[Federal Register Volume 66, Number 221 (Thursday, November 15, 2001)]
[Notices]
[Pages 57457-57465]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-28633]


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ENVIRONMENTAL PROTECTION AGENCY

[FRL-7103-8]


Final NPDES General Permit for Discharges From the Oil and Gas 
Extraction Point Source Category to Coastal Waters in Texas (TXG330000)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final issuance of NPDES general permit.

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SUMMARY: EPA Region 6 today issues a National Pollutant Discharge 
Elimination System (NPDES) general permit regulating discharges from 
oil and gas wells in the Coastal Subcategory in Texas and regulating 
produced water discharges from wells in the Striper and Offshore 
Subcategories which discharge into coastal waters of Texas.
    The permit prohibits the discharge of drilling fluid, drill 
cuttings, produced sand and well treatment, completion and workover 
fluids. Produced water discharges are prohibited, except from wells in 
the Stripper Subcategory located east of the 98th meridian whose 
produced water comes from the Carrizo/Wilcox, Reklaw or Bartosh 
formations in Texas. Discharge of dewatering effluent is prohibited, 
except from reserve pits which have not received drilling fluids and/or 
drill cuttings since January 15, 1997. The discharge of deck drainage, 
formation test fluids, sanitary waste, domestic waste and miscellaneous 
discharges is authorized. All of the authorized discharges have 
effluent limitations.

[[Page 57458]]


DATES: The limits and monitoring requirements in this permit shall 
become effective on December 17, 2001.

FOR FURTHER INFORMATION CONTACT: Ms. Diane Smith, EPA Region 6, 1445 
Ross Avenue, Dallas, Texas 75202-2733, telephone (214) 665-2145. This 
final permit can also be found on the Internet at http://www.epa.gov/earth1r6/6wq/6wq.htm.

SUPPLEMENTARY INFORMATION: Regulated categories and entities include:

------------------------------------------------------------------------
                                                Examples of regulated
                 Category                             entities
------------------------------------------------------------------------
Industry..................................  Operators of oil and gas
                                             wells in the Coastal
                                             Subcategory of the Oil and
                                             Gas Extraction Point Source
                                             Category.
------------------------------------------------------------------------

    This table is not intended to be exhaustive, but rather provides a 
guide for readers regarding entities likely to be regulated by this 
action. This table lists the types of entities that EPA is now aware 
could potentially be regulated by this action. Other types of entities 
not listed in the table could also be regulated. To determine whether 
your (facility, company, business, organization, etc.) is regulated by 
this action, you should carefully examine the applicability criteria in 
Part I, Section A.1 of this permit. If you have questions regarding the 
applicability of this action to a particular entity, consult the person 
listed in the preceding FOR FURTHER INFORMATION CONTACT section.
    Pursuant to section 402 of the Clean Water Act (CWA), 33 U.S.C. 
1342, EPA proposed and solicited public comment on NPDES General Permit 
TXG330000 at 66 FR 6607 (January 22, 2001). The comment period closed 
on March 23, 2001. Region 6 received written comments from the 
International Association of Drilling Contractors. The Association 
requested minor changes to two of the Miscellaneous Discharges; 
specifically, the term ``desalination unit discharge'' would be more 
descriptive if termed ``distillation and reverse osmosis brine'', and 
the definition of ``uncontaminated water'' should be expanded to 
include seawater cooling overboard discharge, chain locker effluent and 
firemain system discharge. Those changes were made in the final permit. 
The Association also asked EPA to add a permit requirement for 
permittees to inform contractors and subcontractors of any permit 
conditions effecting operations they have been contracted to perform. 
In response, EPA has added language to Part I, Section B of the final 
permit requiring operators to take reasonable steps to assure regulated 
pollutants are not unlawfully discharged by third parties. This 
language was in the 1995 Coastal Produced Water General Permit, one of 
the predecessor permits to today's permit, but was omitted from the 
draft version of today's permit.

Other Legal Requirements

A. State Certification

    Under section 401(a)(1) of the Clean Water Act, EPA may not issue 
an NPDES permit until the State in which the discharge will originate 
grants or waives certification to ensure compliance with appropriate 
requirements of the Act and State law. The Railroad Commission of Texas 
waived certification of the permit.

B. National Environmental Policy Act

    EPA's regulations at 40 CFR part 6, subpart F, which implement the 
National Environmental Policy Act of 1969 (NEPA), 42 U.S.C. 4331, et 
seq., provide the procedures for carrying out the NEPA environmental 
review process for the issuance of new source NPDES permits. The 
purpose of this review process is to determine if any significant 
environmental impacts are anticipated by issuance of NPDES permits 
authorizing discharges from new sources. In order to make this 
determination, EPA prepared an environmental assessment in accordance 
with 40 CFR 6.604. Based on this environmental assessment document, EPA 
has determined that there will be no significant impact as the result 
of issuing today's permit adding coverage of discharges from new 
sources. Several comments were received during the 30-day agency and 
public review period on EPA's Environmental Assessment and Finding of 
No Significant Impact, but none warranted preparation of an 
Environmental Impact Statement or revision to the Environmental 
Assessment or Finding of No Significant Impact. A Statement of Findings 
documenting the completion of EPA's NEPA review process on this permit 
action has been signed by the Regional Administrator.

C. Endangered Species Act

    When EPA issued the previous Permit TXG330000, effective October 
21, 1993, covering existing sources, but not New Sources, the United 
States Fish and Wildlife Service concurred with EPA's finding that the 
permit was unlikely to adversely affect any threatened or endangered 
species or its critical habitat. When EPA issued Permit TXG290000, 
effective February 8, 1995, the Service also concurred with EPA's 
finding that the permit was unlikely to adversely affect any threatened 
or endangered species or its critical habitat. The Region found that 
adding New Source coverage to the permit is also unlikely to adversely 
affect any threatened or endangered species or its critical habitat. 
EPA received written concurrence from the United States Fish and 
Wildlife Service on May 2, 2001, and from the National Marine Fisheries 
Service on May 1, 2001, on this determination.

