Department of Natural Resources
Meghan Williams – WY/3
Department of Natural Resources
101 S. Webster Street
PO Box 7921
Madison, WI 53707
Initial Regulatory Flexibility Analysis
The department has determined that there may be an impact on small businesses in Wisconsin. A breakdown of the statewide economic impact on small businesses is provided in the two tables below. The number of affected small businesses was determined based on the number of affected industries discussed in the narrative attached to the EIA (Attachment B). The facilities are all expected to either have reasonable potential to exceed the threshold of public health significance or be discharging to a POTW that has reasonable potential to exceed the threshold of public health significance. Consequently, these facilities will, at a minimum, incur costs associated with sampling and development and implementation of a PFAS minimization plan or just source reduction activities. See Attachment B to the EIA for further discussion and explanation of the expected treatment costs.
Estimated Number of Affected Small Businesses
Industry Type | Percentages of Small Businesses by Industry Type | Number of Affected Industries | Number of Affected Small Businesses |
Chemical Manufacturers | 72% | 10 | 7 |
Commercial Laundries | 70% | 8 | 6 |
Estimated Statewide Impact on Small Businesses
Cost Type | Number of Small Businesses | Annual Costs |
PFAS Minimization Plan/Source Reduction Measures | 48 | $658,944 |
In order to comply with this rule, affected small businesses will need to develop and implement a PFAS minimization plan to reduce PFOA and PFOS concentrations from their effluents. In order to develop this plan, small businesses will need to research known sources of PFOA and PFOS as they apply to their specific processes and make efforts to eliminate or minimize those sources. This will require the affected small businesses to have knowledge of how to use the internet, communication skills to solicit information from other affected entities, and documentation skills to show what actions have been taken.
All affected small businesses will also need to learn how to obtain a representative sample from their discharge, whether it is a direct discharge to surface waters or an indirect discharge to a publicly owned treatment works (“POTW”). Because of the high potential for cross-contamination when sampling for PFAS, these procedures may be different than how facilities currently sample their effluent. For small businesses that have a direct discharge, their sample results are submitted on monthly Discharge Monitoring Reports (DMR). Small businesses with WPDES permits are familiar with DMR reports. For small businesses that discharge to a POTW, the small business can submit the PFOS or PFOA results directly to the POTW consistent with existing standard reporting procedures.
The department estimates that there will potentially be one small business that may need to install treatment. This will require the small business’s current treatment system operators to research the requirements to properly operate a granular activated-carbon treatment system. A compliance schedule may be granted to install treatment.
Although not expected, in the event a small business with a WPDES permit (direct discharger) had to install treatment to comply with the narrative standard, the small business could apply for an economic variance pursuant to s. 283.15, Wis. Stats., if treatment costs would result in widespread adverse social and economic impacts. Without specific financial and employment information for a small business variance applicant, it is impossible for the DNR to determine at this time whether any applicant would qualify for a variance. The department has considered the methods outlined in s. 227.114(2)(a) to (e), Wis. Stats., and has concluded that, based on existing state and federal regulations, the department cannot exempt small businesses from sampling and reporting requirements or provide a relaxed schedule simply based on the size of a business. The department also cannot exempt small businesses from compliance with the water quality standard. Wisconsin’s WPDES permit program is based on the requirements in ch. 283, Wis. Stats., and the state’s permitting program must be consistent with federal NPDES permit requirements established in the Clean Water Act and applicable federal regulations. Federal regulations do not allow less stringent limitations or compliance schedules categorically for small businesses. Although not specific to small businesses, the proposed rule does allow for less-frequent sampling for permittees on a case-by-case basis, and if a small business is not expected to discharge PFOA or PFOS into surface waters, the business doesn’t have to sample for these pollutants and would not be subject to the requirements of this proposed rule. Agency Small Business Regulatory Coordinator
Emma Esch (608) 266-1959
