The New Jersey Environmental Infrastructure Financing Program is expanding the scope of its stormwater and nonpoint source pollution (NPS) financing capabilities. As part of its proposed rule readoption published in the February 7, 2000 New Jersey Register, the Financing Program plans to make such areas as landfills (for closure and new cell construction), land acquisition, site remediation, and well sealing eligible for low-interest loans.

In 1997, stormwater and NPS management projects were made eligible for funding for the first time. These projects focus on improving water quality by preventing, reducing, or controlling contaminated runoff adversely impacting ground and surface water. Now the program is being expanded to include new NPS projects that address problems such as contaminated leachate from landfills, runoff from contaminated sites and leaking underground storage tanks, reduction of runoff by reducing development through the purchase of land, and the sealing of abandoned wells to safeguard against the contamination of aquifers.

New Eligible Financing Areas

Landfill Closure Projects The Financing Program provides financing for publicly owned landfill closure projects that are directly related to the protection of water quality. The following are some examples of eligible projects:

• Capping systems

• Leachate collection, storage and treatment systems

• Side slope seepage prevention and controls

• Gas condensate systems

• Active and passive gas collection systems

• Monitoring wells and equipment

• Landfill reclamation/reduction in lieu of capping

• Stormwater management facilities

• Intermediate cover prior to final closure

• Landfill liner systems

• Leachate removal or collection systems

• Toe-drains and cut-off walls

• Leachate sampling facilities and equipment

• Leachate storage lagoons, tanks, tank covers and aeration systems

• Leachate evaporation systems

• On-site leachate treatment facilities

• Tank trucks to transport leachate to POTW or sewer system manholes

• Sewer connection to municipal sewer systems

• Barge shelters, containment booms, litter fences and other means to prevent solid waste from entering and polluting adjacent surface waters

Site Remediation Projects

• Spills Cleanup, Brownfields Restoration, Hazardous Waste Site Cleanups. The Financing Program provides loans for projects at publicly owned hazardous waste sites or contaminated sites provided that the primary purpose is water quality improvement. The treatment of contaminated groundwater would qualify if the treated water is returned to the environment (treatment solely to provide a safe drinking water supply is ineligible). The Financing Program could be used to finance or co-fund the municipal share of these types of projects where other sources of funding are available.

Land Acquisition and Conservation Projects. The Financing Program provides financing for the acquisition of land. Land acquisition can complement other water quality initiatives. Buffer areas in and around stream corridors are particularly important to filter pollutants/sediments from surface waters and stormwater runoff. Land acquisition can be through purchase (fee simple) or easement. To be eligible for financing through the Financing Program certain criteria must be satisfied:

1. The land must be identified in a plan or report that includes a water quality basis for the land acquisition. The report must address existing land use patterns and potential threats to water quality, the existing water quality and problems, the criteria used to select the parcel for acquisition, the method of ownership, and the appraised value of the parcel.

2. Parcels must be excluded from future sale considerations.

3. The local government unit must agree to protect the land from incompatible uses, including the addition of deed restrictions that prohibit 1) the development of the site, 2) impervious cover, and 3) revenue generating operations. The restrictions must also allow restoration to natural conditions.

Allowable land acquisition costs for water quality protection include the cost of purchase or easement (based on fair market value), property appraisal(s), site surveys and assessments, title search and other related legal fees.

Well Sealing Projects. The Financing Program provides financing for the filling and sealing of abandoned wells to prevent groundwater contamination. The wells must be municipally owned and must be sealed in accordance with procedures set forth in N.J.A.C. 7:9-9.

To arrange for a preplanning meeting and to learn more about the Financing Program, contact Stanley V. Cach, Jr., Chief, Bureau of Engineering North at (609) 292-6894, or Gautam Patel, Chief, Bureau of Engineering South at (609) 984-6840.