HOUSE BILL No. 5068

 

July 25, 2007, Introduced by Reps. Coulouris, Sak, LeBlanc, Vagnozzi, Wojno, Bieda, Alma Smith, Byrnes, Accavitti, Kathleen Law, Polidori, Constan, Robert Jones, Clack, Bauer, Simpson, Donigan, Valentine, Warren, Meadows, McDowell, Miller, Young, Melton, Brown, Hammel, Espinoza, Lemmons, Meisner, Sheltrown, Hammon, Tobocman, Corriveau, Farrah, Cushingberry, Jackson, Johnson, Brandenburg and Dean and referred to the Committee on Great Lakes and Environment.

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

by amending sections 32721 and 32723 (MCL 324.32721 and 324.32723),

 

as added by 2006 PA 33.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     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 February 28, 2008, a person

 

shall not make a new or increased large quantity withdrawal from

 

the waters of the state that causes an adverse resource impact.

 

     (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 highest annual amount of

 

water withdrawn as reported under this part for calendar year 2002,

 

2003, 2004, 2005, or 2006.

 

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

 

utilized solely for fire suppression.

 

     Sec. 32723. (1) Except as provided in subsection (10), 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 2,000,000 1,000,000

 

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

 

1,000,000 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 proposes to develop withdrawal

 

capacity to make a new withdrawal of more than 5,000,000 2,000,000

 

gallons of water per day from the Great Lakes and their connecting

 

waterways. to supply a common distribution system.

 

     (d) A person who develops proposes to develop increased

 

withdrawal capacity beyond baseline capacity of more than 5,000,000

 

2,000,000 gallons of water per day from the Great Lakes and their


 

connecting waterways. to supply a common distribution system.

 

     (e) A person who proposes to develop withdrawal capacity to

 

make a new or increased large quantity withdrawal that would result

 

in more than a 5% reduction in flow in a stream reach.

 

     (f) A person who proposes to develop withdrawal capacity to

 

make a new or increased large quantity withdrawal from an area

 

designated as a sensitive water resource under section 32722(7) as

 

required by the department.

 

     (g) A person who proposes to develop capacity to make a new or

 

increased large quantity withdrawal that the water withdrawal

 

assessment tool indicates is likely to cause an adverse resource

 

impact.

 

     (2) A person shall apply for a permit under this section by

 

submitting an application to the department containing the

 

information described in section 32706. In addition, until 5 years

 

after the effective date of the amendatory act that added this

 

section, the applicant shall submit an all of the following:

 

     (a) A complete hydrogeological study and assessment of water

 

source, natural features, and soils affected by the withdrawal.

 

     (b) An assessment of the withdrawal's effects on flows and

 

levels of groundwater, springs, lakes and streams, and wetlands, or

 

nearby wells. The assessment shall incorporate sufficient baseline

 

stage and flow data, pump tests of at least 7 days in duration,

 

pumping rates, precipitation, and recharge input and output data.

 

However, the pump tests shall be continued for a longer period of

 

time if the data are insufficient to calculate or predict effects

 

at the new steady state based on projected pumping.


 

     (c) An application fee in the amount of $2,000.00 $2,500.00.

 

     (3) 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. The

 

department shall provide public notice of all applications received

 

under this section.

 

     (4) (3) A permit application 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.

 

     (5) (4) Within 14 days after the department determines that an

 

application received under this section is administratively

 

complete, the department shall provide public notice of the

 

application. Before making the determination whether or not to

 

issue a permit under this section, the department shall provide a

 

public comment period of at least 60 days. The department shall

 

make a decision whether to grant or deny a permit under this

 

section within 120 180 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 permit under subsection

 

(1)(c) or (d) 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 applicant has considered voluntary generally accepted

 

water management practices or environmentally sound and

 

economically feasible water conservation measures.

 

     (6) If the department determines that authorizing the proposed

 

withdrawal for a lawful use is consistent with the duty of the

 

state as trustee for the waters of the state and that the proposed

 

withdrawal is in the public interest, and that the proposed

 

withdrawal is in compliance with the requirements of this part, the


 

department shall issue a permit under this section.

 

     (7) The department shall not authorize a proposed withdrawal

 

as consistent with the duty of the state as trustee for the waters

 

of the state and in the public interest under subsection (6) unless

 

it determines, at a minimum, that the proposed use of the

 

withdrawal will include environmentally sound and economically

 

feasible water conservation measures.

