  POTW that  are increasingly stringent until the final WLA is attained in 2014. POTWs
can comply by either treating  or by  purchasing  credits from the Nitrogen  Credit Exchange
annually. The nitrogen credit-trading program is both innovative and essential to resolve the
complex water quality problems in Long Island Sound in a cost-effective manner. The proposed
program links together Connecticut's existing general permitting authorities, the State Revolving
Loan Program (SRF)  and  other salient features of state and federal laws to form a comprehensive
regulatory  program to  assure compliance with  Connecticut's  nitrogen  reduction  requirements
under the TMDL. However, the success or failure  of this program, and the improvement to the
health  of LIS, rely heavily on  our ability to accurately monitor nitrogen loads from the 79
facilities incorporated in the GP.

TASK1
The first task under this proposal  would be to conduct high-intensity monitoring at four to six
municipal POTWs representing  a range of sizes, nitrogen removal capability,  and susceptibility
to weather changes (e.g., infiltration from wet conditions). Samples would be collected at the
facilities by automatic sampler for later analysis. One larger facility would be  selected to utilize
online  real-time nitrogen analysis systems. The  real-time analysis system will be installed and
operated for a period of one year. The facility utilizing the online real real-time system would
also conduct the same high-intensity monitoring. Laboratory analyses would be conducted using

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APPENDIX 6: Nitrogen Trading by Connecticut POTWs (continued)

EPA standard protocols  under  an approved  EPA Quality Assurance Project  Plan  (QAPP).
Frequency would be at least four times per day over a two-week period once during each of four
seasons.  This sampling strategy  would experience a  full range of wet/dry and  warm/cool
conditions that might affect nitrogen  removal  capability, and would also fully examine day to
day fluctuations in effluent nitrogen strength.

Data would be analyzed statistically to identify and develop a  sampling scheme that would
maximize precision in monthly  nitrogen load calculations.  It is possible that certain conditions
might need to be targeted for more frequent sampling,  such as higher spring flows that might
vary with rainfall,  or  certain days of the week that  might reflect maximum or  minimum
concentrations related to business days vs.  weekend conditions. The data could also help guide
compliance monitoring programs to ensure  reliable, yet cost-effective checks on self-monitoring
programs. In both cases, it  is the desire of DEP to gain the most reliable  nitrogen  load
estimations with the minimum resources, saving money for the municipalities and  DEP while not
compromising the credibility of the NCE.

TASK 2
In addition to the first year's assessment of monitoring, DEP proposes to evaluate the program's
effectiveness in regulating point source discharges as related to the accuracy of nitrogen  load
estimates. Because the first  year of operation of the NCE (2002) will be  based on  the
requirements of the GP noted above, this monitoring study will allow estimates  of error under
GP protocols compared to proposed revisions in the monitoring  program that the study might
support. Since one  possibility is that the GP monitoring requirements are excessive, it will also
be possible  to demonstrate what significance  there might  be to an increase in sampling error
under a reduced sampling schedule. Any number of "what if scenarios can be constructed using
the database generated in this study, allowing an optimal monitoring program to be selected from
a range of potential error conditions.

TASK 3
The third task would  seek to maximize efficiency of quality assurance  for individual facility
monitoring programs (e.g., duplicates, blanks) and frequency of independent (e.g., DEP)  split
sampling or compliance sampling. This analysis of the data would focus on error in split  and
duplicate samples, perhaps using two labs for some  of the  analyses,  to ascertain level of
reliability at the facility level and increase value of compliance sampling at the  state level. An
attempt will also be made to identify attributes associated with  unreliable data  or operational
problems leading to development of a "risk-based" compliance/technical assistance program.

Broader Application
Connecticut has embarked on a complex, but highly innovative, general permitting and trading
program that has not been implemented to this degree anywhere else  in the U.S. Of prime
consideration in evaluating the success of the point source  program being implemented in 2002
and the potential for change in sampling frequency and timing, including compliance sampling
without compromising nitrogen load estimation accuracy. In addition is the learning value it may
hold for other states implementing complex TMDLs that require accurate reporting of pollutant
loads. Estuaries like the Chesapeake Bay and Gulf of Mexico are addressing hypoxia problems
similar to those observed in Long Island Sound and are planning and implementing nutrient

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APPENDIX 6: Nitrogen Trading by Connecticut POTWs (continued)

control programs in multi-state areas. The successes and failures of Connecticut's program will
yield valuable lessons for these and other areas where closed system  trading under a general
permit makes economic and environmental sense and the credibility of the program relies on
accurate monitoring of effluent parameters.