D. Magnuson-Stevens Fishery Conservation and Management Act

    The 1996 amendments to the Magnuson-Stevens Fishery Conservation 
and Management Act set forth a new mandate to identify and protect 
important marine and anadromous fisheries habitats. The purpose of 
addressing habitat in this act is to further the goal of maintaining 
sustainable fisheries. Guidance and procedures for implementing these 
amendments are contained in National Marine Fisheries Service 
regulations (50 CFR 600.805-600.930). These regulations specify that 
any Federal agency that authorizes or proposes to authorize an activity 
which would adversely affect an Essential Fish Habitat is subject to 
the consultation provisions of the Manguson-Stevens Act. The Texas 
Coastal Subcategory areas covered by this general permit include 
Essential Fish Habitat designated under the Magnuson-Stevens Act.
    Based on the prohibitions and limitations and other requirements 
contained in this proposed general permit, as well as the Essential 
Fish Habitat Assessment prepared for this permit reissuance, the Region 
found that issuance of this permit is unlikely to adversely affect 
Essential Fish Habitat. EPA received written concurrence dated November 
29, 2000, from the National Marine Fisheries Service on this 
determination.

E. Coastal Zone Management Act

    The Coastal Zone Management Act and its implementing regulations 
(15 CFR part 930) require that any Federally licensed or permitted 
activity affecting the coastal zone of a state with an approved Coastal 
Zone Management Program be consistent with that Program. EPA has 
concluded, based on the conditions, limitations and prohibitions of 
this permit that the discharges associated with this permit are 
consistent with the Texas Coastal Management Program goals and

[[Page 57459]]

policies. EPA received a consistency determination from the Texas 
Coastal Coordination Council on February 13, 2001.

F. Historic Preservation Act

    Facilities which adversely affect properties listed or eligible for 
listing in the National Register of Historical Places are not 
authorized to discharge under this permit.

G. Economic Impact (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 OMB review and the requirements of the 
Executive Order. The Order defines ``significant regulatory action'' as 
one that is likely to result in a rule that may have an annual effect 
on the economy of $100 million or more or adversely affect in a 
material way the economy, a sector of the economy, productivity, 
competition, jobs, the environment, public health or safety, or State, 
local, or tribal governments or communities; create a serious 
inconsistency or otherwise interfere with an action taken or planned by 
another agency; materially alter the budgetary impact of entitlements, 
grants, user fees, or loan programs or the rights and obligations of 
recipients thereof; or 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 has determined that this general 
permit is not a ``significant regulatory action'' under the terms of 
Executive Order 12866 and is therefore not subject to formal OMB review 
prior to proposal.

H. Paperwork Reduction Act

    The information collection required by this permit has been 
approved by OMB under the provisions of the Paperwork Reduction Act, 44 
U.S.C. 3501 et seq., in submission made for the NPDES permit program 
and assigned OMB control numbers 2040-0086 (NPDES permit application) 
and 2040-0004 (discharge monitoring reports).

I. Regulatory Flexibility Act

    The Regulatory Flexibility Act, 5 U.S.C. 601 et seq, requires that 
EPA prepare a regulatory flexibility analysis for regulations that have 
a significant impact on a substantial number of small entities. This 
permit is not a ``rule'' subject to the Regulatory Flexibility Act. EPA 
prepared a regulatory flexibility analysis, however, on the 
promulgation of the Coastal Subcategory guidelines on which many of the 
permit's effluent limitations are based. That analysis shows that 
compliance with the permit requirements will not result in a 
significant impact on dischargers, including small businesses, covered 
by this permit. EPA Region 6, therefore, concludes that the permit 
being issued today will not have a significant impact on a substantial 
number of small entities.

J. Unfunded Mandates Reform Act

    Section 201 of the Unfunded Mandates Reform Act (UMRA), Public Law 
104-4, generally requires Federal agencies to assess the effects of 
their ``regulatory actions'' on State, local, and tribal governments 
and the private sector. UMRA uses the term ``regulatory actions'' to 
refer to regulations. (See, e.g., UMRA section 201, ``Each agency shall 
* * * assess the effects of Federal regulatory actions * * * (other 
than to the extent that such regulations incorporate requirements 
specifically set forth in law)'' (emphasis added)). UMRA section 102 
defines ``regulation'' by reference to section 658 of Title 2 of the 
U.S. Code, which in turn defines ``regulation'' and ``rule'' by 
reference to section 601(2) of the Regulatory Flexibility Act (RFA). 
That section of the RFA defines ``rule'' as ``any rule for which the 
agency publishes a notice of proposed rulemaking pursuant to section 
553(b) of the Administrative Procedure Act (APA), or any other law.* * 
*''
    NPDES general permits are not ``rules'' under the APA and thus not 
subject to the APA requirement to publish a notice of proposed 
rulemaking. NPDES general permits are also not subject to such a 
requirement under the Clean Water Act (CWA). While EPA publishes a 
notice to solicit public comment on draft general permits, it does so 
pursuant to the CWA section 402(a) requirement to provide ``an 
opportunity for a hearing.'' Thus, NPDES general permits are not 
``rules'' for RFA or UMRA purposes.
    EPA thinks it is unlikely that this permit issuance would contain a 
Federal requirement that might result in expenditures of $100 million 
or more for State, local and tribal governments, in the aggregate, or 
the private sector in any one year. The Agency also believes that the 
permit issuance would not significantly nor uniquely affect small 
governments. For UMRA purposes, ``small governments'' is defined by 
reference to the definition of ``small governmental jurisdiction'' 
under the RFA. (See UMRA section 102(1), referencing 2 U.S.C. 658, 
which references section 601(5) of the RFA.) ``Small governmental 
jurisdiction'' means governments of cities, counties, towns, etc., with 
a population of less than 50,000, unless the agency establishes an 
alternative definition. The permit issuance also would not uniquely 
affect small governments because compliance with the permit conditions 
affects small governments in the same manner as any other entities 
seeking coverage under the permit.

