- 20 facilities are already meeting effluent limits under both the current criteria and recommended SSC so the SSC will have no economic impact.
- 32 facilities have no change in effluent limits so the SSC will have no economic impact.
- 16 facilities will have similar treatment options under both the current criteria and recommended SSC such that it is unlikely the recommended SSC will shift compliance costs much in either direction.
For the remaining 36 wastewater treatment facilities, 29 of the facilities are municipal wastewater treatment plants and 7 are industrial facilities. The economic impact for these 36 facilities is summarized in Table 2.
Table 2: Wastewater Compliance Costs
| # of Facilities | Total Present Worth Cost ($) (20 years) | Annual Cost ($) (20 years) |
Reduced Costs | 19 | 93,617,625 | 5,593,602 |
Increased Costs | 10 | 8,951,719 | 534,860 |
Reduced Costs | 5 | 86,115,333 | 5,895,862 |
Increased Costs | 2 | 7,554,925 | 517,245 |
This equates to an estimated cost savings of $180 million for the 24 wastewater facilities; however, 12 facilities see an estimated increased compliance cost totaling $16.5 million.
Estimated compliance costs reflect wastewater treatment at the facility and do not consider alternative lower cost compliance options, such as water quality trading, adaptive management, or the multi-discharge variance, which if utilized could result in lower compliance costs. Cost estimates are expressed in present worth, assume a 20-year time period, and include both capital and O&M costs. An interest rate of 3.2% was used for industrial facilities and an interest rate of 1.76% was used for municipal facilities, reflecting the discounted rate available through the Clean Water Fund. Cost estimates utilize the analysis prepared by the Department of Administration for the multi-discharger variance.
For the 14 permitted municipalities with urban storm water permits, economic impacts cannot be estimated until municipalities conduct additional analysis; however, under the recommended SCC 12 permitted municipalities have less stringent reductions and 2 permitted municipalities (Baraboo and Portage) have more stringent reductions. The department reached out to municipal consultants for cost estimates; however, consultants were unable to provide compliance cost estimates. The department hopes to receive information on economic impacts from storm water sources during the rulemaking process. Factors such as capital costs, planning and design costs, and life-cycle costs cannot be estimated until municipalities evaluate potential compliance strategies. During the first permit term, municipalities are required to develop a compliance plan, including a timeline for compliance that varies based on needed reductions, redevelopment patterns, and economic resources. It is anticipated that estimated compliance costs will be generated over the next 5 years as municipalities evaluate their compliance options. In addition, municipalities have extended compliance timeframes that can extend over multiple permit terms making a present worth or annual cost estimate difficult to estimate.
This rule will not impose additional pollution reduction requirements for nonpoint sources and CAFOs as the establishment of the recommended SSC itself does not invoke any new regulatory requirements for nonpoint sources or CAFOs. Adoption of the TMDL does allow the Wisconsin River Basin to be eligible for additional federal funding to support implementation of nonpoint practices.
For Lake Wisconsin, the recommended SSC allows TMDL allocations to be assigned such that water quality and the designated uses can be attained for the lake. Attainment of the designated uses is anticipated to have economic benefits for recreational activities such as boating and fishing, small business involved in the service and tourism industry, and increased property values due to improved water quality.
9. Anticipated number, month and locations of public hearings:
The department anticipates holding 1 public hearing during or before the month of December 2018. The hearing will be held at the City of Portage public library to provide easy accessibility to those parties most directly affected within the watershed.
As part of the TMDL development process, public meetings have already been held outlining the impacts of the recommended SSC. Meetings were held in Rhinelander on March 5, 2018, two meetings were held in Stevens Point on March 6, 2018, two meetings were held on March 14, 2018 in Portage, and a statewide webinar was held on February 21, 2018. An additional public hearing will be held regarding the TMDL during or before July 2018.
Contact Person: Kevin Kirsch, PE Water Resource Engineer, Wisconsin Department of Natural Resources Kevin.Kirsch@wisconsin.gov 608-266-7019
