SB-0860, As Passed Senate, May 15, 2008

SUBSTITUTE FOR

SENATE BILL NO. 860

     A bill to amend 1994 PA 451, entitled

"Natural resources and environmental protection act,"

by amending sections 32701, 32702, 32703, 32705, 32706, 32707,

32708, 32708a, 32709, 32710, 32721, 32722, 32723, 32725, 32727, and

32728 (MCL 324.32701, 324.32702, 324.32703, 324.32705, 324.32706,

324.32707, 324.32708, 324.32708a, 324.32709, 324.32710, 324.32721,

324.32722, 324.32723, 324.32725, 324.32727, and 324.32728),

sections 32701, 32702, 32703, and 32707 as amended and sections

32721, 32722, 32723, 32727, and 32728 as added by 2006 PA 33,

sections 32705 and 32708 as amended and section 32708a as added by

2006 PA 35, section 32706 as amended by 1996 PA 434, sections 32709

and 32710 as added by 1995 PA 59, and section 32725 as added by

2006 PA 36, and by adding sections 32706a, 32706b, 32706c, 32706d,

and 32729; and to repeal acts and parts of acts.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 32701. (1) As used in this part:

(a) "Adverse resource impact" means either any of the

following:

(i) Decreasing Until the effective date of the implementation

of the assessment tool under section 32706a, decreasing the flow of

a river or stream by part of the index flow such that the river's

or stream's ability to support characteristic fish populations is

functionally impaired.

     (ii) Beginning on the effective date of the implementation of

the assessment tool under section 32706a, subject to subparagraph

(vi), decreasing the flow of a cold river system by part of the

index flow as follows:

     (A) For a cold stream, the withdrawal will result in a 3% or

more reduction in the density of thriving fish populations as

determined by the thriving fish curve.

     (B) For a cold small river, the withdrawal will result in a 1%

or more reduction in the density of thriving fish populations as

determined by the thriving fish curve.

     (iii) Beginning on the effective date of the implementation of

the assessment tool under section 32706a, subject to subparagraph

(vi), decreasing the flow of a cold-transitional river system by

part of the index flow such that the withdrawal will result in a 5%

or more reduction in the density of thriving fish populations as

determined by the thriving fish curve.

     (iv) Beginning on the effective date of the implementation of

the assessment tool under section 32706a, subject to subparagraph

(vi), decreasing the flow of a cool river system by part of the

index flow as follows:

     (A) For a cool stream, the withdrawal will result in a 10% or

more reduction in the abundance of characteristic fish populations

as determined by the characteristic fish curve.

     (B) For a cool small river, the withdrawal will result in a

15% or more reduction in the density of thriving fish populations

as determined by the thriving fish curve.

     (C) For a cool large river, the withdrawal will result in a

12% or more reduction in the density of thriving fish populations

as determined by the thriving fish curve.

     (v) Beginning on the effective date of the implementation of

the assessment tool under section 32706a, subject to subparagraph

(vi), decreasing the flow of a warm river system by part of the

index flow as follows:

     (A) For a warm stream, the withdrawal will result in a 5% or

more reduction in the abundance of characteristic fish populations

as determined by the characteristic fish curve.

     (B) For a warm small river, the withdrawal will result in a

10% or more reduction in the abundance of characteristic fish

populations as determined by the characteristic fish curve.

     (C) For a warm large river, the withdrawal will result in a

10% or more reduction in the abundance of characteristic fish

populations as determined by the characteristic fish curve.

     (vi) Beginning on the effective date of the implementation of

the assessment tool under section 32706a, decreasing the flow of a

stream or river by more than 25% of its index flow.

(vii) (ii) Decreasing the level of a body of surface water lake

or pond with a surface area of 5 acres or more through a direct

withdrawal from the lake or pond in a manner that would impair or

destroy the lake or pond or the uses made of the lake or pond,

including the ability of the lake or pond to support characteristic

fish populations, or such that the body of surface water's ability

of the lake or pond to support characteristic fish populations is

functionally impaired. As used in this subparagraph, lake or pond

does not include a retention pond or other artificially created

surface water body.

     (b) "Agricultural purpose" means the agricultural production

of plants and animals useful to human beings and includes, but is

not limited to, forages and sod crops, grains and feed crops, field

crops, dairy animals and dairy products, poultry and poultry

products, cervidae, livestock, including breeding and grazing,

equine, fish and other aquacultural products, bees and bee

products, berries, herbs, fruits, vegetables, flowers, seeds,

grasses, nursery stock, trees and tree products, mushrooms, and

other similar products, or any other product, as determined by the

commission of agriculture, that incorporates the use of food, feed,

fiber, or fur.

     (c) "Assessment tool" means the water withdrawal assessment

tool provided for in section 32706a.

(d) (c) "Baseline capacity", subject to subsection (2), means

either any of the following, which shall be considered the existing

withdrawal approval amount under section 4.12.2 of the compact:

     (i) The following applicable withdrawal capacity as reported to

the department or the department of agriculture, as appropriate, by

the person making the withdrawal in the April 1, 2007 annual report

submitted under section 32707 not later than April 1, 2009 or in

the April 1, 2007 water use conservation plan submitted under

section 32708 not later than April 1, 2009:

     (A) For a community supply, the total designed withdrawal

capacity for the community supply under the safe drinking water

act, 1976 PA 399, MCL 325.1001 to 325.1023, on the effective date

of the amendatory act that added this subparagraph.

(A) (B) Unless reported under a different provision of this

subparagraph, for a quarry or mine that holds an authorization to

discharge under part 31 that includes a discharge volume, the

discharge volume stated in that authorization on the effective date

of the amendatory act that added this subparagraph February 28,

2006.

(B) (C) The system capacity used or developed to make a

withdrawal on the effective date of the amendatory act that added

this subparagraph February 28, 2006, if the system capacity and a

description of the system capacity are included in an annual report

that is submitted under this part not later than April 1, 2009.

(ii) If the person making the withdrawal does not report under

subparagraph (i), the highest annual amount of water withdrawn as

reported under this part for calendar year 2002, 2003, 2004, or

2005. However, for a person who is required to report by virtue of

the 2008 amendments to section 32705(2)(d), baseline capacity means

the person's withdrawal capacity as reported in the April 1, 2009

annual report submitted under section 32707.

(iii) For a community supply, the total designed withdrawal

capacity for the community supply under the safe drinking water

act, 1976 PA 399, MCL 325.1001 to 325.1023, on February 28, 2006 as

reported to the department in a report submitted not later than

April 1, 2009.

     (e) "Characteristic fish curve" means a fish functional

response curve that describes the abundance of characteristic fish

populations in response to reductions in index flow as published in

the document entitled "Report to the Michigan Legislature in

response to 2006 Public Act 34" by the former groundwater

conservation advisory council dated July 2007, which is

incorporated by reference.

     (f) "Characteristic fish population" means the fish species,

including thriving fish, typically found at relatively high

densities in stream reaches having specific drainage area, index

flow, and summer temperature characteristics.

     (g) "Cold river system" means a stream or small river that has

the appropriate summer water temperature to sustain thriving fish

populations of cold-water fish species, and where small increases

in water temperature will not cause a decline in these populations,

as determined by the department of natural resources using a

scientific methodology adopted by order of the commission.

     (h) "Cold-transitional river system" means a stream or river

that has the appropriate summer water temperature to sustain

thriving fish populations of cold-water fish species, and where

small increases in water temperature will cause a decline in these

populations, as determined by the department of natural resources

using a scientific methodology adopted by order of the commission.

(i) (d) "Community supply" means that term as it is defined in

section 2 of the safe drinking water act, 1976 PA 399, MCL

325.1002.

     (j) "Compact" means the Great Lakes-St. Lawrence river basin

water resources compact provided for in part 342.

