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Alternative Allotment Formula, Frequently Asked Questions

Class Deviation and Alternative State Allotment Formula for Clean Water Act Section 106 Grant Program

  1. What is a Class Deviation?
  2. How does this Notice and alternative allotment revise the Section 106 allotment formulas?
  3. What does this Class Deviation and alternative allotment formula do?
  4. Why is EPA revising the CWA Section 106 allotment formula for states and territories?
  5. Who is affected by this rule?
  6. How do I get more information?

EPA published a Notice of Availability of Class Deviation and an alternative state allotment formula for environmental program grants under 40 CFR Part 35, Subpart A. The Class Deviation and alternative allotment formula apply only to a $9.92 million increase in FY 2005 funds under the Clan Water Act (CWA) Section 106 Grant program. The remainder of the monies appropriated by Congress for these grants will be apportioned in accordance with the allotment formulae EPA currently uses.

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What is a Class Deviation?

The Class Deviation is a waiver authorizing EPA to use a different state formula (different from the existing state formula) to allocate funding under the Section 106 grant program. In this case, the alternative formula is applicable only to the $9.92 million of new funds designated for states and territories.

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How does this Notice and alternative allotment revise the Section 106 allotment formulas?

This action announces EPA’s Class Deviation from EPA’s state allotment formula for awarding CWA Section 106 grants. It sets forth a different state formula for allotting funds to states for the FY 2005 increase in EPA’s appropriation for these grants. Reflecting the FY 2005 President’s Budget request and subsequent appropriation, EPA intends the alternative allotment formula to direct the FY 2005 increase toward strengthening state monitoring activities. The funds are in addition to the $198.4 million Section 106 Grant Program funds that will be allocated under existing formulae.

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What does this Class Deviation and alternative allotment formula do?

The Class Deviation and the new allotment formula provide a different methodology that provides a minimum level of funding for each state to use to strengthen its water quality monitoring programs.

The change applies only to the $9.92 million increase in FY 2005 Section 106 funds and only to states and territories. Under the alternative formula, approximately $9.1 million of the increase will be allocated to the states—providing each state with about $172,000. Each territory and the District of Columbia will receive allocations of approximately $86,000. The remaining monies appropriated by Congress for FY 2005 ($198 million) will be distributed according to EPA’s existing formulae. Interstate agencies and tribes will receive allocations using the existing formulae.

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Why is EPA revising the CWA Section 106 allotment formula for states and territories?

Currently, monies awarded under Section 106 of the Clean Water Act are allocated through allotment formulae specific to states, interstate agencies, or American Indian tribes. The formulae have generally worked well. They have not, however, allowed the Agency to use Section 106 funding to support specific priority areas, such as strengthening state water quality monitoring programs

The President’s FY 2005 budget request specifically requested an increase in Section 106 funding for FY 2005 enhanced water quality monitoring activities in the states. If EPA applied the existing state allotment formula to the $9.92 million increase, only a few states would actually receive an increase. Most states would not receive enough funds to support any measurable strengthening of their water quality monitoring activities.

The new allotment formula applies only to the $9.92 million FY 2005 Section 106 increase for states and territories and not to the bulk of the monies appropriated for these grants. The remainder of the monies appropriated by Congress for these grants will be allocated according to the existing EPA allotment formulae.

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Who is affected by this rule?

State, territorial, and tribal programs eligible to receive Section 106 program funding, EPA Regions and interstate agencies. More than other entities, states will be affected by the change in allotment methodology for this relatively small portion of Section 106 grants.

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How do I get more information?

For more information, contact Lena Ferris (ferris.lena@epa.gov) at (202) 564-8831.

EPA-823-F-05-004
U.S. Environmental Protection Agency
Office of Wastewater Management (Mail Code 4201M)
1200 Pennsylvania Ave., NW
Washington, D.C. 20460

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