GUIDANCE DOCUMENT ON CREDITS AND REFUNDS OF DAM …

1 (DCR-VSWCB-021)(11/10)1 GUIDANCE DOCUMENT ONCREDITS AND REFUNDS OFDAM SAFETY CERTIFICATEAPPLICATION FEES(ApprovedNovember 30, 2010)Summary:This GUIDANCE DOCUMENT serves to clarifyhow a partial fee credit from an unexpiredConditionalOperation and Maintenance Certificateis tobe applied towardsaRegular Operation andMaintenance certificate feeas well asitoutlinesthe refund policy for Regular Operation andMaintenance certificate applicants that are instead issued alower costConditional Operation andMaintenance Copy:An electronic copy of this GUIDANCE in PDF format is available onthe Regulatory TownHallunder the Virginia Soil and Water Conservation Information:Please contact the Department of Conservation and Recreation s Division of Dam Safety andFloodplain by calling 804-371-6095with anyquestions regarding the application of this :This DOCUMENT is provided as GUIDANCE and, as such, sets forth standard operating procedures forthe Virginia Soil and Water Conservation Board and the Department of Conservation andRecreation that administers the program on behalf of the GUIDANCE provides ageneral interpretation of theapplicable Code andRegulations but is not meant to be exhaustivein nature.

2 Each situation may differ and may require additional interpretation of the Dam SafetyAct and attendant and REFUNDS of Dam Safety CertificateApplication FeesI. Background:The Virginia Dam Safety Act, thatthe Board is authorized to establish andcollect application fees from any applicant. Such fees are established for six-year Regular Operationand Maintenance Certificates in accordance with 4 VAC50-20-380 and for Conditional Operation andMaintenance Certificates in accordance with C of4 VAC50-20-390further specifies that [t]he board may allow a partial credit towards the Regular Operation andMaintenance certificate fee if the owner of the impounding structure has completed, to the director'ssatisfaction, the conditions of the Conditional certificate prior to its expiration .The regulationsdonot provide GUIDANCE to the Board regarding how much partial credit may be applied.

3 As such, thisguidance DOCUMENT shall outline the crediting approach to be utilized.(DCR-VSWCB-021)(11/10)2 Additionally, an applicant may submit an application and the required fee for aRegular Operationand Maintenance certificate . Based on a review of the application materialsand the condition of thedam, the Board may issue aConditional Operation and Maintenance Certificateinstead. In thiscase, this guidancedocumentinstructs the Department to refund to the dam owner the differencebetween the two fees(note that there may be other situations requiring REFUNDS of fees as well).II. Definitions(pursuant to 4 VAC50-20-30):"Conditional Operation and Maintenance certificate " means a certificate required forimpounding structures with deficiencies."Operation and Maintenance certificate " means a certificate required for the operation andmaintenance of all impounding Authority:The Dam Safety Act in the Code of Virginia contains the following authorities applicable to thisguidance: Promulgation of regulations by the Board shall promulgate regulations to ensure that impounding structures in theCommonwealth are properly and safely constructed, maintained and operated.

4 Program administration Board is authorized to establish and collect application fees from any applicant to bedeposited into the Flood Prevention and Protection Assistance Fund established pursuantto for the administration of the dam safety program, administrative review,certifications, and the repair and maintenance of ImpoundingStructureRegulationscontainthe following authorities applicable to thisguidance:4 VAC50-20-105. Regular Operation and Maintenance A Regular Operation and Maintenance certificate is required for animpounding shall include the followingbased onhazard classification:1. High Hazard Potential Regular Operation and Maintenance certificate ;2. Significant Hazard Potential Regular Operation and Maintenance certificate ; or3. Low Hazard Potential Regular Operation and Maintenance Conditional operation and maintenance During the review of any Operation and Maintenance certificate Application(Operation and Maintenance certificate Application for Virginia Regulated ImpoundingStructures) completed in accordance with 4 VAC50-20-105 should the director determinethat the impounding structure has nonimminent deficiencies, the director mayrecommend that the board issue a Conditional Operation and Maintenance The Conditional Operation and Maintenance certificate for High, Significant,and Low Hazard Potential impounding structures shall be for amaximum term of twoyears.