(k) (e) "Consumptive use" means that portion of water

withdrawn or withheld from the Great Lakes basin and assumed to be

lost or otherwise not returned to the Great Lakes basin due to

evaporation, incorporation into products or agricultural products,

use as part of the packaging of products or agricultural products,

or other processes. Consumptive use includes a withdrawal of waters

of the Great Lakes basin that is packaged within the Great Lakes

basin in a container of 5.7 gallons (20 liters) or less and is

bottled drinking water as defined in the food code, 2005

recommendations of the food and drug administration of the United

States public health service.

     (l) "Cool river system" means a stream or river that has the

appropriate summer water temperature to sustain characteristic fish

populations of a mix of cold-water, cool-water, and warm-water fish

species, as determined by the department of natural resources using

a scientific methodology adopted by order of the commission.

     (m) "Council" means the Great Lakes-St. Lawrence river basin

water resources council created in the compact.

(n) (f) "Department" means the department of environmental

quality.

(o) (g) "Designated trout stream" means a trout stream

identified on the document entitled "Designated Trout Streams for

the State of Michigan", as issued under order of the director of

the department of natural resources, FO-210.04, on October 10,

2003.

(p) (h) "Diverted" means a transfer of water by pipeline,

canal, tunnel, aqueduct, channel, modification of the direction of

a watercourse, tanker ship, tanker truck, rail tanker, or similar

means from the Great Lakes basin into a watershed outside of the

Great Lakes basin. Diverted "Diversion" means a transfer of water

from the Great Lakes basin into another watershed, or from the

watershed of 1 of the Great Lakes into that of another by any means

of transfer, including, but not limited to, a pipeline, canal,

tunnel, aqueduct, channel, modification of the direction of a water

course, tanker ship, tanker truck, or rail tanker but does not

apply to water that is used in the Great Lakes basin or a Great

Lake watershed to manufacture or produce a product that is then

transferred out of the Great Lakes basin or watershed. Diverted has

a corresponding meaning. Diversion includes a transfer of water

withdrawn from the waters of the Great Lakes basin that is removed

from the Great Lakes basin in a container greater than 5.7 gallons

(20 liters). Diverted Diversion does not include any of the

following:

     (i) A consumptive use.

     (ii) The supply of vehicles, including vessels and aircraft,

whether for the needs of the persons or animals being transported

or for ballast or other needs related to the operation of vehicles.

     (iii) Use in a noncommercial project on a short-term basis for

firefighting, humanitarian, or emergency response purposes.

     (iv) A transfer of water from a Great Lake watershed to the

watershed of its connecting waterways.

(q) (i) "Environmentally sound and economically feasible water

conservation measures" means those measures, methods, technologies,

or practices for efficient water use and for reduction of water

loss and waste or for reducing a withdrawal, consumptive use, or

diversion that meet all of the following:

     (i) Are environmentally sound.

     (ii) Reflect best practices applicable to the water use sector.

     (iii) Are technically feasible and available.

     (iv) Are economically feasible and cost-effective based on an

analysis that considers direct and avoided economic and

environmental costs.

     (v) Consider the particular facilities and processes involved,

taking into account the environmental impact, the age of equipment

and facilities involved, the process employed, energy impacts, and

other appropriate factors.

(r) (j) "Farm" means that term as it is defined in section 2

of the Michigan right to farm act, 1981 PA 93, MCL 286.472.

     (k) "Generally accepted water management practices" means

standards or guidelines for water use that ensure water is used

efficiently.

     (s) "Flow-based safety factor" means a protective measure of

the assessment tool that reduces the portion of index flow

available for a withdrawal to 1/2 of the index flow for the purpose

of minimizing the risk of adverse resource impacts caused by

statistical uncertainty.

     (t) "Great Lakes" means Lakes Superior, Michigan and Huron,

Erie, and Ontario and their connecting waterways including the St.

Marys river, Lake St. Clair, the St. Clair river, and the Detroit

river. For purposes of this definition, Lakes Huron and Michigan

shall be considered a single Great Lake.

(u) (l) "Great Lakes basin" means the watershed of the Great

Lakes and the St. Lawrence river.

(v) (m) "Great Lakes charter" means the document establishing

the principles for the cooperative management of the Great Lakes

water resources, signed by the governors and premiers of the Great

Lakes region on February 11, 1985.

(w) (n) "Great Lakes region" means the geographic region

composed of the states of Illinois, Indiana, Michigan, Minnesota,

New York, Ohio, and Wisconsin, the commonwealth of Pennsylvania,

and the provinces of Ontario and Quebec, Canada.

(x) (o) "Index flow" means the 50% exceedance flow for the

lowest summer flow month of the flow regime, for the applicable

stream reach, as determined over the period of record or

extrapolated from analyses of the United States geological survey

stream flow gauges in Michigan. However, beginning on the effective

date of the implementation of the assessment tool under section

32706a, index flow shall be calculated as of that effective date.

     (y) "Intrabasin transfer" means a diversion of water from the

source watershed of a Great Lake prior to its use to the watershed

of another Great Lake.

     (z) "Lake augmentation well" means a water well used to

withdraw groundwater for the purpose of maintaining or raising

water levels of an inland lake or stream as defined in section

30101.

(aa) (p) "Large quantity withdrawal" means 1 or more

cumulative total withdrawals of over 100,000 gallons of water per

day average in any consecutive 30-day period that supply a common

distribution system.

     (bb) "Large river" means a river with a drainage area of 300

or more square miles.

(cc) (q) "New or increased large quantity withdrawal" means a

new water withdrawal of over 100,000 gallons of water per day

average in any consecutive 30-day period or an increase of over

100,000 gallons of water per day average in any consecutive 30-day

period beyond the baseline capacity of a withdrawal.

(dd) (r) "New or increased withdrawal capacity" means new or

additional water withdrawal capacity to supply a common

distribution system that is an increase from the person's baseline

capacity. New or increased capacity does not include maintenance or

replacement of existing withdrawal capacity.

     (s) "Political subdivision" means that term as it is defined

in section 2 of the safe drinking water act, 1976 PA 399, MCL

325.1002.

     (ee) "Online registration process" means the online

registration process provided for in section 32706.

     (ff) "Preventative measure" means an action affecting a stream

or river that prevents an adverse resource impact by diminishing

the effect of a withdrawal on stream or river flow or the

temperature regime of the stream or river.

(gg) (t) "Registrant" means a person who registers has

registered a water withdrawal capacity under this part under

section 32705.

     (hh) "River" means a flowing body of water with a drainage

area of 80 or more square miles.

     (ii) "Site-specific review" means the department's independent

review under section 32706c to determine whether the withdrawal is

a zone A, zone B, zone C, or zone D withdrawal and whether a

withdrawal is likely to cause an adverse resource impact.

     (jj) "Small river" means a river with a drainage area of less

than 300 square miles.

     (kk) "Source watershed" means the watershed from which a

withdrawal originates. If water is withdrawn directly from a Great

Lake, then the source watershed shall be considered to be the

watershed of that Great Lake and its connecting waterways. If water

is withdrawn from the watershed of a direct tributary to a Great

Lake, then the source watershed shall be considered to be the

watershed of that Great Lake and its connecting waterways, with a

preference for returning water to the watershed of the direct

tributary from which it was withdrawn.

     (ll) "Stream" means a flowing body of water with a drainage

area of less than 80 square miles.

     (mm) "Stream reach" means a segment of a stream, small river,

or large river.

     (nn) "Thriving fish curve" means a fish functional response

curve that describes the initial decline in density of thriving

fish populations in response to reductions in index flow as

published in the document entitled "Report to the Michigan

Legislature in response to 2006 Public Act 34" by the former

groundwater conservation advisory council dated July 2007, which is

incorporated by reference.

     (oo) "Thriving fish population" means the fish species that

are expected to flourish at very high densities in stream reaches

having specific drainage area, index flow, and summer temperature

characteristics.

     (pp) "Warm river system" means a stream or river that has the

appropriate summer water temperature to sustain thriving fish

populations of warm-water fish species, as determined by the

department of natural resources using a scientific methodology

adopted by order of the commission.

(qq) (u) "Waters of the Great Lakes basin" means the Great

Lakes and all streams, rivers, lakes, connecting channels, and

other bodies of water, including groundwater, within the Great

Lakes basin.