Deliverables
Final products of this project will include:

    1.  A technical assessment of the intensive monitoring effort along with a comparative
       analysis of utilization of online  real-time nitrogen analysis. (Task 1)
    2.  An evaluation of the change in error related to a range of monitoring schedules (Task 2)
    3.  An evaluation of quality assurance sampling and compliance sampling (Task 3)

Budget (estimatedfor a two-year study effort) [REDACTED BY US EPA]

References

    •   New  York  State  Department  of  Environmental  Conservation  and Connecticut
       Department of Environmental Protection. 2000. A total maximum daily load  analysis to
       achieve water quality standards for dissolved oxygen in  Long Island Sound. NYSDEC
       and CTDEP, 57 p.
    •   Water Environment Research Foundation.  1999. Nitrogen credit trading for Long Island
       Sound watershed. R.E. Moore,  M.S. Overton, R.J. Norwood and D. DeRose, Pis. WERF
       Final Report RFP 97-IRM-5.
    •   Substitute Senate Bill No.  1012.  2001. An act concerning nitrogen reduction in Long
       Island Sound, Public Act No. 01-180. Connecticut General Assembly.
    •   General Permit for Nitrogen Discharges
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APPENDIX 7:  California Regional Blueprint Planning Program (http://calblueprint.dot.ca.gov)
California Regional Blueprint Planning Program
The  Regional Blueprint Planning Program is intended to better inform regional and local
decision-making, through pro-active  engagement of all  segments of the population as well as
critical stakeholders in  the community, business interests, academia, builders, environmental
advocates, and to foster consensus on a vision and preferred land use pattern. It is anticipated that
the regional  blueprint  planning grants  will  build capacity  for regional collaboration and
integrated planning that will in turn enable regions to plan to accommodate all their future
growth, thereby reducing need for sprawl.

The grants for regional  collaborative decision-making will lead to adoption of blueprint plans
that will:

1. Foster a more efficient land use  pattern that (a) supports  improved mobility and reduced
dependency on single-occupant vehicle trips, (b) accommodates an adequate supply of housing
for all incomes, (c) reduces impacts on valuable habitat, productive farmland, and air quality, (d)
increases resource use efficiency, and (e) results in safe and vibrant neighborhoods.

2. Provide consumers more housing and transportation choices.

3. Improve California's economic competitiveness and quality of life.

4. Reduce costs and time needed to deliver transportation projects through informed early public
and resource agency involvement.

5. Secure local government and community support, including that of under-represented groups,
to achieve the resulting  comprehensive vision through  including  innovative computer models
and public involvement activities.

6. Establish a process for public and stakeholder engagement that can be replicated to build
awareness of and support for critical infrastructure and housing needs.

The regional  blueprint efforts will include development of regional performance measures that
can measure progress toward the region's own vision for future land use and transportation. Each
region will also select  several statewide performance  measures to measure progress toward
statewide transportation  system and housing goals.
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APPENDIX 8:  Envision Utah (http://www.envisionutah.org)

Introduction to Envision Utah

By the year 2020, the Greater Wasatch Area of Utah will add a million more residents, two-
thirds of whom will be our own children and grandchildren. From Brigham City to Nephi and
Kamas to Grantsville, Utah, residents breathe the same air, share common water sources and use
the same roads as we drive to work, shopping and recreation. Just as Utah's founders planned for
the future of our valley, we must work together today to preserve the quality of life in our
growing communities.

In January 1997, the Envision Utah Public/Private Partnership was formed to guide the
development of a broadly and publicly supported Quality Growth Strategy - a vision to protect
Utah's environment, economic strength, and quality of life for generations to come. Five years of
scenarios analysis, research and public involvement have helped Envision Utah bring the topic of
planning and preparing for growth to the forefront of the public mind. With the help of thousands
of Utah residents, Envision Utah has developed a Quality Growth Strategy that will help
preserve critical lands, promote water conservation and clean air, improve our region-wide
transportation systems, and provide housing options for all residents.

