95-6676. Amendment to Requirements for Authorized State Permit Programs Under Section 402 of the Clean Water Act  

  • [Federal Register Volume 60, Number 52 (Friday, March 17, 1995)]
    [Proposed Rules]
    [Pages 14588-14592]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 95-6676]
    
    
    
    
    [[Page 14587]]
    
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    Part VII
    
    
    
    
    
    Environmental Protection Agency
    
    
    
    
    
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    40 CFR Part 123
    
    
    
    Amendment to Requirements for Authorized State Permit Programs Under 
    Section 402 of the Clean Water Act; Proposed Rule
    
    Federal Register / Vol. 60, No. 52 / Friday, March 17, 1995 / 
    Proposed Rules
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    [[Page 14588]] 
    
    
    ENVIRONMENTAL PROTECTION AGENCY
    
    40 CFR Part 123
    
    [FRL-5148-6]
    
    
    Amendment to Requirements for Authorized State Permit Programs 
    Under Section 402 of the Clean Water Act
    
    AGENCY: Environmental Protection Agency (EPA).
    
    ACTION: Proposed rule.
    
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    SUMMARY: EPA is proposing to amend the regulations concerning the 
    minimum requirements for federally authorized State permitting programs 
    under section 402 of the Clean Water Act. The proposed rule would 
    explicitly require that State law must provide any interested person an 
    opportunity to challenge the approval or denial of 402 permits issued 
    by the State in State court. The intent of the proposed rule is to 
    ensure that any interested person has the opportunity to challenge 
    judicially the final action on State-issued permits, to the same extent 
    as if the permit were issued by EPA. Most States already have this 
    authority which allows for local resolution of issues. As a result, EPA 
    believes today's proposed rule will apply to a very small number of 
    States with authorization to administer the National Pollutant 
    Discharge Elimination System (NPDES) permit program. EPA is not 
    proposing at this time to establish this requirement for Tribal 
    permitting programs under section 402, but is soliciting comments on 
    various issues related to extending this requirement to Tribes. No 
    Tribes are currently authorized to operate the NPDES program.
    DATES: Written comments on this proposed rule must be submitted on or 
    before June 15, 1995.
    ADDRESSES: Commenters are requested to submit three copies of their 
    comments to the Comment Clerk for the section 402 Amendment; Water 
    Docket; MC-4101, Environmental Protection Agency, 401 M Street, SW., 
    Washington DC 20460. Commenters who would like acknowledgement of 
    receipt of their comments should include a self-addressed, stamped 
    envelope. No facsimiles (faxes) will be accepted.
        A copy of the supporting information for this proposal is available 
    for review at EPA's Water Docket, room L-102, 401 M Street, SW., 
    Washington, DC 20460. For access to the docket materials, call (202) 
    260-3027 between 9 a.m. and 3:30 p.m. for an appointment.
    
    FOR FURTHER INFORMATION CONTACT: Laura J. Phillips, Office of 
    Wastewater Management (OWM), Permits Division (4203), Environmental 
    Protection Agency, 401 M Street, SW., Washington, DC 20460, (202) 260-
    9541.
    
    SUPPLEMENTARY INFORMATION: Information in this preamble is organized as 
    follows:
    
    I. Summary and Explanation of Today's Action
        1. Background
        2. Rationale and Authority for Proposed Rule
        3. Scope of Standing Requirement
        4. Exhaustion of Administrative Remedies
        5. Alternatives Under Consideration
        6. Time Period for Compliance
    II. Request for Comment
    III. Supporting Documentation
        1. Compliance With Executive Order 12866 (Regulatory Impact 
    Analysis)
        2. Compliance With Executive Order 12875
        3. Paperwork Reduction Act
        4. Regulatory Flexibility Act
    