Authorization To Discharge Under the National Pollutant Discharge 
Elimination System

    In compliance with the provisions of the Federal Water Pollution 
Control Act, as amended (33 U.S.C. 1251 et seq: the ``Act''), this 
permit regulates discharges from existing source and New Source oil and 
gas wells in the Coastal Subcategory of the Oil and Gas Extraction 
Point Source Category (40 CFR part 435, subpart D) in Texas. In 
addition, this permit regulates produced water from the Stripper and 
Offshore Subcategories which discharges into coastal waters of Texas. 
The discharges are regulated in accordance with effluent limitations 
and other conditions set forth in Parts I and II of this permit.
    In order for discharges to be authorized by this permit, operators 
of facilities discharging waste waters from oil and gas wells must 
submit written notification to the Regional Administrator that they 
intend to be covered (See Part I.A.2). For existing leases, the 
notification must be submitted no later than 45 days after the 
effective date of this permit. For leases obtained subsequent to the 
effective date of this permit, the notification must be submitted at 
least fourteen days prior to the beginning of the discharge. Unless 
otherwise notified in writing by the Regional Administrator after 
submission of the notification, operators requesting coverage are 
authorized to discharge under this general permit. Operators who fail 
to notify the Regional Administrator of intent to be covered are not 
authorized to discharge under this general permit.
    Facilities which may adversely affect properties listed or eligible 
for listing in the National Register of Historic Places are not 
authorized to discharge under this permit.
    This permit shall become effective at midnight, Central Standard 
Time on December 17, 2001.
    This permit and the authorization to discharge shall expire at 
midnight, Central Time on December 15, 2006.


[[Page 57460]]


    Dated: November 1, 2001.
Jack V. Ferguson,
Acting Director, Water Quality Protection Division, Region 6.

Part I

Section A. Permit Applicability and Coverage Conditions

1. Discharges Covered

    This permit regulates discharges from existing source and New 
Source oil and gas wells in the Coastal Subcategory of the Oil and Gas 
Extraction Point Source Category (40 CFR part 435, subpart D) in Texas. 
In addition, this permit regulates produced water from the Stripper and 
Offshore Subcategories which discharges into coastal waters of Texas.

2. Notice of Intent (NOI) To Be Covered

    Operators of leases (or lease blocks) desiring authorization to 
discharge under this general NPDES permit must submit a written Notice 
of Intent (NOI) to be covered. Operators of facilities having only 
produced water and produced sand, whose discharge is prohibited by this 
permit, are automatically covered and a written NOI to be covered by 
this permit is not required of these facilities. The NOI shall include 
the legal name and address of the operator, the lease (or lease block) 
number assigned by the Railroad Commission of Texas or, if none, the 
name commonly assigned to the lease area, and the type of facilities 
located within the lease (or lease block). For New Source discharges 
(as defined in 40 CFR part 435, subpart D), the NOI must also identify 
any facility which is a New Source and state the date on which the 
facility's protection from more stringent new source performance 
standards or technology based limitations ends. That date is the 
earlier of: ten years from the date that construction is completed, ten 
years from the date the source begins to discharge process or non-
construction related waste water, or the end of the period of 
depreciation or amortization of the facility for the purposes of 
section 167 or 169 (or both) of the Internal Revenue Code of 1954.
    For existing leases, the NOI must be submitted within 45 days of 
the effective date of this permit. For leases obtained subsequent to 
the effective date of this permit, the NOI must be submitted at least 
fourteen days prior to the commencement of discharge. If the lease 
block was previously covered by another permit, the operator shall also 
include the previous permit number in the notification.
    For facilities applying for authorization to discharge reserve pit 
dewatering effluent from drilling fluids and drill cuttings dewatering 
activities, the NOI must certify that such reserve pit(s) have not 
received drilling fluids and/or drill cuttings after January 15, 1997.
    The definition of New Source is found at 40 CFR 122.2 and the 
criteria for New Source determination are found at 40 CFR 122.29. 
Additional definitions pertaining to Coastal Subcategory New Sources 
are found at 40 CFR part 435, subpart D. According to part 435, subpart 
D, exploratory facilities are never New Sources, although development 
and production facilities may be New Sources if they meet the criteria 
for New Source determination.
    All notifications of intent to be covered and any subsequent 
reports shall be sent to the following address: Water Enforcement 
Branch (6EN-WC), U.S. Environmental Protection Agency, Region 6, P.O. 
Box 50625, Dallas, TX 75250.
    Upon receipt of the notification, EPA will notify the facility of 
its specific facility identification number that must be used on all 
correspondence with the Agency.

3. Termination or Transfer of Ownership of Operations

    Lease (or lease block) operators shall notify the Regional 
Administrator within 60 days after the permanent termination of 
discharges from their facilities. Lease (or lease block) operators 
shall notify the Regional Administrator within 30 days of any transfer 
of ownership.

