25 Pa. Code § 96.8
(a) Definitions. The following words and terms, when used in this section, have the following meanings, unless the context indicates otherwise:
(ii) The term includes allocations established under this chapter, in a TMDL or in a similar allocation, for the pollutant.
BMP—Best management practice—
(v) The term includes BMP measures developed under this title to reduce pollutant loading to surface waters.
Certification—Written approval by the Department of a proposed pollutant reduction activity to generate credits before the credits are verified and registered to be used to comply with NPDES permit effluent limitations.
Credit—The tradable unit of compliance that corresponds with a unit of reduction of a pollutant as recognized by the Department which, when certified, verified and registered, may be used to comply with NPDES permit effluent limitations.
Credit reserve—Credits set aside by the Department to address pollutant reduction failures and uncertainty.
DMR—Discharge monitoring report—The Department or EPA supplied forms for reporting of self-monitoring results by the permittee.
Delivery ratio—A ratio that compensates for the natural attenuation of a pollutant as it travels in water before it reaches a defined compliance point.
Edge of segment ratio—A ratio that identifies the amount of a pollutant expected to reach the surface waters at the boundary of a Chesapeake Bay Watershed Model segment through surface runoff and groundwater flows from a pollutant source within a watershed segment.
Nutrient—Nitrogen or phosphorus.
Offset—The pollutant load reduction measured in pounds that is created by an action, activity or technology which when approved by the Department may be used to comply with NPDES permit effluent limitations, conditions and stipulations under Chapter 92a (relating to National Pollutant Discharge Elimination System permitting, monitoring and compliance). The offset may only be used by the NPDES permittee that the Department determines is associated with the load reduction achieved by the action, activity or technology.
Pollutant—Nutrient or sediment.
Pollutant reduction activity—An activity, such as a BMP or effluent control, that is implemented to prevent or reduce a pollutant load to surface waters of this Commonwealth.
Registration—An accounting mechanism used by the Department to track certified and verified credits before they may be used to comply with NPDES permit effluent limitations.
Reserve ratio—A 10% ratio that is applied to the pollutant reductions generated, which establishes the credits to be set aside for the Department’s credit reserve.
Threshold—Activities and performance standards beyond baseline compliance which are required under subsection (d)(3) before credits may be certified.
Tradable load—The amount of nonpoint source pollutant reduction determined to be the projected future pollutant load that is the difference between the total reduction theoretically possible from maximum implementation of pollutant reduction activities, and the reduction associated with a level of pollutant reduction activities identified by the Department as reasonably attainable.
Trade—A transaction that involves the sale or other exchange, through a contractual agreement, of credits that have been certified, verified and registered.
Trading ratio—A ratio applied to adjust a pollutant reduction when calculating credits for a pollutant reduction activity. A trading ratio is used to address uncertainty, water quality, reduction failures or other considerations. The term will include a delivery ratio, an edge of segment ratio and a reserve ratio.
Verification—Assurance that the verification plan contained in a certification, permit or other approval issued by the Department under this section has been implemented. Verification is required prior to registration of the credits for use in an NPDES permit to comply with NPDES permit effluent limitations.
Aggregator—A person that arranges for the sale of credits generated by another person, or arranges for the credits to be certified, verified and registered.
Agricultural operation—The management and use of farming resources for the production of crops, livestock or poultry, or for equine activity.
Baseline—
(b) Chesapeake Bay water quality.
(c) Methodology.
(3) The Department may rely on results from the following modeling tools, as amended or updated, to approve other pollutant removal efficiencies for BMPs:
(4) The Department may rely on the methods, data sources and conclusions in the following EPA documents, as amended or updated:
(d) Eligibility requirements for the Chesapeake Bay.
(2) Baseline requirements to generate credits.
(3) Threshold requirements to generate credits.
(i) To generate credits, an agricultural operation must meet one of the following threshold requirements at the location where the credits are generated.
(A) Manure is not mechanically applied within 100 feet of a perennial or intermittent stream with a defined bed or bank, a lake or a pond. This threshold can be met through one of the following:
(4) Compliance status. A person who by past or current noncompliance has demonstrated a lack of ability or intention to comply with any of the following is not eligible for certification or offset approval or to use credits or offsets to meet permit effluent limits:
(e) Certification requirements for the Chesapeake Bay.
(2) Request for certification. A person who wishes to have a pollutant reduction activity certified by the Department to generate credits shall submit a written request for certification in the format required by the Department.
(i) The request for certification must contain information sufficient to demonstrate the following:
(ii) The request for certification must contain the following additional information:
(3) Calculation requirements. The following credit calculation requirements apply:
(4) Other requirements considered for certification.
(iii) The Department will not certify a request that includes a pollutant reduction activity related to a farm land conversion action that includes the purchase and idling of a whole farm or a substantial portion of a farm to provide credits for use offsite. The Department will not certify a request that includes a pollutant reduction activity related to a farm land conversion action that includes farmland that is converted from agricultural land to another development type such as commercial or residential. However, to support farm land conservation programs, if a portion of farm land is retired or converted through a program such as one of the following, the action may be eligible for certification:
(5) Verification plan. A request for certification must contain a verification plan.
(ii) The verification plan must also include one of the following methods. The method contained in the verification plan is subject to approval by the Department:
(6) Certification by the Department. The Department will certify a pollutant reduction activity when it has determined that the requirements of paragraphs (1)—(5) have been met. In addition, the following apply:
(9) Renewal of certification.
(f) Verification requirements for the Chesapeake Bay.
(1) General. Credits must be verified prior to registration. The following applies to verification:
(g) Registration requirements for the Chesapeake Bay.
(2) Registration requirements. The following registration requirements apply:
(h) Use of credits and offsets to meet NPDES permit requirements related to the Chesapeake Bay.
(6) A permittee shall document the use of credits and offsets in DMR forms, which the permittee shall submit at the end of each compliance year or as otherwise provided or required in the permit. Credits and offsets shall only be used to meet permit effluent limits for the compliance period for which they are certified, verified and registered, or approved, by the Department under this section.
The provisions of this § 96.8 issued under sections 5(b), 202, 307, and 402 of The Clean Streams Law (35 P. S. § § 691.5(b), 691.202, 691.307, and 691.402).
The provisions of this § 96.8 adopted October 8, 2010, effective October 9, 2010, 40 Pa.B. 5790.