    I. Summary and Explanation of Today's Action
    
    1. Background
    
        Congress enacted the Clean Water Act, 33 U.S.C. 1251 et seq. 
    (``CWA'' or ``the Act''), ``to restore and maintain the chemical, 
    physical, and biological integrity of the Nation's waters.'' Section 
    101(a), 33 U.S.C. 1251(a). To achieve this objective, the Act 
    authorizes EPA, or a State approved by EPA, to issue permits 
    controlling the discharge of pollutants to navigable waters. Section 
    402(a)(1), 33 U.S.C. 1342(a)(1). A State that wishes to administer its 
    own permit program for discharges of pollutants, other than dredged or 
    fill material, to navigable waters may submit a description of the 
    program it proposes to administer to EPA for approval according to 
    criteria set forth in the statute. Section 402(b), 33 U.S.C. 1342(b).
        EPA is authorized to treat Indian Tribes in the same manner as 
    States for purposes of certain provisions of the CWA, including section 
    402. Section 518(e), 33 U.S.C. 1377(e).
        EPA's regulations at 40 CFR part 123 establish minimum requirements 
    for federally authorized State permit programs under section 402 of the 
    CWA. These regulations include federally recognized Indian Tribes 
    within the definition of ``State.'' 40 CFR 122.2. EPA is proposing to 
    add language to part 123 that makes clear the intent that, to receive 
    or retain Federal authorization, a State must have laws that afford any 
    interested person the opportunity to challenge in State court the final 
    approval or denial of 402 permits by the State. The intent of this 
    proposal is to ensure that State programs provide the public with an 
    opportunity to challenge final action on 402 permits in State courts, 
    to the same extent as if the permit were federally-issued. EPA is 
    inviting comment on various issues related to extending this 
    requirement to Tribes.
    
