SB-0858, As Passed House, June 24, 2008

HOUSE SUBSTITUTE FOR

SENATE BILL NO. 858

     A bill to amend 1976 PA 399, entitled

"Safe drinking water act,"

by amending section 4 (MCL 325.1004), as amended by 2006 PA 601.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 4. (1) A supplier of water shall file with the department

the plans and specifications of the entire waterworks system owned

or operated by the supplier, unless the department determines that

its existing records are adequate. A general plan of the waterworks

system for each public water supply shall be provided to the

department by a supplier of water and shall be updated as

determined necessary by the department.

     (2) Upon receipt of the plans and specifications for a

proposed waterworks system, the department shall evaluate the

adequacy of the proposed system to protect the public health by

supplying water meeting the state drinking water standards and, if

applicable, shall evaluate the impact of the proposed system as

provided in subsections (3) and (4). In addition, for a proposed

waterworks system by a community supply that will provide capacity

for a new or increased large quantity withdrawal, the department

shall utilize the assessment tool to evaluate the proposed

withdrawal associated with the proposed waterworks system and shall

confirm the assessment tool's determination. Prior to the

implementation of the assessment tool under section 32706a, the

department shall evaluate the proposed withdrawal based upon

reasonably available information. If the department determines that

the proposed withdrawal for a community supply is a zone C

withdrawal, the community supply shall certify that it is

implementing applicable environmentally sound and economically

feasible water conservation measures prepared under section 32708a

that the community supply considers to be reasonable or shall

certify that it is implementing environmentally sound and

economically feasible water conservation measures developed for the

water use associated with that specific withdrawal that the

community supply considers to be reasonable. The department shall

also conduct a capacity assessment for a proposed community supply

or nontransient noncommunity water supply and determine if the

system has the technical, financial, and managerial capacity to

meet all requirements of this act and the rules promulgated under

this act, on the date of commencement of operations. If upon

evaluation the department determines the plans and specifications

to be inadequate or the capacity assessment shows the system to be

inadequate, the department may return the plans and specifications

to the applicant and require additions or modifications as may be

appropriate. The department may reject plans and specifications for

a waterworks system that will not satisfactorily provide for the

protection of the public health or, if applicable, will not meet

the standards provided in subsections (3) and subsection (4). The

department may deny a permit for construction of a proposed

community supply or a nontransient noncommunity water supply if the

capacity assessment shows that the proposed system does not have

adequate technical, financial, or managerial capacity to meet the

requirements of this act and the rules promulgated under this act.

     (3) The department may shall evaluate the impact of a proposed

waterworks system for a community supply owned by a political

subdivision that will do any of the following:

     (a) Provide new total designed withdrawal capacity of more

than 2,000,000 gallons of water per day from a source of water

other than the Great Lakes and their connecting waterways the

waters of the state.

     (b) Provide an increased total designed withdrawal capacity of

more than 2,000,000 gallons of water per day from a source of water

other than the Great Lakes and their connecting waterways the

waters of the state beyond the system's total designed withdrawal

capacity.

     (c) Provide new total designed withdrawal capacity of more

than 5,000,000 gallons of water per day from the Great Lakes and

their connecting waterways.

     (d) Provide an increased total designed withdrawal capacity of

more than 5,000,000 gallons of water per day from the Great Lakes

and their connecting waterways beyond the system's total designed

withdrawal capacity.

     (c) Provide new or increased total designed withdrawal

capacity for a new or increased large quantity withdrawal of more

than 1,000,000 gallons of water per day from the waters of the

state to supply a common distribution system that the department

confirms is a zone C withdrawal.

     (d) Provide new total designed withdrawal capacity or an

increased total designed withdrawal capacity that will result in an

intrabasin transfer of more than 100,000 gallons per day average

over any 90-day period.

     (4) The department shall provide public notice that it is

conducting an evaluation under subsection (3) and shall provide a

public comment period of not less than 45 days before making a

determination on that evaluation. The department shall reject the

plans and specifications for a proposed waterworks system evaluated

under subsection (3) if it determines that the proposed system will

not meet the applicable standard provided in section 32723(5) or

(6) 32723 of the natural resources and environmental protection

act, 1994 PA 451, MCL 324.32723. , unless However, the department

may approve the plans and specifications for a proposed waterworks

system evaluated under subsection (3) for a community supply owned

by a political subdivision that the department determines will not

meet the applicable standard provided in section 32723 if the plans

and specifications do not result in an intrabasin transfer of more

than 100,000 gallons per day average over any 90-day period and

both of the following conditions are met:

     (a) The department determines that there is no feasible and

prudent alternative location for the withdrawal.

