Bill Text: MI SB1008 | 2011-2012 | 96th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Water; other; aquifer protection and dispute resolution program; establish. Amends 1994 PA 451 (MCL 324.101 - 324.90106) by adding pt. 317.

Spectrum: Partisan Bill (Republican 4-0)

Status: (Passed) 2012-12-31 - Assigned Pa 0602'12 With Immediate Effect [SB1008 Detail]

Download: Michigan-2011-SB1008-Engrossed.html

SB-1008, As Passed House, December 13, 2012

 

 

 

 

 

 

 

 

 

 

 

 

HOUSE SUBSTITUTE FOR

 

SENATE BILL NO. 1008

 

 

 

 

 

 

 

 

 

 

 

 

     A bill to amend 1994 PA 451, entitled

 

"Natural resources and environmental protection act,"

 

(MCL 324.101 to 324.90106) by adding part 317.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

PART 317

 

AQUIFER PROTECTION AND DISPUTE RESOLUTION

 

     Sec. 31701. As used in this part:

 

     (a) "Agricultural well" means a high-capacity well that is

 

used for an agricultural purpose.

 

     (b) "Complaint" means a complaint submitted under section

 

31702 alleging a potential groundwater dispute.

 

     (c) "Construction" means the process of building a building,

 

road, utility, or another structure, including all of the

 


following:

 

     (i) Assembling materials.

 

     (ii) Disassembling and removing a structure.

 

     (iii) Preparing the construction site.

 

     (iv) Work related to any of the items described in

 

subparagraphs (i) to (iii).

 

     (d) "Department" means the department of environmental

 

quality.

 

     (e) "Dewatering well" means a well or pump that is used to

 

remove water from a mining operation or that is used for a limited

 

time period as part of a construction project to remove or pump

 

water from a surface or subsurface area and ceases to be used upon

 

completion of the construction project or shortly after completion

 

of the construction project.

 

     (f) "Director" means the director of the department or his or

 

her designee.

 

     (g) "Farm" means that term as it is defined in section 2 of

 

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

 

     (h) "Fund" means the aquifer protection revolving fund created

 

in section 31710.

 

     (i) "Groundwater" means the water in the zone of saturation

 

that fills all of the pore spaces of the subsurface geologic

 

material.

 

     (j) "Groundwater dispute" means a groundwater dispute declared

 

by order of the director under section 31703.

 

     (k) "High-capacity well" means 1 or more water wells

 

associated with an industrial or processing facility, an irrigation

 


facility, or a farm that, in the aggregate from all sources and by

 

all methods, have the capability of withdrawing 100,000 or more

 

gallons of groundwater in 1 day.

 

     (l) "Local health department" means that term as it is defined

 

in section 1105 of the public health code, 1978 PA 368, MCL

 

333.1105.

 

     (m) "Owner" means either of the following:

 

     (i) The owner of an interest in property.

 

     (ii) A person in possession of property.

 

     (n) "Potable water" means water that at the point of use is

 

acceptable for human consumption.

 

     (o) "Small-quantity well" means 1 or more water wells of a

 

person at the same location that, in the aggregate from all sources

 

and by all methods, do not have the capability of withdrawing

 

100,000 or more gallons of groundwater in 1 day.

 

     (p) "Water well" means an opening in the surface of the earth,

 

however constructed, that is used for the purpose of withdrawing

 

groundwater. Water well does not include a drain as defined in

 

section 3 of the drain code of 1956, 1956 PA 40, MCL 280.3.

 

     (q) "Well drilling contractor" means a well drilling

 

contractor registered under part 127 of the public health code,

 

1978 PA 368, MCL 333.12701 to 333.12771.

 

     Sec. 31702. (1) The owner of a small-quantity well may submit

 

a complaint alleging a potential groundwater dispute if the small-

 

quantity well has failed to furnish the well's normal supply of

 

water or the well has failed to furnish potable water and the owner

 

has credible reason to believe that the well's problems have been

 


caused by a high-capacity well. A complaint shall be submitted to

 

the director or to the director of the department of agriculture

 

and rural development if the complaint involves an agricultural

 

well. The complaint shall be in writing and shall be submitted in

 

person, via certified mail, via the toll-free facsimile telephone

 

number provided in subsection (6), or via other means of electronic

 

submittal as developed by the department. However, the director or

 

the director of the department of agriculture and rural development

 

may refuse to accept an unreasonable complaint. The complaint shall

 

include all of the following information:

 

     (a) The name, address, and telephone number of the owner of

 

the small-quantity well.