(rr) (v) "Waters of the state" means groundwater, lakes,

rivers, and streams and all other watercourses and waters,

including the Great Lakes, within the territorial boundaries of the

state. Waters of the state do not include drainage ways and ponds

designed and constructed solely for wastewater conveyance,

treatment, or control.

(ss) (w) "Withdrawal" means the removal of water from its

source for any purpose, other than for hydroelectric generation at

sites certified, licensed, or permitted by the federal energy

regulatory commission of water from surface water or groundwater.

     (tt) "Zone A withdrawal" means the following:

     (i) For a cold river system, as follows:

     (A) For a cold stream, less than a 1% reduction in the density

of thriving fish populations as determined by the thriving fish

curve.

     (B) For a cold small river, less than 50% of the withdrawal

that would result in an adverse resource impact.

     (ii) For a cold-transitional river system, there is not a zone

A withdrawal.

     (iii) For a cool river system, as follows:

     (A) For a cool stream, less than a 10% reduction in the

density of thriving fish populations as determined by the thriving

fish curve.

     (B) For a cool small river, less than a 5% reduction in the

density of thriving fish populations as determined by the thriving

fish curve.

     (C) For a cool large river, less than an 8% reduction in the

density of thriving fish populations as determined by the thriving

fish curve.

     (iv) For a warm river system, less than a 10% reduction in the

density of thriving fish populations as determined by the thriving

fish curve.

     (uu) "Zone B withdrawal" means the following:

     (i) There is not a zone B withdrawal for a cold stream or small

river.

     (ii) For a cold-transitional river system, less than a 5%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (iii) For a cool river system, as follows:

     (A) For a cool stream, a 10% or more but less than a 20%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (B) For a cool small river, a 5% or more but less than a 10%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (C) For a cool large river, an 8% or more but less than a 10%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (iv) For a warm river system, as follows:

     (A) For a warm stream, a 10% or more but less than a 15%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (B) For a warm small river or a warm large river, a 10% or

more but less than a 20% reduction in the density of thriving fish

populations as determined by the thriving fish curve.

     (vv) "Zone C withdrawal" means the following as long as the

withdrawal will not decrease the flow of a stream or river by more

than 25% of its index flow:

     (i) For a cold river system, as follows:

     (A) For a cold stream, a 1% or more but less than a 3%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (B) For a cold small river, 50% or more of the withdrawal that

would result in an adverse resource impact but less than a 1%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (ii) There is not a zone C withdrawal for a cold-transitional

river system.

     (iii) For a cool river system, as follows:

     (A) For a cool stream, a 20% or more reduction in the density

of thriving fish populations as determined by the thriving fish

curve but less than a 10% reduction in the abundance of

characteristic fish populations as determined by the characteristic

fish curve.

     (B) For cool small rivers, a 10% or more but less than a 15%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (C) For cool large rivers, a 10% or more but less than a 12%

reduction in the density of thriving fish populations as determined

by the thriving fish curve.

     (iv) For warm river systems, as follows:

     (A) For warm streams, a 15% or more reduction in the density

of thriving fish populations as determined by the thriving fish

curve but less than a 5% reduction in the abundance of

characteristic fish populations as determined by the characteristic

fish curve.

     (B) For warm small rivers and warm large rivers, a 20% or more

reduction in the density of thriving fish populations as determined

by the thriving fish curve but less than a 10% reduction in the

abundance of characteristic fish populations as determined by the

characteristic fish curve.

     (ww) "Zone D withdrawal" means a withdrawal that is likely to

cause an adverse resource impact.

     (2) For purposes of determining baseline capacity, a person

who replaces his or her surface water withdrawal capacity with the

same amount of groundwater withdrawal capacity from the drainage

area of the same stream reach may retain the baseline capacity

established under this section.

     Sec. 32702. (1) The legislature finds and declares that:

     (a) A diversion of water out of the basin of the Great Lakes

may impair or destroy the Great Lakes. The legislature further

finds that a limitation on such diversions is authorized by and is

consistent with the mandate of section 52 of article IV of the

state constitution of 1963 that the legislature provide for the

protection of the air, water, and other natural resources of the

state from pollution, impairment, and destruction.

     (b) Water use registration and reporting are essential to

implementing the principles of the Great Lakes charter and

necessary to support the state's opposition to diversion of waters

of the Great Lakes basin and to provide a source of information on

water use to protect Michigan's rights when proposed water losses

affect the level, flow, use, or quality of waters of the Great

Lakes basin.

     (c) The waters of the state are valuable public natural

resources held in trust by the state, and the state has a duty as

trustee to manage its waters effectively for the use and enjoyment

of present and future residents and for the protection of the

environment.

     (d) The waters of the Great Lakes basin are a valuable public

natural resource, and the states and provinces of the Great Lakes

region and Michigan share a common interest in the preservation of

that resource.

     (e) Any new diversion of waters of the Great Lakes basin for

use outside of the Great Lakes basin will have significant economic

and environmental impact adversely affecting the use of this

resource by the Great Lakes states and Canadian provinces.

     (f) The continued availability of water for domestic,

municipal, industrial, and agricultural water supplies, navigation,

hydroelectric power and energy production, recreation, and the

maintenance of fish and wildlife habitat and a balanced ecosystem

are vital to the future economic health of the states and provinces

of the Great Lakes region.

     (g) Future interbasin diversions and consumptive uses of

waters of the Great Lakes basin may have significant adverse

impacts upon the environment, economy, and welfare of the Great

Lakes region and of this state.

     (h) The states and provinces of the Great Lakes region have a

duty to protect, conserve, and manage their shared water resources

for the use and enjoyment of present and future residents.

     (i) The waters of the Great Lakes basin are capable of

concurrently serving multiple uses, and such multiple uses of water

resources for municipal, public, industrial, commercial,

agriculture, mining, navigation, energy development and production,

recreation, water quality maintenance, and the maintenance of fish

and wildlife habitat and a balanced ecosystem and other purposes

are encouraged, recognizing that such uses are interdependent and

must be balanced.

     (j) The waters of the Great Lakes basin are interconnected and

part of a single hydrologic system.

     (2) The legislature has the authority under sections 51 and 52

of article IV of the state constitution of 1963 to regulate the

withdrawal and uses of the waters of the state, including both

surface water and groundwater, to promote the public health,

safety, and welfare and to protect the natural resources of the

state from pollution, impairment, and destruction, subject to

constitutional protections against unreasonable or arbitrary

governmental action and the taking of property without just

compensation. This authority extends to all waters within the

territorial boundaries of the state.

Sec. 32703. Subject to section 32704, a diversion of the

waters of the Great Lakes basin within the boundaries of this state

shall not be diverted state out of the Great Lakes basin is

prohibited.

     Sec. 32705. (1) Except as otherwise provided in this section,

the owner of real property who has the intends to develop capacity

on that property to make a new or increased large quantity

withdrawal from the waters of this state shall register the

withdrawal with the department after using the assessment tool, if

required under this part, and prior to beginning that withdrawal. A

registration under this section may be made using the online

registration process.

     (2) The following persons are not required to register under

this section:

     (a) A Subject to subdivision (c), a person who has previously

registered for that property under this part or the owner of real

property containing the capacity to make a withdrawal that was

previously requested under this part, unless that registrant the

property owner develops new or increased withdrawal capacity on the

property of an additional 100,000 gallons of water per day from the

waters of the state.

     (b) A community supply owned by a political subdivision that

holds required to obtain a permit under the safe drinking water

act, 1976 PA 399, MCL 325.1001 to 325.1023.

     (c) A person holding required to obtain a permit under section

32723.

     (d) The owner of a noncommercial well located on single-family

residential property not exceeding 4 units and not more than 3

acres in size unless that well is a lake augmentation well.

     (3) The following persons shall register under this section

but may register after beginning the withdrawal but before 90 days

after the effective date of the amendatory act that added this

section:

     (a) A person who was developing new or increased withdrawal

capacity on the effective date of the amendatory act that added

this section.

