The Canadian government authorized similar corporate behaviour in Canada a year and a half ago, mostly in the prairie provinces. The case is on its way to the Supreme Court.
I've read the environmental assessments on using lakes for this. Most of the time it kills all life within the matter of years. There are some marshland plants that can absorb toxic material and break it down over time, but the animal life doesn't have this ability.
After living in China for a couple of years, I am completely astonished by how non-chalantly North America treats its natural resources. We are so incredibly wasteful and dismissive of the natural bounty we possess. I wish people could see how it is in most other places in the world, where you have to go down the street and buy a jug of water to lug home because the tap water will make you seriously ill if you drink it.
In developed nations, there is no excuse. Corporations have too much power to pay off government to turn a blind eye or even create laws supporting this behaviour, and because people don't understand what they are losing (since they've always had it), they aren't fighting back. It's sickening.