There are four sections to this guidance document:

AWR Reporting Exemptions - Who is Not Required To Report?
Critical Material Reporting Exemptions
Critical Material Discharge Reporting Exemptions
Critical Material Use Reporting Exemptions

AWR Reporting Exemptions – Who Is Not Required To Report?

1)   The following information provides guidance on “who” must report under the AWR Program.  These are “blanket” exemptions, eliminating reporting obligations for certain entities under the AWR Program.

Any Individual, partnership, association, corporation, or any commercial or industrial entity doing business in the state who either discharges “wastewater” to the water of the state or to a sewer system are required to report under the AWR Program.  This does not include a municipal corporation or governmental unit or agency, or automotive service station, laundromat or car wash.

Municipal corporations or governmental units or agencies are exempt from reporting under the AWR program.  Federal and state agencies, cities, towns, villages, townships and counties (including any offices or agencies under their jurisdiction) are exempt from reporting requirements of the AWR program. 

Automotive service stations, as described below, are exempt from reporting under the AWR program.  The AWR program defines “automotive service station” as:  An "automotive service station" is defined as any stand-alone business whose primary function is to store and dispense flammable or combustible liquids into fuel tanks of motor vehicles.

Laundromats, as described below, are exempt from reporting under the AWR program.  The AWR program defines “laundromat” as:  A business that provides self-serve equipment to wash and dry clothing.  This excludes such establishments that provide “dry cleaning” services for commercial/industrial and residential customers.

Car washes, as described below, are exempt from reporting under the AWR program.  The AWR program defines “car washes” as: Any type of stand alone business or ones providing ancillary services, that provides either automated, staff serviced or hand wash capabilities for customers to clean and dry their vehicles.

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2)   The following information provides further guidance for  “commercial entities” and the reporting requirements applicable for these types of businesses under the AWR program.   

      What types of commercial businesses are NOT required to file a wastewater report?  The following types of commercial entities are not required to submit wastewater reports: 

• Hotels, Motels, Inns and Bed and Breakfast Inns

• Restaurants (Fast food chains, diners, supper clubs and bars/pubs/nightclubs)

• Service Industries (except ones that use Critical Materials in or incidental to their services)

What types of commercial businesses must file a wastewater report?  A “commercial entity” which discharges wastewater and uses any critical material in or incidental to their processes would be required to file a wastewater report.  If you are uncertain as to whether or not you need to submit a wastewater report, please contact the EAD at 1-800-662-9278.

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Critical Material Reporting Exemptions

The following exemptions apply to any person required to submit a wastewater report under the AWR program.  These two (2) exemptions apply to all required information under R299.9004 (2) Wastewater Reporting Rules.  This exemption does not alleviate reporting on critical materials used in or incidental to manufacturing processes, discharged in wastewater or transferred off-site for treatment and disposal by persons required to do so under the AWR program.

1.    Critical Materials present in intake water is exempt from reporting under the AWR.  The quantity of critical materials present in any intake water is exempt from reporting under the AWR program.  If critical materials are found to present in intake water, whether the source of the intake water is a public/private well or surface water intake, the quantity of critical materials should not be included under R299.9004 (2).

2.    Critical Materials leaching from piping or equipment is exempt from reporting under the AWR.  The quantity of critical materials leaching from piping or equipment is exempt from reporting on under the AWR program.  This would encompass ancillary leaks that exist in such piping and equipment that is normally treated as “minor” leaks in such piping or equipment.  In such cases, proper clean up of such spills or preventative maintenance should be initiated by these facilities.

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Critical Material Discharge Reporting Exemption*

*The following exemption applies to any person required to submit a wastewater report under the AWR program.  This exemption applies to information required under R299.9004 (2) (f) and (g) Wastewater Reporting Rules.  This exemption does not alleviate reporting on critical materials used in or incidental to manufacturing processes by persons required to do so under the AWR program.

Discharge Exemption #1 

R 299.9006 Reporting exemptions

Rule 6. (1) If a person reports a critical material on form R under the federal toxic release inventory program (section 313 of the emergency planning and community right to know act of 1986), the person is not required to report information required under R 299.9004(2)(f) and (g).

Example:   EnviroChem, Inc. manufactures thirty (30) organic and inorganic chemicals at their plant in Michigan.  They report all thirty (30) of these chemicals on Form R under the Federal Toxic Release Inventory (TRI) program.  EnviroChem would have to provide data under Section 5 and 6 of the Wastewater Report form on any of the thirty chemicals which are listed as “critical materials” under the AWR program and which exceed the annual usage threshold for those critical materials. No further information is required on those critical materials under Section 9 and 10 of the Wastewater Report form. 