Section B. General Permit Limits

    Permittees shall not discharge nor shall they cause or allow the 
discharge of pollutants regulated under this permit except in 
compliance with its limitations and terms. Operators of facilities 
generating pollutants regulated under this permit shall take reasonable 
positive steps to assure said pollutants are not unlawfully discharged 
to waters of the United States by third parties and shall maintain 
documentation of those steps for no less than three years.
    Effluent limitations of this permit include:
    1. DRILLING FLUID--No discharge.
    2. DRILL CUTTINGS--No Discharge.
    3. PRODUCED WATER--No Discharge.
    Exception: Produced water from facilities in the Stripper 
Subcategory located east of the 98th meridian whose produced water 
comes from the Carrizo/Wilcox, Reklaw or Bartosh formations in Texas 
and whose produced water does not exceed 3000 mg/l Total Dissolved 
Solids shall meet the following limits: 25 mg/l monthly average and 35 
mg/l daily maximum for oil and grease. Monitoring for oil and grease 
shall be performed once per month. The sample type may be grab, or a 
24-hour composite consisting of the arithmetic average of the results 
of 4 grab samples taken over a 24-hour period. Produced water flow 
monitoring requirement: Once per month, an estimate of the flow in MGD 
(million gallons per day) must be made and recorded.
    4. PRODUCED SAND--No Discharge.
    5. DEWATERING EFFLUENT--No Discharge.
    Exception: Dewatering effluent from reserve pits which have not 
received drilling fluids and/or drill cuttings since January 15, 1997, 
shall meet the following limits:
    No discharge of free oil as measured by the static sheen test.
    Oil and grease--15 mg/l daily maximum.
    Total suspended solids (TSS)--50 mg/l daily maximum.
    Total dissolved solids (TDS)--3000 mg/l daily maximum.
    Exception: Reserve pit discharges to tidally influenced 
watercourses are not required to meet the total TDS limit if the TDS of 
the effluent does not exceed the TDS of the receiving water at the 
point of discharge at the time of discharge.
    COD--200 mg/l daily maximum.
    pH--6.0 to 9.0 Standard Units.
    Chlorides--500 mg/l daily maximum (discharges to inland areas) 1000 
mg/l daily maximum (discharges to tidally influenced watercourses).
    Exception: Chloride concentration may exceed 1000 mg/l in tidally 
influenced watercourses (downstream of the upper limit of saltwater 
intrusion) if the chloride concentration of the treated reserve pit 
effluent does not exceed the chloride concentration of the receiving 
water at the point of discharge at the time of discharge.
    Hazardous metals--The discharge must not contain concentrations of 
the substances classified as ``hazardous metals'' in excess of the 
levels allowed by Texas Administrative Code (TAC) 319.21.
    Monitoring: The monitoring frequency for the above dewatering 
effluent limitations is once per day when discharging using grab 
samples. However, if the effluent is batch discharged, the monitoring 
requirements for all effluent limits shall be once per discharge event 
by grab sample. In addition, the volume (bbls) of discharged treated 
wastewater must be estimated once per day, when discharging. If the 
effluent is being batch discharged, the volume

[[Page 57461]]

discharged must be estimated for the entire discharge event.
    6. DECK DRAINAGE--No Discharge of free oil, as determined by the 
presence of a film or sheen upon or a discoloration of the surface of 
the receiving water (visual sheen).
    Monitoring shall be once per day, when discharging, during 
conditions when an observation of a sheen is possible and when the 
facility is manned. The number of days a sheen is detected must be 
recorded.
    7. FORMATION TEST FLUIDS--No Discharge, except to bays and 
estuaries where no chloride standards have been established.
    Where discharges are allowed, the limits are:
    Free oil--No Discharge as determined by the static sheen test. 
Monitoring shall be once per day.
    pH--6.0 to 9.0 Standard Units. A grab sample must be taken once per 
discharge event.
    8. WELL TREATMENT, COMPLETION AND WORKOVER FLUIDS--No Discharge
    9. SANITARY WASTE--
    No floating solids.
    BOD5--45 mg/l daily maximum. Monitoring shall be once per quarter 
using grab samples.
    TSS--45 mg/l daily maximum. Monitoring shall be once per quarter 
using grab samples.
    Fecal coliform--200/100 ml. Monitoring shall be once per week using 
grab samples.
    10. DOMESTIC WASTE--No discharge of floating solids or garbage or 
foam.
    11. MISCELLANEOUS DISCHARGES--

Distillation and reverse osmosis brine
Blowout preventer fluid
Uncontaminated ballast and bilge water
Mud, cuttings and cement at the sea floor
Boiler blowdown
Excess cement slurry
Diatomaceous earth filter media
Uncontaminated water

    For miscellaneous discharges, the discharge of free oil is 
prohibited as determined by a visual sheen on the surface of the 
receiving water. Discharge is authorized only at times when visual 
sheen observation is possible. Discharge may occur at any time if the 
operator uses the static sheen method for detecting free oil. 
Monitoring shall be once per day, when discharging.
    12. OTHER DISCHARGE CONDITIONS--
    a. Prohibitions: Halogenated Phenol Compounds--There shall be no 
discharge of Halogenated Phenol Compounds.
    Rubbish, Trash and Other Refuse--The discharge of any solid 
material not authorized in the permit (as described above) is 
prohibited.
    b. Limitations: Floating Solids or Visible Foam--There shall be no 
discharge of floating solids or visible foam in other than trace 
amounts.
    Surfactants, Dispersants and Detergents--The discharge of 
surfactants, dispersants, and detergents used to wash working areas 
shall be minimized except as necessary to comply with applicable State 
and Federal safety requirements.

Part II

Section A. General Conditions

1. Introduction

    In accordance with the provisions of 40 CFR 122.41, et. seq., this 
permit incorporates by reference ALL conditions and requirements 
applicable to NPDES Permits set forth in the Clean Water Act, as 
amended, (hereinafter known as the ``Act'') as well as ALL applicable 
regulations.

2. Duty To Comply

    The permittee must comply with all conditions of this permit. Any 
permit noncompliance constitutes a violation of the Act and is grounds 
for enforcement action, for terminating coverage under this permit, or 
for requiring a permittee to apply for and obtain an individual NPDES 
permit.