 

     (b) The location of the small-quantity well, including the

 

county, township, township section, and address of the property on

 

which the small-quantity well is situated, and all other available

 

information that defines the location of that well.

 

     (c) A written assessment by a well drilling contractor that

 

the small-quantity well failure was not the result of well design

 

or equipment failure. The assessment shall include a determination

 

of the static water level in the well at the time of the assessment

 

and, if readily available, the type of pump and equipment.

 

     (d) An explanation of why the small-quantity well owner

 

believes that a high-capacity well has interfered with the proper

 

function of the small-quantity well and any information available

 

to the small-quantity well owner about the location and operation

 

of the high-capacity well.

 

     (e) The date or dates on which the interference by a high-

 


capacity well occurred.

 

     (f) Sufficient evidence to establish a reasonable belief that

 

the interference was caused by a high-capacity well.

 

     (2) The owner of a small-quantity well may call the toll-free

 

telephone line provided for in subsection (6) to request a

 

complaint form or other information regarding the dispute

 

resolution process provided in this part.

 

     (3) Within 2 business days after receipt of a complaint under

 

subsection (1), the director or the director of the department of

 

agriculture and rural development, as appropriate, shall contact

 

the complainant and the owner of each high-capacity well identified

 

in the complaint and begin an investigation. However, if the owner

 

of the high-capacity well notifies the department that he or she

 

does not wish to participate in the dispute resolution process

 

provided for in this part, the investigation shall be suspended and

 

the dispute shall be resolved as otherwise provided by law.

 

     (4) Within 5 business days after receipt of a complaint under

 

subsection (1), the director or the director of the department of

 

agriculture and rural development, as appropriate, shall conduct an

 

on-site evaluation. However, if the complaint is for a small-

 

quantity well that is in close proximity to other small-quantity

 

wells for which documented complaints have been received and

 

investigated during the previous 60 days, the department need not

 

conduct an on-site evaluation unless the department determines that

 

an on-site evaluation is necessary. The director or the director of

 

the department of agriculture and rural development, as

 

appropriate, shall give affected persons an opportunity to

 


contribute to the investigation of a complaint. In conducting the

 

investigation, the director or the director of the department of

 

agriculture and rural development, as appropriate, shall consider

 

whether the owner of the high-capacity well is using industry-

 

recognized water conservation management practices.

 

     (5) After conducting an investigation, the director or the

 

director of the department of agriculture and rural development, as

 

appropriate, shall make a diligent effort to resolve the complaint.

 

In attempting to resolve a complaint, the director or the director

 

of the department of agriculture and rural development, as

 

appropriate, may propose a remedy that he or she believes would

 

equitably resolve the complaint. If, within 14 days following the

 

submittal of a complaint, the director of the department of

 

agriculture and rural development is unable to resolve a complaint,

 

the director of the department of agriculture and rural development

 

shall refer the complaint, and provide all relevant information, to

 

the director.

 

     (6) The director shall provide for the use of a toll-free

 

facsimile line to receive complaints and a toll-free telephone line

 

for owners of small-quantity wells to request complaint forms and

 

to obtain other information regarding the dispute resolution

 

process provided in this part.

 

     (7) The director and the director of the department of

 

agriculture and rural development shall do both of the following:

 

     (a) Publicize the toll-free facsimile line and the toll-free

 

telephone line provided for in subsection (6).

 

     (b) Enter into a memorandum of understanding that describes

 


the process that will be followed by each director when a complaint

 

involves an agricultural well.

 

     (8) A complainant who submits more than 2 unverified

 

complaints under this section within 1 year may be ordered by the

 

director to pay for the full costs of investigation of any third or

 

subsequent unverified complaint. As used in this subsection,

 

"unverified complaint" means a complaint in response to which the

 

director determines that there is not reasonable evidence to

 

declare a groundwater dispute.