    2. Rationale and Authority for Proposed Rule
    
        EPA has become aware of instances in which citizens are barred from 
    challenging State-issued permits because of restrictive standing 
    requirements in State law. EPA believes this is a gap in the 
    regulations setting minimum requirements for State 402 permit programs 
    that needs to be addressed.
        A coalition of environmental groups has filed two petitions 
    requesting that EPA withdraw the Virginia State 402 permit program, 
    citing a limitation on citizen standing, among other alleged 
    deficiencies. In particular, they allege that recent changes in the law 
    in the State of Virginia have significantly narrowed the public's 
    opportunity to challenge State-issued 402 permits. Virginia's State 
    Water Control Law, the State law under which Virginia's authorized 
    program is administered, authorizes only an ``owner aggrieved'' to 
    challenge permits in court. VA Code 62.1-44.29. In 1990, the Virginia 
    legislature amended and narrowed the statutory definition of ``owner.'' 
    The environmental groups allege that under three opinions of the 
    Virginia Court of Appeals and the State Water Control Law, only a 
    permittee has standing to challenge the issuance or denial of a 402 
    permit in State court. Environmental Defense Fund v. State Water 
    Control Board, 12 Va. App. 456, 404 SE.2d 728 (1991), reh'g en banc 
    denied, 1991 Va. App. LEXIS 129; Town of Fries v. State Water Control 
    Board, 13 Va. App. 213, 409 SE.2d 634 (1991). See Citizens for Clean 
    Air v. State Air Pollution Control Board, 13 Va. App. 430, 412 SE.2d 
    715 (1991)(interpreting similar language in Virginia Air Pollution 
    Control Law). They allege that under these three decisions, riparian 
    landowners, local governments that wish to draw drinking water from the 
    waters in question, downstream permittees, local business and property 
    owners associations, local civic associations and environmental 
    organizations whose members use the waters in question may not 
    challenge a State-issued permit in State court.
        The Agency is committed to moving away from permit-by-permit 
    oversight. At the same time, it is critical that EPA continue in its 
    partnership role to support effective State implementation. It is also 
    essential to provide for meaningful local participation and 
    [[Page 14589]] resolution of permit specific issues. An important 
    component of effective public participation is that the public have 
    access to judicial forums to challenge State-issued permits to the same 
    extent as would be the case were EPA the permitting authority. This 
    approach ensures that as EPA reduces its oversight, both EPA and the 
    States remain directly accountable on a permit-by-permit basis to the 
    public. To this end, EPA believes the purposes of the CWA can best be 
    accomplished by providing an opportunity for review in State court of 
    the final approval or denial of 402 permits by all interested persons, 
    as well as permittees and permit applicants, in order to ensure an 
    adequate and meaningful opportunity for public review and comment on 
    issues addressed by the permit. The same concerns arise when the 
    program is federally administered; that is why Congress provided for 
    judicial review of Federal permit actions in Federal court.
        When citizens are denied the opportunity to challenge executive 
    agency decisions in court, their ability to influence permitting 
    decisions through other required elements of public participation, such 
    as through public comments and public hearings on proposed permits, may 
    be seriously compromised. If citizens perceive that a State is not 
    addressing their concerns about 402 permits because the citizens have 
    no recourse to an impartial judiciary, that perception also has a 
    chilling effect on all the remaining forms of public participation in 
    the permitting process. EPA believes that in order to effectuate the 
    policies and purposes of the CWA, States must address the legitimate 
    concerns of citizens about 402 permits. Accordingly, EPA is proposing 
    to add language to part 123 explicitly requiring that all interested 
    persons must have an opportunity to challenge the final approval or 
    denial of 402 permits in State court. In the judgment of EPA, this 
    effectively balances the CWA's strong policy favoring public 
    participation in the development of water pollution controls with the 
    policy to ``recognize, preserve and protect the primary 
    responsibilities and rights of the States to prevent, reduce and 
    eliminate pollution...'' Section 101(b), 33 U.S.C. 1251(b). It 
    effectuates EPA's strong policy interest in deferring to State 
    administration of authorized NPDES programs while ensuring that 
    citizens will be able to influence permitting decisions through public 
    participation and will have access to the courts to challenge State-
    issued permits to the same extent as if the program were federally 
    administered.
        EPA's direct authority to specify this requirement is found at 
    sections 101(e), 304(i), 402(b) and (c), and 501(a) of the CWA.
        Section 501(a), 33 U.S.C. 1361(a), confers general authority on the 
    Administrator to prescribe such regulations as are necessary to carry 
    out her functions under the CWA. Section 304(i), 33 U.S.C. 1314(i), 
    provides that EPA shall promulgate guidelines establishing the minimum 
    procedural and other elements of any State program under section 402. 
    Section 101(e) provides that ``[p]ublic participation in the 
    development, revision, and enforcement of any regulation, standard, 
    effluent limitation, plan, or program established by the Administrator 
    or any State under this chapter shall be provided for, encouraged, and 
    assisted by the Administrator and the States . . . .'' 33 U.S.C. 
    1251(e). To establish minimum public participation requirements 
    consistent with these statutory goals, section 101(e) directs the 
    Administrator, in cooperation with the States, to establish minimum 
    guidelines for public participation. Id.
        Congress included the provisions relating to public participation 
    in section 101(e) because it recognized that ``[a] high degree of 
    informed public participation in the control process is essential to 
    the accomplishment of the objectives we seek--a restored and protected 
    natural environment.'' S. Rep. 414, 92d Cong., 2d Sess. 12 (1972), 
    reprinted in A Legislative History of the Water Pollution Control Act 
    Amendments of 1972, Cong. Research Service, Comm. Print No. 1, 93d 
    Cong., 1st Sess. 108 (1973)(hereinafter cited as 1972 Legis. Hist.) at 
    1430. The Senate Conference Report observed further that implementation 
    of water pollution control measures would depend, ``to a great extent, 
    upon the pressures and persistence which an interested public can exert 
    upon the governmental process. The Environmental Protection Agency and 
    the State should actively seek, encourage and assist the involvement 
    and participation of the public in the process of setting water quality 
    requirements and in their subsequent implementation and enforcement.'' 
    Id. See also Senate Conference Report at 72, 1972 Legis. Hist. at 1490 
    (``The scrutiny of the public... is extremely important in insuring 
    expeditious implementation of the authority [conferred by section 402] 
    and a high level of performance by all levels of government and 
    discharge sources.'') Similarly, the House directed EPA and the States 
    ``to encourage and assist the public so that it may fully participate 
    in the administrative process.'' H. Rep. 911, 92d Cong., 2d Sess. 79, 
    1972 Legis. Hist. at 766. Congressman Dingell, a leading sponsor of the 
    CWA, characterized section 101(e) as applying ``across the board.'' Id. 
    at 108. See also id. at 249.
        Section 402(b) establishes the statutory standards applicable to 
    the approval of State 402 permitting programs. These standards also 
    reflect the importance that Congress attached to effective public 
    participation in establishing controls on water pollution. States 
    wishing to administer a 402 permit program must establish to the 
    satisfaction of the Administrator that they have enacted laws that 
    provide adequate authority to carry out the State program. Section 
    402(b), 33 U.S.C. 1342(b). Section 402(b)(3) contains an explicit 
    requirement for public participation in the development of State 
    permits. Subsection (3) allows disapproval upon a finding of inadequate 
    authority ``[t]o insure that the public, and any other State the waters 
    of which may be affected, receive notice of each application for a 
    permit and to provide an opportunity for public hearing before a ruling 
    on each such application.'' Id. Section 402(c), 33 U.S.C. 1342(c), 
    authorizes EPA to withdraw a State program if it is not being 
    administered in accordance with applicable requirements.
        The courts have also recognized that meaningful and adequate public 
    participation is an essential part of a State program under section 
    402. See Natural Resources Defense Council v. EPA, 859 F.2d 156, 175-78 
    (D.C. Cir. 1988)(approving part 123 regulations regarding citizen 
    intervention in State enforcement actions); Citizens for a Better 
    Environment v. EPA, 596 F.2d 720, reh'g denied, 596 F.2d 725 (7th Cir. 
    1979)(invalidating EPA approval of a State program in the absence of 
    prior promulgation of guidelines regarding citizen participation in 
    State enforcement actions).
        Thus, the CWA vests considerable discretion in the Administrator to 
    set minimum requirements applicable to authorized 402 programs, 
    particularly with respect to public participation and the rights of 
    citizens to influence the permitting process. See Natural Resources 
    Defense Council v. EPA, 859 F.2d at 175-178.
        EPA's proposal is further supported by the statutory provisions 
    governing challenges to 402 permits issued by EPA. Section 509(b)(1) of 
    the CWA, 33 U.S.C. 1369(b)(1), provides that ``any interested person'' 
    may obtain judicial review in the United States Court of 
    [[Page 14590]] Appeals of the Administrator's action in issuing or 
    denying any permit under section 402. There is no indication that 
    Congress intended that the public's rights to challenge permit actions 
    would be diminished, upon EPA's approval of a State 402 program, to the 
    point that the goal of adequate and effective public participation in 
    the permit issuance process would be compromised. (Similarly, Congress 
    has provided citizens the ability, except in defined circumstances, to 
    commence a civil action in the United States District Court against any 
    person who is alleged to be in violation of any effluent standard or 
    limitation under the CWA, regardless of whether the permitting 
    authority is EPA or the State. Section 505(a), 33 U.S.C. 1365(a)).
        The regulations setting minimum requirements for authorized State 
    402 permit programs, 40 CFR part 123, do not explicitly address 
    requirements for citizen standing to challenge the approval or denial 
    of permits in State court. The current part 123 regulations were 
    originally issued on May 19, 1980. 45 FR 33290. When EPA issued those 
    regulations, the Agency did not contemplate that State law might limit 
    the opportunity for interested citizens to challenge final permit 
    decisions in State court to such a degree that it is substantially 
    narrower than the opportunity afforded under section 509 to challenge 
    federally-issued permits. Accordingly, EPA believes it needs to specify 
    standing requirements in part 123. EPA seeks to add language to part 
    123 that would explicitly require that in order to receive or retain 
    authorization, a State must afford any interested person the 
    opportunity to challenge the final approval or denial of 402 permits in 
    State court. The proposal would codify the Agency's interpretation of 
    the CWA, as set forth above. EPA believes the Clean Water Act 
    authorizes the Agency to specify this requirement as a precondition to 
    the assumption and continued operation of a 402 permitting program by a 
    State.
        The proposed rule would apply to final actions with respect to 
    modification, revocation and reissuance and termination of permits as 
    well as the approval or denial of permits in the first instance.
    
