UNITED STATES SNVIRPNMENTAL PROTECTION AGENCY


SUBJECT:  Summary of the Clean Water Amendments  of 1977

                           '•' '     /  •'
  FROM:  Charles S. Warren(^,-,''*- - -'-  ^ '•
        Director for Legislation

    TO:  Administrator
        Deputy Administrator
        Assistant Administrators
        Office Directors
        Regional Administrators

             Attached is a surnnary of the Clean Water Act of 1977,
        P.L.  95-217.  The sections are  listed  in the order dealt
        with  in the Statement o* Managers,  H.  Rept.  95-830, pages
        50-114.

             For easy reference, an index precedes  the summary which
        lists the section of the Clean  Water Act and the amended
        section in the basic law,  the Federal  Water Pollution
        Control Act Amendments cf  197.2, P.L. 92-500.
       Attachment
EPA F«rm 13204 '*•«. 3-741

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                                     CONTENTS
                          P.L.  95-217,  Clean Water Act of. 1977
Page
1     Authorization Approval

1    Authorization Extensions


1    State Jurisdiction (Water Rights)

2    Estuarine Study

2    Clearinghouse for Alternative Treatment
     Information

2    Assistance for Research and Demonstration
     Projects

2    Training Grants

2    Grants for Innovative and Alternative
     Technology


3    Recreation and Open  Space

3    Individual Systems

3    Combined Grants

3    Contract Enforcement

4    Reserve Capacity

                                            (i)
                                                       Section of
                                                     Clean Water Act
                                                        of 1977,
                                                       P.L. 95-217
                                                            3

                                                            4.
                                                            6


                                                            7


                                                            8

                                                           10


                                                       9, 17, 28, 60


                                                           13

                                                           14

                                                           18

                                                           19

                                                           21
Amending Section
or New Section of
  P.L.  J2-500
   104, 106, 112,
   314, 517
          , 102(d)

   104(n) (3)


   104(g)
   109(b)
       j) , 202(a)
   205(i)
   201 (h)
    203(e)

    204(a) (5)

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                                                       Section, of
                                                     Clean Water Act
                                                        of 1977,
                                                       ".L.  95-217
                                                                   Amending Section
                                                                   or New Section of
                                                                      P.L.  92-500
4

4


4

6

6


6

6

6

7

7


7

7

7

8

8

8
User Charges

Industrial Coat Recovery


Allotment

State Management Assistance

Set-aside for Alternative rSystems for
Small Communities

Reimbursement and Advance Construction

Construction Grant Authorization

Areavide Planning—208

Areawide Waste Treatment Management

Irrigation Return Flows


Agricultural Cost Sharing

Grant Eligible Categories

Requirements for American materials

Determination of priority

Cost-effectiveness guidelines

Contract Authority
t.1
t'\

25
26
27
29
30
31
32
33

35
36
39
40
41
31
204
204
204
205
205
205
206
207
20R
208
208
502
208
211
215
216
217
208
(b) (1) (2) (5)
(b, (3) (6) ,
(c)
(a)
(g)
(h)


(b) (f)
(b) (2) (A)
(b) (2) (F) ,
(14) , 402(1)
(j)
(b) (c)



(f) (3)
                                        (ii)

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                                                      Section of
                                                    Clean Water Act  Amending Section
                                                        of 1977,     of New Section of
                                                      P.L. 95-217       P.L. 92-500^
Page             Title III

 8     Modification of  Secondary  Treatment
      Requirement

 9     Municipal Time Extensions

 9     Procedure for Modification

10    Innovative Technology

10     Information and Guidelines

10     Best Management Practices  for industry

10    Interagency Agreements

11    State Reports

11    Toxic Effluent and Modification of
     Best Available Technology Requirement


12    Pretreatment

12    1977 Deadlines

13    Mitigation Costs

13    Oil Spill Liability

13    Marine Sanitation Devices

13    Federal Facility Compliance
44
45
4f,
47
48, 49
50
51
52
42, 43, 46,
53, 73
54
56
57
58
59
61
301
.301
303.
301
304
304
304
305
301
307
309
311
311
312
313
(h)
(c)

