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Donate NowH.R.4153 - Chesapeake Bay Program Reauthorization and Improvement Act
To support efforts to reduce pollution of the Chesapeake Bay watershed, and for other purposes.

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HR 4153 IHCommentsClose CommentsPermalink

112th CONGRESSCommentsClose CommentsPermalink

2d SessionCommentsClose CommentsPermalink

H. R. 4153CommentsClose CommentsPermalink

To support efforts to reduce pollution of the Chesapeake Bay watershed, and for other purposes.CommentsClose CommentsPermalink

IN THE HOUSE OF REPRESENTATIVESCommentsClose CommentsPermalink

March 7, 2012CommentsClose CommentsPermalink

March 7, 2012CommentsClose CommentsPermalink

Mr. GOODLATTE (for himself and Mr. HOLDEN) introduced the following bill; which was referred to the Committee on Transportation and Infrastructure, and in addition to the Committees on Agriculture and Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concernedCommentsClose CommentsPermalink

A BILLCommentsClose CommentsPermalink

To support efforts to reduce pollution of the Chesapeake Bay watershed, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title- This Act may be cited as the ‘Chesapeake Bay Program Reauthorization and Improvement Act’.CommentsClose CommentsPermalink

(b) Table of Contents- The table of contents for this Act is as follows:CommentsClose CommentsPermalink

Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink

Sec. 2. Modification of Chesapeake Bay Program under Federal Water Pollution Control Act.CommentsClose CommentsPermalink

Sec. 3. Establishment of independent commission to oversee and administer nitrogen, phosphorus, and sediment trading program for Chesapeake Bay States.CommentsClose CommentsPermalink

Sec. 4. Chesapeake Bay watershed partnerships.CommentsClose CommentsPermalink

Sec. 5. Technical guidelines for environmental services markets.CommentsClose CommentsPermalink

Sec. 6. Chesapeake Bay watershed pilot program for creating environmental service markets.CommentsClose CommentsPermalink

Sec. 7. Offset.CommentsClose CommentsPermalink

SEC. 2. MODIFICATION OF CHESAPEAKE BAY PROGRAM UNDER FEDERAL WATER POLLUTION CONTROL ACT.
(a) Definitions- Section 117(a) of the Federal Water Pollution Control Act (

(1) by redesignating paragraphs (5) and (6) as paragraphs (6) and (10), respectively;CommentsClose CommentsPermalink

(2) by inserting after paragraph (4) the following new paragraph:CommentsClose CommentsPermalink

‘(5) CHESAPEAKE BAY STATE- The term ‘Chesapeake Bay State’ or ‘State’ means Delaware, Maryland, New York, Pennsylvania, Virginia, West Virginia, and the District of Columbia.’; andCommentsClose CommentsPermalink
(3) by inserting after paragraph (6), as redesignated, the following new paragraphs:CommentsClose CommentsPermalink

‘(7) CHIEF EXECUTIVE- The term ‘chief executive’ means--CommentsClose CommentsPermalink
‘(A) in the case of a State or Commonwealth, the Governor of the State or Commonwealth; andCommentsClose CommentsPermalink
‘(B) in the case of the District of Columbia, the Mayor of the District of Columbia.CommentsClose CommentsPermalink
‘(8) NONINDUSTRIAL PRIVATE FOREST LAND- The term ‘nonindustrial private forest land’ means rural land, as determined by the Secretary, that--CommentsClose CommentsPermalink
‘(A) has existing tree cover or is suitable for growing trees; andCommentsClose CommentsPermalink
‘(B) is owned by any nonindustrial private individual, group, association, corporation, Indian tribe, or other private legal entity that has definitive decisionmaking authority over the land.CommentsClose CommentsPermalink
‘(9) RESTORATION ACTIVITIES- The term ‘restoration activities’ means one or more practices or programs that directly protect, conserve, or restore habitat, water resources, or water quality in the Chesapeake Bay watershed, including practices and programs that promote conservation and land stewardship in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(10) TOTAL MAXIMUM DAILY NUTRIENT OR SEDIMENT LOAD IN THE CHESAPEAKE BAY- The term ‘total maximum daily nutrient or sediment load in the Chesapeake Bay’ means a total maximum daily load for nitrogen, phosphorus, or sediment established under section 303(d) for a segment or tributary of the Chesapeake Bay, whether established under paragraph (1) of such section by the State in which the segment or tributary is located or under paragraph (2) of such section by the Administrator.’.CommentsClose CommentsPermalink
(b) Chesapeake Bay Crosscut Financial Report- Section 117 of the Federal Water Pollution Control Act (

‘(j) Financial Report-CommentsClose CommentsPermalink
‘(1) FINANCIAL REPORT REQUIRED- With the budget submission for each fiscal year, the Director of the Office of Management and Budget, in consultation with other appropriate Federal agencies and the chief executive of each Chesapeake Bay State, shall submit to Congress a financial report containing--CommentsClose CommentsPermalink
‘(A) a summary of an interagency crosscut budget that displays--CommentsClose CommentsPermalink
‘(i) the proposed funding for Federal restoration activities to be carried out in the succeeding fiscal year, including any planned interagency or intra-agency transfer, for each of the Federal agencies that carry out restoration activities;CommentsClose CommentsPermalink
‘(ii) to the extent that information is available, the estimated funding for any State restoration activities to be carried out in the succeeding fiscal year;CommentsClose CommentsPermalink
‘(iii) all expenditures for Federal restoration activities from the preceding 3 fiscal years, the current fiscal year, and estimated expenditures for the succeeding fiscal year; andCommentsClose CommentsPermalink
‘(iv) all expenditures, to the extent that information is available, for State restoration activities during the equivalent time period described in clause (iii);CommentsClose CommentsPermalink
‘(B) a detailed accounting of all funds received and obligated by all Federal agencies for restoration activities during the current and preceding fiscal years, including the identification of funds which were transferred to a Chesapeake Bay State for restoration activities;CommentsClose CommentsPermalink
‘(C) to the extent that information is available, a detailed accounting from each State of all funds received and obligated from a Federal agency for restoration activities during the current and preceding fiscal years; andCommentsClose CommentsPermalink
‘(D) a description of each of the proposed Federal and State restoration activities to be carried out in the succeeding fiscal year (corresponding to those activities listed in clauses (i) and (ii) of subparagraph (A)).CommentsClose CommentsPermalink
‘(2) SUBMISSION- Not later than 30 days after the submission by the President of the annual budget to Congress, the Director shall submit the report required by paragraph (1) to the following congressional committees:CommentsClose CommentsPermalink
‘(A) The Committees on Agriculture, Appropriations, Natural Resources, Energy and Commerce, and Transportation and Infrastructure of the House of Representatives.CommentsClose CommentsPermalink
‘(B) The Committees on Agriculture, Nutrition, and Forestry, Appropriations, Environment and Public Works, and Commerce, Science, and Transportation of the Senate.’.CommentsClose CommentsPermalink
(c) Transparency and Accountability- Section 117 of the Federal Water Pollution Control Act (