    3. Scope of Standing Requirement
    
        EPA's proposal makes it clear that ``any interested person'' must 
    be afforded standing to challenge final action by a State in issuing or 
    denying a 402 permit; this proposal would ensure consistency with the 
    standing afforded the public to challenge federally-issued permits in 
    Federal court. The legislative history of the CWA states explicitly 
    that the term ``interested person'' in section 509(b) is intended to 
    embody the injury in fact rule of the Administrative Procedure Act, as 
    set forth by the Supreme Court in T3Sierra Club v. Morton, 405 U.S. 727 
    (1972). S. Conference Rep. No. 1236, 92d Cong, 2d Sess. 146 (1972), 
    1972 Legis. Hist. at 281, 329. Montgomery Environmental Coalition v. 
    Costle, 646 F.2d 568, 576-78 (D.C. Cir. 1980). See Trustees for Alaska 
    v. EPA, 749 F.2d 549, 554-55 (9th Cir. 1984). EPA intends that the term 
    ``interested person'' as used in the proposed rule have the same 
    meaning that it has in section 509(b). Today's proposal would ensure 
    that citizen standing to challenge the issuance or denial of State-
    issued 402 permits is similarly expansive where the State is authorized 
    to administer 402 permit programs.
        As interpreted by the United States Supreme Court, the standing 
    requirement of Article III of the Constitution contains three key 
    elements:
    
        [A]t an irreducible minimum, Art. III requires the party who 
    invokes the court's authority to ``show that he personally has 
    suffered some actual or threatened injury as a result of the 
    putatively illegal conduct of the defendant,''... and that the 
    injury ``fairly can be traced to the challenged action'' and ``is 
    likely to be redressed by a favorable decision.''
    
