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Home My WebLink About07.c EDB WQ Credit Trading EXECUTIVE SUMMARY AGENDA ITEM: Anticipated Water Quality Credit Transfer Affidavit Date: April 2, 2024 BACKGROUND: Clay County residents whether they are a customer or not benefit from the investments CCUA made in Advanced Wastewater Treatment (AWT) systems and other technologies. The Florida Department of Environmental Protection(FDEP) allows permitted entities to share their permitted nutrient loading allocation with other DEP permitted entities that may not be able to meet their loading limits. CCUA and the Clay County Board of County Commissioners (BCC) entered an interlocal agreement transferring some nutrient loading allocation, or water quality credits, from CCUA to Clay County. This agreement assists Clay County with their stormwater compliance under the Lower St. Johns River Basin Management Action Plan (BMAP). CCUA and the Clay County BCC must renew the interlocal agreement transferring the water quality credits every five (5) years through an updated Water Quality Credit Transfer Affidavit. Staff recommends continuing the Water Quality Credit Transfer to support Clay County compliance with the Lower St. Johns River BMAP. Algae flourish in nutrient-rich water bodies. Doctors Lake is often the subject of summer news reports of blue-green algae blooms in the area. To decrease the impacts of nutrients on our surface water bodies, the FDEP limits the amount, or `loading', that each permitted entity is allowed to discharge into the St. Johns River.For example, the FDEP permits CCUA to discharge a combined total of 127,613 pounds of nitrogen and 74,278 pounds of phosphorus into the river each year through the Miller Street and Fleming Island Wastewater Reclamation Facilities outfalls. We recently received the FDEP notice of intent to issue the aggregate permit for the Miller Street and Fleming Island Water Reclamation Facility (WRF) outfalls on March 25, 2024. In the past 12 months, CCUA discharged 10,617 pounds of nitrogen and 2,769 pounds of phosphorus. CCUA operates at roughly 8% of the allowed nitrogen limit and about 3% of the allowed phosphorus limit. This water quality credit transfer remains consistent with past transfers. Staff confirmed the credits are still available. We do not anticipate needing them for the next five (5) years. Should CCUA need the Water Quality Credits for its own use in the future, the interlocal agreement includes a "Return Notice"that requires the Clay County BCC take all necessary actions to secure and return the water quality credits to CCUA within 45 days of written notice. Staff supports continuing the Water Quality Credit transfer renewal for an additional five (5) year period. Clay County BCC staff were notified of the requirement to renew the Water Quality Credit transfer. We are waiting on the Clay County BCC's response to the updated Water Quality Credit Transfer Affidavit. //HW(Author) //DM,AB(Review) //JDJ(Final) RECOMMENDATION: Staff respectfully requests the Board of Supervisors' approval to execute the Water Quality Transfer Affidavit for an additional five(5)year period,upon receipt from the County and after CCUA legal review. ATTACHMENTS: May 1, 2024—April 30, 2029 Water Quality Credit Transfer Affidavit //HW(Author) //DM,AB(Review) //JDJ(Final) WATER QUALITY CREDIT TRANSFER AFFIDAVIT STATE OF FLORIDA COUNTY OF CLAY Before me, the undersigned authority,personally appeared, , as representative for Clay County ("Transferee") and Jeremy D. Johnston, Executive Director, as representative for Clay County Utility Authority ("Transferor"), who were sworn and say: 1) The affiants are engaged in a Water Quality Credit Transfer pursuant to Chapter 62-306,Florida Administrative Code (F.A.C.) and Basin Management Action Plan for the Lower St. Johns River. 2) Transferee of the credits has received 409 kg/yr Total Nitrogen Water Quality Credits and 1,476 kg/yr Total Phosphorous Water Quality Credits from Transferor for the term of May 1, 2024, to April 30, 2029. This transfer is being conducted pursuant to the terms of that certain Interlocal Agreement between Clay County and the Clay County Utility Authority Regarding the Transfer of Water Quality Credits ("Interlocal Agreement"), dated February 12, 2008, and the Amendment to Interlocal Agreement between Clay County and the Clay County Utility Authority Regarding the Transfer of Water Quality Credits ("Amendment"), dated August 24, 2009, and as may be amended from time to time. The Transferee and Transferor acknowledge that he Interlocal Agreement and Amendment, as may be amended from time to time, govern the terms of this transfer. 3) Transferee has paid Transferor No Dollars and No Cents ($0.00) for this transaction. 4) This reflects a purchase price of No Dollars ($0.00)per credit. 5) The Transferor acknowledges that state funding in the amount of$0.00 was received for the facilities or activities that have generated the transferred credits. 6) The Transferor generated the transferred credits by conducting the following activities pursuant to 62-306.400(2), F.A.C.: Constructed advanced wastewater treatment facilities at its Fleming Island Regional Wastewater treatment facility. 7) The WaterBody Identification (WBID) number and Location Factor (LF) for the discharge location of the Transferee and Transferor, and any calculations used to account for differences in location (attach additional material as needed): Transferor: WBID No. 2213 H, Location Factor 0.12 Transferee: 70%WBID No. 2213I, Location Factor 0.52 Transferee: 30%WBID No. 2213J, Location Factor 0.62 Transferee: 30%WBID No. 2213J, Location Factor 0.62 8) For estimated credits, any calculations used to account for the uncertainty in the estimated reductions. IF default uncertainty factor (UF) ratios were not used, attach documentation supporting the use of site-specific UF rations: NOT APPLICABLE 9) A description of any proposed monitoring that will be done to verify credit generation: Transferor will monitor WWTF effluent discharge concentrations per permit No. FL0043834 10)The Transferee's original load allocation under the LSJR BMAP is Non-urbanized (non-MS4) area=4,401 kgTN/yr(freshwater only) Point Source-MS4s=976 kgTN/yr Non-urbanized(non-MS4) area=499.4 kgTP/yr(freshwater only) Point Source-MS4s 212.6 kgTP/yr 11)The Transferor's original load allocation under the LSJR BMAP is 84,058 kg/yr TN Total Phosphorous Water Quality Credits and were deducted from Permit No. FL0043484. Original Total Phosphorous load allocation 10,595kg/yr has been reduced to 9,119 kg/yr. 12)The Transferor certifies that the credits transferred in this Water Quality Credit Trade have not been previously transferred to another transferee. Representative for Transferee: Sworn to and subscribed before me on the day of April, 2024, by , who is personally known to me or who has produced , as identification and who did(did not) take an oath. Notary Public Representative for Transferor: Jeremy D. Johnston, MBA, PE, Executive Director Sworn to and subscribed before me on this day of April 2024, by Jeremy D. Johnston, who is personally known to me or who has produced , as identification and who did(did not) take an oath. Notary Public