‘(k) Transparency and Accountability Requirements-CommentsClose CommentsPermalink
‘(1) STATE REPORTS- Not later than October 10 of each year, each State that received funds from a Federal agency under subsection (n)(1)(B) shall submit a report to the head of the agency that--CommentsClose CommentsPermalink
‘(A) identifies the total amount of funds received from the agency under such provisions during the preceding fiscal year;CommentsClose CommentsPermalink
‘(B) identifies the amount of funds received from the agency under such provisions that were obligated or expended for projects or activities during the preceding fiscal year; andCommentsClose CommentsPermalink
‘(C) contains a list of all projects or activities for which the funds were obligated or expended, except that such list shall not include personal identifying information of individual recipients.CommentsClose CommentsPermalink
‘(2) AGENCY REPORTS- Not later than November 10 of each year, the Secretary of Agriculture shall provide to the Administrator the information received in any report submitted to the Secretary under paragraph (1). The Administrator shall publish on a publicly available website, in accordance with paragraph (5), any information submitted to the Administrator under this paragraph or paragraph (1).CommentsClose CommentsPermalink
‘(3) ECONOMIC ANALYSIS-CommentsClose CommentsPermalink
‘(A) IN GENERAL- The Administrator shall complete an economic analysis of each agency statement described in subparagraph (B) that is issued by the Administrator.CommentsClose CommentsPermalink
‘(B) AGENCY STATEMENT DESCRIBED- An agency statement described in this subparagraph is any guidance, policy, memorandum, regulation, or statement of general applicability and future effect that is designed to implement, interpret, or prescribe law or policy relating to water quality in the Chesapeake Bay.CommentsClose CommentsPermalink
‘(C) CONTENTS OF ANALYSIS- An economic analysis required under subparagraph (A) shall include--CommentsClose CommentsPermalink
‘(i) the impact of the agency statement on the economies and budgets of States and municipalities;CommentsClose CommentsPermalink
‘(ii) the impact of the agency statement on the private sector, including such impact on small entities and farm income;CommentsClose CommentsPermalink
‘(iii) the availability of Federal funding to offset the impacts identified under clause (ii); andCommentsClose CommentsPermalink
‘(iv) the benefits of the agency statement to water quality in the Chesapeake Bay.CommentsClose CommentsPermalink
‘(D) CONSULTATION- In conducting an economic analysis required under subparagraph (A), the Administrator shall consult with other Federal agencies that may be affected by the agency statement.CommentsClose CommentsPermalink
‘(4) INITIAL COMPLIANCE- Not later than 180 days after the date of enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, the head of each Federal agency providing funds under subsection (n)(1)(B) shall require, as a condition of receipt of the funds, a State recipient of the funds to provide the information required under paragraph (1).CommentsClose CommentsPermalink
‘(5) WEBSITE-CommentsClose CommentsPermalink
‘(A) WEBSITE REQUIRED- The Administrator shall establish and maintain, not later than 30 days after the enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, a user-friendly, publicly available website to promote greater accountability and transparency regarding the use of funds provided under subsection (n)(1)(B).CommentsClose CommentsPermalink
‘(B) CONTENT AND FUNCTION- The website shall provide the following:CommentsClose CommentsPermalink
‘(i) Accountability information, including findings from audits, inspectors general, and the Government Accountability Office.CommentsClose CommentsPermalink
‘(ii) Data on relevant economic, financial, grant, and contract information in user-friendly visual presentations to enhance public awareness of the use of covered funds.CommentsClose CommentsPermalink
‘(iii) Links to other government websites where key information relating to efforts to improve the water quality of the Chesapeake Bay watershed may be found.CommentsClose CommentsPermalink
‘(iv) Printable reports on covered funds obligated by month to each State and congressional district.CommentsClose CommentsPermalink
‘(v) Links to other government websites with information concerning covered funds, including Federal agency and State websites.CommentsClose CommentsPermalink
‘(C) REVISIONS- The Administrator shall enhance and update the website as necessary.’.CommentsClose CommentsPermalink
(d) Independent Evaluation and Technical Advisory Committee for Chesapeake Bay Program- Section 117 of the Federal Water Pollution Control Act (