    Valley Forge Christian College v. Americans United for Separation of 
    Church and State, Inc., 454 U.S. 464, 472 (1982)(citations omitted. See 
    also Lujan v. Defenders of Wildlife, 504 U.S. ______, 119 L.Ed.2d 351, 
    364 (1992).
        With respect to the nature of the injury that an ``interested 
    person'' must show to obtain standing, the Supreme Court held in Sierra 
    Club v. Morton, 405 U.S. at 734-35, that harm to an economic interest 
    is not necessary to confer standing. Harm to an aesthetic, 
    environmental, or recreational interest is sufficient, provided that 
    the party seeking judicial review is among the injured. This holding 
    was most recently reaffirmed by the Supreme Court in Lujan v. Defenders 
    of Wildlife, 504 U.S. ______, 119 L.Ed.2d at 365 (``[o]f course, the 
    desire to use or observe an animal species, even for purely aesthetic 
    purposes, is undeniably a cognizable interest for purposes of 
    standing.''). See also Japan Whaling Ass'n v. American Cetacean 
    Society, 478 U.S. 221, 231 n. 4 (1986); Middlesex County Sewerage Auth. 
    v. National Sea Clammers Ass'n, 453 U.S. 1, 16-17. This low threshold 
    for sufficiency of injury has been applied in many decisions. See, 
    e.g., Sierra Club v. Simkins Industries, Inc., 847 F.2d 1109 (4th Cir. 
    1988), cert. denied, 491 U.S. 904 (1989) (injury to aesthetic and 
    environmental interests is sufficient where pollution would affect a 
    river along which a single group member hiked); Friends of the Earth v. 
    Consolidated Rail Corp., 768 F.2d 57, 61 (2d Cir. 1985) (recreational 
    use of a river and offense to aesthetic values are sufficient to 
    demonstrate injury in fact).
    
    4. Exhaustion of Administrative Remedies
    
        A requirement that all interested persons have the opportunity to 
    challenge final permitting actions judicially should be distinguished 
    from a requirement that interested persons must exhaust administrative 
    remedies in order to preserve their opportunity to challenge permitting 
    actions judicially. For example, Federal regulations require that 
    interested persons must raise reasonably ascertainable issues during 
    the public comment period on a draft 402 permit (40 CFR 124.13) and 
    must request an evidentiary hearing on a permit decision they wish to 
    challenge (40 CFR 124.74). Today's proposal does not affect the 
    authority of States to adopt similar, reasonable requirements that 
    interested persons exhaust available administrative remedies in order 
    to preserve their opportunity to challenge final permitting actions in 
    State court.
    
    5. Alternatives Under Consideration
    
        EPA also considered amending part 123 to require that State law 
    must provide an opportunity for judicial review of a final State permit 
    action under section 402 by the permit applicant and any person who 
    participated in the public comment process. See section 502(b)(6) of 
    the Clean Air Act, 42 U.S.C. 7661a(b)(6). The Agency prefers the ``any 
    interested person'' language because it tracks section 509(b)(1) of the 
    CWA, which allows ``any interested person'' to challenge specified 
    final actions of the Administrator, including the issuance or denial of 
    any permit under section 402, in the United States Court of Appeals. It 
    is also consistent with existing regulations under the CWA which allow 
    ``any interested person'' to request an evidentiary hearing on a 
    Regional Administrator's final permit decision. 40 CFR 124.74. As noted 
    above, States would be free under today's proposal to impose reasonable 
    requirements that interested persons must exhaust administrative 
    remedies, such as participation in the public comment process, in order 
    to preserve their opportunity to challenge a final permitting action in 
    State court. [[Page 14591]] 
        EPA solicits comment on whether it should adopt a requirement, in 
    lieu of the proposed regulatory language, that State law must provide 
    an opportunity for judicial review of a final permitting action under 
    section 402 by the permit applicant and any person who participated in 
    the public comment process.
    
