GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2005

H                                                                                                                                                    1

HOUSE BILL 1730

 

 

 

 

Short Title:     Clean Hog Farms Act of 2005-2.

(Public)

Sponsors:

Representatives Justice;  Harrison, Luebke, Underhill, and Weiss.

Referred to:

Environment and Natural Resources, if favorable, Appropriations.

May 12, 2005

A BILL TO BE ENTITLED

AN ACT to codify and make permanent the swine farm animal waste management system performance standards that the general assembly enacted in 1998 and to phase out the use of the lagoon and sprayfield animal waste management system for swine farms.

The General Assembly of North Carolina enacts:

SECTION 1.  Section 1.1 of S.L. 1997‑458, as amended by Section 2 of S.L. 1998‑188, Section 2.1 of S.L. 1999‑329, Section 1 of S.L. 2001‑254, and Section 1 of S.L. 2003‑266, is codified as G.S. 143‑215.10I and reads as rewritten:

"§ 143‑215.10I.  Performance standards for animal waste management systems that serve swine farms; lagoon and sprayfield systems prohibited.

(a)       Moratorium Established. – As used in this section:

(1)       'Swine farm' and 'lagoon' have the same meaning as in G.S. 106‑802.

(2)       'Animal waste management system' has the same meaning as in G.S. 143‑215.10B.

(3)(2)  'Anaerobic lagoon' means a lagoon that treats waste by converting it into carbon dioxide, methane, ammonia, and other gaseous compounds; organic acids; and cell tissue through an anaerobic process.

(4)(3)  'Anaerobic process' means a biological treatment process that occurs in the absence of dissolved oxygen.

(a1)     There is hereby established a moratorium on the construction or expansion of swine farms and on lagoons and animal waste management systems for swine farms. The purposes of this moratorium are to allow time for the completion of ongoing evaluations of animal waste management technologies and related research and studies; to allow the General Assembly to receive and act on the findings and recommendations of those evaluations, research, and studies; and to allow for the implementation of any legislation that may be enacted. Except as provided in subsection (b) of this section, the Environmental Management Commission shall not issue a permit for an animal waste management system for a new swine farm or the expansion of an existing swine farm for a period beginning on 1 March 1997 and ending on 1 September 2007. The construction or expansion of a swine farm or animal waste management system for a swine farm is prohibited during the period of the moratorium regardless of the date on which a site evaluation for the swine farm is completed and regardless of whether the animal waste management system is permitted under G.S. 143‑215.1 or Part 1A of Article 21 of Chapter 143 of the General Statutes or deemed permitted under 15A North Carolina Administrative Code 2H.0217.

(b)       Exceptions. – The moratorium established by subsection (a1) of this section does not prohibit:

(1)       Construction to repair a component of an existing swine farm or lagoon.

(2)       Construction to replace a component of an existing swine farm or lagoon if the replacement does not result in an increase in swine population, except as provided in subdivision (3) (7), or (8) of this subsection.

(3)       Construction or expansion for the purpose of increasing the swine population to the projected population or to the population that the animal waste management system serving that swine farm is designed to accommodate, as set forth in a certified animal waste management plan filed with the Department of Environment, Health, and Natural Resources prior to 1 March 1997.

(4)       Construction or expansion for the purpose of complying with applicable animal waste management rules and not for the purpose of increasing the swine population.

(5)       Construction or expansion, if the person undertaking the construction or expansion of the swine farm, lagoon, or animal waste management system has been issued a permit for that construction or expansion under G.S. 143‑215.1 or Part 1A of Article 21 of Chapter 143 of the General Statutes prior to the date this act becomes effective.

(6)       Construction or expansion, if the person undertaking the construction or expansion of the swine farm, lagoon, or animal waste management system has, prior to 1 March 1997, either:

a.         Laid a foundation for a component of the swine farm, lagoon, or animal waste management system.

b.         Entered into a bona fide written contract for the construction or expansion of the swine farm, lagoon, or animal waste management system.

c.         Been approved for a loan or line of credit to finance the construction or expansion of the swine farm, lagoon, or animal waste management system and has obligated or expended funds derived from the loan or line of credit.

(7)       Construction or expansion of an animal waste management system that does not employ an anaerobic lagoon as the primary method of treatment, does not employ land application of waste except by injection into soil or by surface application if the injection or surface application meets the requirements of sub‑subdivisions a. through e. of this subdivision, and is designed to be the subject of a research project. The Environmental Management Commission shall issue a permit for the construction or expansion of an animal waste management system under this subdivision only if the Commission determines, after consultation with the Animal and Poultry Waste Management Center of North Carolina State University, that additional research is necessary to evaluate whether the animal waste treatment system will:

a.         Eliminate the discharge of animal waste to surface waters and groundwater through direct discharge, seepage, or runoff.

b.         Substantially eliminate atmospheric emissions of ammonia.

c.         Substantially eliminate the emission of odor that is detectable beyond the boundaries of the parcel or tract of land on which the swine farm is located.

d.         Substantially eliminate the release of disease‑transmitting vectors and airborne pathogens.

e.         Substantially eliminate nutrient and heavy metal contamination of soil and groundwater.