 

     Sec. 31703. (1) The director shall, by order, declare a

 

groundwater dispute if an investigation of a complaint discloses

 

all of the following, based upon reasonable scientifically based

 

evidence, and within a reasonable amount of time the director is

 

unable to resolve the complaint:

 

     (a) That the small-quantity well has failed to furnish the

 

well's normal supply of water or failed to furnish potable water.

 

     (b) That the small-quantity well and the well's equipment were

 

functioning properly at the time of the failure. The determination

 

under this subdivision shall be made based upon an assessment from

 

a well drilling contractor that is provided by the owner of the

 

small-quantity well.

 

     (c) That the failure of the small-quantity well was caused by

 

the lowering of the groundwater level in the area.

 

     (d) That the lowering of the groundwater level exceeds normal

 

seasonal water level fluctuations and substantially impairs

 

continued use of the groundwater resource in the area.

 

     (e) That the lowering of the groundwater level was caused by

 


at least 1 high-capacity well.

 

     (f) That the owner of the small-quantity well did not

 

unreasonably reject a remedy proposed by the director or the

 

director of the department of agriculture and rural development

 

under section 31702(5).

 

     (2) In addition to the authority under subsection (1) to

 

declare a groundwater dispute, if the director has clear and

 

convincing scientifically based evidence that indicates that

 

continued groundwater withdrawals from a high-capacity well will

 

exceed the recharge capability of the groundwater resource of the

 

area, the director, by order, may declare a groundwater dispute.

 

     (3) The director may amend or terminate an order declaring a

 

groundwater dispute at any time.

 

     Sec. 31704. (1) An order declaring a groundwater dispute is

 

effective when a copy of the order is served upon the owner of a

 

high-capacity well that is reasonably believed to have caused the

 

failure of the complainant's small-quantity well.

 

     (2) If a groundwater dispute requires action before service

 

can be completed under subsection (1), oral notification in person

 

by the director is sufficient until service can be completed. Oral

 

notification is effective for not more than 96 hours.

 

     (3) As soon as possible after an order declaring a groundwater

 

dispute has been issued, the director shall provide copies of the

 

order to the local units of government in which the high-capacity

 

well and the small-quantity well are located and to the local

 

health departments with jurisdiction over those wells.

 

     Sec. 31705. (1) Upon declaration of a groundwater dispute, the

 


director shall, by order, require the immediate temporary provision

 

at the point of use of an adequate supply of potable water.

 

     (2) Except as provided in subsections (3), (4), and (5), if

 

the director issues an order declaring a groundwater dispute, the

 

director may, by order, restrict the quantity of groundwater that

 

may be extracted from a high-capacity well under either of the

 

following conditions:

 

     (a) If the high-capacity well is reasonably believed to have

 

caused the failure of the complainant's small-quantity well and an

 

immediate temporary provision of an adequate supply of potable

 

water has not been provided to the complainant by the owner of the

 

high-capacity well.

 

     (b) If there is clear and convincing scientifically based

 

evidence that continued groundwater withdrawals from the high-

 

capacity well will exceed the recharge capability of the

 

groundwater resource of the area.

 

     (3) In issuing an order under subsection (2), the director

 

shall consider the impact the order will have on the viability of a

 

business associated with the high-capacity well or other use of the

 

high-capacity well.

 

     (4) If an operator of a high-capacity well withdraws water by

 

a means other than pumping, the director may, by order, temporarily

 

restrict the quantity of groundwater that may be extracted only if

 

the conditions of subsection (2)(a) or (b) have not been met.

 

     (5) The director shall not issue an order that diminishes the

 

normal supply of drinking water or the capability for fire

 

suppression of a public water supply system owned or operated by a

 


local unit of government.

 

     Sec. 31706. If a groundwater dispute has been declared, the

 

owner of a high-capacity well shall, subject to an order of the

 

director, provide timely and reasonable compensation as provided in

 

section 31707 if there is a failure or substantial impairment of a

 

small-quantity well and the following conditions exist:

 

     (a) The failure or substantial impairment was caused by the

 

groundwater withdrawals of the high-capacity well.