    6. Time Period for Compliance
    
        Under EPA's existing regulations, any approved State 402 program 
    that requires revision to conform to today's proposal, when it is 
    finally promulgated, would need to be revised within one year of the 
    date of final promulgation of today's proposed rule, unless the State 
    must amend or enact a statute in order to make the required revision. 
    In that case, under EPA's existing regulations, the revision must take 
    place within two years. 40 CFR 123.62(e). EPA is considering amending 
    the regulations to require that States revise their programs sooner 
    than specified under 40 CFR 123.62(e) to bring the program into 
    compliance with today's proposed rule. For example, EPA is considering 
    requiring that if a State must amend or enact a statute to make the 
    necessary revisions to its law, this must be done during the first 
    legislative session that begins after the date of promulgation of 
    today's proposal as a final rule. EPA requests comment on whether it 
    should impose a requirement that States revise their programs sooner 
    than specified under 40 CFR 123.62(e) to bring the program into 
    compliance with today's proposed rule, and if so, what would be an 
    appropriate shortened time period for compliance.
    
    II. Request for Comment
    
        EPA solicits comment on all aspects of today's proposal. In 
    particular, EPA seeks comment on the appropriateness of the proposal 
    from a legal and a policy perspective; on the ``any interested person'' 
    language as proposed; on the alternative that would require that State 
    law must provide an opportunity for judicial review of a final 
    permitting action under section 402 by the permit applicant and any 
    person who participated in the public comment process, as discussed 
    above; and on any alternative language that would specify appropriate 
    explicit standing requirements applicable to authorized State 402 
    programs.
        EPA also requests comment on whether it should amend the 
    regulations to require States to revise their programs sooner than 
    would otherwise be required under 40 CFR 123.62(e) to bring the program 
    into compliance with today's proposed rule, when it is finally 
    promulgated.
        EPA is not proposing at this time to establish this requirement for 
    Tribal permitting programs under section 402. Tribes are just beginning 
    the development of various Clean Water Act programs and the issues of 
    sovereign immunity and access to Tribal courts must be carefully 
    considered. No Tribes are currently authorized to operate the NPDES 
    program. EPA is soliciting comments on various issues, including the 
    issue of sovereign immunity, related to extending this requirement to 
    Tribes. Based upon the comments received on this proposal, EPA may 
    propose regulatory action in the future with respect to review of 
    Tribally-issued NPDES permits. EPA also invites comment about how it 
    could phase in such a requirement for Tribes, if the Agency moves 
    forward with such a proposal in the future.
        EPA is aware that access to Tribal courts may not be as broad as 
    access to State courts. (EPA addressed some issues with regard to 
    Tribal regulation of nonmembers, as well as differences in Tribal 
    criminal enforcement programs, in the preamble to and/or the final 
    regulation on NPDES authority for Tribes, 58 FR 67966, December 22, 
    1993.) EPA specifically invites comment on (1) these differences with 
    regard to access to Tribal courts for appeal of NPDES permits (which 
    may be issued to nonmembers of the Tribe), (2) the basis of the 
    differences, (3) as well as any alternative procedures that may be used 
    to provide for an appeal of final Tribal NPDES permit actions, if a 
    Tribal court system is not available to a person.
    
    III. Supporting Documentation
    
    1. Compliance With Executive Order 12866
    
        Under Executive Order 12866 (58 FR 51735, October 4, 1993), the 
    Agency must determine whether the regulatory action is ``significant,'' 
    and therefore subject to review by the Office of Management and Budget 
    (OMB) and the requirements of the Executive Order. The Order defines 
    ``significant regulatory action'' as one that is likely to lead to a 
    rule that may:
    
        (1) Have an annual effect on the economy of $100 million or more, 
    or adversely and materially affecting a sector of the economy, 
    productivity, competition, jobs, the environment, public health or 
    safety, or State, local, or Tribal governments or communities;
        (2) Create a serious inconsistency or otherwise interfere with an 
    action taken or planned by another agency;
        (3) Materially alter the budgetary impact of entitlements, grants, 
    user fees, or loan programs, or the rights and obligations, of 
    recipients thereof; and
        (4) Raise novel legal or policy issues arising out of legal 
    mandates, the President's priorities, or the principles set forth in 
    the Executive Order.
    