     (b) A person who was not required to register under this part

prior to the effective date of the amendatory act that added this

section.

(3) (4) Subsection (1) does not limit a property owner's

ability to withdraw water from a test well prior to registration if

the test well is constructed in association with the development of

new or increased withdrawal capacity and used only to evaluate the

development of new or increased withdrawal capacity.

(4) (5) A registration under this section by the owner of a

farm in which the withdrawal is intended for an agricultural

purpose, including irrigation for an agricultural purpose, shall

may be submitted to the department of agriculture instead of the

department.

(5) (6) A registration submitted under this section that is

not submitted via the online registration process shall be on a

form provided by the department or the department of agriculture,

as appropriate.

(6) (7) In calculating the total amount of an existing or

proposed withdrawal for the purpose of this section, a person shall

combine all separate withdrawals that the person makes or proposes

to make, whether or not these withdrawals are for a single purpose

or are for related but separate purposes.

(7) (8) The department shall aggregate information received by

the state related to large quantity withdrawal capacities within

the state and reported large quantity withdrawals in the state.

     (8) Unless a property owner develops the capacity to make the

new or increased large quantity withdrawal within 18 months after

the property owner registers under subsection (1), the registration

is no longer valid.

     Sec. 32706. (1) Not later than 1 year after the effective date

of the amendatory act that amended this section, the department

shall develop and implement an internet-based online registration

process that may be used for registrations under section 32705. The

online registration process shall be designed to work in

conjunction with the assessment tool.

     (2) Each registration under this part shall consist of a

include both of the following:

     (a) A statement and supporting documentation that includes all

of the following:

(i) (a) The place and source of the proposed or existing

withdrawal.

(ii) (b) The location of any discharge or return flow

associated with the proposed withdrawal.

(iii) (c) The location and nature of the proposed or existing

water user use.

     (iv) The capacity of the equipment used for making the proposed

withdrawal.

(v) (d) The actual or estimated average annual and monthly

volumes and rate of the proposed withdrawal.

(vi) (e) The actual or estimated average annual and monthly

volumes and rates of consumptive use from the proposed withdrawal.

     (b) Beginning 1 year after the effective date of the

amendatory act that added this subdivision, for a new or increased

large quantity withdrawal from a stream or river or groundwater,

the determination from the use of the assessment tool under section

32706b or the determination from a site-specific review, as

appropriate.

     Sec. 32706a. (1) Not later than 4 months after the effective

date of the amendatory act that added this section, the department

shall develop and make available for testing and evaluation an

internet-based water withdrawal assessment tool based upon the

recommendations of the former groundwater conservation advisory

council and the requirements of this part. The assessment tool

shall contain a flow-based safety factor. For purposes of testing

the assessment tool, the department shall use the most recent

available data to calculate index flow. Beginning 1 year after the

effective date of the amendatory act that added this section, the

department shall implement the assessment tool.

     (2) The assessment tool shall determine whether a proposed

withdrawal is a zone A, zone B, zone C, or zone D withdrawal and

whether a proposed withdrawal is likely to cause an adverse

resource impact based upon whether the proposed withdrawal is from

a cold river system, a cold-transitional river system, a cool river

system, or a warm river system. The assessment tool shall also

distinguish the impact of a proposed withdrawal based upon whether

the proposed withdrawal is from a stream, a small river, or a large

river, subject to the following:

     (a) Cool streams and warm streams with less than 3 square

miles of drainage area shall be integrated into the next largest

drainage area for purposes of assessment tool determinations.

     (b) Cool streams and warm streams with less than 20 square

miles of drainage area and less than 1 cubic foot per second of

index flow shall be integrated into the next largest drainage area

for purposes of assessment tool determinations.

     (c) Cool streams and warm streams with a drainage area of more

than 3 square miles but less than 6 square miles shall be

integrated into the next largest drainage area for purposes of

assessment tool determinations for groundwater withdrawals.

     (3) The assessment tool shall allow the user to enter into

fields the following data related to a proposed withdrawal:

     (a) The capacity of the equipment used for making the

withdrawal.

     (b) The location of the withdrawal.

     (c) The withdrawal source, whether surface water or

groundwater.

     (d) If the source of the withdrawal is groundwater, whether

the source of the withdrawal is a glacial stratum or bedrock.

     (e) The depth of the withdrawal if from groundwater.

     (f) The amount and rate of water to be withdrawn.

     (g) Whether the withdrawal will be intermittent.

     (4) The assessment tool shall contain a print function that

allows the user, upon receipt of the assessment tool's

determination, to print the data submitted and the determination

returned along with a date and time.

     (5) The assessment tool shall work in conjunction with the

online registration process and shall also allow operation

independent of the online registration process.

     (6) On an ongoing basis, the department shall add verified

data to the assessment tool's database from reports submitted under

sections 32707, water use conservation plans submitted under

section 32708, and permits issued under the safe drinking water

act, 1976 PA 399, MCL 325.1001 to 325.1023, and other sources of

data regarding the waters of the state. Additionally, the

department shall make technical modifications to the assessment

tool related to considerations of temperature, hydrology, and

stream or river flow based upon a scientific methodology adopted by

order of the commission.

     (7) If a person disagrees with the designation of a particular

stream or river as a cold river system, a cold-transitional river

system, a cool river system, or a warm river system for use in the

assessment tool or otherwise under this part, the person may

petition for a redesignation of that stream or river. The petition

shall be submitted to the commission for its review and

determination.

     (8) The department shall report annually to the standing

committees of the legislature with jurisdiction primarily

pertaining to natural resources and the environment on the

implementation of the assessment tool and this part. This report

shall include, but is not limited to, all of the following:

     (a) The number of zone C withdrawal site-specific reviews

requested by applicants each 12 months after the effective date of

the implementation of the assessment tool under section 32706a.

     (b) The number of zone C withdrawal site-specific review

determinations that resulted in changes from zone C to zone B and

the number of changes from zone C to zone A.

     (c) The number of zone C withdrawal site-specific review

determinations that result in a zone D withdrawal determination.

     (d) The number of site-specific review determinations where

the department failed to meet statutory timelines.

     (e) The number of registered assessment tool determinations

for each zone.

     (f) The number of voluntary requests for site-specific reviews

that were submitted to the department and whether the department

failed to meet statutory timelines on these site-specific reviews.

     (g) The number of registrations submitted to the department

under this part.

     Sec. 32706b. (1) Beginning on the effective date of the

implementation of the assessment tool under section 32706a, prior

to registering a new or increased large quantity withdrawal under

section 32706 for a proposed withdrawal from a stream or river, or

from groundwater, the property owner proposing to make the

withdrawal shall utilize the assessment tool by entering the data

related to the proposed withdrawal into the assessment tool.

     (2) Upon entry of the relevant data under subsection (1), the

assessment tool shall indicate to the user whether or not the

proposed withdrawal is likely to cause an adverse resource impact

and whether the proposed withdrawal falls into the category of zone

A, zone B, zone C, or zone D.

     (3) If the assessment tool designates a proposed withdrawal as

a zone A withdrawal, or a zone B withdrawal in a cool river system

or a warm river system, the property owner may register the

withdrawal and proceed to make the withdrawal.

     (4) If the assessment tool designates a proposed withdrawal as

a zone B withdrawal in a cold-transitional river system, or a zone

C or zone D withdrawal, the property owner shall not register the

withdrawal or make the withdrawal except in accordance with section

32706c.

     (5) After a property owner registers a withdrawal, if, in

developing the capacity to make the withdrawal, the conditions of

the withdrawal deviate from the specific data that were entered

into the assessment tool, the property owner shall rerun the

assessment tool and shall enter the corrected data into the

assessment tool. The property owner shall notify the department of

the corrected data and the corrected results from the assessment

tool. If the corrected data do not change the determination of the

assessment tool, the property owner may proceed with the

withdrawal. If the corrected data change the determination from the

assessment tool, the property owner shall proceed under the

provisions of this part related to the corrected assessment tool

determination.

