IOWA LIVESTOCK REGULATIONS UPDATE IOWA PORK PRODUCERS ...

1. IOWA LIVESTOCK REGULATIONS UPDATEIOWA PORK PRODUCERS ASSOCIATIONJune 12, 14, 15, 2006Eldon McAfee

3. ANIMAL CAPACITY Animal weight capacity and animal unit capacity Constructed before 2002 legislation � AWC - maximum number of animals confined at any time in a confinement operation multiplied by the average weight during a production cycle Constructed or expanded after 2002 legislation � AUC - maximum number of animals confined at any one time in a confinement operation multiplied by the animal unit factor Animal unit factor � swine .4 - more than 55 pounds, .1 � 15 to 55 Under Iowa law, the AUC of a confinement operation is not included in calculating the AUC of an open feedlot operation � federal EPA regs currently require adding together if both have same species

4. To determine if a permit or manure management plan is required, and if concrete standards apply: Two CFO�s are considered to be one operation when: There is common ownership or management, and They are adjacent; or Utilize a common area or system for manure application Adjacent � CFO�s within: 1,250 feet if the combined AUC is <1,000 2,500 feet if the combined AUC is >1,000 CONFINEMENT OPERATIONSAdjacency - one operation or two?

5. To determine required separation distances: Two CFO�s are considered to be one operation when: There is common ownership or management, and They are adjacent Adjacent � CFO�s within: 1,250 feet if the combined AUC is <3,000 for finishing or nursery (<1,250 AUC for farrow-gest. or <2,700 AUC for farrow to fin.) 1,500 ft. if the combined AUC is >3,000 but <5,000 for finishing or nursery (>1,250 but <2,000 AUC for farrow-gest. or >2,700 but <5,400 AUC for farrow to fin.) 2,500 feet if the combined AUC is >5,000 for finishing or nursery (>2,000 AUC for farrow-gest. or >5,400 AUC for farrow to fin.) CONFINEMENT OPERATIONSAdjacency - One operation or two?

6. DNR rules definition of adjacent has not been revised since the 2002 legislation The rules definition still follows the animal weight capacity requirements for adjacency that were in effect before the 2002 legislation The definition of adjacency in the Iowa Code, as set forth in these slides, is the definition that must be followed CONFINEMENT OPERATIONSAdjacency - one operation or two?

7. Common management Iowa law (DNR rule): Significant control of day-to-day operations DNR interpretation: Common management if two producers contract feed hogs for the same owner if the owner has the right to control marketing, feed rations, or vet services CONFINEMENT OPERATIONSOne or two?

8. Environmental regulation compliance What if advice from DNR is incorrect? 2004 Iowa Supreme Court case: Business required to get a solid waste disposal permit when DNR employee initially incorrectly advised that a permit was not required Court ruled DNR employee was acting in good faith and within his duties even though the employee made an erroneous interpretation of the law

9. Advice from DNR on regulations  What if it is incorrect? Audubon county producer required to get a construction permit on referral to the Iowa Attorney General even though DNR field and state office advised that a permit was not required Osceola county producers denied a construction permit by EPC because no P Index was included with MMP. DNR had approved the permit application based on DNR policy that allowed P Index to be submitted before first manure application if soil samples could not be taken Muscatine county producer required to stop construction and obtain a stormwater discharge permit even though DNR had given him an outdated brochure that stated a permit was required if more than 5 acres was disturbed (law changed to more than 1 acre in 2003)

10. DNR ENFORCEMENT If a violation occurs: Monetary penalties � up to $10,000 Require corrective action Require confinement operations to get a discharge permit (NPDES/operating permit) if an accidental discharge occurs Request that the Iowa Environmental Protection Commission (EPC) refer the violation to the Iowa Attorney General for enforcement Referral to the Attorney General results in: No new construction or expansion while case is pending in court Higher monetary penalties � up to $5,000 per day per violation Potential habitual violator status (3 strikes and then no new construction or expansion for 5 years after the last strike) All monetary penalties are required by law to go to DNR�s animal compliance fund

11. DNR ENFORCEMENT Environmental self audits Initiated by business owner to determine environmental compliance Benefits: Immunity from penalties if a violation discovered during audit and promptly reported to DNR, before DNR investigates Confidentiality of audit report No immunity from penalties if: DNR not properly notified Violations are intentional or result in injury to persons, property or environment Substantial economic benefit giving violator a clear economic advantage over competitors