‘(l) Independent Evaluation and Technical Advisory Committee-CommentsClose CommentsPermalink
‘(1) ESTABLISHMENT- There is established an Independent Evaluation and Technical Advisory Committee (in this subsection referred to as the ‘Advisory Committee’).CommentsClose CommentsPermalink
‘(2) REVIEW AND REPORT- Beginning on a date that is not more than 180 days after the date of enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, and every two years thereafter, the Advisory Committee shall review and report to Congress on--CommentsClose CommentsPermalink
‘(A) Federal and State, and, to the extent practicable, other, restoration activities in the Chesapeake Bay watershed, including relevant topics suggested by the Chesapeake Executive Council and the Chesapeake Bay Commission; andCommentsClose CommentsPermalink
‘(B) any progress made by such activities toward reaching applicable water quality goals of the Chesapeake Bay States.CommentsClose CommentsPermalink
‘(3) DUTIES-CommentsClose CommentsPermalink
‘(A) ADMINISTRATION REVIEW- The duties of the Advisory Committee shall be to provide recommendations to the Administrator and Secretary of Agriculture concerning the administration of this section.CommentsClose CommentsPermalink
‘(B) PROGRAM AND ACTIVITIES REVIEW- The Advisory Committee shall, after reviewing the Chesapeake Bay Program, provide to the Administrator and the Secretary of Agriculture a report evaluating whether--CommentsClose CommentsPermalink
‘(i) funds authorized for restoration activities are being distributed and used to improve water quality in the Chesapeake Bay watershed;CommentsClose CommentsPermalink
‘(ii) mechanisms to track restoration activities are in place and restoration activities are being properly implemented;CommentsClose CommentsPermalink
‘(iii) mechanisms are in place to evaluate progress toward achieving water quality goals for the Chesapeake Bay watershed;CommentsClose CommentsPermalink
‘(iv) the allocation of funds among Chesapeake Bay States reflects the responsibility and contribution towards achieving water quality goals of each Chesapeake Bay State;CommentsClose CommentsPermalink
‘(v) restoration activities are being carried out in accordance with this section;CommentsClose CommentsPermalink
‘(vi) the factual information and assumptions incorporated in Chesapeake Bay modeling efforts are accurate;CommentsClose CommentsPermalink
‘(vii) implementation of restoration activities is being adequately tracked and accounted for in Chesapeake Bay modeling efforts, including tracking of privately funded and government-funded practices; andCommentsClose CommentsPermalink
‘(viii) the achievability and practicability of water quality goals are being considered in the implementation of the Program.CommentsClose CommentsPermalink
‘(4) MEMBERSHIP-CommentsClose CommentsPermalink
‘(A) NUMBER AND APPOINTMENT- The Advisory Committee shall be composed of 16 members appointed by the Administrator and the Secretary of Agriculture, composed of the following:CommentsClose CommentsPermalink
‘(i) Two individuals who are engineers or scientists who worked for the Government or in academia and have technical expertise in water quality modeling.CommentsClose CommentsPermalink
‘(ii) One individual who has an affiliation with an institution of higher education and technical expertise in water quality.CommentsClose CommentsPermalink
‘(iii) Nine individuals, of whom at least one shall have professional experience and expertise in each of the following areas:CommentsClose CommentsPermalink
‘(I) Urban storm water issues.CommentsClose CommentsPermalink
‘(II) Agricultural storm water issues.CommentsClose CommentsPermalink
‘(III) Urban and suburban development.CommentsClose CommentsPermalink
‘(IV) Water quality modeling.CommentsClose CommentsPermalink
‘(V) Economics.CommentsClose CommentsPermalink
‘(VI) Agronomy, crop science, or soil science.CommentsClose CommentsPermalink
‘(VII) Wastewater treatment systems.CommentsClose CommentsPermalink
‘(VIII) Marine biology or fish and wildlife habitats.CommentsClose CommentsPermalink
‘(IX) Applying for and complying with building permits.CommentsClose CommentsPermalink
‘(iv) Four individuals, at least one of whom shall be affiliated with each of the following:CommentsClose CommentsPermalink
‘(I) An environmental or conservation organization.CommentsClose CommentsPermalink
‘(II) A fishing, hunting, or outdoor sporting organization operating in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(III) Nongovernmental agriculture producer associations or other groups of producers related to livestock.CommentsClose CommentsPermalink
‘(IV) Agricultural conservation organizations with an established history of working cooperatively with producers on agricultural lands.CommentsClose CommentsPermalink
‘(B) TERM- Each member of the Advisory Committee shall be appointed for a term of two years. No member may be appointed for more than three terms.CommentsClose CommentsPermalink
‘(C) MEETINGS- The Advisory Committee shall meet on a quarterly basis.CommentsClose CommentsPermalink
‘(5) BYLAWS- The Advisory Committee shall establish any bylaws necessary for the advisory committee to carry out its duties under this subsection. Such bylaws shall include provisions to prevent any conflict of interest or the appearance of any conflict of interest in the actions taken or recommendations made by the Advisory Committee or by any member of the Advisory Committee.CommentsClose CommentsPermalink
‘(6) ADMINISTRATIVE SUPPORT- The Secretary of Agriculture shall provide to the Advisory Committee any administrative support services necessary for the Advisory Committee to carry out its responsibilities under this section.CommentsClose CommentsPermalink
‘(7) COORDINATION- To avoid duplication of effort, the Advisory Committee shall coordinate activities with other Federal advisory committees working in related areas.CommentsClose CommentsPermalink
‘(8) NO REGULATORY AUTHORITY- The Advisory Committee does not have the authority to recommend or promulgate regulations.’.CommentsClose CommentsPermalink
(e) Nitrogen, Phosphorus, and Sediment Trading Technical Guidelines- Section 117 of the Federal Water Pollution Control Act (

‘(m) Nitrogen, Phosphorus, and Sediment Trading Technical Guidelines-CommentsClose CommentsPermalink
‘(1) ESTABLISHMENT- Not later than 14 months after the date of enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, the Administrator, in consultation with the Secretary of Agriculture and the Chesapeake Bay States, shall establish technical guidelines to be used by the Chesapeake Bay Nutrient and Sediment Trading Commission in establishing a voluntary interstate nitrogen, phosphorus, and sediment trading program for the Chesapeake Bay.CommentsClose CommentsPermalink
‘(2) LIMITATION ON APPLICATION- Technical guidelines established under this subsection shall not apply to agricultural nonpoint sources or nonindustrial private forest lands except to the extent that such guidelines consist of guidelines issued under section 1245 of the Food Security Act of 1985 (
16 U.S.C. 3845 ).CommentsClose CommentsPermalink‘(3) ELEMENTS- The technical guidelines established under this subsection shall, at a minimum--CommentsClose CommentsPermalink
‘(A) define and standardize nitrogen, phosphorus, and sediment credits and establish procedures or standards for ensuring equivalent water quality benefits for all credits;CommentsClose CommentsPermalink
‘(B) establish procedures or standards for credit practices, for both point sources and nonpoint sources (except as provided in paragraph (2)), that measure reductions in nitrogen, phosphorus, and sediment from credit-generating practices;CommentsClose CommentsPermalink
‘(C) establish procedures or standards for generating, quantifying, trading, banking, and applying credits to meet regulatory requirements;CommentsClose CommentsPermalink
‘(D) establish baseline requirements, relevant to the credit being traded, that a credit seller must meet before becoming eligible to generate saleable credits; andCommentsClose CommentsPermalink
‘(E) develop and incorporate an approach, consistent with subsection (o), that creates a general approval for trading, thereby avoiding the need to reopen or reissue permits issued under section 402 to incorporate individual trades.’.CommentsClose CommentsPermalink
(f) Authorization of Appropriations and Grant Authority- Section 117 of the Federal Water Pollution Control Act (

