Agency Contact Info
Paul Rasmussen
Director of Policy, Planning and Operations
email: Rasmussen.paul@azdeq.gov
phone: 602-771-2216
url: www.azdeq.gov, www.azwifa.gov
State Agencies
AZ Department of Environmental Quality (ADEQ) and the Water Infrastructure Finance Authority (WIFA)
Agency Plan
The Arizona Department of Environmental Quality (ADEQ) and the Water Infrastructure Finance Authority (WIFA) will receive “stimulus” funding from the American Recovery and Reinvestment Act of 2009 (ARRA). WIFA and three ADEQ Divisions are expected to receive funds designated in the Act under section appropriating funding for the U.S. Environmental Protection Agency (US EPA). The following funding is expected:
| WIFA: | Clean Water Act Drinking Water Act |
$26,469,000 $55,340,000 |
| ADEQ: Tanks Programs Div. |
Leaking Underground Storage Tanks | $ 3,222,000 |
| Air Quality Div. | State Clean Diesel Grant Program Clean Diesel Funding Assistance (Competitive) |
$ 1,730,000 Unknown |
| Water Quality Div. | Clean Water Act (Section 604B) | $ 267,400 |
It should be noted that final guidance and funding allocations from EPA have not been made. This information is based upon on-going communications with EPA and represents ADEQ’s understanding of current status of stimulus monies and procedures. These proposed projects represent improvements to sewer systems, drinking water systems, removal of polluting underground storage tanks, the retrofitting of diesel vehicles to improve air quality and the distribution of clean water planning monies.
ADEQ plans to approve projects that are ready to be implemented in the immediate future. In addition, ADEQ intends to approve projects that generate maximum employment opportunities and have important beneficial impacts on the environment. The process of review and approval of these proposed projects will follow standard WIFA and ADEQ procedures, as modified by guidance from the US EPA. The review and approval process will be transparent and progress will be tracked on the AZRecovery.gov, ADEQ and WIFA’s Web sites. A list of potential projects, their location, project cost and other key data is included with this information. These project lists will be updated, at least, on a monthly basis and will be available on the above cited Web sites.
Impact of Stimulus on Constituency
WIFA: The ARRA funding will provide significant savings on clean and drinking water infrastructure projects for many municipalities and private drinking water companies in Arizona that are able to start construction by June 17, 2009 or have signed contracts for construction by February 17, 2010. Fifty percent (50%) of the ARRA grant funds WIFA receives will be awarded as forgivable principal, as a percentage of the loan amount, with caps of two million on clean water and four million on drinking water loans. Once fifty percent (50%) of the ARRA grant funds are awarded as forgivable principal the other fifty percent (50%) will be awarded as low-interest ( 1%, 2%, 2.5% and 3%) loans for clean and drinking water projects.
Tanks Programs Division: ADEQ and the US EPA will enter a cooperative agreement under the Leaking Underground Storage Tank (LUST) Trust Fund to perform ARRA authorized activities. The Tank Programs Division will use the existing Tanks Contract SCC060008 (available at https://spirit.az.gov/Applications/SPIRIT/SR.nsf ) to perform environmental assessments and cleanups of leaking underground storage tanks. A priority list of projects eligible for ARRA funding will be attached to the cooperative agreement. The two-tiered priority list includes projects from throughout the state where an existing contract is in place to perform ARRA authorized activities (priority 1) and projects where the contracting process can begin upon award of ARRA funds (priority 2). Projects can be added or removed from the priority list or re-ranked depending upon the availability of funds and/or progress made toward meeting ARRA deadlines. All projects are considered “green” in that they result in environmental cleanup and productive reuse of otherwise contaminated sites.
Air Quality Division: There are two categories of potential air quality improvement projects. Both are funded by the US EPA under the Diesel Emissions Reduction Act (DERA/ARRA). The first category is a non-competitive grant for which ADEQ made application on 3/20/09. The grant will provide for diesel truck electrification at ADOT rest stops in southern Arizona.
The project will deploy anti-idling technology to reduce diesel emissions from commercial freight trucks in areas that are non-attainment or impaired due to particulate matter concentrations. It will bring about infrastructure improvements through installation of electrified parking spaces (also known as truck stop electrification) to highly traveled stretches of roads in the southern portion of the state with poor air quality. The technology will also be utilized at the commercial ports of entry in Nogales and San Luis, thus enhancing infrastructure improvements and efficiencies in the movement of trade through the state.
The Arizona Department of Environmental Quality will follow the state procurement process to contract for the installation of the electrified parking spaces. It is anticipated that the contractor will in turn hire several sub-contractors to complete the installations by September 30, 2010.
An added benefit of the project is the collaboration among various agencies and private sector entities to link environmental benefits in improving trade conditions in Arizona. These currently include Arizona Department of Transportation, Arizona Department of Commerce, U.S. Federal Highway Administration, U.S. Customs and Border Protection, U.S. General Service Administration, Greater Nogales and Santa Cruz County Port Authority, and the Greater Yuma Port Authority.
This project will meet the priorities outlined for stimulus funding through the federal Diesel Emissions Reduction Act as it focuses on areas in the state that have poor air quality; receive a disproportionate quantity of air pollution from diesel fleets, including truck stops, ports, rail yards, terminals, and distribution centers; use a community-based multi-stakeholder collaborative process to reduce toxic emissions; verified technology that has a long expected useful life; conserve diesel fuel; and maximize public health benefits.
