The bill authorizes DNR to approve an intrabasin transfer (from the Lake
Superior watershed to the Lake Michigan watershed or vice versa) that would
average less than 100,000 GPD over 90 days if the proposal satisfies the
requirements under laws related to high capacity wells, the withdrawal of water
from streams, or the approval of plans for public water supply systems or, if none of
those laws apply, if the proposal satisfies the requirements set by DNR by rule, and,
if the water will be used for public water supply purposes, the proposal is consistent
with an approved water supply plan.
For a larger intrabasin transfer, the exception standard applies, except that the
transferred water is not required to be returned to the watershed from which it was
withdrawn (unless there is a very large new or increased water loss), and it must be
shown that there is no feasible, cost-effective, and environmentally sound
alternative for obtaining water in the watershed to which the water will be
transferred. If the water will be used for public water supply purposes, the proposal
must be consistent with an approved water supply plan.
Communities in straddling counties
The third exception to the prohibition on new or increased diversions is to
provide water to a community in a straddling county. A community in a straddling
county is a community no part of which is in the Great Lakes basin, but that is in a
county that is partly in the Great Lakes basin.
An interbasin transfer to a community in a straddling county is only allowed
under the bill if all of the following apply:
1. All of the water is used to supply water to the public.
2. The community does not have a water supply that is economically and
environmentally sustainable in the long term to meet reasonable demands.
3. The interbasin transfer satisfies the exception standard.
4. The proposal maximizes the amount of water that originated in the basin
that is returned to the basin and minimizes the amount of water that originated
outside of the basin that is returned to the basin.
5. There is no reasonable water supply alternative in the basin in which the
community is located.
6. The proposal is consistent with an approved water supply plan.
Exception standard
As explained above, some interbasin transfers that may be approved under the
bill (when the compact is not in effect) are subject to the exception standard. To
satisfy the exception standard, in addition to the requirements contained in the
exception standard in the compact (described above), the place at which the water
is returned to the Great Lakes basin must be as close as practicable to the place at
which the water is withdrawn, unless that would not be economically feasible,
environmentally sound, or in the interest of public health. Also, if the water is
returned through a stream tributary to Lake Michigan or Lake Superior, the
physical, chemical, and biological integrity of the stream must be protected and
sustained.
Statewide water supply planning for public water supply systems
The bill requires DNR to administer a water supply planning process for public
water supply systems statewide. A plan may cover a period of not more than 20
years. The bill requires a public water supply system that serves a population of
10,000 or more and that withdraws water from the waters of the state to be covered
by a plan approved by DNR no later than December 31, 2025, but public water supply
systems may obtain approval of plans before that date. The bill authorizes regional
planning commissions to prepare water supply plans for public water supply
systems.
The bill requires a person preparing a water supply plan to identify the sources
and quantities of water supplies in the area for which the plan is prepared and to
forecast the expected population of the area during the planning period and the
demand for water in the area during that period. The person must identify
alternatives for supplying water in the area and compare the costs and benefits of
the alternatives.
The bill prohibits DNR from approving a water supply plan unless the plan
provides for the water supply system that will minimize monetary costs and
environmental and other nonmonetary costs and maximize environmental benefits
during the planning period while complying with all other applicable legal
requirements. The bill also requires that a water supply plan be consistent with any
applicable local development plans or master plans and with areawide water quality
management plans (which, among other provisions, specify service areas for sewage
systems).
Statewide registration and reporting of withdrawals
The bill requires any person in this state who, three years after this bill becomes
law, has a water supply system with the capacity to make a withdrawal of water that
averages 100,000 GPD or more in a 30-day period (such as a high capacity well) to
register the withdrawal with DNR and provide information about the system and the
withdrawal. Any person who proposes to start a withdrawal with that capacity more
than three years after this bill becomes law must also register with DNR.
If a person who is required to register a withdrawal actually withdraws an
average of 100,000 GPD or more in any 30-day period, the person must annually
report to DNR information about the withdrawal, including the monthly volume of
water withdrawn.
Permitting of withdrawals in the Great Lakes basin
Permit requirement
This bill prohibits a person from making a withdrawal of water from the Great
Lakes basin that averages 100,000 GPD or more in any 30-day period unless the
withdrawal is covered by a general or individual water withdrawal permit. This
requirement takes effect seven years after the bill becomes law or on the compact's
effective date if that is earlier. The bill authorizes DNR to begin issuing permits
before the date on which permits are required for existing withdrawals.
Initial withdrawal amounts
Each withdrawal that is covered by a permit must have a withdrawal amount.
