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RMH S01435'25_SB0951_INTR_1 in9q7e
SENATE BILL NO. 951
A bill to amend 1976 PA 399, entitled
"Safe drinking water act,"
by amending sections 4 and 17 (MCL 325.1004 and 325.1017), section
4 as amended by 2008 PA 187 and section 17 as amended by 2008 PA
188, and by adding section 17a.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 4. (1) A supplier of water shall file with the department 1
the plans and specifications of the entire for any proposed 2
waterworks system that will be owned or operated by the supplier , 3
May 07, 2026, Introduced by Senator SINGH and referred to Committee on Natural Resources
and Agriculture.
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unless the department determines that its existing records are 1
adequate. and be issued a construction permit by the department in 2
accordance with this section. A supplier of water shall provide a 3
general plan of the waterworks system for each public water supply 4
shall be provided to the department by a supplier of water and 5
shall be updated update the general plan as determined necessary by 6
the department. 7
(2) Upon On receipt of the plans and specifications for a 8
proposed waterworks system under subsection (1), the department 9
shall evaluate the adequacy of the proposed system to protect the 10
public health by supplying and supply water meeting that meets the 11
state drinking water standards. and, if If applicable, the 12
department shall evaluate the impact of the proposed system as 13
provided in subsections (3) and (4). In addition, for a proposed 14
waterworks system by a community supply that will provide capacity 15
for a new or increased large quantity withdrawal, the department 16
shall utilize the assessment tool to evaluate the proposed 17
withdrawal associated with the proposed waterworks system and shall 18
confirm the assessment tool's determination. Prior to Before the 19
implementation of the assessment tool under section 32706a of the 20
natural resources and environmental protection act, 1994 PA 451, 21
MCL 324.32706a, the department shall evaluate the proposed 22
withdrawal based upon on reasonably available information. If the 23
department determines that the proposed withdrawal for a community 24
supply is a zone C withdrawal, the community supply shall certify 25
that it is implementing applicable environmentally sound and 26
economically feasible water conservation measures prepared under 27
section 32708a of the natural resources and environmental 28
protection act, 1994 PA 451, MCL 324.32708a, that the community 29
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supply considers to be reasonable, or the community supply shall 1
certify that it is implementing environmentally sound and 2
economically feasible water conservation measures developed for the 3
water use associated with that specific withdrawal that the 4
community supply considers to be reasonable. The department shall 5
also conduct a capacity assessment for a proposed community supply 6
or nontransient noncommunity water supply and determine if the 7
system has the technical, financial, and managerial capacity to 8
meet all the requirements of this act and the rules promulgated 9
under this act, on the date of commencement of operations commence. 10
If upon on evaluation the department determines the plans and 11
specifications to be are inadequate or the capacity assessment 12
shows the system to be is inadequate, the department may return the 13
plans and specifications to the applicant and require additions or 14
modifications as may be the department determines is appropriate. 15
The department may reject plans and specifications for a waterworks 16
system that will not satisfactorily provide for the protection of 17
the public health or, if applicable, will not meet the standards 18
provided in subsection (4). The department may deny a permit for 19
construction of a proposed community supply or a nontransient 20
noncommunity water supply if the capacity assessment shows that the 21
proposed system does not have adequate technical, financial, or 22
managerial capacity to meet the requirements of this act and the 23
rules promulgated under this act. 24
(3) The department shall evaluate the impact of a proposed 25
waterworks system for a community supply that will do any of the 26
following: 27
(a) Provide new total designed withdrawal capacity of more 28
than 2,000,000 gallons of water per day from the waters of the 29
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state. 1
(b) Provide an increased total designed withdrawal capacity of 2
more than 2,000,000 gallons of water per day from the waters of the 3
state beyond the system's total designed withdrawal capacity. 4
(c) Provide new or increased total designed withdrawal 5
capacity for a new or increased large quantity withdrawal of more 6
than 1,000,000 gallons of water per day from the waters of the 7
state to supply a common distribution system that the department 8
confirms is a zone C withdrawal. 9
(d) Provide new total designed withdrawal capacity or an 10
increased total designed withdrawal capacity that will result in an 11
intrabasin transfer of more than 100,000 gallons per day average 12
over any 90-day period. 13
(4) The Before the department issues a construction permit 14
under this section, the department shall provide public notice that 15
it the department is conducting an evaluation under subsection (3) 16
and shall provide a public comment period of not less than 45 days 17
before making a determination on that the evaluation. The 18
department shall reject the plans and specifications under 19
subsection (1) and not issue a construction permit for a proposed 20
waterworks system evaluated under subsection (3) if it the 21
department determines that the proposed system will not meet the 22