Critical Material Use Reporting Exemptions**

**The following exemptions apply to any person required to submit a wastewater report under the AWR program.  This exemption applies to information required under R299.9004 (2) (e) Wastewater Reporting Rules.  This exemption does not alleviate reporting on critical materials discharged to the water of the state or to any sewer system by persons required to do so under the AWR program.

Use Exemption #1

R 299.9006 Reporting exemptions.

Rule 6. (2) The following information is exempt from reporting under R 299.9004(2)(e).

(a) The quantity of a critical material present in a process material provided that the following conditions are met:

(i) If the critical material is designated as a carcinogen in table 1.of R 299.9003, the material is not present at a concentration of 0.1% or more by weight (or)

(ii) If the critical material is not designated as a carcinogen in table 1.of R 299.9003, the material is not present at a concentration of 1% or more by weight (and)

(iii) The person does not manufacture the process material.

Example: The AWR exemption R299.9006 (2)(A)(iii), which needs to be met in conjunction with (i) or (ii), states that the quantity of a critical material present in a process material is exempt from reporting under R299.9004 (2)(e) provided that the person does not manufacture the process material. This non- manufacturing provision is met if: 1.) the process material is not created by the reporting facility; ie. its obtained from another manufacturer. A process material that meets the non-manufacturing provision also needs to meet these critical material concentration limits, 2) the critical material concentration limits for carcinogens, IE. not present at .1% or more by weight, and/or 3) the critical materials concentration limits for non- carcinogens, IE. not present at 1% or more by weight. The concentration limits for critical materials and the non- manufacturing provision, both, have to be met to receive this "Use" exemption. NOTE: Not manufacturing the process material alone does not meet the exemption. The concentration of the critical materials in the process material also have to meet the exemption guidance as written above in (a) (i) and (ii).

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Use Exemption #2

(b) The quantity of a critical material contained in a manufactured product provided that the quantity of the critical material used in and incidental to manufacturing the product is reported.

Example: Exemption R299.XXXX 2(b) applies to the use of a product containing a critical material that is manufactured and used within a multi-establishment facility. For the purposes of AWR, a multi-establishment facility is a facility that consists of two or more distinct and separate economic units. This exemption is intended to eliminate double reporting of critical materials contained in manufactured products by a business. Any critical materials reported by a business under the AWR program, need only be reported one time. Hence, if a person has reported the quantity of critical material used in the manufacture of a given product, it does not need to double count that critical material contained in the finished product.

Use Exemption #3

(c) The quantity of a critical material present in a structural component or permanent equipment at the location.

Example: AJAX Stamping, Inc. has a metal fabricating plant located in Tecumseh, Michigan. AJAX Stamping has completed painting of its interior and exterior walls during the reporting year. They do not have to report the critical materials contained within this structural component (walls) or in any product used to maintain the structural component, including clean up materials, reported under R299.9004 (2) (e) - Section 5 and 6 of the Wastewater Report form.

 

AJAX has permanent equipment related to is manufacturing. Critical materials contained within permanent equipment, are not reported under R299.9004 (2) (e) - Section 5 and 6 of the Wastewater Report form. However, critical materials in products used to power, lubricate and maintain process related equipment do not qualify for this exemption and must be reported for use. Critical materials contained in parts that are not permanent, such as grinding wheels that are routinely replaced due to wear, are also reported under R299.9004 (2) (e) - Section 5 and 6 of the Wastewater Report form.

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Use Exemption #4

(d) The quantity of a critical material present in materials used for routine janitorial work or for grounds maintenance, including janitorial cleaning supplies, fertilizers, and pesticides applied at rates and at concentrations similar to consumer products.

Example:  Mike’s Machine and Tool has had a problem controlling insects on their lawn and various landscaping plants surrounding their facility grounds.  Maintenance staff decides to apply pesticides to the lawn, shrubs and tress as part of their efforts to curb and/or stop the damage caused by the insects.  Maintenance staff purchases a pesticide for application from the local landscaping nursery in their area.  The MSDS on the pesticide used by Mike’s Machine and Tool maintenance staff indicates presence of a regulated critical material.  The amount of critical material present in this pesticide, as applied, are not required to be reported on under R299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.    