3. Toxic Pollutants

    a. Notwithstanding Part II.A.4, if any toxic effluent standard or 
prohibition (including any schedule of compliance specified in such 
effluent standard or prohibition) is promulgated under section 307(a) 
of the Act for a toxic pollutant which is present in the discharge and 
that standard or prohibition is more stringent than any limitation on 
the pollutant in this permit, this permit shall be modified or revoked 
and reissued to conform to the toxic effluent standard or prohibition.
    b. The permittee shall comply with effluent standards or 
prohibitions established under section 307(a) of the Act for toxic 
pollutants within the time provided in the regulations that established 
those standards or prohibitions, even if the permit has not yet been 
modified to incorporate the requirement.

4. Permit Flexibility

    This permit may be modified, revoked and reissued, or terminated 
for cause in accordance with 40 CFR 122.62-122.64. The filing of a 
request for a permit modification, revocation and reissuance, or 
termination, or a notification of planned changes or anticipated 
noncompliance, does not stay any permit condition.

5. Property Rights

    This permit does not convey any property rights of any sort, or any 
exclusive privilege.

6. Duty To Provide Information

    The permittee shall furnish to the Director, within a reasonable 
time, any information which the Director may request to determine 
whether cause exists for modifying, revoking and reissuing, or 
terminating this permit, or to determine compliance with this permit. 
The permittee shall also furnish to the Director, upon request, copies 
of records required to be kept by this permit.

7. Criminal and Civil Liability

    Except as provided in permit conditions on ``Bypassing'' and 
``Upsets,'' nothing in this permit shall be construed to relieve the 
permittee from civil or criminal penalties for noncompliance. Any false 
or materially misleading representation or concealment of information 
required to be reported by the provisions of the permit, the Act, or 
applicable regulations, which avoids or effectively defeats the 
regulatory purpose of the Permit may subject the Permittee to criminal 
enforcement pursuant to 18 U.S.C. 1001.

8. Oil and Hazardous Substance Liability

    Nothing in this permit shall be construed to preclude the 
institution of any legal action or relieve the permittee from any 
responsibilities, liabilities, or penalties to which the permittee is 
or may be subject under section 311 of the Act.

9. State Laws

    Nothing in this permit shall be construed to preclude the 
institution of any legal action or relieve the permittee from any 
responsibilities, liabilities, or penalties established pursuant to any 
applicable State law or regulation under authority preserved by section 
510 of the Act.

10. Severability

    The provisions of this permit are severable, and if any provision 
of this permit or the application of any provision of this permit to 
any circumstance is held invalid, the application of such provision to 
other circumstances, and the remainder of

[[Page 57462]]

this permit, shall not be affected thereby.

Section B. Proper Operation and Maintenance

1. Need To Halt or Reduce Not a Defense

    It shall not be a defense for a permittee in an enforcement action 
that it would have been necessary to halt or reduce the permitted 
activity in order to maintain compliance with the conditions of this 
permit. The permittee is responsible for maintaining adequate 
safeguards to prevent the discharge of untreated or inadequately 
treated wastes during electrical power failure either by means of 
alternate power sources, standby generators or retention of 
inadequately treated effluent.

2. Duty To Mitigate

    The permittee shall take all reasonable steps to minimize or 
prevent any discharge in violation of this permit which has a 
reasonable likelihood of adversely affecting human health or the 
environment.

3. Proper Operation and Maintenance

    a. The permittee shall at all times properly operate and maintain 
all facilities and systems of treatment and control (and related 
appurtenances) which are installed or used by permittee as efficiently 
as possible and in a manner which will minimize upsets and discharges 
of excessive pollutants and will achieve compliance with the conditions 
of this permit. Proper operation and maintenance also includes adequate 
laboratory controls and appropriate quality assurance procedures. This 
provision requires the operation of backup or auxiliary facilities or 
similar systems which are installed by a permittee only when the 
operation is necessary to achieve compliance with the conditions of 
this permit.
    b. The permittee shall provide an adequate operating staff which is 
duly qualified to carry out operation, maintenance and testing 
functions required to insure compliance with the conditions of this 
permit.

4. Bypass of Treatment Facilities

a. Bypass Not Exceeding Limitations
    The permittee may allow any bypass to occur which does not cause 
effluent limitations to be exceeded, but only if it also is for 
essential maintenance to assure efficient operation. These bypasses are 
not subject to the provisions of Parts II.B.4.b. and 4.c.
b. Notice
    (1) Anticipated Bypass.
    If the permittee knows in advance of the need for a bypass, it 
shall submit prior notice, if possible at least ten days before the 
date of the bypass.
    (2) Unanticipated Bypass.
    The permittee shall, within 24 hours, submit notice of an 
unanticipated bypass as required in Part II.D.7.
c. Prohibition of Bypass
    (1) Bypass is prohibited, and the Director may take enforcement 
action against a permittee for bypass, unless:
    (a) Bypass was unavoidable to prevent loss of life, personal 
injury, or severe property damage;
    (b) There were no feasible alternatives to the bypass, such as the 
use of auxiliary treatment facilities, retention of untreated wastes, 
or maintenance during normal periods of equipment downtime. This 
condition is not satisfied if adequate back-up equipment should have 
been installed in the exercise of reasonable engineering judgment to 
prevent a bypass which occurred during normal periods of equipment 
downtime or preventive maintenance; and,
    (c) The permittee submitted notices as required by Part II.B.4.b.
    (2) The Director may allow an anticipated bypass after considering 
its adverse effects, if the Director determines that it will meet the 
three conditions listed at Part II.B.4.c(1).

