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Chesapeake Bay Policy Committee Meeting Bay Program Water Quality Goals: Focus on Funding Presented to COG Board of Directors September 10, 2003
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COG Board - 9/10/032 Recommendations in Brief Actively pursue funding support –Wastewater –Urban stormwater –Agriculture Expand education and outreach efforts
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COG Board - 9/10/033 Presentation Outline Introduction – Bruce Williams Setting the Stage – Penelope Gross Funding: Wastewater & Stormwater – J Davis Funding: Agriculture – John Lovell Recommendations – Bruce Williams
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COG Board - 9/10/034 1 in 4 of the Bay watershed’s residents lives in the COG region Section I: Setting the Stage COG region critical to Bay Program’s success Region’s 2000 population – 4.2 million About 25% of the people in the Bay watershed About 80% of the people in Potomac watershed Region’s 2030 projected population – 6.1 million
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COG Board - 9/10/035 Consistent COG Region Support 1987 – Reduce nutrients by 40 % 1992 – Reaffirmation of 40 % goal 1998 – Board creates the Chesapeake Bay Policy Committee 2000 - C2K Agreement sets new goal - COG Board resolution in support
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COG Board - 9/10/036 Wastewater has Led the Way COG Region wastewater plants reduced nitrogen discharges 55 % from 1985 levels
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COG Board - 9/10/037 Fundamental C2K Commitment “ By 2010, correct the nutrient- and sediment-related problems in the Bay and its tidal tributaries sufficiently to remove the Bay and tidal portions of its tributaries from the list of impaired waters under the Clean Water Act”
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COG Board - 9/10/038 A Long Way to Go for C2K Graph showing 200 progress and 2010cap for N and P in COG region
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COG Board - 9/10/039 Cost of Meeting C2K IMPLEMENTING C2K (FY 2003-2010) Source: Chesapeake Bay Commission Projected Costs: $18.7 B Projected Income:$ 5.9 B Funding Gap: $12.8 B or $ 1.6 B/yr Preliminary analysis indicate significant impacts on wastewater rates, stormwater fees and farm costs
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COG Board - 9/10/0310 Regulatory Program Could Raise Costs Framework exists for regulatory approach –Backstop for “nonregulatory” goal –TMDLs and permitting Permit conditions could mean much more conservative treatment plant design Cost-share grants may not be available for mandated requirements Most of $12.8 billion funding gap could become local government responsibility
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COG Board - 9/10/0311 In Short Fight to preserve “nonregulatory” characteristics to the extent possible –Agreements rather than permit conditions; or –More flexible permit conditions Fight to maximize state and federal contributions
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COG Board - 9/10/0312 Section II: Wastewater & Stormwater Funding Equity = Share funding burden among federal, state and local partners Success has been greatest where this has occurred
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COG Board - 9/10/0313 Cooperative Funding for BNR BNR implementation at region’s wastewater plants was based on availability of cost- share funds
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COG Board - 9/10/0314 No Cooperative Funding for Stormwater Little state or federal money for urban stormwater management
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COG Board - 9/10/0315 State Funding Prospects MD has identified up to $80 million to be used for wastewater upgrades through FY 2008 –2004 budget represents an increase VA has funding deficit; no new funds identified Both states: little funding for stormwater retrofits
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COG Board - 9/10/0316 Federal Funding Prospects Chesapeake Bay Nutrient Reduction Act –Cost share funding for wastewater plants –Lacks Congressional support Bay Commission proposed funding stormwater under highway funding bill –Status quo in FY 04 budget –New legislation anticipated next year
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COG Board - 9/10/0317 Alternative Funding Approaches Chesapeake Bay Foundation has floated idea for regional authority with taxing powers Long Island Sound restoration program Everglades restoration program
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COG Board - 9/10/0318 In Short Several state & federal concepts are being considered COG staff is tracking progress and participating where feasible Anticipate specific proposals to come to the COG Board
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COG Board - 9/10/0319 Section III: Agricultural Funding Why is it important to COG region?
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COG Board - 9/10/0320 Ag Sources in COG Region Majority of nutrients in the COG region are from wastewater and stormwater sources Ag Urban Waste water
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COG Board - 9/10/0321 Ag Sources in Bay Watershed BAY 2000 TN LOADS TN=285 million lbs/yr Ag Baywide, agriculture is the largest source of nutrients and sediment
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COG Board - 9/10/0322 Ag Progress Critical Reductions from ag sector help meet equity –Reducing ag loads can be cost effective approach Agriculture is a potential nutrient trading partner with urban sources –This may become increasingly important as population continues to grow
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COG Board - 9/10/0323 Ag Funding Opportunity Substantial state & federal funding available 2002 Farm Bill includes provision for Bay restoration –Authorizes up to $20 million/year for 5 years for innovative practices USDA has not yet implemented the program
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COG Board - 9/10/0324 In Short New innovative agricultural programs have been authorized COG should support implementation
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COG Board - 9/10/0325 Section IV: Recommendations Actively pursue federal and state funding for all sectors CBPC will seek Board approval to support specific proposals in the best interests of COG members –“Equity” and “Voluntary” remain key principles
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COG Board - 9/10/0326 Wastewater Funding Recommendation Advocate for federal and state financial assistance for wastewater plant upgrades Work with COG stakeholders to craft specific program provisions
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COG Board - 9/10/0327 Urban Stormwater Funding Recommendation Advocate for stormwater financial assistance under highway funding bill Work with COG stakeholders (including TPB) to craft specific provisions
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COG Board - 9/10/0328 Ag Funding Recommendation Support full funding of the Farm Bill program for the Bay Work with COG stakeholders to develop nutrient trading program
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COG Board - 9/10/0329 Next Steps Move for adoption of Resolution R39-03 Accelerate education and outreach efforts –Local government officials –Citizen groups –Note: COG’s Bay video available soon
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