‘(n) Funding-CommentsClose CommentsPermalink
‘(1) AUTHORIZATION OF APPROPRIATIONS- There are authorized to be appropriated to the Administrator for each of fiscal years 2013 through 2018, to remain available until expended--CommentsClose CommentsPermalink
‘(A) $50,000,000 to carry out this section; andCommentsClose CommentsPermalink
‘(B) $40,000,000 to support the Chesapeake Bay States in carrying out activities related to a total maximum daily nutrient or sediment load in the Chesapeake Bay.CommentsClose CommentsPermalink
‘(2) INCENTIVE PAYMENTS-CommentsClose CommentsPermalink
‘(A) RESERVATION OF FUNDS- Of the amounts appropriated under paragraph (1)(B), the Administrator shall reserve the following percentages for allocation in accordance with subparagraph (B):CommentsClose CommentsPermalink
‘(i) Ten percent in each of fiscal years 2013 and 2014.CommentsClose CommentsPermalink
‘(ii) Twenty percent in each of fiscal years 2015 and 2016.CommentsClose CommentsPermalink
‘(iii) Fifty percent in each of fiscal years 2017 and 2018.CommentsClose CommentsPermalink
‘(B) ALLOCATION TO CHESAPEAKE BAY STATES-CommentsClose CommentsPermalink
‘(i) DETERMINATION- For each fiscal year, the Administrator, in consultation with the Secretary of Agriculture and using information provided in the report of the Advisory Committee required under subsection (l), shall determine whether each Chesapeake Bay State has made sufficient progress toward meeting water quality goals and is properly managing financial resources intended to enable the State to meet such goals.CommentsClose CommentsPermalink
‘(ii) ALLOCATION- The Administrator, in consultation with the Secretary of Agriculture, shall allocate the amounts reserved under subparagraph (A) in each fiscal year among the Chesapeake Bay States the Administrator has determined under clause (i) have made sufficient progress toward meeting water quality goals and are properly managing financial resources intended to enable the State to meet such goals.CommentsClose CommentsPermalink
‘(C) USE OF FUNDS- A State may use amounts allocated under this paragraph for carrying out activities related to a total maximum daily nutrient or sediment load in the Chesapeake Bay.CommentsClose CommentsPermalink
‘(3) GRANTS- Of the amounts authorized to be appropriated under paragraph (1)(B), after the reservation of funds under paragraph (2)--CommentsClose CommentsPermalink
‘(A) 30 percent shall be used for grants to any municipal, intermunicipal, or State agency in a Chesapeake Bay State, or to any interstate agency in two or more Chesapeake Bay States, for the construction, operation, and maintenance of publicly owned treatment works, as defined in section 212;CommentsClose CommentsPermalink
‘(B) 35 percent shall be used for grants to any municipality in a Chesapeake Bay State for the construction, operation, and maintenance of a municipal separate storm sewer system subject to regulation under section 402(p); andCommentsClose CommentsPermalink
‘(C) 35 percent shall be distributed to the Secretary of Agriculture to carry out section 1240Q(i) of the Food Security Act of 1985 (which amounts shall be in addition to funding provided under such Act).CommentsClose CommentsPermalink
‘(4) DISTRIBUTION-CommentsClose CommentsPermalink
‘(A) PRIORITY- The Administrator shall distribute amounts under paragraphs (2), (3)(A), and (3)(B) with priority given to Maryland, Virginia, Pennsylvania, and the District of Columbia.CommentsClose CommentsPermalink
‘(B) MINIMUM AMOUNT- The Administrator shall distribute to each Chesapeake Bay State not less than 7 percent of the amounts under paragraphs (3)(A) and (3)(B).’.CommentsClose CommentsPermalink
(g) Total Maximum Daily Loads for Nitrogen, Phosphorus, or Sediment in the Chesapeake Bay- Section 117 of the Federal Water Pollution Control Act (