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                                                            Section of
                                                          Clean Water Act  Amending Soctior
                                                             of 1977,      of New Section of
                                                            P.L. 95-217       P.L. 92-500
Page

14   Clean Lakes

14   Aquaculture

14   Compliance with State Requirements

14   EPA Issuance of Permits

14   Enforcement of Municipal Permits

15   Permits for Dredge and Fill Material and
     State Programs for Best Management Practices

\5   Amendments to 208

16   Sludge Disposal

16   Emergency Fund

16   Combined Sewer Overflows

16   Utilization of Treated Sludge

16   Cost Recovery Study and Water Conservation

16   Miscellaneous Amendments
62

63

64

65

66


67



68

69

70

71

72,  75

74,  77,  78
314(b),  304(j)

318

401

402(d)

402(h)

404, 204(b)
405

504

516(c)

 516(d)

 516,  204(b)(3)
 204(a)(5)
                                        (iv)

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         SI3MMAHY OF P.L. 95-217, CLEAN WRIER ACT OF 1977


     Section 2.  Title—"Clean Water Act of  1977" which may  be
cited as the "Federal Water Pollution  Control Act."

Authorization Approval

Authorizes funds for FY 76, FY 77, and the transition quarter,
which previously were appropriated by  Congress.

Authorization Extensions

Authorizes extensions of the following authorizations:

     Section 104(u)(2)—manpower  training:   not  to  exceed
    $2,000,000 for FY 77 and $3,000,000 for  FY 78 - 80.

—   Section 104(u)(3)—manpower  forecasting:  not  to exceed
     $1,000,000  for FY 77 and $1,500,000 for FY  78  - 80.

     Section 106{a)(2)—program grants to States:  $100,000,000 for
     FY 77 - 80.

—.  Section 112(c)--training grants  and scholarships to
     colleges:   $6,000,000  for FY 77;  $7,000,000 for FY  78,  79.

     Section 20-8 (f)(3)—grants for developing  and operating
     areawide waste  treatment management plans:   $150,000,000
     for FY 77 - 80.

     Section 314(c)(2)—Grants for the Clean Lakes  Prooram:
     $50,000,000 for  FY 77;$60,000,000 for FY  78 -  80."

—   Section 517—general  authorization:   $100,000,000 for
     FY 77; $150,000,000 for FY 78 -  80.

     Conferees also  expect  the Agency  to design  the budget
     for FY 79 so that appropriation  requests  will  specifically
     reflect applicable authorizations (pg.  51,  Kept. 95-830).

                 State Jurisdiction  (Water Rightsi

     Section 101(g)(1)—It  is the policy of  Congress that the
     authority of States to allocate quantities  or  rights
     to quantities of water shall not  be superseded, abrogated,
     or impaired by  this Act.

     Federal agencies shall cooperate  with States to develop
     comprehensive solutions to prevent, reduce, and eliminate
     pollution in concert with programs for  managing water
     resources.

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                         -2-
Secticn 102(d)—EPA, in consultation with River Basin
Commissions/  shall submit a report and recommendations
by July 1, 1978, on the relationship of the Clean Water
Act and State and Federal water allocation programs.

                  Estuarine Study

Accepted Administration amendment to require study every
six. Vfears  instead of three years.

            Clearinghouse for Alternative
               Treatment Information

104(g)(3)—Administrator shall establish within the
Agency., or through other public or nonprofit organiza-
tions , a national clearinghouse for the collection
and dissemination of information developed on alter-
native treatment technologies.

              Assistance for Research
            and Demonstration Projects
Section  105(i)  authorizes grants  for'operation  and
maintenance  costs  of  EPA-funded research and demon-
strat.'.on projects  to  reduce those costs to a level com-
parable  to  a conventional secondary treatment system;
limited  to  research grants  made prior to date of
enactment.

                   Training  Grants

Section  109  increases grants for  a training facility
from $250,000 to $500,000.   Grants may be exempt from
the priority list  requirements and, if grants are to
serve more  than one State,  an additional grant  may
be authorized for  a supplemental  facility in each of
tho.se States.  Nongovernmental employees would  be
eligible on a cost-reimbursable basis.