12. MANURE MANAGEMENT PLANSOriginal (new) filed with DNR & county Formed storage More than 500 animal units capacity (1,250 head of swine weighing more than 55 pounds or 5,000 head weighing 15 to 55 pounds) Constructed or expanded after 5/31/85 Earthen storage- DNR construction permit DNR interpretation: Upon transfer of operation �New� MMP MMP fees and indemnity fund fees Transfers may include family transfers & forming a corporation Transferee loses grandfather status for phase-in of P Index

13. MANURE MANAGEMENT PLANS Annual updates To DNR and county Short form detailing changes in MMP or statement that there are no changes May use table values in updates submitted to DNR each year & then apply manure based actual sample values if amend plan before manure applied (do not have to submit amended plan to DNR) Compliance fee - $.15/a.u. � if contract feeding, livestock owner required to pay fee DNR using �tier� system to score producers on compliance to determine how often the operation will be inspected

14. MANURE MANAGEMENT PLANSRecordkeeping Records - must be kept on site or at a residence or office of the owner or operator within 30 miles of the site DNR recordkeeping form � not mandatory, producer can use own form Current MMP Rate, methods and date(s) of app. Field location and number of acres

15. MANURE MANAGEMENT PLANSRecordkeeping � commercial N & P For manure applications after 8/25/05, MMP records must include dates and application rates of commercial N & P on fields receiving manure � including land farmed by someone else where manure is applied under an application agreement. DNR cannot bring an enforcement action for over application of N or P on land farmed by someone else unless the producer �knew or should have known� that commercial N or P would result in N or P exceeding legal limits.

16. MANURE MANAGEMENT PLANSRecordkeeping � commercial N & P Producer must obtain statement from farmer who owns, rents, or leases each field receiving manure specifying the planned commercial N and P fertilizer rates to be applied to each field DNR form, but can use own form for individual situations

17. MANURE MANAGEMENT PLANS Manure application agreements As part of overall manure management program, producers should review manure agreements to ensure compliance with DNR rules and proper application of manure and other soil nutrients Agreements should clearly state that the crop producer will comply with the nitrogen and phosphorus limits in the manure management plan and that the crop producer will provide the dates and application rates of commercial nitrogen and phosphorus to the livestock producer Approval of agreement by landowner�s mortgage lender Address nuisance and other potential liability

18. MANURE MANAGEMENT PLANSDNR policy Crop available N during first crop year after manure application Previously � DNR allowed less than 100% Beginning 8/25/04 � new MMP�s - use 100% based on ISU Pub. Pm-1811 Can use less than 100% if provide DNR with supporting credible information Existing operations may continue to use less than 100% without supporting info until the first P Index based MMP is due Nitrogen in addition to amounts allowed in MMP may be applied up to amounts recommended by soil or crop nitrogen test for optimum crop yield

19. MANURE MANAGEMENT PLANS EPC proposal �not allow manure management plans to specify that liquid manure be applied to land planted to soybeans with a three to four year phase in period for holders of the existing manure management plans and for provisions to allow exceptions for wet years or when it becomes too late to plant other crops� Scheduled for July 17 agenda for release for public comment

20. MANURE MANAGEMENT PLANSPhosphorus index In addition to N requirements Phased in based on date of original MMP Before 4/1/02 � P Index required with first annual update MMP on or after 8/25/08 On or after 4/1/02 & before 10/25/04 � P Index required with first annual update MMP on or after 8/25/06 On or after 10/25/04 � must comply with P Index Note: DNR has determined that an MMP submitted for an expansion of an existing operation is an original MMP � an MMP for a modification without expansion of animal numbers is not an original MMP

21. MANURE MANAGEMENT PLANSPhosphorus index �DNR rules Calculated every 4 years, more often if PI inputs change P Index categories (not the same as soil test): Very low (0-1)- N based MMP Low (>1-2) N based MMP Medium (>2-5) Manure may be applied at N based rates if current and/or planned soil conservation and P mgt practices predict the PI will not exceed the medium category at the next PI determination Manure not applied in excess of 2 times the P removed over crop rotation If follow P based rates in these categories, soil samples can cover up to 20 acres

