The Department of Environmental Protection announced it would be giving municipalities more time to upgrade their sewage treatment plants to meet new restrictions needed to help implement the Chesapeake Bay Tributary Strategy, but no increased funding from the state is being proposed.

DEP Secretary Kathleen McGinty reportedly told the Patriot-News editorial board and the PA Municipal Authorities Association that Gov. Rendell would be recommending increased funding in his state budget, but no funding was announced.

Secretary McGinty apologized for any misunderstanding of what was said earlier about the Governor recommending funding, adding the Governor would be convening a high-level task force to examine sewage-related needs.

PMAA has estimated the cost to meet the Chesapeake Bay cleanup requirements is approaching $1 billion. DEP had been saying the cost of the cleanup was a minimum of $190 million, but Secretary McGinty denied that DEP ever officially used that figure, although it was used by various other DEP officials, in statements to the press and in working groups formed to study the Tributary Strategy. (See Point Source Work Group report.)

Over the last six years, the Rendell Administration and the General Assembly have cut funding to support municipal wastewater treatment plant operations in the Act 339 Operating Grants Program by over $318 million.

To help answer questions about the state’s Bay Strategy, Secretary McGinty mailed invitations to municipalities on February 15 to send representatives to a special meeting on February 20 in Harrisburg saying, “Recent media reports suggest a great deal of misunderstanding exists with regard to the Commonwealth’s Chesapeake Bay water quality improvement obligations. This meeting will provide an opportunity to answer questions you might have on the state’s Chesapeake Bay Compliance Plan.”

The Chesapeake Bay Foundation last week issued a statement saying, “While there is disagreement over the estimated total cost for compliance, there is no disagreement that meeting the Chesapeake Bay nutrient limits will impose a significant financial burden upon municipalities. By closing the existing funding gap that currently precludes many of Pennsylvania’s municipalities from moving forward on these projects, Pennsylvania can protect rate payers from absorbing the high cost of the necessary “green infrastructure” upgrades required to meet existing permit limits.”

To sort through some of the issues surrounding the cost of the Bay Strategy, the Senate this week unanimously approved Senate Resolution 224 (Vance-R-Cumberland) directing the Legislative Budget and Finance Committee to do a study of the costs of implementing the Chesapeake Bay Tributary Strategy and report back to the Senate. (See separate story.)

The Senate Republican Policy Committee is also set to hold a public hearing on the cost of the Chesapeake Bay cleanup on February 21 in Harrisburg. (See separate story.)

Gov. Rendell this week issued a statement saying cuts in federal funding for water and wastewater infrastructure have made it difficult for Pennsylvania to maintain these systems.

“Continued cuts at the federal level are making it more and more difficult to keep pace with the work that’s needed to ensure we have reliable systems in place that deliver dependable services,” said Gov. Rendell. “The Commonwealth alone has suffered a 50 percent cut in the federal funds we had received previously to support water infrastructure. Without that needed support, our economy, environment and quality of life will suffer.

“I was disappointed last week to see President Bush’s proposed budget for next year included $330 million in cuts to the U.S. Environmental Protection Agency—largely aimed at water and sewer projects. This is unacceptable, especially for us in Pennsylvania and other Chesapeake Bay watershed states that are working to meet the federal cleanup mandates. As Congress considers this budget proposal, I urge them to restore funding to this critical program; otherwise, our ability to tackle the serious environmental and economic infrastructure challenges facing our communities is jeopardized.”

In order to address this funding shortfall, the Governor signaled his intent to sign an executive order that will focus on finding solutions to Pennsylvania’s drinking water and wastewater system needs, including new funding options and non-structural alternatives to capital upgrades, such as nutrient credit trading, water re-use and conservation.

The executive order will establish the Sustainable Water Infrastructure Task Force, which is to develop a report by October 1 that analyzes issues related to cost-effective and sustainable investment in the state’s water and sewer infrastructure. The report also is to provide recommendations and financing options to support water-related services in the Governor’s fiscal year 2009-10 budget proposal.

The task force will be comprised of representatives of the administration, General Assembly, academia, the state’s Office of Consumer Advocate, as well as local government and municipal associations.

NewsClips: Vance Bay Impact Bill Gets OK

Senate Calls for Study of Chesapeake Bay Cleanup Costs

Groups Push Funding to Revive Polluted Waterways

Lock Haven Bills to Skyrocket Under Chesapeake Bay Requirements

Chesapeake Bay Cleanup Funding Sought

Chesapeake Bay Sticker Shock

State Asked to Fund Sewer Plant Upgrades

Passing the Buck on Water Quality

Chesapeake Sticker Shock

Danville Challenges Sewer Upgrade Requirements

Links: Chesapeake Bay Foundation Urges Environment Be Given More Priority

County Conservation Districts Concerned With Gov. Rendell’s Proposed Budget

PA Farm Bureau Concerned About Budget Cuts to Vital Programs

PA Chesapeake Bay Program

2/15/2008