              Grants for Innovative and
               Alternative Technology
 Grants for treatment works utilizing alternative and
 innovative processes and techniques may be made if they
 are iu the public interest and if the life cycle cost
 of such treatment works is no more than 15 percent
 greater than the most cost-effective conventional
 alternative-  The Administrator is to promulgate
 guidelines clarifying and evaluating innovative and
 alternative processes and techniques within 180 days of
 enactment..

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                         -3-

Two percent of the funds allotted to a State for FY 79 ana.
FY 80, and three percent of a State's FY 81 allotment will
be set aside to increase grants for construction of treatnent
works utilizing innovative and alternative processes and
techniques from 75 tc 35 percent.

Of those funds set aside for alternative and innovative
processes, at least one-half of  one percent of a
State's allotment raurt be spent for innovative processes.

Floor statements in the Senate and House make it clear th'it
the sections on .innovative and alternative treatment should
not cause delays in the construction grant program.

             Recreation and Open Space

      No grants may be made after FY 78 unless the applicant
shows it has analyzed potential recreation and o-oen space oppor-
tunities  (201(g)(6)).

                Individual Systems

This section amends section 201 to permit grants for
construction of privately-owned treatment works where s. public
body applies for such grant on behalf of a number of such  -
units and will assure that such treatment works are properly
operated and maintained, and where such private service is
more cost-effective rhsn collection and central treatment.
It is limited to existing primary residences and small
commercial establishments.  User charges are required,  ^r.d
small commercial establishments must pay back their act-rib-
utable  Federal cost:s.  Ordinarily,  this authority is not to
be used to construct  srptic tanks .serving  individual :rssidences.

                  Combined Grants

This  section amends section 203, Plans, Specifications,
Estimates and Payments, to authorize the award of a combined
Step  2  and Step 3 grant in the case of a treatment works costing
less  than $2 million which will serve a population of 25,000 or
less.   In States which have unusually high  construction costs,
i.e., Alaska and Hawe.ii, the grant may be  increased to  S3 million.

               Contract Enforcement

Section 203(e)—At the request of a grantee, the Administrator
is authorized to provide legal and  technical assistance in
administration and enforcement of any contract dealing with
funds provided by Title II.  The Administrator is authorised to
intervene in any civil action involving the enforcement of
such  a  contract.

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                    -4-
            Reserve Capacity.

204(a)(5)  is amended to have the Administrator take
into account efforts to reduce total flow of sewage
and unnecessary water consumption when determining
reserve capacity.  Amount of reserve capacity eligible
shall be determined by considering population as
identified in an approved facilities plan, 208 plan,
or municipal master plan of development.

              User Charges

A user charge system other than Liettring may be used if:
(1) a system of dedicated ad valorem taxes is in effect
as of the date of enactment, (2^ it results in the dis-
tribution of operation and maintenance  (O&M) costs to
each user class in proportion to the contribution to the
total cost of operaton and maintenance by each user
class, (3) the applicant is otherwise in compliance
with the present law as regards- industrial users  (except
small nonresidential users may bf. defined by considering
constituent elements of such \»asV.es) ,  (4) applicant
must establish that funds for operation and maintenance
will be dedicated to O&M costs, anc1 (5)residential
users will be notified as to tha portion of total pay-
ment  for waste treatment services.
             Industrial Cost Recovery

 Administrator is authorized to  exempt  from  the  require-
ment of Industrial Cost Recovery (ICR)  small dischargers
whose daily flow rate is 25,000  gallons or less  of sanitary-
waste unless the discharge  interferes with,  contaminates,
or reduces the utility of the sludge.   (See  Cost Recovery
Study and Water Conservation page  16.)