Envision Utah's goal throughout the process has been to involve key decision-makers and the
community to gain support at the ground level. Building grass roots support for the project will
ensure successful implementation. The Envision Utah  effort has included research concerning
core values of Utah residents, workshops with key stakeholders to address where and how to
grow, and extensive public awareness and education efforts asking Utah residents to express
their preferences for their communities' future. The Governor's Office of Planning and Budget
coordinates a technical committee, Quality Growth Efficiency Tools (QGET), which provided
critical technical information to help analyze the impacts of growth on transportation, air quality,
land use, water supply/demand, and infrastructure costs. Through the exhaustive involvement of
the public, local and state elected officials, the business, civic, and religious communities, and
other key stakeholders, Envision Utah has gathered information about what Greater Wasatch
Area residents value and how they think growth should be accommodated. Based on this
information, Envision Utah identified six primary goals that need to  be addressed in the Greater
Wasatch Area if we are to protect our environment and maintain our economic vitality and
quality of life as we accommodate anticipated growth:

   •   enhance air quality;
   •   increase mobility and transportation choices;
   •   preserve critical lands, including agricultural, sensitive and strategic open  lands;
   •   conserve and maintain availability  of water resources;
   •   provide housing opportunities for a range of family and income types; and
   •   maximize efficiency in public and  infrastructure investments to promote other goals.

These goals can be realized over time by the careful and deliberate pursuit of the thirty-two
individual strategies identified by Envision Utah in the Quality Growth Strategy. These strategies
rely on citizen involvement with local officials, local land-use decision making and more
awareness of free market needs in housing choices. Cooperation at the regional level, state
incentives to local governments and local government incentives to developers will also be

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necessary to address issues such as air quality, water conservation, housing opportunities,
transportation, and critical lands.
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APPENDIX 9: Jefferson Area Eastern Planning Initiative
(http://www.tjpdc.org/community/epi.asp)

Jefferson Area Eastern Planning Initiative

Building Livable Communities

The small city and rural areas  that make up the Charlottesville, Virginia  region are growing
rapidly. While growth stimulates new economic and cultural resources, many are concerned that
the natural beauty of the Blue Ridge Mountains and the historical ambience of Monticello are
being encroached upon by  strip commercial development  and  dispersed subdivisions.  These
concerns  prompted  the  Sustainability Council  of the Thomas  Jefferson Planning District
Commission (TJPDC) to develop the broadly supported 1998 "Sustainabilitv  Accords".

In January 2000 the TJPDC launched the Jefferson Area Eastern Planning Initiative (EPI)  with a
grant  from the  Federal Highways Administration  (FHWA^ Transportation &  Community &
System Preservation  (TCSP) Program. The EPI Advisory Committee, made up  of elected
officials, residents, and  leaders from  business, development, environmental and  community
groups, met eleven times and hosted four public workshops during the two-year study, focusing
on three key questions:

   •   How will we live? -  In what types of communities do we want to live and work  by the
       year 2050?
   •   Where will we live? - What areas in the region are suitable for urban development and
       what areas are off limits?
   •   How will we get there? - What steps are needed to move the region from where it  is  now
       to the desired types of communities and growth patterns?

How will we live?

Community Elements

How  can  community design improve everyday  quality of life? The  project team developed
drawings  and spreadsheets  describing the physical characteristics of 17 existing community
types  or "elements" throughout the region, from Charlottesville  neighborhoods  to small  towns
like Stanardsville and Palmyra. Each element was scaled to a 12 mile  circle, about a S-minute
walk  from edge to center, which made it easy for participants to visualize  and  compare them.
Residents  evaluated the community elements based on personal perspectives and the regional
Sustainability Accords. The team  then developed enhanced urban and suburban community
elements, showing how more compact growth could occur over time.