     Sec. 32706c. (1) If the assessment tool determines that a

proposed withdrawal is a zone B withdrawal in a cold-transitional

river system, or a zone C or zone D withdrawal, the property owner

shall submit to the department a request for a site-specific

review. Additionally, if the assessment tool determines that a

proposed withdrawal is a zone A withdrawal, or a zone B withdrawal

in a cool river system or a warm river system and the property

owner wishes to have a site-specific review, the property owner may

submit to the department a request for a site-specific review. A

request for a site-specific review shall be submitted to the

department in a form required by the department and shall include

all of the following:

     (a) The information described in section 32706a(3).

     (b) The intended maximum monthly and annual volumes and rates

of the proposed withdrawal, if different from the capacity of the

equipment used for making the proposed withdrawal.

     (c) If the amount and rate of the proposed withdrawal will

have seasonal fluctuations, the relevant information related to the

seasonal use of the proposed withdrawal.

     (d) A description of how the water will be used and the

location, amount, and rate of any return flow.

     (e) Any other information the property owner would like the

department to consider in making its determination under this

section.

     (2) Upon receipt of a request for a site-specific review, the

department shall consider the information submitted to the

department under subsection (1) and shall consider the actual

stream or river flow data of any affected stream reach. The

department shall also apply the drainage area aggregation standards

provided in section 32706a(2)(a), (b), and (c), if applicable. The

department shall not rely on the assessment tool's determination in

making its determination under a site-specific review.

     (3) The department shall complete its site-specific review

within 10 working days of submittal of a request for a site-

specific review. If the department determines, based upon a site-

specific review, that the proposed withdrawal is a zone A or a zone

B withdrawal, the department shall provide written notification to

the property owner and the property owner may register the

withdrawal and may proceed with the withdrawal.

     (4) If the department determines in conducting a site-specific

review that the proposed withdrawal is a zone C withdrawal, the

property owner may register the withdrawal and proceed to make the

withdrawal if the property owner self-certifies that he or she is

implementing applicable environmentally sound and economically

feasible water conservation measures prepared under section 32708a

that the property owner considers to be reasonable or has self-

certified that he or she is implementing applicable environmentally

sound and economically feasible water conservation measures

developed for the water use associated with that specific

withdrawal that the property owner considers to be reasonable.

     (5) If the department determines, based upon a site-specific

review, that the proposed withdrawal is a zone D withdrawal, the

property owner shall not register the withdrawal and shall not make

the withdrawal unless he or she applies for a water withdrawal

permit under section 32723 and the withdrawal is authorized under

that section.

     (6) After a property owner registers a withdrawal following a

site-specific review, if, in developing the capacity to make the

withdrawal, the conditions of the withdrawal deviate from the

specific data that were evaluated in the site-specific review, the

property owner shall notify the department of the corrected data

and the department shall confirm its determination under the site-

specific review. If the corrected data do not change the

determination under the site-specific review, the property owner

may proceed with the withdrawal. If the corrected data change the

determination under the site-specific review, the property owner

shall proceed under the provisions of this part related to the

corrected determination.

     (7) Notwithstanding any other provision of this section, prior

to the implementation date of the assessment tool under section

32706a, a property owner proposing to develop capacity on his or

her property to make a new or increased large quantity withdrawal

may submit to the department a request for an interim site-specific

review under this subsection to determine whether or not the

proposed withdrawal is likely to cause an adverse resource impact.

During the interim period prior to the implementation date of the

assessment tool under section 32706a, the department, upon request,

shall conduct a site-specific review within a reasonable time

period not to exceed 30 days based upon an evaluation of reasonably

available information. For purposes of this part, a determination

under an interim site-specific review shall be afforded the same

status as a site-specific review otherwise conducted under this

section.

     Sec. 32706d. (1) The department shall develop a protocol for

the collection of stream or river flow measurements by persons

other than the department for use by the department in the

administration of this part. The protocol may specify a minimum

number of measurements, stream or river flow and weather conditions

when the measurements are to be made, and any other conditions

necessary to ensure the adequacy and quality of the measurements.

The protocol shall ensure that stream or river flow measurements

collected for this purpose meet the same data quality standards as

stream or river flow measurements collected by the United States

geological survey. The department shall consult with the United

States geological survey and other recognized scientific experts in

developing this protocol.

     (2) The department may use stream or river flow data collected

using the protocol under subsection (1) in conducting site-specific

reviews, in making water withdrawal permit decisions under section

32723, in issuing permits under the safe drinking water act, 1976

PA 399, MCL 325.1001 to 325.1023, in updating the water withdrawal

assessment tool as appropriate, or in other actions requiring an

evaluation of stream or river flow.

     (3) The department may establish a program to train and

certify individuals in the collection of stream or river flow

measurements. The department shall charge a fee sufficient to

reimburse the department for the cost of a program developed under

this subsection. The department may enter into a cooperative

agreement with the United States geological survey to provide

training and certification under this section.

     Sec. 32707. (1) Except as provided in subsections (2) and (3),

a person who is required to register under section 32705 or holds a

permit under section 32723 shall file a report annually with the

department on a form provided by the department. Reports shall be

submitted by April 1 of each year. Except as provided in subsection

(8), reports shall include the following information:

     (a) The amount and rate of water withdrawn on an annual and

monthly basis.

     (b) The source or sources of the water supply.

     (c) The use or uses of the water withdrawn.

     (d) The amount of consumptive use of water withdrawn.

     (e) If the source of the water withdrawn is groundwater, the

location of the well or wells in latitude and longitude, with the

accuracy of the reported location data to within 25 feet.

     (f) If the source of water withdrawn is groundwater, the

static water level of the aquifer or aquifers, if practicable.

     (g) Other information specified by rule of the department.

     (h) At the discretion of the registrant or permit holder, the

baseline capacity of the withdrawal and, if applicable, a

description of the system capacity. If the registrant or permit

holder chooses to report the baseline capacity under this

subdivision, that information shall be included in the next report

submitted by the registrant or permit holder after the effective

date of the amendatory act that added this subdivision. Information

reported under this subdivision needs only to be reported to the

department on 1 occasion.

     (i) At the discretion of the registrant or permit holder, the

amount of water returned to the source watershed.

     (j) Beginning in 2010, an acknowledgment that the registrant

has reviewed applicable environmentally sound and economically

feasible water conservation measures prepared under section 32708a.

     (2) If a person reports the information required by this

section to the department in conjunction with a permit or for any

other purpose, that reporting, upon approval of the department,

shall satisfy satisfies the reporting requirements of this section.

     (3) The owner of a farm who reports water use under section

32708 is not required to report under subsection (1).

     (4) The department may, upon request from a person required to

report under this section, accept a formula or model that provides

to the department's satisfaction the information required in

subsection (1).

     (5) The department shall develop forms for reporting under

this section that minimize paperwork and allow for a notification

to the department instead of a report if the annual amount of water

withdrawn by a person required to report under this section is

within 4% of the amount last reported and the other information

required in subsection (1) has not changed since the last year in

which a report was filed.

     (6) Information described in section 32701(c)(i)(C)

32701(d)(i)(B) that is provided to the department under subsection

(1)(h) is exempt from disclosure under the freedom of information

act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed

unless the department determines that the withdrawal is causing an

adverse resource impact.

     (7) Except as otherwise provided in this subsection, a person

who files an annual report or notification under this section shall

annually remit a water use reporting fee of $200.00 to the

department. Beginning when a water withdrawal assessment tool

becomes effective upon legislative enactment pursuant to the

recommendations of the groundwater conservation advisory council

under section 32803, a person who files an annual report or

notification under this section shall annually remit a water use

reporting fee of $100.00 to the department. Water use reporting

fees shall be remitted to the department in conjunction with the

annual report or notification submitted under this section. The

department shall transmit water use reporting fees collected under

this section to the state treasurer to be credited to the water use

protection fund created in section 32714. A water use reporting fee

is not required for a report or notification related to a farm that

reports withdrawals under section 32708 or for a report under

subsection (8).