applicable standard provided in section 32723 of the natural 23
resources and environmental protection act, 1994 PA 451, MCL 24
324.32723. However, the department may approve the plans and 25
specifications provided under subsection (1) and issue a 26
construction permit for a proposed waterworks system evaluated 27
under subsection (3) for a community supply owned by a political 28
subdivision that the department determines will not meet the 29
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applicable standard provided in section 32723 of the natural 1
resources and environmental protection act, 1994 PA 451, MCL 2
324.32723, if the plans and specifications do not result in an 3
intrabasin transfer of more than 100,000 gallons per day average 4
over any 90-day period and both of the following conditions are 5
met: 6
(a) The department determines that there is no feasible and 7
prudent alternative location for the withdrawal. 8
(b) The department includes in the approval conditions related 9
to depth, pumping capacity, rate of flow, and ultimate use that 10
ensure that the environmental impact of the withdrawal is balanced 11
by the public benefit of the withdrawal related to public health, 12
safety, and welfare. This subdivision does not confer upon give the 13
department any the authority to require a person to connect or to 14
remain connected to an existing drinking water supply system owned 15
by a political subdivision. 16
(5) The department's approval of a proposed waterworks system 17
construction permit under this section shall be considered to 18
satisfy satisfies the requirements of section 4.11 of the compact. 19
(6) Before commencing the beginning construction of a 20
waterworks system or an alteration, addition, or improvement to a 21
system, a supplier of water shall submit the plans and 22
specifications under subsection (1) for the improvements to the 23
department and secure from the department a construction permit for 24
construction as provided by rule. Plans and specifications 25
submitted to the department shall must be prepared by a 26
professional engineer licensed under article 20 of the occupational 27
code, 1980 PA 299, MCL 339.2001 to 339.2014. A contractor, builder, 28
or supplier of water shall not engage in or begin the construction 29
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of a waterworks system or an alteration, addition, or improvement 1
to a waterworks system until a valid construction permit for the 2
construction has been secured from is issued by the department 3
under this section. A contractor, builder, or supplier of water who 4
permits or that allows construction to proceed without a valid 5
construction permit, or in a manner not in accordance with the 6
plans and specifications approved by the department, violates this 7
act. A supplier of water shall not issue a voucher or check or in 8
any other way expend money or provide consideration for 9
construction of a waterworks system unless a valid construction 10
permit is issued by the department. is in effect. The department 11
may issue a construction permit with conditions to correct minor 12
design deficiencies. If eligible, a supplier may request an 13
expedited review of an application for a construction permit under 14
section 4a. A construction permit issued under this section does 15
not expire. 16
(7) The department may deny a construction permit for 17
construction of a waterworks system or an alteration, addition, or 18
improvement to a waterworks system if the most recent capacity 19
assessment shows that the waterworks system does not have adequate 20
technical, financial, or managerial capacity to meet the 21
requirements of this act and the rules promulgated under this act, 22
and the deficiencies identified in that capacity assessment remain 23
uncorrected, unless the proposed construction will remedy the 24
deficiencies. The department may deny a construction permit of a 25
proposed community supply or a nontransient noncommunity water 26
supply if the capacity assessment shows that the proposed system 27
does not have adequate technical, financial, or managerial capacity 28
to meet the requirements of this act and the rules promulgated 29
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under this act. 1
(8) The department may verbally approve minor modifications of 2
a construction permit issued by the department as a result of 3
unforeseen site conditions that become apparent during 4
construction. Minor modifications include, but are not limited to, 5
extending a hydrant lead or routing a water main around a manhole. 6
A supplier making that makes a request for a modification shall 7
provide to the department all relevant information required under 8
this section and the application form provided by the department 9
related to the modification. A supplier shall obtain written 10
approval from the department for all modifications to a waterworks 11
system except when the department provides verbal approval for a 12
minor modification as provided for in this subsection. A supplier 13
receiving that receives a written or verbal approval from the 14
department shall submit revised plans and specifications to the 15
department within not later than 10 days from after the date of 16
approval. 17
(9) If a supplier seeks confirmation of the department's 18
verbal approval of a minor modification under subsection (8), the 19
supplier shall notify the department electronically, at an address 20
specified by the department, with a detailed description of the 21
request for the modification. The department shall make reasonable 22
efforts to respond within 2 business days, confirming whether the 23
request has been is approved or not approved. If the department has 24
not responded within 2 business days after the department receives 25