The second category is a nationally competitive grant that ADEQ is coordinating with the Arizona departments of Administration and Corrections. Both agencies manage fleets of large buses and trucks that are highly polluting. We are in a planning stage so the scope (size of the projects and monies requested). is unknown. At this early stage, AQD will be applying for a grant in conjunction with other agencies with the following projects in mind: replacement of institutional buses for the Arizona Department of Corrections (ADOC), subsidize agencies that manage fleets for alternative fuel usage, replace stand-by generators for ADOC and purchase low rolling resistance tires for agencies managing fleets.
Regarding infrastructure changes, if awarded, new institutional buses will replace the old buses currently in use by ADOC. These buses will travel over 35,000 miles per year throughout Arizona and non-attainment areas and will provide a major impact of diesel emission reduction. The current correctional buses were built in the early 1980’s and once replaced they will be ultimately destroyed and never be on the streets again. Finally, regarding impacts to infrastructure, the new stand-by generators for ADOC will certainly add to the infrastructure providing necessary backup for electrical generation.
The main benefit to Arizona will be the cleaner air that these projects will provide. Diesel exhaust emissions are a significant cause to elevated ozone levels and particulate matter and cleaner buses will make a difference that impacts everyone. All of these measures would significantly reduce several criteria pollutants in these heavy duty vehicles within the greater Phoenix metropolitan area. This grant proposal will be submitted by 4/28/09 with work proposed to be completed by 9/30/10.
Water Quality Division: The development of three water quality management plans will assist the wastewater construction industry by assuring that up-to-date plans are in place. Arizona cities and towns will be working through Water Infrastructure Finance Authority (WIFA) to obtain funding for new wastewater treatment projects, and they will be working through ADEQ to obtain the necessary permits. The Water Quality Management (WQM) plans are vital components of Arizona’s planning process for wastewater treatment facility construction. The WQM plans must be in place prior to permit approval. Updated plans will increase efficiency in getting the projects to “shovel-ready” status, and jobs will be created or maintained by expediting construction projects.
ADEQ hopes to reach a broad environmental protection audience by working in cooperation with MAG to deliver green infrastructure training. Water/wastewater professionals, planners and businesses will benefit from this program. The training will influence planners to adopt low impact development practices that will lead to resource conservation, water quality improvement, and lower costs.
The grant provides for $106,960 to be spent at the local level to update plans and to develop green infrastructure training. Metropolitan Planning Agencies (MAG, SEAGO, and CAAG) will be receiving pass-through funding. The monies will provide a modest boost to these local urban and rural economies.
Application Evaluation and Decision Making Process for Stimulus Funds
WIFA: Title 18, Chapter 15 of the Arizona Administrative Code created WIFA. The Authority prepares an Intended Use Plan (IUP) which describes how WIFA intends to use available funds based upon the goals and objects of the Safe Drinking Water Act (SDWA) to protect public health. The IUP for ARRA proposed projects also gives preference to projects that are ready to proceed with construction and/or proposed projects with signed contracts for construction. WIFA staff works with potential applicants to help insure that both engineering plans and financial documentation are correct. All proposals are reviewed and approved by the WIFA Board of Directors, which is chaired by the Director of ADEQ. WIFA staff works with jurisdictions throughout the life of the construction period to help insure effective and efficient projects and that the financial terms of program are met.
ADEQ: Tanks Programs Division: A priority list of projects eligible for ARRA funding has been developed and consists of projects through out the state. All proposed projects ultimately approved will meet all US EPA requirements for use of ARRA funds and will include shovel-ready projects (sites ready for assessment and cleanup) that are typically orphaned or abandoned sites, where the owners/operators of the USTs are unknown or unable to pay for cleanup. The priority list will be submitted to US EPA for review and approval as part of the cooperative agreement under the Leaking Underground Storage Tank (LUST) Trust Fund under which ARRA authorized activities will be performed. ADEQ’s Tank Programs Division will use the existing Tanks Contract SCC060008 (available at https://spirit.az.gov/Applications/SPIRIT/SR.nsf ) to perform the environmental assessments and cleanups of leaking underground storage tanks. The Tank Programs Division will oversee each project to ensure and effective and safe cleanup in accordance with ARRA requirements.
Air Quality Division: Normal grant procedures are followed by ADEQ for both the non-competitive and competitive ARRA funds categories. Detailed guidance has been provided by US EPA in both cases. Regular contracting procedures will also be followed the construction of rest stop electrification and the retrofitting/substitution of heavy engines powered by diesel.
Water Quality Division: Similar to the Air Quality Division, the Water Quality Division will follow normal grant application and distribution procedures for 604B planning funds.
Proposed Projects, Funded Projects
The attached spreadsheets include: WIFA Clean Water (PDF), WIFA Drinking Water (PDF), Tanks Programs, Air Quality (PDF) and Water Quality (PDF). These spreadsheets provide data and information on proposed and founded projects. In addition, efforts will be made to estimate the number of jobs created with each project and whether or not the proposed projected is categorized as green. It should be noted that the proposed project spreadsheet for WIFA’s programs reflect estimated project costs, funded by ARRA, higher than the allocation from US EPA. Conversely, the Tanks Programs spreadsheet has lower project costs than the total allocations from US EPA. These spreadsheets will change over time but the ADEQ will ensure that the amount expended for ARRA funds will not exceed the total allocation from US EPA.