(8)       Construction The Department shall not issue or modify a permit to authorize the construction, operation, or expansion of an animal waste management system that serves a swine farm and that does not employemploys an anaerobic lagoon as the primary method of treatment and does not employ land application of waste by means of a sprayfield as the method of waste disposal. except by injection into soil or by surface application if the injection or surface application meets the requirements of sub‑subdivisions a. through e. of this subdivision. The Environmental Management Commission may issue permits under this subdivision only in a manner consistent with G.S. 143‑215.1(b)(2). The Commission shall may issue a permit for the construction construction, operation, or expansion of an animal waste management system that serves a swine farm under this subdivision Article only if the Commission determines, after consultation with the Animal and Poultry Waste Management Center of North Carolina State University, that the animal waste management system has been in use on a swine farm with climatic conditions and soil characteristics that are similar to those that will be encountered at the proposed site of the swine farm for at least a year, that the animal waste management system has been evaluated for at least a year, and that sufficient data exists to establishdetermines that the animal waste management system will:will meet or exceed all of the following performance standards:

a.(1)    Eliminate the discharge of animal waste to surface waters water and groundwater through direct discharge, seepage, or runoff.

b.(2)    Substantially eliminate atmospheric emissions emission of ammonia.

c.(3)    Substantially eliminate the emission of odor that is detectable beyond the boundaries of the parcel or tract of land on which the swine farm is located.

d.(4)    Substantially eliminate the release of disease‑transmitting vectors and airborne pathogens.

e.(5)    Substantially eliminate nutrient and heavy metal contamination of soil and groundwater.

(c)       Establishing Eligibility for an Exemption. – It shall be the responsibility of an applicant for a permit for an animal waste management system for a new swine farm or for the expansion of an existing swine farm under subdivisions (1) through (8) of subsection (b) of this section to provide information and documentation to the Department of Environment, Health, and Natural Resources that establishes, to the satisfaction of the Department, that the applicant is eligible for the permit. In demonstrating eligibility for a permit under this section, the burden of proof shall be on the applicant.

(d)       Rule Making Not Required; Administrative and Judicial Review. – Notwithstanding the provisions of Article 2A of Chapter 150B of the General Statutes, this section shall not be construed to obligate the Commission or the Department to adopt a temporary or permanent rule to implement this section. The Commission and the Department shall implement the provisions of this section by evaluating each application for a permit for an animal waste management system on a case‑by‑case basis. A decision of the Commission or the Department under this section is subject to administrative and judicial review as provided in Articles 3 and 4 of Chapter 150B of the General Statutes."

SECTION 2.  An animal waste management system that serves a swine farm for which a permit was issued prior to 1 September 2005, and that does not meet the requirements of G.S. 143‑215.10I, as enacted by Section 1 of this act, may continue to operate under, and shall operate in compliance with, that permit until the later of 1 September 2010 or 10 years from the date on which the animal waste management system was first permitted or deemed permitted.  The owner or operator of an animal waste management system that serves a swine farm and that employs a lagoon and sprayfield system that is phased out pursuant to this act shall close all of the components of the animal waste management system in compliance with all applicable federal and State laws, regulations, and rules.

SECTION 3.(a)  North Carolina State University and the University of North Carolina at Chapel Hill shall jointly develop an implementation plan to convert animal waste management systems that serve swine farms and that employ anaerobic lagoons as the primary method of treatment and land application of waste by means of a sprayfield as a method of waste disposal to alternative animal waste management systems that achieve the performance standards required by G.S. 143‑215.10I(b), as enacted by Section 1 of this act.  The implementation plan shall include, but not be limited to, all of the following:

(1)       One or more business models for the implementation of alternative animal waste management systems.

(2)       An assessment of the capital needs and labor and construction resource availability associated with each business model identified.

(3)       An analysis of the full costs associated with each business model identified.

(4)       Identification and assessment of the potential revenue streams generated by each alternative animal waste management system that achieves the performance standards required by G.S. 143‑215.10I(b), as enacted by Section 1 of this act. This shall include identification of new markets for by‑products, including consideration of the purchase of by‑products by State agencies.

(5)       An assessment of ways to minimize conversion costs and to help finance conversion for contract and independent swine growers. This shall include an assessment of financial mechanisms that could be used by swine farmers who are unable to fully afford the costs to convert to alternative animal waste management systems. Financial mechanisms assessed shall include, but not be limited to, existing and potential federal and State cost‑share and other financial assistance programs, tax and other incentive programs, and financial and technical assistance by private processors and other companies in the pork industry.

(6)       An assessment of new institutional and public policy mechanisms that may be needed to facilitate the conversion of the swine industry in North Carolina to alternative animal waste management systems, including prioritization of alternative animal waste management systems and of the order in which the conversion of existing swine farms to alternative animal waste management systems should occur.

(7)       Recommendations for permitting of alternative animal waste management systems.

(8)       An evaluation of the Department of Environment and Natural Resources and other agency staff needed to process permit applications and provide for technology transfer.

SECTION 3.(b)  North Carolina State University and the University of North Carolina at Chapel Hill shall jointly present the implementation plan developed pursuant to subsection (a) of this section to the Environmental Review Commission no later than 1 April  2006.

SECTION 4.  There is appropriated from the General Fund to The University of North Carolina the sum of two hundred thousand dollars ($200,000) for fiscal year 2005‑2006 to develop the implementation plan required by Section 3 of this act.

SECTION 5.  Sections 1 and 2 of this act become effective 1 September 2005 and apply to any application for a new permit or to modify a permit for an animal waste management system that serves a swine farm.  Sections 3, 4, and 5 of this act become effective 1 July 2005.