‘(o) Total Maximum Daily Loads for Nitrogen, Phosphorus, or Sediment in the Chesapeake Bay-CommentsClose CommentsPermalink
‘(1) TOTAL MAXIMUM DAILY NUTRIENT OR SEDIMENT LOAD IN THE CHESAPEAKE BAY DURATION- Any total maximum daily nutrient or sediment load in the Chesapeake Bay shall use timeframes other than daily (such as annual, monthly, or seasonal) for certain economic sectors, including agriculture, in which a nondaily timeframe is appropriate.CommentsClose CommentsPermalink
‘(2) USE OF TRADING- In any case in which a point source is subject to an effluent limit in a permit issued under section 402 for nitrogen, phosphorus, or sediment, such point source may meet that permit limit in whole or in part through a trade administered by the Chesapeake Bay Nutrient and Sediment Trading Commission established by section 117A.CommentsClose CommentsPermalink
‘(3) CORRESPONDING LOAD REDUCTIONS- For any total maximum daily nutrient or sediment load in the Chesapeake Bay, a process shall be developed--CommentsClose CommentsPermalink
‘(A) to account for reductions in loadings to the Chesapeake Bay watershed of nitrogen, phosphorus, and sediment, including those achieved by entities that do not have a total maximum daily load allocation for such pollutants, and including reductions achieved by restoration activities implemented by private entities, local governments, States, and Federal agencies, including the Department of Agriculture; andCommentsClose CommentsPermalink
‘(B) to increase wasteload and load allocations on a proportional basis by the amount of such reductions.CommentsClose CommentsPermalink
‘(4) STATE IMPLEMENTATION- Powers are reserved solely to the States to implement a total maximum daily nutrient or sediment load in the Chesapeake Bay, including authority to assign load and waste load allocations to individual sources and source sectors to achieve a total maximum daily nutrient or sediment load in the Chesapeake Bay. At the request of a Chesapeake Bay State, the Administrator may review a State implementation plan and offer non-binding recommendations for consideration by the State, but may not take any action to supersede any such State implementation.CommentsClose CommentsPermalink
‘(5) ADAPTIVE MANAGEMENT-CommentsClose CommentsPermalink
‘(A) IN GENERAL- If a Chesapeake Bay State develops a plan to implement a total maximum daily nutrient or sediment load in the Chesapeake Bay that provides for reductions in loading through an iterative process that employs adaptive management principles, permits may be issued under section 402 for new or existing point source discharges that--CommentsClose CommentsPermalink
‘(i) include wasteload allocations consistent with such plan; andCommentsClose CommentsPermalink
‘(ii) demonstrate progress towards achieving the wasteload allocation specified in such plan by treatment, trading, or other means, in accordance with the schedule provided in such plan, as determined by the permit issuing authority.CommentsClose CommentsPermalink
‘(B) ASSESSMENT OF PROGRESS- In assessing sufficient progress by municipal dischargers and other point sources toward meeting water quality goals and plans, the availability, cost, effectiveness, and appropriateness of practices, techniques, methods, or other provisions for the control of such pollutants shall be considered.CommentsClose CommentsPermalink
‘(6) OPTIONS FOR OFFSETTING OF STORMWATER MANAGEMENT REQUIREMENTS- An individual or entity undertaking land development activities may meet the applicable stormwater management requirements by offsetting such activities through the establishment of stormwater management practices off-site within the Chesapeake Bay watershed. Offsetting stormwater management practices shall include, at a minimum, the establishment of riparian forest buffers, streambank fencing, or other best management practices on agricultural lands.CommentsClose CommentsPermalink
‘(7) RELATION TO WATERSHED PARTNERSHIPS- A Chesapeake Bay State may use funds made available to the State under section 319 for activities related to reducing losses of nitrogen, phosphorus, or sediment from agricultural or nonindustrial private forest land through a watershed partnership developed under section 1240Q(i) of the Food Security Act of 1985. Use of funds in such manner shall have no effect on the availability to the State of other funds under this Act.’.CommentsClose CommentsPermalink
SEC. 3. ESTABLISHMENT OF INDEPENDENT COMMISSION TO OVERSEE AND ADMINISTER NITROGEN, PHOSPHORUS, AND SEDIMENT TRADING PROGRAM FOR CHESAPEAKE BAY STATES.
The Federal Water Pollution Control Act is amended by inserting after section 117 (

