SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Deep Water Outfall Treatment Systems 
Act of 1996''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) States that are insular areas, including the 
        territories of the United States, have geographical, 
        geological, and marine characteristics and island environments.
            (2) The Federal Water Pollution Control Act should, 
        consistent with the environmental goals of the Act, be 
        administered with sufficient flexibility to take into 
        consideration the unique characteristics of such States.
            (3) Scientific evidence has demonstrated that some deep 
        water outfall water treatment systems can protect marine 
        environments as effectively as secondary waste water treatment 
        systems.
            (4) Deep water outfalls can promote the environmental goals 
        of the Federal Water Pollution Control Act more cost 
        effectively than secondary treatment.
            (5) The existing secondary treatment requirements of the 
        Federal Water Pollution Control Act have yet to be fulfilled 
        because of the unreasonableness of some provisions as applied 
        to the States referred to in paragraph (1).
            (6) Such States should be provided the opportunity to apply 
        for a secondary treatment waiver for new or proposed deep water 
        outfalls under the existing standards of the Federal Water 
        Pollution Control Act.

SEC. 3. PURPOSE.

    The purpose of this Act is to allow certain States, including each 
territory of the United States, to apply for a waiver under section 
301(h) of the Federal Water Pollution Control Act that would allow the 
State to construct deep water outfalls and to meet the effluent 
standards of the Federal Water Pollution Control Act more effectively, 
efficiently, and expeditiously.

SEC. 4. WAIVERS FOR DEEP WATER OUTFALLS IN ELIGIBLE STATES.

    Section 301 of the Federal Water Pollution Control Act (33 U.S.C. 
1311) is amended by adding at the end the following:
    ``(q) Waivers For Deep Water Outfalls in Eligible States.--
            ``(1) Studies.--Not later than 3 months after the date of 
        the enactment of this subsection, an eligible State may 
        initiate, expand, or continue a study of the marine environment 
        of coastal areas to determine the feasibility of constructing a 
        deep water outfall for any of the publicly owned treatment 
        works in the eligible State that, on such date of enactment, 
        uses primary treatments and is not exempt from the requirements 
        of subsection (b)(1)(B). Such study may recommend one or more 
        technically feasible locations for a deep water outfall that 
        would have beneficial effects on the marine environment.
            ``(2) Application for modification.--Notwithstanding 
        subsection (j)(1)(A), not later than 18 months after the date 
        of the enactment of this subsection, an application may be 
        submitted for a modification pursuant to subsection (h) of the 
        requirements of subsection (b)(1)(B) by the owner of a publicly 
        owned treatment works in an eligible State at a location 
        recommended in a study conducted pursuant to paragraph (1).
            ``(3) Initial determination.--On or before the 90th day 
        after the date of submittal of an application for a 
        modification under paragraph (2), the Administrator shall issue 
        to the applicant a draft initial determination regarding the 
        modification.
            ``(4) Final determination.--On or before the 270th day 
        after the date of submittal of an application for a 
        modification under paragraph (2), the Administrator shall issue 
        a final determination regarding the modification.
            ``(5) Effectiveness.--If a modification is granted pursuant 
        to an application submitted under this subsection, such 
        modification shall be effective only if the new deepwater 
        outfall is operational on or before the date that is 5 years 
        after the date of the enactment of this subsection. In all 
        other aspects, such modification shall be effective for the 
        period applicable to all modifications granted under subsection 
        (h).
            ``(6) Pending applications.--The requirements of subsection 
        (b)(1)(B) shall not apply to the owner or operator of a 
        publicly owned treatment works in an eligible State that has 
        submitted an application for a modification under paragraph (2) 
        during the period beginning on the date of submission of the 
        application and ending on the date of a final determination 
        under paragraph (4).
            ``(7) Definitions.--In this subsection, the following 
        definitions apply:
                    ``(A) Eligible state.--The term `eligible State' 
                means a State that is an insular area and includes each 
                territory of the United States.
                    ``(B) Territory of the united states.--The term 
                `territory of the United States' means all territories 
                and possessions of the United States, including the 
                Commonwealth of Puerto Rico, the Virgin Islands, Guam, 
                American Samoa, and the Northern Mariana Islands.''.
Output: Deep Water Outfall Treatment Systems Act of 1996 - Amends the Federal Water Pollution Control Act to authorize an eligible State to initiate, expand, or continue a study of the marine environment of coastal areas to determine the feasibility of constructing a deep water outfall for any publicly owned treatment work (POTW) that uses primary treatments and is not exempt from specified effluent limitations.  Provides that such study may recommend one or more technically feasible locations for a deep water outfall that would have beneficial effects on the marine environment. 
Sets forth provisions regarding applications for:  (1) modification of secondary treatment requirements for certain POTWs by the owner in an eligible State at a location recommended in such a study; and (2) initial and final determinations regarding and effective periods of such modifications.  Specifies that such requirements shall not apply to the POTW owner or operator in an eligible State that has submitted an application for a modification during the period beginning on the date of submission of the application and ending on the date of a final determination.