Respondent is a municipality operating a wastewater treatent plant. The plant's permit had a schedule ending March 1, 2004, that tightened the effluent limits for their wastewater discharges, in particular for Ammonia. Respondent failed to modify or construction its wastewater treatment plant to meet these new requirements and could not meet the new limits. Respondent has since been violating their effluent limits. EPA has ordered Respondent to come into compliance with its permit and permittee is initiated a construction schedule to come into compliance by the Summer of 2007. EPA is issuing Respondent a penalty for failing to comply with the permit limits.