Information Sheet:
Transfers of Properties with Overboard Discharge Systems
- Revised: February 2009 Phone: (207)-287-6301 PDF format file for printing
What is an OVERBOARD DISCHARGE SYSTEM (OBD)?
Water classification program , 38 M.R.S.A. § 466.9.A defines an overboard discharge as a “discharge to the surface waters of the State of domestic pollutants not conveyed to and treated in municipal or quasi-municipal sewerage treatment facilities.” Licensed OBD systems treat, sanitize and discharge wastewater primarily from single-family homes and small businesses to streams, rivers and the ocean. The most common OBD systems are sand filters and mechanical systems. OBDs require licensing every five years , annual inspections by the Maine Department of Environmental Protection (DEP) [38 M.R.S.A. §414.3A] and payment by the licensee of an annual fee [38 M.R.S.A §353-B]. Licensed OBDs must be operated and maintained in compliance with the OBD license and the laws pertaining thereto. Owners of mechanical OBDs must hire a certified Wastewater Treatment Maintenance Contractor to maintain their systems [ 06-096 CMR 596.E.1] .
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How does the State view OBD systems?
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In 1989, the Maine legislature established a program to advance water quality and habitat improvement by removing and replacing as many OBDs as practicable. In 2003, the Legislature enacted new laws to facilitate that effort. These laws, effective September 13, 2003, directly affect people contemplating the transfer (purchase, sale, gifting, inheriting, entrusting, etc.) of properties with OBDs by requiring removal and replacement if feasible. For simplicity, we will refer to these parties as the “buyer” and “seller.”
How does the presence of an OBD system affect property assessments?
Any of the following may restrict the use, thereby affecting the value of the property:
- • The OBD license has a waste discharge volume limit (gallons per day) and duration limit (seasonal vs. year-round) restricting the size, use and number of dwellings connected to the system. By law, we cannot increase the actual or licensed volume or duration of the discharge. The addition of cottages, bunkhouses, apartments or bedrooms or changing the use from seasonal to year-round use after 1987 are examples of prohibited activities that would result in increased discharge volume or duration [38 M.R.S.A. § 464.A.6] .
• Properties with seasonally-restricted licenses cannot be used as year-round dwellings while served by OBDs.
What needs to be done when transferring properties served by OBD systems?
• The seller or his agent must provide a copy of the OBD license and disclose its size/capacity, its seasonal limitations, past-due fees and any other restrictions to the buyer.
- • Before transferring a property with an OBD, the parties to the transfer are required by law to determine if a technologically-feasible alternative (alternative) to the OBD exists that would meet the Maine State Plumbing Code. The buyer/seller must hire a qualified Licensed Site Evaluator (LSE) who has experience designing replacement systems for OBDs. After a site assessment, the LSE should submit his findings and/or a design for a replacement non-discharging septic system to the DEP for review [38 M.R.S.A. §413.3].
• If an alternative wastewater disposal system is identified by the site evaluator, and approved by the Local Plumbing Inspector or the Department of Environmental Health, that system must be installed within 90 days of closing, season and weather permitting [38 M.R.S.A. §413.3]. Responsibility for the cost of the evaluation and OBD removal/replacement may be negotiated in the contract for purchase/sale of the parcel.
• If the LSE cannot design an alternative, then, after the closing and issuance of a deed (or lease), the new owner must apply for a license transfer.
Is financial assistance available to replace OBD systems?
• The grant program only provides funds for removal and replacement of legally existing licensed OBDs .
- • Property owners may be eligible for reimbursement of a portion of the cost of replacing their OBD under the OBD grant program. Effective September 13, 2003, the Overboard Discharge Removal Grant Program became means-tested program, awarding grants according to the following table:
| Applicant's income (based on previous year's federal tax return): |
Potential OBD removal reimbursement: |
| Residential OBD. Less than $25,000 per year taxable income |
100 percent |
| Residential OBD. $25,001- $50,000 per year taxable income |
90 percent |
| Residential OBD. $50,001 -$75,000 per year taxable income |
50 percent |
| Residential OBD. $75,001 - $100,000 per year taxable income |
35 percent |
| Residential OBD. $100,001 per year or more taxable income |
25 percent |
| Publicly owned OBD. |
50 percent ($150,000 maximum) |
• OBDs in targeted shellfish resource areas receive top priority for removal grants. Owners of property in these high-priority areas may receive a grant offer for the appropriate share of OBD system removal and replacement costs based on the likelihood that removal will result in the opening of a shellfish resource.
- • Owners of properties with OBD systems not on the priority list may apply for reimbursement of the appropriate share of the cost of removal/replacement. Reimbursement is on a first come-first served basis using funds leftover from high priority removals as may (or may not) be available.
Local realtor, attorney or agent can provide assistance to buyers and sellers by?
• Obtaining copies of the current or most recent OBD facility license and inspection reports for the disclosure.
- • Providing names of local qualified LSEs and certified Wastewater Treatment Maintenance Contractors.
• Providing information about the OBD annual fees, including overdue fees as part of the property disclosure. • Provide clients with DEP contact information to facilitate the transfer of the OBD license to their name.
How can the DEP help?
• Provide copies of OBD fact sheets, LSE lists, licenses and other general information about the OBD.
- • Provide applications for transfer and/or renewal of OBD licenses and assistance in completing the forms.
• Provide information about specific OBDs, their licenses and restrictions, available grants for OBD replacement, and possible solutions to OBD issues at any time during the sale.
New discharges of wastewater to waterways (ditches, streams, rivers, ponds, the ocean, etc.) that are not licensed by the DEP have been illegal since 1974 and are not “grandfathered” in any way. If the property owner of an unlicensed discharge can provide documentation that a discharge existed legally in the qualifying period (June 1, 1986and June 1, 1987) and there is no technologically feasible alternative, the DEP may grant a license for that discharge once appropriate treatment is installed.
DEP Contact Information
For best service, please contact us at the time of listing or as soon as possible thereafter. Please understand that, the demands of our workload limit our ability to respond to requests with immediate deadlines. If you prefer to write, all of the above staff can be reached here:
Maine Department of Environmental Protection
State House Station 17, Augusta , ME 04333-0017
Please be sure to visit the DEP website through www.MaineDEP.com keyword: OBD