 

     (8) The department shall not authorize a proposed withdrawal

 

as consistent with the state’s duty as trustee for the waters of

 

the state and in the public interest if it determines any of the

 

following:

 

     (a) The proposed withdrawal will cause individual or

 

cumulative adverse resource impacts or otherwise result in an

 

impairment or unacceptable disruption to aquatic resources.

 

Cumulative adverse resource impacts under this subdivision shall be

 

evaluated by the department based upon available information

 

gathered by the department.

 

     (b) The proposed withdrawal will adversely affect or interfere

 

with riparian rights or the public trust in any groundwater or

 

surface waters from which or into which the water to be withdrawn

 

would otherwise flow.

 

     (c) The proposed withdrawal will interfere with the property

 

rights of another person to lawful use of water.

 

     (d) The proposed withdrawal does not comply with other

 

applicable law.

 

     (9) In otherwise determining whether the proposed withdrawal

 

is in the public interest, the department shall consider, at a


 

minimum, all of the following:

 

     (a) Whether or not the water withdrawn will be used within the

 

watershed from which it is withdrawn.

 

     (b) The impact of the withdrawal on other uses of the

 

groundwater or surface waters from which or into which the water to

 

be withdrawn would otherwise flow, including uses for recreation,

 

fish and wildlife, aesthetics, local government, agriculture,

 

commerce, and industry.

 

     (c) The impact of the withdrawal on water quality.

 

     (d) Whether the proposed withdrawal or use will prevent or

 

minimize waste of water.

 

     (e) Whether the proposed withdrawal will impair the physical

 

character of a stream, including materially diminishing the flow,

 

level, or width of a lake or stream.

 

     (10) A determination under subsection (6) does not limit the

 

right of a person whose interests have been or will be adversely

 

affected to institute proceedings in any circuit court against any

 

person to protect such interests.

 

     (11) The department may impose conditions on a permit issued

 

under this section as necessary to ensure that the requirements of

 

this part are met. These conditions may include, but are not

 

limited to, requiring a permittee to gauge and report the flow of a

 

stream reach and requiring a reduction of a withdrawal if stream

 

flow falls below levels specified in the permit.

 

     (12) (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 permit under this section. Upon

 

receipt of a permit application and evidence that the applicant

 

holds a part 31 permit described in this subsection, the department

 

shall grant the applicant a permit under this subsection. However,

 

the department shall determine whether all other requirements of

 

this section have been met prior to issuing a permit to such a

 

facility.

 

     (13) A permit issued under this section shall be valid for not

 

more than 5 years. For permit reissuance, the department shall

 

establish a streamlined permit renewal process that allows a permit

 

holder to demonstrate that there has been no significant change in

 

the conditions on which the previous permit approval was based.

 

     (14) (8) The department may revoke a permit issued under this

 

section if the department determines following a hearing, based

 

upon clear and convincing scientific a preponderance of the

 

evidence, that the withdrawal is causing an adverse resource

 

impact.

 

     (15) (9) A An interested person who is aggrieved by a

 

determination of the department under this section related to a

 

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 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.

 

     (16) (10) The following are not required to obtain a permit

 

under this section:

 

     (a) 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, is not required to obtain a permit under this

 

section.

 

     (b) A person who makes 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.

 

     (b) (c) A person engaged in producing bottled drinking water

 

who receives approval by the department under a water source review

 

conducted under section 17 of the safe drinking water act, 1976 PA

 

399, MCL 325.1017.

 

     (17) (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.

 

     Enacting section 1. This amendatory act does not take effect

 

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

 

enacted into law:

 

     (a) Senate Bill No.____ or House Bill No. 5073(request no.

 

00453'07 *).

 

     (b) Senate Bill No.____ or House Bill No. 5065(request no.

 

02361'07).

 

     (c) Senate Bill No.____ or House Bill No. 5066(request no.

 

02362'07).

 

     (d) Senate Bill No.____ or House Bill No. 5067(request no.

 

02363'07).

 

     (e) Senate Bill No.____ or House Bill No. 5069(request no.

 

02365'07).

 

     (f) Senate Bill No.____ or House Bill No. 5070(request no.

 

02366'07).

 

     (g) Senate Bill No.____ or House Bill No. 5071(request no.

 

02367'07).

 

     (h) Senate Bill No.____ or House Bill No. 5072(request no.

 

02368'07).