A bill to amend the Federal Water Pollution Control Act to allow modifications of certain effluent limitations relating to biochemical oxygen demand and pH.

(Measure passed Senate, amended)

Amends the Federal Water Pollution Control Act (also known as the Clean Water Act) to authorize the Administrator of the Environmental Protection Agency, with State concurrence, to issue a permit which would modify specified effluent limitation requirements (dealing with biochemical oxygen demand and pH) for an industrial discharger, in such State, who makes discharges into deep waters of the territorial seas.

Requires the applicant for a modified permit to make specified demonstrations, including a showing that: (1) the facility for which modification is sought is covered at the time of enactment of this Act by one of two specified permit numbers under the National Pollutant Discharge Elimination System; (2) the applicant accepts as a condition of the permit an obligation to use a required amount of funds for research and development of water pollution control technology, including closed cycle technology; (3) the relief granted will not establish a precedent or the relaxation of requirements applicable to similarly situated discharges; and (4) no owner or operator of a comparable facility has demonstrated that it would be put at a competitive disadvantage to the applicant or the applicant's parent company or subsidiaries as a result of the issuance of such a modified permit.

Sets forth requirements for such modified effluent limitations.

Limits a modified permit to a five-year period, with additional five-year renewals upon a showing by the applicant that the requirements of this Act are met.

Authorizes the Administrator to terminate such modified permit upon finding that there has been a decline in the ambient water quality of receiving waters during the period of the permit, even if a direct cause and effect relationship cannot be shown.

Directs the Administrator to terminate any such modified permit if the effluent from the source is contributing to a decline in ambient water quality of the receiving waters.