5. Upset Conditions

a. Effect of an Upset
    An upset constitutes an affirmative defense to an action brought 
for noncompliance with such technology-based permit effluent 
limitations if the requirements of Part II.B.5.b. are met. No 
determination made during administrative review of claims that 
noncompliance was caused by upset, and before an action for 
noncompliance, is final administrative action subject to judicial 
review.
b. Conditions Necessary for a Demonstration of Upset
    A permittee who wishes to establish the affirmative defense of 
upset shall demonstrate, through properly signed, contemporaneous 
operating logs, or other relevant evidence that:
    (1) An upset occurred and that the permittee can identify the 
cause(s) of the upset;
    (2) The permitted facility was at the time being properly operated;
    (3) The permittee submitted notice of the upset as required by Part 
II.D.7; and,
    (4) The permittee complied with any remedial measures required by 
Part II.B.2.
c. Burden of Proof
    In any enforcement proceeding, the permittee seeking to establish 
the occurrence of an upset has the burden of proof.

6. Removed Substances

    Unless otherwise authorized, solids, sewage sludges, filter 
backwash, or other pollutants removed in the course of treatment or 
waste water control shall be disposed of in a manner such as to prevent 
any pollutant from such materials from entering navigable waters, and 
in accordance with other applicable laws or regulations.

Section C. Monitoring and Records

1. Inspection and Entry

    The permittee shall allow the Director, or an authorized 
representative, upon the presentation of credentials and other 
documents as may be required by the law to:
    a. Enter upon the permittee's premises where a regulated facility 
or activity is located or conducted, or where records must be kept 
under the conditions of this permit;
    b. Have access to and copy, at reasonable times, any records that 
must be kept under the conditions of this permit;
    c. Inspect at reasonable times any facilities, equipment (including 
monitoring and control equipment), practices or operations regulated or 
required under this permit; and
    d. Sample or monitor at reasonable times, for the purpose of 
assuring permit compliance or as otherwise authorized by the Act, any 
substances or parameters at any location.

2. Representative Sampling

    Samples and measurements taken for the purpose of monitoring shall 
be representative of the monitored activity.

3. Retention of Records

    The permittee shall retain records of all monitoring information, 
including all calibration and maintenance records and all original 
strip chart recordings for continuous monitoring instrumentation, 
copies of all reports required by this permit, and records of all data 
used to complete the application for this permit, for a period of at 
least 3 years from the date of the sample, measurement, report, or 
application. This period may be extended by request of the Director at 
any time.

[[Page 57463]]

4. Record Contents

    Records of monitoring information shall include:
    a. The date, exact place, and time of sampling or measurements;
    b. The individual(s) who performed the sampling or measurements;
    c. The date(s) and time(s) analyses were performed;
    d. The individual(s) who performed the analyses;
    e. The analytical techniques or methods used; and
    f. The results of such analyses.

5. Monitoring Procedures

    a. Monitoring must be conducted according to test procedures 
approved under 40 CFR part 136, unless other test procedures have been 
specified in this permit or approved by the Regional Administrator.
    b. The permittee shall calibrate and perform maintenance procedures 
on all monitoring and analytical instruments at intervals frequent 
enough to insure accuracy of measurements and shall maintain 
appropriate records of such activities.
    c. An adequate analytical quality control program, including the 
analyses of sufficient standards, spikes, and duplicate samples to 
insure the accuracy of all required analytical results shall be 
maintained by the permittee or designated commercial laboratory.

Section D. Reporting Requirements

1. Planned Changes

    The permittee shall give notice to the Director as soon as possible 
of any planned physical alterations or additions to the permitted 
facility. Notice is required only when:
    a. The alteration or addition to a permitted facility may meet one 
of the criteria for determining whether a facility is a new source in 
40 CFR 122.29(b); or,
    b. The alteration or addition could significantly change the nature 
or increase the quantity of pollutants discharged. This notification 
applies to pollutants which are subject neither to effluent limitations 
in the permit, nor to notification requirements listed at Part 
II.D.10.a.

2. Anticipated Noncompliance

    The permittee shall give advance notice to the Director of any 
planned changes in the permitted facility or activity which may result 
in noncompliance with permit requirements.

3. Transfers

    Coverage under these permits is not transferable to any person 
except after notice to the Director.

4. Discharge Monitoring Reports and Other Reports

    Monitoring results obtained during the previous 12 months for all 
discharges at a facility shall be summarized and reported to EPA and 
the appropriate State agency on the 28th day of the month following the 
end of the twelve month period on Discharge Monitoring Report (DMR) 
Form EPA No. 3320-1 in accordance with the ``General Instructions'' 
provided on the form. The permittee shall submit the original DMR 
signed and certified as required by Part II.D.11 and all other reports 
required by Part II.D. to the EPA at the address below.

Compliance Assurance and Enforcement Division
Water Enforcement Branch (6EN-W)
U.S. Environmental Protection Agency, Region 6
P.O. Box 50625
Dallas, TX 75250

5. Additional Monitoring by the Permittee

    If the permittee monitors any pollutant more frequently than 
required by this permit, using test procedures approved under 40 CFR 
part 136 or as specified in this permit, the results of this monitoring 
shall be included in the calculation and reporting of the data 
submitted in the Discharge Monitoring Report (DMR). Such increased 
monitoring frequency shall also be indicated on the DMR.

6. Averaging of Measurements

    Calculations for all limitations which require averaging of 
measurements shall utilize an arithmetic mean unless otherwise 
specified by the Director in the permit.