The withdrawal amount on the compact's effective date is the baseline for the
withdrawal and is used to determine when a withdrawal has increased by the
threshold amount that triggers certain requirements, as described below. The bill
requires DNR to determine initial withdrawal amounts for existing withdrawals.
Generally, the department estimates an initial withdrawal amount based on
the maximum capacity of the most restrictive part of an existing water supply
system. If DNR has issued an approval for the water supply system under another
statute and that approval contains a limit on the amount of water that may be
withdrawn, DNR provides an estimate equal to that limit.
After a person making a withdrawal receives an estimate from DNR, the person
may provide information to DNR relating to matters such as plans for expanding the
capacity of the water supply system and successful water conservation efforts by
persons using the water that is withdrawn. DNR determines an initial withdrawal
amount for a withdrawal based on the estimate and its evaluation of any relevant
information provided by the person making the withdrawal.
For a public water supply system that has approval under current law to
transfer water from the Great lakes basin to supply water to the public in an area
outside of the basin and that has approval to return the wastewater that results from
the use of that water to the Great Lakes basin through its sewage system, the initial
withdrawal amount is the amount of water necessary to provide water for public
water supply purposes in the sewer service area for that sewage system specified in
the areawide water quality management plan approved by DNR before December 31,
2007.
General permits
This bill requires DNR to issue one or more general permits to cover
withdrawals from the Great Lakes basin that average 100,000 GPD or more in any
30-day period but that do not equal 1,000,000 GPD for any 30 consecutive days. A
general permit covers numerous withdrawals with similar characteristics, as
specified by DNR. DNR is required to include requirements for reporting, metering,
surveillance, and water conservation in a general permit, in accordance with rules
that DNR promulgates. A general permit has a 10-year term.
The bill requires DNR to automatically issue a notice of coverage under a
general permit to every person who makes a withdrawal from the Great Lakes basin
that averages 100,000 GPD or more in any 30-day period but that does not equal
1,000,000 GPD for any 30 consecutive days and who complies with the registration
and reporting requirements in the bill before the date on which the permit
requirement applies. In the automatic notice of coverage, DNR specifies a
withdrawal amount equal to the initial withdrawal amount determined as described
above.
A person who proposes to begin a withdrawal, after the date on which the
permit requirement applies but before the compact takes effect, that averages
100,000 GPD or more in any 30-day period but that does not equal 1,000,000 GPD
for any 30 consecutive days must apply to DNR for coverage under a general permit.
Generally, if DNR determines that the withdrawal qualifies for coverage under a
general permit and DNR has issued any approvals that are required under other
laws for the withdrawal, such as high capacity well approvals or approvals for any
structures on the bed of a navigable water that are needed for the withdrawal, DNR
must issue a notice of coverage under the general permit. In the notice, DNR
specifies a withdrawal amount equal to the lesser of the capacity of the most
restrictive component that will be used in the water supply system or any limit on
the amount of water that may be withdrawn specified in other approvals needed for
the withdrawal.
If the withdrawal is for the purpose of providing water to a public water supply
system that is covered by an approved water supply plan, the requirement for
previous issuance of other approvals that are needed for the withdrawal does not
apply, but DNR may not issue a notice of coverage unless the withdrawal is
consistent with the water supply plan. For such a withdrawal, DNR specifies a
withdrawal amount equal to the withdrawal amount in the water supply plan. The
withdrawal amount in a water supply plan is generally the amount that DNR
determines is needed to provide a public water supply in accordance with the plan
during the period covered by the plan.
The bill authorizes DNR to require a person who would otherwise qualify for
coverage under a general permit to obtain an individual permit in certain situations,
including when it is necessary to protect public health or safety or to ensure the
proper management of the waters of the state.
If a person making a withdrawal that is covered by a general permit proposes
to increase the amount of the withdraw over the withdrawal amount specified by
DNR, but does not propose to withdraw at least 1,000,000 GPD for any 30 consecutive
days, the person must apply to DNR for modification of the withdrawal amount. The
conditions for increasing the withdrawal amount are the same as the conditions for
granting coverage under a general permit.
Coverage under a general permit ends on the date that the term of the general
permit ends. A person who intends to continue a withdrawal covered by a general
permit must apply for redetermination of coverage under a new general permit at
least 180 days before the end of the term of the current general permit.
Individual permits
The bill requires a person who makes a withdrawal from the Great Lakes basin
that equals at least 1,000,000 GPD for any 30 consecutive days to have an individual
permit. DNR must include in an individual permit a withdrawal amount, and, in
accordance with rules promulgated by DNR, requirements for reporting, metering,
surveillance, and water conservation and limits on the locations, dates, and seasons
of the withdrawal and on the allowable uses of the water.