                     Allotmenn

Funds to be allocated for the construction grant program
based on the following table:

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                        -5-
  State

Alabama
Alaska
Arizona
Arkansas
California
Colorado
Connecticut
Delaware
District of Col
Florida
Georgia
Hawaii
Idaho
Illinois
Indiana
Iowa
Kansas
Kentucky
Louisiana
Maine
Maryland
Massachusetts
Michigan
Minnesota
Mississippi
Missouri
Montana
Nebraska
Nevada
                   Pexcentage
                    1.2842
                     .4235
                     .7757
                     ,7513
                    7.9512
                     .5187
                    1.1072
                     .3996
              umbia ,3193
                    3. 83 56
                    1,9418
                     .7928
                     .4952
                    5.1943
                    2. "67 8
                    1.2.953
                     .3803
                    1.4618
                    1.2525
                    " .7495
                    2.7777
                    2.9542
                    4.1306
                    1.8691
                     .96^0
                    2. 4957
                     .3472
                     . 5505
                     .4138
    State

New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Ohio
Oklahoma
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Vermont
Virginia
Washington
West Virginia
Wisconsin
Wyoming
American Samoa
Guam
Puerto Rico
Trust Territories
Virgin Islands

     Total
Percentage

   .8810
  3.5715
   .3819
10.6209'
  1.9808
   .3107
  6.4655
   .9279
  1.2974
  4.3616
   .5252
  1.1766
   .3733
  1.5486
  4.3634
   ..4457
  ..3845
  1.9602
  1.7688
  1.7903
  1.9503
   .3003
   .0616
   .0744
  1.1734
   .1530
   .0378

100.0000
NOTE:—Allotments for the States of Alaska, Delawara, District
of Columbia, Idaho, Montana, Nevada, New Mexico, North Dakota,
South Dakota, Utah, Vermont, and Wyoming are less than 1/2 of
1 percent of the total allotment of treatment works construction
grant funds for a fiscal year.  Sec. 25(e)  of the Clean Water
Act of 1977 provides that for fiscal years 1978, 1979, 1980,  c.nd
1981, no State shall receive less than 1/2 of 1 percent of
the total allotment.  An authorization of $75,000,000 is
provided for each of these fiscal years to carry out this
provision.  The following States would share any amount appro-
priated under this subsection in the following percentages:
Alaska, 5.4449; Delaware, 7.1459; District of Columbia,
12.8612; Idaho, 0.3416; Montana, 10.8755; Nevada, 6.1352;
New Mexico, 8.4057; North Dakota, 13.4733;  South Dakota, 9.0178;
Utah, 3.8648; Vermont, 8.2206; and Wyoming, 14.2135.

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                              -6-

                 State Management Assistance

     The Administrator is authorized to reserve two percent
or $400,000, whichever is greater, of each State's construc-
tion grant funds to be used by the State to administer its
construction grant program.  Funds may be increased to assist
in administering the Section 402 permit program, statewide
208 planning, and responsibility for managing construction
grants for small communities.

     State management of the construction grants program and
the Sections 402 and 404 permit programs is declared to be
congressional policy.


              Set-aside for Alternative Systems
                    for Small Communities

     For FY 79.and thereafter, rural States  (25 percent of
total population living in places of 2,500 or less) shall
have four percent of their grant construction monies set
aside for alternative and unconventional systems for
municiralities of 3,500  or  less  (or for highly dispersed
sections of larger communities as the Administrator may •
define).   Floor statements  indicate that the four percent
is not  exclusive but may overlap the two percent set-aside
for urants  for alternative and innovative technology.
States  that  are  "non-rural"  may request the  set-aside.

            Reimbursement and Advanced Construction

     Costs  incurred  for treatment works begun under P.L.
84-650  and  under construction by July 1, 1973  (instead of
July 1,  1972), may qualify for reimbursement.

               Construction  Grant Authorization
     Authorizes  $4.5  billion  for  FY  78,  and  $5  billion
 annually  through FY 82.

                   Areawide Planning—208

     Any  statewide agency  designated as  the  appropriate
 planning  agency  after 1975, which received its  first grant
 before  October 1, 1977,  shall receive a  grant of  100 percent
 for the first two years, and  have three  years after the
 receipt of  the initial grant  to prepare  an initial  plan.

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                              -7-
             Areawide Waste Treatment Management

     A 208 plan must include an identification of open space
and recreation opportunities expected from improved water
quality, including potential use of lands associated with
treatment works.

                   Irrigation Return Flows

     This section drops irrigation return flows from the
definition of a point source and transfers them to the
section 208 areawide waste treatment planning program.
States are not precluded from regulating irrigation return
flows under the permit programs.