‘SEC. 117A. CHESAPEAKE BAY NUTRIENT AND SEDIMENT TRADING COMMISSION.
‘(a) Definitions- In this section:CommentsClose CommentsPermalink
‘(1) COMMISSION- The term ‘Commission’ means the Chesapeake Bay Nutrient and Sediment Trading Commission established in subsection (b).CommentsClose CommentsPermalink
‘(2) CHESAPEAKE BAY STATE- The term ‘Chesapeake Bay State’ means Delaware, Maryland, New York, Pennsylvania, Virginia, West Virginia, and the District of Columbia.CommentsClose CommentsPermalink
‘(3) CHESAPEAKE EXECUTIVE COUNCIL- The term ‘Chesapeake Executive Council’ means the signatories to the Chesapeake Bay Agreement.CommentsClose CommentsPermalink
‘(4) CHESAPEAKE BAY AGREEMENT- The term ‘Chesapeake Bay Agreement’ means the formal, voluntary agreements executed to achieve the goal of restoring and protecting the Chesapeake Bay ecosystem and the living resources of the Chesapeake Bay ecosystem and signed by the Chesapeake Executive Council.CommentsClose CommentsPermalink
‘(b) Establishment of Commission; Purpose-CommentsClose CommentsPermalink
‘(1) IN GENERAL- There is established a Chesapeake Bay Nutrient and Sediment Trading Commission to oversee and administer a nitrogen, phosphorus, and sediment trading program for the Chesapeake Bay States to ensure credits are generated to attract market participants and facilitate trading mechanisms among and within such States to meet water quality goals.CommentsClose CommentsPermalink
‘(2) INDEPENDENT ESTABLISHMENT- The Commission shall be an independent establishment, as defined in
section 104 of title 5, United States Code .CommentsClose CommentsPermalink‘(3) LOCATION- The Commission shall be housed at the Office of the Chesapeake Bay Program directed by the Chesapeake Executive Council in accordance with the Chesapeake Bay Agreement.CommentsClose CommentsPermalink
‘(c) Duties-CommentsClose CommentsPermalink
‘(1) CREDITS FOR WATER QUALITY TRADING- In consultation with market developers, Chesapeake Bay States, and appropriate Federal agencies, the Commission shall develop a system to facilitate and generate credits for interstate water quality trading among and within the Chesapeake Bay States.CommentsClose CommentsPermalink
‘(2) WATER QUALITY TRADING REGISTRY- The Commission shall obtain information from the Administrator, the Secretary of Agriculture, and other Federal agencies to operate and oversee a registry for interstate water quality trading in the Chesapeake Bay States.CommentsClose CommentsPermalink
‘(3) TRADE RECORDKEEPING- The Commission shall develop and maintain a system to record specific interstate water quality trades among and within the Chesapeake Bay States.CommentsClose CommentsPermalink
‘(4) POINT SOURCE AND NONPOINT SOURCE TRADES- In consultation with market developers and appropriate Federal agencies, the Commission shall develop a system to allow for trading to occur between point sources and nonpoint sources, and any combination thereof, among and within the Chesapeake Bay States.CommentsClose CommentsPermalink
‘(5) CONSISTENCY WITH STATE PROGRAM- The Commission shall not establish or operate a program that conflicts with or modifies a State program for intrastate trading.CommentsClose CommentsPermalink
‘(6) DEADLINE; PUBLICATION- Not later than 2 years after the date of enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, the Commission shall promulgate rules for interstate water quality trading among and within the Chesapeake Bay States, and shall publish such rules in the Federal Register.CommentsClose CommentsPermalink
‘(d) Use of Technical Guidelines- The Commission shall rely on the Administrator to provide technical guidelines under section 117(m) and the Secretary of Agriculture to provide technical guidelines under section 1245(b) of the Food Security Act of 1985.CommentsClose CommentsPermalink
‘(e) Members of Commission-CommentsClose CommentsPermalink
‘(1) COMPOSITION- The Commission shall consist of five members, of which--CommentsClose CommentsPermalink
‘(A) one member shall be appointed by the Secretary of Agriculture;CommentsClose CommentsPermalink
‘(B) one member shall be appointed by the Administrator; andCommentsClose CommentsPermalink
‘(C) three members shall be appointed jointly by the Administrator and the Secretary of Agriculture from among persons nominated by the Governors of each of the signatory States of the Chesapeake Bay Agreement.CommentsClose CommentsPermalink
‘(2) SPECIAL CONSIDERATIONS- Of the members of the Commission--CommentsClose CommentsPermalink
‘(A) one member shall be a representative of the general public;CommentsClose CommentsPermalink
‘(B) not more than two of the members may have similar professional experience or expertise in the same field;CommentsClose CommentsPermalink
‘(C) at least one of the members shall be experienced in a market-based pollutant trading mechanism; andCommentsClose CommentsPermalink
‘(D) not more than three of the members may be of the same political party.CommentsClose CommentsPermalink
‘(3) TERMS- The members of the Commission shall serve a term of five years and may be reappointed.CommentsClose CommentsPermalink
‘(4) CHAIRPERSON- The members of the Commission shall designate one of the members to serve as chairperson.CommentsClose CommentsPermalink
‘(5) MEETINGS- The Commission shall meet at the call of the chairperson or a majority of its members, and shall hold public meetings at intervals as are necessary to carry out the functions of the Commission, but not less frequently than 2 times per year.CommentsClose CommentsPermalink
‘(f) Officers and Staff- The Commission may appoint, employ, fix the pay of, and provide other allowances and benefits for such officers and employees of the Commission as the members determine to be appropriate.CommentsClose CommentsPermalink
‘(g) Relationship With Other Entities-CommentsClose CommentsPermalink
‘(1) LIAISONS-CommentsClose CommentsPermalink
‘(A) COMMISSION LIAISONS-CommentsClose CommentsPermalink
‘(i) IN GENERAL- The Commission shall, in cooperation with the Administrator and the Secretary of Agriculture, maintain--CommentsClose CommentsPermalink
‘(I) a liaison between the Commission and the Environmental Protection Agency; andCommentsClose CommentsPermalink
‘(II) a liaison between the Commission and the Department of Agriculture.CommentsClose CommentsPermalink
‘(ii) EFFECTIVE MAINTENANCE- The Administrator and Secretary of Agriculture shall take such steps as may be necessary to enable the Commission to obtain information and utilize such services and facilities of the Environmental Protection Agency and Department of Agriculture as may be necessary in order to maintain effectively such liaisons.CommentsClose CommentsPermalink
‘(B) AGENCY LIAISON OFFICERS- The Administrator and Secretary of Agriculture shall each appoint a liaison officer, who shall be an employee of the Environmental Protection Agency and the Department of Agriculture, respectively, for the purpose of communicating with the liaison maintained under subparagraph (A) and the Commission.CommentsClose CommentsPermalink
‘(C) ATTENDANCE- The Commission shall allow the liaisons and liaison officers to attend and observe all deliberations and proceedings of the Commission.CommentsClose CommentsPermalink
‘(2) MAINTENANCE OF COMMUNICATIONS- The Commission shall maintain communications with the Chesapeake Executive Council and the Chesapeake Bay States for the purposes of--CommentsClose CommentsPermalink
‘(A) keeping such entities fully informed of Commission activities that relate to the responsibilities of those entities;CommentsClose CommentsPermalink
‘(B) seeking views of those entities on such activities; andCommentsClose CommentsPermalink
‘(C) consultation with such entities regarding the relationships between Commission activities and the jurisdiction of such entities.CommentsClose CommentsPermalink
‘(h) Duration- The Commission shall terminate on September 30, 2018.’.CommentsClose CommentsPermalink
SEC. 4. CHESAPEAKE BAY WATERSHED PARTNERSHIPS.
Section 1240Q of the Food Security Act of 1985 (

