U.S. Congressman Sam Graves, House Small Business Committee Chairman, made the following statement after sending a letter to EPA Administrator Gina McCarthy, regarding the length of the permit cycle for water and wastewater plants, under the National Pollutant Discharge Elimination System (NPDES) permit program. Local governments are required to apply to the Environmental Protection Agency (EPA) for permits every five years as part of the National Pollutant Discharge Elimination System (NPDES) permit program, but generally finance the cost of these permits with bonds over a 20 year period or longer. This means that at any given time, municipalities may be paying off loans for four or more permits, at great cost to taxpayers.
"As I traveled Missouri's 6th District recently, it was brought to my attention by more than a few of our local officials and municipal workers, that the EPA's water and wastewater permitting process is placing great financial stress on the utility customers of these areas," Rep. Graves said. "The EPA's current system requires that municipalities apply for permits every five years. However, to pay for the cost of these permits, local governments often use loans that are financed over a 20 year period. By having a permitting process in place that does not match the financing for them, residents of these areas face higher costs," Graves continued.
"I have asked Administrator McCarthy to reevaluate the timing of these permits, so that they are brought in line with the reality of financial obligations that municipalities in the 6th District and across the country are facing. Allowing for a 20 year permitting cycle prevents cities like Saint Joseph and Hannibal, from being burdened by insurmountable debt as they do the important work of improving our water quality."