                  Agricultural Cost Sharing

     This amendment establishes a new program in the Department
of Agriculture, with the concurrence of the Administrator of
EPA, to give financial assistance for contracts with owners
and operators of rural land to implement long-term soil conserva-
tion for  improving water quality by reducing agricultural runoff
in accordance with certain conditions under approved 208 plans.
The Federal share would be as high as 50 percent to owners to
install best management practices.  Funds are to be used for
installation of control mechanisms and not day-to-day  costs.
Funds will come from USDA budget.

                 Grant Eligible Categories

     Two  amendments were made to section 211.   In determining
eligibility, EPA may use population density only for the pur-
pose of evaluating alternatives and in determining the needs
for a collection system  in relation to ground or surface water
impact.

     The  other  amendment provides that no grants under Title II
may be made for FY 78 through FY 82 for treatment works to
control discharges from  separate storm sewer systems.  Collec-
tor sewer eligibility remains limited to communities in existence
on October 18,  1972.

             Requirements for American Materials

     Construction grant  funds are to use only American-made
materials unless the Administrator determines,  based upon
those factors he deems relevant, including Agency resources,
that enforcement is inconsistent with the public interest,
the cost  is unreasonable, or articles are not reasonably
available.

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                              -8-
                  Determination of Priority

     States have the sole authority to determine the priority
to be given each category of projects unless EPA, after oppor-
tunity for public hearing, determines that certain projects
on the list will not contribute to the enforceable requirements
of the Act.  Upon such a determination/ the State shall sub-
stitute other projects for the rejected projects.  At least
25 percent of funds allocated to a State in any fiscal year
for construction under this Act shall be obligated for pipe-
related projects if they are on the State's priority list and
are otherwise eligible.

                Cost-effectiveness Guidelines

     A new section 217 provides that any guidelines for deter-
mining cost-effectiveness under Title II, published by EPA,
shall provide, that the identification and selection of cost-
effective alternatives meet the objectives and goals of this
Act.  The Statement of Managers said this section shall not
apply to collectors.

                     Contract Authority

      This  section makes  208 funding consistent with the  Budget'.
 Act by eliminating contract authority.

                  Modification of  Secondarv
                    Treatment Requirement

      The  requirement  for  secondary  treatment may  be waived
 for  a deep  ocean  discharger  if  the  Administrator  determines
 that the  following  eight  criteria are  met:

      1.   There is  an applicable water quality  standard  for
 the  specific  pollutant, and  it  will be met;

      2.   Modification would not interfere with attainment
 or maintenance of water quality levels which assure protection
 of public water supplies  and protection and propagation  of
 a balanced, indigenous population of shellfish, fish,  and
 wildlife;

      3.   The applicant has  established a monitoring  system
 to record impacts on  a representative  sample of aquatic  biota.

      4.   Modified  requirements will not result in any addi-
 tional requirements on any point or nonpoint source.

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                              -9-

     5.   Pretreatment requirements will be enforced.

     6.   The applicant has established a schedule of activities
designed to eliminate toxic pollutants from ncn-industrial
sources.

     7.   No new or substantially increased discharges will
occur from the point source of the pollutant to which the
modification applies;

     8.   Funds available under Title II must be used to achieve
the efflueut reduction required by section 201(b) and  (g)(2)(a)
(i.e., greater than BP.T)

     The section only applies to deep waters of the  territorial
sea, the contiguous zone, or other locations where the hydrological
and geological characteristics which the Administrator determines
are necessary to comply with the goals of the Act.

                 Municipal Time Extensions.

     Where construction of a publicly-owned treatment works
is required to meet effluent limitations and  (1) it  cannot
be completed by July  1, 1977, and  (2) the United Spates failed
to maka  financial  assistance availablet  ihe ownsr  or operator
of the works has 180  days  from enactment to reques-c  an extension
of the time  for compliance.  The extension may be  up to  Julv 1,
1983.

