IDEM Update American Water Works Association February 21, 2008

1. IDEM Update American Water Works AssociationFebruary 21, 2008 Thomas W. Easterly, P.E., BCEE, QEP Commissioner IN Department of Environmental Management We Protect Hoosiers and Our Environment

2. IDEM’s Mission and Environmental Goal IDEM is responsible for protecting human health and the environment while providing for safe industrial, agricultural, commercial and governmental operation vital to a prosperous economy. Our goal is to increase the personal income of all Hoosiers to the national average while maintaining and improving Indiana’s Environmental Quality. We Protect Hoosiers and Our Environment

3. Pilot 2006 Environmental Performance Index Yale Center for Environmental Law & Policy Yale University Center for International Earth Science Information Network (CIESIN) Columbia University http://www.yale.edu/epi/ We Protect Hoosiers and Our Environment

4. We Protect Hoosiers and Our Environment

5. How Is IDEM Protecting Hoosiers and Our Environment? Clear, consistent and speedy decisions Clear regulations Assistance first, enforcement second Timely resolution of enforcement actions Every regulated entity will have current valid permits without unnecessary requirements Written Standard Operating Procedures Improved staff training and development We Protect Hoosiers and Our Environment

6. Performance Metrics We Protect Hoosiers and Our Environment

7. Performance Metrics We Protect Hoosiers and Our Environment

8. Counties above AQ Standards January 10, 2005 Allen--Ozone Boone--Ozone Clark--PM & Ozone Dubois--PM Elkhart--Ozone Hamilton--Ozone Hancock--Ozone LaPorte--Ozone Madison--Ozone Marion--PM & Ozone Shelby--Ozone St. Joseph--Ozone January 1, 2007 Clark--PM Marion—PM Possible Addition Lake—Ozone (Whiting Monitor) We Protect Hoosiers and Our Environment

9. Permit Backlog Reduction • In 2005, there were 263 administratively extended NPDES permits • Six of those 263 remain to be issued: • US Steel Gary Works • US Steel Midwest Division • Arcelor Mittal Indiana Harbor East • Arcelor Mittal Indiana Harbor West • Arcelor Mittal Burns Harbor • Hoosier Energy Merom Plant We Protect Hoosiers and Our Environment

10. 2008 Legislative Issues • Property Tax Reform is the Major Issue in the 2008 Legislative Session • SB 45—The Great Lakes Water Compact was signed into law yesterday by Governor Daniels • HB 1120—Would ban phosphates in residential dishwasher detergent sold after July 1, 2010 We Protect Hoosiers and Our Environment

11. 2008 Legislative Issues • SB 200 addresses a number of issues including • Transfers lead program from IDEM to ISDH • Clarifies mercury switch removal program requirements to: • Allow payment for removal of mercury containing ant-lock braking switches and other mercury containing devices • Exempt wrecked vehicles where the mercury switch is not easily accessible • Allows IDEM to accept electronic signatures We Protect Hoosiers and Our Environment

12. 2008 Legislative Issues • SB 200 Continued • Removes the requirement that IDEM have a laboratory division • Removes the requirement to display operator certificates at a treatment plant • Allows a single vehicle ID and land application permit approval for a septage hauler • Eliminates the requirement that IDEM obtain social security numbers as part of good character approval process • Allows IDEM to use ELTF for tank inspections We Protect Hoosiers and Our Environment

13. Dr. Barnes Review of BP NPDES Permit We Protect Hoosiers and Our Environment

14. BP Permit Public Outreach • IDEM considers all stakeholders when making a permit decision. We respond to all comments received and include the responses in the fact sheet before making the final permit decision. • In January, 2007, IDEM, EPA and BP commenced an extraordinary outreach to and consultation with the Northwest Indiana environmental community during the development of the final draft permit We Protect Hoosiers and Our Environment

15. BP Permit Public Outreach • A public comment period on the draft permit was offered from March 16 to May 11, 2007. • A public meeting held in Whiting on April 26, 2007—attended by BP representatives, the environmental community and one citizen. • IDEM received and responded to comments from 46 people before issuing the final permit on June 21, 2007. We Protect Hoosiers and Our Environment