7. Twenty-Four Hour Reporting

    a. The permittee shall report any noncompliance which may endanger 
health or the environment. Any information shall be provided orally to 
the EPA Region 6 24-hour voice mail box telephone number 214-665-6593 
within 24 hours from the time the permittee becomes aware of the 
circumstances. A written submission shall be provided within 5 days of 
the time the permittee becomes aware of the circumstances. The report 
shall contain the following information:
    (1) A description of the noncompliance and its cause;
    (2) The period of noncompliance including exact dates and times, 
and if the noncompliance has not been corrected, the anticipated time 
it is expected to continue; and,
    (3) Steps being taken to reduce, eliminate, and prevent recurrence 
of the noncomplying discharge.
    b. The following shall be included as information which must be 
reported within 24 hours:
    (1) Any unanticipated bypass which exceeds any effluent limitation 
in the permit;
    (2) Any upset which exceeds any effluent limitation in the permit; 
and,
    (3) Violation of a maximum daily discharge limitation for any 
pollutants listed by the Director in Part II of the permit to be 
reported within 24 hours.
    c. The Director may waive the written report on a case-by-case 
basis if the oral report has been received within 24 hours.

8. Other Noncompliance

    The permittee shall report all instances of noncompliance not 
reported under Parts II.D.4 and D.7 and Part I.C at the time monitoring 
reports are submitted. The reports shall contain the information listed 
at Part II.D.7.

9. Other Information

    Where the permittee becomes aware that it failed to submit any 
relevant facts in a permit application, or submitted incorrect 
information in a permit application or in any report to the Director, 
it shall promptly submit such facts or information.

10. Changes in Discharges of Toxic Substances

    The permittee shall notify the Director as soon as it knows or has 
reason to believe:
    a. That any activity has occurred or will occur which would result 
in the discharge, on a routine or frequent basis, of any toxic 
pollutant listed at 40 CFR part 122, appendix D, Tables II and III 
(excluding Total Phenols) which is not limited in the permit, if that 
discharge will exceed the highest of the following ``notification 
levels'':
    (1) One hundred micrograms per liter (100 ug/L);
    (2) Two hundred micrograms per liter (200 ug/L) for acrolein and 
acrylonitrile; five hundred micrograms per liter (500 ug/L) for 2,4-
dinitro-phenol and for 2-methyl-4,6-dinitrophenol; and one milligram 
per liter (1 mg/L) for antimony;
    (3) Five (5) times the maximum concentration value reported for 
that pollutant in the permit application; or
    (4) The level established by the Director.
    b. That any activity has occurred or will occur which would result 
in any

[[Page 57464]]

discharge, on a non routine or infrequent basis, of a toxic pollutant 
which is not limited in the permit, if that discharge will exceed the 
highest of the following ``notification levels'':
    (1) Five hundred micrograms per liter (500 ug/L);
    (2) One milligram per liter (1 mg/L) for antimony;
    (3) Ten (10) times the maximum concentration value reported for 
that pollutant in the permit application; or
    (4) The level established by the Director.

11. Signatory Requirements

    All applications, reports, or information submitted to the Director 
shall be signed and certified.
    a. All permit applications shall be signed as follows:
    (1) For a corporation: by a responsible corporate officer. For the 
purpose of this section, a responsible corporate officer means:
    (a) A president, secretary, treasurer, or vice-president of the 
corporation in charge of a principal business function, or any other 
person who performs similar policy or decision making functions for the 
corporation; or,
    (b) The manager of one or more manufacturing, production, or 
operating facilities, provided, the manager is authorized to make 
management decisions which govern the operation of the regulated 
facility including having the explicit or implicit duty of making major 
capital investment recommendations, and initiating and directing other 
comprehensive measures to assure long term environmental compliance 
with environmental laws and regulations; the manager can ensure that 
the necessary systems are established or actions taken to gather 
complete and accurate information for permit application requirements; 
and where authority to sign documents has been assigned or delegated to 
the manager in accordance with corporate procedures.
    (2) For a partnership or sole proprietorship--by a general partner 
or the proprietor, respectively.
    b. All reports required by the permit and other information 
requested by the Director shall be signed by a person described above 
or by a duly authorized representative of that person. A person is a 
duly authorized representative only if:
    (1) The authorization is made in writing by a person described 
above;
    (2) The authorization specifies either an individual or a position 
having responsibility for the overall operation of the regulated 
facility or activity, such as the position of plant manager, operator 
of a well or a well field, superintendent, or position of equivalent 
responsibility, or an individual or position having overall 
responsibility for environmental matters for the company. A duly 
authorized representative may thus be either a named individual or an 
individual occupying a named position; and,
    (3) The written authorization is submitted to the Director.
    c. Certification.
    Any person signing a document under this section shall make the 
following certification:

    I certify under penalty of law that this document and all 
attachments were prepared under my direction or supervision in 
accordance with a system designed to assure that qualified personnel 
properly gather and evaluate the information submitted. Based on my 
inquiry of the person or persons who manage the system, or those 
persons directly responsible for gathering the information, the 
information submitted is, to the best of my knowledge and belief, 
true, accurate, and complete. I am aware that there are significant 
penalties for submitting false information, including the 
possibility of fine and imprisonment for knowing violations.

12. Availability of Reports

    Except for applications, effluent data, permits, and other data 
specified in 40 CFR 122.7, any information submitted pursuant to this 
permit may be claimed as confidential by the submitter. If no claim is 
made at the time of submission, information may be made available to 
the public without further notice.