                 Procedure for Modification

     AjsendEients specify certain  procedure  to  obtain  modifica-
tion for secondary treatment for publicly-owned treatment works
 (POTW's)  and for modification of best  available technology
for nonconventional  pollutants.  The amendments require  that
applications must  be  filed within  nine  months of enactment  or,
if no  effluent  limitation  for the  pollutant in- question  is
promulgated, within  nine months  of such promulgation.  A
request for  modification shall not result  in  a stay  unless,
in the 3udjment of the  Administrator,  there is a substantial
likelihood the  applicant will succeed  on the  merits, and the
discharge will  not pose an unreasonable risk  to human health.

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                              -10-
                    Innovative Technology

     This section amends section 301, Effluent Limitations,
to permit an extension of the oest available technology require-
ment for sources utilizing innovative technology until no later
than July 1, 1987, if the innovative process will achieve signi-
ficantly greater effluent reduction or will allow compliance
with existing requirements at significantly reduced costs.
Such system must have potential for industry-wide application.

                 Information and Guidelines

     Ninety days after enactment, the Administrator shall publish
appropriate information identifying conventional pollutants.   Six
months after enactment- the Administrator shall publish infor-
mation on the factors necessary for protection of water supplies
and protection of indigenous water creatures.  This is to
be published, .if practicable, -before consideration of requests
for modification of secondary treatment for municipalities.

     Within three months after eractment, the Administrator
shall identify each water quality standard in effect under
this law or State law, and the pollutants and water bodies to
which they apply.

     The Administrator wj11 identify the degree of effluent
reduction attainable through application of a best conventional
pollutant control technology  (BCPCT) and will specify the factors
to be taken into account in determining BCPCT  (shall"include
"reasonableness of the relationship between the costs of
attaining a reduction in effluents and the effluent reduction
benefits derived' .  .  . et al.).

           Best Management Practices for Industry

     EPA will be required to publish regulations for controlling
ancillary industrial activities which contribute toxic pollutants
to navigable waters.  The Administrator is not to become involved
in actual plant procassi-g and operating decisions but should
control runoff and spillage from poor industrial procedures.

                   Interagency Agreements

     Authorizes $100 million for each fiscal year through 1983
to enter into agreements with other Federal agencies or
departments for the purpose of achieving and maintaining
water quality through the appropriate implementation of the Act.

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                              -11-

                        State Reports

     Requires State water quality inventory report to be
submitted biennially in lieu of present annual requirement.
Next report is required April 1, 1978.

               Toxic Effluent and Modification
          of Best Available Technology Requirement

Toxic Pollutants (1984)

     Table I of House Committee Print 95-30, Toxic Pollutants, will
be subject to effluent limitations resulting from application of
best available technology  (BAT) to be achieved no later than
July 1, 1984.  All other toxics subsequently added must achieve
BAT limitations no later than three years after  limitation
is established.  The Administrator ma^ revise the list and
add to, or remove from, the list any pollutant,  and his
decision is final unless determined to be arbitrary and
capricious.  All toxics on the list shall have an effluent
limitation as soon as practicable, but no later  than July 1,
1980.  All effluent standards should be reviewed every three
years.  Proposed guidelines requiring treatment  greater than
BAT under 30?(a)(1) shall be subject no less than formal
rulemaking.  Effluent  limitations for 307 pollutants must be
met in one year unless the Administrator determines  it is
technologically unfeasible, then the limitation  may  go into
effect no more than three  years after promulgation.

 Nonconventior.al Pollutants (1987)

     Noncor.ventional pollutants must  comply with BAT effluent
 limitations  thrae  years  after  limitation  is established or
not later than  July 1,  1984, whichever  is  later, but,  in  no
case,  later  than July  1,  1987-  A discharger of  nonconventional
pollutants may  apply for a modification if  the modified require-
ment will not result in  additional  requirements  on  any other
 source; will  not interfere with attaining  or maintaining water
 quality to  allow  protection of water supplies and  balanced
 aquatic liffe, and  that will not pose  an unreasonable risk to
human  health.