Designing Desirable Communities

These design principles were developed by observing our region's historic communities, and can
be applied to downtown neighborhoods, growing suburbs, or rural small  towns.
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APPENDIX 9:  Jefferson Area Eastern Planning
Initiative (continued)

   •   Create a focal point that establishes community
       identify
   •   Provide a  variety  of activities to  encourage
       interactions and improve convenience
   •   Design  buildings and distances at  a pedestrian
       scale
   •   Provide options to  walk,  bike, drive,  and use
       transit
   •   Make open spaces accessible and available

                                                    The Urban Mixed Use design combines a healthy
                                                    mix of housing, workplaces, shopping, culture and
                                                    recreation within a 5-minute walk.
NOTE: The EPI  is  called "The  Eastern  Planning
Initiative" because our funding  required us to  study the faster-growing, or Eastern, portions of
the five-county region. Although not part of the  original study, Nelson County has  recently
adopted a new Comprehensive Plan based on the EPI principles.

Where will we live?

Regional Growth Scenarios
Through games developed by  the  project team,
residents   created  maps  of   possible   future
development patterns  by clustering  community
elements. Using  the  CorPlan  model, the  team
converted  the  maps   into three scenarios  that
compared   impacts   on  transportation,   land
consumption,   and  other   factors  from  the
Sustainability  Accords.  The reaction from the
public at  the  workshops was clear:  residents
rejected  a  dispersed,  low-density  pattern,  and
preferred clustered enhanced communities along
major corridors and key crossroads.

The Dispersed Scenario shows  what can happen by the year 2050 if recent development trends
continue. Suburban communities will  continue to spread  north along US 29 and east along US
250. A large network of wider  roads and bypasses costing about $1 billion will be needed, and
transit will not be feasible outside the core city. The Town Centers and Urban Core scenarios, by
contrast, feature urban and enhanced  suburban community elements as the building blocks for
development. Growth would be concentrated in and around Charlottesville, with varying options
for growth at major crossroads (Town Centers) or around existing villages and towns (Urban
CoreL and CoreM).
How the Scenarios Compai

Percent Farms & Forests
Percent Developed
Percent Living in
Clustered Communities
Percent Non-Auto Trips
Annual Gallons Gas
Consumed (billions)
Percent Travel Congested
Water Quality & Quantity
•e
Dispersed
55%
45
13
4
155
44
Poor

Town
Centers
64%
36
61
15
121
27
Good

Urban
Core
65%
35
68
18
110
20
Good
APPENDIX 9: Jefferson Area Eastern Planning Initiative {continued)

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The transportation system for the alternative scenarios is based upon a pedestrian-friendly street
network in the development areas and allows for extensive expansion of the transit system,

including rail or bus rapid transit if the community wishes. Large freeways around the city would
not be necessary. The street system would cost about $500 million, half as much as the network
required  by the Dispersed Scenario.  The table below shows  some real differences  in  the
scenarios. While all would accommodate the same anticipated growth of people and jobs, the
alternative scenarios  would consume much less land  and  reduce overall roadway congestion
significantly.

How will we get there?

Building Success

The Advisory Committee and the public agree that business as usual  is not a preferred course.
They  also agree that changing course could be quite a challenge. They asked questions such as:
Is it possible to build walkable communities in our auto-oriented society? Is it possible to cluster
communities in areas where growth makes sense? Is  it possible to change the  way roads are
planned and built? Is it possible for all localities to agree on a coordinated approach? What
happens if not everyone buys into this new approach?

To address  these challenges, the Advisory Committee recommends  that the localities in the
region work together to achieve the keys to success listed to the right. Some have already been
initiated or are under consideration. Albemarle County has defined designated development areas
in its comprehensive plan and recently incorporated the Neighborhood Model, a blueprint for
livable communities, into its plan. Fluvanna County  is updating its zoning ordinance; Nelson
County is incorporating community elements into its comprehensive plan and zoning ordinance.
Charlottesville recently completed a Commercial Corridor Study to promote livable communities
and is rewriting  its zoning code, and Greene County  is now embarking upon a comprehensive
plan update. TJPDC just completed a Regional Economic Development Plan and is developing
the UnJAM 2025 transportation plan that meshes the  MPO's goals for the urban area with new
visions for the rural areas.

The  Advisory Committee lauds the region's  localities for all their efforts to  work toward a
sustainable future and presents this study as an  important resource in taking another important
step forward.