16. BP Permit Public Outreach • IDEM coordinated with EPA to ensure compliance with the Clean Water Act. On April 5, 2007, EPA issued a written notice of no objection concerning the BP Permit. • The 18-day appeal period for the permit ended on July 9, 2007 and no appeal was filed within that period. The permit became effective August 1, 2007 and the permit expires July 31, 2012. We Protect Hoosiers and Our Environment

17. BP Permit Media • Post Tribune Article stating that IDEM’s NPDES permit for BP did not require treatment. • Lee Botts wrote letter to the editor pointing out that the Post Tribune article was not correct • Sunday July 15 Article in Chicago Tribune “BP gets break on dumping in Lake—Refinery expansion entices Indiana” We Protect Hoosiers and Our Environment

18. BP Permit Media • The July 15 Tribune article resulted in: • July 16 letters from Senator Durbin and Representative Emanuel of Illinois to EPA and others criticizing IDEM’s permit action. • July 19th Commissioner Media Availability re BP • House Concurrent Resolution #187 on July 26, 2007 “Expressing the sense of Congress regarding the dumping of industrial waste into the Great Lakes” • An EPA led August 15 “Great Lakes Summit” • Numerous petitions, letters, etc. We Protect Hoosiers and Our Environment

19. BP Permit & Barnes Report • Governor Daniels Requested the Barnes Review on August 13, 2007 • Dr. Barnes is the former Dean of the School of Public and Environmental Affairs—he served USEPA both times Bill Ruckelshaus was the Administrator • Deputy Administrator • General Counsel • Dr. Barnes Issued His Report on December 3, 2007 We Protect Hoosiers and Our Environment

20. BP Permit & Barnes Report • “Permit complies with existing regulations and the explicit requirements of state and federal law.” • “The wastewater discharge would not be expected to cause a violation of water quality standards or interfere with designated uses in Lake Michigan (including full body contact recreation such as swimming, maintaining the aquatic community, and drinking water supply).” We Protect Hoosiers and Our Environment

21. BP Permit & Barnes Report • “The limitations in the BP permit are as demanding, and in several instances much more restrictive than, those issued by adjoining states to refineries.” • “With a flat ban on new or increased discharges of bioaccumulative chemicals of concern (BCCs) to Lake Michigan, Indiana is more protective of the Lake than the adjoining states…” We Protect Hoosiers and Our Environment

22. BP Permit & Barnes Report • “Indiana should clarify its antidegredation regulations for Lake Michigan to make them easier for permit applicants and the public to understand and for the agency to apply.” • “By modifying the regulations to address the shortcomings that I identified, Indiana can readily provide a more transparent process with clear requirements for making antidegredation decisions…” We Protect Hoosiers and Our Environment

23. BP Permit & Barnes Report • “The initial press reports that mischaracterized some of the material that BP is authorized to discharge as “sludge” created a misconception in the minds of many members of the public officials that does not accord with the actual facts in this case.” We Protect Hoosiers and Our Environment

24. BP Permit & Barnes Report • “Knowledgeable observers in both the environmental and business communities gave IDEM and its commissioner, Tom Easterly, credit for cutting the backlog of expired permits and for their efforts to engage the public early in the permit process.” We Protect Hoosiers and Our Environment

25. BP Permit & Barnes Report • In addition to the antidegradation demonstration, public concerns include: • The “Necessity” Decision • Mixing Zone/Diffuser • Mercury (especially the compliance schedule) • Monitoring and Reporting Requirements We Protect Hoosiers and Our Environment

26. Future IDEM Actions • IDEM will process an antidegradation regulation • Will apply to entire State • Special protection for Lake Michigan • IDEM will require more documentation for Compliance Schedules • IDEM will obtain an EPA non-objection determination prior to placing an NPDES permit on public notice We Protect Hoosiers and Our Environment

27. Questions? Tom Easterly 100 N. Senate Ave. IGCN 1301 Indianapolis, IN 46204 (317) 232-8611 Fax (317) 233-6647 teasterly@idem.in.gov We Protect Hoosiers and Our Environment