 Conventional  Pollutants  (1984)

     Conventional  pollutants shall  achieve  their effluent
 limitation ro later than July  1, 1984,  at  the  level  of best
• conventional  pollutant control  technology  (BCPT).   Factors
 for BCPT shall  include relating the cost of attaining a
 reduction in  effluent  and the  effluent  reduction benefit
 desired.  Ninety days  after enactment,  the Administrator
 is to  review  all final or interim final guidelines  already

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                              -12-

promulgated to apply the new test to the conventional
pollutants.  Those pollutants listed on Table 2 of Committee
Print 95-30 must be reviewed before July 1, 1980.

                        Pretreatment

     Provides for modification of national toxic pretreatment
standards by owners or operators of POTW's where the POTW:

   - Removes all or any of the pollutant.

   - Will not violate the industrial effluent standard
     applying to the pollutant if it were discharged directly
     to receiving waters.

   ~ Will not, in modifying national standards, prevent the
     use or disposal of its sludge as locally determined,
     as long as its use or disposal complies with other laws.

     Enables EPA, or an NPDES State, to require loral compliance
programs to enforce national pretreatment standards.

     Requires that all EPA ccurt actions for violations of 307
pretreatment requirements seek re'tief from both the POTW and
the indirect discharger.


                       1977 Deadlines

     Amends section 309, Enforcement, to provide E?A xvith
three enforcement options for violations of the 1
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                         -13-

                  Mitigation Costs

     Amendments to 311 allow persons injured by an oil or
hazardous national spill access to the 311(k) contingency
fund for mitigation costs and to assess liability to spillers
of nonremovable hazardous substances.  Funds are to be used
for costs associated with immediately required responses/
not Ibng-'term  capital expenditures.

                Oil Spill Liability

     Amendments extend liability and clean-up authority to
all vessels out to 200 miles and allows use of the 311(k) fund
when there is a substantial threat of a discharge.   Foreign-
flag- >vessels are not liable for penalties  for oil spills or
for lack of notice to the Coast Guard beyond 12 miles.

     The cost of removal of oil or hazardous substances for
which a spiller is liable is defined to include costs incurred
by Federal or Suate governments in restoration or replacement
of natural resources.

     Liability limits are altered.  The present $100 per gross
ton or $14 million, whichever  is lesser,  for vessels is changed
to $150 per gross ton or a minimum of $250,000 if the vessel
carries oil or hazardous substances as cargo, whichever is
greater.  Offshore facilities limitation  is  increased froir
$8 million to $50 million.  Inland barges liability would
be only $125 par gross ton or $125,000, whichever is greatar.
All vessels must: have evidence of insurability to the new
liability Iinu.t3 before October  1, 1978.

             Marine  Sanitation Devices

     Amendment prohibits discharge of treated sewage and
greywater from commercial vessels in drinking water intake
zones on the Great Lakes.  Greywater is defined as galley,
bath, or shower water.  Upon application  of  a State, the
Administrator shall  establish drinking water intake zones.

            Federal  Facility Compliance

     This section amends section 311 to assure that all Federal
activities comply with all procedural and substantive Federal,
State, and interstate requirements.  An additional exemption
from compliance for military activities,  over present  law,
is available if the President deems that  such a waiver would
be necessary to U.S. interests.

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                              -14-

                         Clean Lakes

     This section requires the Administrator to provide
financial assistance to the States to prepare surveys to
identify and classify freshwater lakes and to issue infor-
mation biennally to the States on methods and procedures to
restore and enhance freshwater lakes.  Section 314 is further
amended to authorize $60 million annually for fiscal years
1978, 1979, and 1980 for the Clean Lakes program.

                         Aquaculture

     The conferees agreed to allow States to issue permits  for
aquaculture projects, comparable to 402 permits.  EPA is to
publish regulations on State guidelines for State assumption
of the program.

             Compliance with State Requirements

     States must certify  compliance with  section  303  (Water
Quality Standards) before a Federal  license or permit can  be
issued.   (Present  law  requires  certification  for  only 301,  302,
306, and  307.)

                   EPA  Issuance  of Permits


      Section 402(d)  is amended to require the Administrator
 to include in any written objections to a State permit  the
 reasons for the objection and the desired effluent limitation
 and conditions as if it were issued by the Administrator.