 

     (b) The small-quantity well was constructed prior to February

 

14, 1967 or, if the small-quantity well was constructed on or after

 

February 14, 1967, the well was constructed in compliance with part

 

127 of the public health code, 1978 PA 368, MCL 333.12701 to

 

333.12771.

 

     Sec. 31707. (1) Timely and reasonable compensation under

 

section 31706 consists of and is limited to either or both of the

 

following:

 

     (a) The reimbursement of expenses reasonably incurred by the

 

complainant beginning 30 days prior to the date on which a

 

complaint was made under section 31702 in doing the following:

 

     (i) Paying for the cost of conducting a well assessment to

 

determine that the small-quantity well and the well's equipment

 

were functioning properly at the time of the failure.

 

     (ii) Paying for the cost of obtaining an immediate temporary

 

provision at the prior point of use of an adequate supply of

 

potable water.

 

     (iii) Obtaining 1 of the following:

 

     (A) The restoration of the affected small-quantity well to the

 


well's normal supply of water.

 

     (B) The permanent provision at the point of use of an

 

alternative potable supply of equal quantity.

 

     (b) If an adequate remedy is not achievable under subdivision

 

(a), the restriction or scheduling of the groundwater withdrawals

 

of the high-capacity well so that the affected small-quantity well

 

continues to produce either of the following:

 

     (i) The well's normal supply of water.

 

     (ii) The normal supply of potable water if the well normally

 

furnishes potable water.

 

     (2) The refusal of an owner of an affected small-quantity well

 

to accept timely and reasonable compensation described in

 

subsection (1) is sufficient grounds for the director to terminate

 

an order imposed on the owner of a high-capacity well.

 

     Sec. 31708. The owner of a high-capacity well subject to an

 

order under this part may appeal that order directly to circuit

 

court pursuant to the revised judicature act of 1961, 1961 PA 236,

 

MCL 600.101 to 600.9947.

 

     Sec. 31709. This part does not apply to a potential

 

groundwater dispute involving either of the following:

 

     (a) A high-capacity well that is a dewatering well.

 

     (b) A high-capacity well that is used solely for the purpose

 

of fire suppression.

 

     Sec. 31710. (1) The aquifer protection revolving fund is

 

created in the state treasury.

 

     (2) The fund may receive money or other assets from any source

 

for deposit into the fund. The state treasurer shall direct the

 


investment of the fund. The state treasurer shall credit to the

 

fund interest and earnings from fund investments.

 

     (3) Money in the fund at the close of the fiscal year shall

 

remain in the fund and shall not lapse to the general fund.

 

     (4) The department shall be the administrator of the fund for

 

auditing purposes.

 

     (5) Money in the fund shall be expended by the department only

 

to implement this part and to reimburse the department of

 

agriculture and rural development for its actual costs incurred in

 

implementing this part.

 

     (6) If money in the fund is used to conduct hydrogeological

 

studies or other studies to gather data on the nature of aquifers

 

or groundwater resources in the state, the department shall include

 

this information in the groundwater inventory and map prepared

 

under section 32802.

 

     Sec. 31711. Not later than April 1, 2013, and every 2 years

 

thereafter, the department shall prepare and submit to the

 

legislature a report that includes both of the following:

 

     (a) An analysis of the department's costs of implementing this

 

part.

 

     (b) Recommendations on modifications to this part that would

 

improve the overall effectiveness of this part.

 

     Sec. 31712. (1) A person who violates an order issued under

 

this part is responsible for a civil fine of not more than

 

$1,000.00 for each day of violation, but not exceeding a total of

 

$50,000.00.

 

     (2) A default in the payment of a civil fine or costs ordered

 


under this section or an installment of the fine or costs may be

 

remedied by any means authorized under the revised judicature act

 

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

 

     (3) All civil fines recovered under this section shall be

 

forwarded to the state treasurer for deposit into the fund.

 

     (4) The director may bring an action in a court of competent

 

jurisdiction to enforce an order under this part, including

 

injunctive or other equitable relief.

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