the detailed description, the verbal approval shall be is 26
considered confirmed. 27
(10) As a condition of a construction permit issued by the 28
department under this section, to a community supply , the 29
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department shall require the permit holder to annually submit a 1
report by April 1 of each year to the department a report by April 2
1 of each year that contains the information described in section 3
32707 of the natural resources and environmental protection act, 4
1994 PA 451, MCL 324.32707. 5
(11) As used in this section, "assessment tool", "compact", 6
"intrabasin transfer", "new or increased large quantity 7
withdrawal", "waters of the state", and "zone C withdrawal" mean 8
those terms as they are defined in section 32701 of the natural 9
resources and environmental protection act, 1994 PA 451, MCL 10
324.32701. 11
Sec. 17. (1) A person engaged in producing that produces 12
bottled drinking water shall utilize a water source meeting that 13
meets the requirements of this section and the requirements 14
otherwise provided in this act. Bottling or and packaging 15
facilities and their operation shall remain under the supervision 16
of the department of agriculture as provided for in and rural 17
development in accordance with the food law, of 2000, 2000 PA 92, 18
MCL 289.1101 to 289.8111. 19
(2) A person producing that produces bottled drinking water 20
from an out-of-state source shall submit to the department for 21
approval proof to the director that the source of the water and 22
bottling facilities were approved by the agency having that has 23
jurisdiction. The director department may withhold approval of the 24
bottled water under this subsection if the other agency's 25
inspection, surveillance, and approval procedures and techniques 26
are determined to be inadequate. 27
(3) A person who that proposes to engage in producing bottled 28
drinking water from a new or increased large quantity withdrawal of 29
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more than 200,000 gallons of water per day from the waters of the 1
state or that will result in an intrabasin transfer of more than 2
100,000 gallons of water per day average over any 90-day period 3
shall submit an application for a water withdrawal permit to the 4
department, in on a form required and in a manner prescribed by the 5
department, containing that contains an evaluation of 6
environmental, hydrological, and hydrogeological conditions that 7
exist and the predicted effects of the intended withdrawal that 8
provides a reasonable basis for the a determination under this 9
section to be made. 10
(4) The department shall only approve an application under 11
subsection (3) issue a water withdrawal permit only if the 12
department determines both of all of the following: 13
(a) A completed application is submitted under subsection (3). 14
(b) (a) The proposed use water withdrawal or intrabasin 15
transfer will meet the applicable standard provided in section 16
32723 of the natural resources and environmental protection act, 17
1994 PA 451, MCL 324.32723. 18
(c) (b) The person will undertake activities, if needed, to 19
address hydrologic impacts commensurate with the nature and extent 20
of the withdrawal. These activities may include those related to 21
the stream flow regime, water quality, and aquifer protection. 22
(5) Before proposing activities under subsection (4)(b), 23
(4)(c), the person proposing to engage in producing bottled 24
drinking water that submits an application for a water withdrawal 25
permit under subsection (3) shall consult with local government 26
officials and interested community members. 27
(6) Before making the determination the department issues a 28
water withdrawal permit under subsection (4), the department shall 29
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provide public notice and an opportunity for public comment of for 1
not less than 45 days. 2
(7) If the person proposing to engage in producing bottled 3
drinking water submits an application for a water withdrawal permit 4
under subsection (3) does and the person has not have been issued a 5
construction permit under section 4, the person shall request a 6
determination submit an application for a water withdrawal permit 7
under subsection (3) and request the department issue the water 8
withdrawal permit under subsection (4) when that the person applies 9
for a the construction permit under section 4. If the person 10
proposing to engage in producing bottled drinking water has 11
previously received a permit under section 4, the person shall 12
obtain approval under subsection (4) prior to beginning the 13
operations. A proposed use for which the department makes a 14
determination that the conditions of subsection (4) will be met 15
shall be considered to satisfy The department's issuance of a water 16
withdrawal permit under subsection (4) satisfies the requirements 17
of section 4.11 of the compact. 18
(8) A person seeking a departmental determination under 19
subsection (4) shall submit an application fee of $5,000.00 to the 20
department. The department shall transmit application fees received 21
under this section to the state treasurer to be credited to the 22
water use protection fund created in section 32714.water withdrawal 23
permit issued under subsection (4) does not expire. 24
(9) Beginning January 1, 2027, a person shall not produce 25
bottled drinking water unless the person is licensed by the 26
department in accordance with this subsection and subsections (10) 27
to (13). A person that applies for a license shall do so on an 28
application and in a manner prescribed by the department. The 29
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applicant shall include all of the following with an application 1
for a license: 2
