X-/ER&
       United States
       Environmental Protection
       Agency
                                                         Office of Policy
                                                         (1807T)
June 2013
EPA-100-F-13-003
       Evaluation of the Role of Public Outreach and
       Stakeholder  Engagement in Stormwater Funding
       Decisions in  New England:  Lessons  from Communities
 Fact Sheet
http://www.epa.gov/evaluate

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                                                                                    June 2013
Introduction
Communities with municipal separate storm sewer systems (MS4s) face significant fiscal and other
challenges in implementing stormwater management programs to comply with Clean Water Act
requirements. A critical element of an effective stormwater management program is adequate and
sustainable funding. MS4 experiences across the country suggest that development of support
among community stakeholders is an important step for communities seeking to adopt and
implement stormwater funding strategies.
This evaluation describes lessons about the role and design of public outreach and stakeholder
engagement strategies related to community stormwater funding decisions. The evaluation is
based on the experiences of eleven small and medium-sized communities, primarily—but not
exclusively—in New England. The evaluation had two complementary goals: first, to evaluate
whether and how public outreach and stakeholder engagement efforts influenced the adoption of
stormwater funding mechanisms; and second, to draw on the communities' experiences to
identify lessons for other MS4 communities considering stormwater program funding  solutions.

Evaluation Questions
  1.  To what extent  is a stakeholder process desirable for a community to decide on, and
     accept, a stormwater funding mechanism?  Are there other alternative approaches that lead
     to the same outcomes?
  2.  What factors drive the  need for, and value of, stakeholder processes in  communities?
  3.  What specific elements of stakeholder processes help create or derail agreement on an
     effective approach to stormwater funding?
  4.  What contextual factors make stakeholder agreement on an effective approach to
     stormwater funding more or less challenging and in what ways?
  5.  How can stakeholder processes be designed to overcome contextual challenges?
  6.  How are stakeholder processes and decisions about stormwater funding mechanisms
     influenced by the overall cost of stormwater management and the community's resources to
     address it?
  7.  Where a stormwater funding mechanism (e.g., stormwater utility) has been adopted, what
     were the strongest influences on adoption? What role, if any, did stakeholder agreement
     play?
  8.  Where a stormwater funding mechanism (e.g., stormwater utility) has been effectively
     implemented, what were the strongest influences on  implementation?  What role did
     stakeholder agreement play?
  9.  Can stakeholder agreement reduce litigation over stormwater funding mechanisms?
  10. How much does it cost to run a stakeholder process to effectively consider stormwater
     funding options?
  11. How can federal and state agencies help communities and stakeholders effectively consider
     stormwater funding options?
  12. What guides, tools or other resources would be most useful to communities considering
     stormwater funding mechanisms?

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Evaluation Methods
The primary information collection and analysis methodology for the project was comparative case study analysis;
information to support this evaluation was obtained using the following methods:
  •   Open-ended discussions with people familiar with the history of stormwater funding in their communities
      (e.g., lead staff from stormwater management agencies, process facilitators, and participating stakeholders).
  •   Primary document research (e.g., city or county council meeting minutes, newspaper articles and
      stormwater ordinances).
  •   Published case studies.
  •   A New England Regional Stormwater Program Funding Symposium held in New Hampshire in October 2012,
      which was an  opportunity to discuss and refine preliminary findings.

Findings
The analysis confirmed that stakeholder support played a critical role in the successful adoption and
implementation of stormwater funding mechanisms. In  order to build stakeholder support and successfully adopt a
stormwater funding mechanism, public outreach strategies and focused stakeholder engagement were critical. The
specific factors that municipal decision-makers had to take into account—such as citizen or business opposition, the
policy environment (e.g., enabling legislation), anti-tax sentiments, chronic flooding, and  other issues—differed
from town to town. Therefore, the specific design of public outreach and stakeholder engagement strategies had to
be tailored to uniquely address these factors and related stakeholder concerns. The specific approaches used by
the eleven communities for engaging stakeholders differed. However, communities that effectively addressed their
stakeholders' specific concerns were more likely to adopt and implement their proposed funding mechanism.

Key lessons on effectively implementing stakeholder engagement were:
  •   Identify and involve all key stakeholders.
  •   Proactively engage stakeholders that support developing  a utility and those that oppose it.
  •   Foster deliberation and exchange of ideas among stakeholders with many points of view.
  •   Start by discussing what the proposed program should accomplish, and only then talk about how to fund it.
  •   Implement a stakeholder engagement process appropriate to the community's circumstances and budget.
  •   Recognize that building adequate community support takes more than  achieving consensus on an advisory
      committee's recommendation.

Key lessons on effectively developing and implementing public outreach/involvement were:
  •   Make a locally-compelling case that a stormwater funding program meets a critical  need.
  •   Demonstrate the cost-effectiveness of the funding approach.
  •   Be responsive  and flexible through the first few billing cycles.

Recommendations
Recommendations for federal and state entities:
  •   Offer incentives to communities developing funding mechanisms to support their stormwater plans.
  •   Enhance communication to MS4 communities about state and federal stormwater requirements.
  •   Offer state and/or federal incentives for  regional, inter-municipal watershed-based  funding  solutions.

Recommendations for agencies or institutions involved in stormwater management:
  •   Identify or develop model stormwater utility ordinances based on state enabling legislation.
  •   Continue to evaluate and compile evaluations of MS4 communities' stormwater program funding efforts, and
      analyze those  that demonstrate strategic approaches to program development, funding solutions developed
      through stakeholder consensus, and trouble-free implementation.
  •   Establish an online clearinghouse  to share the resources listed above.

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Contact(s)
  •  Carl Koch, Office of Policy, koch.carl@epa.gov
  •  Yvonne Watson, Office of Policy, watson.yvonne@epa.gov
  •  Joshua Secunda, Region 1, Office of Environmental Stewardship, secunda.josh@epa.gov

Report Link: http://www.epa.Qov/evaluate/pdf/water/eval-sw-funding-new-england.pdf

Date Completed: June 2013

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