(1) by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink

‘(a) Definitions- In this section:CommentsClose CommentsPermalink
‘(1) CHESAPEAKE BAY STATE- The term ‘Chesapeake Bay State’ or ‘State’ means Delaware, Maryland, New York, Pennsylvania, Virginia, West Virginia, and the District of Columbia.CommentsClose CommentsPermalink
‘(2) CHESAPEAKE BAY WATERSHED- The term ‘Chesapeake Bay watershed’ means all tributaries, backwaters, and side channels, including their watersheds, draining into the Chesapeake Bay.CommentsClose CommentsPermalink
‘(3) CHIEF EXECUTIVE- The term ‘chief executive’ means--CommentsClose CommentsPermalink
‘(A) in the case of a State or Commonwealth, the Governor of the State or Commonwealth; andCommentsClose CommentsPermalink
‘(B) in the case of the District of Columbia, the Mayor of the District of Columbia.’; andCommentsClose CommentsPermalink
(2) by adding at the end the following new subsection:CommentsClose CommentsPermalink
‘(i) Chesapeake Bay Watershed Partnerships-CommentsClose CommentsPermalink
‘(1) IN GENERAL- At the request of the chief executive of a Chesapeake Bay State, the Secretary shall enter into a memorandum of understanding with such chief executive establishing a partnership between the Secretary and the State (in this subsection referred to as a ‘watershed partnership’) in accordance with this subsection.CommentsClose CommentsPermalink
‘(2) WATERSHED STRATEGY- Each watershed partnership may establish a watershed strategy for demonstrating aggregate reductions in losses of nitrogen, phosphorus, and sediment, on a basin or subbasin scale in the Chesapeake Bay watershed, from agricultural or nonindustrial private forest land in the State, including developing processes for--CommentsClose CommentsPermalink
‘(A) identifying basins or subbasins in which implementation of enhanced conservation practices could significantly impact water quality;CommentsClose CommentsPermalink
‘(B) identifying achievable and cost-effective conservation practices that result in such reductions to improve water quality;CommentsClose CommentsPermalink
‘(C) statistically validating and verifying conservation practices;CommentsClose CommentsPermalink
‘(D) establishing methods of estimating such reductions that are statistically valid and accurate, based on field- and farm-level surveys conducted by the Secretary, to the extent practicable using existing data collection methods; andCommentsClose CommentsPermalink
‘(E) collecting other relevant information on practices that demonstrate such reductions, as determined by the Secretary and the chief executive of the State.CommentsClose CommentsPermalink
‘(3) ASSURANCE-CommentsClose CommentsPermalink
‘(A) ESTABLISHMENT OF ASSURANCE PROCESS- Each watershed strategy established by a watershed partnership shall require the chief executive of the State, in collaboration with the Secretary, to establish an assurance process in which producers or owners of nonindustrial private forest land in the State may participate if such producers or owners of nonindustrial forest land are qualified under subparagraph (B) by implementing and maintaining conservation practices, on agricultural or nonindustrial forest land in the Chesapeake Bay watershed, that are designed to reduce losses of nitrogen, phosphorus, and sediment from such land, as determined by the State.CommentsClose CommentsPermalink
‘(B) QUALIFIED PRODUCERS AND OWNERS- For the purposes of this paragraph, a qualified producer or owner of nonindustrial private forest land is a producer or owner of nonindustrial private forest land that implements and maintains conservation practices, on agricultural or nonindustrial forest land in the Chesapeake Bay watershed, that are designed to reduce losses of nitrogen, phosphorus, and sediment from such land, as determined by the State.CommentsClose CommentsPermalink
‘(C) EFFECT OF PARTICIPATION IN ASSURANCE PROCESS-CommentsClose CommentsPermalink
‘(i) IN GENERAL- A qualified producer or owner of nonindustrial private forest land that participates in an assurance process under this paragraph shall be considered to be in full compliance with applicable water quality requirements, if any, regarding nitrogen, phosphorus, and sediment in the Chesapeake Bay watershed, with respect to such land, such that no additional water quality-related conservation practices may be required on such land during the period of time in which the producer or owner of nonindustrial private forest land participates in the assurance process.CommentsClose CommentsPermalink
‘(ii) OPERATIONS ON LAND- Operations on such land conducted by such a qualified producer or owner shall not be considered to be a significant contributor of nitrogen, phosphorus, or sediment to waters in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(D) VERIFICATION- The chief executive of the State shall verify conservation practices maintained by qualified producers and owners participating in an assurance process under this paragraph.CommentsClose CommentsPermalink
‘(4) USE OF EXISTING PROGRAMS REQUIRED- In accordance with subsection (e)(1), a watershed partnership shall use existing programs, including for risk assessment, conservation planning, measurement and assessment of progress in improving water quality, and validation and verification of practices in the State to reduce losses of nitrogen, phosphorus, and sediment from agricultural or nonindustrial private forest land in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(5) STATE WATER QUALITY GOALS- The chief executive of a State that has entered into a watershed partnership under this subsection shall ensure that any watershed strategy established under paragraph (2) is incorporated into the overall water quality goals established by the State, on a basin or subbasin level, for agricultural and nonindustrial private forest land in the State.CommentsClose CommentsPermalink
‘(6) ASSESSMENTS OF PROGRESS-CommentsClose CommentsPermalink
‘(A) ASSESSMENT- Not later than 5 years after the date on which a watershed partnership is established under paragraph (1), and every 5 years thereafter, the chief executive of the Chesapeake Bay State shall make public an assessment of the progress in the State in reducing losses of nitrogen, phosphorus, and sediment from agricultural and nonindustrial private forest land in the Chesapeake Bay watershed, on a basin or subbasin level, in accordance with the water quality goals of the State described in paragraph (5). Such assessment shall incorporate an analysis of data developed and published under subparagraph (B).CommentsClose CommentsPermalink
‘(B) DEVELOPMENT AND PUBLICATION OF DATA- The Secretary shall publish in a conservation assessment report issued by the Natural Resources Conservation Service data developed by the Secretary for incorporation into assessments required under subparagraph (A).CommentsClose CommentsPermalink
‘(C) EFFECT OF ASSESSMENT- If the chief executive of a Chesapeake Bay State determines, in an assessment required under subparagraph (A), that aggregate reductions in losses of nitrogen, phosphorus, and sediment from agricultural and nonindustrial private forest land in a basin or subbasin of the Chesapeake Bay watershed in the State have been achieved in accordance with the water quality goals of the State described in paragraph (5)--CommentsClose CommentsPermalink
‘(i) during a period determined by the chief executive of the State, no further reductions in losses of nitrogen, phosphorus, or sediment may be required by the State or Federal Government from agricultural or nonindustrial private forest land in the basin or subbasin; andCommentsClose CommentsPermalink
‘(ii) during such period, no operations conducted on agricultural or nonindustrial private forest land in the basin or subbasin shall be considered to be a significant contributor of nitrogen, phosphorus, or sediment to waters in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(7) ASSISTANCE FROM SECRETARY-CommentsClose CommentsPermalink
‘(A) TECHNICAL ASSISTANCE- In carrying out a watershed partnership, the Secretary shall provide technical assistance--CommentsClose CommentsPermalink
‘(i) to the State to assist in developing the water quality goals of the State to result in reductions in losses of nitrogen, phosphorus, and sediment from agricultural or nonindustrial private forest land in the Chesapeake Bay watershed to improve water quality in the Chesapeake Bay watershed; andCommentsClose CommentsPermalink
‘(ii) to producers and owners of nonindustrial private forest land in the State--CommentsClose CommentsPermalink
‘(I) for education regarding activities they can undertake to reduce losses of nitrogen, phosphorus, and sediment from such land in the Chesapeake Bay watershed; andCommentsClose CommentsPermalink
‘(II) for assistance with conservation planning, implementation, and maintenance to reduce losses of nitrogen, phosphorus, and sediment from such land in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(B) ECONOMIC ANALYSIS- In providing assistance under this paragraph, the Secretary shall consider the practicability and economic achievability of the conservation practices that may be needed to reduce losses of nitrogen, phosphorus, and sediment from agricultural or nonindustrial private forest land in the Chesapeake Bay watershed to improve water quality in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(8) RULE OF CONSTRUCTION- Nothing in this subsection may be construed as a grant of regulatory authority to the Secretary.’.CommentsClose CommentsPermalink
SEC. 5. TECHNICAL GUIDELINES FOR ENVIRONMENTAL SERVICES MARKETS.
(a) Types of Guidelines Required-CommentsClose CommentsPermalink