The bill requires DNR to automatically issue an individual permit to every
person who makes a withdrawal from the Great Lakes basin that equals 1,000,000
GPD for any 30 consecutive days and who complies with the registration and
reporting requirements in the bill before the date on which the permit requirement
applies. In the permit, DNR specifies a withdrawal amount equal to the initial
withdrawal amount determined as described above.
A person who proposes to begin a withdrawal, after the date on which the
permit requirement applies, that equals 1,000,000 GPD for any 30 consecutive days
must apply to DNR for an individual permit. Generally, if DNR has issued any
approvals that are required under other laws for the withdrawal, such as high
capacity well approvals or approvals for any structures on the bed of a navigable
water that are needed for the withdrawal, DNR must issue an individual permit. In
the permit, DNR specifies a withdrawal amount equal to the lesser of the capacity
of the most restrictive component that will be used in the water supply system or any
limit on the amount of water that may be withdrawn specified in other approvals
needed for the withdrawal.
If the withdrawal is for the purpose of providing water to a public water supply
system that is covered by an approved water supply plan, the requirement for
previous issuance of other approvals that are needed for the withdrawal does not
apply, but DNR may not issue a permit unless the withdrawal is consistent with the
water supply plan. For such a withdrawal, DNR specifies a withdrawal amount
equal to the withdrawal amount in the water supply plan.
If a person with an individual permit proposes to increase the amount of the
withdrawal over the withdrawal amount in the permit, the person must apply to
DNR for modification of the permit to increase the withdrawal amount. The
conditions for increasing the withdrawal amount are the same as the conditions for
issuing the individual permit.
An individual permit has a ten-year term. A person who intends to continue a
withdrawal covered by an individual permit must apply for reissuance of the permit
at least 180 days before the end of the current permit term.
An individual permit is not transferable.
Statewide water conservation
The bill requires DNR to specify water conservation and efficiency goals for all
of the waters of this state. The bill also requires DNR to develop and implement a
statewide water conservation and efficiency program that includes the promotion of
environmentally sound and economically feasible water conservation measures.
DNR must consult with the Department of Commerce and the Public Service
Commission in specifying the goals and objectives and in developing and
implementing the program.
The bill also requires DNR to promulgate rules specifying water conservation
and efficiency measures for withdrawals required to be covered by general or
individual permits. In the rules, DNR may not require retrofitting of existing
fixtures, appliances, or equipment.
Provisions that take effect After the compact takes
effect
Regulation of diversions
Approval required
Under this bill, no person may make a diversion without an approval from
DNR. An interbasin transfer approval issued by DNR before the compact takes effect
continues to be valid after the compact takes effect, but if the amount of the
interbasin transfer (called a diversion in this part of the bill) is increased over the
interbasin transfer amount in the approval, the postcompact provisions related to
diversions, described below, apply.
This bill does not treat a proposal to remove water from the basin in containers
of 5.7 gallons or less (bottled water) as a diversion. The provisions relating to
withdrawals, described below, apply to such a proposal.
New and increased diversions
The general prohibition on new diversions and on increases in existing
diversions and the three exceptions to the prohibition continue to apply after the
compact takes effect. The precompact standards for approval for new and existing
diversions continue to apply, but for some diversions new requirements also apply,
as described below.
Straddling communities
In addition to the requirements that apply before the compact takes effect, a
proposal for a diversion to a straddling community that results in a very large new
or increased water loss to the Great Lakes basin must be reviewed by the regional
body before DNR decides whether to approve the proposal.
Intrabasin transfers
In addition to the requirements that apply before the compact takes effect, a
proposal for an intrabasin transfer that results in a very large new or increased water
loss to the Great Lakes basin must be reviewed by the regional body and DNR may
not approve the proposal unless the council approves the proposal with no
disapproving votes.
Communities in straddling counties
In addition to the requirements that apply before the compact takes effect, a
proposal for a diversion to a community in a straddling county must be reviewed by
the regional body and DNR may not approve the proposal unless the council approves
the proposal with no disapproving votes.
Water supply planning
The statewide water supply planning provisions described above continue in
effect, but, for some public water supply systems that withdraw water from the Great
Lakes basin, new requirements are added.
Once the compact takes effect, DNR may not approve a water supply plan that
covers a water supply system serving a population of more than 10,000 if the plan
provides for a new withdrawal from the basin, or for the increase in an existing
withdrawal from the basin, that exceeds the threshold for application of one or more
of the decision-making standards, as described below, unless DNR determines that
the new withdrawal or increase in the existing withdrawal meets the applicable
decision-making standards. In other words, for withdrawals by a public water
supply system serving a population of more than 10,000, the decision-making
standards are applied through the water supply planning process instead of through
the withdrawal permitting process.