      If the Administrator objects to a permit issued by the
 State, the State is entitled to a hearing.  If the State
 fails to comply with EPA's objections 30 days after the hearing
 or if the State does not request a hearing after 90 days,  the
 Administrator may issue the permit.-

               Enforcement of Municipal Permits

      If the State has failed to enforce a permit against a
 permittee who is violating the permit and discharging into a
 POTW, the Administrator may commence enforcement action under
 Section 402(h)

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                              -15-

          Permits for Dredged or Fill Material and
        State Programs for Best Management Practices

     The 404 permit program was amended in several ways.
The present regulations were basically with explicit statutory
authority for EPA to transfer the program to States.  In
addition, the 404, 402, and 208 programs can be integrated
at the State and regional level, -including the use of best
management practices for nonpoint sources.

          The amendments allow the Corps to issue general
permits for a category of activities involving discharge of
dredged material.  General permits must be for no more than
five years and may be modified or revoked after opportunity
for a public hearing.

          Exempted from a requirement for permits are discharges
of dredge or fill material that do not contain 307 toxics,
that are from normal farming and ranching activities for
construction and maintenance of farm or stock ponds,
irrigation ditches or maintenance of drainage ditches,
certain roads, and those resulting  from an approved 208(b)
 (4) program.

     A series of  amendments  ((g) through  (D) allow the
States,  if qualified,  to operate the 404 programs similarly  to
the  402  permit program.

      If  EPA  objects  to a State  permit,  the  State may  request
 a hearing similar to the 402  program,  and EPA may issue  the
 permit.

      Federal projects  specifically  authorized by Congress
 which have filed an environmental  impact  statement  prior to
 authorization or a construction appropriation,which covers
 404  issues,  are  exempt from the 404  permit.

                       Amendments to  208

      Section 208(b)(4)  authorizes  the  Administrator to
 approve  statewide regulatory  programs  to  control  those
 discharges of dredge and fill material better handled through
 utilization  of best management practices.   Once  a State  has
 an  approved 404 and 208(b)(4)  program,  the Administrator
 may approve  best management practices  for  activities  deter-
 mined to have only minor individual  and cumulative  effects
 on the aquatic environment.   The Administrator may  suspend
 the program under 208(b) (4)  for substantial failure of the
 State to administer the program.

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                              -16-

                       Sludge Disposal

     Permits for the disposal of sludge, issued under, f-bis
section (405), must be consistent with 402 permits.

                       Emergency Fund

     > $10 million fund is to be maintained to provide emergency
assistance whenever it is immediately required to prevent, limit,
or mitigate an environmental emergency.  There may be  a  s'ig-~
nifleant risk to public health or welfare, and the assistance
would not. otherwise be provided on a timely basis.

                  Combined Sewer Overflows

     A study is required by October 1, 1978, on combined
sewer overflows in POTW1s.

                Utilization of Treated Sludge

     The Agency, in consultation with TVA and other ag.»ncir.s,
shall submit a study by October 1,  1978,on the current &nc •
potential utilization of municipal wastewater and sludge. *

                   Cost Recovery Study and
                     Water Conservation

     Requires a 12-month study of the efficiency and need
for ICj?; a moritorium on payments cf ICR shall extend  fcr
eighteen months.

     Industrial users who reduce their total consumption of
water shall have their costs reduced in proportion to  their
flow rsdvction.

     The amount of reserve capacity of POTW's shall take into
account efforts to reduce flow of sewage and unnecessary
water consumption.

                  Miscellaneous Amendments

     A study is to be completed by January 1, 1979, on the
effects cf seafood processes which dispose of untreated
natural wastes into marine waters.

     The construction of a secondary treatment plan at Deer
Island, Massachusetts, on property that is now a correctional
facility is authorized ; $15,000,000 is authorized to construct a
new correctional facility elsewhere.

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                              -17-
     A study to be completed by January 1, 1979, is to be
made on the effects of the disposal of certain natural
untreated wastes that are by-products of rum distilleries.

     A study is required by March 28, 1973, on bidding procedures
for POTW's.


     An amendment passed outside of E.Ju 3199 provides reimburse-
ment to Derry Township, Pennsylvania.
                                  Legislative Division
                                  Offics of Legislation
                                  Environmental Protection
                                    Agency

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