Dispelling the Myths

Myth 1 - We Can Build Our Way Out Of Congestion

Building new freeways and widening roads encourages development to spread, making trips
longer and causing growth in overall vehicle miles traveled. The net result is more congestion.
The EPI found that the number of congested miles driven under the Dispersed Scenario is nearly
twice that of the Town Centers and Urban Core Scenarios despite adding twice the number of
roadway lane miles.
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APPENDIX 9: Jefferson Area Eastern Planning Initiative (continued)

Myth 2 - Density Causes Congestion

It is logical to think that more density leads to more congestion. But combining local trips into
well designed compact development areas actually reduces congestion for two reasons: 1) typical
trips are shorter, resulting in fewer vehicle miles driven, and 2) people can choose to walk,
bicycle or take transit at least some of the time. The EPI analysis confirms this. The more
compact Town Centers and Urban Core Scenarios result in half the congestion of the Dispersed
Scenario with far fewer road investments.

Myth 3 - Density Is Unattractive And Not Marketable

The EPI  scenarios, in response to strong preferences expressed by local  residents, don't call for
any new or existing communities to exceed the density of downtown Charlottesville (buildings
up to four stories high and five or fewer single family homes per acre). The urban and enhanced
suburban communities are able to accommodate more people and  jobs by organizing streets,
parking,  public  spaces and buildings more efficiently so suburban  places can  gradually fill in
with attractive, livable amenities. It is primarily the proximity and improved connectivity of the
enhanced elements that allows  more people to live and work in them,  not always  bigger
buildings or smaller yards. Nationally, these types of community  designs are faring quite well in
the marketplace.

Myth 4 - Controlling Growth Causes Housing Prices To Increase

Limiting the amount of developable land would raise housing prices  if demand exceeded supply.
But all of the EPI regional scenarios allow enough land for the anticipated growth. The amount
of land needed for new development under the Dispersed scenario is twice what is needed for the
other scenarios because virtually all new development would spread into suburbs and rural areas.
The alternative scenarios assume that new development  would be focused in  urban centers,
enhanced suburban communities, small  towns and  villages.  These mixed-used community
clusters  naturally feature  a variety of housing  types  and prices, just as they do today in
downtown  Charlottesville and the village of Palmyra. Localities can further boost a variety of
housing in targeted areas through incentives such as location efficient mortgage programs and
regulations such as inclusive zoning.

Myth 5 - Everywhere Will Look Like Downtown Charlottesville

Participants at  EPI workshops  and the Advisory Committee  agreed that  a  wide variety of
community types and land uses were desirable. The key to improving future development  is to
make enhancements to several community types,  especially in suburban areas, such as giving
them  focal points  and  making  them walkable. The alternative scenarios feature a variety of
community types including urban, enhanced suburban, and traditional suburban areas as well as
small towns  and  villages. Many  people will also  choose to live in rural areas,  but the
convenience and attractiveness  of the targeted development centers will help localities target
most new growth to community centers and preserve open spaces rather than having no choice
but to spread out into farm and forestland.

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APPENDIX  10:   Greenseams  Program     Milwaukee  Metropolitan  Sewerage  District
(http://www.mmsd.com/floodmanagement/greenseams.cfm)

Greenseams

Land is the one thing we cannot make more of and MMSD is working hard to preserve what is
needed  to  help  prevent future flooding in the region.  Greenseams is an  innovative  flood
management program that permanently protects key lands containing water absorbing soils. The
program also aims to preserve land along stream corridors that connects the region's supply of
public properties.

                                           By  storing and draining water into the ground
                                           naturally, Greenseams provides added support
                                           and protection for MMSD's structural flood
                                           management projects -  infrastructure
                                           investments worth hundreds of millions of
                                           dollars.

                                           Greenseams identifies and purchases
                                           undeveloped, privately  owned properties in areas
                                           that are expected to have major growth in the
                                           next 20 years and parcels of open space along
                                           streams, shorelines and wetlands. Sales are
                                           completely voluntary.
Figure 1: Forest

                                           MMSD hired The Conservation Fund (TCP) to
run Greenseams. TCP is a national non-profit conservation organization that forges partnerships
to protect America's legacy of land and water resources. TCP performs high volume real estate
transactions for local land trusts and government agencies throughout the country.

                                           All  land acquired will remain as open space,
                                           protecting water and providing  the ability to
                                           naturally store rain and  melting snow in critical
                                           areas. Wetlands maintenance and restoration at
                                           these sites will provide  further water storage.