22. MANURE MANAGEMENT PLANSPhosphorus index �DNR rules P Index categories (not the same as soil test): High (>5-15) (>5-10) Until 12/31/08, manure may be applied at P based rates if practices adopted to reduce the PI to medium for the next determination (intent � be able to continue applying manure while implementing practices) (>10-15) no manure application (intent � no additional manure applications until practices implemented to reduce PI to medium) Very high � no manure application

23. MANURE MANAGEMENT PLANSPhosphorus index �DNR rules Phosphorus based rates: P applications over the crop schedule limited to crop removal unless additional P recommended by soil tests P from a manure application cannot exceed crop removal from the next 4 planned crops P crop removal = optimum yield X P removal rate for each crop (.375 lbs. P/bu. of corn, or other credible data)

24. MANURE MANAGEMENT PLANSPhosphorus index �DNR rules Fields � PI calculated for each field. Fields must be contiguous-not separated by a road, river, creek, etc. Soil type to calculate PI must be most erosive soil map unit that is at least 10% of the total field Soil sampling - Every 4 years Samples for each 10 acres (20 acres if PI vl, l, or m and apply manure on P rates)(fields up to 15 acres � one sample) Samples averaged for soil test level of a field Existing soil tests may be used if they meet DNR requirements MMPs for construction, if previous soil tests are less than 4 years old and don�t meet requirements, they may still be used if new soil tests meeting DNR requirements are taken within one year after the MMP is approved

25. CONSTRUCTION-FORMED STOR.500 animal units or less (small AFO) Separation distances from water bodies (500 ft. from creek, etc.) & wells No construction in 100 yr. floodplain of navigable river, etc. - determine if on alluvial soils � if so, determination from DNR regarding 100 yr. floodplain Tile around footings for below ground storage (or certification that groundwater table is below the structure) Stormwater discharge permit if area disturbed during construction is more than 1 acre

26. CONSTRUCTION-FORMED STOR.500 & 1,000 animal units MMP & construction design statement to DNR & county 30 days before construction Note: All information on the MMP & CDS be completed correctly � DNR has taken the position that the 30 day period does not start if certain info is not correct or is missing Meet construction design stds. (including tile around footings or cert. regarding groundwater level) Meet required separation distances No construction in 100 yr. floodplain of navig. river, etc. Stormwater discharge permit if area disturbed during construction is more than 1 acre See www.iowadnr.com/afo/forms.html for forms

27. CONSTRUCTION-FORMED STOR.1,000 animal units or more Construction permit app. to DNR & county (DNR has 60 days to act but can extend for add. 30 days) Engineer required if 3,000 or more a.u.�s (1,250 a.u.�s for farrow gest or 2,750 a.u.�s for farrow to finish) Const. design statement if no engineer req�d Meet construction design stds. (including tile around footings or eng. cert. regarding groundwater level) Meet required separation distances No construction in 100 yr. floodplain of navig. river Manure management plan Stormwater discharge permit if area disturbed during construction is more than 1 acre See www.iowadnr.com/afo/forms.html for forms

28. CONSTRUCTION-FORMED STOR.1,000 animal units or more Master matrix Not required if expansion up to 1666 a.u.�s if site constructed as of 4/1/02 or if county has not adopted matrix Producer selects criteria � county scores � DNR independently scores if county rejects Legally enforceable - part of permit Supporting documentation, including design, operation, and maintenance plans. Note: If the necessary supporting documention is not included, DNR takes the position that it may reject the permit application (even if a county passes the matrix) because the matrix is a part of the permit Also triggers county�s 14 day right to appeal issuance of permit

29. CONSTRUCTION-FORMED STOR.1,000 animal units or more � 6/15/05 DNR rule Construction permit required if any construction of a manure storage structure occurs on site Permit required even if no physical construction or alteration if there is an increase in manure volume or a modification in the manner manure is stored. Unless increases or modifications are: Within the limits of a previously issued const. permit Determined insignificant by DNR (e.g., double stocking weaned pigs in a wean-to-finish barn) No permit required for repairs or additions to a building such as fans, slats, gates, roofs or covers Plans for repair or modification to a manure structure must be submitted to DNR to determine if a permit is required