Use Exemption #5

(e) The quantity of a critical material present in products used for purposes of maintaining, operating, or fueling motor vehicles operated at the location.

Example:   ABC Pump Manufacturing has a manufacturing plant in Wyandotte, Michigan with a large warehouse located on the facility grounds.  They have a fleet of ten (10) forklift trucks that operate on batteries or diesel fuel.  The forklift trucks also have to be lubricated and maintained periodically by plant staff.  Any critical materials used for purposes of maintaining, operating or fueling these vehicles are not required to be reported under R299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.

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Use Exemption #6

(f) The quantity of a critical material used by employees or other persons for personal use at the location, including foods, pharmaceuticals, cosmetics, or other personal items containing critical materials.

Example:   The amount of critical materials used by employees or other person contained in any products or personal items used at a facility location are not required to be reported on underR299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.  This would include such items as: prescription drugs, cosmetics, personal care hygiene products, food, beverages, etc. 

Use Exemption #7

(g) The quantity of a critical material present in supplies or products used in a cafeteria, store, infirmary, or other non-business activity at the location.

Example:   TLC Furniture Company in Grand Rapids, Michigan has a company store for employees only, located on the grounds of their furniture manufacturing facility.  The store offers a variety of sundries and snack foods, as well as company apparel.  Any critical materials present in the various products and goods they sell at the company store is not required to be reported under R299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.

Use Exemption #8

(h) The quantity of a critical material designated as a pesticide in table 1. of R 299.9003 used by a person who does not manufacture or formulate the pesticide.

Example:  Jerry’s Apple Orchard  and Cider Mill typically applies pesticides to the fruit trees at their facility in Romeo, Michigan.  They buy the pesticide out of state from a large agricultural products supplier.   The pesticide contains critical materials (Chlordane and Aldrin) in sufficient quantity to be reported, however, because Jerry’s Apple Orchard does not manufacture or formulate the pesticide they are not required to report the quantity of Chlordane and Aldrin under R299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.

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Use Exemption #9

(i) The quantity of a critical material present in a laboratory reagent in a single container which can hold 500 grams or less. 

Example:  ChemTech Research and Development Inc. has a small laboratory on-site for R&D on the various products they manufacture.  The laboratory routinely uses lab reagents (held in single containers <500 gr.) as part of their test process.  The reagents contain small amounts of critical materials (benzene and chlorobenzene) reported under the AWR program.  ChemTech would not be required to report the quantity of critical materials in these reagents under R299.9004 (2) (e) – Section 5 and 6 of the Wastewater Report form.

Use Exemption #10

(j) The quantity of a critical material that is a fixed part of premanufactured assemblies or hardware obtained from another manufacturer and incorporated into a person's product.

Example: Superior Motors Company (an automobile manufacturer) produces cars and trucks at a facility located in Michigan. They purchase radiators from Value Radiator Supply, Inc. to be installed in their cars and light trucks. The radiators contain certain heavy metals reportable on the Critical Material Register for the AWR program. Superior Motors has a wastewater discharge and uses certain critical materials in their manufacturing process. Superior Motors will not be required to provide the amount of critical materials present in the radiators as part of filling out Section 5 and 6 of the Wastewater Report. However, they may have to report discharge information on those critical materials if present in their wastewater.

This use exemption applies when the reporting facility receives the pre-manufactured assembly or hardware from another facility. For a critical material in an item to be exempt as part of the pre-manufactured assembly or hardware, it must meet all the following criteria;

• It must be a pre-manufactured item that is formed to a specific shape or design during manufacture; has end use functions dependent in whole or in part upon its shape or design during end use,

• The exemption applies to the normal processing or use of the pre-manufactured assembly or hardware.
  (This exemption does not apply to the manufacture of the assembly or hardware. Critical materials processed into manufactured assemblies or hardware produced at your location must be included into your usage calculations).

• If, in the course of processing, an item retains its initial thickness or diameter, it may still qualify for the exemption.
  (If the item's basic dimensional characteristics are totally altered during processing or otherwise use, the item does not meet the exemption. An example of items that do not meet the definition would be items that are cold extruded, such as lead ingots that are formed into wire). On the other hand, cutting a pre-manufactured item into pieces that are recognizable as the pre-manufactured item would not change the original dimensions, and as long as the diameter or thickness of the item remained the same; the exemption would continue to apply. Metal wire may be bent and sheet metal may be cut, punched, stamped, or pressed without losing their exemption status as long as the diameter of the wire or tubing or the thickness of the sheet is not totally changed.

 

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