(1) IMPAIRED WATERSHED GUIDELINES- Section 1245(a) of the Food Security Act of 1985 (

(2) ADDITIONAL GUIDELINES- Section 1245(b) of the Food Security Act of 1985 (

‘(1) Methodologies for quantifying environmental service benefits.CommentsClose CommentsPermalink
‘(2) Baseline methodologies for environmental service benefits.CommentsClose CommentsPermalink
‘(3) Methodologies to account for reversals and leakage for environmental services markets.CommentsClose CommentsPermalink
‘(4) Methodologies for verification of the environmental service benefits.CommentsClose CommentsPermalink
‘(5) A protocol to report environmental service benefits.CommentsClose CommentsPermalink
‘(6) A registry to collect, record, and maintain the benefits measured.CommentsClose CommentsPermalink
‘(7) A procedure to verify and ensure that environmental service benefits comply with Federal and State regulations.’.CommentsClose CommentsPermalink
(3) CONFORMING AMENDMENTS- Section 1245(c)(1) of the Food Security Act of 1985 (

(A) by striking ‘paragraph (2)’ and inserting ‘paragraph (5)’; andCommentsClose CommentsPermalink

(B) by striking ‘paragraph (3)’ and inserting ‘paragraph (6)’.CommentsClose CommentsPermalink

(b) Additional Requirements- Section 1245 of the Food Security Act of 1985 (

‘(f) List of Eligible Activities-CommentsClose CommentsPermalink
‘(1) LIST REQUIRED- The Secretary shall publish a list of eligible domestic agricultural and forestry activities that result in environmental service benefits.CommentsClose CommentsPermalink
‘(2) DEADLINE; PUBLICATION- Not later than 14 months after the date of the enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, the Secretary shall publish in the Federal Register the list of domestic agricultural and forestry activities that are eligible for trading under the guidelines established under subsection (a).CommentsClose CommentsPermalink
‘(3) RECOMMENDATIONS- In preparing the list under this subsection, the Secretary shall take into consideration the recommendations of the entities referred to in subsection (e).CommentsClose CommentsPermalink
‘(4) ADDITIONS AND REVISIONS- Not later than 4 years after the date of the enactment of the Chesapeake Bay Program Reauthorization and Improvement Act, and every two years thereafter, the Secretary shall update and revise the list prepared under this subsection. The updates and revisions shall be made only after the Secretary provides an opportunity for public notice of and an opportunity for comment on the proposed updates and revisions.CommentsClose CommentsPermalink
‘(g) Guidelines for Provision of Technical Assistance-CommentsClose CommentsPermalink
‘(1) VERIFICATION GUIDELINES- The Secretary shall establish guidelines for, and provide, technical assistance under this section to ensure that--CommentsClose CommentsPermalink
‘(A) environmental service benefits have been implemented properly; andCommentsClose CommentsPermalink
‘(B) the quantification of such benefits has resulted in an environmental benefit.CommentsClose CommentsPermalink
‘(2) TECHNICAL ASSISTANCE PROVIDER ACCREDITATION- As part of the guidelines established under this section, the Secretary shall develop a process and requirements for periodic accreditation of certified technical assistance providers for environmental service benefits to ensure that such providers are professionally qualified and have no conflicts of interest. Each technical service provider meeting the requirements for accreditation in accordance with this paragraph shall be listed in a publicly accessible database, which shall be maintained and updated by the Secretary.’.CommentsClose CommentsPermalink
SEC. 6. CHESAPEAKE BAY WATERSHED PILOT PROGRAM FOR CREATING ENVIRONMENTAL SERVICE MARKETS.
Section 1240Q of the Food Security Act of 1985 (

‘(j) Pilot Program for Creating Environmental Service Markets-CommentsClose CommentsPermalink
‘(1) ESTABLISHMENT- The Secretary shall establish a pilot program for the Chesapeake Bay watershed, for the facilitation of creating environmental service markets based on the guidelines outlined in section 1245(g), that does not result in removing eligible land wholly from agricultural production or eliminating the economic viability of such agricultural production. The Secretary shall ensure that the pilot program is consistent with local government rules and the policies, protocols, and regulations established under existing environmental service markets and State trading programs in the Chesapeake Bay watershed.CommentsClose CommentsPermalink
‘(2) TRANSMISSION OF DATA TO CHESAPEAKE BAY NUTRIENT AND SEDIMENT TRADING COMMISSION- The Secretary shall transmit to the Chesapeake Bay Nutrient and Sediment Trading Commission established under section 117A of the Federal Water Pollution Control Act, any data the Secretary determines is necessary to the effective administration of nutrient and sediment trading programs administered by such Commission.’.CommentsClose CommentsPermalink
SEC. 7. OFFSET.
There is authorized to be appropriated to the Environmental Protection Agency for the Environmental Programs and Management account for each of fiscal years 2013 through 2018 the amount that is $40,000,000 less than the amount appropriated for such account for fiscal year 2012, to be derived from amounts available for administrative expenses.CommentsClose CommentsPermalink

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U.S. Congress - Text of H.R.4153 as Introduced in House Chesapeake Bay Program Reauthorization and Improvement Act