        EPA believes that only a very few authorized States may be impacted 
    by this proposed rule. The proposed action is consistent with and 
    effectuates the public participation provisions of the CWA. As a 
    result, EPA has determined that the final rule does not meet the 
    definition of a significant regulation, and, therefore, the Agency is 
    not conducting a Regulatory Impact Analysis.
        It has also been determined that this proposed rule is not a 
    ``significant regulatory action'' under the terms of Executive Order 
    12866 and is therefore not subject to OMB review.
    
    2. Compliance With Executive Order 12875
    
        Under Executive Order 12875, entitled Enhancing the 
    Intergovernmental Partnership, the Agency is required to develop an 
    effective process to permit elected officials and other representatives 
    of State and Tribal governments to provide meaningful and timely input 
    in the development of regulatory proposals.
        EPA fully supports this objective and has initiated a consultation 
    process with both States and Tribes which will be continued through 
    proposal and the public comment period. The Agency will be contacting 
    each State individually for their views on this proposal. With regard 
    to Indian Tribes, EPA is aware of the complex issues associated with 
    applying this proposal to Tribes and is soliciting comments on those 
    issues. EPA will work both with representatives of Tribes as well as 
    through the Agency's American Indian Environmental Office to assure a 
    full opportunity for review and comment on today's proposal and also to 
    ensure an understanding of Tribal concerns or issues raised by today's 
    proposal rule.
        EPA anticipates a reaction from the relatively few NPDES-authorized 
    States which restrict standing to challenge State-issued NPDES permits. 
    Businesses and municipalities in States which restrict standing may 
    argue that allowing standing will make it more difficult to obtain a 
    permit due to court challenges by citizens. However, based on EPA's 
    experience in States which already provide broad standing to challenge 
    permits, EPA does not expect that any significant portion of permits 
    will be challenged in State courts. [[Page 14592]] 
        EPA believes that it has developed an effective process for 
    receiving comments on this proposed rulemaking and has met the 
    consultation requirements for States, federally recognized Tribes and 
    localities under the terms of Executive Order 12875.
    
    3. Paperwork Reduction Act
    
        This proposed rule does not contain information requirements 
    subject to OMB review under the Paperwork Reduction Act, 44 U.S.C. 3501 
    et seq.
    
    4. Regulatory Flexibility Act
    
        Under the Regulatory Flexibility Act (RFA), 5 U.S.C. 601 et seq., 
    EPA must prepare a Regulatory Flexibility Analysis for regulations 
    having a significant impact on a substantial number of small entities.
        This proposed rule applies only to States with authorization to 
    administer the NPDES permit program. States are not considered small 
    entities under the RFA. Therefore, pursuant to section 605(b) of the 
    Regulatory Flexibility Act, I certify that this proposed rule will not 
    have a significant impact on a substantial number of small entities.
    
    List of Subjects in 40 CFR Part 123
    
        Environmental protection, Administrative practice and procedure, 
    Water pollution control.
    
        Dated: March 9, 1995.
    Carol M. Browner,
    Administrator.
    
        For the reasons set forth in this preamble, part 123, chapter I, 
    title 40 of the Code of Federal Regulations is proposed to be amended 
    as follows:
    
    PART 123--[AMENDED]
    
        1. The authority citation for part 123 continues to read as 
    follows:
    
        Authority: Clean Water Act, 33 U.S.C. 1251 et seq.
    
        2. Section 123.30 is added to read as follows:
    
    
    Sec. 123.30  Judicial review of approval or denial of permits.
    
        All States that administer or seek to administer a program under 
    this part must provide any interested person an opportunity for 
    judicial review in State Court of the final approval or denial of 
    permits by the State. This requirement does not apply to Indian Tribes.
    [FR Doc. 95-6676 Filed 3-16-95; 8:45 am]
    BILLING CODE 6560-50-F
    
    

Document Information

Published:
03/17/1995
Department:
Environmental Protection Agency
Entry Type:
Proposed Rule
Action:
Proposed rule.
Document Number:
95-6676
Dates:
Written comments on this proposed rule must be submitted on or before June 15, 1995.
Pages:
14588-14592 (5 pages)
Docket Numbers:
FRL-5148-6
PDF File:
95-6676.pdf
CFR: (1)
40 CFR 123.30