     (b) The department includes in the approval conditions related

to depth, pumping capacity, rate of flow, and ultimate use that

ensure that the environmental impact of the withdrawal is balanced

by the public benefit of the withdrawal related to public health,

safety, and welfare. This subdivision does not confer upon the

department any authority to require a person to connect or to

remain connected to an existing drinking water supply system owned

by a political subdivision.

     (5) The department's approval of a proposed waterworks system

under this section shall be considered to satisfy the requirements

of section 4.11 of the compact.

(6) (5) Before commencing the construction of a waterworks

system or an alteration, addition, or improvement to a system, a

supplier of water shall submit the plans and specifications for the

improvements to the department and secure from the department a

permit for construction as provided by rule. Plans and

specifications submitted to the department shall be prepared by a

professional engineer licensed under article 20 of the occupational

code, 1980 PA 299, MCL 339.2001 to 339.2014. A contractor, builder,

or supplier of water shall not engage in or begin the construction

of a waterworks system or an alteration, addition, or improvement

to a waterworks system until a valid permit for the construction

has been secured from the department. A contractor, builder, or

supplier of water who permits or allows construction to proceed

without a valid permit, or in a manner not in accordance with the

plans and specifications approved by the department, violates this

act. A supplier of water shall not issue a voucher or check or in

any other way expend money or provide consideration for

construction of a waterworks system unless a valid permit issued by

the department is in effect. The department may issue a permit with

conditions to correct minor design deficiencies. If eligible, a

supplier may request an expedited review of an application for a

permit under section 4a.

(7) (6) The department may deny a permit for construction of a

waterworks system or an alteration, addition, or improvement to a

waterworks system if the most recent capacity assessment shows that

the waterworks system does not have adequate technical, financial,

or managerial capacity to meet the requirements of this act and the

rules promulgated under this act, and the deficiencies identified

in that capacity assessment remain uncorrected, unless the proposed

construction will remedy the deficiencies.

(8) (7) The department may verbally approve minor

modifications of a construction permit issued by the department as

a result of unforeseen site conditions that become apparent during

construction. Minor modifications include, but are not limited to,

extending a hydrant lead or routing a water main around a manhole.

A supplier making a request for a modification shall provide to the

department all relevant information required under this section and

the application form provided by the department related to the

modification. A supplier shall obtain written approval from the

department for all modifications to a waterworks system except when

the department provides verbal approval for a minor modification as

provided for in this subsection. A supplier receiving a written or

verbal approval from the department shall submit revised plans and

specifications to the department within 10 days from the date of

approval.

(9) (8) If a supplier seeks confirmation of the department's

verbal approval of a minor modification under subsection (7) (8),

the supplier shall notify the department electronically, at an

address specified by the department, with a detailed description of

the request for the modification. The department shall make

reasonable efforts to respond within 2 business days, confirming

whether the request has been approved or not approved. If the

department has not responded within 2 business days after the

department receives the detailed description, the verbal approval

shall be considered confirmed.

     (10) As a condition of a permit issued under this section to a

community supply, the department shall require the permit holder to

annually submit to the department a report by April 1 of each year

that contains the information described in section 32707 of the

natural resources and environmental protection act, 1994 PA 451,

MCL 324.32707.

     (11) As used in this section, "assessment tool", "compact",

"intrabasin transfer", "new or increased large quantity

withdrawal", "waters of the state", and "zone C withdrawal" mean

those terms as they are defined in section 32701 of the natural

resources and environmental protection act, 1994 PA 451, MCL

324.32701.

     Enacting section 1. This amendatory act does not take effect

unless all of the following bills of the 94th Legislature are

enacted into law:

     (a) Senate Bill No. 212.

     (b) Senate Bill No. 723.

     (c) Senate Bill No. 727.

     (d) Senate Bill No. 859.

     (e) Senate Bill No. 860.

     (f) House Bill No. 4343.

     (g) House Bill No. 5065.

     (h) House Bill No. 5066.

     (i) House Bill No. 5067.

     (j) House Bill No. 5069.

     (k) House Bill No. 5073.