Statewide registration and reporting of withdrawals
The statewide requirement for registration and reporting of withdrawals,
described above, continues after the compact takes effect.
Permitting of withdrawals in the Great lakes basin
Permit requirement
The permitting requirement for a withdrawal of water from the Great Lakes
basin that averages 100,000 GPD or more in any 30-day period continues after the
compact takes effect. A notice of coverage under a general permit or an individual
permit issued before the compact takes effect continues to be valid, but postcompact
decision-making standards apply to withdrawals that are proposed to be increased
by one of the threshold amounts, as described below.
General permits
The provisions relating to coverage under a general permit generally do not
change after the compact takes effect. However, after the compact takes effect, DNR
may not issue a notice of coverage under a general permit for a withdrawal for the
purpose of providing water to a public water supply system that serves a population
of more than 10,000 unless the withdrawal is covered by an approved water supply
plan.
Individual permits
The process for issuing and modifying individual water supply permits does not
generally change when the compact takes effect.
After the compact takes effect, the bill conditions the issuance of an individual
permit for a new withdrawal that equals at least 1,000,000 GPD, but less than
10,000,000 GPD, for any 30 consecutive days on compliance with the state
decision-making standard, described below. The bill conditions the issuance of an
individual permit for a new withdrawal that equals at least 10,000,000 GPD for any
30 consecutive days on compliance with the compact decision-making standard. In
addition, if a new withdrawal that is subject to the state or compact decision-making
standard results in a water loss that averages more than 2,000,000 GPD in any
30-day period, it is subject to the consumptive use decision-making standard.
If a person proposes to increase the amount of a withdrawal that is covered by
a water supply permit so that it equals at least 1,000,000 GPD, but not 10,000,000
GPD, for any 30 consecutive days over the withdrawal amount for the withdrawal
as of the beginning of the current permit term, the compact's effective date, or the last
date on which the state or compact decision-making standard was applied to an
increase in the withdrawal, whichever is latest, approval of the increase is
conditioned on compliance with the state decision-making standard. If a person
proposes to increase the amount of a withdrawal that is covered by a water supply
permit so that it equals at least 10,000,000 GPD for any 30 consecutive days over the
withdrawal amount for the withdrawal as of the beginning of the current permit
term, the compact's effective date, or the last date on which the compact
decision-making standard was applied to an increase in the withdrawal, whichever
is latest, approval of the increase is conditioned on compliance with the compact
decision-making standard. In addition, generally, if the state or compact
decision-making standard applies to a proposed increase in a withdrawal and the
water loss from the proposed increase, plus other increases since the beginning of the
permit term, averages more than 2,000,000 GPD in any 30-day period, the increase
in the withdrawal is subject to the consumptive use decision-making standard.
If a proposal will result in a new water loss or an increase in water loss that
averages 5,000,000 gallons or more in any 90-day period, DNR is required to provide
notice of the proposal to the other states and to Ontario and Quebec. Also, if a
majority of the members of the regional body request regional review of a regionally
significant or potentially precedent setting proposal, the proposal must be reviewed
by the regional body before DNR decides whether to approve the proposal.
State decision-making standard
A proposal meets the state decision-making standard if it satisfies several
criteria, including the following:
1. The amount of the withdrawal is needed to meet the projected needs of the
persons who will use the water.
2. Cost-effective conservation practices will be implemented to ensure efficient
use of the water.
3. One of the following applies:
a. The withdrawal will cause no significant adverse environmental impacts to
the waters of the state.
b. If the withdrawal is from a surface water body, the withdrawal will not result
in the violation of water quality standards or impair fish populations.
c. DNR has issued an approval for the withdrawal under laws related to high
capacity wells, the withdrawal of water from streams, or the placement of structures
in navigable waters.
DNR may by rule add to the state decision-making standard other criteria that
it determines are necessary.
Compact decision-making standard
What the bill calls the compact decision-making standard is very similar to the
decision-making standard in the compact itself. A proposal meets the compact
decision-making standard if it satisfies several criteria, including the following:
1. The withdrawal will not result in significant adverse impacts to the quantity
or quality of the waters of the Great Lakes basin, to related natural resources, or, if
the withdrawal is from a stream tributary to one of the Great Lakes, to the watershed
of that stream.
2. Environmentally sound and economically feasible water conservation
measures will be used in implementing the withdrawal.
3. The proposed use of the water is reasonable, based on a consideration of
factors specified in the bill.