                                           In addition, preserving the properties also saves
                                           wildlife habitat and creates recreational
                                           opportunities for people living in the region.
                                           Where applicable, the properties can be used by
                                           the  public for hiking trails, bird watching, and
                                           other passive recreation.
Black-eyed Susans on Hanson property
Partnerships
One of the great benefits of Greenseams is the formation of key partnerships throughout the
Milwaukee region. Each property acquired will be owned and managed by a local community or
land trust and subject to a conservation easement held by MMSD. Conservation
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APPENDIX 10: Greenseams Program - Milwaukee Metropolitan Sewerage District (continued)
easements ensure that the land remains open space forever.

A number of grant programs are used to leverage MMSD funds for Greenseams. In 2004, the
United States Fish and Wildlife Service's Partners for Wildlife program contributed $7,900 and
in-kind services towards restoration of three Greenseams properties. Also, MMSD and 5 other
partners secured a North American Wetlands Conservation Act (NAWCA) grant, which
provided Greenseams $130,000 to use for land purchases in 2005. In addition, the Wisconsin
Department of Natural Resources Stewardship Program and the Wisconsin Coastal Management
Program have recently contributed $575,417 and $147,400 respectively to help fund the purchase
of Greenseams properties.

Spreading the word about the program
The Greenseams program is a unique approach to flood management and is touted as model land
use technique at various forums, conferences and in other municipalities.

                                           Recent publicity has included:

                                           Wisconsin Chapter of American Planning
                                           Association Annual Conference
                                           University of Wisconsin- Milwaukee
                                           Land Trust Alliance
                                           City of Ann Arbor
                                           Civil Engineering News
                                           Izaak Walton League
                                           National Association of Counties
                                           Wisconsin Association of Floodplain Managers
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                 UNITED STATES ENVIRONMENTAL PROTECTION AGENCY
                                WASHINGTON, D.C. 20460
                                     APR  24
                                                                          THE ADMINISTRATOR
 Mr. John L. Howard, Jr.
 Chair
 National Advisory Council for
  Environmental Policy and Technology
 1200 Pennsylvania Avenue, N.W.
 Washington, D.C. 20460

 Dear
             : the National Advisory Council for Environmental Policy and Technology and its
 Sustainable Water Infrastructure workgroup for the recommendations provided for Phase I of
 their charge.  The findings and recommendations give a truly comprehensive view of the issues
 before the group, and EPA has been striving to incorporate them into its efforts.

       The Office of Water has carefully reviewed the report's 26 recommendations and
 continues to incorporate them into its policies and programs. For example, one of the main
 points emphasized throughout the report is the need for EPA to redouble its efforts at outreach
 and marketing of watershed approaches to infrastructure. We believe that your comments hold
 true for the entire Sustainable Infrastructure Initiative, and we are working with our partners to
 expand outreach and the mechanisms through which we get feedback on its effectiveness. For
 instance, the Office of Water is:

    •   Expanding its collaboration with the Local Government Advisory Committee to develop
       strategies and tools to reach local officials;
    •   Engaging the participants in the National Estuary Program to enlist their help in
       promoting watershed approaches to infrastructure using their extensive capacity for
       outreach and fostering collaboration;
    •  Pilot testing customer satisfaction surveys in review of select products we complete; and
    •  Securing consultant services to develop a formal marketing plan for the SI Initiative.

      Several of the recommendations also pointed to ways EPA could work better with the
U.S. Department of Transportation on watershed issues. To that end, the Office of Wetlands,
Oceans, and Watersheds is establishing a liaison who can serve as a focal point in our
interactions with DOT.  This liaison will be tasked with expanding and improving the
effectiveness of our collaborations with Transportation.
                           Internet Address (URL) • http://V/ww epa gov

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       In addition, the recommendations pointed to the need for improving and centralizing
leadership on the Watershed Pillar, which was previously shared among several people. The
Office of Water has now assigned a single person to the task to improve its internal organization
of efforts under the Pillar.

       While these are just a few examples, know that EPA will continue to incorporate the
workgroup's ideas and thinking into its efforts to promote watershed approaches to
infrastructure. I greatly appreciate the effort and thought that went into NACEPT's report and
look forward to the workgroup's report on Part II of the charge.
                                  Si

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