     (8) A person who withdraws less than 1,500,000 gallons of

water in any year shall indicate this fact on the reporting form

and is not required to provide information under subsection (1)(a)

or (d). A person who withdraws less than 1,500,000 gallons of water

in any year is not required to pay the water use reporting fee

under subsection (7).

     Sec. 32708. (1) The owner of a farm that is registered under

this part who makes a withdrawal for an agricultural purpose,

including irrigation for an agricultural purpose, may report the

water use on the farm by annually submitting to the department of

agriculture a water use conservation plan. Conservation plans shall

be submitted by April 1 of each year. The water use conservation

plan shall include, but need not be limited to, all of the

following information:

     (a) The amount and rate of water withdrawn on an annual and

monthly basis in either gallons or acre inches.

     (b) The type of crop irrigated, if applicable.

     (c) The acreage of each irrigated crop, if applicable.

     (d) The source or sources of the water supply.

     (e) If the source of the water withdrawn is groundwater, the

location of the well or wells in latitude and longitude, with the

accuracy of the reported location data to within 25 feet.

     (f) If the water withdrawn is not used entirely for

irrigation, the use or uses of the water withdrawn.

     (g) If the source of water withdrawn is groundwater, the

static water level of the aquifer or aquifers, if practicable.

     (h) Applicable water conservation practices and an

implementation plan for those practices. Beginning in 2010, the

water use conservation plan shall include an acknowledgment that

the owner of the farm has reviewed applicable environmentally sound

and economically feasible water conservation measures prepared

under section 32708a.

     (i) At the discretion of the registrant, the baseline capacity

of the withdrawal based upon system capacity and a description of

the system capacity. If the registrant chooses to report the

baseline capacity under this subdivision, that information shall be

included in the next report submitted by the registrant after the

effective date of the amendatory act that added this subdivision.

Information reported under this subdivision needs only to be

reported to the department of agriculture on 1 occasion.

     (2) The department and the department of agriculture in

consultation with Michigan state university shall validate and use

a formula or model to estimate the consumptive use of withdrawals

made for agricultural purposes consistent with the objectives of

section 32707.

     (3) Subject to subsection (4), information provided to the

department of agriculture under subsection (1)(a), (d), and (e)

shall be forwarded to the department for inclusion in the statewide

groundwater inventory and map prepared under section 32802.

     (4) Information provided under subsection (1)(a), (e), and (i)

is exempt from disclosure under the freedom of information act,

1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by

the department, the department of agriculture, or the department of

natural resources unless the department determines that the

withdrawal is causing an adverse resource impact.

     Sec. 32708a. (1) Within 12 months after the effective date of

the amendatory act that added this section, each water user's

sector shall begin designing guidelines for generally accepted

water management practices or environmentally sound and

economically feasible water conservation measures within that

sector. Within 24 months after the effective date of the amendatory

act that added this section, the department shall review and report

to the appropriate standing committees of the legislature on

whether or not there are reasonably detailed criteria for assisting

a facility in determining whether water is being used in an

efficient manner. Such guidelines may be adopted by an established

statewide professional or trade association representing that

sector.

     (1) Not later than March 31, 2009, the department shall

prepare, based upon recommendations from representative trade

associations, a set of generic water conservation measures that are

applicable to all persons making large quantity withdrawals. The

department shall post these generic water conservation measures on

its website.

     (2) Subject to subsection (3), each water user's sector may

prepare and submit to the department water conservation measures

that are applicable for water users within its sector. Upon receipt

of water conservation measures from a water user's sector, the

department shall review the water conservation measures, and, if

the department determines that those water conservation measures

are appropriate for that sector, the department shall accept those

water conservation measures. Upon acceptance, the department shall

post the water conservation measures on its website and those water

conservation measures shall supersede the generic water

conservation measures prepared under subsection (1) for water users

within that sector. If the department determines that the water

conservation measures are not appropriate for the water user's

sector, the department shall provide comments to the water user's

sector and suggestions that would result in the department's

acceptance of the water conservation measures. A water user's

sector may resubmit water conservation measures in response to the

department's comments and suggestions.

     (3) Water conservation measures for agricultural purposes

shall be developed and approved by the commission of agriculture

and shall be updated annually as part of the process for review and

update of generally accepted agricultural and management practices

under the Michigan right to farm act, 1981 PA 93, MCL 286.471 to

286.474. Water conservation measures approved under this subsection

shall be posted on the department of agriculture's website and

shall be forwarded to the department for posting on its website.

     (4) By April 1, 2010, the department shall report to the

standing committees of the legislature with jurisdiction primarily

related to natural resources and the environment on the status of

the preparation and acceptance of water user sector conservation

measures.

     (5) If the department receives a registration for a zone C

withdrawal, the department shall notify all other registrants and

permit holders whose withdrawals are from the same water source as

the zone C withdrawal of the status of the water source. Upon

receipt of notification under this subsection, each of these

registrants and permit holders shall review and consider

implementing the applicable water conservation measures prepared

under this section.

     (6) (2) Compliance with generally accepted water management

practices or environmentally sound and economically feasible water

conservation measures does not authorize a water withdrawal that is

otherwise prohibited by law.

     (7) As used in this section:

     (a) "Permit holders" means persons holding a permit under

section 32723 and persons holding a permit under the safe drinking

water act, 1976 PA 399, MCL 325.1001 to 325.1023.

     (b) "Water conservation measures" means environmentally sound

and economically feasible water conservation measures.

     Sec. 32709. The department may contract for the preparation

and distribution of informational materials to persons who withdraw

water for irrigation or industrial purposes regarding the members

of the public related to any of the following:

     (a) The purposes, benefits, and requirements of this part. ,

and may also provide information

     (b) Information on complying with the registration program

requirement of this part and on any general or applicable methods

for calculating or estimating water withdrawals or consumptive

uses.

     Sec. 32710. (1) The department shall do all of the following:

     (a) Cooperate with the states and provinces in the Great Lakes

region to develop and maintain a common base of information on the

use and management of the water of the Great Lakes basin and to

establish systematic arrangements for the exchange of this

information.

     (b) Collect and maintain information regarding the locations,

types, and quantities of water use, including water withdrawals and

consumptive uses, in a form that the department determines is

comparable to the form used by other states and provinces in the

Great Lakes region.

     (c) Collect, maintain, and exchange information on current and

projected future water needs with the other states and provinces in

the Great Lakes region.

     (d) Cooperate with other states and provinces in the Great

Lakes region in developing a long-range plan for developing,

conserving, and managing the water of the Great Lakes basin.

     (e) Participate in the development of a regional consultation

procedure for use in exchanging information on the effects of

proposed water withdrawals and consumptive uses from the Great

Lakes basin.

     (f) Develop procedures for notifying water users and potential

water users of the requirements of this part.

     (g) If the department receives a registration for a zone B or

a zone C withdrawal or issues a permit under section 32723 or the

safe drinking water act, 1976 PA 399, MCL 325.1001 to 325.1023, for

a zone B or zone C withdrawal, place a notice on the department's

website and notify by electronic mail all of the following that

have requested under subsection (2) an electronic mail

notification:

     (i) Conservation districts.

     (ii) Regional planning agencies.

     (iii) Watershed management planning committees.

     (iv) Storm water committees established under part 31.

     (v) The chief elected officials of the local units of

government.

     (vi) Community supplies owned by political subdivisions.

     (vii) A water users committee established under section 32725.

     (2) An organization listed in subsection (1)(g) that wishes to

receive an electronic mail notification of withdrawals described in

subsection (1)(g) that are located in its vicinity shall provide to

the department an electronic mail address.

     (3) Upon receipt of notification from the department under

subsection (1)(g), the notified entities may form a water resources

assessment and education committee in order to assess trends in

water use in the vicinity of the withdrawal and educate water

users. The department shall assist in the formation of these water

resources assessment and education committees and may provide them

with technical information regarding water use and capacity within

their vicinity, aggregated at the stream reach level. Meetings of

water resources assessment and education committees shall be open

to the general public. A water resources assessment and education

committee formed under this subsection may provide educational

materials and recommendations regarding any of the following:

     (a) Long-term water resources planning.