Section E. Penalties for Violations of Permit Conditions

1. Criminal

a. Negligent Violations
    The Act provides that any person who negligently violates permit 
conditions implementing sections 301, 302, 306, 307, 308, 318, or 405 
of the Act is subject to a fine of not less than $2,500 nor more than 
$25,000 per day of violation, or by imprisonment for not more than 1 
year, or both.
b. Knowing Violations
    The Act provides that any person who knowingly violates permit 
conditions implementing sections 301, 302, 306, 307, 308, 318, or 405 
of the Act is subject to a fine of not less than $5,000 nor more than 
$50,000 per day of violation, or by imprisonment for not more than 3 
years, or both.
c. Knowing Endangerment
    The Act provides that any person who knowingly violates permit 
conditions implementing sections 301, 302, 303, 306, 307, 308, 318, or 
405 of the Act and who knows at that time that he is placing another 
person in imminent danger of death or serious bodily injury is subject 
to a fine of not more than $250,000, or by imprisonment for not more 
than 15 years, or both.
d. False Statements
    The Act provides that any person who knowingly makes any false 
material statement, representation, or certification in any 
application, record, report, plan, or other document filed or required 
to be maintained under the Act or who knowingly falsifies, tampers 
with, or renders inaccurate, any monitoring device or method required 
to be maintained under the Act, shall upon conviction, be punished by a 
fine of not more than $10,000, or by imprisonment for not more than 2 
years, or by both. If a conviction of a person is for a violation 
committed after a first conviction of such person under this paragraph, 
punishment shall be by a fine of not more than $20,000 per day of 
violation, or by imprisonment of not more than 4 years, or by both. 
(See section 309.c.4 of the Clean Water Act)

2. Civil Penalties

    The Act provides that any person who violates a permit condition 
implementing sections 301, 302, 306, 307, 308, 318, or 405 of the Act 
is subject to a civil penalty, as specified in 40 CFR 19.4, for each 
violation.
3. Administrative Penalties
    The Act provides that any person who violates a permit condition 
implementing sections 301, 302, 306, 307, 308, 318, or 405 of the Act 
is subject to an administrative penalty, as specified in 40 CFR 19.4, 
for each violation.

Section F. Definitions

    All definitions contained in section 502 of the Act shall apply to 
this permit and are incorporated herein by reference. Unless otherwise 
specified in this permit, additional definitions of words or phrases 
used in this permit are as follows:
    1. ACT means the Clean Water Act (33 U.S.C. 1251 et seq.), as 
amended.
    2. ADMINISTRATOR means the Administrator of the U.S. Environmental 
Protection Agency.
    3. BLOWOUT PREVENTER FLUID is used to actuate the hydraulic 
equipment on the blowout preventer.
    4. BOD5 means five day biochemical oxygen demand.
    5. BYPASS means the intentional diversion of waste streams from any 
portion of a treatment facility.

[[Page 57465]]

    6. COD means chemical oxygen demand.
    7. DAILY MAX discharge limitation means the highest allowable 
``daily discharge'' during the calendar month.
    8. DISTILLATION AND REVERSE OSMOSIS BRINE is wastewater associated 
with the process of creating fresh water from seawater.
    9. DIATOMACEOUS EARTH FILTER MEDIA is filter media used to filter 
seawater or other authorized completion fluids and subsequently washed 
from the filter.
    10. DIRECTOR means the U.S. Environmental Protection Agency 
Regional Administrator or an authorized representative.
    11. DOMESTIC WASTE is materials discharged from sinks, showers, 
laundries, safety showers, eyewash stations, hand-wash stations, fish 
cleaning stations, and galleys located within facilities subject to 
this permit.
    12. ENVIRONMENTAL PROTECTION AGENCY means the U.S. Environmental 
Protection Agency.
    13. FACILITY (as defined in 40 CFR 122.2) means any NPDES ``point 
source'' or any other facility or activity that is subject to 
regulation under the NPDES program.
    14. FORMATION TEST FLUIDS are the discharge that would occur if 
hydrocarbons are located during exploratory drilling and tested for 
formation pressure and content.
    15. GRAB SAMPLE means an individual sample collected in less than 
15 minutes.
    16. ``MGD'' means million gallons per day.
    17. ``mg/L'' means milligrams per liter or parts per million (ppm).
    18. MUDS, CUTTINGS AND CEMENT AT THE SEA FLOOR are discharges which 
occur at the sea floor prior to installation of the marine riser and 
during marine riser disconnect and well abandonment and plugging 
operations.
    19. NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM means the 
national program for issuing, modifying, revoking and reissuing, 
terminating, monitoring and enforcing permits, and imposing and 
enforcing pretreatment requirements, under sections 307, 318, 402, and 
405 of the Act.
    20. SEVERE PROPERTY DAMAGE means substantial physical damage to 
property, damage to the treatment facilities which causes them to 
become inoperable, or substantial and permanent loss of natural 
resources which can reasonably be expected to occur in the absence of a 
bypass. Severe property damage does not mean economic loss caused by 
delays in production.
    21. STATIC SHEEN is defined in the static sheen test in appendix 1 
to 40 CFR part 435, subpart A.
    22. UNCONTAMINATED WATER is freshwater or seawater which is 
returned to the receiving water without the addition of any chemicals. 
Included are (1) Discharges of excess water that permit the continuous 
operation of fire control and utility lift pumps, (2) excess water from 
pressure maintenance and secondary recovery projects,(3) water released 
during the training and testing of personnel in fire protection, (4) 
water used to pressure test piping, (5) once-through, non-contact 
cooling water, (6) potable water released during transfer and tank 
emptying operations and (7) condensate from air conditioning units, (8) 
seawater cooling overboard discharge, (9) chain locker effluent, and 
(10) firemain system discharge .
    23. UPSET means an exceptional incident in which there is 
unintentional and temporary noncompliance with technology-based permit 
effluent limitations because of factors beyond the reasonable control 
of the permittee. An upset does not include noncompliance to the extent 
caused by operational error, improperly designed treatment facilities, 
inadequate treatment facilities, lack of preventive maintenance, or 
careless or improper operation.
    24. VISUAL SHEEN means a ``silvery'' or ``metallic'' sheen, gloss, 
or increased reflectivity, visual color, or iridescence on the water 
surface.

[FR Doc. 01-28633 Filed 11-14-01; 8:45 am]
BILLING CODE 6560-50-P