30. CONSTRUCTION Stormwater discharge permit Required if the total area disturbed is more than one acre - activities that further cropping are exempt To obtain a stormwater discharge permit for construction activities: Publish a form notice in 2 newspapers with the largest circulation in the area Prepare a pollution prevention plan that includes measures to be implemented to control erosion during construction and until a permanent ground cover is established. This plan must be in place at the time the notice of intent is submitted to DNR and must be kept on site Submit a notice of intent to be covered by the state general stormwater discharge permit to DNR at least 24 hours before construction begins. Attach proof of publication of public notice to the notice of intent and filing fee. See www.iowadnr.com/afo/forms.html for forms

31. SEPARATION DISTANCESResidences, businesses, road rights of way, etc. CFO�s with formed manure storage and more than 500 AUC are subject to separation distances regardless of whether a DNR permit is required-all new or expanding CFO�s with earthen storage are subject to separation distances Residences, businesses, churches, schools, public use areas, and road rights-of-way Public use areas include parks and cemeteries (pioneer cemeteries (6 or fewer burials in the last 50 years) are exempt) For a worksheet and separation distance tables see: www.iowadnr.com/afo/files/distreq.pdf

32. SEPARATION DISTANCESResidences, businesses, etc. Exemptions: Written waiver from owner of residence, etc. � must be recorded with county recorder Also may want to include: Covenant-not-to sue for nuisance Approval by residence mortgage holder Expansion of CFO -- use distances in effect at time CFO constructed (if CFO constructed before any distances required, 1995-1999 distances apply) <2x cap.,<1,000 AUC, and new structure built further from residence, etc. Residence, etc. built after CFO began operation DNR rules state that dry manure structures are exempt - however, this exemption was eliminated by 2002 legislation & DNR rules have not been updated

33. SEPARATION DISTANCES Road rights of way 100 feet from the right-of-way Exemptions: Small animal feeding operations (500 or less animal units) Waiver from state or county DNR rules state that there is an exemption if trees are planted between the structure and the road right of way � however, this exemption was eliminated by the 2002 legislation and DNR rules have not been updated

34. SEPARATION DISTANCESWater bodies � rivers, creeks, wells, etc. 1,000 feet - Ag drainage wells, sinkholes, navigable waters (major water sources -- rivers, etc. from list in DNR rules � new list goes into effect on 4/16/06) 500 feet - Surface inlets to ag drainage wells & water sources (creeks,etc.) 2,500 feet - Designated wetlands (designated as protected by U.S. Dept. of Interior or DNR; and owned and managed by the U.S. government or DNR Wells � formed manure storage 200 feet from a shallow well 100 feet from a deep well Can request variance from DNR

35. SEPARATION DISTANCESWater bodies � rivers, creeks, wetlands, etc. Distances for water sources, major water sources or designated wetlands do not apply to: Farm ponds � defined as body of water: Wholly on the lands of a single owner, or group of joint owners No connection to public waters Less than 10 surface acres Privately owned lakes � defined as any lake: Not subject to federal control covering navigation Owned by an individual, group of individuals, or a nonprofit corporation Which is not open to the use of the general public but is used exclusively by the owners and their personal guests.

36. SEPARATION DISTANCESWater bodies � rivers, creeks, wetlands, etc. Distances for water sources, major water sources or designated wetlands do not apply to: CFO structures using secondary containment barriers DNR rules: Structure surrounding or downslope Contain 120% of manure stored above grade Can be concrete and/or earth Cannot have a relief outlet or valve Earthen barriers must meet percolation & design standards

37. SEPARATION DISTANCESWater bodies � rivers, creeks, wetlands, etc. Distances for water sources, major water sources or designated wetlands do not apply to: CFO structures using secondary containment barriers DNR policy � requirements in addition to rules: Must submit site-specific plan with permit app. or before populating if no permit required Liquid manure: barrier must be design by an engineer or NRCS Below grade storage: Contain 50% of manure stored below grade Dry manure storage: No on-site stockpiling outside of structure Contain 10% of manure stored Percolation & design standards do not apply

38. COMPOSTING  Mortalities � New DNR rules Detailed DNR rules regarding operation and siting-DNR recommends that they be contacted before operation begins Mortalities may be composted off-site at another livestock operation without a permit � no restriction on distance and do not have to be from the same owner or operator 12 inch bulking agent cover, 6-12 inches between carcasses, and 12-24 inch base depending on size and number of mortalities Must be designed for avg. annual death loss Application of compost to other than cropland needs DNR approval � pasture?

