HOUSE BILL No. 6577

 

September 20, 2006, Introduced by Reps. Pastor, Sheen, Palmer, Gosselin, Acciavatti, Marleau, LaJoy, Moore, Moolenaar, Brandenburg, Shaffer, Amos, Elsenheimer, Booher, Casperson, Gillard, Baxter, Huizenga, Stakoe, Hoogendyk, Pavlov, Hune, Taub, Stahl and Vander Veen and referred to the Committee on Natural Resources, Great Lakes, Land Use, and Environment.

 

     A bill to amend 1976 PA 399, entitled

 

"Safe drinking water act,"

 

by amending sections 4 and 21 (MCL 325.1004 and 325.1021), section

 

4 as amended by 2006 PA 37, and by adding section 4a.

 

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). 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 (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 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.

 

     (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 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.

 

     (4) 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) of the natural

 

resources and environmental protection act, 1994 PA 451, MCL

 

324.32723, unless 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.

 

     (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. A supplier may request an expedited

 

permit application review as provided in section 4a.

 

     (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.

 

     (7) A person shall obtain written approval from the department


 

for all modifications to a waterworks system except for a minor

 

modification. The department may verbally approve minor

 

modifications of a construction permit issued by the department

 

because 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 person 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 person 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.

 

     (8) If a person seeks confirmation of the department's verbal

 

approval of a minor modification under subsection (7), the person

 

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.

 

     Sec. 4a. (1) An expedited permit application review process is

 

available from October 1, 2006 through September 30, 2009 for

 

projects described in subsection (6). A supplier planning to

 

request an expedited permit application review shall notify the

 

department electronically, in accordance with the instructions

 

provided on the department's website, at least 2 weeks prior to


 

submitting a request for an expedited permit application review.

 

The supplier shall submit the request for an expedited permit

 

application review electronically and shall include the appropriate

 

fee as provided in subsection (2). Credit card payment of the

 

appropriate fee is required with the electronic filing of the

 

application. The supplier shall submit a written copy of the

 

construction plans and specifications for the project to the

 

department postmarked no later than the date that the application

 

was submitted electronically.

 

     (2) The expedited permit application review fee shall be as

 

follows:

 

     (a) Water main projects with total lengths less than 1,000

 

feet, $1,000.00.

 

     (b) Water main projects with total lengths greater than or

 

equal to 1,000 feet and less than 3,000 feet, $1,500.00.

 

     (c) Water main projects of total length greater than 3,000

 

feet and less than or equal to 10,000 feet, $2,000.00.

 

     (3) Except as otherwise provided in subsection (5), if an

 

applicant does not submit a complete application and the

 

appropriate fee under subsection (2), or if the notification

 

required in subsection (1) is not made, the department shall not

 

conduct an expedited review and the fee shall not be refunded.

 

Within 10 business days of receipt of the application, the

 

department shall notify the supplier of the reasons why the

 

application will not be expedited. The supplier may correct the

 

deficiencies and submit a new request for an expedited permit

 

application review with the appropriate fee in accordance with this


 

section. The department shall not reject a resubmitted application

 

solely because the department failed to identify the deficiencies

 

in the original application.

 

     (4) For a second submission of an application that originally

 

failed to meet the requirements specified in subsection (3), the

 

applicant shall include a fee equal to 10% of the fee specified in

 

subsection (2). If the applicant makes additional changes other

 

than those items identified by the department as being deficient,

 

the applicant shall include the fee specified in subsection (2).

 

For each subsequent submittal of an application that fails to meet

 

the requirements specified in subsection (3), the applicant shall

 

include the fee specified in subsection (2).

 

     (5) If an applicant fails to provide a complete application or

 

the appropriate fee required under this section, the department

 

shall notify the applicant within 5 business days. The application

 

shall not be processed until the deficient items are addressed. If

 

the applicant does not provide the deficient items within 5

 

business days after notification by the department, the application

 

shall be handled as provided in subsection (3). The fee for an

 

expedited review required under this section shall be refunded if

 

the department fails to meet the deadlines established in

 

subsection (7).

 

     (6) A request for an expedited permit application review is

 

limited to projects which consist solely of installation of new

 

water mains of less than or equal to 10,000 feet located in a

 

county with a population of between 750,000 and 1,000,000 and any

 

contiguous county with a population of greater than 160,000.


 

Expedited permit application reviews are not allowed for other

 

projects requiring a permit under this act including, but not

 

limited to, projects involving water treatment processes, ground or

 

elevated storage tanks, chemical feed systems, wells, booster

 

stations, pumps, new proposed waterworks systems subject to a

 

capacity assessment, or projects funded under the state drinking

 

water revolving fund established under section 16b of the shared

 

credit rating act, 1985 PA 227, MCL 141.1066b.

 

     (7) The department shall review and make a decision on a

 

complete application submitted in accordance with a request for

 

expedited permit application review pursuant to the following

 

schedule:

 

     (a) From October 1, 2006 through September 30, 2007, the

 

department shall make a permit decision within 20 business days of

 

receipt by the department of the complete application, including

 

plans and specifications.

 

     (b) From October 1, 2007 through September 30, 2008, the

 

department shall make a permit decision within 15 business days of

 

receipt by the department of the complete application, including

 

plans and specifications.

 

     (c) From October 1, 2008 through September 30, 2009, the

 

department shall make a permit decision within 10 business days of

 

receipt by the department of the complete application, including

 

plans and specifications.

 

     (8) If the department fails to meet the deadlines specified in

 

subsection (7), the department shall continue to expedite the

 

application review process for an application submitted under this


 

section.

 

     (9) Expedited permit application review fees shall be

 

deposited into the infrastructure construction fund created in

 

section 4113 of the natural resources and environmental protection

 

act, 1994 PA 451, MCL 324.4113.

 

     (10) As used in this section:

 

     (a) "Complete application" means the application form provided

 

by the department is completed, all requested information is

 

provided, the submitted construction plans and specifications are

 

prepared and sealed by a professional engineer licensed under

 

article 20 of the occupational code, 1980 PA 299, MCL 339.2001 to

 

339.2014, and the application and construction plans and

 

specifications can be processed for issuance of the permit without

 

additional information. The department may consider an application

 

with minor design issues complete on condition that those issues

 

are corrected.

 

     (b) "Project" means a plan or proposal to install new water

 

mains within a waterworks system located in 1 general area where

 

all the components are interconnected but does not include a

 

waterworks system proposed for construction in separate parcels of

 

land or development areas.

 

     Sec. 21. (1) A person who knowingly violates this act or the

 

rules promulgated  hereunder  under this act or an order issued

 

pursuant to this act is guilty of a misdemeanor  and shall be

 

punished  punishable by a fine of not more than $5,000.00 for each

 

day of violation, or by imprisonment for not more than 1 year, or

 

both.


 

     (2) A law enforcement officer may issue and serve an

 

appearance ticket upon a person for a minor offense pursuant to

 

sections 9a and 9g of chapter IV of the code of criminal procedure,

 

1927 PA 175, MCL 764.9a and 764.9g.

 

     (3) As used in this section, "minor offense" means a violation

 

of a permit issued under this act that does not functionally impair

 

the operation or capacity of a waterworks system or the level of

 

public health protection it provides.

 

     Enacting section 1. This amendatory act does not take effect

 

unless Senate Bill No.____ or House Bill No.____ (request no.

 

07161'06) of the 93rd Legislature is enacted into law.