The Supreme Court’s July 2 decision in Loper Bright Enterprises v. Raimondo overturns the Chevron deference and marks a significant shift in regulatory power, transferring authority from federal agencies back to Congress and the courts. The decision will increase the role of the judiciary in reviewing agency actions, potentially leading to more litigation, uncertainty, and delays in the regulatory process. BC’s Compliance and Permitting team will continue to keep tabs on the latest developments.

From cybersecurity to water quality standards and beyond, this edition of Compliance News shares important updates and insights into what the changes are and why they matter to facilities, sectors, and geographies.

Questions? Reach out to Kelly Collins

EPA’s guidance on NPDES groundwater discharge permit requirements under review

Influenced by the Supreme Court’s “functional equivalent” test, the EPA’s final guidance on the Clean Water Act permits for discharges through groundwater is under Office of Management and Budget review (at the time of publication). It outlines how facilities should evaluate if their groundwater discharges require a permit, how to apply for a permit, and warns of enforcement actions for non-compliance.

Why it matters: This guidance could significantly impact entities with discharges that previously have not required National Pollutant Discharge Elimination System (NPDES) permits, with increased technical due diligence and potential political challenges ahead. It underscores the importance of knowing whether there is a functionally equivalent discharge.

Questions? Reach out to Richard Munden

Increased cybersecurity inspections and enforcement for water utility systems serving over 3,300 people

The EPA issued an enforcement alert to address the increasing cybersecurity threats targeting the nation’s drinking water systems. The alert, part of a broader government initiative led by the National Security Council and the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency, outlines necessary steps for community drinking water systems to comply with the Safe Drinking Water Act.

Why it matters: Recent EPA inspections revealed that over 70% of water systems do not fully comply with the act, with some exhibiting critical cybersecurity vulnerabilities. Given the agency’s increased number of planned inspections (and resulting civil and criminal enforcement actions where appropriate), now is the time for water utilities to proactively assess cyber security and compliance.

Revised water quality standards may have trickle-down effect to NPDES permits

Questions? Reach out to Kelly Moody

Alaska joins Florida and Washington as states with water quality standards under EPA scrutiny. The agency has made determinations that the states’ surface water quality standards to protect human health are not sufficiently stringent because it does not reflect actual fish consumption rates in these states.

Why it matters: Focus will likely continue to be on the states that may have higher than normal fish consumption. As states collect updated fish consumption rate (FCR) data, human health standards may change to reflect the actual FCR. When water quality standards change (particularly when they are lowered), it affects the effluent limitations in NPDES Permits.