(a) A water withdrawal permit issued under subsection (4). 3
(b) A copy of the construction permit issued under section 4. 4
(c) Any other permits required under federal law. 5
(d) Any other information required by the department. 6
(e) An application fee in the amount of $6,000.00. The 7
department shall transmit application fees received under this 8
subsection to the state treasurer to be credited to the water use 9
protection fund created in section 32714 of the natural resources 10
and environmental protection act, 1994 PA 451, MCL 324.32714. 11
(10) Not later than 30 days after the department receives a 12
completed license application under subsection (9), the department 13
shall do all of the following: 14
(a) Provide public notice of the application for a license. 15
(b) Accept public comments for not less than 45 days. Public 16
comments must be submitted to the department on a form and in a 17
manner prescribed by the department. 18
(c) If requested by a local unit of government or federally 19
recognized tribe, meet and consult with the local unit of 20
government or federally recognized tribe not later than 15 days 21
after a request is made. A request under this subdivision must be 22
submitted to the department on a form and in a manner prescribed by 23
the department. 24
(d) Hold at least 1 public hearing on the license application. 25
The department shall provide notice as required under the open 26
meetings act, 1976 PA 267, MCL 15.261 to 15.275, of the time and 27
place of the public hearing. 28
(11) The department shall approve or deny an application for a 29
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license not later than 90 days after the requirements under 1
subsection (10) are completed. The department shall issue a license 2
only if the department determines all of the following requirements 3
are met: 4
(a) The application is complete. If the application is 5
incomplete, the department shall notify the applicant in writing 6
not later than 30 days after the application is received, and state 7
the deficiency and request additional information. 8
(b) The applicant is in compliance with the terms and 9
conditions of a permit issued under subsection (4), and any permits 10
required under federal law. 11
(c) There is sufficient data and information to evaluate the 12
environmental impacts of the proposed water withdrawal on the water 13
source, watershed, and water distribution system. 14
(d) A license issued under this section will not interfere 15
with or impair public trust resources and uses. 16
(12) If the department denies an application for license, the 17
department shall notify the applicant of the denial within 90 days 18
and state the reasons for the denial. If the department denies an 19
application for a license, the applicant may appeal the denial by 20
submitting a written request for a hearing to the department. The 21
applicant must submit the request to the department not more than 22
15 days after the date of the denial. The department shall conduct 23
a hearing requested under this section in accordance with the 24
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 25
24.328. 26
(13) A license issued under this section is valid for 5 years 27
from the date of issuance and is nontransferable. 28
(14) A license is not required under this section for any of 29
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the following: 1
(a) The production of a product that contains or incorporates 2
water obtained from a private well or waterworks system. 3
(b) The withdrawal, treatment, distribution, or delivery of 4
water or the provision of services offered by a public or private 5
water utility, public water supply, or waterworks system. 6
(c) The sale of water obtained from a private well or 7
waterworks system in a glass bottle or other container incidental 8
to a wholesale or retail business. 9
(d) The use of water for agriculture, manufacturing, 10
generation of electricity, or industrial purposes. 11
(15) (9) This section shall not be construed as affecting, 12
intending to affect, or in any way altering or interfering does not 13
affect, alter, or interfere with common law water rights or the 14
applicability of any other laws providing law that provides for the 15
protection of natural resources or the environment. 16
(16) (10) A person who proposes to engage in producing that 17
produces bottled drinking water and who submitted an application 18
for a permit under section 4 prior to the effective date of the 19
amendatory act that added this subsection before July 9, 2008 is 20
subject to the provisions of this section that existed on February 21
28, 2006. 22
(17) (11) As used in this section, "compact", "intrabasin 23
transfer", "new or increased large quantity withdrawal", and 24
"waters of the state" mean those terms as they are defined in 25
section 32701 of the natural resources and environmental protection 26
act, 1994 PA 451, MCL 324.32701. 27
Sec. 17a. A person that is licensed under section 17 shall pay 28
a royalty equal to 25 cents per gallon of water that is bottled. 29
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RMH S01435'25_SB0951_INTR_1 in9q7e
Quarterly, a person that is licensed under section 17 shall remit 1
to the department the royalties and a report that documents the 2
total volume of water withdrawn per month and the total volume of 3
water that is used for bottled drinking water per month. A royalty 4
collected by the department under this section must be deposited in 5
the Michigan water trust fund created in section 1205 of the 6
natural resources and environmental protection act, 1994 PA 451, 7
MCL 324.1205. 8
Enacting section 1. This amendatory act does not take effect 9
unless Senate Bill No. ____ (request no. S01434'25) or House Bill 10
No. ____ (request no. H01434'25) of the 103rd Legislature is 11
enacted into law. 12