     (b) Use of conservation measures.

     (c) Drought management activities.

     (d) Other topics related to water use as identified by the

committee.

Sec. 32721. (1) A person shall not make a new or increased

large quantity withdrawal from the waters of the state that causes

an adverse resource impact. to a designated trout stream.

     (2) Beginning 2 years after the effective date of the

amendatory act that added this section, a person shall not make a

new or increased large quantity withdrawal from the waters of the

state that causes an adverse resource impact.

(2) (3) This section does not apply to the baseline capacity

of a large quantity withdrawal or a well capable of making a large

quantity withdrawal that existed on the effective date of the

amendatory act that added this section February 28, 2006.

(3) (4) This section does not apply to a withdrawal that is

utilized solely for fire suppression.

     (4) A person who developed the capacity to make a new or

increased large quantity withdrawal on or after February 28, 2006

and prior to the effective date of the implementation of the

assessment tool under section 32706a or who received a

determination under former section 32724 during that period is

subject to the definition of adverse resource impact that existed

on February 28, 2006.

     Sec. 32722. (1) Until a water withdrawal assessment tool

becomes effective upon legislative enactment pursuant to the

recommendations of the groundwater conservation advisory council

under section 32803 For new or increased large quantity withdrawals

developed on or after February 28, 2006 and prior to the

implementation date of the assessment tool under section 32706a,

there is a rebuttable presumption that a new or increased large

quantity the withdrawal will not cause an adverse resource impact

in violation of section 32721 under either of the following

circumstances:

     (a) The location of the withdrawal is more than 1,320 feet

from the banks of a designated trout an affected stream reach.

     (b) The withdrawal depth of the well is at least 150 feet.

     (2) If the assessment tool determines that a withdrawal is a

zone A or a zone B withdrawal and is not likely to cause an adverse

resource impact, there is a rebuttable presumption that the

withdrawal under the conditions that were the basis for the

assessment tool's determination will not cause an adverse resource

impact in violation of section 32721.

     (3) If the department determines, based upon a site-specific

review, or in connection with a permit or approval issued under

section 32723 or the safe drinking water act, 1976 PA 399, MCL

325.1001 to 325.1023, that a withdrawal is not likely to cause an

adverse resource impact, there is a rebuttable presumption that the

withdrawal under the conditions that were the basis of the

department's determination will not cause an adverse resource

impact in violation of section 32721.

     (4) (2) A presumption under this section is not valid if the

capacity to make the withdrawal is not developed within 18 months

after the withdrawal is registered. A presumption under subsection

(1) this section may be rebutted by a preponderance of evidence

that a new or increased large quantity withdrawal from the waters

of the state has caused or is likely to cause an adverse resource

impact.

     Sec. 32723. (1) Except as provided in subsection (10) (13),

the following persons shall obtain a water withdrawal permit prior

to making the withdrawal:

     (a) A person who develops proposes to develop withdrawal

capacity to make a new withdrawal of over more than 2,000,000

gallons of water per day from the waters of the state , other than

the Great Lakes and their connecting waterways, to supply a common

distribution system.

     (b) A person who develops proposes to develop increased

withdrawal capacity beyond baseline capacity of more than 2,000,000

gallons of water per day from the waters of the state , other than

the Great Lakes and their connecting waterways, to supply a common

distribution system.

     (c) A person who develops withdrawal capacity to make a new

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

Great Lakes and their connecting waterways to supply a common

distribution system.

     (d) A person who develops increased withdrawal capacity beyond

baseline capacity of more than 5,000,000 gallons of water per day

from the Great Lakes and their connecting waterways to supply a

common distribution system.

     (c) A person who proposes to develop a new or increased

withdrawal capacity that will result in an intrabasin transfer of

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

     (2) A person shall apply for a water withdrawal permit under

this section by submitting an application to the department

containing the information described in section 32706 32706c(1)(a)

to (e) and an evaluation of existing hydrological and

hydrogeological conditions. If the applicant proposes to undertake

a preventative measure along with the withdrawal, the property

owner shall provide the department with a detailed description of

the preventative measure and relevant information as to how the

preventative measure will be implemented. In addition, until 5

years after the effective date of the amendatory act that added

this section, the applicant shall submit an application fee in the

amount of $2,000.00. The department shall transmit water use

reporting application fees collected under this section to the

state treasurer to be credited to the water use protection fund

created in section 32714. The department shall provide public

notice of all applications received under this section.

     (3) A permit An application submitted under subsection (2) is

considered to be administratively complete effective 30 days after

it is received by the department unless the department notifies the

applicant, in writing, during this 30-day period that the

application is not administratively complete or that the fee

required to be accompanied with the application has not been paid.

If the department determines that the application is not

administratively complete, the notification shall specify the

information necessary to make the application administratively

complete. If the department notifies the applicant as provided in

this subsection, the 30-day period is tolled until the applicant

submits to the department the specified information or fee.

     (4) The department shall provide public notification of its

receipt of applications under this section and shall provide a

public comment period of not less than 45 days before applications

are acted upon under subsection (5).

(5) (4) The department shall make a decision whether to grant

or deny a water withdrawal permit under this section within 120

days of receipt of an administratively complete application.

     (5) The department shall issue a permit under subsection

(1)(a) or (b) if the department determines that the withdrawal is

not likely to cause an adverse resource impact.

     (6) The department shall issue a water withdrawal permit under

subsection (1)(c) or (d) (1)(a) or (b) if all of the following

conditions are met:

     (a) All water withdrawn, less any consumptive use, is

returned, either naturally or after use, to the source watershed.

     (b) The withdrawal will be implemented so as to ensure that

the proposal will result in no individual or cumulative adverse

resource impacts. Cumulative adverse resource impacts under this

subdivision shall be evaluated by the department based upon

available information gathered by the department.

     (c) Subject to section 32726, the withdrawal will be

implemented so as to ensure that it is in compliance with all

applicable local, state, and federal laws as well as all legally

binding regional interstate and international agreements, including

the boundary waters treaty of 1909.

     (d) The proposed use is reasonable under common law principles

of water law in Michigan.

     (e) The For permit applications received on or after January

1, 2009, the applicant has considered voluntary generally accepted

water management practices or self-certified that he or she is in

compliance with environmentally sound and economically feasible

water conservation measures developed by the applicable water

user's sector under section 32708a or has self-certified that he or

she is in compliance with environmentally sound and economically

feasible water conservation measures developed for the water use

associated with that specific withdrawal.

     (f) The department determines that the proposed withdrawal

will not violate public or private rights and limitations imposed

by Michigan water law or other Michigan common law duties.

     (7) The department shall issue a water withdrawal permit under

subsection (1)(c) if the transfer complies with section 4.9 of the

compact.

     (8) In reviewing a proposed preventative measure, the

department shall consider the effect of the preventative measure on

preventing an adverse resource impact by diminishing the effect of

the withdrawal on stream or river flow or the temperature regime of

the stream or river. If the department approves a preventative

measure in conjunction with a water withdrawal permit under this

section, the department shall enter into a legally enforceable

implementation schedule for completion of the preventative measure.

     (9) A proposed use for which a water withdrawal permit is

issued under this section shall be considered to satisfy the

requirements of section 4.11 of the compact.

(10) (7) A permit issued under part 31 pursuant to 33 USC

1326(b) shall be considered sufficient to demonstrate that there

will not be an adverse resource impact under section 32721 and

satisfies the conditions for a water withdrawal permit under this

section. Upon receipt of a permit an application under this section

and evidence that the applicant holds a part 31 permit described in

this subsection, the department shall grant the applicant a water

withdrawal permit under this subsection.

(11) (8) The department may revoke a water withdrawal permit

issued under this section if the department determines following a

hearing, based upon clear and convincing scientific evidence, that

the withdrawal is causing an adverse resource impact.