5 This certificate will allow the owner to continue normal operation and(DCR-VSWCB-021)(11/10)3maintenance of the impounding structure, andshall require that the owner correct thedeficiencies on a schedule approved by the Once the deficiencies are corrected, the board shall issue a Regular Operationand Maintenance certificate based upon the impounding structure's meeting therequirements of Authority to establish of the Code of Virginia, the board is authorized to establishand collect application fees for the administration of the dam safety program,administrative review, certifications, and the repair and maintenance of fees will be deposited into the Dam Safety, Flood Prevention andProtection Assistance Regular Operation and Maintenance certificate application application for a six-year Regular Operation and Maintenance Certificateafter September 26, 2008, except as otherwise exempted.

6 Shall be accompanied by apayment as determined in subsection B of this Fees for High, Significant, or Low Hazard Potential impounding structuresshall be as follows:1. $600 for High Hazard $600 for Significant Hazard $300 for Low Hazard Fees for extension of Regular Operation and Maintenance Certificates shall be$250 per year or portion Conditional Operation and Maintenance certificate Fees for issuance of a Conditional Operation and Maintenance certificate shallbe as follows:1. For a certificate for more than one year but no more than two years: $ For a certificate for one year or less: $ The fee for an extension of a Conditional Operation and MaintenanceCertificate shall be $250 per year or portion The board may allow a partial credit towards theRegular Operation andMaintenance certificate fee if the owner of the impounding structure has completed, tothe director's satisfaction , the conditions of the Conditional certificate prior to Interpretation:Section 4 VAC50-20-390C.

7 Of the Virginia Impounding Structure Regulations states that theVirginia Soil and Water Conservation Board (Board) may allow a partial credit towards theRegular Operation and Maintenance certificate fee if the dam owner of the impounding structurehas completed, to the director s satisfaction , the conditions of the Conditional Operation andMaintenance certificate prior to its addition, in order for a dam owner to receive partial credit of a fee paid for a ConditionalOperation and Maintenance certificate ,it is required that the dam owner submit the required(DCR-VSWCB-021)(11/10)4recertifi cation documents and appropriatefullfee for a Regular Operation and approval of the RegularOperation and Maintenance Certificateby the Board,the Department shall determine the appropriate credit and issue a refund to the dam CREDITS shall be determined in accordance with Table 1 and are based on the term of theconditional permit issued(one or two-year)as wellas the number of months lapsed sinceissuance of the conditional permitand the approval of RegularOperation and MaintenanceCertificateby the :Proportion of Conditional Operation and Maintenance certificate Application FeeApplicable forPartial Credit Towards a Regular Operation and Maintenance CertificateOne-Year Cert.

8 :#ofMonths LapsedBetween Conditionaland Regular CertificateIssuanceCond. Cert. Cert. LapsedBetween Conditionaland Regular CertificateIssuanceCond. Cert To (original fee)150(original fee)300212522754100425067562258508200102 510175121501412516100187520502225 NOTE: For any month of the Conditional Operation and Maintenance certificate cycle not listed,the next highernumber ofmonthswill be used to determine the amountto beapplied(forexample, if nine months of a one-year certificatehave lapsed, the amount applied would be $25).Additionally, should an applicant submit an application and the required fee for aRegular Operationand Maintenance certificate to the Department for review, and based onthereview of the applicationmaterials and the condition of the dam the Board determines that aConditional Operation andMaintenance Certificateshould be issued instead, the Department shall refund to the dam ownerthe difference between the two , Amendments, and Repeal:This documentwill remain in effect until rescinded or 30, 2010 David A.

9 JohnsonDateDirector, Department of Conservation and Recreatio