EHS Management

The Business Case for Stormwater Management: 3 Opportunities

Yesterday we reviewed the latest in the U.S. Environmental Protection Agency’s (EPA) guidance for community stormwater planning and why EHS managers should be involved. Today we will look at how some communities are promoting the development of green infrastructure (GI) for commercial and industrial facilities.

Companies located in municipalities that have incentives to develop new, more ecological systems have an advantage when considering greener solutions. Be sure to check with your municipality for any available funding for GI initiatives.

Let’s take a look at three cities and their incentives for industrial/commercial GI projects.

Lexington, KY—The Carrot and the Stick

As one part of a consent decree to control sanitary sewer overflows, Lexington instituted a stormwater fee based on the amount of impervious area. Residential properties paid a flat rate for one Equivalent Residential Unit (ERU)—2,500 square feet (ft2). Commercial and industrial facilities paid a fee based on the number of these units of impervious surface. In addition, Lexington established a grant program as an incentive.

The Stormwater Quality Projects Incentive Grant Program provides financial assistance for projects that improve water quality, reduce stormwater runoff, and educate citizens about stormwater and water quality issues in our community.

Businesses, schools, churches, and nonprofits located in Fayette County that pay the Water Quality Management Fee are eligible to apply for these grants. There are two grants available: Infrastructure and Education.

An example of a business that took advantage of the grant program is JM Smucker (yes, the jam folks). The company received an infrastructure grant of $350,000 to design and construct four water control facilities at its plant in Lexington to improve water quality and reduce runoff leaving its site. The facilities include pervious pavement, bioretention features, rainwater harvesting tanks, and a rain garden.

Washington, D.C.—Credits and Fees

The District of Columbia is required to incorporate GI in two of its sewersheds and part of a recent amendment to a 2005 Clean Water Act consent decree. In addition, as part of the consent decree, the District will review its stormwater regulations and policies and, in particular, review the practicality of using its Stormwater Retention Credit program to maximize water quality benefits.

This program allows property owners and site developers to generate Stormwater Retention Credits (SRCs) by providing on-site stormwater retention beyond those required for respective sites. The credits can be purchased (in the open market run by the District Department of the Environment) by developers who are required to provide one-half of the requisite on-site retention volume with the option to meet the remaining retention volume through credits obtained through the SRC program. One aim of the program is to help drive the implementation of green infrastructure in less affluent areas outside of the downtown core where opportunity costs related to land value are relatively low. The program is intended to lead to high amounts of retrofits in low-income and environmentally sensitive areas.

Beyond the SRC program, the District has established a stormwater fee, which includes a Stormwater Fee and the Clean Rivers Impervious Area Charge (IAC), which funds the Clean Rivers Project. The Stormwater Fee and the Clean Rivers IAC are both calculated using ERUs. One ERU is equal to 1,000 ft2 of impervious surface in D.C. Credits/rebates are given to those who provide retention on-site. District residents, businesses, and property owners can earn a discount of up to 55% off the Stormwater Fee when they reduce stormwater runoff by installing GI such as green roofs, bioretention, permeable pavement, and rainwater harvesting systems.

Philadelphia—Charges and Credits

Philadelphia has a Stormwater Management Services (SWMS) charge for nonresidential properties that is based on two parameters: the Gross Area square footage and the Impervious Area square footage of a property. There is a minimum SWMS charge for nonresidential property.

The Philadelphia Water Department (PWD) offers a Stormwater Credits program in which commercial property owners can reduce their monthly fees by installing GI practices, such as green roofs or rain gardens, or by reducing impervious areas, such as by converting parking lots to meadows. Philadelphia also provides grants through its Stormwater Management Incentives Program, which is designed to encourage developers to reduce stormwater by helping them pay for GI practices on commercial properties that generate large volumes of stormwater runoff.

Takeaway

There is money—and other incentives—out there for commercial/industrial stormwater GI projects. Make sure to check with your municipality, especially if you are considering renovations or expansions at your facility.

Print

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.