(12) (9) A person who is aggrieved by a determination of the

department under this section related to a water withdrawal permit

may file a sworn petition with the department setting forth the

grounds and reasons for the complaint and asking for a contested

case hearing on the matter pursuant to the administrative

procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328. A

petition filed more than 60 days after action on the water

withdrawal permit may be rejected by the department as being

untimely. The department shall issue a final decision on a petition

for a contested case hearing within 6 months after receiving the

petition. A determination, action, or inaction by the department

following a contested case hearing is subject to judicial review as

provided in the administrative procedures act of 1969, 1969 PA 306,

MCL 24.201 to 24.328.

(13) (10) The following withdrawals are not required to obtain

a water withdrawal permit under this section:

     (a) A withdrawal by a community supply owned by a political

subdivision that holds a permit under the safe drinking water act,

1976 PA 399, MCL 325.1001 to 325.1023.

     (b) A person who makes seasonal Seasonal withdrawals of not

more than 2,000,000 gallons of water per day average in any

consecutive 90-day period to supply a common distribution system

unless the withdrawals result in a diversion.

     (c) A person engaged in producing withdrawal for the

production of bottled drinking water who receives approval approved

by the department under a water source review conducted under

section 17 of the safe drinking water act, 1976 PA 399, MCL

325.1017.

     (11) As used in this section:

     (a) "Great Lakes and their connecting waterways" means Lakes

Superior, Michigan, Huron, Erie, and Ontario and their connecting

waterways including the St. Marys river, Lake St. Clair, the St.

Clair river, and the Detroit river. For purposes of this section,

Lakes Huron and Michigan shall be considered a single Great Lake.

     (b) "Source watershed" means the watershed from which a

withdrawal originates. If water is withdrawn directly from a Great

Lake, then the source watershed shall be considered to be the

watershed of that Great Lake and its connecting waterways. If water

is withdrawn from the watershed of a stream that is a direct

tributary to a Great Lake, then the source watershed shall be

considered to be the watershed of that Great Lake, with a

preference for returning water to the direct tributary stream

watershed from which it was withdrawn.

     Sec. 32725. (1) All persons making large quantity withdrawals

within a watershed are encouraged to establish a water users

committee to evaluate the status of current water resources, water

use, and trends in water use within the watershed and to assist in

long-term water resources planning. A water users committee may be

composed of all registrants, water withdrawal permit holders, and

local government officials within the watershed. Upon establishment

of a water users committee, a participating local government

official may create an ad hoc subcommittee of residents of that

local unit of government to provide that local government official

with information and advice on water resources, water use, and

trends in water use within the local unit of government.

     (2) If the department authorizes a zone B withdrawal in a

cold-transitional river system or a zone C withdrawal, the

department shall notify all registrants, permit holders, and local

government officials within the watershed of the withdrawal and of

the authority under this section to establish a water users

committee and may provide them technical information regarding

water use and capacity within their vicinity aggregated at the

stream reach level.

(3) (2) If the department determines by reasonable

scientifically-based evidence that adverse resource impacts are

occurring or are likely to occur from 1 or more large quantity

withdrawals, the department shall notify the water users committee

in the watershed or shall convene a meeting of all registrants and

water withdrawal permit holders within the watershed and shall

attempt to facilitate an agreement on voluntary measures that would

prevent adverse resource impacts.

(4) (3) If, within 30 days after the department has notified

the water users committee or convened the meeting under subsection

(2) (3), the registrants and water withdrawal permit holders are

not able to voluntarily agree to measures that would prevent

adverse resource impacts, the department may propose a solution

that the department believes would equitably resolve the situation

and prevent adverse resource impacts. The recommended solution is

not binding on any of the parties.

(5) (4) The director may, without a prior hearing, order a

person holding a water withdrawal permit holders to immediately

restrict a withdrawal if the director determines by clear and

convincing scientific evidence that there is a substantial and

imminent threat that the withdrawal is causing or is likely to

cause an adverse resource impact. The order shall specify the date

on which the withdrawal must be restricted and the date on which it

may be resumed. An order issued under this section shall remain in

force and effect for not more than 30 days and may be renewed for

an additional 30 days if the director determines by clear and

convincing scientific evidence that conditions continue to pose a

substantial and imminent threat that the withdrawal is causing or

is likely to cause an adverse resource impact. The order shall

notify the person that the person may request a contested case

hearing under the administrative procedures act of 1969, 1969 PA

306, MCL 24.201 to 24.328. The hearing shall be held within 10

business days following the request, unless the permittee requests

a later date. As an alternative to requesting a contested case

hearing, a person subject to an order under this section may seek

judicial review of the order as provided in the revised judicature

act of 1961, 1961 PA 236, MCL 600.101 to 600.9947.

(6) (5) A registrant or water withdrawal permit holder may

submit a petition to the director alleging that adverse resource

impacts are occurring or are likely to occur from 1 or more water

withdrawals. The director shall either investigate the petition or

forward the petition to the director of the department of

agriculture if the water withdrawals are from an agricultural well.

The petition shall be in writing and shall include all the

information requested by the director or the director of the

department of agriculture, as appropriate.

(7) (6) A person who submits more than 2 unverified petitions

under this section within 1 year may be ordered by the director to

pay for the full costs of investigating any third or subsequent

unverified petition. As used in this subsection, "unverified

petition" means a petition in response to which the director

determines that there is not reasonable evidence to suspect adverse

resource impacts.

     (8) As used in this section, "permit holders" means persons

holding a permit under section 32723 and persons holding a permit

under the safe drinking water act, 1976 PA 399, MCL 325.1001 to

325.1023.

     Sec. 32727. (1) A withdrawal pursuant to part 111, 115, 201,

or 213 is The following withdrawals are exempt from the

requirements of this part . unless they result in a diversion:

     (a) A withdrawal undertaken as part of an activity authorized

by the department under part 111, 115, 201, 213, or 615.

     (b) A withdrawal undertaken as part of an activity authorized

by the United States environmental protection agency under either

of the following:

     (i) The comprehensive environmental response, compensation, and

liability act of 1980, Public Law 96-510.

     (ii) The resource conservation and recovery act of 1976, Public

Law 94-580.

     (c) A withdrawal that is undertaken for hydroelectric

generation at sites certified, licensed, or permitted by the

federal energy regulatory commission.

     (d) A hydroelectric facility authorized under section 12 of

chapter 264 of the act of March 3, 1909, commonly known as the

river and harbor act of 1909, 35 Stat. 821.

     (e) A hydroelectric facility authorized under section 1075(c)

of the intermodal surface transportation efficiency act of 1991,

Public Law 102-240.

     (f) A hydroelectric facility authorized under Public Law 85,

chapter 1368, 34 Stat. 102.

     (g) Removal of water from an artificially created surface

water body that has as its primary source of water either of the

following:

     (i) A withdrawal that is not a new or increased large quantity

withdrawal.

     (ii) A registered new or increased large quantity withdrawal

that has been determined by the assessment tool, a site-specific

review, or a permit issued under section 32723 to be a withdrawal

that is not likely to cause an adverse resource impact.

     (h) A withdrawal from a noncommercial well located on single-

family residential property not exceeding 4 units and not more than

3 acres in size. However, the exemption provided for in this

subdivision does not apply to lake augmentation wells.

     (2) The director of the department shall ensure that data in

the possession of the state related to withdrawals that are not

regulated under this part are compiled and shared with departmental

personnel responsible for implementing this part.

     Sec. 32728. (1) This part shall not be construed as affecting,

intending to affect, or in any way altering or interfering with

common law water rights or the applicability of other laws

providing for the protection of natural resources or the

environment or limit the right of a person whose interests have

been or will be adversely affected to institute proceedings in

circuit court against any person to protect such interests.

     (2) Except as specifically authorized under this part, this

part does not authorize the promulgation of rules.

     Sec. 32729. Except as specifically authorized under this part,

this part does not authorize the assessment of fees.

     Enacting section 1. Section 32724 of the natural resources and

environmental protection act, 1994 PA 451, MCL 324.32724, is

repealed.

     Enacting section 2. 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. 858.

     (e) Senate Bill No. 859.