39. MANURE APPLICATIONAll livestock operations � no pollution No manure app. within 200 feet of designated area (800 feet if high quality water resource, see DNR website for list) unless manure injected or incorporated on same date or perm. vegetation 50 ft. around water source & no manure on 50 ft. area (does not apply to ag drainage wells) Designated areas are: Creeks, rivers, lakes, & designated wetlands Known sinkhole Cistern, drinking water or abandoned well Ag drainage well or surface inlet Excludes lakes or ponds with no outlet and which are entirely on one landowner�s land

40. MANURE APPLICATIONConfinement operations � liquid manure Must be injected or incorporated in 24 hrs. if applied within 750 ft. of residence, bus., church, school or public use area (250 ft. if use low pressure spray irrigation - <25 psi, center pivot < 9 ft. high) Does not apply if waiver from owner of residence, etc. or operation has less than 500 animal units capacity Note: DNR considers incidental spillage (on endrows, etc.) while injecting as surface application

41. STOCKPILING MANURE Open feedlot operations � 2006 Iowa legislation Stockpile - store solids outside of a feedlot or structure or area that drains to a feedlot or structure Cannot stockpile: Within 400 feet of a designated area or 800 feet of a high-quality water resource Within 200 feet of a surface tile inlet unless steps taken to ensure runoff will not reach the tile inlet In a grass waterway or where water pools On more than 3% slopes unless measures to contain runoff are implemented Must remove and land apply solids within 6 months. Federal EPA & DNR rules: CAFO�s cannot discharge manure from production areas unless the discharge is pursuant to an NPDES permit. Definition of production area includes stockpiles

42. STOCKPILING MANURE  Confinement Operations 2006 Iowa legislation applies only to open feedlot operations DNR taking the position that any stockpiling of manure from a confinement operation with more than 1,000 animal units must have a total containment barrier around the stockpile � those with less than 1,000 a.u.�s will be handled on a case-by-case basis

43. CAFO RULES Discharge permit (NPDES) Federal court ruled no discharge permit required if the operation does not discharge EPA revising rules following court�s ruling � EPA extended deadlines for NPDES permits and nutrient management plans to July 31, 2007 Nutrient management plan part of NPDES permit � requirements in addition to MMP DNR has withdrawn its proposed rules awaiting guidance from federal EPA as a result of the federal court decision DNR rules not expected to require confinement operations in Iowa to have an NPDES permit � unless the operation has a spill � not clear if a permit can be required even if there is an accidental spill

44. CAFO RULES Discharge permit (NPDES) DNR now considering discharge permits for confinement operations which have an accidental manure spill DNR rule states that DNR may evaluate any animal feeding operation to determine if: Manure from the operation is being discharged into a water of the state Manure from the operation is causing or may reasonably be expected to cause pollution of a water of the state; or Manure from the operation is causing or may reasonably be expected to cause a violation of state water quality standards

45. CAFO RULES Discharge permit (NPDES) If DNR determines any of these conditions exist, the operation shall: Apply for an operation permit upon written notification from DNR.� However, no operation with less than 300 animal units (750 swine over 55 pounds) shall be required to apply for a permit unless manure from the operation is discharged into a water of the state through a man�made manure drainage system or is discharged into a water of the state which traverses the operation: Institute necessary remedial actions to eliminate the conditions upon written notification from the department�

46. AIR QUALITY  Dust � DNR rule Must take reasonable precautions to prevent particulate matter from becoming airborne �in quantities sufficient to create a nuisance� Exemptions: Farming operations Dust from ordinary travel on unpaved roads DNR interpretation: Dust from construction activities on farm operations not eligible for the farming operation exemption

47. AIR QUALITY  Federal air emissions & Iowa Odor Study Sign up period for Air Emissions Consent Agreement closed 8/12/05 � EPA currently sending letters of acceptance and payment For farms that commence operation or expand after the signup deadline, producer may consider taking steps to comply with federal air emissions laws If an operation will emit more than 100# of ammonia or hydrogen sulfide in a 24 hour period, an operator must file CERCLA and EPCRA reports after the operation begins DNR Iowa Odor Study 1,708 readings over 3 years taken on-site, during manure application, and at residences, etc. 1 exceedance of 7:1 level at �separated location